Post-Disaster Economic Recovery

The NADO Research Foundation has established this blog as an open forum for stakeholders of regional disaster mitigation and recovery. Posts will generally revolve around the economic impacts related to disaster recovery.

This blog is powered by the Resilient Regions initiative in partnership with the U.S. Economic Development Administration. To learn more about this program, please contact NADO program manger Mike Bellamente at mbellamente@nado.org.

Tuesday, October 5, 2010

Tales from the Gulf

Two months ago, a colleague and I were sent to the Gulf of Mexico as part of a larger effort to conduct county-by-county economic assessments under Admiral Thad Allen's Deepwater Horizon recovery initiative.


Ironically, one of the findings during the multi-state assessment was how the State of Louisiana is suffering disproportionately from the deepwater oil drilling moratorium imposed to prevent similar catastrophes; a testament to just how far the roots and employment base of big oil extends in the Gulf.

In the Florida panhandle, a host of other findings surfaced. For one, the spill had a compounding effect on a region that has already seen its share of economic woe. As one resident put it, "to be hit with the collapse of the housing market, then the recession, and now the BP oil spill is just a perfect storm of events that is killing our community."

Commercial and recreational fishing has been devastated (from perception just as much as the oil itself), tourism has nosedived (after initial projections for 2010 looked promising) and small businesses continue to suffer.

Recommendations to county stakeholders during the initiative were many. Below, however, are a few that could pertain to any community prone to disaster-related events:

• Create a formal business recruitment, retention and expansion strategy
• Work with educational institutions (community college, vocational schools, etc) to develop curricula that support the major employers of the region
• Devise methods of diversifying employment base and better capitalize on regional assets
• Develop a brand for your region/community and market the brand in cooperation with your stakeholders
• Create a plan to benchmark municipal energy/utility costs and develop a strategy to reduce those costs through efficiency improvements, retrofits and weatherization programs
• Problems in the community are exponentially compounded by disasters -- know your short-comings to attracting new employers (antiquated infrastructure, poor education system, access to recreation, etc) and work toward improving on them


Now that the well is permanently capped, spill-impacted counties can begin the recovery process in earnest. In addition to filing for lost revenues through the process for private citizens and businesses, there are also several million dollars in competitive grants being offered by the Economic Development Administration and other federal agencies for local governments adversely affected by the spill.

One can only hope that the resilience of these tourism and fishing dependent communities is as strong as their resolve to flourish once again.