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Tulsa lauded as strong city
BusinessWeek notes the metro area's oil and gas industry and its solid housing market.
By LAURIE WINSLOW World Staff Writer
Published:
10/24/2009 2:24 AM
Last Modified: 10/24/2009 8:13 AM
The oil and gas industry has played a key role in helping Tulsa weather the recession, according to a new BusinessWeek study that ranks the metro area near the top of the 40 strongest in the nation.
Tulsa ranked No. 7 on the list, with BusinessWeek's editors also noting the community's solid housing market. Oklahoma City was No. 3.
Using data and analysis from the Brookings Institution's new MetroMonitor study,
BusinessWeek.com
selected the 40 top economies based on job growth, employment, economic growth and home prices.
"This ranking, as have the many accolades Tulsa has received this year, validates what we've been saying about the strength of our regional economy," Mike Neal, president and CEO of the Tulsa Metro Chamber, said in e-mailed comments.
"Tulsa's low cost of doing business, our low cost of living, positive job creation, development projects like the BOK Center and downtown ballpark, and announcements like the WNBA and Arena Football 1 headquarters are telling the world that Tulsa is open for business and we are thriving despite the national recession."
He noted that recognitions from national publications give Tulsa a competitive edge for recruiting new businesses and workers.
Although no metropolitan area entirely avoided the economic downturn, the most resilient areas were protected by a potent mix of recession-resistant jobs, the magazine states. The strongest economies never saw their housing prices get out of control.
Several
factors have helped Oklahoma's metro areas, including the fact that the state entered the recession much later than most others, explained Steve Agee, professor of economics at Oklahoma City University and chairman of the Oklahoma City branch board of the Federal Reserve Bank of Kansas City.
While the state's unemployment rate essentially doubled from 3.2 percent in February 2008 to 6.7 in September, last month's rate dropped from 6.8 percent in August and was the fifth-lowest in the nation.
Although September data for the state's metro areas haven't been released, the Tulsa area's August jobless rate climbed to 7.1 percent — its highest in more than 15 years.
"When people say we're recession-proof, that's nonsense," Agee said. "We're not recession-proof, but, relatively speaking, when you look at the rest of the country we're so much better off — No. 1 because we started off at a better position."
Neither Oklahoma metro area had the housing bubble that the rest of the country experienced. Oklahoma bankers, who learned their lessons during the 1980s, also haven't seen their banks fail as many others have throughout the country.
"We had a very strong oil and gas energy economy and a strong agriculture commodity-based economy up until about the third quarter of last year, and then it started to really affect us," Agee said.
Although oil prices fell off dramatically, they have climbed back to around $80 a barrel, which is good for the state's economy. Both Oklahoma City and Tulsa have some prominent energy companies, including Williams Cos Inc. in Tulsa and Devon Energy Corp. and Chesapeake Energy Corp. in Oklahoma City, Agee said.
Also, the weaker dollar abroad has helped Oklahoma manufacturers who export goods.
When all these pieces are pulled together, it makes sense that Tulsa and Oklahoma City rank high, Agee said.
Russell Evans, director of Oklahoma State University's Center for Applied Economic Research, pointed out that the government is the largest employer in the state and that during this recession there has been a lot of stimulus money and government employment.
Although Oklahoma has lost about 52,000 jobs over the course of the recession, it has gained about 7,600 government jobs through the first quarter of 2009, which has helped offset losses in the private sector.
Strongest cities
1. San Antonio
2. Austin-Round Rock, Texas
3. Oklahoma City
4. Little Rock-N. Little Rock-Conway, Ark.
5. Dallas-Fort Worth-arlington, Texas
6. Baton Rouge, La.
7. Tulsa
8. Omaha, Neb.-Council Bluffs, Iowa
9. Houston-Sugar Land-Baytown, Texas
10. El Paso, Texas
Laurie Winslow 581-8466
laurie.winslow@tulsaworld.com
By LAURIE WINSLOW World Staff Writer
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Some reader comments for this story were copied from "
Tulsa, OKC among strongest metros
," which was published on 10/23/2009.
