I 112th CONGRESS 1st Session H. R. 2761 IN THE HOUSE OF REPRESENTATIVES August 1, 2011 Mr. Manzullo introduced the following bill; which was referred to the Committee on Financial Services A BILL To amend section 520 of the Housing Act of 1949 to provide flexibility to the definition of rural areas.

1.

Definition of rural area

Section 520 of the Housing Act of 1949 (42 U.S.C. 1490) is amended— (1)by striking As used and inserting (a) In general.—Except as provided in subsection (b), as used; and (2)by adding at the end the following new subsection: (b)

Authority for Secretary To include other areas

(1)

Authority

The Secretary may provide that a place, town, village, or city that does not meet the requirements under subsection (a) for consideration as rural or a rural area shall be considered rural or a rural area for purposes of this title for the period provided in paragraph (3) if such place, town, village, or city— (A)has a population not exceeding 35,000; and— (B)demonstrates to the satisfaction of the Secretary that— (i)such place, town, village, or city is experiencing economic distress, which may be evidenced by any factors of economic distress as the Secretary may provide, which may include factors such as— (I)an unemployment rate that is higher than the national average; (II)an average wage that is lower than the national wage; (III)an average home sale price that is less than the national average; or (IV)any other factor evidencing economic distress as the Secretary may provide; and (ii)eligibility of such place, town, village, or city for the programs under this title would be of significant value in helping such place, town, village, or city recover from such economic distress. (2)

Request for treatment as rural; determination

The Secretary shall provide for communities to submit requests for consideration of treatment as rural and a rural area pursuant to this subsection and the Secretary shall make a determination with respect to any such request not later that the expiration of the 90-day period beginning upon receipt of such request. (3)

Applicability

A place, town, village, or city treated as rural and a rural areas pursuant to this subsection shall be so treated until the receipt of data from the first decennial census occurring after the determination pursuant to this subsection. .