Greetings,

 I’ve been chatting with folks for awhile that we could do more to attract businesses to North Central Washington.  As you know, our quality of life can be a huge draw to attract companies to the area.  The easiest companies to attract to the area are startups, who aren’t as established in a given area. 

But, one of the things that is missing is that we don’t have an active community of angel investors to help support promising companies.  Since that is not something that government entities can, or should be, doing it needs to come from the private sector.

When I lived on the other side of the mountains, I was active in the Puget Sound Venture Club.  With the help of the founder of that club, I am working to see if I can get a group of interested investors to form an angel investment group in North Central Washington. If done correctly, a group like this can provide a tremendous boost to business development in the area.  Some of the other groups in the Seattle area include:  Alliance of Angels and the Zino Society.

I would need a minimum of 20 members to form a viable group.  The maximum is also limited to 35 members at this point.  I want to personally call and invite potential members to an organizational meeting in early December so we can start receiving pitches from startups early next year.  From this group I would like to ask for some names and phone numbers of potential members that I can invite.  I already have a list started, but if each of you could send me three to five names of good potential members, we could have an angel investment club in North Central Washington.

Here is a link to the beginning web site of the North Central Washington Venture Club: http://www.ncwventureclub.org/

Sponsorships also help defray the costs of running a club.  On the other side of the hills, banks, attorneys and financial firms are all common sponsors.  Please let me know your due dates for requests for funding and I will get a proposal into your organizations, if appropriate (chambers, port, GWATA) as well.  When chatting with folks at possible business sponsors, please feel free to put in a good word about potentially sponsoring this effort.  Also, please forward this to others you think should be aware of it.

Thank you for looking at this.  It could become a wonderful asset to our area.

NCW Venture Club

Al Lorenz
509-630-6769
877-822-3271 fax

 EMMY AWARD WINNING STARS ON ICE

Launches 2012 “Love ‘n’ Life” Tour

Headlined by a Select Cast of Olympic and World Champions 

The Premier Figure Skating Tour Brings Its New Production

Co-Directed and Choreographed by Skating Superstar Kurt Browning

to theTownToyotaCenterinWenatcheeon Sunday, February 26 at4:00 p.m.

Tickets On Sale Now!

Wenatchee, WA – The world’s premier figure skating tour, Stars on Ice, has brought together a superstar ensemble of Olympic, World and National Champions from all over the globe for the 2011-12 season.  Stars on Ice will present a limited engagement, command performance tour that will visit 10U.S. cities which have hosted sold out shows throughout the history of the Tour. The Emmy Award winning production will visitWenatchee,WA onSunday,February 26, 2012 for a4:00 PM performance atTownToyotaCenter.

Stars on Ice has always showcased the unique combination of athleticism and artistry which is figure skating, in a cutting edge premier entertainment spectacular. In 2010, Stars on Ice highlighted North American superiority in the Winter Olympics. Last year, Stars on Ice celebrated its 25-year legacy by bringing the world an unparalleled cast of legends past, present, and future. In 2012, the “Stars on Ice Love ‘n’ Life” tour will get a new infusion of creativity from legendary skater, Kurt Browning, who will co-direct and choreograph this year’s production.

“I am thrilled and a tad intimidated with the opportunity to choreograph Stars on Ice,” said Browning. “My relationship with this tour has been wonderful for over two decades, and I want to give this new role with the show my best effort like I did, and still will, as a skater.” 

Stars on Ice, founded by Olympic Gold Medalist Scott Hamilton, is one of the premier touring entertainment events in the world.  Tickets for the “Stars on Ice Love ‘n’ Life” Tour in Wenatchee are on sale now!  Special on-ice seating is available upon request. Group discounts are available for parties of 10 or more.  Tickets start at $25 and are available via www.towntoyotacenter.com and the Town Toyota Center Box Office. Please visit www.starsonice.com for more information as well as exciting show announcements.  

About Stars on Ice

Founded in 1986 by skating icon Scott Hamilton, the Stars on Ice tour has played more than 1,000 shows for over a quarter of a century. Past tour performers include Olympic Gold Medalists Kristi Yamaguchi, Katarina Witt, Dorothy Hamill and Torvill & Dean. The Tour has won three Emmy Awards, one ACE Cable Award (Best Sports Special), and is recognized as the finest ice production in the world. Stars on Ice is produced by IMG, the world’s premier Sports, Entertainment and Media Company. For more information about the tour, visit www.starsonice.com.  Keep in touch with Stars on Ice on Facebook: www.facebook.com/starsonice and on Twitter: @starsonice, www.twitter.com/starsonice.   

