Because of the coronavirus pandemic, the major summer events and early fall events that draw hundreds of thousands of people to Grand Island have been canceled. The latest victim was the Harvest of Harmony parade, canceled Thursday by the Grand Island Chamber of Commerce.
A large part of Grand Islands economy is the reputation it has developed during the years as a destination community. Events ranging from Harvest of Harmony, Husker Harvest Days and the Nebraska State Fair to national livestock shows, national 4-H shows and the annual crane migration have all taken economic hits this year because of COVID-19.
As a destination community, visitors, along with locals, like to eat, drink and dine at many of the communitys restaurants and bars. But due to the health restrictions placed on those establishments because of the virus, they were not allowed to have customers when directed health measures were the most severe. It has been only in the past month that health restrictions have eased, allowing people again to eat and drink out.
A good indicator of how the food and beverage industry in Grand Island is doing is the citys collection of its food and beverage tax from those establishments.
According to Cindy Johnson of the Grand Island Chamber of Commerce, Junes food and beverage tax revenues were $171,799, compared to $201,786 collected in June 2019. That is a 14.86% decline.
Johnson said that looking at year-to-date figures for this year, the food and beverage tax revenues have been $1.637 million, compared to $1.757 million for the same January-through-June period last year. That is a 6.8% decline.
Revenues, while still down, were significantly better (as a percentage) than April and May, she said.
April and May were when restaurants and bars could not serve customers in their establishments. Many improvised to keep some revenue flowing, especially as the government was paying many of those businesses to keep their employees. They implemented curbside pickups, some had drive-thru windows going and others were delivering food directly to their customers.
Considering the effect the pandemic was having on the communitys businesses, having food and beverage taxes down by less than 7% is a testament of those businesses resiliency, as food supply chains to restaurants were severely disrupted.
Looking at labor force numbers for the Grand Island market area, Johnson said the unemployment rate was 7.6%. Last year, during June, it was 3.3%.
She said that Junes workforce in Grand Island was 44,571 people, of which 41,175 people were employed.
Hall Countys initial unemployment insurance claims dropped to 128 the week of July 18, Johnson said. That compares to the highest initial unemployment insurance claim total of 940 in April.
As the federal COVID-19 relief package (which provided an additional $600 per week in unemployment benefits) and the executive order waiver of requiring work search come to an end (slated for Aug. 1), we expect to see more unemployed individuals return to the workforce, Johnson said.
She also reported that building permits for residential construction so far this year total $12.642 million, with 86 permits. That compares to $12.682 million for 76 permits for the same period last year.
For commercial building permit valuation for January through June, three permits have been issued for a valuation of $4.383 million. Last year, during the same period, there were six permits for $11.62 million in valuations.
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Grand Island food and beverage tax revenues down 7% for the year - Grand Island Independent
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