A Community’s Resurgence Continues

Overview

• Maytag: Ending an era• Transformation Efforts• Entrepreneurial Efforts

Maytag: Heritage

• Started in 1873

• Began producing washing machines in early 1900s

• Rapid growth

Maytag: Growth

• Growth continued for decades• Became one of the world’s largest

companies• Built on foundation of dependability

– Great workers building great products

• Newton grew along with Maytag • Early 2000s, over 4000 were

employed by Maytag in Newton

Maytag: Decline

• Job cuts of approximately 2000 over five years

• May 2005: Proposed sale

• March 2006: Whirlpool approved as buyer

• May 2006: Whirlpool announces all Maytag facilities in Newton will close by end of 2007

• 1900 local Maytag jobs lost

Transformation: Beginnings

• Community recognized the need to diversify its economic base

• Aggressive tax incentives

• Several major projects and initiatives

Newton Municipal Airport

– $4M investment– New terminal– New hangar– Apron

improvements– 5,600 foot paved

runway and complete instrument landing system

Iowa Speedway

• Rusty Wallace Signature Design– 7/8 mile Tri-Oval Track– 26 Suites– 28,000 seats– 200+ annual event days

The Newton Promise

• Initiative to try to provide full college scholarships to all Newton High School graduates

Central Iowa Energy BioDiesel Plant

– Operational 2007– 30 million gallons/yr– 28 jobs– $1.2 million payroll– $50 million investment

Transformation: The Council

• The Newton Transformation Council is a powerful grass-roots force working to sustain and improve the quality of life in Newton, Jasper County, and the local region.

• The Council is a collaborative effort working to provide strategies for moving the community into the future.

Transformation: Accomplishments

• Career Fair with over 80 companies represented held in June and September

• Establishment of Project Management Office

• Formed partnership with Whirlpool to discuss disposition of Maytag buildings

• Conducted Community in Transition events with David Beurle on July 17th

• Secured funding for Small Business Development services including counseling, training, mentoring, and market research to be provided in Newton

• First educational fair held in August

• First in series of entrepreneurial seminars held in August 28th

Transformation Continues

• Rural economic development specialist, David Beurle returns to Newton on Sept. 20-21

• Meets with High School Students

• Works with Newton Transformation Council on governance issues

• Facilitates Visioning Rally• Cluster organizing meeting

set for October 5th

Transformation: High School Forum

• David Beurle conducted special forum with only high school students– Open discussion, students were engaged and want to be

involved in Newton’s future– Consensus of students indicated they would return to

Newton after college if Newton offered variety of businesses to seek job opportunities and increase the variety of entertainment

– Students want to be actively involved with Transformation Council

– Identified the “youth” as the real future of the community

Transformation: Council Leadership Session

• David Beurle conducted special leadership session with members of the Transformation Council

• Council discussed with David:• Wisconsin Rapids transformation model• Other community governance models• Clarity of roles moving forward

Transformation:Visioning Rally – September 21st

• Over 350 community and regional individuals attended and participated in the Visioning Rally– Beurle led a powerful three hour session which actively

engaged participants in healthy discussions and activities that empowered them to become involved in the community’s vision and future

• Reviewed “Ten Attributes of Successful Communities”

• Assessed Newton’s strong attributes and weak attributes

• Envisioned Newton’s future 15 years out

• Created community vision (distributed at end of session)

• Identified strategic action areas needing immediate attention

• Announced next step – Cluster organizing on October 5th

Transformation: Community Vision

Newton is a center of excellence for world class education, technology, research and development, with an innate culture of entrepreneurship. We embrace and support diverse businesses and creative enterprises that put Newton on the map as a quality community of choice. We create systems that fuel the world with renewable energy and we celebrate our gourmet foods that are premium, natural, and high value.

We are THE quality community; smart, innovative, safe, fun and cool. We are the center for festivals and events that celebrate the arts and culture. The town permeates the positive, small-town feel where the Newton Promise is rewarding and enriching the lives of us all.

CREATED BY OVER 350 INDIVIDUALS THAT ATTENDED THE COMMUNITY VISION RALLY HELD ON SEPTEMBER 21, 2006

Transformation: Visioning Rally and Beyond

• Over 350 community and regional individuals departed the Visioning Rally with energy, hope and a new vision. Copies of the Community Vision were distributed to all participants to share with the entire community. They are ready to begin the next steps:– Cluster Groups meet October 5th to organize around

strategic action areas• Strength Business/Entrepreneur Systems• Connect Community into Sub/Regional System• Connect Youth to Vision• Solicit Support of Vision by Proclamation from official boards• Promote Vision

Assets

Assets

Changing Economic Development Model

John Austin, Brookings Institute

“The places that produce and attract talented people are going to be the places that participate in today’s economy”

The Reality of Transformation