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Smaller satellite cities throughout the Midwest may have an advantage that they have yet to realize: strong bases for telecommuters. Cities such as Iowa City, IA; Albert Lea, MN; and Hastings, NE have this advantage, where over four percent of the city’s population works from home according to American Community Survey’s information from 2009. The average rates for larger metros tended to be in the mid 3% range. Here are a few Midwestern cities that were of note:

These cities have similar attributes: relatively small populations, mostly remote locations, and within 200 miles of a large metro. These characteristics may be a foundation for increased telecommunication in these cities. Could these cities one day become far-flung constituents of a larger conurbation?

For example, of the eight cities cited above, three of them could call Chicago their focal city. Other cities that act as cardinal municipalities in this list are Madison, Minneapolis, and Omaha. While millions from the labor force pile into large, over-populated metros throughout the Midwest for work, others may be able to find integral employment in these smaller regions, while still in close enough proximity to benefit from the larger markets.

Telecommuting may also have a positive affect on the quality of life of the individuals who take advantage of the opportunity. A smaller city often makes for lower costs, cheaper housing, less time driving from place to place, and more access to the community. On top of this, rising oil prices have less affect on the telecommuter. Furthermore, some of the cities listed are in an optimal location for natural amenities of the region to be factored in. For instance, Brainerd’s prime location amidst a plethora of lakes and forestry helps to add to the city’s natural lure, while remaining twice daily flight or a 130 mile drive to downtown Minneapolis. 

If these satellite cities can adapt to be friendly to telecommuters, they may be able to help strengthen the regional economies with a more specialized, more productive workforce. Businesses in the area must be inclined to initiate telecommuting as a part of their workforce and have trust in their workers. A smaller community may make this an opportune place for this, as it forms a more cohesive social unity amongst citizens.

If these smaller places can maintain reasonable air and telecommunications access, affordable housing, high-end schools and child care, and perhaps flexible small office space or business assistance for lone eagle entrepreneurs, these places could become hubs for this growing segment of workers.  However, the big incentive for those desiring and learning about telecommuting work may simply be the opportunity to do important work in their pajamas.

New data shows that the downtown areas of both Chicago and Portland (Oregon) are modestly dispersing and losing market share in relation to metropolitan area employment.

Chicago: The Chicago Loop Alliance reports that private sector employment in the Loop, the core of the Chicago downtown area, fell from 338,000 to 275,000 between 2000 and 2010. An additional 30,000 government workers are employed in the Loop, however 2000 data was not provided for the government sector. As a result of the loss, the Loop private sector share of total Chicago metropolitan area employment fell 13 percent, from 7.7 percent in 2000 to 6.7 percent in 2010.

The larger downtown area, including areas to the north (North Michigan Avenue area) and to the south had total private sector employment of 480,000. Chicago had the second largest downtown (central business district) in the nation in 2000, with an employment density of more than 160,000 per square mile and a transit work trip market share of 55 percent, trailing only the Manhattan business district (south of 59 Street) and the Brooklyn central business district).

Portland: The Portland Business Alliance reported that downtown Portland employment had fallen from 86,800 in 2001 to 83,400 in 2009. This represents a four percent market share loss in comparison to the metropolitan area over the period. All of Portland’s growth over the period has been in suburban Clark and Skamania counties in Washington, which added 12,700 jobs, while the Oregon portion of the metropolitan area was losing 4,500 jobs.

In 2000, Portland had the nation’s 22nd largest central business district, and the 12th highest transit work trip market share, at 30 percent (Brooklyn included).

Isn't it curious that an Administration devoted to the principle of multi-modalism is so obsessively determined to promote a single mode of its own preference -- that of high-speed rail? All three governors who rejected the federal HSR grants --- Govs. Walker, Kasich and Scott --- told Sec. LaHood that their states could badly use that money for more urgent needs of fixing roads, bridges and transit systems and, in the case of Gov. Scott, rebuilding Florida's ports in anticipation of the Panama Canal expansion.

