510 greene street ~ 1st floor, key west … · 2020-06-28 · page 2 chamber chowder july 2020 vol....

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Chamber CEO Scott Atwell (center) is flanked by Virgin Voyages’ Alex Zeitz (left) and CEO Tom McAlpin. CHAMBER CHOWDER© 510 Greene Street ~ 1st Floor, Key West www.keywestchamber.org Page 1 July 2020 Chamber Chowder VOL. 23, NO. 5 A s a November, citizen- led ballot referendum pursues safer, cleaner ships and higher-income passengers for Key West’s cruise port, the chief executive of the new Virgin Voyages represented a stark irony at June’s General Membership Meeting: the most ecological friendly ship in the world and its high income, adults- only passengers would not be able to make call in Key West because Virgin’s medium sized Scarlet Lady does not meet the narrowly-crafted limits of the referendum. But irony did not dampen Tom McAlpin’s enthusiasm for Key West or the future of the cruise industry. e Florida native was part of the team that built Disney Cruise Line from the ground up and eventually rose to chief executive of the line, which enjoyed the highest customer satisfaction of any Disney operation. Now, McAlpin has used his unique experience to fashion the world’s newest cruise line in the image of the world’s coolest brand and its founder, Sir Richard Branson. “is is one of the biggest start- up’s ever,” McAlpin said. “is is a four billion-dollar investment over time and to do that you need a big brand. Virgin has proven to do that over time with airlines, with hotels, with trains, where they have come into industries that need revitalization, that need a new way, and Virgin has that secret sauce for creating those experiences.” Virgin’s differentiation is rooted in nomenclature. Ships are not on a cruise, they are on a “voyage”. Passengers are called “sailors” who navigate (on-board and off) digitally via an app and no-touch payment device called “e Band”. COVID-19 delayed Virgin’s scheduled launch in March, timing that McAlpin called the “worst time in the history of mankind to launch Message from President Greg Sullivan W here do I start in this new world that we are getting accustomed to now? e new paving looks great on Duval Street and just in time for the return of visitors. As we all know businesses were pushed to their limit during the shutdown and unfortunately some operations did not survive. Maybe they might come back as the economy improves or hopefully, we will have new businesses established to move into all of those empty store fronts on Duval Street and elsewhere. At the Key West Chamber, we were busy gathering factual information in reference to the recent discussion on cruise ships. I would like to share what we have learned through our gathering of information to educate ourselves, our members and the citizens of Key West. e total impact of the cruise ships on the Key West economy is approximately $90 million. Passenger and crew spending alone produces more than 800 full time jobs for the residents. City leaders have shared with us their plans if cruise ship revenue is lost. Obviously, one way to replace lost revenue is to raise ad valorem taxes, which would impact everyone on the island through their businesses, homes, and workforce whose landlord has to raise the rent to cover a higher tax Virgin Voyages Wows General Membership by Scott Atwell continued on page 3 4 continued on page 3 4 Table of Contents Honor Roll 100/Toppino Scholarship Winner 2 Economic Impact of Cruise Referendum 3 Extraordinary Educators 4 Tom Sawyer 5 Star Program Information 8 Business Trends 6-7 Welcome New Members! 8 Tiger in the Woods Golf Tournament Information 9 Chamber Calendar of Events 10

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Page 1: 510 Greene Street ~ 1st Floor, Key West … · 2020-06-28 · Page 2 Chamber Chowder July 2020 VOL. , N O. 5 Ernest Hemingway House Museum 907 Whitehead St Key West, FL 33040 305-294-1136

Chamber CEO Scott Atwell (center) is flanked by Virgin Voyages’ Alex Zeitz (left) and CEO Tom McAlpin.

Chamber Chowder©510 Greene Street ~ 1st Floor, Key West www.keywestchamber.org

Page 1 July 2020Chamber ChowderVol. 23, No. 5

A s a November, citizen-led ballot referendum pursues safer, cleaner

ships and higher-income passengers for Key West’s cruise port, the chief executive of the new Virgin Voyages represented a stark irony at June’s General Membership Meeting: the most ecological friendly ship in the world and its high income, adults-only passengers would not be able to make call in Key West because Virgin’s medium sized Scarlet Lady does not meet the narrowly-crafted limits of the referendum.

But irony did not dampen Tom McAlpin’s enthusiasm for Key West or the future of the cruise industry. The Florida native was part of the team that built Disney Cruise Line from the ground up and eventually rose to chief executive of the line, which enjoyed the highest customer satisfaction of any Disney operation. Now, McAlpin has used his unique experience to fashion the world’s

newest cruise line in the image of the world’s coolest brand and its founder, Sir Richard Branson.

