Delaware Business March-April 2011

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Wellness at Work

THREE D OLLARS

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In This Issue features 4 GUIDE TO HEALTH CARE 5

Virtual Medical Records

The DHIN continues to advance health care in Delaware.

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Fit for Business

Employers who encourage wellness among employees see a payoff.

26 GUIDE TO TAXES 27

Tax Changes for a New Year

What you should know before filing.

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Manufacturing

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Newsmakers

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Welcome New Members

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Business Finder’s Fee Program

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Get tax credits for bringing business to the state.

State Chamber Scene

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Chamber Member Benefits

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Superstars in Education

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Mark your calendars for May 2.

Wellness at Work

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Chamber Committees

A look at the 2011 conference.

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departments

16 GUIDE TO REAL ESTATE AND CONSTRUCTION

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President’s Message

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Delaware: Open for Business

Why companies are coming to Delaware.

Legislative Priority

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Small Business Report

Delaware Deals Done Right

Commercial brokers and DEDO work together to bring business to Delaware.

For Assistance, Call the Chamber

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Meet the new Small Business Alliance leadership.

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Superstars in Business News

Their top 10 tips for surviving the market.

Calendar of Events

Realtor Strategies

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On The Cover At The Archer Group in Wilmington, employees are adopting a healthier lifestyle. Photo by Dick Dubroff/Final Focus

Volume 17, Number 2 / Delaware Business (USPS 012098) (ISSN 153253542) is published bi-monthly by the DSCC Center for Business Management. Subscription price is $18 a year (included in membership dues). Known office of publication is 1201 N. Orange St., Suite 200, Wilmington, DE 19801. Periodicals postage paid Wilmington, DE 19850. Postmaster: Send address changes to Delaware Business, c/o DSCC Center for Business Management, P.O. Box 671, Wilmington, DE 19899-0671. Telephone (302) 655-7221.

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M e ss a g e President’s

Editorial Staff

James A. Wolfe

Message from the President

I’d like to thank our members who attended the State Chamber’s Annual Dinner in January, our best yet. Please enjoy photos from the event on pages 49-52 and on our Web site, www.dscc.com. Regardless of whether you were among the nearly 1,000 attendees, everyone can appreciate the selection of the Honorable Mike Castle for the Josiah Marvel Cup Award for extraordinary community and public service.

As a Congressman, Castle led efforts to improve public education and economic development. As Governor, he was a champion for business development. As a citizen, he assisted and continues to support numerous causes and nonprofit organizations. But Castle’s most meaningful contribution to the State of Delaware was found in his willingness to put politics aside and reach across the aisle in finding bipartisan and pragmatic, common sense solutions to the most pressing problems we face. We thank him for his service.

The importance of job creation in Delaware continues to be paramount. Read on page 29 about Governor Markell’s innovative program to enlist Delaware’s established businesses as recruiters and then reward them with finders’ fee tax credits. Learn how to take part in bringing jobs to Delaware through the Business Finder’s Fee Program. Also read about the benefits of Delaware’s location when choosing a site for business (page 17).

This issue of Delaware Business also reminds companies of the numerous benefits of wellness initiatives.

The Wellness at Work Conference on March 3 is the Chamber’s annual event for Delaware employers and employees to learn from health and wellness experts about the payoff for healthy lifestyles. In addition, health care policy experts will clarify what legislative health care reform means for you and your business.

I’d like to close with another reflection from the DSCC Annual Dinner. As Senator Tom Carper praised Castle for his determination to build bridges and form coalitions to find solutions to critical issues, I’m reminded that we emulate this practice. We work with large businesses, small businesses and legislators every day to strengthen our state and help make it competitive. The State Chamber is dedicated to strengthening all of Delaware businesses. We’re all in this together.

Thomas J. Cooper Chairman James A.Wolfe President/CEO

Katie Grasso Wilson Managing Editor Sharon R. Reardon Editor

Denee Crumrine Editor

Executive Committee CHAIRMAN Thomas J. Cooper Cooper Realty Associates IMMEDIATE PAST CHAIRMAN Richard K. Struthers CHAIR-ELECT Connie Bond Stuart PNC Bank VICE CHAIRMAN William R. Allan Verizon Delaware TREASURER Richard D. Rowland Rowland, Johnson & Co., PA Tony Allen, PhD Bank of America

Sylvia S. Banks DuPont

Chip Rossi Bank of America

Ernest J. Dianastasis CAI

Dennis M. Salter Summit Realty Advisors, LLC

Donald T. Fulton George J.Weiner Associates

Fred C. Sears II Delaware Community Foundation

Pierre du Pont Hayward University of Delaware Alan Levin Delaware Economic Development Office

Mark S. Stellini Virtual Resources, LLC Mark Turner WSFS Bank

Hinton Lucas DuPont

Michael S. Uffner AutoTeam Delaware

William E. Manning Saul Ewing, LLP

Richelle Vible Catholic Charities, Inc.

Board of directors Linda Ammons Widener University School of Law Julian H. Booker Delmarva Broadcasting Company David B. Brown, Esq. Potter, Anderson & Corroon LLP Timothy J. Constantine Blue Cross Blue Shield of Delaware Charlie Copeland Associates International, Inc. E. Andrew DiSabatino EDiS Company Christina Favilla Discover Bank Donald G. Gagnon AAA Mid-Atlantic Dr. Orlando J. George, Jr. Delaware Technical & Community College Martha S. Gilman Gilman Development Company John E. Healy III Healy, Long & Jevin, Inc.

Michael Houghton Morris, Nichols, Arsht & Tunnell, LLP Tyrone Jones AstraZeneca Pharmaceuticals LP Chris Kenny Delaware Supermarkets, Inc. Richard H. LaPenta Insurance & Financial Serv., Ltd. Robert J. Laskowski, MD Christiana Care Health Systems Cathy MacFarlane ING DIRECT Scott Malfitano CSC-Corp. Service Co. Paul M. McConnell McConnell Development, Inc. Michael McMullen Agilent Technologies Chad Moore The Bellmoor Bret Morris A. R. Morris Jewelers Paul H. Mylander The Bank of Delmarva

Theodore Prushinski Citizens Bank Michael N. Ratchford W. L. Gore & Associates, Inc. John S. Riley Ashland, Inc. Amer Sajed Barclaycard US Thomas A. Shoemaker TD Bank W. Laird Stabler III, Esq. Laird Stabler & Associates Gary R. Stockbridge Delmarva Power Ed Sutor Dover Downs Hotel & Casino William Wallace JPMorgan Chase Robert W. Whetzel Richards, Layton & Finger Katie Wilkinson Wilmington Trust Company Dr. Harry L. Williams Del. State University

staff James A.Wolfe President/CEO Marianne K. Antonini Senior Vice President A. Richard Heffron Senior Vice President Sharon R. Reardon Senior Vice President & Executive Director, Small Business Alliance Janine G. Sorbello Senior Vice President & Executive Director, The Partnership

John H. Taylor, Jr. Senior Vice President & Executive Director, DPPI

Greg Gross Director of Government Relations Chuck James Account Executive

Cheryl Corn Executive Assistant to the President

Liz Pretz Events Manager

Denee Crumrine Program & Communications Specialist Linda D. Eriksen Accounting Associate Katie Grasso Wilson Communications Manager

Arlene Simon Account Executive Bill Stephano Director of Membership Patrina Wallace Information Secretary

ADVERTISING SALES / Miller Publishing, Inc.

Fred Miller President

Delaware State Chamber of Commerce 1201 North Orange Street, P.O. Box 671 • Wilmington, DE 19899-0671 (302) 655-7221 • (800) 292-9507 • www.dscc.com

The mission of the Delaware State Chamber of Commerce is to promote an economic climate that strengthens the competitiveness of Delaware businesses and benefits citizens of the state. The Chamber will provide services members want; it will serve and be recognized as the primary resource on matters affecting companies of all sizes; and it will be the leading advocate for business with government in Delaware.

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Legislative Priority

By A. Richard Heffron and John H. Taylor, Jr.

State Chamber Position

Delaware faces an unprecedented decline in employment.

This decline is due to a number of causes, some of which can be reversed, others cannot. It is vital that the state look to manufacturing to build Delaware’s economy.

Delaware companies to grow, and lure new employers to the state. Manufacturing should not be the only business sector that is part of the state’s economic development strategy, but it should be at its core.

Taking Action

Recent History

Major employers like Dupont, Ashland (Hercules) and AstraZeneca have made cuts or are still cutting their workforce. The two automobile assembly plants, General Motors and Chrysler, have closed their doors for good. A manufacturing sector that made up about 15 percent of Delaware’s employment in the 1980s now only employs about 6 percent of the state’s work force. Delaware’s banking operations have been consolidating for years and the recession has fueled that process. Other smaller firms, many that supplied the larger firms mentioned above, have laid people off or shut down.

Most of the causes compelling these changes were from outside Delaware.

In many cases, global restructuring and technological advancements were the drivers for cutting the workforce and shifting or closing operations.

Governor Jack Markell, to his credit, recognizes that Delaware’s government has a role to play in revitalizing employment. Jobs equal growth and currently Delaware is not growing at a suitable rate. The governor has enlisted the help of the private sector to work with his cabinet officials and others to develop a strategy to increase the state’s employment base and get people working again.

A focus on manufacturing is vital to Delaware’s economic future. We must find clean, efficient manufacturing operations that could be lured to Delaware while encouraging existing manufacturing operations to expand. But nothing on the horizon is going to quickly restore the nearly 10,000 manufacturing jobs that have been lost in the last decade. This will be a long-term strategy with a goal to rebuild Delaware’s manufacturing base so that it will be sustainable in the long term.

The state, along with the Delaware Manufacturing Association, an affiliate of the Delaware State Chamber of Commerce, is developing a plan to entice and assist existing

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These efforts have already begun – Delaware manufacturers are being asked about the positives and negatives of doing business in Delaware. The answers to these questions will be used to develop a comprehensive manufacturing plan.

Other questions to be determined: • The type of manufacturing operations most likely to be attracted to Delaware.

• The amount of public, and more importantly, private investment that is necessary and available.

• How best to implement the cooperative efforts of all relevant departments of state government working alongside the federal and local government and the private sector.

The analysis that will support this plan must be made with a practical and honest assessment of what is required and feasible.

Delaware has justifiably earned the reputation as a small and manageable state that is forward thinking, with a businessfriendly attitude, and an attractive place to live. It is this reputation that makes a successful manufacturing development plan both crucial and possible.

The effort to grow Delaware’s manufacturing base will not be easy, but it is vital if our state’s economy is going to grow in a way that is beneficial for all its citizens. n

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Blue Cross Blue Shield of Delaware has been part of the community for more than 75 years.

And each day, the employees of Blue Cross Blue Shield of Delaware go to work to help you with your health. More than 140 of us are dedicated solely to customer service. So, whether you have a question about a claim, coverage or specific health issue, we are committed to helping you get the answers you need. To see the ways we’re working with you, visit DelawareBlueAndYou.com.

Blue Cross Blue Shield of Delaware is an independent licensee of the Blue Cross and Blue Shield Association. ©2011 Blue Cross Blue Shield of Delaware

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DHIN Advances Health Care in Delaware

By April Hall

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veryone should know Delaware is “The First State” because its representatives were the first to sign the Declaration of Independence. But its trailblazing work didn’t stop there.

In a more recent example, Delaware was the first state in the nation to streamline health information into a single online network. The Delaware Health Information Network (DHIN) went online in 2007, but work on the system started as early as 1997.

The current generation of children may never know what it’s like to carry around their x-ray films and test results, to be responsible for getting critical information to doctors for their own care. With widespread use of DHIN, test results can arrive simultaneously in the electronic inbox of a single patient’s specialist and general practitioner.

“The more people use the health care system, the more they benefit,” says Gina Perez, executive director of DHIN. “Those that access multiple providers and have different locations, they don’t have to carry papers or films around.”

As part of the federal economic recovery plan, The Health Information Technology for Economic and Clinical Health (HITECH) Act, signed in February 2009, offers incentives for employing electronic health records in a “meaningful” way. Just signing up for the program and letting it fall by the wayside is not an option.

Now programs similar to DHIN are developing across the country, in accordance with federal legislation, but Delaware is still head and shoulders above the rest.

More than 3,600 health professionals in Delaware (60 percent of those practicing in the state) are using DHIN and more than 800,000 patients are in the system.

“Delaware is way ahead of everyone else,” Perez says. Perez is president of Advances in Management, Inc., a Dover consulting firm specializing in health care project management. Perez has been a part of the DHIN planning process

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since 2004.

“DHIN is basically a post office,” she says. “It helps information move more quickly from labs to doctors and everyone gets copied on the patient’s network.”

Dr. Edward Sobel, of Family Practice Associates in Wilmington, encourages Perez’s company to recruit more users and talks to his colleagues about going online with their records on the secure DHIN. He says DHIN is helping doctors’ offices manage their workloads in addition to streamlining important communication.

“This is different than a recording system,” Sobel says. Test results can be interpreted and manipulated by doctors who need to use the information, whereas hard copies are static.

“Health care is now delivered across the spectrum of care and everyone on that spectrum needs the data. Linked to DHIN, the information is going to be there.”

As patients, particularly an aging population, move from assisted living to a nursing home facility, etc., the potential for loss of information or misinformation grows, he says. DHIN eliminates the “drop off.”

“In the paper system, doctors’ offices had to make a lot of phone calls to find test results and often they would just reorder tests,” Perez says. This electronic system saves time, money and aggravation.

“I’ve talked to doctors from the emergency room who’ve said the access to information has saved lives,” Perez says.

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“A patient could come in there unconscious, unable to give the doctor any information. With DHIN the doctor has something to give guidance.”

