Delta
economic development professionals don’t kid themselves.
All realize that it is an immense struggle to, not only
try to bring in new businesses to an already depressed
area in the midst of a recession, but to also help existing
companies expand.
Nonetheless, to paraphrase the philosopher Friedrich Nietzsche,
and it certainly applies to Delta developers, “Whatever
doesn’t kill them only makes me them that much stronger.”
Down perhaps, but never out, these professionals have
to be extremely creative and resourceful at their jobs.
This is little room for error or second chance in today’s
economic climate.
While site selectors and company representatives can come
and go to the Delta, leaving only a trail of paperwork
and dashed hopes behind, the economic developers in this
area keep plugging away, planning and preparing for the
next potential business.
Savvy enough to know that the Nissan plant in Canton will
not bring instantaneous growth to the region (see related
cover story), Delta developers nonetheless believe that
Nissan, and the attention that plant has garnered, can
only help their cause. As Tommy Hart, Executive Director
of the Industrial Foundation of Washington Count, in reference
to the residual activity from Nissan, puts it, “We
have to be ready for what we believe is coming.”
Besides Nissan, though, the Delta has a lot going on in
its favor. As John Turner, Director of Economic Development
for Entergy Mississippi, says, “There are a lot
of substantial resources in and for the Delta. There’s
organizations like Delta Council, Delta Regional Authority,
many strong workforce development groups that are focused
on improving the economy. There are also many federal
and state programs in place that make the Delta extremely
attractive to potential businesses.”
Turner says that Entergy has placed an emphasis on the
Delta economy and is bringing it’s resources to
bear to help the region.
“We are actively involved in recruiting new business
prospects, collaborating with local development organizations
and their leaders and working with existing businesses
to help them remain viable and primed for growth and expansion,”
says Turner. “With this kind of activity, coupled
with our strategic alliances with Mississippi Development
Authority, we feel that we are helping facilitate this
growth.”
Turner adds that Entergy has a full time employee, Lawrence
Johnson, stationed in Greenville, whose primary focus
is to work on specific Delta initiatives. “Lawrence
is highly involved in the local communities and is doing
great work with leaders in the area,” Turner says.
“I work with the various Chambers of Commerce and
economic development groups that focus on community activities,
thereby laying the foundation for recruiters,” Johnson
says. “I also act as a liaison between these groups
and assist them on specific issues, such as challenges
to minority-owned businesses and so forth.”
Turner and Johnson both say that they believe the future
will bring more growth to the Delta.
“I’m very optimistic,” Johnson enthuses.
“We’ve got a lot of the key elements in place
here and all of us are focused on getting things to happen.
No one has thrown in the towel like I have actually seen
other regions in the country do.”
“The immediate challenge to us is overcoming the
loss of 2,000 manufacturing jobs over the past few years,”
says Robert Ingram, Executive Director of the Greenwood-Leflore-Carroll
Economic Development Foundation. “There are a lot
of long term challenges, but it’s really hard to
focus on those when you’re dealing with immediate
problems like job loss. There is something along the lines
of six million square feet of empty manufacturing space
in the Delta and just trying to survive the short term
while building for the long is the challenge.”
Ingram notes the positives that are currently going in
favor of the Delta: “We obviously have a big and
talented labor force as evidenced by the success of such
companies as Viking Range and Milwaukee Tool,” he
says. “There are also thousands of people available
for work right now on the market, those who have lost
their previous jobs, unfortunately. Still, they represent
a well-trained workforce for new companies.”
In addition, Ingram says companies that exit usually leave
behind buildings that can be great recruiting tools for
bringing other businesses in. “However, that often
depends on the nature of the company leaving,” Ingram
says. “Some realize that the community will suffer
because of their leaving and will donate the empty facility
or offer it at a reduced price to help in marketing efforts.”
Among other efforts, Ingram says he is excited about a
local program in the Greenwood high school system to train
students for careers in the plastics industry.
“Our community, with help from Delta Council, has
targeted that industry by offering a polymer plastics
technology program that starts in our high schools in
September,” Ingram says. “We will be educating
students specifically in the field of plastics manufacturing.
Our aim is to build a particularly-trained labor force
in what is the fastest growing sector of manufacturing.”
Ingram says this program is based on one that was launched
in the Petal, MS school system with the assistance of
the University of Southern Mississippi, which will be
helping Greenwood, as well.
“I think it is very important that our public schools
strengthen in every way possible,” Ingram goes on
to say. “Companies are looking closely at our school
system in the Delta because that is where most of the
employees come from. We have got to get school bond issues
passed, work with education administrators to launch more
programs like the plastics technology initiative. Everyone
has got to get more involved in the education system because
it benefits and reflects us all.”
