Who is with us today, mayor . [applause] thank you, maryland drew, president landrieu. For the opportunity to lead our new Automation Task force and for your leadership of the conference. We had a great meeting with the task force on automation, talking about different ways that automation will change our work as employers and enterprises, as pollymaking bodies, as economies and as communities. Were looking forward to convening again as a task force this spring and would welcome any mayors or partners who would like to be part of that conversation but before we do that we have an opportunity right here to talk about one of the most interesting and important questions, not unrelated to automation, that affects our work as mayors Going Forward and that is the future of work. Were starting this conversation at a time that we are rethinking how and where people work, and how entrepeneurs can collaborate in their work spaces. This is something that our Title Sponsor knows an awful lot about since they began in 2010, has changed how and where people go to work designing a Global Network of shared Office Work Spaces and office surfaces for individuals and their businesses. It allows entrepreneurs to get off the ground, out of the garage without worrying about filling a whole office or managing overhead expenses and it brings entrepreneurial people together in new ways. The concept has taken off in a number of cities around the country, actually just experienced it the other day. I came to what i sort of think of as my Washington Office for some of my political activities, i was presented with this black card. It is not that black card but it has certainly been very helpful for us to take advantage of the Flexible Work space that exists. So we are appreciative of that. And very glad that we works cofounder and ceo, adam human human newman is here for a conversation about how our cities can prepare for the future of work. The conversation will also involve our president , new orleans mayor, mitch landrieu. Im so glad Walter Isaacson will be here guiding that conversation. Walter isaacson is wellknown from his leadership roles from the Aspen Institute to the media world and books that make him one of our great public intellectuals and im most attuned to probably more obscure item on his resume. He and i both benefited from a lifechanging scholarship to Pembrooke College oversees which was all alma mater of one of the great mayors who did policy making body down the street here, richard lugar. Please join me welcoming our panel. Walter isaacson, maryland drew and adam newman. Thank you. You sit in the middle. Thank you. Welcome, i finished reading a book on Leonardo Da Vinci. When he was 12 years old he came from at that small village, to the town of florence. All sorts of young people were flowing into that town because it had become a mecca for creativity. Leonardo was a bit of a misfit. Was illegitimate, gay, lefthandeds vegetarian, a artist who loved engineering but totally embraced by that city. Because the Printing Press had been invented and publishing houses were there, all sorts of new forms of banking brought people from the fall of constantinople bringing algebra, all these things were mixed together in a cauldron of creativity. Now 500 years later that is happening in cities like new orleans and other places around this country and part of it is creating spaces where people can live, work, and learn together. That is what leonardo did when he joined this wonderful workshop that verocio had in florence that was building the dome and painting great paintings, that is what somebody like adam newman by creating we work has brought together people for a whole new type of way of envisioning work. Adam, let me start with you, if i may, is that all right . Youre the boss. Let me start with you i just heard it described as sort of a coworking space but to me we work is little more than that, isnt it . It really is. Thank you, everyone, for having me here, i appreciate it. I started we work in 2010. Israeli immigrant. Came from israel and grew up in kibbutz. For those know what a kibbutz is, its a commune. Everyone works toward one cause, everybody makes same amount of money, everybody shares services. Grew up in the kibbutz, i always loved it, i didnt feel it was fair the guy works 16 hours, and the guy working eight hours were getting the same. I loved social aspects of everybody coming together. I loved the community. When i came to the u. S. , as amazing as everything was here i was lacking the community a little bit especially in new york city. As big as the city was i felt a little lonely, i asked my sister at the time living here before me, my friend, is this american thing or human nature thing . People of america dont want to be together . No, no it is cultural thing. When you go up the elevator youre not supposed to go up and talk and down the elevator. In israel, i need salt, i asked for the neighbor, if the neighbor is not there, i take the salt, hopefully i have give it back. Quickly i realized one thing myself and my friends could bring to this amazing country is a little bit back the sense of community that used to be all over the place. And for what weve reason we got a little disconnected. We work at a place people make a love, not just a living. In wework we dont discriminate between age, gender, race, religion. As long as you understand youre part of something greater than yourself. Treat other people the way they want to be treated is utmost important. As long as you understand giving is receiving youre a member of the we generation. Anybody that practices, that we done it now in businesses and done it now no homes is not only better for it, but cities, but the cities are better for it. The staff is unbelievable. How many cities are you in. That is a great question, i think, dont hold me to it, 75 cities, 25 countries, 45 different languages, 250,000 members and counting. You just bought the lord Taylor Building in the middle of manhattan. Through a subcompany, a parter of ours we control a big portion of, bought the lord Taylor Building, the reason we did that, this is all part of the story, retail, thought in the past, take a beautiful buildings, lock all the windows, let no light in, sell a lot of stuff to people that might want it or not and that is the retail experience. As millenials are starting to be the biggest shoppers, by 2020, millenials are over 50 of workforce, they dont want to buy that way. Theyre buying online. Theyre looking for experiences, intention and meaning. A beautiful