Cape Gazette (Published on July 25, 2011)
By Kara Nuzback
Rehoboth Beach, DE — Chip Flowers ran for the office of state treasurer on a platform of change. Now six months into his term, Flowers told members of the Rehoboth Beach-Dewey Beach Chamber of Commerce about the progress he’s made to improve Delaware’s economy.
Flowers spoke at the chamber’s monthly meeting July 13 at Kings Creek Country Club in Rehoboth Beach. Chairman of the Board Matt Turlinski introduced Flowers to about 40 chamber members. “Chip brings a fresh perspective on the financial issues facing Delaware,” Turlinski said.
Flower ascended to the podium of a small conference room overlooking Kings Creek Golf Course. He energetically talked about his first six months in office against a backdrop of recession, a tsunami and spikes in oil prices. “It has not been a typical environment to say the least,” he said.
Despite obstacles, Flowers said he has worked to redefine the state treasury and make the office more relevant and useful to Delawareans. “People obviously wanted to know more about the treasury,” he said.
Flowers said his administration revamped the Treasury Department website, which now provides information in real time. “We want to make sure we’re on top of things,” he said.
Flowers’ Early Warning System evaluates the state economy every 60 days and posts a color-coded rating on the website for residents and businesses to stay abreast of where Delaware’s economy stands compared to the national average. “Just because the national economy is doing bad doesn’t mean the Delaware economy is doing bad,” Flowers said.
The website provides information on regional unemployment rates, state investments and educational resources to help Delaware residents and businesses make informed financial choices. “When people make a bad financial decision, we all pay for it,” Flowers said.
The website also details a number of initiatives to improve the state’s economic climate. Flowers said he created the Office of Economic Policy, where he funds two young fellows using his personal salary. The office researches ideas and develops programs and initiatives to strengthen Delaware’s economy.
Flowers said the Support Delaware Initiative would mean the office only invests in businesses that plan to make an investment in the state and employ Delawareans.
The Delaware Money in Delaware Banks Initiative aims to put state funds in Delaware banks, so the banks can lend more money to small businesses, allowing them to hire more employees. “Why are we dumping your taxpayer money into another state so they can invest it?” Flowers said.
Out of $2.2 billion in state funds, a significant amount is invested in out-of-state banks, Flowers said. Under the initiative, he said he plans to start by relocating $250,000, and he hopes to increase the amount over time.
Jayne Armstrong, director of Delaware Small Business Administration, asked Flowers about his proposed Small Business Economic Recovery Program. Flowers said he worked with the Massachusetts Treasurer’s Office to develop the program, which would have invested $2 million in Delaware banks to allow the banks to lend the money to small businesses and aid in recovery from the recession.
Flowers said Delaware Cash Management Policy Board refused to implement the program because the board thought it was too risky. Massachusetts implemented the program, and it has been a major success in the state, Flowers said. “Now Delaware small businesses have to compete with Massachusetts small businesses,” he said.
Flowers said he realizes some changes will be difficult to make, but he will keep proposing ideas to put more money into the economy and create jobs. “They can’t say no to them all,” he said.
After the speech, Flowers received praise from chamber members. Dewey Beach Mayor Diane Hanson thanked Flowers for his interest and dedication to getting Delaware’s economy on track. Chamber President and CEO Carol Everhart said if she is the enthusiast for Rehoboth and Dewey Beaches, Flowers is the enthusiast for Delaware.
To view the Delaware State Treasury website, visit treasury.delaware.gov.
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