By David Shepardson

WASHINGTON (Reuters)

Outgoing U.S. President Joe Biden will sign an executive order on Sunday to prioritize government resources for economically distressed American communities, a day before leaving the White House.

Biden’s order targets “Left-Behind Communities” to assist incoming President Donald Trump, who will manage significant infrastructure spending on projects approved during Biden’s presidency.

According to estimates, 15% of the U.S. population, or around 50 million Americans, live in distressed zip codes characterized by factors such as poverty, unemployment, education, abandoned homes, median income, and declines in jobs and businesses.

The White House highlighted several programs funded over the past four years, including:
– $54 billion in investments to Energy Communities (coal, oil, gas areas)
– $210 million for six new tech hubs announced last week
– $525 million for job training in distressed areas
– Billions allocated for infrastructure in distressed regions.

Biden’s order prioritizes funding for economic development in left-behind communities that are facing economic distress, undergoing industrial transitions, emerging as innovation hubs, or rebuilding from natural disasters.

Lael Brainard, a White House economic adviser, stated, “It’s not splashy. It’s just fulfilling his determination to help left-behind communities, particularly in the heartland, make comebacks.”

Under Biden, the Commerce Department has awarded $700 million for tech hubs aimed at spreading the benefits of tech sector growth beyond traditional regions like Silicon Valley and Boston.

Biden remarked that his administration has made historic investments to support distressed areas, factory towns, and coal communities in their recovery efforts.

The executive order aims for a “whole-of-government” coordination of federal investments in these communities and establishes a “No Wrong Door” approach to help distressed areas find available resources.

It further instructs federal employees in areas recently affected by natural disasters to identify funding opportunities for long-term economic development and infrastructure needs.

Brainard added, “This locks down the things that we learned about how to do this work well and what gives these communities the best chance of success.”

In 2018, Trump also signed an executive order creating a White House Opportunity and Revitalization Council to address issues of distressed communities, highlighting persistent high poverty levels despite overall economic growth. The Republican president has pledged to cut regulations and raise tariffs as part of his plan to boost the U.S. economy.