As many communities talk about economic recovery and future development, the conversation is often framed around the question, "what's the best investment of taxpayer dollars to achieve economic growth in our area?"
The question is scaled up and down - from "what's the best investment of the U.S. federal government's taxpayer-funded resources to recover from a down economy?" all the way to (in my local case) "how should Richmond and Wayne County, Indiana spend funds captured through the EDIT tax to develop the local economy?"
For many people, the question in that form doesn't have any problematic premises. But it's at least worth noting that there are some assumptions built in:
- That the government and/or economic development corporations are the best entities to facilitate economic development
- That taxpayer dollars should be used to fund economic development activities
- That economic development as traditionally defined is a good thing
And so on. Within each of those premises you can probably break them down further, e.g. if you ask people what economic development means, for some it's primarily "job creation" and for others its "improving quality of life" and for still others its "developing infrastructure."
The reality is that there are a number of layers to the conversation about economic development, most of them never touched or examined in the mainstream. We might visualize those layers this way:
Continue reading Layers of the economic development conversation
I'm excited to see that Valerie Shaffer, the new President of the Economic Development Corporation of Wayne County, has started a blog about her activities in that role. The blog is complemented by a "frequently asked questions" section on the EDC website, which tries to address some of the common questions (and misperceptions) about the organization.
Whatever your take on the EDIT Tax, the EDC and their role in economic development efforts, this is a new and welcome level of transparency.
Shaffer's posts so far are authentic and to the point, bypassing some of the marketing spin that it might be tempting for an organization of the EDC's prominence to engage in when they know site selectors are looking. She links to related resources, encourages questions and feedback, and makes repeated commitments to opening the lines of communication between her office and other voices in the community.
Continue reading Blogging about economic development in Wayne County
If you live in or near Richmond, Indiana, it looks like you picked the wrong year to stop sniffing glue. (Does anyone get Airplane! references anymore?)
Have you ever scored yourself on the Holmes and Rahe stress scale, which measures your personal stress based on which of 43 major life events (death, divorce, job change, etc) have happened to you in the past year? It's an interesting scale because it recognizes that significant life change - positive or negative - brings with it an increased potential for illness and possibly other problems.
I think if we were to do a similar scoring of events in the life of a midwestern city, Richmond, Indiana would be somewhere in the "freaking out" to "going ape-shit" range. I dare say, we're a city in distress.
Even beyond what's happening at the state, national and global level - economic turmoil, war and other violence, toxic political races, Charlie Sheen's career, etc. - I suggest that the last year in the life of our community has been an unusually tumultuous one here.
Just a partial list of some major events I've observed in the recent life of Richmond in no particular order:
Continue reading A city in distress
A year ago I blogged about the $5 million dollars that Richmond had available to promote high-tech business growth in our city.
An article in Sunday's Palladium-Item reports that the City of Richmond is proposing to use the funds to purchase 14 acres of land and buildings on the city's northwest side, which they will use to create a space for technology entrepreneurs.
For the record, as someone who created a technology business in Richmond, I'm against this use of the Certified Technology Park funds as it's currently described.
There are a lot of things that technology entrepreneurs in our community could benefit from, but a new physical space is generally not one of them. There are myriad available buildings already suitable for businesses of all kinds - retail, office, manufacturing, etc. With the advent of cloud computing, global distribution systems and other niche service providers, few tech start-ups have specialized space needs.
Not the least of the existing structures is the Uptown Innovation Center, originally designed and built to - you guessed it - house technology entrepreneurs looking for space to get their business up and running. I supported that effort and it's a great space with some great possibilities, but as far as I know, that building has not exactly operated at capacity in its lifetime, and when it has come close it's not been with high-tech businesses.
Continue reading Against the proposed use of Richmond tech park funds
That title really roped you in, huh? Allow me to explain.
Earlier today I attended the Indiana University 2012 Business Outlook Panel in its visit to Richmond. It's a group that "has presented national, state, and local economic forecasts for the coming year to business, political, and community leaders of Indiana" for the last 38 years. I attended the same gathering back in 2005 and I have to say that today's commentary wasn't much different from what it was six years ago: "things are not great with the economy, but there are reasons to be cautiously optimistic."
As I noted in my reflections from the 2005 event, there were a couple of troubling ideas that permeated the remarks, especially from the panelists looking at global and national trends.
Continue reading Quantitative easing and structural unemployment
It's unfortunate that the act of finding or creating a job for someone has become a form of political currency. Politicians around the country are clamoring about how many jobs they created with this program or that program, or boasting about how their job creation (or job loss) record compares to someone else's for a given time period, while many rightly ask if politicians can really even create jobs (answer: probably not). When we set aside the political rhetoric, we remember that for most people, a job is not a statistic to be waved around in the media and that finding or creating a job is not the end of the story.
For most people, having a job is a means to other ends - making money to help provide for our families, a place where we go to be productive and feel a sense of accomplishment, a foundation on which to build a quality of life. Most people don't want to live so they can work - they work so they can live. And so it's disconcerting when politicians casually talk about job creation as the end in itself, without any concern for or follow-up on what that means for the people in a given community taking those jobs.
Continue reading Job creation at a human scale
(Sometimes I wake with a start in the night and think I can hear Palladium-Item Viewpoints Editor Dale McConnaughay's voice chanting in the distance, "you must take a stand, you must enter the fray!" It's probably because almost every editorial the newspaper has published in the last two months about the income or expenses of City government have included a not-so-subtle encouragement for current candidates for office to make that particular issue a part of our political campaigns. Today, I'll bite.)
The Center City Development Corporation has asked that $300,000 of the $5 million in funds available through Richmond's Certified Technology Park account be used to support renewed operations of the organization and its Uptown Innovation Center facility. The Palladium-Item covered the request today in a news article and related editorial, the latter of which painted the request as just another ask for taxpayer funded handouts to support private business efforts and essentially encourages a "no" vote by the Redevelopment Commission, the entity that approves the funding request.
Continue reading Richmond Center City Certified Tech Park Funding