Entrepreneurship in Connecticut Among Nation’s Top 15

The rate of entrepreneurial activity in Connecticut in 2011 was .34% - ranking at number 15 (tied with Arkansas and Louisiana) among states.  Tops in the nation was Arizona at .52%, California at .44%, Colorado at .42%, Alaska at .41% and Nevada at .39%   The bottom dweller?  West Virginia at .15% Across the nation, the rate of new business creation dipped during 2011 and startup founders remained more likely to fly solo than employ others, according to "Kauffman Index of Entrepreneurial Activity," a leading indicator of new business creation in the United States published annually and released this month by the Ewing Marion Kauffman Foundation.

The Index shows that 0.32 percent of American adults created a business per month in 2011 – a 5.9 percent drop from 2010, but still among the highest levels of entrepreneurship over the past 16 years. The quarterly employer firm rate also remained essentially flat from 2010 to 2011 at 0.11 percent. Entrepreneurship growth was highest among 45- to 54-year-olds, rising from 0.35 percent in 2010 to 0.37 percent in 2011. The youngest group (aged 20 to 34) also showed a slight increase.

Quality of Life Diminishes for CT's Latino Community, Study Reveals

A newly completed comprehensive statewide survey of Connecticut’s Latino population reveals a community increasingly under siege from the economic downturn and diminished prospects for progress in critical areas including jobs, education and healthcare.  The study, for the state's Latino and Puerto Rican Affairs Commission (LPRAC)  points to “declines in socio-economic conditions in most areas,” including key aspects of daily life where the “declines are significant.”  Among the findings:

• Nearly two-thirds of all respondents indicated there was a time when they wanted to pursue additional education but could not because of cost.
• Concerns regarding discrimination remain strong, as respondents said they have felt discrimination in the workplace (38%), when pulled over by law enforcement (35.4%), when job seeking (31%) or when seeking housing (27.5%) or a loan (21.3%).

• When asked to rate the Connecticut court system on delivering justice in a fair manner, only 22.3% offered a positive rating, while nearly twice that number - 43.2% - provided a negative rating.
• As for their views regarding their local police department, 39.5% provided a positive rating as “treating people with respect” while one-third (32.8%) provided a poor rating.
• Regarding their overall quality of life, 28.3% said that when compared with two years ago, it was either “the same, but poor” or “worse.”  That is double the percentage offering those responses in 2007 (14%).
• Those who said they were “unemployed” or “looking for work” totaled 12% - more than double the percentage (4.8%) in 2007.
• The number of people holding 3 jobs quadrupled to 2.9%, from 0.7% in 2007 and 0.5% in 2002.
• Among those who own their own business or would like to do so, less than half (42.4%) indicated they would know where to go for advice or financial help to begin or expand a business.

CT Top State in Integrity, Income; Bonds Rated

At just about every turn this week, Connecticut was scored and rated: The state received an 87%, good for a B+ and second only to New Jersey among the 50 states, as rated by the State Integrity Investigation. The investigation, headed by groups Global Integrity, Center for Public Integrity, and Public Radio International, looked into 330 different “corruption risk indicators” which led to a final corruption risk grade for each state. The 14 categories focused on transparency, public access to information, ethics, judicial accountability, redistricting, and other areas. Grades reflect the structures in place to prevent corruption, and the degree of access that the public has to them. Only four states received a B or higher, while no states scored an A, and 8 states received F’s.

State personal income rose an average 5.1 percent nationwide in 2011 after rising 3.7 percent in 2010, according to estimates released by the U.S. Bureau of Economic Analysis. State personal income growth ranged from 3.4 percent in Maine to 8.1 percent in North Dakota. Connecticut's per capita income grew 10^th fastest in the country, increasing by 4.9 percent in 2011, faster than the nation as a whole.  According to a preliminary estimate Connecticut remains at No. 1 in per capital income, far ahead of No. 2 Massachusetts. Connecticut's per capita income is more than $15,000 higher than the national average.

