>> Funding for NJ Business Beat provided by NJMEP, a partner to New Jersey's manufacturing industry, focused on productivity, performance, and strategic to violent.

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♪ >> This is NJ Business Beat with Raven Santana.

Raven: Hello, I am Raven Santana.

Thanks for joining me on "NJ Business Beat."

Pet ownership exploded during the pandemic and ownership rates are still rising.

66% of U.S. families own a pet, according to the American pet products Association.

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Owning a cat is a costly venture.

We spend $136 billion a year on our pets, $58 billion for food, $31 billion for medicine, and $35 billion for vet care.

According to the vet Medicare Association, 38% of dog owners and 40% of cat owners get their pet from a shelter.

We have covered on this program and on NJ Spotlight News the challenges many shelters are facing and finding staffing and funding to keep pets healthy and keep their doors open.

Jersey City, leaders took matters into their own hands, opening a city shelter last month to address the growing need for community pet support.

I visited the shelter and talked to Stacy Flanagan, Director of Health and Human Services for the city about the financial challenges in opening and running a shelter.

Let's talk about this new space.

It seems like it is a one-stop shop.

Stacy: The goal here at the New Jersey city shelter is to have both our animal control team where people who have issues across the city with their animals, off leash concerns, animal barking overnight were left outside, -- or left outside, is in the same location as the shelters support services.

The shelter, we took over January 1.

We have been doing some cleanup.

And every time we find a stray animal or someone surrenders an animal, we try to bridge the gap having both teams work together as part of the division of animal care and control.

Raven: We know this is more than just a fresh paint.

There is expanded resources and services offered here as well.

Stacey: Yes.

When we started, we knew we needed seven days a week services.

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One, because we need to take care of the animals seven days a week.

We have staff here from 7:00 a.m. to 7:00 p.m., taking care of the animals seven days a week.

Put in the budget -- we put in the budget enough to hire a vet to be here on site, at least 40 hours a week.

Now, we have vet consultants.

We have been meeting with Betts -- with vets to see how we make that move.

And I'm thinking about our volunteer programming.

We have already had 150 volunteers sign up and over 15 individuals say they would love to foster animals.

That is our priority, starting with the fostering over the next two weeks.

Than in March, kick the volunteer program.

And then have a place where leveraging all of the support of the community to get more dogs and cats adopted out.

We did get a rabbit in last week as well.

But animals in general.

Raven: Let's rewind back -- Stacey:, historically we have been paying the former contractor a little over $1 million a year to do this work.

We put in the budget $1.6 million.

Raven: That's what I was going to ask.

That makes a huge difference, when we think about the upgrades, the staff, the support, and resources.

We know it is not just about staffing.

It is about what goes on beyond that.

When we think about making sure we reunite families and you are able to decrease the amount of animals that are abandoned.

Stacey: Yes.

I think there are two things we did with the city Council.

One was we increase the amount of money we were standing on animal care and control.

We also asked the counselor to create a low-cost veterinary care program, so that we can help people keep their animals longer.

Raven: Let's talk about the financial challenges of running a facility like this.

Stacey: So, right now, a municipality has more resources.

So the dollar for dollar, we put in $1.6 million this year for animal care and control.

The majority of that is on the shelter side.

We have 12, 13 shelter staff and about nine animal control staff with leadership.

That allows us to offset a lot of cost for the residence.

For us, the low fee pet cost in the fees we charge will go back into the budget.

We believe we will be about at the same, 2 million by years end with grants and fees for service.

And other donations.

Raven: When we think about a facility like this, I think people think, it's a volunteer work, but it is a lot of responsibility.

Can you talk about the challenges, even updating and transitioning, what that looks like?

Stacey: This space was originally a garage.

For our local municipality utilities Authority.

Over time, when it was built out with additional trailers and support, I think the former vendor did everything they could with the tools they had.

We also have a Department of public works.

So we have skilled plumbers on staff, skilled HVAC professionals.

Things like that.

The first few weeks, we had a lot of visits and a lot of partners across the city that had those skills and tools.

We have been able to do a lot of that refurbishing.

Raven: Tell me a little bit, when we think about all of the options and resources that are here, there are some great options for people who may be looking for some of these services, like a dog licensing.

Stacey: Right.

We have three ways to get dog licensing.

