WASHINGTON – Founded in 1965, the U.S. Economic Development Administration (EDA) was established to help create and retain jobs, and stimulate growth in economically-distressed communities throughout the country. Since its creation, EDA’s programs and initiatives have supported a wide range of economic development activities to improve local economies, including workforce training and infrastructure development. 

While EDA receives annual funding through the appropriations process, it has not been reauthorized since 2004. This underscores the need to reassert congressional direction over the agency and update its mission to effectively serve the needs of communities nationwide. U.S. Senators Kevin Cramer (R-ND) and Mark Kelly (D-AZ), Ranking Member and Chairman of the Senate Environment and Public Works (EPW) Transportation & Infrastructure Subcommittee, along with EPW Committee Ranking Member U.S. Senator Shelley Moore Capito (R-WV) and Chairman U.S. Senator Tom Carper (D-DE), introduced the Economic Development Reauthorization Act of 2024, to amend EDA’s reauthorization. This bipartisan legislation updates funding levels in a fiscally responsible manner, emphasizes infrastructure projects, provides opportunities for small rural communities, and supports locally-driven economic development decisions.

“Modernizing the Economic Development Administration’s mission and funding levels is Congress’ responsibility and long overdue,” said Cramer.“This bill provides critical updates to the agency’s programs and initiatives and will better support EDA’s mission to facilitate locally-driven economic growth. This reauthorization emphasizes hard infrastructure and workforce development while including specific reforms to benefit the small, rural communities across North Dakota.” 

“The Economic Development Administration is a critical partner for many of our communities, helping to drive investment, create jobs, and grow local economies across West Virginia,” said Capito. “It is past time for Congress to reauthorize the EDA and I’m excited to partner with Chairman Carper, Senator Cramer, and Senator Kelly to introduce the bipartisan Economic Development Reauthorization Act of 2024. This legislation will help preserve locally-driven economic development decisions and ensure core programs that fund a range of activities, including infrastructure projects, will continue for years to come.”

“The Economic Development Administration is driving our nation’s job growth, building resilient supply chains, and investing in our local economies,” said Carper. “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. I am grateful to my colleagues on both sides of the aisle for their partnership in writing this legislation to empower the EDA for years to come.”

“From providing economic development opportunities in rural and tribal communities, onshoring critical manufacturing supply chains, and permanently authorizing Arizona’s Southwest Border Regional Commission, our bipartisan bill will help communities in every corner of the country thrive,” said Kelly. “In crafting this bill, I heard from Arizona mayors, county supervisors, economic development planners, and business leaders to ensure the Economic Development Administration meets the challenges and opportunities of the future. As chair of the Subcommittee on Transportation and Infrastructure, I appreciate the work that went into this from Republicans and Democrats and look forward to seeing our bipartisan compromise get signed into law.”

North Dakota Priorities Secured by Senator Cramer:

  • Includes language in the findings section highlighting challenges faced by rural communities with limited tax revenue in addressing costly infrastructure needs.
  • Authorizes EDA, when awarding Public Works and Economic Development grants, to consider how a project may help highly rural communities with a limited tax base address infrastructure needs.
  • Allows communities of under 10,000 people to receive EDA grants at 100% federal cost share if they meet one of the existing economic distress criteria.
  • Authorizes appropriations of $40 million annually through Fiscal Year 2029 for the Northern Great Plains Regional Authority.
  • Increases the authorized funding level for EDA Partnership Planning Grants and raises the federal cost share from 50 to 60%.

Other Key Initiatives Include:

  • Increases the authorized funding level for EDA Economic Development and Public Works Grants.
  • Increases the authorized funding level for EDA Economic Adjustment Assistance Grants.
  • Sets EDA investment priorities into statute, which include critical infrastructure, workforce, innovation & entrepreneurship, and economic resilience.
  • Establishes a Workforce Training Grant Program to support workforce development activities.
  • Creates an EDA Office of Tribal Economic Development to help Tribal communities access economic development assistance programs. 
  • Creates an EDA Office of Disaster Recovery and Resiliency to help the agency more effectively administer disaster assistance.
  • Authorizes funding for EDA Regional Offices to create Technical Assistance Liaisons to assist any state served by the region.
  • Requires a GAO report evaluating the effectiveness of EDA programs.
  • Requires a GAO report to Congress on the impact of EDA funding in rural communities.
  • Requires a GAO report listing recommendations for simplifying the EDA grant application process.
  • Requires EDA to provide a report to Congress within six months detailing how it’s implementing the improvements to the National Environmental Policy Act made by the Fiscal Responsibility Act.
  • Requires EDA to implement these changes through rulemaking within two years after the report is submitted to Congress.

Click here for bill text. Click here for a summary.