What is Driving Our Efforts?

Creating Successful 21st Century Communities

Competition (often global) for people, jobs and culture

We cannot wait for the state to save us!

Our services and events must prepare Michigan’s community leaders to tackle the challenges of the NEXT fifty years, not the LAST 50 years.

It is about PLACE. PLACE MATTERS!

Volkswagen of America Moves HQ

Why will Volkswagen Move?

VW moving U.S. headquarters to lure talent. - Associated Press

Chief Executive Stefan Jacoby said that VW is moving in the hopes of attracting a skilled young work force. – Washington Post – "For a young talent, 35 years old, to come here with his family ...

is a very important factor," Jacoby told the Post. "By reducing this organization by 30 percent, you need even more talents, more creative people, more motivated people."

Volkswagen AG is moving its North American headquarters from Michigan to northern Virginia to attract a younger skilled workforce. - Detroit Free Press

The Troy Young People Question

Most Prosperous States

Connecticut

New Jersey

Massachusetts

New York

Maryland

Wyoming

New Hampshire

Colorado

Virginia

California

Traits of Prosperous States

High proportion of wages from knowledge industries

High proportion of college grads

Big metro with higher per capital income than state

Largest city in that metro has high proportion of college grads

Michigan’s Income Rank Aligning with Our College Attainment Rank

16

26

34 34

10

15

20

25

30

35Per Cap Income % 4 year degree

20002006

Most Prosperous Regions

San Jose/San FranciscoWashington/BaltimoreNew York/NewarkBoston/Worchester/Manchester (NH)HartfordDenver/BoulderMinneapolis/St. PaulSan DiegoSeattlePhiladelphia

Major Metros Win! Smarter…

21.2

26.628.1

32.2

15

17

19

21

23

25

27

29

31

33

% with 4-year degree

Under 1 m1-1.6 m1.6-3.5 m3.5 m up

Major Metros Win! Richer…

Per cap income

$28,583

$33,140

$34,853

$39,601

$25,000

$27,000

$29,000

$31,000

$33,000

$35,000

$37,000

$39,000

$41,000 Under 1.0 m

1.0-1.6 m

1.6-3.5 m

3.5 m or more

30

25.6

23 20.822.2

27.7

30.5

37.2

15

20

25

30

35

40

% under $25K % over $75K

Under 1 m1-1.6 m1.6-3.5 m3.5 m up

Major Metros Win! Fewer Poor…

Michigan Struggling

26

15

49

34 34

45

05

101520253035404550

Rank per cap Rank Pop. w/ degree

Michigan Detroit GR

Job Growth, U.S.

0

0.5

1

1.5

2

2.5

3

All industryLow education High education

$40,677

$31,995

$52,980

Per

cent

cha

nge

2001

-05

Job Growth, Michigan

-7

-6

-5

-4

-3

-2

-1

0

1

All industryLow education High education

% c

hang

e 20

01-0

5 $41,214$35,725

$49,629

A New Paradigm for Regional Cooperation

It is less about who provides services than it is about implementing true regional strategies to meet our collective challenges.

Attracting Young People

Public Transportation

A Variety of Housing Options

Improving Entrepreneurial Climate

Protecting Green Spaces

Reviving Central Cities

Leveraging Anchor Institutions

Green Infrastructure

Fostering New Programs and Events

The League is creating original services aimed at improving the future prospects of communities in Michigan.

Internal Policy Team and Municipal Litigation Center reports– Dealing with Foreclosures – Tools for Restoring Communities

Community Design and Education Program Center– One-of-a-kind training and educational programming– Community “Audit” for attracting young people and fostering

an entrepreneurial environment– Creation of a Community Design Center

League Redevelopment Initiatives

Corridor Improvement Authority passed into law.– Municipalities can create special authorities to redevelop

commercial corridors that are at least 30 years old.

Corridor Improvement Authority fixes passed Senate and expected to pass House this week or next week.– This makes it easier for local units to create a CIA and create

redevelopment in corridors.

Commercial Rehabilitation Act passed into law.– This allows a municipality to establish a commercial

redevelopment district where taxes can be abated for commercial property.

League Redevelopment Initiatives (cont’d)

Brownfield Redevelopment Act reauthorization and improvements passed into law.– Municipalities can establish brownfield redevelopment zones

and authorities, which may implement brownfield plans for the redevelopment of commercial or industrial property.

– This is one of the few Acts where local projects can receive state dollars in addition to local dollars, in order to create redevelopment.

Brownfield tax credits bills swapped chambers (1 in House and 1 in Senate).– The credit is increased from 10% to up to 12.5 % of the costs

of the investment paid, or up to 15% of the costs if the projectwas designated as an urban development area project by MEGA.

League Redevelopment Initiatives (cont’d)

Redevelopment liquor licenses enacted into law.– Creates new liquor licenses that are issued specifically for

redevelopment projects.

Commercial Rehabilitation Act grocery districts passed the Senate.– Allows for Commercial Rehab Act abatements for retail

supermarket, grocery store, produce market, or delicatessen in an underserved area.

League Redevelopment Initiatives (cont’d)

Downtown legislative package being considered by Senate.– Senate has a variety of bills on assisting downtowns with

economic redevelopment.• DDAs—allow for business incubators, low-income

loans• Increase the historic tax credits• Recreate the Commercial Redevelopment Act to

provide abatements for knowledge-based businessesNEZ—allow by parcel, allow for hotels.

• Create urban recreation trails.– The MML will propose a variety of other ideas to add to the

package, which are expected to become bills and see legislative action.

League Redevelopment Initiatives (cont’d)

Corridor Improvement Authority (CIA) amendments for Detroit project passed into law.

CIA to be strengthened for retail and restaurant complex at 8 Mile Road and Woodward Avenue.

Transportation revitalization zones– Leads to transit-oriented development– Creates mass transit in urban areas– Tool to help direct businesses and dollars on transit

routes/stops

Increase transportation revenues to maintain transportation infrastructure.– Gas tax

Better Communities. Better Michigan