Tommy Hart says the role of the economic developer has
changed. “Our jobs are substantially different now,”
he claims. “You’ve got to continually respond
to the market, constantly reshape existing programs; it’s
that fast-paced. Now it appears that, on most levels,
there is a concerted effort underway to target the automotive
manufacturing industry in light of Nissan’s presence.
We’re seeing a much stronger focus on consultants
and how to promote to them.
“On a regional basis, through our Mississippi Delta
Developers Association, we have recently crafted a new
marketing program which is now in full operation,”
Hart continues. “Through this program we are promoting
our many available facilities and incentives. We are also
very appreciative of Entergy’s support through their
economic development programs which bring a lot of tangible
assets and assistance to our efforts.”
Experience and studies have repeatedly shown that most
job growth comes from existing businesses. Hart says that
a major new campaign is going to help further such growth.
“We have a half-million dollar campaign beginning
this month, which has been crafted over the past two years,”
Hart says. “We’ve developed a demonstration
model on business retention and expansion, making that
our number one priority in the Delta. We’re very
excited about this. It’s a multi-county effort—Coahoma,
Bolivar and Washington—under the direction of Delta
State University which brings the full force of the University
to this effort. It will also involve a large grass roots
volunteer effort with citizen participation.”
Hart says that activity in Washington County is on the
rise. “Over the past four months or so, we’ve
averaged about eight visits a month from new companies,”
he says. “We’ve also worked anywhere from
eight to 15 projects a month with our existing industries
in Washington County. In fact, four of those projects
are expansions, which is great news for us.
Jimmy Heidel, a 30 year-plus veteran of the economic development
industry, says he sees positive things ahead for the Delta
as well. “I-69 will help tremendously when it gets
built,” he says, “because transportation has
been an Achilles Heel in this region for a long time.
With the workforce training efforts in place and the infrastructure
improvements, the Delta is going in the right direction.
And the labor force in the Delta is as good as any other.
“One of the overlooked keys in the Delta to economic
success is the Mississippi River,” Heidel continues.
“Every transportation seminar I’ve been to
in the last two years has indicated that we’ll never
be able to build enough highways, so alternate modes of
transportation are going to have to be used, such as rail
and water. The Delta should look toward water transportation
as a major means to growth. We’re undertaking a
study right now at the Port of Vicksburg to determine
where we need to be in the next 10 to 15 years.”
Phil Hardwick, who just took a new position as Coordinator
of Economic and Community Development with the John C.
Stennis Institute of Government, Mississippi State University,
says the immediate future will bring “more of the
same. Communities really need to look more within their
own boundaries as opposed to looking outside themselves
for some magic bullet. The MDA reports that 85% of the
jobs created in the last ten years came from business
expansion. If I were an economic developer in the Delta,
I would take a close look at which of my existing businesses
had the best potential for expansion and proceed to do
all I could to help them.”
While Hardwick sees the fairly new phenomenon of “cultural
tourism” helping the Delta, he says that will not
be enough to benefit the region. “The key, I believe,
is access to interstate highways. It is amazing what having
an interstate nearby can do for the growth and success
of a region. I-69 will no doubt be an enormous catalyst
for economic activity in the Delta.”
“Anytime any other community in the Delta does well,
we all benefit.” So says Ron Hudson, Executive Director
of the Clarksdale/Coahoma County Chamber of Commerce and
Industrial Foundation. “I’m glad to say that
there has really been an increase of cooperation among
all of the economic development groups and it will pay
off in the long run.”
Hudson says that, in the past, stereotypes have hurt the
Delta and the entire state when it comes to recruiting
businesses. “We’re making progress, though,”
he says. “Test scores are rising, we’re catching
up and prioritizing education and it appears that the
tide is turning. Still, we are playing catch up and we
have a lot of ground to cover.”
Jay Moon, Executive Director of the Mississippi Manufacturer’s
Association, says that for the Delta to attract new business
the local companies must “continually look at the
things over which they have some control, including all
of their infrastructure and their inter modal capabilities.
Those who have ports, for example, must continue to put
resources into that valuable mode of transportation. Education
remains vital, too. We talk to manufacturers all the time
that are having trouble finding workers with basic skills.
“Many critical issues are hitting us simultaneously,”
Moon goes on to say. “China, tort reform, other
unregulated foreign competition. We’ve got to have
a level playing field.”
Perry Jenkins, Dean of Career and Workforce Education
at Mississippi Delta Community College and head of The
Capps Center in Indianola, says that the past year was
outstanding for the training center he oversees. “We’ve
worked with about 70 area businesses over the last 12
months,” Jenkins says. “That number is up
significantly from last year. We’re proud that we
are providing resources to businesses that didn’t
have or couldn’t afford to find federal grant funds
for training.