This, without having a dog license option at the shelter was the easiest way to lead with your dog.

Your adopted dog here will get you your license here.

You can do it online with the city or come to our headquarters over at Jackson Square.

But having it here allows someone to have a one-stop shop.

They know when they come in adopt an animal, it is all up -- it is already spayed and neutered, we have given it its rabies and distemper and other things.

We are making sure before you go home with your animal that we are taking care of the first primary things to ensure your animals better health.

Raven: How much would you say people are saving?

I know all of the services can be very expensive.

In many ways, you are saving them money -- Stacey: Well, a good rescue, and we know there are many rescues out there doing good work, charge anywhere from $200 to $500 to adopt your animal.

Because that is paying for the fees of the services.

Where we benefit is the municipality is paying for the staffing.

We get to our most expensive -- we get to offset that.

Are most expensive is $175.

Raven: Very reasonable.

Stacey: Our goal is for the cap community, with a feral cat community, doing a spay or neuter on feral cats, our goal is $10.

We have up to and through services and our fee schedule that range from $10 to $300.

We know this is a way for us to help support people who are struggling, who can't get to the vet, or are waiting so long for a vet and find out they don't have pet insurance, or they won't get reimbursed for this, and they really need an economical way to keep their animal in their home.

Raven:Raven: Thank you so much for joining me on "NJ Business Beat."

I appreciate it.

All of the work that you are doing.

The federal government's warning of a growing shortage of veterinarians in New Jersey and around the country.

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According to the a BMA, there are about 127,000 vets in the U.S.. .

More than half are women.

They employ more than 14,000 people.

But the USDA says the entire state of New Jersey is experiencing a vet shortage, and it is critical in southern counties like Atlantic, Cape May, Cumberland, Gloucester, Burlington, and Ocean Counties.

The USDA notes a shortage and support staff is also contributing to the growing crisis.

I sat down with Dr. Jennifer Kim, president of the New Jersey veterinary medical Association, about the business behind pet medicine and the challenges she is facing.

Dr. Kim, according to the American veterinary and medical Association, there are roughly 128,000 veterinarians in the U.S.

Some are concerned about those numbers.

How does New Jersey rank, and is there a shortage here in the Garden State?

Dr. Kim: There is a perception of there being a shortage.

Whether there actually is or not, I think we are really suffering from a lack of support staff, which makes the jobs of veterinarians harder.

Because they have to do more with what they are doing, and typically, we would have more people helping us.

I think in New Jersey, I would have to look at the numbers, but my guess is around 4000 to 5000 veterinarians.

Raven: Are you concerned?

Dr. Kim: I am.

I feel that people who are not from New Jersey are not as apt to move to New Jersey and to stay in New Jersey.

I think one of the most important things that is happening in New Jersey veterinary medicine is we are finally going to have a veterinary school at Rowan University.

I think that will be great because we will have New Jersey residents going to New Jersey -- a school in New Jersey, and will have access to the New Jersey veterinarians.

And ultimately, hope to stay in New Jersey.

Right now, anyone who is a veterinary in New Jersey has not gone to school in New Jersey.

And I think when people leave the state, they are maybe not as many who are returning back to New Jersey for their jobs.

Raven: I think that is a great point.

I don't think a lot of people realize that.

Just to get the -- get viewers up to date, New Jersey's first veteran -- that are in Arion school is set to welcome its first class of students in the class of 2025.

You brought up a lot of great points.

Why did it take so long to have a veterinarian school in the state, and why are there so few schools in the U.S.?

Dr. Kim: In order to create a veterinary school, I don't think people realize what a big endeavor this is.

The cost of education is so high, the cost of veterinarian school is so high.

The debt load affair -- that veterinarians graduate with his huge, more than $200,000 in some instances, sometimes higher than that with undergraduate.

Then the average salary of a veterinarian is probably in the $95,000 range.

In order to have a vet school, you need to have access to small animal clinics, large and clinics.

You need to have all of the staff.

You need to have all of the professors.

The AVMA has strict guidelines of what they require a vet school to have.

It is extremely expensive and the tuition that is charged to the students does not even come close to covering the cost.

And then a lot of things -- one of the other things happening in veterinarian medicine as it is becoming more privatized.

