. Creating Success in Southeast Michigan SEMCOG, the Southeast Michigan Council of Governments, is the only organization in Southeast Michigan that brings together all of the region’s governments to solve regional challenges. SEMCOG is creating success in Southeast Michigan by: Promoting informed decision making to improve Southeast Michigan and its local governments by providing insightful data analysis; Promoting the efficient use of tax dollars for both long-term infrastructure investment and shorter-term governmental efficiency; Solving regional issues that go beyond the boundaries of individual local governments; Delivering direct assistance to member governments in the areas of transportation, environment, and community and economic development; and Advocating on behalf of Southeast Michigan in Lansing and Washington. Visit us on the Web at www.semcog.org. IMPROVING QUALITY OF LIFE AND CREATING ECONOMIC OPPORTUNITY THROUGH REGIONAL COOPERATION The Metropolitan Affairs Coalition (MAC), a non-profit public/private partnership, is the only group that brings business, labor, government and education leaders together to build consensus and seek solutions to regional issues. It promotes regional cooperation and dialogue, and works to advance policies and develop programs that enhance the region’s economic vitality and quality of life. With its partner organization SEMCOG (the Southeast Michigan Council of Governments), and the diverse perspectives of its members, MAC is uniquely positioned to be a catalyst for change and help move the region and state forward. For more information about MAC please go to www.mac-web.org. SEMCOG and MAC 2012 This updated document, known as a Comprehensive Economic Development Strategy (CEDS), meets the requirements of the U.S. Economic Development Administration (EDA), which in part funded this project. It incorporates EDA guidelines and strategic priorities in a dynamic document that provides a roadmap for effectively investing the region’s resources and seeking new means to diversify and reposition the economy, create jobs, strengthen and refocus our human capital, develop and promote our natural and community assets, improve our business climate, and maintain and enhance the necessary infrastructure to achieve the maximum economic impact and global competitiveness. This initiative of SEMCOG, the Southeast Michigan Council of Governments, and the Metropolitan Affairs Coalition (MAC), was informed by the Economic Development Strategy Committee and other economic development stakeholders. It builds upon previous work and reflects collaboration among people representing a spectrum of business, labor, government, education, community, civic, economic, and workforce development organizations across seven counties working together to help increase jobs and prosperity in Southeast Michigan. This publication was prepared by SEMCOG and MAC, in collaboration with the Economic Development Strategy Committee. The statements, conclusions, and recommendations are those of the authors and do not necessarily reflect the view of the Economic Development Administration. Preparation of this document is financed in part through grants from and in cooperation with the U.S. Department of Commerce Economic Development Administration (06-87-05683) and local membership contributions. Additional assistance was provided by the Metropolitan Affairs Coalition. Southeast Michigan Council of Governments Metropolitan Affairs Coalition Information Center 535 Griswold Street, Suite 300 535 Griswold Street, Suite 300 Detroit, MI 48226 Detroit, MI 48226-3602 313-961-2270 fax 313-961-4869 313-961-4266 fax 313-961-4869 www.mac-web.org [email protected] www.semcog.org [email protected] SEMCOG and Metropolitan Affairs Coalition express our sincere appreciation to everyone who contributed their time and expertise in helping us update Increasing Jobs and Prosperity in Southeast Michigan. Our work was informed by a Strategy Committee composed of SEMCOG and MAC members representing public and private sector organizations. Representatives of economic development organizations and other stakeholders also contributed this to effort and helped ensure a collaborative and coordinated process. We would also like to thank the Economic Development Administration whose support helped fund this initiative. Economic Development Strategy Committee Lizabeth Ardisana Steven L. Manor Chief Executive Officer, ASG Renaissance Council Member City of Howell Ann Bollin Clerk Ray Metz Charter Township of Brighton Chief of Staff University of Michigan-Dearborn Deborah I. Dingell President, D2 Strategies Gregory Pitoniak Chair, Manufacturing Initiative American Automotive Policy CEO Council Southeast Michigan Community Alliance Mark T. Gaffney Adam Rujan Business Representative Partner Teamsters Local 214 Plante & Moran, PLLC Mary Kramer Rex E. Schlaybaugh, Jr. Publisher Chairman Emeritus Crain's Detroit Business Dykema Thomas W. Linn John A. Scott, Sales Engineer Chairman Emeritus McMasters Koss Company Miller Canfield Commissioner, Oakland County John W. Stroh III Chairman & CEO The Stroh Companies, Inc. Technical Review Team Stephen Cassin Robert Peven Executive Director Planning Director, Planning Commission Planning & Economic Development Monroe County Macomb County Olga Savic Stella Geoff Donaldson Vice President, Business Development Senior Planner, Metropolitan Planning Commission Detroit Economic Growth Corp. St. Clair County David Struck Malinda Jensen Director, Metropolitan Planning Commission Director, Business Development St. Clair County Detroit Economic Growth Corp. David Tyler Kathleen Kline-Hudson Development Officer Director, Department of Planning Wayne County EDGE Livingston County Anthony VanDerWorp Daniel Hunter Director Deputy Director, Economic Development & Community Affairs Economic Development and Energy Oakland County Washtenaw County ii – Increasing Jobs and Prosperity in Southeast Michigan List of Data Displays .................................................................................................................................. iv Executive Summary .................................................................................................................................... 1 People (Talent) ......................................................................................................................................... 1 Business Climate ...................................................................................................................................... 1 Community Assets .................................................................................................................................... 1 Economic Development Strategies ........................................................................................................... 1 Chapter 1: Creating Economic Prosperity in Southeast Michigan ........................................................ 5 We Are Building on Our Strengths .......................................................................................................... 5 We Are Leveraging Resources Through Collaboration ........................................................................... 6 We Are Building on the Work of Others .................................................................................................. 6 We Are Working Together ....................................................................................................................... 6 Measuring Success ................................................................................................................................... 7 Chapter 2: Economic Conditions in Southeast Michigan ....................................................................... 8 Snapshot of Southeast Michigan .............................................................................................................. 8 Local Impacts of Economic Turbulence ................................................................................................. 16 Strengths and Opportunities ................................................................................................................... 22 Chapter 3: Southeast Michigan’s Environment and Geography ......................................................... 24 Water Resources ..................................................................................................................................... 25 Chapter 4: Increasing Jobs and Prosperity in Southeast Michigan ..................................................... 28 Economic Strategies, Action Steps, and Partners ................................................................................... 28 Economic Development Strategy – Priority Action Steps ..................................................................... 51 Chapter 5: Project List ............................................................................................................................. 53 iii – Increasing Jobs and Prosperity in Southeast Michigan Table 1 Wage and Salary Employment by Sector, 2000-2012, Southeast Michigan*........................ 11 Table 2 Employment Status, 2000 and 2010, Southeast Michigan ..................................................... 13 Table 3 Income,* 2000 and 2010, Southeast Michigan and United States ......................................... 13 Table 4 Income Sources, 2000 and 2008, Southeast Michigan ..........................................................