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Venango County 2004 Comprehensive Development Plan Economic Development (Vol.

VIII)

Pleasantville Cherrytree Oil Creek

Allegheny

Jackson Cooperstown Canal Utica Frenchcreek Polk Mineral Sugarcreek Oil City Franklin Cranberry Sandycreek Victory Pinegrove Oakland Cornplanter Rouseville President

Rockland

Venango County in the 21st Century

Plum

1 Barkeyville Irwin Clintonville Clinton Scrubgrass Richland Emlenton

Venango County Regional Planning Commission 191 Howard St. Franklin, PA 16323 Phone: 814-432-4555 Fax: 814-432-5885 This Plan was partially funded with a grant from the Pennsylvania Department of Community and Economic Development.

ECONOMIC DEVELOPMENT
Demographic and Socio-Economic Profile
This introductory section is based on data from the US Census of Population and Housing for 2000 and shows changes from the 1990 Census. which follows. The population, socioeconomic, and housing data it analyzes provides a baseline for the economic data analysis

Population Change
The population of Venango County in 2000 was 57,565 according to the Bureau of the Census. This was a decrease of 1,816 persons or about 3.0 percent of the 1990 population.

Population of Venango Coun


65,000 64,000 63,000 percent. 62,000 61,000 60,000 59,000
This population loss continues a trend which has seen Venango County lose population each of the last several decades. In 1980 the population of the County was 64,444. Hence, since 1980 population has decreased by almost 11.0

1980 to 2000

Age Structure and the Potential Labor Force


The populations of both the County and the Commonwealth are aging rapidly. One statistic which measures this change is median age. Between 1990 and 2000, the median age of the Commonwealth increased from 34.0 years to 38.0. The County median increased even faster, from 34.8 to 40.2 years. Since over fifty-percent of the population of the County is now over 40, there are relatively fewer youth and relatively more elderly in the population. In 2000, only 24.2 percent of the Countys population was under 18 (23.8 percent statewide). Those over 65 were 16.8 percent of the Countys population and 15.9 percent of the state population. Between 2000 and 2010, over 10 percent of both the County and Commonwealth populations will reach retirement age. During this decade there should be enough new labor force entrants to replace the retirees, but between 2010 and 2020, almost 19 percent of the state population and over 20 percent of the County population will reach 65 (the last of the baby-boomers) and the potential labor force will start to decline.

Educational Attainment
In 2000, 81.0 percent of the population of the County over the age of 25 had completed at least a high school education. This was up from 74.2 percent in 1990 and is roughly equivalent to the percent 81.9 percent of state residents who had completed high school. However, 22.4 percent of state residents had completed at least a bachelors degree compared to only 13.1 percent of County residents. The latter is of concern because many of the new jobs being created today require college educations; communities which are perceived to have a low attainment rate are often not considered for locations of high-tech or information service firms.

Labor Force
The labor force of the County in 2000, according to the Census was 26,430 or 58.1 percent of those over 65 in the County. This is somewhat lower than the 61.9 percent labor force participation rate statewide. In 1990, the labor force was 25,909 and the LFPR was 56.4 percent. The labor force in the County increased by 521 persons from 1990 to 2000, or just over 2.0 percent even though population was declining. The Unemployment in the state in 2000 was 5.7 percent of the total labor force but 7.2 percent of the County.

Incomes and Poverty


The median household income in Pennsylvania in 2000 was $40,106. This was 19.6 percent higher than the County median of $32,257. In 1990, the County median was $22,593 compared to the state median of $29,069. Over the decade the County median increased by 42.8 percent while the state increased by 37.9 percent; hence, relatively, County income is increasing faster than that in the Commonwealth. In the Commonwealth, however, 19.9 percent of households have incomes over $75,000 per year, while only 10.4 percent of Venangos households have incomes above this level. About 13.4 percent of persons in the County have incomes below the poverty level; down from 15.1 percent in 1990. Just over 11 percent of the residents of the state are below poverty.

Occupation
In Pennsylvania in 2000, 32.6 percent of employed workers were classified as managers or professionals; by contrast only 25.5 percent of Venango County workers were in this category. On the other hand all blue-collar production occupations in the Commonwealth comprise only 25.7 percent of the workforce, while in Venango County this group is 33.8 percent. Sales and office workers were 27 percent of the state and 24 percent of the County. Service sector workers, other than managers or sales and office workers, were 14.8 percent of the state total and 16.7 percent of the County. Hence, the labor profile of the County is heavily weighted toward blue collar and service personnel and substantially below the state in managers and other white-collar occupations.

Industry
The decennial census collects data based on place of residence rather than place of employment. Hence, the breakdown of employment by industry does not count in-/outcommuters. This data shows that Venango County residents are more likely to be employed in manufacturing, retail trade, education, health, and social service activities and less likely to be in the information, professional service, financial, and tourism industries, than the state average.

RESIDENT EMPLOYMENT BY INDUSTRY, 2000 (%)

Industry Category
Agriculture Construction Manufacturing Wholesale Trade Retail Trade Transport/Utilities Information Finance, Ins., R.E. Professional Services Education, Health, Social Tourism, Cultural Other Services, exc. Public Public Administration Source: Census of Population and Housing, 2000.

PA 1.3 6.0 16.0 3.6 12.1 5.4 2.6 6.6 8.5 21.9 7.0 4.8 4.2

Venango 1.8 5.1 19.8 2.7 13.8 5.9 1.5 3.6 5.4 24.5 5.9 5.1 4.8

Housing Value
The median value for owner-occupied housing units in Venango County in 2000 was $55,900; the state median was $97,000. In 1990, the median value in the County was $38,600 and in the state, $69,700. Hence, housing values have increased about 44.8 For the percent in the County and 39.2 percent in the state. However, there are relatively few homes valued above $200,000 in the County, compared to the state. percent are in this category. Commonwealth, over 11 percent are worth more than $200,000, while in the County only 1.2

Summary
While incomes, housing values, and educational attainment are increasing more rapidly in the County than in the state as a whole, Venango still lags behind the state in all three areas. This is typical of most rural counties. Partly as a consequence of the decline in manufacturing and extraction employment on which the County has had a historical dependence, labor force growth is relatively slow and population growth is negative. The County has a larger proportion of its workers in blue-collar occupations and far fewer in managerial jobs. The relative scarcity of college-educated persons provides an obstacle to growth in those industries which are the leaders in todays transforming economy. However, as seen in the economic analysis, Venango County has performed well over the last decades in many respects.

Long-term Economic Changes, 1970 to 1997


For many years Venango County been dependent on extraction and Even manufacturing for its livelihood.

Manufactur
has

before Colonel Drakes well, the wealth of Venango County depended on its natural resources. Like much of northwest Pennsylvania, Venangos early economy was based on lumbering. At the end of the

Venango Co
9,000 8,000 7,000 6,000 5,000 4,000 3,000

19th Century oil extraction and refining became the engine which drove economic growth. Manufacturing became increasingly important during the first part of the 20th Century. Much of the industrial development which occurred in the County was related to the oil industry or located here to take advantage of the proximity of the fuel stock. By 1970 there were 91 manufacturing facilities in Venango County employing 6,932 workers. This was 46 percent of all non-government employment. Another one percent of total employment was in the mining sector, primarily in the extraction of oil and gas. (County Business Patterns, 1970).

In the past several decades both extraction and manufacturing have shown employment stagnation nationally. This trend has had major impacts on the economy of Venango County and much of Pennsylvania. The early 1970's saw the peak of manufacturing employment in the US; from 1972 to 1990, the manufacturing sector declined from over from 32.2 percent of all private employment to just 21 percent (County Business Patterns, 1972, 1990). Actual employment in the sector remained about the same while services and most other economic sectors grew rapidly. Mining saw a slight increase in 1972 it had over 1.0 percent of all US employment but by 1990 this had declined to just under 0.8 percent. (County Business Patterns, 1972, 1990). Between 1990 and 1997 employment stagnation turned to actual decline. By 1997, manufacturing in the US lost 4.4 percent of its 1990 employment and mining lost 18.9 percent. By 1997 manufacturing was only 17.7 percent of total employment; mining was just over 0.5 percent. (County Business Patterns, 1990, 1997). Pennsylvania has experienced even greater losses than the nation in these sectors. In 1970, the manufacturing sector in Pennsylvania had 42 percent of all private employment;

employment but a comparable decline in relative importance between 1972 and 1990. In

1972 1977

by 1990 it had only 23.8 percent and by 1997 only 20.8 percent. Mining lost an even greater share; between 1970 and 1990 this sector fell from just over 1.0 percent of all Pennsylvania employment to 0.6 percent. By 1997 mining employment was only 0.4 percent of the total. (County Business Patterns, 1970, 1990, 1997). In relative terms Venango County has actually fared better than the state or nation in manufacturing, at least until recent years. From 1970 to 1990, manufacturing sector employment fell from 46.4 percent of the total non-government employment to 32.8 percent. However, in absolute terms, manufacturing employment in 1990 was only 5,013, down 1,919 from the1970 sector total. This was a real decline of 28 percent from 1970. Between 1990 and 1997 manufacturing continued to lose employment in the County; by 1997 it was only 3,950, a decline of 21.2 percent from 1990. Mining employment remained essentially constant from 1970 to 1990; however, it all but disappeared between 1990 and 1997. Mining employment fell 62.3 percent, which left only 55 workers in the sector. (County Business Patterns, 1970, 1990, 1997). The losses of manufacturing and -- to a much lesser extent mining employment have certainly hurt the economy of Venango County. However, the real problems of the economy stem from a lack of growth in the other sectors. employment in the sector grew by 17 percent. Between 1990 and 1997, Venango Countys services sector grew by only 7.2 percent. By contrast, Pennsylvania By 1997, the services sector in the Commonwealth comprised 34.1 percent of all non-government employment. This sector was only 28.9 percent of County employment. The record was mixed during this period of time in the other sectors. Transportation, communications and public utilities grew by 10.1 percent in the state but only 2.5 percent in the County. The finance, insurance, and real estate sector lost over six percent of its 1990 employment in the County while growing by 3.2 percent in the state. However, construction, wholesale trade, and retail fared better in Venango than in the Commonwealth as a whole.

