Recompete_Pilot_Program_NOFO_Phase_2_vF.pdf

NOTICE OF FUNDING OPPORTUNITY

EXECUTIVE SUMMARY

• Federal Agency Name: Economic Development Administration (EDA or the Agency), U.S. Department of Commerce (DOC).

• Federal Funding Opportunity Title: FY 2023 Distressed Area Recompete Pilot Program Phase 2 Notice of Funding Opportunity (NOFO) (Recompete Pilot Program Phase 2 NOFO).

• Announcement Type and Date: Recompete Pilot Program Phase 2 NOFO publishing EDA’s application submission requirements and application review procedures under the Distressed Area Recompete Pilot Program (Recompete Pilot Program), as authorized by section 29 of the Stevenson- Wydler Technology Innovation Act of 1980, as amended (15 U.S.C. § 3722b). Effective date:

December 20, 2023.

• Funding Opportunity Number: EDA-RECOMPETEPHASE2-2023

• Catalog of Federal Domestic Assistance (CFDA) Number: 11.040, Distressed Area Recompete Pilot Program

• Dates: This is Phase 2 of a two-phase competition. The deadline for Phase 2 applications is 4:59 p.m.

Eastern Time on April 25, 2024. Applications received after this deadline will not be reviewed or considered. Only applicants that EDA approved a Recompete Plan in Phase 1 will be permitted to apply to Phase 2.

EDA may amend, cancel, or withdraw the Recompete Pilot Program Phase 2 NOFO at any time. All changes will be communicated via Grants.gov.

• Eligible Applicants: Pursuant to section 29(c) of the Stevenson-Wydler Technology Innovation Act of 1980 (15 U.S.C. § 3722b(j)(2) and (j)(7)), eligible applicants under this NOFO include: (i) a unit of local government; (ii) the District of Columbia; (iii) a territory of the United States; (iv) a Tribal government; (v) political subdivisions of a State or other entity, including a special-purpose entity engaged in economic development activities; (vi) a public entity or nonprofit organization, acting in cooperation with the officials of a political subdivision of a State or other entity described in (v); (vii) an economic development district; and (viii) a coalition of any of the above entities that serve or are contained within an eligible geographic area. See section A.1.b.1. of this NOFO for a description of eligible geographic areas.

Under this NOFO, EDA is not authorized to provide grants or cooperative agreements to individuals or for-profit entities. Requests from such entities will not be considered for funding.

• Funding Opportunity Description: Subject to the availability of funds, awards made under this NOFO will seek to alleviate persistent economic distress and support long-term comprehensive economic development and job creation, in places with a high prime-age (25 to 54 years) employment gap. Through this NOFO, EDA expects to award implementation funds to 4-8 Finalists, which will include selecting approximately 3-8 projects within each. Implementation grants can support a wide range of non-construction and construction activities that aim to increase regional capacity across the following four broad categories: workforce development; business and entrepreneur development; infrastructure; and additional planning, predevelopment, or technical assistance.

FULL ANNOUNCEMENT TEXT

FY 2023 EDA Distressed Area Recompete Pilot Phase 2 Notice of Funding Opportunity

A. Program Description

1. Competition Structure and Program Information

a. Competition Structure ………………………………………………………………………………………………………..4

b. General Requirements ………………………………………………………………………………………………………..4

c. Implementation Grants ……………………………………………………………………………………………………..11

2. Statutory Authorities for EDA’s Recompete Pilot Program

B. Federal Award Information

1. What Funding Is Available Under this Announcement?

2. What Type of Funding Instrument Will Be Used to Make Awards? How Long Will a Project’s Period of Performance Be?

C. Eligibility Information

1. Eligible Applicants

2. EDA Investment Rate

D. Application and Submission Information

1. Obtaining an Application and Electronic Submission through EDGE

2. Content and Form of Applications

3. Submission Dates and Times

4. Intergovernmental Review

5. Funding Restrictions

6. Other Submission Requirements

7. EDGE Systems Issues

E. Application Review Information

1. Criteria, Review, and Selection Process

2. Selection Official’s Decision

3. Review of Responsibility/Qualification Information in SAM.gov

F. Federal Award Administration Information

1. Federal Award Notice

2. Administrative and National Policy Requirements

3. Reporting

G. Federal Awarding Agency Contact

H. Other Information

1. Right to Use Information

2. Freedom of Information Act Disclosure

3. Notice of Government-Wide Procurement Restriction

4. Past Performance and Non-Compliance with Award Provisions

5. Certifications Required by Annual Appropriations Acts for Corporations and for Awards over $5

Million

6. EDA’s Non-Relocation Policy

7. NOFO Changes Communicated on Grants.gov

8. Disclosure of Information

9. Audit Requirements

10. Fraud Awareness Training

11. Office of Inspector General Rights and Responsibilities

A. Program Description

1. Competition Structure and Program Information

a. Competition Structure

The Distressed Area Recompete Pilot Program (Recompete Pilot Program) will invest in distressed communities to create and connect people in those communities to good jobs.1 The program uses prime-age employment gap (PAEG) as an indicator of economic distress, which accounts for prime-age workers who have stopped looking for jobs and left the labor force as well as those who are currently unemployed.

