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SUGGESTIONS TO COUNCIL OF ECONOMIC ADVISORS FROM THE U.P.
The following is a list of responses about improving the Upper Peninsula business climate.
Roger Good
City of Escanaba
HR Director/Grant Admin.
Escanaba, MI
Thanks for this opportunity to make comment about our economic development
efforts in the UP. I believe govt at every level, but especially at the local level needs
to be much more friendly to the business community. We make many of the
proceeses that business has to go through much too difficult and cumbersome. We
need to streamline these processes too. In addtion, local govt boards and
commissions as well as non-profit boards need to do a much better job of resolving
internal conflict. Whether the conflict is from within or from the outside in the form of
a citizen complaint, it seems that this conflict is never resolved and continues to
fester and finally ends up in the media in some way. This is bad for local economic
development efforts as potential developers look at what's going on in the
community and if they see a lot of local conflict, it might just be the final reason that
keeps them from coming to a community. I am not saying we're not going to have
disagreements, but we need to really look at how wee handle these issues and
try to find a better way to deal with conflict. We are hurting our communities from
within and are destoying any hope of real trust. There is little trust and a lot of turf
issues between public boards as well as non-profit boards and conflict seems to
rear its ugly head periodically. Rather than the issue being resolved in the
appropriate way, it ends up in the media, and people start shaking their heads and
wonder why these folks can't get along. Some of those people are citizens that are
thinking of expanding a business or some may be a major national chain thinking of
locating in our community. At any rate, we keep shooting ourselves in the foot
because we keep beating up on each other and are not looking at what
is best for our community. Perhaps there is a way for the community to come
together to address these issues, rather than hoping they go away. Because they
just keep coming back. Just look at our local papers in the UP the last six months or
watch TV6. Developers are watching too.
David McGowen
Sales Manager
Marquette, MI
Here are some thoughts on making the U.P. attractive to potential businesses.
We all seem to envision "desirable businesses" as clean neighbors that pay professional wages for career workers. Examples might beTektronics, Hewlitt Packard, or Lucent Technologies. Businesses such as these are not resource dependent and want to be in a locale where they can retain qualified staff members. The U.P. has potential, but is limited by a situation that now applies to all of Michigan.
Qualified professionals that can take their choice of employers want and demand a prosperous, well cared for community for their families. Michigan is doing a poor job of putting a best foot forward. Professionals do not want a crumbling public school system, public parks that have been closed, poor maintenance of streets, and a feeling of financial desperation in their community.
Consider Marquette County. The neighborhood school system is being decimated. Honors and advanced placement high school classes are disappearing. A four day week is under consideration for one district.
Ishpeming is closing its ski area and toboggan run.
Marquette City used to clear sidewalks throughout town. Now it is only done for selected walks.
Palmer School has closed, along with other local elementary schools.
Northern Michigan University has long attracted students who saw the value in small class sizes. Now that is history.
Farther out, Tahquamenon School students ride the bus as much two hours each way. State campgrounds are closed.
The U.P. is beginning to feel the way downtown Negaunee looks.
All of this is about public funding.
When Jim Blanchard was elected governor, he announced that he was increasing taxes to take care of the state’s budget problem. He did it, remained immensely popular, and returned to the original tax rate when the job was done.
If the leaders of this state had the will and the spine, they would be willing to charge to provide the services people look for in a quality community. Even returning to the tax structure of a few years ago would help a lot, if not solve the woes. By cutting tax sources at a time of unusually brisk economic activity, the state doomed itself to shortfalls when the economy returned to normal.
As a former small business owner, I can assure you that the income tax rate of the state was not a significant consideration in my location. At one time I lived in Oregon, where we could see the effect of having no sales tax compared to Washington state which did have a sales tax. As a business specialist wrote in the Mining Journal many months ago, businesses will demand, beg, and cajole for tax breaks, but experience shows that the breaks are not pivotal in the final decision. The Washington/Oregon comparison had the same result.
