Brice Harris Los Rios Community Colleges Next Economy Leadership Team
We are in a self-help regional economic environment, and the trick is to overcome the inherent competition between political entities within regions. Marek Gootman, Brookings Institute
Next Economy : Economic revitalization planning effort
Next Economy : Will result in… A Capital Region Prosperity Plan
Economic Realities: Government, construction, and related finance sectors hardest hit Region jobless rate = 12% (vs. 8.3% nationally) Employment level today is on par with Y2000 levels In terms of growth, Sacramento ranks number 345 out of 372 US metro regions
Economic Forecast : Forecasts indicate a regional recovery is years away Lack of States ability to drive job creation and business growth is forcing regional leaders to lead from the bottom-up Waiting for political leaders to take action may not work
Next Economy : Its all about… Generating jobs and creating wealth
11-Month Summary: Formed coalition of 260+ private/public sector organizations Fielded leadership and project steering groups Completed in-depth research and analysis Convened many public work sessions Conducted 50 formal outreach presentations with more ahead
Research Conducted: Regional Trends Regional Economic Conditions Regional Cluster Analysis Base Economic Foundations Evaluation Economic Development Ecosystem Analysis Innovations Scorecard
Regional Cluster Identification : Where to focus our energy?
Regional Cluster Identification : A cluster??? Spans multiple industries/sectors
Viable Clusters: Job growth and wealth creation can be achieved by putting our focus in the right place… Which of our regions cluster have the potential for highest impacts?
Research uncovered our strongest business clusters: 1.Life sciences & Health services. $8.64B annual output. 98,646 total employment. 2.Information & Communications Technology. $9.69B annual output. 30,096 total employment. 3.Agriculture & Food production. $3.4B annual output. 37,442 total employment. 4.Advanced manufacturing. $1.74B annual output. 11,409 total employment. 5.Clean Energy Technology. $846M annual output. 3,015 total employment.
Information & Comm. Technology Health & Life sciences Clean Energy Technology Advanced Manufacturing Food & Agriculture Fielded workgroups by clusters areas to uncover impediments & opportunities
Research also uncovered our strongest economic foundations: 6.Education & Knowledge Creation. $1.11B annual output. 16,618 total employment. 7.Knowledge intensive business and Financial services. $18.22B annual output. 69,683 total employment.
Information & Comm. Technology Health & Life sciences Clean Energy Technology Advanced Manufacturing Food & Agriculture Fielded workgroups by clusters areas to uncover impediments & opportunities Innovations (Private capital; tech transfer; entrepreneur support)
Information & Comm. Technology Health & Life sciences Clean Energy Technology Advanced Manufacturing Food & Agriculture Fielded workgroups by clusters areas to uncover impediments & opportunities Innovations (Private capital; tech transfer; entrepreneur support) Regional Identity
Information & Comm. Technology Health & Life sciences Clean Energy Technology Advanced Manufacturing Food & Agriculture Fielded workgroups by clusters areas to uncover impediments & opportunities Education / Workforce / Talent Innovations (Private capital; tech transfer; entrepreneur support) Regional Identity
The Plan Structure: Business Acceleration (12-month cluster- specific action plans) Transformative Strategies (5-year horizon) Bolstering Our Economy (economic drivers for joint action) Regional CEDS
Economic Drivers: Bolstering Our Economy (8 economic drivers for joint action) Bolstering Our Economy (8 economic drivers for joint action) * Emerged out of extensive research and expert input * Are focus areas for job & wealth creation * Drive business cluster growth and expand our economic base
Our Economic Drivers Guideposts for joint regional economic development
Next Economy identified 8 specific inter-related regional economic drivers for joint action: CREATE new public- private capital investment streams INSPIRE a shared regional image and leverage our strengths CAPITALIZE on university strengths for tech transfer & commercialization INCREASE entrepreneur & small biz support INVEST in retaining, educating & attracting talent REMOVE economic & regulatory barriers at all levels INCREASE foreign direct investment & export activity INVEST in regions economic infrastructure & cultural & civic amenities
Transformative Strategies: Transformative Strategies (5-year horizon) * Catalytic in nature. * Long burn time to implementation. * Cut across the business clusters. * Support the economic drivers.
Transformative Strategies : 1.Innovation Partnership Fund (iFund) – Create a pooled funding mechanism 2.Business Accelerator(s) – Services for business & entrepreneur start-up 3.Advanced Technology Hub – One Health region for bio and medical science 4.Brain-Gain – Building/attracting/retaining high-skilled talent
Implementation Plan: Business Acceleration (12-month cluster-specific action plans) * Cluster-based and organization- specific action plan. * Short implementation timeline. * Performance measures. * Clear owners/champions.
Comprehensive Economic Development Strategy Regional CEDS * Region-wide in scope * Gateway to federal grants * Roadmap to diversify and strengthen regional economies
Next Steps: Base Research: Complete Cluster work groups: Convened Feb-May; assessments and recommendations folded in Core Strategies: Presented for public reaction May 4 Regional Prosperity Plan: Published June 30 with a 5-year horizon Co-published with 1-year Implementation Action Plan with performance measures, owners identified. Implementation: July 2012 and beyond
Initiatives such as Next Economy are the kinds of regional efforts that are necessary to drive American economic competitiveness and will become the defining model for growing jobs throughout our nation. Matthew Erskine, Acting Assistant Secretary of Commerce for Economic Development for EDA