PowerTemplate

Adapted from the CTLCV 2008 Environmental SummitConnecting the Dots: A Brief Survey of Where We Are, How We Got Here, and the Need to MakeSustainability the Cornerstone of Our Economic Renewal Strategy1ContentsPreface1Economic Landscape2Legislative & Planning Landscape3Best Practices in Sustainability Planning4Where to From Here?52Kelly Kennedy: Think. Plan. Do.2PrefacePurpose of this paperBackgrounder for Speakers:Enviro Panelists from CCEF, TPL, 1000 Friends, CFEPolicy Panelists Joe McGee, Bob Santy, Albert Martin, Joan McDonald, Amey Marrella AudienceEnvironmental AdvocatesLegislatorsAgency RepsTiming: December 2008

3Kelly Kennedy: Think. Plan. Do.Linking the Environment, Economic Development & Investment

In view of current economic conditions, CTLCVs 2008 conference focused on linking environmental sustainability with economic development, innovation, and investment.3SustainabilitySustainability: Meeting the needs of current & future generations by integrating

Environmental protectionSocial advancement Economic prosperity.

From The Brundtland Commission, formally the World Commission on Environment and Development, convened by the United Nations in 1983 to address concern about the accelerating deterioration of the human environment and natural resources and the consequences for economic and social development.

Kelly Kennedy: Think. Plan. Do.44Economic LandscapeSustainable Development: Linking the Environment, Economic Development & InvestmentKelly Kennedy: Think. Plan. Do.55Economic LandscapeComptroller Reports Current Year Deficit at $338 Million and Climbing

Income tax revenues $131 million below projected

SUT revenues $207 million below projected

in PPGET revenue reported as well

Kelly Kennedy: Think. Plan. Do.6

CT Voices reported:

IN 2009, 42 states, including all six New England states and neighboring New York and New Jersey, are facing budget gaps for FY09 (the state fiscal year which in Connecticut runs from July 1, 2008 through June 30, 2009).

As of February 2009, Connecticut's Office of Fiscal Analysis projected state budget deficits of

$1.35 billion in FYE 2009, $3.97 billion in FYE 2010, and

$4.71 billion in FYE 2011.

6Economic LandscapeDeficit Mitigation

If deficit > 1% of total appropriations, then Gov to produce deficit mitigation plan

Rell was on her 2nd deficit mitigation plan as of 12/2008

Rell pushes for more fed funding from Stimulus 2Kelly Kennedy: Think. Plan. Do.7Rell looks for 100% fed funding for shovel ready projects that will get people back to work including road, bridge, rail and public buildings and economic development and housing initiatives7Economic LandscapeThe Inside View: OPMs Take

November 2008 Fiscal Accountability Report

Energy Costs Up 135% increase from 2000 to 2008 = $70MM

Bond Ratings Not So GoodCT the lowest, or nearly so, of New England statesQuite low among the other 39 rated states

8Kelly Kennedy: Think. Plan. Do.detailed breakdowns of estimated revenues and projected expenditures for the current and next three fiscal years, through 2012.

Bond ratings vary by rating agency. Moodys ranked CT the lowest in NEFitch ranked CT above NJ, NY, RI

8Economic LandscapeKelly Kennedy: Think. Plan. Do.9

This is a snapshot from OPMs Fiscal Accountability Report

Before 2008, CTs bond rating had not been downgraded since July 2003, by Moodys9Economic LandscapeFiscal Accountability Report: Debt Burden Eating Up the BudgetConnecticuts debt service expenditures have doubled since 1997 eleven yearsUnfunded pension liability projected at $57 BillionCT Debt Burden How bad depends on what you measureCT Ranks 4th when state debt measured per capita basis $6876/ personCT ranks 7th if debt measured as a % of personal incomeCT ranks 27th if debt considers income and other debt of counties & political subdivisions

