Federal Metropolitan Recovery and Spending Priorities

Metropolitan Recovery and Spending Priorities

    RESEARCH AND COMMENTARY

    Save to My PortfolioSustainability and Quality Places

    Jennifer Bradley, March 02, 2009, The Brookings Institution

    Sustainability and Quality PlacesJennifer Bradley argues that sustainable growth strengthens our existing metropolitan areas, conserves fiscal and natural resources and advances our nation’s efforts to address climate change and find alternative sources of energy. She notes how President Obama's first budget advances some of these goals. Read More

    Metropolitan Recovery and Spending Priorities, American Recovery and Reinvestment Plan, Economic Mobility, Sustainable Development

    Interesting Legislative News

    Film industry tax credit passes Ohio House

    Thursday, March 5, 2009 12:09 AM EST

    By John Arthur Hutchison JHutchison@News-Herald.com

    Legislation to provide tax credits to the film industry passed the Ohio House of Representatives in Columbus.

    House Bill 6 was approved Tuesday by a 83-14 margin. The measure is sponsored by state Reps. Mark Schneider, D-Mentor, and Matt Patten, D-Strongsville.

    Schneider said the bill was the first to pass the House during this two-year session of the Ohio General Assembly.

    Under H.B. 6, filmmakers who come to Ohio would receive a refundable tax credit based on 25 percent of their eligible expenditures, Schneider said.

    The bill caps the credit at $20 million during the biennium and $5 million per production.

    Schneider said bipartisan support of the legislation was important to its success in the Ohio House.

    "The fact that it was supported by members of both sides of the aisle is an honor," he said. "It sends a message to Ohio that our General Assembly will aggressively pursue all areas to find investment and jobs for Ohioans." Read the full article

    Regionalism is in the air in Ohio

    Regionalism, one of the Restoring to Prosperity's major pillars, is receiving more attention as the economy shrinks and companies are researching new ways to streamline production and identify a work force for developing industries in the area. Not only are manufacturers across the nation interested in regionalism as a way to move their production closer to the customers which will dramatically cut costs (see Reuter's' article, "Manufacturing execs see more regional approach", Ohio and Pennsylvania counties are trying to reap its benefits as well. Counties in the two states realize that they are interconnected and have formed the Interstate Region Collaborative in order to study workforce patterns and match worker skills to the industries already there. "the Interstate Region group has received a $250,000 grant from the U.S. Department of Labor. Those funds have been used for study and development of a plan that includes such areas as trends in the five counties, industry analysis, an understanding of the local labor market and educational infrastructure." (Read the full article)

    The changing economy demands that we looks at new ways to do business in Ohio and the Interstate Region Group is the first step in doing so.

    Does Cleveland have a sensible plan to shrink?

    Interesting comments on the blog, Brewed Fresh Daily, about Cleveland and its strategic plan.

    Ed Morrison · Does Cleveland have a sensible plan to shrink?

    February 25th, 2009

    The same question arises in Detroit:

  • Commentary: Will next mayor continue Detroit’s death spiral?

    • Cleveland can look to Youngstown…where the city has developed an international reputation for confronting reality and finding opportunity.

  • Smaller is Better for Youngstown, Ohio
  • The Incredible Shrinking City

    • In regional economic development, demography defines your trajectory.

    The Greater Cleveland Partnership, some years ago, published a strategy named Cleveland on the Edge.

    But “Edge of what?”

    Responses to “Does Cleveland have a sensible plan to shrink?”

    Click here to read the responses

    Federal Policies that will effect Ohio- what can you do?

    Two weeks ago, Greater Ohio attended the Revitalizing Older Cities -Capitol Hill Summit in D.C. in order to meet with fellow activists, community organizers, civic leaders, elected officials and to explore case studies, exchange ideas, and communicate to Members of Congress the message that the overall health of our nation is measured by the health of our cities. Jennifer Vey, from the Brookings Institution gave a compelling presentation on the "Role of Federal Policy in the Rejuvenation of Older Industrial Cities" (pdf). Other topics discussed included: Water Infrastructure; Vacant/Abandoned Properties and Brownfields; Innovation; Transportation;  and Job Growth. View the presentations.

