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Energy Impacted Area Development Assistance Program's Designation Criteria

EMD-81-103 Published: Jun 26, 1981. Publicly Released: Jun 26, 1981.
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Highlights

GAO reviewed the designation criteria for the Energy Impacted Area Development Program which was established under the Powerplant and Industrial Fuel Use Act of 1978. The objective of the program is to help areas impacted by coal or uranium production, processing, or transportation. Funded through the Department of Energy (DOE) and administered by the Farmers Home Administration, the program provides grants for both development of growth management and housing plans and the development and acquisition of sites for housing and public facilities. Congress was very explicit in setting this program apart from other economic development programs and in directing that its funds only be used for energy-related impacts.

Recommendations

Recommendations for Executive Action

Agency Affected Recommendation Status
Department of Agriculture The Secretary of Energy, in cooperation with the Secretary of Agriculture, should reassess the appropriateness of the designation criteria implementing P.L. 95-620 to ensure that only areas adversely impacted by energy development are eligible for federal assistance. This would include a reassessment of the regulations determining whether a substantial increase in housing or public facilities and services has been required by the increase in eligible employment. Particular attention should be given to the appropriateness of the Proxy Criterion as a measure of substantial increase in housing or public facilities and services required as a result of the increase in employment.
Closed
GAO has no information on the actions taken in response to this recommendation.
Department of Energy The Secretary of Energy, in cooperation with the Secretary of Agriculture, should reassess the appropriateness of the designation criteria implementing P.L. 95-620 to ensure that only areas adversely impacted by energy development are eligible for federal assistance. This would include a reassessment of the regulations determining whether a substantial increase in housing or public facilities and services has been required by the increase in eligible employment. Particular attention should be given to the appropriateness of the Proxy Criterion as a measure of substantial increase in housing or public facilities and services required as a result of the increase in employment.
Closed
GAO has no information on the actions taken in response to this recommendation.
Department of Agriculture The Secretaries of Agriculture and Energy, respectively, should, after agreement is reached by them on regulations which would more effectively direct funds to energy impacted areas, should: (1) publish revised regulations in the Federal Register; and (2) reconsider the designation approvals made under the provisions of the regulations dated June 19, 1979, and rescind those which do not comply with the revised regulations.
Closed
GAO has no information on the actions taken in response to this recommendation.
Department of Energy The Secretaries of Agriculture and Energy, respectively, should, after agreement is reached by them on regulations which would more effectively direct funds to energy impacted areas, should: (1) publish revised regulations in the Federal Register; and (2) reconsider the designation approvals made under the provisions of the regulations dated June 19, 1979, and rescind those which do not comply with the revised regulations.
Closed
GAO has no information on the actions taken in response to this recommendation.

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Topics

Coal fieldsEnergy suppliesImpacted area programsLabor statisticsMiningUraniumEnergy developmentCoalHousingContract termination