Funding for Downtown Revitalization

In the previous blog entry, the importance of locally owned businesses and how it affects the local economy. For this entry, I'd like to expand on that idea of attracting businesses to the downtown by discussing how Main Street programs are funded. Before I delve deeper into funding, let's make a few things clear. The first is that funding for revitalization is a shared responsibility between the public and private sectors. Secondly,  funding should cover the costs of program administration; lastly, funding techniques will work throughout a Main Street's life span - from beginning to end. 1

Have you ever tried to accrue funds without a direct plan? That's an issue that causes a lot of these various programs to fail; before you can acquire funds, you have to have a plan or a vision. Know where you are going, how you are planning on getting there, and what you will do once you get there. Before Main Street programs began to raise funds, they have a plan that will guide them for the rest of the way.

So you have you plan, now what? There are many avenues that a program could take; however, remember that it is best if funding is diverse in order to ensure that funds are continually coming in. Some options include:

·         Memberships

·         Arts and humanities councils

·         Corporate sponsorships

·         Grants

·         Donations

·         Special events

·         Tax

·         State programs (i.e. DREAM Act)

·         Federal Programs (i.e. Community Development Grants, Tax Credits)

Listed above is an number of tools that a program can access in order to secure funding for their Main Street program. This blog entry was never created for the purpose of going into specifics about this funding; rather, what I am trying to get you as the reader to understand is that there are many options out there funding and that communities shouldn't be afraid to began these programs just because they lack the necessary funding. Also, diversification of funding is just as important as the funding itself; it ensures the program's stability even when one source dries up.

Main Street programs are vital for downtown revitalization; in the previous blog entry I discussed the positive effects that shopping at local businesses have on the community, for that to happen, funding the Main Street programs are needed and funding is an important piece of the creation of such programs. 

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1 Dono, Andrew L., and Linda S. Glisson.Revitalizing main street: a practitioner's guide to comprehensive commercial district revitalization. Washington, DC: Main Street, National Trust for Historic Preservation/National Trust Main Street Center, 2009.

The Importance of Locally Owned Businesses

Coming from a town that lacks the motivation to support and revitalize their downtown, I'd say citizens of Cape Girardeau have it  pretty lucky to be able to go downtown and have a pleasant shopping/dining experience. Yet, talking with others who have lived in this area for a number of years, you wouldn't get the sense that they appreciate it as much as someone who is new to the area. These same people are the ones clamoring for more malls and more chain stores; being in the field of preservation and downtown revitalization it pains me to hear this as I don't believe these individuals understand the importance of small, locally owned businesses.

The Economic Impact of Locally Owned Businesses vs. Chains was a study of how small local businesses impacted the economy of a region compared to that of chain stores. (i.e. Wal-Mart, Target, Best Buy, etc.) The study concluded that residents in this region who spent at least $100 at a locally owned business generated roughly around $45 in local spending (44.6%) compared to just $14 (14.1) when the same amount was spent at a box store. [1]

You might be asking yourself how does a study in Maine have anything to do with Cape Girardeau, Missouri. The demographics of both regions are different; however, one  cannot dispute the results of the Maine study would not be roughly the same as if it was done in Cape Girardeau. Locally owned businesses in this region of Maine could add almost $23 million to the local economy; if Cape Girardeau could expand on their downtown, what makes you think it couldn't do the same? Putting money spent directly back into the economy would allow for the creation of more small businesses which in turn would allow for more employment opportunities thus assuring the economic stability of the region.

So in short, next time you hear someone clamoring for more chain stores, remind them that the revitalization of downtowns helps spur the local economy and help Cape Girardeau as a whole rather than going straight into the pocket of a corporation whose main goal is to make money regardless of the expense it has on the local community. Besides, who wants to go all the way across town to shop at some chain store? Go downtown, eat, drink, shop, and enjoy the sights, smells, and sounds. As I mentioned when I started this blog, I came from a place that lacked all of these features; downtown Cape Girardeau offers a place where you can generally find all amenities that one would want plus more.

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[1] Mitchell, Stacey . "The Economic Impact of Locally Owned Businesses vs. Chains: A Case Study in Midcoast Maine." Institute for Local Self-Reliance. http://www.ilsr.org/economic-impact-locally-owned-businesses-vs-chains-case-study-midcoast-maine/ (accessed May 5, 2014).