Economic Development and National Parks

NPR had a fascinating story this morning that really highlights what "economic development" has come to mean.

Roxanne Quimby, founder of Burt's Bees, has been slowly buying up property around Millinocket, Maine that has been abandoned by paper mills. Her ultimate goal is to donate 70,000 acres and an endowment to the National Park Service for the creation of a new national park.

For national park fans like me, that's great news. The eastern half of the United States just doesn't have room for sizable national parks--most the large parks in the western half were created before the population boom--and another park in Maine would be a wonderful addition to the system. The fact that a private citizen has done all the work acquiring the land makes this a no-brainer proposition.

Why, then, is there so much opposition in the state to this idea?

The town of Millinocket and the Maine State Legislature have both opposed the park, as have most of the state's Congressional delegation. Protests have arisen over the National Park System's regulations prohibiting certain activities in parks, including timber milling.

But according to NPR:

It's been three years since work stopped at the mill in Millinocket, Maine, and there are signs everywhere of the toll that's taking: vacant storefronts; 50-percent-off signs; and on the block in front of the mill, several homes for sale, one with a handmade sign saying, "$25,000 as-is — make an offer"... Residents are crossing their fingers about going back to work, but the local unemployment rate stands at 21 percent.

The town certainly seems hard hit and is likely having trouble adjusting to this new reality. Industries of the past may never return to Maine--or to the nation at large--but that doesn't mean Millinocket is destined to become a ghost town. Tourism and travel--particularly in areas of our nation with beautiful natural resources--is an economic model that's often overlooked in favor of older, out-dated ones.

Source: James W. Sewall Co.

Credit: Nelson Hsu/NPR

Acadia National Park, also located in Maine, has one of the highest visitation levels of any national park and provides 14 times the economic value in comparison to its budget. In fact, it has one of the highest benefit to cost returns in the park system. The U.S. National Park System: An Economic Asset at Risk describes, in detail, the economic impact of Acadia and other national parks.

Highlights of the Acadia’s economic importance include:

• $100 million in annual recreational benefits, providing a park benefit to cost ratio of more than 14 to 1.
• $137 million in annual visitor spending, supporting more than 3,500 local jobs (not including park staff).
• Amenity values contributing to annual population, employment,and personal income growth rates 0.5% to 1% higher than the state average.

And the proposed park in nearly twice the size of Acadia.

Paper mills, factories, and other industries may simply never come back to some of these towns. It's time to start embracing a new model of economic development, one that takes full advantage of an area's natural resources but looks at it in a new light--that of tourism.

A Tale of Two Cities

I recently when on a trip back East and visited two well-known but very different cities--Niagara Falls and Georgetown.  One was thriving--great stores and restaurants, a lively atmosphere and a steady stream of pedestrian traffic. The other was not just deserted, it was decaying.

First stop was downtown Niagara Falls.  Despite being within walking distance of one of the most amazing tourist destinations in the country, the downtown was barely hanging on.  Storefronts were vacant, historic buildings neglected and there was an overall sense of resignation.  Even the area immediately surrounding the falls was a disappointment.  Major projects--indoor gardens, attraction restaurants and the like--had come and failed. All that was left besides the empty buildings was a handful of t-shirt shops and pay lots. Even so, residents still spoke of a casino as the future hope for the city.

The state parks surrounding Niagara Falls and the nearby Niagara Gorge were wonderful--bike trails, hiking trails, plenty of beautiful nature areas.  It seemed odd that this huge resource was almost ignored as a potential revenue generator.  It makes some sense--Niagara was always a city of big industry so looking to another big project to save the city is an understandable, although flawed, approach.

What's the solution for Niagara Falls?  The downtown area could stand a heavy influx of dollars, even in the form of incentives.  A block-by-block project with a dual focus of repairing historic buildings and recruiting small businesses would be the most reasonable approach. Ironically, it's thinking small that will bring them success, not thinking big.

Niagara also needs to embrace tourism--in particular, adventure tourism--as a legitimate economic generator. Look at some of the small towns in Utah who live and die based on tourism and their proximity to National Parks.  Really, who would go to Moab if they didn't have a big mountain biking culture and the scenic locations to back it up? (I think the best thing the state could do is turn Niagara Falls and the Gorge over to the National Park Service to create a large and instantaneous visitor base--but that's not a suggestion New Yorkers like to hear.)

So what's the solution for Niagara Falls? Think small and think different.

Next up--Georgetown and what's going right for them.

Find me at www.discoverthedistrict.com.