2019 NAREA WORKSHOP ON ENVIRONMENTAL REGULATION AND INNOVATION IN RURAL COMMUNITIES

• Sponsoring Institution: National Institute of Food and Agriculture
• Project Status: COMPLETE
• Funding Source: AFRI COMPETITIVE GRANT
• Reporting Frequency: Annual
• Accession No.: 1018938
• Grant No.: 2019-69006-29676
• Cumulative Award Amt.: $35,750.00
• Proposal No.: 2018-07008
• Project Start Date: Jun 1, 2019
• Project End Date: May 31, 2021
• Grant Year: 2019
• Program Code: [A1661]- Innovation for Rural Entrepreneurs and Communities

Recipient Organization
UNIVERSITY OF VERMONT
(N/A)
BURLINGTON,VT 05405

Performing Department
Economics

Non Technical Summary
Project Title: Workshop on Environmental Regulation and Innovation in Rural CommunitiesInvestigators: PI: Donna Ramirez Harrington, University of Vermont Co-PI: Martin Heintzelman, Clarkson UniversityDue to the need to remain globally competitive while espousing more sustainable production and consumption patterns, rural communities are under increasing pressure to adopt innovative strategies to manage the economic and environmental impacts of environmental regulations. Further, increasingly decentralized regulatory design and enforcement can create wide disparities in economic and environmental outcomes across jurisdictions, reinforcing any anxiety and competition between states and local governments with respect to economic growth and environmental quality. Rural communities can adopt productivity-enhancing and pollution-reducing technologies while also developing innovative policy approaches and governance structures to manage these impacts. It is therefore imperative to understand how rural communities innovate - both in the technological and policy/governance spheres, the factors that motivate them to do so, and how their innovations determine the environmental and economic outcomes they experience. Additionally, and equally vital is an understanding of how individual households and businesses in rural communities help shape local environmental regulations and the channels through which they can influence the design of local regulations.These themes are all contributing to understanding the behavior and economic success of rural communities as described in the Program Priority Area "Innovation for Rural Entrepreneurs and Communities" (A1661). Our proposed workshop seeks to invite a conversation among researchers, think-tanks, government agencies and policymakers to enhance our understanding of how rural communities innovate when shaping and responding to environmental regulations, and how these environmental regulations affect rural communities' economic well-being and environmental quality. A focused workshop such as this can bring together experts from different fields and players from various level of government to identify the policy levers through which the innovative capacity of rural communities can be enhanced to achieve economic and environmental goals.

Animal Health Component

0%

Research Effort Categories

Basic

100%

Applied

0%

Developmental

0%

Classification

Knowledge Area (KA)	Subject of Investigation (SOI)	Field of Science (FOS)	Percent
609	6199	3010	100%

Knowledge Area
609 - Economic Theory and Methods;

Subject Of Investigation
6199 - Economy, general/other;

Field Of Science
3010 - Economics;