Because DHIN’s benefits are helpful beyond practicing doctors in their offices, Christiana Care Health System launched a pilot program in 2010 pledging $1 million in seed money to community doctors who wanted to go online with electronic health records and DHIN. “Hospitals and health systems are in the best position to help facilitate this transformation and, at Christiana Care, we will continue to help our physicians to adopt electronic health records into their practices,” says Dr. Robert J. Laskowski, president and CEO of Christiana Care, in a press release. “This call to action to effectively use health information technology for improving quality and safety represents a sea change for many physicians.” The health system has also incorporated using electronic health records into its teaching programs for medical residents and fellows.

Dr. William Funk signed up for Christiana Care’s pilot program because while he knows DHIN and electronic records are worthwhile, he couldn’t handle the upfront costs.

“Christiana Care appropriately recognized it is hard for anyone to afford the expense of transitioning to electronic health records,” Funk says. “There is financial incentive with legislation, but that’s down the road.”

Along with having staff transitioning the records, there are

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training hours that increase overhead and cutback on office hours for patients. During the transition, patient visits also take longer, so there are fewer appointments in a day. These are all things that increase costs without increased income.

“Published information says it will cost $40,000 to $50,000 per doctor to get patient records online,” Funk says. “That’s hardware, software, and there’s a transition time. We have a weekly two-hour training class on the system and that’s during office hours.

As a doctor 30 years into his practice, Funk has 4,000 patients, he says, and is generally booked for appointments from 7:30 a.m. to 7:00 p.m. If it weren’t for the Christiana Care program, the transition to electronic records would have been impossible.

But he does see the value in DHIN and electronic health records in general. Though Funk still treats his patients when they are in the hospital, many physicians entrust care to doctors who are on staff there. Those doctors are established and capable, but it takes away another opportunity for a doctor in a practice to meet and talk with peers and share patient information.

Streamlining appointments for busy patients through easily accessed electronic records will also be vital to the future of medicine, Funk says.

“In the ‘80s, if you were treating a diabetic, there were only a couple of diabetes medications. And there were only a couple of blood pressure medications,” he says. “Now there are far more medications and we are treating these conditions much more aggressively.

“Visits are much more complex when we consider these conditions and there are a lot more variables to keep track of. These records will help us handle the complexity of care.”

Through DHIN, test results and other patient information goes directly in charts, eliminating the risk of sheets of paper being misfiled or lost.

Sobel says he selects test results he would like to see from patients and has them delivered directly to his e-mail inbox, whether they are from the emergency room, a hospital ward or a specialist. He can keep up-to-date on patients that way, even if he hasn’t requested the tests to be done himself. It can eliminate duplicate blood tests, saving time and money for patients and insurance companies.

“When information comes in, I can view it immediately,” Sobel says. “I can simply save it to the patient’s charge or deal with it then and make clinical decisions based on it.”

DHIN isn’t only about doctor convenience. Delaware emergency rooms are also able to send data directly to the Division of Public Health to keep track of possible outbreaks, including a rise in flu cases.

In the end, it’s about improving the health care process for the user. “DHIN is kind of one of these background things patients may have no understanding or knowledge of,” Sobel says.

“Ultimately, it’s the exchanging of information, and that’s what’s important.” n

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BeeBe Medical center recipient of the 2011 distinguished Hospital award for clinical excellence™ has been ranked in the top 5% in the nation again for quality care by HealthGrades.®

Lewes, Delaware www.beebemed.org

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Archer Group employees train for the Couch to 5K program on the Wilmington Riverfront. The Archer Group, an interactive marketing agency in Wilmington, encourages its employees to lead healthy lifestyles. Photo by Dick Dubroff/Final Focus

Sticking with Healthy Resolutions

By April Hall

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y the time spring rolls around, many New Year’s resolutions for better health have fallen by the wayside. However, some Delaware companies are encouraging their employees to stick with healthy lifestyles.

Bayhealth Medical Center in Dover runs the Lifestyles Fitness Center for its employees, though the public is welcome.

In January, Lifestyles launched the “Biggest Loser” program.

Bayhealth is counting on people’s competitive nature to keep them motivated. Each week the person who loses the most weight is posted on the bulletin board at the fitness center and has bragging rights for the win. Toward the end of March, the person who loses the largest percentage of total body weight wins the grand prize, a $150 prize package of the winner’s choice, which could be a spa day or baseball tickets.

“People tend to try a little harder, work a little harder, when they are part of a competitive experience,” says Michael Tu, spokesman for Bayhealth Medical Center.

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At The Archer Group in Wilmington, adopting a healthier lifestyle isn’t a competition. The staff ’s Couch to 5K program is a few months of training, encouragement and support, leading to a big race; last year it was the Ronald McDonald House 5K. In the end, it wasn’t just employees running.

Spouses and children joined in the fun, too, and they cheered each other on to make a strong finish.

“It was, ‘We’re all in this together,’” and they would help each other and would fit the training into their schedules,” says owner Lee Mikles. “Everybody got something out of it.”

Mikles had a representative from Delaware Running Company come to the interactive marketing agency’s office and talk to employees. Any employee who pledged to follow a training program in preparation for a springtime 5K run was fitted with a pair of running shoes, courtesy of The Archer Group. The company has a staff of 50 people and 22 ran the 5K in April, an impressive percentage for the inaugural year.

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We’re transforming our care for Brian.

“We didn’t take away the sneakers if someone didn’t complete the program or anything, it was more of an honor system,” Mikles says. The Delaware Running Company staff was able to answer questions about how to deal with injuries and provide strategies for training.

“Everybody got a lot out of it personally,” Mikles says. “Everyone had a running shirt with the Couch to 5K logo – someone from creative is running with someone from tech who they may not otherwise get to know. It’s one of those things where the entire company was really able to participate.”

According to the National Association for Health and Fitness, employee fitness programs reduce health care costs, employee injuries and absenteeism, but for Mikles, the benefits are even greater.

“We haven’t gone back and done a calculation how it benefited us financially,” Mikles says of the bottom line. “We have the incentive for employees that if they stay healthy, they get more vacation. But a big incentive as a business owner was the satisfaction of knowing the team was able to grow personally. And when people were [telling] friends or family that they were running a 5K with work, it was about company pride.”

Mikles says programs like the Couch to 5K is one of the reasons The Archer Group has such low employee turnover.

As part of the “Healthy Lifestyles” initiative, Bayhealth-Milford Memorial Hospital Inpatient Dietitian Pam Pearson, suggests several small steps to change unhealthy eating habits to lose weight and feel better: • Cut back on portion sizes for each meal. Eat healthy snacks between meals to reduce hunger so that portion control is easier during your main meals.

• Substitute healthy snacks for unhealthy snacks. If you have a hankering for potato chips, pick the baked chips. Pick low-fat frozen yogurt rather than ice cream.

• If you can’t go “cold turkey” on the junk food, reduce your

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consumption gradually. Dropping from seven to four sodas per day can cut 450 daily calories from your diet.

• Eat smaller, more frequent meals. Have a snack at least every five hours or less during the day to prevent binge eating during dinner.

• Don’t have any large meals less than two hours before you go to sleep. When you’re sleeping, your metabolism is lower, and more of this food will be stored as fat.

• Pay attention to the nutritional content on food labels. You’ll be shocked at how much fat there is in some of the food that you may have thought was healthy.

• Watch out for “stealth” calories that might turn healthy food into unhealthy food. For example, a salad may be horribly unhealthy once you add cheese, croutons and salad dressing that is laden with fat.

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Sheri Minear, site supervisor of Lifestyles Fitness Center, says the first “Biggest Loser” event was held in Spring 2010 as a “Beach Body Challenge.” Initial participation was strong, about 30 people, but nearly half dropped out and didn’t finish the entire program.

As a result, the Lifestyles staff and a Bayhealth committee focused on employee wellness went back to the drawing board.

With the New Year’s challenge, Lifestyles doubled the length of the program and offered three “10-minute speed personal training” cards for contestants to use.

“We’re going to introduce the cards in the middle of the program,” Minear says as of press time. “That way if anyone gets discouraged or loses momentum, they can re-energize with these sessions.”

Minear says the Lifestyles staff also sends encouraging e-mails to participants if they haven’t checked in at the fitness center in a few days. “The members get to know us and we get to know them. We want to push those who want to be pushed, but we want them to have ownership as well.”

She sees the contest as a “tool of extra guidance.” The “Biggest Loser” challenge is meant to serve as a lifestyle change, to teach contestants how to take care of their bodies by using bragging MEMORIAL HOSPITAL rights and a prize as an incentive.

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“From an organizational perspective, it’s important to have a healthy workforce,” Tu says. “Then there are fewer sick days and fewer days missed. It’s in our best interest to encourage employees to be healthy.”

Bayhealth has also launched an overall “Healthy Lifestyles Initiative.” Last year, the entire campus is substance-free, which includes tobacco use. The medical center also offers stress management with yoga, tai chi and even financial planning classes. Paths on campus are also labeled with how long the course will take to walk so employees can plan breaks accordingly. Fitness center costs for employees who attend regularly are also discounted.

“We try to encourage employees to become their best,” Minear says. “If we take care of ourselves, we are better able to take care of our patients.” n

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March 3, 2011 University of Delaware’s Clayton Hall

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usinesses large and small have felt the pressures of exorbitant health care costs for their employees.

The good news is that each of us can make a difference by making positive changes in our habits. It calls for a new approach that emphasizes wellness and prevention. We need to invest in measures to stop the most avoidable diseases instead of spending our money on costly treatments when people get sick. The 2011 Wellness at Work Conference’s aim is to help employers accomplish this goal.

Keynote Speakers:

Agenda

9:30 a.m.

Registration & Networking

10:00 a.m.

Panel Discussion

11:00 a.m.

Breakout Sessions and Visit Exhibitors

12:00 p.m.

Lunch & Keynote Speakers

Adjourn

1:30 p.m.

Attendees will hear from these speakers and more:

Robert Abel, Jr., M.D.

Dr. Robert Abel earned his medical degree at Jefferson Medical College in 1969, completed his ophthalmology residency at Mt. Sinai Hospital and was a Cornea Fellow at the University of Florida. A board certified ophthalmologist, Abel is on the staff of the Christiana Care Health System.

Gerald M. Lemole, M.D.

Dr. Lemole received his undergraduate degree from Villanova University in Philadelphia in 1958, and doctor of medicine degree from Temple University School of Medicine in 1962.

In 1975, at age 38, he became a full professor at Temple – an achievement which also made him one of the youngest full professors of surgery in the United States. In 1982, as a visiting Professor at the University of Istanbul, Turkey, Lemole performed that nation’s first successful coronary artery bypass procedure. Lemole relocated his practice in 1986 to develop the first open heart surgery program in the State of Delaware and is on staff at Christiana Care Health System.

Richard E. Killingsworth

Richard E. Killingsworth, MPH, is Senior Advisor for Nemours Health and Prevention Services, Newark, Delaware. He is a nationally recognized leader in the area of health promotion and the effects of the built and natural environment on everyday life, especially health. Killingsworth also spent 15 years as a health scientist with the Centers for Disease Control and Prevention, where he led the Active Community Environments Initiative, the first national initiative to focus on improving health through community design.

Lee Mikles

Lee Mikles is a graduate of the University of Delaware and co-founded The Archer Group, an interactive marketing agency in Wilmington. Mikles inspires his staff of 50 to participate in wellness initiatives such as the Couch to 5k program, and credits these initiatives as one of the reasons his firm has such low employee turnover. n

Additional speakers committed after printing. Not pictured: Betsy Sullivan, UPS Logistics, Occupational Health Supervisor; Gabrielle Snyder-Marlow, Christiana Care Health Systems, RD, CDE, Registered Dietician

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Delaware Economic Development Office Delaware Swim & Fitness WSFS Bank (as of 2/18/2011)  Exhibitor Goodwin Cobb from Christiana Care, right, talks with an attendee at the 2010 Wellness at Work Conference. More than 200 people attended the morning event. Photo by Katie Grasso Wilson

 Dr. Robert Abel, at podium, was the moderator during a panel discussion of medical experts who talked about the health advantages of instituting a wellness program among employees at the 2010 conference. Photo by Katie Grasso Wilson

 Dr. Michael Samuelson, 2010 Wellness at Work keynote speaker and director of the Health and Wellness Institute, talked about the importance of early detection and screening through a story about his own cancer. Photo by Katie Grasso Wilson

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Even though not every child needs specialty care, all children need special care. That’s why Nemours Pediatrics offers ten primary care offices for families throughout Delaware. And should you ever need it, every Nemours pediatrician is backed by the renowned capabilities of the duPont Hospital for Children.

Our hospital offers all the specialties of pediatric medicine It’s how Nemours is fulfilling our promise of higher in a family-centered environment, including heart care, standards in pediatric health for the children and families orthopedics, ear/nose/throat care of Delaware. Your child. Our promise.

To schedule an appointment and pediatric surgery. And you’ll be with a Nemours specialist, glad to know that year after year our call 800-416-4441. physicians have been named among Learn more at Nemours.org. the Best Doctors in America.®

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Delaware Welcomes New Business

By Larry Nagengast

I

n buying real estate, the most important factors are location, location, location. In choosing a site for your business, location plays a major role – but that’s not all Delaware has to offer companies that come knocking.

Once upon a time, businesses considered location paramount. In 1802, for example, E.I. du Pont realized that the swift currents of the Brandywine made its banks northwest of Wilmington the ideal site for his new powder mills.

And it still counts for something today. Amtrak and Interstate 95 give Delaware businesses easy access to markets along the East Coast. The Port of Wilmington is a gateway to the world.

Location was definitely a factor for Modular Carpet Recycling’s decision to build its first plant in Delaware. The company transforms waste carpet into high-purity nylon suitable for a second life as flooring or as a component in plastics and resins. What makes New Castle an ideal location for this start-up enterprise?

Ron Simonetti, the company’s founder and CEO, notes that the corridor from north of New York City to south of Washington, D.C., with New Castle just about in the middle, has a population of nearly 50 million – and Americans generate an average of 10 pounds of waste carpet a year, making the region a plentiful source of the material needed for his business to grow.

