southwestindiana.org
SOUTHWEST INDIANA
ANNUAL REPORT 2014
One Region - One Voice
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TABLE of contents
03
Message from the CEO
04
About the Coalition
06
Marketing
08
A Case Study
10
Project Activity
12
Community Development
14
Operations
“Southwest Indiana is focused on attracting those businesses to the region that will produce transformational assets .”
STATEMENT from the president The momentum that has been generated over the past few years in Southwest Indiana must continue to pursue sustainable and responsible economic development projects that will strengthen the region and the State of Indiana. The region has been blessed with several transformational projects in the last 12-18 months that will change the landscape of our lives here in Southwest Indiana. From the new Indiana University School of Medicine, Midwest Fertilizer, the Warrick Wellness Trail to Toyota’s continued investment, Southwest Indiana is no longer a second thought. We are a region on the move to more progressive
changes and with your help as partners and stakeholders, the opportunities keep getting better. Our future generations will be glad that we were diligent to create such a special place. Your investment in the Coalition is a commitment to the region. New investment, jobs and the grant funding assist our communities and residents to create a higher quality of place so that a high quality of life might be attained. Thank you for your commitment and your valuable input as we forge ahead into 2015 with One Region and One Voice.
Greg Wathen, APR President & CEO
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ABOUT THE COALITION Who we are The Economic Development Coalition of Southwest Indiana acts as the marketing arm as well as the regional economic development and community development organization for Gibson, Posey, Vanderburgh, and Warrick Counties in Southwest Indiana. The Coalition works with its local county economic development organization partners to facilitate attraction and business retention activities
along with supporting efforts to enhance the business climate through regional capacity building. Since its formation in late 2006, the Coalition has helped to secure over nearly $3 billion in new investment and 3,568 new jobs from existing and new companies such as Haier America, Berry Plastics, Mead Johnson, Toyota Boshoku, Midwest Fertilizer Corporation and AT&T. Another important aspect of the Coalition’s multi-faceted job de-
What we envison In 2011, the Coalition embarked on a regional plan that would be the impetus for transformational sustainable redevelopment for the Southwest Indiana region. Garner Economics with Newmark Grubb Knight Frank were retained through funding from a grant by the Economic Development Administration (EDA). The plan known as the Blueprint for Success: A Master Plan for Economic Redevelopment or The Garner
scription is helping the communities it serves build new capacity for future development in its role as a regional planning organization. The Coalition has helped secure more than $73 million in grants for key quality of place infrastructure such as expansion of water and sewer systems; building new community centers; and, making improvements to the region’s levee system, which protects thousands of acres along America’s inland waterways.
Report has helped focus the Coalition to major initiatives along with providing a road map for other organizations to unite in helping the region to move forward. Over 30 initiatives were documented in the report that would propel the region forward to compete a thriving region attracting business and talent.
Visit our website southwestindiana.org
Implementation of these initiatives is a long and costly process, but as each becomes reality, i.e. airport jetways, community pride, internet access or growing talent, the Coaltion and our partners are planting a rich future for the next generation.
Southwest Indiana needs to focus on several fundamental issues...before it can realize its fullest potential as a dynamic, regional economic center.
“Progress is impossible without change, and those who cannot change their minds cannot change anything.� --George Bernard Shaw
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BRANDING regional recognition
Promoting the brand of Southwest Indiana globally is the number one priority of Coalition work. Through multiple marketing efforts, we’ve seen a consistent rise in direct inquires for regional information from companies.
15K Website visitors in 2014 with a new site launch in December 2014.
Media outlets that picked up SW Indiana releases.
2,714
28% Increase in social media outlets including Twitter, LinkedIN and Google+.
NEW IDEAS Being open to innovation and new technologies is essential in attracting technical talent and entrepreneurs.
MARKETING
THE WORK
All marketing efforts focus on the promotion of local companies, regional assets and talent.
Quick and confidential reports for companies looking to relocate.
PARTNERS LEDO, Chamber and CVB partners keep Southwest Indiana moving forward.
Careful attention is paid to the ways and methods the Coalition markets the region. Economic development is a relationship business and a delicate balance must be
achieved in providing timely and relevant information. As time and budget allow, we purpose to strike a clever balance. From award winning ads, postcards and broadcast-
quality commercials, Southwest Indiana is beginning to make a name for itself through the connections we make and the companies that make us vibrant and successful.
