tag:blogger.com,1999:blog-28108472054093302732024-02-08T08:53:48.308-08:00San Gabriel Valley Economic PartnershipNews about businesses and the economy in the San Gabriel Valley. Unknownnoreply@blogger.comBlogger109125tag:blogger.com,1999:blog-2810847205409330273.post-23469377709683498972015-10-01T12:50:00.001-07:002015-10-01T12:50:31.985-07:00Celebrate Industry and Many SoCal jobs<div class="BodyA">
There are three little words we all like to hear, <i>“Made
in America.</i>”<span style="font-family: "Arial Unicode MS",sans-serif; mso-hansi-font-family: Helvetica;"> </span>Manufacturing
helped grow our nation and build a middle class. Manufacturing jobs pay good wages. Manufacturing spurs economic growth and
drives innovation. <o:p></o:p></div>
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Many are quick to think that all manufacturing has left Southern
California. Not true. While the number of jobs has declined, Los
Angeles County still has a significant manufacturing base providing almost
815,000 jobs -8.6 percent of the total workforce. <o:p></o:p></div>
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The Los Angeles Economic Development Corporation (LAEDC), which
tracks employment by sector, reports “LA County has more manufacturing
employment than any other county in the nation.
We have a diverse set of manufacturing industries here that don’t
receive enough publicity and support.”<o:p></o:p></div>
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These companies sell products around the world which brings
money here and creates wealth for the entire region.<o:p></o:p></div>
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The San Gabriel Valley - where I live and work - is the proud
home of 58,900 manufacturing jobs. In
fact in the last 10 years several highly specialized advanced manufacturing
sub-sectors have added jobs in the SGV - primarily those involved in making the
parts, components, resins, and fibers for the aerospace industry and
pharmaceutical and medical manufacturing serving the burgeoning healthcare
industry. <o:p></o:p></div>
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<br /></div>
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Tomorrow, October 2, 2015, is National Manufacturing Day. You might wonder why we need a day to
celebrate manufacturing. There are lots
of good reasons.<o:p></o:p></div>
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<br /></div>
<div class="BodyA">
First, it is needed to set the record straight. Manufacturing is not dead. It is an important part of our economy and
the infrastructure required to support manufacturing exists here in abundance -
our ports, freeways, utilities, and workforce.<o:p></o:p></div>
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<br /></div>
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Second - LAEDC is right. These important companies don’t
get enough publicity and support. We
want these companies to stay here and to grow here. We should let them know they are appreciated.<o:p></o:p></div>
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Finally, manufacturing offers opportunities for future
employment. Manufacturing Day provides a
good opportunity to get students thinking about careers in manufacturing.<o:p></o:p></div>
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<br /></div>
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Manufacturing companies, colleges, and universities are all
pitching in to share the good news and cheer on manufacturing. There are almost 2,000 events planned across
the nation. A quick visit to LAEDC’s
website provides a list of the events planned closer to home.<o:p></o:p></div>
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<br /></div>
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One other top manufacturing sector in LA County is food
manufacturing. The SGV is adding jobs in
this sector especially related to specialty sauces. How about celebrating manufacturing by
touring Huy Fong Foods to see how their famous Rooster Sriracha sauce is
made? It is chili picking season and the
best time to pay a visit. Sign up for
Saturday tours on their website at Huy Fong Foods, Inc. <i><span style="font-family: "Times New Roman",serif; mso-bidi-font-family: "Arial Unicode MS"; mso-hansi-font-family: "Arial Unicode MS";">www.</span><b>huyfong</b></i><i><span style="font-family: "Times New Roman",serif; mso-bidi-font-family: "Arial Unicode MS"; mso-hansi-font-family: "Arial Unicode MS";">.com</span></i><i><span style="font-family: "Times New Roman",serif; mso-fareast-font-family: "Times New Roman";"><o:p></o:p></span></i></div>
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Happy Manufacturing Day however you decide to celebrate it.<o:p></o:p></div>
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Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-2810847205409330273.post-84131233852123431982015-09-24T12:14:00.002-07:002015-09-24T12:14:46.819-07:00CEQA Suits Block Housing, Transit<div class="BodyA">
<span style="font-size: large;">Housing has always been expensive in California. It is
understandable since the state is a great place to live. Housing is in high
demand. <o:p></o:p></span></div>
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<br /></div>
<div class="BodyA">
<span style="font-size: large;">Buying a house has been out of the reach for many families for a
long time. California has the second
lowest ownership rate in the country. In
the greater Southern California region, which includes Los Angeles, Orange,
Riverside, San Bernardino and Ventura counties, approximately 48 percent of the
housing stock comprises rental units according to the U.S. Census Bureau.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">However, today, even the rental market is also becoming
unaffordable. A recent study by the
California Housing Partners Corporation and Harvard University concluded, “The
rental market in Southern California is the least-affordable it has ever been.”<span style="font-family: "Arial Unicode MS",sans-serif; mso-hansi-font-family: Helvetica;"> </span>One in five Southern California
renters spends more than half their monthly incomes on rent.<o:p></o:p></span></div>
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<br /></div>
<div class="BodyA">
<span style="font-size: large;">The major cause of the housing crisis is lack of supply. With more people and more demand economics
tells us the market should increase the supply of housing. But that is happening very slowly. <o:p></o:p></span></div>
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<br /></div>
<div class="BodyA">
<span style="font-size: large;">A report by the nonpartisan California Legislative Analyst’s
Office says the cause of California’s high prices is the California’s
Environmental Quality Act (CEQA). <o:p></o:p></span></div>
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<br /></div>
<div class="BodyA">
<span style="font-size: large;">Holland & Knight, a California law firm, recently released
their study of over 600 CEQA lawsuits from 2010 to 2012. What they found is that the most frequently
targeted projects for CEQA litigation are residential projects (21 percent). Forty-five percent of the projects challenged
were multi-family (apartments and condominiums) and many of these projects
included affordable housing.<o:p></o:p></span></div>
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<br /></div>
<div class="BodyA">
<span style="font-size: large;">Of course, just because a residential project is multi-family
doesn’t mean it will not have environmental impacts. Projects
proposed for wetlands or in sensitive natural areas should be scrutinized for
environmental impacts. Proposed projects
located in undisturbed greenfields or where there is lack of infrastructure
such as water, power, roads and public transit, should receive detailed
environmental reviews. <o:p></o:p></span></div>
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<br /></div>
<div class="BodyA">
<span style="font-size: large;">But the report also found that 80 percent of the projects sued
under CEQA - not just housing but also parks, schools, commercial, retail and
industrial projects - were in-fill projects.
They were proposed to be built in areas that had infrastructure in place
and were already urban places.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Half of the CEQA lawsuits were filed against public
projects. The most frequent were against
public transit projects. A CEQA lawsuit
delayed San Francisco’s plan to expand bicycle lanes for
five years increasing the cost by millions of dollars of taxpayer money. Student housing near USC, that was
specifically designed to reduce impacts on adjacent neighborhoods, was tied up
in the courts for years by a CEQA challenge.<o:p></o:p></span></div>
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<br /></div>
<br />
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<span style="font-size: large;">These findings run counter to our perception of CEQA. It is easy to see through the thinly veiled “environmental
protection”<span style="font-family: "Arial Unicode MS",sans-serif; mso-hansi-font-family: Helvetica;"> </span>arguments of so many CEQA cases and
recognize them for what they are –<span style="font-family: "Arial Unicode MS",sans-serif; mso-hansi-font-family: Helvetica;"> </span>efforts by business competitors, NIMBY’s,
labor unions, and people just fearful of change –<span style="font-family: "Arial Unicode MS",sans-serif; mso-hansi-font-family: Helvetica;">
</span>to use the law to thwart change or damage opponents. CEQA was never
intended for such uses It is unfortunately easy to see how much damage is being
caused in California under the banner of environmental protection.</span><o:p></o:p></div>
Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-2810847205409330273.post-34151494635724941992015-09-17T10:55:00.002-07:002015-09-17T10:55:04.604-07:00Kaiser Polls Highlight National Drug Costs<div class="BodyA">
<span style="font-size: large;">Kaiser Permanente is well known for its excellent health care
services. The Kaiser Permanente Baldwin
Park Medical Center recently received several awards including the American
Heart Association and American Stroke Association’s <i>Gold Plus
Quality Achievement Award</i>, a ranking in U.S. News & World Report as one
of the <i>Best Hospitals</i>, and 2015 Women’s Choice Award as
one of <i>American</i><i>’s Best Breast Centers</i>. <o:p></o:p></span></div>
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<br /></div>
<div class="BodyA">
<span style="font-size: large;">All 14 of Kaiser Permanente’s Southern
California Hospitals received an “A”<span style="font-family: "Arial Unicode MS",sans-serif;"> </span>from the Leapfrog
Group - a national non-profit watchdog organization.<o:p></o:p></span></div>
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<br /></div>
<div class="BodyA">
<span style="font-size: large;">This year Kaiser celebrates 70 years of excellent care, clinical
research and community support. Seventy
years ago a young surgeon, Dr. Sidney Garfield, saw that the workers on the
Colorado River Aqueduct Project needed medical services. His 12-bed Mojave Desert hospital would not
turn anyone away but cash flow was a problem - insurance companies were often
slow to pay - and many workers had no insurance. <o:p></o:p></span></div>
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<br /></div>
<div class="BodyA">
<span style="font-size: large;">An insurance agency associate suggested the insurance company
pay Garfield’s hospital a fixed per day, per worker amount solving the
cash flow problem and offering the workers an affordable insurance plan. The “prepaid”<span style="font-family: "Arial Unicode MS",sans-serif;"> </span>system was born. <o:p></o:p></span></div>
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<br /></div>
<div class="BodyA">
<span style="font-size: large;">A few years later Dr. Garfield partnered with Henry Kaiser,
creator of the Kaiser Shipbuilding Company, to expand services to construction,
shipyard and steel mill workers. In 1945
the program was opened to the public.
Today Kaiser Permanente serves 10 million members.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Kaiser is also a leader in researching and addressing national
healthcare issues in order to improve the healthcare system. Kaiser conducts frequent nationwide polls of
people over the age of 18 to provide information about a variety of health
issues. The August 2015 poll covered one of the most pressing issues effecting
American healthcare costs - prescription drugs. <o:p></o:p></span></div>
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<br /></div>
<div class="BodyA">
<span style="font-size: large;">Research and development along with FDA approval of new
prescription drugs is expensive. Drug
companies deserve to make a fair return on their work. Kaiser’s poll showed that
while 62 percent of adults believe that prescription drugs make people’s
lives better, 72 percent believe that the cost of prescription drugs is
unreasonable. To lower the cost,
respondents preferred market place competition (51 percent) rather than
government regulations (40 percent). <o:p></o:p></span></div>
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<br /></div>
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<span style="font-size: large;">Specific policies, such as requiring drug companies to release
information to the public on how they set their drug prices, was overwhelming
supported by 86 percent of respondents. <o:p></o:p></span></div>
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<br /></div>
<div class="BodyA">
<span style="font-size: large;">With federal legislative action unlikely, California is
considering AB 463 (Chiu - San Francisco) which would require price reporting
for any drug or treatments that cost more than $10,000. The annual report would include breakdowns
for research & development, clinical trials, manufacturing, marketing &
advertising, and profits.<o:p></o:p></span></div>
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<br /></div>
<div class="BodyA">
<span style="font-size: large;">Getting this legislation passed won’t be easy. Drug companies are fighting passage of AB
463. Last year they contributed $2
million to California state campaigns and $14.8 million to federal
campaigns. <o:p></o:p></span></div>
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<br /></div>
<span style="font-family: Helvetica, sans-serif;"><span style="font-size: large;">Happy anniversary Kaiser and thanks for helping us
understand these important healthcare issues.</span></span>Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-2810847205409330273.post-19057396896810354062015-09-03T14:19:00.003-07:002015-09-03T14:19:49.250-07:00Where did the current term ‘bug’ come from?<div class="BodyA">
<span style="font-size: large;">Bugs - those little things that fly around your head and crawl
up your leg - have a bad reputation. If
we are bugged, it means that either someone is annoying us or listening without
our permission. And if you have suffered
from a computer bug, which most computer owners have, you know that bugs are
not only annoying but can be very expensive.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">How is it that we associate computer problems with a bug? There are several theories but most trace
back to Thomas Edison and the telegraph.