Yet Sec. LaHood turned a deaf ear to those requests, insisting that the stimulus money must be spent on high-speed rail --- even though money spent on other modes could have been just as effective in creating jobs. After justly condemning "stove pipe" mentality and modal biases in federal decision making it is ironic to find the Administration ignoring its own principles of modal neutrality in such a blatant manner.

Census data released in the last week indicates confirms the continuing dispersion of population away from the historical core municipalities (central cities) to the suburbs in the 2000 to 2010 decade. The new figures, for Las Vegas, Birmingham and Salt Lake City indicate that a majority of growth occurred in the suburbs in each metropolitan area and that the dispersion of population to the suburbs was greater in the 2000s in each case than in the 1990s.

Las Vegas: The Las Vegas metropolitan area continued to grow strongly, adding 41 percent to its population between 2000 and 2010. This, however, represents a more than halving of the growth rate from the 1990s (86 percent). The metropolitan area population in 2010 was 1,951,000, up from 1,376,000 in 2000.

The core municipality of Las Vegas of grew 22 percent between 2000 and 2010 (from 478,000 to 584,000). The core city of Las Vegas has an overwhelming suburban urban form, having experienced virtually all of its growth in the modern, car oriented era of suburbanization. During the 2000s, the land area of Las Vegas was expanded from 113 square miles to 131.

The suburbs grew 52 percent between 2000 and 2010. The suburbs attracted 82 percent of the metropolitan population growth, up from 65 percent in the 1990s. The suburbs now account for 70 percent of the Las Vegas metropolitan area population.

Birmingham: The Birmingham metropolitan area experienced a decline in growth rate from 10 percent in the 1990s to seven percent in the 2000s. The population increased from 1,052,000 to 1,128,000.

The historical core municipality of Birmingham declined eight percent, from 243,000 to 212,000. This loss of 13 percent is the largest yet recorded for a historical core municipality in a major metropolitan area. Birmingham’s population peaked at 341,000 in 1960. This loss of more than one-third in population between 1960 and 2010 is despite annexations that doubled the size of the city (from 75 to 150 square miles).

The suburbs gained 13 percent between 2000 and 2010 and captured 140 percent of the metropolitan area’s growth (up from 124 percent in the 1990s). The suburbs now account for 81 percent of the metropolitan population.

Salt Lake City: In the Salt Lake City metropolitan area growth declined to 16 percent in the 2000s from 26 percent in the 1990s. The population rose from 969,000 to 1,124,000.

The historical core municipality of Salt Lake City grew three percent (from 182,000 to 186,000). Salt Lake City reached its population peak at 189,000 in 1960. This modest loss occurred while the land area of the city nearly doubled (from 56 square miles to 109).

The suburbs gained 19 percent between 2000 and 2010. The suburbs attracted 97 percent of the metropolitan population growth, which is up from 89 percent in the 1990s.

According to just-released 2010 Census results, the city of St. Louis experienced an unexpected loss in population from 348,000 in 2000 to 319,000 in 2010. This was surprising since the latest population estimate was 357,000 (2009). The new population figure however provided exoneration for the Census Bureau, which had been challenged six separate times during the decade on its city of St. Louis population estimates. The higher 2009 population estimate was the cumulative effect of those six successful challenges. In fact however, without the challenges the city of St. Louis population would have been 311,000, much closer to the final count of 319,000 people.

Among the world's municipalities that have ever achieved 500,000 population non-have lost so much as the city of St. Louis. The new figure of 319,000 people is 63 percent below the 1950 Census peak of 857,000 people. Indeed, the 2010 population is nearly as low as the population in the 1870 census.

Even so, the population loss of the last decade belies the progress that has been made in converting warehouse buildings, office buildings and other disused structures into urban residential areas, especially along Washington Avenue. These developments, among the largest in the United States, however, fell far short of preventing the population loss.

The St. Louis Metropolitan area did much better. In 2010, the metropolitan area had a population of 2,813,000, up from 2,699,000 in 2000, a gain of four percent. The loss in the city was eight percent, while the suburbs gained six percent.