Tri-City Area and Real Estate Blog

The Tri-Cities is a metropolitan area in the southeastern part of the US state of Washington, consisting of Benton and Franklin counties. Three neighboring cities are the principal cities for the metropolitan area: Kennewick, Pasco, and Richland. The cities are located at the confluence of the Yakima, Snake, and Columbia rivers in the semi-arid region of the Southeastern Washington. A fourth neighboring city, West Richland, is generally included as part of the Tri-City area and region.

The population of the metropolitan area was 228,992 at the 2007 Census estimates. If the Tri-Cities were a single city, it would be the fourth largest city in the state of Washington, behind Seattle, Spokane, and Tacoma.

The Tri-Cities Airport located in Pasco provides the region with commercial and private air service. Pasco is the seat of Franklin County, while the other cities are located in Benton County.

History: 

Pasco was the first of the Tri-Cities to be incorporated, in 1891. Kennewick was incorporated in 1904, and Richland followed in 1910. West Richland was founded by dissatisfied residents of Richland, who wished to be home owners rather than renters of government-owned houses, after the arrival of Hanford. Despite attempts by Richland to annex the community, they remained separate and eventually became incorporated in 1955.  Pasco was the largest city in the Tri-Cities until the founding of Hanford, mostly due to its railroad station. It also had the most land for easy irrigation and farming. Farming was the basis of virtually every sector of the economy in the early years.

Climate and geography:

The Tri-Cities are in a semi-arid climate, receiving an average of 7 to 8 inches of precipitation every year. Winds periodically exceed 30 mph when Chinook wind conditions exist. There are 300 days of sunshine every year and average temperatures range from as low as 10 degrees F in the winter to as high as 110 degrees F in the summer, and even reached 115 degrees F in July 2006. The region receives occasional snow most years. Thanks to the aforementioned rivers, a large amount of cheap irrigation is available.

Education:

• Current higher education opportunities in the Tri-Cities include: Washington State University, a four-year branch campus of Washington State University located in Richland.
• Columbia Basin College, a mid-sized four-year institution (6000 students). The main campus is located in Pasco while a branch campus and a large nursing school are located in Richland.
• Tri-Tech Skills Center, a smaller vocational school run by the Kennewick School District and located in Kennewick.

Major metropolitan centers in Washington, and most of the nation, have been experiencing thousands of layoffs. However, diversification efforts by TRIDEC and its economic development partners have positioned the Tri-Cities to be able to weather the recent economic recession with just a few scraps and bruises.

A positive influence on the Tri-City economy is the fact that it consists of stable, recession-proof industries that shelter it – mainly food, government and energy production. While construction and financial industries are hurting right now, over-the-year comparisons show the Tri-Cities gained 1,800 nonfarm jobs.

In these times of economic uncertainty, competition for facilities is fierce. This past year, TRIDEC responded to 78 businesses seeking information about the area, from what properties and services are available to demographics and worker availability. Although many companies narrow the list of potential sites in a few months, some cases are managed over a much longer period. The nature of the business means most recruitment is done behind closed doors because of proprietary information, taking hundred of hours that sometimes can end abruptly.

This year, TRIDEC made the final cut on two significant projects. However, when the economic downturn started, many nationwide projects, including those two, were put on hold. Much of TRIDEC’s focus last year went to trying to encourage AREVA to build its new uranium enrichment plant in the Tri-Cities — only to have the company announce it would go to Idaho. While we did not get that particular deal, the good news is that AREVA will continue to be a major players in our community, and our relationship with the corporation remains solid.

TRIDEC employees will continue attending marketing and sales trips outside the state and collaborate with the state’s Community, Trade and Economic Development office on Team Washington trips to market the state.

Whole TRIDEC spends a large amount of time recruiting businesses to the area, our Commerce Appreciation, Retention and Expansion (CARE) division continues visiting existing manufacturing companies in Benton and Franklin counties to determine what needs they have, future plans and how TRIDEC might help them.

