Assessing Distress in NBRC Counties
By statute, the Commission is required to annually assess the level of economic and demographic distress among the counties in its service area. Assessing distress is important as the resulting designations reflect whether or not the Commission can provide grants within a county as well as what level of match is required of Commission funded projects.
Counties are designated as Distressed, Transitional, or Attainment.
40 U.S.C., Subtitle V states that “distressed” counties are those that “have high rates of poverty, unemployment, or outmigration” and “are the most severely and persistently economic distressed and underdeveloped.” The NBRC is required to allocate 50% of it total Appropriations to projects in counties falling within this designation. Commission grants within Distressed Counties only require a 20% match.
Counties that are "transitional” counties “have recently suffered high rates of poverty, unemployment, or outmigration” or “are economically distressed and underdeveloped.” Commission grants within Transitional Counties require a 50% match.
Finally, “attainment” counties are those that are neither “distressed” or “transitional.” The Commission is not allowed to fund projects within an attainment county.
Exceptions to Attainment County Eligibility
In general, NBRC funds may not be provided to projects located within a designated “Attainment County.” However, there are opportunities to provide funding to projects within these counties if any one of the following exceptions below is met.
- Isolated Areas of Distress: When a county is first designated as “Attainment” the Commission will automatically collect economic and demographic data within that county to identify “Isolated Areas of Distress.” Isolated areas of distress are municipalities that have high rates of poverty, unemployment, or outmigration.
The Commission publishes a list of Isolated Areas of Distress annually along with its county distress designations.
- Multi-County or Multi-State Projects: A project within or that affects an Attainment County can be funded if it is part of a multi-county or multi-state project that includes at least one other Distressed or Transitional NBRC county.
Applicants should explain in their funding application narrative how their project provides direct services or products in more than one county. The required match will be the average of all counties where the project is taking place.
- Significant Benefits (waiver required from applicant): An exception exists for projects located within an Attainment County that could bring significant economic benefits to NBRC Distressed or Transitional counties outside of that county. If your community or organization is located within an Attainment County, but outside of one of the identified “Isolated Areas of Distress” in the NBRC’s 2022 Distress Criteria, an exception to allow for an application is possible for projects that could bring significant economic benefits to distressed areas.
Requesting a significant benefit waiver for consideration in 2022. If a Significant Benefit waiver is being requested, the documentation supporting the waiver request, which includes an executed Significant Benefit Waiver together with clear and convincing evidence of a project’s economic impact beyond the border of the municipality must be submitted together with the Letter of Interest and must be received no later than 5:00 p.m. EST April 22, 2022.
A Significant Benefit Waiver request requires approval by the Federal Co-Chair and the Governor’s Alternates of the four NBRC States. The significant benefit waiver must be approved for the entity to be considered eligible to be issued an invitation to apply.
Please see NBRC’s 2022 State Economic & Infrastructure Development (SEID) program materials for more information on the Significant Benefit Waiver Process https://www.nbrc.gov/content/EID.