Keywords

environmental regulation

innovation

rural communities

Goals / Objectives
IntroductionLocal jurisdictions are facing increasing pressure from two major trends in the global and domestic sphere. One is globalization, which creates pressure on states, cities and rural communities to promote competitive industries, create jobs and develop infrastructure that will attract domestic and foreign investment. The other is increasing global climate change concerns coupled with seemingly growing desire for greater environmental federalism in the US that will devolve decisions on regulatory design and enforcement to local communities. These two trends may inadvertently force communities to pit economic goals against environmental ones: more stringent regulations are feared to discourage investment and increase unemployment, spurring a "race to the bottom" (Eskeland and Harrison, 2003), while influx of industries and economic growth has been previously associated with higher pollution levels (Grossman and Krueger, 1995). Fortunately, local jurisdictions can be empowered to achieve the dual goals of environmental protection and economic development, as recognized in the Smart Growth program. In this program, the US Environmental Protection Agency works with local communities to create economic opportunities and encourage growth strategies that protect human health and the environment (Edwards et al., 2005). In this proposed workshop, we want to focus on innovation by rural communities, and the households and businesses within, in both the technological and policy/governance arena to achieve these two goals. The environmental and economic outcomes experienced by rural communities vary not just as a result of differences in regulations but also from differential enforcement (Dion et al., 1998) and different levels of engagement of their citizens in exerting public pressure, as well as socio-cultural factors and institutional constraints (Delmas and Toffel, 2004). Thus, it is also important to understand the factors that determine how rural communities help shape local decisions to influence the type and extent of environmental and economic impacts they experience. Further, recent developments to roll back many federal environmental laws coupled with many states seeking to uphold their own standards provides a ripe environment to assess how environmental regulations can vary widely across jurisdictions and the associated impacts on economic and environmental outcomes.Workshop ObjectivesThe 2019 NAREA Workshop on Environmental Regulation and Innovation in Rural Communities aims to facilitate discussion amongst experts about the impacts of environmental regulations on the local environmental quality and economic well-being of rural communities. We want to focus on how innovative technological approaches and innovations in policy and governance can drive positive economic and environmental outcomes as rural communities respond to and help shape local environmental regulations.To achieve these goals, this workshop willConvene experts from the academy, government, NGOs, and think-tanks to present, discuss, and debate their state-of-the-art research on environmental regulations, their impact on rural communities and how households, businesses, and policymakers can innovate to respond to an ever-changing regulatory climate. The paper presentations are expected to consist of theoretical and empirical research that is on the frontier but also policy- and community- relevant. This research might capture economic and environmental impacts at both the micro (firm or household) and macro (community or state) levels. Facilitate and encourage discussions among various participants to identify not just gaps in the literature, but also data requirements that will facilitate further research in this area. The participation of representatives of the policy-making community will allow the discussion to include their policy priorities while understanding the data needs identified by researchers. The discussions during the workshop are expected to promote future collaborations between researchers, with policy-makers and NGOs, as well as to chart a path forward with identified research and data needs.Disseminate the workshop papers and a synthesis paper that integrates the overarching themes and outcomes of the workshop discussion through a special issue of the Agricultural and Resource Economics Review, published by NAREA and Cambridge University Press, as well as on the Association's website.Expected Benefits and OutcomesThe workshop is expected to have numerous benefits. First and most directly, the workshop will enable attendees to learn about and evaluate recent advances in theoretical and empirical research in the areas of regulation, innovation, and governance in rural communities. With presentations from premier researchers in the field, participants can learn state of the art quantitative and qualitative techniques and can help identify existing research gaps and areas for future collaborations. Second, the policy roundtable can also provide participants a venue to present the policy significance of their research and convey their data needs to relevant agencies, while providing a forum for government and policy groups to communicate their policy priorities related to the workshop topic that have yet to be investigated. This may lead to formal or informal partnerships between the academic community and the government agencies which are responsible for data collection used by researchers and for implementing policies that result from those research. Third, the broader scientific community will directly benefit from these outcomes as well, as research findings and new methods will be reported in a special issue of the ARER following the model of prior NAREA workshops. Lastly, the outcomes of the workshop are of direct or indirect relevance to a broad range of groups including rural community advocates, environmental advocacy groups, local businesses and technology companies, national and local policymakers, and others.Proposed BudgetEvery year, to finance workshop expenses, the NAREA workshop organizing committee seeks external funding to support the workshop. The dual roles of this outside funding are to encourage diverse, high-quality presentations and paper submission as described above, and to defray costs, including article processing fees, so that conference attendees and presenters are encouraged to contribute. At least two recent workshop (2012 and 2018) received a NIFA conference funds. Details of the proposed budget are below. We currently have no fuding for the workshop other than the registration fees which we will set to break-even.Table 1. Proposed Budget ItemsAmountWorkshop Venue and Food$ 3,000.00AV Expenses and Meeting Rooms1,000.00Food2,000.00Printing and Supplies$ 500.00Plenary Keynote Speakers$ 4,000.00Travel and Lodging1,000.00Honoraria and per diem3,000.00Participant (Partial) Support$ 12,500.00ARER Publishing Fees$ 15,750.00TOTAL$ 35,750.00The rate for meeting rooms is the expected reduced rate due to the linked format with the NAREA annual meeting that precedes the workshop. The food expenses cover pre-dinner drinks for workshop participants (1 day), lunches (2 days), breakfast (1 day) and refreshments for 2 half-day sessions. Printing expenses cover expenditures for programs and name tags. The cost for keynote speakers include honoraria for two speakers ($1,500 x 2) and lodging and travel expenses ($ 500.00 x 2). Nominal support for participants include lodging and per diem ($8000=$200 x 40) and travel (airfare for approximately 10 participants: $1500= $150 x 10 and driving costs for approximately 30 participants: $3000=$100 x 30). ARER publishing fees is $1575 per paper, for approximately 10 papers.

