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Economic Development Consultant gives report to City Council



Okmulgee Economic Development Authority met Tuesday Feb 21. Retail Attractions representative Rickey Hayes Economic Development Consultant reported to the City Council.

Hayes brought a power point presentation to show the research findings for Okmulgee County retail development. Hayes gave a positive report that there is good market for retailers in Okmulgee County.

Hayes contrasted the city limit population and the primary trade area based on confirming Okmulgee shoppers from that area. The area spans 8 miles south of Glenpool and 15 miles north of McAlester.

Hayes reported high numbers in tax revenue leakage in Glenpool and surrounding areas. Retailers strategically locate in places to pull in the tax dollars from these consumer locations.

A graph displayed the income averages that are potentially lost through opportunity gaps in certain trade areas, such as Food and beverage at $56,716,914 Building Materials and Gardening Equipment 55,483,635 Full Service Restaurants 37,091,090 and Health and Personal Care 30,480,515. The top 12 categories equaled $361,388,031 in potential income lost annually.

"There is 56 million more potential in grocery sales than there is supply. So those people are buying groceries somewhere...the first retailer we talked to, who was interested in Okmulgee was a grocery provider," Hayes said.

"The second category, building materials and home improvement. I believe that if you had a Lowes or a Home Depot, the city's sales tax problem would be greatly improved. I can bet you there are people in your city limits that drive to Tulsa to get building supplies every week."

New retail growth is good for the community stated Hayes. "Some may ask why are we not supporting the businesses we have....but what we have found time and time again is that other businesses sales increase, when new businesses come in."

Hayes said a remarkable thing happens, "There is a synergy effect...sales tend to go up, we call it the rising tide phenomena, when the tide comes in, it does not just float one or two boats, it raises them all."

"The variety and new retail brings consumers in and you see sales increases in your other brands."

One major factor in the equation, is the ease of getting things done said Hayes.

"Only the city can pull the trigger on development projects. You will have to decide if its worth doing, how can you help get it done...you control the city water and sewer, the growth of it and your budgets control it."

Hayes finalized, "Some communities talk a good talk, but nothing ever happens. So lets make a deal happen, lets don't drag it out. If we can't do it lets tell them, if we can, let's get it done. The smoothness of a corporate group like this city council and the political unity that comes with it, a unified vision is an integral part of the growth of the community. It is so much easier when everyone is pulling in the same direction. And that is a key part."Hayes said he is very optimistic that they can bring retail to Okmulgee. "Okmulgee definitely has potential here, there are strengths and weaknesses, but you have a strong central corridor. We have had several retailers tell us they want to be in Okmulgee. It is just a matter of finding the right piece of dirt and getting the deal done. "