20 years ago when I graduated vet school as an oncologist, most of those positions would be in academia.

Now, more and more of us are in private practice, to the point where there are more specialists in practice then University.

A lot of practitioners like myself had chosen not to stay in academia for various reasons.

That is also hard for them to have a vet school, because they have to compete with private practice in terms of hours and cost, and salary.

So, I am an advisory member at Rowan.

I know how much is going in create that vet school.

Though, there are -- when I graduated from vet school in 2003, there were about 20 vet schools.

And now, there are well more than that.

I think there are six or seven vet schools in the pipeline, including Rowan University.

Raven: Your specialty is oncology.

Our a -- are specialized fields growing in Medicare?

Dr. Kim: Definitely.

When I started, there were not a lot of oncologists.

When I applied for residencies, there were less than 200 oncologists in the world with my credentials.

Now, we are about 475, I think.

It used to be that animals died of old age, but they don't -- don't die of old age, they die of something.

As things have progressed, people are thinking of their prep -- their pets as family members, and not just a pet.

People are willing to do more.

Like, we have lots of advancements.

We have CT scans, MRI, radiation.

I think it is partially technology that has improved, but I think a lot of it has to do with people who are willing to spend more.

Raven: Here's the thing, it is not just people who are passionate about pets.

It's people like you who are passionate about helping pets.

For anyone interested in this field, who was watching the segment, what are other careers in animal medicine, and what is that training like?

Dr. Kim: The veterinary degree is very diverse.

We have got technicians who are nurses, that is a two year associates degree.

Rowan University will have a tech program there as well.

With that degree, you can move it to a bachelors, you can move it to a Masters, so there are specialties within the technician world.

With a veterinary degree, you can do research, you can be a clinician, you can do live animal medicine.

A lot of people will go into industry and do sales for drug companies.

There are a lot of things.

Also, public health.

Getting a public health degree, along with a veterinary degree, we have a very good -- a better understanding of potential infections that could pass between animals and humans.

Raven: I am a proud Rowan alum, so I'd love to hear it.

I love to hear it.

And I'm also happy to hear that there are strides being made and are other options.

Thank you for joining me on "NJ Business Beat."

I appreciate it.

One of the most difficult decisions to make when owning a pet is whether to purchase pet insurance.

Pet owners have debated for years whether pet insurance is cost effective.

According to the North American pet health insurance Association, the average annual cost for pet insurance is $640 for dogs and about $390 for cats.

I sat down with a deputy editor from Consumer Reports who researches pet insurance, about the pros and cons of buying it.

How expensive is pet insurance for most pets and can you explain how it works?

Brian: Pet insurance is a huge industry and the thing about it is it is so à la carte.

Anyone who can purport to tell you if it is worth it for you, run away from them.

Only you can determine that.

Because things vary so much.

Especially depending primarily on where you live, and the breed and sex and age of your pet.

Things can be highly variable.

In our Consumer Reports survey, we found most folks were paying about $42 a month on average for their coverage, but on the higher end, they were paying about $63 a month.

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Once again, lots of variation.

You really have to get an individual claim.

Raven: According to your survey, most of them are not satisfied with their pet insurance.

What do you think is a reason for that?

Brian: We surveyed 2061 folks.

Eight companies emerged as the top priority -- top providers.

Two of them were unfavorable people are not overwhelmingly happy with their choices.

But they are signing up for pet insurance.

Raven: I know you shared your own experience with pet insurance in an article back in August.

Do you think pet insurance is worth it for most pet owners?

Brian: What we found was pet insurance, usually about breaks even for most of the people in our nationally representative survey.

On average, folks put $600 a year in premiums into pet insurance.

But the average claim came in at about $387.

So it is not a true breakeven for most people.

In fact, only a fraction of folks who submitted claims, about 18% of them, filed claims of $1000 or more.

For folks who paid about $400 into claims, and claimed $1000 in prices in their expenses, it was absolutely worth it.

But that was only reflective of 18% of the people who actually filed claims.

Breakeven at best is the way financially, most people work with their pet insurance.

Raven: The reality is, when a lot of people are looking into pets, it is something they consider.

Do you think this could turn someone off from buying a pet?

Brian: For folks who are doing their due diligence and looking at the numbers, it may make them consider or reconsider whether they really do want to bring a pet into their home.

