MA Welcomes Fall Festivals and Foliage, Expects Rush of Tourism

pumpkin-patch-ma-businessFall in New England has always attracted crowds of hikers, bikers, zipliners, wine-drinkers, leaf-peepers, shopaholics, and anyone simply hoping to enjoy the crisp autumn air. However, over the past few years, seasonal sales have been better than ever. Some believe the region’s success can be linked to a growing interest in fall-themed festivals and the development of destinations like Salem, MA, nationally known for its Halloween-oriented history of witchcraft.

Massachusetts Businesses Benefit from Booming Tourist Industry

Many families and individuals vacation in the fall—traveling during the school year usually means fewer crowds, lines, competition for lodging, etc. This helps keep businesses profitable after the summer rush—hotels, restaurants, retail outlets, and others reap the benefits. Even athletics teams and associated companies (e.g., those responsible for ticketing, facilities maintenance, entertainment, food, etc.) have reported an uptick in “post-season” sales due to the longer tourist season.

History of Massachusetts Is Ideal for Autumn Holidays

Stories of the Salem witchcraft trials have long fascinated tourists traveling to Massachusetts. The town commemorates the trials every year with a fall festival known as Haunted Happenings, which kicks off with a parade on October 1. The event began in 1981 with a “Witches Weekend” and is now a month-long series of trolley tours, ghost tours, films, nighttime ghost stories, and walkthroughs of the House of the Seven Gables. The city is full of other attractions like museums and haunted houses designed to promote the “spooky” history of Salem while demonstrating top-of-the-line Massachusetts hospitality.

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A tour of Makepeace Farms in Wareham, MA, is a popular activity during the annual Cranberry Harvest Celebration.

Fall Festivals Across the State

While popular, Salem is certainly not the only place in Massachusetts to partake in the autumn festivities. New Bedford offers the Working Waterfront Festival at the end of September, spotlighting one of America’s largest fishing ports. Visitors to Cheshire, MA, can view glass-blown pumpkins and other artisan crafts at the Fall Arts Festival. Families love the Cranberry Harvest Celebration in Wareham and, in Newburyport, the Great Pumpkin Lighting and Stroll is a must-attent event for anyone visiting in October. And, of course, visitors will still continue to pour in to the state to seek out the incredible turning of the leaves.

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Pumpkin Flavors Fuel Food and Beverage Industry

A visit to Massachusetts in autumn would hardly be complete without some food-and-drink indulgence. The commonwealth’s food and beverage industry boasted a “banner year” in 2014, and the industry predicts $13.8 billion in sales by the end of 2015. Massachusetts, which some consider to be the birthplace of craft beer, has at least ten different pumpkin beers available throughout the season. Visitors can add Mercury Brewing Company’s Stone Cat Pumpkin Ale, Samuel Adams’ Harvest Pumpkin Ale, Blue Hills Brewery’s Pumpkin Lager, to their list of annual autumn rituals. Those headed to Western MA can enjoy a break at Shelburne Falls Coffee Roasters in Shelburne and a taste of their Pumpkin Spice blend.

The sheer quantity and range of fall activities in MA (see more here), makes it a wonderful destination for just about anyone. What do you and your family like to do every fall? Send us recommendations in the comments section below and we’ll read them while sipping our pumpkin spice lattes!

How Legislation Is Fighting Airbnb in Massachusetts

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Airbnb is an online community that connects short-term renters to people with space to rent. The company began in 2008 as “Air Bed and Breakfast” and was imagined after its founders rented out airbeds in their home. Six years since its humble beginning, Airbnb has shortened its name and inflated its offerings to include small rooms for international travelers, villas for high-end business travelers, and just about everything in between. The company makes it easy to find both simple spaces and those with all the comforts of home. Hosts can post pictures and descriptions of the spaces they have available; travelers can then reserve those spaces on Airbnb’s secure website.

Airbnb Offers an “Authentic Experience” for Travelers

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There are many benefits to using a service like Airbnb, including the opportunity to meet people from around the world without having to pay for an expensive hotel room. Airbnb hosts also tend to provide more personalized services (e.g., welcome baskets and access to cooking- and crafting supplies) that outclass those offered by most hotels. Airbnb is becoming a popular resource for small towns around the world that hope to attract tourists but have limited lodging options. Building a new hotel can cost between $300,000 and many millions of dollars, so smaller towns simply can’t afford lodging for the tourists they hope to attract. Airbnb and other short-term rental companies offer a less-expensive alternative to hotels.

