Ensuring the CHIPS Act Delivers on Its Equity Promise
The Whitehouse calls this Press Release a FACT SHEET. Is it true?
FACT SHEET: The Biden-Harris Administration Advances Equity Supported small and disadvantaged businesses through CHIPS Act funding by requiring funding applicants to develop a workforce plan to create equitable pathways for economically disadvantaged individuals in their region, as well as a plan to support procurement from small, minority-owned, veteran-owned, and women-owned businesses.
Every year, billions are poured into technology advancements, yet 65% of children in Newark's South Ward live below the poverty line. The CHIPS Act aims to bridge this gap, but will it succeed?
For decades, America's dominance in semiconductor manufacturing has steadily eroded, leaving the nation vulnerable to supply chain disruptions and raising concerns about national security. The CHIPS and Science Act, a landmark $52 billion federal initiative, marks a decisive turning point. This Act not only seeks to revitalize America's leadership in chip production but takes a groundbreaking approach by coupling this technological resurgence with a commitment to social equity.
A key requirement is that CHIPS funding applicants must develop workforce plans to create equitable pathways for economically disadvantaged individuals, as well as plans to support procurement from small, minority-owned, veteran-owned, and women-owned businesses. The Biden-Harris Administration has touted this provision as evidence of their commitment to equitable economic development.
However, while requiring such plans is a vital first step, it does not guarantee results. The real test will be whether these equity plans are effectively implemented and yield tangible benefits for the targeted businesses and communities. Good intentions must be backed by rigorous tracking and accountability.
Under the CHIPS and Science Act of 2022, the National Institute of Standards and Technology (NIST) has been allocated $39 billion out of the total $52 billion appropriated, entrusting it with critical roles in both managing key programs like the National Advanced Packaging Manufacturing Program and overseeing the comprehensive reporting and accountability of the allocated funds.
Crucially, the CHIPS Act mandates that the Government Accountability Office (GAO) report on the performance of CHIPS-funded programs, including an analysis of workforce data disaggregated by race, ethnicity, sex, and job categories. These GAO reports are essential for assessing whether the CHIPS rollout is living up to its inclusive promise.
But when I searched for these legally required reports, I could not find them. This is why I have taken the step of filing Freedom of Information Act (FOIA) requests with the Small Business Administration,
the National Institute of Standards and Technology,
and the GAO below.
My aim is to access data on compliance with the CHIPS Act's equity and reporting requirements, as well as NIST's adherence to the HUBZone program and the Evidence Act.
These FOIA requests are seeking to ensure accountability. By requesting this information, I am helping to shine a light on whether and how these agencies are following through on the equity and inclusion mandates of the CHIPS legislation.
The stakes could not be higher. In Newark, New Jersey, the heart-wrenching reality of intergenerational poverty is etched into the lives of its most vulnerable residents. In the South Ward, a staggering 65% of children under five live below the poverty line, while 50% of 16-19-year-olds and 33% of 20-24-year-olds are jobless. The effects span generations, with 61% of adults holding only a high school education or less.
We must draw a direct line between the $52 billion invested through the CHIPS Act and the 50,000 people who live in the South Ward of Newark. If this historic investment fails to lift economically distressed communities like this, it will have failed in its most fundamental purpose.
Rigorous tracking and accountability are not optional extras - they are the essential preconditions for ensuring that the CHIPS Act delivers on its transformative promise. By insisting on transparency and using tools like FOIA to hold agencies to their legal obligations under U.S Law, we can work to ensure that this investment doesn't just spur aggregate growth, but growth that is truly inclusive.
By persistently advocating for transparency and accountability, and by using tools like FOIA to access the performance data and reports mandated by the CHIPS Act, engaged citizens like yourself can play a vital role in ensuring that the legislation's equity goals are not just political rhetoric but are translated into real, measurable progress towards a more inclusive innovation economy.
Together, we have a real opportunity to break the cycle of poverty and foster a more equitable and prosperous America.
Thank you for your attention.
Chinedu
Below is my Freedom of Information Application to the U.S. Government Accountability Office (GOA)
U.S. Government Accountability Office
441 G St., NW
Washington, DC 20548
ATTN: FOIA Officer
Subject: Freedom of Information Act Request
Dear FOIA Officer,
Pursuant to the Freedom of Information Act (5 U.S.C. § 552), I am requesting access to the following records:
1. The Government Accountability Office's review of the programs funded by the CHIPS Act of 2022, including the National Advanced Packaging Manufacturing Program managed by the National Institute of Standards and Technology (NIST), as required by Section 105(a)(1) of the CHIPS Act, which states:
"Not later than 3 years after the date of disbursement of the first financial award under section 9902 of the William M. (Mac) Thornberry National Defense Authorization Act for Fiscal Year 2021, as added by section 103 of this division, the Comptroller General of the United States shall evaluate and submit to Congress a report on the following programs established under this division: (1) The program established under section 9902(a) of the William M. (Mac) Thornberry National Defense Authorization Act for Fiscal Year 2021, as added by section 103 of this division."
2. The Government Accountability Office's evaluation report on the success of the specified programs established by the CHIPS Act, including an analysis of aggregated workforce data by race, ethnicity, sex, and job categories, as outlined in Section 105(a)(1)(D) of the CHIPS Act, which states:
"In conducting the evaluation and preparing the report required under paragraph (1), the Comptroller General of the United States shall evaluate and include in the report, with respect to the programs described in paragraph (1) [...] (D) drawing on data made available by the Department of Labor or other sources, to the extent practicable, an analysis of [...] aggregated workforce data, including data by race or ethnicity, sex, and job categories."
If the final reports are not yet available, I request any interim reports, preliminary evaluations, or draft findings that may be available. Additionally, I would appreciate any information you can provide on the expected completion dates for the final reports.
I request a fee waiver because the disclosure of the requested information is in the public interest as it will contribute significantly to public understanding of NIST's compliance with evidence-based policymaking requirements in its implementation of the CHIPS Act's workforce development and equity objectives. The information will provide valuable insights into the effectiveness of these programs and their impact on workforce diversity, which are matters of current public debate and policy-making interest.
If the fee waiver is denied, I am willing to pay fees for this request up to a maximum of $100. If you estimate that the fees will exceed this limit, please inform me first.
Thank you for your attention to this request. I look forward to receiving your response within the 20 working days, as the statute requires. If you have any questions or need additional information, please feel free to contact me at [email protected]
Sincerely,
Chinedu Echeruo