Savannah Chamber

19 6 Due to the development of competing hubs elsewhere in Northeast Georgia as well as the growing share of retail dollars that is spent online, Athens' role as a major regional hub for shopping has been declining for many years. Another concern is that its information, financial activities, and professional and business services industries are undersized, and this could limit the impetus to the region's overall growth from these industries. The information industry in particular is shrinking relative to the overall size of Athens' economy. Augusta In 2015, Augusta's employment will increase by 2.1 percent, or 4,600 jobs. Strong performance of Augusta's services-producing industries, notably health care and private education are positives for the area's economy. The metropolitan area also will benefit from the construction of two nuclear power plants at Plant Vogtle. Fort Gordon has grown dramatically in recent years and adds substantially to the area's supply of well- trained, skilled workers. Moreover, the relocation of the Army's Cyber Command to Fort Gordon will directly create about 700 military and civilian jobs. Still, the base makes Augusta's economy somewhat vulnerable to future cuts in defense spending, especially since federal civilian and military jobs account for about 16 percent of the Augusta area's nonfarm earnings compared to only 8 percent for the state. Although Augusta's undersized information and financial activities industries spared the region from the restructuring that has plagued these sectors, it also may limit opportunities for renewed growth in those industries in 2015. Columbus On an annual average basis, employment will rise by 1.1 percent, or by 1,500 new jobs, which is a slight improvement over 2014. The regional economy derives a larger than average share of economic activity from three industries: financial activities, government, and leisure and hospitality. The Columbus MSA's regional economy is extremely dependent on financial activities, and we expect it to become even more so in the future. Hence, improving conditions for financial activities is a good sign. The area's economy also is very dependent on government spending – mainly due to the presence of Fort Benning, but this is expected to change. The restructuring of the federal government sector therefore constitutes a major headwind for this MSA. Courtesy of Fort Benning and a long list of attractions, the regional economy gets a relatively large economic boost from the hospitality and leisure industry, too, and this will continue to be true. The housing bust was not too severe in Columbus, but the housing recovery is not too strong. Nonetheless, more stable home values over the course of the business cycle did less damage to households' wealth and confidence, which should help in terms of new business formation and consumer spending. Lackluster short-term expectations for the region's housing recovery reflects expectations that the robust population growth that accompanied Fort Benning's expansion will slow dramatically over the next several years as defense spending winds down. Macon On an annual average basis, Macon's total employment will rise by 1.3 percent, or by 1,300 jobs, twice as many new jobs than last year. Macon's economy will benefit from its focus on transportation and logistics, financial activities, higher education, healthcare, and professional and business services. It also helps that the MSA is no longer overly dependent on manufacturing. Macon's role as a regional retail trade center will expand in 2015. Its central location makes the area a good place to host statewide meetings or conventions, but the region has yet to fully develop this advantage. Nonetheless, the hospitality industry will be a positive force for growth.

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