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Forum: State hasn't made wise investments on economic development
Thomas Hylton: 'Instead of investing in its towns, the state has splurged to create infrastructure in formerly rural areas. This simply transfers jobs and residents from established communities to sprawling new ones'
Sunday, December 14, 2003

When he was campaigning for the governorship, Ed Rendell touted a special plan to revitalize McKeesport, Homestead, Greensburg and more than a thousand other such cities and boroughs across Pennsylvania, pledging to:

  

Two Views
on the Brookings Study:
'Back to Prosperity'
Other View / Frank Gamrat and Eric Montarti: Brookings Insitute is wrong about reasons for state's slow growth
Create an "Economic Development Cabinet," comprising key state agencies and chaired by the governor, to ensure state policies and programs affecting economic development would be coordinated to rehabilitate blighted urban areas.

Put together a major borrowing package for economic development that would be shepherded through the General Assembly, providing at least $1 billion for small and midsized cities and boroughs.

So far, neither has happened. The economic development Cabinet proposal morphed into a "Housing Cabinet" chaired by a director of housing and economic development. The borrowing package is tied up in the Legislature, caught behind the impasse over school funding.

But even if Rendell's initiatives are implemented, they'll fall short of fulfilling his goals. Last Sunday, the Brookings Institution released a major assessment of Pennsylvania's future, funded by the Heinz Endowments and the William Penn Foundation of Philadelphia. The report, "Back to Prosperity: A Competitive Agenda for Renewing Pennsylvania," concluded our towns won't make a comeback until the state ceases to subsidize sprawling development.

For decades, Pennsylvania's been in thrall to The Big Myth. The Big Myth supposes older cities and boroughs can be revitalized while new development on virgin land is simultaneously encouraged in suburban and rural areas. That's hard in fast-growing states. In Pennsylvania, which ranks 48th of the 50 states in growth, it is virtually impossible.

It's not that Pennsylvania doesn't spend on economic development. On a per capita basis, only four states spend more, the Brookings report found. But Pennsylvania doesn't target its spending. Instead of investing in its towns, the state has splurged to create new roads, infrastructure and corporate parks in formerly rural areas. Instead of creating new jobs and wealth, this spending simply transfers jobs and residents from established communities to sprawling new ones. Two of Pennsylvania's greatest assets -- its historic, walkable towns and its scenic countryside -- are thereby diminished.

The "hollowing out" of Pennsylvania's core communities is incredibly costly. Residents left behind don't have the resources to keep up the existing infrastructure, as demonstrated by Pittsburgh's junk-bond credit rating and its petition for "distressed" status by the state government.

Rather than upgrade what is declining, however, "the state has made redundant new investments" in outlying areas, the Brookings report said.

New development on the fringe is not only costly to build, it consumes far more land than older communities. In the last two decades, the Brookings study found, Pennsylvania has developed more land, per new resident, than any state except Wyoming. The Pittsburgh metropolitan area is the most sprawling major region in the nation: From 1982 to 1997, development consumed an astonishing 315 square miles of southwestern Pennsylvania -- an area nearly six times the size of Pittsburgh -- even as the region lost 166,000 residents.

No state lost more young people in the 1990s than Pennsylvania, which currently has the second-oldest population in the nation. "Net outflows of residents -- and especially young people -- show citizens 'voting with their feet' on the quality of life and economic opportunities the state offers," the Brookings report said.

It warned that "the state's aging population foretells a tough economic and fiscal reckoning."

Nevertheless, Gov. Rendell seems to believe sprawl should be promoted. His administration recently supported legislation to remove a deed restriction on 22 acres of farmland in Warren County to allow construction of a new Wal-Mart, a project that would undermine the nearby small city of Warren. Contrast this with Vermont, where Wal-Mart was persuaded to locate in existing buildings in the rural towns of Rutland and Bennington.

Properly nurtured, our traditional towns can be the commonwealth's gold standard for sustainable development.

Because they place homes, stores and offices in a compact area, towns are far more energy-efficient and environmentally benign than sprawling development.

They preserve farmland and open space. They promote walking, the most practical way to stem the rising tide of obesity. They foster upward mobility by bringing together people of all incomes. And all across the country, resurgent cities and towns are attracting the young, highly educated workers Pennsylvania desperately needs.

The revival of Pennsylvania's older communities, where more than half the state's residents still live, can't be just one more state program. It needs to be a crusade.

Specifically, Gov. Rendell must:

Make clear by executive order that all the resources of state government will be focused on "smart growth" -- revitalizing Pennsylvania's traditional communities. No state funds will be allocated to the development of virgin land.

Create a Smart Growth Task Force that includes the secretaries of Transportation, Environmental Protection, Community and Economic Development, and other key agencies. Heading the task force should be a director of smart growth reporting directly to the governor.

Preach the need for sustainable development to the 80,000 state employees directly under his jurisdiction. Enlist their help revamping state procedures to encourage investment in traditional towns and prevent further development in the countryside.

Reach out to Republican leaders in the General Assembly who are committed to reviving established towns. For example, the chairman of the House Appropriations Committee, Tamaqua's Rep. David Argall, successfully sponsored a bill to locate all state offices in traditional downtowns. Senate Majority Leader David Brightbill, of Lebanon, sponsored the state's landmark legislation to reuse brownfields, which are nearly all located in traditional communities.

Promote legislation that would direct counties to define areas for sustainable development, and areas for rural conservation, and require all municipal zoning to be consistent with the county plan.

Gov. Rendell says the revitalization of Pennsylvania's towns is the revitalization of Pennsylvania. He must clearly demonstrate he means it.

First published on December 14, 2003 at 12:00 am
Thomas Hylton is author of "Save Our Land, Save Our Towns" and host of the public television documentary, "Saving Pennsylvania."(thomashylton@comcast.net).