I know that many of you are either out shopping for the holiday season or are stringing up festive lights and decorations for the upcoming holiday season right now. Of course some of you are also at work today.
I want to talk about local labor today for a bit. I attended the latest CIVIC meeting on this last Tuesday night. Before I go on, I ask you all to attend the next series of meetings offered by CIVIC. The meetings so far have been very informative on a wide range of local and political issues. The setting is unique for these meetings because you are allowed to come into the meeting and leave the meeting with an open mind (no secret hand shakes, no swearing allegiance to any political viewpoint). Along the way... I guarantee you will be informed further on the subject matter of the meeting and the free will to react to it the way you see fit.
Bob Riley, the Director of Economic Development from the Kingman Airport & Industrial Park, was the guest speaker on Tuesday. I thought he shared some very interesting information with those that were in attendance.
There is an article in today's paper that covers the meeting. The article is not on the KDM's website as of yet but I will come back and link to it if I find it there. And here it is.
Mr. Riley said, simply, that profit is the main motivator for businesses to move to Kingman... or worse... move out of Kingman. He went on to list the many advantages that Kingman has to offer a company to get them to consider Kingman... however there is other disadvantages that cause certain business to NOT move into the Kingman area.
The most striking bit of information that works against Kingman is the average age of the Kingman labor force. I believe that Mr. Riley said the average age is 45 years old. He described another smaller city in Utah, Cedar City, as having many of the same advantages that Kingman has but said that the average age of labor there was only 28. Mr. Riley considers Cedar City to be a main competitor for new business and the average age discrepancy as a clear disadvantage when it comes to attracting the new business and jobs.
Jobs. I'm sure that the subject of jobs will come up frequently when the candidates for city council and mayor begin their quest to get elected.
The information that I have been collecting about the local economy shows me that Kingman is actually doing pretty good on the job front... sort of. Unemployment is low... that normally is a good thing. Mr. Riley though said that in fact the current labor market is basically maxed out... and aging. Can you see the potential problem?? I can.
I have no belief that the city government can 'create' more jobs in Kingman. That is not even a responsibility of the city, county, or state government in my view. However, if the city wants to continue to grow... and grow responsibly... the city must do its job to attract a more diverse labor market... and obviously a younger one.
Right now I could ask you to head to the RAID website so you too can learn that Kingman is poised to see wave after wave of soon to arrive retired members of the Baby Boomer generation, and maybe even save the day and the local economy. Heck, I was even told (via email) that if I could wait for that magic moment to begin that I would be selling so many houses that I wouldn't know what to do with myself. In fact you will see that a new proposed hospital will be the 'eye-catch' that will bring these retiree's in by the bus loads.
What I might want to know if I was of the Boomer generation is... who is going to service me in a maxed out labor market?? I might also want to know what kind of amenities does the community of Kingman offer me??
While I agree with many that the weather in this particular part of Arizona is incredible year around as compared with other parts of the the state, the weather is still really nice around the state as compared to where many of these Boomer's are going to come from. Weather alone will not make Kingman the number one spot to begin a quest for a retirement location.
Boomer's are used to and demand many of the same amenities that younger generations grew up with. Boomer's shop at ALL the big box stores, eat all the same national chain restaurants, and watch movies at all the large cinema's... just to name some things that most other locations in Arizona have that Kingman does not in vast quantities for choice. While many point to the 'inevitable' wave of Boomer's moving to Kingman to save the day, I point to the chance that those Boomer's may not choose the Kingman area to reside in because they may choose a different location. I've yet to hear a Boomer say that they hope to settle down in a town that is basically a truck stop haven. With many truck stops already available to choose from in Kingman and even more on the way in 2013, or thereabouts, I bet that we do capture those Boomer's that demand to reside in such a community. Will it be enough??
Well I'm not putting all my eggs in the Baby Boomer basket.
It is time for the city of Kingman to sit down with private commercial developers that want to bring in more choice for amenities that appeal to people of all age groups. Kingman has to realize its potential and emerge from 1980's conceptual thinking. The city is going to have to rely on the developers to improve the area and therefore help attract a younger labor market. Big box stores and restaurant chains will not do it alone, but it is one step in the right direction.
Now I'm not stating that Kingman should roll over for any developer. I think that if a developer wants to create a better location for development along the Interstate, for instance, then the developer should be willing to be part of the effort to improve the infrastructure that will enhance that opportunity. If the developer can provide an opportunity to either front the money needed or simply pay the entire bill for infrastructure to enhance their property, the city should be negotiating a possible agreement to insure that there is also a 'win' position for the community.
We won't know the potential for a 'win' position in our favor as residents of this community until there are talks on the table with developers. Voters of Kingman just told the city that they weren't willing to make the investment in infrastructure improvements by denying the bonds that were on the ballot. The city is losing the sales tax base slowly and surely. Sales tax is the main source of revenue that pays for city services. The money needed to improve the city has to come from somewhere and one of the remaining possibilities for needed funds for infrastructure is from the private developers themselves.
Are you ready to begin talks with developers?? I am.
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