| SECTION
ONE TABLE OF CONTENTS |
 |
| |
|
| |
|
•
Sitka Economic Development Association (SEDA)
• Sitka & Alaska Introduction
• The State of Sitka's Economy
• Labor Force & Natural Resources
• Transportation Infrastructure and Service Providers
• Utilities |
Page
2
Page 4
Page 7
Page 15
Page 19
Page 23 |
|
| |
| 2 |
Sitka
Economic Development Association (SEDA) |
| top
of page |
| |
Established in 1997, the Sitka Economic Development Association (SEDA)
is a non-profit, 501-C3 entity, incorporated in 1997 under
the laws of Alaska. SEDA began through the efforts of the economic
development committee of the Greater Sitka Chamber of Commerce.
SEDA received from the City & Borough
of Sitka a three-year funding as a part of the Timber Relief
Funds set aside by the United States Congress for the communities
of Southeast Alaska. Today, SEDA funds its program of work through a combination
of sources, which includes the private and public sector
as well as contractual services. An eleven-member board made
up of the business and political leaders and professionals
in Sitka governs SEDA working through a staff of two professionals. |
| |
|
"We
have found that to be consistent, we don't automatically
change officers each year. In fact, we have had very
few changes to the entire board. This has worked very
well for us so we can focus on the mission at hand --
economic development."
Roger
Hames, Chairman; 1997 to 2007
|
|
| |
| |
| |
|
| |
| |
| |
Mission Statement:
The Sitka Economic Development Association's
mission is economic development. SEDA will: Serve as business advocate. Foster a business climate that is receptive
and conducive to existing and new business
opportunities. Help promote the creation of family wage jobs.
Be
sensitive to the quality of life of Sitkans. |
|
"SEDA
is focused on finding new basic dollars for
Sitka through the creation of new jobs from
existing primary employers, the location of
new primary employers and working to resolve
infra-structure problems, which is preventing
the economy from growing."
Michael Venneberg, Current President; Vice President, 1999 to 2007
|
|
|
| |
| |
| |
Reaching Out to the World
SEDA created,
operates and maintains three web sites: |
|
| |
| |
| |
Sitka
was established in the beginning of the 19th century as a historical
and picturesque city. Long before the settling of San Francisco,
Sitka became the leading economic center of the northern hemisphere
with the first boatyard, lighthouse, sawmill, iron, brass and
bronze foundries, and flour mill. The area has scenic beauty
possessed by few world communities.
Sitka is the fifth largest city in Alaska with a population
of 8,835, as counted in the 2000 US Census. It is located in
a state with 626,932 citizens occupying a landmass equal to
1/3 the size of the Lower 48 states. Sitka is located in Alaska's
Alexander Archipelago on Barnaof Island in a region locally
called Southeast Alaska and on the Inside Passage waterway.
(Latitude 57.053N Longitude 135.330W) Alaska Airlines, Federal
Express, UPS, United States Postal Service, Alaska Marine Highway
(ferry) System, Alaska Marine Lines, Northland Tug & Barge
Line and Sampson Tug & Barge Line all support Sitka's movement
of both passengers and goods from or to the West Coast and the
communities of Southeast Alaska. |
| |
In
Alaska, counties are called boroughs. Sitka government
is a combined form of government where the city
and borough are one. This is unusual in Alaska.
|
Sitka's labor force is highly educated and considered to be
industrious, creative and independent minded. Many in the labor
force are underemployed and anxious for an opportunity to improve
themselves and work in a challenging field of endeavor. Sitkans
are also extremely well connected to the Internet with 56K.
DSL and cable modem services through three local Internet providers. |
| |
| |
|
Sitka
is fortunate to be able to embrace and nurture several economic
engines: Sitka is best known for the quality, quantity and variety
of seafood harvested in Sitka waters and processed by Sitka
plants. Sitka's world-renown fresh salmon grace the tables of
the finest restaurants in North America and Europe, the Academy
Awards banquets and backyard BBQ's throughout the country. Healthcare,
education, tourism, government and marine fabrication/repair
are all very important components of Sitka's diversified economy.
