Economic Development Revitalization Act

Date: June 21, 2011
Location: Washington, DC
Issues: Veterans

BREAK IN TRANSCRIPT

Mr. BROWN of Ohio. Mr. President, Senate Republicans, in their typically unanimous way, just blocked this Chamber from even voting on the Economic Development Revitalization Act of 2011.

We heard Senator Boxer point out how many Republicans have supported the Economic Development Administration many times in what they did for economic development in their States. We know in Vermont, Pennsylvania, and Ohio, how EDA works with small Federal investments, leveraging that money in the private sector through incubators, in many cases, or accelerators or whatever the communities call them, and they do, in fact, create jobs. Unfortunately, every Republican in this Chamber decided that wasn't such a good thing--perhaps to deny a political victory to President Obama. What it did was take away another tool to get this economy back on course.

So many people in this body seem to think it is all about reducing the debt. It is about reducing the debt, but it needs to be largely about creating jobs. There doesn't seem to be that much interest in that on the other side of the aisle.

Just last week, I spoke with economic development directors and county commissioners from the city of Moraine, a suburb of Dayton where a GM plant closed, and Ashtabula County, my wife's home county in the northeast corner of the State. They explained the importance of EDA funding and how it supports economic growth in their communities.

EDA has traditionally been a noncontroversial and bipartisan job-creation bill. It helps broker deals between the public and private sectors, which is critical to economic growth and recovery. It is particularly important to economically distressed communities and in these types of economic times.

Every $1 of EDA grant funding leverages $7 worth of private investment. For every $10,000--and this is one study, proven by evidence and fact--of EDA investment in business incubators, which helps entrepreneurs start companies, between 50 and 70 jobs are created. When we put money into the Youngstown incubator or a bit of Federal money into LaunchHouse in Shaker Heights--an incubator just launched, if you will--it creates jobs. It helps entrepreneurs and startup companies create jobs in our communities. Some of these businesses will fail. A few of them will wildly succeed. Many will hang on for several years, hiring 5, 10, 20 or maybe hundreds of people.

In Ohio, since 2006, more than 40 EDA grants worth $36 million have leveraged a total of more than $87 million once private resources were matched.

Colleges and universities from Bowling Green in the northwest to Ohio University in the southeast, to Miami in the southwest, have received EDA funds. So too have port authorities in Toledo and Ashtabula--the Presiding Officer's border with Erie--in that part of Ohio and entrepreneurs in Cleveland and Appalachia.

If we are going to strengthen our competitiveness, communities will need to equip businesses with the tools they need to survive, and communities will need to create higher skill, living wage jobs and attract private investment.

That is what EDA is designed to do; it is the ``front door'' for communities facing sudden and severe economic distress.

When economic disaster hits, communities turn to the government, and in so many cases it is EDA that does the job.

EDA has helped redevelop the former GM plant in Moraine--several thousand GM jobs, Frigidaire jobs. Because of EDA, local partnerships, and outside private investments, we expect to see hundreds and hundreds, maybe a few thousand jobs in manufacturing in that Moraine plant. We have seen EDA help redevelop the DHL plant in Wilmington. Ashtabula's Plant C received EDA investments to make vital repairs. The bill Republicans just blocked us from even voting on would have strengthened a proven job-creating program.

How many times do we hear about businesses worried about uncertainty created in a still recovering economy? This bill would have provided certainty in funding for an established job-creating problem. It would have reduced regulatory burdens to increase flexibility for grantees. It would have encouraged public-private partnerships that we have already seen make a difference across Ohio.

I offered two amendments that would have further strengthened EDA. One would have assisted former auto communities when a plant closure or downsizing causes economic distress, such as Wilmington or Moraine.

The other would have made more Ohio communities eligible to receive funds for business incubators. Ohio is the home of the National Business Incubator Association--the trade association for all incubators in southeast Ohio and Athens. We have a model for business incubators in Toledo, Youngstown, and now Shaker Heights.

This amendment would have allowed more Ohio communities to support homegrown entrepreneurship.

Republican Senators chose to bog down the EDA bill with other unrelated amendments. All of them were unrelated to the task at hand; that is, how do we create jobs? Just yesterday, I was at Cleveland State University, where its Veteran Student Success Program goes above and beyond in serving our Nation's veterans.

Unemployment among young Americans is especially acute and disproportionately affects young veterans, and that is an outrage. Today, the unemployment rate for returning servicemembers between 20 and 24 is 27 percent--almost 3 times the national unemployment average. That means more than one in four veterans can't find a job to support his or her family, easing the transition to civilian life. When our economy needs their skills, when veterans can get the job done, too often veterans are turned away. Cleveland State University has a Project SERV Program to ensure servicemembers who return home and into the classroom receive the educational benefits they earned and deserve. Imagine the difficulty for someone 25 years old, who has done two combat tours in Iraq, who comes back to Cleveland or to Philadelphia or anywhere else in this country and tries to integrate into a classroom of 18- and 19-year-olds who have seen nothing like the 25-year-old who has been in combat in Iraq or Afghanistan.

This Project SERV at Cleveland State has been groundbreaking and is one of the few in the country--and now at Youngstown State University. What they are doing is establishing veteran support programs at colleges and universities. It started as an idea at a community roundtable I convened at Cleveland State a few years ago. It became law in the last Congress, and we have ensured its funding.

Yesterday, I met with Clarence Rowe, a staff sergeant in the Marine Corps, who is using the veterans resources at CSU to translate his military skills to the needs of the civilian job market. But as much as CSU and other universities do to assist our veterans, high unemployment continues to hurt all Americans. Too often, people such as Staff Sergeant Rowe, who has put years into serving his country, come back and, even with developing their job skills in school, they simply can't find jobs.

Education, workforce investment, and EDA have long been sound Federal investments that have helped to create jobs and strengthen our economy. It is a shame Republicans have yet again placed a roadblock on the pathway toward a strong and more prosperous middle class. We can do better than that.

Mr. President, I yield the floor.

BREAK IN TRANSCRIPT


Source
arrow_upward