Kelly Kennedy: Think. Plan. Do.10Good News for 2011: Based on an unanticipated boost in revenue, state officials say they will be taking action in the next week to cancel a plan to borrow about $1 billion in order to balance this year's state budget. (CT News Junkie, 5/31/11)10Economic LandscapeView from the Outside: CERCAnnual Benchmarks Reports for State of CTAnnual Research & Policy Conference 2008 Conference: Connecticut in 2020 based on economic and demographic changes5 policy areas that most impact economic growth:Transportation and InfrastructureHuman CapitalUrban InvestmentBusiness Investment HousingKelly Kennedy: Think. Plan. Do.11CERC is a public-private partnership, funded primarily by utility and telecommunication companies, whose mission is to make Connecticut a more competitive business location.

As an aside, that would seem to be DECDs job

Perhaps not surprisingly, given CERCs mission to make CT an attractive business location, the 5 policy areas that CERC focused on line up, more or less, with criteria cited by businesses as being most important in site selection

11Economic LandscapeCT the only state to have fewer businesses in 2006 than in 1989Business establishments in US & Northeast have risen

Kelly Kennedy: Think. Plan. Do.12

CERC : CT 2020Business Investments

Connecticuts ability to create jobs has eroded over time. While the rate of new businesses being established in the US and the Northeast has been increasing since 1989, CT is the only state with fewer businesses in 2006 than in 1989. Since businesses and jobs go hand in hand, this is a big problem.

Connecticuts job growth is mostly in lower-paying industries. Wages are expected to decline by 4% by 2020. As economic opportunity continues to weaken, residents and businesses will continue to migrate to other parts of the country for careers and profits.

12Economic LandscapeKelly Kennedy: Think. Plan. Do.13

CERC: CT 2020

CTs job growth mostly in low-paying industriesCERC projects wages by 4% by 2020 Expect out migration because of limited economic opportunityLowest paying sectors were

- Amusement, Gambling, & Recreation (Casinos)

Social Assistance

Food Services & Drinking Places

13Economic LandscapeCERC: CT 2020 - Transportation & Infrastructure

By 2008 CTs transportation investment was < the 50-state average48% of CT roads in poor or mediocre condition30% of bridges are structurally deficient or functionally obsoleteTrucking to increase 48% by 2020$3.1 billion shortfall through 2017And weve identified $7 billion worth of new projects.Kelly Kennedy: Think. Plan. Do.14Transp spending Increased by late 1980s b/c of the 1983 Mianus River Bridge collapse.

Transportation for America has recently released some good reports on infrastructure and maps on transit options from urban ctrs.

Transp important for every sector.

Transit esp impt for urban populations to access jobs, which are tending to migrate to suburbs

Only about 4% CT residents use any form of public transit, including bus, ferry and rail

14Economic LandscapeCERC : CT 2020 Human CapitalAging populationShrinking population of income earners (and taxpayers)Out migration from urban centers: People, Businesses, JobsOut-migration from stateWorkforce a top factor in competitivenessKelly Kennedy: Think. Plan. Do.15

Prosperity depends on innovation, productivity and highly skilled workers. Human capital is deemed by many to be at the root of our regions competitiveness.Connecticut under-produces college graduates in science, technology, engineering and medicine. And we do an excellent job of exporting those we do produce.

Our trend lines for new and retiring workers are going the wrong way. Retiring workers are on the increase; new workers are on the decline. An aging population has more service needs and produces less revenue in the form of taxes that pay for those services. This is especially problematic because CT relies heavily on the personal income tax, which currently generates 52% of all revenues.