Project Methods
BACKGROUNDThe proposed research workshop will build upon a seventeen year history of successful annual research workshops addressing related themes in natural resource, environmental and agricultural economics and policy.Following the general model of prior NAREA workshops, the proposed workshop will commence just after the 2019 NAREA Annual Meeting in Portsmouth, New Hampshire. The linked format provides an opportunity for workshop and conference attendees to participate in both events. The format also allows for cost-savings for the organizers by enabling the workshop to leverage facilities and resources of the NAREA Annual Meeting to reduce costs and promote cost-effective attendance of relevant experts. As a result, meeting space, publicity and other needed services will be available to the workshop at little or no additional cost. To promote graduate student attendance, funds will be offered to offset travel expenses. Nominal registration fees will also be charged for participants to ensure their commitment to the workshop and to help defray some costs of the event. To encourage active participation by the most highly qualified individuals, honoraria will be offered to invited plenary speakers.ORGANIZING COMMITEEThe organizing committee is composed of four individuals with different specializations in the field of environmental, natural resource and agricultural economics and rural development. Following the model of prior NAREA workshops, the committee will coordinate closely on all decisions related to workshop logistics and content. The Organizing Committee includes the following members:Donna Ramirez Harrington is an Associate Professor at the University of Vermont, Department of Economics.Martin D. Heintzelman is the Fredric C. Menz Scholar of Environmental Economics in the Clarkson University School of Business and the Institute for a Sustainable Environment.Shadi Atallah is an Assistant Professor of Environmental and Resource Economics at the University of New Hampshire.Stephan Goetz was the head of the Organizing Committee of the NAREA 2018 Workshop.The organizing committee is repsonsible for inviting speakers, creating a system for reviewing abstract submissions, designing the program and making the arrangements with the conference committee preceidng the workshop.TIMELINE AND TASKSThe timeline outlines the expected tasks and decisions from the preparation of the workshop to the publication of the ARER special issue.DatesActivityOctober 2017 toJuly 2018 (completed) Finalize organizing committee and post preliminary announcements.Draft preliminary agenda.List potential plenary speakers and make preliminary venue arrangementsApply for NIFA support.August 2018 toSeptember 2018Finalize workshop announcement.Draft and finalize call for papers.Coordinate linkages with preceding NAREA Annual Meeting.Coordinate lodging arrangements.Finalize commitments from invited speakers.October 2018 toDecember 2018Issue call for papers and announce 2019 NAREA Workshop.Solicit applications for graduate student travel assistance.Coordinate Selected Papers Committee.January 2019 toApril 2019Review selected papers (abstracts due January 30).Issue accept/reject notices.Post registration forms and related information on NAREA website.Registration opens.Coordinate graduate students to assist during the workshop.Plan conference working sessions and finalize session leaders.May 2019 toJune 2019Early registration deadline (May 8).Deadline for graduate student travel assistance requests (May 8).Finalize logistics with venue including audio, visual, and catering arrangementsSelected papers due.Prepare all final workshop materialsWorkshop takes place (June 11-12).July 2019 toSeptember 2019Revised papers due to ARER for special issue (1 August 2020).Issue honoraria to invited and selected paper presenters.October 2019 toDecember 2019ARER peer-review process for all selected papers.ARER editorial review for all invited papers.Arrange for advance page charges to be paid to ARER.January 2020 toJune 2020Proposed grant funding ends (June 2020).Publish ARER special issue (August 2020).ANNOUNCEMENTS AND INVITATIONSAnnouncements and invitations for the proposed workshop--including the call for submitted papers--follow methods used successfully in prior NAREA workshops. Examples of past announcements and calls are found in NAREA newsletters from 2002 to 2018.