Anchor institution agreements are long-term commitments by institutions, such as hospitals, governments, and universities to develop strategies that encourage local procurement of goods and services. Depending on the institution, procurement is responsible for millions of dollars worth of spending.
Anchor agreements focus on public institutions because, unlike private businesses, it is extremely difficult to move or shut down public institutions. As such, public institutions that embrace anchor agreements can assist in providing local communities with long-term local economic resiliency. This tool encompasses strategies to build community wealth. These strategies offer tools that are used to encourage stable local economic growth and job creation.
Listen to Taino Palermo’s Ted Talk on Anchor Institutions: