GROWING FROM WITHIN A BLUEPRINT FOR GROWTH IN DELAWARE COUNTY

Table of Contents

THE CURRENT ENVIRONMENT ...... 5

DEMOGRAPHIC CHARACTERISTICS AND TRENDS ...... 6 Population ...... 6 Household Income ...... 10 Age ...... 11 Race ...... 12 EDUCATION ...... 13 Property Type ...... 23 Higher Education ...... 23 ECONOMIC ANALYSIS ...... 25 Industry Mix and Diversity ...... 25 Regional Production ...... 27 Industry Concentration ...... 28 DETAILED PROFILES OF SELECTED INDUSTRY SECTORS ...... 34 Professional, Scientific, and Technical Services Sector ...... 34 Management of Companies and Enterprises Sector ...... 35 The Manufacturing Sector ...... 36 Health Care and Social Assistance Sector ...... 37 Arts, Entertainment, and Recreation Sector ...... 38 Movement of People and Goods ...... 40 THE LOCAL CLIMATE ...... 47

BUSINESS OWNER SURVEYS ...... 47 MUNICIPAL SURVEYS ...... 47 FOCUS GROUP SESSIONS ...... 47 Focus Groups: Morning Session (Local Businesses) ...... 47 Afternoon Focus Group: Municipal Officials ...... 49 CONCLUSIONS ...... 53

EMERGING THEMES AND OPPORTUNITIES ...... 54 STRATEGIC PLANNING OBJECTIVES ...... 54 STRATEGIC ACTION AND IMPLEMENTATION PLAN ...... 54 EMERGING THEMES AND OPPORTUNITIES ...... 55

1. STRONG COMMUNITY WELLBEING ...... 55 A Growing, Diverse Population ...... 55 Higher-Than-Average Incomes ...... 56 Higher-Than-Average Spending Power ...... 57 A Shortage of Retail Amenities ...... 57 A Variety of Housing Price Points to Accommodate All Income Levels ...... 58 Quality Schools ...... 59 A Strong Educated Workforce ...... 61 Arts & Culture and Entertainment & Leisure Amenities ...... 62

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2. A HEALTHY, DIVERSE ECONOMY ...... 63 A Diverse Industry Mix ...... 63 Strong Economic Base and Local Attractiveness ...... 64 Innovation Clusters and Cluster Opportunities ...... 64 Strong Innovation Partners ...... 66 A Significant Outflow of Knowledge Workers ...... 66 3. OPTIMAL LOCATION AND ACCESS ...... 67 A Robust Transportation Network ...... 67 Waterfront Capacity ...... 68 STRATEGIC PLANNING OBJECTIVES ...... 69 STRATEGIC PLANNING OBJECTIVES AND RECOMMENDED ACTION PLAN ...... 70 IMPLEMENTING THE 10-YEAR ECONOMIC DEVELOPMENT STRATEGY ...... 72

CURRENT ECONOMIC DEVELOPMENT ORGANIZATIONAL STRUCTURE ...... 72 OBJECTIVE 1. DEVELOP A BRAND AND MARKETING PLAN TO MAINTAIN COMPETITIVE ADVANTAGE ...... 72

DEVELOP THE BRAND ...... 73 DEFINE ASSETS ...... 73 IMPLEMENT A MARKETING STRATEGY ...... 74 Develop Collateral Materials ...... 74 Enhance Website...... 74 Connect with Targeted Industries ...... 74 OBJECTIVE 2. DEVELOP COUNTYWIDE BUSINESS RETENTION AND ...... 77 RECRUITMENT STRATEGIES ...... 77

DEVELOP A TECHNOLOGY AND INNOVATION NETWORK ...... 77 Technology Expo – Business and Industry ...... 77 EXPAND COMMUNICATIONS WITH BUSINESS AND INDUSTRY ...... 77 Maintain a Business and Industry Database ...... 77 Develop Industry-Specific E-Newsletters ...... 78 Develop A Business Outreach Program ...... 78 DEVELOP A WEB-BASED SITE SELECTION TOOL ...... 78 ACTIVELY RECRUIT TARGETED INDUSTRIES ...... 79 ENCOURAGE DEVELOPMENT OF AMENITIES ...... 79 the Site for a Town Center ...... 79 EXAMPLES OF TOWN CENTERS ...... 80 Define the Market Area ...... 81 Recommendations ...... 85 OBJECTIVE 3. ESTABLISH COMMERCIAL IMPROVEMENT ZONES TO FOCUS PLACE-BASED INVESTMENT ...... 85

DEVELOP THE COMMERCIAL IMPROVEMENT ZONES PLAN ...... 86 Develop a List of All Areas ...... 86 Rank the Areas ...... 87 Develop Reuse Plan for the Priority Areas...... 87 Develop Financial Incentives ...... 87

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PROMOTE COMMERCIAL IMPROVEMENT ZONES ...... 88 Create Zone Profiles ...... 88 Create an Electronic Database ...... 88 Prepare Commercial Improvement Zones Marketing Brochure ...... 88 Seek Developers to Redevelop Properties ...... 88 Issue Request for Proposals ...... 89 OBJECTIVE 4. REPURPOSE VACANT AND UNDERUTILIZED PROPERTIES AND MAXIMIZE DELAWARE RIVER OPPORTUNITIES ...... 89

ESTABLISH AN INNOVATION CORRIDOR – A PLACE FOR JOB CREATION, BUSINESS EXPANSION, RECREATION, AND CREATIVE MIXED-USE DEVELOPMENTS ...... 89 ESTABLISH INCUBATORS AND RESEARCH AND DEVELOPMENT FACILITIES ...... 90 Incubators/R&D Facilities ...... 90 Locations and Types of Incubators/R&D Facilities ...... 94 MAXIMIZE THE DELAWARE RIVER ...... 98 Provide Recreation Opportunities ...... 98 Catalyze Waterfront Development ...... 99 Former PECO Energy Site ...... 99 OBJECTIVE 5. ENHANCE GLOBAL TRADE OPPORTUNITIES ...... 100

DEVELOP A FOREIGN DIRECT INVESTMENTS STRATEGY ...... 100 ESTABLISH FOREIGN-TRADE ZONES ...... 103 Requirements ...... 103 Considerations ...... 104 MAXIMIZE PORT CAPABILITIES ...... 105 Impact of the panama canal expansion ...... 105 Facilitate Fast and Efficient Movement of Goods from the Terminal to Market ...... 105 Facilitate Expansion of Terminal Operations ...... 106 OBJECTIVE 6. DEVELOP CONCURRENT LOCAL STRATEGIES ...... 106

COORDINATE LEADERSHIP BY DELAWARE COUNTY PLANNING DEPARTMENT ...... 106 Align Local Strategies with County Economic Development Goals ...... 107 Provide Assistance with Municipal and Regional Comprehensive Plans ...... 107 Encourage Transit Oriented Development ...... 108 Develop a Brand Strategy for Transit Corridor/Stations ...... 108 Encourage Local Governments to Develop Brands for Unique Neighborhoods ...... 108 Develop Strategies for Major Interchanges and Access Points (e.g., I-95 and I-476 Interchanges) ...... 109 EXHIBIT A: DETAILED ANALYTICAL TABLES ...... 110 EXHIBIT B: DELAWARE COUNTY ECONOMIC DEVELOPMENT SURVEY: BUSINESS/INDUSTRY ...... 120

BUSINESS INFORMATION...... 120 Length of time operating in Delaware County ...... 121 BUSINESS CLIMATE ...... 123 QUALITY OF THE WORKFORCE ...... 125 INFRASTRUCTURE ...... 127 BUSINESS ASSISTANCE ...... 129

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EXHIBIT C: DELAWARE COUNTY ECONOMIC DEVELOPMENT SURVEY: LOCAL GOVERNMENT ...... 130

CURRENT EFFORTS RELATED TO ECONOMIC DEVELOPMENT ...... 130 BROWNFIELD SITES ...... 133 CURRENT ECONOMIC DEVELOPMENT PROJECTS AND INITIATIVES ...... 133 BARRIERS TO ECONOMIC DEVELOPMENT ...... 133 INFORMATION AND TECHNICAL SUPPORT NEEDS ...... 134

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THE CURRENT ENVIRONMENT The vibrancy and sustainability of a local economy is dependent upon a number of interdependent factors. The foundation of a successful economic development plan is a clear understanding of the current environment within and around the area related to each of the questions outlined below and how each impacts the local economy. 1. Who lives here? 2. Who works here? 3. Who’s doing business here? 4. Who do we compete with in attracting new business development? 5. What are our competitive advantages and disadvantages? 6. What regional, national, and international trends can be leveraged to encourage local economic development? 7. What are our optimal economic development targets based on local and regional competitive factors? Based on national/international trends? 8. What critical factors will drive successful economic development? The following sections of this report present a profile of key characteristics of Delaware County. To add meaning to the profile, we have compared local characteristics and trends in Delaware County to characteristics and trends in peer counties and to the larger region to gain a better understanding of what sets the Delaware County area apart, its advantages and disadvantages, and the changes that need to take place to enhance the County’s economic development efforts. Throughout the study, we have compared characteristics and trends for the following geographic areas:  Delaware County  The Philadelphia-Camden-Wilmington MSA (the MSA) - Delaware (PA) - Bucks (PA) - Montgomery (PA) - Chester (PA) - Delaware (PA) - Philadelphia (PA) - Cecil (MD) - New Castle (DE) - Salem (NJ) - Gloucester (NJ) - Camden (NJ) - Burlington (NJ)  Pennsylvania  The United States

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DEMOGRAPHIC CHARACTERISTICS AND TRENDS Among a community’s greatest economic assets are its human and social capital, and an understanding of that capital begins with an assessment of the demographic characteristics of its residents. The following section of this report explores the demographic characteristics and trends in Delaware County that should either be leveraged or mitigated to enhance economic growth.

P OPULATION The residents of Delaware County represent the primary workforce that supports business operations and new business development. They are the consumers of local goods and services, supporting local businesses, and collectively, they represent a distinct character that can serve as the context for place- making and branding. One of the first questions that should be asked is whether or not the area is growing, and if so, how does its growth compare to growth in other areas? The 2010 Census reported a population of 558,979 in Delaware County, which was a 1.5% increase from the 2000 population of 550,864. Delaware County is Pennsylvania’s fifth most populous county and its growth rate between 2000 and 2010 ranked 30th among the state’s 67 counties. Overall, Pennsylvania grew at a rate of 3.4% during the same time period. Some of the highest growth rates in the state were experienced in more rural areas of the state in counties such as Forest (56%), Monroe (22.5%), Pike (23.9%), and Franklin (15.7%). As shown in Table 1, among Pennsylvania’s 10-most populous counties, Delaware County had the 7th highest growth rate. Although Delaware County experienced an overall growth in population over the last decade, its growth was clearly outpaced by neighboring Chester, Montgomery, Bucks, Berks, and Lancaster counties in Pennsylvania.

T ABLE 1 – COMPARATIVE POPULATION TRENDS IN PENNSYLVANIA’S MOST POPULOUS COUNTIES

NUMERIC PERCENT CHANGE CHANGE 2010 STATEWIDE 2000 2000 TO STATEWIDE 2000 TO STATEWIDE COUNTY POPULATION RANK POPULATION 2010 RANK 2010 RANK Philadelphia 1,526,006 1 1,517,550 8,456 18 0.6% 34 Allegheny 1,223,348 2 1,281,666 (58,318) 67 (4.6%) 58 Montgomery 799,874 3 750,097 49,777 3 6.6% 19 Bucks 625,249 4 597,635 27,614 9 4.6% 25 Delaware 558,979 5 550,864 8,115 19 1.5% 30 Lancaster 519,445 6 470,658 48,787 4 10.4% 14 Chester 498,886 7 433,501 65,385 1 15.1% 5 York 434,972 8 381,751 53,221 2 13.9% 6 Berks 411,442 9 373,638 37,804 5 10.1% 16 Westmoreland 365,169 10 369,993 (4,824) 63 (1.3%) 44 Source: U.S. Census Bureau and Penn State Data Center

Located on the arc of the Pennsylvania/Delaware borders, Concord, Bethel, and Chadds Ford Townships led the County in population growth between 2000 and 2010. Concord Township’s population increased by nearly 10,000 people (73.5% increase) and was ranked 17th in Pennsylvania in population growth. Bethel Township’s population increased by 36.9% and Chadds Ford Township’s population increased by 14.8% between 2000 and 2010.

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T ABLE 2 – COMPARATIVE DELAWARE COUNTY MUNICIPAL POPULATION T RENDS

NUMERIC PERCENT 2010 2000 CHANGE 2000 STATEWIDE CHANGE 2000 STATEWIDE MUNICIPALITY POPULATION RANK POPULATION RANK TO 2010 RANK TO 2010 RANK Aldan Borough 4,152 692 4,313 648 -161 2,215 -3.7% 1,685 Aston Township 16,592 126 16,203 113 389 369 2.4% 1,039 Bethel Township 8,791 295 6,421 412 2,370 73 36.9% 70 Brookhaven Borough 8,006 327 7,985 309 21 1,098 0.3% 1,250 Chadds Ford Township 3,640 776 3,170 859 470 334 14.8% 306 Chester City 33,972 30 36,854 27 -2,882 2,565 -7.8% 2,079 Chester Township 3,940 730 4,604 597 -664 2,500 -14.4% 2,433 Chester Heights Borough 2,531 1,047 2,481 1,049 50 932 2.0% 1,074 Clifton Heights Borough 6,652 416 6,779 379 -127 2,124 -1.9% 1,488 Collingdale Borough 8,786 297 8,664 282 122 686 1.4% 1,135 Colwyn Borough 2,546 1,041 2,453 1,057 93 766 3.8% 916 Concord Township 17,231 120 9,933 236 7,298 4 73.5% 17 Darby Borough 10,687 229 10,299 226 388 372 3.8% 916 Darby Township 9,264 277 9,622 247 -358 2,401 -3.7% 1,685 East Lansdowne Borough 2,668 1,002 2,586 1,013 82 808 3.2% 967 Eddystone Borough 2,410 1,089 2,442 1,062 -32 1,593 -1.3% 1,430 Edgmont Township 3,987 724 3,918 711 69 849 1.8% 1,093 Folcroft Borough 6,606 423 6,978 362 -372 2,411 -5.3% 1,864 Glenolden Borough 7,153 385 7,476 333 -323 2,386 -4.3% 1,759 Haverford Township 48,491 16 48,498 17 -7 1,359 0.0% 1,270 Lansdowne Borough 10,620 234 11,044 207 -424 2,431 -3.8% 1,696 Lower Chichester Township 3,469 809 3,591 770 -122 2,108 -3.4% 1,643 Marcus Hook Borough 2,397 1,096 2,314 1,100 83 803 3.6% 931 Marple Township 23,428 68 23,737 57 -309 2,371 -1.3% 1,430 Media Borough 5,327 530 5,533 484 -206 2,281 -3.7% 1,685 Middletown Township 15,807 137 16,064 116 -257 2,330 -1.6% 1,460 Millbourne Borough 1,159 1,689 943 1,841 216 510 22.9% 170 Morton Borough 2,669 1,001 2,715 970 -46 1,713 -1.7% 1,467 Nether Providence Township 13,706 170 13,456 158 250 474 1.9% 1,085 Newtown Township 12,216 197 11,700 187 516 310 4.4% 858 Norwood Borough 5,890 479 5,985 449 -95 1,996 -1.6% 1,460 Parkside Borough 2,328 1,124 2,267 1,125 61 882 2.7% 1,016 Prospect Park Borough 6,454 434 6,594 397 -140 2,157 -2.1% 1,520

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T ABLE 2 – COMPARATIVE DELAWARE COUNTY MUNICIPAL POPULATION T RENDS

NUMERIC PERCENT 2010 2000 CHANGE 2000 STATEWIDE CHANGE 2000 STATEWIDE MUNICIPALITY POPULATION RANK POPULATION RANK TO 2010 RANK TO 2010 RANK Radnor Township 31,531 35 30,878 36 653 265 2.1% 1,065 Ridley Township 30,768 37 30,791 37 -23 1,522 -0.1% 1,285 Ridley Park Borough 7,002 398 7,196 346 -194 2,263 -2.7% 1,572 Rose Valley Borough 913 1,861 944 1,839 -31 1,583 -3.3% 1,626 Rutledge Borough 784 1,960 860 1,907 -76 1,902 -8.8% 2,167 Sharon Hill Borough 5,697 492 5,468 494 229 496 4.2% 879 Springfield Township 24,211 62 23,677 58 534 299 2.3% 1,048 Swarthmore Borough 6,194 453 6,170 434 24 1,073 0.4% 1,239 Thornbury Township 8,028 326 7,093 354 935 224 13.2% 354 Tinicum Township 4,091 704 4,353 643 -262 2,334 -6.0% 1,932 Trainer Borough 1,828 1,318 1,901 1,273 -73 1,883 -3.8% 1,696 Upland Borough 3,239 856 2,977 906 262 464 8.8% 542 Upper Chichester Township 16,738 123 16,842 102 -104 2,030 -0.6% 1,357 Upper Darby Township 82,795 6 81,821 5 974 213 1.2% 1,153 Upper Providence Township 10,142 252 10,509 221 -367 2,408 -3.5% 1,658 Yeadon Borough 11,443 208 11,762 185 -319 2,381 -2.7% 1,572 Source: U.S. Census Bureau and Penn State Data Center

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F IGURE 1 – POPULATION CHANGE (2000 TO 2010)

Source: ESRI and U.S Census Bureau

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HOUSEHOLD INCOME The median household income in Delaware County ($60,442 in 2011), is higher than the median in the MSA, Pennsylvania, and in the Continental U.S., which is a clear indicator of the County’s economic strength. Another indicator of economic strength is a trend comparison of the gap between the median income in the County and that in its comparative regions. In 2011, the median household income in Delaware County was 20% higher than the median household income in the Continental U.S., a $10,279 gap. By 2016 the County’s median income is expected to be 31% higher than the median in the Continental U.S., a gap of $17,847. Table 3 and Figure 2 present the comparative trends in household income.

T ABLE 3 – MEDIAN HOUSEHOLD I NCOME T RENDS

2000 2011 2016 Delaware County $50,104 $60,442 $75,310 MSA $48,200 $58,051 $71,471 PA $40,108 $49,405 $58,149 Continental U.S. $42,119 $50,163 $57,463 Source: ESRI and U.S. Census Bureau

F IGURE 2 – COMPARATIVE I NCOME GAP WITH CONTINENTAL U.S.

Continental U.S. Baseline

Source: ESRI and U.S. Census Bureau

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A GE Maintaining a mix of age groups in a community is critical to the vibrancy of a local economy. As shown in Table 4 , Delaware County’s mix of age groups closely mirrors the mix in the MSA, Pennsylvania, and the Continental U.S.; however, as shown in Table 4 and Figure 3, the population in Delaware County is aging. The population age 25 to 44 decreased over the last decade from 28.7% in 2000 to 24.4% in 2010. Similarly, the population age 45 to 64 experienced a similar increase from 21.9% to 27.5%.

T ABLE 4 – COMPARATIVE AGE DISTRIBUTION (2010)

DELAWARE CONTINENTAL COUNTY MSA PA U.S. 0-4 6.1% 6.2% 5.7% 6.5% 5-9 6.2% 6.3% 5.9% 6.6% 10-14 6.6% 6.6% 6.2% 6.7% 15-19 7.9% 7.3% 7.1% 7.1% 20-24 7.1% 7.1% 6.9% 7.0% 25-34 11.9% 12.9% 11.9% 13.3% 35-44 12.5% 13.2% 12.7% 13.3% 45-54 15.4% 15.3% 15.3% 14.6% 55-64 12.1% 11.9% 12.8% 11.8% 65-74 6.7% 6.8% 7.7% 7.0% 75-84 5.1% 4.5% 5.3% 4.2% 85+ 2.5% 2.0% 2.4% 1.8% ESRI and U.S. Census Bureau

F IGURE 3 – TRENDS IN DELAWARE COUNTY AGE DISTRIBUTION

Source: ESRI and U.S. Census Bureau

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R ACE A racially and ethnically diverse population reflects a community’s inclusive environment, which enhances its appeal in a rapidly changing society. The level of diversity in Delaware County and the MSA has increased over the past decade at a higher rate than Pennsylvania and the U.S. In 2000, the racial mix in Delaware County was 80.3% white, 14.5% black, 3.3% Asian, and 1.9% other races (including mixed races), with 1.5% of the population reported as Hispanic. In 2000, the racial mix in Delaware County shifted to 72.5% white, 19.7% black, 4.7% Asian, and 3.1% other races (including mixed races), with 3% of the population reported as Hispanic. Table 5 and Figure 4 illustrate the trends in racial diversity.

T ABLE 5 – T RENDS IN RACIAL DIVERSITY

DELAWARE U.S. COUNTY MSA PA (CONTINENTAL) 2000 2010 2000 2010 2000 2010 2000 2010 White 80.3% 72.5% 72.6% 68.2% 85.4% 81.9% 75.4% 72.6% Black 14.5% 19.7% 19.9% 20.8% 10.0% 10.8% 12.4% 12.7% Asian 3.3% 4.7% 3.3% 5.0% 1.8% 2.7% 3.6% 4.6% Other 1.9% 3.1% 4.2% 6.0% 2.8% 4.6% 8.6% 10.1% Hispanic 1.5% 3.0% 5.0% 7.8% 3.2% 5.7% 12.6% 16.4% Source: ESRI Business Analyst and U.S. Census Bureau

F IGURE 4 – TRENDS IN RACIAL DIVERSITY

Source: ESRI Business Analyst and U.S. Census Bureau

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EDUCATION Education plays a large role in the County’s effort to remain competitive in the local, national, and international economy. Skills required for today’s industries are changing; the County’s workforce will need to be trained to meet the industries’ requirements. Companies will be attracted to communities that provide an ample supply of educated and trained workers. Training the workforce does not begin after high school, it starts with early childhood education, and continues through a child’s primary and second education. Creating and sustaining an economic base to allow school districts to provide quality education should be a high priority for local government officials.

K-12 EDUCATION Although companies will not be visiting elementary, middle, and high schools to recruit their talent, these schools serve a critical role in Delaware County. Quality education will develop workers who are trainable, and will prepare students to attain higher educational degrees. The schools will also prepare students to adapt to the demands of our changing economic environment and will prepare them to enter fields that will support new technology, allowing Delaware County to compete on a global basis. In addition, quality education will be necessary to recruit professionals who may have children in primary and secondary schools. Many professionals will rely on student assessment scores to determine where they will reside. Although the County will have no control on the education system and how each school district will manage its programs, it is important to understand changes that may be occurring within individual school districts.

DELAWARE COUNTY SCHOOL DISTRICTS There are 17 school districts in Delaware County that provide K-12 education. There are a total of 22 high schools, which include 2 technical schools, 26 middle schools, and 85 elementary schools. Two of the school districts, Interboro School District and Southeast Delco School District, have first through eighth grades in one school building. These eight schools were counted in the elementary school category and middle school category as they provide both services. There are 11 private schools in Delaware County that offer grades 9-12.

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UNIQUE OPPORTUNITIES Chester Upland School District provides two unique high school options. The first is their Science and Discovery High School that offers students another option for 9th, 10th, and 11th grades. The school partners with Eastern University to allow students to earn select college credits while still in high school. The other school is Smedley High School for Health Services, which is also a specialty school for 9th, 10th, and 11th grades. The program is a partnership school with Crozer Medical Center and Chester Upland High and provides a rigorous core curriculum in math, science, healthcare, and English. Chester Upland also offers the Ombudsman program for high school students that need a nontraditional approach to learning. It also offers the Cyber Academy. William Penn School District (WPSD) provides two alternative programs. The district offers a WPSD Cyber Academy, which allows students to take online classes that are tailored to their learning style and their postsecondary school options. The other alternative program is the Ombudsman school, which operates alternative education programs as well as programs that service students who qualify for placement in Alternative Education for Disruptive Youth (AEDY) programs. Few school districts in Delaware County have unique or separate kindergarten programs. Most are housed in their own facility, separate to the rest of the elementary school. Springfield School District built a new building, Springfield Literacy Center, which houses kindergarten and 1st grade for the families residing in either Springfield or Morton. The Springfield Literacy Center is the foundation of Springfield’s Literacy First Initiative, which works to have every child that leaves elementary school reading on grade level. Upper Darby School District first opened their Kindergarten Center in September 1997. Since 1997, it has taught students the academic and social needs of children entering school for the first time. The Interboro School District has a Kindergarten Academy.

TECHNICAL SCHOOLS Delaware County Technical High School has two main locations, Aston and Folcroft Campus, as well as the following satellite programs:  Culinary Arts and Food Service Management at the Marple Education Center is certified by the American Culinary Federation. This state of the art facility educates students in food preparation, front of the house management, inventory control, safety, sanitation, and business management skills. DCTS is the only career and technical high school in the area to be certified by the American Culinary Federation.  Emergency & Protective Services at the Delaware County Emergency Training Center offers a Comprehensive public safety education to students interested in pursuing a career or volunteering in the Emergency Medical, Law Enforcement, Fire, Security, Industrial Safety or Emergency Management services.  Medical Careers with four partnering hospitals (Crozer-Chester Medical Center, Mercy Fitzgerald Hospital, Lankenau Medical Center and Taylor Hospital. This program is offered only to high school seniors who are interested in college to prepare for a career in health care. It has been nationally recognized by the Life Science Career Alliance, won teaching awards from PDE, and achieves 100% college placement. Delaware County is also home to three technical schools, located in Radnor Township, Upper Darby Township, and Middletown Township.

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The American College, Bryn Mawr, PA. The American College is a nonprofit educational institution dedicated to leadership in innovative training and development for financial services professionals. The American College offers a unique learning environment that enables a student to learn “their way,” by providing the option of live webinar classes, self-study, and/or traditional classrooms. The career majors offered are insurance education and financial planning. It also provides two types of master’s degrees – Master of Science in Management and Master of Science in Financial Services. Prism Career Institute, Upper Darby, PA. Prism Career Institute has four convenient locations: Philadelphia, PA; Upper Darby, PA; Cherry Hill, PA; and West Atlantic City, NJ. The programs that are offered vary depending on the location and demand. It provides full-time and part-time classes in various programs, which include healthcare, practical nursing, paralegal, business and accounting, early childhood education, and a college credit transfer program. The Williamson Free School of Mechanical Trades, Media, PA. There are approximately 250 students enrolled at the school and a student-teacher ratio of approximately 13:1. The Williamson Free School of Mechanical Trades is an all-male school, which provides full scholarships for all its students. In return, the students must adhere to the rules listed in the school’s Student Handbook. All students are required to live on campus. The school offers an associate’s degree in specialized technology, which includes: Construction Technology (carpentry or masonry emphasis), Horticulture, Landscaping and Turf Management, Machine Tool Technology, and Paint and Coatings Technology.

PUPIL TO TEACHER RATIO F IGURE 5: PUPIL TO T EACHER RATIO The pupil to teacher ratio varies throughout the Delaware County School Districts from the lowest of 12.1 to the highest of 19.4. Chichester School District, Garnet Valley School District, Radnor Township School District, and Rose Tree Media School District consistently have the lowest pupil to teacher ratio. The top ratios for each year are highlighted in green in Table 6 shown below. Haverford Township School District has the highest pupil to teacher ratio over the four school years shown. Source: www.policymap.com Figure 5 graphically depicts the pupil to teacher ratio. The dark purple represents areas where the pupil to teacher ratio is 16.91 or higher; the light purple represents communities where the pupil to teacher ratio is 11.50 or less.

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T ABLE 6 – DELAWARE COUNTY PUPIL TO T EACHER RATIO

PUPIL TO TEACHER RATIO

DELAWARE COUNTY SCHOOL DISTRICT 2009-2010 2008-2009 2007-2008 2006-2007 Chester-Upland School District 16.51 19.3 15.2 19.4 Chichester School District 12.13 12.5 13.3 15.1 Garnet Valley School District 12.34 12.4 12.7 12.9 Haverford Township School District 18.33 18.3 18.3 15.8 Interboro School District 13.56 12.5 12.8 15.2 Marple Newtown School District 13.22 13.2 13.3 14.1 Penn-Delco School District 15.04 16.2 14.3 15.3 Radnor Township School District 12.66 12.6 12.3 13.3 Ridley School District 13.77 14 14.4 15.3 Rose Tree Media School District 12.42 12.7 12.8 13.5 Southeast Delco School District 14.55 14.8 14.9 16 Springfield School District 14.87 14.5 14.3 14.8 Upper Darby School District 14.09 14 15.2 16.8 Wallingford-Swarthmore School District 12.91 13 13.6 13.7 William Penn School District 16.06 14.2 16.4 15.5 Source: www.policymap.com

SPENDING PER STUDENT Data in the following sections was obtained from www.openPAgov.org – a project of the Commonwealth Foundation (an independent, nonprofit research and educational institute). All data in openPAgov.org is taken from Pennsylvania state government or federal government sources. Delta analyzed data provided on this site from the 2007-08 school year to 2009-10 school year to compare change in enrollment and change in student spending. During this time period, Penn-Delco, Southeast Delco, and Springfield School Districts all spent less per student in 2009-10. Of these three districts, Penn-Delco experienced a decrease in the number of students enrolled, while Southeast Delco and Springfield School District had enrollment increases.

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F IGURE 6: CHANGE IN ENROLLMENT AND STUDENT SPENDING

Source: www.openpagov.org

Source: www.opengov.org Figure 7 below shows the amount of spending per student for each school district. The three schools that have the highest spending per student are Radnor Township SD, Rose Tree Media SD, and Wallingford-Swarthmore SD. Radnor Township SD has little change in enrollment over the 2007-2010 time frames, and Rose Tree Media SD and Wallingford-Swarthmore SD actually show a decrease in the enrollment over that same period. All three of these school districts have fairly low pupil to teacher ratios. Radnor Township also scored in the top tier for SAT scores in 2011.

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Table 8 shows the SAT scores for each high school in Delaware County in more detail. The schools with the lowest per student spending are Upper Darby Township SD, Penn-Delco SD, Ridley SD, and Southeast Delco SD.

F IGURE 7: SPENDING PER STUDENT

25000

20000

15000

10000

5000 2009-2010 2008-2009 0 2007-2008

Source: http://www.openpagov.org/school-spending/sdefault.asp

INCREASE IN SCHOOL TAX MILLAGE RATES The following table shows the comparison of tax millage rates for the time period of 2007-08, 2008-09 and 2009-10. West Chester Area’s tax rates have increased 19.3% over the past three real estate cycles, Unionville-Chadds Ford’s rate have increased by 11.9% and Radnor Township’s rates have increased by 11.2%.

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T ABLE 7: I NCREASE IN SCHOOL TAX MILLAGE RATES

INCREASE IN SCHOOL TAX MILLAGE RATES 2009-10 2008-09 2007-08 % CHANGE (2007-08 NAME OF SCHOOL DISTRICT MILLS MILLS MILLS TO 2009-10) Chester-Upland (Chester City) 51.336 51.336 51.336 0% Chester-Upland (Chester Twp/Upland Boro) 24.069 23.662 23.483 2.5% Chichester 34.6017 33.2950 31.4700 10% Garnet Valley (Bethel Twp) 27.0680 26.4070 25.6040 5.7% Garnet Valley (Chester Heights/Concord Twp) 26.6980 26.0790 25.2700 5.7% Haverford Twp 23.1020 22.1260 21.0140 9.9% Interboro 30.8300 30.0800 29.3500 5% Marple Newtown 15.1327 14.5367 14.1400 7% Penn-Delco 22.4220 21.6810 21.0169 6.7% Radnor Twp 20.2731 19.5118 18.2359 11.2% Ridley 33.2490 31.7760 30.0630 10.6% Rose Tree Media 21.6251 21.0977 20.1314 7.4% Southeast Delco 31.7840 30.0840 30.0840 5.7% Springfield 26.2910 25.2840 23.9130 9.9% Unionville-Chadds Ford 20.6800 21.1400 18.4800 11.9% Upper Darby 29.7200 28.7400 27.7700 7% Wallingford-Swarthmore (Nether Twp/Rose Boro) 35.5660 35.5700 33.6100 8.8% Wallingford-Swarthmore (Rutledge/Swarthmore Boro) 36.9880 35.9760 33.9700 8.9% West Chester Area 14.1600 12.9400 11.8700 19.3% William Penn 38.4500 36.8922 35.6300 7.9% Source: www.openpa-gov.org

SAT SCORES SAT scores are just one of many criteria used by colleges to make admission decisions. On a national level, 2011 test takers averaged 1,473 points out of a possible 2,400, and in Pennsylvania, students averaged 1,500 points out of a possible 2,400. In Delaware County, students in 10 of the high schools scored equal or higher to students on a state level; and 11 of the high schools scored equal or higher to students on the national level.

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T ABLE 8 – DELAWARE COUNTY SAT SCORES

DELAWARE COUNTY 2011 SAT SCORES HIGH SCHOOL SCHOOL DISTRICT # TESTED VERBAL MATH WRITING TOTAL Chester High School Chester Upland SD 105 372 358 323 1053 Penn Wood Senior High School William Penn SD 194 393 395 347 1135 Academy Park High School Southeast Delco SD 122 413 416 378 1207 Upper Darby High School Upper Darby SD 581 440 464 423 1327 Chichester High School Chichester SD 138 453 463 443 1359 Interboro High School Interboro SD 181 461 468 445 1374 Sun Valley High School Penn-Delco SD 197 457 472 446 1375 Ridley High School Ridley SD 334 475 497 455 1427 Springfield High School Springfield SD 246 491 523 484 1498 Marple Newtown High School Marple Newtown SD 253 502 514 488 1504 West Chester Bayard Rustin High West Chester Area SD 280 520 527 508 1555 School Garnet Valley High School Garnet Valley SD 311 506 544 509 1559 Haverford High School Haverford Township SD 372 523 533 506 1562 West Chester East High School West Chester Area SD 306 518 533 514 1565 Penncrest High School Rose Tree Media SD 269 526 548 532 1606 B. Reed Henderson High School West Chester Area SD 278 537 549 523 1609 Strath Haven High School Wallingford-Swarthmore SD 200 567 588 553 1708 Unionville High School Unionville-Chadds Ford SD 332 572 581 564 1717 Radnor High School Radnor Township SD 283 563 596 561 1720 Source: Pennsylvania Department of Education

T ABLE 9 – NATIONAL AND STATE SAT SCORES

NATIONAL AND STATE SAT SCORES (2011) SAT VERBAL MATH ESSAY SCORE National Students Average Scores 493 501 479 1,473 Pennsylvania Student Average Scores 497 514 489 1,500

Source: Pennsylvania Department of Education

DISTANCE TO HIGH-PERFORMING HIGH SCHOOL Figure 8 shows the distance each census tract is to the nearest high-performing public high schools. So meaningful comparisons could be made, municipalities that were made up of multiple census tracts used an average of the census tract miles for that municipality. Delaware County is made up of mostly the lighter purple color, and most locations within the County are less than 3.94 miles from a high- performing public high school.

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Comparing Figure 8, to the County’s map of school districts, the Radnor Township School District (SAT scores of 1720), Haverford Township School District (SAT scores of 1565), Rose Tree Media School District (SAT scores of 1606) and Wallingford-Swarthmore School District (SAT scores of 1708) and Springfield School District (SAT scores of 1498) are all located in the areas noted as higher performing schools F IGURE 8: DISTANCE TO NEAREST HIGH-PERFORMING HIGH SCHOOLS

Source: www.policymap.com

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EDUCATIONAL ATTAINMENT F IGURE 9 – EDUCATIONAL ATTAINMENT Comparing the County residents to all residents in the State of Pennsylvania, a higher percentage of County residents have attained a bachelor’s degree and a graduate degree or higher. Delaware County has a higher percentage of residents that have received a high school diploma than the United States, but is falling short of Pennsylvania.

As shown in Figure 9 below, Delaware County has a high concentration of people with at least a bachelor’s degree. The dark purple represents areas with 40.45% or higher of people with at least a bachelor’s degree. There are sections with a lesser percentage, but the majority of Delaware County is dark purple.

F IGURE 9 – ESTIMATED PERCENT OF PEOPLE WITH AT LEAST A BACHELOR’S DEGREE (2006-2010)

Source: www.policymap.com

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P ROPERTY TYPE All of the school districts in Delaware County have a majority of the land listed as residential property. As seen in Figure 10, all school districts have above 72% of residential property. Chester Upland School District has the least amount of residential property at 72.4%. Springfield School District has the greatest amount of residential property at 93.31%. Unionville-Chadds Ford School District has the greatest amount of commercial property at 8.77%. A small percentage of the property is used for public utility, ground, and industrial. Rose Tree Media School District was the only district to have any property used as farmland, and that was only 0.01%.

F IGURE 10: PROPERTY T YPE BY SCHOOL DISTRICT

Source: Delaware County

HIGHER EDUCATION Delaware County is home to 14 higher education facilities offering undergraduate and graduate programs.

ALBRIGHT COLLEGE is a liberal arts college located in Reading, Pennsylvania. Albright College has a number of branch locations, one of which is located at the Delaware County Community College

CABRINI COLLEGE is located in Radnor, Pennsylvania. Cabrini is a coeducational, Catholic, liberal arts college located on a 112-acre campus on the grounds of the former Woodcrest Estate. Cabrini is home to 3,291 students; 1,366 of those are full-time undergraduate students and 1,925 are graduate students. About 60% of the Cabrini students reside on campus and live in one of the 12 residence halls located on campus. Cabrini College has reduced undergraduate tuition for the 2012-2013 academic year to $38,090.

CHEYNEY UNIVERSITY OF PENNSYLVANIA was founded in 1837 as the Institute for the Colored Youth. Now the student body represents a variety of races, cultures, and nationalities. The public University has fewer than 2,000 students and the student to faculty ratio is 15:1. Cheyney University has two locations; the main campus is located in Cheyney, Pennsylvania, and the second is located in Philadelphia, Pennsylvania, and is referred to as Cheyney University Center City (CUCC).

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DELAWARE COUNTY COMMUNITY COLLEGE (DCCC) has eight locations, three of which are in Delaware County. The three in Delaware County are located in Media, Sharon Hill, and Upper Darby (construction on Upper Darby Center to be completed in the summer and on Brandywine Campus in the fall). DCCC provides students with a wide array of classes and programs for various bachelor’s degrees, associate’s degrees, and professional certifications. DCCC also provides online classes to students.

EASTERN UNIVERSITY is affiliated with the American Baptist Churches USA and has an interdenominational Christian student body, faculty, and administration. Eastern University is made up of three different colleges; the College of Arts and Sciences, the Templeton Honors College, and the Campolo College of Graduate and Professional Studies. The current enrollment is about 4,400 students. The student to faculty ratio is 14:1.

HAVERFORD COLLEGE is located in Haverford, Pennsylvania. Its total student enrollment is 1,198 and 98% live on campus. The student to faculty ratio is 8:1. It has strong Quaker roots, which have helped to govern their “Honor Code,” for which students take an active part in defining. The campus sits on 200 acres and has over 50 buildings. It is a member of the Tri-College Consortium with Bryn Mawr College and Swarthmore College.

NEUMANN UNIVERSITY is located in Aston, Pennsylvania. It is a private, Catholic University. Neumann University has a total enrollment of 4,087 students; 2,144 of those students are full-time undergraduate students. Only 473 are enrolled as part-time undergraduates. The University has mostly small classes and the student to faculty ratio is 13:1. The University was founded in 1965 with a total of 115 students. It has grown tremendously since that day. Neumann University also has a graduate program, and currently has 470 students enrolled in various graduate programs.

PENNSYLVANIA INSTITUTE OF TECHNOLOGY is an independent two-year institute that offers students 12 associate’s degree programs and a number of certificate programs in Engineering Technology, Allied Health Technology, and Information Technology, as well as career certificate programs. The main campus is located in Media, Pennsylvania, and there is a satellite campus in Center City Philadelphia.

PENN STATE BRANDYWINE is a commuter campus of the Pennsylvania State University. The total enrollment is 1,600 students. Penn State Brandywine is one of the most diverse campuses in the Penn State system. Brandywine offers the flexibility of starting and completing a degree at the Brandywine campus or transferring to one of Penn State’s other 20 campuses located throughout Pennsylvania.

STRAYER UNIVERSITY has an average student age of 34. Strayer University has over 95 campus locations, of which more than 54,000 students are taking advantage. There is one campus in Delaware County, which is located in Springfield, Pennsylvania. The Springfield branch offers the following program areas: accounting, business, criminal justice, education, health services administration, information systems, and public administration.

SWARTHMORE COLLEGE was founded by Quakers and is located in Swarthmore, Pennsylvania, on a 425- acre arboretum campus. It is a private, nonsectarian, liberal arts college. It is a member of the Tri- College Consortium with Bryn Mawr College and Haverford College, and participates in cross- registration with the University of Pennsylvania. There are 1,545 students enrolled at Swarthmore College; 93% of those students live on campus in one of the 17 residence halls. The student to faculty ratio is 8:1. The College offers more than 40 courses of study.

VALLEY FORGE MILITARY ACADEMY is a private, coeducational, residential college that provides students with a military learning environment for their freshmen and sophomore years of college. The students transfer to the college of their choice for their remaining college years, and 95% of cadets are accepted to their first- or second-choice schools. The student body is very diverse and represents more than 31

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VILLANOVA UNIVERSITY was founded in 1842 and is located in Villanova, Pennsylvania. Villanova University is made up of five colleges: College of Liberal Arts and Sciences, Villanova School of Business, College of Engineering, College of Nursing, and Villanova School of Law. The University has 6,352 full- time undergraduate students. The total enrollment is 10,467 and the student to faculty ratio is 11:1.

WIDENER UNIVERSITY offers liberal arts, sciences, and professional programs that lead to associate’s, baccalaureate, master’s, and doctoral degrees. The 110-acre campus is located in Chester, Pennsylvania. Widener has satellite campuses in Exton and Harrisburg, Pennsylvania, and in Wilmington, Delaware. Widener University provides more than 40 undergraduate majors. The total enrollment is 3,204 students and the University has a 12:1 student to faculty ratio.

ECONOMIC ANALYSIS A critical key to uncovering the assets in Delaware County that can drive future economic development is an analysis of the current economic environment in the County, as well as the regional economic environment, and Delaware County’s role in the regional economy. This section of this report is designed to uncover economic characteristics and trends that are indicators of the County’s economic well-being and economic assets that can be leveraged to catalyze future economic development. The following pages provide an overview of six key economic indicators: 1. Industry Mix and Diversity 2. Regional Production 3. Unemployment 4. Industry Concentration 5. Local Competitiveness 6. Innovation Detailed analytical tables and figures can be found in Appendix A.

INDUSTRY MIX AND DIVERSITY A healthy economy is made up of a diverse mix of industry sectors and is not disproportionately dependent upon a single (or very few) industries for its sustainability. As shown in below, the top six sectors by employment in Delaware County include the following:  Health Care and Social Assistance (17.08%)  Government (11.17%)  Retail Trade (10.18%)  Manufacturing (7.07%)  Accommodation and Food Services (6.55%)  Professional, Scientific, and Technical Services (6.16%)

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F IGURE 11 - DELAWARE COUNTY EMPLOYMENT BY INDUSTRY (2012)

Source: EMSI

Table 24 and Table 25 (included in Exhibit A) shows how Delaware County’s mix of industries compares to the other counties in the MSA. Delaware County has the third-highest concentration of employment in the Health Care and Social Assistance sector, following behind Camden and Philadelphia Counties. The diversity of an economic structure can be measured using the Shannon Weaver Index. The Shannon Weaver Index measures the proportion and the equitability of the economic structure, with 1.00 representing complete equity. Using employment by industry sector as a benchmark, the Shannon Weaver Index suggests that the economies of Delaware County, its peer counties, and the MSA are made up of a relatively diverse mix of industry sectors, all with indices ranging from .84 to .92. Delaware County’s index in 2012 was .89 (see Figure 12). The Health Care and Social Assistance sector leads the County in employment with 17% of jobs in that sector, followed by the Government sector (11.17%), and the Retail Trade sector (10.18%).

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F IGURE 12 - DIVERSITY I NDEX

Source: EMSI and Consultant Calculations

R EGIONAL PRODUCTION The Gross Regional Product (GRP) is another measure of the size of a local economy and represents the market value of all final goods and services produced in the region during a specific time period. It can also be used to indicate the relative contribution of a local area to the overall economy. In 2011, Delaware County’s industry output was responsible for 7% of the MSA’s GRP.

F IGURE 13 – CONTRIBUTION TO GRP BY COUNTY

Source: EMSI

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Figure 14 shows the contribution of each industry sector to Delaware County’s total GRP. The top six contributing sectors include the following:  Manufacturing (15.48%)  Finance and Insurance (11.24%)  Health Care and Social Assistance (10.70%)  Government (7.98%)  Professional, Scientific, and Technical Services (7.84%)  Real Estate and Rental and Leasing (7.47%) Figure 14 - Delaware County’s Industry Mix by GRP (2011)

Source: EMSI

INDUSTRY CONCENTRATION The local concentration of employees in a particular sector relative to the regional concentration is another key indicator of economic strength. This indicator is measured as a location quotient. An industry’s location quotient is a calculation that compares the industry’s share of employment at the local level to the industry’s share of employment at the state level. According to economic base theory, industries with an employment share that exceeds the state employment share have excess production – production that serves export markets. Because export activity injects new money into the local economy, these basic industries are considered “key drivers” of economic growth.

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Based on location quotient indicators (see Figure 15 below and Table 34, Exhibit A), following are the industry sectors in Delaware County that are likely exporting goods and services and are key drivers of the local economy:  Mining, Quarrying, and Oil and Gas Extraction (LQ 1.55)  Arts, Entertainment, and Recreation (LQ 1.38)  Management of Companies and Enterprises (LQ 1.32)  Construction (LQ 1.24)  Educational Services (Private) (LQ 1.24)  Transportation and Warehousing (LQ 1.18)  Other Services (except Public Administration) (LQ 1.15)  Manufacturing (LQ 1.07)  Health Care and Social Assistance (LQ 1.07)

F IGURE 15 - DELAWARE COUNTY LOCATION Q UOTIENT – 2012 (COMPARED TO THE MSA)

Source: EMSI Analyst and Consultant Calculations

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LOCAL COMPETITIVENESS While the location quotient technique is useful in establishing which local industries are key drivers of the local economy, a shift-share analysis begins to uncover the factors that influence an industry’s growth trend by comparing changes over time in employment in the local area to changes in the overall regional economy. The analysis measures three factors that influence an industry’s change in employment: the regional effect, the industry mix effect, and the local effect. The analysis quantifies the “share” of employment change that can be attributed to each factor. 1. The Regional Effect – The regional effect represents the number of jobs that would have been created (or lost) had the local economy changed at the rate of the overall regional economy. 2. The Industry Mix Effect – The industry mix effect represents the number of jobs that would have been created (or lost) had the local economy changed at the rate of the overall regional economy and had individual industry employment change mirrored that in the region. 3. The Local Effect – Comparing the total expected change due to regional trends and industry trends to the actual change in employment indicates the change that can be attributed to local factors, indicating a local competitive advantage. A positive number indicates that local industry growth outpaced industry growth statewide – a sign of competitive advantage. A negative number indicates that local conditions do not support continued job growth because the local industry growth has not kept pace with regional industry growth. An analysis of changes in employment between 2007 and 2017 (see

Figure 16 and Figure 17 below,) revealed that even though Delaware County experienced an overall loss of employment during that time period (4,417 employees), had the change mirrored regional and industry trends, it would have lost 8,308 jobs, which means a positive local attraction for 3,158 jobs. Nine of the County’s industry sectors indicated a positive local attractiveness factor with the management of companies and enterprises and the Professional, Scientific, and Technical Services sector leading the way with local attractiveness effects of 3,595 and 2,417, respectively. The Management of Companies and Enterprises sector represents only 2.5% of the County’s overall employment and has a higher than average location quotient of 1.3, which indicates a potential for future growth. With a local attractiveness factor of 2,417, the Professional, Scientific, and Technical Services sector makes up 6.2% of the County’s overall employment and has a lower than average location quotient, which indicates a potential for future growth. Two of the County’s base industries (with higher than average location quotients) had negative local attractiveness factors. With a negative local attractiveness factor of (800), the Transportation and Warehousing sector (LQ 1.18) lost employment at a higher rate than the region. Even though the Health Care and Social Assistance sector (LQ 1.07) grew by 257 employees, it lags behind regional performance with a negative local attractiveness factor of (3,371).

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Figure 16 and Figure 17 below (and Table 35, Exhibit A) present the County’s actual employment change by industry and a summary of the shift-share analysis results.

Figure 16 - Actual Change in Delaware County Employment (2007 to 2012)

Source: EMSI Analyst and Consultant Calculations

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F IGURE 17 - DELAWARE COUNTY’S L OCAL ATTRACTIVENESS BY I NDUSTRY (SHIFT-SHARE RESULTS)

Source: EMSI Analyst and Consultant Calculations

The consultant team synthesized the information presented above for each of Delaware County’s industry sectors and scored each sector based on the analysis results to identify industries for further consideration. Table 10 shows the top six industry sectors in the areas of size by employment, size by GRP, relative concentration, actual change in employment, and the local attractiveness. The consultant team then scored each industry sector in each area based on its rank in that particular area, and added its total score across all areas. Table 11 below shows the County’s top industries based on the total scores. The pages that follow profile selected industries for further consideration.

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T ABLE 10 - SUMMARY OF TOP SIX INDUSTRY SECTORS BY ANALYSIS CATEGORIES Size - Relative Actual Local Sector Employment Size - GRP Concentration Change Attractiveness Health Care and Social      Assistance Government      Retail Trade      Manufacturing      Accommodation and Food      Services Professional, Scientific, and      Technical Services Finance and Insurance    Real Estate and Rental and    Leasing Mining, Quarrying, and Oil   and Gas Extraction Arts, Entertainment, and      Recreation Management of Companies  and Enterprises Construction   Educational Services      (Private) Transportation and   Warehousing Source: Consultant Calculations and Evaluation

T ABLE 11 - DELAWARE COUNTY’S T OP PERFORMING INDUSTRY SECTORS (SYNTHESIS OF ANALYSIS RESULTS)

Source: Consultant Calculations and Evaluation

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DETAILED PROFILES OF SELECTED INDUSTRY SECTORS

P ROFESSIONAL, S CIENTIFIC, AND T ECHNICAL SERVICES S ECTOR

SECTOR DESCRIPTION The Professional, Scientific, and Technical Services sector comprises establishments that specialize in performing professional, scientific, and technical activities for others. These activities require a high degree of expertise and training. The establishments in this sector specialize according to expertise and provide these services to clients in a variety of industries and, in some cases, to households. Activities performed include: legal advice and representation; accounting, bookkeeping, and payroll services; architectural, engineering, and specialized design services; computer services; consulting services; research services; advertising services; photographic services; translation and interpretation services; veterinary services; and other professional, scientific, and technical services. North American Industry Classification System (NAICS) The Professional, Scientific, and Technical Services sector in Delaware County made up 6% of its employment base in 2012 with 14,314 employees (see Appendix A: Table 33). Table 12 shows the top five types of professional, scientific, and technical services businesses currently operating in the County. The job numbers for 2012 were used to calculate the percentage of sector employment.

T ABLE 12: PROFESSIONAL, SCIENTIFIC, AND T ECHNICAL SERVICES SECTOR

THE PROFESSIONAL, SCIENTIFIC, AND TECHNICAL SERVICES SECTOR OF DELAWARE COUNTY

% OF SECTOR SUBSECTOR DESCRIPTION (AT 4-DIGIT NAICS LEVEL) EMPLOYMENT Management Consulting Services 24% Offices of Lawyers 14% Accounting, Tax Preparation, Bookkeeping, and Payroll Services 13% Computer Systems Design and Related Services 11% Engineering Services 4% All Other Professional, Scientific, and Technical Services 33% Source: EMSI Analyst and Consultant Calculations

According to EMSI’s data, the Professional, Scientific, and Technical Services sector in Delaware County is dominated by management consulting services. The management consulting services subsector is defined by naics.com, as an “…establishment primarily engaged in providing management consulting services (except administrative and general management consulting; human resources consulting; marketing consulting; or process, physical distribution, and logistics consulting). Establishments providing telecommunications or utilities management consulting services are included in this industry.” Other significant segments of this sector in Delaware County include offices of lawyers, accounting and tax preparation, computer systems design, and engineering services. While some of the subsectors of the Professional, Scientific, and Technical Services sector have a negative change in job growth over the years, on a whole the sector is growing. Approximately 29 services fall into the “all other professional, scientific, and technical services” subsector and make up 33% of the sector employment. Table 13 below shows the top five subsectors in the Professional, Scientific, and Technical Services sector that have the greatest growth. The Management Consulting Services sector showed the largest change.

