News Trends Contributors rate drops Unemployment Opinion Business Briefs Business People Almanac The Business Times
June 25-July 8 2020
Page 21
INDICATORS AT A GLANCE
n Business filings t New business filings in Colorado, 33,848 in the first quarter, down 5.6% from the first quarter of 2018.
n Confidence
s Consumer Confidence Index 86.6 in May, up 0.9. t Leeds Business Confidence Index for Colorado, 29.7 for the second quarter, down 21.1. s National Federation of Independent Business Small Business Optimism Index 94.4 for May, up 4.5.
n Foreclosures t Foreclosure filings in Mesa County, 4 in May, down from 7 in May 2019.
t Foreclosure sales in Mesa County, 0 in May, down from 5 in May 2019.
n Indexes
s Conference Board Employment Trends Index, 46.28 for May, up 3.75. s Conference Board Leading Economic Index 99.8 for May, up 2.8% s Institute for Supply Management Purchasing Managers Index for the manufacturing sector, 43.1% for May, up 1.6%.
n Lodging
t Lodging tax collections in Grand Junction, $49,177 for May, down 63.2% from April 2019.
n Real estate
t Real estate transactions in Mesa County, 347 in May, down 34% from May 2019. t Dollar volume of real estate transactions in Mesa County, $106 million in May, down 27.9% from May 2019.
n Sales
t Sales and use tax collections in Grand Junction, $3.6 million for May, down 22.5% from May 2019. t Sales and use tax collections in Mesa County, $2.86 million for May, down 11.8% from May 2019.
n Unemployment
t Colorado — 10.2% for May, down 2. t Mesa County — 9% for May, down 3.6. t United States — 13.3% for May, down 1.4.
Mesa County conditions improve as businesses bring back employees Phil Castle
ending May 2 to 241 for the week ending May 30. A move to the next phase of guidelines May April The monthly unemployment rate has for pandemic restrictions would allow t Delta County 8.0 10.5 seesawed back down in Mesa County as businesses to further expand operations, t Garfield County 10.0 13.7 businesses reopen and bring back employees Englehart said. More outdoor events also t Mesa County 9.0 12.6 furloughed by the coronavirus pandemic. would be permitted. t Montrose County 9.3 12.3 “We’re starting While businesses bringing back workers t Rio Blanco County 6.0 7.5 to see people get back accounted for most of the gain in payrolls, to work, and we’re some businesses also are hiring new workers, excited to see what,” said Curtis Englehart, Englehart said. “It’s a mix of both.” director of the Mesa County Workforce A total of 421 job orders were posted at the Mesa County Center in Grand Junction. Workforce Center in May, he said. That’s a decrease from the 796 Barring a surge in COVID-19 cases orders posted for the same month last year, but an increase over and related closures, Englehart expects the April. downward trend in the jobless rate to continue. The Mesa County Workforce Center has reopened, but for There’s a long way to go, though, before labor appointments only, Englehart said. Hours run from 9 a.m. to 2 p.m. Curtis Englehart conditions return to pre-pandemic levels. Monday, Tuesday, Thursday and Friday. Appointments can be The seasonally unadjusted unemployment rate dropped 3.6 scheduled by calling 248-7560. Staff remains available to provide points to 9 percent in May, according to the latest estimates from services to people filing for unemployment benefits and looking the Colorado Department of Labor and Employment. for work as well as employers recruiting new hires. The decrease was among the biggest among metropolitan areas Staff also collaborates with the Mesa County Health in Colorado, a decline Englehart attributed in part to the variances Department to help businesses implement social distancing, Mesa County has received from state orders that have allowed cleaning procedures and other pandemic practices, Englehart said. businesses to reopen and expand operations faster than in other areas. Meanwhile, seasonally unadjusted unemployment rates also Mesa County payrolls increased 4,401 to 69,276. The number fell in neighboring Western Colorado counties in May: 3.7 points of people counted among those unsuccessfully looking for work to 10 percent in Garfield County, three points to 9.3 percent in decreased 2,512 to 6,866. The labor force, which includes the Montrose County, 2.5 points to 8 percent in Delta County and 1.5 employed and unemployed, expanded 1,889 to 76,142. points to 6 percent in Rio Blanco County. Compared to a year ago, when the jobless rate stood at 3 percent, The statewide seasonally adjusted jobless rate fell to 10.2 percent, payrolls have contracted 5,173. The ranks of the unemployed have down two points from a rate revised upward to 12.2 percent for April. swelled 4,580. The labor force is smaller by 593. Nonfarm payrolls increased 68,800 between April and May Englehart said the drop in the jobless rate from 12.6 percent in with the biggest gains in the leisure and hospitality, education and April, the highest level in a decade, was nearly entirely a result of health, manufacturing and construction sectors. employees returning to work following business restrictions and Compared to a year ago, the unemployment rate has increased closures in March and April. 7.4 points from 2.8 percent. Nonfarm payrolls have contracted The downward trend in unemployment should continue in 236,200. June, he said. The average workweek for employees on private, nonfarm Since peaking at 2,583 for the week ending March 28, initial payrolls has lengthened over the past year a half hour to 33.7 filings for unemployment benefits have declined nine consecutive hours. Average hourly earnings increased $1.17 to $31.39. weeks. For May, the pace of filings slowed from 578 for the week F The Business Times
AREA JOBLESS RATES
Grand Valley tax collections continue to decline
A key indicator of sales activity continues to decline in the Grand Valley as a pandemic and related restrictions affect business operations. The City of Grand Junction reported a 22.5 percent decline in sales and use tax collections in May compared to the same month last year. Mesa County reported an 11.8 percent decrease. Grand Junction lodging tax collections, a measure of hotel and motel stays, fell 63.2 percent. A lagging indicator, collections in May reflect sales and lodging activity in April. The city collected a total of nearly $3.6 million in sales and use taxes in May, a decrease of more than $1 million from the same month last year. Sales tax collections declined 25.3 percent. Use tax collections dropped 28.1 percent. The county collected a total of nearly $2.9 million in sales and use taxes, a decease of $383,000 from a year ago. Sales tax collections fell 5.1 percent. Use tax collections — the bulk of it on automobiles purchased outside the county but used in the county — dropped 62.3 percent. While county tax collections increased 11.3 percent on retail sales and 16 percent on home improvement sales, collections decreased 21.7 percent on auto sales, 34.7 percent on restaurant meals and hotel
stays and 60 percent in the oil and natural gas industry. With the May decline, year-to-date sales and use tax collections fell 5.5 percent for the city. County sales and use tax collections remained ahead of last year, but by only two-tenths of a percent. The city collected a total of more than $22.2 million through the first five months of 2019, nearly $1.3 million less than the same span in 2019. Sales tax collections were down 6 percent. Use tax collections fell 39.8 percent. The county collected a total of more than $15.1 million, about $33,000 more than the same period last year. Sales tax collections increased 2.96 percent. Use tax collections declined 25.5 percent. Year-to-date county tax collections were up 14.4 percent for retail sales and 10.5 percent on home improvement sales, but down 4.1 percent for autos, 14.4 percent in the hotel and restaurant category and 60.8 percent in the oil and gas category. The city collected $49,177 in lodging taxes in May, down $108,557 from the same month last year. Through the first five months of 2020, the city collected $357,812 in lodging taxes. That’s a decrease of nearly $109,000 and 23.3 percent from the same span in 2019. F
