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  • AI Will Not Save the Defense Industrial Base. Here is What Will

    Artificial intelligence (AI) is being adopted faster than any technology in modern history.  Within two years of widespread availability, 39.4 percent of American adults were using generative AI tools, a pace that outstripped both the personal computer and the Internet at comparable stages (Deming, 2024).  Yet the defense industrial base (DIB), the network of manufacturers that produces everything from fighter jet components to submarine hull plates, has no structured workforce training program to match this adoption curve.  The technology is arriving.  The people who need to use it are not ready.

    That disconnect is the central finding of a 32-source analysis conducted by the Center for Regional Economic Competitiveness (CREC) under a cooperative agreement with the Department of Defense (DoD) Manufacturing Technology (ManTech) Program Office.  The research draws on peer-reviewed studies, policy documents, industry analyses, and workforce data to answer a straightforward question: what does AI actually mean for the defense industrial base over the next five years?  The answer is more nuanced, and more urgent, than most of the conversation around AI in defense would suggest.

    The Workforce Problem Is the AI Problem

    The bottleneck in defense manufacturing is not access to AI.  It is the availability of workers who can use it.  Manufacturing labor productivity has been nearly flat since the mid-2000s despite decades of automation investment.  The missing ingredient is not more technology but more skilled humans: process engineers, electricians, robotics specialists, maintenance technicians, and quality inspectors.  Deloitte projects 3.8 million net new manufacturing jobs by 2033.  The question is not whether humans are needed but whether enough of them will be available with the right skills.

    AI tools produce a median 25 percent productivity improvement when used effectively (Sadun, 2025), but that word effectively carries enormous weight.  Without structured training and integration support, adoption produces uneven results and worker frustration rather than sustained gains.  The Computer Numerical Control (CNC) revolution of the 1970s and 1980s provides the relevant precedent.  Plants that adopted CNC were 75 percent more likely to use problem-solving teams, twice as likely to offer technical training, and held regular shop floor meetings at substantially higher rates than non-adopters (Deming, 2024).  Automation changed the nature of skilled work but did not eliminate the need for it.  AI will be no different.

    AI Is Hollowing Out the Talent Pipeline

    One of the most consequential findings in the research is a dynamic that almost no one in defense manufacturing is discussing: AI is absorbing the routine tasks that junior workers need to develop into senior experts.  Anthropic’s own internal study found that while engineer productivity gains grew from approximately 20 percent to 50 percent year over year, senior engineers reported growing concern about skill atrophy among junior staff.  Junior engineers stopped asking questions of mentors because AI answered faster (Orrell, 2025).

    In defense manufacturing, this pattern is particularly dangerous.  Senior machinists, welders, quality inspectors, and maintenance technicians acquire their expertise through years of hands-on practice that begins with routine work.  If AI absorbs those tasks before workers have the chance to learn from them, organizations gain short-term productivity at the cost of a long-term senior talent shortage.  The pipeline narrows even as current output rises.

    The Technology Is Not Ready for What Defense Demands

    Enthusiasm for AI in manufacturing often outpaces what the technology can reliably deliver.  AI-powered Automated Optical Inspection (AOI) systems currently achieve 60 to 70 percent accuracy, a rate that is insufficient for defense applications where tolerances are measured in thousandths of an inch.  On the agentic AI front, the best-performing architecture for manufacturing decision support, a Retrieval-Augmented Generation (RAG) system, achieved 77.89 percent accuracy compared to 52.37 percent for a baseline Large Language Model (LLM).  Better, but not defense-grade.

    The implication is straightforward: human-in-the-loop oversight will remain essential in defense manufacturing for the foreseeable future.  Planning for AI in this sector means planning for augmentation, not autonomy.  Workforce development strategies that assume AI will replace human judgment are building on a foundation that does not yet exist.

