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For more than a decade, Business Facilities has been recognizing those communities, corporations, and individuals who are driving forces behind the world's economic growth. Business Facilities was the first organization to judge members of the economic development community not on the merits of marketing materials, but on the innovation of their development programs, the effectiveness of those programs, and their ability to create a pro-business environment that will continue to strengthen communities for decades to come.

The esteemed panel of judges—comprised of 10 nationally and internationally regarded location consultants—is drawn from the ranks of our editorial advisory board. Our judges reviewed and scored each entry, and each brings a unique and personal perspective to the judging process.

We would like to extend our congratulations to all of this year's winners. They were an impressive and innovative group, and stood out as role models for other communities seeking to maximize their economic development efforts. We would also like to extend special recognition to the Platinum/Grand Prize winner, the Greater Omaha Chamber of Commerce, for its winning project, Omaha's Targeted Investment in Economic Development. This impressive project obtained the highest score of all the entries in the three categories: public/private partnerships, regional, and state. This project also secured the spot as the Gold winner for public/private partnerships.

If you have a project that you think is worthy of nomination for next year's ED Awards, please visit us online at www.BusinessFacilities.com. There you can read about past winners, as well as download an entry form.

2004 Economic Development Awards Judges

This year's judges are a highly qualified group from diverse business backgrounds; each judge deals with issues surrounding site selection in his or her work environment, and has a keen understanding of what makes a successful economic development project.

1. Philip W. Anderson, Ph.D. is President and CEO of P.W. Anderson & Partners, Inc., an international consulting firm located in Vienna, VA and Frankfurt, Germany.

2. Del Birch is Vice President of Executive Pulse, Inc., a business retention database systems
company located in Erie, PA.

3. Jan Dickinson is President and CEO of The Dickinson Consulting Group, a site selection consulting firm in Portland, OR.

4. Michael P. Hickey is the President of Hickey & Associates,
a site selection consulting firm in Minneapolis, MN.

5. Sam M. McCord is President and CEO of McCord Consulting Group in Cedar Rapids, IA, which provides personnel recruitment, human resources planning, and business acquisition services to the
plastics industry.

6. Don C. Schjeldahl is Director of the Facilities Location Group for The Austin Company, a site location/engineering/construction firm located in Cleveland, OH.

7. Frederick Metz Shepperd is Managing Director of the Quadral Group a global site selection firm located in the
U.S. and in Frankfurt, Germany.

8. Frank J. Sherwood is Vice President of Staubach Corporate Services, an engineering, operations, corporate real estate services, and international project management firm based in Minneapolis, MN.

9. Mark M. Sweeney is a Senior Principal for McCallum Sweeney Consulting, a site selection consulting firm located in Greenville, SC.

10. Jerry Szatan is a Principal at Szatan & Associates, a consulting firm that deals with corporate location strategy and site selection. The firm is located in Chicago, IL.

Overall
Platinum Winner/ Gold Winner

Public/Private Partnerships
Greater Omaha Chamber of Commerce
Project: Omaha's Targeted Investment in Economic Development
Location: Omaha, NE

The Greater Omaha Chamber of Commerce's project, Omaha's Targeted Investment in Economic Development, is a shining example of a truly successful economic development project—so much so that it stands out as an archetype for other public/private partnerships everywhere.

"This program serves as a model for other communities in how economic development should be done," says judge Philip Anderson. "The Greater Omaha Chamber of Commerce shrewdly utilized the public and private talent in the area to formulate and carry out a thorough economic development plan that got results."

The main objective of this project was to expedite growth of the economic base and population of the area. Looking at the results, it is clear that Omaha can easily claim success in this area.

The project's initial investment of $12 million, entitled Target Omaha, was leveraged to provide 60,000 net new jobs, as well as $3 billion in new capital investment. Of this $3 billion, $1.8 billion was invested in the downtown central business district alone—the new skyline in Omaha stands as a visible testament to this and the program's pro-business impact. Some of the companies that came to Omaha under Target Omaha include the Gallup Organization, PayPal/eBay, Union Pacific, AFLAC, US STRATCOM, and First National Bank. The success of this program has, in turn, inspired the Omaha business community to create and fund another economic development initiative, the Greater Omaha Economic Development Partnership (GO!). With current pledges of $13 million, the GO! goal of raising $20 million appears to be attainable by the end of 2005.

"This is a most impressive program," remarks judge Sam McCord. "I have actually seen the huge improvements and met the people, and they have done an outstanding job. They have not only developed a plan of action, but they really did implement it and continue to move forward. It's a rather conservative community; they really took on some big risks, but have been very successful."