The bond rating agency Fitch, has rated Connecticut's  $555 million General Obligation bonds - schedule to be sold in mid-April - as "AA" with a stable outlook. The agency said the rating reflects the state's "vast wealth and income resources, tempered by a relatively high burden of debt and retirement liabilities. The slow and uneven pace of the economic recovery is affecting the pace of revenue growth and the state's ability to quickly recover from the downturn."

Elm City Market Praised in White House Blog

In a post on the White House blog authored by Kathleen Merrigan, Deputy Secretary for the U.S. Department of Agriculture, New Haven's Elm City Market received high marks.  The local store is highlighted for demonstrating "just how much progress our country is making when it comes to healthy food access." The blog goes on to point out that "in New Haven, Connecticut, a city where one in four people live in poverty, a Business and Industry Guaranteed Loan from USDA helped construct the first full-service grocery store in the inner city in 2011. Elm City Market created 100 new jobs for local residents with salaries starting at twice the minimum wage.  But the community didn’t stop there: the store is sourcing over half of its products from producers within 200 miles of the city. "

And the concluding update... "The store reports brisk business, serving community members that previously lacked access to the products grown just miles away from them."

Proposal Extends Access to Care4Kids Benefit for Unemployed

Connecticut Voices for Children, a statewide public education and advocacy organization, has testified in support of a legislative proposal that would extend the eligibility period for individuals in the state’s Care4Kids program - for parents looking for work after a job loss - from two to six months. In supporting the measure, Voices pointed out that in 2010, 64 percent of Connecticut’s unemployed workers were out of work for 15 weeks or more, and half of all unemployed workers where looking for work for 27 weeks in  2009 and 19 weeks in 2008.  The average job search in Connecticut in 2010 lasted 36 weeks, up from 26 weeks in 2009 and 19 weeks in 2008.  The data for 2011 has not yet been compiled.

New London Main Street Brings Jobs, Economic Growth

The organization "New London Main Street" reports a 22 percent increase in net new jobs and a 25 percent increase in net new businesses between June 2007 and December 2011, despite the national recession.  Over that same period, there was a 44 percent increase in investment downtown - about $50 million - most of which came from the private sector (92 percent).  The positive numbers, appearing in a recent article published in The Day of New London and authored by John Simone of the Connecticut Main Street Center, underscore the effectiveness of policies that promote and encourage comprehensively managed downtown revitalization. New London Main Street is a nonprofit ( (501 ( c ) ( 3 ) ), volunteer-driven organization committed to revitalizing New London's historic downtown. The organization's goal  is to build community through activities and programs that enrich the cultural fabric, preserve and enhance historic streetscapes and support and expand the economic base of the city center.

Property Tax 41, Income Tax 33

Where does your tax dollar go if you live in Connecticut?  A full 41% to local property taxes, 33% to the state income tax, 15% to the state sales tax, 4% to Connecticut corporation income taxes and 7% to an array of other state taxes.  The data, from the Connecticut Conference of Municipalities, will be part of the conversation as the 2012 state legislative session convenes.

New Haven's Economic Resilience

With 77,080 jobs, the city of New Haven has the second highest concentration of jobs in Connecticut (and the highest percentage of growth in recent years).  Interestingly,  approximately 7,500 individuals are considered freelance or self-employed workers, a group often hard to identify and quantify, according to a study by DataCore Partners LLC.  New Haven's Economic Development Commission says these include creative sector professionals, academic telecommuters and consultants in a wide array of fields with clients throughout the region.  All of which contributes to what is described as New Haven's "resilience through a recession."

Travel and Tourism Boost Economy and Employment

Connecticut's Department of Economic and Community Development - launching initiatives to promote tourism and advance the arts in Connecticut - indicates that the state reaps $11.5 billion every year through total traveler and tourism revenue and $1.15 billion in state and local tax revenue, according to the most recent analysis conducted by UConn's Center for Economic Analysis.  They report that travel and tourism create more than 110,000 jobs statewide, approximately 6.5% of Connecticut's total employment.