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Promoting Vibrant & Livable Communities in Southwest Alaska
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May 2014
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Spring is in the air, and once again Herring and Salmon are returning with the warm weather. Kodiak and Togiak herring fisheries are plugging along. While harvest volumes are at record level, prices are low, reducing participation. By early next month, Kodiak, Chignik, Area M and Bristol Bay will all open to salmon. The early forecast is for a fairly dramatic cut in catch, but that is predominantly due to Pinks, and since Southwest Alaska catches all species, especially Sockeye, should be insulated from some of the reduced harvest. Buoying the reduction in overall volume, are rumors of $2 per pound sockeye prices, which if materializes, should be the highest (nominal) prices paid in 25 years, since the record prices of 1988. Fish on!
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Membership Photo Sharing Opportunity
We strive to show appreciation for our members; and as such we invite you to share your photos with us and we will display those on the next newsletter! We have an amazing region, please share everything that makes us proud.
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Community Spotlight: Pilot Point
The City of Pilot Point is located on the northern coast of the Alaska Peninsula on the east shore of Ugashik Bay, in the Lake and Peninsula Borough, with a year-round population of 70, primarily Aluutiq ancestry, and Russian Orthodox orthodoxy. The Russian Orthodox Church was built in 1886 and is still in use today. All households still rely on subsistence resources as part of their way of life, and many take advantage of Pilot Point laying on the migration path for ducks and geese.
Pilot Point originated as a village surrounding a processing plant which began in 1889. During this time it was called Pilot Station when river pilots were stationed here to guide boats up river to a cannery in Ugashik, but was changed to Pilot Point in 1933 when a post office was established. In 1895 Alaska Packers Association opened a saltery which continued to expand and attracted immigrants from the world over. In the 1970's the cannery shut down, although the structure has been preserved and a portion is currently used as a city shop and maintenance building. In 1992 Pilot Point was incorporated as a City, with tax authority.
Pilot Point recently received a grant from the Alaska Energy Authority for grid upgrades to accommodate the new 100kW wind turbines. The bulkhead was redone, a crane put up, and the boat harbor has been electrified. Every spring, boats are launched, the ice machine gets prepped and seasonal workers are hired to haul ice for the 700 commercial boats that fish in the district. The 2014 Ugashik projection is for 1.81 million sockeye.
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2012 Economic Impacts of Alaska Seafood Industry
In February, NOAA's National Marine Fishers Service (NMFS) released its report, '2012 - Fisheries Economics of the US'. In 2012, Alaska fishermen landed 5.3 billion pounds of finfish and shellfish, accounting for 56% of total US landings. Fishermen in Alaska earned $1.7 billion from these landings, a 66% increase from 2003. The Alaska seafood industry generated $4.2 billion in sales nationwide, which supported 56,000 jobs.
In terms of key species or species groups, walleye pollock landings contributed the most to landings during the 10 year period, accounting for 55% of total landings in 2012 (2.9 billion pounds). Landings of Pacific cod (717 million pounds), flatfish (647 million pounds), and salmon (611 million pounds) also significantly contributed to the total landings. When comparing 2012 ex-vessel prices to those in 2003 the largest changes occurred in Atka mackerel (243% increase in real terms), salmon (94% increase in real terms), Pacific halibut (48% increase in real terms), and Pacific herring (43% increase in real terms). 
The biggest takeaway from NOAA's report is the impact Alaska's Seafood Industry has on the rest of the US's economy. For every full time fishing job in Alaska, approximately 13.5 jobs are created in the lower 48 as a result. That's over 200,000 jobs our fishing industry exports to the rest of the country. This underlines the need for organizations like SWAMC to speak out, and explain the value we export around the country. Spreading the word about Alaska's contribution to the national economy will not only build awareness of our regional needs, but also catalyze infusion of new money and resources into our economy. When Southwest Alaska grows, everyone wins. Source: NMFS, Fisheries Economics of the United States, 2012. https://www.st.nmfs.noaa.gov/st5/publication/index.html |
SW Economic Indicator - Local Workforce Opportunity:
Our Southwest Alaska economy is driven largely by seasonal activity, namely fishing. As such, a significant portion of the region's jobs are seasonal positions staffed by nonresident workers.