The perception builds that CT is not a vibrant place for young workers, and it gets harder and harder to attract and retain them.15Economic LandscapeCERC : CT 2020 Urban Revitalization

In 2008, no state office in CT for urban policy

Good News! Malloy created an Urban Initiatives Counsel in DECD (former Rep Caruso from Bridgeport)

Kelly Kennedy: Think. Plan. Do.16Urban Revitalization. Our ailing urban centers have profound implications for our competitiveness. Connecticut has no statewide coordinating entity responsible for focusing on the states urban centers. Obama is creating a White House Office on Urban Policy. We would be smart to take a coordinated approach in Connecticut too.16Economic LandscapeCERC : CT 2020 HousingTo buy a median-priced house ($278K) house, you need an annual HH income of $80-90K to get a mortgageBut by 2014, 72% of the new jobs in CT will pay < 40K/yearProperty tax reliance a related, but separate, problem unto itself.

Kelly Kennedy: Think. Plan. Do.17

17Legislative & Planning LandscapeSustainable Development: Linking the Environment, Economic Development & InvestmentKelly Kennedy: Think. Plan. Do.18Moving on to CTs existing legislation and plans.18Legislative + Planning LandscapeLand Use PlanningOffice of Responsible GrowthState Plan of Conservation & DevelopmentBlue Ribbon Report on Property Tax Reform & Smart GrowthConnecticut Climate Action PlanTransportation PlanningDOTOPM Office of Transportation PlanningTransportation Strategy Board: Moving ForwardEconomic Competitiveness PlanningDECD: Statewide Strategic Economic PlanGovernors Competitiveness Council: Partnership for Growth I, II19Kelly Kennedy: Think. Plan. Do.There are probably even more agencies and plans related to the environment and economic development, but the biggest ones I chose to focus on at the time were:

Land use,

Climate change,

Transportation

And Economic Competitiveness19Legislative & Planning LandscapeLand Use PlanningRell Exec Order 15 in 2006 created Office of Responsible Growth in OPM (but new Urban Initiatives office to also include smart growth and housing)PA 07-239 created Responsible Growth Task Force Task Force issues 9 recommendations, including that the Gov and GA formally adopt definition of responsible growth and principles. Do they?State Plan of Conservation & Development update every 5 yearsBlue Ribbon Report on Property Tax Reform & Smart Growth excellent recommendations, never implementedConnecticut Climate Action PlanInitially good on time-limited goals, measurable objectives, but much has been weakened, not being rigorously implemented20Kelly Kennedy: Think. Plan. Do.Principles of responsible growth are to 1) focus on redevelopment; 2) be fair; 3) expand housing opportunities; 4) concentrate development; 5) provide transportation choice; 6) conserve natural resources; 7) plan regionally; and 8) increase job opportunities in appropriate locations.

(But new Urban Initiatives office to include smart growth, and housing)

Blue Ribbon Report on Property Tax Reform & Smart GrowthThe Blue Ribbon Report finds that our fiscal policy and land use policy are inextricably linked and must be addressed together

Connecticut Climate Action Plan2004 legislation called for a multi-sector, comprehensive climate change action plan, with policies and programs to achieve the state's goals for the reduction of greenhouse gas emissions by 2010 and 2020. The resulting Connecticut Climate Change Action Plan includes 55 measures to reach the goals of reducing greenhouse gas emissions to 1990 levels by the year 2010 and an additional 10% below that by the year 2020. 2008 legislation made the voluntary goals mandatory and changed the schedule to mandatory greenhouse gas reductions of 10% below 1990 levels by 2020, and 80% below 2001 levels by 2050. The goal for 2010 was abandoned.20Legislative & Planning LandscapeTransportation PlanningDOTOPM Office of Transportation PlanningTransportation Strategy Board: Moving ForwardFast ForwardTransit champion DOT Commissioner Marie off the map2011 legislation proposes abolishing TSBMeanwhileRoads and bridges not fixing themselves$3.1 B transportation funding shortfall through 2017 + $7 B in new projects

Kelly Kennedy: Think. Plan. Do.2121Legislative & Planning LandscapeEconomic Competitiveness Planning

