Just The Facts about Hickory's Loss of the Younger Demographic

The other day I was fortunate to be present and hear a presentation made by Taylor Dellinger of the Western Piedmont Council of Governments. I also received a Newsletter that has his studies in it. This newsletter is very informative and it really lays out the issues that this area faces going forward.

The first issue that the Newsletter points to is the rise in the area's unemployment rate from 8.5% in October 2008 to 14.9% in April 2009. Subsequently, we have seen the unemployment rate rise further to where it is currently 15.4%.

The next issue that the newsletter delves into is the area's Per Capita Personal Income (PCPI) level. This periodical shows that PCPI rose from $26,101 in in 2004 to $29,084 in 2007 -- the number has risen to $29,385 for the year 2008. Pointed out is that the 9.3% rate of increase over the 4 year span, from 2003 to 2006, did not keep up with the nation's inflation rate of 9.8%. Also shown is the variance in PCPI per county where Caldwell County has the lowest PCPI ($27,240) and Catawba County has the highest ($31,051).

PERSONAL INCOME PER CAPITA IN CURRENT DOLLARS for the year 2008 (not from the newsletter), puts these numbers in perspective. The State with the highest PCPI is Connecticut ($56,248) and the State with the lowest is Mississippi ($29,569). North Carolina has a PCPI of $34,439 and is ranked #36 out of the 50 States. The average PCPI in the U.S. was $39,751.

Comparing other MSAs in North Carolina, Durham's PCPI is $39,383, Raleigh-Cary, NC is $39,239, Charlotte-Gastonia-Concord is $38,962, Fayetteville is $37,248, Winston-Salem $36,128, Greensboro-High Point, NC is $34,263, Asheville is $33,238, and Wilmington is $33,036. Obviously this shows that we have the lowest Per Capita Personal Income of any of the Large MSAs in the State of North Carolina and it really isn't even close.

The next category that Taylor looked at is one that has been a Pet Peeve with myself, and several other people that I know, for what is going on several years. The Nation as a whole is getting older, but what the stats in this category show is that Hickory is aging dramatically. It is my opinion that this has happened mostly because of the combination of a lack of opportunity for the younger generation and local leadership's insistence on marketing our area towards retirees.

The Population in our Metro for the ages 18 to 44 grew from 130,033 to 130,078 from the year 2000 to 2008. That means we grew by 45 people, in that age bracket, during that time period. During that same time period, the 45 to 64 age bracket population grew from 83,612 to 97,698, which is a 16.8% increase. The 65+ age bracket population increased from 46,056 to 50,559, which is a 9.8% total increase. When the numbers are carried out further what we see is that our overall population increased by 5.67%, which consisted of the 0 to 44 age bracket increasing by a microscopic .38% and the 45+ age bracket increasing by 14.34%.


Can you now see the pulpit that I have been preaching from on this issue? Young people renew and revitalize a community. Look at the number of children being born. The 0 to 4 year old age bracket has decreased by -7.8% and this is a direct result of the emigration of adults of child bearing age from this community. The 5 to 17 age bracket is below the overall average by over 27%, which shows that this trend has been carrying on longer than four years (plus the data lag). This trend most likely goes back to the aftermath of this decade's first recession.

Continuing on with Taylor's data, we are given a comparative chart to other MSAs in North Carolina. What we see is that the areas with the most positive economic outlooks correlate with the growth in the age 18 to 44 age bracket. Wilmington grew 21.5% in this demographic, Raleigh-Cary 17.3%, Charlotte 11%, Jacksonville 8.2%, Greenville 6.8%, Asheville 6.4%. If you look at the Milken Institute rankings, these were the success stories from our state. Only one city, Fayetteville, with a decrease in this Demo had a positive outlook according to Milken and the loss of this Demo (in Fayetteville) may be due to emigration caused by military issues. Hmmm...It's starting to make sense isn't it.

Taylor states that the number of people over age 65 in the Hickory Metro was the third highest percentage in the state at 14%. Only Asheville (17.0%) and Wilmington (14.7%) had a higher percentage of population from that Demo. Raleigh's percentage from that Demo stands at 8.9% and Charlotte is at 10.0% by comparison.

You can ask anyone who knows me. I have hung out with older generations since I was knee high to a grasshopper. I love old people. I believe any wisdom I have is due to the time that I have been around seniors and peppered them with question after question. I don't want to run off or harm the older generations. I believe most of them will be the first to tell you, we cannot afford to market ourselves towards seniors at the expense of the younger population. It's like trying to squeeze out everything from Harvest without saving and sowing anymore seeds.

Taylor makes a lot of projections from the current statistics and trends that show our community continuing to age even more drastically over the next 15 years or so, until the life of the Baby Boomers has run its course. Much of what we are experiencing is due to a natural progression of that trend, but I honestly believe that this community has exacerbated that trend at the expense of economic growth. I think many of our leaders have mistakenly equated successful Marketing and PR towards the older demographic with sound Dynamic Economic policy.

Think about the life tendencies of retirees versus twenty and thirty-somethings. There is a reason why Manhattan advertising agencies market towards the younger demographic. They are the consumers. Why do we want to attempt to buck that trend. Look at what South Florida is experiencing due to their retirement communities. Do we really want to follow them down that dead end path?

I think that there are many elements to this loss of the younger Demographic that have played a role in our current malaise. We have to restore balance to this community and in my opinion the first step towards doing that is to attempt to retain our own young people and attract young outsiders. It will take a lot of hard work expressly geared towards this challenge to change these trends, but I honestly believe that the evidence of communities doing better than we are points us right to this conclusion.

Just what is Apple doing in Maiden?

The Following articles are mainly from the blog Data Center Knowledge. The online source is listed before the Linked article Titles.

Data Center Knowledge - Apple: Maiden iDataCenter Will be 500,000SF - The new North Carolina facility will be nearly five times the size of the 109,000 square foot Newark, Calif. data center Apple bought in 2006 to support its growing infrastructure. Apple also operates a data center on its Cupertino, Calif. campus, and has used content delivery networks from Akamai (AKAM) and Limelight Networks (LLNW) to distribute content to its users around the globe.

The new Apple facility will be the company’s East Coast operations center. A document filed with the state indicates the data center will “take advantage of 3 hour time change on the East Coast to facilitate communications between European operations/sales and California for data transmission.”

(Comment from Finance Geek Blog) - With Apple having already announced their plans to build its new $1 billion data center in Maiden, North Carolina, folks I have spoken to inside Apple told me that once the new data center is completed, Apple plans to have a more active role in doing their own content delivery.

Data Center Knowledge - The Apple-Google Data Center Corridor -Google and Apple may be having their tensions at the boardroom level, as seen in this week’s news that Google CEO Eric Schmidt will resign as a director of Apple. But the two technology giants are aligned in another area: the merits of western North Carolina as a haven for massive Internet data centers.

Apple’s planned $1 billion data center in Maiden, North Carolina is just 25 miles from a huge Google data center complex in Lenoir. The proximity is not an accident, as the Google project in Caldwell County prompted economic development officials in nearby towns to begin pursuing data center development.

Data Center Knowledge - Apple Moving Quickly on NC Project - Apple is known for keeping its new technology secret prior to launch. So it’s not surprising that the company has had little to say about its $1 billion data center project in North Carolina. The new iData Center may not get the fanfare of a MacWorld keynote when it launches, but one thing is clear: Apple plans to move quickly to the construction phase.

“It’s my understanding that they want to have bulldozers on-site in mid-August,” said Scott Millar, execurtive director of the Catawba County Economic Development Corp. “They’re moving ahead rapidly with permitting and acquiring the land, with the intent of hitting the ground running.”

Data Center Knowledge - The iDataCenter and the Cloud - Some of our recent reporting on Apple’s $1 billion data center in North Carolina is being discussed around the web this week, prompted by an piece by Leander Kahney at The Cult of Mac that examines the likelihood that the new facility will power cloud computing applications. There’s additional discussion at Wired, Fast Company, Mac News Network and Apple Insider.

Cult of Mac - Interview: Apple’s Gigantic New Data Center Hints at Cloud Computing - One of the leading theories about the size of the NC project is that Apple is planning future cloud computing services that will require lots of data center storage. Cloud computing is a hot trend, and I’d be surprised if Apple isn’t thinking hard – and thinking differently – about cloud computing. Many cloud enthusiasts say that cloud computing will eliminate the need for data centers. In reality, the only thing will change is the owner of the building. All the applications and data that are moving into the cloud will live on servers in brick-and-mortar data centers. The companies that are building the biggest data centers tend to also have the biggest cloud ambitions


Cult of Mac - Apple Hires Top Green Hardware Expert For Data-Center Ops - Apple is getting serious about getting green. To make sure that its massive new data-center is energy efficient, Apple has just hired a top eBay executive and leading expert in the “greening” of cloud computing facilities.

