United States
Environmental Protection
Agency
May 2015
www.epa.gov/smartgrowth
USING SMART GROWTH STRATEGIES
TO FOSTER ECONOMIC DEVELOPMENT:
A KELSO, WASHINGTON, CASE STUDY
Office of Sustainable Communities
Smart Growth Program
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PROJECT PLANNING TEAM
FEDERAL TEAM
Melissa Kramer (Project Lead)
Office of Sustainable Communities
U.S. Environmental Protection Agency
1200 Pennsylvania Ave. NW (MC 1807T)
Washington, DC 20460
Tel 202-564-8497
kramer.melissa@epa.gov
Thomas Eaton, U.S. Environmental Protection Agency, Region 10
Viccy Salazar, U.S. Environmental Protection Agency, Region 10
Sarah Achaoui, U.S. Department of Housing and Urban Development, Region 10
Maggie Keller, U.S. Department of Housing and Urban Development, Region 10
LOCAL TEAM
Melissa Taylor (Project Lead)
Planning Manager
Cowlitz-Wahkiakum Council of Governments
207 N. Fourth Avenue
Kelso, WA 98626
Tel 360-577-3041 Ext. 2575
mtaylor@cwcog.org
Mike Kardas, City of Kelso
Amy Mullerleile, City of Kelso
Lisa Brosnan, Cowlitz-Wahkiakum Council of Governments
Ted Sprague, Cowlitz-Wahkiakum Council of Governments
Glenn Gelbrich, Kelso School District
Chris Rugg, Kelso School District
Steve Taylor (Project Lead)
Kelso City Manager
203 S. Pacific Avenue
Kelso, WA 98626
Tel 360-423-1371
staylor@kelso.gov
CONTRACTOR TEAM
Martin Powers (Project Lead)
CH2MHNI
1100 112th Ave NE Suite 500
Bellevue, WA 98004
Tel 206-940-3535
Martin.Powers@CH2M.com
Amanda Gehrke, Strategic Economics, Inc.
Dominic Mazza, Strategic Economics, Inc.
Garrison Traud, Strategic Economics, Inc.
Dena Belzer (Project Lead)
Strategic Economics, Inc.
2991 Shattuck Avenue, Suite 203
Berkeley, California 94705
Tel 510-647-5291 Ext. 108
dbelzer@strategiceconomics.com
Cover photo courtesy of Larry Myhre via Flickr.com.
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TABLE OF CONTENTS
EXECUTIVE SUMMARY I
I. INTRODUCTION 1
A. City of Kelso: Setting the Context 2
B. Technical Assistance 4
II. GETTING STARTED: SMART GROWTH ECONOMIC DEVELOPMENT KEY CONCEPTS 6
III. PREPARING A SMART GROWTH ECONOMIC DEVELOPMENT STRATEGY 9
A. Selecting a Focus Area 9
B. Defining the Context 9
C. Setting Goals 10
D. Identifying Existing Assets and Barriers 15
E. Selecting the Right Tools 15
IV. PREPARING A SMART GROWTH ECONOMIC DEVELOPMENT STRATEGY: KELSO, WASHINGTON,
CASE STUDY 19
A. Downtown Kelso 19
B. South Kelso Residential Community 23
C. Talley Way Industrial Area 28
D. Takeawaysfor South Kelso 31
E. Preparing for Climate Change 32
APPENDIX A: EPA SMART GROWTH IMPLEMENTATION ASSISTANCE 34
APPENDIX B: POTENTIAL GOALS AND INDICATORS LIST 36
APPENDIX C: INVENTORY OF POLICY TOOLS AND ACTIONS 38
APPENDIX D: SMART GROWTH ECONOMIC DEVELOPMENT EXAMPLES 50
A. Scotland Neck, North Carolina 50
B. Lake Worth, Florida 52
C. Clinton, Iowa 54
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EXECUTIVE SUMMARY
Across the country, many small- and medium-sized cities are facing significant economic challenges
related to the lasting effects of the 2007-09 recession, and they often do not have the staff and finances
to address many of these challenges. In addition, outside forces, such as climate change, depletion of
natural resources, and national economic trends, have changed how cities have traditionally attracted
investment. Several cities have tried a different method to anticipate and overcome some of these
challenges: smart growth economic development, a place-based approach that aims to create long-term
value and builds upon existing assets in small, incremental actions to strengthen communities.
The Cowlitz-Wahkiakum Council of Governments requested technical assistance from the U.S.
Environmental Protection Agency in partnership with the city of Kelso, Washington, to develop a smart
growth economic development strategy, focusing on the South Kelso neighborhood, specifically
downtown Kelso, the South Kelso residential community, and the Talley Way industrial area. Decades
ago, the historic downtown, also in South Kelso, was a strong, vibrant retail center. The residential
community in South Kelso was composed of families who owned their own homes and, for the most
part, worked in local industries. Today, the South Kelso area is the city's lowest income residential
community, and the downtown has struggled with decades of decline. This document aims to help cities
like Kelso rethink how to address economic development challenges with small, manageable solutions
that create stronger, more resilient communities.
A smart growth economic development strategy needs to support businesses and workers and improve
quality of life. Smart growth approaches bring together these elements and recognize the balance
among them and the need to create long-term value in addition to short-term gains. Within this
framework, key principles emerge:
1. Make the distinction between "growth" and "investment."
2. Be tactical and strategic.
3. Be focused.
4. Start where there is already momentum.
5. Find the right partners for specific goals.
6. Communicate and coordinate.
Preparing a smart growth economic development strategy has five steps that build on these principles:
1. Selecting the focus area.
2. Defining the context.
3. Setting the goals.
4. Identifying existing assets and barriers.
5. Selecting the right tools.
A list of potential goals and indicators (Appendix B) and an inventory of policy tools and actions
(Appendix C) are provided to help communities think about possible approaches to smart growth
economic development. Every community and place is different, and communities can modify and refine
these goals and tools based on local conditions.
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I. INTRODUCTION
Many small and mid-sized cities around the United States are struggling because their economy was
built largely on a single economic sector that has changed significantly. For example, at one time jobs
might have been heavily concentrated in a natural resource industry, like logging or mining, that can no
longer sustain a large workforce. Changing circumstances, such as those caused by resource depletion,
globalization, or shifts in consumer preferences, can shake the economic foundations of these
communities, leaving people without jobs and cities without a healthy tax base.
Kelso, Washington, is a small community that was founded to take advantage of plentiful natural
resources. For many years, Kelso was the center of the commercial smelt fishing industry on the Cowlitz
River and served as the main recreational and commercial hub for the region's many loggers. But as the
logging and smelt fishing industries
declined, Kelso's economy struggled.
On behalf of the city of Kelso, the
Cowlitz-Wahkiakum Council of
Governments (CWCOG) applied to the
U.S. Environmental Protection Agency
(EPA) Smart Growth Implementation
Assistance Program. (See Appendix A for
more information on the program.)1
CWCOG and the city work together on
economic and community development
initiatives and asked for EPA's help to
explore ways to increase investment and
economic opportunities in South Kelso
while supporting a broad range of
community goals, including infill
redevelopment that can better protect
the environment, community design that
promotes active transportation for
better health, and improved social
equity and quality of life for existing
residents.
EPA hired a contractor team consisting
of CH2MHMI and Strategic Economics to
help develop a smart growth economic
development strategy for the south
Kelso neighborhood, specifically
Exhibit 1. The smart growth economic development strategy focuses
on three neighborhoods in South Kelso.
Sources: Aerial imagery provided by the city of Kelso, 2015; U.S.
Census TIGER Line Data, 2013: http://www.census.gov/cgi-
bin/geo/shapefiles2013/main; Subareas based on Kelso Future Land
Use Map, City of Kelso, 2014; Strategic Economics, 2015.
1 Smart growth approaches encompass a range of strategies that cities, suburbs, towns, and rural areas can use to protect the
environment and public health, support economic development, create strong neighborhoods with diverse housing and
transportation options, and improve residents' quality of life. The principles that underlie smart growth strategies are found at:
Smart Growth Network. "Why Smart Growth?" http://www.smartgrowth.org/why.php. Accessed Jan. 27, 2015.
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downtown Kelso, the South Kelso Residential Community, and the Talley Way Industrial Area (Exhibit 1).
The contractor team worked with CWCOG and the city to develop materials for a series of public
meetings held during a three-day site visit in September 2014. The contractor team refined those
materials based on workshop participants' input to create this document.
A. CITY OF KELSO: SETTING THE CONTEXT
The city of Kelso is on Interstate 5, approximately 50 miles north of Portland, Oregon, and 120 miles
south of Seattle. The city is part of the southwest Washington economic region that includes Cowlitz,
Wahkiaham, Grays Harbor, Lewis, Pacific, and Clark counties. Vancouver, Washington, in Clark County, is
the biggest city in the region, but Vancouver's economy is closely tied to Portland and has little impact
on Kelso.
Kelso and Longview, its neighbor to the west across the Cowlitz River, comprise the biggest economic
concentration in the region, excluding Vancouver. Virtually all of the smaller communities sprang up in
the mid- to late-19th century to take advantage of the area's rich timber and fishing resources. Kelso was
the dominant economic force in Cowlitz County until about the mid-20th century, serving as the regional
entertainment and retail destination for loggers and supporting a strong smelt fishing industry. In more
recent decades, Longview's modern port has made it a strong economic competitor to Kelso. It is among
the busiest ports in the state, handling bulk cargo commodities including timber.2 However, even with
the strong port activity, Cowlitz County overall has been experiencing slow economic and population
growth, outmigration of educated young people, and difficulty attracting new investment.3
Kelso itself has a population of approximately 12,000 people,4 and the larger metropolitan region,
including Longview, has a population of approximately 50,000.5 Due to the slow, steady decline in the
timber and fishing industries, Kelso's economy has also declined, although the city's population has
continued to grow, albeit very slowly over the past decade. In 2013, the median household income in
Kelso was $35,381, well below that of the state of Washington, and 23 percent of families lived below
the poverty line.6 However, despite this overall decline, some areas of Kelso are relatively new and
affluent, including the city's northeastern area.
CWCOG and the city chose to focus this technical assistance on South Kelso, which is the city's historic
core. It has many houses built in the early 20th century, a historic street grid in some areas, and most of
the city's important employment areas. South Kelso is bounded by Cowlitz River to the west, Interstate 5
to the east, Highway 4 to the north, and Tennant Way to the south. It is home to approximately 5,800
residents,7 or about half the city's population. In addition to the residential community, South Kelso
includes the Talley Way industrial area, the Three Rivers Mall, downtown Kelso, and the Southwest
2 Personal communication with Melissa Taylor, planning manager, Cowlitz-Wahkiakum Council of Governments, on Mar. 25,
2014.
3 Cowlitz Economic Development Council and TIP Strategies. Turning Point: An Economic Development Strategic Planforthe
Cowlitz Economic Development Council. 2010. http://cowlitzedc.com/sites/default/files/cowlitz edc tip strategy.pdf.
4 Confluence Planning Associates and Portland State University's Masters of Urban and Regional Planning Program. The South
Kelso Revitalization Strategy: Existing Conditions Report. City of Kelso. 2013. http://www.cwcog.org/documents/south kelso
revitalization strategy existing conditions report.pdf.
5 Ibid.
6 U.S. Census Bureau. "Selected Economic Characteristics: 2009-2013 American Community Survey 5-Year Estimates." American
Fact Finder, http://factfinder.census.gov/faces/nav/jsf/pages/index.xhtmlff. Accessed Jan. 21, 2015.
Confluence Planning Associates and Portland State University, op. cit.
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Washington Regional Airport. In 2011, Kelso had nearly 5,170 primary jobs,8 most of which are in South
Kelso. Key sectors in South Kelso include professional, scientific, and technical services; manufacturing;
public administration; and retail.
Through the 1960s and 1970s, the residential community in South Kelso was composed of families who
owned their homes, and, for the most part, worked in local industries. The historic downtown was a
strong, vibrant retail center anchored by the Cowlitz County courts and administrative offices. However,
many converging trends have caused South Kelso to become the city's lowest income residential area,
and the downtown has struggled for decades. Downtown retail activity declined as Longview's Triangle
Mall opened in the 1960s and the Three Rivers Mall opened along lnterstate-5 in Kelso in 1986.
Perhaps more significantly, many young people who could no longer find jobs in the lumber or fishing
industries either left the area to find a good job or struggled to find economic opportunity locally. This
economic challenge degraded social cohesion in South Kelso. As longtime members of the community
died or moved on, the demand for their older, relatively small homes declined. Investors buy many of
the homes and lease them to low-income families, who have few housing options in the region. Many of
these families have been unable to find jobs. Between 2000 and 2010, the unemployment rate in South
Kelso grew more quickly than it did in the city as a whole. In 2010, the unemployment rate in South
Kelso was 9.8 percent, while the rate for Kelso was 8.6 percent. South Kelso residents also appeared to
be dropping out of the labor force at a greater rate than in the city overall. Between 2000 and 2010, the
number of South Kelso residents not participating in the workforce9 increased by 3 percent; by
comparison, the number of Kelso residents not participating in the workforce declined by 0.4 percent.10
As Kelso recovers from the recession and employment grows, little of this success appears to be
translating into better opportunities for South Kelso residents.
EPA's contractor team reviewed local and regional economic development plans11 and interviewed
representatives from local and regional agencies.12 Based on this information, the team identified key
characteristics of the South Kelso neighborhood that will inform a successful economic development
strategy, including:
• The city's relatively small size, which means a smaller local real estate market and economy
and, therefore, fewer jobs available to local residents and less buying power to support stores.
The city also has limited staff capacity, financial resources, and local transit options. It relies on
resources outside the city, including regional and state governments, for services and funding. In
addition, Kelso is too small to receive its own entitlement program funding from the federal
government, such as Community Development Block Grants from the U.S. Department of
Housing and Urban Development (HUD), but it is too big to receive assistance from rural
programs run by the U.S. Department of Agriculture.
8 Primary jobs data count one job per worker, including public- and private-sector jobs. U.S. Census Bureau. "Longitudinal
Employer-Household Dynamic (LEND)." http://onthemap.ces.census.gov. Accessed Nov. 16, 2014.
9 Workforce participation rates include those working or looking for work.
10 Confluence Planning Associates and Portland State University, op. cit.
11 Plans reviewed include the South Kelso Revitalization Plan, the Southwest Washington Workforce Development and Strategic
Plans, the Cowlitz Economic Development Council's Turning Point Strategic Plan, and the River City Transit Agency plan.
12 Interviewees include Melissa Taylor, planning manager for CWCOG; Jennifer Keene, economic development manager for
CWCOG; and Stephen Taylor, city manager for the city of Kelso.
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Issues related to quality of life, including a lack of housing options and vacant storefronts and
buildings downtown, which adversely affect current businesses and residents. These conditions
could make it difficult for South Kelso to attract new businesses and residents in the future.
The changing nature of the regional economy, which istransitioningfrom a natural resource
base to include a wider range of businesses. For many years, the timber industry was the main
driver of Cowlitz County's economy. The region is currently trying to diversify to become more
economically resilient, targeting specialized manufacturing, health care, advanced logistics and
distribution, and professional and technical services.
A mismatch between the skills and education level of local workers and the jobs targeted for
regional growth. Approximately one-third of Kelso residents 25 years or older had only a high
school diploma in 2013, and 19 percent had not completed high school, comprising a significant
proportion of the city's resident labor force. An increasing proportion of the resident labor force
has some advanced education, with 9 percent holding associate degrees, 6 percent holding a
bachelor's degree, and 4 percent holding a graduate or professional degree.13
B. TECHNICAL ASSISTANCE
The contractor team worked with the city of Kelso, CWCOG, and EPA to develop materials for creating a
smart growth economic development strategy that could be used by Kelso and other small cities
confronting similar challenges. These materials include:
• Possible smart growth economic development goals (Appendix B).
• Indicators the city could use to measure progress toward achieving those goals (Appendix B).
• Possible policies and actions the city could use to help reach those goals (Appendix C).
Exhibit 2. Site visit. Community residents gathered to discuss how to spur economic development in the city.
Photo courtesy of EPA
U.S. Census Bureau. "Educational Attainment: 2009-2013 American Community Survey 5-Year Estimates." American Fact
Finder. http://factfinder.census.gov/faces/tableservices/isf/pages/productview.xhtml?pid=ACS 13 SYR S1501&src=pt.
Accessed Feb. 17, 2015.
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During a three-day site visit and public workshop in September 2014, the team applied these materials
to the South Kelso neighborhood. The workshop had two primary goals:
• Refine the general process, goals, and tools based on input from participants.
• Develop a smart growth economic development strategy for South Kelso.
Participants included Kelso residents and representatives from the EPA Office of Sustainable
Communities, EPA Region 10, HUD, the Washington State Department of Ecology, the Kelso Library, the
Kelso City Council, Cowlitz Economic Development Council, Kelso community and nonprofit
organizations, and Kelso businesses. All work sessions were open to the public, and the city invited key
stakeholders to sessions where their input would be most valuable. The team refined its materials based
on the discussions during the site visit and developed:
• Key concepts for a smart growth economic development strategy (Chapter II).