An elected body made up of six members
plus a mayor governs Sitka. In Alaska,
the body is called an Assembly, rather
than a city council or commission.
|
|
While quality
of life is in the eyes of the beholder, many agree that Sitka's
island location provides unique opportunities. This would include
those who actively involve themselves with the outdoors to those
who like to explore the many islands by boat or those who simply
enjoy the beauty of Baranof Island and the Pacific Ocean from
their front porch. Regardless, the quality of life in Sitka
is exceptional. |
| |
| Portions
of Alaska can get very cold, but the climate in Sitka is very
similar to Seattle or Portland. Winter is relatively warm with
an average of 34 degrees in January. In the last couple of years,
snowfall has average less than 15 inches total. Summer temperatures
are typically in the high 60's during the day and 50's at night.
The high temperature in Sitka in 2004 was 89 degrees. |
| |
| |
Baranof Island's history goes back thousands
of years with its original settlers,
the Kiksadi Clan of the Tlingit (pronounced
clink-it).
|
|
The history of the United States is but a heartbeat in the history
of Sitka. The Kiksadi Clan of the Tlingit Indians had lived
in and around Sitka centuries before the Russians or Americans
ever set foot on the island's rocky shores. Choosing the seaward
side of the island they named Shee, the Tlingits called their
settlement Shee Atika, meaning "people on the outside of
Shee". The name Sitka is a Russian contraction. |
| |
The Tlingits thrived undisturbed on their island paradise until
1799, when the Russians arrived. It wasn't long before Alexander
Baranof, Manager of the Russian-American Company, established
a fort a few miles North of the present day Sitka. The Tlingits
grew immediately hostile, understanding that submission to the
Russians meant allegiance to the Tzar and slave labor to the
fur trade company. Their suspicions turned to violence, when
the Tlingits finally attacked the Russian outpost in 1802, killing
nearly all of the Russians. |
Having survived the
attack, two years later Baranof retaliated and subsequently
moved back. The Russians renamed the settlement New Archangel.
Russian Orthodox Church clergy soon took up residency and fortress-like
structures systematically replaced clan houses atop a shore
side hill, a site later known as Castle Hill.
The fur-trade flourished and the Russian-American Company became
the most profitable fur trader in the world. By mid-century,
however, over hunting had diminished the number of sea otters,
and thus the Russian's interest in the new world. In 1867, the
Russians sold Alaska to the United States for $7.2 million with
a transfer ceremony that took place in Sitka on October 18th
of that year.
Source:
Sitka Convention & Visitors
Bureau |
More History of Alaska
Here... |
 |
|
| |
| |
| |
| Sitka's
economy is uniquely diversified for a city of its size. Sitka
has economic engines that range from natural resource extraction
to regional health services to tourism and manufacturing. Here
is a small sampling: |
| |
| Entity |
Commercial
Fishing |
Health
Care |
Education |
Manufact. |
Tourism |
Government |
Retail |
| Sitka Sound Seafoods
|
300 jobs |
|
|
|
|
|
|
| Seafood Producers
|
85 jobs |
|
|
|
|
|
|
| SEARHC Health Ser.
