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By Anthony Nordan

President Elizabeth Simonson rang the bell for this week’s meeting for a packed room – so much so the Kitchi staff were required set up an additional table. President Elizabeth Simonson led us in the Pledge of Allegiance and the Rotary 4-Way Test.

President Elizabeth Simonson.

Past Assistant Governor and Past President Al Makynen offered the Reflection: Rotary has seven areas of focus. We had six areas of focus until June of 2020 when Rotary added the seventh. Al Makynen challenged us to name all seven areas… These seven are: Peace Building and Conflict Prevention; Disease Prevention and Treatment; Water, Sanitation, and Hygiene; Maternal and Child Health; Basic Education and Literacy; Community Economic Development; Environment (Added June 2020). These are all basic to economic wellbeing for personal or community growth. Al Makynen used the example of the environment is a public good. The environment belongs to all of us.

Past Assistant Governor and Past President Al Makynen

 

A crowded room of Rotarians and guests

 

Bob Reichert introduced Club #25’s newest member Jane Stadler. Welcome, Jane!

Fellowship: We had several guests this week. Club #25’a Grant Committee (Jack Seiler, chair) awarded grants to several well-deserved organizations in our community. Our grant recipients and special guests this week were:

Seth Currier from Damiano Center

 

Ben Martin from Duluth Robotics (Denfeld)

 

Savanah Swanson and Morgan Beryl from YWCA Duluth

 

Jack Seiler with Dave Schaeffer from Chester Bowl

 

Announcements: We had 2 major announcements this week. The first was to do with Rotary Roses. Past President Gary informed us that we have ordered the roses! They will arrive Thursday, October 24^th (remember – NO MEETING). We have ordered more than enough roses so people can keep selling them. Distribution will be next Friday October 25th and Saturday, October 26th. We still need volunteers to distribute roses. The suggestion was raised that we tap into our Junior Rotarians to assist and see Rotary in action.  Please call Past President Gary Melander for locations and times there is the greatest need. Past President Gary Melander cell: 218-390-5252

 

Past President Gary Melander and Club #25 needs YOU!

His cell: 218-390-5252

 

The second announcement was that there will be no meeting October 24^th. This is so that Rotary can focus on selling roses and distributing them. Please sign up for an hour timeslot to distribute roses. It is a great chance to fellowship and get to know your fellow Rotarians.

 

Presentation. Dr. Robert (Bob) Hoffman was introduced by President Elizabeth Simonson. Bob teaches finance and economics at the College of Saint Scholastica. He has his PHD in economics from Boston College. The presentation today will focus on the regional economics of Duluth. Bob has taught at the College of Saint Scholastica for 30 years.

 

Bob began his presentation by looking at the population of Duluth in 2000, approximately 86,000, and contrasting that with the population of Duluth in 2022, approximately 86,000. Immigrants make up 2-3% of the Duluth population, below the national average. College age students in Duluth typically do not stay in Duluth after their education. Economics students did a survey of regional economics for 7 years, 10-12 students every six months, and of all those students only a couple stayed in Duluth after graduation.

 

While some colleges monitor the post-graduation paths of their students, this practice is not followed by the institutions here in Duluth. In 2022, Duluth had 12,000 residents between the ages of 20 and 24, considered college age, and 5,000 residents between 25 and 29, post-college age. This suggests that many college-aged individuals are not remaining in the city. While Duluth could potentially serve as a climate refuge, Dr. Hoffman expresses doubt about this. The highest population growth in the U.S. is currently seen in states like Florida, Nevada, Texas, and Arizona. Dr. Hoffman anticipates that Duluth’s population will stay below 100,000 for the next 15 years, keeping the city in a state of low population equilibrium.

 

Dr. Bob Hoffman of CSS

 

An influx of people would create positive spillover effects, requiring at least 12,000 individuals moving into Duluth. They would establish businesses, relationships, and restaurants, creating a feedback loop. Minneapolis has already seen effects from individuals relocating to Duluth, often viewed through a cost-benefit lens, weighing gains and losses from moving away from the Twin Cities.

 

Focusing solely on population growth is misleading, as it overlooks several issues, one of the most pressing being affordable housing. Addressing housing affordability is beneficial on its own, even if it doesn’t drive population growth. Housing development, regardless of the price range, generates a positive impact. Expensive homes push people up the housing ladder, freeing up more affordable housing stock. Multifamily housing offers the most benefit, though it may also reduce the value of housing assets.

 

The U.S. faces a demographic challenge, with 2.8 workers per retiree, a number expected to drop to 2.1 in the near future as people live and remain retired longer. Four possible solutions include:

 

Banning retirement is neither practical nor popular. Japan has attempted to boost fertility through incentives, but the birth rate dropped from 1.9 to 1.3. Japan also has the strictest immigration policies globally.

 

Immigration, while a contentious issue, is one of the easiest solutions. Canada increased its immigrant population from 13% in 1981 to a projected 23% by 2024, with a goal of 30% by 2030. If the U.S. followed a similar path, increasing immigration from 14% to 23%, the population could grow from 47 million to 85 million. Although gradual, this shift could alleviate demographic pressures.

 

Immigration also strengthens market freedom, contributes to social security, and fosters entrepreneurship, particularly among younger immigrants. It offers a key solution to the demographic and economic challenges of U.S. communities.

The final option, doing nothing, would only worsen the situation.

 

There were several questions asked of the presenter.

 

President Elizabeth Simonson, in thanking our speaker, spoke very highly of Dr. Bob Hoffman. He was her economics teacher when she studied at the College of Saint Scholastica.

The 50/50 winner was John Oman, who won $51. The meeting closed with the ringing of the bell.

This year, we are not offering coupon books. Instead, Jerry Thoreson presented a ROTARY ROSE SALE BONUS for 2024: A prize package will be given away in a drawing! Included in the Duluth Holiday Weekend Extraordinaire:

• Two Night Stay at Pier B Resort, December 13 & 14, 2024 ($600 VALUE!)

• A Bentleyville VIP prize package ($50 VALUE!)

• Two Tickets to “Cinderella” at Duluth Playhouse December 14, 2024 ($130 VALUE!)

• Sauna and Cold Plunge Experience for two at Cedar & Stone floating Sauna at Pier B Resort ($120 VALUE!)

• $50 Gift Card to Chilly Billy’s

• $50 Gift Card to Duluth Grill Family of Restaurants

• 2 Tickets to Glensheen ($40 VALUE!)

• 2 Tickets to Great Lakes Aquarium ($40 VALUE!)

How to enter:

1 ENTRY IS INCLUDED with EACH DOZEN roses purchased or 1 ENTRY IS

INCLUDED with EACH $25 donation.

No purchase is necessary to enter the Duluth Holiday Weekend Extraordinaire giveaway. For complete details, go to rotaryroses.com