'They Were Like In Tears': How City Employees Reached Out To Thousands Of Struggling Phoenix Business Ownershttps://www.phoenix.gov/newsroom/ced/1371Community and Economic Development7/1/2020 7:00:00 PMhttps://www.phoenix.gov/newssite/Lists/NewsArticle/Attachments/1371/Newsroom_CED_0058.jpg'They Were Like In Tears': How City Employees Reached Out To Thousands Of Struggling Phoenix Business Owners<div class="ExternalClass8DA071F07F8A4890A94FD8667F4C4512"><html> <p>When the pandemic hit, a lot of us found ourselves rocked out of our normal routines — working from home, out of work, or figuring out how to do our jobs differently. </p><p><br></p> <p style="text-align:center;"> <em>By Lauren Gilger for KJZZ "The Show"</em> </p> <p><br></p><p>That scenario is just where Anita Ponce found herself in mid-March. </p><p><br></p><p>She and a team of normally administrative employees at the city of Phoenix found themselves calling all 18,000 business owners operating within the city limits to find out how they could help. <br></p><p><br></p><p>The city is offering resiliency grants to small and microbusinesses in Phoenix, as well as commercial city services bill relief grants.<br></p><p><br></p><p>The city is offering resiliency grants to small and microbusinesses in Phoenix, as well as commercial city services bill relief grants.<br><br>Ponce and the team have now made more than 15,000 calls, and the stories she’s heard and questions she’s gotten have been memorable.<br></p> <p>​</p><p>Listen to the entire interview on <a href="https://kjzz.org/content/1596707/they-were-tears-how-city-employees-reached-out-thousands-struggling-phoenix-business" target="_blank">KJZZ​</a>.<br></p> </html></div>https://www.phoenix.gov/econdevNewscedCED
​ New Phoenix Grant Helps Businesses with Commercial City Services Billshttps://www.phoenix.gov/newsroom/ced/1368Community and Economic Development6/29/2020 9:00:00 PMhttps://www.phoenix.gov/newssite/Lists/NewsArticle/Attachments/1368/Newsroom_CED_0055.jpg​ New Phoenix Grant Helps Businesses with Commercial City Services Bills<div class="ExternalClass0893AF3DBCA24D298185547087B538F2"><html> <table cellspacing="0" width="100%"> <tbody> <tr> <td> <p>​Phoenix businesses struggling to stay current with city of Phoenix water and sewer bills can apply for financial assistance through the Phoenix Commercial City Services Bill Relief Grant. The city's Water and Community and Economic Development departments are partnering on this new COVID-19 health emergency assistance program.<br><br>“The city's grant program has been delivering to our businesses in a time of great need," said Mayor Kate Gallego. “We recognize that there are businesses still in need of assistance that are not eligible for existing programs. For those businesses, we're offering a grant program to help with city utilities (water and sewer). This is a challenging time, and we are committed to working with our local businesses to see them through." <br><br>The Phoenix Commercial City Services Bill Relief Grant is the latest offering for Phoenix businesses, adding $5 million to the $14 million previously allocated by the Phoenix City Council. The funding comes from the federal CARES Act and supports different grants for Phoenix businesses. These grants do not need to be repaid.<br><br>As with all the grants, the bill relief grant is open to Phoenix-based businesses operating since January 1, 2019.   A business account must have been in good standing on March 1, 2020, to be eligible. <br><br>“Phoenix Water, in partnership with Community and Economic Development, called thousands of businesses directly, informing them of this opportunity to receive relief," said Kathryn Sorensen, director of Phoenix Water. “Each customer that qualifies for this grant will receive a one-time credit applied towards their City Services Bill and will allow for vital utilities to be maintained to our customers."<br><br>Apply for the City Services Relief Grant and find more information about all business grants available from the city on <a target="_blank" href="https://phoenx.gov/resources">Phoenix.gov/Resources​</a>. Click the blue “For Businesses" button. <br><br>The Small Business Relief Grant, Round Two, awards up to $10,000 to businesses with six to 25 employees, and under $3 million in 2019 gross sales. The businesses must be located in or adjoining a Phoenix low-income neighborhood. The Phoenix IDA is offering this grant, with funding from the city of Phoenix through the federal CARES Act.<br><br>The Phoenix Microbusiness Resiliency Grant offers up to $5,000 to Phoenix companies of five or fewer employees, with less than $1 million in 2019 gross sales. Available for any home business, solo practitioner and mobile businesses headquartered in Phoenix. Eligible applicants include independent business owners who rent space within another business, such as a hairstylist or nail technician. Entrepreneurs and startups meeting basic requirements are also eligible.<br><br>The grants in the Phoenix Small Business Resiliency Grants Program will help more than 2,000 businesses through this challenging economic time. The Arizona Community Foundation is administering this grant program for the city. Applications for the small business grants are submitted to the Foundation at <a target="_blank" href="https://azfoundation.org/phxgrants">AzFoundation.org/PhxGrants.​</a><br></p> </td> </tr> </tbody> </table> </html></div>https://www.phoenix.gov/econdevNewscedCED
