Economicalliance magazine 1stqtr 2016 web

FIRST QUARTER

2016

In This Issue: Economic Alliance Industry Brief................... 06 Supplemental Environmental Projects.......... 08 Task Force Updates.........................................10

President’s Letter • Members in Motion • Gulf Goast Industry Forum

www.allianceportregion.com

SUMMER REGISTRATION OPEN NOW INCLUDING MAY MINI May Mini Session Begins May 16 Summer I Classes Begin June 6

fall REGISTRATION OPEN NOW Fall Classes Begin August 29

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ECONOMIC ALLIANCE FIRST QUARTER | 2016

OF LIFE EDITION

Special Features 06 Economic Alliance

Industry Brief Ammonia is the New Black

In This Issue PRESIDENT’S LETTER ...................... 05 ECONOMIC ALLIANCE IN MOTION ......................................... 12 MEMBERS IN MOTION ...................... 14

10 Task Force Updates Updates on Economic Alliance Task Force Committees

CALENDAR OF EVENTS .................... 17 MEMBER LISTING ............................. 18

08 Supplemental Environmental Projects Local projects receive funding from industry The Gulf Coast business culture has always been creative when it comes to the partnership between industry and the communities industry serves.

Nowhere else in the world do these two groups coexist so peacefully due to the symbiotic nature of their relationship.

ECONOMIC ALLIANCE | FIRST QUARTER 2016

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About the Economic Alliance The Economic Alliance Houston Port Region, a non-profit organization created in 1985, provides professional economic development services on behalf of 16 communities surrounding the 25-mile Houston Ship Channel - home to one of the world’s most influential energy corridor and trade ports. Since 2008, the Economic Alliance has supported over 40 successful projects that has facilitated business activities creating over 4,400 new jobs and over $5.5 billion of capital investment to the Houston Port Region.

We are proud to count among our members the following Cities, Communities, Chambers of Commerce, and other government entities: Harris County Port of Houston Authority City of Baytown City of Deer Park City of Galena Park City of Houston City of Jacinto City City of La Porte City of Morgan’s Point City of Pasadena

City of Pearland City of Seabrook City of Shoreacres City of South Houston Community of Channelview Community of East End Community of North Shore Community of Sheldon Community of South Belt-Ellington Baytown Chamber of Commerce

Deer Park Chamber of Commerce Greater Houston Women’s Chamber of Commerce Highlands-Lynchburg Chamber of Commerce Houston East End Chamber of Commerce La Porte-Bayshore Chamber of Commerce North Channel Area Chamber of Commerce Pasadena Chamber of Commerce Pearland Area Chamber of Commerce South Belt-Ellington Chamber of Commerce South Houston Chamber of Commerce

pl President’s Letter

I am a small town boy who grew up on the East side in the shadow of the petrochemical industry. For me, quality of life has always been about community.

Quality of life is about a father taking his boys to baseball practice on a warm spring evening after getting home from a days work at a chemical plant; about pride in your hometown; and about going to Friday night football games and cheering like crazy for YOUR school. It is about little details, like the quality of sports fields I grew up playing on- beautiful lush grass football and baseball fields without fire ants. It is about the waves of generations using these same ball fields that have coached, cheered, and raised their kids into adults that love their hometown and who now have the opportunity to work, buy homes and raise their own kids in the same towns with love and with a spirit of community.

I don’t know if it’s a Texas thing, a small town thing, or a Southeast Harris County thing, but I know that the people who live and work in our region love their communities. They take fierce pride in them and continue to do amazing things to keep our communities places where mothers and fathers can raise families and provide the wonderful memories I know I have. Quality of life is made up of the parks and swimming pools that our kids learn to swim in, the splash pads and water parks our cities maintain, the theater and dance clubs our people create, the hike and bike trails that allow us to experience the outdoors firsthand, and experiences like climbing all over the Battleship Texas and imagining the amazing things those sailors must have seen over 70 years ago. Quality of life is our local mayors poking fun at their neighboring mayors and making bets on whose high school football team will win this year. Things like this make a town a community and turns houses into homes.

These are the things that I feel in my heart when I think of “quality of life,” and it’s all made possible by the wonderful careers that are generated by the economy of the Houston Port Region.

203 Ivy Avenue, Suite 200 Deer Park, TX 77536 281-476-9176 www.allianceportregion.com ECONOMIC ALLIANCE EXECUTIVE BOARD

Chairman, Jim Griffin, Dianal America Immediate Past Chairman, Karen Gregory, CenterPoint Energy Treasurer, Steve Cote, Brady, Chapman, Holland & Associates Secretary, Lawrence Waldron, Jefferson Energy Companies Vice Chair, Dr. Brenda Hellyer, San Jacinto College Vice Chair, Glenn Royal, The Royal Group at Merrill Lynch Vice Chair, Barry Klein, Shell Deer Park Advisory, Mayor Tom Reid, City of Pearland

EDITORIAL ADVISORY BOARD

Randy Boeding, Setech Consulting Solutions Melissa Botkin, Galena Park ISD and City of Seabrook Teri Crawford, San Jacinto College Patti Jett, City of Baytown Steve Lestarjette, Lee College Connie Tilton, ExxonMobil

ECONOMIC ALLIANCE STAFF

Chad Burke, President/CEO Chad Carson, Vice President of Economic Development Marisela Contreras, Marketing & Communication Coordinator Dana Ramirez, Event & Member Services Coordinator Bridget Yeary, Financial & Administrative Manager Denise Smesny, Dream it. Do It. Southeast Texas, Program Manager

LAYOUT AND DESIGN

Lorrent Smith, Lee College EDITORIAL SUBMISSIONS marisela@allianceportregion.com SPONSORSHIP SUBMISSIONS marisela@allianceportregion.com To read an issue online, go to the bottom of our Homepage: www.allianceportregion.com

Nothing is guaranteed, but everything one could want for their family is right here in our region for the taking with hard work and dedication. Our region embodies the very definition of the American Dream, and all of the work we do here at the Economic Alliance is to support that dream for our members and the communities we serve.

