SUMMARY BACKGROUND

Summary description of the current economic development situation of the Southern Tier West region of New York State (Chautauqua, Cattaraugus, and Allegany Counties), comprised of the northern-most counties in the federally designated Appalachia region. The region’s economic situation is consistent with this designation.

The region has a significant number of recreational and cultural assets that contribute both to quality of life and economic development, but also has underutilized these assets.

The region has significant historical and cultural assets. Historic preservation and investment in these assets will encourage economic development (tourism).

Overall, the region enjoys a positive and attractive quality of life, with an attractive small-town rural lifestyle, engaging cultural and recreational resources, low-crime rates, a relatively clean environment, stable housing markets, and relatively high quality health care. However, as a consequence of the ongoing structural changes that the region is experiencing, certain cornerstone institutions (e.g., hospitals, schools, and other community institutions) face threats from decreases in population and standard of living.

There is an ongoing need for increased availability of private and public equity and debt capital to support entrepreneurship and business development in the region. The financial wherewithal of municipalities to repay new debt financing historically has constrained many municipalities from undertaking community and economic development projects.

Global competition and general macroeconomic conditions have negatively impacted the region’s economy in both the longer and shorter terms, resulting in job losses, business closures, and increased absentee business ownership. Non-local business ownership contributes to less corporate commitment to local business operations within the region.