Report on Alabama’s Economic Development Funding and its Alignment with Sustainable Development Goals

Executive Summary

The State of Alabama, through its Growing Alabama program, has allocated $25.9 million for strategic economic and industrial development projects. This initiative directly supports several United Nations Sustainable Development Goals (SDGs), particularly those focused on economic growth, infrastructure, and reducing inequality. The funding aims to enhance the competitiveness of industrial sites, improve public infrastructure, and stimulate growth in both urban and rural communities, thereby paving the way for long-term sustainable prosperity.

Program Investments and Contribution to SDG 8 & SDG 9

The Growing Alabama program is a strategic investment in the state’s future, designed to prepare communities for significant economic projects. This aligns directly with SDG 8: Decent Work and Economic Growth by fostering an environment for job creation and business expansion. By focusing on public infrastructure and industrial site readiness, the program also makes a substantial contribution to SDG 9: Industry, Innovation, and Infrastructure, promoting inclusive and sustainable industrialization and building resilient infrastructure.

Key Project Allocations

Major beneficiaries in the River Region include:

• Prattville: Awarded $4.9 million for the Prattville South Industrial Park. This investment enhances the site’s capacity for industrial development, supporting sustainable industrialization (SDG 9).
• Montgomery: Awarded $3.55 million for the continued development of the Montgomery Intermodal Container Transfer Facility. This project is critical for building resilient infrastructure (SDG 9) and creating more efficient, sustainable transport systems for the community (SDG 11).

Fostering Inclusive Growth and Reducing Inequalities (SDG 10 & SDG 11)

The program’s impact extends across Central Alabama, with a clear focus on inclusive development that supports SDG 11: Sustainable Cities and Communities. A significant portion of the funding, 27%, was specifically awarded to “targeted counties” to stimulate growth in rural areas. This targeted approach is a direct action towards achieving SDG 10: Reduced Inequalities by ensuring that economic opportunities are distributed more equitably across the state.

Additional Regional Investments

• Lake Martin Industrial Development Authority: $2 million for site improvements
• Craig Field Airport & Industrial Authority in Selma: $1.26 million
• Opelika Innovation & Technology Park: $921,310
• South Dallas Industrial Park: $186,025

Strategic Partnerships for Sustainable Development (SDG 17)

The funding mechanism for the Growing Alabama program exemplifies a powerful model for public-private collaboration. The program is sourced through a tax credit system where taxpayers contribute to approved economic development organizations. This structure represents a strong commitment to SDG 17: Partnerships for the Goals, leveraging private contributions to achieve public development objectives and drive statewide sustainable growth.

As stated by Alabama Department of Commerce Secretary Ellen McNair, “This funding allows local leaders to fast-track site preparation and compete for game-changing economic development projects. It’s a smart, strategic investment in Alabama’s future.” This sentiment, echoed by Governor Kay Ivey, underscores the program’s role in creating a foundation for long-term prosperity and high-quality jobs across all regions of the state.

1. Which SDGs are addressed or connected to the issues highlighted in the article?

SDG 8: Decent Work and Economic Growth

• The article focuses on the “Growing Alabama” program, which allocates funds for “economic and industrial development projects.” The stated goals of the program, such as creating “high-quality jobs” and fostering “business expansion,” directly align with promoting sustained, inclusive, and sustainable economic growth.

SDG 9: Industry, Innovation, and Infrastructure

• The core of the article discusses funding for infrastructure development. Projects like the “Prattville South Industrial Park,” the “Montgomery Intermodal Container Transfer Facility,” and improvements to the “Opelika Innovation & Technology Park” are clear examples of building resilient infrastructure and promoting industrialization, which are central to SDG 9. The program’s purpose is to “fast-track site preparation” through “public infrastructure” improvements.

SDG 11: Sustainable Cities and Communities

• The funds are allocated to specific cities and communities like Prattville, Montgomery, and Selma to enhance their economic foundations and infrastructure. The program supports “regional development planning” by investing in industrial sites that make these communities more competitive and economically sustainable.

SDG 10: Reduced Inequalities

• The article explicitly mentions that “27% of the allocations were awarded to what the Alabama Department of Commerce described as ‘targeted counties,’ which are areas to focus on in order to stimulate growth in rural areas.” This strategic allocation of resources aims to reduce economic disparities between urban and rural regions within the state, directly addressing the goal of reducing inequality.

2. What specific targets under those SDGs can be identified based on the article’s content?

SDG 8: Decent Work and Economic Growth

• Target 8.2: Achieve higher levels of economic productivity through diversification, technological upgrading and innovation. The funding for the “Opelika Innovation & Technology Park” and the general aim of making industrial sites more competitive point towards this target.
• Target 8.3: Promote development-oriented policies that support productive activities, decent job creation, entrepreneurship, creativity and innovation. The “Growing Alabama” program itself is a “development-oriented policy” designed to “pave the way for high-quality jobs” and “business expansion.”

SDG 9: Industry, Innovation, and Infrastructure

• Target 9.1: Develop quality, reliable, sustainable and resilient infrastructure… to support economic development. The entire article is about this, detailing the $25.9 million allocated for infrastructure projects like industrial parks and an intermodal facility to support “economic and industrial development.”
• Target 9.a: Facilitate sustainable and resilient infrastructure development… through enhanced financial… support. The program provides financial support through a tax credit system to local economic development organizations to build out infrastructure, particularly in less-developed “targeted counties.”

SDG 11: Sustainable Cities and Communities

• Target 11.a: Support positive economic, social and environmental links between urban, peri-urban and rural areas by strengthening national and regional development planning. The program’s strategy of allocating funds to various communities, including a specific focus on “targeted counties” in rural areas, represents a form of regional development planning to foster economic growth across the state.

SDG 10: Reduced Inequalities

• Target 10.2: By 2030, empower and promote the social, economic and political inclusion of all, irrespective of… location. The deliberate allocation of funds to “stimulate growth in rural areas” is a direct action to promote the economic inclusion of communities that may be lagging behind.

3. Are there any indicators mentioned or implied in the article that can be used to measure progress towards the identified targets?

Indicators for SDG 8 and SDG 9

• Amount of public investment in infrastructure: The article provides precise figures that can be used as an indicator. It states a total of “$25.9 million” was allocated, with specific amounts for projects like “$4.9 million” for Prattville’s industrial park and “$3.55 million” for Montgomery’s intermodal facility. This directly measures the financial commitment to infrastructure development (Target 9.1).
• Creation of development-ready sites: The program’s focus on “preparing sites across the state for future development” implies that the number of improved or newly prepared industrial sites (e.g., Prattville South Industrial Park, Lake Martin Industrial site) serves as a key performance indicator.
• Job creation and business expansion: The article mentions the ultimate goals are “high-quality jobs” and “business expansion.” While not yet measured, these are the intended outcomes that would be used to gauge the program’s success, aligning with Target 8.3.

Indicators for SDG 10 and SDG 11

• Proportion of funds allocated to targeted/rural areas: The article explicitly states a key indicator: “27% of the allocations were awarded to what the Alabama Department of Commerce described as ‘targeted counties’.” This is a direct and quantifiable measure of the effort to reduce regional inequalities and support rural development (Targets 10.2 and 11.a).

4. Create a table with three columns titled ‘SDGs, Targets and Indicators” to present the findings from analyzing the article. In this table, list the Sustainable Development Goals (SDGs), their corresponding targets, and the specific indicators identified in the article.

Source: montgomeryadvertiser.com