God bless you,

Chad Burke President/CEO, Economic Alliance

ECONOMIC ALLIANCE | FIRST QUARTER 2016

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Economic Alliance Industry Brief

Ammonia is the new Black: A Primer on the U.S. Ammonia Market The “Economic Alliance Industry Brief” column contains the latest research and market trends and is written with the intention of being a piece to be referenced throughout the quarter as you conduct your business.

You may also subscribe to receive a curated digital digest of some of the articles used in the writing of this column at the following address: http://paper.li/e-1445354829.

Market Drivers Ammonia is the new black. There. It has been said out loud. No longer to be only whispered amongst those who are speculating about what the everevolving petrochemical market will do next.

Ammonia is not a very sexy chemical.

It is not something one thinks about before going to bed at night. However, as natural gas prices remain low and domestic supply of natural gas remains abundant, ammonia is quickly becoming more interesting to domestically produce as a primary building block for nitrogen-based fertilizers. Nitrogen is an essential element of life, and all commercial 6

ECONOMIC ALLIANCE | FIRST QUARTER 2016

fertilizers contain their nitrogen in the ammonium and/or nitrate form (Apodaca, 2013).

Fertilizers are an integral step in the agricultural production chain. The United Nations estimates that the world population will reach 7.7 billion by 2020, an increase of 35 percent from 5.7 billion in 1995 (U.S. Geological Survey, 1999). The need for fertilizer grows as the population grows.

As the need for fertilizer grows, so does the need for ammonia. This need, coupled with the low prices of natural gas feedstock as well as the use of ammonia itself as a low-cost feedstock for production of nylons and some plastics, creates a very

favorable climate for U.S. production of ammonia.

U.S. Ammonia Market Domestic Production As of 2015, ammonia was produced by 13 companies at 29 plants in 15 states; however, about 60% of total U.S. ammonia production capacity was located in Louisiana, Oklahoma, and Texas thanks in large part to each of these states’ natural gas supplies.

The United States was one of the world’s biggest producers and consumers of ammonia, even though existing facilities were operating at about only 80% of rated production capacity.

The measurement of consumption for market analysis purposes is known as “apparent consumption” and is calculated as production plus imports minus exports, adjusted to reflect any changes in stocks. Over the course of the last ten years, our net import reliance as a percentage of apparent consumption has declined from 41% to 29%.

This decline in reliance on imports represents a systemic shift in domestic production from approximately 7.9 million metric tons (Mt) per year in 2006 to approximately 9.4 Mt per year in 2015. During the next four

Over the course of the last ten years, our net import reliance as a percentage of apparent consumption has declined from 41% to 29%. years, an estimated 5 million metric tons per year in additional production capacity is expected to come online in the United States. However, even at higher domestic production numbers, the United States will likely still be importing additional ammonia from foreign markets such as Trinidad and Tobago, Canada, Russia, and the Ukraine (U.S. Geological Survey, 2016).

because it becomes the only export terminal in Texas capable of handling ammonia. Infrastructure cost is one of the primary impediments to the United States becoming a bigger player in the global ammonia market where China, India, and Russia dominate. A marine liquids terminal would need to be exporting anywhere from 50,000 Mt to 100,000 Mt of ammonia per month to create favorable enough profit conditions to justify the expense of additional infrastructure required to accommodate ammonia which is highly volatile and requires special storage tanks and handling processes.

Because ammonia production profitability is tied directly to natural gas feedstock, the flurry of new ammonia production facilities suggests that the market anticipates low natural gas prices for the midterm and perhaps even the long-term.

The challenge for the United States in taking advantage of this market to become a leading exporter goes back to infrastructure cost; but it is a challenge that can be overcome with a broad, market-based consensus to bet on domestic natural gas supply maintaining its effect on global natural gas prices.

Despite the volatile nature of the chemical itself, the facilities listed above are just a few among a growing list of ammonia plants that are in the process of being constructed. Some, like the Agrifos / Borealis joint venture going by the moniker “Gulf Coast Ammonia, LLC,” have been announced but are still in the site selection process (Borealis, 2015). Still more are being discussed in hushed tones.

Bibliography

Implications

New Construction

The domestic market for ammonia is stable and growing due to the prominence of the United States in the global agriculture market-both as producers of fertilizers and of food.

As of 2013, ammonia production in the United States represented 10% of the 144 Mt global production (Apodaca, 2013).

