IEDC Curriculum Instruction:

Partnership Building for Inclusive Economic

Development
Module 1: An Introduction to Developing EDO
and CBO Collaborations

Prepared By:
International Economic Development Council (IEDC)

With Additional Support from:

New Growth Innovation Network (NGIN)
U.S. Economic Development Administration (EDA)

This course equips community development practitioners with essential knowledge

and tools to effectively collaborate with economic development organizations,
covering topics such as economic ecosystems, asset identification, evaluation
strategies, and inclusive partnership practices, empowering participants to drive
equitable economic growth within their communities.
Table of Contents

Module 1: An Introduction to Developing EDO and CBO Collaborations ................................. 1

Table of Contents ................................................................................................................... 2
About Equity Impact Investments........................................................................................... 3
About IEDC ...........................................................................................................................................................3

Module 1: An Introduction to Developing EDO and CBO Collaborations ................................. 4

Module Overview ........................................................................................................................4
Learning Objectives .....................................................................................................................4
Course Principles .........................................................................................................................4
Inclusion and Equity .............................................................................................................................................5
Priori�zing Partnerships .......................................................................................................................................5
Commitment to Place ..........................................................................................................................................5
Developing a Common Language .........................................................................................................................5
Glossary of Major Terms ..............................................................................................................5
Why This Course Is Important .....................................................................................................6
Unprecedented Changes ......................................................................................................................................6
Equitable and Inclusive Economic Development .................................................................................................7
Reimagining the Prac�ce of Economic Development ..........................................................................................7
What You Will Learn ....................................................................................................................8
Module 2: Working with a Community-Based Organiza�on ................................................................................8
Module 3: Mobilizing EDO and CBO Partnerships................................................................................................8
Module 4: Equitable Economic Development Ecosystem Mapping .....................................................................8
Module 5: Evalua�ng the Impact of EDO and CBO Partnerships .........................................................................9
Understanding CBOs ...................................................................................................................9
General Comparison and Contrast of EDOs and CBOs .........................................................................................9
CBO Types ..........................................................................................................................................................10
CBO methods .....................................................................................................................................................11
CBOs Funding Sources ........................................................................................................................................13
Similarities and Differences between EDOs and CBOs ............................................................14
Module Exercise.........................................................................................................................16

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About Equity Impact Investments

Led by New Growth Innovation Network, Equity Impact Investments is a transformative, three-year
capacity-building program specifically designed to empower 120 organizations across the United
States, spearheading innovative projects that foster inclusive economic development.

Through tailor-made training and localized partnership support, Equity Impact Investments aims to
equip organizations with cross-sector knowledge and unlock specialized resources, guidance, and
valuable connections for their communities.

Funded by the CARES Act, this initiative underscores the U.S. Economic Development
Administration's commitment to promoting equitable opportunities, ensuring fair treatment, and
empowering all individuals in underserved communities.

About IEDC

The International Economic Development Council is a non-profit membership organization serving

economic developers. With more than 4,500 members, IEDC is the largest national and global
organization of its kind.

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Module 1: An Introduction to
Developing EDO and CBO
Collaborations

Module Overview

This module provides an overview of the course, its learning objectives, and the
principles it upholds, such as inclusion, equity, and prioritizing partnerships. It emphasizes
the importance of developing a common language and includes a glossary of major terms.
The module highlights the significance of the course in the context of unprecedented
changes, equitable and inclusive economic development, and reimagining the practice of
economic development. It outlines what participants will learn throughout the course
and provides an overview of the subsequent modules. Additionally, it presents a brief
history of the CBO and EDO fields, noting key developments from the past to the
present, and concludes with module participant questions.

Learning Objectives

• Understand the importance of developing collaborations and partnerships

between Economic Development Organizations (EDOs) and Community-Based
Organizations (CBOs) in achieving equitable and inclusive economic development.
• Gain a comprehensive understanding of the roles and significance of CBOs.
• Explore various types, methods, and funding sources of CBOs, allowing for a
deeper understanding of their operational frameworks and the challenges they
face.
• Gain insights into the similarities and differences between EDOs and CBOs, and
how their collaboration can leverage their respective strengths.

