Hub City Newsletter January 2008 from Glendive, Montana

WHAT IS THIS ABOUT? Hub City Pioneers, Inc., a committee of the DCEDC, seeks to build an economic hub in Glendive, Montana, as explored in the November 2006 Feasibility Report by Jon A. Rudbach, Vice President for Research, University of Montana. Among the processes suggested in the Report are recruiting businesses, and generating and promoting growth of local businesses. Currently, the volunteers of the Hub City Pioneers are President/Secretary Ulric Ficek, Greg Hagenston, Steve Ficek, and Katherine Lee. This online newsletter is their effort to bring interesting and helpful economic information to Glendive area businesses. The newsletter will also identify government and other business opportunities the Hub City Pioneers come across in web searches. To read in full the articles upon which these synopses were based, please contact Katherine Lee, 406-365-3207. If you have a business news article to share, please mail it to Katherine Lee, PO Box 1192, Glendive MT 59330.

GLENDIVE BUSINESS INCUBATOR: Business incubators help entrepreneurs get their operations going by providing low-cost office and meeting space, office equipment, and business start-up services. If businesses show interest in using an incubator, the Hub City Pioneers will form a committee to get one up and going. It can be done, says Pete Ficek, and if you want to get in on it call him at 406-377-4828.

COMMUNITY INVESTMENT and CHARITABLE GIVING: The Greater Glendive Community Foundation, a 501©(3) non-profit, earned grant money by raising over $15,000 in 2007, and will be investing the grant money in community projects. The volunteer operation spends just 1.25% of its funds for operations. Contributions may be mailed to GGCF, Box 1122, Glendive MT 59330. Ranger Review, contributed by Pete Ficek.

Charitable giving in the US rose 4.2% in 2006, and made up about 2.2% of the gross domestic product, according to a report from the Center of Philanthropy, published by Giving USA Foundation. Giving to culture, arts and humanities rose 9.9%, and giving to education to education rose 9.8%; giving to human services and international affairs fell 9.2%. Charitable bequests fell 2.1%. Homes with less than $100,000 in annual income account for 65% of charitable giving. Warren Buffet, the top individual donor in 2005, gave $1.9 billion. The Wall Street Journal, June 25, 2007, contributed by Pete Ficek.

Warren Buffet’s sister Doris runs a small charitable foundation with income from a trust established by her father. Ms. Buffet reviews requests for individual aid directed to Mr. Buffet, and has given more than $1.4 million to 300 letter writers. The Wall Street Journal, August 3, 2007, contributed by Pete Ficek.

ENERGY: Developing coal resources means burning coal to produce electricity, natural gas or liquid fuel, which creates carbon dioxide, the prime suspect in global warming. Coal developers expect regulation of CO2 emissions, and developments are on hold until the form of regulation is determined. CO2 sequestration or underground capture will be part of any regulatory scheme. Discussions on ground rules for possible development of the Otter Creek coal tracts are being held. Great Northern Properties, the nation’s largest private owner of coal deposits, hopes to apply this year for a permit for a lignite coal/synthetic natural gas project near Nelson Creek, northwest of Circle. An air quality permit for a coal fired electric power plant near Great Falls has been challenged. There is potential for coal-to-liquid refineries near Great Falls and Butte. A proposal for a power plant/coal-to-liquids refinery expansion of the Bull Mountain coal mine near Roundup has been withdrawn while developers obtain financing. Billings Gazette, January 6, 2008, contributed by Greg Hagenston.

NorthWestern Energy is exploring the feasibility of building a $100 million natural-gas-fired power plant at Mill Creek, south of Anaconda. Governor Brian Schweitzer indicated that Montana’s new wind energy will require “firming” power from such plants, which will help stabilize the electric grid. NorthWestern is also evaluating its options with respect to its interest in Colstrip Unit 4 coal-fired steam electric generation unit. Billings Gazette, January 26, contributed by Katherine Lee.

A MIT study found that geothermal energy from deep drilling could represent 3,000 times the current US energy use. In 10 to 15 years, commercial power plans could start generating electricity in the Cascades. Vulcan Power Co. is 80% certain it will build a 100-megawatt geothermal plant north of Seattle. One factor driving exploration is a Washington State requirement that 15% of their energy come from renewable resources by 2020. Billings Gazette, January 23, 2008, provided by Katherine Lee.

