Eastern Maine Comprehensive Economic Development Strategy

Economic Development COMPREHENSIVE

STRATEGY

2021 - 2025

Contents Introduction Pages 3-4

Regional Assessment Pages 5-9

SWOT Summary Pages 10-22

Vision Statement Page 23

Action Plan Pages 24-31

Evaluation Framework Page 32

Economic Resilience Pages 33-37

Summary Call to Action Pages 38-39

Acknowledgments Pages 40-43

Online Resources Pages 44-45

Index

Pages 46-47

Eastern Maine Development Corporation (EMDC) is a 501(c)3 nonprofit organization that has provided extensive economic development services to Penobscot, Piscataquis, Waldo, and Hancock counties since its establishment in 1967. From Isle au Haut to Island Falls, EMDC provides workforce development, impact lending, and procurement technical assistance to bring economic vitality to eastern Maine’s businesses, communities, and job seekers.

As a designated Regional Planning Commission, EMDC assists communities in reaching their comprehensive planning goals to guide and support local and regional growth. EMDC’s integrated programs and individualized services accelerate regional development through a holistic approach by fostering the creation and retention of jobs and providing handson support to new and existing businesses.

As one of seven designated Economic Development Districts (EDD) in Maine, EMDC is responsible for developing, maintaining, and updating Eastern Maine’s Comprehensive Economic Development Strategy (CEDS). To promote regional economic growth and continue our partnership with the Economic Development Administration (EDA), the CEDS is updated every 5 years. As a strategy-driven plan for regional economic development, the CEDS is a guide to establishing regional goals and strategies to support long-term economic prosperity in the eastern Maine region.

THE PLAN This regional economic development plan serves as the 2021 five-year update to previous efforts in 2016 that focused on developing strategies to spur economic growth following the massive layoffs and closures of 5 paper mills, decline of

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traditional manufacturing, and negative business impacts. Since the last CEDS update in 2016, regional economic conditions and trends have changed.

This plan identifies current conditions, trends, and strategies for leveraging the region’s existing and emerging assets and opportunities for future economic growth.

HOW TO USE THIS REPORT

Intr duction

A strategy-driven plan for regional economic development.

This report is the result of EMDC’s collaborative efforts with regional stakeholders representing communities, businesses, industries, and economic professionals to develop a plan that identifies strategies to leverage regional assets and opportunities, diminish barriers, and create a vibrant and competitive economic environment that is diversified and resilient. From the state’s 10-year Economic Plan, 4-year Climate Action Plan, and reports distributed by the Governor’s Economic Recovery Committee in the wake of the COVID-19 pandemic, there have been several recent publications authored by state groups including the Department of Economic and Community Development (DECD), Maine Climate Council, and the Governor’s Office of Policy Innovation and the Future (GOPIF). Readers are encouraged to use the data provided throughout this report to build local strategies that align with and complement regional and state efforts.

In addition, alignment with the regional CEDS can effectively build local efforts as communities and businesses search for federal and state funding streams for business investments and local economic recovery efforts. The CEDS is considered a ‘living document’. As time passes and regional conditions and trends change, the data in the CEDS plan will be updated periodically to reflect those changes.

2021 COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY

Representation from local businesses, municipalities, counties, state departments, and congressional and federal entities.

PUBLIC INVOLVEMENT The engagement of regional stakeholders played an integral role in the CEDS process. Between March and April of 2021, EMDC held three public meetings to collect input from stakeholders, conduct a SWOT analysis, discuss regional climate resilience, and brainstorm goals and strategies to incorporate into the plan.

Between the three meetings, a total of seventy-six individuals participated, representing local businesses municipalities, counties, state departments, and congressional and federal entities.

76

REGIONAL STAKEHOLDERS ENGAGED IN THE CEDS PROCESS

From the larger group of stakeholders, a CEDS Task Force was formed to fine tune the plan’s vision statement and strategies, while identifying potential implementation partners that will assist in the accomplishment of regional goals.

In the spring of 2021, EMDC collaborated with the Northeastern Workforce Development Board to develop a survey to give regional businesses the opportunity to reflect on various topics including regional assets, workforce, COVID-19 impacts, and advantages and disadvantages to doing business in the region. Ultimately, a total of two hundred and eleven businesses from Aroostook, Hancock, Penobscot, Piscataquis, Waldo, and Washington counties participated in the survey. Due to the COVID-19 pandemic, the business survey was distributed online and the large stakeholder sessions and small subcommittee meetings were held by Zoom.

Despite the virtual public involvement process, participation rates exceeded that of CEDS processes in years past which truly represents the adaptability and resiliency of the regional community.

Weighted survey responses to a poll at a CEDS committee meeting on March 11, 2021.

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2021 COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY

Before 2019, employment in the region was relatively steady, however in 2020, employment declined by 4.4%, a trend similarly experienced by the state, national and global economies during the COVID-19 pandemic.

Over the same period, employment in Maine decreased by 5.2% Between March 2020 and March 2021, the region’s unemployment rate increased by .8%, from 4.9% to 5.7%, exceeding the state’s unemployment rate of 5.4% although falling below the national average by .5%. While

economic recovery efforts are well under way, regional employment is and will likely continue to fluctuate as the local and regional economies bounce back and find a new “normal.”

Historically, the region’s economy was based on traditional manual occupations in manufacturing, forest products, and agriculture. In recent years, paper mills, once a prominent employer in the region, began closing due to declining demand and high energy costs, resulting in the displacement of hundreds of workers.

At present, the EMDC region contains 18% of Maine’s total jobs.

The four county region employs the highest number of workers in top occupations such as Office and Administrative Support, Sales, Transportation and Material Moving, Healthcare Practitioners and Technical positions, and Food Preparation and Serving. Of the region’s population, 60% (112,472 people) participate in the labor force, a figure that has decreased slightly since 2010 and sits just below Maine’s labor force participation rate of 63%.

Similarly, 81.3% of regional residents are “prime age”, between the ages of 25-54, which falls slightly below the state average of 83.4%.

Regi nal Assessment

EMDC’s Economic Development District (EDD) represents four Maine counties of Penobscot, Piscataquis, Hancock and Waldo. The region is home to nearly 20% of the state’s population at 262,750 people, 60% of which reside in Penobscot County, followed by Hancock, Waldo, and Piscataquis counties. Between the coastal, tourism-dependent economy in Hancock and Waldo counties to the rural economy in Penobscot and Piscataquis counties, the region is an economically diverse hub for living, working and doing business.

Population 201-2019 EMDC Region Source: JobsEQ by Chmura

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2021 COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY

HEALTHCARE & SOCIAL SERVICE EMPLOYS

19%

INCREASED DEMAND FOR EMERGING INNOVATION MANUFACTURING

OF THE REGION’S WORKFORCE

OVER THE NEXT 5 YEARS

As economic trends and conditions change over time, industry and workforce demands shift in response. In 2020, the region’s five largest industries were Health Care and Social Assistance, Retail Trade, Educational Services, Accommodation and Food Services, and Construction. Health Care and Social Services employs 19% of the region’s workforce and is the largest industry sector in Maine, representing 17% of total jobs.

the previous and new target industry clusters.

While Agriculture, Forestry, Fishing and Hunting, Construction, Educational Services, Tourism and Hospitality, and Health Care and Social Services remain as significant industry clusters, other clusters projected to be in demand include Manufacturing, Retail Trade, Transportation and Warehousing, Professional, Scientific, and Technical Services, Administrative, Support, Waste Management, and Remediation Services, and Other Services including civic organizations, repair and maintenance.

Emerging innovation is another subject of economic development significance as advances are made in aquaculture, cross-laminated timber, and clean energy alternatives like solar and wind.

According to Maine’s 2020-2023 Unified State Plan developed by the State Workforce Board, Maine is projected to experience the most growth in health care-related sectors, in which occupations like statisticians, physician assistants, and nurse practitioners are expected to grow the fastest. Over the next five years, the Healthcare and Social Assistance sector will be the most in-demand, adding over 10,500 jobs, followed by Retail Trade, Accommodation and Food Services, Educational Services, and Administrative, Support, Waste Management and Remediation Services which will add over 24,400 jobs to the regional economy.

Between the 2016 and 2021 CEDS updates, there are both similarities and differences between

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Although the EMDC region has experienced a decline in Manufacturing in recent years, there is projected demand for manufacturing occupations related to wind turbine generators, motor vehicles, and pulp mills over the next 5 years. Despite the continual demand for manual occupations in Construction, Manufacturing, Food Preparation and Serving, and Transportation and Material Moving, occupations projected to be high in demand that are related to Healthcare,

2021 COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY

78%

EASTERN MAINE SERVES CLOSE TO

19,000

OF THE REGION’S HOUSEHOLDS HAVE A BROADBAND SUBSCRIPTION

STUDENTS

Educational Services, Management, and Office and Administrative Support require more technical and complex skills. Fortunately, the EMDC region is home to 7 colleges and universities which collectively serve close to 19,000 students. Of the total population, the majority of the region either holds some form of postsecondary degree (40%) or has earned their high school diploma (33%). The strong presence of colleges and universities coupled with the growing popularity of micro-credential and badging programs presents valuable opportunities for the region’s population to gain the in-demand skills they need to actively participate in the workforce.

Looking into the future, regional employment and labor force participation are forecasted to follow a trend of decline, both of which are accelerated by the region’s aging population. The average median age in the region is 47.1, exceeding the state’s above average median age of 44.7 and the national average of 38.1. In addition, the out-migration of young people emphasizes the need to increase the labor force participation of existing residents and attract talent from out of state. However, the region’s below average

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wages and lack of reliable transportation, affordable housing and accessibility to broadband and quality childcare presents a barrier to the attraction and retention of a viable workforce. Of the region’s total households, 78% have a broadband subscription in comparison to Maine’s 82%. Statewide, one in six Maine families can’t get access to broadband1.

Between the coastal economy in Hancock and Waldo counties to the rural economy in Penobscot and Piscataquis counties, the EMDC region is a unique place for doing business with access to plentiful educational services, outdoor recreation opportunities, and a strong quality of life. Addressing issues that hinder economic growth will position the region to more effectively leverage its assets and enhance its capacity to retain and attract a workforce that will meet the present and future needs of regional industries and employers.

1

Steve Collins. Government Technology. Maine Continues Working on High-Speed Internet Challenges. March 2021. https://www.govtech. com/network/maine-continues-working-on-high-speed-internetchallenges.html

2021 COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY

2021 Target Industry Clusters

This table shows previous industry clusters of focus in the 2016 CEDS and identifies new industry clusters and niche sectors based on their economic development significance and projected demand over the next five years.