Sources of Income in Venango County1


In addition to information about total household, family, and individual income, the 2000 Census provides some insight about how households accrue that income. categories used by the Census to describe the sources of income are: accounts)
1

The

Earnings (from employment, interest, dividends, etc. but not retirement

VanLandingham Consulting

Social Security Supplemental Social Security Public Assistance Retirement Funds, other than Social Security

The Census provides the number of households which have income from each source and the average dollar amount generated by each category. The median household income in Venango County in 1999 was $32,257, just 80 percent of the Pennsylvania median of $4,106. Since households are slightly larger in the County than the state average, per capita incomes are even a lower percentage of the state average. In 1999, the per capita income in the County was $16,253 or just 77.8 percent of the state average of $20,880. There were 22,788 households in the County in 2000, of these 16,373 had some earnings. The average income received this source for these households were $41,881. The County ranked 56th among the 67 counties in the Commonwealth in percentage of households receiving earnings and 47th in the average of earnings received. This is a reflection of several factors: relatively high unemployment, a larger number of retired persons, a low labor force participation rate, and a high concentration of persons dependent on other sources of income, as shown below. the 67 counties in earnings as a percentage of total income. One reflection of the large number of retired people in the County is the fact that 34 percent of all households received some Social Security income, well above the 30 percent rate statewide. The average income received from this source by these households was $11,578 which was almost the same as the state average. Social Security provided 9.6 of the total income derived from all sources in Venango County, which ranked the County 24th. Supplemental Social Security provides assistance to disabled persons and others not able to work. In 1999, 1,365 households in Venango County received some Supplemental Social Security. The average for these households was $6,510. In total this was just under 1.0 percent of total County income; enough for a rank of 6 among 67 counties. Earnings made up 73.3 percent of the total income received in the County, which placed the County 51 among

Public assistance was received by 714 households or just over 3.0 percent, roughly the same percentage as the Pennsylvania average. this source ranked the County 16th. Many households that receive Social Security also have other retirement income. In 1999, in Venango County, there were 5,427 households betting at least some of their income from this source. The average per household was $11,169, which ranked the County 16th percentage of income derived from this source. The average Public Assistance received was $2,229. The 0.2 percent of total County income derived from

Venango County Population Projections, 2000-2020


The following population estimates and projections are based on birth and death statistics, Pennsylvania Department of Health Statistics from the State Health Data Center and US Bureau of the Census population and age structure data from the 1990 and 2000 Census of population and Housing. The estimate and projection models were developed by VanLandingham Consulting and utilize a cohort-survival methodology as their base. The following assumptions are utilized in the population projection model: o o The birth rate for all five-year cohorts of females are assumed to be stable and are based on the 1995 to 1999 actual births for Venango County. The death rates for all five-year cohorts are assumed to be stable for each gender and are based on the 1995 to 1999 average death rates for Venango County. For the non-migration population projections, the predicted population for each period is assumed to be equal to the population at the start of the period plus predicted births minus predicted deaths. For migration modified population projections, the predicted population for each period is assumed to be the population projected by the cohort survival method plus or minus the same percentage of migration for each five-year cohort which occurred from 1990 to 2000.

Population Change by Cohort, 1990-2000 The actual population of Venango County, as reported by the Bureau of the Census, in 2000 was 57,565. This was a decrease of 1,816 persons from the 1990 total of 59,381, or -3.1 percent. Most of the loss was due to out-migration. The cohort survival model shows that without migration, the total population of the County in 2000 would have been approximately 59,234. This would have been a decline of just 147

persons.

Note that population would still have declined as deaths would have

outnumbered births by a small percentage. While the actual decline was a substantial loss, the most important reason for concern is the changing age structure of the population, particularly the age specific pattern of out-migration. By far the most important declines were in the age groups between 20 and 34 years of age. The actual population of persons in this group declined by 2,937 between 1990 and 2000. This was 32.3 percent of the 1990 total. Some of that measured decline was due to fewer young people in the cohorts which aged into the 20 to 34 year old group (the baby bust generation) but most was caused by young residents leaving the area, presumably for better education/job prospects. The population estimate model indicates that, without migration, there would have been 11,588 residents between 20 and 34 in 2000. However, approximately 2,494 of these left the County. The counted total of persons in these groups, according to the Census, was 9,094. Hence, there was a loss of 21.5 percent due to migration. The loss of young persons from rural areas in Pennsylvania and the nation has been a consistent and persistent problem for several decades. The other cohorts to show substantial decline in the County were the age group between 0 and 4, the groups between 5 and 19, and the group between 60 and 64. The group between 0 and 4 declined by 16.8 percent between 1990 and 2000. Birth rates declined slightly during the first part of the decade but not enough to cause even a noticeable fraction of this loss. This decline was due to two factors: (1) the group of potential mothers was smaller in the 1990s than in the 1980s (again because of the baby bust) and, (2) many of the potential mothers migrated out of the County. Similar factors probably caused the decline of 6.9 percent in children from 5 to 19. The falling number of children in the County suggests that deaths may well continue to outnumber births in the coming decades. Persons between 60 and 69 were also a smaller group in the County in 2000 than in 1990. These two cohorts decreased by 815 persons or 13.9 percent during the decade. Abut one-half of that loss was from out-migration. In percentage terms, the fastest growing cohort was the group over 75. There were 693 more residents in this group in 2000 than in 1990. This was an increase of 15.8 percent. There was also surprisingly strong growth in the group whose constituents were between 35 and 54 in 2000. These age groups added 2,330 persons or 13.3 percent

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from 1990 to 2000. Some of this increase was due to the aging in place of the baby boom generation, but the population estimate model shows that some in-migration occurred in all cohorts between 40 and 59. One explanation for this in-migration is that many of the baby boomers who moved from rural areas to major metropolitan areas have been returning to raise children and buy property. The overall impact of the changes in the age structure is that the population is older. Despite a decline in the number of empty nesters and young retirees (60 to 69), the decline in young children (under five), the loss of persons in their child-bearing and workforce entry years (20 to 34), and the increased in the frail elderly (over 75) combined to increase the median age from 34.8 in 1990 and 40.2 in 2000. The impact on the potential labor force (as defined here, those between 15 and 64) was not great in terms of total change. In 1990, there were 7,800 persons in this group. By 2000, this had decreased to 36,697, or by 1,103. This was just under 3.0 percent. However, the labor force grew much older over the decade. In 1990 only 44.3 percent were over 40; while by 2000, 525 percent were in this group. One important consideration that derives from the aging of the labor force is that within about ten years a substantial percentage will begin to retire and there may not be sufficient young workers to replace those who leave. Population Projections, 2000 2020 Because of the age structure of the Countys population, the total number of residents will probably continue to decline for the foreseeable future, even if there is not further out-migration. The projection model suggests that in 2010 the total population of Venango County will be about 57,522 if there is no net migration and about 56,351 if the same age specific pattern that occurred in the 1990s prevails. With no migration, change in total population would be only -43 persons, or less than 0.1 percent. However, with the same level of migration by cohort, the County would lose 1,214 residents or about 2.1 percent. Neither of these is put forth as a likely scenario, but they do suggest a set of upper and lower bounds for the 2010 population. By 2020 the population of Venango County will fall to about 57,406 if there is not new inmigration. This loss of 159 persons is, again, due strictly to an expected excess of deaths over births. The change in total population is essentially insignificant and of little immediate concern. Under this scenario, the most important consideration is that the number of persons under 20 years of age will fall by 16.4 percent by 2020. However, if the tide of out-migration of persons between 20 and 34 can somehow be stemmed as

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implied by the no-migration scenario, the number of new workforce entrants/household formers (20 to 34) will increase by 21.4 percent. Due to aging of the much smaller cohort of persons who are not between 15 and 34 (the baby bust group), the population who will be between 35 and 54 in 2020 will decline by almost 27 percent with no migration. Meanwhile the baby boom generation will age into their 60s and 70s and the population of these groups will increase substantially. The groups between 55 and 64 will increase by more than 40 percent and the group between 65 and 74 will increase by at least 32 percent. The frail elderly, those over 75, will increase by 23 percent. Overall, even with the increase in 20-somethings, the population will become much older. Persons over 55 will make up 36 percent of the Countys population by 2020, up from 27 percent in 2000. It is unreasonable to assume that all net migration will cease in the next 20 years. In particular, young people between 20 and 34 will probably still continue to leave the area in search of a more glamorous life or better paying jobs in urban areas. Hence, if the prevailing pattern of migration continues, the population of the County will fall to about 53,327 by 2020. This would be a decrease of 4,238 persons from the 2000 total, more than 7.4 percent of the total. Of special concern is the fact that much of this loss will be in the 20 to 34 year old groups. These cohorts will lose 16.5 percent of their total, instead of gaining 21.4 percent as predicted by the no migration model. Further, the 35 to 54 year old group will decline even more than the natural increase model would project, by 30.3 percent instead of 26.8 percent. However, if established households continue to return to the rural areas, as apparently happened during the decade of the 90s, the group which will be 55 to 64 in 2020 will grow by 63 percent instead of the 40.6 percent predicted by the no-migration model. Change in the cohorts over 65 will be roughly the same under either model. The overall impact will be for the population and labor force of the County to age even more than would be the case if no migration occurs. The groups over 55 will be over 41 percent of the total and, unlike the no migration case, young workers will decrease in number. Whereas those between 20 and 34 would be 19.2 percent of the total in 2020 if no net migration occurred, they will be just 14.2 percent if the age specific migration pattern continues. Impacts of Population Change on the Labor Force The following table shows the potential labor force of Venango County for 2000. 2010. and 2020. The two future decades are projected both with and without migration. While the total size of the labor force is important, its age composition is equally important. The age structure will change dramatically over the next two decades.