He was just 26 years old when he began his work on sending messages by
wire in two directions by changing the direction of the current. <o:p></o:p></span></div>
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<br /></div>
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<span style="font-size: large;">But he had a problem with a false break when the current
switched. His solution was to isolate
the unwanted break into a “bug trap.”<span style="font-family: "Arial Unicode MS",sans-serif; mso-hansi-font-family: Helvetica;"> </span><o:p></o:p></span></div>
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<span style="font-size: large;">Edison continued to expand the use of the word bug to describe
problems that needed attention. Bug
appears frequently in his notes on incandescent lighting, “Awful
lot of bugs still.”<span style="font-family: "Arial Unicode MS",sans-serif; mso-hansi-font-family: Helvetica;"> </span>In 1878 He defined the word in a
communication to his employee, Theodore Paskas, “This thing gives
out and then that ‘Bug’<span style="font-family: "Arial Unicode MS",sans-serif; mso-hansi-font-family: Helvetica;">
</span>- as such little faults and difficulties are called - show themselves,
and months of anxious watching, study and labor are requisite before commercial
success - or failure - is certainly reached.”<o:p></o:p></span></div>
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<br /></div>
<div class="BodyA">
<span style="font-size: large;">By 1892 the terms “bug”<span style="font-family: "Arial Unicode MS",sans-serif; mso-hansi-font-family: Helvetica;">
</span>and “bug trap”<span style="font-family: "Arial Unicode MS",sans-serif; mso-hansi-font-family: Helvetica;"> </span>had spread widely in the engineering
community and were included in Thomas Sloane’s “<i>Standard
Electrical Dictionary.</i><i>”</i><i><span style="font-family: "Arial Unicode MS",sans-serif; mso-hansi-font-family: Helvetica;"> </span></i>A “bug”<span style="font-family: "Arial Unicode MS",sans-serif; mso-hansi-font-family: Helvetica;">
</span>was defined as “any fault or trouble”<span style="font-family: "Arial Unicode MS",sans-serif; mso-hansi-font-family: Helvetica;">
</span>and a “bug trap”<span style="font-family: "Arial Unicode MS",sans-serif; mso-hansi-font-family: Helvetica;"> </span>as “any connection or
arrangement for overcoming said bug.”<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">On September 9, 1947 there was a more literal manifestation of
the idea of a computer bug. A computer
programmer, Navy Commander Grace Murray Hopper, was working on the Harvard Mark
II electromechanical computer. <o:p></o:p></span></div>
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<br /></div>
<div class="BodyA">
<span style="font-size: large;">The computer wasn’t working properly so technicians
began digging around in the machine to find the cause. Low and behold they found a moth - yes a real
live, well actually dead, moth - between panel F and relay # 70. If you know where that is you know a lot more
about computers than most of us.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">The moth was retrieved and taped into the log book with the
citation, presumably from the Commander herself, “First actual case
of a bug being found.”<span style="font-family: "Arial Unicode MS",sans-serif; mso-hansi-font-family: Helvetica;"> </span>The
whereabouts of the moth today are a bit unclear. Some accounts say it is in the Naval Surface
Warfare Center Computer Museum in Virginia.
Others say it is kept at the History of American Technology which is a
part of the Smithsonian National Museum of American History.<o:p></o:p></span></div>
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<br /></div>
<div class="BodyA">
<span style="font-size: large;">We do know that Commander Hopper’s work in computer
languages including COBAL earned her the first ever Computer Science Man of the
Year Award in 1969 and the National Medal of Technology in 1991.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Thomas Edison may have coined the term “bug”<span style="font-family: "Arial Unicode MS",sans-serif; mso-hansi-font-family: Helvetica;">
</span>to describe a problem, but it was Grace Hopper who was the first person
to actually “debug”<span style="font-family: "Arial Unicode MS",sans-serif; mso-hansi-font-family: Helvetica;"> </span>a computer. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Next Wednesday, September 9, is the 68th anniversary of that
debugging and a good time to run an anti-virus “debugging”<span style="font-family: "Arial Unicode MS",sans-serif; mso-hansi-font-family: Helvetica;">
</span>program on your computer. Also a
good time to salute Mr. Edison and Ms. Hopper.
They fixed a lot of bugs for us.<o:p></o:p></span></div>
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<br /></div>
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<br /></div>
Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-2810847205409330273.post-59893332524207060062015-08-27T12:56:00.002-07:002015-08-27T12:56:51.175-07:00Minimum wage issue stirs mixed reactions<div class="BodyA">
<span style="font-size: large;">Major cities across the country are discussing the minimum
wage. The City of Los Angeles joined the
growing list approving an annual wage increase from the current state minimum
of $9.00 per hour to $15.00 per hour effective July 1, 2020. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">The Los Angeles Board of Supervisors adopted a similar proposal
for the unincorporated areas of the County but gave small businesses until 2022
to meet the $15.00 per hour minimum.
They also created a task force to recommend a package of initiatives to
help small businesses with tax credits, reductions in the cost of permitting or
business licenses fees, and streamlined permitting.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">While any reasonable person knows that the minimum wage needs to
incrementally increase, at least to keep pace with inflation, the current
proposals have raised many questions and complexities. To begin a regional discussion, the San
Gabriel Valley Economic Partnership recently held a forum for advocates and
opponents of the minimum wage increase to offer their perspectives.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Peter Dreier, E.P. Clapp Distinguished Professor of Politics and
Urban & Environmental Policy at Occidental College, described the plight of
the working poor. There are three
million people living in poverty in LA County.
This is a drag on the economy.
Professor Dreier believes that increased wages will move people out of
poverty. With additional money to spend,
minimum wage could mean increased revenues for local businesses.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Ruben Gonzalez, Senior Vice President of the Los Angeles Area
Chamber of Commerce, quoted H.L. Menken in describing the Chamber’s
perspective on minimum wage - “For every complex problem there is a
clear, simple and wrong answer.”<span style="font-family: "Arial Unicode MS",sans-serif; mso-hansi-font-family: Helvetica;"> </span>Calling
minimum wage increases the politically easy answer; he believes the way to move
people out of poverty lies in education and training. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Michael Hawkins, Founding Partner of Green Street Restaurant in
Pasadena, asked elected officials to remember that decisions made by
governments have real life impacts on people.
He gave a real life example.
Based on his existing staffing level, his payroll, income tax and worker’s
compensation tax would increase by just over $1 million if the minimum wage
rises to $15.00 in 2020. That doesn’t
take into account increasing costs he may experience from suppliers who have
minimum wage impacts on their bottom lines.
He doesn’t see how his revenues can keep-up
even if he increases prices. That could mean fewer jobs, reduced benefits, or
even closing the restaurant.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Dr. Mark Maier, Professor of Economics at Glendale Community College,
supports increasing the minimum wage but believes that it needs to be at a
regional level. While the panelists didn’t
agree on many things, everyone admitted it is a big problem having a patchwork
of minimum wage rates across an economic region. It’s disruptive to competition and
confusing to employers, employees and consumers alike. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Some audience members were concerned about the impact on
non-profits. Non-profits can’t
raise prices. Fundraising is difficult
especially for existing services. Many
believe reducing services to clients could be the only option.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Warren Buffet recently penned an article in the Wall Street
Journal saying that the best means to provide a livable income for those
working below the poverty line is to expand the federal Earned Income Tax
Credit. He argues it could provide
everyone willing to work an income that provides a decent standard of living
without distorting the market system.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<br />
<div class="BodyA">
<span style="font-size: large;">Are current proposals to raise minimum wages 66 percent over
five years too much too fast? Is it a
necessary moral response to wage stagnation and economic inequality? Will it
reduce poverty or reduce jobs? Will it
hurt the economy or help the economy? Are there better ways to reach the same
goal? Difficult questions. Few answers.</span><o:p></o:p></div>
Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-2810847205409330273.post-61862945710129370062015-08-20T11:56:00.004-07:002015-08-20T11:56:38.379-07:00Groundwater management needed during a drought<div class="BodyA">
<span style="font-size: large;">Managing water in California is no small task. State legislators took a major step with the
enactment of the 2014 Sustainable Groundwater Management Act. Prior to this
Act, there were no comprehensive regulations governing groundwater in
California. Individual court decisions
provided the only governing rules.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">While much of the public attention related to water supply has
been focused on the depth of the snow cap and the conditions on the Colorado
River, local groundwater typically provides approximately 38 percent of the
state’s water. The State
Department of Water Resources has identified 515 alluvial groundwater basins
and sub-basins which provide this important water source.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">The courts have adjudicated 22 of these basins - 20 in Southern
California. Where there are multiple
users and development or other pressures have threatened to overwhelm the
limits of the water supply in the basin, courts have been asked to establish
rules determining the pumping rights of each user. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Adjudication takes years, even decades, as court must unravel
established practices and water rights.
After adjudication, the court usually appoints a water master to make
sure that going forward the court imposed limits are adhered to by all users
having rights in the basin.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">In non-adjudicated basins, the courts have upheld landowners “overlaying
rights”<span style="font-family: "Arial Unicode MS",sans-serif; mso-hansi-font-family: Helvetica;"> </span>–<span style="font-family: "Arial Unicode MS",sans-serif; mso-hansi-font-family: Helvetica;">
</span>the right to extract and use water from the groundwater basin beneath
their lands - as long as the water is used only on the land directly above the
basin. Of course, not everyone owns land
over a basin but may still have a right to pump water. So-called “appropriative
rights”<span style="font-family: "Arial Unicode MS",sans-serif; mso-hansi-font-family: Helvetica;"> </span>allow these owners to pump water for
use on land not located above the basin or sell it to other customers.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">But it isn’t just where your land is, it is also
when you can show a chain of title to the land. Riparian rights - land abutting
a waterway - that are pre-1914 are senior rights. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">This all works fine when there is plenty of water but when there
is a drought, things quickly become complicated. Disputes trudge through the courts. Holders of “overlaying rights”<span style="font-family: "Arial Unicode MS",sans-serif; mso-hansi-font-family: Helvetica;">
</span>and “senior rights”<span style="font-family: "Arial Unicode MS",sans-serif; mso-hansi-font-family: Helvetica;"> </span>generally win leaving “appropriative
rights”<span style="font-family: "Arial Unicode MS",sans-serif; mso-hansi-font-family: Helvetica;"> </span>and later rights holders and their
water uses high and dry. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">During the drought groundwater pumping around the state has
increased to an unprecedented level with devastating results. In some areas over pumping has caused land to
sink at an alarming rate - as much as one foot per year. This is an
irreversible condition. The inequities
of the current system were apparent. The
need for better groundwater management was clear. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">The new regulations require that non-adjudicated basins form
local “groundwater sustainability agencies”<span style="font-family: "Arial Unicode MS",sans-serif; mso-hansi-font-family: Helvetica;">
</span>(GSA). Each GSA must measure how
much water is being pumped in its basin, estimate future demands, and develop a
plan that protects the basin from over-pumping.
If the basin is in a critical condition because of over-pumping, a plan
must be completed within five to seven years.
If the basin is not endangered, a GSA may be given up to twenty years to
complete its plan. If a plan is not completed on schedule, the state may
intervene to impose its own plan.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<span style="font-size: large;"><span style="font-family: Helvetica, sans-serif;">Every person and business needs water. Until the Legislature acted, California was
one of the few western states that did not have a comprehensive statutory
framework for groundwater management.
There remains much more to do and additional legislation will be needed
as the plans are developed but this is a great first step to protect California</span><span style="font-family: Helvetica, sans-serif;">’</span><span style="font-family: Helvetica, sans-serif;">s future water
supplies.</span></span>Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-2810847205409330273.post-52942764979929551382015-08-13T12:42:00.000-07:002015-08-13T12:45:28.112-07:00Business launch can be aided by crowdfunding<div class="Body">
<span style="font-family: inherit; font-size: large;">Have a great idea for a new product? Maybe you figured out how to
make a cheaper phone or tastier pizza or even a better mousetrap. Perhaps you
have a new service in mind that you are sure everyone is going to want to buy. <o:p></o:p></span></div>
<div class="Body">
<span style="font-family: inherit; font-size: large;"><br /></span></div>
<div class="Body">
<span style="font-family: inherit; font-size: large;">There are a lot of things you need to pull together before you
start - a business plan, customer analysis, production and capacity
contingencies - and don’t forget money.
