11 cities seen at risk of slipping further
Lawrence, Fall River, and nine other of the state's historic mill cities have lost thousands of jobs and struggled to attract new ones over the last three decades even as Greater Boston has enjoyed a resurgence from a growing knowledge-based economy, according to a report released today.
The municipalities -- dubbed "gateway cities" -- are at risk of falling further behind Boston, according to the MassINC report, as they struggle to attract high-tech and other innovative industries because of shortages of trained workers, limited transportation systems, and patchy broadband access.
"The transformation from an industrial to a knowledge-based economy has been done better in Boston than just about anywhere else in the world," said John Schneider , interim president and CEO of MassINC, a think tank based in Boston that coauthored the report with The Brookings Institution, a Washington research group.
"However, although that transformation has benefited the state as a whole, there are many communities that haven't been able to make that transformation, and that could be a drag on future prosperity for the state," Schneider said.
According to the report, the share of the state's technology firms located in Greater Boston increased from 53 to 60 percent between 1991 and 2004, while the share of these companies located in the gateway cities, so-called in part because of their large immigrant population, declined from 8 to 6 percent in the same period. Meanwhile, manufacturing jobs have continued to disappear, leaving the total number of private-sector jobs in the gateway cities at their 1960s levels.
The 11 cities studied -- Brockton, Fall River, Fitchburg, Haverhill, Holyoke, Lawrence, Lowell, New Bedford, Pittsfield, Springfield, and Worcester -- are home to 30 percent of all state residents living below the poverty line, even though they account for just 15 percent of the population.
The effects of the economic struggles ripple across the state, the report says.
The clustering of high-tech jobs in Greater Boston -- often bypassing the 11 cities cited in the report -- has driven up housing costs and traffic congestion in Greater Boston and created sprawl as some middle-class workers have sought more affordable housing in suburbs. Other priced-out workers have left the state, exacerbating worker shortages that are expected to grow more acute as baby boomers begin to retire in 2011.
Meanwhile, the 11 cities in the report are not training workers who could fill those shortages, further threatening the statewide economy.
The gateway cities have long histories as industrial powerhouses -- Worcester, Lawrence, Lowell, Brockton, and Haverhill for their textile, shoe, and machine tool production; the Springfield area for its ordnance and interchangeable parts manufacturing; Fall River and New Bedford as fishing industry centers; and Pittsfield and Fitchburg as home to
Some cities -- Lowell, for one -- have rebounded with mill space reconfigured as condominiums and lofts, drawing people priced out of Boston.
Many are also magnets for burgeoning immigrant populations, largely from Latin American and Asian countries. "In these cities resides a compelling heritage of dynamism and middle-class aspiration. . . . The Gateway Cities deserve Bay Staters' attention because they embody the depth of the state's tradition of innovation and confidence the state has given so many families that the American Dream was within their reach," the report states.
The report argues that city and state officials should reform and improve urban schools, boost the education and language skills of the adult workforce, ensure a consistent flow of local aid dollars from the state, and improve the transportation and high-tech connections of the gateway cities. In doing so, the report argues, the state could alleviate the pressures on Boston as well and create cities without sprawl.
"These technology and knowledge-based jobs are clustering even more in Boston, and at the same time, the housing costs, sprawl and congestion, and workforce needs are creating even more need to take the pressure off, and so these places have a chance to grow and plug into that," said Mark Muro , coauthor and policy director of the Metropolitan Policy Program at The Brookings Institution.
Lieutenant Governor Tim Murray, former mayor of Worcester, said the findings dovetailed with plans he and the governor have for the industrial cities, which include commuter rail investment, brownfield cleanup, and tax credits to rehabilitate historic buildings.
"These cities drive the regional economies and are the key to turning around the economy of the state as well," Murray said.
Responding to the report, some gateway city officials said it painted an accurate, if disturbing, picture that should send a wake-up call to the rest of the state.
"There is life outside Route 128," said Ed Lambert , mayor of Fall River. "There are some real opportunities in these gateway cities, and some struggles. We are part of the Commonwealth, and I think we can help solve some problems facing the Commonwealth whether it be housing or workforce development."
Lowell's mayor, William Martin, said, "The loss of manufacturing jobs overseas has hurt all of Massachusetts, the Merrimack Valley, and Lowell. We continue to struggle with that. We are attracting our share of technology jobs, but not to the extent that you see in Greater Boston. So, yes, we are holding our own against an increasingly overwhelming tide working against us, but it's more difficult for a small or midsize city to fight that trend."
Some city officials said the technology and knowledge-based sectors are beginning to make headway in gateway cities. In Lawrence, for example, two colleges -- Cambridge College and Northern Essex Community College -- have embarked on expansions, and Lawrence General Hospital recently expanded.
"A lot of wealth is being created, and a lot of opportunities are being seized," said Ezra Glenn , director of community development in Lawrence. But he said the essence of gateway cities -- as starting points for immigrants with limited language and technical skills -- make the task trickier.
