[Federal Register Volume 76, Number 132 (Monday, July 11, 2011)]
[Notices]
[Pages 40686-40688]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2011-17319]


-----------------------------------------------------------------------

DEPARTMENT OF COMMERCE

Economic Development Administration

[Docket No.: 110705370-1370-01]


Public Input for the Launch of the Strong Cities, Strong 
Communities Visioning Challenge

AGENCY: Economic Development Administration, U.S. Department of 
Commerce.

ACTION: Notice and request for information.

-----------------------------------------------------------------------

SUMMARY: The Obama Administration announces and requests public 
comments on the structure of the Strong Cities, Strong Communities 
Visioning Challenge (SC2 Pilot Challenge), which is a component of the 
SC2 Interagency Initiative led by the White House Office of Urban 
Policy. The SC2 Interagency Initiative is a multi-agency, capacity-
building effort to coordinate Federal resources offered by the U.S. 
Department of Commerce, U.S. Department of Housing and Urban 
Development, U.S. Environmental Protection Agency, U.S. Department of 
Labor, U.S. Department of Health and Human Services, U.S. Department of 
Agriculture, U.S. Department of Energy, U.S. Department of Education, 
U.S. Department of Justice, U.S. Department of Transportation, U.S. 
Department of the Treasury, U.S. Small Business Administration, and 
U.S. Army Corps of Engineers (collectively, the ``SC2 Interagency 
Partnership''), to address the many planning, housing, and economic 
challenges facing communities across the United States. The President 
has called upon executive departments and agencies to work together 
more strategically--through better coordination of human, regulatory 
and financial resources--with economically distressed cities in the 
Nation by identifying barriers to federal assistance.
    Subject to the availability of funds under Economic Development 
Administration's (EDA) Economic Adjustment Assistance program (42 
U.S.C. 3149), the SC2 Pilot Challenge will offer a total of $6 million 
to support the development and implementation of comprehensive economic 
development strategic plans for approximately six cities. Each of the 
winning cities (one selected in each of EDA's six geographic regions) 
will be awarded $1 million to conduct a community-led challenge 
competition (referred to as the ``Challenge Competition'') with the 
support of the SC2 Interagency Partnership, and will receive technical 
assistance and support from EDA to conduct the Challenge Competition. 
As a part of the Challenge Competition, each city will invite 
multidisciplinary teams, representing a variety of disciplines with 
complementary skills in the economic development arena, to submit 
proposals for comprehensive economic development strategic plans 
establishing and promoting a vision and approach to stimulate local 
economic development. The proposals are expected to be multi-faceted, 
to include plans to restructure and realign land-uses, infrastructure, 
and economic and social resources (e.g., industry clusters, workforce 
development), and economic development approaches that promote 
competitiveness and high-growth potential.
    The final comprehensive economic development strategic plan for the 
city will be based on a genuine understanding of the local, regional, 
and global economic realities. The plan will serve as a blueprint to 
guide the city's and region's future investments towards economic 
prosperity.
    To design the Challenge Competition, EDA anticipates using the new 
authority granted to Federal agencies to conduct prize competitions and 
challenges under the America Creating Opportunities to Meaningfully 
Promote Excellence in Technology, Education, and Science (COMPETES) 
Reauthorization Act of 2010 (Pub. L. 111-358 (2011)) (America COMPETES 
Act). In this regard, EDA will engage a prize and challenge expert to 
help develop the competition framework, including rules regarding 
eligibility, potential prize amounts, process and other criteria, that 
each winning city will use to run its local Challenge Competition.
    Through this notice, EDA requests public comments on the structure 
of the SC2 Pilot Challenge, in particular regarding how the agency can 
best use the America COMPETES Act authority to conduct prize 
competitions to implement the SC2 Pilot Challenge. Please also see the 
section titled ``Solicitation for Comments on the SC2 Pilot Challenge'' 
for a list of specific questions. Subject to the availability of funds 
in FY 2012, EDA anticipates publishing a federal funding opportunity 
(FFO) notice to announce the SC2 Pilot Challenge in December 2011.

DATES: EDA invites comments from interested parties in both the public 
and private sectors to be considered in the formulation of the FFO 
announcement for the SC2 Pilot Challenge. Interested parties should 
submit comments in writing by e-mail or facsimile, as

[[Page 40687]]

provided below under ADDRESSES, on or before thirty days from the 
publication of this notice.

ADDRESSES: Comments may be submitted by any of the following methods:
     E-mail: [email protected]. Please state ``Comment on 
SC2 Pilot Challenge'' in the subject line.
     Facsimile: (202) 482-2838. Please state ``Comment on SC2 
Pilot Challenge'' on the cover page.
    To receive consideration as public comments, comments must be 
submitted through e-mail or facsimile. All submissions must reference 
``Comment on the SC2 Pilot Challenge.'' If you are addressing one of 
the questions solicited below under ``Solicitation for Comments on the 
SC2 Pilot Challenge,'' please note the number of the question to which 
you are responding. Do not include any information in your comment that 
you consider confidential or inappropriate for public disclosure.

