Can the Minneapolis and Saint Paul Chambers of Commerce create “A Merger of Equals?”

Denver and Seattle have one. So does Atlanta, Boston and Charlotte. All these cities have succeeded in creating a single, effective business-lead organization that drives economic development and promotes regional leadership. Could the Minneapolis Regional and Saint Paul Area Chambers merge two successful Chambers into one entity that will lead a regional agenda?

With the departure of the Saint Paul Area Chamber of Commerce (SPACC) president, Kristofer Johnson, this is an opportunity to explore uniting these two business associations.

I am a director of the InterCity Leadership Visit, a program sponsored collaboratively by both the Minneapolis Regional Chamber (MRCC) and Saint Paul Area Chambers of Commerce. In this role, I’ve researched business and economic development associations in such cities as Denver, Seattle, Boston, Dallas, San Diego, Atlanta and Charlotte. I am also a former MRCC employee.

Both chambers work at increasing their value to member companies who struggle to keep chamber dues in their budget. In a community where there are 35+ chambers in the 7-county metro area, this is not easy to do. Larger member companies such as Target, Wells Fargo and Xcel Energy are expected to join each and every one of these chambers.

Using the word “larger” to describe companies starts the size debate. It builds apprehension and has prohibited a real, candid conversation about a chamber merger. What will happen to the “small” business owner? Will all the money and attention be diverted to the “larger” city? If done effectively and collaboratively, no.

Many people worry that in a merger the smaller businesses would lose their voice. To avoid this, the regional chamber with city-specific councils should be considered. This model provides each council with a board and programs that fit their individual community need. Small businesses get the necessary networking opportunities plus the support of the larger companies’ financial assistance for economic development and policy influence. While the plan has flaws it does take advantage of each chamber’s efficiencies while keeping local contact around community issues.

“Local” means different things to different businesses. That is why the council model works. Minneapolis and Saint Paul would each maintain an office, dedicated staff and volunteer committees focused on the needs of their community. For instance, a Saint Paul Council would continue to successfully advocate for Central Corridor. Concurrently the Regional Chamber moves forward a regional transportation plan, ensures Minnesota remains a Delta Airlines hub, leads the region’s economic development efforts, and supports local and state policies important to ensuring an attractive business climate.

The MRCC and SPACC work diligently to maintain a full slate of programming and meet a variety of needs. Each chamber has a leadership program, an emerging leader curriculum, networking groups, annual meetings, policy-focused committees and golf tournaments. Both chambers find sponsorships and participants for each event. Simultaneously, the same few large members sponsor these events at both chambers. These sponsors are challenged to fully utilize their investment and find the appropriate and available employees to represent them at so many different occasions.

What if there was only one large, metro-wide annual member meeting? Attendees would have much wider audience for promotion of their business. The regional chamber could update the entire metro area on significant issues. The sponsoring member gets more for their investment, and metro business people have just one date on their calendar. The councils would still have monthly meetings available for local issues, information and connections.

Besides the InterCity Leadership Visit, the MRCC and SPACC already successfully collaborate on annual events to celebrate the Minnesota Twins, The Timberwolves, The Vikings and The Wild. When attending these events, you don’t find people segregated with Minneapolitans on one side and Saint Paulites on the other. There is energy, pleasant chatter and lots of business cards exchanged. This friendly banter could become a focused, collective voice on regional business issues.

Beyond networking, is further opportunity for both chambers. Imagine one regional economic development proposal! What if there was only one organization that built a strategic, mutually agreed upon plan that was implemented and supported by all businesses, metro-wide. At the end of the day we shouldn’t be worried about a company relocating to Plymouth or White Bear Lake, rather if a business is going to choose the state of Minnesota or Washington.

Economic realities have produced creative collaboration for public-private partnerships and combined government services. Both chambers could take baby-steps in working closer together. Merging back office operations might be an easy place for both to start. In addition to the InterCity Leadership Visit they could consider additional programming to benefit their organizations and their members.

The United Way did it. Catholic Charities did it. The YMCAs did it. I think the Minneapolis and Saint Paul Chambers should consider it too.