“We are offering a number of innovative and creative
programs here at The Capps Center to businesses all over
the state, but primarily in the Delta,” Jenkins
continues. “One of those programs is job-readiness
training which consists of a 57-hour class that people
volunteer to attend. We’ve had 300-plus people inquire
about this class and have graduated 54. Four industries
in the Delta have agreed to give all of our graduates
interviews. This is extremely positive.”
Paul Alexander, CEO of the Panola Partnership in Batesville,
reports that 500,000 square feet is under construction
in the town representing various types of businesses.
“We’ve got a new civic center coming in, a
new Lowe’s, a new shopping center and several of
our industries are also expanding,” he says.
“We spend 80% of our time and energy working with
existing businesses,” Alexander says, “and,
right now, visits and prospects are slow, as they are
all over the state. We did get a tremendous amount of
positive press from the recognition of the work on the
Toyota plant and we hope that will act as advertising
for Panola County. People are talking about us now because
of the interest we generated from Toyota and their salute
of us, so that’s very gratifying.”
Lyn Arnold, Executive Director/Economic Developer for
the Tunica County Chamber of Commerce, says that while
tourism is the bread and butter of her county’s
economic success, that soon may be changing.
“We are in the process of identifying some industrial
property around the airport here to begin development
on a 15-square mile park,” Arnold says. “This
is part of the major expansion to our airport that will
be a major boost for Tunica County. We are also going
to be bringing a rail spur into the park.”
Arnold adds that Tunica is beginning to see more manufacturing
and warehousing inquiries. “We’ve had several
visits from both large and small companies,” she
reports. “It may be hard to believe, but indicators
are showing that our industrial growth might possibly
be as strong as our tourism in the not-too-distant future.”
As Director of the Delta Council Development Department,
Frank Howell has his finger on the pulse of the region’s
economic activity. “We’re starting to see
an end to all the numerous plant closings we’ve
experienced over the past three years,” Howell says.
“More importantly, we’re starting to see some
expansion activity from our remaining industries. We see
these as signs that our economy is starting to gather
steam.”
Howell also reports an increased level of prospect activity
over most of the Delta and throughout the state, which
also bodes well for an economic recovery.
In addition to his duties at Delta Council, Howell is
closely associated with the Mississippi Delta Developers
Association, a consortium of local economic developers
from all over northwest Mississippi. “We are working
in conjunction with other partners, private and public
interests, to aggressively recruit industry,” Howell
says. “MDDA is also just about through completing
new marketing materials and a web site which are aimed
at site location consultants who continue to drive company
location decisions.”
Blake Wallace, Executive Director of the Sunflower County
Economic Development District, says he has been doing
extensive visitation with his existing industries since
taking over the job a little over two months ago. “We’re
optimistic that some new jobs can be created,” Wallace
says. “A prospect was recently here looking in Indianola,
with the possibility of some 20-25 new jobs, so there
is activity on that horizon as well.”
Wallace says the challenges are the same for him as all
other developers in the Delta. “We need to focus
on continuous education for those who are currently working,”
Wallace gives as an answer to one such challenge. “Too
often, training is geared only toward those looking for
a job, not those already employed. But the jobs people
have now are not going to be the same in five years. Our
existing workforce has got to keep up with the rapid technological
growth out there in today’s economy.”
Even an organization like the Mississippi Levee Board,
dedicated to flood control, has a role in the Delta’s
economy. Jim Wanamaker, chief engineer, says that through
the Levee Board’s cooperation with the US Army Corps
of Engineers in constructing and enlarging flood control
projects, the contracts awarded represents money staying
in the Delta.
“We just completed an $8 million contract project
and another $30 million worth of work ongoing,”
Wanamaker says. “There is also another $20 million-plus
contract that will be awarded this month. All of this
work equates to jobs. In addition, the fuel, parts and
equipment for these jobs are bought from local distributors.”
“Mississippi was on a roll before the recession
hit,” says Blake Wilson, head of the Mississippi
Economic Council, the state’s Chamber of Commerce.
“As our economy improves, as signs are slowly showing
it will, I think additional activity is going to hit and
the Delta has to be ready.”
Wilson’s organization is helping prepare the Delta
by surveying business and community leaders around the
state on an MEC “tour”, then compiling the
answers to present to the state legislature in a scientific,
community-by-community form. “That way, when we
sit down with our elected officials, we can show them
exactly what we learned in all the specific districts,”
Wallace says.
The times ahead won’t be easy, those surveyed for
this story agreed. Those also agreed, however, that they
are getting prepared for the challenges and are doing
so as a team and in increments. As Blake Wallace states,
“Economic development is a process, not a single
event.”
“It’s been a long road for us,” Tommy
Hart summarizes. “But we’re all very determined
and putting everything we’ve got into the effort
of economic development to bring the Delta back. All we
are asking for is a chance.” DBJ
