November 2011 CCEA Newsletter

CCEA Appoints New Executive Committee Members

The Clinton County Economic Alliance (CCEA) Executive   Committee is pleased to announce the appointment of six new Executive Committee members to its Board of Directors. The new CCEA Executive Committee members include:

1)      Dan Coss – City Administrator, City of DeWitt

2)      Dr. Ryan Cunningham – Superintendent, Ovid-Elsie Area Schools

3)      Troy Feltman – Township Superintendent, Bath Township

4)      Dave Ivan – State Specialist, Community & Economic Programs, Michigan State University Extension

5)      Mike Kettlewell – President and Chief Executive Officer, Christman Constructors

6)      Michael Lee – Chairman, DeWitt Downtown Development Association

“The CCEA Executive Committee would like to thank outgoing Executive Committee members: Steve Fredrickson, The Christman Company; Loretta Spinrad, Coldwell Banker – Hubbell BriarWood Real Estate; Marilyn Thelen, Clinton County MSU Extension; and David Wittkop, Michigan Milk Producers Association for their service,” said CCEA Chairman Chris Thelen of Consumers Energy. 

The six new Executive Committee members join Mr. Thelen; Craig Bishop, President of FirstBank; Ed Bruun, President of Sparrow Clinton Hospital; Kevin Feuka, Principal at C2AE; Randy Jobin, Vice President of Clark Construction; Dennis LaForest, City Manager for the City of St. Johns; Clinton County Commissioner Robert Showers; Greg Ware, Banking Center Manager for Fifth Third Bank; and Rich Trent, DeWitt Township Community Development Director. The new appointments increase the number of Executive Committee members from 12 to 15, the maximum allowed by CCEA’s bylaws said Mr. Thelen. 

Michigan and Clinton County’s October Unemployment Rates Fall

According to the Michigan Bureau of Labor Market Information and Strategic Initiatives, Michigan’s seasonally adjusted unemployment rate in October fell by half a percentage point to 10.6 percent. The number of unemployed in the state decreased by 24,000 over the previous month, while total employment increased moderately by 8,000.

Michigan’s work force recorded a net decline of 17,000 in October. The Michigan jobless rate in October 2011 was a full percentage point below the October 2010 rate of 11.6 percent. The national jobless rate decreased by seven-tenths of a percentage point to 9% over this same period.

“Unemployment in Michigan fell in October, with a slight net job gain,” said Rick Waclawek, director of the Bureau of Labor Market Information and Strategic Initiatives. “The jobless rate decline over the month was due primarily to a reduction in the number of unemployed individuals actively seeking employment.”

Monthly Labor Force Trends & Highlights

• Michigan’s jobless rate declined for the second consecutive month in October, countering an upward trend that occurred from May through August. In that period, the state’s rate rose by a full percentage point. Since August, Michigan’s rate edged down by six-tenths of a percentage point.
• Through the first ten months of the year, Michigan’s 2011 average jobless rate stood at 10.6 percent.
• Michigan’s labor force decreased again in October, marking the seventh consecutive monthly drop dating back to April. Since March, the state’s workforce has fallen by 70,000 or 1.5 percent.
• After declining for five months in mid-2011, total employment has edged up slightly in Michigan over the last two months.
• From October 2010 to October 2011, the number of unemployed fell by ten percent in Michigan. Nationally, unemployment decreased by seven percent over the same period.

Clinton County

In Clinton County, unemployment was down 0.7% in September from August this year and down a 1.5% since January 2011.

Year        Adjusted           Preliminary        Period            Workforce      Employed     Unemployed       %

 Tri-County Brownfield Assessment Coalition Formed

Clinton County, Eaton, and Ingham Counties have formed a coalition for the purpose of applying for a $1 million Brownfield Assessment Grant from the U.S. Environmental Protection Agency (USEPA). The three Counties and their respective Brownfield Redevelopment Authorities along with the Tri-County Regional Planning Commission developed this proposal as a means to improve our region’s eligibility to secure additional Brownfield site assessment grant funds. Beginning this year, the USEPA has given preference to regional organization when awarding Brownfield grants over individual counties.

EPA Brownfield site assessments are the technical studies needed to identify the risk of hazardous materials or petroleum contamination on a property. A site assessment program can encourage and facilitate the redevelopment of previously used, potentially contaminated sites. It does this simply by paying for the assessments that provide a potential developer with the important information they need about hazards and risks when considering a site for redevelopment. Applications this year are due to USEPA by November 28, 2011. The Coalition’s application for the $1 million EPA grant was submitted on Friday, November 25.

