2. Economic Development Defined
• “the creation of wealth and jobs for the
improvement of quality of life”
• “a process that influences growth and restructuring
of an economy to enhance the economic well being
of a community”
3. Economic Development Defined
• The main goal of economic development is
improving the economic well-being of a community
through efforts that entail job creation, job retention,
tax base enhancements and quality of life.
• There is no single strategy, policy, or program for
achieving successful economic development.
Communities, regions, and states differ in their
geographic and political strengths and weaknesses.
• Each community, region and state, therefore, will
have a unique set of challenges and opportunities for
economic development.
4. Corridor Mission & Goals
… created in 1992 to foster, encourage, aid, promote or
otherwise assist in the economic growth and development of
Buena Vista, Clay, Dickinson and Emmet Counties
• To become recognized as the most attractive region in Iowa
for entrepreneurs and new ventures
• To assist in the addition of 150 new primary jobs per year
• To attract and retain workers
• To build and maintain partnerships
More Businesses More Jobs More People More Partners
6. Demographics
• Region population is approximately 63,000
(-3% from 2000; -9% from 1980; -4% from
1970)
• While the area has natural growth (more
births than deaths), the out-migration of
individuals is reducing the area’s total
population.
• Projections indicate more of this to occur over
the next 20+ years, particularly in Clay and
Emmet Counties
7. Demographics
• Hundreds of current job openings in the area;
shortage of specific skills; more jobs and
employers requiring skill sets
– Polaris, Eaton, GKN, Maurer Mfg., Cycle County
Accessories, Pure Fishing, Rosenboom, Thinix
Technology, Sara Lee, Daybreak, health care,
education
– Seasonal (Hospitality and construction)
8. Demographics
Data Sources: U.S. Department of Commerce. 2010. Bureau of Economic Analysis, Regional Economic Information System,
Washington, D.C., Table CA30
9. Demographics
Data Sources: U.S. Department of Commerce. 2010. Bureau of Economic Analysis, Regional Economic Information
System, Washington, D.C., Table CA30
10. In/Out Migration – Corridor Region
Households
Year In Out Net Income Swing PHH
2007-2008 754 729 25 $131,623.77 $5,265
2006-2007 696 777 -81 -$3,677,110 $45,396
2005-2006 710 772 -62 -$939,247 $15,149
2004-2005 662 683 -21 -$16,900 $805
2003-2004 684 690 -6 $1,755,131 -$292,522
2002-2003 678 706 -28 $2,152,666 -$76,881
2001-2002 693 778 -85 -$4,734,780 $55,703
2000-2001 635 722 -87 -$2,748,639 $31,594
1999-2000 711 751 -40 -$1,200,275 $30,007
Cumulative 6,223 6,608 -385 -$9,277,531 $24,097
Average 691 734 -43 -$2,541,606 $59,414
Source: U.S. Internal Revenue Service (7/23/2010 ).
All the dollar amounts are in 2008 dollars.
11. In/Out Migration – Corridor Region
People Average Annual Gross
Household Income
Year In Out Net In Out
2007-2008 1,383 1,270 113 $38,045 $39,169
2006-2007 1,301 1,397 -96 $41,349 $41,771
2005-2006 1,307 1,285 22 $36,586 $34,864
2004-2005 1,245 1,228 17 $35,961 $34,880
2003-2004 1,261 1,183 78 $39,131 $36,247
2002-2003 1,273 1,274 -1 $39,766 $35,140
2001-2002 1,271 1,433 -162 $36,306 $38,425
2000-2001 1,207 1,252 -45 $41,750 $40,526
1999-2000 1,343 1,330 13 $39,596 $39,085
Cumulative 11,591 11,652 -61
Average 1,288 1,295 -7 $38,721 $37,790
Source: U.S. Internal Revenue Service (7/23/2010 ).
All the dollar amounts are in 2008 dollars.
12. School Enrollment in the Corridor Region
School Year
2000-2001 2009-2010 Change Percentage
Change
State of 492,022 474,227 (17,795) -3.62%
Iowa
Buena 3,810 3,45 (360) -9.45%
Vista 0
Clay 2,822 2,49 (330) -11.69%
2
Dickinson 2,800 2,40 (400) -14.29%
0
Emmet 1,944 1,65 (294) -15.1%
0
Region 11,376 9,992 (1,384) -12.17%
Total
13.
14. Workforce
• Workers are mobile
• Jobs are following the talent
• Talent is attracted to quality places
• Skilled labor pool is critical factor for employers
• Two approaches
– Retaining existing talent (education; retraining/up-skilling;
new opportunities; quality places)
– Attracting others (internships; new opportunities; quality places )
• Fostering young workforce
– Junior Achievement, youth entrepreneurship training,
business-school partnerships
15. Entrepreneurship & The Economy
• A new study by the Ewing Marion Kauffman Foundation, "The
Economic Future Just Happened," challenging economic times
can serve as the rebirth of entrepreneurial capitalism, leading
to the creation of much-needed new jobs.
