1) The Cash Flow Project surveyed residents in Miner County, South Dakota about their spending habits. Analysis of the survey data found that residents spent 10% more of their disposable income outside of Miner County. 2) If 600 residents in Miner County earning $22,000 annually increased their local spending by 10%, it would result in $622,776 more money circulating in the local economy. Factoring in an economic multiplier effect, the total economic impact could be over $7 million. 3) Between 1996 and 1997, as a direct result of the Cash Flow Project, total gross sales in the county increased by $15.6 million, a 41.1% rise from the previous year. The

1. Summit: 09South Haven, MichiganThe Cash Flow Project Friday, November 6, 2009 Randy Parry, President

2. History 1995--two faculty members and two students met with other state community members at SDSU Mini-grant from PRSCR covered expenses FBLA used this as a service project

3. SilentParticipantLeader Staff Facilities Technology Curriculum Students Schools & Community/ Economic Development

4. Create more interest in and understanding of American business Encourage members in the development of projects which contribute to the improvement of home, business, and community Encourage and practice efficient money management Purpose of the Cash Flow Survey www.fbla-pbl.org

5. Students Developed Survey Residents Respond Students Shared Analysis Students Analyzed Data Community Benefited Process

6. Survey Categories Gasoline/Supplies B. Automotive Repairs C. Food/Beverage/Recreation D. Prescription/Medical Supplies E. Groceries F. Clothing G. Gifts H. Lumberyard Products/Hardware I. House wares/Personal Care Items/Other Retail J. Basic Health/Medical Services

7. A. Gasoline- 12% F. Clothing- 7% B. Automotive Repairs- 7% G. Gifts- 4% C. Food/Beverage- 12% H. Hardware- 5% D. Prescription/Rx Supplies- 12% I. House wares- 5% E. Groceries- 24% J. Basic Health- 12% What percentage of your disposable income do you spend on the following purchases?

8. A. Gasoline- 62% F. Clothing- 12% B. Automotive Repairs- 63% G. Gifts- 22% C. Food/Beverage- 44% H. Hardware- 48% D. Prescription Supplies- 42% I. House wares- 29% E. Groceries- 58% J. Basic Health- 46% What percentage of your disposable income do you spend on the following purchases IN MINER COUNTY?

9. Percent increase of total spent = 10% Economic spending factor = 3.1 Number of people = 600 What if?…

10. Income Level = $22,000 Total amount spent in Miner County = $10,379.60 10% increase of buying in Miner Co. = $1,037.96 Total income spent after % increase = $11,417.56 Total increase of all categories = $622,776.00 Projections

11. Total increase of money spent within Miner Co. based on a specific number of people (600) with this income level = $622,776.00 Total increase in disposable spending times the economic spending factor of 3.1 for this income level = $1,930,605.60 Total increase in disposable spending in Miner Co. based on the ten categories for all income levels = $2,302,384.00 Total increase in disposable spending times the economic spending factor of 3.1 for all income levels = $7,137,390.40 Disposable Spending Calculations

12. 1996 Gross sales -- $37,997,374.11 1997 Gross sales -- $53,614,358.60 Gross sales increased $15,616,984.49 Overall increase of 41.1% from the previous year. In Miner County...

13. Selected Survey Results: Income Level $22,000 Total increase in disposable spending*: $1,930,605.60 Number of People: 600 Economic Factor: 3.1 Increase in Local Spending: 10%

14. Miner County Historical Population Trend

15. Miner County Population

16. Miner County Personal Income by Source 1990

17. Miner County Personal Income by Source 2004

18. Is there any hope?

19. Miner County Taxable Growth

20. Howard Sales Tax Revenue

21. Miner County Tax Levies

23. The actual amount of increased gross sales was $15,600,000.

24. It was an overall increase of 41.1% from the previous year.Investing In & Supporting the Local Economy

27. Developing & Building Rural Learning CenterEconomic DevelopmentInvesting In & Supporting The Local Economy

28. Are not understood or underestimated by rural communities Stimulate and create economic growth Impact positively by employing people, accessing capital, exporting products and services Travel beyond the community into the region, nation, and world Import Sourcing of people, jobs, investment vs. outsourcing Economic Engines