Report Comment
Tony G
, Tulsa (10/24/2009 6:18:25 AM)
Obviously--Mr. Agee, doesn't LIVE here. Doesn't see the bad streets, the high crime rate, doesn't understand the financial MESS made by queen Taylor.
Report Comment
Dr_Doom
, Latveria (10/24/2009 8:36:14 PM)
We'll you gotta start somewhere I suppose and latch on to whatever you can.
Report Comment
Mar
, Tulsa (10/24/2009 11:19:59 AM)
Congratulations to Tulsa and OKC!
Well, sweet tea, I'm glad you are in Dallas. We need positive people here in Tulsa to counter act all the griping and complaining all the time about Tulsa on these boards, we don't need another complainer.
Cherylann states: "Property taxes are really high in Dallas. ..." There you go, see different cities and states get their revenues from different sources. Dallas, etc. have high property taxes, Oklahoma/Tulsa doesn't, as they have sales tax which TX doesn't. If Oklahoma didn't have sales tax then the property tax would be higher.
A lot of you people complain about the high taxes here in Tulsa, OK, and I agree some of the taxes are too high. But there are higher taxes elsewhere. Kansas for instance has higher taxes on vehicles. I bought a Honda Civic in 2008, my tag and taxes here in Oklahoma were around $450. Had I tagged and paid taxes in Kansas (I use to live there), I would have had to pay $1,100.
Report Comment
Few Clothes
, America (10/23/2009 8:34:57 PM)
Oklahoma and Texas cities dominated the top ten. We're both doing something right.
Report Comment
Few Clothes
, America (10/24/2009 10:39:17 AM)
Centrist, property tax here is more costly than in Oklahoma creating some revenue for the state. I know that Austin continued new construction during the recession, and I imagine DFW, San Antonio, and Houston did also.
Report Comment
Few Clothes
, America (10/24/2009 11:33:42 AM)
Cherylann. The tax rate in Dallas is $19.15 per thousand, which is higher than Austin at $18.00. Tulsa's rate is $10.53 to OKC's $10.53. The research I did concluded that it depends largly on what counties the city is located in. Examples would be Columbus, TX at $10.22 and Cordell, OK at $6.25. Texas property tax is higher, but you get basically a 7% raise in salary due to no state tax. The last groceries I purchased was 4 bags for $24.89 and there was no tax on any of them.
I will be interested in hearing about your first cold winter in Tulsa. Keep in touch.
Report Comment
irwindale
, Tulsa (10/23/2009 1:17:54 PM)
Watch the Tulsa Chamber will take credit for the ranking as well as baked bread!
Report Comment
Jc214
, Tulsa (10/24/2009 2:04:08 AM)
#5 Dallas my homewtown! I miss that place.
Report Comment
you'rekidding
, tulsa (10/24/2009 12:16:20 AM)
It's hard to agree when Benham, an oil company no less, laid off both my girlfriend and myself plus 39 others. It is hard for a drafter when Texas oil company's fail and Bartlesville's flooded with people
Report Comment
you'rekidding
, tulsa (10/24/2009 12:18:35 AM)
I think I might have some buried issues
Report Comment
you'rekidding
, tulsa (10/24/2009 2:16:42 AM)
I hate to be cynical but intellegence always nags at me, though it does nothing for my spelling. What good is list anyways? To encourage more people to move here and find that there aren't any jobs? To bolster the encomies of failing cities with competition? Think about it, and hopefully someone proves me wrong, how many people would flock to Tulsa, just for say, because of a magazine article? Tulsa isn't that big and it wouldn't take many to upset the balance, if there is one. Strange how a few people at a magizine company can change so many peoples lives. Sorry for my banter
Report Comment
you'rekidding
, tulsa (10/24/2009 2:19:24 AM)
Reminds me of a Bill Hicks qoute. 'I hate to sound like an @ssh0le, but I am, so thats how it comes out.'
Report Comment
you'rekidding
, tulsa (10/24/2009 2:30:58 PM)
I've lived in Denver and Dallas, and one problem I can see for the actual city of Tulsa is that it is very condensed compared to those two. You have alot of people coming into the city from outside cities, which isn't very far, and the majority of their taxes stay close to home, hence and so forth the city of Tulsa misses out on alot of that. I will say traffic in Denver is alot worse than Dallas, but Denver isn't on the list so not point in that I guess.
