Economic Development: Opportunities Exist for Further Collaboration among EDA, HUD, and USDA

This recommendation is an action identified in GAO's 2023 annual Duplication and Cost Savings report. EDA agreed with the recommendations. As of April 2023, Commerce and HUD have implemented this recommendation. Since we made this recommendation, community and economic development planning and coordination across federal, state and local agencies have become a part of larger efforts outlined in legislation passed 2021 (American Rescue Plan Act and Infrastructure Investment and Jobs Act). Officials from EDA and HUD stated that they revisited the 2016 interagency agreement in our report between HUD and EDA and stated it was limited to a specific task, which is complete. The agencies provided examples of how they can further address the recommendation through other collaborative efforts based on current priorities related to community and economic development planning at both the broad federal wide level and also more targeted efforts related to community and economic development planning. In addition, EDA, HUD and USDA provided examples of how USDA has been included in the current priorities. Officials stated many of these efforts were developed to support the priorities outlined in implementation of the 2021 Acts. Examples of these efforts include: 1) Rural Partners Network, USDA Rural Development is leading the Rural Partners Network, created in April 2022 in collaboration with 20 federal agencies and regional commissions (including HUD and EDA) through the Rural Prosperity Interagency Policy Council, co-led by the White House Domestic Policy Council and USDA. Specifically, HUD and EDA are collaborating by providing targeted staffing, tools, and resources. 2) Thriving Communities Network, a Federal Interagency network was formalized in fiscal year 2023 to help Cabinet agencies including EDA, HUD and USDA coordinate strategy, collaborate across initiatives, and target deployment of a full range of Federal place-based technical assistance and capacity building resources to urban, rural, and Tribal communities experiencing a history of economic distress and systemic disinvestment. HUD's role is through the Thriving Communities Technical Assistance program. EDA's role is through their Economic Recovery Corps, and USDA's role is through the Rural Partners Network. 3) USDA, through its Strategic Engagement Division (SED), has assigned staff as federal partner liaisons in an effort to establish an intentional method for regular contact and interaction with federal partners, including HUD and EDA. As of January 2023, 15 liaisons have been assigned within the federal government, with three each for HUD and EDA. The USDA liaisons are tasked with scheduling and attending a regularly occurring meeting with partner agency contacts, inviting additional USDA staff based on meeting topics and engaging in planning and/or projects as identified and practical. 4) Another example of collaboration between EDA and USDA includes a jointly developed document in the form of a resource matrix that was issued in May 2022 to assist with community and economic development planning efforts. The resource called, Stronger Together - Federal funding and planning strategies was designed to promote sustainable economic development in rural America. According to officials, this was the culmination of a fiscal year 2017 interagency agreement between EDA and USDA. For these interagency current priorities, HUD and EDA stated the agencies plan to document these existing collaborations and potential new areas of collaboration, as identified as leading practices in collaboration. By implementing this recommendations within the current priorities, EDA and HUD may help grantees and local communities better manage overlapping efforts to meet federal requirements for strategic planning, which can reduce administrative and planning burden for local communities while also assisting these communities to better address their economic development needs.