FOR FURTHER INFORMATION CONTACT: Lynette Boswell, Performance and 
National Programs Division, Economic Development Administration, U.S. 
Department of Commerce, Room 7009, 1401 Constitution Avenue, NW., 
Washington DC 20230; telephone: (202) 482-1118.

SUPPLEMENTARY INFORMATION:

Administration of the SC2 Pilot Challenge

    President Obama recognized the importance of economically vibrant 
and prosperous cities, towns and regions to our national economy when 
he asserted that ``strong cities are the building blocks of strong 
regions, and strong regions are essential for a strong America.'' The 
Administration has developed the SC2 Pilot Challenge to create Federal-
local synergies that will help strengthen economically distressed 
communities. The SC2 Pilot Challenge will target cities, towns, and 
regions that have experienced significant economic challenges (e.g., 
significant population loss, long-term economic decline, high levels of 
poverty and unemployment, low property values, large amounts of vacant 
land, or high numbers of abandoned or substandard properties) yet 
possess physical, commercial and social assets that can be leveraged to 
create jobs and revitalize their economies.
    This effort will reinforce the Administration's place-based 
approach to advancing cities, towns and regions into thriving 21st 
century economies, by helping these communities establish innovative, 
actionable objectives to be implemented by local and regional leaders 
in the public and private sectors to drive economic development and 
facilitate economic revitalization. Through the SC2 Pilot Challenge, 
eligible cities will compete for assistance to carry out an innovative 
local competition that will result in the development of a robust 
comprehensive economic development strategic plan.
    EDA has six regional offices located in Atlanta, Austin, 
Philadelphia, Chicago, Denver, and Seattle. Please see EDA's Web site 
at http://www.eda.gov/AboutEDA/Regions.xml for a list of states covered 
by each regional office. Under the FFO that is anticipated to be issued 
to announce the SC2 Pilot Challenge, EDA as the lead agency, in 
collaboration with members of the SC2 Interagency Partnership, will 
conduct a competition to select six pilot cities, one in each of the 
geographic regions covered by EDA's regional offices (for a total of 
six awards), among a number of economically distressed cities across 
the United States. Subject to the availability of funds in FY 2012, EDA 
intends to make an award of up to $1 million to a winning pilot city in 
each EDA region. The award funds are anticipated to be available until 
expended. The project period of each award is anticipated to be 24 
months. The FFO will provide information on how EDA will evaluate 
applications for funding.
    In an effort to use the broad prize authority granted to Federal 
agencies under the America COMPETES Act, EDA is in the process of 
engaging a prize and challenge expert to help develop the framework 
that each winning city will use to run its local Challenge Competition. 
The current plan involves a cooperative agreement entered into between 
EDA and each winning city (the Grantee), under which the Grantee would 
launch a Challenge Competition by issuing a solicitation for the 
formation of multidisciplinary teams to submit proposals for 
comprehensive economic development strategic plans for the city. 
Ultimately, each Grantee would select one multidisciplinary team to 
develop a final economic development strategy. Each Grantee may use up 
to $1 million of grant funds to award prizes to the multidisciplinary 
team that advances in or wins the Challenge Competition. In addition, 
the Grantee may use any funds remaining after awarding the prizes to 
the multidisciplinary team to begin implementation of the comprehensive 
economic development strategic plan.
    A multidisciplinary team may be comprised of professionals 
representing a variety of disciplines with complementary skills in 
economic development. For example, a multidisciplinary team could 
include economic development specialists, local business experts, 
urban/regional planners, economists, architects, statisticians, and 
engineers. EDA anticipates that the multidisciplinary teams will be 
allowed to compete in more than one city-held Challenge Competition. In 
addition, individuals and entities may participate on multiple 
multidisciplinary teams.
    In preparation for and during the Challenge Competition, EDA will 
collaborate with the SC2 Interagency Partnership as its representatives 
provide recommendations and consultation to Grantees. Each winning 
multidisciplinary team will have no more than one year from the date of 
the public announcement (specific deadlines to be determined by the 
Grantee) announcing the winning multidisciplinary teams to develop a 
final comprehensive economic development strategic plan for the 
relevant Grantee. The process for developing the comprehensive economic 
development strategic plan will involve outreach and participation 
activities carried out between the winning multidisciplinary team and 
applicable Grantee. At the end of the one-year development period, EDA, 
the Grantees, and the professional economic development community will 
make the final comprehensive economic development strategic plan(s) 
available as precedent-setting models for economic transition and 
redevelopment practices.