building like lord taylor will be useless. Well reinvent it and rework it, bill small and Large Businesses into it. Well design it in a different way. Well reinvent the retail into an experience that is actually going to up lift people as opposed to just draining their wallet. Maryland drew, how does that fit into the return of Creative Classes to cities . That is a great question. First couple housekeeping items. First lady is with us. I will be in office 100 more days. Mayorelect of city of new orleans is here. Latoya, stand up. Lo toy i cant cantrell. [applause] a lot of millenials. A lot of millenials. She beat everybody with the millenials. She is a great leader. She will be a great mayor. Walter, to your question, the question was really interesting one, what are we doing in new orleans to incent or to create a space for the Creative Class . Many of you here with us this morning for the arts awards. We talked about art being a creator of life. What you are now beginning to see in the economy are mayors starting to think about Economic Development in a couple of different ways. Traditional way is to try to give away as many incentives as you can to attract a big company that already has jobs to come into the city and change the nature and character of your city which will continue to be a Economic Development mission. The other is actually have people who are there beginning to create out of nothing and trying to create a space where you incent that to happen, has as much to do, adam, not just the thing that theyre thinking about, but the space that theyre working in. So richard coined phrase Creative Class. We took it in louisiana and turned it into creative cultural economy. How do you grow something out of nothing that comes from intellectual capital and creating spaces to do so. Now weworks has evidently taken this to different level. Created an economic model. People that want to Work Together come and Work Together is operative here. It is called weworks, not me against you works and collaboration an innovation people share ideas, share space, find a way, i know the next panel will talk about this, taking that idea and intellectual capital into a product or into Something Else and scale it, that kind of space. So in new orleans we having called the idea village which a space people help do this we have something called the bio innovation center, Whose Mission to create an environment that can take ideas from the two new University Medical centers we have, incubate them to move them in a higher level. Weworks turbo charges that idea. New orleans is one of the great places we have some progress. Can i just make one point and this is good for everyone here. We used to think, we were taught we should chase these big corporations, give them tasking centers, convince them Economic Development, come to our city, if you come to our city things will work out. I have a new plan for you guys. What if instead of chasing the organization, from now on youre not only oversee your city, but also chief brand officer. What does that mean . You control the brand of your city. Millenials in the we generation contribute a lot to the personal brand where they live. If your city is the most attractive place for the we generation to live, if they like the culture, if they like the fun, if they like the environment, everything about your city they will come there. If they come there, enterprise which chase you. Take new orleans as example. You guys are already cool. You have great food. You have great music. There is a lot going on, back in the tragedy the way your links came together as a community was inspirational. We all looked at it. That is the kind of city we want to be part of. If new orleans, apply this to everyone of your cities, if new orleans is able to celebrate its strength, make its culture the main point, it will attract millenials, will attract the we generation and google will come, expedia will come. Amazon will come. Amen. I think he is exactly right. How did the tragedy of katrina helped people pin back together physically into the footprint of the city, realized literally and figuratively were in the same boat how did that change. That is interesting. We suffered one of the great tragedies, katrina, rita, gustav, national recession, bp oil spill. When there is tremendous tragedy there is immediate and great need for people to come back together, and to see each other and to feel each other. Of course it reminded us of something that we should never forget. Not the physical structures of our space make the cities, but community and ability to Work Together. That incredible need drove the people of new orleans to think about not building city back the way it was not the night before the storm destroyed everything. How to be a more creative an open space. What it is what hard to do. I think one of the things you are attesting to is that theory of living and consequently Economic Growth and development by creating the space where everybody wants to be is a model we think will provide to create jobs for the country. Tell me how you see it as a larger ecosystem not just work but living even learning Everything Else being part of what a millennial the one they want to say, we talked a lot about millennials and with a lot of respect to the generation i like to call it the regeneration. Really as i said any of you wants to be part of something greater than themselves and understand the economy is the member of the wii generation. Lets bring them in a together. In a persons life most Important Pillar of our life is where we live, who we are with, who are kids and friends are, where we work and then how we study, we learn, grow as human beings. I like to say get to prioritize them first person growth, then your partner, your spouse, then your kid, then friends come up business. First purpose, then people than product. The profits will follow. When i think of we i think evan system that brings it all together. The fabric of that ecosystem happens at the building, the neighborhood and at the city. I think the next 100 years everyone sitting here, you are the leaders of the future, city, city states is where its at. Governments from all over the World Without pointing fingers are having a very difficult time. I think as a mayors and leaders, and ceos it is our responsibility to set the trend of the future and the trait is we versus me. By 2030, 60 of the population will move into major cities. Thats 1 billion people moving. Most cities are under billed 3050 . This is. This is in the next 12 years. You have to reinvent how people live. You have to rezone, reassess and reinvent where people work. One last thing, we have numbers behind it. 100,000 ft. 2, 2000 employees will create 700 jobs in your city just to build it. Then 1000 jobs a year inside that we work, 20,000 jobs for 20 years just one occasion. If you bring this. 10 locations we will create 200 jobs over the next ten years. It can go bigger and bigger. With will bring your place to live, will bring education and this is important we will bring corporate america. Why . Corporate america saves 18,0000 per employee when to put in that we work. Who is your biggest client for we work and a place like new york . Is a young entrepreneurs or big corporations . So as of two years ago, 98 young entrepreneurs. As of today 30 are enterprise, corporate america. 