Commerce Department awards $184 million to revitalize distressed communities

August 13, 2024

The U.S. Department of Commerce’s Economic Development Administration (EDA) has announced $184 million in implementation grants for six Distressed Area Recompete Pilot Program (Recompete) finalists. The grants are part of Investing in America and are directed at revitalizing economically distressed communities by creating well-paying, high-quality jobs and expanding access to them.

“We are turning the page on a legacy of underinvestment and building an economy that gives every community a chance to get ahead,” White House National Economic Advisor Lael Brainard said. “With funding from the Recompete program, communities around the country will be able to invest in child care and transportation to enable more working families to connect to good job opportunities in manufacturing and healthcare.”

Recompete, established by the CHIPS and Science Act, focuses on regions where employment among prime-age adults (25-54 years) is notably below the national average, seeking to erase this gap through adaptable, community-focused investments. Significant job creation and business growth in “left-behind counties” since 2021 mark the strongest three-year period for these areas since the early 2000s, according to the Economic Innovation Group.

The awardees for this round of funding are:

  • Allentown, Pennsylvania: $20 million to create 650 jobs in Franklin Park, Center City and the Wards — three of the city’s most economically challenged neighborhoods. The goal is to raise employment levels in these communities to the citywide average by 2030. The city is leading the Allentown Recompete Plan, which will involve 38 local partners. The plan includes expanding training programs, improving transit, increasing access to high-quality, affordable childcare and establishing a network of career coaches to link residents to these resources. These investments aim to connect these neighborhoods to job opportunities in healthcare and manufacturing.
  • Birmingham, Alabama: $20 million to secure 1,500 new employer-based job commitments in the historically Black and redlined neighborhoods of North Birmingham, Northside, Pratt and Smithfield. The Reinvest Birmingham Recompete Plan, led by the city, will focus on workforce training for residents in these areas through a partnership with HBCU Lawson State Community College. The funding also includes support for small businesses and aims to improve access to transportation and childcare in the targeted neighborhoods.
  • Eastern Kentucky: $40 million to support local industries and small businesses, as well as job placement for those in recovery, former coal workers and others across a twelve-county region. Led by Shaping Our Appalachian Region, the Eastern Kentucky Runway Recompete Plan will focus on establishing a Workforce Training and Support Network tailored to the healthcare, energy and tech sectors. The plan also includes the creation of an Appalachian Digital Career Academy to boost employment in remote jobs and the development of two training centers to open pathways to higher-paying health care careers.
  • San Juan, Puerto Rico: $30 million to focus on delivering social services and workforce training, with an additional $130 million in public funding to the Villa Prades neighborhood with the goal of creating 2,800 jobs. The Oasis Expansion Recompete Plan, led by the Platform for Social Impact, will invest in a comprehensive, multigenerational support model to assist working-age adults in re-entering the workforce. Initiatives include child and elder care programs, small business support and reforms to the social safety net to boost family economic mobility. The plan will be backed by partnerships with the City of San Juan and four Puerto Rican government agencies.
  • Washington State’s North Olympic Peninsula: $35 million to develop sustainable and competitive timber and maritime industries across five tribal nations, Clallam County and Jefferson County, creating 1,300 new jobs. The North Olympic Peninsula Recompete Plan, led by Clallam County, will focus on workforce training, the establishment of a Community Care Hub to offer comprehensive support, and investment in manufacturing equipment and a barge network to improve trade and transportation among remote tribes.
  • Wyoming’s Wind River Reservation: $36 million to ensure the $800 million in annual economic activity generated by nearby Yellowstone National Park benefits the Eastern Shoshone and Northern Arapaho tribes. The Wind River Indigenous-based Economy Recompete Plan, led by the Wind River Development Fund, will invest in ecotourism and cultural preservation facilities, workforce development, indigenous agriculture, healthcare expansion and land sovereignty. These investments aim to build the physical infrastructure and programs needed to spur business investment and create quality jobs for residents on the reservation.

“The Department of Commerce is making substantial and historic investments in equity-centered initiatives across America,” U.S. Deputy Commerce Secretary Don Graves said. “These six Recompete awardees represent the meaningful commitment we have made to leaving no communities behind as we work to create an economy that works for all Americans.”

The CHIPS and Science Act authorized $1 billion for the Recompete program, of which EDA has appropriated $200 million so far.


Photo by Allie_Caulfield

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