KRCU's Let's Talk Business

Granted, it is hot outside. But there are some pretty cool things going on in the area. Summer is a time when many people are enjoying vacation and doing things to take a break from school and other activities. But some major construction projects are still underway in the Cape/Jackson metro. The diverging diamond interchange project at the junction of Interstate 55 and U.S. 61, originally scheduled for completion by early November, could be finished in September. Motorists who travel between Cape and Jackson, or on Interstate 55 at mile marker 99, are anxiously awaiting the full opening of the intersection. After a delay because of difficulty getting roofing materials, the $12 million new City Hall project along Lorimier Street is back on track. In late 2019, the city approved a design-build agreement with Penzel Construction Co., in partnership with architectural firm TreanorHL, to redevelop the 165-year-old Common Pleas Courthouse and adjacent Annex and construct a connecting

Today is the first day of a very important week-long experience for several local educators. Show Me Careers is a program developed by the Missouri Chamber of Commerce and Industry and the Cape Chamber is partnering with them on delivery in this area. The program is a workforce development effort as the shortage of available workers continues to be a real challenge for employers. Show Me Careers was created to expose career opportunities available for high school graduates to high school counselors, teachers, and administrators. Statewide, approximately 160 of those professionals representing 15 school districts are slated to participate in 2021. Participants tour facilities so they can see and learn firsthand about job opportunities for graduates. Educators are allowed to interact, interview, and in some cases, perform some of these tasks leaving them a better understand of real-world positions available in the community. Several local employers are participating in the program

The Missouri legislature did something this year they haven't done since 1996. That is correct. It has been a quarter of a century since the state of Missouri passed and implemented a fuel tax increase. Senate Bill 262 changed history as it passed both the House and the Senate and Governor Parson is touring the state this week to officially sign the bill into law. The Missouri Chamber of Commerce and Industry calls this a historic win for our transportation system and economic growth. Fuel tax in Missouri will increase two and a half cents per gallon per year for the next five years – a total of 12.5 cents per gallon. This will allow the state to spend an additional $500 million dollars annually on road and bridge improvements. Projections show with full implementation, this will create 17,000 jobs, increase earnings across the state by $722 million dollars, and have a $1.8 billion-dollar positive impact on our economy. This effort united Democrats, Republicans, business, labor, and

This local economic development organization has reorganized and is focused on maximizing future opportunities. The Cape Girardeau Area MAGNET recently announced it has not only expanded its investors and board of directors, but there is much more on the horizon. As a reminder, MAGNET is a regional organization charged with several aspects of economic development. To accelerate economic momentum and devise a plan for a unified vision in the future, MAGNET will create strategic plan with the help of Ernst & Young Economic Development Advisory Services. This is in preparation for the transition to new leadership with my upcoming departure. The planning process promises several steps including a competitive assessment of the area and an analysis of strengths, weaknesses, opportunities, and threats. A diverse group of stakeholders will comprise a Steering Committee to provide input through surveys, interviews, and focus groups. The strategy will include recommendations for talent

In case you missed it, there was a little sign of hope last week out of Washington D.C. for future progress. For many years, both citizens and elected representatives have agreed it is increasingly necessary to address this country's infrastructure. But for those same many years, there has been no significant progress on what that really means and how to get it done. Last Thursday, President Biden and a group of Senators agreed to a roughly one trillion-dollar framework to address transportation, water, and broadband infrastructure. The President said these investments are critical to compete with global rivals like China. One of the major stumbling blocks stifling prior attempts is determining how to pay for such an investment. In this agreement, the cost will be covered by repurposing existing federal funds, public-private partnerships, sales from strategic petroleum reserves, wireless-spectrum auction sales, and revenue collected from enhanced enforcement at the Internal Revenue

It is the first new federal holiday since Martin Luther King, Jr. day was established in 1983. Last Thursday, President Biden signed legislation into law making Juneteenth, or June 19th, the 12th federal holiday. Juneteenth recognizes when Union soldiers delivered the news of freedom to slaves in Galveston, Texas – some two months after the Confederacy had surrendered and more than two years after the Emancipation Proclamation. This new holiday brings opportunity for the area and business community. Let's look at a few things already in place and explore some additional possibilities. Visit Cape has an African American History Driving Tour in place which guides people to major historic locations and sites and provides narratives as to their importance. Included are the Common Pleas Courthouse, Ivers Square, Fairmount Cemetery, the site of the former Lincoln and then John Cobb School, and several churches. One City just held its second annual Juneteenth celebration this past weekend.

