Draft Document – Eastern Montana Consolidated Overview of Economic Strategy/Goals

I have received a number of thoughts, suggestions and input into the attached. I have
attempted to include all of them.

If you have further input, suggestions or thoughts please let me know.

The document is not all inclusive as we are attempting to keep it as short as possible and cover the main areas.

I will wait to here from anyone that has further input and suggestions until
Sept 9, 2005.

Then I will visit with Jim Atchison (SEMDC), Mike Carlson (EPRC&D) and
Linda Twitchell (GNDC) before submitting the document to:

Mt Governor (GOEO)

USDA RD

EDA

HUD

MT Dept of Commerce

MT Dept of Ag

MT University System (David Gibson)

Thank you all for your input and support

Tod Kasten

***

Eastern Montana
Consolidated Overview of Economic Strategy/Goals

August 8, 2005

The people of eastern Montana have taken part in numerous economic development strategy and planning sessions. The following is a summary of these efforts, projects and needs to address economic development in eastern Montana. The list is not all-inclusive, but does cover the main areas being concentrated on and covers a few example projects.

The area encompassed by these efforts is the eastern portion of Montana. It includes 16 counties: Valley, Daniels, Sheridan, Roosevelt, Garfield, McCone, Dawson, Richland, Prairie, Wibaux, Fallon, Carter, Custer, Powder River, Treasure and Rosebud.

These counties, and the communities within them, have completed some type of economic development planning and strategy development in the last few years. All of these efforts have been combined into three regional Comprehensive Economic Development Strategies (CEDS). The organizations that completed these efforts are the Southeastern Montana Economic Development Corporation (Treasure, Rosebud, Powder River, Custer Counties including a partnership effort with the Northern Cheyenne Tribe); Great Northern Development Corporation (Valley, Daniels, Sheridan, Roosevelt, Garfield, McCone Counties including a partnership with the Fort Peck Tribes) and Eastern Plains RC&D Inc (which covers all sixteen counties, in particular Dawson, Prairie, Wibaux, Fallon and Carter Counties being partners in EPRC&D’s Certified Regional Development Corporation efforts).

This paper is to indicate to the State of Montana and the Federal Government and their related agencies the consolidated efforts and teamwork being displayed by the eastern one-third of Montana. The area includes less than 8% of the State’s population. It produces over 30% of the State’s Ag Cash Receipts, about 40%+ of all oil and gas receipts and nearly 40% of the State’s Coal related receipts to name just a few items. The area is critically important to the economy of Montana.

The de-population of eastern Montana is a serious concern. If the trend continues the State of Montana will gravely feel its loss. The communities all need and strive for more family supporting jobs, tax base and infrastructure to stop the decline of schools, hospitals and general needs of a healthy community and economy.

1.Value added Agriculture. Eastern MT is a very large part of Montana ag receipts. The area ranks 2nd in the U.S.A for Durum Wheat and Flaxseed; #3 in Spring Wheat; #6 in coal and sugarbeets; and #8 in pinto beans.

NEEDS: Irrigation and water development; Processor recruitment and market development; marketing efforts; road and railroad improvements and general community infrastructure improvements.

A.There are 2 new dairy operations: Recruit more dairy operations to the area. Help shorten MT DEQ permit response time and review funding method of the Milk Bureau and related activities.

B.Malt Barley processing plant recruitment.

C.Pea, lentil and Bean processing plant recruitment.

D.Irrigation project development: Fort Peck Tribe North Sproll, Belle Prairie, West of Crane and a number of others.

E.The area has the base resources to support a fertilizer and/or chemical plant.

F.Ethanol and bio-fuel development. Support to maintain Montola plant in Culbertson and to develop ethanol projects. Montana Feed and Fuels in Miles City and the current effort between Glasgow and Wolf Point.

G.Support for the Crystal Sugar sugar beet processing plant in Sidney.

H.With ag processing the area of research and development, biotechnology and related areas could be developed. More support for the Ag research centers.

I.Continued support for the small ag related processors and efforts. Marketing, capital and technical support.

