Secretary Raimondo Should Host a National Economic Development Summit With Her State Counterparts
Once you start living inside the Beltway it’s easy to forget that there are 50 states across the land—and even easier not to notice they each have their own department of commerce. While they may go by different names, all states have organizations whose mission is to promote economic development within their borders. Doesn’t matter if it’s a red, blue, or purple state: They all have such agencies, and they all have competitiveness and development strategies.
You would think there would be close alignment and coordination between the heads of these agencies and the U.S. Department of Commerce. But you would be wrong. So, with Washington finally waking up the need for a national industrial strategy to help America compete with the rest of the world, especially China—partly by putting in place policies and programs, like the CHIPS and Science Act, that work with the states—it’s time to formalize a federal-state economic development partnership.
Secretary Raimondo could launch the partnership this year by hosting a two-day conference for all 50 state economic development leaders (sometimes called the state’s executive director, chief executive officer, or secretary) to join her and the leaders of various federal agencies with portfolios affecting economic development. Such a conference would provide a forum to engage in in-depth discussions about how to optimize efforts that affect, directly or indirectly, U.S. economic development and competitiveness. This is no longer a task for just the Economic Development Administration, the main Commerce body that deals with state and local governments. This effort should be led by the secretary herself.
Moreover, there should be no speechifying, no pontificating, no presenting everything the Biden administration is doing, or what a particular state is doing. Rather, this should be a roll-up-your-sleeves event with all the parties discussing problems, opportunities, and new solutions. Getting this insight from on-the-ground economic development leaders would be a valuable step to better align federal efforts. Topics could include such things as how the implementation of particular EPA rules make development more difficult. Or how to streamline federal grant programs. And more. At the same time, state officials would be able to get a better sense of the variety of federal initiatives and how to best convey their ongoing concerns and suggestions for improvement. Much of this could be done in breakout sessions on particular issues.
Such a convening should not be a one-off. We live in a world where, if the United States wants to avoid sinking further into economic weakness, all levels of government need to be in regular communication with one another to improve their alignment. Secretary Raimondo could start by inviting her state counterparts to Washington for two days of serious discussions and heavy lifting.
