The paper,based on the best practice of New York State Consolidated Funding program,illustrated the new trends,a new wave of innovation in economic development is emerging at the state and regional scale. It shows many regional councils in New York—public-private partnerships of corporate,civic,university,labor,environmental and political leaders—crafted strategic plans for their regions to compete for state funding,and form Regional Economic Development Plans. The competition plans focus on variable direction,included:affordable housing,community and waterfront revitalization,direct assistance to businesses, energy and environmental improvements,low-cost financing,municipal/public infrastructure,parks,historic preservation and heritage areas,sustainability planning assistance,etc. The plans by State Regional Council competition showed the liberating effect of collaboration across local governments,sectors,and institutions that were either unaware of each other or locked in debilitating conflict. <<