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LegalText 7 U.S.C. § 2009aa5 Distressed counties and areas and nondistressed counties us united_states_code code_section 7 AGRICULTURE 50 AGRICULTURAL CREDIT 2009aa5 7 U.S.C. § 2009aa5 current 119-100 2026-06-26 official https://uscode.house.gov/download/releasepoints/us/pl/119/100/xml_usc07@119-100.zip /us/usc/t7/s2009aa5 data/legal/raw/us/code/title-07/usc07.xml b68831373bd08f48c6dc944350ea6ed9a47b61e0a499e2891741e27efdeca884 50edab1679a711653797362c0aeb8f2273303fe473fb7fa16df1ee76bdd6e984 4db5ffbbcca8217ce10acecbd1351824ac9ce7991c20a07e140800356eba7379 2026-07-04 official
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7 U.S.C. § 2009aa5 - Distressed counties and areas and nondistressed counties

Text

(a) Designations Not later than 90 days after December 21, 2000, and annually thereafter, the Authority, in accordance with such criteria as the Authority may establish, shall designate—

(1) as distressed counties, counties in the region that are the most severely and persistently distressed and underdeveloped and have high rates of poverty or unemployment;

(2) as nondistressed counties, counties in the region that are not designated as distressed counties under paragraph (1); and

(3) as isolated areas of distress, areas located in nondistressed counties (as designated under paragraph (2)) that have high rates of poverty or unemployment.

(b) Distressed counties (1) In general The Authority shall allocate at least 75 percent of the appropriations made available under section 2009aa12 of this title for programs and projects designed to serve the needs of distressed counties and isolated areas of distress in the region.

(2) Funding limitations The funding limitations under section 2009aa3(b) of this title shall not apply to a project providing transportation or basic public services to residents of one or more distressed counties or isolated areas of distress in the region.

(c) Nondistressed counties (1) In general Except as provided in this subsection, no funds shall be provided under this subchapter for a project located in a county designated as a nondistressed county under subsection (a)(2).

(2) Exceptions (A) In general The funding prohibition under paragraph (1) shall not apply to grants to fund the administrative expenses of local development districts under section 2009aa4(b) of this title.

(B) Multicounty projects The Authority may waive the application of the funding prohibition under paragraph (1) to—

(i) a multicounty project that includes participation by a nondistressed county; or

(ii) any other type of project;

if the Authority determines that the project could bring significant benefits to areas of the region outside a nondistressed county.

(C) Isolated areas of distress For a designation of an isolated area of distress for assistance to be effective, the designation shall be supported—

(i) by the most recent Federal data available; or

(ii) if no recent Federal data are available, by the most recent data available through the government of the State in which the isolated area of distress is located.

(d) Transportation and basic public infrastructure The Authority shall allocate at least 50 percent of any funds made available under section 2009aa12 of this title for transportation and basic public infrastructure projects authorized under paragraphs (1) and (3) of section 2009aa2(a) of this title.

(Pub. L. 87128, title III, § 382F, as added Pub. L. 106554, § 1(a)(4) [div. B, title V, § 503], Dec. 21, 2000, 114 Stat. 2763, 2763A277.)