This recommendation is an action identified in GAO's 2023 annual Duplication and Cost Savings report. HUD generally agreed with the recommendation. As of April 2023, Commerce and HUD have implemented this recommendation. Since we made this recommendation, community and economic development planning and coordination across federal, state and local agencies have become a part of larger efforts outlined in legislation passed 2021 (American Rescue Plan Act and Infrastructure Investment and Jobs Act). Officials from EDA and HUD stated that they revisited the 2016 interagency agreement in our report between HUD and EDA and stated it was limited to a specific task, which is complete. The agencies provided examples of how they can further address the recommendation through other collaborative efforts based on current priorities related to community and economic development planning at both the broad federal wide level and also more targeted efforts related to community and economic development planning. In addition, EDA, HUD and USDA provided examples of how USDA has been included in the current priorities. Officials stated many of these efforts were developed to support the priorities outlined in implementation of the 2021 Acts. Examples of these efforts include: 1) Rural Partners Network, USDA Rural Development is leading the Rural Partners Network, created in April 2022 in collaboration with 20 federal agencies and regional commissions (including HUD and EDA) through the Rural Prosperity Interagency Policy Council, co-led by the White House Domestic Policy Council and USDA. Specifically, HUD and EDA are collaborating by providing targeted staffing, tools, and resources. 2) Thriving Communities Network, a Federal Interagency network was formalized in fiscal year 2023 to help Cabinet agencies including EDA, HUD and USDA coordinate strategy, collaborate across initiatives, and target deployment of a full range of Federal place-based technical assistance and capacity building resources to urban, rural, and Tribal communities experiencing a history of economic distress and systemic disinvestment. HUD's role is through the Thriving Communities Technical Assistance program. EDA's role is through their Economic Recovery Corps, and USDA's role is through the Rural Partners Network. 3) USDA, through its Strategic Engagement Division (SED), has assigned staff as federal partner liaisons in an effort to establish an intentional method for regular contact and interaction with federal partners, including HUD and EDA. As of January 2023, 15 liaisons have been assigned within the federal government, with three each for HUD and EDA. The USDA liaisons are tasked with scheduling and attending a regularly occurring meeting with partner agency contacts, inviting additional USDA staff based on meeting topics and engaging in planning and/or projects as identified and practical. 4) Another example of collaboration between EDA and USDA includes a jointly developed document in the form of a resource matrix that was issued in May 2022 to assist with community and economic development planning efforts. The resource called, Stronger Together - Federal funding and planning strategies was designed to promote sustainable economic development in rural America. According to officials, this was the culmination of a fiscal year 2017 interagency agreement between EDA and USDA. For these interagency current priorities, HUD and EDA stated the agencies plan to document these existing collaborations and potential new areas of collaboration, as identified as leading practices in collaboration. By implementing this recommendations within the current priorities, EDA and HUD may help grantees and local communities better manage overlapping efforts to meet federal requirements for strategic planning, which can reduce administrative and planning burden for local communities while also assisting these communities to better address their economic development needs.

This recommendation is an action identified in GAO's 2023 annual Duplication and Cost Savings report. As of January 2023, USDA has implemented this recommendation. Since we made this recommendation, community and economic development planning and coordination across federal, state and local agencies have become a part of larger efforts outlined in legislation passed 2021 (American Rescue Plan Act and Infrastructure Investment and Jobs Act). USDA provided examples of formal collaboration efforts between USDA and the Economic Development Administration (EDA) and between USDA and the Department of Housing and Urban Development (HUD). More specifically, USDA Rural Development is leading the Rural Partners Network, created in April 2022 in collaboration with 20 federal agencies and regional commissions (including HUD and EDA) through the Rural Prosperity Interagency Policy Council, co-led by the White House Domestic Policy Council and USDA. Specifically, HUD and EDA are collaborating by providing targeted staffing, tools, and resources. USDA, through its Strategic Engagement Division (SED), has also assigned staff as federal partner liaisons in an effort to establish an intentional method for regular contact and interaction with federal partners, including the Department of Housing and Urban Development (HUD) and the Economic Development Administration (EDA). As of January 2023, according to USDA, 15 liaisons have been assigned within the federal government, with three each for HUD and EDA. The USDA liaisons are tasked with connection to an agency point-of-contact (POC), scheduling and attending a regularly occurring meeting with the POC, inviting additional USDA - RD staff depending upon topics under consideration and engaging in planning and/or projects as identified and practical. Another example of collaboration between EDA and USDA include a jointly developed document in the form of a resource matrix that was issued in May 2022 to assist with community and economic development planning efforts. The resource called, Stronger Together - Federal funding and planning strategies was designed to promote sustainable economic development in rural America. According to officials, this was the culmination of a fiscal year 2017 interagency agreement between EDA and USDA. In addition, USDA continues to accept EDA's planning document, the Comprehensive Economic Development Strategies plan, to satisfy USDA's strategic planning requirements. USDA and HUD officials also engage formally through working groups related to Promise Zones, a place-based initiative. By implementing this recommendation, USDA can help grantees and local communities better manage overlapping efforts to meet federal requirements for strategic planning, which can reduce administrative and planning burden for local communities while also assisting these communities to better address their economic development needs.