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T ABLE 13: PROFESSIONAL, SCIENTIFIC, AND T ECHNICAL SERVICES SECTOR CHANGE IN EMPLOYMENT 2007 TO 2012 The Professional, Scientific, and Technical Services Subsectors with the Largest Percent of Sector Employment 2007 2012 Subsector Description (at 4-Digit NAICS Level) Change Jobs Jobs Management Consulting Services 1,936 3,392 1,456 Other Scientific and Technical Consulting Services 204 485 281 Computer Systems Design and Related Services 1,404 1,643 239 Testing Laboratories 130 297 167 Research and Development in the Physical, Engineering, and Life 385 540 155 Sciences Source: EMSI Analyst and Consultant Calculations

M ANAGEMENT OF COMPANIES AND ENTERPRISES SECTOR

SECTOR DESCRIPTION The Management of Companies and Enterprises sector comprises (1) establishments that hold the securities of (or other equity interests in) companies and enterprises for the purpose of owning a controlling interest or influencing management decisions, or (2) establishments (except government establishments) that administer, oversee, and manage establishments of the company or enterprise and that normally undertake the strategic or organizational planning and decision making role of the company or enterprise. Establishments that administer, oversee, and manage may hold the securities of the company or enterprise. Establishments in this sector perform essential activities that are often undertaken in-house by establishments in many sectors of the economy. By consolidating the performance of these activities of the enterprise at one establishment, economies of scale are achieved. (NAICS) The Management of Companies and Enterprises sector in Delaware County made up 3% of its employment base in 2012 with 5,855 employees (see Appendix A: Table 33). Table 14 shows the top three types of management of companies and enterprises business services currently operating in the County. Unlike the other sectors profiled, which are presented at the four-digit NAICS level, for a detailed breakdown this sector had to be drilled down to the five-digit NAICS level. The job numbers for 2012 were used to calculate the percentage of sector employment.

T ABLE 14: MANAGEMENT OF COMPANIES AND ENTERPRISES SECTOR

THE MANAGEMENT OF COMPANIES AND ENTERPRISES SECTOR OF DELAWARE COUNTY % OF SECTOR SUBSECTOR DESCRIPTION (AT 5-DIGIT NAICS LEVEL) EMPLOYMENT Corporate, Subsidiary, and Regional Managing Offices 98.62% Offices of Other Holding Companies 1.36% Offices of Bank Holding Companies 0.02% Source: EMSI Analyst and Consultant Calculations

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According to EMSI’s data, the Management of Companies and Enterprises sector in Delaware County is dominated by the Corporate, Subsidiary, and Regional Managing Offices subsector. This subsector is defined by www.naics.com as follows: “This U.S. industry comprises establishments (except government establishments) primarily engaged in administering, overseeing, and managing other establishments of the company or enterprise. These establishments normally undertake the strategic or organizational planning and decision making role of the company or enterprise. Establishments in this industry may hold the securities of the company or enterprise.” Table 15 below shows the growth of the three subsectors in the Management of Companies and Enterprises sector. The corporate, subsidiary, and regional managing offices subsector showed the largest change. Offices of other holding companies had a negative change over the time period.

T ABLE 15: MANAGEMENT OF COMPANIES AND ENTERPRISES EMPLOYMENT T RENDS BY SUBSECTOR

THE MANAGEMENT OF COMPANIES AND ENTERPRISES SUBSECTORS WITH THE LARGEST PERCENT OF SECTOR EMPLOYMENT 2007 2012 2017 2022 DESCRIPTION CHANGE JOBS JOBS JOBS JOBS Corporate, Subsidiary, and Regional Managing Offices 2,081 5,804 6,305 6,129 3,723 Offices of Other Holding Companies 81 80 68 52 (1) Offices of Bank Holding Companies <10 <10 <10 <10 -- Source: EMSI Analyst and Consultant Calculations

T HE M ANUFACTURING S ECTOR

SECTOR DESCRIPTION The Manufacturing sector comprises establishments engaged in the mechanical, physical, or chemical transformation of materials, substances, or components into new products. Establishments in the Manufacturing sector are often described as plants, factories, or mills and characteristically use power-driven machines and materials-handling equipment. However, establishments that transform materials or substances into new products by hand or in the worker's home and those engaged in selling to the general public products made on the same premises from which they are sold, such as bakeries, candy stores, and custom tailors, may also be included in this sector. Manufacturing establishments may process materials or may contract with other establishments to process their materials for them. Both types of establishments are included in manufacturing. (NAICS) The Manufacturing sector in Delaware County made up 7% of its employment base in 2012 with 16,421 employees (see Appendix A: Table 33). Table 16 shows the top five types of manufacturing businesses currently operating in the County. The job numbers for 2012 were used to calculate the percentage of sector employment.

T ABLE 16: MANUFACTURING SECTOR

THE MANUFACTURING SECTOR OF DELAWARE COUNTY SUBSECTOR DESCRIPTION (AT 5-DIGIT NAICS LEVEL) % OF SECTOR EMPLOYMENT Aerospace Product and Parts Manufacturing 38% Paper Mills 5% All Other Fabricated Metal Product Manufacturing 4% Petroleum Refineries 4% Machine Shops 4% All Other Manufacturing Subsectors 45% Source: EMSI Analyst and Consultant Calculations

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According to EMSI’s data, the Manufacturing sector in Delaware County is dominated by the Aerospace Product and Parts Manufacturing subsector. The next largest segments of this sector in Delaware County include paper mills, all other fabricated metal product manufacturing, petroleum refineries, and machine shops. Approximately 179 services fall into the “other manufacturing” subsector and make up 45% of the sector employment. The table below shows top five subsectors in the Manufacturing sector that have the greatest growth from 2007 to 2012. The aerospace product and parts manufacturing has the largest change. As a whole, the Manufacturing sector has had negative growth. The industry has decreased by about 2,010 jobs from 2007 (18,431 jobs) to 2012 (16,421 jobs).

TABLE 17: MANUFACTURING SECTOR – EMPLOYMENT TRENDS BY SUBSECTOR The Manufacturing Subsectors with the Largest Percent of Sector Employment 2007 2012 Subsector Description (at 5-Digit NAICS Level) Change Jobs Jobs Aerospace Product and Parts Manufacturing 5,137 6,243 1,106 All Other Fabricated Metal Product Manufacturing 419 675 256 Navigational, Measuring, Electromedical, and Control 317 507 190 Instruments Manufacturing Medical Equipment and Supplies Manufacturing 182 344 162 Paper Mills 664 820 156 Source: EMSI Analyst and Consultant Calculations The Boeing Company has been a constant presence in Delaware County since September 2002 when the company established a new global unit of Boeing Integrated Defense Systems, Army Systems, with its headquarters located in Delaware County. The Boeing Company has been a positive influence to Delaware County and is the reason why the Aerospace Product and Parts Manufacturing subsector is the largest subsector in the Manufacturing sector. While the company has been a boost to the County’s economy, its operations are highly dependent upon changes in international relations and in government defense spending. While these influences outside of Delaware County’s control, the County’s economic development strategy should include a retention strategy for this sector.

HEALTH CARE AND S OCIAL ASSISTANCE SECTOR

SECTOR DESCRIPTION The Health Care and Social Assistance sector comprises establishments providing health care and social assistance for individuals. The sector includes both health care and social assistance because it is sometimes difficult to distinguish between the boundaries of these two activities. The industries in this sector are arranged on a continuum starting with those establishments providing medical care exclusively, continuing with those providing health care and social assistance, and finally finishing with those providing only social assistance. The services provided by establishments in this sector are delivered by trained professionals. All industries in the sector share this commonality of process, namely, labor inputs of health practitioners or social workers with the requisite expertise. Many of the industries in the sector are defined based on the educational degree held by the practitioners included in the industry. (NAICS) The Health Care and Social Assistance sector in Delaware County made up 17% of its employment base in 2012 with 39,687 employees (see Appendix A: Table 33). Table 18 shows the top five types of health care and social assistance businesses currently operating in the County. The job numbers for 2012 were used to calculate the percentage of sector employment.

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T ABLE 18: HEALTH CARE AND SOCIAL ASSISTANCE SECTOR

THE HEALTH CARE AND SOCIAL ASSISTANCE SECTOR OF DELAWARE COUNTY % OF SECTOR SUBSECTOR DESCRIPTION (AT 4-DIGIT NAICS LEVEL) EMPLOYMENT General Medical and Surgical Hospitals (Private) 20% Offices of Physicians 13% Residential Mental Retardation Facilities 10% Community Care Facilities for the Elderly 8% Nursing Care Facilities 8% All Other Health Care and Social Assistance 33% Source: EMSI Analyst and Consultant Calculations

According to EMSI’s data, the Health Care and Social Assistance sector in Delaware County is dominated by general medical and surgical hospitals. Other significant segments of this sector in Delaware County include offices of physicians, residential mental retardation facilities, community care facilities for the elderly, and nursing care facilities. Approximately 25 services fall into the other category, and combined they account for 33% of the sector. Table 19 below shows the top five subsectors of the Health Care and Social Assistance sector that have the greatest growth from 2007-2012. Services for the elderly and persons with disabilities have had the greatest growth of 1,049. .

T ABLE 19: HEALTH CARE AND SOCIAL ASSISTANCE EMPLOYMENT T RENDS BY SUBSECTOR The Health Care and Social Assistance Subsectors with the Largest Percent of Sector Employment 2007 2012 Subsector Description (at 4-Digit NAICS Level) Change Jobs Jobs Services for the Elderly and Persons with Disabilities 1,819 2,868 1,049 Outpatient Mental Health and Substance Abuse Centers 321 791 470 Residential Mental Retardation Facilities 3,336 3,802 466 Community Care Facilities for the Elderly 3,043 3,371 328 Home Health Care Services 2,282 2,591 309 Source: EMSI Analyst and Consultant Calculations

A RTS, ENTERTAINMENT, AND R ECREATION SECTOR The Arts, Entertainment, and Recreation sector includes a wide range of establishments that operate facilities or provide services to meet varied cultural, entertainment, and recreational interests of their patrons. This sector comprises: (1) establishments that are involved in producing, promoting, or participating in live performances, events, or exhibits intended for public viewing; (2) establishments that preserve and exhibit objects and sites of historical, cultural, or educational interest; and (3) establishments that operate facilities or provide services that enable patrons to participate in recreational activities or pursue amusement, hobby, and leisure-time interests. (NAICS)

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The Arts, Entertainment, and Recreation sector in Delaware County made up 3% of its employment base in 2012 with 5,871 employees (see Appendix A: Table 33). Table 20shows the top five types of arts, entertainment, and recreation businesses currently operating in the County. The job numbers for 2012 were used to calculate the percentage of sector employment.

T ABLE 20: ARTS, ENTERTAINMENT, AND RECREATION SECTOR

THE ARTS, ENTERTAINMENT, AND RECREATION SECTOR OF DELAWARE COUNTY % OF SECTOR SUBSECTOR DESCRIPTION (AT 4-DIGIT NAICS LEVEL) EMPLOYMENT Casinos (Except Casino Hotels) 34% Fitness and Recreational Sports Centers 26% Golf Courses and Country Clubs 16% Independent Artists, Writers, and Performers 9% Spectator Sports 3% Other Arts, Entertainment, and Recreation 12% Source: EMSI Analyst and Consultant Calculations

According to EMSI’s data, the Arts, Entertainment, and Recreation sector in Delaware County is dominated by casinos. Other significant segments of this sector in Delaware County include fitness and recreational sports centers, golf courses and country clubs, followed by independent artists, writers and performers, and spectator sports. Approximately 18 sectors fall into the other arts, entertainment, and recreation category and combined they account for 12% of the sector. Casinos are the largest percentage of sector employment and it has had the greatest growth, as seen in the table below. In 2007, there were less than 10 employees. It has since grown to 2,005 in 2012, and is projected to continue growing through 2022. According to www.naics.com, the casino subsector is defined by naics.com as follows: This industry comprises establishments primarily engaged in operating gambling facilities that offer table wagering games along with other gambling activities, such as slot machines and sports betting. These establishments often provide food and beverage services. Included in this industry are floating casinos (i.e., gambling cruises, riverboat casinos). There are three casinos in operation in Delaware County. Built in 1997, Brandywine Turf Club was the earliest casino built. It offers wagering windows, personal televisions, and personal wagering terminals. MC Casino Entertainment was established in 2000 and offers premier casino party event planning. They organize all details from slot machines to game tables and bring the casino to the party location. Harrah’s Philadelphia Casino and Racetrack built its first facility in 2005, launched its harness racing in September 2006, and its ”racino” in January 2007. Most of the casino businesses were established shortly before 2007, which would explain the steady growth that industry sector has had during that time frame.

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T ABLE 21: ARTS, ENTERTAINMENT, AND RECREATIONS SUBSECTORS EMPLOYMENT T RENDS The Arts, Entertainment, and Recreation Subsectors with the Largest Percent of Sector Employment 2007 2012 Subsector Description (at 4-Digit NAICS Level) Change Jobs Jobs Casinos (except Casino Hotels) <10 2,005 2,005 Golf Courses and Country Clubs 842 919 77 Independent Artists, Writers, and Performers 504 544 40 Museums 143 167 24 Zoos and Botanical Gardens 48 66 18 Source: EMSI Analyst and Consultant Calculations

M OVEMENT OF P EOPLE AND GOODS

HIGHWAYS The highway and road system in Delaware County consists of a network of Interstate, arterial, collector, and local roads, all of which provide efficient circulation and access to goods, services, and recreational opportunities for residents, visitors, and tourists. This transportation network also plays a key role in the health and vitality of the regional economy by providing for the movement of goods to support the manufacturing, distribution, and service industries in Delaware County while also providing critical connections to regional hubs of employment for the County’s workforce. Delaware County is served by three primary interstate highways, I-476, I-95, and I-76, which traverse the County north-south, east- west along the southern border and east-west along the northern border, respectively. These roads are key contributors to the movement of local and regional goods, services, members of the workforce, and for tourists. Supporting and complementing these roads are a network of arterial, collector, and local roads. Delaware County has the lowest number of daily vehicular miles traveled (VMT) in the Pennsylvania five- county Delaware Valley Regional Planning Commission (DVRPC) planning region. There are a total of 448 state highway miles, 1,352 miles of local and municipal roads (Source: Liquid Fuels) in Delaware County with a total of 10,357,500 daily vehicular miles traveled (DVRPC - 2008). Of the Pennsylvania DVRPC counties, Montgomery County has the most daily vehicular miles travelled with 18,849,000 in 2009, followed by Philadelphia County (16,308,600 VMT), Bucks County (13,744,200 VMT), Chester County (12,075,700 VMT), and finally Delaware County (10,357,500 VMT). One factor contributing to Delaware County’s relatively low VMT figures when compared to surrounding counties is the robust and extensively utilized public transit system operated by the South Eastern Pennsylvania Transit Authority (SEPTA). Of the County’s served by SEPTA, Delaware County has the greatest number of public routes, including 2,600 transit stops, and is home to the Paoli/Thorndale Line, which has the greatest total ridership of any SEPTA regional rail service with 20,800 average weekday riders. This high-level of ridership is likely due to a combination of factors including: amount and frequencies of stops, extent of service area, service to area colleges and universities, presence of low- income/high-density neighborhoods, and key efficient connections between residential areas and urban employment hubs. All of these factors that encourage the use of public transit have likely reduced the total VMT on the road network in Delaware County. More detail on Delaware County’s public transit network is provided in the following sections.

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Delaware County has a number of current or upcoming highway improvement projects that will further enhance the utility and benefits provided by the existing transportation network including the following: 1. Improving Access to the Chester City Waterfront from I-95 2. US Route 322/Conchester Road Widening 3. I-95/322 Conchester Road/Highland Avenue Interchange and Area Improvements 4. US Route 202 Widening 5. Route 202 Land Use and Access Management Strategies 6. Route 252 Widening at Rose Tree Road and the County’s Rose Tree Park 7. Routes 1/352 Interchange Improvements

T ABLE 22: DAILY V EHICULAR MILES T RAVELED (VMT)

Year Bucks Chester Delaware Montgomery Philadelphia 2000 12926.8 10920.8 9321.6 17866 15177.5 2001 13291.8 11172.3 9666.5 18252.5 15551.9 2002 13487.3 11652.7 9746 18675.1 15774.8 2003 13623.7 11759.6 9880.5 18997.2 16107.1 2004 13665.4 11744.7 9989.2 19095.9 16129.2 2005 13696.1 11832 10180.6 19109.5 16316.4 2006 13637.1 11998.6 10265.2 19241.5 16405.4 2007 13841.6 12125.8 10322.7 19392.4 16378 2008 13,744.2 12,075.7 10,357.5 18,849.0 16,308.6 Source: DVRPC

RAIL FREIGHT The manufacturing and distribution/logistics industries in Delaware County benefit from access to a rail freight network operated by CSX. Delaware County shippers have easy access to a major railyard, two TRANSFLO terminals in nearby Philadelphia, and another TRANSFLO terminal in Chester. These available freight transportation routes connect Delaware County industries to a more than 21,000-route-mile rail network to deliver goods across the country. This extensive network, with connections to more than 230 short line and regional railroads, provides access to all major eastern population centers and ports and facilitates the exportation of County goods to national and global markets.

Source: DVRPC

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AIR TRANSPORTATION Located directly adjacent to the Philadelphia International Airport (PHL), PHL provides an additional convenient transportation option for Delaware County residents. With easy access from each of the major interstates in Delaware County, I-476, I-76, and I-95, PHL offers a convenient air transit option to residents, tourists, and business travelers across the County. PHL sits on 2,370 acres with seven terminals and four runways, and provides access to both domestic and international destinations. In 2011, PHL serviced 30.8 million passengers with 448,129 aircraft takeoff and landings for 29 airlines with close to 620 daily departures to 123 cities. In addition, cargo carriers and commercial airlines transported close to 415,000 tons of cargo in 2011 (www.phl.org).

PORTS AND WATERWAYS

Penn Terminals is a privately owned terminal located in Eddystone, PA; the terminal is located 4 miles south of the Philadelphia Airport and minutes from Rt. 95 and Rt. 476. Penn Terminals is known for reliability in handling container, perishable, project and breakbulk cargoes. The terminal area is located on over 80 acres and offers 300,000 sq. ft. of warehousing. The Port has a depth of 37 feet at Mean Low Water, a tidal range of 5.5 feet and 1150 of berth. The terminal also offers 2300 feet of rail serviced by CSX and Norfolk Southern, and a fleet of over 60 fork trucks.

MASS TRANSIT – MOVEMENT OF PEOPLE

HTTP://WWW.CO.DELAWARE.PA.US/PLANNING/TRANSPORTATION/PUBLICTRANS.HTML The presence of an extensive mass transit system provides far-reaching regional and local benefits for Delaware County and its municipalities. By providing a diversity of transportation options, this system contributes to greater regional and local economic and community health in a number of ways including: creating multiple means of connecting the County’s workforce with employment hubs, supporting energy and environmental initiatives through a reduction in personal automobile use and greenhouse emissions, and increasing the quality of life for a community’s residents by improving the traveler’s choice in their mode of transportation. This system connects the community to downtowns, healthcare, social services, and employment centers, and provides important transportation opportunities for low-income residents. Delaware County’s public transit system is highly utilized and of particular importance for its ability to connect residents and the workforce to Philadelphia and key industries along the Delaware River.

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SEPTA provides all fixed-route, public transit in Delaware County. An extensive network of public transit in Delaware County, including 2,600 transit stops between bus, trolley, high-speed rail, subway elevated, and regional rail systems, collectively provide Delaware County residents with the greatest number of public routes of any County served by SEPTA. Concentrated primarily in the County’s southern and eastern areas, this network includes one elevated rail line, four regional rail lines, four light rail lines, one high-speed rail line, and 27 bus routes.

REGIONAL RAIL Delaware County’s regional rail system consists of 29 stations along three main east-west lines. The County also contains a portion of a regional rail line connecting to Philadelphia International Airport. However, with no stops in Delaware County, this line provides minimal community impact. The County’s three main regional rail lines are the Paoli/Thorndale Line, Media/Elwyn Line, and the Wilmington/Newark Line. Daily boarding numbers along these three lines have remained relatively constant since 2001 with figures fluctuating between 8,680 riders in 2001 to 9,290 riders in 2009, with several small annual increases and decreases in the intervening years. The Paoli/Thorndale Line, often called the “main line” due to its use of the old Pennsylvania Railroad line to Harrisburg, consists of three miles of track along the northern edge of Dauphin County. This line runs from Center City Philadelphia west through first generation suburbs and terminating in Chester County. Along this route, this line passes through several important commuting nodes including Wayne, Paoli, Exton, Downingtown and Villanova University and as a result has the greatest total ridership of any SEPTA regional rail service with 20,800 average weekday riders. While providing relatively few stops in Delaware County, the Paoli/Thorndale Line provides significant utility and benefit evidenced by its high ridership and boarding figures the latter of which has remained consistently high between 2001 and 2009 with average boarding at the Radnor, Villanova and Wayne stations surpassing 500 per day. The significant use of this line is contributed in part to the considerable parking available at these three stations allowing for easy park and ride commuting opportunities. The Media/Elwyn line is Delaware County’s central regional rail line connecting Center City Philadelphia with Elwyn to the west. Like the Paoli/Thorndale Line, this line also services many older first generation suburbs and commuting hubs across Delaware County along its 8 miles and 12 stations. While varying between stations, the overall boarding figures remained relatively constant between 2001 and 2009 and resulted in the highest total boardings of all three regional rail lines. Due in part to its proximity to Swarthmore College, the Swarthmore station exhibits the highest total boardings with an average of 700 per week however both the Media and Elwyn stations also receive considerable numbers of daily boardings with 529 and 504 respectively as of 2009. These high boarding figures are also attributable in part to the presence of parking facilities. The first phase of a planned extension of this line was completed as of April 2011 with subsequent phases expected in the near future. Delaware County’s third regional rail line, the Wilmington/Newark line, primarily serves southeastern County residents through nine miles and 13 stations along the Delaware River. As with the other two lines, average weekday ridership has remained relatively constant between 1999 and 2009 fluctuating between 2100 and 2600 daily boardings. As the only station with adequate parking capacity to support park and ride commuters, The Marcus Hook station has by far the highest average weekday boarding among stations on this line. The Chester Transportation Center has the second largest weekday boarding figures and provides evidence of a connection between socio economic status and ridership, namely that high density, lower income neighborhoods often rely heavily on public transit for both methods of transportation to work and access to regional goods and services.

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Delaware County Regional Rail system is highly utilized and provides a key service for communities throughout the County. Individual station utility in Delaware County appears to be linked primarily with two factors: availability of parking and socio economic status. Both the park and ride opportunity provided by parking facilities and the presence of high density lower income neighborhoods both result in significantly higher ridership for certain stations within Delaware County and are important factors when determining strategies for achieving maximum economic benefit from existing or future regional rail systems.

BUS SEPTA operates 21 bus routes (27 including those that enter the county) in Delaware County. Primarily travelling east-west, the most extensive portion of this network is concentrated in the east and south, mirroring the County’s population density distributions. As of 2010, the public bus system had an average daily total of 40,940 riders, making it the most used suburban bus system in SEPTA’s service area. Between 2005 and 2010, the bus system realized a steady increase in ridership from 35,885 (2005) to 40,940 (2010). Ridership within the system exhibits high degrees of variation between stations with some stops showing ridership numbers many times greater than others. This variation is likely caused by several contributing factors including route frequency and distance and passage through high density/low income neighborhoods. Overall, Delaware County’s extensive public bus network provides a key service to the entire County and like Regional Rail, exhibits clear connections between ridership and socio economic conditions.

LIGHT RAIL Although Delaware County has four operating light rail routes within its boundaries, due to the short length (approximately 1 mile) of two of these, routes 11 and 13, only the remaining two contribute significantly to the overall public transit network. The two primary trolley routes, routes 101 and 102, service older first generation suburbs and over many years of operation have become staples and contributors of local character and culture. These two lines share a common ‘trunk line’ for two miles between Upper Darby and the Drexel Hill Junction at which point they split to provide service to difference County locations. After the split, the route 101 trolley continues west and southwest for 8 miles terminating in Media while the route 102 trolley operates for five miles to the southeast after the Drexel Hill Junction ending in Sharon Hill. Light rail ridership showed steady increase between 2005 and 2009 increasing from 7,132 to 7,707 average daily riders. Ridership experienced a decline in 2010 to an average of 6,546 daily passengers however this decline is largely a result of temporary service outages related to SEPTA improvement projects. Of the two primary light rail routes, route 101 experienced higher ridership (approximately 500-700 more average daily riders) between 2000 and 2010 and it is believed that this is due to several factors including a greater route length, availability of parking, and a connection with the County Seat of Media, all of which contribute to greater potential ridership capture.

T ABLE 23: DELAWARE COUNTY L IGHT RAIL AVERAGE DAILY PASSENGER

Delaware County Light Rail - Average Daily Passenger (FY 2005-2010) 2005 2006 2007 2008 2009 2010 Media 101 3,834 3,766 3,905 4,280 4,239 3,600 Sharon Hill 102 3,298 3,252 3,343 3,579 3,468 2,946 Total 7,132 7,018 7,248 7,859 7,707 6,546

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HIGH-SPEED RAIL Delaware County benefits from two highly utilized, high-speed rail lines, the Norristown High-Speed Line (NHSL) and the Market-Frankford Line (MFL), within County boundaries. Both routes operate out of the 69th Street terminal station which serves as a connector and hub for other public transit options including bus and light rail and averages 14,801 daily riders through the station. Collectively the High- Speed Rail system in Delaware County provides a highly popular transit option that successfully connects significant numbers of residents with employment opportunities and contributes to environmental initiatives by reducing emissions and the use of personal vehicles. With close to 3,000 more daily riders than any other public transit route, the NHSL is the most utilized option by a considerable degree. The NHSL covers 13 miles between the 69th street terminal and the Norristown Transportation Center and has maintained an approximate 8,000 average daily riders between 2001 and 2010. Unlike the long term consistency of many other Delaware County Public Transit options, the NHSL saw increased ridership from 7,925 in 2003 to 9,442 in 2008. Delaware County’s second High-Speed Rail Line, the Market-Frankford Elevated Line, is a combined elevated train and subway system. Providing service from 2 stations between the 69th Street Terminal and Millbourne, the MFL provides service for over 51 million annual passengers and creates a major rail link between the County’s western suburbs and the City of Philadelphia.

