Most Central Va. localities lack economic development directors

The last time 10 percent of American workers did not have jobs, Lynchburg’s hope for the future rested partly in Lee Cobb.

He was the first person hired by the city, or any locality in Central Virginia, as a full-time economic developer. “We’ve never made an effort before to guide this economy,” he recalls city officials saying. “We’ve got to do some things to position ourselves for the future.”

Local counties later added economic development directors who, along with Cobb and the Region 2000 Partnership, helped bring new companies like Frito Lay and Barr Laboratories to the area.

Now that the region faces another recession, most localities in the region again do not have economic development directors.

Bedford city cut the position from its budget. Amherst County’s former economic development director resigned this summer after being charged with inappropriate conduct with a young girl. Bedford County’s official retired in October. And Appomattox County is working to hire its first full-time director.

For some officials, filling these positions is a vital investment.

For others, local budgets are too tight to justify paying someone to chase development projects that just might not exist.

“These are extraordinary times” in local budgets, said Bryan David, executive director of the Region 2000 Economic Development Council. “Certainly, economic development is not sacrosanct.”

“In the same breath, I think we can certainly demonstrate that a dollar in is a dollar-plus out in the investment.”

In Appomattox County, William Slagle is tired of seeing business growth happen by accident or not at all. He said hiring an economic development director is key to help the county to grow.

“We need to expand our tax base and opportunities for young people to live in our community and not have to move away to have those jobs,” said Slagle, chairman of the county’s Economic Development Authority.

“In the past, I guess you could say your community would get lucky and a nice new employer would just fall in your lap,” he said. “Those days are long gone. You have to go out and actively recruit.”

Currently, the county’s assistant administrator works on economic development as one of many duties. Slagle said officials from Region 2000 and Virginia Economic Development Partnership suggested hiring someone to promote the county’s business park on Virginia 26.

“What it’s missing is someone to go out and actively sell prospects on the advantage of coming and locating here,” Slagle said.

County supervisors in June included a full-time economic development director in the budget; county administrator Aileen Ferguson said officials are reviewing applications.

Bedford County’s first economic development director, who took that position in 2001, retired at the end of October. County Administrator Kathleen Guzi said leaving the seat vacant is not an option. About 40 people have applied; Guzi hopes to have a new director start by February.

She said the county can’t lose momentum on marketing its business parks and helping existing businesses. Another initiative is workforce development, which she said is vital.

“It’s the continued development of our workforce that helps our businesses do well today and … hopefully will position us well for when the economy turns around,” Guzi said. “You can’t just stop that just because of the economy.”

Other localities, however, have had to make other choices.

Bedford city took the economic development director position from its budget this year. Other employees have divided the job’s duties. “We just felt that at this point, this position we could get done in another fashion. It would provide budgetary savings,” said City Manager Charles Kolakowski.

In Amherst County, the last economic development director, John Mulvey, was arrested this summer. County Administrator Lee Lintecum said last week that he plans to give supervisors options for that position within 30 days.

One option is to leave it vacant and let other county employees take on its roles.

“Right now, given the economy, there’s not a lot of movement in that arena,” Lintecum said.

Cobb, who led the economic development program for Lynchburg and then for Region 2000 for years, agreed that prospects are slim.

Cobb’s business has been marketing the L. Barnes Brockman Business and Industrial Park for the town of Amherst for about a year. He said he has contacted 60 businesses.

“Nobody’s doing anything except the federal government and companies that have contracts with the federal government,” Cobb said. “Business has not been good for these folks and they are just simply not in a position to even consider a capital investment.”

Cobb said it is important for local governments to have full-time staff devoted to economic development. But “unfortunately, we’re at a point where I don’t think there will be any opportunity in the next six months where the absence of an economic development director will cause them to lose anything.”