In the state of Missouri, it ended at 11:59 p.m. on Saturday, June 12. Of course, I am referring to the Governor's decision to end participation in all federal pandemic-related unemployment insurance programs. In his official press release announcing the decision, the Governor said in his discussions with business owners from across the state, they are struggling with labor shortages not because of the pandemic, but because of excessive federal unemployment programs. When the original supplement of $600 weekly ended, it was replaced by a $300 per seek supplement to Missouri's regular unemployment benefits. This means thousands of claimants are receiving more than $600 per week. The unemployment benefit is meant to be a safety net as workers look to reenter the job market. Some believe these artificially high benefits have outlived their purpose and are keeping many from coming back into the work force. Locally, many employers have expressed frustration in trying to hire enough workers

It is important to celebrate meaningful accomplishments. The city of Cape just released the updated hotel/motel/restaurant receipts report, and it tells an amazing story. The last two months of hotel/motel receipts are the second and third highest in history. And the last two months of restaurant receipts are the highest and second highest totals in history. I'll pause and let that sink in for a moment. Wow! What an amazing accomplishment in an industry sector highly affected by the pandemic. And it didn't happen by accident. Let's recognize the people and teams responsible for this success. Our Visit Cape Team has stayed focused on continuing to solicit business for our area – always looking for, and seizing, opportunities. The City of Cape Parks and Rec Team has done a tremendous job in partnership with Visit Cape in booking sports tournaments and other events. Many local private clubs and interest groups have been successful in bringing events to our area resulting in room nights

The First Regular Session of the 101 st General Assembly of the State of Missouri has ended and there are some changes coming that will affect the business community. After several years of efforts, the Wayfair bill passed. Missouri became the last of the 45 states with a state-level sales tax to enact a law requiring the collection of sales taxes for online purchases. Considering the increased revenue for the state, the bill also includes a personal income tax reduction over a period of years. Cities and counties that currently have a use tax will not have to re-vote but those without a use tax in place will have to do so. For the first time since 1993, the General Assembly passed a motor fuel tax that will increase gas tax by 2.5 cents per year for five years. The bill does allow for Missouri residents to submit the increased gas taxes as a tax deduction on their state income taxes with proper documentation. Also passing was a bill providing individuals and businesses immunity from

While the month of May is known for many things, one of these could be a real benefit for our regional business community. May is the biggest graduation month. In the Cape/Jackson metro we are blessed to have numerous public, private and parochial high schools as well as Southeast Missouri State University. These institutions serve as a direct pipeline of talent local employers need to recognize and take advantage of. Our area high schools produce between 750 and 1,000 graduates annually. And statistics show more than one third of those do not go on to higher education environments. Southeast Missouri State University graduates around 2,000 annually with either undergraduate or graduate degrees. That represents around 3,000 graduates a year with between 2,000 and 2,500 looking for work. There are numerous ways for employers to take advantage of opportunities to tap this potential workforce. The university has a placement office charged with helping graduates find employment. They also

May is National Historic Preservation Month and understanding the purpose is good for business and community. The National Trust for Historic Preservation led the charge in 1973 to establish this recognition and many groups across the country celebrate the theme. Locally, the city of Cape Girardeau and Old Town Cape are actively involved in promoting the main ideas of instilling national and community pride, promoting heritage tourism, and showing the social and economic benefits of historic preservation. We don’t have to search for local benefits of historic preservation efforts. They are obvious to us every day. Here are some examples. The Glenn House is a popular tourist attraction especially for those river boat patrons. Southeast Missouri State University incorporated the old St. Vincent’s Seminary into the design and build out of the beautiful River Campus. The old Marquette Hotel, Carriage House, and the H and H building were redeveloped into the Marquette Tower and the

On this day after our country celebrated Mother’s Day, I thought it would be interesting to look at the role mothers play in our work force. Statistics tell us in January 2020, right before the pandemic, there were more women on payrolls in the U.S. than men. Working mothers made up one third of all employed women and there were 23.5 million women with children under the age of 18 in the work force with nearly than two thirds of those in full time positions. Furthermore, 44% of working mothers 25 or older had a bachelor’s degree or higher compared with 38%of all workers in that age category. It is no surprise then working mothers have a higher median earning level than women overall. Mothers with school age children work more hours than those with preschoolers and about 25% of all mothers in the work force are raising children on their own. Of course, the pandemic had a very negative affect on those single moms as they tried to navigate work and education. Another important statistic

Many times people ask what we doing to actively market our area to potential new business and industry. Because our efforts are directed externally, they are not readily apparent to our local citizens. But through the Cape Girardeau Area MAGNET, we consistently strive to promote our region. We work very closely with the Missouri Partnership. They are the group charged with promoting Missouri to the rest of the world. Also, we partner with the Missouri Department of Economic Development to broaden our business base. We target certain businesses and make direct contact and we also send a newsletter quarterly to interested developers, site selectors, and partners. Each year we also do something special. In conjunction with the Missouri Economic Development Council, we attend Insight Missouri. This is a 2 ½ day gathering at different locations in the state and is attended by a few of the top communities in Missouri and up to 10 site location consultants from across the country.