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THE LOCAL CLIMATE

BUSINESS OWNER SURVEYS A business owner survey was conducted to obtain input from business owners while developing this Plan. 109 business owners participated in the survey. A summary of the results are included as Exhibit B.

MUNICIPAL SURVEYS All 49 municipalities located in Delaware County were asked to participate in the survey of municipal officials. 26 municipalities (53%) participated in the survey. A summary of the results are included as Exhibit C.

FOCUS GROUP SESSIONS Focus Group Sessions were held to obtain input from the local business community and municipal representatives. Delta facilities two sessions; the morning session included local business leaders and the chamber of commerce; the afternoon session included municipal managers and public officials. The following is a summary of the focus group discussion.

F OCUS GROUPS: MORNING S ESSION (LOCAL BUSINESSES) Capitalizing on the Delaware River  Image problem  School system  Transient villages  Brownfields  Lack of funding  Create jobs  Target younger population  Problem: security  blight/poverty  Create and maintain momentum Partnerships Required  Funding  Security  Government  Incentives  Green jobs  Poverty/security issues still exist in Baltimore  Some areas have “relocated” the problem  62 languages in Upper Darby

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Expanding Innovation Clusters  Incubator needs “graduation” plan  People looking for small office space at affordable rates  Need incentives–need a “helping hand”  Keystone Opportunity Zone program  Properties have negative value  PECO site and stadium are good case studies  Manufacturing attraction?  Riverfront competes with Philadelphia–build on what makes it unique  Do a better job on riverfront than Philadelphia (Interstate 95 goes through middle)  Soccer stadium is third most successful–how do we capitalize?  Chester’s challenges (crime, schools, taxes)  Land value tax (Pittsburgh)  Recreation–window of opportunity on game day?  Was originally to have other soccer fields in close proximity–have a couple of other fields there to build on efforts  Designated neighborhoods and districts–build on diversity  Can’t ignore good areas–could lose opportunity to other counties  Municipalities must have “skin in game”  Are there opportunities for stadium uses during off-season? Growing from Within  Opportunities in wealthier communities–resistance to development  Huge “Not In My Backyard” (NIMBY) issue  Ask major employers what’s needed in area  Development follows jobs Branding What sets us apart?  Diversity  Transportation  Business/Friendly County government  History  Diversity/unique neighborhoods  Open space  Loyalty of residents

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Regional branding is important, but local branding is also important.  Press is negative  Get positive message out One word to describe Delaware County  Convenient  Diverse  Everything  Location  Vibrant Advantages of Delaware County  Access  Education  Healthcare  Sophistication  Blue-collar image  Who are we marketing to?  What are our goals in keeping residents working in the County?

A FTERNOON F OCUS GROUP: M UNICIPAL OFFICIALS Growing from Within  Transit Oriented Development (TOD) opportunity–policy zoning  Align municipal goals with County goals  Comprehensive plans updated and consistent  Need subsections of growth–different strategies for different areas  Need local web page that links jobs with workers  Keep young people in the County  Focus effort on jobs–influence across the board  Align zoning with growth goals  Enforce ordinances and regulations  Incentive packages  Need local vision  Create partnership linkages  Look at municipal boundaries and be aware of how to collaborate and plan for growth  Taxes–how to provide incentives fairly?

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 Blighted, vacant properties along the river  Chester City has Enterprise Zones–other zone opportunities?  Come together to work as one  Healthcare reform will have impact on employers–no central source for information– coordination opportunity  Important for County to assist with Economic Development  Shared resources (e.g., policies, etc.) need County leadership Capitalizing on Delaware River  Regulatory limitations?  Take care of waterfront and development will follow  Funds  291–Industrial heritage corridor  New industrial sites vs. post-industrial  Also doing East Coast bike trail  Critical to connect communities; County can facilitate  Need support amenities for stadium and casino–make area a destination–should be common vision  Need amenities for young children  River is a critical asset  Need to be cautious in riverfront development–need broader scope Expanding Clusters  Get higher education into innovation areas  Local manufacturing group–use social media  Business enterprise center Reinvigorating Brownfields  Incubators?  Opportunities exist  Historically has image of anti-business (Chicago)  Need business-friendly environment  Challenge–demolition/clean-up money  Local residents say no to growth/expansion  Countywide effort to educate older residents  Need homes for seniors–outside of Chester  Does County focus on areas where growth is welcome?

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 County should take more prestigious role in local planning Branding  Workforce  Infrastructure  Transportation  County is beautiful  “South” of Philadelphia–southern hospitality, etc.  Historic–Chester is first city in Pennsylvania known for Underground Railroad  Cooperative–will do what it takes to get your business here  Availability of great schools  Diverse–business of all kinds can “fit”  Transit for youth who choose to live in city  Transit helps to get people out to experience community  Need transportation hubs  County can help to advertise  “If you worked here you’d be home by now”  Grow out ports  Access  Interactive planning (like DVRPC online)  Fair trade movement  Proximity to population centers  Have a number of unused rail spurs that could be put back in use Challenges  Money  Too many local governments  Buy-in/support from local governments  Where does crime go?  Fearful of changing school districts  Development costs  County is built out (perception)  The Route 291 corridor–rail, river, port, pipeline access  Not a good self-image

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CONCLUSIONS As one of the fastest-growing counties in the Commonwealth of Pennsylvania, Delaware County (County) boasts nationally renowned colleges and universities, innovative private employers and municipalities, major economic drivers for Southeast Pennsylvania, and a highly skilled workforce. Recognizing that thoughtful planning and a sound economic development strategy are crucial to continue the County’s path in a positive direction, in late 2012, the Delaware County Commerce Center (DCCC), in cooperation with the Delaware County Council, engaged Delta Development Group, Inc. (Delta) to develop a countywide 10-Year Comprehensive Economic Development Strategy. The planning process consisted of four steps. The first step in the process was the research phase. During this phase, Delta reviewed existing studies and background materials, and gathered and analyzed demographic and economic statistical data that began to shape the profile of Delaware County’s economic environment. The second step in the process was to validate the information gathered in the research phase through input from local stakeholders. Information was validated through telephone interviews, surveys of Delaware County municipal and T HE PLANNING PROCESS business leaders, and focus groups with municipal leaders, local developers, and business and civic leaders. The third step in the process was to synthesize the information gathered and validated, and to identify emerging themes and opportunities. The themes and opportunities were evaluated and a set of six strategic planning objectives were identified that were used as the basis for the fourth step – to focus the County’s efforts on specific action items that will encourage County revitalization, brownfield redevelopment, workforce development, the growth of key industries, and improvements to the existing delivery system for County economic development services.

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EMERGING THEMES AND OPPORTUNITIES 1. Strong Community Wellbeing a. A Growing, Diverse Population b. Higher-than-average Incomes c. Higher-than-average Spending Power d. Shortage of Retail Amenities e. A Variety of Housing Price-points to Accommodate All Income Levels f. Quality Schools g. A Strong, Educated Workforce h. Arts & Culture and Entertainment & Leisure Amenities 2. A Healthy, Diverse Economy a. A Diverse Industry Mix b. Strong Economic Base and Local Attractiveness c. Innovation Clusters and Cluster Opportunities d. Strong Innovation Partners e. A Significant Outflow of Knowledge Workers 3. Optimal Location and Access a. A Robust Transportation Network b. Waterfront Capacity

STRATEGIC PLANNING OBJECTIVES 1. Develop a Brand and Marketing Plan to Maintain Competitive Advantage 2. Develop Countywide Business Retention and Recruitment Strategies 3. Establish “Commercial Improvement Zones” to Focus Place-Based Investment 4. Repurpose Vacant and Underutilized Properties and Maximize Delaware River Opportunities 5. Enhance Global Trade Opportunities 6. Develop Concurrent Local Strategies

STRATEGIC ACTION AND IMPLEMENTATION PLAN The following pages provide an executive summary of the themes and opportunities that emerged from Delta’s research and stakeholder input, the six strategic planning objectives with strategic actions for each, and an action and implementation plan for achieving the six objectives.

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EMERGING THEMES AND OPPORTUNITIES

1. STRONG COMMUNITY WELLBEING A Growing, Diverse Population Delaware County is the 5th-most-populous County in Pennsylvania and its population is growing. The County experienced an overall growth in population of 1.5% over the last decade, with the greatest growth occurring in its municipalities located in the western portion of the County on and above the arc of the Pennsylvania/Delaware borders. Located on the arc of the Pennsylvania/Delaware borders, Concord, Bethel, and Chadds Ford Townships led the County in population growth between 2000 and 2010. Concord Township’s population increased by nearly 10,000 people (73.5% increase) and was ranked 17th in Pennsylvania in population growth rate, and 4th in numeric growth. Bethel Township’s population increased by 36.9% and Chadds Ford Township’s population increased by 14.8% during that time period.

F IGURE 18: POPULATION CHANGE (2000 – 2010)

Source: ESRI and U.S. Census Bureau

While some municipalities in the western portion of the County have experienced significant growth in the past decade, many of the County’s older, more mature municipalities have experienced population decreases. Many of the older urban areas in the County are built out, with limited capacity for new development, while the municipalities that are experiencing population growth are more suburban in character. These areas have ample space for new growth and are clearly attractive to new residents. Because of the contrasting characters of the County’s municipalities, economic development approaches will vary according to business and development needs.

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HIGHER-THAN-AVERAGE INCOMES The median household income in Delaware County ($60,442 in 2011), is higher than the median in the Philadelphia-Camden-Wilmington MSA (the MSA), Pennsylvania, and in the Continental U.S., which is a clear indicator of the County’s economic strength. Another indicator of economic strength is the gap between the median income in the County and its comparative regions, and that in the Continental U.S. In 2011, the median household income in Delaware County was 20% higher than the median household income in the Continental U.S., a $10,279 gap. By 2016, the County’s median income is expected to be 31% higher than the median in the Continental U.S., a gap of $17,847, which means that the County’s median income is not only higher than average, but it is increasing at a faster rate as well.

T ABLE 24: MEDIAN HOUSEHOLD I NCOME T RENDS

2000 2011 2016 Delaware County $50,104 $60,442 $75,310 MSA $48,200 $58,051 $71,471 PA $40,108 $49,405 $58,149 Continental U.S. $42,119 $50,163 $57,463 Source: ESRI and U.S. Census Bureau

F IGURE 19: GAP IN MEDIAN HOUSEHOLD INCOME

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HIGHER-THAN-AVERAGE SPENDING P OWER Higher-than-average incomes inherently mean higher-than-average spending power, and a high demand for retail amenities. According to the June 2012 Directory of Major Malls, there are 18 shopping centers in Delaware County, which consist of three enclosed malls and 15 open-air centers. Built in 1974, the Granite Run Mall in Media, Pennsylvania, and the Springfield Mall in Springfield, Pennsylvania are the largest shopping centers in the County, with over 808,000 and 589,000 square feet of leasable area, respectively. Four smaller, open-air centers were added (or are scheduled to be added) in 2012 and 2013, ranging in size from 250,000 square feet to 400,000 square feet. The majority of the County’s shopping centers are located in suburban areas.

F IGURE 20: THE RETAIL MARKET (EXISTING SHOPPING CENTERS AND HOUSEHOLDS WITH INCOMES > $50,000)

Source: ESRI Business Analyst

A S HORTAGE OF RETAIL AMENITIES Even though new retail options have recently been added to the market, information obtained through focus groups and interviews suggests that because there are comparatively limited shopping and entertainment amenities in Delaware County, many of the County’s workers choose to live in areas in surrounding counties where they have greater access to these amenities.

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While there are a few higher-end shopping options in Delaware County (e.g., Talbots, Ann Taylor, P.F. Changs, etc.), a unique lifestyle center that provides high-end shopping and entertainment options in an urban setting could be attractive to local residents. Unlike the typical open-air strip mall, a lifestyle center targets affluent consumers and features a mix of national upscale retail stores, restaurants, and entertainment options, as well as locally owned boutique or niche retail establishments. Lifestyle centers are pedestrian oriented with distinctive storefronts facing tree-lined streets with angle or parallel parking. Sidewalk dining areas and open areas for walking or gathering help to give these centers a sense of place where visitors come for an experience rather than simply shopping. Many lifestyle centers are multistory with residential units and/or offices on the upper floors. Mixing office and residential uses with retail, restaurant, and entertainment uses increases pedestrian activity and creates a thriving urban center.

A V ARIETY OF HOUSING PRICE P OINTS TO A CCOMMODATE A LL INCOME L EVELS Delaware County has a variety of housing price points to accommodate all income levels. The map below presents a Housing Affordability Index (HAI) developed by ESRI that uses the Federal Housing Administration’s (FHA) guidelines for debt service ratios. An HAI of 100 represents an area that, on average, has sufficient household income to qualify for a loan on a home valued at the median home price for the area. Therefore, an index greater than 100 suggests homes are easily afforded by the average household living in the area. An HAI less than 100 implies that homes are unaffordable for the average household living in the area. The lower-cost housing in Delaware County is located in the City of Chester along the riverfront and in the urban areas in the southeastern portion of the County. Many of these areas also experienced population losses. Development in these older communities could spur revitalization efforts, which will increase property values and encourage additional development.

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F IGURE 21: HOUSING AFFORDABILITY I NDEX

QUALITY S CHOOLS Delaware County’s school systems are a key amenity for attracting potential residents and businesses. GreatSchools ratings provide an overview of a school's test performance by comparing the school's state standardized test results to those of other schools in the state. The GreatSchools rating system is based on a score ranging from 1 to 10, with 10 having the highest performance. GreatSchools calculates each rating by averaging that school's ratings for all grade/subject combinations. Ratings are given for each grade and student category (gender, ethnicity, or other student group) for which test results are available. The distance in the map below was calculated from the center point of the Census tract to the closest public school with a GreatSchools rating of 9 or 10.

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F IGURE 22: DISTANCE TO HIGH PERFORMING SCHOOLS (MILES)

SAT scores are one of many criteria used by colleges to make admission decisions. On a national level, 2011 test takers averaged 1,473 points out of a possible 2,400, and in Pennsylvania, students averaged 1,500 points out of a possible 2,400. In Delaware County, students in 10 of the high schools scored equal or higher to students on a state level, and 11 of the high schools scored equal or higher to students on the national level.

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A S TRONG EDUCATED WORKFORCE Delaware County has a strong, educated workforce, which is attractive for new business development. The County has a higher concentration of residents who have attained a bachelor’s degree or higher than the statewide concentration, and a higher concentration of residents with a graduate degree or higher than the U.S. concentration.

F IGURE 23: EDUCATIONAL ATTAINMENT

F IGURE 24: EDUCATIONAL ATTAINMENT

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A RTS & CULTURE AND ENTERTAINMENT & LEISURE A MENITIES The arts and culture and entertainment and leisure amenities present in a community are often a reflection of the history of a community, and play a key role in shaping its identity. Based on preliminary input from local officials and civic leaders, the quality of life in Delaware County is one of its most valuable assets. Delaware County’s Brandywine Conference and Visitor’s Bureau identifies 45 amenities located within the County. These amenities, as detailed below, are attractiveness factors that can play a role in influencing business recruitment and retention, as well as workforce recruitment and retention:  Gardens and Parks (5)  Historical Sites (18)  Leisure, Fun, and Sports Amenities (8)  Museums, Art Galleries, and Art Education Centers (6)  Shops, Antiques, and Auctions (5)  Theaters (2)  Wineries (1)

F IGURE 25: DELAWARE COUNTY AMENITIES

Source: Delaware County’s Brandywine Conference and Visitor’s Bureau

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2. A HEALTHY, DIVERSE ECONOMY

A DIVERSE INDUSTRY M IX A healthy economy is made up of a diverse mix of industry sectors and is not disproportionately dependent upon a single (or very few) industries for its sustainability. Delaware County has a very diverse mix of industries. The largest sector in the County is the Health Care and Social Assistance sector, which makes up 17.08% of its employment base. The top six sectors by employment in Delaware County include the following:  Health Care and Social Assistance (17.08%)  Government (11.17%)  Retail Trade (10.18%)  Manufacturing (7.07%)  Accommodation and Food Services (6.55%)  Professional, Scientific, and Technical Services (6.16%)

F IGURE 26: DELAWARE COUNTY EMPLOYMENT BY I NDUSTRY (2012)

SOURCE: EMSI

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S TRONG ECONOMIC BASE AND L OCAL ATTRACTIVENESS One of the best ways to measure the attractiveness of an area for business activity is to estimate how employment in the local area would have changed during a specific time period had its rate of change mirrored national or regional rates. The difference in the expected change in employment at national or regional rates and the actual change is referred to as the local attractiveness factor, which essentially represents the estimated number of jobs gained, lost, or retained in the area due to local factors. Delaware County’s overall attractiveness factor between 2007 and 2012 was 3,158 jobs (using the regional rate of change as a comparison). Nine of the County’s industry sectors indicated a positive local attractiveness factor.

SECTORS TO WATCH With a local attractiveness factor of 2,417, the Professional, Scientific, and Technical Services sector in Delaware County made up 6% of its employment base in 2012 and is dominated by management consulting services. While businesses in this sector experienced the greatest growth between 2007 and 2012, the sector has a lower-than-average concentration in Delaware County. A strong growth rate, local attractiveness, and a lower-than-average concentration indicate a strong opportunity for continued growth. The Manufacturing sector in Delaware County made up 7% of its employment base in 2012 with 16,421 employees. The sector is dominated by aerospace product and parts manufacturing companies, and these types of companies also experienced strong growth between 2007 and 2012. The Manufacturing sector has a higher-than-average concentration in Delaware County and also has a local attractiveness factor of 870, indicating a strong opportunity for growth. The Health Care and Social Assistance sector is the largest sector in Delaware County. Making up nearly 18% of the County’s employment base in 2012, the sector has a higher-than-average concentration in Delaware County. Although the sector grew by 257 employees between 2007 and 2012, it lags behind regional performance with a negative local attractiveness factor of 3,371. General medical and surgical hospitals make up the majority of businesses in the Health Care and Social Assistance sector in Delaware County, with services for the elderly and persons with disabilities leading the way in growth. As the County’s population grows, the Health Care and Social Assistance sector will likely grow in response.

INNOVATION CLUSTERS AND CLUSTER OPPORTUNITIES Innovation clusters are geographic concentrations of businesses in industry sectors that rely on talented workers whose skills are based on significant knowledge, insight, and creativity. These clusters represent assets that, if strategically nurtured, can drive sustainable economic prosperity in Delaware County. Over 45% of Delaware County’s employment base is in innovation clusters.

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F IGURE 27: BUSINESSES IN I NNOVATION CLUSTERS (BY EMPLOYMENT SIZE)

For years, Delaware County’s waterfront area has been home to petrochemical businesses including Sunoco and Monroe Energy, LLC. In 2011, Sunoco closed its refinery at Marcus Hook with around 500 jobs lost. In 2012, Braskem, a Brazilian polypropylene manufacturer, acquired a portion of the Sunoco plant and has created around 240 jobs in polypropylene manufacturing. Polypropylene is a derivative of coal, natural gas, and oil, and is used in manufacturing plastics. Sunoco is reportedly also working toward transporting by-products of Marcellus Shale natural gas to Southeast Pennsylvania via pipeline, which could increase opportunities for a petrochemical manufacturing cluster in Delaware County. An overview of the applications of petrochemicals and their commercial applications can be found in Appendix A. Delaware County universities such as Villanova and Widener could support cluster development through research and technology transfer. A similar cluster could be developed around the biomedical industry with support of the County’s universities and major healthcare providers such as Crozer-Chester Medical Center.

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S TRONG INNOVATION P ARTNERS The development of innovation clusters in Delaware County will require strong partnerships among the County’s government, businesses, and education leaders. Some of the County’s potential partners include its strong education and healthcare sectors. There are four hospitals in Delaware County with around 1,130 beds, and 29 nursing homes with 4,373 beds. The hospitals include:  Crozer-Chester Medical Center  Delaware County Memorial Hospital  Mercy Fitzgerald Hospital  Riddle Memorial Hospital Delaware County is home to the following 14 higher education facilities offering undergraduate and graduate programs:  Albright College – satellite location  Cabrini College  Cheyney University of Pennsylvania  Delaware County Community College  Eastern University  Haverford College  Neumann University  Pennsylvania Institute of Technology  Penn State Brandywine  Strayer University  Swarthmore College  Valley Forge Military Academy  Villanova University  Widener University

A S IGNIFICANT OUTFLOW OF KNOWLEDGE WORKERS Delaware County is a net exporter of workers. In 2010, 60% of the County’s resident workers worked outside the County, which means that the number of residents commuting outside the County for work far exceeds the number of people commuting into the County for their jobs. Philadelphia County draws the greatest number of Delaware County residents. In 2010, more than 57,000 Delaware County residents held jobs in Philadelphia County. In contrast, a little more than 27,000 Philadelphia residents held jobs in Delaware County. The flow of workers between Delaware County and Montgomery County is similarly weighted in favor of Montgomery County. The majority of the outflow of workers is in the Professional, Scientific, and Technical Services sector and the Health Care and Social Assistance sector (likely more than 10,000 workers in each sector). In today’s economy, jobs follow knowledge workers, and economic development follows jobs. This outflow of knowledge workers could be attractive for new business development.

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F IGURE 28: WHERE DELAWARE COUNTY RESIDENTS WORK

Source: U.S. Census Bureau’s Local Employment Dynamics

3. OPTIMAL LOCATION AND ACCESS

A R OBUST TRANSPORTATION NETWORK The highway and road system in Delaware County consists of a network of interstate, arterial, collector, and local roads, all of which provide efficient circulation and access to goods, services, jobs, and recreational opportunities for residents, visitors, and tourists. Delaware County is served by interstate highways I-476 and I-95, which traverse the County north-south and east-west along the southern border, respectively. Nearly 25 million people live within a two-hour drive from the heart of Delaware County’s waterfront industrial area (measured from the intersection of I-95 and U.S. 322), making the County’s location attractive to businesses looking for speed to market in the East Coast’s large metropolitan areas. Delaware County is also home to a robust and extensively utilized public transit system operated by the Southeastern Pennsylvania Transportation Authority (SEPTA). Of the County’s served by SEPTA, Delaware County has the greatest number of public routes, including 2,600 transit stops, and is home to the Paoli/Thorndale Line, which has the greatest total ridership of any SEPTA regional rail service with 20,800 average weekday riders. The manufacturing and distribution/logistics industries in Delaware County benefit from access to a rail freight network operated by CSX; connecting Delaware County industries to a more than 21,000-route- mile rail network to deliver goods across the country. Partially located in Delaware County, the Philadelphia International Airport provides passenger and cargo service to the County’s residents and businesses. The Delaware River is also utilized by County businesses to transport goods. The river is currently being dredged to a depth of 45 feet to accommodate larger commercial ships.

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F IGURE 29: DELAWARE WATERFRONT

WATERFRONT CAPACITY Delaware County’s waterfront is underutilized with a number of vacant properties between the river and I-95. The completion of the Panama Canal expansion in 2014 will increase opportunities for movement of goods from East Coast ports, as well as for attracting manufacturing businesses looking for speed to market. The most obvious economic development opportunities in Delaware County exist along its waterfront – a potential Innovation Corridor. Assets in the waterfront corridor that contribute to this opportunity include the following:  Transportation infrastructure in five forms - The Delaware River and its opportunities for ports and movement of goods, as well as recreational opportunities - Convenient access to active passenger and freight rail network - Convenient access to the Philadelphia International Airport for both passenger and cargo services - Convenient access to public transit services - A highway network that includes the intersection of I-476 and I-95, with I-95 traversing the entire length of the corridor  The availability of vacant, developable properties and of vacant industrial properties  High concentrations of the County’s manufacturing businesses  High concentrations of businesses in innovation clusters

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STRATEGIC PLANNING OBJECTIVES The emerging themes and opportunities in the previous section contain the building blocks for developing a 10-Year Comprehensive Economic Development Strategy that will focus the County’s efforts in specific areas, which will encourage County revitalization, brownfield redevelopment, workforce development, and the growth of key industries, along with improvements to the existing delivery system for County economic development services. Six strategic planning objectives were developed based on these themes and opportunities, and are presented on the following pages.