Bristol Bay Borough has one of the highest rates of nonresident workers in the country. Nonresident workers are inevitable in Bristol Bay, where the local population is too small to fully utilize its vast resource potential, without which Bristol Bay's economy would be running at limited capacity. Even though the local population is only 12% of the total workforce, locals are paid 29% of annual wages, because most resident workers retain better paying jobs and year-round positions.
  
In a recent survey, the top labor challenges in seafood processing:
- Not enough employees to staff production lines
- Lack of skilled trade-workers to maintain equipment/facilities
- Finding and training local plant managers to stay in the region
- Shortage of trained quality control technicians and environmental officers
While seasonal work is inevitable, the survey shows that good jobs are available, especially to a resident population with the correct skills. Filling these positions represents a huge economic boon for the region, where nonresident workers couldn't compete with a local population of equivalent talent. It's expensive for a business to fly in skilled workers, and when they get here, demand premium wages to work in rural Alaska. When skilled jobs leave the region, so does the multiplying power of that money, taking it away instead of spending it in our communities.
At SWAMC's 2014 Annual Economic Summit, workforce development was identified by the Business Council and confirmed by Membership as our highest priority. This rings true on multiple levels for us, but especially when it comes to education and training. We have our orders and will make workforce development a priority.
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SWAMC's Junior Achievement Rural Alaska Outreach
STEM Coordinator Paul Oliva recently traveled to Old Harbor, Akhiok, and Port Lions to assist with Junior Achievement's Rural Alaska Outreach Initiative. Junior Achievement is a national organization dedicated to teaching K-12 students about workforce readiness, entrepreneurship and financial literacy through experiential, hands-on programs.
Junior Achievement's programs are particularly relevant for students in remote communities. In Port Lions, as a prelude to a lesson on soft skills and interviewing, 8-12th graders were asked who had worked before. All six students raised their hands. They were then asked who had done a job interview before - no one raised their hand this time. "My boss didn't need to interview me, he's known me since I was a baby." While living in a small community where job interviews aren't necessary, there are definitely merits to having these skills. Many of our young people will want to pursue opportunities in the workforce that require a formal interview, unfortunately, without exposure these students may leave their community without the necessary skills.
SWAMC's Business Council expressed concern for lack of entry level workforce readiness.
"This generation of young people, those responsible for driving future economic activity in the region, are not being provided with the appropriate skill sets necessary to operate in the existing jobs environment... Our inability to provide the current young generation with appropriate skills, and the overall level of unpreparedness is having a negative and measurable cost on our ability to drive economic productivity, and thus sets the seeds of long-term challenges. In my experience, students are deficient in even the most basic assumption on personal conduct and work ethic required in a professional environment - especially given the expectations of the current generation operating in the workforce."
At SWAMC's Annual Economic Summit in March, Membership voted workforce development as the top priorities and areas of concern for the region, by a wide margin. Partnering with Junior Achievement SWAMC is able to extend our reach, and in this regard, perfectly aligned with our priorities. While Kodiak Island Borough School District currently has a strong partnership with Junior Achievement, programs are lacking in Lake and Peninsula Borough, Bristol Bay Borough, Dillingham, and the Aleutians.
Establishing a Junior Achievement program at every school district in the SWAMC region is a lofty but attainable goal. If fully implemented, Junior Achievement will have lasting benefits for our region, especially in tandem with other workforce development initiatives. Success will depend on strong partnerships with regional school districts and robust financial support from area businesses. Economic development is, of course, a marathon rather than a sprint. Establishing a region-wide Junior Achievement program would be one step in a long race.
STEM Coordinator Paul Oliva poses with Junior Achievement graduates in Akhiok.
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STEM Roundup
Science, Technology, Engineering, and Math (STEM) careers represent the fastest growing field in the country, and they pay better, but have higher training and education requirements. When examining the future outlook for STEM fields in Southwest Alaska, we can use the "Innovation Index," a measurement tool developed by the Economic Development Administration. The Innovation Index measures a region's innovative educational attainment, performance and potential.
The SWAMC region (in red) while comparable, for some college, begins to lag when it comes to completion of a four-year college degree. Unfortunately, this may have some bearing on our region's share of high-tech employment, which lags well behind the rest of the country. In order to rectify this, we need get our students excited about STEM education.
 Kodiak High School recently hosted their 2nd Annual Family Science and Tech Night, featuring displays and demonstrations from STEM professionals in a wide variety of fields. Over 180 people attended, and it was a great way to get the word out about STEM careers. The SWAMC region needs a coordinated approach to informing students about career opportunities in STEM and giving them the knowledge of what it takes to get there.