    Implementation Matters More Than the Technology

    The same AI technology can produce opposite outcomes depending on how it is deployed.  Where AI is implemented primarily for surveillance and performance monitoring, workers report reduced autonomy, lower morale, and increased turnover.  Where workers are involved early in design and deployment, 96 percent reported increased job satisfaction when freed from monotonous tasks to focus on higher-level work.  Collaborative robots (cobots) can increase worker productivity by up to 85 percent when paired with proper training (International Federation of Robotics).  For defense manufacturers, the management decision matters more than the technology decision.  Procurement of AI systems without parallel investment in organizational change is a misallocation.

    The System Is Not Built for This Speed

    AI capabilities evolve on timelines measured in months.  Defense acquisition spans years.  Secretary of Defense Pete Hegseth has publicly stated that the current acquisition system is archaic and must shift from decade-long development cycles to rapid iteration.  Small and mid-size defense suppliers cannot wait for multi-year contract modifications to adopt AI tools that may be obsolete by the time approval comes through.

    Meanwhile, the data needed to make smarter workforce investments now exists.  CREC and RTI International, under the ManTech cooperative agreement, produced the first national dataset measuring the Critical Technology Area (CTA) workforce in aerospace and defense manufacturing, delivered in December 2025.  This dataset maps supply and demand for skills in AI, autonomous systems, additive manufacturing, and other priority technology areas across the top 30 aerospace manufacturers.  The data confirms significant gaps between CTA skill supply and employer demand.  Yet no federal workforce investment program currently uses it.  The approximately $6 billion the federal government spends annually on workforce development through the Workforce Innovation and Opportunity Act (WIOA), the Perkins Act, and grants from the Economic Development Administration (EDA) and the National Institute of Standards and Technology (NIST) is allocated without reference to defense-specific workforce intelligence.

    The Untapped Pipeline

    Approximately 200,000 service members transition out of the military each year with technical training, leadership experience, security clearances, and familiarity with defense systems and culture.  They represent the single most qualified talent pipeline available for defense manufacturing.  Yet persistent mismatches between military occupational specialties and civilian job classifications, inadequate credentialing bridges, and employer unfamiliarity with military skill sets prevent this pipeline from flowing at scale.  Community colleges, which should function as the primary bridge between military training and civilian manufacturing careers, vary widely in their alignment with local defense labor markets.  The best performers, such as Dallas College, Wake Tech, and Miami Dade, maintain active employer relationships and anticipate skill demand.  Most do not (Fuller, HBS).

    AI is a necessary but insufficient condition for a competitive defense industrial base.  The binding constraints are workforce readiness, organizational capacity to integrate new tools, acquisition pathways that match the pace of technology change, and analytical infrastructure that connects federal investment to measurable outcomes.  Technology alone will not resolve any of them.

    Deliberate action looks like this: structured AI training for the existing manufacturing workforce.  Redesigned development pathways that ensure junior workers still build expertise even as AI absorbs routine tasks.  Acquisition reform that matches technology timelines.  And federal investment guided by actual workforce data rather than assumptions about where the gaps are.  The data exists.  The talent pipeline exists.  The question is whether the institutions responsible for the defense industrial base will use them before the window closes.

    Sources

    Deming, D. (2024). “The Rapid Adoption of Generative AI.”  NBER Working Paper.

    Deming, D. (2024). “How Computers Turned Machinists Into Problem-Solvers.”

    Fuller, J. (HBS). “Why the Skills Gap Persists.”  Harvard Business School.

    Linder, B. (2026). “AI Won’t Save Manufacturing.”  Forbes.

    Orrell, B. (2025). “What Anthropic’s Internal Study Suggests About the Future of Work.”  American Enterprise Institute.

    RTI International / CREC / ManTech (2025). “Measuring the Size and Dynamics of the CTA Workforce.”

    Sadun, R. (2025). “Reskilling the Workforce With AI.”  Harvard Business School.

    “Agentic AI for Smart Manufacturing” (2025).  SSRN.

    “AI and Job Quality: Insights from Frontline Workers” (2024).  Partnership on AI / SSRN.

  • A Critical Window for Workforce Intermediaries in Defense Manufacturing

    Manufacturing training image

    Global events are reshaping the environment in which manufacturers operate, accelerating defense production and increasing pressure across supply chains. Workforce systems must be ready to respond.