Five new world-scale ammonia plants will start up this year or next in the United States, with construction progressing for CF Industries at Donaldsonville, LA, and Port Neal, IA; Dyno Nobel at Waggaman, LA; OCI’s Iowa Fertilizer Company at Wever, IA; and Yara’s joint venture with BASF at Freeport, TX (Brown, 2016). The BASF project is worth noting as BASF will upgrade its current terminal and pipeline assets on behalf of Yara for the export of ammonia from the new plant to other (likely domestic) locations (BASF, 2015). This is noteworthy

The facilities coming online will not make the United States a net zero importer of ammonia even if they operate at full capacity. Thus, there is still opportunity for additional domestic capacity to meet domestic needs. Further, if natural gas prices remain low, there is opportunity for the United States to become an exporter on the global market in a much bigger way than we have in the past. In the last four years, the United States has seen a twenty-four fold increase in exports of ammonia, yet export numbers are still marginal.

Apodaca, L. (2013). U.S. Geological Survey Minerals Yearbook: Nitrogen (Advance Release). U.S. Geological Survey.

BASF. (2015, July 27). Yara and BASF Break Ground on New Ammonia Plant in Freeport, Texas. Retrieved from BASF News Release: https://www.basf.com/ en/company/news-and-media/newsreleases/2015/07/p-15-300.html Borealis. (2015, May 20). Borealis and Agrifos Announce Major Milestone in the Development of Ammonia Production Project in U.S. Retrieved March 10, 2016, from Borealis Media Releases: http://www.borealisgroup.com/en/ company/news-events/news/2015/5/ Borealis-and-Agrifos-announce-majormilestone-in-the-development-ofammonia-production-project-in-US/ Brown, T. (2016, February 10). Ammonia Plants in the Pipeline: Will They or Won’t They. Retrieved from Ammonia Industry: h t t p s : // a m m o n i a i n d u s t r y . c o m / ammonia-plants-in-the-pipeline-willthey-wont-they/ Fertecon. (2016). Ammonia Report: Weekly Review of the Ammonia Market, February 26, 2016. London: Fertecon.

U.S. Geological Survey. (1999). FertilizersSustaining Global Food Supplies. Reston: U.S. Department of the Interior.

U.S. Geological Survey. (2016). Mineral Commodity Summaries: Nitrogen (Fixed) - Ammonia. U.S. Geological Survey.

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T

he Gulf Coast business culture has always been creative when it comes to the partnership between industry and the communities industry serves. Nowhere else in the world do these two groups coexist so peacefully due to the symbiotic nature of their relationship. Industry provides jobs, and communities provide labor. It is a partnership that has proven vital to the growth of our region to become one of the most successful economic drivers in the country. Like any relationship, there are opportunities to grow.

The Texas Commission on Environmental Quality’s Supplemental Environmental Project (SEP) program provides one medium through which industry can grow closer to the communities it serves. When a plant or facility violates environmental regulations and is assessed a monetary penalty, Texas law may allow that facility to put part of its fine to work improving the environmental quality of the region.

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ECONOMIC ALLIANCE | FIRST QUARTER 2016

The SEP program provides an option for settling enforcement actions by contributing to an approved SEP project in or near the community where the violation occurred.

Approved SEPs may cover a wide range of actions that improve or protect our air, water and soil resources, and several currently approved SEP projects are eligible to receive fines assessed against operations in the Economic Alliance service area.

One example of an approved SEP is the Coastal Prairie, Tidal Marsh, and Forested Wetland Restoration Project at Armand Bayou Nature Center (ABNC). TCEQ has determined that this project meets the requirements for a SEP when violations to water and/or soil occur. ABNC uses the contributed SEP funds to protect, restore and enhance critical ecosystems in the Armand Bayou watershed that provide ecological service benefits to our community. The SEP investments

Supplemental Environmental Projects Local projects receive funding from industry result in improved water quality, soil erosion reduction, storm water retention, storm water purification and improved wildlife habitat for a multitude of native species.

While the SEP funds are restricted to habitat restoration work, the resultant high quality natural resource becomes the landscape setting for ABNC’s environmental education and ecotourism programs which then touch the lives of families living and working across the region.

Because environmental incidents are unpredictable and violation fines can vary, SEP projects are not forecasted or budgeted. SEP contributions to the ABNC wetland restoration project are treated like a bonus, allowing ABNC to accomplish more of its mission than can be provided by our

usual fundraising efforts. Whether small or large, each SEP contribution to ABNC advances our ability protect the quality of life in our region for generations to come.

TCEQ encourages all violators to consider funding or undertaking a SEP. In addition to pre-approved third-party SEPs like ABNC, TCEQ will also consider custom SEPs proposed and implemented by the violator. It is clearly understood that the closer the SEP is located to the site of the violation the greater the benefit to the local environment. SEPs are also media specific; an air violation must contribute to a SEP project that directly improves air quality. Some SEPs like ABNC are approved for more than one media.

For more information about TCEQ SEP rules check www.tceq.state. tx.us or contact a SEP staff person at 512-239-3400. The best time to consider a SEP is before a violation occurs. Encourage your environmental compliance and legal departments to become familiar with the SEP options in this region.

If an unfortunate violation occurs, don’t let all of the fine go off to the state’s General Revenue Fund; try to direct those fines to SEP projects that benefit the community that was impacted by the incident.