“This is one of the biggest start-up’s ever,” McAlpin said. “This is a four billion-dollar investment over time and to do that you need a big brand. Virgin has proven to do that over time with airlines, with hotels, with trains, where they have come into industries that need revitalization, that need a new way, and Virgin has that secret sauce for creating those experiences.”

Virgin’s differentiation is rooted in nomenclature. Ships are not on a cruise, they are on a “voyage”. Passengers are called “sailors” who navigate (on-board and off) digitally via an app and no-touch payment device called “The Band”.

COVID-19 delayed Virgin’s scheduled launch in March, timing that McAlpin called the “worst time in the history of mankind to launch

Message from President Greg Sullivan

W here do I start in this new world that we are getting accustomed to now?

The new paving looks great on Duval Street and just in time for the return of visitors. As we all know businesses were pushed to their limit during the shutdown and unfortunately some operations did not survive. Maybe they might come back as the economy improves or hopefully, we will have new businesses established to move into all of those empty store fronts on Duval Street and elsewhere.

At the Key West Chamber, we were busy gathering factual information in reference to the recent discussion on cruise ships. I would like to share what we have learned through our gathering of information to educate ourselves, our members and the citizens of Key West. The total impact of the cruise ships on the Key West economy is approximately $90 million. Passenger and crew spending alone produces more than 800 full time jobs for the residents.

City leaders have shared with us their plans if cruise ship revenue is lost. Obviously, one way to replace lost revenue is to raise ad valorem taxes, which would impact everyone on the island through their businesses, homes, and workforce whose landlord has to raise the rent to cover a higher tax

Virgin Voyages wows General membershipby Scott atwell

continued on page 3 4

continued on page 3 4

Table of ContentsHonor Roll 100/Toppino Scholarship Winner . . . . . . 2Economic Impact of Cruise Referendum . . . . . . . 3 Extraordinary Educators . . . . . . . . . . . . . 4Tom Sawyer 5 Star Program Information . . . . . . . 8 Business Trends . . . . . . . . . . . . . . . 6-7Welcome New Members! . . . . . . . . . . . . . 8Tiger in the Woods Golf Tournament Information . . . . 9Chamber Calendar of Events . . . . . . . . . . 10

Page 2: 510 Greene Street ~ 1st Floor, Key West … · 2020-06-28 · Page 2 Chamber Chowder July 2020 VOL. , N O. 5 Ernest Hemingway House Museum 907 Whitehead St Key West, FL 33040 305-294-1136

Page 2 July 2020Chamber ChowderVol. 23, No. 5

Ernest HemingwayHouse Museum

907 Whitehead StKey West, FL 33040

305-294-1136

La ConchaCrowne Plaza430 Duval St

Key West, FL 33040305-296-2991

Horan Law608 Whitehead St

Key West, FL 33040305-294-4585

The Chamber Chowder Heartily Thanks These Businesses for Their Generous Support of this Issue of the Newsletter

Porter AllenInsurance Company

513 Southard StKey West, FL 33040

305-294-2542

Old Town Key West Development

201 Front St, Suite 301Key West, FL 33040

305-294-3225

T here are many things Divya Navani has

come to appreciate about growing up in a close-knit community like Key West. But her experiences with local music have been the most profound, fueling a passion she believes will carry her into a career as a music attorney. The Key West High School senior is off to Harvard University, where the extraordinary costs of attendance will be offset by a $27,500 scholarship from the Greater Key West Chamber of Commerce. The award is called the Honor Roll 100/Charley P. and Orsolina Toppino Memorial Scholarship, funded by the Toppino businesses and Chamber members.

Navani’s musical journey began with the flute, piano and traditional

band performance before evolving into an appreciation for the cultural influences of music. In her scholarship application, Navani referenced the impact of taking part in the island’s Goombay Festival and Bahama Village Crooks Second Line program. Eventually, she experimented with film scoring and even studied abroad in

Argentina and Greece. After an internship at local radio

station Island 106.9, Navani is now a full-fledged disc jockey, hosting her own live show from 4-6 p.m. each weekday. “It’s an alternative rock program,” she says, “but I focus on artists who are underrepresented in the alternative space, like women or Latinos or blacks.”