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“Progress lies not in enhancing what is, but in advancing toward what will be.� Khalil Gibran
Haier employs more than 70,000 people around the world and distributes products in more than 100 countries and regions with global revenues reaching $29.5 billion in 2013.
Haier America rendering of future Evansville site.
HAIER AMERICA a case study The world’s number one appliance manufacturer chooses Southwest Indiana based on quality of technical talent Haier America announced in September of 2014 that it would open its first North American Research & Development facility to enter into the U.S. market. The landing of the world’s largest manufacturer of appliances was not a simple decision of business costs, adequate workforce and governmental incentives, but a culmination of best laid plans years prior. With Whirlpool’s exit from the market, a pool of about 300 people who worked in the product design center would be phased out in the
two years that followed. Upon the completion of the phase out knowing the talent pool that would be left behind, several former employees were encouraged by the Coalition to form a small company that would be able to fill a need in the marketplace. Envolve Engineering garnered 10 of the best and brightand hung opened for business in a matter of weeks. “Our Design Engineering Company became a reality with the help of Evansville’s various business support groups,” stated Pat Boarman, Envolve’s Technical Leader.
Talent is the key driver of today’s economy; though we always recognized our region’s level of skill, having the world’s largest appliance manufacturer validate it confirms our belief.
Haier later became a client of Envolve and through the mutual relationships a new $5M investment was made into the region, along with 50 high-tech jobs as well as a most advantageous connection. Initially, the Tech Center will focus on commercialization of Haier products for the U.S. Market, followed by new product development. Success of the new Tech Center and the company’s U.S. strategy would set the stage for additional growth, as Haier could add more jobs based on an annual increase in sales.
50 Jobs Haier will create 50 positions for individuals with skills in science, technology, engineering and math (STEM ).
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45
Inquiries about Southwest Indiana come in many forms: from web site inquiries, phone calls to formal RFI’s from the Indiana Economic Development Corporation.
25%
The Coalition has seen a 25% increase in direct inquiries from site selectors and/or companies.
projects were worked on for 2014, similar to 2013.
increase in direct inquiries.
PROJECTS The Coalition is a trusted regional partner delivering professional, confidential information for those start-up projects or companies looking to relocate or expand. Build a building or buy an existing one?
57%
Projects in 2014 requested an existing building. Stock is sometimes not readily available.
27%
Projects in 2014 requested a site only.
16%
Projects in 2014 were flexible in requesting a site and/or an existing building.
Advanced Manufacturing Projects by Industry *
Jeff Jobe, Mead Johnson V.P. announcing a $35 million expanision in Oct. 2014.
31%
29%
14%
Automotive
Food Processing
Metals
Advanced Manufacturing’s Comeback Now more than ever, Southwest Indiana’s long track record of being a manufacturing giant keeps it a strong contender for advanced manufacturing projects. The location, efficient modes of transportation and the region’s reliable and technical workforce have attracted and won global projects such as Haier America and Midwest Fertilizer. Technical innovation through our collaborative approaches with business and local colleges and universities have helped advance the skills of future STEM workers. *All projects do not provide industry or sector information in RFI process.
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Oakland City Old New Lake Dam received a $1.85 million CDBG grant.
COMMUNITY development The Coalition’s community development division works daily with communities and elected officials on projects that will add value to Southwest Indiana.
$7.6M
87.5%
+$73M
2014 Grant funding awarded in 2014.
Average percentage of project costs paid by grant funding.
Amount of grant funding awarded to date.
The Blight Elimination Program is currently helping Southwest Indiana communities remarket over 275 properties.
We know our stuff. Lead by Debbie Bennett-Stearsman, the community development staff is well versed in continuing education. Each person on our community development team is a certified grant manager with Bennett-Stearsman holding the designation of Master Certified Grant Administrator, only six in the state of Indiana. Recertification classes are held every year; and, grant workshops are held on every new state and federal grant program that must be attended.
