Community Discovery Input Sessions Bellows Falls – Tuesday, April 23 Wilmington – Wednesday, April 24 Londonderry – Wednesday, April 24 Brattleboro – Thursday, April.
Download ReportTranscript Community Discovery Input Sessions Bellows Falls – Tuesday, April 23 Wilmington – Wednesday, April 24 Londonderry – Wednesday, April 24 Brattleboro – Thursday, April.
Community Discovery Input Sessions Bellows Falls – Tuesday, April 23 Wilmington – Wednesday, April 24 Londonderry – Wednesday, April 24 Brattleboro – Thursday, April 25 Frank Knott – [email protected] Mark Madsen – [email protected] Jim Haguewood – [email protected] —1— © 2013 ViTAL Economy, Inc. Community Discovery Input Agenda 15 Mins. – Meet and Greet 5 Mins. – Welcome & Introductions 15 Mins. – SeVEDS Overview and Facilitated Q & A – Your comments 15 Mins. – Community & Regional Economics 101 – How our economy functions 10 Mins. – Facilitated Q & A – Your comments 20 Mins. – Regional Profile Summary and Key Implications for the Future 20 Mins. – Facilitated Q & A – Your comments 10 Mins. – BREAK 10 Mins. – Exploration & Discussion of Issues of Challenge and Opportunity 5 Mins. – Facilitated Q & A – Your Comments 20 Mins. – What Does Quality of Place Mean in the Context of a Healthy SeVEDS Economy? 15 Mins. – 5 Mins. – Facilitated Q & A – Your Comments Going Forward - CEDS over the Next Nine Months Why your involvement and that of others is important March - Regional community input meetings and focus group interviews May - Regional feedback meetings and potential 2nd round focus group interviews June-August - Connect Milestone Analysis and CEDS report preparation September - Celebration of CEDS at Town Hall Meeting September-October - CEDS Public Comment Period November - Submit final CEDS to EDA —2— © 2013 ViTAL Economy, Inc. SeVEDS Leadership Board David Alstadt Windham Workforce Investment Board Bill Colvin Bennington Regional Commission Tim Cullenen Town of Rockingham – Village of Bellows Falls Colby Dix Vermont Geeks Jill James Chroma Martin Langeveld Strolling of the Heifers Jeff Lewis Brattleboro Development and Credit Corp Susan McMahon Windham Regional Commission Patrick Moreland Town of Brattleboro Stephan Morse Retired Adam Grinold Mt. Snow Valley Chamber of Commerce Jenna Pugliese Stratton Mountain Resort Drew Richards Richards Insurance Barb Sondag Town of Brattleboro Julia Sorensen Brattleboro Retreat Bob Stevens Stevens and Associates Lisa Sullivan Bartleby's Books Dan Yates Brattleboro Savings & Loan Laura Sibilia BDCC SeVEDS Project Director —3— © 2013 ViTAL Economy, Inc. SeVEDS Addition CEDS Committee Members Rachel Selsky Camoin Associates Stephanie Huestis Peoples Bank Andy Robinson Department of Labor Bill Anton Dover School Principal Chris Moore Attorney in Bellows Falls Connie Snow Windham Windsor Housing Dutch Walsh Town of Rockingham Gail Nunziata Latchis Roger Albee former VT Secretary of Agriculture, VT Technical College Oliver Olsen Oracle —4— © 2013 ViTAL Economy, Inc. Community Discovery Input Agenda 15 Mins. – 5 Mins. – Meet and Greet Welcome & Introductions 15 Mins. – SeVEDS Overview and Facilitated Q & A – Your comments 15 Mins. – Community & Regional Economics 101 – How our economy functions 10 Mins. – Facilitated Q & A – Your comments 20 Mins. – Regional Profile Summary and Key Implications for the Future 20 Mins. – Facilitated Q & A – Your comments 10 Mins. – BREAK 10 Mins. – Exploration & Discussion of Issues of Challenge and Opportunity 5 Mins. – Facilitated Q & A – Your Comments 20 Mins. – What Does Quality of Place Mean in the Context of a Healthy SeVEDS Economy? 15 Mins. – 5 Mins. – Facilitated Q & A – Your Comments Going Forward - CEDS over the Next Nine Months Why your involvement and that of others is important March - Regional community input meetings and focus group interviews May - Regional feedback meetings and potential 2nd round focus group interviews June-August - Connect Milestone Analysis and CEDS report preparation September - Celebration of CEDS at Town Hall Meeting September-October - CEDS Public Comment Period November - Submit final CEDS to EDA —5— © 2013 ViTAL Economy, Inc. SeVEDS Mission Statement SeVEDS exists to reverse the economic decline of this region Allowing the stagnant economic and demographic trends that have persisted over the last decade to continue in southeastern Vermont threatens the Vermont Brand and post card perfect perception of our quality of place. It is time to stick a stake in the ground and say “enough is enough” and develop strategies and actions based on our assets to reverse those trends. —6— © 2013 ViTAL Economy, Inc. SeVEDS Shared Sense of Urgency Low wages, a rising cost of living and limited job opportunities create a disconnect between the skills needed by employers and the skills held by the workforce. This leads to a widely shared sense of economic insecurity resulting in many Vermonters looking for economic opportunity elsewhere, and few choosing Vermont as a place to live and conduct business. —7— © 2013 ViTAL Economy, Inc. SeVEDS Vision Southeastern Vermont will have an economy that generates long-term growth and prosperity and that improves our quality of life and sustains our quality of place. —8— © 2013 ViTAL Economy, Inc. SeVEDS 2017 Objectives (Goals) 1. Create Operational and Fiscal Sustainability Plan for SeVEDS by December 2011 2. Improve Wage Parity with Surrounding Labor-shed 3. Increase the Size and Quality of the Workforce 4. Increase population proportion of 25-44 year olds from 23% to 28% of total population by 2017 5. Create an Entrepreneurial Environment —9— © 2013 ViTAL Economy, Inc. Projected SeVEDS Region 2017 Goals and Outcomes as of 2010 Note: Baseline and Goals based on 2009 U.S. BEA Data & Estimates Base SeVEDS Region Metrics Baseline* 2017 Goal %Change Total Change Population 42,605 42,605 0% - Employable Population (16 and older) 35,520* 36,171 +1.8% +651 65%* 68.8% +5.8% - Total Employed 23,089* 24,894 +7.8% +1,805 Average Wage $38,820 $39,848 +2.6% +$1,028/yr Total Region Wages $896M $992M +10.7% $96M Regional GDP $2.37B $2.8B +18.1% $430M Baseline 2017 Goal Change .566 .650 +14.1% Increase Median Annual Income for Associates/Some College workforce $26,855 $32,000 +19.1% Increase Median Annual Income for Bachelors Degree workforce $32,518 $39,000 +19.9% Increase 20-44 employment by 20% in five years (2009 data) 10,691 12,829 20% +2,138 Increase Associates Degrees/Some College and Technical Certificates among 18-24 age bracket 38% (1,495) 47% (1,884) +23.6% +389 9,533 11,439 20% +1,906 Labor Participation Rate Regional Strategic Metrics Ratio Net Earned Income/Total Income Increase the 25-44 age population by 20% in five years * Base Line data is as of Spring 2010 — 10 — © 2013 ViTAL Economy, Inc. +$5.145/yr ($2.47/hr) +$6,482/yr ($3.12/hr) Your thoughts or Questions • Your ideas or questions…. — 11 — © 2013 ViTAL Economy, Inc. Community Discovery Input Agenda 15 Mins. – Meet and Greet 5 Mins. – Welcome & Introductions 15 Mins. – SeVEDS Overview and Facilitated Q & A – Your comments 15 Mins. – Community & Regional Economics 101 – How our economy functions 10 Mins. – Facilitated Q & A – Your comments 20 Mins. – Regional Profile Summary and Key Implications for the Future 20 Mins. – Facilitated Q & A – Your comments 10 Mins. – BREAK 10 Mins. – Exploration & Discussion of Issues of Challenge and Opportunity 5 Mins. – Facilitated Q & A – Your Comments 20 Mins. – What Does Quality of Place Mean in the Context of a Healthy SeVEDS Economy? 