Anaconda, Montana

An Economic Development Case Study

During the summer of 1883, community leaders approved the Anaconda city plat and the Upper Works Smelter was under construction.

Situation

The Anaconda Copper Company smelter was the dominant employer in town…

Situation

… until the massive layoff of 1,500 employees and closing in 1980.

1970

1972

1974

1976

1978

1980

1982

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

0

2,000

4,000

6,000

8,000

10,000

12,000

-50,000

50,000

150,000

250,000

350,000

450,000

550,000

650,000

Total Employment, 1970-2011

Deer Lodge County Montana

Deer lodge County

Montana

Situation

The county sustained a precipitous drop in population with implications for local businesses that supported those households...

1970

1972

1974

1976

1978

1980

1982

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

8,000

10,000

12,000

14,000

16,000

18,000

20,000

22,000

0

200,000

400,000

600,000

800,000

1,000,000

1,200,000

Total Population, 1970-2011

Deer Lodge County Montana

Deer Lodge County Montana

Situation

…and a loss of workforce age population and a lack of young families.

Under 15 years

15 to 24 years

25 to 34 Years

35 to 44 Years

45 to 54 Years

55 to 64 Years

65 years and over

0.0% 2.0% 4.0% 6.0% 8.0% 10.0% 12.0% 14.0% 16.0% 18.0% 20.0%

Population By Age Cohort

Montana Anaconda-Deer Lodge County

Situation

Indicator Anaconda MontanaPopulation Change, 1980 to 2012 -26% +28%

Median Age 46.4 39.8

Median Household Income $34,095 $45,324

Persons Below Poverty Level 20.9% 14.6%

Unemployment Rate 10.1% 6.4%Worked outside County of Residence 25.4% 7.6%

Vacant Housing Units 21.00% 15.60%

Median Age of Home-Year of Construction 1940 - 1949 1970-1979

U.S. Census 2007 – 2011 data set, Deer Lodge County; American Community Survey, 2013

Current Economic Indicators

ECO AnalysisExisting Assets, Challenges, Opportunities

OBJECTIVE:   

Retail & Personal Services

Industry & Value-added

Workforce Development

Physical Factors Architecturally and historically rich building stock Good access to outdoor recreational opportunities Redundant electrical power lines Redundant Fiber lines   Cultural Factors It has a unique identity Archive of mining company history   Economic & Demographic Factors Community Hospital: recent & future expansion Regional industry growth: natural resource processing

Program Objectives

Attract primary employers, entrepreneurs, and value-added businesses

Grow consumer businesses providing retail goods, business services & personal services

Eliminate environmental stigma and proactively market industrial and commercial sites

Enhance cultural, tourist, and lifestyle attributes that attract and retain a resident workforce

Build community infrastructure that supports businesses and workforce growth

Economic DevelopmentIndustry & Value-Added Business Development

OBJECTIVEAttract primary employers, entrepreneurs, and

value-added businesses

Economic DevelopmentIndustry & Value-Added Business Development

Strategy

Attract, retain, and grow primary employers

Define Anaconda’s unique role in regional economic development and highlight unique locational advantages

Evaluate existing local industries and explore horizontal integration and supply chain opportunities.

Proactively market to target industries that would find Anaconda conducive to their business.

Economic DevelopmentRetail and Services Business Development

OBJECTIVEGrow consumer businesses providing retail goods, business

services & personal services

Economic DevelopmentRetail and Services Business Development

Strategy Improve the mix of local goods and services being offered to

retain consumer dollars in town, intercept more consumer dollars from travelers to and through town

Create a self-sufficient consumer lifestyle attractive to a resident workforce

Facilitate a product mix responsive to changing consumer markets

Encourage travelers to stay longer

Economic DevelopmentHeritage, Tourism, Lifestyle Development

OBJECTIVEEnhance cultural, tourist, and lifestyle attributes that attract and

retain a resident workforce

Economic DevelopmentHeritage, Tourism, Lifestyle Development

Strategy Create an affirmative deciding factor for companies comparing relocation

sites by offering activities to the firm’s existing and future workforce Maintain, improve, and develop leisure, recreation, cultural, historical,

and lifestyle assets in Anaconda Attract executives remotely running businesses by improving lifestyle

attributes Attract entrepreneurs and sole proprietors, particularly in the growing

“Big Data” and high-tech industries who are able to work independently and remotely by improving lifestyle attributes

Provide reasons for regional travelers to stop and stay longer, and patronize local goods and service providers

Business Climate & Workforce

OBJECTIVEBuild community infrastructure that supports businesses

and workforce growth

Business Climate & Workforce

Strategy Remove blighting conditions and maintain a physical setting that is

comfortable and functional

Provide housing diversity and options

Improve public infrastructure and develop community facilities to serve business needs and resident workforce needs

Attract teachers and improve K- 12 school rankings

Provide educational opportunities for adult personal and professional advancement

Strategies & Tactics

StrategyWhat needs to be done – “The Plan”

TacticsHow to get it done – “Action Items”

Jesse SilversteinDevelopment Research Partners

10184 Belleview Avenue, Suite 100, Littleton, COMain: (303) 991-0070

www.DevelopmentResearch.net

Jesse@DevelopmentResearch.netDirect: 303-991-0074