Short-Term Rentals Prompt Legislative Concerns for MA

Despite the benefits of the service, some legislators are expressing concerns about Airbnb. In Massachusetts, state representatives Aaron Michlewitz and RoseLee Vincent have tried to introduce legislation that would be among the strictest in the country for short-term rentals. The measures would legalize the rental process but impose strict safety and registration requirements, as well as a 5% tax on rentals (to match the tax for hotel rooms). The taxes collected would support the tourism industry. The bill would also allow cities and towns to run inspections of short-term rentals to enforce safety codes. San Francisco, Portland, and the state of New York have begun to introduce similar regulations on short-term rentals, though many have found these rules to be ineffective.

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New Hospitality Regulations Increase Massachusetts Tax Revenue

In 2011, Massachusetts collected $562 million in hotel tax revenue; individual cities in the commonwealth collected an additional $358 million. In 2014, short-term rental sites in the city of Boston alone collected over $10 million in sales . . . and the industry shows no indication of slowing. In fact, as discovered by Rich Vetstein on The Massachusetts Real Estate Law Blog, “A recent Boston Globe article [found that] Airbnb’s website currently lists nearly 3,500 properties for rent in the Boston area—a 63% increase since July 2013.” That number continues to spike. Because traditional lodging such as hotels is so closely monitored, legislators feel that the short-term rental industry should see similar regulations.

Airbnb offers a valuable service to travelers, but it is critical that the service be safe and reliable for all who use it. By implementing laws that increase the safety of short-term rental units and require Airbnb to improve the state’s economy through tax revenue, Massachusetts is taking a step to regulate an industry that, to date, has seen little regulation in the United States.

What Do You Think?

Have you used Airbnb, or are you somehow involved in the hospitality industry? Do you think these regulations are necessary? 

Common Core Standards Are Questioned in Massachusetts Education

 

A spirited group of MA citizens, End Common Core MA, hopes to eliminate Common Core standards from the commonwealth’s education system. The MA state attorney general has officially declared the potential vote to be constitutional—a significant leap toward End Common Core MA’s goal. The group’s next (grueling) step is to gather 65,000 signatures for their cause, which will guarantee their question a spot on the November 2016 ballot.
 

Common Core Standards for College- and Career-Readiness in Massachusetts

The Common Core State Standards (CCSS) are a set of academic standards for kindergarten through 12th grade; they specify what students should be able to do by the time they reach each specific grade. The history of the CCSS can be traced back to 2008, when former Arizona Governor Janet Napolitano made it her goal to initiate a set of national educational standards.

Napolitano and her team had two primary objectives in creating the CCSS. First, they hoped to make American students career- and college-ready; the theory is that students who meet the CCSS will be prepared for both paths. The second objective was to use the CCSS to compare US student achievement against that of the rest of the world.

There is no explicit federal mandate to adopt CCSS, but the Department of Education has created incentives for states to adopt it by including Common Core as a criteria in applications for federal grants. Over forty states, including Massachusetts and the District of Columbia, have adopted some aspect of the CCSS since it was first offered.
 

Against the Common Core Standards

Opponents of the CCSS say that the standards represent a “one-size-fits-all” approach to education and focus too much on assessment and testing preparation at the expense of genuine learning. Valerie Strauss, for example, said in a letter published in the Washington Post:

When I read that math standard and others like it, I realized the claim of the creators of the Common Core—that the standards are clear, easy to understand and research-based—was simply not true.
 

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For the Common Core Standards

Proponents of the CCSS argue that the mandates give students the education they need to succeed in the economy of the twenty-first century. They also note that although the CCSS sets the standards, states and local districts are free to develop their own methods by which to meet those standards. Robert Pondiscio wrote in the National Review that:

It’s hard to imagine a single education reform that would do more to improve the verbal proficiency of American childrenespecially low-income and minority kidsthan for
[ . . . ] a rich, coherent elementary and middle-school curriculum to take deep and permanent roots in American schools.