By Don C. Brunell

President

Association of Washington

 As Congress continues to struggle with our nation’s massive $15 trillion debt, another looming crisis has slipped off the radar screen:  Social Security.

Social Security is running almost $50 billion in the red each year, deficits that are being covered by reserves in the General Fund. But because the number of people getting benefits is outpacing the number of people footing the bill, the program will be insolvent in 20 years.

 Social Security started in 1935 as a sort of widows and orphans fund. The boss and worker each paid a 1 percent tax on the first $3,000 of earnings. Today, the tax is 10.4 percent on the first $110,000 in earnings — and it’s still going broke.

 What’s the problem? 

Social Security worked back in the ’30s becausethe average life expectancy was 58, and benefits kick in until age 65. In other words, it worked because not many people lived long enough to collect it.

 That has changed.

Today, people are living longer and retiring earlier. Life expectancy for a child born in 2010 is nearly 79 years and the average retirement age in America today is 62.

 In 1935, when Social Security began, there were roughly 16 workers for every beneficiary. Today there are just 3.3 workers per beneficiary and officials project that in 18 years, there will be just two workers paying for each person collecting Social Security benefits.

 Couldn’t Congress just dip into that famous Social Security lockbox and solve this problem, or at least delay the train wreck? No, because over the years, Congress has raided the Social Security fund to pay for other things. The lockbox is empty. In fact, the federal government owes the Social Security Trust Fund about $3 trillion.

 If we’re going to save Social Security, little changes like nudging up the tax rate and retirement age won’t be enough. Steep increases in the payroll taxes aren’t an option either. Struggling state and local governments want to impose new taxes and fees on employers, hospitals and families to bail them out. We couldn’t hike Social Security taxes high enough to solve the problem.

So, we’re going to have to look at changing the benefits.  But historically, such suggestions have hit a brick wall.  Remember when President George W. Bush put Social Security solvency on the front burner right after being reelected in 2004? The resulting firestorm of opposition forced him into silence. Nobody has dared to suggest changes since. It is simply too hot a potato to toss onto the table.

If we’re looking for someone to blame, we should look in the mirror. Faced with an inevitably bankrupt social program, we steadfastly refuse to consider any changes or reductions in benefits and we howl in outrage if a politician suggests it. 

Most elected officials are so cowed by voter outrage that they’re refusing to even address the problem. But Congress must rethink how benefits are paid. For example, today a 66-year old working full-time and earning a six-figure salary can collect Social Security.

A lot has changed with Social Security in the 77 years since its inception. The math worked back then — it doesn’t work now.

If we don’t change our attitude about adjusting the program and reducing our benefits, Social Security won’t be around for our kids and grandkids. And it will be our fault.

Common sense reforms must happen in a bipartisan way. The most fertile ground is changes in eligibility. Those affected will howl, but what’s the alternative?  

 About the Author
Don Brunell is the president of the Association of Washington Business. Formed in 1904, the Association of Washington Business is Washington’s oldest and largest statewide business association, and includes more than 7,800 members representing 650,000 employees. AWB serves as both the state’s chamber of commerce and the manufacturing and technology association. While its membership includes major employers like Boeing, Microsoft and Weyerhaeuser, 90 percent of AWB members employ fewer than 100 people. More than half of AWB’s members employ fewer than 10. For more about AWB, visit www.awb.org.

SeaPort has launched a special four-day fare sale network-wide that ends midnight January 30th.  Fares range from $19 to $89 for travel from March 1 through May 15, 2012 and are subject to availability.  Here is your chance to try out the new service to Portland at the  great price of $49 one way!

To take advantage of the sale, go to www.SeaPortAirlines.com or call 888-573-2767 and use the promo code SPRING.

On January 19th from 4 to 5 p.m., a truck will be at the Lemongrass parking lot, 1052 Springwater Street in Wenatchee, to shred your old records.  Let’s face it, the paperless office has yet to arrive so disposal of old records that may have important financial data, social security numbers or other personal information of employees and customers, or other private data, can be challenge.  This opportunity solves that problem, and at no or a very reasonable cost.

