Pew Releases New Report on the Fiscal Health of States
“More than four years after the Great Recession officially ended in June 2009, states’ financial conditions are improving, but most have yet to get back to where they were on some key measures of fiscal health.” That’s the headline from a report just completed by the Pew Charitable Trust. Fiscal 50: State Trends and Analysis examined data from all 50 states and its analysis determined that state governments still face additional difficulties that could set them back even as the economy picks up.
The fiscal health of state governments is important to the interests of chambers of commerce for many reasons. As states continue to struggle to fund critical services such as health care for the needy, basic education, transportation and public safety, they are not able to invest in more long-term strategies, and there is additional pressure to find new sources of revenue.
Further, state finances matter because of their impact on the U.S. economy. State spending accounts for 4 percent of the nation’s economic output, and states provide about one-third of local governments’ budgets.
While the report finds that some measures are moving in the right direction, unavoidable pressures loom and could slow further recovery. One hurdle is the burden of unfunded pension and retiree health care costs for public workers. Another challenge is the prospect of more federal budget cuts—coming after a period in which federal dollars made up a bigger share of overall state revenue than at any time in at least 50 years.
Pew’s Fiscal 50 identifies five core areas that contribute to states’ fiscal health: Revenue, Spending, Economy and People, Long-term Costs, and Fiscal Policy. Within this framework, Pew highlights trends, makes 50-state comparisons, and provides unique insights into significant fiscal, economic, and demographic indicators that influence state finances.
For most indicators, Fiscal 50 allows users to compare their state to others and to a national benchmark, providing insights and perhaps raising questions in state capitals about why states lead or lag behind their peers. This resource will be updated when new data are available, and additional indicators and further analysis will be added.
Click here to access the full interactive report. For questions or more information, contact Sarah Leiseca, email@example.com, 202.540.6369.
Mick's Thanksgiving Message
“Piglet noticed that even though he had a Very Small Heart, it could hold a rather large amount of Gratitude.” A.A. Milne
Reading to a grandchild provides wonderful insights. Like Winnie the Pooh’s fluff-stuffed friend, I’m surprised that my inadequate heart can hold the gratitude I feel for members, directors, allies, dedicated staff, long-suffering family and dear friends. Thank you. No, really! Thank you.
Am also grateful to George, a friend serving in Afghanistan, or maybe Iraq or Kuwait (never sure from week to week), for the personal reminder of those who won’t be with families on Thursday.
My little heart also has room for a few dreams. I pray that one of these Thanksgivings, I will express my gratitude to courageous leaders who somehow restored civil discourse and compromise to American politics. All of us may need to pitch in a bit on that one. Oh bother!
Chamber Forced To Drop Statewide Health Insurance Offering
Last week, Insurance Journal reported that the Greater Oklahoma City Chamber “will no longer provide a health insurance offering that 1,400 companies in the state have been using.”
According to the news item, the chamber said that “its group plan does not meet the requirements of the federal health overhaul law.”\
In an article in The Oklahoman, chamber President Roy Williams said that having to end the program is “very, very unsettling.”
“It was a good program, otherwise 1,400 companies wouldn’t be on it,” Williams remarked.
Read more here.
Helping Those Impacted By Devastating Storms in Midwest
As our friends recover from the intense storms and deadly tornadoes that swept through the Midwest – including those among the hardest hit areas of Washington, Pekin, and East Peoria, Ill. -- ACCE asks you to consider donating to the Red Cross’ Central Illinois Disaster Relief effort. According to the Red Cross, funds collected will support supplies, food, and community restoration for the victims of the tornadoes that hit these communities this past Sunday, Nov. 17. According to Mary Ardapple, interim president of the Peoria Chamber of Commerce, “many will be in need for a long period of time."
Tulsa Regional Chamber Wins Oklahoma Quality Award
The Tulsa Regional Chamber has received the Oklahoma Quality Award for Commitment from the Oklahoma Quality Foundation. The award is affiliated with the prestigious Malcolm Baldrige National Quality Award administered by the U.S. Department of Commerce. Oklahoma’s Quality Award program is regarded as one of the most rigorous Baldrige programs in the country.
According to a press release issued by the chamber, the program helps businesses and not-for-profit organizations identify strengths and opportunities for improvements, and helps them consider processes that will increase efficiency, engage employees, examine strategic goals and improve customer relationships and sales. The program has three tiers: Commitment, Achievement and Excellence.