    • Work with manufacturers now to map surge occupations and talent gaps.
    • Align training programs with emerging technologies and defense production needs.
    • Strengthen partnerships across colleges, workforce boards, and industry associations.
    • Improve access to workforce data so manufacturers can better understand where talent is available.

    Let’s compare notes and talk about practical next steps. Connect with us.

  • Summer Internship Opportunity

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    Are you passionate about strengthening regions and communities across the United States?  Join the Center for Regional Economic Competitiveness (CREC) as an intern and put your skills to work where it matters.  

    CREC is a non-profit organization founded in 2000 and dedicated to equipping policymakers with data-driven insights to drive regional economic growth. Our mission is to empower communities—rural and metropolitan alike—to develop practical job-creating and growth strategies. CREC’s work spans research, technical assistance, policy advising, network management, and training in economic development, workforce development, and higher education. 

    Internship Overview 

    CREC is offering a paid internship for Summer 2026 (May– August), in its Arlington, Virginia offices. Candidates must be located, or plan to be located, in the Washington, DC metro area. This role is ideal for Master’s students or recent Bachelors degree graduates interested in economic development, public policy, research, or data science. As an intern, you’ll contribute to research and consulting projects, gaining hands-on experience and practical industry knowledge. 

    • Commitment: 40 hours per week, with flexible scheduling to support academic responsibilities 
    • Location: CREC’s Arlington, VA office in Rosslyn 
    • Pay Rate: $22-25 per hour, based on experience 
    • Duration: May through August 2026 
    • Application Deadline: April 15th, 2026 (Applications considered on a rolling basis starting April 1st

    If you’re eager to apply your analytical skills to real-world challenges and contribute to meaningful economic and workforce development work, we encourage you to apply. 

    Job Responsibilities May Include

    • Maintain Key Data Products: Assist with the upkeep of C2ER’s signature databases, including the Cost of Living Index, the State Business Incentives Database, and the State and Local Economic Development Strategies Database (SLEDS). This includes conducting online research, data entry, validation, and analysis. 
    • Research & Analysis: Conduct research for CREC consulting projects, which may include literature reviews, data analysis, and creating visual reports (charts, graphs, and maps) for diverse clients across government, nonprofit, and philanthropic sectors. 
    • Content Development: Develop web and media content for economic and workforce development practitioners, helping to communicate essential information and resources. 
    • Professional Network Support: Assist in supporting associations of economic development professionals and public data users through targeted research and resources. 

    This internship offers hands-on experience with exposure to national-level research and analysis. It’s an excellent opportunity for those passionate about data-driven solutions and advancing economic and workforce development for communities across the country. 

    Required Qualifications: 

    • Bachelor’s degree in Public Policy, Economics, Public Administration, Urban and Regional Planning, or a related field; Master’s degree preferred. 
    • Strong analytical and research skills, with the ability to gather and interpret economic data. 
    • Excellent written and verbal communication skills for drafting reports and presenting findings. 
    • Ability to manage multiple projects simultaneously in a fast-paced environment. 
    • Proficiency with Microsoft Excel, Outlook, PowerPoint and Word. 
    • Must be based in, or planning to relocate to, the Washington, DC metro area. 

    Bonus Skills (Preferred but Not Required): 

    • Experience with video editing, including cutting, trimming, and adding transitions to produce polished, engaging content. 
    • Graphic design abilities for creating visually compelling reports and presentations. 
    • Familiarity with data analysis software such as R, Stata, or Tableau. 

    Application Instructions: Please submit a resume, cover letter, and a 1–5-page writing sample to tbaines@crec.net 

  • What 2026 Appropriations May Signal for Economic Development

    What 2026 Appropriations May Signal for Economic Development

    On January 8, Congress released its proposed FY 2026 mini-bus appropriations for Commerce, Justice, Science budget. This budget reflects a recalibration for economic development, and it offers useful clues about how federal economic development policy is likely to shape state and regional practice in 2026 and beyond.

    On the bright side in this environment, the budget provides a relatively flat $466 million funding level for EDA, only slightly less than FY 2024 and FY 2025. That alone is telling. Congress appears comfortable with the current scale of EDA. The real signal lies in the reallocation of dollars within that total.