You are going to need some money.
<o:p></o:p></span></div>
<div class="Body">
<span style="font-family: inherit; font-size: large;"><br /></span></div>
<div class="Body">
<span style="font-family: inherit; font-size: large;">Often traditional funding institutions aren’t as excited as a new
entrepreneur is about that great idea. So many entrepreneurs are shifting the
task of raising capital into their own hands by utilizing crowdfunding. <o:p></o:p></span></div>
<div class="Body">
<span style="font-family: inherit; font-size: large;"><br /></span></div>
<div class="Body">
<span style="font-family: inherit; font-size: large;">Crowdfunding involves raising funds directly from a large number
of people - friends, family and strangers - then using the money to launch your
business. The internet is the preferred means for contacting the potential
funding sources and telling them about your new project.<o:p></o:p></span></div>
<div class="Body">
<span style="font-family: inherit; font-size: large;"><br /></span></div>
<div class="Body">
<span style="font-family: inherit; font-size: large;">If you think this must just be for small players or is a passing fad,
think again. According to the 2015 Crowdfunding Industry Report prepared by
Crowdsourcing.org, a professional industry organization serving crowdsourcing
and crowdfunding entities, crowdfunding “experienced accelerated growth in
2013, expanding by 167 percent to reach $16.2 billion raised, up from $6.1
billion in 2013. In 2015 the industry is
set to more than double once again.”<o:p></o:p></span></div>
<div class="Body">
<span style="font-family: inherit; font-size: large;"><br /></span></div>
<div class="Body">
<span style="font-family: inherit; font-size: large;">Crowdfunding can be structured in different ways. The vast
majority - over 68 percent - is debt based, in other words, receiving a loan
that you have to repay. But crowdfunding can also be reward-based with
investors not expecting to be repaid directly but instead opting to be the
first to receive your new product or service. <o:p></o:p></span></div>
<div class="Body">
<span style="font-family: inherit; font-size: large;"><br /></span></div>
<div class="Body">
<span style="font-family: inherit; font-size: large;">In 2012 the passage of the Jumpstart our Business Startups (JOBS)
Act opened the door for equity participation allowing crowdfunders to become shareholders
in your company.<o:p></o:p></span></div>
<div class="Body">
<span style="font-family: inherit; font-size: large;"><br /></span></div>
<div class="Body">
<span style="font-family: inherit; font-size: large;">You need to consider all your options before jumping on the
crowdfunding bandwagon. If your project
doesn’t attract investors or customers, it is unlikely that you can later turn
to traditional funding sources. Banks
and venture capitalist (VC) will be leery of the marketability of your great
idea if crowdfunding fails.<o:p></o:p></span></div>
<div class="Body">
<span style="font-family: inherit; font-size: large;"><br /></span></div>
<div class="Body">
<span style="font-family: inherit; font-size: large;">On the plus side, if you attract a lot of interest with early
crowdfunding, it will serve as validation of your idea when you need more
capital from a bank or VC.<o:p></o:p></span></div>
<div class="Body">
<span style="font-family: inherit; font-size: large;"><br /></span></div>
<div class="Body">
<span style="font-family: inherit; font-size: large;">Reward based crowdfunding may sound like the best option. You get
to keep all the equity in your company and the crowd funders share the risk. Crowdfunding
can have tax implications. You are receiving income that may be taxable. Laws
vary state by state so do your homework before starting out and taking any
money.<o:p></o:p></span></div>
<div class="Body">
<span style="font-family: inherit; font-size: large;"><br /></span></div>
<div class="Body">
<span style="font-family: inherit; font-size: large;">The Small Business Development Center (SBDC) cautions that “no
one like to be the first to a party.” Contributors will be hesitant to commit
their dollars until you have reached about 30 percent of your stated goal. That
means finding other sources up front - friends, family and selling the second
car may all be part of the funding plan.<o:p></o:p></span></div>
<div class="Body">
<span style="font-family: inherit; font-size: large;"><br /></span></div>
<div class="Body">
<span style="font-family: inherit; font-size: large;">Don’t confuse crowdfunding with pennies from heaven. It is hard
work. Don’t expect to do this in your spare time. You are introducing your idea
to your future funders, customers, and competitors. Crowdfunding is a full-time
commitment.<o:p></o:p></span></div>
<div class="Body">
<span style="font-family: inherit; font-size: large;"><br /></span></div>
<div class="Body">
<span style="font-family: inherit; font-size: large;">With the right plan and preparation, crowdfunding just may be the
answer to funding your dream.<o:p></o:p></span></div>
<div class="Body">
<span style="font-family: Arial, Helvetica, sans-serif;"><br /></span></div>
<div class="Body">
<br /></div>
Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-2810847205409330273.post-22103233535285796042015-08-06T12:48:00.000-07:002015-08-06T12:48:12.021-07:00California Roads and Bridges are Hurting<div class="BodyA">
<span style="font-size: large;">California has the worst roads in the nation. The Road
Information Program (TRIP), a national transportation research group, released
a study in July on pavement conditions in large and mid-size urban areas
ranking 25 of each size area which have the worst roads. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">First on the large urban area list is San Francisco-Oakland with
74 percent of the roads in poor condition.
A close second is Los Angeles-Long Beach-Santa Ana with 73 percent of
the roads in poor condition. San Jose is
4th (53%), Riverside-San Bernardino 14th (46%) and Sacramento 24th (42%). Six California cities - Antioch, Santa Rose,
Temecula, Hemet, Stockton, Modesto and Oxnard - made the list of 25 mid-size
urban areas with poor roads. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">And it’s not just roads. Transportation for America ranks California
as being the 18th worst state for bridge repairs. Of the 24,542 bridges that are elements of California<span style="font-family: "Arial Unicode MS",sans-serif; mso-ascii-font-family: Helvetica;">’</span>s
roads and highways, 12.8 percent or over 3,000 bridges are structurally
deficient. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">So it is pretty clear we have a problem. Caltrans estimates the
state has a $59 billion backlog while cities and counties have an additional
$78 billion maintenance backlog..<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">If all these numbers only bore you, the collapse of the bridge
on Interstate 10 near the Arizona border during a rain storm should serve as a
wakeup call. Bridges should not fall
down because of rain storms.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">You may wonder how we got in this predicament. There are many reasons. During a recession the politically easiest
way to cut down spending is by deferring maintenance and repair so the
transportation system went wanting. Gas
tax revenues - the traditional funding source for roads and bridges - are
shrinking due to fuel efficient and alternative fuel vehicles. And transportation funds have been diverted
for other purposes. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">As soon as the current state budget was passed, which didn’t
include any new funding for road or bridge repairs, the Governor called a
special session of the Legislature “To consider and act upon legislation
necessary to enact pay-as-you-go, permanent and sustainable funding to
adequately and responsibly maintain and repair the state’s transportation
and other critical infrastructure…”<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">That includes finding money without resorting to borrowing. No
easy task. The Legislature has not reached an agreement on where to find this
funding - some $6 billion per year. The
sources being discussed include both existing ones such as cap-and trade funds
and vehicle weight fees and new ones such as increasing the gas tax, diesel
fuel tax, vehicle registration fees, vehicle weight fees and a new fee on clean
fuel vehicles that don’t pay gas taxes.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">The final legislation will most likely include something for
everyone to like - the promise of safer, smoother roads - and something for
everyone to dislike - new taxes and fees to pay for them. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<br />
<div class="BodyA">
<span style="font-size: large;">If we don<span style="font-family: "Arial Unicode MS",sans-serif; mso-ascii-font-family: Helvetica;">’</span>t fix our roads and bridges, we will <span style="font-family: "Arial Unicode MS",sans-serif; mso-ascii-font-family: Helvetica;">“</span>save<span style="font-family: "Arial Unicode MS",sans-serif; mso-ascii-font-family: Helvetica;">”</span>
on repair costs. However, poorly maintained highways and bridges raise vehicle
maintenance costs, contribute to accidents, and slow down commerce. We <span style="font-family: "Arial Unicode MS",sans-serif; mso-ascii-font-family: Helvetica;">“</span>pay<span style="font-family: "Arial Unicode MS",sans-serif; mso-ascii-font-family: Helvetica;">”</span>
for poorly maintained roads with increased vehicle operating costs, increased
insurance costs, and higher prices for goods and services. You know the lesson: pay me now or pay me
later. </span><o:p></o:p></div>
Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-2810847205409330273.post-39391629592047980262015-07-23T13:57:00.000-07:002015-08-13T12:44:12.260-07:00The Art of Good Customer Service<div class="BodyA">
<span style="font-size: large;">Nordstrom has long been known for its gold standard customer
service. When you are shopping at
Nordstrom, a good sales representative makes sure everything revolves around
you - what you are looking for and what else you might like. A few days later you get a personal note from
your new BFF thanking you for the purchase and looking forward to your next
visit.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Nordstrom isn’t the only store with a reputation for
customer service - the Ritz Carlton Hotel, Whole Foods, and Trader Joe’s
are just a few of the well-known companies known for great customer
service. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">A more recent entry into the excellent customer service arena is
Apple with their Genius Bar - the cadres of high tech geniuses who will remove
the evil spirits from your Mac or iPhone without making you feel stupid in the
process.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Great customer service creates brand loyalty. When it is a great experience, you’ll
return and buy again. You feel good. You are pleased with your selection.
However, there is a lot more than soft and fuzzy feelings motivating great
customer service. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">A great customer service representative will help you make
decisions - decisions to buy things. You won’t notice. You’ll think you made that decision on
your own. But while you are focused on
the product, the store representative is focused on you. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">They are watching for hints about what is holding you back from
saying “Yes”<span style="font-family: "Arial Unicode MS",sans-serif; mso-hansi-font-family: Helvetica;"> </span>to the deal and then relating that information to their sales
approach. Your attitude, your expressions, and even your body language are all
providing information about what is standing between you and the “cha-ching.”<span style="font-family: "Arial Unicode MS",sans-serif; mso-hansi-font-family: Helvetica;">
</span><o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">If you hesitate about a new outfit, you might hear, “I
bought that same skirt last month and wasn’t sure where I
would wear it either but I found it can be the right outfit for almost any
occasion.”<span style="font-family: "Arial Unicode MS",sans-serif; mso-hansi-font-family: Helvetica;"> </span>You
express reluctance about learning something new and the techie might say, “I
don’t like to change systems either but when I had to upgrade I
found it was easy to install and the computer ran faster.”<span style="font-family: "Arial Unicode MS",sans-serif; mso-hansi-font-family: Helvetica;"> </span><o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">The scientific theory about what is going on is called Emotional
Intelligence Competencies or EI Competencies.
First studied in 1998 by Daniel Goldman, EI Competency skills relate to
both intra-personal awareness skills and inter-personal social skills. The better you are at being aware of your own
emotional state, controlling your emotions, and using your emotions to motivate
your behavior, the better you will be at empathizing with others and building
positive relationships.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Often a sales representative will offer you three choices. Just a coincidence? No –<span style="font-family: "Arial Unicode MS",sans-serif; mso-hansi-font-family: Helvetica;"> </span>that too is based on research. It is
easier for humans to choose between three products than it is to choose between
two. Too many options overwhelm but
three are just right - and mostly likely the choice will be neither the premium
nor the least expensive options but the value option in the middle.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<span style="font-size: large;"><span style="font-family: Helvetica, sans-serif;">Knowing that customer service is based on reading you
may sound intrusive or manipulative.