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STRATEGIC PLANNING OBJECTIVES AND RECOMMENDED ACTION PLAN

Objective #1 Objective #2 Objective #3

Establish “Commercial Improvement Zones” to Focus Place-Based Develop a Brand and Marketing Plan to Maintain Competitive Advantage Develop Countywide Business Retention and Recruitment Strategies Investment

1. Develop an economic development brand 1. Designate local geographic “Commercial Improvement Zones” for 1. Develop technology and innovation network • Brand • Partner with research universities to educate priority redevelopment focus • Logo business/industry on technological advances to • Vacant, and underutilized sites and commercial • Tagline compete in regional, national, and global markets properties • Images • Create opportunities to facilitate technological • Priority areas include those that maximize existing 2. Define the County’s assets solutions for business/industry based on needs to transit assets 3. Implement economic development marketing strategy increase productivity and possible expansion • Develop list of potential areas to be included within • Identify target audience(s) the Commercial Improvement Zones • Develop consistent message and collaterals based 2. Continue to expand communications with business/industry to • Rank the areas be able to respond to expansion, workforce, and capital needs: on audience(s) • Develop reuse plan for priority areas • Maintain a business and industry database • Enhance website 2. Develop financial incentives for Commercial Improvement Zones • Develop industry-specific e-newsletters • Implement Marketing and Communications Plan redevelopment projects and couple with Commonwealth funding • Develop a Business Outreach Program to interact - Identify methods for outreach to target 3. Promote Commercial Improvement Zones with business and industry audience(s) (e.g., trade shows, website • Create area profiles enhancements, etc.) 3. Develop web-based site selection tool to showcase properties • Create an electronic database of sites for marketing Develop internal communication/marketing available for lease/sale within the County - to developers strategy to promote objectives of the • Work with municipal managers to update • Prepare Commercial Improvement Zones marketing strategy (county, municipalities, and school information brochure districts) • Work with property managers and commercial real estate brokers to update information • Seek developers to redevelop properties • Issue requests for proposals (RFPs) 4. Actively recruit targeted industry sectors based on sites available within municipal growth boundaries • Professional, technical, and scientific services • Light manufacturing • Health care and social assistance 5. Encourage development of amenities to attract knowledge workers to live and work in Delaware County • Work with developers, and enable strategies for town centers

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Objective #4 Objective #5 Objective #6

Repurpose Vacant and Underutilized Properties and Maximize Delaware Enhance Global Trade Opportunities Develop Concurrent Local Strategies River Opportunities

1. Establish an Innovation Corridor – A place for job creation, business 1. Develop a foreign direct investments strategy 1. Coordinate leadership by the Delaware County Planning • expansion, recreation, and creative mixed-use developments Identify key assets Department • Areas for incubating businesses • Create regional awareness • Regional comprehensive plans • Allow for expansion of current businesses • Identify investor leads • Encourage transit oriented development • Improve movement of goods • Facilitate and prepare deals • Align local strategies with County goals • Create new and exciting residential developments • Monitor and provide aftercare • Encourage local governments to develop brands for • Enhance recreational opportunities 2. Establish foreign-trade zone(s) or subzones unique neighborhoods 2. Establish incubators and research and development facilities 3. Maximize port capabilities • Develop strategies for major interchanges and • Identify and secure locations for incubator(s) • Facilitate fast and efficient movement of goods access points (e.g., I-95 and I-476 interchanges) - Chemical/Plastics incubator(s) and expansion from the terminal to market • Develop a brand strategy for transit space • Facilitate expansion of terminal operations corridor/stations (e.g., “5 Stops Down”) - Biomedical incubator(s) and expansion space • Explore opportunities for additional rail sidings as • Develop incubator program guidelines that include needed criteria for graduating from incubator space

• Identify venture capital and state/federal funding • Maintain list of sites to be used as “graduation” space (space should be located in all areas of the County) • Continue regional collaborative economic development efforts to encourage technology transfer (e.g., Ideas x Innovation Network [I2n], etc.) - Existing sectors - Target sectors 3. Maximize the Delaware River • Provide recreation opportunities • Catalyze waterfront development

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IMPLEMENTING THE 10-YEAR ECONOMIC DEVELOPMENT STRATEGY

CURRENT ECONOMIC DEVELOPMENT ORGANIZATIONAL S TRUCTURE Delaware County provides a one-stop shop for F IGURE 30: CURRENT ECONOMIC DEVELOPMENT many of the financial and land development STRUCTURE IN DELAWARE COUNTY tools essential to implementing this 10-year strategy. The Delaware County Commerce center serves as the gatekeeper for the authorities and boards created to assist business and industry. The Economic Development Oversight Board (EDOB) was formed in 1990, and is responsible for facilitating economic development activities within the County. This Board serves as the management authority for the County’s Industrial Development Authority (IDA), Industrial Development Corporation (IDC) and the Redevelopment Authority (RDA). Each of these authorities/corporations provides a critical role in encouraging economic growth in Delaware County. The IDA issues revenue bonds and notes for the financing of industrial and commercial projects through third party sources. The IDC acts as a conduit for low interest loans made available by the Commonwealth of Pennsylvania’s Industrial Development Authority. The RDA serves as the entity for condemnation and development within the County. The RDA also administers the County’s Brownfield’s pilot program. Each of these boards and authorities play a key role in economic development in Delaware County and should continue to do so.

OBJECTIVE 1. DEVELOP A BRAND AND MARKETING PLAN TO MAINTAIN COMPETITIVE ADVANTAGE Achieving sustained economic growth in Delaware County will largely depend on the County’s ability to maximize its competitive environment. The County’s strategic location, skilled workforce, access to quality education, key industry sectors, and extensive transportation network all play an important role in supporting the County’s economy. Although pad- ready sites, financial incentives, and local government support are important in attracting new industry, the County’s success will rely heavily on its ability to differentiate itself from its competitors who are attempting to attract comparable industry sectors.

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During Steering Committee meetings, interviews, and focus group sessions, Delta initiated discussions relative to defining a new brand for the County’s economic development program. Stakeholders agreed the brand should correlate with the County’s numerous economic strengths. The County is located within a major metropolitan area comprised of proactive counties and economic development agencies aggressively working to recruit the same types of business and industry. These facts reinforce the need for the County to develop a brand and message statement to proactively promote Delaware County as a place to invest, build a business, work, and raise a family. The message should be clear and consistent, and should highlight those assets that set the County apart from its competitors.

DEVELOP THE BRAND The brand will include all marketing efforts and will include the logo, tag line, and images to be used on all materials. The brand should embody an image that truly differentiates the County from other places within the region. A bold and energetic brand can portray the County’s desire to celebrate its foundation while embarking on a new and exciting path to economic growth. The County enjoys an extensive transportation network, skilled workforce, easy access to the resources of large metro areas, higher-performing schools, and the presence of colleges and universities. Many of these strengths are shared by the surrounding counties. The County must determine what primary assets will differentiate the County from its competitors.

DEFINE A SSETS

The Delaware River is one of the County’s greatest assets, and one that cannot be replicated in other communities. The River’s ability to offer opportunities for recreation and global/national commerce is a strength that should be a focal point of Delaware County’s brand. The River will play a key role in allowing the County’s economy to capitalize on growth in global trade. Manufacturing and Logistic industries will see the river as an advantage in exporting their product to overseas markets. Delaware County has a number of innovation sectors that have allowed its economy to grow even during the recent economic downturn. This innovation has fueled and will continue to fuel the County’s economic growth for years to come. Companies like Boeing, SAP America Inc., and Braskem are just a few examples of the innovation, research and entrepreneurial spirit currently in play. Innovation will also play a critical role in creating

P AGE | 73 DELTA DEVELOPMENT GROUP, INC. GROWING FROM WITHIN A BLUEPRINT FOR GROWTH IN DELAWARE COUNTY new business and industry as the County takes the lead on developing research facilities and incubators and encourages the transfer of technology to create new business and industry. Symbolizing this innovation within the new brand will also be important. Lastly, as of the 2010 Census, there were 46 million people living within a 200-mile radius of Delaware County. This number is expected to grow to 48 million by 2017. The fact that the County has an extensive network of transportation systems (water, rail, major highways, and air) enables its industries to be more efficient in transporting and receiving product (speed to market). This is an advantage to business and industry, allowing them to carry less inventory, be more agile with market changes, and link their locations to supply chains.

IMPLEMENT A MARKETING S TRATEGY

DEVELOP COLLATERAL MATERIALS Once defined, the County must be diligent on keeping its message consistent with all marketing materials. Whether it is a meeting with a prospective new business or investor, holding a press conference or town hall meeting, attending or exhibiting at a trade show, presenting at a business mixer, or any other event to promote the County’s economic development efforts, the message must be the same. Once the brand has been developed, the font, colors, logo, and message must be used on all collateral materials. These materials should include a marketing folder that highlights the County’s many economic assets and strengths. The County should also develop various profile sheets to be inserted in the folder, based on the specific audience. These inserts should provide information on available sites, financial incentives, socioeconomic information, etc.

ENHANCE WEBSITE The website should become a useful resource and guide for any industry considering locating and or expanding within Delaware County. The style and theme should reflect the brand and should duplicate all other marketing materials being used to promote the County. Images of the County should revolve around its industrial character, key industry sectors, activity occurring on the Delaware River, and the County’s future as a leader in research and development, technology transfer, and entrepreneurship. These images should also appeal to the industries being targeted for recruitment.

CONNECT WITH TARGETED INDUSTRIES Trade shows and conferences will provide an excellent opportunity for Delaware County to personally interact with target industry decision makers. Delaware County representatives should attend the annual trade shows or conferences of the bio-medicine, technology, and advanced manufacturing industry targets. Delaware County should also identify three top industry events to attend and purchase exhibition space. The booth should promote Delaware County as a place for relocating and/or expansion. Becoming members of industry associations of the targeted industries also offers an opportunity to track industry news and events, and to advertise in their publications.

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T ABLE 25 – MARKETING AND COMMUNICATIONS PLAN

AUDIENCES OBJECTIVES MESSAGE POINTS TACTICS AND TOOLS Entities Engaged in Business Recruitment or Engaged in Redevelopment/Development Projects Relocation Consultants Work to expand targeted Delaware County provides professional Develop new marketing Real Estate industries. governance and offers a business climate to collaterals to highlight message Professionals Maintain measurable indicators: support business and industry. points: Developers  Increase in jobs Delaware County Commerce Center offers one-  Marketing brochure  Increase in square stop economic development services. that promotes access, Local Business and footage of tech, bio- Delaware County is ideally located: population, education, Industry med, and  6 miles from Philadelphia etc. Economic Development manufacturing  110 miles from New York  Banners for trade Agencies Redevelop key sites in Delaware  161 miles from Washington, DC shows Chambers of County.  96 miles from Harrisburg Attend trade shows for clusters Commerce Delaware County offers business and industry such as technology, bio-science, the opportunity to reach over 46 million and advanced manufacturing. consumers within a 200-mile radius; our Identify key sites to market and transportation system ensures a fast and efficient promote. means to get your product to the consumer.

Delaware County is well served by a Develop a database to track comprehensive transportation network that indicators such as: includes interstate/intrastate highway network,  Number of new jobs passenger transit stops, rail freight lines, added Philadelphia International Airport, intermodal  Increase in square ports (rail, highway, water). footage of tech, bio- Delaware County is home to a large number of med, and high-performing primary and secondary schools. manufacturing Delaware County is home to a number of higher  Number of sites education institutions. redeveloped Delaware County’s employers benefit from a highly skilled workforce; over 34% of the County’s residents have a bachelor’s degree. Government and Institutions -Delaware County’s 49 Increase awareness of the Delaware County requires the cooperation and Semi-annual economic municipalities entity’s role in economic assistance of local government and school development workshops with -School districts and development. officials to grow the County’s economy. municipalities, school districts, private schools Build partnerships to enable the Institutions will play a key role in advancing and institutions to discuss the -Universities, colleges, County to effectively implement many of the economic development initiatives. economic development strategy, and technical schools its economic development annual work plans, and updates -Healthcare and other strategy on economic development nonprofit institutions achievements. Residents County residents Increase each resident’s Delaware County works to attract and retain Develop quarterly residential e- (current and future) familiarity with Delaware new business and industry in order to: newsletter that updates the County’s economic  Provide sustainable jobs for Delaware County’s residents on progress development initiatives. County residents made on economic development Help residents understand the  Increase the tax base in order to lessen initiatives. value of economic growth and the tax burden on County homeowners Develop baseline data to track development.  Increase the tax base to enable school progress made with respect to Educate residents on Delaware districts to provide quality education assessed valuation in each of the County’s many valuable  Increase the tax base to enable the County’s municipalities. Publish economic assets. County and its municipalities to provide results on an annual basis.

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T ABLE 25 – MARKETING AND COMMUNICATIONS PLAN

AUDIENCES OBJECTIVES MESSAGE POINTS TACTICS AND TOOLS Engage residents in actively quality services and recreational Connect with residents via a participating in economic programs for County residents. smart phone application to development activities within Delaware County works to redevelop/develop provide updates on the County’s their community. strategic sites within the County to improve the economic development quality of life for County residents by improving accomplishments. brownfield and greyfield sites, attracting better Convene a semi-annual economic retail to serve County residents, and improving development town hall meeting; the appearance of Delaware County. work with municipalities to host these evening meetings.

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OBJECTIVE 2. DEVELOP COUNTYWIDE BUSINESS RETENTION AND

R ECRUITMENT S TRATEGIES

DEVELOP A TECHNOLOGY AND INNOVATION NETWORK

TECHNOLOGY EXPO – BUSINESS AND INDUSTRY Villanova University currently hosts a Technology Expo geared toward the education community. This expo gives educators the opportunity to interact with over 100 technology innovators, vendors, and exhibitors and provides an opportunity to learn about the latest educational technologies from keynote speakers, vendors, and peers. This annual event could be expanded an additional day to target and educate business leaders on cutting-edge technology so they can compete in today’s global economy. Business to Business technology networking events should also be considered as ways to keep businesses up to date on technological advances that could improve their operations. The Delaware County Chamber of Commerce should take the lead role in organizing this type of event. These events should be held semi-annually and should include an opportunity for businesses to network, while hosting keynote speakers who provide information on technology and their business.

EXPAND COMMUNICATIONS WITH BUSINESS AND INDUSTRY

MAINTAIN A BUSINESS AND INDUSTRY DATABASE Because of the many changes that can occur within the County’s businesses (e.g., business closings, openings, new contact person), maintaining an accurate database can be a difficult challenge. Although this effort can be both daunting and demanding, it can also be one of the most rewarding. Having an efficient and accurate database can allow the County to market its economic development initiatives and programs, keep businesses up to date on the County’s accomplishments, and allow businesses to appreciate the effort the County is making in providing an economic environment that allows their business to thrive and grow. The database can also be used in benchmarking the economic achievements for the County. The database should include the following information:  Name of business and address  Contact person  E-mail address and phone number  Number of employees  Annual sales Comparing data received on an annual basis will allow the County to gauge the growth and/or downward trends that are occurring. This will allow the County to react and redirect its priorities based on this information.

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DEVELOP INDUSTRY-SPECIFIC E-NEWSLETTERS The Commerce Center should continue to develop e-newsletters to be distributed to business leaders on a consistent basis. The newsletters can be general in nature, informing the business leaders of new programs being initiated, financial incentives available, and accomplishments made as a result of the economic development strategy. The newsletters can also be industry specific, providing updates on information such as changes in global trade initiatives, manufacturing updates, and new programs available for workforce development.

DEVELOP A BUSINESS OUTREACH PROGRAM The Business Outreach Program would assist in making Delaware County’s businesses more competitive by evaluating and addressing their key needs and concerns. This Program would ensure a healthier business community by addressing business concerns in a proactive manner. The business would be contacted by a committee member of the Business Outreach Program to schedule an Outreach Interview. During this interview, the Committee Member would ask a series of questions to determine if County could assist the business owner, or if there are any issues that need to be addressed. The Outreach Committee would maintain a log on interviews conducted, results of the interview and any actions taken. Recommendation: Delaware County Commerce Center should continue to take the lead on maintaining an accurate database of all businesses located within Delaware County. The database should be separated by industry sector to allow for specific information delivery. The Commerce Center should utilize interns from Villanova University and Widener University to assist in this effort. The database should be updated annually. This database can be used in implementing the Business Outreach Program. Notes from interviews would be included within the business database.

DEVELOP A WEB-BASED SITE SELECTION TOOL The County should develop a web-based site selection tool to actively market sites available for lease and/or sale. The County’s website should include a Property- For -Sale/Lease icon that would redirect users to this selection tool. The tool should provide a customized search by property type, site size, location, use, major transportation routes, and rail service. The selection tool should also provide a mapping feature based on the County’s Geographic Information Systems (GIS) that lets users create an analysis of the site to include property owner information, zoning, assessed valuation, and other information available through the County’s GIS system. A market profile should be provided for each community that includes demographics, household income, education, school district performance, and workforce data. The site selection tool should be web-based and allow users of the system to easily view, edit, and add information. Once it has been created, user names and passwords should be created for municipal officials, commercial brokers, and others who actively market real estate in Delaware County to enter their real estate information into the selection tool database.

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A CTIVELY R ECRUIT T ARGETED INDUSTRIES Developing the brand and marketing materials should be a key priority for the County. Once developed, the County can begin to actively recruit targeted industries. As stated previously, nine of the County’s industry sectors indicated a positive local attractiveness factor. Three sectors to watch include the Professional, Scientific, and Technical Services sector, the Manufacturing sector, and the Health Care and Social Assistance sector. Since these industry sectors are located throughout the County, future recruitment efforts should be Countywide rather than targeted to a specific site. Site selection tools, marketing brochures, and attending industry-specific trade shows are methods that should be used to recruit new industry to the County.

ENCOURAGE DEVELOPMENT OF A MENITIES In order to continue to attract new residents and workforce, Delaware County will need to keep pace with the adjacent counties who are working to attract upscale entertainment and retail options that are designed to recruit new residents and recruit/retain workers. A town center development provides these amenities in a comprehensive development. Developers experienced with town centers will seek communities that have done extensive preliminary market research, offer sites with transportation connections and unique strengths, and have significant financial incentives in place.

THE SITE FOR A TOWN CENTER Market research is the basis for any successful development. Demographic factors such as population, income, education, and market saturation are all important for the success of any retail complex. This section includes some preliminary research for potential markets within Delaware County. Examples of successful town centers are included for comparison purposes. Connections to local transportation networks are also key for providing access to and from the site for residents, office workers, and shoppers at the town center. Each of the potential retail markets has been chosen along a major highway to help provide the access developers will seek.

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Greenfield sites may not be conducive in providing a current base and/or anchor for a town center. In other communities, town centers have been located on former brownfields or malls, and in downtowns. It is important to select a property that differentiates itself with unique strengths that can be capitalized to drive further development and investment. Incentives may also be used more liberally in areas that will require more rehabilitation.

EXAMPLES OF TOWN CENTERS

BAYSHORE TOWN CENTER – GLENDALE, WISCONSIN Overview Located eight miles from center city Milwaukee, Bayshore Town Center is a mixed-use complex that contains approximately 500,000 square feet of town center retail, 200,000 square feet of office and residential space, and a 500,000-square foot enclosed mall. Retail Mix The enclosed mall contains standard mid- and lower-tier retail outlets such as Boston Store, Sears, and Champs Sports. The town center portion of the mall contains mid- and upper-tier retail outlets such as Eddie Bauer, Chico, and the Apple Store.

EDGEWOOD RETAIL DISTRICT – EDGEWOOD, GEORGIA Overview Located three miles from center city Atlanta, Edgewood Retail District is a twin-power center with a lifestyle center buffering. The complex contains approximately 530,000 square feet of retail space and 220 residential units. Retail Mix Two power centers are anchored by Target and Lowes. The complex is home to mid-level retail including Barnes & Noble, Kroger Supermarket, Best Buy, and Petco.

THE PROMENADE AT CHENAL – LITTLE ROCK, ARKANSAS Overview Located 13 miles from center city Little Rock, the Promenade at Chenal is an upscale lifestyle center with similarly sized stores. The complex contains approximately 300,000 square feet of retail space. Retail Mix Upper-tier retailers include the Apple Store, J. Crew, Coldwater Creek, and LOFT.

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DEFINE THE M ARKET A REA The objective of delineating the market area is to define where the demand, competition, and labor are derived for a Delaware County Town Center. The three example town centers will be compared with three potential markets for a Town Center. The three markets for a town center are intentionally placed in different areas of the County: Delaware County East – Baltimore Pike and North Avenue Delaware County Central – US Route 352 and PA Route 2 Delaware County West – US Route 352 and US Route 1 Each comparison and example location uses a five-mile radius from the center point. The data gathered is from ESRI.

F IGURE 31: MARKET AREA

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T ABLE 26 – MARKET POPULATION

2010 TO 2015 ANNUAL 2000 2010 2015 RATE

Bayshore 314,838 313,918 314,698 0.05% Edgewood 320,663 374,796 403,123 1.47% Promenade 60,143 68,818 72,567 1.07% Delco West 73,593 83,982 86,769 0.66% Delco Central 134,369 139,150 139,482 0.05% Delco East 482,756 469,077 462,018 -0.30%

POPULATION  Delaware County (Delco) East has the largest market population with 469,077 people in 2010, but is projected to shrink at an annual rate of -0.30% between 2010 and 2015.  Delco Central and West rank below Bayshore and Edgewood in 2010 population but above Promenade.  Population in Delco West is the fastest-growing potential market but is only higher than one example market.

T ABLE 27 – MEDIAN HOUSEHOLD INCOME

2000 2010 2015 2010 TO 2015 INCREASE

Bayshore $33,165 $42,420 $50,755 19.6% Edgewood $36,909 $50,235 $63,578 26.6% Promenade $53,918 $68,339 $73,488 7.5% Delco West $78,027 $100,667 $111,316 7.5% Delco Central $58,789 $74,784 $86,113 15.1% Delco East $42,150 $57,899 $65,152 12.5%

 Median household income is higher in both Delco West and Central than any example market at $100,667 and $86,113, respectively.  Delco Central has the fastest-growing household income of any example market but is increasing slower than two of the three example markets.  Delco East has the second-lowest income of any market and is growing at the third-slowest rate.

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T ABLE 28 – TOTAL HOUSEHOLDS WITH I NCOME ABOVE $100,000

2010 PERCENTAGE OF 2000 2010 2015 AREA HHS

Bayshore 11,001 13,841 21,959 11.4% Edgewood 17,848 31,272 47,944 20.2% Promenade 5,345 8,614 9,661 28.9% Delco West 8,901 14,648 18,070 50.6% Delco Central 11,652 17,145 21,880 33.4% Delco East 21,225 35,124 47,435 19.5%

 Delco East has the largest number of $100,000 households as of 2010 but has the second- lowest percentage of these households.  Delco West has the second-lowest number of $100,000 households as of 2010 but has the largest percentage of these households.  Delco Central has the third-largest number of $100,000 households as of 2010 and has the second-largest percentage of these households.

F IGURE 32 – HOUSEHOLD INCOMES ABOVE $100,000

Note: The Red Dots indicate block groups with a media income of over $140,000, while the orange dots represent block groups of $100,000 to $140,000.

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T ABLE 29 – TABLE EDUCATION

EDUCATION ATTAINMENT HIGH SCHOOL DIPLOMA SOME COLLEGE BACHELOR’S DEGREE (MINIMUMS) Bayshore 83.3% 55.9% 29.7% Edgewood 83.6% 61.6% 43.3% Promenade 96.1% 80.9% 54.8% Delco West 95.2% 73.0% 50.8% Delco Central 92.4% 65.0% 42.1% Delco East 88.2% 53.2% 28.2%

 Delco East has the lowest percentage of people with bachelor’s degrees of any study at 28.2%.  Delco West has the second-highest percentage of people with bachelor’s degrees at 50.8% and the largest of any potential area.  Delco Central is in the middle of the group with 42.1% of people holding at least a bachelor’s degree.

2010 EMPLOYMENT

T ABLE 30 - EMPLOYMENT

EMPLOYMENT UNEMPLOYMENT WHITE COLLAR SERVICE BLUE COLLAR SECTORS RATE

Bayshore 62.9% 20.3% 16.9% 16.3% Edgewood 70.0% 17.8% 12.3% 16.1% Promenade 81.0% 10.8% 8.2% 4.7% Delco West 78.6% 10.5% 10.9% 7.2% Delco Central 74.0% 12.8% 13.2% 8.5% Delco East 67.1% 17.4% 15.5% 11.5%  Delco East has the second-lowest percentage of people with white collar jobs at 67.1% and unemployment is the third worst at 11.5%.  Delco West has the second-highest percentage of people with white collar jobs at 78.6% and unemployment ranks equally well at 7.2%.  Delco Central has the third-highest percentage of people with white collar jobs at 74.0% and unemployment ranks equally well at 8.5%.

2010 TOTAL SPENDING AND BUSINESS SALES The chart below outlines the total amount of consumer spending, the total number of business sales, and the relationship between the two. Because retail is a large portion of business sales, communities without sufficient retail business will show a higher proportion of consumer spending to business sales. Though only correlated with a leakage study, this provides a rough idea of which area may have the most retail leakage.

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T ABLE 31 – CONSUMER SPENDING

MARKET TOTAL CONSUMER SPENDING TOTAL BUSINESS SALES PROPORTION OF

SPENDING (IN BILLIONS) (IN BILLIONS) SPENDING TO SALES Delco West $3.3 $5.8 0.57 Delco Central $4.6 $7.2 0.63 Delco East $11.7 $24.9 0.47

 This chart shows Delco Central with the largest proportion of consumer spending to business sales at 0.63. This suggests that Delco Central is the best place for additional retail.  This chart shows Delco East with the smallest proportion of consumer spending to business sales at 0.47. This suggests that Delco East is the least desirable place for additional retail.

R ECOMMENDATIONS These basic numbers indicate that more retail may be supported in Delaware County. Delco Central is the most logical choice based on the data shown in the areas of population, income, education, employment, and spending/sales. Delco Central currently has two mall areas that could be considered for developing a special place that lifestyle centers can create. Based on public comment, these malls are not keeping pace in meeting the consumer’s preferences and lifestyles; nor are they aiding in attracting new professionals into the County. Baltimore Pike provides convenient access to these malls. Maintaining sufficient parking while providing a variety of stores to ensure a diverse array of goods will create the type of shopping experience many professionals are searching for. Including restaurants, entertainment venues, and housing will create a 24/7 place that will add vibrancy to these older shopping malls. Although the private sector will need to take the lead on identifying the appropriate sites, recruiting retail and entertainment anchors, and implementing this type of project, Delaware County can assist by working with municipalities to amend zoning ordinances to permit this type of mixed use development, or assist in identifying financial incentives that may be required.

OBJECTIVE 3. ESTABLISH COMMERCIAL IMPROVEMENT ZONES TO FOCUS PLACE- BASED INVESTMENT The County’s municipalities have a number of vacant and/or underutilized sites and commercial properties. While currently not achieving their full potential, these areas are assets in that they typically:  are serviced by existing infrastructure,  are accessible by diverse transportation modes,  can facilitate infill development to help reduce sprawl, and  are critical to the structure and character of a community. The downside to redeveloping many of these properties lies in the fact that the costs to acquire, renovate, and in some cases remediate the site from environmental issues make it cost prohibitive to accomplish any type of redevelopment. Without the proper financial incentives, these buildings and properties will continue to decline, and the longer they remain vacant, the more difficult it will become to redevelop. This cycle will continue to erode the economic base, pride, and quality of life for these communities.

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The County should take a lead role in developing a Commercial Improvement Zones Plan that would actively work to redevelop the sites in many of these communities. The County should initially focus on those communities that would allow the County to maximize its existing transit assets. The process would include identifying the actual Commercial Improvement Zones, identifying the areas to be included within the zones, ranking and prioritizing the zones, preparing a reuse strategy, developing financing incentives based on the reuse and location, and actively marketing the sites to developers.