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from left: Governor Jack Markell welcomes Calpine Executive Vice President and Chief Legal Officer Thad Miller, Calpine Executive Vice President and Chief Operating Officer Thad Hill, and Calpine President and CEO Jack Fusco at the Governor’s reception last November. Calpine acquired the Edge Moor power plant and made its regional headquarters in Wilmington to draw on a pool of qualified plant and managerial workers. Photo provided by Calpine

But there’s more to site selection than location.

“Businesses congregate where the supply of labor is a positive factor,” says Jim Butkiewicz, professor of economics at the University of Delaware.

“A talented chemical manufacturing workforce” was another plus for Delaware when Modular Carpet Recycling made its location decision, Simonetti says.

When Calpine Corp. acquired the Edge Moor power plant (and others) from Pepco Holdings last year, and then chose to set up its regional headquarters in Wilmington, the company was confident it could draw on a pool of qualified workers for the power plant, and managers for the headquarters when the company expands or current employees move on, says Thad Miller, Calpine’s executive vice president and chief legal officer.

“We won’t have to import workers, and there’s lots of management talent in Delaware and the region,” he says.

Businesses also factor in an area’s ability to train new workers. When Testing Machines Inc. (TMI), a supplier of

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Calpine President and CEO Jack Fusco accepts a proclamation from Governor Jack Markell welcoming Calpine to Delaware. Photo provided by Calpine

laboratory testing instrumentation to businesses in the region and around the world, decided to move from Long Island to New Castle, it connected with officials at Delaware Technical and Community College to discuss training needs.

“We probably hired 50 percent of their last graduating class of electronics technicians, and we’ll probably hire about 50 percent of their next graduating class,” says John Sullivan, president of the TMI Group. “We’ve been very successful with hiring.”

Sometimes, Butkiewicz says, “location decisions can be very firm-specific.”

That explains why Perdue Agribusiness, which already has five plants in southern Delaware, decided to place its new regional headquarters in Seaford instead of on Maryland’s Eastern Shore.

“It was the most strategic location for us,” says Louis Luna, vice president for corporate communications.

But Delaware’s biggest recruiting plus of all, says Alan Levin, director of the Delaware Economic Development Office, is the accessibility it offers business executives to the state’s decisionmakers.

“I just had a guy in my office and he says, ‘I can’t believe it.

I just met the governor and a U.S. senator.’ And I told him, ‘in Delaware, you see them all the time,’” Levin says.

That sort of accessibility, coupled with the ability to close deals smoothly and efficiently, sets Delaware apart, not only from its neighbors but also from just about every state in the union, Levin says.

“Nobody can do this as well as Delaware,” says Levin, who dealt regularly with government leaders and regulators in adjoining states during his previous career as CEO of Happy Harry’s pharmacies and retail stores.

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“I just had a guy in my office and he says, ‘I can’t believe it. I just met the governor and a U.S. senator.’ And I told him, ‘in Delaware, you see them all the time.’”

— Alan Levin

& C o ns t r u c t i o n

Miller, Sullivan and Simonetti can testify to the importance of Delaware’s accessibility, and the understanding government officials have of their needs – an understanding that is sometimes reinforced through loans and grants from DEDO’s Strategic Fund.

In choosing a site for its regional headquarters, Calpine looked at sites in Philadelphia, Baltimore and Wilmington, and talked to government leaders in Pennsylvania, Maryland and Delaware, Miller says. “We decided that Delaware provided the healthiest environment in which we could prosper without [receiving] any specific incentives,” he says.

Calpine, which has major operations in California and Texas, eventually wants to build a second power plant, powered by natural gas, at Edge Moor. Miller likes what he’s seen of the regulatory and permitting process here.

“Delaware, not being California in terms of getting permits, you can build a new plant from start to finish in 18 to 24 months,” he says. And, he adds, “they’re definitely focused on enforcing the laws, but they’re very practical about the way they do that, as opposed to being bureaucratic.”

For TMI, the accessibility to government leaders and the support they offered, coupled with Delaware’s location and the quality of its workforce and job training programs, made the relocation decision easy. State officials, especially the DEDO staff, “delivered just what they said they would deliver, and in a timely manner,” Sullivan says.

TMI is committed to green, sustainable workplaces, and a loan and grant package from the state’s Green Energy Fund and Strategic Fund made it possible, Sullivan says.

A $90,000 grant from the Green Energy Fund helped pay for the solar power system that’s part of a $300,000 plant that also features geothermal heating and cooling. A $500,000 loan from the Strategic Fund helped TMI purchase machinery and equipment needed in the relocation. $100,000 of that loan will be converted to a grant if TMI keeps 50 full-time workers on its payroll for at least three years.

“We’re at 50-something now. We’re ahead of where we expected to be, and we fully intend to pay back the loan,” Sullivan says.

Simonetti also found state officials receptive when he presented plans for the carpet recycling plant. DEDO came through with a $603,000 loan from the Strategic Fund to help with equipment purchases.

“We’re very unique in our technology,” he says. “DEDO was quick to understand what we wanted to do.”

But every business that relocates to Delaware doesn’t come because it asked for – and received – incentives.

Calpine, for example, didn’t get anything special from the state.

It was just pleased with the overall environment – location, work force, job training, accessibility to leaders, less red tape, lower taxes and operating costs than in nearby states.

“Companies come here, they want access to markets between New York and D.C., but they don’t want to pay the freight,” Levin says. “We give them the benefits without the high price tag.”

While businesses already operating in the state sometimes get upset that newcomers can negotiate for incentives that they didn’t receive, Butkiewicz says he sees the overall value of incentives offered by the state.

“Wherever they go, businesses will negotiate the best possible deal,” he says. “But businesses will pay taxes, their employees will live in Delaware or shop here, so the stores near the plant will prosper, and they often also bring in ancillary operations and suppliers.”

“The industries we want are industries that create careers, not just jobs,” Levin says. “If we find them, we have built the proper foundation to make them want to locate here.” n “Building Quality of Life Since 1934” DCA is a full-service trade association, comprised of both Merit Shop and Union contractors, designed to bring strength and unity to the construction industry in Delaware. We hold a commitment to excellence and our full service staff responds quickly and effectively to the needs of its members and the industry.

Ellen Rohrbach, President John J. Casey, Executive Vice President “Our Strength Lies in our Diversity” 527 Stanton-Christiana Rd., Newark, DE 19713 (302) 994-7442 Fax (302) 994-8185 www.e-dca.org

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Delaware Deals Done Right

By Eileen Dallabrida

I

n Delaware, closing a deal might include persuading a vacating tenant to leave furnishings for the next occupant, providing financing for a pet food plant to solve its odor problem or the governor showing up early to unlock a building for an important meeting.

Bringing businesses to the First State is a collaborative effort between government and the commercial real estate community, a partnership that has earned a reputation for speed, agility and the personal touch.

“We’re a small state with a small government and we can make decisions quickly,” says Jeff Stone, infrastructure and inter-governmental relations director at the Delaware Economic Development Office (DEDO). “That is attractive to companies when the clock is ticking because time really is money.”

Brokers and government officials agree. Making a deal is not a 9-to-5 job. At times, it is an around-the-clock endeavor.

“Delaware has always been very good about getting up close and personal with business and industry to understand their needs,” says Pete Davisson of Jackson Cross in Wilmington.

“We have worked overnight and on weekends with DEDO doing whatever it takes to get ready for that presentation on Monday morning.”

Building that solid relationship requires staying in touch.

Even in a stubbornly slow market, there’s constant buzz about which businesses might be looking – and what those companies need to make the move.

“The State of Delaware has developed balanced business attraction and retention strategies with a de facto public/ private partnership that engages the commercial real estate community through timely e-mail communications,” says

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Wills Elliman, partner at Newmark Knight Frank Smith Mack in Wilmington. “In turn, landlords and brokers quickly reciprocate by providing real-time information on available locations back to DEDO.” In 2008, Comcast’s call center provided a textbook example of the results netted when both government and commercial real estate brokers react swiftly and aggressively.

“Comcast needed to open a 500-seat call center ‘somewhere in the continental U.S. within a few months,’” Elliman recalls.

“Although they were bombarded with options, we were able to lease a 120,000-square-foot office building to Comcast largely because the state’s small-and-nimble mindset eliminated barriers and impediments at all levels.”

A Class A office building that was formerly occupied by Bank of America at 300 N. Wakefield, near Route 273 in Newark was a great fit. Bank of America came to be in the building as the result of its earlier acquisition of Fleet Bank.

But once Bank of America bought property-rich MBNA, the bank terminated its lease with Newmark Knight Frank Smith Mack’s client, American Financial Realty Trust.

“We were able to negotiate with Bank of America to have them leave the building fully furnished with 680 Herman Miller workstations,” Elliman recalls. “This made it a true plug-and-play opportunity.”

DEDO helped Comcast to secure a $266,000 Delaware Strategic Fund grant to facilitate the communication company’s $28 million capital expenditure in Newark.

In a competitive market, the state gains an advantageous edge in enlisting brokers to help spread the word on government enticements to move or expand a company.

“Brokers are in regular communication with the state

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regarding changes in tax laws and incentives that might attract businesses to Delaware,” Davisson says.

The latest enticement is the Business Finder’s Fee Tax Credit, which incentivizes existing Delaware businesses to leverage their relationships with suppliers, customers and other businesses to relocate to the First State. (Real estate agencies, developers, landlord or lenders who work with the relocating business are not eligible.) To learn more about the credit, turn to page 29.

Delaware also has established a $1 million revolving loan fund to provide low-interest loans to businesses that promote energy efficiency and/or recycling. The money for the Small

‘We’re a small state with a small government and we can make decisions quickly. That is attractive to companies when the clock is ticking because time really is money.’

— Jeff Stone

From top and left to right: Beebe Medical Center, Army Aviation Support Facility, Nemours Mansion & Gardens, Kirkwood Library, Newark Armed Forces Reserve Center

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At Wohlsen Construction we have 121 years of quality in our name. We continue that tradition with each landmark we help to create in Delaware.

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Business Energy and Facilities Revolving Loan Fund came from a $500,000 grant from the U.S. Department of Commerce, matched by a contribution from the state’s Strategic Fund.

Polymer Technologies is a fast-growing manufacturing company in the acoustical and thermal composites industry.

DEDO awarded the company a loan from the Competitiveness Fund to help the company buy equipment to expand markets and introduce new products.

NIA Emory-Hill made the deal for Polymer’s site at Pencader Corporate Center in Newark.

“Having highway access is important, especially for companies that ship to other states,” says Tripp Way, a principal at EmoryHill. “Everybody wants to be five minutes from either I-95 or Route 13.”

In addition to attracting new investors and businesses to the state, DEDO’s diverse mission is to promote the expansion of existing industry, assist small and minority-owned businesses, promote and develop tourism, and to create new and improved employment opportunities for people who live in Delaware.

Stone says the state’s forthright approach to business strips away cumbersome layers of bureaucracy. Businesses expect and receive ready access to Alan Levin, DEDO’s director.

“They know they don’t have to go through a lot of red tape just to get a word with the governor,” he says.

Indeed. A wind turbine manufacturer seeking to invest $26 million in a facility in either Delaware, New York or North Carolina asked for a one-on-one meeting with Gov. Jack Markell to get a feeling for the state’s philosophy of doing business.

“Our client was impressed, not only impressed that the

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governor agreed to a meeting for a Monday morning at 7:00 a.m., but that the governor arrived at 6:30 a.m. – and pulled out his keys to open the building for the day,” Elliman recalls.

Perdue AgriBusiness, a subsidiary of Perdue Inc., is shopping for property in or near Seaford, where the poultry business will relocate its corporate headquarters and trading operations center from Salisbury, Md., in 2012.

The transaction includes a recommendation from DEDO for a $1.74 million grant from the Delaware Strategic Fund for capital construction costs of the new facility and relocation expenses.

Perdue plans to spend $8 million on the facility.

An additional $375,000 grant will be awarded as Perdue creates new jobs. The company expects to add 110 to 120 positions in Delaware, growing to as many as 150 jobs over the next five years.

Perdue is also eligible for up to $100,000 in company-match workforce grants through the Blue Collar Training Fund program.

Also in Sussex County, Mountaire Farms will invest $34.5 million to expand its poultry complex in Millsboro and add 31 new jobs by December 2011, raising its Delaware payroll to 3,600 employees.

The improvements include construction of a state-of-the-art Resource Recovery Center, which will recover unused protein to use in the production of commercial pet food. The new technology will reduce odor emissions created during manufacturing.

Mountaire also plans to replace oil-burning equipment with natural gas and to upgrade its waste water treatment facility to reduce its environmental footprint at the site.

DEDO offered a $787,500 grant from the Delaware Strategic Fund for the projects. The grant is conditional on Mountaire’s capital investment at the site, as well as the waste water upgrades.

Keeping businesses also is a priority, even more so in a down economy. DEDO awarded a $90,000 grant to Pinnacle Foods to expand its aging Vlasic pickle processing facility in Millsboro.

Vlasic had considered closing the outdated facility and consolidating production in Michigan.

In business, it’s all about who is in the know. And when government and brokers share information, the pool of knowledge deepens.

“It’s knowing the zoning, the proximity to residential, the access to highways,” Davisson says. “It’s knowing that a farm might be available – but isn’t on the market yet.” n

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10 Tips for Realtors to Survive the Market

By Eileen Dallabrida

I

n a prolonged slump in home sales, real estate agents and brokers are working harder and smarter to keep a roof over their heads.

It’s been three years since the housing boom went bust.

Short sales and foreclosures are expected to continue to press prices down in 2011, while banks raise the bar for mortgage seekers.

In New Castle County, homes are on the market for an average of 79 days, according to TREND MLS, which tracks real estate statistics. In Kent County, the number rises to 109 days. In Sussex County, where a boom in construction bloated inventory, properties are taking an average of 208 days to move, according to InnoVia MLS. And with a glut of homes to choose from, buyers can afford to be picky.