But it shouldn</span><span style="font-family: Helvetica, sans-serif;">’</span><span style="font-family: Helvetica, sans-serif;">t. Yes, the goal is to make a sale - but to make
a sale that you are happy with and that makes you feel good. And if you later decide it wasn</span><span style="font-family: Helvetica, sans-serif;">’</span><span style="font-family: Helvetica, sans-serif;">t a good purchase -
no problem - good customer service means easy returns with no questions asked.</span></span>Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-2810847205409330273.post-37334116235822437062015-07-16T12:23:00.000-07:002015-07-16T12:23:00.334-07:00Study examines mindset of entrepreneurs<div _mce_style="margin-top: 0px; margin-bottom: 0px; font-family: Calibri, Helvetica, Arial, sans-serif;" style="font-family: Calibri, Helvetica, Arial, sans-serif;">
<span style="font-size: large;">We all marvel at the innovation and creativity of young entrepreneurs. Some people seem to be born with the entrepreneurial spirit - destined for careers of purpose and accomplishment.</span></div>
<div _mce_style="font-family: Calibri, Helvetica, Arial, sans-serif;" style="font-family: Calibri, Helvetica, Arial, sans-serif;">
<div _mce_style="margin-top: 0px; margin-bottom: 0px; font-family: Calibri, Helvetica, Arial, sans-serif;">
<span style="font-size: large;"><br /></span></div>
<div _mce_style="margin-top: 0px; margin-bottom: 0px; font-family: Calibri, Helvetica, Arial, sans-serif;">
<span style="font-size: large;">Two renowned institutions decided to study the development of entrepreneurs and the qualities that spur their drive. The Institute for Applied Research in Youth Development at Tufts University and the Stanford Center on Adolescence jointly developed a longitudinal study to identify the "cognitive, motivational, behavioral and ecological" characteristics of adolescents and young adults who display entrepreneurial purpose. </span></div>
<div _mce_style="margin-top: 0px; margin-bottom: 0px; font-family: Calibri, Helvetica, Arial, sans-serif;">
<span style="font-size: large;"><br /></span></div>
<div _mce_style="margin-top: 0px; margin-bottom: 0px; font-family: Calibri, Helvetica, Arial, sans-serif;">
<span style="font-size: large;">The Young Entrepreneurs Study (YES) was in part funded by the John Templeton Foundation. </span></div>
<div _mce_style="margin-top: 0px; margin-bottom: 0px; font-family: Calibri, Helvetica, Arial, sans-serif;">
<span style="font-size: large;"><br /></span></div>
<div _mce_style="margin-top: 0px; margin-bottom: 0px; font-family: Calibri, Helvetica, Arial, sans-serif;">
<span style="font-size: large;">If YES could identify the attributes of entrepreneurship and determine if those attributes were inherited or could be taught, the findings might have profound impacts on teachers, parents, employers and even on individuals themselves who wanted to prepare themselves for entrepreneurial careers.</span></div>
<div _mce_style="margin-top: 0px; margin-bottom: 0px; font-family: Calibri, Helvetica, Arial, sans-serif;">
<span style="font-size: large;"><br /></span></div>
<div _mce_style="margin-top: 0px; margin-bottom: 0px; font-family: Calibri, Helvetica, Arial, sans-serif;">
<span style="font-size: large;">Beginning in June 2011 YES tracked over 4,000 participants between the ages of 18 and 24 for three years. The group represented a wide range of ethnic groups; 60 percent were females and 40 percent males; 16 percent were foreign born and 84 percent were U.S. born.</span></div>
<div _mce_style="margin-top: 0px; margin-bottom: 0px; font-family: Calibri, Helvetica, Arial, sans-serif;">
<span style="font-size: large;"><br /></span></div>
<div _mce_style="margin-top: 0px; margin-bottom: 0px; font-family: Calibri, Helvetica, Arial, sans-serif;">
<span style="font-size: large;">There were four areas where young people who were engaged in entrepreneurial activities exhibited markedly different traits. They were twice as likely to have"business sense" - always on the lookout for investment opportunities and understanding the tax implications of financial decisions. Many had started a business on their own as children mowing lawns or shoveling snow in the neighborhood.</span></div>
<div _mce_style="margin-top: 0px; margin-bottom: 0px; font-family: Calibri, Helvetica, Arial, sans-serif;">
<span style="font-size: large;"><br /></span></div>
<div _mce_style="margin-top: 0px; margin-bottom: 0px; font-family: Calibri, Helvetica, Arial, sans-serif;">
<span style="font-size: large;">Perseverance and initiative were also important. Whether it was organizing others around a cause, reworking businesses plans until the winning model was developed, or overcoming challenges, once the goal was established setbacks didn't stop them. </span></div>
<div _mce_style="margin-top: 0px; margin-bottom: 0px; font-family: Calibri, Helvetica, Arial, sans-serif;">
<span style="font-size: large;"><br /></span></div>
<div _mce_style="margin-top: 0px; margin-bottom: 0px; font-family: Calibri, Helvetica, Arial, sans-serif;">
<span style="font-size: large;">Over 76 percent of those identified as aspiring entrepreneurs demonstrated innovative thinking skills. They found new ways to do things rather than follow the beaten path.</span></div>
<div _mce_style="margin-top: 0px; margin-bottom: 0px; font-family: Calibri, Helvetica, Arial, sans-serif;">
<span style="font-size: large;"><br /></span></div>
<div _mce_style="margin-top: 0px; margin-bottom: 0px; font-family: Calibri, Helvetica, Arial, sans-serif;">
<span style="font-size: large;">The other major difference was in the availability of mentors and role models - 45 percent of the aspiring entrepreneurs had a family history or someone close who had started a business. </span></div>
<div _mce_style="margin-top: 0px; margin-bottom: 0px; font-family: Calibri, Helvetica, Arial, sans-serif;">
<span style="font-size: large;"><br /></span></div>
<div _mce_style="margin-top: 0px; margin-bottom: 0px; font-family: Calibri, Helvetica, Arial, sans-serif;">
<span style="font-size: large;">Entrepreneurship comes with high risk and high reward. Having these skills doesn't guarantee financial success. However, for those who want to chase the golden ring, it can mean a lifetime of fulfillment.</span></div>
<div _mce_style="margin-top: 0px; margin-bottom: 0px; font-family: Calibri, Helvetica, Arial, sans-serif;">
<span style="font-size: large;"><br /></span></div>
</div>
<div _mce_style="font-family: Calibri, Helvetica, Arial, sans-serif;" style="font-family: Calibri, Helvetica, Arial, sans-serif;">
<span style="font-size: large;">Equally important, the researchers determined that these are skills can be learned. Parents, teachers, friends and family can encourage young people to start businesses, become financially aware, spend time with entrepreneurial adults, and above all try, try again.</span></div>
Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-2810847205409330273.post-46469957585933146852015-07-09T14:20:00.003-07:002015-07-09T14:20:58.775-07:00Creative Economy Packs a Big Punch<div class="BodyA">
<span style="font-size: large;">Are you the innovative, creative type? Maybe you teach music or design
software. Perhaps you sketch new fashion
ideas. Maybe your love is architecture
or interior design. If so you are part
of the creative economy, Southern California is the right place for you.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Traditionally we think about economic impact in terms of
well-defined economic sectors such as manufacturing, healthcare, and financial
services. We count how many jobs and
establishments are in each sector. We
compute their economic output in terms of GDP, wages, and tax revenues. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">All this data paints a picture of the economy - what businesses
and jobs are increasing or decreasing - data which policy makers, educators and
employers use when making public policy, training, and expansion decisions.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">But there are other ways to look at the economy which cut across
those defined industry sectors and measure some of the same economic output
data based on professional attributes rather than by industry. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">A recent report prepared for Otis College of Art and Design by
the Los Angeles County Economic Development Corporation (LAEDC) did just
that. It asked, “What is the
economic output of Southern California’s Creative Economy?”<span style="font-family: "Arial Unicode MS",sans-serif; mso-hansi-font-family: Helvetica;"> </span><o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">The word “creative”<span style="font-family: "Arial Unicode MS",sans-serif; mso-hansi-font-family: Helvetica;">
</span>immediately brings to mind Hollywood and the entertainment
business. After all, Southern
California is the entertainment capital of the world and, as would be expected,
the entertainment industry is the largest employer in the creative economy. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">But creativity is a critical aspect of many industries. The Otis Report looked at entertainment and
all the other “businesses and individuals involved in producing cultural,
artistic and design goods or services.”<span style="font-family: "Arial Unicode MS",sans-serif; mso-hansi-font-family: Helvetica;"> </span>In
the Los Angeles region those business and professions deliver a hefty economic
return. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">The total gross regional impact of the Creative Economy in Los
Angeles and Orange Counties is $766 billion. Creative businesses directly
employ 406,600 people with a total payroll of $33.5 billion. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">When you add in the indirect jobs (people employed by the sector’s
suppliers and vendors) and the induced jobs (jobs supported by employees’
spending) the total impact is 695,100 jobs - five percent of California’s
wage and salary employment.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">In Los Angeles County alone creative economy businesses have a
combined payroll of $30.4 billion of which 45 percent or $13.7 billion is
derived from the132, 700 direct employees of the entertainment industry. Visual & Preforming Arts and Fashion are
also significant contributors. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Over $5 billion in property, state and local income and sales
taxes are generated by creative businesses in Los Angeles County.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">California leads the nation in creative businesses and
jobs. Southern California claims 40
percent of the total creative jobs in California and Los Angeles County is home
to 87 percent of the creative jobs in Southern California. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">That’s great news. But these are the jobs every state and region
wants to attract. Other regions and
states are looking to entice the creative, innovative talent who reside here.