Course Principles

This curriculum, created in collaboration between LISC, IEDC, and NGIN, has been
developed based on the following principles.

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Inclusion and Equity

Efforts must be made to ensure that individuals and organizations historically left out of
decision-making processes, particularly those from underserved communities, can
participate in and guide economic development decisions that will impact their homes,
businesses, and communities.

Prioritizing Partnerships

No organization, no matter its credibility or the level of its influence, can accomplish
equitable and inclusive economic outcomes or maximize the economic potential of a
local economy alone. Building intentional partnerships between Economic Development
Organizations (EDOs) and Community-Based Organizations (CBOs) is beneficial for both
parties and crucial to achieving and advancing equitable and inclusive economic
development.

Commitment to Place

Economic development decisions do not happen in a vacuum; they impact and influence
people, families, businesses, organizations, and the social fabric of a neighborhood. In
addition, places offer unique assets and opportunities that have been historically
underdeveloped. Equitable and inclusive economic development decisions must be made
in ways that consider underlying conditions and the ramifications on these diverse
stakeholders.

Developing a Common Language

This course presents terms and definitions to help participants understand specific ideas
and concepts. However, local economic developers and practitioners must develop a
shared set of terms and definitions that all economic development stakeholders
understand to ensure effective communication. These shared terms and definitions
should be developed through the collaboration and partnership process.

Glossary of Major Terms

• Community Development: The process of promoting social, economic, and

environmental well-being within a specific community.
• Economic Development: the process of influencing the growth of a community’s
economy to enhance its well-being, traditionally through job creation, retention,
and supporting businesses to locate and expand in their areas.
• Community-Based Organization: A grassroots organization that operates at the
local level and is dedicated to addressing the needs and aspirations of a specific

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 community. These organizations primarily engage in work from the lens of
building or strengthening the quality of life of their given constituency, locale, or
membership by performing public engagement, providing social services, and
delivering capacity-building opportunities. Examples include community
development corporations (CDCs), tenant associations, and non-profit service
organizations.
• Economic Development Organization: An entity that works to enhance the
economic prosperity of the communities it serves. This is achieved through job
creation and retention, increasing incomes for both businesses and workers, tax
base enhancements, and incentives. Examples include city, county, state, and
regional economic development agencies, planning boards, chambers of
commerce, and economic development districts (EDDs).
• Equitable Economic Development: Equitable economic development refers to an
approach that ensures economic growth and opportunities are distributed fairly
and inclusively among all members of a community. It aims to reduce disparities,
promote social mobility, and create conditions where everyone can benefit from
economic advancements.

Why This Course Is Important

This course prioritizes equitable economic development. As previously defined, equitable

economic development is an approach that ensures economic growth and opportunities
are distributed fairly and inclusively among all community members. It aims to reduce
disparities, promote social mobility, and create conditions where everyone can benefit
from economic advancements. More systemic approaches that value and center the
needs, barriers, and desires of disinvested populations and places must be adopted to
achieve this objective. This requires EDOs to develop new partnerships, engage new and
diverse stakeholders, and integrate community-based strategies into the economic
development field. Partnering with CBOs can be the foundation for developing new
economic development models that address the following challenges and opportunities.

Unprecedented Changes

Rapid technological changes, demographic shifts, population mobility, and changes in

social sentiment require local economic developers to adopt new partnerships and
strategies to be effective. While many of these changes have been underway for many
years, the COVID-19 pandemic accelerated and exacerbated social and economic
challenges for many communities. These challenges have highlighted that traditional
economic development methods, like recruiting and retaining firms through incentive
packages and supportive infrastructure, are only a portion of the holistic development
efforts needed to ensure economic growth for all members of a community. Furthermore,
it has become clear that when traditional methods leave out certain communities or have
even been implemented at the expense of community members’ well-being, they