Aún quedan subsidios de millones de dólares para microempresas de Phoenixhttps://www.phoenix.gov/newsroom/ced/1344Community and Economic Development6/17/2020 2:00:00 PMhttps://www.phoenix.gov/newssite/Lists/NewsArticle/Attachments/1344/Newsroom_CED_0078.jpgAún quedan subsidios de millones de dólares para microempresas de Phoenix<div class="ExternalClassF471D4B8D5CC46109410CFB177C3C536"><html> <p>​<span style="font-size:13.3333px;">La ciudad de Phoenix hace un llamado para que dueños de pequeños negocios soliciten subsidios para microempresas en Phoenix. El fondo de ayuda cuenta aún con un mínimo de 8 millones de dólares que deberán repartir. Para más información visite <a href="https://phoenix.gov/resources" target="_blank">Phoenix.gov/Resources</a>.</span></p> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">Mira la historia completa en <a href="https://www.telemundoarizona.com/noticias/aun-quedan-subsidios-de-millones-de-dolares-para-microempresas-de-phoenix/2074564/" target="_blank">TelemundoArizona.com​</a></span></div> <br> </html></div>https://www.phoenix.gov/econdevNewscedCED
Million-dollar grants remain for Phoenix microenterpriseshttps://www.phoenix.gov/newsroom/ced/1345Community and Economic Development6/17/2020 2:00:00 PMhttps://www.phoenix.gov/newssite/Lists/NewsArticle/Attachments/1345/Newsroom_CED_0078.jpgMillion-dollar grants remain for Phoenix microenterprises<div class="ExternalClass922A1A4D41DD4767B6A22CACFEA53711"><html> ​<span style="font-size:13.3333px;">The City of Phoenix calls for small business owners to apply for microenterprise grants in Phoenix. The aid fund still has a minimum of $ 8 million to distribute. For more information visit <a target="_blank" href="https://phoenix.gov/resources">Phoenix.gov/Resources</a></span><br><br><span style="font-family:"segoe ui", segoe, tahoma, helvetica, arial, sans-serif;">See the complete story at <a target="_blank" href="https://www.telemundoarizona.com/noticias/local/dreamers-esperan-con-ansiedad-decision-de-corte-suprema-sobre-daca/2073725/">TelemundoArizona.com​</a></span><br></html></div>https://www.phoenix.gov/econdevNewscedCED
Millions Available Now from the Phoenix Small Business Resiliency Grants Program for COVID-19 Health Emergency Costs to Businesseshttps://www.phoenix.gov/newsroom/ced/1346Community and Economic Development6/17/2020 2:00:00 PMhttps://www.phoenix.gov/newssite/Lists/NewsArticle/Attachments/1346/Newsroom_CED_0077.jpgMillions Available Now from the Phoenix Small Business Resiliency Grants Program for COVID-19 Health Emergency Costs to Businesses<div class="ExternalClassFA7B63C6514144348470CAD8777235DD"><html> <p> Grant award notifications have been delivered to 85 businesses in the first batch of Phoenix Microbusiness Resiliency Grants. These grants help offset losses related to the COVID-19 health emergency. The total grants value topped $300,000. It’s part of the Phoenix Small Business Resiliency Grants program offered by the city of Phoenix and the Phoenix IDA. </p> <p> <br> </p> <p> By Eric Jay Toll for PHXNewsroom </p> <p> <br> </p> <p> A $14 million allocation approved by Phoenix Mayor Kate Gallego and the City Council funded the creation of the Phoenix Small Business Resiliency Grants Program. It is one of the largest programs of its kind in the U.S. Phoenix funded Small Business Relief Grants, Round Two, for the Phoenix IDA, and the city created two new grant programs, the Phoenix Microbusiness Resiliency Grant and the now completed Phoenix Restaurant Restart Resiliency Grant. </p> <p> <br> </p> <p> “As we work to ensure financial assistance reaches every corner of our business community, Phoenix is making certain that microbusinesses, entrepreneurs, and the self-employed are not falling through the cracks,” said Mayor Kate Gallego. “Small businesses are the backbone of our economy, and recognizing their diversity is key to ensuring economic resiliency.” </p> <p> <br> </p> <p> Basic eligibility requires a business to be located in the city of Phoenix and open since January 1, 2019. The business must demonstrate a gross sales decline of 25 percent, or more, when comparing March and April 2020 with the same months in 2019. </p> <p> Microbusinesses and small businesses with fewer than 25 employees represent 71 percent of all businesses in Phoenix. Altogether, the city allocated enough money to help more than 2,000 of these businesses with grants, which will not have to be repaid. </p> <p> <br> </p> <p> Kenneth Bryant, the owner of Most Valuable Barber, 513 E. Camelback Rd., was one of the first microbusiness grant recipients. Bryant works with one other barber. The two are a combination of the traditional barbershop and a mobile business when they hop in their cars and travel to clients’ homes or offices. </p> <p> <br> </p> <p> “This grant is going to help me a lot,” said Bryant. “It’s definitely keeping me afloat while we get through this (COVID-19 pandemic). I’m going to use the money to catch up on my lease and bills. Now, I’ll be able to make it.” </p> <p> <br> </p> <p> Most Valuable Barber is one of the personal services businesses to receive