Increase access of local governments and non-profits to economic development funds
Action
Traditionally, economic development agencies use money to help businesses expand or to lure businesses to the State. Local governments and nonprofits draw on the economical development funds less frequently because they lack access to them or knowledge about them.
States can advance their own growth objectives, however, by allowing local governments and nonprofit organizations to apply for state economic development funding of smart growth projects.
Economic development funds can support a range of activities, such as the provision of infrastructure, brownfield assessment and cleanup, marketing, land assembly, planning, and property acquisition or demolition, all of which can be used for community building.
Process
Economic development agencies should inventory their programs to identify grants, loans, tax credits and technical assistance that can be used to support community building and smart growth efforts. The inventory could be expanded to include agencies that address community development, the environment, housing, natural resources, planning and transportation. Efforts should then be made to ensure that local governments or nonprofit organizations are eligible for the relevant programs.
The inventory's results - along with such vital information as application deadlines and program contacts - can be packaged together online or in brochures as a "smart growth toolbox," and distributed to local governments and nonprofits. A single application for funding should also be developed to make it possible for communities to apply for all programs in the toolbox at one time.
Economic development agencies can also help communities gain access to state funds by designating staff members as "community caseworkers" to help local governments figure out which programs will work for them and to help with funding requests.
Examples
- Michigan's Cool Cities Initiative
Michigan's Cool Cities Initiative focuses on expanding the state's economy by encouraging communities to develop diverse working and living environments that can attract a talented workforce. Communities compete to become "Cool Cities." The designation entitles them to $100,000 to develop and implement a smart growth plan and gives them access to more than 100 types of grants, tax credits, loans and services from different state agencies.
— Michigan's Cool Cities Initiatives