Our public policy, training and economic decisions must consider how they will
impact the Creative Economy so it will continue to grow and thrive here. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<br />
<div class="BodyA">
<br /></div>
Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-2810847205409330273.post-44732293592798454402015-06-25T11:15:00.001-07:002015-06-25T11:15:05.232-07:00Home cost increases curbing ownership<div _mce_style="margin-top: 0px; margin-bottom: 0px; font-family: Calibri, Helvetica, Arial, sans-serif;" style="font-family: Calibri, Helvetica, Arial, sans-serif;">
<span style="font-size: large;">The American dream has always included owning a home. A place you can paint your favorite color, hang a picture, adopt a pet, and best of all know your monthly payment is buying something for you. There is a feeling of independence and stability when you become a homeowner. </span></div>
<div _mce_style="margin-top: 0px; margin-bottom: 0px; font-family: Calibri, Helvetica, Arial, sans-serif;" style="font-family: Calibri, Helvetica, Arial, sans-serif;">
<span style="font-size: large;"><br /></span></div>
<div _mce_style="margin-top: 0px; margin-bottom: 0px; font-family: Calibri, Helvetica, Arial, sans-serif;" style="font-family: Calibri, Helvetica, Arial, sans-serif;">
<span style="font-size: large;">Since demand is high, there should be a lot of housing available that aspiring owners can buy. Isn't that what we learned in Econ 101? Markets respond to demand. But when it comes to housing that isn't the case - and the reasons - well, it's complicated.</span></div>
<div _mce_style="margin-top: 0px; margin-bottom: 0px; font-family: Calibri, Helvetica, Arial, sans-serif;" style="font-family: Calibri, Helvetica, Arial, sans-serif;">
<span style="font-size: large;"><br /></span></div>
<div _mce_style="margin-top: 0px; margin-bottom: 0px; font-family: Calibri, Helvetica, Arial, sans-serif;" style="font-family: Calibri, Helvetica, Arial, sans-serif;">
<span style="font-size: large;">California's homeownership rate hit a high in 2006 of 60.2 percent. Since the recession it has plummeted to 54.2 percent - almost 10 percentage points lower than the U.S. average of 63.9 percent. </span></div>
<div _mce_style="margin-top: 0px; margin-bottom: 0px; font-family: Calibri, Helvetica, Arial, sans-serif;" style="font-family: Calibri, Helvetica, Arial, sans-serif;">
<span style="font-size: large;"><br /></span></div>
<div _mce_style="margin-top: 0px; margin-bottom: 0px; font-family: Calibri, Helvetica, Arial, sans-serif;" style="font-family: Calibri, Helvetica, Arial, sans-serif;">
<span style="font-size: large;">Pre-2005 ownership increases were to a great extent based on loose lending standards. The memories are still vivid - a housing bubble that burst resulting in the worst recession in 50 years. Now officials fear that lending constraints may have gone too far making it impossible for families to meet even minimum loan requirements. </span></div>
<div _mce_style="margin-top: 0px; margin-bottom: 0px; font-family: Calibri, Helvetica, Arial, sans-serif;" style="font-family: Calibri, Helvetica, Arial, sans-serif;">
<span style="font-size: large;"><br /></span></div>
<div _mce_style="margin-top: 0px; margin-bottom: 0px; font-family: Calibri, Helvetica, Arial, sans-serif;" style="font-family: Calibri, Helvetica, Arial, sans-serif;">
<span style="font-size: large;">California's housing costs are the second highest in the country - roughly two and a half times the national average according to Zillow, an on line real estate data base. In Los Angeles County the median priced single family house is $477,250. To purchase this home and not pay more than the recommended 33 percent of income, a family needs to make $119,257 per year - far above the average Los Angeles County income of $54<ins>,</ins><del>.</del>954.</span></div>
<div _mce_style="margin-top: 0px; margin-bottom: 0px; font-family: Calibri, Helvetica, Arial, sans-serif;" style="font-family: Calibri, Helvetica, Arial, sans-serif;">
<span style="font-size: large;"><br /></span></div>
<div _mce_style="margin-top: 0px; margin-bottom: 0px; font-family: Calibri, Helvetica, Arial, sans-serif;" style="font-family: Calibri, Helvetica, Arial, sans-serif;">
<span style="font-size: large;">There are many things driving up the cost of housing. A recent study by the California Legislative Analyst found that the California Environmental Quality Act (CEQA) was a major reason for high housing costs. The report stated that the CEQA and entitlement permitting process for a housing project takes local governments about two and a half years to complete. After the project is approved, there are frequently more delays for legal challenges. All this time, costs add up and are eventually added to the purchase price.</span></div>
<div _mce_style="margin-top: 0px; margin-bottom: 0px; font-family: Calibri, Helvetica, Arial, sans-serif;" style="font-family: Calibri, Helvetica, Arial, sans-serif;">
<span style="font-size: large;"><br /></span></div>
<div _mce_style="margin-top: 0px; margin-bottom: 0px; font-family: Calibri, Helvetica, Arial, sans-serif;" style="font-family: Calibri, Helvetica, Arial, sans-serif;">
<span style="font-size: large;">Home loan approvals take into account what new owners will pay in property taxes. Under the 1978 Prop 13 rules, residential property taxes are capped at one percent of assessed value indexed at two percent per year. According to the Association of Realtors, a median housing in California costed $70,890 in 1978. Today that house costs $449,700. A seller who owned the house prior to the passage of Prop 13 is paying around $1,475 per year in taxes. Property taxes for the new owner would be over $4,400.</span></div>
<div _mce_style="margin-top: 0px; margin-bottom: 0px; font-family: Calibri, Helvetica, Arial, sans-serif;" style="font-family: Calibri, Helvetica, Arial, sans-serif;">
<span style="font-size: large;"><br /></span></div>
<div _mce_style="margin-top: 0px; margin-bottom: 0px; font-family: Calibri, Helvetica, Arial, sans-serif;" style="font-family: Calibri, Helvetica, Arial, sans-serif;">
<span style="font-size: large;">Local zoning rules limit the number of units that can be built. The rules are usually meant to protect current residents from added traffic congestion and other impacts of new development. The unintended consequences are that housing projects are either downsized or moved further outside the urban core adding either higher unit costs or transportation costs for the buyer.</span></div>
<div _mce_style="margin-top: 0px; margin-bottom: 0px; font-family: Calibri, Helvetica, Arial, sans-serif;" style="font-family: Calibri, Helvetica, Arial, sans-serif;">
<span style="font-size: large;"><br /></span></div>
<div _mce_style="margin-top: 0px; margin-bottom: 0px; font-family: Calibri, Helvetica, Arial, sans-serif;" style="font-family: Calibri, Helvetica, Arial, sans-serif;">
<span style="font-size: large;">A recent Los Angeles County Economic Development Corporation (LAEDC) Business Scan showed 399 new single family housing permits were issued in Los Angeles County in March. Year to date single family housing permits are slightly below last year's numbers. But there were 1,631 permits issued in March for multi-family housing, an increase of 153.4 percent year to date. That's good news. In the end, no matter how we do it, the solution is more supply.</span></div>
Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-2810847205409330273.post-65514043600631397882015-06-18T13:34:00.003-07:002015-06-18T13:34:28.418-07:00Drought reversal could bring flooding<div style="border: none black 1.0pt; mso-border-alt: none black 0in; mso-element: para-border-div; padding: 0in 0in 0in 0in;">
<div class="BodyA">
<span style="font-size: large;">According to a recent Public Policy Institute of California
(PPIC) statewide survey, two-thirds of Californians consider the drought to be
the most critical issue facing the state.
That<span style="font-family: "Arial Unicode MS",sans-serif; mso-bidi-font-family: "Times New Roman"; mso-fareast-font-family: "ヒラギノ角ゴ Pro W3";">’</span>s why the news
about a 2015 El Nino is so welcomed. This summer will be dry but meteorologists
say there is a 90 percent chance of an El Nino in the fall and an 85 percent
chance of it lasting through the winter.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">El Nino predictions are based on warming Pacific Ocean waters
off the west coast of South America near the equator. An El Nino can alter the location of the jet
stream resulting in more Pacific storms and rain.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">When it comes to wishing for a strong El Nino, the PPIC blog
also reminds us to be careful what we ask for - droughts often end with floods.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">The most recent example is Texas - August 2010 to July 2011 was
the driest year ever for the state.
Coupled with unprecedented heat, the state experienced wildfires and
billions of dollars of economic losses.
Farmers and ranchers felt the most pain with an estimated $7.62 billion
loss of crops and livestock.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">This year the drought ended and the floods began. May 2015 was the wettest month ever in Texas
with an average of 8.81 inches across the state. Some communities experienced over five inches
of rain in a single day.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">In August 2011, 93 percent of the state of Oklahoma was in an
extreme to exceptional drought condition.
The Dust Bowl reappeared -- soil was hurled into the air by 60+ mile per
hour winds creating clouds so thick cars were forced off highways.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">In 2015 the rains returned averaging 14.4 inches across the
Sooner state. Instead of being forced
off the roads, cars floated away. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Australia is one of the driest continents on earth so drought
conditions are not unusual. Still
nothing had prepared the Aussies for the almost decade long <span style="font-family: "Arial Unicode MS",sans-serif; mso-bidi-font-family: "Times New Roman"; mso-fareast-font-family: "ヒラギノ角ゴ Pro W3";">“</span>Big Dry<span style="font-family: "Arial Unicode MS",sans-serif; mso-bidi-font-family: "Times New Roman"; mso-fareast-font-family: "ヒラギノ角ゴ Pro W3";">” </span>- the worst drought ever. Then in late 2010 and early 2011 the drought
ended when torrential rains fell over Northeastern Australia causing one of the
worst natural disasters the country ever experienced.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Does this mean we don<span style="font-family: "Arial Unicode MS",sans-serif; mso-bidi-font-family: "Times New Roman"; mso-fareast-font-family: "ヒラギノ角ゴ Pro W3";">’</span>t
want the rain? Definitely not - we do
want rain. But strange as it may seem
as we carry buckets of shower water to our potted plants, it might be a good
idea to do some thinking about being prepared for when the rains return. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Maybe you think your home or business is safe because you aren<span style="font-family: "Arial Unicode MS",sans-serif; mso-bidi-font-family: "Times New Roman"; mso-fareast-font-family: "ヒラギノ角ゴ Pro W3";">’</span>t in a low lying area but think
again. According to FEMA, floods can
happen anywhere.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Flash floods can occur quickly carrying rocks and debris in
surging water. Now is the time to
assembly an emergency kit ready in case a quick evacuation becomes necessary.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Most insurance policies don<span style="font-family: "Arial Unicode MS",sans-serif; mso-bidi-font-family: "Times New Roman"; mso-fareast-font-family: "ヒラギノ角ゴ Pro W3";">’</span>t
cover floods. Now is a good time to
check your business and home policies and consider purchasing a flood insurance
policy if you aren<span style="font-family: "Arial Unicode MS",sans-serif; mso-bidi-font-family: "Times New Roman"; mso-fareast-font-family: "ヒラギノ角ゴ Pro W3";">’</span>t
covered. If you are in a special flood
hazard zone you need to get National Flood Insurance. Check the Flood Map Service Center at
msc.fema.gov to find out. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">A few preparations now might lessen the impacts on your purse
and your stress level when the rain returns. </span><o:p></o:p></div>
</div>
Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-2810847205409330273.post-58702007951912870652015-06-11T14:30:00.000-07:002015-06-11T14:30:18.517-07:00Most think Prop. 13 remains a good thing<div class="BodyA">
<span style="font-size: large;">The California Business Roundtable recently conducted a
statewide survey of likely voters in the 2016 election. They were trying to find out if voters still
supported Prop 13, the 1978 constitutional amendment that caps property taxes
until there is a transfer of title.
There are several proposals flying around Sacramento for amending Prop
13 especially regarding taxes on commercial and industrial properties.</span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">As a backdrop to the Prop 13 findings, there are some other
interesting results. When asked if the
state was on the right track or the wrong track, 54.9 percent said the wrong
track with 45.1 percent saying right track.
</span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">As one might expect, Democrats are feeling better with 70.5
percent saying the state is on the right track while 83.4 percent of the
Republicans believed it is the wrong track.
The Independents sided with the Republicans - 62.8 percent said wrong
track compared to just 37.2 percent believing things are going well.</span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">The answer to the question of what is the biggest issue facing
the state currently is no surprise - the drought - 60 percent of respondents
agree. The next highest issue - lack of
leadership claimed a mere seven percent followed by jobs and the economy at six
percent.</span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">When it comes to where government should spend more, assuring a
long-term adequate supply of water tops the list followed closely by fixing
roads and bridges. Programs on which the
respondents thought the state was spending the right amounts included long-term
debt reduction, social services and investments in addressing climate
change. </span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Democrats, Republicans and Independents all agreed there is one
program that is getting too much money - prisons and the correctional system.</span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Surprisingly, 62.8 percent of respondents said that California
is still in a recession. Every day there
is more good news about the economy, more jobs, and more people back to
work. But it doesn’t
seem to be “trickling down”<span style="font-family: "Arial Unicode MS","sans-serif"; mso-hansi-font-family: Helvetica;"> </span>to voters - 52.5 percent of Democrats,
76.7 percent of Republicans and 62.7 percent of Independents say California is
not out of the recession.</span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">After 37 years, it is no surprise that only 35.8 percent of the
respondents said they are very familiar with Prop 13 while 42.4 percent are
somewhat familiar. One in five said they
are not familiar at all with the proposition.
</span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Yet, while the details may not be well known, 60.7 percent say
Prop 13 is a good thing while only 20 percent say it is a bad thing for
California. Strong support is true regardless
of the party: Democrats 56.2 percent
good, 28.9 percent bad; Republicans 77.9 percent good and 10.3 percent bad;
Independents 60.7 percent good and 18.6 percent bad.</span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">If the Proposition were on the ballot today, 65 percent of
Democrats, 82.2 percent of Republicans and 72.2 percent of Independents say
they would probably support it for combined survey result of 72.3 percent
support. </span></div>
<div class="BodyA">
<br /></div>
<br />
<div class="BodyA">
<span style="font-size: large;">The results provide policymakers with several take-aways: the
economy is still fragile for many people, most voters have no desire to “fix”<span style="font-family: "Arial Unicode MS","sans-serif"; mso-hansi-font-family: Helvetica;">
</span>Prop 13, but they certainly want lawmakers to fix the long term
challenge of providing Californians with reliable supplies of water. I hope
Sacramento is listening.</span></div>
Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-2810847205409330273.post-32458111851956291082015-06-04T13:00:00.003-07:002015-06-04T13:00:41.740-07:00Watch out for online security breaches<div class="BodyA">
<span style="font-size: large;">Lately there is a lot in the news about cyber security. Millions have been affected by breeches at
major companies. But hackers aren’t
just after big companies. If you have
any personal or business information on a computer - and most of us do - you
are vulnerable too. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Marc Beaart, Assistant Head Deputy for the Los Angeles District
Attorney’s Head Tech Crimes Division, recently spoke to a group of
business executives about cyber threats and steps we should take to keep
information safe, or at least safer, in a quickly evolving hacking world. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">It helps to know some terminology. Malware is the overarching term describing
malicious software that is intended to disrupt a computer and perform actions
without the owner’s permission. Computer viruses and worms are
self-replicating programs that install themselves without permission. Viruses need another program to act as host
while worms are self-contained. Both can corrupt your data or steal your
personal information.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Ransomware is used by criminals to lock a computer and then
demand payment in return for unlocking it.