microbusiness grants. The diversity of small businesses and owners receiving the first batch of grant awards reflects the diversity of Phoenix’s smallest businesses. </p> <p> <br> </p> <p> Asahi Bakery, 6056 N. 16th St., just north of Bethany Home Road, is one of the retailers receiving grants in the first batch. Chientai Wang said the grant is going to help him get through the slow part of the year. </p> <p> <br> </p> <p> “Summers are normally slow, and we lost almost all of our major sales months this year with Easter, Mother’s Day and graduation events all being canceled. People just aren’t ordering big cakes,” he said. “Things will pick up again in October. What really hurt is that 30 percent of our business is making desserts for hotels and buffets. We’ve lost all that business, and people are just ordering smaller cakes. There are no big parties now.” </p> <p> <br> </p> <p> Wang said that the grant helps him catch up on fixed costs like rent and insurance. He said that the reduced demand tempers total food costs, but his operating costs are just the same. </p> <p> <br> </p> <p> The Phoenix IDA Small Business Relief Grant offers as much as $10,000 for qualifying small businesses located in, and adjoining, low-income neighborhoods in the city. Businesses must have had fewer than 25 employees on March 1, 2020, and calendar year 2019 gross sales of under $3 million. </p> <p> <br> </p> <p> The Phoenix Microbusiness Resiliency Grant is open to businesses located anywhere in the city with five or fewer employees and under $1 million in 2019 gross sales. Microbusinesses can have brick and mortar addresses, be a home-based business or a mobile business. </p> <p><br></p><p>The Arizona Community Foundation administers all grants. Information and applications are on the web at <a href="https://azfoundation.org/phxgrants" target="_blank">AzFoundation.org/PHXGrants​</a>. Details are also available in flyers from <a href="https://phoenix.gov/resources" target="_blank">Phoenix.gov/Resources</a>. Click on the blue “For Businesses” button.<br></p> <p><br></p><p><em>​The article was updated on June 29 to reflect that all of the Restaurant Restart Resilience Grants have been awarded and that applications have closed.</em><br></p><p> <br> <br> </p> <p> <br> </p> </html></div>https://www.phoenix.gov/econdevNewscedCED
Believe it! April Job Numbers Prove Phoenix Economic Policy Workedhttps://www.phoenix.gov/newsroom/ced/1340Community and Economic Development6/15/2020 9:00:00 PMhttps://www.phoenix.gov/newssite/Lists/NewsArticle/Attachments/1340/Newsroom_CED_0077.jpgBelieve it! April Job Numbers Prove Phoenix Economic Policy Worked<div class="ExternalClass98F5CD32B7874AA4A5FD3F8483042AC3"><html> <h2>​​​Despite Devastating Service Job Losse​​s, April Employment Shows Bright Spots in the Dark Clouds</h2> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">It worked.</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">It may be hard to convince anyone among the more than 222,500 metropolitan area workers losing jobs in April that there is any good news on the job front. </span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">A post-Great Recession economic development policy change by Arizona, Phoenix and Valley cities about recruiting jobs succeeded. The April employment report has some bright spots in the dark clouds.</span> </div> <div style="text-align:center;"> <span style="font-size:13.3333px;"> <br> </span> </div> <div style="text-align:center;"> <span style="font-size:13.3333px;"> <em>By Eric Jay Toll for PHXNewsroom</em> </span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">An entire year of Valley job gains was wiped out in 30 days with the metropolitan area unemployment rate climbing from a record low 3.7 percent unemployment rate in December 2019 to a never-seen-before-rise to a seasonally adjusted 12.6 percent in April 2020, according to the Arizona Office of Economic Opportunity.</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">Compared to the rest of the nation, Phoenix fared much better. Nationally, the unemployment rate hit 14.7 percent. In California, and some metro areas in the rust belt hit around 20 percent and higher.</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <h3>Here’​​s what worked </h3> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">“This shows that government can influence the economy in positive ways,” said Jim Rounds, private sector strategic economist and president of Rounds Consulting Group. “During the Great Recession, Arizona and cities finally put together a cohesive economic policy to go after high-value jobs.”</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">In nearly every national recession since the 1960s and until 2008, the Valley showed an economic growth chart that looks like a Six Flags roller coaster ride. As the Phoenix metro started climbing ahead of the economy, the population surged into the Valley when workers and retirees in other areas sold their homes, packed up their equity and settled into a new Phoenix area house. Retail followed rooftops, and the economy was humming along, waiting for the next plunge.