|
|
594 jobs |
|
|
|
|
|
| US Coast Guard
|
|
|
|
|
|
191 jobs |
|
| State of Alaska
|
|
|
|
|
|
205 jobs |
|
| Allen Marine Man. |
|
|
|
45 jobs |
35 jobs |
|
|
| True Alaska Bottling
|
|
|
|
20 jobs |
|
|
|
| City of Sitka |
|
|
|
|
|
155 jobs |
|
| Sitka School District
|
|
|
184 jobs |
|
|
|
|
| Hames
Corporation |
|
|
|
|
|
|
132 jobs |
| Community Hospital
|
|
95 jobs |
|
|
|
|
|
| US Forest Service
|
|
|
|
|
|
83 jobs |
|
| Westmark Shee-Atiká |
|
|
|
|
90 jobs |
|
|
| Sheldon Jackson
Col. |
|
|
83 jobs |
|
|
|
|
| Center/Community |
|
|
|
|
|
60 jobs |
|
| Sitka Tribe of
Alaska |
|
|
|
|
|
50 jobs |
|
| University of Alaska
|
|
|
44 jobs |
|
|
|
|
| Kingfisher Charters
|
|
|
|
|
38 jobs |
|
|
| Sitka Tours |
|
|
|
|
50 jobs |
|
|
| Tribal Tours |
|
|
|
|
42 jobs |
|
|
|
| |
| |
“Sitka’s
economy remains resilient to the changes affecting
other Southeastern Alaska communities and it holding
its own.”
Eric
McDowell, Principal; McDowell Group
|
|
On November 30,
2004, Eric McDowell of the McDowell
Group presented his findings on The
State of Sitka's Economy. McDowell reported that Sitka's
economy remains resilient to the changes affecting other Southeastern
Alaska communities and is "holding its own." McDowell
further stated, "Sitka’s major economic challenge
is being in a region of the world (Southeast Alaska) that has
undergone significant change in its resource-based economy
and is struggling
to recover by evolving into a combination resource, government
and service industry economy. Compared to most of the region,
Sitka has done reasonably well in recent years. Rural communities
have been particularly hard hit. Also, Ketchikan, Petersburg
and especially Wrangell, Alaska among major communities have
lost population and parts of their economies. Juneau, Alaska
has experienced slow growth and has had no significant downturns,
such as the mill closing [Alaska Pulp Corporation] Sitka suffered
in 1993. |
| |
Sitka
endured the loss of its largest private employer
when Alaska Pulp Corporation closed their 35
year-old paper plant in 1993.
|
|
"The State Demographer
in the Alaska Department of Labor and Workforce Development
is the state’s official estimator of population. Sitka’s003
population was891, a gain of 79 people, or .08 percent since
2002. The population estimate for 2004 is 8,805, down slightly
from the 2002 Census count. The regional population for Southeast
Alaska returned to the 1993 level of just over 73,000 in 2000,
after peaking in 1997 at 74,000. Since 1997 the regional population
has slowly declined following the closure of the Ketchikan Pulp
Mill and the overall decline of the forest product industry
in the region. Many rural communities lost population asdid
Wrangell, Petersburg and Ketchikan. Sitka’s 2002 per capital
income was $31,554 and ranked below that of other major cities
in the region (Juneau = $36,086, Ketchikan = $37012 and Alaska
= $32,799). |
| |
|
| |
| McDowell
stated that Sitka does have attributes that have served it well
in the past and continue to be assets the community should use
to defend and grow its economy: "These include: A history
of municipal commitment to support infrastructure (harbors,
cold storage, waterfront utilization); A proactive economic
development organization supported by both the municipality
and the community’s private sector; A dedicated industrial
development site with waterfront; Strategic location for growth
in the seafood industry; Strong attraction base for both cruise
and independent markets; Diversified economy; Strong Alaska
Native economic sector." |
| |
| |
| |
Sitka’s
General Demographics
Sitka’s population has remained relatively
stable over the past 14 years. This was in spite of losing
the largest private employer in the city. Alaska Pulp Corporation
closed in 1993. This plant employed over 600 at the height
of production and the population chart below indicates. Sitka
was able to overcome the job and subsequent population loss
finishing the year 2000 with 8,835 compared to an estimated
9,009 people in 1992.
With two institutions of higher learning in
Sitka, the labor force is well educated. In addition, several
of Sitka’s more prominent business clusters require
highly educated and skilled labor, such as the Southeast Alaska
Regional Health Consortium (SEARHC) which employs over 500
of which many are doctors, nurses and medical technicians.