PREVIOUS TARGET CLUSTER AGRICULTURE & FOOD PRODUCTION

NEW CLUSTER AGRICULTURE, FORESTRY, FISHING & HUNTING

NICHE SECTORS Logging Shellfish & Finish Fishing Dairy Cattle, Milk Production, & Crop Production Miscellaneous Wood Products

COMPOSITES

MANUFACTURING

Boat Building Turbine and Turbine Generator Set Units

CONSTRUCTION & SKILLED TRADES

New Single-Family Housing Construction

CONSTRUCTION

Residential Remodelers Highway, Street, & Bridge Construction Elementary & Secondary Schools

EDUCATION

EDUCATIONAL SERVICES

Colleges, Universities, & Professional Schools Junior Colleges

FORESTRY & WOOD PRODUCTS

HEALTHCARE & BIOSCIENCE

TECHNOLOGY

ADMINISTRATIVE, SUPPORT, WASTE MANAGEMENT & REMEDIATION SERVICES HEALTH CARE & SOCIAL ASSISTANCE PROFESSIONAL, SCIENTIFIC, & TECHNICAL SERVICES

Office Administrative Services Landscaping Services Janitorial Services General Medical & Surgical Hospitals Services for the Elderly & Persons with Disabilities Offices of Physicians Research & Development in Biotechnology Veterinary Services Offices of Lawyers Outdoor Recreation – Trails, Parks & Marinas

TOURISM & HOSPITALITY

TOURISM & HOSPITALITY

Arts & Entertainment Meetings & Events

ACCOMMODATION & FOOD SERVICES

Full-Service Restaurants Limited-Service Restaurants Hotels & Motels Aquaculture

EMERGING INNOVATION

Clean Energy Alternatives (Offshore Wind & Solar) Cross-Laminated Timber

TRANSPORTATION & WAREHOUSING

Couriers & Express Delivery Services General Freight Trucking, Long-Distance, Truckload School & Employee Bus Transportation Supermarkets & Other Grocery Stores

RETAIL TRADE

Gasoline Stations with Convenience Stores Small Business Retailers

OTHER SERVICES (CIVIC ORGANIZATIONS, REPAIR & MAINTENANCE, ETC.)

Civic & Social Organizations Religious Organizations General Automotive Repair Source: JobsEq by Chmura

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2021 COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY

92%

OF RESIDENTS WITH JOBS LIVE AND WORK IN THE REGION Source: StatsAmerica

Source: JobsEq by Chmura

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2021 COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY

SW T Summary

Strengths

Weaknesses

Opportunities

Threats

• QUALITY OF LIFE • OUTDOOR RECREATION OPPORTUNITIES • COLLABORATION & PARTNERSHIPS • LOCATION OF INTERNATIONAL AIRPORT

• IN-MIGRATION • ATTRACT REMOTE WORKERS • CLEAN ENERGY ALTERNATIVES • KATAHDIN WOODS & WATERS NATIONAL PARK

• BROADBAND • AGING INFRASTRUCTURE • HIGH ENERGY COSTS • PUBLIC TRANSPORTATION

• OUT-MIGRATION • CLIMATE CHANGE • AGING WORKFORCE • LONG TERM EFFECTS OF COVID-19 PANDEMIC

Results of a SWOT analysis exercise from a CEDS committee meeting on March 11, 2021.

At a CEDS planning committee meeting in March 2021, 52 stakeholders of various backgrounds engaged in a SWOT analysis exercise to brainstorm the strengths, weaknesses, opportunities, and threats that exist in the region. During the exercise, participants worked in small groups to discuss significant regional assets, as well as areas for improvement, opportunities for growth, and barriers to growth. The SWOT analysis exercise was instrumental in shaping the plan’s vision statement, goals and strategies. Leveraging our regional strengths and opportunities to diminish weaknesses and threats will be key for a resilient and vibrant economy.

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2021 COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY

Strengths QUALITY OF LIFE Between numerous educational institutions, access to healthcare, and extensive opportunities for outdoor recreation, the EMDC region offers a high quality of life to its residents. From the coastal communities in Hancock and Waldo counties to the rural communities in Penobscot and Piscataquis counties, the region has beautiful scenery and offers countless opportunities to connect with nature. Quality of life not only carries significance for residents and communities, but for businesses as well. During the site selection process, an area’s quality of life plays a significant role in where a business chooses to locate2. In the 2021 Business Survey, respondents cited “Quality of Life” as being what makes the region an advantageous place for doing business, followed by “Location” and “Tourism.” In the same survey, when asked to identify regional advantages they find most important, respondents’ top answer was “Strong Sense of Community/Quality of Life.” These regional characteristics and survey responses emphasize how a strong quality of life contributes to the vibrancy of the regional economy and serves as significant means for attracting and retaining people and businesses.

OUTDOOR RECREATION OPPORTUNITIES The EMDC region is home to a multitude of outdoor recreation opportunities and is a significant four-season destination for tourists.

Along the coast in Bar Harbor is the “Crown Jewel of the North Atlantic Coast”, Acadia National Park, one of the top 10 most-visited national parks in the United States that draws 3.5 million visits annually3. A 2.5 hour drive west of Acadia National Park is the Katahdin Woods and Waters National Monument, designated by the National Park Service in 2016. At the state level, Baxter State Park located in northern Piscataquis County is the home of Mount Katahdin, the tallest mountain in Maine and the northern terminus of the Appalachian Trail, which attracts 60,000 visitors per year4. The region’s parks, lakes, and mountains provide numerous opportunities for four-season recreational activities including hiking, biking, fishing, boating, skiing, snowmobiling, and more.

During the COVID-19 pandemic, there was an 80%

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increase in park visitation from January-February 20205. This emphasizes Maine’s vast opportunities to appreciate and connect with nature and the outdoors.

The region’s thriving tourism plays a vital role in the creation and retention of jobs. According to the U.S. Department of Commerce’s Outdoor Recreation Satellite Account (ORSA), in 2019, the outdoor recreation industry contributed $2.9 billion to Maine’s GDP, representing a 4.2% share of the total GDP6. In the same time period, outdoor recreation accounted for over 40,000 jobs and brought in a total compensation of $1.4 billion, 3.4% of the state total. Among other states, Maine ranks 4th in GDP growth, 3rd in compensation growth, and 18th in employment growth related to the outdoor recreation industry. Given the EMDC region’s notable tourist destinations and the number of visitors they attract on an annual basis, the area plays a significant role in the state’s tourism and hospitality economy.

In the spring of 2021, EMDC was a catalyst in providing initial funding for the future Moosehead Lake Ski Resort, a project that will create a new base lodge, marina, hotel, ski lifts, housing, and add 477 new jobs in construction and hospitality.

With additional support from the Finance Authority of Maine (FAME), the renovation of the four-season resort, located in close proximity to the Town of Greenville, will make the area a destination for regional residents and visitors as it was in years past. Projects like this highlight the key role tourism and hospitality play in the regional economy, from job creation, to business and housing development.

2 Stephen Akard. Area Development. Five Key Factors at Play When Satisfying Workforce Requirements. 2020. https://www. areadevelopment.com/laborEducation/workforce-q4-2020/five-keyfactors-at-play-when-satisfying-workforce-requireme.shtml 3 National Park Service. Acadia National Park. Webpage. https:// www.nps.gov/acad/index.htm 4 Baxter State Park. History. Webpage. https://baxterstatepark.org/ shortcodes/history/ 5 Maine DECD. Maine 2021 Annual Plan. 2021. https://motpartners. com/wp-content/uploads/2021/05/2021_GovCon_AnnualPlan.pdf 6 U.S. Department of Commerce. Outdoor Recreation Satellite Account (ORSA). 2019. https://apps.bea.gov/data/special-topics/ orsa/summary-sheets/ORSA%20-%20Maine.pdf

2021 COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY

Leveraging regional partnerships will be key in implementing strategies for long-term economic prosperity.

COLLABORATION AND PARTNERSHIPS Between public and private sectors, EMDC promotes strong collaboration and diverse partnerships. From technical assistance to consulting, there are a multitude of regional entities and organizations doing impactful work across all sectors including technology, education, and transportation.

their goods and services to local, state and federal governments.

Through collective action, shared goals related to regional challenges are accomplished, including: • Addressing the challenges that hospitals located in rural areas face in attracting a qualified workforce. EMDC’s Workforce team partners with Eastern Maine Community College’s Katahdin Higher Education Center to provide support.

• Improving the accessibility and affordability of broadband. EMDC has partnered with Mission Broadband, an organization that is committed to expanding digital infrastructure in rural areas.

• Exploring opportunities for collaboration.

In a region that is confronted with aging roads and bridges and a lack of public transportation networks, a number of regional organizations including Penquis and Bangor Area Comprehensive Transportation System (BACTS).

• Partnering with the Maine Multicultural Center and the Maine Disadvantaged Business Enterprise (DBE) program administered by EMDC. initiatives that seek to attract and retain a diverse workforce and provide specialized services for minority and women-owned businesses are supported.

At the local level, communities are partnering with regional businesses and organizations to reach solutions to ongoing challenges. In the Town of Searsport, where some areas struggle with a lack of internet access, a partnership with Axiom Technologies, a company that is centered on rural broadband deployment, has led to the installation of several Wi-Fi hot spots in town7.

At the regional level, projects like the Moosehead Lake Ski Resort would not be possible without collaborative support from EMDC, Moosehead Lake Region Economic Development Corporation, and Piscataquis County Commissioners.

At EMDC, partnerships enhance the community impact lending program that support the development and sustainability of regional businesses. Those partnerships include: • U.S. Small Business Administration • U.S. Economic Development Administration • U.S. Department of Agriculture Rural Development • Local financial institutions.

Leveraging regional partnerships will be key in implementing strategies for long-term economic prosperity.

Susan Cover. Maine Town & City. Maine Municipal Association.

Small Towns across Maine push for better broadband access.

June 2021. https://memun.org/DesktopModules/Bring2mind/ DMX/Download.aspx?Command=Core_Download&EntryId=149 33&language=en-US&PortalId=0&TabId=119 7

At the state level, through the administration of the Maine Procurement Technical Assistance Center (PTAC), EMDC helps businesses sell

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2021 COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY

LOCATION OF INTERNATIONAL AIRPORT Since its founding over 50 years ago, the Bangor International Airport (BGR) has been a unique asset to the EMDC region. It offers domestic and international flights with regular routes to destinations like Florida, New York, Washington, North Carolina, and New Jersey.

Strategically located on the Great Circle Route, BGR is the first and last major airport for transatlantic flights coming and leaving the U.S. In addition to maintaining strong relationships with small municipal airports in the region, as well as with other northeastern air service hubs like Portland and Boston, BGR keeps an open dialogue with regional businesses and communities to gauge demand for passenger and freight routes. In the 2021 Business Survey, respondents identified the airport as being one of the regional advantages they find most important.

As a military base, BGR partners with the Army National Guard under a mutual agreement to support military missions in exchange for aircraft rescue and firefighting services. By focusing on adding routes, increasing the frequency of flights, and upgrading aircraft and airport infrastructure, BGR is well positioned to meet current and future demands for passenger travel as well as domestic and international trade.

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The region contains transportation infrastructure including rail (blue), a port (yellow), municipal (grey) and regional (orange) airports, and roads. It is also home to Bangor International Airport (pink) and Interstate-95 (red). Source: JobsEq by Chmura

2021 COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY

Weaknesses BROADBAND

HIGH ENERGY COSTS

The expansion of broadband connectivity continues to be a high priority for the EMDC region. Similar to the significant role transportation plays in connecting people to resources and jobs, reliable and affordable internet connectivity is equally as important.

The affordability and reliability of power is essential to the functioning and productivity of the economy. Rising energy costs present a barrier to regional economic growth, particularly related to the establishment and maintenance of small businesses.

In the EMDC region, 78% of households have a broadband subscription compared to 82% of the state. The shift to remote work, education, and healthcare (telemedicine) during the COVID-19 pandemic created a new sense of urgency surrounding the critical need for an accessible and affordable internet connection.

In addition to Business Survey respondents citing “high energy costs” as a leading factor that makes the region a disadvantageous place for doing business, respondents specified “lower energy costs” as a characteristic they would change about the business climate if they could.

In the 2021 Business Survey, respondents identified “deficient digital infrastructure” as a factor that makes the region a disadvantageous place for doing business.

