Huntsville/Madison County Staying on Track with Economic Development
In this Issue: page 24 Initiatives April 2009
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Thanks to Our Investors Chamber of Commerce of Huntsville/Madison County
Development Partner ($250,000+ invested annually: public sector)
Development Council
(Up to $125,000 invested annually: public sector)
Huntsville Utilities Madison County Commission Tennessee Valley Authority Huntsville Hospital City of Madison Huntsville-Madison County Airport Authority Chairman’s Council ($50,000+ invested: private sector)
Toyota Motor Manufacturing Alabama, Inc. Regions Bank President’s Circle ($25,000 - $49,999 invested annually)
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ADTRAN AT&T The Boeing Company Colonial Bank Compass Bank Crestwood Medical Center Deltacom The Huntsville Times Lockheed Martin Redstone Federal Credit Union SAIC Wachovia Bank, N.A. April 2009 Initiatives
Chamber Trustees
($10,000 - $24,999 invested annually)
Avocent Corporation Beason & Nalley, Inc. Blue Cross & Blue Shield of Alabama Booz Allen Hamilton Camber Corporation CINRAM, Inc. Cobham COLSA Corporation Continental AG Huntsville Area Association of Realtors Huntsville/Madison County Builders Association, Inc.
Progress Partners
($5,000 - $9,999 invested annually)
AEgis Technologies Analytical Services, Inc. Applied Data Trends, Inc. BAE Systems BASF Catalysts LLC CapitalSouth Bank Coldwell Banker/McLain Real Estate Colonial Properties Consolidated Construction Dynetics Enfinger Steele Development, Inc. ERC, Incorporated First Commercial Bank J. Smith Lanier & Co. Jerry Damson Honda Acura Keystone Foods Corporation Lanier Ford Shaver & Payne LG Electronics Alabama, Inc. M. B. Kahn Construction Co., Inc.
Maynard Cooper & Gale, P.C.
Progress Investors
Intergraph Corporation Intuitive Research & Technology Corporation L-3 Communications Lamar Outdoor Advertising Look Outdoor Advertising Northrop Grumman Parsons Corporation SportsMED Orthopaedic Surgery & Spine Center Taos Industries
NAI Chase Commercial Realty Navistar Diesel of Alabama The Orthopaedic Center Parker Hannifin Corporation Pratt & Whitney Rocketdyne, Inc. RBC Bank Samples Properties Sirote & Permutt, P.C. SL1-Inc SOUTHBank Stanley Associates Superior Bank The Surgery Center of Huntsville System Studies and Simulation, Inc. Teledyne Brown Engineering, Inc. Turner Universal Construction WAFF-TV Wilmer & Lee, P.A. Yellowbook Anonymous
($2,500 - $4,999 invested annually)
4SITE, Incorporated Applied Geo Technologies Averbuch Realty / Averbuch Enterprises BancorpSouth Baron Services Belzon BFA Systems Bill Penney Toyota Bradley Arant Boult Cummings Brown Precision Bryant Bank Century Automotive Chapman Sisson Architects Cintas Corporation DESE Research, Inc. DHS Systems Digital Fusion DRS Technologies Fountain Parker Harbarger & Associates Fuqua & Partners Garber Construction Co., Inc. General Dynamics Gray Research, Inc.
The Heritage Club Huntsville Tractor & Equipment, Inc. Jacobs JH Partners Architecture & Interiors Kelly Services Kratos Defense & Security Solutions, Inc. Kudzu Productions Lamb Commercial Services, Inc. North Alabama Gas District Progress Bank QinetiQ North America QTEC Qualis Corporation Radiance Technologies, Inc. SESI ServisFirst Bank Torch Technologies Weichert Realtors – The Executive Group Wesfam Restaurants, Inc. – Burger King WHNT-19 Wilson Lumber Woodland Homes of Huntsville Woody Anderson Ford
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Photo of CRP by Sellers Photography, © Chamber of Commerce of Huntsville/Madison County
initiatives
Chamber of Commerce of Huntsville/Madison County
april 2009
cover story
TRC 2009 Participants Hoping to Return to Victory Lane Page 24
features Economic Development Highlights
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including STI; Sentar; Systems, Products & Solutions; Defense Acquisition University; Southern Digital Products; New Horizons; U.S. Space & Rocket Center; Dynetics and UAHuntsville Huntsville/Madison County, Alabama is located in the middle of the southeastern United States, with more than four million people within a 100-mile radius. The Huntsville community is the economic hub of the northern Alabama/southern Tennessee region. Huntsville/Madison County’s economy is one of the strongest in the South, with low unemployment, strong job growth and income levels leading the region. Business growth and investment from U.S. and international companies have made it one of the country’s top “hot spots” for growing a business and raising a family.
Community Leads the Pack
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SBA Profile: Nesin Therapy
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City’s Bright Economy Recognized
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ManTech SRS Becomes Nexolve
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Find a Job, Fill a Job!
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NASA Spinoff Companies
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Courtesy of HudsonAlpha Institute for Biotechnology
developments HREGI Investors Chamber Board Listing Community Profile Chamber Staff Listing HREGI Testimonial: Regions Bank BRAC Update Employee of the Quarter Growing Through Networking
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editorial staff
Publisher Brian Hilson Executive Editor John Southerland
Editorial Designer Kristi Sherrard
mission The mission of the Chamber of Commerce of Huntsville/Madison County
is to prepare, develop and promote our community for economic growth.
contact Chamber of Commerce of
Huntsville/Madison County 225 Church Street Huntsville, AL 35801 256.535.2000
on the web www.HuntsvilleAlabamaUSA.com www.aSmartPlace.com
ontributing Writers Lucia Cape, Harrison Diamond, C Michael Kelley, Ken Smith, John Southerland, Brittany Taylor, Loren Traylor, and Mike Ward Photography Chamber of Commerce staff & publications (if not credited) Advertising Sales Becky Fentress The Huntsville Times Initiatives April 2009
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Chamber of Commerce
Board of Directors and Executive Committee 2009 Executive Committee
Irma Tuder, Chair, Analytical Services Don Nalley, Chair-Elect, Beason & Nalley Evans Quinlivan, Immediate Past Chair, RBC Bank Tommy Beason, Chamber Foundation Chair, retired Jan Smith, Secretary/Treasurer, System Studies and Simulation Charlie Kettle, Vice Chair - Economic Development, First Commercial Bank Linda Maynor, Vice Chair - Governmental Affairs, Maynard, Cooper & Gale Ron Poteat, Vice Chair - Investor Relations, Regions Bank Joe Alexander, Vice Chair - Workforce, Camber Corporation Beth Martin, Vice Chair - Small Business, RBC Bank Jeremiah Knight, Vice Chair - Research & Info. Services, Verizon Wireless Elizabeth Morard, Vice Chair - Image Development, Qualis Corporation Mayor Tommy Battle, Chair-Appointed, City of Huntsville Jim Bolte, Chair-Appointed, Toyota Motor Manufacturing Alabama Chairman Mike Gillespie, Chair-Appointed, Madison Co. Commission Joe Ritch, Chair-Appointed, Sirote & Permutt Brian Hilson, President/CEO, Chamber of Commerce of Huntsville/Madison Co. Elected Board
Cynthia Achorn, Analytical Services Clayton Bass, Huntsville Museum of Art Penny Billings, BancorpSouth Frank Caprio, Bradley Arant Boult Cummings Derrick Copeland, Applied Data Trends Elizabeth Dotts, Public FA Tracy Doughty, Huntsville Hospital John Eagan, Wachovia Bank Joe Fadool, Continental AG Kerry Fehrenbach, Intergraph Corporation Ron Gray, Gray Research Jeff Hamilton, The Orthopaedic Center Tom Hancock, Booz Allen Hamilton John Holly, Lockheed Martin Corporation Tharon Honeycutt, MSB Analytics Dr. Pam Hudson, Crestwood Medical Center Dr. Robert Jennings Tony Jones, The Boeing Company Frederick Lanier, J. Smith Lanier & Co. Frank Libutti, Pegasus John McMullan, Colonial Bank Dan Montgomery, Northrop Grumman Caroline Myers, Foreign Language Services Joe Newberry, Redstone Federal Credit Union Tony Palumbo, Raytheon Company Pete Schofield, SPARTA Crystal Shell, WILL Technology Todd Slyman, Village of Providence Keith Smith, SAIC Dr. O’Neal Smitherman, HudsonAlpha Institute for Biotechnology David Spillers, Huntsville Hospital Tom Stanton, ADTRAN Sandra Steele, Enfinger Steele Development Al Sullivan, ABT Dr. Dave Williams, UAHuntsville John Wilmer, Wilmer & Lee Danny Windham, Digium Dr. Ernie Wu, ERC 8
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community profile
TOP 10 EMPLOYERS
Population
Madison County
2000 Census
276,700 158,216
29,329
342,376
Current Estimate*
312,734
38,275
386,632
City of Huntsville 171,327
City of Huntsville Madison Metro Area
Redstone Arsenal* . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25,373 NASA/Marshall Space Flight Center* . . . . . . . . . . . . . . . . . . . . . . . . . 7,177 Huntsville Hospital System . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,126 The Boeing Company . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,200 Huntsville City Schools . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,000
Households & Income 147,283
CINRAM, Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,861
Avg. Household Income $69,882 $65,558 $85,820 $67,466 Per Capita Income $28,209 $28,316 $32,180 $26,874
Intergraph Corporation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,450
# of Households
121,186
*July 2008
69,229
13,875
Sources: U.S. Census Bureau (www.census.gov), 2007 American Community Survey
Sanmina-SCI . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,500 City of Huntsville . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,199 Madison County Schools . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,150 Source: Chamber of Commerce of Huntsville/Madison County
*includes onsite contractors
Aerospace & Defense Huntsville/Madison County is home to the U.S. Army Redstone Arsenal and NASA’s Marshall Space Flight Center which combine to drive a thriving aerospace and defense technology industry. More than 32,000 people work at Redstone Arsenal and NASA managing some of the country’s most important and sophisticated technology programs including missiles, aviation and space exploration.