This group provides health care to Alaska Natives under contract
from the US Bureau of Indian Affairs
|
| |
|
| |
| People
– 2000 Census
(Unless Otherwise Stated) |
Sitka
Burrough |
Alaska |
| Population,
2002 Estimate |
8,848 |
643,786 |
| Population,
net change, April 1, 2000 to July 1, 2002 |
13 |
16,855 |
| Population |
8,835 |
626,932 |
| Population,
percent change, 1990 to 2000 |
2.9% |
14.0% |
| Persons
under 5 years old |
565 |
47,591 |
| Persons
under 5 years old, percent |
6.4% |
7.6% |
| Persons
under 18 years old |
2,399 |
190,717 |
| Persons
under 18 years old, percent |
27.2% |
30.4% |
| Persons
65 years old and over |
744 |
35,699 |
| Persons
65 years old and over, percent |
8.4% |
5.7% |
| Female
persons, percent |
49.0% |
48.3% |
| White
persons |
6,054 |
34,534 |
| Alaska
Native persons & American Indian |
1,641 |
98,043 |
| Black
or African American persons |
28 |
21,787 |
| Asian
persons, 2000 |
335 |
25,116 |
| Native
Hawaiin & other Pacific Islander persons |
31 |
3,309 |
| Persons
reporting some other race |
83 |
9,997 |
| Persons
reporting 2 or more races |
665 |
34,146 |
| Persons
of Hispanic or Latino origin |
290 |
25,852 |
| White
persons, percent |
68.5% |
69.3% |
| Black
or African American persons, percent |
0.3% |
3.5% |
| American
Indian and Alaska Native persons, percent |
18.6% |
15.6% |
| Asian
persons, percent |
3.8% |
4.0% |
| Native
Hawaiin and Other Pacific Islander persons, percent |
0.4% |
0.5% |
| Persons
reporting some other race, percent |
0.9% |
1.6% |
| Persons
reporting 2 or more races, percent |
7.5% |
5.4% |
| Persons
of Hispanic or Latino origin, percent |
3.3% |
4.1% |
|
Source:
Census 2000 |
| |
Major
Employers in Sitka |
| |
| Major Employer |
Product/Service |
Employed |
| Southeast
Alaska Regional Health Consortium |
Regional
Health Care |
594
(FTE) |
| Sitka
Sound Seafoods |
Fish
Processing |
300 |
| United
States Coast Guard |
Navigation
& Safety |
191 |
| Sitka
School District |
Education |
184
(FTE) |
| City
& Burrough of Sitka |
Government |
155
(FTE) |
| Hames
Corporation |
Food/Grocery |
132 |
| Allen
Marine |
Fabrication
& Tourism |
80 |
| Sitka
Community Hospital |
Health
Care |
95 |
| U.S.
Forest Service |
Forest
management |
83
(FTE) |
| Pioneer
Home |
Senior
Citezen Center |
99 |
| Westmark
Shee-Atiká |
Hotel
& Food Services |
90
(FTE) |
| Seafood
Producers Coop |
Seafood
Processing |
85 |
| Sheldon
Jackson College |
Private
College |
83 |
| Center
for Community |
Elderly
Services |
60 |
| Sitka
Tribe of Alaska |
Government |
50 |
| University
of Alaska- Southeast Sitka Campus |
State
Educational Services |
44 |
| King
Fish Charters |
Charter
Fishing |
38 |
| Mt.
Edgecumbe High School |
Boarding
School |
59
(FTE) |
| Spenard's
Builders Supply |
Retail |
34 |
| Alaska
Airlines |
Air
Transportation |
20
(FTE) |
| U.S.