Our new public relations committee has been meeting monthly and is focusing on ways to raise the the visibility of the Tri-Cities in media markets both in and out of state. The committee is working with Horizon Airlines to add “Tri-Cities” to the Pasco moniker in all of its marketing materials. Public service announcements have been recorded with local GAP Broadcasting stations entitled “Tri-Cities: The Bright Spot in the State.” And this month, KONA radio began working with TRIDEC on an hour-long call-in radio show.

This past year, we have actively communicated with business owners, senior managers and decision makers within successful, growing companies, and the individuals that assist these firms in new facility decisions. We will continue identifying expansion and relocation candidates, refining our databases and keep concentrating our direct marketing and sales activities geographically.

TRIDEC worked with our congressional delegation on language in a letter sent to the National Guard signed by every member of the state’s delegation and included the governor requesting HAMMER Training Facility be designated as the western regional training center for National Guard Civil Support Teams and related training. Having this designation would not only highlight HAMMER and the Tri-Cities, but also would be good for the state to be identified as the location for their western regional training center.

And Hanford cleanup will be on the receiving end of almost $2 billion in extra funding through the federal stimulus package.

Finally, TRIDEC will continue working with our congressional delegation and DOE headquarters to reach a decision on the Mission Support Contract so we can attain some normalcy out at the site.

Source: Tri-City Herald Progress 2009

Senator says stimulus funds secured easier with region’s reputation for wise spending.

Over the years, the Tri-Cities has built a reputation in Washington for spending government dollars wisely. And that, Sen. Patty Murray said Monday, helped her secure money from the federal stimulus package.

Murray who recently got nearly $2 billion for Hanford cleanup that is expected to create thousands of jobs in the Tri-Cities and spur potential spin offs, spoke at a community reception held in her honor at Columbia Basin College.

Leaders in this community always do their homework, which makes it easier for her to champion the cause of Tri-Citians in Washington, D.C.  “This community is part of building the future of America,” she said.

The depth of available scientific manpower, research capabilities and cutting-edge technologies in the area is drawing a lot of attention, she said. “Now, you’re on the map.”

Smart grid initiatives at Pacific Northwest National Laboratory, biofuel research at Washington State University Tri-Cities and continuing developments at Kennewick’s Infinia Corp. and other local tech firms will help reduce the Hanford footprint and develop resources for a post-Hanford economy, she said.

Energy farms may become the new engine of economic development and job growth in the next decade or so, Murray said.

The Tri-Cities is a community with a lot of strength, said Murray, who received a special plague from the Port of Pasco in recognition of her support for a freight rail project. She also has obtained federal money to assist agriculture and transportation projects.

The community’s potential for further economic growth and the fact this community spends money wisely helped her convince her fellow members of Congress to allocate money for various projects, including Hanford and Ben Franklin Transit despite tight budgets, she said.

Keith Klien, executive director of the Tri-City Local Business Association and the retired manager of the Richland Operations Office of the Department of Energy, was among the crowd of Tri-Citians who thanked Murray for her support.

“Incorporating technology in the post Hanford environment is part of the large-scale vision,” he said.

Source: Tri-City Herald

For the first time since 2000, the Tri-Cities showed an annual loss in jobs, with about 200 fewer jobs reported in March, the State Employment Security Department said Tuesday.

Jobs were lost in construction, wholesale trade and transportation, manufacturing, and leisure and hospitality.

The Tri-Cities’ job loss was mild when compared with losses of 2,700 in Yakima, 7,700 in Spokane and more than 99,000 statewide as effects of the national recession and tight credit set in, said Dean Schau, regional labor economist.

During the year, Tri-City federal jobs remained steady and state government jobs showed a modest increase. Local government also saw a growth of 800 jobs for the same period, Schau said.

Public school districts, which are included in the local government category, increased employment by 4.3 percent, up from 6,476 in March 2008 to 6,759 last month.

“We appear to be relatively an island of prosperity amid a sea of economic despair,” Schau said. “But we’ve slowed down.”

The number of workers in the Tri-Cities–including those who are unemployed — declined from 124,520 in February to 123,880 in March, and the unemployment rate for Benton and Franklin counties increased to 8.9 percent in March, up from 8.3 percent in February.

That means unemployed workers in the Tri-Cities may face a tough time finding a job, Schau said.