Research & Technology
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Huntsville’s Cummings Research Park has earned a reputation as a global
For more information visit:
park in the U.S., Cummings Research Park is home to more than 285 compa-
HuntsvilleAlabamaUSA.com
nies and 25,000 people involved in technology research and development.
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leader in technology development. The second-largest science and technology
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ECONOMIC DEVELOPMENT HIGHLIGHTS CHAMBER OF COMMERCE OF HUNTSVILLE/MADISON COUNTY
STI Opens New 54,000 Square-Foot Facility STI, specializing in designing and prototyping circuit boards for both military and high technology manufacturing clients, recently celebrated the opening of its new 54,000 square-foot facility in Madison. The new facility allows the company to expand its capabilities. STI also offers expert training in circuit board assembly. More than 1,000 electronics instructors,
engineers and technicians come to the company every year from around the nation and from countries such as Hong Kong, Turkey, Brazil and China. In addition to teaching and developing technology, STI is a worldwide distributor of parts for electronics boards with clients in all 50 states and more than 45 foreign countries. “I’m thrilled with the capabilities the new facility
Employees and supporters of STI, including company president David Raby, founder Jim Raby, Madison Mayor Paul Finley and Chamber Board Chair Irma Tuder, prepare to officially opening of the company’s new 54,000 square-foot facility.
provides for STI Electronics and our customers. I’m looking forward to continuing to grow our business in Madison and around the world,” said David Raby, president of STI. Irma Tuder, Chair of the Board of Directors of the Chamber of Commerce of Huntsville/Madison County, said that companies such as STI are a major part of Madison County’s success. “This community has been the state’s leader in new and expanding jobs announced in 15 of the past 18 years thanks to innovative companies such as STI Electronics,” Tuder said. Madison Mayor Paul Finley said the opening was great news for the community. “This company and the Raby family represent exactly what is so great about our community,” Finley said. Chamber President/CEO Brian Hilson thanked the Rabys and STI for the many contributions to the community over the years, pointing out their numerous awards and their growth, but most importantly the relationships and the impact the company has made in Madison and Madison County. STI was ranked in Inc. Magazine’s Inc. 5,000 list of the fastest growing private businesses three times (two years in the top 500) and is a past winner of the Chamber of Commerce of Huntsville/Madison County’s Small Business of the Year. •
Sentar Opens CRP Facility, Expects Growth to Continue Sentar, which supplies technology solutions, software solutions and information assurance solutions for both commercial and government clients, recently cut the ribbon on its new facility in Cummings Research Park. The new facility provides more than 10,500 square feet of research and development facilities, multiple conference rooms, a state-of-the-art computer network defense lab and offices with room for expansion. Sentar currently employs 40 people and expects to add 10 more jobs by the end of the year. Sentar’s latest business venture is cyber security. Its work in this field recently helped the company win a contract from Sparta Inc. to support development of the National Cyber Range for the Defense Advanced Research Project Agency (DARPA). DARPA has been assigned to create the National Cyber Range, a test bed consisting of computers and 12
computer systems on which cyber scenarios can be evaluated to assess the security of information and automated control systems. According to Peter Kiss, the company’s founder and CEO, the contract win will have a profound impact on the company and leverage it to gain national exposure. “This allows us to participate in a high-visibility program on a national level,” Kiss said. “We’re on a great team with industry and academia, which increases our exposure in the whole cyber security world. It really is a big deal for us.” Huntsville Mayor Tommy Battle attended the ribbon cutting and complimented the company on its achievement. “When we were in New York recently [to present information to S&P and Moody’s], everyone said how great it was to hear a good story for a change. You are a part of the economic growth of this community.” •
Sentar founder and CEO Peter Kiss. The company has expanded in Cummings Research Park and recently won a contract to support development of the National Cyber Range.
Economic Development Highlights continued on page 14 April 2009 Initiatives
Chamber of Commerce of Huntsville/Madison County
Staff 2009 Brian Hilson, president & CEO John Southerland, communications director Laura Kendrick, executive assistant Kristi Sherrard, graphic designer
Economic Development Ethan Hadley, VP, economic development Steve Finnell, director, industrial development/ existing industry
Rick Davis, director, Cummings Research Park Amy Locke, industrial development/existing industry assistant
Harrison Diamond, economic development coordinator
Governmental Affairs Mike Ward, VP, governmental affairs Tina Leopold, governmental affairs assistant
Workforce Lucia Cape, VP, workforce Mark Brown, director, workforce recruitment Mitzi Floyd, workforce coordinator
Investor Relations Loren Traylor, VP, investor relations Jenni Jeffers, director, small business/membership services
Terrie Ledbetter, membership sales representative Donna McCrary, investor relations specialist Brittany Taylor, events coordinator
Research & Information Services Ken Smith, director, research & information services Hiroko Sedensky, web designer/research specialist
Judith Short, information services assistant Betty Dalton, resource desk coordinator
Finance & Administration Christy Nalley, director, finance & administration Jamie Gallien, IT manager Debbie Olivares, accounting specialist Cassie Scott, accounting specialist Joe Watson, facilities supervisor
Associated Organizations Leadership Huntsville/Madison County Small Business Development Center Alabama A&M University, UAHuntsville WBCNA (Women’s Business Center of North Alabama)
Chamber of Commerce of Huntsville/Madison County 225 Church Street, Huntsville, AL 35801 phone 256-535-2000 / fax 256-535-2015 www.HuntsvilleAlabamaUSA.com Initiatives April 2009
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ECONOMIC DEVELOPMENT HIGHLIGHTS continued from page 12
Systems, Products and Solutions Expands in Huntsville Because of the vibrant economy and its inclusive business environment, Systems, Products and Solutions (SPS) recently moved its corporate headquarters to Huntsville/Madison County and held a ribbon cutting to celebrate. SPS is a woman-owned, (8a) certified small disadvantaged business that delivers program management and logistics support to the military worldwide. In addition to its office in Huntsville, the company has a presence in Kuwait, Iraq, Qatar and Afghanistan. Don Nalley, chair-elect of the Chamber of Commerce of Huntsville/Madison County Board of Directors, worked with SPS in the past and congratulated the company on its success. “In a time of national economic downturn, SPS represents the best of what our community has to offer—superior delivery of products and support for our nation’s soldiers all over the world,” Nalley said. “We certainly appreciate that you have selected our community to expand your business and we are proud to have you here.” SPS President/CEO Nilmini Thompson has been with the company since 2005 and has been a major factor in the company’s growth. Thompson applauded the local economy and
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said she looks forward to growing the company. “Huntsville has one the most progressive economic outlooks in the Southeast region of the United States. SPS is proud to have relocated here and we look forward to a future of prosperous business growth,” Thompson said. •
Above: Huntsville City Council Member Will Culver and Huntsville Mayor Tommy Battle join SPS president/ CEO Nilmini Thompson in opening SPS’s new corporate headquarters in Cummings Research Park.
Defense Acquisition University Breaks Ground on Larger Facility The Defense Acquisition University (DAU) recently broke ground on its new facility in Huntsville. DAU trains government employees ranging from new hires to high-level project managers in acquisition, technology and logistics. The new 50,000 square-foot campus is LEED-certified and will have classrooms, breakout rooms, offices and conference rooms and represents a capital investment of $12.3 million. “This new campus will serve 350 students a day and can be expanded by as much as 25 percent. There will also be new technology for students to use such as simulators,” Jim McCullough, dean of DAU South, said. McCullough said the building would be finished by November. Garry Byrum, director of operations at DAU South, said the school currently employs 75 and plans to have 115 employees. DAU recently hired 19 employees. Mayor Tommy Battle helped break ground on the new facility and said the new campus will help in
Huntsville’s workforce development efforts. “This is going to be a great asset for Huntsville and Redstone Arsenal. This organization is going to help us fill jobs,” Battle said. •
Community leaders and supporters, including Huntsville Mayor Tommy Battle, joined DAU officials at a recent ground breaking for the new 50,000 square-foot facility.
