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Blog Category: Economy

EDA Promotes Economic and Job Growth in Rural America

August 24, 2011 - U.S. Assistant Secretary of Commerce for Economic Development John Fernandez, Federal Co-Chairman of the Delta Regional Authority Chris Masingill and Doug O'Brien, Deputy Under Secretary for Rural Development at the U.S. Department of Agriculture, participate in White House Rural Council Roundtable in Pine Bluff, AR.

Guest Blog by John Fernandez, Assistant Secretary for Economic Development.

President Obama has taken significant steps to improve the lives of rural Americans and has provided broad support for rural communities. He signed an Executive Order in June establishing the first White House Rural Council. The Administration has also set goals of modernizing infrastructure by providing broadband access to 10 million Americans, expanding educational opportunities for students in rural areas, providing affordable health care, promoting innovation and expanding the production of renewable energy.  

Last week, as part of his three day bus tour, President Obama stopped in Peosta, Iowa to participate in the White House Rural Economic Forum, which brought together farmers, small business owners, private sector leaders, rural organizations, and government officials to discuss ideas and initiatives to accelerate hiring and spur innovation in rural America. The President has also announced a series of initiatives that leverage existing programs and funding to help small businesses and meet the critical needs in rural communities. In the coming weeks, the President will put forth additional proposals that will help put people back to work and give the middle class greater economic security. Promoting economic and job growth in rural communities is central to these goals.

The U.S. Commerce Department’s Economic Development Administration (EDA) has been investing to strengthen rural economic ecosystems for over four decades. Earlier this week, I traveled to Louisiana, Tennessee and Arkansas with Federal Co-Chairman of the Delta Regional Authority (DRA) Chris Masingill and Doug O'Brien, Deputy Under Secretary for Rural Development at the U.S. Department of Agriculture to conduct project site visits and participate in White House Rural Council Roundtables in Houma and Bastrop, LA as well as Pine Bluff, AR. We heard from stakeholders in the region about how the federal government has and can be a better partner as we invest in rural economies.

On August 26, 2011, EDA will host a webinar to discuss best practices to promote rural small business development. White House Rural Council members Chris Masingill of DRA and Federal Co-Chairman of the Appalachian Regional Commission (ARC) Earl Gohl will share best practices and successes with close to 400 participants.

Winning the Future in Detroit: Public-Private Partnerships Advance Economic Transformation

Members of the Detroit Regional Chamber pictured meeting with Fernandez and Baruah

Guest blog post by John Fernandez, U.S Assistant Secretary of Commerce for Economic Development, Department of Commerce's Economic Development Administration

Last week, I had the pleasure of visiting Detroit, Mich., to see firsthand how close collaboration between the public and private sectors is working to transform the region’s economy and create the businesses and jobs of the future.  I was pleased to be joined by Sandy Baruah, President and CEO of the Detroit Regional Chamber and also my predecessor at the U.S. Department of Commerce during the Bush administration. 

The trip was a great opportunity to witness how the economic landscape in America’s "Motor City" is being transformed, particularly around the emerging and robust information technology and robotics cluster, which is thriving due to the city’s skilled talent pool, affordable retail opportunities and urban attractions such as the Fox Theater and Detroit Opera House.

There is something positive in the air in Detroit and the local economy is reaping the benefits. From the mayor, to members of Congress, to business leaders, to community stakeholders—there is a shared commitment to strengthen the city and create new jobs. Vibrant public-private partnerships are being leveraged and driving growth.

Rural and Suburban America: When One Definition is Not Enough

Graphic of three possible ways to define Peoria, Illinois

Guest blog post by Robert M. Groves, Director, U.S. Census Bureau

Cross-posted on the Census Director's blog

Last week I was pleased to speak to the Rural Philanthropy Conference. They are a set of private and community foundations that identify problems and issues facing rural America and seek to improve the areas through foundation investments. They want to do good works and see the lives of rural peoples improve. 

There was discussion about what “rural” really means. It is fair to say that rurality as a concept has for years been derived from first identifying various types of urban areas. In that sense, rural areas are residual to urban areas; everything that’s not urban is rural.

For example, looking at the area around Peoria, Illinois, illustrates the problem (see graphic). If we use the city limits of Peoria as the urban unit, then we deduce more land as rural adjacent to it. If we identify land use patterns, then we bring into a Peoria urban area more space, mainly suburban ring areas. If we use commuting patterns and other data to describe a cohesive economic center, then the rural fringe shrinks even more.

So, “urbanicity” (and thus “rurality”) is currently defined by various combinations of civil jurisdictions, population density, land use and economic notions.

Green Buildings, Green Jobs: A Closer Look at the Clean Energy Economy

Image of covered walkway (iStock photo)

Guest blog by Andrew Bennett, International Trade Specialist and Smart Grid Industry Analyst at Commerce's International Trade Administration in the Office of Energy and Environmental Industries.

With the Department of Commerce focused on winning the future and driving the president’s vision for a growing clean energy economy, it’s good to see early results from these efforts in the form of the green jobs of today. Green Buildings is a key sector where we’re laying the foundations for the green jobs of the future.

