An Economic Development Vision for Mariposa

Communication thread (Concept: “Paradigm Shift” A time when the usual and accepted way of doing or thinking about something changes completely. Cambridge Dictionary-OnLine)

E-Mail Thread                         July 2015

This e-mail thread provides the arguments, pro and con for the direction that OUR Economic Development efforts are focused, or wrongly focused, at present in Mariposa County. I've deleted the names of people mentioned/commenting in this thread. I am promoting a "Paradigm Shift" in our thinking about how we spend our Tourism Windfall, or at least a portion of it $500k currently allocated to the Mariposa County Yosemite Visitor Bureau that is added to the approximately $1.5 Million that the Bureau spends on promoting Yosemite and Mariposa County! It is my position that we should be spending that money on supporting a "Cultural Tourism" program and reap a broader benefit for the residents of Mariposa County!

To: Mariposa County Board of Supervisors

From: Bob Borchard                                                                                                      Date 7/15/15

Dear Honorable Mariposa County Supervisors

I Just thought I would give you some ideas about HOW the County MIGHT invest $500k in an Economic Development program that would give us some job creation AND tourism support. Nevada County’s program is aggressive and they just picked up $500k in grant funds to develop a Media Campus project. This is a variation of the OLD Industrial Park concept. I worked with one of these “business development centers” in the City of Marina when I was a Project Manager for the City. I suggest you take a look at their Annual Report http://www.mynevadacounty.com/nc/bos/docs/Nevada%20County%20Economic%20Development%20and%20Tourism%20Marketing/Economic%20Resource%20Council/ERC%20County%20Report%20-%20Jan%2016%202015.pdf to get some idea about how their organization is structured and the programs they support (including Tourism). As we move into the FY 2015-16 budget cycle, I think it’s time to look at some changes

It is time for Mariposa County to start thinking critically about its future. It’s time that we, as a County, start considering the “capital exit” that is created when OUR County Revenues are “invested” in the economies of other regions, States or even other Countries!

It’s not hard to envision OUR County creating an EDC organization that “links” the resources of the private sector, our schools (including Merced College, Stanislaus and U.C. Merced) in a technology development program that builds on the resources that already exists in the County, builds the skills of our residents (Adult Education) and trains OUR High School students for meaningful careers in the technology/communications industries! This seems to me a much sounder investment than buy “likes” on Facebook pages!

We have options, as a County, to turn our economy around and help it face forward. While there is a great deal of comfort in doing the same old thing year in and year out, I think we, as a community, are poised to launch an effort to look to the future. The YOUNG people of OUR community deserve no less! At present, the Tourism Bureau is named as the LEAD ORGANIZATION for implementing OUR Economic Vitality Strategy and Implementation Plan for Mariposa County (Nov. 2007) on Page 3, first full paragraph. http://www.mariposaedc.com/downloads/Economic_Vitality_Strategy_Mariposa_County.pdf. At the same time, the Director of the Tourism Bureau stated to the Mariposa County BOS, in an e-mail communication stated “What Bob does not seem to understand is that the Tourism Bureau's mission is not to provide economic development - it is to put heads in beds, which is what drives 48% + of the county's general fund. Economic development may occur as a result of our tourism marketing and community support efforts, but it is not our defined objective.”

As a practical matter, what I (Bob) do understand is that the BOS “gives” the TB $500k to do a JOB that the BOS defines, as I think is clearly stated in the County’s EDC strategy! Clearly the Tourism Dir. is not interested or committed to following the BOS directives on these matters so I feel that the BOS should redirect those funds toward a COUNTY Economic Development Council. The existing EDC could be an “advisory” body to this organization but it would need to be a County Department or organization.

Thank you for your time and consideration.

Bob Borchard

To: A wider audience

From: Bob Borchard                                                                                                      Date 7/15/15

This morning I got this e-mail thread from Some folks in Nevada County regarding a $500K “media” grant they got. They told me that they did not want to share information with me about their project because they considered US as “competition” for their media project! Little do they know that we are not but it was fun having them THINK we were. Then I got to thinking how much FUN it would be if we REALLY were in the running for this “cutting edge” industry? So I penned this e-mail to our BOS. In my mind it’s about moving our County’s economy forward and creating a diverse economic base. I would like to hear your thoughts on my idea. Let me know if you agree in where I’m going with this or not. Thanks, Bob

To: Bob Borchard

From: (Local Economic Development Leader)                                                               Date 7/15/15

Greetings All

Bob is partially right; the Tourism Bureau was identified as the lead for the Destination Mariposa County portion of the strategy, the purpose of which is “Achieving the goal to strengthen the tourism industry by making Mariposa County a year-round destination involves three related strategies:

1A: Increase Occupancy in the ‘Off Season’ to Make Tourism a Year-Round Industry in Mariposa County

1B: Expand, Link, Network and Communicate the Mariposa County Experience

1C: Organize to Compete Effectively to Capture More Visitor and Resident Spending”

No lead organization was identified for the other portion of the strategy, Business Development, because no organization was or is funded to lead/pursue it. 