23 of all of all fortune 500 companies are in we work. In other words, a fortune 500 company like amazon or walmart, instead of building a building industry will say id rather even more. If you want to settle, they will put in a we work, redo their own hq didnt ask us to do. Today we dont even take the space. We will be designed to space, to play our technology, and then put our community speeders what you do that for city hall . I would love to do it for city hall. For any mayors were interested in that its very simple. Fill out the form. We will talk about that because i know the mayor elected you just briefly for we were talking about the need for a new city hall, the old charity hospital, the need for incubator. What would you be open to a new orleans . First of all the our city halls in america that are gorgeous and wonderful. Unfortunately new orleans is not on the top 1000 list of that. We have an old tired ugly building that we have put a doll in because weve been busy rebuilding our schools, health clinics, ports, et cetera, et cetera. There will come a time at the time is not too far in the distant future where will have to rebuild a government complex which happens to be in the downtown of new orleans and probably not in the best space. A huge opportunity for Economic Growth and development in the night block surrounding with the physical structure of the city hall is. There is by the way an old with the cultured hospital which is one of the finest buildings, and art deco building that you would long build a that you would long build a long time ago but using structures like this across the country, its 1,000,000 ft. 2 and if the building were put back into commerce in some form or fashion in the way the sport of municipal complex or misuse them it would help recreate downtowns like many mayors in america have done in their city. There are great opportunities for that but what hes talking about is common space opening up giving people the ability to create and then economic to government coming from that. I think theres a lot of wouldnt it be nice to have the entrepreneurs and the permitting process is colocated . I think we have to think and what the city hall is Going Forward. Used to be a physical building that citizens had to come to every day. Im not at all sure your child that model Going Forward into the future as Technology Allows us to be more diversity if you would think about building a city hall sometimes ago, how many employees, how many rows, how many square feet do i need . It may be very different with the city hall of the future looks like. A new orleans its always been on the cutting edge of innovation and change. Adam, put you on the spot, are you willing to come into new orleans to do that . Are we going to be partners . If we are partners, for the thing about we work widow nadine favors. We are we are not asking for money. All we want to dues, and partner and change the world together. We a strong business model. If we are partners and, yes, i will come to new orleans. We work, we work and live in city hall. An important point. Ive been to some of your city halls and their beautiful by that doesnt mean the Energy Insiders buzzing. To attract the young talent, that within reshape policy and we would need for the future we have to create in a private that its writing. They can go work at google and amazon. They should come work at city hall. The reason they do millennials are noted shares experience in meeting more than material goods. Just give them a story they can relate, show them your Mission Driven and they will come and join. I think even though some city halls look nice and some dont, until we have that buzzing apartment, the smartest youngest most talented individuals in this country want to go work for, you havent fully succeeded. Let me put an exclamation point on this. I do think probably not is the time to think about we designed this basis work in and how citizens interact with us. I think the possibilities are really infinite and how we reconnect physically and then in realtime and making sure city halls are places people like to come. If they come there they have good experience. It is absolutely possible model for a Public Service but function and design. Walter, which when i talk about because both of those things can intersect when you talk about steve jobs and the work you did at apple. Our next panel in about five minutes is j. D. Vance, my old mentor and friend steve case. And it ties into what adam said i dont want to make this the last question, which is where becoming it only a nation but a world of city states. Which gets us back to where i started 500 physical with florence with florence being a great city state. What does we work, what does e u. S. Conference of mayors do in order to make it so that the driving force of creativity is what theyre talking about, the rights of the rest were every city and a recount in america gets to be its own city state and attract the automobile . It is critically important as mayors are here talking to the lives of washington to see about what role the federal government plays, that the country understand mayors are not waiting on washington, d. C. To be create horse. 