“Economic development is about creating jobs,” said Heather Griswold, executive director of the Oklahoma Quality Foundation. “Our Quality Award winners include formidable organizations from business, health care and education, and they credit the quality process with helping them become stronger and more competitive. Quality organizations create quality jobs, and these have created thousands of jobs in Oklahoma.”
This is the first year the Tulsa Regional Chamber has taken part in the Oklahoma Quality Award process.
“As a membership-based, business-driven leadership organization, we strive for nothing less than excellence in serving our members and the Tulsa regional community," said Mike Neal, president and CEO of the chamber. "Our staff began this exciting and important journey of continuous improvement to strengthen our organization from the inside out. Our staff decided from the beginning that this was not about earning a trophy; rather, it was about improving ourselves, our organization, and therefore, our community.”
Grant Opportunity for Transforming Communities
ACCE has recently learned about a grant opportunity that supports communities like yours which are highlighting their distinctive attributes.
ArtPlace America, a collaboration of 13 leading national and regional foundations and six of the nation’s largest banks, is accepting applications for its 2014 Innovation Grants. Grants will be awarded to projects that involve arts organizations, artists and designers working with local and national partners on place-based strategies that can transform communities.
Past recipients of the grant and types of projects supported include:
- St. Claude Arts District and Parkette Program (New Orleans)
St. Claude Main Street, Inc. (SCMS) and CivicCenter
To encourage commercial and cultural revitalization along a pivotal corridor in New Orleans, St. Claude Arts District and Parkette Program will unify and support the corridor’s creative endeavors and promote its activities through innovative marketing, visual identification and community engagement programs developed in partnership with internationally-renowned artist and designer Candy Chang.
- REVOLVE Livernois (Detroit)
Detroit Economic Growth Association (DEGA) REVOLVE Program
REVOLVE Livernois will match world-class designers and artists with local university students, residents and entrepreneurs to activate vacant storefronts and public spaces with pop-up artinstallations, businesses and events to transform Detroit's historic "Avenue of Fashion."
- CreateHereNowCT (State of Connecticut)
State Dept of Economic & Comm Development/CT Office of the Arts
CreateHereNowCT is a pilot program of the State of Connecticut DECD/COA that will build a network of distinctive, artist-repurposed vacant spaces statewide in 20 participating towns and cities, for the creation and growth of businesses and sustainable placemaking initiatives by fostering cooperative partnerships among municipalities, artists, entrepreneurs and property owners.
According to ArtPlace America’s website, “the Innovation Grants program is designed to invest in creative placemaking projects that reach for new possibilities and involve a variety of partners who together are committed to increasing the vibrancy and diversity of their communities.”
Listening to Leaders: Regional Stewards & Civic Innovators
ACCE’s Regional Strategies Division is launching a new series of Leadership Profiles focused on how regional leaders across the country are “making it happen.”
By Shelley Lauten, partner with triSect, LLC, a strategy consulting firm focused on civic innovation (www.trisectinnovates.com).
Regional collaboration, as theory, makes a lot of sense. Communities come together to share resources. Partnerships are formed to leverage assets. Public agencies and private companies come together to build stronger economies and enhance their communities’ quality of life.
Why then, is “regional collaboration” so darn hard? ACCE’s Regional Strategies Division launches this quarterly series to interview regional practitioners who are breaking down barriers and creating innovative partnerships—and showing specific and measurable impact in their regions.
Who better to begin this series than the leaders of the Greater Des Moines Partnership—winners of the 2013 Organizational Champion Award for its work on behalf of “Capital Crossroads”?
I sat down with leaders of the Greater Des Moines Partnership—Jay Byers, CEO, Eugene Meyer, president and Susan Ramsey, senior vice president of communications and marketing, to get a clearer understanding not only what they’ve done, but how they’ve done it.
SL: Let’s start from the beginning. The Greater Des Moines Partnership was created by the leaders of the Greater Des Moines Chamber Federation, which had been in existence for over 100 years. Susan, you were there through the transition. Why the change?
