week of 1/7/04
 
 
 
  Broadening the vision
Haywood officials change philosophy toward job growth
By Becky Johnson


Almost six-months after an overhaul of the Haywood County Economic Development Commission, members say they have charted a new course in both the philosophy and approach of the county’s economic development efforts.

“Instead of focusing our effort solely on industry recruitment, we have now come to grips with the realization that those industry jobs aren’t out there any more. That reality has been around for several years, but coming to grips with it has been the difficult part,” said Mark Swanger, a county commissioner and a supporter of the EDC overhaul in 2003. “To try to recruit something that doesn’t exist is a real waste of time and energy.”

The EDC overhaul consisted of a four-month probe by a 30-member task force into the county’s economic development activities and effectiveness. The county’s economic development director Jay Hinson retired in the wake of the probe. Hinson was criticized during task force meetings for failing to be proactive in job creation efforts during his five-year tenure.

Economic development efforts are now being led by Mark Clasby, a businessman and CEO of a local company who was appointed interim EDC director after Hinson’s departure. Clasby is one of six finalists being interviewed for the permanent job.

Clasby said the county has adopted a broader vision of economic development.

“In the past we tended to look at just manufacturing, but today all segments are important to economic growth,” Clasby said. “As we begin to see the signs of coming out of recession, we are looking at a knowledge-based economy instead of the industrial-based economy of the past.”

Clasby described a three-pronged approach to job creation: growing existing businesses, supporting entrepreneurs and recruiting. The entrepreneur component is the most progressive of the three strategies. Clasby described it as “being a consultant” to start-up companies. The recruiting component is reminiscent of traditional economic development tactics, with Clasby traveling to trade shows and going on “call missions” to industries that have expressed a desire to relocate.

The new EDC has begun to tackle a few of the “problem areas” identified by the economic development task force last summer. One of those problems was not paying enough attention to existing business and industry. Clasby has initiated an aggressive conference schedule with existing industry and business to hear their needs and concerns.

“The very best way to grow your local economy is to create a very positive atmosphere with your existing industries,” Swanger agreed.

The conferences have paid off. One result is that Clasby matched up WestOne Cable with a free training program conducted by Haywood Community College. The college received a $45,000 grant to conduct industry-specific training for employees of WestOne Cable, a local company that has added 20 jobs in the past six months and plans to add 15 more in coming months. To accommodate the company’s planned growth, it recently relocated to a small business park created out of the former Lea Industries furniture plant that closed down two years ago.

Another flaw identified by the task force was communication. Clasby has initiated a roundtable series to bring together key entities in the county that have a stake in economic development, such as the Downtown Waynesville Association, Maggie Valley Chamber of Commerce, Lake Junaluska Assembly, Haywood Regional Medical Center and the power companies Haywood Electric Membership Corporation and Progress Energy. These entities were often left out of the loop in the past and could not contribute to or collaborate on economic development efforts if they did not know what those efforts were.

“We’re trying to reach out and bring people in and be inclusive,” Clasby said.

Another shortcoming identified by the task force was failure to aggressively pursue prospects who had inquired about relocating to Haywood County. Clasby is revamping a marketing video sent to these prospects. The message and images conveyed in the video will be updated and converted to a disc rather than a VHS format. Clasby also is making a proactive effort to lobby site consultants who are in turn hired as scouts by industries looking to relocate.

One significant outcome of the task force’s work was a revamping of the membership of the Economic Development Commission. Formerly the EDC was made up of private sector businessmen and now it includes commissioners and town aldermen, two business sector representatives and the employment security commission. The restructuring may appear cosmetic on a cursory glance, but it has achieved concrete results, Swanger said.

“It’s far more inclusive in terms of the municipalities being involved with the county and in terms of a team approach,” Swanger said. “Everybody in the county is a stakeholder now. It is important to have a united front.”

The former EDC, however, included engineers, architects, Realtors and bankers who had a more diverse skill set to offer prospective business clients. The new EDC wants to draw on private-sector businessmen and women to serve on special committees that could be tapped into as the need arises, forming a type of quick response team, Swanger said.

Swanger cited the shift in the prevailing philosophy, however, as the most significant change that came out of the process. The new philosophy has also been adopted by the Haywood Advancement Foundation, a quasi-public, non-profit group that acts as a sister organization to the EDC.

The Haywood Advancement Foundation owns the 33-acre former Dayco site that was bailed out of bankruptcy court using $1.3 million of local tax dollars. HAF previously insisted the site be reserved for a manufacturing entity, but after 18 months of sitting vacant and with few prospects on the horizon, HAF has reversed its official opinion and is welcoming mixed-use proposals that could include retail, residential and office complexes.

“Haywood Advancement had agreed to change the philosophy for how (Dayco) is being marketed,” Swanger said.