• Steps for preparing a smart growth economic development strategy (Chapter III).
• A smart growth economic development strategy for the South Kelso area (Chapter IV).
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II. GETTING STARTED: SMART GROWTH ECONOMIC
DEVELOPMENT KEY CONCEPTS
Many communities are finding economic success by cultivating a competitive advantage by using their
distinctive assets to attract new investment and support existing businesses. These place-based assets
might include residents and their skills; local architecture and infrastructure; academic, technical, and
medical institutions; local and regional business and employment concentrations; cultural, natural, and
artistic resources; and general quality of life. What distinguishes smart growth economic development
from conventional economic development is this emphasis on building on existing assets, rather than on
pursuing jobs or tax base growth without particular regard for location or synergies with existing assets.
Kelso's situation illustrates how a smart growth economic development strategy can build on and
improve conventional economic development approaches. Foster Farms, a major food processer
headquartered in California, opened a plant in Talley Way several years ago. According to city staff, the
company has had trouble retaining workers, in part because many workers do not have cars and the
factory is not well served by transit. At the same time, South Kelso residents struggle with
unemployment. A smart growth economic development approach to the workforce retention problem
could look at ways to connect people and resources across the city with businesses and job
opportunities more directly than would be typical with a conventional approach to economic and
workforce development, neither of which tend to be "place" or neighborhood based. For example,
conventional economic development might not consider a full range of transportation options to
address worker mobility. Alternatively, a smart growth economic development strategy might include
establishing a program to recruit South Kelso residents to work at Foster Farms and other Talley Way
businesses and creating a transit or active transportation system. For example, a safe and convenient
bike route between the Talley Way industrial area and the South Kelso residential community would let
workers easily get to and from work without a car. These actions would improve employee retention
and help South Kelso residents reach much-needed jobs while also making more destinations accessible
without a car, reducing traffic congestion and air pollution.
In other words, this strategy would support
businesses, workers, and quality of life, the three core
components of smart growth economic development
(Exhibits).
• Supporting Businesses. Supporting and
expanding existing businesses and attracting
new businesses contribute to economic
development in several key ways, including
helping businesses create jobs, encouraging
entrepreneurship, enhancing fiscal
sustainability by expanding and diversifying
the tax base, and improving quality of life
with new services and amenities. This
component of a smart growth economic
Supporting
Businesses
Smart Growth
Economic
Development
Supporting
Workers
Supporting
Quality of
Life
Exhibit 3. The smart growth economic development
framework has three core components.
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development strategy focuses on understanding the current composition and location of
businesses, jobs, and potential emerging entrepreneurs in the community. This information can
help reveal how well the businesses serve local residents and contribute to quality of life and
which industries have the most potential to drive economic growth in the future. Given the
limited resources of many small towns, targeting key economic sectors for growth allows city
and regional staff to direct their economic development efforts in a strategic manner. This part
of the smart growth economic development strategy considers not only the businesses and
industries with the greatest growth potential, but also where these businesses are located and
how their location helps the community meet its economic, environmental, and other goals.
• Supporting Workers. Workforce development is important to ensuring that residents can
successfully compete for employment opportunities and that all residents have the opportunity
to benefit from economic prosperity. The availability of a workforce with a wide range of skills
and education levels can help local businesses grow and attract new businesses. By offering
residents the opportunity to learn skills for a wider range of jobs, workforce development
efforts might also reduce the need for residents to commute long distances to find appropriate
employment, thereby improving quality of life, reducing pollution from vehicles, and making it
easier for people to get physical activity as part of their daily routine. This smart growth
economic development component focuses on how well the skills and education of the local
workforce align with the needs of existing and growing industries and provides insight into what
the community could do to help workers better match businesses' needs.
• Supporting Quality of Life. Residents and businesses both value a community with a good
quality of life. A variety of factors can improve quality of life, such as a thriving downtown or
commercial district with neighborhood-serving shops and restaurants; green and open space; a
variety of transportation choices, including options for walking, biking, driving, and public
transit; artistic, cultural, and community resources such as museums, public art, community
centers, religious institutions, and other community gathering spaces; and medical, technical,
and academic institutions. These aesthetic improvements might also include green
infrastructure such as trees and other vegetation that help improve the pedestrian environment
while absorbing rainwater and improving water and air quality. This smart growth economic
development element also includes identifying key locations for development and
redevelopment in the city's core, including brownfields and infill sites.
The step-by-step process for preparing a smart growth economic development strategy presented in
Chapter III is based on six principles that are useful to consider before beginning:
1. Make the distinction between "growth" and "investment." Not all communities are necessarily
growing. However, in most cases, businesses, individuals, and/or public agencies continue to
make investments in the community even during periods of population decline. Building on
ongoing investment(s), rather than "growth" as defined by increasing employment, population,
or tax base, is essential to reinvigorate a struggling economy.
2. Be tactical and strategic. A smart growth economic development plan should include broad,
long-term strategies that set overall direction and objectives for any economic development-
related activities and investments. The plan should also identify short-term, tactical actions that
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address specific barriers or challenges to attaining the longer-term vision. While the long-term
strategies might not change for several years, tactics should be updated on a regular basis to
reflect changing conditions and opportunities.
3. Be focused. Investments of time, money, and other community resources are most effective
when targeted to an area that is both big enough to offer opportunities for change and small
enough to make tangible, visible improvements that will spur investment. Over time, small focus
areas can be expanded to build on successes.
4. Start where there is already momentum. Economic development efforts are most effective in
places where there is already some private-sector activity so that public investments can
reinforce and support investment by individual homeowners, business owners, commercial
property owners, and/or banks and other financial institutions. Once these initial investments
start to show success, it will be easier to attract additional investment to nearby locations, thus
spreading the momentum incrementally over time.
5. Find the right partners for specific goals. Successful economic development efforts rely on
partnerships across public agencies, especially when different types of funding are involved.
Engaging these partners for specific and mission-appropriate goals is more effective than trying
to seek support for broad or poorly defined initiatives. Communities might also set goals to align
with specific funding sources to improve the odds of securing money for implementation.
6. Communicate and coordinate. Good communication and coordination among groups and
agencies can help ensure that all available resources support the community's vision. For small
cities with limited resources, this coordination can help achieve goals at minimal cost by
avoiding redundancy, conflicting efforts, and/or spreading resources too thin for meaningful
improvement.
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III. PREPARING A SMART GROWTH ECONOMIC DEVELOPMENT
STRATEGY
Communities might create an economic development strategy:
• In the wake of a crisis, like a major employer shutting down, a natural disaster, or the need to
clean up a site with contaminated soil and/or groundwater.
• To help older neighborhoods, including the downtown, that suffer from long-term
disinvestment, as is the case in Kelso.
• To take advantage of a specific event or opportunity, as in Scotland Neck, North Carolina
(Exhibit 6); Lake Worth, Florida (Exhibit 9); and Clinton, Iowa (Exhibit 12). All three are discussed
in more detail in Appendix D.
Preparing a smart growth economic development strategy has five steps:
A. Selecting a focus area.
B. Defining the context.
C. Setting goals.
D. Identifying existing assets and barriers.
E. Selecting the right tools.
Chapter IV describes how the city of Kelso followed these steps.
A. SELECTING A Focus AREA
The initial step in preparing a smart growth economic development strategy is to pick the specific
location(s) or area(s) of focus. The contractor team's preliminary discussions with the city of Kelso
helped identify three focus areas in the South Kelso neighborhood: downtown, the South Kelso
residential community, and the Talley Way industrial area. While these three areas have important
characteristics in common, each has distinct goals, indicators, and appropriate tools for implementation.
For example, the needs of businesses in an industrial area are likely to be very different than those of
downtown merchants. Whether a community is preparing a strategy for an entire city or one district or
neighborhood, as in South Kelso, there are likely to be multiple subareas, each of which can be defined
by a distinct land use pattern and/or purpose. In fact, one of the things that distinguishes smart growth
economic development strategies from more conventional approaches is the emphasis on specific
place-based assets in a community.
B. DEFINING THE CONTEXT
This step involves a community preparing a description of conditions in the targeted area based on
qualitative and quantitative information. To the extent possible, this description should include the
history of prior initiatives by both public and private-sector actors, indicating which were successful,
which were unsuccessful, and which might prove to be helpful but have not yet had much impact.
Because economic development deals with jobs, industries, and tax revenues, communities sometimes
do extensive data collection and analysis before defining their economic development goals. While data
can play a critical role in defining the existing context and challenges for a focus area, extensive data
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collection and analysis in the early phases of developing an economic development strategy might not
be necessary, especially for small communities where detailed data might not exist or be readily
available for the focus area. Kelso had this challenge with collecting employment data in the Talley Way
industrial area. The contractor team's interviews with staff from the city of Kelso and CWCOG revealed a
wealth of useful information about businesses and changing conditions in the Talley Way area. EPA
combined this information with data that had been collected for other purposes to create a document
that described the economic context for the current project.
C. SETTING GOALS
Another step in creating an effective smart growth economic development strategy is identifying clear
goals connected to specific conditions in the focus area. These goals should be aspirational but
achievable. For example, Kelso's downtown is separated from the Cowlitz River by a levee with active
freight rail tracks running along its top. Both the levee and the rail tracks are major barriers to
connecting downtown to the river. While the community would like a direct connection between
downtown and the river, it is probably an unrealistic goal in the short term because the railroad has
extensive safety requirements for crossings that would make the crossing cost prohibitive. However, the
community identified several goals for downtown that are clearly achievable (see Chapter IV) and would
likely be more productive for the city to focus on.
The list of potential goals below is not comprehensive; cities will probably need to either refine these
goals based on local conditions or develop their own, more specific goals. The goals are divided into
three categories—supporting businesses, supporting workers, and supporting quality of life—based on
the framework for smart growth economic development. Appendix B includes a table listing these goals
with a data indicator for each that can help the city track its progress toward achieving that goal and a
target direction (i.e., the direction the indicator should move to signify progress). The table also lists
potential data sources for each indicator and links to those sources where available. Appendix C lists
policy tools and actions that can help achieve these goals. Following each goal is a list of the
corresponding policy tools and actions from Appendix C.
1. Supporting Businesses
Goals in this section are intended to help local businesses grow and attract new businesses. Actions to
meet these goals can help businesses create jobs, encourage entrepreneurship, enhance fiscal
sustainability by expanding and diversifying the tax base, and improve quality of life with new services
and amenities.
Cl. Retain existing businesses
Existing businesses are the foundation of any economic growth strategy. By building on what
already exists, cities can support current businesses and create a strong foundation on which to
attract new businesses, residents, and employment. To tailor this goal to the local context, a city
could interview local business owners to learn about their challenges and explore how an economic
development strategy could best support their long-term success. Supporting existing businesses
could include actions like adding or improving infrastructure or encouraging new or redeveloped
housing that would better meet the needs of workers who do not currently live in the community.
Other actions to improve the downtown like streetscape improvements, making biking and walking
more enjoyable and safe, and planning activities that bring people downtown, can help retain
10
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existing businesses by broadening their customer base. (See policies 4, 12, 13, 17, 18, 19, 20, 21, 23,
24, 25, 31, and 34 in Appendix C.)
G2. Attract new businesses
Attracting new businesses—particularly in high-priority industries—could help increase local
employment options and build the city's tax base. Attracting new businesses is often most effective
when the effort is tailored to the industries that are best suited to a community's assets and
opportunities and can provide high-quality employment options for local residents or other services
and amenities desired by the community. For example, the city of Kelso might want to nurture
specialized manufacturing businesses because the jobs they provide often have higher wages and
are more stable. This sector might be a good match for South Kelso because the neighborhood is
close to the ports of Longview and Kalama, the Interstate 5 corridor, and the area's existing
industrial building stock. At the same time, the city might also seek to attract more grocery and
drugstores to ensure that local residents have easy access to fresh food, medicine, and other basic
necessities. (See policies 4, 12, 17, 18, 19, 20, 22, 23, 24, 25, and 31 in Appendix C.)
G3. Promote entrepreneurship
Encouraging entrepreneurs to start businesses gives people power over their own lives and lets
them build wealth in their own communities. Business owners who also live in the community tend
to spend more on local business services and keep more of their earnings in the local economy. They
also have a vested interest in the community and are less likely to move elsewhere in response to
incentives offered by other cities. (See policies 4, 12, 17, and 30 in Appendix C.)
G4. Encourage business growth in inflll locations
In addition to encouraging expansion of existing businesses and attracting new businesses, the
community can consider where businesses locate within the community. Encouraging business
growth in specific locations, such as historic downtowns or other core activity centers, can help
improve the overall quality of life for existing and future residents, workers, and visitors. This
improved quality of life also translates into a competitive advantage for local businesses and is
critical for strengthening the local economy. (See policies 1, 2, 3, 4, 12, 17, 22, 23, 24, 25, 41, and 49
in Appendix C.)
2. Supporting Workers
Ensuring that local residents have access to employment and the right education and skills to compete
successfully is integral to any economic development strategy. Goals in this section address increasing
access to jobs and workforce development, including K-12 to advanced and continuing education.
G5. Improve access to local employment opportunities
Improving access to employment opportunities entails bringing more jobs closer to residents or
increasing access through transportation investments in better bike, pedestrian, and public
transportation facilities. This goal might include improving the local jobs-housing balance, but it
should also aim to increase access to regional employment centers. Encouraging businesses to
locate near public transportation and developing better public transportation service, including local
circulators and/or rideshare programs, would expand commute options for local workers. (See
policies 12, 30, 31, 32, 44, 45, and 46 in Appendix C.)
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G6. Increase access to advanced education, workforce development, and job training
opportunities
Providing workers with an opportunity to educate themselves and train for more skilled jobs helps
them compete for jobs in the community now and in the future. A workforce with the right mix of
skills and education is an important asset for attracting new industries. Offering local residents the
opportunity to gain skills for a wider range of jobs can also reduce the need for residents to
commute long distances to find appropriate employment, thereby improving quality of life for
workers and reducing traffic congestion and air pollution. To tailor this goal to local conditions, city
staff would need to know the education and skill levels of their local workforce and the skills that
potential growth industries need. This analysis might result in goals tailored to different industries
and types of advanced education and workforce training, including community and four-year
colleges and job training programs that teach both job-specific technical skills and soft skills such as
communication, teamwork, and time management. Local educational institutions and job training
centers can be key partners in achieving these goals. (See policies 12, 14, 30, and 31 in Appendix C.)
G7. Improve the quality ofK-12 education
The foundation of a good education begins at a young age; therefore, having a high-quality public
school district is an important component to building a skilled workforce. Specific goals could also be
set to ensure that students receive appropriate training, such as establishing science, technology,
engineering, and math (STEM) programs, which help young people compete for jobs and advanced
education in fields that use these skills. K-12 institutions might also include resume-writing,
internships, and computer classes as part of the curriculum. In addition to preparing local youth for
success, a high-performing school district attracts young families and the businesses that want to
employ them. Good schools could, therefore, help catalyze reinvestment in existing
neighborhoods.14 (See policies 9 and 12 in Appendix C.)
3. Supporting Quality of Life
This section focuses on improving quality of life and the environment, with the goal of helping
communities compete for new economic growth and better serve residents, businesses, and visitors.
G8. Promote a vibrant downtown or commercial district
A vibrant downtown or commercial district can be a local entertainment and retail destination and a
center for community activities and civic life. If successful, these supporting activities can also lead
to downtown property contributing more to the city's tax base. Revitalizing a struggling downtown
or commercial district can be challenging, especially if broader national and regional trends do not
support local retail growth. Achieving this goal often requires ongoing collaboration between civic
leaders, business owners, and residents, as well as public infrastructure investments. Meaningful
results can take time. However, mixed-use, downtown areas, even in very small communities,
typically contribute the highest property tax revenue per acre of any area in a community, even
14 For information on why and how communities can employ smart growth planning principles to build schools that better serve
and support students, staff, parents, and the entire community, see EPA. Schools for Successful Communities: An Element of
Smart Growth. 2004. http://www2.epa.gov/smart-growth/schools-successful-communities-element-smart-growth.
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before revitalization, making downtown revitalization a worthwhile investment for any community's
fiscal health.15 (See policies 1, 2, 3, 4,1, 8, 12, 13, 24, 26, 42, 43, 44, and 49 in Appendix C.)
G9. Attract stores and services for daily needs to downtowns and residential neighborhoods
Easy access to needed goods and services—in a downtown or in residential neighborhoods—is
important for a high quality of life. This goal focuses on retail and services for daily needs—such as
nutritious foods, medicine, and other essential items—rather than on nonessentials and luxury
goods. Communities could include this goal in their economic development strategy for
neighborhoods without an easily accessible grocery or drugstore. (See policies 1, 2, 3, 12, 16, 36, 43,
44, 46, 47, 48, and 50 in Appendix C.)
