Table of Contents
Mission & Objectives
The main purpose of an economic development commission is to facilitate sustainable economic development in a specific region or community. Economic development commissions are often created by governments of various levels, to stimulate economic activity and ultimately: create jobs, encourage, attract, or retain businesses – no matter their size.
Even if each economic development commission might stipulate slightly different goals based on their local needs, the following goal areas are universal:
- Business retention and expansion
- Attraction of new, emerging industries and investors
- Enhancement of workforce skill development and employment opportunities
- Promotion of innovation and entrepreneurship
- community and infrastructure development
Economic development commissions have a unique role in the economic future of their area by working with a combination of both public and private partners. Through public-private collaboration, the economic development commission also uniquely integrates these goals into virtually every program, incentive, or service they may have to offer.
Target Industries & Sectors
A principal responsibility of economic development commissions is to recognize and assist existing, or prospective, industries contributing to growth in their region. These targeted sectors will be identified based on a multitude of attributes, including: the skills possessed in the local workforce, the natural resources available, infrastructure, and the future potential of the industrys’ economic performance.
The economic development commission will either focus on emerging industries like software development, clean energy, and biotechnology or traditional industries such as manufacturing, logistics, tourism, and agriculture depending on the strengths of the area.
By focusing resources to a sector of industry, the economic development commission can provide customized programs, attract specific investments in the region, and provide more direct assistance to its clients. In turn, the development commissions concentration of effort creates a stronger economy by creating better job opportunities and encouraging innovation.
Understanding the targeted sectors within each commission provides insight into their longer-term forecast and to which types of businesses would benefit most through their resources, programs, and incentives.
Incentive Programs & Grants
An important task of an economic development commission is the attraction and retention of business through incentive programs and grants. These incentives are financial tools designed to make investing in a certain area more beneficial by lowering the costs for a company of starting up or expanding their business.
Common types of incentives that an economic development commission has to offer are tax credits, low interest loans, workforce training grants, and infrastructure support grants. There are grant programs that can assist companies with costs associated with site development, purchasing equipment, and research and innovation.
The availability and structure of these programs varies from commission to commission. Some commissions might have an incentive program for specific industry types, and others have an emphasis on job creation or environmental sustainability. A business looking to relocate or expand often assess these incentives when making a location decision.
Incentive programs can benefit both the particular company involved along with providing economic stimulus through job creation, boosting local expenditures, and long-term investment attraction.
When comparing commissions, it is important to understand the incentives, how they align with your business, and the application process in relation to transparency and accessibility by prospective applicants.
Business Support Services
One of the most critical functions of a commission for economic development is to offer business support services which assist businesses in becoming sustainable and growing. The services are created in order to help businesses through every phase of development, from startups and small businesses to corporations.
Support service offerings often include market research, business planning, site selection, workforce development, or assistance with permits or regulations, among other services. Some commissions will also have programs for mentorship, networking events, and consulting services.
A successful economic development commission will help businesses work with the local government, making it easier to navigate processes and remove barriers to growing a business. Many commissions will also connect entrepreneurs with funding, education, and industry professionals who are able to advance innovation and expansion.
Whether you are starting a new business or growing an existing business, the services provided through your economic development commission can provide the value and support for a successful long-term business venture.
Success Stories & Impact
One of the easiest ways to assess the success of an economic development commission is to examine its success stories and measurable impact. These concrete examples illustrate how commissions go beyond strategy to action, enabling communities to have an economic development strategy, that in turn creates real economic growth and investment.
Many commissions representing themselves as successful will point to their achievements related to job creation, new business creation, infrastructure or facility upgrades, and local tax revenue generation. As one example, a commission may have been critical in supporting an existing city to attract a major tech job that not only created thousands of new jobs but also stimulated investment in the community as a result.
Some commissions undertake the mission to directly invest in and/or support the revitalization of a disadvantaged area, encourage the growth and support of small businesses, and in some cases pursue thought leadership by acting as incubators or grant developers. Regardless of the variations, the long-term implications of economic development can include new higher wage jobs, an improvement in quality of life issues, and developments that make regional areas more competitive.
If you are in search for economic development commission supporting a community, look no further than a transparent commission that publishes unambiguous metrics, funding or grants successes, annual reports, and testimonials from business cases/examples and local leaders. These productivity and success indicators can all point you to due diligence of whether the local commission is actually a impact maker in the community.
Partnerships & Collaborations
A strong economic development commission is usually very effective at leveraging partnerships to maximize its effectiveness. Such agreements can be with local governments, private companies, colleges or universities, non-profit organizations and even international organizations.
Leveraging partnerships with other stakeholders help commission broaden both its impact and reach. Developing partnerships with universities can assist in igniting innovation and workforce development, while working alongside private companies can lead to new investments and jobs.
It can often be said that an effective commission is a ‘hub’, connecting different sectors, and facilitating coordinated economic growth. These partnerships can lead to joint initiatives, co-funded projects and shared resources, which benefits the region.
Partnerships with a wide range of stakeholders and having many relationships are other ways to measure and showcase a commission’s ability to deliver long-term sustained economic development.
Accessibility & Communication
An effective economic development commission needs to be readily accessible to the public and business community. Accessibility is having a user-friendly website, readily available contact information and support options. Many commissions will provide information and resources online, including application forms, program information and economic data to assist users when accessing their programs and services.
An equally important re-enforcement of accessibility is communication. An effective economic development commission will provide regular updates and connection points with stakeholders. This can include newsletters, press releases, social media and public meetings. This helps build trust, but also keeps the community informed of current and future initiatives, potential program incentives and community development work.
Multilingual support, inclusive outreach strategies and easy to navigate digital platforms all suggest better engagement. When commissions take the time to provide clear, open communications – they tend to have more success with attracting businesses and valuing community support.
In summary, whether it be any economic development commission you are evaluating, how accessible is information (easy to find), how accessible are people (easy to contact for assistance) and how accessible is information going to the public (regular updates).
Geographic Coverage & Strategic Location
The ability to utilize the geographic advantages available in a region is one of either’s significant benefits of an economic development commission. All commissions are either city or county, and sometimes a state, in most cases. The geographic area where the commission operates has a significant effect on its ability to draw investment, create infrastructure, and result in future economic development and growth.
Some commission key advantage relates to urban centers that serve as regional hubs with major transportation centers. Others promote affordability in rural areas with increasing labor markets. Deciding where located on a major highway, port, airport, or international border is an important highlight for an economic development commission, and these points play significant factors when attracting investment domestically and internationally.
Beyond location alone. Geographical coverage can determine what support services may be available to businesses. Larger commissions likely have programs that cover multiple municipalities while local commissions only provide support services to one community.
Understanding where an economic development commission is located and why the location matters may result in improved business decisions with expansion, relocation, or other partnerships.
Conclusion
A commission for economic development is a critical institution that shapes growth and economic vitality in a given area. These commissions advance regional economic development across a number of industries through customized services; financial incentives; and market intelligence, advice and tools for businesses, communities and other various stakeholders.
Whether you are a business owner, investor, or have some other role as a player or decision maker in an economy, knowing how each economic development commission advances its mission through its vision, services, partnerships, and location can assist you with decisions that are aligned with your economic aspirations.
As you look at various commissions, complement this comparison with an assessment of how a particular economic development commission is suited to achieve your objectives and the possibilities for new or meaningful and sustained impact in your area or field.
