nk i n g B i gge r A b o u t Sm a ll e r Pl ace s Collective Impact Investing AdjacentPossible Innovation and the Power of a New Rural Narrative P r esen t ID: 614180
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Slide1
T
hinking Bigger About Smaller Places: Collective Impact Investing, Adjacent-Possible Innovation, and the Power of a New Rural Narrative
P
r
esen
t
ed
to
the
Delta Leadership Institute
Point Clear, Alabama
July 21, 2015
Charles
W
.
Flu
h
arty
President
&
C
EO
Rural
P
o
l
i
cy
R
e
search
I
n
st
i
tuteSlide2
F
ive ConsiderationsRecalibrating the rural/urban paradi
gm and dia
l
ogue
The global rationale for “Regional Rural Innovation”
Rural imperatives, given this regional evidenceChallenging the hegemony of the urban metaphor, in a disruptive milieu“Adjacent Possible” rural opportunitiesSlide3
I. Recalibrating
the rural/urbandialogue and paradigmSlide4
Rural
and Urban DefinitionsNo definition is perfect at capturing rural and urban p
opu
lation
d
ynamicsOfficial Census Bureau definition of urbanincludes places from 2,500 to several millionOMB Core Based Statistical Areas include some very rural counties in metro
ar
e
as,
because of commuting pattersNo categorical definition can properly capturethe continuum.Slide5
The
U.S. Census Bureau defines urban areas:Core blocks and block groups with population density of 1,000 people per square mile.
Surrounding
blocks
with
overall density of 500 ppmi2Range in size from 2,500 people to over 18 million people.Rural is everything that is not urban.Based on the 2010 Decennial Census:59 million people live in rural areas (19%)
249
m
i
l
lion people live in urban areas (81%)Urban and Rural Areas5Slide6
6Slide7
B
ellevue, IAPopulation 2,543New York-NewarkPopulation 18 million
7Slide8
De
fined by the Office of Management and Budget.Designed to be
functio
nal
r
egions around urban centers.Classification is based on counties.Three classifications of counties:MetropolitanNonmetropolitan counties are divided
in
t
o
two types:MicropolitanNoncoreCore Based Statistical Areas8Slide9
9Slide10
Usua
lly, metropolitan is equated withurban and nonmetropolitan
is
equat
e
d
with rural.So, if metropolitan is urban,then…10Slide11
This
is urban:Los Angeles-Long Beach-Santa Ana, CA Metro Area Population 12
.8
m
i
l
lionSlide12
And
so is this:Armstrong County, TexasPopulation 1,
901
Part
of the
Amarillo TexasMetropolitan AreaSlide13
And
if nonmetropolitan is rural,then…Slide14
This
is rural:Loving County, Texas Population 82Slide15
And
so is this:Paducah, Kentucky Population 48,791Slide16
Most Counties
are Urban and Rural!Coconino County, Arizona Population 13
4,421
Flag
st
aff Metro AreaSlide17
Most met
ropolitan areas contain ruralterritory and rural people.In fact…Over half of all rural
people
l
i
ve inmetropolitan counties!Slide18
Popu
lation Dynamics, 2010Percent of U.S. Population by CBSA and
Rur
a
l/
U
rban Status, 2010Urbanized AreaUrban ClusterRuralTotalMetropolitan99.9%36
.
7
%
53
.8%85.0%Micropolitan0.1%47.2%
22
.
0
%
8
.
8
%
N
o
n
c
o
r
e
0
.
0
%
16
.
1
%
24
.
2
%
6
.
2
%
100
.
0
%
100
.
0
%
100
.
0
%
100
.
0
%
53
.
8
%
o
f
t
h
e
rural population is in Metropolitan AreasSources: U.S. Census Bureau and OMBSlide19
The Urban
-Rural ContinuumImportant to look beyond the categories of “metropolitan” and “micr
opolitan”
Metro
p
olitan
and micropolitan counties areeither “central” or “outlying”– Outlying counties are included based oncommuting flows onlyOutlying metropolitan counties are often very rural (G
u
thrie
C
ounty, IA) , and are often even more rural than “noncore” countiesSlide20
Chan
ges in Population Dynamics105 counties became relatively more urban58 counties became re
lativ
e
l
y
less urbanU.S.Metro Central 2013Micro Central 2013Outlying or Noncore 2013Metro Central 20096584
10
M
i
c
ro Central 20093451144Outlying or Noncore 2009
37
34
1811Slide21
II.