People tend to swap sides, too—CCSS is obviously a complex solution to an even more complex problem. It seems difficult for many citizens to be wholeheartedly for or against the CCSS.
 

Business Groups Paying Close Attention

Massachusetts business groups are watching the progress of this debate closely. They recognize the need for a well-educated workforce that can fill the demands of increasingly sophisticated positions. They also recognize that a workforce lacking sufficient skills will require the assistance of government training (and financial aid), which will likely lead to higher taxes.

As a result, the Massachusetts Business Alliance for Education (MBAE) has come out in opposition to the proposed vote. MBAE supports the CCSS and claims that it would cost Massachusetts millions of dollars to repeal and replace the standards at this time. The MBAE spokesperson also noted that removing CCSS would make it highly burdensome to amend or replace standards in the future.

What do you think about Common Core in MA? Does Massachusetts need the Common Core to maintain a competitive economy?

How the Massachusetts Economy Is Weathering China’s Recession

China’s economic slowdown has affected countries around the world; many economies rely heavily on exports to China. In the United States, Massachusetts companies have begun to feel the impacts of China’s declining manufacturing industry.

China’s Manufacturing Decline Causing Losses for MA Businesses

In early September, several Massachusetts-based companies trading on the NYSE and NASDAQ showed price-per-share (PPS) losses. Dunkin’ Brands (the umbrella of Dunkin’ Donuts) was off-target by 2.89% and Eaton Vance Management was down 2.88%. Some publicly traded stocks were off by significantly higher margins, including American DG Energy, Inc., which was off 15%, and Collegium Pharmaceutical, off by 10%. Collegium has been plummeting for about a month now and American DG Energy, Inc. is at its lowest PPS since 2009.

Recession Concerns for Institutions of Higher Education

The suffering economy in China is also impacting the well-being of higher education in Massachusetts. Many universities in the commonwealth, as well as many others throughout the United States, depend on the enrollment of international students, especially from China. If the economic situation in China does not improve, Chinese students may not be able to afford the expenses of studying in the United States. Hundreds of US universities have Chinese programs; if schools are unable to fill them, there may be a resultant shift in the economic stability of these institutions.

Some Companies Benefit

Luckily, not all MA industries are facing losses from this turn in China’s economy. Less competition from China—a behemoth in each of the above industries—gives some US companies a chance to flourish. Two companies in Massachusetts actually showed recent gains. Ocata Therapeutics (a biotech- and cell therapy company) and Echo Therapeutics (a health- and lifestyle technology company) were up 6.97% and 4.1%, respectively. Technical Communications showed gains of 5.11%.

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Monitoring Impact of China’s Recession on Businesses in MA

Clearly, the economic fluctuation of a country as massive as China has a number of effects on the commonwealth. Some Massachusetts companies swell while others suffer, and universities and colleges are left nervously awaiting the trickle-down effects. We will continue to monitor China’s impact on MA businesses in the coming weeks and months. If you have any personal insights on this topic, please share them below!

Worcester Named Most Business-Friendly City in Massachusetts

Massachusetts Small Businesses Make a Remarkable Turnaround in Just a Year

Business confidence in Massachusetts cities continues to grow . . . and you may not believe which city is at the top of the list. A recent survey of small business owners in New England ranked Worcester, Massachusetts, as the most business-friendly city in the state. When pinned against all cities in New England, Worcester was second only to Manchester, New Hampshire.

Worcester’s rise above regional hubs such as Boston and Providence caps a remarkable turnaround for the city. Business leaders agree that Worcester’s business climate is much-improvedthe city received an overall grade of “B-” this year despite a lowly grade of “F” last year.

Worcester Official Sign Massachusetts

Worcester, MA Is Positioned to Expand Across All Business Sectors

Worcester and other mid-sized cities serve as a complement to Boston’s hub of finance, education, government, and professional services. They provide a hospitable climate for smaller businesses and manufacturers that may not be able to afford or be recognized in a larger city. Steve Rothschild, considered a small-business mogul in Worcester for his work with Applied Interactive, Bulbs.com, and Furniture.com, says that “Worcester is a great place to run a business because there is a well-educated workforce, an easy commute for employees, and low-cost commercial real estate.”

