Economic development strategies for a tough economy.(from the editor)

Every area of government is being affected by the current economic situation. I Jurisdictions are looking for effective strategies to address increasing vacancy rates, declining property values, and pinched budgets. This issue of Government Finance Review provides a number of ideas for successfully addressing these issues.

In One City's Response to Difficult Economic Times, Paul Cawley talks about learning from the new economic reality and moving forward with a fresh new look at economic development. He describes the strategies and initiatives the City of Coral Springs, Florida, has developed--and continues to develop--to ensure that the city is ready when the economy recovers.

In Capital Program Considerations in Challenging Times, John Fishbein and Christopher P. Morrill discuss the importance of financial and program considerations in developing a capital program strategy, especially in challenging economic times. They provide examples of useful strategies from a number of local governments.

Many jurisdictions are faced with the question of how to attract reinvestment in distressed areas. In Operation NoVacancy Helps Spur Reinvestment in Distressed Commercial and Industrial Corridors, Andrea Surratt, Dave Leonetti, and Mike Bennett describe an innovative program that encourages new businesses to locate in their city's vacant and under-used buildings.

Public-private partnership arrangements have been controversial in the United States. In The Use of Federal Innovative Finance Techniques in Public-Private Partnerships: The Case of the Capital Beltway, Marty Luby notes that innovative finance tools such as tax-exempt private activity bonds and loans from the federal Department of Transportation may reduce the public sector's historic cost of capital advantage.

In Determining the Cost of Vacancies in Baltimore, Bob Winthrop and Rebecca Herr explain how the City of Baltimore, Maryland, measured the cost of police services associated with vacant properties. This analysis will allow the city to pursue a program to help defray the costs it incurs in relation to these properties.

The GFOA has many resources for helping local governments cope with bad economic times. Government Finance Review is focusing an article in every issue on a topic that provides practical assistance in this area. In addition, more help is available on the GFOA's Fiscal First Aid site at http://www.gfoa.org/ltfp/fiscalfirstaid.

Anne Spray Kinney

Editor in Chief