Economic Development Highlights continued on page 16
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ECONOMIC DEVELOPMENT HIGHLIGHTS continued from page 15
Southern Digital Products Cuts Ribbon on New CRP Office Southern Digital Products recently held a ribbon cutting for the opening of its new facility in Cummings Research Park. SDPI specializes in providing high-technology media solutions to clients around the country in both the public and private sectors. Charlie Kettle, vice chair of economic development of the Chamber of Commerce of Huntsville/Madison County said, “It is very appropriate that Southern Digital has relocated into the nation’s second largest research and technology park. After all, under the leadership of Walter and Terri Bridges, SDPI has become one of the premier high-technology communications providers in the community.” In addition to the opening of the new facility, the event also marked the company’s 15th year of business as well as the owners’, Walter and Terri Bridges, 15th wedding anniversary. Terri Bridges, the company’s CEO, cited the Huntsville community’s warm attitude toward small businesses and entrepreneurs, along with the hard work and dedication
of SDPI employees, has had a great impact on her company in Huntsville. “I have never seen a community so friendly to small businesses. There can’t be another company with a better staff than the one we have,” Terri Bridges said. Walter Bridges, the company’s founder, made comments about what the company “really” does. “It’s easy to say that we build television stations from the ground up, but what we really do is problem solving,” he said. City Administrator Rex Reynolds and City Councilman Will Culver made comments on behalf of the city of Huntsville. “Thank you for all that you do for this community,” Reynolds said. He also explained that the economy might be grim, but with companies such as SDPI, “there is a light at the end of tunnel and we will continue to grow as a community.” Culver, who represents Huntsville’s fifth district, welcomed the company to his district. “People like you and your employees make the business community in this city successful and possible,” Culver said. •
Walter and Terrie Bridges at SDPI’s new building in CRP. SDPI provides media solutions in the public and private sectors.
World’s Largest Computer Training Company Comes To Huntsville
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The world’s largest independent information technology (IT) training company recently opened a new facility in Huntsville. In addition to the Huntsville facility, New Horizons Computer Learning Centers has 300 offices in 60 countries. Charlie Kettle, vice chair of economic development of the Chamber of Commerce of Huntsville/Madison County, said the Huntsville/Madison County community has a great need for trained IT workers. “Living in a high-technology community, we have a greater need for business and IT training than ever before, and today we are proud to celebrate with New Horizons and help the company grow its business,” Kettle said. Ron Nall, group vice president, flew in from Anaheim, Calif. to attend the ribbon cutting and gave some background on the company and introduced the manager of the facility, Lisa Thomason. “Local businesses will really enjoy having Lisa here at this beautiful center. This facility has the latest high-tech equipment from Dell,” Nall said. Thomason spent 25 years with Sylvan before coming to New Horizons four years ago. Thomason and her family, Pennye and Barry Elliot, purchased the New Horizons Huntsville territory this past August. The center currently employs 20 people. Thomason plans to increase her staff by the end of the year and eventually add more office space. • April 2009 Initiatives
State Announces New Workforce Development Plan for North Alabama Bradley Byrne, chancellor of the Alabama Department of Postsecondary Education and director of the state workforce council, recently announced a new initiative to help meet north Alabama’s workforce needs. The Tennessee Valley Initiative will serve a 13-county region for north Alabama workforce requirements associated with the 2005 Base Realignment and Closure (BRAC) recommendations and continued economic development growth. The regional effort includes $350,000 for workforce recruitment (both inside and outside the state) and workforce training and $500,000 for 18 career counselors/coaches to help guide high school students to the region’s high-demand careers. Byrne said that the initiative will address the 120,000 people labeled as “under-employed” in north Alabama— those who could serve in high-demand jobs but need to update their skills, become certified in a particular area or earn just an associate’s degree to qualify for new jobs. New degrees in logistics and government procurement are also needs that the initiative will help meet. Athens State University plans to have an online program established upon
approval from Alabama education officials. “This is important not just for Huntsville and Madison County, but for the entire state to make sure that the workforce is ready,” Byrne said. Dr. Humphrey Lee, president of Northwest-Shoals Community College, will be the chairman of the initiative and former state Rep. Neal Morrison, a past president of Bevill State Community College, will handle day-to-day responsibilities. Irma Tuder, chair for the Chamber of Commerce of Huntsville/Madison County, thanked Byrne for his commitment to north Alabama’s workforce needs and also stated the importance of this initiative. “As we all know, an educated and highly skilled workforce is necessary to meet our current and future economic development growth needs. This is true not only in regard to the number of new jobs the 2005 BRAC decision is bringing to Redstone Arsenal and its contracting community, but also the other diverse companies and industries that continue to look at north Alabama as the ideal location to expand into in order to thrive and prosper,” Tuder said. “It is imperative that we are
ready for this opportunity. Failure is not an option.” Other speakers at the event included Dr. David Williams, president, University of Alabama in Huntsville; Dr. Beverly Edmond, acting president, Alabama A&M University; Brian Hilson, Chamber president/CEO; and Lucia Cape, Chamber vice president for workforce. •
Bradley Byrne, chancellor of the Ala. Dept. of Postsecondary Education and director of the state workforce council reveals the Tennessee Valley Initiative.
Economic Development Highlights continued on page 18
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ECONOMIC DEVELOPMENT HIGHLIGHTS continued from page 17
U.S. Space & Rocket Center is Alabama’s Number One Tourism Attraction More than 509,000 people visited the U.S. Space & Rocket Center in Huntsville last year, ranking it number one among Alabama attractions that charge admission. The U.S. Space & Rocket Center, home of the Saturn V rocket that was named one of the “7 Wonders of America” by Good Morning America, is celebrating the “Year of Apollo” to mark the 40th anniversary of the first moon landing. •
Huntsville Named a Top-10 City for Job-Seeking Retirees Huntsville is one of the top-10 best cities for job-seeking retirees, according to U.S. News & World Report. A recently published article by U.S. News & World Report cites Huntsville’s aerospace and defense industry as well as its healthcare systems as being ideal jobs for job-seeking retirees because of their stability during rough economic times. U.S. News consulted RetirementJobs.com to determine the best cities for retirement-age job seekers. The study analyzed employment growth, the unemployment rate, housing costs, the cost of living and proximity to high-quality healthcare. Other factors included the prevalence of job opportunities in industries that tend to welcome older workers such as healthcare, higher education, government and service-industry jobs. •
Huntsville’s Green Efforts Recognized in State Report The Green Gauge 2008, a publication of Green Resource Center of Alabama, has recognized Huntsville’s green efforts. The Green Gauge report highlights some of this year’s important developments toward making Alabama a greener place to live, work and play. The report cited Huntsville being named one of “America’s 50 Greenest Cities” by Popular Science magazine in 2008. Huntsville’s ranking of 18 was the highest of any city in the South. It also put Huntsville ahead of a number of major cities including New York, Denver and St. Louis. Popular Science used data from the U.S. Census Bureau and National Geographic Society’s Green Guide to see how cities compare in terms of renewable energy, public transit, recycling and setting aside land for parks and nature preserves. Huntsville scored high for its efforts in recycling and land preservation. Huntsville also was commended on new green construction projects. One Huntsville project applauded was The NASA Child Development Center located on Redstone Arsenal. • 18
April 2009 Initiatives
Cramer, Forbes, Boeing and Job Growth in Spotlight at 2009 Annual Meeting The Chamber of Commerce of Huntsville/Madison County held its largest Annual Membership Meeting before a sold out crowd of 1,300 who heard from national economist Steve Forbes and saw the Distinguished Service Award and the Industry of the Year awards presented. Former U.S. Rep. Bud Cramer was named the Chamber’s Distinguished Service Award winner. Cramer received the honor, the Chamber’s highest individual award, for his economic development contributions and his community service in his 18 years in Congress. “Some of the companies that Congressman Bud Cramer helped recruit and support are Toyota, Boeing, Target, Verizon, Williams International, U.S. Gypsum and North American Lighting. Having worked extensively with him in traveling and marketing and meeting with and making presentations to these companies and others, I can assure you that our community has been at a tremendous advantage to have a congressman who has played an active role and taken such personal pride in his district’s economic development success. Consequently, he has brought thousands of jobs and billions of dollars in capital investment to Alabama,” said Madison County Commission
Chair Mike Gillespie, who introduced Cramer. Cramer expressed his surprise and gratitude at winning the award. “This award really and truly means a lot to me. I want to thank my family for putting up with my career over the years,” Cramer said. The Boeing Company was the recipient of the Chamber’s second Industry of the Year Award, based on the company’s
status as a leading employer and its contributions to the community. Jim Bolte, Senior Vice President of Toyota Motor Manufacturing Alabama (the first winner of the award), presented the award to Boeing’s Tony Jones. “As the largest aerospace company in the state of Alabama and one its largest employers, this company annually continued on page 26
Steve Forbes delivers the keynote address at the 73rd Annual Membership Meeting in front of an audience of 1,300. Boeing received Industry of the Year and Congressman Bud Cramer received the Distinguished Service Award, the Chamber’s highest honor.
