ROANOKE TIMES

                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: TUESDAY, March 23, 1993                   TAG: 9303230159
SECTION: BUSINESS                    PAGE: B7   EDITION: METRO 
SOURCE: GEORGE KEGLEY STAFF WRITER
DATELINE:                                 LENGTH: Medium


REGIONAL JOB EFFORT STARTS JULY 1

Two state economic developers will start July 1 seeking new business to provide jobs in the region between Roanoke and Radford.

The effort is expected to become permanent, Del. Victor Thomas, D-Roanoke, said Monday. Thomas in a budget amendment proposed providing $200,000 for the state Department of Economic Development office in the next fiscal year. It was approved by the General Assembly "and we've got to keep it" in the 1994 biennium, he said.

The region needs help attracting business because of layoffs in the Roanoke and New River valleys, Thomas said. "We're hurting and all of us are trying to work together."

As chairman of the Economic Development Subcommittee of the House Appropriations Committee, Thomas was in a key position to push the amendment through the legislature. He said there wasn't a dissenting vote.

The state development people are expected to work with local development personnel and the Roanoke Valley Economic Development Partnership.

"We don't want the state to be the top dog. We hope by having a presence there, they will lend assistance," said Robert Vaughan of the appropriations committee staff in Richmond. The new personnel will work with state marketing managers to find new businesses, he said.

Thomas said he discussed his legislation with April Young, executive director of the economic development department, at least 10 times. "I leaned heavily on her," he said, "and I had help from the rest of the committee."

The department has not hired the experts and an office has not yet been selected, Thomas said.

The Economic Development Department has a regional office at Abingdon, but the needs of the Roanoke-Radford area would be "a big burden" for that operation, Vaughn said. The staff of an office in Staunton was eliminated in state budget cutting, but representatives from Richmond office visit there occasionally. The department runs a Southside office at South Boston.

Beth Doughty, executive director of the Roanoke Valley Economic Development Partnership, said she's interested in "finding out how these positions will be utilized and where they fit in . . . The more assistance we have, the better."

The General Assembly passed two other bills aimed at alleviating rising unemployment in Southwest Virginia, Vaughan said.

The legislature appropriated $300,000 to help localities with work-force training at companies where at least 50 jobs are created. This is for localities with unemployment levels 70 percent greater than the statewide average.

Another bill will provide $500,000 to help localities seek federal funds for training people whose jobs are lost in defense-related industries. Priority will be given to regional initiatives, Vaughan said.

Thomas said the funds for this legislation were shifted from the $3 million package assembled as an incentive for Roanoke's unsuccessful effort to attract a customer-service center that Norfolk Southern Corp. said it will put in Atlanta.



by Archana Subramaniam by CNB