Economic Development_Support for Planning Organizations

The Economic Development Administration (EDA) provides Planning assistance to provide support to Planning Organizations (as defined in 13 CFR 303.2) for the development, implementation, revision, or replacement of a Comprehensive Economic Development Strategy (CEDS), short-term planning efforts, and
State plans designed to create and retain higher-skill, higher-wage jobs, particularly for the unemployed and underemployed in the nation's most economically distressed regions.

Planning activities supported by these grants (referred to throughout this document as investments) must be part of a continuous process involving the active participation of Private Sector Representatives (as defined in 13 CFR 300.3), public officials, and private citizens.

In addition, they must include: (a) analysis of local economies; (b) identification of economic development goals; (c) determination of project opportunities; and (d) formulation and implementation of an economic development program that includes systematic efforts to reduce unemployment and increase incomes.

Current investment priorities include applications that help develop and enhance regional industry clusters and assist local leaders in understanding and applying the principles of entrepreneurship and technological innovation.

See 13 CFR 303.1 and 303.7.
Examples of Funded Projects

Examples of projects funded through the Planning Program include: (a) support for Planning Organizations in the creation, implementation, revision, or replacement of a CEDS; (b) development and implementation of training programs for Planning Organization members; (c) support for community planning events; (d) implementation of CEDS-related projects; (e) development of economic strategies in the wake of a military base realignment; and (f) disaster-mitigation planning.


Agency - Department of Commerce

The Department of Commerce fosters and promotes the nation's economic development and technological advancement through vigilance in international trade policy, domestic business policy and growth, and promoting economic progress at all levels.

Office - Refer to Appendix IV of the Catalog for EDA regional office contact information.
Website Address

www.eda.gov



Program Accomplishments

In FY 2007, 412 Planning investments were awarded to District Organizations, Indian Tribes, States, urban areas, and sub-state political subdivisions. These entities carried out a variety of Planning efforts aimed at generating jobs and income for their region and for unemployed and underemployed residents.

Uses and Use Restrictions

Planning investment assistance helps bear the direct and indirect costs incurred by a Planning Organization in developing and implementing a CEDS.

Eligibility Requirements

Applicant Eligibility

Pursuant to PWEDA, eligible applicants for and recipients of EDA investment assistance include a(n): (a) District Organization (as defined in 13 CFR 304.2); (b) Indian Tribe or a consortium of Indian Tribes; (c) State, city, or other political subdivision of a State, including a special purpose unit of a State or local government engaged in economic or infrastructure development activities, or a consortium of political subdivisions; (d) institution of higher education or a consortium of institutions of higher education; or (e) public or private non-profit organization or association acting in cooperation with officials of a political subdivision of a State.

See section 3 of PWEDA (42 U.S.C.

3122) and 13 CFR 300.3.

As used in this paragraph, State includes the Commonwealth of Puerto Rico, the U.S.

Virgin Islands, Guam, American Samoa, and the Commonwealth of the Northern Mariana Islands, the Republic of the Marshall Islands, the Federated States of Micronesia, and the Republic of Palau.

See 13 CFR 300.3 and 301.2.

Beneficiary Eligibility

Not applicable. EDA Planning investments provide support to Planning Organizations for the development, implementation, revision, or replacement of a CEDS. They also may provide support for related short-term planning investments and State plans designed to create and retain higher-skill, higher-wage jobs, particularly for the unemployed and underemployed in the nation's most economically distressed regions.

Credentials/Documentation

Applicants must satisfy all applicable federal, Department of Commerce and EDA standards and regulations, including all terms and conditions of the financial assistance award. Costs will be determined in accordance with applicable federal cost principles and administrative requirements.

Aplication and Award Process

Preapplication Coordination

None.

This program is excluded from coverage under E.O.

12372.

Application Procedures

For information on the application process, you may access the federal funding opportunity (FFO) announcement for planning assistance at www.grants.gov and at www.eda.gov. EDA will review each application for planning investment assistance in accordance with the evaluation criteria, funding priorities, and selection procedures set forth in the applicable FFO. Applications are subject to the intergovernmental review process authorized under Executive Order 12372. See 13 CFR 302.9 and 15 CFR Part 13.

Award Procedures

The Assistant Secretary of Commerce for Economic Development (Assistant Secretary) approves the initial investment to District Organizations, Indian Tribes, and other Planning Organizations. The appropriate regional office approves continuation awards.

Deadlines

Not applicable.

Authorization

Section 203 of the Public Works and Economic Development Act of 1965, as amended (PWEDA), (42 U.S.C. 3143).

Range of Approval/Disapproval Time

Generally, 45 to 60 days are required for EDA to reach a final decision after receipt of a completed application that meets all requirements.

Appeals

None.

