| Economic Development
Frequently Asked Questions
Why is
information technology important to economic development in Nebraska
and my community?
Information technology
means communications infrastructure. The development of communities
and individuals depends upon their ability to communicate effectively
with others. Information technology is simply the hardware which makes
communication possible. 100 years ago the telephone was emerging as an
essential information technology of the coming century. Today,
satellite dishes, fiber optics and who knows what next are emerging as
the communication channels of the century to come. Communities that
wish to participate in that future must choose whether to make the
investment in this infrastructure -- just as they choose whether to
pave streets, maintain water systems, and provide for public
education.
Were
information technology-intensive industries identified by the Target
Industry Study?
The Target
Industry Study conducted for
the Nebraska Department of Economic Development identifies
agribusiness, financial services, metal products, biotechnology,
electronics manufacturing, and software development as industries that
should be targeted in Nebraska.
What
is the relationship between information technology development and
traditional community development efforts?
Information
Age development is complementary to traditional community and economic
development. Housing, schools, health care, recreational
opportunities, main street businesses, utilities, and access to road
and air transportation are still necessary.
In fact, quality of life issues may be even more important to
IT development than traditional economic development. In order
to recruit and retain IT businesses and workers, communities need to
offer a high quality of life.
IT
development is simply a retooling of community and economic
development processes. Whereas
traditional economic development efforts focused on recruiting
manufacturing businesses, information technology development focuses
on helping existing businesses utilize information technology to grow
their businesses, developing a skilled workforce, creating new
information technology businesses, and recruiting IT businesses and
workers.
How is
DED responding to information technology development?
The Department has made
a number of grants to communities in the last decade for the
development of information technology centers. The CDBG program
however, is split into many programs and pursues objectives ranging
from housing rehabilitation to manufacturing expansion loans. It will
be necessary to find other public funding sources to address the
telecommunications infrastructure needs of the State.
What
does my community need to do to attract information technology
businesses? What do information technology businesses require in a
building or a business park?
The Department of
Economic Development has developed a list of specifications for
buildings and business parks which meet the needs of IT
businesses. If you are interested in receiving a copy,
contact Pat Langan at the Department of Economic Development, plangan@neded.org
or (402) 471-3766 .
What
are Community Development Block Grants and how can they be utilized
for IT development?
The Community
Development Block Grant program is administered Federally by the
Department of Housing and Urban Development (HUD). Nonmetropolitan
Nebraska, through the Department of Economic Development, receives
about $15 million each year from HUD to provide low and moderate
income Nebraskans appropriate, affordable and accessible housing and
infrastructure; and quality jobs through financing new and expanding
businesses.
The purposes are
accomplished through the CDBG program's five categories: Community
Development, Housing, Planning, Business Development and Economic
Development. (See: http://crd.neded.org/cdbg.html#community.
)
The 'Business
Development' portion of the CDBG program is summarized at:
http://assist.neded.org/2001edelig.html
.
In the past a
number of communities have received grants to development local
technology centers for improving access to the internet.
What
is the Local Option Municipal Economic Development Act and how can it
be used for telecommunications services?
The Local Option
Municipal Economic Development Act (LB 840, 1991) authorizes
incorporated cities and villages to collect and appropriate local tax
dollars (sales and/or property tax) if approved by the local voters,
for economic development purposes. These purposes can include
telecommunications infrastructure and services.
See: http://assist.neded.org/lb840x.html
for more complete information about this program and the communities
that have voted it in.
How
can my community encourage entrepreneurship and youth retention?
Communities need to
assess their strengths, weaknesses and opportunities in a thorough,
systematic fashion. For years the 'Community Development Process' has
been an effective strategic planning tool for this. See: http://crd.neded.org/pubs/take5_intro.html
.
The historic pattern is
that young people migrate out of small towns to urban centers in order
to pursue their education and then more diverse choices for making a
living. Entrepreneurs are most likely to flourish where the support of
people willing to take a risk can be found. If smaller communities
wish to compete for the long term commitments of their youth and
prospective entrepreneurs, the best they can do is demonstrate a
commitment to providing the tools young entrepreneurs need. In this
day and age, these tools certainly include telecommunications that
hook up with the wide world.
Answers to the
economic development FAQs were provided by:
Nebraska Department of Economic Development: Steve Williams and
Pat Langan
Nebraska Information Technology Commission: Anne Byers
If you have a question you would like
included in the FAQ list, please e-mail abyers@notes.state.ne.us
08/28/2001
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