Columnists

Throughout the past decade, America’s Aviation and Aerospace industry has consistently been atop the list of U.S. export sectors and trade surpluses. Yet, there is a looming shortage of qualified professionals on the horizon for this major driver of the U.S. economy. Much of this is demographically driven, as the Baby Boomer generation is fast approaching retirement age. However, some of the drivers are systemic as well and exacerbated by recent government regulations.

Although affected sectors include Engineering and Air Traffic Control, one of the most acute impending shortages is that of airline pilots. Recognizing this, during the past few years, the FAA has successively extended the mandatory retirement age for pilots: first from 60 to 62, and then from 62 to 65. The agency will only be able to kick that can down the road for so long, though, eventually having to fill vacancies with a new generation of aviators. Contradicting this predicament, as of Aug. 1, the FAA instituted new rules that mandate even a First Officer (copilot) must have an Airline Transport Pilot Certificate (or ATP) requiring 1,500 hours of flight time. Previously, this certification was only required for captains; first officers, if properly qualified and certificated, could be hired with less time based on the quality of the applicant and the policies of the airline.

Airlines are also seeing fewer qualified applicants applying for open positions, potentially as a result of the higher standards for hiring. American Eagle, a major regional airline, said recently that between 2011 and 2013, it saw its applicant pool fall from 500 (of which it offered employment to 53 percent) to 100 (of which 35 percent were qualified to be offered employment).

There is hope, though. Graduates of a premier collegiate aviation program can qualify for a restricted ATP allowing them onto the flight deck at only 1,000 hours, with several other reductions in mandatory hour thresholds, because of the exceptional quality and standards of these particular programs.  Currently only four institutions nationwide qualify for this distinction, two of which happen to be the Embry-Riddle Aeronautical University campuses – one of which resides here in Prescott.

Aviation and Aerospace are exciting, cutting edge, and well paid careers for young people. If you know of someone expressing an interest, please encourage him or her to pursue this interest at a university such as Embry-Riddle. Their country needs them! QCBN

Bryan Dougherty is dean of enrollment management at Embry-Riddle Aeronautical University. For more information call 800-888-3728, or visit Prescott.erau.edu.

Return with us now to those thrilling days of yesteryear. I’m referring to the good times when home prices rose steadily throughout the middle of the last decade. Homeowners beamed at the appreciation that built up year after year.

Then, the bottom dropped out around 2006 and everyone was feeling a little foolish for assuming the boom would last forever. Speculators got into a feeding frenzy as many homeowners were forced to sell at a loss. When would things get back to normal… whatever the new “normal” is?

Over the past year, light has been seen at the end of the tunnel and it’s not an oncoming train. The average sales price of homes in the Prescott area has steadily risen, although they are not yet approaching the heights before the Great Recession. Today’s fair prices, good inventory and still affordable interest rates make a recipe for success. Simply put, the “Affordability Index” (Current Home Prices + Interest Rates + Inflation Rate) says the time to buy is right now.

You might give consideration to your two options when looking for a new real estate investment – build or buy an existing home.

Buying an existing home lets you avoid the hassles of new home construction. Mature landscaping and neighborhoods closer to everything make for a combination that is sure to please from day one. Plus, you can talk with the current neighbors and find out what drew them to there in the first place.

Building a new home from the ground up takes time and additional expenses, but you do get what you want. It’s your choice. If a new home has always been your dream, we can help you with that, too! No one knows Prescott and its surrounding communities like the more than 80 realtors we have in our offices.

In my almost 40 years in the real estate industry, I have seen great markets come and go, yet one thing has always been a constant: the market eventually bounced back from bad times even stronger than what was expected by many experts. Check out Realty Executives of Northern Arizona’s current listing online. It contains all the tools and information you’ll need to make a wise decision. Find it all at www.realtyexecutivesaz.com.

Don Bonnell, broker and owner of Realty Executives of Northern Arizona, represents nine separate offices and manages more than 130 real estate professionals. His background covers the full spectrum of real estate management positions.

Prior to joining Realty Executives of Northern Arizona, he held senior positions at several other nationally known real estate brokerages.

His areas of specialization include turn-around management, real estate operations, sales training and ancillary services implementation.