The Global Rationale for “Regional Rural Innovation”Slide22
Th
e OECD New Rural Paradigm (2006)Gu
aran
t
e
e
an adequate attention to rural issues And empower local communities and governmentsRural is not synonymous with agriculture Rural is not synonymou
s
wit
h
economic declineOld Paradigm
New
Para
d
i
g
m
O
b
jec
t
i
v
es
Eq
u
alizatio
n
.
F
ocus
on
farm
inco
m
e
Co
m
p
etit
i
v
e
n
ess
of
r
ur
a
l
ar
e
as
K
ey
tar
g
et sect
o
r
Sector
based
Ho
listic approach to include various sectors of rural economiesMain toolsSubsidiesInvestmentsKey actorsNational governments, farmersMultilevel-governanceSlide23Slide24Slide25
On
ly 45% of metro-regions grow faster than the national average.
20000
40000
60000
6
.
0
%
7
.
0
%
8
.
0
%
Ini
t
i
a
l
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D
P
p
e
r
w
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r
ke
r
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n
PPP
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%
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.
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%
4
.
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%
A
v
e
r
a
g
e
a
nnu
a
l
g
r
o
w
t
h
r
a
t
e
s
i
n
G
D
P
p
e
r
ca
p
i
t
a
199
5
-
2005
5
.
0
%
B
udape
s
t
W
ar
s
aw
N
ap
l
e
s
I
z
m
ir
A
n
k
ar
a
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st
anbul
IV
D
ub
lin
P
ragu
e
M
on
t
err
e
y
B
u
s
an
II
I
P
ueb
la
K
ra
k
ow
W
a
s
h
i
ng
t
on
S
a
n
F
ran
c
i
sc
o
S
a
n
D
i
ego
D
e
t
ro
it
A
t
la
n
t
a
P
hoen
ix
O
s
a
k
a
B
er
lin
D
eagu
Metro-re
g
i
o
ns a
p
p
e
ar
to
h
a
ve e
n
t
e
r
e
d
in
a p
r
o
c
e
ss
of c
o
n
ve
r
g
e
n
ce.
…
s
i
gns of
i
ne
f
fi
ci
en
c
i
es appear
i
n
signi
f
ic
ant
nu
m
ber of
metro-regions…
…but not necessarily faster growthSlide26
Contri
butions to aggregate growth depend on few hub regions……the fat tail is equally important
-
if
not
more - to aggregate growth…Slide27
III.
Rural imperatives,given this regional evidenceSlide28
Th
e Critical Question:“What policy framework will best integrate rural and
ur
b
an
initiatives and programs, to advantage both ag and non-ag rural constituencies, their communities and regions, and enhance their children
’
s
pot
ential to thrive there in the 21st century?”Slide29
T
he Framework for Regional Rural Innovation
Cri
t
ic
a
l Internal ConsiderationsWealth Creation, Intergenerational Wealth Retention, and Appropriate Wealth DistributionYouth Engagement, Retention, and Leadership DevelopmentSocial
Inclusion
and
Social Equity ConsiderationsSpecific Attention to Social Mobility and Inequality
New
Narra
t
i
v
es
& Ne
t
w
o
r
ks
Kn
o
w
ledge Ne
t
w
or
k
s
&
W
orkforce
Qual
i
ty
of
P
lace
E
-ship
& Inn
o
v
ation
Collaborati
v
e
Leadersh
i
pSlide30
Eight Form
s of Rural HealthPhysicalFinancialNaturalHumanIntell
ec
tual
Social
Cul
turalPoliticalSlide31
W
hat is Demanded?Asset-based developmentRegiona
l fra
m
ew
o
rksRegional Innovation Policies Which AlignRural and Urban InterestsSupport for New IntermediariesSlide32
Attention
to Working LandscapesBridging Innovation and Entrepreneurship Supp
ort
System
s
,
Across the Rural/Urban ChasmAddressing Spatial Mismatch in KeySectoral AlignmentsInnovative and Linked Investment Approaches Which Enhance Jurisdictional and Cross-Sector
a
l
Colla
borationSlide33
I
V. Challenging the hegemony of the urbanmetaphor, in a disruptivemilieuSlide34Slide35Slide36
