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January 28, 2021
Forming a Funded Federal Regional Commission
The Consolidated Appropriations Act of 2021 (P.L. 116-
P.L. 116-260 also appropriated $1 million to the SCRC,
260) included $1 million in funding for the Southeast
which is currently inactive. Since FY2010, the SCRC has
Crescent Regional Commission, an increase from $250,000
received an annual appropriation of $250,000, but no
appropriated previously, and $250,000 for the Southwest
federal co-chair has ever been appointed, and the funding
Border Regional Commission. Both commissions are
has been returned to the Treasury. The authorizing
authorized but are not currently operational. Although
legislation for the SCRC and SBRC in the 2008 farm bill
appropriations are necessary for their full activation, they
requires a presidentially-appointed federal co-chair, which
are also insufficient without additional steps. This In Focus
has yet to occur. Table 1 summarizes key demographic data
describes potential additional steps that may be required for
for the six federal regional commissions that have received
a federal regional commission to achieve full formation,
funding to date, along with their FY2021 appropriations.
and potential policy options for Congress as it continues to
consider creating new federal regional commissions and
Table 1. Funded Federal Regional Commissions at a
authorities.
Glance
in reverse order of year enacted
Background on the Federal Regional
Commissions and Authorities
Year
Number of
FY2021
Seven federal regional commissions and authorities have
Enacted
Counties
Appropriations
been authorized by Congress to address instances of major
SBRC
FY2008
93
$250,000
economic distress in geographically defined socio-
economic regions. Congress authorized the first federal
SCRC
FY2008
384
$1 mil ion
regional commission, the Appalachian Regional
Commission (ARC), in 1965. Additional commissions and
NBRC
FY2008
60
$30 mil ion
authorities were founded in 1998 (the Denali Commission),
DRA
FY2000
252
$30 mil ion
2000 (the Delta Regional Authority, or DRA), and 2002
(the Northern Great Plains Regional Authority, or
Entire state of
Denali
FY1998
$15 mil ion
NGPRA). The most recent commissions—the Northern
Alaska
Border Regional Commission (NBRC), the Southeast
ARC
FY1965
420
$180 mil ion
Crescent Regional Commission (SCRC), and the Southwest
Border Regional Commission (SBRC)—were authorized in
Source: Appropriations figures tabulated from P.L. 116-260.
2008. Four of the seven entities—the ARC, DRA, Denali,
Notes: The federal commissions listed in bold are considered to be
and NBRC—are active and receive annual appropriations.
currently active. The State of Alaska is organized into 20 boroughs
(19 organized and one unorganized) and is, along with the State of
The NGPRA, SBRC, and SCRC are currently inactive. The
Louisiana, one of only two U.S. states that does not refer to its
NGPRA’s authorization of appropriations lapsed in
primary administrative subdivisions as counties.
FY2018; it received one appropriation for $1.5 million in
FY2004. Although the SCRC and SBRC have received
Steps for Commission Formation
annual appropriations, each has yet to fully activate, as a
The FY2021 appropriations of $250,000 and $1 million to
presidentially-appointed federal co-chair has not been
the SBRC and SCRC, respectively, represents a first step
appointed.
towards their full formation and operation. However,
several additional steps must be completed before the
The six regional commissions and authorities established
commissions can be fully convened and active in a manner
after the ARC are all broadly modeled after its structure,
comparable to the four other active federal regional
which includes a federal co-chair, appointed by the
commissions and authorities.
President with Senate confirmation, and the member state
governors, of which one is elected by the governors as state
These steps include, broadly:
co-chair.
1. The presidential appointment and Senate
Commission Funding for FY2021
confirmation of a federal co-chair, and
The Consolidated Appropriations Act of 2021 (P.L. 116-
potentially an alternate federal co-chair;
260) included $250,000 for the SBRC—the first time it has
2. The convening of the commission,
received an appropriation since it was authorized in the
including the federal co-chair and the
2008 farm bill (P.L. 110-234).
member state governors;
3. Organizational development of the
commission, which includes the
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Forming a Funded Federal Regional Commission
development of bylaws, hiring of a
of professional staff, including the terms of their
professional staff, and the identification
appointment and hiring, their compensation schedules, and
of program priorities; and
their roles and functions. The programmatic elements of the
4. The establishment of an economic
commission’s work would be informed by the regional
development grant-making program,
economic development priorities identified by commission
pending additional appropriations.
