November 8 Update
UPCOMING EVENTS
HAMMRC Board Meeting
Friday, November 10, 2023
10:00 a.m. in Farmington, Arkansas
City Administration Building
Open to investors, members and their guests.
Board Members, Please send a substitute/proxy if you cannot attend.
Spotlight on Judge Patrick Deakins
Using a major grant from the Walton Family Foundation, the University of Central Arkansas developed a Community Development Pipeline program. Several community leaders from Washington and Benton Counties were invited to participate in the 3-year Community Development Institute and gain access to technical support services for their community. As a graduate of the CDI program back in the 1980’s, HAMMRC staff member Wayne Mays sees the value and actively promotes the program and encouraged Northwest Arkansas leaders to apply. One successful applicant, who completed year one (7/31/23 – 8/4/23) is Washington County Judge Patrick Deakins. The Washington County government is an Investor in HAMMRC; we expect Judge Deakins’ continuing connection with CDI to provide him with the tools to support our HAMMRC members in Washington County. Read below Judge Deakins' evaluation of the program.
“The largest concept I left with from CDI is that change is inevitable. By taking input from various stakeholders, we can ensure change is moving in a positive direction for all citizens. We ignore change to our peril. The CDI presenters all had very informed backgrounds. I particularly enjoyed the speakers that had real-world, in-the-trenches experience with economic development. There were some common themes we have to appreciate. Serving the people and making our communities better is an investment of hard work and persistence, but while the work is hard, the benefits are rewarding for not only ourselves but future generations. We developed great relationships with our peers in the cohort. Having a strong, dependable network of people is essential to tackling problems. While the courses and presenters were wonderful, CDI places a large emphasis on developing your network.”
Asked about the CDI approach to economic development preparation, Deakins said, “We have to be candid and self-reflective about both who we are as an economic entity, and also about who we want to be in the future. While the basics of economic development are universal, every community has strengths and weaknesses to leverage. I think the lasting concept for me was not to pursue something that doesn’t fit into your strengths. Custom tailor your development efforts to your particular region.”
Mayor David Faulk of Prairie Grove and a Community Development Institute attendee will give his feedback in the next issue.
Want to learn about Community Development online? Take advantage of AEP/SWEPCO's development training for community leaders.
Thanks to our HAMMRC Investor AEP/SWEPCO, we have access to valuable economic development training for our community leaders. AEP/SWEPCO’s new online course, “Energizing Economic Development,” can be a valuable tool for small communities like those in our corridor; most rely on city officials or volunteers to lead their ED efforts. This high-quality, free course will fit everyone’s budget. After completing the course, which takes between 3 and 4 hours, Fayetteville Chamber of Commerce/HAMMRC staff member Wayne Mays agrees that it contains time-tested, proven steps to success. "From the 'do’s and don’ts of marketing' to a 'Business Retention and Expansion Program,' this course is on-target and provides a checklist and roadmap for new or experienced ED leaders,” Mays said.
Click the button below to access and register for the free course.
HAMMRC appreciates this timely contribution to our success. Contact Mays for more information or questions.
Change in Leadership
Dec. 31, 2023 will mark the end of the two years of service to HAMMRC as Chair of our Board of Directors by Mayor Ernie Penn of Farmington. Mayor Ernie lead his City to be the first to join HAMMRC and has set a great example of cooperation and leadership. He has truly “had a seat at the table” and has hosted representatives of medical manufacturing prospects on tours of facilities in Farmington and has mentored and encouraged other Mayors as they consider membership in our organization. His smiling face and legendary local cinnamon rolls would be missed if he wasn’t remaining on the Board and hosting our meetings occasionally. Mayor Penn will be replaced by Brian Hail of the Cherokee Nation. Brian is with Cherokee Health Services; he has already served on the HAMMRC Board for two years. Brian accompanied the HAMMRC leadership team to Washington DC and was a strong contributing member of the sub-committee that developed the Strategic Plan.
