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The Porter Regional Hospital Health At Work program offers a full suite of job-related medical services. Our goal is to help prevent and reduce workplace illnesses and injuries and to avoid lost-time accidents, and lower your healthcare-related expenditures. At Porter Regional Hospital, we know a healthy workforce contributes to a healthy bottom line. To learn why more employers are choosing Porter Regional Hospital’s Health At Work program, or to schedule a consult, call 219-263-7285. • Electronic health risk assessment • Electronic personal health record • Occupational medicine services • Workers’ compensation coordination • Preventive health and wellness services • General health service coordination • Personalized health coaching with certified nurse health coaches U.S. Hwy. 6 at SR 49 Valparaiso
Porter Regional Hospital is directly or indirectly owned by a partnership that proudly includes physician owners, including certain members of the hospital’s medical staff.
Publisher’s Desk Indiana’s Exciting Year-End
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t the conclusion of each year, our team at Building Indiana is proud to showcase the hard facts and figures that prove Indiana is the best state for business. Our Facts and Stats issue is brought to you from resources
throughout academia, state and federal databases, research firms, and numerous other quality sources that come together to paint an overall picture of a state that works hard to foster economic growth and continued success. But don’t just take our word for it; take a look at some of these amazing facts about Indiana business from the Indiana Economic Development Corporation: •
Indiana has a AAA credit rating, and hasn’t enacted or considered a general tax increase.
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Property taxes are capped and cut by one-third.
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Indiana’s corporate adjusted gross income tax is a flat 7.5 percent, which will be phasing down to 6.5 percent by 2015.
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There is no inventory tax, no gross receipts tax, and corporate income tax based solely on sales in Indiana.
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There are state tax exemptions for patents developing new business technology or processes, and a R&D sales tax credit on research and
219.226.0300 • 317.632.1410 www.buildingindiana.com
CORPORATE HEADQUARTERS 1330 Arrowhead Court Crown Point, IN 46307 Publisher/Editor Andrea M. Pearman apearman@buildingindiana.com Director of Advertising Diane Towle dtowle@buildingindiana.com Writer Nick Dmitrovich ndmitrovich@buildingindiana.com Creative Director Jen Labriola jlabriola@buildingindiana.com Graphic Designer Carlo Labriola clabriola@buildingindiana.com Accounting Craig Marshall cmarshall@buildingindiana.com
development equipment. With all of these, and other, amazing facts about our state, it’s clear to see why so many businesses have begun to take a longer look at relocating to Indiana in their future plans. Recently it was announced that The AES Corporation, one of the world’s leading power producers, will be relocating its headquarters in Indianapolis, also Tec Air Inc. and Land O’Frost will both be moving to Munster from Illinois, and American Specialty Health Incorporated (ASH) will be coming to Indiana from
Indianapolis Office Business Development Manager Lee Ann Richardson 888.226.0330
Warsaw Office Business Development Manager Julie Monteith 888.226.0330
California. We hope that you enjoy reading all of these amazing facts about Indiana that we have gathered in our final edition of Building Indiana
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for the year, and we hope that you draw as much inspiration from them as we have. Happy holidays, and
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we’ll see you next year! Kind Regards, Visit us at thinkdiversified.com
Andrea M. Pearman Publisher
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Copyright ©2013 Building Indiana News is published six times a year. Address correspondence to: 1330 Arrowhead Court, Crown Point, IN 46307. Publisher reserves the right to accept or reject any editorial or advertising matter. Publisher assumes no responsibility for return of unsolicited manuscripts or art. No part of this publication may be reprinted or otherwise duplicated without the written permission of the publisher. For general reprint information, contact Building Indiana News at apearman@buildingindiana.com. All opinions and views are solely those of the participants or editors and are not necessarily the views of magazine sponsors.
www.buildingindiana.com | NOVEMBER/DECEMBER 2013
Choose a strong foundation for your growing business.
Purdue Technology Center and AmeriPlex at the Crossroads provide the right locale and environment for entrepreneurs to create and grow their businesses. Right location - close proximity to I-65 & U.S. 30. Room to grow - Purdue Research Park 392-acre site ready for build-to-suit. Superior facility - office and wet lab spaces, flexible space, competitive pricing. Business services - business acceleration, marketing, clerical support, mailroom. Personal learning opportunities - Tech Talk, Technology Road Shows, Angel Network.
For more information visit: Purdue Technology Center. 9800 Connecticut Drive, Crown Point, Ind. (219) 794-1492 www.purdueresearchpark.com/merrillville
NOVEMBER/DECEMBER 2013 | www.buildingindiana.com
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Contents N O V/ D E C
2013
EVERY ISSUE
04 Publisher’s Desk 08 Contributors 09 Business Buzz 22 People News E X P E RT A DV I C E
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State of the Industry Important Decisions about NWI’s Future
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THE LAST WORD When Life Gives You Lemons, Make Lemonade
F E AT U R E S
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PHOTO FEATURE
29 INDIANA BY THE NUMBERS 30 RULE OF LAW 32 SAFETY ZONE 34 BOTTOM LINE 36 BEING PRODUCTIVE 38 MASS PRODUCTION 40 SMALL BUSINESS SPOTLIGHT 42 MAIN FEATURE 46 REAL ESTATE 48 CONSTRUCTION 50 LOGISTICS 52 WORKER’S COMP 54 WELL BEING 56 LIFELONG LEARNING 58 GREEN & SUSTAINABLE 59 ECONOMIC DEVELOPMENT 60 MARKETING
www.buildingindiana.com | NOVEMBER/DECEMBER 2013
THE AMERICAN GROUP OF CONSTRUCTORS
FOUNDATION STONES Determination in our Commitment to Safety Pride in our Workmanship Trust in our Relationships Care in our Stewardship
“A sure foundation inspires confidence, encourages creative thinking, and enables us all to achieve wonderful things...”
Phone: 877-937-1508 | Fax: 219-937-1512 www.tagconstructors.com
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Contributors Dewey Pearman Dewey Pearman serves as Executive Director for the Construction Advancement Foundation. He has a Master’s in Economics from Indiana State University. The foundation promotes the union construction industry of northwest Indiana by helping to enhance its efficiency and competitiveness via labor relations and government management, education, training, safety and workforce development.
The Construction Advancement Foundation
Providing World Class Training and Professional Development to Advance The Construction Industry. 6050 Southport Road, Suite A • Portage, IN 46368 P: 219-764-2883 • F: 219-764-2885 www.cafnwin.org
David W. Holt David W. Holt is Vice President of operations and business development for Conexus Indiana. In his role with Conexus, Holt drives the logistics agenda and developed, recruited and led the formation of the Conexus Indiana Logistics Council Executive Committee, a forum of prominent logistics executives, throughout the state of Indiana. Holt formerly served as the Indiana Chamber of Commerce’s Vice-President of Health Policy and Federal Relations. Esri® Corporate Esri®helps organizations map and model our world. Esri’s GIS technology enables them to effectively analyze and manage their geographic information and make better decisions. They are supported by an experienced and knowledgeable staff and an extensive network of business partners and international distributors.
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MAIN BUZZ
February 11-12, 2014
Radisson Star Plaza Merrillville, Indiana By Nick Dmitrovich
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he two-day event will showcase the latest in safety, products and training with over 70 exhibitors and 35 educational sessions. The expo is ideal for owners, contractors, executive teams, plant managers, safety directors, engineers, auditors, environmental professionals and mid-level managers. For anyone working with safety, this is the place to be! Business owners and safety professionals from companies such as NIPSCO, BP, ArcelorMittal, and US Steel will gather to share knowledge and experience. This year, the Northwest Indiana Business Roundtable (NWIBRT) has joined their annual Reliability Conference with the Beyond Safety Conference. “Safety and Reliability go hand-in-hand. Every aspect of the job has to be safe. Combining the two conferences truly diversifies the education offered,” stated Britta Hallboom, Engineer with NIPSCO and Chair of Reliability Committee at NWIBRT. Beyond Safety is a collaborative effort between four of the strongest industry associations; American Society of Safety Engineers (ASSE), Construction Advancement Foundation (CAF), Northwest Indiana Contractors Association (NWICA) and NWIBRT. “Continuing education is imperative to our industry and safety. With these organizations working together, we
are able to develop over 30 educational seminars that carry 1.2 Continuing Education Units (CEUs) for attendees,” says Terry O’Grady of Pekron Consulting and ASSE member. BP is proud to be the presenting sponsor this year and will once again incorporate their annual Contractor Safety Award Ceremony with the Beyond Safety Conference. “The Awards Ceremony recognizes our BP Whiting contractors who have performed exceptionally well in the paramount area of safety,” according to Rick Foor, Safety Specialist at BP Products North America, Inc. By attending Beyond Safety our workers and contractors will be able to attend more educational courses. It’s a win-win for all of us.” Continuing at this year’s event will be multiple in-depth panel discussions each day of the conference, networking receptions, and availability to VIP corporate suites. Over 70 exhibitors set-up to discuss the latest in safety and to showcase safety products. If you are in the construction, maintenance or reliability industry, this conference is for you. Tickets and exhibit space sell out quickly. Early bird pricing saves $50.00 per ticket but must be ordered before December 30th. Registration includes admission to all sessions, the Expo floor, all meals and snacks including the cocktail reception, and access to hospitality suites and evening entertainment.
NOVEMBER/DECEMBER 2013 | www.buildingindiana.com
For complete details, including sponsorship opportunities, visit www.beyondsafetyexpo.com. Who Should Attend: • Safety Managers/Directors • Industrial Hygienists • Contractors • Construction Managers • Occupational Health Nurses or Practitioners • Safety Committee Members • Plant Managers • Safety Consultants • Risk Managers • Facility/Building Managers • Safety Engineers • Maintenance Supervisors • Personnel and HR Managers Tuesday, February 11 Schedule: 7:00: Registration, Continental Breakfast in Expo 8:00: General Session 9:30: Breakout Session I 11:00: Breakout Session II 12:00: Lunch Presentation 1:30: Breakout Session III 3:00: Breakout Session IV 4:30: Reception 4:30: Cocktail Reception 6:00: VIP Suites Wednesday, February 12 Schedule: 8:00: General Session 9:00: Breakout Session V 10:30: Breakout Session VI 11:30: Lunch Presentation 1:00: Breakout Session VI 3:00: Breakout Session VII 4:30: Conference Adjourns
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Medical Supply Company Moves to Indiana MAC Medical Supply Company, Inc., a wholesaler and sourcer of medical supplies, announced plans to relocate its warehouse and shipping operations from Tinley Park, Ill. to Munster, Indiana, creating up to 40 new jobs by 2016. The company will invest $1.6 million to lease, renovate and equip a new 75,000 square-foot facility located at 9200 Calumet Avenue in Munster. The facility, which became operational in August, will allow the company to expand its distribution operations. MAC Medical has already begun hiring warehouse, marketing, sales and office associates for its new Munster facility. Founded in 2000, MAC Medical distributes primarily American-sourced medical supplies to health care purchasers and hospitals around the world, including customers through its contracts with the U.S. Departments of Defense and Veterans Affairs. It specializes in distributing a wide range of medical and surgical products such as sterile specimen containers, chemotherapy protection and safety
2012 NWIBRT
INNOVATION AWARD RECIPIENT
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devices, wound care supplies, surgical instrument care solutions, sterile lubricating gels and mortuary supplies. A certified Women’s Business Enterprise, the company also provides third-party logistics to other medical supply companies. The Indiana Economic Development Corporation offered MAC Medical Supply Company, Inc. up to $250,000 in conditional tax credits and up to $50,000 in training grants based on the company’s job creation plans. These tax credits are performance-based, meaning until Hoosiers are hired, the company is not eligible to claim incentives. The town of Munster supports the project. Indiana ranks first in the Midwest and in the top 10 nationally for its business tax climate, according to the Tax Foundation’s 2014 State Business Tax Climate Index. Indiana also is one of only nine states in the country to have earned a triple-A credit rating from all three agencies. Because of its low taxes and fiscal stewardship, companies continue to cross the state line from Illinois to operate in Indiana.
Notre Dame Executive MBA Program Earns new Rank The University of Notre Dame Executive MBA program rose 12 slots to No. 15 in the newly-released Bloomberg Businessweek’s biennial ranking of the best executive MBA programs in the nation. The article accompanying the ranking noted that the program was “the biggest mover” of the 42 programs included in this year’s ranking, primarily due to a strong showing in student satisfaction. The publication uses two measures to rank executive programs: a survey of graduating EMBA students that covers their entire MBA experience, from admission to graduation, and a poll of EMBA directors that asks for feedback on which programs they view as the best. The student survey calculation includes three years of data, encompassing the last three ranking cycles (2009, 2011 and 2013). The Notre Dame EMBA also was ranked No. 15 in the world in July on The Economist’s “Which MBA? Executive MBA Ranking,” the international news publication’s inaugural ranking of executive graduate business degree programs.
INDOT Awards Final U.S. 31 Major Moves Contract The Indiana Department of Transportation (INDOT) has awarded the last among $722 million in Major Moves highway construction contracts to upgrade or bypass U.S. 31 bottlenecks near South Bend, Kokomo and Indianapolis. Primco Inc. of Fort Wayne will build a new 7th Road interchange just north of the existing U.S. 30 interchange in Plymouth. When the final Hamilton County section opens to traffic in 2015, a total of 32 stoplights will have been removed from U.S. 31 between Indianapolis and South Bend, saving drivers a half hour of travel time. The U.S. 31 Major Moves projects are intended to reduce congestion, improve safety and provide continuity of com10
www.buildingindiana.com | NOVEMBER/DECEMBER 2013
for the pipeline industry. With customers ranging from small manufacturers to Fortune 500 companies, Calumet Pallet intends to continue growth of its erosion tube line, Flow Best Filtering Tubes, which is used in the construction industry as an alternative to silt fences. The Indiana Economic Development Corporation offered Calumet Pallet Co. Inc. up to $600,000 in conditional tax credits and up to $60,000 in training grants based on the company’s job creation plans. These tax credits are performancebased, meaning until Hoosiers are hired, the company is not eligible to claim incentives. The city of Michigan City approved additional tax abatement at the request of the Economic Development Corporation Michigan City. Calumet Pallet is the fifth company to announce expansion plans in LaPorte County this year, creating a total of more than 260 new jobs and $21 million in capital investment.