In anticipation of another challenging year, the pros who bring buyers and sellers together are refining creative strategies to gain an edge in the market.

Here are 10 ways Delaware agents and brokers are working to put “SOLD” signs on homes: Develop an expertise in short sales. George Brown of REMAX of Wilmington says one in five homes he has sold in the past year has been a short sale, in which the bank agrees to accept less than the amount that is owed on the property.

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works with a negotiator whose job it is to deal with the banks.

“They are the pros in that field,” he says. “Allowing negotiators to do what they do best leads to a better result for my clients.”

Invest in investors. If they are spending cash, so much the better. No headaches about obtaining financing – and none of the mounds of paperwork involved in a short sale.

“The investor market is perking right along,” says Bob Weir, CEO of the New Castle County Board of Realtors. “They tend to be decisive buyers who are willing to act quickly, so it isn’t surprising that many realtors are interested in cultivating that sector of the market.”

Get a home inspection. Obtain a home inspection and appraisal before you list the property, suggests Joe Pluscht, general manager of Patterson-Schwartz in Hockessin.

The home inspection will reveal any problems with the property that could derail the deal down the road. That gives sellers the option to do repairs before showing the home or drop the price to reflect the work that needs to be done.

“Getting an appraisal eliminates any anxiety the seller might have about pricing the home too low – and any worries a buyer might have about paying too much,” he says.

Show finesse in financing. Programs change constantly and it is up to the agent to guide clients toward low-interest loans, as well as government help with loans and settlement costs.

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are increasingly willing to do it,” Pluscht says. “Or they will suggest people in the trades who can come in and do the work.”

Focus on payments rather than price. Coupled with lower home prices, lower mortgage rates are making monthly payments more accessible. In fact, each percentage point in interest is the equivalent of $10,000 over the course of an average loan, Pluscht says.

“Taking advantage of a low-interest mortgage is a much easier way to save yourself some money every month than trying to get a home for $10,000 less,” he says. “It is our job to educate buyers that taking advantage of these extremely low rates will benefit them over the long term.”

Try, try again. “Get up early every day and go into the office,” Weir says. “Look at every networking opportunity, every educational opportunity. Talk to people who have been in the industry for more than 20 years and have survived several downturns.

They have a lot of wisdom to share.”

Harrington ERA is increasing training for agents in short sales and foreclosures, in addition to education on serving first-time customers.

“Because they don’t have the issue of selling an existing home, first-time buyers make up a large and important group of buyers,” Martin says.

In a difficult market, perseverance and a positive attitude make all the difference.

Says Brown, “I get up every morning, say my prayers and make it a good day.” n

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Keep abreast with incentives for first-time buyers, as well as programs that help low- and moderate-income buyers.

“You need to be able to steer your client toward the lowest interest rate or any programs that might reduce their costs,” says Charles Martin, broker at Harrington ERA in Dover. “Because we have the air base here, we have learned the ins and outs of HAP, the Homeowner’s Assistance Program for military families that are relocating.”

Sharpen your pencil and help clients to adjust their expectations. Sellers who might have bought their homes at the peak of the market often have difficulty accepting that the value of their property is now less than what they paid.

That is unlikely to change in 2011 as banks continue to strategically add foreclosed properties to the market over the course of the year.

In a buyer’s market, an overpriced home will languish, while a home that is priced appropriately tends to generate excitement among home shoppers.

“We encourage agents to come up with a compelling price that will spark competition when the home is fresh to the market,” Pluscht says. “There is a lot of expectation management going on as sellers adjust to the reality of the economy.”

Who’s qualified? Making certain a home seeker is pre-qualified for a mortgage has always been a basic tenet of real estate.

As banks continue to demand significant down payments and good credit from borrowers, it is essential.

“I don’t even go out on the street with someone unless he is qualified,” Brown says. “It could wind up being a waste of time for both of us.”

Cast a wide network. Brown maintains a database of more than 600 clients and former clients, who he reaches out to every few months with updates on the market.

“Technology has made it much easier to stay in touch,” Martin says. “We use automatic e-mails to keep people informed. And if there is a price reduction, we can immediately notify prospective buyers.”

Home seekers expect to see lots of pictures online before they check out a property in person, so don’t disappoint them. And don’t forget that there are still consumers out there who are not actively looking but could make the move for the right home.

“Talk about real estate while you’re in the diner eating your soup,” Brown advises. “You never know who might hear you.”

Set the stage. In a market glutted with quality properties, make certain homes are free of clutter, immaculate and well staged so that potential buyers can visualize themselves living there.

“More than ever, people are interested in properties that are turn key,” Weir says. “They are not interested in buying a home with problems and then spending more money to fix it up.”

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Tax Changes for Business in 2011

By James R. Selsor, Jr., CPA, MST and Donald J. Bromley, CPA, MST, CVA

M

any important tax changes go into effect in 2011.

While most changes are the result of the tax act enacted and signed at the end of 2010, some of the changes come from six other tax laws that were enacted in 2008 to 2010. The changes were made to encourage businesses to invest in current and new employees, to purchase machinery and equipment, and to even encourage the startup of new businesses.

In short, the changes were made to expand the U.S. economy and to get people working again.

These tax acts provide substantial, but temporary, opportunities that can save significant taxes, but only if acted upon quickly, as many are time sensitive.

A brief synopsis of the various important acts follows below, along with the purpose of the act.

Hire Act – (HIRE)

Purpose: To spur job growth and investment.

Under the Hiring Incentives to Restore Employment (HIRE) Act, enacted March 18, 2010, two new tax benefits are available to employers who hire certain previously unemployed workers (“qualified employees”).

The first, referred to as the payroll tax exemption, provides employers with an exemption from the employer’s 6.2 percent share of social security tax on wages paid to qualifying employees, effective for wages paid from March 19, 2010 through Dec. 31, 2010.

In addition, for each qualified employee retained for at least 52 consecutive weeks, businesses will also be eligible for a general business tax credit, referred to as the retained worker credit, of 6.2 percent of wages paid to the qualified employee

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over the 52 week period, up to a maximum credit of $1,000.

Another change is the code section 179 expense deduction for new property placed in service. For one year, the expense limitation is $250,000, subject to certain rules. There are other rules regarding loss carrybacks. Seek professional tax advice to learn more.

Health Care Credit and Reform

Purpose: Ensure most Americans have access to adequate health care.

On March 23, 2010 the Patient Protection and Affordable Care Act was signed into law by President Barack Obama as part of the health care reform legislation. This act provides small businesses, as well as tax-exempt employers, a credit as incentive to provide health insurance coverage for the first time or maintain existing coverage they already have in place for employees.

Overall, any small employer that pays at least half the cost of single health care coverage for their employees is able to claim the credit. However, there are some specific eligibility rules that must be met in order for a business to qualify. The major eligibility requirements are as follows: Health Care Coverage Provided – Qualifying employers must cover 50 percent or more of health care cost, based on the single rate, for some of their employees.

Firm Size – Qualifying employers must have fewer than 25 full time workers. However, since the eligibility is based on full-time equivalents (FTE), not employees, an employer may be eligible even if they employ more than 25 individuals. For example, an employer with less than 50 part time employees may qualify.

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Average Annual Wage – An employer must pay wages of $50,000 or less, on average, per FTE worker per year to qualify.

For tax years beginning in 2010 through 2013, small business employers, who meet all eligibility requirements, will be able to claim a maximum of 35 percent of the premiums paid on behalf of their employees. Eligible tax-exempt organizations will receive a maximum credit of 25 percent of premiums paid. In 2014, the maximum credit will increase to 50 percent for small business, and 35 percent for tax-exempt employers, if the eligible employer purchases coverage through the Insurance Exchange.

There is a gradual phase-out of the credit for firms with average wages between $25,000 and $50,000 and for firms with between 10 and 25 FTE workers. The maximum credit is granted to employers with 10 or less FTE workers, paying annual average FTE wages of less than $25,000.

The credit for small businesses can be claimed as a general business credit on the employer’s 2010 income tax return.

The IRS will provide additional information for tax-exempt employers on how to claim the credit.

Small Business Jobs Act – (SBA)

Purpose: To encourage business to expand.

The government passed The Small Business Jobs Act of 2010 in September. Highlights include:

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Changes to 2010 Law • The dollar amount increased to $500,000 for expensing assets under code section 179, with a $2 million phase-out threshold.

• 50-Percent bonus depreciation for qualified property placed in service in 2010.

• An additional $8,000 luxury auto depreciation.

• Special long-term contract accounting rule for bonus depreciation.

• Deduction for start up expenses increased from to $10,000 with $60,000 phase-out.

• 100 percent exclusion for gain from qualified small business stock from regular and AMT tax (for stock acquired after Sept.

27, 2010 and before Jan. 1, 2011.

• Five year carryback of small business unused general business credits.

• Cell phones no longer listed property.

Prospective changes • Temporary reduction in S Corporation built in gain period from seven to five years.

• Information return requirement for rental income from realty.

• Increased information return penalties.

The 2010 Tax Relief Act

Purpose: Economic stimulus incentives.

The act doubles and extends bonus depreciation from 50 percent to 100 percent for qualified (new) property acquired and placed in service after Sept. 8, 2010 and before Jan.1, 2012.

For tax years beginning in 2012, the Act increased Section 179 expensing amounts from $25,000 to $125,000 with the investment based phase out amount increased from $200,000 to $500,000. For tax years after 2012, the maximum expensing amount drops to $25,000.

For property placed in service after Dec. 31, 2011 and before Jan. 1, 2013, there is a 50 percent bonus first year depreciation allowance.

For 2011, there is a two percentage point payroll/self-employment tax holiday for employees and self employed. The employer does not enjoy this same reduction. The employer (including the employer side of self-employed individuals) continues to pay the same percentage into the social security system for their employees.

The act extends 30 tax breaks for business (including the research credit) through 2011. The major economic stimulus measures included in this act and the other acts discussed in this article can be of great advantage to business owners, but only if an immediate effort to take action is undertaken.

Please consult with your tax advisor to fully utilize the benefits discussed above. n James R. Selsor, Jr., CPA, MST and Donald J. Bromley, CPA, MST, CVA are from the Wilmington accounting firm Gunnip & Company LLP.

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Calling all Relocating Businesses Delaware’s Business Finder’s Fee program pays off

By Larry Nagengast

C

rooted in Levin’s prior experience as CEO of the onsider this possibility: every business execHappy Harry’s chain of pharmacies and retail utive in Delaware working on commission stores. to recruit new businesses to the First State.

“In my prior life, if a salesman called, I didn’t Except that it’s not just a possibility; it’s as real as want to hear from him,” Levin says. “But if someone Delaware’s business leaders want to make it.

I respected called, and they’d say, ‘you ought to The Business Finder’s Fee Tax Credit, signed consider putting a store here,’ I’d listen.” into law last year by Gov. Jack Markell, creates an Because the program didn’t officially begin until incentive for business owners to encourage their Oct. 1, 2010, it’s still too soon for any businesses to suppliers, customers and others to relocate their Alan Levin qualify for the credit, but Levin and Gary Smith, operations to Delaware. The incentive: a $500 DEDO’s director of capital resources, both say tax credit, for both the relocating business and the recruiting business, for each employee on the relocating they’ve been pleased with the steady stream of inquiries, business’s payroll in each of its first three years operating in both from Delaware businesses interested in becoming sponsors and out-of-state companies who want to know how the Delaware.

“The governor spends every day he can, telling Delaware’s program works.

Smith cautioned that “there’s a finite community of busistory to people who could keep business in Delaware, who could expand business in Delaware, who could bring new nesses that are going to be in a position to relocate.” He business to Delaware, always focused on our top priority, compared it to families looking to purchase a new home. creating more and better jobs,” says Brian Selander, Markell’s Renters will start looking when a lease is about to expire, and most families already in a home are satisfied where they are chief strategy officer.

But recruiting is not the governor’s only job, nor can the and aren’t looking to move, he says.

“Right now, the businesses that would find it easiest to move staff of the Delaware Economic Development Office (DEDO) to Delaware are from Maryland, Pennsylvania or New Jersey, do it all, he says.

“In a different time, the government might have gone out along our borders,” Smith says. “We say we’re a lower-cost to hire more people to tell the story. But we don’t have those alternative than our neighboring states, but they’re not going resources, or the inclination to grow government,” Selander to move solely because of the BFF.” While the tax credit alone might not be enough to spur a busisays. “What we do have are a sense of community and a sense of purpose. We’re using that sense of community and purpose ness to move into Delaware, relationships with a sponsoring among our business leaders to try to bring new jobs to Delaware.” company might make a difference, Levin and Smith note.

As an example, Levin says that a large Delaware company The Business Finder’s Fee (BFF) concept originated with Alan Levin, Markell’s choice as DEDO director, and was might have a major supplier located a significant distance

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away. It could suggest to the supplier that it would gain increased business by moving its operations to Delaware or, alternatively, that the Delaware company might be able to find a similar supplier that has a more convenient location.

To get the program started, the General Assembly has appropriated $3 million, enough to fund credits for 1,000 jobs a year for three years. Credits can be claimed against the business’s state income tax, gross receipts tax or business license fees, Smith says. If a credit remains after all taxes and fees are paid, the business will receive the remaining balance as a tax refund.

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Using figures from the state Division of Revenue, Smith says that the state will collect more in income taxes from the new employees than it pays out in credits if the average salary of new jobs created exceeds $33,000.

Levin and Smith aren’t certain how the program will play out – whether it lands some big businesses or a lot of smaller ones.

“A big business has a major impact, while smaller businesses offer the benefit of a more diversified economy,” Smith says.

“We want to hit the $3 million cap,” he says. “That means we’re successful in creating jobs and improving the economy.” n

Here is a summary of key requirements and procedures to qualify for the Business Finder’s Fee Tax Credit.