Gl 0. Ensure a wide range of housing types that are affordable to different income levels
High-quality, centrally located residential neighborhoods with homes appropriate for a range of
income levels and family types make it possible for people to live near their jobs and let residents
stay in the same neighborhood even if their income or lifestyle changes. If a city does not have
enough appealing neighborhoods, it might not attract workers and businesses. At the same time, if
lower-income residents cannot afford homes, they might be forced to leave the city, removing
workers and customers from the local economy. A mix of different housing types (e.g., rental and for
sale, multifamily and detached, and large and small) can accommodate people in different life
phases, from starting out in the workforce to raising a family to retiring. (See policies 1, 2, 3, 7, 11,
12, 15, 27, 28, 29, 33, and 37 in Appendix C.)
Gil. Increase access to open space, parks, and recreation
Open space, parks, and recreation are important to residents' physical and mental health. Trails,
paths, and on-street bike routes that connect neighborhoods to employment centers could improve
access to jobs and reduce driving as workers are more likely to walk or bike to work if it is safe and
convenient. Open Space and public gathering spaces, including playgrounds and parks, can raise
property values in residential areas1S and could attract new residents and workers. A community
could tailor this goal to specify improving existing open space or establishing new open spaces,
based on the current location and condition of its public spaces. (See policies 1, 5, 12, 35, 38, 44, and
46 in Appendix C.)
G12. Preserve natural space in the city and surrounding region
Preserving natural areas in the city and surrounding region provides important recreational,
ecological, and economic benefits that enhance quality of life. These areas might be a natural buffer
along a river that keeps pollution out of the water and absorbs flood waters, a park that attracts
residents and tourists, or a field where children can play. Encouraging growth in infill locations and
on already-developed sites helps reduce the pressure to develop these natural areas, making it
easier to protect them. The community could examine projected climate change impacts for its
region to determine the boundaries of land it might want to preserve to help protect against future
floods, wildfires, and other natural hazards. (See policies 1, 5, 12, and 38 in Appendix C.)
15 Minicozzi, Joseph. "The Smart Math of Mixed-Use Development." Planetizen. Jan. 23, 2012. http://www.planetizen.com/
node/53922.
16 Shoup, Lily and Reid Ewing. The Economic Benefits of Open Space, Recreation Facilities and Walkable Community Design.
Active Living Research. 2010. http://activelivingresearch.org/node/12477.
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G13. Improve walking and biking facilities
Improved infrastructure for walking and biking provides numerous benefits for residents, workers,
and visitors. Sidewalks, bike lanes, and paths make walking and biking safer and more appealing,
encouraging more people to try it. Traveling to work, school, or stores on foot or by bike lets people
work physical activity into their daily routines, which can improve their physical and mental health.
Creating more transportation options makes it easier for workers to get to more jobs and lets
people choose not to drive, which reduces congestion and pollution. From a business standpoint,
many neighborhood-oriented retail and service establishments also see increased sales when access
by bike or on foot is improved.17 (See policies 1, 2, 3, 12, 44, 46, and 47 in Appendix C.)
G14. Maintain character and distinctive community assets
During transitional periods, it is important for a community to maintain the places and institutions
that make it special, such as religious institutions, public art, museums, natural landscapes,
gathering places, and historic buildings. These places, along with attractive streetscapes and
storefronts, contribute to a sense of place and neighborhood identity, which help retain existing
residents and could attract new residents and businesses. (See policies 1, 10, 12, 15, 27, and 38 in
Appendix C.)
G15. Allow a mix of land uses in appropriate locations
Districts with homes, stores and services, civic places, and other land uses put residents closer to
jobs and their daily needs, allowing them to walk, bike, or drive shorter distances. This convenience
is particularly important for people who do not have cars. The varied uses create lively
neighborhoods with a sense of place. Adjusting zoning codes to allow mixed-use districts is often a
critical first step in developing these areas. (See policies 1, 2, 3, and 12 in Appendix C.)
G16. Ensure compatibility of adjacent land uses
Organic growth sometimes results in incompatible land uses close to one another. For example,
homes might be interspersed with industrial uses or too close to a freeway, which could put
residents' health at risk. Residential complaints could create an inhospitable environment for local
businesses, which might relocate. If an evaluation of current land uses suggests the presence of such
issues, city staff might want to establish a goal to work with residents and businesses to address
concerns or to update zoning codes to prevent new development from creating similar problems.
(See policies 1, 12, and 40 in Appendix C.)
Gl 7. Prepare for climate change
Many communities are already experiencing effects of climate change. Depending on the region,
impacts might include more severe storms, higher temperatures, more flooding, extended drought,
and rising sea levels. Communities that understand the current and projected impacts of climate
change can plan their economic development to protect their residents, businesses, and
infrastructure from harm and take advantage of new opportunities that climate change might bring.
Because climate change affects every aspect of a community, planning for climate impacts should be
incorporated into economic development, land use, transportation, housing, and other plans. If a
community can show it has considered how the changing climate affects its economy and is
17 Leinberger, Christopher B., and Mariela Alfonzo. Walk this Way: The Economic Promise of Walkable Places in Metropolitan
Washington, D.C. Brookings Institution. 2012. http://www.brookings.edu/research/papers/2012/05/25-walkable-places-
leinberger.
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preparing for and adapting to these changes, it could be more attractive to businesses looking for
long-term security and stability. (See policies 6, 12, 38, and 39 in Appendix C.)
D. IDENTIFYING EXISTING ASSETS AND BARRIERS
A smart growth economic development strategy should reflect an area's existing assets and the barriers
that impede achieving community goals. Identifying barriers to meeting a goal is an important step
because implementation tools and resources are generally more effective when they are selected to
overcome a specific obstacle rather than achieve a broad goal. For example, if a city has the goal of
making its downtown more vibrant, the potential barriers to meeting this goal are diverse, including:
• Outdated and undersized retail space.
• A lack of nearby residents to support retail demand.
• Absentee property owners uninterested in investing in downtown buildings.
• A lack of wayfinding.
• A need for additional or more convenient parking.
Each of these barriers would need different tools to achieve the goal of a vibrant downtown. For
instance, a facade improvement program is unlikely to help significantly if the major problem is the lack
of nearby residents to support existing businesses. Working sessions at the Kelso site visit helped the
community identify specific barriers impeding progress in each of the subareas of focus (see Chapter IV).
E. SELECTING THE RIGHT TOOLS
Tools will be most effective when linked to specific barriers. Sometimes more than one tool can help
achieve a particular goal. This section explores policy tools and actions that communities could include
as part of a smart growth economic development strategy. It includes conventional economic
development tools and tools that might not typically be considered part of an economic development
strategy—such as transportation options or infill development—that support economic development.
The more conventional tools, such as streamlined permitting processes or business improvement
districts, could be applied through a "smart growth filter," that is, to encourage economic development
in places that cities have identified for growth, such as downtowns and infill areas.
Policy tools and actions often support multiple goals across the three components of a smart growth
economic development strategy. A particular tool might support workers, support businesses, and
improve quality of life. The policy tools and actions are, therefore, broken into eight cross-cutting
topical areas:
1. Land use policy.
2. Partnership building.
3. Business development and entrepreneurship.
4. Workforce development and employment.
5. Health and environment.
6. Brownfield and infill redevelopment.
7. Transportation.
8. Infrastructure financing.
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Appendix C describes specific tools and actions in each category, including an entity that could be a good
choice to lead implementation, links to more information if available, and the smart growth economic
development goals from Chapter III.C that the tool or action could help achieve.
1. Land Use Policy
Land use policies could help shape development patterns to help the community get the type of
development it wants in the appropriate location. These policies would have the greatest impact in
places where current zoning practices, development standards, and/or building codes make greenfield
development easier and cheaper than infill, redevelopment, or mixed use. Zoning that is flexible enough
to react to changing market conditions helps a community's economy weather downturns and take
advantage of opportunities.1S
2. Partnership Building
Because smart growth economic development encompasses many issues, municipal governments often
look for partners from the public, private, and nonprofit sectors to help achieve community goals. For
example, some cities and school districts team up to better prepare high school students to enter the
workforce. In other cases, city staff might simply convene groups to address a specific challenge. In
Kelso, the city does not run its own housing programs, but poor housing conditions pose a major
challenge for the South Kelso residential community. City staff could convene partners such as local
nonprofit housing developers, CWCOG, and others to form a cohesive approach to improving housing
even if an entity other than the city would implement the solutions.
3. Business Development and Entrepreneurship
These policy tools and actions are designed to help existing businesses expand and encourage new
businesses. Most of these tools are most effective when targeted to specific, high-priority industries or
locations identified for revitalization and investment such as a downtown. City staff can implement
some of the tools and actions, such as the streamlined permit applications and approvals. Others, such
as promoting local hiring, would require city staff to facilitate connections between local businesses and
other organizations.19
18 For information about local zoning codes that can address the most common barriers local governments face in
implementing smart growth strategies, see EPA. "Essential Smart Growth Fixes for Communities."
http://www.epa.gov/smartgrowth/essential fixes.htm. Accessed Feb. 3, 2014.
19 The National League of Cities has compiled strategies for local governments to help small businesses and entrepreneurs in
two reports: National League of Cities. Supporting Entrepreneurs and Small Businesses: A Tool Kit for Local Leaders. 2012.
http://www.nlc.org/find-citv-solutions/city-solutions-and-applied-research/economic-development/small-business-and-
entrepreneurship/supporting-entrepreneurs-and-small-business; National League of Cities. Big Ideas for Small Business Report.
2014. http://www.nlc.org/find-citv-solutions/city-solutions-and-applied-research/economic-development/small-business-and-
entrepreneurship/big-ideas-for-small-business.
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4. Workforce Development and Employment
Workforce development and employment tools can help give all residents the opportunity to benefit
from economic development. These policy tools and actions can improve job training and employment
opportunities for local residents. These types of strategies are most appropriate in places where lack of
education and job training are barriers to economic development and are particularly important for
transitioning economies such as Kelso's, in which the education and skills needed to obtain local jobs are
changing rapidly.20
5. Health and Environment
Smart growth economic development strategies recognize the value of a good quality of life and a
strong sense of place. Some are aimed at enhancing quality of life by increasing access to open space or
improving street design to encourage walking, biking, and outdoor recreation. Others help communities
ensure that they have high-quality homes affordable to a range of income levels. For example, a green
building program can encourage healthier and more resource-efficient models of construction,
renovation, operation, maintenance, and demolition to achieve multiple environmental, economic, and
social benefits.21 By improving quality of life, these actions create places that help residents and
businesses stay physically and economically healthy and provide a competitive advantage in attracting
new residents and businesses.
6. Brownfield and Infill Redevelopment
Infill development, especially when it involves the assessment and cleanup of any environmental
contamination, also can encourage reinvestment in nearby properties. However, infill development can
be challenging for many reasons, including small parcel sizes and possible environmental contamination.
Even the perception or possibility of contamination can discourage redevelopment because of unknown
costs and additional time that could be required for cleanup.22 Some of these policy tools and actions
can help with the assessment, remediation, and redevelopment of brownfield sites. Others can provide
incentives for redevelopment on other types of infill sites.23
7. Transportation
A well-connected, safe, and reliable transportation network that integrates driving, walking, biking, and
public transit has many economic development benefits. It connects workers to jobs; lets people who
cannot or choose not to drive get to stores, services, and amenities; and disperses users across several
modes and routes, which can reduce traffic congestion. These policies can give people more options for
getting around a neighborhood and the larger region. Infrastructure improvements could make walking
and biking safer and more appealing, which could reduce people's transportation costs and leave them
more money to spend in the community.
20 For more ideas beyond those included here on how local governments could support workforce development, see National
League of Cities. Municipal Action Guide: Workforce Development for Economic Competitiveness. 2010. http://www.nlc.org/
Documents/Find%20Citv%20Solutions/Research%20lnnovation/Economic%20Development/workforce-development-
economic-competiveness-gid-10.pdf.
21 EPA. "Why Build Green?" http://www.epa.gov/greenbuilding/pubs/whybuild.htm. Accessed Feb. 2, 2015.
22 EPA. Smart Growth and Economic Success: Investing in Infill Development. 2014. http://www2.epa.gov/smart-growth/smart-
growth-and-economic-success-investing-inf ill-development.
23 For information on developing an area-wide plan and implementation strategy for key brownfield sites, which will help
inform the assessment, cleanup, and reuse of brownfields properties and promote area-wide revitalization, see EPA.
"Brownfields Area-Wide Planning Program." http://www.epa.gov/brownfields/areawide grants.htm.
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8. Infrastructure Financing
Infrastructure improvement and maintenance are important for attracting private investment in
redevelopment, but paying for infrastructure can be challenging for cities as resources for infrastructure
financing dwindle. These tools are most applicable in communities where infrastructure problems are a
major barrier to economic development, but local funding for capital improvements is scarce. For
example, some historic downtowns have outdated utilities, crumbling sidewalks, and streets filled with
potholes. To bring businesses and residents back downtown, investments are needed to update utilities
and repair streets and sidewalks.24
24 For a more comprehensive overview of infrastructure financing tools and mechanisms, see EPA. Infrastructure Financing
Options for Transit-Oriented Development. 2013. http://www.epa.gov/smartgrowth/infra financing.htm.
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IV. PREPARING A SMART GROWTH ECONOMIC DEVELOPMENT
STRATEGY: KELSO, WASHINGTON, CASE STUDY
Kelso, Washington, served as a case study for the process of developing a smart growth economic
development strategy. The strategy reflects the discussions that occurred during the conractor team's
three-day site visit to Kelso. It includes policy options and actions that could help the city strengthen its
economy and protect its environment as a result of taking a smart growth approach to economic
development. The strategy covers three areas:
A. Downtown Kelso.
B. The South Kelso residential community.
C. The Talley Way industrial area.
A. DOWNTOWN KELSO
1. Defining the Context
Like many historic downtowns, Kelso's downtown was once a thriving business district with shops,
restaurants, bars, offices, and residences in the upper stories of some buildings. The old highway (U.S.
Route 99, now South Pacific Avenue) ran
right through the middle of this business
district so that local, regional, and even
interstate traffic had to pass all of those
businesses. Overtime, changing retail
trends and major transportation
investments that redirected traffic have
left Kelso's downtown disinvested and
without a central role in the local
community. Interstate 5, rather than
Pacific Avenue, now carries most of the
interregional north-south traffic through
Kelso, and a mall on Interstate 5 meets
the region's major shopping needs.
Along with losing its role as a major
destination, downtown Kelso has several
physical challenges. It is on the Cowlitz
River, but the river is separated from the
community by a high levee with a major
freight rail line running on top. A
pedestrian crossing would be expensive
because of required safety measures, Exhjbjt 4 Downtown Ke,sa
and the railroad would retain the right to Sources: Aerial imagery provided by the City of Kelso, 2015; U.S.
unilaterally close the crossing, making Census TtGER Line Data' 2013: http://www.census.gov/cqi-
, , . . . .. . bin/geo/shapefiles2013/main; Subarea based on Kelso Future Land
such an investment risky. In addition, Use Map/ city of Kels0f 2014; strategic EconomicSf 2015,
Three
Rivers
Mall
South Kelso
Residential Community
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Exhibit 5. Downtown Kelso. Pacific Avenue in downtown Kelso has a variety of businesses on a stretch from Oak Street to
Ash Street (left). The area is bisected by the new Allen Street Bridge (right).
Photos courtesy of Strategic Economics
Allen Street, a major east-west road connecting Interstate 5 to the communities west of Kelso, also runs
right through downtown to one of the few bridges that cross the Cowlitz River. However, when the
bridge was rebuilt several years ago, the new design blocked through traffic on several downtown
streets, and the new road configuration makes it difficult for drivers unfamiliar with Kelso to understand
how to get into the main part of downtown from Allen Street.
Despite these challenges, downtown Kelso has several successful businesses and has seen some
reinvestment in historic buildings. In 2008, downtown business and property owners formed the Kelso
Downtown Revitalization Association (KDRA). In addition, when Kelso needed a new city hall, it kept its
city hall in downtown, partially reusing a historic bank building. Many state, county, and regional
agencies also have offices in the downtown area.
Individual business and property owners, KDRA, and the city have all worked in various ways, either
together or separately, to try to revitalize downtown. However, during the site visit, the contractor team
heard that these efforts are not making much difference. Workshop participants said that downtown is
not living up to its potential, and while people have many ideas about what should be done, there is no
clear plan or strong leadership to execute these ideas. To compound the problem, KDRA members have
differing priorities and therefore tend to do very few things as a group.
2. Setting Goals
The main goal that emerged from the workshop discussions was to make downtown Kelso a destination
and boost the number of visitors by:
• Adding shops and restaurants.
• Having more year-round events and activities.
• Making downtown attractive and a pleasant place to walk.
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3. Identifying Existing Assets and Barriers
Assets: New businesses are moving to downtown and several blocks are beginning to develop a critical
mass. For example, the block of South Pacific Avenue between Ash and Pine streets has a group of
businesses on the east side, including a bookstore, bait and tackle store, quilt shop, and pet grooming
store, while on the west side is the Grounds for Opportunity restaurant. Some Kelso businesses have
effectively used social media to promote themselves and attract customers from around the region.
Barriers: Workshop participants thought that barriers to downtown's growth included:
• Rundown or vacant buildings and lots. Signs for some operating businesses are small and hard
to read or do not describe the available goods and services, so someone new to the downtown
might not know what is offered. The city has a facade improvement program to help small
businesses, but few merchants have taken advantage of it.