You may have noticed a lot more new homes sprouting up recently. Residential construction activity has increased substantially in the last year or so, driven by rebounding home values, low interest rates and homeowners’ desires to live in homes custom-tailored to their needs. If you are considering constructing a new home, you’ll have a lot of decisions to make, including choosing a bank and construction loan program to fund the cost of construction.

A construction loan differs from the typical long-term, fixed-rate mortgages with which you may be familiar. Conventional mortgages are fairly homogenous and easy to compare. Once you obtain the mortgage, you typically have very little interaction with the lender, aside from making your payments every month. Conventional mortgages are often sold on the secondary market and you may end up making payments to several different lenders over the course of your loan.

With a construction loan, your lender will be substantially more involved. Loan proceeds are typically disbursed directly to your contractor through a series of draws against the loan based on a pre-determined draw schedule agreed upon by you, your contractor and the bank. Each draw will require an inspection by the bank to ensure the progress on the home is adequate for the amount of the draw requested. Some banks manage the draws out of centralized facilities, often located in other cities or states, while some manage the draws out of local branches. It is important for you and your contractor to fully understand the draw process, including who approves the draws, how long the draws take, and who you will talk to if issues arise. Working with a lender that you trust and can easily communicate with will help the construction process go more smoothly. Your contractor may be able to give you feedback on which banks have been easy to work with.

Some construction loans are short-term and intended to provide financing for the construction period only. Upon completion of the home, these loans are refinanced with conventional “permanent” mortgages at the prevailing rate at the time of refinance. These are often referred to as “two-time close” loans. The primary advantage to this type of loan is that you will have access to the long-term, low rates offered by conventional mortgages upon completion of construction. The drawback, however, is that you will not know what the terms of the permanent mortgage will be until after construction is complete. You will also have to pay certain closing costs, such as title and appraisal fees, both when you get the construction loan and again when you refinance the loan.

Other construction loans, often referred to as “one-time close” loans, provide a combination of construction financing and permanent financing in a single loan. These loans are attractive on the surface because of the convenience of not having to refinance the construction loan and the associated cost savings, but you will need to pay close attention to the details. Some of these loans convert to permanent financing at terms that are not attractive compared to conventional mortgage offerings. They may have a higher rate or carry an adjustable rate that many borrowers prefer to avoid. These one-time close loans may also have much higher up-front fees that outweigh the cost savings of the single close. It is not uncommon for people to get a combination construction/permanent loan and then realize after construction that they would be better off refinancing into a conventional mortgage anyway.

Whichever loan structure you choose, a down payment of 20 percent of the project cost will typically be required. You can usually include any existing equity in the land toward your down payment, though some banks may limit the amount of equity created solely by value appreciation that you can use. An “as complete” appraisal on the proposed house and land will be ordered prior to origination of the construction loan to verify that the value of the proposed house is at least as much as the project cost. If the appraisal is less than the project cost, the bank may adjust the loan downward.

Building your dream house can seem like a daunting task. Talk to prospective lenders early in the process to find out their specific loan terms, requirements and timelines. You’ll want to have your financing in place before any work is completed on the home. Choosing the best contractor and lender for your needs will help ensure the process is as smooth and rewarding as possible. QCBN

Country Bank is a full service community bank serving Yavapai County with offices in Prescott, Prescott Valley, and Cottonwood. Ryan Glennan, NMLS # 478327, is a vice president of Country Bank specializing in commercial lending and residential construction loans. Please visit www.countrybankaz.com or call 928-443-9595 for more information.

1. All insurance policies are the same.

The truth is: Policies vary greatly. Will replacement parts be original or aftermarket? What is the valuation of your vehicle? Which drivers are covered and excluded? What happens to coverage when you cross state lines? Is customization of your vehicle covered or not?

These questions and many more must be addressed for the consumer to understand the value of their policy. I have two recommendations for shoppers. One, do not shop by price alone.  Two, do not take your neighbors’ advance – the particulars of the situation make all the difference. Take the time to sit down with your insurance professional and ask questions.

2. I have complete coverage in a rental car.

The limits of your own policy still hold. You have the same coverage, same deductible and same liability limits. Differences, however, exist in how total losses are settled. The majority of policies cover only depreciated value (ACV), while rental agreements require full value or new car replacement. Read the rental agreement carefully, as a violation as to who can drive the rental or where it can go could make all insurance void. To play it safe, purchase the rental company loss or material damage waiver, which will make the rental company responsible for their car.

