On Wednesday, January 28, the Eugene City Council adopted a statement pledging the City to pursue local economic development strategies to support existing businesses, retain jobs, and position the community for the next economy.

Mayor Kitty Piercy and City Manager Jon Ruiz developed the statement to support and guide a collaborative local response to the impact of the current financial crisis that is gripping this country and the world.  City Councilors expressed support for working with business, government, non-profit and community partners to develop a cooperative regional economic development approach.

“With Lane County’s unemployment at 9.5% or worse, obviously people are hurting and this is an urgent and timely topic.  It is our responsibility to see what we can do locally to stabilize and grow our economy.  We have done a good deal of work already, such as Mayor Piercy’s Sustainable Business Initiative a couple years ago, to position us well as a community for the new economy that will focus on sustainability and green jobs,” said Council President Alan Zelenka.

City Council Vice President Mike Clark added, “A strong manufacturing sector is a critical component of a local economy that is successful over the long term.  It is exciting to think about what kind of a manufacturing hub we can become in a new, green economy.  Also, as a government, we can ask ourselves, ‘how can we effectively motivate private local businesses to grow and become stronger; what can we do to support them and give them more confidence to take risks, make their own investments and proceed with development activities now?”

Local partners will be invited to participate in community conversations to develop an economic development action plan. The Council’s action directed that staff return with an action plan for Council consideration by the end of March.  

 
City of Eugene
Mayor and City Council
Economic Development Statement
January 28, 2009

Over the past several months, we have heard growing concerns from individuals, families, business owners, non-profit agencies and other organizations about the impact of the current financial crisis gripping this country and the world.  Unemployment is up.  Businesses are closing or struggling.  Health and human services use are up.  LTD is reducing services.  Housing values decline, yet the need for affordable housing continues to increase.

In response, a high priority in 2009 is to build an independently sustainable local economy to weather the current crisis and prepare for the next economy that will emerge.  We cannot ignore these issues or the opportunities that will arise from them.  It would be irresponsible of us to do so.  However, the City cannot do this alone, and we encourage public, private and non-profit partners to join us in this quest.

The outcomes we are pursuing are:

• To increase per capita income as a percentage of the Oregon average.  Currently, the Eugene/Springfield area lags the state average by 17%.  Increasing this average will add wealth and opportunity in the community.
• To retain and increase jobs.  With unemployment at over 8%, maintaining a steady job base and strong and ready workforce are paramount.

The strategies to achieve these outcomes are:

• Immediate (2009) – emphasis on supporting existing businesses and retaining existing jobs.
• Near – Term (2009/2010) – continuing to position the community for the next economy and building tools to accomplish the outcomes.  Our challenge is to increase innovation, competitiveness, private investment and community sustainability in the Next Eugene Economy, which will emerge in the context of successful short-term solutions to the unprecedented financial, economic and fiscal emergencies now facing our region, state and country.

The community will be invited to join us in discussions leading to an action plan to address the immediate strategy of supporting existing businesses and retaining existing jobs.  We expect an action plan to be considered by the City Council by March 31. 

We cannot wait for or expect the Federal or State government to solve all of our local issues.  We will work with both; however, we must be proactive in preparing ourselves.  Our intent is to structure a deliberate and inclusive, but also urgent, community conversation.