Federal government agencies, such as the U.S. Department of Housing and Urban Development (HUD), provide grants to eligible communities on a competitive basis, with support from their state governments, to advance economic development and revitalization projects.
The Economic Development Administration (EDA) in the U.S. Department of Commerce is charged with leading the federal economic development agenda. It focuses its limited resources on economic development activities in rural and urban areas of the country that are experiencing high unemployment, low income, or other severe economic distress. EDA’s emphasis is on regionalism, innovation and entrepreneurship. It “targets its investment assistance to attract private capital investment and create higher-skill, higher-wage jobs in regions suffering from high levels of economic distress.”