</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">“I think we see that despite the unprecedented job losses, changes in the composition of the workforce kept Arizona’s numbers better than the rest of the U.S.,” said Doug Walls, labor market information director at the Arizona Economic Opportunity Office and lead of the state’s research team for workforce and employment information. “You look at some of the sectors, and our job losses were significantly less than the rest of the nation.”</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <h3>Many Advanced Indu​stries Added Jobs in April</h3> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">The losses in the metropolitan area service industries were overwhelming in April 2020 compared to April 2019. Hospitality—lodging and restaurants—shed 92,200 jobs in April and the retail sector lost 36,400 jobs, 6,900 more than the bottom of the Great Recession. Even during the economic boom in 2019, retail never regained all of the jobs lost between 2007 and 2010. Half the jobs lost in April, 128,600, were in those two sectors. The bright spots, the grocery and building supply sub-sectors, added 3,000 jobs between the two.</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">According to April’s data, some employment trends are changing direction. With the economy plummeting, Phoenix still showed strong job gains in the advanced industry sectors. It’s in those sectors that Phoenix, other metropolitan area cities and the state focused on new company recruiting efforts over the ten years since 2010.</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">As a sector, manufacturing was flat, with no reported job losses in year-over-year comparisons, but the aerospace, computer and electronic device production subsectors added 1,000 jobs. Wholesale trade added 1,200 jobs. Financial activities added 9,500 jobs, and the bioscience healthcare sector added 10,100 new jobs. Other specialty subsectors added jobs as well. </span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">Between the advanced industries, the Phoenix metro area added 22,100 jobs. During 2019, the area gained an average of more than 30,000 jobs per month, in year-over-year comparisons with 2018. In April 2020, advanced industry job gains were close to two-thirds of 2019 average monthly job gains in year-over-year data. Technology jobs are spread across all industry sectors, so the gains reported do not show as an individual industry in the monthly reports.</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <h3> Planning for the Next Recess​​​​​​ion during the Great Recession </h3> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">Back in 2009 and 2010, during the Great Recession, Valley mayors came to an understanding that instead of fighting each other for the next power center or auto mall, the economic development emphasis should be to attract a category of jobs called “advanced industries” to the region. With the state on board, Phoenix’s quest for quality jobs was one step leading to the creation of the Arizona Commerce Authority and serious changes in local economic development policies.</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">Today more than 60 percent of the private sector works in the advanced industry sectors: business and financial services, bioscience and healthcare, manufacturing and technology. It was not that way in 2008 when the economy crashed. </span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">“Economic development was a different world before the Great Recession,” said Christine Mackay, director, Phoenix Community and Economic Development. “Because cities survive on sales tax, there were constant fights for big sales-tax generators—power centers, auto malls, regional shopping centers. The jobs they brought, while important, didn’t bring the value we needed to see this economy grow properly.”</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <h3>The Great​​​ Lesson of the Great Recession</h3> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">On the eve of the Great Recession in October 2007, a record-setting employment month in the metro area, more than half the Valley’s private sector workforce was in consumption jobs: construction, retail, real estate. The consumption industries essentially circulate the same money inside the market. Economists say that if there’s a lack of new money coming into the market, it is difficult to grow the economy.</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">“We talked with mayors about the core values of economic development,” said Chris Camacho, president and CEO of the Greater Phoenix Economic Council. Camacho was a senior executive with GPEC when the conversations took place in 2010 and 2011. “We showed how the region needed balance and diversification when it came to jobs.”</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">The mayors agreed to new policies. They realized that an economic growth policy of trying to outbid each other for the next sales-tax generator was not the way to stabilize the economy. </span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">“Phoenix has always performed better than the state, economically, and Arizona would outperform the nation during recessions. The Great Recession changed all that,” said Rounds. “The (economy in the) rest of the nation would drop more than us, and in Phoenix, construction would start building us out of the recession before the rest of the country.”