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Category: Partnerships

Chamber Affiliate Structure with Bob Durkin

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Brandon Burton (00:01.078)
Hello, Chamber Champions. Welcome to Chamber Chat podcast. I’m your host, Brandon Burton, and it’s my purpose and goal here on the podcast to introduce you to people and ideas to better help you serve your Chamber members and your community. Our guest for this episode is Bob Durkin. Bob is the president and CEO of the Greater Scranton Area Chamber of Commerce, a role that he’s held since 2013.

As CEO, Bob leads strategic planning, financial oversight, staffing, and programming for the chamber and its affiliated organizations. With decades of leadership experience across nonprofit economic development and regional government sectors, Bob previously served as president of the Northeast Regional Cancer Institute, a Northeastern Pennsylvania-wide nonprofit consortium.

supporting community and patient services, cancer research and healthcare collaboration. Prior to that, he was the founding executive director of the Lake Lackawanna Heritage Valley Authority, advancing regional community development initiatives. Bob’s longstanding commitment to economic and community advancement includes serving as vice president of the chamber from 1988 to 1993 and holding leadership roles across numerous boards and organizations.

A graduate of Penn State University, he also completed advanced studies in public administration and organizational management, including programs at the US Chamber of Commerce and the University of Delaware. A dedicated community advocate and mentor, Bob remains actively involved in regional initiatives from youth sports, continuing to champion growth, collaboration, opportunity throughout the Northeastern Pennsylvania region. Bob, I’m excited to have you with us today here on Chamber Chat.

podcast. I’d love to give you an opportunity to say hello all the Chamber Champions who are out there listening and share something interesting about yourself and correct any mispermissions that I shared in your bio.

Bob Durkin (02:07.684)
Well, being from Lackawanna County, where you we have a lot of different Native American names, including Lackawanna, where the where the rivers meet, by the way, is what Lackawanna means. Yeah, I’m a native of Scranton, the Scranton area, and remain and love Northeastern Pennsylvania. And of course we’re all chamber people, right? So, you know, even in the dead of winter where last week we were, you

Brandon Burton (02:22.062)
Okay.

Bob Durkin (02:37.664)
Arguably the thermometer said it was about zero degrees. Anybody that asked me about it, said, well, you know, no, it’s 75 and sunny in Scranton. My, my, my running joke about how grounded I am here is that the town I live in just outside of Scranton is called Oliphant. And it’s just about seven miles from Scranton and I, I’m on my fourth house in Scranton, in Oliphant. And I always say I’m the George Bailey.

Brandon Burton (02:46.958)
You

Bob Durkin (03:06.422)
of the of the area every time I think I’m getting out of this town. I buy another damn house so my my my personal the most important thing truly in my entire life that that stands out when people ask what’s you know what is unique about my world. Outside of the chamber world it’s that I’m I’m a proud parent of a special needs on my son Kevin who’s 33 has Down syndrome and so much of what.

Brandon Burton (03:11.694)
There you go.

Brandon Burton (03:24.034)
We need to focus on that. That was actually a good

Bob Durkin (03:36.26)
I and my family have done in those 33 years is wrapped around Kevin and our relationship, not just to him, but to the Down Syndrome community where we helped create a Parents of Down Syndrome organization. And I’ve been on the boards of several different special needs organizations in our region. So it’s that that’s a really if there’s a signature element to me outside of my business work, it’s it’s Kevin and it’s Down Syndrome. So here it is.

Brandon Burton (04:03.916)
Yeah, that’s great. That’s great. Well, I’d like to give you an opportunity to share a little bit about the Greater Scranton Chamber of Commerce. Give us an idea of the size, staff, scope of work to some degree. I know we’ll spend more time on that budget just to kind of set the stage for our discussion.

Bob Durkin (04:22.948)
Sure. Well, as Brandon, as you and I have talked before this, and we’re going to be talking about in more detail coming up, the Greater Scranton Chamber of Commerce is a bit of an anomaly. You know, you’ve heard this before in the chamber world. If you’ve seen one chamber, you’ve seen one chamber. And we are certainly a signature aspect of that with multiple different divisions. We have actually eight different

Brandon Burton (04:41.067)
One chamber.

Brandon Burton (04:45.706)
I’m not going to go that.

Bob Durkin (04:51.527)
501s under the chamber umbrella. And again, we’ll dive into that a little bit later. This chamber, the chamber itself, we are 1400 members strong. We largely represent Lackawanna County, which is Scranton as the hub here in Northeastern Pennsylvania, but we often refer to the third, a third, a third. We have a third of our members in the city of Scranton, a third in Lackawanna County proper and a third outside Lackawanna County.

Brandon Burton (05:14.286)
So, think that’s something that I’m not assuming that I’m going to say. So, I’m going to do a little bit of explaining the session, and then I’m going to try to explain it to you guys as well. So, I’m going to do a little bit explaining the session,

Bob Durkin (05:18.9)
in mostly in the surrounding counties and regions. Our sister city is Woodsboro, which is right, you know, just to the south of us in Luzerne County. We are in addition to the chamber and the other affiliates, we really are the largest economic development organization in the region. Our budget, chamber budget, I’ll use round numbers, is about $4 million.

Our overall budget is a little over 8 million. As I said, roughly 1,400 members and staff of 26, all of whom work from chamber but are farmed out through management agreements to the various affiliates.

Brandon Burton (05:57.199)
Okay, very good. That definitely helps to give perspective, especially as we get into this discussion today where we’ll dive into these affiliates and the approach and structure and when things make sense and all of that. But I did have one question that I think is important for listeners that are probably wondering.

is Dunder Mifflin Paper Company a member of your chamber?

Bob Durkin (06:32.866)
Well, that was actually a very interesting question. And it’s one that you ask everywhere across the country. Not only is the the company that inspired Dunder Mifflin, Pen Paper, Pennsylvania Paper, that does exist. But beyond that, during the entire original filming and the what, eight years or nine years of it, every single episode of that included a member of our staff.

listening in and working with the development directors and producers to make sure that there was an authenticity to all of their references to Scranton proper. So when you hear, you’re an office fan, all the references to poor Richard’s pub or Cooper’s restaurant or Lake Scranton, they’re all real. And in fact, M-Taper, the very company that when you see on the opening credits, you’ll see a tower.

Brandon Burton (07:02.604)
Do it.

Bob Durkin (07:29.622)
of an older building that says, you know, that’s pen paper. I can see that from my office. When I open my, roll out my window, I can see it right there. So yeah, it’s fun to have that. have people probably every single week we get calls from people all over the country. We’re traveling through Scranton, want to know where can I find this or that? So we have materials on this. In fact, the other part of that was almost all the things you see on the desks of the office people came from us.

Brandon Burton (07:43.662)
Yeah.

Brandon Burton (07:51.245)
Yeah.

Brandon Burton (07:58.413)
Yeah.

Bob Durkin (08:00.088)
We literally in that time, our staff would reach out to our members and say, hey, give us some of your tchotchke or whatever materials. So when you look at that, next time you look at the office at the PAM behind our front desk, there’s the plaque of the Greater Scranton Chamber of Commerce right behind it.

Brandon Burton (08:13.612)
Yeah.

Brandon Burton (08:17.046)
That’s awesome. That is awesome. I want to rewatch the series now and look for all the Easter eggs that are hidden. And I’m sure Michael Scott got his world’s best boss mug from you, right?

Bob Durkin (08:18.776)
Yeah. Yeah.

And by the way, not to belabor this, but all of those folks have been here, including Steve Carell. They’ve all been in discranton many times.

Brandon Burton (08:32.002)
Yeah, that’s awesome. That’s awesome. Very cool. Well, we will dive into this discussion about affiliate structures as soon as we get back from this quick break.

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All right, Bob, we’re back. As we mentioned before the break, we’re going to talk about the uniqueness of what makes the Greater Scranton Chamber what it is with the structure of these different affiliate organizations. You mentioned when you were talking about the chamber,

how you have eight 501Cs underneath the structure of the chamber itself. And I would be curious, I’m sure listeners are curious, so first of all, I think it makes sense to talk about what these different affiliates are. And when it makes sense to, whether it’s spin up an affiliate or bring in an affiliate under the chamber umbrella,

Bob Durkin (09:05.124)
.

Bob Durkin (09:16.974)
Mm-hmm.

Brandon Burton (09:26.944)
Maybe that’ll come up naturally as we talk about how these affiliates came to be and their purpose behind them. as you share about them, I’m gonna pull up the screen for those that are watching this on YouTube, they can see kind of the structure as you talk through it.

Bob Durkin (09:34.02)
Thank you.

Okay, sure.

Bob Durkin (09:43.556)
So, think of the chamber as the umbrella in this structure. And our chamber is, if I have the numbers right, I think we’re 156 years old. We were called the Board of Trade for the first third of our existence, almost. But then when the U.S. Chamber was created, we were actually one of the founding members of the U.S. Chamber.

Brandon Burton (09:52.886)
It’s

with the US, that’s the way it is.

Bob Durkin (10:12.994)
And that’s a little over a hundred years. So that’s when we became a chamber of commerce. When you look at this structure from the bear with me as I put my glasses on here from the far. So look at the chamber at the top. So everything flows from the chamber. All employees work for the chamber of commerce. And several of the affiliates are actually legally owned by the chamber. Some are not.

Brandon Burton (10:30.781)
Thank you.

Bob Durkin (10:38.596)
So again, from your far left, you’ll see boxes Slipco that’s a Scranton-Lackawanna industrial building company. That is it. We’re a certified economic development organization in Pennsylvania. So in the roughly 80 year existence of Slipco, which came about just post World War II, do economic development. It’s pure sense. We build industrial parks and office parks. We’ve done 15 of them across Lackawanna County. Historically, we’ve created

Brandon Burton (10:58.882)
Thank

Brandon Burton (11:06.066)
I’m certainly a big, sort of, spiritual leader of the movement of present. So, thank you for listening. I’m going ahead and turn off. Yes, sir.

Bob Durkin (11:06.99)
tens of thousands of jobs in that context. So even today, with most of those parks being completely filled, we still own about 1500 acres of land. We have about 30 parcels that are prepared. If you turn that switch from chamber to economic development, you’ll understand what I mean by that. The Scranton plan is our economic development marketing division.

Brandon Burton (11:20.942)
Yeah.

Bob Durkin (11:35.896)
So it supports Slipco. The team literally is scattered all over the East coast or travels all over the country and sometimes internationally to try to promote the Scranton area. It’s one of those things that I always find this interesting when people, when Chambers have either visitors bureaus or marketing divisions and the people in the community say, well, why don’t you go out and tell people about your area? We do that all the time, literally every day.

Brandon Burton (11:43.34)
I’m going to try to get little for it.

Brandon Burton (11:59.279)
Thank you.

Bob Durkin (12:05.048)
We’re either online or in some sort of media platform promoting the region or our staff are literally out selling the area to professionals, site selection professionals, commercial realtors and the like. Life, the Lackawanna Industrial Fund Enterprises has a kind of a cool history in Stratton and Lackawanna County in that like Slipco and the Stratton thing came about post World War II. And it actually was a funding school.

Brandon Burton (12:13.08)
So that’s the of talk.

Brandon Burton (12:25.528)
So was like, five times what I was getting for the change.

Bob Durkin (12:33.252)
for small scale industrial properties all over the valley. So that if you, for those who’ve, especially in the Northeast, that would recognize that their little towns used to have dress factories and shoe factories and almost all of them owned locally, life at one time was the funding source for most of those throughout our region. It has morphed in more recent years to be sort of a service, sort of an in-house endowment. We have, you know, substantial

Brandon Burton (12:37.806)
It’s the power of the natural energies.

Brandon Burton (12:47.084)
Yeah.

Brandon Burton (13:02.382)
Thanks

Bob Durkin (13:03.298)
liquidity relative to Scranton. To put it in context, there’s about $7 million worth of liquidity in the fund. And so we use that internally now to support some of our activities. I’ll try to reference that later on as well. Skills in Scranton, the first blue box that you see there, that is our workforce development arm. And you can see I’ve attached on those the various 501 designations.

So that I’ll back up and say that this Scranton plan actually is simply a division of the chamber of commerce. Whereas a slip goes owned by the chamber life and then Scranton plan or separate 501 C four and C threes. So Scranton plan or I’m sorry, skills and Scranton rather is our workforce division. It’s a business education partnership where our team works with both secondary educational institutions and their end school districts in Lackawanna County.

And we also work with school districts in perimeter counties as well to do programs where we try to connect students with business and educators with business. Metro Action is our small business lending arm. For those who understand the small business lending world, at one point we were a CDFI, Community Development Finance Institute, which is a federal designation.

Brandon Burton (14:03.022)
to give you the opportunity to participate in this event. Thank you.

Brandon Burton (14:19.116)
Thank you.

Bob Durkin (14:27.364)
closed off that relationship that we do revolving loan funds for small businesses, partnering with our banks mainly. Leadership Lackawanna is a traditional community leadership program, multiple programs for emerging executives, new to the C-suite executives, high school students. We six different programs under the Leadership Lackawanna fund. Next is our trust fund. It’s the Neighborhood Development Trust. It’s a small endowment.

about a half a million dollars that we use for small scale partnerships with other business associations, for example. So while the chamber is a large player in the region, many of our smaller communities, including Scranton, has their own business association. when Scranton Tomorrow, as that’s referred to, when they do mural programs around downtown or they have festivals or things like that, we use that fund to support them with five, $10,000 grants.

Brandon Burton (15:11.886)
So we’re going to have a little bit a change in style, and we’ll to do a separate video.

Brandon Burton (15:22.99)
Yeah. Okay.

Bob Durkin (15:25.486)
When you go back down to the bottom and see the slip through utilities. So that’s how complicated we are. We, own the utility company. at one time we provided, we provided water to for 30 years, actually we provided water to one of our parks. we recently sold that to, the local water utility. it came to the point where there was a pipe, a major, mainline pipe burst in Scranton.

And we were at risk of having about 10 different businesses lose water for a week. And we were fortunate that was fixed. then as the next day, I called the head of the water company and said, Hey, you want to buy a water company? So we sold the water company, but we held on to the utility because as I referenced before, Slipco, our building company, we own properties throughout all these business parks. So it’s useful to have a small scale utility company in our back pocket in case we need that. Ignite, which

Brandon Burton (15:57.631)
Brandon Burton (16:20.574)
I’m to see what the sounds are going to

Bob Durkin (16:20.996)
is a part of Slipco. And just because it’s not a separate 501 doesn’t mean it’s not important. On the contrary, it’s very important. We own two different buildings that are business incubators, one in Scranton and Lackawanna County runs along the Lackawanna River. It’s a long stretch of maybe 50 miles, 40, 50 miles. And so we have a property in Scranton that serves as an incubator.

Brandon Burton (16:47.854)
I know that I’m going to be a star. It feels like a dream. I am one of the top eight on the world’s one of people who are going to be in the world’s top 10.

Bob Durkin (16:51.128)
We have another one in what we call the mid Valley, which is halfway up the Valley. And we’re about to purchase the assets of another, a third business incubator up in the upper part of our Valley in the city of Carbondale. so we’ll have three under ignite. We’ll have three different buildings. And right now we have roughly 50 startup businesses of all sorts. most, many of them are sort of back office technology based businesses.

that we’re nurturing in a three to five year period under the Unite program. So you apply to be part of Unite. You’ve got to have good financial standing. You’ve got to have a business plan. You stay with us for three to five years. staff, hands on staff daily meet with these people, take advantage of the core of talent we have in the chamber. And they connect these startup businesses with everything from legal, financial, marketing.

Brandon Burton (17:21.634)
night.

Bob Durkin (17:47.548)
you name it, all the different aspects, of course, for business startup. And the advantage there is that it’s a two-way street. It helps the business startups, but it also helps our own businesses because we’re connecting many of them to these fledgling businesses that are ultimately, sometimes they don’t have the money upfront to pay for the, you know, those services. But over time, you make those connections and when the businesses are successful, and many have been, many have grown by the, our greatest success at one point was

Brandon Burton (18:11.758)
Thank you.

Bob Durkin (18:17.372)
a company that went from 13 people to 1800. Then others, yeah, others we’ve had, we’ve had a lot of the kind of the classic one guy working part-time. Ultimately he gets to be 80 people and then he, you know, he sells the business to a larger enterprise and it cashes out. We have had a number of those. So it’s really exciting. So all of this comes under our mission of attract, sustain and grow business.

Brandon Burton (18:17.486)
Wow

Bob Durkin (18:46.39)
Attract is sort of, can see the splint and plane of trying to market the region. Sustain is sort of almost everything, which is sustain existing and legacy businesses. And grow is the Ignite program, which is our entrepreneurship program. There you go. We’ve run out of time,

Brandon Burton (18:52.302)
I love it. No, this is great. And having that structure to share, hopefully those that are listening have a chance to see it and I’ll put it in our show notes too, so you can see the layout of the structure. But I think you did a great job going through and explaining that.

Brandon Burton (00:00.942)
All right, so I’ve got a couple of questions as we look at the structure there. You had mentioned that Scranton plans support Slipco with the marketing for the economic development, which I think goes to the overall question of when does it make sense to stand up a separate affiliate versus having it be just a part of Slipco and being part of that affiliate itself.

Bob Durkin (00:10.974)
Mm-hmm.

Bob Durkin (00:25.312)
Yeah, that is a great question. And I’ve been asked that a number of times. And you probably know this, a lot of chambers have looked at that either to look to separate or they’ve talked to in the right size scale communities. Should we put all these under one umbrella? I will tell you that the pros and cons, there are about 100, but the things that kind of stand out are that sometimes, particularly when you’re dealing with public policy or relationships with

elected organizations, elected officials or structures. When you are an economic development organization, you almost always have to be playing the game with the state and federal officials, particularly, but also locally say, okay, we want some public dollars into the investments. So when we’re developing a park and we have the newest park, the most, I should say the youngest of our 15 different parks is really 25 years old.

Brandon Burton (01:03.054)
It’s always been with me. It’s always been with me. And it’s always been with me.

Bob Durkin (01:25.348)
And so when you want to develop the infrastructure for these things, you have to have public dollars in it. And it’s difficult if you’re trying to be the chamber speaking on behalf of the business community on a public policy issue. Let’s say you’re at odds with your elected officials on, you know, unemployment compensation bill or, you know, a childcare bill or something along those lines.

And then you say, well, we’re at odds with you. We’re taking a public position against that. And then the next day I say, hey, can you get us a million dollars to help us with the plumbing problem, you know, an infrastructure problem in one of our parks? So it’s, that, makes it hard. And we’ve been in that space. And to this day, I’m pleased to say we’ve never compromised in what our leadership has told us to do or asked us to do relative to standing up for the business community from a, from the chamber side.

so it hasn’t hurt us, but I can see how it could, if you didn’t play the game properly. So the way we do this, by the way, is that we maintain really strong ongoing regular relationships with all of the key elected officials so that they understand that there are going be times we’ll disagree with them and they say, fine, we’ll disagree on this point, but we’re not going to, it’s not going to hurt the overall investment of the, in the community. But if you don’t.

Brandon Burton (02:46.388)
I’ll you the next one.

Bob Durkin (02:50.057)
play that game very delicately, that can be a problem. The other part of that is from a staffing standpoint, and I think I may have mentioned that all of our employees work for the Chamber of Commerce and ultimately are farmed out in a sense to the various affiliates. Well, that sounds like a very simple thing on paper. But what you also have is I have people on the team, the economic development team, who they see themselves as Slipco employees. They’re doing economic development and that’s their space.

Brandon Burton (02:53.006)
Thanks.

Brandon Burton (03:00.621)
Yeah.

Brandon Burton (03:18.892)
Yeah.

Bob Durkin (03:19.775)
Then you have the chamber people who were doing all of the, you know, 50 different events and programs and educational efforts and blah, blah, and suddenly when it comes together and we try to keep it together, um, there are times where we butt heads. Um, communications, for example, is a very good example of that. So communications for our organization rests with the chamber, but, know, with all the activities of marketing and go with the development side, the development people are like, Hey,

Right? Like tomorrow, I need to do A, B, and C. I’ve got to get a flyer out. I’ve got to postings on, you know, different websites and social media platforms. And the chamber people are saying like, well, no, we’ve got the annual dinner coming up and we have this. So there’s a lot of head-butting there. And so we try to treat that in a very cavalier way, in a sense of saying like, hey, let’s folks, we know we’re going to run into this. So when we do, when that day happens,

Brandon Burton (04:06.135)
and

Bob Durkin (04:18.239)
Let it out and then we’ll, know, if need be, bring it to me, but I’m lucky enough to have some really talented people running the various divisions in our executive leadership team. Uh, and they seem to handle it pretty well, but there are plenty of times. In fact, I tell you when this is over, I have to deal with some emails that came across my, my screen this morning where I’m going to have to do just that. I’m going to have to sit down with a couple of people and say, I know your priority is here and so is yours. Let’s talk it out.

Brandon Burton (04:20.366)
Yeah.

Brandon Burton (04:45.326)
Yeah.

Bob Durkin (04:47.039)
So it’s no different really in a sense that whenever you have a complicated organization, there are always going to be different people. Your staff to their credit wants theirs to be the best. we are really lucky. I’m blessed, Brandon, with talented people across all these different divisions.

Brandon Burton (05:05.42)
Yeah, it sounds like you are to be able to keep it all working and coming together in a unified direction.

Bob Durkin (05:12.063)
Yeah, well, I started this job 13 years ago. had a head of hair like Geraldo Rivera. And now it’s here. You see what happens. Boy, is that a dated reference, huh? I might have said like what, know, somebody from the early 1900s for all that.

Brandon Burton (05:17.774)
For those that are watching, I love it.

Brandon Burton (05:31.983)
Right. The 1900s, man. So you had mentioned the Lackawanna Industrial Fund Enterprise, how there’s a significant amount of liquidity in there, but then you also have the Neighborhood Development Trust Fund. can you talk about theโ€ฆ I’m anticipating that there’s very different purposes for those funds and how they’re deployed. So yeah, share with us about that.

Bob Durkin (05:54.72)
Yeah. Yeah. Yeah. I’m sure you know from talking to other chambers that they know the wave of creating foundations, supportive foundations for the chambers is really strong right now. And in essence, we are blessed to have several resources that sort of predate that even that movement on the local or the current chamber wave. So with life,

Brandon Burton (06:07.192)
Yes.

Bob Durkin (06:24.671)
Again, in its heyday, it was this source of capital for local manufacturers. But once that changed and really NAFTA really put an end to all of that, where we had once had literally a hundred different small manufacturing operations in the Valley, and literally all of them are gone now. And so basically, my predecessors started to look at the funds, the life funds as it were, and said, well, how can we use those in the greatest way?

Brandon Burton (06:30.894)
Who was that?

Bob Durkin (06:54.653)
most useful way and it really has come down to, well, let me back up for a second say this, the good and the bad of having all of these affiliates in the chamber world. So some of them, especially the three key 501C3s, and for us that would be MetroAction, our lending arm, Skills and Scranton, Workforce Development, and Leadership Lackawanna. Well, these are entities that could otherwise stand on their own.

Brandon Burton (07:06.478)
So, I’m just going to this progressive movement, and not only be a positive movement, but a positive movement.

Brandon Burton (07:19.758)
or if you have a group of people that are scared of trauma, you can put them in the front of your face and you’ll be fine.

Bob Durkin (07:24.671)
They’re second 501c3s. They have their own boards. They could otherwise be out in the world of a nonprofit world raising their own funds. But because they come under the Chamber of Derelo, then the community knows that. Let’s say some of our strongest supporters, banks or larger businesses, always look at it together.

Brandon Burton (07:36.846)
Right. that because these months have been too long, we can say at the cost of that the states will have rather more balanced response than they should have for businesses.

Bob Durkin (07:50.144)
And so when we go to them and say, you, you here’s your chamber membership and here’s the sponsorship we want for the annual dinner or for this event or that event. And then, then we say, Oh, by the way, leadership like Juana is going to come back to you and say, we want you to sponsor this. And they say, but you’re the chamber. You’re all part of the chamber. So the result is that some of the smaller 501 C3s that are under our umbrella have their hands tied. Um, I can’t, you know, if they came to me and then said, well, we’re having our workforce summit through under skills and Scranton.

going to go to the biggest supporter of the chamber, bank X or company X. And we say, no, don’t do that. We’ve already tapped them out on these other things that we’re working on. So because of that, those smaller ones need support. that’s where life often comes in. Every year, and again, it’s out of scale, unless you know all the budget stuff, it may not make sense, but life contributes about $200,000 a year to the chamber. Part of that is to pay for

Brandon Burton (08:23.182)
you

Bye!

Brandon Burton (08:32.056)
So, that was a good, not a bad, beautiful, so thank

Brandon Burton (08:44.259)
you

Bob Durkin (08:49.951)
the building that we are in because life owns our building. That’s just complicated side note. But about $100,000 from life then, think of it as a foundation, as an internal foundation. So $100,000 a year goes to our operating fund, not to support the chamber per se, but to support those nonprofit, small nonprofits under the chamber. Because we’re telling them, don’t ask for more money from somebody else, we’ll simply support it.

Brandon Burton (08:53.966)
Okay.

Brandon Burton (09:00.546)
Yeah.

Brandon Burton (09:11.598)
We have a lot of people who are not interested in the internet. So if we can a lot of money from the internet, it would job for me.

Bob Durkin (09:17.471)
So we use life as our ballast, our financial foundation. say, if there’s a loss, we simply go to life and life will take care of the loss.

Brandon Burton (09:28.384)
I like that. That’s great. A great structure to have there and to be able to just keep things cohesive as an organization. I noticed that you have life set up as a 501C4 versus a trust fund as a C3. What’s the, lot of people listening, they’re going to be familiar with the C3 and the C6, but talk to us a little bit about the C4 and why that is categorized as C4.

Bob Durkin (09:46.176)
Yeah. Yeah. Yeah. Yeah. See, again, C4s are economic development organizations and that’s really just a legacy issue. So when life, the Spranton plan and Slipco were created post-World War II, the two of the three were set up as C4s because life was a lending enterprise at the time. It’s an interesting question to ask because we’re in the midst of a strategic plan right now.

Brandon Burton (09:58.466)
Okay.

Brandon Burton (10:02.99)
you

you

Bob Durkin (10:15.871)
And the question some of our board members are asking is exactly that. Should we switch that? Should we turn it into a C3, make it a pure foundation? And we may go down that road. I will tell you the reason that I like it in its current structure is our hands are not tied by some of the IRS rules that would apply to a foundation, depending on whether it’s a public trust or a private trust where the assets

Brandon Burton (10:37.23)
So the basic thing I want to put in place for the pilot test, we’re going to use the differential of two cases. That’s the big thing we need to do to the So you’re going send it from the main figure you offer, and you’re going to turn it into an axis. And that’s the most important part of the pilot part of process. And it’s going to be done in next couple And I’m doing the pilot test, and you’ll be able to have a better look.

Bob Durkin (10:44.061)
have to be maintained at a certain level. I happen to sit on a major foundation board and the challenge we have there is we have a fiduciary responsibility to maintain the corpus and so you can only spend so much money. Well, by having it in our current state the way that we have it set up with life, hypothetically with, you know, $7 million or whatever we have there, if we wanted to spend $5 million, we could. We don’t have a fiduciary responsibility to maintain the corpus.

in its current structure. But since we don’t foresee that need, we’re going to, for our strategic planning process, we’re going to review that and determine if it makes more sense to turn those assets into a foundation on a C3 at all. So it’s a good question. It’s a really good question because it fits what a lot of people are talking about in the chamber world right

Brandon Burton (11:27.381)
Yeah,

Right. With the foundation structures. so I feel like we’ve, we’ve touched on a lot of the, upside, the reasoning, why you have these different affiliates broken out and the way it’s organized, the way it is. I can see for those listening, they’re like, man, that’s a lot of, a lot of work to keep these different balls juggling. mean, if we’re being honest, chambers are juggling different balls or plates or whatever you want to say you’re juggling at any time, but what are.

maybe some of the downsides to having these different affiliates broken out like this. And you talked a little bit about the conflict that might arise and different goals kind of headbutt against each other, but what else might you see or warn against?

Bob Durkin (12:07.711)
Yes.

Bob Durkin (12:12.349)
Yeah, yeah, I mean, there’s an inherent element of creating silos, you know, where people just feel like my program area is the best, mine’s the most important. And so from a management standpoint, I’m always sensitive to that. And it’s no different in a sense that when you’re managing multiple people and personalities, you always have to say, you know,

Brandon Burton (12:20.407)
Yeah.

Bob Durkin (12:39.975)
By the way, if anybody says, it says, well, I treat everybody the same, you know, was it, I’m trying to think of things to talk about Vince Lombardi. And one of his players said, he treats us all the same. He treats us all like dogs. it’s just like, whether it’s an organizational relationship or a personal relationship with staff, have to recognize people’s strengths, weaknesses, and the nature of their personalities. So I’m from my, my seat, I’m always sort of balancing that.

Brandon Burton (12:51.692)
Hehehehehe

Bob Durkin (13:09.769)
who needs to be coddled, who needs to be yelled at, who needs to be hands held, who needs the freedom to do things on their own. it’s a challenge. I like to think that I, and really I’d say our management team does a good job of that, but on a regular basis, maybe a weekly basis, we run into some sort of challenges along those lines in terms of the balance. From the community standpoint, from the outside looking in,

Brandon Burton (13:09.965)
Yeah.

Bob Durkin (13:38.592)
I do like that people recognize that this organization has so many tools that are in our tool chest. And that is both good and bad because you know the old rule, like if you’re, know, the reward for good work is more work. And so, for example, in the vernacular of the chamber world, our program of work,

Brandon Burton (13:54.319)
Remember, we’re here to help. There are always more people who need your help.

Bob Durkin (14:07.103)
Then we have the strategic plan and then we have our annual program of work. And, and I, I said this to the board and the executive committee, which really, you know, is our driving, you know, management component. I’ve said this over the last couple of years to them. said, know, we do the program of work and for us, that’s a July to June program year. So in like May or June, we approve next year’s program of work. By the time we are six months into that, I can tell you.

Brandon Burton (14:13.762)
This is some water that we have use as a dip through dry lay to makeโ€ฆ

Brandon Burton (14:28.92)
So, we’ll try our best to see if we can do it.

Bob Durkin (14:35.923)
The work of the organization, there’s a third of the work that we do, sometimes more, that isn’t even on the program work. And it’s because the community recognizes the value of our team. And so when there’s an issue, and right now, for example, we have an issue with hospitals. I mean, a lot of our brethren across the country are dealing with this, particularly in communities of the size of Scranton. We have three hospitals and two of them were on the verge of being shut down.

Brandon Burton (14:43.266)
Yeah.

Bob Durkin (15:03.165)
because the parent company was walking away. was a private enterprise. Well, so last year I probably spent easily a third of my time working on with a group of community leaders to keep those hospitals open, including a substantial financial contribution to make this work. That was never even on our program of work. You know? And so, so the good, again, the good and the bad, we’re proud of the fact that the people turned to us to be among the leaders to try to save the hospitals.

Brandon Burton (15:16.782)
Right.

Bob Durkin (15:33.272)
and, then again, what do you do with the rest of the work plan? And, you know, and there’s, could, I could point out probably every year in the last four or five years, particularly since COVID, well, COVID’s probably the best example. When COVID hit, we became the enterprise to coordinate. were part of the emergency management network for all of Northeastern Pennsylvania, not just our county or our chamber, but all the surrounding counties and their chambers. We became.

Brandon Burton (15:37.418)
Yeah.

Brandon Burton (15:47.351)
Yeah.

Bob Durkin (16:02.471)
the central source for, you know, holding up a lot of things like, know, when the SBA was coming on with the PPP and all the other, you know, both health and business elements that were being played out. We were central to that for about a six county area. I know, you know, in partnership with our local, our friends in the other chambers, but we’re still the biggest and, you know, we had greater capacity. so the good again,

Brandon Burton (16:11.064)
Yeah.

Bob Durkin (16:31.807)
Sorry if I’m all over the map on this, but it’s a good and bad of being the big dog. Everybody wants you to do something, including every elected official. And we’re happy to do it where we can. We’re proud of it and we’re proud of our success. But there’s only so much we can do. Exactly. Yeah.

Brandon Burton (16:32.238)
there.

Brandon Burton (16:40.706)
Yeah.

Thank you very much.

Brandon Burton (16:47.404)
And I get that and sometimes you have to say no because it doesn’t fit within the mission and whatever. But at the same time, if you say no to helping a major employer who’s about to walk away, that’s not a good look for the chamber either. So you got to adjust. Yeah.

Bob Durkin (16:56.969)
That’s right. No, no. You know, the local, air, the regional airport needs our help. The, we’re in the process of trying to get to reinstate the passenger transportation from Scranton to New York City, which for us, that’s about it. That’s about a two hour. It’s a, you know, two, we’re about two hours from New York, two hours from Philly in Northeastern Pennsylvania. And so who’s in the middle of the Amtrak proposal, but the chamber. And that wasn’t on our books three years ago, but it is now.

