Planning Programs for States and Urban Areas

Program Description: Grants under this program assist economically distressed areas to undertake significant new economic development planning, policy-making, and implementation efforts. Grants provide financial assistance to support significant economic development planning and implementation activities, such as economic analysis, definition of program goals, determination of project opportunities, and formulation and implementation of a development program.

Eligible Communities: States, sub-state planning units, cities, urban counties within a metropolitan statistical area, and combinations of these entities are eligible to apply.

Funding Information: The grant award is generally for a period of 12-18 months. The maximum federal share is 75% of the total project cost. Among the factors considered are economic distress of the area; appropriateness of the work program to area needs; relationship of the proposed activities to the problems of the area’s unemployed and under-employed; and commitment of the chief executive. Consideration is given to innovative projects and the replicability of the process and/or results. EDA awards grants only and considers the unemployment in an area. EDA gives priority to projects designated as high priority by local economic development agencies. In addition, projects must result in job creation. Funds are available on a reimbursable basis upon approval. For technical assistance and planning projects, funds are available immediately or as soon as the work begins. For construction projects, funds are usually not disbursed until all construction contracts are awarded.

Timelines: EDA is funded on the basis of federal fiscal year that runs October 1 to September 30. EDA is open for preapplications year-round. The EDA field representative will invite a preapplication for a project which seems to have a good chance of being successful. The preapplication is then submitted to the EDA regional office where a project review committee decides whether or not to invite a final application. After the final application is completely reviewed, the regional director makes the final decision. Most projects that submit a final application are approved for funding. The entire process from preapplication to final decision can take from three months (rare) to a year or more. The process can be lengthy because (1) EDA stops considering preapplications when spending limits for the fiscal year are complete, and (2) there are always numerous projects for the small staff to review.

Contact: Anne Berblinger Deena Sosson

US Dept. of Commerce – EDA US Dept. of Commerce - EDA

Suite 244, One World Trade Center 801 I Street, Suite 411

121 SW Salem Street Sacramento, CA 95814

Portland, OR 97204 Phn (916)498-5285

Phn (503)326-3078 Fax (916)498:5286

Fax (503)326:6351 Int www.doc.gov/eda/