The extortion message may look official such as posing as a government
agency requiring payment of a fine. I
was surprised to learn that businesses often pay the ransom since it can be
cheaper than ridding the computer of the ransomware and disrupting a company’s
operations. But if you do pay, don’t
be surprised if the hacker returns for another bite at the apple.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">A Trojan horse is a stealthy malware. It is disguised as a safe program offering to
help if you will just hit on the link provided and then give some personal
information like an account number or passcode. Keyloggers record your keystrokes and can then
steal sensitive information. And a rootkit infiltrates your operating system so
it can hide other malware.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Cyber-attacks can come from an email or by connecting to the
internet. Most photocopy machines now send
faxes. That means they connect to the
internet and are susceptible to cyber-attacks.
Any machine that shares data or other files through the internet can be
attached whether it is in a lab, a processing facility or an office.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">There are things you can do to protect your personal information
and your business. First, understand how
hackers can gain access to your information.
Approximately 80 percent of breeches occur from inside an
organization. Sometimes the breech is
intentional but more often it is accidental.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Second, carefully review any link before connecting. If it looks strange or doesn’t
match the name of the file or company you are trying to access, don’t
use it. Call the reported sender and ask
if the email or link is from them.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Third, free memory sticks are a frequently used method of
marketing or sharing data. They are also
an easy way for malware to access your computer. Never use a memory stick unless you are 100
percent sure of the source. Free game
downloads are another emerging technique for getting into your computer. If you hit that link for the free game, you
may get much more than you expected or wanted<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Recently, an advertisement for stylish women’s
shoes took over the San Gabriel Valley Economic Partnership’s
website. I received a call from a
colleague who was trying to find information about one of our events. We aren’t sure how long the
bogus ad controlled our site. Remember
to check your website regularly. We do so now.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<br />
<div class="BodyA">
<span style="font-size: large;">The best protection is a good password. Memorize it.
Don’t keep it under your computer. Don’t share it with vendors. Don’t use words in the dictionary and
please don’t use 123456.
Everyone knows that one.</span><o:p></o:p></div>
Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-2810847205409330273.post-4338384444727735172015-05-21T11:55:00.000-07:002015-05-21T15:53:05.396-07:00Peer Pressure Affects Teen Educational Decisions<div class="BodyA">
<span style="font-size: large;">Peer pressure. Typically
it is blamed for bad behavior. It’s the
reason teenagers do things that they really didn’t want to do: it wasn’t their
idea - everybody was doing it!<o:p></o:p></span></div>
<div class="BodyA">
<span style="font-size: large;">But is peer pressure only an excuse for bad decisions? There is study that suggests peer pressure
effects important education decisions as well.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">I am interested in this peer pressure study because it relates
to how teens make decisions about education.
The opportunity for financial success is tied to the decisions students
make about their education after high school.
The Harvard Graduate School of Education found that by 2018, 33 percent
of the workforce will need at least a college degree and 66 percent need technical
skills, credentials or an associate degree.
Only one percent will find a job with no training required. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Leonardo Burszryn of UCLA and Robert Jensen of Wharton wanted to
find out what factors influenced the decisions of 11th grade students to accept
or decline the opportunity to sign up for free SAT prep courses. You might think that it is parents or
teachers who most influence these decisions or the careers these students are
considering.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Instead, the researchers discovered that the controlling factor
was whether or not their decisions were going to be made public to their peers.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Forms to sign-up for the free courses were provided to students
in honor and non-honor classes. The
forms randomly included different instructions.
Some indicated that the students’ choices would remain confidential. Some forms, however, noted their choices
would be made known to other students in the class.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">There was no other consultation available. Students were required to fill out the form
and return them during the same class period.
<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">In the non-honors classes 72 percent of students signed up for
the extra study when they were told their decisions would remain
confidential. That dropped to 61 percent
when students were told that their classmates would learn about their decisions
- an 11 percent drop because their peers would discover they wanted SAT study
assistance.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">As one might expect, students in honors classes were more likely
to sign up for the classes. There was
little difference based on whether the decision was public or private - 93
percent versus 92 percent.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">But when the same students who had been offered the study in
their honors class were offered the same extra study in their non-honor class,
their decisions changed. When they were
in their honors classes there was a higher rate of signing up when they knew
their colleagues would learn their choices - 25 percent more signed up.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">When they returned to their non-honors classes, however, their decisions
about signing up for the SAT assistance changed. Students who were told their decision were
confidential signed up 79 percent of the time. That dropped to 54 percent when
told their decisions would be made public to their non-honor classmates. Same students, same question, but different
answers depending on what they perceived as the norm for their peer group at
the time.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">This is just one study but it speaks volumes about how important
positive reinforcement is to teenagers when their make decisions about their
education. And it reminds us that the
positive reinforcement from parents and teachers alone - while necessary -
isn’t always sufficient. <o:p></o:p></span></div>
<br />
<div class="BodyA">
<br /></div>
Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-2810847205409330273.post-37526883482903102782015-05-14T12:38:00.003-07:002015-05-14T12:38:18.241-07:00Celebrations take note of Asian-Pacific contributions<div class="BodyA">
<span style="font-size: large;">May is Asian-Pacific American Heritage Month, a federally
proclaimed celebration of the contributions of immigrants and American-born
residents from Asia and the Pacific Islands and the important role they play in
our history, culture and economy.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">The idea for an Asian-Pacific American Heritage recognition
originated in 1977 with a bill co-sponsored by a bi-costal partnership - Rep.
Frank Horton from New York and Rep. Norman Mineta from California. In 1992 the designation was extended to
include the entire month.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">May is significant for several reasons. First, May 10, 1869 is the date a fourteen
year old fisherman, Manjiro Nakanohama, arrived in New Bedford, Massachusetts
on a whaling boat. The trip was not
intentional. Manjiro’s
fishing boat was caught in a violent storm off of Japan’s coast. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">The crew including Manjiro was rescued from a deserted island
300 miles off Japan’s coast by a whaling boat captained by
William Whitfield. Captain Whitfield adopted
the young fisherman and invited him along on their journey. Today, Manjiro is celebrated in Japan for his
influence ending Japan’s centuries of isolation.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">May 10, 1869 is also the anniversary of the completion of the
transcontinental railroad. Lack of
manpower was a huge problem for the Central Pacific Railroad’s
big four - Huntington, Stanford, Crocker and Hopkins - who assumed the
responsible for laying the tracks from the Pacific to Promontory Summit. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">It was Charles Crocker who convinced work boss James Strobridge
to hire Chinese labors. At first
Strobridge was reluctant, believing that they were too slight in stature to
undertake the difficult work. After
hiring 50 labors for a trial period, he had to admit the Chinese were “conscientious,
sober and hard workers.”<span style="font-family: "Arial Unicode MS",sans-serif; mso-hansi-font-family: Helvetica;"> </span>Within
three years 80 percent of the Pacific Central work force was Chinese.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">In 2013 the estimated number of U.S. residents who are Asian,
Native Hawaiian or other Pacific Islanders was estimated at 20.8 million. The largest Asian population, 6.1 million, is
in California followed by New York at 1.8 million. The largest Pacific Island population is
found in Hawaii, followed by California with almost 366,500.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">According to the Minority Business Development Agency of the
U.S. Department of Commerce, over 1.5 million U.S. businesses are owned by
Asian or Pacific Island residents.
Together they represent spending power in excess of $508.6 billion and
have generated 2.8 million jobs.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">California has the largest percentage of these businesses with
receipts close to $200 billion. Within California, Los Angeles County is home
to an estimated 35+ percent of the state’s Asian and Pacific
Island businesses with a significant proportion of those located in the San
Gabriel Valley. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<br /></div>
<br />
<div class="BodyA">
<span style="font-size: large;">Sometimes it takes a proclamation like Heritage Month to help us
realize that whether as explorers, investors, laborers, or entrepreneurs, the
contributions of Asians and Pacific Islanders are invaluable for our state,
county, and our communities. Remember
those contributions to California next time you visit a locally owned Asian or
Pacific Island business.</span><o:p></o:p></div>
Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-2810847205409330273.post-6522651473268971292015-05-07T11:29:00.004-07:002015-05-07T11:29:45.891-07:00U.S. Funding for roads is dwindling<div class="MsoNormal" style="text-indent: 0in;">
<span style="font-size: large;">Among many pressing problems, our
federal policy makers are struggling with re-authorization of the nation’s
surface transportation legislation. We
take for granted that the federal government’s role includes overseeing commerce
and the network of roads and highways that carry goods and people.<o:p></o:p></span></div>
<div class="MsoNormal" style="text-indent: 0in;">
<br /></div>
<div class="MsoNormal" style="text-indent: 0in;">
<span style="font-size: large;">The federal government’s role in
transportation policy has not always been so clear and in fact has evolved significantly
over the years. With the narrow
exception of “post roads,” meaning roads that were to access a post office, the
U.S. Constitution does not specifically call for a federal role in providing
transportation. <o:p></o:p></span></div>
<div class="MsoNormal" style="text-indent: 0in;">
<br /></div>
<div class="MsoNormal" style="text-indent: 0in;">
<span style="font-size: large;">The debate as to whether this language
permitted a federal government role in providing other non-post roads began in
the 1800’s. Representatives of western
states – which were expanding and building roads – strongly supported federal
assistance in funding new transportation.
Not unexpectedly, older parts of the young country opposed such funding.<o:p></o:p></span></div>
<div class="MsoNormal" style="text-indent: 0in;">
<br /></div>
<div class="MsoNormal" style="text-indent: 0in;">
<span style="font-size: large;">Instead of providing cash, the
government began to authorize federal land grants to states. States then sold the land using the revenues
to support not only roads and bridges but also canals and railroads. By 1900 the federal government had donated
3.2 million acres of federal lands for road construction; 6.725 million acres
for canals and improved river navigation, and 37.8 million acres for railroad
improvements. States had almost full
latitude over project selection and oversight.<o:p></o:p></span></div>
<div class="MsoNormal" style="text-indent: 0in;">
<br /></div>
<div class="MsoNormal" style="text-indent: 0in;">
<span style="font-size: large;">The 1900’s brought together two
strong interest groups pressuring for direct federal funding for local
transportation projects – first the bicycle riders and then the newly emerging
car owners. Between 1900 and 1915
automobile ownership in the U.S. increased from 8,000 to over 2 million. Bicyclists and motorists alike were tired of
muddy roads.<o:p></o:p></span></div>
<div class="MsoNormal" style="text-indent: 0in;">
<br /></div>
<div class="MsoNormal" style="text-indent: 0in;">
<span style="font-size: large;">These groups effectively represented
by the newly formed American Automobile Association, the National Grange, and
the American Association of State Highway Officials, successfully lobbied for
direct federal funding to match local funding for post roads in 1916. <o:p></o:p></span></div>
<div class="MsoNormal" style="text-indent: 0in;">
<br /></div>
<div class="MsoNormal" style="text-indent: 0in;">
<span style="font-size: large;">By 1921 there were over 10.2 million
automobiles and the role of the federal government in surface transportation
again came under review including the need for a federal highway system. Stopping short of a federal highway system,
the Federal Highway act of 1921 increased funding available to match state
funding (50-50 matching) but limited the funds to a system of federal “aid”
highways. These were to be were “interstate
in character.”<o:p></o:p></span></div>
<div class="MsoNormal" style="text-indent: 0in;">
<br /></div>
<div class="MsoNormal" style="text-indent: 0in;">
<span style="font-size: large;">By the beginning of the 20th
century, populations had shifted with nearly 40 percent of the population living
in cities. Subsequent transportation
debates centered on the interests of rural and urban areas as each jockeyed for
transportation funding. In 1944 separate
pots of funding were set up for primary highways, secondary highways and feeder
routes so both urban and rural interests received protected funding. The federal government solidified its role in
transportation and previous constraints became an issue of the past.<o:p></o:p></span></div>
<div class="MsoNormal" style="text-indent: 0in;">
<br /></div>
<div class="MsoNormal" style="text-indent: 0in;">
<span style="font-size: large;">A 41,000 mile National Interstate
System was authorized in 1956. The next
35 years of transportation policy focused on the completion of that system and
how to pay for it. Governors opposed
increases in the gas tax. Trucking organizations opposed fees. A one cent gas tax increase pledged to a
dedicated Highway Trust Funds was finally supported by the majority of interest
groups. With the Interstate System came
the first national standards for highway design and construction.<o:p></o:p></span></div>
<div class="MsoNormal" style="text-indent: 0in;">
<br /></div>
<div class="MsoNormal" style="text-indent: 0in;">
<span style="font-size: large;">The Intermodal Surface
Transportation Act of 1991 introduced a new emphasis on bus and light rail
projects with a $32 billion appropriation specifically for mass transit. The population was shifting again and roads
alone were not able to move people efficiently in large urban centers. <o:p></o:p></span></div>
<div class="MsoNormal" style="text-indent: 0in;">
<br /></div>
<br />
<div class="MsoNormal" style="text-indent: 0in;">
<span style="font-size: large;">Today, two hundred years later, the
role of the federal government in transportation is once again the focus of
debate about federal transportation policy.
