ALLENTOWN, Pa. — Allentown still is in the hunt for a $20 million federal grant to boost employment in some of the city’s “most distressed neighborhoods.”
The U.S. Economic Development Administration on Wednesday selected 22 proposals — including Allentown’s — as finalists for its Distressed Area Recompete Pilot Program.
The program is set to dole out $200 million in grants for “economic and workforce development projects that connect workers to good jobs in geographically diverse and persistently distressed communities across the country,” according to the EDA.
It’s targeted to help “the hardest-hit and most economically distressed areas” where employment among people 25-54 is lower than the national average — known as the prime-age employment gap — officials said in a news release.
Allentown “is uniquely positioned to channel regional growth directly into the city by leveraging [Recompete funding] to develop an expanded, trained and diverse workforce."Allentown's proposal for Recompete Plan funding
Up to eight proposals will be selected for funding, with grants to range from $20 million to $50 million, according to the U.S. Economic Development Administration.
Through its Recompete Plan proposal, Allentown is seeking $20 million to “connect residents in the most distressed neighborhoods to good jobs in growing industries,” according to a summary of the plan on the EDA’s website.
“The plan will develop a trained, diverse workforce by connecting underserved communities to high-opportunity industries,” the summary reads.
“By working with labor unions and employers to expand apprenticeships, skills training and re-entry programs, investing in micro-transit and childcare services, and funding site development, residents in underserved communities will face fewer barriers to employment.”
Allentown would target the Recompete funding to neighborhoods on the city’s East Side and downtown, according to its proposal.
Employees in “high-opportunity industries,” such as the manufacturing or healthcare sectors — which employ about a third of Lehigh Valley workers — face numerous barriers to employment, according to the summary.
City banks $500K grant
The city also got a $500,000 federal grant Wednesday that officials will use to “identify and create a plan for tackling local barriers to employment — including access to child care, transportation and job training,” local elected officials said in a news release.
The money also could be used to further develop the city’s Recompete Plan for the second phase, according to the city’s proposal for funding.
“This plan strives toward equity and economic justice by facilitating connections between Allentown residents and high-opportunity industries, ensuring greater, more equitable participation in citywide and regional economic growth."Allentown's proposal for Recompete Plan funding
The region’s lack of accessible transportation and affordable childcare services “intersect and compound each other, raising the barrier to entry into the workforce and keeping the city’s prime-age employment gap high,” the city’s Phase I proposal says.
Allentown “is uniquely positioned to channel regional growth directly into the city by leveraging (Recompete funding) to develop an expanded, trained and diverse workforce,” according to the proposal.
“This plan strives toward equity and economic justice by facilitating connections between Allentown residents and high-opportunity industries, ensuring greater, more equitable participation in citywide and regional economic growth,” officials say in the proposal.
Allentown’s Recompete Plan is among seven chosen as finalists that involve labor organizations among their proposed investments.
The plan says city officials will support IBEW 375 and other labor organizations to boost employment.
State Sen. Nick Miller, D-Lehigh/Northampton, said the Recompete Pilot Program “will offer incredible opportunities for residents in the Lehigh Valley to have access to better-paying and more sustainable jobs.”
Check back for more on this developing report.