15 Mins. – 5 Mins. – Facilitated Q & A – Your Comments Going Forward - CEDS over the Next Nine Months Why your involvement and that of others is important March - Regional community input meetings and focus group interviews May - Regional feedback meetings and potential 2nd round focus group interviews June-August - Connect Milestone Analysis and CEDS report preparation September - Celebration of CEDS at Town Hall Meeting September-October - CEDS Public Comment Period November - Submit final CEDS to EDA — 12 — © 2013 ViTAL Economy, Inc. Balanced S.M.A.R.T. CEDS Approach Industry Sectors SeVEDS Five Year Regional Goals Technology Driven Precision Manufacturing Ratio of Net Earned income To Total Income ↑ .566 to .65 Logistics & Distribution Increase Median Annual Income AS/some College to $32,000/yr. Business & IT Services Goals Inform High Quality Post Secondary Education Increase 20-44 age Employment 20% Hospitality, Retail & Tourism Increase AS/Tech Certs. For 18-24 age From 38% to 47% Healthcare Strategic Components CEDS Planning Business Retention & Expansion Business Recruitment Business Incubation Leadership Training — 13 — © 2013 ViTAL Economy, Inc. Increase Median Annual Income Bachelors Degree to $39,000/yr. Increase Pop of 25-44 age by 20% P→C Builds ROI Rationale for Regional Collaboration P C P=Producer & C=Customer Friction is the cost of getting from P to C C P Move Up the Value Chain, Capture Greater Share of Value Chain Margins, Increase Economic Prosperity — 14 — © 2013 ViTAL Economy, Inc. Regional Economic Swimming Pool CONSUMER SERVICES SECTOR activities that directly and indirectly address the consumption demands of the local residents EXPORT ACTIVITIES* bring money into the region by selling goods and/or IMPORT ACTIVITIES services of value and importance to bring in goods and services to national or international markets serve the needs and desires of the community; but capital flows out *the only source of new capital that the region can use to pay for goods and services to meet its needs and desires SE Vermont Economy $$$ Investment Attraction Keeps Filling The Pool (Economy) with More Water (Capital) — 15 — © 2013 ViTAL Economy, Inc. Why Does SeVEDS Want To Do A CEDS ? • Provides more clarity for the initial SeVEDS strategies • Educates community to be more engaged and take ownership of CEDS • Proven process for building and galvanizing public support • Develops a valid implementation plan for the SeVEDS strategy • Increases public & private sector networking to achieve more opportunity • Creates a common and consistent economic development message • Enables strategy integration with Windham Regional Plan & beyond • Connects public works projects to priority economic development projects • Facilitate discussion of need for an organized system of redevelopment • Provides planning mechanism for a post VY economy — 16 — © 2013 ViTAL Economy, Inc. We are Building a S.M.A.R.T. CEDS to Increase Opportunity Specific Measurable Achievable Relevant Time Based — 17 — © 2013 ViTAL Economy, Inc. Keys to Regional S.M.A.R.T. CEDS Development & Implementation 1. Process – Based on Best Practices for Regional CED & Collaboration 2. Regional Focus – Enables regions to compete against country strategies 3. Asset-Based – Indigenous assets grow more durable economies 4. Diversified – Makes for a more nimble & resilient economy! 5. Measurable Strategy – Responsive to trends…relevant to region 6. Disciplined & Consistent – All ideas are not equal…priorities matter — 18 — © 2013 ViTAL Economy, Inc. S.M.A.R.T. CEDS Create and Retain Wealth To Build Prosperity Wealth Creation Wealth Retention Increase Exports Increase Value Adding Capture Value Chains Reduce Leakage Investment Attraction Recapture Value in Waste Streams Prosperity Productivity Innovation in Education Technology Innovation — 19 — © 2013 ViTAL Economy, Inc. Innovation in Organizations S.M.A.R.T. CEDS Will Increase Economic Opportunity Within 5 Yrs: Now: Collaboration builds critical mass and creates a climate of unlimited economic opportunity! — 20 — © 2013 ViTAL Economy, Inc. Your thoughts or Questions • Your ideas or questions…. — 21 — © 2013 ViTAL Economy, Inc. Your thoughts or Questions • Your ideas or questions…. — 22 — © 2013 ViTAL Economy, Inc. Community Discovery Input Agenda 15 Mins. – Meet and Greet 5 Mins. – Welcome & Introductions 15 Mins. – SeVEDS Overview and Facilitated Q & A – Your comments 15 Mins. – Community & Regional Economics 101 – How our economy functions 10 Mins. – Facilitated Q & A – Your comments 20 Mins. – Regional Profile Summary and Key Implications for the Future 20 Mins. – Facilitated Q & A – Your comments 10 Mins. – BREAK 10 Mins. – Exploration & Discussion of Issues of Challenge and Opportunity 5 Mins. – Facilitated Q & A – Your Comments 20 Mins. – What Does Quality of Place Mean in the Context of a Healthy SeVEDS Economy? 15 Mins. – 5 Mins. – Facilitated Q & A – Your Comments Going Forward - CEDS over the Next Nine Months Why your involvement and that of others is important March - Regional community input meetings and focus group interviews May - Regional feedback meetings and potential 2nd round focus group interviews June-August - Connect Milestone Analysis and CEDS report preparation September - Celebration of CEDS at Town Hall Meeting September-October - CEDS Public Comment Period November - Submit final CEDS to EDA — 23 — © 2013 ViTAL Economy, Inc. Updating the SeVEDS Regional Profile The profile of a region consists not just of data, but also the influences of events, people, perceptions, and attitudes. The following pages provide a high level summary of the Economic Profile of the SeVEDS region as reflected in Quantitative Statistics. Raw data however is not the only story – • On the night of April 18. 