A regional assessment program would complement existing County Brownfield programs. This coalition will not be involved in the day-to-day operations of the individual county Brownfield authorities. It is strictly for the purposes of applying for and, if granted, implementing a regional Brownfield site assessment program.

TCRPC along with the coalition participants will conduct all grant application and related activities in an open and public way with public meetings, public records, and in compliance with all applicable state and federal regulations. TCRPC would be responsible for maintaining communications regarding projects and potential projects with each County and for convening and facilitating coalition meetings.

The proposed grant project will use EPA standards and share clear criteria for eligible projects to be funded under this program. Typically, these criteria include that properties be previously used, eligible for redevelopment for an economic development purpose such as the creation of jobs, and have a potential contamination that hinders their reuse.

The grant proposed would fund Phase I, Phase II, and baseline environmental assessments as well as education and outreach concerning Brownfield redevelopment and the assessments program. The coalition will allocate equal funding for assessments in each of the counties with each receiving one-third of the grant after the cost of the education and communication program is allocated – or approximately $325,000 per county. TCRPC would receive the remaining funds to provide the grant program’s education and outreach activities across all three counties.

Each county will disburse Brownfield assessment funds for projects in their county. If, after one year, funds allocated for assessments in each county have not been fully utilized, the Coalition members may decide by a vote of the three counties in the coalition to re-allocate the grant funds among the three counties to assure that the region as a whole benefits from the fund.

Under the USEPA guidelines for this grant program, no matching funds are required and no administration fees can be charged to the grant. Tri-County Regional Planning Commission, on behalf of the three-county coalition, will be the lead applicant. The technical work of the assessments would be conducted by an EPA approved environmental consultant. TCRPC will bid the work openly and, with the coalition members, select the consultant firm.

TCRPC will hold and execute the required contracts with USEPA and a qualified environmental consultant firm to conduct the assessments. Tri-County, with assistance and approval from each County, will be responsible for the grant communications and reports with EPA, state agencies or others as appropriate, overseeing the contracted consultant, and the day-to-day Coalition administration.

Michigan Ranks 2nd in Bloomberg Study of States’ Economic Health

Michigan’s economic health is second-best in the nation, according to a prominent national ranking released Wednesday. 

Bloomberg, a respected global leader in business and financial information, released its first-ever economic health evaluation during a conference in New York City. The Bloomberg analysis considered important indicators such as personal income, tax revenue, employment and housing prices. 

This pure analysis of data has placed Michigan at the top echelon on the ranking, second only to North Dakota, which is experiencing an economic boom fueled by oil exploration. Gov. Rick Snyder said the Bloomberg Economic Evaluation of States shows that Michigan’s strategy for regaining its economic vigor is on track. 

“Michiganders are pulling together to do what’s best for our state and the results are paying off,” Snyder said. “The fact that our shared accomplishments are recognized by one of the country’s premier financial information providers should reinforce our commitment to keep driving forward. Let’s continue with our reinvention of Michigan so future rankings have us as No. 1.” 

Michigan’s budget, approved by the Legislature and signed by Snyder, put Michigan on a strong footing that provides fiscal stability now and into the future. It eliminated one-time fixes and overspending, paid down future liabilities and sends a strong signal to job providers that Michigan is open for business.

“This is good news and it shows that Michigan is ripe for economic growth,” said Mike Finney, president of the Michigan Economic Development Corp. “We have strong corporations headquartered in our state and we have created an environment for new entrepreneurs to succeed. This has propelled Michigan toward the top of the Bloomberg ranking.” 

By lowering businesses taxes, eliminating the Michigan Business Tax and removing other barriers to growth, Michigan is leaping from one of the bottom tax climates in the nation to a more competitive position. The nearly $1.8 billion reduction in business taxes promises a new level of economic certainty for businesses and makes Michigan an attractive environment for growth. 

Earlier this year, Fitch Ratings also took note of Michigan’s progress. This balanced budget based on solid financial principles helped move Fitch’s outlook for Michigan to “positive,” another sign that Michigan is on the right path and that our fiscally sound environment is ripe for economic growth. And just this week, the U.S. Small Business Administration reported Michigan’s banks and credit unions led the country in providing government-backed small-business loans, according to new data from the U.S. Small Business Administration.