Susan: In the late 1990s, our business leaders saw the writing on the wall. They were serving on multiple boards and supporting multiple organizations focused on very similar business and community issues. We had two separate economic development groups, one focused on the downtown core and one focused regionally; a separate chamber federation; and a separate downtown events and neighborhood improvement group. The organizations’ missions and goals were complimentary, but strategically, they were fragmented. Our investors’ time commitment alone was untenable, but they also felt they weren’t getting the best bang for the buck.
SL: So, where did you start?
Susan: The Chamber Federation chair led a core team of community leaders in reviewing other cities’ experience with similar growing pains, as well as the national trend towards regionalism. Improved efficiency was an important short-term goal, but ultimately they wanted improved economic competitiveness, with our communities coming together and collaborating for greater success.
SL: OK, but the Des Moines Chamber Federation had 125 years of tradition and institutional pride. Was that hard to overcome? How did it happen?
Susan: Very thoughtfully. While the details of the organizational merger were being finalized, a new investment initiative was launched to fund a five year economic and community development plan with clearly defined goals. The campaign raised a record (for the time) $10 million. Simultaneously, that same core team conducted an executive search for a proven regional leader. The combination of secured funding and new leadership created a win-win opportunity. At the end of 1999, three of the four groups formally dissolved to create the umbrella organization called the Greater Des Moines Partnership. The downtown group moved into the Partnership offices, but remained organizationally independent until its board approved the merger in 2003.
SL: Jay, how has the Partnership grown?
Jay: Creating a thriving business environment, for organizations large and small, is crucial to the overall success of the region. We began in 1999 with just over 2,000 business members and a fairly traditional member benefit program. Today, we work regionally with 20 affiliate chambers of commerce, representing 4,700 business members who wish to grow their businesses, grow their community, and grow economic opportunity for Central Iowa. By collaborating with local chambers, communities, and other local economic development groups, we have helped drive over $3 billion of capital investment since we merged in 1999.
SL: Wow. 20 Chambers coming together. How does the affiliated chamber relationship work?
Jay: In 2007, we joined forces with our regional chambers to develop an improved membership model that created the best value for the individual business and the region as a whole. With efficiency and effectiveness driving our discussions, we identified competing programs and services between the Partnership and our local chambers. We agreed to divide and conquer with a “dual membership” model we launched in 2008.
The affiliate chambers now sell all memberships, offering those services so important at the local level: networking opportunities, community engagement, and local leadership. Those members receive regional benefits from the Partnership at no additional cost: regional economic development, workforce attraction, downtown development, small business development, international programming, public policy, long term visioning, and more. Under this model, you have all the business-to-business connections of your local chamber, as well as the collective economic impact of the regional Partnership. Our regional work is funded primarily by over 300 public and private investors who want to see Greater Des Moines grow.
SL: Gene, how did all this lead to “Capital Crossroads,” your award-winning visioning process?
Gene: Capital Crossroads capitalizes on this new regional identity and buy-in to ensure Central Iowa continues to grow and prosper for current and future generations. The vision plan was developed by a steering committee that included the Partnership, but also involved other key community organizations: Bravo Greater Des Moines, Community Foundation of Greater Des Moines, Des Moines Area MPO, Iowa State University, Prairie Meadows, and United Way of Central Iowa.
We very intentionally expanded the scope of the plan to a geographic region that is within a 50-mile radius of the state capitol. We evaluated input from close to 5,000 citizens on everything from infrastructure to community culture. It took a year to get from input to implementation, but the time was well spent. Today, we have over 500 community and business leaders working on short and long-term projects with significant community support and momentum.
SL: What have you accomplished?
Gene: In the first year, we were able to complete 34 initiatives from across our 11 core areas or “Capitals.” More importantly, we’ve progressed on a number of key benchmarks, including graduation rate, employment, population growth, and per capita personal income. You can read the report online at www.capitalcrossroadvision.comand you can hear Jay discuss them further during an ACCE webinar happening Nov. 8, at 2 p.m. ET.
And our efforts are paying off. Here are just a few of the community recognitions we’ve received this year:
- #1 "Best Places for Business and Careers" - Forbes, 2013
- #2 "Strongest Local Economy" - Policom, 2013
- #3 "Top 15 U.S. Cities' Emerging Downtowns" - Forbes, 2013
- #1 "Best Midwest Cities for Young Adults" - The Business Journals, 2013
- #2 "Best Cities to Start a Business" - The Street, 2013
SL: Jay, what advice do you have for others who might be interested in making regional partnerships work?
