All posts by Brendan Buff

New Research on Manufacturing Gains Notice

After decades of decline, the U.S. manufacturing sector is demonstrating its resilience: between 2010 and 2017, the manufacturing sector’s contribution to U.S. GDP grew by 34 percent and U.S. manufacturers added nearly 1 million net new jobs. With this resurgence of manufacturing, state and local leaders are looking beyond traditional incentive-laden business attraction strategies – and are revisiting critical questions about what works in manufacturing policy.

Last year, Economic Development Quarterly, a scholarly journal with an emphasis on local economic development, partnered with the Manufacturing Extension Partnership (MEP) at the National Institute of Standards and Technology to put together a special issue on manufacturing. CREC’s CEO, Ken Poole, guest edited the special issue, and the first of two volumes was released earlier this month. You can find the introduction here.

Over the next few months, we’ll be featuring articles from the December issue here on our blog. These articles examine:

  • the link between company innovations and profits;
  • MEP models for delivering consulting services to smaller manufacturing firms;
  • strategies for retaining globally mobile companies;
  • the role of design in manufacturing innovations; and
  • the skills and credentials of the manufacturing workforce.

Check in over the next few months as we eagerly anticipate the release of the second volume – so you can find what is interesting to you. Access to the journal articles is through subscription or  individual purchase.

C2ER Update on Federal Statistics September 2018

Is Congress funding my data?

President Trump’s agenda to cut costs and streamline government has those who use and value Federal statistics concerned about the future of critical agencies we rely on. Frankly, these agencies, such as the Census Bureau, Bureau of Labor Statistics (BLS), and Bureau of Economic Analysis (BEA) have been flat funded for almost a decade. Now what? The latest we heard on funding could be dire for BLS and concerning for the Census.  It is crucial that C2ER members communicate to their Senators and Representatives the importance of BLS data to businesses’ decision-making and profitability. For example, Steve Pierson wrote an op-ed in the Washington post on the importance of funding the Bureau of Labor Statistics, providing an important voice in a newspaper undoubtedly read by legislators and their staffers.

Continue reading

Data Advocacy Update

2017 has brought a great deal of change to Washington, with a new Administration and Congress. With so many new faces and political developments, it can be hard to keep up. There are a few important developments that you need to pay attention to.

The “skinny budget” proposed by the Trump Administration contains a series of substantial cuts to federal statistical agencies. This budget provides $1.5 billion, an increase of more than $100 million, for the U.S. Census Bureau to continue preparations for the 2020 Decennial Census. This additional funding prioritizes fundamental investments in information technology and field infrastructure, which would allow the bureau to more effectively administer the 2020 Decennial Census. However, the Census Bureau will require significant increases in its budget to prepare for and administer the rapidly approaching Census.

The proposed budget consolidates the mission, policy support, and administrative functions of the Economics and Statistics Administration within the Bureau of Economic Analysis, the U.S. Census Bureau, and the Department of Commerce’s Office of the Secretary. It will also reduce funding for USDA’s statistical capabilities, while maintaining core Departmental analytical functions, such as the funding necessary to complete the Census of Agriculture.

Keep in mind that Congress has the power of the purse and that the drastic cuts proposed by the President are only proposals. A full budget will emerge later in the spring with more details, and this is when the real decisions will be made about the FY 2018 budget. It is increasingly likely that the FY 2017 budget will be a continuing resolution, effectively extending funding at current levels until the end of the fiscal year.

There are also important decisions to be made regarding leadership for the Census Bureau and Bureau of Labor Statistics. Census Bureau Director John Thompson’s five-year term expires at the end of 2017, while Bill Wiatrowski is serving as Acting Commissioner of the BLS following the end of former Commissioner Erica Groshen’s term. It is important that President Trump appoint quality leaders who understand the importance of these agencies.

There are several other legislative priorities to consider with regard to federal statistics. While there is less support for making the American Community Survey voluntary, which would dramatically reduce response rates, there are other concerning developments. The Local Zoning Decisions Protection Act of 2017, introduced by Rep. Paul Gosar (R., Ariz.) and Sen. Mike Lee (R., Utah), could limit data available for Department of Housing and Urban Development geospatial data. There are concerns that the Census could become politicized by the inclusion of questions of immigration status in the survey.

C2ER is working hard to ensure that these valuable data resources are protected and supported in Congress. We will continue to monitor these developments and educate policymakers about the critical importance of federal statistics to C2ER members.

Advocate for Important Data Programs

Congress and the Administration have reached a budget deal for FY2016 (and FY2017) that will increase the overall spending limit for non-defense discretionary programs by $25 billion for the fiscal year that started October 1st. The House and Senate Appropriations Committees must now revise the 12 annual funding bills, and Congress must enact them, before the temporary spending bill (Continuing Resolution) expires on December 11th.

This is an opportunity for  members to advocate to the House and Senate subcommittees in charge of funding for the Census Bureau, Bureau of Labor Statistics, and Bureau of Economic Analysis. The new budget framework provides additional resources for the appropriate committees in charge of these vital data programs (Commerce, State, Justice or equivalent in the House/Senate and Housing Education Labor Pensions or equivalent in the House/Senate). The Census Project is currently circulating a letter advocating for full ACS funding. Now would be a good time for your Senator or Congressman to hear about the importance of Census, BLS, and BEA funding.

Annual Versus Biennial Budgeting

Users of the C2ER Economic Development Program Expenditures Database may notice differences in how frequently the budget for each state is released. This is because states have the choice of using either annual or biennial budgets, meaning budgets released every two years. Therefore, some states will not release their proposed budget for an extra year, or will not release actual budget numbers for more than two years. A number of factors go into why a state decides to use an annual or biennial budget. Continue reading

A look at film tax incentives

On first guess, it might be easy to assume that the biggest movie-producing state in America would be California or New York – states well-known for being full of stars and movie sets. Interestingly, this isn’t the case. Louisiana accounted for 18 of the 108 films produced by major studios last year, more than California, Georgia, and New York, the next most-filmed-in state. Continue reading

Ellen Harpel on Evaluating Incentives Programs

CREC Research Fellow Ellen Harpel (of Smart Incentives and Business Development Advisors LLC) recently gave an informative webinar on evaluating incentives programs where she gave an overview of types of incentives programs, frameworks for evaluation, and trends in incentives transparency and accountability. Continue reading