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contribute to the reproduction of structural inequities. Reimagining how the profession
understands, supports, and implements economic development strategies will be
essential to rectifying these issues and practicing inclusive growth moving forward.
Both companies and communities are asking economic developers to pivot their
approaches to address these shifts. Large and small companies increasingly prioritize
local amenities and quality of life. Many are also looking to locate or grow in areas that
have demonstrated commitment to diversity, equity, and inclusion. Local community
members, particularly those from historically underserved areas, seek better economic
development outcomes and want to be part of the decision-making process. To best
serve their communities amidst these changes, economic developers will need to engage
diverse partners and collaborate on new, creative strategies. To fully address these
changes, EDOs will need to develop strategies that are informed by a deep knowledge of
local neighborhoods and their populations. CBOs are critical partners in these efforts,
bringing unique understandings of their neighborhoods’ unseen assets and serving as
central connectors for many different community stakeholders. These partnerships are
valuable foundations for EDOs and CBOs facing both national and local scale economic
shifts. By working with CBOs, EDOs can be adaptive and responsive to their
communities’ needs while building back their economies.

Equitable and Inclusive Economic Development

CBOs can also help drive economic growth equitably and inclusively, alongside economic
development practitioners. The economic development field has not always prioritized
historically underserved groups, notably people of color and rural communities, meaning
these groups have not been able to fully participate in and benefit from the growth of
the U.S. economy. Geographic locations where large concentrations of these same
demographic groups reside have seen a decline in infrastructure, commercial building
stock, and housing quality. Many rural communities have seen significant population
attrition and economic decline due to misaligned economic development strategies and
urbanization. These local effects have a significant impact on the U.S. economy as a
whole. For example, a research report by Citigroup in 2020 estimated that African
American discrimination reduced U.S. economic output by $16 trillion between 2000
and 2020. 1 Many CBOs were created to mitigate the effects of these types of challenges
and historic inequities. This makes their insight, partnership, and support essential to
economic developers as they look to support equitable economic growth in their
communities.

Reimagining the Practice of Economic Development

The formal practice of economic development has centered on business and

employment growth through retention, attraction, expansion, and entrepreneurship.
When it has not included disinvested communities, this focus has contributed to and

1
Ci� GPS: Global Perspec�ves & Solu�ons, “Closing the Racial Inequality Gaps: The Economic Cost of Black
Inequality in the U.S.”, September 2020

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reinforced structural economic inequities for various demographic groups and
geographic areas. An over-emphasis on the location decisions of corporations and large
companies has also limited the resources and ability to drive equitable economic growth
through more inclusive and community-centered models. Economic development
professionals will need to build on what has worked well and rethink what has not, to
plot a more successful path forward. Partners like CBOs can bring new perspectives and
strategies to this process and can help EDOs connect with a wider range of community
stakeholders. EDOs are well positioned to build on their existing expertise with a deeper
understanding of their communities’ history, vision, and values to change the economic
development field for the better.

What You Will Learn

This course will guide economic developers through a practical process of developing
partnerships with CBOs from start to finish to help drive equitable local economic
development. It is divided into five modules. This module, Module 1, lays the foundation
for modules two through five. It will provide a brief history of CBOs and EDOs starting
from the 1930s. It will discuss the similarities and differences between CBOs and EDOs
and conclude with a more detailed description of the types and methods of various
CBOs. The content of the other modules is as follows.

Module 2: Working with a Community-Based Organization

This module equips participants with the necessary knowledge and skills to collaborate
effectively with CBOs in economic development. Through this module, participants will
understand CBOs' roles and significance, compare and contrast EDOs and CBOs, and
explore CBO types, methods, and funding sources. This module explores the history of
EDO and CBO relationships that may have led to mistrust and inequitable development
and how power differences come into play in EDO and CBO relationships.

Module 3: Mobilizing EDO and CBO Partnerships

This module recaps previous modules, emphasizes laying the groundwork for
partnerships, explores trust-building strategies, discusses various partnership types,
offers guidance on identifying suitable CBO partners and selecting the first partnership
activity, emphasizes the importance of establishing a framework for collaboration, and
addresses scaling partnerships and managing conflicts. The module concludes with a
practical exercise to apply the acquired knowledge and skills.

Module 4: Equitable Economic Development Ecosystem Mapping

The module will focus on utilizing equitable economic development ecosystem mapping
as a tool to foster relationships with diverse organizations, stakeholders, and
communities. Guidance will be provided on developing and utilizing these maps to assess
and develop equitable economic development ecosystems through CBO partnerships.