But rather than based on Constitutional issues, it is prompted by dwindling
gas tax revenues because of fuel efficient and non-gasoline vehicles. Unless there is some agreement on new taxes
or other revenue sources, states may soon find themselves without a federal
funding partner. And this time don’t
expect the federal government to give away land.</span><o:p></o:p></div>
Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-2810847205409330273.post-7553912969642987262015-04-30T10:44:00.000-07:002015-04-30T10:44:19.049-07:00Let’s give a cheer for Tax Freedom Day<div class="BodyA">
<span style="font-size: large;">Is your wallet feeling a little lighter post-April 15? Everyone dreads tax day. We hate finding those receipts. We detest the forms. No one wants to revisit how they spent their
money last year. But the hardest part is
writing that check. On April 16 you feel
like having a party.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">While we associate April 15 with taxes, people pay some sort of
tax almost every day. In addition to
income taxes there are sales taxes, property taxes, excise taxes, and estate
taxes. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Individuals and businesses pay income taxes to the federal
government based on wages and other income.
With the exception of Alaska, Florida, Nevada, South Dakota, Texas,
Nevada, South Dakota, Texas, Washington and Wyoming, states also collect some
form of income tax. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Californians are no strangers to sales taxes. Individuals pay sales taxes on goods and some
services. The sales tax is levied primarily to fund state and local government
services. Businesses collect the tax and
submit it to the state.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Business and residents who own property pay property taxes based
on the assessed value of the real estate.
The county usually collects the tax.
The process of dividing the tax varies by state. In California the tax is remitted to the
state which divides it among schools, counties and local governments based on a
complex formula established by Proposition 13 and its progeny.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Excise taxes are taxes on specific services and products. The
tax is included in the price rather than added at time of sale. Examples include gasoline, tobacco, gambling
winnings, and highway use fees paid by truckers.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">The estate tax is based on the value of assets to be transferred
after death. In 2015, any estate with
gross assets under $5,430,000 is exempt from taxation. The portion of an estate that exceed this
amount is taxed by the federal government.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Benjamin Franklin told us, “Nothing can be said
to be certain except death and taxes.”<span style="font-family: "Arial Unicode MS",sans-serif; mso-hansi-font-family: Helvetica;"> </span>While
we might not enjoy paying taxes, we understand why we pay taxes. We want highways, parks, schools, emergency
services and national defense to name a few benefits. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">However, paying different taxes to different levels of
government at different times makes it difficult to understand exactly the
total amount of taxes we pay. The Tax
Foundation, a nonpartisan research group, has found a simple way to help
taxpayers understand their total tax burden.
<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">By counting total income, based on the Department of Commerce’s
Bureau of Economic Analysis figures, then adding-up every payment to the
federal, state or local government that is considered a tax, the Tax Foundation
computes how many days a resident needs to work to pay their taxes for the
year. Count that number of days on a
calendar and the next day is Tax Freedom Day!
Since state and local taxes vary, the day varies by state. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Californians, our 2015 Tax Freedom Day is May 3, the day we will
have earned enough to pay our 2015 taxes. Does California have the latest Tax
Freedom day? No, that honor is reserved
for Connecticut (May 13), New Jersey (May 13), and New York (May 8). The earliest Tax Freedom Days are Mississippi
(April 4) and South Dakota (April 8).<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<br />
<div class="BodyA">
<span style="font-size: large;">No matter how you celebrated April 16, I think May 3 deserves a
celebration as well. That is the day you
start working for yourself.</span><o:p></o:p></div>
Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-2810847205409330273.post-91260637006513299722015-04-16T11:02:00.000-07:002015-04-16T11:03:36.506-07:00Big business stepping up job creation<div class="BodyA">
<span style="font-size: large;">If someone asked you who employs more people - big businesses or
small businesses - you’d probably reply small business. That is the perception most of us have but it
really isn’t quite that simple.<o:p></o:p></span></div>
<div class="BodyA">
<span style="font-size: large;"><br /></span></div>
<div class="BodyA">
<span style="font-size: large;">Every five years the U.S. Census Bureau collects data on the
number of businesses, number of establishments, number of employees (full and
part-time), annual payroll, cost of benefits and annual hours worked in each of
21 major industry sectors as a part of its Economic Census. They are incrementally
releasing the 2012 Economic Census data as new reports are completed.<o:p></o:p></span></div>
<div class="BodyA">
<span style="font-size: large;"><br /></span></div>
<div class="BodyA">
<span style="font-size: large;">The Los Angeles Economic Development Corporation (LAEDC) has
been reviewing the data and discovering some interesting facts. For the sixth consecutive year, more than
half of U.S. workers were employed by businesses with 500 or more
employees. The percentage of workers
employed by big businesses is increasing and has since 2004 when it was 49.1
percent.<o:p></o:p></span></div>
<div class="BodyA">
<span style="font-size: large;"><br /></span></div>
<div class="BodyA">
<span style="font-size: large;">Of course, the employment data varies widely by sector. In healthcare and social services, the
largest U.S. employment sector, 54 percent of the jobs are with large
businesses or organizations. Jobs in
retail sales and utilities are also dominated by big employers providing 64.1
percent and 82.6 percent of the total jobs respectively.<o:p></o:p></span></div>
<div class="BodyA">
<span style="font-size: large;"><br /></span></div>
<div class="BodyA">
<span style="font-size: large;">LAEDC found several business sectors that are populated
primarily by medium, small or very small establishments. These include personal services (85.8
percent), construction (83.3 percent), real estate and leasing (69.3 percent),
arts, entertainment and recreation (63 percent), accommodations and food
services (59.9 percent), wholesale trade (59.6 percent), and professional,
scientific and technical services (59.5 percent).<o:p></o:p></span></div>
<div class="BodyA">
<span style="font-size: large;"><br /></span></div>
<div class="BodyA">
<span style="font-size: large;">Large employers - those with more than 500 positions - employ
51.6 percent of the workforce. Medium
size employers - those with 100 to 499 positions - employ 14.0 percent of the
workforce. Small employers - 20 to 99
positions - employ 16.7 percent while very small - fewer than 20 positions -
employ 17.6 percent. <o:p></o:p></span></div>
<div class="BodyA">
<span style="font-size: large;"><br /></span></div>
<div class="BodyA">
<span style="font-size: large;">In California, 50 percent of businesses have 500 or more
employees just 1.6 percent fewer than the national average, with the remaining
50 percent of employment spread between medium, small and very small
businesses.<o:p></o:p></span></div>
<div class="BodyA">
<span style="font-size: large;"><br /></span></div>
<div class="BodyA">
<span style="font-size: large;">Why do we usually associate more jobs with medium and small
business? Probably because small business grows faster and are created more
frequently than larger ones. Small businesses are often more innovative. But they are also more vulnerable to
economic swings and can lost jobs quickly.
<o:p></o:p></span></div>
<div class="BodyA">
<span style="font-size: large;"><br /></span></div>
<div class="BodyA">
<span style="font-size: large;">Still medium and small businesses are a critical part of our
economy and they are producing new jobs for Southern California every day.<o:p></o:p></span></div>
<div class="BodyA">
<span style="font-size: large;"><br /></span></div>
<span style="font-size: large;"><br /></span>
<div class="BodyA">
<span style="font-size: large;">If you want like more information on jobs creation in Los Angeles
County and the San Gabriel Valley, plan to attend the San Gabriel Valley
Economic Partnership’s 2015 Economic Forecast on Tuesday April 21, 2015 at
Pacific Palms Resort. Dr. Robert
Kleinhenz Chief Economist of the Kyser Center at LAEDC will provide the most
recent data. More information is available at
sgveconomicoutlook2015.eventbrite.com or <a href="http://www.valleyconnect.com/"><span style="color: #000086;">www.valleyconnect.com</span></a></span><o:p></o:p></div>
Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-2810847205409330273.post-2761058217953035592015-04-09T14:31:00.003-07:002015-04-09T14:31:30.082-07:00Legislation would benefit trade, SoCal businesses<div class="BodyA">
<span style="font-size: large;">International trade is a critical to Southern California’s
economy providing 5.3 percent of the jobs in Los Angeles County. In the San Gabriel Valley, the impact of
international trade is even greater- 6.7 percent of the jobs depend on
international trade.</span></div>
<div class="BodyA">
<span style="font-size: large;"><o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">International trade depends on the ability to sell American
goods to other countries - 95 percent of the world’s customers live outside the
U.S. According to the U.S. Chamber of
Commerce, 97 percent of the 300,000 businesses that export are small and medium
sized companies. It is small and medium size business that provide most of the
job growth in the U.S.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">While trade is generally open, some current tariffs are in the
double digits. Regulations can inhibit trade.
Trade agreements can breakdown these and other barriers and allow goods
and services to flow more smoothly, thereby growing the U.S. economy.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Currently there are two pieces of federal legislation under
consideration which could have huge positive impacts on international trade and
Southern California’s economy:<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">1. The
Trans-Pacific Partnership (TPP) Trade Agreement and</span></div>
<div class="BodyA">
<span style="font-size: large;">2. The
Export-Import Bank (Ex-Im) Reform and Reauthorization Act.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">The TPP is a giant trade agreement that would include Australia,
Brunei, Chili, Malaysia, Mexico, New Zealand, Canada, Peru, Singapore, Vietnam
and Japan. Other countries including
Korea might also join. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Trade in the 21st century brings more complications than trade
in the past. Most existing agreements
are concerned with eliminating tariffs and setting standards for the sale of
goods. Today’s trade agreements need to
also consider the import and export of products like financial services,
telecommunications, and intellectual properties, not just cars and corn. That requires a very different kind of
agreement. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Opponents say the TPP would reduce environmental protections,
eliminate American jobs and hurt small businesses. No one wants to see that happen. But fair
rules based on strong negotiated trade agreements level the playing field and
help prevent those impacts.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">The second piece of legislation is a bill to reform and
reauthorize the Export-Import Bank of the U.S.
The Ex-Im Bank is the “official credit agency” of the U.S. It fills the financing gap for companies that
cannot access private financing. It’s
been around for eight decades and since 1990 transactions enabled by the bank
have repaid the U.S. Treasury $7 billion more that the bank received in appropriations. It has a low default rate and holds reserves
of $4 billion to cover losses. What do you know- a government sponsored
business that makes money and helps create American jobs!<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Opponents say the Ex-Im Bank serves big business, but usually
don’t mention it also directly serves almost 9,000 small businesses. And the big businesses Ex-Im does serve buy
from small business. International trade benefits both. Other nations understand the connection. Last
year export credit agencies in our top trading competitors provided 18 times
more export credit than the Ex-Im Bank.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Getting things done in Washington D.C. is difficult today and
that is affecting these trade bills.
Tough global competition requires that politics take a back seat to the
ability for free trade and global markets to support our national and local
economies.<o:p></o:p></span></div>
<br />
<div class="BodyA">
<br /></div>
Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-2810847205409330273.post-13653162087376647312015-04-02T12:20:00.003-07:002015-04-14T10:03:32.165-07:00Drought a Concern Throughout the Nation<div class="BodyA">
<span style="font-size: large;">I just returned from eight days in Washington D.C. - one day it
was 73 degrees, two days later it snowed.
I wasn’t there to experience the weather. I was part of a Southern California
delegation there to talk to members of Congress about important state issues
and how the federal government could help.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">At the top of the list was California’s drought. You might wonder if elected officials in
other states care about our drought.
They do. The lack of water in California impacts the entire nation. It impacts their food supplies, their water
and their economy.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">The most immediate impact is on the nation’s food supply.
