On Wednesday, July 28, members of WKREDA gathered in Dodge City to participate in a workshop led by Zack Mannheimer, CEO of Atlas Co. Studios and Alquist 3D. Mannheimer revolutionized the social scene in Des Moines when he created the Des Moines Social Club. He has since gone on to launch a consulting firm and a construction company that is building some of the nation's first concrete 3D printed homes. Through funding from the Sunflower Foundation and Network Kansas, WKREDA has been working with Mannheimer and his team on what he sees as the future of rural communities. 

According to research his team completed as part of a project for the Kansas Department of Commerce, more than 30 million people are or will be looking for new places to live as a result of COVID-19 and the transformation of remote work. This migration will create a ripple effect as families leave the coasts and relocate to second cities throughout the country. Saturation in these cities will eventually create growth opportunities for communities like Liberal. Initial findings projected this growth would occur in the next seven to ten years; however, the pandemic has condensed that timeline. We could see this happen in as little as two to three years. Families and workers are looking for new communities to call home right now, and we need to consider what we can do as a region to attract them. 

We don't have to look far from home. Mannheimer's team surveyed workers from our neighboring states and found that the Denver area is our most likely target for attracting workers and their families. Of those surveyed, 67% said they would be willing to move to rural Kansas for work, citing the high cost of living as their main reason. These people won't make the transition on their own. In order to compete for these high-skill/high-wage employees, we have to dedicate ideas and resources to place-making.

The market is extremely competitive. Tulsa is offering remote workers $10,000 and office space to move to town. West Virginia is offering $20,000 over two years for people who move to the state. This includes cash as well as recreational equipment like kayaks and mountain bikes. But it's not just about money. Families are looking for great schools, a local arts scene, unique food and entertainment options, and quality housing. Investment in these programs does more than attract workers and families; it makes our communities better for those of us who call this place home already.

If you have ideas about any of these topics--examples you've seen in other communities or thoughts you've developed over the years--please don't hesitate to share them with us. The Seward County Development Corporation, like so many others, cares deeply about this place, its communities, and its people; but it will take all of us working together to ensure that we have the best places to live and work for those of us already here and those still to come. 

Matthew Wagner, Ph.D., Chief Program Officer, Main Street America

The return to bricks-and-mortar shopping is on the rebound, with consumer exuberance pushing supply chains to near failure and inventories for many goods to all-time lows. In fact, according to the Bureau of Economic Analysis (BEA), overall consumer expenditures increased 11.3 percent in the first quarter of 2021.

While it may feel and look similar to consumerism à la 2019, we cannot let the excitement mask the fact that interactions between businesses and consumers have fundamentally changed, creating new opportunities for how small businesses can generate revenues. And small businesses have gotten the message. According to the inaugural American Express Entrepreneurial Spirit Trendex survey of U.S. small and mid-sized business owners, 76 percent of those polled have pivoted or are in the process of pivoting since the pandemic, and among those, 73 percent expect to pivot again in the next year. As such, the “pivot” is here to stay.

One of the more obvious shifts that occurred included the increase in the number of small businesses conducting sales through e-commerce platforms. And while we are making great strides with getting more businesses online, there are many more actions small businesses can explore as part of their long-term “pivot plan.” To get started, let’s explore 11 shifts small businesses should take into consideration:

Read On

WKREDA, the Western Kansas Rural Economic Development Alliance, maintains a listserv for its members. Through this, community and economic development professionals are able to post questions about projects they're developing and share resources and successes across our fifty-five county network. Recently, the topic of succession planning was brought up as a community has a successful franchise owner looking to retire. Richard Feltenberger--Small Business Development Center Director at FHSU and Certified Exit Planning Advisor--provided both technical support and some staggering statistics. According to Feltenberger, "80% of Kansas business owners do not have an exit plan and 70% of businesses placed on the market never sell. More concerning is that 50% of all businesses will close involuntarily and unprepared due to death, disability, divorce, despair, or disagreements. The results of a failed exit or untimely event impacts not only the owner’s family, but their employees, and the community."

Whether you are a current small business owner, or know someone who is, it's never too early to create your succession plan. This will provide you with piece-of-mind as well as clear goals for the future. Thanks to the Small Business Development Centers and the resources they have available for our businesses and our communities, this work does not have to be intimidating. Follow this link to the SBDC Business Transition Page to learn more about the resources available to you or how to get started. 

Today, U.S. Secretary of Commerce Gina M. Raimondo announced six programs, collectively called Investing in America’s Communities, that the Economic Development Administration (EDA) will execute to equitably invest the $3 billion it received from President Biden’s American Rescue Plan.
WATCH LIVE: Secretary Raimondo makes announcement at White House today at 12:10 p.m. ET
This EDA investment is the largest economic development initiative from the Department of Commerce in decades and will help communities across the country build back better.
Investing in America’s Communities includes: 

• Build Back Better Regional Challenge ($1 billion) will capitalize on American ingenuity and American workers by providing a transformational investment to regions across the country to revitalize their economies.
• Good Jobs Challenge ($500 million) is designed to help get Americans back in good-paying jobs. The program will develop and strengthen regional workforce training systems and sector-based partnerships with a focus on programs targeted at women, people of color and historically underserved communities.
• Economic Adjustment Assistance ($500 million) grants will help hundreds of communities across the nation plan, build, innovate, and put people back to work through projects tailored to meet local needs. 
• Indigenous Communities ($100 million) program will work hand-in-hand with Tribal Governments and Indigenous communities to develop and execute economic development projects they need to recover from the pandemic and build economies for the future. 
• Travel, Tourism and Outdoor Recreation ($750 million) program will focus on revitalizing the hard-hit travel, tourism, and outdoor recreation industries and accelerate the recovery of communities that rely on these sectors. 
• Statewide Planning, Research and Networks ($90 million) grants include funding for state planning efforts as well as grants to build Communities of Practice to extend technical assistance to support EDA’s work with grantees. 

