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Explainer: What Hutchinson's EDA does and why it focuses on manufacturing
Summary
Miles Sebold explained the Hutchinson Economic Development Authority's mission to create jobs, raise incomes and expand the tax base, citing three reasons the city focuses on manufacturing (higher pay, economic multipliers, employment multipliers) and described EDA funding sources.
On the program Miles Sebold outlined the role of the Hutchinson Economic Development Authority and why the organization prioritizes manufacturing and downtown development.
"When we talk about that, what does that really mean?" Sebold asked rhetorically before defining economic development as improving the city's economic well‑being and quality of life through job growth, higher incomes and tax‑base expansion. He said EDA work involves many behind‑the‑scenes steps to make visible projects happen.
Sebold listed three reasons the EDA focuses on manufacturing: manufacturing typically pays higher weekly wages than many other local sectors; manufacturing has a large economic multiplier ("For every $1 of manufacturing income, that generates another dollar 48 all the way up to a dollar 92 of additional economic activity," he said, attributing the figures to the Bureau of Economic Analysis); and manufacturing has an employment multiplier, where each manufacturing job creates roughly 5–7 additional jobs through supply chains and local spending.
He pointed to Hutchinson's local strengths: the city hosts a large 3M production complex (Sebold cited a building footprint of about 1,400,000 square feet and roughly 1,300 employees) and an industry cluster of precision high‑tech manufacturers supported by Ridgewater College. He said roughly 28% of Hutchinson's workforce is employed in manufacturing, a concentration he described as substantially higher than state and national averages.
On funding, Sebold said the EDA's operating budget is funded partly through a city tax levy and partly through external grants. He estimated the typical household contributes about $20–$25 per year toward economic development and said that between 2007 and 2024 the EDA pulled in a little over $2,000,000 from local tax sources and more than $6,100,000 from outside sources.
Sebold also addressed retailer recruitment, using Kohl's as an example: he said national retailers make decisions based on demographics and customer draw in zip‑code data and advised residents that increased purchases tied to Hutchinson's zip code can influence those decisions. "The answer to that is to shop at Kohl's, because every time you go to Saint Cloud or Wilmer or wherever to buy something at Kohl's, they get your zip code," he said.
Sebold framed these activities as part of a broader effort to attract and retain talent, maintain downtown as the community's front door, and create a diversified local economy anchored by manufacturing.