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strength in
numbers
connects business prospects
“
Regions Bank is proud
to support HREGI and the Chamber of Commerce of Huntsville/Madison County. Despite a tough national economy, the results of the Chamber’s HREGI efforts continue to position our area for growth and prosperity during this challenging period and into the future.
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”
For a list of investors,
Ron Poteat, North Ala. Area President
see page 4 or visit:
Regions Bank
HuntsvilleAlabamaUSA.com
HREGI Investor since 2004
April 2009 Initiatives
Huntsville/Madison County Leads Pack in Announced New and Expanding Jobs
Y
ear-end 2008 results from the Alabama Development Office show growth in local manufacturing and technology industries continuing to lead the rest of the state. Expansion announcements from 38 manufacturing companies and 118 research and technology companies in Huntsville/ Madison County totaled 3,811 new jobs with $96 million in new capital investment. Evans Quinlivan, Northeast Alabama Market Executive for RBC Bank and the 2008 Chamber Chair, said the community has largely risen above the national economic downturn that has plagued many other communities. “2008 has been another great year for economic development in Huntsville and Madison County. In fact, even though our country is experiencing an economic downturn, there are very few places in the country that are doing as well as Alabama, and there is no place in Alabama that is doing as well as Huntsville/ Madison County,” Quinlivan said. “I know I am thankful to live in such a dynamic, growing community.” While national economic struggles have certainly imQuinlivan pacted the local economy over the past year, area companies continue to capitalize on the Huntsville/Madison County region’s strong and stable economic base – a primary reason the community was named by Forbes magazine as the country’s best to weather the recession. Fueled by growth on Redstone Arsenal, an established engineering base, emerging biotech research and a quality manufacturing infrastructure, local employment continues to rise as companies add new jobs.
Nearly 20,000 new industrial and technology jobs have been announced in Huntsville/ Madison County over the past four years with employment growing at a rate more than two percent a year, four times greater than the U.S. and the state of Alabama. This impressive growth and the prospects of financial stability helped prompt Standard & Poor’s to recently grant the City of Huntsville a AAA bond rating, the highest possible rating for municipalities. Of the 156 new and expanding industrial projects in 2008, 14 were new companies adding 285 jobs and $11 million in new investment. Newcomer DHS Systems of Orangeburg, N.Y. opened a new facility in SouthPoint Industrial Park to produce mobile shelters for Army operations. The company’s $5 million project will employ 150 new workers. Another new company, Tool Ventures International (TVI), hails from Grand Rapids, Mich. TVI produces tool and die equipment for the automotive industry and is adding 50 new jobs in Chase Industrial Park with $3 million of new capital investment. Other new companies in 2008 included The Aerospace Corporation, Blackhawk Management, Global Science & Technology, JANSON Communications, Key Engineering, QTEC, Rocky Research, SELEX Sensors & Airborn Systems, Theragnostix Reference Laboratories, ThyssenKrupp System Engineering and Trident Technologies. Investment and growth from new companies such as these reflect the result of increased exposure and marketing of Huntsville/Madison County to a national audience and the strong business growth opportunities that exist in the local economy. While growth from new companies mov-
ing to the area is encouraging, existing companies routinely account for the majority of expansion in the Huntsville/Madison County economy. Of the 142 existing companies announcing growth in 2008, 36 were manufacturing companies and 106 were nonmanufacturing/technology companies. Major industrial projects included Adept Technologies in Jetplex Industrial Park adding 60 new sheet metal fabrication workers and Toyota Motor Manufacturing of Alabama rounding out its automotive engine-producing workforce with the addition of 100 workers in North Huntsville Industrial Park. Chamber President/CEO Brian Hilson praised the community’s growth – but said that often it is just as important to plan on strategic, targeted growth that enables the community to thrive, especially in a time of a struggling national economy. “We’re growing according to a plan that highlights non-exportable jobs; we’re leading or performing well against our benchmark cities – including cities such as Austin, Texas and Raleigh-Durham North Carolina – as well as the nation,” Hilson said. Cummings Research Park was home to growth from a variety of research and development and technology-based companies in 2008 with 69 companies in the CRP and Thornton Research Park areas announcing plans to add nearly 2,000 jobs and $27 million in new construction. Major projects included AEgis Technologies with 115 jobs and a new $10 million 50,000 square-foot building where the company will grow its computer modeling and simulation systems continued on page 34 Initiatives April 2009
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Huntsville/Madison County Leads Pack, continued from page 33 –
2008 New & Expanding Industry: Huntsville/Madison County, Alabama COMPANY NAME
LOCATION
Adept Technologies
Jetplex Industrial Park
60
BASF Catalysts
Lowe Industrial Park
27
$23,220,000
Expanding
Brown Precision
Chase Industrial Park
20
$1,100,000
Expanding
DHS Systems
SouthPoint Industrial Park
150
$8,000,000
New
Ridgeview Industries
City of Huntsville
30
$12,000,000
Tool Ventures International
Chase Industrial Park
50
$3,042,778
Toyota Motor Manufacturing Alabama, Inc.
North Huntsville Industrial Park
100
AEgis Technologies
Cummings Research Park
115
$9,676,068
Expanding
Applied Data Trends, Inc.
Cummings Research Park
20
$6,000,000
Expanding
BFA Systems, Inc.
Cummings Research Park
75
Expanding
Camber Corporation
Cummings Research Park
90
Expanding
Davidson Technologies
Cummings Research Park
55
deciBel Research
Cummings Research Park
70
ERC, Inc.
Cummings Research Park
150
Expanding
FPMI
Lowe Industrial Park
50
Expanding
InfoPro Corporation
Cummings Research Park
62
Expanding
Intuitive Research & Technology Corporation
Cummings Research Park
61
Lockheed Martin Corporation
Cummings Research Park
100
Raytheon Company
Cummings Research Park
100
Systems, Studies & Simulation, Inc. (S3)
Cummings Research Park
53
Teledyne Brown Engineering, Inc.
SouthPoint Industrial Park
200
Torch Technologies
City of Huntsville
90
Expanding
QinetiQ North America
Cummings Research Park
55
Expanding
WILL Technology, Inc.