F IGURE 33 - COMMERCIAL I MPROVEMENT ZONES

DEVELOP THE COMMERCIAL IMPROVEMENT ZONES P LAN

DEVELOP A LIST OF ALL AREAS Each of County’s municipalities are truly unique. What they can attempt to attract in the way of retail, office, and residential uses will vary from community to community. The first step in creating the transformation of these communities is to identify the specific areas to be revitalized, and develop a list of key sites, along with the sites’ attributes. At a minimum, the attributes should include the following: - Current use of site (retail, office, mixed) - Number of vacancies - Size - Surrounding uses - Condition of buildings - Is the site a community asset? Regional asset? - Current market value - Current tax status - Environmental conditions

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RANK THE AREAS Developing a reasonable and rational method for selecting, ranking, and prioritizing the areas will be critical to the success of development within each of the Commercial Improvement Zones. This process will allow the County to identify the Commercial Improvement Zones it should initially be focused on redeveloping. It will also be a key element to obtain community buy-in and to secure support from potential state and federal funding sources as well as future investors. This will provide the County with a process to identify both current and future projects, prioritize them for the use of funding and for soliciting developer interest and Request for Proposal (RFP) development. Each of the candidate areas should be evaluated with the following criteria questions:  What is the area’s ability to attract and support a strong redevelopment program (e.g., ability for a mixture of uses, ability to attract developers, strong community support)?  Is the area composed of readily developable properties? Does the infrastructure currently in place have the capacity to support redevelopment?  Is the assembly of parcels required to achieve quality redevelopment?  Does the area have access to major transportation routes? Mass transportation?  What are the uses surrounding the area(s)?  What is the areas’ potential for stimulating additional redevelopment within the Commercial Improvement Zones?  Are there environmental issues that would preclude redevelopment within the proposed Commercial Improvement Zone?

DEVELOP REUSE PLAN FOR THE PRIORITY AREAS For each key redevelopment area, the County should work with the local community to determine the highest and best use. Along with this analysis, the County should answer the following questions: . If multiple sites have been identified for demolition and new construction, how should the sites be prioritized for order of redevelopment? . What uses are most compatible with the surrounding properties? . What uses would best meet an established need (e.g., market rate vs. affordable housing)? . What uses will the market support, and how should a project be configured and sized based on market indicators and trends? . What uses would create the greatest economic and fiscal benefit? . What is the target use, and who is the target tenant/user? . Are there specific real estate needs that are associated with the target tenant/user? . What development partnership option(s) would create the greatest return on investment? . What costs are associated with the development of the site? . What private-public partnerships (P3) can be developed to facilitate redevelopment?

DEVELOP FINANCIAL INCENTIVES The County should work with the state legislature, local municipalities, and the school district to develop financial incentives to assist in redeveloping these underutilized properties. These financial incentives should be coupled with grant programs currently offered by the Commonwealth.

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CITY REVITALIZATION AND IMPROVEMENT ZONES In July of 2013, House Bill No. 465 was enacted. This Act amends the act of March 4, 1971 (P.L. 6, No 2.), establishing a City Revitalization Improvement Zones program to provide economic development and job creation in third class cities. The zone is comprised of designated parcels by the contracting authority constructing one or more facilities with the zone (sports complex, conference center, etc.). The Act limits the creation of 2 zones through 2016 including a pilot program which is a zone in a township or borough having a population of at least 3,000 people. After 2016 two additional zones may be approved each year.

P ROMOTE COMMERCIAL IMPROVEMENT ZONES

CREATE ZONE PROFILES The County should create profile sheets for each of the designated Commercial Improvement Zones and their respective redevelopment sites. At a minimum, the profiles should include:  Image of site  Property Owner Information  Assessed valuation  Highlights of County economic information  Highlights of local community’s economic information  1-3-5-mile demographic information  Financial incentives offered for the site

CREATE AN ELECTRONIC DATABASE The County should develop an interactive database to actively market all sites to potential developers. The database would be accessible to the public through the County’s website, with special administrator permission given to certain municipality employees to update information as it changes. In effect, this database will serve as an accessible and compelling marketing tool for these underutilized properties. The database should also incorporate these sites onto GIS layers to create detailed maps of the site to facilitate online viewing of each of the Commercial Improvement Zones and their respective redevelopment sites.

PREPARE COMMERCIAL IMPROVEMENT ZONES MARKETING BROCHURE A marketing brochure should be developed to promote each of the designated Commercial Improvement Zones and their respective development sites. The brochure should be of quality design, include the County’s economic development brand, and contain information about the County, background information on each of the Transformation Zone Communities, and the individual profile sheets.

SEEK DEVELOPERS TO REDEVELOP PROPERTIES

DEVELOPER’S SUMMIT The County should host a developer’s summit to promote the Commercial Improvement Zones Program. The County would invite developers that work within the region. The summit would be an opportunity to provide information on the program, financial incentives designated for each of the Commercial Improvement Zones, and the key sites to be redeveloped. This should be the first step in engaging prospective developers for each of the Commercial Improvement Zones.

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ISSUE REQUEST FOR PROPOSALS The final step in this process is to actively seek developers for high-priority sites. The County should select up to three sites that have been ranked as a high priority based on criteria set by the County and the local communities. The County should develop a formal Request for Proposals (RFP) to attract credible private development firms to redevelop these priority sites. The RFP should include the following items:  An introduction that provides information on the Commercial Improvement Zones Program (goals and objectives)  Description of the Commercial Improvement Zones and designated sites for redevelopment  Site plans  Visions and concepts (if developed)  Submission requirements

OBJECTIVE 4. REPURPOSE VACANT AND UNDERUTILIZED PROPERTIES AND MAXIMIZE DELAWARE RIVER OPPORTUNITIES

ESTABLISH AN INNOVATION CORRIDOR – A P LACE FOR J OB CREATION, BUSINESS EXPANSION, R ECREATION, AND CREATIVE M IXED-USE DEVELOPMENTS Concentrating the effort to reinvigorate the eastern portion of Delaware County (corridor) is important for a number of reasons. First of all, this corridor includes a number of industrial centers that extend from Marcus Hook to Eddystone. Many of these centers are greatly underutilized and/or vacant. Located between these industrial centers are areas that are conducive for mixed-use waterfront development, and new light manufacturing facilities. The corridor also provides new and/or expanded recreational opportunities by capitalizing on the Delaware River. A few of the current anchors within the corridor include Breskem America, Monroe Energy, Crozer-Chester Medical Center, Widener University, Chester Soccer Stadium, Harrah’s Casino and Racetrack, Boeing, and Penn Terminal, Inc. Lastly, the corridor has a full complement of freight transportation services that include the following:

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 Rail (Freight): CSX Philadelphia Subdivision Line, Conrail Chester Secondary Line  Air Cargo  Marine Terminal  Interstate Highways: I-95 and I-476 The corridor should be identified as Delaware County’s Innovation Corridor (Innovation Corridor). This Innovation Corridor should include areas for incubating businesses, allowing for expansion of current businesses, improving movement of goods, creating new and exciting residential development, and enhancing recreational opportunities.

ESTABLISH INCUBATORS AND RESEARCH AND DEVELOPMENT FACILITIES Focus group sessions and Steering Committee meetings identified the need to grow the County’s economy by targeting the growth of the three innovation clusters already present within the County. These include the following sectors: Health Care and Social Assistance; Manufacturing; and Professional, Scientific, and Technical Services. A business incubator is the most effective means of fostering the growth of new business, and is an economic development tool that helps grow businesses locally. An incubator offers a wide variety of assistance to help establish businesses that may otherwise fail in their earliest stages. Once a business matures beyond the capacity of the incubator space, the business is moved to a more appropriate space in the target area. The location of the incubator/Research and Development (R&D) Facilities is the most critical factor; proximity to related businesses and organizations and access to transportation networks are particularly important. By creating these incubators/R&D Facilities in the Innovation Corridor, the resources and intellectual capital of Widener University, Crozer-Chester Health System, and the corridor’s successful industries can be easily accessed. It will also allow these facilities to access the large volumes of water, petroleum, Marcellus Shale natural gas, and workforce. The County should take the lead on developing partnerships needed to develop incubators/R&D Facilities to encourage tech transfer and small business growth. A graduation plan and sites identified for transferring small businesses from the incubator to these sites will be critical to the success of this initiative.

INCUBATORS/R&D FACILITIES

ECONOMIC DEVELOPMENT AND THE ROLE OF INCUBATORS An incubator allows ideas to grow in an environment that provides resources and services. The incubator can develop successful business ventures that will leave the program at the stage when it is financially viable. Businesses developed within the incubator will develop new and innovative technologies, with the potential to create jobs and grow the County’s economy, while revitalizing the neighborhoods within the Innovation Corridor. The incubator can provide technical assistance, business, and management guidance while offering affordable rental space, flexible leases, shared business services and equipment, laboratories, and assistance with developing financial partners to enable future business growth.

STATE OF THE BUSINESS INCUBATION INDUSTRY The National Business Incubation Association (NBIA) issued the 2012 State of the Business Incubation Industry report, which seeks to learn about the latest industry trends based on surveys conducted on business incubation programs throughout North America. Highlights from this report include the

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following: The average number of client companies per incubation program reach an all-time high of 35; this includes both resident clients and affiliate clients.  The amount of time the incubator clients spend in a program before graduating varies widely; on average, clients are receiving incubator services for less time before graduating. The average time for resident clients was 28 months.  Mixed-use incubation programs continue to be the most prevalent type of incubator; the percentage that served primarily technology businesses experienced a slight decline to 37%.  A number of incubation programs offer targeted services to entrepreneurs in specific industry sectors or from specific demographic groups. Among incubation programs that targeted an industry sector, technology-related areas (including information technology, bioscience/life science, computer software, energy, and environment) were most common. For demographic groups, micro-entrepreneurs, college/university students, Hispanics, women, and African-Americans were the most common.  The average incubator facility was 32,319 square feet; this was down almost 5,000 square feet since 2006.  The average incubator occupancy rate was 74%. This number is consistent Incubation by Program Type (2012 State of with the 2006 study. Busines s Incubation Industry Report)  Many incubator managers continue to view their programs as important Mixed-Use Technology economic development tools for their Manufacturing Servi ce region, ranking job creation, fostering Other an entrepreneurial culture, and 1% 5% accelerating growth of local industry as 3% the highest priorities.  Incubation programs of all types 54% 37% provide entrepreneurs with a broad array of business assistance services to help them get their ventures off to a successful start. According to those individuals surveyed, general business assistance, including help with business basics, high-speed Internet access, marketing assistance, and networking activities continue to rank as the most important to incubator clients.  Incubator budgets vary; the average annual incubation program revenue was about $540,000, while average annual expenses were about $517,000.  Many incubation programs say they are on solid financial footing. The NBIA estimates that the North Average Gross Square Footage Based on Incubator Type American incubators have assisted 40,000 approximately 49,000 start-up 30,000 companies; these companies provided full-time employment for nearly 20,000 Manufacturing 200,000 workers and generated annual 10,000 Mized Use revenue of almost $15 billion. Technology 0 Incubators are playing a key role in Other promoting economic growth. According to the report, colleges and

P AGE | 91 DELTA DEVELOPMENT GROUP, INC. GROWING FROM WITHIN A BLUEPRINT FOR GROWTH IN DELAWARE COUNTY universities have sponsored incubation programs as a way to help faculty members commercialize technologies developed in research labs while providing students with hands-on learning experience. Many nonprofit economic development organizations and local government agencies also sponsor incubation programs as a way to stimulate economic growth in their region. All types of communities host business incubation programs to assist entrepreneurs and to strengthen their economies. In 2012, 47% of those responding to the NBIA’s survey were operating in urban areas, 25% in suburban areas, and the remaining 28% were located in rural areas. 61% of the incubation programs included in the NBIA’s survey operated in facilities that were smaller than 30,000 square feet. The decreasing size of incubator facilities is indicative of the types of businesses being started. Many start-ups today, including manufacturing, don’t require as much space to operate because of technological developments. According to the report, the key to running a successful incubator is not related to size, but rather to the multiple revenue streams. Incubator programs should not rely on any one funding source to carry the program. The NBIA also asked the incubator program managers what percentage of space within their facility is dedicated to various uses. The program managers responded as follows: 54% is utilized by the client companies, 22% for common areas, 15% for anchor tenants, and the remaining 9% by administrative offices. According to the NBIA, incubators are successful when their mission and goals correspond with the specific needs of the region’s entrepreneurs and the incubator’s sponsoring agency. Many of the incubator sponsors view their programs as important economic development tools; this has been the case for most of the industry’s history. For the 2012 survey, the NBIA asked respondents to note how important various goals were to their programs on a scale from 1-5, with 5 being the most important. Three goals, which included creating jobs for the local community, fostering the community’s entrepreneurial climate, and building/accelerating growth of local industry, all received ratings of 4.0 or higher. Diversifying the local economy (3.9), retaining business in community (3.9), and commercializing technologies (3.8) were also given higher ratings of importance. Most incubation programs have set policies to determine when client companies must leave the incubator. A number of incubation programs in recent years use policies based on growth and development of the client; however, they do recognize that not all businesses will develop at the same rate. Approximately 86% of the respondents require companies to graduate when they achieve mutually agreed-upon milestones, such as certain revenue levels, staff size, or market penetration. Time limits as graduation requirements are less common today than they were in this industry’s earliest stages.

CURRENT ASSETS TO BE LEVERAGED Widener University’s professors are nationally-recognized experts in a wide range of disciplines from international development to biomedical engineering to clinical psychology. They are published authors, award-winning researchers, gifted educators, and sought-after consultants. Widener University encourages undergraduate science majors to become involved in research projects in collaboration with faculty. Projects

P AGE | 92 DELTA DEVELOPMENT GROUP, INC. GROWING FROM WITHIN A BLUEPRINT FOR GROWTH IN DELAWARE COUNTY include: - Observational astronomy - Ecological studies - Environment analysis - Environmental animal physiology - Chemical synthesis - Soil microbiology - Crystal growth - Molecular genetics Villanova University, College of Engineering has a number of opportunities for undergraduate research. Examples of research areas are as follows: - Cellular and Molecular Bioengineering Research Group (includes the Nano-Bio- Mechanical Characterization Laboratory) - Nanotechnology, Materials, and Manufacturing - Chemical Engineering - Thermal and Fluid Science - Center for the Advancement of Sustainability in Engineering

New production technologies and process/product innovation are the pillars for the innovation at Braskem. Braskem partners with research centers, the scientific community, and universities to encourage new ideas and innovation. By joining forces, Braskem is spearheading advanced research to develop products made with renewable raw materials that are commercially viable for end users.

In 2012, Monroe Energy, LLC, and its affiliate MIPC, LLC, purchased the Trainer Refinery Complex from the Phillips 66 Company and its affiliate. Monroe Energy refines crude oil to produce products distributed through pipelines and barges to Delta Airlines, BP, and Phillips 66.

Crozer-Chester Medical Center (part of the Crozer-Keystone Health System) is a 424-bed, not-for-profit, tertiary-care teaching hospital located on a 68-acre campus in Chester, PA. From its beginning in 1990, Crozer-Keystone Health System, located minutes from Philadelphia, has been the dominant provider of healthcare in Delaware County, Pennsylvania, northern Delaware, and part of western New Jersey. The population covered represents almost a million people.

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L OCATIONS AND T YPES OF INCUBATORS/R&D FACILITIES For Delaware County, incubators can play a key role in creating new job growth, expansion of local economies, and revitalization of industrial neighborhoods. Marcus Hook and Trainer both provide ideal locations for an Engineering and Chemical Incubator. This incubator should focus on the various fields of applied engineering, including chemical, petrochemical, material, and energy technologies. The incubator should leverage the established network of experts from Villanova and Widener Universities, as well as Braskem America and Monroe Energy.

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A biotechnology incubator located in the vicinity of Crozer-Chester Medical Center and Widener University would provide access to business and research resources that are critical in the advancement of high technology-based research and commercialization.

VENTURE CAPITAL AND ANGEL INVESTORS There are a number of investors that provide funding for early-stage and other growth-oriented companies. The following represents an example of investor groups in place to assist the advancement of entrepreneurship in the Mid-Atlantic region. PA Angel Network (PAN) provides resources and support to the angel community throughout Pennsylvania. PAN's mission is to improve the overall investment environment for investors, increase the number of investors, and increase investment dollars in Pennsylvania and surrounding areas. The Mid-Atlantic Angel Group Funds I & II, LP (MAG I & II) were created to bridge the gap between angel funding and institutional venture capital funding serving the Greater Philadelphia Region. Fund members include experienced entrepreneurs, high-net-worth individuals, institutions, and other accredited investors interested in realizing a high return on invested capital in regional technology companies and in being a key part of regional growth. MAG I was formed in January 2005, has completed investments in 12 companies, and has 89 angel and institutional investors. MAG I has

P AGE | 95 DELTA DEVELOPMENT GROUP, INC. GROWING FROM WITHIN A BLUEPRINT FOR GROWTH IN DELAWARE COUNTY completed its funding cycle. MAG II was formed in April 2009, has 65 angel and institutional investors, and is actively seeking to make investments. Delaware Crossing Investor Group (DCIG) is a network of former and current executives and entrepreneurs who provide counsel and capital to early-stage and other growth- oriented companies. Members back entrepreneurs and their companies by contributing investment capital and important domain expertise in a wide array of industries.

Keiretsu Forum provides its private equity investors and presenting entrepreneurs with the expert guidance of industry-leading sponsors. Keiretsu Forum is dedicated to mitigating the risk of investments as much as possible – from prescreening and deal screening entrepreneurs before they are invited to present at a Forum meeting, to the extensive due diligence phase.

BioAdvance provides funding to start-up life sciences companies in Southeastern Pennsylvania through its $20 million Greenhouse Fund. They invest in therapeutics, devices, diagnostics, and platform technologies focused on human health. Since its first investments in 2003, BioAdvance has become one of the nation's leading investors providing pre-seed and seed- stage funding. To date, they have committed $23 million to 33 seed-stage companies and 23 pre-seed investments. Their portfolio companies are working to develop products to treat health problems, including Alzheimer's disease, cancer, obesity, GI disorders, neurological, and respiratory illnesses.

ROLE OF FEDERAL GOVERNMENT The federal government has been providing for R&D Facilities, which has resulted in the growth of new companies and the creation of jobs. President Obama has directed federal agencies to establish measures to monitor the number and pace of effective technology transfer from federal labs to nonfederal entities. The Office of Innovation and Entrepreneurship at the Department of Commerce, in conjunction with its National Advisory Council on Innovation and Entrepreneurship (NACIE) is working to improve commercialization through its i6 Challenge Grants, a competition that funds the best ideas for technology commercialization. According to a report published by the Department of Commerce, U.S. Competiveness and Innovative Capacity, “the Obama Administration will be focused on encouraging new ways to speed commercialization. Initiatives will include a joint effort by the Administration, The Association of American Universities, and the Association of Public and Land-grant Universities to encourage leaders to work more closely with industry, investors, and agencies to increase entrepreneurship, encourage more collaboration between universities and industry, and increase

P AGE | 96 DELTA DEVELOPMENT GROUP, INC. GROWING FROM WITHIN A BLUEPRINT FOR GROWTH IN DELAWARE COUNTY economic development. Universities have successfully partnered with the private sector to commercialize technology. An important part of advanced undergraduate, and graduate-level students’ education is assisting faculty in federally sponsored research.”

PENNSYLVANIA/MID-ATLANTIC PROGRAMS The mission of Pennsylvania Bio is to ensure Pennsylvania is the global leader in the biosciences by creating a cohesive community that unites biotechnology, medical device, diagnostic, pharmaceutical, research, and financial strengths. Pennsylvania Bio was founded 20 years ago by a group of Biotech CEOs. Today it has grown to represent the entire life sciences industry – medical device companies, pharmaceutical companies, investment organizations, academic institutions, and a myriad of service industries that support the life sciences in Pennsylvania.

Ben Franklin Technology Partners provide critical risk capital and commercialization products to launch and grow technology firms. Ben Franklin invests across a span of technologies including: biopharmaceuticals, medical devices, diagnostics, biomaterials, and healthcare IT.

The Mid-Atlantic Nanotechnology Alliance (MANA) is a collaboration to develop and position the tristate region as a global hub for the expanded research, development, application, and commercialization of nanotechnology. Its primary purpose is to facilitate a multi-state partnership through securing and attracting funding for research, development, and commercialization of nanotechnology.

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M AXIMIZE THE DELAWARE R IVER

PROVIDE RECREATION OPPORTUNITIES The Delaware River should continue to provide recreational opportunities that include canoeing, boating, jet skiing, and other leisure activities, which will improve the quality of life while encouraging residents and visitors to appreciate this important County asset. The Delaware County Coastal Zone (DCCZ) extends 12 miles along the Delaware River through 13 municipalities. This zone is part of Pennsylvania’s 112-mile-long Delaware Estuary coastal zone, which contains islands, marshes, and the shore lands of tributaries that are affected by ocean tides. The East Coast Greenway (ECG) is a proposed bicycle and pedestrian route extending the entire length of the Atlantic Coast. The County is currently working with the ECG to implement the greenway between the Delaware state line and Tinicum Township. The map above shows portions of the trail that are complete or in development, and areas where there exists a gap in the trail’s completion. This trail provides an opportunity to promote tourism and opportunities for economic development in the way of new restaurants, cafes, etc. The County should continue to work with the Delaware Valley Regional Planning Commission (DVRPC) to provide funding to complete this very important trail that will eventually become another economic asset for the County.

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The County should also identify areas within the Delaware River’s waterfront for the development of new boating docks and marinas to allow for connections between various points along the waterfront. For example, Harrah’s Casino and Racetrack could be connected to the PPL Soccer Stadium by the waterway giving visitors and/or residents another option to travel between these venues.

CATALYZE WATERFRONT DEVELOPMENT This corridor contains the highest number of abandoned and/or underutilized properties. Identifying sites and creating opportunties for new development within this corridor should be a high priority for the County. Vacant and underutilized properties can attract unwanted behavior, vandalism, and crime. By replacing these sites with development that creates 24/7 activity, the County can create a new vibrancy, expand the tax base for the corridor’s communities, and reduce the potential for unwanted activity.

FORMER PECO ENERGY SITE

LOCATION: CHESTER, PA

SIZE OF SITE: 90 ACRES Site History: PECO completed the environmental cleanups required under the PADEP Act 2 Program and the EPA Facility Lead Agreement in 2006. The EPA Facility Lead Agreement addressed the 17 acres of the site that included the former resin manufacturing plant and hazardous waste recycler. In order to expedite the redevelopment of the remaining site, the 73 acres, which were less contaminated, were investigated and remediated under the PADEP Act 2 Program. The cleanup activities consisted of excavation of impacted soil and groundwater remediation. Contaminants of concern included BTEX (hydrocarbons: benzene, toluene, ethyl benzene, and xylene), PAHs (polyaromatic hydrocarbons), LNAPLs (light, non-aqueous phase liquids: hydrocarbons that float on water), SVOCs, and some metals. PECO will continue to operate and monitor the groundwater remediation under the post-closure requirements in accordance to the EPA Facility Lead Agreement.

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In May 2001, PECO sold most of the property to Preferred Real Estate Investments (Preferred Investments). Preferred Investments converted the old, coal-fired power plant into a high-tech office building. The building has approximately 396,000 square feet of Class A office space. In 2007, Preferred Investments sold the property to the development firm, Bucinni and Pollin (source: www.EPA.gov).

IMPROVEMENTS AT THE SITE Wharf at Rivertown. The former Delaware County Power Plant, regarded as one of Pennsylvania’s most significant historical structures, was completely renovated, and is now home to a number of new businesses. This six-story, 396,000-square-foot building offers Class A office space and is home to tenants such as Synygy, Inc. (U.S. headquarters) and Wells Fargo’s auto loan servicing department. PPL Park. In 2010, PPL Park was constructed. The stadium is located immediately southeast of Seaport Drive with the Commodore Barry Bridge to the northeast and Jeffrey Street to the southwest. PPL Park, a state-of-the-art, 18,500-seat, Major League Soccer stadium, serves as home to Philadelphia Union, a multipurpose facility that features 29 luxury suites, a full-service club, a restaurant, and a built-in concert stage. PPL Park is the ideal destination for any type of event. An expansive grass and promenade area surrounds the building and is perfect for tailgating and outdoor music festivals. New off-ramps were constructed, which provide direct access into this site. The next phase of development should focus on building the residential mixed use component and/or townhomes, along with the proposed marina. The County/School/City should offer a 3 year residential tax abatement for all new owner occupied housing within the development. This program, along with the Employer Assisted Housing Program, could be the key to jumpstarting the next phase of this very important redevelopment project.

OBJECTIVE 5. ENHANCE GLOBAL TRADE OPPORTUNITIES

DEVELOP A FOREIGN DIRECT INVESTMENTS S TRATEGY In 2011, The National League of Cities (League), Center for Research & Innovation, issued a report entitled Strategies for Globally Competitive Cities. The report stresses the need for local and regional leaders to take a lead role in developing relationships with foreign investors. The report defines Foreign Direct Investments (FDIs) as “investments in communities by a foreign entity that creates new businesses, provides capital for development projects, develops or expands production or manufacturing facilities, or provides new ownership of an existing enterprise.”

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The report provides the following specific action steps for developing an effective FDI strategy:  Identify key assets  Create regional awareness  Identify investor leads  Facilitate and prepare deals  Monitor and provide aftercare

IDENTIFY KEY ASSETS Much of this is being done through the development of this 10-Year Economic Development Strategy. The County has completed an assessment of its strengths and weaknesses, workforce skills, physical infrastructure, and major economic assets. Based on this assessment, the County should target the following industry sectors: Professional, Scientific, and Technical Services; Health Care and Social Assistance; and Manufacturing.

CREATE REGIONAL AWARENESS This action steps urges communities to develop and promote awareness of their regional assets through a community brand. The brand should showcase local and regional assets based on the vision of the economic development stakeholders, and should differentiate the community from its competitors. To attract FDIs, the brand should also focus on specific business opportunities and assets that are appealing to the target sectors (e.g., ports, rail, speed to market, workforce, etc.). As stated earlier in this report, the creation of a new brand for the County’s economic development program is critical. Developing the brand, being consistent with the message, and promoting the County’s assets will benefit the County with its local effort, regional effort, and international effort to attract new business and industry to the area.

