The presentation provided an overview of economic development strategies and resources in Pennsylvania. It discussed the history and philosophy of economic development, highlighted recurring themes from successful economic development plans such as having a written plan and dedicated team, and outlined the various state, regional and local economic development groups and tools available in Pennsylvania. It concluded by recommending that West Chester develop an economic development plan building off the VISTA 2025 strategic plan and consider expanding the Redevelopment Authority's mission and creating an advisory team.

1. Economic Development
In West Chester
BILL RIVERS, UNIVERSITY OF PENNSYLVANIA │FELS INSTITUTE
MARCH 17, 2015

2. Goals For This Evening’s Conversation
 Provide Council an overview of economic development &
Pennsylvania’s efforts and resources in that space;
 Seek direction on next steps.

3. Overview
 History & Philosophy
 Why Economic Development?
 Recurring Themes
 Economic Development in PA
 Financial Tools
 Next Steps

4. History & Philosophy
 1930s – “Smokestack Chasing”
 1960s – Great Society - Rural
 1970s – Public-Private Partnerships (PPP) – Urban
 1980s – Entrepreneurship & Medium-size Businesses
 Today – Blend, Any, None of Above
 Community Development
Examples: Oakland, MD & Colquitt, GA

5. Economic development can encompass a wide range of ideas. It can
be as narrowly or as broadly construed as the community wants.

6. Why Economic Development?

7. Why Economic Development?

8. Why Economic Development?

9. Why Economic Development?

10. Why Economic Development?
 Promote social & physical infrastructure to attract families
 Create/maintain diverse local economy via sustainable development
 Increase commercial & industrial tax base

11. Costs
 Rule of thumb: employment multipliers rarely exceed 3.0 at state level and 2.5 at
local level
 New growth can also bring new costs (expanded public services)
 Need to assess economic impact and direct cost PLUS cost of supporting
resulting growth

12. Recurring Themes
 Comprehensive, written plan
 Dedicated group
 Cooperation with other actors
 Emphasis on businesses retention
 Emphasis on qualified workforce
 Emphasis on timely permit approval
 Emphasis on walkability of community
 Consistent brand

15. Recurring Themes (Bad Plans)
 Lack of diversification, over-emphasis on one tool (ex. tax abatements)
 Incongruity with other efforts (other governments, agencies, groups)
 Going big, overlooking small (research suggests bike paths > big visible projects)
 Lack of awareness of regional market trends

16. Research suggests a written plan and a team devoted to
it are key. Ad hoc activities seem less successful.

17. Economic Development in PA
 No single master plan
 “Keystone Principles” established 2005
 Plethora of state, regional, county & local resources
 80 + local authorities/development councils
 Diversifying, leveraging each level’s resources is key

18. Keystone Principles
 Redevelop First
 Efficient Infrastructure
 Concentrate Development
 Increase Job Opportunities
 Foster Sustainable Business
 Enhance Environment
 Restore Heritage
 Expand Housing
 Plan Regionally, Implement Locally
 Be Fair

19. Sampling of Economic Development Groups
STATE
Dept. of Community & Economic Development (DCED)
Team PA Foundation
Industrial Resource Centers (IRC) Network
PA Economic Development Association (PEDA)
REGIONAL
Delaware Valley Regional Planning Commission (DVRPC)
Select Greater Philadelphia
Ben Franklin Technology Partners
Small Business Development Centers (SBDC)
COUNTY
Chester County Economic Development Council
Chester County Dept. of Community Development
Chester County Chamber of Business and Industry
Chester County Planning Commission

20. Economic Development in PA (cont’d)
 Dept. of Community and Economic Development (DCED)
 Governor’s Action Teams
 Partnerships for Regional Economic Performance (PREP)
 Chester County Planning Commission
 Landscapes2
 Chester County Economic Development Council (CCEDC)
 VISTA 2025
 Tax-Exempt Financing

21. Summary of VISTA 2025
 Quality of place (includes urban-area emphasis for boroughs)
 Attracting a skilled workforce
 Business attraction & retention (targeted industry clusters)
 Innovation culture
 Critical infrastructure

22. VISTA 2025 Borough-Specific Examples
 Maintain/enhance bike paths, walkable downtowns
 Build/expand industry cluster partnerships:
 BioPharma/Life Sciences
 Advanced Manufacturing
 Optics/Lasers
 IT/Information Systems
 Promote locally-grown products, food co-ops

23. Financial Tools
 Local Economic Revitalization Tax Assistance (LERTA)
 Tax Increment Financing
 Community Development Block Grants
 See memo for more comprehensive list

24. Next Steps
 Request manager outline a borough economic development
planning process
 Consider strategic visioning exercise (ex., Chester County Economic
Development Council, DCED, etc.)
 Explore VISTA 2025 as basis for an economic development plan
 Evaluate efficacy of expanding RDA’s mission
 Consider creating an economic development advisory team

25. References
• Richard D. Bingham, Robert Mier. “Theories of Local Economic Development: Perspectives from Across the Disciplines.”
Sage Publications, Inc. 1993.
• Will Lamb. Small Towns, BIG IDEAS: Case Studies in Small Town Community Economic Development. UNC School of
Government. N.C. Rural Economic Development Center. 2008.
• Mildred E. Warner and Lingwen Zheng. Business Incentive Adoption in the Recession. Economic Development Quarterly,
May 2013.
• Planning for Economic Development. Municipal Research and Services Center (Washington State). Jan 29, 2015.
• Economic Development, Landscapes2 Tool Kit. Chester County Planning Commission.
• One City’s Response To Difficult Economic Times. By Paul Cawley. Government Finance Review, July 2009.
• Jonathan Q. Morgan. Analyzing the Benefits and Costs of Economic Development Projects. Community and Economic
Development Bulletin. UNC School of Government. April 2010.

26. References (Cont’d)
• The Economic Importance of Families with Children. By Mildred Warner and Rebecca Baran-Rees, Cornell University
March 2012
• Lino, M. 2010. “Expenditures on Children by Families, 2009.” Misc. Pub. No. 1528-2009. Washington, DC: U.S.
Department of Agriculture, Center for Nutrition Policy and Promotion.
• Florida, R., Mellander, C., & Stolarick, K. (2011a). Beautiful places, the role of perceived aesthetic beauty in community
satisfaction. Regional Studies, 45(1), 33-48.
• Richard Florida. The Creative Class and Economic Development. Economic Development Quarterly. July 2014.
• Full text of Governor Tom Wolf’s budget speech. ABC News. March 3, 2015.
• GFOA Best Practices: Coordinating Economic Development and Capital Planning.
• Don McEachern. “Community Branding: Beyond a Logo and a Line” (ICMA). North Star Communication Strategies. 2011.

27. Economic Development
In West Chester
BILL RIVERS, UNIVERSITY OF PENNSYLVANIA │FELS INSTITUTE
MARCH 17, 2015
WRIV@SAS.UPENN.EDU