When asked to identify what they would like to change about the business climate, respondents cited the “improvement of digital infrastructure.”

To keep regional businesses competitive, increase opportunities for job creation, telemedicine, and education, and broaden the capacity to attract and support remote workers in rural areas, broadband expansion and reduction of the digital divide must be at the forefront of regional priorities.

At the state level, Maine is challenged by extensive power outages. In 2019, utility customers in Maine experienced the longest duration of power interruptions compared to other states8.

A high frequency of power outages coupled with rising energy costs puts both regional businesses and communities at a disadvantage for growth and dependable access to remote work, education, and healthcare. Reduced energy costs and improved energy infrastructure are essential for the immediate and long-term growth of communities and businesses.

8 U.S. Energy Information Administration. U.S. power customers experienced an average of nearly five hours of interruptions in 2019. November 2020. https://www.eia. gov/todayinenergy/detail.php?id=45796

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2021 COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY

PUBLIC TRANSPORTATION

AGING INFRASTRUCTURE

Greater investment in public transportation infrastructure continues to be a pressing need for the region. Roads, bridges, and sidewalks are vital for individuals to actively participate in the economy and poor transportation infrastructure limits the ability of people to access daily needs, including employment, food, healthcare, and education.

The aging of the region’s digital, transportation, and building infrastructure presents a barrier to economic growth and the connectivity of people and information.

Between EMDC’s 2015 Business Survey and 2021 Business Survey, there is a common thread; “poor roads and infrastructure” continue to be an obstacle to business growth and is a contributing factor to what makes the region a disadvantageous location for doing business. Given the significant role tourism and outdoor recreation play in the regional economy, connecting recreational trails to municipal downtown areas and regional service centers like the Bangor Metropolitan Area is important for the vibrancy of the local and regional economies.

Equitable, affordable, and reliable access to public transportation is essential for all individuals to actively participate in the economy. Transportation is a particular challenge for those with economic insecurity who may not have the financial means to own a personal vehicle.

To support the attraction and retention of remote workers, broadband infrastructure must be invested in to expand old existing lines. In addition to costly vehicle repairs, the aging of roads, bridges, and sidewalks impact connections between small municipalities and regional service centers like Bangor, which are crucial for residents’ accessibility to jobs, healthcare, and education. Aging building infrastructure is accompanied by high energy costs and inefficient energy usage. Maine’s harsh, cold winters contribute to the degradation of transportation infrastructure and to the high costs of maintaining it.

Older buildings, roads, and bridges are particularly vulnerable to the impacts of climate change, including warming temperatures, sea-level rise, flooding, and the increasing frequency of severe storms. The region must maintain and invest in new infrastructure to increase efficiencies, adaptability, and resilience against projected climate change impacts.

• Of the regional population, 14% of residents are in poverty, exceeding the state average by 2.2%9.

• Of the region’s four-county service area, Piscataquis County is the most impoverished at 18.5%.

In a needs assessment conducted by Penquis in 2019, “unreliable transportation” was identified as a condition of poverty and a recurring barrier for those residing in areas with limited public transportation, one of which being Piscataquis County10. Identifying gaps and underserved areas in the existing public transportation network will be key to ensuring equitable, reliable means for travel within the region.

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9 JobsEQ. American Community Survey 2015-2019.

Plimpton Research. Penquis Community Needs Assessment.

August 2019. https://www.penquis.org/wp-content/ uploads/2019/09/2019PenquisCommunityNeedsAssessment.pdf 10

2021 COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY

Opportunities IN-MIGRATION Over the last decade, an aging population and workforce have been growing concerns for the economic future of the EMDC region. Between 2010 and 2019, the region’s median age increased from 41.7 to 47.1, exceeding the state’s notably high median age of 44.7.

As regional deaths exceed births, this trend is not expected to reverse in the near future. These alarming statistics emphasize the need to attract and retain young workers and be able to support a racially and ethnically diverse population.

The EMDC region is equipped with resources and programs to welcome new Mainers of diverse backgrounds. In 2016, the Maine Multicultural Center (MMCC), located in the greater Bangor area, was founded to provide specialized services to welcome New Mainers and promote the benefits of expanding cultural and ethnic diversity, while also highlighting the existing racial, cultural, and ethnic diversity in the region11.

At EMDC, the Workforce Services team provides a variety of programs, workshops, and educational and training resources for both new and longtime regional residents.

Utilizing existing and added resources to welcome and support workers of all racial and ethnic backgrounds will be critical to strengthen the region’s workforce efforts.

ATTRACT REMOTE WORKERS In a region that has historically low population growth and a lack of broadband, there is a growing opportunity to attract remote workers. The COVID-19 pandemic

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has emphasized this opportunity as many have realized that they can work from anywhere as long as they have a reliable internet connection. As a result, the market for housing has become competitive and in high demand, particularly in rural areas with access to outdoor recreation12.

Throughout the pandemic, the EMDC region has seen similar trends. In the state’s least populated county, Piscataquis, more properties were sold in 2020 than the county has seen since 200713. The record increase in properties sold in an area rich in natural resources and opportunities for outdoor recreation is an indicator that quality of life plays an important role in where people choose to locate. In a national survey, over 80 percent of workers said they enjoy working from home14.

With greater investments in the expansion of broadband infrastructure and the increased promotion of natural resources and opportunities for outdoor recreation, the EMDC region will be especially well positioned to attract and retain remote workers and their families.

11 Maine Multicultural Center. Our History. Webpage. https://mainemulticulturalcenter.org/who-we-are/ourhistory/ 12 Redfin. Housing Supply in Rural Areas Drops a Record 44%, Helping Drive the Overall Shortage of Homes for Sale. January 2021. https://www.prnewswire.com/newsreleases/housing-supply-in-rural-areas-drops-a-record44-helping-drive-the-overall-shortage-of-homes-forsale-301217994.html 13 Ernie Clark. Bangor Daily News. Piscataquis County’s real estate market sees highest sales since 2007. January 2021. https://bangordailynews.com/2021/01/13/news/ piscataquis/piscataquis-countys-real-estate-market-seeshighest-sales-since-2007/ 14 Max Woolf. Live Career. Is Remote Work Here to Stay?

[2021 Study]. January 2021. https://www.livecareer.com/ resources/careers/planning/is-remote-work-here-to-stay

2021 COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY

CLEAN ENERGY ALTERNATIVES In recent years, Maine has become a leading example of the global shift from fossil fuels to renewable energy generation. In December 2020, the Maine Climate Council published Maine’s 4-Year Climate Action Plan that contains strategies that aim to reduce carbon emissions and mitigate the impacts of climate change.

A year earlier in 2019, Governor Janet Mills set an ambitious goal for the State of Maine to reach 100% reliance on renewable electricity by 2050, representing the most impressive target in New England.

To reach this goal, the state is implementing a series of renewable energy projects in solar, offshore wind, and bioproducts. As these initiatives unfold, the state is presented with opportunities to expand the clean energy sector and create thousands of new jobs in manufacturing and construction.

With its extensive coastline, strong offshore wind speeds, and educational institutions rich in research and training programs, the EMDC region is ready to support developments in clean energy. In partnership with the U.S. Department of Energy, the University of Maine developed New England Aqua Ventus I, the first floating offshore wind demonstration project in the country15. A second offshore wind project, Maine Aqua Ventus II, is set to be located off of the coast of Maine between Brewer and Searsport, presenting a significant opportunity for regional job creation.

To support developments in offshore wind, Northern Maine Community College in Presque Isle offers a Wind Power Technology program that equips students with wind turbine maintenance and electrical power production skills to become wind farm operators, turbine manufacturers, and contractors. Between the University of Maine, Husson University, Eastern Maine Community College, and Career and Technical Education Centers (CTEs), the region’s robust educational institutions make it the ideal place to provide training programs to fill emerging job positions in the clean energy sector.

Solar development in Maine is accelerating, as are opportunities for solar job creation. At the national level, between 2014 and 2019, solar jobs grew at a rate that was five times faster than overall U.S. job growth.

In the region’s rural areas, farming and agriculture play an important role in local economies. Dual-use solar projects are gaining traction, which combine agricultural production and solar energy production on the same piece of land, benefitting farming operations

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by reducing costs while generating clean energy and reducing the reliance on fossil fuels16. Finding solutions to high energy costs is essential for business growth and attraction. Also working to reduce carbon dioxide emissions is the bioproducts sector, in which biofuels like ethanol provide sustainable alternatives to their fossil fuel counterparts. Vast forestland and the existing forest products industry make the region an ideal place for sourcing wood and creating jobs for bioproducts.

In recent years, opportunities for bluetech innovation and increased ocean sustainability are on the rise.

AKUA, a company that emerged from SeaAhead, a bluetech startup platform out of Boston, creates savory meals and snacks out of kelp sourced from waters off of the coast of Maine17. With its ability to use photosynthesis to sequester carbon, kelp assists in slowing the increase in sea temperatures, contributing to greater ocean health and long-term sustainability.

By sourcing kelp locally and sustainably and managing the amount that is harvested, the company creates a healthy product that benefits the coastal economy.

Proposed aquaculture projects in Bucksport and Gouldsboro use innovative technologies that efficiently manage waste and reduce the reliance on chemicals1819. With appropriate biosecurity measures in place, aquaculture operations carry the potential for regional job creation while supporting environmental sustainability and ocean health. Supporting growth and innovation in clean energy and bluetech will increase the diversification, adaptability, and resiliency of the regional economy.

15 Governor’s Office of Policy Innovation and the Future. Governor’s Energy Office. Strengthening Maine’s Clean Energy Economy. November 2020. https://www.maine.gov/future/sites/maine.gov.future/files/inlinefiles/StrengtheningMainesCleanEnergyEconomy_Nov92020.pdf 16 Maine Department of Agriculture, Conservation & Forestry. Dual-Use or (Agrivoltaic) Solar Installations. December 2020. https://www.maine. gov/dacf/ard/resources/docs/dual-use-factsheet.pdf 17 Janelle Nanos. Boston Globe. New England Aquarium partners with SeaAhead to launch ocean-centric startups. April 2021. https://www. bostonglobe.com/2021/04/19/business/new-england-aquariumpartners-with-seaahead-launch-ocean-centric-startups/ 18 Whole Oceans. About. Webpage. https://wholeoceans. com/#opportunity 19 American Aquafarms. About Us. Webpage. https:// americanaquafarms.com/us/about-us/

2021 COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY

“

In partnership with the U.S. Department of Energy, the University of Maine developed New England Aqua Ventus I, the first floating offshore wind demonstration project in the country.

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2021 COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY

KATAHDIN WOODS AND WATERS NATIONAL PARK Located in north central Maine is the Katahdin Woods and Waters National Monument, where the opportunity for re-designation as a national park would provide a multitude of economic benefits to the Katahdin region.

Situated on 87,500 acres of forestlands, tributary systems, and the East Branch of the Penobscot River, the National Monument is a place of historical and cultural significance. Known as the home of: • The Wabanaki people • Mount Katahdin • Sections of the International Appalachian Trail • Timber harvesting activity The area is rich in natural resources, wildlife, and opportunities for outdoor recreation. Within the first year of its designation in 2016, the national monument attracted close to 30,000 visitors20.

With support from community-based organizations like Friends of Katahdin Woods & Waters and leaders like U.S. Senator Angus King, chairman of the Senate Subcommittee on National Parks, there is momentum for the national monument to become re-designated as Maine’s second national park21.