The President of the United States has issued a proclamation annually for more than 50 years announcing this…. Next week, May 3 rd through May 9 th , we will celebrate National Small Business Week which recognizes the critical contributions of small business owners and entrepreneurs. According to the Small Business Administration, more than 50% of Americans either work for or own a small business. And small businesses and start-ups create nearly two out of every three new jobs in the U.S. each year. The Cape/Jackson metro is home to many outstanding small businesses. Certainly, each of you has a favorite. Maybe it is a restaurant or bar, clothing store or antique shop, pet care center or nursery. Regardless, the choices here are plentiful. Take time next week and make a special effort to thank them. And for you small business owners, I want to say thank you for your investment in our area and your commitment to your business especially considering the tough circumstances of the past 14

The Missouri Economic Research and Information Center (MERIC) released the Missouri monthly jobs report for March and it contains a lot of interesting information. According to the report, Missouri’s seasonally adjusted unemployment rate for March decreased to 4.2 percent from 4.3 percent in February. This rate has declined or remained steady each month since April 2020 when the rate spiked at 12.5 percent. The March number is well below the U.S. rate of 6.0 percent. However, it should be noted the labor force is still a full one percent below where it was just prior to the pandemic. That means there are more than 30,000 fewer Missourians in the labor force in March of 2021 compared to March of 2020. One very good indicator is Missouri added 15,400 jobs from February to March after having a decrease in jobs from January to February. Missouri remains down more than 100,000 jobs from a year ago which is about 3.5 percent. All eight of Missouri’s MSA’s are down in job count from a year

Just when the pandemic led us to believe we’ve seen it all, many businesses are now facing an issue completely novel in anyone’s memory. Lack of available workers is a rising concern across the country. And let’s be clear, I’m not talking about the issue of a tight labor market making it difficult for businesses to expand or fill out their workforce. No, this is something completely new. About six weeks ago, I began to notice reports from across the United States about businesses having trouble hiring and keeping enough employees to even open their doors. Business owners were talking about their inability to have a staff large enough to keep their doors open. Many of these businesses are small and many are in the hospitality industry and pay wages significantly above minimum wage. Then local friends began relaying stories to me about recent travels in which they experienced long waits at restaurants because of short staffing. And it soon after made its way to the area as local media

Let’s not forget this important part of our local economic development efforts. The tourism industry which includes meetings and conventions, visitors tied to events, and tourists or travelers, is really gaining additional steam in our area. As you may recall, we have talked about the importance of the youth sports tournaments that continued safely and successfully throughout most of the pandemic. Now, I’d like to mention a few other things for your radar. Our first riverboat of the year, the American Duchess, is scheduled to dock on Thursday, April 8 th in downtown Cape Girardeau. We are looking forward to many more to follow. The USA Gymnastics Nationals Women’s Collegiate Championships will be held on the campus of Southeast Missouri State University April 8 th – 10 th . The Muddy River Marathon, a qualifier for the Boston Marathon, will be held in Cape on May 1 st . The Big BAM Missouri cross state bicycle tour is coming June 15 th . And the Great Race, the world’s premier old car

According to Zig Ziglar, “The only thing worse than training employees and losing them is not training them and keeping them.” Professional development is an important ongoing part of business success. It should permeate all levels of organizations large and small. And while most employers would agree with the importance, many have come up short with sustained implementation. And in today’s tight labor market, it is even more important Let’s look at this from two perspectives; employer and employee. As an employer, it is your responsibility to provide meaningful opportunities for your employees to better themselves resulting in engagement and peak performance at work. If you don’t make this part of the very fiber of your organization, it will fade away and your workforce may find themselves as part of the estimated 70% of Americans who are not meaningfully engaged at work. Don’t let this happen to you. As an employee, make it known to your employer you desire relevant professional

Questions about a quality labor force in our area are about to get a deeper dive. Certainly workforce needs are an ever evolving situation. And emerging from this pandemic, it will continue to be an important focus of any economy. Several months ago, a group of business people began to reexamine the needs of our local area and the delivery network available. The group decided to hire professionals to identify our needs and help position our area in a way to maximize success by identifying any gaps and the best way to address those gaps moving forward. Several public and private entities in Cape Girardeau and Perry County pooled resources and hired MGT Consulting to perform this study. The process has begun, and that’s where you come in. In the next few months, MGT will be conducting an extensive needs analysis in several areas to include realistic available labor pool, the interests of that pool, the needs of the local business and professional community now, and in the foreseeable

