Inside Tucson Business 02/10/12

Page 1

AMAZING NATIVE AMERICAN CRAFTS Tribal nations shine in gem show expo PAGE 4

Your Weekly Business Journal for the Tucson Metro Area WWW.INSIDETUCSONBUSINESS.COM FEBRUARY 10, 2012 • VOL. 21, NO. 37 • $1

SPECIAL REPORT Tax liens auction Over $35 million going up for bid Page 6

Very sobering economic talk

Arizona expects to join $25B foreclosure deal

A DETAILED LOOK INSIDE

By Dustin Volz Cronkite News Service

TUCSON’S COMMERCIAL REAL ESTATE MARKET

Otis Blank photo

National economist outlines unsettling financial scenarios Page 19

WASHINGTON — Arizona is one of a handful of states that have not yet agreed to a potential $25 billion mortgage settlement for suffering homeowners, but state officials say they hope to join soon. State Attorney General Tom Horne was still weighing the terms of the settlement reached Tuesday but was leaning toward joining more than 40 states that had signed on to the deal. The settlement, between state attorneys general and the nation’s five largest mortgage lenders, could be worth as much as $25 billion from the banks if all 50 states sign on. Aimed at addressing abusive foreclosure practices, the settlement would reduce loans for homeowners who are “underwater” — or owe more than their home is worth. Some advocates have said they expect an average payment of about $20,000 per homeowner, but others say it is too early to predict an amount. Lenders also would send checks of about $2,000 under the deal to hundreds of thousands who lost homes to foreclosure. Arizona needed to resolve a separate lawsuit against Bank of America before it could formally join the settlement, said Horne spokeswoman Amy Rezzonico, who said that resolution could happen before the end of this week. Consumer advocates expressed mixed feelings about the settlement, saying it’s good to have something but questioned whether it does enough to address widespread foreclosure abuses. About 11 million homes nationwide are underwater, for a total of $758 billion, Goehl said. He called the settlement “a small drop in a very large bucket,” and said it will only help homeowners who are underwater by a certain amount – not those who are drowning. The deal with Bank of America, JPMorgan Chase, Wells Fargo, Citigroup and Ally Financial comes almost 16 months after states began investigating suspect foreclosure practices. It specifically addresses a practice called “robo-signing,” in which mortgage paperwork may have been fraudulently signed without regard to documentation to speed up the foreclosure process. Arizona was one of the states hardest hit by the housing crisis that began in 2008, and would likely benefit more than most from the settlement.

2 FEBRUARY 10, 2012

INSIDE TUCSON BUSINESS

FEATURED SPEAKERS Dick Morris Get the perspectives of one of the most prominent Washington insiders and political analysts when Dick Morris presents the latest update in the 2012 presidential chess game as it is being played out on the stage of American history.

Ron Clark

PRESENTED BY

MARCH 15 | 7am – 1pm Casino Del Sol Resort & Conference Center 5655 W. Valencia Road $49 Tucson Metro Chamber members $75 Non-members

Find out what makes education in America work and what we can do to improve it when “America’s Educator” and Disney Teacher of the Year Ron Clark shares his winning strategies. Don’t be late for class!

Grady Gammage, Jr. Hear the bare knuckle truth about changes we have to make to win in the global marketplace from Grady Gammage, Jr., lawyer, author, real estate developer, former elected official and a quality of life and local economic issues expert.

Visit TucsonChamber.org to register For information on sponsorships and advertising opportunities contact Lori Banzhaf at 520.792.2250 x 127 or lbanzhaf@tucsonchamber.org CO-SPONSORED BY

Todd Landfried Find out the latest ideas on sensible immigration reform from Todd Landfried, a leader in federal immigration reform and the voice of the business group called Arizona Employers for Immigration Reform.

InsideTucsonBusiness.com

FEBRUARY 10, 2012

3

NEWS

Tucson’s next big sports event: MLS Desert Diamond Cup By Dan Gibson Inside Tucson Business If you ever want to make a sports fan living in Tucson grimace, start talking about professional sports. Either it was the debacle of trying to convince Major League Baseball teams they should be OK with long bus rides to and from Phoenix, a parade of failed franchises — many of which never actually played a meaningful game — or professional tour spots for bowling or golf. That’s changing. Those behind Tucson’s two-year old amateur soccer team, FC Tucson are also organizing the second annual Desert Diamond Cup, which they hope will stay and grow as it builds relations with sponsors and the community. The four managing partners of FC Tucson are Rick Schantz, head coach and an assistant principal at private Imago Dei Middle School; Jonathan Pearlman, head soccer coach at Sabino High School; Greg Foster, a partner at law firm Karp & Weiss; and Chris Keeney, a veteran of several pro sports franchises. Nobody can fault them for lack of effort on the Desert Diamond Cup. When the U.S. Men’s National Team played in Glendale last month, FC Tucson staffers were there handing out flyers to soccer fans who might be willing to drive down to Tucson to see the game’s stars. They also went to Hermosillo, Sonora, with Major League Soccer (MLS) executive Nelson Rodriguez to pitch the event to Mexican fans. They travelled to MLS cities to campaign for teams to move their pre-season operations to Tucson for a month. Now they just need to get people into the seats at Kino Stadium, 2500 E. Ajo Way, for four nights of matches. Last year’s Desert Cup at Hi Corbett drew more than 10,000 fans for the second

CONTACT US

Phone: (520) 295-4201 Fax: (520) 295-4071 3280 E. Hemisphere Loop, #180 Tucson, AZ 85706-5027 insidetucsonbusiness.com

doubleheader of matches. That showed there was at least some level of support from fans in the region. But was it the novelty of the first year? Foster doesn’t think so. “We had about three weeks and a tiny marketing budget to get the word out (last year),” he said. “This year, we have a longer lead time and will commit greater resources to marketing.” Having the Los Angeles Galaxy as one of the participants should help, since it appears that megastar and recent Super Bowl

BIZ FACTS Desert Diamond Cup teams • Los Angeles Galaxy • New England Revolution • New York Red Bulls • Real Salt Lake Matches at Kino Stadium, 2500 E. Ajo Way Feb. 22 6 p.m. New England vs. L.A. 8 p.m. New York vs. Salt Lake Feb. 25 6 p.m. L.A. vs. Salt Lake 8 p.m. New York vs. New England Feb. 29 6 p.m. Salt Lake vs. New England 8 p.m. L.A. vs. New York March 3 - Playoffs 6 p.m. 3rd Place vs. 4th Place 8 p.m. 1st Place vs. 2nd Place Tickets for all four days range from $20 for endline seats to $75 for VIP centerfield seats Purchased online at www.ticketreturn.com. Other packages and tickets for individual days range from $9 to $72. See www.fctucson.com for details.

commercial underwear model David Beckham could be on the field in Tucson for the current MLS champions. The leadership of FC Tucson is planning ahead, banking on the potential success of the expanded tournament and spring training this year, to bring about a more formalized spring training program with MLS. The league has supported the idea but there is a deadline, according to Foster. “This must happen in the next one to three years. In order to accomplish this, we need more soccer fields and, eventually, a soccer-specific facility,” he said. The number of quality fields has been the biggest concern noted by the MLS’s Rodriguez, who commented when he visited Tucson last year that he didn’t see a quality field anywhere during his tour of the area. FC Tucson has developed fields at the Kino Sports Complex, but after the matches of the cup, those fields will revert to baseball use for the Triple-A Tucson Padres. Foster mentions that there are negotiations underway to “identify a solution,” but he does say that “if we don’t develop the infrastructure, MLS will likely look for another community in the western United States that is able to support a formalized preseason.” With a street soccer tournament downtown as part of Second Saturdays this week — complete with MLS players as referees — and more community appearances and events planned leading up to Desert Diamond Cup matches, the FC Tucson leaders are continuing to make connections between the local community and what the world calls “The Beautiful Game.”

Contact reporter Dan Gibson at dgibson@azbiz.com or (520) 295-4238.

PUBLISHER THOMAS P. LEE tlee@azbiz.com

STAFF WRITER PATRICK MCNAMARA pmcnamara@azbiz.com

LIST COORDINATOR JEANNE BENNETT list@azbiz.com

INSIDE SALES MANAGER MONICA AKYOL makyol@azbiz.com

EDITORIAL DESIGNER DUANE HOLLIS dhollis@azbiz.com

EDITOR DAVID HATFIELD dhatfield@azbiz.com

STAFF RESEARCHER CELINDA ARGUE cargue@azbiz.com

ART DIRECTOR ANDREW ARTHUR aarthur@azbiz.com

CARTOONIST WES HARGIS

STAFF WRITER ROGER YOHEM ryohem@azbiz.com

WEB PRODUCER DAN GIBSON dgibson@azbiz.com

ADVERTISING DIRECTOR JILL A’HEARN jahearn@azbiz.com

CIRCULATION MANAGER LAURA HORVATH lhorvath@azbiz.com

Follow us: Twitter.com/azbiz | Twitter.com/BookOfLists | Facebook.com/InsideTucsonBusiness

Inside Tucson Business (ISSN: 1069-5184) is published weekly, 53 times a year, every Monday, for $1 per copy, $50 one year, $85 two years in Pima County; $6 per copy, $52.50 one year, $87.50 two years outside Pima County, by Territorial Newspapers, located at 3280 E. Hemisphere Loop, Suite 180, Tucson, Arizona 85706-5027. (Mailing address: P.O. Box 27087, Tucson, Arizona 85726-7087, telephone: (520) 294-1200.) ©2009 Territorial Newspapers Reproduction or use, without written permission of publisher or editor, for editorial or graphic content prohibited. POSTMASTER: Send address changes to: Inside Tucson Business, P.O. Box 27087, Tucson, AZ 85726-7087.