Phase 1 of the competition identified Finalists that made a clear case for the needs and opportunities of their chosen geography and successfully articulated a plan to address those needs. Phase 2 of the competition will make implementation awards based on the likelihood of an applicant to raise prime-age employment and wages, and promote long-term economic development.

Through the second phase of the competition, EDA will invest in applicants that have a clear understanding of local conditions and pathways to support good jobs while ensuring the benefits are shared equitably. EDA’s longstanding mission is to ensure that all communities have a path to economic prosperity, and through the Recompete Pilot Program, EDA will support communities with high PAEGs through flexible, bottom-up implementation grants that tackle the unique challenges these communities face.

b. General Requirements

As in Phase 1 of the Recompete Competition, there are several general requirements that EDA expects will be addressed in the application materials for Phase 2 (see sections A.1.c. and D.2. below).

i. Where can my implementation projects be located?

EDA expects the geographic scope of Phase 2 proposals to largely match that of Phase 1. However, EDA anticipates that there may be certain circumstances where an applicant’s service area may have changed (e.g., reducing the geographic Service Area to increase the concentration of investments, expanding to bring in another distressed part of the community).

If applicants change their Service Area, they must provide documentation in their application materials

(1) identifying their original and revised Service Areas (e.g., the populations and specific areas that stand to benefit from the Recompete Pilot Program), (2) confirming that the new Service Area is still within an Eligible Area, and (3) providing rationale on why the change was made.

1 See https://www.dol.gov/general/good-jobs/principles.

https://www.dol.gov/general/good-jobs/principles

By statute, Recompete Pilot Program investments must be located in one of two Eligible Area types and meet certain PAEG2 requirements, both of which were represented in the Mapping Tool applicants utilized in Phase 1.3 The two eligible geographic areas are:

• Local Labor Markets (LLMs): a Metropolitan Statistical Area, a Micropolitan Statistical Area, a commuting zone, or Tribal lands. LLMs with a PAEG of at least 2.5 percent are eligible.

o For the purposes of this competition, all Tribal lands and Pacific Ocean Territories are considered eligible LLMs.

• Local Communities (LCs): areas served by a general-purpose unit of local government (e.g., county government, municipal government) that is located within but does not cover the entire area of an LLM (as defined above) and meets the following criteria:

o It exists within an LLM that does not qualify for Recompete funding; and o EITHER:

The entire area served by the unit of local government on average has a PAEG of at least 5 percent and a median annual household income of no more than $75,000; or

The area served by the unit of local government has five or more contiguous Census tracts that each individually have a PAEG of at least 5 percent and median annual household income of no more than $75,000. In this instance, the applicant’s service area must be contained within the identified Census tracts.

In Phase 1, applicants must have demonstrated that they are authorized to represent and act on behalf of the eligible geographic area, as described above. In their Phase 2 applications, applicants must clearly articulate why they are uniquely positioned to serve the region, have the support of key stakeholders within the Eligible Area and have the capacity and leadership to meaningfully increase prime-age employment over the duration of the proposed grant.

The Service Area may be all or any subset of the Eligible Area. Some proposals may specifically focus on certain neighborhoods or communities to have the highest impact. Applicants may propose to concentrate investments rather than distribute the benefits evenly across the Eligible Area. In any case, EDA will prioritize those applications that focus on interventions that aim to significantly increase prime-age employment, wages, and long-term economic development.

2 PAEG is determined based on the prime-age employment rate, which is the percentage of the age 25-54 population that is currently working. PAEG is the difference between (i) the national 5-year average prime-age employment rate; and (ii) the 5-year average prime-age employment rate of the eligible area. EDA used the 5-year American Community Survey data. The Recompete Pilot Program uses PAEG as an indicator of persistent economic distress because it accounts for prime-age workers who have stopped looking for jobs and left the labor force, not just those who are currently unemployed. Whether they stopped looking for work because local job opportunities are extremely limited or because they struggle to meet the qualifications, lack reliable transportation, need assistance with childcare, or have other reasons, these places require significant support for prime-age workers to reengage in the local workforce. Note that in this competition, EDA is targeting geographies where a high prime-age employment gap exists because good jobs are not available and/or barriers keep people out of the workforce (e.g., supportive services are lacking), not places where demographic trends lead to high PAEG (e.g., high numbers of financially secure early retirees or people pursuing higher education).

3 15 U.S.C. § 3722b(j)(1).

ii. How much funding can I request?