As part of the six programs, EDA is making a Coal Communities Commitment, allocating $300 million to ensure support for these communities as they recover from the pandemic and create new jobs and opportunities, including through the creation or expansion of a new industry sector. 

To learn more about EDA and our American Rescue Plan Funding Opportunities sign up for our webinar, EDA 101 and America Rescue Plan Overview, which will be held on July 27 and July 29.

For more information, visit www.eda.gov/ARPA for the latest news on EDA’s implementation plans. Sign up for the EDA newsletter and follow EDA on social media: Instagram, Twitter, LinkedIn, Facebook and YouTube.

New portal will streamline applications for loans $150K or less for small businesses in Kansas starting Aug. 4th

WASHINGTON – The U.S. Small Business Administration is launching a streamlined application portal to allow borrowers with Paycheck Protection Program (PPP) loans of $150,000 or less through participating lenders to apply for forgiveness directly through the SBA.   

“In Region VII (KS, MO, IA, NE) there are 867 lenders already signed up to use the new forgiveness portal and they completed 216,938 PPP loans under $150,000, representing over $4.6 billion dollars of PPP loans. The opening on this portal allows a simpler method for borrower and lender to meet the need of the business, lender and the agency,” said Region 7 Acting Administrator Leon Milobar. 

This new change will help rush relief to over 6.5 million smallest of small businesses nationally, which has been the priority of SBA Administrator Isabel Guzman since day one.

The new forgiveness platform will begin accepting applications from borrowers on August 4^th, 2021. Lenders are required to opt-in to this program through https://forgiveness.sba.gov/

Area lender weighed in on why they are opting to use the new Forgiveness portal.

Leslie Anderson, CEO of i3 Bank in Bennington, NE, said “We think it provides an easier and quicker route for our customers.”’

“Chisholm Trail State Bank has opted-in to the SBA PPP Forgiveness Portal to allow our customer’s a streamline service to file forgiveness on loans of $150,000 and less.  As always, our customers can contact us for any questions or help they need during the forgiveness process,” said Cuy Mauck, President & CEO of Chisholm Trail State Bank in Wichita, KS.

In addition to the technology platform, the SBA is standing up a PPP customer service team to answer questions and directly assist borrowers with their forgiveness applications. Borrowers that need assistance or have questions should call (877) 552-2692, Monday – Friday, 8 a.m. - 8 p.m. EST.

“This initiative will allow PPP borrowers to put their concerns of achieving full forgiveness behind them and focus on operating and growing their businesses again,” said Patrick Kelley, Associate Administrator for SBA’s Office of Capital Access. “We are pleased to be able to assist financial institutions across the U.S. in processing forgiveness applications for small business owners.”   

 Paycheck Protection Program Summary

• Overall, the SBA and lenders have worked to originate over 11.7 million loans totaling nearly $800 billion in relief to over 8.5 million small businesses.

In 2021:

• SBA approved over 6.5M loans totaling over $275B
• The average loan size was ~$42 thousand (compared to $101 thousand in 2020)
• 96% of loans went to businesses with fewer than 20 employees (compared to just 87% in 2020.)
• 32% of loans went to businesses in LMI communities (compared to just 24% in 2020)

Direct Forgiveness Summary

• Over 600 banks have opted into direct forgiveness, enabling over 2.17mm borrowers to apply through the portal (This represents 30% of loans $150,000 or less that have not yet submitted for forgiveness)

Established by the CARES Act in 2020, the PPP was among the first COVID-19 small business economic aid programs. It provided more than $798 billion in economic relief to small businesses and nonprofits across the nation, keeping employees working, and helping businesses come back stronger than ever.   

Other programs include Economic Injury Disaster Loan (EIDL), EIDL Advance, Targeted EIDL Advance, Supplemental EIDL Advance, Restaurant Revitalization Fund, Shuttered Venue Operators Grant, and SBA Debt Relief program. To learn more about these programs, please visit www.sba.gov/relief. 

• The majority of our work at the development corporation consists of supporting local entrepreneurs and businesses as they start or expand their operations. Through our partners, we can provide the expertise and the funding that these ventures need in order to be successful. These same partners and networks also connect us to resources outside of Seward County. This month will bring new opportunities for learning and networking that can help the businesses and communities here at home.  Upstairs Downtown Workshop
• SCDC is part of the Kansas Main Street organization and is recognized as an affiliate community. As such, we are provided with free registration to this workshop. Topics will include RHID, Working with SHPO, Fire Mitigation, Codes and Zoning, Arts in Downtown, and Sample Projects.
• Kansas Ag Growth Summit
• The Kansas Department of Agriculture is presenting a hybrid model for its summit this year. Virtual sessions began in July and will run through August with a culminating in-person event at Kansas State University. More information about the upcoming virtual sessions or available recordings can be found here: Kansas Ag Summit
• Block22 Conference
• A few years ago, Pittsburg State University, the city of Pittsburg, and key developers transformed their downtown. Student housing, restaurants, business incubators, and local shops were renovated, built, or launched all to great acclaim and national awards. The Kansas Department of Commerce would like to replicate this success in other college towns throughout the state and will be hosting a conference to share the process that Pittsburg State and their local partners used. To see what Pittsburg's downtown looks like now, visit the Block22 homepage. 

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