Author: Press Room

Montana Highlights June 15 2020

23 June 2020
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Cost to rent a cabin or campground at 12 rental cabins and two campgrounds in the Flathead National Forest have increased. Existing rental fees in the Flathead National Forest have not been changed for over 15 years

Neuro-ID, the Whitefish technology company that provides insight into customer behavior during digital transactions is growing. The company just started a global partnership with TransUnion. The company has moved into a new office space on Wisconsin Avenue in Whitefish.

The Red Lodge Home of Champions Rodeo has been canceled for the first time in its history. The rodeo dates back to the 1890s.

Burlington Northern Santa Fe Railway’s announcement to close the Glendive Diesel Shop has left several questions unanswered by BNSF. What jobs will remain after the diesel shop closes, what will happen with local railroad facilities and how will BNSF handle abandoned spur lines are some of the unanswered questions.70 BNSF positions will remain in Glendive, though the railroad would not provide information as to what departments they will fall under.

Oasis Petroleum started the year with two rigs in the Williston Basin and two in its acreage in the Delaware. The company has completed 18 wells in the first quarter of 2020, and brought six online. These wells helped it cut first quarter spending below expectations.

Golden Ticket Cinemas Butte 6 theatres opened on June 12 in the Butte Plaza Mall.  AMC theaters closed their doors in Butte on Feb. 20. Golden Ticket has theater complexes in Dubois, Pennsylvania; Lenoir, North Carolina; Scottsbluff, Nebraska; Washington, North Carolina; Willmar, Minnesota; and Rapid City, South Dakota.

The Gallatin City-County Health Board has voted to open poker rooms and allow people to sit at bars while maintaining 6 feet from other patrons. Those businesses can stay open until 12:30 a.m. Distilleries and breweries can seat people at countertops under the same rules but are

Small businesses across the nation have been severely hurt by the COVID-19 pandemic, but the impact in North Dakota has not been as great, according to U.S. Census data. Over the four weeks of data, the percent of North Dakota small businesses reporting a large negative impact has been lower than the percentage nationwide. North Dakota businesses were likely to report moderate impact, and were more likely to report little to no impact as compared to other areas of the nation. Nationally, 51 percent of small businesses reported large negative impacts for the week ended May 2, but only 40 percent of North Dakota businesses reported large negative impacts.

Beginning the first week in July, Delta will suspend its daily flight into Williston, ND. The US Department of Transportation exempted Delta Air Lines under the CARES Act from having to fulfill its obligation to provide one flight a day three days a week. Delta currently operates once daily service from the Williston Basin International Airport to Minneapolis, MN. 

After a winter hiatus, Blink Rides E-scooters have returned to Bozeman. The scooters are made available at convenient locations. An app uses a bluetooth connection to unlock the scooter and pay for it. The scooters charge an initial fee for the first minute and then continue to add on for every minute afterwards.

Kels Koch has opened the Wax Museum in Bozeman, a record shop selling vintage vinyl and other hard to find music. Koch reported that for the first time since 1986, vinyl is poise to outsell CDs.

Sara and Dustin Harmon are expanding their Montana based business to Williston by opening a tasting room in August or September. The Harmons created Wild Calf Coffee in 2017. They roast, package, and ship their products from Bainville, and they are sold in grocery and gift stores  throughout North Dakota and Montana.

Kart Kleen in Missoula is an emerging new business of Jason Gardiner, who has developed a machine to clean shopping carts. Gardiner plans to have the machines in stores throughout the state.

KLJ, an engineering firm, announced that Mike Hinshaw has been promoted to Market Manager for the company’s water market. In his new role, he is responsible for executing business development strategies to best serve current and future clients’ needs. Hinshaw, who works from KLJ’s Bozeman location, has been with the company since 2019. He previously served as a civil engineer focusing on a variety of projects, specifically with extensive experience in hydraulic design.

KLJ announced that Tim Uribe, project manager and project delivery manager, out of KLJ’s Helena office was recently recognized with the Patriot Award from the Employer Support of The Guard and Reserve. The award recognizes supervisors for support provided directly to the nominating service member and their family. Ben Aarhaus, nominated Uribe, his supervisor, for the award for his support during recent events in which Aarhaus’ wife was deployed. LTC Alyssa Aarhaus is the Battalion Commander of the 193rd Military Police Battalion and Task Force Commander of the Colorado National Guard’s Task Force organizing an Alternate Care Facility to slow the spread of COVID-19.