At Harvard, Navani will major in data analytics, a cross between applied math and computing. “I’ve done a lot of research on where the music business is going and today you can make a digital experience that is incredibly personal,” she explains. “You can listen to five songs and a program will know who and what you’re interested in.” That kind of educational background will set the stage for law school and then representing artists, whom Navani says have been negatively impacted by major record labels.

The Chamber also awarded a pair of scholarships to seniors with career plans that fall into the organization’s definition of vocational professions. Leela Sorbelli will attend the College of the Florida Keys and major in nursing, while Jose Pichardo will attend fire college in Ocala. Each will receive $2,000 from the Gerald “Moe” and Marina Mosher Vocational Scholarship fund, named in honor of the late Moe Mosher, a founding partner of Historic Tours of America.

In addition, the Chamber will award $1,000 scholarships to Leislany Garcia-Montero and Roosevelt Joseph, winners of the William Appelrouth Scholarship. Named in honor of the late, three-time president of the Key West Chamber of Commerce, the Appelrouth awards are made each year to one male and one female member of the Key West High School senior class who display a record of outstanding community service.

2020 Honor Roll 100/Charley P. and Orsolina Toppino Memoral Scholarship Winner Divya Navani.

Harvard-Bound Senior Wins Honor Roll 100/Toppino Scholarship

Scholarship Winners pictured left to right: Leela Sorbelli, Jose Pichardo, Leislany Garcia-Montero, and Roosevelt Joseph.

Page 3: 510 Greene Street ~ 1st Floor, Key West … · 2020-06-28 · Page 2 Chamber Chowder July 2020 VOL. , N O. 5 Ernest Hemingway House Museum 907 Whitehead St Key West, FL 33040 305-294-1136

Y our Chamber of Commerce has invested in research to understand the economic

impact of the three referendums that will appear on Key West’s November ballot. While the Chamber board has not yet taken a position on the subject, we believe it important to provide members with accurate information to make an informed decision.

There are three separate referendums:

1. Limiting the number of disembarkations to 1,500 per day (including crew);

2. Prohibiting ships with a capacity of 1,300 or more persons;

3. Giving priority to cruise lines with the best environmental and health records.

The referendums are binding. If they are approved on November 3, ships stop calling on November 4.

In 2019, only 22 of 419 ship arrivals met the criteria of items one and two.

In 2019, our data estimates the following economic impact on Key West:

4 $63 million in passenger spending;

4 $11 million in crew spending; 4 $15 million in fees related to

the cruise industry.The widely-circulated figure

of the City of Key West realizing a “profit” of $91,000 is misleading. The city cannot, by law, profit from the cruise fees. Instead, the city invested nearly $2 million of cruise fees into its most recent operating budget, with percentages allocated to departments like fire, police, EMS, code enforcement, finance and administration.

Monroe County Schools stands to lose $379,000 in sales tax revenue from passenger and crew spending.

Bottom line: the cruise industry supports a minimum of 833 jobs in Key West.

Page 3 July 2020Chamber ChowderVol. 23, No. 5

bill. The second possibility is to reduce city services, and the third would be through layoffs of city employees. Or, it could be a combination of all three.

To their credit, when the COVID-19 came into our lives the city immediately froze hiring of vacant positions. They are now reviewing the possibility of laying off current employees in all departments, i.e. fire, police, community service, and all other departments. As we all know, most households rely on two incomes, and if one potentially loses their job and cannot find another, more than likely they will both leave the Keys. For example, one of the Bar Pilots who guides the ships into the harbor (state law) will be forced to move out of Key West along with his fiancé who is a nurse at Lower Keys Medical Center. I urge you to visit our web site and review the facts for yourself at https://www.keywestchamber.org.

On a brighter note, all of our committees have been meeting via ZOOM working on everything from housing, education, economics and also the new Bar & Restaurant Committee. Let’s not forget our Golf Committee, the Tiger in the Woods Golf Tournament is scheduled for October 18, 2020.

I look forward to seeing you soon.

President’s Message cont. from page 1 4

a business.” But Virgin had already built into its plans many of the virus-mitigation efforts others are now pursuing, including an onboard air treatment system that eliminates 99.9% of viruses, and the purging of buffet dining.

With 20 sit-down restaurants, the absence of buffets and large-hall dining cuts down on food waste, part of Virgin’s vision to be 100% carbon neutral from day one. McAlpin said the line has banned the use of plastics and its onboard water system turns waste into drinkable discharge. Heat from exhaust is turned into renewable energy and at Branson’s insistence, only reef-safe sunscreen will be sold onboard.