ECONOMIC ALLIANCE | FIRST QUARTER 2016

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TASK

FORCE updates

Public Policy Task Force

Workforce Development Task Force

Federal As we move toward the end of Q1 in 2016, under the leadership of Chairman Dennis Winkler, the Public Policy Task Force has been working diligently developing a targeted list of Federal issues that directly affect the Houston Port Region to take to Washington D.C. The issues that the team of 20 will be advocating for include support for the petrochemical and maritime communities on funding, dredging and regulatory permitting, educational funding for our community colleges, transportation funding, and prepping legislators for a hurricane surge protection plan currently being studied. The trip will take place April 11th – 14th and include a cross-section of members that will represent all sectors of the region including industry, maritime, education, cities and businesses.

The Workforce Development Task Force has opened nominations for a President-Elect to organize meetings and committees, to work with staff to develop a strategic plan, and to organize activities for the task force. This position will report monthly to the board.

The group reviewed the 2015 mission and goals and began work identifying 2016 long and short-term goals and objectives. This activity will continue throughout the first quarter.

Events discussed include the March 9th Job Fair At San Jacinto College, the April 16th On-the-Water Maritime Fair, the Houston Hispanic Career Forum on February 13th, and the Community College Petrochemical Industry event on February 20th at the Galvez Hotel.

The Chairman also requested volunteers for the Gulf Coast Outlook Conference scheduled for August 24th and 25th.

Meetings are held on the third Friday of each month.

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Dream It. Do It. Southeast Education Foundation In January, the group introduced Denise Smesny as the Project Manager for the Dream It. Do It. Southeast Texas Education Foundation. In addition to managing the foundation, Denise has created an ISD Task Force made up of representatives from the ISDs and Educational Service Centers in the 7-county Dream It. Do It. region. The job of this task force is to create a high-need job awareness campaign for educators (administrators, counselors, and teachers), students, and parents. The task force will also define what type of assistance is needed from industry to help determine best practices for influencing the positive perception of manufacturing careers to all stakeholders.

Scheduled events for DIDI include a Speaker’s Bureau presentation for Channelview High School seniors held on February 16th, a presentation to CTE Directors and Coordinators at Region 5 in Beaumont on February 18th, a speaking engagement at the new San Jacinto College Maritime

Economic Development Task Force 2016 has brought with it many changes for the Economic Development Task Force.

Below is a summary of key changes, why they were made, and what to expect moving forward.

Name Change One of the most evident changes for 2016 is the name change from the “New Business Development Task Force” to the “Economic Development Task Force.” We were finding that new members were sometimes confused about the purpose of the Task Force and are hopeful that the new name more accurately conveys the core purpose of the task force, which is to attract capital investment and jobs to the region.

Meeting Time and Frequency The meeting time for the Economic Development Task Force has been changed from a bi-monthly lunch meeting (11:30am – 1:30pm) to a monthly afternoon meeting (3:00pm – 4:00pm), in uniformity with the other afternoon Task Force meetings held at the Economic Alliance. Meetings are held every fourth Wednesday of the month.

Format Prior to 2016, meetings were held over lunch with members hearing from a speaker.

Beginning in 2016, meetings will no longer feature a speaker but are instead focused on discussion of active projects that the Task Force is working on as a team. Meetings are an opportunity for members to engage in dialogue with one another, discuss what each member of the Task Force can bring to a potential project, and share resources like market data and potential leads.

Leadership We are proud to announce the advancement of Kristi Claypool of Meador Staffing from the role of Vice Chair to Chair of the Task Force. Brian Williams has been named Task Force Vice Chair. Each will serve a two-year term, and both are already bringing great new ideas to the table. We wish to thank our

immediate past Chair, Randy Drake, for his service to the Task Force.

Transportation Task Force With the nomination of a seat at the Houston-Galveston Area Council’s Technical Advisory Committee table, the Economic Alliance is taking the next steps to ensuring that regional transportation needs are addressed for its members.

Prior to 2016, the Transportation Task Force was comprised solely of key stakeholders in the region. Moving forward throughout 2016, the Transportation Task Force will be opened up to all Economic Alliance members with an interest in being part of our efforts.

This quarter, the Transportation Task Force will be presented with the policy recommendations we will be making at local, state, and federal levels (in anticipation for the Economic Alliance trip to Washington, D.C.) as well as the action plan to accomplish our policy objectives.

Meeting Time and Frequency Beginning on Tuesday, April 5th, the Transportation Task Force will become a regularly-scheduled Economic Alliance Task Force that meets bi-monthly at 3pm on the first Tuesday of the month. We may move to monthly meetings if it is deemed appropriate.

Like all of our other task forces, a Chair and Vice-Chair will be appointed from among the membership to serve a two-year term each.

Look for that announcement next quarter.

Quality of Life Task Force The Quality of Life Task Force recently completed the drafting of a 12- and 24-month list of strategic goals and is beginning to take actions to meet the 12-month goals. The first step was the creation of three subcommittees: Fundraising, Communications, and Product.

Look for Task Force members participating in a booth at the annual San Jacinto Day

Festival to be held on Saturday, April 23rd this year. The City of Deer Park has generously agreed to sponsor a booth for the Task Force. You can get details about the event here: http://www.sanjacinto-museum. org/The_Battle/Our_Annual_Reenactment/ Meeting Time and Frequency This Task Force now meets monthly on the second Wednesday of each month. Meeting times and locations vary and are hosted at assets in each city in the Economic Alliance footprint.

Young Professionals The Economic Alliance has, for the first time, created a Young Professionals Task Force!