85 of the people in the country are living in cities. Most of the financing happens on the grounds in city kind of financial tools to be able to invest in the cities important but the model that adam talked about before, which, one of which is to incented people to come in by giving what with puc resources and creating jobs at work, or being aggregated space where you create and you grow from intellectual capability, your raw materials, raw talent. That is the way of the future. I think either by purpose or intent as washington becomes smaller or wants to become less connected to the ground that creativity will find its way coming out of the city in america which by the way has been occurring for the last two to 15 years anyway and we need to continue to do more of that. [applause] bravo. Thats very, very well stated. I will and because i dont want to repeat. A few more things. If city states are the future then we have no problem that the mayor of new orleans will have great relationship with the mayor of london and shanghai, and mayors i dont care whats happening politically between governments can have amazing relationships. This is an important point to make. Not limited to just one country. Start thinking about that. Ill give you a local example. Im very close to the mayor of jerusalem and i sat with him and the cibola problems. My problem is bigger. Everybody thinks the problem is bigger. Well, i can prove my is bigger. Heres what im dealing with. I have nonreligious jews, religious jews, muslims, all living in the same city, and citizens together, living peacefully actually peer where the 18th save a city in the world all Things Considered compared what people think. Thats very impressive. And yes, there are fights and this and that but when they need to pay a parking ticket, and we stands in line together. I found that to be fascinating. He chose me to help them rethink city hall. One of the solutions we came up with is as you entered city hall from outside, choosing art that represents each one of those cultures. We are showing every culture that weve taken so much time to care about whats important to you that by the time you walk into the space itself you, give energy. As you think about the relationship between you and citizens, its relationship between you and the world. We can be the example for acceptance but. We can be example. We can be the place where everything the person who used to not fit in, not accepted, not a part of whatever it is didnt fit the mold of whatever that mold is, just like Leonardo Da Vinci didnt fit that mold, we can be the place that embraces them. If you embrace the creative, embrace the weird, embrace the different you will be so happy with the result because the result is going to be we and the result is going to make your city strong stronger results we every happier. Its been proven thats when the oldest person in a a family ofe universe and family live together, everybody lives longer. Everybodys help you. Healthcare will go down pick all these things we talk about in the world, the amazing thing i feel in his room, a lot of times we dont know where we are, i know what this room is. This room is an opportunity for the future. This room is a grain of salt compared to where we can go. If mayors of this country can set an example in all aspects nudges community and culture but also acceptance, also if we can set an example, if you can set an example, trustee, the whole world is watching and whole world is waiting for you to set the example because america always is on the top. America was always a leader. Adam, thank you. Lets have a little video of we work as we think all of you being on the stage. Thank you. [applause] i think its really hard when youre starting out to follow your dreams. I think its really, really hard. We started, whats appealing about we work for ss company is a life extremely easy. The first building day of ba business is addictive because thats the day when the full trends come into place but the second a reality kicks in. Was my office . How am i going to pay for electricity . What am i going to get sales from . We work we will try to help as much as we can. Focus on doing what you love, create your lights work and let us figure to get the rest. When we first started out we were ten people, crammed into a teeny office and now were 30 people spread out across to beat up offices. On top of that you all the common shared space, kitchens and phone booths and a Conference Room and a big part of the team has taken advantage of the fact that such a community. The ecosystem has provided a really great place for our team to grow. With ari committee company, company that is looking to great opportunity for people to connect. That happens in our physical spaces, the bible great come the energy our members great is something that you feel when you walk in. When we see our members inside of this environment we are inspired to help them. This Bigger Picture of how to make people happy, had we get people to be engaged with their lives . We work is the office space of two more. The future is about life, innovation, creativity. Its going from me to weep if we give you space that will inspire you, uplift you and help you innovate the products of tomorrow. Good job, adam. [applause] i think i stay here. Wow, that was incredible. You have a very bright future. I now want to continue our conversation with the board of work and job creation. I like to call on amy hill, senior director walmart and Public Affairs and government relations. Walmart has been a strong part of the conference of mayors for many years and amy hill as a familiar and welcome present to all of our meetings. Shes here to update us on walmart u. S. Manufacturing Innovation Fund, a major pfizer partnership between the conference of walmart that it is all in an investment of 10 million on Walmart Foundation and research to innovate manufacturing and to create good paying jobs, manufactured jobs in the United States and in the metro areas. Shes here to update us on the dramatic innovations now taking shape. Please help me welcome amy. [applause] thank you so much, mayor landrieu, for that warm introduction. I have the play today to once again update all of you on the conference of mayors and walmart support of the u. S. Manufacturing Innovation Fund. But before i start i do want to take a little moment of personal privilege. Assuming this is still being live streams, i did want to give a shout out to my sons seventhgrade history class back in reno, nevada, who i believe is watching live, so high, joe. [applause] back in 2014 we announce the creation of the fund to invest 10 million over five years for innovations in research and development with universities in your cities with the goal of addressing challenges to manufacturing and the United States. Weve learned a lot over the last few years about the challenges and opportunities facing all of us as we work to bring manufacturing back to the United States. For example, one of the challenges of manufacturing denim is the dying process that makes our bluejeans blue. The current indigo dyeing process thats been