Apple has picked up Olivier Sanche, eBay’s Senior Director Data Centers Services and Strategy, according to the Green Data Center Blog. Based in San Francisco, Sanche has helped make eBay’s massive global operations carbon neutral since 2007. Most recently, he helped oversee the construction of eBay’s newest data-center, which will meet the highest green standards when it goes online in 2010.

Wired - Apple’s New Data Center Likely to Focus on Cloud Computing - Cloud computing huh? We noticed Apple’s iWork app was pretty lacking with no real-time online collaboration tools. A data center devoted to cloud computing would certainly fill that hole. But there still has to be something even bigger going on here, and your guesses are as good as ours. Add them in the comments below.

Fast Company - Is Apple Shooting for the Cloud? - Hence you could draw one final conclusion, and take this as yet another hint that Apple's fabled iTablet is on the way. It kind of makes sense--the iTablet's probably not going to have the same raw computing power and local storage as a fully-fledged MacBook, so a cloud-based solution for iPhoto, Numbers and the like (and maybe even your iTunes library?) would make excellent sense. It's just a thought, of course.

Apple Insider - Expert speculates Apple's new data center to be for cloud computing - While Miller's cloud computing possibilities are speculation, as Apple has not announced its intent for the $1 billion server farm, it's also possible Apple is simply looking to bolster its current offerings. When MobileMe first launched in July of 2008, it was riddled with problems. As a result, Apple gave subscribers an extra 30 days of free service. MobileMe now comes with a 60-day free trial, while the cost for the service, with 20GB of online storage, is $99 per year.

Wikipedia - Cloud Computing - is a style of computing in which dynamically scalable and often virtualized resources are provided as a service over the Internet. Users need not have knowledge of, expertise in, or control over the technology infrastructure in the "cloud" that supports them.

• It is service-based.
• It is scalable and elastic. I.e., it is able to add and remove infrastructure as needed.
• It uses shared infrastructure to build economies of scale.
• It is metered and users pay according to usage.
• Most importantly, of course, it uses Internet technologies.

Newsweek - Computing Heads for the Clouds - Supercomputers today are used mainly by the military, government intelligence agencies, universities and research labs, and large companies to tackle enormously complex calculations for such tasks as simulating nuclear explosions, predicting climate change, designing airplanes, and analyzing which proteins in the body are likely to bind with potential new drugs. Cloud computing aims to apply that kind of power—measured in the tens of trillions of computations per second—to problems like analyzing risk in financial portfolios, delivering personalized medical information, even powering immersive computer games, in a way that users can tap through the Web. It does that by networking large groups of servers that often use low-cost consumer PC technology, with specialized connections to spread data-processing chores across them. By contrast, the newest and most powerful desktop PCs process only about 3 billion computations a second.

The Hounds Layman Opinion - All of what these guys are saying is true. Yes, this will help to create flexibility and integration of computing. You will have a form of a Computer System at home. It will be like your Desktop today, but also full integrated with the controls of an Entertainment Center (TV, Stereo, Electronic Gaming), a Knowledge Center (Library, Spreadsheets, Word Processor, the Web), and a Home Management system (Electricity, Temperature Control, Lights, etc.) Then you will have your PDA (Iphone, Blackberry, or whatever comes next) that the Cloud (This network of Supercomputer servers) will allow you to keep in touch with your personal data at all times. In my opinion, the next Generation of PDAs will take the place of any need of a laptop.

The problems going forward in the near term are Disk Storage and Bandwidth. The Cloud helps to deal with those two issues. Remember the article I wrote a few weeks ago about the Exaflood entitled BROAD BAND!!! (There is a great video in that article)? Cloud Computing is the cheap and easy way to deal with these issues in the near term. On Demand High Definition Video is going to take up a lot of Bandwidth and Storage Space. Personal Hard Drive Capacity will continue to increase, but true High Definition Video will eat up a lot of space on those Hard Drives.

It will be easier and increase portability by having Movies and Audio parked on a remote server at a Data center, such as the one in Maiden. These facilities will also be needed to deal with the exponential World Wide wave of demand that is coming as more and more people gain accessibility to computers. As one can see there is a need for this Data Center and I believe the ancillary benefits to this area will be tremendous.

Scott Millar & Taylor Dellinger address the Future Economy Council

Excellent Presentation by both men regarding the Economics of the Unifour. Here is a link to the site. Scott Millar is the President of the Economic Development Corporation and Taylor Dellinger works for the Western Piedmont Council of Governments.

Link >Future Economy Council Meeting #6 (8/19/2009)

Newsletter about the City Council meeting of August 18, 2009

This newsletter is about the Hickory City Council meeting that I attended this past week. City council meetings are held on the first and third Tuesdays of each Month in the Council Chambers of the Julian Whitener building.

At the bottom right of this page under main information links is a Hickory's Local Government link. If you click on that link, it takes you to our city’s website, at the bottom of the page you will see the future dates for meetings scheduled for this year.

At the top of the page, if you click on the “Documents” link, you will find historic Agenda and Minutes links. Agendas show what is on the docket for the meeting of that date. The Minutes is an actual summary of the proceedings of the meeting of that date.

Here is a summary of the agenda of the 8/18/2009 meeting. There were a couple of important items that were discussed at this meeting and the details are listed further below.

Invocation by Rev. Susan Smith of Exodus Missionary Outreach

Special Presentations:
Report by Elizabeth Parham, Director of the North Carolina Main Street Program on the Third-Year Assessment of the City of Hickory’s Main Street Program - Ms. Parham met today with the Downtown Development Association Board and conducted a 3rd year assessment of Hickory's Main Street Program. Hickory received the designation in 2006. The Main Street program is an Economic development program within the context of Historical Preservation. The Main Street Program initiates a 4 point approach - It incorporates organizational initiatives; design, promotions, and economic restructuring. She stated that Hickory is doing very well in that. Hickory has developed a balanced plan and balanced approach. She said it important for the community to understand its economic drivers, have a vision, and have a component of downtown as a part of that vision. It's a public-private partnership.

75 communities in North Carolina have adopted the Mainstreet principles. More than 2,000 communities across the country have adopted the principles. There is a tremendous network available to help Hickory. There has been $2 million invested over the last year. For every dollar of public money invested, there was $15 in private money invested. $6.3 million has been invested in Hickory over the last 3 years. 42 jobs have been created over the last year. 56 jobs have been created over the last 3 years. 15 new businesses have been created over the last year. 18 new businesses have been created over the last 3 years. She stated that the State of North Carolina is our Partner and willing to help.

The Hound thinks we need to see some sunshine when it comes to the Main Street Program. If this is a true Public-Private partnership, then the public has the right to see how these numbers are procured. We deserve to know where the assessments like a 15 to 1 ratio of private to public monies is established, also are the job and business assessments just new proprietors? Or are these net-plus gains that factor in new business versus those that have gone out of business?

If these are net-plus gains then I would like to congratulate the DDA for making progress in trying times; but if this does not take into account businesses that have left downtown, then we aren't getting the entire picture. Would someone be willing to step up and answer this question, because it does have me curious.

Consent Agenda:
A. Hickory City Council’s FY 2008 - 09 Priorities and Action Plan End of Year Report - Each year Council adopts the City Council Priorities and Action Plan that is derived from the Annual Council-Staff Retreat and the City’s master plans and initiatives. These priorities and action plans are used throughout the year as a guide to ensure that City departments advocate the philosophy defined by City Council. Following the close of each fiscal year, staff reports to City Council the results of the Priority and Action Plan.