EDA expects grants to LLMs to average approximately $50,000,000 total and grants to LCs to average approximately $20,000,000 total for their collection of 3-8 component projects. Applicants are permitted to propose investments that are higher or lower than these expected averages, as EDA encourages applicants to propose investments reflective of the cost to implement solutions that would best reduce their Service Area’s PAEG, increase per capita wages, and promote long-term economic development. Similarly, the amount awarded will depend heavily on the types of interventions a particular place needs. Budgets are a competitive factor, and EDA encourages applicants to consider the highest return on federal investments. EDA also recognizes providing meaningful economic opportunity requires more resources in some communities than others. In no event will the amount awarded exceed the formula amount provided in the statute. See 15 U.S.C. §3722b(f).4

Further, EDA is aware that the required data to determine the maximum grant amount for Tribal lands and Pacific Ocean Territories is not available in a way that can be used in the formula. As such, and consistent with EDA’s tribal consultation, the maximum grant amount in Phase 2 for Tribal lands and Pacific Ocean Territories will be whichever is higher between: a) $20 million or b) the result of the formula found in 15 U.S.C. § 3722b(f) for Pacific Ocean Territories or the combination of 15 U.S.C. § 3722(f) and (j)(9) for Tribes,5 provided that the Territory or Tribe submits the required top-line data and a certification of its accuracy. EDA will work with Phase 2 applicants to verify appropriate datasets and determine maximum grant rates per the statutory formula.

iii. What entities are eligible to participate in the Recompete Pilot Program?

This Phase 2 NOFO is only open to Finalists selected in Phase 1.

As with the Phase 1 NOFO, eligible applicants under this NOFO include: (i) a unit of local government; (ii) the District of Columbia; (iii) a territory of the United States; (iv) a Tribal government; (v) political subdivisions of a State or other entity, including a special-purpose entity engaged in economic development activities; (vi) a public entity or nonprofit organization, acting in cooperation with the officials of a political subdivision of a State or other entity described in (v); (vii) an economic development district; and (viii) a coalition of any of the above entities that serve or are contained within an eligible geographic area. Some institutes of higher education will also be eligible if they fall within one of the above categories.6

4 Awards may not exceed the product obtained by multiplying the prime-age employment gap of the eligible area;

the prime-age population of the eligible area; and either $70,585 for local labor markets or $53,600 for local communities.

5 The term "Tribal prime-age population" shall be equal to the sum obtained by adding-(i) the product obtained by multiplying-(I) the total number of individuals ages 25 through 54 residing on the Tribal land of the Tribal government; and (II) 0.65; and (ii) the product obtained by multiplying- (I) the total number of individuals ages 25 through 54 included on the membership roll of the Tribal government; and (II) 0.35.

6 Institutions of Higher Education can apply for this program if they classify as either 1) political subdivision of a State or other entity, including a special-purpose entity engaged in economic development activities; or 2) a public entity or nonprofit organization, acting in cooperation with the officials of a political subdivision of a State or other entity described previously. Most public colleges and universities should meet this standard. Applicants should identify their entity-type in their application and provide supporting documentation. EDA will validate this once the application has closed.

Applicants must be one of the above eligible entity types, be located within or serve an area indicated as eligible, and be able to represent and act on behalf of the Eligible Area.

For the purposes of this NOFO, “Lead Applicant” is defined as the sole entity applying for entity types (i)-

(vii) or as the coalition member submitting the application on behalf of the coalition for entity type (viii).

For Finalists applying to Phase 2, the geographic scope of Phase 2 proposals should largely match that of Phase 1 (see above) and Lead Applicants should largely match those identified in Phase 1. In rare circumstances, the Lead Applicant may change (e.g., from one coalition member to another), and applicants must receive approval for this from the original Lead and program EDA Point of Contact email address identified in section G of this NOFO. Applications submitted with a new Lead Applicant should provide rationale in their application materials as to why.

Pursuant to 15 U.S.C. § 3722b(e)(1), no more than one set of implementation investments may be awarded to eligible entities within a single eligible geographic area (i.e., within an LLM, there may be only one set of 3-8 implementation investments awarded in Phase 2).

iv. What are the responsibilities of the Lead Applicant?

In Phase 2, each Finalist application should include (a) an Updated Recompete Plan and (b) Component Project Narratives for each of approximately 3-8 tightly aligned component projects that execute on their Recompete Plan.

For all Phase 2 submissions, the Lead Applicant must submit the Updated Recompete Plan and all associated documents. Additionally, the Lead Applicant must identify which entity will be the lead on each of the component projects, and thus recipient of funds (“Project Lead”). There are two allowable approaches to identifying Project Leads on component projects:

1. Lead Applicant serves as Project Lead on all 3-8 Recompete projects. The Lead Applicant will submit the Updated Recompete Plan, the Component Project Narratives, and all associated materials. Under this scenario, the Lead Applicant may choose to apply as a single organization or as a coalition lead.

2. Lead Applicant and/or other partner entities serve as Project Leads. Under this scenario, the Lead Applicant will need to apply as a “coalition lead” in Phase 2 and will need to include any other Project Leads in their coalition. Please note that all Project Leads must be one of the eligible entity types identified above.

