This recommendation leaves out the unique role of the EDA. The EDA is specifically tasked with promoting job creation in distressed areas. Its programs target economically disadvantaged regions and provide assistance to communities suffering from long-term economic stagnation or the loss of a major industry. While other agencies may offer similar grants, the EDA’s focus on regional economic development is distinct.

Eliminating or consolidating programs could reduce the ability to tailor economic development efforts to specific needs. The EDA’s grants are often used for infrastructure improvements, innovation clusters, and workforce development, which require specialized knowledge of regional conditions.

That having been said, the EDA is not above criticism, and has been spending without Congressional authorization since 2008.

Chris Edwards for the Cato Institute writes, “The EDA does not have special skills for boosting economic growth that the states and private sector do not have.” [Source]

Well. Except money, of course. The EDA has resources that states don’t, and the private sector is unwilling to provide in many cases if the project is not profitable.

Full contextual analysis of Section 4.1: Department of Commerce here.