Roanoke Times
Copyright (c) 1995, Landmark Communications, Inc.
DATE: SUNDAY, August 22, 1993 TAG: 9311240265
SECTION: EDITORIAL PAGE: F2 EDITION: METRO
SOURCE:
DATELINE: LENGTH: Medium
Their approaches to economic development, as outlined thus far in their gubernatorial campaigns, do not seem radically different either from each other's or from what's been done in Virginia in the past.
Both, though, suggest they would more closely follow North Carolina's model - recognizing that each region of the state has diverse needs and strengths, and helping each to develop and implement a distinct economic-development strategy. This is a needed change.
Both also indicate they would give more attention to the expansion of small businesses. This, too, is to be applauded.
Many small businesses in Virginia, for instance, produce services or products that could easily be exported. But unlike larger businesses, which may have entire departments specializing in marketing their wares far and wide, small firms generally are out of the know-how loop.
State government can help bring them into the loop, sharing information and showing tricks of the trade. The state already is doing this; the candidates propose to do more. Great.
In terms of restructuring the state bureaucracy to improve economic- development efforts, Terry has made the more substantive and detailed proposal. (In fairness, it should be noted that Allen has not yet released a "comprehensive" package that he says is in the works.)
Terry would establish a 21-member policy-making board for economic development - similar to decision-making boards that give direction to the state's transportation department, health department and other state agencies.
Her proposed Virginia Board of Trade and Commerce would be composed of private-sector representatives from various sectors. It would also include the lieutenant governor and key members of the legislature, and she - as governor - would chair the board.
Additionally, all members of the governor's cabinet would sit in on meetings as nonvoting ex officio members - to ensure, she says, that her entire top team is fully aware of the state's economic-development goals and ready to move on them without "turfism, bickering and unnecessary duplication of effort and resources," an accurate description of some programs now.
There will be some, doubtless, who will criticize this board as another unneeded expansion of big government. They may prefer Allen's proposed "competitiveness cabinet" that, presumably, would serve as a sounding board for the private sector's innovative ideas, but which would not have decision- making muscle.
But Terry's proposal has the greater merit. Business people often complain that decisions made in the Richmond bureaucracy work against the interests of economic development, rather than to support those interests.
The private sector's expertise can and should be more fully tapped to develop coordinated, comprehensive policy and to sharpen the state's competitive edge. In today's hard-fought bidding wars with other states for new or relocating industries and jobs, Virginia needs all the help it can get.
A cautionary note: Terry's board would be only as good as the quality of people she appoints to serve on it. It would have little credibility or effectiveness if, as governor, she would turn it into another patronage outlet, to, say, reward big contributors to her campaign.
Generally speaking, economic development programs have not been strengthened, to say the least, under the Wilder administration. The next governor, whomever, must attend to this.
But just as neither Terry nor Allen can be expected to move Virginia forward with a campaign-slick "white paper" on economic development, so is it also the case that economic development depends on far more than what the designated "economic development" agencies do.
Neither Terry nor Allen will help Virginia's prospects if they expand economic-development efforts while ignoring the erosion of traditional assets in the economic-development base, such as the state's system of higher education, the public schools and the transportation network. In recent years, Virginia has not kept pace with many other states in maintaining its infrastructure for economic growth.
Thus far, both gubernatorial candidates have had little to say about their plans for reversing trends of neglect. Until they do, pretty platform papers about economic development are mostly apple-polishing.
Keywords:
POLITICS
by CNB