    Legacy line items like Technical Assistance and Trade Adjustment Assistance are receiving haircuts and the funds are being shifted to Economic Adjustment Assistance and Assistance to Coal Communities. While not dramatic, the cuts reinforce a longer-running shift away from generalized support functions toward more targeted, place-based execution. Furthermore, Recompete now appears as an $18 million line item. Congress clearly want to protect this effort to address the challenges in distressed areas that keep working age adults out of the workforce. Where it can, Congress is clearly prioritizing adjustment tied to real economic shocks and structural transition.

    In addition, workforce development is clearly a rising EDA priority. Workforce Training Grants appear as a standalone $10 million line item for the first time. At first blush, one might see this as a rebranding of the soon-to-be defunct Good Jobs Challenge program. Likewise, the STEM Apprenticeship program continues at $2.5 million. Not enough funding for either program to create an impactful national workforce strategy, but these funding allocations send a signal that workforce development is a national economic development priority. Workforce has been embedded across EDA programs for years, but this year EDA is continuing to elevate industry-driven training as a priority. At some point, we may begin to see significant dissonance with this focus on human capital when the agency has traditionally emphasized Public Works and Planning activities focused on physical and community infrastructure investments.

    There are also quieter signals worth noting. Biomass funding disappears as a distinct line item, indicating less appetite for narrowly scoped sector carve-outs within EDA. Salaries and Expenses decline by $2 million, reinforcing the commitment to streamline Federal agency staffing.

    Taken together, these shifts reinforce a federal government not looking to expand the economic development toolkit. The investments place more emphasis on adjustment, workforce execution, and place-based competitiveness. We’ll also see more pressure to show results.

    For economic development leaders, the takeaway is to better integrate workforce training, adjustment strategies, and industry engagement into a coherent execution model. Organizations that rely on planning grants or loosely connected initiatives will find the environment less forgiving. In that sense, the FY 2026 EDA budget is best read as a preview. It reflects how Congress expects economic development to function. Stable funding, but with fewer labels, more distinct priorities, and a higher bar for execution.

  • Preparing America’s Future Defense Manufacturing Workforce

    Preparing America’s Future Defense Manufacturing Workforce

    The start of a new year brings both momentum and responsibility to CREC and our partners to ensure that the nation’s defense industrial base is ready to respond to technological innovation. We must move beyond short-term responses to workforce shortages across all advanced manufacturing sectors and toward a more deliberate effort to build the technical capacity this sector will require over the next decade. The challenge is no longer simply filling positions; it is preparing workers to succeed in environments shaped by rapid technology cycles, digital engineering, advanced materials, automation, and increasingly compressed production timelines. Defense manufacturers are integrating AI-enabled systems, model-based design, additive manufacturing, and resilient supply-chain technologies; as such, the workforce must adapt as skill needs change

    Employers, state leaders, and federal partners are seeking to modernize training models and create more accessible and affordable credentials to meet industry need. The approach to pedagogy is also changing to accommodate more immersive and simulation-based learning, replacing traditional classroom settings and supplementing work-based learning. Emerging pathways offer opportunities for reskilling and upskilling to better align with data-driven production, cybersecurity, robotics, and other critical technology areas.

    From our perspective at CREC, we are especially pleased to see that more leaders are recognizing the importance of workforce development as a strategic enabler of defense readiness. The Department of Defense, through ManTech and its partner Manufacturing Innovation Institutes, are taking a more active role in translating the skills required to apply cutting-edge research in manufacturers by ensuring those firms have access to relevant training solutions, aligning those solutions to the delivery capabilities of education providers, and supporting efforts that help to build regional talent pipelines prepared to fulfill the advanced skill needs for both near-term production and long-term technological advantage.