used since 1921 is in no way environmentally sustainable or costefficient for the longterm. Recently we visited texas Tech University, one of our Innovation Fund grantees, where a Research Team up and working on a new dyeing process that could potentially be a game changer for the 56 million denim industry. Can we show the video, please . Its one of the three pillars of our economy. Its really where he came from. Its our heritage where right in the middle of the largest cotton patch in the United States so when you think about cotton you think about lubbock. Texas Tech University is approaching the 100th year. Research is an important part of that. We wanted to be leaders in the world and areas related to sustainable uses of the land, and of water which is an important component. And the fiber and fuel. The u. S. Textile Manufacturing Industry is impressed that walmart would provide funding for research on issue that the industry realizes is critically important. That come from the cotton bale, any preparation other goes into making raw cotton yarn. With this process we can develop even pure shades of indigo. We can create a cleaner looking shade without cleaning the cotton. Kind of amazing. Its designed to have an attraction for the fiber. 100 of the tigers on the cotton. The environmental aspect is vastly huge. This Technology Offers the potential for a whole new level of sustainability and a whole new level of operational efficiency. We are very proud of the Walmart Foundation grant, what it has allowed us to do. I think this is the ideal place for that kind of research to happen. Im thankful for this grant and the opportunities it provides for us to continue that research. Con is one of those places that we lead the world. We are proud of that relationship between tact and our producers, between tech and industry. And certainly between texas tech and our community. They [applause] thank you. The mayor is passionate about his community and investment in technology that come out of his city. As mayors we encourage all of you to embrace the research and Technology Like this so that we can turn these advancements into actual Economic Developments for communities around the u. S. Which is why we recently announced a policy roadmap to where you renew u. S. Manufacturing outline steps, ten policy levers that we think will help more than 300 billion to the United States of the 650 billion in consumer goods that are currently imported. As Innovation Funds projects continue to come to fruition and we push for renewed u. S. Manufacturing, we expect to have more Great Stories like this, potential game changes in the manufacturing technology. So what you again thank the conference and all of you mayors for your support in this very special endeavor. Thank you so much. [applause] thank you so much. I know we are moving kind of fast but in case anybody miss the nuance, added that you just saw is an immigrant who is creating a lot of great jobs in the United States of america. [applause] and usually based on a theory that were all better when we do together and diversity is a strength and not a weakness because people are looking for Creative Spaces where they can find community and common purpose. I want to conclude our session with a discussion about entrepreneurship and creating opportunity across the United States. Adam talked about the need to create the space and the ability for people to be a a place whee they can start jobs. Steve case is here with us today with j. D. Vance to talk about actually how you finance it and how you pay for it. So the next Major Company that can start in the United States of america can actually start anywhere. Not just in coastal megacities. Our next guests have been leading the way to spotlight of cities of all sizes are growing our jobs and economy through entrepreneurship. So steve case as you know is the chairman and ceo of revolution, a washington, d. C. Based Investment Firm he cofounded in 2005. You may remember in his other life that he was the cofounder and ceo of america online, otherwise aol, which you know played a key role changing our world. Steve launched rise as a National Effort to engage in a local start of a consistent and connect entrepreneurs with their communities. J. D. Vance for you all know or if you dont youll get to know him is an author, Venture Capitalists and the managing partner of the rise of the rest fund. The New York Times bestseller in 2016, hillbilly elegy a memoir of family and culture in crisis which if you havent read, go get it, pick it up and repeat what are the best books ive ever read. Open a window to the White Working Class and the values and impacted his upbringing and the relation to the social problems that were having in america that he is having in his ohio hometown. As you know Walter Isaacson is going to rejoin us to moderate that conference pick a couple of months ago walter had steve did it and invited me to come here we talked about this very issue and asked steve to come work with us. He told me at the time he is going to put together an organization that is going to great entrepreneurship funds, mezzanine all across the United States of america, he and jdr exactly that. He hes here to share with us te work they have done an opportunity of the cities had to work with them to get this done. Thank you guys so much. Steve case and j. D. Vance. [applause] so, steve, ive been able to get on the bus with you. Theres an old jack like him iff you on the bus or you are off the bus. And your bus has gone to 33 cities in this rise to the rest. Tell me how that started and what it is. Personal its great to be here, thank you, but invitation making sort of entrepreneurship drinks the french quarter. The fact it is a topic youre all focus on is important. If you look at the data that goes back your question, i was asked by president obama to share Something Else start of the american was on his jobs counselor did some work around entrepreneurship. Some of the data that was startling, but we knew it if i it, which is essentially all the net job creation was coming from startups. Not from small businesses, not for big businesses. Small businesses account for a lot of jobs but not a lot of net jobs. One restaurant going out of business replaced by another restaurant, doesnt create net jobs. Summarizing come some appalling but in aggregate even look at the fortune 500 its pretty static and not creating net jobs. The leverage was the startups, young company. Not just tech companies, all kinds of startups in all kinds of different things. That was interesting to see if you want to get the job creation engine going back a more entrepreneurs doing more crazy things trying to disrupt different sectors and in a process create jobs is critically important. The other data point was that lester 75 of Venture Capital went to three states, 75 , three states, california, new york and massachusetts. 