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Module 5: Evaluating the Impact of EDO and CBO Partnerships
This module highlights the importance of evaluating partnerships between EDOs and
CBOs in driving equitable economic development. Participants will explore indicators for
measuring equitable development and establish an evaluation framework for EDO and
CBO partnerships. They will learn data collection and analysis methods and strategies for
engaging stakeholders effectively. The module emphasizes applying evaluation findings
to improve partnership strategies, address gaps, and scale for greater impact.
Participants will have the knowledge and tools to assess and enhance equitable impact
by the end.

Understanding CBOs

Partnering with CBOs can significantly enhance economic development strategies that
drive equitable and sustainable growth in communities. However, like any relationship, it
takes work, and that work often takes time. One of the first things EDOs should do
when preparing to work with CBOs is to understand their complementary abilities and
the different types, methods, and funding sources that CBOs use to accomplish their
mission.

General Comparison and Contrast of EDOs and CBOs

While EDOs and CBOs may share a similar goal of improving local quality of life, the
stakeholders, target audience, and activities to achieve this goal often differ. As EDOs
pursue equitable development, recognizing the value of CBOs is essential, specifically in
seeking a deeper understanding of marginalized communities, a focus on advocacy and
empowerment, and the ability to focus on a much broader range of topics and strategies
that historically have fallen out of the purview of EDOs. If done correctly, bridging the
gaps between EDO and CBO practices can more effectively support equity,
sustainability, and quality of life in their communities. The following chart compares and
contrasts the general practice of EDOs and CBOs and provides an opportunity to
identify and leverage complementary strengths.

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 Economic Development Community-Based
Organizations (EDOs) Organizations (CBOs)
Foster economic growth and Address specific community
Purpose development needs
Economic development, job Social services, community
Focus creation, investment attraction empowerment, advocacy
Local, neighborhood, or specific
Scope Regional, city, or state level community
Funding Public funding, grants, private Grants, donations, fundraising,
Sources sector partnerships volunteer support, contracts
Economic development, business Community engagement, social
attraction, retention, expansion, services, advocacy, community
Expertise and workforce development organizing
Residents, vulnerable
Target Businesses, investors, populations, specific community
Audience entrepreneurs groups
Collaboration with other
Partnerships with government organizations, government
agencies, businesses, industry agencies, community
Collaboration associations stakeholders
Business support, infrastructure Social services, education,
Programs/Servi development, workforce training, healthcare, advocacy, community
ces policy advocacy programs
Outcome Job creation, business growth, Community well-being, improved
Measures economic indicators quality of life, social impact
Can operate at various scales Primarily focused on local or
Scale (local, regional, state) specific community
Focus on economic development
strategies, economic policy Community engagement,
recommendations, economic and community, and social resource
Decision- business stakeholder development strategies, social
Making engagement policy recommendations

CBO Types

Like EDOs, there are many different types of CBOs. EDOs should familiarize themselves
with the following common types of CBOs as they prepare for deeper engagement and
partnerships with CBOs. While there are many more types of CBOs, the list below
covers the general categories of work where CBOs can be found:

CDCs: Community Development Corporations (CDCs) are nonprofit organizations

promoting community development and revitalization in specific geographic areas such
as neighborhoods or commercial corridors. They engage in affordable housing
development, commercial revitalization, job creation, and community organizing.
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Social Service Agencies: Social service agencies provide human services and support to
individuals and families in need. These organizations often offer programs related to
housing assistance, food security, healthcare access, counseling, childcare, employment
training, and other social welfare initiatives.

Youth and Family Organizations: These organizations address the needs of children,
youth, and families, providing programs and services that support their well-being,
education, recreation, and personal development. Examples include after-school
programs, mentoring organizations, childcare centers, and family support services.

Community Health Centers: Community health centers are primary care facilities that
offer medical, dental, and behavioral health services to underserved populations. They
focus on providing accessible and affordable healthcare in the community, often
targeting low-income individuals and those without insurance.

Community Development Organizations: These nonprofit organizations work to alleviate

poverty and empower individuals and families through various programs and services.
They often address housing, employment, entrepreneurship, education, healthcare
access, and financial literacy issues.

