The Massachusetts economy is the largest in New England, and having such a robust economy is important not only for the Commonwealth’s own citizens, but also for the economic vitality of the region and the country. Although the Massachusetts economy is recovering faster and stronger than the rest of the nation, the Commonwealth has been hit hard by the recession and unemployment is still at 8.8 percent today. A critical component of the Governor’s recovery plan for Massachusetts is not only to stimulate job creation today, but to make investments that support long-term economic growth. The Patrick-Murray Administration is focused on doing just that through strategically targeted capital investments that attract private investment and support the innovation economy of the future.
The following graph reflects the Administration’s planned capital investments in economic development projects and programs over the next five years, as compared to fiscal year 2010 economic development-related spending.
The first round of funding from the Innovative Infrastructure Investment Incentive Program (I-Cubed) to finance public improvements at Assembly Square Project in Somerville.
$30 million in state-supported bonds to fund infrastructure improvements for the redevelopment project at the former naval air force base in South Weymouth.
$10 million for the Massachusetts Broadband Institute (MBI) to invest capital funds in long-lived, carrier-neutral infrastructure assets to more adequately equip residents and businesses to compete in the 21st century global economy. In July 2010, MBI received an ARRA award of $45.4 million to be invested in a robust, fiber-optic network that will connect communities in the western and north-central regions of the Commonwealth.
Creation of the MassWorks Infrastructure Program to provide a one-stop shop for municipalities seeking public infrastructure funding to support economic development and job creation. The Program represents an administrative consolidation of six grant programs:
Public Works Economic Development (PWED) Grant
Community Development Action Grant (CDAG)
Growth District Initiative (GDI) Grants
Massachusetts Opportunity Relocation and Expansion Program (MORE)
Small Town Rural Assistance Program (STRAP)
Transit Oriented Development (TOD) Program.
Management and oversight of these grants will be led by the MassWorks infrastructure team within the Executive Office for Housing and Economic Development.
$34 million will be invested in Governor Patrick’s Life Sciences Initiative capital program, which supports continued growth in one of Massachusetts key industries. These capital investments include funding for the construction of the Sherman Center at the University of Massachusetts Medical School - Worcester.
It should be noted that the capital investments reflected above in the Economic Development investment category include only the projects and programs in the FY11-15 capital investment plan that are designed first and foremost for the purpose of supporting economic development. There are, however, hundreds of millions of dollars more in planned investments reflected in the Transportation, Community Investment and other investment categories in the capital investment plan that will support economic development and the creation of jobs in the Commonwealth.