Report Comment
you'rekidding
, tulsa (10/24/2009 5:18:55 PM)
Most illegal immagrants from Mexico live in the southern states. Strange that Pres. Bush claimed that they are what would hurt our economy, yet look who is on this stronget cities list.
Report Comment
you'rekidding
, tulsa (10/24/2009 5:22:24 PM)
My friend is making me put this conspiracy on this board for your amusement I guess. 'Maybe the list isn't real. Maybe it is just propaganda to try and calm everyone. Maybe every area of the states got a list of their own.'
Report Comment
you'rekidding
, tulsa (10/24/2009 5:25:00 PM)
'Either way, close the gates San Antonio!!!'
Report Comment
you'rekidding
, tulsa (10/24/2009 7:48:36 PM)
"Tulsa is open for business and we are thriving despite the national recession."
This guy must have already retired.
Report Comment
you'rekidding
, tulsa (10/24/2009 7:50:35 PM)
All this talk of how we are doing instead of doing it makes me repressed.
Report Comment
Groove Monster
, San Antonio (10/24/2009 11:38:39 AM)
I'm being demoted from #1 to #7... calling my bosses to tell them I quit, they can't make me move from San Antonio to Tulsa!
San Antonio doesn't have the highest crime rate in Texas, but we do have a high amount of violent crime here. Traffic flow is atrocious at best, very poor planning of the roads.
My wife and I bought our house in 2001 for about $97K, now it's value is $124K. But the taxes here are killer especially in the NISD. For 1697 sq ft, I pay $3081 in taxes (with the Homestead exemption). The school taxes alone from that are $1458. The growth here is the same as it is in Tulsa, everyone is moving out of the city limits, but the city keeps growing and annexing new areas. They have recently begun projects to "revitalize" the downtown area, but most of the major employers here aren't even downtown, so it's not going so well.
My wife and I are looking forward to getting away from the "big city" environment. We will be looking at homes in some of the smaller towns around Tulsa.
Also, the gas here in TX is more expensive, it's part of the reason we don't have a state tax. It's so darn big here you have to drive a day to get anywhere, so they know you'll be buying plenty of gas.
Report Comment
aint missbehavin
, no thanks (10/24/2009 5:08:46 PM)
since everyone is missing the lone star state,Im hopin that it really is a strong feelin and makes some want to ge there.Ya know they are havin a one day sale down that way.
Report Comment
yep
, Tulsa County (10/24/2009 9:43:15 AM)
What does a "strong city" mean? Obviously they didn't look at streets, or the number of regulations/hoops it takes to deal with for a small business to open. We also were rated as a "bicycle friendly" city too... Uhhh...
Report Comment
SS_Hippy
, Tulsa (10/26/2009 8:17:04 AM)
would you rather commute to work in Tulsa, or in Austin? or Dallas? or Houston?
Report Comment
Centrist
, the burbs (10/24/2009 1:29:58 AM)
We also have that nasty tax and title tax on vehicles too Cherylann. I bought a vehicle in TX a few years back and they said if I lived there I wouldn't have to pay that. I guess each state gets it somehow. How did TX get their revenue?
I'm glad OK made the list.
Report Comment
Corvetteguy
, Tulsa (10/23/2009 1:02:07 PM)
Tulsa has a lot going for it, but hasn't had good leadership at the top in many decades. During the boom years of the 1980s, we had a "ribbon cutter" for a Mayor that never provided one day of true leadership.
The proof of the poor leadership, is that virtually all the surrounding communities prospered and grew, while Tulsa suffered an exodous of taxpayers to those surrounding towns that had their act together.
Now it's time that we desparately need strong leadership. Someone who can make tough financial decisions, AND, even more importantly, can get a handle on this crime problem we have.
Who is that leader?...............
Report Comment
DaBirdman
, (10/24/2009 11:30:03 AM)
OK y'all---I am originally from Tulsa but currently living in Austin.......but......I have family in T-Town and want to come back! If anyone would like to hire a good salesman----
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