Sponsor firm: Must be an existing corporation, LLC, LP, general partnership, LLP, statutory trust or sole proprietorship that has been

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company that has been in business for three years; must have a place

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in business for at least three years, or a wholly-owned subsidiary of a

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New business firm: Must be an existing corporation, LLC, LP, general partnership, LLP, statutory trust or sole proprietorship that has been in business for at least three years, or a wholly-owned

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subsidiary of a company that has been in business for three years; must have a place of business outside of Delaware and a business license issued by an out-of-state agency; must not have had a place of business in Delaware for at least three years; is not a tenant or an affiliate of the sponsor firm.

Certification process: Sponsor and new business submit a joint application to DEDO; new business pledges to relocate to Delaware within eight months and hire three or more Delaware full-time employees; new business may not be receiving tax credits through

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joint application to DEDO on or after the anniversary date of the new business’s certification. DEDO verifies employment information on the application and authorizes the credit. Businesses attach the DEDO authorization to their tax returns when they are filed.

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or a teaching practice that shows measurable results and raises student achievement.

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 Superstars in Education 2010 winner Skyline Middle School gathers students to show their pride during an assembly. The school won for its program, “How a Bill Becomes a Law,” which teaches students about government, law and debate. Photo provided by Skyline Middle School  U.S. Senator Tom Carper came to the Superstars in Education Recognition Dinner to show his support to education in Delaware. Photo by Ron Gough  DSCC President and CEO Jim Wolfe presents Linda Poole with a Superstars in Education Replication Award for her work on the program, “Meet the Challenge IV.” Photo by Ron Gough

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abcdefg

2011 SMALL BUSINESS ALLIANCE BOARD OF MANAGERS Stephan Lehm VanDemark & Lynch, Inc. Co-Chair pam cornforth Ronald mcdonald house of de Co-Chair Timothy U. Boulden Boulden, Inc. Lawrence D. DiSabatino DiSabatino Construction Company Joseph Farley, Jr. Farley Printing Company Chair, Benefits & Services Committee G. Kevin Fasic Cooch & Taylor P.A. Donald T. Fulton George J. Weiner Associates Janice Giannini Paradigm Associates, LLC Gregory M. Gurev MySherpa John E. Healy, III Healy Long & Jevin, Inc. Co-chair, Legislative forum

THE D ELAWARE S TATE C HAMBER OF C OMMER C E

Small Business Report

Chad Moore The Bellmoor william parks colonial parking, inc. chair, 2011 Superstars in business awards program James D. Randall liberty Staffing Services chip rankin EBC carpet services

su perstars i n bu siness news

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c alendar of events

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Michael Reath Delmarva Broadcasting Company treasurer Scott Thomas Southern Delaware Tourism Priscilla Turgon Professional Staffing Chair, Education & Development Committee William F. Ward, Jr. Bill Ward, Inc. 2011 SMALL BUSINESS ALLIANCE SENIOR ADVISORY COUNCIL ken anderson de economic development office terrence barclift bank of america nash childs bancroft construction Cynthia Dwyer Wellness Community- Delaware Martha Gilman Gilman Development Company William Major Wilmington Trust Company James B. O’Neill, Ph.D. University of Delaware William B. Robinson, Jr. George & Lynch, Inc. Richard D. Rowland Rowland, Johnson & Company, P.A. Dennis M. Salter Summit Realty Advisors, LLC Michael S. Uffner AutoTeam Delaware sharon R. Reardon SMALL BUSINESS ALLIANCE EXECUTIVE DIRECTOR DSCC

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The Small Business Alliance unites State Chamber member companies with fewer than 150 employees. The Alliance, with its own by-laws, Board of Managers, and committee structure, offers strength in numbers, the security of being a part of a powerful and influential organization, savings on benefits purchased at group discount rates, and education and development for small business owners and employees.

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A P U B L I C AT I O N O F T H E

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Small Business Report

Small Business Alliance Announces 2011 Board and Leadership

T

he Delaware State Chamber of Commerce’s Small Business Alliance has added new members to its board, senior advisors and leadership. The Small Business Alliance, the largest of the Delaware State Chamber of Commerce’s affiliates, supports and strives to strengthen the competitive position of all Delaware small businesses.

Pam Cornforth of Ronald McDonald House is the newly elected co-chair of the Small Business Alliance Board of Managers of the Delaware State Chamber of Commerce.

Steve Lehm of VanDemark & Lynch has been reaffirmed to co-chair the Board. The Small Business Alliance Board of Managers is pleased to welcome new Board member, Chip Rankin, President of EBC Carpet Services.

The Alliance also announced the following new senior advisory council members: Ken Anderson, director, Entrepreneurial & Small Business Support, Delaware Economic Development Office (DEDO) Terrence Barclift, senior vice president Business Banking, Bank of America Nash Childs, executive vice president, Bancroft Construction These business leaders complete the Small Business Alliance Board of Managers: Tim Boulden, Boulden, Inc. Pam Cornforth, Ronald McDonald House; Board co-chair Larry DiSabatino, DiSabatino Construction Joe Farley, Jr., Farley Printing Co.; Benefits & Services Committee chair Kevin Fasic, Cooch & Taylor, P.A. Don Fulton, George J. Weiner Associates Janice Giannini, Paradigm Associates Greg Gurev, MySherpa, Inc. Jack Healy, Healy Long & Jevin, Inc.; Legislative Forum co-chair Steve Lehm, VanDemark & Lynch; Board co-chair Chad Moore, Bellmoor Inn & Spa

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Pam Cornforth Small Business Alliance Co-chair

Steve Lehm Small Business Alliance Co-chair

Bill Parks, Colonial Parking, Inc.; 2011 Superstars in Business Awards Program chair James Randall, Liberty Staffing Chip Rankin, EBC Carpet Services Michael Reath, Delmarva Broadcasting Company; Small Business Alliance Board treasurer Scott Thomas, Southern Delaware Tourism Office Priscilla Turgon, Professional Staffing; Education & Development Committee chair Bill Ward, Bill Ward, Inc. The following leaders constitute the Small Business Alliance Senior Advisory Council: Ken Anderson, Delaware Economic Development Office (DEDO) Terrence Barclift, Bank of America Nash Childs, Bancroft Construction Cynthia Dwyer, Wellness Community-Delaware Martha Gilman, Gilman Development Company William Major, Wilmington Trust Company James O’Neill, PhD, University of Delaware Will Robinson, George & Lynch, Inc. Richard Rowland, Rowland Johnson & Company, PA Dennis Salter, Summit Realty Advisors, LLC Michael Uffner, AutoTeam Delaware Sharon Reardon is the executive director of the Small Business Alliance.

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Small Business Report

Superstars in Business News Compiled by Denee Crumrine

December marked the 1-year anniversary of LANDMARK ENGINEERING’s (2009 Superstar in Business) merger with JCM Environmental. Landmark specializes in surveying, engineering, planning and design services for civil and site engineering projects and JCM is a full-service environmental consulting firm. “Talking through issues between scientists, engineers and surveyors has brought great value to our clients, immediately. We knew it would work this way but were pleasantly surprised at how quickly it all came together. And we know it will keep getting better,” says Bruce Tease, President of Landmark Engineering.

THE ARCHER GROUP (2007 Superstar in Business) has teamed up with DonorsChoose.org, a Website designed to fund classroom projects through charitable donations that otherwise would have lacked the materials to begin. Employees, clients and friends of the Archer Group determine which projects the business supports by visiting the “Archer Cares” page of the company’s Web site, www.archer-group.com, and clicking the Facebook ”Like” button for the project they want to support. DonorsChoose. org purchases the requested items once sufficient funds have been DonorsChoose.org donated. Archer narrowed down the list of more than 20,000 projects to 10 that focused on the visual arts at high poverty schools in the region. Their donations will continue until all 10 projects are funded. “Everyone at the Archer Group is enthusiastic about the projects we’ve identified. We think it’s great to spark the creative energy that we all experienced at sometime in our childhood that got us passionate about the creative arts.” says Lee Mikles, Archer Group co-founder and CEO. The Archer Group will use its Facebook page to post reports from teachers on how they used the materials supplied through the company’s contributions.

AUTOTEAM DELAWARE (2003 Superstar in Business) President, Chairman and CEO Michael Uffner was honored for his nomination for the 2011 TIME Dealer of the Year award. Uffner was

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one of a select group of dealers from across the country honored at the 94th annual National Automobile Dealers Association (NADA) Convention & Exposition in San Francisco .

Uffner was chosen to represent the Delaware Automobile & Truck Dealers Association in the national competition – one of only 52 automobile dealers, Michael Uffner from 17,000 nationwide, nominated for the 42nd annual award. The award is sponsored by TIME in association with Goodyear, and in cooperation with NADA. A panel of faculty members from the Ross School of Business at the University of Michigan selects one finalist from each of the four NADA regions and one national Dealer of the Year.

Sam Calagione, founder and owner of DOGFISH HEAD CRAFT BREWERY (2004 Superstar in Business), has updated his book, “Brewing Up a Business: Adventures in Entrepreneurship from the Founder of Dogfish Head Craft Brewery” with a second edition.

Dogfish Head is also looking forward to their short film competition in April with The Alamo Drafthouse Cinema. Featuring offcentered films for off-centered people, the festival celebrates the DIY approach of both the Alamo Drafthouse and Dogfish Head.

“The Off-Centered Film Fest is one of my favorite events of the year. There is a tremendous overlap in the creative spirit between the indie film and the indie beer communities and everyone at Dogfish enjoys getting our chocolate into the Alamo’s peanut butter,” says Calagione. For those who won’t make it to Austin, Texas for the film festival, they can look forward to the 2011 schedule of Dogfish Head brews hitting bars, pubs and retail locations this year. Dogfish Head plans to release over 26 varieties, plus their experimental “exclusives” at their Rehoboth Beach brewpub.

The 2nd Annual Wellness Resolution Family Fun 5K Walk/ Run to benefit THE WELLNESS COMMUNITY-DELAWARE (2002 Superstar in Business) was held in Dover on New Year’s Day. It was sponsored by the Rite Aid Foundation. Mayor Carleton Carey and Delmarva Broadcasting radio station Cool 101.3 kicked off the event with a Kiddie K and the race began immediately after at 10:00 a.m. Walkers and runners traveled along the flat scenic rural landscape of the St. Jones Isaac Branch

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Small Business Report

Trail and ended at Buffalo Wild Wings for a post race party sponsored by Buffalo Wild Wings.

BUCK SIMPERS ARCHITECT + ASSOCIATES (2001 Superstar in Business) was selected to complete a $36 million renovation at Howard High School of Technology Renovation, one of four schools chosen to take part in the federal Race to the Top-funded initiative called Partnership Zones. This program is intended for schools that have had low student scores. The scope of work includes a complete upgrade of the facility, security improvements, interior and programmatic renovations throughout the school, and exterior parking and façade upgrades. Caesar Rodney School District also called on BSA+A for help and commissioned them for the complete upgrade of Allen Frear Elementary School. Renovations include improvements to the front, the redesign of the admin/guidance and nurses offices, and ADA upgrades including a new elevator.

Kristin M. Hill and Nicole L. Connelly have joined Belfint, Lyons & Shuman, PA (2005 Superstar in Business). Hill joined the Tax & Small Business department as a Senior Accountant where she assists small businesses and individual clients with their tax needs. Connelly joined the firm’s Accounting & Auditing department as a Senior Accountant. Belfint Lyons & Shuman, PA also promoted Jennifer Samoniski, Mark Sweeney, Kelly Kremer

and Karly Laughlin to Staff II Accountant and Michael Kelly, CPA, Larry Gentile and Louis Volpe have each been promoted to Senior Accountant. Christopher J. Ciminera has been promoted to Supervisor in the firm’s Accounting and Auditing department.

Also in the news, Michael A. Mast, CPA and Pankit R. Desai, CPA have each passed all four portions of the uniform certified public accountant exam and have received their CPA designation.

Delaware Hospice (2004 Superstar in Business) received a donation of $1,200 from the Starrlight Fund, which was presented at the Festival of Trees Gala held at Delaware Technical & Community College in Georgetown on Friday, December 3, 2010.

The Starrlight Fund was created in honor of the late Tammy Brittingham to provide support to “ovarian cancer patients” during their times of crisis. Founded by Tammy’s husband, Mike Pelrine, and her son, Eban Brittingham, the Starrlight Fund has grown significantly with the generosity of friends, family, local Rotary clubs, and the community. The Fund is a 501(c)(3) notfor-profit fund administered through the Delaware Community Foundation.

Presenting the check, Mike Pelrine said, “Delaware Hospice’s outstanding support of patients and families is known throughout our community. We’re pleased to be able to offer this contribution to an organization that meets our goals in offering quality care and compassion for individuals and their families.” n

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Small Business Report

Calendar of Events March 2, 16 & April 6, 20

WEST SUSSEX LEAD GROUP

8:00 a.m. – 9:15 a.m.

Location: Jefferson, Urian & Doane, 651 N. Bedford St. Ext., Georgetown Pre-registration required.

For more information, contact Chuck James at (302) 576-6562 or cjames@dscc.com.

March 2, 16 & April 6, 20

BRANDYWINE BUSINESS ALLIANCE

8:30 a.m.

Location: Ameriprise Financial Services Office, 200 Bellevue Parkway, Suite 250, Wilmington Pre-registration required.

For more information, contact Arlene Simon at (302) 576-6576 or asimon@dscc.com.

March 2 & April 13

SUPERSTARS IN BUSINESS PLANNING COMMITTEE

(Open to committee members only) 8:30 a.m. – 9:30 a.m.

Location: DSCC Board Room, 1201 N. Orange Street, Wilmington For more information, contact Sharon Reardon at (302) 5766578 or sreardon@dscc.com.

March 3

WELLNESS AT WORK CONFERENCE

9:30 a.m. – 1:30 p.m.

Location: Univ. of Delaware, Clayton Hall, 100 David Hollowell Drive, Newark Cost: $35/Non-profits; $50/ Members; $75/Non-members Pre-registration required.

