News

Register now for “Creating Rural Advantage” - center’s annual Rural Partners Forum to be held in Raleigh Sept. 13-14
As rural communities in North Carolina and around the nation grapple with how to harness opportunity in today’s global economy, many are finding success through emerging technologies, business diversity and strategies that build on existing assets. These communities are proving that you can be rural, small, and remote – and still be prosperous. Join the center on Sept. 13-14 in Raleigh as we examine the state’s role in the global economy, highlight innovative approaches to globalization both here at home and across the nation and explore how North Carolina can capitalize on the opportunities ahead. Erskine Bowles, newly-elected president of the University of North Carolina system, will give the keynote address at the banquet on September 13. Speakers include Mark Drabenstott, vice president and director of the Center for the Study of Rural America at the Federal Reserve Bank of Kansas City. A limited number of scholarships will be awarded; applications for which must be received by Aug. 17. For more information on the 2006 Rural Partners Forum, contact Courtney Kilpatrick in the communications office at (919) 250-4314. To register online, click here.

Rural areas with no ‘large’ town to benefit from rewrite of state’s economic incentive law
State lawmakers adjourned the short session of the N.C. General Assembly July 28, wrapping up business in a little less than three months. Lawmakers focused much of their efforts this year on boosting teacher pay, community college and low-wealth schools funding and a major overhaul of the economic incentive program it uses for industrial and small business recruitment. Concerned that the 10-year-old Bill S. Lee Act wasn’t working fully to the state’s advantage, lawmakers rewrote portions of the law to reduce the number of categories that rank a county’s economic distress from five to three, and narrowed the focus of the incentives to job creation and investment in land and property. The new law, which is already in effect, stipulates that companies that agree to locate in the state’s 40 most distressed counties will be eligible to receive the highest per-job credit of $12,500. The provision is good news for economic developers in rural counties, which have long complained about the formula used to rank a county’s level of distress. Recruiting industry to impoverished urban areas and rural counties with no large towns was another goal of the legislation. Businesses that locate in so-called “agrarian growth zones,” in rural counties without a municipality of 10,000 or more residents, or in an impoverished “urban progress zone” will be eligible for more substantial tax credits. To read the full text of House Bill 2170, click here.

Legislation gives e-NC Authority life through 2011
The e-NC Authority will remain in operation through 2011 under a bill signed by Gov. Mike Easley. The technology-based economic development initiative, which is housed within and administered by the Rural Center, was scheduled to sunset later this year. The legislature also voted to provide $500,000 in recurring funding to support the work of the authority. Senate Bill 1741 also sought to boost public school technology-based learning through connectivity. As a result of e-NC’s Feasibility Study for Developing Regional Education Networks, lawmakers included $6 million in funding for public school connectivity and $2.8 million for the Virtual Public Schools Project, both part of Lt. Gov. Beverly Perdue’s BETA initiative. The e-NC Authority is widely regarded as the most comprehensive statewide connectivity effort in the nation and has received widespread recognition for its work bridging the digital divide between urban, more affluent areas of the state and rural and low-wealth communities. To find out more about the work of the e-NC Authority, visit the website.

North Carolina now 9th worst state in the nation for child well-being, according to new report
A new survey finds North Carolina has slipped to 41st in the nation for child well-being. Kids Count, an annual analysis by the Annie E. Casey Foundation, finds that a quarter of all North Carolina children under the age of six lived below the poverty line in 2004, a 32 percent increase from four years ago. Action for Children North Carolina, the North Carolina organization that partnered in the study, said the state didn’t fare much better in 2005 when it was ranked 40th for indicators affecting children, such as family income, health and education. North Carolina’s median income of $43,000 is $7,000 less than the national median. To read the full report, click here.

Meetings and Events

“La Fiesta del Pueblo,” annual social, arts, political event for Latin Americans to be held in Raleigh Sept. 9-10
Over 40,000 people are expected to attend El Pueblo's annual event "La Fiesta del Pueblo" at the N.C. State Fairgrounds in Raleigh Sept. 9-10. La Fiesta del Pueblo is the largest Latin American Festival in the Carolinas. It has grown from an attendance of 2,000 in 1994 to 50,000 in 2005. Through the event, El Pueblo brings the arts and cultures of Latin America and the Caribbean to hundreds of thousands of people with two days of cultural art exhibits, health, public safety and children’s fairs, traditional dancing and food. To find out more, contact Mary & Parrish Events at (919) 338-1839.