B. Approve Issuance of a Certificate of Necessity to Accent Limousine for Operation of Passenger Vehicles for Hire Accent Limousine has applied for a certificate for the use of three passenger vehicles for hire for the fiscal year of 2009-2010

C. Amendment To Traffic Ordinance By Reducing The Speed Limit From 35 Mph To 25 Mph Along 37th Ave NE From The Intersection With Falling Creek Rd To 37th Ave Dr. NE, 7th Ave Dr. NE From The Intersection With 37th Ave NE To The End, 36th Ave Cr. NE From The Intersection Of 9th St Dr. NE To End, 36th Ave Ct. From The Intersection With 10th St. Dr. NE To End, 10th St NE From The Intersection With 37th Ave NE To End, 11th St. NE From The Intersection Of 37th Ave Dr. NE To The Intersection With 38th Ave NE, 10th St Dr NE South From The Intersection With 37th Ave NE To End, 10th St Dr NE North From The Intersection With 37th Ave NE To End, 38th Ave NE North East From The Intersection With 11th St NE To End, 38th Ave NE North West From The Intersection Of 11th St NE ToEnd, 9th St Dr NE 980 Feet South From The Intersection Of 37th Ave NE, And 9th St Dr NE North From The Intersection Of 37th Ave NE To End Under the City’s Traffic Calming Program an application was received fro a speed limit reduction along the indicated streets above. Staff determined that a speed limit reduction from 35 mph to 25 mph would be acceptable, if the residents desired. The petition packages were received and were determined by Staff to be valid and met the 75% signature requirement.

Approval of Citizens’ Advisory Committee Recommendation for Assistance Through the City of Hickory’s Housing Programs The following applicants are being recommended for approval for assistance under the City of Hickory’s First-Time Homebuyers Assistance Loan Program:
Susannah L. Brown 4734 Braxton Gate Lane - Approved for up to $5,000.00
David A. Rockensuess 1022 7th Street, NE - Approved for up to $6,500.00

The following applicants are being recommended for approval for assistance under the City of Hickory’s Housing Rehabilitation Loan Program:
Kevin Ames 1523 10th Street Place, NW - Approved for up to $10,000.00
Charles Sanders & Angeline Geter 761 8th Avenue Court, SE - Approved for up to $ 5,000.00
Stefanie Fortuna & Jovan Hoover 428 3rd Avenue, SW - Increase Initial Loan to $8,000.00
Shirley Gray 744 7th Avenue, SE - Increase Initial Loan to $7,500.00
Lucille Peterson 245 6th Avenue, SW - Increase Initial Loan to $7,500.00
Dirk & Carolyn Thompson of 146 3rd Avenue, SE were recommended to subordinate City’s second mortgage to Community One Bank due to refinance of first mortgage.

Funds are budgeted for these items through the City of Hickory’s former Rental Rehabilitation Program income received in FY 2008 and/or Program income received through the City of Hickory’s Community Development Block Grant Program The Citizens’ Advisory Committee recommends approval.

Approval of Lease Agreement With T-Mobile South, LLC For Antenna Space on City of Hickory’s Water Tower and Ground Space for Communication Equipment Located at 1441 9th Avenue, NE - The Lease Agreement is with T-Mobile South, LLC to locate a cell phone antenna on the City’s water tower located at 1441 9th Avenue, NE along with ground space for additional communication equipment. T-Mobile currently has an antenna and ground equipment at this location. Triton PCS Property Company, LLC initially entered into a lease with the City on October 21, 1998 for a portion of this property, who subsequently assigned its rights to Suncom PCS, whereas T-Mobile acquired Suncom. The initial lease agreement with Triton/Suncom expired on October 20, 2008 and has been leased on a month-to-month basis with T-Mobile under the original lease terms. This is a new lease with TMobile for an initial five years with one additional five year extension. T-Mobile will pay $36,000.00 for the first year of the initial five year term with an annual increase of 3% each successive year. Site improvements are to be made by T-Mobile along with regular inspections of its antenna.

Consideration and Approval of Revenue Sharing Agreement With Catawba County for the Blackburn – Plateau Waterline Loop Project - The waterline loop in the southwestern part of Catawba County will serve a portion of Startown Road south of Maiden, Blackburn Bridge Road, Hickory/Lincolnton Highway, Grace Church Road, Plateau Road and Highway 127 South in the western end of Mountain View community. The project is designed to specifically serve a future county fire station on Plateau Road, citizens in southwestern Catawba County, to provide a redundant loop for water service to the Town of Maiden and the future Apple, Inc. site. Catawba County does not maintain a public water system or provide water service directly to citizens, therefore pursuant to Catawba County Code of Ordinances, Chapter 42, Division 2, Catawba County is to partner with municipalities to provide water service to unincorporated areas with the County funding all costs for infrastructure design, permitting and construction. Thereafter, the City of Hickory is to provide the operation, maintenance and management of those lines. Customers will be charged the outside rate for water. The revenues for the City are anticipated to grow to approximately $160,000.00 annually the first five years of operation.

Approve Contract with Clark and Associates, Inc. for Design/Project Administration - Services for Pier Crossing at Moose Club Pump Station for Cripple Creek Outfall Replacement Project in the Amount of $14,400.00 The existing pier crossing was part of the original construction of the Moose Club Pump Station when the wastewater treatment facility at Hilton Park was decommissioned. This crossing is an aerial crossing adjacent to Lake Hickory. The contract will provide engineering services and project administration services to replace the existing steel Ibeam utility pier crossing. The project will require construction of new piers to support the 24” ductile iron outfall line and removal and disposal of the existing piping and piers with replacement being at or near the same location and elevation. The contractor will be required to provide bypass pumping facilities to maintain wastewater service during construction. The project proposes the use of the existing 25’ utility easement. The City’s staff will approve all piers and the contractor will maintain all necessary erosion and sedimentation control devices. Staff recommends approval.

Proclamations - Honoring David Haas in Recognition of Being Inducted Into the South Atlantic League Hall of Fame for His Dedicated Service to the Sport of Baseball and Declaring August 21, 2009 as “David Haas Day” in the City of Hickory. Declaring the Week of September 17 – 23, 2009 as “Constitution Week” in the City of Hickory. Proclaiming September 6, 2009 as “Corinth Reformed Church Day” in the City of Hickory in Recognition of its 50th Anniversary

Approval to Allow the Use of Union Square Requested by the Hickory Downtown Development Association for Hickory Hops 2010 on Saturday, April 17. 2010

Budget Ordinance -
Budget $7,500 in General Fund Miscellaneous Revenue - Donations, and $2,500 in General Fund Contingency (City of Hickory’s contribution) for a total of $10,000 towards the 100th Annual North Carolina NAACP Convention to be held at the Hickory Metro Convention Center on October 8th – 10th. Staff requests second reading at the August 18, 2009 Council meeting. The Mayor's statement was that $2,500 would come from Hickory and $2,500 would come from Catawba County. The other money will come from private donors. We felt that was a good commitment to make in light of the economic benefits and the esteen with which we hold the African-American community. He enthusiastically endorses the request to give the $10,000 - Unanimous Consent

The Hound believes this is great to represent the tolerance of diversity in our town. I think most of us are accepting of different cultures and this can truly show that we do support the needs of the African-American community in this city. Besides, we can certainly use the economic benefits associated with this conference.

Informational Items:
Report of Alderwomen Hoyle’s Travel to the 2009 NBC-LEO Annual Summer Conference
in Hartford, CT From July 22 – July 26, 2009 - hotel - $578.92; airfare - $383.70; registration - $280.00; per diem - $ 94.25; mileage - $94.25; taxi and baggage fees - $118.00 = Total $1,548.22

Report of Mayor Wright’s Attendance at the 2nd Metro City/Chamber Dialogue in High Point, NC on August 5, 2009; mileage - $93.50 = Total $93.50

Report of Alderwomen Hoyle’s Travel to the NC Black Elected Municipal Officials 2009 Summer Conference in Winston Salem, NC From 7/7–9/2009; hotel - $191.68; registration - $125.00; per diem - $59.50; mileage - $77.00 = Total $453.18

New Business - Public Hearings:
Resolution and Order for Petition of Adrian and Arabela Balan to Close 1st Street
NW Between 36th and 37th Avenues, NW - Petitioners Adrian and Arabela Balan have officially withdrawn their petition pursuant to document “Withdrawal of Petition to Close Street” dated 8/12/2009. No public hearing will be held.

New Business - Departmental Reports:
Hickory Police Department’s First Year Report of the Code Enforcement Unit - Reed Baer made the presentation. came into existence last July. There are 3 code enforcement officers and 2 are certified by the state as building inspectors and they enforce housing issues in the city, as well as enforcing nuisance violations in the Northeast and Northwest. The third officer only enforces nuisance violations in the Southeast and southwest sections of the city. 95% of calls in the first year consist of overgrown grass and vegetation, trash, junk, junk cars, and minimum housing issues.