• Lack of communication and coordination among parties with similar interests. For example,
participants said that existing businesses do not generally coordinate with each other or KDRA
to establish common operating hours, host joint events, or time activities and sales to maximize
downtown traffic.
• The Allen Street Bridge, which takes vehicles crossing the Cowlitz River over Pacific Avenue, the
city's downtown main street. In addition, poor signage makes it confusing for drivers to know
how to get downtown from Allen Street.
• The lack of access to the river, particularly for pedestrians, cutting off visitors from a significant
natural amenity.
4. Selecting the Right Tools
Community members had many suggestions for improving downtown, but as they discussed specific
assets and barriers, a clearer, more focused list of tools emerged that could best help the community
achieve its goal of making downtown a destination that attracts residents and visitors year round. For
example, participants agreed that some problems, such as the Allen Street Bridge and lack of river
access, were very long-term issues without simple solutions and that economic development efforts
could be better spent on easier, short-term tools that could lay the groundwork for revitalization. Many
of the suggestions are relatively low-cost public investments that could reap outsize rewards by private
investment in downtown businesses and buildings. Exhibit 6 discusses how Scotland Neck, North
Carolina, helped revitalize its downtown after facing challenges similar to Kelso's.
Tool 1: Keep a calendar of events. To overcome communication and coordination issues, participants
discussed creating a unified calendar of events where all merchants and visitors could see what was
happening in the area. The community saw this tool as an opportunity to increase collaboration among
KDRA, the Chamber of Commerce, and the city. Creating one place where business owners, residents,
and visitors could see the happenings in downtown would be a first step to energize the commercial
core. The city could create the calendar and then hand it off to the Chamber of Commerce or KDRA,
which could identify a staff member to become the single point of contact for businesses to post
upcoming events. A calendar would let businesses know when events might bring people downtown so
they could plan their operating hours and events accordingly. The calendar would need to be easy to
find and updated frequently to give people confidence in its accuracy.
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Tool 2: Create and maintain a better website for downtown. Creating a downtown-specific website
could help businesses reach more potential customers. The Chamber of Commerce or KDRA could lead
this task. The calendar of events could be on this website so that people could easily find all relevant
information about the downtown. Mount Vernon, another small town in Washington working to bring
more people to its downtown, has a website that could be a model for Kelso.2S
Tool 3: Install a sign on Allen Street
alerting westbound traffic that cars
heading downtown should stay in the
right-hand lane. The city could make it
easier for visitors to find downtown by
creating a free-standing sign or
painting one on the side of a building
that lets travelers know to keep right
before the Allen Street Bridge. The city
could take the lead on this task,
collaborating with the Washington
state Department of Transportation to
find a suitable location. While the city
has a plan to complete a more
comprehensive wayfinding strategy
for the downtown, money for this
work will not be available for a year or
so. This sign would be an interim step
to remedy the most pressing problem.
Tool 4: Direct facade improvement
program funds to the buildings and
businesses on South Pacific between
Ash and Oak. Defining a smaller area
for facade restoration and improved
signage could increase the impact of
the city's limited funds by creating a concentration of attractive storefronts that could attract additional
private investment. These three blocks are the entrance to downtown, whether one is coming from
Allen Street or the Amtrak station. Several successful businesses already operate in this stretch, and
improving the appearance could entice other shops to open. Collaboration among property owners,
KDRA, and the city would help tailor the program to meet businesses' needs so it can be more
successful. The city could facilitate a discussion between property owners and KDRA, providing the
venue for meetings and explaining the legal boundaries of the program. KDRA and property owners
could work towards identifying why the program has not been widely used to date and what could be
changed to encourage more investment in the downtown building stock.
Exhibit 6. Scotland Neck, North Carolina
Scotland Neck is a small town located in eastern North
Carolina, just south of the Roanoke River, with an
economy based on agriculture and manufacturing. After a
major employer left, the town determined that due to its
limited financial resources, it would have to rely on its
residents to promote economic development. This led to
the creation of the Developing Our Own Resources
(DOOR) Initiative that had three main goals: attract
tourists, support small businesses and downtown
merchants, and recruit industry. The town set out to take
advantage of its existing assets such as the historic
downtown building stock. Residents helped fund a facade
improvement program for downtown businesses through
the Round Up program, with residents being given the
option to "round up" their utility bill to the next dollar.
Though individual donations are small, the large base of
contributors has enabled the town to raise more than
$10,000 for the program. The improved appearance of
the building stock has helped lead to several new
businesses opening downtown. For more information on
Scotland Neck, see Appendix C.
25 Mount Vernon Downtown Association. "Welcome to Downtown Mount Vernon." http://www.mountvernondowntown.org.
Accessed Mar. 12, 2014.
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Tool 5: Start evaluating the potential for bringing the library back downtown when its lease ends at
Three Rivers Mall. The library generates a lot of daytime foot traffic for surrounding businesses, and its
relocation from downtown to the Three Rivers Mall has reduced the number of downtown visitors. The
library has a long-term lease at the Three Rivers Mall, so the city would not need to evaluate sites for
relocating the library to downtown for several more years. Market conditions can change dramatically
over the lease's remaining years, which would affect the terms of a new lease at the mall and the
availability of downtown space. When the city approaches the final years of the lease, it could evaluate:
• The impact of the library on foot traffic at the mall and its potential impact downtown.
• The cost-effectiveness of signing a new lease at the mall compared to constructing or
remodeling a building downtown.
• The feasibility and potential impact of opening a smaller branch of the library somewhere in
the downtown.
The city would need an extensive public involvement process to explore any change in the library's
location.
Other ideas the community could pursue either in the future or in addition to the tools listed above:
• Work with property owners to clean up vacant lots, find temporary uses for vacant buildings,
and/or install displays in empty
storefronts.
• Create a comprehensive signage
program for downtown.
• Implement traffic-calming
measures on South Pacific from
B.
Ash to Oak.
SOUTH KELSO RESIDENTIAL
COMMUNITY
1. Defining the Context
The South Kelso residential community
starts just south of downtown and
borders unincorporated Cowlitz County
land to the south. On the west, the
community is bounded by the Cowlitz
River, but it is separated from the river by
a levee and train tracks. On the
community's east side is the Three Rivers
Mall, Coweeman River, and city's light
industrial area located along 13th Avenue.
Most of the neighborhood is organized
on a grid of streets lined with small,
wood-frame houses. The major
Exhibit 7. South Kelso residential community.
Sources: Aerial imagery provided by the City of Kelso, 2015; U.S.
Census TIGER Line Data, 2013: http://www.census.gov/cgi-
bin/geo/shapefiles2013/main; Subarea based on Kelso Future Land
Use Map, City of Kelso, 2014; Strategic Economics, 2015.
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Exhibit 8. South Kelso residential neighborhood. Residents are within walking distance of the nearby Wallace Elementary
School, but many streets do not have sidewalks.
Photos courtesy of Strategic Economics (left) and EPA (right)
community facility in the area is Wallace Elementary School, and there is a small playground, Lad and
Lassies Park. While relatively new, the playground is underused because it is in an area without
sidewalks that is tucked away from public view, and parents are concerned about their children's safety.
South Pacific Avenue, the old north-south highway, has a few commercial buildings extending south
beyond downtown, but for the most part, South Kelso has few stores, especially food stores. The
neighborhood's form varies from street to street based primarily on when the area was developed and
whether it was city or unincorporated county land at the time. Areas that were annexed into the city
from Cowlitz County have lot and house sizes similar to those originally in the city but lack sidewalks,
curbs, and gutters.
Housing in South Kelso was built originally for loggers and other workers associated with the fishing and
wood products industries that supported Kelso in the late 19th and early 20th centuries. They are small by
modern standards and, therefore, less expensive than homes in East Kelso neighborhoods or in other
cities in the region. The households moving into the area tend to have lower incomes and less education
than the neighborhood's longer-term residents. But, even as the number of low-income renter
households has increased, rents for the houses are not necessarily affordable. Workshop participants
noted that many homes have transitioned from owner- to renter-occupied units and suffer from lack of
maintenance and reinvestment. Also, some units are vacant after a foreclosure or a catastrophic event
such as a fire.
A convergence of factors has contributed to what meeting participants agreed is the considerable
decline of the South Kelso neighborhood. Participants identified graffiti, crime, substance abuse, and
unemployment as growing problems.
In 2013, students from Portland State University prepared a South Kelso Revitalization Strategy.26 This
document provides a detailed description of existing conditions in South Kelso, including both
downtown and the residential community, and it suggests multiple strategies for turning around the
26 Portland State University. The South Kelso Revitalization Strategy: Existing Conditions Report. 2013. http://www.cwcog.org/
documents/south kelso revitalization strategy existing conditions report.pdf.
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neighborhood. Since the strategy was completed, the neighborhood has seen some actions that could
help remedy some of its problems:
• The South Kelso Neighborhood Association (SKNA) has been formed. Although the group's role
and identity are still evolving, it has active, committed leaders eager to improve the
neighborhood.
• The Healthy Living Collaborative of Southwest Washington is piloting a program in South Kelso
that will include recruiting and training neighborhood residents to be community health
advocates. These advocates' specific role has not yet been fully defined but will start with
"neighbors getting to know neighbors."
• Wallace Elementary School is one of four schools in Kelso to receive a grant from the U. S.
Department of Education's program for 21st Century Community Learning Centers, enabling
the school to offer more academic enrichment programs for its students outside of regular
school hours.
• The nonprofit organization Pathways 2020 is hosting an AmeriCorps volunteer whose
responsibilities will include creating a community garden in South Kelso.
2. Setting Goals
The primary goal for the South Kelso residential community that emerged from the workshop is to
improve the quality of the existing housing stock through better maintenance and expanded
homeownership. The community's broader objectives are to build greater community pride and
enhance residents' health and well-being.
3. Identifying Existing Assets and Barriers
Assets: Throughout the site visit, it became apparent that one of South Kelso's greatest strengths is
energetic residents. The community already has multiple activities and programs to build on to achieve
its goal of improving housing, including the recent initiatives mentioned above. In addition, the city has
counseling programs for first-time homebuyers, and a variety of regional, state, and federal funding
sources are available to address the various problems associated with disinvestment in South Kelso. The
city is also working on projects to enhance South Kelso, including assembling information to apply for a
Safe Routes to School grant and looking at adding sidewalks, curbs, and gutters where needed.
Barriers: One of the biggest barriers to revitalizing South Kelso is the lack of coordination among entities
currently working in the area. This challenge is further compounded by a lack of coordination with
county and state organizations outside Kelso that could help identify resources and strategies to
renovate houses in South Kelso. In the past, programs to improve the neighborhood housing stock have
had trouble making a significant impact due to the large size of the area and limited funds.
4. Selecting the Right Tools
Because improving the housing stock is a broad and challenging goal, stakeholders concentrated on
smaller steps that could work toward that goal. Exhibit 9 discusses how Lake Worth, Florida, improved
its housing stock in neighborhoods that suffered many of the same challenges as those in South Kelso.
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Tool 1: Convene a meeting to discuss housing goals
for South Kelso and select a target area to address
first. Participants could include SKNA, the city
manager, CWCOG, and other key stakeholders, such
as major property management firms in South Kelso.
The meeting could focus on creating a vision for the
housing stock in South Kelso and selecting a specific
focus area in the neighborhood where intensive
efforts could make a tangible impact.
Tool 2: Prepare a detailed assessment of housing
conditions in South Kelso with a focus on the target
area. The workshop revealed that more information
about the situation in South Kelso would be helpful
to better understand the challenges. Stakeholders
might want to gather information such as:
• Analyzing housing tenure and looking at the
median duration of property ownership and
trends in sales history, such as an increase in
out-of-town buyers.
• Examining how the percent of residents that
own homes has fluctuated over time.
• Identifying landlords of multiple housing units.
• Comparing the costs of owning and renting in South Kelso.
• Determining barriers to homeownership for residents, such as lack of money for a down
payment or poor credit history.
• Identifying properties for the city to acquire and/or demolish.
Tool 3: Support SKNA's graffiti abatement activities. SKNA has already been working to combat graffiti.
The city could continue to help SKNA improve the appearance of the housing stock by organizing various
activities and services such as offering low interest loans for exterior paint jobs, scheduling regular
community clean-up days to do trash and weed abatement, and/or offering special bulk trash pickup
dates for large items like old mattresses. Other initiatives that the city could encourage include working
with the police on crime prevention and abatement and participating in the Healthy Living Collaborative
and the Pathways 2020 community garden initiative.
Tool 4: Explore and, as appropriate, deploy a community code enforcement program for South Kelso.
The neighborhood's greatest strength is its engaged residents. The community could harness that
energy to rectify some of the code compliance issues in the neighborhood through a program that trains
and certifies citizens to become code enforcement officers. SKNA, the city manager, the code
enforcement department, and the police department could work together to create this type of
program. The city of San Diego initiated a neighborhood code compliance reporting program and works
with neighborhood organizations to identify and resolve code compliance issues.27 As part of this
Exhibit 9. Lake Worth, Florida
The city of Lake Worth, in affluent Palm
Beach County, was hit especially hard by the
foreclosure crisis, resulting in a
deterioration of the housing stock and
reduced tax revenues. More than 20
community-based organizations and
businesses worked together to get funding
from HDD's Neighborhood Stabilization
Program to acquire, rehabilitate, or
demolish over 100 homes in two
neighborhoods. The city offered low-income
residents the opportunity to purchase a
home, and declining property values began
to stabilize as new homeowners, who had a
vested interest in maintaining their
properties and improving the neighborhood,
filled vacant, foreclosed homes. For more
information about Lake Worth, see
Appendix D.
' City of San Diego. "How to Report a Violation." http://www.sandiego.gov/nccd/report/. Accessed Mar. 12, 2014.
26
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process, the city created clear guidelines for community members to follow in reporting code
compliance issues and will train community members in how to work with the city's system. In addition,
private consulting groups offer training for all actors in the code compliance arena, including the police
department, existing code enforcement staff, fire department employees, community members, and
property managers. For more information on community code enforcement programs, see Appendix C.
Tool 5: Seek designation from HUD as a Community Revitalization Strategy Area. The city could
work with the Washington Department of Commerce to designate part of South Kelso as a
Community Revitalization Strategy Area. This designation would bring many benefits, including
allowing the city to use Community Development Block Grant (CDBG) money more flexibly for
housing and economic development and to concentrate resources in a particular area so
improvements can make a tangible difference.
Tool 6: Evaluate the potential for a first-time homebuyer program with local employers. The city
and CWCOG could reach out to the city's major employers, such as Foster Farms and ALS
Environmental Laboratories, to gauge their interest in working with the city or other appropriate
entity to establish a first-time homebuyer program for workers in local businesses who purchase a
home in South Kelso. The program would have two main benefits:
• It would create more homeowners with a vested interest in maintaining their property and
neighborhood.
• It would allow even low-wage workers the opportunity to start accumulating wealth.
Other ideas the community could pursue either over time or in addition to the tools listed above:
• CWCOG could find an established, successful neighborhood organization to mentor the
relatively new SKNA.
• The city could prepare a plan for the South Pacific Avenue corridor south of downtown to
create a more pedestrian- and bicycle-friendly road and renovate or demolish some of the
most blighted properties.
• The city could create a business licensing program for residential landlords so the city can
more easily contact them if code violations are found on their properties.
• SKNA could identify and contact absentee landlords about property maintenance and
possible code violations.
• CWCOG could create a fund to buy dilapidated houses that are beyond repair and demolish
them to make way for new construction.
• The city could prepare visualizations of what South Kelso could look like after it has been
revitalized, so that people can see what they are working toward.
• The city could start a landscaping program with a master gardener from Washington State
University's agricultural extension program.
• The Chamber of Commerce could offer financial literacy classes to South Kelso residents,
perhaps as part of the 21st Century Community Learning Centers program at Wallace
Elementary School.
• The city could begin the process of annexing the remaining part of the South Kelso
neighborhood that is presently unincorporated. This area is totally surrounded by the city,
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but the city has no ability to regulate code violations or upgrade infrastructure, so problems
in the unincorporated area tend to spill over into the city's neighborhoods.
• Create a formal community tool-lending library to build on the success of the
neighborhood's informal tool-lending tradition. The city of Berkeley, California has had a
tool lending library since 1979.2S
C. TALLEY WAY INDUSTRIAL AREA
1. Defining the Context
The Talley Way industrial area—South
Kelso's large industrial district, with
13th Avenue/Talley Way as its major
arterial route—has become an
increasingly popular location for a
diverse range of industries, including
food processing, light manufacturing,
and warehousing and distribution.
While land costs in Talley Way tend to
be higher than other comparable
industrial land in the region, the
businesses in the Talley Way area
consider the proximity to Interstate 5
to be a major advantage, both for
moving materials to and from suppliers
and customers and for easy access to a
large labor force.
Neither the city of Kelso nor the Cowlitz
Economic Development Council has
completed a thorough inventory of
businesses in the Talley Way area.
However, representatives from some
of those businesses attended several of
the working sessions and reported that
virtually all of the buildable land in the
area was either built out or under
contract. Businesses are now looking to expand by using their land more efficiently. Many of these
businesses are owned by people who grew up in Kelso and still have strong roots in the community.