Starr Pass foreclosure auction postponed A planned foreclosure of the JW Marriott Starr Pass Resort & Spa was postponed this month by the lender, US Bank, which said it was pursuing negotiations. A week earlier, the bank had indicated it was having difficulty in negotiations and expected the auction take place on Feb. 2. The new auction date is March 2. Starr Pass Resort Developments, which developed the property that opened in early 2005, defaulted on a $145 million loan and the resort was put into receivership. Marriott, which operates the hotel, says it is continuing normal operations for the resort at 3800 W. Starr Pass Blvd. in the Tucson Mountains.

Pima College’s Flores takes medical leave Pima Community College Chancellor Roy Flores was to begin taking a medical leave Thursday (Feb. 9) to devote time to recovering from an emergency angioplasty Feb. 3 and quadruple-bypass heart surgery he underwent in October. “For the past nine years, I have given heart and soul to do what’s best for Pima Community College. My soul’s still strong, but my heart of late has been less than completely dependable, and I need to listen to my cardiologists and take the necessary time to heal,” Flores said in a statement. Last month, Flores told the college’s Board of Governors that he will retire as of Dec. 31.

Raytheon lands $39.6M Navy missile contract Raytheon Missile Systems this week was awarded a $39.6 million contract from the U.S. Navy to produce a version of an air-to-air missile carried aboard fighter aircraft. The contract is for the AIM-9X Block II missile and is a modification of a contract announced at the end of January. The missile, known as the Sidewinder, is equipped on the F/A-18 Hornet, the F-15 Eagle and the F-16 Fighting Falcon. The F/A-18 is the primary Navy fighter.

EDITION INDEX Public Notices 6 Calendar 9 Inside Media 10 Entertainment 11 Arts and Culture 11 People in Action 15 Briefs 16-17

Finance Real Estate & Construction Meals and Biz Buzz Editorial Classifieds

18 19 20 20 23

4 FEBRUARY 10, 2012

INSIDE TUCSON BUSINESS

NEWS

Diversity of gem shows includes Native American crafts

Regents to name new UA president next week

By Lee Allen Inside Tucson Business As a testimony to the diversity of the annual gem shows in Tucson, there is the American Indian Exposition featuring arts and crafts from 80 tribal nations in the United States, Canada, Mexico and Central America. This is the 30th year of the expo, which started with an idea to a Native American show, according to promoter Fred Snyder, director of Tucson’s North American Indian Trade Center, an organizational amalgam representing more than 2,700 Indian artisans. It is taking place through Tuesday (Feb. 14) in the ballroom of the Flamingo Hotel, 1300 N. Stone Ave. “The gem show is all about a ton of this and a kilo of that, things made around the world in multiples. Here, everything is quality in the form of a unique one-of-a-kind piece from Huichol beadwork to silver smithing and basket weaving,” Snyder says. Like the glazed black pottery with turquoise inlay crafted for the past 35 years by Maria Adelicia, a Pueblo BIZ FACTS tribal member from San Juan, N.M. “There’s only a few of us throughout the country that glaze our pottery this way,” she explains. Through Feb. 14 “I do all the designs and my son, daughter, and I are responsible Ballroom, Flamingo Hotel, for all the hand crafting of prod- 1300 N. Stone Ave. ucts. Our creations amaze people who see our work for the first www.usaindianinfo.org/expo. time,” says Andelica, who lives out htm of a suitcase for several weeks per (520) 622-4900 year attending springtime shows and Native American pow wows Hours: 10 a.m. - 5 p.m. to vend her unique products. Other unique items at the expo come from Navajo-Hopi craftsman Harry Self-described Renaissance Man Ernie Northrup shows examples of Hopi workmanship Bert, of Flagstaff. The former union pipefitter took up craftwork when bad knees dic- thick corky bark lighter and vibrant. Renaissance Man. “I live Hopi, breathe tated a career change. In addition to silver “The colors are like morning dust, lots of Hopi, 24/7,” he says. jewelry, he’s found a distinctive art form. Northrup is long on talent and short on yellow — like corn ready to grow,” Bert says. “I’m one of the first to specialize in corn A lover of the outdoors, Bert also has shyness: “It’s hard to say what I excel at bedolls,” Bert says of his carvings, handmade original sterling silver jewelry with wildlife cause I make silver and gold jewelry, drums, from cottonwood tree roots found in Arizo- themes. flutes, wood carvings, weavings — anything na arroyos. “Grandmother told me about “You’ll see a lot of elk, buffalo and eagles and everything. I was taught to never say ‘I the Creation Story and I put two and two to- in my work because I love animals and can’t’. Now I’m like the little engine that gether and came up with this concept. Chil- whenever I’m in the outdoors looking for could. Like Jabba the Hutt from ‘Star Wars’ dren are like corn — some are small, some cottonwood supplies, images get stuck in — all-knowing.” grow very large, their faces aren’t set as kids my head and end up in my jewelry — bears Acting as both craftsman for his own creand they look pretty universal when they’re for strength, cornstalks as the tree of life, ations and middleman for the work of othyoung. That’s why corn dolls have no dis- whirlwinds representing new beginnings,” ers, Northrup says, “Everything I create with tinctive faces and they’re always twisted and he said. my hands has a story to it. When I pick up a bent, like a bunch of kids moving around, Then there’s Ernie Northrup from Kykots- stone on the ground or a limb that fell from waving back at you.” movi, one of the Third Mesa villages on the the tree, I change the spirit of it by bringing His corn dolls are colorful with acrylics Hopi Reservaton in northern Arizona, who life to it. I put my soul into the outcome of it that soak into the cottonwood making the unabashedly describes himself as a Hopi as a legacy to leave behind.”

American Indian Exposition

Lee Allen photo

University of Arizona photo

Ann Weaver Hart, currently the president of Temple University in Philadelphia, is set to be officially named as the new president of the University of Arizona. The Board of Regents said the selection was made after an extensive nationwide search. Hart is due to visit the UA Monday and Tuesday with the regents’ official vote coming on Feb. 17 “Dr. Hart is a consummate leader, educator and administrator and embodies all of the leadership characteristics we are seeking in the next president of the UA,” said Regent Rick Myers, co-chair of the Presidential Search Committee. “She has left indelible marks with each position she has held and has transformed Temple University into a higher performing institution at nearly every level and undoubtedly will do the same at the UA.” Regents chair Fred DuVal said Hart’s “extensive background as an accomplished chief executive officer and experience in academic Ann Weaver Hart medicine will be a tremendous asset to the UA and the entire state.” Hart has been at Temple since 2006. According to the regents she announced last September that the planned to leave Temple as of June 30. Temple is the nation’s 27th largest university and home to the academic medical center Temple University Health System. According to the regents’ announcement Hart was responsible for significantly increasing undergraduate and graduate applications while raising the academic qualifications of incoming students. Among other accomplishments, Temple grew research expenditures by nearly $30 million and fostered technology transfer and economic development efforts. There has been a growing feeling among Arizona state officials that the UA has been lagging in the area technology transfers. Prior to Temple Hart was president of the University of New Hampshire for four years and provost and vice president for Academic Affairs for four years at Claremont Graduate University, a graduate-only private institution in Claremont, Calif. She began her career in 1984 as a professor in Educational Leadership and Policy at the University of Utah, in her home state. Hart replaces Robert N. Shelton who quit last year to amid suspicions his contract wasn’t going to be renewed by the regents. He is now the executive director of the Fiesta Bowl. Eugene Sander has been the interim president. Assuming she is approved, Hart will officially take over as UA president on July 1.

InsideTucsonBusiness.com

FEBRUARY 10, 2012

5

MEDIA

Roadmap helps put state’s biosciences on right path

Good News Oficina numero dos The Metropolitan Tucson Convention and Visitor Bureau’s Vamos a Tucson program is building on the success of operating visitor centers in Sonora with plans to open one in Ciudad Obregon in March. As happened when it opened a center in Hermosillo four years ago, Tucson will be the first U.S.-based destination with an office in Obregon. The MTCVB, Tucson-Mexico Sister Cities and Caballeros del Sol are planning to combine a ribbon-cutting trip with a joint trade mission from March 14 to 18.

By Patrick McNamara Inside Tucson Business In the realm of bioscience, Arizona has begun to find its niche. That’s according to the Flinn Foundation, which a decade ago commissioned a study to analyze the state’s science-based business infrastructure that formed the basis of “Arizona’s Bioscience Roadmap.” “You always must build on the assets you have,” said Ron Shoopman, a retired Army brigadier general and president of the Southern Arizona Leadership Council. Shoopman was among the speakers at the Flinn Foundation’s decennial progress rreport on tthe roadBIZ FACTS map plan m Flinn Foundation ggiven bef o r e www.flinn.org aabout 100 www.azbiobasics.com people Feb. 2 at F the Tucson Marriott University Park. Shoopman said the state has been able to build on the infrastructure it had ten years ago in a strong scientific-research base at the University of Arizona and the BIO5 Institute. Subsequent additions like state and local governments committing hundreds of millions of dollars toward education, training and research. In building a viable bioscience economy, recognition of the state’s limitations also was necessary. “We saw that Arizona was not going to be another Massachusetts, was not going to be another San Francisco,” said Walter Plosila, a senior advisor with Battelle Memorial Institute, the company whose research formed the basis of the bioscience roadmap. Tucson likely won’t become the next hotbed for software development, for example, but medical research and biological sciences are a niche the state has been able to leverage. Growth in those two sectors have reflected those efforts to target specific industries, according to statistics the Flinn foundation compiled for the tenth anniversary presentation. Overall, employment in the biosciences grew more than 40 percent since the roadmap plan was launched in 2002. Employment in research, testing and medical laboratories grew more than 50 percent, while employment at hospitals grew 41 percent.