29. Renewable Energy Organic Beef Rural Learning Center Telemedicine/Rural Health/Seniors/Retirees School System Miner CountyEconomic Engines

30. Development Corps Faith Community Miner County Heritage Fund County Cities Financial Institutions Community Leadership Council Community Organizations Schools RLC Capacity Building RLC Economic Development RLC Housing Informed,Collaborative Decision-Making

32. Able to Think and Act Creatively

33. Open to redefining “Community Boundaries”

34. Willing to Do Things DifferentlyKnowledge, Ideas & Community-based Perspective

36. 63 Jobs in Howard, SD is comparable to 7875 Jobs In Sioux Falls, SDRenewable Energy Economic Impact

38. County’s Gross Sales and Retail Sales Taxes at all time highs Increase in Tax Base for Community Services Renewable Energy Economic Impact

39. Housing Rentals and Sales Increase Renewable Energy Economic Impact

40. Export based industry= money in, not money out Renewable energy sector brings new individuals to Miner County, and adds to the knowledge economy Renewable Energy Economic Impact

41. Economic Impact Analysis Classes were held to study the impact of Health Care in Miner County IMPLAN Workshop

42. Manufacturing Sectors Income Multiplier Impact Knight & Carver $4,824,272 1.16 $5,623,349 Energy Maintenance Systems $1,507,584 1.16 $1,757,296 TOTALS $6,331,856 $7,380,645 Miner County Renewable Energy Impact on Income

43. Manufacturing Sectors Income Multiplier Impact Knight & Carver 48 1.24 59.6 Energy Maintenance Systems 15 1.24 18.6 TOTALS 63 78.2 Miner County Renewable Energy Impact on Employment

44. Miner County Proportion of Total Personal Income by Source 1990-2004

46. Over $12 million in transfer payments per year

47. Volunteer In-Kind Value “Priceless”

48. Pool For Investment Capital

49. Treasure Chest of Knowledge

50. Support groups—Business, Church, Childcare, etc.

52. Health Sectors Employment Multiplier Impact Doctors, Dentists, & Other Medical Professionals 22.4 1.35 30.3 Nursing Home & Pharmacies 118.1 1.24 146.5 TOTALS140.5 176.5 Miner County Health Sector Impact on Employment

53. Miner County Health Sector Impact on Retail Sales and Sales Tax Collections Retail 1 Cent Health Sector Sales Sales Tax Collection Doctors, Dentists, & Other Medical Professionals $680,999 $6,810 Nursing Home & Pharmacies $1,269,314$12,693 TOTALS $1,950,313 $19,503

54. Transfer Payments are Very Important to the Local Economy! 24 Residents x Social Security Payment ($10,800 Avg) = $259,200 24 Residents x Medicare Payments ($5,900 Avg) = $141,600 Total $ 400,800 For example: Assisted Living Facility Impact

55. Partners’ Fuel $20,978,738 Partners’ Understanding and Collaboration $Priceless Investment In Strategic Plan 2005

56. What you’re seeing here today is what happens when a community comes together and believes in the future of their community. This is an example of what happens when you start the long-term plans and put your resources together. Mike Rounds, South Dakota Governor

57. Thank You! www.rurallearningcenter.org

58. Educate Leaders Economies of Scale vs. Dis-Economies of Scale Time Convergence Companies move in for lower costs Worry that there might not be enough workers Workers move in for quality of life Worry that they will not be able to get a job Community Building a priority Long-Term Strategy & Vision Grassroots Action coordinated with City, State and Federal strategic resources Start Your Community Engines

59. It’s All Connected