h
ttp://www.nytimes.com/2013/06/16/world/asia/
ch
i
n
a
s-great- uprooting-moving-250-million-into- cities.html?pagewanted=all&_r=0Slide37
“All
great truths begin as blasphemies.”--George Bernard ShawSlide38Slide39
V
. “Adjacent Possible” RuralOpportunitiesSlide40
Ad
jacent PossibilitiesRWJ’s Signature Strategy: A Culture of Health
Collec
tive
Im
pact: The SOAR Example as aFramework for Rural FuturesFormer USDA Secretary Dan Glickman’s recent Op-EdSlide41Slide42
Op-Ed by
former USDA Secretary Dan Glickman: The Hill, November 14, 2014“The food, agriculture, health, hunger
,
and
nut
rition sectors need to create new ways of working together that harness their shared commitment to improving health through food and nutrition … We also need to
explo
r
e
new approaches to integrate programs, so together they support better health outcomes … There are a var
iety
of govern
m
ent,
f
oundat
i
on,
and coopera
t
ive
ini
t
iat
i
ves
underwa
y
,
and ne
w
, innovative
m
odels are
being
explo
r
ed
ac
r
oss
the countr
y
.
But
the
s
e
e
f
forts often operate
in funct
i
onal
si
los, instead of setting a common table for all.”Slide43Slide44
Three Questions:
Innovating What?Diversifying How?Transitioning Where?Slide45
Innovating What?
How “we” consider “us”How we “see” our regionHow we
“con
si
d
er”
our optionsHow we support the “connectors”Slide46
Diversifying How?
In our vision of the futureIn our sense of
po
s
sibility
In
our actions and alignmentsIn our new collaborationsIn our narrative and networksSlide47
T
ransitioning Where?Slide48Slide49
Five Conditions for Collective Impact
SuccessCommon AgendaShared vision for changeMutually Reinforcing ActivitiesDi
ff
eren
t
ia
ted, but still coordinatedBackbone OrganizationServes entire initiative, coordinating participatingorganizations, firms and agenciesSlide50
Five Conditions for Collective Impact
Success (cont’d)Continuous CommunicationConsistent, open, unmediat
ed
Rig
oro
us
and Shared MeasurementCollecting predictive indicators, regional data: thenmeasuring ongoing results consistentlySlide51Slide52
“
What lies behind us, and what lies before us are tiny matters com
pare
d
to
what lies within us.”-Ralph Waldo EmersonSlide53
C
harles W. Fluharty cfluharty@rupri.org President & CEORural Policy Research Institute Clinical Professor
Department of
Hea
l
th
Management and Policy University of Iowa College of Public Health 145 N. Riverside DriveIowa City, IA 52242 (319) 384-3816http://www.rupri.org/Slide54
Addendum:
OECD GraphsSlide55
Pro
moting Growth in All RegionsSlide56
The
re is no single/unique path to growth
…Slide57
C
oncentration high levels of GDP pc
0
10000
20000
30000
40000
60000
21%
50000
N
A
P
L
E
S
D
E
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A
N
D M
E
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I
C
O
C
I
T
Y
H
A
N
B
U
R
G BARCELONA CLEVELAND ZURICH TOKYO DUBLIN AICHILOS ANGELES FRANKFURTLYON BRUSSELS H
ELSINKI CH
ICAGO LISBO
N OSLOSAN D
IEGO STUTTGAR
T MADRID VIENN
APHILADELPHIA
ATHE
NS ATLAN
TA MILANM
ONTERREY MUNICH ROMEPR
AGUE LO
NDON B
UDAPEST S
TOCKHOLM
DALLAS MINNEAPOLIS N
EW YORK DENVER SE
ATTLEHOUSTO
N WARSAW PARI
SBOSTON SA
N FRANCISCO WASH
INGTON
GDP
per capitanational GDP per cap
ita
79%Slide58
On
ly 45% of metro--regions growfaster than the national average.
20000
40000
60000
6
.
