This is the first step in rebuilding communities in America's poverty-stricken inner cities and in rural areas. It is designed to empower people and communities by inspiring them to work together to create jobs and opportunities for community development. Under the EZ/EC Initiative, the Federal Government will work across agency lines and in a new partnership with State and local government and the private sector to provide distressed communities with the tools they need and the flexibility they desire to rebuild. The tools include tax breaks, block grants, and funding preferences. Flexibility is to be ensured through waivers and a willingness to remove Federal barriers. Communities will demonstrate their commitment by participating in a plan to develop and implement these tools. The framework of the program is embodied in four key principles: economic opportunity, sustainable community development, community-based partnerships, and strategic vision for change. These principles are the basis for selection criteria and the evaluation of strategic plans. The implementation process is explained. Appended supplementary information