70% (899) of violations involved Grass and vegetation, 20% of (253) violations involved Junk Vehicles, and 10% (130) of violations involved Trash and Debris. Sergeant Baer showed examples of each issue. Example Junked and Abandoned Vehicles - Does not display a current license plate, parts dismantled or wrecked, cannot be self propeeld or moved in tghe manner in which it was originally intended, or more than 5 years old and worth less than $100. After the vehicle has been tagged and the owner has been notified, he has 7 days to comply with the code.

As far as minimum housing. Sgt. Baer showed examples of a building that had been brought up to code. If a property costs over 50% of its value to bring up to code, then it is considered dilapidated and the city mat seek demolition. Sgt. Baer shoed an example of a building that had been abandoned, where the bank brought it up to code by properly securing the property. Many of these properties weren't properly secured and had vagrants moving in and out of them.

Sgt. Baer said that the city is having to deal with properties that have had fire damage issues. These properties are unsecure and fragile. Between owners and insurance companies nothing is getting done. Code enforcement notifies owners of issues and tries to find out what is going on.

Any boarding of properties must be maintained by owners. Sgt. Baer said one issue that surprised him was the number of Electric Meter Bases that were left live. He said they immediately contact Duke Power and have the electricity shut off. Other issues were stagnant water and illegal dumping. As far as housing cases there were 128 houses that were cited, 25 were demolished and the Code Enforcement Unit went to City Council about 2 demolitions. Most of the houses were owner abated. That means that 18% of properties in violation were demolished and 82% were dealt with in another manner.

The Hound truly appreciated this presentation. It thoroughly showed what this issue is about and gave excellent examples of why code enforcement is necessary. It quelled many of my fears. I detest nuisance laws, but if they are being administered equally and fairly, then I can see the purpose. I just hope we never see code enforcement start going overboard in determining what will and won't be tolerated and I hope it is never used in an unethical manner.

As I stated, when one of the dilapidated properties was addressed at the June 2, 2009 meeting. We are going to see a lot more of the properties end up like this, because of the Housing Economy. It is all about people being under water on their mortgages. This exact scenario is playing out all over the country. When you lose your job and you're in the hole, then it is a lot easier to walk away from your obligation.

There is no easy solution to this problem. The banks are basically insolvent. Their cash is tied up and they cannot afford to take back these properties. They would drowned under such circumstances, if they took back every property that is in severely in arrears.


Adopt Ordinance Declaring Property Unfit for Human Occupation and Authorization to Remove or Demolish Structure Located at 606 1st Avenue, SE, Hickory - The structure located at 606 1st Avenue, SE, Hickory, was inspected by Code Enforcement Officer Kent Sigmon and determined the structure to be dilapidated; exceeding 50% of the tax value to repair, and also poses an imminent threat to health and human safety. This case opened on April 8, 2009 and the Order to Abate was issued on April 9, 2009. The property owner, Michael Dashawn Hooper indicated he has no intention of bringing the structure up to code and has failed to abate the violations within the allotted time. Officer Sigmon met with the owner on several occasions explaining the violations and abatement process. Also, Officer Sigmon sent numerous letters including June 26, 2009 explaining the City’s intention to abate the violations. A certified letter dated July 20, 2009 was sent to Mr. Moore notifying him that Council would consider the ordinance to demolish the property on August 18, 2009 per General Statute and City Code. This structure is unoccupied and is creating a blight in the neighborhood along with providing shelter for vagrants. The community surrounding the property has petitioned to abate the violations. Staff Attorney Dula has reviewed the case and concurs that proper procedures have been followed. D. H. Griffin Wrecking Company, Inc., who is currently under contract with the City for demolition has prepared an estimate to demolish in the amount of $3,406.00 and therefore will become a lien against the property. - Sgt Baer again made the presentation. Dilapidated roof with holes in the roof and plants growing out of the roof. Vagrants have beenin and out of the house on a regular basis. There was live power at the site. The ceilings are exposed and unsafe. Joist are broken, The flooring is rotted. The interior is exposed to outside elements. Plumbing and flooting is dilapidated. there was human waste in the floor. The home is a brick home that doesn't show deterioration on the outside, but it is rotted on the inside. (Unanimous Consent by Council)

The Council recognized Huntsville, TX for helping the family of Police Officer Carlos DeLosSantos, who was involved in an accident while there. Manager Berry explained the ways that the whole City of Huntsville went out of their way to help this family, whose three year old son Kevin lost his life in this accident.

Alder Jill Patton stated that the Small Business Task Force is energized and they will start meeting every other week because they have a lot going.

Hickory - Time to put the Puzzle together

I began studying Hickory’s economic viability by looking at what I have heard experts state is needed to bring our economy forward in an era of exponential change. We must move forward and embrace this new economic era or we will continue to deteriorate. Other communities throughout the U.S. have successfully made this transition. It is our turn to do the same. If we continue to fail to act, then the consequences for our future will only become graver. One of the keys to solving our dilemma is to embrace a new paradigm of ideals and collaboration. We have to work together in a positive manner and become more tolerant of the cultural and attitudinal differences amongst us.

Many of the investments that our community must make in the near term come with no guarantee, but we know that we must do something. The future is ambiguous and therefore it is incomprehensible to many, but most everything that we have today was thought to be impossible at a point in the past. We cannot turn the clock back and trying to do so leads to a fruitless effort. Furniture and textiles built this community and those industries created a dependable economy that the people of this area trusted and relied on for nearly a century. But those industries are gone and they aren’t coming back.

Looking at other communities who have been successful, or even those that have been where we are now and improved drastically, lays out a road map that we can learn from. There will be risks involved and we can’t copy what these communities have done, but we can certainly learn a lot from what they have done. There are forward thinking, innovative, investment ideas amongst our community that are constantly shot down , because of the way our community has adapted down and become accepting of mediocrity and unwilling to take any risks.

Hickory can no longer afford to give business "the business." We are moving into an age of connections and our government must become more adaptive and friendly to the needs of all business. If we want to grow this city, we must make sure that we have growing commercial enterprises. Lay out the ground rules, be consistent in the implementation, know what you are talking about, know the answers, and help entrepreneurs do their thing. It is not the government’s job to micromanage other people’s property.

If this community is to move forward, then we are going to have to get community leaders to step out of their day-tight compartments, reach outside of their comfort zone, and try to embrace the new paradigm. Dale Carnegie taught people to live day-to-day (in day-tight compartments) and he believed that constantly dwelling on the future, that is susceptible to constant change, is useless. But, in a world of constant change, we can’t afford to not constantly contemplate the future, because the future is now.

Looking at Richard Florida’s philosophy got me to thinking about Hickory’s plight. Hickory must figure out a way to retain its best and brightest citizens, especially the twenty and thirty somethings. These are the generations that help a community constantly renew and revitalize itself. These are the people who have children and spend money on commodities that help a city to grow and prosper. The way to retain these people is to encourage industries that they will be more willing to participate in; High Tech industries such as robotics, energy, health care, engineering, and biomedical technology.

A key to creativity is understanding and accepting the needs and differences of individuals. In my opinion, many creative people don’t want to live in this area, because we make them feel uncomfortable or even unaccepted. We hear a lot about like-mindedness, but what about diversity? We need people coming at local issues from all angles, conforming to one way of thinking reeks of authoritarianism. Creativity never thrives under such conditions.

Hickory has the resources to compete with any area in the country and at one time we did just that, but now we are at the bottom of the barrel. The Milken Institute numbers show that Hickory-Lenoir-Morganton has seen terrible job growth (193 out of 200), abysmal wage growth (195 out of 200), and below average development of High Tech Industry (High Tech GDP is 130 out of 200). We have been ranked #187 or lower in these statistics since 2003. Our current ranking #191 out of 200 MSAs overall is deplorable.

What is even more troubling is the way that our city has languished at the very bottom of this statistical analysis since the beginning of the decade. If you think that Milken's statistical review is off, then look at a second source. Forbes magazine ranks us as #130 out of the largest 150 MSAs, as far as "the Best places to do Business."

Statistics show that most areas the size of the Hickory-Lenoir-Morganton MSA have a principal city that is the central focus of that area. Hickory’s location and history make it the proper candidate to take on this role. The City of Hickory must start moving towards growth again by becoming proactive in developing our resources.

Forbes numbers show that our community is ranked #146 out of 150, when it comes to educational attainment. That statistic is representative of the number of people over 25 years old with a Bachelor’s Degree or higher. In comparing other areas of the country to our own, we see that some have more educational opportunities than us, but by no means do we appear to be lacking. While having educational capacities available is important, it is only one ingredient needed to develop a sustainable and resilient economy. The key is to focus people towards fruitful educational endeavors that lead to tangible job opportunity. In other words there has to be something at the end of the rainbow.

