EDA Cuts Confusing Language from Project Funding Requirements
Published Date: 3/17/2026
Rule
Summary
The Economic Development Administration is making its rules simpler for public works and economic development projects by cutting out confusing and unnecessary language. This change affects anyone applying for or managing these projects and takes effect on March 17, 2026, without changing any funding rights or responsibilities. It’s all about making the process smoother and easier to understand, with no extra costs or delays.
Analyzed Economic Effects
3 provisions identified: 3 benefits, 0 costs, 0 mixed.
Simplified bid-overrun language
EDA revised 13 CFR 305.10(b)(2) to remove a redundant sentence and keep the rule that recipients may request additional funding and that awards are at EDA's sole discretion. The change takes effect March 17, 2026, and EDA says it does not diminish any substantive rights or obligations or cause extra costs or delays.
Removed general project-sign rule
EDA removed Sec. 305.12 (project signs), so the general regulatory text that recipients must construct, erect, and maintain Federal participation signs is deleted effective March 17, 2026. EDA notes recipients will continue to receive signage specifications through regional offices and award documents, and the removal does not change substantive rights or add costs or delays.
Deleted occupancy-before-acceptance rule
EDA removed Sec. 305.14, which said occupancy before final acceptance is at the recipient's risk and must follow State and local law, effective March 17, 2026. The Department states that allocation of risk is already established by 2 CFR part 200 and common law, so removing Sec. 305.14 simplifies the rules without changing substantive rights or adding costs or delays.
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