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In the worst-case scenario, assuming that migration patterns continue as they did in the 1990s, the potential labor force of the County will decline by 4,544 or 12.4 percent by 2020. At the least those between 15 and 64 may be expected to decline by 1,629 or 4.4 percent.

TABLE 5 POTENTIAL LABOR FORCE OF VENANGO COUNTY


Year With Migration No Migration Percent over 55 with Migration Percent over 55 No Migration

2000 2010 2020

36,697 36,581 32,153

--37,867 35,068

16.0 22.3 29.9

--21.1 23.6

The impacts of the aging population on the labor force will be major under either scenario but much more significant if young workers continue to leave the County. In 2000, 5,877 persons were between the ages of 55 and 64. With no migration, 8,094 will be in this group by 2010. If migration maintains its current pattern, there will be 8,145 persons nearing retirement age in the County by 2010. If it is assumed that most of these persons will retire between 2010 and 2020, at least 8,000 new potential workers will be necessary just to replace this group. With no migration there will be about 7,000 persons entering their working years during the decade of the teens and only 6,800 will be available if migration continues. workers between 2010 and 2020. On the other hand, by 2020 there will be 8,262 potential workers over 55 in the County if no migration is assumed and 9,600 if migration continues. If most retire, 8,000 to 9,500 new workers will be needed. Under the no-migration scenario there will be just over 6,000 workers available and, if migration continues as it has, there will be only 5,900. Under either scenario it will be difficult to maintain the size of the labor force after 2010 and much more so after 2020. Hence, it will be difficult to replace all retiring

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Economic Structure and Change, 1990 2000


Many residents of Venango County seem to have declared the economy of the County dead or, at least, dying. Results from the Resident
TOTAL
-10.00 to .1 0 to 5.0 0 to 7.5 0 to 10.00 to 15.00 to 20.00 to .00 4.90 7 .49 9 .90 1 4.9 9 1 9.9 0 99 9.9 0

Percentage Change in Employment, 1990 -- 2000


Total Employment

Perception Survey point this out clearly; lack of employment opportunities/jobs was the most commonly listed problem on the open-ended questions. The blame for this situation is often placed squarely on the
0

M iles
20 40

decline in manufacturing sector employment. This section analyzes the economy of the County in 2000 and compares the changes that have occurred over the last decade to those in the Commonwealth. Some of the findings are surprising.

CHANGE IN EMPLOYMENT
In 2000, Venango County had 21,412 workers covered by Unemployment Compensation. This was an increase of 9.5 percent over 1990. During the decade the Commonwealths employment grew by 10.1 percent. Most of Northwest Pennsylvania grew faster than either Venango or the Commonwealth. Only two of the counties surrounding Venango had growth rates below ten percent, Warren and Forest. Butler, Clarion, Crawford, Erie, and Mercer all grew faster than either the State or Venango County.

Structure of the Economy by Sector


Data for this section are from the Pennsylvania Department of Labor and Industry. Venango Countys employment, like that of most Northwest Pennsylvania Counties is somewhat weighted towards manufacturing. In 2000, the manufacturing sector of the County employed 22.4 percent of all workers. By contrast the state had only 16.9 percent of its employment in manufacturing. Butler, Crawford, Erie, Mercer, and Warren all had a larger percentage of their total employment in manufacturing than Venango. The manufacturing sector had 4,806 workers in 2000 in the County.

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The services sector was the largest sector of employment in both the Commonwealth and the County. However, Venango had only 23.9 percent of its employment in services compared to 30.8 percent in the state. All of the Counties in Northwest Pennsylvania are also under-represented in this sector. In total, the services sector employed 5,114 workers in the County in 2000.

Retail trade was the third largest sector in the County in 2000 with 20.3 percent of employment. This was a somewhat greater percentage than the states 17.7 but four of the seven surrounding Counties had an even greater percentage of their workforce in the retail trade sector. employed 4,356 in 2000 in Venango County. The sector

Services 5114

Government is also a major sector in the Northwest Pennsylvania Region. Employment in this sector includes the workers in the state owned and state related universities and so varies substantially between the Counties. In 2000, 18.1 percent of Venangos employment was in the government sector compared to 13.0 percent in the state. Within the Region, the percentage of employment in this sector varies from 11.6 percent in Erie to 21.1 percent in Clarion. In Venango, the government sector employed 3,875.

FIRE 628

Hence the four largest sectors employed 18,151 workers in Venango County which was 84.7 percent of the total. In contrast, these four sectors employed only 78.4 percent of the total in the state.

Retail 4356

Among the smaller sectors, only transportation, communication, and public utilities (TCPU) employed more than five percent of the total in the County. In 2000, it had 6.8 percent of all workers; this was followed by the finance, insurance, and real estate (FIRE) sector with 2.9 percent, the construction sector with 2.4 percent, and the wholesale trade sector with 2.3 percent. In the Commonwealth the percentages for these four sectors in

Wholesale 484

TCPU 1461

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2000 were 5.3 percent, 5.9 percent, 4.2 percent, and 5.0 percent respectively. The total for the four sectors in Venango County was 14.4 percent; for the state it was 20.4 percent. This suggests that Venango Countys economy is not well balanced compared to the state. This is important because, of the four sectors, only construction is a goods producing sector; the remainder are primarily engaged in the provision of services to other businesses.

The very small sectors of the economy include agricultural services, mining, unclassified businesses, and agriculture. In Venango County, as in the state, these sectors employed less than one percent each of total employment in 2000. (It should be noted here that the Unemployment Compensation database used for this analysis does not include selfemployed persons and, therefore, badly under counts agricultural employment since most family farmers are self-employed).

Sectoral Change, 1990 to 2000


Manufacturing lost 207 workers between 1990 and 2000 in Venango County; this was a decline of 4.1 percent. In the Commonwealth manufacturing lost 9.6 percent of its 1990 employment. Within the Region, the experience of the manufacturing sector was extremely mixed. The sector gained over ten percent in employment in two Counties However, it lost employment in three (Butler, 14.4 percent, and Clarion, 11.2 percent).

Counties (Forest, -31.3 percent, Warren, -6.7 percent, and Erie, -6.0 percent). Crawford gained 7.0 percent while Mercer remained essentially constant with a 0.5 percent gain. Overall, the losses in manufacturing employment in Venango County were not especially high compared to either the Region or the state. Leaving aside the tiny sectors (agriculture, agricultural services, mining, and unclassified firms), Venangos greatest percentage losses were in the FIRE sector and government. FIRE lost 18.7 percent of its employment (144 workers) and government lost 9.2 percent (394 workers). Note that the actual loss of government employment was almost twice as high that in manufacturing. The fastest growth sectors in the Venango economy between 1990 and 2000 were wholesale trade (56.1 percent), construction (41.5 percent), retail trade (37.5 percent), and TCPU (33.3 percent). All of these grew faster than their state counterparts. Together they added 1,880 jobs between 1990 and 2000. The services sector grew by 17.6 percent or 766 jobs. This was well below the state average of 30 percent and even below all of the surrounding Counties except Warren.

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Relatively slow grow in this sector combined with losses in the FIRE sector and government is the real cause of the less than stellar performance of the Venango economy during the decade of the 90's.

Wages
According to the Perception Survey only 25 percent of residents feel that wages are adequate; however, Venango County wages are above the average for smaller counties in Pennsylvania. In 1996, the average wage was $23,848, ranking it 30th in the Commonwealth. The state average was $28,717. (U.S. Department of Labor, Bureau of Labor Statistics). Based on the first quarter data from the Pennsylvania Department of Labor and Industry for 2000, among the Counties in Northwest Pennsylvania, Venango ranks third behind Butler and Erie ($7,348, $6,903, and $6,728 respectively). The state average for that quarter was $8,489.

FIRST QTR WAGE PER EMPLOYEE, 2000

Category Butler Clarion Crawford Agriculture $4,336 $4,867 $3,117 Agricultural Serv $3,458 $3,198 $3,940 Mining $7,567 $7,269 $7,720 Construction $7,146 $5,530 $6,555 Manufacturing $11,115 $6,887 $8,899 TCPU $7,308 $7,205 $6,394 Wholesale Trade $9,430 $7,973 $5,836 Retail $3,374 $3,133 $3,521 F.I.R.E. $8,834 $6,260 $7,424 Services $5,753 $5,310 $5,068 Government $8,600 $8,240 $7,410 Total $7,348 $5,968 $6,467

Erie
$3,770 $3,480 $6,667 $7,296 $9,646 $8,663 $8,109 $3,315 $9,774 $5,287 $8,566 $6,903

Forest Venango Warren


$3,002 $978 $8,447 $3,285 $6,270 $6,219 $3,596 $2,270 $3,750 $5,089 $6,744 $5,380 $3,455 $3,893 $8,939 $5,980 $10,027 $9,461 $6,340 $3,232 $8,090 $4,887 $7,965 $6,728 $3,458 $4,410 $9,028 $4,766 $8,098 $8,022 $6,836 $4,735 $7,469 $5,233 $7,162 $6,421

PA
$4,946 $5,072 $11,880 $8,691 $10,903 $10,640 $10,950 $4,167 $13,218 $7,800 $9,002 $8,489

Between 1990 and 2000, Venango gained 26.2 percent in average wage paid per employee. This was faster growth than Warren (22.5 percent), Erie (24.7 percent), and Clarion (25.4 percent), but well behind the states increase of 32.5 percent. An analysis of wages by sector shows that, in Venango County, manufacturing paid the highest wage at $10,027 for the first quarter of 2000. This was followed by TCPU ($9,461) and mining ($8,939). At the other extreme, retail paid only $3,232 in that quarter. The state averages for these three sectors were: $10,903, $10,640, and $4,167 respectively.