IDENTIFY INVESTOR LEADS This strategy calls for networking and relationship-building in order to build new partnerships and relationships. Suggestions include the following:

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 Establish a panel of industry experts. In Delaware County this would include experts from Boeing, Braskem, Widener University, Villanova University, Crozer-Keystone Health System, and other experts from the Professional, Scientific, and Technical Services sector and the Manufacturing sector.  Build business connections with economic development organizations in cities and countries abroad. Based on the targeted industry list, the County should identify cities abroad that have the same industry mix and begin to build relationships with these cities and economic development agencies.  Attend international trade shows. As discussed earlier, trade shows provide the County with the ability to directly engage with various industry sectors.  Connect with state agencies. Delaware County already has a solid relationship with state agencies. The County should continue to leverage the effort Pennsylvania is giving to expanding foreign trade opportunities.  Connect with federal resources, including SelectUSA, an initative of the U.S. Department of Commerce to promote FDIs (www.SelectUSA.gov)  Connect with the World Trade Center in Philadelphia, PA  Perform due diligence when considering lead generating consultants and when vetting a potential investor.

FACILITATE AND PREPARE DEALS The County can help facilitate and secure investment by understanding the international business environment and being prepared to facilitate a deal. The League suggests leaders:  Build a local advisory committee. For Delaware County this should include the panel of industry experts, along with bankers, lawyers, and others who can answer technical questions.  Meet the needs of investors through preparation. For the County this will include, preparing and/or identifying pad-ready sites, developing financial incentives, developing foreign-trade zones, etc.  Consider cultural differences. Delaware County should be prepared to take time to build relationships, as a way to build trust with foreign investors.  Serve as an ombudsman. Using the Delaware County Commerce Center (Commerce Center) as the one-stop shop will be critical in helping to manage the expectations of foreign investors. The Commerce Center can help guide the investors through permitting and zoning processes, and can help expedite where they can. With language barriers, the Commerce Center should rely on the universities to provide someone who can bridge the communication gap.

MONITOR AND PROVIDE AFTERCARE The County should monitor key performance measures in order to evaluate the success of the investment. This could include, number of jobs created, additional economic activity that came as a result of this initial investment, value to total investment, and change to the local economic base.

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ESTABLISH FOREIGN-TRADE ZONES A Foreign-Trade Zone (FTZ) is a tool that is used to help United States businesses become more competitive in international trade. The FTZ is a physical zone that, from a tax perspective, is treated as its own The Advantages of Using a country and therefore, customs has no federal jurisdiction over it. Foreign-Trade Zone The Custom Border Patrol (CBP) duty The primary advantage of this designation is a delay, reduction, or and federal excise taxes, if applicable, elimination of custom fees that are imposed upon any and all items are paid when the merchandise is imported in the United States. transferred from the zone for consumption. FTZs are used for a number of economic activities, including manufacturing, assembly, and repackaging. Once the goods are While in the zone, merchandise is not ready to exit the FTZ and enter the United States, custom officials subject to U.S. duty or excise taxes. may treat the goods as if they had just arrived from a foreign Certain tangible personal property is country. If the goods are exported from the FTZ, no duties are paid. generally exempt from state and local ad valorem taxes. The FTZ program levels the playing field between U.S.-based manufacturing operations and its foreign competitors. The program Goods may be exported from the zone removes some of the disincentives associated with manufacturing in free of duty and excise taxes. the United States. The duty on a product manufactured abroad and CBP security requirements provide imported into the U.S. is assessed on the finished product rather protection against theft. than on its individual parts, materials, or components. The U.S.- based manufacturer finds itself at a disadvantage compared with its Merchandise may remain in a zone foreign competitor when it must pay a higher rate on parts, indefinitely, whether or not subject to materials, or components imported for use in a manufacturing duty. process. The FTZ program corrects this imbalance by treating products made in the zone, for the purpose of tariff assessment, as if The rate of duty and tax on the merchandise admitted to a zone may they were manufactured abroad. change as a result of operations conducted within the zone. Therefore, REQUIREMENTS the zone user who plans to enter the An FTZ can bring many benefits to a community, but there are merchandise for consumption to CBP demands for the initial setup and maintenance. Application territory may normally elect to pay either the duty rate applicable on the foreign requirements include the following: material placed in the zone or the duty  A potential FTZ must be within 60 miles or within a 90- rate applicable on the finished article transferred from the zone, whichever is to minute drive time of a federal customs port. his advantage.  Single identity, such as a sole parcel or an industrial park Merchandise imported under bond may  Certified state enabling legislation to authorize use of the be admitted to an FTZ for the purpose of land for the purpose of an FTZ satisfying a legal requirement of exporting the merchandise. For instance,  The legal standing of the grantee to use the property merchandise may be admitted into a zone to satisfy any exportation  Provide portions of grantee’s charter that enables the requirement of the Tariff Act of 1930, or grantee the legal authority to operate an FTZ an exportation requirement of any other federal law (and many state laws) insofar as the agency charged with its enforcement deems it so.

US Customs and Border Patrol (cbp.gov)

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CONSIDERATIONS Communities and businesses can benefit from an FTZ if a business requires significant importing or exporting; however, FTZ is not a trump card when attempting to start, grow, or attract businesses to a community. Instead, it is an additional tool that can be used to help build a local economy. Coordinating with businesses, economic development organizations, and government officials is critical to receive the maximum benefit. Without such coordination, a zone may be underutilized or not used at all. A failure to plan can result in a lost opportunity. Currently, there are seven zones established in Pennsylvania with 12 businesses participating. The FTZs are located in Wilkes-Barre/Scranton, Pittsburgh (2 zones), Philadelphia (2 zones), Erie, and the Lehigh Valley.

T ABLE 32 – FTZ L IST

BUSINESSES ESTABLISHED EMPTY STATE FTZS IN FTZS FTZS FTZS

Indiana 26 6 1

Kentucky 14 3 1

Michigan 25 7 2

New Jersey 19 5 1

Ohio 24 9 2

West Virginia 3 2 1

Virginia 8 5 1

Pennsylvania 12 7 2

Maryland 5 4 2

New York 14 15 8

Source: www.cbp.gov

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M AXIMIZE PORT CAPABILITIES Penn Terminals, Inc., currently serves as a marine terminal, and also provides stevedoring services. The terminal area is approximately 81 acres, with a 400,000-square- foot warehouse.

IMPACT OF THE PANAMA CANAL EXPANSION With the expansion of the Panama Canal nearing completion (2014), ports throughout the country are preparing for the increase in imports and exports. According to the U.S. Army Corps of Engineers (USACE), U.S. imports are expected to grow fourfold throughout the next 30 years while exports are expected to grow more than sevenfold (U.S. Port and Inland Waterways Modernization: Preparing for Post-Panamax Vessels). According to the USACE report, in order to meet the criteria for a post-Panamax vessel, a port would need a channel depth of approximately 50 feet, with allowances for tide, in addition to sufficient channel width, turning basin size, and dock and crane capacity. There are currently three East Coast ports that are able to accept the Panamax ships; these include New York, Baltimore, and Norfolk, Virginia. There are a number of southeast ports that are making investments in order to accommodate these larger vessels.

CASCADE EFFECT According to the USACE report “new, large vessels are typically deployed on the longest and largest trade service – Asia to Northern Europe. The “smaller” vessels on that service re-deploy to the next most efficient service for that vessel size. Cascading typically increases average vessel size for each trade service. A navigation system vision should address this cascade effect and its impact on infrastructure for shallower ports. Analysis of individual ports will determine whether the port will need to accommodate post-Panamax vessels or the cascade effect.” Because of the depth of the Delaware River (anticipated to be dredged to 45 feet), Panamax vessels cannot be accommodated. Penn Terminals will be able to accommodate the smaller vessels and should partner with the larger ports to provide this type of service. This will allow these ports to be able to relieve any congestion that may occur due to the increase in volume, which is likely to occur.

FACILITATE FAST AND EFFICIENT MOVEMENT OF GOODS FROM THE TERMINAL TO MARKET In order to capitalize on the increased trade to occur with the expansion of the Panama Canal, Penn Terminals will need to ensure they can efficiently move imports through their marine terminal and onto their final destination. Amtrak’s line, which services the terminal, severely impedes this movement; overhead restrictions reduce the height of cargo, thereby eliminating the ability to utilize double-stacked

P AGE | 105 DELTA DEVELOPMENT GROUP, INC. GROWING FROM WITHIN A BLUEPRINT FOR GROWTH IN DELAWARE COUNTY containers, which would move product out more efficiently. If Penn Terminals hopes to be part of the navigation system for the larger ports, it will be imperative to find solutions to impediments that currently exist. This may mean improvements to Amtrak’s line, or identification of a short line rail extension that bypasses the Amtrak line and moves the product onto a Class I rail system, which can accommodate the double-stacked containers.

FACILITATE EXPANSION OF TERMINAL OPERATIONS Penn Terminals has also identified the need for 65 additional acres in order to expand its operations. With the projected increase in import activity, this expansion will likely become a higher priority for Penn Terminals. Identifying sites that would serve as both container space and warehousing will be critical. Penn Terminals should work with the County’s redevelopment authority to identify sites that are vacant, underutilized, and available for lease/sale, and that are in close proximity to this terminal.

OBJECTIVE 6. DEVELOP CONCURRENT LOCAL STRATEGIES The focus of the economic development strategies presented in Objectives 1-5 is on projects and initiatives that can be advanced and implemented primarily through the efforts of the Delaware County Commerce Center; however, many factors that are critical to the success of these objectives will need to be addressed and championed at the municipal level. Therefore, local strategies should be developed and implemented concurrently with the County strategy to ensure that local success factors are addressed. With 49 autonomous municipalities in Delaware County, coordinating local planning efforts to support the County’s strategy for economic development could be a challenge; however, Delaware County’s Planning Department (Planning Department) can take a leadership role in this process. The Planning Department is currently in the process of developing the County’s comprehensive plan – Delaware County 2035. A draft of the plan is available for public review and comment through the end of May 2013 at the following weblink: (http://www.co.delaware.pa.us/planning/countyregi onalplanning/countycompplan.html). The comprehensive plan provides the framework and policies for future development in Delaware County, so it is critical that the County’s comprehensive plan and the Economic Development Strategy are aligned. The Planning Department also provides assistance to Delaware County’s municipalities with developing municipal and multi-municipal comprehensive plans. The following action items provide the framework for collaboration among Delaware County’s departments to advance the implementation of the Economic Development Strategy.

COORDINATE L EADERSHIP BY DELAWARE COUNTY

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P LANNING DEPARTMENT The Planning Department will be a key partner in the implementation of the Economic Development Strategy. The Planning Department has already been involved in the process through staff participation in focus groups and by providing data and background information as needed throughout the planning process. As the Economic Development Strategy is completed and rolled out for implementation, the Implementation team should meet with Planning Department leaders to review the strategy to coordinate their leadership in implementing the success factors detailed below.

ALIGN LOCAL STRATEGIES WITH COUNTY ECONOMIC DEVELOPMENT GOALS Pennsylvania’s Municipalities Planning Code (MPC) requires that municipal comprehensive plans be generally consistent with county comprehensive plans, and county planning departments are responsible for setting guidelines for establishing consistency. Aligning local strategies with County economic development goals will require the County’s comprehensive plan and the guidelines for establishing local plan consistency to reflect and support its economic development goals. The Commerce Center should meet with the Planning Department to review the Economic Development Strategy and its goals and to identify specific ways that the comprehensive plan, in its current form, supports the implementation of the Economic Development Strategy, any changes to the comprehensive plan that could strengthen its support for the Economic Development Strategy’s implementation, and to identify any regulatory challenges that will need to be addressed. Consistency guidelines should also be designed to support the Economic Development Strategy. The Planning Department should have representation on the Economic Development Strategy Implementation team to ensure effective communication and collaboration.

PROVIDE ASSISTANCE WITH MUNICIPAL AND REGIONAL COMPREHENSIVE PLANS The Planning Department currently provides assistance as needed to Delaware County municipalities in developing municipal and multi-municipal comprehensive plans. Building on current interactions, the Planning Department can expand its involvement in local planning activities. Through strategic communications with municipalities, the Planning Department can encourage municipalities to take advantage of opportunities associated with the Economic Development Strategy. Communications with municipalities can include things such as:  Introductions to and promotion of the Economic Development Strategy  Information and case studies that demonstrate the benefits of sustainable economic development  Meetings designed to promote and facilitate local planning activities that would support the implementation of the Economic Development Strategy As municipalities update their comprehensive plans, the Planning Department can proactively encourage the inclusion of economic development components that will support and facilitate implementation of the Economic Development Strategy. These plans should include strategies for ensuring the availability of housing with design and price-point to attract knowledge workers to support new business development. As appropriate, plans should also designate growth areas for commercial and light industrial uses as targeted in the Economic Development Strategy. The Planning Department can assist municipalities in evaluating current zoning and subdivision and land use ordinances and make recommendations for zoning and/or policy changes that should be implemented to facilitate implementation of the Economic Development Strategy.

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The implementation of some of the plan’s strategic objectives could be better facilitated through strategic multi-municipal/regional plans. The Planning Department can take the lead in encouraging and assisting with these plans.

ENCOURAGE TRANSIT ORIENTED DEVELOPMENT With over 2,600 transit stops within its boundaries, Delaware County is second only to Philadelphia in the number of transit stops in counties within the SEPTA network. The presence of these transit stops presents significant opportunities for municipalities to maximize transit oriented development (TOD). The Planning Department can provide leadership in encouraging and planning for TOD by developing a custom evaluation process that Delaware County’s municipalities can utilize to evaluate the feasibility of TOD development. The Southwest Pennsylvania Commission recently unveiled an evaluation process for its communities that could be used as a model. The Future Investment in TOD (FIT) model can be found at http://www.spcregion.org/fit/intro.asp. Once municipalities determine that TOD development could be feasible, the Planning Department can assist in the development of master plans, zoning/regulatory changes, infrastructure improvement plans, infill strategies, and assembling properties for development. The Planning Department could also consider a countywide TOD strategy that strategically targets transit stops throughout the County for TOD development. A countywide strategy could include a number of themed TOD areas that could easily be branded and marketed to attract residents, new businesses, and visitors to the amenities in the TOD.

DEVELOP A BRAND STRATEGY FOR TRANSIT CORRIDOR/STATIONS Building on the TOD strategy outlined above, the Planning Department could facilitate the development of a branding and marketing strategy for its transit corridors and stations. It was observed during one of the focus groups that transit stops in Delaware County are only “five stops down” from Philadelphia’s urban center amenities. That concept can be flipped and used as a marketing tool to residents of Philadelphia’s urban areas. If transit corridors and stations are branded, the message to Philadelphia residents can reflect Delaware County’s amenities that are only “five stops down” from Philadelphia.

ENCOURAGE LOCAL GOVERNMENTS TO DEVELOP BRANDS FOR UNIQUE NEIGHBORHOODS One of Delaware County’s greatest assets is the diversity in its municipalities and neighborhoods. The County has a rich heritage that is reflected in the characters of its neighborhoods. The diversity of these neighborhoods offers attraction to an equally diverse population. The Planning Department could develop a countywide branding and marketing strategy to promote the County as a great place to live, work, and play, and can assist individual municipalities to:  Identify specific neighborhoods for branding and marketing  Develop a branding and marketing strategy for each neighborhood that aligns with the countywide strategy The Center for Community Progress provides a toolkit for neighborhood branding and marketing that could be used as a foundation for this action item. The toolkit can be found at http://www.communityprogress.net/tool-3--marketing-the-neighborhood-pages-278.php.

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DEVELOP STRATEGIES FOR MAJOR INTERCHANGES AND ACCESS POINTS (E.G., I-95 AND I-476 INTERCHANGES) The transportation corridors in Delaware County offer access to nearly 25 million people within a two- hour drive, which makes the County a prime location for businesses looking for speed to market. Major interchanges and access points throughout the County, such as the I-95 and I-476 interchange, offer tremendous opportunities for economic development. The Planning Department could take a leadership role in ensuring that these areas are accessible and “shovel read” through the following:  Organize an interchange study that identifies and assesses each prime interchange or access point, and prioritizes each based on the assessment  Assess the zoning and land use policies at priority sites to determine changes that should be made to facilitate development  Assess transportation improvements that should be considered to maximize access to prime properties and coordinate planning for needed improvements  Work with the municipality (or municipalities) where the sites are located to advance required changes and improvements  Coordinate land assembly and master planning for priority sites  Assist in seeking and securing public funding to catalyze development - Federal and state sources - Local and county incentives (e.g., LERTA, TIF, etc.)  Assist in developing and distributing RFPs as needed to engage interested developers for the sites  Assist in ensuring efficient permitting processes to increase attractiveness to developers

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EXHIBIT A: DETAILED ANALYTICAL TABLES

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T ABLE 33 – COMPARATIVE I NDUSTRY MIX (JOBS - 2012)

New Delaware Bucks Burlington Camden Cecil Chester Gloucester Montgomery Castle Philadelphia Salem MSA

0.15% 0.28% 0.38% 0.09% 3.44% 3.63% 1.21% 0.14% 0.17% 0.02% 3.85% 0.58%

0.05% 0.08% 0.01% - 0.20% 0.07% 0.14% 0.04% - - 0.00% 0.03%

0.23% 0.16% 0.32% 0.20% 0.37% 0.24% 0.15% 0.44% 0.52% 0.21% 7.63% 0.35% 5.46% 6.82% 4.05% 4.33% 4.45% 4.79% 6.74% 4.84% 4.64% 2.24% 5.68% 4.40% 7.07% 10.25% 7.03% 6.19% 14.33% 7.99% 6.70% 8.65% 4.20% 3.43% 11.49% 6.61% 2.98% 5.06% 5.51% 3.41% 2.48% 4.56% 6.99% 4.82% 2.92% 2.08% 1.67% 3.78% 10.18% 13.30% 11.40% 11.17% 11.56% 10.46% 16.57% 11.15% 10.19% 7.04% 8.66% 10.33% 3.50% 2.37% 3.34% 3.44% 7.49% 2.51% 2.53% 1.96% 2.59% 3.59% 5.57% 2.97% 1.13% 1.92% 1.03% 1.30% 0.70% 1.95% 0.84% 2.35% 1.54% 1.67% 0.41% 1.66% 4.92% 3.22% 6.87% 2.57% 1.79% 7.36% 1.97% 7.17% 11.96% 4.75% 2.24% 5.85% 1.44% 1.37% 1.98% 1.49% 1.18% 1.85% 1.23% 1.67% 1.47% 1.42% 0.98% 1.54%

6.16% 6.50% 6.51% 6.63% 2.36% 11.03% 4.52% 11.41% 8.10% 6.79% 4.02% 7.86%

2.53% 1.33% 1.40% 1.74% 0.04% 2.99% 0.28% 2.15% 2.41% 1.81% - 1.92%

5.22% 6.17% 7.38% 7.14% 3.21% 4.57% 5.05% 6.48% 5.78% 3.76% 4.94% 5.45%

5.92% 2.04% 1.84% 2.66% 1.65% 2.61% 1.51% 3.39% 2.08% 10.85% 0.57% 4.79% 17.08% 15.08% 12.83% 18.74% 11.05% 11.33% 12.39% 13.42% 14.76% 21.19% 12.90% 15.99%

2.53% 2.68% 0.87% 1.17% 3.07% 1.81% 1.15% 1.60% 1.97% 1.93% 0.93% 1.83%

6.55% 7.03% 6.44% 6.81% 8.46% 5.53% 7.31% 5.65% 7.21% 7.51% 6.06% 6.70%

5.71% 5.26% 4.15% 4.87% 4.38% 5.70% 4.76% 5.26% 4.59% 4.66% 3.92% 4.97%

11.17% 9.09% 16.34% 15.86% 17.78% 9.01% 17.64% 7.41% 12.92% 15.05% 18.48% 12.34% 0.00% 0.00% 0.35% 0.18% - 0.00% 0.31% - 0.00% - - 0.05% 0.89 0.88 0.87 0.85 0.85 0.92 0.84 0.89 0.87 0.84 0.85 0.89 Consultant Calculations (Industry Mix and Shannon Weaver Index)

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T ABLE 34 – COMPARATIVE L OCATION QUOTIENT SUMMARY (2012)

Description Delaware Bucks Burlington Camden Cecil Chester Gloucester Montgomery New Castle Philadelphia Salem Agriculture, Forestry, Fishing and 0.25 0.48 0.66 0.16 5.96 6.29 2.10 0.24 0.29 0.04 6.67 Hunting Mining, Quarrying, and Oil and Gas 1.55 2.28 0.18 - 5.99 1.96 4.23 1.21 - - - Extraction Utilities 0.67 0.45 0.90 0.56 1.06 0.68 0.42 1.27 1.49 0.60 21.77 Construction 1.24 1.55 0.92 0.98 1.01 1.09 1.53 1.10 1.05 0.51 1.29 Manufacturing 1.07 1.55 1.06 0.94 2.17 1.21 1.01 1.31 0.64 0.52 1.74 Wholesale Trade 0.79 1.34 1.46 0.90 0.65 1.20 1.85 1.27 0.77 0.55 0.44 Retail Trade 0.99 1.29 1.10 1.08 1.12 1.01 1.60 1.08 0.99 0.68 0.84 Transportation and Warehousing 1.18 0.80 1.13 1.16 2.52 0.85 0.85 0.66 0.87 1.21 1.88 Information 0.68 1.16 0.62 0.78 0.42 1.18 0.51 1.42 0.93 1.01 0.25 Finance and Insurance 0.84 0.55 1.17 0.44 0.31 1.26 0.34 1.22 2.04 0.81 0.38 Real Estate and Rental and Leasing 0.94 0.89 1.28 0.97 0.77 1.20 0.80 1.09 0.95 0.92 0.64 Professional, Scientific, and 0.78 0.83 0.83 0.84 0.30 1.40 0.57 1.45 1.03 0.86 0.51 Technical Services Management of Companies and 1.32 0.69 0.73 0.90 0.02 1.56 0.15 1.12 1.25 0.94 - Enterprises Administrative and Support and 0.96 1.13 1.35 1.31 0.59 0.84 0.93 1.19 1.06 0.69 0.91 Waste Management and Remediation Services Educational Services (Private) 1.24 0.43 0.38 0.56 0.35 0.55 0.31 0.71 0.43 2.26 0.12 Health Care and Social Assistance 1.07 0.94 0.80 1.17 0.69 0.71 0.77 0.84 0.92 1.33 0.81 Arts, Entertainment, and 1.38 1.47 0.48 0.64 1.68 0.99 0.63 0.87 1.08 1.06 0.51 Recreation Accommodation and Food Services 0.98 1.05 0.96 1.02 1.26 0.83 1.09 0.84 1.08 1.12 0.90 Other Services (except Public 1.15 1.06 0.83 0.98 0.88 1.15 0.96 1.06 0.92 0.94 0.79 Administration) Government 0.91 0.74 1.32 1.29 1.44 0.73 1.43 0.60 1.05 1.22 1.50 Unclassified Industry - - 6.86 3.47 - - 6.07 - - - - Source: EMSI Analyst and Consultant Calculations

= LOCATION QUOTIENT > 1.00

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T ABLE 35 – DELAWARE COUNTY SHIFT-SHARE ANALYSIS (2012 - COMPARED TO MSA)

Expected Change - Expected Change - Total Expected Description Actual Change Regional Effect Industry Effect Change Local Effect Agriculture, Forestry, Fishing and Hunting (13) (12) 6 (7) (6) Mining, Quarrying, and Oil and Gas Extraction 11 (4) (13) (17) 28 Utilities (14) (20) 52 32 (46) Construction (2,672) (539) (2,676) (3,214) 542 Manufacturing (2,010) (647) (2,233) (2,880) 870 Wholesale Trade (1,271) (288) (420) (708) (563) Retail Trade (2,201) (907) (914) (1,822) (379) Transportation and Warehousing (1,402) (335) (267) (602) (800) Information (850) (122) (540) (662) (188) Finance and Insurance (351) (414) (613) (1,027) 676 Real Estate and Rental and Leasing (739) (144) (351) (495) (244) Professional, Scientific, and Technical Services 2,167 (426) 176 (250) 2,417 Management of Companies and Enterprises 3,722 (76) 203 127 3,595 Administrative and Support and Waste Management and (1,716) (486) (356) (842) (874) Remediation Services Educational Services (Private) 2,169 (407) 1,948 1,541 628 Health Care and Social Assistance 257 (1,384) 5,011 3,628 (3,371) Arts, Entertainment, and Recreation 1,070 (168) 657 488 582 Accommodation and Food Services 794 (506) 990 484 310 Other Services (except Public Administration) (602) (487) 377 (110) (492) Government (766) (937) (303) (1,241) 475 Unclassified Industry 0 0 0 0 0 Total (4,417) (8,308) 733 (7,575) 3,158 Source: EMSI Analyst and Consultant Calculations

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T ABLE 36 – MSA SHIFT-SHARE ANALYSIS (2012 - COMPARED TO U.S.)

