# § 12183. Approval of applications
**(a)** **In general** In evaluating applications submitted under section 12182(b)(2)(B) of this title, the Secretary shall ensure that—
**(1)** the residents of the target area to be served (as identified under the strategic development plan) would have an income that is less than the median income for the area (as determined by the Secretary);
**(2)** the applicant community development corporation possesses the technical and managerial capability necessary to administer a revolving loan fund and has past experience in the development and management of housing, community and economic development programs;
**(3)** the applicant community development corporation has provided sufficient evidence of the existence of good working relationships with—
**(A)** local businesses and financial institutions, as well as with the community the corporation proposes to serve; and
**(B)** local and regional job training programs;
**(4)** the applicant community development corporation will target job opportunities that arise from revolving loan fund investments under this subpart so that 75 percent of the jobs retained or created under such investments are provided to—
**(A)** individuals with—
**(i)** incomes that do not exceed the Federal poverty line; or
**(ii)** incomes that do not exceed 80 percent of the median income of the area;
**(B)** individuals who are unemployed or underemployed;
**(C)** individuals who are participating or have participated in job training programs authorized under title I of the Workforce Innovation and Opportunity Act [29 U.S.C. 3111 et seq.] or the Family Support Act of 1988 (Public Law 100–485);
**(D)** individuals whose jobs may be retained as a result of the provision of financing available under this subpart; or
**(E)** individuals who have historically been underrepresented in the local economy; and
**(5)** a representative cross section of applicants are approved, including large and small community development corporations, urban and rural community development corporations and community development corporations representing diverse populations.
**(b)** **Priority** In determining which application to approve under this subpart the Secretary shall give priority to those applicants proposing to serve a target area—
**(1)** with a median income that does not exceed 80 percent of the median for the area (as determined by the Secretary); and
**(2)** with a high rate of unemployment, as determined by the Secretary or in which the population loss is at least 7 percent from April 1, 1980, to April 1, 1990, as reported by the Bureau of the Census.
---
**Source Credit**: (Pub. L. 103–322, title III, § 31113, Sept. 13, 1994, 108 Stat. 1883; Pub. L. 105–277, div. A, § 101(f) [title VIII, § 405(d)(44), (f)(35)], Oct. 21, 1998, 112 Stat. 2681–337, 2681–428, 2681–434; Pub. L. 113–128, title V, § 512(jj), July 22, 2014, 128 Stat. 1722.)
## Editorial Notes
### References in Text
The Workforce Innovation and Opportunity Act, referred to in subsec. (a)(4)(C), is , , . Title I of the Act is classified generally to subchapter I (§ 3111 et seq.) of chapter 32 of Title 29, Labor. For complete classification of this Act to the Code, see Short Title note set out under and Tables.
The Family Support Act of 1988, referred to in subsec. (a)(4)(C), is , , . For complete classification of this Act to the Code, see Short Title of 1988 Amendments note set out under , The Public Health and Welfare, and Tables.
### Codification
Section was formerly classified to , The Public Health and Welfare, prior to editorial reclassification and renumbering as this section.
### Amendments
2014—Subsec. (a)(4)(C). substituted “job training programs authorized under title I of the Workforce Innovation and Opportunity Act or the Family Support Act of 1988 ()” for “job training programs authorized under title I of the Workforce Investment Act of 1998 or the Family Support Act of 1988 ()”.
1998—Subsec. (a)(4)(C). , struck out “the Job Training Partnership Act or” after “authorized under”.
, substituted “authorized under the Job Training Partnership Act or title I of the Workforce Investment Act of 1998” for “authorized under the Job Training Partnership Act ( et seq.)”.
## Statutory Notes and Related Subsidiaries
### Effective Date of 2014 Amendment
Amendment by effective on the first day of the first full program year after (), see , set out as an Effective Date note under , Labor.
### Effective Date of 1998 Amendment
Amendment by section 101(f) [title VIII, § 405(d)(44)] of effective , and amendment by section 101(f) [title VIII, § 405(f)(35)] of effective , see section 101(f) [title VIII, § 405(g)(1), (2)(B)] of , set out as a note under , Government Organization and Employees.