EDA Recompete Pilot Program

Why Recompete belongs in FindMyMoney

The Recompete Pilot Program is one of the most ambitious place-based economic development initiatives launched in decades. Funded by the CHIPS and Science Act, it targets regions with chronically low prime-age employment to catalyze inclusive growth through workforce training, entrepreneurship support, site development, and infrastructure. EDA awarded $500 million in its inaugural round, yet the program was absent from FindMyMoney. That omission meant distressed communities—particularly in post-industrial towns, energy transition regions, and Tribal nations—lacked guidance on crafting competitive Recompete strategies. With future rounds planned and a strong likelihood of Congressional reauthorization, adding Recompete ensures local leaders and coalition builders have the playbook to unlock transformative, multi-year investments.

Program structure

Recompete deploys funding in two stages:

1. Strategy Development Grants (SDGs): Up to $500,000 to create or refine a Recompete Plan. Funds support economic analysis, stakeholder engagement, and pilot projects.
2. Implementation Grants: Up to $50 million to execute multi-component strategies aligning with the approved Recompete Plan. Eligible uses include workforce centers, infrastructure upgrades, industrial site remediation, entrepreneurial ecosystems, childcare expansion, and digital equity investments.

EDA also offers Recompete Technical Assistance through its national network of economic development organizations to help applicants develop data-driven plans and coalitions.

Eligibility snapshot

• Distressed Areas: Geographic eligibility hinges on “Recompete Zones” defined by prime-age employment rates (PAER). Applicants must demonstrate PAER significantly below the national average, using Census data (American Community Survey) and EDA’s Recompete Eligibility Tool.
• Lead Entities: Cities, counties, Tribes, economic development districts (EDDs), nonprofit coalitions, and public-private partnerships. Coalitions must include employers, workforce boards, educational institutions, and community organizations.
• Recompete Plan: Required for implementation grants. The plan must analyze root causes of distress, set measurable employment targets, outline interventions, and describe governance and accountability structures. Plans can be developed via SDGs or equivalent planning processes.
• Match Requirements: Typically 20% non-federal match, though distressed and Tribal applicants may qualify for reduced or waived match.

Building a competitive Recompete Plan

1. Diagnose economic distress

Use granular labor market data to pinpoint barriers: industry decline, skill mismatches, infrastructure gaps, transportation barriers, childcare shortages. Map commuting patterns, occupational clusters, wages, and demographic disparities. Engage academic partners for economic modeling and scenario planning.

2. Engage inclusive coalitions

Form a steering committee with employers, workforce development boards, unions, community colleges, chambers, K-12 systems, housing authorities, CDFIs, and grassroots organizations. Ensure representation from communities most affected by unemployment (BIPOC residents, rural towns, formerly incarcerated individuals). Establish working groups focused on workforce, entrepreneurship, infrastructure, and supportive services.

3. Set measurable goals

Define employment rate targets, job creation numbers, wage increases, business formation metrics, and equity outcomes. Align with national frameworks like EDA’s Equity Action Plan and Commerce’s Job Quality Toolkit. Build logic models linking interventions to outcomes.

4. Design integrated interventions

Combine investments across four pillars:

• People: Sector-based training, apprenticeships, wraparound supports (childcare, transportation, reentry services), digital skills.
• Places: Industrial site redevelopment, broadband expansion, transit improvements, main street revitalization.
• Business: Entrepreneur support centers, capital access funds, manufacturing modernization, supply chain clusters.
• Systems: Data infrastructure, regional governance, policy reforms. Highlight how interventions complement each other—e.g., new industrial park plus training pipeline plus childcare center.

5. Craft governance and accountability

Create a backbone organization to coordinate implementation, track metrics, and manage EDA reporting. Establish MOUs delineating partner roles, decision-making processes, and conflict resolution. Include resident advisory councils with stipends.

6. Identify leverage and match

Document committed match from state programs, philanthropy, ARPA funds, infrastructure grants, and private investment. Provide letters with dollar amounts, timelines, and conditions. Develop layered financing models integrating tax increment financing (TIF), Community Development Block Grants (CDBG), and New Markets Tax Credits.

