Guest view: Region’s future depends on several factors

The Utica OD offered the following guest viewpoint from Steven DiMeo, President of Mohawk Valley EDGE:

Many economists believe the worst of the national recession is behind us. But the nation’s economic outlook will not dramatically improve until there is evidence that:

* Consumers and business confidence rebounds.
* The economy begins to see job growth.
* Small businesses have better access to credit markets.
* Key economic indicators in housing and construction, finance and the automobile industry improve.
* Sustainable markets can be developed or induced for green technology jobs.

Keep eye on state
While the Mohawk Valley has escaped the worst of the economic downturn, our economic prospects depend on how well state government adjusts to new economic realities. State budget and regulatory policies are “out of line” with the new economic realities that have Wall Street being a smaller part of the state’s economy and takes into account structural changes in the state economy.

New York has a rich supply of low-cost hydropower, but this energy resource is not used to maximize economic growth in upstate. Part of this cheap power resource is committed for lower value uses not related to attracting or retaining economic activity in upstate or is legislatively restricted to specific areas of the state and not available elsewhere in upstate.

Without fundamental changes in tax, regulatory and energy policy, New York’s economy – particularly in upstate — will continue to struggle and the upstate region will more closely resemble that of Eastern Europe before the end of the Cold War.

While the Mohawk Valley economy’s success is largely tied to national and state economic policies, EDGE has pursued initiatives that will position the region for improved economic growth. Examples include:

Marcy NanoCenter
Marcy NanoCenter at SUNYIT and marketing to the semiconductor and advanced electronics sectors:

A global marketing effort is under way to position the Mohawk Valley region for expansion opportunities by the semiconductor industry, advanced electronics, photovoltaic manufacturing and emerging clean tech sectors.

EDGE, SUNY, SUNYIT and the Research Foundation of the State University of New York have forged a partnership to develop the 300-acre site at SUNYIT that will build off of New York’s successes to be a global hub in semiconductor manufacturing and nanotechnology.

A Project Development Agreement is being finalized that will provide EDGE with a ground lease on the 300-plus acre site and $25.6 million in state and local funds are earmarked for infrastructure, site and other improvements commencing in 2010.

In addition, the College of Nanoscale Science and Engineering and SUNYIT have entered into a unique cross-university partnership that links both colleges together under a $45.0 million R&D-commercialization initiative in chip design and integration that will be part of SUNYIT’s new Center for Advanced Technology and will complement efforts to market the Marcy site to a global industry.

Business park
Continued growth of the Griffiss Business and Technology Park:

Griffiss continues to achieve national recognition for its success in transforming a former military installation into a model for regional economic development. Approximately $405 million in public and private investment has occurred at Griffiss since 1995. More than 5,500 people are employed by 70 private and public employers at Griffiss.

There is also a growing cluster of software development and information technology companies co-located next to the Air Force Research Laboratory. Technology companies such as CUBRC, BAE, Alion, AIS and CACI expanded or commenced operations at Griffiss this year. The research laboratory is also undergoing changes with the expansion of new and renovation to key laboratories and technology facilities.

Master plan
Master plan for the Oneida County Business Park:

Working closely with Oneida County and businesses at the Oneida County Business Park, EDGE spearheaded a redevelopment plan for the former Oneida County Airport. The reuse plan identifies key infrastructure improvements to support immediate and longer-term requirements to program nearly 2,600 acres for economic development and complements EDGE efforts at Marcy NanoCenter and Griffiss Business and Technology Park for marketing of this location.

Brownfield development
EDGE is working closely with Rome Industrial Development Corp., Rome Community Brownfield Restoration Corp. and the city of Rome on two key economic development initiatives: * Led to the construction of a 60,000-square-foot manufacturing-distribution center by American Alloy Steel on the former General Cable site.
* Continue the redevelopment of the former Rome Cable facility by completing environmental remediation activities and demolishing obsolete buildings to create new development sites.

Outreach
Business outreach and assistance efforts: A core part of EDGE’s mission is to work with existing employers on expansion and business retention issues. Over the past year, EDGE and its partners helped ECR International consolidate operations in Utica, assisted F.X. Matt Brewing Co. on rebuilding its canning and warehouse operations that were damaged by fire and approved financing for Delta Hardwoods.

Advocacy
Business and community advocacy: EDGE has played a key role in being a strong advocate for areas business needs and has spearheaded efforts on key regional issues.

This year marked a landmark victory for the eight counties that would have been impacted by the NYRI power line. EDGE played a leadership role in working with the impacted counties and Communities Against Regional Interconnect, which was formed to oppose this effort.

A comprehensive economic development agenda for the Mohawk Valley that focuses on innovation, technology and education is in place. However, significant changes in tax, regulatory and energy policy are required in Albany if the Mohawk Valley and upstate are to attract private investment and be a beacon of opportunity for new business expansion and attraction opportunities.