An important recent announcement affecting the local business community may have flown under the radar but that certainly doesn’t make it any less important. The Donald L. Harrison College of Business and Computing at Southeast Missouri State University was reaccredited by the Association to Advance Collegiate Schools of Business. The AACSB is the largest business education alliance connecting educators and learners and the accreditation is synonymous with the highest standards in business education. In Missouri, only about 20% of institutions offering an associate’s or higher degree have met these gold standard accreditation requirements. Dr. Alberto Davila, dean of the Harrison College of Business, emphatically stated their primary objective is to train students today so they can successfully navigate the future needs of the marketplace. He added the College is strongly committed to providing students with excellence in business education that includes learning opportunities both in

2020 and this past week have reminded us about the importance of disaster planning in our businesses. Disasters can be man-made or natural. Either way, the percentage of businesses that don’t survive significant disasters is alarming. Many simply aren’t prepared and can’t make the recovery necessary to keep operating. We live in a great state and an awesome community. But we have been reminded we can face challenges in this area from weather to a global pandemic. So let’s talk about what you can do. Like so many other aspects of your business, the best approach to dealing with disasters is proper planning and preparation. Like me, most of you are not disaster preparedness experts and you need help. Fortunately, many resources are available to us both online, and in person. Several organizations have excellent guidelines and planning documents to help. Just of few of these are the Federal Emergency Management Agency, the Occupational Safety & Health Administration, the Small

Successful employers are looking at many different ways to hire and retain employees and keep them engaged and happy in a time of workforce challenges complicated by the pandemic. In today’s world, employers must consider more than just monetary compensation when hiring and retaining employees. Creative compensation is a method of looking at an entire compensation package and including things other than actual dollars. Examples are job security, flexible hours, work from home, growth opportunities, praise and recognition, fun and friendships. Studies have shown employees generally consider a total compensation package is indicative to how they are valued. Let’s look at a few specifics local employers have implemented. Giving employees their birthday off with pay is inexpensive and greatly appreciated. Jeans days, or casual days, create a fun environment and don’t cost anything. Flex time, where possible, is greatly appreciated. Many smaller employers pay for team lunches for milestones

Business success and growth in any region is dependent upon many things. Certainly, as we emerge from this pandemic, one critical factor is a positive business climate. Strong advocacy efforts go a long way in creating a positive business climate. It is important for advocacy groups and individuals to work with responsible entities and seek win-win approaches that are good for business and the general public. This must be an intentional and ongoing effort. Advocacy groups – also called special interest groups – can sometimes be labeled as unproductive, combative, or even unethical. Some may fit that definition, but certainly not all. Every one of us has special interests in something either in government policy or community action. And it is perfectly acceptable, and even needed, to voice our ideas and concerns. Successful chambers have long played a key role in advocacy. Regional chambers can certainly influence local and state policy while the US Chamber works on policy in Washington

Can you guess what occupations are projected to be the fastest growing in the next ten years for the southeast Missouri region? The Missouri Economic Research and Information Center – MERIC – has released the latest projections for fast growing occupations in our part of the state. They classify these into three different categories: Now, Next, and Later. Now occupations typically require short on the job training, little or no experience, and a high school diploma or equivalent. The projected top five in this category include personal care aides, physical therapist aides, home health aides, drivers, and fast food workers. The average annual wages for these positions range from $19,000 – $24,000. Next occupations typically require non-degree certificate, associate’s degree, apprenticeship, or moderate training. The projected top five in this category include physical therapist assistants, respiratory therapists, veterinary technologists, insurance sales agents, and medical assistants.

January 2021 marks the beginning of the State of Missouri legislative session and a new administration in Washington, D.C. Joe Biden will be sworn in as the 46th President of the United States on Wednesday of this week. His first 100 days agenda includes special attention to vaccine rollout and addressing our nation’s post pandemic economy. In Jefferson City, Governor Parson was sworn in last week as the session began. He mentioned several priorities in his address related to business. Wayfair, workforce development, and infrastructure are all important to the business community. The Chamber will be working on these issues along with many regional and statewide partners. The pandemic accelerated consumers’ likelihood to shop online and Missouri remains only one of two states who collect sales tax that hasn’t addressed the ability to do so with online sales. This is important to address now. Our state transportation infrastructure and broadband access need to be a focus this year.

Before the pandemic, technology visionary Leonard Brody called what we are experiencing today a complete reset of the operating system of our planet. And today, it’s only been accelerated. In a recent presentation, Brody said change today is occurring unlike anything we have experienced in the last 100 years. He believes the next decade will bring many of our structures and systems to a place we will barely recognize. At the Chamber, we agree. Just think about these economic drivers for our region and how they will change in the next ten years. Healthcare and its delivery systems, autonomous vehicles, electric vehicles v. gas powered, retail, K-higher education delivery systems, smart highway construction, banks and financial delivery systems, cyber security, utility infrastructure, and the list goes on. In preparation, the Chamber has re-established a Think Tank group designed to research, assess, and recommend ways to prepare ourselves locally for the changes we will face. It is our

2021 is a new year and with it comes a new set of laws, rules, and guidelines. Are you prepared? The Minimum Wage Rate in Missouri for private employers changed effective January 1, 2021. The Governor’s office announced the new rate is $10.30 per hour. All private businesses are required to pay at least the minimum hourly rate, except retail and service businesses whose annual gross sales are less than $500,000. They are still covered under the Federal Minimum Wage Law. As a result of the voter approved Proposition B in November of 2018, the minimum wage will increase 85 cents per hour each year through 2023 ultimately resulting in a minimum wage of $12 per hour in that year. Compensation for tipped employees must also total at least $10.30 per hour and employers are required to pay tipped employees at least 50 percent of the minimum wage – or $5.15 per hour, plus any amount necessary to bring the employee’s total compensation to the minimum of $10.30. Missouri law does not apply to

As 2020 comes to a close, it is time to pull out those crystal balls and look at some top predictions for the business world in 2021. Near the end of each year, I do research to determine what experts believe will be the top trends in business for the coming year. It is interesting how most agree with several leading concepts. Let’s take a look at a few. Convenience is absolutely critical. Regardless of business category, the customer now demands it. Coming out of the experiences of 2020, all businesses must provide an easy way to conduct all transactions. Another reality that continues to get stronger is the customer base just keeps getting smarter. Many times they know as much about a product or service as the person they are interacting with. So a positive customer service experience is critical. Closely related to these two is the need for businesses to effectively automate the business experience. Less paper, more video, and more experiential interactions are key. It certainly

No doubt 2020 has been a very challenging year. Let’s look at some interesting numbers and a few positive results. First, some numbers. The Cape Chamber has distributed more than 21,000 masks to local businesses at no cost to them in an effort to protect their employees, the customers, and to keep them open. In our congressional district, 823 businesses were approved for a PPP loan of greater than $150,000. Our staff participated in over 600 hours of COVID-19 calls and connected with members in more than 750 direct calls. We launched two new websites with several local partners: Keep Cape Strong and Reclaim our Region. And we enhanced our shop local / support local business push. Next, some economic development successes. Cape Area MAGNET announced seven projects representing more than 300 jobs and $67M in investment including KCOE-ISOM, the VA Health Services facility, and Patriot Medical Devices. MAGNET’s annual goals are 300 jobs, $50M new investment, and $12M new payroll so annual

In this year of challenging news, it is really nice to celebrate the positive announcements. Last Friday morning, December 4, at the Cape Girardeau Regional Airport, Southeast Missouri State University officially announced the new Professional Pilot Bachelor of Science program. This program is designed to train students to become commercial pilots and the FAA certification is part of the program. Students will fly early and often and highly performing students may be able to earn money and gain flight hours as flight instructors in their junior and senior years. And, of course, the pilot profession is paid well. This exciting announcement includes a partnership with the city of Cape, the Cape Girardeau Regional Airport, and U.S. Aviation Academy – an organization with 15 years of flight instruction experience. Congratulations to all the partners and especially Dr. Vargas, the Board of Regents, and the leadership at Southeast as they continue to look for ways to be recognized as a

This week we celebrate Thanksgiving and I want to take this opportunity to offer my thanks. First, I want to thank KRCU for this great partnership. Each week I have the opportunity to relay an important business topic to this key listener group. The comments I receive make me realize the importance of this segment. Next, I want to thank our membership. Because each of you are so committed to your role in your businesses and professions you make this place special. Thank you for your investment in our community, your growth in jobs, and your desire to always go the extra mile. And in this challenging year, your commitment has not wavered. I have to say thank you to our team. You are a great group to work with and I wouldn’t have it any other way. We learn from each other, stay focused on making this the best area possible, and have a lot of fun doing it! Thank you to all our area partners. Each of you plays a crucial role developing our people, products, environment, communities, and

Infrastructure can be defined as the physical structures necessary for the functioning of an area or a society. A reliable, robust infrastructure is extremely important for both business and the general public. Unfortunately, much of an area’s infrastructure can be overlooked or taken for granted because parts are not visible. We don’t see the intricate systems of storm sewers, sanitary sewers, water lines, gas lines, and some electrical services. We only notice these things when they don’t work. The traditional view of infrastructure revolved around our highways and transportation system. Roads and highways are more noticeable and very important to both the general public and to business. However, the last 9 months have highlighted an extremely important part of that less visible infrastructure. Yes, I’m talking about broadband and all things related to access to reliable technology. Experts will tell you nothing will have a greater impact on a region’s future success than the

