The Ossipee valley area was not permanently settled by Europeans until after the French and Indian War in the 1760's, as many Native Americans lived and traveled through the area before that time. The initial white settlers were primarily engaged in farming - supplementing their incomes by logging, trapping and fishing. Over time, manufacturing (especially of primary and secondary wood products) became the second most important activity after commercial agriculture. Tourism also grew after the Civil War and was particularly important during the 1890 to 1929 period. During this time period villages such as Center Sandwich, Tamworth, Freedom and West Ossipee (as well as the shore-front camps on Lake Ossipee) attracted families who came for the entire summer and stayed at a second home, inn or hotel. Famous summer residents included President Grover Cleveland who had a summer White House in Tamworth and the poet John Greenleaf Whittier, after whom Mt. Whittier is named.

The Great Depression and World War II caused major changes in the local economy, primarily in the form of high unemployment and out-migration. After World War II manufacturing and tourism started to grow again. Manufacturing broadened to include metal products as well as wood products, and there were some small apparel manufacturers as well. The mining and construction industries also grew and by the 1960's new shopping centers were built following the realignment of Route 16. This realignment had its greatest negative impacts on Center and West Ossipee.

Like most of New Hampshire, there was only slow economic growth in the greater Ossipee area between 1950 and the recession of 1975. The recession of 1975 was the last serious recession before the one for this area that began in 1990 and it caused a significant restructuring of the state's economy, with many of the state's apparel, shoe and textile plants going out of business. The impact of the 1975 recession on the Ossipee area was indirect, as few of these types of businesses were located in the area. After the recession of 1975 the economy of the state flourished and grew at a rate not seen since the 1850's. The computer industry and military products industries in southern New Hampshire grew dramatically. Businesses located in the greater Ossipee area became suppliers and subcontractors for these computer and defense industries and also grew. With the up-turn in the economy, more people retired to, and vacationed in, the greater Ossipee area. The national recessions of 1982 and 1985 were hardly felt in this part of the state. New businesses and residents continued to megrate int New Hampshire until 1989.

By 1989 some of the local manufacturers and construction contractors began to lose orders and laid off workers. Some of these companies closed. By 1990 the other sectors of the local economy were affected and the entire economy declined to 1992, with some out-migration of population. Employment levels in the greater Ossipee area did not begin to noticeably improve again until 1995, three years after the economy began to improve in southern areas of the state. Chapter II will describe the current local economy in more detail.

The Greater Ossipee area is made up of six towns: Ossipee, Freedom, Effingham, Madison, Tamworth and Sandwich. Portions of neighboring towns such as Eaton, Albany, Moultonborough, Tuftonborough, Wolfeborough and Wakefield share similar environments, demographic factors and economic opportunities and problems as described in this report. While this report recommends actions which should be undertaken with the six towns, it is possible that some efforts may be more successful if undertaken jointly or on a parallel course with businesses in these neighboring towns.

Collecting Input and Ideas from Elected Leaders, Organizations, and Citizens

Early in the process of undertaking this study the consultant team met with representatives of Greater Ossipee area Chamber of Commerce, other local organizations, local governments and other local citizens to discuss what they felt would be an ideal and acceptable set of development goals and actions for the Greater Ossipee area.