Title 42The Public Health and WelfareRelease 119-73

§3144 Cost sharing

Title 42 › Chapter CHAPTER 38— - PUBLIC WORKS AND ECONOMIC DEVELOPMENT › Subchapter SUBCHAPTER II— - GRANTS FOR PUBLIC WORKS AND ECONOMIC DEVELOPMENT › § 3144

Last updated Apr 6, 2026|Official source

Summary

The federal government will pay most of the cost for projects under this law. Normally it will pay up to 60 percent, plus up to another 30 percent depending on how needy the area is, as decided by rules the Secretary creates. The Secretary may count both cash and in-kind help toward the local share, like space, equipment, taking on debt, or services. Money from a Regional Commission can count as part of the local share. The Secretary may also raise the federal payment up to 100 percent in certain cases: grants to Indian tribes; grants to states, local governments, or nonprofits that cannot get local matching funds or have exhausted borrowing or taxing power; grants under sections 3143 or 3147; and grants to political subdivisions with fewer than 10,000 people that meet one or more criteria in section 3161(a).

Full Legal Text

Title 42, §3144

The Public Health and Welfare — Source: USLM XML via OLRC

(a)Except as provided in subsection (c), the Federal share of the cost of any project carried out under this subchapter shall not exceed—
(1)60 percent; plus
(2)an additional percent that—
(A)shall not exceed 30 percent; and
(B)is based on the relative needs of the area in which the project will be located, as determined in accordance with regulations promulgated by the Secretary.
(b)(1)In determining the amount of the non-Federal share of the cost of a project, the Secretary may provide credit toward the non-Federal share for all contributions both in cash and in-kind, fairly evaluated, including contributions of space, equipment, assumptions of debt, and services.
(2)Notwithstanding any other provision of law, any funds contributed by a Regional Commission for a project under this subchapter may be considered to be part of the non-Federal share of the costs of the project.
(c)(1)In the case of a grant to an Indian tribe for a project under this subchapter, the Secretary may increase the Federal share above the percentage specified in subsection (a) up to 100 percent of the cost of the project.
(2)In the case of a grant to a State, or a political subdivision of a State, that the Secretary determines has exhausted the effective taxing and borrowing capacity of the State or political subdivision or can otherwise document that no local matching funds are reasonably obtainable, or in the case of a grant to a nonprofit organization that the Secretary determines has exhausted the effective borrowing capacity of the nonprofit organization, the Secretary may increase the Federal share above the percentage specified in subsection (a) up to 100 percent of the cost of the project.
(3)In the case of a grant provided under section 3143 or 3147 of this title, the Secretary may increase the Federal share above the percentage specified in subsection (a) up to 100 percent of the cost of the project.
(4)In the case of a grant to a political subdivision of a State (as described in section 3122(6)(A)(iv) of this title) that has a population of fewer than 10,000 residents and meets 1 or more of the eligibility criteria described in section 3161(a) of this title, the Secretary may increase the Federal share under paragraph (1) up to 100 percent of the total cost of the project.

Legislative History

Notes & Related Subsidiaries

Editorial Notes

Prior Provisions

A prior section 3144, Pub. L. 89–136, title II, § 204, as added Pub. L. 94–487, title I, § 109, Oct. 12, 1976, 90 Stat. 2333; amended Pub. L. 96–470, title I, § 201(d), Oct. 19, 1980, 94 Stat. 2241; Pub. L. 96–506, § 1(4), Dec. 8, 1980, 94 Stat. 2745; Pub. L. 97–35, title XVIII, § 1821(a)(3), Aug. 13, 1981, 95 Stat. 766, authorized interest free loans to carry out approved redevelopment area plans, prior to repeal by Pub. L. 105–393, § 102(a).

Amendments

2025—Subsec. (a)(1). Pub. L. 118–272, § 2215(1), substituted “60” for “50”. Subsec. (b). Pub. L. 118–272, § 2215(2), designated existing provisions as par. (1), inserted heading, and added par. (2). Subsec. (c)(2). Pub. L. 118–272, § 2215(3)(A), inserted “or can otherwise document that no local matching funds are reasonably obtainable” after “or political subdivision”. Subsec. (c)(3). Pub. L. 118–272, § 2215(3)(B), substituted “section 3143 or 3147 of this title” for “section 3147 of this title” and “project.” for “project if the Secretary determines that the project funded by the grant merits, and is not feasible without, such an increase.” Subsec. (c)(4). Pub. L. 118–272, § 2215(3)(C), added par. (4). 2004—Subsec. (a). Pub. L. 108–373, § 202(a), added subsec. (a) and struck out heading and text of former subsec. (a). Text read as follows: “Subject to section 3145 of this title, the amount of a grant for a project under this subchapter shall not exceed 50 percent of the cost of the project.” Subsec. (b). Pub. L. 108–373, § 202(b), inserted “assumptions of debt,” after “equipment,”. Subsec. (c). Pub. L. 108–373, § 202(c), added subsec. (c).

Statutory Notes and Related Subsidiaries

Effective Date

Section effective Feb. 11, 1999, see section 105 of Pub. L. 105–393, set out as a note under section 3121 of this title.

Reference

Citations & Metadata

Citation

42 U.S.C. § 3144

Title 42The Public Health and Welfare

Last Updated

Apr 6, 2026

Release point: 119-73