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In the Commonwealth, the highest wage is paid by the FIRE sector ($13,218). In Venango County this sector paid only $8,090 in the same quarter.

INDUSTRY GROUP ANALYSIS


At a level of dissaggregation below the sectoral level, industry groups provide a more detailed insight into the structure and change in the economy. There are 79 industry groups (also known as 2-digit Standard Industrial Classifications) reported in the Pennsylvania Department of Labor and Industrys Unemployment Compensation database, which includes all employees covered by unemployment insurance. analyzed are from 1990 and 2000. Self-employed workers, including family farmers, and some railroad employees, are not covered by the database. The data

In 2000, the ten largest industry groups (SIC Codes) in Venango County were: Industry Group Emp. 2000 SIC 80: Health Services 2,285 SIC 93: Local Government 2,003 SIC 35: Machinery & Computers 1,733 SIC 92: State Government 1,671 SIC 58: Eating & Drinking Places 1,143 SIC 83: Social Services 1,064 SIC 53: Department & Variety Stores 844 SIC 54: Food Stores 772 SIC 33: Primary Metals 739 SIC 42: Freight & Warehousing 738

These ten industry groups are from five different sectors. In total they employed 12,992 workers in 2000; this was over 60 percent of all employment in the County. Note that only two are manufacturing; the remainder, with the exception of SIC 42: Freight & Warehousing, are primarily local service oriented. It is also useful to note that only the two government groups had significant employment losses over the decade. The Venango County economy grew by 9.5 percent in employment between 1990 and 2000; just about one-half of a percent slower than the Pennsylvania economy (10.1 percent). However, the growth of the overall economy masks many changes which occurred at the industry group (2-digit SIC Code) level. The following table shows the changes for all groups. The text highlights the major increases and decreases for those non-retail groups with more than 100 employees at either the beginning or end of the period.

18

SIC 07: Agricultural SIC 07: Agricultural Services Services Although agriculture is not an important part of the Venango County AGSERV economy, -100.00 to -20.00 related -19.90 to .00 services are .01 to 9.90 10.00 to 19.90 growing 20.00 to 49.90 rapidly (These 50.00 to 99.90 include 100.00 to 999.90 Veterinary Services and other activities Miles not directly 0 20 40 related to agricultural production). Between 1990 and 2000 employment in this group increased by 73 percent in County to 109 workers. This was slightly greater than the states increase of 64.5 percent.
Percentage Change in Employment, 1990 -- 2000

SIC 15: General Construction This group had 185 employees in 2000 and grew by 72 during the decade, an increase of 63.7 percent compared to a loss in the state of 3.7 percent. Most of the growth in SIC 15 occurred in the Northwest corner of the Commonwealth. Construction follows general economic growth. Most of these counties grew faster than the state average.

Percentage Change in Employment, 1990 -- 2000


SIC 15: General Construction

GEN C ON
-1 0 0 .0 0 to -1 9 .9 0 to .0 1 to 1 0 .0 0 to 2 0 .0 0 to 5 0 .0 0 to 1 0 0 .0 0 to -2 0 .0 0 .0 0 9 .9 0 1 9 .9 0 4 9 .9 0 9 9 .9 0 9 9 9 .9 0

M iles
0 20 40

19

SIC 17: Special Trade Contractors In 2000 this industry group had 278 employees in the County which was an increase of 52 from 1990. This was a growth of 23 percent and narrowly outstripped the state change of 21 percent.

Percentage Change in Employment, 1990 -- 2000


SIC 17: Special Trade Contractors

SPECTRDE
-1 0 0.00 to -19 .90 to .01 to 10 .00 to 20 .00 to 50 .00 to 1 0 0.00 to -2 0.00 .00 9 .90 1 9.90 4 9.90 9 9.90 9 99.90

Miles

SIC 20: Food Products This group grew by 12 employees from 1990 to 2000, an increase of 6.8 percent which was quite good considering that the state lost 5.0 percent over the period. Employment in the County in 2000 was 188.

20

40

Percentage Change in Employment, 1990 -- 2000


SIC 20: Food Products

FOODPROD
-100.00 to -19.90 to .01 to 10.00 to 20.00 to 50.00 to 100.00 to -20.00 .00 9.90 19.90 49.90 99.90 999.90

Miles
0 20 40

20

SIC 24: Wood and Lumber Products Although this Percentage Change in Employment, 1990 -- 2000 industry saw a 24.3 SIC 24: Lumber & Wood Products percent growth in employment statewide, Venango County did not participate in the increase and lost 34 employees, 11.3 percent, over the decade. In 2000, SIC 24 employed 268 employees in Venango County. This industry group grew in many counties in Western Pennsylvania and appears to be a good prospect for future development.

LUM W OOD
-1 00 .0 0 to -1 9 .9 0 to .0 1 to 1 0 .0 0 to 2 0 .0 0 to 5 0 .0 0 to 1 00 .0 0 to -2 0 .0 0 .0 0 9 .9 0 1 9 .9 0 4 9 .9 0 9 9 .9 0 9 9 9 .9 0

Miles
0 20 40

Percentage Change in Employment, 1990 -- 2000


SIC 27: Printing & Publishing

PRINTING
-100.00 to -19.90 to .01 to 10.00 to 20.00 to 50.00 to 100.00 to -20.00 .00 9.90 1 9.9 0 4 9.9 0 9 9.9 0 9 99.90

Miles
0 20 40

SIC 27: Printing and Publishing In 1990 this group had 269 employees which increased by 16 by 2000. Although this was a relatively small increase of just 5.9 percent in the County, it was far better than

the 5.5 percent decrease in the state.

21

Percentage Change in Employment, 1990 -- 2000


SIC 28: Chemicals & Allied

SIC 28: Chemicals and Allied Products In 2000 this industry group employed 206 workers in Venango County, it gained 85 from 1990; an increase of 70.2 percent. Pennsylvania employment changed by only 16.1 percent in this group over the decade. Note regional growth as well.

CHEM ICAL
-1 0 0 .0 0 to -1 9 .9 0 to .0 1 to 1 0 .0 0 to 2 0 .0 0 to 5 0 .0 0 to 1 0 0 .0 0 to -2 0 .0 0 .0 0 9 .9 0 1 9 .9 0 4 9 .9 0 9 9 .9 0 9 9 9 .9 0

M iles
0 20 40

SIC 29:

Percentage Change in Employment, 1990 -- 2000


SIC 29: Petroleum & Coal Products

PETR OL
-1 0 0 .0 0 to -1 9 .9 0 to .0 1 to 1 0 .0 0 to 2 0 .0 0 to 5 0 .0 0 to 1 0 0 .0 0 to -2 0 .00 .0 0 9 .9 0 1 9 .9 0 4 9 .9 0 9 9 .9 0 9 9 9 .9 0

M iles
0 20 40

Petroleum Products Although the County continues to lose employment in this industry group, in 2000 it still had 283 workers, a loss of 759 from 1990. The state also lost employment in the group,

22

declining by 23.8 percent. This was the largest loss by an manufacturing industry group in the County and represented over 28 percent of the state loss. SIC 30: Rubber and Plastic Products This group finished the decade of the 90's with 190 employees, and increase of 26 over 1990. This was a growth of 15.9 percent, slightly below the state increase of 16.9 percent. Note the rapid increase in the surrounding counties.

Percentage Change in Employment, 1990 -- 2000


SIC 30: Rubber & Plastics Products

RUBPLAS
-1 0 0.00 to -1 9.90 to .01 to 1 0.00 to 2 0.00 to 5 0.00 to 1 0 0.00 to -20 .00 .0 0 9.90 1 9.90 4 9.90 9 9.90 9 99 .90

M iles
0 20 40

Percentage Change in Employment, 1990 -- 2000


SIC 33: Primary Metals

PRIMET
-10 0.0 0 to -19 .90 to .01 to 10 .00 to 20 .00 to 50 .00 to 10 0.0 0 to -20 .00 .0 0 9 .9 0 1 9 .90 4 9 .90 9 9 .90 9 9 9.9 0

SIC 33: Primary Metals In 2000, this group had 739 workers, 14 fewer than in 1990. The loss of 1.9 percent is relatively insignificant compared to the state loss of 25.1 percent.

M iles
0 20 40

23

SIC 34: Fabricated Metals In 2000, this group had 121 employees, down from 154 in 1990, a loss of 21.4 percent. The Commonwealth fared much better over the decade gaining 1.4 percent. Most of Western Pennsylvania fared better than Venango and far better than Southeast Pennsylvania.

Percentage Change in Employment, 1990 -- 2000


SIC 34: Fabricated Metals

FABM ET
-1 0 0.0 0 to -19 .9 0 to .01 to 10 .0 0 to 20 .0 0 to 50 .0 0 to 1 0 0.0 0 to -2 0 .0 0 .0 0 9 .9 0 1 9 .9 0 4 9 .9 0 9 9 .9 0 9 9 9.90

M iles
0 20 40

Percentage Change in Employment, 1990 -- 2000


SIC 35: Machinery & Computers

SIC 35: Machinery and Computers This was the


largest

MACHINE
-1 0 0.0 0 to -19 .9 0 to .01 to 10 .0 0 to 20 .0 0 to 50 .0 0 to 1 0 0.0 0 to -2 0 .00 .0 0 9.90 1 9.9 0 4 9.9 0 9 9.9 0 9 99 .9 0

M iles
0 20 40

manufacturing group in the County in 2000, with 1,733 workers. This was an increase of 178 over 2000. The 11.4 percent gain was far better than the states loss of 7.3 percent. Crawford, Erie, and Butler also fared well but growth was well distributed across Western Pennsylvania.