To: (Local Economic Development Leader)

From: Bob Borchard                                                                                                      Date 7/15/15

I may have misread the strategy but, looking at the Nevada County “model” it is easy to THINK that the intent of the overall strategy was comprehensive. AFTER the TB had established the Assessment District, envisioned in the Strategy, was it the INTENT to continue to “invest” exclusively in Tourism Promotion or were those funds “envisioned” to be invested in other elements of this comprehensive strategy? Bob

To: Bob Borchard

From: (Local Economic Development Leader)                                                               Date 7/15/15

Hi Again Bob (and adding ____ and _____) –

I’m not an officer or even a director of the Tourism Bureau, and your question is best answered by Terry or someone on its Board.  But I can say this much:  from the very beginning the TBID took a broad view of its middle name: “Business Improvement.”  Business is improved in the short term by marketing the destination “as is,” but there are also ways to improve/expand business long term by enhancing the destination and/or extending the season.  And it is for this reason that the Tourism Bureau supports the effort to recruit a developer/operator for a resort hotel and conference center in Mariposa.

To: (Local Economic Development Leader)

From: Bob Borchard                                                                                                      Date 7/15/15

(Name deleted), I understand your point BUT, in the final analysis, any economy exclusively dependent of “Tourism” and “Service” jobs is a WELFARE economy! These tourism/service jobs cannot support a family! That is an economic FACT that is borne out by looking at the “quality of life” of any “destination” economy! Diversification was a serious Goal in our Economic Plan and one has to assume that those involved in the formulation of this plan envisioned a dynamic strategy of “investment” not something that has turned into a multi-million dollar “entitlement” while the balance of the strategy is left to wither! The Conference/Convention Center, on its face, defies logic given the present day setting of Mariposa. Such a concept, without “demand” will result in the same “white elephant” that the City of Modesto is locked into FEEDING with City Tax receipts.

A more realistic policy would be to build this enterprise slowly by building the attractiveness of Mariposa as a “Destination”. Maximize the USE of existing facilities/resources to BUILD a Convention/Conference BUSINESS in Mariposa and create the NEED for such a facility and ALLOW the private sector to build in a fashion that would meet this need. The NEED for Government subsidies of this type of development are a STRONG indication that the private money markets CAN’T justify the RISK of this type of investment. What makes that RISK any different if you are a PUBLIC agency. The proper role of government, in an economic development strategy is to “encourage” desired investment. Creating MORE TOURISM jobs, it could be argued, is NOT a priority or even a desired outcome in OUR Goal to create a strong healthy economy in the County. OUR Business, would thrive year round if the people of Mariposa where employed in industries that paid better than minimum wage and provided year round jobs. This is NOT going to be achieved if we continue to “MORE OF THE SAME” with respect to stimulating a Tourism Centric economy exclusively.

It’s time to step back and look at the FOREST (name deleted). Why is it the largest government building in the County is a Welfare Services Building? Ask yourself what the EDC is hoping to accomplish here in the BIG PICTURE? Where would the EDC get the biggest BANG for its BUCK, building more welfare subsidized jobs so we can make a marginally larger TOT base or build a diversified economy where people don’t need welfare subsidies to survive and our young people can look at their hometown being a place they can live and work (without Welfare) when they graduate from school?

We are, in my mind, at the cross-roads in Mariposa. We have a unique opportunity to improve the quality of life of our community or continue to see expansion of the “Welfare” supported visitor based economy. It’s all in YOUR EDC Plan, the trick is in the execution! Bob

To: Bob Borchard

From: (Local Economic Development Leader)                                                               Date 7/15/15

Hi Once Again Bob –

There is something worse than having low-paying “tourism/service jobs,” and that’s having one of those “tourism/service jobs” and being laid off 5 or 6 months every single year.

BTW: I think it’s silly to bore all of these nice folks with back-and-forth like this.  Let’s just agree to disagree and call it a day.

To: (Local Economic Development Leader)

From: Bob Borchard                                                                                                      Date 7/15/15

Agreed! Bob

To: (Local Economic Development Leader)

From: Bob Borchard                                                                                                      Date 7/16/15

I spoke with (name deleted) last evening. He suggested that we DON’T “drop” this discussion! Those who are “bored” with it can ignore the discussion and others might learn something! He also suggested that I need to provide our EDC with an alternative “vision”, other than creating “welfare” jobs. And, to answer you question NO, your convention/conference center will NOT, in ANY practical analysis, do anything to shorten the unemployment/under employment cycle. I won’t waste a lot of time breaking that myth down!

As an alternative, as Leroy suggested, let’s look at the model that Nevada County is following. (see attached) For a little reading on the subject of “regional innovation” you might read https://books.google.com/books?hl=en&lr=&id=_Rjok73CxF4C&oi=fnd&pg=PR6&dq=eda+regional+innovation+strategies+(ris)+program&ots=j57a5p_0GT&sig=zR2MF-04vZyfl1_MFYdo0XAhK1Q#v=onepage&q&f=false. I’ve attached information on the EDA RIS program. I suspect that an RFP will be issued some time in November of this year with funding award in the spring of 2016. We are in a unique position to “capture” one of these grant awards with the linkages that we, Walt and I, have been developing with folks at U.C. Merced, the Merced Co. Office of Education, and others. Additionally, OUR very own Mariposa High School Multi-Media program, that has been the source of OUR launching of our Old Town multimedia enterprise and our little 3MC company with its production history, provide a pretty impressive organizational structure to compete for one of these Innovation Grants!