    As the federal stimulus package is distributed, it is vital that Ohioans impact federal policies in ways that give the state the greatest ability to use stimulus dollars to invest in sustainable, growth projects. Below is a list of actions that you can take to impact federal policies that effect state revitalization:

    A Federal Legislative Agenda for Revitalizing Older Cities:

    Transportation:

    • HR 5951/S 2686 Safe and Complete Streets Act of 2008 was a bill introduced last year by Representative Matsui (D-CA) and Senator Harkin (D-IA) that would ensure that all users of the transportation system, including pedestrians, bicyclists, and transit users- including children, older individuals, and individuals with disabilities- are all able to travel safely and conveniently on streets and highways. The legislation encourages the use of non-motorized transportation modes, a key factor in creating healthier, more livable cities.

    Housing:

    • Support additional federal action to stop foreclosures and to give more resources directly to cities, particularly those cities and towns struggling with foreclosures and abandoned properties prior to the most recent wave of foreclosures.
    • HR 1033/ S 584 were introduced last year by the late Representative Stephanie Tubbs Jones (D-OH) and Senator Blanche Lincoln (D-AR). Enhancing the historic rehabilitation tax credit provisions make them work better with the low-income tax credit. This will further the use of older buildings for affordable housing. This bill will create an incentive for the redevelopment of our city’s architectural treasures and stimulate housing options for less fortunate families at the same time.
    • HR 2075 and S1239 introduced last year by Representative Richard Neal (D-MA) and Senator John Rockefeller IV (D-VW) these bills would extend the New Markets Tax Credit. This tax incentive has been a very successful mechanism in channeling investment dollars to neighborhoods most in need. Past projects that utilized New Markets Tax Credit funding have provided housing choices, stimulated local economies, and significantly reinvigorated challenged communities. HR 2075 and S 1239 would reauthorize the program until 2013.

    Water Infrastructure:

    • In order to meet the water infrastructure needs of our nation, Congressman Blumenauer is proposing draft legislation to create a Water Trust Fund. The mission of this trust is to provide a deficit-neutral, consistent and fire-walled source of revenue to states to support the replacement, repair, and rehabilitation of clean and drinking water infrastructure. The overall federal government contribution to total clean water spending has shrunk from 78% in 1978 to 3% today. The GAO, the U.S. Environmental Protection Agency, the Congressional Budget Office, and the Water Infrastructure Network, have estimated that the nation faces a growing water infrastructure funding gap of between $300-50 billion between what is currently being spent and what must be spent over the next 20 years in order to upgrade our again water infrastructure.

    Vacant Properties and Brownfields:

    • Representative Tim Ryan (D-OH) is introducing The Community Regeneration, Sustainability, and Innovation Act of 2009. This bill would encourage and test innovative vacant property reclamation and urban infrastructure renewal strategies in older industrial cities and metropolitan areas with a history of severe population and job loss. This bill would address blight and decay caused by abundant brownfields and vacant properties, and would provide tools for new strategies.
    • HR 2080 creates a new tax credit to assist states and local governments to clean-up contaminated industrial lands that pose threats to public health and our local economy. Even with state incentives designed to encourage the redevelopment of brownfields, thousands of acres of brownfields remain idle. Federal incentives to bring private dollars to these problem areas would be a significant step toward patting these brownfields back into sage and productive use.

    Economic and Workforce Development:

    • S 3078 -introduced in the last Congress by Senator Susan Collins, the National Innovation and Job Creation Act of 2008 establishes in the Executive Office of the President a National Innovation Council, to be responsible for formulating and advocating for the federal government’s innovation policy. The bill requires the Council to collaborate with major statistical agencies, collect data concerning the impact on productivity of the council’s programs, and annually report to Congress on national innovation and productivity. S 3078 places the Council under the direction of a National Innovation Council Board.

    Green Jobs and Sustainable Cities:

    • Introduced by Representative Perlmutter (D-Co) last year, H.R. 6078, the Green Resources for Energy Efficient Neighborhoods Act of 2008 or the GREEN Act of 2008 set provisions concerning Housing of Urban Development (HUD) energy efficiency and conservation standards and green building standards for structures (conservation standards). The bill requires the Secretary of HUD to conduct a program to demonstrate the effectiveness of funding a portion of the costs of carrying out energy efficiency and conservation and green building measures for multi-family housing projects for which rental assistance is provided under a covered multi-family assistance program. H.R. 6078 amends the Housing and Community Development Act of 1992 to provide for credits for Fannie Mae and Freddie Mac for mortgage Association Charter Act, the Federal Home Loan Mortgage Corporation Act, and the Federal Home Loan Corporation Act, and the Federal Home Loan Bank Act to include provisions concerning energy-efficient mortgages and location efficient mortgages.

    Where are we really going with transit?

