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August 16, 2004

COMMENTARY: Getting positive | Despite high unemployment and poverty, Washington County has prospects for success

By Dianne Tilton
Executive director, Sunrise County Economic Council, Machias

Whatever Maine's unemployment rate is, you can expect Washington County's to be about twice that. At least it has been since 1993, when the Sunrise County Economic Council was formed. Our organization was created to involve local people in economic development, help businesses and communities find the outside support they need and try to balance the need for good jobs with a clean environment and the small rural communities we love.

We were formed for two reasons. One is that the traditional role of nonprofits is to replace or relieve the work of government. Economic development is typically a function of municipalities, but very few of our local governments (three out of 47, to be exact) have a staff person devoted specifically to this work. But more importantly, we were formed because Washington County people deserve quality, reliable employment opportunities, and those are less likely to happen without some entity to facilitate business, workforce and community development.

These three things seem simple enough, but in an area with chronic unemployment and underemployment, even simple things are difficult. Washington County's June unemployment rate was 7.6%, compared with Maine's at 4%. Over the past decade, our unemployment has ranged from a high of 13% in 1993, while Maine's rate was 7.9%, to a low of 7.8% in 2000, while Maine's was an impressive 3.5%. An underperforming economy has many consequences that make a remedy very complicated.

The first complication is the county's image. How do we convince future employers, whether they are in our midst or not, that this region can support their needs, when all they hear about the area is its troubles and challenges? How do we let them know about the enthusiastic, bright people who are running thriving businesses in the area, about the companies providing good jobs with benefits that have zero employee turnover?

Then there's its history. Any chronic situation, including high unemployment, eventually creates resignation. People accept that work is seasonal, that jobs are temporary, that factories employ hundreds today and are gone tomorrow, that whole industries dwindle away and you take what you can get when you can get it. Rather than surrendering, however, we must find, enhance and use our natural assets. Scarcity can force innovation. A lack of resources can encourage creativity. Insecurity can create self reliance. These are great advantages.

And of course, there's the matter of financial resources. I believe what will ultimately make Washington County prosperous will be the very things that have worked against it: its remote location, its lack of development, its small population. These factors are ideal for "lifestyle entrepreneurs" who can work or start businesses anywhere they choose. We are already a destination for retirement and second homes because of our relatively affordable coastline and low crime rate.

But capitalizing on our strengths takes money ˆ— money for education, investment, training, planning and people ˆ— that local communities do not have. That means the modest gains made in the region ˆ— the county actually had 300 more jobs at the end of 2003 than were here 10 years ago ˆ— have taken an extraordinary amount of effort. SCEC is not all about trying to recruit new companies to the region, however. For long-term success, a region needs more than jobs; it needs leadership, infrastructure, investment, an educated workforce, informed and empowered citizens.

So besides helping businesses expand or start up in the region, we operate a leadership development program. We offer scholarships to help adults advance their education. We developed the Downeast Heritage Center to become a tourism destination. We helped a small town redevelop a closed Navy base. We're helping a marine research institute increase the county's capacity for shellfish research and development. We're preserving our working waterfronts, revitalizing village centers.

And as we try to raise the money we need to do this work, we are fortunate to win some state and federal grants, and we've attracted the attention of some foundations that appreciate our grassroots work. But relying exclusively on outside funding makes our organization vulnerable. To create some kind of permanent revenue stream, SCEC established an endowment, planning to raise $1 million for some interest income to steady our budget. We have raised a $0.5 million so far. I think that's impressive. But on the other hand, I know of two major land conservation deals in Washington County that together will raise more than $60 million. That suggests another challenge ˆ— balancing environmental and economic priorities.

The bottom line isn't money or numbers ˆ— it's attitude. Depending on your perspective, Washington County has the highest unemployment in Maine, or the highest potential for job growth. We have problems, or we have opportunity. SCEC is helping local people pursue those opportunities, and we believe with persistent effort, the region will become a success story all of Maine can be proud to tell.

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