Brandon Burton (17:26.062)
Yeah, yeah. Well, in interest of your time, I think we need to start wrapping up, but it’s been a great discussion. I wanted to ask on behalf of listeners who want to take their organization up to the next level, what kind of tip or action item might you share with them as they strive towards that goal?

Bob Durkin (17:27.039)
So, yeah.

Bob Durkin (17:32.703)
Okay. Okay.

Bob Durkin (17:46.782)
Well, again, I mentioned before, and I’m proud of my professional association and personal association with the team at ACCE. I think that it’s among the best assets. When I came back into the chamber world, and as you read my bio, I was vice president of this chamber back 35 years ago, left for 20 years to do other things, and then came back 13 years ago. And that’s where I discovered ACCE.

I would say anybody who has any interest in figuring out, you want to expand your programs or do you want to contract them? The best asset, the best resource that I know of is ACC. And that’s, and it’s both, you know, their leadership in Sherry and Kelly and others, but also is equally important is the networking. You know, we’re part of the major cities council of ACC. I’m very active with that.

Brandon Burton (18:28.206)
Yeah

Brandon Burton (18:40.014)
think this now is in control. Have a nice day.

Bob Durkin (18:44.901)
and so whenever I have an issue on these types of things, I now have on my contact list, I used to say Rolodex because I’m an old man, but, you know, my contact list, I can pick up the phone or I can shoot an email or whatever for a handful of really smart, talented, and eager friends and colleagues, because there’s always someone out there who’s done what you’ve done. And, I’m happy to be that resource for anybody who may be listening and seeing our structure.

Brandon Burton (18:46.03)
you

Brandon Burton (18:51.182)
that’s right.

Bob Durkin (19:14.055)
and wanting to know if they should follow this course, I’ll, I’ll tell them the good and the bad. That’s, that’s what’s, you know, that’s what’s so great about chamber world, right? You know, people, people sometimes say, well, all you chamber people are all type A personalities and whatever else. Actually, no, we’re not. We are just like anything else. We’re a mix. You know, we’ve got both extroverts and introverts, and we’ve got people who are task people, and we people who are, you know, want to be talking, you know, a bag, the big

Brandon Burton (19:19.619)
Yeah.

Brandon Burton (19:25.981)
So thank you.

Bob Durkin (19:42.91)
hairy audacious goals and some want to make sure that you’re blocking and tackling. I’m mixing my metaphors here, right? I’ll use the blocking and tackling because I see you’ve got a football in the 49ers helmet behind you. But that’s what’s great about the chamber world, right? If you really, I always say this, if you know if someone is meant to be in this world, because we all do act the same way, we can be the spokesperson, or we can be the worker bee, you know?

Brandon Burton (19:44.11)
That’s right.

Brandon Burton (19:53.9)
That’s right.

Brandon Burton (20:11.022)
Yeah.

Bob Durkin (20:12.159)
We’re a hybrid that can do whatever you need for the moment.

Brandon Burton (20:16.918)
Yeah, exactly. So I’m sure you’ll bring ACC into this response as well. But I like asking everyone I have on the show about the future. So how do you see the future of Chambers and their purpose going forward?

Bob Durkin (20:31.507)
Yeah, I think that both versions of the Horizons project, the original and the most recent one, I think have very, very strong elements that portend where we’re going. But then like everything else, as I referenced before, we do our annual work plan, we do our strategic plan, we do our annual work plan, and then okay, throw it out the window because something else happens. And AI, of course, stands out.

Brandon Burton (20:59.438)
See next time.

Bob Durkin (21:01.019)
And for us, the way, AI slash data centers have become, you know, the discussion of the day. and, and they, they threatened to change a lot of what we have thought about how we as a chamber operate and how we as community based organizations connect with the community and in what way we do. So, I think that using the data data center issue as an example, because right now we have.

Brandon Burton (21:21.454)
Thank you.

Bob Durkin (21:29.919)
Probably six different organizations and ourselves included as a developer talking about and dealing with the idea of creating data centers in the community. And, uh, there’s pros and cons to this thing and the community doesn’t know what to do. So we have to step in and we have, we have edu, we’ve, we’ve brought in people to educate elected officials. We have taken people from literally a bus ride from Scranton to Northern Virginia, which is data center alley to a Loudoun County, Virginia.

Brandon Burton (21:35.566)
I’m on it.

Bob Durkin (21:59.434)
to learn about this. So we have to play that center role in terms of the future and how AI is going to impact us and our communities. And I’d say the same thing applies on the political spectrum. have to, know, Mick Fleming, the late Mick Fleming always said, you know, we’re the same center in the political arena. And today that’s a tough place to find yourself, but we have to be that same center.

Brandon Burton (22:01.614)
So, think that’s the center of the whole thing, the state of the world, the universe, the universe. And it’s actually on the end of my life, where it’s the reaction, where it’s the reaction, it’s probably the reaction.

Brandon Burton (22:22.99)
So that’s the sense of the energy that we use.

Bob Durkin (22:28.051)
in the political arena, we have to say enough of these extreme positions and let’s recognize what’s best for the community. And that’s always, you know, compromise and moderate moderation.

Brandon Burton (22:41.091)
Yeah. Am I seeing a possible data center in the future as an affiliate for the Scranton Chamber?

Bob Durkin (22:49.247)
Well, not as, yeah, I mean, we hope as members, they darn well better be. Yeah, it’s this, this is really a, we are a test kitchen, as it were for for this right now, because we happen to be, we’re a valley. And the main power lines for the PJM grid that serves Northeastern United States comes and runs right across the top of our valley.

Brandon Burton (22:53.204)
Yeah.

Bob Durkin (23:18.705)
And so we’re a very popular spot for data center development. But we’re also a settled residential area. In Northern Virginia, for example, it was agricultural space. so open space that they filled in with these big buildings, it doesn’t work quite as well when you’re trying to build these facilities next to neighborhoods or in areas that are not industrial.

Brandon Burton (23:43.49)
Yeah

Bob Durkin (23:44.786)
It’s it’s it’s it’s a lesson for the country. If anybody’s interested in I’m more than happy to share with our current experiences. But I’ll go back, Brandon, you asked the question earlier about how do you balance that chamber versus development side? Well, that’s that’s one of those nexus areas where we’re having a challenge because on the one side, on development side, we’re saying yeah, job creation for for the trades and revenue return to the communities. Not a lot of big jobs in the buildings themselves, but

Brandon Burton (24:00.739)
Yeah.

Bob Durkin (24:14.399)
you get it on the front end and the back end. And then the chamber side is saying, well, it’s all about our community. And the community is going crazy saying they don’t want data centers. So it’s balance.

Brandon Burton (24:23.586)
Yeah, yeah. Absolutely. Well, Bob, this has been great. I wanted to give you a chance to share any contact information for listeners who do want to reach out and learn more about your structure or anything you’ve covered today. Where would you point them and what would be the best way for them to connect with you?

Bob Durkin (24:39.155)
Sure. Well, the obvious starting point is our website, www.scrantonchamber.com. Our phone number is 570-342-7711. I’m extension 118. You can find me on our website and through those other contacts. We’ve got a great team. If I can’t talk to you directly, I’ll find someone on our team to be able to help you with any questions you have.

And you can also find me at any of the major ACC events. We’re always going to be at the national conference and I’m always also going to be at the major cities as well. So happy to be a resource for any of my friends and colleagues.

Brandon Burton (25:14.924)
Yeah.

Brandon Burton (25:22.318)
Very good. Well, we’ll share that in our show notes for this episode. again, I appreciate you spending time with us and sharing the structure and how you guys are approaching things there in Scranton, the greater Scranton area. It’s a great example and something that we can learn a lot from and how we structure and look to the future as well. So I appreciate it.

Bob Durkin (25:31.614)
Okay.

Bob Durkin (25:48.52)
Right, so it’s been great to chat with you.


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Relationship Building with Ray Hernandez

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Below is an auto-generated transcription. Because this is auto-generated there are likely some grammatical errors but it is still a useful tool to search text within this podcast episode.

Feel free to join our Chamber Chat Champions Facebook Group to discuss this episode and to share your own experiences and tips with other Chamber Champions.

Brandon Burton (00:00.93)
Hello, Chamber Champions. Welcome to Chamber Chat Podcast. I’m your host, Brandon Burton, and here on the show, I introduce you to people and ideas to better help you serve your Chamber members and your community. Our guest for this episode is Ray Hernandez. Ray is a seasoned leader in community and economic development with a proven track record of driving transformational growth across Texas. He currently serves as President and CEO of the Lake Houston Partnership.

Prior to this role, Ray served as the president and CEO of the Huntsville-Walker County Chamber, where he led efforts to pass Huntsville ISD’s largest bond election in 23 years. As president of the Lewisville Area Chamber of Commerce, he played a key role in securing Mary Kay Cosmetics’ $110 million R &D relocation from Dallas to Lewisville.

Ray also previously led the Kyle area Chamber of Commerce and the San Marcos Hispanic Chamber of Commerce. In 2009, Ray spearheaded development efforts for two major regional milestones, the largest hospital between San Antonio and Austin, Seton Medical Center, Hayes, and the largest community college in the region, Austin Community College. He is a U.S. Army veteran. or as a U.S. Army veteran,

Ray Hernandez (01:07.561)
. Okay.

Brandon Burton (01:21.166)
He also has earned his IOM designation through the US Chamber of Commerce at Layola Maramount University. He graduated with honors from Southwest Texas State University, completed economic development training through Texas A &M’s College Station Extension Office, and is an honors graduate in the Innovation ADA Leadership Program at the University of Texas at Austin LBJ School of Public Affairs.

Ray Hernandez (01:35.352)
Okay.

Brandon Burton (01:49.496)
Throughout his career, has served on regional, state, and national boards. He’s married to his wife, Belinda, and together they have four children. But Ray, I want to welcome you to Chamber Chat podcast. We’re excited to have you with us today and wanted to give you an opportunity to say hello to all the Chamber Champions who are out there listening and to share something interesting about yourself so we can all get to know you little better.

Ray Hernandez (02:11.326)
Well, thank you for the opportunity to come and visit and share a little bit about what my career has been in the industry. Certainly, when we think about

Something that’s interesting about myself, I think many of us never thought about getting into this line of work, but I think for me, it’s a calling of service that was placed in us by our parents. And so I always love to tease and say that I come from a small family of 11. So I have eight brothers and two sisters and I’m the 10th child. And so it was always a big gathering of folks just coming home.

Brandon Burton (02:41.976)
Yeah.

Ray Hernandez (02:51.691)
every day, so it was a good fit. But mom especially really instilled in us a life of service. And when I look across my siblings, all of us have played a role where there was Rotary, J.C.’s, Alliance Club, serving as an elected official at city council someplace. There’s always been a life of service for all of us. And my career has been that. I believe that I don’t have a job. It’s been a calling to serve.

whatever community or organization that I’ve been engaged in. And so when I think about something interesting, that’s the thing that I think to, without me knowing that, that was instilled in me. And then it’s something that I took on and continue to grow as my 27 year career has transpired. And I’ve been very blessed to be surrounded by some incredible talents, some folks that care deeply about community and others.

and been lifted up by other servant leaders throughout my career.

Brandon Burton (03:56.673)
Yeah, it is interesting to be able to take a look back, you know, kind of take some perspective and see how the situations in your life have prepared you, the people in your life have prepared you for what you’re doing today. So I appreciate that. Well, tell us a little bit about the Lake Houston Partnership to give listeners an idea of the size, scope of work you guys are involved with, staff, budget, just to kind of set the stage for our discussion today.

Ray Hernandez (04:06.282)
That’s right.

Ray Hernandez (04:22.942)
Yeah, the partnership Lake Houston was founded 102 years ago, and so the organization has continued to change and develop and innovate throughout all that time, and especially in the last 10 years. And so it was led by some folks that are well known in the industry. Charlie Drumble is probably one of the most well known chamber executives, and he was here.

about 15, 10 years ago. And then after that was Jenna Armstrong and Jenna’s been a great leader and someone that was a good friend and served on the state board of directors for Texas Chamber of Commerce. Yeah. Yeah. She, she, she served alongside, beside me. And so the organization has said it has, has changed and under Charlie and Jenna’s kind of transition.

Brandon Burton (05:04.974)
Jenna was on the podcast several years ago, so yeah.

Ray Hernandez (05:19.228)
moved from the Umbal area Chamber of Commerce, that’s still our name of the organization, our DBA is the partnership like Houston. And so first I’ll say this area that we serve, primarily our service area is the Northeast quadrant of Harris County. And Harris County is huge, right? Houston’s the third largest city in the United States, but from the Beltway to the South, and then that encompasses Summer Creek, Summerwood, Atoska Cedar, the city of Umbal, which is a pretty small city.

Kingwood is our primary service area. Now we reach out to out into the Porter New Caney Spring area, Aldine to the to the West and just a little bit further south of the Beltway into the Sheldon area. So our service population is about 400,000 and so some of that’s in the city. Some of it’s in the county in the the unincorporated area and for those that aren’t familiar with Texas.

There’s 254 counties in the state of Texas, and so Harris County is one of the largest, most densely populated counties. And so we serve that quadrant and so. The the biggest landmark to our West is going to be the Houston Airport, the George Bush International Airport, and so they’re they’re very engaged with us and they abut our community.

on the on the West Side and then to the South we have the Port of Houston that that’s that’s there. And so we have commuter rail and all that that’s around in the Houston area with Houston Metro. We have a bus line and those things, but the organization itself. Has a budget just under $900,000 and so that’s through a lot of different revenue streams. It’s the traditional membership and events.

But we also have an economic development partnership. And so up until this year, we’re the only chamber of commerce, quote unquote, in the Houston market that actually carried the flag of economic developments. And so what I mean by that is traditionally in my career, chambers were involved with economic development. But that was a separate entity either through a foundation or through a city or through a county.

Brandon Burton (07:37.047)
Bye.

Ray Hernandez (07:44.637)
they were the actual economic development driver. Well, the city of Humboldt has partnered with us and some others, McCord Development and some others, and invested in the work we’re doing. So we actually have an executive vice president of economic development. His name is Owen Rock. He has over 25 years of experience throughout the country, Indiana, central Texas, the Gulf Coast here in Texas. he’s originally, interesting about Owen, he’s originally from Ireland.

So very diverse staff, he, I mentioned him because that’s something that really differentiates our organization is that yes, we’re a chamber of commerce and we do all the things traditional chambers do. But one of the things that we do differently is the economic development part of our work. And so that entails doing business recruitment, retention programs tied into.

Brandon Burton (08:15.118)
Yeah.

Ray Hernandez (08:41.512)
Main Street revitalization programs, working with some of the partners like I mentioned earlier, the Port of Houston, United Airlines, Houston Airports, the Governor’s Office here in the state of Texas, the Greater Houston Partnership. They’re one of our biggest advocates for the area. Big organization. I believe they have over 45 staff and they’re deeply involved with economic development. we work closely with them on actually

answering requests for proposals when businesses are looking to relocate or to grow here in the area. And so Owen spends a majority of his time working on that, but that’s kind of different. Now Shannon takes care of events, Kara’s our membership development. have Teresa on communications and Erica on the team, and so we’ve been very blessed with the great board of directors currently led by Greg Milky. He’s the.

who’s an attorney in town and he served on the board years past. And so he’s come back on to assist us with with the redevelopment of the organization. One of the things that I appreciate about the board is that they have gone through. You know when you when you change organizations and you develop new things, it can be a little cumbersome and a little bit of challenging. And they’ve been very open.

Brandon Burton (09:42.638)
Yes, that’s what is coming.

Brandon Burton (10:00.047)
to be a change proposition for you about the things that could be of concern to them and to you.

Ray Hernandez (10:10.279)
They’ve been very patient and they’ve been very rolling up your sleeve. Get your hands dirty. know, board should stay at the at the the at the high 40,000 foot level strategic, but this board at sometimes it’s had to come into a more tactical engagement as well. And so they’ve they’ve understood their role and they’ve assisted me and continue to help.

Brandon Burton (10:20.974)
you

$40,000 for a here at the sport. And sometimes it’s after.

Ray Hernandez (10:40.037)
move the organization forward. So we’ve been very blessed that we have some great partners.

Brandon Burton (10:40.366)
Very good. And for those not familiar with Texas, Texas has some cities that are spelled a little differently or pronounced a little differently. Ray, he mentioned umbel. So the H is silent. So it’s spelled as humble, but it’s pronounced umbel for those that are curious where it’s located. But I appreciate that background about the organization. Today we’ll focus our conversation around the

Ray Hernandez (10:59.664)
That’s right.

Brandon Burton (11:09.742)
relationship building, especially in an ever-changing industry, being in the chamber industry. So we’ll dive in deeper on that as soon as we get back from this quick break.

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All right, Ray, we’re back. So as I mentioned before the break, today we’re focusing on the value of relationships.

So specifically, I mean, we all have relationships throughout our lives, but specific to the chamber industry and just being a, in every evolving industry, you’ve been around, you know, the state of Texas, you know, a good handful of different chambers, but they have some significant impact in the state economy and everything. What are some of these lessons that you’ve learned from developing these relationships and, and how have

You leaned on those relationships as the industry evolves.

Ray Hernandez (12:00.647)
Yeah, think part of that comes back from what I mentioned before, you know, growing up in that household with the small family of 11, right? They’re very diverse relationships, even within the family. I have the firstborn is a retired attorney. She was an assistant attorney general for the state of Texas. I have a brother that works on campus on a landscaping crew. Very diverse education levels and employment levels.

of family structure levels within my own family. And so you take that and you pull it out into the business world, right? And so Chambers of Commerce, I often hear people say, well, how many members do you have? And so to me, I get it, we’re a membership-based trade organization. I get that piece. But to me, what’s more important is how many of the members that we have are engaged either physically,

Online or through some interaction and that’s the piece. I think that that brings back that relevance of relationship. Right, so for I’ll give you the example of Chick-fil-a. So we not at this organization that I’m now, but a previous Chick-fil-a owner said, right? Why should I join the the organization? The Chamber of Commerce and I said, well, he was. I got my own marketing. I don’t need a ribbon cutting. I’m well known. I’m nationwide. Why should I?

Brandon Burton (13:23.374)
Be sure to like, and subscribe.

Ray Hernandez (13:25.99)
And I said, well, it’s those relationships. You’re new to this community and you’re going to learn people, but it’s not enough for you to know who the mayor and the Superintendent of schools is. There are the heads of those organizations, but to impact your organization, even on employment level, you need to know some of the lower levels and that’s some of the areas or not the lower levels, but some of the variety of levels within those organizations that we can connect you with.

Brandon Burton (13:44.142)
you

Thank you.

you

Ray Hernandez (13:55.652)
And so I’ll give the example. He was looking to stand up a culinary hire students, right? High school students at the Chick-fil-A. So through our connection with him and connecting them with the director for the culinary arts program within the school district, he was able over the course of two years created a culinary arts program within the school that then fed him prospective employees in his shop. And so that’s, think the biggest takeaway for when I think about relationship building that.

Brandon Burton (14:00.089)
Thank you.

Brandon Burton (14:12.782)
We are responsible for maintaining and supporting employees to this extent. Thank you.

Ray Hernandez (14:26.15)
The first thing we should do is when we meet and engage a potential member or even a current member is to ask the question and then just stay quiet and listen. Listen, digested. I had a meeting yesterday with a relatively new member and so we talked about all this, you know, kind of their background and things that are important to them and how do we tie that into some of the activities we have. And so we got back to the office of my membership director.

Brandon Burton (14:34.894)
Yeah.

Brandon Burton (14:51.246)
Yes, sir.

Ray Hernandez (14:54.245)
Said, hey, I got this email and I’m ready to send it out. Are you ready to go? And I said, hold on. Let me look it over. We’ll talk about it tomorrow, which is today. And so the email was great. It talked about all the great programs. But the piece that I’m going to help her do today is how do we tie the opportunity to the event or to the engagement in that relationship, right?

And so let’s this is a construction company and they want to meet architects. So how do we get in that conversation tie the introduction of an architect? Into the room so they can build a relationship. Right, which is very, very different than what people think is a traditional role for a chamber or doing networking or ribbon cuttings, which is all important, but it’s that.

How is our relationship with an architect architectural firm here and introduction to a construction firm? And then tie that into a city that’s sending out our piece request for proposals for a big project or let’s say a hospital or a school district. Tying that all together so that member can be financially successful or at least have a potential. And I think that’s the big piece for me is that we have to.

Brandon Burton (16:00.013)
you

Brandon Burton (16:14.178)
Yeah.

Ray Hernandez (16:19.62)
Build the relationships one person at a time, one organization at a time, one member at a time. And we have to customize it every single time. We have to customize it based on that individual’s perspective. And you have to also remember that individual perspective may change over time, right? So what was 100 % true today, next year may be completely obsolete. We’ve seen what’s happening with AI and technology right now and things are changing so fast.

And the priorities will change, and so we have to be flexible. And I always love to say, you know, if you’re not flexible, you’re going to end up like Radio Shack. I don’t know if anybody I’m dating myself there a little bit, but what is Radio Shack? Right. It was a it was an electronic story that doesn’t exist anymore because they didn’t innovate like they that they could have. And so in part, that that’s why they’re not here. And so I think that’s that’s important. Take away when you think about a relationship, just. One person at a time, one conversation at a time.

Brandon Burton (16:57.07)
Yeah, what’s that? No, I’m just kidding.

Ray Hernandez (17:17.668)
One email at a time and just being very intentional on how we engage that you. think sometimes we’re we’re we just want people to come and we just sent out the same email blast to every single person. But it’s going to fall in death ears and I do want to share a little bit about what chambers and this is one thing that we do. We traditionally have not done a good job in building those relations with communications is that.

Brandon Burton (17:31.459)
Yeah.

Ray Hernandez (17:45.686)
Every week we send an email blast about all the cool things happening. Now we know that only about 70, about 20 to 30 % of our membership at any given time attend events physically. So 70 to 80 % don’t. But every week we send them an email about all these cool things that we’re doing that they can’t attend. So they’re sitting in their office, taking care of their clients before the sun comes up, after the sun goes down.

And we’re sending a message about things that they can’t come to. And they start, you know, over time, we’re sending every, so 52 weeks a year, we’re sending this, or they don’t want to come to them, right? We’re sending them this messages and they’re like, well, there’s no value because they see the value in the, in the physical engagement. And while there is some value in physical engagement, absolutely in building those types of relationships, there’s also some value in some education and imparting and some connection outside of that.

Brandon Burton (18:20.75)
worse things that they don’t want to come to, right?

Brandon Burton (18:31.287)
attendance.

Ray Hernandez (18:40.983)
So one of the things that I’ve done, and I started this, I wish I’d started earlier in my career, but just at my last chamber and currently at the partnership, we send the email, it’s called the Partnership Press on a Wednesday. And the first thing that when they open it up is a learning opportunity, either for themselves, something they can share with their staff. We’ll use little videos from our stories from Seth Godin or different speakers.

different articles about how to take care of your team or or you know, you’re stressed out because of Christmas or just some kind of little. It’s not an ask. We’re not asking for anything. We’re not asking for money. We’re asking for engagement. We’re not all it’s like a little appetizer to say. The first thing you see when you engage with us in this newsletter is a little learning piece to us, and that’s very different, right? Now we’re still going to afterwards. We’re still going to list all the ribbon cuttings and all the other stuff,

Brandon Burton (19:32.79)
Are you? Yeah.

Ray Hernandez (19:40.333)
You know what we’re going to do as well, right? Because those we’re going to showcase those business, but the first taste every time is not is a is a kind hello and here’s a little gift and you think about when you go to somebody’s house right for the first time. You know, at least in my culture you you show up with something. Maybe it may be a know box of cookies. It may be a bottle wine, but you show up with a little gift and I like to think that we’re giving our members a little gift unsolicited about something.

Brandon Burton (19:51.064)
Yeah.

Ray Hernandez (20:08.642)
that they can be useful in their lives, either personally or professionally, every single week. And we didn’t make an announcement about it. We just did it. We didn’t make an announcement about it. We just did it. Yeah.

Brandon Burton (20:13.698)
Yeah, I like that. You hit on so many.

Yeah, you do it. So Leads of Value and you hit on so many good nuggets. I’ve mentioned before on the podcast, there’s a book that I read some time ago called You’re Invited. And it’s all about curating events where you’re like, you talked about being more intentional about, you know, who’s being invited and connecting people intentionally and things of that nature. And so often as chambers,

there’s a networking event and like you said, you send out the email, everybody’s invited, you want everybody to come and you get 20 % maybe if you’re lucky, right? Versus a curated event where especially, I mean, you guys have economic development responsibility. You gave the example, the architects and the construction companies, how do you make these introductions? Well, maybe it’s under the arm of economic development where you do a curated networking where you have construction companies and architects andโ€ฆ

Ray Hernandez (20:52.174)
Yeah.

Brandon Burton (21:14.902)
Maybe some banks, because you need access to lending. And so these are people that are need to connect and need to know each other. And I can guarantee you get them all in a room and connections are going to be made that help generate revenue throughout the community. So being intentional about it, there’s so much value to that. But even your Chick-fil-A example, great example. And I suppose that people asking you that question, know, Ray, why should I join your organization?

Ray Hernandez (21:16.925)
Sure. Financial.

Ray Hernandez (21:26.113)
Yep. Yep.

Brandon Burton (21:44.397)
The answer might be slightly different depending on who it is to your point. You just, got to listen and see what their needs are. Right. And then again, be intentional with your response and how you’re engaging them and building. It starts with building that relationship with them, but then helping them to build those relationships that are going to help further develop their business and, help them see value in the organization. So you hit on a ton of great points.

Ray Hernandez (21:46.438)
Good morning.

Ray Hernandez (21:54.525)
Yep.

Thanks.

Brandon Burton (22:13.326)
Any other examples throughout your career and ways that you’ve been able to lean into either developing these relationships yourself or helping others develop these relationships? I’m sure you’ve got a catalog of examples that you can share, but what’s maybe another one or two that stand out to you?

Ray Hernandez (22:21.217)
Okay.

Ray Hernandez (22:35.361)
I will say, so when I was in Kyle, we were looking to bring Austin Community College into northern Hays County. So the largest city in Hays County, which is just between Austin and San Antonio, is San Marcos, a big destination place. There’s a river that flows about 287 miles from there to the coast of Texas. There’s a big water race every year on canoes.

And and kayaks and so so we’re in in in Kyle in northern Hays County and awesome. Community College is the largest community college in central in central Texas at the time, and they’re looking to expand it to northern Hays County or into Hays County itself. And so we met with with with some of their folks and had those conversations and they broke up the effort in two different ways. So one was northern Hays County.

And the other one was San Marcos itself. And so have those same conversations and we we created committees and and totally separate right there efforts were totally separate from from the northern Hays County effort. And so early on, Dick Burdick, I Dick Schneider, sorry, Dick Schneider was the president of the Buda area chamber. Another small community next to Kyle. And so.

We said, absolutely. We want to help them do this. We need a community college and educated workforce in our vehicle here in our community. And so Sam Marcus is home to now Texas State University, previously called Southwest Texas State University. And so we got up. got it. We started working on our deal and so we went to the first meeting with a gentleman by the name of Jimmy Ferguson. He owns about 7 McDonald’s in the in the South Austin Kyle Buda area.

And so at the first meeting, one of the things we came out and agreed to is that we would find leaders to help lead the committee. And so when we first proposed it, Dick Schneider said, great, we’re the chamber presidents, we should be leading this. I said, look, traditionally we should be leading it, but let’s think about this for a second.

Brandon Burton (24:47.15)
It’s not nice to eat.

Ray Hernandez (24:52.544)
This is a community college. We need the fierce soccer moms, the strong Boy Scout dads to be leading. We need them to be the face of this project. Is the business community going behind it? Absolutely. But if we want this to be successful, we need the community’s face. People that aren’t elected officials, people that only know the space in their church or in Boy Scouts or Girl Scouts or on the soccer clubs, we need them to be the face. So we gathered.

Brandon Burton (24:56.27)
and I’ll see you next time.

Ray Hernandez (25:21.895)
a collection of about 45 folks from all different types of background, educational levels, economic levels, political levels, religious levels, just all types of engagement. And so when we went to Austin College to the board meeting, Bob Barton, who’s since passed, had the Hayes Free Press newspaper, he was there in the lobby, older gentleman at the time, and I said, Bob, what do you think about this? He said, we’ll never get

Brandon Burton (25:29.134)
you

Ray Hernandez (25:52.083)
this diverse group of people to agree on anything, but they agree that we should have education opportunities for their children and our children. And so we came down and the vote passed. We passed something like 64 % in favor and San Marcos failed about 60%. And I believe to this day that it was those relationships we built on the ground level, on the grassroots level with those soccer moms and Boy Scouts dads, people like Vince Collier, who was with, he did

I did mortgage lending, folks like that that were just on the ground level because they were fierce, right? If there’s a rainstorm going on and they’re coming home from church and the sign that we have promoting this effort falls in the middle of the field, the bank president may, but probably is not gonna get out of his car and walk across that field to put that sign back up. But you better be darn sure that mom that cares about it.

Brandon Burton (26:34.188)
you

Brandon Burton (26:42.99)
you

Ray Hernandez (26:51.135)
her daughter playing that soccer team is going to get out of that car, stop that van and run across that field and get that sign up. And that’s, that was different, right? We had to curate that relationship and that, passion and then align it. And so, uh, I left, uh, Kyle before the building was open. They built a, they, uh, it passed. was a 90, it’s, it’s a 96 acre campus, a five story building.

Brandon Burton (26:57.102)
Thank

Brandon Burton (27:01.001)
So, bye.

Brandon Burton (27:15.694)
you

Ray Hernandez (27:19.358)
And when I left they they said, Ray, what’s the one thing I was going to Louisville to become the chamber president there? They said, Ray, what do you what do you want to? What do you think about one thing that you wish you had? You had finished before you left that you didn’t. I said, well, the Austin opinion college and somebody better invite me back for the ribbon cutting whenever it opens. And so I left in April. It opened in I believe in January and I did get invited back and I and I got to be part of those festivities. And so when I point to something that.

Brandon Burton (27:37.544)
Yeah.

Ray Hernandez (27:47.166)
Because my kids are grown. Our daughter just graduated from A &M. Our son’s over at Seministons State University right now. two oldest have degrees from Texas State University.

What was happening in Austin being college wasn’t affect me personally, but it was going to affect that community. And so yeah, that that but it’s that relationships one on one different levels, different sizes, different times with different folks that really created something. And that chamber is is thriving. And I think in part if you go to Kyle today, it looks completely different. They have built out. There’s hotels there. There’s just it’s.

Brandon Burton (28:03.096)
Sure.

Brandon Burton (28:21.486)
Yeah.

Brandon Burton (28:26.434)
Bye.

Ray Hernandez (28:30.053)
huge amounts of retailers come in there, housing developments, manufacturing has come to that community. And all because, I think in part because two chamber executives were willing to put their egos aside, step back and support the leadership of others. I think that’s very different, something that I’m very, very happy about and pleased. Yeah. Yeah. Yeah.

Brandon Burton (28:46.158)
Yeah.

I love it. That’s a great example, great case study. So Ray, I like asking everybody having the show for those listening who want to take their chamber up to the next level. What kind of tip or action item that you share with them as they work towards that goal?

Ray Hernandez (29:14.494)
I think the one thing that I wish I had thought about this so much earlier in my career, but making time to invest in yourself. If you want to be a leader, then you need to have the tools to be able to lead others. And the way you do that is to take those seminars, go to ACCE, go to the US Chambers training, go to Texas Chamber of Commerce executives if you’re here in Texas training.

Go to as much training as you can, right? You still gotta take care of the business. get that piece. Pick up an easy read of a book. Try to find a lesson. Pete Habel is a good friend of mine. He wrote a book called The Arsonist in the Office. And in that book, it talks about organizations that don’t wanna deal with arsonists that’s within their organization. And it’s a good learning takeaway that we, know. And so it’s all those learning, invest in yourself, and then also invest in your team.

So one of the things I’m most proud of when I got to Louisville at the Louisville area chamber, the very first board meeting, I looked at the budget and I sat down with my board and I said, Ray, what do we need to do? I said, I would like $8,500 for professional developments. And they looked at me, what kind of trips are you doing? What are you gonna be doing? I said, none of it’s for me.

I want this money so I can invest in my team. And so I’ll use the analogy of the story of a CFO and the CEO. And the CEO is sitting in his office. He’s happy. It’s a Friday afternoon. And the CFO, the chief financial officer, runs in the office. And it’s April. And he’s livid. And he tells the CEO, what is wrong with you? What are you doing? The CEO says, hey, calm down. What’s going on? He said, you have spent all the professional development money for the entire year. And it’s April.

Brandon Burton (30:54.222)
And, you know, what we’re doing is we’re going to use this free online learning program.

Ray Hernandez (31:05.456)
And the CEO just leans back and smiles and said, yeah, isn’t that fantastic? And the CEO says, no, it’s not fantastic. You spent the whole budget for the whole year and it’s April. He says, what’s going to happen if these people leave? And the CEO says, what’s going to happen if these people stay? They have all the tools they need to help us be more successful because we invested them early on. And I think so if you want to be successful, invest in your board training.

Brandon Burton (31:06.158)
I’m

Brandon Burton (31:22.915)
Yeah.

