Participation in the program shall be limited to:
(1) Local governments of less than twenty-five thousand (25,000) population, according to the latest certified census; and
(2) County governments if the largest community within the county does not exceed fifty thousand (50,000) population, according to the latest certified census, that have unemployment rates that have exceeded the state average for the twelve-month period prior to application, or that have certified per capita income averages that have not exceeded the state average for the twelve-month period prior to application.