---
kind: "section"
citation: "42 U.S.C. § 3144"
title: "42"
title_heading: "The Public Health and Welfare"
number: "3144"
heading: "Cost sharing"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/42/3144"
units:
  - "Chapter 38 — Public Works and Economic Development"
  - "Subchapter II — Grants for Public Works and Economic Development"
---

# §3144. Cost sharing

- (a) **Federal share—** Except as provided in [subsection (c)](#c), the Federal share of the cost of any [project](/usc/42/13641.md?p=2) carried out under this subchapter shall not exceed—
  - (1) 60 percent; plus
  - (2) an additional percent that—
    - (A) shall not exceed 30 percent; and
    - (B) is based on the relative needs of the area in which the [project](/usc/42/13641.md?p=2) will be located, as determined in accordance with regulations promulgated by the [Secretary](/usc/42/3122.md?p=13).
- (b) **Non-Federal share—**
  - (1) **In general—** In determining the amount of the non-Federal share of the cost of a [project](/usc/42/13641.md?p=2), the [Secretary](/usc/42/3122.md?p=13) may provide credit toward the non-Federal share for all contributions both in cash and in-kind, fairly evaluated, including contributions of space, equipment, assumptions of debt, and services.
  - (2) **Regional Commission funds—** Notwithstanding any other provision of law, any funds contributed by a [Regional Commission](/usc/42/3122.md?p=12) for a [project](/usc/42/13641.md?p=2) under this subchapter may be considered to be part of the non-Federal share of the costs of the [project](/usc/42/13641.md?p=2).
- (c) **Increase in Federal share—**
  - (1) **Indian tribes—** In the case of a [grant](/usc/42/3122.md?p=8) to an [Indian tribe](/usc/42/3122.md?p=9) for a [project](/usc/42/13641.md?p=2) under this subchapter, the [Secretary](/usc/42/3122.md?p=13) may increase the Federal share above the percentage specified in [subsection (a)](#a) up to 100 percent of the cost of the [project](/usc/42/13641.md?p=2).
  - (2) **Certain States, political subdivisions, and nonprofit organizations—** In the case of a [grant](/usc/42/3122.md?p=8) to a [State](/usc/42/3122.md?p=14), or a political subdivision of a [State](/usc/42/3122.md?p=14), that the [Secretary](/usc/42/3122.md?p=13) determines has exhausted the effective taxing and borrowing capacity of the [State](/usc/42/3122.md?p=14) or political subdivision or can otherwise document that no local matching funds are reasonably obtainable, or in the case of a [grant](/usc/42/3122.md?p=8) to a [nonprofit](/usc/42/300s–3.md?p=3) organization that the [Secretary](/usc/42/3122.md?p=13) determines has exhausted the effective borrowing capacity of the [nonprofit](/usc/42/300s–3.md?p=3) organization, the [Secretary](/usc/42/3122.md?p=13) may increase the Federal share above the percentage specified in [subsection (a)](#a) up to 100 percent of the cost of the [project](/usc/42/13641.md?p=2).
  - (3) **Training, research, and technical assistance—** In the case of a [grant](/usc/42/3122.md?p=8) provided under section [3143](/usc/42/3143.md) or [3147](/usc/42/3147.md) of this title, the [Secretary](/usc/42/3122.md?p=13) may increase the Federal share above the percentage specified in [subsection (a)](#a) up to 100 percent of the cost of the [project](/usc/42/13641.md?p=2).
  - (4) **Small communities—** In the case of a [grant](/usc/42/3122.md?p=8) to a political subdivision of a [State](/usc/42/3122.md?p=14) (as described in [section 3122(6)(A)(iv) of this title](/usc/42/3122.md?p=6-A-iv)) that has a population of fewer than 10,000 residents and meets 1 or more of the eligibility criteria described in [section 3161(a) of this title](/usc/42/3161.md?p=a), the [Secretary](/usc/42/3122.md?p=13) may increase the Federal share under [paragraph (1)](#c-1) up to 100 percent of the total cost of the [project](/usc/42/13641.md?p=2).

## Source credit

(Pub. L. 89–136, title II, § 204, as added Pub. L. 105–393, title I, § 102(a), Nov. 13, 1998, 112 Stat. 3603; amended Pub. L. 108–373, title II, § 202, Oct. 27, 2004, 118 Stat. 1759; Pub. L. 118–272, div. B, title II, § 2215, Jan. 4, 2025, 138 Stat. 3181.)

## Notes

### Editorial Notes

### Prior Provisions

A prior section 3144, Pub. L. 89–136, title II, § 204, as added Pub. L. 94–487, title I, § 109, Oct. 12, 1976, 90 Stat. 2333; amended Pub. L. 96–470, title I, § 201(d), Oct. 19, 1980, 94 Stat. 2241; Pub. L. 96–506, § 1(4), Dec. 8, 1980, 94 Stat. 2745; Pub. L. 97–35, title XVIII, § 1821(a)(3), Aug. 13, 1981, 95 Stat. 766, authorized interest free loans to carry out approved redevelopment area plans, prior to repeal by Pub. L. 105–393, § 102(a).

### Amendments

2025—Subsec. (a)(1). Pub. L. 118–272, § 2215(1), substituted “60” for “50”.

Subsec. (b). Pub. L. 118–272, § 2215(2), designated existing provisions as par. (1), inserted heading, and added par. (2).

Subsec. (c)(2). Pub. L. 118–272, § 2215(3)(A), inserted “or can otherwise document that no local matching funds are reasonably obtainable” after “or political subdivision”.

Subsec. (c)(3). Pub. L. 118–272, § 2215(3)(B), substituted “section 3143 or 3147 of this title” for “section 3147 of this title” and “project.” for “project if the Secretary determines that the project funded by the grant merits, and is not feasible without, such an increase.”

Subsec. (c)(4). Pub. L. 118–272, § 2215(3)(C), added par. (4).

2004—Subsec. (a). Pub. L. 108–373, § 202(a), added subsec. (a) and struck out heading and text of former subsec. (a). Text read as follows: “Subject to section 3145 of this title, the amount of a grant for a project under this subchapter shall not exceed 50 percent of the cost of the project.”

Subsec. (b). Pub. L. 108–373, § 202(b), inserted “assumptions of debt,” after “equipment,”.

Subsec. (c). Pub. L. 108–373, § 202(c), added subsec. (c).

### Statutory Notes and Related Subsidiaries

### Effective Date

Section effective Feb. 11, 1999, see section 105 of Pub. L. 105–393, set out as a note under section 3121 of this title.