Ray Hernandez (31:33.775)
invest in your staff training and invest in yourself and invest in your volunteers. Give them some, you know, it doesn’t have to be a whole day seminar. It could be a little nugget. You know, at some level, you know, I talked about the partnership press. We’re investing on members every time we send them a little article. That’s a little investment. They don’t even know that we’re investing in them, but we’re doing it every single, every week when we send them something. But I think it’s important to invest in others, right? If you want to, I’ve been successful in my career because I’ve surrounded myself with the best talent.

that I could find in people that were much smarter than me. But it also takes that you have to invest in them. And people have invested in me as well throughout my career. I’ve been very blessed to have some incredible mentors throughout my career. And so you should do the same for others as well.

Brandon Burton (32:19.584)
Yeah, very good. I also like asking as we look to the future of Chambers of Commerce, how do you see the future of Chambers and their purpose going forward?

Ray Hernandez (32:21.115)
Yeah.

Ray Hernandez (32:29.936)
You know, I think I’ve touched on this a little bit throughout our conversation today is be open to new ideas, be open to old ideas. Seth Godin in one of his talks talks about, says, you walk into a room and there’s a group of folks and you give a presentation and you say, okay, share me your good ideas. And the room is silent, just silent. And no one’s saying a word, right? And he said, okay, people.

I need your ideas.” And finally walks up to one young man and says, what ideas? And the guy’s got his head down. He says, I’ve seen you’ve been writing in your lecture, in your book, all during class, all during the seminar. You got to have some good ideas. And he’s looking down, a little distraught, and he says, I don’t have any good ideas. You don’t have any good ideas? No? Well, great. Show me some bad ideas.

And Seth Godin talks about, and I keep this, if you go into my office, there’s a lot of books with a lot of scribbling. Nobody can read my handwriting. Sometimes I have a hard time writing, but I write a lot. take a lot of notes. in the middle of the night, I may wake up and in my bed stand, I might write a note there. And so Kath Godin says, if you don’t have good ideas, give me your bad ideas, because the good ideas are within those bad ideas someplace. And if you go on my LinkedIn, and I’ll paraphrase here.

There’s a quote that have on there. I don’t know who to attribute it to, but it says, we don’t see the world as it is. We see the world as we are. And it doesn’t matter how much money or time that we have. I cannot see the backside of where you’re sitting right now. Right? It doesn’t matter how much time and money you have. And so we only see the world as we are. And so that’s why we need a variety of different perspectives and experiences to be able to move the organization forward. I would say that toโ€ฆ

Brandon Burton (34:05.198)
Thank

Ray Hernandez (34:27.386)
to your organizations, if you’re an association or Chamber of Commerce or any organization, business organization is, especially for Chambers, is be representative of the community you serve. Does your organization, does your board look like and have the talent and experience of the community you serve? If you do that, I think you’ll be on the road to being successful and you’ll also be open to innovation, right?

If your organization and your community is willing to innovate, then your organization is going to be willing to innovate. You got to take chances. You know, don’t, you

have success if you don’t take that chance, right? And so I like to play golf, right? And so I’m not a great golfer, but if I don’t at least go up and hit the ball, you know, I’ll never have that opportunity to have that fantastic shot someplace. It’s like, you know, you’ll miss every shot in basketball you don’t attempt, right? So at least try. And so one thing I would say for the organizations of the future is be courageous enough to fail.

Brandon Burton (35:29.132)
That’s right.

Ray Hernandez (35:40.505)
courageous enough to ask the hard question, courageous enough to close our mouth and listen. I know sometimes that’s a hard thing for even me to do. Some days, because I’m so enthusiastic about something, so passionate about something and I want to impart, but sometimes I just have to, and my staff can tell, they’re like, my God, Ray, you had a hard time in that meeting, did you? I was like, yeah, it was really hard for me to sit on my hands and not say something. He says, you had some great ideas, right? And I was like,

Brandon Burton (35:51.086)
All right.

Brandon Burton (36:01.654)
Thank

Yeah.

Ray Hernandez (36:09.313)
I have some ideas. don’t know how great they are, but I had some ideas, but it was hard for me because I wanted to make sure that others are heard and then reach out to people that don’t speak up and ask those questions. I had a CEO of a creative union in the last few years come to me and I was in the community. had been there as a CEO for over 20 years. And I asked her, said, how come you’ve never served on the board of directors for the chamber? And she said, Ray, no one’s ever asked me.

Brandon Burton (36:38.455)
Yeah.

Ray Hernandez (36:38.81)
I said, what? No, no, no, no. We send out emails. We do flyers. We’re in meetings and we ask for nominations all the time, every year. What do you mean? She said, Ray, no one sat down and asked me, physically asked me. And so it goes back to the start of our conversation, right? The relevance of conversations and connections, right? Is sometimes, you you would think, why does a CEO of a big cretina

Brandon Burton (36:54.21)
Yeah.

Brandon Burton (37:02.562)
Yeah.

Ray Hernandez (37:08.501)
needs somebody to sit down with them one on one. But she needed that, right? She needed that, that little personal touch. And sometimes you don’t, sometimes you don’t need that personal touch. Sometimes just that email is gonna suffice. But for some people, you have to find that nugget, that trigger, that piece that’s gonna turn that key to open that door. Yeah.

Brandon Burton (37:13.23)
They’re still personal.

Brandon Burton (37:28.812)
Yeah, yeah, absolutely. Well, Ray, this has been a great conversation. I love that you brought up Seth Godin.

Brandon Burton (37:38.542)
But I wanted to give you an opportunity to share any contact information for listeners who may want to reach out and connect with you and just learn more about your perspectives and things you’ve shared. Where would you point?

Ray Hernandez (37:50.649)
So I will do that. just wanted to thank a couple of people. Frank Kenny in our industry has been fantastic. Kyle Sexton has been one of my mentors throughout my career. But there’s been a whole bunch that have really lifted me up. But in order to reach out to me, I think it’s easy. Just send an email to ray@lakehouston.org is probably the easiest way to get ahold of me. Just send me an email and I’ll be happy to answer as we can or direct you to someone that can offer you some guidance. But my parting word is just, you know, take care of yourselves, make some time for yourself, both personally and professionally, and wish everyone continued success.

Brandon Burton (38:20.27)
So, thank you very

Brandon Burton (38:38.228)
Awesome. Thank you for that, Ray. Again, this has been a great conversation. We’ll make sure your email is in our show notes for this episode to make it easy to find you. But appreciate you coming on and setting aside some time to share your experience and perspectives and lessons that you’ve learned throughout your career. It’s been valuable. So thank you.

Ray Hernandez (38:57.347)
Thank you for the opportunity.


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Strategic Initiatives in Action with Yvonne Myers

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Feel free to join our Chamber Chat Champions Facebook Group to discuss this episode and to share your own experiences and tips with other Chamber Champions.

Brandon Burton (00:01.038)
Hello, Chamber Champions. Welcome to Chamber Chat Podcast. I’m your host, Brandon Burton, and it’s my goal here on the podcast to introduce you to people and ideas to better help you serve your Chamber members and your community. Our guest today is Yvonne Myers. Yvonne is the Vice President of Strategic Initiatives at the Fort Collins Area Chamber of Commerce, a role that she’s held since 2022 after a remarkable 31-year career with Columbine Health Systems.

Yvonne didn’t just pivot into this role. She brought her 14 years of board experience at the Chamber and a passion for building talent pipelines that meet real business needs. Under her leadership, the Chamber has secured over $2.1 million in grants to support work-based learning, sector partnerships, and workforce program development. She’s grown the talent team from a solo effort to a thriving team of three.

and currently chairs the NOCO works executive committee, a two county regional workforce initiative. Yvonne also serves on the boards of the arc of Larimer county and the early childhood council of Larimer county. When she’s not driving strategic change, you might catch her playing the string bass in the local band and orchestras. Yvonne, I’m excited to have you with us today here on Chamber Chat podcast. I’d love to give you an opportunity.

to say hello to all the Chamber Champions who are out there listening and to share something interesting about yourself so we can all get to know you a little better.

Yvonne Myers (01:34.82)
Well, Brandon, I’m excited to be here today and honored that you would ask me to participate in your podcast. So so hello, everyone. I’m excited to share the little bit of work we’re doing here. One thing I’ve learned about Chambers, it’s all about sharing and stealing and supporting each other for sure. So this is a great place to do it. So I really appreciate that. I think interesting fact is I was the first person in my family born in the United States. I don’t know why that’s cheering me up. But anyway,

first person to go to college. And so today is Fridays. We support Colorado State University. have a big basketball game this weekend. so having gone to university is very proud for my parents and it’s proud for me as well.

Brandon Burton (02:19.039)
Yeah, that is very cool. I love hearing stories like that. It’s awesome. America is a great place for that. Well, if you would tell us a little bit about the Fort Collins area chamber just to give us an idea of the size, staff, scope of work, budget you guys work with, just to kind of give some perspective before we dive into our topic today.

Yvonne Myers (02:26.522)
And it’s for sure.

Yvonne Myers (02:41.594)
Sure, yeah, the chamber, we’ve been here since 1904, so we’re not one of the oldest ones around for sure. We have 13 staff members, some are part-time, I think eight are full-time, the rest are part-time. We do have a couple of consultants that we have, subcontractors that we work with as well. We have a place-setting company that does some of our events, and we have a wonderful, cranky advocacy person that writes a lot of our things and supports that work for us. We have about a $2 million budget.

Brandon Burton (02:49.547)
Thank

Brandon Burton (03:06.829)
Good night.

Yvonne Myers (03:10.2)
that we work from, we also have, we’ve done a Northern Colorado Prosper’s event. We’re on the fifth year of our second NCP event where we raise about four and a half million dollars each one of those times to do work like work on transportation, advocacy, workforce, those sorts of things. We also do a total resource campaign every year. We just finished our 15th year of our total resource campaign called Moving Fort Collins Forward, exclamation point at the end of that.

Brandon Burton (03:16.013)
Thank you.

Brandon Burton (03:22.317)
Thanks

Brandon Burton (03:33.901)
Yeah, it’s just like being on the top of a spot, just playing with nature.

Yvonne Myers (03:39.262)
and we raised $536,000 this year for our sponsorships and our new members and all that sort of thing. So we have, you know, a volunteer team of about 50 that help raise funds for that. So we’re busy in the Fort Collins area. We also play well with the Greeley and Loveland chambers in our area as well. But we’re also, I would say, a pretty strong, strong lead in our region as far as the chamber goes.

Brandon Burton (03:41.901)
from the way I understand it, I was thinking the same thing.

So you have to be able to concentrate on the details.

Brandon Burton (04:05.249)
Very good. That definitely helps to give us an idea of where you’re coming from as far as the chamber goes. Today we’ll focus a lot of our conversation around that work-based learning, some of sector partnerships you guys are involved with, and some of these workforce programs that you guys are sponsoring. And we will dive into that as soon as we get back from this quick break.

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All Yvonne, we are back. As I mentioned before the break, we’re diving into some of these work-based learning and these sector partnerships you guys are involved with all around workforce development. I don’t know if there’s a certain area you want to dive into first. I think there’s a lot of branches to this, but maybe just tell us where you guys saw the need and how you guys are addressing the need. Maybe that’s a good place to start.

Yvonne Myers (04:49.645)
Yeah.

Yvonne Myers (04:56.154)
Yeah, so, you know, the governor in our state, Governor Hickenlooper back in the day in 2013 brought the sector partnership model to the state because he came from industry, right? I mean, he was a geologist and he also had a brewery and all those sorts of things. And our economy was not doing well and he felt like, well, industry is the one to bring that economy forward. So I was lucky to be on our local workforce board working at a long-term care company at Columbine Health Systems and

Brandon Burton (05:08.525)
Thanks

Yvonne Myers (05:24.438)
started the sector help start the health sector partnership and the chamber at the time said boy you know it’s industry-led we should be a part of that and actually became our fiscal agent for no fee we had somebody else doing it for eight percent and when i called the chamber and said can you help us out i hope to get only one or two percent and they actually said well we’ll do it for no cost it was like yay so all of our money was just great

Brandon Burton (05:47.905)
Wow.

Yvonne Myers (05:49.882)
And we are still that fiscal agent. 15, since 2013, we are now fiscal agent for five out of the six sector partnerships in our region. 2013, the House Sector Partnership and Manufacturing Sector Partnerships launched. We’re the two longest sector partnerships in the country that are still active. So that’s a pretty crazy thing we didn’t imagine. And then when I came to the chamber, we

Brandon Burton (05:59.404)
So.

Yvonne Myers (06:18.882)
I really felt like we needed to launch more industries around because I really believe in the sector partnership model of industry leading where things are going. They’re the one who purchased the product of education. They’re the ones that have the issue and opportunity. And I do think our workforce friends, our education friends, our government friends really do want to help us. But when we’re sitting in our businesses doing our work and they’re in their secret lab imagining what we need, it never works. It just doesn’t work.

Brandon Burton (06:36.611)
and turn it into a little bit a little bit.

Thanks

I love that. Just imagining, right?

Yvonne Myers (06:49.114)
So we have to get up out of our house and then speak to them and say this is what we need and they will magically help us, right? But we’re not there at that conversation. so, the vice versa also, which is they’re in their secret lab going, we know what industry needs. So we’re going to create this and they should be also including us in those conversations. So that really is a very basic tenet of the work that we do here is like industry needs to be there and you need to be speaking up. And so,

Brandon Burton (07:09.39)
So, we’re to have a great time.

Yvonne Myers (07:18.508)
When I started then, the nonprofit sector partnership, some of the nonprofits came to me who knew about sector partnerships said, we want to start one. And I was like, are you an industry? I know it’s a terrible question to ask, but I was like, are you? And so we pulled data around how many we have, how many employees, the economic impact, and went, holy buckets. And they don’t tend to show up in numbers because they’re tucked under government. They’re tucked under here. don’t really have to kind of pull them out of light cast in some of those places.

Brandon Burton (07:31.34)
Yeah.

Brandon Burton (07:46.75)
Great.

Yvonne Myers (07:48.25)
We launched the nonprofit sector partnership. You hope to have 30 industry members at your launch meeting to get impact. We had 90 people there from nonprofit. You hope that they walk away with three things they want to work on. They want to work on five. know, nonprofits are used to roll up their sleeves and doing their work. And so we, our region had formed a TID attacks incremental district to

Brandon Burton (07:59.907)
Wow.

Yvonne Myers (08:16.826)
charge more, if you come here, you have to pay a little bit more to our hotels and motels and things. And then that money goes to marketing the region. And I said, well, you’re then already a sector partnership because you have to lay down your competition as industry and come together to work on issues you can collectively solve. So that was an easy lift of the hospitality sector partnership. So they’ve now been launched about four years ago. And construction launched during the

I mean, they launched like March 10th and then we all got shut down like the 20th, right? And so they did very little during COVID. They relaunched and they said, we’re gonna do a construction con. We’re gonna bring hundreds of kids in to learn how to, I mean, they bring in like big equipment and the kids actually get to sit on big equipment and do some things and all of that and do welding and that kind of stuff as well. so theyโ€ฆ

Quickly, people want to write them checks, and they’re like, hurry to take the checks. And we’re like, we’ll be your fiscal agent. We’ll help you. So we provide directors and officers insurance. provide, we sign the contracts for the events they go to. We use our liability insurance. So all we do is create that frame for them to be successful and hold them up. And they go off and do the work, right, as well. So a year ago, we launched the Financial Sector Partnership. And I can tell you that.

Brandon Burton (09:21.102)
Thank

Brandon Burton (09:37.39)
Okay.

Yvonne Myers (09:41.221)
We kind of launch them all a bit the same with the leadership team and the committees of work you want to do. And then we let them be who they are. And they are completely all different. They have websites. And you can imagine it’s colorful and lots of stuff on the nonprofit. And the financial sector partnership is black and white. It’s very streamlined and much different. And so we get the opportunity to let them be who they are and do the work that they want to do.

Brandon Burton (10:05.806)
Yeah.

Yvonne Myers (10:10.508)
So with that, then received grant funds to the Health Sector Partnership came to us and said, we’d really like to do more work-based learning, but it isn’t working the way it’s going. Schools are calling us. We’re calling schools. It’s just like this disconnected mess. We don’t know which schools to call. Schools are reaching out to us multiple times. We were getting asked too much. So.

We collectively wrote a grant between the school districts in our region, the health sector partnership, and the chamber. And we were the fiscal agent and became the lead for the grant because we can more quickly write the grant and do the grant. You have to go through school boards. have to go through. And the health sector partnership is not an entity, so they can’t apply, as you know. So we received funding and hired a subcontractor to work directly with CTE teachers to bring industry to do work-based learning.

Brandon Burton (10:55.938)
Thank

Brandon Burton (11:07.822)
you

Yvonne Myers (11:07.834)
And we’ve gone, they have gone from 40 to over 400 with our help of activities where students are either getting paid and they’re in internships or they’re doing job shadows or informational interviews. And what we find is when we can really hook that industry member and write that plan well of what a student could do in an internship or even in a job shadow, they will take more, right? And they will say, I need two or three.

Brandon Burton (11:34.978)
Yeah.

Yvonne Myers (11:37.755)
figure out this will be my pipeline for my employees. Some say well I went to Rocky Mountain High School I want to support Rocky Mountain High School I’m doing good work for these students to get exposures and we really push this notion you hear this across the country you know I can’t imagine a job I’ve never heard about right so we really and the we use the Zello platform which is what the school district started with so it’s XELLO

Brandon Burton (11:56.062)
Great.

Yvonne Myers (12:05.698)
And students also make requests. now the grant ended and it’s now a staff member and we found some more funding through our local nonprofits and our county who gave us funds to continue doing this. We find that our staff member has to cold call. Three kids wanted interior design, so she calls the interior designers and she’s got now two wonderful interior designers who regularly take students, them in a great way. These students are

Brandon Burton (12:08.504)
So.

Yvonne Myers (12:34.394)
amplified and say this is what I want to do and off they go into the wide world of you know learning how to be an interior designer. So that’s been highly successful. When the state of Colorado then put out more funds to incentivize business to do this workplace learning, they recognize the cost. I mean the staff member that’s off the floor or out of the position to do that work to develop the plan all those sorts of things. So

We applied and received a half a million dollar grant and we were able to give out 400,000 in incentives and did so in eight months. gave up to $10,000 if you did all the way to an internship. And so we had 150 businesses, we could only fund 48. We really found that this was really, and it didn’t.

Brandon Burton (13:12.194)
Nice, that’s cool.

Yvonne Myers (13:25.252)
There’s not a one-to-one match. Industry isn’t getting fully paid for the work they’re doing. That little donut shop is not, the 2,500 is not gonna cover their costs, even the 10,000. But it’s a recognition that there is a cost, that there is an effort that you have that we recognize that for you. And so we actually received $50,000 in funding this past year from Woodward, one of our larger industries in the area.

Brandon Burton (13:47.886)
you

Yvonne Myers (13:51.109)
who said, well, we want to continue doing that work. have a charitable trust, and they gave us funds. And we have a request in for more funds from them to do this incentive work as well. And that all came out of the sector partnerships wanting to do work-based learning with funding that we got. So it sort of just starts to build on itself as you go.

Brandon Burton (13:59.599)
And that’s awesome.

Brandon Burton (14:07.97)
Yeah. Yeah, that’s very cool. So these business sector partnerships, you know, I imagine for some listening, it may be a new concept. Maybe their chamber doesn’t, you know, take this approach. How do you go about starting a business sector partnership? And do you feel like you have to get all of the businesses in that sector in your region or whatever to be a part of it? Or are there going to be some that abstain from being a part of the partnership? How does that work?

Yvonne Myers (14:37.358)
That’s super. Those are super great questions, Brandon. So when Colorado started it, we used what’s called the Next Gen Sector Partnership model. And they’ve just changed their name to Foundation. So I think you could Google Next Gen Sector Partnership as well. And you do reach out to those who are most influential in that region that are going to bring that

Brandon Burton (14:50.538)
Okay. Yeah.

Brandon Burton (15:03.95)
Makes sense.

Yvonne Myers (15:05.88)
are going to bring others. If you get an invite from that restaurant owner, you’re like, I don’t know what it is, but I better go. So you kind of lean on those. they don’t have to be leaders after that. You kind of not use them, but you activate them for that moment. And so we traditionally always use the Purple Wall model. It’s a Canadian facilitation process. So if you Google Purple Wall facilitation, you will find it.

Brandon Burton (15:12.962)
Yeah.

Yvonne Myers (15:35.693)
And it’s really just a parachute piece of material that’s purple. And you spray sticky on it, and you put all the industry at a U-shaped table, and you say, what keeps you up at night? And it takes a minute. Someone has to be brave and write the first thing. And with our health care one, one of the hospital administrators wrote, I don’t know how to discharge mentally ill people out of my hospital, and I have no resources. And they’re just sitting there. And so I

Brandon Burton (16:01.046)
that’s huge.

Yvonne Myers (16:03.222)
I lifted that up and read it to all the other people at the U-shaped table and they said, that’s what we’re talking about. And then the cards start flying, right? And you place them together, you know, in cards that match. And pretty soon you have 42 cards that say behavioral health is an opportunity, Workforce is an opportunity. What the last purple wall for the health sector partnership is every couple of years you do it again to be sure you’re on track. For the now for hospitals, it’s safety and security of the staff.

Brandon Burton (16:14.635)
Thank you.

Yvonne Myers (16:33.05)
That is becoming a very big opportunity for a second party to work on. And there’s a bit of a model that says you need a leadership team, you need some bylaws, and you shouldn’t have quarterly meetings and committees, or so. I mean, after that, do what works for you, absolutely. And a lot of times, when we started, I didn’t worry about who came. I just thought, we need to make it.

Brandon Burton (16:34.807)
Okay.

Brandon Burton (16:47.502)
Or do what works for you, right?

Yvonne Myers (16:59.854)
We need to keep moving it forward so people will find out and say, well, I better become a part of that, right? And that we kept it valuable and important. So like the health sector one that I led for eight years as a healthcare employee, we always did a post-legislative recap of what happened. Nobody has time to follow what’s happening in the legislature and know what’s going on. And then sometimes, then they’ve moved to now they have a legislative committee because we have a lot of legislation around healthcare now. So now they’ve moved to a

not a listening after, but a proactive before, right? And that’s again, that evolution of these sector partnerships moving and they want. But for me, they are a confab of the willing, working on what they want to work on. So he who shows up, we work on the things you wanna do, right? And so if it’s not meeting your needs, then you’re not gonna come, or you get a group of people together who say, want to work on this sort of a thing. So yeah, and not everybody has to join.

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Brandon Burton (17:53.603)
Yeah.

Yvonne Myers (17:57.755)
Keep it going, keep it moving forward, and people will come when they want to.

Brandon Burton (18:01.548)
Yeah. And I imagine in every community, those business sectors are going to look slightly different. I you may have some overlap where healthcare is something important or housing or manufacturing or whatnot, but others, maybe manufacturing is not as big of a factor and you go a different direction.

Yvonne Myers (18:10.595)
Right.

Yvonne Myers (18:18.616)
Very much so. We have one of the only nonprofit sector partnerships in the country because nonprofits, there’s a part where industry also contributes, right? They may pay for all partner meetings. They may, you know, for the construction con, they’re all buying the booths, they’re bringing their equipment. mean, they’re spending cash to do this and nonprofits don’t have as much money. But our nonprofit sector partnership is very active and has figured out how toโ€ฆ

Brandon Burton (18:36.994)
Yeah.

Yvonne Myers (18:45.156)
to do all of that without pulling money away from the nonprofits themselves. So they’re very active. So you’re right. It’s unique to each community in each region. We found the financial sector partnership when they launched, they’re one that kind of crosses over all the sector partnerships and fiscal literacy or financial literacy has become a topic with everyone because even though wages have gone up, people are still struggling with what things cost and housing and all that.

Brandon Burton (19:00.258)
Yeah.

Yvonne Myers (19:12.738)
So they’re looking at how they can bring trainings and education to the other sector partnerships. They also highlight the financial sector partnerships. Every all-profit meet and all-partner meeting hosts a nonprofit to share with what they’re doing so these banks and other financial folks can understand what’s happening in the nonprofit world. And so they’ve actually started to cross across each other to support each other as well, which has been fun to watch.

Brandon Burton (19:33.219)
Yeah.

So.

Very cool. Now, I know you guys have gotten into the work with focus with automotive and HVAC industries. You want to tell us about that and how that came to be?

Yvonne Myers (19:47.405)
Yes. Yeah, yeah. So our state did some financial training for those of us that are intermediaries. As the chamber has gotten into workforce, we’re now listed as a workforce intermediary. So we’re a connector between industry and workforce, economic development, all of that. And so, right?

Brandon Burton (20:05.42)
Yeah.

Convino, right?

Yvonne Myers (20:10.606)
And they recognized with all of the ARPA money that had flowed into all of us, post-COVID, that that was going to dry up. That’s once in a lifetime. We hope none of us want to live through another COVID situation. And that what was going to happen after this big infusion of cash, and then things were going to stop. And so they did financial training for us. And in that were folks from the US Chamber of Commerce Foundation and their Talent Pipeline Management Program.

Brandon Burton (20:20.215)
Great.

Yvonne Myers (20:38.682)
And so I started to learn about that program. So I decided to take the course. And so glad that I did, because it really builds on sector partnerships, which is industry-led, but in really the workforce committee. The sector partnerships might work on legislation or labor laws or other things, labor laws, or liquor laws. We have a thing that went on in liquor laws with hospitality. And so.

Brandon Burton (20:57.186)
Good.

Yvonne Myers (21:03.49)
With the talent pipeline management, really is industry coming together and kind of owning what’s happening in that space. And what I mean by that, like with HVAC, when we met with them, we said, what is your greatest need that you have to solve in the next two years? That’s how TPM is. And they said, we need entry-level maintenance technicians. But guess what? With those 10 folks, they titled that title 10 different names.

And that’s a problem, right? So how can I as a CTE teacher, how can I as a parent, how can I as an applicant even figure out what role this is across all of these vendors and providers? Also, we went through an exercise of agreeing to what are all the skills they need to have to be hired and what skills are they going to be taught as they’re moving forward. So they come into alignment with that because then we take that to education and say,

Brandon Burton (21:30.432)
Really? Yeah it is.

Yvonne Myers (21:58.157)
If you can teach these things, we will hire them from you. And maybe there’s 15 things, and my business wants 18 things. Well, those three are mine to teach. These 15 will come from education. And then you survey your education and say, what programs do you have? How many students can you take? So in our region, our HVAC providers, and it’s from Brighton, Colorado, which is a little closer to Denver, up to Laramie, Wyoming, that’s the

Brandon Burton (22:02.52)
Yeah.

Yvonne Myers (22:26.616)
the geographic area our HVAC members provide, they said we need 250 over the next two years. Well, that number wakes up education, right? If I call as my own little HVAC company and I say I need three people in next two years, they go, well, isn’t that sweet? I’ll send some resumes or, you know, come see our students. You say 250, you move the nation, honestly. And so our local school district here, are

Brandon Burton (22:34.478)
Wow.

Brandon Burton (22:44.898)
Yeah.

Yvonne Myers (22:54.292)
aging as a state in Colorado and we’re not having as many babies and our schools are you know some places in Colorado are closing schools and our district would like to repurpose them and use them for education of other folks right in the evenings on the weekends adults that kind of thing I’m sure that’s happening across the country as well so the HVAC folks did surveys with educators and community colleges and you know do you need a two-year degree do you know

Brandon Burton (23:09.314)
Yeah.

Yvonne Myers (23:24.154)
what education do you need? Where can we hire folks and then train them and then put them back into education? How can we look at this differently? The automotive is in the same place. There are a few months behind them. in both cases, like yesterday’s meeting with our automotive, we had our school district here and they’re like, what would it take for you to hire somebody under 18? They’re like, well, we can’t. Well, right.

Brandon Burton (23:49.342)
Why not?

Yvonne Myers (23:53.131)
In healthcare, when I was asked that question, why can’t you hire him under 18? I said, well, it’s a nursing home regulation. Well, it’s not. And I said, it’s an OSHA rule. It’s not. It must be a labor law because we’ve always done it that way, right? It’s not a labor law. I asked our liability insurance provider. He said, yeah, you can’t. And I said, can you show me where that is? Because I needed to tell other people why we couldn’t do it. So give me the piece of paper. And then he came back two weeks later and he said, yeah, I got it.

Brandon Burton (24:03.48)
No.

Brandon Burton (24:16.11)
Yeah.

Yvonne Myers (24:22.042)
So we started taking students in high school when they finished the med prep program because you want to grab them when they’re ready and you want to get them going and you want to get them in your, you know, in jobs and, and then we’d scholarship them. Then we would pay for their nursing, right? And so same sort of thing in automotive and HVAC. And what I love about it is it, it holds industry accountable to stop stealing from each other and paying another dollar and taking that employee there collectively together.

Brandon Burton (24:47.512)
breath.

Yvonne Myers (24:49.848)
They also are helping develop curriculum. They also are helping to donate supplies. Like they can push on their suppliers and say, hey, so our high school automotive bay is one bay and I guess the lift is bad. I don’t know about lifts, know, but all the automotive people are like, this is terrible. We need to get to four bays and they can use their influence with their suppliers who want students to be hired so that they can supply the supplies. And so

Brandon Burton (25:06.007)
yeah.

Brandon Burton (25:19.182)
Yeah.

Yvonne Myers (25:19.896)
Here it works. And the magic of it is that industry has had their head down all these years saying, well, they just don’t provide me the right people. Those educators don’t know, get to play and understand the parameters of what education has to work under and the limitations they might have or the issues they might have. The educators who say, well, these industry people never hire the right people, they get to hear on the other side. And then we collectively come together and try to solve that problem.

Brandon Burton (25:46.742)
Right.

Yvonne Myers (25:47.567)
You know, it’s a long journey, right? We’re not going to get to 250 students. But three to five years, we should look back. And the idea is now we’ve done maintenance technician for both HVAC and automotive. Now what’s the next step? And what’s the next step? So the last part I’ll say is that for automotive, the greatest need they have are master mechanics. And that takes 10 years. You have to have enough pipeline coming in to get enough people to go that decade to get to be your master mechanic, right? And that’s what we’re doing.

Brandon Burton (26:01.518)
Yeah.

Brandon Burton (26:16.686)
Yeah. And really with both of those industries, HVAC and automotive, I mean, with the rise of AI, those are going to be jobs that are around for a while still while a lot of white collar jobs are going by the wayside with AI.

Yvonne Myers (26:17.476)
create here.

Yvonne Myers (26:31.702)
are going away. And yesterday we had our Larimer County Workforce Center staff member with our automotive meeting and he said, and I had never heard this before, but that a lot of AI jobs are filled by women, jobs that AI may take away, and that this would be a new place, a new market to get, have women that can come into HVAC and automotive. And most of the people in our area anyway that are managing, owning, running these businesses

Brandon Burton (26:51.534)
Yeah.

Yvonne Myers (27:00.362)
all came out of like VOTEC programs. They had automotive in middle school, right? And those programs are gone and they’re coming back, but they need to come back with industry supporting them and getting the right equipment. can share an interesting story. One of our community colleges here had a tour with all the automotive folks and they said, and over here’s our showers, because we know you all have showers, so we wanna mimic that, we wanna teach them how it’s all gonna be. Andโ€ฆ

Brandon Burton (27:05.454)
Yeah.

Brandon Burton (27:16.942)
for the AI on the of this unit.

Brandon Burton (27:24.472)
Thanks.

Yvonne Myers (27:26.914)
I looked around and all the automotive people had such funny looks on their faces. And so when we got back to the main room, I said, I want to go back to that shower. You all had such funny looks on your faces. And they said, not a one of them has showers, not a one. And so there must have been some automotive person someplace that said we had a shower and then education thinks they need to provide that. And think of the cost of putting in the showers and having the showers and talking about the showers. That’s not what we need. We might have needed.

Brandon Burton (27:41.077)
Wow.

Brandon Burton (27:48.162)
Yeah.

Yvonne Myers (27:53.989)
three more car bays or an electric car bay or something different than that. And so I’m super excited and to watch the aha moments. So yesterday they said to the school district, well, if you have 18 students and they’ve gone through semester one and semester two and they have their ASE certification, how do we get those kids? You could just like, wow, 18 kids, you know? And she said, well, have this, do you do a career fair? And I said to them, when you’re in this talent pipeline management,

collaborative and you’re coming to meetings and you’re donating equipment and maybe even giving scholarship funds. You you pay or do what you want, but you have opportunities to play more because you know what the need is. You have first bid on those students right like you are helping to create the pipeline and it was like. What like crazy town and the other part is that industry, whether it’s HVAC or automotive, we’ve heard this a lot honestly feel like.

The students that come out of the schools are the ones who everyone said, well, Timmy and Sally, they’re not going to make it. So we’ll just stick them in automotive or HVAC. And that is right. And that really isn’t true. And with the advent of computers and the technology around automotive and even HVAC, I you have to plug in with your phone and understand the error messages and all the things. These are becoming highly technical positions.

Brandon Burton (29:02.798)
Right, yeah. Kind of a negative connotation, right?

