Excellence in Rural Economic Development (cont.)

The strategy embraced innovative, entrepreneurial activities that also were effective and efficient in their deployment. For example, to immediately mobilize the community, YSEDC initiated a program it named “Operation Landlord.” YSEDC brought together an estimated 1,400 owners of commercial and industrial properties in the region to express the intent of the economic strategy and to get the owners’ buyin. YSEDC promised to provide regular updates on changes in the economy and to help owners market their properties, while the owners, in turn, would help market the region as a great place to do business. This program helped mobilize 1,400 economic development ambassadors for the region at no cost, and continues today as a major component of the region’s economic progress.

Another early strategy responded to a key issue uncovered during the formulation of “Blueprint”: The region lacked both industrial-zoned property and spec building space for the kind of development that would create primary- wage jobs for the region. In response, YSEDC initiated “Yuba-Sutter Uplift,” a program to spur the private development of 100,000 square feet of retail, office or industrial buildings annually in the region.Working with local property owners and then builders, developers and bankers from northern California, this benchmark has been achieved four times in the five years since its inception. The strategy has proven to be a key element of the region’s success in business retention, expansion and recruitment.

Gaining momentum YSEDC was having some early successes, but still needed to reverse the public relations fiasco created by being named the worst place to live in the nation. Hence it developed “Yuba- Sutter Showcase,” an annual presentation that brings together the city and county administrators from the region to present business and development opportunities to an audience (comprising real estate brokers and agents, developers, builders, financiers, site location consultants, business owners, engineers, land use planners, consultants and other development contacts) in a short choreographed presentation.

First delivered in Sacramento and San Francisco, the Showcase is expanding this year to San Jose and Los Angeles. After four years, the Showcase has reached hundreds of participants from the business and development communities in California and Nevada and has yielded tremendous returns. It has attracted a variety of businesses to the region, including Sysco Distribution, Lowe’s Home Improvement, and most recently three new banks.

Additionally, after attending a San Francisco Showcase, Federal Reserve and U.S. Treasury representatives suggested that YSEDC work with a New Markets Tax Credit provider from southern California, Clearinghouse CDFI. This partnership has brought an innovative and very successful loan program to the region.

YSEDC now has an extensive revolving loan fund program that today loans more than $12 million annually to support business growth. More than 100 businesses have received loans, resulting in the creation of over 300 new jobs.

An “autonomous” future?

YSEDC sees even greater economic opportunities on the horizon. One such opportunity is the impact from a new mission – the Global Hawk, the new unmanned aircraft – at the local military installation, Beale Air Force Base.

Autonomous robotics technology has a variety of commercial applications that lends it to helping diversify and sustain the local economy. For example, agriculture is one of the key economic clusters of the region. Unmanned systems could be used in commercial agriculture to reduce overhead and improve productivity. This opportunity is just now being understood, but as of December 2003, over 2,000 people in and around the region were working in autonomous technology.

In response to this, YSEDC has been working on an initiative to bring industry, academia and government together to support and enhance California’s autonomous technology community. The initiative includes the proposed California Center for Autonomous Research and Technology (CALCART). In addition to acting as an interpretive center to tell the story of autonomous technology, this facility will serve as California’s first autonomous technology industry park and include a business incubator and science complex for technology transfer. By 2011, there could be as many as 10,000 workers in the field of autonomous technology in the Yuba- Sutter region.

From “worst” to “best”

The results from YSEDC’s economic development efforts have been staggering. Since 2000:

• Unemployment has fallen nearly 10 percent, from a high of 19.3 percent in March of 2000 to 9.8 percent in March of 2006.

• Private investment in the area has climbed to nearly $3 billion due to new commercial, industrial and housing developments.

• Nearly 5,000 jobs have been created and over 5,000 have been retained.

• Forbes magazine has recognized the region not once, but twice, as one of the top ten best rural places to do business in the nation.

Yuba-Sutter’s future looks bright, given the proactive programs, projects and services of YSEDC and its community’s ability to overcome economic obstacles.

For further information, contact YSEDC at (530) 751-8555, ysedc@ysedc.org or on the web at www.ysedc.org.

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