A Bright Idea Turns 20 A Look Back at 20 Years of SB Forums

It seemed like a good idea at the time. Herb Carpenter, publisher of Strictly Business decided to gather together leading area business minds and spend a few hours at the end of 1990 hearing their thoughts on the business climate in the North Country and around the nation.

Care was taken to choose a sterling group of what Carpenter said were “individuals who would represent their local industry/profession while bringing national and international perspectives to our discussion.”

The formula worked then and has continued to work for 20 years. They say that hindsight is 20/20, but when one flips through the old magazines and reads comments from that first Forum and those from five-year intervals, it is obvious that most of the observations and predictions were spot on.

The idea was to group the participants around tables, each with a moderator, and record their discussions, ending with a summary. The Forums were held in December, and the January issues of Strictly Business recounted their content.

The questions have remained relatively consistent: “How did your industry/profession fare during the year?” “What do you see for your industry/profession in the coming year and ensuing years?” “What are the most positive/negative factors impacting local business?” “What can we do collectively to improve our economic picture of the North Country?”

Through the years, there have been economic ups and down, but problems were never sugarcoated and suggestions for future growth were insightful and educational. Each year, in spite of some negatives, there was an overall air of optimism in the room and what was often called a “can do” spirit. Carpenter said, about this optimism, “It’s not only healthy, it’s good for business.”

Year One

In 1990, there was a lot of talk about the economic slowdown. Does that sound like déjà vu? Bankers were somber in their assessment. Table talkers spoke of “hard times” and the role of government. The question arose as to whether the economic recession was primarily a product of perception. And the rising cost of insurance came up again and again.

Transportation problems, especially moving goods smoothly and efficiently both ways through the Champlain border crossing, were uppermost on many minds. There were predictions that unless the border tie-ups were addresses our bright future might be imperiled.

At every Forum there have been three cheers for the Canadian contribution to our local economy. Regulations and taxes have come up regularly and the deficit locally, in New York State and the nation has also been a recurring theme.

Another topic from the first Forum that has come back again and again is that we must take a more “global perspective.” One attorney said we must stop thinking of “us” as only Clinton County.

Something else that participants in the Forums have reiterated through the years―this area is somewhat of an anomaly. We’re insulated from the rest of the country in many ways. While other areas might be depressed, businesses here do rather well. We’re located in a kind of buffer zone.

In 1990, a credit crunch was plaguing the nation, but employment held strong here and the North Country was not affected as adversely as most areas. Our shopping centers were doing well, with healthy gains for most stores thanks to our Canadian visitors. This area was unique in that respect as Clinton County was only one of two counties in the state with a rise in sales tax revenues.

A fuel crunch was adversely affecting the trucking industry and crossing the border into Canada was described as “not an easy process.” The high cost of fuel was viewed by many as the single most negative factor in this area.

Access to money, or the lack of it, was seen as a problem in 1990 and has been a theme that has repeated for 20 years.

The question of a possible merger between the City and the Town of Plattsburgh was discussed then and continues to come up today. The Plattsburgh mayor said back then that merging would create “an economic force unparalleled in New York State.”

And it was agreed that, “Government is going to be a bit leaner when this economic cycle is through.”

On a more positive note, those first participants concluded that our location will allow us to reap the benefits of the U.S./Canada Free Trade Treaty and the Canadian Goods and Services Tax. Our proximity to Canada has always been considered a tremendous asset and it was agreed then (and now) that we need to help more Canadian companies to locate in this area.

Another idea that has surfaced several times since 1990 is the tremendous need for a conference center in the region.

Several community leaders predicted that the coming of natural gas would be a huge plus.

Participants at the first Forum, and at many since, agreed that we have a lack of skilled trades-people and something must be done to turn that around.

Another theme from 20 years ago that remains on the front burner is health insurance and the cost of Medicaid. In 1990, it was described as a “spiraling cost that is out of control with no mechanism to change it.”

The airline industry was a topic at the first Forum and some participants insisted that the area needed expansion of air service. However, one businessman stated flatly, “Currently the area is being well served by its existing carriers.” Hmmmm.

Among other persistent themes is one calling for a focus on marketing the area. Some have suggested the region must be promoted as a second home for people in Canada and U.S. urban areas. And participants have always agreed that we can attract industry by increasing our focus on training, both in high schools and at the community college level.

You could also take one of the final conclusions from that first Forum and apply it equally today: “People in business here are not overwhelmed by their problems. They have an almost universal confidence in their personal abilities and can weather any approaching difficulties. Clinton County is a good place to live and work and to do business.”

Five Years Later

By the time the 1994 Forum was held and reported in January of 1995, the region had been jolted by the loss of Plattsburgh Air Force Base. However, the best minds present agreed the financial cost would not only be overcome, but that the future was actually very bright. The cultural impact of the loss was seen as greater than the economic one.

Those present agreed it would be necessary to maximize the impact of Canadian investment and that, with improvement in the Canadian dollar, we could expect increased cross-border shopping. Retail sales were up in the preceding year and new development had already resulted in the county increasing its share of the regional market.

Bankers were busy trying to assess the impact of the Base closure. The retail sector announced that further strengthening through consolidation, cost-cutting and other refinement was of paramount importance. Schools would have to deal with the loss of students from the Base and the attendant loss of revenue.

Several participants that year said the tax structure in New York was prohibitive compared to other parts of the country and must be changed to assist further growth. One said, “New York is not user friendly.” That continues to be a recurring theme.

The rising crime rate in the North Country came up in 2005 and was mentioned at subsequent Forums.

Others attending the fifth Forum said Plattsburgh needed to create an identity as a more complete resort. One participant said, “Our Montreal advertising needs to target a broader audience and invite visitors to do more than shop here.”