Green Pallet Manufacturer Grows in LaPorte County Calumet Pallet Co. Inc., a manufacturer of wooden pallets, announced plans to expand its operations in Michigan City, creating up to 115 new jobs by 2016. The homegrownHoosier company, which also repairs old pallets or recycles pallets into landscape mulch, playground surfacing and animal bedding products, will invest $2.7 million to purchase and equip a new 93,000 square-foot facility in Michigan City. The new location, which also includes 14.5 acres of outdoor storage, will be complete by January 2014. Calumet Pallet, which currently employs 35 full-time associates, plans to begin hiring production and administrative positions in December. Founded in 1975 by Al Bridegroom, Calumet Pallet plans to increase production to more than 50,000 pallets per week immediately upon moving into its new facility. The company also plans to begin seeking new markets with the expansion, focusing on crane mats
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BUSINESS BUZZ
merce and regional travel for a U.S. highway that stretches from Michigan to Alabama. Before the Thanksgiving travel holiday, 13 miles of new U.S. 31 freeway will open with five new interchanges just east of Kokomo. The $155 million project circumvents 15 traffic signals and more than 130 access points along the existing U.S. 31 in Kokomo. The 20-mile U.S. 31 corridor between U.S. 30 in Plymouth and the U.S. 20 bypass in South Bend includes 15 miles of new highway alignment and four new interchanges. The $225 million section is scheduled to open to traffic by the end of 2014. The $342 million U.S. 31 Hamilton County project upgrades 13 miles of existing U.S. 31 between I-465 in Carmel and State Road 38 near Westfield, including nine new interchanges. Following Governor Mike Pence’s infrastructure vision to “take care of what you’ve got, finish what you’ve started and plan for the future,” INDOT earlier this year announced a separate project to build a new U.S. 31 interchange at State Road 28 near the 800,000-square-foot Chrysler Tipton Transmission Plant. Construction of the estimated $17 million interchange is scheduled to begin in 2015.
BUSINESS BUZZ
Health Care Company Joins Purdue Research Park, Merrillville Patients who need assistance to understand medical bills, obtain coverage for medical services, pay claims or appeal denied claims, or negotiate discounts for medical payment plans could benefit from a firm that has become a Purdue Research Park tenant, in Merrillville, Indiana. My Patient Advocate protects patients’ rights and helps them make better informed decisions about healthcare options and services. Terri Metro, CEO and founder, spent more than 20 years working with physicians and hospitals as a healthcare consultant, practice administrator and medical billing specialist. She said patients can often feel overwhelmed by medical bills, policies and coverage. Metro said My Patient Advocate’s main goal is to provide peace of mind. She said becoming a tenant in the Purdue Research Park of Northwest Indiana is one step toward meeting her goal to help the public in her community. Greater Lafayette Commerce Reports Growth With $768 million in capital investments of at least $100,000 each made through August 31 this year—$122 million more than all of 2012, Greater Lafayette Commerce reports that a focus on growth and community is paying dividends. Industry investments include Heartland, Nanshan, Subaru of Indiana, TKO Graphix, voestalpine Rotec,
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and the Alcoa plant, announced last year. Among the other tallies: Six new banking facilities, 19 new retailers and 12 new restaurants have opened already this year, and about a half-dozen significant real estate developments are under way. The growth goes hand-in-hand with several community initiatives led by Greater Lafayette Commerce, including the Advancing Manufacturing training and jobs program and the Community of Choice plan to move from good to great. The Mid-year 2013 Economic Trends, which details the news by sector, is available under the “Economic and Community Development” tab at www.greaterlafayettecommerce.com.
Centier Bank Announces Plans for New Lafayette Branches Michael E. Schrage, President and CEO of Centier Bank, announced construction plans for a new banking center near the intersection of CR 350 S. and Regal Valley Drive in Lafayette. Schrage announced that KJG Architecture, a West Lafayette-based firm, will manage the design of the 2,500 square foot location. Plans for construction include a four person teller line, reception lobby with offices for mortgage, commercial, and personal banking, and a fourlane drive thru, including a 24-hour drive-up ATM. The new full-service banking center will expand Centier Bank’s service footprint and complement its downtown branch located at 323 Columbia Street. The Columbia Street branch, which opened in 2010, has grown to include a team of long-time Lafayette Bankers that manage personal, mortgage, and commercial loans in the greater Tippecanoe County area. The next year will be a busy time for the bank: Centier also has plans to open a banking center in West Lafayette at 1020A Sagamore Parkway West. The new retail branch, scheduled to open next summer, will be located in a space formerly occupied by Lafayette Savings Bank. Plans for the 2,000+ square foot building include safe deposit boxes, multiple offices, conference room, and the convenience of two drive-thru lanes, and a drive-thru ATM.
Munster Steel to Break Ground
• RENTAL • SALES • MAST CLIMBERS & SWING STAGES • TRAINING • INSTALLATION & DISMANTLE
219-932-3045 12
A northwest Indiana steel fabricator will mark the beginning of construction soon on a long-awaited relocation project. Munster Steel Co. Inc. announced plans two years ago to build a new multimillion dollar headquarters in Hammond. The family-run company, currently located in Munster, was founded in the 1950s and will retain its name. When the move was announced in 2011, officials estimated the project to cost up to $6 million. It will be located in the West Point Plaza Industrial Park and be part of additional road projects set to begin adjacent to the development.
Four Indiana Universities Make Top 200 List Four universities in the state are on a national publication’s ranking of the top 200 colleges in the nation. The Daily Beast’s “Down + Dirty Guide to The Best Colleges” examined data from www.buildingindiana.com | NOVEMBER/DECEMBER 2013
For daily news from Nortwest Indiana and around the state, visit our blog at www.buildingindianablog. com and follow us on Twitter @BuildingIndiana.
Northeast Rieke Packaging Systems Expanding Hamilton Operations Rieke Packaging Systems has received a property-tax reduction for equipment it will add at its Hamilton operations. The Hamilton Town Board agreed to a 10-year phase-in of taxes on $1.8 million in plastic injection molding equipment for Rieke’s plant at 2855 E. Bellefountaine Road, said Brent Shull, Hamilton town manager.
Rieke told Hamilton officials it plans to add nine employees to its current roster of 45 workers in Hamilton. The new equipment will allow Rieke to more efficiently supply its customers in the eastern United States, Shull said. Rieke maintains its headquarters and main manufacturing plant in Auburn, where it has operated since 1923. Its Hamilton operations began in 2002. Rieke makes drum closures and a wide variety of product dispensing systems.
Biomet Acquires Colorado Company Biomet, Inc., a global leader in the manufacture of musculoskeletal and biotechnology products, announced that it has reached a definitive agreement to acquire Lanx, Inc., of Colorado, a full service spine company and a leader in minimally invasive techniques and technologies. The pending acquisition would expand Biomet Spine’s technology portfolio through the addition of innovative products currently offered by Lanx, including the Timberline Lateral Approach Fusion System, and the Aspen Minimally Invasive Fusion System. These products are complementary to Biomet Spine’s comprehensive offering of products, including the Lineum OCT Spine System, MaxAn Anterior Cervical Plate System, Cellentra VCBM and the Polaris Translation Screw System. The closing is subject to clearance under the Hart-ScottRodino Antitrust Improvements Act and other customary
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NOVEMBER/DECEMBER 2013 | www.buildingindiana.com
Contact: Harrison County Economic Development Corp 812.738.0120 dvoelker@hcedcindiana.org 13
BUSINESS BUZZ
nearly 2,000 institutions. It considered factors including future earnings, quality of education and affordability. Overall, the University of Notre Dame is the highest ranked in Indiana, placing 30th. Indiana University is 69th, Purdue University places 74th and DePauw University comes in at 138th. Yale University is rated best in the U.S.
BUSINESS BUZZ
closing conditions. The boards of directors of both Biomet and Lanx have approved the transaction. The acquisition is expected to close on or before November 29, 2013.
Auto Supplier Moving Operations to LaGrange County Exo-s US, LLC, a supplier of injection and blow molded thermoplastic systems, announced plans to relocate its operations from Three Rivers and Centreville, Mich. to Howe, Indiana, creating up to 250 new jobs by 2016. The Quebec, Canada-headquartered company, which supplies HVAC duct, engine covers and related products to the automotive industry, will invest $6.8 million to move its manufacturing to a 191,000 square-foot facility in LaGrange County. With plans to begin Indiana operations early next year, the company’s move will optimize its production costs and add space to accommodate future expansions. Exo-s, which currently has more than 200 full-time employees at its Three Rivers and Centreville, Mich. facilities, plans to begin hiring machine operators, manufacturing associates, technical and engineering personnel early next year to support the transfer of operations. The Indiana Economic Development Corporation offered Exo-s US, LLC up to $2.75 million in conditional tax credits and up to $225,000 in training grants based on the company’s job creation plans. These incentives are performance-based, meaning until Hoosiers are hired, the company is not eligible to claim incentives. LaGrange County will consider additional tax abatement at the request of the LaGrange County Economic Development Corporation. With Indiana’s expertise in advanced manufacturing, automotive suppliers like Exo-s find a natural home in Indiana. More than 630 automotive companies currently operate across the state, with each company enjoying a competitive advantage from Indiana’s low taxes, limited regulation and pro-growth policies.
Italy-based Auto Component Manufacturer Locating First U.S. Facility in Indiana Coram USA LLC, a global manufacturer of automotive components, announced plans today to expand its operations in Fort Wayne, Indiana, creating up to 35 new jobs by 2016. The company, which is a subsidiary of the Italy-based Coram Group, will invest $1.1 million to lease, renovate and equip a 20,000 square-foot facility in Fort Wayne. Coram USA plans to move its warehousing for the North American market from Italy to the new facility and begin production and distribution of steering columns this winter. Coram USA, which currently employs more than 200 associates internationally, plans to begin hiring assembly, quality, purchasing and accounting positions later this year. Founded in 1957, Coram designs, manufactures and sells 14
parts for heavy-duty commercial vehicles, agricultural machines, construction equipment, material handling machines and wind generators. The company, which also has facilities in Italy and Taiwan, serves customers throughout the world. The Indiana Economic Development Corporation offered Coram USA LLC up to $215,000 in conditional tax credits and up to $50,000 in training grants based on the company’s job creation plans. These tax credits are performance-based, meaning until Hoosiers are hired, the company is not eligible to claim incentives. The city of Fort Wayne will consider additional tax abatement at the request of the Fort Wayne-Allen County Economic Development Alliance.
Tennessee Company Moves To Indiana Gator Cases, Inc., a manufacturer of cases, bags and stands for the music, pro-audio, audiovisual markets and original equipment manufacturer (OEM) case suppliers, announced plans to relocate its distribution center from Chattanooga, Tenn. to Columbia City, Indiana, creating up to 106 new jobs by 2016. The Tampa, Fla.-headquartered company, which designs and manufactures hard cases and bags to protect a variety of products, will invest $4,464,000 to lease, renovate and equip a 168,000 square-foot facility at 2499 S. 600 E. in Columbia City. The new facility, which is expected to be complete by January 2014, will house its rotational molding factory. Gator Cases, which employs 28 full-time associates in Indiana and 64 across the country, plans to begin hiring manufacturing, operation and distribution positions this December. Founded in 2000 in Tampa, Fla. by father-daughter team Jerry Freed and Crystal Morris, Gator Cases manufactures hard case and bag solutions for pro audio, information technology, audio visual, general utility, band instrument and percussion instruments. Offering more than 1,000 different solutions made from vacuum-formed plastics, rotational-molded plastics, wood, sewn and ethylene-vinyl acetate materials, the company sells through more than 3,000 dealers with products offered in more than 90 countries. The company also specializes in creating OEM custom case solution for manufacturers around the world. The Indiana Economic Development Corporation offered Gator Cases, Inc. up to $550,000 in conditional tax credits based on the company’s job creation plans. These tax credits are performance-based, meaning until Hoosiers are hired, the company is not eligible to claim incentives. Whitley County approved additional tax abatement at the request of Whitley County Economic Development Corporation. For daily news from Northeast Indiana and around the state, visit our blog at www.buildingindianablog.com and follow us on Twitter @BuildingIndiana.
www.buildingindiana.com | NOVEMBER/DECEMBER 2013
Rolls Royce Awarded Two Contracts Rolls-Royce has been awarded two contracts worth a combined value up to $496 million to support T56 engines on US government aircraft. Under a $406 million, six-year contract, Rolls-Royce will provide parts, plus field and engineering support, for thousands of T56 engines. The contract was awarded by the Defense Logistics Agency and will support approximately 1,000 C-130, P-3 and C-2 aircraft in service with the US Air Force, Navy, Coast Guard and Customs and Border Control and international fleets. A separate contract from the US Navy for up to $90 million includes engine repairs for E-2 Hawkeye aircraft, which are powered by two T56-A-427 engines. The five-year contract is renewable annually and is valued at $17 million for the first year. Rolls-Royce T56 engines have been in production since the 1950s and have been proven in the field as dependable and efficient powerplants operating around the globe. The T56 engine fleet has accumulated more than 200 million engine flight hours.
BUSINESS BUZZ
Central
A healthy workforce. The first step to building a healthy community.
Six Indiana Health Centers Land Millions in Grants The U.S. Health and Human Services (HHS) Secretary Kathleen Sebelius announced $4,493,417 in grant awards to support 6 new health center sites in Indiana. These funds, made available by the Affordable Care Act, will help care for approximately 42,086 additional Hoosiers by establishing new health center service delivery sites. Nationwide, 236 health center programs will receive approximately $150 million in grant awards to serve more than1.25 million additional patients. Community health centers work to improve communities’ health by ensuring access to comprehensive, culturally competent, quality primary health care services. Indiana health centers served 285,940 patients last year, 40 percent of them uninsured. As community-based and patient-directed or NOVEMBER/DECEMBER 2013 | www.buildingindiana.com
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ganizations, health centers are well positioned to be responsive to the specific health care needs of their community. Through the Affordable Care Act’s commitment to expand access to high quality health care for all Americans, these grants will support the establishment of new full-time service delivery sites. The six Hoosier organizations receiving funding are: • Heart City Health Center in Elkhart - $900,000 • Jane Pauley Community Health Center Inc. in Indianapolis - $812,500 • Meridian Services Corp. in Muncie - $866,667 • Neighborhood Health Clinics Inc. in Fort Wayne - $325,000 • Southlake Community Mental Health Center in Merrillville - $810,500 • Wabash Valley Health Center Inc. in Terre Haute - $778,750
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Stephani Electric (219) 362.2219
16
Nestlé USA Expanding in Anderson Nestlé USA announced a major new expansion of its plant in Anderson, Ind., and the addition of a seventh production line. This represents a capital investment of more than $72 million, and will increase the production capacity for BOOST Complete Nutritional Drink and CARNATION BREAKFAST ESSENTIALS Drink as part of the line of beverages produced in Anderson. The new line is expected to be in commercial production in 2014. In choosing the location for the expansion, Nestlé considered several options and selected Anderson as the facility best suited for this major undertaking. With its combination of attractive economic development policies, strong local workforce and proximity to a large number of high-quality dairy farms, the Anderson community is the best place for this expansion of Nestlé beverage operations, Nestlé stated. The company will increase the workforce in the future as production volume continues to increase across the Anderson site. Opened in 2009, the Nestlé Anderson plant also produces COFFEE-MATE nondairy creamer and is the sole production site for NESQUIK ready-to-drink in the U.S. It also serves as a storage and distribution center for other refrigerated Nestlé products, including NESTLÉ TOLL HOUSE Refrigerated Cookie Dough and BUITONI pastas. The plant employs more than 700 people in roles ranging from logistics, packaging, process engineering, engineering and controls to automation engineering.