But the increase in the unemployment rate surprised Todd Dixon, WorkSource’s area director for Benton and Franklin counties. He said job seekers at WorkSource Columbia Basin declined in March compared with the previous two months. Also, a relatively good number of jobs were available, he said.

Dixon said he’s also optimistic about growth in employment opportunities as more federal economic stimulus money flows into the Tri-Cities.

Schau echoed that thought. He said the almost $2 billion coming in stimulus money for Hanford projects will help create thousands of jobs and potentially revive the area’s housing market and retail sector.

Meanwhile, state job numbers show the retail sector added about 100 workers in March for a count of 11,100, and education and health services also jumped by 100 to 10,300.

Professional and business services also gained about 100 jobs in March, bringing the number of workers in that section to about 21,000. Administrative and support services increased 200 workers to a total of 9,900 in March.

Food services jobs remained constant over the month, but over the year the sector added about 100 jobs. The leisure and hospitality sector lost about 100 jobs over the year, but gained about 100 in March over February.

Schau said leisure and hospitality was boosted by visitors from elsewhere in the state as well as many Tri-Citians spending money locally. The sector employed about 8,600 workers last month.

Dixon said WorkSource has a few job orders for restaurant workers, and landscape workers are needed for projects that will become available in late spring.

In the agriculture sector, growers hired 8,500 workers in March from the local labor supply, Dixon said. More seasonal ag jobs will open as food processing production ramps up.

Dixon said he expects a lot of general workers will be needed at Hanford together with skilled craftsmen as the federal stimulus work begins. That will allow unemployed construction workers to rejoin the work force, he said.

The additional economic activity in the Tri-Cities also may help the wholesale trade, transportation and warehousing sector, where the number of jobs declined from 16,200 in March 2008 to 15,300 last month, Dixon said.

Source: Tri-City Herald

Kennewick, Pasco and Richland will receive almost $1.3 million in grants for energy efficiency and conservation projects from the American Economic Recovery and Reinvestment Act.

“The jobs this funding creates in construction and energy development will be a much-needed boost to local economies,” said Sen. Patty Murray, D-Wash., in a statement.

Kennewick will receive $589,700, Pasco will receive $495,500 and Richland will receive $204,300, they learned Thursday.

The money is part of $56 million to be awarded to Washington and some of its counties and cities. “Local leaders will have the flexibility in how they put these resources to work,” said vice president Biden.

Cities receiving the money based on their size and energy use under the Energy Efficiency and Conservation Block Grant program must submit plans on how they would use the money.

After they receive the money they must report to the Department of Energy the number of jobs created or retained, energy saved, renewable energy capacity installed, greenhouse gas emissions reduced and funds leveraged.

“City, county and state governments are ready to step up and address our country’s significant energy challenges, and these funds will allow them to do that with dividends for years to come,” said maria Cantwell, D-Wash., in a statement.

The block grants were authorized as part of the Energy Independence and Security Act of 2007. The money is intended to be used for projects that reduce total energy use and fossil fuel emissions and improve energy efficiency.

Money can be used for a wide range of projects, including transportation projects that conserve energy. That could include bike lanes, pedestrian walkways and synchronized traffic lights.

Cities can choose to spend the money to install renewable energy technology in government buildings, such as solar power or light emitting diodes.

Pasco is working to identify potential energy savings in city buildings, said City Manager Gary Cruthfield, adding department managers have been asked to look for possible ways to save energy.

Money spent now should yield savings for years to come, Cruthfield said.

As the weather warms up, so should the Mid Columbia housing market!

Home sales in the Tri-Cities took a dip along with the temperatures in November, and the real estate market remained rather chilly throughout winter. But with the government stimulus package expected to create thousands of new jobs in the Tri-Cities, Tri-City Association of Realtors president Glen Clark says the housing market could heat up considerably this spring and summer.

“We have very few vacancies in the apartments and rental housing, and we’ve got about 1250 homes for sale on the market. You bring three thousand jobs into a community our size, it’s going to be interesting on where these folks are going to live.”

With interest rates at historic lows, the realtors association says the spring hopes eternal for both home buyers and sellers.