When it comes to building industry in our area, it’s not about College. It’s about knowledge. Do we have the types of Knowledge Industries available that will interest and retain the educated class? Are the people who grow up here and go away to college coming back after they obtain their degree? Are the young adults that we educate in our local Institutions of Higher Education staying here after they graduate? The key to prosperity is developing employment opportunities for the educated (and trained) at a living and sustainable wage. Our area’s wage growth proves that this is not happening. Without good jobs, we cannot have a prosperous and vibrant community. We cannot have the cultural amenities so many desire, because our tax base and marketplace will not support it.

I do believe that opportunities brought forth by Google and Apple will bring positive momentum towards the Technology sector in our community. Tech is the easy way to get involved in the Creative Economy. We must expand our Broadband and Information Technology capacities to create the favorable conditions necessary to achieve a High-Tech corridor. That will entice techies to move to the area and set up shop.

I truly believe that this is a significant part of our "Field of Dreams." If we build it, they will come. All of the successful cities have made relevant contributions to the New World's Creative Economy. These cities have chosen to get out front and lead the way, and as a result they are reaping huge rewards because of the development of their technological sector. I truly believe that the World is still in the beginning stages of the process of creating a technical society and there is plenty of room to get on board, but Hickory needs to get on board sooner rather than later, or once again we are going to be on the short end of the stick. I truly believe that this will lead to good, productive, high paying jobs.

We cannot continue to blame all of our problems on Raleigh and Washington, when our local government is not doing all that it can to take care of our own business. As far as the areas in North Carolina go, we are surrounded by Economic excellence. Raleigh-Durham, Wilmington, Charlotte, Asheville, and Greenville, NC are all doing really well. We should expect these areas to get more attention than us, when they are contributing more to the treasury and dynamics of growth in our state.

Raleigh and Wilmington are cities within our state that are models of how creativity and growth go hand-in-hand. Hickory has to get on board and invest in its future. The numbers clearly show that in relation to the rest of North Carolina, we haven’t been growing jobs, we haven’t been paying people anything, and we haven’t been moving toward a High-Tech economy.

We do deserve our fair share of the money we have put into the treasury, but playing follow the leader and complaining about not receiving charity will not solve this city’s problems.. We're going to have to take some chances, think outside of the box, and initiate some action to kickstart our economy. If we don't soon start growing our economy then raising taxes, fees, and/or cutting services will be inevitable. This all will lead to a further degradation of the general welfare of this community.

There really isn’t a geographical correlation relative to Hickory and the other economies at the bottom of Milken’s rankings. The only correlation I see between the Midwestern cities and Hickory is that their economies were centered on a form of manufacturing that became obsolete, because it was not rooted in the fundamentals needed to survive the movement towards a global economy.

The automobile crisis is the result of years of corporate-controlled government manipulation. Some people believe that the same mindset occurred in Hickory from the late 1990s until 2008. You cannot turn growth on or off like it is a faucet. Certain people, in this community aspired to the ideal of the yesteryear they remember, when Hickory was a quaint little village. In my opinion, the people who attempted to lead us down that misbegotten path of limited growth are at the root of our community’s problems. By the time our local officials reluctantly admitted we were going down the wrong path, it was too late to stop the train wreck of consequences we are now facing.

It is clear to me that our city's statistics show very little relation to what has happened in the rest of the Southeast. Only two other Southeastern cities are in the bottom 50 of Milken’s rankings, Spartanburg, South Carolina (#183) and Columbus, Georgia (#166). What is perplexing is that a few years ago our city seemed enchanted by the model of Roanoke, Virginia whose rank is currently #168. Roanoke’s economic rankings going back to 2002 have been 2008 - #168. 2007 - #138, 2005 - #179, 2004 - #181, 2003 - #166, and 2002 - #139. It is nonsensical to think we have anything to learn from Roanoke, Virginia other than what not to do.

Every community faces challenges unique to a combination of, but not necessarily limited to, Geography and Environment, Culture and Diversity, and Economics and Governance. In my opinion, we are fortunate that we don’t face as many obstacles as other communities do. I just feel that local officials need to realize that America’s foundation was rooted in the philosophy of openness and embrace that principle. Our representatives need to collaborate with people from every background. Common Sense, fairness, and consistency should be Hickory’s hallmark.

Small business will be where the majority of our area's jobs are going to come from in the future and small business is most vulnerable when it comes to the dictates of government. It is imperative that there be cooperation between these businesses and local government. We cannot afford to have business and government look at one another as adversaries. Prosperity for the entire community is at stake.

I believe that businesses should be personally responsible towards setting a positive image for our community. If our local officials are fair and consistent when setting and administrating policy then businesses should adhere to guidelines. Together everyone has a role to play in the collaborative process.

Successful Metro Areas are spread throughout the United States. Unemployment rates seem to have a strong correlation with Milken’s rankings, which include factors of job growth, wage growth, and overall revenues produced from High-Tech Industry. The Best Performing Cities seem to be keeping up with the demand for employment better than the nation as a whole. The Economic Resiliency they are showing must be learned from.

What I believe we should study is the Commercial characteristics and Cultural Amenities of these cities and how they are addressing needs that are relevant to the 21st century. Every one of these cities is addressing their Public Transportation needs and I think that it is imperative that we also do just that. Our Public Transportation system is extremely inadequate for an area of our size. Population growth has been shown to be a key to a successful economy. If we move towards a structure that encourages growth, then we must develop a public transportation central nervous system to ensure that the growth is systematic and sustainable and doesn’t have a negative impact on our ability to travel to different destinations in the area.

Hickory sits at several important geographical and transportational crossroads and should be a vital central location for Western North Carolina. In my opinion that is what caused this city to develop in the first place. Why we lost the meaning and significance of this part of our city's Mission of Existence is beyond me.

Forbes ranks Hickory-Lenoir-Morganton as #147 area out of 150 when it comes to Culture and Leisure. This Index is based on museums, theaters, golf courses, sports teams, and other activities. I think the SALT Block is an excellent public cultural facility, we have the Crawdads, and we have a ton of golf courses (and a golf tournament) around here. So by process of elimination, I believe that this tells us that we need to improve upon our entertainment business sector. There really isn’t much to do around here other than go to bars.

Developing an entertainment complex would go hand-in hand with our restaurant and retail business sectors and it would appeal to a younger demographic. I have heard the possibilities of a mid-sized concert venue being developed and I think a nice Amphitheater in the area would have a lot to offer. Just think of people around the region converging on Hickory and spending money in our stores. That seems like a lot better scenario than always having our citizens go to concerts in Charlotte, Asheville, Greensboro, or Greenville, SC and spend money there.

Many people believe me to be eternally pessimistic when it comes to my hometown. I honestly don’t believe that I am. Some don’t like the message and others don’t like the way I have delivered it. But, would they have listened if I had softballed it up to them. Empirical evidence points to the fact that they wouldn’t have. I think the issues that we have faced and continue to face are solvable. But, we need to quit wasting time and get on with solving these issues that have plagued this area for years.

Let’s look at the Hound’s track record. I told you that there were problems two years ago and the status quo continued on - An All-American City deserves first-class leadership. Remember the headline article from the Hickory Daily Record entitled “35,133 jobs lost since the year 2000,” Where was that issue first addressed? 24,493 Jobs Lost in the Unifour since June 2000 was published on December 8, 2008 or The Relevant Issue: 34,294 JOBS lost since July 2000 in the Unifour from July 6, 2009. Oh, if you really want your mind blown check this one out – Conversation with the Mayor on Hal Row about our area’s aging population and the need to retain our best and brightest from February 2009.

People will choose the direction that they want the area to head in, but it is more than obvious that Hickory and the Unifour have been heading in the wrong direction for years. We understand most of the issues we face on the surface, but I truly don’t think people have looked under the surface to see what is really going on. I think that is how we have gotten so far off track.

I have laid it all out here in this series of articles. How we face these issues, and the honesty with which we deal with them, will determine how efficiently and expediently we can bring this community back towards positive economic momentum. Let's just look at the facts and the statistics and leave personal feelings and attachments out of this process. I honestly believe that if we do that, then we will be able to revolutionize Hickory into something bigger, better, and brighter.

