what is economic development? lee lewellen – ceo, indiana economic development association
TRANSCRIPT
What is Economic Development?
Lee Lewellen – CEO, Indiana Economic Development Association
The IEDA defines economic development as the facilitation of investment that leads to long-term community prosperity.
The IEDA defines economic development as the facilitation of investment that leads to long-term community prosperity.
The IEDA defines economic development as the facilitation of investment that leads to long-term community prosperity.
The IEDA defines economic development as the facilitation of investment that leads to long-term community prosperity.
The IEDA defines economic development as the facilitation of investment that leads to long-term community prosperity.
The IEDA defines economic development as the facilitation of investment that leads to long-term community prosperity.
The most commonly identified goal of economic development:
The most commonly identified goal of economic development:
Jobs
The most commonly identified goal of economic development:
JobsTax Base
Not all jobs and tax base are created equal….
Ed Morrison – Purdue Center for Regional Development
Three kinds of money in the local economy:
Bad money
Neutral money
Good Money
Ed Morrison – Purdue Center for Regional Development
Three kinds of money in the local economy:
Bad money
Money that ‘leaks’ out of the local economy
Ed Morrison – Purdue Center for Regional Development
Three kinds of money in the local economy:
Neutral money
Money within the economy that only circulates locally
Ed Morrison – Purdue Center for Regional Development
Three kinds of money in the local economy:
Good Money
New money that is imported into the community that generates new spending and additional jobs
Ed Morrison – Purdue Center for Regional Development
Three kinds of money in the local economy:
Good Money
New money that is imported into the community that generates new spending and additional jobs
Multiplier effect
Traditional, ‘industrial’ development
Cheap land
Traditional, ‘industrial’ development
Cheap land
Available and cheap infrastructure (water, sewer, electric, roads, railroad, etc.)
Traditional, ‘industrial’ development
Cheap land
Available and cheap infrastructure (water, sewer, electric, roads, railroad, etc.)
Cheap and ignorant workforce
Richard Florida
Rise of the Creative Class, 2002
‘Creatives’ choose where they want to live first, then secure a job….
21st Century Economic Development versus 20th Century ‘Industrial’ Development
Workforce – Talent – is often the number 1 consideration for relocating companies
21st Century Economic Development versus 20th Century ‘Industrial’ Development
Workforce – Talent – is often the number 1 consideration for relocating companies
‘Place’ matters
21st Century Economic Development versus 20th Century ‘Industrial’ Development
Workforce – Talent – is often the number 1 consideration for relocating companies
‘Place’ matters
Relocation and expansion decisions are part of a web of considerations that include community and regional assets
21st Century Economic Development versus 20th Century ‘Industrial’ Development
Communities are exploring locally-based entrepreneurship as part of a larger economic development strategy
21st Century Economic Development versus 20th Century ‘Industrial’ Development
Some communities are exploring locally-based entrepreneurship as part of a larger economic development strategy
Expansion and retention of existing industry are an increasingly important part of the economic development strategy
Asset Based Economic Development
Identifying and cataloging a community’s unique assets to attract new investment that is consistent with or complementary to those assets
Asset Based Economic Development
Existing industry – + suppliers, customers
Asset Based Economic Development
Existing industry – + suppliers, customers
Workforce – Talent
Asset Based Economic Development
Existing industry – + suppliers, customers
Workforce – Talent
Educational assets – Universities, K – 12 education, career centers
Asset Based Economic Development
Existing industry – + suppliers, customers
Workforce – Talent
Educational assets – Universities, K – 12 education, career centers
Infrastructure – Roads/interstate, water, sewer, electric, broadband
Asset Based Economic Development
Existing industry – + suppliers, customers
Workforce – Talent
Educational assets – Universities, K – 12 education, career centers
Infrastructure – Roads/interstate, water, sewer, electric, broadband
Quality of life
Asset Based Economic Development
Brown County/Nashville
Asset Based Economic Development
Brown County/Nashville
Steuben County – Northeast Indiana
Asset Based Economic Development
Brown County/Nashville
Steuben County – Northeast Indiana
Central Indiana – Life sciences, advanced manufacturing, logistics
Asset Based Economic Development
Glossary of terms & acronymsIEDC – Indiana Economic Development Corporation
LEDO – Local Economic Development Organization
REDO – Regional Economic Development Organization
TIF – Tax Increment Financing
Tax Abatement
EDGE Credits – Economic Development for a Growing Economy
Glossary of terms & acronyms
EDGE Credits – Economic Development for a Growing Economy
EDGE may be awarded for up to 100% of the projected payroll withholdings for the company’s Indiana project. These may be awarded up to 10 years.
Glossary of terms & acronymsBrownfields – Environmentally distressed land/property
Greenfields – Previously undeveloped land and/or ag land
SEF – Skills Enhancement Funds
Glossary of terms & acronymsSEF – Skills Enhancement Funds
Reimbursement of a company’s cost to train its Indiana workers. SEF is disbursed over a two-year period and is limited to 50% of a company’s eligible training expenses.