24

Percentage Change in Employment, 1990 -- 2000


SIC 36: Electric & Electronic Equipment

SIC 36: Electric and Electronic Equipment

This was an industry which grew in the County while state employment ELECEQ was declining. -1 0 0 .0 0 to -20 .0 0 In 2000, there -1 9 .9 0 to .0 0 were 345 .0 1 to 9 .9 0 employees in 1 0 .0 0 to 1 9 .9 0 SIC 36, an 2 0 .0 0 to 4 9 .9 0 increase of 48 5 0 .0 0 to 9 9 .9 0 (or 16.2 1 0 0 .0 0 to 9 9 9 .9 0 percent over 1990). Meanwhile M iles the state lost 0 20 40 5.1 percent. Note the strong growth in Clarion, Armstrong, and Westmoreland, as well as Warren and Butler.

SIC 38: Instruments and Related Products


In percentage terms, this was the fastest growth industry in the County between 1990 and 2000. Employment increased by 336 to 340, 8,400 percent. The industry group is in general decline in the

Percentage Change in Employment, 1990 -- 2000


SIC 38: Instruments & Related

INSTR U M T
-1 0 0 .0 0 to -1 9 .9 0 to .0 1 to 1 0 .0 0 to 2 0 .0 0 to 5 0 .0 0 to 1 0 0 .0 0 to -2 0 .0 0 .0 0 9 .9 0 1 9 .9 0 4 9 .9 0 9 9 .9 0 9 9 9 .9 0

M iles
0 20 40

Commonwealth. Between 1990 and 2000, the state lost 8.2 percent in total employment. Note the patterns of loss and gain.

25

Percentage Change in Employment, 1990 -- 2000


SIC 41: Passenger Transportation

SIC 41: Passenger

PASSTRAN
-1 00 .0 0 to -1 9 .9 0 to .0 1 to 1 0 .0 0 to 2 0 .0 0 to 5 0 .0 0 to 1 00 .0 0 to -2 0 .0 0 .0 0 9 .9 0 1 9 .9 0 4 9 .9 0 9 9 .9 0 9 9 9 .9 0

Miles
0 20 40

Transportation This was a rapid growth industry group in both the state and the County. The state gained 52.5 percent to the Countys 38 percent. In 2000, the group employed 229 persons in Venango Percentage Change in Employment, 1990 -- 2000 County. In SIC 42: Freight & Warehousing general, growth was much greater in the East of the state.
FREIGHT
-1 0 0.0 0 to -19 .9 0 to .01 to 10 .0 0 to 20 .0 0 to 50 .0 0 to 1 0 0.0 0 to -2 0 .0 0 .0 0 9.9 0 1 9 .9 0 4 9 .9 0 9 9 .9 0 9 9 9.90

SIC 42: Freight and

M iles
0 20 40

Warehousing

26

Although this was a slow growth area for the Commonwealth (4.0 percent), the County gained 263 employees to 738, an increase of 55.4 percent. This is a probable future growth area for the County, especially considering its location with respect to I-80 and the available land near the interchanges. SIC 48: Communications This was a high growth sector in the Commonwealth but it lost employment in the County between 1990 and 2000. The state gained 24.9 percent while the County lost 42 employees (27.6 percent) to 110. With the exception of Potter, most of the high growth counties were significantly more urban than Venango.

Percentage Change in Employment, 1990 -- 2000


SIC 49: Electric, Gas, & Sanitary Services

SIC 49: Electric, Gas, and Sanitary Sewer The County gained 36 employees over the decade to 284 by 2000 (14.5 percent). The state meanwhile, lost 13.7 percent of its employment in this group.

ELGA SSER
-1 00 .00 to -19 .90 to .0 1 to 10 .00 to 20 .00 to 50 .00 to 1 00 .00 to -20 .00 .0 0 9.9 0 1 9 .90 4 9 .90 9 9 .90 9 9 9.90

M iles
0 20 40

27

SIC 50: Wholesale Trade, Durables With an increase of 128 workers, or 60.7 percent, the County grew strongly in this industry between 1990 and 2000. This was a declining group statewide with a small loss of 1.8 percent. The growth in Wholesale Trade, along with the growth in Freight and Warehousing, suggests that Venango is becoming a significant regional distribution center.

Percentage Change in Employment, 1990 -- 2000


SIC 50: Wholesale Trade, Durables

W HTRDU R
-1 0 0 .0 0 to -1 9 .9 0 to .0 1 to 1 0 .0 0 to 2 0 .0 0 to 5 0 .0 0 to 1 0 0 .0 0 to -2 0 .0 0 .0 0 9 .90 1 9.9 0 4 9.9 0 9 9.9 0 9 99 .9 0

M iles
0 20 40

SIC 51:

Percentage Change in Employment, 1990 -- 2000


SIC 51: Wholesale Trade, Non-durables

W HTRND
-1 0 0.00 to -19 .9 0 to .01 to 10 .0 0 to 20 .0 0 to 50 .0 0 to 1 0 0.00 to -2 0.00 .00 9.90 1 9.9 0 4 9.9 0 9 9.9 0 9 99 .9 0

Miles
0 20 40

Wholesale Trade, Non-Durables

28

This was another high growth industry group from 1990 to 2000. During the decade it gained 46 employees to 145, Percentage Change in Employment, 1990 -- 2000 an increase of 46.5 SIC 60: Depository Institutions (Banks) percent. In the state this was a slow growth group with an increase of only 2.5 percent.

SIC 60: Depository Institutions Banking was a declining industry in the County between 1990 and 2000. It lost 164 employees to 365, a decrease of 31 percent. The state lost 13 percent during the same period. Most of the decrease is Percentage Change in Employment, 1990 -- 2000
SIC 65: Real Estate

DEPINST
-1 00 .00 to -1 9.90 to .0 1 to 1 0.00 to 2 0.00 to 5 0.00 to 1 00 .00 to -2 0 .00 .0 0 9.90 1 9.9 0 4 9.9 0 9 9.9 0 9 99 .90

Miles
0 20 40

due to structural changes in the industry.

RE

SIC 65: Real .0 1 to 9 .9 0 Estate 1 0 .0 0 to 1 9 .9 0 This group 2 0 .0 0 to 4 9 .9 0 grew 5 0 .0 0 to 9 9 .9 0 rapidly in 1 00 .0 0 to 9 9 9 .9 0 the County from 1990 M iles to 2000. It 0 20 40 increased in employment by 47 to 115, an increase of 69.1 percent. Statewide growth was 18.7 percent.
-1 00 .0 0 to -1 9 .9 0 to -2 0.00 .00

29

SIC 70: Lodging Places This industry had 146 employees in 1990 but lost 71 to just 75 in 2000. This was a decrease of 48.6 percent and was far greater than the state loss of 2.6 percent.

Percentage Change in Employment, 1990 -- 2000


SIC 70: Lodging Places

LODGING
-100.00 to -19 .90 to .01 to 10 .00 to 20 .00 to 50 .00 to 100.00 to -20.00 .00 9.90 19.90 49.90 99.90 999.90

M iles
0 20 40

Percentage Change in Employment, 1990 -- 2000


SIC 72: Personal Services

SIC 72:

PERSERV
-1 00 .0 0 to -19 .9 0 to .0 1 to 10 .0 0 to 20 .0 0 to 50 .0 0 to 1 00 .0 0 to -20 .0 0 .0 0 9 .9 0 1 9 .9 0 4 9 .9 0 9 9 .9 0 9 9 9.9 0

M iles
0 20 40

Personal Services This group increased by 14.1 percent to 191 employees between 1990 and 2000 in the County. The state gain was 10 percent.

30

Percentage Change in Employment, 1990 -- 2000


SIC 73: Business Services

SIC 73: Business Services This was a rapid growth industry group in both the state and the County between 1990 and 2000. During the decade County employment increased by 54.7 percent to 461 workers. The state gained 56.7 percent. Note that this industry group gained in most rural counties.

BUSSERV
-1 00 .00 to -1 9 .9 0 to .0 1 to 1 0 .0 0 to 2 0 .0 0 to 5 0 .0 0 to 1 00 .00 to -20 .00 .0 0 9 .9 0 1 9 .9 0 4 9 .9 0 9 9 .9 0 9 9 9 .9 0

Miles
0 20 40

Percentage Change in Employment, 1990 -- 2000


SIC 80: Health Services

SIC 80: Health

HLTHSERV
-1 0 0.0 0 to -19 .9 0 to .01 to 10 .0 0 to 20 .0 0 to 50 .0 0 to 1 0 0.0 0 to -2 0 .00 .0 0 9.90 1 9.9 0 4 9.9 0 9 9.9 0 9 99 .90

Miles
0 20 40

Services Although it was the largest private sector industry group in the County in 2000, growth was fairly modest compared to the state. The County gained 285 workers (14.3 percent) compared to a 21.3 percent increase in the state.

31

Percentage Change in Employment, 1990 -- 2000


SIC 83: Social Services

SIC 83: Social Service The gain of 18.1 percent in employment in the County was well below the regional performance and the state average of 56.9 percent. The County had 1,064 workers in SIC 83 in 2000.

SOCSERV
-10 0 .00 to -1 9.90 to .0 1 to 1 0.00 to 2 0.00 to 5 0.00 to 10 0 .00 to -20 .00 .0 0 9.9 0 19 .90 49 .90 99 .90 99 9.9 0

Miles
0 20 40

Percentage Change in Employment, 1990 -- 2000


SIC 86: Membership Organizations

SIC 86:

M EM ORG
-1 0 0 .0 0 to -1 9 .9 0 to .0 1 to 1 0 .0 0 to 2 0 .0 0 to 5 0 .0 0 to 1 0 0 .0 0 to -2 0 .0 0 .0 0 9.9 0 19 .90 49 .90 99 .90 99 9 .9 0

M iles
0 20 40

Membership Organizations This group is growing at a moderate pace in both the state and the County. In 2000, it had 405 workers an increase of 13.1 percent over 1990. The state gained 17.6 percent.

