Regional Development Associates: Leading Successful Economic Development, One (Smaller) Community at a Time
14 Nov, 2011
By: Jennifer Alten
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With a population of 53,000, Manhattan is home to Kansas State University and close to Ft. Riley. |
For rural and mid-sized communities looking for outside help to raise funding, awareness and support for economic development programs, Regional Development Associates (RDA) is a force to be reckoned with. The firm, with locations in Florida, Arkansas and South Carolina, and plans for another in Texas, specializes in working with smaller communities on their capital campaigns – an unusual niche, since most economic development firms and consultants typically set their sights on larger cities.
A deep commitment to communities outside the urban prism
“Many states argue that most of the resources come from the rural areas to take care of the huge demand in the urban areas,” said RDA president and co-founder Marlene Dial. “I want to provide a service to those that are supplying these resources, to those that are disenfranchised – which is the rural areas. I want to show that rural areas deserve the same attention as the larger ones,” she said.
This argument is backed by a recent study conducted by Minnesota Rural Partners (MRP) and the U.S. Department of Agriculture. Looking at the effect that rural Minnesota has on Minneapolis/St. Paul, this study showed that improvements in rural manufacturing performance results in significant new white-collar urban jobs and new sales for city-based suppliers.
Generating both capital and support
RDA was founded in 2003 by seasoned economic developers Marlene Dial and her husband, Jerry Hinson. Both have spent years working directly with community
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Marlene Dial |
and organizations bridging the gap between the public and private sector.
Taking on a larger role than simply fundraising, RDA works with entire communities and their stakeholders to identify core objectives, and then works to build consensus among the group.
“We bring people together. We start by understanding where the minefields are and work on clearing them up. Once we do that, we can begin our capital campaign – and start giving back to the community,” said Hinson.
Raising money and expectations in “The Little Apple”
One place where RDA’s success is evident is Manhattan, Kansas. This town of approximately 53,000 people recently earned the top spot on Forbes magazine’s list of the best small places for business and careers. According to USA Today, in 2010, Manhattan was the state’s most affluent metro area, in stark contrast to ten years prior, when it was among the state’s six poorest.
Jerry Hinson first worked with Manhattan’s Chamber of Commerce in 2006 on a capital campaign to raise money for economic development activities. It was so successful that chamber officials brought RDA back in February, 2011, for help on another campaign called Advantage Manhattan 2. They asked Hinson for help with developing a strategic economic development plan for the next five years– and to help raise $2.6 million to fund the efforts.
RDA began by conducting a feasibility study and identifying more than 80 private stakeholders, typically local business leaders, who would support the program. Hinson and his team then identified six key economic development initiatives to benefit stakeholders and the region. For example, Hinson identified a need for increased efforts on growing and retaining local businesses.
“While many communities are trying to recruit new business, it’s essential to retain and grow business from within. One area we identified was to make it easier for business leaders to grow within their own community.”
This effort has clearly paid off. With several months of fundraising still left, RDA and Manhattan have raised $2.3 million and are easily on target to secure the rest.
Elaborating on the campaign’s success, Manhattan Area Chamber of Commerce president and CEO Lyle Butler said, “Every community has its own culture and personality. It’s important to work with people who understand your community and are willing to immerse themselves in the community. RDA has become an extension of our Chamber of Commerce. There is no difference between them and us – they fit like a glove.”
The success of RDA’s previous campaign, along with the potential of the current one, isn’t lost on Manhattan’s business community.
“When I think about all the positive changes over the past few years, the continued growth of Ft. Riley (located near Manhattan) and Kansas State University, the success of securing the National Bio and Agro-Defense Facility and new retailers coming to our community, the success of bringing retirees to Manhattan and being one of the most recognized communities in America to weather the recession, it is very impressive,” said Dennis Mullin, president of Steel and Pipe Supply Co. “This wouldn’t have been possible without the leadership of the Chamber and the financial support provided by Advantage 2.”
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The annual Balloon Fest in Poteau, Oklahoma, typically draws 20,000 people. |
Raising millions in a town of only 8,500
Another area that has reaped the benefit of working with Regional Development Associates is Poteau, Oklahoma, a town of 8,500 about 30 minutes from Ft. Smith, Arkansas. Community leaders planned to build a new library and raised funds through public sources such as taxes. But, because they wanted to reduce the public burden, they decided to raise $2.5 million in private funds to offset the cost to the community – and turned to RDA for help.
Led by Marlene Dial, RDA took a similar approach to their process in Manhattan. Dial conducted a feasibility study to determine if raising that kind of money in such a small community was possible. After determining it was, she then worked to identify the key stakeholders who would make this campaign a success.
However, Dial is quick to point out that RDA tailors its work specifically to each community.
“We don’t use a cookie-cutter approach to economic development capital campaigns,” she said. “Each area has its own needs. We do a lot of legwork, asking people what it takes for them to get behind this initiative.”
Marlene cited one example of her strategic, creative approach.
“If you think that an investor will put in $150K towards the library because he’s Hispanic and wants a children’s Hispanic reading room to support the expected influx Hispanics in the community, then you’ll be sure to get in front of him.”
Poteau mayor Jeff Shockley said, “At RDA, they take the time to meet the people within the community. This lets them get a feel for who’s in, who’s out, who are the leaders and who are the movers and shakers – all of which are important for a capital campaign. Then, they’re able to structure a commitment to utilize each person’s talents to the best benefit.”
Shockley added that RDA does more than simply raise money. He cited their public relations work to build consensus and generate support for the campaign.
Poteau’s library is expected to break ground in November, 2011, and open in September, 2012. Located next to a new $10 million community center, it will anchor a municipal center in downtown Poteau.
“There’s a lot of energy there,” said Shockley.
A laser-like focus – and success – in South Louisiana
RDA is also working with the South Louisiana Economic Council (SLEC), a four-parish regional economic development organization on Louisiana’s Gulf coast. Looking to switch their reliance from public sector to private sector funding, SLEC partnered with RDA in April, 2011.
SLEC, led by president/CEO Vic Lafont, is in the midst of raising $3 million, which will be spent over three years promoting economic development in the area.
In addition to developing the strategic economic development plan and fundraising, Regional Development Associates helped SLEC transition to a new board of directors, which helped revitalize the organization and bring in a fresh perspective.
Lafont commented on the benefit of working with RDA.
“The secret of RDA’s success is the versatility and adaptability in their deployment of actual campaign activities. They recalibrate their services as necessary from urban to rural or rural to urban,” he said. “Going beyond gathering economic data, RDA spends extra time, effort and care in researching the DNA –the culture and traditions – of each community, which results in laser-like profiling.”
“The initial focus and eventual execution of RDA’s capital campaign model is well balanced between who it is servicing with that of accurate and dependable data,” Lafont added.
Bringing success to the nation’s smaller communities
Since Regional Development Associate’s inception nearly a decade ago, the firm has helped dozens of rural and mid-sized communities around the country flourish. This is partly because of hard work, partly because they understand the dynamics of smaller communities and partly because they have their pulse on economic development best practices.
However, Jerry Hinson describes it more succinctly. “We bring the community together for a better quality of life.”