</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">Some economic observers believed, according to Rounds, that it was a good thing the metropolitan area was dependent on “building itself out of a recession.” In those days, as a recovery moved across the country, it was common for workers to cash in equity and move to Arizona. The fast recovery in Phoenix was an appealing new destination.</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">“We had this retail and rooftop economy,” said Mackay. “For years, it worked to get the Valley out of a recession. Build homes, retail would follow, families flowed in.”</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">In 2010, as the recession was “declared over” in the rest of the U.S., people were not moving west. Across the U.S., many who would normally sell a home and move to Phoenix lost both their jobs and their home equity. Retirement accounts drained. Savings disappeared. This time, the state was not going to build itself out of the recession. When the rest of the nation was rocketing to recovery in 2011, Arizona languished.</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">“Customer service, retail, construction and hospitality industries gain employment quickly after a recession,” Camacho said. “Based on consumer spending, they are the first industries to shed jobs dramatically. Our base industries were shredded. The service sector just stopped. The demand for services was flat.”</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">The Great Recession was devastating to the market and shattered all precedents. The metro area jobs lost in 2008 were not recovered until 2014, dragging the impact for six years, more than three years beyond recovery for the rest of the country. </span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">Some industry sectors have yet to recover. Construction and retail jobs were lower in December 2019, Phoenix’s highest month of job numbers since the pre-recession peak, than they were in October 2007, the peak employment month before the Great Recession.</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <h3>The Covid​​ Recession is hitting a different Phoenix </h3> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">“Phoenix is faring a lot better than the rest of the U.S. economy,” said Walls. “It’s not just from one set of data. We looked at multiple data sets, and Arizona dropped less than most states.” </span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">Walls and Dennis Hoffman and Lee McPheters, W.P. Carey School of Business economists at Arizona State University, follow job numbers closely. Of all U.S. metros over one million in population, Phoenix and Dallas had the lowest year-over-year April job losses, 7.6 percent, according to U.S. Bureau of Labor Statistics data posted on the ASU Job Growth USA website.</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">“As a whole, we did a lot better than the rest of the country because we allowed manufacturing and other key revenue-generators to stay open,” said Dennis Hoffman, professor of economics and director of the Seidman Research Institute in the W.P. Carey School of Business at Arizona State University. “Other states had more narrow definitions of essential businesses than Arizona, and those states were hit much harder.” </span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">With the April job losses, the workforce in April 2020 is still larger than the pre-Great Recession peak month of October 2007. The April percent of the employed population, 40.5 percent, is almost identical to the Great Recession trough line at 40.0 percent.</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">“I think people should expect continued job losses in May,” said Walls. “But not at the level we saw in April.”</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">Jim Rounds agrees we are not yet at the bottom.</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">“The lower-wage jobs in retail and hospitality disappear first,” he said. “Companies have too much invested in skilled workforces and will try to hang on to the high-wage employees longer. There’s too much cost in retraining if furloughed employees take other jobs.”</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <h3>Federal Policy is​​ Slow to Work</h3> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">It took eight years for the metropolitan area to recover from the Great Recession. Lee McPheters, research professor and director of the J.P. Morgan Chase Economic Outlook Center, believes the economy will begin to turn by the third and fourth quarters of this year.</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">“You have to look at the scale of the economic impact,” he said. “The federal response to the (Covid Recession) is four to five times the size of anything that was done in 2008 to 2009.”</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">McPheters cautions that federal monetary policy is slow to work.</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">His colleague Dennis Hoffman says that Phoenix prepared for its next recession while the Great Recession was still underway. A macroeconomist, Hoffman explained that Phoenix’s shift to an export economy helped bring more dollars into the Valley after the Great Recession than were seen in 2007.