INDOT Announces Last of Five U.S. 31 Contracts INDOT has announced that the last of five major construction contracts for The New U.S. 31 Hamilton County has been awarded to Rieth-Riley Construction of Goshen. The project spans nearly four miles from 169th Street to 203th Street and includes a new single-point urban interchange at State Road 32, a roundabout interchange at 191st Street, an overpass at 169th Street and an underpass at 181st www.buildingindiana.com | NOVEMBER/DECEMBER 2013
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BUSINESS BUZZ
Street. Rieth-Riley will begin some off-road work and temporary pavement widening along this section of U.S. 31 in early October. The contractor plans to shift southbound traffic to share the northbound side of the highway next spring. Two lanes of traffic will remain open in each direction. The $63 million award is the final contract to upgrade U.S. 31 to freeway standards from I-465 to State Road 38 - the largest and most aggressive road project ever implemented in Hamilton County. U.S. 31 Hamilton County is the first project in the nation to use new federal transportation legislation allowing up to 90 percent federal funding to be used for critical freight projects, an increase above the 80 percent maximum for non-interstate routes. The Hamilton County improvements are part of Major Moves projects to upgrade or bypass congested sections of U.S. 31 between Indianapolis and South Bend. Three U.S. 31 corridors in Indiana are intended to reduce congestion, im-
prove safety and provide continuity of commerce and regional travel for a U.S. highway that stretches from Michigan to Alabama.
Frontier Airlines Being Purchased by Indigo Partners LLC Republic Airways Holdings Inc. announced that it has entered into a definitive agreement to sell Frontier Airlines to an affiliate of Indigo Partners LLC in an all-cash transaction. Indigo Partners and its principals, led by managing partner William A. Franke, have a history of investing in airline transportation and related industries and creating successful, differentiated companies. Under the terms of the stock purchase agreement, which has been approved by Republic’s Board of Directors, the buyer, an affiliate of Indigo Partners, will acquire all the outstanding shares of Frontier Airlines Holdings, Inc. in a transaction valued at approximately $145 million, of which $36 million (subject to certain adjustments under the purchase agreement) is to be paid in cash for the equity of Frontier Holdings and the balance is indebtedness that will be retained by Frontier. In addition, Indigo plans to invest additional funds directly in Frontier after the closing. As part of the transaction, under a separate agreement, Republic will assign to Frontier all of Republic’s rights under agreements relating to the Republic’s Airbus A320neo order in exchange for reimbursement of predelivery deposits, which total $32 million. Completion of the transaction is conditioned on agreements being reached with the Association of Flight Attendants (AFA) and FAPAInvest LLC by no later than Oct. 31, 2013, as well as agreement and documentation of other third-party commercial agreements. The transaction is also subject to receipt of required approvals by the Federal Communications Commission for the transfer of Frontier’s radio licenses, the receipt of certain third-party consents and releases and other customary closing conditions. Assuming satisfaction of the conditions of the agreement, Republic expects the transaction to close in December 2013. Barclays is serving as financial advisor and Hughes Hubbard & Reed LLP is serving as legal advi-
www.buildingindiana.com | NOVEMBER/DECEMBER 2013
sor to Republic in connection with the transaction. Latham & Watkins LLP is serving as Indigo Partners LLC’s legal advisor.
American Chevrolet Cadillac of Muncie and Kia of Muncie held a ribbon cutting ceremony to commemorate the opening of their new dealership facilities in the new commercial development, Nebo Commons, in Muncie. The two state-of-the-art dealership buildings have located to the new development in an effort to serve their growing owner bases with larger more efficient facilities. Combined, both dealerships employ nearly 100 full time employees with anticipated job growth to accompany the added sales and service volume expected with these moves. American Chevrolet Cadillac of Muncie will be moving from its previous location on McGalliard road next to Stoops into a new efficient 40,000 square foot facility following General Motors’ new image requirements. The new location includes numerous customer amenities like a larger service reception area and waiting lounge, a 10 car showroom, a car wash, and For daily news from Central Indiana and around the state, visit our blog at www.buildingindianablog.com and follow us on Twitter @BuildingIndiana.
NOVEMBER/DECEMBER 2013 | www.buildingindiana.com
Princeton, IN, Company Earns Texas Contract Onsite Occupational Health and Safety, Inc. (Onsite OHS), of Princeton, Indiana, announced it has been awarded a contract to provide medical and safety services for a pipeline construction project spanning more than 100 miles in Texas. Houston, Texas-based MPG Pipeline Contractors, Inc., chose Onsite OHS for the project, which includes constructing and installing more than 100 miles of 30” pipeline in the Houston, Texas, area. Onsite OHS will be providing onsite safety oversight, emergency medical response and drug testing for MPG and its selected subcontractors. A certified paramedic with extensive safety training and experience will be providing oversight on the project. The pipeline project is scheduled to last until March 2014 with more than 200 personnel working on the pipeline at its peak. Since 2008, MPG has successfully completed more than 20 projects for a dozen different clients in five states. Onsite OHS has been providing medical and safety services for the Construction Industry and Oil & Gas Industry for
19
BUSINESS BUZZ
Ribbon Cutting Held for New Muncie Dealerships
South
BUSINESS BUZZ
more than five years and has completed projects in Arkansas, Oklahoma, Texas, Louisiana, Alabama, Colorado and Florida. At many construction sites, Onsite OHS medics operate in mobile units, so they are able to cover a large construction area.
Salem Airport Construction Could Begin Soon
The Salem, Indiana, Board of Aviation Commissioners announced that Phase I of construction on Runway 8-26 of its Runway Expansion Project could be starting this fall. The project covers two major components. Land acquisition and Runway 8-26 grade and drain construction of the initial 3,000’ of Runway, Taxiway, Apron & Auto Parking Area. These initial steps will assist the airport in moving one step closer to opening the new runway and closing the existing runway 10-28 . The land acquisition portion of the project consists of purchasing remaining 2 parcels of land necessary to begin construction of the initial 3,000’ runway. This phase is much less invasive that what was previously submitted as a property acquisition schedule. The new project approach minimizes the land acquisition in a realistic and achievable timeline to allow for the acceleration of the construction all the while minimizing the impact to the local property owners and significantly reducing the overall cost of the project. Under the construction portion of the project, the initial
3,000 foot runway 8-26 will be constructed to grade and drain conditions only. This will include the installation of drainage structures and a significant amount of grading efforts for the construction 3,000’ runway, parallel taxiway apron and auto parking. The grade and drain project is being broken into multiple pieces to maximize the level of grant funding available. Corey Harper an Airport Planner with Butler, Fairman & Seufert, Inc., the Board’s consulting engineer, informed the Board at its last meeting that the FAA had requested that the Board advance its submission deadlines for grant application, construction drawings and land acquisition by 30 days. Harper also informed the Board that the FAA indicated that additional FAA funding may be available to the Board in this fiscal year, if all necessary requirements were met. The Board approved a grant application to the FAA for an amount up to $ 1.9 million dollars in additional funding. The final amount of the grant will not be known until FAA approval has been achieved.
Location Chosen for Fertilizer Plant
A company backed by a Pakistani group has picked a site near the Ohio River in southwestern Indiana for a planned $2.1 billion fertilizer plant. Midwest Fertilizer Corp. is seeking zoning approval from Posey County officials for a 219-acre site that is now farmland in an industrial area along the river just southwest of Mount Vernon. The project faced doubts after Gov. Mike Pence in January pulled state support, citing concerns U.S. military officials had
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Talk is Cheap. Proof is Free. We could tell you we’re the best business-to-business magazine in the state. We could tell you that advertising with us will get you noticed by top executives and decision-makers. Why don’t we show you instead?
Jeffersonville Moving Forward
A Kentucky-based developer’s proposal that includes two hotels and restaurants in Jeffersonville has cleared a hurdle. White Reach Development LLC has received an approval from the city’s redevelopment commission to purchase land that would include space for 250 rooms, several dining locations and a coffee shop. The purchase price is nearly $600,000 and is the same amount invested in the property by the commission. The “Falls Landing” project could include a Zaxby’s, Cracker Barrel, Taco Bell, McDonald’s and Starbucks. It could include one or two hotels. Drury Inn & Suites and Marriot Residence Inns are possibilities. White Reach Development Managing Member Steve Reach says the earliest the project could get underway is next year.
Nonprofit Renovates Historic Church St. Elizabeth Catholic Charities held a ribbon cutting ceremony Thursday, Oct. 10 to celebrate the opening of its new Social Services Building in New Albany. City of New Albany Mayor, Jeff Gahan, Indiana State Representative Ed Clere and One Southern Indiana (1si) president & CEO, Wendy Dant Chesser officially welcomed the new facility during the ceremony. In 2012, the building was gifted to St. Elizabeth’s by the Archdiocese of Indianapolis. The agency spearheaded a campaign to raise the funds to renovate the building which included adding heat and air. This space will allow St. Elizabeth’s to increase case management services as well as mental health therapy. At 163 year old, this building was originally the rectory for Holy Trinity, the first Catholic Church in New Albany. The church burned in 1975 and for the past 30 years, various social service agencies had been allowed to use the building rent free. The building fell in to disrepair and was vacant for many years prior.
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21
BUSINESS BUZZ
about fertilizer made by Pakistan-based parent company Fatima Group being used in explosives in Afghanistan. But local leaders continued to back it, with county officials this summer approving $1.3 billion in bonds. Project backers had originally wanted to build the plant to the east of Mount Vernon on property owned by the Ports of Indiana, but that location became unworkable after the state withdrew its support. The Indiana Finance Authority originally issued bonds for the plant last year, but Pence suspended the state’s involvement over the Fatima Group concerns. Since then, U.S. military officials have said Fatima Group has improved product safety with changes to its supply chain and work on a less-explosive formula. Midwest Fertilizer officials have said the Posey County plant would produce urea ammonium nitrate, which is a fertilizer not used in explosives. The plant is expected to have about 200 full-time workers once it starts production at the site about 20 miles west of Evansville. Mike Chorlton, who is overseeing the project for Midwest Fertilizer, said the company is working to obtain state construction approvals and arrange financing. He said plans are for construction to start next spring.
People News Mike Falk Inducted into The Society of Innovators
The international prize, given
set to the team over the years.
maintenance, capital improve-
biennially by the Camille and
Kinman is involved in all phas-
ments, property acquisitions
Ivy Tech Com-
Henry
Foundation,
es of site investigation and re-
and sales.
munity College
consists of $250,000, a citation
mediation, including proposal,
Northwest and
and a medal.
bid
Dreyfus
the Society of
Cooks and his team have
acquisition,
permitting,
monitoring, installation, analy-
Innovators wel-
fine-tuned the tools for use
comed 31 new members into
in molecular imaging for can-
The Society of Innovators of
cer diagnostics and surgery;
Northwest Indiana at the 9th
therapeutic
Annual Innovators Induction
ing; testing for biomarkers in
Ceremony at the Horseshoe
urine; and the identification of
Volunteers
Casino.
drug
monitor-
sis and reporting.
Fleetwood RV Brings On John Lowry as COO Fleetwood Inc.,
Volunteer for America Announces Indiana Leader
has
nounced
RV, anJohn
Lowry will join
of
the
company
food-borne pathogens, bacte-
America of In-
as Chief Operating Officer. The
Mike Falk PE LS, CEO &
ria, pesticides and explosives
diana, Inc. an-
position was previously held
president, Falk PLI Engineer-
residues. Cooks is associated
nounced
that
by Jim Meyer, who is the COO
ing and Surveying, Portage,
with several Purdue research
William
Raihl
of Allied Specialty Vehicles and
was one of the recipients. Falk
centers,
Bindley
has been named the new presi-
was the acting interim COO of
is the first to introduce ad-
Bioscience Center, the Purdue
dent and CEO of the Indiana
Fleetwood RV, Inc.
vanced surveying instruments
Center for Cancer Research
affiliate, where he will over-
John previously worked
called laser trackers and laser
and the Center for Analytical
see more than a dozen social
at Harley-Davidson as General
scanners in the global steel in-
Instrumentation Development.
service programs based in
Manager of Powertrain Op-
Indianapolis, Evansville, Fort
erations and served in opera-
Wayne, Terre Haute and Gary.
tional leadership roles for the
including
dustry in NWI and beyond. He introduced a faster, more accurate technology from the space and
automotive
industries
that helps steel companies optimize performance, ensure
Wilcox Environmental Engineering Promotes Kinman to Senior Project Manager
William is currently the
company’s four largest facto-
Chief Advancement Officer for
ries. Prior to joining Harley-
Volunteers of America Western
Davidson, John spent 15 years
Washington located in Everett,
as a Marine Corps Officer. He
Envi-
Washington. He is currently re-
spent an additional 10 years
ronmental
En-
sponsible for leadership with
in the Marine Corps Reserve
gineering,
Inc.
the agency’s development and
after joining Harley-Davidson
Purdue Professor Receives Science Honor
announced the
fundraising programs and ac-
and retired with the rank of
promotion
tivities.
colonel. John was decorated
Purdue Univer-
Jeremy S. Kinman to Senior
Prior to joining Volun-
for valor as a Force Recon Pla-
sity professor R.
