Secretary's Speech

Secretary of Commerce Carlos M. Gutierrez
White House Faith-Based and Community Initiatives Roundtable
Washington, D.C.

Thank you for gathering at the White House today.

The topic of promoting economic development and community investment is one of tremendous importance, and one that we can all be proud to be a part of, so I’m pleased you’ve gathered for this discussion.

I’d like to begin by thanking Jay Hein for his leadership not only in organizing this event but in leading the Office of Faith-Based and Community Initiatives.

Jay appeared last February as the featured guest on “EDA Today,” a television show produced by the Department of Commerce. His presentations on that show and elsewhere on faith-based economic development have really energized communities across the nation.

Faith-based and community organizations have emerged as integral and innovative investors in our nation’s economic and community development.

We applaud the efforts of so many of you here today to make an investment in the lives of people and the future of our communities and our country.

At the Commerce Department one of our goals is to utilize trade and investment to lift people out of poverty, and create jobs and opportunities.

As I have traveled the world I have seen the benefits of open markets and economic opportunity—there is simply no substitute for a strong, growing economy when it comes to improving the quality of life for citizens.

And while we continue to work to tear down trade barriers and open more markets, we know that is not enough.

We have recognized that government is not, and cannot be, the only catalyst for change in a community. Change can also come from the private sector.

There is a strong movement for businesses to become better corporate citizens around the world.

In India, I’ve seen the tremendous opportunity that micro-credit has created. Private banks are seeing the benefit of small loans to help jumpstart new businesses and create jobs and opportunity where there were none.

In Mexico, I’ve seen the partnership between UNICEF and private companies build a nationwide education program for underprivileged children with handicaps.

Major corporations are now building corporate social responsibility into their budgets and into their missions. I applaud their efforts and think we should encourage more.

In our country, at the community level, organizations and faith based groups can provide the same kind of life changing aid that cannot come from a government handout.

And, importantly, economic aid has a ripple effect that extends beyond the immediate community and strengthens both the social fabric of our society, as well as our economy.

Economic development and community development are complementary components of our nation’s competitiveness, and should be pursued in harmony.

Through the Economic Development Administration, the Commerce Department has a long partnership with faith-based and community organizations in rebuilding distressed communities, and creating the conditions for economic growth and prosperity.

Since 2001, EDA has invested more than $147 million in 187 different faith-based or community projects. The economic benefit of those projects was anticipated to create more than 82,000 jobs and $3.5 billion in private investment.

In 2006 alone, EDA invested more than $33 million in 44 such projects, with an anticipation of the resulting creation of 19,000 new jobs and nearly $721 million in private sector investment.

I’m pleased that one of EDA’s most successful faith-based partnerships is here today to share its experiences with you.

In 2006, EDA invested $3.5 million in St. Patrick Center, the nation’s largest private sector assistance program for the homeless. Located in St. Louis, Missouri, St. Patrick Center will use the EDA investment to supports its Project BEGIN, which stands for Business, Employment, Growth, Incomes and Neighborhood.

Project BEGIN will include a business incubator and vocational training center built into St. Patrick Center’s main facility.

To honor the success of this partnership, EDA awarded St. Patrick Center its 2006 Excellence in Economic Development Award for Community and Faith-Based Social Entrepreneurship.

I welcome Dan Buck, CEO of St. Patrick Center, to tell you more about this innovative and remarkable project during the panel.

In closing, we have seen around the world and here at home how economic development can contribute to the well-being of communities and can be a down payment on better lives for our citizens.

You are all examples of that principle in action, so thank you for your contributions and your work to create better communities for us all.