I hope it is clear that I am saying we need to be willing to pay for a quality state, not only for ourselves, but if we hope to attract others. Many, many people that I meet are very willing to share the added cost to have first class public services: schools, parks, winter road maintenance, libraries and museums.
I understand that the current legislature is unreceptive to financing this level of public sector. If this continues to be the case, we can simply hope to attract businesses that seek to hire hungry non-professionals looking for part time non-career jobs, who are willing to tolerate crumbling schools, abandoned parks, and desperate universities.
At this point I am not optimistic. I hope you agree with my assessment and have the influence to bring change.
Dorothy Bussiere
Administrative Secretary
Ontonagon, MI
As an original Board of Directors member, and current member of the Upper
Peninsula Economic Development Alliance, we have struggled to develop an
"image" for the Upper Peninsula, as a place to do business! The UPEDA has
created an awareness of the successful businesses in the U.P., and hopes to attract
new business. The UPEDA has created a web-site, distributed promotional
materials, developed opportunities to network with other economic developers,
businesses and utilities in the U.P., and members survey businesses in the
region.
I believe UPEDA activities have resulted in increased inquiries about the region.
Most of the economic development organizations in the Upper Peninsula have very
limited resources, so by partnering with the UPEDA, we can do more with our
marketing dollars.
Often the potential "developers" want to know what the State of Michigan
can do for them. These developers "shop around for the best deal"!
The Michigan Economic Development Corporation Account Representative for the
U.P., Cathi Cole, does an excellent job in providing information to potential
developers.
If Governor's Council of Economic Advisors could find a way to include more information about the U.P. in publications and state websites, promotional materials
and perhaps encourage organizations to hold trade shows or conferences in the
U.P., even more awareness of the U.P. could be created.
Likewise, if the State of Michigan could find a way to be even more "competitive" in
incentives it offers, we might be able to attract even more "shoppers"! This is
probably not a realistic request, in light of the nature of Michigan's financial situation,
but perhaps incentives that would be granted in three to five years, to businesses
that either create new jobs, or make substantial new investments in facilities or
equipment would make Michigan more attractive. This is especially true for smaller
businesses, which don't plan to create hundreds of jobs. This, combined with
incentives and abatement programs already available, might help.
Many of the people I speak with, from outside of the area, are surprised to learn that
the Upper Peninsula is much more than a tourist area!
Thank you for the opportunity to share my perceptions about the U.P. business
climate with you!
Scott Bouma
Business Owner
Marquette, MI
The Upper Peninsula and the rest of Michigan will benefit if we start to implement
proven alternative ways to sustain our environment while continuing to grow
economically. Improved air and water quality are a good incentive for people to move
to the U.P. thereby creating more job opportunities in the long run. Constructing a
cleaner method of producing energy utilizing alternative methods such as wind
power is a good example. In this process, jobs will not be lost and the U.P. will be a
better place to live.
Thank you for considering my comments.
Dalton Wirtanen
Supervisor
Crystal Falls, MI
We should push for a 4 lane highway from east to west--bridge to Ironwood. Without
good infrastructure business is handicaped.
Penny Osier
Village Manager
Ontonagon, MI
Thank you for the opportunity to provide local input into the most pressing issue for the Upper Peninsula. With only a few exceptions, the 10 year trend for the entire U.P. has been a downward spiral, since our strong manufacturing/mining/logging industrial base has been undermined by foreign competition.
We now are trying to embrace a more diverse economy, with emphasis on
technology and tourism.
With that in mind, we need to ensure that our transportation system is well maintained, and has sufficient capacity to handle the number of travelers we get, even though it may be on a seasonal basis. We need a strong (continuous four lane) east-west highway that traverses the ENTIRE upper peninsula.
We need to establish low-cost training targeted at the service industries (hotels, restaurants, ski hills,etc.). Is it possible that MSU extension could be funded to provide this type of training? A good portion of U.P. business owners of this type are "mom & pop", with little expertise in training of employees, and with limited budgets. We want to train our people to provide better customer service in order to generate repeat business from travelers.