We are very excited about the potential of this Task Force. It is in its inception in 2016, and we are currently seeking a Chair to lead efforts to engage young professionals in our industry, organize networking events, and ensure that our Young Professionals have a voice within our organization. Look for the Task Force Chair appointment, Young Professional profile interviews in Bay Area Magazine, and Young Professionals networking events in 2016.

Business Growth Task Force The Business Growth Task Force has ended the 1st quarter on a fantastic note. We hosted our first Business Education Luncheon at Cullen’s Restaurant with about 80 people in attendance on the newly passed Open Carry Law in Texas. Our guest enjoyed our speakers State Representative Wayne Smith on the perspective of a legislature and Attorney Charles Cotton who helped write the bill into existence.

This Task Force has also nominated a new Vice Chairman, Natalie Pica with The Royal Group-Merrill Lynch. She will bring additional support to our Chairman Steve Cote with BCH as we continue to make great strides in achieving our goals as an organization and to our members.

ECONOMIC ALLIANCE | FIRST QUARTER 2016

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Economic Alliance

in

MOTION

CEO CHAD BURKE PARTICIPATES IN TEXAS TRIBUNE STORM SURGE FORUM

Newly opened San Jacinto College Maritime Campus played host to the Texas Tribune’s forum, “Protecting Houston before the Next Big Storm.”

Ayan Mittra, the Managing Editor of the Texas Tribune moderated a panel that included State Senator Larry Taylor, Leon Phillips of the Galveston County Coalition for Justice, Len Waterworth with Texas A&M Galveston, and Chad Burke of the Economic Alliance Houston Port Region.

Photo credits: Michael Stravato / The Texas Tribune

ECONOMIC ALLIANCE MAYORS DISCUSS CLEAN AIR ACT AT HOT AIR TOPICS CONFERENCE

ECONOMIC HAS NEW CONTRIBUTOR PARTNERSHIP WITH BIC MAGAZINE

Deer Park Mayor Jerry Mouton and Baytown Mayor Stephen DonCarlos recently shared their views at the 19th annual Hot Air Topics conference of the Air & Waste Management Association– Gulf Coast Chapter.

Beginning in April, the Economic Alliance will now be providing an article for each month’s issue of BIC Magazine. We couldn’t be more excited about this partnership. Be sure to subscribe to make sure you are getting the latest and greatest industry news.

ECONOMIC ALLIANCE HOSTS JANUARY BOARD MEETING AT JV DRIVER OFFICES

DREAM IT. DO IT. SOUTHEAST TEXAS INTRODUCED AT CONGRESSMAN GENE GREEN NEIGHBORHOOD SAFETY MEETING

Roger Gossett and the staff at JV Driver were gracious hosts for the first Board Meeting of the new year. Updates from each Task Force Chair were given, and the Board was able to get an overview of what to expect throughout 2016. Thanks to JV Driver for the wonderful facilities and food.

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The Economic Alliance was invited to present their workforce development initiative, Dream It, Do It, that educates students and under employed about the numerous high-demand, highwage careers that are available in the Houston Port Region in the petrochemical, maritime and logistics industries. Chad Burke provided an insight into the economic growth the region is experiencing and how to train for and obtain these jobs. The audience was the civic club and neighborhood association leaders, area school representatives from HISD, GPISD, San Jacinto College and HCC-NE, and representatives from HPD and other law enforcement and governmental agencies.

“Globalization of the Gulf Coast: Positioning to Reach the World”

“Globalization Gulf Coast: th &the Wednesday, August 24of Thursday, August 25th Pasadena Convention 7902the Fairmont Pkwy Positioning to Center, Reach World”

Wednesday Agenda: Port of Houston Authority Roger Guenther, Executive Director Energy Export Panel: Freeport LNG Jefferson Energy Companies Cheniere LNG Enterprise Products Congressional Update: Congressman Gene Green Congressman Brian Babin

THURSDAY AGENDA:

WEDNESDAY AGENDA:

Plant Managers Panel 24th &Petrochemicals Thursday, August 25th Industrial Regulations & Policy Update: Pasadena Convention Center, 7902 Fairmont Pkwy

Port of Houston Authority Wednesday, August Executive Director, Roger Guenther Energy Export Panel: Freeport LNG LBC Tank Terminals Cheniere LNG Enterprise Products

Texas Chemical Council President, Hector Rivero

Congressional Update: Congressman Gene Green Congressman Brian Babin

Luncheon Keynote Speaker: Texas Railroad Commissioner, Ryan Sitton

ExxonMobil - Global Chemicals Outlook: Sr. Vice President of Global Operations, Bruce March

Transportation & Logistics Panel

TCEQ: Chairman, Dr. Brian Shaw

PRESENTING SPONSOR

GOLD SPONSORS

Presenting Sponsor

Keynote Speaker

ExxonMobil - Global Chemicals Outlook: Bruce March, Sr. Vice President of Global Operations Gold

Silver

SILVER SPONSORS

For more information visit: www.allianceportregion.com

Bronze Great Western Valve Tolunay-Wong Engineers, Inc. Houston ILA Dock & Marine Council Greater Houston Partnership

As of May 24, 2016

Thursday Agenda: Petrochemicals Plant Managers Panel Industrial Regulations & Policy Update: Hector Rivero, Texas Chemical Council President Texas Commission on Environmental Quality: Dr. Brian Shaw, Chairman

BRONZE SPONSORS Great Western Valve Tolunay-Wong Engineers, Inc.