Yvonne Myers (29:21.294)
They want all of the levels of students to come to them. And with HVAC, we’ve learned there’s 49,000 openings right now in the country for HVAC across the country. And these call centers and all these other places that have to be cooled and heated and all of that. And they say if you get HVAC trained, you can work anywhere in the world. And so kids are starting to hear that, parents.

Brandon Burton (29:45.858)
Yeah.

Yvonne Myers (29:50.359)
It’s very interesting, exciting stuff. And these were folks that sort of just popped up because the chamber hears and listens and sees what’s going on and has those industries with us. It wasn’t like we have this big data. We had all these automotive people saying we cannot find people we can’t get. And then HVAC, because it doesn’t have a union, which is maybe good or bad, I don’t really know. But because of that, they’re kind of.

Brandon Burton (30:02.638)
Makes those connections. Yeah.

Yvonne Myers (30:16.118)
out there a little bit and because it involves some electrical and some plumbing and a little bit of sheet metal they kind of fall in this no place and I’m super excited to help bring them together with a voice.

Brandon Burton (30:28.45)
Yeah, that’s fantastic. It’s exciting work that you guys are involved with with these partnerships. And yeah, it’s awesome. Well, as we begin to wrap things up, wanted to ask you, for those listening who want to take their chamber up to the next level, what kind of tip or action item might you leave for them as they try to work towards that?

Yvonne Myers (30:33.119)
well, thank you. Yeah, it’s fun every day. So.

Yvonne Myers (30:51.212)
Yeah, yeah, I do think that I feel very strongly, obviously, I’ve said a little bit earlier in this podcast, but that the chamber is a natural place to be leading this work, because it’s industry that needs to lead it. Education is mandated and is there and government and workforce and all those things are there. And, you know, we’re unabashed at saying industry would never do that. That’s not how you would meet with industry. This is how you would do it.

And our state is really flipping that script because many of our chambers are playing in that space. Our VATA chamber, Boulder, Grand Junction are really also, we’re all collectively in this space. And so I think you’re remiss if you’re not playing in that space, even being at the meetings. You may not have to be leading a TPM, but lifting up that voice and then bringing your chamber members to that.

Brandon Burton (31:35.95)
Thank

Brandon Burton (31:39.849)
Thank

Yvonne Myers (31:43.175)
Because the way the workforce system has worked for a long time isn’t going to continue working the right way if we’re not at that table. So I think that’s a really big deal. Don’t undersell yourself. you are vitally important in the workforce space if you’ve never stepped into it. You really, really are. And it doesn’t take much for you to get going. So don’t be afraid. Call me. I’ll help you.

Brandon Burton (31:48.44)
Right.

Brandon Burton (32:05.932)
Yeah, that’s great. I’d love that. I like asking everyone I have on the show about the future of chambers and how you see the future of chambers and their purpose going forward.

Yvonne Myers (32:17.21)
Yeah, know, next month I’ll celebrate five years here, but as you stated in my bio, you know, I was on the board for 14. And when I took over the marketing position at our company, not running an assisted living anymore, I thought, well, I don’t know if I can do this. The owner said, you have to go, you better go to the chamber. And I thought, well, what is that? So I went and it was Rolodex days way before the computers. And so I went from one Rolodex to two and I became someone at our company that, do you know somebody here?

Brandon Burton (32:36.685)
Yeah.

Yvonne Myers (32:46.626)
I do, and if not, know somebody who knows somebody here. so chambers are, to me, have to always be here. The collection of how industry comes together, has their voice, advocacy for business, that voice of business. But also, it’s a journey for a business. I come as a new, I just start, opened up my business. So this is how I learn how to market and how to, where SBDC is, where all the resources are to start my business. And then,

Brandon Burton (32:59.118)
Bye.

Yvonne Myers (33:13.752)
I get successful in my business and I start taking on internships or I start, you know, donating back to the community. And then I’m far enough along that I join your board and I’m making impact and decisions about all of that. And even past board members are still very connected to us and call us with ideas and suggestions and all those sorts of things. And I think the future of Chambers is even more important because of the importance of business and how we

Brandon Burton (33:25.432)
Thank you.

Yvonne Myers (33:42.735)
drive the economy, what a big say we have and what happens in our economy. But we also recognize the importance of government and nonprofits and all the other components. But without us, none of that works. And so I feel like chambers are going to maintain their importance and coming together to collectively work on things and not being in silos. And I’m not saying that chambers are, but sometimes in a region, we have 19 chambers in our region. And we do a couple of things.

Brandon Burton (33:53.1)
Yeah.

Yvonne Myers (34:12.334)
together every year. And that’s important to continue doing and lean on each other and work together. But I feel like chambers, the value of chambers will not go away. It hasn’t gone away since the 1800s and will still continue to be vitally important. And we need to be sure that we’re raising the funds and being in the front seat of convening, championing, and connecting people and continuing to do that work.

Brandon Burton (34:36.94)
Yeah. Yeah. That touches back on your original comment you made when we started this about the R &D within Chambers and just do that ripoff and duplicate and see what works in another community. And if it can work in your community, give it a shot. No shame.

Yvonne Myers (34:53.434)
Absolutely, absolutely. I have never not, I mean, I’ve reached out across the country and I have never not had anyone say, absolutely, here’s all my resources. Then two days later, I found some more videos for it. Here’s some more resources for you. And I just love the camaraderie. I just love the connection to how important industry is and entrepreneurism is and moving the economy forward. So it’s an honor to be here.

Brandon Burton (35:04.429)
Right?

Brandon Burton (35:17.876)
Absolutely. But in that vein, I wanted to give you an opportunity to share any contact information for listeners who may want to reach out and connect with you and learn more about all these exciting things you’ve covered today.

Yvonne Myers (35:27.982)
Sure, yeah, for sure. So I’m at the Fort Collins Area Chamber of Commerce. You can always Google that and we, you my picture’s there and all my contact information for sure. My email is the letter Y as in Yvonne Myers, M-Y-E-R-S at F-C as in Fort Collins Chamber dot org (ymyers@fcchamber.org). Our phone number is there as well. My cell phone number is on our website. So feel free to reach out at any point or at any time.

Brandon Burton (35:54.87)
That’s perfect. I’ll have all that linked in our show notes for this episode to make it easy. But Yvonne, this has been great having you on. And you guys are doing great work there in Fort Collins. And keep it up. And thank you for sharing some of that great work with us today.

Yvonne Myers (36:06.126)
Well, thank you.

Yvonne Myers (36:09.944)
Well, thank you for asking me to participate. I’m honored.


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Chamber Promotional Videos with Eric Hortness

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Brandon Burton (00:00.738)
Hello, Chamber Champions. Welcome to Chamber Chat Podcast. I’m your host, Brandon Burton, and it’s my goal here on the podcast to introduce you to people and ideas to better help you serve your Chamber members and your community. Our guest for this episode is Eric Hortness. Eric is the Executive Director of the Madison Chamber of Commerce in Madison, South Dakota, a role that he’s proudly held since 2017.

Before stepping into the chamber world, Eric built a career around athletics as a college baseball coach and fundraiser for Dakota State University. His passion for community and teamwork continues to shape his leadership today. Outside of his chamber work, Eric stays deeply connected to the game of baseball, coaching Madison’s spring high school baseball team and cheering on his son who plays college ball at Mount Marty University.

He and his wife Desiree are raising two sports loving kids, including a daughter in sixth grade who’s always ready to compete. Whether it’s family activities, chamber initiatives, or coaching from the dugout, Eric brings energy and commitment to everything he does. But Eric, I’m excited to have you with us today here on Chamber Chat podcast. I’d love to give you an opportunity to say hello to all the chamber champions who are out there listening and to share something interesting about yourself so we can all get to know you a little better.

Eric Hortness (01:24.293)
Yeah, I appreciate it, Brandon, for excited to be here and thank you for the invite. Something exciting, you know, I started with the Greater Madison Area Chamber of Commerce in 2017 and that was really my first, I guess, delve into the chamber world. I reallyโ€ฆ

didn’t have a whole lot of knowledge with a chamber of commerce before that. But it did help that I was fundraising for our university’s athletic department before that. So I knew a lot of the business owners already. Madison, South Dakota, for those that are not familiar, we’re about 45 minutes Northwest of Sioux Falls, South Dakota, which Sioux Falls is the largest city in South Dakota.

Madison’s about 6,500 people. We do have two lakes on the outside of Madison. So when you factor in the two lakes, we’re about a 10,000 population area. And then with the university, we always joke that in the summer, we trade out our college students for lake people.

Brandon Burton (02:48.814)
Yeah, as I say, tourism. So that makes sense. For other college towns, the college students leave in the summer and the population just gets cut in half or something dramatic like that. So it’s nice that you’ve got that balance to be able to keep things moving in the economy. That’s awesome.

Eric Hortness (03:00.825)
Right. Yep.

Eric Hortness (03:08.399)
Yeah, and that’s, you know, we try to, you know, we try to do some things in the summer to draw those, what we call Lakers into our community and hopefully spend some money.

Brandon Burton (03:22.19)
Very good. Well, tell us a little bit more about the, tell us a little bit about Madison. Tell us about the Madison Chamber. Size, staff, scope of work, budget, just to kind of set the stage for, as we dive into our topic today, just to know what kind of resources you’re coming from.

Eric Hortness (03:38.309)
Sure, we’ve got roughly 275 members. We call them investors. We have a staff, including me, two and a half, two full-time and then one part-time staff member. So we rely very heavily on volunteers. Our board is very engaged and I don’t want to call them hands-on, but they are always willing to help.

when we need them to. But like I said, the volunteers for a lot of our different events are huge for us. We wouldn’t be able to do a lot of the things that we do do without a wide range of volunteers. Budget wise, we’re in the $400,000 to $450,000 range for our annual budget. And that comes from

several different buckets from investor dues to some funding that we get from our city because technically we are chamber tourism, downtown, all rolled into one. So we do get about a quarter of our budget from our city. We have some referral programs with some of the companies that we work with that

that generates some revenue as well. And then some of our events and programs help round out our budget.

Brandon Burton (05:15.286)
Yeah, it’s always good to have some good sources of non dues revenues. So you’re not just relying on those investor dues or membership fees and whatnot. Well, I’m excited to dive into our topic of discussion today. We’re going to be covering chamber promotional videos and Eric shared with me a few videos that they’ve done to promote some different events there at the Madison chamber. So we’ll dive in deep on this topic and how they’re doing things there in Madison as soon as they get back from this quick break.

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All right, Eric, we’re back. As I mentioned before the break, we’re talking about chamber promotional videos. Tell us what you guys do. You call them cool dad videos. How did this come to be? What was the idea that generated this and how do you utilize them?

Eric Hortness (06:09.317)
Sure. So this started a couple of years ago, really by accident. And it’s one of those things that can kind of be chalked up to some of your best ideas kind of happened by accident. So we now, since 2018, we do a downtown concert series on our main street. And it has grown from the first year we had a half a block of our main street closed.

And now it’s gone up to three blocks that we close off for six Tuesday nights in the summer. We have sponsors, headlining sponsors, food trucks, inflatables for kids, all kinds of different activities. With a band and we have a little beer tent area. And now we get about 2,500 people down to our downtown on a

on a Tuesday night in the summer. So a couple of years ago, one of our main sponsors wanted to do a little promo video. And so we came up with this idea of let’s just do a kind of two cool dads at a car show. Because with our concerts, we also have a theme. And that particular night was going to be classic.

So anybody that had a classic car that they wanted to show off, they could come and park on one of the blocks that we close off and just show it off. So that was kind of the start of the idea. Just a couple of quote unquote, cool dads walking around at a fake car show is how the video started.

Brandon Burton (07:57.94)
Alright, well, let’s paint the picture. What are these cool dads? I mean, what makes them so cool?

Eric Hortness (08:05.029)
Well, we have fanny packs that we wear for all the videos. We have hats that really probably don’t fit all that well. We have high white socks that we wear and Birkenstocks. So that was our first outfit as a cool dad.

Brandon Burton (08:25.432)
That’s pretty cool.

Eric Hortness (08:34.341)
You know, that’s, I guess, what we envision of dads walking around at a car show.

Brandon Burton (08:41.866)
All right, so yeah, continue with the, didn’t mean to throw you off of the story of promoting the Tuesday night concert series and everything, but we had to get this visual. So these cool dads, they’re doing this video to promote this, but go ahead and continue with the story.

Eric Hortness (08:58.147)
Yeah, part of the, I guess, the outfit also is of course, this is happening in the summer. And so we’ve got shorts and our t-shirts are tucked into our shorts. you know, those, that type of look is what we went with. Gaudy sunglasses. So that paints the picture for everybody on what this first video was centered around.

And we were just doing a promo video more for our sponsor to help get the word out that they’re sponsoring the evening. And, you know, maybe draw a little bit more classic cars downtown. And the first one that we did, it was kind of a one-off deal. Our sponsor is a Heartland Energy for this first video.

energy provider in town. And the other person, that’s the other cool dad, works for Heartland Energy, but also happens to be a state senator. And so he’s, him and I are the two cool dads in all of these videos. And as you can imagine, the dad jokes were not difficult to

Brandon Burton (10:21.134)
I love it. So this first one happens almost by accident. You’re asked, hey, what can we do to promote this, of shine a little more light on our name as a sponsor, that sort of thing. So you guys come up with this idea. How do you, I mean, was it just shot like with somebody’s iPhone? How did you do the first one and how has it evolved to the different videos you do now?

Eric Hortness (10:50.789)
Sure, all filmed with our marketing coordinators cell phone. We have wireless mics that we wear as we did in the first video. We really haven’t changed how we produce these or how we make them. It’s all filmed with a cell phone and a couple of wireless mics.

And, you know, once that first one was released, it really got people talking not only about the event that we were promoting, but just people enjoyed it so much. We still really can’t go anywhere without somebody mentioning when’s the next Cool Dad video coming.

Brandon Burton (11:45.166)
Yeah, that’s cool. So about how many videos have you guys done up to this point? I don’t know if you know a number of it’s just a ballpark guess.

Eric Hortness (11:55.025)
I think we’re, you know, as far as Cool Dad videos, I think we’re in the 12 to 15 range right now with, you know, it’s really gotten to the point now where people, after that first one was released, other entities that had events coming up reached out to us, hey, can you do a Cool Dad video promoting our event? And that’s really what we,

have centered around now is just promoting some of our other investor events that we have coming up. A little, I guess, info on Madison, Miracle Treat Day is ran, it’s a national event with Dairy Queens, and it’s in July every year, and everyโ€ฆ

Blizzard that is purchased, a portion of that goes to help cancer research for children. And our little old Dairy Queen in Madison, South Dakota sells the most blizzards in the nation every year on Miracle Treat Day. So our second video that we did for the Cool Dad was promoting Miracle Treat Day. And it kind of ended with

started where the car show ended. we just kind of played off the car show a little bit. And, if you followed the videos, you can see the connection between our, promoting our downtown Madtown concert series and then miracle treat day. they kind of tied into each other, but now, you know, since then we’ve done several other videos with some of our other investors that have helped.

increase attendance at the events.

Brandon Burton (13:55.064)
So that was gonna be my next question. It’s nice that people around town are seeing it and they’re asking you, hey, when’s the next cool dad video coming out? But in the end, what’s it doing to promote those sponsors or drive attendance to the events? can you share with us what things maybe looked like before starting to do these promotional videos versus after, or what’s that increase been like for these different events?

Eric Hortness (14:20.879)
Sure. You know, some of the videos that we’ve done to help promote other events, our local Kiwanis chapter does a pancake feed every year as a fundraiser for their organization. We did a, I call them stupid video. We did a stupid Cool Dad video with the head of the Kiwanis chapter.

where they needed some cool dad help in, in, making all the pancakes. that was the most after leading up to that event, that was after the video was released that year, they, sold the most tickets for their pancake feed, that they’ve ever sold. And this has been, this is something that’s been going on for years and years.

We did another video for our Trojan Athletic Club, is our, basically our booster club for our university athletic department. Funny story about that. We, we did it with the football coach as we were trying out for the football team, two cool dads trying out for the football team. And unbeknownst to us, we walked into the football coach’s office as we were filming.

And the coach had sunglasses, Birkenstocks on, a fanny pack. Right. And, you know, we’re such a small community that, you know, we, everybody knows everybody, good or bad. Everybody knows everybody. So he had seen the videos. He knew what was, what was coming up. He’s a character himself. But we had no clue that he was going to be, I guess, dressed in.

Brandon Burton (15:53.422)
You got the memo.

Eric Hortness (16:17.797)
Cool Dad costume. But that was the highest that year that we did that video for the Trojan Athletic Club was the highest membership that they’ve ever had. It was kind of a kickoff to their membership drive for the Trojan Athletic Club is what we did for the video. So just different things. I mean, we’ve done one for, we had aโ€ฆ

a brand new city hall that just opened up a handful of months ago. So we did a cool dad video just walking around city hall. As you can imagine, school drop off at the elementary school, it could be a reality show in itself. And last year, at the start of the school year, we did a cool dad video of

Brandon Burton (17:06.776)
Right?

Eric Hortness (17:15.109)
the do’s and don’ts of school drop off. So it’s really taken off with all kinds of different aspects of our Cool Dad videos.

Brandon Burton (17:30.71)
So what made you guys land on the Cool Dad brand, we’ll call it? mean, did it, again, just by accident or did you kick around some other ideas? How did it land on this?

Eric Hortness (17:36.229)
Ha ha ha.

Eric Hortness (17:43.299)
No, think just, you know, when that first video, when we were preparing to start it, really didn’t have a title. We didn’t have a title. We just said, hey, let’s act like we’re two cool dads walking around at a car show. And the cool dad kind of just stuck.

Brandon Burton (18:03.734)
Yeah. So is there any kind of scripting that goes into it? Like, do you talk ahead of time about, let’s do this, this, and this, or do you just ad-lib the whole thing with the common goal of what you’re trying to accomplish?

Eric Hortness (18:15.223)
Yeah, most of it is ad-libbed. We just kind of play off of each other. There typically is some text messages the day before of, let’s get a couple of these one-liners fit in somewhere. It seems like when we have a script, we have way more takes that we have to do than if we don’t have a script.

Brandon Burton (18:44.408)
Yeah, you’re trying to make it perfect, right? Yeah.

Eric Hortness (18:45.445)
It just flows so much better when we don’t have a script and we can just kind of play off of each other.

Brandon Burton (18:53.71)
So you’ve tried it both ways. You’ve tried it with more scripting and more ad lib. And then what’s the post production look like as far as the editing and who’s doing that?

Eric Hortness (18:57.411)
Yeah. Yeah.

Eric Hortness (19:07.069)
Again, that’s our marketing Danielle with our office. She cuts it and pieces it all together and we’ve done enough of them now. It doesn’t take her very, very long to put these videos together. The program that she uses, she’s able to add in different sounds and we did a 4th of July video.

and she added in some sounds of fireworks going off and different things like that. So she’s great at what she does. I stay out of her way and every once in a while she’ll start chuckling and I know it’s gonna be a good video.

Brandon Burton (19:54.126)
I love it. That’s awesome. So I’m thinking for the chambers that are listening, you know, we don’t, I guess in the chamber world, we’re all about ripoff and duplicate, but I can see, I’m just envisioning, you know, a bunch of different, you know, cool dads, you know, going on at Chambers now, but I don’t know where I’m going with the question exactly, but in the brainstorming of creating a character,

Eric Hortness (20:06.959)
the

Brandon Burton (20:23.744)
rather than just creating another cool dad at another chamber. Were there any other ideas as you guys brainstormed it that could be, hey, if we were another chamber, I don’t know, or even if there’s no men working at the chamber, it’s hard to do cool dads. So I don’t know, what are some other kind of quirky, fun, engaging type of characters that might come to mind? Totally throwing you on the spot.

Eric Hortness (20:50.757)
No, yeah. You know, I guess my opinion is the chamber position, the chamber office should be a fun, enjoyable, have fun with the position. I’m not saying that I’m not serious ever, but I don’t take it too serious.

where it’s going to cause a lot of extra stress that, I mean, yeah, chamber work is stressful, but I’m, I’m one that wants to have fun and have civil conversations and, and make people laugh and different things like that. so I, I guess my number one thing would be just have fun with it. Don’t take it too serious.

I’m okay with embarrassing myself from time to time on these videos. It gets people talking, it gets people aware of the events rather than just a suit and tie video where it’s boring and stuffy and things like that. Just have fun with it. In a lot of our videos, we try toโ€ฆ

make a mention of our wives, know, whether it’s they let us out of the house for a day to go to the car show or, you know, different things like that. So we have talked to them that they don’t like the videos. I’ll be honest with you, are embarrassed by the videos. So we’ve told them that as soon as they’re

two cool moms in a video, then we’ll stop doing the videos. So I guess a long way to answer your question is, you could certainly have two cool mom videos out there promoting events. I think just a little bit of brainstorming and with the idea of just have fun with it, I think people will come up with their own characters.

Eric Hortness (23:19.819)
A segue to that, we do a burger brawl in our community. And some of our promo videos one year, I was dressed as Guy not Fieri. And I had the goatee and the wig and all that type of stuff, Flavortown shirt promoting our burger brawl. And then at the end of the event,

Brandon Burton (23:35.914)
Okay.

Eric Hortness (23:50.085)
We have a chamber investor in town that has a mystery machine, Scooby-Doo van that they drive in parades and they have all the Scooby-Doo costumes. And so that was the premise behind all of those videos is that it was solving a mystery on who had the best burger. And so we finished giving the award and some of my board members were dressed as Daphne and Shaggy andโ€ฆ

Brandon Burton (23:57.461)
yeah.

Eric Hortness (24:20.537)
so I think, you know, if you just have fun with your videos, think outside the box a little bit, use your, your investor resources. they’re, you know, find ones that are willing to, to be in these videos. I think it’ll be, it’ll be an easy thing for somebody to incorporate once they get the ball rolling.

Brandon Burton (24:46.616)
What I really like about the approach you guys take is like I’ve seen other chambers, they’ll have the chamber chicks, you know, that go out in the community, but it’s very chamber oriented. And if you’re not already engaged, involved with the chamber in some level, it’s not going to resonate with you where you get a couple of cool dads that are going out. Everybody’s going to kind of tune in and be like, what, what’s going on here? These guys are ridiculous, you know, but it, it gets the attention. It ties it back to the chamber draws awareness of what the chamber is to people who didn’t know.

about it before. So I think it’s a kind of a stroke of genius of the approach that you guys are taking with this on purpose or not. I mean, I think now it’s more intentional.

Eric Hortness (25:25.605)
Well, yeah, yeah, it’s definitely gotten to be more intentional now. The first few were just kind of, yeah, we’ll do one and see how it goes. But yeah, it’s more intentional now. you know, some of the other chamber directors in our state and in our region know about them. They’ve watched them. Whenever they see me, they mention them. And then,

Senator Crabtree, the other cool dad in the video, you know, he’s at our state Capitol for three months out of the year. And so a lot of his fellow seat mates have seen these videos and, and, and the ones that I know, you know, they’ll make comments to me and different things like that. So it really has kind of, I guess, blown up.

locally and regionally a little bit.

Brandon Burton (26:24.662)
Yeah, that’s fantastic. Well, I like asking the question for chambers out there listening who are interested in taking their chamber up to the next level, whether it’s something related to our discussion today or something totally different altogether. What kind of tip or action item might you leave with them and trying to help them accomplish that goal?

Eric Hortness (26:49.221)
in terms of these videos or in terms of really anything?

Brandon Burton (26:54.232)
Just anything, yeah, anything to help elevate their chamber.

Eric Hortness (26:59.173)
Number one, don’t take yourself too serious. Make sure you have impactful conversations with your investors. They’ll tell you what they’re wanting and what they’re looking for. And don’t be afraid to make changes. I think it’s something, it’s an industry that is always gonna be evolving. And soโ€ฆ

The ones that I think are struggling are the ones that are probably set in their ways. And well, we got to keep doing it because it’s what we’ve always done. It’s okay to say no sometimes to events and things like that. And then the pushback when you say no is a lot of times it’s, well, if the chamber’s not going to do it, who’s going to do it? Well, if that’s the case, then it’s probably not an event worth doing.

So it’s definitely okay to say no from time to time to things.

Brandon Burton (28:01.612)
Yeah, absolutely. I like asking everyone I have on the show as we look to the future of Chambers of Commerce, how do you see the future of Chambers and their purpose going forward?

Eric Hortness (28:15.449)
You know, I think it’s going to get, I don’t want to scare the listeners off, but in my opinion, it’s going to be tougher and tougher to get the messaging out, to get the word out about what you’re doing. Everybody’s budgets are getting tighter and tighter. So if you’re not out,

being a champion for your business community, it’s pretty easy for them to write you off when they need to make budget cuts. So I think it’s, you know, goes back to your previous question, always evolving. What’s the, I don’t wanna say the newest trend because you certainly don’t wanna jump on a new trend that in a month goes away. But you gotta be conscious of,

where everything else is going with your investors and trying to mirror what they’re going to be looking for.

Brandon Burton (29:23.66)
Yeah, I think that’s good insight and again, good advice again. Eric, I wanted to give you an opportunity to share any contact information for listeners who may want to reach out and connect with you or learn more about your process. What would be the best way for them to reach out and connect with you?

Eric Hortness (29:45.317)
Sure, a couple of things. My email is eric, eric@chamberofmadisonsd.com. Make sure you put the SD in there for South Dakota. So it’s eric at chamberofmadisonSD.com. My cell number is 605-760-0621. And people can call or text me whenever they want.

You know, if they have questions about really anything that we’re doing here with some of our referral programs or anything like that, or more specifically, if they want to see some of the videos, they’re on our YouTube page, or they can email me and I can certainly send them a link to some of the cool dad videos that we’ve done or any of our other videos too.

Brandon Burton (30:41.516)
So these Chamber Chat episodes are going out on YouTube now as well. So anyone who’s just listening, be sure to check it out on YouTube. But specific for this episode, I’m going to try to link one of your Cool Dad videos after this episode plays so it can just roll into a Cool Dad video. I think that’d be a really neat transition and introduction to what it is that you guys are doing. But Eric, is, yeah, absolutely. This has been fun having you on the show and

Eric Hortness (31:06.287)
Sure, I appreciate it.

Brandon Burton (31:11.44)
talking about something not so serious, but that definitely is driving results. So I appreciate you sharing your example and what you guys are doing, what’s working for you. So other chambers out there can listen and try to replicate or make adjustments for their community, how they see fit. But this has been a fun discussion today.

Eric Hortness (31:30.681)
Yeah, you bet I appreciate the invite, Brandon and appreciate what you do for the Chamber world.


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Chamber Turnaround with Warren Call

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Brandon Burton 0:00
This is the Chamber Chat Podcast, the show dedicated to chamber professionals to spark ideas and to get actionable tips and strategies to better serve your members and community.

Hello, Chamber Champions. Welcome to Chamber Chat Podcast. I’m your hosts Brandon Burton. And it’s my goal here on the podcast to introduce you to people and ideas to better help you serve your Chamber members and your community.

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Our guest for this episode is Warren. Call Warren is the President and CEO of Traverse Connect, the economic development organization focused on advancing the economic vitality of the Grand Traverse region in Michigan. Traverse connect hosts the northern Michigan chamber Alliance, a coalition of 18 chambers of commerce and economic development organizations representing over 7500 businesses across northern Michigan that advocates for economic competitiveness and pro growth rural business policies. Warren’s role is to lead strategy for the organization, advocate for area businesses, represent the region globally and collaborate with local, state and national organizations on critical issues related to economic development and regional competitiveness. He holds leadership roles in several public policy initiatives dedicated to economic expansion, and was appointed by Governor Gretchen Whitmer to the Board of Directors for the Michigan State Housing Development Authority. Prior to joining traverse connect, Warren served as vice president and regional manager for Huntington National Bank with oversight board investments in private banking across northern Michigan. He holds an MBA in international finance from St John’s University, and a BA in history from Michigan State University, where he was the captain of the Michigan State University Alpine Ski Team. Warren, I’m excited to have you with us today here on Chamber Chat Podcast. I’d love to give you an opportunity to say hello to all the Chamber Champions who are out there listening and to share something interesting about yourself so we can all get to know you a little better. Yeah.

Warren Call 2:45
Hello, Brandon, thanks for the opportunity, and welcome all the chamber champions that are out there listening. It’s, it’s a pleasure to be with you. Yeah, Warren, call from, from Traverse, connect in Traverse City, Michigan, kind of maybe a little bit of background for me. The as you mentioned there in the in the bio ski racer, skiing is kind of my thing. I grew up in in a ski family. My parents both worked in the resort business, so we, we kind of lived there. And so I grew up skiing all the time. I was a high school and college racer. Worked in the ski business for a while in Utah, as well as in in Michigan. My brother was it was also chief of course for World Cup races in Colorado. And so we do a lot of traveling for skiing. We ski a lot here, and then been in a number of avalanches due to, due to my skiing experiences. Wow,

Brandon Burton 3:49
see, I’ve never been much of a skier. I’ve been snowboarding a couple times, but nothing. I can’t do it. It’s just not me. And I see videos of these people to get caught up in avalanches and like, that’s why I don’t do so that is interesting, though, and definitely an address adrenaline rush, I’m sure, absolutely. Well, tell us a little bit more about traverse, connect, give us an idea of size, scope of work, staff, budget, that sort of thing to kind of set the stage for our conversation today.

Warren Call 4:22
Yeah. So for anyone that’s not familiar with with Traverse City, traverse City’s Northern Michigan, the northern lower Michigan. So there’s the university the Upper Peninsula, the up, as we call it. We’re in the northern part of the Lower Peninsula of Michigan. The pinky of the mitt is, is basically where we are from a map standpoint, right on Lake Michigan. We’re about four hours north of Detroit, six hours north of Chicago, one of our claims to fame, Good Morning America, named us the most beautiful place in America due to Lake Michigan and the dunes and all that kind of stuff. Um. We’re Travers Connect is a hybrid entity. We’re both a Regional Chamber of Commerce and a regional economic development organization covering the five counties around Traverse City are, we’re we’re a small town, we’re a small region. We’re a Micropolitan Statistical Area. So think about 150,000 people in kind of the the micropolitan area our our chamber organization has 1000 member companies here in our in our five county footprint, we have about a $3 million budget and a staff of 11 here in Traverse City, we have a brand portfolio, as we call it, because again, we’re, we’ve, we’ve expanded beyond being just a traditional chamber. So we have under the traverse connect brand. We’re, we both have the five County Chamber of Commerce services as well as direct economic development for for this region. So business attraction, business retention strategies, you know, incentives for for business relocation, things like that. We also have what’s called the northern Michigan chamber Alliance, as you mentioned, and proud to report that it’s now 19 chambers of commerce and economic development organizations across the footprint. So that footprint is basically the northern half of the mid northern Lower Peninsula, and then all of the Upper Peninsula of Michigan. So the reason for that is from an advocacy and public policy standpoint. When our team is in Lansing, the capital of Michigan, or in Washington, DC, we’re not speaking on behalf of just Traverse City or just our micropolitan region. We’re speaking on behalf of all of Northern Michigan with a unified voice. We also kind of going through that band, brand portfolio further we’ve got, we house the Traverse City young professionals organization. We also have the Grand Traverse area manufacturing council. So that’s a subset entity that’s obviously focused on manufacturing. And then we run what’s called Michigan’s creative coast. That’s a talent attraction program for our region that is nationally, trying to attract talent to to Northern Michigan, so that that’s, that’s kind of us in a in a very brief nutshell.

Brandon Burton 7:36
And we could do, we could do about eight or nine podcast episodes and all these different branches that you guys are involved with within your your brand portfolio. It’s fascinating. I imagine, with the the 18th chamber now in the northern Michigan Alliance, that you’re probably close to 8000 businesses or so that are being represented on that, that advocacy front.

Warren Call 7:58
Yeah, our, our Director of Government Relations was actually just looking at that yesterday. She’s She’s put out a updated survey to all those those organizations, because we do want to make sure that I think we’re probably close to, or maybe over 8000 at this at this point. So you know, that’s, that’s a lot of businesses and a lot of organizations that we represent. And again, from an from an from an advocacy and public policy standpoint, you know, Northern Michigan, as with many rural areas and rural communities, you know, you can sometimes get lost in the mix. From a standpoint of, you know, in Michigan, Detroit speaks pretty loudly. Grand Rapids speaks pretty loudly. We want to make sure that policy makers know that the rural areas of northern Michigan are important too, and so we have that unified voice to speak on behalf of the rural areas.

Brandon Burton 8:50
I love it. It’s a great idea and a great strategy. So our focus for our conversation today is we’ve titled The episode is chamber turnaround. So we’re going to dive in deep onto to how traverse, connect became what it is today, and kind of the background story to that and and I’m sure a lot of the story can resonate with other chamber leaders across the country as they hear it, but we’ll dive in deep into that story and experience as soon as they get back from this quick break.

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All right, Warren, we’re back. So tell us, what is the background? What’s the story on on traverse connect, how did it come to be and and this whole idea of chamber turnaround, I think it’s safe to assume that things maybe weren’t as ideal, and then things had to happen to to get it on track to where it is today.

