Review of the Distribution of Announcements of Funding Planning Targets and Certain Other Aspects of the Local Public Works Program

The Local Public Works Capital Development and Investment Act of 1976 authorized funding of $2 billion to make grants to State and local governments for constructing or renovating public facilities and an amendment authorized an additional $4 billion. In distributing the additional funds, the Economic Development Administration (EDA) made allocations to the States and established planning targets for substate areas based primarily on unemployment statistics.

The planning targets established for Lackawanna County and the city of Scranton, Pennsylvania, were developed in accordance with the agency's procedures and were calculated accurately. A Federal official asserted that announcements of the substate area planning targets were not provided to a New Jersey political candidate days before the scheduled release date, as alleged, but it would have been possible for a knowledgeable individual to have calculated planning targets on his own. In reference to an allegation that announcements of planning targets were made available to Members of Congress of one political party and the press before information was provided to remaining Members, an official stated that announcements were hand delivered to as many Members as time permitted and the remainder brought to House and Senate mailrooms. Priority was given to chairmen of committees involved in program legislation, then ranking minority members of such committees, and then to individual Members involved in program legislation. In delivering announcements to remaining Members, Democratic party members were sometimes given preference in keeping with the practice during prior administrations.

Recommendations

Our recommendations from this work are listed below with a Contact for more information. Status will change from "In process" to "Open," "Closed - implemented," or "Closed - not implemented" based on our follow up work.

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