To amend the Internal Revenue Code of 1986 to allow for the expansion of areas designated as renewal communities based on 2000 census data.

February 13, 2003

Mr. QUINN (for himself, Mr. REYNOLDS, Mr. HOUGHTON, Ms. SLAUGHTER, and Mr. WALSH) introduced the following bill; which was referred to the Committee on Ways and Means

To amend the Internal Revenue Code of 1986 to allow for the expansion of areas designated as renewal communities based on 2000 census data.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,

SECTION 1. EXPANSION OF DESIGNATED RENEWAL COMMUNITY AREA BASED ON 2000 CENSUS DATA.

(a) IN GENERAL- Section 1400E of the Internal Revenue Code of 1986 (relating to designation of renewal communities) is amended by adding at the end the following new subsection:

`(g) EXPANSION OF DESIGNATED AREAS-

`(1) EXPANSION BASED ON 2000 CENSUS- At the request of the nominating entity with respect to a renewal community, the Secretary of Housing and Urban Development may expand the area of a renewal community to include any census tract--

`(A) which, at the time such community was nominated, met the requirements of this section for inclusion in such community but for the failure of such tract to meet 1 or more of the population and poverty rate requirements of this section using 1990 census data, and

`(B) which meets all failed population and poverty rate requirements of this section using 2000 census data.

`(2) EXPANSION TO CERTAIN AREAS WHICH DO NOT MEET POPULATION REQUIREMENTS-

`(A) IN GENERAL- At the request of 1 or more local governments and the State or States in which an area described in subparagraph (B) is located, the Secretary of Housing and Urban Development may expand a designated area to include such area.

`(B) AREA- An area is described in this subparagraph if--

`(i) the area is adjacent to at least 1 other area designated as a renewal community,

`(ii) the area has a population less than the population required under subsection (c)(2)(C), and

`(iii) the area meets the requirements of subparagraphs (A) and (B) of subsection (c)(2) and subparagraph (A) of subsection (c)(3).

`(3) APPLICABILITY- Any expansion of a renewal community under this section shall take effect as provided in subsection (b).'.

(b) EFFECTIVE DATE- The amendment made by subsection (a) shall take effect as if included in the amendments made by section 101 of the Community Renewal Tax Relief Act of 2000.

END