Ongoing Labor Shortage Dominated News in 1997
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Sprig Toys a success Leaving incubator after acquisition Page 3A NEWS $1 Studies take pulse March 26-April 8, 2010 of local real estate Vol. 15, No. 13 EREC find Group www.ncbr.com cautiously bullish on residential market Page 2A Regulators look into title kickbacks State board Investigators ready Ongoing labor shortage to take enforcement actions against firms Page 3A dominated news in 1997 backs off Many companies floodplain turned down ART OF ILLUSTRATION — A hallmark of the early new projects for days of NCBR was the changes THE EDGE artwork of the paper’s Marketing gets small lack of workers first designer, David on mobile Web front Badders. His illustrations, Proposed rules It’s time to design such as this one for the By Steve Porter e-commerce websites original “Labor Squeeze” created flood for new handhelds [email protected] series, and editorial cartoons won awards Page 9A Oh what a difference a few from both state and of controversy years can make. national organizations. By Steve Porter It was only 13 years ago, in 1997, when the economic land- [email protected] scape looked almost completely oppositeof that weseetoday. Proposed changes to statewide regu- Thenational, stateand local lations on building in floodplains economies were still booming in recently created such a rising tide of 1997, although at a somewhat opposition that several were rolled back slowerpacethan in theprevious by the Colorado Water Conservation SPECIAL few years. New residents were Board on March 19. continuing to flow into Northern Therevisions that drewthemost REPORT Colorado and thehousing con- concern from the local development NoCo economy hit struction industry, although community were a new definition of bottom in November cooling slightly, was still in high “critical facilities” and rules dictating how such facilities could be built or Region looks up, gear. 8% nation could face Even the now-moribund com- modified within 100-year and 500-year double-dip recession mercial construction sector was 7% floodplains. Page 18A thriving, with 1.3 million square 6% Floodplains are the areas around feet of new space proposed for rivers or streams that could become 5% the year. inundated from storms or rapid snow LISTS The number of banks was also 4% melt. A 100-year flood has 1 percent chance of occurring in any year; a 500- Region’s largest: expand- 3% See Then…and Now ing, a year flood, like the Spring Creek Flood Windsor employers By Carol Wood suresign 2% in Fort Collins in 1997, has a 0.2 percent chance of happening. Page 15A Page17A that the 1% region’s According to the CWCB document 0% being updated, “Rules and Regulations Chambers of economy was continuing its Northern Colorado Unemployment Rate 1997 for Regulatory Floodplains in ongoing good health and pros- 1995 1996 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 Commerce perity. But oneof thebiggest sto- Colorado,” critical facilities include “a CHART SOURCE: JOHN W. GREEN, REGIONAL ECONOMIST Page 20A ries of the year was an acute labor Image by David Badders structure, infrastructure, property, equipment or service that, if flooded, shortage, a situation that was UPS AND DOWNS — Regional unemployment has followed the rollercoaster ride Greeley & Evans resulting in companies having to of the national rate, but remained at least a percentage point lower than the may result in severe consequences to employers compete for talented workers. overall U.S. jobless figure. For example, while the nation was enjoying 4.7 per- public health and safety or interrupt essential services and operations for the Page 21A And not just skilled workers. cent unemployment in 1997, Northern Colorado finished the year at 3.45 per- cent. Latest U.S. figures place joblessness close to 10 percent in February 2010, community at any time before, during See EMPLOYMENT, 16A 8 percent locally. See FLOODPLAIN, 28A Want to sponsor an NCBR anniversary issue? Special ad rates are still available See page 16A for the issue and story/year list. Contact your account manager 970.221.5400 TODAY. 