In a region where tourism and hospitality already play vital roles in the economy, the national park designation would increase the area’s potential for enhanced tourism, property values, quality of life, and business attraction. The new designation presents the opportunity to improve and expand existing access and trails and attract a higher number of annual visitors to the Katahdin region. Residents located in close proximity to trails benefit from increased property values and an enhanced quality of life, a characteristic also important for business attraction and growth22.

Similarly, businesses located near trails benefit from increased visitors and local spending. In 2020, the

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41,000 visitors to the Katahdin Woods and Waters National Monument contributed $2.7 million to local spending and supported 38 local jobs, cumulatively adding $3.3 million to the local economy23. The redesignation of the national monument would create additional jobs in outdoor education, conservation, resource management, restaurants, and lodging, attracting job seekers with desires to work in the outdoor recreation and hospitality industries.

From the 3.5 million annual visitors at Acadia National Park to the 60,000 annual visitors at Mount Katahdin, the outdoor recreation industry contributes significantly to Maine’s Gross Domestic Product (GDP). In 2019, outdoor recreational activities including boating/fishing, hiking, camping, and bicycling contributed significantly to Maine’s GDP, all of which are permitted activities at the Katahdin Woods and Waters National Monument24.

Two national park anchors present the region with the opportunity to increase the outdoor recreation industry’s value added to the state’s GDP and the region’s Gross Regional Product (GRP). In the Katahdin region, where the economy is still in recovery following the closure of the Great Northern Paper Plant in 2014 and the loss of over 200 jobs, the national park designation of the Katahdin Woods & Waters National Monument would contribute to long-term economic prosperity by creating opportunities for employers and job seekers alike.

Bangor Daily News. Despite unneeded hurdles, Katahdin monument draws visitors from around the world. December 2017. https:// bangordailynews.com/2017/12/01/opinion/despite-unneeded-hurdleskatahdin-monument-draws-visitors-from-around-the-world/ 21 Mal Leary. Maine Public. Angus King Named Chair of National Parks Subcommittee. March 2021. https://www.mainepublic.org/ politics/2021-03-03/angus-king-named-chair-of-national-parks-subcommittee 22 WeConservePA. Economic Benefits of Trails. https://conservationtools. org/guides/97-economic-benefits-of-trails 23 National Park Service. Tourism to Katahdin Woods and Waters National Monument creates $3.3 million in Economic Benefits. June 2021. https://www.nps.gov/kaww/learn/news/tourism-2020.htm 24 U.S. Department of Commerce. Outdoor Recreation Satellite Account (ORSA). 2019. https://apps.bea.gov/data/special-topics/orsa/summarysheets/ORSA%20-%20Maine.pdf 20

A re-designation for Katahdin Woods and Waters from National Monument to National Park would increase visitation, allow for more efficient management for the National Park Service, and provide more tourism revenue for the Katahdin Region. National Parks are the gold standard for recreational tourism and this would put the region on a new path for diversified economic prosperity. -Lucas St. Clair, Board Member, Friends of Katahdin Woods and Waters, Executive Director, Elliotsville Foundation, Inc.

2021 COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY

Threats OUT-MIGRATION

coastal jobs could be lost between 2020 and 205025.

Despite its many assets, the EMDC region is confronted with the out-migration of people.

Contributing factors include low wages and a lack of broadband and childcare which consequently puts the region at a disadvantage for attracting and retaining young people and families – key groups for addressing the region’s aging workforce.

Communities situated along the Penobscot River, a partially tidal body of water, are also susceptible to sea-level rise and subsequent flooding events.

Off of the region’s coast in the Gulf of Maine, warming ocean temperatures impact aquaculture operations, marine biodiversity, and decrease pH levels, increasing ocean acidification which harms significant marine organisms with calcium carbonate shells, including clams, mussels, and scallops26.

In 2020, the average annual wage in the region was $43,219, falling below the state average of $48,115. On top of that, in 2019, the region’s average hourly wage was $22.75, approximately one dollar less than the state average.

Now, more than ever, a reliable internet connection is vital for remote working and access to education Rural areas, where broadband expansion is most needed, are experiencing the most population loss. Between 2010 and 2019, the rural counties of Penobscot and Piscataquis dropped by 2,533, with Penobscot County losing 1,783 and Piscataquis County losing 750 respectively. Over the same period, Hancock and Waldo counties’ populations increased by 1,507.

To combat rural out-migration and the subsequent labor force shortage, investments must be made in infrastructure that benefits every individual that participates in the economy, from young people to families and the aging workforce population.

CLIMATE CHANGE If climate change mitigation is not prioritized, the EMDC region’s key industry sectors, infrastructure, and marine health could face a number of negative impacts. With climate change comes increases in annual precipitation and severe storm frequency, both of which heighten the risk of flooding events that damage infrastructure and make communities more vulnerable, particularly those in coastal areas.

The EMDC region is home to over 30 coastal communities in Hancock and Waldo counties, in which residential properties, businesses, roads and bridges could be impacted by flooding from sea-level rise and storm surges. According to the Maine Climate Council’s 4-Year Plan for Climate Action, 20,000

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Key industry sectors projected to be most impacted by the changing climate include: • Tourism • Agriculture • Forestry • Transportation All of these industries play significant roles in the regional economy. While warmer weather may result in increased tourism in the summer months, the winter tourism industry will take a hit as increasing temperatures shorten the recreational season for skiing and snowmobiling. Agriculture and forestry, both prominent industries in the northern EMDC region, may benefit from a longer growing season, although a likely increase in the frequency of droughts and the arrival of new pests and invasive plants are a concern. Rising surface temperatures and flooding events in coastal areas put strains on pavement, roads, bridges, and port operations, vital infrastructure for the movement of people, goods and services within the region.

Developing strategies to build awareness, acceptance, and action will strengthen the region’s resilience against climate change impacts while supporting the communities, businesses, and key sectors that make the region a vibrant place.

Maine Climate Council. Maine Won’t Wait, A Four-Year Plan for Climate Action. December 2020. https://www.maine.gov/ future/sites/maine.gov.future/files/inline-files/MaineWontWait_ December2020.pdf 26 Maine Climate Council. Scientific and Technical Subcommittee.

Scientific Assessment of Climate Change and Its Effects in Maine.

August 2020. https://www.maine.gov/future/sites/maine.gov.future/ files/inline-files/GOPIF_STS_REPORT_092320.pdf 25

2021 COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY

“

Climate change poses an existential threat to Maine’s island and coastal communities. Sea level rise, warming waters, and stronger storms can cut communities off from crucial supplies and services, and jeopardize what and how much is available to fish. But there are enormous benefits to acting now. By planning for rising waters, reducing carbon pollution, making infrastructure improvements (such as weatherizing buildings), or seeking to diversify sources of income, people can work together to find climate solutions and build resilient economies.

-Emma Wendt, Community Development Officer - Climate Specialist, Island Institute

AGING WORKFORCE An aging workforce coupled with trends of out-migration continue to present challenges to the regional economy.

As older workers retire and exit the workforce, replacement demand will increase as employers seek new workers to fill those positions. The out-migration of young people and families as well as the lack of essential resources like broadband and childcare put the region at a disadvantage for filling workforce gaps. Rich in research and innovation, the region is projected to add thousands of jobs in the clean renewable energy sector. Without qualified job seekers to fill these positions, the area will miss the economic and environmental benefits associated with an influx of jobs related to offshore wind, solar, and bioproducts. To ensure the long-term productivity and prosperity of the regional economy, additional attention must be given to filling in-demand positions by supporting the existing workforce as well as providing the critical resources needed to attract and retain young, qualified workers.

Source: JobsEQ by Chmura

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Source: JobsEQ by Chmura

2021 COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY

LONG TERM EFFECTS OF COVID-19 PANDEMIC As the regional economy continues to recover from the COVID-19 pandemic, some impacts may linger. Between 2019 and 2021, the number of people employed in the region decreased by 8,151, a reduction of 7 percent. Looking towards 2025, employment is expected to decline by approximately 700 positions on an annual basis.

In addition to individuals aging out of the workforce, business closures associated with the COVID-19 pandemic have played a role in the decline of employment in the region and may continue to contribute to these projections. Similarly, the region’s unemployment rate, which drastically increased between March 2020 and March 2021, exceeded the state’s unemployment rate and will likely take time to decrease as dislocated job seekers find re-employment.

From the perspective of businesses that participated in the regional survey, 66% said the COVID-19 pandemic had a “large negative effect” on their business. On top of that, 61% of respondents said the COVID-19 pandemic caused them to “temporarily close a location.” These statistics reflect the impacts businesses experienced at the state, national and global levels throughout the pandemic.

While the tourism industry benefited from the COVID-19 pandemic as many turned towards outdoor recreation for safe, low-risk activities, the hospitality industry did not fare as well. Two of the top trip characteristics for 2021 are “enjoying scenic beauty

and visiting U.S. National Parks”, both of which the region has27. On the other hand, lodging and restaurants, which were heavily impacted by temporary and permanent business closures, will likely have a slower recovery rate.

The shift to working and learning remotely emphasized the adaptability of regional businesses, communities, and educational institutions and the urgent need for a reliable internet connection. To reach their customer base and continue promotion, businesses adapted by increasing their use of technology and social media for communication. As telework has proven effective, it is likely that remote working and learning is here to stay. However, the region’s lack of broadband is not currently in the position to sustainably support the remote lifestyle that many desire.

Another challenge that the COVID-19 pandemic highlighted is homelessness and the lack of affordable housing. Over the course of 2020, the number of people living outside in Bangor increased drastically from 20 to 140 individuals28. As some workers were laid off during the COVID-19 pandemic, paying for housing costs became a struggle. With a vacancy rate below 1%, the Bangor area lacks the availability of quality, affordable housing.

Through community investments in digital infrastructure, additional housing services, and increased federal, state, and regional support, the region will be better equipped to continue its economic recovery whilst providing equitable access to resources for all.

Maine DECD. Maine 2021 Annual Plan. 2021. https://motpartners.com/ wp-content/uploads/2021/05/2021_GovCon_AnnualPlan.pdf 28 Community Health Leadership Board. Ad Hoc Health & Housing Work Group. Final Report: COVID Response for a Vulnerable Population Experiencing Homelessness. April 2021. https://documentcloud.adobe. com/link/review?uri=urn:aaid:scds:US:d2aea0e1-4845-4ab6-8a5e0200acca48ba

27

Economic Development

VISION STATEMENT Improve economic opportunity and increase jobs by strengthening the connectivity and collaboration between communities, businesses and individuals while fostering the region’s longterm sustainability, resilience and prosperity.

The results of the SWOT analysis emphasize the interconnectedness of the region’s assets and challenges. In order to diminish barriers to growth, we must utilize and leverage our regional strengths.

From the lack of broadband and public transportation, to the threats of outmigration and climate change impacts, the need for improvements to the region’s digital and transportation infrastructure is clear.

Without providing the essential resources for individuals to actively participate in the workforce, the region will continue to struggle to attract and retain the workforce it desperately needs to support the future growth of communities and businesses.

Addressing the digital divide, improvement of transportation infrastructure, projected impacts of climate change, and expansion of educational programs and workforce training is crucial to being better equipped to take advantage of opportunities to attract remote workers, expand clean energy

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alternatives and jobs, and support business growth and attraction.

Following a comprehensive review of the SWOT analysis, a vision emerged. With input from the CEDS Task Force, five separate goal areas were formed based on regional priorities and needs: Five Goal Areas: • Broadband

• Transportation • Climate Resilience • Workforce & Education • Business These five priority goal areas relate to the connectivity of people, goods and services, all of which are essential for a robust regional economy.

