Columbia Economic Team abruptly shuts down

Columbia Economic Team (CET) abruptly announced the shuttering of its operations mid-December, laying off staff and closing its doors by mid-January. CET was a nonprofit organization focused on developing business and industry in Columbia County and featured membership and representation from leading businesses of industry and elected politicians. The organization was financially supported via paid membership and grants.

In addition to focusing on economic impact, such as recruiting companies to the area, CET also housed other organizations that provide critical support and resources for local business owners. These organizations include The Small Business Resource Center (formerly known as SBDC), Keep it Local Columbia County (KILCC), GRO Greater, and Columbia County Tourism.

A press release issued Friday, Dec. 19, by the Columbia Economic Team states the board of directors decided Tuesday, Dec. 16, to dissolve the non-profit and its sub-organizations, citing "financial and operational reasons,” according to a quote attributed to CET Executive Director Paul Vogel. The Port of Columbia County, Wauna Credit Union, and Columbia River PUD submitted letters formally withdrawing membership from CET following the dissolution announcement.

The sudden move has taken many in the community by surprise. Questions have emerged after the recent publication of a staff letter to the CET board of directors Monday, Dec. 8, announcing a vote of no confidence in the executive director. The letter requested replacment of the director and outlined a variety of concerns with specific examples. Staff was notified Wednesday, Dec. 17, that employment would end Thursday, Jan. 15, with dissolution of the organization commencing on that date, but employees received notice Wednesday, Dec. 24, of terminated employment as of Dec. 31.

Currently, there are no announced plans to take on continued operations but several county entities are exploring ways to continue the programs. The SBRC advised more than 450 local business clients and has hosted 50 business classes the past two years with more than 700 attendees. KILCC, which is largely self-funded due to paid listings and promotions within the directory, supports hundreds of local businesses, including the annual holiday program which concludes Jan. 17.

The GRO Greater program, which is funded via a grant through the Ford Family Foundation, is managed by the city of St. Helens, who contracted through CET for management. Representatives are allegedly looking to keep the program running. GRO Greater provides resources for rural entrepreneurs and has helped dozens of businesses secure over $650,000 in low interest loans and administered nearly $40,000 of dollars in technical assistance grants.

SBRC was not funded through CET membership dues which totaled over $160,000 in revenue and, instead, operated under state and federal grants. On Wednesday, Dec. 10, the USDA Rural Development program announced a $81,510 grant to the Columbia Economic Team to “launch a new effort to encourage economic diversity in Columbia County.” This project includes sector-specific advising for more than 75 businesses and training events, cohort-based programs, and additional support for business and industry in Columbia County. Status of funds and how they may be reallocated at this time is unknown.