New approach to economic development for region

Since I came to Congress, I’ve been pushing to pass legislation that would create a regional economic development commission to directly invest in our region’s economy, in order to create jobs and new business opportunities. I originally wrote the bill three years ago, and I’ve been working with a bipartisan group of lawmakers from our region to get it passed. On Thursday afternoon, we took a major step forward by passing the Regional Economic and Infrastructure Development Act of 2007 – a bill which contains my Northern Border Regional Commission – in the House of Representatives by a vote of 264-154.

The commission created in this bill would bring investment, leadership, and focus to regional economic development efforts. It would be charged with investing $40 million per year – rising to $60 million per year by 2012 – in federal resources for economic development and job creation in the most economically distressed areas of Maine, New Hampshire, Vermont and New York.

This idea has roots that can be traced as far back as 1965, when Congress created the Appalachian Regional Commission, or ARC. This unique federal-state partnership was charged with promoting development in the depressed Appalachian region through regional planning, technical assistance, and funding of projects aimed at encouraging economic prosperity.

It was a bold idea, and it worked. According to the National Association of Development Organizations, since its creation the ARC has reduced the number of distressed counties in its region from 219 to 100, cut the poverty rate from 31 percent to 15 percent, and helped 1,400 businesses create 26,000 new jobs since 1977.

As a longtime millworker, I understand the particular challenges that the industries of our region face. We have seen a clear, persistent pattern of economic distress in Maine and across the northern border – the loss of natural resource-based industries and aging, crumbling infrastructure.

If you look at the 36 counties that would become part of this commission, and that lie on the border or right next to the border between Maine and Cayuga County, New York, you find poverty above the national average, median household income that is more than $6,500 below the national average, persistent unemployment fed by constant layoffs in traditional manufacturing industries, and population that has grown by only 0.6 percent between 1990 and 2000 – while the U.S. population rose by 13.2 percent – showing significant outmigration and loss of young people.

Like the communities in the ARC, our region has a common set of challenges, and a compelling need for investment and new growth. But we also know that we have a lot going for us, and a real chance to create a stronger economy. We have a highly trained and capable work force, incredible natural resources, and a tradition of hard work and excellence that has sustained our economy for generations. The opportunity is there.

Creating a regional commission would give us the chance to look at economic development in a whole new way: as a challenge that we can tackle together as a region. Federal investment in our region would help us capitalize on our great assets to create jobs and build our economy. We know that we have all the tools we need in our state and our region to build a bright future for our children – I want to make sure that the federal government gives us the investment we need to make this future a reality.

Using this investment, we can build needed infrastructure, help develop new opportunities for small businesses, create new energy technologies, and capitalize on the value of our incredible natural resource base. We can keep Maine “the way life should be.”

I am hopeful that this bill will be considered in the Senate soon. I am looking forward to moving forward together to strengthen our economy, and position our region for the challenges of the future. If you would like more information on the Northern Border Regional Commission, please visit my Web site at http://michaud.house.gov.

Mike Michaud is the U.S. representative for Maine’s 2nd District.