Interimreport1 January–31 March2024 Elo Mutual Pension Insurance Company
IEDC President's Guide to Economic Development in 2018
1. Jeffrey A. Finkle, CEcD
President & CEO
International Economic Development Council (IEDC)
March 2018
2. About IEDC
What is Economic Development
Why is Economic Development So
Important
Who are the Economic Development
Players
Role of the ED Practitioner
Key Issues in 2018
4. Membership organization
serving the ED profession with
5,000 + members
• Public state, regional, city and
county ED professionals
• Chambers of Commerce and
business support agencies
• Technology development
agencies
• Redevelopment authorities
• Educational Institutions
• Nonprofits
• Consultants
• Utility companies
5. 2001:
The American Economic Development
Council (AEDC) & the Council for Urban
Economic Development (CUED) merged
to form IEDC
6. • Conferences
• Professional Development & Certification
• Legislative Tracking
• Clearinghouse
• Career Services
• Newsletters and Journal
• Advisory Services & Research
7. IEDC is the world leader in
economic development
education and training
Educational opportunities
exist for professionals at
every stage of their career
8. The Economic Development Research Partners Program
– EDRP – is IEDC’s “think-tank’’
EDRP partners direct cutting-edge
research that advances the economic
development profession as a whole
Meet 4 times a year to consult and brainstorm with
peers, coordinate activities, and set the agenda
Engage in VIP networking opportunities
10. Economic Development is the
process that policy-makers and
community stakeholders use to
promote the economic well-being
of a specific locality
This entails enhancing the
wealth and the quality-of-life
within a community
11. There is no single strategy, policy or program
for successful economic development, but
efforts typically focus on:
Job creation and retention
Increasing investment
Tax base enhancement
Expansion of visitor trade
Revitalization of older areas
Engaging in strategic partnerships
Generally improving the quality-of-life
by creating wealth & opportunity
12. Business Development Issues:
Business Retention & Expansion (BRE), Marketing,
Business Attraction
Human Capital Issues:
Workforce Development and Talent Retention
Fostering Entrepreneurship:
Start-ups & Small Business Programs
Land Use Issues:
Real Estate Development & Reuse, Revitalization
Redevelopment, Neighborhood Development
Driving Innovation:
Technology-Led Dvpt., Fostering Innovation
The basic tenets of Economic Development
activities
13. Shifts and Challenges in the 21st Century
have impacted the U.S. economy
Globalization occurred and is now
juxtaposed by new rise in protection
An increase in natural & man-made
disasters and disruptions
Lack of Diversification (of a local
economy)
Economic and Social Exclusion
14. Globalization created larger more
competitive marketplace and a
riskier economy
Added competition for local
business from global sources
Increased competition between
communities for jobs, financial
assistance, foreign investment
People are more connected – and
business today is 24/7
* Over the past few years, we note a
marked increase of protectionist
measures by national governments
15. Disasters & Disruptions are severely impacting
people and the communities in which they live
Natural disasters include hurricanes across
the earthquakes, fires, floods, tornadoes
Man-made disasters include BRACs, human
safety errors, terrorist acts, transportation
disasters, and public relations fiascos
Disruption can be the loss of a major
employer, new technology, and bumps in the
economy
16. Lack of diversification and reliance on a single
industry is dangerous to communities, increasing
their vulnerability
Makes it harder to adapt to a disaster
or economic shift
Limits the ability to attract new business
Hinders opportunities to improve the quality-of- life in a
community
Inhibits innovation
17. Economic inequity is growing in
communities across the nation
Changing U.S. demographics and the
new economy heighten the need to
cope with disparities
The growing skills gap and makes it harder
for people to advance
Blight discourages investment
Providing people access to good jobs,
transportation & education is critical
18. In sum, 21st Century shifts and disruptions mean that:
Economic Developers want to build a resilient economic
base for a community & create quality jobs
Economic developers work very hard to recruit, retain,
and expand jobs in their region or community
Companies are increasingly looking “someplace else”
for a higher ROI
There is no simple way to quantify ED performance
20. Federal, State, and Local
