5 Big Economic Projects -- Can Raimondo Get Them Done?
GoLocalProv News Team and Kate Nagle
5 Big Economic Projects -- Can Raimondo Get Them Done?
SLIDES: 5 Big Economic Projects -- Can Raimondo Get Them Done -- BELOW
“During her first year, Governor Raimondo launched our comeback with three key priorities: building skills, attracting business and innovating in government. These priorities – and an unwavering focus on putting people back to work and expanding opportunity – guide her every decision,” said the message on the Governor’s YouTube channel on December 2.
GET THE LATEST BREAKING NEWS HERE -- SIGN UP FOR GOLOCAL FREE DAILY EBLASTNow, the Governor is faced with a number of economic development opportunities that will in part determine the fate — and success — of the administration.
"During her first year in office, the Governor has made economic development and job creation two top priorities. The Governor has introduced and implemented a number of major programs to make the state more competitive in retaining and attracting businesses," said URI Distinguished Professor of Business Edward Mazze.
"With everyone working together, significant progress can be expected on I-195 land development, out-of-state businesses looking at Rhode Island as a place to locate and Rhode Island businesses looking more favorably as a state to expand their existing businesses. Along with the work of the Lieutenant Governor and the Small Business Advocacy Council, the state's image towards business will become more positive in 2016," Mazze predicted.
First Term Impact?
One Governor in recent history who accomplished an impressive number of projects in his first term — despite a number of challenges — included building the Convention Center, revamping the airport, and financing the Providence Place Mall.
Mazze offered his assessment of the Sundlun's accomplishments -- and prognosis for the Raimondo administration.
"Sundlun came into office when the state had a serious financial problem. He was a "take no prisoner" governor. He had a vision for the state. He attracted a team that was loyal and knew that they would be held accountable. The economic times were different than they are in 2015. He was a "natural" leader...he said what he meant and he meant what he said," said Mazze. "His ideas were not provincial. As a successful businessperson, he witnessed what other states did to grow and applied these lessons to Rhode Island. He thought big when it came to making Rhode Island an attractive place to live and work."
"Economic change takes time," continued Mazze. "Rhode Island was among the first state to enter the 2007 recession and the last to leave the recession. During the last four years, the state has had no unified/focused economic development program nor any real economic leadership. The state's reputation for bad economic decisions, corrupt government, extraordinarily high unfunded public pension and health benefits along with high city/state budget deficits resulted in the state "rolling down the hill" when attempting to retain and attract businesses and create jobs. New economic development projects take time. But we are now on the right track."
5 Economic Projects - Can Raimondo Get Them Done?
#5 Wexford-CV Properties
The Raimondo administration continues to work with the 195 Commission to seal the deal with the Baltimore-based Wexford Science and Technology for development of prime real estate on the former highway land. While a proposal was made back in June for a mixed-use project, the negotiations between the state and the life sciences have been mostly behind the scenes, with a key vote taken on the proposal taking place Monday night -- in closed session.
"It is important to note that a P&S while an important milestone, is still just a step in the development process," said Commission spokesperson Dyana Koelsch. You can see the plan as presented on the Jewelry District's website HERE. Will we see shovels shortly?
#4 General Electric
Reports that the Connecticut giant is eyeing a move elsewhere — with Rhode Island on that short list — has many a Ocean Stater excited at the possibility. The Boston Globe not surprisingly made the case that their state should top the list (taking a dig at the others), saying that the "Boston area is on the short list of contenders for the headquarters and its 800 people, as GE’s search focuses on high-cost states in the Northeast. In relation to those states, Massachusetts compares favorably on its business tax climate."
However a Connecticut State Rep told the Hartford Courant a month earlier that Rhode Island as an option “wouldn’t surprise him.” Said State Rep John Frey in November, “It's been expressed to me by a couple of people at GE that they've been impressed by what the governor has done with state employee liabilities." To say a GE coup by Raimondo would be monumental for Rhode Island would be an understatement.
#3 Citizens' Campus
The Rhode Island-based banking powerhouse has indicated that is looking for a vacant location state as a potential new campus for 4,000 + of its employees — while maintaining its headquarters downtown at One Citizens Plaza. There is little indication at this time however of consideration of a vacant parcel of prime Providence real estate just to its HQ's south (that being the Industrial National Bank “Superman” building); the bank is indicating that keeping its support facility in Cranston is still an option.
“The lease for our service and support facility in Cranston expires in 2018. We are exploring several opportunities ranging from renewal to potentially consolidating some of our staff and back office functions at a new location in Rhode Island," said Citizens spokesperson Jim Hughes. Watch to see how Citizens moves forward -- and what, if any, role Raimondo has in the process -- and outcome.
#2 Superman Building
The arguably most iconic building in Providence — and Rhode Island’s - skyline lost its last tenant in 2013, and a year later an appraiser deemed it to have “zero value.” A failed effort to utilized tax credits and public investment by High Rock Development has left watchers asking if and when anything is going to move into the historic (if slightly aging) building.
Former Mayor and real estate developer Joseph Paolino, who has been a vocal supporter of trying to get Citizens Bank into Superman, told GoLocal, “I think the biggest problem [in the city] is Superman, because it depresses everything around it. Paolino, who bought three properties nearby downtown back in 2014 — said the revelation that the Industrial National Bank building was empty had cost him a mortgage with a major lender.
Whether there is an opportunity for a Citizens Bank move, or a new developer to re-package a viable mixed-use proposal, if the Superman building is still empty in several years' time, that is not a win for anyone -- not the city, not the state, and not the Governor.
#1 195 Rollout
When Raimondo took office, she understandably made a number of changes on the 195 Commission. A tax stabilization agreement (TSA) structure was finalized this past summer, and the Commission has the Wexford biotech proposal moving forward — but how much more development, and how soon, will the Raimondo administration be able to accomplish what it pledged it would do?
Raimondo called for the 195 land to be a manufacturing hub during her campaign — and while year one might have been setting the stage, the next years are critical for the state — and Governor. Will she usher through her proposed Innovation Institute?