32

SIC 87: Professional Services Although a fairly fast growth industry group statewide (26.2 percent), the group in the County lost 9 workers (7.8 percent) between 1990 and 2000.

Percentage Change in Employment, 1990 -- 2000


SIC 87: Professional Services

PROFSERV
-100.00 to -19.90 to .01 to 10.00 to 20.00 to 50.00 to 100.00 to -20.00 .00 9.90 19.90 49.90 99.90 999.90

Miles
0 20 40

SIC 90: Government SIC 90: Governments Government employment declined at all three levels in Venango County between 1990 and 2000. GOVT -1 0 0 .0 0 to -2 0 .00 Federal -1 9 .9 0 to .0 0 government .0 1 to 9 .9 0 employment 1 0 .0 0 to 1 9 .9 0 decreased by 2 0 .0 0 to 4 9 .9 0 16 to 201 (7.4 5 0 .0 0 to 9 9 .9 0 percent). 1 0 0 .0 0 to 9 9 9 .9 0 During the same period, M iles state 0 20 40 employment decreased by 17.4 percent. After SIC 29: Petroleum Products, state government had the greatest decline of any in the County. Between 1990 and 2000, the County lost 317 workers to 1671, a loss of 15.9 percent. The state also lost some, but only at 4.6 percent. Employment in local government declined only slightly from 1990 to 2000; the 3.0 percent decrease represented 61 workers to 2,003. The state averaged an increase of 12.9 percent.
Percentage Change in Employment, 1990 -- 2000

33

Summary of Findings2
Demographic and Socio-Economic Profile Population Change: Population declined by 1,816 or by 3.0% from 1990 to 2000, down 11.0% since 1980, and the Census revision indicates an additional 400 more were lost. Age Structure: Population of County is aging rapidly; median age increased by more than 5.0 years from 1990 to 2000, which means that over 50% of the population is over 40 years old, with almost 17% over 65. Educational Attainment: County lags behind state in college degrees, 13.1% of persons over 25 versus 22.4% statewide. Labor Force Participation Rate: LFPR is 58.1% in the County versus 61.9% in the state. The Labor Force increased by 2.0% from 1990 to 2000 and the unemployment was higher in the County at 7.2% as compared to the state at 5.7% in 2000. Incomes and Poverty: Median household income in the state was 19.6% higher than the County ($40,016 as compared to $32,257), however incomes in the County are growing faster than the state. Regarding poverty levels, just over 11% of state residents are in the poverty level as compared to 13.4% in the County.

Sources of Income: The County ranked 56th in the State in households receiving earnings, a reflection of the large number of retirees and number of people receiving Social Security Income.
2

Van Landingham Consulting, August 2003

34

Occupation: Only 25.5% of workers in the County were managers or professionals as compared to the state average of 32.6%. In contrast, blue-collar workers in the County totaled 33.8% as compared to the state average of 25.7%. Industry: More workers in manufacturing, retail trade, education, health and social services versus professional, financial and tourism than the state average. Housing Value: Housing values are very low when compared to the state, the County median value being $55,900 versus $97,000 in the state. Migration, Population Projections and the Labor Force Population Change by Cohort, 1990 to 2000: Most of the 1990 to 2000 loss was from out-migration, the cohort between 20 and 34 decreasing by 32.3, of which 21.5% was lost to out-migration. There were also declines in all children under 19 and in the group aged 60 to 69. Population Projections, 2000-2020: Due to the age structure, County population will continue to decline even if no further out-migration occurs. By 2020, the population will be 57,406 if no out-migration occurs; however, using the same migration pattern as the 1990s, the population will fall to 53,327. The population will continue to get older and the group under 34 will lose 16.5% from 2000.

Impacts of Population Change on the Labor Force: In the worse case scenario, the Labor Force will decline by 12.4% in 2020, with the best-case scenario having the Labor Force losing only 4.4%. Long-Term Economic Changes, 1990-1997

35

The economy of Venango County has always depended on oil and other extraction and the manufacturing industries built around these. Since 1970, the United States, Pennsylvania and the County economy have all lost substantial manufacturing and mining employment. The County has fared better than the state or nation in this regard, however the real problem in the County has been the lack of growth in other sectors such as services, TCPU and FIRE, in particular. Retail, wholesale and construction matched or exceeded state percentage gains. Economic Structure and Change, 1990 to 2000 Change in Employment: Between 1990 and 2000, the County gained 9.5% in employment as compared to the state average of 10.1%. average. Structure of the Economy by Sector: In 2000, manufacturing was the second largest employer with 22.4% of the total employment as compared to the states 16.9%. Service based employers were the largest at 23.9%, but still lags behind the state 20.3%, as compared to employment average of 30.8%. Retail based employers had the state average of 17.7%. Government was also a major However, most of the region grew faster than the state

sector in the County at 18.1% as compared to the states 13.0%.

Sectoral Change, 1990-2000: Manufacturing lost just 4.1% compared to the state average of 9.6%. The fastest growth sectors were wholesale (56.1%), construction (41.5%) and retail (37.5%), all of which were above the state average. Services grew by 17.6%, which was well below the states 30.0% average.

Wages: Venango County wages are above most rural/small counties in the state, ranking 30 overall, and the average wage is above most counties in the Region. The average was $23,848 in 2000, compared to the state average of $28,717.
th

Industry Group Analysis

36

In 2000, the ten largest industry groups (SIC Codes) in Venango County were: Industry Group SIC 80: SIC 93: SIC 35: SIC 92: SIC 58: SIC 83: SIC 53: SIC 54 SIC 33 SIC 42 Health Services Local Government Machinery & Computers State Government Eating & Drinking Places Social Services Department & Variety Stores 844 Food Stores Primary Metals Freight & Warehousing 772 739 738 Employed in 2000: 2,285 2,003 1,733 1,671 1,143 1,064

Together, these industries employ over 60% of all County workers. Summary of Industry Group Analysis Other than the large loss of employment in SIC 29, Petroleum Products, manufacturing fared well in the County between 1990 and 2000, with most of the larger industry groups gaining employment faster than the state. Only SIC 24, Lumber and Wood Products and SIC 34, Fabricated Metals had significant losses. The construction sector industry groups grew much more rapidly than their state equivalents. The distribution related activities including SIC 42, Freight and Warehousing and both Wholesale Trade groups grew at a rapid pace, far outstripping state gains. SIC 48, Communications, lost significant employment and this is a concern because the state employment in this area grew rapidly. Although Retail Trade was not specifically discussed in the above analysis, it should be noted that the sector grew rapidly in the County, with all industry groups showing some increase.

37

Between Financial and Service sector industries, only SIC 60, Depository Institutions and SIC 70, Lodging Places lost significant employment. However, SIC 80, Health Services, failed to match the state growth rate. Overall, the Services sector grew more slowly than in the nation and state. Government employment losses contributed substantially to the fairly slow growth of total employment in the County. Overall, the economy of the County shows fairly good balance and it is growing in several of the under-represented sectors. It is not dead nor dying, however it is not growing strongly in those sectors, particularly services, which are the growth engines for the national and state economies. Economic Base: Major industries in the economic base include: SIC 3532: Mining Machinery SIC 3547: Rolling Mill Machinery SIC 3559: Special Industry Equipment, nec SIC 3599: Industrial Machinery, nec SIC 3544: Special Dies, Tools, Jigs and Fixtures SIC 2911: Petroleum Refining SIC 5172: Petroleum Products, nec-Wholesale SIC 3324: Steel Investment Foundries SIC 3317: Steel Pipe & Tubes SIC 3365: Aluminum Foundries SIC 3312: Blast Furnace and Steel Mills

Note the predominance of metals related manufacturing industries. Venango Economic Change, 1998-2002 (NAICS) In 1997, the federal government changed the way it classifies industries. updates the County economy based on this change. This section

38

Structure of the County and Regional Economies by Sector: Between 1998 and 2001, the private, non-agricultural employment of the County, as reported by CBP, grew by 2.1%. While this was not high growth compared to the 4.3% increase enjoyed by the state or the 6.4% growth experienced in the United States as a whole, it was on par with the Venango Region which had a 2.2% change in employment. 2001 Update: Overall, the County lost 2.7% of its total employment during 2001 (February 01- February 02). This loss of 585 employees was a function, primarily, of the national recession that began in late 2000 and last through 2001. During the same time period, the state lost 1.5% of its labor force and the region lost 2.1%. Special Areas of Interest Travel and Tourism: According to the most recent Shifflet Report on tourism in the state, domestic travelers and tourists brought in almost $66 million in direct sales, which led to the employment of 1,591 persons in 1999. Venango County does not fare particularly well in this industry in comparison to the state. Venango ranked 43rd among the 67 counties in the state in total revenues from this source and 46th in employment. The problem, however, seems to be less due to the quality of the attractions and more due to population density of the County and the surrounding areas. Retail Trade: Sales per capita were about 95% of the expected level, given incomes. The above suggests that, while County retailers are not providing 100% of all goods which would be expected to be sold to County residents, they are performing well considering the semi-rural nature of the County.