Postal Service |
Mail
Handling |
22 |
| True
Alaska Bottling |
Bottled
Water |
20 |
| Sitka
Tours |
Tourism
Services |
50 |
|
Source:
2005 Community Profile; Sitka Economic Development Association |
| |
| |
Area
Government Installations |
| |
| Agency |
Purpose |
Employment |
| SEARHC |
Health
Care |
594
(FTE) |
| State
of Alaska |
Government |
205 |
| US
Coast Guard |
Navigation/Safety |
191 |
| US
Forest Service |
Forest
Management |
83 |
| City
of Sitka |
City
Management |
155
(FTE) |
| Sitka
Tribe of Alaska |
Tribal
Government |
50 |
| Police
Academy |
Cadet
Training |
12 |
|
Source:
2004 Community Profile; Sitka Economic Development Association |
| |
| |
The
ACCRA National Cost of Living Survey indicated
that Sitka's cost of living is 134% where the average
across the US is 100%. The McDowell Group calculates
a family living wage in Sitka for a family of four
is $50,000 per year.
|
|
| |
| 12 |
The
State of Sitka's Economy: Charts & Graphs |
| top
of page |
|
|
| |
| 13The
State of Sitka's Economy: Charts & Graphs Cont'd |
| top
of page |
|
|
|
|
| 14The
State of Sitka's Economy: Charts & Graphs Cont'd |
| top
of page |
|
|
|
|
|
|
| |
| 14The
State of Sitka's Economy: Charts & Graphs Cont'd |
| top
of page |
|
|
|
|
| |
Labor Force: With two institutions of higher
learning in Sitka, the labor force is well educated. In addition,
several of Sitka’s more prominent business clusters require
highly educated and skilled labor, such as the Southeast Alaska
Regional Health Consortium (SEARHC) which employs over 500 of
which many are doctors, nurses and medical technicians. This
group provides health care to Alaska Natives under contract
from the US Bureau of Indian Affairs.
Sitka’s manufacturing sector is another example of a growing
business cluster. Allen Marine manufactures 300 passenger ferryboats
for the New York Waterways Company in New York City. They have
19 of the Allen Marine boats in service now with more on the
drawing board. |
| |
|
| |
| |
Sitka's
Labor Force |
| |
Sitka’s
labor force averages 4,000 employed and an unemployment
rate of 3.5% to 4.0% during the summer season and 7%
to 9% in the winter season. Labor shortages typically
occur in the tourist season of May through September
for jobs in the $10 or less per hour. For positions
paying from $12 to $15 per hour, or more, the labor
force is plentiful.
The labor force is most typically under-employed with
educated and skilled labor working in jobs unrelated
to their expertise. Typical skills categories include
medicine, metal fabrication, commercial fishing and
commercial fish processing and tourism related. Nearly
25% of Sitka’s labor force is professional. |
| |
| |
| |
 |
| Information
about average wage rates in Southeast Alaska
(Sitka) can be found here: |
 |
|
|
| |
|
| |
| |
Natural
Resources |
| |
Commercial
Fishing: The commercial fishing fleet in Sitka harvest
thousands of tons of a variety of seafoods likes salmon, halibut,
black cod, lingcod, crab, shrimp, herring, sea cucumbers and
more. Fish processing industry in Sitka has been and continues
to be a major component of Sitka’s economic base. These
plants take the raw seafoods of the bountiful Alaska waters
and process it into consumer-sized portions for both the frozen
and fresh seafood markets.
In recent years, Sitka’s broad seafood industry has begun
to specialize in the fresh fish markets of the world’s
finest restaurants. It is not uncommon for Sitka salmon to be
featured at many backyard barbeques across the nation. |
| |
Natural
Resources
Major Products Grown/Harvested
and Estimated Volume Produced |
| |
| Commercial Fishing: Salmon,
halibut, herring, sablefish, geoduck, sea cucumbers,
rockfish, cod, crab, shrimp, prawns |
| Mariculture: Oysters |
| Food Processing In The
Area: Baranof Frozen Foods,Big Blue Processing,
Fresh Fish Company, Seafood Producers Cooperative, Sitka
Sound Seafoods |
| Commercial Fish Production
2002- Sitka Landings |
| Salmon .............................................................