The following action plan contains goals and measurable strategies to advance these areas of regional significance for long-term economic prosperity in eastern Maine.

2021 COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY

Acti n Plan

Broadband

Goal #1: Expand and Increase the Accessibility & Affordability of Broadband Capacity Broadband expansion is at the heart of the region’s greatest needs. In order to support remote work, education, and healthcare, the access, affordability, and reliability of broadband must be a regional priority.

Improving the system of broadband will support the attraction of businesses and individuals desiring to work remotely. Prioritizing internet access for disadvantaged populations in rural areas is vital to ensure that all individuals have the same opportunity to access the job training and programs they need to actively participate in the workforce. Conducting community needs assessments will be crucial to address unique connectivity challenges and ensure equitable outcomes across geographical areas. Enhancing the connectivity of people and the sharing of information is critical for attracting and retaining the workforce the region desperately needs to fill workforce gaps as out-migration continues and the aging workforce retires. Recent federal funding from the 2021 American Rescue Plan targets broadband expansion showing promise for the future of internet access in the region and for Maine to become the “work-from-home state” that U.S. Senator Angus King envisions.

STRATEGY #1: INCREASE COLLABORATION BETWEEN COMMUNITIES • Create a Regional Broadband Committee • Develop a Regional Needs Assessment • Identify Broadband Gaps & Develop Strategies for Improvement

STRATEGY #2: PRIORITIZE AFFORDABILITY & CONNECTIVITY • Increase Access in Underserved Areas • Increase Regional Broadband Capacity that Meets Federal Communications Commission Standards Source: Esri, DigitalGlobe, GeoEye, Earthstar Geographics, CNES/Airbus DS, USDA, USGS, AeroGIRD, IGN, and the GIS User Community.

POTENTIAL IMPLEMENTATION PARTNERS University of Maine; Maine Broadband Coalition; Mission Broadband; Maine Connectivity Authority; and broadband providers (e.g. Spectrum, etc.)

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On the map above, areas shaded in red represent locations with fixed broadband speeds below the national standard of 25/3 Mbps set by the Federal Communications Commission (FCC). The digital divide is strongest in Waldo County, where broadband speeds are at 7.14/1.16 Mbps.

2021 COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY

Transportation

Goal #2: Improve and Expand Existing Transportation Infrastructure and Support Port and Rail Development Addressing aging transportation infrastructure and the connectivity between sea, air, rail, and roads is critical to the region for economic growth across all existing and emerging industries. While there are areas of improvement for the region’s current transportation infrastructure, there are also numerous opportunities on the horizon when it comes to the movement of people, goods and services Recent developments in rail infrastructure, including Canadian Pacific Railway’s purchase of the former Central Maine and Quebec Railway and CSX’s proposed purchase of the Pan Am Railway’s rail system, show promise for the future growth and optimization of intermodal transportation in the region.

To transform the current rail infrastructure to a highspeed, Class 1 system with double-stack capable rail lines will increase its efficiency, productivity, and mobility, presenting opportunities for the increased movement of goods and services between the region’s communities, businesses and industries.

Through modernization and maintenance, rail and port infrastructure will be able to accommodate a higher frequency and volume of shipments, reducing carbon emissions and the need for trucks. The further investment in and development of port infrastructure at Searsport presents opportunities to improve

trade, increase the affordable access of goods and commodities, foster job creation, and encourage the in-migration and retention of people in the region.

Roads, bridges, rail lines and the port are key assets to the future of intermodal transportation in the region and represent major drivers of economic activity.

STRATEGY #1: ENHANCE THE MOVEMENT OF PEOPLE • Develop a Regional Needs Assessment • Support the Improvement & Upgrade of Roads & Bridges • Increase Public Transportation Network & Infrastructure

STRATEGY #2: ENHANCE THE MOVEMENT OF GOODS & SERVICES • Identify Gaps in Existing Network • Promote the Benefits of Rail Improvements to Businesses & Communities • Promote the Benefits of Port Infrastructure to Businesses & Communities • Develop a Business Survey to Assess Air Freight Needs

POTENTIAL IMPLEMENTATION PARTNERS Moving Maine Network; Go Maine; Maine Department of Transportation (MEDOT); Bangor Area Comprehensive Transportation System (BACTS); Penquis; Bike Coalition of Maine; Maine Port Authority; Maine Trucking Association; Bangor International Airport (BGR); and railroad companies (CSX, Canadian Pacific Railway).

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2021 COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY

Climate Resilience

Goal #3: Foster Methods of Adaptation and Mitigation to Strengthen the Region’s Resilience Against Climate-Related Impacts Embracing advancements in clean energy increases the region’s resiliency to projected climate change impacts and presents opportunities for environmental protection, job creation, and the growth and attraction of businesses.

Climate changes poses a number of threats to the region, including: • The warming of the Gulf of Maine • Rising sea levels • Increases in annual surface temperatures • Increased precipitation • Severe storms • Flooding events To protect the health and wellbeing of residents, communities, and businesses, it is critical to protect the environment in which they operate.

Without increased technical assistance and impactful steps toward mitigation, the region risks job loss and decreased productivity in key sectors such as tourism, agriculture, forestry, and transportation. Greater support for clean energy in solar, offshore wind, and

bioproducts will present the region with opportunities for job creation, workforce attraction, and lower energy costs. Through support for clean energy innovation, the region will benefit from greater efficiencies, increased adaptability, stronger economic resilience, and an enhanced quality of life.

STRATEGY #1: SUPPORT THE GOALS & STRATEGIES OF MAINE’S CLIMATE ACTION PLAN • Develop a Regional Climate Needs Assessment • Identify Building & Transportation Infrastructure of Key Concern • Provide Specialized Technical Assistance to Communities

STRATEGY #2: SUPPORT CLEAN ENERGY INNOVATION • Assist with Grant Development for Projects that Support Renewable Energy Generation and Climate Adaptation • Encourage Investments in Climate-Ready Infrastructure

“

The issues of climate are really integral to the future of our state and the future of our economy. We see a lot of opportunity for our state, and there are obviously overwhelming challenges. Thinking about the future of our economy and the future of our communities, there are reasons to be hopeful.

- HANNAH PINGREE, DIRECTOR, GOVERNOR’S OFFICE OF POLICY INNOVATION AND THE FUTURE

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2021 COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY

POTENTIAL IMPLEMENTATION PARTNERS

Governor’s Office of Policy Innovation and the Future (GOPIF); University of Maine Climate Change Institute; Maine Technology Institute; Maine Climate Council; Maine Renewable Energy Association; Efficiency Maine; Island Institute; Department of Agriculture, Conservation and Forestry (DACF); Maine Department of Marine Resources; Office of the Public Advocate, solar providers (e.g. Revision Energy); and offshore wind providers (e.g. Maine Aqua Ventus GP LLC.)

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Photo of Planner Anna Stockman and CEO Lee Umphrey with “A Year in Maine”, Acrylic by Samantha Bullard. “Best of Show” 2021 Winner of The Bangor Art Society Show hosted at Eastern Maine Development Corporation. The painting “depicts the daily temperature changes in Bangor, Maine for all of 2019,” says Bangor artist Samantha Bullard.

2021 COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY

Workforce & Education Goal #4: Develop, Retain & Attract Talent

The multitude of diverse workforce programs and educational institutions put the region at a competitive advantage for attracting and retaining the workforce it needs to prosper.

In order to fill positions in in-demand industries and the growing clean energy sector, workforce attraction and retention must be at the forefront of regional priorities.

An aging workforce and trends of out-migration intensify the challenge of filling workforce gaps.

Through greater collaboration between educational institutions and businesses, workforce training programs and educational curriculums will be better tailored to provide the top skills employers seek while recruiting. In addition, job seekers will be better informed of the in-demand skills they need to actively participate in the workforce.

Improvements in collaboration, business outreach, and training programs will provide greater opportunities for increased workforce productivity, attraction and retention.

STRATEGY #1: INCREASE COLLABORATION BETWEEN EDUCATION INSTITUTIONS & BUSINESSES • Develop Ongoing Survey to Determine Training Needs & Skills Businesses Seek • Promote & Provide Educational & Training Opportunities for In-Demand Industries • Support the Increase of Micro Credentialing and Certification Programs

STRATEGY #2: IMPROVE DIGITAL LITERACY OF INDIVIDUALS & BUSINESSES • Develop Survey to Gauge Digital Literacy Skills • Provide Digital Literacy Skills Training

STRATEGY #3: ATTRACT WORKFORCE TO REGION • Promote & Increase Regional Assets & Amenities • Increase Participation in Workforce Services Programs

Source: JobsEQ by Chmura

Source: JobsEQ by Chmura

POTENTIAL IMPLEMENTATION PARTNERS State Workforce Board; regional colleges, universities and tech schools (Career and Technical Education Centers (CTE)); K-12 schools; Lee Academy; Dover-Foxcroft Academy; EMDC Workforce Services; Northeastern Workforce Development Board (NWDB); trade associations; Educate Maine (Project Login); Code Maine; Maine Career Center; regional library system; chambers of commerce (e.g. Katahdin Chamber of Commerce); Department of Economic and Community Development (DECD); Governor’s Office of Policy Innovation and the Future (GOPIF); Live and Work in Maine; Jobs for Maine Graduates (JMG); Hospitality Maine; Maine Adult Education; Maine Multicultural Center; Penobscot Job Center; Aroostook County Action Program (ACAP); Maine Department of Education; and Maine Department of Labor (MEDOL).

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2021 COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY

Business

Goal #5: Support the Growth of Existing Businesses & Attraction of New Businesses In order to foster business attraction, the prosperity of existing businesses must be prioritized. Through economic gardening initiatives and community impact lending, the continuation and enhancement of current services will provide increased support for the productivity and growth of existing businesses.

By leveraging existing and emerging tools for economic growth and bringing awareness to opportunity zones and their associated benefits, the region will be in a better position to promote itself as an ideal location to start and grow a business.

From its high quality of life and opportunities for outdoor recreation, to its strong sense of community and thriving tourism economy, the region is equipped with the amenities and resources it needs to foster greater entrepreneurship, job creation, and workforce attraction.

STRATEGY #1: PROMOTE REGIONAL ASSETS & FUNDING OPPORTUNITIES • Promote Opportunity Zones • Promote Department of Economic and Community Development Business Site Selection Tool

STRATEGY #2: ENHANCE EXISTING REGIONAL BUSINESS SERVICES • Develop Economic Gardening Initiatives • Provide Increased Support for Rural Business Entrepreneurs • Increase Number of Businesses that Hire Workforce Services Participants • Increase Number of Businesses Connected with Impact Lending Programs

POTENTIAL IMPLEMENTATION PARTNERS University of Maine; Upstart Maine; Department of Economic and Community Development (DECD); Maine Disadvantaged Business Enterprises (DBE); Small Business Development Centers (SBDC); Maine Technology Institute; Maine International Trade Center; Maine Multicultural Center; Greater Bangor Convention & Visitors Bureau; CEI Women’s Business Center Northeast; chambers of commerce (e.g. Bangor Region Chamber of Commerce); and rural small business owners.

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“Where I Come From.”

By Patty Griffin, Grammy Award-winning Singer-Songwriter from Old Town, Maine

Written by Patty Griffin; Performed by Patty Griffin; Courtesy of PGM Recordings, Thirty Tigers; 2019.