Warren Call 12:56
Yeah, it’s, it’s interesting Brandon, because what what we face here in the Grand Traverse region, the Traverse City area is unlike a lot of Michigan, or actually a lot of the kind of the industrial upper midwest Great Lakes region, we’re actually growing. We have really been on a pretty good trajectory from a growth standpoint, for a while, and what we needed was we had a lot of great institutions and a lot of great initiatives that were they were they were they were well intentioned, and they were well meaning, and what they weren’t is they weren’t modernized for our environment. So what we really needed to do is we needed to take kind of that big picture of Chamber of Commerce, services, economic development, and we needed to modernize our approach, or for the region. And what that really related to was we had a lot of organizations that were doing good things, but a lot of it was siloed. So there wasn’t a lot of coordination across some initiatives there wasn’t full coordination across the region. And so what we looked at was an opportunity to reimagine what business support services, in kind of its most general sense, looked like in our region. And it became, frankly, a wholesale reconstruction of of our organization and of of the approach to economic development and and Chamber of Commerce services for the entire region. So, from a from a background standpoint, it really, it really started back in in probably 2016 2017 there was, there was a number of initiatives that had kind of gone by the wayside. So a kind of an older, traditional public sector, county led Economic Development Corporation had gone dormant and didn’t have a lot of operations in it at the same time. Um, 100 plus year old Regional Chamber of Commerce, I wouldn’t say had, had certainly was still functioning and well functioning, but it was pretty traditional, and it was perhaps even a little bit stale in its approach.

Brandon Burton 15:15
I’ve heard that before from chambers have been around a long time. Yeah, right. And fantastic

Warren Call 15:21
legacy, very successful legacy, but needed, needed a refresh, basically, yeah, and then we had a number of initiatives that had newer initiatives that were important, so, especially in innovation and technology. So a new tech incubator had been stood up. A couple other good initiatives, but they were, they were in their own silos and not plugged into some of the other things that were going on. So a number of us, and I should, I should probably point out that I have no background in economic development or Chamber of Commerce services. So back at this point, I was actually working in the in the finance industry for a national bank with I was overseeing their northern Michigan operations. So I was involved in these things, but as a as a volunteer board member, yeah, so I was a volunteer board member on the Economic Development Corporation and on the technology incubator, and I was involved in one of the committees through the chamber, and there was things like that. But so we work, we were working as a community to re envision what economic development and Chamber of Commerce services should look like. And it there was a couple of retirements at some of these different organizations, and so we looked at that as an opportunity to kind of rethink what it what everything should look like. And at that point, I got asked by some of the people that you know, they said, well, great, but if we’re going to reconstitute everything, we want you to move from being a board member to being the guy in the chair. So I didn’t expect to be in that role. But that’s, that’s how it happened.

Brandon Burton 17:02
It sounds like maybe you spoke too much in these board meetings. I think so. I think, I

Warren Call 17:07
think I shared my opinion a few too many times, right? So what we ended up doing is the county’s Economic Development Corporation was reformatted with with new board members. I was, I was, again at that point, the volunteer chair of that organization, when we reconstituted it. And what we did is we, we built a strategic plan for rebuilding everything. And so that that process happened through 2017 2018 and then in 2019 I stepped into this role at traverse Connect, which at that point was a kind of a community development organization that hadn’t really found its footing. And so we, we, then my job was to work with a consultant that we had hired and build a strategic plan, not just for my organization, but for the entire region. So this really was a soup to nuts kind of approach. We had community wide forums, we had a listening tour. We had a steering committee made up of key leaders from business industry nonprofits from across the region, kind of, as I call it. That was our big shots group, right? We had prominent CEOs and other leaders who, you know, have influence. And what we ended up doing is through, through those public listening tours, those, those, those the kind of the road show as it was, the industry forums that we, you know, we brought together the manufacturers, and we brought together the healthcare providers, and we, you know, all these things. We ended up basically opening the hood, ripping everything out, and putting it all back together again in a new in a new structure. So we merged Travers connect and the Traverse City Area Chamber of Commerce together into one entity that’s now called Travers Connect. We spun off a couple of of subsidiaries that were no longer, you know, relevant, and we we then merged in over time, we merged in some of these other things. We expanded that chamber Alliance. It had gone when we went from 12, now up to 19 members. We also brought in and merged the Grand Traverse area manufacturing council as a now a subsidiary of our organization. And really what it was was we took all these outdated structures and we were trying to address the fact that we had growth in the region, which was positive, but we also had a lot of growth challenges. So we’re a very popular. Destination for tourism. We’re a popular destination for second homes, and those are very valuable aspects of our economy, but they’re not our only aspects of our economy. We have actually a lot of technology. We have a lot of advanced manufacturing. We actually have more employment in manufacturing than Michigan’s average. And for anyone that knows Michigan, there’s a lot that says a lot, right? So people think of us as a great place for vacations and beaches and cherry pie, but what they don’t realize that there’s also a lot of other things going on in manufacturing, in technology, in agriculture, so advanced value added agriculture, right? We, you know, if, if your kids ever eat, go, go squeeze, you know, applesauce in the packet that’s made right here in a very massive facility here, matern, the French company that has their their location here, we make a lot of wine that gets shipped all over the world, etc. So we’ve got a lot of things beyond tourism and and second home ownership, which are important to us. But one of the challenges there is we have a high cost of living because so many people want to either be here part of the time or be here, you know, for vacation, etc. So we have workforce challenges. So while we’re population was growing, our working age population was declining. Yeah, so 35 to 49 year olds, that core working age population, the people that run businesses, that you know, teach school, that have kids in the school system, that you know sit on nonprofit boards that kind of your core working age population that had declined by 7% between 2010 and 2019 Wow. So you can’t have a vibrant year round economy and community if you don’t have the people that are here year round working and, you know, getting their kids into snow pants and out to school the next day, right? It’s, you’ve got to, you’ve got to have that, that that year round population. So that was a wake up call to our region that we needed to do something. And so that was kind of all of the the work we did to institute a new structure and develop a new a new strategic plan was focused on the fact that we need to be a year round economy so and I can go into more more detail about, kind of, some of the key highlights of that, but I wanted to pause and see if,

Brandon Burton 22:33
yeah, I think that’s important to dive into some of those key highlights. I’m always curious as well, when there’s restructuring like this that goes on as to it. And you gave a great background about you being sitting on, on the two boards and ideas, you know, bubbling up. But you know, when you put the rubber to the roads to have the traction to actually implement these changes, it can be kind of sticky. You know, when you’re dealing with with leadership, with other organizations, multiple boards. So as as you talk to your next point, if you can try to work some of that into about the approach and and for a chamber listening, you know, not everybody’s has that perfect timing where everything aligns to just make it happen, but the vision is there of this is the direction our community needs to go. So if you can kind of speak to that a little bit too, as you in your response, yeah,

Warren Call 23:30
and there, there’s, there’s a lot there. But certainly, I think the key things here that we learned were that over communication. And I just mean complete, over communication and repeating. The reasons why we’re doing this were really key aspects of our approach, I think, because what we found was that, you know, people, people fear change. Yes, and organizations fear change. But really, when it comes down to it, there’s actually not a fear of change. They fear change because they fear loss. People equate change with loss. They think that the change you’re making is going to result in some kind of loss for them. And so we had to really do our homework to show that this change was not going to result in loss, it was going to result in gain for the community.

Brandon Burton 24:28
That’s a great framing. I like that. So

Warren Call 24:31
really thinking about, again, what you need when you’re going to implement big change like this, especially with 100 plus year organizations, and you know that legacy of the Chamber of Commerce and things like that, you’ve got to show that you’re respecting and building on that legacy and enhancing what it’s going to do going forward, not taking away from it. So part of that is, again, like I said, over communicating. So. Part of that is having a clear enemy. So again, from our perspective, that clear enemy was we lost 10% of the working age population between 2010 and 2019 right? I think I said 7% before, but it was actually 10% we lost 10% of that working age population in that that time period that got people’s attention, and that was the enemy, and we were able to focus our efforts around that enemy that allowed organizations to really work together. It allowed, you know, we had a business leader meeting with a county commissioner, meeting with a nonprofit, you know, hospital leader, all of them could agree that if you lose your working age population, you’re in trouble. So that that focused everyone’s mind, and it allowed us to do a couple of key things. Number one, I think it helped everybody kind of check their ego at the door, because it wasn’t about their organization or their project, it was about defeating that, that enemy, and then it also allowed us, I think, some latitude to what we ended up calling slaughtering some sacred cows. It’s

Brandon Burton 26:12
important, yeah, because everyone

Warren Call 26:15
realized that if we were going to address this issue of work, losing the working age population, we had to to come up with some new solutions. So that’s, that’s, that’s kind of the framing that helped us. I also think it was important that we did a lot of listening first. So we, we hired, sorry, we formed that kind of, what I called the Big Shots group, the key leaders across community as a steering committee, people that are trusted across business, industry, nonprofit, etc, that that helped. Then that steering committee was the one that gave me direction, and gave our consultants direction, and then we did these community wide forums, we did the listening tour, we did the workshops that were open to everyone. So we really we incorporated everyone’s feedback. And I think it’s important to do that regardless of what you’re doing. But here’s the thing you got to think about. And I think chamber professionals know this, you’re never going to make everybody happy, right? So that our new solution, our new structure, our new strategic plan, I think it’s well done. But of course, there, there’s going to people, be people that are going to not like some aspect of it, right? But being able to say we asked everyone for their opinion was really important, right? Even if we didn’t incorporate their opinion, maybe they didn’t like the final product, but we asked everybody. Nobody was nobody was on Ask. Everyone got tired of hearing my talking points because I repeated them so many times, and our steering committee repeated them so many times, but at least everyone felt like they were, they were heard.

Brandon Burton 28:03
It goes back to that over communication. And nobody can say, you know, I didn’t know this is happening, right? You’re talking about it, and you’re not catching them by surprise,

Warren Call 28:13
right? So that’s, that’s what resulted in, for example, the decision to have a hybrid structure, you know, our our leading private sector businesses were really tired of the chamber asking them for money and sponsorship and dues, and then the economic development corporation trying to get some funding, and then the tech incubator and blah, blah, blah, blah. So, you know, one entity that that has a really, you know, clear mandate. Now, you know, my private sector business leaders can say, I’m writing a check to traverse, connect, to do this, this and this right, so that, that we came really clear. And so it gave us, it gave us focus and clarity too. And we were, we were really intentional. And the end result of that, that hybrid structure and our strategic plan outlined exactly where we were going to lead, where we were going to support and where we weren’t going to get involved. So our focus became, you know, Travers Connect is going to our mission is to look at the economic vitality, strengthen the economic vitality of this region by growing family sustaining careers. So family sustaining careers year round. You can afford to live here. You can afford to put your kids in child care, etc. You can afford a house, a family, sustaining career is kind of the North Star. The way we do that in our three pillars of primary focus is the economic competitiveness of the region. Number one, strengthening that. Number two, direct support for business. Businesses, number three talent, making sure we’ve got talent attraction development and that continuum of of talent development, then we were really specific about where we’re going to support. We support the technology incubator in early stage company development. We’re not the leader in early stage. They’re the leader. We support them. We’re not the leader in housing development, but there’s an entity called housing north. They’re the leader in housing development. We support their efforts. So we’re really clear about, you know, some of those, there’s a community development. So some of the kind of more societal, environmental things. Yeah, we’re not the leader in that, but we support the community development coalition that is the leader in that. Okay,

Brandon Burton 30:51
this is all super fascinating, and I could see it’s a big undertaking as well, but being able to align the needs within the community to be able to say what’s important. How do we want to, you know, advance the future going forward, you said, create these family sustaining careers. Can you talk a little bit about some of the the outcomes that you’re seeing from these changes? How is the the temperature change? How has the mood changed in the community by implementing this. Well,

Warren Call 31:24
certainly, you know, again, as chamber professionals, know you’re never going to make everybody happy. So there’s still the same things that we always have, right? We still have challenges with with, you know, elected officials not agreeing with each other and different priorities. And always that tension between managing appropriate growth versus maintaining our character and our charm of our communities. Those are always things that continue to be items of debate. But I think where there’s where there’s really clear success in there’s probably three things I would touch on that have really been been clear success. First of those is under that, that banner of the Northern Michigan chamber Alliance, the opportunity to to leverage the connection between economic development and public policy, that that’s been really helpful for us across all of Northern Michigan, so that the Michigan Economic Development Corporation and other kind of policy leaders know what our priorities are, and they know that we’re we’re focused on it. They know that we need funding for our initiatives. They know that when we’re when we’re out there trying to recruit an advanced manufacturing company to come to Northern Michigan. They know that it’s part of a concerted strategy. So I think that that was one really, one really big win, especially since, you know, again, we’re a fantastic place to vacation. We’re a fantastic place for second homes and so a lot of policy leaders downstate, Michigan, that’s what they think of when they think of Traverse City. And that’s great. We want to, want them to continue to think about that, and that to be continued to be a strong part of our economy. But also we’re a great place for an advanced manufacturing entity to relocate. So that that’s one thing. The second thing is, it’s allowed us to leverage some unique attributes of our community to focus on cluster development, industry. Cluster development, we’re not going to be a place that Ford or GM are going to set up a huge production facility. That’s not the right fit for us. That’s the right fit for downstate Michigan, the right fit for us, from a cluster development, is freshwater research and innovation. We’re on Lake Michigan. We’re a great place for research and development as it relates to water technologies, marine technologies, things like that. We’re a great place for value added agriculture, as I mentioned, we’re a great place for testing and deployment of drone technologies. Our our local college is is a leader in the Midwest for drone technologies, and the way that drone technologies are need to be developed for rural communities. Think of agricultural uses. Think of rural healthcare delivery, both with drones and with telemedicine. Those are things that are unique to our region. So we’re leveraging our unique things to develop these industry clusters in rural health, in drone deployment, in marine technologies, to again, Grow family sustaining careers, right? We want, we want, you know, if, if some company is going to build the next, you know, advanced underwater drone research product, we want that to be, to be done here, right? Because we the. This is a good place to do it. And then the final thing I would talk touch on is Michigan’s creative coast, our our talent attraction initiative. We, I think we, we had a good plan and we built a good program. We also got really lucky Brandon, because we built this nationally focused talent attraction brand, and it went live about three weeks before the pandemic hit, wow, and one of our big initiatives as part of that was with remote work and technology. If you can work anywhere, why wouldn’t you want to work here? And our timing could not have been better, because all of a sudden the world realized they could do things from anywhere, and it’s been a huge growth for us. We’ve been able to attract entrepreneurs, remote workers, technology, biopharmaceutical entities. It’s just been phenomenal from a standpoint of attracting talent and attracting entrepreneurs,

Brandon Burton 36:03
that is huge. Yeah, I appreciate you touching on those three areas. And when you’re talking about economic development leveraging, you know, working with the public policy, the thought came to me, it used to be that the media kept government in check and made sure that, you know, trying to keep them honest, we’ll say, Right? But now I see that shift being more with with chambers and economic development on the advocacy front to keep governments in check. And if they know that you’re you’ve got your eye on these, you know, policies that affect business, then it’s hard to get something past a group, you know, of 18 chambers that are, you know, form this alliance to to make sure that business is being protected and it’s a fertile place for business to grow and thrive. So these, these are great areas, great successes that are, that are coming out of this and and I feel like in the format that we have for this podcast, we might have bitten off a little more than we could chew, because I could, I could listen to you for a couple hours, you know, going in depth with all of these, you know, different aspects and the the winds that are coming out of this. But I appreciate you being able to try to condense this to to work with this format, and kind of give a glimpse of what’s possible as you align resources and ideas and and getting you know the stakeholders involved, and really convening them all together to to create a good cause going forward in your community and region. As we start to wrap things up here, I wanted to see if there’s any any tip or action item that you would share with the Chamber who’s wanting to take their organization up to the next level. What would you suggest for them? You

Warren Call 37:51
know, what I learned in this process Brandon was, I think the key thing is leverage. Chamber leaders have way more leverage than a lot of them that real they realize or that they use. And I think, you know, chambers, chambers, and chamber leaders oftentimes are kind of the key servant of the community, and that’s that’s an important role, but I think it’s important to remember that it’s a servant leader role, and I think there’s an opportunity to have a bit more swagger in your community and and take the initiative. Be bold, you know, be authentic, but also be the authority, because, because the chamber knows more of what’s going on than most other people in the in the region, yes, build a vacuum, fill the vacuum of leadership, and really leverage that. And I think you can do that with your staff. I think you can do that with your board, your community, obviously, elected officials. So that’s what I would say. I think the best way to do that is, is to quantify things. And so metrics and quantifying helps you to leverage your authority.

Brandon Burton 38:58
I like that having the data to back up what you’re trying to accomplish and and I love that word leverage too. It brings power, quite literally, as you apply apply a force with leverage, you’re able to do a lot more than what you can do on your own. Absolutely, as we look to the future of chambers of commerce, how do you see the future of chambers and their purpose going forward, you know,

Warren Call 39:22
I think it’s gonna be really interesting. I think that, you know, as a as an industry, you know, as everyone knows, you know that that struggle for for member retention, I think, is always gonna is, is always gonna be there. And we don’t need to get into all the kind of the traditional things about, you know, retention and non dues, revenue and all that kind of stuff. But the key thing is, the chamber was always thought of as the authority, traditionally on business issues. Then the internet comes along and business leaders feel like they can kind of get information from other sources, so they don’t necessarily need to be involved. In the chamber, they don’t need to be members. I think that’s been a struggle over the last, you know, 20 years. I think maybe, and I don’t know for sure, but maybe as the internet becomes less of an information source and more of just a confusing mix of everyone’s opinion, maybe there’s a need again, for kind of that trusted authority, that authentic, trusted authority. And I would, I would love to see chambers and economic development organizations fill that role, because I think it could be kind of a full circle thing where, you know, there’s, there’s a million websites, and you really don’t know what’s going on, so you might need to just go talk to your local or regional chamber to figure out what’s really going on with business issues.

Brandon Burton 40:46
Yeah, I like that. I’ve never thought of it in that context before, but I like that. It gives you something to think about and see that that full circle come back around right? Well, warm for for those listening who may want to reach out and learn more about how things have developed, there at traverse connect, what would be the best way for them to reach out and connect with you? You

Warren Call 41:10
know, I’m, I’m 100% against email. I think it’s a waste. There’s, there’s actually a really good book called world without email. If you haven’t read it, you should my cell phone, 231-651-9174,

Brandon Burton 41:27
alright, we’ll get that in our show notes for this episode to make it easy for for people to reach out and connect with you. But Warren, this has been great having you on and thank you for you know, kind of pulling back the curtain and showing what took place to create travers, connect and aligning all those desires, interests, abilities, to be able to bring them in under one roof, and also shut off some of those sacred cows that may weigh you down a little bit. This is a great exercise that probably every chamber needs to go through on some regular basis, maybe not to the same extent, but to really see what the purpose is and what’s driving them. But thank you for sharing your experiences with us today. This has been fantastic, and I really appreciate it. My,

Warren Call 42:18
my, my appreciation to you, Brandon. I appreciate the opportunity. Thanks for having

Brandon Burton 42:24
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Navigating Contracts with Angela Wilson

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Brandon Burton 0:00
This is the Chamber Chat Podcast, the show dedicated to chamber professionals to spark ideas and to get actionable tips and strategies to better serve your members and community.

Hello, Chamber Champions. Welcome to Chamber Chat Podcast. I’m your hosts Brandon Burton. And it’s my goal here on the podcast to introduce you to people and ideas to better help you serve your Chamber members and your community.

Our title sponsor for this episode is Bringing Local Back. Remember when your community could turn to a local TV station or newspaper for the latest updates and affordable ads? Those days may be fading, but the need for local connection remains. That’s why we created Bringing Local Back, a game changing platform that restores the local visibility and advertising power to your community. It’s more than just tech. It’s about driving engagement and creating new revenue for your chamber. Ready to see the future visit bringinglocalback.com to schedule your demo today. This is the future of local commerce.

Our guest for this episode is Angela Wilson. Angela is the President and CEO of the Greater Muskogee Area Chamber of Commerce. Angela provides the overall daily management of all departments of the chamber and works with the Chamber’s board of directors to ensure the Chamber’s mission is achieved. She became the Chamber’s President and CEO in November of 2019 after serving as Vice President and Director of Programs for six years, she oversaw all of the Chamber’s programs and events and all non news revenue projects, which make up approximately half of the Chamber’s annual operating budget. Angela has worked at the Muscogee Chamber Since 2012 after serving as a tourism director and executive director for the Chamber of Commerce in Coffeyville, Kansas for four years. Angela began her career with the Muskogee chamber as the program and sales director in 2016 was promoted to Vice President and Director of Programs. Angela has a Bachelor of Arts degree in communications from Metropolitan State University of Denver in Colorado. She is an IOM graduate and a graduate of leadership, Coffeyville leadership, Mugi OCC chamber Management Institute, OK, CNP, non profit management and Dale Carnegie effective communications and human relations. Angela currently serves as chair on the OCC board of directors, Mako Conference Board of Directors, and the President of the Board of Trustees for the Muscogee public schools, education board of directors. Angela, I’m excited to have you with us today, here on chamber chat podcast, I’d love to give you an opportunity to say hello to all the chamber champions who are out there listening, and to share something interesting about yourself so we can all get to know you a little better. Sure.

Angela Wilson 2:52
Thank you for having me today. It was an honor to be asked to do this. I should could throw rich Cantillon. We used to be with the Ponca City Chamber in Oklahoma, throw him under the bus for signing me up for this that he deserves it. And though I love to share, I love to help other chambers. So in any way, I hope someone takes maybe just something from this today to help them

Brandon Burton 3:17
absolutely, and I’m sure that’s, that’s what the whole purpose of this is, right? Is to bring people on and their perspectives from their their part of the world, their part of the country, and their scope of work at their chamber and and we’ll, we’ll flesh out those things that can be a value to others listening. So tell us a little bit about the greater Muskogee Area Chamber, just to kind of set the stage. Give us an idea the size of your chamber staff, budget, scope of work, just to kind of prep us for our conversation today.

Angela Wilson 3:48
Sure, and those of you don’t know we are Muskogee, Oklahoma, USA. You might have heard a song before okie from Muskogee, from Earl haggard. That’s usually what people associate us with. But we are located, for those, again, that don’t know, in eastern Oklahoma. We’re about 45 minutes from Tulsa, so we kind of sit out. We are a micropolitan community of about 35,000 people. Our chamber has about 375 members. We know, give or take those, our budget is about a $375,000 budget, and we have, right now a staff of three. I’m in that little transition where I’m down one staff and so again, we’re like all chambers. Do we reevaluate if we want to fill that position, or if we think we can, obviously we all know we can take on more work, because we always think we can, but we’re kind of in that time where we’re reevaluating if we want to fill that so normally we’re a staff of four, and we are again solely just a chamber. And. Yeah, we

Brandon Burton 5:01
love it. So I think it’s probably fair to say most chambers are operating one or two staff people below what they need, right? So probably, probably put you right in the right the sweet zone, right there. So

Angela Wilson 5:13
yeah, we always take on more work. For some reason, I It’s really weird. Yes, we can do it. Yes, we can

Brandon Burton 5:19
do it. Yeah, chambers have a problem with saying no or problem saying yes. Maybe is what it

Angela Wilson 5:24
is yeah that we need to go to get help for saying yes to everything

Brandon Burton 5:28
absolutely. Well, I’m excited for our topic today. It’s something we haven’t really spent much time on in over 300 episodes of Chamber Chat Podcast, but it’s a focus of navigating contracts. So I know a lot of chambers out there have either tourism contracts or economic development contracts or maybe a Downtown Association contract of some sort. But all these variety of different types of contracts may or may not come across the desk of the the chamber, and the Chamber might seek them out. They might be sought out in some cases, but either way, I think it’s a good opportunity for us to have a conversation about how a chamber can go about navigating and maybe even negotiating some of these contracts as a as they appear. So I think there’s going to be a lot of value for listeners today, and look forward to getting to this with you right after this quick break.

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All right, Angela, we’re back. So as I mentioned before the break, we’re focusing our conversation today around negotiating contracts. As you introduced the greater Muskogee Area Chamber, you mentioned that you’re solely a Chamber of Commerce. I know that hasn’t always been the case, but if, if you want to take the mic and kind of give us the background and evolution of of the Muskie chamber, just to kind of set the table for us. I think that may be helpful, sure.

Angela Wilson 9:08
So when I started in 2012 we had a contract with the city for tourism, and we had a tourism staff of about, I think, three other people, and again, the Chamber has an administrative fee that we take off that contract, like every contract that we have. Well at the time, every year, that contract auto renewed. We went to City Council, we did our presentation. What we did that year, we went about our way. The chamber was very heavy in tourism. We were known for having fun, doing all these parties, entertaining, you know, at all these big events that tourism was hosting, and the Chamber kind of took a back seat to that. Well, fast forward about five or six years, and that tourism budget was. Is over a million dollars. And so when people see that, oh, I can do that, they make it look so easy and so fun. And there was always people, every year, probably since I’ve been here, that thought they could do it better. And so, come about 2017 18. There was a lot of pressure from City Council. They were, they were feeling the pressure from outside sources to kind of put their thumb on what tourism was doing. And so, you know, around here, we batten down the hatches. We jumped through tons of tons of hoops. I think our president and CEO of the chamber at the time, she spent probably 85% of her time dealing with tourism, and so again, the Chamber suffered from that. So I’m over here as vice president, holding down the chamber because we’re dealing with all of this outside noise for tourism. They completely changed. Our board completely made. You know, everyone track their time like just everything was ridiculous, almost, um, and so, you know, my president, CEO, she left, and at the time, I’m thinking, Oh, God, do I want this job? Do I want it? Do I want it? And my kind of analogy of it is, I know it was a bowl of crap, and I’ve decided to eat that bowl of crap when I applied for this job. So that’s go to 2019 I accept this job, and, you know, the pressure is still there, the red tape we’re dealing with non stop. And then COVID happens, and then I’m really thinking to myself, Oh my gosh, what did I really do? Well, when COVID happened, we didn’t know what our budget was going to be. We didn’t know if people were gonna they’re not traveling, like, oh gosh, you know, layoffs, whatever. We just didn’t. Nobody knew. And so, um, we worked. I spoke with my board, and I said, you know, guys, is this really worth it what we’re dealing with, and our chamber is suffering. Um, our Chamber members. They just think we do tourism. They don’t know what they get as a chamber member. And so with kind of all of that background and just everything going on, we decided to part ways with that contract. It wasn’t easy. It was some difficult conversations with my board, with the city manager, with the mayor, but we decided we needed to do what was best for our chamber, and letting that contract go was what was best for our chamber. Now it came with a loss of that administrative fee, loss of jobs that I had to lay off people, and so it wasn’t a fun time. And you then COVID still going on. So you’re like, oh God, we can’t do events. Oh god, you know, what did we do as a chamber? Are we going to be okay? So the fall of 21 was October of 21 was the end date for that contract. So we gave it back to the city on a silver platter, and said, Here you go. Good luck. We’ll be here if you need some help, but have fun and take it on. And so the city took it in house for a little bit, and then they re contracted it back out to a third party again. But, you know, as a chamber, it was our time then to rebrand as a chamber and say, Where do we want to go from here? What do our Chamber members want? So we sent surveys out, we visited with members. We kind of rebranded of what we do. We had a whole new program of work. Just everything was completely new, and it was scary, very scary, but it took us about three years to recuperate that admin fee is about $30,000 so we took us years, you know, just biting away each year at a time, and we did it. And it was a very rewarding kind of deal to be a part of, to be like, we’ve done this, we’re okay. We never had to pull money from reserves. We never had to do any of that. And you know, it was just a time, and our members recognized that, hey, they’re really asking me what I want as a member. And so we put some new programs out there. We got rid of a couple programs, and so looking back now, is the best thing we’ve ever done. We are, I say, we live our best life. We have no other contracts. We don’t do the economic development contract. So we are solely a chamber on our own, and it is very nice. So we answer to our members. We do what we want. We want to make up something and do something. We do it. We don’t want to. We don’t, don’t, don’t want to. We don’t have to. We’re not on purse strings or Puppet Strings of any entity, if it’s a city, county, whatever it might be, just our members. Yeah.

Brandon Burton 14:59
Yeah, and I can see where it can be difficult to serve two masters, right? So if you’ve got your chamber board, you’ve got a tourism board, and they’re wanting different things, and you’ve got staff that are allocating time different ways, trying to keep all that straight. It can be a headache. It can be a burden. I can see the benefit, of course, to be able to synergize, you know, the efforts that the chamber is doing with tourism and trying to bring that all under one focus, I can definitely see that and and we’ve had episodes where we’ve talked about where that can be a huge benefit, but when it’s splitting time going different ways, it has you not able to perform to your capabilities, really, as a chamber, they mentioned for your members to be able to understand what they get as a chamber member, I think is so important to be able to put that focus back there. So since that separation, the decoupling of the tourism contract, we call it a divorce

Angela Wilson 16:01
and the COVID, I guess I don’t know,

Brandon Burton 16:05
good terms, right? Do you have visitation? Yeah, we

Angela Wilson 16:09
have. They come visit every now and then. That’s

Brandon Burton 16:15
funny, but I imagine I mean, you still have an interest in tourism, right? I mean, a strong tourism in the Muskogee area is going to benefit your Chamber members as well. So there’s still win win within that, but not having that that burden or that weight upon you to perform in certain ways and to have the expectations that you need to meet. Can you talk to us a little bit about what that approach has been like since then, and involvement with tourism now that it’s not you know that that weight that’s on you as well,

Angela Wilson 16:45
sure, and I will say when it got really bad. I mean, we had open records requests from people for tourism. The Attorney General’s office was calling me that we were embezzling all like it was just to the point where you’re like, This is crazy things, and nothing came of any of it. So you’re like, Well, we know we’ve had audits, and we do our audits every year. We’re okay, but you know, just going forward, we’ve been there to help them. When they transitioned over, they would call us to say, how did you guys do this? Or what did you do about this? And they’ve had a couple tourism directors since then. So each time they get a new one, they call us and you know, we’re there. If we need to be, we’re going to partner. We’re going to do what’s best for Muskogee at the end of the day. But do I ever want it back? I don’t think so, unless it’s just really that bad that we need to take it back in. But it was just an opportunity for us to be us and not be everyone just associated us with tourism before we were I mean, at one time, there was all women here, and they were the chamber chicks, but they were the happy go lucky face of Muscogee, because they were tourism, and so we needed to be a more professional organization and here for our businesses and be taken seriously, be at the table on serious conversations, and not just, you know, fishing tournaments and this and that and this, parties, fun things. So we have kind of really stepped it up as more of a professional organization. You know, we still have fun, but we try to be, you know, that pinnacle the top of what we can be in Muskogee, when we do things, we want to be the best at it. But with tourism, you know, we’re all partners. We all try to partner with things, with our economic development, with the city, with the county, we definitely try to break down those silos and partner and move forward and do what’s best for Muskogee. Yeah,

Brandon Burton 18:50
I can see we’re after the divorce to be able to focus more on the 3c versus the 3p right as a chamber and your focus. What would you say for chambers out there that are either considering a partnership or considering dissolving a partnership? What are some of those things that need to be thought of and really calculated into to making these sort of decisions? I know sometimes the decisions are made for you, but if you’re if you still have a seat at the table and you’ve got some input, what are some things to be considered sure

Angela Wilson 19:25
if you aren’t considering it, my top piece of advice would be, make sure that contract is strong, strong, strong, and you have your best interest at the very front of that. Because, you know, for ours, was just auto renew, auto renew, the good old boy system. Well, then all of a sudden they wanted to have batten down and hatch down this contract. And it was just, it was a waste of everyone’s time and money and effort for things, I get a contract. But looking back. Hindsight, there’s different things of who owns what. We’ve gone through that with a logo and a branding, does tourism own it, or does the chamber own it? Buildings? Did they pay rent? If they had, you know, put money into the building? Who has what desks like it is very simple, things you don’t think about. And then if your logo, if you’re going to dissolve it, if your logo has chamber and tourism, well, guess what? Your chamber is going to have to pay for all new branding, all new envelopes, all new signs, whatever it might be, business cards. There’s a lot of just little things you don’t think about that that logo and tourism was on, so make sure that you set yourself up as a chamber. Set yourself up right and solid. Consult with an attorney. Please do that before you sign any contract. Don’t just let the city or the county hand you one and say, sign this. Have those conversations with your board of if we weren’t to do this tomorrow, what would we look like? Can we still keep our doors open? Can we still be successful or and make sure it is tourism is one side and there’s a high wall of chamber on the other. Do not merge those. It can get muddy. It can get very gray, and you don’t want you don’t want any part of that either. So keep things very clear, separate, a separate checking account for your tourism, a separate checking account for your chamber. I know there’s some out there that blend those two and Good gosh, makes me cringe, but they are separate, separate audits. Just make sure everything is very clean financially. So you know, if you do have an open records request, here you go, and you’re clean. And that is another perk right now, is we don’t have, we’re not subject to open records, not that we’re doing anything shady, but yeah, but we can say no, if we really need to, but at the end of the day, make sure the chamber everything is secure for the chamber, and that’s what look out for the chamber at the end of the day. Yeah,

Brandon Burton 22:11
on a smaller scale, it makes me think of the small business owner who may be commingling their personal funds with their business funds, and, you know, working out of their other house, but not paying themselves rent, and then they go to sell a business, and, well, what do you have to sell? What? What’s here? And so keeping things clean, and, like you said, having the contracts really buttoned down, to be able to know, you know, is the tourism or is economic development? Are they paying for rent? Are they do they own certain computers and desks, and being able to have that, that separation, but within the same umbrella, Giving definition, I guess is, is the way to say it. But I

Angela Wilson 22:49
think document everything. And you know, most of the time you should have on tourism side. If you’ve purchased the desk computers, you know all that. So if you have it, but make sure it’s very clear who owns what in your office, because we had to spend many times of like, okay, this desk has been sitting upstairs. Who bought this? Or you just don’t know, sign on the side of the building, who owns that you don’t know. You know it’s one of those things. So definitely keep track of everything.

