Appalachian Area Development (23.002)
Program
23.002 Appalachian Area Development
Federal Agency
Agency: Appalachian Regional Commission
Authorization
Appalachian Regional Development Act of 1965, Public Law 89-4, as amended, 40 U.S.C. 14101-14704.
Program Number
23.002
Last Known Status
Active
Objectives
To help the regional economy become more competitive by putting in place the building blocks for self-sustaining economic development, while continuing to provide special assistance to the Region's most distressed counties and areas. This program focuses on activities which support ARC's mission to be a strategic partner and advocate for sustainable community and economic development. Activities funded must advance ARC's strategic plan. Specific program goals are: (1) Increase job opportunities and per capita income in Appalachia to reach parity with the nation; (2) Strengthen the capacity of the people of Appalachia to compete in the global economy; (3) Develop and improve Appalachia's infrastructure to make the Region economically competitive; and (4) Build the Appalachian Development Highway System to reduce Appalachia's isolation. Specific objectives were developed for each goal. Grants are made either directly by the Commission or grants may supplement other Federal grants.
Types of Assistance
PROJECT GRANTS
Uses and Use Restrictions
The grants may be used for providing supplemental funds under Federal grant-in-aid programs. To be eligible for special basic grants, projects must be of high priority in the State's Appalachian development plan and be either of critical importance to a phased investment and development program for a multicounty area, or of unusual economic benefit to such area. Refer to "General Provisions for Area Development Program" of the Appalachian Regional Commission Code and ARC Project Guidelines for additional use restrictions. Also, please see www.arc.gov. The Appalachian Regional Commission awards grants and contracts from funds appropriated to the Commission annually by Congress. At least half of ARC's Area Development grant funding is directed to projects that benefit counties and areas in the Appalachian Region designated by ARC as economically distressed. Most program grants originate at the state level. Potential applicants should contact their state ARC program manager to request a preapplication package.
Eligibility Requirements
Applicant Eligibility
States, their subdivisions and instrumentalities and private nonprofit agencies.
Beneficiary Eligibility
General public.
Credentials/Documentation
Any finding, report, certification, or documentation required to be submitted to the head of the department, agency, or instrumentality of the Federal Government responsible for the administration of the basic Federal grant-in-aid program shall be accepted by the Federal Co-chairman with respect to a supplemental grant for any project under such program. Projects must conform to the ARC Code, the ARD Act, the State Appalachian Plan and annual State Strategy Statement. The Appalachian State Development Plan and the annual State Strategy Statement must be submitted by the Governors and approved by the Commission. Costs will be determined in accordance with OMB Circular applicable to the grantee. OMB Circular No. A-87 applies to this program.
Application and Award Process
Preapplication Coordination
The State Alternate's Office is the coordinator for Appalachian investments. Preapplication conferences with the Appalachian local district director or the State Alternate's Office can determine within a few weeks if the project can be related to the State Appalachian development plan. The State Alternate's Office will provide guidance on specific problems and technical assistance in preparation of applications. An environmental impact statement may be required for this program, depending on the basic Federal grant-in-aid program being assisted. The standard application forms as furnished by the Federal agency and required by OMB Circular No. A-102 must be used for this program.
Only infrastructure projects require an environmental review. Please see 40. U.S.C. 14507. An environmental impact statement is required for this program. This program is excluded from coverage under E.O. 12372.
Application Procedure
OMB Circular No. A-102 applies to this program. OMB Circular No. A-110 applies to this program. Application must be submitted and approved by the State member of the ARC. All proposed projects must conform to the State Strategy Statement submitted annually prior to the Fall Commission meeting. Guidelines and forms for funding Appalachian development projects are available from the local development district director and the State Alternate's Office. A letter of transmittal signed by the State member and an executed ARC Form 1 is required with the submission.
Award Procedure
Upon determination that the State approved project is eligible within a Commission approved Appalachian State Development Plan and Strategy Statement, the Federal Co-Chairman determines that the project satisfies all Federal requirements. If a basic Federal agency will administer the project it is then notified and will disburse the grant funds when appropriate. The ARC notifies Congressional Offices and the Office of the Governor of grant awards.
Deadlines
Contact the headquarters or regional office, as appropriate, for application deadlines.
Range of Approval/Disapproval Time
From 30 to 60 days after the receipt of the application at the Commission.
Appeals
None.
Renewals
None.
Assistance Considerations
Formula and Matching Requirements
Statutory formulas are not applicable to this program.
Matching Requirements: Generally grants are limited to 50% of project costs. For projects in counties designated as At Risk, this limit can be raised to 70%, and in economically distressed counties, it can be raised to 80%. For projects in counties designated as competitive (those that are approaching national economic norms), funding is usually limited to 30% of project costs. Funding is usually not available for projects located in counties that have attained or exceeded national economic norms. If otherwise eligible for funding, projects involving construction assistance for housing under the Appalachian Regional Development Act (ARDA) (40 U.S.C. 14503) cannot exceed 10% of total project costs regardless of location. The ARC Code and "Appalachian Regional Commission Project Guidelines" furnish details.