City of Huntsville
132 OTHER COMPANIES
TOTAL
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April 2009 Initiatives
JOBS
INVESTED
CATEGORY Expanding
Expanding New Expanding
Expanding $7,165,000
Expanding
Expanding $3,000,000
Expanding Expanding Expanding
$8,060,000
172
Expanding
Expanding
1,856
$14,830,000
3,811
$96,093,846
and deciBel Research with 70 jobs and a $7 million building to support radar and sensor technology development for the U.S. Army. Lockheed Martin also announced 100 new jobs with $3 million in new investment to support the company’s government and technology engineering development work. Other companies in the park with major expansions included Applied Data Trends, BFA Systems, Camber Corporation, Davidson Technologies, ERC, InfoPro Corporation, Intuitive Research & Technology Corporation, Raytheon, System Studies and Simulation (S3) and Qinetiq North America. Though announced in prior years, the $130 million HudsonAlpha Institute for Biotechnology officially opened its doors in Cummings Research Park and Northrop Grumman broke ground on the company’s second phase 110,000 square-foot building for its lakeside CRP campus in 2008. Rockwell Collins, Stanley Associates, Baron Services and Premier Professional Systems also opened new expanded facilities in the park. Other expansions throughout the community in 2008 included FPMI’s new Homeland Security Recruitment Center in Lowe Industrial Park, Teledyne Brown’s new nuclear energy turbine production facility in SouthPoint Industrial Park and expansions by Torch Technologies and WILL Technology. With growth from Base Realignment and Closure (BRAC) continuing to be on everyone’s mind, Lt. Gen. Obering, then head of the Missile Defense Agency (MDA), was in Huntsville in April to announce the groundbreaking of the new 840,000 square-foot, $221 million Von Braun III complex on Redstone Arsenal. The new office complex is scheduled to open in 2010 and house more than 2,200 MDA workers. Work is also underway for the 417,000 square-foot, $128 million Army Materiel Command and Security Assistance Command headquarters building to open in 2011. With BRAC moves on track as scheduled and new growth occurring in the community’s industrial and technology markets, the Huntsville/Madison County economy continues to be a bright star in the state and national economic picture. Housing, retail and financial sectors will likely continue to follow national trends, but, as stated by Bob Allsbrook, Chief Economist of Regions Financial Corporation in May 2008, “The Huntsville economy looks to be the strongest economy in the nation and is one of the country’s best positioned communities to combat the national recession.” • Ken Smith
BRAC Update The December 2008 issue of Initiatives featured a comprehensive update on the Base Realignment and Closure (BRAC) activities impacting Redstone Arsenal. As discussed then, more than 4,600 mostly civilian military jobs will relocate to Redstone by the close of fiscal year 2011. To accommodate the BRAC jobs moving onto the base, nearly 1.5 million square feet of office buildings, at a cost of approximately $419 million, are under construction on Redstone. Construction of these new facilities is on schedule to be completed in 2010 and 2011. As of the end of February 2009, approximately 1,600 of the 4,600 “BRAC jobs” were moved to Redstone. The Missile Defense Agency (MDA) will account for more than 2,200 of the 4,600 BRAC relocating jobs. Of those 2,200, more than 1,000 had been moved into temporary offices in Cummings Research Park as of the end of 2008. The remaining job moves are set to move as MDA’s new facilities are completed. The first phase of MDA’s von Braun complex III building is on schedule to be completed in mid 2010; the second phase is set to be finished in late 2010. Approximately 1,700 jobs will be transferred from Ft. Belvoir, Va., to Redstone with the relocation of the U.S. Army Materiel Command (AMC) and the U.S. Army Security Assistance Command. (USASAC). There are 200 AMC and USASAC personnel at Redstone as of the end of February and that number is expected to double by the end of 2009. Construction of the AMC building is on track; concrete pouring started the first week of March. The AMC/USASAC Building is expected to be complete by early 2011. Construction of these new facilities will dictate the rate of new jobs moving onto Redstone. While several hundred jobs will be transferred to Redstone during 2009, the bulk of the job transfers will have to wait for the new facilities to open. • Mike Ward
Initiatives April 2009
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TRC 2009 Participants Hoping to Return to Victory Lane
F
or more than 100 years, the mission of the Chamber of Commerce of Huntsville/Madison County has been to prepare, develop and promote the Huntsville/Madison County community for economic growth. Approximately 2,300 businesses and individuals in the area enjoy the benefits of membership in the Chamber and through these investments, members directly impact the expansion of the local economy. Imagine watching a NASCAR race and listening to the crowd roar as the lead car putters to a stop half a lap before the end of the race. Picture the driver being passed by another car that snatches the checkered flag at the very last second when fuel and tread matter the most. Leading a community is similar to auto racing. To succeed in both, it takes vision, planning and teamwork. This is the reason why leaders in this community have historically been poised and ready to win the race. In support of these efforts, the Huntsville Regional Economic Growth Initiative (HREGI) was developed five years ago by community and Chamber leaders to provide the framework for growth and to fuel the engine. More than 180 large and small businesses invest in this plan to keep the community moving forward on the open highway and the rough terrain. The plan includes seven well-formulated strategies: • Growth and Preservation of the Huntsville Region’s Existing Economic Base, Business Climate, and Business Culture • Recruitment of Targeted Businesses • Defense and Space Industry Growth • Workforce Development & Recruitment • Community Image Enhancement • Development of Capacity for New and Sustained Economic Growth • Accountability It is through this plan that local leaders partner to ensure that the community is operating effectively and efficiently. 24
April 2009 Initiatives
This has never been more evident than today. With several new members of the pit crew, Huntsville Mayor Tommy Battle and Madison Mayor Paul Finley, joining veterans on the team such as Madison County Commission Chair Mike Gillespie, all parties are working closely and vigorously to support business growth and promote diversification of the local economy. Simultaneously, the Chamber serves as the catalyst for economic development activities in the community. It is a single point of contact for new and existing businesses as they grow and a facilitator for workforce recruitment and development programs. The Chamber is the coordinating organization for companies interested in locating or expanding in Cummings Research Park, any of the community’s primary industrial parks or other area locations. The Chamber offers members multiple programs and initiatives dedicated to growing the Huntsville/Madison County economy. According to Chamber board chair Irma Tuder, the Chamber checks its gauges in the same way a driver does. “Some leading economic indicators that we look at include unemployment, construction activity, average salaries, employment growth and cost of living. We are constantly evaluating this data and comparing it to other communities to make sure we are still competitive and maintain our status as a smart place to live, work and play,” she said. One such evaluation led to the formation of one of the most successful Total Resource Campaign (TRC) programs in the nation. After looking at how other communities funded their programs of work, the Chamber fielded its first ever TRC campaign in 2005. From humble beginnings to its current status today, the Chamber has raised more than $4 million to put in the engine of economic growth. Used as a benchmark for cities throughout the southeast, Huntsville/Madison County business leaders continue to illustrate what can be accomplished when heart and hard work are combined.
Through the 2009 campaign “Chase for the Championship”, TRC volunteers (aka drivers) again will offer Chamber sponsorship opportunities and memberships to a wide range of small and large companies. The TRC is designed to allow companies to better align their marketing plans with the Chamber’s sponsorship opportunities for the entire year and to maximize their return on investment. The popularity of the TRC continues with unprecedented interest – even before the volunteers hit the track. Last year, volunteers were given a goal of $1.2 million – they met that and increased it by another 25 percent to more than $1.4 million. Many key sponsorship opportunities were sold out several weeks before the 2008 campaign even ended. In 2009, the Chamber will try to achieve a goal of $1.2 million by June 25. Funds raised through the campaign are combined with HREGI and membership investments to support further economic development, networking opportunities and business expansions in the Huntsville/Madison County community. “Our volunteers are incredible in the pits and on the track. They make adjustments and they understand the importance of getting out front and getting off to a great start,” said Ron Poteat, Chamber vice chair for investor relations. “Despite the challenges today, I think this group of drivers is going to be really strong this year.” Consequently, it is no accident that Forbes magazine awarded Madison County the title of “Best Place to Weather the Economic Downturn”. Likewise, it is also no shock that Huntsville was named “One of 10 Great Cities for Salary Growth” by Yahoo! Hotjobs. By leveraging team assets and by putting a well-maintained car on the road, this community starts in the pole position for every race. Volunteers, companies and participants in TRC 2009, “start your engines.” • Loren Traylor Initiatives April 2009
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E.D. HIGHLIGHTS
continued from page 19 contributes roughly $1.2 billion to the Alabama economy, through direct jobs and more than 435 Alabama suppliers and vendors,” Bolte said. “Being a great employer to its nearly 3,000 employees here is very much a part of the company’s DNA, as is being a great community partner.” “I’m new here and I have been truly impressed with the Chamber. On behalf of our employees, I would like to thank you for this honor,” Jones said. Forbes, editor in chief of Forbes magazine, was the keynote speaker at the event. His prediction for the economy’s rebound was optimistic if certain measures are taken. Forbes said that mark-to-market accounting, naked short sells, the abandonment of the uptick rule for short selling by the SEC, and the inflation of the housing market were reasons for the economic collapse. Forbes remained confident that if these issues are reversed by the new Obama administration, the economy could quickly turn around. He predicted that by spring, the economy would begin to heal. “We got in this in the short term and we can get out of this in the short term,” Forbes said. He maintained that the previous administration, the Federal Reserve and the SEC had abandoned faith in the dollar and that if the economy is to turn around, the dollar has to take top priority. “From here on, we will need to treat the dollar with respect. The dollar should be the keystone of the world,” Forbes said. Following tradition, the meeting concluded with outgoing Chamber Chair Evans Quinlivan passing the gavel to the incoming Chair, Irma Tuder. •