Economic Base
The economic base of the area includes all industries that produce at least part of their output for consumption outside of the local area. These are important industries because the sales they generate determines the income available for growth and for the consumption of items not produced locally. Export sales by local industries are determined

39

by the concentration of that industry in the local area. This concentration is measured, somewhat crudely, by a ratio called the Location Quotient. To calculate the Location Quotient for each industry the percentage of local employment in a given industry is compared to the percentage of national employment in that industry by the ratio: LQi = % of total local employment in industry I / % of national employment in industry I When the LQ for an industry is exactly 1.0 (i.e. the local industry employs the same percentage of total employment as the industry nationally) the industry is said to be locally self-sufficient and the area neither imports nor exports the products of that industry. When the LQ is above 1.0 the part above 1.0 is presumably exported to other parts of the national or global economy. When the LQ for a particular industry is below 1.0 the area must import some of the products of that industry which it consumes locally. Obviously, if the LQ for an industry is 0.0 all of the consumed product must be imported. For example, Pennsylvania does not grow any citrus fruit because of its climate, therefore it has an LQ of 0.0 for that industry; all citrus consumed in the state must be imported from Florida, California, Arizona, or elsewhere. We determine the economic base for a local area by computing the Location Quotients for all industries. Those industries which have LQs above 1.0 are part of the economic base. Their employment above the percentage required to generate an LQ of 1.0 is said to be basic employment. proportion to the basic employment. The assumption here is that the basic employment produces goods or services for sale to other areas and generates income for the area in

Depending on the mix of industries in the economic base, an area economy may be healthy, stable, or declining. If a local area is highly concentrated in one, or just a few industries, its economy is highly dependent on that narrow economic base. If an area has several or many industries in its economic base it is less dependent upon the fortunes of any one of those industries. When the area is heavily dependent on industries which are declining nationally (even if the local firms in those industries are stable or growing) it is at risk because it is likely that decline may strike the local firms at any time.

Although we traditionally think of manufacturing industries as the main components of a local economic base, this is an incorrect assumption. The largest economic base

40

industry in central Pennsylvania is education. Penn State exports educational services to students from all over the Commonwealth and elsewhere. revenues. It generates income for the region by bringing in tuition, research monies, government support, and sports related Other non-manufacturing industries in a local economic base might include: mining, transportation services, wholesale trade, services to other businesses, tourism, and in some cases health care. Industries which are not typically in the economic base include retail, personal services, and other local serving industries. These industries exist to serve the needs of the local populace and typically have LQs near 1.0. The economic base of Venango County (not including agriculture) includes over 100 specific (4 digit Standard Industrial Classification) industries, the most important of which (with an LQ greater than 2.0 and employment greater than 25) are discussed below. Graphs showing the annual change in employment are presented for the more important industries. They are organized by cluster of economic activity.

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SIC 3532: Mining Machinery Probably the most important industry in Venango County in 2001, the mining machinery industry produces over 500 times the average local requirement for a County the size of Venango (LQ =547.9). Employment in the County is 31 percent of total Pennsylvania employment in this industry. Between 1997 and 2001 employment fell by almost 25 percent locally and 13 percent statewide. The dominant local firm in the industry is Joy Manufacturing, which has been a major employer in the County for many decades; in fact, employment in this firm in 1977 was about 2.5 times higher than it is today. SIC 3547: Rolling Mill Machinery Although it employed only 69 workers in 2001, this industry had a Location Quotient of 201.0, second highest in the County. (High location quotients occur for relatively small local industries when the national counterpart is also quite small). Employment in this industry, which produces equipment for steel mills, declined by more than 39 percent in the County and 13 percent in the state between 1997 and 2001.

Employment Change, 1997--2001


E m p lo y m e n t In d e x (1 9 9 7 = 1 0 0 )

SIC 3532: Mining Machinery


Venango PA

105 100 95 90 85 80 75 70 1997 1998 1999 2000

2001

E ploym m ent C hange, 1997--2001


110 Employment Index (1997 =100)

S 3547: R IC olling M M inery ill ach


V enango P A

100

90

80

70

60

1997

1998

1999

2000

2001

160 150 140 130 120 110 100 90 80

Employment Index (1997 =100)

SIC 3559: Special Industry Equipment, nec The LQ for this industry in Venango County was 17.5 in 1997; it was the 13th largest industry with 321 employees. Unlike the other machinery building industries in the County, SIC 3559 grew between 1997 and 2001. It finished the period with an increase in employment of almost five percent but was much higher 1998 2000. Statewide, however, this industry lost employment at about the same rate as SIC 3532 and SIC 3547 (about 13 percent).

E ploym C m ent hange, 1997--2001


SIC 3559: S pecial In dustry M achines
V enango P A

1997

1998

1999

2000

2001

SIC 3599: Industrial Machinery, nec This is a very large industry in Pennsylvania (over 18,000 employees in 2001) but quite small in Venango County (just 0.9 percent of state employment). It had a Location Quotient of 3.1 in 1997 but grew more rapidly in the County than the Commonwealth, 13.3 percent versus 3.5 percent between 1997 and 2001). SIC 3544: Special Dies, Tools, Jigs, and Fixtures This has been a small industry in the County (only 0.5 percent of the Pennsylvania total in 2001) but employs almost 13,000 workers in Pennsylvania. The industry is significant

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because of the high level of machine occupations required. In 1997, the County had an LQ of 5.3 in this industry but it lost over 40 percent of its employment between 1997 and 2001. The states employment, meanwhile, grew by 1.5 percent. SIC 2911: Petroleum Refining Once the industry for which this area of the country was known, petroleum refining has lost most of its employment and presence in the county over the past two decades. In 1977, the two major employers, Quaker State and Pennzoil had their corporate headquarters in the County and, between them, had almost 900 employees. In 2001, the industry had just 122 local employees. Between 1997 and 2001, the industry lost over 72 percent of its total 1997 employment. Statewide the industry lost about 33 percent of its 97 employment by 2001.
E ploym C m ent hange, 1997--2001
Employment Index (1997 =100)

S 2911: P IC etro leumR efin g in


V enango P A

100

80

60

40

20

1997

1998

1999

2000

2001

120

110

Employment Index (1997 =100)

SIC 5172: Petroleum Products, nec Wholesale This industry, though not a manufacturer, is directly related to the petroleum industry in the County. In 1997 it had a Location Quotient of 10.0. Like the manufacture of petroleum products, its employment is in decline in both the County and the Commonwealth; between 1997 and 2001 the E ploym C m ent hange, 1997--2001 County lost 23.2 percent and the state 13.7 S 3324: S IC teel Investm t F nd en ou ries percent.

V enango P A

100

90

80

70

SIC 3324: Steel Investment Foundries One of several primary metals industries in the economic base of Venango County, SIC 3324 had the highest LQ of the group at 17.3 in 1997. Venango is an important center for this industry in the state with over 11 percent of the Commonwealths employment. Between 1997 and 2001, the industry gained over 18 percent in employment in the County but declined by more than 21 percent in the state. SIC 3317: Steel Pipe & Tubes The history of this industry in the County has been volatile. In 1977, the industry had over 200 employees. Production ceased for a while in the 1980's but rose to almost 100 in 1989; this fell to about 30 in the early 1990's before increasing again to it current level.

1997

1998

1999

2000

2001

E ploym m ent C han ge, 1997--2001


Employment Index (1997 =100)

S 3317: S IC teel P e and T ip ube

240 220 200 180 160 140 120 100 80 1997 1998 1999 2000
V enango P A

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2001

Between 1997 and 2001, employment increased by over 280 percent in the County but remained almost constant statewide. The LQ in 1997 was 15.4. SIC 3365: Aluminum Foundries With an LQ of 13.5 and employment of 57, this industry is of moderate importance to the economic base of the County. Between 1997 and 2001 the industry lost about 23 percent of its County employment but grew but was essentially constant in the state. SIC 3312: Blast Furnaces and Steel Mills Nationally this is the largest of the primary metals industries and the one which has had the most media coverage for its long-term decline. With an LQ of 7.3 in the County in 1997 and an increase of 247 percent between 1997 and 2001, it is arguably one of the most important industries in the economic base. In employment it ranked 23rd in 1997. During the period SIC 3312 lost over 21 percent of its Pennsylvania employment.
E ploym C m ent hang 1997--2001 e,
Employment Index (1997 =100)

S 3312: B IC last F urnace and S teel M ill

300

250

200
V enango P A

150

100

1997 1998 1999 2000 SIC 3321: Gray and Ductile Iron Foundries This industry had a Location Quotient of 5.8 in 1997 but it disappeared in the County between 1997 and 2001. It is also in decline both nationally and in the Commonwealth.

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2001

SIC 3494: Valves and Pipe Fittings 110 This industry was of only minor importance to the economic base of Venango County in 1997. It had 105 an LQ of 10.5 but was ranked 101st among all 100 industries in size. All County employment in this industry was lost between 1997 and 2001. The state had a decline of almost 16 percent over the period.

Employment Index (1997 =100)

SIC 3449: MISCELLANEOUS METAL WORK The Fabricated Metals industry with the highest LQ in the County (10.6 in 1997), SIC 3449 had a growth of 18.2 percent between 1997 and 2001. Employment in the state grew by 28.4 percent. County employment in the industry was 6.1

E ploym C m ent hange, 1997--2001


S 3449: M M IC isc etal W ork
130 125 120 115
V enango P A

1997

1998

1999

2000

2001

SIC 2426: Hardwood Dimension and Flooring


This industry increased its employment statewide by 25 percent between 1997 and 2001; unfortunately, the Venango County firms did not participate in this growth. Employment fell by almost eight percent in the County. In 1997 the Countys LQ in SIC 2426 was 11.1.

SIC 2421: Sawmills and Planing Mills


Another growth industry in Pennsylvania but not in Venango County, SIC 2421 had an LQ of 8.3 in 1997 but showed a slight loss in employment (2.7 percent) between 1997 and 2001. The local industry makes up 2.9 percent of Pennsylvania employment in SIC 2421.
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Miscellaneous Manufacturing Industries in the Economic Base SIC 3084: Plastics Pipe
This industry is in decline in the County. In 1997 it had a Location Quotient of 19.8 but lost 29 percent of its employment between 1997 and 2001. Statewide the industry grew by almost 16 percent over the period. SIC 2041: Flour and Other Grain Mill Products Although not a major employer in absolute size, SIC 2041 had an LQ of 21.5 in 1997. From 1997 to 2001 it declined by over 29 percent in the County but grew by 26.2 percent in the state. Even after the decline, County employment in this industry was 7.1 percent of the state total. SIC 2086: Bottled and Canned Soft Drinks This is another Food Products industry which is in decline in the County but growing in the Commonwealth. In 1997 its County LQ was 7.5 but it lost over 22 percent of its local employment during the period. The industry grew by more than 38 percent in the Commonwealth. SIC 3931: Musical Instruments Locally the firm in this industry manufactures player pianos. In 1997 its LQ was 22.9. Between 1997 and 2001 it gained just over eight percent in employment in the County and about two percent in the state.

