§2642 — Title 42 The Public Health and Welfare | U.S. Code

Summary

Lets the President start or speed up federal public works and projects that get federal money in hard-hit places. The President gives money to the federal agencies that build projects or that give grants to states and towns. Grants follow the regular laws except rules about dividing money among states and total grant caps. The federal share of a project can be raised to 50% of the cost, or to 75% if a state or locality can’t afford the extra cost. Up to $900,000,000 may be set aside, and at least $300,000,000 must go to areas the Commerce Secretary calls redevelopment areas. The President must set rules that weigh how bad and how long unemployment has been, family incomes, and underemployment. Money can only go to projects that can start soon, meet an essential public need, have much of the work done within 12 months, help lower local unemployment, and fit local plans. No more than 10% of the total may go to projects in any one State. The Labor Department uses the rules in 29 C.F.R. 6.3 (as of May 1, 1962) to decide which places have “substantial unemployment.” Definitions: “eligible area” — (1) places the Labor Secretary labels as having had substantial unemployment for at least nine of the last twelve months, and (2) places the Commerce Secretary labels a redevelopment area under section 2504(a) and (b).

Title 42, §2642

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

(a)For the purposes of this section the term “eligible area” means—

(1)those areas which the Secretary of Labor designates each month as having been areas of substantial unemployment for at least nine of the preceding twelve months; and

(2)those areas which are designated by the Secretary of Commerce under subsections (a) and (b) of section 2504 of this title as “redevelopment areas”.

(b)The President is authorized to initiate and accelerate in eligible areas those Federal public works projects which have been authorized by Congress, and those public works projects of States and local governments for which Federal financial assistance is authorized under provisions of law other than this chapter, by allocating funds appropriated to carry out this section—

(1)to the heads of the departments, agencies, and instrumentalities of the Federal Government responsible for the construction of Federal public works projects, and

(2)to the heads of the departments, agencies, and instrumentalities of the Federal Government responsible for the administration of laws authorizing Federal financial assistance to public works projects of State and local governments.

(c)All grants-in-aid made from allocations made by the President under this section shall be made by the head of the department, agency, or instrumentality of the Federal Government administering the law authorizing such grants, and, except as otherwise provided in this subsection, shall be made in accordance with all of the provisions of such law except (1) provisions requiring allocation of funds among the States, and (2) limitations upon the total amount of such grants for any period. Notwithstanding any provisions of such law requiring the Federal contribution to the State or local government involved to be less than a fixed portion of the cost of a project, grants-in-aid may be made under authority of this section which bring the total of all Federal contributions to such project up to 50 per centum of the cost of such project, or up to 75 per centum of the cost of such project if the State or local government does not have economic and financial capacity to assume all of the additional financial obligations required.

(d)There is authorized to be appropriated not to exceed $900,000,000 to be allocated by the President in accordance with subsection (b) of this section, except that not less than $300,000,000 shall be allocated for public works projects in areas designated by the Secretary of Commerce as redevelopment areas under subsection (b) of section 2504 of this title.

(e)The President shall prescribe rules, regulations, and procedures to carry out this section which will assure that adequate consideration is given to the relative needs of eligible areas. In prescribing such rules, regulations, and procedures the President shall consider among other relevant factors (1) the severity of the rates of unemployment in the eligible areas and the duration of such unemployment and (2) the income levels of families and the extent of underemployment in eligible areas.

(f)Funds allocated by the President under this section shall be available only for projects—

(1)which can be initiated or accelerated within a reasonably short period of time;

(2)which will meet an essential public need;

(3)a substantial portion of which can be completed within twelve months after initiation or acceleration;

(4)which will contribute significantly to the reduction of local unemployment;

(5)which are not inconsistent with locally approved comprehensive plans for the jurisdiction affected, wherever such plans exist.

(g)Not more than 10 per centum of all amounts allocated by the President under this section shall be made available for public works projects within any one State.

(h)The criteria to be used by the Secretary of Labor in determining areas of substantial unemployment for the purposes of paragraph (1) of subsection (a) of this section shall be the criteria established in section 6.3 of title 29 of the Code of Federal Regulations as in effect May 1, 1962.

Notes & Related Subsidiaries

Editorial Notes

References in Text

section 2504 of this title, referred to in subsecs. (a) and (d), was omitted from the Code.

Executive Documents

Executive Order No. 11049 Ex. Ord. No. 11049, Sept. 14, 1962, 27 F.R. 9203, which provided for implementation of public works acceleration program, was revoked by Ex. Ord. No. 12553, Feb. 25, 1986, 51 F.R. 7237.

§2642 Acceleration of Public Works