Augusta County Economic Development & Tourism 2023 Annual Report

AUGUSTA COUNTY

OFFICE OF ECONOMIC DEVELOPMENT & TOURISM

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THE SHENANDOAH VALLEY OF VIRGINIA

2023 REPORT

VIRGINIA # 2 Top State for Business in 2023 (CNBC) VIRGINIA #1 Customized Training and #1 Cyber Security Leader in the US in 2023 (Business Facilities) VIRGINIA #1 Top State Education in 2023 (CNBC)

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WASHINGTON DC RICHMOND 11 11 81 81 64 STAUNTON 64 WAYNESBORO AUGUSTA COUNTY VIRGINIA’S SHENANDOAH VALLEY

AUGUSTA COUNTY’S 2023 WITNESSED HIGH-PROFILE ACHIEVEMENTS: new airport hangars swung open at Shenandoah Valley Airport, ribbons were cut at Amazon’s new distribution center, and visitor spending soared to new heights, eclipsing pre-pandemic totals and accelerating. Plus, the secret’s out: we’re an outdoor recreation destination and are now home to the Grindstone Trail Running Festival – an internationally recognized mountain marathon race hosted at our Natural Chimneys.

Simultaneously, the Department of Economic Development and Tourism continues building the capacity, responsiveness, and strategic vision of our region’s economy. Laying the groundwork that makes such investment and expansion possible, we partnered with private landowners to improve site development readiness. We led regional partnerships to expand local food and craft brewing industries in an effort to strengthen the agricultural backbone that is so important to our community.

In collaboration with government and industry partners, we launched a public Economic Development Strategic Planning effort in tandem with an update to the County’s overall Comprehensive Plan. This work will extend into 2025 and beyond. The Economic Development Strategic Plan is designed to reflect our community’s vision in shaping policies, objectives, goals and future economic opportunities.

Success in business attraction, retention, and expansion grows from our strong partnerships with business leaders, workforce development programs, property owners, entrepreneurs, the agriculture community and regional stakeholders. We look forward to another year of collaboratively growing our region’s vibrant economy.

2023 REPORT 3

SCAN FOR MORE PLAN TIMELINE DETAILS

Augusta County Facts and Figures 2023

BUSINESS LICENSES

5,006 ACTIVE BUSINESS LICENSES 4

WORKFORCE WITHIN 45 MINUTES 5

498 NEW BUSINESS LICENSES 4

282,095 LICENSES + PERMITS

INDUSTRIAL + COMMERCIAL CONSTRUCTION PERMITS

$77.4

MILLION VALUE OF PERMITS 4

151 PERMITS ISSUED4

1,552 INCREASE IN JOBS (Q1 2022 – Q2 2023)

AVERAGE ANNUAL WAGE (Q3 2023)1

$55,800

5% INCREASE

24% INCREASE SINCE 20201

2.3%

UNEMPLOYMENT RATE3 (DEC 2023)

59.4% LABOR FORCE PARTICIPATION RATE1

79.5% PRIME-AGE (25-54) LABOR FORCE PARTICIPATION RATE1

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2023 REPORT 5 Sources: 1. Chmura’s JobsEQ® 2. Weldon Cooper Center for Public Service 3. Virginia Employment Commission 4. County of Augusta 5. EMSI BUSINESSES BY SIZE 3 0-9 EMPLOYEES 78% 10-49 EMPLOYEES 18% 50-249 EMPLOYEES 3% 250+ EMPLOYEES 1% COST OF LIVING 2.8% LESS THAN U.S. AVERAGE1 10.8% LESS THAN VIRGINIA AVERAGE1 TOTAL POPULATION 2 77,913 8.0% PROJECTED INCREASE BY 20402 5.4% INCREASE SINCE 20103 LARGEST EMPLOYMENT SECTORS 1 Manufacturing (22% OF WORKFORCE) Health Care and Social Assistance Transportation and Warehousing Educational Services Construction

Site Development

Blue

PROJECT SYNERGY

See pg 10 for SHD Aviation Technology Park utility relocation project.

COMPLETED:

Master Plan, Phase 1 Environmental Site Assessment, Wetland Delineation, Threatened & Endangered Species Review, Historic Resources Review, Geotechnical Engineering Report

Due diligence completed through a Go Virginia grant via the Shenandoah Valley Partnership.

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ACRES

Mountain Site WEYERS CAVE, VA DUE DILIGENCE COMPLETED ON 199

TIER 4 CERTIFIED SITEVIRGINIA BUSINESS READY SITES PROGRAM

Martin Site

COMPLETED:

Master Plan, Phase 1 Environmental Site Assessment, Wetland Delineation, Threatened & Endangered Species Review, Historic Resources Review, Geotechnical Engineering Report

Due diligence completed through a Go Virginia grant via the Shenandoah Valley Partnership.

Afton Mountain Site AFTON,

VA

COMPLETED:

Topographic Survey, Boundary Survey, Protected Species and Historical Screening Survey

Due diligence completed through a Department of Housing and Community Development Industrial Revitalization Fund grant.