MOE requirements are not applicable to this program.
Length and Time Phasing of Assistance
Assistance is provided until completion; funds are transferred to the basic Federal agency and disbursed as appropriate. ARC reserves the right to withdraw grants for projects not under contract within 18 months of approval. See the following for information on how assistance is awarded/released: Generally, most funds are awarded on a quarterly basis. Grant monies are released in a timely fashion through coordination with the applicant.
Post Assistance Requirements
Reports
No program reports are required. No cash reports are required. Grantees of non-construction projects submit quarterly reports outlining progress throughout the award period. Grantees of non-construction projects submit quarterly expenditure reports along with their progress reports. Grantees of non-construction assess performance in their final closing report. Performance is measured against estimated projections in the initial application.
Audits
In accordance with the provisions of OMB Circular No. A-133 (Revised, June 27, 2003), "Audits of States, Local Governments, and Non-Profit Organizations," nonfederal entities that expend financial assistance of $500,000 or more in Federal awards will have a single or a program-specific audit conducted for that year. Nonfederal entities that expend less than $500,000 a year in Federal awards are exempt from Federal audit requirements for that year, except as noted in Circular No. A-133. Audits as required by the basic Federal agency and the Commission. In accordance with the Single Audit Act Amendments of 1996, Public Law 104-156. In accordance with the provisions of OMB Circular No. A-133 (Revised, June 27, 2003), "Audits of States, Local Governments, and Nonprofit Organizations," nonfederal entities that expend financial assistance of $500,000 or more in Federal awards will have a single or a program-specific audit conducted for that year. Nonfederal entities that expend less than $500,000 a year in Federal awards are exempt from Federal audit requirements for that year, except as noted in Circular No. A-133.
Records
Records as required by the basic Federal agency. Under the total audit concept, audits will be made on an organization-wide basis (rather than grant-by-grant) under GAO guidelines, Standards for Audit of Governmental Organizations, Programs, Activities and Functions, and for programs covered by A-102, Attachment P.
Program Accomplishments
Fiscal Year 2008: 1) Jobs Created/Retained: Goal = 20,000; Actual = 35,292
2) Private Sector Dollars Leveraged: Ratio Goal = 4:1; Actual = 7:1
3) Households served Water/Wastewater: Goal = 20,000; Actual = 21,538
4) Students/Workers Trained: Goal = 20,000; Actual = 20,432. Fiscal Year 2009: 1) Jobs Created/Retained: Projected = 20,000
2) Private Sector Dollars Leveraged: Projected = 4:1
3) Households served Water/Wastewater: Projected = 20,000
4) Students/Workers Trained: Projected = 20,000. Fiscal Year 2010: 1) Jobs Created/Retained: Projected = 20,000
2) Private Sector Dollars Leveraged: Projected = 4:1
3) Households served Water/Wastewater: Projected = 20,000
4) Students/Workers Trained: Projected = 20,000.
Financial Information
Account Identification
46-0200-0-1-452.
Obligations
(Project Grants) FY 08 $68,286,799; FY 09 est $66,000,000; FY 10 est $68,000,000
Range and Average of Financial Assistance
No Data Available.
Regulations, Guidelines and Literature
"The Appalachian Regional Commission Code" (limited distribution); "Appalachian Regional Commission Project Guidelines" (limited distribution); applicable State Appalachian Plans and Guidelines; "Appalachia" - a journal devoted to the special problems of regional development; Performance and Accountability Report, no charge.
Related Programs
84.048 Career and Technical Education -- Basic Grants to States
Information Contacts
Regional or Local Office
See Regional Agency Offices.
Headquarters Office
Carolyn R. Cleveland 1666 Connecticut Avenue, NW
Suite 600
, Washington, District of Columbia 20009 Email: ccleveland@arc.gov Phone: 2028847713
Web Site Address
Examples of Funded Projects
Fiscal Year 2008: The Appalachian Regional Commission awarded $45,816 in 2008 to fund training in the installation and maintenance of wind generation and photovoltaic equipment at Frostburg State University in Maryland. Each course includes workshop instruction and hands-on laboratory time in the college’s Wind and Solar Energy System. On completion of the course, students are prepared to take the certification test offered by the North American Board of Certified Energy Practitioners. This program will expand opportunities for local contractors and entrepreneurs. The program has been highly successful and can easily be replicated in other institutions across the region. Fiscal Year 2009: No Current Data Available Fiscal Year 2010: No Current Data Available
Criteria for Selecting Proposals
See APPLICATION AND AWARD PROCESS.