2.Energy Development. This is possibly the largest area for a positive impact to the area. With multiple and many sources of energy (wind, coal, gas, oil, bio-energy and others) the area could support more agriculture processing, light manufacturing and high tech industry (in particular serve farms).

Needs: Promotion of the area, assistance with environmental permits and process, transmission infrastructure development and road and railroad development.

A.Great Northern Properties Nelson Creek coal project.

B.Wind Hunter LLC wind farm project.

C.Otter Creek development.

D.Road, electrical and transmission infrastructure for the oil and gas companies. Support to the counties, municipalities and schools for road and service impacts.

E.Ethanol and bio-fuel development projects.

3.Community Infrastructure and community needs:

A.Road and railroad infrastructure upgrades. North to South corridor development. Upgrade of Highway 2. Better use and promotion of 24hr port of entrance at Plentywood and traffic flow to all points, especially Denver, Co; Salt Lake, UT and south.

B.Housing development and improvement. There is need for more and more affordable low and moderate income housing.

C.Rural regional water system infrastructure. Support Dry-Prairie and Dry-Redwater regional water systems.

D.Downtown revitalization and development. Parking and traffic flow and support to business people to invest in towns that are declining.

E.Nursing home, hospital and healthcare related support and improvement. Professional service and other recruitment, such as: doctors, nurses, dentists, veterinarians, and so on are needed.

F.More educational outreach and effort support to the high schools and community colleges for eastern Montana businesses and individuals. Support for more business development and encouragement in the High Schools.

G.Continued job training programs and long distance training opportunities.

H.New resident recruitment efforts or incentives to locate in eastern MT.

I.Multi-family and rental property investment and development.

J.Assisted living and senior apartment assistance.

K.Continue support and development of the communications network, facilities and capabilities.

L.Leadership and community awareness programs and efforts.

4.Tourism Development:

A.Road and related upgrades and development.

B.Increased marketing efforts targeted directly at eastern Montana. Promotion of open spaces, Cowboys and Indians, bird watching, hunting, fishing, photography, and especially Dinosaur resources.

C.Continued support to businesses attempting to develop tourism business opportunities. Access to capital and technical support.

D.Signage and related assistance and guidance.

E.Support to local tourism infrastructure projects. Example: Fairview Bridge Project.

5.Business retention and recruitment.

A.Access to capital and financial resources.

B.Access to marketing and management support.

C.Access to better methods of providing health care to employees.

D.Incentives to invest into the frontier businesses. This is a difficult area as it is difficult for a frontier business to take the risk of investment in their business in towns and communities that are shrinking.

E.Continued support for local economic development efforts. As Local as possible of any development effort is critical. However, support for regional resources like cooperation, training, networking, and expensive technical support and revolving loan fund resources are needed to support the local efforts due to the expense and required technical knowledge.

All State and Federal resources need to look are the frontier area of Montana and try better to truly understand the challenges and opportunities. Many of the businesses are very small. All programs need to take this into consideration and adopt policy and guidelines to allow broader access to resources for businesses and communities of these small sizes. Including out migration and population aging as reasons for assistance should be continued and deserves further consideration.

If the State is to succeed economically its help is needed to address these frontier areas of Montana. If a plan could be fully supported by a majority of local and state resources the chances of success greatly increase. It is felt that the development of irrigation projects, energy projects, tourism destination opportunities and value added ag processing industries combined with needed business and community infrastructure, education and community service development to help eastern MT is needed. Only with these types of larger projects can living wage and related jobs be created to help stop the loss of the people in our frontier area.

Your continued support, guidance and efforts to assist eastern Montana is much needed and appreciated. We all welcome your input and continued participation.
The entire communities of eastern Montana look forward to working with you on solutions to our frontier challenges.

Thank you,

The Eastern Montana Economic Development Coalition:
A team approach by all of the eastern Montana economic development groups and many citizens. One of the contact points: Tod Kasten 406-485-3374

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Event: “Gateway To Opportunity”-a Regional Economic Development Forum, 10/13, Dickinson, ND http://www.matr.net/article-15756.html