Civic and Advocacy Organizations: Civic organizations engage in community

development, advocacy, and social change initiatives. These organizations may focus on
civil rights, environmental justice, voting rights, or community empowerment. They work
to promote active citizen participation and influence public policy.

Cultural and Arts Organizations: These organizations promote arts, culture, and creative
expression within the community. They may include theaters, museums, galleries,
cultural centers, and arts education programs that provide opportunities for artistic
development, community engagement, and cultural preservation.

Faith-Based Organizations: Faith-based organizations operate on religious principles and

values, providing various services and support to their communities. They may include
churches, mosques, temples, and other religious institutions that engage in community
outreach, social services, and charitable activities.

CBO methods

In addition to understanding the common types of CBOs, it is also essential for EDOs to
understand some of the common practices CBOs use to achieve their goals.

• Community Engagement: CBOs actively engage community members in their

work. They encourage community participation through town hall meetings, focus

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 groups, community forums, and other platforms where individuals can voice their
concerns, provide input, and contribute to decision-making processes.

• Community Mobilization and Empowerment: CBOs mobilize and empower

community members to take ownership of their well-being and contribute to
community development. They facilitate community organizing, leadership
development, and capacity-building activities that promote active engagement
and participation.

• Collaboration and Partnerships: CBOs often collaborate with other organizations,

government agencies, businesses, and community stakeholders to pool resources,
share expertise, and leverage collective strengths. Partnerships can enhance the
impact and effectiveness of CBO initiatives.

• Advocacy and Policy Influence: CBOs engage in advocacy efforts to influence

policies and systems that affect their communities. They may lobby for changes in
legislation, regulations, or funding allocations to address community needs,
promote social justice, and advocate for the rights of marginalized populations.

• Capacity Building: CBOs focus on building their organization's and community

members' capacity. This involves training, technical assistance, and resources to
enhance skills, knowledge, and organizational effectiveness.

• Direct Services and Programs: Many CBOs provide direct services and programs
that directly address community needs. These can include educational programs,
workforce development initiatives, healthcare services, social support programs,
and recreational activities.

• Volunteer Engagement: CBOs often rely on volunteers who contribute their time,
skills, and expertise to support their activities. They recruit and engage volunteers
in various capacities, such as program delivery, fundraising, community outreach,
and administrative tasks.

• Public Awareness and Education: CBOs engage in public awareness campaigns to

raise awareness about specific issues, promote community education, and
disseminate important information. They may utilize social media, workshops,
community events, and media partnerships to reach a broader audience.

• Resource Mobilization and Fundraising: CBOs engage in fundraising efforts to

secure financial resources to support their programs and initiatives. They may
apply for grants, seek corporate sponsorships, organize fundraising events, and
engage in donor cultivation.

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 • Policy Development and Implementation: Some CBOs actively participate in
developing and implementing policies and programs. They work with
policymakers, researchers, and community members to identify evidence-based
strategies, design policy recommendations, and advocate for their adoption and
implementation.

CBOs Funding Sources

Finally, EDOs need to be aware of how CBOs are often funded. As EDOs work to
develop partnerships with CBOs, there will be opportunities to collaborate on new
funding opportunities and share funding sources around specific projects and joint
activities.

• Government Grants: CBOs often receive local, state, or national funding from
government entities. Governments may allocate funds specifically for social
services, community development, education, healthcare, or other areas that align
with the CBO's mission. These grants can be competitive, and organizations may
need to submit proposals or applications to secure funding.

• Foundation Grants: Many CBOs seek funding from private foundations supporting
their mission-related causes. These foundations can be large national or
international organizations and smaller regional or local ones. CBOs must typically
submit grant applications demonstrating how their work aligns with the
foundation's funding priorities.

• Corporate Sponsorship/Partnerships: Some CBOs establish partnerships or

receive financial support from businesses and corporations. This can include direct
financial contributions, in-kind donations, or corporate sponsorship for specific
programs or events. Companies may be motivated by corporate social
responsibility goals, community engagement initiatives, or alignment with the
CBO's mission.

• Individual Donations: CBOs often rely on donations from community members,

supporters, and philanthropists. These donations can come in various forms,
including one-time contributions, recurring monthly donations, or planned giving
(such as bequests). CBOs may engage in fundraising campaigns, events, or online
platforms to attract individual donors.

