Birmingham among 22 finalists for new federal economic development program

On December 20, the City of Birmingham was selected as a finalist for the Distressed Area Recompete Pilot Program—a federal program that aims to create renewed economic opportunity in communities in need.

Birmingham among 22 finalists for the Distressed Area Recompete Pilot Program

Authorized for up to $1 billion in the CHIPS and Science Act, the Distressed Area Recompete Pilot Program is an economic opportunity and workforce development grant program run by the U.S. Department of Commerce. The Recompete Program will, “invest in economically distressed communities to create and connect people to good jobs,” and is targeting areas where prime-age employment (25-54 years) is significantly lower than the national average.

Of the 565 applications to the Recompete Program, only 22 applicants have been selected as finalists—including the City of Birmingham.

“We are absolutely thrilled that the City of Birmingham has been designated as a Recompete Program finalist for their plan to bring targeted workforce training and economic development to communities in need. The future of the Magic City has never been brighter. I want to thank the Biden-Harris Administration and our local officials for continuing to prioritize equity as we expand economic opportunity throughout our state.”

Representative Terri Sewell (AL-07)

Birmingham’s pitch

Here are the details of the City of Birmingham’s pitch—dubbed the Reinvest Norwest: Birmingham Career Accelerator Recompete Plan.

• The plan requests approximately $20 million in funding to support four persistently distressed neighborhoods: North Birmingham, Pratt, Smithfield and Northside.
• Recompete Program funding would be used to connect people in these neighborhoods to good jobs through the creation of:
  • A wraparound service center
  • A workforce development bub
  • A Black-owned business initiative entrepreneurship center
  • Expansion of a transportation program

The plan would work with Birmingham-area employers to provide jobs to over 4,500 workers.

“Creating a Birmingham economy that is truly inclusive and resilient requires investment into lowering barriers to quality jobs and that’s what this program helps us do.”

Cornell Wesley, Director of the Department of Innovation and Economic Opportunity

When will we know if Birmingham wins?

As a Phase II Finalist, the City of Birmingham will be applying for $20 million in the Phase II Notice of Funding Opportunity (NOFO) and working with officials to help strengthen their Recompete Plan.

“We are thankful to the Biden-Harris administration to be selected as a program finalist. We want every Birmingham resident to have access to quality jobs and this program will help us reduce employment participation barriers and supercharge solutions.”

Mayor Randall Woodfin

After applications for the Phase II close on April 25, 2024, the U.S. Economic Development Administration will make investments in 4-8 of the finalists. These 4-8 regions will receive between $20 and $50M on average.

Excited to see Birmingham selected as a finalist for this program? Tag us @bhamnow to let us know!