2011 a devastating fire swept through the iconic Brooks House in downtown Brattleboro • Four months later at the close of August Hurricane Irene hit with torrential rains with wide-spread and record level flooding causing significant destruction to homes and businesses and massive devastation to critical infrastructure. • Vermont and in particular Southeastern Vermont must continue to plan for a Post-VY reality with the loss of hundreds of high wage jobs and of economic impacts upon the region. • Perceptions and attitudes about what constitutes appropriate economic development and growth are not universally shared in Vermont and in particular Southeastern Vermont. Many people have expressed a preference for no economic growth. • With the release of the 2010 Census – it has become starkly apparent that projecting population trends for Southeast Vermont defies trend analysis and further confirms the stagnant nature of the regional economy. • One thing that is clear is that Windham County is aging faster than almost any other county in Northern New England or the U.S. — 24 — © 2013 ViTAL Economy, Inc. Perceptions of Vermont Economic Performance In February 2011, Dr. Michael Porter from Harvard Business School presented a report to the National Governor’s Association Winter Meeting at the request of Governor Peter Shumlin. The opening page of that report gave Vermont the following ratings relative to the rest of the United States in terms of rank or position and whether the trend was improving or declining: Source: Vermont Competitiveness: State and Cluster Economic Performance, Porter, Michael E., Harvard Business School, paper presented at National Governors Association Winter Meeting, February 26, 2011 — 25 — © 2013 ViTAL Economy, Inc. 2010 U.S. Census – Windham County Demographic Makeup US Windham 16% 13% 20% 8% 34% 22% Under 18 yrs 18 to 24 yrs 25 to 44 yrs 45 to 64 yrs over 65 yrs 24% 26% 10% 27% Median Age Windham Vermont Maine Mass. US 1990 34.6 33.0 33.9 33.5 32.9 2000 40.0 37.7 38.6 36.6 35.3 2010 44.9 41.5 42.7 39.1 36.8 As of the 2010 Census, 46,720 people called SE Vermont home, with 44,513 in Windham County. This is a ten-year increase of only 0.6 %. Our population is aging faster than the rest of the nation. Source: U.S. Census Bureau. — 26 — © 2013 ViTAL Economy, Inc. Source: Census Bureau 2010, 2012 Windham County Percentage Change in Demographic Makeup • Age groups entering the working population (late teens and early twenties) are small • Significant decrease in prime workforce and childbearing ages • Continual decline in the number of school-aged children since 1990’s (% Change 1990-2000 and % Change 2000-2010) Over 65 +32..87% +14.44% 45 to 65 +94.9% +55.8% -14.0% -14.3% -0.84% 0 5,000 Source: Census Bureau 2010, 2012 — 27 — © 2013 ViTAL Economy, Inc. 2010 2000 1990 -26.8% 20 to 44 • Significant increase in the population of those people approaching retirement age Windham County Changing Demographics under 20 • In the 2010 Census, Maine and Vermont ranked #1 and #2 as the oldest states. and Windham County is aging faster than Maine and Vermont. 10,000 15,000 20,000 Job Creation has been stagnant since early 1990s Components of Windham County Employment Change, 1970 - 2011 1970 1980 1990 2000 2010 2011 18,144 23,256 28,951 33,306 33,474 33,337 Wage and Salary Jobs 15,876 18,929 23,316 25,890 24,040 24,036 Number of Proprietors 2,268 4,327 5,635 7,416 9,434 9,301 Wage and Salary Jobs 87.5% 81.4% 80.5% 77.7% 71.8% 72.1% Number of Proprietors 12.5% 18.6% 19.5% 22.3% 28.2% 27.9% Total Employment Percent of Total • Between 1995 to 2011 wage and salary employment has been stagnant, after increasing during the twenty years from 1970 to 1990. Employment and Self-Employment Windham County 30000 25000 20000 15000 • Self-employment has shown steady increases over the last forty years. 10000 5000 0 1970 1980 Wage and Salary Jobs Source: BEA, US Census — 28 — © 2013 ViTAL Economy, Inc. 1990 2000 Number of Proprietors 2010 Non-Labor related income is driving Real Per Capita Income growth Real Dollars 2010 = 100 1970 1980 1990 2000 2010 2011 Real Average Earnings Per Job $ 36,682 $ 31,084 $ 35,481 $ 38,386 $ 37,061 $ 36,657 Real Per Capital Income $ 20,755 $ 23,822 $ 30,286 $ 36,543 $ 39,475 $ 39,232 Windham County Average Earnings Per Job & Per Capita Incomes 1970 - 2011 $45,000 • From 1970 to 2011, Per Capita Income grew from $20,755 to $39,232, in real terms, an 89% increase $40,000 Real Dollars 2010 = 100 • From 1970 to 2011, Average Earning per Job fell from $36,682 to $36,657, in real terms, a drop of $25 $35,000 $30,000 $25,000 $20,000 $15,000 $10,000 $5,000 $1970 1980 Real Average Earning (all Jobs) — 29 — © 2013 ViTAL Economy, Inc. 1990 2000 Real Per Capita Income 2010 = 100 2010 Sources of Personal Income (2011) Div. Int. & Rent declined by 1.5% since 2009 Windham 2011 1.1% Improvement since 2009 Transfer payments rose by .4 % from 2009 VT 2011 Windham County still lags behind the US and Vermont in percentage of Private Sector Earned Income. • Significantly higher proportion of income from Transfer Payments • Significantly higher share of income received from Dividends, Interest & Rents Source: BEA 2009 & VE Analysis © 2013 ViTAL Economy, Inc. US 2011 — 30 — Negative Net Cross-County Commuting Flows 2010 millions of $ Windham Cross-County Earnings Cross-County Commuting Flows Total Personal Income Inflow of Earnings Outflow of Earnings Net Residential Adustment (inflow-Outflow Percent of Total Net Residential Share of Toal Personal Income Employed in Windham County Employed in Windham County but Living Outside Employed and Living in Windham County Living in Windham County Living in Windham County but Employed Outside Living and Employed Windham County Net Labor Inflow Percent of Total $1,811,582 202,223 294,525 -92,302 -5.1% Count 21,933 8,868 13,065 19,793 6,728 13,065 2,140 Share 40.4% 59.6% 34.0% 66.0% 9.8% Inflow of Earning comes from people who work outside the county but bring money home. Outflow of Earnings are the gross earnings of people who work in the county but reside elsewhere. Negative Residential Adjustment indicates a net outflow of approximately 5.1 % of total regional earnings. The region is a Net Importer of Labor with surrounding counties contributing 9.8% of total workforce. — 31 — © 2013 ViTAL Economy, Inc. SE Vermont Strategic Location From Brattleboro Miles Time by car Albany, NY 80 2 hrs. Boston, MA 116 2 hrs. 25 min. Burlington, VT 