Regardless of whether an application represents a single organization or coalition, EDA expects all Phase 2 applicants to have partnerships between applicants, businesses, institutions of higher education, labor unions and federations, non-profits, and other regional organizations. Lead Applicants should articulate how those partnerships are structured and governed, whether formally or informally. As applicants further develop their implementation strategies, EDA encourages Finalists to include new partners in their Phase 2 applications where appropriate.

If selected for Phase 2 funding, Lead Applicants commit to:

• Serve as EDA’s main point of contact during the competition and implementation, for example:

o establish and maintain communication between the regional partners, Project Leads (if applicable), and EDA to enable and accelerate collaboration and support;

o ensure funding and other assistance provided by EDA and any other partners are effectively coordinated and braided within communities;

• Be the employer of the Recompete Plan Coordinator (RPC) (described below) or have a formal, documented relationship with that employer;

• Be responsible for, or have a formal, documented relationship with an organization that will be responsible for:

o convening regional entities and community members to ensure coordination across activities as they are implemented;

o ensuring all partners and Project Leads have the necessary back-office infrastructure and support needed to execute on the grant for the region’s Recompete efforts; and

• If applying with multiple Project Leads: ensure all Project Leads awarded EDA funding have a clear grants management strategy (e.g., ensuring required reporting is coordinated, amendments to the award are coordinated among Project Leads and with EDA, and other terms of the award are met).

Lead Applicants should ensure proposed budgets account for any funding needed to support overall regional management (including hiring an RPC), compliance, or other necessary activities to ensure execution of EDA funds. In addition, Lead Applicants may also receive funding for specific implementation project(s).

Finalists that have multiple Project Leads do not need to have a formal legal structure (i.e., a contractual arrangement or public-private partnership) but should develop a governance plan prior to applying for Phase 2 funding. See section D.2.b. of this NOFO to see whether it would be most appropriate for the Lead Applicant or another partner entity to apply for funding for a specific component project. The email in section G can also help a Finalist decide who is the best entity to apply for each component project if it is not the Lead Applicant.

Finally, EDA also expects that Finalists’ partners (where applicable) may have changed since Phase 1 or will change over time. EDA views such changes as a success if more meaningfully contributing partners or members join or if the collaboration is refined to align with the Phase 2 Implementation plan or otherwise increases the likelihood or magnitude of inclusive economic impacts.

v. What is required in letters of commitment?

EDA expects letters of commitment from regional organizations necessary for success—specific examples include targeted employers, labor unions, education and training systems, philanthropy, and nonprofit organizations. Letters of commitment should show that the communities being served have been involved in the proposal and are brought into the proposed strategy. See section E.1.a.2. of this NOFO for more on how equity will be evaluated. A provider of matching share, including an entity providing cash or in-kind contributions, may not serve as a contractor under the same award, and may not be paid with award funds to provide goods or services to the award recipient.

EDA expects the quality of commitments made by partners to mature between Phase 1 and Phase 2.

Between Phase 1 and Phase 2 applications, EDA will provide technical assistance to Finalists on what constitutes high-quality commitments. While letters of support in Phase 1 were largely general and aspirational, in Phase 2 they should be meaningful, specific, timely and measurable. Additional new letters of commitment may be submitted as part of Phase 2, as well as re-validated commitments from Phase 1. Such commitments may include but are not limited to applying for and executing an individual component project, or making hiring, match funding, co-investment, or policy change commitments aligned with addressing regional prime age employment, wages, and long-term economic development.

Please see EDA’s “Menu of Community Commitments” guide from Phase 1 for more guidance on best practices. Note that in Phase 2, EDA will continue to prioritize quality of commitments over quantity.

Letters of support should reconfirm and further detail Phase 1 application commitments, and applicants should demonstrate new commitments with additional letters of support. EDA encourages letters of support to be specific to the entity writing the letter and highlighting the role and commitments of that entity. However, if applicants are submitting form letters of support, and not specific letters of commitment, from multiple organizations, EDA encourages one general letter that signals general support from all relevant entities.

Applicants may reference the Recompete Community Commitments Template to structure all of their letters of commitment in their application. Please submit as one consolidated document, as an attachment to the proposal.

vi. What is the role of the Recompete Plan Coordinator (RPC)?

EDA believes local champions and change agents are essential and investments are only successful with the right leadership, including leadership that reflects the diverse populations they serve. The RPC role is meant to coordinate across relevant entities and help ensure a successful implementation of Recompete Plans. While the specific obligations of the role may vary based on regional assets and needs, in Phase 2, EDA expects applicants to identify strong, diverse talent and to ensure that person is in a leadership role to catalyze strong, lasting partnerships across the area, including with the private and public sectors such as other federal partners, labor unions, and philanthropic supporters. The RPC and other leadership positions will be critical to success, both for regions selected for Phase 2 implementation funding as well as improving long-term, comprehensive economic development in all Finalist regions. Having an RPC or a plan to identify one is a requirement for Phase 2 and should be articulated in the Updated Recompete Plan application. Phase 2 applicants should demonstrate this role is sufficiently funded, whether through established funding, through EDA funds, or a combination. Please note that the work of an RPC should be the identified individual’s primary focus. While the RPC may be staffed by someone with a previous existing role, EDA expects the RPC role and responsibilities to comprise the majority – if not all – of their time. Applicants are also expected to provide the professional biographies (including resumes) of key personnel among the management team – including the RPC – as a separate document. If there are leadership positions still open, please provide a job description instead.

vii. How should applicants consider climate and environmental responsibility?