This Week’s

The Tucson

INSIDER Private and government funding for the biosciences also grew. In 2011, venture capitalists invested $69 million in Arizona companies and National Institutes of Health funding for research topped $184 million. The total number of companies also grew, up 27 in ten years percent to 867. The news was overall good for the state, even in light of the continued economic downturn that saw unemployment top double-digits and the near-total collapse of Arizona’s construction industry. One area, however, still needs work, Plosila said. “We still really need to focus on the talent pool,” he said, explaining that employ-

ers increasingly base relocation decisions on the availability of skilled workers. The state of education in Arizona causes some concern in that regard. “The budget cuts are concerning,” Plosila said, taking note of the $428 million in higher education funding the state has endured in recent years. He said continued cuts to higher education funding could have long-lasting consequences for the state and its ability to attract future investment in the biosciences. “You can’t recapture what you lose,” Plosila said.

Contact reporter Patrick McNamara at pmcnamara@azbiz.com or (520) 295-4259.

What does ‘bioscience’ mean? The term “bioscience” collectively refers to scientific fields including life sciences, agricultural science, pharmaceuticals, medical devices, hospitals, medical labs and research.

Vital signs of Arizona biosciences $28.8 billion – annual economic impact of biosciences sector in Arizona $69 million – amount of venture capital investment in Arizona biosciences in 2011 $184 million – National Institutes of Humanities funding in 2011 96,223 – number of Arizonans working in the biosciences $55,353 – average salary of Arizona bioscience worker Source: Battelle

Correction A report on the front page of the Feb. 3 issue concerning the meetings on the draft environmental impact statement for an Air Force F-35 pilot training facility contained three errors: The aircraft is the F-35 (it was identified wrong in the headline), a squadron consists of 24 aircraft, and the proper website address to use to submit written comments is: www.f-35atrainingeis.com/index.html

Insights and trends on developing and ongoing Tucson regional business news.

Match Play returns? To hear some people tell it, the decision has already been made: The Accenture Match Play Championship will return to the Tucson region in 2013. Most likely though, the venue will be the Omni Tucson National Golf Resort, a fan-favorite course that has hosted more than 30 PGA Tour events, including celebrity-driven Dean Martin and Joe Garagiola events in the 1970s and 1980s and later the Chrysler Classic. One way or the other, Tucson is the sixth oldest stop for pro golfers and one reason it may stay is that scheduling it at another venue hasn’t been easy. Timing-wise those involved want to keep it as part of the so-called Western swing before heading to Florida. The Tucson stop has been either the last or near-last stop before Florida for several years. Those involved also caution that even if the decision has been made for next year, organizers are continuing to monitor support for future years. This year’s turnout could directly impact whether the match play championship will be back in 2014. The announcement for 2013 is expected after this year’s event, which is Feb. 20-26 at the RitzCarlton Golf Club, Dove Mountain in Marana.

Malling for wine Timing, or concidence? Last week, Inside Tucson Business editorialized to do away with automatic restrictions on alcohol licenses, noting that two prime vacant eastside retail locations couldn’t qualify to be a supermarket or retailer such as Total Wine & More. The editorial writers had no clue when it was written but it turns out Total Wine was snooping around for an eastside location and now Insider finds out it’s going in to the former Border’s space in Park Place Mall. That’s one big retail space that’s off the market.

6 FEBRUARY 10, 2012

INSIDE TUCSON BUSINESS

PUBLIC NOTICES Public notices of business bankruptcies, foreclosures and liens filed in Tucson or Pima County and selected filings in Phoenix. Addresses are Tucson unless otherwise noted.

FORECLOSURE NOTICES Southland Desert Creations LLC 17911 S. Sierrita Mountain Road 85736 Tax parcel: 301-30-03709 Original Principal: $52,300.00 Beneficiary: Joseph N. Richardson, trusteee of the Richardson Family Trust Auction time and date: 10 a.m., April 24, 2012 Trustee: Title Security Agency of Arizona, 2730 E. Broadway, Suite 100

LIENS Federal tax liens Little Angels Learning Center Inc., 4826 E. Pima St. Amount owed: $2,916.00. Iorio Incorporated, 3642 S. Prism Sky Drive. Amount owed: $6,011.36. ACH Pension Consultants Inc., 4729 E. Sunrise Drive PMB 333. Amount owed: $10,074.30. Party Carousel LLC, 903 N. Swan Road. Amount owed: $1,044.47. Susan C. Sehn MD, 11400 W. Rudasill Road, Picture Rocks. Amount owed: $120,886.85. Dimension 3 18 Limited Liability Company and Nancy C. Noland, 9281 N. Sea Otter Place. Amount owed: $2,567.30. Ballistic Fabrication LLC, 2010 W. McMillan St. Amount owed: $41,674.37. MJM Landscape Associates Inc., PO Box 415, Green Valley 85622. Amount owed: $2,350.23. Red Ant Inc., PO Box 1508, Sahuarita 85629 (318 E. Calle Aspa, Green Valley). Amount owed: $11,706.92. AB Document Services Inc., 150 S. Camino Seco, Suite 111. Amount owed: $12,438.66. Territorial Sign Co., 3400 E. Alvord Road. Amount owed: $9,514.32.

State liens (Liens of $1,000 or more filed by the Arizona Department of Revenue or Arizona Department of Economic Security.) Sonoran Builders Ltd., 3266 E. Grant Road. Amount owed: $108,301.57. Screenmobile and David L. Slaughter and Carla R. Slaughter, 8004 N. New Season Drive, Marana. Amount owed: $10,333.14.

Mechanic’s liens (Security interest liens of $1,000 or more filed by those who have supplied labor or materials for property improvements.)

Crescent Electric Supply Company against Red Mountain Asset Fund I & II LLC. Amount owed: $23,039.93. Desert Reflections LLC against Santa Rita Golf Club Inc. Amount owed: $54,195.07. Tucson Flooring Concepts Inc. against Plaza at Williams Centre LLC. Amount owed: $1,619.38. Atlantic Concrete Cutting Inc. against Leyenda En Tiempo LLC. Amount owed: $1,370.00.

Release of state liens Plants of Distinction Inc., 6930 E. Tanque Verde Road Affordable Yard Service and Larry W. Shaw, PO Box 18031, 85731 Spice Bistro and Borella LLC, 759 W. Mallard Head Place, Oro Valley Robin & Singh LLC, 7411 N. Oracle Road Trinity Granite & Marble LLC, 151 W. Ventura St. Abbygrace LLC, 6960 E. Sunrise Drive, Suite 110 Taco Shop Company LLC, 1350 E. Broadway Frankort Inc., 8477 N. Cantora Way, Marana MC Development Corp., 7930 E. Speedway Hot & Spicy Mexican Cafe, 5025 N. First Ave. #125 Neil Capin Enterprises Inc., 6345 E. Tanque Verde Road Raygarr LLC, 18848 S. Garrison Hills Drive, Sahuarita Arizona Alternative Building Systems LLC, 580 E. Rimrock Place, Oro Valley Auormira Financial Arizona LLC, 8660 E. Broadway Mirasai LLC, 6250 N. Oracle Road ALEH LLC, 4107 S. Sixth Ave. S&H Restaurant Concepts LLC, 5358 S. Old Nogales Highway Ajax Concepts LLC, 7286 N. Oracle Road

Allstar Painters LLC, 367 S. Craycroft Road Black Stallion’s Dynasty, 277 W. Duval Mine Road, Green Valley Lodestone Development Corporation, 2440 W. Catalpa Road Clubhouse Pizza, 1521 N. Wilmot Road Rivas Custom Builders LLC, 9960 E. Placita De Las Palmeritas Tarahumara Construction LLC, 4141 W. Bilby Road R&J Subs LLC, 2850 E. Glenn St. Kyo Sushi, 9040 E. Valencia Road, Suite 196 Ramirez Restaurants LLC, 1580 W. Finnie Flats Road #B, Camp Verde

Release of mechanic’s liens Salmon Electrical Contractors Inc. against Wal-Mart Stores Inc. Compass Contracting LLC against Bank of America NA Compass Contracting & Remodeling LLC against Deutsche Bank National Trust Co. Catalina Mechanical Contracting against Rio West Development & Construction Inc. Border States Electric Supply against 3981 LLC Staker Parson Companies against 2470 Majestic LLC Qualified Mechanical Contractors against Lodge Partners LLC Ace Asphalt of Arizona Inc. against Colonia Del Sol HOA Nicholas Consolidated Inc. against McDonald’s Real Estate Co. Best Paving Inc. against City South Plaza LLC and Tucson Promenade LLC All Glass LLC against Time For Results Fitness LLC Majestic Drywall LLC against Layenda En Tiempo LLC Servpro of Northeast Tucson against OST Holdings LLC Servpro of Northeast Tucson against Rita Ranch I LLC Isco Industries LLC against Freeport McMoRan Copper & Gold Sierrita, et al Rodeo Mechanical Inc. against CRS DQ Holdings LLC and/or JP Morgan Chase Bank Cemex Constructions Materials South LLC against Trustees of Tucson Lodge #4 F&AM Arizona Air Products against Campbell Avenue Shopping, Skechers Stores #378, et al ABC Supply Company Inc. Branch 124 against Charter School Fund LLC and Legacy Traditional Charter School Desert Building Materials against Campbell Avenue Shopping Center LLC O’Leary Construction LLC against Rancho Soldados Development Co. Inc. Ace Asphalt of Arizona Inc. against Sierra Industrial Park LLC, et al Southwest Building Materials of Tucson against Dairy Queen Winroc Southern Arizona Tucson Division against CRS DQ Holdings LLC and JP Morgan Chase Bank Star Aluminum Company against CRS DQ Holdings and JP Morgan Chase Bank Ascent Aviation Services Corp. against Ryan International Airlines Koedyker & Kenyon Construction Inc. against Tucson Greyhound Park Inc. Peoria Winnelson Co. against Texas Roadhouse Holdings Amanti Electric Co. against DND Neffson Co. JB Ventures Inc. and JB Steel against CRS DQ Holdings LLC and JP Morgan Chase Bank Geronimo Limited against CRS DQ Holdings and JP Morgan Chase Bank Alliance Service & Control Specialists Inc. against LSL Company LLC and Wayne Schell and Suzanne Schell Cemex Construction Materials South LLC against Hutton Partners LLC Ace Asphalt of Arizona Inc. against Beneto Bulk Transport Flooring System of Arizona Inc. against Target Corp.

