sneapa 2013 thursday d4 3_30 jobs and tax revenue
DESCRIPTION
Plan it Forward for Jobs and TaxesTRANSCRIPT
Plan it Forward for Jobs and Taxes
• Pamela M. Sherrill, AICP, Johnston RI Town Planner, moderator• Mark D. Waterhouse, President of Garnet Consulting Services:
Economic Development Principles for Community Planners• Scott A. Gibbs, Economic Development Foundation of RI: The
Corporate / Developer Perspective • Bruce G. Hughes, Old Colony Planning Council, Brockton, MA:
Role of Regional Planning In Attracting Economic Development
SNEAPA ConferenceOctober 17, 2013
• Professional association for economic developers in 11 northeastern states
• Professional education programs• Annual Conference: 2014 in Worcester, MA • Networking • Research and information• EDP professional certification• www.nedaonline.org
Planning Forwardfor
Jobs & Tax Revenues
Economic Development Principles for Community Planners
Mark D. Waterhouse, CEcD, LL.B.
Why Communities Invest in Economic Development
• Attract capital investment = new tax revenue• Jobs (may = new tax revenue)• Conveniently available goods and services
(may = new tax revenue)• Other community development motivations
Economic Development ROI Comes From
Business • Retention• Expansion• Attraction• Creation• Transition
The Site Selection Process(Slide courtesy of McCallum-Sweeney Consulting)
Planning Phase
• Conception
• Feasibility
• Investment Decision
Phase I
• Alignment/Criteria
• Regional Analysis
• (Areas of Interest)
• RFP
• Candidate Communities
Phase II
• Community Visits
• Site Evaluation
• Comparative Analyses
• Finalist Communities
Phase III
• Negotiations
• Evaluation
• Site Due Diligence
• Selection
• Announcement
Process of Elimination Process of Comparison
Site Selection Evaluation Topics
• Market access• Available sites & buildings • Transportation• Utilities• Labor force• Education• Business climate
• Taxes• Public facilities & services• Quality of place• Available capital & incentives• Available supplies, parts, services
Some Competitive Realities
Extremely competitive arena– 3,034 U.S. Counties– 19,424 Incorporated Cities/Towns/Villages– 16,519 Unincorporated Towns or Townships
(2007)– 15,000 – 18,000 EDOs
Some Competitive Realities A measure of economic sluggishness:
Project announcements (new or expansions)that were any of the following:– Manufacturing, office/HQ, distribution, R&D, mixed use– $1 million or more in capital investment– 50 or more jobs– 20,000 square feet or more
Source: Conway Data
2000 – 12,529 2004 – 6,905 2008 – 4,425 2012 – 5,580
2001 – 10,808 2005 – 6,482 2009 – 4,345
2002 – 7,600 2006 – 4,906 2010 – 4,623
2003 – 5,793 2007 – 4,888 2011 – 4,978
Projects in New EnglandYear
ManufacturingOther Total
New Expansion2000 21 15 53 89
2001 33 27 33 93
2002 31 32 212 275
2003 6 23 36 65
2004 15 9 50 74
2005 8 4 35 47
2006 23 16 19 58
2007 21 21 20 62
2008 23 13 30 66
2009 26 16 43 85
2010 17 16 42 75
2011 13 14 25 52
2012 23 46 54 123
Total 260 252 652 1,164
2012 Projects in New England
State New Mfg Mfg. Expand Other Total
(Change from ‘11)
CT 8 2 15 25 (+15)MA 7 31 30 68 (+48)ME 4 2 3 9 (+3)NH 2 0 1 3 (-5)RI 0 5 5 10 (+3)VT 2 6 0 8 (-24)
Totals 23 46 54 123 (+71)
Some Competitive RealitiesThe Era of the Global Jobs AuctionIt is a Buyer’s Market– You are both the Seller and the Commodity being
soldSpeed is of the essence– Timeframe for selection process (3 - 4 months) is
half that allowed 5 - 10 years agoSelection process emphasizes elimination
Providing a Home - Quickly
If construction is necessary, so is fast track permitting
Site selection consultants say they would like– Local permits within 14 days (7 ideal)– State permits within 45 days (30 ideal)
What the Competition is Doing
• Clermont County, OH– County ordinance requires permits to be issued in 10 days for
complete/accurate application for a project allowed in the zoning district
• Chesapeake, VA– Office project in office district – permits in 2 days– The Economic Development Department has a professional
engineer on staff dedicated to working with businesses in creating a streamlined development process
• Phoenix, AZ– Building Plan Self-Certification Program
Major Elements of Community Planning & Development
• Long Range Planning – the Community Master Plan– Covers 10 – 20 year timeframe between major changes
• Continuing Regulations– Implementation tools for long-range plan– Ongoing but subject to modification
• Short-term Plans and Strategies– Cover 2 – 5 year timeframe– May have annual updates– Should include an Economic Development Action Plan
Formulating Action PlansA Blueprint for Tomorrow
• The hierarchy– Vision Statement– Mission Statement– Goal Statements– Objectives– Strategies/Tactics/Action Steps• Responsibilities• Resource needs• Performance metrics
Who is on Your Economic Development Team?
