112 STAT. 3624 PUBLIC LAW 105-393 —NOV. 13, 1998 for a project that is carried out in a county for which an attainment county designation is in effect under this section. "(3) EXCEPTIONS. — The requirements of paragraphs (1) and (2) shall not apply to— "(A) any project on the Appalachian development highway system authorized by section 201; "(B) any local development district administrative project assisted under section 302(a)(1); or "(C) any multicounty project that is carried out in 2 or more counties designated under this section if— "(i) at least 1 of the participating counties is designated as a distressed county under this section; and "(ii) the project will be of substantial direct benefit to 1 or more distressed counties. "(4) WAIVER. — "(A) IN GENERAL.— The Commission may waive the requirements of paragraphs (1) and (2) for a project upon a showing by the recipient of assistance for the project of 1 or more of the following: "(i) The existence of a significant pocket of distress in the part of the county in which the project is carried out. "(ii) The existence of a significant potential benefit from the project in 1 or more areas of the region outside the designated county. "(B) REPORTS TO CONGRESS.— The Commission shall submit to the Committee on Environment and Public Works of the Senate and the Committee on Transportation and Infrastructure of the House of Representatives an annual report describing each waiver granted under subparagraph (A) during the period covered by the report.". SEC. 220. GRANTS FOR ADMINISTRATIVE EXPENSES AND COMMIS- SION PROJECTS. (a) AVAILABILITY OF AMOUNTS.—Section 302(a) of the Appalachian Regional Development Act of 1965 (40 U.S.C. App.) is amended— (1) by striking "The President" and inserting "The Commission"; and (2) in paragraphs (1), (2), and (3), by striking "to the Commission" each place it appears. (b) COST SHARING. —Section 302(a) of the Appalachian Regional Development Act of 1965 (40 U.S.C. App.) is amended— (1) in paragraph (1)— (A) in subparagraph (A), by striking "75 per centum" and inserting "50 percent"; and (B) by redesignating subparagraphs (A), (B), and (C) as clauses (i), (ii), and (iii), respectively; (2) by redesignating paragraphs (1), (2), and (3) as subparagraphs (A), (B), and (C), respectively; (3) by striking "(a) The" and inserting the following: "(a) AUTHORIZATION TO MAKE GRANTS.— "(1) IN GENERAL.— The"; (4) by adjusting the margins of subparagraphs (A), (B), and (C) (as redesignated by paragraph (2)) to reflect the amendment made by paragraph (3); and (5) by adding at the end the following:
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