1960-20101960-2010

Mark DavisonMark Davison

Economic decline Economic decline in WNYin WNY

St. Lawrence SeawaySt. Lawrence Seaway

St Lawrence SeawaySt Lawrence Seaway

• President Eisenhower and Queen President Eisenhower and Queen Elizabeth work together to open Elizabeth work together to open St. Lawrence Seaway.St. Lawrence Seaway.

• This now allows ocean-going This now allows ocean-going vessels to bypass Buffalo and go vessels to bypass Buffalo and go to more western lake ports.to more western lake ports.

• The impact on Buffalo is The impact on Buffalo is immediate. Ocean-going vessels immediate. Ocean-going vessels carrying goods both to and from carrying goods both to and from the Midwest now bypass Buffalo. the Midwest now bypass Buffalo.

St. Lawrence Seaway St. Lawrence Seaway continued:continued:

• With little or no reason now for With little or no reason now for ships to go to Buffalo, a whole ships to go to Buffalo, a whole range of waterfront industries: range of waterfront industries: boat companies, ship chandlers, boat companies, ship chandlers, ship repairers, and shipbuilders, ship repairers, and shipbuilders, begin to decline and eventually begin to decline and eventually disappear. Thousands of jobs disappear. Thousands of jobs also disappear.also disappear.

Grain IndustryGrain Industry

• Buffalo was a key place for Grain storage Buffalo was a key place for Grain storage prior to the opening of the St. Lawrence prior to the opening of the St. Lawrence Seaway.Seaway.

• Buffalo was the grain storage capitol of the Buffalo was the grain storage capitol of the world.world.

• But with the Seaway that grain was shipped But with the Seaway that grain was shipped to Montreal via the Seawayto Montreal via the Seaway

• The creation of the St. Lawrence Seaway in The creation of the St. Lawrence Seaway in 1960 hurt Buffalo terribly1960 hurt Buffalo terribly..

Bethlehem SteelBethlehem Steel

• Bethlehem steel closes down Bethlehem steel closes down its plant in Lackawanna NY.its plant in Lackawanna NY.(1983)(1983)

• In 1965 they employed In 1965 they employed 20,000 employees and in 20,000 employees and in 1977 it dropped to 8,500 1977 it dropped to 8,500 employees, before being employees, before being disbanded in 1983 to just a disbanded in 1983 to just a Skelton crew.Skelton crew.

• A serious fiscal crisis was a A serious fiscal crisis was a direct result of the closing of direct result of the closing of the steel plant.the steel plant.

Bethlehem Steel continuedBethlehem Steel continued

•Not only did the city of Not only did the city of Lackawanna suffer but also the Lackawanna suffer but also the city of Buffalo and Erie county.city of Buffalo and Erie county.

•The effect that this had on the The effect that this had on the economy was very significant.economy was very significant.

Smaller contributions to Smaller contributions to declinedecline• 1985-The first segment of the 1985-The first segment of the

Buffalo Light Rail Rapid Transit Buffalo Light Rail Rapid Transit System opens. Construction took six System opens. Construction took six years, disrupted business along Main years, disrupted business along Main street, and made driving downtown a street, and made driving downtown a motorist's hell on wheels.motorist's hell on wheels.

• Traffic was often backed up for hours Traffic was often backed up for hours steering motorists away from steering motorists away from downtown Main street.downtown Main street.

Businesses steer clear of Businesses steer clear of WNYWNY

•City is unwilling and reluctant to give City is unwilling and reluctant to give tax breaks to incoming businesses.tax breaks to incoming businesses.

•Buffalo is under the national average Buffalo is under the national average in net earnings per worker.in net earnings per worker.

•In 2000 there were 110 U.S. that had In 2000 there were 110 U.S. that had a higher average than Buffalo.a higher average than Buffalo.

Poor planningPoor planning

• Buffalo for once attracts a high Buffalo for once attracts a high caliber event; Buffalo hosts the caliber event; Buffalo hosts the World University Games.World University Games.

• Attracted athletes from over 130 Attracted athletes from over 130 countries.countries.

• But with poor planning no major But with poor planning no major sponsors were obtained, thus sponsors were obtained, thus leaving a deficit in the range of leaving a deficit in the range of $2.9 million and $4.4 million.$2.9 million and $4.4 million.