North Dakota Democrats are promoting the construction of a state-owned oil refinery to alleviate the state’s high gas prices and supply shortages. Models for the funding would be the state-owned mill and the state-owned Bank of North Dakota, both of which were formed in the early 1900s. Profits from these institutions provide the state tens of millions of dollars each biennium. Governor John Hoeven is pledging state aid to refinery projects at Williston and on the Fort Berthold Indian Reservation, and a coal to liquid fuels plant near Underwood. State support for these projects would be provided by the state Oil and Gas Research Council. Ron Ness, president of the North Dakota Petroleum Council, said the oil producing companies in the state would not be against a refinery, but building a refinery is “a tremendous amount of capital and risk.” The Dickinson Press, January 11, 2008, contributed by Pete Ficek.

The Montana legislative Telecommunications Interim Committee considered whether to propose laws related to carbon sequestration at a meeting Jan. 24, 8 a.m. in Room 172 of the State Capitol in Helena. The committee reviewed model legislation and regulations developed by the Interstate Oil and Gas Compact Commission, discussed continuing the electric Universal Systems Benefits program, examined wind integration, and heard from the Alternative Energy Resources Organization. Meeting materials are available at http://www.leg.mt.gov, or contact Sonja Nowakowski, legislative committee staffer, at 406-444-3078 or [email protected].

TRANSPORTATION: Big Sky employees are attempting to buy out and take over Big Sky Airlines, although the contract for Essential Air Service was awarded to Great Lakes Aviation. Ranger Review, January 13, 2008; provided by Katherine Lee.

A proposal to link highway, passenger rail and airline services in Eastern Montana, as a pilot program for a statewide network, has been developed by Robert T. Stevens Jr. Billings Gazette, January 23, 2008; contributed by Katherine Lee.

Amtrak faces a $150 million budget shortfall next year. A panel appointed by President Bush recommended that Amtrak raise wages about 35% and provide full retroactive back pay to the year 2000 for the 10,000 employees. Employees have been working without an updated contract for nearly eight years. Congress provides Amtrak about $1.3 billion a year. The Wall Street Journal, January 15, 2008, contributed by Pete Ficek.

ECONOMIC DEVELOPMENT: Rural Dynamics Incorporated and Customer Credit Counseling Service present Plains Talk II, Beyond the Two Step: Partners leading the way through systemic change. Discussion of regional vision and values and systemic change methods to obtain regional equity and determine future direction of the Northern Plains Initiative. Join the events on January 28, 2008 in Dickinson, ND, Days Inn- Grand Dakota Lodge (532 15th Street West ) or January 30, 2008 in Rapid City, SD, Holiday Inn Rapid City, Rushmore Plaza (505 North Fifth Street) Space is limited – call or e-mail Naomi Kordak to reserve: [email protected], (406) 761-5720.

Self-made millionaire Norman Asbjornson asked for ideas to improve his hometown. Now Winifred, Montana, (pop. 150) has a new city hall, library, museum and community center. Students receive scholarships to attend MSU, and construction is under way on a new business. Read the story: http://www.greatfallstribune.com/app … 1/712160302

A reform of the 1872 hardrock mining law may impose royalties on new mines, but perhaps not on existing mines. A House-passed bill would charge 8% on gross revenue from new mining operations and 4% on existing operations, with the funds being used for cleanup of abandoned mines. Senators express reluctance to impose a royalty on mines already operating. Billings Gazette, January 25, contributed by Katherine Lee.

AGRICULTURE: Great Plains – The Camelina Company is looking for farmers to provide seed for a crushing and biodiesel refinery plant in eastern Montana. Sam Hutten-Bauer, managing partner, calls camelina “a wonderful rotation crop”, and with prices at $7 and $8 per bushel, “very steady when wheat is not.” Ranger Review, January 13, 2008; provided by Katherine Lee.

Duty-free trade in sweeteners between Mexico and the US began this month. Jack Roney of the American Sugar Alliance says NAFTA doesn’t adequately prevent subsidized sugar from coming into either country and then being exported to the other country. An “idea for quotas” is in the works, which would increase during years of poor US crops. American Crystal Sugar Co. President David Berg is talking to the UDSA about implementing marketing allocations. Billings Gazette, January 25, 2008, provided by Katherine Lee.

