Mapping Oregon’s Economic Development Ecosystem

Oregon is unique given what falls inside its borders; there is a little bit of everything. The Oregon landscape ranges from coastal environments, to lush valleys, mountain ranges, forests, and deserts. Local economies are driven by diverse industries such as agriculture, forestry, tourism, manufacturing, technology, and more.

Economic development organizations, services, and practitioners across the state work to support Oregon’s economy and meet the needs of local and regional communities. Mapping the economic development ecosystem in Oregon provides an opportunity to increase awareness and collaboration across sectors and jurisdictions.

How did the study evolve?CPW Student Team

In 2019, IPRE faculty initiated discussions with representatives from OEDD (Oregon Economic Development Districts) about the potential to study Oregon’s economic development ecosystem. This work builds on statewide economic development needs assessments IPRE conducted in 2012 and 2017. After considerable discussion, a team of graduate students led by IPRE faculty member Melissa Graciosa dug into the project in 2021. The project had three objectives:

  • Define baseline data on the economic development ecosystem.
  • Provide a resource that defines roles, services, and economic development organizations at the state level and regional level.
  • Support planning for a resilient and equitable economy.

The research team quickly found out that very little research exists on economic development ecosystems. Thus, the team created a definition and a framework for the study:

An economic development ecosystem looks at how the complex network of economic development organizations, services, populations, and supporting infrastructure is interconnected and related. 

In short, viewing economic development as an ecosystem applies a systems thinking approach to the field.

What did the study find?

The IPRE research team identified 859 unique economic development organizations (EDOs)providing 1,358 services. Seventy percent of these organizations were local, 59% provide targeted and direct services, and 52% of them are non-governmental organizations. Other key findings include:

  • 41% of organizations report having one or fewer full-time staff; 76% have five or fewer
  • 76% had annual budgets of less than $500,000
  • 82% agree that EDOs must coordinate to be effective; 64% report that coordination is difficult but 84% view it as worth the effort
  • Conditions disincentivize collaboration and organizations frequently compete for funding and staff
  • Capacity and funding were identified as key barriers to collaboration
  • Complex geographies and misaligned service territories make collaboration difficult
  • EDOs want more interaction and support from the state
  • Equity, inclusion, and resilience are emerging as focal areas for many organizations
  • EDOs want to better connect with local and minority-focused community development organizations

What does IPRE recommend?

The Ecosystem Mapping project is an important first step in better understanding how economic development activities are structured in Oregon. The report is intended to inform a deeper dialog about how to best implement economic development activities in the state. IPRE made three primary recommendations:

  1. Develop and embrace strategies to link, leverage, and align actors, resources, and activities in the ecosystem
  2. Develop a shared vision for economic development and encourage stronger state and regional leadership
  3. Establish equity and inclusion as a guiding principle for economic development

This Ecosystem Mapping project is part of IPRE’s ongoing contributions to economic development in Oregon through our Economic Development Administration-funded University Center. We want to thank EDA for their continued support as well as all of the individuals and organizations that participated in this study.

You can access the report by clicking on the cover below. More information about the project is available at the Economic Development Ecosystem Mapping website.

Exploring Northeast Oregon’s New Natural Resource Economy

By Aniko Drlik-Muehleck

In the lull before the finals week storm (or rather, in the midst of preparing for that storm), first year planning graduate students Aiden Forsi, Michael Graham, and Steph Nappa headed off on a whirlwind tour of Northeast Oregon. Their mission: to gain firsthand experience with the “New Natural Resource Economy.”

The new WHAT, you ask? Good question. PPPM Professor Emeritus Mike Hibbard and his research colleague Dr. Sue Lurie have been investigating what they call the new, or next, natural resource economy, aka NNRE, for many years. As part of a year-long project funded by Meyer Memorial Trust, the Ford Family Foundation, and the Oregon Community Foundation, Professor Hibbard and Dr. Lurie are partnering with the CSC to engage graduate students in an applied economic development project centered on the NNRE in Eastern Oregon.

Students Steph Nappa, Michael Graham, and Aiden Forsi get a tour of Stein Distillery with Professor Mike Hibbard and Dan Stein.

But what is the new natural resource economy? For the long answer, we suggest you read Professor Hibbard’s and Dr. Lurie’s 2013 article in Society & Natural Resources. In brief, however, the NNRE is comprised of small businesses using natural resources in innovative ways that emphasize environmental stewardship. These businesses are contributing to new markets like sustainable farming, habitat restoration, and eco-tourism that complement –not necessarily replace –the traditional, extraction-based natural resource economy

It is perhaps easiest to illustrate with some examples from the students’ trip:

  • Upper Dry Creek Ranch is a vertically integrated, 100% grassfed beef and lamb ranch. The Cosner family has worked for decades to create a system of ranching that centers on the health of their animals and their land.
  • The Plantworks is a native plant nursery focused on habitat restoration. Sandy Roth and Dick Kenton collect seeds directly from habitat restoration sites, nurture these native plants through their initial stages of growth, then work to restore ecosystems using the plants.
  • Stein Distillery is a micro-distillery sourcing local grain from the family farm. Owner Dan Stein transformed a hobby into an award-winning business when he opened to the public in 2009. Spent grains from the distilling process are returned to the farm as fertilizer for the crop that will feed the next batch of handcrafted whiskey, bourbon, vodka, rum, and cordials.
  • Wilson Ranches Retreat is a bed and breakfast on a working, traditionally managed ranch. The Wilson family is committed to educating visitors about ranching practices that preserve and care for the delicate rangeland of North-central Oregon.

Natural resources and agriculture have always been the backbone of rural life, but the American economy is changing rapidly, shifting away from natural resources towards technology and services. This shift has left many rural communities behind. Professor Hibbard and Dr. Lurie believe that growth of the new natural resource economy may pave the way for rural revitalization in areas hard-hit by economic transition.

As the student team continues to investigate the NNRE in Eastern Oregon, stay tuned for ideas about how policymakers and economic developers can support this emerging sector.