If you are a Numerica member, their is no cost.  If not, the rates are very affordable.  You can contact Natalie at Lemongrass for more information.

The Wenatchee Police Department, High School staff, local Farmers Insurance agents and Precision Collision Auto Body recently held this year’s distracted driving safety campaign at Wenatchee High School. 18% of distraction related fatalities in America are cell phone related as reported on the National Highway Transportation Safety Administration’s web site. When students arrived at school on Tuesday January 10^th, they saw a new Ford F150 that had recently been involved in a distracted driving accident. Inside the main entrance of the school the students stopped to receive a thumb band and sign a banner pledging not to text while driving. During their lunch periods there was an AT&T distracted driving video playing on the cafeteria’s big screen to help raise awareness. Washington State law states that there is a ban for all drivers on the use of hand held devices and a ban on all texting. For novice drivers, the ban also includes all handheld and hands-free devices!

Wenatchee High School’s Northwest Esd Counselor Amy McCubbin and Mark Lovell from Precision Collision Auto Body  and the Wenatchee Police Department worked together to coordinate this event. Several of the students worked hard to spread the word around the school and help educate fellow students about distracted driving and texting while driving. Local Farmers Insurance agents who provided support included Roberto Tovar in Wenatchee, Deborah Jordan in East Wenatchee, RJ Martinez in Quincy and Kale Hill in Cashmere. In a 2010 WSP media release, Chief John R Batiste stated “We will fully enforce this law from day one”. The texting and cell phone use laws are intended to save lives and reduce injuries!

By Don C. Brunell

President

Association of Washington Business

            In 1992, Bill Clinton’s campaign slogan was, “It’s the economy, stupid.” In 1993, Washington employers modified the slogan to, “It’s the economy, don’t kill it,” and emblazoned it across a huge banner draped from AWB’s building near the state’s Capitol Campus, where it could be seen by elected officials driving by.

            But lawmakers didn’t get the message 19 years ago; they left employers holding the bag for new taxes and fees as well as added costs for unemployment insurance and workers’ compensation. Hopefully, those lawmakers learned their lesson, because the higher cost of doing business in Washington hurt our state’s ability to create and maintain jobs.

            Fast-forward to 2012. 

            Polls show the bad economy is the primary concern of voters in this election year, with 80 percent of likely voters in a national survey listing it as a top issue. In early January, 60 percent of Washington voters surveyed by Stuart Elway said economic issues were the most important thing lawmakers should focus on during the 2012 legislative session.

            When the Association of Washington Business recently asked its more than 7,700 members to name their most important issue, they cited a lack of customers or clients; two-thirds said they would not be hiring in 2012.

            Complicating our economic recovery are the massive federal deficit, shaky European economies in Greece, Italy, Portugal and Spain and a worldwide slowdown in business activity. For example, China Daily reports business confidence in China dropped again for a second consecutive quarter amid growing concerns over a global economic slowdown. Remember, China is the world’s second largest economy, so what is happening there has significance. 

            The People’s Bank of China said the business confidence index dropped six percent, and Hong Kong’s Nomura International reports that China’s economic growth, which had been in the 10 percent range, is likely to drop to 7.9 percent this year.

            So, what is the message to Gov. Gregoire and state lawmakers for the 2012 session?

            The economy is unlikely to measurably improve. 

            The Washington Roundtable says, at best, our state’s economy for 2012 is expected to look much as it does today. They urge the governor and lawmakers to act now to reduce the long-term cost curve for state services and develop a budget that stays within current revenues. Their biggest worry is the cumulative impact of maintaining the current level of state services in future years.

            Elway’s poll shows that the second greatest concern among Washington voters is the state’s $1.5 billion budget deficit and doubts about how elected officials spend our tax dollars.

            A sustainable budget is essential, but lawmakers must be careful how they approach raising additional revenues. The half-cent sales tax increase proposed by Gov. Gregoire needs voter approval — something that has been hard to come by in other states, with Colorado being the latest example.

            The $3 billion in federal stimulus money that bailed us out in 2009 won’t be available. So basically, we’re on our own.

            The governor told AWB members last September that “everything is on the table. “It has to be. We also need to understand the Great Recession has fundamentally changed how government works. As difficult as it is, the folks we send to Olympia must recalibrate government. 

They must find ways to pay for the most important programs, such as education, and figure out how to deliver state services more efficiently.

There are no sacred cows, and there is no cash cow in the barn. 