3. All Homeowners’ Policies are the same.

In actuality, there are eight different forms of homeowners’ policies and there are five different methods of loss settlement. Many policies depreciate the value of roof and flooring over time. Typical exclusions include flood, earthquake, mold and determination over time, to name just a few.

Always consult your agent to be sure your expectations and policy coverage match.

4. Term life insurance is always less expensive than permanent.

Not necessarily. There are two distinct types of life insurance. They have their place both individually and in combination.

Term life insurance is purchased to provide coverage for a certain period of time (the term). Usually both premium and coverage remain static throughout the term and at the end of the term the policy just ends. The premium of the term policy is less than a permanent policy but offers no living benefits unless the insured expires during the policy period.

Permanent life insurance is designed to last until at least age 100. The premium typically remains level, which pays for the death benefit. These premiums include extra funds that are deposited in a cash accumulation account portion of the policy. Over the years, as the cash grows, these moneys may be borrowed or surrendered. In many cases one may get back the entire premium while still keeping life insurance coverage in force forever.

Again, an experienced life insurance professional can help create a plan to best serve your needs and your budget and place the coverage with a strong reputable company. QCBN

Jeffrey Champ, CIC, LUTCF, of Farmers Insurance has been in operation for more than 24 years. He has two offices (Prescott and Chino Valley) fully staffed by licensed professionals. Contact him at 928-778-5854 or 928-636-2700. His offices are located at 339 W. Butterfield Road, Chino Valley, AZ 86323 and 1265 Gail Gardner Way, Suite A, Prescott, AZ 86301.

Arthritis is the leading cause of disability, reduced quality of life and high health care costs in the United States. The main symptoms of arthritis are joint pain and stiffness, typically worsening with age, and are caused by an inflammation of one or more of your joints. Of the 46 million Americans who suffer from arthritis, nearly half say that arthritis limits their normal day-to-day activities.

Most arthritis sufferers may not think of massage when they start to explore alternative therapies to ease pain. Like many other chronic pain clients, those who suffer from arthritis may initially be apprehensive about touch. The biggest fear for most is that they will feel more pain or risk greater inflammation.

Before introducing massage into your routine for arthritis relief, take these key elements into consideration:

Massage brings relief. Arthritic joints will not “heal” completely with massage, but they can feel better. Recent studies on the effects of massage on arthritis symptoms have shown that ongoing massage can lead to improvements in pain, stiffness, range of motion, hand/grip strength, lower anxiety and overall function of the joints.

Massage is not medicine. It is a complement to your doctor-prescribed arthritis treatment. Massage should make your arthritis pain and stiffness feel better, not worse. You should enjoy experiencing a massage, and it should not increase your pain or anxiety.

Communication is key. Communication with your doctor and massage therapist beforehand can ensure that massage is right for you and will help you achieve beneficial results. If you have arthritis, it is especially important to find a therapist who communicates with you about your symptoms. Tell your therapist you have arthritis, and be as specific as possible as to where your arthritis affects you – for example, your knees, hips or back – so that they can use care when applying massage to those areas, or avoid them all together. This ensures that your therapist properly understands your tolerance level and that you receive a massage that is both relaxing and therapeutic. QCBN

Written by Mark Love.

Mark Love is the owner of Massage Envy Spa Prescott. For more information on the benefits of massage, visit MassageEnvy.com.

For additional information or to schedule an appointment with a massage therapist, visit massageenvy.com, call 928-778-ENVY (3689), or visit one of Arizona’s 35 Massage Envy Spa locations including. The Prescott location is at 120 E. Sheldon St by the Prescott Albertsons Store.

Every day, more families are choosing solar energy for their homes. Across the state of Arizona, more than 500 systems are being installed every month. People are taking advantage of the 30 percent federal tax credit, as well as a $1,000 credit on their Arizona taxes and incentives from their utility provider.

The cost of solar has come down in the past couple of years while the quality and efficiency has increased. Today, solar systems are installed with a 25-year warranty on production.

Grid tied means that you would be connected to your utility and you would be billed under the Net Energy Metering rate. That means your meter goes backward when it is producing more electricity than you are consuming at the moment. This bank of credits builds during the day and you draw from those credits at night. The same principle applies year round. You build a large bank of credit during the summer, from which you draw in winter.

