Participatory, public/private economic strategic planning at the local level is an approach that has encouraged job creation and investment in municipalities in Ukraine. For the most part, the success of participatory strategic planning for local economic development has been evident in the ability of well-organized and determined localities to package assets, particularly publicly-owned land, to attract strategic investments to the locality. Strategic planning for local economic development has also given rise to selective business environment regulatory reform and workforce development activities, and has been a highly effective vehicle for promoting dialogue between the public and private sectors.
Local economic development benefits the entire community, including local government, businesses, and citizens. By competing with other cities to provide the most favorable business environment that includes the highest quality infrastructure and services at the lowest cost to businesses, cities can dramatically increase businesses' growth, encourage new business creation, and attract investments. Better services and infrastructure allow businesses to offer products and services at a lower cost, thus generating more sales and creating new jobs and more taxes. Increased tax revenue from business growth and higher employment means that cities can improve services and invest in infrastructure, becoming even more attractive to businesses and improving the quality of life for citizens in their community.
Strategic planning is a systematic way to manage change and build a community-wide consensus and shared vision for a better economic future. It is a creative process to identify critical issues and agree on credible goals, objectives and strategies which, when implemented, will address those issues.
Strategic planning is also a powerful technique for bringing business leaders and City Hall officials together to create private-public partnerships that will improve the city's business climate and competitive position.
Strategic planning is a complex and selective method to influence a community's economic future. It is complex because it includes the initial review of local economic conditions, their specific interactions within the community, and external forces that affect the local economy. On the other hand, the changes to be achieved are intended to influence the entire local economy through particular, selective actions. This represents the selective feature of the strategic planning process. Since the capacity and resources available in the community are always limited, the strategic planning process must continuously pick and choose the issues, objectives, and actions that are most needed, reliable, and feasible.
Strategic planning combines long-term perspectives with short-term actions. The process takes into account the long-term future in setting out its vision and broad goals. At the same time, current economic, social and political changes, which occur rapidly and are difficult to predict, must be addressed. Therefore, the challenge and orientation of the planning process is to create a rational basis for reaching consensus on detailed and specific objectives and strategies that can be implemented within three to five years, the life span of most economic development strategic plans.
USAID LINC Strategic Planning portfolio includes the following cities, raions and regions of Ukraine:
Cities and raions
- Sevastopol (strategy adopted on December 15, 2009)
- Saky, AR Crimea (strategy adopted on December 25, 2009)
- Bakhchysaray City & Raion, AR Crimea (strategy adopted on December 24, 2009)
- Feodosiya, AR Crimea (strategy adopted on September 29, 2010)
- Scholkine, AR Crimea (strategy adopted on September 9, 2010)
- Bilohirsk City & Raion, AR Crimea (strategy adopted on March 26, 2010)
- Kerch, AR Crimea (strategy adopted on July 27, 2010)
- Stakhanov, Luhansk Oblast (strategy adopted on May 26, 2010)
- Bryanka, Luhansk Oblast (strategy adopted on July 29, 2010)
- Kreminna Raion, Luhansk Oblast (strategy adopted on September 23, 2010)
- Teplodar, Odesa Oblast (strategy adopted on February 25, 2010)
- Obukhiv Raion, Kyiv Oblast (strategy adopted on October 29, 2010)
- Rovenky, Luhansk Oblast (strategy adopted on October 26, 2010)
- Sverdlovsk, Luhansk Oblast (strategy adopted on September 29, 2010)
- Kamyanets-Podilsky, Khmelnytsky Oblast (strategy adopted on April 29, 2011)
- Ivano-Frankivsk (strategy adopted on June 2, 2011)
- Alushta, AR Crimea (strategy adopted on July 29, 2011)
- Sudak, AR Crimea (strategy adopted on September 15, 2011)
- Odesa (strategy developed, pending approval)
- Chernivtsi (strategy development in progress)
- Krasnodon, Luhansk Oblast (strategy development in progress)
- Bohorodchany Raion, Ivano-Frankivsk Oblast (strategy development in progress)
- Khotyn Raion, Chernivtsi Oblast (strategy development in progress)
- Novoselytsya Raion, Chernivtsi Oblast (strategy development in progress)
- Slovyansk, Donetsk Oblast (strategy development in progress)
- Tavria Economic Region (Tavria Association of Territorial Communities) (USAID LINC assists in implementation of strategy developed under an earlier USAID project)
- Central Luhansk Economic Region (strategy adopted by constituent communities from December 23-28, 2010)
- Northwest Luhansk Economic Region (strategy adopted by constituent communities from October 27, 2010, to February 24, 2011)
- Odesa-Teplodar-Yuzhne Economic Region (strategy approved by Odesa Oblast Rada on August 26, 2011)
- Central Volyn Economic Region (strategy developed, pending approval by constituent communities)
- Bukovyna-Podillya Economic Region (strategy development in progress)
- Kherson-Mykolaiv Economic Region (strategy development in progress)
- Danube Economic Region (strategy development in progress)