The Helena-Lewis and Clark National Forest’s update to its forest plan predicts the forest will contribute about 2,000 jobs in the next 10-15 years. Forest plans are overarching documents that drive management of forest lands.

The Bozeman airport is seeing a record low for passengers. Brian Sprenger the Airport Director said he believes that the Bozeman airport has been the most impacted in the country. While on a typical day, the Bozeman Yellowstone International Airport sees an average of 44 departures and 44 arrivals, with as many as 5000 people moving through the airport, the daily traffic has been closer to 50 during the COVID-19 shutdown. The lower traffic as in all cases means economic losses for the community. Sprenger estimated that the loss for southwest Montana amounts to $1 billion.

Missoula County Commissioners have approved a resolution that outlines a plan that would re-establish the North Coast Hiawatha railroad service through southern Montana. Amtrak operated the routed from 1971 to 1979. It included Miles City, Billings, Livingston, Bozeman, Helena, Missoula and Paradise, among other communities. It originates in Chicago and ends in Sand Point, where passengers may continue on to either Portland or Seattle. To be called Big Sky Passenger Rail Authority, its organizers are seeking the support of other counties. If another county approves the resolution, the authority would be established.

One business that is closing in Butte due to the COVID-19 closures is a gift shop on Main Street, Beautiful Butte and Beyond, which has been selling everything from t-shirts to mugs and homemade signs – mostly made-in-Montana items — for the past four years. The business was owned by Pat Campbell, who says she hopes to continue business through her website.

A brother and sister in Manhattan have opened an outdoor theater in response to the COVID-19 social distancing restraints to great success. Porter Blanchard, a Manhattan High School Senior, essentially started his own business because they were “super bored” with the quarantine. They had an empty pasture and a big screen and utilizing the car radio for sound and some spray paint to mark parking spaces, and began an open air theater. They attract 20 – 30 vehicles each night. It’s called “The Pasture Drive-in Theater.”

Public access to NorthWestern Energy’s property at Hauser Dam will be controlled to primarily daylight hours beginning in November. The change in public access is to mitigate illegal activities occurring in the area at night, including underage use of alcohol, drug use, etc. These activities create a risk to public safety, interfere with recreational uses in the area, and in some cases threaten residents

Emergency Fund for Businesses

23 June 2020
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Drawing upon the $1.5 billion that the federal CARES Act extended to Montana to deal with COVID-19 crisis impacts, the state has established a $123 million emergency grant program for small businesses, non-profits and individual impacted by the shutdowns and safety protocols.

The Governor announced nine programs that will be available to businesses, social service nonprofits, farms and ranches, emergency housing and food bank assistance, telework and seniors.

The grants addresses needs identified by the state Coronavirus Relief Fund Advisory Group, which was appointed by the Governor.

Organizations that haven’t yet received federal relief loans will be given priority by the Department of Commerce which is administrating the program.

Businesses and non-profits should prepare tax ID, proof of business registration, a brief description of the proposed project and covid-19 impacts.

The Montana Business Stabilization Grant program will provide working capital for Montana-owned small businesses with 50 or fewer employees that have sustained a loss of revenue due to COVID 19. Current funding available is $50 million, the maximum award amount per business is $10,000.

• The Montana Innovation Grant program is intended to help companies scale up, improve capabilities, or drive expanded distribution of products or services developed in response to COVID-19. Non-profit and for-profit businesses of less than 150 employees with primary operations in Montana that have created an innovative product or service intended to directly confront the COVID-19 emergency can apply for grants of up to $25,000. Current funding available is $5 million.

• Montana Food and Agriculture Adaptability Program grants are available to food and agriculture businesses to help increase community resilience amid the economic disruptions. Current funding available is $500,000, with a maximum grant award of $10,000.

• Emergency Housing Assistance Program will provide rent, security deposit, mortgage payment, and/or hazard insurance assistance as-needed for Montanans who have lost a job or substantial income loss of the economic shutdown. Initial payments may include up to three months assistance where the eligible household can demonstrate arrears for April and May, with continuing inability to make their June payment. Montana Housing will pay the difference between 30 percent of the household’s current gross monthly income and their eligible housing assistance costs, up to $2,000 a month. Household income limits range from $75,000-$125,000 based on family size. Montanans receiving other forms of housing assistance are not eligible. Total funding available is $50 million.