151 2 hrs. 30 min. Hartford, CT 85 1 hr. 25 min. Montreal 393 4 hrs. NYC 205 3 hrs. 40 min. Providence, RI 137 2 hrs. 20 min. SeVEDS is at the center of major NNE and Canadian Population Centers. The existing affinity for the region presents opportunities for economic growth, that should be leveraged beyond tourism & second home ownership. — 32 — © 2013 ViTAL Economy, Inc. SE Vermont Labor Shed The economy of SE Vermont must be viewed in the context of the broader functional Labor Shed. This labor shed transcends State, County, BDCC, WRPC and other planning boundaries. So the question becomes – How will the SeVEDS region interact with the broader region to share assets and collaborate to discover new opportunities and increase the economic vitality and resiliency of the region? Source: WRPC Regional Profile — 33 — © 2013 ViTAL Economy, Inc. Average Wage Comparisons (2011) 2011 Average Annual Wages $70,000 $60,000 $50,000 $40,000 $30,000 $20,000 $10,000 $Windham Windham Average Annual Wage $ 37,880 $ % of Windham County VT VT 40,293 $ 106% ME MA NH US ME MA NH US 38,020 $ 59,671 $ 47,281 $ 48,043 100% 158% 125% 127% Wages and Salaries are a function of skills, productivity, and supply/demand forces as well as the structural make-up of the regional economy. SE Vermont average wage comparison with neighboring States reveals that the region is at a significant disadvantage in attracting and retaining a skilled workforce due its lower average wage. Source: BLS, QCEW 02/2013 — 34 — © 2013 ViTAL Economy, Inc. Median Earnings by Educational Attainment $60,000 2009 Median Annual Earnings $55,000 $50,000 $45,000 $40,000 $35,000 $30,000 $25,000 $20,000 $15,000 $10,000 WINDHAM VERMONT Cheshire, NH Sullivan, NH Franklin, MA Hampshire, MA No HS Diploma HS Graduate $21,269 $20,698 $24,866 $21,654 $21,604 $23,505 $27,327 $27,231 $30,452 $28,480 $31,254 $31,703 Some College or Assoc Degree $26,855 $31,374 $31,653 $32,972 $34,869 $35,248 Bachelor's Degree Grad or Prof Degree $32,518 $38,837 $39,857 $42,523 $38,024 $42,480 $42,316 $50,090 $53,647 $52,721 $47,570 $55,568 Median Earnings by Educational Attainment shows the dramatic impact of job loss on wages in SeVEDS. College grads earn 18% more in Cheshire County, NH and 23% more in Hampshire County, MA. Source: US Census Bureau © 2013 ViTAL Economy, Inc. — 35 — Vermont Economic Performance Lags New England and US Vermont GDP US Real GDP Growth Rate 2.4% 85,000 Gross Domestic Product, Per Capita 2012 WY 75,000 65,000 AK DE Per Capita US GDP $49,670 2012 Estimated Per Capita GDP $44,833 = 33rd out of 51 GDP Growth Rate 2.2% = 36th out of 51 ND NY MA CO WA CA IA 35,000 GDP Under-performance is impacted by five key factors: 1. Demographics 2. Declining Jobs 3. Lack of Immigration 4. Educational Attainment 5. Middle-Skill Workforce TX OF NV 49,670 PA RI NH NCUT KS WI IN Vermont OK GA TN OH MO FL MT NMKY AZ MI AL ID AR MS ME 45,000 2017 Estimated Per Capita GDP $50,000 = 39th out of 51 GDP Growth Rate 3.9% = 43rd out of 51 CT LA NJ NB MN IL VA SD MD 55,000 2011 Actual Per Capita GDP $46,167 = 32nd out of 51 GDP Growth Rate 0.5% = 39th out of 51 High and Rising Prosperity vs US HI Recent improvements in GDP still leave VT lagging WV Declining prime worker cohort in the 25-44 age group is directly related to declining jobs. This is further exacerbated by lack of immigration. MS 25,000 0.0 1.0 2.0 3.0 4.0 5.0 6.0 Real GDP Growth Rate 2012 Source: US BEA. usgovernmernrevenue.com. VE Analysis © 2013 ViTAL Economy, Inc. — 36 — 7.0 8.0 Educational Attainment and Workforce disconnects reduces the ability of the region to supply high-GDP growth, high demand middle-skill jobs. Concentration, Growth and Employment by Economic Sector Windham County Sector Location Quotient and Growth Rates + C o n c e n t r a t I o n Utilities - 473 Educational Services, Private- 1,563 Accommodations & Food Service – 2,648 Retail Trade, Staples – 1,939 Healthcare Social Services–2,816 Wholesale Trade -1,104 Metals Manufacture - 1,099 Information - 298 Highlighted industry sectors are the most significant in economic impact in Windham County as of Fall 2010 - Compound Annual Growth 2010-2015 + — 37 — © 2013 ViTAL Economy, Inc. Vermont Industry Markets ◊ SeVEDS Niche Market Sectors ♠ ♣ ♥ ♦ ◘ ◊ ◊ ♦ ♦ ♣ ♠ ◘ ♣ ♠ ♣ ♠ ♥ ♠ ♣ ♠ ♠ ♠ Source: Vermont Competitiveness: State and Cluster Economic Performance, Porter, Michael E., Harvard Business School, paper presented at National Governors Association Winter Meeting, February 26, 2011 — 38 — © 2013 ViTAL Economy, Inc. ♠ Economic Performance Comparisons – Windham County vs US Trends Relative Performance, 2010 0.9% 9.6% Employment (% change 2000-2010) 0.5% 5.1% Personal income (% change 2000-2010) 9.0% 14.0% -3.50% 2.3% 8.0% 4% Average Earnings Per Job $38,231 $53,347 Per Capita Income $40,722 $41,197 Average Annual Wages - Service Related $37,176 $46,145 Average Annual Wages - Non-Service Related $45,592 $56,169 Average Annual Wages - Government Related $37,256 $49,691 3.0% 4.9% 5.70% 8.9% Percent of Sole-Proprietor Employment 28.20% 21.7% Percent of Personal Income from Non-Earned Sources 43.30% 35.2% Percent of Service Related Jobs 69.90% 70.9% Percent of Non-Service Related Jobs Percent of Government Jobs 15.30% 9.90% 14.9% 14.2% Prosperity Per Capita Income (% change 2000-2010) Stress US Ratio of Windham to United States Population (% change 2000-2010) Average Earning per Job (% change 2000-2010) Structure Windham Unemployment Rate (% Change 2000-2011) Unemployment Rate Regional Performance Metric is Better than U.S. Regional Performance Metric Lags U.S. Sources BEA (CA05N, CA30 CA91) BLS-QCEW © 2013 ViTAL Economy, Inc. — 39 — Balanced S.M.A.R.T. CEDS Approach Industry Sectors SeVEDS Five Year Regional Goals Technology Driven Precision Manufacturing Ratio of Net Earned income To Total Income ↑ .566 to .65 Logistics & Distribution Increase Median Annual Income AS/some College to $32,000/yr. Business & IT Services Goals Inform High Quality Post Secondary Education Increase 20-44 age Employment 20% Hospitality, Retail & Tourism Increase AS/Tech Certs. For 18-24 age From 38% to 47% Healthcare Strategic Components CEDS Planning Business Retention & Expansion Business Recruitment Business Incubation Leadership Training — 40 — © 2013 ViTAL Economy, Inc. Increase Median Annual Income Bachelors Degree to $39,000/yr. Increase Pop of 25-44 age by 20% SeVEDS 2017 Objectives (Goals) 1. Create Operational and Fiscal Sustainability Plan for SeVEDS by December 2011 2. Improve Wage Parity with Surrounding Labor-shed 3. Increase the Size and Quality of the Workforce 