</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">“We saw a real shift in policy,” said Mackay, who was economic development director in Chandler at the time. “Economic developers started pitching companies to bring in or grow high-value jobs. We looked at jobs that had large indirect benefits.”</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">Camacho echoes Mackay’s thoughts while recalling conversations with Valley mayors nearly a decade ago. </span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">“We doubled down on advanced industries,” he said. “Sure, engineering jobs are good, but one engineering job indirectly creates five other jobs in the economy.” </span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">Camacho said that the Valley mayors understood that the economy needed to change in order to grow, launching several new initiatives. Local governments started making policy changes and pushing to recruit high-wage jobs.</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">“As economic developers, we were able to show how one new job creates other jobs,” said Mackay. “A company hires an engineer, and they need supplies. The supplier hires another person to be able to grow and serve the company. The property manager needs more people for building maintenance and upkeep, creating another job. The new job creation continuously ripples through the entire Valley economy.” </span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <h3>New Initiatives P​​​ut to Work</h3> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">From these efforts at GPEC, the regional initiatives found traction. Under then Gov. Jan Brewer, the state created the Arizona Commerce Authority in 2011, a quasi-public agency replacing the former Arizona Department of Commerce. New incentive programs at the state level tied a measurable return-on-investment to the value of the tax credits and corporate recruitment packages. The role of ACA grew under the direction of Gov. Doug Ducey.</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">The city of Phoenix put a major emphasis on creating an export economy and led the state to three consecutive record years of export growth. Arizona and the Phoenix metro rose to the top of national and regional economic growth by 2013. Job recovery lagged 2007 numbers but started to accelerate. Partner organizations, including the Greater Phoenix Chamber of Commerce and the Arizona Chamber of Commerce and Industry, joined the movement to attract advanced industries. Phoenix created the Metropolitan Phoenix Export Alliance, now run by the Phoenix Chamber. With them, the Global Chamber found traction in the Phoenix exporting industry ecosystem making another network available to businesses wanting to expand into international markets.</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">The ACA, GPEC, Phoenix and other Valley cities focused on bringing in high-value jobs in the advanced industry sectors.</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">When the state and the Phoenix metro area finally broke through the 2007 pre-Great Recession job numbers in 2014, employment diversification was the regional foundation setting the stage to help weather the Covid Recession.</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">“There is no question that the jobs in Phoenix today are different than they were before the Great Recession,” said Hoffman. “Clearly, the sectors are more diversified now than they were then.”</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <h3>In 2020 Phoeni​​​​x is Resilient</h3> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">Not shutting off manufacturing, such as was done in Ohio, and allowing car dealers to remain open, are examples of one difference for Arizona in the Covid Recession, according to Hoffman. The diversity of the workforce is something that McPheters believes will help Phoenix recover more quickly in the current recession.</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">“The diversity of jobs across sectors in 2020 is what is holding up the economy,” said Hoffman. “The closures hit jobs in the retail and service sectors the most, and those are groups that also recover quickly.”</span></div><div><span style="font-size:13.3333px;"><br></span></div><div> </div> <p>Rounds reflects ​​th​​e same belief. </p> <div><span style="background-color:window;color:windowtext;">“There is no doubt this recession has really hurt those who can least afford it,” he said. “However, the strength in the core industries will start the economy humming again faster than previous recessions.”</span><br></div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">McPheters is not worried about Phoenix taking too long to rise again, and he sees the city’s growth as a magnet that will grow the economy. </span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">“We have a better diversity of jobs in Phoenix today,” he said. “This is going to continue to attract the workforce to relocate into the Valley. With the economy reopening, things could be very different in two or three months.”