    We expect the pace of change in 2026 to accelerate. Technology-enabled manufacturing, cross-sector partnerships, and regionally grounded strategies are becoming the norm, so existing organizations will need to partner to adapt. At CREC, we remain committed to supporting the work of bringing key partners together and linking them with unique resources like the MIIs, but we are clear-eyed about what it will take to succeed. Lasting impact will depend on coordination across federal programs, sustained industry engagement, and continued investment in the institutions and intermediaries that connect people to advanced manufacturing careers. By strengthening these partnerships and fully leveraging ManTech’s EWD investments, we can ensure that America’s defense manufacturing workforce is ready for what comes next and be well positioned to lead it.

  • “Mission-Ready Workforce” — the power of veterans behind U.S. defense manufacturing

    “Mission-Ready Workforce” — the power of veterans behind U.S. defense manufacturing

    Veterans are not only essential to national defense in uniform but remain mission ready as part of the civilian manufacturing workforce. Their leadership, discipline, and technical precision are cornerstones of the defense supply chain. 

    Across the country, millions of veterans are contributing to the civilian economy. Current labor force data show steady employment participation among both men and women veterans, with women veterans continuing to close long-standing participation gaps. The percentage of women veterans in the core working age group reached a high at the start of 2022 and again in 2024, reaching 80%, almost matching the participation rate of men. Labor force participation among veterans closely mirrors the national rate for all workers in the same age group, which has remained between 80% and 84% over the past 15 years.1 

    Changes in Labor Force Participation for Core Working-Age Veterans Over Time 

    Source: U.S. Bureau of Labor Statistics Current Population Survey. 

    While women’s participation rates have declined over the past year, women veterans continue to represent an increasing proportion of the veteran workforce overall. The growing involvement of women veterans indicates a broadening talent pool, reflecting wider participation across the workforce. 

    Women’s Share of the Veteran Workforce Over Time 

    Source: U.S. Bureau of Labor Statistics Current Population Survey. 

    This trend is echoed in unemployment data: in 2025, the veteran unemployment rate stood at just 2.9%, well below the 4.3% rate for nonveterans, which is clear evidence of an active and resilient veteran labor pool.2  

    Generally, the location of employed veterans reflects regional defense activity, with Virginia, Texas, California, and Florida consistently leading in veteran employment. Major metropolitan areas in these states lead in essential defense manufacturing industries. Los Angeles and Dallas serve as key hubs for aircraft manufacturing, Norfolk is central to shipbuilding and repair, and Houston is a major center for petroleum refining. Despite significant regional strengths in defense manufacturing,  close to two million manufacturing jobs could remain unfilled by 2033 if talent gaps are not resolved.3 This underscores the importance of veterans as a ready, technically trained, and mission-oriented workforce that can help close critical gaps. 

    Veteran Unemployment Rate by State 

    Source: U.S. Census Bureau American Community Survey, 1-Year Estimates, 2024. 

    Regional strengths are reinforced by national partnerships designed to align veteran skills with cutting-edge manufacturing technologies. Manufacturing Innovation Institutes—such as BioMADE in biomanufacturing, NextFlex in flexible electronics, and the ARM Institute in robotics—routinely partner with veteran training centers to build advanced-skills pipelines that connect transitioning service members to critical industry roles. 

    The training that defines military service, like mechanical maintenance, electronics, cybersecurity, and logistics translates naturally to defense-relevant manufacturing. Veterans’ experience with supply-chain integrity, secure systems, and quality control gives them a unique advantage in facilities operating under export controls or classified production requirements. Their understanding of mission success translates directly into reliability on the factory floor. 

    National initiatives are closing the gap between service and industry. The DoD SkillBridge program enables service members to work in civilian companies during their final 180 days of service, often with advanced manufacturers.  

    Rockwell Automation, a provider of industrial automation and digital transformation technologies, is a participant in the SkillBridge program. The 12-week program trains veterans for high-tech careers in advanced manufacturing, then places them in roles at manufacturing sites. As of 2023, 373 veterans graduated from the program, and of those, 90% go-on to work for Rockwell’s manufacturing customers.4 

    Additionally, partnerships via Hiring Our Heroes and the America’s Manufacturing Competitiveness Coalition link veterans to technical apprenticeships and certifications. Combined with apprenticeship tax credits and Department of Labor hiring incentives, these efforts make veteran hiring both a strategic and an economic advantage for defense contractors. 