39,170,795 pounds |
| Value* .........................................................................
$8,283,991 |
| Ground Fish......................................................
5,022,773 pounds |
| Value* ..........................................................................
$14,885,060 |
| Shellfish .............................................................
403,891 pounds |
| Value* ............................................................................$679,227 |
| Commercial Fish Production
2003- Southeast Alaska |
| Salmon ............................................................
298 million pounds |
| Sablefish ........................................................ 7.6
million pounds |
| Halibut ..............................................................
9.8 million pounds |
| |
| * Ex-vessel value Source:
US Commercial Landings as provided by The McDowell Group |
|
| |
Tourism: Sitka’s tourism industry has
become an important economic business sector in Sitka. While
many would not include tourism in a discussion about natural
resources, the fact remains that Sitka’s tourism is dependent
upon the natural beauty of the area.
Through bed tax revenues and membership, the
City funds The
Sitka Convention & Visitors Bureau and is responsible
for bringing in the independent visitor and convention visitor.
In 2004, 39 conventions have booked into Sitka with an anticipated
3,341 delegates with an economic impact of $3,312,640. Key
to Sitka’s success in conventions is the 5,000 sq. ft.
Harrigan Centennial Hall convention center.
The cruise ship industry in Southeast Alaska
brings 800,000 passengers to Alaska every spring, summer and
fall. Of those, Sitka welcomes 250,000 passengers May through
September.
|
| |
| |
|
Ships
Calling Sitka, Alaska – 2004 Cruise Season |
| Cruise Line Company |
Ship Name |
Passenger Capacity |
| Carnival
Cruise Lines |
Carnival
Spirit |
2,124 |
| Holland
America Cruise Lines |
Amsterdam |
1,460 |
| " |
Oosterdam |
1,848 |
| " |
Ryndam |
1,266 |
| " |
Statendam |
1,266 |
| " |
Veendam |
1,266 |
| Princess
Cruise Lines |
Regal
Princess |
1,590 |
| Celebrity
Cruise Lines |
Mercury |
1,740 |
| " |
Summit |
2,038 |
| " |
Infinity |
2.038 |
| Lindblad
Cruise Lines |
Sea
Lion |
70 |
| " |
Seabird |
70 |
| Crystal
Cruise Lines |
Crystal
Harmony |
960 |
| America
West Steamboat Co. |
Empress
of the North |
212 |
| World
Explorer Cruise Line |
Universal
Explorer |
700 |
| Clipper
Cruise Lines |
Yorktown
Clipper |
138 |
| Cruise
West |
Spirit
of Alaska |
82 |
| " |
Spirit
of Discovery |
84 |
| " |
Spirit
of Endeavor |
107 |
| " |
Spirit
of 98 |
99 |
| " |
Spirit
of Columbia |
80 |
| " |
Spirit
of Oceanus |
114 |
| Glaciar
Bay Cruise Line |
Wilderness
Adventurer |
69 |
| " |
Wilderness
Discoverer |
87 |
| Safari
Yacht Cruises |
Safari
Quest |
21 |
| Seven
Seas Cruise Line |
Seven
Seas Mariner |
700 |
| Silver
Sea Cruise Line |
Silver
Shadow |
400 |
| The
Boat Company |
Liseron |
12 |
| " |
Mist
Cove |
25 |
|
| |
|
Another important component of the tourism industry in Sitka
is the sport fishing industry. Sitka is a world-renowned location
for sport fishing that includes salmon and ground fish such
as halibut and cod. In Alaska, charter fishing boats are not
allowed to carry more than six passengers, not including the
crew. The charter industry in Sitka belongs to the Sitka
Charter Boat Operators Association. |
| |
|
| |
| |
|