Applicants are expected to design their projects to minimize the potential for adverse impacts on the environment and the local community, including communities with environmental justice concerns.

Applicants should also account for or have a plan to account for current and future weather- and climate-related risks, such as wildfires, droughts, extreme heat and cold, inland and coastal flooding, and the extreme winds produced by tornadoes, hurricanes, and other weather events.

viii. How should applicants consider equity?

Consistent with Executive Order 13985, Advancing Racial Equity and Support for Underserved Communities through the Federal Government and Executive Order 14091, Further Advancing Racial Equity and Support for Underserved Communities Through the Federal Government, and EDA’s Equity https://www.eda.gov/sites/default/files/2023-07/Recompete_Supplemental_Menu_of_Community_Commitments_vF.pdf https://www.eda.gov/sites/default/files/2023-12/Recompete_Community_Commitments_Template_FINAL.pdf

Investment Priority, EDA expects projects to advance equity to underserved and underrepresented populations.7

Specifically, applicants are expected to articulate which populations or communities will benefit from the project and how the project will provide for inclusive community engagement, ensuring that the economic benefits of the project will be shared by all communities in the service area, including any underserved and underrepresented communities. Where applicable, applicants should describe how the project will train underserved populations through any workforce development projects, prioritize hiring of local and economically disadvantaged individuals, create safe, healthy, and accessible workplaces free from discrimination or harassment, and/or how they will promote participation by underserved businesses.

ix. What are characteristics of a strong workforce development project?

Strong workforce development projects should be employer-led to ensure that workers gain the skills necessary to perform needed jobs and are connected to quality job opportunities, in line with DOC’s workforce best practices8 and the Commerce and Labor Departments’ Good Jobs Principles.9 Additionally, applicants should consider their ability to drive employment into industries and occupations that pay and provide family-sustaining wages and benefits by increasing the demand for workers in those industries, not simply meeting existing demand in low-wage sectors. Sector-based partnerships that convene all parties involved with workforce issues (multiple employers, training providers, labor and community organizations) have been proven to drive higher wages for low-skilled workers.

The specific training models that applicants propose should align with the sectors, occupations, and skills the project seeks to address; example models include skills training programs, Registered Apprenticeships and other quality work-and-learn programs, and programs leading to industry-recognized credentials. Projects should explicitly create pathways for workers to access good jobs and should have quantitative targets for placements, with breakdowns for such targets by demographic groups. EDA expects applicants to articulate why such placement targets are realistic given the populations they serve, the underlying conditions in their geography, and the costs associated with such training, and EDA will consider those factors when evaluating project proposals.

In addition, EDA encourages applicants to (1) secure commitments from employers to hire individuals who successfully complete workforce training programs; (2) where necessary, provide wraparound services (e.g., childcare, transportation, wage stipends) to training participants; and (3) structure

7 Underserved and underrepresented populations and communities include but are not limited to 1) women and girls, Black, Latino, and Indigenous and Native American persons, Asian Americans, and Pacific Islanders or 2) underserved communities within geographies that have been systemically and/or systematically denied a full opportunity to participate in aspects of economic prosperity such as Tribal Lands, Persistent Poverty Counties, and rural areas.

8 See https://www.commerce.gov/issues/workforce-development; U.S. Dept. Comm., Strategic Plan 2022 – 2026:

Innovation, Equity, and Resilience, Strengthening American Competitiveness in the 21st Century, Strategic Objective 2.2 at 33-34 (Mar. 2022).

9 The Departments of Commerce and Labor have partnered to identify eight principles that create a framework for applicants for a shared vision of job quality. Please see the DOC/DOL Good Jobs Principles at:

https://www.dol.gov/general/good-jobs/principles.

https://www.commerce.gov/issues/workforce-development https://www.dol.gov/general/good-jobs/principles projects to focus on equitable access to training through recruitment and retention of training participants, including from underserved, underrepresented, and disadvantaged communities.

Please note Recompete funds can be used to provide a variety of wraparound services (e.g., childcare, transportation, and other necessary worker-focused services) to individuals who are going through training programs. While EDA funds may potentially be used by an EDA grantee to provide wage stipends directly to training participants, they cannot be used to pay wage subsidies to employers for Recompete training participants’ employment and/or on-the-job training.

Finally, EDA is cognizant of the different base levels of available quality jobs and skills of workers within a community and expects applicants to propose projects that make sense in their geographies.

c. Implementation Grants

i. Requirements for Implementation Grants

EDA will award Implementation Grants competitively under this NOFO to a subset of eligible entities with Recompete Plans approved under Recompete Pilot Program Phase 1 NOFO (i.e., Finalists).