Montana pea and lentil growers have negotiated a $7.8 million sale to Cuba, moving 15,000 tons. Cuba imports 122,000 tons annually. With production expanding 40% in the past year, Montana now produces 25% of the nation’s pulse crops. Billings Gazette, January 26, 2008, provided by Katherine Lee.

Fruitcake is still popular, but customer preference has many bakers omitting bright red and green candied fruit. Assumption Abbey in Missouri’s Ozarks bakes 25,000 fruitcakes every year, to support its operations. “The rummier the yummier,” claims the chief fruitcake maker, who injects each cake with rum in 8 places. Prior to their fruitcake venture, the Abbey made and sold concrete blocks. The Wall Street Journal, December 22-23, 2007, contributed by Pete Ficek.

WORKFORCE: The Department of Labor and Industry has just released the Montana Occupational Supply Demand System on http://www.ourfactsyourfuture.org. This planning tool offers information and resources for analyzing supply and demand issues in today’s labor market. Supply Demand data is helpful for employers as they look at the education levels of their potential applicant pools, can show program planners where we need for trained workers, and help integrate workforce development and economic development.

INFORMATION: Dow Jones “must be the pre-eminent source of financial information and comment in the world,” says Rupert Murdoch, CEO of News Corp., which recently acquired Dow Jones. Dow Jones owns The Wall Street Journal, Barron’s and Dow Jones Newswires. The Wall Street Journal, December 14, 2007; contributed by Pete Ficek.

FOSSILS: The American Museum of Natural History in New York has unveiled a $36 million exhibition, “Dinosaurs in Their Time”, which runs from 230 million years ago (Triassic Period) to the dinosaurs’ extinction 66 million years ago (Cretaceous Period). As much as 85% of the materials on display are real fossils rather than replicas. Fossil poses reflect the latest thinking about dinosaur behavior. The Wall Street Journal, January 15, 2008, contributed by Pete Ficek.

EDUCATION: “The State with the Best Education Wins!" is the slogan of The Montana Associated Technology Roundtables; founded to promote economic development in Montana by bringing together the network of entrepreneurs and business professionals to share ideas and information. Catch their website at www:matr.net, or e-mail Russ Fletcher ([email protected]).

COMMUNICATIONS: Montana posted the 14th-highest telecommunications job growth in the nation between 2002 and 2007, more than five times better than the national average. The magazine Global Insight predicts the rate will slow to 6.5 percent growth in tech jobs between 2007 and 2012, to be 19th in the nation and ahead of the 5.8 percent national average for that upcoming period. Washington is expected to rank No. 3, Wyoming is No. 6, Utah at No. 7 and Idaho No. 10. Telecom companies plan to spend between $50 million and $80 million next year on new fiber links and infrastructure with similar investments by cable, wireless and cellular communications companies. The investments are both a sign and a spin-off of developments in other parts of Montana’s economy. The state’s energy industry is accelerating exploration for new oil fields, power corridors and processing sites in rural areas with little or no cell service, and companies are stepping up to meet those needs. There is a lack of engineers and electronics designers, and stiff competition for field workers who can hook up network connections, activate satellite uplinks and string wire and fiber. Biotechnology companies are also making long-term commitments. GlaxoSmithKline recently finished a $100 million upgrade of its lab facilities in Hamilton, which involved adding 120 new jobs there. The Universities increase their research investments and attract talented people. Read more: http://www.mtinbusiness.com/inbiz-0801/bus16.php.

EMPLOYMENT: Opportunities for Montanans to return home to professional positions are available on Come Home Montana News, on The Montana Associated Technology Roundtables, http://matr.net/news.phtml?cat_id=39&catlabel=Come+Home+Montana

GOVERNMENT BUSINESS OPPORTUNITIES recently listed on FedBizOpps, http://www.fbo.gov. Enter Montana on the search bar to locate the full announcement, then contact the e-mail listed, or go to [email protected].