These locally owned companies give back to the community by supporting sports facilities in South Kelso
and working with vocational education programs at Lower Columbia College. Although some companies
hire students through informal connections and communications, no formal program links businesses
and the college. Talley Way businesses also participate in the Lower Columbia Transportation
Exhibit 10. Talley Way industrial area.
Sources: Aerial imagery provided by the City of Kelso, 2015; U.S. Census
TIGER Line Data, 2013: http://www. census, gov/cgi-
bin/geo/shapefiles2013/main; Subarea based on Kelso Future Land Use
Map, City of Kelso, 2014; Strategic Economics, 2015.
28 Berkeley Public Library. "Tool Lending Library." https://www.berkeleypubliclibrarv.org/locations/tool-lending-library.
Accessed Feb. 24, 2015.
28
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Association, which wants to expand all transportation systems serving the region, including roads, ports,
rail, and air.
Kelso also hosts the Southwest Washington Regional Airport, which is on the western edge of the Talley
Way industrial area. This airport has been operating since the 1940s, but aircraft operations peaked in
1979 at 93,000 operations. By the late 2000s, the airport had only 41,000 operations.29 However, a 2011
master plan for the facility found that over the next several decades, airport use could increase, which
would require facility improvements, such as a longer runway and more hangars and other supporting
facilities. Uncertainty about the airport expansion complicates planning for the Talley Way area and
parts of the South Kelso residential community.
In 2009, Kelso completed the Talley Way Corridor Transportation Study to guide long-term planning for
the corridor, including roadway and bridge improvements to better accommodate pedestrians and
bicyclists, driveway improvements to improve safety and efficiency for vehicles accessing area
businesses, and stormwater management to address drainage problems and improve water quality.30
These improvements are in the city's 2017-2018 Capital Improvement Plan.
2. Setting Goals
Three key goals emerged for the Talley Way industrial area during the working session:
1. Create a stronger relationship between the Talley Way businesses and the city of Kelso.
2. Create a stronger link between Talley Way businesses and the South Kelso neighborhood so that
more workers in the area could save money on transportation by living in Kelso rather than
commuting from communities as far away as Vancouver.
3. Create more transportation options linking Talley Way to downtown and the South Kelso
residential neighborhood.
29 URS Corporation. Southwest Washington Regional Airport Master Plan Update. City of Kelso. 2011. http://www.southwestwa
regionalairport.com/master%20plan/swwaramasterplan.pdf.
30 City of Kelso. Talley Way Corridor Transportation Study. 2009. http://www.kelso.gov/sites/default/files/docs/approved
final talley way corridor study pdf 7-21-09.pdf.
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Exhibit 11. Talley Way businesses. The Talley Way area is the major jobs center for the city.
Photos courtesy of Strategic Economics
3. Identifying Existing Assets and Barriers
Assets: The Talley Way area is starting to add jobs in occupations that could provide a living wage for
South Kelso residents, many of whom lack advanced degrees. In addition, several business and property
owners in the Talley Way area grew up in Kelso and might take the lead in working more closely with the
city to more strongly link this employment district and residents of the adjacent neighborhood.
Barriers: Kelso has historically seen itself as being too small to engage in its own economic or workforce
development activities and has mostly participated in the Cowlitz Economic Development Council and
Southwest Washington Workforce Development Council. As a result, the city has almost no direct
relationship with the Talley Way business community. While the business community and the city could
work together to improve business conditions in the Talley Way area and create opportunities for South
Kelso residents, there are no precedents for this kind of collaborative relationship, which would likely
require strong leadership and an ongoing commitment to implementation.
4. Selecting the Right Tools
One of the lessons to come out of discussions on Talley Way was that the area was actually doing well
on its own, with many businesses growing and new businesses moving in, despite little city intervention.
Participants suggested that the city could focus on easy-to-implement, low-cost actions. Exhibit 12
discusses how Clinton, Iowa, used a streetscaping project to jumpstart revitalization of an industrial area
of town.
Tool 1: Engage Talley Way businesses through a regularly scheduled event, such as a lunch hosted by
the city manager and city council. The event, hosted monthly, quarterly, or yearly, would let the city
explain what projects are in the works and what plans the city has that might affect local businesses.
Businesses could use the event to let city staff know about any problems they are having, and the city
could work with them to find solutions. Businesses could also network and strengthen ties among
themselves.
Tool 2: Establish an ongoing business visitation program where the city manager and/or other city
officials meet one-on-one with business owners. These visits would be more personal meetings
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between city officials and one business owner at a time to
discuss problems or concerns. This one-on-one approach to
economic development would show that the city supports
local businesses.
Tool 3: Keep track of the businesses in the Talley Way area
through a private data source such as Dun and Bradstreet
or InfoUSA. Private data sources track the movement of
companies annually. The city could use this information to
track what types of businesses are moving into and out of
the area. This knowledge would keep the city better in tune
with larger economic forces and help it make appropriate
adjustments to its economic development strategy.
Tool 4: Explore establishing a local improvement district to
fund small infrastructure improvements in Talley Way. A
local improvement district would levy a fee on businesses in
Talley Way that would fund improvements that the city
might not be able to afford, such as sidewalks, a bike route
connecting employers with the South Kelso residential
neighborhood, and/or signs welcoming visitors to the area.
Improving the area's appearance could improve property
values and the reputations of area firms.
Tool 5: Establish a first-time homebuyers program in South
Kelso for Talley Way employees. A program to encourage
employees to remain in Kelso could increase homeownership
in the neighborhood and increase the number of employees
who live in the city. The program could also allow employees
to invest in the community where they work and help
improve the housing stock.
D. TAKEAWAYS FOR SOUTH KELSO
Five themes emerged from the working sessions that apply
to South Kelso as a whole:
Exhibit 12. Clinton, Iowa
Clinton, Iowa, a small city on the
Mississippi River, has a large
concentration of industrial
businesses. When the city began to
upgrade the historic Lincoln
Highway, it focused on a 1.8-mile
stretch of highway and the
surrounding 220 acres of land. This
neighborhood, Liberty Square, had
heavy industrial properties next to
residential areas, which threatened
residents' health. As part of the
redesign process, the city wanted to
help local businesses and protect
residents' health. The city worked
with the Iowa Department of
Transportation to create a road and
trails that would stitch together
some of the neighborhood that had
been torn apart by the highway.
With funding from EPA's Brownfield
Program, the city cleaned up sites
and developed the Liberty Square
Comprehensive Plan. The city used
the EPA funds to gain additional
funds from HUD and Iowa state
agencies. With the additional funds,
the city improved its transportation
network and set the groundwork for
smart growth economic
development. See Appendix D for
more information on Clinton's
efforts.
1. Kelso has a lot of activity that could support the city's
economic development, but many of these efforts
are not widely publicized or well coordinated.
2. The community needs constructive partnerships more than financial support.
3. The challenges seem daunting to take on, but tackling them through small steps is more
manageable.
4. There are funded programs to promote economic development, but they could be better
tailored to Kelso's problems.
5. Tackling the hardest problem first can be discouraging. Demonstrating success on smaller
problems can build enthusiasm and momentum.
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E. PREPARING FOR CLIMATE CHANGE
The northwest United States is home to many diverse climates due in part to the Pacific Ocean and the
Cascade Mountains. Places west of the Cascades, like Kelso, experience moderate temperatures
throughout the year due to cool ocean temperatures, with high rainfall totals, measurable precipitation
falling on nearly 50 percent of days in the year, and few severe storms.31 However, climate change is
altering many of these weather patterns. The city of Kelso was planned and built based on historical
climate trends that are no longer reliable predictors of future climate conditions. Learning about and
preparing for projected climate change impacts can help ensure that Kelso's revitalization is not derailed
by the changing climate.32
1. Potential Impacts of Climate Change for Kelso
Because Kelso is on the Columbia, Cowlitz, and Coweeman rivers, sea level rise will have significant
impacts due to their proximity to the Pacific Ocean. While the Columbia River is estimated to rise about
1 foot per 100 years, the greatest threat to Kelso is flooding along the Coweeman River, in the eastern
portion of the city.33 With rising water levels, these areas would be at greater risk of flooding during
high tide and/or severe rainstorms. If sea levels rise 3 feet, as projected in 300 years, some spots along
the Coweeman River would be underwater during high tides. Talley Way and the area around the
Interstate 5 and State Route 432 interchange are most at risk, but Three Rivers Mall and the eastern
portion of the South Kelso residential community will be significantly affected as well. Due to climate
change, Kelso could experience greater seasonal variability in weather events. While overall
precipitation levels are projected to remain roughly the same, winters are likely to be wetter and
summers drier. By 2070, there would be 12 more days in the winter that it rains or snows more than 0.3
millimeters.34 Combined with rising river levels, Kelso would have more areas at risk of flooding, which
could mean more property damage, more lives in danger, and disruptions to the local economy. In
addition, more days with rain could increase the occurrences of mudslides.
Kelso is likely to have more days in summer without rain, resulting in drier conditions and increased risk
of wildfires. By 2070, the city is projected to receive 5 to 10 percent less rainfall during summer than it
currently does.35 The city could look to other communities in the West to better understand how to
protect itself from wildfires.
Kelso is not projected to experience much change in the number of extreme cold or heat days, those
with temperatures below 10 degrees or above 95 degrees Fahrenheit, due to the moderating effect of
the Pacific Ocean.36
2. Preparing for Climate Change through Smart Growth Economic Development
Implementing a smart growth economic development strategy could help the city prepare for some of
the challenges it is likely to face. The biggest climate change-related threat to Kelso is increased risk of
flooding. Kelso has already built a levee to protect itself from flooding from the Cowlitz River, but it
31 NOAA. Regional Climate Trends and Scenarios for the U.S. National Climate Assessment: Climate of the Northwest U.S. 2013.
32 For resources to help communities become more resilient to climate change impacts, see the U.S. Climate Resilience Toolkit
at http://toolkit.climate.gov.
33 NOAA. "Sea Level Rise and Coastal Flooding Impacts." http://coast.noaa.gov/slr/. Accessed Jul. 10, 2014.
34 NOAA 2013. Op. cit.
35 NOAA 2013. Op. cit.
36 NOAA. Regional Climate Trends and Scenarios for the U.S. National Climate Assessment: Climate of the Northwest U.S. 2013.
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should recognize that flood plain boundaries are likely to change. In the short term, the city can
designate a focus area within a focus area, such as Talley Way, to concentrate its initial efforts. The city
could identify and begin to implement practices that prevent or reduce flooding while also helping to
meet other community and economic development goals. Many of the policies discussed in this report
can also help the city prepare for and adapt to climate change, if the city knows what the projected
impacts are and can incorporate them into a smart growth economic development strategy.37
For example, encouraging development downtown and in other areas with less risk of flooding would
keep more businesses, industrial facilities, homes, and civic buildings out of harm's way. Developing
compactly and with a well-connected transportation network also lets emergency services respond
more quickly to disasters. Implementing best practices for stormwater management by using green
infrastructure to capture, slow down, and filter runoff where it falls could help to alleviate flooding,
prevent runoff from polluting the three rivers, and help make the city an attractive place to live and
invest. The city could coordinate the implementation of green infrastructure with other capital
investments in high-priority areas such as Talley Way.38
Planning for climate change is not a one-time activity, nor is it sufficient to prepare a stand-alone
climate change plan. Climate change impacts can affect infrastructure, housing, business activities, and
health and safety. Working climate change considerations into plans and policies communitywide can
help the city better prepare. If Kelso considers projected climate change impacts as it plans its economic
development, it will be better positioned than other communities to respond to changing
circumstances. Climate resilience could also be a competitive advantage in attracting businesses that
want to mitigate their own risks.
37 For more information on smart growth practices that can help prepare for and adapt to climate change, please see the
resources on EPA's smart growth and climate change Web page at http://www.epa.gov/smartgrowth/climatechange.htm.
38 For guidance on developing a green infrastructure plan that can help communities protect the environment and human
health while providing other social and economic benefits, see EPA. Enhancing Sustainable Communities with Green
Infrastructure. 2014. http://www.epa.gov/smartgrowth/green-infrastructure.html.
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APPENDIX A: EPA SMART GROWTH IMPLEMENTATION ASSISTANCE
Communities around the country are looking to get the most from new development and to maximize
their investments. Frustrated by development that gives residents no choice but to drive long distances
between jobs and housing, many communities are bringing workplaces, homes, and services closer
together. Communities are examining and changing zoning codes that make it impossible to build
neighborhoods with a variety of housing types. They are questioning the fiscal wisdom of neglecting
existing infrastructure while expanding new sewers, roads, and services into the fringe. Many places
that have been successful in ensuring that development improves their community, economy, and
environment have used smart growth principles to do so (see box). Smart growth describes
development patterns that create attractive,
distinctive, and walkable communities that give
people of varying age, wealth, and physical ability
a range of safe, convenient choices in where they
live and how they get around. Growing smart also
means that we use our existing resources
efficiently and preserve the lands, buildings, and
environmental features that shape our
neighborhoods, towns, and cities.
However, communities often need additional
tools, resources, or information to achieve these
goals. In response to this need, the U.S.
Environmental Protection Agency (EPA) launched
the Smart Growth Implementation Assistance
(SGIA) program to provide technical assistance-
through contractor services—to selected
communities.
The goals of this assistance are to improve the
overall climate for infill, brownfields
redevelopment, and the revitalization of non-
brownfield sites—as well as to promote
development that meets economic, community,
public health, and environmental goals. EPA and its
contractor assemble teams whose members have expertise that meets community needs. While
engaging community participants on their aspirations for development, the team members can bring
their experiences from working in other parts of the country to provide best practices for the
community to consider.
Since 2009, EPA has engaged staff from the U.S. Department of Housing and Urban Development (HUD)
and the U.S. Department of Transportation (DOT) in SGIA projects. This collaboration is part of the HUD-
DOT-EPA Partnership for Sustainable Communities, under which the three agencies work together to
help improve access to affordable housing, more transportation options, and lower transportation costs
while protecting the environment in communities nationwide. Using a set of guiding principles and a
SMART GROWTH PRINCIPLES
Based on the experience of communities around
the nation, the Smart Growth Network developed a
set of 10 basic principles:
• Mix land uses.
• Take advantage of compact building design.
• Create a range of housing opportunities and
choices.
• Create walkable neighborhoods.
• Foster distinctive, attractive communities with
a strong sense of place.
• Preserve open space, farmland, natural
beauty, and critical environmental areas.
• Strengthen and direct development towards
existing communities.
• Provide a variety of transportation choices.
• Make development decisions predictable, fair,
and cost effective.
• Encourage community and stakeholder
collaboration in development decisions.
Source: Smart Growth Network. "Why Smart Growth?"
http://www.smartgrowth.org/whv.php.
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partnership agreement, this Partnership coordinates federal housing, transportation, and other
infrastructure investments to protect the environment, promote equitable development, and help to
address the challenges of climate change.
For more information on the SGIA program, including reports from communities that have received
assistance, see www.epa.Qov/smartQrowth/SQia.htm.
For more information on the Partnership for Sustainable Communities, see
www.sustainablecommunities.gov.
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APPENDIX B: POTENTIAL GOALS AND INDICATORS LIST
The goals below are divided into three categories—supporting businesses, supporting workers, and
supporting quality of life—based on the framework for smart growth economic development. Each goal
includes a data indicator that can help the city track its progress toward achieving that goal and a target
direction (i.e., the direction the indicator should move to signify progress). The table also lists potential
data sources for each indicator and links to those sources where available.
Target
Key:
Decline
Maintain
Increase
GOAL INDICATOR TARGET SOURCE
Supporting Businesses
Gl
G2
G3
G4
Retain existing businesses
Attract new businesses
Promote entrepreneurship
Encourage business growth
in infill locations
Number of existing businesses
Number of new businesses
Number of new businesses founded
in the city and by city residents
Number of new businesses in
downtown and other core locations
• fr
*
City business license data
City business license data
City business license data
City business license data
Supporting Workers
G5
G6
G7
Improve access to local
employment opportunities
Increase access to
advanced education,
workforce development,
and job training
opportunities
Improve the quality of K-12
education
Number of jobs in the city
Number of jobs in a designated
radius
Average commute time
Unemployment rate
Educational attainment
State school performance scores
*
*
*
*
*
*
U.S. Census. "LEND OnTheMap."
http://onthemap.ces. census, gov/.
U.S. Census. "LEND OnTheMap."
http://onthemap.ces. census, g_ov/.
U.S. Census. "American FactFinder."
http://factfinder2.census.gov/faces/nav/isf/pages/c
ommunitv facts. xhtml.
U.S. Department of Labor, Bureau of
Labor Statistics. "Local Area
Unemployment Statistics Map."
http://data.bls.gov/map/MapToolServlet?survev=
la&map=countv&seasonal=u. The Bureau of
Labor Statistics provides county-level
unemployment rates. State agencies
generally can provide city-level
unemployment rates.
U.S. Census. "American FactFinder."
http://factfinder2.census.gov/faces/nav/isf/pages/c
ommunitY facts. xhtml.