Expected Change - Expected Change - Total Expected Description Actual Change National Effect Industry Effect Change Local Effect Agriculture, Forestry, Fishing and Hunting (540) (506) (484) (990) 450 Mining, Quarrying, and Oil and Gas Extraction (150) (38) 290 252 (402) Utilities (3,078) (366) 551 185 (3,263) Construction 5,879 (4,436) (29,885) (34,321) 40,200 Manufacturing (29,970) (7,499) (26,866) (34,365) 4,395 Wholesale Trade (1,751) (3,595) (3,693) (7,288) 5,537 Retail Trade (4,749) (9,546) (6,846) (16,392) 11,643 Transportation and Warehousing 2,087 (2,628) (1,069) (3,697) 5,784 Information (7,982) (1,977) (6,483) (8,460) 478 Finance and Insurance (3,361) (5,534) (7,384) (12,918) 9,557 Real Estate and Rental and Leasing (554) (1,477) (3,208) (4,685) 4,131 Professional, Scientific, and Technical Services 15,333 (6,463) 12,827 6,364 8,969 Management of Companies and Enterprises 17,813 (1,056) 3,106 2,050 15,763 Administrative and Support and Waste Management and Remediation Services (726) (4,875) (1,418) (6,292) 5,566 Educational Services (Private) 14,549 (3,440) 18,554 15,114 (565) Health Care and Social Assistance 48,451 (11,436) 50,294 38,858 9,593 Arts, Entertainment, and Recreation 4,893 (1,301) 627 (673) 5,566 Accommodation and Food Services 13,652 (5,155) 8,994 3,840 9,812 Other Services (except Public Administration) 1,873 (4,253) 4,614 361 1,512 Government (2,284) (11,235) 9,365 (1,870) (414) Unclassified Industry (434) (57) (325) (382) 0 Total 68,951 (86,872) 21,562 (65,310) 134,313 Source: EMSI Analyst and Consultant Calculations

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T ABLE 37 – TOP 30 GROWTH SECTORS IN DELAWARE COUNTY (2007 TO 2012) If Current Trends Continue… Change Change Change 2007 to 2012 to 2017 to Description 2007 Jobs 2012 Jobs 2017 Jobs 2022 Jobs 2012 2017 2022 1. Corporate, Subsidiary, and Regional Managing Offices 2,081 5,804 6,305 6,129 3,723 501 (176) 2. Colleges, Universities, and Professional Schools (Private) 7,033 8,247 8,894 9,213 1,214 647 319 3. Administrative Management and General Management Consulting Services 1,206 2,338 2,706 3,167 1,132 368 461 4. Aircraft Manufacturing 4,846 5,968 6,806 7,560 1,122 838 754 5. Services for the Elderly and Persons with Disabilities 1,819 2,868 3,251 3,254 1,049 383 3 6. Full-Service Restaurants 5,934 6,826 7,282 7,668 892 456 386 7. Other Airport Operations 158 775 982 1,141 617 207 159 8. Elementary and Secondary Schools (Private) 2,736 3,340 3,359 3,330 604 19 (29) 9. Third Party Administration of Insurance and Pension Funds 519 999 1,082 1,121 480 83 39 10. Outpatient Mental Health and Substance Abuse Centers 321 791 913 1,007 470 122 94 11. Residential Mental Retardation Facilities 3,336 3,802 4,218 4,460 466 416 242 12. Continuing Care Retirement Communities 2,418 2,879 3,640 4,065 461 761 425 13. Insurance Agencies and Brokerages 1,606 1,915 1,673 1,542 309 (242) (131) 14. Home Health Care Services 2,282 2,591 3,118 3,416 309 527 298 15. Custom Computer Programming Services 559 852 939 1,030 293 87 91 16. Other Scientific and Technical Consulting Services 204 485 650 779 281 165 129 17. Fabricated Pipe and Pipe Fitting Manufacturing 80 360 368 424 280 8 56 18. Federal Government, Civilian, Excluding Postal Service 890 1,146 1,107 1,001 256 (39) (106) 19. Land Subdivision 17 262 333 338 245 71 5 20. Child Day Care Services 2,318 2,555 2,824 2,899 237 269 75 21. All Other General Merchandise Stores 451 683 839 942 232 156 103 22. Ophthalmic Goods Manufacturing 12 226 283 338 214 57 55 23. Discount Department Stores 1,999 2,205 2,601 2,919 206 396 318 24. Food Service Contractors 1,164 1,361 1,514 1,622 197 153 108 25. Wired Telecommunications Carriers 857 1,053 924 956 196 (129) 32 26. Research and Development in Biotechnology 70 254 114 93 184 (140) (21) 27. Testing Laboratories 130 297 326 384 167 29 58 28. Landscaping Services 1,817 1,975 2,441 2,883 158 466 442 29. Paper (except Newsprint) Mills 664 820 691 652 156 (129) (39) 30. Colleges, Universities, and Professional Schools (Local Government) 1,344 1,491 1,432 1,370 147 (59) (62) Source: EMSI Analyst and Consultant Calculations

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T ABLE 38 – TOP 30 GROWTH SECTORS IN THE MSA (2007 TO 2012) If Current Trends Continue… Change Change Change 2007 to 2012 to 2017 to Description 2007 Jobs 2012 Jobs 2017 Jobs 2022 Jobs 2012 2017 2022 1. Services for the Elderly and Persons with Disabilities 14,156 28,498 34,248 37,165 14,342 5,750 2,917 2. Colleges, Universities, and Professional Schools (Private) 67,982 75,356 79,880 81,272 7,374 4,524 1,392 3. Full-Service Restaurants 77,733 83,617 88,199 91,630 5,884 4,582 3,431 4. Home Health Care Services 17,942 23,010 28,136 32,127 5,068 5,126 3,991 5. Continuing Care Retirement Communities 18,881 23,290 28,897 32,088 4,409 5,607 3,191 6. Corporate, Subsidiary, and Regional Managing Offices 47,316 51,567 53,700 51,832 4,251 2,133 (1,868) 7. Discount Department Stores 20,204 24,182 27,280 29,068 3,978 3,098 1,788 8. General Medical and Surgical Hospitals (Private) 112,223 115,632 120,281 124,438 3,409 4,649 4,157 9. Elementary and Secondary Schools (Private) 32,770 35,988 37,464 38,044 3,218 1,476 580 10. Administrative Management and General Management Consulting Services 12,990 16,029 17,153 18,619 3,039 1,124 1,466 11. Outpatient Mental Health and Substance Abuse Centers 7,331 9,781 10,625 11,292 2,450 844 667 12. R & D in the Physical, Engineering, and Life Sciences (except Biotechnology) 8,868 11,048 12,849 13,943 2,180 1,801 1,094 13. Specialty (except Psychiatric and Substance Abuse) Hospitals (Private) 14,628 16,745 19,768 21,596 2,117 3,023 1,828 14. Residential Mental Retardation Facilities 14,322 16,438 17,276 17,837 2,116 838 561 15. Aircraft Manufacturing 5,417 7,443 8,163 8,907 2,026 720 744 16. Custom Computer Programming Services 16,182 18,196 20,286 21,439 2,014 2,090 1,153 17. Third Party Administration of Insurance and Pension Funds 6,333 8,041 8,646 9,267 1,708 605 621 18. Janitorial Services 25,780 27,449 28,419 29,312 1,669 970 893 19. Residential Mental Health and Substance Abuse Facilities 5,205 6,743 7,888 8,712 1,538 1,145 824 20. Colleges, Universities, and Professional Schools (Local Government) 12,642 14,141 14,236 14,293 1,499 95 57 21. All Other General Merchandise Stores 5,060 6,519 7,353 7,879 1,459 834 526 22. Exam Preparation and Tutoring (Private) 2,347 3,726 4,071 4,368 1,379 345 297 23. Offices of Physical, Occupational and Speech Therapists, and Audiologists 5,885 7,209 8,380 9,190 1,324 1,171 810 24. Educational Support Services (Private) 3,646 4,911 5,814 6,359 1,265 903 545 25. Other Scientific and Technical Consulting Services 2,625 3,836 4,631 5,172 1,211 795 541 26. Computer Systems Design Services 15,943 17,096 18,527 19,080 1,153 1,431 553 27. Electric Power Distribution 1,930 3,076 2,942 2,929 1,146 (134) (13) 28. Child and Youth Services 6,052 7,130 7,106 6,908 1,078 (24) (198) 29. Junior Colleges (Private) 2,496 3,544 4,426 4,978 1,048 882 552 30. All Other Motor Vehicle Parts Manufacturing 1,004 2,043 2,111 2,176 1,039 68 65 Source: EMSI Analyst and Consultant Calculations

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T ABLE 39 – DELAWARE COUNTY INDUSTRY REQUIREMENTS GAP ANALYSIS – T OP 30 SECTORS (2011)

Industry Total Requirements Satisfied in County Satisfied outside County Federal Government, Civilian, Excluding Postal Service $6,600,273,185 $0 $6,600,273,185 Crude Petroleum and Natural Gas Extraction $2,170,100,070 $57,703,275 $2,112,396,795 State Government, Excluding Education and Hospitals $2,297,551,708 $361,263,476 $1,936,288,232 Commercial Banking $975,617,432 $309,126,144 $666,491,288 General Medical and Surgical Hospitals (Private) $1,317,441,759 $713,453,250 $603,988,510 Wired Telecommunications Carriers $666,017,692 $261,562,651 $404,455,040 Federal Government, Military $362,957,131 $0 $362,957,131 Pharmaceutical Preparation Manufacturing $289,641,816 $271,080 $289,370,735 Full-Service Restaurants $563,889,243 $280,860,629 $283,028,614 Offices of Physicians (except Mental Health Specialists) $871,248,555 $596,010,644 $275,237,911 Hotels (except Casino Hotels) and Motels $337,427,675 $69,637,835 $267,789,840 Corporate, Subsidiary, and Regional Managing Offices $593,325,116 $332,229,230 $261,095,886 Offices of Lawyers $428,795,325 $173,702,183 $255,093,142 Aircraft Engine and Engine Parts Manufacturing $220,587,419 $1,013,696 $219,573,724 Other Aircraft Parts and Auxiliary Equipment Manufacturing $245,555,623 $30,626,076 $214,929,547 Scheduled Passenger Air Transportation $218,935,063 $4,236,043 $214,699,020 Software Publishers $219,083,529 $9,488,725 $209,594,804 Natural Gas Distribution $195,017,587 $1,127,132 $193,890,454 Investment Banking and Securities Dealing $203,237,401 $10,254,432 $192,982,969 Limited-Service Restaurants $341,846,880 $151,015,815 $190,831,066 Portfolio Management $306,922,554 $121,985,618 $184,936,936 Warehouse Clubs and Supercenters $190,750,767 $12,309,706 $178,441,061 Securities Brokerage $319,018,050 $142,693,717 $176,324,332 Offices of Real Estate Agents and Brokers $404,449,906 $228,493,118 $175,956,788 Engineering Services $241,896,111 $69,947,708 $171,948,403 Computer Systems Design Services $198,851,321 $37,704,502 $161,146,819 Insurance Agencies and Brokerages $374,247,644 $216,344,797 $157,902,846 Light Truck and Utility Vehicle Manufacturing $156,995,736 $0 $156,995,736 Source: EMSI Analyst

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T ABLE 40 – MSA I NDUSTRY REQUIREMENTS GAP ANALYSIS – T OP 30 SECTORS (2011)

Industry Total Requirements Satisfied in MSA Satisfied outside MSA Federal Government, Civilian, Excluding Postal Service $68,156,722,749 $0 $68,156,722,749 State Government, Excluding Education and Hospitals $31,240,491,761 $12,101,631,177 $19,138,860,584 Federal Government, Military $10,921,037,793 $0 $10,921,037,793 Crude Petroleum and Natural Gas Extraction $6,609,862,342 $121,453,759 $6,488,408,583 Local Government, Excluding Education and Hospitals $25,281,174,665 $19,205,285,143 $6,075,889,522 Petroleum Refineries $11,311,216,407 $7,479,403,783 $3,831,812,624 Commercial Banking $12,182,305,080 $9,067,001,360 $3,115,303,720 Corporate, Subsidiary, and Regional Managing Offices $7,245,092,804 $4,476,912,639 $2,768,180,165 General Medical and Surgical Hospitals (Private) $13,442,089,032 $10,754,311,171 $2,687,777,861 Securities Brokerage $4,630,816,041 $2,205,570,420 $2,425,245,621 Software Publishers $2,722,578,516 $398,560,456 $2,324,018,060 Offices of Physicians (except Mental Health Specialists) $8,994,837,365 $6,678,393,159 $2,316,444,206 Animal Production $2,288,818,597 $70,154,324 $2,218,664,273 Full-Service Restaurants $6,136,602,982 $3,999,053,377 $2,137,549,606 Investment Banking and Securities Dealing $2,946,381,144 $862,759,048 $2,083,622,096 Portfolio Management $4,446,894,759 $2,416,476,237 $2,030,418,522 Hotels (except Casino Hotels) and Motels $3,745,836,135 $1,723,004,168 $2,022,831,967 Offices of Real Estate Agents and Brokers $4,873,727,888 $3,140,143,461 $1,733,584,427 Colleges, Universities, and Professional Schools (State Government) $2,406,620,575 $679,622,356 $1,726,998,220 Light Truck and Utility Vehicle Manufacturing $1,706,065,981 $33,811 $1,706,032,170 Limited-Service Restaurants $3,720,265,326 $2,016,502,148 $1,703,763,178 Pharmaceutical Preparation Manufacturing $3,607,652,089 $1,914,379,382 $1,693,272,707 Crop Production $1,981,093,860 $289,206,719 $1,691,887,141 Automobile Manufacturing $1,702,217,638 $34,562,693 $1,667,654,945 Elementary and Secondary Schools (Local Government) $8,367,081,127 $6,780,438,926 $1,586,642,202 Natural Gas Distribution $2,037,547,725 $493,132,642 $1,544,415,083 Warehouse Clubs and Supercenters $1,992,830,228 $456,188,917 $1,536,641,311 Insurance Agencies and Brokerages $4,989,964,923 $3,453,936,586 $1,536,028,336 Source: EMSI Analyst

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P AGE | 119 DELTA DEVELOPMENT GROUP, INC. GROWING FROM WITHIN A BLUEPRINT FOR GROWTH IN DELAWARE COUNTY

EXHIBIT B: DELAWARE COUNTY ECONOMIC DEVELOPMENT SURVEY: BUSINESS/INDUSTRY

BUSINESS INFORMATION 109 people started the survey and 88 people, or 80.7%, finished the survey. When asked where the business was located, the following responses were given:  13.3% Chester City  9.2% Upper Darby Township  8.2% Marple Township  7.1% Media Borough  7.1% Springfield Township  5.1% Chadds Ford Township  4.1% Eddystone Borough  4.1% Newtown Township  4.1% Nether Providence  4.1% Ridley Township  4.1% Upper Chichester Township  3.1% Lansdowne Borough  3.1% Middletown Township  3.1% Swarthmore Borough  3.1% Upper Providence Township  2.0% Aston Township  2.0% Chester Township  2.0% Folcroft Borough  2.0% Thornbury Township  1.0% Brookhaven Borough  1.0% Darby Township  1.0% Bethel Township  1.0% Clifton Heights Borough  1.0% Concord Township  1.0% Marcus Hook Borough  1.0% Prospect Park Borough  1.0% Radnor Township  1.0% Trainer Borough 19.4% of respondents said that Delaware County is not the main location of their business.

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L ENGTH OF TIME OPERATING IN DELAWARE COUNTY

Industry sector of primary business activity (sectors with highest employment):  22.8% Finance, Insurance, and Real Estate  13.9% Business Services  7.9% Education  7.0% Manufacturing  5.9% Construction

Changes in size and scope of operations in the last five years:

Grew Stayed the Became Fluctuated Same Smaller

Amount of Physical Space 27.7% 61.4% 8.9% 2.0%

Employment 34.3% 45.5% 6.1% 6.1%

Sales 49.0% 24.5% 14.3% 14.3%

Physical Size:  61.4% stayed the same  27.7% grew in size  8.9% became smaller  2.0% fluctuated

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Employment:  45.5% stayed the same  34.3% grew  6.1% became smaller  6.1% fluctuated Sales:  49.0% grew  24.5% stayed the same  14.3% became smaller  14.3% fluctuated

How many local, full-time employees does your business have at this location?

Gross revenues for the most recent, complete fiscal year.

Gross Revenues for Most Recent Fiscal Year

Under $500,000 33.0%

$500,000 - $1 million 17.0%

$1 million - $5 million 14.0%

$5 million - $10 million 6.0%

Over $10 million 22.0%

Unsure 8.0%

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When asked about future business plans:

For businesses planning to expand:  80% will need more employees.  47.3% will require additional floor area.  52.7% will require more land.

BUSINESS CLIMATE Significant challenges facing businesses:  The economy is the most Significant Challenges for Business significant challenge facing Competition 12.2% businesses in Delaware County. Cost Containment 6.1%  Competition, Sales, and Cost of Healthcare 7.1% Workforce are also significant Economy 23.5% challenges.  Additional challenges not on the Environmental Regulations 2.0% list include the following: Globalization 1.0% - Lack of incentives to do Managing Growth 8.2% business outside Philadelphia Marketing 1.0% - Finding qualified employees Roads 1.0% - Regulatory issues Sales 10.2% Lack of funding for - Taxes 8.2% construction and expansion Workforce 9.2% Working Capital 5.1% None 5.1%

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Advantages to doing business in Delaware County:

 Location is by far the greatest advantage to doing business in Delaware County.  Other responses included sophistication of the marketplace and access to development partners. Disadvantages of doing business in Delaware County:  Taxes, worker compensation rates, and access to skilled labor are the biggest disadvantages of doing business in Delaware County.  Other responses include lack of capital and high prices for real estate and healthcare coverage.

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QUALITY OF THE WORKFORCE The following positions will need to be filled in the next 12 months:  Office and administrative support (30.1%)  Sales and related occupations (30.1%)  Business and financial operations (21.9%)  Architecture and engineering (17.8%)  Management occupations (16.4%)  Community and social services (12.3%) Educational requirements for the majority of entry-level workers include the following:

Educational requirements for entry-level employees

Experience in the field 42.5%

High school or equivalent 40.2%

Post-high school (college) 54.0%

Post-high school (technical school) 9.2%

Previous work experience in related field 33.3%

Other 5.7%

Another requirement that was mentioned was a licensing exam. For businesses that are having problems with their current workforce, the biggest issues are listed below: Problems with Current Workforce

Basic Skills 7.5%

Motor Skills 2.5%

Personal Skills 21.3%

Teamwork Skills 18.8%

Thinking Skills 18.8%

Work Maturity Skills 28.8%

Other 12.5%

None 45.0%

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Other issues mentioned by survey respondents were communication skills (written and verbal), adapting to change, and finding candidates with specific industry-related skill-sets. Businesses offered a variety of reasons for having recruitment issues. The most popular responses were as follows:  Availability of trained workers (23.8%)  Skill levels (20.6%)  Salary treatments (17.5%)  Qualifications (12.7%) The following job categories are the most difficult to fill:  Sales and related occupations (37.9%)  Architecture and engineering (12.1%)  Management occupations (6.9%)  Computer and mathematical occupations (6.9%) The following are reasons why employee retention is difficult:  Wages (20.6%)  Work schedules (8.8%)  Benefits (5.9%) Another issue mentioned was the difficulty in finding employees with the necessary knowledge and skills (particularly math/engineering training). Quality of the labor force in Delaware County:

Agree Somewhat Disagree Somewhat Unsure Agree Disagree

Employees in Delaware County are motivated, 28.2% 61.2% 2.4% 3.5% 4.7% reliable and hardworking

There is a good match between employer needs 14.1% 63.5% 5.9% 4.7% 11.8% and employee skills

There are ample training opportunities for 26.7% 32.6% 12.8% 7.0% 20.9% employees to upgrade skills

Wage rates paid in the County are competitive 24.7% 51.8% 3.5% 2.4% 17.6%

We have a difficult time finding qualified and 25.3% 30.1% 27.7% 13.3% 3.6% trained individuals

It will be increasingly difficult in the future to find 25.3% 26.5% 27.7% 8.4% 12.0% qualified, trained individuals

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 Employers seem to be somewhat satisfied with the current workforce.  The biggest concern is with the ability to find and hire qualified individuals. Specific skills that employers feel are lacking in the workforce vary widely.  31.9% of responses are personal or “common sense” skills, such as maturity, work ethic, decision making, flexibility, and teamwork.  40.4% of responses relate to work experience or specialty skills, such as engineering, management experience, sales experience, technical construction knowledge, and truck driving.  21.3% of responses are skills or topics taught in school, such as written and verbal communication skills, geology knowledge, and math and computer skills.  6.4% of responses are other skills such as professional presence, not relying too heavily on technology, transferrable skills, and problem-solving skills. 81.6% of respondents are hiring employees from outside Delaware County, and 18.4% are hiring from outside Pennsylvania. Some respondents are aware of the reason why a potential employee from outside Delaware County turned down an offered position.  Lack of affordable housing (71.4%)  Lack of quality primary schools (28.6%)  Limited selection of housing (28.6%)  Lack of rental housing (14.3%) One issue mentioned by respondents that was not on the list was transportation: lack of a car or the high cost of transportation.

INFRASTRUCTURE Quality of available infrastructure: Excellent Adequate Poor Not Applicable Public Water 54.4% 35.6% 3.3% 6.7% Public Sewer 40.0% 45.6% 6.7% 7.8% Zoning/Land Use 8.0% 63.6% 13.6% 14.8% Road Systems 8.9% 66.7% 22.2% 2.2% Airport Facilities 32.6% 53.9% 2.2% 11.2% Rail Service - Freight 12.4% 32.6% 4.5% 50.6% Rail Service - Passenger 25.8% 52.8% 5.6% 15.7% Water Port Facilities 7.9% 30.3% 4.5% 57.3% Telecommunications 18.2% 72.7% 4.5% 4.5% Public Transportation - Bus 16.1% 60.9% 12.6% 10.3% Energy/Utility 19.1% 69.7% 6.7% 4.5%

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Public Water Notes:  Cost is too high  Want fluoride-free water  Smell and taste is a problem Public Sewer Notes:  Lansdowne and Delco need significant improvements  Problems and backups during high tide on the Delaware River Zoning/Land Use Notes:  Not enough commercial zoning  Regulations are confusing and an impediment to development  NIMBY attitudes  Zoning is fragmented–need regional zoning plan Road Systems Notes:  Traffic congestion is a major issue; traffic flows on 476, Blue Route, and Route 322 in particular  Better automated control systems to keep traffic moving, allow right turns on red light  Need more bike-friendly roads/paths Airport Facilities Notes:  Need more competition to control prices  Problems concerning lost baggage, slow processes with US Air Rail Service–Freight Notes:  Severe overhead restrictions  Many train crossing points have little clearance for trucks to get underneath  Need safe rail service from central Delco Rail Service–Passenger Notes:  Some stations in need of build-out  Lack of adequate parking at stations  Rail service is expensive Water Port Facilities Notes:  Delaware River ports are below par compared with world standards  County lacks truly serviceable port facilities Telecommunications Notes:  High-speed Internet not available in all locations  Need more diversity of telecommunication servers Public Transportation–Bus Notes:  Better than adequate but not excellent  Public perception of bus riders  Need more service to outlying communities; can take a long time to navigate the bus system

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Energy/Utilities Notes:  Poor reliability–power outages are common  Costs are too high  Many above-ground wires affected by falling trees

BUSINESS ASSISTANCE Areas of Assistance Needed by Businesses Availability of working capital 32.6% Communications infrastructure 3.5% Employee education and training 31.4% Employee recruitment 17.4% Employee retention 9.3% Improve transportation infrastructure 16.3% Increase land availability 5.8% Information about available resources 22.1% Information on local market characteristics 9.3% Networking groups/business clusters 30.2% Provide affordable housing 4.7% Streamline permitting process 18.6% Not sure 16.3%

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EXHIBIT C: DELAWARE COUNTY ECONOMIC DEVELOPMENT SURVEY: LOCAL GOVERNMENT 36 people started the survey and 26, or 72.2%, finished the survey.

CURRENT EFFORTS RELATED TO ECONOMIC DEVELOPMENT Which of the following best describes your municipality's primary economic base and the priority focus of your economic development efforts?  Most common, current economic base is in manufacturing, retail trade, or public administration.  The most common focus of economic development efforts is arts/entertainment/recreation, retail trade, or alternative energy.  Most common industry that should be the focus of economic development efforts is professional/scientific/technical services, accommodation and food services, or healthcare and social assistance. Composition of tax base:  55.2% would like to see a change in the composition of their tax base.  44.8% would prefer if the composition of their tax base stayed the same. Of those who would like to see a change in the composition of their tax base:  66.7% would like to see an increase in retail/commercial growth  22.2% would like a more diverse composition of the tax base  5.6% would like to see an increase in residential growth  5.6% would like an increase in industry

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The most important issues facing municipalities today are listed below:

Important Issues Facing Municipalities

Insufficient tax revenue 48.3% Redevelopment of brownfields 13.8% Reuse of vacant properties 37.9% Attracting new business and industry 44.8% Downtown revitalization 51.7% Securing funds for water and sewer improvements 51.7% Securing funds for roads 44.8% Access to transit and mass transportation 6.9% Attracting quality development 31.0% Managing growth and preserving green space 24.1%

Does your municipality encourage economic development activity within your community?

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The following business incentives are currently offered by municipalities:  Infrastructure improvements  Permit assistance  One-stop permitting  Land or building acquisition  Grant assistance  Local tax credits  Revolving loans  Municipal property tax abatements  Assistance with Pennsylvania programs The most commonly utilized incentives are permit assistance and one-stop permitting. How do you currently interact and communicate with the business and industry located within your municipality?

The most common methods of communicating with business and industry are as follows:  Code enforcement officers (74.1%)  Business associations (55.6%)  Municipal newsletters (40.7%) Other methods included borough managers, town center coordinators, and borough websites.

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BROWNFIELD SITES  83.3% of respondents have a brownfield located within their municipality.  16.7% of respondents do not.

CURRENT ECONOMIC DEVELOPMENT PROJECTS AND INITIATIVES  36% of respondents are involved with specific economic development projects.  64% of respondents are not. Current projects include the following:  Comprehensive plan updates  Road development  Town center revitalization plans  Parcel redevelopments  Shopping center updates

BARRIERS TO ECONOMIC DEVELOPMENT Which of the following barriers to economic development has your local government encountered?

Current Not an Possible Most Critical Issue Issue Future Issue Issue

Business cooperation 20.0% 73.3% 6.7% 13.3%

Resident cooperation 33.3% 46.7% 26.7% 6.7%

Lack of regional collaboration 31.3% 62.5% 12.5% 18.8%

Lack of sites and/or buildings 57.1% 33.3% 28.6% 18.0%

Uncooperative property owners 44.4% 44.4% 27.8% 11.1%

Lack of skilled workforce 0.0% 85.7% 7.1% 7.1%

Decreasing availability of grant funding 68.4% 10.5% 31.6% 47.4%

Lack of private investment 57.9% 26.3% 36.9% 47.4%

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INFORMATION AND TECHNICAL SUPPORT NEEDS What types of information does your local government need to strengthen its economic development efforts?  Information about funding programs available to businesses (71.4%)  Information on programs available to municipalities to strengthen business locations (57.1%)  Information about economic development best practices in other jurisdictions (42.9%)  Information about available resources for economic development technical assistance (57.1%)  Economic and demographic data to create community profile for assessments and marketing (42.9%) What types of technical assistance does your local jurisdiction need to improve its economic development capabilities?

The following types of technical assistance are needed to improve economic development capabilities:  Strategic planning assistance (38.1%)  Grant writing (42.9%)  Assistance in assessing community assets and opportunities for economic development (52.4%)  Assistance in securing private investment (57.1%)  Assistance in structuring incentive programs (33.3%)  Assistance in improving capacity of local development organizations (19%

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