Where I come from is a land of many islands Two rivers run To the east and to the west I wanted to run far away as I could as fast as I could get But no matter where I’ve been I can’t escape who I am Or forget Where I come from Paint is peeling all the time The winter’s long Gets into your boots The rivers run high and wild High and wild in the springtime The tourists come through our fading little town When the sun shines The veterans The veterans of all the past wars Sit outside on a Sunday afternoon The mills closed down long ago and so We’re way past unemployment Like a bad joke somebody told on our town For their enjoyment September sun Colors boldly flying In pretty reds, orange, gold and brown Most beautiful As the light is dying Most beautiful As the day goes down

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2021 COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY

CEDS Evaluati n Framework

Broadband

ACHIEVED

IN PROCESS

Create a Regional Broadband Committee Develop a Regional Needs Assessment Identify Broadband Gaps & Develop Strategies for Improvement Increase Access in Underserved Areas Increase Regional Broadband Capacity that Meets Federal Communications Commission Standards

Transportation

Develop a Regional Needs Assessment Support the Improvement & Upgrade of Roads & Bridges Increase Public Transportation Network & Infrastructure Identify Gaps in Existing Network Promote the Benefits of Rail Improvements to Businesses & Communities Promote the Benefits of Port Infrastructure to Businesses & Communities Develop a Business Survey to Assess Air Freight Needs

Climate Resilience

Develop a Regional Climate Needs Assessment Identify Building & Transportation Infrastructure of Key Concern Provide Specialized Technical Assistance to Communities Assist with Grant Development for Projects that Support Renewable Energy Generation and Climate Adaptation Encourage Investments in Climate-Ready Infrastructure

Workforce & Education

Develop Ongoing Survey to Determine Training Needs & Skills Businesses Seek Promote & Provide Educational & Training Opportunities for In-Demand Industries Support the Increase of Micro Credentialing and Certification Programs Develop Survey to Gauge Digital Literacy Skills Provide Digital Literacy Skills Training Promote & Increase Regional Assets & Amenities Increase Participation in Workforce Services Programs

Businesses

Promote Opportunity Zones Promote DECD Business Site Selection Tool Develop Economic Gardening Initiatives Provide Increased Support for Rural Business Entrepreneurs Increase Number of Businesses that Hire Workforce Services Participants Increase Number of Businesses Connected with Impact Lending Programs PAGE 32

2021 COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY

From a high quality of life to robust collaboration and partnerships, the region’s assets strengthen its ability to recover from, withstand, and avoid economic shocks. This was evident throughout the COVID-19 pandemic and the economic downturn that followed.

Despite layoffs, business closures, and social restrictions, regional communities and businesses utilized their social capital to provide support for one another. Through programs including: • Paycheck Protection Program (PPP) • Maine Economic Recovery Grant Program • Economic Injury Disaster Loans • SBA loan forgiveness • Maine Tourism, Hospitality, & Retail Recovery Grant Program EMDC was at the ready to provide innovative financing to support the survival and growth of businesses throughout the pandemic. With support from leaders like U.S. Senator Susan Collins, who led efforts to create and extend the Paycheck Protection Program, many small businesses were able to survive throughout the pandemic29. The region’s educational institutions, opportunities for greater diversification, and support for businesses and job seekers contribute to the resiliency of the economy.

EQUITY A resilient economy is an equitable one. Equity, defined as the “just and fair inclusion into a society in which all can participate, prosper, and reach their full potential” is critical for the wellbeing of regional residents and their access to goods and services30. Consistent with national trends, there

PAGE 33

is a history of policies, programs, and regulations that disproportionately impact Maine populations.

Inequities related to health, housing, income, mobility, and opportunity on the basis of race, ethnicity, and sexual orientation limit individuals’ access to essential resources and ability to actively participate in the economy.

In 2020, Black Mainers were 20 times more likely to experience COVID-19 than white Mainers.

Unemployment among Mainers that represent racial, Indigenous, or tribal populations is twice the rate experienced by white Mainers31. To address these racial disparities and support racial justice, the Maine Legislature founded the Permanent Commission on the Status of Racial, Indigenous and Maine Tribal Populations in 2019.

EqualityMaine, a statewide leader in LGBTQ+ rights advocacy and education, strives to foster an environment in which all people are considered equal regardless of their sexual orientation32.

Ec nomic Resilience

“

Much of the region, similar to most of the state, is projected to see population declines in the coming years. Population change is made up of two components: natural change (births and deaths) and migration. With the aging Baby Boom generation making up such a large share of the population, natural change is largely negative: in other words, there are more deaths than births each year. As a result, for the region to see population growth, migration will need to increase. There are many challenges associated with population decline, including fewer available workers, business relocations out of the region to pursue workforce, less demand for certain goods and services, fewer people able to engage in volunteer work and civic responsibilities, and reduced school enrollments, to name a few.

Bringing new families into the region can offset the population decline and resulting challenges both in the short term with increased migration and the long term, as births increase and natural change improves.” - Amanda Rector, State Economist, Department of Administrative and Financial Services

Through leadership, partnership, and collaboration, the state is better positioned to diminish inequities and provide all residents with equal access to resources and opportunity.

• As the statewide leader in workforce development, EMDC offers a variety of workforce and business services that are 29 Emily Cochrane. The New York Times. The Senate extends Paycheck Protection Program for two months. March 2021. https:// www.nytimes.com/2021/03/25/us/senate-ppp-loan-extension.html 30 American Planning Association. Planning for Equity Policy Guide.

May 2019. https://planning-org-uploaded-media.s3.amazonaws.com/ publication/download_pdf/Planning-for-Equity-Policy-Guide-rev.pdf 31 Permanent Commission on the Status of Racial, Indigenous and Maine Tribal Populations. Recommendations to the Legislature.

September 2020. https://www.maine.gov/labor/pcrit/reports/2020_LegReport.pdf 32 EqualityMaine. About Us. Webpage. https://www.equalitymaine.org/about-us

2021 COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY

EMDC’S MAINE DBE AND MAINE PTAC PROGRAMS PROVIDE DIRECT SERVICES TO SMALL BUSINESS OWNERS

designed to assist disadvantaged populations, including women, minorities, formerly incarcerated individuals, and those recovering from Opioid Use Disorder (OUD). Through federal grants, EMDC is able to provide dislocated workers with training plans, job placement, and supportive services to help them reach their employment goals • As a general consultant for the Maine Department of Transportation’s (DOT) Disadvantaged Business Enterprise (DBE) program, EMDC provides direct assistance to women and minority-owned businesses who wish to sell their goods or services to the Maine DOT. • In a position funded by the Penobscot County Commissioners, EMDC embeds an employee in the Katahdin region that works in concert with the Katahdin Region Development Board to support economic growth and development.

Piscataquis County, the least populous county in the state, faces a number of challenges, including a high median age of 51.5 years, a median income over $10,000 below the regional average, a low labor force participation rate, and a significant population of individuals with a disability, which accounts for nearly a quarter of the total county population. The hardships that confront Piscataquis County exemplify the need to identify underserved areas to direct specialized

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$6.2M

INVESTED IN STATEWIDE INITIATIVE TO PEOPLE IMPACTED BY OUD

services towards so a resident in Piscataquis County has equitable access to the same essential resources as a resident in Hancock County, including healthcare, affordable housing, transportation, and broadband.

Through needs assessments and inventories of the unique conditions and challenges faced by individuals, businesses, and communities, strategies for outreach and resource allocation can be developed. Collaboration and partnerships with regional organizations like the Northeastern Workforce Development Board and local groups like the Maine Multicultural Center will be crucial to expand equitable access to resources across the region.

In order to support the future growth, adaptation, and resilience of the regional economy, equity must be at the forefront of all funding, regulation, and policy considerations.

SUBSTANCE USE DISORDER RECOVERY While in some ways the region has emerged from the pandemic stronger than it was going into it, some challenges still linger. Maine families are among the most severely impacted by Opioid Use Disorder (OUD) in the nation. With the first drop in opioid-related overdose deaths occurring in 2018, and significant steps taken by the Mills Administration beginning in 2019, there was hope for substantial progress in

2021 COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY

350

PEOPLE ENROLLED IN OUD SERVICES AS OF JUNE 1, 2021

2020. Then, the world changed with the emergence of COVID-19. Feelings of fear, anxiety, isolation and disconnection from people and services had a particularly devastating impact on individuals in early recovery and those seeking sobriety. As a result, Maine and the nation suffered the greatest number of deaths and other losses from OUD in 2020. As of early 2021, the statistics continue to look grim.

In response to OUD projections, EMDC played an instrumental role in the creation and 2020 launch of an innovative statewide workforce development initiative, Connecting with Opportunities. EMDC partnered with the Maine Department of Labor, the Governor’s Office on Opioid Response and the state’s three workforce development boards to successfully secure a federal grant totaling $6.2 million.

Funding is being used to give hope and new beginnings to individuals personally or indirectly impacted by OUD by supporting them in securing education, training and meaningful employment.

With over 115 individuals enrolled as of June 1st in the state’s Northeastern Workforce Development Board region of Hancock, Penobscot, Piscataquis and Washington counties, and more than 350 registered statewide, families and communities are benefitting and becoming more resilient.

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477

JOBS CREATED

BY NEW MOOSEHEAD LAKE SKI RESORT

AFFORDABLE WORKFORCE HOUSING The region’s lack of affordable housing for low-income and middle-income workers is another challenge that was exacerbated by the COVID-19 pandemic.

Workforce housing refers to affordable housing that supports middle-income workers or those earning up to 100% of Area Median Income (AMI). This issue is not isolated to the EMDC region.

Over the past 20 years, the State of Maine has been experiencing a housing affordability epidemic. Without housing they can afford, individuals also lack access to healthcare, education, and job opportunities, all of which are essential to actively participate in the economy. Steady out-migration and an increasingly aging population highlight the region’s need to be able to increase its affordable housing supply to retain and increase the size of the current workforce. In order to take advantage of promising developments like the 477 jobs that will be created by the Moosehead Lake Ski Resort and 30,000 additional jobs in clean energy, we must be able to provide job seekers with access to housing they can afford.

A diversified stock of housing supports a wide variety of individuals at different income levels. To maintain and enhance economic diversification, equitable access to housing is critical for the attraction, retention and resilience of the region’s workforce and greater economy.

2021 COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY

OPPORTUNITY ZONES By providing incentives for development and long-term investments in designated low-income zones, Opportunity Zones have the potential to provide a multitude of economic benefits to communities and businesses33.

Currently, there are ten Opportunity Zones in EMDC’s direct service region, representing one-third of the total Opportunity Zones in the state. Lincoln, a town that was once defined by a paper and tissue mill took advantage of its designation as an Opportunity Zone to develop a fund through which investments can be made for future redevelopment projects.

The tax benefits in these zones present significant opportunities to foster economic development initiatives, including job growth and business attraction.

ECONOMIC OPPORTUNITY RESPONSE TEAMS Through an integrative approach, EMDC provides a multitude of services to communities, businesses, and people in response to economic downturns. After the closure of the paper mills and the significant job losses that followed, EMDC’s Economic Opportunity Response Teams (EORT) model emerged.

Most recently, during the COVID-19 pandemic, EMDC was proactive in connecting dislocated workers to re-employment, and helping communities adapt and businesses survive. By providing specialized technical assistance in workforce, business, and community development, the EORT model builds a roadmap that results in successful outcomes.

Through ongoing efforts in comprehensive planning, workforce programs, and business assistance, EMDC strengthens the region’s resilience to better respond to and prepare for future economic downturns.