State Achievement Index Report
36
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GOAL INDICATOR TARGET SOURCE
Supporting Quality of Life
G8
G9
G10
Gil
G12
G13
G14
G15
G16
G17
Promote a vibrant
downtown or commercial
district
Attract stores and services
for daily needs to
downtowns and residential
neighborhoods
Ensure a wide range of
housing types that are
affordable to different
income levels
Increase access to open
space, parks, and
recreation
Preserve natural space in
the city and surrounding
region
Improve walking and biking
facilities
Maintain character and
distinctive community
assets
Allow a mix of land uses in
appropriate locations
Ensure compatibility of
adjacent land uses
Prepare for climate change
Retail sales for downtown or
commercial district
Retail and office lease rates for
downtown or commercial district
Number of retail businesses
Transit frequency, coverage, and
ridership
Walk Score for key residential
neighborhoods
Presence of full-service grocery store
and drugstore within 1 mile radius
Number of homes affordable to each
income group
Amount of land dedicated to open
space or parks
Miles and number of trails and paths
Percentage of land that is natural
space in the city and region
Miles and number of bike lanes and
other bike infrastructure
Percentage of residents who
commute to work by walking or
biking
Number of pedestrian and bicycle
crashes
Inventory or map of community
assets
Presence of districts zoned for a mix
of uses
Presence of compatible adjacent land
uses
Plan detailing strategies to prepare
for climate change impacts
*
*
*
*
*
•+
*
*
•
*
*
• fr
•
•
•+
City sales tax data
Business survey
City business license data
Local transit provider
Walk Score. https://www.wa 1 kscore.com.
Google Maps. https://maps. google.com.
U.S. Census. "American FactFinder."
http://factfinder2.census.gov/faces/nav/isf/pages/c
ommunitY facts. xhtml
City zoning maps
Google MaDS. https://maps. google.com.
Local and county land use maps
City staff
U.S. Census. "American FactFinder."
http://factfinder2.census.gOV/faces/nav/isf/pages/c
ommunitY facts. xhtml.
Police department
City staff with community input
City zoning maps
City zoning maps
City staff
37
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APPENDIX C: INVENTORY OF POLICY TOOLS AND ACTIONS
This appendix describes specific tools and actions, including: a potential program administrator, an entity that could be a good choice to lead
implementation; the smart growth economic development goals (from Chapter III.C and Appendix B) that the tool or action could help achieve;
an indication of whether this would be most appropriate as a short-term, medium-term, or long-term goal for Kelso; and links to more
information, if available. This is not a comprehensive list. It is intended as a starting point for communities to identify the tools and resources
that are available locally and are best suited to the local context, barriers, and goals. The inventory might also help staff develop new and
innovative strategies and programs as needed. The policy tools and actions are divided into eight categories:Land use policy.
• Partnership building.
• Business development and entrepreneurship.
• Workforce development and employment.
• Health and environment.
• Brownfield and infill redevelopment.
• Transportation.
• Infrastructure financing.
Policy Tools and Actions
Administrator
Goals
Timing
More Information
Land Use Policy
1. Area planning: Areas that are experiencing market stagnation or declines in value might
need planning and investment to stimulate growth. Create a set of plans for downtown and
other infill locations to establish place-specific goals, identify existing challenges, create
policies to guide future development, and develop implementation strategies.
2. Zoning for mixed-use development: Adjusting zoning codes to allow mixed-use
development helps create walkable, mixed-use places. Review the city's zoning ordinance to
see if existing zoning allows mixed-use development in downtowns and other central
locations, at densities that are consistent with market demand. If it does not, consider
revising the ordinance to allow a mix of uses.
Planning
department
Planning
department
G4, G8, G9,
G10, Gil,
G12, G13,
G14, G15,
G16
G4, G8, G9,
G10, G13,
G15
Medium
term
Medium
term
For more information on codes and
ordinances that support smart growth
development, see EPA's Essential
Smart Growth Fixes for Urban and
Suburban Zoning CodesSSF39 and Smart
Growth America's Smart Growth
Implementation Toolkit.39P40
3 EPA. Essential Smart Growth Fixes for Urban and Suburban Zoning Codes. 2009. http://www2.epa.gov/smart-growth/essential-smart-growth-fixes-communities .
5 Smart Growth America. "Smart Growth Implementation Toolkit." http://www.smartgrowthamerica.org/leadership-institute/implementation-tools. Accessed Jan. 27, 2015.
38
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Policy Tools and Actions
3. Revised development standards: Encourage mixed-use, compact development by
reviewing and revising development standards to allow, encourage, or require desired
building types, land uses, and density. Changes might include reduced minimum lot sizes,
setbacks, or parking ratios, or increased maximum densities or floor-area ratios.
4. Quick-reference zoning handout: Make easy-to-understand zoning handouts available
online and at city hall. Land use and zoning codes can often be difficult to interpret.
Providing a simple explanation of what is allowed and contact information for further
questions can ease the burden of seeking city approvals.
5. Preservation of open and agricultural space: Preserving natural areas in the city and
surrounding region provides important recreational, ecological, and economic benefits that
enhance quality of life. Review the city's zoning ordinances and make necessary adjustments to
preserve agricultural land, open space, and other environmentally sensitive areas.
6. Incorporating climate change considerations into land use policies and plans:
Determining which areas of the communities are safer over the long term is critical to land
use planning. Investigate projected climate change impacts and how they are likely to affect
current natural hazards. Integrate the community's hazard mitigation plan, if one exists,
with the land use plan, and ensure that both use projections rather than historical trends.
Administrator
Planning
department
Planning
department
Planning
department
Planning and
emergency
management
departments
Goals
G4, G8, G9,
G10,G13,
G15
Gl, G2, G3,
G4, G8
Gil, G12
G17
Timing
Medium
term
Short term
Medium
term
Medium
term
More Information
For more information on infill
development incentives, visit
PolicyLink's Infill Incentives web
page.40F41
See an example of a quick-reference
zoning handout from Anaheim,
California.41F42
For more information on protecting
open space and farmland, visit the
Municipal Research and Service Center
of Washington's Web page on
preservation techniques.42F4B
For more information on integrating
climate change into hazard mitigation
planning, see case studies and lessons
learned from ICLEI.43F44 For
information on smart growth policies
that also help prepare for climate
change, see EPA's Using Smart Growth
Strategies to Create More Resilient
Communities in the Washington, D.C.,
Reg/on.44F45
41 PolicyLink. "Infill Incentives." http://policvlink.info/EDTK/lnfill. Accessed Jun. 27, 2014.
42 City of Anaheim. C-G Zone (Commercial General) Land Use & Development Standards. 2008. http://www.anaheim.net/departmentfolders/planning/PlanningServices/
CGhandout.pdf.
43 Municipal Research and Services Center of Washington. "Farmland Preservation Techniques and Sustainable Agriculture." http://www.mrsc.org/subiects/planning/
farmland.aspx. Accessed Jun. 27, 2014.
44 Higbee, Melissa. Integrating Hazard Mitigation and Climate Adaptation Planning: Case Studies and Lessons Learned. ICLEI. 2014. http://www.icleiusa.org/library/documents/
integrating-hazard-mitigation-and-climate-adaptation-planning.
45 EPA. Using Smart Growth Strategies to Create More Resilient Communities in the Washington, D.C., Region. 2013. http://www2.epa.gov/smart-growth/using-smart-growth-
strategies-create-more-resilient-communities-washington-dc-region.
39
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Policy Tools and Actions
7. Adaptive reuse of buildings: Development standards and building codes designed for new
construction often make rehabilitating older, historic buildings prohibitively expensive.
Review and revise development standards, zoning, building, and safety codes to allow
adaptive reuse of existing buildings in central locations, encouraging infill development and
reducing environmental impacts from new construction. Changes to allow adaptive reuse
could include reducing minimum residential unit sizes and commercial or residential parking
requirements or grandfathering in nonconforming building heights; setbacks; floor plans;
and electrical, mechanical, fire, and life safety requirements.
8. Community Code enforcement program: Rehabilitating vacant or blighted properties in
downtowns and other central locations can clean up environmental hazards and make
these locations more attractive to investors and residents. The program could include
reviewing and revising existing codes to more explicitly address the code violation issues
in the community, preparing community code enforcement guidelines or protocols so that
community members are clear about what they can do to report code violations to the
city, and developing a website or other tools for reporting and tracking progress resolving
complaints. Some communities have hired outside consultants to train all of the actors in
the code compliance process, including community members, city staff, and property
owners.
Administrator
DUiiqing anq satety
department with
assistance from
planning
department
Building and safety
department
Goals
G8, G10
G8
Timing
Medium
term
Short term
More Information
See an example of an adaptive reuse
policy from Los Angeles.45F46
For more resources on adaptive reuse,
see EPA's Web page on smart growth
and sustainable preservation of
existing and historic buildings.46F
For resources on code enforcement
and other strategies for improving
vacant and blighted properties, see the
Center for Community Progress'
Toolkit.47F4S For strategies to
overcome barriers to dealing with
chronic nuisance problems, including
blighted properties, see Enterprise's
Solving Chronic Nuisance
ProblemsASF49 See an example of a
code enforcement website from the
city of San Diego49F50 and a local
community organization with a Code
Enforcement and Nuisance Rental
Properties Committee that works
closely with city officials. 50F51
City of Los Angeles. Adaptive Reuse Program. 2006. http://www.downtownla.com/pdfs/econ residential/Adaptive-Reuse-Book-LA.pdf.
47 EPA. "Smart Growth and Preservation of Existing and Historic Buildings." http://www.epa.gov/smartgrowth/topics/historic pres.htm. Accessed Feb. 3, 2015.
48 Center for Community Progress. "Building American Cities Toolkit." http://www.communityprogress.net/toolkit-home-page-pages-292.php. Accessed Feb. 3, 2015.
49 Campbell, John H. Solving Chronic Nuisance Problems. 2001. http://www.enterprisecommunity.com/resources/ResourceDetails?ID=19720.pdf.
City of San Diego. "About Code Enforcement." 2015. http://www.sandiego.gov/nccd/about/index.shtml. Accessed Mar. 5, 2015.
51 College Area Community Council. "Code Enforcement and Nuisance Rental Properties." 2015. http://www.collegearea.org/cacc/index.php/about-us/committees-of-the-
caccffcode enforcement committee. Accessed Mar. 5, 2015.
40
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Policy Tools and Actions
Partnership Building
9. City-school district partnership: A high-quality public education system supports the local
economy by helping to ensure the community has workers with needed skills and better
preparing students for jobs. Cities can work more closely with local school districts to
improve public education by supporting school programs and building connections between
government and the education sector. Options could include regular meetings with
administrative staff and school board members or creating an education task force
comprised of representatives from the education system, business community, and local
government. Potential avenues of exploration might include developing science, technology,
engineering, and math (STEM) curricula in K-12 schools or creating a mentorship program
for high school students to teach them about different educational opportunities and
professions and better prepare them to enter the workforce.
10. Original art mural program: A mural program can bring public art to the community and
enhance the local sense of place. Artists work with the city and apply for permits. Applicants
hold a community meeting to notify the neighborhood about the proposed artwork and
answer questions. This program could help improve the neighborhood's appearance by
adding art and removing graffiti.
11. Landlord education program: A landlord education program is intended to help property
owners learn best practices in property management. The program could educate landlords
on complying with codes, applicant screening, fair housing rules, lease agreements, the
eviction process, and other relevant information. Program benefits could include better
property maintenance, safer homes, a more stable tenant base, and lower city costs for
code enforcement.
12. Peer city technical assistance program: To help with local economic development goals,
work with a peer city in the same state to learn best practices in applying for grant money
and developing programs that adhere to state laws. Reaching out to another city's staff
members could reveal how that city was successful in its application and lessons relevant to
the local process.
13. Unified community events calendar: Create a unified calendar of downtown events to
inform local businesses and potential customers. Designate a point person to ask businesses
and nonprofits about upcoming events and update the calendar weekly or monthly.
Administrator
City manager
and/or mayor's
office
Planning
department
Code enforcement
department
City manager
City manager
Goals
G7
G14
G10
All
Gl, G8
Timing
Short term
Medium
term
Short term
Short term
Short term
More Information
See an example of regulations for an
original art mural program from
Portland, Oregon. 51F52
For more information on working with
landlords, see the Center for
Community Progress' Web page.52F5B
See an example of a landlord education
program from Fargo, North
Dakota. 53F54
See an example of a peer city technical
assistance program from
Massachusetts.54F55
See an example of a unified events
calendar from Rochester, New
York.SSF56
City of Portland. "Original Art Mural Permits." http://www.portlandoregon.gov/bds/50737. Accessed Sep. 22, 2014.
53 Center for Community Progress. "Working with Rental Landlords and Property Investors." http://www.communitvprogress.net/working-with-rental-landlords-investors-pages-
205.php. Accessed April 9, 2015.
54 City of Fargo. "Landlord Training Program." http://www.citvoffargo.com/Citvlnfo/Departments/Police/AboutFargoPolice/AdministrativeServicesDivision/
CrimeFreeProgramsCoordinator/LandlordTrainingProgram.aspx. Accessed Sep. 22, 2014.
55 Commonwealth of Massachusetts. "Peer to Peer Technical Assistance Program." http://www.mass.gov/hed/community/funding/peer-to-peer.html. Accessed Sep. 22, 2014.
41
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Policy Tools and Actions
14. Student internships: Offer local government internships for high school or college
students. Many students have volunteer requirements and want professional experience.
Students can often help city staff at little or no cost. Interns need clearly defined roles to
ensure students and the city get the most out of the experience.
15. Neighborhood association support: Organizations often need assistance when starting
out. To take advantage of existing resources and experience, connect neighborhood
associations with other local neighborhood associations or with organizations active in the
community, such as churches, service organizations, and nonprofit organizations.
16. Business assistance program: Create a program to provide local businesses with
technical assistance in marketing, accounting, or finance, and low-interest loans to fund
improvements to landscaping, signs, or building facades.
Administrator
City manager
Economic
development
department
Economic
development
department
Goals
G6
G10, G14
G9
Timing
Medium
term
Short term
Short term
More Information
For ideas on how to make a
neighborhood association successful,
see a toolbox created by Irving,
Texas.56F57
See an example of a business
assistance program from Cleveland,
Ohio.57F5S
Business Development and Entrepreneurship
17. Streamlined permitting process: Review existing permit and approval processes, and
give businesses investing in downtown and other infill locations an expedited permit process
to shorten the timeline and reduce development costs. The city could also help applicants fill
out permit applications or reduce permit fees to encourage more development in central
locations.
18. Designated economic development staff person: An effective economic development
strategy requires dedicated staff time to implement programs and build relationships in the
community. Assign one person to economic development activities, including operating
programs, pursuing funding, and tracking results so the city can modify its activities and
investments as business needs change.
City manager and
planning and code
enforcement
departments
City manager
Gl, G2, G3,
G4
Gl, G2
Medium
term
Long term
For help evaluating existing permit
processes and ideas on how to develop
an expedited process, see Local
Government Permitting Best Practices
developed by the state of
Washington. 58F59
City of Rochester. "Events." http://www.citvofrochester.gov/events.aspx. Accessed Sep. 22, 2014.
57 City of Irving. "Neighborhood Association Toolbox." http://citvofirving.org/198/Neighborhood-Association-Toolbox. Accessed Feb. 2, 2015.
58 City of Cleveland. "Small Businesses and Retail." http://www.citv.cleveland.oh.us/CitvofCleveland/Home/Government/CitvAgencies/EconomicDevelopment/SmallBusinessand
Retail. Accessed Jul. 1, 2014.
59 Washington State Governor's Office of Regulatory Assistance. Local Government Permitting: Best Practices. 2008. http://www.oria.wa.gov/Portals/ oria/VersionedDocuments
/Local Government/lgp best practices report.pdf.
42
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Policy Tools and Actions
Administrator
Goals
Timing
More Information
19. Economic development task force: Ongoing collaboration between the public and
private sectors is an important component of economic development. To encourage
collaboration, form an economic development task force with representatives from the
public and private sectors to discuss how the city could better facilitate economic
development. Representatives from the business community could include business owners,
property owners and developers, or leaders from the Chamber of Commerce or other
business groups. This group could meet monthly or quarterly.
Economic
development
department, with
participation from
planning, building
and safety, and
transportation
departments,
and/or the
mayor's office
Gl, G2
Medium
term
20. Economic development website: In addition to providing new and expanding businesses
with information and resources, a dedicated economic development website sends a clear
message that a city is "open for business" and available to help. Create and maintain an
economic development website that could be a one-stop shop to help new and existing
business owners with business startup or expansion. This website could include a step-by-
step guide to starting or expanding a business in the city, links to important contacts and
forms, and links to resources outside the community, such as loan programs from the Small
Business Administration or community development financial institutions or technical
assistance from a regional small business development center.
Economic
development
department
Gl, G2
Short term
See a sample economic development
website for Douglas, Georgia.59F60
21. Regular visits to businesses: Building relationships with local business owners lets city
staff provide responsive, hands-on assistance and sends a message that each and every
business is important to the city. Assign a staff person or team to build relationships with
local business owners in high-priority economic sectors or locations. Establish contact by
visiting local business owners in person, and maintain relationships through regular check-
ins at times and locations convenient to the business owners. City staff could also
participate in the local Chamber of Commerce, downtown association, business
improvement district, or other business associations.