Project Manager in the Inves-
teers of America in 2011, Raihl
toon Leader during the 1991
Graham Cooks
tigation and Remediation Ser-
was the Executive Director of
Gulf War and received numer-
was
awarded
vices division in its corporate
the Salvation Army in Las Ve-
ous other awards including the Legion of Merit.
alignment, and improve safety.
Wilcox
of
the 2013 Drey-
headquarters in Indianapolis,
gas and Southern Nevada. He
fus Prize in Chemical Sciences.
Indiana. Jeremy Kinman has
has
facility/prop-
John holds an MBA from
Cooks, the Henry Bohn Hass
over 13 years of experience
erty management experience
Harvard University and has
Distinguished
of
in the environmental consult-
and oversaw a portfolio of
also
Chemistry, won the prize in
ing industry as a geologist. He
more than $2 billion for one of
Princeton, Stanford and the US
recognition of his innovations
started at Wilcox (then Ast-
the Salvation Army’s regions,
Army War College.
in the field of mass spectrom-
bury) as a Field Geologist in
overseeing major construction
etry and analytical chemistry.
2004 and has been a proven as-
projects,
22
Professor
extensive
facility
earned
degrees
from
remodels,
www.buildingindiana.com | NOVEMBER/DECEMBER 2013
Floral Company Names New President
ISU Foundation has New Director of Finance
Syndicate Sales, a manufacturer, importer, and distributor to the floral industry, announced that Laura D. Shinall, previously Vice President at Syndicate, will assume the role of President, effective immediately. Del Demaree will maintain his role as Chairman. Under Shinall’s leadership, Syndicate will remain focused on the delivery and development of innovative and highest-quality products to the floral industry. Shinall will, with Demaree’s ongoing support, continue to prioritize the use of breakthrough technology, superb customer service, and the overall advancement of the floral industry.
Colleen O’Brien has been named director of finance and chief financial officer of the Indiana State University Foundation. O’Brien brings a wealth of accounting and finance experience to the organization with more than 12 years of non-profit financial and accounting leadership, foundation President Ron Carpenter said. In her new role with the foundation, O’Brien will oversee the finance operations of the organization as well as work with the investment, audit and finance committees of the foundation board of directors. Previously, O’Brien served as a senior accountant and consultant for Financial Technologies and Management, an
NOVEMBER/DECEMBER 2013 | www.buildingindiana.com
Indianapolis-based accounting and consulting firm. She has also served as chief financial officer for the Children’s Bureau of Indianapolis.
St. Francis Appoints New COO Peter J. Murphy has been appointed senior vice president and chief operating officer for Franciscan St. Francis Health-Mooresville. Murphy will be responsible for overseeing all operations at the 116-bed Mooresville facility. He most previously served as founder and president of KM Global Solutions, Inc., a management company specializing in personal health record software development, hospital/physician revenue opportunity support, pain management services and destination health care service
development. He also served as president of Legacy Health Consulting and myPHI. Murphy has also served as chief executive officer for Franciscan St. James Health in Illinois. During his 18-year tenure, he oversaw the acquisition of what is now known as Franciscan St. James-Olympia Fields and its integration with the Chicago Heights campus. He led facility design efforts of a 400,000-square-foot expansion that earned the national distinction as a Top 10 Most Innovative Facility. Murphy received his undergraduate degree from St. Louis University and earned his master’s in health care administration from Washington University School of Medicine. He is a Diplomate in the American College of Healthcare Executives and holds memberships in several professional and civic organizations.
23
Photo Feature
Pictured are the members of The Northwest Indiana Business Roundtable with a representative from the Food Bank of NWI.
NWIBRT Raises $1500 for the Food Bank of Northwest Indiana The Northwest Indiana Business Roundtable (NWIBRT) raised $1,500 for the Food Bank of NWI through its annual golf outing. This year’s event was held at White Hawk Country Club in Crown Point, IN where NWI’s top professionals and businesses united for a day of networking on the golf course. Being the largest golf outing in the region with well over 300 in attendance, NWIBRT takes this great opportunity to give back to its community. Each year they donate proceeds and focus awareness on one of the areas non-profit organizations. Along with this monetary donation, a truck full of food was donated to the Food Bank of NWI in the name of NWIBRT member Manta Industries.
RDC Celebrates its 20th Anniversary The Regional Development Company, of Valparaiso, celebrated 20 years of fostering small business development and community growth at its annual meeting, held at Gamba’s Ristorante in Merrillville. During the evening, the RDC recognized its founders and 20-year board members as well as Centier Bank, which was named the top referring bank of 1993-2013. Across its 20-year career, the RDC has funded over 400 loans. In that time, the RDC has attained $165 million in 504 financing, $445 million in total leveraged investment, over 5,300 jobs created or retained and has donated $250,000 back to the communities its served.
Centier Bank was given two awards by the RDC: the Most Active Bank Partner, 1993-2013 and Most Active Bank Partner 2013.
24
The RDC celebrated its 20th anniversary in style. Pictured are current and founding members of the RDC: (L-R) John Diederich, Erica Dombey, Calvin Bellamy, Joel Gorelick, Jim Staton, Dave Ryan, Dale Clapp, Gail Gesell (SBA).
www.buildingindiana.com | NOVEMBER/DECEMBER 2013
STATE OF THE INDUSTRY
Important Decisions about NWI’s Future NIRPC to Vote on the Illiana Expressway
By: Dewey Pearman, Executive Director, Construction Advancement Foundation
O
n December 12, 2013 an important decision will be made about Northwest Indiana’s economic future. On that date the 52 members of the Northwestern Indiana Regional Planning Commission (NIRPC) vote on the proposed Illiana Expressway. This 47 mile highway would connect the south Chicago suburbs with Northwest Indiana by connecting I-65 to I-55 south of Joliet Illinois. The December 12 vote by the NIRPC Commissioners is on a resolution to include the Illiana Express26
way in NIRPC’s Transportation Improvement Plan (TIP). Inclusion in the TIP is a measure required by the federal government to make a project eligible to receive federal funding. Studies conducted by the Departments of Transportation in Indiana and Illinois for the proposed highway have indicated substantial economic benefit for the Northwest Indiana and Chicago south suburb region. These include 9000 construction jobs and 28,000 long term jobs, providing an alternative route for motorists traveling the I-90/94 corridor, relieving traffic on the I-80 Borman/Kingery Expressway and U.S. 30, serving as a bypass for trucks the congested metropolitan highways, providing access www.buildingindiana.com | NOVEMBER/DECEMBER 2013
to one of the largest “inland port” intermodal freight areas in the U.S. and providing a more efficient route for the movement of freight from Will County’s intermodal yards to the Gary/Chicago Airport and the Port of Indiana at Burns Harbor. In addition to creating significant new employment opportunities this new highway will protect and enhance one of the region’s most important existing economic engines – the freight industry. In recent years this is one of only a few industries that have shown employment growth, and it is all dependent upon users being able to move goods quickly into, out of and within the region. In that regard the Illiana holds significant economic benefits region wide. While the Illiana is in the southern portion of Lake County and the Chicago south suburbs it will make moving raw materials and finished products in and out of the heart of Northwest Indiana’s economic center – the northern section of Lake, Porter, and LaPorte counties. Taking thru traffic, particularly truck traffic off the Borman Expressway will allow the steel mills, oil refineries and other major employers along the lakefront to more easily move their goods in and out of their facilities, thereby lowering their transportation costs. There is a large body of data on the relationship between transportation costs and job creation and it all points in one direction – lower transportation costs results in job creation. In this case Northern region communities have the opportunity to take advantage of lower transportation costs through enhanced job creation. Here are a few more benefits of the project • The value of travel time savings in the region is projected to be $5 billion over 75 years • The project will reduce the strain of truck traffic local roads, improving safety, cutting commuting time and reducing congestion • It reduces vehicle traffic on arterial roads in the region by 26 million miles annually • It will improve safety by shifting longer distance traffic off local roads resulting in lower crash rates • It provides substantial air quality environmental benefits by reducing miles
traveled, hours of emissions and fuel wasted due to cars and trucks caught in congestion The Illiana is proposed as a Public Private Partnership. As such a substantial portion of the estimated $1.25 billion cost of the project will be carried by private investors. If the project is approved by NIRPC for inclusion in the TIP the Departments of Transportation in Indiana and Illinois will finalize planning for the projects and will then seek proposals from private entities to construct, operate and maintain the highway. It’s important to remember that inclusion of the project in the TIP is not a final go head for the Illiana. It is simply a step in the process necessary for the two states to enter into discussions with private developers to determine the feasibility of the highway. Anyone wanting to express their support for the project can do so by visiting the website illianacorridor.org.
RS NS HIBITO NAL SESSIO ngineers X E 0 7 O OVER 5 EDUCATI ty of Safety E ie by Soc OVER 2 warded CEU’s A
Save The Date February 11th and February 12th Radisson Star Plaza Merrillville, IN
on y e b . w ww
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om
po.c x e y t e f dsa
27
Joining forces to provide outstanding craftsmanship, leadership & education opportunities
We Stand For • Service • Leadership • Integrity • Safety • Unionism • Professionalism
NWI CO N T R AC TO R S A S S O C I AT I O N
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FACTS & STATS 2013 Indiana, By the Numbers By Nick Dmitrovich
W
hy is Indiana the best state for business, commerce, logistics, manufacturing, agriculture and construction? One could say it has something to do with the outstanding fiscal responsibility of our state, or the vast network of infrastructure options that we have in place, or the hard work and dedication that Indiana’s legislators and business community put toward economic development. In reality though, these reasons are only the tip of the iceberg. There are literally innumerable reasons behind Indiana’s position as the best state for business, and we have documented many of them here for you in our annual Facts and Stats edition of Building Indiana. This issue is particularly important to us because we’re given the opportunity to provide tidbits of information about many facets of Indiana, which come together to form an overall picture of productivity, profitability and future potential. While gathering information on our various topics, our team at Building Indiana focuses strongly on validation of our sources and reference outlets. I cannot emphasize enough how diligently we work to provide our readers with the most accurate, and up to date information available. This year, the temporary shutdown of the federal government produced several hurdles for us to clear in terms of access to information, but fortunately we were able to over
come these obstacles without compromising our standards of quality and accuracy. Our sources derive from a diverse body of outlets across both the local, state and federal levels; ranging from universities, to census data, industry research firms, state and federal databases, libraries, professional associations/organizations, annual reports, and so much more. Each fact or statistic is carefully considered before it makes the final cut onto these pages because, simply, we only want to bring you the best. We hope that you will enjoy examining unique facts from all over Indiana as you read these pages, and we hope that they will be beneficial to you throughout your professional needs. Building Indiana is proud of the fact that its readers are the movers and shakers of their respective industries, shaping our entire Midwestern region into a place where business can flourish. Above all of the reasons that make Indiana the best state for business, it is Indiana’s people that truly give the state that extra edge over others. When all is said and done, the numbers clearly speak for themselves: Hoosier professionals are some of the hardest working and most committed individuals in the country, and their efforts enhance the overall success of the nation in countless ways. And that, dear readers, is a fact. Share your Indiana facts and statistics with us online at nickd@buildingindiana.com.
What’s your favorite fact & stat? Or don’t see a stat you’d like to? We’d love to have your input! Contact us at nickd@buildingindiana.com
29
RULE OF LAW Death Penalty
5x
The cost of a death penalty case pursued through execution was found to be five times the cost of a life without parole case and lifetime incarceration.
1 in 5 Number of death penalty cases in Indiana result in a death sentence, and even when they do, it is rarely carried out.
For every death row prisoner executed, 3 more have had their death sentences reversed along the way. Source: Indiana State Death Penalty Facts, 2013
Total Crime Lake Michigan
Chicago
Percentage of Indiana’s prison population increased from 2000 to 2010. In that same span of time, the crime rate dropped only 8%.
MICHIGAN !
Hammond
!
South Bend
!
Gary
Source: The American Civil Liberties Union
!
Fort Wayne
!
Muncie
OHIO
Lafayette
Lawyer Population By State
!
!
ILLINOIS
Anderson !
Indianapolis
2012 # of Attorneys, Resident and Active
2013 # of Attorneys, Resident and Active
INDIANA
15,512
15,646
Illinois
60,069
62,496
OHIO
37,745
38,541
MICHIGAN
33,692
33,995
KENTUCKY
12,891
13,061
Source: American Bar Association, Market Research Department, Chicago, 2013 Cincinnati
!
Bloomington
New Albany
1 in 318 !
Louisville
Evansville !
K EN T UC K 0
50
Y
100 Miles
Sources: Esri, AGS Š 2013
30
2013 Total Crime Index Greater than 250 (Very High) 101 - 250 (Above Average) 61 - 100 (Average) 31 - 60 (Low) 30 or Less (Very Low)
Chances of becoming a victim of violent crime in Indiana
Source: Neighborhood Scout, 2013
1 in 33 Chances of becoming a victim of property crime in Indiana
Source: Neighborhood Scout, 2013
www.buildingindiana.com | NOVEMBER/DECEMBER 2013
Bar Exam Indiana July 2013 Bar Exam Statistics • 577 people took the exam, 484 were first time takers • Overall pass rate for all test takers = 75% Indiana February 2013 Bar Exam Statistics • 294 people took the exam, 176 were first time takers • Overall pass rate for all test takers = 69% Source: Indiana Judicial Branch, Board of Law Examiners, courts.in.gov
Silly Law If any person has a puppet show, wire dancing or tumbling act in the state of Indiana and receives money for it, they will be fined $3 under the Act to Prevent Certain Immoral Practices. Source: 2011 Case Statistics-Indiana Judicial Service Report
Source: Dumb Laws, Indiana, 2013
Odd Laws Mustaches are illegal if the bearer has a tendency to habitually kiss other humans.
It is illegal for a liquor store to sell cold soft drinks. Source: Dumb Laws, Indiana, 2013
Crimes per square mile
8
Approximate crimes per square mile in Indiana. The national average of crimes per square mile is 39.6. Source: Neighborhood Scout, 2013
NOVEMBER/DECEMBER 2013 | www.buildingindiana.com
31
SAFETY ZONE Census of Fatal Occupational Injuries & IOSHA inspected fatalities Counts (Historical)
SUDS In 2012, the Indiana State Police Program “Stop Underage Drinking and Sales” (SUDS) provided 4,020 additional hours of man-
power, which resulted in 1,509 contacts with minors who illegally consumed or possessed alcohol.