Through Target Omaha, the community joined forces around economic development in a way that had not been experienced previously, and in a way that is not normally experienced by cities of Omaha's size. Concepts such as inclusiveness and cooperation are at the core of why Omaha's public/private partnerships work so well. It was acknowledged from the outset that government, educational institutions, the business community, and voters were all key players in facilitating Omaha's economic growth goals. To that end, leaders from all of these areas were included in strategy sessions and invited regularly to meet with prospects.

Another prime example of this cooperative spirit can be seen in the development of the new convention center, Qwest Center Omaha. More than 60% of Omaha voters approved a major bond issue for the $290 million convention center/arena in May 2000. Of this total, Omaha's private sector was able to raise $75 million for the arena portion of the project. Completed in September 2003, Qwest Center spans more than three city-blocks and totals 104 acres including parking. The project sparked an enormous amount of riverfront development including a $66.3 million Hilton hotel connected by a skywalk to the Qwest Center.

"Rod Moseman's long tenure with the Omaha Chamber has allowed him to create fantastic results," says judge Frank Sherwood, referring to the vice president of economic development for the Chamber. "They have literally put a new face on Omaha. Their public/private partnership is, without a doubt, the best in the nation. His is a well-rounded program, blending education with new jobs and a fabulous new convention center. I look forward to seeing the best of the program unfold."

Gold Winner

Regional Programs
Whitley County Economic Dev. Corp.
Project: Whitley County Tax Increment Finance (TIF) District
Location: Columbia City, IN

Whitley County, IN's project provides a valuable lesson: sometimes the "little guy" can emerge as a big winner, especially with a lot of determination, commitment, and hard work. After coming in second place for a new mini-steel mill project, instead of accepting defeat, Whitley County used this as an opportunity to assess what it needed to do in order to secure economic development in the area. They eventually partnered with the state of Indiana for an infrastructure grant, and received a $1 million interest-free loan, as well as a $480,000 grant to create a Tax Increment Finance (TIF) district. In the end, the project, originally estimated at $2.2 million, came in under budget, and has had a tremendous impact on the economic climate of the area, including the creation of 1,499 jobs and the retention of 963.

The primary goal of the Whitley County TIF district was to create a clearly defined jurisdictional boundary served by infrastructure (city water, city sewer, natural gas, electric, and fiber optics). It could then be marketed to prospective new businesses for economic growth and development; thus providing an area with highway visibility and access, rail service, and appropriately zoned land.

The success of the project makes Whitley County, with a population base of only 30,000, home to the largest TIF district in the state of Indiana—spanning 3,300 acres along a major artery (U.S. 30). As a direct result of this effort, a 150-acre industrial park was created. This new industrial park, Park 30, generated interest from construction firms wanting to invest in spec buildings. To date, two 50,000-square-foot buildings (which sold prior to completion) and a 35,000-square-foot facility (which is leased to an international orthopedic company) have been constructed. The crowning achievement of all this hard work, however, came in the form of the same mini-steel mill company the county had lost prior to this project. Now, post-project, Whitley County was able to attract a $300 million expansion project from Steel Dynamics Incorporated, which has since added another $40 million investment in the county.

"This is clearly an award-winning program," says Del Birch. "It is innovative because a small rural community aggressively utilized a state program for maximum impact—literally creating the state's largest TIF district. It is innovative because community leaders didn't give up after losing a major prospect. They demonstrated persistence and belief in themselves, re-visiting the prospect that was in another expansion mode—and winning the project the second time around. It's a great story—an inspiring story—from small town America."

"The Whitley County/Columbia, Indiana area has accomplished major industrial growth and business retention in a relatively short time," says judge Don Schjeldahl. "This was accomplished by smart planning and cooperation from the city/county/state that has benefited the region at a time when similar communities are losing manufacturing employment. The creation of a planned business/industrial park (with all infrastructure in place including TIF designation and other meaningful assistance programs) should be scrutinized by other communities of equal or larger size."

Gold Winner

State Programs
MassDevelopment
Project: Devens Business Center (redevelopment of Fort Devens)
Location: 40 miles west of Boston, MA

The redevelopment of Fort Devens, MA exemplifies how a potential economic disaster can be turned into a source of economic fortune. The closure of Fort Devens was announced in 1991 as part of the Base Realignment and Closure (BRAC) process. The 4,400-acre base was located within the borders of four different Massachusetts towns, and separate redevelopment efforts might have devastated each town's fiscal resources. In the face of this potential economic catastrophe, the state of Massachusetts was able to come up with an innovative solution and an effective model for base reuse efforts.

