May 22, 2012

State’s unemployment rate now 2nd lowest in USA

Nebraska’s jobless rate has fallen again — to its lowest point in several years.

State labor officials say the unemployment rate has finally dipped below 4%. For April, the rate reached 3.9%.

That’s down one-tenth of a point from March and is the lowest number of Nebraska jobless since December of 2008.

The national unemployment rate also fell a-tenth of a point to just above 8%, which is more than twice Nebraska’s rate.

Officials say Nebraska’s jobless rate is now the second-lowest in the country, behind only North Dakota, which fell to 3% even.

 

Study: Hunger & poverty hit harder in Midwest’s rural areas

Despite being the breadbasket of the world, a new report shows poverty and food insecurity are rising faster in rural areas of the Midwest than in urban areas.

The report from the Center for Rural Affairs covers Nebraska and nine other states. Report author Jon Bailey, the center’s research director, says the poverty comes from scarce jobs and paltry salaries.

“The jobs in those communities tend to be low-paying jobs,” Bailey says. “So when you add together low pay for the opportunities that are there and then a lack of opportunities, that’s going to lead to economic challenges like poverty and food insecurity.”

Bailey’s report finds rural people who were food insecure accounted for nearly 13% of the region’s population in 2010. Rural children who were food insecure accounted for almost 24%. He says that issue needs to be addressed.

“Rural communities are going to have to work on the access to food in their community and then create an economic climate that allows people to live there and afford what they need to live on in those communities,” he says.

Bailey says one of the best ways to help rural areas is through the federal Farm Bill, but he says prospects don’t look good right now.

“Unfortunately, in some of the early versions of the Farm Bill, there is literally no funding for initiatives that would help that through the rural development section of the Farm Bill,” Bailey says. “We need to change that. We need to have rural communities help put an emphasis on the need for investment in their futures and in their economies to help create those better and well-paying jobs.”

The Center for Rural Affairs is based in Lyons, Nebraska. The full report can be found at www.cfra.org.

By Jerry Oster, WNAX, Yankton

Rural post offices to remain open but for as few as 2 hours a day

More than a hundred post offices in Nebraska that were on a list for possible closure will remain open, but with limited hours.

This week’s decision from the U.S. Postal Service follows months of backlash from rural residents at public meetings.

USPS spokesman Rich Watkins says Nebraska’s smallest post offices, if they’re still open, will remain open under the revised plan.

“We’ll keep the post office there, the zip code and the community identity,” Watkins said. “There will still be a postal service employee there, but due to the declining workload, it would be open two, four or perhaps six hours a day.”

The revised plan is expected to save the USPS $500-million a year.

Watkins said the “multi-phased” strategy would be implemented over a two-year period, through September 2014.

Around 13,000 post offices around the country are included under the new plan, including 111 post offices in Nebraska.

Watkins said the reduced hours are needed to address an ever-decreasing mail volume.

“We have to better match our workforce in the facilities that we maintain with a declining work load,” Watkins said. “Going forward, we think this strikes a healthy balance for both our customers and the postal service.”

The Postal Service initially proposed the closings as part of an effort to stem a flow of red ink, now totaling $8.5 million a year. Mail volume has dropped by 43-billion pieces — a 20% decline — as Americans switch to email and online bill paying.

Report: Forget gloomy forecast of $4/gallon gas by Memorial Day

AAA predicted we’d see gasoline selling in Nebraska at $4 a gallon or higher by Memorial Day, but a new government report is forecasting much cheaper prices.

The U.S. Energy Information Administration now estimates the national average price this summer will be $3.79, even lower in the Husker State.

Rose White, at AAA-Nebraska, says pump prices have been steadily falling for weeks.

“As this industry is, it’s very unpredictable, but certainly this latest news is welcome news for all motorists,” White says. “Oil prices are down about 9% in the last six days. In fact, for the last 23 days, retail pump prices have declined.”

Nebraska is seeing gas prices averaging $3.66 a gallon, about nine-cents below the national average. She says prices will still likely rise as the summer approaches, but not as high as they’d first thought.

“Based on what we’re seeing now, which is an improvement in supply levels and economic concerns that are driving down crude oil prices, the combination of factors certainly is reversing earlier projections,” White says. “Right now, we’re expecting prices to stay right at that $3.70 level for many of the summer months.”

Between January and April, gas prices nationwide rose a whopping 20%. Some politicians blame President Obama for the increase, but White says that’s not a legitimate claim.

“It’s hard to put the blame on any one organization, industry or country, certainly not on one person,” White says. “It’s a global issue, based on supply and demand.”

Oil prices have dropped about $8 a barrel since early April. Nebraska’s current average gas price of $3.66 a gallon is down from $3.96 a year ago.

Nebraska Lottery sales hit the jackpot

The first three months of 2012 was a record-setter for Nebraska Lottery sales. The months of January, February and March brought in $44.7 million.

Nebraska Lottery spokesman Neil Watson says they believe three factors contributed to the record high sales. There was a historic mega-millions jackpot of $640-million and changes were made to the power ball game last January. He adds their line up of scratch games is very strong and those factors contributed to high sales.

Nebraska Lottery proceeds benefit the environment, education, the Nebraska State Fair and compulsive gambler’s assistance. $10,028,135 was transferred to those beneficiaries this week.