Originally published 8/19/2005 (also in Herald and Review)
Despite significant and praiseworthy efforts over the last several years, economic prosperity occurring throughout the country continues to by-pass Decatur and Macon County. Local policies in Macon County hinder our “community competitiveness” which is required to attract investment and jobs. Most economic indicators show this effect. Housing starts are less than one-third the level in competing counties. Unemployment rates are 45% percent higher than the average of the three competing counties. Our population continues a decline. We can and must do better.
Community Competitiveness & Investment
Investment is the life-blood of job growth and economic prosperity. Investment only flows into communities with local policies that nurture investment. Investment leads to jobs and improved quality of life in many ways. Investment may take the form of research facilities, new office parks or professional buildings, increased plant and equipment for manufacturers, new or rehabilitated retail locations and housing development.
Neighboring communities that offer growth oriented local policies attract investment away from others. Local policies have a direct effect on tax burden, school quality, economic development practices and government effectiveness. Within Central Illinois, neighboring communities are growing while Macon County struggles to attract investment and jobs. We can and must be more competitive as a community.
Other factors also affect investors’ choice of location. These include work force experience, environmental factors and quality of life. When investment flows into a community, these other factors improve dramatically.
“Growth Friendly” Policies & Practices
“Growth Friendly” policies and practices are the governmental actions, or regulation, that affect the ease of investing in a community. This regulation includes planning and zoning requirements, building codes, construction permits and inspection, and, coordination of economic development resources. When these policies and practices are constructive, investors can expect projects to be completed on budget and on schedule. Investment and jobs flow to “growth friendly” communities and away from non-friendly communities.
Unreasonable regulation of construction, development or other investing activity decreases return for investors and adds to uncertainty. Businesses will choose to invest where profits are highest and uncertainty is lowest. For example, California had a history of excessive regulation that contributed to a significant flight of business interests to neighboring states in the 1990’s. When governmental actions hinder construction and development the “friction” that results discourages future investments and creates a negative reputation.
Best Practices
To maximize community competitiveness, we must adopt and consistently apply “best practice” techniques to regulation of investment, construction and development. Best practices are superior techniques used in communities to enhance their economic development efforts.
In Champaign, the various economic development organizations are located in the same office space to provide a single point of contact. Rantoul established the reputation that when city leaders decide to support a project, all stakeholders in the city work together to complete it. Springfield and Bloomington have become known as easy to work with to obtain zoning variances or plan approvals. Each of these “best practices” demonstrate that the communities understand that investors and developers are “clients” and have a choice of where to invest.
We applaud the recent efforts of the City of Decatur Construction Management Team to improve certain practices effecting contractors and developers. We expect that this is the first of several improvements to the inspection processes. These process improvements demonstrate the kind of helpful attitude so important to investment and economic growth.
Promote a “Growth Friendly” Community
We encourage the City Council, City Manager and the entire economic development team in Macon County to be opportunistic with “Growth Friendly” Policies and Practices. Macon County Shared Vision will promote ideas to develop Decatur’s reputation as a "Growth Friendly" community. These ideas include:
- Assignment of a city council member as a liaison to each investment or development project in the city where more than $100,000 is being invested in a commercial or job-creating project. Initially, this may best be accomplished once a project is approved.
- Conduct a formal semi-annual survey of client/users of city planning/inspection services to measure "how we are doing" in being responsive and helpful to contractors, developers and investors.
- Co-locate the Economic Development Corporation of Decatur and Macon County with governmental entities involved in the economic development process to provide a single-point of contact for investors and enhanced coordination.
- Periodically review the "best practices" of successful communities to identify and apply these techniques in Decatur & Macon County.
- Identify "friction" causing activities and eliminate them. Refine the inspection approval process to make it friendly, responsive and effective during planning and construction.
- Create a communication “flyer” to notify developers, contractors and investors of techniques to improve the planning and inspection process and avoid common problems that interfere with timely completion of projects.