Economic
development
department; could
also include
participation by
city manager,
mayor's office, or
other departments
Gl
Short term
22. Real estate broker outreach: Developing relationships with local and regional real estate
brokers can help raise the city's visibility as a potential location for new businesses and
development, as well as send a message that the city is business friendly. Assign a staff
member to build relationships with local and regional real estate brokers and developers
interested in investing in infill locations. The staff person could provide personalized, one-
on-one assistance to brokers seeking to locate new tenants or developers considering a new
project. The city could also host monthly or quarterly breakfast meetings or other events for
the real estate community to alert them to opportunities for new activity in the city and to
encourage investment in downtown and other infill locations.
Economic
development
department; could
also include
participation by
city manager,
mayor's office, or
other departments
G2, G4
Short term
Douglas-Coffee County Chamber and Economic Development Authority. "Economic Development." http://www.douglasga.org/EconomicDevelopment.html. Accessed Jan. 22,
2015.
43
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Policy Tools and Actions
23. Site-selection assistance: Providing site-selection assistance to new or relocating businesses
could encourage businesses to locate in infill locations and established centers. This could
include maintaining a regularly updated inventory of available commercial spaces as part of the
city's economic development website, as well as suggesting locations and giving site tours to
new businesses looking to locate in the city and existing businesses seeking to expand.
24. Business improvement district: A business improvement district can empower local
property owners and businesses to improve the sense of place in their district, which could
give them a competitive advantage. Guide local property owners and commercial tenants
through forming a special business district (such as a business improvement district), in
which businesses in a downtown or other defined district pay a tax, fee, or levy to contribute
to maintaining, developing, or marketing their district.
25. Social media assistance: Help local businesses expand their customer base by setting up a
website or using social media platforms. Bring in a consultant to offer step-by-step training.
26. Coordinated business hours: Encourage businesses in the downtown or commercial
corridor to maintain common operating hours. Not having common hours can deter
potential customers from shopping in the area since it causes confusion and frustration not
knowing what will be open.
27. Business licenses for residential landlords: Ensuring safe, high-quality homes is
important for giving residents a high quality of life and attracting workers for local
employers. Requiring licenses to become a landlord in the city gives the city contact
information for absentee property owners so it can communicate with them about property
owner responsibilities. Revenues from license fees could be used to help fund code
enforcement or small improvements in the neighborhood or to help offset costs for
maintaining certain infrastructure, like parks, community gardens, or street trees.
Administrator
Economic
development
department
Economic
development
department
Economic
development
department
Economic
development
department
Planning
department
Goals
Gl, G2, G4
Gl, G2, G4,
G8
Gl, G2, G4
G8
G10, G14
Timing
Medium
term
Medium
term
Short term
Short term
Short term
More Information
See an example of a database of
available properties, as well as
additional site selection services, from
Newport News, Virginia. 60F61
See a sample guide to starting a
business improvement district from
New York City.SlF62
See an example of how business
licenses for rental properties have
been implemented from Tacoma,
Washington.62F63
City of Newport News." Site Selection Assistance." http://www.nngov.com/668/Site-Selection-Assistance. Accessed Jun. 27, 2014.
62 New York City Department of Small Business Services. Starting a Business Improvement District: A Step-by-Step Guide. 2012. http://www.nyc.gov/html/sbs/downloads/pdf/
bid guide complete.pdf.
63 City of Tacoma. "Rental Business License." http://www.citvoftacoma.org/government/city departments/finance/tax and license/rental business license. Accessed Sep. 22,
2014.
44
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Policy Tools and Actions
Administrator
Goals
Timing
More Information
Workforce and Employment
28. Community Revitalization Strategy Area: Working with the state to designate an area as
a Community Revitalization Strategy Area would bring many benefits, including the ability to
use Community Development Block Grant (CDBG) money more flexibly for housing and
economic development. The program can help transform a specific area by coordinating
resources for comprehensive community revitalization.
29. Homebuyer education and down payment assistance: To help residents find homes
they can afford and opportunities to invest in the community, create a program to educate
residents about homeownership and down payment assistance opportunities. A mortgage
payment can sometimes be less expensive than monthly rent, but many people are unable
to meet down payment requirements. This program would educate would-be homebuyers
about real estate financing and offer grants for the down payment. Financial resources for
this program could come from a federal agency such as HUD.
30. Tailored job-training programs: Job-training programs that are tailored to the needs of
local businesses are more likely to successfully prepare workers for local jobs. Partner with
local businesses and community colleges or workforce training programs to create a tailored
curriculum that prepares students for jobs in high-priority industries. Other potential
partners could include local unions or trade organizations.
Economic
development
department
Economic
development
department
Economic
development
department
G10
G10
G3, G5, G6
Medium
term
Medium
term
Long term
For more information about
Community Revitalization Strategy
Areas, including specific regulatory
flexibility the program allows, see
information from U.S. Department of
Housing and Urban Development
(HUD).63F64
See a sample homeownership
assistance program from Fort Worth,
Texas that is funded by HUD.64F65
For best practices and tools to promote
partnerships among community
colleges, the business community, and
local and regional governments, see
the compendium published by the
American Association of Community
Colleges and the National Center on
Education and the Economy.65F66
HUD. Revitalization Areas. 2012. http://portal.hud.gov/hudportal/documents/huddoc?id=cdbg bas 10.pdf.
65 City of Fort Worth. "Community Development & Housing." http://fortworthtexas.gov/hed/housing. Accessed Nov. 11, 2014.
66 American Association of Community Colleges and National Center on Education and the Economy. Sustaining Partnerships for Regional Economic Growth: A Compendium of
Promising Practices and Tools. 2009. http://www.aacc.nche.edu/Resources/aaccprograms/cwed/Documents/sustainingpartnerships.pdf.
45
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Policy Tools and Actions
31. Career resource center: Connecting local workers with nearby jobs would shorten
commute times and improve quality of life for workers, as well as reduce pollution from
driving. Partner with a local community college or job-training organization to create a
career resource center to better connect residents seeking employment with local
businesses. The center could maintain an up-to-date listing of available jobs and residents
seeking employment; connect residents with appropriate education and training programs,
including financial aid resources; host regular career fairs; connect residents and businesses
with resources from regional or state economic development agencies, such as on-the-job
training or workforce screening programs; and provide one-on-one career counseling on
dedicated days each week or month.
32. Local hiring: Local-hiring policies typically require that certain government employees or
some percentage of workers on city-funded projects live in the jurisdiction. These policies
increase employment opportunities for the local workforce, ensure that government
spending is invested back into the community, and reduce commute times for government
workers.
33. Housing market study: To ensure that the workers of local employers have the
opportunity to live in the community, conduct a housing market study to identify what
housing types are available and how the city could meet existing and future housing needs,
particularly in central locations near employers.
34. Local business purchasing: Purchasing goods and services locally supports local
businesses and workers. Help nearby institutions that have a vested interest in community
development, such as educational and medical institutions, to acquire goods and services
locally, such as food or laundry and janitorial services.
Administrator
Economic
development
department
City manager
Planning
department
Community or
economic
development
departments
Goals
Gl, G2, G5,
G6
G5
G10
Gl
Timing
Long term
Medium
term
Medium
term
Medium
term
More Information
See an example of a city-hosted career
resource center from Santa Clarita,
California. 66F67
For more information on local hire
programs, see the Partnership for
Working Families' Making
Development Work for Local
Residents.67F6S
See a sample housing market study
from Moore, Oklahoma. 68F69
For more information on working with
institutions to promote local business
purchasing and economic
development, see Building Healthier
Communities: Embracing the Anchor
Mission published by the Democracy
Collaborative at the University of
Maryland.69F70
City of Santa Clarita. "Santa Clarita WorkSource Center." http://econdev.santa-clarita.com/santa-clarita-worksource-center. Accessed Jul. 1, 2014.
68 Partnership for Working Families. Making Development Work for Local Residents: Local Hire Programs and Implementation Strategies that Serve Low-Income Communities.
2008. http://www.forworkingfamilies.org/resources/publications/making-development-work-local-residents-local-hire-programs-and.
69 RKG Associates, Inc. Comprehensive Housing Market Analysis: City of Moore, Oklahoma. 2014. http://www.cityofmoore.com/sites/default/files/main-
site/Moore%20Housing%20Final%20Report.pdf.
70 Zuckermann, David. Hospitals Building Healthier Communities: Embracing the Anchor Mission. The Democracy Collaborative at the University of Maryland. 2013.
http://communitv-wealth.org/sites/clone.communitv-wealth.org/files/downloads/Zuckerman-HBHC-2013.pdf.
46
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Policy Tools and Actions
Administrator
Goals
Timing
More Information
Health and Environment
35. Shared-use playgrounds: Playgrounds and parks are essential to healthy communities,
but cities often have trouble maintaining sufficient park space. Partner with the local school
district to promote physical activity and community health by creating shared-use facilities
that are both school playgrounds and community parks.
36. School-based health clinic: Access to community health services is critical to maintaining
public health, particularly in areas with limited public transportation or existing health care
facilities. Partner with the school district and a local community health organization to open
a community health clinic in the school to promote health and wellness for students and
their families.
37. Green building incentive program: A green building incentive program for downtowns
and other infill locations could reduce pollution, water use, and energy use, while making
workers safer, healthier, more comfortable, and more productive. Green buildings can also
reduce ongoing maintenance and operation costs, which appeals to investors and tenants.
This program could include an expedited permitting process, reduced building and permit
fees, and/or tax credits for developers of green buildings in key locations.
38. Green infrastructure: Green infrastructure can improve water quality and supply, reduce
flooding risk, save public and private funds, and protect public health through improved air
quality and green spaces, among other benefits. Develop a plan to incorporate green
infrastructure into the community to achieve multiple environmental, public health, social,
and economic goals.
39. Climate change resilience plan: Climate change is creating challenges for cities, including
greater extremes in temperature and rainfall, sea level rise, and more frequent natural
hazards such as floods and storms. Identify the projected local impacts of climate change,
and create a long-term plan to prepare for those impacts. The plan can be the basis for
incorporating climate considerations into all community plans and policies.
Community
development or
health services
department
Community
development or
health services
department
Building and safety
department
Planning
department
Planning
department
Gil
G9
G10
Gil, G12,
G14, G17
G17
Medium
term
Medium
term
Long term
Long term
Medium
term
For more information on shared-use
playgrounds, see the Safe Routes to
School National Partnership's Shared
Use of School and Community Facilities
Web page.70F71
For more information about school-
based health centers, see the U.S.
Department of Health and Human
Services Health Resources and Services
Administrations' Web page on School-
Based Health Centers.71F72
See an example green building
incentive program from Arlington
County, Virginia. 72F7B
For more information on how to
develop a green infrastructure plan to
manage stormwater while achieving
other environmental, public health,
social, and economic benefits, see
EPA's Enhancing Sustainable
Communities with Green
Infrastructure.!!?1*
For more information and tools to
develop a climate resilience plan, see
the U.S. Climate Resilience
Toolkit.74F75
Safe Routes to School National Partnership. "Shared Use of School and Community Facilities." http://saferoutespartnership.org/state/bestpractices/shareduse. Accessed Jun. 27, 2014.
72 U.S. Department of Health and Human Services. "School-Based Health Centers." http://www.hrsa.gov/ourstories/schoolhealthcenters. Accessed Jun. 27, 2014.
73 Arlington Initiative to Rethink Energy. "Green Building." http://freshaireva.us/2012/04/green-building-2/. Accessed Feb. 2, 2015.
EPA. Enhancing Sustainable Communities with Green Infrastructure. 2014. http://www.epa.gov/smartgrowth/green-infrastructure.html.
75 "U.S. Climate Resilience Toolkit." http://toolkit.climate.gov. Accessed Feb. 3, 2015.
47
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Policy Tools and Actions
Administrator
Goals
Timing
More Information
Brownfield and Infill Redevelopment
40. Establish community goals for brownfields: Community participation is essential to
building broad support for brownfields remediation and ensuring that future development
helps achieve community goals. Engage the community through advisory committees, public
meetings, design workshops, focus groups, and other methods to learn community priorities
for reusing brownfield sites.
41. Citywide brownfields remediation program: A coordinated, strategic approach to
brownfields remediation would use funds more efficiently and encourage redevelopment of
contaminated land. First, inventory local brownfield sites, then identify high-priority sites for
cleanup based on local goals, including goals in the smart growth economic development
strategy. Designate these sites as eligible for tools that have a targeted focus area and
prioritize them for local, state, and federal funding assistance.
42. Outreach to owners of vacant or underused properties in central locations: Assign a
staff member to contact owners of infill development sites to determine why new or
redevelopment is not occurring and how the city could encourage it. The staff person could
connect the property owner with real estate brokers and developers, work with property
owners to change permitted uses, or conduct a market study to help owners understand
potential uses.
Planning or
economic
development
department
Planning or
economic
development
department
Economic
development
department
G16
G4
G8
Short term
Long term
Medium
term
For more information on how to
engage the community and create an
area-wide brownfields program, see
EPA's Brownfields Area-Wide Planning
Program Fact Sheet. 75F76
Transportation
43. Wayfinding signage: Wayfinding signage helps visitors locate landmarks and
businesses in the downtown. An attractive and distinctive system can improve the
appearance and bring visitors to the area, potentially increasing the number of customers
for local businesses.
44. Two-way streets: Where possible, allow traffic to flow in both directions. One-way
streets can encourage drivers to drive faster, which puts pedestrians at risk. If a goal is to
develop a walkable downtown, converting one-way streets into two-way streets can help
make the area safer for pedestrians.
45. Coordinated public transportation: Analyze public transportation service to determine if
it is meeting the community's needs. Work with major employers to see if service aligns
with worker schedules. Making public transportation more convenient could increase
ridership.
Planning
department
Transportation
department
Transportation
department
G8, G9
G5, G8, G9,
Gil, G13
G5
Medium
term
Long term
Medium
term
For information on the advantages of
two-way traffic, see an article in /Access
Magazine published by the University
of California. 76F77
76 EPA. Brownfields Area-Wide Planning Program Fact Sheet. 2012. http://www.epa.gov/brownfields/grant info7AWP-factsheet-July-2012.pdf.
77 Gayah, Vikash V. "Two-Way Street Networks: More Efficient than Previously Thought?" Access Magazine. 2012. http://www.uctc.net/access/41/access41-2way.pdf.
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Policy Tools and Actions
46. Multimodal transportation plan: Safe walking, biking, and public transportation routes
protect public health by encouraging physical activity and reducing pollution from vehicles.
Develop a transportation plan that makes walking, biking, and public transportation safe,
reliable options in addition to driving. The plan would identify assets, challenges, and
opportunities for improving transit, biking, and pedestrian facilities, particularly in
downtowns and other locations identified for infill development.
Infrastructure Financing
47. Coordinated infrastructure investments: Encourage coordinated infrastructure
investment across city departments and with outside jurisdictions to reduce redundant tasks
and save money. Wherever possible, improvements to walking and biking facilities should
be made at the same time as larger infrastructure investments. This process could include
establishing an interdepartmental or multijurisdictional working group, inventorying
planned infrastructure improvements and identifying areas of overlap, and prioritizing
projects and funding sources based on shared infrastructure requirements.
48. Developer impact fees: To pay for infrastructure improvements, such as green
infrastructure, streetscape improvements, and bike lanes, charge new development projects
one-time fees to defray the costs of expanding public services. These fees are typically
collected on a pay-as-you-go basis and used to cover one-time capital investments rather
than ongoing operations and maintenance.
49. Special assessment districts: Work with local property and business owners to build
support for a special assessment district, where property and/or business owners pay a fee
to fund specific improvements in the area. As allowable types of special assessment districts
vary by state, the city would need to research the legal structure and steps to
implementation.
50. Tax increment financing (TIP): TIP captures the increase in tax revenues associated with
new investment in areas designated for redevelopment; those increases are then used to
fund additional improvements. In states where TIP is available, use TIP to fund infrastructure
improvements, affordable housing, and other catalytic development projects.
Administrator
Transportation
department
Planning
department; could
also include
transportation
department and
other city agencies
Planning
department
Economic
development
department
Redevelopment
agency
Goals
G5, G9, Gil,
G13
G9, G13
G9
G4, G8
G9
Timing
Long term
Medium
term
Long term
Long term
Not
available in
Kelso
More Information
See examples of bicycle and pedestrian
plans from Bellevue, Washington,77F7S
and Eugene, Oregon. 78F79
See an example of a multijurisdictional
infrastructure investment framework
from the Central Corridor Funders
Collaborative in Minneapolis/St.
Paul.79Fso
For more information on these and
other local infrastructure financing
tools, see EPA's Infrastructure
Financing Options for Transit-Oriented
Development.80Psl
City of Bellevue. City of Bellevue Pedestrian & Bicycle Transportation Plan Report. 2009. http://www.pedbikeinfo.org/pdf/PlanDesign SamplePlans Local Bellevue2009.pdf.