47 states including where im sure most of you are from, the last 25 . Jobs are agreed by the startups and were only backing startups a few places most on the coast we shouldnt be surprised there are people in the middle of the country who feel left out, feel left behind or anxious about the future versus optimistic about the future. That led us to hit the roads and we done six of these, 33 cities, planning the next one try to understand whats happening in these different cities and you will begin to be a champion of the cities and attract more media attention, attract more investor attention. I want to point out before forget, on all your tables youve got one of these drives and we put out today just for this conference what we call an ecosystem playbook, or if you live now and you can to the revolution. Com website. Lessons learned many, many cities in there from phoenix to whatever. Basically try to take some of the examples that we saw on the road over the last four or five years and try to great essentially a playbook so that other cities whether the mayors for the auto knowers or the ceos or University President s or whatever it might be can learn from whats happening in different cities and we can create more of a Network Effect not just creating stronger density within each city, more collaboration but essentially a Network Across these rising cities since they all rights together. One of the underlying themes of this and your book, the third way which sold almost as well as you guys both are much better selling books that i am. Bestseller but nothing compared to like j. D. Vance, hillbilly elegy come after a year is still on top of the bestseller list. But the whole thing above your book is that the weight of the digital revolutions that went before concentrator on engineers in places like Silicon Valley. But now its all about connecting creativity, connecting different forms of business, connecting the arts to technology and that happens better in places like chattanooga, austin, nashville, columbus. Yeah, its pretty interesting you look back at the history particularly the last 30, for use in terms of whats happened with technology. The first wave of the internet, started at aol 33 years ago, only 3 of people were online. One hour a week. So pretty early days of the idea that internet. First wave is getting everybody connected, educating people. That was fairly regionally distributed. We were based out of virginia. Microsoft started in albuquerque, moved to seattle. The modem company was in atlanta. Compuserve was in columbus, ohio. Fairly regionally distributed. In the second wave happened which was about software, about apps, mobile phones. Thats were Silicon Valley really rose, based on the software, on facebook and so forth. This third wave which is just unfolding which is integrating the internet and changing health care and education and food and agriculture, simply import aspects of our lives, pretty big sectors of our economy, the expertise you need to be successful is all across the country. Its not just about writing software. Its how to figure out how to integrate the software into Hospital Systems and get doctors to use. How do integrate some of these technologies to improve the way people can farm or other kind of things. As a result of a huge opportunity in the third wave for the growth they give Aboriginal Art rulership, the rise of the rest, we need to get more Venture Capitalists with all that money on the coast to understand that our Great Companies in the middle of the country. That would drive into a j. D. Is doing which is a rise of the rest fund. First of all, j. D. , i budget explained that but also your part of a wave that i tried to catch on to which is having read your books have come under all all about your background and military and yale but in thinking okay, its now time to go home, go home to a city like columbus i think is where you are back to know and say, im going to find that to be the cradle of creativity. Explain how that ties into the rise of the rest fund you you e doing listed. Sure. Briefly the rise of the rest fund is built around the idea that if you want to get high growth enterprise, high growth businesses in some of these areas you have to invest in them. So the classic way that we often to Economic Development is we will lure you to our area with tax credits but if you think about what steve said that all the net job growth is coming from these highgrowth startups, no startups require risk capital to get off the ground. If you look at whether risk capital is going, a time is going to california, a lot of it is going to massachusetts and new york but not a lot is going to the rest of the country. Only about 25 goes to the other 47 states around our country. What were trying to do is simultaneously earn a good return for our investors but also show that by investing in these neglected areas you could support good entrepreneurs and create some of the enterprises are help support some of the enterprises that are going to produce the net job growth of the next 20 or 30 years. The reason im so fascinated and so interested in what we are doing is like you said one of the things we are seeing all across the country is this talent boomerang. Its people who maybe go to Silicon Valley or to new york for a while but for whatever reason they eventually want to come back home or others want to come back to areas that are not traditionally thought of as necessarily hightech or exciting. Many dont realize this, i certainly do, columbus is an exciting city, a lot going on at ohio state, a lot going on with City Government and the smart cities initiative. Theres a lot of reasons to be in columbus but a lot of folks from outside dont necessarily recognize this. The one thought of what i will make on this is people move back to sort of a nonSilicon Valley types type city for a lot of Different Reasons but one of the reasons is just basic cost of living. I can remember talking with my wife two or three years ago that if we were really wealthy we could afford a two bedroom closet box in san francisco, where as going back to ohio theres a lot of opportunity to build a family and a place thats exciting and innovative but also is cost