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U.S. Economic Development Administration Names Newark as Competition Finalist for Federal 'Recompete' Grant

originally published: 02/26/2024

U.S. Economic Development Administration Names Newark as Competition Finalist for Federal

(NEWARK, NJ) -- On February 26, 2024, Mayor Ras J. Baraka announced that the City of Newark is one of 22 finalists, culled from a pool of 560 applicants, to now further detail its proposal for a federal grant under the Distressed Area Recompete Pilot Program (Recompete).  Called "Newark Builds Newark," the city's project would create a skilled workforce trained to build the city itself, as well as its economic strength.

Newark seeks $20 million to realize its Newark Builds Newark Recompete vision to provide training for building trade jobs and comprehensive wraparound supports to residents through the construction of a 30,000-square-foot Center for Excellence in the city’s downtown. By building a physical training presence and providing comprehensive services, the city aims to ensure all residents benefit from this historic federal investment.

“What many people decry as a workforce shortage is actually an investment shortage – and this exciting plan is a perfect example of that. Decades of disregard and a dearth of opportunity for the people of Newark and many cities, has resulted in signs of neglect in buildings and infrastructure – as well as, sometimes, the people themselves,” said Mayor Baraka. “But we are the city that rose to national prominence for a stunning ‘can do’ turnaround in areas ranging from crime reduction to homelessness. And together, with investment, we can show the world once again how beautifully ‘Newark Builds Newark.’”

With an in-depth understanding of Newark’s employment gaps and how to address them, the proposal was submitted by the City of Newark, Newark Workforce Development Board (NWDB), Newark Alliance, Invest Newark, and the Carpenters Union. As partners with a history of meeting Newark’s economic goals with residents, local leaders, and institutions, the collaboration produced Newark Builds Newark as a five-year program to bring more prime age Newarkers into well-paying, in-demand careers in the construction and building trades, including in green and sustainable infrastructure.

“If approved, the Recompete Federal grant will provide the city and our residents with a multi-faceted opportunity to secure Newark’s future economic success and our people’s wellbeing,” said Deputy Mayor of Job Creation and Workforce Development Rahaman Muhammad. “Not only do we have a chance to construct a state-of-the-art training facility from the ground up, but we will do it with the skills of our own city residents who are learning carpentry and other building trades. For them, this opportunity fills the gaps left from our education system and provides a path to a skilled career and financial independence, while establishing a permanent center to keep Newark building Newark. I join Mayor Baraka in thanking the US Economic Development Administration for making us a finalist for this grant.”



 
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Karen Gaylord, Executive Director of the Newark Workforce Development Board, applauded the Eastern Atlantic States Council of Carpenters for its leadership in promoting skilled labor career pathways for youth, women and communities of color. “The Carpenters are champions for urban youth, investing deeply with our public schools in model programs leading to apprenticeships. As committed partners in Newark Builds Newark, they are drawing upon a broad regional membership and long-standing collaborations across all the trades to bring innovative solutions to Newark, particularly for women who, quite literally, want to build – and not just care for – hearth and home,” she said.

Rob Smith, Executive Director of the Eastern Atlantic States Carpenters Technical School said, “We commend the City of Newark for its forward-thinking initiative, ‘Newark Builds Newark.’ This program not only addresses critical employment gaps but also lays the foundation for long-term economic vitality. By investing in skills training and infrastructure development, Newark is not just building structures; it’s building sustainable futures for its residents. We’re proud to support this visionary project and look forward to seeing its positive impact on the community.”

“We believe in the rebuilding of Newark, not just in its infrastructure but in the prosperity of its people,” said Anthony Abrantes, Assistant Executive Secretary-Treasurer of the Eastern Atlantic States Regional Council of Carpenters. “‘Newark Builds Newark’ isn’t just about construction; it’s about building futures, empowering its residents with the skills and opportunities they deserve. This initiative is a testament to the power of investment in communities, and we’re proud to be part of shaping Newark’s brighter tomorrow.”

Evan Weiss, President and CEO of the Newark Alliance, said, “The Newark Alliance has prioritized working to ensure Newark finally gets its fair share of federal resources and we’re proud to work with Mayor Baraka and our partners to do just that. Not only would winning Recompete give us an essential infusion of funds to build a best-in-class training center with proven wrap-around services, but it will allow us to build from that foundation to make sure Newark workers always have a seat at the table to participate in some of our nation’s most substantial infrastructure and economic development projects for generations to come.”

Aaron Meyerson, Chief Innovation Economy Officer and Director of Broadband at Invest Newark shared, “The City of Newark is excited to be named a finalist for the EDA Recompete Pilot Program. Our proposal – ‘Newark Builds Newark’ – aligns the needs of under-employed residents with the skills and jobs in high demand. By providing comprehensive wrap-around services in addition to building the facility needed to train the construction tradespeople of the future, we’re creating opportunity and pathways for generations. Invest Newark, the Newark Alliance, the City of Newark and the Newark Workforce Development Board are committed to bringing resources and aligning stakeholders to bring this vision to life.”

Authorized by the Biden Administration’s CHIPS and Science Act, Recompete targets areas where prime-age (25-54 years) employment is significantly lower than the national average, with the goal to close this gap through flexible, locally driven investments. Earning the title of Recompete Finalist is an endorsement of Newark’s strategy to create and connect workers to good jobs and makes the city eligible to apply for the final phase of the Recompete Program, which will award an average of $20 to $50 million in implementation funding.

Planting such an economic engine right in Newark’s downtown dovetails with other initiatives bringing retail, entertainment, housing and transportation vitality into the heart of the city. The $110 million Mulberry Commons Pedestrian Bridge under construction downtown will soon serve as the landing point for the $6.9 billion Gateway Project underway to create a transportation corridor from New York City to Newark and beyond. Appropriately, Carpenters Union Local 253 would serve as the Center of Excellence’s anchor tenant to spearhead Newark’s rise to employment and economic equity among neighboring cities.



 
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As a key part of President Biden’s Investing in America agenda, Recompete will invest $200 million in economic and workforce development projects in geographically diverse and persistently distressed communities across the country.

“Recompete helps fulfill President Biden’s promise that no community in America will be left behind as we continue to grow our nation’s economy and invest in American workers,” said US Secretary of Commerce Gina Raimondo. “These Recompete finalists and grant recipients have presented a wide range of inspiring solutions to create jobs, develop long-term economic growth, and realize the full potential in communities that for too long have been overlooked or counted out.”

In the two-phase competition, Phase 1 finalists were invited to apply for implementation grants for their Recompete Plans. Phase 2 investments will range from $20-$50 million and can be used to support a wide range of implementation activities across workforce development, business and entrepreneur development, infrastructure, and additional planning, predevelopment, or technical assistance.

The 22 Recompete finalists include municipalities and tribal governments, nonprofits, economic development organizations, and educational institutions across 20 states and territories. Together, they represent nearly $800 million in preliminary funding requests that will be refined in their Phase 2 applications.

Read more about the Recompete Pilot Program here.

The mission of the U.S. Economic Development Administration (EDA) is to lead the federal economic development agenda by promoting competitiveness and preparing the nation’s regions for growth and success in the worldwide economy. An agency within the U.S. Department of Commerce, EDA invests in communities and supports regional collaboration in order to create jobs for U.S. workers, promote American innovation, and accelerate long-term sustainable economic growth.


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