• Public Health Grants are available to local and tribal health departments and urban tribal clinics and to meet the needs of their communities. Each organization is eligible to apply for funding. Current funding available is $5 million.

• Stay Connected Grants ranging from $500-$2,000 per applicant are available to reduce social isolation among Montana’s seniors. Eligible applicants include area agencies on aging, assisted living facilities, nursing homes, and tribal elder services. Grant funds can be used to fund technologies and other efforts to encourage physically distant forms of social interaction for elderly Montanans. Current funding available is $400,000.

• Food Bank and Food Pantry Assistance of up to $50,000 per applicant are available to increase food security for Montanans. Eligible applicants include community organizations providing food assistance to Montanans with limited resources, food banks, food pantries, community cupboards, and entities with infrastructures already in place to begin new food distribution programs. Current funding available is $2 million.

• Social Services Nonprofit Grants of up to $10,000 per applicant are available for nonprofit organizations impacted by the COVID-19 public health emergency to retain existing programs and services, employees, or organizational viability for provision of future services and operations. Eligible applicants are registered, Montana-based social service nonprofits that were operating prior to February 15, 2020. Current funding available is $10 million.

• Telework Assistance Grants of up to $1,000 per individual will go towards purchasing equipment to assist Montanans with disabilities access telework equipment. DPHHS will partner with a local non-profit organization to assess and support assistive technology needs of individuals with disabilities. This assistance will help people with disabilities have the equipment needed to adapt to the change in working environment due to required protocols. Current funding available is $650,000.

Economic Update Scheduled

23 June 2020
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The annual mid-year economic projections for Montana sponsored by the Montana Chamber of Commerce will be held in Billings on Tuesday, July 28 at the Northern Hotel, 7 am.

Across the globe, businesses are faced with uncertainty, creating critical challenges. More than 100,000 American small businesses have already closed their doors permanently. An estimated 7.5 million more are at risk of permanent closure. Retail companies on bankruptcy watch lists are growing daily. Some claim this as the worst economic crisis since the 1930’s depression. The business community is closely watching global markets in a quest for answers; to alleviate some of the uncertainty.

Economic insight regarding the issues that prevail will be given by the Bureau of Business and Economic Research at the University of Montana, with brief The event is presented in multiple cities each year. The program lasts approximately one-and-a-half hours.

The program will also be presented on July 28 in Bozeman, 12 pm at the GranTree; and in Butte at 4 pm at NorthWestern Energy.

It will be presented on July 29 in Helena, 8 am, at the Great Northern; and at 12 pm in Great Falls 12 pm at Montana electric Cooperatives Association.

On  July 30 it will be held in Missoula, 8 am, at the Holiday Inn Downtown; and in Kalispell at 2 pm at the Hilton Garden Inn.

For details and to register go to : www.montanachamber.com/ events/ economic- outlook- seminar/

Associations Collaborate to Fill Education-to-Industry

23 June 2020
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The Montana Contractors Association, MCA Education Foundation and the Montana Equipment Dealers Association have developed a joint action plan and strategy, Build Montana, to address the immediate and long-term workforce challenges of the construction industry. Build Montana is a strategy to create a bridge between workforce and industry, and to increase the pipeline of people entering the construction industry.

“Interest and awareness of the strong career paths available in the industry is at a point where many young people are either unaware or discouraged from a construction trade career path,“ said MCA President Bob Warren (Schellinger Construction). “In order to change these perceptions and misunderstandings, it will require industry to actively engage with schools, teachers, administrators, parents and their communities.“

This program is being created as the result of several factors that have impacted hiring and workforce sourcing in the construction industry over the past few decades. In addition, the events surrounding COVID-19 resulted in construction being declared an essential service, and thereby creates opportunities for adults who want to change careers.

“We intend to aggressively build awareness among Montana youth about rewarding careers in the construction industry, focusing on Montana youth, families, teachers and school administrators,” said Adam Gilbertson, MEDA President (RDO Equipment Co.). “We will also focus on onsite internships that give high school students real-life exposure to careers. Finally, we want to fill the pipeline to Montana’s 2- and 4-year technical degree programs.”

