Trade Adjustment Assistance for Communities: The Law and Its Implementation

Eugene Boyd
Analyst in Federalism and Economic Development Policy

On August 18, 2009, the Department of Commerce's Economic Development Administration (EDA) published in the Federal Register final rules and regulations governing Trade Adjustment Assistance for Communities (TAAC) program. The regulations outline the responsibilities of EDA in administering the program, including determining a community's eligibility for TAAC grants, providing technical assistance to impacted communities, and evaluating grant applications. On January 11, 2010, EDA published in the Federal Register a notice soliciting applications for TAAC grants. Concurrently, it published the full announcement and application for assistance at http://www.grants.gov and established April 20, 2010, as the deadline for applications. 

The TAAC grant program was created with the passage of the American Recovery and Reinvestment Act (ARRA) of 2009, P.L. 111-5. Included among the subtitles of Division B of ARRA, was the Trade and Globalization Adjustment Assistance Act (TGAAA) of 2009. The TAAC program, as authorized by ARRA, comprises four subchapters: 

• Subchapter A—Trade Adjustment Assistance to Communities (TAAC) directs the EDA to provide technical assistance and to award strategic planning and implementation grants to eligible trade-impacted communities. 

• Subchapter B—Community Colleges and Career Training (CC&CT) creates a competitive grant program administered by the Department of Labor which is intended to strengthen the role of community colleges in filling the education and skills gap of workers in trade impacted communities. 

• Subchapter C—Industry or Sector Partnership Grants Program for Communities Impacted by Trade (ISG) creates a grant program intended to encourage the creation of public private partnerships that develop a skilled workforce. 

• Subchapter D—General Provisions includes language prohibiting workers receiving trade adjustment assistance from being disqualified from receiving assistance under activities funded by the TAAC program. 

The Supplemental Appropriations Act of 2009, P.L. 111-32, included a $40 million appropriation that funded both TAAC and Trade Adjustment Assistance for Firms. For FY2010, the Consolidated Appropriations Act for FY2010, P.L. 111-117, included an appropriation of $15.8 million to be shared between the trade adjustment assistance programs for communities and firms. In addition, on March 30, 2010, the President signed the Health Care and Education Reconciliation Act of 2010, P.L. 111-152, which included $500 million in funding for each of the fiscal years FY2011 through FY2014 for Subchapter B, Community Colleges and Career Training Grants.


Date of Report: April 9 2010
Number of Pages: 16
Order Number: R40863
Price: $29.95

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