Brandon Burton 23:25
Yeah, I can see when you take on a contract, it can be exciting to say, look, we’re getting a new sign, new business cards, new website like all this to rebrand. And you know, this is a new, fun, exciting thing, and there should be an influx of of income coming with that to the chamber. But on the opposite end, when you’re separating, not only are you losing the contract, the administrative funds, but also the cost to go through and change all those things too. Yeah, may not be less exciting. It’s a different kind of excitement, I suppose, yeah.

Angela Wilson 23:56
And when you have to, you know, if you have delay people off, tourism employees, it’s going to affect your the Chamber’s unemployment rate for a couple of years that happened to us. So there’s just little things that trickle downhill. But at the end of the day, looking back, it was on my end. It was worth it, if I were to take on again, like we’ve said, another contract or something else, if it was be a main street or an economic development I know now to make sure that that contract is solid. Yeah,

Brandon Burton 24:30
absolutely. So. As you’ve seen this, the separation, the divorce, the uncoupling, the de burtoning, how have you been able to see the focus on the members. What’s the member response been like? Has you been able to focus on them and the value that they get as a chamber member? Now, sure,

Angela Wilson 24:50
one of our first things we did in the spring of 22 we did a membership Blitz, and we went and visited 100 members. I. Was our goal, and just sat down with them and just said, what’s going on? What can we help you with? We don’t want anything. We don’t want any money. What are you dealing with? What can we do better? And so a lot of them just appreciated that they hadn’t seen people from the chamber in a while. They hadn’t had a chamber voice in a while. And so we took some of that feedback and just built a better chamber for that. Or people, you know, hey, I would really like you to bring back this or this. And so we’ve tried to implement those things, and people have really appreciated it. And they’re like, you know, you guys are doing a great job, and I appreciate you. Guys have been more attentive to us, and so just those little things in, you know, making what we do more relevant. This is what the chamber is. This is what our mission is. This is what our program of work is, and that’s who we are. And what can we do for you is really what we spent that next year saying, what is our chamber want? What do you guys need? We’re here for you. We’re open. And we got so much positive feedback of that, of just those little conversations. And you know, I was driving yesterday home from a meeting, I’m thinking, I think I want to do another one of those membership blitzes again, just to go out and just visit people that we don’t normally get to visit with and see. But that was probably the most impactful thing that we did, was just visiting with people and asking what they want, not what we want, what they want. Yeah,

Brandon Burton 26:37
and another listening tour sounds like a great idea, and be able to being able to see now that about three years post separation, if I if I’m doing my math correct, yes, it’s not, it’s not hard math, but I want to make sure I got the dates right to be able to do another follow up listening tour like that. And I would be curious to see what’s the the image of the chamber. How has that changed over those three years? Sure people

Angela Wilson 27:03
take us more serious. Now we’re not just the party, fun, happy, go lucky. We’re here for our members. We’re intentional about what we do. We’ve made some other changes internally of our processes for new members. We just are really intentional about what our members want, and we’re more professional level of what we we want to do, what we need to do. We’re there. And, you know, people recognize that. They say, you know, the Chamber events are always the best events, and we always try to be, you know, creative when we do our events, of the best advice sometimes I ever heard was, if you don’t want to be there, probably they don’t want to be there as well. So I was take that into consideration when we’re planning events or planning programming. Good gosh, I want to be there, and if I don’t, probably nobody else really does and not being able to don’t be afraid to try new things. Try it if it fails. So what you tried it, and you can go on down the road if something’s not working. Don’t be afraid to get rid of it. That’s probably my biggest piece of advice of as a chamber of when I came on the first time I tried to get rid of a program, I was scared to death. I thought I was gonna lose my job. Thought people were gonna run me out of town. And people came back and said, Thank you for getting rid of that. I thought it was waste of time. I was like, Oh, thank you. So that would be my thing is, don’t be afraid to change just because I hate saying this, but you’ve always done it that way. Doesn’t mean you have to continue doing it that way. Yeah,

Brandon Burton 28:43
we’ve got a whole episode about burning sacred cows, so you can go back in the archives and listen to that and and learn how you can get rid of some of these programs that are not serving you or the chamber anymore. So if they’re not serving the chamber, they’re probably not serving anybody else, and people are doing it out of obligation or guilt, and you can level it up and do something much more effective and impactful. So yes, amen, good. Good comment. Well, Angela, as we start to wrap up, I always like asking for listeners who are wanting to take their chamber up to the next level, what kind of tip or action item might you have to share with them to try to accomplish that goal. You just mentioned one. But does anything else come to mind that you’d like to share? Probably,

Angela Wilson 29:26
again, I would just echo, don’t be afraid of Chinese things and look out for the best interest of the chamber. Be that arm, be that solid pillar in the community. Not everyone’s gonna like everything you do, but that’s okay, at least they’re noticing what you’re doing and do what’s best for you. At the end of the day, you need to have your back, your board needs to have your back and your chambers

Brandon Burton 29:54
absolutely and I’ve mentioned it several times in past episodes, but if you’re focused. On what’s good for the business community. In your community, it’s hard to go wrong, and it’s hard to have too many people upset with you if you’re at least the people you’re serving are not going to be upset with you if you’re focused on on how to best serve the business community. So

Angela Wilson 30:14
yeah, I always say too, you know, I don’t know everything. We don’t know everything, but we know people who do, yeah, and so. And you know, you do want to say no to people sometimes, but I think telling giving them the resources and helping them along, they appreciate that, and they recognize the chamber did help me. You just, you just picked up the phone and called it another person, maybe, but to them, that was a game changer in what they were trying to accomplish. And they really look back about, oh gosh, the Chamber really helped me out. And then they’re going to start showing up to stuff and being there for you and having your back. So it’s just little intentional things, I think, as well being very intentional on the little things, yeah,

Brandon Burton 30:55
absolutely, totally accurate. So I like asking, as we look to the future of chambers of commerce, how do you see the future of chambers and their purpose going forward?

Angela Wilson 31:07
I think chambers even looking back on, good God, I’d hate aging myself, because, you know, I look 20, but I’m getting in the 40s now. But you know, we have evolved over the time that I’ve been in the chamber world, and it’s exciting because it’s something new every day. And I think just being relevant and keeping up with those trends of what businesses need, what communities need, what you guys are, the chambers are the forefront. And so we need to be those leaders, and we need to have that creative mindset of what’s next. And so, I mean, chambers are still going to be around, but we’re different than we looked 10 years ago. We’re different than we look 20 years ago and even 50 years ago, when people just paid their dues because it was the right thing to do. But I think it’s just exciting, because you it’s up to you as a chamber you can do what you want to do, and what your Chamber members want. So it’s kind of exciting that you don’t always have to do the same thing every day or every year. So I think just making sure you’re on that cusp of what’s you know kind of what your members are wanting, and stay ahead of them one step so you can provide those services for them, but chambers are always going to be around. What they look like in 20 years might be completely different. Yeah,

Brandon Burton 32:27
I would argue, even from four years ago, from through COVID to today, chambers look different so well, Angela, this has been a good conversation. I think it’s provided a lot of value for listeners, and I appreciate you getting a little, you know, authentic and raw about an experience at your chamber that I’m sure was full of difficulties and challenges, but being able to rise above and come through on the other side with some lessons learned that are valuable for others that have been listening today. So thank you for sharing that with us.

Angela Wilson 32:58
Thank you for having me, and yeah, there was a lot of wine along the way going through that transition, wasn’t it always

Brandon Burton 33:05
rainbows and butterflies? Yeah, I wanted to give you a chance to share any contact information for listeners who may want to reach out and connect. And say, how’d you get the courage to move forward with this, or whatever it may be, what’s the best way for them to reach out and connect?

Angela Wilson 33:19
Absolutely, please contact me if you have it’s not a dumb question. No questions are dumb. We’re involved contacted peers. That’s what we rely on and how we survive sometimes. But you can visit our website, Muskogee chamber.org, or you can email me at angela@mugicha.org, or if you go onto our website, you’ll find our contact or phone number on there, and yeah, email me, call me, whichever. I’m always open, and that’s one of my favorite parts of my job is helping other chambers.

Brandon Burton 33:53
Yeah, it’s such a great profession for being able to do that. Yes, we’ll, we’ll get the website and email and our show notes for this episode to make it easy to find you. But again, Angela, this has been great, and thank you so much for joining us today and sharing your experiences and insight with with those that are listening.

Angela Wilson 34:10
I appreciate it. Thank you for having me.

Brandon Burton 34:14
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Improving Corporate Sponsorships with Bruce Rosenthal

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Brandon Burton 0:00
This is the Chamber Chat Podcast, the show dedicated to chamber professionals to spark ideas and to get actionable tips and strategies to better serve your members and community.

Hello, Chamber Champions. Welcome to Chamber Chat Podcast. I’m your hosts Brandon Burton. And it’s my goal here on the podcast to introduce you to people and ideas to better help you serve your Chamber members and your community.

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Our guests for this episode is Bruce Rosenthal. Bruce is a corporate partnerships strategist, consultant, and educator. He specializes in associations and not for profit organizations, Bruce is dedicated to boosting revenue enhancing member value and promoting organizational sustainability. The Bruce, I’m excited to have you with us today here on chamber chat podcast that bio as concise as it is, I’m hoping pique the interest of everybody listening, that how we can bring more revenue into our chambers, but wanted to give you an opportunity to say hello to all the chamber champions that are listening and to share something interesting about yourself so we can all get to

Bruce Rosenthal 1:53
know you a little better. All right, thank you, Brandon, and excited about being here. So So an interesting fact that I’ve worked throughout my career for nonprofit organizations. Though, when I was when I was growing up, my dad and his brother had an insurance agency. And when I was in college, I was here in the Washington DC area. And they were in the Chicago area and, and my uncle was a senior partner in the firm invited me over and said, Bruce, we have an idea, all the kids are going to go into the insurance business. And I was here as a sophomore in college and all the political buzz and everything in DC and I still to this day, hope I wasn’t too rude to him by saying I’m here on spring break. But I’m going back to DC and I don’t think I’m going into the insurance business. So sorry to all of you who are thriving based on doing great things for businesses in your communities. I didn’t go into business, I went into the not for profit. But for the conversation today how we can take what I’ve learned over the years to help your your chambers grow. Yeah,

Brandon Burton 2:53
it’s always fun when somebody has a great idea for you. And here’s your path for you. Right. Right. Right. Great. Well, tell us a little bit about your company Rosen Bruce Rosenthal associates with the work that you do kind of we know nonprofits and associations, but kind of in a nutshell, what do you do these give

Bruce Rosenthal 3:15
you the brief history, it does go back about 15 years, but it’s not that long a story. I was working for National Association on not a sponsorship project. But the association completely revamped its sponsorship program because I realized the times were changing and needed to keep up with the trends and the revenue was really important. It was about 15 18% of the revenue the association was bringing in. So they did that complete revamp one of the components of the new sponsorship program was the senior level staff person to run the program. So the CEO asked me to be that person, I said, Be glad to run the sponsorship program. Got all signed up and got my desk set up. That was 2009 2010 just as the economy tanked. So we had some companies that were that were top level sponsors and a new program pricey a sponsorship program around and I knew there were some companies where we’re gonna get it going to get no new business from our members in the next couple of years because of the economy. So in hindsight, the good news is that kind of set me on the path, what are the real value propositions? What are companies really looking for? Why do they sponsor and the good news is we were able to keep all of the companies in the fold as the economy, the economy slumped, and then came back. And what we realized as part of that process is the companies were really interested less than less than that transactional, or as the CEO said to me at that time, when we want to move their program from the transactional to the transformational, and kind of the standard gold, silver, bronze logo, visibility, recognition, shout out from the podium. In fact, there was one company at that time when I was asking him for their their logo for our newsletter, and he said, Bruce, we’ve been a sponsor for 20 years. Everybody knows who we are. We don’t need our logo on your newsletter, and we definitely don’t need their logo next to five other sponsors. is in your newsletter. So, so we created a program that was that we’ll talk about today, there was much more what I call it marketing agency approach to really sitting down with companies. What do you need? How can we be helpful? Our association has audiences, we have communications channels, we have education opportunities, how can we truly partner with your company to be part of that process?

Brandon Burton 5:22
I like that, yeah, this is going to this is going to be one of those episodes where people are going to want to go back and listen to again, or take notes and present their board and say, here’s a new strategy of how we might want to approach sponsorships going forward. Right. So actually,

Bruce Rosenthal 5:39
just to put a cap on that, Brandon. So when I left that association, about seven years ago, I took what I had learned and in those six years building and revamping the program and and now is you net noted in the bio working as an advisor, an educator to Association on how I can take what I learned in that kind of deep dive with one association and now with seven years of experience with a whole range of organizations, different sizes, inside staff, on how there are opportunities for all of them to grow sponsorship revenue. Right.

Brandon Burton 6:10
So our topic for discussion today is you might have guessed it, it’s around improving corporate sponsorships. Bruce and I were talking before we hit record, were just a little bit about the uniqueness of chambers of commerce and, and we’ve all heard the line if you’ve seen one chamber, you’ve seen one chamber but I think one thing that is common amongst all chambers is that chambers rely on sponsorships to help fund their organization and their mission and envision to move things forward in their community. So it’s gonna be a lot of value in this discussion today. And I’m excited to dive into it much deeper as soon as we get back from this quick break.

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All right, Bruce, we’re back. So we’re diving into corporate sponsorships today and for chambers in particular to improve these opportunities for sponsorships. So what are some of these lessons, I guess that you’ve learned through your own experience, but also working with organizations on their sponsorship programs? I’m sure there’s been some things that have lights that have gone off in your own mind. Some notes that you’ve taken and experiences that are valuable to share.

Bruce Rosenthal 9:17
You know, the first thing so So back when I was working with that association, the economy tanked. I wasn’t sure if we were gonna keep these companies in the fold. So I brought in a consultant, I said, Could you interview our top 10 year long corporate partners, and all of the things we talked about today can be scaled. So some organizations might have two sponsors, some might have 10 or 15. So everything I say I might throw out some numbers, but that everything can be easily scaled up or down. So I brought in a consultant and she interviewed the top 10 corporate partners, and she came in to do this presentation and I was sitting next to our CEO and and some other senior staff folks. And she said the good news is all of your corporate partners said exactly the same thing. And I’m thinking that is great. You She said, however, what they are looking for is not what you’re offering. So I have interviewed along with my team, hundreds of companies over the last 15 years, and whether they are sponsors of small organizations, large organizations, whether they sell, technology, insurance, marketing, whether it’s a bank, whatever it is, they all pretty much have the same three reasons that they sponsor organizations. And those three reasons are, of course, they want new business. But that’s not the only reason. The second is they want some sort of brand elbow room. So not necessarily exclusivity, they don’t necessarily need to be the only sure insurance company that’s sponsoring or the only marketing agency that’s sponsoring the chamber. But they want some sort of recognition that among all of the the insurance companies of all the insurance companies that might be involved with the chamber, there’s something different or special about that one, that’s a sponsor. And the third one, which is really key is they want to be positioned as a knowledge leader. So they want to be known for their expertise. So going back to the comment I made earlier, there was a company that came two years ago and said, We don’t need a logo placement. Everybody knows who we are. It was a bank. And it was one of six banks, who was a sponsor of the organization. What made that one bank different? And it wasn’t just around the money, it was, how could they help members more how, what are some case studies of how they help members finance a new building, for example. So those three, those three value propositions are closely related. Because if we can actually start with Thought Leadership, and help organization help sponsors be on an education panel, or a podcast or webinar panel, or, or develop an article or white paper for Chamber members, if that company can be positioned as a thought leader, that checks off the box, the brand visibility, because they’re being known for something, and that will eventually lead to business development. And because that will differentiate them as having expertise doesn’t mean everybody’s going to buy from them. But as I’ve talked to companies, and ask them how they measure success, and how this plays out, they’ll say, Oh, so many people went to this webinar, we followed up with that, we were able to schedule 10 meetings, and that led to three contract proposals. And that led to one signed contract, that one contract paid the cost of the sponsorship, that was our win. So companies have three those three reasons. Among those reasons, I did not mention logo visibility, recreation, or a shout out from the podium. So I think the two challenges and what many of us in the association and chamber nonprofit world have done for years as we’ve gone out to companies with a kind of a prospectus of gold, silver bronze sponsorships for our conference. And we’ve said two things, we need money. Well, spoiler alert, that companies in many cases don’t care that we need money, because that’s not one of their main drivers. And we’ll talk about one exception to that later. But for the most part, they don’t need money. And we’re trying to sell them. Visibility recognition is shut off from the podium, and most of them don’t need that. And I would think, especially within the chamber area, whether it’s a small town is bigger city, probably these companies are fairly well known and don’t need another logo placement. So we’ve been trying to sell them something. And this has been for decades, or a bigger exhibit booth. The other challenge with what we’re trying to sell them as we’re usually selling them, or in many cases, we’re selling them a conference sponsorship. And there was a company I was interviewing, interviewing a couple years ago. And they said, Well, you know, the reality is Bruce is a fantastic conference three days, we get a lot of leads, a lot of folks come by our booth, we get a lot of business cards, it’s three days, our company markets 365 days a year, right? So even with a little pre and post conference visibility, how can we work with the association throughout the year doesn’t mean every day. But Can there be something like a podcast in the first quarter and a webinar on the second quarter and an article in the third quarter and the conference in the fourth quarter? Because as we all know, kind of the the the marketing maxim is that people need to see a message seven times before it resonates. So we need to help companies get visibility as thought leaders throughout the year and that’s when the companies began to really see the

Brandon Burton 14:31
value. And I liked the point about being a thought leader and correlating that to the logo on the newsletter. The logo on the newsletter almost cheapens the experience of being a thought leader. Because if you’re coming to the table as being that thought leader, the assumption is everybody knows who your company is, anyway, that’s why they’re asking you for your expertise on whatever the topic may be. And just throwing a logo on a newsletter without any context around it doesn’t really it I don’t know, I think I think it cheapens the experience a little bit.

Bruce Rosenthal 15:03
Right. But I and and I think right, and the key there is use it in context. So yes, sure. After you’ve done the webinar and the podcast and all of that, then to say, oh, and the logo. Oh, yeah, that would be a good add on. So it’s a great add on in context. But yeah, if most of the benefits are logo visibility, recognition, that’s when companies are like, we don’t need that. And the other challenge now it’s it’s a very competitive environment out there. And there was a corporate sponsor that I was talking to, recently for an association client. And and they said, actually, you know, I think in that case was like a $30,000. Sponsorship, they said, we get more business leads from $3,000 of Google ads, that from a $30,000 sponsorship. Yeah. So the game changer in the last few years, especially with the pandemic, people can sit in front of a zoom screen and get a message anytime they can. People see Google ads. So So that’s part of the competition. And I think often we’ve not thought about this as competition, we thought, well, we’re the only chamber in town or we’re the only whatever Association around, companies really want to come to us. And to some extent, that used to be true when I was working at that association, 10 years ago, and a company would come to us and said, well, we want to be positioned as knowing about, you know, how to finance buildings, or how to create websites, or whatever. And I’d say, Well, here’s the list of all the things you need to do. We have a webinar series, we can get you on the calendar in six months. And we have a conference, if you submit this five page proposal, maybe we can get you on the program. And now that post pandemic lockdown, we all know how to sit in front of a zoom screen and sign up for a webinar and check that little box on the webinar sign up that says you can use our name to contact us afterwards. All of a sudden companies are like, well, we’d like to affiliate with your chamber, we’d like to be part of your program. But if you’re going to make it too difficult, we as a company can go out there and put out our webinar in the next six weeks. And then we can you know, have access to the registration list and all that. So when companies are making choices than doing it on their own versus going through the chamber, that’s we need to think about what is the value proposition that we’re offering to those companies? Right?

Brandon Burton 17:24
So on the topic of competition, are there other areas of competition? You mentioned Google and the technology side, Google and Facebook, and where you can purchase ads for a fraction of what it might cost to sponsor a major competition?

Bruce Rosenthal 17:40
Competition? That is a great question, Brandon. And when I started a consulting seven years ago, and I would do competitive in that analysis for Association and organization clients, and you know, I would come up with a list of your five, six other associations that are kind of in the similar space to you. And now I’m coming up a list 40 5060 organizations, and because I’m looking at it from the company standpoint, and what I saw, and some of this comes about when I interviewed corporate partners, and I’ll say, where else are you exhibiting? Where else are you sponsoring? Where else are you advertising? So I’m hearing that not only similar organizations, and then also organizations in other trades and professions? So again, kind of back to the example of the insurance agent who might be interested in sponsoring the chamber. Are there other places in time zero retail association in the town or the state where that company might be interested in sponsoring, so all of a sudden now the retail Association is a competitor to the chamber? Or is there a Healthcare Association where the company could say, well, we wouldn’t have access to all these prospective buyers of our insurance product if we sponsored the Health Care Association or the hospital association. So there are those associations. There are an increasing number of for profit, especially on the state and national level for profit entities that are putting out webinars doing expos doing podcasts. And some companies are going that direction and reaching out to those entities. And I think among the biggest competitors, kind of the example I mentioned earlier, companies just doing their own webinars, yeah, within their own and that, you know, they used to be called kind of, you know, user group meetings and they were very techie and but now companies are realizing something that I learned from a an association Education Director a few years ago, the idea of educating the sell, not selling to educate so if companies either through the chamber or on their own can educate members with the idea that then they will gain some sales leads, that tends to be more successful than going out there and saying, Oh, we’re gonna go out there and get x number of sales leads. Yeah,

Brandon Burton 19:54
and I think this hits on an important point because there’s a The money for these things for sponsorships versus advertising could come from very different budgets. But when you look at a company like I’m thinking an example of a hospital, a hospital may be a major sponsor for a chamber for their annual banquet or just overall with their, you know, the highest tier membership program, but their your, your top sponsor, talk to your sponsor, but they could also use that several $1,000 and do a health fair in the parking lot of their hospital and it’s their own thing, and they draw their own crowd in. So being able to differentiate what’s your value proposition as a chamber? What sets us apart? Why do you want to associate with us as a chamber? What making it clear what the mission is of your chamber, the advocacy efforts that you’re involved with all the different benefits? Beyond, you know, you get your logo here, or we have this networking mixer in this, like, really, you got to set yourself apart? Because those dollars are competitive on where they’re going?

Bruce Rosenthal 21:05
Yep, absolutely. It’s, it’s, and I think that’s a good way to frame it, Brandon, that’s to start off by saying, yeah, there’s nothing wrong with our chamber. But let’s think of our chamber is not, not sole source, not the only game in town, there is competition. And let’s just embrace that, and have conversations with companies. And I found a great starting point and a great differentiator, instead of as we’ve done for many decades, and you know, chambers are special and unique and in a variety of ways. From the company standpoint, it’s just another organization asking for money. So, again, no disrespect to chambers, but from the when I talked to companies, and they say, we get 612 15 Different prospectuses to sponsor conferences, every mods, and they put them all in the same category. And unfortunately, sometimes that category is, is the Delete box or the wastebasket, because it just they all begin to look the same. And so many of them start off with, we need money, our members will be eternally grateful, because in London, right, our registration fees, and again, companies, it’s like, well, how does that help my company? So I think one great strategy, as organizations chambers, think about revamping your sponsorship program, schedule a meeting with a few of the companies that have been sponsors in the past, or who are bigger exhibitors that your conferences and events and have a conversation with them and not to sell anything. And I found by scheduling those calls with companies and starting off by saying, I have no prospectus here. I’m not selling anything today, I want to talk about your company. And all of a sudden, and I do a lot of these on Zoom, but all of a sudden, they become available. Yeah, cell phones go down, the pins go down. It’s like, read Bruce, that’s, let’s talk about that. And just ask questions. You know, what are your company’s business goals? What are your marketing goals, and to try to focus it not on tactics. So if the company were to say, as some will, oh, our tactic, we want an email list of all the Chamber members? Well, that’s a tactic. That’s nice. Let’s put that to the side for a minute. Tell us about your company’s goals. Because what we want to do is position and this can work whether the chamber has one staff person, or dozens of staff, people or anywhere in between, to help the company solve those problems. Because if we can come in as a problem solver, and not just someone else asking for money that we grew that month, that becomes a differentiator. So I’ve had companies, including companies that sponsor nationally and internationally say, we have been sponsoring, you know, we sponsor 50 Different organizations every year, nobody’s ever asked us what our business goals are. And in some cases, these are companies that are $100,000 sponsors, and that’s when you begin to think, are they going to continue being a sponsor, because, again, the competition, the other competition, that kind of ties in with social media is that companies can create their own lists now. So one of my colleagues was talking to a company and, again, we’ll scale this up to the national level, the company had a online community of 10,000 members of that association, that they had just nurtured over the last six, mostly since COVID, over the last couple years, by putting information on LinkedIn downloads of white papers, webinar attendees, and the company said, Well, now that we think about it kind of begs the question, do I need to be a sponsor of the association? Because I already have a list of 10,000 professionals in that space. So I think, again, I think that can be scaled down to the local level and chamber level also, companies can create their own lists, and they can reach me they can reach and teach through social media and zoom without the chamber being involved. Oh, no, I think it’s also important to add to that, that the big one of those those key value propositions that associate the Chamber’s have to offer is the brand affinity. So while those companies can go off out and do their own webinars and offer their white papers to do that, to co brand that to do it in conjunction with the chamber, I think is a huge plus and a great reason that companies would want to affiliate. Right.

Brandon Burton 25:28
And I think that goes right along with asking the right questions. So when you’re talking to these corporate sponsors, or potential past sponsors, or potential sponsors to be able to ask the right questions, see what their motives are See, those top three reasons of why businesses sponsor, where do they fall? And then what aligns best with their needs. Now, I’m curious, as far as a, for lack of a better term, a sponsorship package? Do you go in with a package? Or do you assess the needs and then create a sponsorship opportunity to fit the needs? Or what? What type of approach should chambers considers they have these conversations? And just how do they start the conversation at some of these businesses? Yeah, great, great

Bruce Rosenthal 26:17
question on what to offer. So I don’t do packages we. So I often start and chamber can do this on their own with their their staff, or they’re more thinking about what do we have to offer? What are the different communications channels? Do we have newsletters, conferences, podcasts? who are who are our audience? What who is our audience? And also can that audience be segmented? So if it’s a company that wants to reach folks based on a certain type of business, do they want to be retailers? Do they want to reach construction firms or whatever it is, because what I also find that in many cases, companies, and this is also an interesting model to think about on the national level. And Association says we have 20,000 members, you can reach 20,000, folks, we have 10,000, folks that come to our conference, and then I’ll talk to a company and they’ll say, Well, based on what we’re selling, we really want to reach 300 people, how do we find those 300 Out of the 10,000 at the conference with a 20,000? Membership. So this is a great example, I think it’s for chamber, smaller chambers, when you can segment the membership to reach the folks that each company wants to reach. But I usually start by thinking what are all the things that we could offer. And then to have that exploratory call with a company or two. And again, this is where it can easily be scaled. If you have a small staff reach out to one or two companies among if you have a larger staff, it’s like, well, let’s talk to a couple of companies a week, and to have these exploratory calls. And then kind of to go back to the office and sit down and say okay, so based on what the company said their goals and objectives are, what do we have to offer the word fulfill those goals. And that’s a very different approach than usual. Here’s a standard gold, silver bronze, because again, I’m talking to more and more companies that say as soon as they see gold, silver, bronze, delete, yeah, because it means everybody’s getting the same thing. So this model, which I think a lot of businesses should be able to appreciate, is much is very much what I call a marketing agency model. Because if any of us goes to a marketing agency, either the chamber or one of your members goes to a marketing agency, and says I need help marketing agencies don’t have gold silver bronze packages. And from a couple experiences I had with a marketing agency, the marketing agency asked me questions for an hour similar to these exploratory calls we were talking about a few minutes ago about what is your product? What is your service? Who is your competition? What are you trying to accomplish? Who do you sell to? Do you want to reach a segment of the market? And then at the end of that conversation with a marketing agency, I said, what can you do for us? And they said, we will schedule a meeting for you next week, because we’re going to take all this information, and we’re going to think about it. And we’re going to come back to you with a series of solutions, services, or what we would call in the chamber space benefits. What can you offer and it’s going to be different for every company that does they can complicate it. In a way when I talked to associations that implement that model, they actually find it easier than having 20 companies that all they everybody gets a logo placement and everybody get this there. It becomes very assembly line ish, which is a lot of moving pieces. And kind of back to your comment earlier. Brandon is logo placement even worth it? Maybe not. So sometimes you come up with here are two or three big things we could do with the company during the year as part of the customized year long. So there’s kind of the two key things companies are looking for customized in many cases year long. And if we can come back to them with solutions, that’s when we see sponsorship fees, that in some cases are 510 times more than what they paid in the past because also sometimes in the past I see paid for a lot of pieces. So I think also if one, were going to talk to a company, as a company been an exhibitor and an advertiser and bought an ad and our gala program, what are all the things they spend money on, and realize that well, that’s kind of the minimum of what they would pay. And if they actually came in with a solution to their challenges, we can probably charge a lot more.

Brandon Burton 30:20
So when I think of a chamber making this approach, and this is going to come to the responsibilities, I guess, with the staff members or board members who might be involved, but so over the last, we’ll say, I don’t know, six or eight years, there’s been a big trend for chambers to go to a tiered dues membership model. So you’ve got your basic membership that gives you access to certain things, you get the next tier and you get other benefits, and it keeps going up see gold, silver, bronze, yeah, like you’re talking about. And these chambers typically will have a membership director that’s there. They’re doing a membership sales are attracting new businesses. And I know there’s other chambers that take an approach specifically for sponsorships where they’ll do what they call a one ask. So once a year, they’ll go out to some of the bigger players in the community. And typically, it’s the chamber CEO or Executive Director that will go and meet with these, these larger companies and potential donors and have that one on one conversation and say, here’s everything that we have to offer. In our case, I’m not really sure how to ask this question, because I’m thinking there’s just such a variety of how chambers approached us and come to it. What’s the least messiest way to way to approach membership and sponsorships? In at the same time, or should it be separate? Or is there a way to do it together?

Bruce Rosenthal 31:59
Well, there are probably ways to do it together. And each chamber does their members the best. And if it’s a company that kind of makes it as a joint decision, but a couple thoughts come to mind. One is that I also often find with the big year law, corporate partners, useful to find out when they make that decision each year. Yeah. So whether it’s 10,000, or 110,000, or a half a million, that I’ve had experiences of going to companies and saying, oh, based on our organization’s fiscal year, here’s where we want to talk to you. And the company says, Well, I wish we had talked two months ago, because we set our budget two months ago for the coming year. Let’s talk next year. So if it’s going to be a bigger sponsorship discussion, I think useful to find out months or even what the company’s fiscal year is, when do they actually put pencil to paper and start? We’re working on the budget.

And I think the there was another thought I had as part of that, which I don’t recall right now. So it will come back to me. So

Brandon Burton 32:55
maybe it had to do with the membership side of it with aside from the sponsorship?