Houston ILA Dock & Marine Council Greater Houston Partnership

Luncheon Keynote Speaker: Ryan Sitton, Texas Railroad Commissioner Transportation & Logistics Panel Keynote Speaker

For more information visit: www.allianceportregion.com:

Argosy Transportation Group (ATG) Celebrates its 20th Anniversary

Brown & Gay Engineers Names Two New Shareholders

As part of their 20th anniversary celebration, Argosy is sponsoring various professional events, and contributing toward initiatives in education within the maritime industry. Argosy appreciates the importance of investing in young professionals, and they remain committed to developing a platform for the future of the industry.

BGE is pleased to announce that Jaime Beard (Director of Site Development, Frisco) and Jeff Safe (Senior Project Manager, Houston) have been named shareholders of the firm.

During the past 20 years, Argosy evolved from a shipping brokerage firm, to becoming a diversified maritime transportation and logistics company. Argosy ensures that their clients receive industry leading, customized, and competitive solutions, both domestically and internationally.

Based in Houston, Texas, Argosy operates three main divisions: barging, shipping, and technical services. By combining their network of worldwide agents and strategic alliances, Argosy provides cost effective solutions for projects ranging from the Gulf Coast to the U.S. inland river system, as well as internationally. www.argosytg.com 713668-3388

Armand Bayou Nature Center Honored with a “Helping Here” Contribution from HEB Armand Bayou Nature Center was honored with a “Helping Here” contribution from H E B during the grand opening luncheon at the new Clear Lake store. Located in the Armand Bayou watershed, the new H E B store has been designed and constructed to minimize its environmental impact. H E B president Scott McClelland was the keynote speaker at the ABNC presentation of the Armand Yramategui Conservation Award last October. He spoke about the plans for the new store before helping present the award to the Galveston Bay Foundation.

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Jaime joined BGE as Director of Site Development in Frisco in 2013. He has 18 years of experience managing a variety of projects in industrial, municipal, residential, and retail/ mixed-use markets.

Jeff joined BGE in 2012, bringing more than 15 years of experience providing planning, design, project management, and construction administration services to multiple land development and municipal clients.

Established in 1975, BGE is a privately owned civil engineering and surveying firm, headquartered in Houston with office locations in Austin, Dallas, Fort Worth, Frisco, and San Antonio.

East Harris County Manufacturers Association (EHCMA) First Quarter a Success

East Harris County Manufacturers Association (EHCMA) kicked off 2016 with a jam-packed first quarter. EHCMA is working with Texas A&M to produce a video on the Coastal Spine Project to illustrate the importance of the effort to the community. The video is scheduled for release this summer.

In January, EHCMA worked with Junior Achievement on JA Inspire, to educate over 20,000 Houston-area eighth graders about the many careers available to them. Members also supported Adventures in STEM at San Jacinto College in March, an event hosted for local students interested in pursuing a career in STEM. The 3rd Annual Workforce Development Golf Tournament has been set for October 28, 2016. Mark your calendar for a round of golf to support local workforce development efforts!

Exciting City of Pasadena Project Updates

§§ Nestle Water opened their 3rd production line. §§ Crystal Geyser should be open within 6 months construction is 50% complete. §§ Fairfield Inn - Grand Opening set for April 12th. §§ Park 225 spec building with 121,896 SF will be complete in 3 weeks.

INEOS’ Stacy Putman to be recognized with Women in Manufacturing Award The Manufacturing Institute announced they will award STACY PUTMAN, of INEOS Olefins & Polymers USA, with the Women in Manufacturing STEP (Science, Technology, Engineering and Production) Ahead Award in Washington, D.C. on April 21st, 2016. The STEP Ahead Awards honor women who have demonstrated excellence and leadership in their careers and represent all levels of the manufacturing industry. Annually, 100 women are recognized for success in their company and as proven leaders in industry as well as 30 young women identified as emerging leaders for the future of the industry.

The STEP Ahead Awards are part of the larger STEP Ahead initiative, launched to promote the role of women in the manufacturing industry through recognition, research, and leadership for attracting, advancing, and retaining strong female talent.

Keith Miceli, PKF Texas, Appointed to the Houston District Export Council Keith Miceli, International Business Advisor, Pannell Kerr Forster of Texas, P.C. (PKF Texas), was recently designated by the U.S. Secretary of Commerce, Hon. Penny Pritzker, to serve a two-year term as a member of the Houston District Export Council (HDEC). HDEC members are appointed for their expertise and leadership by the Secretary of Commerce to support the U.S. Commercial Service in its export promotion activities. HDEC members export products and services around the world, travel extensively to all parts of the globe, and many have lived and worked overseas, bringing extensive knowledge of doing business beyond U.S. borders. The organization represents and serves a 33 county area in Southeast Texas surrounding Greater Houston.

Shell Deer Park awards Battleship Texas Foundation $21,000 towards first audio tour aboard Battleship TEXAS Shell Deer Park recently awarded Battleship Texas Foundation $21,000 towards the production of an audio tour in English and Spanish aboard Battleship TEXAS in La Porte, Texas. The Foundation hopes this project will increase visitors’ understanding of the ship and ultimately the quality of their experience touring the famed landmark. The audio tours will be presented in English and Spanish and in a kid-friendly format to make information easier to access for more visitors.

