U.S Sens. Shelley Moore Capito (R-WV) and Roger Wicker (R-MS) on March 19 introduced a bipartisan bill proposing a $100 million annual grant program to fund public-private partnerships that advance infrastructure projects and economic development in the Appalachian region.
“Federal investments and partnerships with local leaders are both critical in helping prepare Appalachian economies and communities for the future,” Sen. Capito said.
The Appalachia Opportunity Grants Act, S. 2569, authored by U.S. Sen. Mark Warner (D-VA), would amend the Consolidated Farm and Rural Development Act of 1961 to establish a competitive grant program, replacing the current framework in which states and the federal government are often tasked with selecting projects to receive funding, according to a summary provided by the lawmakers.
“Over the past 50 years, targeted federal investments through the Appalachian Regional Commission have been a driving force for economic development and job creation in North Mississippi and greater Appalachia,” explained Sen. Wicker. “This new program would provide additional competitive funding to spur long-term private investment and develop critical infrastructure, making a difference in the lives of the millions of people who call the region home.”
Under S. 2569, the new competitive grant program’s $100 million in annual appropriations would be administered by the U.S. Department of Agriculture and would nearly double current federal support allocated for economic development in Appalachia, according to the summary, which noted that priority would be given to projects that fostered job creation, post-secondary education, tourism, public health and improvements to regional infrastructure.
“As we continue efforts to give our communities the tools they need to grow and prosper, encouraging collaborative partnerships between the public and private sectors is key for ensuring success and sustainability in the region,” said Capito. “This bill will encourage cooperation and help deliver critical new resources for economic development in West Virginia and all of Appalachia.”
S. 2569 has gained support from the Appalachian Regional Commission (ARC) and the Bipartisan Policy Center (BPC).
Thomas Hunger, the former executive director of the ARC, said the bill “will go a long way toward growing a viable future for the people of Appalachia. The structure is a creative direct linkage to federal funding for local people to solve their economic challenges with their own solutions. I applaud this long overdue effort.”
BPC President Jason Grumet pointed out that S. 2569 contains recommendations from the BPC’s Appalachia Initiative and “responds to the economic challenges in the Appalachia by offering a bipartisan approach to advance prosperity and accelerate growth for more than 25 million people that call this region home.”
Sen. Warner added that S. 2569 incentivizes the private sector to make long-term investments in Appalachia, while encouraging rural communities to develop innovative ways to attract 21st century jobs. “You shouldn’t have to leave your hometown to find a high-paying job and get a world-class education,” he said. “But Southwest Virginia and other parts of Appalachia have been hit hard by economic shifts of the last several decades. While there’s no magic formula that will fix all of the economic problems facing rural communities overnight, the federal government can and should do more to support homegrown initiatives that will expand economic opportunities in the region.”
S. 2569 has been referred to the U.S. Senate Agriculture, Nutrition, and Forestry Committee for consideration.