Last month, Siemens USA announced 400 new positions across 39 states in its green technologies division, which is focused on helping cities across the country reduce energy costs through the implementation of a host of green building technology systems.

Meanwhile, in Baltimore, MTC Logistics is working with Virginia-based solar energy services provider HelioSage and Southern Energy Management, a green building services company from North Carolina, to build one of the largest roof mounted solar installations in the state of Maryland.

These ambitious green building projects not only create jobs, they also drive innovation, cut costs for businesses and government and help achieve important environmental benefits.

Standards Boost Business: Competing in a 21st Century Economy

Standards Boost Business logo

Guest blog post from S. Joe Bhatia, President and CEO, American National Standards Institute

From alternative energy and nanotechnology to electric vehicles, vast opportunities for U.S. innovation and economic growth are developing in new and expanding industry sectors. As the U.S. ramps up its efforts to create jobs for the 21st century economy, there is an incredibly powerful tool at hand that can help U.S. industry tap into these technologies and out-innovate competitors in the global market.

I’m talking about standardization – and there has never been a better time for American businesses to leverage standards and conformance to gain a powerful trade advantage. Standardization not only informs the direction of innovation, it impacts the strength of the American workforce. Standards have the potential to accelerate the idea-to-market cycle, increase the number of U.S. products and services, and save companies millions of dollars. In short, standards have the power to turbo-charge innovation and fuel business growth.

That’s why the U.S. standardization community has launched the Standards Boost Business outreach initiative – to help companies understand the strategic and economic value of standards to business and to our overall national competitiveness.

MBDA Helps Minority-Owned Businesses Win the Future

Workers installing solar panels on reservation building

Commerce's Minority Business Development Agency (MBDA) is enabling job creation and growth within minority-owned companies as they expand through innovation and untapped resources. MBDA has 50 business development centers and regional offices throughout the country and is preparing to open its newest business center in Cleveland, Ohio, in September to continue to create an environment for support, technical training and access to capital, contracts and to markets for business owners there.

Knowing that many jobs of the 21st century will be in clean and renewable energy, green technology, and Healthcare IT, the MBDA Business Centers are reaching out to minority-owned firms so they can expand into those new areas and keep communities strong and workers employed.

For example, MBDA client Sacred Power Corporation Inc. based in Albuquerque, New Mexico, is a Native-American-owned renewable and distributive energy manufacturer. Sacred Power operates on the principle that “the world in which we live can change its current direction and dependence on polluting energy sources and convert to renewable technologies that provide clean, long-term solutions to today’s energy problems.”

Protecting Innovation to Ensure New Opportunities for American Businesses, Higher Wages, and Greater Economic Security for American Families

Map of U.S. showing distribution of Green Tech patents

Innovation is a principal driver behind our nation’s economic growth and job creation. The United States Patent and Trademark Office (USPTO) serves America’s innovators by granting the intellectual property rights they need to secure investment capital, build companies, and bring their products and services to the global marketplace. USPTO is an integral partner in President Obama’s drive to create the foundation for our economic future where we out-innovate, out-educate, and out-build the rest of the world.  USPTO is proud to play a role in accelerating socially conscious technologies in emerging fields like alternative fuels, clean energy, and green technology.

Last fall the USPTO extended the deadline for filing petitions under its Green Technology Pilot Program.  Under the pilot, patent applications involving reduced greenhouse gas emissions, energy conservation and environmental quality are accelerated in their review at no cost to the inventor.

Program statistics show that stakeholders participating in the Green Tech Pilot have obtained patents much more quickly as compared to the standard examination process.  Currently, the average time between granting of a green technology petition and first office action on the merits is just 49 days.  In many instances, applicants have had their Green Technology inventions patented in less than one year from the application filing date.

More than 1,900 petitions have been granted to green technology patent applicants since the pilot began in December 2009. Of the 1,900 petitions granted so far, USPTO issued the program’s 350th patent for a configuration of a wind turbine housing on June 28.

By advancing a commitment to building a more sustainable energy future, USPTO is able to spur additional innovation and promote green collar jobs that provide our world with alternatives to harmful energy practices. This ensures that the U.S. is not just the world’s Chief Global Competitor, but also its Chief Global Citizen.

The ability to develop tools in the name of cause-based enterprising is an endeavor that may still require investment capital, but leaves the rest of the world inspired through human capital—and that’s an example of the sort of nuanced innovation that continues to mark excellence in American leadership.

Spotlight on Commerce: Bryan Erwin, Director of the Advocacy Center of the International Trade Administration

Ed. Note: This post is part of the Spotlight on Commerce series, which highlights members of the Department of Commerce who are contributing to the president's vision of winning the future through their work.

Bryan Erwin is the Director of the Advocacy Center of the International Trade Administration.