We tackle the hard projects. The Coalition is currently participating in the newly funded Blight Elimination Program from the State of Indiana. To date over $5.8 million has been awarded to Southwest Indiana communities by the Indiana Housing and Community Development Authority (IHCDA) for the demolition of over 200 homes that have fallen to ill-repair. After demolition the properties can be redeveloped and put back on the tax rolls for the communities. More funding is expected in 2015 as additional rounds have been announced.
EPA Regional Brownfields Assessment Grant With the help of the EPA, some forgotten properties in Southwest Indiana are receiving a second chance of becoming beautiful and prosperous again.
Impeccable Reputation
The Coalition has always provided the best level of service to our county through its Community Development
The United States Environmental Protection Agency (EPA) awarded the Economic Development Coalition of Southwest Indiana a $580,000 Brownfields Assessment Grant. The funds will provide help communities to assess contamination areas in designated brownfields for future clean up and revitalization. The grant will create an inventory of Brownfield sites in the region, assess a portion of the sites and will provide funds for mitigation and remediation of selected sites. The program will help communities revitalize properties for the purposes of creating a better environment and improve the local economy by placing properties back on the tax rolls. Funds from the Brownfields Assessment Grant are divided into two program categories: $400,000 for hazardous substance and $180,000 for petroleum clean up.
Division. The return on the investment is always outstanding. - Stephen Bottoms/Gibson County Commissioners
With the help we received from the Coalition getting grant funding, an ugly abandoned silo was torn down and birthed a vision for our now beautiful riverfront. - Mayor John Tucker City of Mount Vernon
+90% Majority of the 2014 projects were funded 90% or better by grant awards.
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DETAILED RESULTS of operation The Coalition has a reputation of excellence with site location consultants and the relationships that have been forged are proof.
A major part of the Coalition’s budget is for establishing and cultivating relationships that might be advantageious for Southwest Indiana. For the past three years, the Coalition has been a major sponsor of the United Leasing Championship web.com tour which is part of the PGA Tour. The tournament features up and coming talent and even has hosted greats such as John Daly. Many of our guests have also been excited to play the course at Victoria National Golf Course, rated one of the top US courses. During the tournment, the Coalition hosts a team of site selectors (from different companies) to the region as its guests to play golf and let them get to know Southwest 2014 Site Selectors dinner following Pro-Am Fam tour during the United Indiana. Not all are acquainted with Southwest Indiana Leasing Championship web.com tour. PHOTO: Chris Berniking Photogbefore they arrive, but through meeting our economic raphy. development professionals, business leaders, academia and elected officials, they leave well informed and with the collaboration between product design, engineering and a great picture of the bright future of the region. production. A client can have a a mock up of its design within 48 hours with Berry Plastics. Along with the rock star treatment from The Tropicana Pro-Am, the Coalition also has the opportunity to showA tour of University of Southern Indiana’s (USI) Applied case assets that make Southwest Indiana unique. Engineering Center is next on the list with the $3.3 million facility and equally impressive manufacturing equipment Berry Plastics, a global leader in the plastics industry where students and area businesses alike can refine proplayed host for a company tour showcasing its worldcesses for product manufacturing while training tomorrow’s class product design center, Blue Clover Studios. The workforce for the high-tech skills they will need to be job team was impressed with the design studio as well as ready.
Utilization of Sales Budget $28
$7
$31
Coalition sponsored events
$32
• Site Selectors Guild, Denver, CO • IEDA Site Selection Event
$250K
$80
$68
• Economic Development Leadership Conference • United Leasing Championship web.com tour • EVV to CLT trip to Charlotte, NC celebrating new
Conferences & Seminars Special Events Web site Advertising Travel Marketing
USAir service. • Consultant Connect Site Selection Conferences • Dallas, TX Site Selection Mission
“
I had an incredible experience in Southwest Indiana while attending the Tropicana Evansville Pro-Am. I was very impressed with the collaboration and leadership exhibited in the community. I look forward to working with Southwest Indiana and the Coalition in the future. Thank you for such a memorable experience.
”
-Will Cowsert, Consulting Analyst
Cushman and Wakefield
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SOUTHWEST INDIANA 318 Main Street, Ste 400 Evansville, IN 47708
Phone: (812) 423-2020 Fax: (812) 423-2080
Email: gwathen@southwestindiana.org Web: southwestindiana.org