State Biz Development failing small cities?
The big get bigger. The small can't get started. Montanans lose hope.
An Open letter to Gov. Steve Bullock, our elected officials, community development trusts and agencies and Angel Investors
Salutations, We moved here three years ago out of California to semi-retire and then, out of the love of our jobs, we started an upscale magazine and monthly newspaper so we can pay the bills.
We expect to launch two to three more in the next fiscal year.
The one thing keeping us from making a bigger profit so we can add some employees is what most would call "startup" or "seed" money.
So far, none of the countless county, state and federal agencies designed to help "small businesses" get started and create jobs have not been able to help us. In fact, our county CDC seems to avoid helping us at all cost while relatives and cronies get nice, huge grants that would help us create an empire.
My father used to say, "they won't lend you the money until you prove you don't need it."
Seems like my Old Man was right.
The Governor and every elected official in Missoula, Lake and Flathead counties claim to want to help small businesses create jobs, expand our economy, create affordable housing and keep Montana talent in Montana. (That might also lower our soaring suicide rate, but that's another letter.)
In our industry, every major print media outlet in the state is bankrolled by out-of-state behemoths - Lee Enterprises, Hagadone, Povich. They run all the dailies, all the big weeklies and most of the small ones.
A good portion of the Montana money they collect (somewhere between 5% and 20%) goes to huge corporate entities who provide mostly low-paying, short-term jobs to j-school grads who come and go with great regularity.
We'd love to expand our marketing and publishing company to include a dozen employees who make pretty good pay in long-term positions that keep our creative talent and money right here in Western Montana.
The city we live in now, Polson, is the Eighth poorest in the state and neighboring Pablo is second poorest) Pretty ugly knowing Montana is one of the poorest states in the country. The economy is so poor, we will be moving soon.
Pablo, above left, and Polson, above right, are two of the poorest cities in Montana.
Two years ago, realizing the vast potential Polson has, we pitched a tourism marketing plan that would easily draw thousands into town almost all year 'round just by promoting the amenities that are already in place: Miles of pristine shoreline, an outstanding golf course, upscale and two-star motels, shopping, restaurants, outdoor activities, museums, gambling, and countless other family-friendly features.
But, after I made pitches to the city, county, tribes, chamber and other organizations no one here could, or would, come up with a single penny for a campaign. Since then, our downtown is practically a ghost town with four businesses closing this year alone. Our two biggest retail spaces downtown are churches.
In my experience, a small investment here would create a stable, long-term economy in a place that really needs it. Instead of being a pass-through between Yellowstone and Glacier, Polson and Lake County could easily become a tourist destination instead of a fuel-pee-eat corridor.
The challenge we've faced is we'd have to spend thousands in time, labor and restructuring just to apply for a loan or grant.
Meanwhile, opportunities continue to pass us by while bigger, already viable companies and tourist attractions garner the funds that could help many startups get a foothold.
Click the picture to visit the voices of tourism website.
Of the $3.9 billion spent by tourists in Montana,
only .08% of that was spent in Lake County.)
In Bigfork, I have a project that would fund the VFW's new community center and create affordable housing and office space in a great location and in an area that desperately needs it. But we need a chunk of cash to get started and then make sure the property is developed - not just to make a margin for some bigger, out-of-area investor - but by someone who can create an environment where hard-working locals can afford to live.
But this won't happen either and, I fear, some developer comes in and builds what will become a slum right on Highway 35.
I guess this isn't much more than a rant but most of these calls for economic development and keeping kids from moving out of state or committing suicide ring hollow when all our money goes to market established destinations while towns like Polson and Phillipsburg and Deer Lodge are dying from lack of attention. (You can buy a house in Deer Lodge for $30,000 but where can you work?)
The rich get richer and the poor get poorer. It's a tough paradigm that proves all too real.
Sincerely,
Vince Lovato
Marketer/Publisher/Dreamer