effective. Those things all matter, although stranger going to be part of what we think isnt there is something deeper in this boomerang effect that i can get a bigger apartment . There absolutely is. The thing that is deeper is relative to what adam said about the sense of community, that in a lot of places people at some connection to where they grew up, hosted come home want to be part of this renaissance. People look at a city like cincinnati, a place like columbus, these are places that if you look at population growth, Economic Growth, things didnt necessarily those who dwell in the 80s and the 90s. They were hit hard by some of the Economic Trends affecting the industrial midwest, chewinge southeast and other parts but people want to see their hometowns do well and want to be part of that renaissance. I do think the people are drawn back for a host of reasons but one is a really deep desire to positive impact your Community Creates remarkable opportunity for some of the people in this room to take advantage of that sense of connectedness to some of the cities. And you had an amazing set of investors come into this, right . We tried to reach out to some of those visible respected almost iconic individuals in the country, like jeff bezos and eric schmitt, tory burch, Venture Capital investors like john doerr and jim breyer, hedge fund investors, meg whitman, hb pier will is several dozen of the most invisible people. We did that deliberately because he wanted to basically say these people really in the rest of the country, they believe in entrepreneurs. They believe they can generate great investment returns investing while also being potentially catalytic in terms of the job creation. Its great to see that momentum and we want to build on that. Theres two other points i think some of his understand was covered a couple days ago, big opportunities for mayors. First is in this tax reform, you may like it or not, there are proficient you should like. Investing opportunity act provision in particular which will play out over the next year, will create juppercaseletter and incentives to invest in many of these opportunities. That could be quite significant in terms of building a a some f the work with others have been doing and getting more people on the coast with big textbooks paying attention is opportunity in the middle of the country together what im sure many of you were involved in this and might feel disappointed now is this very visible amazon search for Second Headquarters has led to a bout of the cities, two and 38 i believe believe was a final number, basically rallying together their communities to make a bid. 218 of those are out of the running. As of last week, may feel like they lost. They can take that effort, that since the possibility that bring the coming together to make the pitch and now we focus it on startups and turn this into a wonderful i was in kansas city and it was a big chamber of commerce, giving a talk and it was almost like a rally for headquarters. I was sitting next to the mayor and he said i dont think were going to win this, but boy, this is the best thing ever to happen to the city. Will get the airport fix, rally together the business to meet and have entrepreneurship. The number one thing that surprised me over the last five years is sense, since all the cities we visited the lack of collaboration and connectedness that exists. You would think in these smaller places, everybody would be working together around entrepreneurs that often the bigcompany ceos dont know what the entrepreneurs are doing. Often the university is not connected as much as you think to whats happening in the start of sector. Just trying to drive more of that collaboration is super important and theres no folks better position to do that than the mayors. J. D. Building on this Amazon Everything okay, bomber, we thought we would get the job, we did. How going back 500 startups is a huge opportunity i think for all your city. J. D. , im going to ask the question, how do i get one of these funds with you in my town . Well, there are a few things here first, et cetera steve said, part of what makes successful entrepreneur ecosystem a success is the connectedness, the technical and is working together. Let me give a very realworld example. I was targeted entrepreneur in denver last week, and he was talking about when denver hit this Critical Mass of successful entrepreneurs and exciting businesses, it wasnt just good for the city. It was good for him in a very individualistic way because of the get easier for him to hire people because they knew that if i hire a guy girl doesnt work out, my business doesnt succeed for whatever reason, theyre going to be opportunities five, six, seven in the city that are visible to them. It makes it easier to attract and retain talent. To me as soon as you hit a Critical Mass of exciting opportunities you will get a talent boomerang effect in the capital will start to flow in. We will look at that from our ankle but to the extent you have ecosystems where there are clearly exciting things happening it will make it easier for Venture Capital investors and others to put capital to work in those places. Specifically the rise of the rest fund, to do Something Like challenges city and say we will put in half if you find local investors . Will have multiple steps. The first of what we call the seed fund, 159 fund what we wey we want to partner with regional investors. We are not going to lead these investors around, jenna do 10 and the rest of the capital will come from other places. We try to take our 115 million and leverage it to more like 1. 