Cruises, McAlpin said, have often appealed to a caricature of “the newly wed, the nearly dead and the over fed. We are trying to do something very different and create a sense of who our sailors

are.” Virgin’s research showed customers wanted a more immersive, authentic experience into the culture of their ports of call. In Key West the company has secured exclusive early-entry tours of the Hemingway Home and Museum and curated a fishing and dining experience (Hook and Cook) where sailors catch their own lunch and then participate in its preparation.

McAlpin’s colleague, Alex Zeitz, estimated that Virgin sailors would spend $3.1 million in tours annually in Key West, with an average spend of $94 per tour going directly to the operator.

“We want to be the ship that everyone wants to see come into port,” McAlpin said. His 27-hundred passenger Scarlet Lady is scheduled to make call in Key West 33 times between October 2020 and December 2021, pending the outcome of the November referendum.

economic Impact of Cruise referendum: Jobs

“Scott Atwell” cont. from page 1 4

Page 4: 510 Greene Street ~ 1st Floor, Key West … · 2020-06-28 · Page 2 Chamber Chowder July 2020 VOL. , N O. 5 Ernest Hemingway House Museum 907 Whitehead St Key West, FL 33040 305-294-1136

Page 4 July 2020Chamber ChowderVol. 23, No. 5

A s part of its ongoing commitment to education and the future of Key West, the Chamber regularly honors the area’s best and brightest teachers. These individuals are nominated by their peers and school

principals because they touch the lives of their students in a way that leaves a lasting impression. Extraordinary educators make a difference in the classroom that ripples out into the community, contributing to a better world for everyone.

Although we were unable to recognize them in person each teacher was presented at commemorative plaque, check gift bag as an expression of appreciation and included in a virtual presentation at our June General Membership Meeting. Chamber members wishing to show their support of teachers provide gift certificates, merchandise, or cash donations totaling nearly $1,000 per educator. The plaques are sponsored by Local Awards & Engraving and their lunch at the general membership meeting is paid for by Royal Furniture & Design.

The Chamber is proud to honor the following Key West teachers for their unwavering dedication to the island’s youngest residents:

From Gerald Adams pre-K special education teacher Katherine Fernandez, who is finishing up her 7th year in the classroom. Principal Frannie Herrin describes Ms. Fernandez as a strong advocate for students and families and works tirelessly to provide creative lessons for students with varying developmental levels. On any given day you can find Mrs. Fernandez surrounded by her students on the

floor as they explore a new hands-on activity, or dancing in the hallway with a student needing to get out some wiggles. Mrs. Fernandez is consistent, fun and above all-compassionate.

Carly Hampton is a third-grade teacher at Basilica School. She is in her first year, having come to Key West as the spouse of a Coast Guard member. Principal Robin Wright says Ms. Hampton hit a grand slam in her first year, a remarkable educator whose enthusiasm for learning spills over onto her students, creating a tremendous academic curiosity among her entire class. Principal Wright goes on to say Ms. Hampton

is a team player, innovative and able to differentiate her instruction with great effectiveness. She has superb rapport with her classroom, parents and fellow teachers. She has a bright future ahead in education.

Se habla espanol? From Poinciana we have Spanish Teacher Ilinke Royse. Ms. Royse has been teaching for a total of 15 years (quitorce anos), coming to Key West a few years ago from St. Augustine. This year Ms. Royse was nominated by her Poinciana Colleagues as teacher of the Year. She volunteers as champion of the school’s Sandy Hook Promise – Start with Hello initiative, which

garnered local attention for the many acts of kindness. Her principal describes her as a model teacher who is always willing to go the extra mile in order to provide an amazing learning experience.

From Montessori Children’s School of Key West we recognize Karthiha Kunasekaren. Principal Amy O’Connor selected who says Ms. Koo-na-SEE-karen is joyful in her work with students, staff, and parents, with exemplary respect and care for others—brightening the campus. She considers each child a gift, looking at the whole child and meeting him or her where they are.

From Sigsbee Charter School, we recognize Jacklyn Skafas, in her ninth year as an elementary science teacher. Her principal says Ms. Skafas is a dedicated teacher and devoted colleague who serves as the teacher representative to Sigsbee’s Board of Director’s. She volunteers her time to sponsor an after-school study buddy group and organizes school-wide events like

astronomy night and Sigsbee Day at Ft. Zach. She shares her passion about the environment with her after school science club and ensures that each of her students knows that she cares for them personally.