Pima County to put $35.3M in tax liens up for auction they appear in The Daily Territorial on Feb. 15. Typical of an auction, it moves quickly, Next week, Pima County will put 13,897 delinquent tax liens totalling almost $35.3 taking about 20 seconds per parcel. Pima million up for sale in the annual auction County Treasurer Beth Ford advises anyone seeking to participate in the tax lien sale to that will take place later this month. These are liens on properties that are de- thoroughly investigate the liens on parcels linquent on tax payments from 2010 or ear- that are put up for sale and to be prepared. Additionally, participants are required to lier. A complete list of all the properties liens for sale will be published Wednesday (Feb. register with Ford’s office, 115 N. Church Ave. in the Old 15) in The Daily TerCourthouse. ritorial, a sister BIZ FACTS The cost is $20 publication of Inand registrants side Tucson BusiThe Daily Territorial will have to proness. vide a tax idenIn Arizona, tification or Socounties put the Subscribers to The Daily Territorial will cial Security liens on properties receive the 2012 Pima County Delinnumber and a delinquent on taxes quent Tax Lien Sale supplement as part completed W-9 up for sale in an of the regular issue on Feb. 15. The enform. Further, auction where intire issue will also be available for sale Internal Revevestors bid on the Feb. 15 only are these locations: nue Service regamount of interest ulations require they are willing to that 31 percent accept on the taxes of all proceeds owed. The bidding • Bookmans, 1930 E. Grant Road (pay box be withheld for starts at 16 percent outside front entrance) noncompliance and goes down or incorrect refrom there. What • Bookmans, 6320 E. Speedway (pay box porting of a tax will be printed in outside front entrance) identification The Daily Territori• Bookmans, 3733 W. Ina Road, Marana (pay number. al is the base tax From Pima that’s owed on a box outside front entrance) County’s point parcel, plus interest • Crescent Smoke Shop, 200 E. Congress St. of view, the anand penalties due through the end of • Downtown paybox on the northwest corner nual tax lien sale brings in delinthis month. of Pennington Street and Church Avenue quent revenue Investors do not it’s owed. purchase actual • Mostly Books, 6208 E. Speedway In 2011, the property but a cer• Territorial Newspapers lobby, 3280 E. county sold a tificate. If the proprecord $12.5 erty owner doesn’t Hemisphere Loop, Suite 180 (near South Palo million worth of make any payments Verde and Valencia roads) tax lien certifitoward the lien, afcates, up from ter three years a People who wish to pre-order only the $10.7 million in certificate holder supplement may call (520) 295-4220. 2010. Not all can apply to the court for a deed to Copies of the Delinquent Tax Lien Supplement liens put up for sale actually get the property. will also be sold at the Pima County Treasold at auction. Arizona is conOut of 15,558 sidered one of the surer’s Office, 115 N. Church Ave. parcels last year, best states for in4,189, or 27 pervestors to buy tax cent, were sold, lien certificates because of the initial high interest rates that which is about typical. This year’s total of 13,897 parcels repreare available. The tax lien certificates are sold by auc- sents an 11 percent decline from last year. tion, this year starting at 8 a.m. Feb. 29, in But the parcels that are up for sale are carrythe Board of Supervisors hearing room on ing higher dollar values as evidenced by the the first floor of the Pima County Adminis- fact that the total dollar amount is down just tration Building, 130 W. Congress St. The 0.6 percent. There are more than 450,000 parcels in auction continues daily until all of the properties have been put up for auction. The Pima County. The county collects about $1 liens are acutioned in the order in which billion annually in property taxes. Inside Tucson Business

InsideTucsonBusiness.com

FEBRUARY 10, 2012

7

SMALL BUSINESS

Survey says: Arizona businesses want comprehensive tax reform The Arizona Small Business Associataxes and followed by payroll taxes. tion (ASBA) recently completed a survey Our survey did reveal that there is of its 11,000 member businesses focused optimism, the prime ingredient that never on public policy issues critical to small fails to be present in the DNA of every businesses in our state. The results entrepreneur. Eighty-eight of the survey were used to percent expect the overall develop our 2012 Legislative economic environment in our agenda outlining our policy state to be about the same positions on taxation, regulaor better a year from now. tions, economic development, With respect to their own education and healthcare. business, almost 50 percent When asked what the best expect their business to way to expand our state’s ecoimprove this year, while only nomic opportunities was, our 8 percent expect a decrease. members’ resounding answer When asked what to JERRY BUSTAMANTE was to create a fair and broad do with the state’s budget tax system free of loopholes. surplus in the current year, This certainly does not come as a more than half responded they would surprise as Arizona businesses continue to like to see it go to pay off state debt. struggle with a complex and unfriendly tax We strongly believe that if it’s system that just seems to bog them down. good for Arizona small businesses, If you scan through all the bills that it’s good for Arizona as a whole. have been introduced in these early weeks The statistics bear this out. of the legislative session, you will find In Arizona, 97 percent of businesses a fair number of tax-related proposals. are classified as “small,� using the fedUltimately, the need for comprehensive eral definition of having fewer than reform of our state’s tax system is what 500 employees. Two out of every three our members have shared with us is jobs are created by small businesses. a top priority, beginning with income One of the chambers we have part-

Ultimately, the need for comprehensive reform of our state’s tax system is what our members have shared with us is a top priority, beginning with income taxes and followed by payroll taxes. nered with, the Arizona Chamber of Commerce and Industry, has been one of the most consistent and effective advocates for business at the legislature for many years now. Today we are working in partnership to improve the business climate in Arizona and to make our state more welcoming and prosperous for all businesses.

I attended Tucson’s second annual CEO Leadership Summit Jan. 19 at the Hilton Tucson El Conquistador Resort that brought together an expert panel featuring the leadership of some of the major corporations and educational institutions in our region. The focus was on economic development, education and infrastructure. A common denominator touched on and stressed by the panelists was the importance of active representation and advocacy at the state level. We could not agree more. As the largest trade association in Arizona, ASBA is committed to being a visible and vocal advocate for the business community at the Legislature. We are also committed to working and partnering with the local chambers of commerce across the state and serving as a resource to them in their public policy efforts.

Jerry Bustamante is Southern Arizona director of the Arizona Small Business Association. The office is at 4811 E. Grant Road, Suite 262, in Crossroads Festival, phone (520) 327-0222.

Southern Arizona’s Premier Indian Art Show & Market

FEBRUARY 18-19, 2012 – Tucson, AZ

UQL 0R

More than two hundred Native artists Live rug auction by Friends of Hubbell Top-quality, handmade art Music & dance performances Silent auction Native foods Book signings Artist demonstrations

QJ L <H +H DO E\ HU

$GPLVVLRQ IHHV HYHQW GHWDLOV DW

0

ZZZ VWDWHPXVHXP DUL]RQD HGX

YL HO Q

/ -

RK

Q 1D

Y DM R

<RXU VXSSRUW RI WKLV HYHQW KHOSV $UL]RQD 6WDWH 0XVHXP VXSSRUW 1DWLYH DUWLVWV

8 FEBRUARY 10, 2012

INSIDE TUCSON BUSINESS

CAPITOL

State Democrats’ ideas for business have tough-time getting heard By Hank Stephenson Inside Tucson Business PHOENIX — Democrats in the state House of Representatives say they would like to boost employment and reduce bureaucratic burdens for small businesses by cutting taxes for owners who hire new workers as well as eliminating some sales tax reporting requirements. But in the race against time to become law, the business-friendly bills are meeting an unlikely obstacle: business-friendly House Republicans. Although the low taxes, less government message usually gets a warm welcome in the Republican-controlled Legislature, these bills are getting a cold shoulder by the chairs of the committees to which they have been assigned. The Democrats’ two bills have been double-assigned to the House Ways and Means and the Commerce committees, meaning they have to clear both before going to a vote of the full House. “It’s amazing how hard it is to pass a bill (Republicans) would be sponsoring if it was their idea,” said Rep. Steve Farley, D-Tucson, a sponsor on both measures. By Farley’s calculation, 70 percent of Democratic-sponsored bills are double-assigned, while about 80 percent of Republican bills are assigned to only one committee. But the committee chairs, who have at their discretion the ability of whether bills are heard in their committees, say it isn’t a case of political blackballing, but a short, jam-packed session where each bill is heard on its merits. The House is coming up fast against next week’s deadline for all House bills to pass their committees and be sent to the Senate, or they effectively die. Rep. Jack Harper, RSurprise, and chair of the House Ways and Means committee says he doesn’t know if there will be time to hear the bills. The meetings have been overbooked as it is and

“It’s amazing how hard it is to pass a bill (Republicans) would be sponsoring if it was their idea,” said Rep. Steve Farley, D-Tucson, a sponsor on both measures.