    States are also stepping up to expand veteran opportunity, with 33 states offering incentives that support veteran-owned businesses, encourage veteran hiring, or develop veteran skills. Programs like South Carolina’s Veteran Apprenticeship Credit, New York’s Hire-A-Veteran Credit, and Minnesota’s Reservist and Veteran Business Loan Program demonstrate how states are strengthening the role of veterans in their regional economies, linking service experience to entrepreneurship and workforce participation. 

    Veterans represent a uniquely skilled and values-driven segment of the U.S. workforce. Their technical experience, leadership, and familiarity with secure, mission-critical operations make them indispensable to sustaining the nation’s defense industrial base. As manufacturers face mounting workforce shortages, continued investment in veteran hiring, training, and entrepreneurship is not just a matter of gratitude—it is a matter of national competitiveness. The next generation of innovation in critical defense industries will depend on people who understand what readiness means. Veterans embody that readiness, ensuring that the country’s manufacturing strength remains mission-ready as well. 


    Sources:

    1 https://fred.stlouisfed.org/series/LNS11300060

    2 https://www.dol.gov/agencies/vets/latest-numbers#:~:text=Annual%20Employment%20Situation%20of%20Veterans,the%20full%20report%20for%202024. 

    3 https://themanufacturinginstitute.org/wp-content/uploads/2024/04/Digital_Skills_Report_April_2024.pdf?

    4 https://www.forbes.com/sites/jimvinoski/2023/10/05/rockwell-automation-manpowergroup-offer-us-vets-advanced-manufacturing-training/ 

  • Building Globally Ready Communities: Tools to Attract Investment and Exports

    International Engagement Ready Communities Initiative

    From 2017–2018, CREC collaborated with SRI International’s Center for Innovation Strategy and Policy (CISP) and Stone & Associates to equip regions with tools to attract foreign direct investment (FDI) and foster export promotion.

    Building a Best Practices Toolkit

    The International Engagement Ready Communities (IERC) Initiative began with qualitative and quantitative analyses of successful international strategies. Insights from experts, practitioners, and regional partners shaped a Best Practices Toolkit—complete with “how to” guides, case studies, checklists, and briefings to help regions implement effective strategies.

    Equipping Regions Nationwide

    As part of this initiative, CREC developed and evaluated an Assessment Tool and Toolkit, which was widely deployed across the United States. By providing actionable strategies, the IERC Initiative gave regions practical methods to leverage their unique strengths, attract investment, and expand into international markets.

  • Strengthening Pennsylvania’s Local Development Districts

    Pennsylvania Local Development District System Strategy

    In 2019, CREC and EntreWorks Consulting partnered to help Pennsylvania’s seven Local Development Districts (LDDs) strengthen coordination and effectiveness. Each LDD provides technical and programmatic assistance in business finance, export and international marketing, government procurement, and transportation planning—while also responding to unique regional needs.

    Evaluating Strengths and Limitations

    Through the system strategy, the CREC/EntreWorks team worked closely with Pennsylvania’s LDDs to evaluate their strengths and limitations. This assessment ensured resources were used in the best manner possible to support community growth and regional economies.

    Promoting Regional Coordination

    The project’s purpose was clear: better promote effective regional coordination, public sector performance, accountability, and efficient service delivery. By helping the LDDs align their approaches, CREC contributed to more impactful and sustainable development across Pennsylvania.

  • Building Resilience in the Kankakee-Iroquois Region

    In May 2021, the Kankakee-Iroquois Regional Planning Commission (K-IRPC) launched an effort to strengthen its ability to withstand and recover from economic disruptions. Working with Kimley-Horn and Associates, Inc., the Center for Regional Economic Competitiveness (CREC) contributed expertise to create a regional Economic Resilience Strategythat ran through February 2022.

    Project Purpose

    The project’s goal was clear: enhance the region’s ability to respond to and recover from economic disruptions, especially those highlighted by the COVID-19 pandemic. To achieve this, the strategy assessed local assets and vulnerabilities, examined community priorities, and laid out a roadmap for strengthening recovery and long-term resilience.

