2009 Annual Progress Report Update

2012 ANNUALPROGRESSREPORT

COMPREHENSIVE ECONOMIC DEVELOPMENTSTRATEGY

RIVERVALLEY ECONOMIC DEVELOPMENT DISTRICT

2012 ANNUALPROGRESS REPORT UPDATE

September 30, 2011

PreparedBy:

RiverValley Regional Commission

RiverValley Economic Development District

ComprehensiveEconomicDevelopmentStrategyCommittee

TableofContents

I. EXECUTIVE SUMMARY……………….…………...…..…………….………….3

II. REGIONAL MAP……………………………………..……………………….…..5

III. ORGANIZATION ANDMANAGEMENT…………..….…………....……….…6

CEDS Strategy Committee

IV. VISION: …………..………………………………….…..…………….…...... 8

V. STATEMENTOFCONDITION………………..…………….…….…...………8

A. Overview

Job Growth
Labor Force
Unemployment Economic Distress
Weekly Wages
Per Capita Income
Economic Synopsis

Regional Trend
Population
Sales
Regional Employers - Industry

VI. GOALS…………………………………………………..…………………….24

VII. DEVELOPMENTSTRATEGY……………………...... 29

Strategic Projects…………………………………………………………30

B. Vital Task - Issues ………………………………………………………...40

MEASUREMENTS……………………………………………..……….….. 44

A. Performance Measures

B. Measurable Benchmarks

MEETINGS …….………………………………….…….………...... 48

2012

ANNUALPROGRESSREPORT

EXECUTIVESUMMARY

The2012AnnualUpdate for the Comprehensive EconomicDevelopmentStrategy(CEDS) summarizes the activities of the Region and Committee while providing an update of the area’s economic development activities and prioritizing projects. Thisreport covers the period of 2011-2012. The following summary explains the CEDS process and Strategy Committee.

A Comprehensive Economic Development Strategy (CEDS) is a five year plan that serves as the basis for the Region’s economic development efforts. The current CEDS five year plan was initially approved in September of2007. This report is the fifth annual report of the current five year plan.

According to the U. S. Department of Commerce’s Economic Development Administration (EDA), in order to be eligible for grant funding by EDA, a Comprehensive Economic Development Strategy Five Year Plan is to be in effect and a CEDS Strategy Committee operational. A CEDS Strategy Committee is required to be active and composed of public, private, educational, and governmental sectors of the economy. The CEDS and CEDS Committee are regional vehicles under the guidelines of the Economic Development Administration. The purpose of the CEDS is to have a designed program through which member communities can plan for promotion of job creation and regional economic growth and stability.

The River Valley Regional Council’s CEDS committee meets regularly, usually before regularly scheduled River Valley Regional Council meetings.Meetings specifically targeted to the CEDS discussion are held throughout the Region with four or more meetings. CEDSCommittee members continue to be active during theirappointment supporting a range of the economic development activities such as discussion of economic direction for the Region and disseminating information about funding programs or opportunities to participating municipalities and organizations.

The Committee is charged with monitoring the area economies. Regional CEDS Goals, Objectives, and Strategies are reviewed and updated as required. The Goals, Objectives and Strategies emerge from a broad based continuous planning process addressing the economic opportunities and constraints of the region. The guidelines for developing a CEDS plan are set by the U. S. Department of Commerce’s Economic Development Administration and are a prerequisite to be eligible to receive funds under most EDA programs including Public Works Program grants, the Economic Adjustment Program grants and other planning or implementation programs.

The CEDS and Regional Planning process establishes a forum to insure that regional activities are evaluated against consistent regional goals and objectives. The Fiscal Year 2012 Annual report on CEDS activities is being submitted to EDA in order to document the impact of the planning process on the region.The Regional Planning process or update is prepared by the River Valley Regional Commission’s staff.

The Region has seen economic challenges in the past year, as reflected in the Statement of Condition section of this update. The Region’s household incomes are relatively low, unemployment high, housing costs continue to rise, and the aging infrastructure demands increasing attention. The Region has been extremely fortunate to have received numerous financial aid dollars in 2011awards directed at community and economic development due to efforts of Economic Development engines of the region. The Region’s Comprehensive Economic Development Strategy Committee, Government Officials, Economic Developers and Community Developers are extremely appreciative of not only the financial assistance, but also of the cooperation and assistance of the staff of economic development agencies such as EDA.

Involved Agencies:

Chambers of Commercewithin the sixteen Counties

Development Authorities within the Counties

Industrial Development Authorities within the Counties

Joint Development Authorities within the Counties

Cities and Counties in the Region

Multiple Public and Private Agencies within the sixteen Counties

Community Developers within the Cities and Counties

Payroll Development Authorities

Educational Facilities of Higher Education in the Region

Downtown Development Authorities of the Cities

THERiverValley Regional Commission

riverVALLEY ECONOMIC DEVELOPMENTDISTRICT

Regional Map

Clay, Chattahoochee, Crisp, Dooly, Harris, Macon, Marion, Muscogee, Quitman, Randolph, Schley, Stewart, Sumter, Talbot, Taylor and WebsterCounties

2012 ANNUALUPDATE

III. ORGANIZATION ANDMANAGEMENT

The merger of the Middle Flint and LowerChattahoocheeRegionalDevelopmentCenters has been completed. Effective July 1, 2009 the new organization, River Valley Regional Commission, began serving as the Economic Development District for the sixteen (16) county region. The Council of the River Valley Regional Commission also serves as the River Valley Economic Development District in compliance with EDA guidelines.

