An entire magazine devoted to economic development! The articles that follow in this issue reinforce how critical a good economic development strategy is to the local government mission. Whether the strategy includes revitalizing a community’s main street, attracting jobs, building more robust retail options, or all of the above, it’s all about making the community a place where people thrive—where they live, work, and play.

The Question of “What”

The devil is in the details of course. Imbedded in those strategies are ethical values that reflect the unique norms and culture of a community. The leadership challenge is to engage the residents and the business community to make sure that there is some level of agreement on the values so that the right strategy is implemented.

Will success be measured in just the total number of jobs created? Or does the community want to attract employers willing to pay a living wage? In real estate markets where property tax revenues rise as housing values continue to escalate, how much investment in affordable housing is enough?

Are big box stores welcome to fill the retail gap, or are they viewed as an anathema? Is the use of public funds for athletic stadium development appropriate economic development? The list of questions is almost endless.

The high-level questions of which values take precedent are tough to address. Why? Because they most often require us to debate what the ethicist Rushworth Kidder called “right versus right” dilemmas—that is, situations in which the competing principles are both valid and right.

The Question of “How”

A well-crafted strategy driven by values is critical. But at the ground level, the challenge for local government managers and their staff members working on these issues is far more basic. It’s the how.

How do we accomplish our goals? How do we make sure that our conduct builds trust with our community? How do we navigate the private sector’s interest in confidentiality? How do we ensure that there is transparency?

So what advice is there for local government professionals to ethically and successfully navigate the economic development process? Consider this:

Be transparent and a good communicator. The private sector’s values of confidentiality and privacy do not trump the public’s right to know. The local government manager needs to keep the governing body informed about potential projects or expressions of interest.

If there is a need to stress confidentiality at that stage, the manager should so inform the governing body. The International Economic Development Council, an association for professionals who are involved in various aspects of development, recommends this in its code of ethics: “Professional economic developers shall openly share information with the governing body according to protocols established by that body. Such protocols shall be disclosed to clients and the public.”

Be objective and avoid “capture.” The desire to build good working relationships with the development community can backfire. In communities where a lot of development is taking place with only a few dominant players, local government staff can get too close to the developers.

The same can occur in a smaller, tight-knit community. Building an effective working relationship is helpful in the long run, but maintaining an objective, fair, and impartial relationship is way more important. Even the appearance that staff is too close or deferential to the development community can undermine the public’s trust.

In government, it’s known as “regulatory capture.” It’s when the regulator gets too cozy with the company he or she is supposed to monitor. So be professional but keep an arm’s length, and remember your obligation to serve the public’s interests.

Seek no favor. Don’t leverage information learned during the initial phases of an economic development process for personal gain. That would be all the information about intent that has yet to be disclosed in the public domain.

On the theory that we learn from each other’s tough experiences, I would encourage you to share your strategy for navigating the ethical challenges related to economic development. You can send your story—confidentially if desired—to me at my e-mail address listed below.