Of course, when you are grid tied and the grid goes down, your home is offline. Your home is offline for the safety of the lineman repairing the grid. A Generac backup generator that can operate on gas can be added to your system. This requires additional electrical equipment to keep your electricity isolated to your home.

There are several steps involved for you to enjoy the benefits of solar energy in your home.  First we need to see your kilowatt hour (kWh) usage for the past 12 months so a system can be sized correctly for your home. Then a detailed survey of your home is conducted. The designer will measure the available roof space; note the type of roofing material, potential shading issues and the orientation toward the south. They will look at your existing electric panel and determine a location for the inverter.

Next, a system will be designed to fit your home. Please note that in Yavapai County a building permit will not be issued to put solar on a manufactured home. In this case, your designer will look to see if a ground mount system or a carport mount is a good alternative for you.

Your solar sales representative will review the system with you and present the different options of financing available. After you have made your choice, the system will be ordered and a building permit will be applied for. The equipment will be shipped to your installer and installation will be scheduled.

When the system is installed, it will be inspected by the AHJ (Agency Having Jurisdiction). They were the department that issued the building permit. Then your utility will make an inspection.  When everything is verified to have been safely and correctly installed, you will be given permission to operate your system and your family will enjoy the benefits of renewable energy for a very long time. QCBN

Jim Evans is a sales consultant with SolarWorks. For more information visit him at the new SolarWorks office at the Gateway Mall, 3250 Gateway Blvd., Suite 548, in Prescott or call him at 928-499-4445.

Let’s put this question into perspective. Approximately 22 percent of online users are spending their time on social media platforms. The Internet has transformed the way we connect, therefore opening a door for the rapid growth of online marketing opportunities. As humans, we are empowered by the speed of discovery through our computers and mobile devices. Information is now at our fingertips, so why wouldn’t your business be a part of this technological movement?

Social media platforms have given a voice to small businesses in a competitive world. If executed correctly, your business will be able to access a larger customer base and implement strategies inexpensively. Using social media is entirely effective with a well-developed campaign. As a marketing and advertising manager, the social media aspect of our services has grown exponentially over the last four years. Not only are more businesses participating in social media, they are utilizing three or more social media platforms to promote their business. Each social media network captures a different audience, with some crossover, but this practice allows your company to explore its options for reaching your preferred market.

Before you begin your adventure exploring the platforms that are best suited to serve your company’s marketing needs, there are three guidelines I suggest every business follow. You may find it surprising that many businesses using social media marketing are not optimizing the full potential of these networking opportunities.

1. Social Media is a Commitment. Your online customer base wants to be involved with your service or product. It’s imperative that every business is managing their social media campaign on a day-to-day basis. You’ll be surprised to find that only 30 percent of businesses are responding to their engaged followers through social media.

2. Response Time. You’ll find that some of your online followers will contact you through social media rather than emailing or calling your company. Only 44 percent of businesses get back to their online consumers within 24 hours and 39 percent of businesses using social media are not managing their platforms at all! Remember, social media is a way to “connect.”

3. Create a Campaign. Every business should have a well-developed social media campaign before it begins. Ask yourself, “What is your goal?” “What is the call to action?” “How will you manage your social media platforms?” and “How will you track your results?” Your content must be relevant to your audience and more importantly, never overs hare. Over sharing is a sure way to lose your followers’ interest. If you choose to use multiple networking platforms, you can use a social media management dashboard like Hootsuite – there are plenty of other options from which to choose.

Now that you are aware of the guidelines, you should become familiar with the more commonly used social media platforms for business. The majority of companies worldwide are using Facebook and/or Twitter. Half of these companies use Youtube or LinkedIn. Thirty-three percent of worldwide companies have a presence on Pinterest or Google+, and other fast growing networks include Tumbler and Instagram. Like many business owners, time may not be something you have to give to social media. There are plenty of advertising agencies that offer these services and will develop a campaign specific to your company’s needs. However, if you choose to keep this task in-house, be sure you have truly compared your options.

Successful campaigns used for business are primarily about quality content. With any networking platform, you are still competing for the user’s attention, even after they have shown an interest in your business. At the end of the day, a company that has 500 engaged followers will better serve your company than having 1,500 followers that never engage.