“After audiences gain an understanding about the ship, they will be able to appreciate its significance to U.S. history and in turn, we hope, promote local pride and community.

Without Shell’s funding, promoting strong community via this project would not be possible,” said Bruce Bramlett, Battleship Texas Foundation Executive Director.

Audio tours are expected to be available by the fall of 2016.

Battleship photo caption: Pictured from L-R (Kandace Trujillo, Overnight Education Program Skipper; Janet Noble, Shell Deer Park External Relations Manager; Bruce Bramlett, Battleship Texas Foundation Executive Director; Amanda Accardo, Shell Deer Park External Relations Advisor)

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Members

in MOTiON

Shell Deer Park Leads Annual Toy Drive for Local Charities Last December, Shell Deer Park coordinated their annual toy drive in hopes of making a child smile during the holiday season, an effort that started at the site more than 20 years ago. The 2015 annual toy drive was another success due to the participation of Shell Deer Park employees and families as well as the Deer Park Volunteer Fire Department.

Shell Deer Park’s Emergency Response team lead the effort and after weeks of collection and sorting, Shell and Deer Park Volunteer Fire Department volunteers were able to deliver two trailers of toys to the Boys and Girls Harbor, an orphanage in La Porte; Sarah’s House, a home for homeless women and children; and The Bridge over Troubled Waters in Pasadena, a home for battered women and children.

Toy Drive photo caption: Shell volunteers sort toys collected at Shell Deer Park for the 2015 annual toy drive.

The Pasadena Chamber of Commerce was recently recognized as Pasadena ISD Education Foundation’s 2015 Community Shining Star

This award was given in part for the many ways the Pasadena Chamber partners with PISD. One such partnership is an event entitled, “Rugged Race.”

Rugged Race is designed to help PISD children and their families learn how to develop a healthier lifestyle through exercise. Rugged Race is an obstacle course of fun and offers either a 1K or a 5K for avid runners or casual walkers. Proceeds from Rugged Race go towards helping to build playgrounds or walking tracks for area schools. A $29K donation was recently presented to Moore Elementary, a school without a playground.

To sponsor the upcoming race or to run, please visit www. theruggedrace.com.

16 ECONOMIC ALLIANCE | FIRST QUARTER 2016

CALENDAR of EVENTS JUNE

JULY

AUGUST

Business Growth Task Force Wednesday, June 1st 9:00am – 10:00am

Economic Alliance Office Closed Independence Holiday Monday, July 4th

Transportation Task Force Tuesday, August 2nd 3:00pm – 4:00pm

Transportation Task Force Tuesday, June 7th 3:00pm – 4:00pm

Business Growth Task Force Wednesday, July 6th 9:00am – 10:00am

Business Growth Task Force Wednesday, August 3rd 9:00am – 10:00am

Board & Membership Meeting Wednesday, June 29th 3:30pm – 5:00pm Meeting 5:00pm – 6:00pm Reception

Gulf Coast Industry Forum Committee Meeting Tuesday, July 19th 3:00pm – 4:00pm

Board & Membership Meeting Wednesday, August 10th 3:30pm – 5:00pm Meeting 5:00pm – 6:00pm Reception

Workforce Development Task Force Thursday, June 16th 3:00pm – 4:00pm

Workforce Development Task Force Thursday, July 21st 3:00pm – 4:00pm

Gulf Coast Industry Forum Committee Meeting Tuesday, June 21st 3:00pm – 4:00pm

Public Policy Task Force Tuesday, July 26th 3:00pm – 4:00pm

Gulf Coast Industry Forum Committee Meeting Tuesday, August 16th 3:00pm – 4:00pm Economic Development Task Force Wednesday, August 17th 3:00pm – 4:00pm

Economic Development Task Force Wednesday, June 22nd 3:00pm – 4:00pm Public Policy Task Force Tuesday, June 28th 3:00pm – 4:00pm

Economic Development Task Force Wednesday, July 27th 3:00pm – 4:00pm

Workforce Development Task Force Thursday, August 18th 3:00pm – 4:00pm Gulf Coast Industry Forum Wednesday, August 24th 1:00pm – 4:00 pm M.V. Sam Houston Gulf Coast Industry Forum Sponsor and Speaker Dinner Tour Wednesday, August 24th 6:00pm – 8:00pm Gulf Coast Industry Forum Thursday, August 25th 8:00am – 3:00pm Economic Alliance Office CLOSED Friday, August 26th Public Policy Task Force Tuesday, August 30th 3:00pm – 4:00pm Economic Development Task Force Wednesday, August 31st 3:00pm – 4:00pm

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Join Our Growing List of Members Our Partner Members

Our Stakeholder*, Corporate, and Proprietorship Members AB Labs Adaptive Tech Services Aggregate Technologies, Inc. Air Products Akzo Nobel Polymer Chemical LLC AL Law Group All American Screening & Medical Alpha Technical Services Amegy Bank American Acryl Andrews Myers, PC Apache Oil Company ARC Argosy Transportation Group Arkema Inc. Armand Bayou Nature Center Association of Bayport Companies AT&T August Companies Automation & Integration Specialist B.J. Superior, Inc. B2BCFO Barbara Walling Bay Area Houston Economic Partnership Bay Group Media Baytown/West Chambers Economic Development BB&T Branch Banking & Trust Company BBVA Compass Bank Beacon Federal Credit Union Belt Harris Pechacek, LLLP Bendel Tank & Heat Exchanger BGE BIC Alliance Blasingame-Whitley Attorneys at Law Brady Chapman Holland and Assoc.

