Transcript
Special
Thanks
to
our
Biotech
II
Event
Sponsors
Mr.
Kurt
Weigle
President
&
CEO
Downtown
Development
District
Honorable
Karen
Carter
Peterson
Louisiana
State
Senator
District
5
Mr.
James
A.
Richardson
John Rhea Alumni Professor of Economics
Louisiana
State
University
The New Orleans Economy and the Proposed BioDistrict Preliminary Estimates
Dr. Jim Richardson* John Rhea Alumni Professor of Economics Louisiana State University
Dr. Richardson has been assisted by Roy Heidelberg, a doctoral student at The Ohio State University, and GCR and Associates *Dr. Richardson is solely responsible for the findings and analysis.
THE
Economy of New Orleans: Significant Challenges
93,000 jobs lost 57,000 housing units out of service Damaged infrastructure Diminished public services Minimal private investment
THE
Response of New Orleans : Major Efforts
Major Investments
• • • • • • • • • VA/LSU Medical District Federal City New Orleans Bio-Innovation Center FEMA Dollars for public schools Port of New Orleans New Orleans Cancer Research Center Valero Refinery World War II Museum, Hyatt Hotel, Louis Armstrong Airport Major prison complex, Twin Span Bridge, State Highway Projects, levee projects
Ongoing Activities
• • • • • • • Blade Dynamics—windmill blade manufacturing Transportation Consultants at the Port of New Orleans Folgers Coffee expanding sites in New Orleans and St. Tammany Textron Marine, a new contract from the U.S. Army Second line Stages Film Studio Rooms to Go in St. Tammany Edison Chouest building campus in Mandeville for operating ROVs
THE
Future of New Orleans: What we have and what we need
Existing Industries
Tourism – – – – Port – – – Energy – – – Business back, but still competing with aggressive ports in Texas and Alabama Capacity to double its container/breakbulk business Extra ton of cargo adds about 1100 jobs in the state Convention business coming back modestly, but still well below 2004 peak A very special city with over 8 million visitors Leisure and hospitality still down almost 20,000 jobs New cruise ships
Importance of New Industries and New Approaches
Strength of New Orleans is its downtown district
– – Medical
District
becomes
the
central
element
in
being
a
new
industry
and
being
in
the
downtown
district
None
of
this
dismisses
other
parts
of
the
city
or
the
metropolitan
area‐‐‐every
inch
of
the
city
can
feed
off
the
downtown
development
and
progress
Carbon sequestration Deep water drilling “Green” industries
Manufacturing Facilities – Northrup Grumman—closing down but work is being done to offset some of this decline – Refineries
Medical Centers Are Economic Engines
Estimated Economic Significance of Medical Centers in Selected Cities with Major Medical Research Programs
Health Care is already a major employer in New Orleans, but it is a support industry more than an economic driver
Employment and Average Annual Pay by Industry in the New Orleans Metropolitan Area (2009)
Construction Impacts
• he BioDistrict will witness T especially significant construction impacts within the first 3 – 4 years as the VA and UMC hospitals are built • onstruction activity will C generate 7,600 jobs per year within the first 3 years • here will be substantially T less construction activity in years 5–20 as ancillary facilities and uses are constructed • n years 6 through 20, onI going construction activity will continue to generate 400–550 new jobs per year
Construction Activities of VA Hospital, University Medical Center, and Other Projected Investments in BioDistrict, 2011 through 2030
(all dollars in millions)
Economic Impact of BioDistrict
(on
an
annual
basis,
2010
dollars)
Aggregation of Personal Earnings, State Tax Collections, and Local Tax Collections
(millions
of
2010
dollars)
Enduring
Economic
Impacts
• hese employment projections are fundamentally T conservative, as the commercialization of medical technologies and other advances could yield even greater employment impacts • ver 20 years, the District will generate an O additional $595 million in local tax collections and $700 million in state tax collections • ver 20 years, the New Orleans region will O experience $9.6 billion in personal earnings as a result of major investments in the BioDistrict • y year 5, planned investments in the District will B create or save approximately 5,500 direct jobs and 9,700 total jobs in the metro area • y year 10, planned investments will create or save B approximately 7,600 direct jobs and 13,400 total jobs in the metro area • y year 20, planned investments will create or save B approximately 9,800 direct jobs and 17,200 total jobs in the metro area
Concluding Remarks
Employment Projections are conservative estimates of impact Most compelling part are the actual case study evaluations of communities such as Houston, Birmingham, Cleveland, Memphis, Chicago, and LaJolla Research activity and accompanying private investment have resulted in employment and economic impacts that exceed our estimates. The investment in biosciences and research have paid off very handsomely for the communities. But it has been the result of long-term and sustained commitments.
The New Orleans Economy and the Proposed BioDistrict Preliminary Estimates
Dr. Jim Richardson* John Rhea Alumni Professor of Economics Louisiana State University
Dr. Richardson has been assisted by Roy Heidelberg, a doctoral student at The Ohio State University, and GCR and Associates *Dr. Richardson is solely responsible for the findings and analysis.
BioDistrict New Orleans: Opportunities
BioDistrict New Orleans: Community
JOBS COMMUNITY ENGAGEMENT
EDUCATION
TRAFFIC / PARKING / WALKING / TRANSIT
ECONOMIC DEVELOPMENT JOBS AND TRAINING COMMUNITY BUILDING CIVIC LEADERSHIP
HOUSING + NEIGHBORHOODS
PARKS + RECREATION CHARACTER & IDENTITY
COMMUNITY SERVING FACILITIES
Thank
You!
James
P.
McNamara
‐
President
&
CEO
Bonita
Robertson
‐
Special
Counsel
Jaime
Guillory
‐
Comptroller
Arthur
Simons
‐
Special
Projects
Ishaneka
Williams
–
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Media
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More
Informa\on:
www.bionola.org