The contacts/connections are here. Our EDC group could team up with our SBA agency representatives and, with a little financial support from the County from our “Tourism Funds”, we could launch and REAL “Cultural Tourism” program that focuses on building innovative “tools” right here in Mariposa and STOP the process of shipping the high paying “promotional” pay-checks to some out-of-region/state/off-shore communications tech service provider and enriching other places with our scarce capital resources!

(name deleted),  I love the old saying that if you give a problem to a carpenter, the solution always has a “hammer” in it! Job creation, to the tourist oriented industry in Mariposa County, is always going to have a “pillow” (with “stuffer) to put a “head” on! (Tourism promotion by our Tourism Bureau is about putting “heads” on “Pillows”) Thinking outside this “BOX” is the Mariposa EDC’s Challenge and as the person communicating in this “string” of communications, I encourage YOU to try and take the lead in looking at innovative solutions if OUR EDC is to play any meaningful role in Economic Development in Mariposa County.

Just as a thought, a “branch” of this “innovative” Cluster that we “might” create, think Yosemite/Mariposa Film Festival! This is where the technology is heading. To cite some “Numbers” from the Nevada County Proposal:

“While Tuesday's initial Task Force meeting only served as a first step in what will undoubtedly be a multi-year process, those involved in the effort believe it will lead to a game-changing, economic difference-making endeavor for Nevada County. You might say that it represents our "secret weapon" in the coming "War on Jobs", which I referenced in last Month's column. Why a Game Changer?  Here are a few revealing industry statistics to consider:

•              188.2 million people in the US watched 52.4 billion on -line content videos in December 2013. The average American spent more than 19 hours watching on-line video.

•             72.1 million US smartphone users watched video on their devices at least monthly in 2013. This is expected to rise to 86.8 million, more than a quarter of the US

population, in 2014.

•              Internet video traffic will be 79%  of all global consumer Internet traffic in 2018.

•              Global Internet traffic in 2018 will be equivalent to 64 times the volume of the entire global Internet in 2005. Globally, Internet traffic will reach 14 gigabytes (GB) per capita by 2018, up from 5 GB per capita in 2013.

Based on those numbers, this is the economic development horse I want to ride!” Rick Haffey, Nevada County CEO

Our High School Voc-Ed programs are focused on “fire science”, “agriculture” with a small commitment to REAL cutting edge economic innovation job training. Our community is focused on creating “pillow-stuffer”/fry-cook service jobs while the WORLD is moving into the future! We owe it to ourselves to support of elected leaders, in both our schools and our County, to find a way to build a diverse economy using the “high-end” employment opportunities that are already being created by our tourist dominated economy, but are being “shipped” out of our county because WE don’t “invest” in creating those jobs and those industries HERE at Home! Bob

To: Bob Borchard

From: (Local Economic Development Leader)                                                               Date 7/16/15

Bob, I would like to suggest you make a presentation at the EDC’s next regular meeting on August 27^TH at noon at the library.  We could devote up to a half-hour to the subject to determine if there’s any interest, and if so, what a next step might be.  Would that work for you?

To: (Local Economic Development Leader)

From: Bob Borchard                                                                                                      Date 7/16/15

Why? I would think that the EDC, working with the SBA folks with your staff support from Tara should be able to decide if YOU guys want to be in the Economic Development business or not? The end of August is a long way off and I’m not sure where I will be on that date. I’ve given you a lot of information to work with here and a “presentation” is about “talk” and I’m, as the jargon goes, into “walk”. I’m not here to try and get you guys to DO your JOB, even if you are a volunteer organization. I think if you have any specific question about WHAT I or WALT Do or are doing, WE would be delighted to do a presentation on New age Communications Technology and how Mariposa can benefit from using the resources that we have.

Frankly, if the EDC does not see the wisdom and logic of what I’ve provided you, on the surface, I’m pretty sure I would be wasting MY time trying to SELL you on this venture. As a practical matter, the Mariposa Co. BOS will be making budgetary decision before August 27th and IF the EDC plans on being a “Player” in the Mariposa County Economic Development Game, you need to be prepared to take your place at the “table” when these budget hearings begin. The difference between “walk” and “talk”! Remember, the Grant information I’ve provided you will be going into “cycle” sometime in November and if the COUNTY is going be a “player” they/YOU need to start putting your “ducks” in a row NOW!

I’m sorry for being so gruff but really! I’ve spent 40 years of my life in the “government game” and I know how the “run-around” works; I invented some of the “plays” in this game! Bob

To: Bob Borchard

From: (Local Economic Development Leader)                                                               Date 7/16/15

I’ll take that as a “no.”

To: (Local Economic Development Leader)

From: Bob Borchard                                                                                                      Date 7/16/15

NO, (name deleted), TAKE THAT AS A WHY? Bob