About the Author

Don Brunell is the president of the Association of Washington Business. Formed in 1904, the Association of Washington Business is Washington’s oldest and largest statewide business association, and includes more than 7,700 members representing 650,000 employees. AWB serves as both the state’s chamber of commerce and the manufacturing and technology association. While its membership includes major employers like Boeing, Microsoft and Weyerhaeuser, 90 percent of AWB members employ fewer than 100 people. More than half of AWB’s members employ fewer than 10. For more about AWB, visit www.awb.org.

Thank you to the Wenatchee Valley Visitors Bureau of the video.

The Electric Chickens Have Come Home to Roost

By Don C. Brunell

President

Association of Washington Business

For years, energy experts warned us that regulations and policies that reduce the supply of affordable conventional energy would result in higher prices for American families. 

 Now it is clear the warnings were well-founded. The USA Today recently reported that electricity bills have skyrocketed.   

 The newspaper reports that American families paid, on average, a record $1,419 a year for electricity in 2010. Demand for electricity remains high even as energy supplies shrink. In addition, prices are rising due to the cost of meeting excessive EPA regulations that target conventional energy sources such as coal and oil.

 The effect is being felt throughout the U.S.

 In what’s labeled as an “environmental cost recovery,” Louisville Gas & Electric in Kentucky announced ratepayers will see their electric bills increase another 19.2 percent by 2016. In explaining the reason, LG&E spokesman Chip Keeling said, “The EPA is forcing utilities to do this. We don’t have a choice. It’s not a question of are we going to meet them. The question is when and how and how much money. ”

 Those electricity rates are expected to go much higher as companies pay billions to replace older power plants and shut down existing coal-fired power plants that are too costly to retrofit.  

 Currently, half of the electricity used in the U.S. is generated from coal-fired power plants. But 10 percent of the nation’s coal energy is expected to go offline in the next four years, according to the Institute for Energy Research.   

For example, the IER projects that three coal-fired plants in Michigan would be shut down because of EPA regulations by 2016, leading to brownouts and service interruptions.

Ironically, many of the same activists who oppose coal because of its emissions also oppose clean-coal technology projects to develop near-zero emission coal plants.

Progress on clean-coal technology in the U.S. has been painfully slow.   

For example, the Future Gen project in Illinois was announced by President George W.  Bush in 2003 as a public-private partnership to build the world’s first near zero-emissions coal-fueled power plant. The 275-megawatt plant was intended to demonstrate the feasibility of producing electricity and hydrogen from coal while capturing and permanently storing carbon dioxide underground.

Today, almost nine years later, nothing has been built. In fact, the plant design has yet to be approved. The project has been stalled by political and bureaucratic delays, as well as Department of Energy changes in financing and design that prompted some private funders to back out of the project.

In contrast, China — which leads the world in clean-coal technology — plans, cites, designs and builds its new clean-coal plants in less than two years.   

Why should we in Washington care? After all, our electricity rates are among the lowest in the nation, thanks to our abundant supply of hydropower.

 Unfortunately, that advantage is about to disappear.

 Initiative 937, approved by voters in 2006, requires large utilities to get increasingly larger portions of their electricity from costlier renewable sources, beginning next year. The writers of I-937 explicitly excluded hydropower from the list of allowable renewable energy sources.   

That means that, beginning in 2012, Washington’s utilities will have to sell our cheaper hydropower to California and purchase higher-priced alternatives in order to meet their quota. The result: ever-increasing electricity rates. Opponents estimated I-937 would ultimately increase electricity rates in our state by as much as $370 million per year.

 Our nation’s economic strength was fueled by an abundant supply of affordable energy. If we are to regain that strength, elected officials must actively pursue rational energy policies that embrace clean-coal technology and recognize that American families pay the price — literally — for bad energy policy.     

 The troubling future the experts warned us about is no longer simple conjecture.   It is here.  

About the Author

Don Brunell is the president of the Association of Washington Business. Formed in 1904, the Association of Washington Business is Washington’s oldest and largest statewide business association, and includes more than 7,700 members representing 650,000 employees. AWB serves as both the state’s chamber of commerce and the manufacturing and technology association. While its membership includes major employers like Boeing, Microsoft and Weyerhaeuser, 90 percent of AWB members employ fewer than 100 people. More than half of AWB’s members employ fewer than 10. For more about AWB, visit www.awb.org.