</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">They could go either way, he cautions, because of unforeseen events, as the pandemic did in March and April. </span> </div> <h3> <br> </h3> <h3>A different ‘new normal’</h3> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">“The ‘new normal’ could be different,” Hoffman said. “Companies have always been hesitant about teleworking, but over the last few months, they have learned how to manage teleworkers. The Covid Pandemic could change how and where people work.”</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">Industrial maker spaces are still enjoying brisk leasing activity, according to numbers from commercial real estate brokerages reported in Phoenix media. The big question that real estate publications like Globe St. and BisNow are asking is what will become of the large open office and how with that effect workforce deployment?</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">“Teleworking may change the way companies lease space,” said Mackay. “What we also see is that workers in other markets where housing affordability is already a serious problem may decide to telework from places with a better quality of life and more affordable housing options. Phoenix offers that environment.”</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <h3>Hoffman backs up Mackay’s contention.</h3> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">“Already, Silicon Valley companies are talking about workforce locating outside of the Bay Area,” Hoffman said. “Phoenix has a lifestyle well-positioned to be compatible with that of Californians and other urban dwellers.”</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">The numbers back the thought. In 2018, the last year for which Census Bureau data are available, the population of a mid-sized city, over 65,000 Californians, migrated to Phoenix and Arizona. Texas and Illinois were next on the list in the U.S., but after California, the next largest source of the new inbound population to Arizona was from Asia, increasing the workforce quality, according to the Census Bureau.</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">Data show that new migrants to Arizona come with more college degrees and high levels of professional skills, a combination that bolsters the attractiveness of the Phoenix workforce. </span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">“We’ll get through this downturn,” said Mackay. “This is Phoenix, named after the bird rising from the ashes. No other city has that in its DNA.”​</span></div> </html></div>https://www.phoenix.gov/econdevNewscedCED
3 Arizona startups compete in international bioscience competitionhttps://www.phoenix.gov/newsroom/ced/1336Community and Economic Development6/11/2020 10:30:00 PMhttps://www.phoenix.gov/newssite/Lists/NewsArticle/Attachments/1336/NEWSROOM_CED_0075.jpg3 Arizona startups compete in international bioscience competition<div class="ExternalClass6853F8A467DB4EB883A72CC8EC63B5C7"><html> <div> <span style="font-size:13.3333px;">Pamela Turbeville only has six minutes to pitch a product she spent six years working on. </span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">If her pitch is successful, she could land meetings with big-name investors at one of the largest bioscience conferences globally.</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div style="text-align:center;"> <span style="font-size:13.3333px;"> <em>By Amanda Morris for The Arizona Republic</em> </span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">She is one of 30 finalists competing at this year's Bio International Startup Stadium contest, which helps to launch early-stage bioscience companies.</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">In this year's virtual competition, judges will review six-minute pitch videos submitted by each finalist and select several winners.</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">Each competitor must be a small bioscience startup that has less than 20 employees. The idea, said Nareg Sagherian, a Bio International managing director, is to spotlight promising young companies that might otherwise be overlooked at a large international conference.</span> </div> <div> <span style="font-size:13.3333px;"> <br> </span> </div> <div> <span style="font-size:13.3333px;">Read the full story at <a href="https://www.azcentral.com/story/news/local/arizona-science/2020/06/11/three-arizona-startups-compete-international-bioscience-competition-covid/5324319002/" target="_blank">AZCentral​</a></span> </div> </html></div>https://www.phoenix.gov/econdevNewscedCED