4. Increase population proportion of 25-44 year olds from 23% to 28% of total population by 2017 5. Create an Entrepreneurial Environment — 41 — © 2013 ViTAL Economy, Inc. Projected SeVEDS Region 2017 Goals and Outcomes as of 2010 Note: Baseline and Goals based on 2009 U.S. BEA Data & Estimates Base SeVEDS Region Metrics Baseline* 2017 Goal %Change Total Change Population 42,605 42,605 0% - Employable Population (16 and older) 35,520* 36,171 +1.8% +651 65%* 68.8% +5.8% - Total Employed 23,089* 24,894 +7.8% +1,805 Average Wage $38,820 $39,848 +2.6% +$1,028/yr Total Region Wages $896M $992M +10.7% $96M Regional GDP $2.37B $2.8B +18.1% $430M Baseline 2017 Goal Change .566 .650 +14.1% Increase Median Annual Income for Associates/Some College workforce $26,855 $32,000 +19.1% Increase Median Annual Income for Bachelors Degree workforce $32,518 $39,000 +19.9% Increase 20-44 employment by 20% in five years (2009 data) 10,691 12,829 20% +2,138 Increase Associates Degrees/Some College and Technical Certificates among 18-24 age bracket 38% (1,495) 47% (1,884) +23.6% +389 9,533 11,439 20% +1,906 Labor Participation Rate Regional Strategic Metrics Ratio Net Earned Income/Total Income Increase the 25-44 age population by 20% in five years * Base Line data is as of Spring 2010 — 42 — © 2013 ViTAL Economy, Inc. +$5.145/yr ($2.47/hr) +$6,482/yr ($3.12/hr) Your thoughts – • What is this regional profile telling you about the economic future for your region? — 43 — © 2013 ViTAL Economy, Inc. Your thoughts – • What are the most important drivers of your local economy today? — 44 — © 2013 ViTAL Economy, Inc. Your thoughts – • What are the most important drivers of your local economy today? — 45 — © 2013 ViTAL Economy, Inc. Your thoughts – • What do you think are the most important challenges to your local economic future? — 46 — © 2013 ViTAL Economy, Inc. Your thoughts – • In the context of a balanced approach, what are the opportunities that can be leveraged? — 47 — © 2013 ViTAL Economy, Inc. Your thoughts – • Can your region have a vibrant economic future if current demographic trends continue? — 48 — © 2013 ViTAL Economy, Inc. Your thoughts – • Can your region have a vibrant economic future if current demographic trends continue? — 49 — © 2013 ViTAL Economy, Inc. Your thoughts – • Can your region have a vibrant economic future if current demographic trends continue? — 50 — © 2013 ViTAL Economy, Inc. Your thoughts – • What has the impact of recent natural disasters told us about the potential need for broader regional collaboration to address issues larger than one towns’ resources can address? — 51 — © 2013 ViTAL Economy, Inc. Your thoughts – • If entrepreneurship and innovation has been the driver for 90% of U.S. economic growth, what is and should be the role of entrepreneurship and innovation in your regional economy? — 52 — © 2013 ViTAL Economy, Inc. Your thoughts or Questions • Other ideas or questions…. — 53 — © 2013 ViTAL Economy, Inc. Break — 54 — © 2013 ViTAL Economy, Inc. Community Discovery Input Agenda 15 Mins. – Meet and Greet 5 Mins. – Welcome & Introductions 15 Mins. – SeVEDS Overview and Facilitated Q & A – Your comments 15 Mins. – Community & Regional Economics 101 – How our economy functions 10 Mins. – Facilitated Q & A – Your comments 20 Mins. – Regional Profile Summary and Key Implications for the Future 20 Mins. – Facilitated Q & A – Your comments 10 Mins. – BREAK 10 Mins. – Exploration & Discussion of Issues of Challenge and Opportunity 5 Mins. – Facilitated Q & A – Your Comments 20 Mins. – What Does Quality of Place Mean in the Context of a Healthy SeVEDS Economy? 15 Mins. – 5 Mins. – Facilitated Q & A – Your Comments Going Forward - CEDS over the Next Nine Months Why your involvement and that of others is important March - Regional community input meetings and focus group interviews May - Regional feedback meetings and potential 2nd round focus group interviews June-August - Connect Milestone Analysis and CEDS report preparation September - Celebration of CEDS at Town Hall Meeting September-October - CEDS Public Comment Period November - Submit final CEDS to EDA — 55 — © 2013 ViTAL Economy, Inc. Opportunities and Challenges Defined by SeVEDS in 2010 OPPORTUNITIES: 1. Vermont Brand 2. Location 3. Imminent Technology infrastructure 4. Manufacturing base 5. Educational institutions 6. Recreation 7. Cultural and Arts 8. Tourists, second home owners bringing dollars into region 9. Key tourism infrastructure 10. Access to government 11. Healthcare Infrastructure 12. Healthy and health-focused population CHALLENGES: 1. Lack of Cell Service and Broadband 2. Weak local market/economy 3. Declining workforce population 4. Taxes 5. Declining earned income 6. Finding employment – not enough jobs 7. Lack of investment capital 8. Disconnect between education and jobs 9. Capacity -- Lack of critical mass 10. Declining student enrollment 11. Qualified Workforce recruitment 12. Redevelopment capability and capacity 13. Stagnant Real Estate Market 14. Lack of Innovation and true Entrepreneurship Source: 2010-2011 SeVEDS Foundation Milestone Meeting Output from Community Leaders — 56 — © 2013 ViTAL Economy, Inc. SeVEDS Economic Issues & Implications as Defined by SeVEDS in 2010 Economic Issue Implication Low Average Wage • Limits the ability to attract and retain mid and high level skilled workers. Low Earned Income as a Proportion of Personal Income • Reduces support for a climate of innovation and risk taking central to economic growth • Income producing activity declines and so will regional rate of GDP growth Decreasing % of Population 25-44 • • • • Weak Entrepreneurial Climate • Limits the attraction of risk based business capital • Reduced attractiveness to young bright highly educated 25-44 demographic Lack of Cell and Broadband Service • 21st Century “on the go” wireless connected business & workers cannot be served • Regions develops a reputation as not enabling or meeting citizens expectations • Work and workers serving a 24/7 connected economy will not find region attractive Weak Local Economy & Local Market • Limits the attraction of new capital and investment • Not attractive to new business and services, few ROI opportunities Reduced vibrancy of the community from young personalities and activities Lower education system enrollments Reduced family spending on domestic and basic products and services Businesses cannot grow or will be forced to leave the region due to lack of workforce. — 57 — © 2013 ViTAL Economy, Inc. Assets and Gaps as Defined by SeVEDS in 2010 Economic & Community Assets