79 City of Eugene. Eugene Pedestrian and Bicycle Master Plan. 2012. http://www.pedbikeinfo.org/pdf/PlanDesign SamplePlans Local Eugene2012.pdf.
80 Central Corridor Funders Collaborative. "Investment Framework." http://www.funderscollaborative.org/partners/investment-framework. Accessed Jun. 27, 2014.
81 EPA. Infrastructure Financing Options for Transit-Oriented Development. 2013. http://www.epa.gov/dced/pdf/2013-0122-TOD-infrastructure-financing-report.pdf.
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APPENDIX D: SMART GROWTH ECONOMIC DEVELOPMENT
EXAMPLES
The following case studies illustrate how communities were able to overcome specific challenges like
those Kelso faces by taking a smart growth approach to economic development:
A. Scotland Neck, North Carolina.
B. Lake Worth, Florida.
C. Clinton, Iowa.
A. SCOTLAND NECK, NORTH CAROLINA
1. Context
Scotland Neck is a town of approximately 2,400 people and 1.2 square miles in eastern North Carolina,
30 miles from Rocky Mount and Interstate 95. The rural community is just south of the Roanoke River
and is surrounded by farmland. Scotland Neck is known among outdoor enthusiasts as a place to bird
watch, fish, and hunt.82 Sylvan Heights Waterfowl Park and Eco-Center, an internationally known facility
with the largest waterfowl collection in the world, is in the town. Scotland Neck endured decades of
hardship due to manufacturing and agriculture job losses.83 Downtown buildings were often boarded up
and in need of repair. One of the town's greatest strengths was its sense of community pride and
willingness to come together in times of struggle.
As a small town with limited funds, Scotland Neck realized that it would have to rely on its residents to
promote economic development. In 2002, local elected officials and town staff created the Developing
Our Own Resources (DOOR) Initiative, a smart growth economic development strategy.84 The main
drivers behind the DOOR Initiative were a small group of elected officials, town staff, and local residents.
2. Boosting Tourism
The town took inventory of its assets and recognized its untapped tourism potential. With little action
from the local government, Scotland Neck had been attracting tourists eager to take advantage of the
area's natural resources. To draw more visitors to Scotland Neck, the town enacted several small
initiatives over the next several years:
• Poor boat access to the Roanoke River inhibited tourism, so the town partnered with the North
Carolina Wildlife Resources Commission to improve a boat ramp.85
• The town began to promote itself as an "outdoor paradise," providing brochures and links to
local guide services on its website as well as advertising in local and regional media.86
82 Lambe, Will. Small Towns, Big Ideas: Case Studies in Small Town Community Economic Development. University of North
Carolina. 2008. http://www.iog.unc.edu/programs/cednc/stbi/pdfs/stbi final.pdf.
83 Ibid.
84 Ibid.
85 Ibid.
86 Ibid.
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• Scotland Neck identified Sylvan Heights as a major asset and helped it acquire outside funding to
market itself. To further boost the park, the town, in partnership with the North Carolina Zoological
Society, helped build an education center that welcomes thousands of visitors annually.87
• Scotland Neck also recognized that its flat, rural roads were well suited to bicycle tourism and
created the annual Country Roads Bike Tour, attracting hundreds of visitors each year.88
3. Strong Leadership
The mayor was a key player in bringing the community together to support Scotland Neck's smart growth
economic development strategy. He actively promoted the town and had strong connections to state
policy-makers and within the community. He leaned on those connections to get people to buy into the
vision for Scotland Neck and motivate people to get involved and volunteer for the community.89
4. Downtown Revitalization
One of the most significant tools has been the
Round Up Program. To help downtown
businesses, residents have the option to round up
their utility bill to the next dollar, with the extra
money put into an account funding a facade
improvement program. The program provides
grants of up to $1,000, where the fund reimburses
$1 for every $2 the property owner spends.90 By
encouraging residents to be part of the solution
for downtown revitalization, Round Up draws
small contributions from a wide base, raising
more than $10,000 in its first 8 years. As a result
of the increased tourism and improved
appearance, several new businesses have moved
downtown.
Exhibit 13: Downtown Scotland Neck. The downtown area
benefits from a facade improvement program funded by
small donations residents add to their utility bills.
Photo courtesy of James M. Williams
5. Lessons Learned
Focus on existing assets and resources. Scotland Neck focused its energy on tourism, an industry that
was surviving on its own with little support from the town. The town recognized this asset and actively
promoted it. By creating several events, Scotland Neck became known as a destination for a variety of
outdoor enthusiasts, benefiting many local industries. For example, the income of local hunting guides
increased 50 percent from 2005 to 2006.
Find partners with common goals and work together to achieve them. Scotland Neck partnered with
the North Carolina Zoological Society and Wildlife Resource Commission on environmental protection
and education projects that also benefitted the burgeoning eco-tourism market. In the Round Up
Program, residents and merchants came together for a common goal of downtown revitalization, an
effort that helped build community spirit.
Ibid.
'ibid.
'ibid.
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Small individual contributions can add up to big changes. The Round Up Program asks for only cents
per month from contributors. It might not seem like much, but when a large group participates over
time that money adds up. The program funded smaller cosmetic projects, but after a few property
owners used the fund, it was enough to make a real difference in the appearance of downtown.
Promoting quality of life can boost tourism and lead to improvements elsewhere. As more tourists
came to Scotland Neck, they renewed demand for restaurant and hotel options in town. Combined with
the facade improvement program, the infusion of tourism dollars made downtown a more desirable
place for merchants, encouraging several new businesses to open, including a new hotel.
B. LAKE WORTH, FLORIDA
1. Context
Lake Worth is a city in south Florida that was hit hard by the foreclosure crisis in the late 2000s. Located
in affluent Palm Beach County, the city has attracted artists, musicians, and low-income households
drawn by its affordable homes. The 7-square-mile city, home to approximately 35,000 residents, has an
abundance of assets including a historic downtown, walkable neighborhoods, historic bungalows, and
beaches on the Atlantic Ocean. The city also has a Tri-Rail station, the regional commuter train,
providing access to Fort Lauderdale and Miami as well as connections to South Florida's three major
international airports. Despite these amenities, Lake Worth struggled from 2000 to 2010, seeing little
population growth while the region as a whole grew by 11 percent. As of 2010, 29 percent of residents
lived in poverty, and the median income in Lake Worth was about two-thirds that of the region (roughly
$37,000 compared to $56,000).91 Due to the recession, home values and property taxes plummeted,
leaving the city with few resources.
2. Improving the Housing Stock
The city identified two geographic areas of focus: the Tropical Ridge and Royal Poinciana neighborhoods,
both among the lowest income communities in Lake Worth.92 The Lake Worth Community
Redevelopment Agency (CRA) studied the housing stock in these neighborhoods and found that while
units were affordable, they were often poorly maintained or vacant. When the national housing market
crashed in 2008, the two neighborhoods already had high rates of foreclosure and building code
violations.93 To remedy these issues, CRA partnered with 20 community organizations and local
businesses to obtain a $23 million grant from the Neighborhood Stabilization Program administered by
HUD.94 CRA used the grant money to purchase and rehabilitate or demolish foreclosed homes in the
Tropical Ridge and Royal Poinciana neighborhoods and parts of downtown Lake Worth (Exhibit 14). CRA
partnered with Habitat for Humanity and Adopt-a-Family of the Palm Beaches for help on the
91 HUD. Creating Connected Communities: A Guidebook for Improving Transportation Connections for Low- and Moderate-
Income Households in Small and Mid-Sized Cities. 2014. http://www.huduser.org/portal/publications/pdf/Creating Cnnted
Comm.pdf.
92 Ibid.
93 Ibid.
94 The Neighborhood Stabilization Program was established by the Housing and Economic Recovery Act of 2008. Additional
funding was authorized in 2009 and 2010. Although the program is no longer being funded as of 2014, some jurisdictions have
remaining funds that they can still spend. In addition, many of the activities funded through the Neighborhood Stabilization
Program are also eligible expenses under HUD's HOME Investment Partnerships Program. More information about that
program is available at: HUD. "HOME Investment Partnerships Program." http://portal.riud.gov/hudportal/HUD?src=/program
offices/comm planning/affordablehousing/programs/home. Accessed Oct. 28, 2014.
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renovations.95 In the first 3 years of the program,
CRA invested in over 100 properties. Twenty-five
homes have been acquired, rehabilitated, and
maintained as rental properties, the majority for
households earning less than 50 percent of the area
median income.96 Approximately 75 homes were
purchased and made available to households earning
between 50 percent and 120 percent of the area's
median income, with a slight majority to those in the
50 percent to 80 percent range.97 With the
tightening of the mortgage market during this time,
the program provided homeownership opportunities
that otherwise would not have existed. It also helped
stabilize the neighborhood, property values, and city
tax revenues, as the new homeowners had a vested
interest in maintaining the quality of their properties
and the neighborhood.
3. Improved Connectivity
In 2009, Lake Worth completed a Bicycle Master
Plan, identifying corridors for new and improved
bicycle lanes. As a result of the study, the city and
CRA completed 8 miles of new or restriped bicycle
lanes, with several passing through Tropical Ridge
and Royal Poinciana, for approximately $100,000.9S
The new lanes have been popular with residents as
they improve connections to downtown. The city also enacted a policy under which it adds bicycle
infrastructure when streets are improved.99
4. Lessons Learned
Cities with limited resources can increase their capacity through strategic partnerships. Faced with
limited time and finances, the Lake Worth CRA looked for help. Partnering with 20 community
organizations and local businesses enabled CRA to obtain the funding to accomplish its goals. Today, the
city and CRA still remain in regular contact with these organizations to get feedback and access to
additional resources.
Neighborhood associations can empower residents to enact change. The Tropical Ridge neighborhood
received attention and investment because its residents actively lobbied the city for change. The
neighborhood organization worked with the city to find solutions.
Exhibit 14. Before and after images of one home
rehabilitation project.
Photo courtesy of Lake Worth Community
Redevelopment Agency
"Ibid.
96 Lake Worth Community Redevelopment Agency. April 1, 2014 thru June 30, 2014 Performance Report. 2014.
http://www.lakeworthcra.org/downloads/QPR%20Download%20Apr%202014%20-%20Jun%202014.pdf.
97 Ibid.
98 HUD, op. cit.
"ibid.
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Focus on implementing strategies that could identify problems still in the early stages. Lake Worth
upgraded its code enforcement program and added four new staff members. 10° The revised process and
added staff allowed the city to monitor and fix problems proactively. The efforts have boosted the quality of
life for residents as homes are well maintained and people see the city respond to their concerns.
Look for small, incremental investments that could have a large "bang for the buck." Restriping and
constructing 8 miles of bike lanes was relatively inexpensive for the city, costing approximately
$100,000. The return on investment for the bike lines has been high as they have improved connections
and are heavily used by residents.
C. CLINTON, IOWA
1. Context
Clinton, Iowa, is an industrial town on the western bank of the Mississippi River and U.S. Highway 30,
which is part of the old Lincoln Highway, one of the country's first east-west highways. This location
made the city a prime candidate for transportation-dependent heavy manufacturing in the early part of
the 20th century. However, by the late 20th century, much of the industrial activity had come and gone,
leaving behind a land use pattern along U.S. 30 that had become very problematic for the city. Because
the area had begun developing before it was common to separate housing from industry, the old
industrial buildings were interspersed with homes. While many of these factories were abandoned by
the 1990s, they had left behind contamination that was now creating health problems for the local
residents. The highway itself had many safety issues, especially with vehicles turning onto and off of
perpendicular streets. Some basic infrastructure, including a separated storm and sanitary sewer
system, was also missing from the area.
In 1996, the area had a 15 percent unemployment rate and 17 percent of households had incomes
below the poverty line.101 The area's visual blight had also become a disincentive to new economic
development activity. Recognizing this multitude of challenges, the city partnered with the Iowa
Department of Transportation (IDOT), U.S. Environmental Protection Agency (EPA), and many other
state and federal agencies on a major redevelopment effort to address the highway safety and capacity
issues, remove the blight and contamination, create opportunities for new investment, and better
connect local residents to good jobs. This process began in 1996, and the public investment to prepare
the area for new development was completed in 2014, encompassing 1.8 miles of highway and 220
acres of land.
2. Highway Redesign
The conventional approach to addressing the safety and capacity issues for U.S. 30 would have been to
merely widen the roadway. However, this approach would have further exacerbated the blight issues by
narrowing adjacent parcels and reducing the operating space available to existing businesses, making
them less viable.102 Through an extensive negotiation process, the city and IDOT reached a compromise
100 Ibid.
101 Eudaly, Candace. "Brownfield Redevelopment in Eastern Iowa." 11th Annual New Partners for Smart Growth Conference.
Feb. 2-4, 2012. http://www.newpartners.org/2012/docs/presentations/Thursdav/8.30%20-%2010am/Thursday%202nd%20%
208.30%20-%2010am%20%20%20%20%20PPOSC%20&%20EDSTRR/NP12 Eudaley.pdf.
102 Nothstine, Kathy and Parrish Bergquist. "Vibrant Rural Communities: Clinton, Iowa." http://www.nado.org/vibrant-rural-
communities-clinton-iowa/. Accessed Mar. 12, 2015.
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solution for reconstructing the highway that both improved safety and capacity and retained space for
businesses. Instead of merely widening and adding more travel lanes, IDOT divided the travel lanes into
two one-way "boulevards" separated by a strip of land big enough to accommodate new commercial
buildings. The properties between the new boulevard segments were assembled by the city and IDOT,
and existing residents and businesses were relocated, creating 17 blocks of land available for
commercial development. A new pedestrian and bicycle trail was also constructed parallel to the
highway to improve connections for neighborhood residents.
3. Brownfield Assessment and Remediation
Due to the project area's industrial past, there was considerable environmental contamination in the
area which needed to be addressed before new development could proceed. EPA awarded the city $1.5
million for brownfield assessment and remediation on former industrial properties.103 Recognizing the
large scale of the project, the city looked for additional partners to fund property acquisition and
cleanup. The city used low-interest loans from HUD and the Iowa Department of Economic
Development to garner more than $30 million in additional funding from state and federal sources.104
Clinton would not have been able to remake this area if not for these funding partners.
4.
Liberty Square
Comprehensive Plan
In addition to working with
other agency partners on the
highway reconstruction,
property assemblage, and
hazardous material
remediation, the city of
Clinton also led an extensive
community process to
establish a cohesive vision for
the land between the new
highway segments, now
known as Liberty Square. The
plan's vision for the Liberty
Square area was codified in
design standards to guide
future development. An
emphasis on high-quality
development was essential to
the city's overall economic development initiatives.
In addition to this planning effort, the city invested in some early implementation items, including
constructing a new park with landscaping and benches at the entrance to Liberty Square. These
investments began to pay off less than one year after road construction was completed in 2014. Existing
businesses have begun to reinvest in their buildings. For example, Archer Daniels Midlands, which
APPROXIMATE
OVERLAY
DISTRICT
BOUNDARY
LIBERTY SQUARE
REDEVELOPMENT
SITES (VACANT)
Exhibit 15: Liberty Square. The city created new redevelopment sites on
industrial land near downtown as part of a highway redesign.
Image courtesy of HR Green, Inc.
' Eudaly, Candace, op. cit.
'ibid.
55
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operates a plant just south of Liberty Square, has extensively renovated its buildings, including
improving its facades, and built a new facility. This reinvestment has improved the entire area's
appearance and created several hundred new jobs. In addition, residential property values in the
neighborhoods west of Liberty Square are starting to increase, and local residents are finding new
employment opportunities.10S The city has also established several incentive programs for new
businesses in Liberty Square and has seen a lot of interest that it expects will translate into additional
new construction.
5. Lessons Learned
Coordinating area planning and infrastructure improvements can lay the groundwork for economic
development. Planning for improvements to Lincoln Highway that considered the benefits of good
design led to smart growth economic development in Clinton. This approach enabled the community to
achieve its vision for Liberty Square's future. The highway redesign resulted in more developable land,
improved connections to Liberty Square, eliminated blight, and enhanced overall physical and economic
conditions for local residents and workers. In addition, the new comprehensive plan ensures that city
regulations will achieve residents' aspirations going forward.
Brownfield assessment and remediation can promote revitalization of a larger area. In conjunction with
the brownfield assessment process, the city conducted a larger planning effort, resulting in the Liberty
Square Comprehensive Plan. Coordinating brownfield assessment and cleanup with a larger planning
effort allowed the city to focus resources in a particular area and attract additional investment.
Combine funds from multiple sources to accomplish goals. Clinton was able to leverage the funds that
it received from EPA for brownfield assessment and remediation to obtain low-interest loans from HUD
and several state agencies for property acquisition and cleanup.10S In addition to EPA and HUD, the city
ultimately acquired funding or other project support from IDOT, the Federal Highway Administration,
the East Central Intergovernmental Association, the Iowa Department of Economic Development, the
U.S. Army Corps of Engineers, and the Iowa Department of Natural Resources.
105 Couppee, Jacob. City Planner, City of Clinton. Personal Communication. Mar. 10, 2015.
106 Ibid.
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