– Study found that more than half of the companies on the
2009 Fortune 500 list were launched during a recession or
bear market, along with nearly half of the firms on the
2008 Inc. list of America’s fastest-growing companies (3M,
Apple, Buffalo Wild Wings, IBM, GE, Microsoft, Gallup, …)
– The report also suggests a broader economic trend, with
job creation from startup companies proving to be less
volatile and sensitive to downturns when compared to the
overall economy.
16. Entrepreneurship & The Economy
• From 1980 to 2005, firms less than 5 years old
accounted for all net job growth in the United
States
This data set also shows that without startups, net job creation for
the American economy would be negative in all but a handful of
years. If startups excluded, an analysis of the 2007 Census data
shows that young firms (defined as one to five years old) still
account for roughly 2/3 of job creation, averaging nearly four new
jobs per firm per year.
• Of the overall 12 million new jobs added in 2007,
young firms were responsible for the creation of
nearly 8 million of those jobs
17. Entrepreneurship & The Economy
• In 2008, an average of 0.32 percent of adults
created a new business each month, equaling
about 530,000 new businesses per month.
• The highest rate of entrepreneurial activity
belongs to the 55 – 64 age group over the past
decade. The 20-34 age bracket has the lowest.
Most high-tech founders come from middle-class
or upper-lower-class backgrounds, are well-
educated and married with children.
19. Entrepreneurs & Wealth
Transfer of Wealth - Iowa
$531 Billion in 50 years
$180
$160
$140
$120
$100
$80
$60
$40
$20
$0
2000-2009 2010-2019 2020-2029 2030-2039 2040-2049
State of Iowa
20. Transfer of Wealth – Corridor Region
From 2000 TO 2049 - $13.5 billion
• Buena Vista County: $3.8 billion
• Clay County: $3.4 billion
• Dickinson: $4.5 billion
• Emmet: $1.8 billion
21. American Household Wealth by
Key Variable, 2007
Variable Mean Net Worth
Top 10% of Households by Net Worth $3,736,000
Top 10% of American Households by Income $3,105,000
By Type of Work – Self-Employed Americans $1,840,000
Occupation – Professionals $1,048,000
Education – College $1,032,000
Age – 65-74 Cohort $ 954,000
Family Status – Couples without Children $ 756,000
Home Owners $ 732,000
Race – White Households $ 651,000
Entrepreneurs & Wealth – rupri Center for Rural Entrepreneurship, Feb. 2011
22. Average U.S. Net Worth by Work Status
Source: Board of Governors of the Federal Reserve System, The Survey of Consumer Finances, 2007
23. Corridor Focus on E Economy
• Pool of successful entrepreneurs and locally-
owned companies
• Champions for entrepreneurship
• # of large global companies in region
• Seasonal industries (tourism, construction)
• Rural location and challenges with transportation
network and size of labor pool
• Greatest opportunity for long-term wealth and
jobs to remain in region; remain vibrant
24. Corridor Entrepreneurial Programs -
Youth
• Okoboji Entrepreneurial Institute
• Middle School Entrepreneurship
Academy
• Be Your Own Boss Seminar
• High School Business Plan Competition
• Teacher Seminars
• Junior Achievement (JA)
25. Corridor Entrepreneurial Programs
• Food Entrepreneur Seminar - From Recipe to
Reality; other industry-specific training
• Kauffman FastTrac® NewVenture™ and FastTrac®
GrowthVenture™
• Community Seed (venture) Capital Fund
• Entrepreneur on staff
– Business Coaching
– Commercialization Services
– Talent Recruitment
• Research, Information & Referral
• Networking
– Club E; WE; Women-in-Business
26. Going Forward – Sustaining and
Expanding Entrepreneurship
• Iowa Lakes Corridor Entrepreneurial
Development Endowment Fund – Okoboji
Foundation Family of Funds (Community
Foundation of Greater Des Moines)
• Entrepreneurship is a workforce initiative;
workforce is an entrepreneurship initiative – our
two top priorities
– Significant investment in workforce recruitment –
nearly all marketing dollars devoted to attracting
people
27. Workforce Initiative
• Job Fairs and Career Fairs
• Radio, Print, Banners, Billboards, Internet, Social
Media ads
• Internships and internship grants
• Job Center – www.lakescorridor.com/work/job-center
• Employment Directory
• Spousal Employment Network
• Regional partnerships for recruitment
– Law enforcement, hospitals
– Regional profile vs. individual community profile
28.
29.
30. Workforce Initiative
• Research
– Laborshed Studies
– Fringe Benefits Profile
– New Movers Study
– Skillshed Analysis
• Talent/management recruitment for
entrepreneurial start-ups or existing
companies
31. Workforce Initiative
• Fostering Young Workforce
– School & business connections
– Junior Achievement
– Internships
– Youth entrepreneurship programs
32. Future Initiatives & Other Factors
• Growing population base
• Housing
• Young professionals group(s)
• Business coaching program
• Add’l. opportunities for developing young
entrepreneurs
• Add’l. training/retraining opportunities
33. Q&A
For the regional or individual county socio-
economic profiles, visit:
www.lakescorridor.com/partner-with-
us/charting-the-course