MILL SITE REDEVELOPMENT Bucksport: In 2014, Bucksport’s Verso Paper Mill closed its doors, leaving 500 people without a job.

Despite the negative impacts to the local economy, the town was well positioned to overcome the loss of its primary tax base. Extensive planning efforts that began 20 years before the mill closure enabled the town to recover quicker with significantly fewer hardships than they otherwise would have experienced34. Through collaboration between the Town of Bucksport, EMDC, the Department of Environmental Protection (DEP),

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and the Environmental Protection Agency (EPA), the redevelopment process was smooth. Today, the former mill is home to a variety of tenants; AIM Development, a metal recycling firm, Whole Oceans, an aquaculture company, Maine Maritime Academy, and a gas-fired power-generating plant.

Lincoln: Following the 2015 closure of Lincoln Paper and Tissue and the 128 job layoffs that followed, the Town of Lincoln created an Opportunity Zone fund to use as a business attraction tool. The site has been renamed as the Maine Forest Products Innovation Park, where Cross-Laminated Timber (CLT) or wood fiber will be manufactured. At present, the project is still in the planning stage and business deals have yet to be made35.

Old Town: Since its closure in 2015, the City of Old Town’s paper mill is the region’s only paper mill that has resumed operations. After sitting vacant for three years, Nine Dragons, a Chinese company, purchased and invested $45 million dollars into the mill site in 201836. Today, the mill site employs 130 workers.

Millinocket: Facing challenges following the closure of Millinocket’s Great Northern Paper Mill in 2008, it was announced in June 2021 that the former site will be redeveloped, with projects including a $300 million data center, creating a space for innovation, as well as new forest industry efforts37. This project presents a significant opportunity for job creation as well as the supply of affordable renewable energy and access to broadband networks in the Katahdin region.

East Millinocket: Since the closure of the Great Northern Paper Company in 2014, the Town of East Millinocket purchased the site in 2020 through grant funding. With support from numerous entities including EMDC and the Department of Economic and Community Development (DECD), the site will be developed into an industrial complex.

Madison: As other regional mills closed, Madison Paper Industries followed suit. In 2016, the mill closure resulted in over 200 job losses. A few years later, through a funding consortium supported by EMDC, Go Lab, a manufacturing firm, purchased the site. Similar to the Lincoln mill site, wood products will be at the forefront of production at the facility which will employ 120 people. Upon its opening, Go Lab will become the first company in North America to produce wood fiber insulation, emphasizing the region’s true opportunity to leverage its forests and embrace new innovation.38

2021 COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY

Maine Department of Economic and Community Development. Opportunity Zones. May 2018. https://www.maine.gov/decd/business-development/opportunity-zones Laurie Schreiber. Mainebiz. Bucksport manager reflects on town’s pivot after 2014 mill closure. February 2021. https://www.mainebiz.biz/article/bucksportmanager-reflects-on-towns-pivot-after-2014-mill-closure 35 Matthew Stone. Bangor Daily News. Here’s where redevelopment stands at 6 Maine paper mills that have closed since 2008. September 2019. https:// bangordailynews.com/2019/09/26/news/heres-where-redevelopment-stands-at-6-maine-paper-mills-that-have-closed-since-2008/ 36 Ellen Barry. The New York Times. A Maine Paper Mill’s Unexpected Savior: China. January 2020. https://www.nytimes.com/2020/01/15/us/maine-mill-china.html 37 Maureen Milliken. Mainebiz. Data center’s plan for Millinocket marks milestone for mill site’s redevelopment. June 2021. https://www.mainebiz.biz/ article/data-centers-plan-for-millinocket-marks-milestone-for-mill-sites-redevelopment 38 Taylor Abbott. Central Maine. Former Madison mill receiving equipment as timber tech firm preps for unique use. February https://www.centralmaine. com/2021/02/23/shipment-of-manufacturing-equipment-for-madison-mill-stored-until-summer-transport/

33 34

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2021 COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY

Summary Call to Acti n

Leveraging regional assets and opportunities

Through the identification of goals and measurable strategies, the 2021 EMDC Comprehensive Economic Development Strategy presents an approach to support long-term economic prosperity in the EMDC region. By leveraging regional assets and opportunities, the region will be in a better position to minimize weaknesses and mitigate threats to economic growth.

Improving the connectivity of people and the affordable and equitable access of goods

and services is essential for attracting and retaining the workforce the region needs.

From greater regional collaboration to increased support for clean energy advancements, rural entrepreneurship, and innovation, the regional economy will experience the growth it needs to become more vibrant, resilient, and sustainable to support communities and businesses in the years to come.

“

The State of Maine’s Strategic Plan’s goals are broad enough and big enough that we’re hoping people across the state can see their own goals in them. One of the only ways the strategic plan will succeed long-term is if it starts showing up in places like your CEDS Plan, and in your project streams, because it needs to be embedded in broader activities and it needs all of us to be executing it.

-HEATHER JOHNSON, COMMISSIONER, DEPARTMENT OF ECONOMIC AND COMMUNITY DEVELOPMENT

“

Ackn wledgments

CEDS COMMITTEE • Scott Adkins – County Administrator, Hancock County, EMDC Board Member • Sven Bartholomew – Senior Vice President, Camden National Bank, EMDC Board Member • Edmond Bearor – Attorney, Rudman Winchell & EMDC Board Member • John Belding – Director, University of Maine Advanced Manufacturing Center • Martha Bentley – Director, Economic Development Coordination & Small Business Ombudsman, Maine Department of Economic and Community Development • Rob Brown – Director, Business Ownership Solutions Program, Cooperative Development Institute • Rich Campbell – President, Campbell Environmental Group, EMDC Board Member • David Cole – David Cole Consulting. Former Maine DOT Commissioner • Denice Conary – Chief Financial Officer, Penquis • Dr. Steven Cunningham – Professor of Management and Economics, Husson University, EMDC Board Member • Kelly Cotiaux – Staff, U.S. Senator Susan Collins • Dr. Andrew Crawley – Assistant Professor of Economics, University of Maine • Sara Devlin – Director, Bangor Area Comprehensive Transportation System • Michael Donahue – President, Northern Light Beacon Health, EMDC Board Member • David Dunning – Vice President of Marketing & Human Resources, S.W. Cole Engineering, Inc. • Judith East – Executive Director, Land Use Planning Commission • Michael Elliott – Manager of Finance & Business Development, Northern Light Beacon Health • Tanya Emery – Director of Community and Economic Development, City of Bangor • Wayne Erkkinen – County Commissioner, Piscataquis County, EMDC Board Member • James Gillway – Town Manager, Town of Searsport, EMDC Board Member

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• Molly Ginn – Center Director, Career Systems Development Corporation • Jill Goldthwait – Government Relations, The Jackson Laboratory • Jon Gulliver – Director of Investor & Community Relations, NMDC • Susan Hammond – Executive Director, Four Directions Development Corporation, EMDC Board Member • Jay Hardy – Economic Development Director, Town of Lincoln • Barbara Hayslett – District Director, U.S. Congressman Jared Golden • Lisa Larson – President, Eastern Maine Community College, EMDC Board Member • Jeff Letourneau – Executive Director, Networkmaine • D’arcy Main-Boyington – Director of Economic Development, City of Brewer • Charlotte Mace – Director, Maine Office of Business Development, Maine Department of Economic and Community Development • Susan Mackey Andrews – Co-Facilitator, Maine Resilience Building Network • Jessica Masse – Partner, Designlab • Ann McAlhany – Business Advisor, Maine Small Business Development Center • Susanne Miller – Director, Bureau of Remediation and Waste Management, Maine Department of Environmental Protection • Donna Moreland – Destination Development Specialist, Maine Office of Tourism, Maine Department of Economic and Community Development • Robert Nadeau – Community Programs Director, USDA Rural Development, Maine State Office • Deb Neuman – President & CEO, Bangor Region Chamber of Commerce • Carolann Ouellette – Director, Maine Office of Outdoor Recreation, Maine Department of Economic and Community Development • Niles Parker – Executive Director, Maine Discovery Museum • Ryan Pelletier – County Administrator, Aroostook County

2021 COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY

• Jim Pineau – Senior Area Manager, U.S. Small Business Administration • Jonathan Poole – Large Business Development Manager, Maine Department of Economic and Community Development • Janna Richards – Economic Development Director, City of Ellsworth • EJ Roach – Director of Community and Economic Development, City of Old Town • Richard Rotella – Community & Economic Development Director, Town of Bucksport • Debora Rountree – Associate Academic Dean, Eastern Maine Community College • Joanna Russell – Executive Director, Northeastern Workforce Development Board • Amy Ryder – Economic Development Director, Town of Hampden • Laura Sanborn – County Commissioner, Penobscot County, EMDC Board Member • John Shea – Executive Director, Piscataquis County Economic Development Council • William Shorey – County Commissioner, Waldo County • Linda Silka – Senior Fellow, Senator George J. Mitchell Center for Sustainability Solutions • Edie Smith – Political Consultant and State Director, U.S. Senator Angus King • Aimee Thibodeau – Marketing & Business Development Manager, Bangor International Airport • Beverly Uhlenhake – Broker, Epstein Commercial Real Estate • Lucy Van Hook – Director of Community Development, Our Katahdin • Tony Vail – General Manager, Cross Center Insurance • Brian Wilson – Business and Cooperative Programs Director, USDA Rural Development, Maine State Office • Carol Woodcock – State Office Representative, U.S. Senator Susan Collins • Lawson Wulsin – Executive Director, A Climate to Thrive

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CEDS TASK FORCE • Rich Campbell – President, Campbell Environmental Group • David Cole – David Cole Consulting, Former Maine DOT Commissioner • Dr. Steven Cunningham – Professor of Management and Economics, Husson University • Sara Devlin – Director, Bangor Area Comprehensive Transportation System • Susan Hammond – Executive Director, Four Directions Development Corporation, EMDC Board Member • Jay Hardy – Economic Development Director, Town of Lincoln • D’arcy Main-Boyington – Director of Economic Development, City of Brewer • Susan Mackey Andrews – Co-Facilitator, Maine Resilience Building Network • Susanne Miller – Director, Bureau of Remediation and Waste Management, Maine Department of Environmental Protection • Carolann Ouellette – Director, Maine Office of Outdoor Recreation, Maine Department of Economic and Community Development • Niles Parker – Executive Director, Maine Discovery Museum • Jim Pineau – Senior Area Manager, U.S. Small Business Administration • Richard Rotella – Community & Economic Development Director, Town of Bucksport • Lucy Van Hook – Director of Community Development, Our Katahdin

KEYNOTE SPEAKERS • Heather Johnson – Commissioner, Department of Economic and Community Development • Hannah Pingree – Director, Governor’s Office of Policy Innovation and the Future • The Honorable Angus S. King – U.S. Senator

2021 COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY

ARTIST CONTRIBUTORS • Samantha Bullard – Fine Artist, “A Year in Maine” 2019 • George Danby – Editorial Cartoonist, Bangor Daily News • Patty Griffin – Grammy Award-Winning SingerSongwriter, “Where I Come From” 2019 • Jeff Kirlin – Photographer • Kristin Harmon – EMDC Contributed Photographs

INTERVIEW PARTICIPANTS • Rich Campbell – President, Campbell Environmental Group • Tony Caruso – Airport Director, Bangor International Airport • David Cole – David Cole Consulting, Former Maine DOT Commissioner • Dr. Habib Dagher – Executive Director, Bath Iron Works Professor of Structural Engineering, University of Maine Advanced Structures & Composites Center • Claire Eaton – Director, Natural Resource Markets & Economic Development, Maine Department of Agriculture, Conservation and Forestry • James Gillway – Town Manager, Town of Searsport, EMDC Board Member • Carolann Ouellette – Director, Maine Office of

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Outdoor Recreation, Maine Department of Economic and Community Development • Amanda Rector – State Economist, Department of Administrative and Financial Services • Richard Rotella – Community & Economic Development Director, Town of Bucksport • Lucas St. Clair – Board Member, Friends of Katahdin Woods and Waters, Executive Director, Elliotsville Foundation, Inc. • Aimee Thibodeau – Marketing & Business Development Manager, Bangor International Airport • Emma Wendt – Community Development Officer – Climate Specialist, Island Institute

EMDC STAFF • Lee Umphrey – President & CEO • Jon Farley – Vice President of Operations • Kristin Harmon – Communications Coordinator • Dr. Vicki Rusbult – Director of Community & Business Services • Peter Jamieson – Katahdin Region Economic Development Director • Tom Fernands – Manager of I.T. and Data • Ryan Grindle – Regional Development Coordinator • Cody Gilks – DBE Supportive Services Specialist • Anna Stockman – Planner • Thomas Noonan – Intern, University of Maine Senior

2021 COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY

“

The strength of this report comes from the participation of key stakeholders in our region. Special kudos to EMDC’s Planner Anna Stockman for leading the coordination of meetings and framing the agenda and content to encourage interactive and thoughtful discussions. Also extra thanks to EMDC’s Communications Coordinator Kristin Harmon for her writing, design and promotional expertise to ensure the relevancy of the report.