Bruce Rosenthal 33:01
Yeah, I think, again, it depends on each organization and how you’re approaching that. But I think it’s again, asking companies the question about what what are their? Well, I think you also mentioned kind of going in with with either packages I go in with with no paper, I can tell them nothing about the benefits, even if they start to say what is the circulation of the magazine? How many people attend the conference? It’s like, well, let’s talk about your business goals. And we will get back to you. Because I think once we start going down that rabbit hole of talking about for tactical things, we lose the discussion. I think the other conversation that can be a little different for her chambers is there is kind of this other pot of money, which which some companies have the chambers have been asked accessing. And that’s one of the corporate social responsibilities. So that’s hospitals, for example, that are supporting the chamber, not because they think they’ll get more patients or doctors to come to the hospital, because they believe it’s the right thing to do for the community. And so I think, you know, when you’re reaching out to companies and asking questions, like What is your decision making budget here? But also asking him Do you have a separate department that’s in charge of corporate social responsibility, because all of us are going on to those marketing folks. And whether it’s with that insurance brokerage agency or, or with the hospital, and we’re all going to the marketing folks ask them for money from from their small pot at the same time. And the opportunity with this what’s often called Corporate Social Responsibility, money that hospitals in some larger businesses have retail stores and others is that it’s everybody’s not asking for that money at the same time. So it’s a little easier to being lost in the shuffle there. And it’s a somewhat different criteria. The marketing folks are back to thinking what is the ROI am I going to get X number of new contracts or X number of new customers? If I support the chamber in this way At, or the hospital is like, well, we’ve seen the Chamber’s impact statement. You guys are doing great stuff. We want to support you. So I think it’s different conversations but similar, because I think there is always an advantage in having these exploratory calls, and showing empathy and interests. And wow, tell me more about those goals, whether they be sales goals or intellectual responsibility. Tell me about your goals, what’s working, what’s not working? What are the barriers? And that’s what I just find that I’ve had companies, I’m shocked, I’d never heard of this in the sales. And because we’re still basically kind of selling sponsorships, where companies will say, at the end of the call, wow, this was a great call, can we schedule another call, we didn’t get to cover it all in a half hour. And then I talked to kind of folks that are have expertise in sales, and they’re like, schedule 15 minute sales calls, you should be able to get it all done in 15 minutes. So I think when we bring companies in, and this is where we kind of shift from, I have a slide in some of my PowerPoints is that the word partner is a noun and a verb. And we often talk about corporate partners, oh, they’re our partner. But do we truly partner with them using partners as a verb, so when we can bring companies in. And we did talk about things since the beginning of this conversation about the revenue, which is definitely important, but there’s also a huge component around member value. So another way to kind of shift the way we’ve done things in the past, is to actually start with not even a conversation with companies. But what is the chamber need? What are our members need, and I have not found any association and the surveys back this up, including associations with 100 200, staff, people, nobody has enough staff time expertise or money to meet all of the members needs all the time. Right? So do Chamber members need to have new information on cybersecurity? Are women in leadership capacities, or D AI are? And then to go to companies and say, Well, you know, our members really need information about cybersecurity, could we partner with your company, to take some of your company’s expertise, not a sales pitch, and we don’t want to hear about your specific products, position, your company has that knowledge leader around cybersecurity, and do a series of webinars, podcasts, white papers, something as the conference during the year, and really position your company for success. So then you’re bringing in not only the revenue for the chamber, you’re bringing in information for members. So then you kind of tie that into membership recruitment, when you’re going out to recruit members, oh, we have this great year long education program around cybersecurity, because we heard this as what businesses in town really need, or whatever the topic is, but actually start with what do members need? Can we find companies with that expertise? And that’s where I find calling companies and not saying, Oh, our convention is coming up, or a conference or Expo is coming up? And in 60 days, do you want to gold, silver bronze sponsorship a calling and saying our members really did it for information on cybersecurity, I looked at your company’s website, I did some research, did some work on my end. So that your company as you know, some white papers and some videos about cybersecurity, can we talk? Those are the calls that get returned? And those are the meetings we can put together.

Brandon Burton 38:11
Right? I like that question. A lot of great points there. One I wanted to circle back with was on the corporate social responsibility. For chambers listening. I know there’s been buzz lately, about chambers having foundations, a lot of chambers have established foundations. And that’s where you can really tap into some of those buckets of social responsibility for these companies where it’s not coming out of marketing funds, it’s a totally different bucket. But having, especially if a foundation is something new and there is buzz in your community about the foundation and the work that it will support, it’ll be easier to open those doors to be able to have those conversations. And in the end, it’s all supporting the mission of the organization. So

Bruce Rosenthal 38:56
Right. That’s, and that’s that’s a good point, just to underscore that, that every relationship that we’re talking about with companies, whether it’s from their marketing, budget, sponsorship, or corporate social responsibility, should always kind of meet the two major criteria in alignment with the Chamber’s mission in meeting the needs of members. Right. And it doesn’t work all the time. If a company says, Wow, what we really want, we need an email list of all your members, and we want our logo front and center on the Chamber’s website for the next year. It’s like, sorry, that that’s not going to work. Yeah. Let’s talk about some other things or less. Or

Brandon Burton 39:31
here’s what it’ll cost to do that right. Well.

Bruce Rosenthal 39:35
Sometimes we get on a slippery slope if we compromise ourselves. So I think it’s also fine in some cases to say this doesn’t look like it’ll work right now. Maybe we can get together in another few months and talk again. Because it we definitely want to make sure and I think also because sometimes boards are a little skeptical. What about sponsors? Are we endorsing products? Are we aligning with the wrong companies? It’s like, No, we have a set of guidelines and you Here’s how we can work with companies. And I think also by having these exploratory calls with companies and then going back to the companies with ideas, yeah, we’re sure that they’re in alignment with our mission and our members needs. Because we’ve developed it. We as chamber leaders have developed that not going to the companies and saying, What do you want? Because then they start telling you what they want. And then we’re like, Oh, what do we do now? Because we can’t do that. So when we can go to companies, and I think we there are even ways I turned it around if a company does come and say, We want to list your members. And I try not to say no, but I’ll say, well, that’s interesting. Tell me about your objectives and goals around that. Not I mentioned, you want to list but why do you want to list and I’ve had a number of instances where where I’ve realized as part of the discussion, they really don’t want to listen to everybody that just kind of what they’re used to asking for. They want to reach a segment, or they want to be positioned for their expertise, some something and I’ll say, well, well, what if we help you do a webinar? And we’ll only introduce Chamber members who are whatever retailers are in the health space? How would that work for your company? And more than nine times out of 10? They’ll say, oh, yeah, that’s a great solution. And they’ll never ask about the mailing list again. Yeah. So if we can find when we can find out what a company’s goals and objectives are. And then find ways to work with in the context of the Chamber’s mission and member needs. So offer solutions. That’s the real though I always look for the win, win win. Members. First, it’s got to meet the needs of members, chambers, Max, if it provides more revenue for the chamber, and then when we can position, the company, the sponsor is the third when then that’s when it’s successful. Yeah.

Brandon Burton 41:40
Now, this has been some gold nuggets all over the place. So as we, as we start to wrap up here, Bruce, I wanted to ask for chambers listening who are interested in taking their organization to the next level, what kind of tip or action item might you leave with them and trying to accomplish that goal? I’d

Bruce Rosenthal 42:02
say that for action steps, the first would be have conversations with companies. And based on your size and capacity, it could be reaching out to one or two companies start with the ones who have been supportive, or have had the, you know, bought the most number of ads during the year, whatever it is, however, you know, money’s always a good metric, the companies that have spent the most with the chamber, and it could be in terms of membership, as well as sponsorship and advertisers. And, and schedule a time to talk with them. And you might even start by saying we’re not selling anything today. Oh, and by the way, what’s what’s your budget year, we want to have this conversation when you’re working on your next budget, and have that conversation. And yet I find it as a huge differentiator, because most organizations aren’t doing that. And and then to kind of regroup internally and go back to the company and say, Well, we have some ideas and hard thing is often how do you price it but you know, look at what the company spent in the past. And, and you can probably increase it a significant amount. So I’ve seen organizations kind of on the national level, again, it can be scaled down. But companies, companies that have gone from a $5,000 conference sponsorship to the next year, a $40,000 year long partnership, because it has achieved. And I looked at one of the questions I may not have mentioned in these conversations with companies, ask them how they measure success. And they may be able to tell you, they may not. But again, I think it shows interest in empathy, because I’ve worked with companies like banks, where they say, Wait, if we get one new financial stake, this is finance financing as a result of his partnership with the chamber. that’ll pay the whole annual fee right there. Yeah. And if it’s a smaller marketing agency, they’re gonna say, wow, we’re gonna design a whole bunch of websites for local businesses to be able to pay for this sponsorship. So understanding who they want to reach and how they measure success. And I think most companies would be glad to answer that question. How do you measure success? And success should be in terms of, again, kind of objectives and results in that? You know, success is now we want the email list. So we can mail up, you know, 3000 brochures to your members or 500 brochures, who remembers that’s a tactic but, but what is kind of a business ROI success, and I also find companies are measuring a lot more than they used to. Yeah. And then they’re tracking every lead from the first conversation, the first touch point, the first downloadable white paper through the months until there’s a sale. So companies to a greater extent, I think this was partly just because we’re more data focused and things became more a lot online during the pandemic. Companies are measuring so I showing interest in empathy and saying, how do you measure how can we you know, if we have this Congress, if you become a sponsor, we come back over the months to talk about a renewal. What will be an indication of success for you and how can we help you with that? Right.

Brandon Burton 44:56
I like that. I like that question. With Bruce I A final question I like asking everybody that I have on the show is, as we look to the future of chambers of commerce, how do you see the future of chambers and their purpose going forward?

Bruce Rosenthal 45:10
I think for chambers and other nonprofit organizations, there’s a huge interest that companies have and companies are. Yeah, I think the opportunity for chambers that embrace a different sort of strategy for working with companies is has a lot of potential because I’ve talked to a lot of companies, and this is really over the last seven or eight years. So it’s not even specific to the pandemic, is that I’m talking to companies of all sizes, and they are saying, we are not cutting our sponsorship expenditures in the coming year. However, we’re cutting the number of organizations we sponsored by 30%. So again, that’s I don’t think there are too many companies that are going to be successful by cutting marketing budgets. So companies have a huge respect and want to support organizations and be aligned with the brand. So just one quick example, when I worked for an association, we had a year long corporate partner, they were sponsors of a major research study co branded with the Association. And what was interesting, the company did most of the research for that research study. And I looked at the different scenarios, and I thought, you know, they could decide to just publish that on their own. Yeah. Or they could co branded the reason they were like, and this is what will be at the scale it down to a smaller chamber level, but they were $160,000, sponsor of a national association. One of the key reasons they sponsored $460,000 was a co branding of that annual research study, which they did all the research they could have done around. So I think, you know, realizing that by having these engaging collaborative conversations with companies, bringing them in as partners is a huge differentiator, because companies value chambers, value, things like CO branding, being on panels, being invited as a thought leader, because I’ve talked to a lot of companies and associations I’ve worked with, and the company will say, you know, they call us a partner. But we’re a marketing agency. And I saw that the association did a webinar on marketing, and they never asked us to be on the panel. Yeah. Does it feel like a partner? Yeah. If I want to do that, I always said, Do you want our money? Or do you want our brains? Yeah. So kind of back to members need the information and the expertise. So again, if companies are going to be on that panel, they need to be coached, you’re not going to sell, you’re not going to put up your QR code. You can have that in the last slide or at the end or have a brochure if it’s in person to end at the end. But we want your expertise. Can you talk about marketing agency, how to design websites or how Chamber members can use LinkedIn or whatever without mentioning the name of your company that will be the educating to sell not selling to educate? So I think there’s huge potential because companies have sponsorship money to spend, but they’re going to spend it on fewer organizations where they

Brandon Burton 48:05
see value. Yeah, absolutely. But Bruce, I wanted to give you an opportunity to share any contact information for listeners who might want to reach out and connect or learn more about some of this that you shared today or just dive in deeper what would be the best way for them to reach out and connect with you?

Bruce Rosenthal 48:20
Great well name again is Bruce Rosenthal, and I’m on LinkedIn and post there pretty regularly a couple times a week with sponsorships success ideas, and my website is BruceRosenthal.associates. br uc EROSE, e n t h a l dot Associates, and there’s some white papers there some webinar recordings and then there’s a calendar with listing of upcoming webinars and speaking that I’ll be doing so a lot of resources for chambers.

Brandon Burton 48:51
Yeah, that’s great. We will get that in our show notes for this episode make it easy to find but, Bruce, this has been a blast having you on chamber tap podcast. I appreciate you setting aside some time and sharing some of your expertise and experience that you’ve learned throughout your career. As to corporate sponsorships. This has been a valuable episode and I appreciate your time.

Bruce Rosenthal 49:12
Right always planned to talk about sponsorship success.

Brandon Burton 49:16
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Mergers, Acquisitions, & Affiliations with Arthur Havlicek

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Brandon Burton 0:00
This is the Chamber Chat Podcast, the show dedicated to chamber professionals to spark ideas and to get actionable tips and strategies to better serve your members and community.

Hello, Chamber Champions. Welcome to Chamber Chat Podcast. I’m your hosts Brandon Burton. And it’s my goal here on the podcast to introduce you to people and ideas to better help you serve your Chamber members and your community.

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Becki Womble 1:03
I’ve been using Community Matters for probably six or seven years now. And in a previous life, I sold commercial printing so I can highly recommend Community Matters because it’s a complete turnkey job for any busy chamber exec and it’s a wonderful, beautiful printed product whenever you’re finished. And I just I’m very sold on Community Matters. And with a printing background I just big endorsement from me.

Brandon Burton 1:44
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Our guest for this episode is Arthur Havlicek. Arthur is the President and CEO of the Southwest Michigan Regional Chamber of Commerce and native of the region himself. Arthur grew up in Bridgman and graduated from Lake Michigan Catholic High School in St. Joseph. He earned his degree in political science and public administration from Grand Valley State University in Grand Rapids, during which time he also began managing and winning political campaigns. After college, Arthur served as staff in the Michigan House of Representatives where he was involved with numerous significant legislative achievements. With nearly a decade in public service experience by the age of 27. Arthur decided to return home. He assumed his current position as president and CEO of the chamber in January of 2020, and has quickly become a recognized leader in both his industry and his community. Arthur currently serves as board member at the Michigan Chamber of Commerce, the Michigan Association of chamber professionals, other local organizations and as executive director of a local community and economic development organization called the Bridgman area Chamber and growth Alliance. He’s also a 2023, graduate of the prestigious business leads fellowship program through the US Chamber of Commerce Foundation. And Arthur, I’m excited to have you with us today here on chamber chat podcast. I’d love to just give you a moment to say hello to all the chamber champions that are out there listening and to share something interesting about yourself so we can all get to know you a little

Arthur Havlicek 3:31
better. Well, sure. Thanks, Brandon. Thank you, first of all, for having me. I’ve I’ve listened to many of your podcasts with chamber professionals over the last four or five years as I’ve tried to look for advice and counsel on how to take our chamber to the next level. So hopefully I can pass along. Some tidbits to the next generation of folks hear something interesting about me is always a tough question to answer, I think but a development in the last four months was the birth of my daughter Nora. So it’s my wife and I’s first child born on September 12, and you know what a what a paradigm shift in anyone’s life. Having that first first kid and the love that you experience and the smiles that you get that just melt you and you know, being her dad as has quickly become my absolute favorite thing about life. And watching my wife grow into a beautiful mother and it’s been in the last four months have been incredibly rewarding. So I’d say that is that’s what’s top of mind right now,

Brandon Burton 4:47
as it should be. That is awesome. Congratulations to you and your wife. That’s cute. That is something exciting and goes quick. My oldest just turned 18 So it goes In a blink of an eye, and before you know it just cherish her.

Arthur Havlicek 5:06
I can’t even imagine her with teeth. And so thinking about her at 18 is

Brandon Burton 5:11
let alone an attitude, right? Yeah, wait for it. Tell us a little bit about the Southwest Michigan Regional Chamber. Just give us some context, the size of the chamber scope of work, you’re involved with staff budget, that sort of thing to kind of set the table for our discussion.

Arthur Havlicek 5:30
Sure. So we are a lean and mean organization. We are a Tri County Regional Chamber of Commerce in southwest Michigan serving Burien, Cass and Van Buren counties. We are a 501 C six, which many chambers most chambers are, I believe, and we have about 700 members spread geographically throughout the region. And in multiple states, which is easier for us to say considering we are right on the border of Indiana and often have to compete with Indiana for for business development. We have three full time people on staff, we are on the precipice of hiring a fourth person with some restructuring that we’ve been able to do. And our budget is really only around I’d say 400,000. So you know, that is something that we have taken a look at. And it’s a byproduct, I think of what I would consider the old chamber membership model. And we are trying to shift to a new organizational structure that allows us to fundraise for more impact, hire more staff, have more capacity, do more programming and better serve our businesses so we can talk about what that looks like. I believe that is that direction is the future of chambers. Yeah,

Brandon Burton 6:53
sounds like you’re on the precipice of some really exciting things and some big changes there at the chamber. So the topic that we settled on today I know there’s been a lot of interest in chamber world around this so I’m excited to get your perspective on it but around mergers and acquisitions and and bringing in affiliations you know, with with other chambers possibly so we’ll we’ll dive in much deeper on this conversation and your experience on it as soon as they get back from this quick break.

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All right, Arthur, we’re back. I would love to know just from the time you joined or came on board at the Southwest Michigan Regional Chamber. January 2020. There’s some things happening around that time right now, yeah. You can say that the applecart was being kind of tipped over business wise, you know, for for local businesses, small businesses, big businesses just in general, but Chambers as well. So through the pandemic, we saw, you know, some reorganizations with within the chamber world. And I’d love to maybe just get the background and history there locally. like for you guys, what did that experience look like and how things evolved since you came on board in January 2020?

Arthur Havlicek 10:06
Sure, so I get asked this all the time, basically having enough time to find the bathrooms before our entire world changed. And, you know, everyone’s first reaction is, is what terrible timing. I mean, that couldn’t be worse timing. And I genuinely believe the opposite. Actually, I was able to step in, in my role, find the bathrooms made a lot of the key community leaders that I would have to interface with and work intimately with over the, you know, the coming months, and years. And what I always say is, I didn’t have time to get into the chamber box. So we had no problem thinking outside of it, frankly, we were able to act very quickly, very boldly, which were two, I guess, crisis management principles that we actually intentionally adopted during that time. And we tried to innovate and do new things. And while you know, a lot of a lot of organizations, a lot of businesses were rightfully saying, I just don’t know what to do next, we were viewed very much as a leader, and a Pace Setter, and, and we’re able to rally the community around various causes and, and really just energize them. And then my background, in in Lansing, allowed me to read the tea leaves a little better than most, I think, and be able to predict what restrictions were coming next, or make phone calls and clarify what those restrictions included in Michigan, as you may know, is one of the more stringent or someone even say draconian in their handling of the pandemic. So we had businesses shut down for well over a year, entire industries. And again, being on the border, we felt that more deeply, because all of our consumers just drove 20 minutes to Indiana where everything was open. So we were I think it was our level of activity and how vocal we were saying, being pro business and pro public health are not mutually exclusive. There’s a way that we can do this and keep customers safe employees safe, keep our community safe, and keep commerce moving. And I think that the community responded to that. I think they respected that. And frankly, I think that that’s our role as Chambers of Commerce. That’s part of what we were formed to do. And we shouldn’t shy away from those conversations.

Brandon Burton 12:51
Right. So when you were given a little bit of background about your chamber, you had mentioned you guys are a Tri County Chamber. How long have you guys been at Tri County Chamber? And how did that come to be? Great

Arthur Havlicek 13:06
question. So our chamber has gone through multiple evolutions, I guess, this 2024 is actually our 70th anniversary. We started as the Twin Cities area Chamber of Commerce, and that would be in 1954. If the math is correct, and then operated like that became one of the largest chambers in the state, actually, at the time around the 1970s. With something over 1200 Members, I think, very, very impressive. And then is community started to move towards more economic development organizations and economic development focus. We merged with a community development corporation to form another organization and economic development organization. And our chamber sort of went away for a couple of years until the community raised their hand and said, We’d like them back. So then it came back as the cornerstone Chamber of Commerce serving its historical footprint of Northern Burien County. And it wasn’t until we affiliated with a another local chamber in my hometown of Bridgman that that decision was made. You know, looking around the country at some trends for towards regionalism, why don’t we regionalize we’re the largest chamber in the region already. This affiliation with a community, you know, miles away from our historical footprint is is a perfect opportunity. And so we rebranded from the cornerstone Chamber of Commerce to the southwest Michigan Regional Chamber of Commerce, and that would have been, I believe, in late, it was about 2018 2019. So really right before I I got here and just because of the leadership transition. You know, I don’t think that a lot of a lot of that leaving that regional mission had been able to be completed yet just pure sake of timing. And so that was something that I immediately put my foot on the gas, and said, If we’re talking about serving a broader territory, we need to figure out the best way to do that with a small team, we can’t be everywhere. And, and I think that we’ve been able to do that authentically, since my hire, we have absorbed actually two chambers. And that would be the Lakeshore Chamber of Commerce in a town called Stevensville. And then, the Baroda area business association in a small town called Baroda. Neither of those were, you know, we didn’t want to see them go, which is a point that I want to make very clear. We went through a whole process, which I can talk about later, where we were like, What can we do to prop you up but with, you know, just less engagement, from a volunteer perspective in which we see in every community across the country, it’s getting harder to sustain these entities, these all volunteer entities. And so they’ll look to organizations like ours that have the resources and the staff and say, Hey, can we just hand you the keys and trust you to do a good job, and you have to build trust to do that, but that’s what we’ve done. So I think our organization has, in its entire history, absorbed three chambers outright, and has affiliated with one being the Bridgman chamber and growth Alliance, which we’re, we’re going through changes. They’re exciting changes. Yeah.

Brandon Burton 16:55
Now, so that’s it is fascinating. And I, I think that’s important, you had said that you didn’t want to see these chambers or business associations Go Go away. Which is, I think, part of the reason why you guys stepped in to help help make that continue, you know, helped create a bridge, I guess, to continue on with the work that they’ve been doing there. But why don’t you touch a little bit more on that, that the approach with how you didn’t want to see them go, but also supporting them during that transition period?

Arthur Havlicek 17:27
Sure. So. So again, I think both in both of those cases, I mean, they had membership anywhere between 50 to 100, maybe a few more members. And so, you know, in that regard, they were, they were doing well, but it changed over on those volunteer boards, and some of the loss of some of that institutional memory and the burden of having these, typically business leaders spend that amount of time trying to breathe life into an all volunteer organization, in both cases, just became too much. So from the very first conversations we had with them, you know, my my stance was shutting down, you know, these entities should be always the last resort, in my opinion. And I think I, because I genuinely believe identity is important in, in our work in our industry, identity is a crucial component to, you know, promoting your area, but also to businesses wanting to invest in a specific organization. Were a good example of this. The Southwest Michigan Regional Chamber sounds like a massive, somewhat nebulous, right organization that I’m sure there are other businesses that are feeding into that I’d rather feed into my hometown chamber. Well, you know, you lose that hometown identity. And you might lose that business from understanding why it’s important to invest in a chamber in the first place. So I tried to flip it the model on its head and say, How can we prop up and help these community chambers so that businesses, you know, want to invest? They have that community pride in it, and then we can be the backend for it. So what we did not try to keep the answer short was, we had multiple, multiple, multiple conversations with their board of directors, in some cases, taking over a year to talk everything through. I had crafted decision documents that basically were, you know, all the decisions that would have to be made if we, you know, if we affiliate if we merge if we dissolve and, and all the things that would have to be thought through. And simply we we just work through it. And then in both of these cases that I’m referencing, You know, they really came to the conclusion, look, we have faith in you. We really just want to know that that our businesses aren’t being, you know, left hanging, it’s our way to close the loop. But, you know, we think you’ll do a good job. And so they made the decision to bold entirely and then come into us. And what we’ve tried to do is absorb not just those members, but those. Those board, that board of directors, we’ve tried to take them and say, Okay, is there a place on our board for you? Is there a place on our ambassador committee for you? And so that way, we still have their participation and engagement, but without the level of, of, I guess, commitment that they had to before that was becoming untenable? Yeah.

Brandon Burton 20:48
So you touched on some big things there. And one of the things that I was going to circle back to this identity in that sense of community. I’ve seen this. So in my, my background working with chambers is it’s been chamber publishing that I do so well, oftentimes, we’re working with chambers who have that very defined identity right there, the ABC, City Chamber, right, whatever their their town is. And once you get into a regional or multi County, it, it can kind of lose that sense of that community feel, especially with, as I say, with publications, right? It’s like, you want to highlight the things that community offers, and what’s your scope if you’re covering such a large area. So I like that you guys are being intentional with especially bringing their board members and ambassadors and trying to create space for them within your organization to keep that tie to those communities. But how do you try to enforce that, that sense of identity, that sense of feel, on the local level, I think that’s a that that’s a hard area to navigate. And hopefully, you guys are doing it in more of a successful way than some other chambers might have approach? Well, so.

Arthur Havlicek 22:11
So it is extremely difficult, especially when you’re covering a large territory with very few staff. So but but to be intentional in the communications you’re putting out to be intentional on if you have an event, make sure that you’re inviting, you know, that communities, core people, the identity thing. Chambers of Commerce, in my opinion, are legacy institutions in most of the communities that they exist in. Much like the public school system is in any of those communities. And, you know, the bad C word. And all of this is going to be consolidation. And there’s always fear of that, because I don’t want to lose my mascot. I don’t want to be that mascot, right. So you don’t want your schools to merge, even though that’s probably what’s best for the kids. It’s really no different in the chamber world. So finding a way to keep that identity and you know, celebrate the history and the legacy because you know that that chamber has accomplished a lot over its tenure. It’s it’s no small task. With the Bridgman chamber and growth Alliance, the the one that we affiliated, the organization we affiliated with, back in 2018, that that sparked our name change. I want to walk through that because I think it’s a good case study for you know, maybe what, what not to do, and then maybe what to do, and, and so when it was originally constructed, and I’m oversimplifying, but essentially, the CGA and its board remained in place remained its own organization of 501 C, three, completely independent, and we came in and became the service provider for all of those members. So those members started paying dues directly to us. So I’m abridgement business, I’m cutting a check to the southwest Michigan Regional Chamber of Commerce. There’s a variety of reasons that I think my predecessors structured it that way, you know, probably, you know, for no other reason other than we had the the CRM and chambermaster to, to be able to handle all of that and the staff to do the dues and collections. But from what I’ve observed over the now, you know, four years of sitting in this role is that’s a community that is immensely proud of its name. And I believe, you know, we believe so strongly in that identity piece. Over the last several months, we have actually been working to restore the members to that local chamber and serve more as the back end for it and allow it to operate and thrive hopefully as the Bridgman CGA once again, which is, I would like to think a prayer The radical step once you, once you fight and grab these members, most people will do anything to hold on to them. And I’m saying I think what’s best is to, you know, allow them to invest in their community chamber directly have that money, stay there be governed locally, which is also important. And then we will have agreements with that chamber to be the back end to hire the staff person that I referenced, the fourth person that will be coming on shortly. And and just since we’ve announced these changes, it has opened up multiple possibilities with businesses, with the municipalities themselves, the city and the township down there. So, you know, with all chambers being different, or communities being different, there’s no one right answer, you just have to figure out what works for that community. And sometimes, it takes a year of negotiations, sometimes it takes four years of affiliation, before you figure out exactly how it’s going to work. But if you’re authentic and you build trust, you’ll be given that leeway and hopefully end up in the right place.

Brandon Burton 26:10
So with these more recent, you know, opportunities, we’ll say, or experiences of absorbing these other organizations, it sounds like most of them were volunteered led, is that what I understand? So if you can, do you mind talking a little bit about the negotiations with that? Do they approach you did the chamber your chamber, approach them and say, we can help? Or how did these conversations begin and evolve? Yeah,

Arthur Havlicek 26:42
so in, in every one of these situations, the local chamber, so to speak, approached us. And, you know, and I think that probably happened, because we do our best to be good neighbors in the chamber space, I don’t view I view competition as being outside of the region that we’re in, not within it, right. And if we can work together to compete, we’re all going to win. And plus, I think if you are a business that believes in the value of one chamber, you’re helping all chambers, because then you’re you’re one more business that believes in the work that we do. So. You know, I think that we had some trust built to begin with, and we tried to be very collaborative with these organizations. And they were very collaborative, you know, back. But in every scenario, they approached us saying, Look, we’re at a crossroads, we can either try to hire, which we may not have, you know, the dollars to do. We made dissolve, we could fold into you. And we’re basically just saying, hey, look, we need help. And we take I mean, we took each of those conversations as seriously as we could, because that’s, that’s no small thing to say, Hey, we are we may need to wind down this organization. And the other thing, I guess, for our area, specifically, and probably many areas, across the country is our region is has a declining population and an aging population and so demographically, we’re moving in a direction where there are going to be fewer people with the capacity to serve in these volunteer roles. And so the, I guess, we use the term sprawl when we’re talking about, you know, economic development, the organizational sprawl, so to speak, you know, peaked when our population peaked. And as our population has declined, fewer people have been tasked with propping up, you know, not only infrastructure, but in organizations. And so we’re going to see a natural attrition, I think, and our stance is, well, we want to be able to help those that want to stay in existence and, and even help those that don’t. And so that’s what we’ve been doing. There’s no secret sauce. It’s just like, I keep saying the word authenticity, because it’s the I think the number one thing and it’s the thing that you can’t fake definitional but that’s what ultimately allows you to come in and serve these other areas. And if you have you you lead with that authenticity and you try to keep that identity you’re you’re halfway there.

Brandon Burton 29:32
Yeah. So in what you’re sharing through this experience, it sounds maybe a little different than what it would be looked like maybe to acquire another business right? I mean, looking at the the p&l and the financial statements and saying how profitable I get the the negotiations are going to be a different thing because it’s not like you’re saying, hey, we want to bring on you know, more work for maybe a little right Turn. But at the same time you want to support that, like you said, there’s no competition within the region, right? As long as you can build up the region, then you all win. So imagine are there other points and then negotiation would look different than like, looking to acquire a business?

Arthur Havlicek 30:17
Well, so I’m actually glad you made that point. And forgive me for not mentioning it sooner, they’re much like any business acquisition, there was an extensive due diligence process on our end to make sure that we wouldn’t be inheriting any, you know, debt or liabilities, obligations. And, and it required a deep dive into Financials, not not necessarily to see how profitable being in the nonprofit space, it wasn’t about how profitable these institutions were, but just making sure that we weren’t absorbing something that was underwater or had, you know, back taxes, you name it. So, you know, I’ll stress that that due diligence does have to occur, and it has to be done, just like you would in the in the private sector. With that, that level of care, that duty of care. But, you know, being in the nonprofit space, where profit is less important, you need enough dollars to be able to serve your your members effectively. It, it was a I would say a softer, right? There’s the hard skills and the soft skills it was it was the softer of the two that we lead with, because it was really about the end product and the work more than, than the dollars and, and that’s also a byproduct of us not being the initiator, that’s them coming to us and us just saying, How can we? How can we figure out how to make this work in a way that’s not going to put my organization at risk, which I was upfront about with all of them. And they all understood and hopefully appreciated some of the professionalism that that demonstrated that we’re we weren’t just Yes, we’ll take your members it was, let’s go through a process. And think about this. You take a peek at our finances, we take a peek at yours, we make sure everything is actually going to work. So that’s really how we went about it. So yeah, thank you for bringing that up. I should have mentioned. Yeah, that are an important part a lot sooner.

Brandon Burton 32:25
Yeah. No, I appreciate you touching on that. And as these negotiations went about, was it with the staff or the volunteer staff or with the boards? How,

Arthur Havlicek 32:37
how did the communications go? It was it was typically the executive committee of the board. And, and whatever chairperson or and or president that they had the there were no staff in any of these scenarios, which I think was one of the catalytic reasons that they approached us in the first place. Because they saw us as having that capacity to serve their members better and true to chamber forum. We’re trying to do what’s right by your members, even if it means, you know, saying goodbye to your own brand. That’s, that’s a level of integrity that I don’t think we see often. So. Yeah, it was it was the executive committees and the chairs, specifically that much of the negotiations occurred with.

Brandon Burton 33:24
Yeah, so if we can, I know, we’re getting a little short on time. But I wanted to touch a little bit more on the affiliation part, the aspect, because I don’t know, I think there may be some chambers out there that might shy away from doing affiliations with other chambers, because they feel like they might lose out on some revenue. So you had mentioned that there’s not competition within the region. I love that that point of view. But how would you suggest a chamber approach affiliations with neighboring chambers or chambers that can be supportive of one community? The other? Yeah,

Arthur Havlicek 34:04
so again, scenarios are going to be very different. I mean, in this in our scenario, we were a much larger entity affiliating with a much smaller entity, that dynamic is going to be different than if two chambers of equal size were trying to figure out how they could merge. And we’ve seen We’ve seen that happen quite a bit and just you know, you take the two community names and put them together. But in in, in our case, that affiliation agreement that we struck, when we signed a legal document, basically stipulating you know, the members would come our way and exchange services would go that way. And it talked about some of the finances and put sunsets and there was there was a phase in for the businesses because our dues structures differed. We were slightly more expensive, but but enough to might be a sticker shock. Docker would have, you know, prevented folks from making that transition. So, you know, I what I want to focus on is, is I guess how we’re going to do it, as opposed to how it was initially done because I think where we’re headed is a much more sustainable model. And, and what we’re doing is we, we worked with the city of Bridgman, in this case and Lake charter Township, which is the township surrounding the city to invest in a in a paid staff person that we ended up actually hiring but those dollars go to the CGA. The CGA, then through a management service agreement compensates us for hiring that individual. We supervise that individual on a day to day basis, but the CGA board actually sets the vision and the duties and responsibilities. And then the CGA board has seats specifically dedicated to each of those municipalities. So there’s all these layers of local control, local governance, and local identity. And like I said, we’re restoring members back to that organization. So that’s our good faith effort saying you’re pitching in, you’re pitching in, we’re taking the business investment pitching in. And then you know, for us, we know that that money is, I guess, coming back to us to be able to pay for that staff. But we’re really a pass through. And really, it’s our benefits, these Bridgman businesses are getting to chamber memberships for the price of one. And they’re able to utilize all of our benefits all of our infrastructure. And and and you know that that reduction in duplication is huge, it allows the dollars to go a lot further. And we’re thrilled to have boots on the ground down there, again, just focus solely on that community, because it’s a community with a tremendous amount of potential. So, you know, it’s, there’s just a ton of, and I guess, you know, just like the private sector, we went about it really, professionally to figure out if the finances would work, what the management service agreements would look like. There’s agreements between each individual municipality and the CGA and then the CGA with our organization, and then between us and the person we hire in so it’s, it’s, it’s complicated, but completely doable. Yeah.