SWAMC recently applied for a state grant to implement the Southwest Alaska Vocational Education Development (SAVED) Program. Under the program, 400 students age 14-24 would work with career guides at local colleges to develop a long-term career goal, along with an education and career plan to get there. Students would work with career guides to develop their resumes and participate in workshops on interviewing and workplace skills - a Business Council priority. The program would culminate with each student participating in a mock interview with a local business, who may then select students for a paid internship. Each student successfully completing the program would walk away with a career goal in mind and knowledge of the necessary steps to get there.
STEM fields will continue to grow over the next several decades. Though we're behind right now, the region is poised with an abundance of job potential, based on our natural resource rich economy. By investing in STEM education and training today, we can look forward to a brighter economy tomorrow.
Here is a list of potential STEM Careers in Southwest Alaska
- Fisheries Observer
- Minimum education: Associates Degree in Biology
- Annual Salary Range: $33,000 - $47,000
- Biologist, Finfish and Shellfish
- Minimum education: Bachelors Degree in Biology
- o Annual Salary Range: $55,000 - $58,000
- Refrigeration Technician
- Minimum education: HS Degree, vocational training, trade apprenticeship
- Annual Salary Range: $45,000 - $55,000
- Fishing Vessel Chief Engineer
- Minimum education: Associates Degree, vocational training and certifications
- Annual Salary Range: $82,000 - $92,000
- Motorboat Mechanics and Service Technicians
- Minimum Education: HS Degree, vocational certification and training
- Median Salary: $36,090
- Processing Plant Production Manager
- Minimum education: Bachelors Degree in Engineering
- Annual Salary Range: $75,000 - $87,000
- Processing Plant Engineer
- Minimum education: Bachelor's Degree in Engineering
- Annual Salary Range: $50,000 - $53,000
- Quality Control Manager
- Minimum education: Bachelor of Science Degree
- Annual Salary Range: $70,000 - $88,000
- Network Computer Administrator
- Minimum education: Associates Degree in Computer Science
- Annual Salary Range: $65,000 - $75,000
- Aircraft and Avionics Equipment Mechanics and Technicians
- Minimum education: HS Degree, FAA training and certification
- Median Salary: $55,210
- Air Traffic Controller
- Minimum education: Bachelors Degree, FAA training and certification
- Median Salary: $122,530
- Aerospace Engineer
- Minimum education: Bachelor's Degree in Engineering
- Median Salary: $103,720
- Computer Programmer
- Minimum education: Associates Degree in Computer Science
- Median Salary: $74,280
- Marine Engineer
- Minimum education: Bachelor's Degree in Engineering
- Median Salary: $88,100
- Chemical Engineer
- Minimum education: Bachelor's Degree in Engineering
- Median Salary: $94,350
- Environmental Scientists and Specialists
- Minimum Education: Bachelor's Degree
- Median Salary: $63,570
- Zoologists and Wildlife Biologists
- Minimum education: bachelor's Degree
- Median Salary: $57,710
- Geoscientists (Oceanographer)
- Minimum Education: Bachelor's Degree
- Median Salary: $90,890
- Hydrologist
- Minimum Education: Masters of Science
- Median Salary: $75,530
- Marine Biologist
- Minimum Education: Bachelor's Degree
- Median Salary: $66,260
- Conservation Scientists and Foresters
- Minimum Education: Bachelor's Degree
- Median Salary: $59,060
- College Professor
- Minimum Education: Master's Degree or PhD
- Median Salary: $68,970
Source: Bureau of Labor Statistics.
Please visit BLS.gov for more information on STEM careers.
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Our Special Thanks to SWAMC Members!
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Our Supporters
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Visit Southwest Alaska @
www.southwestalaska.com
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SWAMC Board of Directors
Alice Ruby, Pres.
Carol Austerman, Vice Pres.
Layton Lockett, Treasurer
Cynthia Berns
Dan Clarion Glen Gardner
Paul Gronholdt
Shirley Marquardt Dan O'Hara
Michelle Ravenmoon Joe Sullivan
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As always...
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Thanks for your support of SWAMC. Please don't hesitate to share your thoughts, ideas, concerns and events. For previous newsletters, click the link below.
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