Worcester is particularly well-positioned because it has the history and infrastructure of a manufacturing hub but also a large service economy. The city boasts nine institutions of higher education and five major hospitals. Unlike many mid-sized cities that have struggled with population decline, Worcester has had steady population growth for the past three decades. Per capita income and education levels are on par with the state average. The combination of a well-rounded economy and an educated and skilled workforce allows Worcester to expand in many different sectors.

Downtown Worcester Ranked Business Friendliness MA

Improvement in Business Confidence “Grade” in Worcester, MA, Mirrors Massachusetts State Performance

The jump in Worcester’s business climate is consistent with the state’s improving economic indicators. The unemployment rate of 4.7% is significantly lower than the national average of 5.3%. For ten straight months, Massachusetts has increased its number of available jobs; 46,200 were added in 2015 so far7,200 of which were added in July alone. Although most new jobs were in the education and health sectors, the state also added 1,400 manufacturing jobs in July. The Massachusetts Manufacturing Extension Partnership, based in Worcester, noted that much of the new manufacturing jobs came from small businesses with less than 50 employees. A number of jobs have also come from the booming craft beer industry in Massachusetts.

Business owners can be fickle when it comes to expressing approval of any business climate. The latest survey results, however, show that Worcester is headed in the right direction. If its trajectory continues, it will benefit not only the local economy, but the state economy as well.

Have you started a business in Massachusetts? Do you agree with the Worcester’s new grade of B-?

MA Craft Beer Industry Pours Money Into the Massachusetts Economy

According to a report compiled by John Dunham & Associates, more than 25,900 new jobs in the commonwealth could be directly attributed to the the growing MA craft beer industry. Not only has craft brewing brought a rush of jobs into Massachusetts, it has generated over $2.5 billion in sales and taxes for the commonwealth.

MA Craft Breweries: Profit by the Barrel

Craft beer is a growing industry throughout the country—it has grown by 32% over the past few years. Simultaneously, though, large companies like Anheuser-Busch have seen their market shares decrease by as much as 7%. American beer palates seem to be evolving—or have at least begun to align more closely with the flavors of smaller craft breweries. In 1980, the Brewers Association reported that there were just 50 craft breweries in the country. As of June 2015, that number has risen to 3,739.

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Craft Brewing’s Early Days in Massachusetts

There is disagreement about the official “beginning” of the craft beer business, but it has early roots in Massachusetts. In the mid-1980s, Jim Koch went door-to-door in Boston selling his family’s home brew to local bars. He then founded the Boston Beer Company, following the huge success of his flagship beer, Samuel Adams. The company, which recorded a gross 2014 profit of over $465 million, is still dedicated to the growth of the MA craft beer industry. Early in 2015, the Boston Beer Company partnered with Accion to offer microloans of between $500 and $25,000 to small breweries. They also sponsor a hops-sharing program that helps smaller breweries obtain the hops necessary to brew India Pale Ales (IPA), one of the most popular styles of beer.

MA Craft Beer Taps Into Other Industries

Craft beer sales have significantly improved the Massachusetts economy in a number of ways. Twenty-nine cents of every dollar spent on craft beer in Massachusetts go toward personal and business taxes paid by brewers—that’s $766 million in additional tax revenue. Craft brewing has had a ripple effect on other industries as well. The agricultural industry, for example, benefits from brewers’ incorporation of fruits, vegetables, spices, and other seasonings into their beers. This experimentation has catalyzed a flux of new brews that were previously unavailable. Construction companies and contractors have been hired to renovate old warehouses and abandoned buildings into breweries, like Abandoned Building Brewery in Easthampton, MA. The manufacturing industry has benefitted from craft brewing’s bottling, canning, and labeling processes. In Massachusetts alone, brewing has created over 7,000 supplier jobs.

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Guests enjoy food and brew at Mayflower Brewery Company in Plymouth, Massachusetts.

Craft Brewing Expected to Grow Lager and Lager

As a growing industry, craft brewing has created a nationwide economic swell, with microbreweries cropping up in towns and cities across the United States. Not sure where to start? Visit a local Massachusetts craft brewery today. Recommend your favorite beers in the comments below!