(www.narea.org/newsletters.html). Following the approach of prior NAREA workshops, initial announcements of the workshop were posted in websites and newsletters of organizations including NAREA, the Agricultural and Applied Economics Association (AAEA), the Association of Environmental and Resource Economists (AERE), and the International Society for Ecological Economics (ISEE). Announcements will also be posted on ResEcon - The Land and Resource Economics Network website, through the Agricultural Economic Chairs' network and through contacts with agencies such as USDA/ERS and US EPA. Preliminary announcements have already appeared in the NAREA Newsletter, and will be placed in additional venues as details and dates are finalized. The final, detailed workshop announcement--including the registration details and forms--will be posted on the NAREA website in January/February 2019, with links and announcements posted in the above-noted venues (contingent upon on the time at which different newsletters are issued). Based on the selection process, individualized invitations to selected paper presenters will be issued via email by March 2019.REVIEW AND SELECTION OF PAPERS The proposed workshop will include approximately 12-16 selected papers for presentation. The formal call for papers will be issued during October/November 2018 and posted in the same venues identified above. Paper abstracts were due on February 18, 2019. Authors first submit extended abstracts of no more than three pages in length. Abstracts are currently under review for technical merit, innovativeness and relevance by a Selected Papers Committee recruited by the Organizing Committee. Abstracts will be ranked based on review results, with the top 12-16 selected for presentation. If we receive a larger than expected number of high quality papers, then we will consider modifying the program or extending the workshop. Authors of accepted abstracts will provide complete papers by mid-May 2019. Authors who do not deliver papers by the deadline will be excluded from the conference. Comments received at the conference will then be integrated, as appropriate, into final versions of each manuscript.ARER SPECIAL ISSUEThe NAREA workshop model also follows the following plan for dissemination and publishing of research and policy discussion after the workshop: Invited and selected papers from the annual workshop are submitted to NAREA's journal, Agricultural and Resource Economics Review (ARER), for consideration for publication and full peer review. For the 2019 workshop paper submissions, Harrington and Heintzelman will serve as special guest co-editors. Typically, eight to ten submissions make it to the peer-review process and are eventually published in the journal. After the workshop, authors will be expected to submit final, revised manuscripts to the ARER for publication in a special issue devoted to workshop papers by August 1, 2020. Following the model of prior NAREA workshops, all submitted papers will be subject to a complete peer review according to the journal's established standards. Only those papers meeting the journal's high standards, based on peer review results will be included in the special issue. The article processing fees for all accepted papers for the special issue of ARER will be covered by the requested funds. Each of the published papers will include explicit reference of the funding support received by the conference.