Subsequently, 1,925 charges were filed against minors. Excise officers cited 42 businesses on 75 charges and issued 32 warnings to 26 businesses. Source: The Indiana Criminal Justice Institute’s Traffic Safety Division
Source: Indiana Department of Labor, 2013
Traffic 731
Number of traffic fatalities in Indiana in 2012, the second lowest recorded number of fatalities in nearly 70 years
12%
The percentage of traffic fatalities has decreased and continues trending in the right direction
Lightning Strikes So far in 2013, one person
was killed and four people were injured by lightning strikes in Indiana. Nationally,
Smoke Alarms More than one-third (38%) of home fire deaths resulted from fires in which no smoke alarms were present at all.
23 people were killed and 226 were injured. Source: Struckbylightning.org
Source: National Fire Protection Association
Indiana Traffic Fatalities, 2003-2012
11.27
Rate of fatalities per 100,000 population decreased in 2012 from 11.55 in 2011, a 2.4 percent decrease
93.6
Percentage of observed seat belt usage rate for all passenger vehicles - an all-time high.
Source: The Indiana Criminal Justice Institute’s Traffic Safety Division
32
www.buildingindiana.com | NOVEMBER/DECEMBER 2013
2012 Event or Exposure for Worker Fatalities
11
Railway Deaths
Railway deaths in Indiana so far in 2013. Last year, in 2012, there were a total of 26 deaths. Source: Federal Railroad Administration’s Office of Safety Analysis
Transportation-related incidents Nearly half (49.6%) of all worker deaths in Indiana in 2012 were attributed to transportation-related incidents. These incidents include the following types of events: • Motor vehicle crashes • Pedestrians struck by vehicles • Mobile equipment/machinery overturns
Source: BLS, CFOI 2012
This is consistent with the workplace fatality report issued in prior years—2011, 2010, 2009… Source: IDOL Census of Fatal Occupational Injuries, 2012
Choosing cost over experience can get you
800-994-2339
www.CertifiedSafety.net
NOVEMBER/DECEMBER 2013 | www.buildingindiana.com
33
BOTTOM LINE Where do my tax dollars go?
LOTTO $855 million Total sales in 2012 which is the largest amount in Hoosier Lottery 23-year history. Source: Hoosier Lottery Annual Report, 2012
Source: Indiana Department of Local Government Finance
Lake Michigan
Chicago
Top 5 Occupations by Growth
MICHIGAN !
Hammond
!
South Bend
!
Gary
!
Lafayette !
Muncie
OHIO
Fort Wayne
State of Indiana Average Wages
1. Home Health Aides 2. Personal Care Aides 3. Registered Nurses 4. Licensed Practical and Vocational Nurses 5. Childcare Workers
$40,320 annually Indiana average wage as of May 2012.
$45,790 annually US average wage
Source: Neighborhood Scout, 2013
!
Source: Neighborhood Scout, 2013
!
ILLINOIS
Anderson !
Indiana’s Per Capita Personal Income
Indianapolis
Cincinnati
!
Bloomington
New Albany
2011 2010 2009 2008 2007 2006
$36,342 $34,386 $33,679 $34,966 $34,016 $33,087
U.S. U.S. U.S. U.S. U.S. U.S.
Total, Total, Total, Total, Total, Total,
$42,298 $40,163 $39,357 $40,873 $39,804 $38,127
Source: Indiana Department of Workforce Development
!
Louisville
Property Tax
Evansville !
KEN 0
50
Š 2013 Esri
34
Y T UC K
2013 Total Investment Spending 100 Miles
Sources: Esri, Bureau of Labor Statistics
> $15 million $6.9 to $15 million $2.6 to $6.9 million $2.6 million or Less
Property tax rates decreased in 59% of Indiana tax districts. Source: Indiana Statewide Property Tax Report, Legislative Services
www.buildingindiana.com | NOVEMBER/DECEMBER 2013
Business Sizes Business Size 0 to 4 Employees 5 to 9 Employees 10 to 19 Employees 20 to 49 Employees 50 to 99 Employees 100+ Employees Total
Property Tax Number of Business Units 87,211 28,258 20,160 14,328 5,451 4,529 159,947
Percent of Total 54.5% 17.7% 12.6% 9.0% 3.4% 2.8% 100.0%
Source: Indiana Department of Workforce Development, (First Quarter, 2013)
The largest shares of Indiana’s 2012 net property taxes were paid by business owners and homeowners. Source: Indiana Statewide Property Tax Report, Legislative Services Agency
Total tax cap credits in Indiana were
$627 million, or 9.2% of the levy.
Source: Indiana Statewide Property Tax Report , Legislative Services Agency
OU
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NOVEMBER/DECEMBER 2013 | www.buildingindiana.com
35
BEING PRODUCTIVE BEING PRODUCTIVE Indiana Average Wages by Sector, 2012
Labor Force Projections: Average LaborRate Force Projections: Average2010-2020 Annual Rate of Change, Annual of Change, 2010 to 2020 St. Joseph
LaPorte
Elkhart
LaGrange
Steuben
Noble
DeKalb
Porter
Lake
Marshall
Starke
Kosciusko Whitley
Newton
Wabash Cass
White Benton
Miami
Grant
Howard Tippecanoe
Huntington
Wells Adams
Carroll
Warren
Madison
Jay
Delaware
Randolph
Hamilton
Boone
Montgomery
Blackford
Tipton
Clinton
Fountain
Allen
Fulton
Pulaski
Jasper
Vermillion
Henry Parke Putnam
Clay
Ripley
Greene
Jennings
Dubois
Vander- Warrick burgh
Spencer
Ohio
Jefferson
Daviess Martin
Pike
Dearborn
Jackson
Switzerland
Scott Washington Clark Floyd
Crawford
Harrison Posey
Franklin Decatur
Orange
Gibson
Shelby
Brown Bartholomew
Lawrence Knox
Johnson
Owen Monroe
Sullivan
Fayette Union
Rush Morgan
Vigo
Wayne
Hancock
Marion
Hendricks
Perry
More than 0.9% increase (6) 0.1% to 0.9% (33)
Mining
$70,665
Construction
$74,400
Manufacturing
$69,683
Farming
$48,098
Wholesale Trade
$51,121
Retail Trade
$23,324
Transport and Warehousing
$44,153
Utilities
$89,822
Finance and Insurance
$46,549
Real Estate, Rental, Leasing
$30,600
Management of Companies
$88,846
Educational Services
$33,929
Health Care, Social Assistance
$42,727
Accommodation & Food Service
$13,086
Federal, State & Local Government
$36,905
-0.4% to 0 (29) -1.0% to -0.5% (23) Source: Indiana Business Research Center. October 2012
State Minimum Wage (Aug 2013) Indiana Illinois Kentucky Michigan Ohio Federal Minimum Wage
Source: STATS Indiana
More than 1.0% decrease (1)
$7.25 $8.25 $7.25 $7.40 $7.85 $7.25
Source: National Conference of State Legislatures
Unemployment
Indiana’s seasonally adjusted unemployment rate dropped by 0.3 percent in August to 8.1 percent, the largest one-month decrease in over two years. Source: www.in.gov
Hoosier Census Fast Facts 2012 6,537,334
Total Indiana Households 2010
Population of Indiana
2,472,870 Households in Indiana
3,149,743 Indiana’s Labor Force Source: U.S. Census
36
Source: U.S. Census
www.buildingindiana.com | NOVEMBER/DECEMBER 2013
Top 5 Employment by Industry
Total Gross Domestic Product (By year, in millions of dollars)
2012
$298,625
2011
$284,344
2010
$270,739
2009
$252,488
2008
$260,971
INDUSTRY
# of Persons Employed
Manufacturing Transportation, Warehousing & Utilities Construction Transportation Equipment Manufacturing Hospitals
494,500 136,400 121,500 114,100 117,200
Source: U.S. Bureau of Labor Statistics and Indiana Department of Workforce Development
Source: FRED Economic Data, June 2013
Indiana Forecast Summary Thus far in 2013, Indiana has had tepid employment and personal income growth – matching prior forecasts.
Manufacturing employment is expected to slow considerably this year – hence the non-stellar
employment growth projections. However, employment and personal income growth are expected to improve toward the end of this year and to accelerate further in 2014.
Source: IU Kelley School of Business
Long Range Projections for GSP
2.8%
Projected per year average growth rate of total Gross State Product over 2013-2034. Source: IU Kelley School of Business
NOVEMBER/DECEMBER 2013 | www.buildingindiana.com
37
MASS PRODUCTION Annual Survey of Indiana Manufacturers Item Description
Data
Number of Employees
428,843
Payroll
$21,508,891,000
Materials
$13,505,620,000
Shipments
$232,142,090,000
Expenditure
$4,875,805,000
Source: U.S. Census Bureau Annual Survey of Manufacturers
Foreign Exports
Over the last 10 years, Indiana’s exports to China have increased almost seven-fold. Indiana exports to Germany rose by $212.1 million from 2011 to 2012. Indiana exports to Mexico increased by $618.7 million in 2012. Source: IU Kelley School of Business
Indiana’s Leading Export Destinations - Percent of Indiana’s Shipments, 2012
Indiana Food Manufacturer’s with more than 500 Employees COMPANY
LOCATION
FOOD PRODUCT
Tyson Fresh Meats
Logansport
Pork processing
Lewis Bakeries, Inc.
Evansville
Bakery products
Indiana Packers Corp.
Delphi
Meat packaging (Trade name Indiana Kitchen)
Frito-Lay
Frankfort
Snack foods
Wonder Bread
Indianapolis
Bakery products
Tyson Foods, Inc.
Corydon
Poultry processing
Red Gold, Inc.
Orestes
Canned foods, mostly tomatoes
National Starch
Indianapolis
Wet corn milling for starch
Lawrenceburg Distillers
Greendale
Alcoholic beverage distillers
Kraft Foods
Kendalville
Variety of foods
Hostess Brands, Inc.
Columbus
Wholesale bakers
Farbest Foods, Inc.
Huntingburg
Poultry (primary turkey) processing
Coca-Cola Bottling Co.
Indianapolis
Beverage bottling
Ameri Qual Group
Evansville
Shelf-stable food products
Zachary Confections
Frankfort
Chocolates and other confections
Sensient Flavors, LLC
Indianapolis
Flavorings
Nestle USA
Anderson
Variety of foods
Pretzels, Inc.
Blufton
Private-label supplier of pretzels and other products
Pace Dairy of Indiana
Crawfordsville
Cheese and other foods for Kroger
Morgan Foods, Inc.
Scottsburg
Canning
Source: InfoGroup USA, 2012
Top Pharmaceutical Exporter Among all states, Indiana has been the top exporter of pharmaceuticals since 2009. Source: IU Kelley School of Business
38
www.buildingindiana.com | NOVEMBER/DECEMBER 2013
COMPREHENSIVE CIVIL AND ARCHITECTURAL SERVICES FOR FIELD-TO-FINISH PERFORMANCE
Value of Exports by State
As a nationally recognized engineering, surveying, and architectural firm, Falk PLIʼs civil services go beyond traditional surveying practices. By integrating innovative laser technology into projects, our experienced team delivers the data necessary for as-built verification, reverse engineering, and BIM integrated modeling.
10x
This information, combined with a proven design philosophy that focuses on attention to detail and fiscal responsibility, results in facilities that offer the perfect balance between creativity, functionality, and aesthetics.
Source: IU, Kelly School of Business, Global Positioning Report, August 2013
Our mission:
Source: WISER Trade, 2012
Over-achievers!
Indiana has outperformed the nation in annual export growth.
Indiana’s Top Five Export Industries
“Helping our clients solve problems through innovative technology and institutional expertise.”
2 0 1 2
Vehicles and Parts (Excluding Railway)
$7,156
Pharmaceutical Products
$6,040
Industrial Machinery (Including Computers)
$5,536
Optical and Medical Instruments
$2,484
Electric Machinery
$2,109
Source: IU, Kelly School of Business, Global Positioning Report, Aug. 2013
NOVEMBER/DECEMBER 2013 | www.buildingindiana.com
W
A
2012 EXPORTS (in millions)
AR
R
EXCELLENCE
INDUSTRY
D WINN
E
falk-pli.com 39
Small Business Spotlight Top 10 Most Active SBA7(a) Lenders by Number of Loans The Regional Development Company (RDC) is a Certified Development Company that makes loans under the SBA 504 loan program to assist small businesses. The RDC has funded over 400 loans, representing more than $135 million of 504 financing and $350 million in total leveraged investment, creating or retaining over 4,500 jobs in Indiana.
$400 million
Lender JPMorgan Chase Bank, National Wells Fargo Bank, National Association The Huntington National Bank U.S. Bank National Association Manufacturers and Traders Trust Compass Bank Live Oak Banking Company KeyBank National Association Zions First National Bank TD Bank, National Association
# of Loans 2,579 2,532 2,196 1,781 916 722 425 412 389 384
Source: U.S. Small Business Administration
Amount of SBA lending in the state of Indiana in fiscal 2013
$445 million in total leveraged investment
$165 million representing of 504 financing RDC created or retained over 5,300 in Indiana
jobs
Fast Facts from ISBDC
1,638 new jobs were created through investment by ISBCD partner funding in 2012, and an additional 10,999 jobs were retained.
$3,497 in new sales are generated by ISBDC clients every hour.
Regional Development Company Portfolio by Industry
242 small businesses wereinstarted 2012. With $10,000 in investment, the ISBDC adds: • • • •
www.RDC504.org 40
4 jobs 1 business $80,624 in sales $183,997 in capital infusion to the Indiana economy
Source: ISBCD impact numbers, 2012
www.buildingindiana.com | NOVEMBER/DECEMBER 2013
Every 1.5 Days
TOP 10 TIPS FOR GROWING YOUR BUSINESS
A new business is created by an ISBDC client every 1.5 days. Source: ISBCD impact numbers, 2012
Women owned businesses 26% Indiana 30.5% Illinois 30.4 Michigan 27.7% Ohio 25.9% Wisconsin 28.7% United States Source: Indiana Commission for Women
Small Biz Profile
108,050 Number of small business employers
1. Open another location 2. Offer your business as a franchise 3. License your product 4. Form an alliance with a similar business 5. Diversify 6. Target other markets 7. Win a government contract 8. Merge with, or acquire another business 9. Expand globally 10. Expand to the internet Source: U.S. Small Business Administration
Where do jobs come from? For small firms (fewer than 500 employees) over the last two decades, new business openings have accounted for 40 percent of the “new” jobs and expansions have accounted for the remaining 60 percent. Source: Bureau of Labor Statistics, Business Employment Dynamics
(<500 employees)
2013 STATE INCOME TAX RATES
2,911 Number of large business employers (500+ employees)
Small businesses significantly impact Indiana’s economy. They represent 97.4 percent of all employers and employ 48.2 percent of the private-sector labor force. In 2011, the number of opening establishments was lower than closing establishments, and the net employment change from this turnover was positive.