Southern Regional Biomass meeting Sept. 15 in Atlanta
Southern Growth Policies Board and Oak Ridge National Laboratory are hosting a regional meeting on biomass opportunities in the South on September 15th in Atlanta. The discussion will focus specifically on the economic opportunities of creating energy and fuel through crops or waste products. The meeting will cover the entire life cycle of the industry, from research and development, through commercialization and distribution. Researchers, economic developers, government officials and private sector firms with an interest in this industry are encouraged to attend. An agenda and meeting details will be available soon. In the meantime, to find out more or to secure an invitation to this event, contact Charity Pennock.

Center for Nonprofits annual conference to be held Sept. 20-22 in RTP
The N.C. Center for Nonprofits’ 2006 Statewide Conference for North Carolina's Nonprofit Sector will be held September 20-22 at the Sheraton Imperial Hotel in Research Triangle Park. This annual event will offer 35 sessions to meet the professional development needs of nonprofit board and staff members at all stages of learning. To download the conference brochure and register online, click here.

E-NC Authority to host third annual wireless conference Nov. 13-14 in Chapel Hill
Registration is open for the e-NC Authority’s third annual Southeast Wireless Symposium and ICT Conference on Nov. 13-14 at the William and Ida Friday Center in Chapel Hill. Again this year, the conference will bring together national experts and community leaders to discuss the deployment of wireless networks. This year the e-NC Authority is expanding the scope of the conference to cover information communication technology, a broader concept that encompasses information technology infrastructure generally, with specific emphasis on broadband Internet technologies and the powerful applications they deliver. This year's event will focus on the new and evolving technical, political, legal, and financial issues surrounding municipal broadband deployment. Industry experts and community leaders will present research results and practical hands-on experience derived from case studies on applying ICT to create digital communities and enhance rural life. For registration details, visit the e-NC Authority website.

Reports and Research

Magazine compiles top 10 list of small business myths to dispel common misconceptions of entrepreneurs
For those who dream of someday owning their own business, a recent article suggests forming unrealistic expectations early on could spell doom for a burgeoning enterprise. Entrepreneur.com magazine wants to dispel 10 common small business myths to increase the likelihood of start-up success. Expecting profitability within the first six months of starting the business comes in at number eight on the list, as experts say it generally takes two to three years for a new business to get out of the red. Myth number 4 is the assumption that self-employment will afford more free time. While it is true that entrepreneurs have a more flexible schedule, experts say to expect longer, not shorter, work hours because entrepreneurship is a lifestyle, not a job. To read the full report, click here.

Brookings report details impact of Individual Development Accounts for the working poor
A new study from The Brookings Institution examines the impact of Individual Development Accounts (IDAs). Findings from the first field experiment of IDAs – matched savings accounts for low-income participants that can be used to buy a first home, start a business or receive schooling – were recorded in Tulsa, Oklahoma, between 1998 and 2003. As part of the experiment, eligible applicants were assigned to one of two groups: Members of one group were allowed to open IDAs and members of the other group were not. Among the major findings was that the IDA program had a significant impact on increasing homeownership among black renters. However, the rise in homeownership among this group was accompanied by a decline in financial assets and business ownership rates relative to the control group. In contrast, white renters showed little increase in homeownership, but did show substantial increases in business equity. The IDAs appeared to have little influence on other uses, such as for degree-based classes, retirement savings or home improvements. Overall, almost half of IDA holders withdrew all of their funds for non-qualified uses. Download the full report.

CFED program links youth savings to future entrepreneurship and self-employment opportunities
A new report from the Corporation for Enterprise Development (CFED) explores the advantages of linking financial literacy and entrepreneurship programs as a means of turning youth onto the possibilities of small business ownership and wealth creation early in their lives. CFED is currently conducting the Savings for Education, Entrepreneurship and Downpayment initiative, a 10-year effort to develop, test and promote matched savings accounts and financial education for youth. The organization’s longtime high school entrepreneurship education program for rural communities, REAL Entrepreneurship, is highly regarded. With funding from the W.K. Kellogg Foundation, CFED explores both these programs and determines how to link them for greater reach and maximum impact. Finally, the report presents several recommendations for schools and other community organizations interesting in designing or expanding programs that more closely link youth savings to entrepreneurship. To read the full report, Linking Youth Savings and Entrepreneurship, click here.