EVERY MORNING DAILY NEWS — DELIVERED TO YO YOU! OU!

S FREE TO

I

he’s considering scheduling a special meeting Feb. 16 to hear some more bills, but he’s not sure what they will be. Under one of the bills (HB 2705), small business owners would receive a quarterpercent income tax reduction for every new employee hired. Sponsor Rep. Chad Campbell, D-Phoenix, says the focused tax cut is designed to act as an incentive to business owners to create new jobs. The tax break would be limited to four new full-time, on-site employees earning the median wage and receiving benefits. The lower tax rate would last for three years and the program would be capped at 1,000 new employees within the state. “It’s an accountable, structured type of tax cut that will do what we want it to do, and that’s create jobs and help small businesses keep their doors open. And that’s what we all should be focused on here,”

Campbell said. But Harper said, “Chad Campbell’s bill is nonsense. He knows he will get us into a lawsuit for not treating taxpayers equally. He’s running a populous bill that will result in a large lawsuit that the state could lose.” After 21 years of running his own photography and art business, Farley says he knows first-hand the waste of time and resources that can go into monthly sales tax filings. In the art business, he can sell a lot at once but then go for months selling hardly anything. Nevertheless, he has to fill out forms and file monthly sales reports, even when they may amount to nothing. His bill (HB 2716) would allow businesses with an annual estimated sales tax liability of between $2,000 and $8,000 to report and pay their sales tax quarterly. Those with a liability less than that would report and pay annually. His proposal raises the thresholds from between $500 and $1,250 annually for quarterly filings and $500 or less for annual filings. Farley says the reduced reporting would save small business owners and government time and money. Paying less often could also free up cash-flow for small businesses that could use it in these tough times, he said. His bill also would allow people who own businesses with annual gross receipts of less than $500,000 and subject to the use tax to declare the tax on their annual income taxes, as opposed to monthly filing. Rep. Jim Weiers, R-Phoenix, and chair of the Commerce Committee, said that since he is stepping down from the House after this year, he is training his vice-chair to set the bills the committee will hear. He said each bill in his committee is judged on its own merit, not on what side of the aisle proposed it. That said, he’s not a big fan of either measure. Harper called the bills admirable, but said their fate depends on what he has time to hear before next Friday’s deadline. “I’ve got so many bills to hear,” he said.

! B A T R E ETT L S W E HE N T K C I L ND C

MA O C . S S INE S U B N CSO U T E D Are you interested in business I S N I O T news everyday? SO ARE WE! GO : P U N G

Sign up today and receive the Inside Tucson Business e-newsletter directly to your inbox everyday.

PROTUCSON.PROBUSINESS.

InsideTucsonBusiness.com

FEBRUARY 10, 2012

CALENDAR SPECIAL EVENTS

State of the City Luncheon and Address Mayor Jonathan Rothschild to give Tucson’s annual address Tuesday (Feb 14) 11:30 a.m. Tucson Convention Center 260 S. Church Avenue Cost: $50 for Tucson Metro Chamber members; $70 general public http://TucsonChamber.org Info: Gina Babunovic gbabunovic@ tucsonchamber.org (520) 792-2250 ext. 133 Multi-Chamber Business Expo The 2012 Multi-Chamber Business Expo held in conjunction with the state of the city luncheon Tuesday (Feb 14) 10 a.m. Booth purchase is $300 on a first-come, firstserve basis; sales deadline Tuesday (Feb. 7) Info: Cindy Brown at cbrown@tucsonchamber. org or call (520) 792-2250 ext. 154 http://TucsonChamber.org Avoiding Wage & Hour Lawsuits Wednesday (Feb. 15) 11:30 a.m. to 1 p.m. BBB Conference Room 5151 E. Broadway Blvd., Ste. 100 Contact: Sara Shambo sshambo@ tucson.bbb.org (520) 888-6161 Cost: $10 BBB Members, $15 Non-Members www.tucson.bbb.org/events Employment Law Breakfast Briefing Lawyers from Fennemore Craig present a seminar for employers and human resources professionals Tuesday (Feb. 16) 7:30 to 9:30 a.m. Marriott Tucson University Park 880 E. Second St. Contact: Cheryl DeVries cdevries@ fclaw.com (602) 916-5292 www.fennemorecraig.com Free, RSVP required Women In Construction Week Tucson Chapter of the National Association of Women in Construction Sunday (March 4) to Saturday (March 10) Contact: Michelle Quinn mquinn526@ hotmail.com or (520) 440-7627 Website: www.nawictucson.org Free REGULAR MEETINGS

Saguaro Toastmasters Every Monday 6:30 p.m. Ward 6 office 3202 E. First Street Info: Mark Salcido (520) 991-6127 or gerontologist@hotmail.com http://saguaro.freetoasthost.com

SCORE Southern Arizona free business counseling Every Monday 10 a.m. to 1 p.m. Nanini Branch Library 7300 N. Shannon Road Info: (520) 791-4626 SCORE Southern Arizona free business counseling First and third Tuesday 9 a.m. to 1 p.m. ASBA 4811 E. Grant Road, Suite 261 Call ASBA at (520) 327-0222 to schedule SCORE Southern Arizona free business counseling Every Tuesday 9 a.m. to noon Marana Urgent Care Center (South Classroom) 8333 Silverbell Road Info: (520) 682-4314

? Know

Less than 1% of eligible taxpayers claim this energy tax incentive!

u Did Yo

SCORE Southern Arizona free business counseling Every Wednesday 9 a.m. to noon Oro Valley Library 1305 W. Naranja Drive Call Oro Valley Library at (520) 229-5300 to schedule

A little known tax deduction, Section 179D(a), encourages energy efficient building designs; putting dollars back in the pockets of building owners and their architects, engineers and contractors. Learn about pocketing all your earned tax incentives at www.beachfleischman.com/energytaxincentive or call us at 520.321.4600

Southern Arizona’s Premier Accounting & Advisory Firm

Think you have enough savings to retire? According to a February 2011 Harris Poll, 34% of Americans have no retirement savings. We will design a customized retirement plan for your company that reduces taxes, assures you a comfortable retirement, and encourages your employees to save for their own retirement.

Small Business Commission Meeting Fourth Thursday 3 to 5 p.m. Mayor and Council chambers 255 W. Alameda First floor Info: Ellen Hitchings, (520) 791-4343 ext. 245 or small.business@tucsonaz.gov

Read a few of our client success stories at

http://www.pinnacle-plan.com/successes

or call us at

520.618.1305

The S.M.A.R.T. Group Every Friday 12 to 1:30 p.m. Nova Home Loans Multi-Media Conference Room 6245 E Broadway Blvd., 5th Floor $25 Members $45 nonmembers Contact: Dale Dillon Lips (520) 4296000 or dillonadvisory@gmail.com Society for Human Resource Management - Greater Tucson Chapter Second Tuesday 11 a.m. to 1 p.m. DoubleTree, 445 S. Alvernon Way Membership:Garrett Kowalewski, (520) 647-9100 garrettk@staffmattersinc.com RSVP by Thursday prior to meeting: www.shrmgt.org Solutions Forum Fourth Monday Noon to 4 p.m. Clements Insurance 6245 E. Broadway, Suite 310

SCORE Southern Arizona free business counseling Every Tuesday, Wednesday {YOUR EVENT HERE} and Thursday Submissions: Deadline for calendar submissions is 10 9 a.m. to 1 p.m. days prior to publication. Post your event online at www. SCORE Main insidetucsonbusiness.com/calendar. Email any questions Office to pmcnamara@azbiz.com. 330 N. Commerce A complete calendar listing is at Park Loop Info: (520) InsideTucsonBusiness.com 670-5008

Pinnacle Plan Design, LLC A nationally recognized leader in the design and administration of qualified retirement plans

Learn more at

www.rkfin.com WEEK #24 TOPIC: Introducing: National Advisors Trust Company

Information: 1-800-7161 9626 or (480) 9 200-5678 2 RSVP required R Open only O tto business owners and o divisional heads d

9

RKFA is a founding member of National Advisors Trust Company, chartered in 2001, which administers over $7 billion in assets. Fully chartered by the Office of the Comptroller of the Currency (OCC), and certified to the ISO-9000 quality standard, NATC serves clients exclusively through Registered Investment Advisory firms like RKFA. We are the exclusive member of NATC in Southern Arizona. Trusts offer extended control over your assets, even spanning generations, and function to minimize your income and estate taxes. Contact RKFA today to explore how an NATC trust can protect your assets. NAPFA – NATC – NAEA – FPA – Registered with the SEC – Fee Only – CFP – CSA – EA – ATA

Raskob Kambourian Financial Advisors, Ltd.