Lawmakers passed legislation that would allow the Massachusetts Government Land Bank (MGLB) to manage the redevelopment of Fort Devens. The MGLB merged with another agency to form MassDevelopment (a quasi-public economic development agency), and was given unprecedented jurisdiction over the reuse of the base. MassDevelopment took it upon itself to work together with the U.S. Army, local governments, citizens, and advocacy groups in order to create a plan that would serve the economic, environmental, and social needs of the region, as well as be a source of growth for the state's economic base. The reuse plan that came about outlined extensive ecological and historic preservation; recreational facilities and open space; housing; retail services; and other services such as a daycare center, hotel, and a golf course.

The legislation that enabled the design of the reuse plan also created an innovative permit system at Devens, which allows for a seamless permitting process. The Devens Enterprise Commission, with the blessing of the Massachusetts Environmental Protection Agency, has sole responsibility for the approval process. After filling out just a single application, companies are guaranteed an answer within 75 days. "The focus on streamlining the permitting process not only avoids a potential morass of multi-jurisdictional paperwork, but actually creates a competitive advantage," says judge Mark Sweeney.

"The redevelopment of Fort Devens highlights the innovative way that MassDevelopment marketed the property for a new generation of land use," says judge Don Schjeldahl. "Their innovative methods included land purchase rather than lease, lowering real estate tax rates, passing legislation for one redevelopment group to manage development, and forming a central agency responsible for all permitting. This appears to be why over 70 companies, employing over 3,000 workers, have located in the business park and negated the devastating impact that typically results when a military base leaves a community or region. [This is] a very innovative way for other communities to market similar properties."

To date, $630 million has been invested in the Devens Business Center. Of that $630 million, MassDevelopment invested $200 million and businesses and other government entities invested $430 million. Devens has attracted such major companies as Gillette, Anheuser Bush, and American Superconductor, and it is also home to several smaller businesses. The diverse companies at Devens are helping to support the manufacturing sector of the state, as well as providing cutting edge jobs in the high-tech and biomedical fields.

Silver Winner

Public/Private Partnerships
Michigan Economic Dev. Corp. (MEDC)
Project: Ford Retention Project
Location: Wayne, MI

When faced with the potential loss of two Ford Motor assembly plants and thousands of jobs in Michigan, the MEDC was quick to respond. The MEDC's answer to retain Ford was the Michigan Economic Growth Authority (MEGA) program. The MEGA program allows for employment tax credits designed to make Michigan more attractive than an out-of-state alternative. Without this program in place, Michigan would have undoubtedly lost Ford to a foreign competitor.

"Way to go," says judge Frederick Shepperd. "This package saved thousands of jobs in the region. When autoworkers in Romania earn $3.40 per hour, Michigan knows what has to be done in the short-term and in future years."

The overall goal of this program is to attract and retain companies. There are also requirements that must be satisfied in order to be awarded this incentive package: The project must have a substantial impact on the Michigan economy (meaning a capital investment of greater than $250 million), the workers employed must make more than one and a half times the federal minimum wage, and the firm must make it clear that the tax incentives are an integral part of its decision to potentially locate to or remain in the state. The program is unique in that it permits a company making a large capital investment to take advantage of tax credits normally reserved for projects that create (as opposed to retain) new jobs for Michigan residents.

"The creative application of incentives for retention is a good example to the profession of how important and effective retention programs can be," says judge Mark Sweeney. "This is a good example of how important it is to maintain those core cluster companies once a cluster develops in your community."

In an industry where global competition for jobs is fierce, Michigan's retention of Ford stands out as a stellar example of how to stay competitive in a global marketplace.

Silver Winner

Regional Programs
Corpus Christi Regional Economic Dev. Corp. (CCREDC)
Project: Defying Gravity: Economic Development in the Corpus Christi Region, 2003-2004
Location: Corpus Christi, TX

During a time when many communities were trying to salvage jobs in the economic "wreckage," Corpus Christi was hard at work devising ways to create jobs in their community. Defying conventional wisdom, which pointed away from traditional business and towards high-tech industries as a means of job growth, the CCREDC honed in on creating jobs in sectors such as manufacturing, petrochemicals, and customer service. With a program budget of $1.2 million, Corpus Christi saw more than $2.7 billion in public and private investment in their region by 15 organizations during the fiscal year 2003-2004. In line with their goal to create jobs in their community, this investment spurred the creation of more than 2,700 primary jobs and 3,200 secondary jobs (those jobs created within established local businesses to supply goods and services to the new companies). New and existing companies adding jobs to the region include Exxon, Boeing, CITGO, APAC customer service, and AC Distribution.