SIC 3199: Leather Goods, nec


This was an important industry in Venango County in 1997. It was 19 th in total employment and had a Location Quotient of 153.6. However, nationally and within the Commonwealth, this industry has been declining rapidly. The industry disappeared in Venango County between 1997 and 2001.

Travel and Tourism


This industry group -- like agriculture -- is difficult to measure because the statistical data is not easily extracted. Travel and tourism expenditures are shared between several industry groups, most of which have a local consumption component as well as a basic component. For example some part of the sales of SIC 58: Eating and Drinking Places is local and some is due to tourists. This is also true of the sales Hotels and Motels, Amusements, Service Stations, Retail Trade, etc.

POLICY RECOMMENDATIONS
GOAL No. 1 - To sustain the highest quality of rural, suburban and urban life for the residents of Venango County. Short Range Priority Prepare and enact a county-wide recreation plan. Planning Commission, Parks Authority and Oil Region Alliance.

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Long Range Priority Prepare and enact a countywide greenway plan Planning Commission, Parks Authority, Conservation District and Oil Region Alliance. 2. To preserve, to the greatest extent possible, the rural character of Venango County by focusing commercial and residential development in or near the established villages or Downtowns. Immediate Priority Establish designated growth areas throughout Venango County, around existing population centers, utilizing the principles of density-based zoning. - Municipal Governments. Encourage the adaptive reuse of existing structures, in villages and downtowns Municipal Governments. 4. To promote higher density development where roads and utilities are capable of sustaining service to such development. Immediate Priority Modify existing zoning ordinances to permit farm-based business and related commercial activities as a source of supplemental income in all agricultural zoning districts. - Municipal Governments. Short Range Priority Establish designated growth areas around existing centers of population coupled with zoning density incentives in order to discourage development activities in productive agricultural areas. - Municipal Governments. 6. To encourage economic growth by industries and businesses related to the natural, economic and educational resources of Venango County. Immediate Priority The County should make an ongoing commitment to actively participate in economic development activities in order to assure that future development activities are consistent with its growth management policies and goals. - County Commissioners. Prepare a Prime Sites Inventory of locations where economic development is desired. Oil Region Alliance, Northwest Regional Planning and Development Commission. Ensure that municipal land use/land development Ordinances provide sufficient land area for commercial and industrial uses, and contain more detailed design criteria for such uses. Municipal Governments. Support the findings of the Oil Heritage Region Management Action Plan. All applicable entities.

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Short Range Priority Develop a comprehensive needs based training program in cooperation with business, schools and colleges. - VERA Encourage the inclusion of agriculture and forestry education units in public school curriculum. VERA Expand the services of the Business Information Clearinghouse to identify existing local businesses and industries; available sites for expansion of existing or new business; and data bases needed by business and industry. - Oil Region Alliance, Northwest Regional Planning and Development Commission. Long Range Priority Participate in a regional marketing effort of available industrial and office sites in cooperation with Northwest Regional Planning and Development Commission. - Oil Region Alliance, FICDA. 8. To promote public/private partnerships in identifying and solving problems. Immediate Priority Encourage greater use of the personnel and resources located at Northwest Regional Planning Commission. - All entities. Ensure greater use of inter-municipal and intergovernmental bodies and their resources. - All entities.

Short Range Priority Establish a Venango County Educational Forum composed of the school districts, municipal governments, county government, and business organizations to share information. - All entities. Establish public forums for discussions about future directions by involving local school districts, municipal governments, county government, social service providers, business organizations, etc. Northwest Regional Planning and Development Commission GOAL No. 5 - To provide equal opportunities for all residents to obtain meaningful employment. 1. To promote the availability of human workers which are responsive to changing competitive conditions. Immediate Priority Establish a Workforce Development Task Force under the auspices of the Venango County Economic Development Agencies and composed of business leaders, educators and government job training agency heads, to identify future human resource needs and develop programs to meet those needs

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VERA, Workforce Investment Board and Pa. Careerlink. 2. To provide means and methods for the retention and expansion of existing employers. Immediate Priority Encourage greater local use of the economic development programs, including low-interest loans, export assistance, technical assistance, etc. - Oil Region Alliance and Northwest Regional Planning and Development Commission. Establish an inventory of buildings and sites available for use by expanding business, regularly update the inventory and assure it is widely distributed. - Oil Region Alliance, Chambers of Commerce and Northwest Regional Planning and Development Commission. Short Range Priority Promote the expansion of the various technology centers, including at a minimum the Business Innovations Center and the Emerging Technology Center. - Oil Region Alliance, FICDA and VERA. Identify future locations for manufacturing uses on the basis of highway and railroad access, infrastructure availability and municipal land use regulations. - Planning Commission 3. To identify and make known public sector improvements and facilities necessary for desired business development. Immediate Priority Support improvements to the runway at the Venango Regional Airport in order to accommodate regional jet aircraft. County Commissioners and Municipal Governments. Protect the area near the Venango Regional Airport from construction inconsistent with preserving current and future runway safety zones. Planning Commission and Municipal Governments. Short Range Priority Undertake a comprehensive infrastructure needs assessment throughout the County in order to identify areas for new facilities and the improvement of existing facilities and initiate planning for these specific infrastructure improvements. - County Government. 4. To identify ways of taking full advantage of existing post-secondary education facilities in the region. Immediate Priority Inventory and encourage shared information about programs and facilities in or near Venango County Planning Commission and

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VERA Short Range Priority Promote the development of a Technical Training System that utilizes new and existing providers in the County. County Commissioners and VERA 5. To identify, and work for the modification if necessary, of Federal, State and Local regulations which unreasonably inhibit economic growth and development. Immediate Priority Inventory local businesses and manufacturers regarding specific regulatory problems, recommendations to alleviate those problems, and utilize the Economic Development Agencies to coordinate lobbying efforts to modify those identified regulatory issues. - Oil Region Alliance. Short Range Priority Tourism development efforts should focus on sustainable growth Oil Region Alliance. The County should adopt an ECOTOURISM philosophy and provide assistance in the form of a Comprehensive Tourism Development Plan. Tourism Promotion Agencies. 6. To develop strategies to enhance the viability of local organizations representing the business and industrial communities. Immediate Priority Continue to designate a primary economic development organization representing the County. County Commissioners. The County should participate in regional efforts to develop tourism that focus on our history, culture, recreational opportunities and environment. - County Commissioners 7. To identify and utilize public and private sector resources in a coordinated manner to create jobs. Immediate Priority Establish an interagency task force composed of municipal officials, county agencies, economic development organizations and educators to develop a guidebook of available resources which would be updated annually. Oil Region Alliance Explore means and methods to maximize the positive impacts of Two Mile Run County Park Parks Authority Short Range Priority The County should ensure that tourism growth is compatible with its long range plan. Planning Commission, Parks Authority and Oil Region Alliance.

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8. To encourage industrial expansion of industries compatible with the natural and economic resources found in Venango County. Immediate Priority Participate in the development of a Regional Marketing Plan that identifies natural, cultural, economic and human resources in the region. Identify potential users of those resources and target specific marketing efforts toward those users. - Oil Region Alliance Short Range Priority Recommend expanded resource management curriculum in local technical programs in order to develop value-added training skills and education related to forestry products. VERA and the Venango Technology Center 9. To provide an appropriate amount of land area in commercial and industrial zoning districts to allow for a reasonable level of economic development.

Short Range Priority Identify suitable land areas in each municipality for commercial and industrial uses and work with those municipalities to amend zoning maps (where applicable). Such land areas should have appropriate infrastructure readily available, be free of environmentally sensitive lands and minimize impacts on adjoining uses. - Planning Commission GOAL No. 7 - To provide a framework for cooperation within Venango County and the region. 2. To encourage the creation of public/private partnerships when implementing many of the policy recommendations contained in this plan. Immediate Priority The County Commissioners should take a leadership role in establishing necessary public/private partnerships which include municipalities, school districts, county agencies, businesses, civic organizations and regional groups. County Commissioners 3. To encourage the development of an informal organization composed of county and municipal governments, school districts, business and industrial organizations, agricultural organizations, and other civic organizations, which would meet regularly to exchange information about each organizations goals and activities. Immediate Priority The Planning Commission should implement this informal organization as a part of an ongoing Future Directions

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Roundtable, and this organization should meet annually. Planning Commission 4. To encourage the formation of a Venango County Regional Planning Commission composed of a representative from each Council of Governments in the county, which would explore and encourage cost-effective resource sharing. Immediate Priority The County Commissioners should assume a leadership role in establishing a Venango County Regional Planning Commission open to all municipalities in the County. - County Commissioners 5. To more effectively utilize VERA as the Venango County Educational Task Force to discuss educational issues of significance to the county and to bring such issues to the attention of the government and business communities. Immediate Priority The Venango County Commissioners should fully participate in this Task Force. - County Commissioners 6. To encourage the use of the Northwest Regional Planning and Development Commission by County agencies and municipal governments. Immediate Priority Support the implementation of the Strategic Action Plan for the Northwest Commission. County Commissioners. 7. To more effectively utilize the Regional Workforce Investment Board to improve available training for displaced or under employed workers. Long Range Priority Improve coordination among the various participants in job training and economic development activities in order to provide workers with the education and skills necessary in the 21st Century.

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