I believe that we have formed groups that can address the problems we face, but the key will be in the follow through. We need to facilitate a process that encourages economic centers of Technology, Energy, Modern Manufacturing, Centrally focused Retail Commerce, and Entertainment.

Other cities have been as low on the totem pole as we are, but they found a way to address their inadequacies. Some of these cities turned their fortunes around in only a couple of years. I think that our current Job situation might be just what we needed, because it brought our problems to the national forefront. The embarrassment has refocused our priorities on issues that should have been dealt with long ago. This gives me hope that we can turn our fortunes around.

I see hope in our future, if we work together on doing what is best for this city, and this area as a whole, and quit coming at these issues from an angle of our own self-interest. Hickory was successful in the 1980s and 1990s when it experienced population growth rates of 26% and 23% respectively. So far this decade we have barely grown over 5% and most of that growth has come from people over 45 years old. That seems to perfectly correlate with the lack of economic growth we have seen in the community.

We need to do everything in our power to encourage young people from here to come back after college and we need to encourage twenty and thirty year olds from elsewhere to move here. The younger generation is the key to growth and prosperity. Our energies need to focus on creating a market and atmosphere that will entice this younger demographic to make Hickory their home. I believe the future of this area depends on it. 
Hickory versus MSAs who have made the biggest Economic Comebacks
Hickory Metro's Economy and the 10 Best MSAs in the U.S.
Hickory vs the 10 worst MSAs in the U.S
Hickory Metro's Economy versus similar U.S. MSAs
Hickory Metro's Economy versus North Carolina MSAs 
Hickory -- A Lack of Creativity?

Hickory versus MSAs who have made the biggest Economic Comebacks

This article is a continuation of the series of articles including, Hickory Metro's Economy and the 10 Best MSAs in the U.S. Hickory vs the 10 worst MSAs in the U.S., Hickory Metro's Economy versus similar U.S. MSAs and Hickory Metro's Economy versus North Carolina MSAs. Here, I compare all of the 10 Metropolitan Statistical Areas that have shown the most improvement according to the Milken Institute's rankings.

In this article I will summarize Hickory's lack of growth and look at MSA's that have drastically improved their economic outlook since 2002. The indices for The Best Performing Cities on the Milken Institute's website go back to then, although there appears to be no data for the year 2006.

What I am looking at are the big gainers from the last two years of data (2007 & 2008) according to position of rank and I am going all the way back to 2002 to see these cities progress over time. Below is the list of the cities that improved the most. To the far right you will see their statistical improvement from their worst ranking compared to 2008 and the year of their worst ranking. (Click on the picture to enlarge it):



Looking at the top ten cities that have improved the most over this time, we see in order Tie -1) Wichita, KS Tie-1)Peoria, IL 3)El Paso, TX 4) Asheville, NC 5)Tulsa, OK tie-6)Houston, TX tie-6)Beaumont, TX Tie-8) Seattle, WA Tie-8) Greenville, SC Tie-10) Shreveport, LA Tie-10) Lafayette, LA. Below I will try to summarize the cities above and what caused them to see improvement.


1-84) Wichita, KS MSA - Wichita Economy - 596,452 +4.43% Unemp. 8.3%
Wichita saw the greatest improvement over the last couple of years. The city fell from the top of the third quartile in 2002, all the way down to one of the ten worst economies in the U.S. two years later, before rebounding to the top quartile by 2008.Wichita’s labor market was harder hit by the 2001 recession than the national labor market. Wichita’s initial recovery following the 2001 recession was also decidedly sluggish. However, in most quarters since fourth quarter 2005 Wichita’s labor market has been substantially outperforming the nation.

Manufacturing accounted for 21.6 percent of all jobs in the Wichita MSA during 2007. About 87 percent of manufacturing jobs are in the durable goods sub-sector and dominated by jobs in aviation manufacturing. About 13 percent of manufacturing jobs are in the non-durable goods sub-sector, dominated by jobs in food processing.

Cessna and Hawker Beechcraft are based in Wichita, along with Learjet and Spirit AeroSystems, and both Airbus and Boeing maintain a work force in Wichita. Prior to its dissolution Air Midwest, a regional airline, was headquartered in Wichita.

1 - 133) Peoria, IL MSA - Pop. 371,206 Pop. Growth +1.18% Unemp. 8.9%
According to Milken - In the case of Peoria, whose ranking rose from 168th to 68th, industrial machinery manufacturing has been given a huge lift, thanks to Caterpillar Inc., generating valuable indirect impacts.

Peoria is a an MSA that we have already looked at. It is pretty much the same size as the Hickory-Lenoir-Morganton MSA. The numbers show that Peoria's economy was in the doldrums at the beginning of the millenium, but has seen a big upswing the past two years.

Peoria shows smart steering can buck the economic tide - This article. Peoria relies heavily Caterpillar, which is headquartered there. Other companies in Peoria - AmerenCILCO, Archer Daniels Midland, Bergner's, Carson Pirie Scott & Co. Caterpillar Inc. (world headquarters), CEFCU — Credit union, Clifton Gunderson LLP (national headquarters) Komatsu Mining Systems, Maui Jim (world headquarters) , National Center for Agricultural Utilization Research — largest USDA research facility, RLI Corp. (world headquarters).


3 - 68) El Paso, TX MSA Pop. 734,669 Pop. Growth 8.10% Unemp 8.3%
According to Milken - The most improved metro, El Paso, Texas, climbed an impressive eighty-five spots to place 37th overall. El Paso saw a boost in economic activity due to a major expansion of the U.S. Army base at Fort Bliss under the Pentagon’s Base Realignment and Closure (BRAC) program. Nearly 21,000 soldiers are expected to transfer from other bases, with more than 7,000 having already arrived so far.

El Paso is the Operational Headquarters of Helen of Troy Limited, a NASDAQ listed company that manufactures personal health care products under many labels such as OXO, Dr. Scholls, Vidal Sassoon, Sunbeam, among others. Also headquartered in El Paso is Western Refining, listed on the New York Stock Exchange. More than 70 Fortune 500 companies have offices in El Paso, including The Hoover Company, Eureka, Boeing, and Delphi (auto parts).

El Paso is an important entry point to the U.S. from Mexico. Once a major copper refining area, chief manufacturing industries in El Paso now include food production, clothing, construction materials, electronic and medical equipment, and plastics. Cotton, fruit, vegetables, livestock, and pecans are produced in the area. With El Paso's attractive climate and natural beauty, tourism has become a booming industry as well as trade with neighboring Ciudad Juárez.

The federal government has a strong presence in El Paso to manage its status and unique issues as a border region. The Immigration and Naturalization Service (INS), the Drug Enforcement Agency (DEA), and the Customs and Border Protection Agency (CBP) all have agency operations in El Paso to regulate traffic and goods through ports of entry from Mexico. Including these agencies, government job growth in the area is expected to rise to 64,390 jobs by 2007.

Call center operations make up 7 of the top 10 business employers in El Paso. With no signs of growth slowing in this industry, in 2005 the 14 largest call centers in El Paso employed more than 10,000 people. The largest of these in terms of employees are EchoStar, MCI/GC Services, and West Telemarketing.

Article from UTEP about El Paso's economy moving forward.


4- 122) Asheville, NC Milken rank - 46 Pop. 404,320 Unemp = 9.2%
Nice presentation from the Asheville Chamber of Commerce abour Asheville's Economic Future

Asheville has a tourism based economy. Asheville's largest employers - Ingles Markets, Mission Health System, City of Asheville, The Biltmore Company, Buncombe County Government, The Grove Park Inn Resort & Spa, VA Medical Center, BorgWarner, CarePartners, Eaton Corporation

From an Economic Conference July 15, 2009 - Asheville Economy Sees Seismic Shift - Asheville's economy has been buoyed by growth in the health-care, manufacturing, construction, business services and leisure-and-tourism sectors, said Tveidt. Over the past year, however, the Asheville area's economy lost 8,100 jobs, mostly in the manufacturing and business services sectors.

In Western NC, jobs in the green economy are taking root in Clean Energy Business Incubator at A-B Tech's Enka campus. The incubator houses 41 startup companies, which saw a total of $4 million in revenues in 2007, along with $2 million in investment, creating 51 full-time jobs with an average annual wage of $32,000. A $666,050 appropriation for A-B Tech's green-collar job training made it into the most recent spending bill approved by Congress. A $354,000 grant through the U.S. Department of Energy last year helped to create the incubator.