Government
Special Authorities
Private EDOs
(e.g. business groups)
Public-Private
Partnerships
Knowledge-Based
Organizations
Neighborhood Groups &
Residents
Port Authorities &
Utilities
Financial Institutions
Economic Development Players
21. Provide funding and technical assistance
Have regulatory powers
Offer programs that focus on both rural , suburban,
and urban issues
ED Players: Federal Government
22. Department of Agriculture
Department of Commerce
*Economic Development Administration
Department of Housing and Urban Development
Small Business Administration
Department of Energy
The Key ED Players in Federal Government
23. Department of Justice
Department of Health & Human Services
Department of Defense
Federal Reserve
Department of Treasury
Federal Home Loan Banks
Department of Labor
Environmental Protection Agency
More: The Key ED Players in Federal
Government
24. States are main providers of ED through state funds and
distribution of federal dollars
Tax credits, abatements, enterprise zones, other incentives
Loan and venture funds & technical assistance for businesses
Education & Workforce Development
Transportation & Infrastructure
Trade Development
Research & Development and Innovation Support
ED Players: State Government
25. Primary initiator of ED through use of state and
federal funds with authority over:
Taxing
Zoning & Permitting
Eminent Domain
Issuing Bonds
General Obligation Bonds, General Revenue Bonds
Private activity bonds, industrial development bonds
ED Players: Local Government
26. Infrastructure
Commercial revitalization
Small business development
Tax-Increment Financing
Community Development
Business Assistance
One-Stop Shops
Façade Improvement Programs
ED Players: Local Government may
provide:
27. Organizations with a mandate to encourage
economic growth, but with no public control of
government nor formal links to government
Examples:
Chamber of Commerce
Business Advocate Groups
ED Players: Private EDOs
28. Groups which share long-term common goals
related to the social, political, and business
environment in a community
Two-types:
Unincorporated committee that performs
planning, advisory, policy, and information
dispersal functions
Non-profit, tax-exempt corporations with financing
and implementation responsibilities in addition to the
above functions
ED Players: Public/Private
Partnerships
29. Organizations which often diversify and build the
economic strength of a region with jobs and spin
off industries
Develop both knowledge and a knowledge-based workforce
Examples:
Universities & Community
Colleges
Hospitals
National Laboratories
ED Players: Knowledge-Based
Organizations
30. Community groups with location-
specific wants and needs from the
economic systems
Common Issues:
Community Jobs
Quality of Life
Diverse employment opportunities
for various skill levels
Land-values
ED Players: Neighborhood Groups
& Residents
31. Provides vital infrastructure
• This plays an integral role in economic
development decisions on the
community, local, state and federal
levels
ED Players: Port Authorities &
Utilities
32. Extends necessary financing to
businesses, neighborhoods, etc.
Types of Financial Institutions:
Banks
Bank CDCs
Community Development Financial
Institutions
Community Development Banks
Community Development Credit
Unions
Community Development Loan
Funds
ED Players: Financial Institutions
34. Provide incentives to leverage investment
Invoke enthusiasm within community for support of
initiatives
Facilitate regional collaboration and
public-private partnerships
Role of the ED Practitioner
35. The ED Practitioner is also:
An Analyst: providing quantitative and
qualitative information
A Catalyst: designing programs that
work at the local level
A Gap Filler: providing assistance when
markets and institutions cannot
An Advocate: protecting the interests
of local business and the community
37. Economic developers today are focusing on the same issues as
business and political leadership:
Loss of traditional manufacturing jobs -> rise of advance mftg
Trade Deficits
Low unemployment rates, but increased inequity
Budget Cuts (at state, county, and city levels)
Questions over Incentive Use
Sustainability and the Greening of the Economy
Workforce Development
Entrepreneurship
38. The challenge to attract and retain
business is further complicated by
the use of economic incentives to the
potential business, such as:
Tax incentives investment capital
Tailored training deals
Utility rate discounts
39. The use of community profiling tools
and database templates to measure
community assets versus other areas
is also an important item in economic
development today