Social media can be a wonderful marketing tool because it reaches an audience worldwide, it’s affordable, and it can build credibility. However, if you do not manage your social media presence properly, it can also hurt your business’s virtual appearance. Research your options, become educated – but do not wait another day to “catch up!” In the world of technology, if you are not keeping up, you will be left behind.

“How can you squander even one more day not taking advantage of the greatest shifts of our generation? How dare you settle for less when the world has made it so easy for you to be remarkable?” – Seth Godin (sethgodin.com) QCBN

Helken & Horn, founded in Prescott in 1995, has quickly become one of Northern Arizona’s – and Yavapai County’s – most visible and successful advertising agencies. Today, the Helken & Horn client list includes names of many of the Quad Cities area’s better-known and most successful businesses – and the list continues to grow. Contact Helken & Horn Advertising Agency at 928-776-0234 or visit www.azadagency.com.

Donna Werking has been a client manager at Helken and Horn Advertising Agency for over four years. Her responsibilities include proposal and contract development, social media management, event planning, marketing, client relations and more. Werking is well recognized for her work in the community and her proficiency has made her an asset to all businesses under her guidance.

It is hard to come to terms with Prescott becoming a city known to have experienced a “mega tragedy,” entering the ranks of community names like Newtown, Aurora or Boston. The death of Prescott’s 19 Granite Mountain Hotshots is – and probably always will be – one of the most significant and tragic moments in its history.

The loss was accompanied by many lessons, with more to come. One thing is certain – no city or town of any size is ever fully prepared to handle a “mega tragedy.” On one hand, we should be grateful that as a city we did not have experience handling such loss. On the other, even though it was a first for us, the entire community persevered, despite the vast emotional toll and seemingly insurmountable challenges we faced.

At this stage, it is critical for our community to move forward with a spirit of unity, respect and remembrance for the sacrifice made by the Granite Mountain Hotshots and their families. The many stories and lessons learned from this tragedy deserve a connection to the future that helps us to makes sense of what happened and to reflect on this experience in a way that motivates us to live our lives better.

Prescott is renowned for its preservation of the rich history and events that give our community its unique identity. One of our most important tasks at hand is finding an appropriate way to honor these men, their lives and families, and providing a place where our community can come together in grieving and healing.

Our next challenge is to develop and then build a permanent memorial through a process involving input from the Hotshot family members, the Prescott community and the City.

The City of Prescott has been researching how other cities have developed memorials in order to determine the best course of action. It is imperative for us to ensure the memorial planning process is handled properly so the resulting memorial is an enduring legacy that provides proper reverence so that future generations will appreciate the magnitude of this loss. While we cannot predict how long this process might take, it is important that it be well thought out and neither hurried nor delayed too long. A successful effort will require both leadership and the committed effort of many to work with a collaborative spirit through a delicate process.

Creating a memorial involves achieving balance in capturing all of the important historical aspects, each of which holds a varying level of significance to individual healing. Whether it is the tributes that adorned the wall at Fire Station 7, the candlelight vigil or the memorial service, all of the emotions, milestones and events that followed the tragic day of June 30 were essential to this event.

The most important design element of a future memorial will be to honor the legacy of the Granite Mountain Hotshots and express the impact of their loss on Prescott. There will be a range of emotions for each visitor to experience, but the resiliency of our community and the important lessons from this event should stay with them forever. QCBN

Marlin Kuykendall is the Mayor of Prescott.

Just as the temperature begins to cool, Northern Arizona is heating up as a wonderful place to live. The current decline in market absorption in Prescott has caused a drop in inventory, which allowed prices to go up. In short, more homes are being sold than are coming onto the market.  So now, you are wondering whether your ship has sailed. With all the turmoil of the last few years, it is often confusing to know just when is the right time to buy…or to sell, for that matter. It just makes sense to ask an expert in the field.

There is good news that the real estate market is stabilizing, both locally and nationally. Interest rates remain attractive, but the cost of borrowing money is inching up, causing the price of homes to increase. Potential homebuyers are discovering that stronger offers are necessary as inventory levels of well-priced homes continue to be somewhat of a problem. Buyers without a solid game plan and prompt notification of new listings are left on the outside looking in. Buyers are beginning to accept that the search for their dream home is more elusive than before. But if they are ready and willing to make a strong offer, they still can be successful – with the proper guidance.