March 4, 18 & April 1, 15

WILMINGTON (1) LEAD GROUP

8:30 a.m.

Location: DSCC Board Room, 1201 N. Orange Street, Wilmington

Pre-registration required.

For more information, contact Arlene Simon at (302) 576-6576 or asimon@dscc.com.

March 8, 22 & April 12, 26

NEWARK LEAD GROUP MEETING

8:15 a.m. – 9:30 a.m.

Location: 5301 Limestone Road, Suite 123, Wilmington Pre-registration required.

For more information, contact Chuck James at (302) 576-6562 or cjames@dscc.com.

March 7

LEGISLATIVE FORUM

Guest Spearker: New Castle County Exec. Paul Clark 12:00 p.m. – 2:00 p.m.

Location: DSCC Board Room, 1201 N. Orange Street, Wilmington Cost: $10/Members; $20/Non-members Pre-registration required.

For more information, contact Greg Gross at (302) 576-6568 or ggross@dscc.com.

March 9

DSCC BOARD OF DIRECTORS MEETING

(Open to board members only) 11:30 a.m. – 1:30 p.m.

Location: Brantwyn, 1001 Rockland Rd., Wilmington For more information, contact Cheryl Corn at (302) 576-6572 or ccorn@dscc.com.

March 10, 24 & April 14, 28

DOVER LEAD GROUP MEETING

8:30 a.m. - 9:30 a.m.

Location: Hilton Garden Inn, 1706 N. DuPont Highway, Dover Pre-registration required.

For more information, contact Chuck James at (302) 576-6562 or cjames@dscc.com.

March 10

EDUCATION & DEVELOPMENT COMMITTEE MEETING

9:00 a.m. – 10:00 a.m.

Location: DSCC Chairman’s Room, 1201 N. Orange Street, Wilmington Cost: Free Pre-registration required.

For more information, contact Sharon Reardon at (302) 576-6578 or sreardon@dscc.com.

March 11, 25 & April 8, 22

WILMINGTON (2) LEAD GROUP MEETING

8:15 - 9:15 a.m.

Location: State Chamber Board Room Pre-registration required.

For more information, contact Chuck James at (302) 576-6562 or cjames@dscc.com.

March 15

NETWORKING BREAKFAST

7:30 a.m. – 9:00 a.m.

Location: Verizon Wireless, 4345 Kirkwood Hwy., Wilmington Cost: Free Pre-registration required.

March 16

YOUNG EXECUTIVES COMMITTEE MEETING

Guest Speaker: Alan Levin, Delaware Economic Development Office Director 12:00 p.m. – 1:30 p.m.

Location: Doubletree Downtown Hotel, 8th and King Streets, Wilmington Cost: $10/Members; $20/Non-members Pre-registration required.

March 17 & April 21

HEALTH CARE COMMITTEE MEETING

9:30 a.m. – 11:00 a.m.

Location: DSCC Board Room, 1201 N. Orange Street, Wilmington Cost: Free Pre-registration required.

For more information, contact Katie Grasso at (302) 576-6566 or kgrasso@dscc.com.

March 30

BENEFITS & SERVICES COMMITTEE MEETING

9:00 a.m. – 10:00 a.m.

Location: DSCC Chairman’s Room, 1201 N. Orange Street, Wilmington Cost: Free Pre-registration required.

For more information, contact Sharon Reardon at (302) 576-6578 or sreardon@ dscc.com.

April 6

SPRING LEGISLATIVE BRUNCH & MANUFACTURING CONFERENCE

Manufacturing Conference: 9:00 a.m. – 10:30 a.m.

Legislative Brunch: 10:30 a.m. – 12:30 p.m.

Location: Sheraton Dover Hotel and Conference Center, 1570 N. Dupont Hwy., Dover Cost: $50/Members; $75/ Non-members Pre-registration required.

April 14

SMALL BUSINESS ALLIANCE BOARD OF MANAGERS MEETING

(Open to board members only) 8:00 a.m. – 9:30 a.m.

Location: DSCC Board Room, 1201 N. Orange Street, Wilmington For more information, contact Sharon Reardon at (302) 576-6578 or sreardon@dscc.com.

April 19

NETWORKING BREAKFAST

7:30 a.m. – 9:00 a.m.

Location: Blue Rocks Frawley Stadium, 801 Shipyard Drive, Wilmington Cost: Free Pre-registration required. n

Register for events online at www.dscc.com. These dates are subject to change. Please check with the staff person in charge or call (800) 292-9507 to confirm time/speaker/cost, etc. To receive event notices by e-mail, send your name and company affiliation to publications@dscc.com.

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DEMEP Profile:

Evraz Claymont Steel

By Eileen Dallabrida

E

vraz Claymont Steel has been operating in some form since 1917, when the plant opened as Worth Steel, a family-owned open-hearth mill that refined iron ore into steel to help build a nation emerging from World War I. Half a century later, in 1968, the plant underwent a massive renovation under Phoenix Steel Corp., and was reborn as an electric-arc furnace operation that included the first twostrand continuous caster in the United States.

Today, Evraz Claymont is the only mini-mill focused on custom discrete plate in North America, with the flexibility and expertise to accommodate small orders, short lead times and non-standard dimensions while maintaining high-quality customer service.

The plant also has the distinction of being the oldest continuous cast mill in America. That has provided the plant with a proud legacy, as well as an experienced and skilled workforce.

But the conversion more than 50 years ago was the last major capital investment in the sprawling, 425-acre property on the banks of the Delaware River.

When the plant was acquired in 2008 by Oregon-based Evraz Inc. for $565 million, the new owners began exploring ways to improve operations without a massive infusion of cash. With minimal resources and abundant enthusiasm, Evraz Claymont obtained a training grant from the Delaware Office of Economic Development.

To fire up new efficiencies, plant management then turned to the Delaware Manufacturing Extension Partnership (DEMEP).

Accredited by the National Institute for Standards and Technology, DEMEP’s mission is to substantially improve the quality, productivity and profitability of manufacturers in the state by identifying, transferring and implementing best practices.

“At DEMEP, we are passionate about teaching manufacturers to get better at what they do,” says Steve Quindlen, executive director. “With a greater emphasis than ever on the bottom line, we are showing manufacturers low-cost ways to make their operations more efficient.”

At Evraz Claymont, that effort focused in great part on training the workforce, the company’s most precious resource.

In a massive undertaking, DEMEP trainers came on board to

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Evraz Claymont before instituting 5-S principles, bottom. Photo provided by Evraz Claymont

top,

and after,

teach first-line supervisors and 170 of the plant’s 330 hourly workers 5-S lean manufacturing techniques.

Originally developed in Japan, 5-S focuses on effective organization and standardized procedures to simplify the work environment, reduce waste and non-value activities, while increasing quality efficiency and safety. The 5-S principles translate to: Straightening, Systematic cleaning or Shining, Standardizing, and Sustaining.

Initially, DEMEP zeroed in on three significant areas in the plant: maintenance in the melt shop; maintenance in the plate mill; and the custom burning department.

“Bringing in a fresh set of eyes can make a world of difference to a company,” says Jim Jones, senior specialist at DEMEP. “The thing that was the most apparent to us was that there was a lot of clutter at the plant.”

Starting fresh began with cleaning up workspaces. DEMEP then analyzed procedures and production, step by step, to

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identify sources of clutter and devise a plan for eliminating it.

“An organized workspace is essential for efficiency,” Jones says. “It is also good for morale.”

Over the years, melt shop maintenance had become an area where materials were left at the end of a shift and often forgotten. Time invested in searching for materials was a source of frustration, as well as a drain on productivity.

“We are saving hours of time that used to be wasted looking for material and equipment,” says Jim Brown, vice president of custom burned products. “When people are accountable, they tend to take care of things very well.”

Because the plant is so large, DEMEP suggested plotting a detailed map of the facility that would be readily accessible to employees.

“Now even new people know where items are,” Brown says.

“It is a simple change but highly effective.”

DEMEP also provided value stream mapping, analyzing each step in various processes in order to root out any procedures that do not contribute value to the final product. For example, samples of various lots of steel are tested to make certain the product fits the precise specifications for each order. Under the old system, all the test samples would go through the same process, in which they would be saw cut and then surface ground. For example, a tensile test, which measures how much steel stretches before the material fails, requires cutting the sample into a shape resembling a dog biscuit.

But some tests, such as the procedure to determine surface hardness, did not require saw cutting.

“All we need is the surface grinding, so saw cutting was a waste of time,” says Scott Diestelkamp, director technical services.

Now, Evraz Claymont breaks tests into different categories, according to what procedures are actually required to do to perform the test.

“Again, it’s all about identifying waste – and then coming up with ways to eliminate it,” Jones says.

DEMEP also came up with a system to make it easier to handle the increase in store room inventory. Previously, all inventory was stored together. But by repurposing a defunct laboratory as storage, Evraz Claymont now has a readily accessible place to keep inventory for equipment with a lengthier lead time, as well as their red-tagged area.

“That lab hadn’t been used for 20 years,” Brown says. “Now it is no longer wasted space.” Plant management is also confident training will pay off over the long haul, in both worker productivity and morale.

“There was a lot of skepticism when we first involved employees in the process,” Diestelkamp says. “But as changes were made, and then followed up on, people were pleasantly surprised.”

In 2011, Evraz Claymont will continue to roll out 5-S training throughout the plant, strengthening a commitment to efficiency.

“DEMEP showed us a new way of looking at things and we want to keep that positive momentum going,” Diestelkamp says. n

Delaware State Chamber of Commerce

LEGISLATIVE BRUNCH & MANUFACTURING CONFERENCE Meet and share issues and goals with Delaware legislators and business leaders at this annual State Chamber event.

WEDNESDAY, APRIL 6, 2011 9:00 A.M. – 1:00 P.M. SHERATON DOVER HOTEL $50.00 Members • $75.00 Non-members • $35 Young Executives Member exhibit tables: $175/no electric; $250/with electric Non-member exhibit tables: $275/no electric; $350/with electric Register online at www.dscc.com.

For more information, call Liz Pretz at (302) 655-7221.

Sponsorships available.

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3/1/11 11:04 AM

Member Dental Benefits Delaware State Chamber of Commerce Members have access to high-value dental benefits through Dominion Dental Services.

Dental Benefits Three unique options Use a network dentist or any dentist Coverage for over 250 services including fillings, crowns, root canals, orthodontia and more Simple online enrollment and administration Who can participate?

Any individual or member company.

DominionDental.com/edental/dscc The Dominion Group of companies includes Dominion Dental Services, Inc., the licensed underwriter of the dental plans, and Dominion Dental Services USA, Inc., a licensed administrator of dental and vision benefits. This policy includes limitations, exclusions and terms under which the policy may be continued in force or discontinued.

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Now’s the time to take a look at the Delaware State Chamber Health Plan.

Call (302) 576-6580 for more information.

Request a Quote for this exclusive plan just for DSCC members.

For more information, visit www.dscc.com/healthplan.htm Blue Cross Blue Shield of Delaware is an independent licensee of the Blue Cross and Blue Shield Association.

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The Delaware Drug Card will provide savings of up to 75% on prescription drugs at over 50,000 pharmacy locations across the country. This card is a point of sale discount plan and does not expire. This program is not insurance.

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Newsmakers Compiled by Katie Grasso wilson

Goodwill Adds Computer Recycling The 18 donation locations for Goodwill of Delaware and Delaware County are among the 100 new Goodwill sites added to the Reconnect computer recycling program.

The partnership between Goodwill and Dell Computers makes it convenient for more than 42 million U.S. households to drop off computers and related accessories for free, responsible recycling. The new collection sites in Delaware and Delaware County bring the total of Reconnect collection sites to 2,200 across the United States and Canada.

“Since its inception, the Reconnect program has created hundreds of green jobs for Goodwill employees who manage the recycling program,” said Ted Van Name, president and CEO for Goodwill of Delaware.

“Reconnect has allowed Goodwill to expand its sustainability policy and recycling practices. We are pleased to be partnering with Dell to expand our electronics recycling efforts to raise revenues to support our mission.”

According to Van Name, the Reconnect partnership between Goodwill Industries International and Dell, which started in 2004, allows the public to drop off used

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computers and other electronics for no-cost recycling.

Van Name says the program has diverted more than 170 million pounds of electronic waste from landfills and created about 250 green jobs with Goodwill employees managing the collection and disassembly of the equipment.

Donated equipment meeting

education or job experience, and others facing challenges to finding employment.

Walmart Gives to Food Bank Program In an effort to ensure that no child goes without healthy meals during times when school is not in session, the Walmart Foundation

A.I. duPont Hospital Leader Steps Down Thomas P. Ferry, one of the longest-tenured hospital chief executives in the nation, stepped down in January after more than 30 years with the Nemours/Alfred I. duPont Hospital for Children in Wilmington. During that time, Ferry guided the transformation of a small, highly respected orthopedic “institute” to a full service, critical and acute care pediatric teaching hospital that is ranked among the nation’s best. Succeeding him as CEO is Kevin Churchwell, MD, who came to Delaware from Monroe Carell Jr. Children’s Hospital at Vanderbilt in Nashville.

Ferry began his career with Nemours in 1979 and was promoted to the top administrative post at the hospital just three years later, at the age of 35.

At the time, Nemours was beginning major construction on a new millionsquare-foot facility adjacent to the comparatively small original hospital

After more than 30 years as hospital chief at A.I. duPont Hospital for Children, Tom Ferry is retiring. Photo provided by Nemours/Alfred I. duPont Hospital for Children

on Rockland Road. The project took six years to complete and was said to be the most advanced children’s hospital in the country when it opened its doors in 1984. Now, with that facility set to expand as construction begins on a new patient tower this year, Ferry has witnessed a culmination of his stewardship. “We went from 60 beds to 180 beds, which was considered very ambitious at the time,” he recalls. “But now we have exceeded that capacity and more. It’s gratifying to know we’ve served this community well and are able to continue to grow and serve even more kids and families.”