Solicitation for Comments on the SC2 Pilot Challenge

    To assist EDA in formulating the FFO announcement for the SC2 Pilot 
Challenge, EDA seeks public comment on the following questions:
    1. What role should the Federal government play in helping to 
transform struggling cities, towns and regions into economically 
stable, well-functioning communities and what risks, if any, should the 
Federal government consider in meeting its objectives under the SC2 
Pilot Challenge as currently envisioned?
    2. Commenters are invited to submit views on the following 
questions:
    a. How can the Challenge Competition (whereby select 
multidisciplinary teams would develop and submit proposals for 
comprehensive economic development strategic plans) be structured to 
ensure the greatest participation and success?
    b. What type of structure for the Challenge Competition would be 
most feasible for cities to administer?

[[Page 40688]]

    c. What resources would winning pilot cities need to carry out the 
Challenge Competition?
    d. How much technical assistance or involvement will the pilot 
cities need for the Challenge Competition? Are there technical 
assistance programs that the SC2 Interagency Partnership should review 
to enhance the SC2 Pilot Challenge?
    3. Which practices (e.g., smart growth; creative cities; healthy 
cities; sustainable economic development; regional innovation clusters) 
should the SC2 Pilot Challenge include?
    4. What information should EDA and members of the SC2 Interagency 
Partnership consider in selecting the six city Grantees?
    5. What information should EDA and members of the SC2 Interagency 
Partnership consider in selecting multidisciplinary teams as eligible 
participants to submit a proposal for a comprehensive economic 
development strategic plan?
    6. To what extent should the SC2 Pilot Challenge encourage 
multidisciplinary teams to develop plans that speak to both the 
economic development and land use needs or opportunities of the city 
and region?
    7. What criteria should EDA and members of the SC2 Interagency 
Partnership consider in connection with the evaluation of proposals 
submitted by the multidisciplinary teams?
    8. What financial incentives should the Federal government use to 
encourage strong participation among economic development 
professionals?
    9. Would one large prize serve as a more powerful incentive to 
having a robust competition, or should the competition be tiered in 
which multidisciplinary teams compete over the course of two or three 
``tiers'' with winning teams who advance to the succeeding round 
receiving increasing levels of prizes?
    10. Are there any issues that EDA and members of the SC2 
Interagency Partnership should consider in connection with budgetary 
and time frame constraints imposed on local governments?

EDA's Statutory Authority and the America COMPETES Act

    EDA's authorizing statute is the Public Works and Economic 
Development Act of 1965, as amended (42 U.S.C. 3121 et seq.) (PWEDA). 
The specific authority for the Economic Adjustment Assistance program 
is section 209 of PWEDA (42 U.S.C. 3149). EDA's regulations at 13 CFR 
Parts 300-302 and subpart A of 13 CFR Part 307 set forth the general 
and specific regulatory requirements applicable to the Economic 
Adjustment Assistance program. EDA's regulations and PWEDA are 
accessible on EDA's Web site at http://www.eda.gov/InvestmentsGrants/Lawsreg.xml.
    Section 105 of America COMPETES Act amends the Stevenson-Wydler 
Technology Innovation Act of 1980 (15 U.S.C. 3701 et seq.) to permit 
any agency head to ``carry out a program to award prizes competitively 
to stimulate innovation that has the potential to advance the mission 
of the respective agency.'' The Act authorizes agencies to use Federal 
appropriated funds to design prizes, administer prizes, and offer 
monetary prizes for competitions.

EDA's Matching Share Requirement

    EDA requires a non-federal matching share for its investments. As 
such, EDA recognizes that local governments may be in the process of 
developing or ratifying operational budgets for the coming year on a 
parallel timeline with the anticipated publication of the FFO for the 
SC2 Pilot Challenge. Generally, the amount of an EDA grant may not 
exceed fifty percent of the total cost of the project. Projects may 
receive up to eighty percent of total cost, based on the relative needs 
of the region in which the project will be located, as determined by 
EDA, and in certain circumstances based on need, up to 100 percent. See 
section 204(a) of PWEDA (42 U.S.C. 3144) and 13 CFR 301.4(b)(1). Given 
that EDA anticipates selecting distressed cities, it is likely EDA will 
be able to set the federal share at eighty percent or higher.
    In addition, the Grantee should expend matching funds at the same 
rate as granted funds in order to avoid reaching the project completion 
stage without having secured the needed proportionate amount required 
in the cooperative agreement with EDA. For example, consider a $100,000 
project that receives eighty percent ($80,000) award funds and has 
twenty percent ($20,000) cash matching funds. If $25,000 is spent on 
the project in the first quarter of implementation, then the Grantee 
should expend $20,000 (eighty percent) from award funds and $5,000 
(twenty percent) in cash matching funds.

    Dated: July 6, 2011.
Ten[eacute] Dolphin,
Chief of Staff, Economic Development Administration, U.S. Department of 
Commerce.
[FR Doc. 2011-17319 Filed 7-8-11; 8:45 am]
BILLING CODE 3510-24-P