Page:United States Statutes at Large Volume 118.djvu/1461

 118 STAT. 1431 PUBLIC LAW 108–357—OCT. 22, 2004 Subtitle C—Community Revitalization SEC. 221. MODIFICATION OF TARGETED AREAS AND LOW INCOME COMMUNITIES FOR NEW MARKETS TAX CREDIT. (a) TARGETED AREAS.—Paragraph (2) of section 45D(e) (relating to targeted areas) is amended to read as follows: ‘‘(2) TARGETED POPULATIONS.—The Secretary shall pre scribe regulations under which 1 or more targeted populations (within the meaning of section 103(20) of the Riegle Community Development and Regulatory Improvement Act of 1994 (12 U.S.C. 4702(20))) may be treated as low income communities. Such regulations shall include procedures for determining which entities are qualified active low income community businesses with respect to such populations.’’. (b) TRACTS WITH LOW POPULATION.—Subsection (e) of section 45D (defining low income community) is amended by adding at the end the following: ‘‘(4) TRACTS WITH LOW POPULATION.—A population census tract with a population of less than 2,000 shall be treated as a low income community for purposes of this section if such tract— ‘‘(A) is within an empowerment zone the designation of which is in effect under section 1391, and ‘‘(B) is contiguous to 1 or more low income communities (determined without regard to this paragraph).’’. (c) EFFECTIVE DATES.— (1) TARGETED AREAS.—The amendment made by subsection (a) shall apply to designations made by the Secretary of the Treasury after the date of the enactment of this Act. (2) TRACTS WITH LOW POPULATION.—The amendment made by subsection (b) shall apply to investments made after the date of the enactment of this Act. SEC. 222. EXPANSION OF DESIGNATED RENEWAL COMMUNITY AREA BASED ON 2000 CENSUS DATA. (a) IN GENERAL.—Section 1400E (relating to designation of renewal communities) is amended by adding at the end the following new subsection: ‘‘(g) EXPANSION OF DESIGNATED AREA BASED ON 2000 CENSUS.— ‘‘(1) IN GENERAL.—At the request of all governments which nominated an area as a renewal community, the Secretary of Housing and Urban Development may expand the area of such community to include any census tract if— ‘‘(A)(i) at the time such community was nominated, such community would have met the requirements of this section using 1990 census data even if such tract had been included in such community, and ‘‘(ii) such tract has a poverty rate using 2000 census data which exceeds the poverty rate for such tract using 1990 census data, or ‘‘(B)(i) such community would be described in subpara graph (A)(i) but for the failure to meet one or more of the requirements of paragraphs (2)(C)(i), (3)(C), and (3)(D) of subsection (c) using 1990 census data, 26 USC 45D note. Regulations.

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