Because it is not a question of if you will have a veterinary expense.

It is absolutely when that ex-Pence will hit, and how you will handle it.

It is going to happen, you just have to be ready.

Whether you are self-insuring and socking away money yourself, or looking for alternatives to a traditional vet office visit.

Or if you are just going to bite the bullet and go for that pet insurance.

Raven: What are some alternatives for pet owners who choose not to get pet insurance or who can't afford it?

Brian: I can tell you, we still don't have pet insurance in my house.

I have a cat and a dog, and we have chosen not to have pet insurance.

Yesterday, we got back home, and the dog had eaten a stick of butter.

An entire stick of butter.

My 31 pound dog ate a stick of butter while we were away, and we came home and he was like weird and shaking a little bit.

And I'm like, where is that butter I was leaving up to soften to make a cake?

The dog the better.

He -- we got on the phone and called a telehealth line and said, OK, my dog ate a stick of butter I made myself crazy looking at Google.

What should we do?

The vet was able to talk us through what we should do and what to look out for to make sure our dog was fine.

And the signs to look out for for taking him to the vet.

We paid $40 for that telehealth visit.

Telehealth is one of the things we suggest.

Saving your own money, putting it away into an account that you don't touch that is specifically dedicated, should the occasion arise.

Another alternative we talk about is looking into veterinary hospitals -- I'm sorry, veterinary teaching colleges, which can sometimes provide discounts in service for your pet, if you happen to be near one of them.

Raven: What advice do you have for pet owners who are considering getting insurance, but still are not able to?

Or are not sure?

Brian: Put in some of the legwork.

Go on to the websites of the providers and give your information about your dog or cat and you will see a lot of variation in the types of coverage offered, the premiums they charge, and the reimbursement levels.

Pet insurance can be a lot to wade through.

We have a guy at Consumer Reports -- a guide at Consumer Reports, and it will get you on the path.

Ultimately, each of these quotes will be tailor-made to you and your family and your pet.

Do the due diligence.

Raven: Definitely not a one-size-fits-all for pet insurance, but there are options.

Thank you, Brian, for sharing that with my viewers and thank you for joining me.

Brian: Thank you so much for having me.

Raven: Before we leave you, here is a look at the top business headlines of the week.

A new Rutgers Eagleton poll finds half of New Jersey residents are opposed to Governor Murphy's plan to phase out the sale of new gas powered vehicles by 2035.

A majority of people said they understand electric is better for public health, but a majority also said they are not likely to buy electric, citing concerns about EV costs and charging station availability.

The poll comes as the New York Times reports the Biden administration is considering tweaking the federal emissions standard to be more lenient in coming years likely delaying the mass switch to EV's until after 2030.

Rutgers says the push for electric will be an important issue this campaign season.

>> Tricky thing here is even though opinion is split pretty evenly, it is politicians that have to be wary when treading this issue, simply because you don't know where independents are going to lie, especially if they look more like overall New Jerseyans or Republicans.

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And a special because those who are most supportive are in the Democrats camp, and are not voters that the Democrats can turn out in their favor.

Raven: New Jersey's economic and energy leaders joined members of the wind, energy industry to discuss the future of the states offshore wind projects and goals pair the conference was held at the Sweeney center at Rowan University this week.

Leaders acknowledged a drop in public approval for offshore wind amid concerns for the safety of wildlife, and the impact on coastal cities.

But they noted two recent offshore wind project approvals by the B.P.

you and committed to reaching the governor's clean energy goals.

They argued when energy can reduce the impacts of climate change and improve public health.

But leaders said the state needed to improve public perception of offshore wind.

>> There are people in the world who think offshore wind is some liberal pipedream.

This ain't one of them.

This is an industry being invested in by some of the most sophisticated and well-capitalized companies in the energy industry.

Raven: That doesn't for us this week.

Remember to subscribe to our NJ Spotlight News YouTube channel to get alerted when we post new episodes and clips.

I am Raven Santana.

Next, we dig into New York's pricing plan and its impact on New Jersey's workers and businesses.

Thank you for watching.

We will see you next weekend.

>> Funding for NJ Business Beat with Raven Santana provided by NJMEP, a partner to New Jersey's manufacturing industry, focused on productivity, performance, and strategic development.

More on njmep.org.

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