USAID submits this report pursuant to Section 7019(e) of Division K of Public Law 115-141, the Department of State, Foreign Operations, and Related Programs Appropriations Act, 2018, which incorporates by reference the requirements of Senate Report 115-152 for reports on local sustainable development and the Local Works Program. This report updates the document submitted by the Agency in June 2017, pursuant to Senate Report 114-290. This analysis highlights: 1) USAID’s ongoing Transformation initiative and its relevance to local sustainable development; 2) the Agency’s Local Sustainability Awards Program (formerly known as the Small Grants Program, referred to as Local Works); 3) the ways in which the Agency created new training opportunities and resources that will empower all staff to engage effectively with local partners; and, 4) steps the Agency has taken to implement reforms in human-capital practices described in the June 2017 report.