Dynetics Makes $4.4 Million Investment in Von Braun Center for Science Innovation Dynetics made a $4.4 million investment in the Von Braun Center for Science Innovation (VCSI), a not-for-profit research and development organization in Huntsville, to develop a small satellite in partnership with VCSI and NASA’s Marshall Space Flight Center. The new spacecraft will be called FASTSAT-HSV, short for the Fast Affordable Science and Technology Satellite – Huntsville. VCSI and MSFC have a flight opportunity agreement in place with the Department of Defense Space Test Program to develop and launch a spacecraft bus with five payloads, currently scheduled for December 2009. VCSI and MSFC also have a cooperative agreement in place that enables collaborative projects between the two organizations. In exchange for its investment, Dynetics will receive future contract rights for the production of FASTSAT-HSV from VCSI. The first flight of this standardized bus will be on a Minotaur 26
April 2009 Initiatives
~ highlights compiled by John Southerland & Harrison Diamond
IV launch vehicle from the Kodiak Launch Complex in Alaska. The FASTSAT-HSV bus is also compatible with other launch vehicles. “This investment will firmly establish Huntsville as a central contributor in the burgeoning market for small satellites, which are so vital to the future science, technology, and operational requirements of key federal organizations. This initiative is a great example of the type of leverage and growth that VCSI, NASA MSFC, and Redstone Arsenal can mean for Madison County,” said Dr. Marc Bendickson, CEO of Dynetics. •
UAHuntsville Sets Record for Research Funding Researchers at the University of Alabama in Huntsville set a record in fiscal year 2008 by winning more than $84.6 million in research contracts and grants, an increase of more than 16 percent over the previous record set in FY 2006. “These numbers show that research is what UAHuntsville is known for. This is our nationally-ranked team,” said Dr. John Christy, interim vice president for research at UAHuntsville. “It is a credit to our research faculty and staff, to the quality of the research we do at UAHuntsville and to the leadership provided by former vice president Ron Greenwood over the past ten years.” UAHuntsville researchers won more than 1,400 contracts and grants during the fiscal year in areas ranging from English as a second language to cosmology, rocket propulsion, air pollution and computer programming. UAHuntsville has more than $208 million in active research and service contracts. Many contracts and grants stretch over multiple years. Among the university’s research organizations, the largest one-year increase was registered by UAHuntsville’s Earth System Science Center, which saw awards more than double to $14.8 million between fiscal year 2007 and 2008. A large piece of that is a $3 million contract for UAHuntsville to work with Lockheed Martin to develop the Lightning Mapper satellite system. Awards to the Systems Management and Production Center, which handles most of the university’s research with the U.S. Army, increased by more than $5 million to $19.9 million, while the Rotorcraft Systems Engineering and Simulation Center recorded an increase of almost $4 million to $9.1 million in 2008. “Not only will these awards enable the university to contribute valuable research to this community, the nation and the world,” said Dr. David Williams, the university president, “but these contracts and grants will allow us to support additional graduate students while moving UAHuntsville that much closer to our goal of $100 million a year in sponsored research within five years.” • Initiatives April 2009
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Nesin Therapy Providing Hands-On Attention for 21 Years
B
ecause of their dedication to providing outstanding customer service, Nesin Therapy was chosen as the winner of the 2008 Chamber of Commerce of Huntsville/Madison County’s Small Business Award in the Personal Services category. Established in 1987 as a home-based private physical therapy practice, Nesin provides a unique one-on-one hands-on approach to physical therapy. From humble beginnings, the company has consistently grown its customer base over 21 years. Company founder, Janet Nesin, started her company as a single practitioner in 1987 because she wanted to control the quality of services provided by her company. While this was the biggest challenge in starting and growing her business, it also served as the company’s largest referral source and enabled Nesin to foster and grow a reputation for providing personalized care. Through their two-fold vision of providing and maintaining the highest standard of physical therapy treatment for their clients while at the same time ensuring a caring and stable environment for employees, Nesin Therapy Services provides out-patient services which include orthopedic conditions, sports injury rehabilitation, women’s health
28
issues and neurological rehabilitation. During the 21 years Nesin has been in business, Janet sometimes reflects on the struggles they have overcome. “At one point it got to be too much,” she said. But through it all, she said she understood that the rewards of starting her own business overshadowed the struggles which were in a large part overcome by seeing her daughters, Michelle and Janine, enter the business and become successful in their own right. Another challenge that faced Nesin’s ability to grow was the requirement of a physician referral for services by patients. Until 1998, Alabama was one of only two states in the country that had such a requirement. When this changed, Nesin Therapy was able to enter the outpatient service area, enabling their business to grow and expand exponentially. Janet said that she is most proud of having an impact on her patient’s quality of life. “This type of service made it possible for us to get the quality of therapists and employees we have now. All of our staff have a strong sense of professionalism and a next level of care attitude,” she added. There is a good mix of veterans and a continued on page 32
Nesin Therapy Services was recently named a Blue Ribbon winner by the U.S. Chamber of Commerce. This distinction makes it one of only 56 businesses in the country and the only one in Alabama. April 2009 Initiatives
E M P L O Y E E
O F
T H E
Q U A R T E R
Cassie Scott accounting specialist
T
he Chamber of Commerce of Huntsville/Madison County is responsible for preparing, developing and promoting our community for economic growth. Without a dedicated staff and an energetic and engaged membership this mission cannot be accomplished. For her efforts to actively communicate with our members and get them involved in our activities, Cassie Scott, financial assistant, was recognized by her peers as the Chamber’s Employee of the Quarter. “I love working with Cassie,” said Rosa Kilpatrick, long time chamber member and NASA employee. “She communicates clearly and professionally and helps me understand our membership account.” Kilpatrick is not alone in her assessment. Since arriving at the Chamber in October, Cassie has organized the Chamber’s billing process and streamlined communications while at the same time receiving many positive comments and responses from the members she helps. She has also supported the implementation of an online billing process which has made it easier for members to see their accounts, submit payments and print invoices.
As a former small business owner and Chamber member, Cassie understands many challenges facing many of our members and is now putting this knowledge to use by helping businesses understand our processes and their importance to our mission. “I have learned so much about my community since working at the Chamber and I understand how my job makes a difference. I had no idea how much Huntsville/Madison County had to offer until I started working here and seeing it for myself. I take great pride in my job and in helping this community,” said Scott. And Cassie’s hard work has made a tremendous impact on the Chamber and its members. “Cassie is constantly developing new ways to improve our process both internally and externally,” said Christy Nalley, the Chamber’s finance director. “Cassie has improved the customer service we provide to our members and earned the respect of both our staff and our membership.” •
Initiatives April 2009
29
Growing Through Networking The Chamber of Commerce of Huntsville/Madison County hosts numerous events each month to create networking and business growth opportunities for members, and to coordinate efforts to grow our community. Examples of recent events include:
Business After Hours February 10, sponsored by and located at Regency Retirement Village The Business After Hours Krewe networked in style at the Regency Retirement Village with more than 200 local professionals and business owners.
New Member Luncheon February 12 at the Chamber of Commerce With more than 100 new businesses represented, this New Member Luncheon was one of the largest new member luncheons in Chamber history.
Montgomery Trip 2009 March 10-11 – sponsored by Boeing To better network with state delegates and other businesses in the community, the Chamber and its members spent two days in Montgomery to lobby for increased support. Chamber members benefit from networking events, electronic and printed publications, educational programs for small business and perhaps most importantly, the knowledge that they are part of a collective effort to establish Huntsville/Madison County as a stronger, more visible community in the global competition for economic growth.
30
April 2009 Initiatives
Initiatives April 2009
31
Nesin Therapy, continued from page 28 – younger generation of therapists at Nesin, which will ensure future growth potential. With a focus on training and mentoring, their staff retention is above the industry average. “Working with my family is the best part of my job,” said Michelle. Each of the Nesin women said they are proud to get recognition of their labor of love after sacrificing and reaching a higher standard of patient care. And those sacrifices have paid off the past few years for Nesin Therapy, which was also recognized in April as one of the Best Places to Work in Huntsville/Madison County. The success of Nesin Therapy is based on hard work and doing it the old fashioned way – caring about their customers and making sure that quality overshadows quantity. The accolades continue to grow for Nesin. Recently, they were named one of the national Small Business Award Blue Ribbon winners by the U.S. Chamber of Commerce, making the Madison company one of only 56 in the nation selected, and the only one in Alabama. “We are so honored to have been named a Blue Ribbon Small Business Award Winner and grateful to our staff who is deserving of this level of recognition. Nesin is proud to have maintained our commitment to providing the highest quality of care for our patients and continuing support for the development of our employees and of our community. We are committed to the preservation of our value system as we grow toward a bright future for our company,” said Janine Nesin.
