ARC Virginia Grants: Pork and Salaries 2015-16

By Lewis Loflin

The Appalachian Regional Commission (ARC) has long been touted as a lifeline for Southwest Virginia, but its 2015-16 grants reveal a pattern of waste and government secrecy that benefits bureaucrats and developers more than residents. I grew up in Norton, Virginia, in Wise County, where I’ve seen ARC’s promises fall flat. Of the 17 grants awarded to Virginia in 2015, 11 funded administrative salaries, 5 were pork projects, and 1 was unclear. In 2016, of 18 grants, 10 went to salaries, 6 to pork, and 2 to infrastructure of questionable value. This amounts to a jobs program for affluent white-collar professionals, leaving little for the average citizen in struggling areas like the Tri-Cities, which lost 54,795 jobs from 2009 to 2018.

What Are ‘Salaries’ and ‘Pork’?

“Salaries” refers to grants where most funds cover employee salaries and office expenses, often for Local Development Districts (LDDs) or state agencies. “Pork” is government waste—projects with little public benefit, often benefiting insiders or serving as political handouts. Many grants also leverage additional funds from other sources, amplifying the waste through loans or grants to connected entities.

2015 ARC Grants in Virginia

2016 ARC Grants in Virginia

Outcomes: Little Benefit for Southwest Virginia

By 2025, the outcomes of these grants are underwhelming. Administrative grants, totaling over $1 million across 2015-16, funded salaries for LDDs and state agencies, but there’s no evidence they led to economic growth. The Wired Road Connector improved broadband access in Bristol and nearby counties, with 85% of households connected by 2024, but job growth remains stagnant. The Elydale Water Line Replacement provided clean water to 95% of Lee County households, a rare tangible benefit, though it hasn’t spurred broader economic gains. Projects like the Big Stone Gap Downtown Redevelopment and Southwest Virginia Cultural Tourism Expansion failed to deliver significant jobs or revenue, with Big Stone Gap’s poverty rate at 18.9% in 2023. Wise County, where I grew up, received $52 million in ARC funds by 1999, yet its poverty rate is 19.5% in 2023, and unemployment is 4.8% in 2025—above Virginia’s 3.2%.

Government Secrecy and Lack of Accountability

ARC’s lack of transparency mirrors the broader government secrecy in Southwest Virginia’s economic development, as I’ve written about before. ARC claims to have reduced distressed counties from 295 in 1960 to 91 in 2015, but their designations are inconsistent—only Lee County was listed as distressed in 2016, despite Wise, Scott, and others being in dire straits. A 1999 Columbus Dispatch study found ARC funds often go to wealthier areas outside true Appalachia, a trend that continues. Recent ARC investments, like $11 million for coal site redevelopment in 2025, lack public details on projects or outcomes, perpetuating a cycle of waste. There’s no accountability or measurable standards to show how much funding benefits communities versus agency operations.

Why ARC Fails Southwest Virginia

ARC grants in 2015-16, and beyond, prioritize administrative overhead and pork over real economic development. Southwest Virginia remains worse off, with persistent poverty and significant job losses—54,795 jobs lost in the Tri-Cities region (Bristol, Kingsport, and Johnson City) from 2009 to 2018, according to labor market data. Despite ARC’s claims of creating or retaining 101,000 jobs region-wide from 2010 to 2015, the Tri-Cities saw no such benefits, and the region’s economic decline continued. Until ARC and the government prioritize transparency and measurable outcomes, these funds will continue to benefit bureaucrats and insiders, not the average citizen in places like Wise County.