RESHORING UPDATE AND RESOURCE
Reshoring is the practice of bringing manufacturing and services back to the United States from overseas. It helps balance the trade and budget deficits, reduces unemployment by creating better jobs and promotes a skilled workforce. "Offshoring is cheaper" is a misconception that can only be changed by changing the way manufacturers think, and that is accomplished by giving manufacturers and suppliers the tools and resources to make sourcing decisions based on current and proven data. Follow this link to read the most recent information from Reshoring Initiative.
Existing Business and Industry Support
Mark S. Goodman, CEcD
Recently I wrote an article for the Fayetteville Chamber sharing all of the many reasons why taking care of our existing industry and business is just as important as “recruiting new companies”. I felt it was a timely topic as we are currently embarking on a larger industry survey at the Chamber to identify issues as they relate to workforce and training. The fact is, historically communities and local economic development leaders have placed great emphasis on industry recruitment and the allure of getting a new industry in town. Though industry attraction is a legitimate component of a community’s economic development plan, none of us can forget about the established industries already in place and the economic impact they already offer our communities and regions. Perhaps a community’s efforts in existing industry support should be the cornerstone of their overall economic development program.
What do our existing industries mean to us?
When it comes to growing an economy, economic developers focus on two things: 1) bringing new money into the community; and 2) keeping that money circulating in the community as long as possible. Our existing industries are critical to both processes, but especially the first…bringing new money into the community by selling their product outside of the community. The economic energy generated by this is all connected to the process we refer to as economic impact.
An existing industry with its employee salaries and benefits, the spending of employees’ salaries, as well as the spending of the business itself to buy products and services, generates other economic activity in the community and beyond. Those existing industry jobs and income are really responsible for supporting a number of other jobs in the community in everything from construction to manufacturing, retail/service, transportation, finance, and even government. It is not unreasonable to assume that for every 100 jobs in a community’s existing industry base, another 100 – 250 jobs in the community (and region) are directly linked! From a local government’s perspective, this economic activity equates to city revenues and fees, etc.
It is important to note that economic impact can run the other way, too. The loss of an industry will also be realized in the other sectors of the local and regional economy. Therefore, it is critical that we do everything in our power to keep our existing industries in our communities. It all starts with building relationships.
What is an existing industry program?
An existing industry program is a series of strategies focused on satisfying the needs of the industries currently in our communities, always centered on encouraging them to stay and grow. An active existing industry program reminds businesses that the community cares about them and is responsive to their needs. Working with partners in your programming, such as State and regional economic development organizations, electric (and other) utilities, community colleges, and others suggests to local industry that you are “connected” and can deliver better through these partnerships in addressing their potential needs.
As stated earlier, it starts with relationship building, but it continues with data, information, facilitation, partnerships, solutions, etc. to cultivate a lasting positive relationship. The first phase of a program is to know your companies, both by visiting with them and by gathering information about them from your partners.
What do they make?
How many people work there and where are the workers from?
Who does the company serve?
Where are their suppliers?
Where are their headquarters?
What are their utility and infrastructure needs?
Industry visits are more about information sharing and identifying needs/concerns where the dialog carries all parties to solutions and problem-solving. There are many good examples of surveys utilized by economic developers and community leaders in their formal visits with companies.
The second phase of an existing industry program is to offer the companies value-added deliverables…either directly or indirectly through statewide and regional partners. Critical deliverables include providing or facilitating the employment of technical assistance, where you are sharing data and analysis to companies that help them advance their positions.
HAMMRC and existing industry relations
An existing industry program is something we all can develop in our communities. It requires few resources to establish relationships. And delivering through partnering has many benefits. HAMMRC stands ready to assist with existing industry programming. Please call on us! Additionally, the utilities’ economic development offices are very engaged with the states’ existing industries and provide training and support. Your local community colleges are also working with existing industry, especially with workforce issues.
Something to think about…
The best industry recruitment program is a strong business retention program. If a community is actively engaged in these principles and with their partners, the existing industries in town will be the community’s best ambassadors with future prospective industries and businesses!