https://crsreports.congress.gov
Updated March 25, 2025
Federal Regional Commissions and Authorities:
Overview of Structure and Activities
Federal regional commissions and authorities (FRCAs)
address perceived regional economic underdevelopment.
These organizations accommodate multileveled and
multijurisdictional participation in and implementation of
assistance programs. How FRCAs generally implement
such programs is informed by federal and state partners as
well as substate level stakeholders. Outside groups have
speculated that the FRCAs’ flexible design and federal-
state-local model is particularly important because it may
contribute to their effectiveness in rural communities.
This In Focus outlines each active FRCA’s structure, core
activities, and recent funding. In addition to the core
activities described below, these FRCAs also undertake
various partnerships and initiatives unique to their regions’
opportunities and challenges (e.g., the J-1 Visa waiver
program, which provides visa waivers for physicians who
are willing to provide medical services in distressed
communities).
Appalachian Regional Commission
The Appalachian Regional Commission (ARC) was
established in 1965 to address economic distress in the
Appalachian region. The ARC’s jurisdiction spans 423
counties in Alabama, Georgia, Kentucky, Ohio, New York,
Maryland, Mississippi, North Carolina, Pennsylvania,
South Carolina, Tennessee, Virginia, and West Virginia.
The ARC is a federal-state partnership, with administrative
costs shared equally by the federal government and member
states; its economic development activities are federally
funded. Thirteen state governors and a federal co-chair
oversee the ARC. The co-chair is appointed by the
President with the advice and consent of the U.S. Senate.
The current federal co-chair is Gayle Manchin, whose
tenure began in May 2021. Maryland Governor Wes Moore
is the states’ co-chair, which is selected by the governors.
According to authorizing legislation (40 U.S.C. §§14101-
14704), the ARC’s programs abide by a Regional
Development Plan, which is comprised of the strategic plan,
bylaws, state development plans, the annual strategy
statement for each participating state, the annual program
budget, and internal implementation and performance
management guidelines. The strategic plan is typically a
five-year document, reviewed annually, and revised as
necessary. The current strategic plan, adopted in October
2021, prioritizes five investment goals: (1) entrepreneurial
and business development; (2) workforce development; (3)
infrastructure development; (4) natural and cultural assets;
and (5) leadership and community capacity.
The ARC’s structure enables local and state-level agenda-
setting and implementation tied to federal and multistate
regional perspectives. Similar to other FRCAs, the ARC’s
economic development activities include significant state
and local input. Through state plans and annual work
statements, state governments regularly establish goals,
priorities, and agendas for fulfilling them. State-level
planning typically includes consultation with a network of
74 multicounty local development districts (LDDs), which
are financially supported by the ARC and advise on local
priorities and issues. Accordingly, state and local
governments, governmental entities, and nonprofit
organizations are eligible for the ARC’s funding. This
includes federal and potentially state-designated tribal
entities.
The ARC statutorily designates counties according to levels
of economic distress, which determine matching fund
requirements for grants. The ARC’s multileveled and
multijurisdictional structure and activities make it a unique
model of federal economic development, which is emulated
in other FRCAs.
Delta Regional Authority
The Delta Regional Authority (DRA) was established in
2000 (P.L. 106-554) to address economic distress in the
Mississippi River Delta region. The DRA’s jurisdiction
includes 255 designated parishes in Louisiana and counties
in Alabama, Arkansas, Illinois, Kentucky, Mississippi,
Missouri, and Tennessee. Like the ARC, the DRA is a
federal-state partnership that shares administrative expenses
equally, while activities are federally funded. The DRA is
governed by the eight state governors and a federal co-chair
appointed by the President with the advice and consent of
the U.S. Senate. The current federal co-chair is Corey
Wiggins, whose tenure began in March 2022. The states’
co-chair is currently Kentucky Governor Andy Beshear.
The DRA strategic plan illuminates economic development
priorities. Its current strategic plan—Regional Development
Plan IV—was released in February 2023. The strategic plan
lists four goals related to public infrastructure; workforce;
business growth and entrepreneurship; and community
place-making and capacity-building. State development
plans are required by statute, and are issued every five years
to coincide with the strategic plan. The DRA funds projects
through a supported network of 45 LDDs. By statute, the
DRA directs at least 75% of funds to distressed counties;
half those funds target transportation and infrastructure.
Denali Commission
The Denali Commission was established in 1998 (P.L. 105-
277) to provide rural economic development in Alaska. It is
unique as a single-state regional commission and relies on
federal funding for its expenses and activities. By statute, it
is comprised of seven members appointed by the U.S.
Secretary of Commerce, including the: federal co-chair,
