Attract new industry, not old ideas

By Mark Forsythe The Kansas City Post Kansas City has long sought to become a leader in industry. In the 60's it was defense manufacturing with Bendix. In the 70's Armco Steel was the hope for many to maintain a strong base of manufacturing jobs. In the 80's, the emergence of Sprint promised to make KC the backbone of a fiber optic long distance telecom network. The 90's saw the emergence of bio-sciences led by The Stowers Institute. With each passing decade we attempt to latch on to one particular industry in the hopes that we have found the it thing. The only common denominator seems to be that we continue to fail in learning the lesson that singularity of focus in economic development leads to eventual failure. With the recent announcement that Smith Electric Vehicles is coming to the United States, and intends to build a manufacturing facility in North America, it stands to reason that EV's (Electric Vehicles) will soon grace the streets of our more progressive U.S. communities. It's no longer a question of if the United States will begin pursuing alternative fuel transportation modes, but when. I am the first to admit that the alternative fuel industry is hardly mature. The metro only has one EV dealership to date and it remains to be seen whether suburbanites will catch on to electric cars as anything more than a fad. Solar power is viable today, but only in states with significant subsidies. Our current group in Jefferson City is more enamored with ethanol than a truly clean and renewable resource like the sun. Wind and hydrogen power also show promise but are mired in technological problems that have yet to be solved. Yet even with these limitations, the promise of a new industry based around sustainable energy is too great to ignore. The Automotive X-Prize will elevate the profile of real solutions to our dependence on fossil fuels. Tesla Roadster has gone into production of their Lotus-designed electric sportscar. Phoenix Motorcar is already making fleet deliveries of their electric SUT (Sport Utility Truck) and will soon follow up with an electric SUV. Even General Motors is still sticking by their assurances that the Chevy Volt is more than just vaporware and will grace showroom floors in 2010. Back to Smith EV. Usually by the time a company issues a press release, the opportunity to make the pitch to Consider Kansas City has probably passed, but I think it is important for our economic development officials to stay on top of new opportunities involving sustainable energy. Once Smith EV arrives and begins making inroads into the US delivery truck industry, other manufacturers are sure to follow suit. These are the kinds of gambles we should be taking in the area of creating new jobs. I'm certainly not advocating pursuing green industry while forsaking all others. We should certainly continue to invite all types of industry to locate in the metro. It just makes sense to me that if everything is going to be "up to date in Kansas City" we need to be up to date on what's coming over the horizon, not fading into the past.

Finding new sources of revenue

By Mark Forsythe The Kansas City Post In the current round of budgeting there appears to be a serious shortfall. Most estimates I've seen come in around $78 million. It's obvious that when you're short on revenue you have to spend less. The city council faces some tough decisions on where cuts are to be made. What strikes me the most is in all this talk about the budget, everyone is proposing cuts, but nobody is looking at the problem from the other side. What about increasing revenue? Of course it's not just a simple matter of "finding" a few extra dollars from new sources, but when tackling finance issues it's important to take a complete approach. There are many opportunities to squeeze a few more dollars into the city coffers. You just have to be creative. Many times I have been told that city government partnering with private interests is a non-starter. Issues of partiality, conflict of interest and many other "why we can't do it" excuses arise. Yet our own Public Works Department has launched a progressive recycling project that offers advertising space on the side of receptacles located throughout downtown. The walls of the KCI terminals are lined with advertisements. I'm sure creative minds can think of other opportunities to offset program costs by offering sponsorships. What about the Clean Sweep program? Every year the amount of dumpsters available to neighborhoods becomes fewer and fewer due to budget constraints. Why not sell advertising space on the side of the dumpsters? Playground equipment is another possibility. In a quick unscientific poll of neighbors with children, there was no opposition to an ad or two on the playground. In fact, the general reaction was one of goodwill towards any corporation who would buck up for a nice swing set or slide. Obviously selling a few ads is not going to balance the budget. We must look to other sources. Each year millions of dollars in federal grants are distributed across the country. Municipalities obtain these grants through a process of applications, establishment of need and ability to meet various guidelines. Most municipalities acknowledge the value of these programs by retaining a development department. Kansas City is one of the few major cities that does not have even one full-time grant writer, let alone an entire department. Obtaining grants is a complicated bureacracy and asking city employees to secure grants in addition to their regular responsibilities puts Kansas City at a competitive disadvantage. It may seem counter-intuitive to add employees in a time of budget shortfall, but a grant writer position pays for itself many times over. Municipal budgets are complicated. Prioritizing spending takes no small amount of political courage. But finding new sources of revenue will be time and effort well spent.