Council In the News Index   

 

Danvers High on Tech Scale (Boston Globe)

By John Laidler, Globe Correspondent | April 16, 2006

When it comes to offering high-tech firms what they need to grow and expand, Danvers almost can't be beat. At least that's the view of the Massachusetts High Technology Council, which ranked Danvers seventh among the state's 351 cities and towns in promoting technology development and growth.

Despite having a higher tax rate for businesses, which the council counts as a weakness, Danvers achieved its high overall ranking by faring solidly in other categories, from housing activity to student test performance and the amount of developable space.

''Danvers is probably known more for having car dealerships on Route 114 and retail malls -- and we do," said Town Manager Wayne P. Marquis. ''But the diversity some of these businesses bring is very helpful, because if there's a down economy in one area, there may be an uptick in another."

Other communities considered fertile ground for high-tech businesses include Newburyport, which ranked 33d, Manchester-by-the-Sea (43), Gloucester (49), and Beverly (54). On the other end of the scorecard are Peabody (323), Chelsea (329), Winthrop (331), Melrose (334), Essex (340), and Saugus (347).

The rankings can be found on a new website launched recently by the council, which comprises chief executive officers from the state's top technology firms. The group plans to update them at least twice a year, according to council president Christopher R. Anderson.

High-tech companies already ensconced in Danvers include Abiomed, which manufactures artificial heart products. Marquis said the town is seeing active expansion in the medical field, with Partners HealthCare and Northeast Health System both in the process of building major outpatient centers.

''The most obvious thing is the geography," Marquis said of what gives Danvers an edge in attracting high-tech businesses, citing the town's access to major roadways. He said Danvers also offers a ''well-educated community."

In Peabody, Mayor Michael J. Bonfanti said his city also has much to offer to prospective businesses, which is why he finds Peabody's ranking of 323 on the council's scorecard difficult to comprehend.

Some of the criteria ''they use just don't seem to make sense," Bonfanti said. ''Quite frankly, we don't give it much credence."

Peabody has seen some job creation in the past few years, including in the health field, Bonfanti said. ''A lot of it has to do with what real businesses look at."

In addition to its access to three major highways, he said, Peabody offers a good workforce and relatively low taxes and low electricity rates through its municipal utility.

Anderson said Peabody's overall ranking was hurt by the city's split tax rate, with its businesses taxed at a significantly higher rate than residents.

Another factor that weighed against the city, he said, was its MCAS results, with just 54.1 percent of its 10th-graders scoring advanced or proficient on the standardized test in 2005. MCAS results are important, Anderson said, because companies rely on an educated workforce. A strong school system is also helpful in attracting key employees, he said.

But Anderson pointed out that Peabody fared relatively well in other categories, including its number of housing starts in 2004.

''A company that has as its major priority an environment that supports development would find Peabody a positive place, if it discounted having to pay 100 percent more in property taxes than residents," he said. ''So this metric can be used as a starting point. And individual circumstances dictate which of those items become a priority item."

Anderson said the municipal scorecard, which uses 10 criteria to judge