During Ferry’s time at the hospital, staff increased from about 600 to 3,200; the annual budget increased from $27 million to $475 million; admissions increased from 1,100 to 10,000 per year; and outpatient visits increased from 37,000 to 400,000 per year. There was no Emergency Department when Ferry took over, but since opening in 1989, emergency visits have steadily increased and now stand at more than 47,000 per year. Ferry is especially proud of Nemours establishing, under his watch, a network of pediatric practices throughout Delaware to ensure that every child in the state has access to a pediatrician regardless of ability to pay.

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the program’s quality criteria is resold, and devices needing repair are either refurbished or broken down into parts to be recycled by Dell partners.

He said this program supports Goodwill’s job training programs, employment placement services and other communitybased programs for people who have disabilities, those who lack

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announced today a $56,000 grant to the Food Bank of Delaware’s Backpack Program.

The Food Bank’s Backpack Program provides food to at-need children for weekends and holidays when

school is not in session and federal school meal programs are not available. Backpacks are stocked with kid-friendly, nutritious food including shelf-stable milk and juice, peanut butter and jelly, granola

The Beebe Medical Center’s hip and knee replacement surgical programs have received certifications from The Joint Commission. Photo provided by Beebe Medical Center

Beebe Awarded Surgical Certifications Beebe Medical Center has been awarded disease-specific certifications in hip and knee replacement surgical programs

by The Joint Commission, the independent organization that accredits and certifies health care organizations and programs throughout the nation.

The certifications mean that these two joint replacement programs at Beebe Medical Center have met the highest national standards and guidelines that can significantly improve outcomes for joint replacement patients.

The Joint Commission issues a certification only after an on-site review is carried out that assesses the hospital’s commitment to excellence in providing disease-specific services in a comprehensive manner. The Joint Commission examines the hospital’s performance improvement measures and initiatives, programs, organization, leadership and patient outcomes.

Representatives scrutinize hospital procedures to make sure they meet best practice guidelines established by the American Academy of Orthopaedic Surgeons and the National Association of Orthopaedic Nurses. They examine individual patient cases

bars, apple sauce, cereal and more. They are distributed on Fridays or the last day before a holiday or vacation in a discreet manner at sites where children normally congregate after school.

“With an increasing number of Delawareans in need of food assistance, Walmart is proud to support the Food Bank of Delaware’s Backpack Program,” said Steven Reed, Walmart Market Manager.

“Walmart is committed to making sure that our community’s most-vulnerable populations have the needed nutrition to learn, play and grow.”

“It’s known that good nutrition is directly tied to children’s performance in school and overall wellbeing,” said Food Bank of Delaware President and CEO, Patricia Beebe. “We are so grateful for Walmart’s commitment to making sure that no child goes without nutritious meals. With this financial gift we’ll be able to continue to grow the program so that we’re able to reach every at-risk child in the state.”

EDiS Recognized for Green Designation EDiS Company was recently recognized by Governor Jack Markell and Delaware Department of Natural Resources and Environmental Control Secretary Collin O’Mara for its efforts to achieve the Certified Green Contractor designation from the Associated Builders and

Contractors (ABC) National Green Building Committee.

EDiS is the first company in Delaware, and one of only twenty-five companies in the U.S., to achieve the Certified Green Contractor designation.

“EDiS has demonstrated the economic opportunity that comes from energy efficiency and sustainable building practices,” said Governor Markell.

“I’m proud that one of our home-grown companies has demonstrated national leadership through their commitment to green construction, sustainable day-to-day business operations, and workforce training.”

ABC’s Green Contractor Certification program recognizes construction companies that implement green practices and principles in the workplace, including headquarters, branch offices and jobsites.

To attain certification, EDiS achieved and documented an exhaustive list of green practices and underwent a thirdparty onsite assessment.

EDiS’ green support reaches beyond ABC’s Green Contractor Certification. On Earth Day, April 22, 2010, the Wilmington Organic Recycling Center (WORC), one of the newest, most state-of-the-art commercial food and yard waste composting facilities in North America, became fully operational. Located near the Port of Wilmington, WORC was developed by a partnership including Peninsula Compost

and interview staff members.

“We are proud to have earned this designation,” says Marie Berntsen, director of Orthopaedic Services at Beebe Medical Center. “Every person on our team focuses on achieving the standards of quality that are based on best practice guidelines.

Patient safety is of utmost importance.”

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Correction:

In the January/February issue of Delaware Business, Pam Cornforth of the Ronald McDonald House and Larry DiSabatino of DiSabatino Construction Company were omitted in error from the list of 2010 Small Business Alliance Board of Managers.

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Emory Hill Announces Recent Transactions Verizon Delaware, LLC has renewed its lease of 32,000

square feet of industrial space in Corporate Commons in New Castle, Delaware. The five year renewal, coordinated by Edd Connor of NAI Emory Hill, ensures that Verizon will retain a dispatch facility for its FIOS installation activities in

New Castle County. Elite Cleaning, a residential and commercial janitorial service provider, has signed a five year lease for 6,600 square feet of industrial space at 14 Ashley Place in Wilmington, Delaware. The property is fully leased and currently

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Group, LLC, EDiS Company and Port Contractors. EDiS managed the construction.

listed for sale through Pat Gioffre, agent with NAI Emory Hill’s Retail Division.

Paul Bryant, Principal, and Dave Morrison, Agent, both with NAI Emory Hill represented the landlord in the signing of a lease at 2 Penns Way in New Castle. n

Newsbites n Wilmington Brokerage Services Company announced that it has hired Carol Arnott Robbins as vice president and client relationship manager.

Arnott Robbins manages advisors who work with individuals, families, and small-business owners to prepare and execute financial plans that are customized to their specific needs. Over the years, she has developed a specialty in serving Carol Arnott women in transition, especially those who find Robbins themselves single after divorce or the death of a spouse. Arnott Robbins is rejoining WBSC after working at the company for nearly 10 years, beginning in 1995. n Arthur G. (“Chip”) Connolly III has been elected Connolly Bove Lodge & Hutz LLP’s new managing partner. Connolly replaces Collins J. (“C.J.”) Seitz, Jr., who served as the firm’s managing partner since 2008. During his upcoming three-year term, Connolly will carry out the firm’s strategic goals and future expansion, in addition to overseeing the day-to-day management of the firm. He is a third generation member of the firm from the Connolly family. n James J. Gallagher has joined Morris James LLP as an Associate in the Tax, Estates and Business Practice. Gallagher focuses his practice on various business, tax and transactional matters. n Greg Sawka has been named Bancroft Construction Company’s president and CEO. Sawka, a Bancroft employee since 1999, replaces company founder Stephen M. Mockbee. He previously worked as a Principal for Potomac Building & Design and prior to that, as a System Manager for Peco Energy. n Gregory P. Williams, a director of Richards, Layton & Finger in Wilmington, has recently been named a neutral of the American Arbitration Association (AAA). The AAA is the nation’s leading provider of alternative dispute resolution, and its national roster of neutrals consists of accomplished and respected experts from the legal and business communities. n Saul Ewing LLP has elected nine attorneys to the firm’s partnership.

The following special counsel have been promoted to partner: Amy

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C. Foerster, Litigation Department, Harrisburg, Penn.; Colleen A. Foley, Project and Resource Development Department, Newark; Matthew M. Haar, Litigation Department, Harrisburg, Penn.; Mindy L. Herman, Project and Resource Development Department, Baltimore; Robyn F. Pollack, Bankruptcy and Restructuring Department, Philadelphia; James D. Taylor, Jr., Litigation Department, Wilmington; Gregory J. Wartman, Litigation Department, Philadelphia. The following associates have been promoted to partner: William C. Baton, Litigation Department, Newark; Devin Doolan, Jr., Business and Finance Department, Baltimore. n Kristin Shaw, CPA, has joined ParenteBeard, LLC as a principal in the Wilmington office. Shaw has more than 18 years of experience providing audit, accounting and tax services and will focus on serving local small businesses and non-profit clients. n Kevin Kelly, a Delaware builder with Leon N. Weiner & Associates, was elected as the 2011 Third Vice Chairman of the Board of the National Association of Home Builders (NAHB) during the association’s International Builders’ Show in Orlando, Fla. His building experience includes land development, multifamily and single-family home building, construction financing and property management. n Cover & Rossiter announced the following promotions and additions to their team: Loretta Manning, CPA, FCPA and Joanne Shaver, CPA, were recently promoted to principals. Andrew Johnson, CPA was promoted to senior staff accountant. Rachael Leberstein, CPA was welcomed back as a supervisor in their Corporate Tax Department. Scott Hudson also returned to Cover & Rossiter to work with the Delaware Advantage group. n Bayhealth’s John Desiderio, FACHE, administrative director of Diagnostic Imaging, has earned certification as a Fellow of the American College of Health Care Executives, the nation’s leading professional society for health care leaders. Bayhealth also welcomed Robert A. Fischer, Jr. to the Bayhealth, Inc. Board of Directors. n Robert F. Sabol, CIC, CWCA has been promoted to Vice President, Risk Management Advisor at Lyons Companies, Delaware’s largest privately-owned commercial insurance brokerage and employee benefits consulting firm.

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Mr. Ed Lynch 508A Philadelphia Pike Wilmington, DE 19809 (302) 543-6764 Fax: (302) 764-6769 www.ApsleyBuilders.com

OPTIMUM HEALTH GROUP

Mr. Larry Maister 301 N. Walnut St. Wilmington, DE 19801 (302) 655-5900 Fax: (302) 655-5979 www.brandywinerealty.com

Dr. Patrick Ward 2100 Baynard Blvd., Lower Level Wilmington, DE 19802 (302) 225-9000 Fax: (302) 225-9005 www.optimumhg.org

CALPINE CORPORATION

PATHWAYS TO SUCCESS, INC.

Mr. Stuart Widom 500 Delaware Ave., Suite 600 Wilmington, DE 19801 (302) 468-5324 Fax: 302-468-5401 www.calpine.com

Mr. Darrell Andrews 1201 N. Orange St., Suite 7059 Wilmington, DE 19801 (302) 834-1040 www.coachdspeaks.com DELAWARE CORPORATE AGENTS, INC.

Ms. Jane Goldberg 4406 Tennyson Rd. Wilmington, DE 19802 (302) 762-8637 Fax: (302) 762-8643 www.delcorp.com HTC HD7 ®

Our Smartest Smartphones (After $100 mail-in rebate card) New activation of qualifying plan with Unlimited Web on 2-year contract required.

DSCC <<Extralong Company Name>> get your initial $35 activation fee waived, 10% OFF monthly recurring plus XX% charges on select plans.

FISKER AUTOMOTIVE Limited Time Offer!

Switch to T-Mobile and save!

Call 1-866-464-8662, option 3 Use Promotional Code: 12795TMOFAV <<TMOXXXXXX>>

Get post-rebate sale price of 50% less than post-rebate regular T-Mobile retail price.

T-Mobile’s HSPA+ 4G network is not available everywhere. See coverage details at T-Mobile.com.

Limited time offer expires 3/9/2011; subject to change. Offer applies to featured devices only; while supplies last. Taxes and fees additional. Must call number listed above and use promotional code to take advantage of offers. Device Offers: New activation on qualifying postpaid plan with Unlimited Web and 2-year contract required; one device per newly activated line. Mail-in rebates do not apply in RI, CT or Miami-Dade County. Rebates provided in form of VISA card; must remain active and in good standing on account at time rebate is processed. Allow up to 8 weeks for processing. See rebate card form for details.

Monthly Discount: Qualifying postpaid individual-liable plan on new 2-year agreement required; FlexPay, Even More Plus and certain other plans excluded. Monthly discount is applied to recurring charges and does not apply to overage, long distance, roaming, taxes and fees, or other charges. Offer may not be combined with other discounts. General Terms: Credit approval and $35 per line activation fee may be required; up to $200/line early cancellation fee applies to two-year agreements. Device and screen images simulated. See Representative, brochures and T-Mobile’s Terms and Conditions (including arbitration provision) at www.T-Mobile.com for additional information. T-Mobile and the magenta color are registered trademarks of Deutsche Telekom AG. myTouch and G2 are registered trademarks of T-Mobile USA, Inc. America’s Largest 4G Network is a trademark of T-Mobile USA, Inc. Android is a trademark of Google, Inc. © 2011 T-Mobile USA, Inc.

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Mr. Brian Drysdale 3652 Silverside Rd. Wilmington, DE 19810 (302) 477-1734 www.instantimprintsde.com

BRANDYWINE REALTY TRUST

DARRELL ANDREWS ENTERPRISES

®

INSTANT IMPRINTS OF DELAWARE

Mr. Jeff Garland 801 Boxwood Rd. Wilmington, DE 19807 (949) 677-4549 www.fiskerautomotive.com INNOVATIVE EDUCATIONAL ASSOCIATES

Dr. Robert Andrzejewski 540 Dennis Ln. Hockessin, DE 19707 (302) 528-0098

Ms. Priscilla Turgon 3301 Green St. Claymont, DE 19703 (302) 798-3520 Fax: (302) 798-0215 www.Pathways-2-Success.org PENCADER CHARTER HIGH SCHOOL

Mr. Ray Arzinger 170 Lukens Drive New Castle, DE 19720 (302) 472-0794 Fax: (302) 472-0796 www.pencadercharter.org TRI-STATE TRUCK & EQUIPMENT SALES

Mr. Patrick Walsh 201 E. 6th St. New Castle, DE 19720 (302) 235-8781 Fax: (302) 276-1257 www.tristatetrucksales.com W.B. DONER & COMPANY

Ms. Janet Flick 25900 Northwestern Hwy. Southfield, MI 48075 W.B. MASON CO., INC.