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At the Rural Center

Center and its partners encourage entrepreneurial thinking among high school youth with Hop on the Bus competition program
The Rural Center and its partners recently announced the first statewide effort to expose high school youth to the world of entrepreneurship. The center-led Rural Entrepreneurship Development System project, in partnership with the N.C. Department of Public Instruction, NC REAL, NC 4-H and Junior Achievement, will kick off the Hop on the Bus program this fall. The competition-style program was designed to give students in grades 9-12 a true-to-life experience in developing an entrepreneurial idea and building it into a viable business of their own. Prizes will be awarded to the top five students or student teams and their teacher/mentors. Further details on the Hop on the Bus! Program will be made available in September and will be posted on the website.

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Funding Sources

Center to hold grant workshop for communities interested in water, sewer and economic infrastructure funds on Aug. 16
The Rural Center will host a morning and an afternoon informational workshop on Aug. 16 at the center’s Raleigh office for communities interested in applying for center funding through its Water and Sewer Grants Program and its Economic Infrastructure Program. The 10 a.m. and 2 p.m. workshops will walk participants through eligibility requirements and application procedures for both programs. The center has $675,000 available for grants through its Water and Sewer Grants Program for communities that need help planning, expanding or upgrading their water and sewer infrastructure. The center’s Economic Infrastructure Program is a jobs-based, state-funded effort to boost the water, sewer and physical infrastructure needed to attract and sustain business development in rural and low-wealth communities. The center has invested nearly $30 million in Economic Infrastructure Funds to date. To register for the workshops, or to find out more, contact Hazel Edmond at (919) 250-4314.

Deadline is Aug. 20 for U.S. Department of Labor grant program aimed at strengthening community college job training programs
The U.S. Department of Labor’s Employment and Training Administration (ETA) will accept applications to its Community Based Job Training (CBJT) grant program through Aug. 29. The program works to build the capacity of community colleges to train workers to develop the skills required for success in today’s high growth/high demand industries. In 2005, CBJT grants were awarded to 70 community colleges in 40 states training workers in biotechnology, geospatial technology, energy and other sectors. Individual community and technical colleges, community college districts, state community college systems and One-Stop Career Centers are eligible to apply. Up to 75 individual grants, ranging from $500,000 to $2 million each, will be awarded this year. For more information on eligibility requirements, or to apply, visit the website.

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From the N.C. Press

Raleigh News & Observer: Manning responds to criticism with stern lecture aimed at principals
Principals from the state's 17 worst performing high schools received a stern lecture Friday from Judge Howard Manning Jr. on the educational opportunities guaranteed by the state constitution and their duty to provide those opportunities to all children. Manning has been demanding improvements to the state's lowest performing schools for over a year, largely holding the principals responsible for student achievement that he calls unacceptable. "You can hate my guts," Manning told the principals. "You are trained, paid and trusted with children's lives. ... If you're in the way, you're a cork in the bottle. You're limiting children's opportunities and violating their constitutional rights every day." The 17 principals wrapped up two weeks of special leadership training Friday at the University of North Carolina-Chapel Hill. Earl Pappy, a newly hired principal of one of the schools under Manning's scrutiny, said the sessions gave him a chance to learn from principals with schools in similar circumstances. He said all the schools seem to share a common problem: a teacher shortage.

North Carolina Associated Press: Trail of Tears expansion to include parts of NC
A U.S. House committee has agreed to expand a cross-country trail where 4,000 Cherokee Indians perished to include parts of North Carolina. The original Trail of Tears Historic Trail, designated in 1987 by Congress, commemorates the removal of the Cherokee and the paths that 17 Cherokee detachments followed westward. Today the trail includes 2,220 miles of land and water routes through portions of nine states, according to the National Park Service. The expanded trail could also include areas of Georgia and Oklahoma. U.S. Rep. Zach Wamp, R-Tenn., who is part Cherokee, proposed the legislation and said he expects the bill to clear the Senate and be on the president's desk by September. Wamp said the addition of the new trails would inform people of the character of the Cherokee Nation. "They are one of the most advanced tribes," Wamp said. "They had created their alphabet and newspaper. Through this adversity they grew in their character. The trail was a tragic story that furthered the collective character of the Cherokee nation."

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The mission of the North Carolina Rural Economic Development Center is to develop, promote, and implement sound economic strategies that improve the quality of life of rural North Carolinians, with a special focus on individuals with low to moderate incomes and communities with limited resources.

N.C. Rural Economic Development Center
Michelle Taylor, UPDATE editor
Courtney Kilpatrick, UPDATE production manager
Elaine Matthews, vice president for communications and development
4021 Carya Drive, Raleigh, NC 27610
(919) 250-4314 Fax: (919) 250-4325
www.ncruralcenter.org