Brandon Burton 37:32
Now, I appreciate you touching on that, because I think and obviously, everyone needs to take their their unique approach to it with every chamber and every community looking a little different. But that helps to give some perspective for chambers and maybe kind of kicking around the idea of affiliations. As we start to wrap up, I wanted to ask for chambers that are listening who are looking to take their organization up to the next level, what kind of tips or action item might you suggest for them to try to implement back at their organization?

Arthur Havlicek 38:05
Well, I’ve got a couple if you don’t mind. I use the word authenticity quite a bit. So I will lead again with that you, if you were being authentic, you’re paving a much easier path for everything that you try to undertake. The second thing I’ll say is that I know that all chambers are, are very different, they serve different purposes, different functions. And it might be my background speaking, but I do think that advocacy was a I mean, it’s it is a primary reason why chambers exist. And you know, I It’s an intimidating arena to get into, but there’s a way to do it again authentically, where, where you’re not going to rock the boat, necessarily, but you’re still taking a stand for your members. And the analogy I use here all the time is just about every community has like a humane society, right? Taking care of, of animals, and no one is going to them and asking them why they’re so pro pet. So why would I entertain anyone coming to me and saying, Gosh, why are you so pro business? Well, that’s what I engineered. That’s my job. And when I put it like that, I usually am able to, you know, calm down, whoever is getting a little fired up about the positions I’m taking and just saying it is my job to stand in the gap for these members. You are entitled to disagree with it. And I’m going to serve you anyway. It’s all about the ecosystem. But the larger point the third thing I want to mention is we need to be unafraid to take risks. We need to be bold. There’s the out with a Out with the old in with the bold saying, I think that we as an industry need to be bold. Old in identifying the gaps in our communities and moving unapologetically to fill them. We have tried to do that in multiple different scenarios. And it’s been successful, it’s been scary, but successful. And so like the businesses we serve, you have to take risks in order to advance. And I think part of that risk is also re envisioning what your structure looks like. So the second part to part three of what I’m saying here is, it goes back to something I said all the way at the beginning of the call, which is we’re looking at our structure, which was primarily dues and event revenue, non dues revenue based, you’re you’re very limited in the amount of dollars that you’re able to raise in that way. And, you know, every time you onboard a new member, that’s a new set of responsibilities. And by the time you get enough to hire someone at a at a living, livable wage, you’re behind the eight ball again. So like, most chambers, now, we are moving in the direction of forming a Southwest Michigan Regional Chamber Foundation, a 501 c three arm that will be a subsidiary of ours, and allow us to again, fundraise for impact, increase our capacity and improve the quality of services that we provide to our businesses. And and that’s going to be a paradigm shift for us. First time in 70 years, although being our 70th anniversary, I’ve been going back and looking at our, our, our old newsletters, and in 1968. Our organization’s leadership identified foundations as the future for chambers all the way back in 1968, which blew my mind. But for one reason or another, they never acted on it. Like I said, we the society went the route of economic development organizations instead. So we’re making good on that. This year will be by the time this airs will have announced our foundation and, and it’s going to be home to our leadership programming, some business development, programming and some community development work that we intend to do. And it’s just it’s an exciting change. And I think it’s going to be transformational, not only for our organization, but for it. And it is a bold change. And again, we won’t, we won’t thrive, I think unless we do that our area won’t Thrive unless we do that. And so while we’ve been operating the old way, for 70 years, we’re going to now operate the bold way, and I couldn’t be more excited about it.

Brandon Burton 42:39
Yes, I love that. And I’m going to put a plug in here for anyone who hasn’t read or shoes versus chess by Dave Atkinson. Read it, it has a great section all about foundations and why that’s the future of chambers going forward. But that rolls right into the next question about how do you see the future of chambers and their purpose going forward? I think you just touched on it.

Arthur Havlicek 43:05
I think that chambers have a unique opportunity with the, with the dynamics that all of our communities are facing guarantee just about anyone listening to this call is probably struggling with affordable housing or childcare or they want more trails, and better schools, and all of these things that are more difficult to solve more interconnected than ever. And there is no organization in any community, in my opinion, better situated to solve these problems than a chamber of commerce, because we’re the connective tissue between the public private and nonprofit sector. And it’s not necessarily the chamber that has to do it all we have to bring the folks together, you know, through our ability to convene, to solve and tackle these major problems. And the other thing I’ll say is, you know, our situation where we’re situated, being the largest business advocacy organization in each of our communities, presumably, that that connection to the private sector, I think that we don’t put enough stock or credit into it. Because if you think about it, and this is a major, I guess, soapbox that I like to get on. The private sector, generally either solves the problems in our community through innovation, or they generate the capital for the nonprofit sector or the government to solve those problems. Either way, it starts with the private sector, and us with our relationships, our inherent closeness to those businesses, makes us again, the best organization and each of our communities to take a leadership role and tackle these big issues simply by getting the right people around the table. And, again, that might be an intimidating thing for a lot of chambers, especially, you know, those that are again short staffed, or we have a lot of turnover in our industry. And they might not feel like they have that they’ve earned the street cred in their community, as an individual. If if you’re part of a chamber of commerce, you have that air cover, you have that responsibility. You can make big things happen. And you need to again, move unapologetically in the direction that solves the need for your members and your members. Those businesses who take risks all the time will see you do that will appreciate it and will invest in you to help you be successful. I

Brandon Burton 45:43
love that that really exemplifies the power that Chambers of Commerce hold that everything starts with the private sector. So thank you for for pounding on that a little bit. And getting on your soapbox is well worth it. My pleasure. Well, before I let you go, I wanted to give you a chance to share any contact information for listeners who might want to reach out and connect and learn more about how you guys have gone about these mergers and acquisitions and and affiliations, what would be the best way for a listener to reach out and connect? Sure, so

Arthur Havlicek 46:15
you can visit our website at www.SMRChamber.com and in fact, if you’re listening to this podcast, I’d Can I encourage you to visit our website because you will see a toggle in the lower right hand corner for our affiliate the Bridgman CGA, which was a way to even link the websites together in a in a very usable fashion. And again, keeping their identity front and center. So visit our website SMRchamber.com, you’ll find our contact information plastered all over there. You can feel free to email (ahavlicek@smrchamber.com) or call don’t hesitate to reach out we’d love to share what we know or or even brainstorm because there’s no right way to do any of this. It’s it’s kind of feeling your way through it. And we’re happy to be that sounding board at the very least. or explain you know, what we ran into and what issues could be avoided or successes could be achieved. That’s

Brandon Burton 47:16
awesome. I do appreciate that. We’ll we’ll get that in our show notes for this episode too. So listeners can look it up there and connect with you but really appreciate you spending time with us today here on chamber chat podcast sharing your experiences and and perspective in what can be difficult conversations difficult transitions from one organization to another but also keeping a focus on that identity and that sense of community all along the way. So thank you for for being with us and sharing these things with us today.

Arthur Havlicek 47:50
Thank you, Brandon.

Brandon Burton 47:51
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Workforce Training Center with Jeannie Hebert

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Brandon Burton 0:00
This is the Chamber Chat Podcast, the show dedicated to chamber professionals to spark ideas and to get actionable tips and strategies to better serve your members and community.

Hello, Chamber Champions. Welcome to Chamber Chat Podcast. I’m your hosts Brandon Burton. And it’s my goal here on the podcast to introduce you to people and ideas to better help you serve your Chamber members and your community. You’re joining us for a special episode as part of our 2023 ACCE Chamber the Year Finalist Series.

Our title sponsor is Community Matters, Inc. With nearly 20 years in the chamber industry and over 100 media awards presented to their chamber partners, community matters provides the R&R that every chamber needs, revenue and recognition.

When it comes to publishing a Chamber Map directory or Community Guide, Community Matters has a trusted experience to help your chamber accomplish your goals. With different advertising sales models and publication styles, Community Matters will help you create a non-dues revenue machine!

Let’s hear from Becky Womble, President of the Bastrop Chamber to hear about her experience with Community Matters.

Becki Womble 1:03
I’ve been using Community Matters for probably six or seven years now. And in a previous life, I sold commercial printing so I can highly recommend Community Matters because it’s a complete turnkey job for any busy chamber exec and it’s a wonderful, beautiful printed product whenever you’re finished. And I just I’m very sold on Community Matters. And with a printing background I just big endorsement from me.

Brandon Burton 1:44
To learn how Community Matters can support your chamber with your next publication. Please visit communitymattersinc.com/podcast To request your free media kit and request a proposal to find out what kind of non-dues revenue you can generate.

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Our guest for this episode is Jeannie Hiebert. Jeannie has been President and CEO the Blackstone Valley Chamber of Commerce in Massachusetts for 15 years. Under her leadership that BVCC has grown and developed into a chamber that works hard for business and the economic vitality of the region. often dubbed the queen of collaboration. Jeannie sits on several business and community boards and meets regularly with local state and federal legislators to make sure the valley voice is heard, and funding is appropriated to support their economic development and small businesses. Since her reign, the BVCC has become known as the go to place and resource for business owners and entrepreneurs to find assistance and funding to grow and develop their business. She has been honored with several awards, including the central Massachusetts outstanding woman in business power 50 manufacturing champion and Central Massachusetts economic development leader. Through her guidance, the Chamber secured over $1 million in funding to build the Blackstone Valley hub for workforce development. A Workforce Training Center located in the Chamber’s Linwood mill building, offering classes focused on advanced manufacturing. These certificate courses are offered to students of all ages throughout Central Massachusetts to help close the work skills gap and provide skilled workers to the region’s employers. Jeannie, I’m excited to have you with us today on Chamber Chat Podcast, I’d love for you to take a moment to say hello to all the Chamber Champions that are out there listening and share something interesting about yourself so we can all get to know you a little better.

Jeannie Hebert 3:43
Here, Brandon, thank you. I’m excited to be here today. Hello to everyone, all of our chamber colleagues there. And I am also an animal rights activist and help with rescuing animals in need. I do have you know dogs of my own. But I did rescue for African elephants. And they lived with me for two years. And we were able to secure some good homes for them. One of them Willie my favorite. He was the largest working African elephant in North America. And we found him a great home at Disney’s Animal Kingdom. So I used to go visit Willie there. So they were wonderful animals. It was a once in a lifetime experience. And I’m happy that we were able to find good homes for them because they had a terrible beginning.

Brandon Burton 4:41
So I have to say this is a first year the first guest on the podcast who’s rescued an elephant let alone for so. That is amazing. And I’m sure the stories about these elephants could go on for days. Lots of a unique experience. As a fan, I’m sure

Jeannie Hebert 5:01
they’re a unique experience they very intelligent, fun animals. One fun fact is I used to, you know, we used to wash them in the morning. And I would spray them with the hose. Use that big, big brush that you use when you wash your car, then grab the leaf blower to dry them before they would roll in the dirt and get dirty again. And invariably when I put the hose down, another one of the elephants would pick it up in their trunk, and they would spray me I thought that was a funny thing.

Brandon Burton 5:35
They got a sense of humor.

Jeannie Hebert 5:38
sensitive when we interacted very well, they were they were like my kids. So I missed them terribly. But they they needed to be in places where people who were better to take care of that could happen. So they had good lives. Awesome.

Brandon Burton 5:54
Awesome. Well, tell us a little bit about the Blackstone Valley Chamber. Just give us an idea of the size of the chamber scope of work, you guys are involved with staff budget, that sort of thing, just to kind of set the table for our discussion today.

Jeannie Hebert 6:09
Sure. Our chamber we have about 500 members. We were very active, we mean business and we listened well. We we listened to the needs of our members. And we’re very proactive in meeting their needs. That’s how the hub came about. We our service area is 13 towns from Worcester, Massachusetts, which is the second largest city in New England, to the Rhode Island border, just to kind of give you an idea of where we are central mass is kind of cow. It’s the belt to the middle of Massachusetts. And we work with everyone in Massachusetts. We collaborate a lot, you know, Queen of collaboration. But there is a field gap across the state and I think across the nation, really. And we found that a lot of the covenants of vocational schools because of a program we have here called the MKS. That funding is attached to it. So why are the MCAT scores on the more funding the schools are getting? So vocational schools have unfortunately changed their covenant and they are accepting more epidemic with superior students over vocational and superior students and the public schools. You have an influx of students who really want vocational training, they’re looking to go to work, and they’re not able to get it at public school level. So when we found this out and working with many of our manufacturers, the Blackstone Valley is the birthplace of the American Industrial Revolution, who Samuel Slater, who came here and started textile mills. And the mill is actually where we are, it’s a converted former textile mill of the whitened family. We’re in Waynesville named after that family, when we we would run the job fairs like everybody dies, and, you know, help them and it just wasn’t working. They weren’t getting skilled labor. And I was hearing, you know, I didn’t know this work, I have to turn it down. So when I found out that this was happening at the vocational level, I spoke with our legislators started doing some digging. And we were able to secure some funding from the Department of Education, and took on the legislation set the chamber, we take on the task to build a workforce training manager and said, yes, so long behold, we took over part of the middle, we didn’t build that out. And we have a design lab, we’ll hang on filling computers with CAD, and we have computer lab and we have a great fabrication laboratory. And it has 3d printers, augmented welding. We have mills and lane that start out with manual and it also has the coding, but the students learn how to use them manually. And they learn how to code. And we’ve recently just taken over the other end of the mill and put in a full electronics learn. And we’re building our robotics lab right now. So we’re meeting as the needs of our members change and evolve. We are meeting their needs well over now. million dollars in investment now.

Brandon Burton 10:02
And it’s typically for the hub,

Jeannie Hebert 10:04
specifically for the hub, but it helps us to grow our chamber. Because we’re training the workforce for many years, our members, and even those that are outside of our region support our chamber because of that constant with other chambers.

Brandon Burton 10:26
So I’m curious staff size, when you take on a project like this, just for all the chambers listening like this sounds great, but I’m sure she’s got like a huge staff to take this on. Right. So what is your staff size look like? The chamber

Jeannie Hebert 10:38
staff, there’s three of us. Okay, okay. And for a while. for probably a year when we were dealing with the billing, and so forth, there was no other staff. So I was doing two jobs, and it was exhausting. But it was very rewarding. But once the school was able to open, and we were ready to accept students, I hired an executive director, or the third Executive Director right now. She’s amazing. Um, I now have an operations director. He’s amazing. He’s, I’ve been tapping into retirement pool. He’s a retired engineer that worked in was head of Northeast for Thermo Fisher. So he’s got a wealth of information. And honestly, he can take anything from it to put a lock on a door for losing meeting diverged. In Bob ovens, our Executive Director, Ashley Bregman. She is a graduate of WPM, Worcester Polytechnic Institute. And she was also teaching robotics. She’s has an engineering degree, obviously, academic or teaching. So she’s perfect as an executive director. And we have several teachers, Instructor of some are retired vocational teachers. And some teach at night when we for the night courses, and they teach at the local vocational school. And one is an engineering teacher at one of our high schools. And we’re growing to the point where we’re building campuses in our high schools in the area, we’re up to 22 districts. So obviously, we’re working with high schools, but it’s not that we’re servicing. And we also teach incumbent workers. So some of the manufacturers who hire people with no skills, we listen to them, and we build a custom curriculum for them. And they will send their workers to us. And we do like a six or 12 week course for them. So when they go back, and they still work that you know, it’s worth studying. But when they finish their course and get their certifications, they’re more than an entry level here or mid level. Yeah, it really makes a big difference for them. So in the fall right now, because this year, Nast mass fire, who handles all the career, work with people who were looking for Jones, across the state awarded us the Youth Works grant, which means we’re now working with 16 to 23 year olds who are in a disadvantaged financial state, to their families. And we find them jobs and almost apprentice programs. We do have an apprentice program too. So we hired people to handle that under the umbrella. And we just received the connecting activities grant, which is K through 12. So now we’re working with elementary school students too. So we have at the hub 15 employees now running the hub, thank goodness, I would need to never ever sleep again. And we threes that work at the Chamber, but we interact all the time. So it’s, you know, it’s one big family, and we were growing so fast. At one point, someone would come in and like go Who is that? What is this name? What was this?

Brandon Burton 14:36
Do? Yeah, that’s great. Well, that definitely that helps to set the table for more of our discussion. I’ve got a lot of follow up questions for you about the hub and we’ll dive deeper into this in the whole topic of developing a workforce training center as soon as we get back from this quick break.

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Donna Novitsky 16:40
Hi, everyone, Donna from Yiftee here with another fun fact about small businesses. Did you know that there are 77 million people working in small businesses in the US? That’s almost half of the entire civilian workforce. But I know that you already know the value of local businesses. That is why we created community cards. They bring revenue to your members’ businesses that today is leaving your community and going to national brands and e-commerce companies. In addition to consumers we see schools, hospitals, city governments and companies buying community cards in bulk instead of buying big box store and online gift cards. Community cards keep local dollars local. For more info come to a demo or email us at sales@yiftee.com. We look forward to meeting you back to you Brandon.

Brandon Burton 17:34
All right, we’re back. So let’s dive in deeper. I want to know more. So tell us your when did the idea get presented to you for developing the hub? How did things unfold to see the vision come to pass? Well,

Jeannie Hebert 17:52
we’ve been open and seeing students for five years now. But it took a good two years to get it going. Because we weren’t quite sure what we were going to do. We knew there was a huge problem, especially in our area. For our you know, manufacturers just couldn’t find any employees and we’re in, as I said, job fairs were not working at all. It just wasn’t working. And I went to a skills America conference at the vocational school. And the superintendent, there was bragging that 90% of his students were going to college. And then I went what’s going on here? And I spoke with one of the students who was given who had a display on being electrician and I said, Oh, why are you going to be electrician? Because that week I want a grid. I like to have an electrician in my office crying because he’s done pretty good in Okay, location of school that he wanted to pass. And, you know, they were telling us they had a waitlist of six months students. And I talked to that student and I said, Oh, you’re gonna be an electrician. Oh, I’m going to Cornell. I’m going into sports medicine. Oh my god. You took up four years that that gentleman son could have had to become an electrician. So you know, a light bulb went off and said we need we need an we need somewhere where these students that the public school system parents that can go for training because the superintendents were telling me they didn’t know what to do with these students that will be coming discipline problems. They didn’t have the vocational training that the students wanted. The dropout rate was going up. So we aligned ourselves in office and I went to the legislators told them the problem. We have great legislators very approachable in our area. And we put together a plan And they connected me with our patients Department of Education. We applied for a work skills grant. And our first one skills Grant was half a million dollars. And we, you know, put together a plan to do the build out. It takes it does take a village, it really does. I mean, I can say, Oh, I built a school. I didn’t do it alone, and had a lot of help. And it was a process and even the middle owner. You know, our landlord was very understanding, very cooperative. And we all work together, and everyone was looking forward to it. They came together, I had some naysayers. I have one very prominent business person, say to me, you’re a dreamer. It’s never gonna happen. This is not going to work. So when, when I got last year, I got the manufacturing Champion award. I said, you know, I told that story. And I actually have a little locket that, like, my significant other gave me that people say I’m a dreamer. But I’m not the only one. And I said that to, to the audience, it was all out there. Most of the manufacturers told them a dream or been looking at, you know, I can see. Yeah, you know, span, so that really fit in perfectly. But, you know, that’s how it started. And we’re growing like crazy. And it’s wonderful to see these students, they come to us dejected, because they couldn’t get into the school they wanted to get into. And when they learn the skill, then amazing picture. They just have that vocation. And the brain is wired, for whatever it might be the body aches or electronics or CNC machining or, you know, developing coding, CAD, and we even have a shop where they we have businesses come to us that want merchandise, personalized, we’ve believed a quarter and upstream we have I hate to say it, but our biggest customers in the cannabis industry distilleries and breweries, they went through classes to action, the cannabis industry, they want human doors with their logo on it. So the kids do that. And then they buy from us and the money goes back into school and help to, you know, pay for another student. So it’s terrific.

Brandon Burton 22:31
Face the mill, you had mentioned it is a previous manufacturing mill, before you guys moved in with the hub, was it actively being used before then had it sat vacant for a while, like what was the the revitalization of the the space? How did that look?

Jeannie Hebert 22:51
That was very interesting, because that bill was that mill was slated to be demolished. So ironically, we were located in the same town but a few streets over in another building. And we worked with the our landlord, now the mill owner to connect him with an amazing grant writer. And they were able to get a grant and start renovating. It was a cartel. Everybody else fell away except for these two people bill and Patti gianopolous, who believed in the project. And they partnered with another organization for over 55 subsidized housing. So above us three floors above us is over 55 subsidized housing. And I have an interesting story. They are how we interact with them. But it’s it came together over a period of I think two and a half years that they were able to renovate the mill. It’s beautiful. It has great architectural elements for big, huge wooden beams that have all been sanded so that they’re natural. Now, you know, they they were painted that hospital clean beautiful granite and brick in the windows of huge and it’s just really, really lovely. So they’re above us were below and we said why don’t we move in the mill and we moved into the new in 2016. And then 2018 We started the school. So a lot of history and had the elements or pictures of what it was. And there’s several mills in the town that were in northbridge and throughout the valley, and a lot of them were owned by the whitened family. And so our area of North there just called whiteness fell. So it’s really beautiful. It has a tower or any house out which is It’s a cute little shop now. So it’s, it’s, it’s bustling. We have. We’re there. We at the school, we have a physical therapy, we have a gym, we have a barbershop that’s run by naturalized citizens, former immigrants, and we’ve just helped them with their expanding. We have Girls on the Run. We have we were named the National Park by President Obama. So we have our rangers are there that national heritage corridor and the National Park is located there. So the national park rangers have a brewery in one of the other buildings because there’s a number of buildings usually. So it’s a pretty busy place. Oh, and beautiful woman owned business. That is a crepe or a company is another modern day Helsinki. And it’s a great little restaurant that’s been restored and invest. You know, it looks industrial. But it’s so it’s a unique place. And it’s a wonderful gathering place for the community interaction. Yeah,

Brandon Burton 26:16
that sounds awesome. So as you’re talking about how it came to be, it sounds like in the collaboration, I see where you get the title mokwena collaboration, but to be able to have, you know, somebody who’s familiar with grant writing, to be able to help see a vision and help bring things together to to see these things come, you know, kind of unfold and come together. Two of the things I wanted to ask you about, you’ve mentioned them, but I wanted to dig in just a little bit more. So there’s these certificate programs that the students come through, I imagine that there are varying lengths depending on what their focus of work is. So if you could touch on that, and then also touch on how you work with the schools, you had mentioned the K through 12. Now with these districts, what does that look like with those relationships and, and interacting with them?

Jeannie Hebert 27:06
Sure, well, the certificate programs are varied, some are custom that we utilize for incumbent workers. And some are standardized. Like we have, as I said, the Miller augmented augmented welding, that’s six to 12 week course, depending upon the type of welding, but it’s industry accepted, we would not have purchased them if our manufacturers didn’t try them out and say, oh, yeah, this is just like real world. And they do after they get their certificate, we bring them to one of our couple of our partners yr fab and package steel systems, who make metal buildings, all for all over the world. And invariably, they will say to the students are so come see me, you know that so they have great skills. So that’s one certificate we have. We have an OSHA, obviously, we do OSHA 10, everybody gets an OSHA 10. Everyone, we have a reentry program as well with the sheriff’s department. So we start teaching OSHA in the jail before they’re released. And when they’re released, they come to the school, and they get hands on training, that everybody gets OSHA training, we have what’s called Mecalac, which is a Massachusetts certificate, and it’s through mas MEP, which is manufacturing extension partnership. So this brings you through all of the steps of what manufacturing needs, like would have shot now. It would teach measurements, believe it or not, we’re finding graduates of high school have no idea how to use tape or read a tape measure or ruler. And they cannot even tell turn on the clock unless it’s digital. If you say to them, it’s quarter. They’ll go and they don’t know what that is. We had one guidance counselor say they had a disqualifying when they were monitoring the number six certificate examinations, because he pulled out his phone and I said, take out your phone. He said I wanted to see what time it was. They said there’s a clock on the wall. He said I can’t read it. No one ever taught me how to read. Like when we went to school first grade, they had the clock remember you

Brandon Burton 29:37
missing the mark somewhere, right? Yeah, I remember. I remember doing worksheets like that. Yeah. Don’t

Jeannie Hebert 29:42
do that. More than he is on job no more curse if they can’t. I was talking to a business that we were helping out. yesterday. She it’s called hair jewelry. She’s an archaeologist and she had an intern from one of the quality If he didn’t know how they couldn’t read the report from the patient because they didn’t know how to read cursive, so we’re really missing the mark in our schools. So these are the things that we try to address. But back to the certifications, we have those certifications with custom certifications. And then at some of the campuses that thought like Brookdale campus, which is one of our close up spirit campus, which is another one of our towns, their certifications. outsprinting is focusing on carpentry. Newbury is also property Hopedale, a cyber security. So we get certifications for those types of industries where the students are learning we even started, we help them get and I always say this wrong. And in a Tom baton, table, virtual. It’s almost like mines, US operations,

Brandon Burton 30:59
operators. That’s how I was gonna guess when you said that? Yeah, it’s a real body,

Jeannie Hebert 31:03
but they have a human meaning male, human woman, dog, cat, rather, Frog, which I love, because now they might have dissected me animals. But it’s very realistic. Students were showing me their skills. And I said, I was getting woozy and you’re doing a great job, right? I gotta go to the next. It’s like, Oh, yeah. That table alone costs $100,000. So we were able to help the school right grant, so that they have that. So Arginine is we helped a lot of the schools get DNS. So maybe you go to help deal, but you want to take manufactory. So you have to close the hub, or maybe your middle bring you to market sure you want to do you know, introduction to some kind of medical research. And that’s it helped. So we do is we’ll move the kids around. So they will take these courses together. The one principal said to me, it was hilarious. He goes, Yeah, these kids are all working together in class. And then on the weekend, they beat the heck out of each other on the football field. Because that’s great. So we put classes together, not necessarily by school, but on a subject. So the students get to even try it out, we’ll do a trial. You know, they’ll come and say, Oh, I think I want to do this. And they might try it and so on. That’s not Well, maybe you want to try that? Oh, yeah, that’s a better fit for me. So we do that, too. So that’s so it’s some of the certifications that we offer, I’m sure there’s a lot more that escapes me right now. But the K through 12 that we had the smaller kids, I think a good example would be rewarded grant kind of nothing for the energies that it was for younger kids to learn about engineering. So we had camp over the summer. And kids would come in the morning, and they’ll have a little bite to eat. And then they would learn about engineering and mechatronics and robotics and make make something. Mr. Evans, our engineer ran this program. So they’d make something and they put it all together, they do it on the computer, and they’d make it. And he would say to them, did you have fun? You know, you did you know what that was? Well, they have engineering. And the robotics is we have these really cute little robot, these, this is very key in first, and second graders, paying them. And they were like, they know, control robots, but they had to program them to make them work. And they were able to do that. And we have these little robots that look a little Michael Jackson, they had a damn thing. They were dancing with each other. And they were doing tasks and picking things out, handing them to each other. But it’s a natural for these kids. They blow me away. And it’s amazing. And then some of the middle school kids, we had codons, which are cooperatives are going to occur in an industry. They do the stuff where people say, Oh, robots are gonna take my job. Well, did you really want to keep ticking boxes and putting them here? You know, you don’t want to do that. You want to be the one telling the robots to do that. Use your brain. So what these students were doing, I went in after they kind of let a they taught them how to work, how to program them. They could like Legos out so they could build make the robots build. And then I they had free time. So I went in and they began to have the robots and they can like be stitched in Your hands. And I go, What are you doing the courts very proud of their sword fighting.

So I mean, this is a concept thing, maybe learn through having fun, but it’s part of what they would do in a job situation, they would have to program the robots to do a task. And some of them have 345 robots interacting with each other and completing a task. And that’s pretty complicated. For like, an eighth grader, too. So I just like I said, they blow me away. One of the older kids, it was a birthday, what’s what was like three of them, they came in, and they gave me these beautiful stainless steel shakers that had an unusual shape, then you throw them on the machine. And they gave her to me, it’s a birthday gift. And they said, Missmiss look, we even put pain on the top. So you can tell which is which. program that and have the drill press drill, drill it, and then had Christmas was just from a piece of aluminum or stainless steel that they had. And they design them themselves and made those, then it was just amazing that they did pocket some of the kids from shoestring High School, which is my hometown, they were making Christmas ornaments out of brought up some of the metal and like drill guns, and they were beautiful. And then they made dreidels to the trails are gorgeous, they were intricate, they were terrific. So it was, you know, it’s a fun, fun thing to learn. But while they’re learning there, we say to them, you’re an engineer, you just love

Brandon Burton 36:55
that. I love it, they have these opportunities, and they get that confidence and explore these these future career opportunities. This is such a invaluable resource for your community. So applaud and Pat, pat on the back to you guys and your team for for executing this and integrating it into the schools as well.

Jeannie Hebert 37:14
Thank you. We have a great team. We really do. I’m really fortunate really blessed. Yeah, yeah.

Brandon Burton 37:19
So as we start to wrap up, I wanted to ask if, if you might have any tips or action items for chamber folks that are listening, who want to take their chamber up to the next level? What might you offer for them? Well,

Jeannie Hebert 37:34
I think you know, you need to listen to your members, which you know, most of my chamber colleagues do. Every region is different. What works for me might not work for you. But if you listen to what your members need, or what your municipalities are your region, we work very closely with all of our municipalities and our legislators in and listen and get advice on how to meet those needs. And then you know, collaborate with the great resources that you have in your region, we have wonderful educational institution, terrific educators, innovative people on and, you know, we’ve worked together and they’re not afraid to roll up their sleeves and work. So I think, you know, sometimes you look at a project and you think that’s really daunting. But when you you know, I hate this analogy, but how do you eat an elephant one bite at a time.

Brandon Burton 38:37
Especially after your introduction today, no, no elephants on the table.

Jeannie Hebert 38:43
And your chamber will grow. We are gaining members inside and outside our region. Because of the services that we provide, and I’m not stealing numbers from anyone, what we do is, if I see that I’m getting a number of members, someone, you know, reaching out to me, I reach out to that chamber and say, You know what, I’ve got like five industry people that have come to me, why don’t we do a collaboration and we have an affiliation with like seven other chambers, and will offer a discount, but you have to be a member of the region’s chamber first. And then I’ll give you this note to join us. And we’ll provide everything but we do provide a lot of services without membership to and I know that I get criticized from some chambers for that, but it comes back, you know, comes around and it’s a pleasure for me to work with a number of people to help them and you know, it’s great to work together but no, just listen to your members or You read and see what the needs are and think about and seek out people with resources that I can drop in on how to develop focus to meet those who

Brandon Burton 40:11
have that so important. As we look to the future of chambers of commerce, how do you see the future of chambers and their purpose going forward?

Jeannie Hebert 40:22
I think we’re going to have to really prove that we are a worthy organization. And you know, we’re going to, to be a good resource for your members. It’s not, as we all know, already, I’m preaching to the choir here. It’s not like the inundating myself, the fog of news best attitude where Jimmy Anderson would say, I’m going to the chamber dinner, you know, like everyone already knew how to join the Chamber of Commerce. There’s too many people into the new organizations billing for the that dues that dues revenue, and I don’t think that dues revenue is going to be our is already isn’t our main revenue stream, we have to find other revenue streams. And it’s going to be to run instances

Brandon Burton 41:21
of it. Good advice. Jeanne, I want to do give you an opportunity to share any contact information for listeners who might want to reach out and connect with you and maybe learn a little bit more about the hub and how you guys went about this, this great big project, what would be the best way for someone to reach out and connect?

Jeannie Hebert 41:44
Well, through email, which is jhebert@blackstonevalley.org. So that’s email. And if you want to learn about, you can go to our website, which is BlackstoneValley.org. And you can also check out The Hub at be thehub.org. And if you go to our website, there’s a tab and it’ll bring you right over to the hub. And I’m happy to share any information to help with anything, any resources and, you know, whatever we can do to help you with programs. And if you want to take on a project like this to go get them and we’ll help you every any way I can.

Brandon Burton 42:42
I love it. Thank you so much. So this has been great having you on the podcast today. I love getting these insights from chambers that have taken on a unique projects and have a neat approach to it. revitalizing a building that was set to be torn down and really changed the outlook of the community. I love it. But thank you for being with us today and sharing these experiences and insight and, and I’m hoping it gave you know a few people out there that drive to take on some of those big hairy audacious goals. Thank you for being with us today.

Jeannie Hebert 43:15
Thank you very much. Thanks Brandon for the opportunity we really appreciate you’ve ever thought my way I’d love to give me a tour.

Brandon Burton 43:22
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