The Plattsburgh North Country Chamber of Commerce has always been a cheerleader for the area. President Garry Douglas has consistently been an advocate for the region’s needs and what is necessary in order to enhance our image in Canada and the rest of the world.

The digital age, with new ways to communicate and keep records, was heralded in 1995 and is still important today. Keeping up with technology in the banking industry and every kind of business was described as most important.

The Tenth Year Reunion

The tenth anniversary of Strictly Business Forums was heralded in 1999 and reported in the January 2000 issue. Carpenter announced that the year-end get-togethers “have been more successful than we ever dreamed. Views of the past have been insightful and most of their predictions for the future have proven true.”

In retrospect, Carpenter wrote that the initial Forum laid the groundwork for true growth. Its predictions, he said, “were amazingly accurate, including the importance of our Canadian Connection, the idea of promoting the ‘region’ rather than any single entity and the fact that economic development is on the verge of a huge growth spurt.” SB’s publisher said he saw more optimism in the participants than ever before.

During the 10th Forum, Dr. Richard Beach, then-head of SUNY Plattsburgh’s Canadian Studies program and chairman of the Board of Directors of the Chamber of Commerce, asked two critical questions. “How much longer can we in the U.S. have a health care and insurance system that excludes so many people and is so costly?” and “How much longer can we have a border crossing that is so complicated and requires so much paperwork and delay?”

If you were there, you heard Douglas repeat a theme. “We must embrace Montreal. We need to think of ourselves as Montreal’s U.S. suburb.”

And, participants ten years ago underlined the need for us to maximize our opportunities on the Internet.

Border problems arose again as the “number one threat to our prosperity.” A planned “Port of Excellence” was hailed as absolutely essential “to meet the needs of the truck traffic that Customs estimates will double at Champlain by 2005.”

By the end of 1999, PARC, the agency charged with the redevelopment of the former Plattsburgh Air Force Base, had attracted 60 tenants and 1000 jobs. The North Country’s “quality of life” was mentioned as a “prime factor that makes the region unique.”

The subject of the airport was revisited. Talks with regional and charter carriers were ongoing in hopes of bringing additional air passenger service to the region.

The new technology building at Clinton Community College, with its new training classes, was hailed as being “instrumental in providing skilled employees for local businesses.”

The 1998 Ice Storm had a major effect on the area, but Forum participants agreed that it actually helped in the long run by pumping a lot of money into the region’s economy. One politician pointed out, “Disasters spur economic growth.”

Remember Y2K? Although it proved to be a non-event, it also ended up as a positive for this area when many business people upgraded their systems, which made for better record keeping. Also, the impact of so-called e-commerce was called huge. Beach said, “For the first time, the Internet has leveled the playing field for a small community like Plattsburgh.” He added, “I also can’t say enough about the need to get some competition into our local airport.”

The battle between the City and Town of Plattsburgh had sent ripples to Washington with negative headlines and television coverage. One Forum participant said, “It has put us in a very difficult position in a very competitive global marketplace. We’ve got a lot to lose by squabbling.”

At the tenth SB Forum, most agreed we had nearly recovered from the financial loss of the Air Force Base, but several Forum participants expressed the concern that health care reform was essential. A decade later, that topic is still near the top of the list of concerns.

The Chamber of Commerce president insisted, “We must be an effective advocate in the hallways of government.”

Conversion to an alternative energy source was said to be an important issue in 1999. Changes in the former Champlain Center South Mall were predicted to be scene-changing in 2000.

And Then We Hit 15

Business, community and government leaders sat down for the 15th time in December of 2004 and their discussions were published in this magazine’s January 2005 issue.

Carpenter touted the Forums as being “wide ranging, opinionated and consistently optimistic.”

Those sitting around the tables agreed they had seen growth in 2004, but for some, it was difficult to achieve.

The high cost of petroleum products was impacting growth. New digital technology had brought advantages. Once again proposed improvements at the Champlain border crossing were predicted to bring tremendous changes in the coming years.

The work ethic of the average North Country worker was said to have deteriorated in recent years. Business leaders said that must be turned around and we must also put resources into training to keep the good employees we have.

Spotty cell phone service throughout the area was mentioned several times during the Forum. A viable cell phone service network and affordable housing in the area were listed as primary aims.

Employment nationwide was said to be in a recovery mode after the hit it took in 2000.

This area appeared to be about the only one in New York State experiencing business growth at the time of the Forum. The growth was credited to our ability to attract business and to diversify.

Once again health insurance was mentioned as one of the biggest issues facing the North Country.

By then, it was accepted that the new Plattsburgh International Airport would have a tremendous impact on the North Country.

Then-PARC Chairman Dan Wieneke called 2004 a very good year for PARC and added, “We’ve accomplished most of our goals and objectives. The flight line is an area of opportunity.”

The improved exchange rate between American and Canadian currency was expected to help both tourism and the retail sector.

Once again, optimism was the overwhelming theme tempered with concern about over-regulation, overlapping government services and the cost of doing business.

Then-Town of Plattsburgh Supervisor Andy Abdullah said, “I think business in the North Country will continue to do well as long as we don’t have any big disruptions. At some point, I believe government is going to get hit with the retrenching that all levels of the industry have been hit with. I just don’t know when that is going to be.”

We wonder what he would have thought had his crystal ball given him a view of the recession that we are now clawing our way out of.

In Summary

The annual Strictly Business Forum, once just a bright idea, has proven to be one of the most enduring annual events in the North Country. Each year, several dozen business, agency, education, and political leaders gather to share their open and frank insights about the area. This interaction has been a critical part of the well-known ‘Team Plattsburgh’ spirit that has led our region to function cooperatively and effectively in the face crises that have battered and defeated other regions.

In Carpenter’s words, “And that’s good for business!”