Finalists may submit applications for Implementation Grants under Phase 2. As noted above, applications for component project funding may come from Lead Applicants or other Project Leads. Each application under this NOFO should include (a) an Updated Recompete Plan and (b) Component Project Narratives for approximately 3-8 tightly aligned component projects. EDA expects Implementation Grants will fund projects described in the approved Recompete Plan. EDA expects proposed Implementation Grants to generally match the projects outlined in the Phase 1 Recompete Plan, however applicants may make changes so long as they strengthen their ability to increase prime age employment and wages and promote long term economic development. If applicants do make changes to their proposed project, please explain in the application what informed the change. See section D.2 of this NOFO for information on the requirements for a full application.

Applications will be evaluated using the criteria in section E.1, which serve as a strategic planning framework for economic growth. Note that Updated Recompete Plans will be evaluated through criteria #1-5 as described in E.1.a. below, and Component Projects will be evaluated through criteria #1-2 and 6- 7.

EDA expects to select approximately 4-8 Phase 2 applications for Implementation funding, which will include selecting approximately 3-8 component projects within each. Component projects not selected for funding in Phase 2 may be eligible for funding from other EDA programs or other federal agencies.

How will EDA support Finalists between Phase 1 and Phase 2?

In the months leading up to the Phase 2 deadline, EDA will provide a variety of technical assistance to Phase 1 Finalists including direct coaching from the program team, consultations with outside experts, group seminars, and other intensive supports.

ii. Components to a Complete Application

(1) Updated Recompete Plan Each application should focus on developing a revised and expanded Recompete Plan (no longer than 10 pages). The Updated Recompete Plan should demonstrate how EDA funding for component projects, alongside other partner commitments and support, will catalyze the region’s ability to equitably address prime age employment, per capita wages, and long-term economic development.

The Revised Recompete Plan should include strategies for both near-term actions that can be accomplished in the first year and a longer-term strategy to maintain, grow, and evolve capacity to translate innovation into equitable regional economic growth.

The Updated Recompete Plan should address evaluation criteria #1-5 as described in E.1.a. below. The Updated Recompete Plan must cover the following topics:

• An executive summary that includes the Recompete effort’s name, description of the region’s geography (including proposed Service Area), the applicant’s investment thesis – i.e., why EDA’s investment will make a discernable impact on prime age employment, per capita wages, and long-term economic development in the region.

• A list including short descriptions of 3-8 component projects and requested EDA funding, including whether the Lead Applicant or a project partner is the lead for each project.

• A high-level overview of deliverables and key milestones, aligned with component project scopes of work.

• A list including short descriptions of complementary investment, policy, or other relevant commitments (i.e., any additional initiatives planned by the region, beyond component projects for which they are requesting EDA funding, such as philanthropic commitments and legislative or regulatory changes). Please highlight your top commitments as well as any that have changed between Phase 1 selections and the Phase 2 application submission.

• Discussion on how the proposed projects will relate to and interact with each other as well as other external investments – please articulate why you believe funded activities and other complementary efforts will mutually reinforce each other.

• A concise description of how the Recompete effort, including via proposed projects and commitments, will consider equity, both in terms of intended outcomes (e.g., how underserved and underrepresented populations within the Service Area will experience employment and wage gains) as well as process (including how wraparound services will be provided to those who need them, safe, healthy, and accessible workplaces created and maintained, and relationships built with trusted intermediaries who have ties with underserved populations).

Where applicable, applicants should detail how benefits of investment will accrue to populations living in the Service Area (e.g., through local hiring policies, production or preservation of affordable housing, or other safeguards).

• A concise description of how the Recompete effort, including via proposed projects and commitments, will consider climate and environmental responsibility, including by addressing climate-related and environmental impacts, opportunities, and risks.

• An overview of the longer-term outcomes (i.e., goals you hope to achieve, for example labor force participation gains, employment gains, wage gains, and jobs created, placed, and retained), and short-term outputs (i.e., what you plan to measure to demonstrate progress towards those outcomes, for example programs launched, participants recruited, placements where applicable) expected from the Recompete effort. Identify necessary data and information to track these goals, including relevant equity goals, as well as the time frame by which you anticipate reaching them. Please propose timelines that are specific and realistic, but also ambitious.

• An overview of the work conducted and/or proposed by the applicant between Phase 1 selections and the Phase 2 application submission, including any new information or risks mitigated. Include a detailed list of any changes to the vision – including to the proposed Service Area, projects, or key partners – of the Recompete effort since Phase 1 selections were made. If the applicant’s Service Area or key projects have changed, please explain why.

• Additional explanation to address the first five evaluation criteria (#1-5) listed in section E.1.a.

The above elements are important, required parts of a Phase 2 proposal to help EDA make award decisions, however they should not constitute the entire Updated Recompete Plan. EDA encourages applicants to use the page limit to make their best case by providing whatever information the applicant deems most persuasive.

If the Finalist has multiple different Project Leads, while the Updated Recompete Plan should be submitted by the Lead Applicant, EDA expects that the Updated Recompete Plan will represent the joint vision of all involved partners.