5 billion and partner with these regions. In many other cities, most of the cities typically relatively small venture firms thats relatively hard for them to connect to the capital on the coast. Were trying to figure out ways to partner with them, shine a spotlight of what theyre so the next fund is a larger fund, where they can back more startups that can create more jobs. Over time we will continue to evolve this and figure out what other structures make sense that can get more capital from the coast to the middle of the country and in the process great more jobs in the community in the middle of the country. Every step is trying to partner with people in these communities and coinvest in the startups that could be the big job creators of the future. When you on the bus every time you went into account, i remember being with you, you let five or six entrepreneurs pitch to you. And you gave money to the winner. Tell me some of the ideas that popped up and now that inspired you. Weve done 50 investment so far in the last few years even before relaunched this on. Whats exciting is how diverse the ideas are. You see things in energy, you see things in food, in education, and healthcare. In new orleans i think there was surprising to see you end up through the menu this but i did know it is how strong the Educational Technology cluster was in new orleans in part because postkatrina having to rethink and restart the School System and attract people to teach of america and others who came to town. Having been in the classroom i have ideas about can be better for the class and better for the students. Now there are several dozen starters focus on Educational Technology in new orleans. St. Louis and label we saw a lot of things on farming. Cleveland and baltimore and national a lot of things focused on health tech because of the strength of Cleveland Clinic and Johns Hopkins and things like that. The diversity of these ideas is what some moving and powerful, and really gives us a sense of hope youre we just need to get more of those entrepreneurs to get more spotlight of what youre doing and get more of the capital they need to take the idea and turn it into a bigcompany. One of the things we emphasize what makes some of these businesses success is the ability to partner with the a ly industries that exist in the cities. In columbus we invested in a company thats doing blockchain for Title Insurance. Why Title Insurance, Home Ownership and so forth . Because theres a massive jp morgan facility in columbus and you take a young entrepreneur excited about a technological application which with a local legacy business to build an exciting company. In indianapolis were invested in the company thats doing Clean Water Technology that will enable cities to very quickly and cheaply test whether the water supply is safe for the committee. What motivated the idea . The crisis inflight and a lot of these entrepreneurs had connections to the problems. These things are going to happen again and again into steves point is going to happen outside of the coast because if you want to build a Company Really around Title Insurance for Home Ownership and mortgages, you need to have some expertise in the field if you want to build a Clean Water Technology company you get some connection to the regulars and policymakers and innovators that are working in the water space. Thats going to happen more and more in what we call rise of the rest, many of the cities you folks represent. How defined as ideas out of people with these ideas find you . Weve got a website revolution. Com a people can reach out. A lot of times we find ideas and businesses through this really vast network we have built. If we know an entrepreneur or investor in denver, they can connect to people with us and what were doing. We also find them through our bus tour. We solicit applications and encourage people to pitch to us to show show us what to do and eventually get an investment. We have one minute and going to turn to you, j. D. , on a separate youve written the most influential book of our time. [laughing] hillbilly elegy. It ended up helping explain things we did know, like some of the disaffected, et cetera politics foc Opioid Crisis and how that is certainly described in your book, how people get on do that. What have you learned from the book and learned since then that you think can help heal this country . Thats a tough one. You have all of 45 seconds. There are two things, a positive insight and, frankly, a more sobering insight. The first is that ive talked to a lot of different people from a lot of different backgrounds and love different organizations, and almost exclusively people are interested about whats going on in communities like buying. Take care about whats happening with their fellow citizens and interest in learning more and interested in how to help. But i will say one of the things that continues to worry me is that we have a really remarkable level of geographic segregation in our country and were kidding ourselves if we think that we can read a new yorker article about whats happening with the opiate epidemic and West Virginia and actually gain the insight necessary to help it if you want to do better by some of the committees that about about i think we got to spend more time together and is no way to shortcircuit the process. Journalism from coastal journalism is important. Its important people care about these problems and i think they really do. The thing about his people have a good issues but weve got to spend more time with each other or we will never solve these problems. I dont know how to fix that problem. The only way to fix it is something we started with, which im sure the people in israel tm would be happy to hear about, which is everybody in this country ought to remember what is their community, and go home at times like you done to columbus and many of us following in your footsteps have tried to say okay, its now time for me to come home and be in the city state or in the community where things can get done. Thank you all for being here. Thank you all. Everybody, thank you so much. We are adjourned. [applause] [inaudible conversations] [inaudible conversations] the u. S. Conference of mayors is taking a break until about 1 15 p. M. Eastern virginia senator mark warner will address the gathering and then we expect to hear, and the Vice President at jpmorgan chase, Weekly Standard editor bill kristol and others. Again that will start live at 1 15 p. M. Eastern on cspan2. The president of United States. [applause] tuesday night President Donald Trump gets his first date of the Union Address to congress and the nation. Joint cspan for a preview of the eating starting at eight eastern and then the state of the union speech live at 9 p. M. Following this be the democratic response, also your reaction and comments from members of congress. President trumps state of Union Address tuesday night live on cspan. Listen live with the free cspan radio app and available live or ondemand on your desktop, photo tablet a cspan. Org. Up next on cspan2 the u. S. Supreme court case mccoy versus louisiana. At issue is whether a death row inmate six amendment rights were violated when visiting said he was guilty during his murder trial. Even though the defendant didnt want his attorney to say he was guilty. He was convicted and now has appealed his death sentence. Your argument next in case 168255, mccoy versus louisiana. Mr. Waxman. Mr. Chief justice and may it please the