Why Would I Want to Live There?(Part 1)
This is the first of a series of articles that examines Ascend WV, a talent attraction project made possible by a $25 million gift from Brad and Alys Smith. Brad is a Kenova, WV native and former CEO of Intuit. Over the past few years, he and Alys have invested heavily into various economic development efforts in WV. Ascend WV offers $12,000 cash to remote workers outside the state who choose to move to one of three “featured cities”- Morgantown, Lewisburg, or Shepherdstown. Interested workers can apply for Morgantown now, with Lewisburg and Shepherdstown applications opening next year.
Population loss has been one of WV’s most pressing issues for decades. Fewer people means fewer dollars flowing into local businesses and declining state tax revenue. The traditional approach to drive population growth in WV has been to focus on attracting businesses. While there has been some success with this model, the new businesses locating in WV have not been enough to offset the businesses that have closed. Ascend WV completely flips the traditional approach by focusing directly on people. The recent growth in remote work makes Ascend WV possible. One can live in WV regardless of their employer’s physical location.
Will anyone really be interested in moving to WV?
WV’s image is complicated. For some people, WV means fast-flowing whitewater and majestic views. For others, WV means poverty and drugs. As a “boomerang kid” who moved away from WV and came back, I have been a longtime believer in the potential of the Mountain State. Despite the belief of our state’s detractors, poverty and drugs are not exclusive to WV. There are communities in WV that have been especially hard-hit by job losses and opioid abuse, but the same could be said of any state. Florida, for instance, is generally viewed as an attractive destination. While the coastal areas and Orlando have much to offer, there is nothing glamorous about the inland rural parts of the state.
Given the negative perception that some people have of WV, are the benefits of Ascend WV enough to attract people to the state? WVNews reported that 2000 people had applied to the program within 36 hours of its announcement, and 55,000 had inquired about coming to the state! Those are staggering numbers. Unfortunately, only 50 slots are available for Morgantown, but more will be opening next year for Shepherdstown and Lewisburg. It is still too early in the project to know the full economic impact, but it seems that Brad Smith made a good bet on the attractiveness of WV.
Will the people stay after moving to WV?
Ascend WV has already generated an enormous amount of buzz, but is it because people see it as an easy money grab? It is possible that people will leave after getting their $12,000, but the money is paid in monthly installments over a two-year period ($10,000 in year 1 and $2000 in year 2). $12,000 spread out over two years is not that much money. Participants can expect to receive a taxable payment of $833 per month during the first year. Is that really enough money to cause someone to uproot themselves and their families to move to a new state? I believe there are other factors that caused the massive application numbers, including the low cost of living and the recreational opportunities. Those factors will endure after the money is gone.
Is the program fair to current WV residents?
Ascend WV sounds great to people who choose to relocate to WV, but what about those of us already living here? Ascend WV is not a unique program. There are similar projects in other states focused on attracting remote workers. There is nothing stopping current WV residents from exploring those programs. Ascend WV applicants also must have a job with a company outside WV in which they can work remotely. So, the participants in the program won’t be coming to WV and taking jobs from current residents.
If there is a knock on the program, it may be that it’s limited to three cities. The areas of the state that have suffered the most from population loss, such as the southern coalfields, will not reap immediate benefits from Ascend WV. That said, a growing population will help everyone just as a rising tide lifts all boats. More tax dollars will be generated which will help fund more projects and services, and more businesses will become interested in the state as the population rises. Like all economic development efforts, Ascend WV will take time, but it’s a bold step that is likely to have an impact many times larger than Brad and Alys Smith’s generous initial investment.
In part 2, I will focus on living and working in the greater Morgantown area, the first “featured city” of the Ascend WV program.