(2) Component Project Applications

All component project applications should be no longer than five pages. Each component project included as part of a Phase 2 application should be coordinated such that individual aspects complement and mutually reinforce each other, together impacting prime-age employment, wages, and long-term economic development.

EDA, at its discretion, may award individual grants or cooperative agreements for component projects to Finalists that are eligible applicant types. EDA at its discretion may fund all or only some of the originally proposed component projects, or parts or modified versions thereof, depending on the viability of those components and the availability of funds.

EDA encourages applicants to budget for funding – whether from EDA or otherwise – that will be devoted to governance and management operations (e.g., subaward management, hiring positions – including the Recompete Plan Coordinator), and metrics and evaluation. Please note that there is flexibility in how this could be achieved (e.g., stand-alone component projects, integrated features of component projects, supported via any matched funding).

In addition to all required forms as detailed in section D.2. of this NOFO, each component application must submit a Project Narrative that addresses all activities that will be undertaken to complete the individual component project within the region and briefly summarizes how the component supports the overall region’s goals, referring back to the Updated Recompete Plan.

The Project Narrative should address evaluation criteria #1-2 and 6-7 in section E.1.a., and cover the following topics:

• An executive summary of no more than 250 words that includes the project component title, identifies the name of the lead organization, and provides a project overview.

• A scope of work of no more than 1.5 pages linked to the project’s purpose and including deliverables and key milestones. EDA may incorporate this section into the award if selected for funding.

• Anticipated goals you hope to achieve (i.e., outcomes) and what outputs you plan to measure to demonstrate progress towards those outcomes. Anticipated outcomes should be specific, measurable, attainable, relevant and timebound (SMART). Include baseline measures that describe the current state to help you assess any potential changes.

• Additional explanation to address evaluation criteria #1-2 and 6-7 in section E.1.a.

Applicants should assume that a given reviewer will read both their Updated Recompete Plan and all of their Project Narratives, so there is no need to duplicate information across documents. However, there should be a clear link between the Updated Recompete Plan and the Project Narratives, which may reference each other.

(3) Eligible Activities

Implementation Grants can fund a wide range of non-construction and construction activities that aim to increase regional capacity across the following four broad categories: workforce development;

business and entrepreneur development; infrastructure; and additional planning, predevelopment, or technical assistance. 10 The program is designed to provide significant flexibility for applicants to address the necessary physical, social, and economic barriers to jobs and career pathways. Given the nature of the program, and EDA’s commitment to equity, the program may fund organizations and projects it historically has not funded. For example, EDA understands there may be a suite of necessary interventions to increase employment, job quality, and wages, such as wraparound services. However, applicants will need to clearly explain how any requested EDA investments directly serve the purpose of the program and can clearly demonstrate intended economic development results. EDA will provide technical assistance on this topic in the period prior to the Phase 2 application deadline.

This large suite of eligible activities is designed to meet the individual needs and address the causes of high PAEG and low wages in a particular place. In each region selected for Implementation Grants, EDA expects to fund approximately 3-8 Implementation Grant projects that aim to collectively address the region’s key inhibitors of prime-age employment and low wages at a total funding level that depends on the area of eligibility. EDA expects the component application materials will provide more concrete funding, timeline, and operational detail than was provided in the approved Recompete Plan. In addition, it is highly recommended that applicants include within project design sufficient scope and budgeting for overall project management, including both activities required to coordinate within the Recompete effort and to comply with EDA grant requirements.

See section B.1. for expected funding levels. While the amount requested and awarded will depend heavily on the types of interventions a particular place needs, efforts to create jobs may require larger investments in public assets, and efforts to connect workers to existing jobs may be more programmatic and thus cost less. Accordingly, it will be critical for applicants in Phase 2 to explain why the requested amount is appropriate for the interventions identified as necessary for that region and for the number of people expected to be newly employed based on those interventions.

To support applicants as they consider potential activities, EDA has published an “Illustrative Implementation Investments” guide. Please note that the examples provided in this guide are purely illustrative and are not indicative of EDA preferences on any particular intervention or approach.

10 See 15 U.S.C. § 3722b(c) and section A.1.c.ii.(3) and (4) for a more comprehensive list of allowable activities within these four broad categories.

https://www.eda.gov/sites/default/files/2023-06/Recompete_Supplemental_Implementation_Investment_Examples_vF_0.pdf https://www.eda.gov/sites/default/files/2023-06/Recompete_Supplemental_Implementation_Investment_Examples_vF_0.pdf https://uscode.house.gov/view.xhtml?hl=false&edition=prelim&req=granuleid%3AUSC-prelim-title15-section3722b&num=0&saved=%7CZ3JhbnVsZWlkOlVTQy1wcmVsaW0tdGl0bGUxNS1zZWN0aW9uMzcyMmE%3D%7C%7C%7C0%7Cfalse%7Cprelim

Additionally, please see the Phase 1 Notice of Funding Opportunity (page 13) for more information on potential implementation investments.