Ms. Doreen Miller 917 S. Heald St. Wilmington, DE 19801 (888) 926-2766 Fax: (888) 818-5057 www.wbmason.com n

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S TATE CHA M B ER

State Chamber Scene

NEWS

Members of the business community came together at the Delaware State Chamber of Commerce’s 174th Annual Dinner on Jan. 10, 2011 at the Chase Center on the Riverfront. Among the highlights of the night were the Hon. Mike Castle being surprised with the Josiah Marvel Cup and Bank of America’s President and CEO, Brian Moynihan, giving the keynote address. See some of the highlights of the night in photos below, and take a look at our full photo gallery on www.dscc.com. Photos by Dick Dubroff/Final Focus.

The Hon. Michael N. Castle was surprised to learn that he is the recipient of the Josiah Marvel Cup. Presenting the award are, from left: Congressman John Carney, DSCC President and CEO Jim Wolfe, DSCC Board chair Tommy Cooper, the Hon. Ted Kaufman, U.S. Senator Tom Carper, Jane Castle, Castle, the Hon. Pete du Pont, U.S. Sen. Chris Coons, Governor Jack Markell and the Hon. Hal Haskell.

More than 900 people from the business community attended the dinner at the Chase Center.

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The Marvel Cup is given each year to a Delawarean who has contributed to the Delaware community in a significant way. The identity of the winner is held secret until it is announced at the Annual Dinner.

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NEWS CHA M B ER S TATE

from left: Gary Stockbridge of Delmarva Power, Cathy MacFarlane of ING DIRECT and Lonnie George of Delaware Technical and Community College.

from left: Steve Baccino of Pepco Holdings, Rick Deadwyler of Dupont and Carrie Gray of the Wilmington Renaissance Corporation.

from left: Michael Purzycki of the Riverfront Development Corporation, Bob Elder of Santora CPA Group and Patrick Callahan of The Archer Group.

from left: Arnold Johnson, Cathy Livingston, Ann Balthis and Theresa Andrews of Bank of America.

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aSbTATE c d e fCHA g M B ER NEWS

from left: Alok Patel of Delaware BioScience Association, Cheryl Dunford of Integration Logistics, Inc., and Ken Grant of Analtech.

from left: Lonnie George of Delaware Technical and Community College and Tom Worley of Comcast.

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from left: Ernie Dianastasis of CAI, Patrick Harker of the University of Delaware, Amy Overton and Larry Windley from Sen. Carper’s Office, and Skip Panella of CAI.

from left:

Sharon Baker and Dan Collins of Teleduction.

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NEWS CHA M B ER S TATE

from left: Pete Hayward of the University of Delaware, Verna Hensley of Easter Seals, and Jeff Garland of Fisker Automotive.

Brian Moynihan, president and CEO of Bank of America, gave the keynote speech.

U.S. Senator Tom Carper and Mike Castle announce the winner of the Josiah Marvel Cup, and Castle realizes the winner is him!

The Hon. Pete du Pont applauded Castle and his work for the state of Delaware.

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January 25, 2011

CHA M B ER

Networking Breakfast

Networking Breakfast

S TATE

January 25, 2011

NEWS

The Rev. Thomas Laymon welcomes networking breakfast attendees to the Sunday Breakfast Mission in Wilmington. Photo

by Katie Grasso Wilson

from left: Gregory Schieffer and Mike Ondik of ParenteBeard, LLC and Frank Dowling of Primerica pose for the camera at DSCC’s networking breakfast at the Sunday Breakfast Mission in Wilmington. Photo by Katie Grasso Wilson

January 31, 2011 Legislative Forum

DPPI Roundtable on Health Care February 1 & 2, 2011

Congressman John Carney talked to members at the Legislative Forum at the Delaware State Chamber of Commerce offices about his first few weeks in Congress and what it’s like to be one of only nine democratic freshmen. Photo by Katie Grasso Wilson

The Delaware Public Policy Institute brought together leaders in health care for a roundtable discussion that spanned two days at the University of Delaware’s Clayton Hall. Photo by Katie Grasso Wilson

For more photos from Delaware State Chamber of Commerce events, go to to www.dscc.com/newsevents/photo_gallery.aspx

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NEWS

Delaware State Chamber of Commerce

CHA M B ER

Small State. Big Benefits.

The State Chamber Health Plan

S TATE

The cost of employee health care is a top concern among Delaware business owners. DSCC has devised an affordable, quality health care plan for its members. Blue Cross Blue Shield of Delaware announced new reduced rates and added an additional lower-cost plan choice. Visit www.dscc.com/healthplan. htm today or call (302) 576-6580 for more details.

Prescription Drug Discount Card

The Delaware Drug Card will provide savings of up to 75 percent on prescription drugs at more than 50,000 pharmacy locations across the country. The Delaware Drug Card has no restrictions to membership, income or age, and you are not required to fill out an application. This program helps all residents of Delaware afford their prescription medications. For more information, go to www.dscc.com/rxdiscount.htm.

Discounted Cell Phone products and Service

State Chamber members can get a 10-percent discount from T-Mobile on qualifying monthly recurring charges and other special offers. Call Melissa Williams at melissa.williams2@tmobile.com to learn more about this benefit.

Notary Service

Did you know that Notary Public services are free for Chamber members? Call (302) 655-7221 to make an appointment to stop in for a notary seal on your documents.

Staples Business Advantage

Staples Business Advantage offers Chamber members 25-to-75 percent off their most commonly used items and 25-percent off the list price of everything else in their catalog. Call Denise Ruhle at denise.ruhle@staples.com to receive a welcome kit and a password to access www.stapleslink.com.

Blood Bank Membership

Member companies with five employees or less are offered unlimited group coverage in the Blood Bank of Delmarva. Call (302) 655-7221 for more information.

DSCC Affinity Credit Card with WorldPoints Rewards

The DSCC affinity card by Bank of America is a business credit card offered exclusively to State Chamber members that also offers a rewards program for discounted airline tickets, free hotel nights and car rentals and more. The Chamber affinity card with WorldPoints® lets members combine points from personal and business cards to get rewards even faster. Call (800) 598-8791 to apply; mention priority code FABLHRAQ. dental and vision plan

Dominion Dental Services provides dental and vision benefits on a group and individual basis with competitive, memberexclusive rates. Dental care coverage for most diagnostic and preventive services is 100 percent with up to 80 percent coverage for restorative care including fillings, root canals, crown and bridge work, periodontal treatment, oral surgery and more. Go to www.dscc.com/chamber/dental_plan.aspx or call (888) 518-5338 for more information. No application fee for DSCC members!

Constant Contact E-mail Marketing Service

State Chamber members are eligible to receive discounts on their Constant Contact account subscriptions. Members can save 20 percent if they prepay for 6 months and 25 percent if they prepay for 12 months. That is a 10-percent deeper discount than what is available to other customers. To sign up, visit the Constant Contact link on the State Chamber’s members-only page or call (866) 876-8464 to activate your member discount.

Access full details on these benefits of membership in the membersonly section of the DSCC Web site. For more information about obtaining your company’s members-only login credentials, please e-mail webmaster@dscc.com. n

Certificate of Origin Documents

Certificate of Origin documents are $20 for Chamber members ($100 for non-members). Call (302) 655-7221 for more information.

Member-to-Member Discount Directory

Delmarva Broadcasting Company

and services to fellow members. To see the full list of discounts

Fifteen percent in bonus airtime on commercial orders placed by new advertisers on any Delmarva Broadcasting radio station.

Contact Mike Reath at mreath@dbcmedia.com or call (302) 478-2700 for more information.

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State Chamber members offer substantial savings on products

online, visit www.dscc.com and click on Member2Member Discounts.

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S TATE

Chamber Committees & Forums

CHA M B ER

State Chamber members play a visible, active role in the business community by serving on committees. If you would like to get involved, contact the committee’s Chamber representative or register online at www.dscc.com.

Committee:

This committee identifies group-oriented benefits, such as health care coverage, dental and vision care, discounted office supplies, phone service, direct mail, radio advertising and much more to help Chamber members be healthy and competitive.

Contact: Sharon Reardon at (302) 576-6578 or sreardon@ dscc.com.

Benefits & Services Committee:

This committee provides practical, valuable and affordable education and development programs to help existing members and potential members be more successful. Contact: Sharon Reardon at (302) 576-6578 or sreardon@dscc.com.

Education & Development Committee:

This committee meets each month and brings in knowledgeable experts to discuss ever-changing labor and employment laws and regulations that impact all Delaware businesses.

The interaction between speakers and committee members provides a cost-effective and efficient way to obtain up-to-date information that helps employers create or modify personnel policies and procedures before legal problems arise. Contact: Greg Gross at (302) 576-6568 or ggross@dscc.com.

The

Employee

Relations

Committee:

Environmental Committee: Working closely with the Department of Natural Resources and Environmental Control (DNREC), members are involved in the review and shaping of environmental legislation and regulation. Contact: Greg Gross at (302) 576-6568 or ggross@dscc.com.

Members discuss key health care issues facing Delaware businesses and provide feedback to the Chamber legislative team to assist in formulating policy.

Contact: Katie Grasso Wilson at (302) 576-6566 or kgrasso@ dscc.com.

Health Care Committee:

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NEWS

The Ambassador Committee is a specially chosen group of volunteers that assists in increasing membership and retention, and acts as a liaison between the State Chamber staff and the membership at large. Contact: Chuck James at (302) 576-6562 or cjames@ dscc.com.

Ambassador

Provides a forum to discuss issues affecting Delaware holding companies on the state and national levels. Contact: Katie Grasso Wilson at (302) 576-6566 or kgrasso@dscc.com.

Holding Company Committee:

Members, lobbyists and legislative representatives work together to address legislative issues of interest to Chamber members. Monthly lunchtime meetings feature guest speakers who cover current topics of interest to the business community. Contact: Greg Gross at (302) 576-6568 or ggross@dscc.com.

Legislative forum:

Tax Committee: This committee reviews tax legislation and lobbies for the reduction of personal and business taxes in Delaware. Contact: Greg Gross at (302) 576-6568 or ggross@ dscc.com.

The transportation committee creates a unified voice when making recommendations to the Delaware Department of Transportation. Contact: Greg Gross at (302) 576-6568 or ggross@dscc.com.

Transportation Committee:

The Delaware State Chamber of Commerce’s newest committee was formed this year to encourage young executives in Delaware to get involved in the Chamber, network with other young professionals and further their business growth. The Young Executives Committee, for professionals between the ages of 21 and 40, aims to develop Delaware’s young workforce through professional business networking and personal growth. Contact: Liz Pretz at (302) 576-6586 or lpretz@dscc. com.

Young executives committee:

Women in Business forum: The Women in Business Forum was formed to forge relationships, break boundaries and build a better business environment for women in our community. Former guest speakers include First Lady Carla Markell, Gov. Ruth Ann Minner, Family Court Chief Judge Chandlee Kuhn, State Reps. and Sens., and business leaders.

Contact: Sharon Reardon at (302) 576-6578 or sreardon@ dscc.com. n

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For Assistance, Call the Chamber

The State Chamber of Commerce staff works for you, serving nearly 2,800 member companies and organizations statewide. This State Chamber staff directory lists phone numbers and e-mail addresses, as well as individual areas of responsibility. If you need business assistance or information, please don’t hesitate to call.

James A. Wolfe President & CEO Marianne K. Antonini Sr. Vice President Finance & CFO

576-6560 jwolfe@dscc.com 576-6567 mantonini@dscc.com

A. Richard Heffron Sr. Vice President Government Affairs

576-6563 rheffron@dscc.com

Sharon R. Reardon Sr. Vice President Marketing & Exec. Director, Small Business Alliance Superstars in Business Wellness at Work Media Relations Marketing Benefits & Services Committee Education & Development Committee Women in Business Forum

576-6578 sreardon@dscc.com

Janine G. Sorbello Sr. Vice President Education & Exec. Director, The Partnership Business Mentoring Alliance Principal for a Day Teacher Externship Superstars in Education

576-6575 jsorbello@dscc.com

Katie Grasso Wilson Communications Manager Delaware Business Production Web Site Health Care Committee Holding Company Committee Young Executives Committee

576-6566 kgrasso@dscc.com

Gregory L. Gross Director of Government Affairs Employee Relations Committee Environmental Committee Legislative Forum Tax Committee Transportation Committee

576-6568 ggross@dscc.com

Chuck James Account Executive

576-6562 cjames@dscc.com

Liz Pretz Events Manager Young Executives Committee

576-6586 lpretz@dscc.com

Arlene M. Simon Account Executive Bill Stephano Director of Membership

576-6576 asimon@dscc.com 576-6574 bstephano@dscc.com

John H. Taylor, Jr. 576-6590 Sr. Vice President & jtaylor@dscc.com Exec. Director, Delaware Public Policy Institute

Patrina Wallace Information Secretary

655-7221 pwallace@dscc.com

Denee Crumrine Program & Communications Specialist

Miller Publishing, Inc. Fred Miller President, Miller Publishing, Inc. Advertising Sales

576-6579 fmiller2@dscc.com

Cheryl Corn Executive Assistant to the President Linda D. Eriksen Accounting Associate

576-6564 dcrumrine@dscc.com 576-6572 ccorn@dscc.com 576-6569 leriksen@dscc.com

Delaware State Chamber of Commerce 1201 N. Orange Street, P.O. Box 671 Wilmington, DE 19899-0671 (302) 655-7221 / Fax (302) 654-0691 (800) 292-9507 Kent & Sussex counties www.dscc.com Blog: dscc.wordpress.com facebook: facebook.com/delawarestatechamber flickr: flickr.com/dscc twitter: @Destatechamber

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We can each make a difference.

We support those who do.

For more than 100 years, the Wilmington Trust corporate family has been privileged to work with, and support, individuals and organizations committed to providing quality of life and opportunity to all members of our communities.

In our second century of serving clients, our commitment to improving the lives of our neighbors remains steadfast.

We are proud to support the

Delaware State Chamber of Commerce

Chris Scarpittiâ&#x20AC;&#x201C;302.651.8858

Š 2011 Wilmington Trust Corporation.

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