Capacity Gaps • Precision Technology Driven Manufacturing • Incubators • Redevelopment System • Logistics • Workforce Development • Global presence • Broadband/Telecom • Second Homeowners • Rail • Natural Environment for Skiing and Outdoor Recreation • Post VY Planning • Concentration of Health and Mental Health Care Facilities Source: 2010 - 2011 SeVEDS Asset Mapping Meetings conducted throughout the region — 58 — © 2013 ViTAL Economy, Inc. Vermont Industry Markets ◊ SeVEDS Niche Market Sectors (See Next Page) ♠ ♣ ♥ ♦ ◘ ◊ ◊ ♦ ♦ ♣ ♠ ◘ ♣ ♠ ♣ ♠ ♥ ♠ ♣ ♠ ♠ ♠ Source: Vermont Competitiveness: State and Cluster Economic Performance, Porter, Michael E., Harvard Business School, paper presented at National Governors Association Winter Meeting, February 26, 2011 — 59 — © 2013 ViTAL Economy, Inc. ♠ SeVEDS Industry Clusters Opportunities as Defined by SeVEDS in 2010 Based on Asset Mapping, Industry Interviews, and VE Research, the following Sectors appear to present significant opportunities for SE Vermont: SE Vermont Economic Sectors Technology Driven Precision Manufacturing Business & Technology Services ♠ ♣ High Quality Post-Secondary Education Logistics & Distribution ◘ ♦ Hospitality, Retail & Tourism ◊ Healthcare ♥ Niche Markets - Optics - Medical Devices - Aerospace - Shared Services Center - Software & IT Services - Environmental Services - International Business & Culture Center of Excellence - Nursing & Medical Admin. Support Source: VE and SeVEDS Asset Mapping and Cluster Analysis — 60 — © 2013 ViTAL Economy, Inc. - Assembly & Distribution Medical Devices - Winter Sports - Mental Healthcare - Fall Foliage - NNE Hub - Arts & Cultural - Regional Health Services - Passenger Rail Gateway - Vibrant Downtown Retail Macro Economic Trends SeVEDS Region Should Consider 1. Demographics – Immigration filled 90% of the job growth over the last 15 years 2. Workforce – 2018 - 63% of jobs will require beyond high school education 3. Quality of Place – knowledge workers have a choice, 1st where to live, 2nd where to work, key to attracting and retaining young worker families 4. On Shoring & Near Shoring – 5M new jobs by 2020 5. Exports – Manufacturing exports to grow 2%-7% to Europe & Japan 6. US Manufacturing Growth – Driven by low cost energy, rising global wage rates and a reduced risk profile 7. Food Security – growing local food trends, agriculture science, healthy choices 8. Healthcare – healthy communities, extension and improved quality of life through health sciences, convergence of product innovation and system design — 61 — © 2013 ViTAL Economy, Inc. Analysis Trend data shows that the SeVEDS region has been declining as an employment hub over the past ten years. This is evidenced by the absolute decline in number of jobs in the region as well as the quality of the employment regardless of age cohort. Additional data for the labor shed that serves the SeVEDS region demonstrates that median earnings for those living outside Windham County are far more favorable than for those living in Windham County, whether in Massachusetts or New Hampshire counties. The perception of overall high educational attainment across a broad spectrum of the local populous in the region is not borne out by the data. In fact, the region is producing a much higher percentage of under-educated younger workers than Vermont or the surrounding regions under age 45. This flies in the face of increasing trends for workers with high demand skills across almost all industry sectors. The preponderance of an undereducated working age population and the inability of the region to meet workforce demand for high demand middle skill sets results in a staggering decline in the 20-45 age group, which are the primary birthing and family rearing years. This reality calls for a real focus on increasing educational attainment in the region. — 62 — © 2013 ViTAL Economy, Inc. Your thoughts or Questions • Your ideas or questions…. — 63 — © 2013 ViTAL Economy, Inc. Community Discovery Input Agenda 15 Mins. – Meet and Greet 5 Mins. – Welcome & Introductions 15 Mins. – SeVEDS Overview and Facilitated Q & A – Your comments 15 Mins. – Community & Regional Economics 101 – How our economy functions 10 Mins. – Facilitated Q & A – Your comments 20 Mins. – Regional Profile Summary and Key Implications for the Future 20 Mins. – Facilitated Q & A – Your comments 10 Mins. – BREAK 10 Mins. – Exploration & Discussion of Issues of Challenge and Opportunity 5 Mins. – Facilitated Q & A – Your Comments 20 Mins. – What Does Quality of Place Mean in the Context of a Healthy SeVEDS Economy? 15 Mins. – 5 Mins. – Facilitated Q & A – Your Comments Going Forward - CEDS over the Next Nine Months Why your involvement and that of others is important March - Regional community input meetings and focus group interviews May - Regional feedback meetings and potential 2nd round focus group interviews June-August - Connect Milestone Analysis and CEDS report preparation September - Celebration of CEDS at Town Hall Meeting September-October - CEDS Public Comment Period November - Submit final CEDS to EDA — 64 — © 2013 ViTAL Economy, Inc. Role of Quality of Place in a 21st Century Economy The changing global economy has radically altered the ways that cities and regions establish and maintain their competitive edge. Knowledge has largely replaced natural resource exploitation and the drudgery of oppressive physical labor as the source of wealth creation and economic growth. In this new era, a region’s ability to attract and retain a balanced mix of skills and talents needed for growth has become the key factor in its economic success. But attracting and retaining this talent has proven to be something of a challenge. Conventional wisdom argues that if the jobs are available, the workers will follow, but the economy today doesn’t quite follow these rules. Because the demand for talented people outstrips supply, these skilled workers can essentially choose where to live and work. When it comes to choosing where to locate, knowledge workers have definite shopping lists, and regions that seek to attract them do well to know what they want. — 65 — © 2013 ViTAL Economy, Inc. Quality of Place Strategies Prioritize Regional Assets • Views a community or region as a place with assets versus deficits, which can be preserved, enhanced and leveraged to achieve improved community and economic development outcomes. • Recognizes that needs must be addressed, but focuses on indigenous community assets as a foundation for future growth • Human Capital: Workforce, knowledge and skill assets, work ethic • Social Capital: building trust, ability to work, plan and act as a group • Physical Capital: housing, transportation, town centers, infrastructure • Financial Capital: life cycle equity and debt financing resources • Environmental Capital: land, natural resources, scenic beauty, recreation • Cultural Capital: heritage, architecture, arts and culture, performing arts • Healthy Community Capital: Education, Healthcare, Social Services, Public Safety • Builds on these assets to create a better place to live work and play • Connects these assets to regional, national and global economic opportunity — 66 — © 2013 ViTAL Economy, Inc. Quality of Place Connects KBE Assets for a More Effective CEDS • Knowledge Based Economy (KBE) versus traditional industrial economy jobs are the economic growth direction of the 21st century economy • In the traditional economy, workers moved to be near jobs. Today, companies increasingly look to move to where knowledge workers live • KBE workers are in greater demand and have the choice of being more particular about whom they work for and where they live • They often choose to live in places that provide their families a high quality of life. To some extent the job has become secondary to lifestyle amenities available in the community KBE workers choose • Quality of Place strategies deliver livable communities where community and economic development assets are equal partners for growth — 67 — © 2013 ViTAL Economy, Inc. Livable Communities Are Key to a Quality of Place Based CEDS • Livable communities all across America are increasingly popular places in which to live, work, vacation and retire. • In the 1990s, 2 million more Americans moved from metropolitan centers to rural areas than migrated the other way. Communities with natural beauty and a high quality of life are magnets for businesses, working families and retirees. • The vast majority of residents, new and old, feel a strong attachment to the landscape and the character of their town. They want a healthy economy, but not at the expense of their natural surroundings or community character. • Elected officials and residents want to find ways to preserve what they love about their communities without saying no to jobs and economic development. • Across America, there are communities that have found that economic prosperity does not demand degraded surroundings, loss of community character or becoming a congested tourist trap. • Successful communities are finding that the opposite is true: that beauty pays, that sustainable tourism provides more benefits than mass-market tourism, that retaining community character is a key to economic success, that thoughtful management of public resources and well-planned development can help prosperity occur. Source: National Geographic Center for Sustainable Destinations, Urban Land Institute and The Conservation Fund Survey — 68 — © 2013 ViTAL Economy, Inc. Quality of Life – Perceptions versus Reality This Dissonance is Significant The Growing Vermont’s Next Generation Workforce report clearly demonstrates that there is a disconnect between the perception of Vermont Quality of Place values and peoples actions SeVEDS should develop Quality of Life goals based on NGC “Values vs. Perception” indicators. Source: Growing Vermont’s Next Generation Workforce, (April 2007), Next Generation Consulting — 69 — © 2013 ViTAL Economy, Inc. Elements of Quality of Place Balance: Knowledge workers are highly mobile and essentially balance economic opportunity and lifestyle in selecting cities and regions that are attractive to them as places to live and work. Thus, challenging, high-paying, high tech jobs, while obviously necessary, are alone not enough to attract the best and the brightest. Labor Market: Knowledge workers are highly mobile and anticipate moving among various employers and thus favor cities and regions with a “thick labor market” that offers the wide variety of employment opportunities required to sustain a career in high technology fields. Amenities: Variety and accessibility of natural, recreational, and lifestyle amenities – is vital in attracting talent and thus in supporting a broad range of leading-edge high technology firms and industries. A Blend of Work and Leisure: Knowledge workers seek environments that allow them to blend rather than separate their work and leisure. Due to the long work hours, fast-pace, and tight deadlines associated with work in high technology industries, they desire amenities that blend seamlessly with work and can be accessed quickly on a “just-in-time” basis when free time becomes available. A Sense of Place: Knowledge workers increasingly prefer urban to suburban neighborhoods and seem particularly drawn to areas that feature interesting older structures, a range of public spaces, a blend of personal and commercial space, and the bustle and buzz of varied activity including work, shopping, and entertainment. They prefer the kind of authenticity and realness found in older cities and neighborhoods to the generic office complex and strip mall environment found of the “techno-burbs.” — 70 — © 2013 ViTAL Economy, Inc. Elements of Quality of Place (Cont) Active Lifestyle: Knowledge workers prefer “doing” to “watching.” They prefer to participate rather than watch sports and favor a diverse range of intense outdoor activities (rowing, sailing, cycling, rock climbing). Easy access to water and water-based recreation is particularly important. Alternative Arts and Culture: Defying traditional assumptions about what makes a region attractive, knowledge workers are less concerned with “big ticket” amenities such “high-brow” arts and culture or professional sports. Instead, they prefer a number of smaller, accessible, “street-level” opportunities to dine, dance, engage in active recreation, and soak up the local music scene. The Environment: Environment – particularly air and water quality – matters. The new economy dramatically transforms the role of the environment and natural resources. Creativity and Innovation: Diversity is not simply an individual preference related to personal lifestyle but a basic precondition for the creativity and innovation needed to build and sustain a successful high tech region. Creativity and innovation are the key success factors of the new economy, and new ideas thrive in diverse environments. In other words, being competitive requires innovation, and innovation in turn requires diversity. Educational Opportunities: The 21st Century economy is based on knowledge. Without local high quality educational opportunities, innovative