Renewals

EDA will provide Planning assistance for the period of time required to develop, revise, replace, or implement a CEDS, generally in 36-month renewable investment project periods. EDA will consider a recipient's performance over previous investment project periods in order to determine whether additional Planning investments should be awarded. See 13 CFR 303.4.

Assistance Considerations

Formula and Matching Requirements

Generally, an EDA investment may not exceed 50 percent of the total cost of a project. Projects may receive an additional amount that shall not exceed 30 percent, based on the relative needs of the region in which the project will be located, as determined by EDA. See section 204(a) of PWEDA (42 U.S.C. 3144) and 13 CFR 301.4(b)(1). For Planning assistance, the minimum EDA investment rate for projects under 13 CFR part 303 is 50 percent, and the maximum allowable EDA investment rate is 80 percent. See 13 CFR 301.4(b)(3). In the case of EDA investment assistance to (a) Indian Tribe, (b) State or political subdivision of a State that the Assistant Secretary determines has exhausted its effective taxing and borrowing capacity, or (c) nonprofit organization that the Assistant Secretary determines has exhausted its effective borrowing capacity, the Assistant Secretary has the discretion to establish a maximum allowable EDA investment rate of up to 100 percent of the total project cost. See sections 204(c)(1) and (2) of PWEDA (42 U.S.C. 3144) and 13 CFR 301.4(b)(5). Potential applicants should contact the appropriate EDA regional office to make these determinations. While cash contributions are preferred, in-kind contributions, such as contributions of space, equipment, assumptions of debt, and services, may provide the required non-federal share of the total project cost. Applicants must show that the required matching share is committed to the project for the project period, available as needed, and not conditioned or encumbered in any way that precludes its use consistent with the requirements of EDA investment assistance. See section 204(b) of PWEDA (42 U.S.C. 3144) and 13 CFR 301.5.

Length and Time Phasing of Assistance

A project period generally consists of increments of 12 months for a total of 36 months, depending on past performance and the availability of funds. Funds are disbursed quarterly. EDA recently has increased the number of its Planning investments being funded on a 3-year basis.

Post Assistance Requirements

Reports

Recipients are subject to all federal laws and to all federal, Department of Commerce and EDA policies, regulations, and procedures applicable to federal financial assistance awards, including but not limited to 15 CFR Parts 14 or 24, as applicable.

Standard financial and performance reports are required, and special reports for specific projects may be requested.

See 13 CFR 302.6 and 302.16.

Audits

In accordance with the provisions of OMB Circular No. A-133, recipients that are States, local governments, non-profit organizations, and institutions of higher education are subject to the requirements contained in the Single Audit Act Amendments of 1996 (31 U.S.C. 7501, et seq.). States, local governments, and non-profit organizations that expend $500,000 or more in a year in federal awards shall have a single or program-specific audit conducted for that year. In addition, recipients must provide EDA, the Inspector General of the Department of Commerce, and the Comptroller General of the United States with access to its properties to examine all materials necessary to verify compliance with investment requirements. See 13 CFR 302.14(b).

Records

All financial and programmatic records, supporting documents, statistical reports, and other records of recipients and sub-recipients must be maintained according to the terms of the investment award.

Financial Information

Account Identification

13-2050-0-1-452.

Obigations

(Investments) FY 07 $29,597,524; FY 08 $27,000,000; and FY 09 est $27,000,000.

Range and Average of Financial Assistance

In FY 2007, Planning Investments ranged from $2,000 to $742,000. The average award was $71,839. The average award for District Organizations was $72,450; the average for Indian Tribes' projects was $51,058; and the average for States and all other area projects was $105,160.

Regulations, Guidelines, and Literature

13 CFR Parts 300-303.

Information Contacts

Regional or Local Office

Refer to Appendix IV of the Catalog for EDA regional office contact information.

Headquarters Office

Economic Development Administration, Department of Commerce, 1401 Constitution Avenue, N.W., Washington, DC 20230.

Criteria for Selecting Proposals

EDA will review all applications for Planning assistance for the feasibility of the budget presented and conformance with EDA's statutory and regulatory requirements. EDA will assess the economic development needs of the affected region in which the proposed project will be located, as well as applicant's capacity to implement the proposed project. Furthermore, EDA will select applications competitively based on strategic areas of interest and priority considerations identified in the applicable FFO. EDA also may consider the degree to which a proposed project: (a) is market-based and results driven; (b) has strong organizational leadership; (c) advances productivity, innovation and entrepreneurship; (d) looks beyond the immediate economic horizon, anticipates economic changes and diversifies the local and regional economy; and (e) demonstrates a high degree of local commitment. Planning investment applications must meet EDA's investment policy guidelines as set out in 13 CFR 301.8, the requirements of 13 CFR Part 303, as applicable, and other requirements provided in the applicable FFO.



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