“Working with
my family is the best part of my job”
In the future, Janet hopes to formalize a mentoring program in their workplace structure and to become a resident facility. “There’s a lot of opportunity to help educate,” says Janet, who hopes to share the knowledge she has gained with others entering the field. The staff of Nesin Therapy possesses extensive credentialing including six certified Orthopedic Specialists, the highest number in the State of Alabama. Nesin Therapy Services...winners for providing orthopedic specialties with genuine concern for improvement in everyone’s lives. • Brittany Taylor & Loren Traylor 32
April 2009 Initiatives
City’s Bright Economy Recognized With Top Standard & Poor’s Rating
A
nyone looking for good financial news may have better luck finding that needle in the haystack. The stock market is crashing. The financial concerns facing the nation and businesses across the world are gloom and doom and approaching historical levels. And yet, in the midst of it all, there are glimmers of hope to rally around. There are stars in the sky whose lights may illuminate the path to economic recovery. One of those stars is Huntsville symbolized in several ways, from the recent logo change to a multi-colored Star with the words “Huntsville: The Star of Alabama” to the city recently receiving the top AAA rating by Standard & Poor’s – the first city in Alabama to ever receive such a lofty rating. In case people wonder why Madison County was named by Forbes as “The Best Place to Weather the Downturn” – the continued economic growth in the Huntsville/ Madison County community in the midst of this global economic slide is a great reason. To gain a proper perspective of this, Huntsville Mayor Tommy Battle, whose team traveled to New York to meet with the investment services, called the rating “historic.” “This is a truly historic event,” he said. “Not just for Huntsville, but in all of Alabama’s history.” Battle went on to say that the economic recession would likely result in more rating downgrades for local Battle governments, noting that fact made Huntsville’s upgrade even more impressive. “This is confirmation by a na-
tionally recognized third party that our plan is strong, and even in difficult times, that our future remains bright,” added Battle. Brian Hilson, president and CEO of the Chamber of Commerce of Huntsville/Madison County, said receiving such a ranking is not only a great achievement, but to do so in the nation’s current financial environment makes it even more special. “This is a tremendous achievement for the city,” Hilson said. “To get this rating when many other communities across the nation are struggling and in some cases even on the brink of bankruptcy is just a wonderful testament to community leaders past and present as well as to the businesses that continue to move here or expand here.” Chamber Chair Irma Tuder agreed, stating that the rating is vital for the community to Tuder capitalize on to continue its strong economic growth. “This is such a great ranking – it really puts our community on a higher level and it is great to have this kind of validation for what we say about our community being a smart place to live, work and play,” Tuder said. “This rating is really good for our entire state – it shows everyone that Alabama is on the move and that good things are happening here.” Battle gave much of the credit to his staff and thanked all of those who played a vital role in the ranking, including Huntsville Finance Director Randy Taylor, “Randy really made this whole thing happen” Battle said. He also recognized Phil Dotts of Public FA, Inc., Councilmen Bill Kling and Will Culver, the Chamber
and, of course, Redstone Arsenal and the businesses that are making it all happen. “We basically gave a presentation on Huntsville. The first thing we talked about was the management of the city,” Battle said. “We then talked about the economic engine of Huntsville such as the different industries here. The last thing we talked about was the future of Huntsville. That future includes BRAC. We are seeing the regional retail coming back into vogue as well.” Battle said Taylor deserves much of the credit for ensuring that the city follows sound financial practices. “The single most important quality is the economic soundness of a community – and that relates directly to economic development,” Taylor said. “This rating confirms that Huntsville has a sound economy.” In addition to the growth from the 2005 BRAC that will bring thousands of jobs to the community, and the continued growth from the 1995 BRAC, which has already brought thousands of jobs to the community, other federal agencies located at Redstone Arsenal continue to grow as well. The Department of Justice’s Bureau of Alcohol, Tobacco and Firearms and Explosives is building a new explosives training and research center that will include explosive ranges, a lab, classrooms, conference facilities and office space. This center, Battle said, will allow the agency to “bring in 20,000 students a year for training. Those people are going to be staying in our hotels and eating in our restaurants. What we are seeing is the return to regional retail. People will be doing their continued on page 22 Initiatives April 2009
33
City’s Bright Economy Recognized, continued from page 33 – Saturday shopping in Huntsville in the next few years. Retail means sales tax and that represents about 53 percent of our money.” So now, Taylor said, the challenge is for the city to keep the AAA rating – which means the city will need to continue its prudent fiscal policies and capitalize on economic development opportunities. “We need a strong economy. Government needs to produce sound fiscal policy. And to keep this rating we have got to maintain a strong economy and maintain strong financial policies,” Taylor said. “There has to be discipline in how we manage our financial obligations and plan our budget. Putting money aside and not spending it is something that is difficult to do even when you don’t need it, but this year it has been even harder to do.” The good news is that the top financial rating may help create a positive cycle that maintains itself. For one, Taylor pointed out, “the bond rating means we have more money available for economic development and projects. This is a crazy time for money borrowing, but we are able to do that and lower our debt because of the AAA bond rating.” Likewise, the Mayor pointed out, “We saved money because of the bond rating. We save money when we get debt off the books and doing that has saved the City a couple of million dollars.” So how important is the rating? Taylor said its importance is hard to measure. “A lot of people give Huntsville high rankings. This is by far the most comprehensive scale and the most scrutinized process. The economy must be strong, the community must be well managed with good policy and it needs to be a place where people want to live,” Taylor said. And at a time when so many communities are struggling at record levels, even the financial analysts with their scrutinizing ways yearn for positive news. “There was an analyst in New York who mentioned to me how nice it was to finally hear a good story for a change,” Battle said. “It is interesting to hear that about your community. And this ranking truly shows a team effort from so many. I always say thank God I live in Huntsville. I don’t know of any city that can match us and compare with what we have.” • John Southerland 34
April 2009 Initiatives
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www.huntsvillealabamausa.com/workforce/calendar.html Initiatives April 2009
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ManTech SRS becomes Nexolve Commitment to Innovation Stays the Same
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any people may have heard that old adage, “If you don’t want something read, don’t write it.” A better rule for today might be, “If you don’t want something read, don’t reuse a document as a template.” Most people are unaware that content is still there even when it is deleted. One Huntsville company has found a solution to preventing embarrassing and potentially
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compromising slip-ups for Microsoft documents and PDFs through its technology and software product, the Document Detective®. Nexolve, formerly ManTech SRS, is an aerospace and defense company, and then some. “What makes us so unique in this community is that not only are we doing research, but we are actually building many of the things that we are studying,” Joe Ber-
gantz, president/general manager of Nexolve, said. That business strategy has led to many of the company’s developments including Document Detective®, the sunshield for the James Webb Telescope (the successor of Hubble) and several patents for new aerospace materials and processes. The Document Detective®, like many other of Huntsville’s innovations, got its start
with a solution to a military/government problem. “Ron Hackett was employed by the Missile and Space Intelligence Center at Redstone before coming here. He knew that there needed to be a way to take classified briefings and clean them up for public use,” Bergantz said. That idea led to the creation of Document Detective®. To understand how the software works, it helps to think of a document as having multiple layers. The more times a document is used as a template, the more information is kept on the document. Even when content is deleted, it is still imbedded on the document and can be found easily. The software Nexolve has developed finds all the previous data and can delete it with a single click. Bergantz stands behind the software, even using it on the company’s own documents. “Any briefing we send out, we scan through this software,” Bergantz said. Jim Moore, vice president/director of the aerospace technologies directorate, added, “You can find so many things you don’t want known in a briefing.” Bergantz said that the software is used mostly in government, but there is burgeoning use in such fields as healthcare, banking and law. He remains confident that with cyber security becoming a more widespread concern, the software will take off. The company is known best for its work in aerospace. Nexolve is currently a subcontractor for Northrop Grumman on the James Webb Telescope, the telescope that will follow Hubble in 2013. James Webb, unlike its predecessor, will be an infrared telescope with a mirror six times larger than the Hubble mirror. Nexolve is developing the sunshields that will keep the telescope cool in order to work properly. These sunshields are the largest component of the telescope, roughly the size of a tennis court. Moore said the shields will keep the satellite cooled to nearly absolute zero (459 F below zero). Company executives say that the satellite must work perfectly because Webb will be launched past the moon and will be too far away to be serviced. To seam together the sunshields, the company had to develop an innovative welding procedure for continued on page 41
Janet Hobbs manufactures a multi-layer insulation blanket used for thermal control on a commercial satellite. The company has about 115 local employees, up from 82 four years ago.
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Find a Job, Fill a Job! Portal Helps Employers, Job Seekers in Workforce Race
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espite unemployment woes being felt across much of the country, employers in Huntsville/Madison County are still hiring. There are currently 9,755 jobs open in the community, ranging from sales to software development, and the key to filling these jobs with qualified workers is matching job seekers with job postings. The Chamber of Commerce of Huntsville/Madison County’s recruitment website, ASmartPlace.com, has featured a job board for its members for more than a year, but the portal has never showed more than 600 jobs per month. One challenge has been that companies who wished to participate were forced to post their jobs directly on ASmartPlace. com, even if their jobs were posted elsewhere. But now, the site will benefit from new technology that will allow job seekers to search all jobs posted on any company, government or education site in the Tennessee Valley region.
to attract job seekers to the site, we have to show more than a few hundred openings.” ASmartPlace.com is the cornerstone of the Chamber’s recruitment campaign and is the focal point of all advertising and communication with job seekers across the country. The new job search technology, known as a “job spider,” is one of several new features on the job portal of ASmartPlace.com. Others include a resume bank that is searchable for registered employers and a job search library to help guide job seekers into the most plentiful openings. Job seekers can also save searches and sign up for email alerts when new jobs are found that match their criteria. “We made it as easy as possible for companies to post jobs on our site, but it still required duplicate work on their part,” said Jim Bolte, senior vice president for Toyota Motor Manufacturing and former Chamber vice chair for workforce. “This eliminates that duplication and enables us to exceed our goal while providing additional value.”