Location, location, location – the phrase is well-known in real estate AND in economic development. Missouri is in a great geographic position with its location in the center of the United States. This can be an advantage in certain economic development projects. We are rich in many transportation resources including rivers, rail, highways, airports, and river ports. However, our transportation infrastructure is struggling. Within 500 miles of the state of Missouri is 43% of the U.S. population, 41% of buying power, and 44% of both wholesale trade and manufacturing plants. However, our infrastructure is deteriorating and, in many places, unsafe. We have the seventh largest transportation system but we are in the bottom five states in revenue per mile. We have the second lowest gas and diesel taxes in the nation and they haven’t been raised in decades. The Missouri legislature will convene again in Jefferson City in January, 2021. Let’s hope the legislature can decide on a fair and

One might argue tomorrow is one of the most important days in the United States in a long, long time Tuesday, November 3 rd is Election Day. And this is a presidential election year. Early voting numbers from throughout the country are extremely high and most experts believe total voter turnout will be at or above all-time records. Cape Girardeau County Clerk Kara Clark Summers believes between 82-85% of registered voters in the county will vote in this election. She made this prediction after a record setting day of absentee ballots. She is hopeful the high absentee numbers will ease the crowds at the polls tomorrow. Certainly, there are many issues surrounding this election. The global pandemic, civil unrest, the economy, the Supreme Court, tax policy, immigration policy, and more are all front and center. But let’s focus on what business owners believe about this election. Several surveys I’ve seen are consistent in reporting the opinions of business owners. More than 80% of small

The research is in and there are major benefits in having diversity on work teams. If you have the pleasure of having racial, gender, and age diversity on the team you work with, you probably understand my opening line. Either way, let’s look at some of the ways diverse work teams produce better results and add to the profitability of a business. Studies show diverse teams are more creative. Although you may be more comfortable working with people who share your same background, certainly people from dissimilar backgrounds see the world differently and can therefore generate more, different, and better ideas. A diverse group is not limited by one set of approaches and experiences. Much research indicates diverse teams are more likely to focus on facts and not get caught up in stereotypes. It seems diverse groups encourage greater examination of concepts and actions thereby keeping their approach sharp. The more trust within the group, the better the openness on helping team members

Now is a critical time for transportation infrastructure planning in the Cape/Jackson MSA. When an area becomes a federally defined metropolitan statistical area, they can establish a metropolitan planning organization. SEMPO, or the Southeast Metropolitan Planning Organization, serves that purpose for the local MSA. This is the group responsible for working with the Missouri Department of Transportation, the Illinois Department of Transportation, and the Federal Highway Administration to assess, plan, and improve the local transportation infrastructure. SEMPO was required by federal law to do a Metropolitan Transportation Plan. This plan identified how the metropolitan area will manage and operate a multi-modal transportation system (including transit, highway, bicycle, pedestrian, and accessible transportation) to meet the region’s economic, transportation, development and sustainability goals – among others – for a 20+-year planning horizon, while remaining fiscally constrained. The

A valuable tool in the area’s economic development infrastructure was only an idea in 1975. The Southeast Missouri Regional Port Authority is located on the Cape Girardeau County / Scott County line. The foundation of the Port’s development came in 1985 when more than 70% of voters in the two counties approved a one quarter cent sales tax that sunset in 1990. The slack water harbor was completed in 1989 and the general cargo dock followed in 1990. Both Burlington Northern Santa Fe and Union Pacific railroads serve the Port. In addition, the Semo Port Railroad provides local switching services for inbound, outbound, and in-plant movements tailored to each customer’s needs. Products handled at the Port are numerous and include coal, corn, soybeans, crude oil, fertilizers, and military equipment. These products are received from, or shipped to, 37 states and more than 30 countries around the world. Many tons of these products are received or shipped representing multiple millions of

As we enter October, what is the economic outlook for the U.S. in the fourth quarter of this unprecedented year? The answer to that question is a guess, at best, but there are some central themes emerging. Experts believe without the passage of another stimulus package of any kind before the end of the year, additional recovery in the economy will be much slower. Most expert forecasts for U.S. domestic product growth is now in the 3% range for the quarter – down from as high as 9% when there seemed an additional package would come out of Washington. There is a hint talks might resume but most believe there is only an outside chance. Then there is the election to consider. Election years always make things a little tricky to predict effects on the economy but this year, more than ever, that is the case. The wide variations in policy proposals and the continued uncertainty of the length of the pandemic make the last few months of this year a real question mark. What does that mean for us