The Detroit Free Press reported that from October 2010 through September 2011, $689 million in small-business loans went to businesses in a variety of industries in Michigan. During that time frame, lenders made 2,063 of the most popular type of SBA loans, called 7(a) loans, up 47 percent from the 1,406 loans worth $386 million in fiscal 2010.

– Michigan Economic Development Corp.

Michigan leads the nation in tech job growth, according to the latest 2010 TechAmerica report, putting the state in the national spotlight along with the winning Detroit Tigers.

Michigan, which lost more jobs than any other state during the past decade, has been a national comeback leader in recent weeks. Just last month, Newsweek / The Daily Beast ranked Michigan the state No. 1 in job growth. CNN, Bloomberg and other national outlets have even described Detroit asthe next Silicon Valley.

“The fact that Michigan added more tech jobs in 2010 than any other state may surprise people – including people within the state,” TechAmerica’s Ed Longanecker said in a press release. “But job gains in key sectors like software and research and development have helped the state recover from hard economic times.’’

The survey showed Michigan adding 2,700 tech jobs between 2009 and 2010 while the national overall lost 116,000 such jobs during the same period. Only Michigan, the District of Columbia and six other states showed growth in the tech jobs during that period: Virginia, Colorado, Massachusetts, West Virginia, Utah and South Carolina.

Michigan advantages: one of the largest concentrations of R&D, engineers, research universities and access to talent.

Just one example of Michigan’s high tech hiring wave came last month, when HP announced it was opening a new HP Enterprise Services applications delivery center in Pontiac with plans to hire more than 200 tech professionals and additional support personnel over the coming months.

Michigan was chosen over competing sites due to the high quality workforce and the availability of technical resources, according to an HP spokesperson.

Visit here to read more of the Cyberstates 2011 report.

Join the conversation about Michigan business, talent and job opportunities at Facebook.com/MiAdvantage. And help make the case for living, working and playing in Michigan by sharing our Why Michigan video.

* Source: http://content.govdelivery.com/bulletins/gd/MIEDC-15374e

Clinton County Second in Total Employment Growth in Michigan

Along with Eaton, Ingham, Ottawa, and St. Joseph Counties, Clinton County had the second highest total employment growth in Michigan during the first quarter of 2011 at 3.9%, second only to Berrien County which had a growth rate of 5.1% but an unemployment rate of 10%.

Source: FDIC

Michigan’s June Jobless Rate Increases

According  to data released on July 20 by the Michigan Department of Technology, Management & Budget (MDTMB), Michigan’s seasonally adjusted unemployment rate in June 2011 increased over May 2011by two-tenths of a percentage point to 10.5 percent. Total employment decreased by 26,000 in June while unemployment rose slightly by 8,000. The state’s labor force fell by 18,000 over the month. Michigan’s unemployment rate was one and three-tenths percentage points above the U.S. June rate of 9.2 percent.

The Michigan jobless rate in June 2011 was two and one-tenth percentage points below the June 2010 rate of 12.6 percent. The national jobless rate decreased by three-tenths of a percentage point over this period.

“Halfway through 2011, Michigan’s labor market has shown no significant changes since the beginning of the year,” said Rick Waclawek, director of the Michigan Bureau of Labor Market Information and Strategic Initiatives, part of MDTMB. “Since January, statewide payroll jobs were little changed and the jobless rate edged down by two-tenths of a percentage point.”

Monthly Labor Force Trends & Highlights

• Michigan’s June jobless rate was similar to the state’s 2011 year-to-date average rate of 10.4 percent.

• The state’s unemployment rate in June was the highest since January’s 10.7 percent.

• Although Michigan’s monthly jobless rates edged upward over the last two months, the state’s quarterly jobless rate declined slightly. From the first quarter to the second quarter 2011, Michigan’s unemployment rate declined by two-tenths of a percentage point.

• From the first quarter to the second quarter, the state’s unemployment level decreased slightly by 8,000, however Michigan’s labor force also recorded a minor reduction          (-10,000).

• From June 2010 to June 2011, Michigan’s workforce fell by 79,000 or 1.6 percent.

• Since June 2010, the state’s total employment level increased moderately by 31,000 or 0.7 percent, which outpaced the national total employment gain of only 0.2 percent over the same period.

Payroll Jobs Advance in June Following Spring Job Cuts

According to the monthly survey of employers, seasonally adjusted Michigan payroll jobs rose in June by 18,000 to 3,921,000. This job gain offset the decline of 19,000 jobs over the prior two months. Over-the-month job gains were posted in government (+10,000), leisure and hospitality services (+8,000), education and health services (+6,000), and construction (+4,000). June job declines were recorded in professional and business services (-5,000) and information (-3,000). The state’s remaining major industry sectors recorded only minor changes over the month.