2023 REPORT 7

STUARTS DRAFT, VA

ACRES DUE DILIGENCE COMPLETED ON TOTAL SITE ACREAGE 271

138

Site Development and Openings

Mill Place Commerce Park VERONA, VA

Located ½ mile from Interstate 81 at Exit 227, Mill Place Commerce Park is owned by Augusta County. The 371-acre Park’s zoning accommodates a variety of business uses in a compatible and complementary format, and its Tier 4 Site Ready Certification ensures prospects construction can take place within 12-18 months. Approximately 180 acres remain available for development.

PRODUCTION FACILITY COMING SOON

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TIER 4 CERTIFIED SITEVIRGINIA BUSINESS READY SITES PROGRAM

Amazon Opens New Fulfillment Center

“Virginia is a great state to do business, and we are proud to continue to invest in the Shenandoah Valley and in the communities where our employees and their families live and work.”

— DEAN FULLERTON AMAZON’S VICE PRESIDENT GLOBAL ENGINEERING SERVICES

OPENED SPRING 2023

2023 REPORT 9 SCAN TO READ MORE ABOUT THIS PROJECT

MILLION SQUARE FOOT FACILITY OVER

1

500+ NEW JOBS

Openings

Shenandoah Valley Airport Cuts Ribbon on New Hangars

Growing opportunities for advanced aviation businesses like Dynamic Aviation, the new commercial hangars in the Aviation Technology Park will serve both new and expanding industries.

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PROJECT SYNERGY

Water and sewer relocation during the creation of the SHD Aviation Technology Park brought utilities closer to neighboring Blue Mountain Site (SEE PG 6), helping to pave the way for future development.

SCAN TO READ MORE ABOUT THIS PROJECT

2023 REPORT 11

Swartz Photography

Marketing and Outreach Initiatives

The Shenandoah Valley Partnership (SVP) works with public and private partners at the local, regional, and state level to develop an economic climate for business success throughout the Shenandoah Valley. Augusta County enjoys a strong partnership with SVP.

n Completed 8 marketing missions

n Created a GIS WebTech platform providing up-to-date site details

n Launched Talent Attraction campaign recruiting professionals from outside the region

n Completed Go Virginia Site Enhancement Project - nine sites started at Tier 2 with seven increasing to Tier 4

n Hosted 11 podcasts and 4 cooking shows aimed at site selector awareness of the Valley

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SHENANDOAH VALLEY PARTNERSHIP

SCAN TO WATCH THE VIRTUAL COOKING SHOW AUGUSTA HEALTH EDITION SCAN TO WATCH THE VIRTUAL COOKING SHOW JOB STARTER EDITION

REDESIGNED LOGO

Debuted C-Suite Testimonial Video

“There couldn’t be a better place than Virginia, particularly here. It’s been very easy to get trucking - it’s been very easy with the skilled workforce here. Being able to find great freight companies to work with [and] being able to take our products throughout the Eastern Seaboard has been fantastic.”

— TIM KELLY Senior Vice President, Shamrock Foods

“Augusta County specifically has been great to work with… We’ve gone through numerous expansions, and every expansion that we’ve had, the community, as well as the state has come alongside.”

— KEVIN CLEVELAND Director of Plant Operations (retired), Hollister

“This group of people here really care about what they’re doing. They want to learn, they want to be able to help the company grow, and they’re saying what do you need me to do - if I don’t know how to do it today, help me and I’ll figure it out. It’s hard to put a price on that, but it can make all the difference.”

— RICK GAGLIANO President and CEO, AccuTec

AUGUSTA COUNTY ECONOMIC DEVELOPMENT & TOURISM

SCAN HERE TO SEE THE VIDEO AVERAGE OPEN RATE

MONTHLY

2023 REPORT 13

48%

NEWSLETTER

Marketing and Outreach Initiatives

Shenandoah Valley Farm2Fork Affair

MARCH 14, 2023

Farm2Fork Affair connects Shenandoah Valley farmers, producers and makers with commercial-scale buyers such as restaurants, hotels, universities, markets and more throughout Virginia, West Virginia, and Washington, D.C. This event is planned in partnership with other Shenandoah Valley localities.

100+ BUYERS

40+ PRODUCERS

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2023 REPORT 15

Marketing and Outreach Initiatives

Tourism

2022 TOURISM IMPACT NUMBERS

n Direct Visitor Spending experienced a full rebound following the COVID-19 pandemic, reaching new heights across industries.

n Food and Beverage, Lodging, and Recreation led the growth in visitor spending.

n Visitor spending expanded 11% in 2022, surpassing 2019 levels by over 25%.

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DIRECT VISITOR SPENDING BY INDUSTRY (in millions of dollars) $0 $5 $10 $15 $20 $25 $30 $35 $40 $45 2016 2017 2018 2020 2021 2022 2019 Lodging Food & Beverage Retail Recreation DIRECT VISITOR SPENDING ( in millions of dollars) $0 2016 2017 2018 2020 2021 2022 2019 $20 $40 $60 $80 $100 $120 $140 $160

Source: Virginia Tourism Corporation