Moving Appalachia Forward: ARC Strategic Plan, 2005–2010
Appendix B: ARC Organizational Structure
The Partnership Model
The Appalachian Regional Commission has 14 members: the governors of the 13 Appalachian states and a federal co-chair, who is appointed by the president and confirmed by the Senate. Each year one governor is elected by his or her peers to serve as the states' co-chair. The partnership nature of ARC is evident in its policy making: the governors and the federal co-chair share responsibility for determining all policies and making spending decisions. The federal co-chair has one vote, and the 13 governors share one vote, on all Commission decisions. Accordingly, all program strategies, allocations, and other policy must be approved by both a majority of the governors and the federal co-chair. This consensus model ensures close collaboration between the federal and state partners in carrying out the mission of the agency. It also gives the Commission a character that distinguishes it from typical federal executive agencies and departments.
An alternate federal co-chair, who is also appointed by the president and confirmed by the Senate, has authority to act as the federal co-chair in his or her absence. Each governor appoints an alternate who oversees state ARC business and serves as the state-level point of contact for those seeking ARC assistance. Grassroots participation in implementing ARC programs is provided through local development districts, multi-county agencies with boards made up of elected officials, businesspeople, and other local leaders. (Local development districts in the Appalachian Region.)
In all, there are only 11 federal employees of the Commission, including the federal co-chair's staff and the staff of the Office of Inspector General.
The Commission members appoint an executive director to serve as the chief executive, administrative, and fiscal officer. The executive director and staff are not federal employees. Fifty percent of the cost for the Commission's staff and other administrative activities is paid by the federal government; 50 percent is paid by the 13 Appalachian states. The 48 Commission staff are charged with serving both the federal and the state members impartially in carrying out ARC programs and activities, and they provide the technical program management, planning and research, legal support, and financial/administrative management necessary to conduct these programs and activities. (ARC Organization Chart.)
Intergovernmental Cooperation
ARC's program authority encompasses a full range of federal domestic activities, including enterprise development, education and training, health care, export promotion, telecommunications, water and sewer infrastructure, and highway construction. Because of its limited appropriation, the Commission has always emphasized collaboration with public and private resources to accomplish its mission. ARC funding and technical assistance help communities leverage private and state funds, as well as other federal funds. ARC's highly flexible funds are often referred to as "glue money," which, although often a small part of projects, helps make them possible.
A special provision of the Appalachian Regional Development Act authorizes ARC to operate in part as a supplemental grant program. This authority allows ARC funds to be used to increase the allowable participation under federal grant programs, enabling grantees to participate in programs for which they would otherwise be ineligible. In addition, it involves appropriate federal entities to ensure not only program coordination but also compliance with all applicable laws, such as environmental and labor requirements. Accordingly, about half of past ARC grants have been administered under agreements with up to a dozen federal agencies, mainly the Economic Development Administration, USDA Rural Development, the U.S. Department of Housing and Urban Development, and the Federal Highway Administration. Other agreements have involved such agencies as the Army Corps of Engineers and the U.S. Departments of Energy, Labor, and Health and Human Services.
ARC has also joined with a range of national and regional foundations in special projects and initiatives over the years.
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