Craft brewing has shaped up to be a hugely profitable and flourishing industry. We don’t know about you, but we’ll toast to that. Cheers!

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Massachusetts Startup Creates Database to Connect Manufacturers

While experts have regularly acknowledged the decline of the manufacturing industry in America, they have done very little to reverse it. An innovative, new-business incubator in Somerville, MA is starting to take steps in a better direction.

Greentown Labs—A Manufacturing and Technology Incubator

Greentown Labs assists other startups in the technology and manufacturing fields. Like many business incubators, it incorporates a cooperative working space for startups. However, unlike the others, Greentown also offers prototype-manufacturing space, shared machinery and shop tools, and a large event space. In total, the lab offers 33,000 total square feet of creative space for their companies. Manufacturing startups at Greentown are provided with the necessary infrastructure to move their company from conceptual stages to actual production- and revenue-making stages.

Greentown Labs currently hosts 40 companies and supporting organizations that employ over 300 people. Not surprisingly, many of Greentown’s companies specialize in clean technology and the energy industry. The lab also boasts an impressive list of energy-conscious alumni that have “graduated” into their own spaces.

Connect Green Startups Boston Massachusetts

Not only do Greentown companies have a versatile physical space to use, they also utilize the services of “sponsor companies” to assist their operations. For example, members are granted access to sponsor-supplied software at little to no cost to their company. Additionally, members have access to marketing, human resources, graphic design, insurance, and other services. Companies working in the incubator also have the all-important opportunity to network and collaborate with other startups.

Bringing Manufacturing Innovation Back to the Bay State

Incubators such as Greentown Labs make it easier for startups to bring manufacturing job opportunities back to Massachusetts. Over the past several years, Boston has quickly emerged as one of the country’s leading technological hubs. While major research universities such as MIT and Harvard play a role, a business incubator devoted to manufacturing provides a unique, invaluable advantage to the Boston area.

Massachusetts Business Incubator Is Popular Among Politicians

The incubator philosophy has not gone unnoticed by local business and government leaders. During a recent visit to the Greentown Labs, Massachusetts Senator Elizabeth Warren said they were “the best of what America has to offer.” She said that it is crucial to “level the playing field” between startup initiatives and technology giants; this will help prevent the behemoths from dominating the industry. As Greentown Labs continues to nurture these successful startups, we look forward to their growth and the positive impact they will have on our economy.

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Massachusetts Confidence Index Offers Promising Data

Stemming the tide of declining confidence in the Massachusetts economy for the first time in three months, employers indicated that they had a more positive view of the state’s economic outlook during the month of July. The Associated Industries of Massachusetts Confidence Index, which serves as a barometer of local business activity, increased by nearly three points last month, rising to 59.2 points on a scale of 100.

Seen as a benchmark of business function and opportunity in Massachusetts, the Confidence Index registered an all-time high of 68.5 points in 1997 and 1998; they saw a historical low of 33.3 points in 2009.

A lobbying and management group, the Associated Industries of Massachusetts (AIM) collaborates with Massachusetts employers to enhance the business environment and generate greater business opportunity. They also engage various sectors to help reduce healthcare expenditures, unemployment insurance assessments, and other related business costs. AIM also collaborates with legislators in defining regulations on local, state, and federal levels and promotes the need for a knowledgeable and skilled labor force. Another priority for the group is keeping members informed about mandated changes in employment standards and other regulations that may have an adverse impact on their business and the economy of the Commonwealth.

Chairman of the Associated Industries of Massachusetts Board of Economic Advisors Raymond G. Torto asserts:

The AIM Index is up three points from last July, and apart from its recent crest in February and March is at its highest level since December 2006. Like the economy itself, the Index has followed a long-term trend of improvement. But the upward course has been longer and bumpier than most past recoveries.

Data extracted from the released report indicates that the current Massachusetts confidence index data is as strong as from 2006, preceding the 2007 recession.

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Details from the Index:

  • Employers’ opinion of current business conditions, the Current Index, rose 3.5 to a level of 59.7 points in July.
  • Gauging expectations for the next six months, the Future Index, rose 2.2 to a level of 58.6 points.
  • Assessing the overall situations of their operations, the Company Index, rose 3.7 to a level of 61.7 points.
  • Increasing 5.3 to a level of 63.2, the Sales Index rose to its highest level in nine years.
  • Rising to 57.2, up from 54.7, the Employment Index indicated strength compared to prior months.