Build Montana has developed an implementation strategy which includes:

1. Contract with an individual or firm to build relationships with students, teachers and administrators. The individual will create partnerships between local contractors and dealers to engage with schools and represent the industry at school-based events, teacher, administrator and school board association meetings. The MCA is actively seeking a highly qualified individual or organization with whom to contract. Details can be found here: https://www.mtagc.org/lets-build-mt.html

2. Implement a marketing campaign which includes a new web site, social media campaign, podcasts, and promotional material.

The MCA and MEDA have committed to a $225,000 campaign over the next 18 months. The MCA’s Education Foundation, a charitable organization, will serve as the fiduciary agent, making contributions to Build Montana deductible as a contribution. The expected launch for all components is July 1.

For more information contact David Smith at the MCA, david@mtagc.org 406-442-4262.

NFIB…

22 June 2020
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Business Owners Optimistic

Business owners are optimistic about future business conditions and expect the recession to be short-lived, announced the National Federation of Independent Business (NFIB) last week.

The organization’s Small Business Optimism Index increased 3.5 points in May to 94.4, a strong improvement from April’s 90.9 reading. Eight of the 10 Index components improved in May and two declined. The NFIB Uncertainty Index increased seven points to 82. Reports of expected business conditions in the next six months increased 5 points to a net 34%, following a 24-point increase in April.

Said Montana State Director for NFIB Director, Riley Johnson, “It’s very encouraging to see eight of 10 index components having improved over the previous month’s findings, especially in the plans to increase employment and in the plans to increase inventory categories. It’s important to remember that this poll was taken before last Friday’s signing of the federal law giving more flexibility to small-business owners who took out Paycheck Protection Program loans. I see more than just a glimmer or two of hope for an improving economy, and, coronavirus willing, a speedier recovery than originally thought.”

NFIB Research Center has collected Small Business Economic Trends Data with Quarterly surveys since 1973 and monthly surveys since 1986. The sample is drawn from the membership files of the National Federation of Independent Business (NFIB). The SBET is one of the few archival data sets on small business, particularly when research questions address business operations rather than opinions. Today, it’s the largest, longest-running data set on small business economic conditions available.

“As states begin to reopen, small businesses continue to navigate the economic landscape rocked by COVID-19 and new government policies,” said NFIB’s Chief Economist Bill Dunkelberg. “It’s still uncertain when consumers will feel comfortable returning to small businesses and begin spending again, but owners are taking the necessary precautions to reopen safely.”

Real sales expectations in the next three months increased 18 points to a net negative 24%. Expectations about future sales are beginning to rebound after April’s lowest reading in survey history of a net negative 42%.

Fifty-two percent reported capital outlays in the last six months. Of those making expenditures, 35% reported spending on new equipment (down one point), 20% acquired vehicles (down one point), and 15% improved or expanded facilities (up two points). Five percent acquired new buildings or land for expansion and 10% spent money for new fixtures and furniture.

Twenty percent of owners are planning capital outlays in the next few months. Any extensive damage from recent protests will produce significant expenditures that were unexpected for some small business owners.

A net negative 19% of all owners (seasonally adjusted) reported higher nominal sales in the past three months, down eight points from April. Retail sales have declined significantly in the past three months. Consumer income was up significantly due to government programs assistance, but consumers, for the most part, could not get out to spend it unless they spent it online. The change in spending behavior produced a record-high savings rate of 33%. As the economy opens, this money will be spent.

Other key findings from the survey include:

—Earnings trends declined six points to a net negative 26%. Among owners reporting weaker profits, 46% blamed weak sales, 12% blamed usual seasonal changes, 9% cited price changes, 4% cited labor costs, and 4% cited material costs.

—Five percent of owners reported thinking it’s a good time to expand, up two points from April.

—The net negative percent of owners expecting higher real sales volumes improved 18 points to a net negative 24% of owners.

—A net 14% (seasonally adjusted) reported raising compensation (down 2 points) and a net 10% plan to do so in the coming months (up 3 points).