(4) What commitments to policy change and outcomes are expected?

EDA’s investments are most effective when combined with local action to change or reform policies, practices, and outcomes that make it harder for people to access good jobs. Regardless of whether an applicant is connecting workers to jobs or creating new jobs, EDA anticipates all successful Phase 2 awardees will have credible, specific, and timely commitments to making such changes in their communities.

Over the course of the Phase 2 application period, Finalists should focus on securing, honing, and improving the commitments they had preliminarily identified in Phase 1. EDA also welcomes new commitments not previously identified that would support the region’s effort to address prime age employment, per capita wages, and long-term economic development. Commitments should always be tailored to a community’s need and based on regional capacity – EDA will take an applicant and its relative level of regional assets into account when considering the quality and impact of community commitments.

EDA will continue to provide supplemental material – building on the “Menu of Community Commitments” guide from Phase 1 – as well as technical assistance through the Phase 2 application period to all Finalists to support this effort.

(5) Ineligible Projects under this NOFO

Some projects are generally ineligible for EDA funding under this NOFO, including projects that do not have a clear and direct nexus with any of the four broad categories of eligible activities (e.g., general housing). Projects that are ineligible for funding, however, may be part of the overall concept of the Recompete effort and communicated through a complementary commitment (e.g., supported via matching dollars, in-kind contribution, policy commitments, or otherwise). Applicants who are unsure whether their proposed project is eligible under this NOFO should consult the EDA email listed in section G.

Note that Recompete funds cannot be used towards the construction of housing. In rare circumstances, funds may potentially be used for non-construction housing projects if the applicant can effectively demonstrate that such support is necessary to the success of the proposed economic development activities. For example, the applicant may demonstrate that workforce training participants would be unable to participate in training activities without EDA-funded housing supports (e.g., housing counseling, short-term housing during workforce training period).

Additionally, Recompete funds cannot be used to pay wage subsidies to employers for Recompete training participants’ employment and/or on-the-job training. Funds may potentially be used by an EDA grantee to provide wage stipends directly to the training participant, and EDA will provide Technical Assistance to support Finalists in designing this.

Finally, funds may not be used, directly or indirectly as an offset for other funds, to support or oppose collective bargaining.

https://www.eda.gov/sites/default/files/2023-06/Recompete_Pilot_Program_NOFO_phase_1_vF.pdf https://www.eda.gov/sites/default/files/2023-07/Recompete_Supplemental_Menu_of_Community_Commitments_vF.pdf https://www.eda.gov/sites/default/files/2023-07/Recompete_Supplemental_Menu_of_Community_Commitments_vF.pdf

2. Statutory Authorities for EDA’s Recompete Pilot Program

The statutory authority for this program is section 29 of the Stevenson-Wydler Technology Innovation Act of 1980 (15 U.S.C. § 3722b).

B. Federal Award Information

1. What Funding Is Available Under this Announcement?

Across the Consolidated Appropriations Act of 2023 and the Disaster Relief Supplemental Appropriations Act of 2023 (both enacted in Public Law 117-328), Congress appropriated EDA $200,000,000 to remain available until expended to implement the Recompete Pilot Program.

If an applicant is awarded funding, neither DOC nor EDA is under any obligation to provide any future funding in connection with that award or to make any future award(s). Amendments or renewals of an award to increase funding or to extend the period of performance are at the sole discretion of DOC and

EDA.

Publication of this announcement does not obligate DOC or EDA to award any specific grant or cooperative agreement or to obligate all or any part of available funds. The granting of any award is subject to the availability of funds at the time of award as well as to DOC priorities at the time of award.

Neither DOC nor EDA will be held responsible for application preparation costs.

Under Recompete Phase 2, EDA anticipates funding 4-8 applications that will each include 3-8 Implementation projects with applications addressing Local Labor Markets averaging approximately $50,000,000 and applications addressing Local Communities averaging approximately $20,000,000, though amounts for each awardee will depend on multiple factors. See sections A.1.c.ii.3. of this NOFO for more information on how the award amounts may vary depending on the type of intervention (e.g., in general, creating jobs is more costly than connecting people to existing jobs).

In no event will EDA surpass the maximum amount for a region that results from application of the formula in 15 U.S.C. § 3722b(f) or (j)(9). This maximum amount applies over the life of the Recompete Pilot Program and is not necessarily the amount the entity will receive in this Phase 2 competition.

For Tribal areas or Pacific Ocean Territories, due to the data being unavailable at this time, the maximum grant amount in Phase 2 will be whichever is higher between: a) $20 million or b) the result of the formula found in 15 U.S.C. § 3722b(f) for Pacific Ocean Territories or the combination of 15 U.S.C. § 3722(f) and (j)(9) for Tribes, provided that the Territory or Tribe submits the required top-line data and a certification of its accuracy.

Depending on demand under this NOFO, EDA may exercise its discretion to adjust the total amount available under this NOFO to ensure funds are used to maximum effect.

2. What Type of Funding…