    CREC’s Role

    CREC provided critical support throughout the process, including:

    • Designing and administering stakeholder surveys and focus groups
    • Facilitating strategy sessions with regional partners
    • Conducting research into existing regional assets, strategies, support programs, and outreach efforts
    • Identifying threats to recovery, gaps in support, and opportunities for collaboration

    Methodology

    The work combined qualitative engagement and quantitative analysis. CREC facilitated interviews and focus groups to surface regional concerns such as infrastructure gaps, broadband access, and public service needs. At the same time, data on employment, commuting, and income levels was analyzed to pinpoint strengths and vulnerabilities. Prior planning documents were also reviewed to ensure alignment with community goalsNew Quals Descriptions.

    Outcomes

    The result was a COVID-19 Recovery Plan that provides a step-by-step guide for building resilience, supported by objective performance measures. Key recommendations included:

    • Improving broadband and transportation infrastructure
    • Supporting agribusiness diversification
    • Expanding collaboration among jurisdictions
    • Developing protocols for economic shock recovery
    • Advancing quality-of-life initiatives
    • Supporting entrepreneurship
    • Leveraging state and federal partnerships

    By adopting this strategy, K-IRPC positioned itself as a central convener and coordinator of regional development and resilience efforts

  • Strengthening State-Regional Alignment Through a National Learning Cohort

    Economic resilience requires more than good ideas—it requires alignment. State economic development agencies and regional Economic Development Districts (EDDs) often work in parallel, but not always in sync. CREC’s designed a nine-month national learning cohort (known internally as the Policy Academy), which is funded by the U.S. Economic Development Administration (EDA) and designed to close that gap.

    Launched in April 2023, the nine-month Academy brought together teams from Colorado, Idaho, Kansas, Louisiana, Michigan, and Wisconsin. Each state formed a Core Team (state and EDD leaders) supported by a broader Home Teamof stakeholders from universities, nonprofits, and local organizations. Together, they built frameworks for collaboration, created new tools, and tested strategies to align planning cycles, policies, and initiatives.

    From Kickoff to Cultural Change

    At the Academy’s kickoff, states crafted shared visions for alignment—ranging from rural prosperity and statewide CEDS integration to climate resilience and rural development. With CREC facilitation, they analyzed assets, set goals, and mapped critical partners. The message was clear: alignment isn’t a one-time project, but a cultural shift requiring openness, trust, and intentional relationship-building.

    Midway Momentum

    By summer 2023, teams had gained traction through in-person site visits and regular coaching. Subcommittees formed to tackle communications strategies, asset mapping, shared planning calendars, and MOUs to institutionalize collaboration. Teams reported that engaging Home Teams was vital—broadening buy-in and ensuring sustainability beyond leadership changes.

    Key Takeaways

    1. Be intentional about relationships. Sustained alignment requires coalitions of partners who understand and support the mission.
    2. Cultural change sustains progress. Teams must break silos, expand networks, and embrace new ways of collaborating.
    3. Simple doesn’t mean easy. Structural change takes time, resources, and persistence.
    4. Secure staff-level buy-in. Leadership sets the tone, but staff commitment drives the work forward.

    Results and Reflections

    By the Academy’s conclusion in early 2024, teams reported tangible successes:

    • Colorado announced a statewide framework aligning regional and state CEDS planning.
    • Idaho formalized inclusive planning processes and created an asset map.
    • Kansas advanced the Kansas Association of Regional Development Organizations (KARDO) as a hub for collaboration.
    • Louisiana used the Academy to unite historically siloed PDCs, REDOs, and LED around shared resiliency and quality-of-life initiatives.
    • Michigan piloted a Superior Economic Development Strategy in the Upper Peninsula as a model for statewide planning.
    • Wisconsin advanced rural development alignment, building stronger ties between EDDs, REDOs, tribes, and universities.

    Lasting Value

    The initiative showed that while great work can be done individually, transformational progress requires collaboration. For participating states, the Academy provided not just tools and strategies, but a new culture of alignment—laying the foundation for more resilient economies nationwide.