So, how did Corpus Christi "defy gravity?" Hard work. Corpus Christi's proactive approach to economic development primarily involved "taking the reigns," relying on existing resources, and looking outside its own community for economic resources.

Looking within its own community first for help, nearly 1,000 existing employers were visited during the year to gauge their capabilities for expansion. Team members also worked with over 600 companies and individuals, via phone calls, site visits, and direct mail, believed to be most likely to bring new jobs to their region. Looking beyond just bringing companies to the area, Corpus Christi went a step further and sought out to import its talent pool, as well. Efforts were also made to improve infrastructure in the community in order to make the area more attractive to businesses and business travelers. For example, during this year, Corpus Christi saw the completion of a $34 million renovation to their airport, as well as the opening of a new convention center and arena.

"Congratulations on a solid plan and great implementation," says judge Frederick Shepperd. "You first looked inside before you went out with your plan—you sold it locally, then to the nation, and then the world—step-by-step!"

Silver Winner

State Programs
Michigan Economic Dev.Corp.
Project: Michigan Technology Tri-Corridor
Location: Lansing, MI

The Technology Tri-Corridor is one of Michigan's newest economic development initiatives—serving as a bridge between research and commercialization. The primary goal of this initiative is to turn public and private sector research into commercial goods and services in three sectors: life sciences, advanced automotive technologies, and homeland security. This initiative is poised to help Michigan forge a path toward a more diversified economy—one with decreased reliance on its established manufacturing sector and potential for growth in emerging, knowledge-based industries.

"I really like how they saw to make the transition from 'old manufacturing ways' to the new 21st century of knowledge-based manufacturing," says judge Sam McCord. "They have tapped into an existing well-trained workforce."

After the Michigan Legislature learned that Michigan would benefit from the federal tobacco settlement, it allotted $1 billion to create and fund the Life Sciences Corridor—an initiative that would utilize public/private collaboration in hopes of turning Michigan into an epicenter of biotechnology research. In light of this initiative's success, Governor Jennifer M. Granholm expanded the scope of this initiative to include two other high-tech, high-growth sectors: advanced automotive technologies and homeland security. Over four years, already more than $200 million has been dispersed between the three technologies.

Bronze Winner

Public/Private Partnerships
San Diego Regional Economic Dev. Corp.
Project: Partnership for the New Economy
Location: San Diego, CA

Responding to San Diego's need for more high-wage jobs, the San Diego Regional EDC, in collaboration with technology leaders, public officials, economic developers, industry associations, and educators, created Partnership for the New Economy. With a modest budget of $100,000, this project, focused on stimulating technology-based economic development, has had a tremendous impact on the region. It has spurred the creation of 11,253 jobs, and has had a total financial impact of $1.1 billion over the time period from 2001 to 2003.

"This [program] is cutting-edge, focused on the new economy opportunities, strong private leadership, and a great mix of education and business elements," says judge Mark Sweeney.

Bronze Winner

Regional Programs
New Vision
Project: Lean Initiative
Location: Yakima, WA

 New Vision, the Yakima County Development Association, in November 2002 began offering lean manufacturing training at the request of manufacturers looking for ways to survive and prosper in a challenging economic climate. Many manufacturing companies were forced to cut training budgets as a cost saving measure, and, in response, New Vision (in partnership with local and state agencies) developed a lean manufacturing training initiative. This initiative blends classroom instruction with on-site consultation. It is designed to provide companies with the tools necessary to become more efficient in filling their current orders, as well as help them discover opportunityfor growth. 2

Bronze Winner

State Programs
PA Dept. of Community and Economic Dev.
Project: Economic
Stimulus Package
Location: Harrisburg, PA

In Spring of 2003, newly elected Pennsylvania Governor Edward Rendell set out to invest in the state's communities, businesses, and schools. This vision took shape as Pennsylvania's Economic Stimulus Package and was signed into law on April 1, 2004. The package leverages $2.3 billion in grants, loans, and loan guarantees over three years to help generate at least $5 billion in private sector investment. It is unique because it addresses fundamental economic development needs that have not been addressed before—from site identification and preparation to project completion. In total, 18 new programs were developed that will help enhance Pennsylvania's preexisting economic development programs.

Honorable Mentions

Public/Private Partnerships
Operation Oswego County (NY)
Project: Reutilization of Nestle´ Facility Williamson County Economic Dev. (TN)
Project: Cool Springs Life Science Center

Regional Programs
City of Ft. Worth (TX)
Project: Ft.Worth Business Assistance Center Business Dev. Board (Palm Beach, FL)
Project: Scripps Research Institute