2A | Northern Colorado Business Report www.ncbr.com | March 26-April 8, 2010 Studies take pulse of local real estate industry assessments on an annual basis. EREC finds Group The survey of residential brokers gar- The Group Inc. Real Estate released its 2010 nered almost 250 responses from the Realistic confidence forecast for Northern Colorado residential cautiously bullish Denver metro area to Northern sales, with an overall optimistic tone. Colorado. Of the respondents, 46 per- on housing market cent expect 2010 transactions to exceed Fort Loveland/ Greeley/ those in 2009, with 36 percent anticipat- Year Collins/ Windsor Other* Total Berthoud Evans By Kristen Tatti ing them to remain the same. Wellington [email protected] Those results seem to mesh with the Group Inc. Real Estate’s 2010 forecast, 2010 3,000 1,425 1,700 500 550 7,175 This year has ushered in a new pas- which is bullish on Northern Colorado. (forecast) time for business people across nearly For all markets in the region, the firm every industry – the real estate watch. predicted a slight increase in the number 2009 2,923 1,399 1,671 495 532 7,020 Monthly reports on foreclosures, of homes sold compared to 2009. delinquencies, sales, and similar metrics Overall, the region is anticipated to see a are dissected for a glimmer of hope or 2.2 percent increase in home sales. Of 2008 3,121 1,467 1,662 478 652 7,380 continued despair. It’s only natural, since course, 2009 was the fourth consecutive the real estate industry, especially in an year of decline. area like Northern Colorado, is directly “We’re cautiously optimistic,” said 2007 3,613 1,604 1,704 660 662 8,243 tied to the waxing and waning of the Group President Eric Thompson.“So far local economy. in 2010, we’re ahead of last year by 10 *Ault, Eaton, Johnstown, Mead, Kersey, Milliken and LaSalle A couple of local entities recently percent.” released their take on the coming year, Thompson attributes much of that showing general optimism for the resi- activity to the federal homebuyer tax SOURCE: BUSINESS REPORTRESEARCH dential market, and uncertainty and fear credits, which are set to expire at the end for the unrelenting deluge of new rules of April. However, he feels that with the Regulatory risk Washington D.C. to speak out about a and regulations. region’s relatively healthy employment In all, 126 mortgage brokers and number of issues that he sees as detri- The Everitt Real Estate Center pre- market and a growing confidence in the bankers responded to the EREC survey. mental to the industry. sented the findings of two inaugural sur- economy, residential sales won’t see a big The biggest risk they identified, by a Braden’s concern is that most, if not veys gauging the trials and tribulations post-credit drop. rather large margin, was federal regula- all, of the recent regulation and rule- of the residential and mortgage sectors. Confidence stuck out as a major con- tions. making leans toward a big-business “We need to be able to identify when cern in the EREC survey. Residential Fort Collins mortgage broker Doug model, to the detriment of small busi- the mood of the market is changing and brokers ranked buyer confidence as the Braden, who heads the government nesses. For example, the U.S. why,” said Center Director Steve Laposa. biggest barrier to sales, followed by bor- affairs committee for the Colorado Department of Housing and Urban EREC launched a similar survey in the rower qualifications. The latter falls into Association of Mortgage Brokers, knows Development is considering increasing fall focusing on commercial real estate the territory of the mortgage origina- about the risk of federal regulations all the net worth of brokers and lenders and plans to continue with all three tors. too well. He made a late-February trip to from $250,000 to $2.5 million within See REAL ESTATE, 28A There are financial parasites within every business that would like nothing better than to feed off of your blood, sweat and tears. We’re not your average accountants. We know what’s sucking you dry. Contact Jan Daugaard at 970-685-3429. KCOE.COM March26-April 8, 2010 | www.businessreportdaily.com Northern Colorado Business Report | 3A THE Regulators look into title kickbacks EYE probe likely also will spark “a couple more “It took me about three months to go Investigators ready offshoot investigations,” he said. through them all,” he said. “We were look- Pope gives “We think there will be more enforce- ing for checks that were cut to other title to take enforcement ment actions this year than last year,” Helm agencies or real estate companies that did- said.“Now, there’s less of a tolerance against n’t quite fit. As you go through a bank state- Facebook, actions against firms going against procedures” because of a new ment, you can see these checks are obvious- state law that more closely regulates title ly from one file, but there would be other By Garrison Wells companies. checks here and there that didn’t quite look Twitter his [email protected] Last year, the division took seven like a commission.” enforcement actions against title insurance Northern Colorado title professionals Colorado regulators are conducting an firms, according to its annual report to the said they support the tougher stance. blessing industry-wide investigation into illegal state Legislature. There were 15 in 2008 and “I think the consumer needs to be total- kickbacks in the title insurance industry, four in 2007.