members. The commission may draft a strategic plan or
Appointment of a Federal Co-Chair
priorities document, or delegate responsibility for the
development of such documentation to commission staff,
The presidential appointment and Senate confirmation of a
seconded staff from the respective state governments, or a
federal co-chair is an essential step, as the federal co-chair
third party, subject to approval by the commission.
is a statutorily enumerated leader of the commission,
alongside state members (the governors, of which one is
FY2021 appropriations to the SCRC and SBRC provide
elected state co-chair). According to the 2008 farm bill,
limited and perhaps insufficient funding for hiring
which authorized the SBRC, SCRC, and NBRC, the federal
additional staff beyond the federal co-chair and may not
co-chair serves as the “liaison between the federal
fully cover the operational costs of convening the
government and the commission.” The statute also states
commission (particularly for the SBRC). More significant
that the federal co-chair’s assent is required, along with a
funding for economic development grant-making would
majority of state members, in rendering any decision. In
also need to be appropriated in the future.
effect, the statute does not provide for the commission’s
formation in the absence of a duly appointed and confirmed
However, as is generally the case with the active federal
federal co-chair.
regional commissions, the SCRC and SBRC’s 2008
authorizing statute obligates evenly shared administrative
The federal co-chair’s rank and compensation is also
expenses between the federal government and state
established in statute as level III of the Executive Schedule.
members. As such, additional appropriations allocated for
According to the Office of Personnel Management (OPM),
administration would require an equal match from the
the FY2021 rate of basic pay for level III of the Executive
member states. The states are not responsible for providing
Schedule is $183,300. The statute also provides for the
funding for grant-making, however. Those funds would
presidential appointment (and Senate confirmation) of an
need to be included in future federal appropriations.
alternate federal co-chair, who may serve in the federal co-
chair’s stead as needed, or as a deputy otherwise—at the
Policy Considerations
rank of level V of the FY2021 Executive Schedule, or
Enacting, appropriating, and operationalizing a federal
$161,700.
regional commission can be a long-term and sometimes
Convening the Commission
disconnected process, as a commission may not form even
with authorizing legislation and appropriations. Should
Upon appointment and confirmation of a federal co-chair, a
Congress wish to streamline the formation process, it may
commission may begin formal operations once the
consider potential options:
commission membership is convened. Each commission
consists of the federal co-chair and the governors of the
Develop model legislation to provide a temporary or
member states. For the SBRC and SCRC, the 2008
alternate federal co-chair until a permanent one is
authorizing statute also provides for the selection of state
appointed and confirmed;
alternates to serve in the governors’ stead. The convening
of the commission would functionally operationalize the
Allow for a class of federal regional commissions to be
commission and, with the assent of the federal co-chair and
authorized, and federal co-chairs appointed, by the
a majority of state members, allow the commission to
Secretary of Commerce, similarly to those created under
render decisions regarding structure and administration.
(now defunct) Title V of the Public Works and
Economic Development Act of 1965 (P.L. 89-136); or
One such decision would be the selection of a state co-chair
who, alongside the federal co-chair, would form the
Develop a coordinating entity within the Department of
commission leadership. According to statute, the state co-
Commerce to administer the establishment,
chair “shall be a Governor of a participating State in the
development, and cooperation of existing and future
region and shall be elected by the State members for a term
federal regional commissions.
of not less than 1 year.” The statute also limits the state co-
chair to no more than two consecutive terms.
Additional Reading
Organizational Development and Grant Making
For additional related information on the Federal Regional
Commissions and Authorities, see CRS Report R45997,
A commission, once convened, may draft and pass bylaws
Federal Regional Commissions and Authorities: Structural
for the organization, which govern the roles and
Features and Function; and CRS In Focus IF11396,
responsibilities of commission members and staff, and set
Starting a Federal Regional Commission or Authority.
processes for the day-to-day administration of the
organization. These bylaws may be revised or amended by
the commission as needed, as they reinforce statutory
Michael H. Cecire, Analyst in Intergovernmental Relations
guidance and regulate the activities of the organization that
and Economic Development Policy
are not detailed in statute. For example, the bylaws may
IF11744
describe the role of an executive director and the categories
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Forming a Funded Federal Regional Commission
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https://crsreports.congress.gov | IF11744 · VERSION 1 · NEW