Implementation application playbook

Narrative components

• Regional narrative: History of economic distress, assets, and alignment with state/federal priorities (e.g., hydrogen hubs, semiconductor supply chains, energy communities).
• Intervention details: Budgets, timelines, milestones, and partners for each project component.
• Workforce plan: Target industries, training providers, credential pathways, employer commitments (MOUs guaranteeing interviews or jobs).
• Equity plan: Strategies to reach marginalized populations (community navigators, translation, childcare subsidies). Set participation targets and accountability structures.
• Evaluation framework: Metrics, data collection methods, third-party evaluators, and learning agenda. Plan for quarterly dashboards and annual public reports.

Required attachments

• Recompete Plan (approved or draft with adoption timeline)
• Letters of commitment for match and employer participation
• Maps of Recompete Zones and project sites
• Budget spreadsheets and cost estimates (including NEPA and permitting status)
• Workforce partnership agreements and union letters (where applicable)
• Evidence of community engagement (meeting notes, surveys, focus groups)

Execution best practices

• Program management: Establish a Program Management Office (PMO) with dedicated staff for finance, compliance, procurement, and data. Use project management software (MS Project, Asana) to track milestones.
• Compliance infrastructure: Prepare for Davis-Bacon, Buy America, NEPA, and procurement rules. Develop a compliance manual and train partners on federal grant requirements.
• Data systems: Build integrated data platforms to track participant outcomes (employment, wages), business metrics (revenue, exports), and infrastructure progress. Utilize data-sharing agreements with workforce agencies and employers.
• Adaptive management: Schedule quarterly learning sessions to assess progress, identify barriers, and adjust interventions. Engage community advisory boards to ground decisions in lived experience.
• Sustainability planning: Outline how programs will continue post-grant via local revenue (tax increment, utility fees), philanthropic endowments, or earned income from business services.

Advanced strategies

Align with federal industrial policy

Connect Recompete interventions to CHIPS, IRA, and IIJA initiatives. For example, position your region as a supplier to semiconductor fabs or EV battery plants. Secure letters from anchor firms committing to hiring graduates or sourcing from local SMEs.

Integrate climate resilience

Invest in resilient infrastructure—microgrids, flood mitigation, green manufacturing. Highlight how resilience attracts employers and protects workforce facilities. Quantify emissions reductions and climate adaptation benefits.

Leverage workforce innovation

Implement income-sharing agreements, apprenticeship accelerators, or skills-based hiring commitments. Partner with unions and employers to create job quality standards (living wages, benefits, career ladders).

Support inclusive entrepreneurship

Establish founder fellowships, maker spaces, and CDFI-backed loan funds targeting BIPOC and rural entrepreneurs. Pair capital with technical assistance and procurement pipelines into anchor institutions.

Measure social capital

Track networks, mentorship, and collaboration using surveys and social network analysis. Demonstrate how coalitions are strengthening trust and civic infrastructure.

Illustrative Recompete vision

A coalition in the Ohio River Valley secures a $45 million implementation grant after developing a robust Recompete Plan:

• Converts an abandoned steel mill into a clean energy manufacturing park with anchor tenants producing heat pump components.
• Launches a regional training center offering mechatronics and advanced welding certifications linked to guaranteed interviews from participating employers.
• Builds a childcare co-op and transit-on-demand service to remove participation barriers for working parents.
• Capitalizes a $15 million revolving loan fund managed by a CDFI to finance minority-owned suppliers.
• Establishes a data observatory at the local university to monitor employment outcomes, publish quarterly reports, and host learning labs. Within five years, prime-age employment rises 8 percentage points, median wages increase 15%, 320 new businesses launch, and greenhouse gas emissions fall due to energy-efficient retrofits. The coalition institutionalizes the PMO as a permanent regional development corporation, sustaining momentum beyond the grant.

Adding the Recompete Pilot Program to FindMyMoney equips struggling regions with the intelligence needed to craft inclusive economic revival strategies. With disciplined planning, authentic community engagement, and data-driven execution, Recompete can reset trajectories for places long left behind.