4100 N. 1st Avenue • Tucson, Arizona 85719 T: 520 690-1999 • F: 520 690-1995 • Toll Free: 800 290-7736 • www.rkfin.com

10 FEBRUARY 10, 2012

INSIDE TUCSON BUSINESS

INSIDE MEDIA

Former KMSB/KTTU managers move on to new jobs By David Hatfield Inside Tucson Business In the days since Belo Corp. shut down operations of its two Tucson TV stations Feb. 1, two of its former top managers have moved on to doing new things. Former president and general manager Bob Simone has already landed a new job as vice president and general manager of WLNS, the CBS affiliate in Lansing, Mich. And Bob Richardson, who was the news managing editor for 9 years, is looking to put his experience to work helping businesses Bob Richardson and other organization get their messages out through the media. Simone, who had been in Tucson since October 2009, left his position running Fox-affiliate KMSB 11 and KTTU 18 when Belo turned over the operations of the stations to Raycom Media’s KOLD 13 under a shared services agreement.

Simone’s career in broadcasting spans 35, including 15 as a general manager. Before coming to Tucson he ran stations in Denver, Portland, Ore., and Philadelphia. Meanwhile, Richardson says he’s sticking around Tucson to launch RAR Productions. “Whether it’s working with the news media, crisis management, event production or political messaging, I know I can contribute to helping a good message get heard,� Richardson said. Richardson and I go back decades to when he was a news director and anchor at KVOA 4. (In fact a friend just sent me a link this week to a YouTube video of he and Patty Weiss co-anchoring election coverage in 1980.) Richardson left KVOA to be the news director at a station in Houston. He has also made stops in his career in Albuquerque, Nashville and San Antonio but most of his career has been in Tucson. The website for Richardson’s company is www.rarproductions.com

of playing 10,000 songs in a row that will take it through the end of February as part of its Feb. 3 relaunch of KSZR 97.5-FM from Bob to i97-5-FM playing “all the hits.� Yes, that’s right, no commercials until March 1. What happens in March? Ken Kowalcek, Tucson market manager for Cumulus, says they’re not ready to announce that yet but the “energy and enthusians that revolves around all the hit music� will be at the heart of the station. For a market that in recent years hasn’t had a lot of stations directly competing against one another with music formats — pop standards being the exception — the last four months has seen the biggest operators in Tucson firing salvos. In November, Clear Channel launched My 92.9 KMIY 92.9-FM to go after Journal Broadcast Group’s top-rated adult contemporary music station Mix-FM KMXZ 94.9-FM and now Cumulus with i97-5 is taking direct aim at Clear Channel’s top-rated KRQ 93.7-FM.

i97-5 aims at KRQ

Voices on 92.9

Cumulus Broadcasting is in the midst

GRAPHIC DESIGN employment opportunity

A growing division of Wick Communications has immediate openings for full and part-time Graphic Designers. We finished off 2011 with a bang, and we continue to grow in 2012. Recently we have added two top-notch designers and we are looking for more. The next great designer should have an outstanding portfolio demonstrating advertising design and talents in typography, hierarchy and WOW factor. Wick Communications is a family owned community Newspaper Company with 28 newspapers and 18 specialty publications in 12 states. We offer competitive pay with experience and a comprehensive benefits package including health insurance, dental, vacation and a 401K retirement plan.

WHAT WE ARE LOOKING FOR The qualified candidate will join our team in Tucson and will work in a local office, to design advertising for newspapers and website advertisements. You will also be required to thrive while working on strict deadlines, be punctual and detail-oriented all while working on multiple projects. Two years experience of newspaper or print advertising preferred, in addition, a four year degree in Visual Arts or Visual Communication and Emphasis in graphic design.

If interested please email akurtz@wickdesign.net -A cover letter. -A resume summarizing your qualifications and experience. -A link to your online portfolio /P QIPOF DBMMT QMFBTF t %SVH GSFF XPSLQMBDF &0&

After a little more than two months in its new adult contemporary music format, Clear Channel’s My 92.9 KMIY 92.9-FM this week added DJ voices between the songs, though the voices aren’t usually live and they tend to come from places like Phoenix and Texas. Picking up from its earlier incarnation as the Mountain, the station remains fond of having one-name personalities — Ashton, Christopher, etc. Even Melissa Santa Cruz, who is the one prominent Tucsonan on the station, is using just her first name when she is on the air from 9 a.m. to 2 p.m. weekdays.

The morning show, “Valentine in the Morning,� is syndicated from Los Angeles and hosted by Sean Valentine. At one point he was supposed to be the heir apparent to Rick Dees as the hottest morning radio personality in L.A. but that was until Ryan Seacrest came along.

Details, details Sometimes it’s the details that can trip up a plan and there’ve been a couple of examples of trips amidst the recent flurry of radio station format adjustments. Take the slogan being used by Clear Channel’s new My 92.9 KMIY 92.9-FM. In print, it’s clear what kind of music the station is playing: “80s, Now & Everything in Between.� Unfortunately their medium, radio, depends on how that phrase sounds to the ear. Said aloud, it makes it seem as if they’re trying to say, “we’re playing the 80s now and ...� Precisely. And then, what? For as big a company as Clear Channel is, it appears the slogan is being used only in Tucson so it’s not exactly tested. Who wants to bet they tweak that slogan at some point? The second misstep happened at Cumulus, where the new i97-5 KSZR 97.5-FM had to pick up a new website URL after it was noticed the first one — www. i975hits.com — created a juxatposition that appeared to spell an unfortunate word in some fonts where the “5� looked like an “S� ahead of the word “hits.� Now that website directs to i97-5’s new main website, www.allthehitsi975.com.

Contact David Hatfield at dhatfield@azbiz.com or (520) 295-4237. Inside Tucson Media appears weekly.

NEWS TO YOU!

Business news delivered to you from Inside Tucson Business. Go to InsideTucsonBusiness.com to sign up.

BEST PART – IT’S FREE!

InsideTucsonBusiness.com

FEBRUARY 10, 2012

11

OUT OF THE OFFICE MEALS & ENTERTAINMENT

ARTS & CULTURE

Garage door is now open at Sir Veza’s second restaurant

‘30-40-50’ at Philabaum celebrates the art of glass

crust. In contrast to Sauce’s original thin Ray Flores and the Flores family, of El and crispy crust, the artisan-style crust is Charro Cafés, have opened a second thicker and made with a custom flour location for their casual Sir Veza’s Taco blend that includes whole wheat, highGarage. This one is at Tucson Mall. gluten, rye, oat and flax. The new Sir Veza’s is 6,000 The baguette-style, chewy square-feet, which is larger than crust is available on all 12 of the original, and has a wrapSauce pizzas. Both pizza crusts around patio, 30 beers on draft are made in-house daily. and 27 TVs for entertainment. To celebrate the launch of the The menu, which now new crust, Sauce is having a “For features daily specials, also has the Artisan in All of Us” Pizza several gluten-free items. Two Box Facebook contest. Entrants items that I thoroughly enjoyed are asked to get artsy on the top on a recent visit are the “SiViche of a Sauce Pizza box with a and Dos Huevones” carnitas poem/essay/haiku, photo/ tacos; tomatillo instead of red MICHAEL LURIA collage, or painting/drawing that sauce, pulled pork, fried egg, reflects “Why I Love Sauce Pizza”. roasted poblanos, cilantro and To enter, pick up a pizza box at any Sauce casero cheese. The décor in the new location has clever location. Enter by visiting and “liking” the Sauce Facebook page, and posting a picture touches throughout. The restrooms may of your artistic endeavor. Winners receive have the most unique sink and bathroom two free pizzas a month for one year. All mirror treatment in Tucson. qualifying posts must be on the Sauce Both Sir Veza’s locations offer a daily Facebook page by midnight, Feb. 19. happy hour from 3 to 6 p.m. and starting • Sauce Pizza & Wine — http://foxrc. again at 9 p.m. until closing. Select appetizcom/sauce/index.html — 5285 E. Broaders and draft beer are half-price during the way, (520) 514-1122; 2990 N. Campbell happy hours. Ave., Suite 110, (520) 795-0344; and 7117 N. • Sir Veza’s Taco Garage — www. Oracle Road in Casas Adobes, (520) sirvezas.com — 220 W. Wetmore Road at 297-8575. Tucson Mall, (520) 888-8226, and 4699 E. Speedway (original location), (520) 323-8226 Contact Michael Luria at mjluria@gmail. com. Meals & Entertainment appears weekly in Inside Tucson Business. Sauce Pizza & Wine, the 9 year-old concept from Fox Restaurant Concepts, has introduced a new “artisan-style” pizza

Tucson’s glass art pioneer, the worldfamous Philabaum Gallery, presents a Two other exhibitions of note: show entitled “30-40-50,” in honor of the • “The Current Past” presents work of gallery’s 30th anniversary, 40 years of glass past tenured faculty at the University of art experience by the artists in Arizona, with strong work from the show, and 50th anniversary photographers Judith Golden of the glass art movement in the and Harold Jones and painter United States. Bailey Doogan. It will be up The show will be up through through Feb. 24 in the Joseph April 28 at Philabaum Gallery, Gross Gallery in the UA’s School 711 S. Sixth St. of Art Building, 1031 N. Olive As part of the event, a slide Road at the southeast corner of lecture titled “From the Ground East Speedway and Park Ave. Up” will talk about the early • Paintings by Duncan Martin days of glass process in the art and sculptures by Barbara Jo studio. Led by Henry Halem, HERB STRATFORD McLaughlin will be up through glass artist and professor March 17 at Davis Dominguez emeritus at Kent State UniverGallery, 154 E. Sixth St. sity, the lecture will take place at 1 p.m. March 3 in the Education Center Auditorium of the Tucson Museum of Art, 140 N. UA professor Jennifer Jenkins presents Main Ave. “Celluiod Cowboy: Western Ways Film Details about “30-40-50” are online at Service and the Invention of the Postwar www.PhilabaumGlass.com. Southwest,” in which she will show rare film archived at the Arizona Historical Society as she chronicles the genre that was This is a big weekend for classical music popular in the Southwest and northern fans with two concerts featuring violin Mexico from the late 1930s through the masters. Former child prodigy Midori 1960s. The lecture is free and will take at 7 Goto, better known as Midori, makes her p.m. Feb. 16 at the UA Museum of Art, 1031 Tucson debut performance with the N. Olive Road. Tucson Symphony Orchestra at 8 p.m. Saturday (Feb. 11) in the Tucson Music Hall, 260 S. Church Ave. Contact Herb Stratford at herb@ Then at 6:30 p.m. Sunday, living legend ArtsandCultureGuy.com. Stratford teaches Arts Itzhak Perlman performs as part of the Management at the University of Arizona. He UApresents season at Centennial Hall, appears weekly in Inside Tucson Business. 1020 E. University Blvd. on campus.