“This will help us reach our goal of 1,000 plus jobs on the site,” said Joe Alexander, president of Camber Corporation and the Chamber’s vice chair for workforce. “To have a credible recruitment campaign and
In the past, job seekers have been able to send a resume to the Chamber for distribution to a list of employers. Now job seekers will be able to upload or create up to five different resumes online to use when applying for
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jobs. Employers will also be able to search through the resume bank to find qualified applicants for their open positions. The upgrades to the job portal include links to career resources such as guidance on finding a job, developing a resume, interviewing, and education and training. There is also a link to salary information from Salary.com. Under the advanced search option there is a feature called “Job Description Lookup” that helps job seekers tailor their searches with common descriptions and keywords to yield the best results. “We know there are people in our community in transition right now,” said Mark Brown, director for workforce recruitment at the Chamber, “and we believe this enhanced job portal will help them find open jobs in their field or guide them to education and training in emerging high-demand fields.” The job search returns up to 200 jobs per search sorted by relevance, and the default is set for 30 days to ensure that search results are up to date. For employers, the new site still allows direct posting of jobs, but for companies with their own job boards, registration with ASmartPlace.com ensures that their companies’ postings will also be included on the site. All employers must re-register through the site, even if they were previously registered through ASmartPlace.com. The new site also allows registered employers to search through the resumes that are posted by job seekers. To register as a job seeker or an employer, visit the Work section at ASmartPlace.com. • Lucia Cape
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Nexolve, continued from page 37 – polyimide materials which led to a patent the company now holds. The sunshields came out of Nexolve’s work with solar sails and reflectors. “The genesis for the technology was an Army Small Business Innovation Research project to launch a deployable satellite,” said Moore. The technology has made Nexolve a world leader in the production of thin-film polymers and deployable thin-film structures. According to Moore, the polymers are as thin or thinner than a human hair and extremely durable. The company has supported Boeing satellites as well as satellites for Direct TV and Sirius Satellite Radio.
“I have
never seen a community grow like this...”
Another application for the thin-film polymers could be instrumental in colonizing the moon. According to Bergantz, with NASA’s new rocket program, colonizing the moon is a likely objective, but because the moon does not have an atmosphere, there are several challenges ahead that Nexolve products could solve. “We can take our technology and capture the sun’s energy and then focus it on lunar material (like a magnifying glass) and create hydrogen and oxygen from the moon’s surface,” Bergantz said. “This would provide colonists air to breath and water to drink.” To realize these new and expanding products, the company recently moved into a larger facility in Cummings Research Park where Nexolve already had access to high bay space. The company has also doubled its lab space. Nexolve celebrated the move with a ribbon cutting. ManTech International CEO George Pedersen flew in from corporate headquarters to attend the event. Pedersen said how amazed he was with Huntsville’s growth. “What I observed here in Huntsville is just incredible. I have never seen a community grow like this,” Pedersen said. “I live in northern Virginia, and I wish they had the foresight you have had to grow. You have to be proud of what you have.” • Harrison Diamond
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NASA Spinoff Companies Continue to Help Drive Local Economy
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o describe Huntsville as an entrepreneurial town is like saying Chicago has skyscrapers. The heady mix of research and development that helped put a man on the moon and the U.S. ahead in the weapons race just seems to spawn one new idea after another. Innovation feeds on innovation, and those with the vision to see the possibilities make money and create jobs, like many employers in the Huntsville/Madison County community.
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One of these companies, AZ Technology, found their niche by providing coatings and adhesives that can withstand the rigors of spaceflight. In 1990 Don Wilks, then a longtime NASA Marshall Space Flight Center employee, decided to go on his own to continue research NASA had been conducting since the early Saturn days on coatings. He developed AZ-93, a “space stable� coating that does not deteriorate in the vacuum conditions of space.
Now, 18 years and some 20 Small Business Innovative Research (SBIR) grants later, AZ Technology has branched into the development and marketing of sophisticated test and measuring instruments. For example, the company developed and sells a line of devices for testing optical and thermal properties of coatings and materials for commercial and government clients. continued on page 44
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NASA Spinoff, continued from page 42 – But the basic business is still coatings and paints for space. “We’re proud of the fact that every logo painted on a U.S. spacecraft uses one or more of our coatings,” Daniel Adamek said. For years, AZ Technology has been the only company that provides the paint for NASA’s logo on the International Space Station. Recently the firm has been developing a new polymer resin adhesive that Adamek says has both spaceflight and earthbound applications. The new product, yet unnamed, will have
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adhesive properties comparable to that of any polymer resin on the market, while having the advantage of being environmentally friendly. A more recent addition to the Huntsville business community is Orion Propulsion. Founder Tim Pickens started his firm in 2004 to design, test, and manufacture small rocket engines, test stands, igniters, gas generators, and other components for space industry. Pickens, who worked with SpaceShipOne developer Burt Rutan before starting his own firm, figured there is a place for a small firm that can provide “affordable solutions” in the area of propulsion.
“We’re not trying to design new launch systems,” says Pickens, “just do the basics. It’s like we’re selling shovels to miners.” Pickens emphasizes that his company is focused on production, not research just for the sake of research. Using small scale booster technology developed under a NASA SBIR grant, Orion Propulsion has developed low cost, small scale thrusters that produce as little as one-pound of thrust up to 100 pounds. The firm is currently under contract with Bigelow Aerospace, a private aerospace firm, to produce the forward altitude control system for its Sundancer project, slated to be the first commercially-financed human habitation module to be placed in low Earth orbit. To date, Orion has conducted tests on the system to replicate conditions in orbit. However, Orion’s small-scale rocket engines have found a large-scale application as the smallest member of Boeing’s Ares I Upper Stage production team, producing the reaction and roll control systems that will control pitch and yaw for the new generation rocket. Opportunity was what Tim McKechnie saw in 1993 when he and two partners started Plasma Processes. He came to Huntsville in 1985 to work for Rocketdyne on Space Shuttle Main Engine flight and test hardware, becoming an expert in vacuum plasma spraying, a sophisticated method of applying coatings to surfaces using superhot ionized plasma. Seeing how the plasma gun process could be improved, he got a NASA SBIR contract to further his ideas. His fledgling company was off and running. Leasing a corner of a warehouse in Chase Industrial Park, McKechnie started off applying plasma coatings to similar rocket components he had worked on previously. Orders from NASA grew, and a sales effort began that netted the company a few commercial customers. Plasma Processes is now a leader in applying metal, ceramic, polymer and carbide coatings using a vacuum plasma process. Objects to be coated make numerous passes through a superheated plasma spray, each time receiving another layer of coating. “What we are doing here,” McKechnie explained, “is using the same technology we developed to apply protective coatings to turbine blades and combustion chambers for NASA, and applying that same technology to coat many other things.” Plasma coating has hundreds of applications, and over the past 15 years, Plasma
Processes has serviced an amazing variety of customers. Today, the firm counts among its customer base NASA, DoD, DOE, the power generation industry, the oil industry, the medical field, even sporting goods. A major order for 2006 was the plasma application of a thick metallic coating on 40,000 baseball bats for Rawlings, the sporting goods maker. McKechnie is testing the feasibility of applying ceramic coatings to artificial knee, hip and other joint replacements. He also sees possibilities in using plasma coating to increase the power and sensitivity of medical X-ray machines. Private sector work has grown, and McKechnie says NASA work now accounts for only 10 to 15 percent of the firm’s sales volume. Throughout its history, NASA has supported research into improved communications technologies because NASA must maintain contact with probes flying sometimes millions of miles into space. But a spaceflight-inspired technology with down-to-earth applications helped inspire Paul Gierow to found GATR Technologies several years ago. GATR, for Ground Antenna Transmit and Receive, has developed an unusual inflatable antenna that can be packed in a suitcase. It allows satellite transmission of voice and images in places, such as remote jungles, where traditional satellite transmission is not possible. The device looks like a giant beach ball, but the design has a purpose: it can withstand high winds and other conditions that wreak havoc with regular parabolic antennas. When paired with the proper communications equipment, the GATR antenna can permit satellite communications to virtually any place on earth. In addition to its obvious military uses, the technology has seen humanitarian use as well. When Hurricane Katrina struck in August 2005, rescue workers coordinated efforts, and residents whose normal communications systems were destroyed were able to use email and Internet based phone services to contact family and friends. With an entrepreneurial reputation that continues to grow, Huntsville has achieved the creative critical mass to continue to spawn new ideas and new applications, and the companies above are just a small example of the innovation that the community enjoys. One can only wonder when the next big idea will turn up. There is no doubt, however, that it will. • Mike Kelley Initiatives April 2009
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