We also need to improve our cell phone (tower) system to have greater coverage throughout the U.P. Service providers are reluctant to build or lease towers in an area that does not have a dense population. Is there some way to allow leasing of existing state-owned towers with a lease rate based on population?
I hope by utilizing this forum for local input, the U.P. sends a strong message that we have enormous growth potential, and that though we have all suffered economic setbacks, we have the potential to overcome them, and to be even stronger as a result.
Nancy Langevin
Retail Clerk
Hancock, MI
We need ENLIGHTENMENT. . .in the form of ADVISORS to explain FREE enterprise and CAPITALISM to . . .
EVERYONE. No one in this area - from the workers to the owners to the policy-makers - seems to know that people only go into business to MAKE A PROFIT.
As governor of this truly rich and beautiful state, you could offer a "real" NEW DEAL - to businesses and the average working man/woman - bycreating the right atmosphere, an excitement about the limitless possibilites of making money the good old-fashioned way (albeit with 21st Century methods) by EARNING IT
HOW TO? Tap into the experience of real business people who have made a go
of it and send them out to teach Michiganders - in every city, town and village - about: profit and loss and how the system really works when pricesand wages are related to same. People need to know how they fit into thisbig new scary world. We all need to know where we fit in, from theexperienced workers with bills to pay and families to support, to students preparing to enter the workforce, to retirees who are hiding in comfy sanctuaries instead of contributing to their commmunities.
DETAILS? You got a big staff, lots o' brainiacs I'm sure. And there are many ways to do this but YOU ought to shape it, fine tune it with your own ideas - we elected you to lead us! Go forth, knowing that we're behind you, and quickly - we ain't got any time to lose.
Nancy Langevin
Retail Clerk
Hancock, MI
Scene from the movie Its a Wonderful Life- the run on the banks and Jimmy Stewarts
Savings and Loan. Listen to him explain to everyone how they're all in it together.
Sure, one old biddy has to take ALL of hermoney out of her account, but many more
take just enough to get by. They heard him.
Thank you for listening. This is my second e-mail so I won't burden you with any more ideas but that movie is one that everyone knows and the Savings and Loan could be Michigan.
Robert White
Area Manager, Direct Line Communications
Edwardsburg, MI
As a long time resident of Michigan, a Graduate Of Michigan Tech, and a property owner in Delta County, I have a sincere interest in the prosperity of the Upper Penninsula. I am very interested in the ideas of others as to how to improve economic possibilities in the U.P.
As for me, I have spent many hours contemplateing what could be done to improve the business climate. I have thought about opening a business in the U.P. but I always come to the same conclusion- there isn't a large enough population to support existing businesses let alone a new business. Many U.P. businesses depend upon tourism but there are too few tourists, Why? Is the U.P. too far from population centers? Maybe the U.P. is too isolated. But what are the strengths of the region? The U.P. is blessed with tremendous natural beauty and natural resources. We must utilize what we have and perserve the unique essence of the Upper Penninsula. As a student at Tech I was exposed to the rich mining and timber heritage that made the U.P. and Michigan a leader in industrial activity. In the U.P. there is an abundance of timber, a completely renewable resouce, yet our logging industry is but a shadow of its former self, Why? The industry has been all but strangeled by restrictive government regulation and political correctness. Why should the U.S. import lumber and wood products from forign sources? Look at the price of wooden building materials, I know there is room for Michigan timber products in our national markets. U.P. Forests should be opened to sensible timber harvesting with mandentory re-planting. With today's wood products market there will no trouble finding a place to sell our lumber. In addition, wildlife will prosper and increase as they always do when old growth forests are cleared making room for new growth. As game levels increase, sportmen will also return to the U.P. adding to the tourist volume. As economic activity increases new business growth in service areas will follow. The critical aspect of these thoughts are that, without a revitailazation of a sustaining industry such as timber,little or no service growth will occur.
I would very much appreciate any comments on the ideas I've expressed and am interested in the the ideas of others as well..
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