Article
EDA announces $483 million for communities struck by a natural disaster in 2021 and 2022
May 4, 2023 · Authored by Elias Mathes
The US Economic Development Administration (EDA) has announced $483 million in supplemental funding through the Economic Adjustment Assistance (EAA) program for communities that received a presidential disaster declaration in 2021 or 2022. This is more than double the normal funding allocation for the EAA program and has lower local match requirements, allowing communities to receive between 80-100% federal match for their projects. Because of the larger amount of funding that is available to a limited number of communities, there is a great chance that your application can be funded through the FY23 NOFO.
The EAA program funds both construction and non-construction projects to assist a wide variety of activities related to disaster recovery, including economic recovery strategic planning grants, and public works construction assistance.
Baker Tilly’s economic development team is highly experienced with federal grant programs and has supported numerous clients with EDA and other federal grant applications. Our team can guide you through the process and help make your application competitive to secure this vital funding. $483 million in supplemental disaster relief funding is available through the EAA program for the current funding cycle. Take the first step by contacting Baker Tilly today for an initial consultation.
All the following entities are considered eligible applicants if they are located in an area where a Presidential declaration of a major disaster was issued under the Stafford Act in calendar years 2021 and 2022. Individuals and for-profit entities are not eligible.
- District Organization of an EDA-designated Economic Development District
- Native American Tribe or a consortium of Native American Tribes
- State, county, 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
- Institution of higher education or a consortium of institutions of higher education
- Public or private non-profit organization or association acting in cooperation with officials of a political subdivision of a state
Types of Projects
The EAA program funds both construction and non-construction projects to assist a wide variety of activities related to disaster recovery, including economic recovery strategic planning grants, and public works construction assistance.
Examples of projects include but are not limited to:
- construction or upgrading of public infrastructure, including broadband infrastructure
- workforce development, including the design and implementation of sectoral partnerships
- activities necessary to strengthen cluster acceleration and expansion
- capitalization or recapitalization of revolving loan funds (RLFs)
- development and implementation of long-term disaster recovery and resiliency plans
- enhancement of infrastructure to make it more resilient to natural disasters
- procurement of equipment for workforce training programs
- market or industry research and analysis for larger economic development projects
- creation or expansion of foreign direct investment, trade, or export initiatives
- “strategy grants” to develop, update, or refine a Comprehensive Economic Development Strategy
Deadlines
There is no deadline for applications. Applications are reviewed on a rolling basis until a new Notice of Funding Opportunities (NOFO) is published or until all funds have been expended.
Project timing
It typically takes six to eight months from the date an application is submitted to the date a notice of award is issued. Because of the application review process, award and contract process and additional requirements related to procurement, the start date of implementation projects can be delayed. It is recommended that applicants plan for two years from the date of application before a project would be able to start implementation. Planning projects typically have a significantly reduced timeline.
Period of performance
The period of performance for projects will depend on the nature of the projects. Typically, disaster and economic recovery strategy grants may range in duration from 12 to 18 months with extensions considered on a case-by-case basis. Implementation grants involving construction of project facilities and infrastructure generally are expected to range from 12 to 48 months. EDA will work closely with the recipients to accommodate their projected timelines within reason and allowances of regulations and grant policies.
Funding allocation
For federal fiscal year 2023, EDA was appropriated $483 million for the Economic Adjustment Assistance program, specifically designated for areas that received a disaster declaration in 2021 or 2022. Funding is divided by regional office as follows:
Atlanta Regional Office — $160,000,000
Austin Regional Office — $110,000,000
Chicago Regional Office — $18,000,000
Denver Regional Office — $57,000,000
Philadelphia Regional Office — $103,000,000
Seattle Regional Office — $35,000,000
Cost sharing and local match
A 50% local match is typically required under the EAA program, however, under this funding EDA expects to fund up to 80%. Certain communities may qualify for higher levels of federal funding, up to 100%, if they meet the required measures of economic distress.
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