Phoenix startup, Humabiologics, Lands $1M Seed Fund after 2019 Startup Stadium Appearancehttps://www.phoenix.gov/newsroom/ced/1321Community and Economic Development6/8/2020 6:00:00 PMhttps://www.phoenix.gov/newssite/Lists/NewsArticle/Attachments/1321/NEWSROOM_CED_0075.jpgPhoenix startup, Humabiologics, Lands $1M Seed Fund after 2019 Startup Stadium Appearance<div class="ExternalClass6988E34F3CFE48CD8C3D83FFE8E93B0E"><html> <p>​A $1 million seed funding is taking Humabiologics, Inc. closer to the market with its unique biomedical product. The Phoenix company, among the 2019 finalists in the BIO International Startup Stadium, is a regenerative medicine company founded by scientists and tissue industry experts. </p> <p>Founded in 2018, Humabiologics addresses the gap between the gift of donated human tissues and the translational research community.  </p> <p>Humabiologics launched the first of its kind human-derived native bone gelatin in late 2019 and provides one of the most affordable native human skin collagen for hydrogel applications and 3D bioprinting.</p> <p>As an early-stage startup, the company competed against 39 other global startups for venture capital, strategic partnerships and collaborative opportunities at the BIO International 2019 Startup Stadium in Philadelphia, Pennsylvania. Its exposure at the stadium contributed to success in seeking seed funding.</p> <p>“Our ability to access capital during the current health emergency and challenging economic times is a testament to the strength of our team and the trust of our investors and shareholders in Arizona and several states,” said Dr. Mohammad Albanna, founder and CEO of Humabiologics. “This funding will allow Humabiologics to continue to expand its ability to provide stable supply of clinically-relevant and affordable human-derived biomaterials that meet the needs of translational researchers working in the field of regenerative medicine.”</p> <p><img style="margin:5px;width:495px;" src="/econdevsite/MediaAssets/Other/NEWSROOM_CED_0076.jpg" /><br><em>​Mohammad Albanna, founder and CEO, Humabiologics. Credit: Humabiologics.</em><br></p><p>Humabiologics distributes its products globally to academic and industry regenerative medicine research labs. The products are used in the field of tissue engineering, regenerative medicine, cell culture, 3D bioprinting, disease models and drug toxicity testing, among the many other life sciences translational therapeutic research. The company has signed agreements with a leading tissue bank to save more donor tissue, make it more accessible, and accelerate future innovations in regenerative medicine.   </p> <p>“Arizona’s bioscience sector has a strong and growing regenerative medicine segment,” shared Joan Koerber-Walker, president & CEO of the Arizona Bioindustry Association. “Humabiologics is a great example of how our entrepreneurs can combine business and science to address an unmet need and address it by leveraging Arizona’s support programs, local talent and early-stage investment capital.”</p> <p>Humabiologics has documented a trend of increasing demand since launching its products in late 2019. This investment will allow the company to continue to expand its current line of products. The company is currently planning to expand its facilities and operations in Arizona and has been expanding its team throughout 2020 with highly-experienced team members in the areas of research and development, quality, and manufacturing teams. Humabiologics plans to further expand the team in 2020. </p> <p>“As three more Phoenix startups get ready to compete in the 2020 BIO International Startup Stadium, we are thrilled to see that one of last year’s participants, Humabiologics, has raised its seed fund. This is another example of incubation success from the Center for Entrepreneurial Innovation at GateWay Community College and their work with such a great company,” said Christine Mackay, Director, Phoenix Community and Economic Development. “Dr. Albanna’s innovations and research place him in the good company of the growing number of successful bioscience innovators filling the Phoenix startup ecosystem.”</p> <p>“Humabiologics has greatly benefited from the support it has received from the City of Phoenix, the Arizona Commerce Authority, and the Arizona bioscience community,” said Albanna. ”We appreciate this support and look forward to continuing to develop our business within Arizona’s growing bioscience sector.”</p> <p>Humabiologics is headquartered in the Center for Entrepreneurial Innovation at GateWay Community College on East Washington Street. The city of Phoenix is a partner with the Maricopa Community Colleges in this bioindustry incubator.</p><p><span style="background-color:window;color:windowtext;font-size:10pt;">BioMedical Sustainable Elastic Electronic Devices, Equus Innovations and I-calQ are the three Phoenix startups selected as finalists for the BIO International 2020 Startup Stadium. BMSEED and Equus are both based in CEI. I-calQ is headquartered in Grand Canyon University’s Canyon Ventures incubator in West Phoenix.​</span></p><br> </html></div>https://www.phoenix.gov/econdevNewscedCED



Community and Economic DevelopmentPHXEconDevhttps://www.phoenix.gov/econdevCommunity and Economic DevelopmentcedCEDhttps://www.youtube.com/user/cityofphoenixazhttps://nextdoor.com/agency-detail/az/phoenix/city-of-phoenixPHXEcondevphoenixecondevTwitter



Face Coverings Requiredhttps://www.phoenix.gov/newssite/Lists/AdBox/DispForm.aspx?ID=18https://www.phoenix.gov/newssite/Lists/AdBox/Attachments/18/Mask_Slider.jpgFace Coverings Required<div class="ExternalClass3A20C750F0494BAAA7926AA5A46FAD6F"><html>​Every person in the city of Phoenix, ages two and over, shall cover their nose and mouth whenever they are away from their home or residence. Learn more about this declaration<br></html></div>Newshttps://www.phoenix.gov/newsroom/em-and-hs/13536/19/2020 8:18:55 PM10/30/2020 8:18:55 PM

​Share this pageArchived Press Releases