Cape-Jackson could be hurt if Biden administration changes MSA rules

Six Show Me State members of Congress, including Southeast Missouri's Rep. Jason Smith, have joined both of Missouri's U.S. senators and Gov. Mike Parson in opposing raising the population threshold to become a Metropolitan Statistical Area (MSA) from the current 50,000 to 100,000.

The nine office holders sent a letter Wednesday to President Joe Biden's acting director of the Office and Management and Budget opposing the proposed revision in the MSA calculation formula, suggesting it is a slap in the face to rural America by threatening to effectively deny the area access to many federal funding programs.

By the numbers

The Cape Girardeau-Jackson MSA is 362nd out of 384 in the United States with an estimated 2020 census count of 97,120 -- meaning if the proposed formula stands up, the local MSA would revert to what it was prior to November 20, 2008 -- a Micropolitan Statistical Area or mSA.

The local MSA, one of 144 communities whose current designation is in jeopardy under the redefinition, consists of Cape Girardeau and Bollinger counties in Missouri and Alexander County in Illinois.

Pushback

The letter, addressed to OMB chief Shalanda D. Young, quotes 8th District representative Smith, the ranking Republican on the House Budget Committee.

"Too often, Washington, D.C. fails to acknowledge or take into account the interests of rural America. Time and again we see federal dollars flow to large cities while the rural working class is left behind. The current MSA threshold helps give small Missouri communities a fair shot at getting federal assistance and access to programs for the people who live there," Smith wrote.

Parson echoed Smith's views.

"The people of Missouri represent the honest, hard-working character that is essential to the success of our nation. Our federal government should support these communities, not make it harder for businesses and families to thrive," opined Parson, elected to a full gubernatorial term in his own right in November.

Local reaction

Cape Girardeau Mayor Bob Fox said losing the MSA designation will hurt the neediest in the community by making local groups ineligible to receive Community Development Block Grants (CDBG).

"Every year, we've had this huge grant that goes to Community Partnership (CPSEMO), for the Safe House for Women, to Salvation Army and I think to Catholic Charities," Fox told the Southeast Missourian.

"We knew this was coming (and) the ironic thing is (this move) is devastating to those people who need help the most, which is in direct conflict with what our new administration is supposed to stand for."

CPSEMO used some proceeds from a CDBG to help fund its transformation of the two-story, 13,800-square-foot building, which used to house the headquarters of the Cape Girardeau Police Department, into its new offices this spring.

Cape Girardeau Area Chamber of Commerce president John Mehner seconded Fox's opinion.

"Bottom line is, we are opposed to redefining what the MSA is and there have been bipartisan bills introduced (in Congress) to leave the designation the way it is," said Mehner, who recently announced his retirement from the role he has held for 27 years.

Jackson Area Chamber president and CEO Brian Gerau doesn't mince words when asked for his reaction.

"I'm very disappointed. It dramatically effects our region. Being in an MSA is key towards economic development consideration," he said.

A Metropolitan Statistical Area is defined by the OMB as one or more adjacent counties or county equivalents having at least one urban core area of at least 50,000 population, plus adjacent territory that has "a high degree of social and economic integration with the core as measured by the commuting tie."