The Quad Cities International Airport (QCIA) continued to see a surge in passenger traffic as the travel industry rebounds from the pandemic. Earlier this summer, Delta Air Lines ended its policy of blocking middle seats and restored its Quad Cities service to Minneapolis – two factors also contributing to the airport’s overall recovery. Cargo operations in support of regional businesses are up 27% over 2019.
The airport was awarded $4.6 million in grants under the American Rescue Plan Act to help offset COVID-related fiscal impacts. The award brings total COVID-related grant funding for the QCIA to approximately $15.5 million.
On the construction front at the airport, the installation of about 4,500 solar panels now is complete. The system will undergo about two months of testing before it is generating electricity. The project is in partnership with WCP Solar, a Naperville, Ill., company that will own, operate and maintain the system under a solar power purchase agreement. The panels will offset at least 50% of the airport's annual power consumption as well as provide a covered parking option for passengers in the premium lot, previously known as the short-term lot.
QCIA is optimistic about the positive gains the travel industry is making and looks forward to ongoing recovery throughout 2021.
An increase in travel has brought more guests to the Quad Cities. Hotels are seeing more overnight visitors as traveling sports teams are returning to the Quad Cities region to compete at our many sports complexes. Construction still is booming on the new Interstate 74 bridge, which also has brought an influx of out-of-town workers to the Quad Cities; these skilled trades workers are taking advantage of the extended stay hotels in the area that can accommodate them with the amenities of home.
Drawbacks
Business travel still is down with the continuation of virtual meetings. While companies are increasing their in-person meetings, the ease and cost-effectiveness of virtual meetings more than likely will alter plans for those who would have traveled away from home.
Hotels still are running with limited staff. They also are having difficulties with their supply chain, including securing items such as linens. Due to a lack of housekeeping staff, it is taking longer to prepare rooms for the next guests and pushing back check-in times. Hotels that offer conference rooms have lost revenue from the lack of large meetings and seminars due to the shift to virtual meetings and events.
Food and Beverage
Drivers
The restaurant industry has continued to see a return of patrons as more people are receiving COVID-19 vaccinations and many restaurants have stopped requiring mask-wearing. Families are getting together for meals, friends are meeting for dinner and drinks and businesses are celebrating with their employees.
Visitors, attracted by the return of summer festivals and sporting events, also are frequenting local eateries and breweries. Breweries are seeing larger crowds gathering and those establishments with outside patios are finding them in full use. Breweries and bars that don’t serve their own food are enlisting local food trucks to be onsite at various times during the week. It is a partnership that has been beneficial to both parties.
Drawbacks
The supply chain for restaurants is still affected with condiments and chicken among the items that are difficult to stock.
Staff shortages are plentiful and felt by most in the industry. This is partly due to some finding jobs outside the restaurant industry as well as workers reassessing their work/life balance and opting to stay home with their family. Those leaving the industry are being drawn to opportunities that offer better wages, increased benefits and more attractive work schedules that are not typically found in the restaurant industry.
Employee burn-out is a real problem across the industry. A lack of staffing has forced some restaurants to alter their hours by closing for a day, multiple days or several hours a day to have enough staff to cover shifts.
Guests are finding it is taking longer to be seated and to get their food order amid shortages of wait staff. Online orders through Grub-Hub, DoorDash and similar services reduce the restaurants’ profit margins, which has led several local restaurants to not accept these orders.
Retail
Drivers
Retail shops still are seeing increased sales and traffic. Local boutiques are popping up all over -- online and with brick-and-mortar stores, and some have had their best months ever. One boutique has partnered with local hotels by placing their business cards for out-of-town guests to invite them to shop local. Many are advertising through social media with Facebook livestreams. The big box stores are busy with full parking lots and foot traffic.
Grocery stores still are busy even though restaurants are seeing more patrons. Online ordering and curbside pick-up continue to be strong as people found this to be very convenient and efficient way to do their grocery shopping.
Auto dealerships still are getting more money out of used vehicles. Their trade-in value is high and a lot of times way over KBB. Sales of used vehicles remains strong.
Drawbacks
Big box stores have added more self-checkouts, which is not popular with a lot of shoppers. Self-checkouts have caused some shoppers to shop elsewhere. Due to a lack of workers, the remaining employees are experiencing burn-out across the retail industry.
Supply chains in the grocery business have been disrupted as well. Some products have to be ordered multiple times before they are received. Condiments and paper items are hardest to get along with some fresh meat items. Many prices have increased due to supply and demand. Lines and wait times are longer due to workforce issues. Online orders do sometimes get subbed items, for equal or better value. This has caused a decrease in impulse shopping/buying inside the store.
Auto dealers are experiencing a disrupted supply chain in their new car inventories. The microchip most vehicles need is on back-order and causing some automakers to put production on hold for certain vehicles.
Construction
Drivers
Construction has remained strong in the Quad Cities region. Commercial buildings, single-family homes, and condos are being built throughout the region.
Drawbacks
Workforce is an issue in the construction industry with contractors having difficulty finding sub-contractors who have the supply chain to do the work needed. Cement workers and finishers are in short supply. The supply chain for materials continues to be disrupted with steel being hard to find and the cost of lumber still being significantly higher than pre-COVID prices. Some construction jobs have been put on hold waiting for prices to come down. The supply chain disruptions, in turn, have caused delays in openings of new businesses.
Service
Drivers
Managed IT service providers continue to be needed as many who have been working from home have continued to do so either full-time or part-time at home, and part-time in the office. The need for cybersecurity remains high.
Drawbacks
Managed service providers are having a difficult time finding higher skilled tech positions. Entry level positions, such as help desk roles, are easier to fill. Some skilled employees have been enticed away to competitors offering higher wages, better benefits, and even permanent work-from-home options.
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