    Recently, transportation has been the topic de jour. There is constant talk about implementing mass transit in Ohio but the actual plans continuously change. Will be put transit throughout the 3-C Corridor? Will it go along I-80/90 to link Ohio with Chicago and New York City? Should we focus on light-rail for our city areas? On top of that we are dealing with fiscal constraints that make implementation/construction difficult. Should charge a higher gas tax to pay for our infrastructure, rewarding those people who drive fuel efficient cars or should we start charging a mileage tax and punish those who drive the most? For more debate on this see the TransportPolitic's posting "A Mileage Tax in Question" The conversation for transit seems convoluted and in constant flux. And, looking at a chart (see below) that was presented by Chester Jourdan, Executive Director of MORPC, Ohio has never been clear as to its policy towards transportation.

    The history of mass transit in Columbus, Ohio

    The time is now to clear up the conversation and start to move in a strategic, path. Greater Ohio's Gene Krebs argues that a sensible path to move on passenger rail construction is to look at commute sheds. High density commute sheds have the greatest need for mass transit and that is wehre we should start. Hear more of Gene's comments at WCBE's website.

    Ohio Rocks...and here is why

    The Ohio Business Development Coalition Blog met with business leaders around the state in order to compile the positive attributes of our great state. Here is what they came up with:

    Ohio Business Leaders Discuss State’s Best-Kept Secrets

    February 19th, 2009

    Over the past year-and-a-half, I’ve spoken with Ohio business leaders and executives from across the state. Each shared with me their “best-kept” Ohio secrets. From these conversations, I’ve compiled my list of Top 10 Ohio’s Best-Kept Secrets.

    1. Home. Small-town feel with all the benefits and resources of a major city. In addition, short commutes to and from work make time for you to pursue personal passions.
    2. Low cost of living. You can have more house while providing your family with a balance of culture and some of the best public and private schools around.
    3. Excellent education. From preschool to higher education, Ohio is graduating students that will lead the world in business development and innovation.
    4. Central location. It’s easy to conduct business around the state with six international airports and 600 miles within 60 percent of the U.S. population and 50 percent of the Canadian population.
    5. Industry leader. Ohio is a leader in innovation and home to many great industries – agribusiness, automotive, bioscience, logistics, manufacturing, polymers, energy and aviation, and professional/financial services.
    6. Talented workforce. Ohio offers a diverse and talented labor pool of workers in a variety of key industries.
    7. Profitable business environment. Ohio’s business environment is designed to promote business development and entrepreneurship. The state has many strong workforce training programs and innovative job-creation and worker-retention programs such as the Ohio Third Frontier Project and the EnterpriseOhio Network.
    8. Lowest cost in the Midwest. Ohio is executing tax reform to substantially lower the cost of doing business in the state – with the lowest taxes in the Midwest by 2010.
    9. Strong supply chain. A strong supply chain across numerous key industries helps improve company efficiencies and profits.
    10. You can make a difference. In Ohio, you can make a meaningful difference in your community because you are not simply a "small fish in a big pond."

    To sum it up: business leaders agree that when it comes to opportunities for business development, education, low cost of living, community impact, supply chain management and tax reform, Ohio truly is "The State of Perfect Balance."

    Manufacturing on the decline, but BioScience on the rise

    Although the outlook for Ohio and the nation has looked fairly dismal recently, there is some light on the horizon. The federal stimulus package promises to offer a boost to the state's economy, creating new industry, developing new transit structures and recreating Ohio's neighborhoods. While Ohio's share of manufacturing jobs has fallen by 8 percentage points since 1990, it appears that we are boosting our national profile as a BioScience innovator. According to Mary Vanac at MedCity News, not only has a record number of biomedical companies started up or moved to the state, primarily in Northeast Ohio, it is also helping to spur revenues, jobs and growth in other industrial sectors as it outsources work to "contract research organizations like Ricerca Biosciences in Concord Township and contract manufacturing organizations like Ben Venue Laboratoriesin Bedford." Read the full article

    Below shows the density of Bioscience Organizations throughout Ohio.

    Ohio bioscience companies, by region courtesy of BioOhio

    During these times of economic hardship, it is vital that we change the way we live, travel and do business in Ohio if we want to regain our place as one of the nation's economic powerhouses. Toward this effort, the Restoring Prosperity to Ohio initiative is keeping a watchful eye on the federal stimulus package and is making recommendations to state policies and programs that will allow Ohio's communities to revitalize and get the most bang for their buck.

    Interested in learning more?

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