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Hard road for Hardin: New director, Paul Green, offers hope

Hardin’s new director of economic development has a hard road ahead of him. Paul Green, former executive director of the Montana Business Incubator in Billings, accepted the position as director of the Hardin Economic Development Office Feb. 19. With the new title, he also inherited a set of problems facing many of Montana’s small towns.

by Leanne H. Frost Western Business News

Even with a population that has remained unchanged at around 3,300, the once bustling, main street buildings now stand vacant . Businesses have either closed or moved. As Green puts it, "The number of new jobs created are nil, and the number of jobs is declining."

A glance at Big Horn County’s demographics paints a sobering picture. Its unemployment rate is currently 21.3 percent, compared with neighboring Yellowstone County’s 3.8 percent, 5.3 percent for the state, and 6.5 percent for the U.S. The county also lags behind the state in average income per capita. In 1999, the average income per capita in Big Horn County was $12,441, compared to $23,462 for Yellowstone County. In 1980, Yellowstone County’s average income per capita was $19,299, and Big Horn County’s was $15,777. So, while Yellowstone County residents’ incomes were growing, Big Horn County’s average income actually fell 18 percent.

"The demographic information is almost mind-boggling," said Green.

His goal? "I would hope, in the next five years, to make a significant change in the average income per capita in the area," he said. "The state is 75 percent of the national average, and I would like to see the average income of Big Horn County move within 5 percent of the average for the state."

"If I could help a business produce 35 jobs in the $30,000 range, that would be doing excellent," Green added.

Green is working on several projects to help him accomplish his goals. He is also working to build a strong steering committee to help lead the development. "I have a list of about 14 projects," he said. "Now I have to figure out which ones to work on and prioritize."

Two projects are currently at the top of his list. One is to create a series of viable businesses with the Hardin High School business clubs, and the other is to analyze the condition of several vacant buildings and hopefully move businesses into those spaces.

Partnership for Entrepreneurial Training

Green has applied for a Partnership for Innovation grant from the National Science Foundation to kick off the high school business project, called the Partnership for Entrepreneurial Training. The $600,000 grant would provide the funds to start a real business.

Julie O’Dell, a business teacher at Hardin High School, said the students in the school’s two business clubs, Business Professionals of America and Distributive Education Clubs of America, normally only deal with hypothetical businesses. With Green’s plan, O’Dell said, "Students will see real practical knowledge. They can set up a business plan, find a way to make a profit. It’s getting into more entrepreneurship."

Green believes the students, working with a group of advisors, could create a viable business, run the business, and then sell the business to individuals who would keep the business running in the community. The proceeds from the sale would be reinvested into the club for the start-up of another business, thus making the project self-sustainable and creating jobs within the community.

Green has been working with individuals from Deaconess Billings Clinic, Rocky Mountain Technology Group, Montana Association of Technology Roundtables, Montana Manufacturing Extension Center, Montana Procurement Technical Assistance Centers, the Center for Applied Economic Research at Montana State University-Billings, Rocky Mountain College, and the Small Business Innovation and Research program to serve as mentors for the project.

The project’s success model is based on the model Green used at the Montana Business Incubator to help start-up companies expand and grow.

If the group receives the grant this summer, the project would start in the fall. Even if the project does not receive the grant, Green hopes to be able to move ahead with the help of "innovative entrepreneurs."
Brown Field buildings

Green’s other focus is on "Brown Field" projects, an EPA designation for sites with perceived or real environmental hazards. "If a building is orphaned due to people who owned the building thinking it would cost more to clean up than fix up, it’s classified as a Brown Field," Green explained. His initial goal is to conduct environmental assessments on vacant buildings with such classifications.

Green said many of the buildings are at risk from things such as asbestos and petroleum. Businesses are often wary of purchasing or moving into such buildings because they don’t want to be responsible for any environmental hazards they discover.

Following the environmental studies, Green said the next step would be to either renovate or tear down the buildings.

He estimates there are about six such Brown Field buildings in Hardin.
Other projects

In addition to the high school projects and Brown Field buildings, Green said he is working to bring the sewer and water facilities up-to-date. He is also working with a United States Department of Agriculture technology transfer program to strengthen the agriculture industry in the area. For example, Green hopes to implement improved irrigation methods. "Something to encourage people once again," he said.

He is also involved in attempts to institute an employee buy-out of United Agri Products, which announced last month that it would be closing.

Green has lived north of Hardin for the past five years. He has been working with the mayor and city council and doing private consulting work for Big Horn County. The Hardin Economic Development Office has been in existence for about five years. Green replaced Pam Clark.

He hopes to be able to bring his knowledge of programs and funds available for projects, as well as his experience helping start-ups succeed while working at the Montana Business Incubator, to his new position.

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