Progress 06/01/19 to 05/31/21

Outputs
Target Audience:The workshop was designed to promote in-depth dialogue, debate and policy discussions among a small group of invited keynote speakers, selected presenters and other attendees. The workshop attracted experts from the academe, government representatives at multiple levels, NGOs and think-tanks. The presentations and dicussions enhanced our understanding of the interrelated nature of innovation, regulation, environmental quality, and economic development in rural communities in the United States. Changes/Problems: Nothing Reported What opportunities for training and professional development has the project provided? Nothing Reported How have the results been disseminated to communities of interest?The main deliverable of the workshop was the special issue. The results and knowledge from the research and the workshop are disseminated through the special issue of the ARER. What do you plan to do during the next reporting period to accomplish the goals? Nothing Reported

Impacts
What was accomplished under these goals? Objectives 1 and 2: (Accomplishment Reported in 2020 Progress Report) We brought together 23 participants into the workshop to discuss empirical and theoretical work on environmental regulation and innovation adopted by specific localities in the US. The paper presentations generated a lot of dicussion during the sessions and throughout the duration of the workshop. Of the 23 participants, 2 were keynote speakers, 11 were paper presenters. The rest were active scholars in the field of environmental regulation and innovation. Each keynote address bookended the workshop.The introductory keynote was given by Kathleen Segerson from University of Connecticut. She provided context to disparate local environmental regulations by discussing how inter-jurisdictional spillovers versus spatial heterogeneity give rise to arguments favoring either federal versus local control over regulations. The closing keynote was given by David Popp from Syracuse University. To offer innovation as a solution, he discussed the general lessons from energy-related innovation, much of which arise from his own large body of research and applies them to local jurisdictions to promote not just diffusion or deployment of innovations but also development of new technologies. Objective 3: (Accomplished in Calendar Year 2020 - New to Final Report) During the reporting period, under the supervision of the project director who served as guest co-editor, the following were publised as as 2020's 2nd Issue: Special Issue on "Environmental Regulation and Innovation in Rural Communities" in NAREA's journal, ARER: 5 peer reviewed articles, 2 invited pieces from the keynote speakers and one foreword from the co-editors. The pieces cover a wide range of topics in environmental regulation from land use, water, to energy and innovative technological and governance related solutions. The link to the special issue and the citations to each paper are indicated on the "Products" page and copied here: The special issue can be found at: https://www.cambridge.org/core/journals/agricultural-and-resource-economics-review/issue/1DCC23958FF7EB7E8FD45F2F47EDF9F7 The citations of the articles are as follows: Harrington, D., & Heintzelman, M. (2020). Foreword. Agricultural and Resource Economics Review, 49(2), 193-195. doi:10.1017/age.2020.16 Segerson, K. (2020). Local Environmental Policy in a Federal System: An Overview. Agricultural and Resource Economics Review, 49(2), 196-208. doi:10.1017/age.2020.14 Sharma, B., Cho, S., & Hellwinckel, C. (2020). Optimal Budget Allocations for Protected Area Acquisition To Store Carbon in a Local Community Under Economic Growth Uncertainty. Agricultural and Resource Economics Review, 49(2), 209-236. doi:10.1017/age.2020.10 Yehouenou, L., Grogan, K., Bi, X., & Borisova, T. (2020). Improving BMP Cost-Share Enrollment Rates: Insights from a Survey of Florida Farmers. Agricultural and Resource Economics Review, 49(2), 237-269. doi:10.1017/age.2020.5 Liu, H., & Ruebeck, C. (2020). Knowledge Spillover and Positive Environmental Externality in Agricultural Decision Making under Performance-Based Payment Programs. Agricultural and Resource Economics Review, 49(2), 270-290. doi:10.1017/age.2020.18 Fu, G., Liu, P., & Swallow, S. (2020). Effectiveness of Public versus Private Ownership: Violations of the Safe Drinking Water Act (SDWA). Agricultural and Resource Economics Review, 49(2), 291-320. doi:10.1017/age.2020.4 Aleti, S., & Hochman, G. (2020). Non-Constant Elasticity of Substitution and Intermittent Renewable Energy. Agricultural and Resource Economics Review, 49(2), 321-359. doi:10.1017/age.2020.7 Popp, D. (2020). Promoting Clean Energy Innovation at the State and Local Level. Agricultural and Resource Economics Review, 49(2), 360-373. doi:10.1017/age.2020.15 Budget During the reporting period, the remainder of the budget (19, 506.2) was spent on publication fees ($7,875) and honoraria (11,631.2) to the authors of the published (peer-reviewed and invited) pieces.

