Technology helps Boise, Pocatello score high on lists-Both cities are in top 10 in Forbes Magazine tally

Looking for a town to start a business or a career?

You´d be hard-pressed to outdo Boise or Pocatello, according to the
fourth annual Best Places for Business and Careers published in the
May 27 edition of Forbes Magazine.

Michael Journee Idaho Statesman

Both cities placed in the top 10 in their respective population
categories — largely because of their robust high technology
presence.

Making “best lists” is becoming old hat for Boise, which has accolades
from several groups in topics such as the “Ten Best Cities To Retire”
and “Hottest Tech Cities.”

Boise´s showing in the No. 6 spot of the Forbes Magazine/Milken Institute ranking of 200 large
U.S. cities was the Idaho capital´s third consecutive year on the list´s top 10.

California cities took six of the top 10 places, but several of last year´s best finishers were
missing this year.

San Jose, Calif., placed first last year, but was 61st this time. San Francisco fell from third to
54th. The reason? “Industrial diversity within a metro area during a down economic cycle is
critical,” Forbes quoted Ross DeVol, director of regional studies at the Milken Institute.

The Forbes/Milken list relies on the government data for employment and wage growth during
one- and five-year periods. Analysts at the Milken Institute, based in Santa Monica, Calif., also
look for shifts within the technology sector, weighing one- and five-year changes in gross tech
output, technology output as a percentage of the total metro economy and the diversity within
tech industries.

This year, the institute added a new “job momentum” category tracking employment during the
first quarter of 2002 to gauge how metro areas were handling the effects of Sept. 11 and the
slowing economy in 2001.

For Boise´s continued high ranking, the key has been the contributions of Micron Technology
and Hewlett-Packard.

“We´re very fortunate to have those companies and their spin-offs,” said Shirl Boyce, the
Boise Metro Chamber of Commerce´s vice-president for economic development.

The city´s concentration of high tech jobs, job growth and across-the-board salary growth
have outstripped the national averages in those categories during the past five years,
according to the report.

Another significant factor in Boise´s favor was the portion of the local economy accounted for
by the high tech industry.

Exact figures were not available from Milken, but Boise´s high tech gross domestic product
grew 41 percent faster than that of the nation at large during the past five years, said Frank
Foglebach, who headed up Milken´s research efforts for the report.

Overall economic growth has slowed in the past 12 months, according to Milken, but the
report affirms economic predictions that Boise is well positioned for the coming economic
rebound.

“Other metros have dropped off in growth, and Boise is not an exception to that,” Foglebach
said. “But its relative growth is still very good growth.”

For Pocatello business leaders, who are trying to work through the city´s gradual transition
from a blue-collar railroad town to a tech-based economy focused around the Idaho State
University campus and a few growing tech companies, the recognition was more than a
pleasant surprise.

“You can´t help but be excited about it,” said Tim Anderson, the Pocatello Chamber of
Commerce´s executive director. “It presents us with great opportunity.”

Pocatello debuted at No. 8 out of 96 small cities in this year´s study, despite not making the
list at all in previous years.

The quick ranking surge was largely because of the relocation of AMI Semiconductor´s
headquarters, local business leaders said.

Although a staple of the community for years, the 1,200-employee AMI — formerly known as
American Microsystems Inc. — decided last year to move its headquarters from California to
Pocatello.

Coupled with the birth of several private company spin-offs from the Idaho National
Engineering and Environmental Laboratory as its services are slowly privatized, AMI´s
relocation has helped Pocatello´s tech base grow significantly in recent years.

Often overlooked by potential employers in favor of larger, more visible towns, Pocatello
officials hope to make hay with their new designation.

“It´s a great opportunity for us from a marketing stand point,” said Ray Burstedt, executive
director of Bannock Development Corp., the Pocatello area´s economic development agency.

To offer story ideas or comments, contact Michael Journee
[email protected] or 208-377-6465

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