From May Sands Montesorri School, Principal Lynn Barras recognizes early secondary specialist and ELA, History and Civics instructor Walter Glenn Grizzard. Mr. Grizzard has been teaching for 14 years, he is new to Montessori’s professional staff but not to Montessori education, in fact he’s a specialist in his field. Mr. Grizzard leads 7th and 8th graders in the

school’s early secondary, with a talent for developing personalized lessons that promote student engagement while enabling students to expand their world view. Principal Barras underscores Mr. Grizzard’s commitment to the school’s core values of respect for self, others and the environment, and says he can be counted upon to help whenever another staff member is in need. Teachers in Montessori schools are known as “guides” and Mr. Grizzard is an exceptional one.

Horace O’Bryant is pleased to recognize Stephanie Manaher who has been teaching at the school for 17 years. In fact, it is the third time she’s been recipient of this Chamber recognition award. Mrs. Manaher provides artistic influence children in our community with her recent work in the Keys Kids production of the Wizard of Oz. She is an example of an educator

going above and beyond, affecting the climate and culture of the school and community. Principal Christina MacPherson says Mrs. Manaher has inspired many students through her love of reading and writing as manifested in written essays her students provide to former teachers who have had an impact on their lives.

From the high school level, we recognize Key West High School’s Teacher of the Year… Donna Tedesco, who is finishing her 20th year of teaching. Principal Amber Acevedo says Ms. Tedesco is an outstanding educator with a vibrant passion for learning that she passes on to her students and colleagues. She uses innovative strategies and hands-on labs to engage students in

a positive, energized class climate. Ms. Tedesco’s commitment to excellence shines through in all areas as she institutes new programs, mentors others, and provides school leadership.

Congratulations to all our teachers … and to all the businesses and members who donated cash and gifts for this program. Big shout out to the Education Committee for making this the biggest years of gifts.

The Chamber honors the Island’s extraordinary educators

Page 5: 510 Greene Street ~ 1st Floor, Key West … · 2020-06-28 · Page 2 Chamber Chowder July 2020 VOL. , N O. 5 Ernest Hemingway House Museum 907 Whitehead St Key West, FL 33040 305-294-1136

Page 5 July 2020Chamber ChowderVol. 23, No. 5

T he Key West Chamber of Commerce Foundation is recognized as a tax-exempt organization under section 501(c)(3) of the Internal Revenue Code.

Contributions to organizations with 501(c)(3) status may be tax deductible.

Every star awarded reflects a commitment to K-12 EDUCATION by a member of the chamber. Every star is important! Members can earn a maximum of five stars each (FIVE STAR MEMBER). Every star counts, and every member is encouraged to do 5, 4, 3, 2, or even 1.

Decide for yourself what you and your company can do and accumulate your own stars!

Give any education committee member a call to discuss how this program can work for your business!

Scholarship Information

Donate $1000 and receive Four Stars (HR 100 Charley P. & Orsolina Toppino Memorial Scholarship, Educational Enrichment, Teacher Recognition and Sponsor a Classroom)

HR 100 Charley P. & Orsolina Toppino Memorial Scholarship ($100 contribution)

This scholarship is awarded each year to a Key West High School student. The award is based on several aspects of the student’s high school career, including grades, community service and extracurricular activities.

Educational Enrichment ($100.00 Contribution)This program enhances our student’s education by providing business related education to our teachers and directly to the students.

Teacher Recognition Program22 gifts with a minimum value of $25 each (for a total of $550 – or cash option available) from your company for 22 outstanding teachers. These are combined into gift bags and awarded three times within the school year.

Donation/Sponsorship $250.00 contribution to any Education Committee approved arts program or sponsor a Key West area academic classroom.

Mentoring A Student (Minimum one hour per week during the school year in an approved program such as Take Stock in Children in a Key West area school).

Contact the committee liaison if you are considering a program and need to know if it qualifies. (305) 294-2587 [email protected]

Click here to complete the Tom Sawyer Five Star form - give to any education committee member or email it to [email protected] to start earning your stars!

Thank you for being a STAR!