5 - 53) Tulsa, OK MSA Pop. 916,079 Pop. Growth +6.58% Unemp. 6.6%
According to Milken - Tulsa, which rose from 180th to 98th, has experienced more broad-based economic growth and been affected less by the weakened housing market.

Tulsa Economic Outlook from the Tulsa Chamber of Commerce - (Tulsa’s major industries are aerospace, including aerospace manufacturing and air transportation; health care; telecommunications; petroleum and natural gas; and architectural and structural metals manufacturing. Tulsa’s infrastructure for business includes the Port of Catoosa, an inland port that makes bulk shipping to and from coastal ports accessible and economical, and two central networks for broadband interconnect.

Forbes Magazine in 2007 ranked Tulsa as the sixth best city for jobs among the 100 largest metropolitan areas in the country. In 2008, as growth has slowed nationwide, Tulsa has fared better than the nation, being ranked also by Forbes in 2008 as the fifth best metro area of the 200 largest in the country to weather the recession.

During a national recession from 2001 to 2003, the city lost 28,000 jobs. In response, a development initiative, Vision 2025, promised to incite economic growth and recreate lost jobs. Projects spurred by the initiative promised urban revitalization, infrastructure improvement, tourism development, riverfront retail development, and further diversification of the economy. As of 2007, employment levels have surpassed pre-recession heights and the city is in a significant economic development and investment surge.

6 - 6) Houston-Sugar Land-Baytown, TX MSA Pop. 5,728,143 Pop. Growth +21.48% Unemp. 6.9%

According to the Milken Institute - The best performer among the nation’s largest metros, with an overall ranking of 16th place, Houston– Sugar Land–Baytown, Texas, expanded its job base by a whopping 3.2 percent between March 2007 and March 2008, the second-largest increase in the nation. The one-year indicators for job and wage growth also showed robust gains, rising 3.0 and 4.0 percentage points faster, respectively, than the national average. Opportunities stemming from the energy industry, specifically with respect to oil exploration in the Gulf, have been a key engine of growth. Industries that support oil exploration have also been performing well. The heavy and civil engineering construction sector expanded by 5,700 jobs, while specialty trade contractors added another 7,800 workers in 2007.

The indicators for one-year job and wage growth also showed robust gains, rising 3.0 and 4.0 percentage points faster, respectively, than the national averages. Opportunities stemming from the energy industry, specifically with respect to oil exploration in the Gulf, have been a key engine for growth. Industries supporting oil exploration have also been performing well. Heavy and civil engineering construction recorded an increase of 5,700 jobs, while specialty trade contractors added another 7,800 jobs in the one-year indicator we examined (2006–2007). Support activities for mining also contributed 3,700 jobs. In terms of high-tech, machinery manufacturing grew 5.0 percent between 2006 and 2007, generating 3,800 high-paying jobs. The presence of key players in the region (namely Exxon-Mobil, Shell, Chevron, and BP) will help sustain the industry’s growth.


6 - 131) Beaumont-Port Arthur, TX MSA Pop. 376,241 Pop. Growth -2.30% Unemp. 9.1%
According to Milken - Benefiting from the Energy Boom and Experienced Refinery expansion.

In 2005 and 2008, Beaumont and surrounding areas suffered extensive damage from Hurricane Rita and Hurricane Ike. A mandatory evacuation was imposed upon its residents for about two weeks.

After decades of stagnation and neglect in the area economy, Port Arthur is in the early stages of an economic boom. Several large projects involving the energy infrastructure are underway or proposed, the two largest being the Golden Pass and Sabine Pass LNG terminals. These separate projects under construction in neighboring Sabine Pass have brought cumulative initial investments of $2 billion, and will employ thousands at peak construction.

Home to a large chunk of United States refining capacity, Port Arthur is now seeing renewed investment in several key installations. Motiva Enterprises is undertaking a major addition to its western Port Arthur refinery, expanding capacity to 600,000 barrels per day. This $10.0 billion project is the largest US refinery expansion to occur in 30 years. Premcor Refining (Now Valero) recently completed a $775 million expansion of its petrochemical plant, and BASF/Fina commenced operations of a new $1.75 billion gasification and cogeneration unit on premises of its current installation, which had just completed its own $1 billion upgrade.

Long past its heyday in the early 1900s, successive waves of economic recession have delivered a nearly vacant, boarded up, and sometimes dangerous central business district. The Hotel Sabine, the tallest building in Port Arthur, was abandoned and purchased by the city. An attempt to sell the building failed in 2005, with no interested buyers. Hurricane Rita struck a direct hit on the Proctor Street Seawall, and damaged many downtown businesses and homes. As economic activity picks up in the region, calls for downtown revitalization have been advanced. The true center of commercial activity has gravitated towards the junction of US 69 and Texas 365, with larger white-collar businesses moving to downtown Beaumont. As of 2008, the last downtown banking establishment, Capital One will relocate to Texas 365, which coincides with the closing of the last pharmacy, Walgreens, and the last grocery store, Lucky 7. Several municipal and county offices have moved in to fill the void.


8- 15) Seattle-Tacoma-Bellevue, WA MSA Pop. 3,344,813 Pop. Growth +9.89% Unemp. 8.8%
According to Milken - Jumped an impressive sixty spots to claim 17th place in this year’s index. The indicator for recent job momentum (comparing March 2007 with March 2008) showed a healthy 2.0 percent employment growth. Transportation equipment manufacturing, which encompasses the aerospace sector, was responsible for generating 5,600 of the jobs measured in our indicator for one-year growth between 2006 and 2007. In the same period, professional R&D services added another 6,200 jobs. Most of the growth can be attributed to the vast presence of Boeing and Microsoft (and the secondary impacts of these two behemoths throughout the region). Increased global demand for more fuel-efficient commercial aircraft has sweetened Boeing’s outlook. The metro’s high-tech sector produces 1.3 times the national average for output. In addition, this sector depends on highly skilled labor, resulting in above-average wages—so it is no surprise that the indicator for one-year growth in wages and salaries was 3.2 percentage points above the national average.

Seattle had problems after the Dot.com bust due to the technical industries that make up it economy. The city also was hurt when Boeing moved its headquarters to Chicago in September 2001. Seattle never fell below the middle of the third quartile (#127). Great Article about Seattle Economic Trends. A few bits from the article above: Seattle is the economic and cultural capital of the northwestern United States. The growth of the Pacific Northwest helped propel Seattle to its current stature, and the economic expansion of the Pacific Rim is likely to sustain Seattle's growth well into the future. Seattle's residential and business districts have not experienced the blight and decay found in many other big cities around the United States.

Seattle built its prosperity by taking advantage of its strategic location. The city is situated on an excellent deep-water harbor in the center of the Puget Sound basin. This location gave Seattle an advantage in the competition for regional and international trade. Seattle serves as the gateway to both the Pacific Northwest and Alaska. Trade with Asia has grown considerably in importance over the past 20 years, a trend that is expected to continue well into the future. Seattle is situated at the junction of two Interstate highways: 5 and 90. In 1996, voters approved a $3.9 billion regional mass-transit system to serve King, Snohomish, and Pierce counties.

High technology activities are expanding their role in Seattle's economy. The area has developed into a leading center of software, telecommunications, biotechnology, and medical-technology industries.


8 - 82) Greenville-Mauldin-Easley, SC MSA Pop. 613,828 Pop. Growth +9.63% Unemp. 11%
Greenville's economy was formerly based largely on textile manufacturing, and the city was once known as "The Textile Capital of the World." In the last few decades, low wages and favorable tax benefits have lured foreign companies to invest heavily in the area. The city is the North American headquarters for Michelin and sole manufacturing location for BMW in The Americas. Recently, the International Center for Automotive Research has been created

When the former Donaldson Air Force Base closed, the land became the Donaldson Center Industrial Air Park, and is home to a Lockheed Martin Aircraft and Logistics Center, as well as 3M and Honeywell. Also, General Electric company has a gas turbine and wind energy manufacturing operation here.