Whether you are selling or buying, you need to carefully evaluate all of the data surrounding the value of any property so you can either price or bid accordingly. Check out Realty Executives of Northern Arizona’s current listings online. It contains all the tools and information you’ll need to make a wise decision. Find it all at www.realtyexecutivesaz.com. QCBN

Don Bonnell, broker and owner of Realty Executives of Northern Arizona, represents nine separate offices and manages more than 130 real estate professionals. His background covers the full spectrum of real estate management positions. Prior to joining Realty Executives of Northern Arizona, he held senior positions at several other nationally known real estate brokerages. His areas of specialization include turn-around management, real estate operations, sales training and ancillary services implementation.

In the past 35 years, Embry-Riddle Aeronautical University has established itself as the educational leader in aviation, aerospace, security and related industries. The campus occupies 539 acres near the Prescott municipal airport, and is currently enjoying a period of success and distinction. This year marks the largest enrollments to date on the Prescott Campus, which hosts more than 1,850 students hailing from all 50 states and over 30 countries. The campus’s average GPA and standardized test scores for its incoming class are the highest of any institution of higher learning in the state of Arizona, and the Phi Beta Lambda Business Club recently swept the state competition for Arizona universities for the seventh straight year. The men’s and women’s soccer teams and men’s golf team are the defending conference champions in the NAIA’s Cal Pac conference; and the men’s golf team was the NAIA Academic National Champion with a 3.733 overall team GPA. In addition, the Golden Eagles flight team recently won its second consecutive and ninth overall National Intercollegiate Flying Association (NIFA) national title. Embry-Riddle’s Prescott Campus has also been recognized by Affordable Colleges Online as one of only one percent of U.S. private colleges whose students earn a $1 million dollar return on their educational investment.

Within the last couple of years, there has been rapid growth at Embry-Riddle’s Prescott Campus. The athletic department has added the new intercollegiate sports of men’s and women’s cross country, men’s and women’s golf, and women’s softball to the existing programs in women’s volleyball, men’s wrestling, and men’s and women’s soccer. Academically, helicopter flight has joined the long-standing and world-renowned fixed-wing Aeronautical Science pilot training program (one in five pilots are Embry-Riddle graduates). Plus, Embry-Riddle has responded to national and private security needs by expanding on its unique and wildly successful Global Security and Intelligence Studies major with new majors in Cyber-Intelligence and Security, Software Engineering (with a cyber-security focus) and a master’s degree in Security and Intelligence Studies. Also, in order to help leverage its astronomical observatory and space physics major, a new major in astronomy has been added. Finally, a new degree in Global Business – complementing the only Aviation Business Administration major in the world – offers a five-year Bachelor-Master’s degree track in partnership with Thunderbird School of Global Management in Glendale, Ariz.

The recent growth has allowed Embry-Riddle to enhance the excellence it has always provided its students. It has upheld the standard for Aerospace Engineering – holding the #1 ranking by US News and World Report in this category 14 years in a row and since the category was created – with Electrical, Computer, Software and Mechanical Engineering also contributing to the College of Engineering, the largest of the three colleges on campus. Though continuing to grow, the university prides itself on small class sizes, faculty mentoring, state-of-the-art technology and hands-on-experience in the fields students study. Embry-Riddle is also a military friendly campus, with 10 percent of the students being veterans and an additional 20 percent being members of the Reserve Officers Training Corps who will graduate with a commission as officers in the U.S. military. In fact, Embry-Riddle provides more Air Force officers, pilots and rated flight slots than any institution except the U.S. Air Force Academy.

Embry-Riddle is a proud member of the Prescott community: hosting Town Halls and debates for U.S. Senators and Congressmen; educational lectures and programs that are open to the public; regional math and science competitions for school-aged children; public events like the memorial for the Prescott Hotshots killed in the Yarnell fire; and assisting with the annual City of Prescott Fourth of July celebration.

The public is always invited to visit campus to cheer on the athletic programs, participate in a community event, and/or tour the campus and meet some of these exceptional students. QCBN

Bryan Dougherty is dean of enrollment management at Embry-Riddle Aeronautical University. For more information, call 800-888-3728, or visit Prescott.erau.edu.