Industry Employment Trends and Highlights

• June’s payroll job total was the second highest of 2011 just slightly below the March level of 3,922,000.

• Even with the relatively large over-the-month gain, Michigan’s second quarter 2011 average job total (3,912,000) declined slightly from the state’s first quarter average job level (3,916,000).

• Construction jobs displayed a second consecutive monthly increase following a very weak April total. The June level matched this sector’s highest monthly total posted in 2011.

• Manufacturing jobs have been very steady in the first half of 2011 in Michigan. Monthly totals have hovered around 495,000, which is well above totals posted throughout 2010.

• The June jump in leisure and hospitality services’ jobs brought this sector to its highest level in 2011. However, jobs in leisure and hospitality services were essentially flat from June 2010 to June 2011.

• Since June 2010, payroll jobs in Michigan increased by 53,000 or 1.4 percent. Significant job gains over this period were concentrated in four of Michigan’s 11 major sectors; professional and business services (+22,000), manufacturing (+17,000), education and health services (+16,000), and construction (+11,000).

• Seasonally adjusted average weekly hours and earnings of production workers in manufacturing declined over the month as well as over the year.

All told, payroll jobs grew statewide by 41,000 or 1 percent from a year ago, which is moderate improvement but “not real robust,” MDTMB said.

Clinton County Has Second Lowest Unemployment Rate in Michigan in May

Although June numbers have not yet been published by the Michigan Bureau of Labor Market Information & Strategic Initiatives, Clinton County had the second lowest unemployment rate in the State in May.

Michigan County Jobless Rates, May 2011

Source: Michigan Bureau of Labor Market Information & Strategic Initiatives

Michigan’s Low personal Income Taxes

Bet you never thought that Michigan was a low income tax state! According to the nonprofit Tax Foundation, seven states do not have a personal income tax and Michigan has the third lowest tax rate of states that do collect personal income taxes. At 4.35%, Michigan trails only Pennsylvania at 3.07% and Indiana at 3.4%. There are 40 states with higher tax rates than Michigan ranging from Arizona at 4.5% to New York at 8.97% in the East to Iowa at 8.98% in the Midwest and Hawaii, Oregon, and California at 11%, 11%, 10.3% respectively out West.

Talent

 Earn, Learn and Intern!

In partnership with Prima Civitas, Michigan State University is hosting the 2011 Earn, Learn and Intern event on Wednesday, September 7th.  The event is open to all MSU students who are looking for employment or internships, as well as employers who are looking to create a streamlined recruiting process for their organization.

To register for the event, go to http://bit.ly/ELIInfo. For more information, contact Amanda Avila.

Register for a local Talent Summit

The Local Talent Summits are bi-annual meetings held across the state that will bring together Michigan Talent Network members to discuss talent issues. The goals of the Local Talent Summits are to:

• Facilitate a talent strategy for the area
• Evaluate areas of strength, weakness, and opportunity
• Identify how the State can help the area reach its talent goals

The Local Talent Summits will be held in 9 locations across the state. You are encouraged to register for and attend any summit, but we do ask that only one representative from each organization attend.

Click here to register, space is limited.

While the state’s overall population dropped, Clinton County saw a 16% jump. That is the largest jump for any Michigan county in the 2010 census.

The jobs of the future will come from enterprises not in existence today. Where those new ideas pop up will most likely be the locations the new businesses take root. It is for those reasons the Clinton County Economic Alliance initiated the Clinton County Youth Business Venture Competition last year. If we can excite our young adults to think about new business ventures hopefully some of those will bear fruit and prosper here in Clinton County.

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Senate Candidates Judy Emmons and James Hoisington to Speak

The Clinton County Economic Alliance is delighted to announce that the two candidates for the Michigan Senate district that includes Clinton County have agreed to speak at the Alliance’s upcoming quarterly meeting. The Alliance is meeting on October 12 at 7:30 a.m. at the Clinton County RESA offices in St. Johns. Address is 1013 S. U. S. 27. The Alliance welcomes all residents of the county to come and hear the positions of Ms. Emmons and Mr. Hoisington. This is a wonderful opportunity to hear their views on a variety of issues currently facing the state and the region. There is no charge for attending the event. Ms. Emmons and Mr. Hoisington will begin speaking at 8:15 a.m.

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