UCLA 2006 Economic Development Potential of the Green Sector

http://www.greenforall.org/resources/ucla-policy-brief.pdf

• Policy Brief written by Paul M. Ong (professor of urban planning and social welfare) and Rita Varisa Patraporn (graduate student?) of The Ralph and Goldy Lewis Center for Regional Policy Studies. Has a more academic presentation and writing style than other reports.
• Heavy emphasis on competition and "first mover advantage" between different cities/regions of the US and between the US and abroad. e.g., "Although the odds of winning the inter-regional competition to grow the Green sector are unknown, taking the risk to implement the initiative is worthwhile because of the potential high pay off." (p.1)
• Acknowledge goal of managing growth in way that benefits disadvantaged populations.
• Recommendations aren't anything new:
• 1. Adoption of policies and programs by public agencies to promote economic development by “piggy backing” on current and projected local and regional induced demand for Green products and services. This enables the region to take advantage of locally induced demand.
• 2. Develop infrastructure and incentives for public and private investment to overcome the barriers to financing a Green sector.
• 3. Develop a “town-gown” network to promote the production, diffusion and adaptation of knowledge to ensure that a region has an edge in innovation.
• 4. Eliminate cumbersome city rules and regulations that hinder development of a Green sector; establish operating procedures that facilitate the expansion of Green firms; and promote the development of a Green industrial service park.
• 5. Match training to labor needs of the Green sector through the utilization of local community colleges and the Workforce Investment Act.
• 6. Maintain accountability by developing timely performance measurements and monitoring strategy, including outcomes for workers, firms and neighborhoods.
• 7. Establish an office to coordinate the proposed initiative and appoint a Green expert who is knowledgeable about environmental issues and economic development.
• 5 Rodino and Associates published report in 2002 on most active regions in environmental technology (LA, Chicago, Philadelphia, NY, Boston)
• 7 Emphasis on lower costs through economies of scale and agglomeration (clustering of related businesses in geographic space)
• Authors say they do not know the optimal size of the sector or the role of agglomeration, but they also do not define the "green sector"
• 9 Emphasis on assessing region's strengths and weaknesses, including current environmental regulations (as demand driver), strengths of existing firms and research institutions, capital markets, governance structure, skills mismatch,...
• 12 Importance of linking environmental policies to local economic development to meet new demand for services and goods (e.g., need trained workers for water and energy conservation, green building, etc).
• 14 Regarding job training: A systematic and consistent forum between community colleges, Workforce
• Investment Boards and firms needs to exist. Such a discussion would benefit the growth of the Green sector, as firms are able to fulfill their labor needs with an appropriately skilled and trained work force. This ensures a region’s lead as a place where a firm’s labor needs can be met uniquely and unlike anywhere else in the country. For example, Los Angeles Trade Technical College links its students with firms that construct the campus’ Green buildings. The College’s architecture program trains and places College students into jobs specifically for constructing campus Green buildings.20 In addition, the California State Employment Development Department currently has a solar training program. Simultaneously, there are proposals in the California state legislature (AB2617 Saldana) to support funding for this solar energy-training program.21 (p.14)
• Authors are thinking about LA, but recommendations and need to coordinate actions apply to everyone. Focus is definitely on economic development (become a winner instead of a loser) instead of environmental protection (in which a more collaborative approach would be called for). Mention the role of government as being simply a coordinator, but it is clear that government intervention needed in several areas to bring together all the components.