COMMITTEE MEMBERS

Chair: Brittany Snyder Florida Keys Community CollegeVice-Chair: Angie Walterson First State Bank of the Florida Keys

Jennifer Barrios Monroe County School District Julie Cuneo Volunteer Chuck Licis Take Stock in Children Yvette Talbot Appraisers of the Keys Don Whitehead Wicker Guesthouse Kay Miller Honorary Member Scott Atwell CEO Key West Chamber of Commerce

Page 6: 510 Greene Street ~ 1st Floor, Key West … · 2020-06-28 · Page 2 Chamber Chowder July 2020 VOL. , N O. 5 Ernest Hemingway House Museum 907 Whitehead St Key West, FL 33040 305-294-1136

Page 6 July 2020Chamber ChowderVol. 23, No. 5

-

20,000

40,000

60,000

80,000

100,000

120,000

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Pas

seng

ers

Source: City of Key West Port Operations

Key West Cruise Ship PassengersJanuary 2014 -May 2020

2015 2016 2017 2018 2019 2020

$-

$500,000

$1,000,000

$1,500,000

$2,000,000

$2,500,000

$3,000,000

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Bed

Tax

Col

lect

ions

in D

olla

rs

Source: Monroe County Tax Collector

Key West Bed Tax CollectionsJanuary 2015 - April 2020

2015 2016 2017 2018 2019 2020

Airport closed 9/8-19/2017 for Hurricane Irma

Port Closed 9/6-22/2017 for Hurricane Irma

Hurricane Irma 9/10/2017

Passenger arrivals to the Key West International Airport in May, 2020 totaled 2,400 a decrease of 94.1% when compared to 40,882 deplanements from May of 2019. The total number of arrivals in April was just 889 passengers, and represented a 98% decrease from 2019.

Thus far in 2020, the 1436,563 deplanements is 35.6% less than the 227,534 passengers that arrived in Key West for the year 2019. There were just 170 landings in Key West in May of this year compared to the 697 landings in May of 2019. Traffic to Key West International Airport was down 75.6% for the month and 20.8% for the year to date.

Key West Airport currently offers nonstop flights to Atlanta by Delta. Flights to Miami, Charlotte, Dallas, Chicago, Philadelphia, and Washington DC by American Airlines. Silver Airways services Tampa, Orlando, and Fort Lauderdale daily and Southern Airways Express offers daily flights to and from West Palm Beach.

There is still a lot of uncertainty within the airline industry and the airlines themselves will add and cut flights to locations based on demand.

The first ten weeks of 2020 was a very busy time for the Key West cruise ship market. Through the month of February, passenger counts were up 10.2% over 2019 and port of call's were up 33.8%. In early March cruise ship activity was halted on what was also shaping up to be a very good month for the City of Key West.

Through March of 2020 there have been 240,228 cruise ship passengers in Key West disembarking off a total of 119 ships. That represents a 10.8% decrease in passengers and a 9.2% increase in total ships when compared to 2019.

The future of cruise ships is somewhat in question, because it remains unclear as to when they will be ready and able to start sailing again. It is also difficult to predict the demand there will be to book trips on cruise ships in the next couple of months.

The cruise ship industry has long been an under-appreciated part of the of the Key West economy. The Key West Chamber of Commerce has been working diligently to quantify the economic impact the industry has had our community over the past two decades. One challenge to this endeavor has been identifying just how far reaching this impact really is throughout our economy. The reported Bed Tax Collections for Key West in February, 2020 were $2,638,224 which was 8.2% higher than the same period in 2019. In April of 2020, Bed Tax Collections were just $63,790, 97% less than April 2019. The Bed Tax Collections have increased every year since 2009 with the lone exception of 2017.

The average daily rate (ADR) was reported at $408.44 for February of 2020, representing a 8.8% increase from the ADR of $375.33 posted in February, 2019. In March 2020, the ADR dropped from $385.73 in 2019 to $374.02. Never before February 2020 had Key West seen a ADR above the $400 mark.

Through the first two months of 2020 Key West hotels were reporting all time highs in occupancy rates, average daily rates, and revenue per available room. Since the shutdown began in middle of March all economic activity had become mostly non-existent until June.

The closing of most hotel operations at the end of March 2020 and extending into June is going to represent the longest period of inactivity Key West has experienced in modern times. When the Bed Tax numbers for the Month of May are released in July, they are unlikely to to show any increase.

-

10,000

20,000

30,000

40,000

50,000

60,000

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Dep

lane

men

ts

Source: Key West International Airport

Key West International Airport ArrivalsJanuary 2015 -May 2020

2015 2016 2017 2018 2019 2020

Airport closed 9/8-19/2017 for Hurricane Irma

July Chowder KW Air Data 1 of 1

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Page 7 July 2020Chamber ChowderVol. 23, No. 5

Key West Employment Environment vs. Florida & the U.S.