Source: Small Business Administration, February 2013
NOVEMBER/DECEMBER 2013 | www.buildingindiana.com
INDIANA ILLINOIS
3.4% 5%
MICHIGAN KENTUCKY
4.25% 2 to 6%
Source: Federation of Tax Administrators
1.5 days
$3,497
Number of days a new business is created by the ISBDC client.
Amount of money in new sales that the ISBDC clients generate every hour.
Source: ISBDC Impact Numbers, 2012
Source: ISBDC Impact Numbers, 2012
41
MAIN FEATURE Money Spent on Alcohol Lake Michigan
Chicago
POP!
MICHIGAN !
Hammond
!
South Bend
!
Gary
The United States is the world’s leading producer of popcorn, which is grown in 25 states. !
Fort Wayne
!
Muncie
OHIO
Lafayette
According to the Census of Agriculture, the top five major popcorn-producing states were: 1. Nebraska 27% 2. Indiana 21% 3. Illinois 13% 4. Ohio 9% 5. Missouri 6%
!
!
ILLINOIS
Anderson !
Indianapolis
Cincinnati
!
In 2012, sales of popcorn reached 995,604,706 pounds. Indiana’s portion of that would have been 209,076,988 pounds.
Bloomington
New Albany
Source: Agriculture Census, The U.S. Popcorn Board
!
Louisville
Evansville !
K EN T UC K 0
50
2013 Total Amount Spent on Alcohol Beverages
Y
100 Miles
Source: Esri, Burea of Labor Statistics, © 2013
Crossroads of America
$3,000,000 or More $1,500,001 to $3,000,000 $700,001 to $1,500,000 $700,000 or Less
Indiana calls itself the crossroads of America, and its extreme
Indiana Unemployment Rates, Q3, 2013
northwest corner-where transportation lines head east after converging on nearby Chicago from all direction - is one of the most heavily traveled areas in the world in terms of rail, road, and air traffic. Source: The Columbia Electronic Encyclopedia, 6th ed.
INDIANA’S CREDIT RATING Indiana is one of only nine
1.
Jasper County
2.
White County
credit rating agencies (S&P,
3.
Elkhart County
Fitch, Moody’s).
4.
Dubois County
5.
Jackson County
states to earn the top bond rating from all three major Region Region Region Region Region Region
42
1 = 8.8% 2 = 8.1% 3 = 7.2% 4 = 7.3% 5 = 7.0% 6 = 8.4%
Region 7 = 9.1% Region 8 = 7.3% Region 9 = 6.9% Region 10 = 6.9% Region 11 = 6.6% Indiana total = 7.5% US total = 7.3%
Top 5 Counties in Agricultural Sales in Indiana
Source: Indiana Economic Development Corporation
Source: USDA
www.buildingindiana.com | NOVEMBER/DECEMBER 2013
Population Annual Growth Rate
TOP JOBS
Lake Michigan
Chicago
MICHIGAN !
Hammond
!
South Bend
!
Gary
!
The 10 fastest growing, high-wage jobs of tomorrow for Indiana
Lafayette
JOB
SALARY
EDUCATION
1. Physician & Surgeon
$160,451
First Professional Degree
!
$57,034
Associate’s Degree
3. Physical Therapist
$76,627
Doctoral Degree
4. Dental Hygenist
$65,707
Associate’s Degree
5. Computer Software Engineer
$72,197
Bachelor’s Degree
6. Postsecondary Teacher
$60,237
Master’s Degree
7. Plumber
$50,856
On the job training
8. Pharmacist
$110,053
Doctoral Degree
9. Operating Engineer
$49,920
On the job training
10. Medical Services Mgr.
$75,691
Bachelor’s Degree
!
!
Anderson
ILLINOIS
2. Registered Nurse
Muncie
!
Indianapolis
Cincinnati
!
Bloomington
New Albany
!
K EN T UC K
Population Annual Growth Rate
50
Y
100 Miles
Source: Esri © 2013 Updated Up pdated Demographics Demo
Lake Michigan
MICHIGAN South Bend
!
Gary
4.5% or Greater 2.51% to 4.5% 1.1% to 2.5% 0.1% to 1.0% -2.49% to 0% -3.68% to -2.5% -3.69% or Less
Largest Employers in Indiana
!
!
2010-2013 Population Annual Growth Rate
Evansville
0
Hammond
!
Louisville
Source: Hoosier Hot 50 Jobs, Department of Workforce Development
Chicago
OHIO
Fort Wayne
!
Lafayette !
Muncie
OHIO
Fort Wayne
EMPLOYER
CITY
NUMBER OF EMPLOYEES
1. Indiana Univ. Medical Center
Bloomington
30,000
2. Purdue Univ. West Lafayette
West Layfette
15,304
3. Delphi Electronics & Safety
Kokomo
8,000
4. Indiana Univ. Bloomington
Bloomington
7,701
5. Eli Lilly Intl Corp
Indianapolis
7,500
6. Peyton Manning Children’s Hospital
Indianapolis
7,000
7. Indiana Univ. Purdue Univ.
Indianapolis
6,800
8. Indiana Univ. Health
Burns Harbor
6,500
9. ArcelorMittal
Indianapolis
6,000
!
!
ILLINOIS
Anderson !
Indianapolis
Cincinnati
!
Bloomington
New Albany
!
Louisville
Evansville !
K EN T UC K 0
50
Y
100 Miles
Source: Esri © 2013 Updated Demographics
2013 Percentage of Households Earning $200,000+ Greater than 10% 3.01% to 10% 3% or Less
NOVEMBER/DECEMBER 2013 | www.buildingindiana.com
10. Eli Lilly & Co.
Indianapolis
6,000
11. Indiana Univ. School-Medicine
Indianapolis
6,000
12. Roche Diagnostics Corp
Indianapolis
6,000
Source: CareerOneStop, sponsored by the U.S. Department of Labor, Employee and Training Administration, 2013
43
MAIN FEATURE Lake Michigan
Chicago
Hammond
Besides being unusual among states in that it has a budget surplus, Indiana is ranked near the top for key economic indicators such as business tax climate, the small business survival index, and several indicators relating to trade exports, and overall, seems to be growning its economy steadily.
!
South Bend
!
Gary
!
Fort Wayne
Lafayette !
Muncie
OHIO
Indiana’s growing economy
MICHIGAN !
!
!
ILLINOIS
Anderson
Source: Small Business Advice
!
Indianapolis
Cincinnati
!
Bloomington
New Albany
!
Louisville
Evansville !
K EN T UC K
Building a Better World for All of Us
0
50
2013 Area Demand for Spending <$1,000 on Domestic Vacations
Y
100 Miles
TM
Source: Esri, GfK MRI © 2013
126 - 155 (Very High) 101 - 125 (High) 76 - 100 (Low) 0 - 75 (Very Low)
Credit Ratings of Midwestern States STATE
RATING
OUTLOOK
Indiana
AAA
Stable
Illinois
A-
Negative
Kentucky AA-
Negative
Michigan
AA-
Stable
Ohio
AA+
Stable
Source: Standard & Poor’s Rating Services
219.513.2500 • sehinc.com 9200 Calumet Ave., Ste. N300, Munster, IN 46321 ENGINEERS | ARCHITECTS | PLANNERS | SCIENTISTS
Indiana ranks 1st in the Midwest and 11th nationally in the Tax Foundation’s 2012 Business Tax Climate Index (Oct. 2012) Source: Indiana Economic Development Corporation
44
www.buildingindiana.com | NOVEMBER/DECEMBER 2013
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NWIBRT Safety Award 2009-2011
ICA Golden Summit Award 2008-2012
CAF Contractor of the Year 2009
NWIBRT Innovation in Safety Award 2009-2011
ICA Pinnacle Award 2008, 2010, 2012
CAF Highway Project of the Year 2009
Governors Workplace Safety Award 2010
NMAPC Gold Star Award 2006, 2007, 2011
CAF Industrial Contractor of the Year 2012
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REAL ESTATE HOOSIER CITIES RANKED BEST FOR HOME BUYERS
2013 INDIANA PROPERTY TAX RATES BY COUNTY
In October 2013, national real estate company Movoto Real Estate ranked two Indiana communities on its list of best metro areas in the U.S. based on categories including
County
Highest
Lowest
Median
Lake
6.8571
1.6446
2.81
unemployment rate.
Porter
3.076
1.0019
1.79
Allen
3.745
1.7152
2.22
Fort Wayne was listed 9th overall, nationally Indianapolis was listed 24th Additionally, the company said Allen County
Marion
5.1787
2.0164
3.29
Vanderburgh
3.4482
0
2.21
Clark
3.2818
1.5028
1.7
home price of $90,000 and median income of $44,597 per year Source: Movoto Real Estateâ&#x20AC;&#x2122;s 50 Best Cities for Home Buyers
Source: Indiana Department of Local Government Finance
HOWâ&#x20AC;&#x2122;S THE HOOSIER HOUSING MARKET DOING THIS YEAR? The number of existing, single-family homes sold statewide in August 2013 increased
13%
when compared with August 2012.
Source: Indiana Association of Realtors, Inc., September 2013
The average sale price of homes increased
3%
to $150,728
Source: Indiana Association of Realtors, Inc., September 2013
The percent of the original list price received increased
2.3%
to 92.7%
Source: Indiana Association of Realtors, Inc., September 2013
AUGUST 2013 WAS THE 26TH CONSECUTIVE MONTH of year-over-year gains in the number of closed home sales, and marked these other consecutive year-over-year gains: The median sale price of homes has increased for 21 months The average sale price has increased for 20 months Sellers received a greater share of their original list price for the 18th month The number of pending home sales has increased for 23 months Source: Indiana Association of Realtors, Inc., September 2013
August
6.9%
6,573
6,150
The number of pending home sales increased
5,515
to 6,573 +11.5%
Source: Indiana Association of Realtors, Inc., September 2013
2011
+6.9%
2012
2013
The number of new listings increased
12.4%
to 11,045
August
Year To Date
11,045 10,124
2011
9,830
81,713
-2.9%
+12.4%
2012
2013
2011
82,685
86,681
+1.2%
+4.8%
2012
2013
Source: Indiana Association of Realtors, Inc., September 2013
Ready. Set. Grow.
AVERAGE PRICE OF A HOME IN THE U.S. OVER TIME Feb. 2013
$152,000
May 2012
$146,000
July 2011
$187,000
Feb. 2008
$301,200
Nov. 2003
$268,300
Sep. 1999
$194,800
July 1991
$148,200
Jun. 1987
$135,800
Apr. 1979
$71,000
Jan. 1975
$39,000
Loan Decision Next Business Day
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Source: Statistic Brain, Trulia, Zillow, Quarter 1, 2013
AVERAGE PRICE OF A HOME IN 2013, BY STATE (OR DISTRICT) Indiana Illinois Ohio Kentucky Michigan Hawaii Washington D.C. New York
$130,000 $179,500 $129,000 $145,000 $114,000 $425,000 $372,900 $329,900
Contact a Horizon Bank Business Advisor Today! 888-873-2640 horizonbank.com/cash2 Source: Statistic Brain, Trulia, Zillow, Quarter 1, 2013
* See an Advisor for Details.
NOVEMBER/DECEMBER 2013 | www.buildingindiana.com
47
CONSTRUCTION Union Vs. Non-Union The Construction Advancement Foundation
Earnings by Occupation, 2012 Full-Time Wage and Salary Workers’ Median Weekly Earnings Occupation
T
he Construction Advancement Foundation’s (CAF) goal is to Unite, Promote, Protect and Help the interests of its contributing organizations. CAF works to provide companies with tools to help manage external forces such as government, legislation and the economy – forces that businesses are not typically able to control. CAF is in constant communication with local, state and federal government officials who regulate policies that affect the construction industry. We make them aware how such policies could affect the economic condition of our contributors and the industry as a whole. We also work to promote the long-term health of the union construction industry by fostering collaboration between labor and management. CAF’s Labor Management Cooperative Trust helps both sides identify issues of mutual concern and facilitates the steps to attain positive solutions. CAF strongly supports workforce development, industry promotion and project delivery systems education. The ability of the union construction industry to deliver quality construction at a fair cost is determined, in part, by the skill of trade craftmen. These craftsmen must be highly educated, fully skilled and positively motivated. As such, CAF offers numerous educational opportunities like the Supervisory Training Program class where participants can receive full college credit toward completion of degrees, and comprehensive safety programs managed by a fulltime, highly qualified Safety Director. Becoming a contributor of the CAF means that your company will join forces with more than 500 general and specialty contractors who work throughout the Northwest Indiana region. Contact the CAF today at CAFNWIN.ORG, or by phone at 219-764-2883, to start your business on its path to the next level.
48
Union Median Weekly Earnings
Non-Union Median Weekly Earnings
Construction and $1,026 Extraction Installation, Maintenance $1,040 and Repair Health Care Support $527
$688 $682
Production
$816
$605
Transportation and Material Moving Architecture and Engineering Management
$833
$586
$1,368
$1,335
$1,261
$1,247
$477
Source: Bureau of Labor Statistics
INDIANA BUILDING PERMITS (2012 COMPARED TO 2011) Total number of new Indiana building permits in 2012 = Change from 2011 = +1,163
13,781
Source: U.S. Census Bureau
900.8 billion
$
Seasonally adjusted annual rate of nationally, total construction activity in July 2013, the strongest performance since June 2009. Source: Indiana Construction Association
918,000
Seasonally adjusted annual rate of privately-owned housing units authorized by building permits. This is 11.0 percent (±1.8%) above the August 2012 estimate of 827,000. Source: U.S. Department of Housing and Urban Development, August 2012
www.buildingindiana.com | NOVEMBER/DECEMBER 2013
LONG TERM CONSTRUCTION INDUSTRY PROJECTIONS, INDIANA 2018 Industry
Base Year Employment
Projected Year Employment
Percent Change
Numeric Change
Construction
144,482
172,270
19.2%
27,788
Construction of Buildings
37,271
44,528
19.5%
7,257
Heavy and Civil Engineering Construction
17,173
19,228
12.0%
2,055
Specialty Trade Contractors
90,038
108,514
20.5%
18,476
Source: Hoosiers by the Numbers
FACTS ABOUT INDIANA’S MAJOR MOVES TRANSPORTATION PLAN In 2012
65
roadway projects were complete or substantially under construction
19
roadway projects were accelerated – when compared to the original 2006 plan
720
Bridges were rehabilitated or replaced– 13% of the state’s inventory Source: Indiana Department of Transportation
New or reconstructed interchanges
Building? Maintaining? Expanding?
preservation centerline miles complete–40% of the state’s inventory
Your Business–Built Better
48 5,030
Source: Indiana Department of Transportation
FACTS ABOUT INDIANA’S TIMBER Every board foot of timber pro-
$51 of economic impact. cessed in Indiana has
Each acre of Indiana’s forests supports
$244 of hardwood wages
paid annually.