CHILD FORENSIC INTERVIEWER, Indian Health Service, Billings Area Office. 51% Indian owned business, to conduct interviews and preserve for evidentiary purposes and to write comprehensive reports. Requires minimum of two years experience conducting interviews of child abuse victims and providing expert witness testimony in child abuse cases in Tribal or Federal court, five years experience as a Certified Law Enforcement official in Indian country, in addition to experience interviewing child physical and sexual abuse victims on a reservation. Bachelors degree, or higher, in criminal justice, social services or human services, or other related field, or qualifying field experience. Offers by February 14, 2008. Rita Langager, Contract Specialist, 406.247.7293, [email protected]

OUTFITTER: The Western Montana Acquisition Zone anticipates seeks one or more outfitter(s) to perform the duties of wilderness treks (backpacking, horseback/packing, llama packing) for the National Wilderness Stewardship Training Session conducted by the Arthur Carhart National Wilderness Training Center. Martin Schmidt, Contracting Officer, Phone 406-329-3988, Fax 406-329-3876, Email [email protected] or Theresa Peterson, Procurement Technician, [email protected]

ASEPTIC HOUSEKEEPING/JANITORIAL SERVICES for seven Community Based Outpatient Clinics and the Miles City Nursing Home. 100% set aside for Small Business concerns. Evaluation will be based on contractor technical capability, price and past performance. Contractors must be registered in the Central Contractor Registration (CCR) database at http://www.ccr.gov prior to award. Solicitation documents available on or about January 16, 2008. Inquiries by email to [email protected], by mail to Richard Seals at VA Montana Healthcare System, 3687 Veterans Drive, PO Box 1500, Fort Harrison, MT 59636, or by fax to 406-447-7904. Richard Seals Contract Specialist 406-447-7644.

Great Plains Regional Office, Montana, Bureau of Reclamation – GP-3800 316 N 26th Street, Rm 2031 Billings MT 59101 needs a truck mounted drill/earth auger: a standard catalog product of a manufacturer regularly engaged in the manufacture of such equipment and the latest standard design that conforms to the specification requirements; the price range for the work is $250,000 – $500,000. (RFQ) package will be available on or around January 22, 2008, and quotes are tentatively due in the office of the Bureau of Reclamation, 316 North 26th Street, Billings, Montana 59101 on or before 2:00 pm on February 11, 2008.

LOCAL EXCHANGE TELEPHONE SERVICES FOR AIR FORCE RECRUITING OFFICES: Firm-Fixed Price Blanket Purchase Agreements (BPA) to acquire local telephone exchange services for smaller AF sites and AF recruiting offices. Local access for commercial business lines, DSL or internet services, voice mail, directory number and number portability, operator and directory assistance, local and Intra-LATA access, and interconnection with Inter-LATA exchange carrier. Debbie Speir, Contracting Officer, Phone (405)734-9675, Fax (405)734-9537, Email [email protected]

BUSINESS CONSULTING SERVICES: The Billings Area Indian Health Service (IHS) intends to award a fixed-price non-personal service commercial item contract. Rita Langager, Contract Specialist, Phone 406.247.7293, Fax 406.247.7108, Email [email protected].

ENVIRONMENTAL STUDIES: Studies of environmental resources at civil and military locations in Washington, Oregon, Idaho, and Montana. Field examinations, field sampling, monitoring, analysis, planning and impact assessment, with multimedia environmental compliance assessment and follow-up. Open to both large and small business. Scott Britt, (206) 764-3517; US Army Engineer District, Seattle at [email protected].

FENCE CONSTRUCTION: 5-Year (March 2008 – February 2013) Task Order contract. Places of performance are at National Wildlife Refuges and Fish Hatcheries and other sites located within the eight (8) states of U.S. Fish & Wildlife Region 6 that include North and South Dakota, Montana, Wyoming, Utah, Colorado, Nebraska and Kansas. Offeror proposals due on or about the 14th of February 2008. Task order prices will range from $2,000 to $500,000 with the majority or orders in the $30,000 to $100,000 price range – and many will be over $100,000. Offerors must be able to perform in all eight states and work a minimum of two projects simultaneously at different locations. Contact Albert J O’Mara, 3032364335 [email protected].

USEFULWEBSITES:

Get the skinny: Census data by zip code and comparisons with neighboring zip codes can be viewed on ZIPskinny.com.

Interesting, detailed free business courses from Hewlitt Packard and Intuit: http://www.buscourses.com. Offerings change monthly.