Key West Compensation & Wages

2020 Salary Changes Private Public Private Public Receptionist -4% 1% Front Desk Clerk -2% N/A Accounting Clerk -24% 4% Cashier 0% N/A Maintenance Worker -11% 10% Operations Manager -1% -2% Auto Svc Technician 71% -1% Network Administrator 39% 2% Line Cook 5% 0% IT Manager 15% 5% Human Resource Manager -2% 7% Chief Financial Officer -2% 15%

Key West Benefits & Time off

Key West Wage & Benefit Survey

Annual Employment EnvironmentThe Key West Chamber of Commerce continuously monitors, compiles, and analyzes economic data;

generating local economic data through surveys of its over 500 members.

www.KeyWestChamber.org

Compensation rises 9.1% for Private sector and 2.1% for Public sector; compared to 3.6% and 2.5% seen last year. While the Private sector continues to reflect bonuses, a 5.8% increase is still seen in base salary via merit, COLA and across-the-board adjustments affecting everyone.

Healthcare coverage decreased to 73% of the private sector workforce; while subsidies from private employers edge higher. Time off decreases by one day from last year's levels.

The 2020 survey conducted this spring provides extensive information reported across ten business sectors and all major public entities; including the specific benefits, such as the amount of paid time-off (holidays, vacation & sick time), medical care coverages (health, dental & vision), and retirement policies, as well as job-specific wages for well over 100 positions. Detailed wage data includes range & actual pay by quartiles, mean, and median for the private sector along with each public entity. To purchase, call 305-294-2587.

10₵

The 2020 survey received 79 private and 13 public responses covering 6,254 employees in the Florida Keys

Responses from KWCC Wage & Benefit Survey conducted January-March, 2020; KWCC BES conducted March 18- 31, 2020

#3 in the Nation for biking to work

15% of workers bike to work

8% of workers walk to work

Retail 11%Education 10%

Accommodations, 30%Food Svc, Entertainment

Key West Employmentby Sector

70% Private 16% Government7% Armed forces7% Proprietors

Key

Wes

t

$8.56 per hourFlorida raised minimum wage 1.1%effective January 1, 2020

higher than the Federal minimum wage of $7.25

by Industry

Change in mean salary between the 2020 and 2019 surveys, for selected sampling of job positions

52% of Private sector workforce has access to a 401(k)up 5 points from last year

Prior to March, 2020 the Key West employment environment continued to tighten increasing vacancy rates and shrinking both the quality and depth of the applicant pools. With unemployment hovering around 1.9% there was simply not enough hirable people looking for jobs. The Florida and National unemployment rates had been following the same trajectory with the county and state rates particularly, closing the gap on Key West. Thus the labor shortage being felt in Key West was also being experienced on the county, state, and federal level. For years Key West benefited from having both an abundance of jobs and comparatively high paying jobs. While the compression of the labor market had increased wages locally, it wasn't enough to attract a regular pool of applicants from elsewhere.

Sources: Bureau of Economic Analysis; US Bureau of Labor Statistics; FD Health - MC; www.factfinder.census.gov

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Page 8 July 2020Chamber ChowderVol. 23, No. 5

Gulf Atlantic Bank2222 No. Roosevelt Blvd.

Key West, FL 33040 305-394-5100

www.gulfatlanticbank.com Gulf Atlantic Bank is offers a Full-Service Banking

experience, with focus on customer service, Top Tier online and mobile banking with bill pay, account to

account transfers, Secure Cloud based storage systems – enable us to be up and running in case of hurricanes, In house underwriting and servicing, and dedicated staff.

Florida Keys Society Human Resource Management

1200 Fourth Street, #101, Key West, FL 33040305-293-6024 https://flkeysshrm.shrm.org/

Contact: Marianne Magner Florida Keys SHRM offers professional development, discussion opportunities and networking with professionals in small, mid-sized and large

organizations facing the same challenges.FLKSHRM seeks to elevate the Human Resources profession and create better workplaces by providing our members and community with professional development opportunities and resources. Through our monthly meetings we aim to provide our current and future members with quality educational programming. In addition, we support our members, local Human Resources professionals and small business owners through SHRM certification study groups, networking opportunities, and more.Our chapter has more than 40 professional members representing over 30 local employers, ranging from hotels, utility, county, city, education, and financial institutions as well as business partners. Our educational programs are held once a month, typically every second Wednesday of the month. The

community is invited to attend our meetings. Florida Keys SHRM operates under the guidance of the HR Florida State Council and is an affiliate chapter of the Society for Human Resource Management (SHRM). SHRM creates better workplaces where employers and employees thrive together. As the voice of all things work, workers and the workplace, SHRM is the foremost expert, convener and thought leader on issues impacting