(Public Sector - besides the E.D. folks)
• Chief Elected Official• Town Planner• ZEO• Building Inspector• Fire Marshal• Assessor• Land Use Boards and Commissions• Health Department• Superintendent of Schools
The Bottom Line
• Development regulations and procedures should be simple, swift and certain
• All community staff should be process facilitators – not regulation enforcers
• Economic development is an essential part of community development and quality of life– Most people include having a job and a good standard
of living as part of their personal quality of life– You can help make that happen
Planning Forwardfor
Jobs & Tax Revenues
The Corporate / Developer Perspective
Scott A. Gibbs, CEcD EDP
Dispelling Some Assumptions
Not All Developers / Businesses Are Looking For A “Deal”
Not All Developers / Businesses Are Looking To “Destroy” Your Community
But Frequently, That’s Exactly The Message That You Are Sending The Development / Business Community
• Design of Regulatory & Permitting Processes• Attitudes of Public Employees • Attitudes of Elected/Appointed Officials• How you Incentivize Investment
The Marketing Mix As Applied To Planning
Product DesignProduct PricingProduct PromotionProduct Distribution
A Community Must Be Strategic In Linking It’s Economic and Fiscal Visions with how it Proactively Manages the Four “P”s. The Business and Development you want to Attract needs to be Embodied in your Strategic Management of the Four “P”s.
The ED Truisms
• You cannot be everything to everybody• You must make choices and the choices you make define your
community’s brand• The consistency between what you say and what you do
strengthens your brand integrity• Everybody must be singing from the same sheet of music• You must consistently communicate what you are doing and
why you are doing it in order to build a culture that is passionate about the future vision
• You must identify and track the metrics that are congruent with measuring your community’s progress in the context of your strategies and future vision
Building A Pro-Investment Culture
Investment hates risk – so manage investment / development risk
Elements of investment risk: • Fiscal Instability• Anti-business Tax Policy• Political Instability• Regulatory / Permitting Process Ambiguity & Complexity• Absence of Urgency• No Long-Term Vision & Strategies
Anecdotal Stories
• In search of the “knowledge industry”• We’re not asking for the Taj Mahal, we just know
what we don’t want• This is when you can start construction, and• This is what your costs will be for 10 years• That’s a “stupid” tax• That’s our best deal• It’s not just a transaction, it’s a long-term
relationship
Strategy Options
• Re-engineering regulatory and permitting processes: sequential vs. concurrent
• Embracing digital technology as SOP• Building a “TQM” culture in city hall: metrics,
training, and communication• Building a long-term vision with aligned
strategies and measurable milestones• Constant communication with stakeholders:
enough with the fluff
Conclusion
• Stop being a “bureaucrat” and start being an entrepreneur.
• Being a leader for change entails taking professional risk, but it’s a necessary component to being a true professional.
• Your community’s Brand is more than the promise you make; your Brand is also the promise you keep.
The Role Of Regional Planning In Attracting Economic Development
Bruce G. Hughes, MPA, EDPEconomic Development/Community Planner, Old Colony Planning Council,
Brockton, MA
Regional Planning Agency (RPA) Infrastructure Planning Assistance
• MA Chapter 43 D Expedited Permitting
• MassWorks Infrastructure Program
• Planning and Zoning
• Economic Target Areas (ETAs)
• Growth Districts
Planning for Transportation Infrastructure Regional Planning Agency services include:• Transportation system studies
• Corridor Studies
• Major Bottleneck Studies
• Roadway Drainage and Runoff Inventory
RPA Transportation Infrastructure Planning Assistance
• Corridor Studies• Major Bottleneck Studies• Roadway Drainage and Runoff Inventory• Local Technical Assistance• Planning/Funding Mechanisms - The Unified
Planning Work Program (UPWP)• Regional Transportation Plan Goal (RTP) -
balanced range of well connected transportation options
RPA Transportation Infrastructure Planning Assistance
• Transportation Improvement Plan (TIP) – The federally-mandated document
• Public Participation Plan
• Environmental Justice
OCPC ETA Brochure
Sysco Plympton
Cape Cod Lumber - Abington
Case Study: Old Colony Planning Council Assistance to Town of
Abington, MA
• Town of Abington tax sale acquisition: former golf driving range. Low Density Residential zone
• Highway Commercial Zone Map Amendment
– OCPC drafted zoning amendment for Abington Planning Board review and Spring 2011 Abington Town Meeting Warrant
– Spring 2011 Town Meeting approval of zoning amendment
• Town sold the property to Cape Cod Lumber Company
• Cape Cod Lumber - Tax Inventive Finance application– TIF passed by town meeting in 2012– Cape Cod Lumber made a seven million dollar investment in the property
building a new lumber yard, warehouse and offices which opened in 2013
Abington Zoning By-
Law
Plan It Forward for Jobs and Tax RevenueContact Information
Pam Sherrill, AICP, Johnston RI Town Planner(401) 231-4000 x4021, [email protected]
Mark D. Waterhouse, Garnet Consulting Services(860) 379-7449, [email protected]
Scott A. Gibbs, Economic Development Foundation of RI(401) 658-1050, [email protected]
Bruce Hughes, Old Colony Planning Council(508) 583-1833 Ext.203, [email protected]