Publications

• Type: Journal Articles Status: Published Year Published: 2020 Citation: The special issue of ARER in 2020 contains 5 peer reviewed articles which were presented during the workshop, 2 keynote papers from the workshop's keynote speakers and foreword from the editors. The two keynote papers bookend the special issue. The paper by Segerson discusses environmental federalism; the paper by Popp focuses innovation as a solution to local environmental problems. The special issue can be found at: https://www.cambridge.org/core/journals/agricultural-and-resource-economics-review/issue/1DCC23958FF7EB7E8FD45F2F47EDF9F7 The citations of the articles are as follows: Harrington, D., & Heintzelman, M. (2020). Foreword. Agricultural and Resource Economics Review, 49(2), 193-195. doi:10.1017/age.2020.16 Segerson, K. (2020). Local Environmental Policy in a Federal System: An Overview. Agricultural and Resource Economics Review, 49(2), 196-208. doi:10.1017/age.2020.14 Sharma, B., Cho, S., & Hellwinckel, C. (2020). Optimal Budget Allocations for Protected Area Acquisition To Store Carbon in a Local Community Under Economic Growth Uncertainty. Agricultural and Resource Economics Review, 49(2), 209-236. doi:10.1017/age.2020.10 Yehouenou, L., Grogan, K., Bi, X., & Borisova, T. (2020). Improving BMP Cost-Share Enrollment Rates: Insights from a Survey of Florida Farmers. Agricultural and Resource Economics Review, 49(2), 237-269. doi:10.1017/age.2020.5 Liu, H., & Ruebeck, C. (2020). Knowledge Spillover and Positive Environmental Externality in Agricultural Decision Making under Performance-Based Payment Programs. Agricultural and Resource Economics Review, 49(2), 270-290. doi:10.1017/age.2020.18 Fu, G., Liu, P., & Swallow, S. (2020). Effectiveness of Public versus Private Ownership: Violations of the Safe Drinking Water Act (SDWA). Agricultural and Resource Economics Review, 49(2), 291-320. doi:10.1017/age.2020.4 Aleti, S., & Hochman, G. (2020). Non-Constant Elasticity of Substitution and Intermittent Renewable Energy. Agricultural and Resource Economics Review, 49(2), 321-359. doi:10.1017/age.2020.7 Popp, D. (2020). Promoting Clean Energy Innovation at the State and Local Level. Agricultural and Resource Economics Review, 49(2), 360-373. doi:10.1017/age.2020.15

Progress 06/01/19 to 05/31/20

Outputs
Target Audience:The workshop was designed to promote in-depth dialogue, debate and policy discussions among a small group of invited keynote speakers, selected presenters and other attendees. The workshop attracted experts from the academe, government representatives at multiple levels, NGOs and think-tanks. The presentations and dicussions enhanced our understanding of the interrelated nature of innovation, regulation, environmental quality, and economic development in rural communities in the United States. Changes/Problems: Nothing Reported What opportunities for training and professional development has the project provided? Nothing Reported How have the results been disseminated to communities of interest? Nothing Reported What do you plan to do during the next reporting period to accomplish the goals?For the next reporting period, we will complete the peer review process and publish the accepted papers in the special issue of ARER: "Environmental Regulation and Innovation in Local Communities" in August 2020. This will be the main form of dissemination of the workshop's output and will accomplish Objective 3.

Impacts
What was accomplished under these goals? Objectives 1 and 2: (Accomplished) We brought toogether 23 participants into the workshop to discuss empirical and theoretical work on environmental regulation and innovation adopted by specific localities in the US. The paper presentations generated a lot of dicussion during the sessions and throughout the duration of the workshop. Of the 23 participants, 2 were keynote speakers, 11 were paper presenters. The rest were active scholars in the field of environmental regulation and innovation. Each keynote address bookended the workshop.The introductory keynote was given by Kathleen Segerson from University of Connecticut. She provided context to disparate local environmental regulations by discussing how inter-jurisdictional spillovers versus spatial heterogeneity give rise to arguments favoring either federal versus local control over regulations. The closing keynote was given by David Popp from Syracuse University. To offer innovation as a solution, he discussed the general lessons from energy-related innovation, much of which arise from his own large body of research and applies them to local jurisdictions to promote not just diffusion or deployment of innovations but also development of new technologies. Objective 3: (In Progress) During the reporting period, NAREA's journal, ARER recieved 6 submissions from presenters for peer review and 2 invited pieces from the keynote speakers for the special issue dedicated to the 2019 workshop. Five of those 6 are currently in the peer-review process scheduled for publication in August 2020. The pieces cover a wide range of topics in environmental regulation from land use, water, to energy and innovative technological and governance related solutions. The guest co-editors are the co-PIs of this grant. During the reporting period, pasrt of budget was been spent on (1) covering travel and lodging of all participants $6,705.12 (2) travel, lodging and honoraria for the keynote speakers: $3,199.79 (3) supplies: $321.73 (4) vendor fees: $4,609.35 In the next reporting period, the remainder of the budget ($20,914) is allocated for publication fees and honoraria to the authors of the published (peer-reviewed and invited) pieces.

Publications