Jay: I’ve always believed in Peter Drucker’s quote: “The best way to predict the future is to create it.” That’s what we are trying to do in Central Iowa. We’ve set measureable goals, and we’ve been very open about our process. Our business and community leaders have asked us to look at everything: structure, process and programs… and evaluate ourselves against the best in class regions around the world. By doing so, we can build on this momentum and achieve our vision of a world class region where you’ll find big city opportunity in a place where you can breathe, a region where a thriving and robust economy equals greater prosperity and vibrant, safe, diverse neighborhoods, where talented, hardworking people collaborate to build successful businesses, and where we honor our heritage of education and stewardship of our natural resources in a clean and sustainable environment.
Thanks for letting us tell our story.
Listening to Leaders is written by Shelley Lauten, partner with triSect, LLC, a strategy consulting firm focused on civic innovation (www.trisectinnovates.com). If you have a “Listening to Leaders” idea or have a regional success story you’d like to share, please email Shelley at Shelley@trisectinnovates.com
Recommendations for Business Books and Speakers
In our Business Books and Recommended Speakers QuickPoll, we had 76 respondents who replied to the following 4 questions:
- What are your favorite business reading topics?
- In what format do you read your business books?
- What three business books would you recommend?
- Who is the best speaker you have heard in the last two years?
QuickPoll results include:
- 63% of respondents have read recently published business books in the past year.
- Leadership, Management, Communication and Entrepreneurship were among the top reading topics.
- 87% of respondents read traditional/printed books, 51% read ebooks, and 22% use audiobooks.
The fill-in portion of the poll to list the 'top 3 business books to recommend' generated over 100 titles and many of them are linked to our ACCE Store where you can purchase directly through Amazon.
The other fill-in portion of the poll for listing 'best speaker heard in the last two years' generated over 60 names of presenters. These are results you can use to help plan your chamber's programs and events.
Does this QuickPoll include your favorite or highly preferred business book or speaker? If not, please leave a comment and tell us what titles and speakers you recommend. All feedback welcome!
Have questions? Need help? Email HERO@acce.org for assistance.
Erksine Bowles and Fix the Debt
A huge thank you to the State Chamber Policy Center for allowing ACCE's Government Relations Division to participate on Tuesday's call with Erskine Bowles. If you were unable to join the conversation, please review the links below for more information.
From the State Policy Center:
The Policy Center would like to thank Erskine Bowles and the Fix the Debt campaign for speaking to our members on Tuesday regarding the long-term federal debt and how to get our fiscal outlook under control. In April, Erskine Bowles and Alan Simpson released “A Bipartisan Path Forward to Securing America's Future” (download the summary or full report). They describe their report as “not our ideal plan, it is not the perfect plan, and it is certainly not the only plan. It is an effort to show both sides that a deal is possible; a deal where neither side compromises their principles but instead relies on principled compromise. Such a deal would invigorate our economy and demonstrate to the public that Washington can solve problems, and leave a better future for our grandchildren.” For more information see the two-page summary (pdf) of what Fix the Debt is calling for from the upcoming budget conference committee and an op-ed published in the Washington Post.
The Fix the Debt campaign now has chapters in all 50 states.
Lyons, Co., Chamber Seeks Your Help
Last month, the community of Lyons, Co., was ravaged by flooding that washed away its roads and bridges, devastating many of this small town’s small businesses. The Lyons Chamber of Commerce, an ACCE member, is appealing to fellow chambers for financial support. 100% of the special flood relief membership dues and donations collected will be dispersed to their small businesses as cash grants to assist them through business interruption. All donations are tax deductible.
According to the Chamber’s website, they are seeking your support because:
- Insurance won’t cover many of our businesses because they weren't insured for the 1000 year flood.
- SBA disaster loans, bank programs, and all of the “typical” forms of assistance are not designed to address the needs of the small businesses that have incurred significant uninsured losses and must go for months without income.
- To-date Lyons is still without water, sewage, gas, and, in most places, electricity.
- Lyons is made up of almost 100% small family owned businesses that are falling through the cracks and face significant losses due to business interruption at the same time they are facing evacuation from their homes.
- These businesses form the backbone of Lyons’ economy. If they were to fail it would have a devastating impact on the town’s economy, jobs, schools, and residents.
Click here for more information or to donate funds.