today’s evolving workplaces. Visit our website for more information and the most

up-to-date schedule of meetings events: https://flkeysshrm.shrm.org/

Kill the COVID 19 Virus 2807 Linwood Ave

Cincinnati, OH 45208513-702-5672

www.killthecovid19virus.com Contact: Mark Heidrich

Kill the Covid 19 Virus provides products to get your business back to work without risk of downtime. XFORCE disinfectant spray formula is EPA-certified kill the COVID-19 virus, along with other viruses. By having this EPA-approved formulated product, it will help achieve your back to business plan and maintain the health and protection of your employees, customers, and guests to your workplace. Contact them

directly for more information.

Miles Partnership D/B/A: SEE Magazines

PO Box 4913Key West, FL 33041

941-342-2300 or 800-683-0010https://www.milespartnership.com/

Contact: Jason Wolz or Jackie HarderSince 1975 SEE Key West has been a trusted source of information for millions of Key West visitors each year. As a division of Miles Partnership, a leading strategic travel marketing consultancy, SEE Key West is able to provide clients with 45 years of local experience paired with best in class insights

and travel marketing practices.

Party 105.7/WGAY-FM524 Front Street

Key West, FL 33040305-296-9968

www.keysparty1057.comContact: Michael Stapleford

Party 105.7 WGAY FM- FLORIDA KEYS boasts a “unique mix of Dance/Club/House Music and Classic Hits From The Disco ‘70s

to Today’s Club Faves” listen to them live https://onlineradiobox.com/us/

party1057/?cs=us.party1057&fbclid=IwAR32RAG1jm1NYldoEizUNrucfTyIwKrL-MYxNgXtwwdsbSYoDjhV8Rqy8io

Rams Head Southernmost 804 Whitehead StreetKey West, FL 33040

305-440-3196www.ramsheadsouthernmost.com

Rams Head Southernmost is located on the corner of Petronia and Whitehead, in the heart of the historic Bahama Village. Shaded by old growth trees and beautiful tropical plants, this location has been a local meeting place for decades. We strive to keep that spirit alive by offering a personal experience

to all of our patrons.

At Rams Head Southernmost - There is so much to enjoy: We serve up great island inspired dishes, craft cocktails, wine and beer.We have Key West’s largest self-serve Bloody Mary Bar, open all day and all night long. And we host Live Local music by the incredible musicians

that give Key West it’s own unique rhythm.

If you are looking to relax, Rams Head Southernmost has you covered. Great island vibes, history, music, food, and drinks await

here in Key West.

Welcome New Members!

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EXECUTIVE COMMITTEEGreg Sullivan, President

Waste Management/305-434-9140Melissa Kendrick, First Vice President

Mel Fisher Maritime Museum/305- 294-2633Cara Higgins, Second Vice President

Cara Higgins Law /305-294-6030Joe Caso, Treasurer

Caso & Company/305-453-6378Diane Schmidt, Secretary

Margaritaville Key West Resort & Marina/305-292-4350

Michael Morawski, Past PresidentHemingway Home/305-294-1136 5

David Clay, AppointeeLower Keys Medical Center/305-294-9200

John Toppino, AppointeeCharley Toppino & Sons/305- 296-5606

Mark Rossi, AppointeeRick’s/Durty Harry’s Entertainment

Complex/305-296-5513Scott Atwell

Executive Vice PresidentKey West Chamber of Commerce

305-294-2587

CHAMBER STAFFScott Atwell

Executive Vice President

Edward Dawicki, IIIDirector of Research

Kerry BakerMembership Director/Special Events Coordinator

Dorothy SchmidaAdministrative Assistant

Gladys Clarks, Lily WilliamsonTourist Information Receptionists

Scott AtwellNewsletter Editor

Cindy JeffersonArt Director

Karrie BondSocial Media Director

July 2020Business After Hours

Date: Tuesday, July 21, 2020Time: 5:30 p.m. – 7:30 p.m.

Sponsored by: Benihana Key WestLocation: 3591 South Roosevelt Blvd

Members Networking Event!

General Membership MeetingDate: Wednesday, July 22, 2020

Time: NoonLocation: Key West Marriott Beachside

3841 North Roosevelt BlvdSpeaker: WPLG Hurricane Expert Bryan Norcross

Key west Chamber Calendar of events

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Pinterest, or Instagram