We are excited that over 25,000 special districts and partners are supporting our collective efforts and more join daily.

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Below is the latest status:

This week, Congress kicked off the process by reintroducing H.R.2766  into the House of Representatives.  

If you are new to this issue, or need quick speaking points for your outreach, the Act will do the following:

1. Establish a first-ever, formal definition of “special district” in federal law; and,
2. Require the White House Office of Management and Budget (OMB) to issue guidance to federal agencies requiring special districts to be recognized as local governments for the purpose of federal financial assistance determinations. Federal agencies would have one year to implement OMB’s guidance.
3. A formal definition of “special district” will foster consistency and enhance special districts’ access to federal programs, including programs that provide resources for constructing and protecting critical infrastructure. Moreover, having a formal definition of special districts codified in law would help facilitate the inclusion of special districts in future legislative efforts, particularly those that are designed to reauthorize or create new grant programs.
4. Special districts are ineligible for – or have barriers to accessing – federal programs due to the fact that the U.S. Census Bureau does not recognize special districts as geographic units of government due to the absence of a formal statutory definition.
5. Examples of program ineligibility/barriers to access include:

• Transportation Alternatives / Rails-to-Trails. Many local park districts are not able to access the U.S. Department of Transportation’s (USDOT) Transportation Alternatives (TA) program, as special districts are not Metropolitan Planning Organizations (MPOs)/do not meet USDOT’s TA eligibility criteria.
• USDOT’s Reconnecting Communities Program. Special districts are not listed in the program guidance as eligible entities. However, DOT staff has advised that special districts could qualify as a unit of local government or a non-profit organization depending upon how the district is structured.
• U.S. Department of Agriculture (USDA) Rural Housing Preservation Grants. Similar to the aforementioned example, USDA staff has expressed uncertainty regarding special district eligibility for this grant program. 
• U.S. Environmental Protection Agency’s (EPA) Clean-Heavy Duty Vehicles Program. Special districts are not explicitly listed as eligible entities in the program guidance and it remains unclear if districts qualify under the program's “municipality” umbrella.

Join us in thanking Paragon Government Relations for continuing to work very closely with supporters in an effort to ensure that the HR2766 is enacted into law.

They keep us updated weekly, so if you have any questions don’t hesitate to contact Chantal Unfug, chantalu@nationalspecialdistricts.org.