Jobs and Growth for the City of Davenport
by Bill Lynn, Fifth Ward Alderman
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Five things we can do to promote growth in our area:
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Send businesses the message we want them here.
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Become more small business friendly.
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Develop our workforce
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Keep taxes and fees low.
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Promote Davenport.
One of the biggest issues facing Davenport is how to increase the number of jobs. Many cities struggle with this issue so this is not unique to Davenport. Many large cities in Iowa such as Des Moines have actually had a population decline which then translates into a decline in the job market. In recent years there has been a decided lack of population growth in Davenport. However, fortunately last year Davenport added 1400 citizens to its population.
Population increase is directly related to job growth. Increasing the population means job growth; and job growth is economic growth. When the population and jobs increase directly the demand for housing also increases. This in turn helps to generate more sales tax revenue. The question is how do we help Davenport grow? I believe many of our approaches have been misdirected. For instance, Davenport has attracted a few companies using Tax Increment Financing (TIF). (I explain and discuss this in another document by that name.) This has provided some success, but the cost is high, and in recent years many governments have started to turn away from this method.
I have outlined five steps that Davenport can do to promote growth in our area at a surprisingly low cost. In some cases the dollar amount it is zero. These are:
1) Become more facilitative and less regulatory, i.e., send businesses the message we want them here.
2) Become more small business friendly.
3) Develop our workforce.
4) Keep taxes and fees low.
5) Promote Davenport.
With my support these issues are being addressed. In the last two years some progress has been made toward sending businesses the message that Davenport is business friendly. For instance, the Davenport industrial park was developed. To make this more attractive to businesses a rail spur is in the process of being installed.
Focusing on the promotion of Davenport is increasing. However, there is more work that needs to be done in developing the workforce, keeping taxes and fees affordable for all and becoming better at being 'small business friendly'.
What should we do to attract businesses and jobs?
There are several things that need to be done, and the cost is not that high. The first thing is to make Davenport a city that is business friendly. Unfortunately, Davenport is often too bureaucratic. Far too often I have heard from businesses that they find it difficult to operate in our town. Even when following the rules, business owners are confronted with regulations that they were not warned about.
First, I have often said we are 'regulated but not facilitated.' City Hall does not work with many businesses in a way that makes them feel we want them here. I have heard many complaints on the inconsistency of the way in which the Davenport City bureaucracy deals with people. Too many times I have seen people invest money in a project and not be told they need to get a zoning variance. After they make the investment they find out they can't obtain the variance because of protests by local owners. If they try to obtain the variance first and they don’t receive it, then they don't have an investment. Thus, the money they have invested is lost. The consequences are that those businesses owners will never do business in Davenport again. This is our loss!
Training city employees to work with businesses to make it easier for businesses to navigate city bureaucracy is the first step in correcting this situation. In the last two years we have made great progress in this area. We have used the approach of assigning a counselor to reduce 'red tape.' For example, when a company wants to do business with the city of Davenport, a counselor is assigned to them. That counselor works with the business to show them what steps they need to take and in what order. This positive step is paying dividends and will continue to do so as long as this policy remains and is expanded.
Second, we must work with small businesses. A prime indicator of the health of a city is the growth of small businesses. At the present Davenport is simply not doing all it can do to make many small businesses feel welcome. I have received letters from many small business owners telling me they are moving out of Davenport because of poor treatment or lack of cooperation. We must indicate to businesses we are here to help them not punish them. When they come in with questions we need to try to solve those problems with a minimum of hassle, and if we simply cannot solve the problem we must be upfront about that. We also need to be sure we do things in a timely matter. Time is a big issue for business, but often not for government
Third, Davenport must develop a strategy for developing our workforce. Most communities today do not have a program to develop a workforce, but in today's market the work force is the most important issue. A trained workforce is one of the best ways to attract new business. Companies today go where the workforce is. In the past the workforce came to them, but that is no longer true. Well trained employees are important today, but we are not doing a good job of training a workforce for today's companies. The city of Davenport needs to facilitate a meeting of the local educational institutions and businesses to determine the needs of business. This will ensure that students are trained in the skills they need for today's job market. This will keep Davenport business strong.
Fourth, KEEP TAXES AND FEES AS LOW AS POSSIBLE! When taxes and fees are too high businesses are discouraged from locating in Davenport. While it is necessary to keep taxes and fees down, it is also necessary to build and maintain infrastructure. Research has shown that many cities spend money on non-productive items and don't take care of the infrastructure, particularly sewers and streets. Successful cities take care of their infrastructure. While amenities are nice additions to the city, they do not replace good streets and sewers. I know that low taxes, reasonable fees and properly maintained sewers and streets are particularly important to those in the Fifth Ward. Keeping track and insuring that the infrastructure becomes more sound without raising taxes is one of my top priorities.
Finally, Davenport needs to focus on promoting itself. There are far too many fine cultural events that go unnoticed and un-herald. This can be accomplished very inexpensively using today's technology. For example, when upcoming events such as concerts, races, street fairs etc, are scheduled to occur press releases should be sent to the major media outlets. Fortunately, the system already exists and is in place to address this issue. The City of Davenport has a media person. The job description for this position needs to be expanded to include the dissemination of daily or at the very least weekly press releases to the media and other relevant organizations. Moreover, the city council has allocated $100,000 within the budget for marketing Davenport.
Davenport is a city full of undiscovered treasures by those who have yet to visit. In fact, many people do not know Davenport exists or where it is. Media stories that highlight Davenport's possibilities provide valuable information for those potential business owners who are considering relocating or expanding to the Quad City area. The dividends that promotion and public relations can pay in Davenport's future are immeasurable. Addressing the lack of promotion of Davenport and correcting it is crucial to the growth of our wonderful city.
I believe these five steps will help Davenport to increase our population, create more jobs for our community thereby helping Davenport reach its full potential as the premier city in the Quad Cities and Iowa.