Bryant Enterprises Capital Bank Capital Idea Houston Cenikor Foundation

Channel Biorefinery & Terminals, LLC Cherry Demolition Chevron Phillips Choice Energy Services Cintas CMEF Comerica Bank Community Bank of Texas Core Trucking of Texas Corporate Memory Solutions Cummings Westlake LLC D&C Inspection Services DeLane’s Ad Specialties Delsol Renewables Denbury Resources Inc. Dianal America, Inc. Dimension Energy Services, LLC Dixie Chemical East Houston Regional Medical Center Economic Incentive Services, LLC Ecosystem Renewal, LLC Energy Edge Consulting England & Company Equipment Depot Exel Logistics First Tennessee Bank Fishbone Safety Solutions Freese and Nichols Frost Bank Galveston Bay Foundation GHD Great Western Valve Greater Houston Natural Gas Vehicle Alliance Greater Houston Partnership Greens Bayou Corridor Coalition Gulf Coast Waste Disposal Authority Gulf Winds International, Inc. Gulfex, LP Gulfwest Waste Solutions

*Stakeholder members in bold.

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ECONOMIC ALLIANCE | FIRST QUARTER 2016

H+M Industrial EPC Haldor Topsoe,Inc. HDR Engineering, Inc. Hilton NASA Clear Lake Houston Gulf Coast Building & Construction Houston Marriott South Houston Pilots Association Houston Yacht Club HTS, Inc. Hunter Buildings & Manufacturing HydroChem LLC IberiaBank IBEW, Local 66 IDS Engineering Group ILA #1351 Industrial Packaging System Infinity Construction Services, LP Innovative Alternatives, Inc. iProcess Data Systems, LLC ISTC J. Simmons Group John Manlove Marketing & Communications JPMorgan Chase Bank, NA. JSC Federal Credit Union Kaneka North America LLC Kiewit Energy Group & TIC Group Kinder Morgan Knudson LP La Porte Education Foundation Les Ellard Insurance Agency, Inc. LJA Engineering Lubrizol Main Event Entertainment Meador Staffing Services Metropolitan Commercial Finance Mobil Steel International Moody National Bank Mosher Seifert & Company, CPA Munro’s National Property Holdings

Neighborhood Centers Inc. Nippon Shokubai America Industries, Inc. Nissan Chemical Houston Corp Noltex, LLC OCTG, LLP Oxyvinyls Palms Banquet & Event Center Pannell Kerr Forster of Texas, P.C. Parkway Chevrolet Pfeiffer and Son,Ltd. Phelps State Farm Insurance Pollution Systems Port Terminal Railroad Association Priority Power Management, LLC Qualified Properties, Inc. Raba Kistner Consultants Regions Bank Richard Industrial Group Richardson Stevedoring & Logistics Roberts Markel Weinberg Butler Hailey P.C. RUS Industrial San Jacinto Family YMCA San Jacinto River and Rail SETECH Shafaii Party and Reception Center Inc. Shell Federal Credit Union Sol Bobst Solvay

South Atlantic & Gulf Coast District ILA Southwest Shipyards, L.P. Springhill Suites by Marriott - Baytown Springhill Suites by Marriott - Seabrook Sprint Waste Services, L.P. Star Fleet Star of Hope STG Design Stockstill & Associates Structure Tone Southwest T & T Construction, LP Taylor Marine Construction TDS - Training & Development Systems Inc. Teadit North America Tech Trans International Terracon Consultants, Inc. Texas Industrial Medical Texas Lawn & Sprinkler Texas Molecular Limited Partnership Texas Southern University The Drake Companies The Mondello Group The Mundy Companies The Royal Group at Merrill Lynch Titan Companies Tolunay-Wong Engineers,Inc. Tower Tech Inc. TPC Group

Trustmark National Bank United Way of Greater Baytown Area & Chamber County University of Houston-Clear Lake US Telehealth VCFO Vesco Office Services Wade Carter - NAI Partners Walter P.Moore Welcome Group, LLC West Gulf Maritime Association Wilhelmsen Ships Services Winkler Public Relations Workforce Solutions XTL, Inc. Zachary Industrial, Inc.

Newsletter Sponsorship Your sponsorship will allow us to continue to broaden our reach and to maintain and improve the visual quality of the publication and written content. We have some exciting themes planned for 2016 and look forward to continuing to highlight the impressive accomplishments of our members and region.

Quarterly publication sponsors will receive: §§ A sponsor ad in the print and online versions of the publication commensurate with level of sponsorship §§ A link to the sponsor company website from the electronic version of the publication

Sponsorship Opportunities

Based on the structured space we have within our publication, there will be a limited number of sponsorships available.

Website Sponsorship The Economic Alliance is developing a brand new mobile-responsive and user-friendly website to be launched in the third quarter of this year. We are now offering quarterly Website Sponsorship opportunities to begin showing upon launch to have your company logo placed prominently in key sections of the new website. With over 50,000 page views per month on average, a Website Sponsorship is an excellent way for members to increase their brand awareness and make the most of their membership in the Economic Alliance.

Please contact our Marketing & Communications Coordinator, Marisela Contreras via email at marisela@allianceportregion.com, for sponsorship levels and benefits.

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