The membership ofthe River Valley Economic Development District (RVEDD) is updated annually as member terms change. The RVEDD members represent business, labor, education, government, minorityorganizations,andcommunities throughout the Region. A CEDS committee was appointed by the Board in 2009.

The original CEDS document submitted to the US Department of Commerce’s Economic Development Administration (EDA), received formal approval from EDA in late 2007. This is the fifth annual update of the CEDS 2007 -2012 plan.

The River Valley Regional Commission provides staff support for the CEDS planning process. The staff coordinate and arrange for meetings, prepare resolutions, keep and distribute minutes of meetings, provide information to governments, to organizations, to members and the public, arrange for guest speakers, call special meetings, and provide coordination and continuity for the Committee as well as act as a liaison with the Region’s governments and economic development entities.

A. CEDS Strategy Committee

The preparation of an effective CEDS depends on the diversity and active participation of the CEDS Committee which includes public and private sector representatives from throughout the region. The CEDS Committee should represent the main economic interest of the region and must include private sector representatives as a majority of its members. The CEDS Committee was established at the beginning of the strategic planning process to provide guidance and leadership to the effort. The Committee’s role is to review reports, provide insight, feedback, participate in discussions about current needs and future direction of the Region and commit to the successful development of the Plan. Their participation is invaluable to the process.

RIVERVALLEYECONOMIC DEVELOPMENT DISTRICT

FY 2009-2012 CEDS STRATEGY COMMITTEE

Table 1: CEDS Strategy Committee

Name / Male/Female / Race / County / Public/Private Sector
Mike Speight / Male / Caucasian / Crisp / Private
David McMiller / Male / African-American / Quitman / Public
Bump Welch / Male / Caucasian / Marion / Private
Jerry “Pops” Barnes / Male / African-American / Muscogee / Public
Chip Jones / Male / Caucasian / Stewart / Private
Wally Summers / Male / Caucasian / Sumter / Private: Educational Board
Edward Lee / Male / African-American / Chattahoochee / Private
Bryson Langford / Male / Caucasian / Randolph / Private
Mary Ayers / Female / Caucasian / Taylor / Private
Carol Rutland / Female / Caucasian / Muscogee (Regional Organization) / Private
Kevin Brown / Male / African-American / Marion / Public
Andrea Brooks / Female / African American / Sumter / Public

IV. VISION

The CEDS Committee envisions a Region in which diverse and growing populations find job opportunities in a varied and thriving economic base. A full range of training and job assistance programsprovide the Region’sworkforcewiththeskills and opportunity to obtain jobs that offer a living wage and the chance to improve individual and family situations.

The committee has a vision for carefulplanning, citizen involvement, and concern for residential, environmental, and aesthetic considerations while creating an economic, social, and cultural environment that enhances the quality of life as well as respectingthe history and culture of the citizens. The process is about providing economic opportunity and sustainable growth.

STATEMENTOFCONDITION: STATE OF THE REGIONAL ECONOMY

A. Overview:

The current recession has already lasted longer than many experts had prected. Many economists are calling this a ‘jobless’ recovery because while several economic indicators are beginning to indicate the beginning of a rebound, unemployment still remains high. Governments and residents of the region are participating in budget cutbacks, layoffs, and budget saving activities. In fact, local governments may have to raise taxes and reduce spending to maintain lean services.

The local governments are noting a fall in revenues, citing falling employment levels and wage "stagnation." Low sales tax receipts are deteriorating government’s abilities to provide services and the housing market remains a menace. Many counties and cities are facing severe budget crunches which leave them in a challenged position.

The western side of the region has benefited from the growth at Ft.Benning and the KIA plant in West Point (HarrisCounty). There will be approximately 30,000 new residents arriving in the area surrounding Ft.Benning including both Georgia and Alabama in 2011 which will be both good and bad. It will be a strain on some existing resources such as education but will be very positive for the businesses in the region, especially housing.

The KIA plant has brought several suppliers to the region which will bring immediate relief to the tax base and has created needed jobs. Unfortunately some of those jobs are going to persons living outside the region who are not relocating because of difficulty in selling their homes. Also the number of suppliers in the RiverValley region is not as high as originally anticipated. While the impact for both of these projects has not been region wide, they have mitigated the impact of the recession for both Harris and MuscogeeCounties.

The U. S. Army at Fort Benning, Georgia has announced the need to acquire approximately 82,800 areas of land for development of military training facilities. The proposed sites are tentatively in StewartCounty area with consideration of alternative sites. This will impacteconomic development and the tax base for the area if the land is acquired by the military. Positive or negative impacts are yet to be determined.

REGIONAL EMPLOYMENT LEVELS

Job Growth

Job Growth: 2.3% job loss from 2009-2010

6.3% job loss from 2007-2010

With the current unemployment rates of the region soaring workers will seriously consider relocating.The region lost 3,352 jobs between 2009 and 2010 accounting for a 2.3% job loss for the period. The regional percentage rate of unemployment has grown at a significant rate during the last seven years and almost doubled since 2007. The data provided by the Georgia Department of Labor continues to document job loss in the River Valley Economic Development District.

Table 2:Regional Employment Levels

Regional
Employment
Jobs Levels / Unemployment / Labor Force / Percentage Rate
2000 / 147,772 / 7,186 / 154,985 / 4.64%
2007 / 149,972 / 8,697 / 158,669 / 5.48%
2009 / 143,852 / 15,410 / 159,115 / 9.07%
2010 / 140,500 / 16,216 / 156,716 / 10.35%