What is Economic Development?

1. What is Economic Development? Lee Lewellen – CEO, Indiana Economic Development Association

2. The IEDA defines economic development as the facilitation of investment that leads to long-term community prosperity.

3. The IEDA defines economic development as the facilitation of investment that leads to long-term community prosperity.

4. The IEDA defines economic development as the facilitation of investment that leads to long-term community prosperity.

5. The IEDA defines economic development as the facilitation of investment that leads to long-term community prosperity.

6. The IEDA defines economic development as the facilitation of investment that leads to long-term community prosperity.

7. The IEDA defines economic development as the facilitation of investment that leads to long-term community prosperity.

8. The most commonly identified goal of economic development:

9. The most commonly identified goal of economic development: Jobs

10. The most commonly identified goal of economic development: Jobs Tax Base

11. Not all jobs and tax base are created equal….

12. Ed Morrison – Purdue Center for Regional Development Three kinds of money in the local economy: Bad money Neutral money Good Money

13. 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

14. 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

15. 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

16. 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

17. Traditional, ‘industrial’ development Cheap land

18. Traditional, ‘industrial’ development Cheap land Available and cheap infrastructure (water, sewer, electric, roads, railroad, etc.)

19. Traditional, ‘industrial’ development Cheap land Available and cheap infrastructure (water, sewer, electric, roads, railroad, etc.) Cheap and ignorant workforce

20. Richard Florida Rise of the Creative Class, 2002

21. ‘Creatives’ choose where they want to live first, then secure a job….

22. 21st Century Economic Development versus 20th Century ‘Industrial’ Development Workforce – Talent – is often the number 1 consideration for relocating companies

23. 21st Century Economic Development versus 20th Century ‘Industrial’ Development Workforce – Talent – is often the number 1 consideration for relocating companies ‘Place’ matters

24. 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

25. 21st Century Economic Development versus 20th Century ‘Industrial’ Development Communities are exploring locally-based entrepreneurship as part of a larger economic development strategy

26. 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

27. 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

28. Asset Based Economic Development Existing industry – + suppliers, customers

29. Asset Based Economic Development Existing industry – + suppliers, customers Workforce – Talent

30. Asset Based Economic Development Existing industry – + suppliers, customers Workforce – Talent Educational assets – Universities, K – 12 education, career centers

31. 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

32. 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

33. Asset Based Economic Development Brown County/Nashville

34. Asset Based Economic Development Brown County/Nashville Steuben County – Northeast Indiana

35. Asset Based Economic Development Brown County/Nashville Steuben County – Northeast Indiana Central Indiana – Life sciences, advanced manufacturing, logistics

36. Asset Based Economic Development

37. Glossary of terms & acronyms IEDC – 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

38. 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.

39. Glossary of terms & acronyms Brownfields – Environmentally distressed land/property Greenfields – Previously undeveloped land and/or ag land SEF – Skills Enhancement Funds

40. Glossary of terms & acronyms SEF – 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.