2016 Annual Review and Update Investing in People & Places Greater Philadelphia's Comprehensive Economic Development Strategy September 2016 dDELAWARE VALLEY fJ REGI!rpc --> PLANNING COMMISSION --> The Delaware Valley Regional Planning Commission is dedicated to uniting the region’s elected officials, planning professionals, and the public with a common vision of making a great region even greater. Shaping the way we live, work, and play, DVRPC builds consensus on improving transportation, promoting smart growth, protecting the environment, and enhancing the economy. We serve a diverse region of nine counties: Bucks, Chester, Delaware, Montgomery, and Philadelphia in Pennsylvania; and Burlington, Camden, Gloucester, and Mercer in New Jersey. DVRPC is the federally designated Metropolitan Planning Organization for the Greater Philadelphia Region — leading the way to a better future. The symbol in our logo is adapted from the official DVRPC seal and is designed as a stylized image of the Delaware Valley. The outer ring symbolizes the region as a whole while the diagonal bar signifies the Delaware River. The two adjoining crescents represent the Commonwealth of Pennsylvania and the State of New Jersey. DVRPC is funded by a variety of funding sources including federal grants from the U.S. Department of Transportation’s Federal Highway Administration (FHWA) and Federal Transit Administration (FTA), the Pennsylvania and New Jersey departments of transportation, as well as by DVRPC’s state and local member governments. The authors, however, are solely responsible for the findings and conclusions herein, which may not represent the official views or policies of the funding agencies. The Delaware Valley Regional Planning Commission (DVRPC) fully complies with Title VI of the Civil Rights Act of 1964, the Civil Rights Restoration Act of 1987, Executive Order 12898 on Environmental Justice, and related nondiscrimination statutes and regulations in all programs and activities. DVRPC’s website, www.dvrpc.org, may be translated into multiple languages. Publications and other public documents can be made available in alternative languages and formats, if requested. DVRPC public meetings are always held in ADA-accessible facilities and in transit-accessible locations when possible. Auxiliary services can be provided to individuals who submit a request at least seven days prior to a meeting. Requests made within seven days will be accommodated to the greatest extent possible. Any person who believes they have been aggrieved by an unlawful discriminatory practice by DVRPC under Title VI has a right to file a formal complaint. Any such complaint may be in writing and filed with DVRPC’s Title VI Compliance Manager and/or the appropriate state or federal agency within 180 days of the alleged discriminatory occurrence. For more information on DVRPC’s Title VI program, or to obtain a Title VI Complaint Form, please call (215) 592-1800 or email [email protected]. Table of Contents CHAPTER 1: Background .................................................................................................................................. 1 Greater Philadelphia’s Regional Economy ............................................................................................... 2 Regional Economic Clusters ...................................................................................................................... 2 Rating the Region: How Does Greater Philadelphia Compare to Other Metros? ................................. 6 Measuring Disadvantage and Distress ..................................................................................................... 7 Regional Goals and Objectives ................................................................................................................ 10 CHAPTER 2: Strengths, Weaknesses, Opportunities, and Threats ............................................................ 11 Regional Strengths .................................................................................................................................... 11 Regional Weaknesses ............................................................................................................................... 12 Opportunities ............................................................................................................................................. 13 Threats ........................................................................................................................................................ 15 Economic Resiliency ................................................................................................................................. 16 CHAPTER 3: Performance Measures ............................................................................................................. 21 Goal 1: Invest in People. ........................................................................................................................... 21 Goal 2: Invest in Places ............................................................................................................................ 25 Goal 3: Support Business Retention, Expansion, and Creation. ......................................................... 37 CHAPTER 4: Investing in Greater Philadelphia ............................................................................................ 47 Recent US EDA Investment in Greater Philadelphia .............................................................................. 47 Regional Transportation Investment ....................................................................................................... 47 Key Regional Economic Development Projects ..................................................................................... 49 CHAPTER 5: Summary .................................................................................................................................... 51 Figures • Figure 1: Greater Philadelphia Region .................................................................................................... 1 • Figure 2: Basic Clusters in Greater Philadelphia, 2000–2010 ................................................................ 4 • Figure 3: Communities with a High Number of Indicators of Potential Disadvantage ............................ 7 • Figure 4: Census Tracts That Meet US EDA’s Per Capita Income Threshold, Based on 2010-2014 American Community Survey Five-Year Estimates ................................................................................. 9 • Figure 5: Census Tracts That Meet US EDA’s Unemployment Rate Threshold, Based on 2010-2014 American Community Survey Five-Year Estimates ................................................................................. 9 i • Figure 6: Unemployment Rate, 1995–2016 .......................................................................................... 23 • Figure 7: Per Capita Personal Income, 2001–2014 ............................................................................. 24 • Figure 8: Average Annual Pay .............................................................................................................. 25 • Figure 9: Connections 2040 Planning Areas and Centers ................................................................... 26 • Figure 10: Residential Construction Permits Issued by Connections 2040 Planning Area .................. 28 • Figure 11: Annual Transit Ridership ..................................................................................................... 29 • Figure 12: Number of Days That the Region Exceeded the Current National Ambient Air Quality Standards ............................................................................................................................................... 32 • Figure 13: Percentage of Households Paying 35 Percent or More of Their Income for Housing ........ 35 • Figure 14: Percentage of Income That Would Be Paid toward Housing Plus Transportation Costs by a Household Earning the Region’s Average Annual Income in Greater Philadelphia, 2013 .................... 36 • Figure 15: Employment in Greater Philadelphia by Metropolitan Division ........................................... 37 • Figure 16: Per Capita Gross Domestic Product by Metropolitan Area ................................................. 39 Tables • Table 1: Life Sciences Employment in Greater Philadelphia, 2010 ........................................................ 5 • Table 2: US EDA’s Measures of Distress ............................................................................................... 8 • Table 3: Highest Educational Degree Attained by Adults Age 25 and Older ........................................ 22 • Table 4: Educational Attainment: Core Cities versus the Suburbs ....................................................... 22 • Table 5: Per Capita Personal Income, 2000–2014 ............................................................................... 24 • Table 6: Population by Connections 2040 Planning Area, 1990–2015 ................................................ 27 • Table 7: Residential Building Permits by Connections 2040 Planning Area, 1990–2015 .................... 28 • Table 8: Regional Annual Unlinked Passenger Trips in Millions .......................................................... 29 • Table 9: Annual Vehicle Miles Traveled (VMT) ....................................................................................