[Code of Federal Regulations]
[Title 13, Volume 1]
[Revised as of January 1, 2003]
From the U.S. Government Printing Office via GPO Access
[CITE: 13CFR306.3]

[Page 558-559]
 
                TITLE 13--BUSINESS CREDIT AND ASSISTANCE
 
CHAPTER III--ECONOMIC DEVELOPMENT ADMINISTRATION, DEPARTMENT OF COMMERCE
 
PART 306--PLANNING ASSISTANCE--Table of Contents
 
Sec. 306.3  Award requirements.

    (a) Planning assistance shall be used in conjunction with any other 
available Federal planning assistance to ensure adequate and effective 
planning and economical use of funds.
    (b) Grant rate: (1) The maximum Federal grant rate for a project 
under this part for recipients other than Economic Development Districts 
is 50 percent, except as supplemented as provided in Sec. 301.4(b) of 
this chapter.
    (2) The maximum Federal grant rate for a project under this part for 
a district is:
    (i) 50 percent, or
    (ii) 75 percent, if the project meets the criteria of paragraph 
(b)(3) of this section.
    (3) A district project is eligible for a supplemental grant 
increasing the Federal share up to and including 75 percent when the 
applicant is able to demonstrate that:

[[Page 559]]

    (i) The project is intended to address problems arising from actual 
or threatened high unemployment, low per capita income, or a special 
need that qualifies an area for eligibility under Sec. 301.2(b) of this 
chapter,
    (ii) The project is in significant part devoted to activities 
addressing the needs of the most economically distressed parts of the 
total area served by the applicant,
    (iii) The applicant is uniquely qualified to address the major 
causes of actual or threatened economic distress in the area served by 
the applicant, and
    (iv) The applicant cannot provide the non-Federal share otherwise 
required because in the overall economic situation there is a lack of 
available non-Federal share due, for instance, to the pressing demand 
for its use elsewhere.
    (4) A project receiving a supplemental grant increasing the Federal 
share under paragraph (b)(3) of this section is not eligible for 
additional Federal grant assistance under Sec. 301.4(d) of this chapter, 
i.e., the 10 percent incentive increase for certain projects in 
districts.
    (c) As a condition of the receipt of assistance by a State under 
this part 306:
    (1) The State must have or develop a CEDS;
    (2) Any State plan developed with such assistance must be developed 
cooperatively by the State, political subdivisions of the State, and the 
economic development districts located wholly or partially within the 
State;
    (3) Any overall State economic development planning assisted under 
this section shall be a part of a comprehensive planning process that 
shall consider the provision of public works to:
    (i) Promote economic development and opportunity,
    (ii) Foster effective transportation access,
    (iii) Enhance and protect the environment, and
    (iv) Balance resources through the sound management of physical 
development;
    (4) Upon completion of the State plan, the State must,
    (i) Certify to EDA that, in the development of the State plan, local 
and economic development district plans were considered and, to the 
maximum extent practicable, the State plan is consistent with the local 
and economic development district plans; and
    (ii) Identify any inconsistencies between the State plan and the 
local and economic development district plans and provide a 
justification for each inconsistency; and
    (5) The State must submit to EDA an annual report on the planning 
process so assisted.

[64 FR 5427, Feb. 3, 1999, as amended at 64 FR 69877, Dec. 14, 1999]