Sauce tosses new crust

More art

Film lecture

Music

The Technology Movers

You May Know Us for Phone Systems and Data Services

We Also Provide Video Surveillance Solutions for Businesses Call us today for a quote!

www.copper-state.com

Serving the Entire State of Arizona CORPORATE HEADQUARTERS • TUCSON 1919 S. Country Club Rd. Tucson AZ 85713 | P 520.795.1877 | F 520.795.6064

PHOENIX 2820 N 36th Ave Phoenix AZ 85009 P 602.272.2800 | F 602.272.2828

FLAGSTAFF 1155 W. Kaibab Ln Flagstaff AZ 86001 P 928.774.8733 | F 928.773.7501

12 FEBRUARY 10, 2012

INSIDE TUCSON BUSINESS

Your Hometown Home Page Just Got Wheels! has partnered with Powered by the Internet’s leading automotive marketplace, you can now search millions of new and pre-owned vehicles to find the right one for you. So fire up your search engines and get started today at:

insidetucsonbusiness.com/autos/ • Research & compare features & prices • Calculate payments • Get finance, insurance & warranty info • Find great deals from local AutoTrader.com dealerships

Do all this & more from one convenient starting point:

insidetucsonbusiness.com/autos/ Your Hometown Home Page

Nominate 2012 Inside Tucson Business

UP&

COMERS

MAKING A MARK Now is the time to recognize young professionals who are on their way to greatness in the Tucson region. They are leaders in their 20s, 30s or early 40s who are making a difference for the better in their careers and their community. Go to: www.InsideTucsonBusiness.com and click on the Up & Comers icon. Nominate yourself or someone you know today.

28767$1',1* 5(68/76 JVTL MYVT

*5($7

&5($7,9(

*22' 7+,1.,1* ^OPJO JVTLZ MYVT

^OPJO JVTLZ MYVT

The deadline is Feb. 22, 2012. Honorees announced in a special section in the April 13 issue of Inside Tucson Business.

THYRL[PUN HK]LY[PZPUN WY ^LI c SWNPUJ JVT

InsideTucsonBusiness.com

FEBRUARY 10, 2012

13

CAPITOL

Democratic lawmakers offer bills addressing foreclosure crisis PHOENIX — Allowing owners of foreclosed homes to remain as renters for at least a year would stabilize neighborhoods and minimize the fallout for families, says a state lawmaker who is sponsoring a bill that would grant homeowners on the brink of foreclosure the right to rent the houses they can no longer afford to own. The bill (HB 2326) by Rep. Anna Tovar, D-Tolleson, is among several that Democratic lawmakers say would help address the state’s lingering foreclosure crisis. “When you foreclose on a home you have to uproot your children and move to a different community,” said Tovar, the House minority whip. “So being able to stay in the same home that you once owned now as a renter would keep the family a part of their community. That way the home is filled, not vacant and being broken into, and those are some really good effects.” Her bill was assigned to the House Commerce Committee, followed by the House Judiciary Committee, but has yet to be scheduled for a hearing. The bill would prevent the beneficiary of a potential foreclosure sale from selling a property for at least one year, provided the homeowner pays monthly rent. Beneficiaries would be required to notify homeowners of this option. Under the measure justice courts would determine the fair market rent of properties. “Foreclosure is a huge issue in my district and statewide,” Tovar said. “The lack of laws here at the state Legislature to help out foreclosure victims is really sad.” Jeffrey Kastner, managing attorney of housing and government benefits for Community Legal Services, which serves lowincome people facing foreclosure, said the option to rent provide benefits for all concerned. “People would be paying taxes and not dislocating their families,” Kastner said. “I think it’s a fabulous idea for HOAs because the property is kept up and people are paying their dues.” A bill authored by Rep. Debbie McCune Davis, D-Phoenix, would, among other things, require loan-servicing companies to do more to communicate clearly with borrowers facing foreclosure, educate them about their options, offer loan modifications when possible and proceed with foreclosures only after determining that borrowers can’t qualify for loan modifications. “It may not change the outcome, but it will give people information in a timely manner,” McCune Davis said. Rep. Daniel Patterson, D-Tucson, who signed on to the bill as a primary sponsor, said state government needs to do more for distressed homeowners. “There aren’t enough options for people

to stay in their homes and prevent neighborhoods from going into decline,” he said. “This is our attempt to provide more tools for working families to stay in their homes and work out fair terms for their mortgages instead of letting big banks dictate the quality of life.” Chris Groninger, policy and outreach manager at the Arizona Foundation for Legal Services and Education, said that foreclosures often stem from a lack of knowledge. “During the foreclosure process, people are overwhelmed with the amount of paperwork. Sometimes they don’t understand that they have rights,” Groninger said. “Having a professional tell you that you can do something to prevent or navigate the situation is empowering.” McCune Davis’ bill was assigned to the House Banking and Insurance Committee, followed by the Commerce Committee. It has yet to be scheduled for a hearing. Among other measures, none of which had been scheduled for committee hearings: • Patterson is sponsoring a bill (HB 2301) that would allow municipalities to require beneficiaries of foreclosure sales to remove

State Rep. Anna Tovar, D-Tolleson

Emily Johnson, Cronkite News Service

By Devin McIntyre Cronkite News Service

rubbish, weeds and potential public safety hazards on properties. • Another Patterson bill (HB 2300) would allow homeowners facing foreclosure to submit an affidavit requesting a 60-day postponement during which the homeowner may attempt to negotiate a revised pay-

ment or loan modification. • A bill (HB 2618) by Rep. Katie Hobbs, D-Phoenix, would allow tenants or subtenants to continue renting properties up for foreclosure auction for the remainder of the lease period or 90 days, whichever is longer.

WE ALWAYS

DELIVER!

Tucson & Phoenix Same Day Delivery 2Q 'HPDQG &RXULHU 6HUYLFH /LYH 'LVSDWFKHU 2QOLQH 2UGHULQJ 7UDFNLQJ :DUHKRXVLQJ 'LVWULEXWLRQ /RFDOO\ 2ZQHG 2SHUDWHG

(520) 408-7200 – xceldelivery.com 3770 S. Broadmont at Ajo Way – Tucson, Arizona

14 FEBRUARY 10, 2012

INSIDE TUCSON BUSINESS

NEWS TOURISM IN TUCSON

Is the gem show leaving Tucson? We get that question a lot. The short answer is “which one?” Here is the longer answer. With consistently more than 40 shows across the metro Tucson region, 40 percent of them are locally owned and/or operated. So the notion of the entire Gem, Mineral & Fossil Showcase uprooting and leaving en masse would be a tad ambitious, to say the least. After all, it’s the largest event of its kind in the world. Are there shows that leave Tucson? Sure; one or two a year as natural attrition. Shows consolidate or go out of business. Other shows follow a business model of routinely holding events in other cities like Las Vegas, Phoenix and Denver, at other times of the year, then have a show in JANE ROXBURY Tucson. As part of this year’s events, there is a new show conducting Tucson site inspections with an eye toward 2013. Another is scouting a second location in the hopes of adding to their offerings. The Gem, Mineral & Fossil Showcase is also the event with the largest annual economic impact on Tucson. The last study, conducted by the Metropolitan Tucson Convention and Visitors Bureau (MTCVB) in 2007, reflected an economic impact of $100 million, with 55,000 visitors. This year, show expansion is the theme, with select owners and promoters reporting increases in the number of vendors and

hotel rooms reserved. In some cases the increases have been as much as 8 percent. You can’t cast a wide enough net around the swath of businesses that benefit each year from this cornerstone, signature event. Consider one family here to do some buying for their shop. Within the first 36 hours of arrival, they rented a golf villa at Starr Pass, visited to the Arizona-Sonora Desert Museum, shopped at a grocery store, and one of them had to pay a visit to an oral surgeon. The Gem, Mineral & Fossil Showcase stems from humble beginnings. The one that started it all, the Tucson Gem & Mineral Show, launched itself at a local middle school in the 1950s. Now, it routinely sells out its vendor space in the Tucson Convention Center (with a wait list) and still upholds its original mission of sharing and educating. The Tucson Gem & Mineral Show along with 80 percent of the other shows around the region are open to the public. The number of annual February shows dramatically increased in the 1980s about the time the MTCVB came along. We are proud to include the gem shows among the hundreds of clients we serve annually with the following initiatives: • Facilitates the production of 40,000 Gem Guides that are distributed, free, at all the shows and various business throughout metro Tucson. • Maintains a dedicated page on VisitTucson.org with general information about the overall showcase, frequently asked questions, transportation information and show listings. • As part of our ongoing marketing