While the overall view is positive, there were some dips in the manufacturing sector, as well as a lower general confidence rating in areas outside the Boston Greater Metropolitan area, displaying a moderate rise of only 1.1 points. As with any business-monitoring system, fluctuations can be expected; however, there seems to be a consistent but gradual increase in confidence in the Massachusetts business climate.

Do you agree? What kind of working conditions have you experienced in Massachusetts?

Massachusetts Looks to Regulate Short-Term Rentals

The “sharing economy” has taken the United States by storm. In less than a decade, companies such as Uber, Handy, and Airbnb have become well-known brands and, in some places, market leaders. But the laws regulating these companies and their users can often seem like a gray area. Now some lawmakers are taking a close look to see if it’s time for state legislation of these activities.

Airbnb is the latest company to experience such    scrutiny. Founded in 2008, the website allows its users to list, find, and rent short-term housing. The site is popular among users who are seeking an affordable alternative to hotels. The site is also popular among property owners looking to rent out extra space, whether it be an entire house, an apartment, or just an extra room.

But not everyone is enamored with Airbnb. Renters have complained of substandard or even dangerous accommodations, and owners have complained of renters who have damaged their property. Beyond user complaints, Airbnb has also felt backlash in communities that see it as a way to evade land-use laws and taxes. Neighborhood residents often find that properties in quiet, residential areas are turned into de facto hotels or flophouses.

Airbnb claims that most of its users rent out properties on only a temporary basis and that it simply connects interested parties to one another. To that point,  its critics respond that the company has effectively created an online marketplace for transient housing. They also claim that Airbnb has taken too much housing off  market for local residents, thereby creating housing shortages.

Many states are now considering state legislation that would formally regulate the short-term rental market that has proliferated as a result of Airbnb. In Massachusetts, state legislation has been proposed that would require registration of all short-term lessors of property. The legislation would also impose safety standards and allow local governments to inspect properties for safety violations. The law would also impose a 5% tax on such rentals, similar to the tax levied on hotel stays.

If the law passes, Massachusetts would be the first state to regulate the short-term rental market. Some cities have already done so, including San Francisco, Portland, and Philadelphia. As sites such as Airbnb continue to grow, more states will have to determine if and how they are going to regulate their activities.

UMass Researchers Granted $1.6M for Robotics Development

What do Hurricane Katrina, the Fukushima Daiichi meltdown, and the World Trade Center attacks all have in common? Obvious tragedy aside, the common factor in each of these disasters is the use of robots to assist first responders in rescue and cleanup missions. Robotics technology has evolved exponentially over the last two decades, along with the potential to save victims of disaster faster with decreased risk to first responders and other rescue personnel.

A research team at UMass Lowell led by Dr. Holly Yanco, founder of the UMass Robotics Lab and director of the New England Robotics Validation and Experimentation (NERVE) Center, have been awarded four grants totaling more than $1 million toward the development and study of robotics for use in rescue and damage assessment, as well as improving mobility and increasing independence for the elderly or disabled. At a time when science and technology experts around the globe, including notable names such as Stephen Hawking, Steve Wozniak, and Elon Musk, are speaking out against the dangers of implementing weaponized artificial intelligence, Yanco’s team are driving research in the opposite direction and looking for ways to improve and save human lives.

The grants awarded will fund research and development in four areas of robotics: improving communication and assessment between robots and control centers in disaster situations, educating rescue personnel in the best methods for using robots in the field, research in robotics for mobile manufacturing, and research and development on low-cost robotic arms to assist and improve mobility for the physically disabled.

The researchers are utilizing a wide variety of devices in their research that are available to the public, such as Google Glass and touchscreen laptops and tablets. In the future, this may lead to technology that could be integrated with pre-existing resources for disaster-response teams. One of the most interesting areas of study will be the progress made toward using robots to create a 3D map of disaster sites to better prepare rescue crews and allow command centers to create fully developed action plans in shorter spans of time.