Many local employers are experiencing some of the same issues they faced prior to the pandemic. Last year, we were in the tightest labor market of the last 50 years. Unemployment was at record lows and employers were having great difficulty finding employees in virtually all business sectors. Fast forward to today and while we are not seeing the low unemployment numbers like before, we are seeing an increase in hiring attempts by local businesses. A quick glance at local job postings shows many employers are, once again, trying to hire needed workers. These positions range from entry level, to semi-skilled, to professional. And more and more employers are expressing frustration in trying to find these needed employees. Are you surprised? In the immediate area, there are postings for police officers, accountants, bilingual reservation agents, nurses, plumbers, customer service representatives, manufacturing production workers, drivers of all kinds, and the list goes on. Recently, a

A new manufacturer of Person Protective Equipment has started operations in Cape and already landed a contract with the State of Missouri. Patriot Medical Devices began operations in late August. They are currently manufacturing 3-ply disposable face masks with American made materials and opened with 12 employees. Plans include hiring 9 additional workers quickly and then continue to expand as they increase production volume and add products including N-95 masks. The COVID-19 pandemic resulted in the realization of the United States’ reliance upon other countries for production of necessary PPE and other critical medical supplies. Patriot Medical Devices is committed to bring production and jobs back to the U.S. and chose to do so in Cape Girardeau. Missouri Secretary of State Jay Ashcroft announced a contract with Patriot to make masks available to the nearly 3,000 polling places in the state on Election Day. His press release made clear his excitement to provide a safe environment

The Paycheck Protection Program was certainly used as designed by the businesses in our area. The program, known as PPP for short, was part of the CARES Act passed by Congress and signed by the President in response to the COVID-19 pandemic. The program allowed businesses to apply for loans that could be forgivable if certain criteria were met and maintained. The loans were formula based and businesses had to apply through financial institutions. Maximum loan amounts were $10 million dollars and there were no minimums. We pushed hard locally to get the information to our businesses and our local financial community really stepped to the plate. And, it worked. According to information released by the U.S. Department of the Treasury, the Cape/Jackson MSA had approximately 200 businesses receive loans through the program. With several of these in the higher dollar categories, there is no doubt this area received millions of dollars in support to keep businesses open and workers employed.

As we celebrate Labor Day with this segment of "Let’s Talk Business," it is really difficult to get a grasp on the economic climate both nationally and locally. Last week we learned the U.S. debt reached its highest level compared to the size of the economy since World War II mostly as a result of the of the huge fiscal response to the pandemic. We watched the airline industry announce large permanent layoffs and release projections showing the industry may not fully recover for three to four years. Several additional national retailers teeter on the brink of permanent closure. And the hotel industry continues to struggle. However, we also watched as the U.S. stock market continued to rally as the DOW topped 29000 while the S&P and the NASDAQ posted record highs. There was positive news on the jobs front as unemployment continues to fall. Research continues on a vaccine for the virus and there were advancements in treatment using certain steroids. Locally, our unemployment rate is

Last week’s Governor’s Conference on Economic Development provided timely information and necessary optimism. Of course the meeting was held in a virtual format. Kudos to the Hawthorn Foundation for planning and carrying out event logistics. We heard from the St. Louis Cardinals organization about the changes this season and the real financial challenges. But, we also learned of several downtown economic development initiatives in St. Louis around Ballpark Village. Several sessions zeroed in on the importance of broadband. High speed internet connectivity is crucial for everyone in today’s new world. Business needs it for so many aspects of their operations and the entire education system has become dependent upon it. This makes the recent news from Big River Communication even better as they work to bring fiber to many previously underserved areas of Cape County. There were sessions on the future of manufacturing and how robotics, advanced materials, and industry 4.0 are shaping the

This is the time of year we realize only eleven cities in the state of Missouri are fortunate enough to be home to one of these important economic drivers. Cape is home to Southeast Missouri State University, founded in 1873. While Southeast’s primary purpose is to increase the human capital of its students, it also serves as a tremendous economic driver for the region. One way the impact is felt is through its graduates. The latest U.S. Census tells us individuals in Missouri with a bachelor’s degree earned an average of $16,720 more per year than those with a high school diploma or GED. Given more than 37,000 graduates live in the 24 county region served by Southeast, this effect is estimated to be more than $600 million dollars per year. But that’s not all. An economic impact study analyzed the annual spending of students, University employees, the University itself, and related construction projects. Results showed an annual economic impact of more than $1 million dollars for every

Many times I’ve heard people say just cancel 2020. It is a lost year. There is no doubt it is a challenging year. Just as we began, COVID 19 raised its ugly head. As a country, in parallel with the world, we started down a road not traveled during any of our lifetimes. But today, many experts and I urge all of you to not discard 2020. In the business world, let’s all use this catastrophe to evaluate our operation models. Businesses in categories hardest hit can use this to examine investments, staff, procedures, and most importantly, to pivot and build on opportunities moving forward. Retailers must strengthen their online presence. Restaurants must adapt to delivery methods. The travel and tourism industry must tap a different set of potential clients. And certainly, the entire education system must continue its investment in online instruction methods and infrastructure. For those in industries doing well, it is critical to capitalize on the demand and, again, determine ways to keep

