Community Economic Adjustment Assistance for Advance Planning and Economic Diversification

Objective

Assist State and local governments to lessen an area's dependence on defense expenditures by preparing economic diversification strategies, and contingency strategies and schematic land use plans for the potential redevelopment of a military installation prior to closure or realignment decisions.

Who Can Apply

• State
• Local
• County Government (inclusive of boroughs in Alaska, parishes and other governmental entities with geographic regional control and authority)
• Other Local Government Consortium, Regional Organization (Intrastate), or Other Local Government Combination

Applicants for this assistance are to contact the Office of Local Defense Community Cooperation and a Project Manager will be assigned to work with the applicant to determine eligibility for assistance under this program. States, counties, municipalities, other political subdivisions of a State, special purpose units of a State or local government, and tribal nations are eligible for this assistance if a substantial portion of the economic activity or population of the applicant's geographic area is dependent on defense expenditures. The Office of Local Defense Community Cooperation must determine, in consultation with the affected state or community, that a substantial portion of the economic activity or population of the geographic area subject to the planning under this program is dependent on Department of Defense (Defense) expenditures. For purposes of eligibility determination, an area is considered Defense-dependent if it can demonstrate: (1) Direct military and civilian employment totals at least one and a half times the national level of Defense employment as a percent of the total U.S. labor force or (2) Defense-related expenditures comprise at least one and a half times the Defense percent of gross domestic product. The National Defense Budget Estimates for FY2023 states that the 2021 Defense employment as a percent of total labor force is 1.4% and the 2021 Defense share of gross domestic product is 3.2%. One and half times the Defense employment as a percent of the total labor force is 2.1%, and one and half times the Defense percent of gross domestic product is 4.8%. Technical and financial assistance is structured through an assigned Project Manager working with a defense-dependent State and/or local government.

Who Benefits

• State
• Local

States and communities, including workers, businesses, and other community interests, that could be affected by Defense budget reductions and base closures/realignments.

Assistance Types

• Grant

Program Contact

karen.e.bass-mcfadden.civ@mail.mil
(703) 697-2161