Hohenwald/Lewis County selected for Economic Development Pilot Program

Hohenwald, Lewis County was among eight rural communities in Tennessee selected as part of a pilot program for economic growth.  The program, Creating a Rural Entrpreneurial System also known as CREST, is designed to assist in the transformation of local economies.

The University of Tennessee Extension, the UT Institute for Public Service and the Tennessee Department of Economic and Community Development will partner in helping the communities develop key components of entrepreneurship and small business development.

Other communities selected for the CREST pilot community program include: Crossville/Cumberland Co., McMinn Co., Perry Co., Pulaski/Giles Co., Dyersburg/Dyer Co., Paris/Henry Co. and Weakley Co.

While the U.S. continues to battle high unemployment rates and a recession, many community leaders are looking for innovative ways to create jobs and economic activity. To do so, leaders are now embracing a growing trend in the economic development world – entrepreneurship and small business development.  According to a 2008 University of Tennessee report, Tennessee entrepreneurs generated more than $23 billion of the state’s total personal income and represented 84 percent of all Tennessee employer firms in 2006, demonstrating strong economic potential.

“UT Extension is uniquely positioned to help with this pilot program. We have offices and personnel located in the participating communities and our campus-based rural development experts are well qualified to help the communities launch local efforts to improve entrepreneurship and business development,” Dr. Tim Cross, dean of UT Extension said.

Jason Morris, Lewis County Agricultural Extension Agent will coordinate the project in Lewis County

Dr. Michael Wilcox, a rural development specialist with the UT Department of Agricultural and Resource Economics, will lead the project.

According to the project’s website, CREST will “assist the community in understanding the impact and importance of small business development to the long term sustainable development of their local economies and identify components that should be in place in the community to support small business development and entrepreneurship.”

The program should also “help the community develop an effective organization [to] focus on small business and entrepreneurship development in the community [and] assist the community in an asset-based strategic planning process” that identifies existing assets and weaknesses in a community.

The community, through the CREST program will gain the knowledge for development of a strategic plan to address business opportunities and needs.  CREST representative will work with the community to “prioritize potential projects, and choose a project that builds upon local and regional assets and that will be implemented over a one year period.”

Each was selected based on economic need, demonstrated success in developing public-private partnerships; commitment to small business and entrepreneurship development; and willingness to participate in an eighteen-month process that includes training, strategic planning and technical assistance.

At the culmination of the planning process, a $2,000 grant will be provided to each community to help offset the project costs.  The development of the pilot program and its participating communities will be documented by University staff and compiled into a manual for community leaders considering new strategies to foster entrepreneurship and small business strategies in their local economies.

“Small business and entrepreneurship provide a solid foundation for economic development in all communities,” said Dr. Mary Jinks, vice president of public service for UT. “We believe the Creating a Rural Entrepreneurial System in Tennessee program will provide a tremendous boost to these eight areas, and go a long way in helping them develop positive and long-lasting business options.”

“We are honored to play a role in the creation and development of a program that will spark economic development in many Tennessee communities and, consequentially, bring better jobs to the area,” said Tennessee Department of Economic and Community Development Commissioner Matt Kisber.

In addition, the United States Department of Agriculture and Delta Regional Authority awarded the University of Tennessee’s Extension Service with a $23,750 grant in support of the program.  The Tennessee Valley Authority is working with University Extension staff in the development of community statistical databases and will share its research on the retail industry.  The Tennessee Departments of Tourism and Tourist Development and Agriculture have also pledged to assist communities that identify tourism and agricultural-related projects.