The application for businesses to apply for grants from Cape Girardeau County’s CARES Act funding is now available on www.capechamber.com Cape Girardeau County has designated Cape Girardeau Area MAGNET responsible for reviewing applications to determine eligibility and grant amount. Awards will depend upon the number of applicants, availability of funds, and demonstrated need. Funds received through the local CARES Act business grants must be used for expenditures directly related to COVID-19 – examples include: sanitizer products, divider shields, and PPE. There are several eligibility requirements for the funds so please read the application carefully. We are aware purchases may still be occurring, so businesses may submit an application now and another at a later date after incurring additional expenses. However, funding is limited. Grants will be awarded until the appropriated funds are spent. There is no limit on the amount of funds a business may request; however, the final

There seems to be some confusion about the face covering order for Cape Girardeau County and how it pertains to bars and restaurants. The order from the Cape Girardeau County Public Health Center went into effect on Monday, July 13th. There was no termination date in the order but recently it was revised to be reviewed at the next meeting of the Health Center board at the end of this month. I’ve heard from many people they don’t understand how this applies to restaurants and bars. Because your continued support of these local businesses is important, I wanted to point out what the order says about these establishments and how it applies. The order clearly states persons who are at a place of business or public space who are consuming food or drink while adequately distanced from other patrons and staffs are not required to wear a face covering while doing so. In reality, that means when you visit one of these establishments, you should wear a mask in and until you are seated. While you

Today’s business environment can best be described as a roller coaster ride. It is full of ups and downs, violent turns, sudden stops, and rapid accelerations. Let’s take a look at some information from just this the past week. We learned that unemployment rates dropped for the month of June. And then we learned unemployment filings are on the rise again in July in some states. Many employees have gone back to work while others are in fields that still have not rebounded at all and their CARES Act benefits are about to expire. In the world of retail, we continue to see national chains file for bankruptcy while others are booming. Locally, sales tax revenues have remained pretty stable and while some retailers are struggling, we are experiencing new interest in the area from several others. Many manufacturers in the consumer products, building materials, and PPE equipment areas are booming with no end to their growth in sight. But the hospitality, event center, airline, and live music

There were several pieces of good news this week at a time when we can really use them. The unemployment rate for the state of Missouri fell to 7.9% for June. That compares to a national rate of 11.1%. While the county numbers haven’t been released yet, I believe the Cape County and Scott County numbers will both reflect a similar declining pattern. While this is good news, challenges continue everywhere related to the virus. So, the Missouri Department of Economic Development announced several new initiatives including a Small Business Grant Program with $30 Million dollars available for businesses with less than 50 employees designed to help with costs of interruption caused by required closures and COVID-19 expenses. Our www.reclaimourregion.com website has a link to the application and information. Ameren Missouri announced a new COVID-19 relief fund to help small businesses with energy costs. They have set aside $500,000 for Missouri customers who meet eligibility requirements.

Cape Girardeau County has joined many others in Missouri, the U.S., and the world in issuing a face covering order. On Friday, July 10, the Cape Girardeau County Health Department issued the guidelines in an attempt to reduce the number of cases, ease hospitalizations, and keep businesses open. Opinions on face coverings certainly vary but our local health professionals have determined this is a good step to take right now. The order took effect this morning at 12:01 a.m. and has no termination date at this time. The good news for our business community is strong efforts by all of us to keep our spending in this area have been paying off. Sales tax numbers are holding pretty well for the county. It is certainly our goal to take the reasonable steps necessary to keep our businesses open. Many states have rolled back and closed certain businesses including bars and indoor seating for restaurants. We don’t want that to occur here. There are several important things to note in the order.

As Missouri continues the Governor’s Show Me Strong Recovery Plan, challenges emerge for the business community and the general public. This is a difficult time for local businesses. People are so divided on the virus, the spread, the threats, the perceptions, and what our personal responsibilities should be today and moving forward. This has become a very political issue and opinions are getting more deeply entrenched every day. Certainly, I will not change anyone’s views with this message and I won’t even try. But I will lay out some facts about our local area as we move into Monday, July 6th. Our case counts are up substantially but remain below Missouri averages. Our deaths are stable and well below those averages as well. However, our hospitalizations are on the rise and higher than they have been at any time. Every one of us draws our own conclusions about these numbers and more. Whether to mask up or not seems to be one of the biggest points of contention. But it is really