As the Director of the Advocacy Center of the International Trade Administration, it is my duty to ensure that sales of U.S. products and services have the best possible chance competing abroad. I am constantly reaching out to exporters and letting them know that this Administration stands ready to assist them win new business. Through our efforts at the Advocacy Center, we work very hard to ensure that America’s exports are as competitive as possible. That often means talking with foreign governments and business leaders to ensure U.S. companies competing for public international contracts aren’t at a disadvantage. I firmly believe that American companies can’t be beat if they have a level playing field. This level playing field not only helps exporters win public international contracts, it also helps put Americans back to work. In fact, we have supported over 100,000 U.S. jobs this year alone.

An example of how the Advocacy Center works occurred earlier this year when we were contacted by an aerospace company from Iowa.  They were competing against Israeli and French firms for a half a billion dollar contract to supply avionics to a South American company.  Our Regional Managers worked closely with ITA colleagues, including Trade Specialists in Iowa, Commercial Service personnel in South America, colleagues at headquarters and interagency colleagues to approve the company for advocacy and begin to work on their behalf.  In addition to great efforts by the Embassy Team, we helped to facilitate both Secretary Locke and Under Secretary Sanchez’s advocacy to their counterparts, stressing the value of U.S. goods and service and urging a transparent procurement process.  The company won the procurement and estimates that 150 jobs will be retained or created as a result.

Manufacturing: The Resurgence of American Innovation and Jobs

Tektite founder, Scott Mele, receiving the Export Achievement Award from the Department of Commerce. Scott Mele on left, Congressman Rush Holt on right.

Guest blog post from Miles Bodnar, Marketing Manager at Tektite Industries

Cross-posted on the NIST MEP blog

There’s something really great that’s going on in America right now: people are talking about manufacturing again. If you ask individuals from the baby boomer generation, they’ll tell you that manufacturing was a cornerstone of the economy when they were growing up. Everyone’s job was associated with manufacturing in one way or another and we were proud of our products Made in the USA. Manufacturing was a part of patriotism.

Since the baby boomer generation has grown up, the world has certainly changed. What hasn’t changed though is that manufacturing is still a pillar of our economy. America is still the number one manufacturing country in the world; we out-produce number-two China by more than 40 percent. Despite our economic challenges in 2009, America created an estimated $1.7 trillion worth of goods according to the United Nations. Manufacturing will always serve as the foundation of our economy for two main reasons: manufacturing challenges us to become more innovative and manufacturing growth creates jobs.

The timeline of our company, Tektite Industries, is the perfect example of this. Like many start ups, company founder Scott Mele founded Tektite in his garage in 1990, developing and distributing the most advanced and quality flashlight in the world. A year later, the organization was manufacturing a Chemical Lightstick Alternative® and Mark-Lite®, which was designed to reduce solid waste produced by chemical sticks there by creating a more “green” alternative.  Over the past 20 years, our company has developed into a vertically integrated LED lighting manufacturer that produces specialty lighting products, incorporating leading edge technology. From specialty flashlights, strobes, to signaling lights, we mold our parts, assemble our electronics, CNC machine, and stamp our metal parts all in New Jersey.

We here at Tektite Industries have only been able to evolve throughout the decades because of innovation. Manufacturing never stops–it just changes. Innovation is all about identifying ways to differentiate ourselves and implementing new ideas to serve new markets. While foreign products may be cheaper in price, we out perform all foreign competitors and produce the best quality available. We use technology and innovative ideas to train our workforce, becoming more efficient and productive while creating new jobs. This creates a ripple effect throughout our economy. It is estimated that for every new manufacturing job created, four to seven additional jobs are created for the economy.

Locke and Duncan Discuss Comprehensive Immigration Reform with Members of the U.S. Chamber of Commerce

Secretary Gary Locke and Education Secretary Arne Duncan participated in a conference call today to discuss comprehensive immigration reform with members of the U.S. Chamber of Commerce. The pair made the case for why effective immigration reform is vital to U.S. economic competitiveness and why the involvement of the business community is crucial to move this important priority forward. Approximately 175 people from at least 30 states joined the call, including 80 CEOs and representatives from businesses, local and state chambers of commerce and industry and trade associations. 

Locke discussed how comprehensive reform will help create jobs in the U.S. and stressed the need to build an immigration system that will attract the brightest, most highly-skilled people from around the world, so their skills, ideas and entrepreneurial spirit can help start new businesses, enhancing U.S. global competitiveness.  Locke specifically highlighted two proposed approaches for reforming the current visa system: encouraging top foreign talents who receive a graduate degree in STEM fields (Science, Technology, Engineering and Mathematics) to remain in the U.S. after they graduate by allowing them to acquire legal permanent residence; and issuing two-year visas to immigrant entrepreneurs whose start-up companies receive investment from a U.S. investor, and giving these entrepreneurs permanent residence if their companies create full-time jobs in the U.S. within those two years.  Locke urged members of the Chamber to help make the case in their communities that comprehensive immigration reform is an economic imperative critical to America’s future economic competitiveness. 

Locke asked participants on the call to add their voice to the national conversation by visiting www.whitehouse.gov/immigrationaction and hosting a conversation in their community about why we need to fix the broken immigration system.