By: Susan Tebben – July 15, 2025
The Appalachian region in Ohio and elsewhere is bracing for a big hit as President Donald Trump proposed a 93% cut to funding for the Appalachian Regional Commission.
The proposal is included in a discretionary budget, a year-to-year funding proposal that is different than the mandatory funding included in the recently passed Trump-Republican megabill.
In the discretionary budget, Trump proposed a cut of 93% for the regional commission, from $200 million to $14 million in the 2026 fiscal year, according to the commission.
Local and state officials and organizations from around the region sent a letter to members of Congress asking that the funding the commission has received in the past be maintained.
“The ARC has been instrumental in driving forward (the region’s) potential,” the letter stated. “Reductions to its programs pose a risk to innovative initiatives in workforce development, community revitalization and American-made resilient energy.”
Residents of the Appalachian region spoke out against the funding cuts, saying the commission is part of the momentum that is bringing growth to the region, from skilled trades and leadership development to technical support and grants for local programs.
“The ARC is a critical organization to those of us in Appalachian Ohio,” said Amesville mayor Gary Goosman in a statement. “Funding for infrastructure, broadband and informational services is key to our success.”
According to the commission, a partnership between the ARC and the Ohio Governor’s Office of Appalachia
EditSign for fiscal year 2024 created $12.5 million in investments for “affordable broadband, clean water and updated wastewater systems, highways and more,” along with $6.8 million in investment toward the Appalachian workforce.
In a report of the most recent data for the region, the commission found positive trends in unemployment rates and labor force participation, but also found that the growth in population in the area is happening at a slower rate than the nation as a whole, and the population is older than the national population, with 1 in 5 Appalachian residents ages 65 or older, according to the report.
The number of Appalachian residents living in poverty or “deep poverty,” according to the commission, stands at more than 14%. The median household income in the region is just under $65,000, which is $14,000 less than the national average.
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“The data shows that Appalachian’s rural areas continue to be at increased risk for economic distress compared to its urban areas,” a release on the report stated, adding that those counties fall behind on “educational attainment and household income.”
Ohio’s 32 Appalachian counties wrap from the southwestern edge of the state, all the way around the eastern border, from Clermont County up to Ashtabula County.
Of those, Scioto, Athens, and Noble County are considered by the commission to be economically “distressed,” with 15 other counties considered “at risk,” including Highland, Adams, Pike, Vinton, Jackson, Lawrence, Gallia, Morgan, Monroe, Guernsey, Coshocton, Jefferson, Mahoning, Trumbull, and Ashtabula.
The commission report found that 90% of Appalachian adults between ages 25 and 64 have a high school diploma, but only 28.8% have a bachelor’s degree.
A separate report by the Appalachia Funders Network said the region faces “stark philanthropic inequities” as well, with a lack of nonprofit presence and “chronic underinvestment” in many areas, and 66 counties in Central Appalachia holding less than $1 per person in philanthropic assets, according to the May report.
“The findings make clear that philanthropy must do more to show up equitably in places like Central Appalachia – but it cannot do this work alone,” the report stated. “Public systems and civic infrastructure are critical to sustained, long-term impact.”
Ryan Eller, executive director of the network, said because of generations of “underinvestment and extraction,” the Appalachian Regional Commission is “one of the only consistent partners helping communities rebuild and thrive.”
“The region that helped power this nation’s growth deserves more than to be sidelined,” Eller said in response to the potential cuts. “Maintaining robust support for ARC is not only sound policy – it’s a smart investment in the resilience and prosperity of America’s heartland.”
Congress has a deadline of Sept. 30 to finalize the discretionary funding, and appropriations committees are currently working on the legislation to lay out the funding for 2026.