DECD: Statewide Strategic Economic Plan, 541 pp, 2009. Status?DECD: Office of Strategic CompetitivenessDECD: Office of Responsible DevelopmentDECD: Office of Brownfield Remediation & DevelopmentKelly Kennedy: Think. Plan. Do.2222Legislative & Planning LandscapeGovernors Competitiveness CouncilCreated in 1998 by Rowland Exec Order, to last through 2001Originally known as Govs Council on Economic Competitiveness & TechnologyPublic/Private effort on industry clustersIssues Partnership for Growth: CTs Economic Competitiveness Strategy - edition 1 (1998) and edition 2, (2004)Mystery: What happened to Govs Competitiveness Council?Last mention was a Rell 2006 press releaseKelly Kennedy: Think. Plan. Do.2323But Wait, Theres More!Connecticut Strategic Economic Framework (Gallis Report), 199910 Principles of Smart Growth in Connecticut by CCM (2001)Promoting Smart Growth in Connecticut by the Harvard Design School (2002) Is Connecticut Sprawling, by RPA (2002)Connecticut Metropatterns: A Regional Agenda for Community and Prosperity in Connecticut, by Myron Orfield et al., (2003)Connecticut: Economic Vitality and Land Use , from the Connecticut Regional Institute for the 21st Century (2003)Kelly Kennedy: Think. Plan. Do.2424Wanted: Does Connecticut have too many cooks in the kitchen?

Wanted: One VisionOne Plan for CompetitivenessAgency AssignmentsThen Deployment

25Kelly Kennedy: Think. Plan. Do.25Best PracticesSustainable Development: Linking the Environment, Economic Development & InvestmentKelly Kennedy: Think. Plan. Do.2626Best PracticesOhio: Home of Innovation and Opportunity

State Sustainability Strategy for Western Australia27Kelly Kennedy: Think. Plan. Do.27Best Practices

Crisp Vision

Concise Mission

5 Strategic GoalsShare the Ohio Story Excite the world about Ohio.Strengthen our Strengths - Link and leverage our inventive past with our innovative future.Cultivate Top Talent - Retain, advance, and attract the best workforce and talent in the world.Invest in our Regional Assets- Invigorate our cities and regions as centers of commerce and community.Focus on our Customers- Operate government at the speed of business.

15 Strategies5 Guiding Principles5 Strategic OutcomesBaseline MeasuresProgess Checks in Annual ScorecardKelly Kennedy: Think. Plan. Do.28Goal 4: Invest in our Regional Assetsembodies targets for using clean energy, revitalizing physical assets, creating hubs of innovation and opportunity, and building sustainable, connected, vibrant communities.

Advanced energy and environmental technologies top of Ohios list of statewide targeted industries28Best Practices29Kelly Kennedy: Think. Plan. Do.

Focused, concise summaries of Goals, strategies, major initiatives29Best Practices30Kelly Kennedy: Think. Plan. Do.

Left: Goals, measures, baselines, numerical targets!

Right: Goals, strategies, performance targets, with the overall 5 Desired Outcomes 30Compare: CTs Economic Strategic PlanKelly Kennedy: Think. Plan. Do.31

541 pages31Best Practices

Adopted in 2003Includes an action plan for sustainability and business Identifies a responsible agency for each of the 336 actions

Western Australias Strategy/Plan includes:

sustainability roundtable to advise the government, a sustainability code of practice for government agencies, a sustainability assessment, a sustainability policy unit, and regular progress reports for citizens.Kelly Kennedy: Think. Plan. Do.32State Sustainability Strategy for Western Australia32Where to From Here? Wanted: One Vision, One Plan, Agency Assignments, then Deployment

Adopt a Sustainability EthicSustainability: meeting the needs of current & future generations by integrating environmental protection, social advancement, and economic prosperity

Dont Eat the Seed Corn Preserve, invest in, capitalize on our assets

The Climate for Change is [Still!] NowIf the age of permanent fiscal crisis isreal, then we need a new game, witheveryone pulling in the same direction.

33Kelly Kennedy: Think. Plan. Do.

33Thank you!34