---
kind: "section"
citation: "42 U.S.C. § 11504"
title: "42"
title_heading: "The Public Health and Welfare"
number: "11504"
heading: "Waiver or modification of housing and community development rules in enterprise zones"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/42/11504"
units:
  - "Chapter 120 — Enterprise Zone Development"
---

# §11504. Waiver or modification of housing and community development rules in enterprise zones

- (a) **In general—** Upon the written request of the governments that designated and approved an area that has been designated as an enterprise zone under [section 11501 of this title](/usc/42/11501.md), the [Secretary](/usc/42/242q–4.md?p=2) of Housing and Urban Development (or, with respect to any rule issued under title V of the Housing Act of 1949 [[42 U.S.C. 1471](/usc/42/1471.md) et seq.], the [Secretary](/usc/42/242q–4.md?p=2) of Agriculture) may, in order to further the job creation, community development, or economic revitalization objectives of the zone, waive or modify all or part of any rule that the [Secretary](/usc/42/242q–4.md?p=2) has authority to promulgate, as such rule pertains to the carrying out of [projects](/usc/42/13641.md?p=2), activities, or undertakings within the zone.
- (b) **Limitation—** No provision of this section may be construed to authorize the [Secretary](/usc/42/242q–4.md?p=2) to waive or modify any rule adopted to carry out a statute or Executive order that prohibits, or the purpose of which is to protect persons against, discrimination on the basis of race, color, religion, sex, marital status, national origin, age, or handicap.
- (c) **Submission of requests—** A request under [subsection (a)](#a) shall specify the rule or rules to be waived or modified and the change proposed, and shall briefly describe why the change would promote the achievement of the job creation, community development, or economic revitalization objectives of the enterprise zone. If a request is made to the [Secretary](/usc/42/242q–4.md?p=2) of Agriculture, the requesting governments shall send a copy of the request to the [Secretary](/usc/42/242q–4.md?p=2) of Housing and Urban Development at the time the request is made.
- (d) **Consideration of requests—** In considering a request, the [Secretary](/usc/42/242q–4.md?p=2) shall weigh the extent to which the proposed change is likely to further job creation, community development, or economic revitalization within the enterprise zone against the effect the change is likely to have on the underlying purposes of applicable statutes in the geographic area that would be affected by the change. The [Secretary](/usc/42/242q–4.md?p=2) shall approve the request whenever the [Secretary](/usc/42/242q–4.md?p=2) finds, in the discretion of the [Secretary](/usc/42/242q–4.md?p=2), that the public interest that the proposed change would serve in furthering such job creation, community development or economic revitalization outweighs the public interest that continuation of the rule unchanged would serve in furthering such underlying purposes. The [Secretary](/usc/42/242q–4.md?p=2) shall not approve any request to waive or modify a rule if that waiver or modification would—
  - (1) directly violate a statutory requirement; or
  - (2) be likely to present a significant risk to the public health, including environmental health or safety.
- (e) **Notice of disapproval—** If a request is disapproved, the [Secretary](/usc/42/242q–4.md?p=2) shall inform the requesting governments in writing of the reasons therefor and shall, to the maximum extent possible, work with such governments to develop an alternative, consistent with the standards contained in [subsection (d)](#d).
- (f) **Period for determination—** The [Secretary](/usc/42/242q–4.md?p=2) shall discharge the responsibilities of the [Secretary](/usc/42/242q–4.md?p=2) under this section in an expeditious manner, and shall make a determination on requests not later than 90 days after their receipt.
- (g) **Applicable procedures—** A waiver or modification of a rule under [subsection (a)](#a) shall not be considered to be a rule, rulemaking, or regulation under chapter 5 of title 5. To facilitate reaching a decision on any requested waiver or modification, the [Secretary](/usc/42/242q–4.md?p=2) may seek the views of interested parties and, if the views are to be sought, determine how they should be obtained and to what extent, if any, they should be taken into account in considering the request. The [Secretary](/usc/42/242q–4.md?p=2) shall publish a notice in the Federal Register stating any waiver or modification of a rule under this section.
- (h) **Effect of subsequent amendment of rules—** In the event that the [Secretary](/usc/42/242q–4.md?p=2) proposes to amend a rule for which a waiver or modification under this section is in effect, the [Secretary](/usc/42/242q–4.md?p=2) shall not change the waiver or modification to impose additional requirements unless the [Secretary](/usc/42/242q–4.md?p=2) determines, consistent with standards contained in [subsection (d)](#d), that such action is necessary.
- (i) **Expiration of waivers and modifications—** No waiver or modification of a rule under this section shall remain in effect for a longer period than the period for which the enterprise zone designation remains in effect for the area in which the waiver or modification applies.
- (j) **Definitions—** For purposes of this section:
  - (1) **Rule—** The term “rule” means—
    - (A) any rule as defined in [section 551(4) of title 5](/usc/5/551.md?p=4); or
    - (B) any rulemaking conducted on the record after opportunity for an [agency](/usc/42/8262.md?p=1) hearing pursuant to sections 556 and 557 of title 5.
  - (2) **Secretary—** The term “[Secretary](/usc/42/242q–4.md?p=2)” means the [Secretary](/usc/42/242q–4.md?p=2) of Housing and Urban Development or, with respect to any rule issued under title V of the Housing Act of 1949 [[42 U.S.C. 1471](/usc/42/1471.md) et seq.], the [Secretary](/usc/42/242q–4.md?p=2) of Agriculture.

## Source credit

(Pub. L. 100–242, title VII, § 704, Feb. 5, 1988, 101 Stat. 1962.)

## Notes

### Editorial Notes

### References in Text

The Housing Act of 1949, referred to in subsecs. (a) and (j)(2), is act July 15, 1949, ch. 338, 63 Stat. 413. Title V of the Housing Act of 1949 is classified generally to subchapter III (§ 1471 et seq.) of chapter 8A of this title. For complete classification of this Act to the Code, see Short Title note set out under section 1441 of this title and Tables.