and creative talent leaves a region, employer face higher training costs and employment opportunities dwindle. — 71 — © 2013 ViTAL Economy, Inc. Your thoughts – • What Quality of Place Assets are needed to retain and/or attract working families looking for the Vermont Brand and also high value work opportunities. — 72 — © 2013 ViTAL Economy, Inc. Your thoughts or Questions • Other ideas or questions…. — 73 — © 2013 ViTAL Economy, Inc. Community Discovery Input Agenda 15 Mins. – Meet and Greet 5 Mins. – Welcome & Introductions 15 Mins. – SeVEDS Overview and Facilitated Q & A – Your comments 15 Mins. – Community & Regional Economics 101 – How our economy functions 10 Mins. – Facilitated Q & A – Your comments 20 Mins. – Regional Profile Summary and Key Implications for the Future 20 Mins. – Facilitated Q & A – Your comments 10 Mins. – BREAK 10 Mins. – Exploration & Discussion of Issues of Challenge and Opportunity 5 Mins. – Facilitated Q & A – Your Comments 20 Mins. – What Does Quality of Place Mean in the Context of a Healthy SeVEDS Economy? 15 Mins. – Facilitated Q & A – Your Comments 5 Mins. – Going Forward - CEDS over the Next Nine Months Why your involvement and that of others is important March - Regional community input meetings and focus group interviews May - Regional feedback meetings and potential 2nd round focus group interviews June-August - Connect Milestone Analysis and CEDS report preparation September - Celebration of CEDS at Town Hall Meeting September-October - CEDS Public Comment Period November - Submit final CEDS to EDA — 74 — © 2013 ViTAL Economy, Inc. S.M.A.R.T. CEDS Four Milestone Process and Schedule CEDS Kick-off Event Jan Feb March 17 15 19-20 Kickoff April Town Hall Meeting May June • Existing Research • Four (4) Open Public Input Events (March) • Four (4) Community Report Back Events (May) • Issues of Challenge & Opportunity • Focus Interviews • Community Engagement Plan • Media Campaign • Begin Analysis of community input Sept Oct 19 Connect • Sense of Urgency • Economic Benchmarking & S.M.A.R.T. Goal Setting Aug 21-22 Discovery • CEDS Committee Training July • Analyze Community Input • Prioritize Strategies Report • Prepare /Review Draft CEDS • Identify & Prioritize Targeted Industry Clusters • Town Hall Meeting to open 30-day public comment period • Prioritize Critical capital project • Finalize CEDS • Identify partners • Develop Implementation Plan • Adopt CEDS • Submit CEDS to EDA • CEDS Objectives • CED Readiness Assessment To Do #3: Set Bi-Weekly SeVEDS Staff / VE Conference Call Schedule — 75 — © 2013 ViTAL Economy, Inc. SeVEDS Community Engagement Meetings Round 1 Public Engagement Events – Week of April 23-25 VE in Region 3 Days Four large open public meetings to collect public input Dates? Locations? Invitees? Focused business, academic, workforce development, non-profit sector Individual and group interviews (Round One) Planning for these events to take Dates? place with SeVEDS Staff and VE Who? following Kickoff Event in February Locations? Round 2 Public Engagement Events – Week of June 25-28 VE in Region 3 Days Four large open public meetings to report back community input Dates? Locations? Focused business, academic, workforce development, non-profit sector Individual and group interviews (Round Two as needed) Dates? Who? Locations? — 76 — © 2013 ViTAL Economy, Inc. Your thoughts or Questions • Your ideas or questions…. — 77 — © 2013 ViTAL Economy, Inc. Q&A www.vitaleconomy.com — 78 — © 2013 ViTAL Economy, Inc. Community Economic Development Kick-off February 15, 2013 Frank Knott – [email protected] Mark Madsen – [email protected] Jim Haguewood – [email protected] — 79 — © 2013 ViTAL Economy, Inc. Background — 80 — © 2013 ViTAL Economy, Inc. SE Vermont Perceptions of Quality of Place Assets Balance: Labor Market: Amenities: A Blend of Work and Leisure: A Sense of Place: Active Lifestyle: Alternative Arts and Culture: The Environment: Creativity and Innovation: Educational Opportunities: — 81 — © 2013 ViTAL Economy, Inc. 3 Keys to Economic Transformation Collaboration Builds Sufficient Critical Mass to Compete Globally, while Emerging Cluster Strategies Assure Regional growth + Connectivity Links Geographically Remote Resources to Increase Access, while Creating Opportunity, Building Diversification, Enabling Collaboration + Changed Spending Increases Productivity and Revenues Opens New Markets, Expands Opportunity, Establishes Measurable Benchmarks and Goals — 82 — © 2013 ViTAL Economy, Inc. Eight Steps for Leading Change Implementing & Sustaining Transformation 8. Make it Stick 7. Sustain the Change Engaging & Enabling the Whole Community 6. Create Short-term Wins 5. Empower Others to Act Creating a Climate for Change 4. Communicate for Buy-in 3. Define the Change Impacts 2. Create the Vision & Build the Guiding Team 1. Create a Sense of Shared Need & Urgency Based on Kotter, John P. Leading Change. Boston: Harvard Business School Press — 83 — © 2013 ViTAL Economy, Inc. Vision → Objectives → Goals → Assets → Strategies → Actions Objectives & Goal Metrics: • Increase the Average Wage and proportion of personal income from earned income • • • • Improve Wage Parity with surrounding counties (the labor shed) • ↑ Increase Median Annual Income for Associates/Some College to $32,000 • ↑ Increase Median Annual Income for Bachelors Degree to $39,000 Increase the size and quality of the workforce • ↑ Increase 20-44 employment by 20% in five years • ↑ Increase Associate Degrees/Some College and Technical Certificates among 18-24 year old age bracket from 38% to 47% Increase population proportion of 25-44 year olds • • ↑ Ratio Net Earned Income / Total Income from .566 to .65 ↑ Increase the absolute number of people in 25-44 age bracket by 20% in five years Create an entrepreneurial environment • Define and implement an Innovation Ecosystem within 3 years — 84 — © 2013 ViTAL Economy, Inc. 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You agree not to use this content for any unlawful or unauthorized purpose, or in any manner that would harm the reputation of ViTAL Economy, Inc. or its partners. You agree not to use any name, emblem, logo, or trademark of ViTAL Economy, Inc. in any manner, except in the form of attribution and copyright notice required by these Terms of Use. Copyright Notice: On any print-out, download, or copy of this content you make that does not already include a copyright notice, you agree to include a copyright notice as follows: "Copyright © 2013, ViTAL Economy, Inc. All rights reserved.” — 85 — © 2013 ViTAL Economy, Inc.