EDA Reauthorization: A New Chapter in Economic Development
Washington—The Economic Development Administration (EDA), part of the U.S. Department of Commerce, marks a significant milestone with its reauthorization by Congress. This decision allows the EDA to continue its mission of bolstering American innovation and competitiveness through grants and community support. The EDA, established in 1965, has played a crucial role in enhancing public works, infrastructure, job creation, workforce development, disaster recovery, and technological advancement. The agency had not been reauthorized since 2004.
U.S. Secretary of Commerce Gina Raimondo emphasized, “Reauthorization will allow EDA to continue meeting its mission of ensuring communities across the country have the resources they need to expand economic opportunity, invest in innovation, and recover from disasters. This bipartisan support from Congress will allow EDA to evolve, modernize, and provide the services that communities across the nation need to build resilient, thriving local economies.”
The EDA directed nearly $6 billion in investments from January 2021 through November 2024, encompassing 3,393 awards in almost every state and federal territory. These projects have contributed to the creation or preservation of over 554,700 jobs and generated over $67.7 billion in private investment. These investments include numerous construction projects that create well-paying jobs and modernize infrastructure to support sustainable economic growth.
Acting Assistant Secretary for Economic Development Cristina Killingsworth noted, “The country has changed since EDA was last authorized, with new industries, new challenges, and the residual impacts of a global pandemic and the rising intensity of natural disasters. Over the last 20 years, EDA has evolved to ensure its programs make America’s communities more competitive, resilient, and secure. This reauthorization legislation will allow EDA to continue to meet the moment for generations to come.”
Key Benefits of Reauthorization
- Enhancing Job Creation and Workforce Development:
- Codification of EDA’s role in forming industry-led workforce training partnerships for innovative workforce development strategies.
- Alignment with Department of Commerce priorities, including supply chain, manufacturing, and broadband expansion.
- Modernization of EDA’s Grant Authorities:
- Creation of the Office of Disaster Recovery and Resilience to coordinate federal disaster recovery support.
- Updates to eligibility criteria to incorporate additional statistical factors in grantmaking.
- Improving Operational Efficiency and Transparency:
- Formal definition of pre-development to assist distressed communities in preparing for larger infrastructure investments.
- Permanently enacts EDA’s disaster hiring authority for rapid response capabilities.
- Strengthening the relationship between EDA and Regional Commissions for better regional program efficacy.
The reauthorization is a vital part of the Thomas R. Carper Water Resources Development Act of 2024, backed by bipartisan support in Congress.
EPW Chairman Senator Tom Carper remarked, “EDA is driving our nation’s job growth, building resilient supply chains, and investing in our local economies. Reauthorizing the EDA will give this critical agency the tools and resources it needs to better support local businesses and organizations and equip our communities with climate-resilient infrastructure, in turn strengthening both local and regional job creation and our competitiveness abroad.”
EPW Ranking Member Senator Shelley Moore Capito added, “This reauthorization will help the EDA carry out its mission to drive investment, create jobs, and grow our local economies, particularly in rural states like mine of West Virginia. I appreciate Chairman Carper, Senator Cramer, and Senator Kelly for joining in this effort to reauthorize the EDA.”
Representative Dina Titus, Ranking Member of the House Subcommittee on Economic Development, Public Buildings and Emergency Management, stated, “I am proud to have helped negotiate this package to reauthorize the Economic Development Administration and recognize the importance of tourism and outdoor recreation for economic development…”
Transportation and Infrastructure Committee Chairman Sam Graves commented, “This measure also includes important provisions to reauthorize and modernize federal economic development programs…. I want to thank Ranking Member Rick Larsen, Subcommittee Chairman David Rouzer, Subcommittee Ranking Member Grace Napolitano, as well as Chairman Carper and Ranking Member Capito in the Senate, for their hard work in developing and negotiating this final measure.”
Representative Rick Larsen, Ranking Member of the House Committee on Transportation and Infrastructure, concluded, “…I applaud today’s passage of the Water Resources Development of 2024… This legislation also includes provisions to grow the economy and create jobs by reauthorizing the Economic Development Administration…T&I Democrats remain focused on delivering good-paying jobs and safer, cleaner, greener and more accessible transportation for all Americans.”