Source: State of Indiana, Forest Industry Quick Facts
NOVEMBER/DECEMBER 2013 | www.buildingindiana.com
The go-to site for business owners seeking construction professionals.
www.NwiConstructionDirectory.com Interested in listing your business on the directory? Go to www.NwiConstructionDirectory.com or call 219-226-0300 for more information.
49
LOGISTICS 2013 National Logistics Report Card
Measuring Logistics
724
Million tons of freight travel through Indiana, making it the 5th busiest state for commercial freight traffic. Source: Conexus Indiana
Source: Conexus Indiana
US FREIGHT
Freight Stats Annual Economic Impact of Waterborne Shipping on Indiana’s Lakeshore: • • • •
104,567 direct, induced, indirect and related jobs $14.2 billion of economic activity to the state $567 million of state and local tax revenue 17,655 jobs and $1.9 billion in economic activity attributed to Indiana barge movements through the O’Brien Lock
Source: Martin Associates Report, “Economic Impacts of Waterborne Shipping on the Indiana Lakeshore
Indianapolis has abundant warehouse space and is the home for many distribution centers which
support the Nation’s top 20 importers.
U.S. freight movement is expected to double by 2035. Source: Conexus Indiana
Just a day’s drive
232,484,209 people or 76% of populartion of
US/Canada
Can be reached within a single day’s drive of Indiana. Source: Conexus Indiana
Source: Prime Focus LLC’s Report: “A Rail Strategy for Indiana”
50
www.buildingindiana.com | NOVEMBER/DECEMBER 2013
Indiana Logistics
INDUSTRIES SERVED
w w w. a m e x n o o t e r. c o m
Your
Refinery and Petroleum Chemical Steel Power Food Alternative Fuel Plant Maintenance
Preferred Choice
Contractor
AMEX NOOTER is an aggressive unionized prime mechanical contractor providing service and quality since its founding in 1979, utilizing the following skilled craftsmen in Northeast Illinois and Northwest Indiana:
• Pipefitters • Millwrights • Ironworkers • Boilermakers
Source: Conexus Indiana
Indiana Railroads
32 MILLION TONS Amount of foreign and domestic cargo shipments that were handled on the Indiana Lakeshore in 2008, including facilities located at Burns Harbor, Indiana Harbor, Buffington Harbor and Gary. The majority, about 78% of this tonnage, was iron ore pellets discharged by laker vessels to the various steel mills along the Indiana Lakeshore.
Source: Martin Associates Report, “Economic Impacts of Waterborne Shipping on the Indiana Lakeshore
NOVEMBER/DECEMBER 2013 | www.buildingindiana.com
• Operating Engineers • Teamsters • Laborers • Carpenters
We have the expertise, experience and resources to perform: • Process and power piping fabrication and erection • Mechanical and process equipment rigging, erection and alignment • Instrumentation • Boiler erection and repair • Complete plant maintenance services • Construction management and general contracting • Full service fab shop as well as value engineering SAFETY Safety is a key player on the Amex team. We are very proud of our Safety record. Amex employs 6 full time Safety professionals, our Corporate Safety Director and 5 Field Safety Supervisors. Amex is very conscious of safety and loss control and believes Safety awareness is job one! This attitude not only benefits Amex, but our clients as well. If you are searching for a prime mechanical contractor to combine safety, cost control, quality, production and professionalism with modern construction methods, we believe you will be satisfied with AMEX NOOTER, LLC. We offer the value that only experience can provide.
Call Us Today! INDIANA 1636 Summer Street Hammond, IN 46320 219-937-6100
ILLINOIS 18501 Maple Creek Drive, Suite 900, Tinley Park, IL 60477 708-429-8300
AMEX NOOTER, LLC A Subsidiary of Nooter Construction w w w. a m e x n o o t e r. c o m
51
Workers Comp Most Dangerous Jobs in America
ACCIDENT, DISPUTE STATS ACCIDENT STATISTICS
DISPUTE STATISTICS
Injuries:
56,047
IME Requests:
2,015
Fatalities:
85
Disputed Claims:
3,897
TTD:
19,478
Closed by Agreement: 35
PPI:
5,135
Closed by Other:
1,771
Source: Indiana Department of Labor, 2012
Filed Claims, What was paid Applications Filed Total Comp. Paid Total Medical Bills Paid
Payments
Claims
Cases
2,537
1,900*
757
616
Total Dollars
$70,874,546
Total Dollars
$7,464,733
Total Comp. + Medical Bills Paid
• • • • • • • • • • • • • •
Source: Bureau of Labor Statistics, and Indiana Barrister, 2012
Hoosier Workplace Deaths 2012
$78,339,279
*The above numbers of applications filed represent 1,162 unique individual workers.
Source: Indiana Department of Labor, 2013
2012 Hoosier Workplace Deaths Were at an All Time Low: •
Indiana Department of Labor’s (IDOL) 2012 workplace fatality report stated that there were 113 worker deaths in 2012, the lowest experienced since the Census of Fatal Occupational Injuries (CFOI) report was introduced in 1992.
•
The most significant improvement was in manufacturing, which saw a 28 percent decrease in fatalities in 2012.
•
Decreases in fatalities were seen in 8 10 major Hoosier industries.
Worker’s Comp Reform
200%
Percentage of Medicare rates legislation passed that establishes a hospital fee schedule. The bill also capped the price for repackaged drugs and surgical implants. Source: Insurance Thought Leadership
Commercial fisherman Logging workers Aircraft pilots and flight engineers Farmers and ranchers Coal mining Roofers Refuse and recyclable material collectors Truck Drivers Police and Sheriff patrol officers Electrical power-line repairers and installers Construction Laborers Taxi drivers and chauffeurs Grounds maintenance workers Operating engineers and construction equipment operators
of
Source: Indiana Department of Labor
Worker’s Comp FRAUD The National Insurance Crime Bureau estimates worker’s compensation claimant fraud to be the fastest growing insurance scam.
1 out of 100, or less than 1%
of fraud cases were sent to the prosecutor. Now, cases are more regularly prosecuted as part of state, and national media attention. Source: Kopka Pinkus Dolin & Eads, LLC
52
www.buildingindiana.com | NOVEMBER/DECEMBER 2013
Medical Benefits continue to constitute the majority of Total Benefit costs in Indiana Indiana Medical Benefits - 74% Indemnity - 26%
Regional Average (Region states are IA, IL, KY and MO) Medical Benefits - 52% ndemnity - 48%
Countrywide Average Medical Benefits - 59% Indemnity - 41% Source: National Council on Compensation Insurance, 2012
2013 State Income tax ratesLake Chicago
20%
Percentage of days-away-from-work cases in 2011 for occupational injuries and illnesses to workers in five occupations accounted: laborers; nursing aides and orderlies and attendants; janitors and cleaners; heavy and tractor-trailer truck drivers; and police officers and sheriff’s patrol officers.
26%
Percent of the total cases in 2011 of the proportion of injuries and illnesses was highest among workers age 45-54.
Source: Bureau of Labor Statistics, 2012
MICHIGAN
Michigan
Nonfatal Occupational Injuries and Illnesses Requiring Days Away From Work
!
Hammond
!
South Bend
!
Gary
www.correctconstruction.com !
Lafayette !
Muncie
OHIO
Fort Wayne
!
!
ILLINOIS
Anderson !
Indianapolis
Cincinnati
!
Bloomington
New Albany
• MECHANICAL • INDUSTRIAL
!
Louisville
Evansville !
K EN T UC K 0
50
Y
100 Miles
Source: Esri, GfK MRI © 2013
2013 Area Demand for Obtaining Medical Insurance from their Union 121 - 144 (Very High) 101 - 120 (High) 76 - 100 (Low) 0 - 75 (Very Low)
NOVEMBER/DECEMBER 2013 | www.buildingindiana.com
• COMMERCIAL • HVAC
(219) 763-1177 Corporate Office
Valparaiso, IN • Knoxville, TN • Titusville, FL 53
WELL BEING RX Cost
RX Refills 72,975,200
1990-2013, Percentage of the adult population
$4,466,810,519 Amount spent by Hoosiers on prescription medications in 2011.
Total number of retail prescriptions filled at Indiana pharmacies in 2011. Source: SDI Health, L.L.C.: Special Data Request, 2012.
Indiana Diabetes
Source: SDI Health, L.L.C.: Special Data Request, 2012.
DISEASE In the past year, the number of infectious disease cases rose from 7.8 to 11.7 cases per 100,000 population. Source: Indiana Department of Health
Source: United Health Foundation’s “American Health Rankings”
Indiana Obesity 1990-2013, Percentage of the adult population
Smokers
1.25
Million adults smoking in Indiana. Indiana has one of the highest prevalence of smoking in the U.S. Source: United Health Foundation’s “American Health Rankings”
23.6%
Child Poverty
Percentage of persons under 18 in poverty. In the past ten years, the percentage of children in poverty more than doubled from 10.8. Source: Indiana Department of Health
Source: United Health Foundation’s “American Health Rankings”
Active Physicians
IU School of Medicine •
IU School of Medicine educates the second largest medical student body in the U.S.
•
IU faculty has performed many “firsts” in Indiana including transplants of the kidney, liver, cornea, bone marrow, pancreas, and infant and newborn hearts.
•
Approximately half of Indiana’s physicians received all or some of their education at the IU School of Medicine.
Source: Indiana University School of Medicine
54
Indiana Illinois Ohio Michigan
Primary Care Physicians
Specialist Physicians
Total
7,098 17,854 16,050 14,968
7,556 17,789 18,606 16,204
14,654 35,643 34,656 31,172
Source: State Licensing Information from Redi-Data, Inc., Nov. 2012
www.buildingindiana.com | NOVEMBER/DECEMBER 2013
Vitality in Indiana 2011 Total Births - All races
83,750
Total Teen Births (10 to 19) - all races
8,010
Mom 20 to 24 - All races
22,239
Mom 25 to 29 - All races
25,785
Mom 30 to 34 - All races
18,771
Mom 35 to 39 - All races
7,283
Mom 40 to 44 - All races
1,543
Mom 45 + - All races
68
Source: Indiana State Department of Health, produced 10/2013
Preventable Hospitalization In the past five years, the rate of preventable hospitalizations decreased from 83.2 to 76.0 discharges per 1,000 Medicare enrollees. Source: SDI Health, L.L.C.: Special Data Request, 2012.
How does Indiana’s health compare to the rest of America? According to the United Health Foundation’s “American Health Rankings,” Indiana ranked 41st in the nation in terms of overall health in 2012 – dropping from 37th place in 2011.
Indiana’s strengths are listed as: • • •
Low prevalence of binge drinking Low rate of uninsured population Low geographic disparity within the state
Indiana’s challenges are listed as: • • •
Low per capita public health funding High levels of air pollution High prevalence of smoking
Source: SDI Health, L.L.C.: Special Data Request, 2012.
S erving northweSt i ndiana For o ver 30 YearS
Serviced with Integrity... Done with Pride Commercial Trucking Service
219-972-0193
www.pandctrucking.com
Dumps • FlatbeDs • lowboys • stretch Flats tippers/walking Floors • construction aggregates
NOVEMBER/DECEMBER 2013 | www.buildingindiana.com
55
DESTINATION: DESTINATION:
Indiana State Education Data Elementary and Secondary Education Statistics
Your Future Begins at Your Future BeginsCalumet at Purdue University Purdue University Calumet Enrolling at Purdue University Calumet in
Enrolling at University Calumet in Hammond Enrolling atPurdue Purdue University Calumet in an is Hammond is the first step toward earning the first stepistoward earning an internationally-respectHammond the first step toward earning an internationally-respected Purdue degree in ed Purdue degree in northwest Indiana andin opening internationally-respected Purdue degree northwest Indiana and opening your gateway to your gateway to a successful future. Students at Purdue northwest Indiana opening gateway to a successful future.and Students at your Purdue Calumet Calumet earn the same baccalaureate and master’s adegrees successful future. Students at Purdue Calumet earn theawarded same baccalaureate and master’s degrees throughout the Purdue system at an earn the same baccalaureate and master’s degrees awarded throughout the Purdue system at an excellent educational value. awarded Purdue an excellentthroughout educationalthe value. Thesystem CollegeatDatabase excellent educational value. The among CollegeIndiana Database ranks Purdue Calumet second The College Database ranks Purdue ranks Purdue Calumet second among Indiana colleges and universities for providing Calumet second among Indiana colleges colleges and universities providing a quality education at anfor affordable price. universities providing a quality aand quality education at for an affordable price. Students and at faculty at Purdue Calumet advance a education an affordable price. Students andlearning faculty style at Purdue advance a distinctive calledCalumet experiential learning, distinctive learningtraditional style called experiential which integrates classroom andlearning, textbook Students and faculty at Purdue Calumet advance a diswhich integrates traditional classroom and textbook learning with applied learning that takes place tinctive learning style called experiential learning,inwhich learning with appliedclassroom learning placelearning in a real-world environment. At that Purdue Calumet, integrates traditional andtakes textbook awith real-world environment. At Purdue Calumet, applied learning thatSkills takes place in a real-world students learn by doing. are developed throughenvironment. At implementation, Purdue Calumet, students learn by doing. students by doing. Skills are developed through practicelearn and and are carried Skills are developed through practice and implementapractice and implementation, and are carried forward into professional careers all over the globe. – professional the imes readers tion, andinto are carriedT forward into professional careers forward careers all over the globe. – the T imes readers We arethe committed to partnering with students all over globe. We are committed partnering withgoals students to help them grow,todevelop, achieve and to help them grow, achieve goals and We are committed todevelop, partnering with students to help succeed—on campus and, ultimately, beyond. them grow,at develop, achieve goals andthat succeed-on succeed—on campus and, ultimately, beyond. Students Purdue Calumet know they arecampus and, ultimately, beyond. at Purdue CaluStudents at Purdue Calumet know that theyand are surrounded by faculty andStudents staff who can, met know that they are surrounded by faculty and staff surrounded by faculty andtheir staff who can,and and will, help them complete degrees who can, and will, help them complete their degrees will, thempaths complete their degrees starthelp on their to a bright future. and and start on their paths to a bright future. start on their paths to a bright future.
