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Updated December 17, 2021
Forming a Funded Federal Regional Commission
The Infrastructure, Investment, and Jobs Act (IIJA, P.L.
Commission Funding, FY2021-FY2022
117-58) included $5 million in funding for the Southeast
Prior to the enactment of the IIJA in FY2022, the
Crescent Regional Commission (SCRC) and $1.25 million
Consolidated Appropriations Act of 2021 (P.L. 116-260)
for the Southwest Border Regional Commission. Both
included $250,000 for the SBRC—the first time it has
commissions are authorized. However, the SBRC is not
received an appropriation since it was authorized in the
currently operational, and the SCRC was recently activated
2008 farm bill (P.L. 110-234).
following the confirmation of the first SCRC federal co-
chair in December 2021. Although appropriations are
As noted, the IIJA included $5 million for the SCRC, and in
necessary for their full activation, they are also insufficient
December 2021, the U.S. Senate confirmed the first SCRC
without additional steps. This In Focus describes potential
federal co-chair, The SCRC received an annual
additional steps that may be necessary for a federal regional
appropriation of $250,000 each year from FY2010 through
commission to achieve full formation, and potential policy
FY2020, and $1 million in FY2021. Table 1 summarizes
options for Congress as it continues to consider creating
funding amounts for the six federal regional commissions
new federal regional commissions and authorities.
that have received appropriations in FY2021 and FY2022,
along with the year authorized.
Background on the Federal Regional
Commissions and Authorities
Table 1. Funded Federal Regional Commissions at a
Seven federal regional commissions and authorities have
Glance
been authorized by Congress to address instances of major
in reverse order of year enacted
economic distress in geographically defined socio-
economic regions. Congress authorized the first federal
Year
FY2021
FY2022
regional commission, the Appalachian Regional
Enacted
Appropriations
Appropriations
Commission (ARC), in 1965. Additional commissions and
authorities were founded in 1998 (the Denali Commission),
SBRC
FY2008
$250,000
$1.25 mil ion
2000 (the Delta Regional Authority, or DRA), and 2002
SCRC
FY2008
$1 million
$5 mil ion
(the Northern Great Plains Regional Authority, or
NGPRA). The most recent commissions—the Northern
NBRC
FY2008
$30 mil ion
$150 mil ion
Border Regional Commission (NBRC), the Southeast
DRA
FY2000
$30 mil ion
$150 mil ion
Crescent Regional Commission (SCRC), and the Southwest
Border Regional Commission (SBRC)—were authorized in
Denali
FY1998
$15 mil ion
$75 mil ion
2008. Four of the seven entities—the ARC, DRA, Denali,
ARC
FY1965
$180 mil ion
$200 mil ion
and NBRC—are active and receive annual appropriations.
The NGPRA and SBRC are currently inactive. The
Source: Appropriations figures tabulated from P.L. 116-260 and P.L.
NGPRA’s authorization of appropriations lapsed in
117-58.
FY2018; it received one appropriation for $1.5 million in
Notes: The federal commissions listed in bold are considered to be
FY2004.
currently active. FY2022 appropriated funding amounts are from P.L.
117-58. FY2022 amounts do not include funding provided through
The SCRC and SBRC have received annual appropriations,
the annual appropriations process, as annual appropriations had not
but are not yet fully active. The authorizing legislation for
been enacted as of the date of publication.
the SCRC and SBRC in the 2008 farm bill requires a
presidentially-appointed federal co-chair, which has yet to
Steps for Commission Formation
occur for the SBRC. The U.S. Senate recently confirmed
Appropriations to the SBRC and SCRC represents a first
the SCRC’s first federal co-chair, allowing the commission
step towards their full formation and operation. However,
to convene and begin other activities.
several additional steps must be completed before a
commission can be fully convened and active in a manner
The six regional commissions and authorities established
comparable to the other active federal regional
after the ARC are all broadly modeled after its structure,
commissions and authorities.
which includes a federal co-chair, appointed by the
President with Senate confirmation, and the member state
These steps include, broadly:
governors, of which one is elected by the governors as state
co-chair.
1. The presidential appointment and Senate
confirmation of a federal co-chair, and
potentially an alternate federal co-chair;
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Forming a Funded Federal Regional Commission
2. The convening of the commission,
processes for the day-to-day administration of the
including the federal co-chair and the
organization. These bylaws may be revised or amended by
member state governors;
the commission as needed, as they reinforce statutory
3. Organizational development of the
guidance and regulate the activities of the organization that
commission, which includes the
are not detailed in statute. For example, the bylaws may
development of bylaws, hiring of a
describe the role of an executive director and the categories
professional staff, and the identification
of professional staff, including the terms of their
of program priorities; and
appointment and hiring, their compensation schedules, 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 and FY2022 appropriations to the SBRC provide
elected state co-chair). According to the 2008 farm bill,
some limited funding for hiring additional staff beyond the
which authorized the SBRC, SCRC, and NBRC, the federal
federal co-chair and may not fully cover the operational
co-chair serves as the “liaison between the federal
government and the commission.”
costs of convening the commission. More significant
The statute also states
funding for economic development grant-making would
that the federal co-chair’s assent is required, along with a
also need to be appropriated in the future for the SBRC and
majority of state members, in rendering any decision. In
effect, the statute does not provide for the commission’s
the SCRC.
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 SBRC and SCRC’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 (without Senate confirmation) of
need to be included in future federal appropriations.
an 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
alternates to serve in the governors’ stead. The convening
appointed and confirmed;
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-
chair “shall be a Governor of a participating State in the
Commerce to administer the establishment,
development, and cooperation of existing and future
region and shall be elected by the State members for a term
of not less than 1 year.” The statute also limits the state co
federal regional commissions.
-
chair to no more than two consecutive terms.
Additional Reading
Organizational Development and Grant Making
For additional related information see CRS Report R45997,
Federal Regional Commissions and Authorities: Structural
A commission, once convened, may draft and pass bylaws
Features and Function; and CRS In Focus IF11396,
for the organization, which govern the roles and
Starting a Federal Regional Commission or Authority.
responsibilities of commission members and staff, and set
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Forming a Funded Federal Regional Commission
Julie M. Lawhorn, Analyst in Economic Development
Policy
IF11744
Disclaimer
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https://crsreports.congress.gov | IF11744 · VERSION 5 · UPDATED