Because of the Pandemic, this endeavor was especially important to recognize our collective resilience while carving a promising path forward.

-LEE UMPHREY, PRESIDENT & CEO, EASTERN MAINE DEVELOPMENT CORPORATION

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“

2021 COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY

Online Res urces

Maine Economic Development Strategy – Maine Department of Economic and Community Development, November 2019 Economic Support and Stabilization Recommendations – Governor’s Economic Recovery Committee, July 2020 Recommendations to Sustain and Grow Maine’s Economy – Governor’s Economic Recovery Committee, November 2020 The Maine Jobs & Recovery Plan – Office of the Governor, May 2021 Northeastern Workforce Development Board 2021 Strategic Plan – Northeastern Workforce Development Board, June 2021 State Monthly Economic Indicators Reports – Office of the State Economist, Department of Administrative and Financial Services Maine’s Economy during COVID-19: 2020 Year in Review – Office of the State Economist, Maine Department of Administrative and Financial Services, May 2021

Katahdin Gazetteer: A Roadmap to the Future – Katahdin Collaborative, March 2019 Opportunity Zones – Maine Department of Economic and Community Development Recommendations to the Legislature – Permanent Commission on the Status of Racial, Indigenous and Maine Tribal Populations, September 2020 Maine 2021 Annual Plan – Maine Office of Tourism, 2021 Maine Won’t Wait, A Four-Year Plan for Climate Action – Maine Climate Council, December 2020 Lead by Example Report – Governor’s Office of Policy Innovation and the Future & Governor’s Energy Office, 2021 Scientific Assessment of Climate Change and Its Effects in Maine – Maine Climate Council, August 2020 Maine Climate Science Dashboard – Maine Climate Council, April 2021

Maine Economics & Demographics Data Portal – Office of the State Economist, Maine Department of Administrative and Financial Services

Waypoints Connect: Infrastructure Indicators for Maine’s Coast and Islands – Island Institute, 2020

Maine Center for Workforce Research and Information – Maine Department of Labor

Maine Flood Resilience Checklist – Maine Coastal Program, August 2017

To view these resources, visit www.emdc.org/ceds

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2021 COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY

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2021 COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY

Index

1. Steve Collins. Government Technology. Maine Continues Working on High-Speed Internet Challenges. March 2021. https://www.govtech.com/network/maine-continues-working-on-high-speed-internet-challenges.html 2. Stephen Akard. Area Development. Five Key Factors at Play When Satisfying Workforce Requirements.

2020. https://www.areadevelopment.com/laborEducation/workforce-q4-2020/five-key-factors-at-play-whensatisfying-workforce-requireme.shtml 3. National Park Service. Acadia National Park. Webpage. https://www.nps.gov/acad/index.htm 4. Baxter State Park. History. Webpage. https://baxterstatepark.org/shortcodes/history 5. Maine DECD. Maine 2021 Annual Plan. 2021. https://motpartners.com/wp-content/uploads/2021/05/2021_ GovCon_AnnualPlan.pdf 6. U.S. Department of Commerce. Outdoor Recreation Satellite Account (ORSA). 2019. https://apps.bea.gov/ data/special-topics/orsa/summary-sheets/ORSA%20-%20Maine.pdf 7. Susan Cover. Maine Town & City. Maine Municipal Association. Small Towns across Maine push for better broadband access. June 2021. https://memun.org/DesktopModules/Bring2mind/DMX/Download. aspx?Command=Core_Download&EntryId=14933&language=en-US&PortalId=0&TabId=119 8. U.S. Energy Information Administration. U.S. power customers experienced an average of nearly five hours of interruptions in 2019. November 2020. https://www.eia.gov/todayinenergy/detail.php?id=45796 9. JobsEQ. American Community Survey, 2015-2019.

10. Plimpton Research. Penquis Community Needs Assessment. August 2019. https://www.penquis.org/wpcontent/uploads/2019/09/2019PenquisCommunityNeedsAssessment.pdf 11. Maine Multicultural Center. Our History. Webpage. https://mainemulticulturalcenter.org/who-we-are/our-history 12. Redfin. Housing Supply in Rural Areas Drops a Record 44%, Helping Drive the Overall Shortage of Homes for Sale. January 2021. https://www.prnewswire.com/news-releases/housing-supply-in-rural-areas-drops-arecord-44-helping-drive-the-overall-shortage-of-homes-for-sale-301217994.html 13. Ernie Clark. Bangor Daily News. Piscataquis County’s real estate market sees highest sales since 2007.

January 2021. https://bangordailynews.com/2021/01/13/news/piscataquis/piscataquis-countys-real-estatemarket-sees-highest-sales-since-2007 14. Max Woolf. Live Career. Is Remote Work Here to Stay? [2021 Study]. January 2021. https://www.livecareer. com/resources/careers/planning/is-remote-work-here-to-stay 15. Governor’s Office of Policy Innovation and the Future. Governor’s Energy Office. Strengthening Maine’s Clean Energy Economy. November 2020. https://www.maine.gov/future/sites/maine.gov.future/files/inline-files/ StrengtheningMainesCleanEnergyEconomy_Nov92020.pdf 16. Maine Department of Agriculture, Conservation & Forestry. Dual-Use or (Agrivoltaic) Solar Installations.

December 2020. https://www.maine.gov/dacf/ard/resources/docs/dual-use-factsheet.pdf 17. Janelle Nanos. Boston Globe. New England Aquarium partners with SeaAhead to launch ocean-centric startups. April 2021. https://www.bostonglobe.com/2021/04/19/business/new-england-aquarium-partnerswith-seaahead-launch-ocean-centric-startups 18. Whole Oceans. About. Webpage. https://wholeoceans.com/#opportunity 19. American Aquafarms. About Us. Webpage. https://americanaquafarms.com/us/about-us

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20. Bangor Daily News. Despite unneeded hurdles, Katahdin monument draws visitors from around the world. December 2017. https://bangordailynews.com/2017/12/01/opinion/despite-unneeded-hurdles-katahdin-monument-drawsvisitors-from-around-the-world 21. Mal Leary. Maine Public. Angus King Named Chair of National Parks Subcommittee. March 2021. https://www. mainepublic.org/politics/2021-03-03/angus-king-named-chair-of-national-parks-subcommittee 22. WeConservePA. Economic Benefits of Trails. https://conservationtools.org/guides/97-economic-benefits-of-trails 23. National Park Service. Tourism to Katahdin Woods and Waters National Monument creates $3.3 million in Economic Benefits. June 2021. https://www.nps.gov/kaww/learn/news/tourism-2020.htm 24. U.S. Department of Commerce. Outdoor Recreation Satellite Account (ORSA). 2019. https://apps.bea.gov/data/ special-topics/orsa/summary-sheets/ORSA%20-%20Maine.pdf 25. Maine Climate Council. Maine Won’t Wait, A Four-Year Plan for Climate Action. December 2020. https://www.maine. gov/future/sites/maine.gov.future/files/inline-files/MaineWontWait_December2020.pdf 26. Maine Climate Council. Scientific and Technical Subcommittee. Scientific Assessment of Climate Change and Its Effects in Maine. August 2020. https://www.maine.gov/future/sites/maine.gov.future/files/inline-files/GOPIF_STS_ REPORT_092320.pdf 27. Maine DECD. Maine 2021 Annual Plan. 2021. https://motpartners.com/wp-content/uploads/2021/05/2021_GovCon_ AnnualPlan.pdf 28. Community Health Leadership Board. Ad Hoc Health & Housing Work Group. Final Report: COVID Response for a Vulnerable Population Experiencing Homelessness. April 2021. https://documentcloud.adobe.com/link/review?uri=ur n:aaid:scds:US:d2aea0e1-4845-4ab6-8a5e-0200acca48ba 29. Emily Cochrane. The New York Times. The Senate extends Paycheck Protection Program for two months. March 2021. https://www.nytimes.com/2021/03/25/us/senate-ppp-loan-extension.html 30. American Planning Association. Planning for Equity Policy Guide. May 2019. https://planning-org-uploaded-media. s3.amazonaws.com/publication/download_pdf/Planning-for-Equity-Policy-Guide-rev.pdf 31. Permanent Commission on the Status of Racial, Indigenous and Maine Tribal Populations. Recommendations to the Legislature. September 2020. https://www.maine.gov/labor/pcrit/reports/2020_LegReport.pdf 32. EqualityMaine. About Us. Webpage. https://www.equalitymaine.org/about-us 33. Maine Department of Economic and Community Development. Opportunity Zones. May 2018. https://www.maine. gov/decd/business-development/opportunity-zones 34. Laurie Schreiber. Mainebiz. Bucksport manager reflects on town’s pivot after 2014 mill closure. February 2021. https://www.mainebiz.biz/article/bucksport-manager-reflects-on-towns-pivot-after-2014-mill-closure 35. Matthew Stone. Bangor Daily News. Here’s where redevelopment stands at 6 Maine paper mills that have closed since 2008. September 2019. https://bangordailynews.com/2019/09/26/news/heres-where-redevelopment-standsat-6-maine-paper-mills-that-have-closed-since-2008/ 36. Ellen Barry. The New York Times. A Maine Paper Mill’s Unexpected Savior: China. January 2020. https://www. nytimes.com/2020/01/15/us/maine-mill-china.html 37. Maureen Milliken. Mainebiz. Data center’s plan for Millinocket marks milestone for mill site’s redevelopment. June 2021. https://www.mainebiz.biz/article/data-centers-plan-for-millinocket-marks-milestone-for-mill-sites-redevelopment 38. Taylor Abbott. Central Maine. Former Madison mill receiving equipment as timber tech firm preps for unique use.

February 2021. https://www.centralmaine.com/2021/02/23/shipment-of-manufacturing-equipment-for-madison-millstored-until-summer-transport PAGE 47

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emdc.org @EMDCMAINE

Eastern Maine Development Corporation 40 Harlow Street, Bangor, Maine 04401 (207) 942-6389 • info@emdc.org