As reported in last week’s monthly jobs report, the small business labor market weakened further in the February-April period, with May survey respondents reporting reducing employment by 0.17 workers per firm in the prior three months. Most of the workers that were displaced (about 80%) expect to be rehired according to the Bureau of Labor Statistics. However, generous unemployment benefits are making it harder for some firms to re-call workers and fill open positions.

Airlines Require Masks

20 May 2020
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The airlines that operate at the Billings Logan International Airport began requiring that all passengers wear a face mask from the check-in process until they deplane. The order comes from Delta, United, Frontier, Alaska and American. Director of Aviation and Transit, Kevin Ploehn, said, “  For the future, this will be the new normal, and frankly, if the airlines are going to entice folks back into the sky they need to do this so people can feel safe.”

Living in MT Can be a Good Deal

19 May 2020
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Business.org compared median salaries to the cost-of-living in each state to find which states are the best (and worst) for affording housing costs. 

They found that: 

* In Montana, it takes 41.5 hours to afford the median one-bedroom rent at $700 per month. 

* Montana ranks #6 for having the best wages compared to cost of living in the US. 

* The median salary in Montana is $35,080. 

Higher Crude Oil Prices Projected

19 May 2020
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From Oil Patch Hotline

Two major Wall Street banks are projecting higher prices for crude oil later this year because of production cuts by OPEC and hundreds of wells shut down in leading oil producing states of Texas and North Dakota.

UBS sees Brent rising to $43 a barrel by the end of the years because of lower prices and rising to $55 a barrel by mid-2021.

Goldman Sachs upped its Brent forecast from $52.50 to $55.63 a barrel  and raised West Texas Intermediate crude from $48.50 to $51.38 a barrel for 2021.

“Oil production has started to decline quickly from a combination of scale back in activity, shut-ins and core-OPEC/Russia production cuts. Demand is also beginning to recover from a low base, led by a restarting Chinese economy and increasing transportation demand in developed market economies,” Goldman Sachs said.

“We still expect oil demand to contract strongly this quarter, though not as much as we did before; we now estimate minus 15 million barrels per day  year on year for the second quarter, versus minus 20 mbpd previously,” UBS said.

The bank expects global oil supply to contract by nearly 6 mbpd year on year in the second quarter, citing forced production shut-ins in North and South America as current low price environment fails to cover operating costs.

During early trading May 6 the New York Mercantile Exchange, WTI had risen to $23.62 a barrel and Brent was up to $29.81 a barrel.

County Gets Grant for Cyber Security

19 May 2020
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Yellowstone County’s Disaster & Emergency Services Coordinator K. C. Williams has received a letter from the Department of Military Affairs for Montana announcing that his application for a grant to improve cyber security for Yellowstone County has been approved.

Official notification will probably not come until about September, said Williams, but at least tentatively the Senior Advisory Committee and the Homeland Security Advisor has selected Yellowstone County’s Cyber Security project for inclusion in Montana’s application to the Department of Homeland Security and FEMA for fiscal 2020. (Emergency services in Montana operate under the auspices of the Department of Military Affairs.)

The $75,000 grant will allow the county to make the needed improvements in a more complete, holistic approach than the phases that the county would otherwise have had to pursue. The end results will be much better, said Williams, and it won’t have to be funded by Yellowstone County taxpayers.

A few months ago, Jeff Slavick, Director of Information Technology in Yellowstone County, submitted a proposal to County Commissioners to begin the process of updating the county’s cyber security which he said was woefully inadequate. Upon learning this, Williams pointed out that improving cyber security of government agencies was a high priority of Homeland Security and they were making grants available.

Williams submitted an application for Slavick’s proposal. Some security the county has to provide by law, but much of it is just matter of good stewardship.

“It is just a better idea to be more secure” with all of the county’s electronic documents and data storage, said Williams, explaining that the county interacts with a lot of government agencies, as well as the civilian population, all of which are subject to potential cyber threats.

The grant will probably have an effective date of October 1. Williams said that he expects that the federal government will require that the project be completed within a year from the effective date.

Brenna Moloney Joins Firm

7 May 2020
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KLJ Engineering welcomed Brenna Moloney to their Billings office.

Brenna Moloney

Moloney joins KLJ as an archaeologist. She earned a master’s in archaeology from Wayne State University, as well as a master’s in geography from Eastern Michigan University. She has ten years of experience in cultural resources.