• Fundraising Events: CBOs may organize fundraising events to generate financial

support. These events can include charity galas, benefit concerts, auctions, charity
runs/walks, or community festivals. The revenue from ticket sales, sponsorships,
donations, and other event-related activities contribute to the organization's
funding.

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 • Program-Specific Grants: Some CBOs secure funding through grants that are
specifically designed to support certain programs or initiatives. These grants may
be offered by government agencies, private foundations, or corporations
interested in funding specific causes or areas of intervention. CBOs must
demonstrate how their proposed programs align with the grant criteria.

• Fee-for-Service Contracts: In some cases, CBOs provide services or programs

reimbursed through fee-for-service contracts with government agencies or other
organizations. This model is common in healthcare, counseling, or education,
where CBOs deliver specific services and receive compensation based on the
services rendered.

Similarities and Differences between EDOs and CBOs

BOTH CBOs
EDOs
Aim to enhance Historically
Historically
local citizens' lives. focused on fixing
focused on local
The difference lies issues in
job creation and
in who's distressed
investment for
prioritized and communities due
many
how they work. to unfair growth
stakeholders.
and policies.

There are many areas where the missions and work of CBOs and EDOs align. Both types
of organizations often aim to improve the quality of life in their communities and increase
access to key economic and social resources. The key differences manifest in how CBOs
and EDOs implement these goals and measure success. Recognizing that there is a wide
diversity in practice by both CBOs and EDOs, the following is a broad generalization of
the focus of both types of organizations.

EDOs work to improve quality of life by empowering businesses and other economic
stakeholders to generate revenues and employment. The primary goal is to improve the
local quality of life through economic growth driven by the business community. This
leads to job creation, local tax base and public revenues improvement, and increased
income and wealth for businesses and individuals. EDOs' primary focus is the business
sector.

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CBOs work to improve their communities by mobilizing social capital, focusing on
capacity-building, and advocacy, and activating community members to promote better
outcomes, primarily for disadvantaged and marginalized communities. CBOs work to
improve local quality of life through a more equitable distribution of economic growth,
the reduction of discriminatory or inequitable social policies and practices, and the
inclusion of marginalized voices in the decision-making processes that impact their
communities. CBOs' primary focus is the community sector.

While the general goal of improving quality of life is shared between EDOs and CBOs,
there are differences in how this objective is accomplished and which communities are
prioritized. Historically, EDOs have been focused on achieving economic growth, with
fewer strategies dedicated to leveling the distribution of that growth. This has often been
based on the assumption that economic growth is good for everyone and that its
benefits would naturally find their way to all members of a community through market
forces. However, due to existing systemic inequities, these benefits have not always
materialized in the way these economic development strategies may have intended. In
many cases, this has led to the reinforcement of those structural inequities among
historically marginalized communities and rural geographies. Even for EDOs who make
concerted efforts and implement successful programs geared towards equitable and
inclusive development, these programs still operate within systems that make it difficult
to achieve sustainable success. Long-term approaches that work to change these
structures will require collaboration with organizations across the many lenses and
sectors of development, which are all affected by these issues and contribute to them in
different ways.

While economic development practices have evolved and equitable development has
become a more prominent topic in the field, many EDOs still focus primarily on industrial
attraction and business retention driven through incentives. When the needs of
community members are left out of this practice, it can become biased toward the needs
of the corporate and large business sectors at the expense of various communities that
do not directly benefit from that company being recruited or retained. Conversely, CBOs
often prioritize economic and social equity from competing lenses and ideologies at the
community level. Because CBOs focus on a broad array of economic, social, and
environmental issues, coordinating activities across CBOs to achieve a common
economic development goal is often not easy. In addition, due to historical conflicts in
their approaches and relationships, a certain amount of trust-building and an honest
leveling of values between CBOs and EDOs may need to be undertaken to overcome
their differences before collaboration is possible.

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Module Exercise

1. What CBOs have your economic development organization worked with, and
how did that relationship come about?
2. Based upon what you learned about the history and practice of CBOs, in what
ways do you think CBOs can support equitable local economic development?
3. How can economic developers bridge gaps in their relationships with CBOs, as
well as with the communities they represent?

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