0
%
7
.
0
%
8
.
0
%
Ini
t
i
a
l
G
D
P
p
e
r
w
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r
ke
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i
n
PPP
III
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3
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0
%
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%
-
1
.
0
%
0
.
0
%
1
.
0
%
2
.
0
%
3
.
0
%
4
.
0
%
A
vera
g
e
a
nnu
a
l
g
r
o
w
th
ra
t
e
s
i
n
G
D
P
p
e
r
ca
pi
ta
199
5
-
2005
5
.
0
%
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u
d
a
p
e
s
t
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ar
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aw
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apl
e
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z
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ir
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n
k
a
r
a
Ist
anbul
IV
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u
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lin
Prague
M
o
n
t
e
r
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e
y
Bu
s
an
II
I
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u
e
b
la
K
r
a
k
ow
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a
s
h
i
n
g
t
on
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n
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r
a
n
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o
Sa
n
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i
e
go
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e
t
r
o
it
A
t
lan
t
a
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h
o
e
n
i
x
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s
a
k
a
B
e
rlin
D
e
a
gu
Metr
o
-re
g
i
o
ns
a
p
p
e
ar
to h
a
ve e
n
ter
e
d
in
a pr
o
cess
of co
n
ver
g
e
n
ce.
…
s
i
gns
of
i
ne
f
fi
c
i
enc
i
es
app
e
ar
i
n signif
icant number ofmetro-regions……but not necessarily fast
er
g
r
ow
t
hSlide59
Contribut
ions to aggregate growth depend on few hub regions……the fat tail is equally important --
if
no
t
more
-- to aggregate growth…Slide60
Cont
ributions to growth OECD TL3 regions
y
=
0
.
5031
x
-
1
.
20
1
0%
5
%
10
%
15
%
2
0
%
25
%
30
%
35
%
40
%
45
%
50
%
5
5
%
6
0
%
65
%
70
%
75 % 80% 85% 90% 95%TL3 regions2% SeoulMadridLondon West Roma MilanoAichiBarcelona1%3%4%5%Contribution toOECD growthTokyoGyeonggi-doAttikiMiasto WarszawDublinHauts-de-Seine
S
t
o
ck
hol
m
s
län
I
nner
London
--
Ea
s
t
C
hung
c
heongn
a
m
-
do
G
y
eon
s
angbu
k
-
do
Pa
ris
M
ün
c
hen
G
y
eon
s
angna
m
-
do
27
%
of
g
r
o
w
t
h
d
r
iv
e
n
by
2
.
4
%
(
or
20
)
r
e
gi
on
s
..
.
...
a
nd
73
%
of
g
r
o
w
th
by the rem
ainingSlide61
La
gging regions contribute to national growthLagging Regions Contribution to Aggregate
Growth
Overall,
th
ey contributed to 44% of aggregate OECD growth in 1995-2007.In eight OECD countries lagging regions contributed more to national growth than leading regions.
B
o
t
t
om line: support for lagging regions need not be merely a “
social” polic
y
.
T
h
e
y
c
o
n
tribu
t
e
a
la
r
g
e
s
ha
r
e
of
n
a
tional
g
r
owt
h.
l
a
gg
i
n
g
l
e
a
d
i
n
g
A
u
s
t
r
ali
a
29%
71%
A
u
stria53%47%Canada26%74%Czech Republic62%38%Finland35%65%France68%32%Germany27%73%G
r
ee
c
e
-
16
%
116%
H
un
g
a
r
y
34%
66%
I
t
al
y
26%
74%
J
a
p
a
n
27%
73%
K
o
r
e
a
23%
77%
M
e
x
i
c
o
44%
56%
N
e
t
h
e
r
la
nd
s
49%
51%
N
o
r
w
a
y
61%
39%
P
o
la
n
d
44%
56%
P
o
r
t
u
g
a
l
54%
46%
S
l
o
v
a
k
R
e
pub
li
c
67%
33%
S
p
ai
n
48%
52%
S
w
e
d
e
n
58%
42%
T
u
r
k
e
y
47%
53%U
nited Kin
gdom57%
43%
United S
tates
51%49%
aver
age unweig
hted43%
57%
average
weighted
44%
56%