Indiana
U.S. Average
Total Number of Schools
1,992
1,988
Total Students
1,047.232
970,278
Total Teachers
58,121
60,766
Pupil/Teacher Ratio
18.02
15.97
Elementary and Secondary Education Finance Indiana
U.S. Average
Total Revenues
$13,641,694,560
$11,715,409,205
Total Expenditures for Eduction
$11,351,074,316
$11,906,580,615
Total Current Expend-Public El-Sec
$9,921,243,142
$10,303,880,343
Postsecondary Education Number of Institutions
Indiana
U.S. Average
Total Title IV degreegranting
109
90
Public
29
32
Private, not-for-profit
41
31
Private, for-profit
39
25
Source: The National Center for Education Statistics, data from 2010, 2011, 2012
Education: public vs private-sector Indiana public-sector workers are more highly educated than private-sector workers.
49%
of full-time Indiana public-sector workers hold at least a four-year college degree, compared with
24% of full-time private-sector workers. HAMMOND, IN HAMMOND, IN 800/HI-PURDUE • purduecal.edu 56
800/HI-PURDUE • purduecal.edu 800/HI-PURDUE • purduecal.edu
Source: Economic Policy Institute
www.buildingindiana.com | NOVEMBER/DECEMBER 2013
Public College Graduation Rates, by State
Hoosier Students Score Above National Average
Percent Graduated, After Six Years
Indiana
U.S. Average
Scale Score, Grade 4 Math
243
239
Scale Score, Grade 8 Math
287
282
Scale Score, Grade 4 Reading
222
220
Scale Score, Grade 8 Reading
264
261
Scale Score, Grade 4 Science
152
149
Scale Score, Grade 8 Science
150
147
Scale Score, Grade 4 Writing
154
153
Scale Score, Grade 8 Writing
155
154
• • • • •
Average Teacher Salary Rank, among all states: 23rd Starting Teacher Salary Rank: 27th Salary raise last year: 1% Starting Teacher Salary: $33,574 Average Teacher Salary: $50,801
Source: The Chronicle of Higher Education, College Completion database
Average Student Debt by State based on 4 year program Indiana
Illinois Ohio Kentucky Michigan
Bachelor’s Degree verses high school dipolma earnings
$55,700
The median earnings of bachelor’s degree recipients working full-time year-round.
$21,900
More than what individuals with only a high school diploma earned.
$27,500 $26,470 $28,683 $22,287 $27,451
Source: The Institute for College Access & Success
Top Ranked Indiana High Schools, U.S. News
Total Expenditures: $10,927,368,624 Teacher Expenditures: $3,162,414,276 Percent Spent on Teachers: 28 %
Source: Teacher Portal
62.5% 52.9% 60.7% 46.6%
Alaska had the lowest rates, with 26.6% graduating after six years.
Indiana Teacher Salaries VS. Total Education Expenditures • • •
49.7%
Illinois Ohio Michigan Kentucky
Delaware had the highest rates, with 70.8% graduating after six years.
Source: National Assessment of Educational Progress, 2002, 2007, 2009, 2011
HOOSIER Teacher Facts
Indiana
(To be eligible for a state ranking, a school must be awarded a national gold or silver medal.)
1. 2.
Signature School, Evansville West Lafayette Jr./Sr. High School, West Lafayette 3. Burris Laboratory School, Muncie 4. Herron High School, Indianapolis 5. Carmel High School, Indianapolis 6. Munster High School, Munster 7. Hamilton Southeastern High School, Fishers 8. Fishers High School, Fishers 9. Westfield High School, Westfield 10. Yorktown High School, Yorktown
Source: U.S. News, Education Source: Educations Pays Report from the College Board
NOVEMBER/DECEMBER 2013 | www.buildingindiana.com
57
GREEN & SUSTAINABlE Electricity Cost
Eco-Transportation Indiana is 36,418 square miles, including over 95,000 total miles of road, 1,100 miles of interstate highways, placing us sixth in the nation for total road den-
sity and ninth for interstate highway density. OTHER ECO-TRANSPORTATION FACTS
•
Transportation is the second largest household expense — after housing — for Midwest
U.S. residents who spend over 16 cents of every dollar on transportation.
•
Transit saves money — a two-person household
•
Current U.S. public transit usage reduces gasoline consumption by 4.2 billion gallons a year.
•
can save as much as $10,000 a year by using transit.
Forty-two percent of U.S. oil imports come from OPEC countries, many of whom are un-
friendly to the U.S. Source: Indiana Living Green
Air Quality Grades • • • • • • • • • • • • • • • • • • • • • • • • • • •
Allen Boone Carroll Clark Delaware Elkhart Floyd Greene Hamilton Hancock Hendricks Huntington Jackson Johnson Lake LaPorte Madison Marion Morgan Perry Porter Posey Shelby St. Joseph Vanderburgh Vigo Warrick
C B B D A C D D B B B A B B C F A D B C C C C B D B C
Average Price of Electricity per Kilowatt Hour By State (in cents)
Indiana
8.01
Ohio Illinois Michigan
9.03 8.97 10.40
Source: Electric Power Annual
Nations Largest Geothermal System The nation’s largest geothermal heating and cooling system is being built in Muncie, Ind. Source: Indiana Economic Development Corporation
State Energy Efficiency Rankings ACEEE 2012 State Energy Efficiency Rankings (Including Washington D.C.)
Indiana
#33
Illinois Kentucky Michigan Ohio Massachusetts Mississippi
#14 #36 #12 #22 #1 #51
Source: American Council for an Energy Efficient Economy (ACEEE)
Indiana Alternative Fuels Indiana has 13 ethanol plants and five biodiesel plants that provide 620 jobs for Hoosier workers. The combined production of the plants exceeds 1 billion gallons of ethanol annually and uses approximately 431 million bushels of corn. Indiana is the fourth largest soybean state and now has five biodiesel plants with a combined capacity of just under 100 million gallons of biodiesel. Source: Biofuels Indiana
Source: American Lung Association
58
www.buildingindiana.com | NOVEMBER/DECEMBER 2013
Economic Development IND. Ranks!
State Budgets Because the state budget can directly affect tax rates, below you will find each state’s projected shortfall and percentage of the budget for FY2012 to gain a perspective of the stability of each economy. Indiana Illinois Iowa Kentucky Michigan Minnesota Missouri Ohio Wisconsin
$1.2 billion in cash reserves $5.3 billion (16%) $149 million (2.4%) $780 million (8.3%) $767 million (3.6%) $3.8 billion (20.3%) $704 million (8.9%) $3 billion (11.1%) $1.6 billion (11.5%)
Indiana State Facts from the IEDC (Indiana Economic Development Corporation) Indiana ranks 1st in the Midwest and 5th in the nation in Chief Executive Magazine’s annual “Best & Worst States” survey (May 2013). •
Indiana ranks 1st in the Midwest and 2nd in the nation in Site Selection magazine’s annual Top 10 Competitive States of 2012 ranking (May 2013).
•
Indiana ranks 1st in the Midwest and 5th in the nation as the best place to do business in the Pollina Corporate Top 10 ProBusiness States for 2012 study (Aug. 2012).
•
Indiana ranks best in the Midwest and 8th overall in Area Development magazine’s “Top States for Doing Business” study (Oct. 2012).
Source: Indiana Economic Development Corporation
Indiana’s Life Sciences exports totaled over $9 billion in 2010, the third largest in the United States.
Source: Center on Budget & Policy Priorities, July 2011; Indiana State Budget Agency
Source: Indiana, “A State that Works”
State Budgets
12th
Rank on the most business friendly tax climate according to the Tax Foundation's, 2010 State Business Tax Climate Index. Source: Accelerate, West Central Indiana Economic Development
With more than 15 million acres of farmland, Indiana is a leading producer of corn, soybeans, hogs, poultry, popcorn, and tomato products. Source: Indiana Economic Development Corporation
Information Technology Indiana’s fiber optic network is one of the best in the nation, and our Telecommunication Reform Act has
resulted in major new investments in broadband and fiber optic networks across the state. Source: Indiana Economic Development Corporation
Defense Industry
76
Number of Indiana colleges and research universities that train the graduates that defense companies need. Indiana has more than 61,000 defense industry jobs and over 6,400 engineering and technical defense workers. Source: Indiana Economic Development Corporation
Cost of living Indianapolis ranked second in the nation in Best Cost of Living for major metropolitan areas, according to Business Facilities magazine's 2011 Rankings Report. Source: Indiana Economic Development Corporation
NOVEMBER/DECEMBER 2013 | www.buildingindiana.com
59
MARKETING What’s your favorite part of the NFL Super Bowl?
39%
2014 Stats •
In 2014, marketing teams will spend $135 billion on new digital marketing collateral.
•
78% of CMOs think custom content is the future of marketing.
•
Internet advertising will make up nearly 25% of the entire ad market by 2015.
•
73% of reporters think press releases should contain images.
•
67% of B2B content marketers consider event marketing the most effective strategy.
•
Social media marketing budgets will double over the next five years.
•
of direct mail is never opened.
Customer testimonials have the highest effectiveness rating for content marketing at 89%.
Source: The Guardian
Source: WebDAM
Percentage of respondents said the commercials were their favorite part of the game from a research firm Lab42 surveyed 500 people about the NFL Super Bowl, versus the 28% who said they were more interested in football than ads. Source: Lab42
ADS!
86%
of people skip television ads.
44%
Do Not Call List There are approximately 317,000,000 people in the United States… roughly 200,000,000 are on the FTC’s telemarketer “Do Not Call” list. Source: FTC
Mobile Advertising Mobile advertising spending in the United States tripled to $3 billion in the first half of 2013, according to a study conducted by the Interactive Advertising Bureau. Source: Interactive Advertising Bureau
Google Click Share
The Ten Biggest Advertisers in America, Ranked by Dollars Spent Annually • • • • • • • • • •
Source: Econsultancy
60
AT&T - $1.59 billion Verizon – $1.43 billion Chevrolet - $958 million McDonald’s - $957 million GEICO - $921 million Toyota - $879 million Ford - $857 million T-Mobile - $773 million Macy’s - $762 million Wal-Mart - $690 million
Source: Kantar Group, 2013
www.buildingindiana.com | NOVEMBER/DECEMBER 2013
CRITICAL THINKING. COLLABORATION. COMPLETION. RESULTS.
Construction Management Full-Service Mechanical Contractor Facility Maintenance Safety EPC Support
(219) 662-2380 / www.acmsgroup.com
The Last Word
I
n the final bill, Congress lifted the funding authorization cap on the Olmsted Locks and Dam project, which is of vital importance to Indiana’s economy. The project is located approximately 17 miles upstream from the confluence of the Ohio and Mississippi rivers, between Cairo, Ill., and Paducah, KY. It might seem strange that Hoosiers should be concerned about an inland waterways project in bordering states, but consider this: the Ohio River – a vital piece of Indiana’s logistics strategy – is the primary barge connection to the Mississippi River. Barge traffic must pass through this interchange at Olmsted, Ill., to enter the Mississippi River. Indiana is a net exporting state and many of our important commodities − aggregates, agriculture products, scrap metal and steel − are shipped through these locks. In fact, more commercial traffic passes through Olmsted than any other place in the nation’s inland waterway system. Each commercial barge tow carries the equivalent of 1,050 semitrucks. In 2011, more than 90 million tons valued at $20 billion passed through the Olmsted Locks. By 2020, that is expected to increase to 115- to 130-million tons. River navigation is critical to the regional economy, and to Indiana’s position as the “Crossroads of America.” Maritime ports are key elements of
Indiana’s logistics system, and the ports of Jeffersonville and Mt. Vernon and more than 60 private ports are essential parts. They offer 12-month access to the Gulf of Mexico; direct interstate connections from I-65, I-64, I-71, I-69, US 41 and State Highways 62 and 69; and direct rail connection to Tier I, II and III railroads. But, without the Olmsted Locks, nothing ships from any of these ports to the Mississippi. The current Olmsted Locks and Dam were completed in 1929. The system is dangerously antiquated, and delay in the completion of its replacement – now projected at 2024 – has ballooned costs. The Inland Waterways Users Board in its 25th Annual Report (December 2012) calls the delays “a travesty.” But, “(w)orse than a project-focused travesty,” the Board said, “it constitutes a programmatic travesty.” Catastrophic failure of the locks without modernization is an all too likely prospect. The locks are rusting and crumbling into the river. Long delays are common, and the current five-hour passage through the locks will increase. The Corps of Engineers estimates that by 2025 wait time at the locks will grow to 150 hours per tow if the project is not completed. Transportation delays significantly increase the price of
commodities to end users. Maintaining these shipping channels is also an environmental necessity. Water transportation uses less fuel and produces fewer emissions than road or rail traffic, and is less land intensive. We would need 11,000 trucks per day to move the goods that currently pass through the Olmsted Locks. Financially, the project is a sound investment. The net annual benefit to the economy is $640 million per year, recovering construction costs in five years. Costs for the project are shared equally by taxpayers (through congressional appropriation) and the navigation industry. The diesel fuel tax paid by shippers goes to the Inland Waterways Trust Fund and funds 50 percent of the project cost, now estimated at $2.9 billion. If Congress appropriates the fully authorized amount now, taxpayers will save millions in cost overruns and inflationary increases, and lower costs over the long run. The Conexus Indiana Logistics Council, a forum of 50 logistics executives in every corner of the state, identifies this project as vital to Indiana’s economic interest and something that cannot wait any longer.
The opinions expressed in this article are the views of the authors. We welcome your response. If you are interested in writing an opinion piece, send an e-mail to editor@buildingindiananews.com.
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