The Thomas Creek Brewery was founded on Piedmont Hwy in 1998. The company produces a range of beers, including Mobius, a lager containing taurine, ginseng, caffeine, and thiamine


10 - 127) Shreveport-Bossier City, LA MSA Pop. 387,583 Pop. Growth +3.09% Unemp. 6.8%
Shreveport is home to Shreveport Operations A General Motors plant that is slated to close before or during the year 2012. The plant currently produces the Hummer H3, Hummer H3T, Chevrolet Colorado,GMC Canyon, and the Isuzu i-Series

Today the city has largely transitioned to a service economy. In particular, the area has seen a rapid growth in the gaming industry, hosting various riverboat gambling casinos, and was second only to New Orleans in Louisiana tourism before Hurricane Katrina. Nearby Bossier City is home to one of the three horse racetracks in the state, Harrah's Louisiana Downs. Casinos in Shreveport-Bossier include Sam's Town Casino, Eldorado Casino, Horseshoe Casino, Boomtown Casino, and Diamond Jacks Casino (formerly Isle of Capri). The Shreveport-Bossier Convention & Tourist Bureau is the official tourism information agency for the region. The bureau maintains a comprehensive database of restaurants, accommodations, attractions and events. In May 2005, the Louisiana Boardwalk, a 550,000 square foot (51,000 m²) shopping and entertainment complex, opened across the Red River in Bossier City, featuring outlet shopping, several restaurants, a 14-screen movie theater, a bowling complex, and a Bass Pro Shops.

A new 350,000-square-foot (33,000 m2) convention center was recently completed in downtown Shreveport. It includes an 800-space parking garage. An adjoining 12-story Hilton Hotel opened in early June 2007. The city's direct construction and ownership of the Hilton Hotel has been a controversial issue as to the proper use of public funds. The site is managed by Hilton Hotels. The Shreveport Convention Center is managed by SMG.

Shreveport is also a major medical center of the region and state. The Louisiana State University Health Sciences Center Shreveport operates at expanded facilities once used by the former Confederate Memorial Medical Center. Major hospitals include Christus Schumpert, Willis Knighton, and Shriners Hospital for Children.

As of November 2008, the recent excitement about the Haynesville Shale has been a boon to Shreveport and the surrounding areas. Many new jobs in the natural gas industry are expected to be created over the next few years and local residents are enjoying large bonuses for signing mineral rights leases up to $25,000 per acre. However, the recent economic turndown has resulted in a lower market price for natural gas and slower-than-expected drilling activity. The city itself stands to profit by leasing the mineral rights on public lands in the near future as neighboring municipalities have already done.

Tax incentives offered by the state government have given Louisiana the third largest film industry in the country, behind California and New York, and lead to its nickname of "Hollywood South." Shreveport has seen a number of films made in the city. Facilities include sound stages, the State Fair of Louisiana Fairgrounds Complex, and the Louisiana Wave Studio, a computer-controlled outdoor wave pool.


10 - 168) Lafayette, LA MSA Pop. 256,494 Pop. Growth +7.28% Unemp. 8.8%
According to Milken - The biggest gainer in last year’s index, Lafayette, Louisiana, improved its position by another ten spots to claim 14th place this year. Last year’s dramatic climb was largely attributable to the population influx of hurricane evacuees. This sharp growth in population consequently led to increased demand in various service-driven industries. With the current housing crisis and slowdown in related sectors of the economy, growth in the metro has begun to subside. Interestingly, a shortage in health-care and education services has led to a dramatic increase in wages and salaries in those industries.27 Between 2005 and 2006, overall wages and salaries in the metro experienced the fastest increase in the nation, growing 8.0 percentage points above the U.S. average.

Energy exploration in the nearby Gulf of Mexico will continue to support local manufacturing and mining industries, helping to mitigate some losses in other sectors. Machinery and fabricated metal product manufacturing added more than 600 jobs in the last year, while support for mining generated an additional 1,000 workers. These sectors have contributed to overall job growth of 2.8 percent in the twelve months ending with March 2008.

Lafayette serves as the retail and shopping hub of the Acadiana area, serving an eight parish area. The seat of this retail is the Mall of Acadiana. The mall features department stores Macy's, Dillards, JC Penney, and Sears. It also includes over 100 specialty stores, such as Express, Abercrombie & Fitch, American Eagle Outfitters, Talbots, Chico's, Nine West, and Coldwater Creek. Other retailers/stores that have recently located in Lafayette include Kohl's, Incredible Pizza Co., and Plato's Closet. Academy Sports and Outdoors recently built a new building for its Lafayette location to become the largest store in the Academy chain.


The Hound can see that these cities have a lot in common. The saying goes Luck (or Good fortune) comes from Good Preparation meeting Opportunity. These cities formed groups to assess what their problems were and I believe Hickory has done that with the Future Economy Council and Small Business Task Force, then most of them built centers for technology and/or they naturally occurred, and then they transitioned their economies to Energy, Technology, Modern Manufacturing, Centrally focused Retail Commerce, and/or Entertainment.

If one looks at the numbers, then they can see that some of these cities have been as low as we are in the rankings, but they have all made significant improvements to their economies over that period and some did it in just a couple of years. Only one of these cities has a double-digit unemployment rate (Greenville, SC). What they have in common is focus. Once they saw what their needs were, they set goals to solve them, and they vigorously attacked those goals with energy and focus.

Hickory started out ranked #167, fell to #187 in 2003, and then to #197 the following year. We have bounced around in the bottom 5% of the ranking since that time. We must take this situation seriously. Facts show that others have improved, there is no reason we can't also recover to prosperity.

Wichita, Kansas started out the survey ranked #115 by the Milken Institute, in 2002, but quickly fell to #192 only two years later. In 2008, they were the biggest gainer moving all the way up to #47. Peoria languished along the bottom of the statistics, between #180 and #190, until the last few years. Now they have climbed to the top quartile of the statistics (#43). Other cities, such as, Beaumont, Texas and Shreveport, Louisiana have also made great strides.

What is and has been troubling to me is the way that our city has languished at the very bottom of this statistical analysis since the beginning of the decade. If you think that Milken's statistical review is off, then look at a second source. Forbes magazine ranks us as #130 out of the largest 150 MSAs, as far as "the Best places to do Business." The powers that be around here want to latch on to that #5 rank in cost of doing business, but that is only achieved by the depressed labor market here and the necessity of local citizens to adapt down and be willing to accept lower wages. That is not a good thing to achieve when it comes to the long term prosperity and viability of this community. My question is, when is it going to be Hickory's time for recovery?

We can see the path to recovery and prosperity by looking at what these other MSAs have done. Sure there are going to be obstacles and pitfalls along the way to creating positive economic momentum, but it is more than apparent that we have installed roadblocks to our progress. I don't think this happened on purpose. I think it happened, because local leaders have been in denial about how far we have fallen. In moving forward, it doesn't take a genius to understand what others have done to turn their situations around. The keys to moving forward are Energy, Technology including Biotech, Entertainment, International Trade, and Modernizing the Area.

We must find our niche in the processes that I have outlined above. I guess the optimist would look at this and exclaim, "Well, we don't have much further to fall." That is true. The real problem is that we are becoming irrelevant. Outside enterprises look at us and are starting to assume that we are always going to be towards the bottom of these rankings; that we have accepted our fate. The way city leaders look at the south side of Hickory is the way we are looked at by the nation. I challenge the decision makers of Hickory. What are you going to do to change this perception?!?

8/11/2009 - Congressman Patrick McHenry's Town Hall in Hickory

Tonight I went to Patrick McHenry's Town Hall meeting at the P.E. Monroe Auditorium on the campus of Lenoir-Rhyne University. I was told by Richard Gould of the Hickory Daily Record that the place has a capacity of right around 1,500 people. The place was packed. I did not see an empty seat and there were several seats lined along the outside walls.

I will tell you that there was as much atmosphere as there was at the Tea Party in Newton back in April. Mayor Wright opened the event and stated that Hickory was going to set an example of how to conduct one of these events. I believe the Mayor was right. People were cordial and polite throughout this three hour event.

McHenry was very much engaged and patient. This event could have (and probably should have) enforced a time limit, but no one can complain about not being heard. There were some excellent questions, but there were also a lot of talking points. As someone that was with me stated, "They (the people) just want to be heard."

Patrick should be commended for giving citizens a voice and lending an ear. To me, this is Republican Democracy at its finest. It certainly wasn't a shout down or gamesmanship. Patrick McHenry is fortunate that this district and his philosophies are closely meshed. It is obvious that he has a great staff. This event was supposed to be at Hickory City Council Chambers, but was changed in the AM. Amazing that this event went off without a hitch.

Below are the audio links of the event broken up into segments.

Lenoir-Rhyne University President Wayne Powell and Mayor Rudy Wright Open the Event
Congressman McHenry's Opening Statement
Questions Part 1
Questions Part 2
Questions Part 3
Questions Part 4
Questions Part 5
Congressman McHenry's Closing Statement