California grows over 200 different crops including almost all of America’s
almonds, apricots, dates, figs, kiwis, nectarines, olives, pistachios, prunes
and walnuts. It also leads in the
production of avocados, grapes, lemons, melons, peaches, plums and
strawberries. Lack of water is having a
major impact on the availability and cost of fruits and vegetables
nationwide. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">The water supply for the entire western U.S. is affected by
California’s drought. Twenty-five
million Californians depend on the Delta Watershed for water. Last year Southern California received only
five percent of its normal Delta water allotment. In the Central Valley some farmers didn’t
receive any Delta water. That means
other water sources were needed to help fill the void.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">One significant water source for California is the Colorado
River. California isn’t the only state
that diverts water from the Colorado River.
Nevada, Arizona, New Mexico, Utah, Colorado, Wyoming, California – and
Mexico all need Colorado River Basin water.
<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Demand for water from the Colorado River exceeds the
supply. To make sure users only take
what they are entitled to, the Colorado River is managed under a complex
collection of compacts, federal laws, court cases and contracts known as the
“Law of the River.” <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Even with this level of strict management, the Bureau of
Reclamation says that “based on preliminary assessments, large supply demand
imbalances greater than 3.5 million acer feet are plausible over the next 50
years...” Every user state is
interested in making sure California’s drought doesn’t disrupt water supplies
in their state.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Longer-term the economic impacts could be significant. The California economy is the largest in the
nation. A strong national economy needs
a strong California economy.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">How can the feds help?
They can provide added funding for projects that increase local water supplies
such as groundwater clean-up, capture and treatment of storm water, and
increased use of reclaimed and wastewater.
The California bond funds will help but there is much more to do.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Congress also can expedite a bipartisan legislative package
supporting enhanced conservation and drought mitigation efforts. Rep. Rob Bishop (R-Utah), chairman of the
House Natural Resources Committee, was clear that this is a priority for his
committee.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<br />
<div class="BodyA">
<span style="font-size: large;">Finally, they can support programs that will improve reliable long-term
water supplies through an improved Delta ecosystem. Helping to bring a peaceful
end to our Delta battles would be welcomed indeed.</span><span lang="en-US" style="color: windowtext; font-family: "Times New Roman",serif; font-size: 10.0pt; mso-ansi-language: #0400; mso-bidi-language: X-NONE; mso-fareast-font-family: "Times New Roman"; mso-fareast-language: #0400;"><o:p></o:p></span></div>
Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-2810847205409330273.post-83986654788531073342015-03-19T10:47:00.005-07:002015-04-14T10:03:53.840-07:00Bills Address Drought, Gas Emissions and More<div class="BodyA">
<span style="font-family: inherit;"><span style="font-size: large;">The California State Legislature is back in session - the
beginning of a two year session. Any
bill that didn’t make it through both the Senate and the Assembly last year is
dead. So everything starts over and
potential new laws must be reintroduced again with a new bill and a new bill
number.</span><o:p></o:p></span></div>
<div class="BodyA">
<span style="font-family: inherit;"><br /></span></div>
<div class="BodyA">
<span style="font-family: inherit; font-size: large;">In order to make the process work, there are deadlines for
introducing, hearing and passing bills.
One of the most important deadlines is the one for introducing bills. This year that deadline was February 27.<o:p></o:p></span></div>
<div class="BodyA">
<span style="font-family: inherit;"><br /></span></div>
<div class="BodyA">
<span style="font-family: inherit; font-size: large;">For the 2015 -16 legislative sessions, 2,297 pieces of
legislation were introduced - 1,504 in the State Assembly and 793 in the State
Senate. In the Assembly there were more
bills introduced than the prior year but for the Senate the number was
lower. That is probably in part due to
three senate positions being vacant with their incumbents elected to Congress.<o:p></o:p></span></div>
<div class="BodyA">
<span style="font-family: inherit;"><br /></span></div>
<div class="BodyA">
<span style="font-family: inherit; font-size: large;">Surprisingly, more than half of the legislation introduced
currently describes only an intended purpose with details to be added
later. Those are called “spot”
bills. More specificity will need to be
added soon so these bills can be assigned to a policy committee for hearing. All bills with fiscal impacts must be heard
and reported on by a policy committee by May 1 - the next important
deadline. <o:p></o:p></span></div>
<div class="BodyA">
<span style="font-family: inherit;"><br /></span></div>
<div class="BodyA">
<span style="font-family: inherit; font-size: large;">If a piece of legislation doesn’t have a fiscal impact, it gets
an extra two weeks to be heard in a policy committee. By May 15 we’ll know how many of the 2,297
bills may still become laws.<o:p></o:p></span></div>
<div class="BodyA">
<span style="font-family: inherit;"><br /></span></div>
<div class="BodyA">
<span style="font-family: inherit; font-size: large;">There are a multitude of issues that the Legislature is looking
at - education, child safety, veterans’ benefits, body cameras for police, and
vaccinations for school age children.
But two issues that appear to be dominating the agenda this session are
water and power.<o:p></o:p></span></div>
<div class="BodyA">
<span style="font-family: inherit;"><br /></span></div>
<div class="BodyA">
<span style="font-family: inherit; font-size: large;">California’s drought has forced the state to reexamine how we
manage, distribute and protect water.
There are eighteen bills that look at the Delta and at least 20 bills
related to the Groundwater Management Act passed in the last session. <o:p></o:p></span></div>
<div class="BodyA">
<span style="font-family: inherit;"><br /></span></div>
<div class="BodyA">
<span style="font-family: inherit; font-size: large;">There is a bill that recommends a process for public water
systems to use in meeting the new chromium-6 drinking water standards; a bill
that would allow the Los Angeles County Sanitation Districts to assist cities
on storm-water and runoff management projects; and more than a dozen bills that
call for conservation incentives, more water efficiency, plumbing retrofits,
and requiring individual unit water meters for multi-unit residential
buildings.<o:p></o:p></span></div>
<div class="BodyA">
<span style="font-family: inherit;"><br /></span></div>
<div class="BodyA">
<span style="font-family: inherit; font-size: large;">The Democratic leadership of the Senate and the Assembly
released a comprehensive clean energy plan as called for in the Governor’s
state of the state address. It calls for
decreasing greenhouse gas emissions in 2050 by 80 percent from the 1990 levels.<o:p></o:p></span></div>
<div class="BodyA">
<span style="font-family: inherit;"><br /></span></div>
<div class="BodyA">
<span style="font-family: inherit; font-size: large;">There is also legislation that would require California’s public
retirement systems to divest in businesses related to coal combustion and
several bills revisiting the California Global Warming Solutions Act of 2006.<o:p></o:p></span></div>
<div class="BodyA">
<span style="font-family: inherit;"><br /></span></div>
<span style="font-family: inherit; font-size: large;">No matter how you measure it, that is a lot of
legislative activity. The Legislature has its work cut out for it, and you,
your business, and your community are going to be affected. Everyone should pay attention.</span>Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-2810847205409330273.post-8621230012070689332015-03-12T15:21:00.001-07:002015-04-14T10:04:21.504-07:00U.S. Falls Short in Equal Pay for Women, Minorities<div class="BodyA">
<span style="font-size: large;">March 8 was International Women’s Day (IWD) - a day meant to
raise awareness about violence against women and the struggle for equal
opportunities in economic, political and social arenas. First celebrated in 1911, the founders of IWD
fought for better pay, shorter hours and voting rights. Over one million men and women attended
rallies that year in Austria, Denmark, Germany and Switzerland to show support
for women’s rights.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;"> In 1995, the United
Nations recognized IWD by adopting its Declaration and Platform for Action, a
blueprint for advancing women’s rights in all dimensions of life - 17,000
participants joined by 30,000 activists worked for two weeks to craft the
Platform which was ultimately signed by 189 governments.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">This year the World Conference for Women reflected on what the
Platform has accomplished over the last 20 years. UN Secretary-General, Ban Ki-moon, told the
audience that “more girls have attained more access to more education than ever
before, the number of women dying in childbirth has been almost halved, more
women are leading business, government and global organizations but we must
acknowledge that the gains have been slow and uneven, and that we must do far
more to accelerate progress everywhere.”<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">No country has yet closed all aspects of the gender gap. One area where the United States continues to
fall short is equal pay. The American Association of University Women (AAUW)
looked at how the gender pay gap affects U.S. women in different locales, with
different educational attainments, at different ages, and with different
jobs. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">They found that while gender pay gaps exist in every state,
there are huge differences by location.
Jobs in Washington D.C. come closest to pay equity. There, women are paid 91 percent of male
wages. The largest gap is in Louisiana
where women are paid just 66 percent of male wages. California is tied for
fourth with Florida and Arizona at 84 percent.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">There are gaps in almost every occupation. Women of color have higher pay gaps - the
largest experienced by Hispanic women who make just 54 percent of white male
earnings. Women typically make about 90
percent of what men make until they are 35.
After that the gap increases as raises and promotions come more slowly
to women than to men.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Education - once thought to be the equalizer - isn’t the full
answer. While women with higher
educational attainments do make more money, they still make less than male
employees at all levels of education.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">The rate of closing the gap has slowed over the last
decade. At the current pace, the pay
equity gap won’t be closed until 2139.
We can and must do better than that.<o:p></o:p></span></div>
<br />
<div class="BodyA">
<br /></div>
Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-2810847205409330273.post-87859687547830613992015-03-05T12:02:00.000-08:002015-04-14T10:04:45.280-07:00Port Crisis is over, but Challenges Remain<div class="BodyA">
<span style="font-size: large;">The labor crisis at the western U.S. Ports is over - pending
ratification of the agreement by both parties.
As the dust settles after six+ months of bitter negotiations, there are
new issues on the horizon.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">There is never a good time for a major component of
international trade to come to a screeching halt, but disruption could not have
come at a worse time - just as the container shipping industry is going through
a profound transformation worldwide.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Mr. James MacLellan, Director of Trade Development for the Port
of Los Angeles recently attended the San Gabriel Valley Board of Directors
meeting to update us on trends in the industry and how they affect our local
ports. These issues are especially
significant to the San Gabriel Valley economy because of the high concentration
of jobs in international trade - 6.7 percent compared to 5.3 percent in Los
Angeles County. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Stiff competition and projected growth of only three to five
percent per year means shipping companies are taking dramatic steps to reduce
costs. The first change is in the size
of ships.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Ship capacity is measured in twenty-foot equivalent shipping
units or TEUs. A TEU describes the
number of 20 foot long containers - the standard length of a cargo container -
a ship can carry. Between 1988 and 2013
the size of container ships has quadrupled from 4,500 TEU to 18,000 TEU. Even bigger ships are coming - 53 ships with
capacity of 13,300 TEU to 19,000 TEU will be added to fleets this year. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Each container occupies a “slot” onboard the vessel and the cost
per slot can be as much as 60 percent less on a ship with a minimum of 14,000
TEU. Clearly scale is the way to reduce
the bottom line.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Mega alliances between shipping companies are also forming
similar to those we’ve experienced with airlines. A reservation to export cargo on OOCL might
just end up in a NYK Line ship.
Deploying fewer but larger ships to fewer ports also reduces costs. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">These mega alliances can exert more control in their relationships
with gateway ports. In order to keep
costs down shippers want ample warehouse, distribution and transloading options
including both rail and roadways. To
keep their attracting business, ports need to meet these demands.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">U.S. ports are spending billions of dollars to prepare for the
new market realities. There is much more
to planning for accommodating these larger ships. Sorting the increased cargo from each vessel
and moving it off the ships quickly will require revamping customs procedures
and extending operating hours. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">Improving drayage, the first transport of containers off the
dock, will require improved communications technology and real-time data about
routes and road conditions. <o:p></o:p></span></div>
<div class="BodyA">
<span style="font-size: large;">Resolving chassis shortages (the locking devices that secure a
container during shipping) means more land for storage and increased
maintenance crews.<o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<div class="BodyA">
<span style="font-size: large;">The good news is that the LA and Long Beach Ports are well
positioned to compete. Southern
California offers few weather delays.
The Alameda Corridor and the Alameda Corridor East Project through the
SGV provide efficient rail options for distribution with Union Pacific and BNSF
offering access to 14 major freight hubs including Chicago, Atlanta, Dallas and
Memphis. <o:p></o:p></span></div>
<div class="BodyA">
<br /></div>
<span style="font-family: 'Times New Roman', serif;"><span style="font-size: large;">Reliability is the real key and improved labor/management
relations will remain a critical variable. That must be a focus as we move
forward.</span></span>Unknownnoreply@blogger.com0