Steve Reniz photos

Separating fact from rumor about the annual gem show

efforts and Gem Show Welcome program, we have enabled quick response (QR) codes for visitors accessing information via mobile devices. They are featured in ads, on banners and on various pieces of Gem Show collateral materials. • Continue to maintain a user-friendly, mobile site with interactive features that gem show visitors can access on the go. http://gemshow.visittucson.org • Respond to inquiries in real time and post timely updates, visitor comments and general news regarding gem show on Twitter (http://twitter.com/visittucsonaz) and Facebook (http://facebook.com/ visittucson) We’ve been doing all of the above annually. Our new initiatives this year, include: • A callout box in the MTCVB Gem Guide box to specifically highlight downtown shows. • Coordinating efforts with the City of Tucson to further promote the existing MTCVB Gem Show resources. • An expanded Gem Show Welcome Program with more than 200 local businesses. The program offers business owners an opportunity to provide coupons or special offers to Gem Show visitors. • Launch of the “Real Gems” Web pages

— http://visittucson.org/visitor/events/ gemshow/realgems — dedicated to positioning Tucson as a year-round gem, mineral and fossil destination. Listings include gem show venues open throughout the year, jewelers with open studios or hours by appointment, museum displays, trunk shows and more. • Tucson Gem and Mineral Show, a.k.a. “The show that started it all,” has been designated an official Arizona Centennial Event. Gov. Jan Brewer recognized it at a ceremony Thursday (Feb. 9). There is a lot of work that goes into planning and executing an event of this scale. The MTCVB works diligently and continuously with show owners, vendors, local organizations, government entities and others to make sure the Tucson Gem, Mineral & Fossil Showcase remains among the best and largest shows of its kind in the world. You can see it for yourself, online at http://visittucson.org/gemshow

Contact Jane Roxbury, director of Convention Services at the Metropolitan Tucson Convention and Visitors Bureau at at jroxbury@visittucson.org . This monthly column is prepared by the MTCVB.

InsideTucsonBusiness.com

FEBRUARY 10, 2012

15

PEOPLE IN ACTION APPOINTMENTS The Carondelet Foundation Board of Trustees has added three new members: James K. Beckmann, William D. Pike and Paul S. Sypherd, Ph.D. Beckmann was appointed president and CEO of Carondelet Health Network in December after serving in an interim capacity since October 2011. Beckmann comes to Carondelet after eight years with Ascension Health in St. Louis, Missouri. Pike served as Carondelet Health Network’s director of public policy and

community affairs from 2004 to 2009. Sypherd is an emeritus professor of molecular and cellular biology at the University of Arizona and former UA provost. Sypherd, who also served as interim president of the UA in 1997, is internationally recognized for his research in microbiology. NEW HIRE Julie E. Downer, CTFA, has been hired as a trust officer with Mission Management & Trust Co. She will work in probate, personal trust, conservatorship,

and has served as project manager and engineer on 150 projects throughout the state. Tafwachi received a bachelor of science degree in geological engineering from the University of Arizona. WILLIAN D. PIKE

investment management and custody accounts. Downer is a fiduciary specialist with more than 25 years experience. She is a member of the American Cancer Society’s Distinguished Board of Ambassadors and the United Way

JULIE E. DOWNER

TAFWACHI CHAMUNDA

{TELL US ONLINE} Now your business can tell Inside Tucson Business about new hires, promotions and special awards online. Go to www.insidetucsonbusiness.com and click the “People in Action” button. From there you can submit your announcement and we’ll publish it online and in print.

Community Support Campaign Leaders Team. Tafwachi Chamunda, P.E., has recently transferred to Ninyo & Moore’s Tucson office. Chamunda started with Ninyo & Moore in Phoenix in August 2002

John Leipsic, MD, has joined the Department of Psychiatry at the University of Arizona College of Medicine – Tucson as an assistant professor of child and adolescent psychiatry. He has been appointed the new director of the pediatric psychiatry consultation and liaison service at The University of

Arizona Medical Center – Diamond Children’s. Leipsic also is on staff at the Crisis Response Center’s child and adolescent crisis evaluation and stabilization unit at The University of Arizona Medical Center – South Campus. Leipsic earned a bachelor’s degree in neurobiology from the University of California, Berkeley. He completed medical school at the Medical College of Virginia and his internship at Tufts University.

16 FEBRUARY 10, 2012

INSIDE TUCSON BUSINESS

BRIEFS GET ON THE LIST Next up: Commercial photographers, Video and film production companies Now that the 2012 Book of Lists has been published, we’re collecting data for the 2013 edition. Upcoming categories that will be published in the weekly issue of Inside Tucson Business are: • Feb. 17: Manufacturing firms • Feb. 24: Commercial photographers,

Video and film production companies • March 2: Wedding planners, Convention and meeting facilities, Caterers • March 9: Acute-care hospitals, Rehabilitation centers, Nursing care centers and Home healthcare agencies • March 16: Environmental resources, Recycling firms, Janitorial services, Pest control companies If your company fits one of these categories, now is the time to update your profile. Go to www.InsideTucsonBusiness. com and click the Book of Lists tab. New and unlisted businesses can create a pro-

$ 7XFVRQ &ODVVLF

file by following the directions. The Book of Lists is a year-round reference for thousands of businesses and individuals. To advertise your business, call (520) 294-1200.

10 a.m. to 5 p.m. weekdays. Ticket prices range from $6 for lawn seats and $10 in the bleachers up to $20 each for field box seats and $500 for suites seating up to 20 people.

AZ lawmakers consider film incentives, again

ENTERTAINMENT/SPORTS

MLB Spring Training is back, for two games Major League Baseball will have two Spring Training games in Tucson next month — the San Diego Padres will host the Colorado Rockies on March 18 and the Chicago White Sox will play the Los Angeles Dodgers on March 23. Both games will be at 1:05 p.m. at Kino Stadium, 2500 E. Ajo Way. The Tucson Padres staff will oversee both games and the White Sox and Dodgers, along with Pima County and the Pima County Sports & Tourism Authority, have committed the proceeds for their game to the Christina-Taylor Green Memorial Foundation, the 9 year-old who was among six people killed by a gunman Jan. 8, 2011. Her father, John Green, is a scout for the Dodgers. Tickets for both games are on sale now online — www.tucsonpadres.com — and starting March 6 will also be available by phone at (520) 434-1367 and the Kino Stadium box office, which will be open from

State lawmakers have introduced a new film incentive bill aimed to attract television production studios to film in Arizona. The “Multimedia Production Incentives� bill (SB 1170) has been introduced at the Arizona Legislature and is designed to attract TV series which spend nine months a year on location. Supporters say it would attract hundreds of high wage jobs to Arizona within months of its implementation. The bill also includes incentives for major motion picture, independent and commercial advertising production. Sen. John Nelson, R-Litchfield Park, introduced the bill.

BIOSCIENCES

Sanofi helps Scouts get chemistry merit badges A group of about 30 Scouts in the Catalina Council of the Boy Scouts of America have become the first in the country to complete the requirements for a merit

WE’RE

STRONGER WHEN WE WORK

TOGETHER Strengthening the foundation of our community is our cause.

‡ JXHVW URRPV VXLWHV ‡ UHVWDXUDQW EDU ZLWK SDWLR ‡ HYHQW VSDFHV IRU XS WR 6SHFLDO UDWHV IURP SOXV )5(( EUHDNIDVW DQG '28%/( 6WDVK +RWHO 5HZDUGV SRLQWV )RU D OLPLWHG WLPH 3URPR &RGH 7$

RQ $OYHUQRQ MXVW QRUWK RI %URDGZD\

/RGJH2Q7KH'HVHUW FRP

Through the YMCA’s Strong Kids Campaign, people from all across our community come together to make our community stronger. Your donation provides much needed financial assistance and valuable program support, ensuring the Y is available to those who need us most. At the Y, we strive not to

turn a child away based on their inability to pay. MAKE YOUR GIFT TODAY! When you give to the Y, your gift has a meaningful, enduring impact right here in Tucson.

To donate online please go to: TucsonYMCA.org/giving

YMT 12-234

BECAUSE

WE NEED

EACH OTHER Strong Kids Campaign YMCA OF SOUTHERN ARIZONA

InsideTucsonBusiness.com

FEBRUARY 10, 2012

17

BRIEFS badge in chemistry through an event hosted by the Sanofi U.S. Research Center in Oro Valley. The event, which was held Jan. 21, gave the Scouts a chance to interact with healthcare industry chemists, under whose guidance they can participate in activities geared toward badge completion. The Chemistry Merit Badge program, developed jointly by the Catalina Council and Sanofi U.S., provides the Scouts, who are between the ages of 11 and 16, the opportunity to rotate through five stations focused on chemistry in the Sanofi labs.

FINANCIAL

BBVA Compass rolls out new website BBVA Compass this week launched a new visually enhanced and streamlined website it says offers customers clear direction on the products and financial solutions best suited to them. Using rollover navigation, the site simplifies the process of finding a product, while a home page sign-in for online banking gives customers direct access to their personal accounts. Later this year, BBVA Compass is planning to replace the bank’s core banking platform, an undertaking that began last year. BBVA Compass has 15 bank locations in the Tucson region plus one in Green Valley.

LEGAL

Tucsonan gets 5 years for tax-return scheme A U.S. District Court judge in Phoenix has sentenced a Tucson man to five years in prison for his role in a tax-fraud scheme. Shelton DeWayne Tanner, 40, pleaded guilty to conspiracy to commit the crimes of false claims, wire fraud and aggravated identity theft. Federal prosecutors said Tanner was involved in a scheme that relied on stolen identities of disabled individuals to file false tax returns. Tanner and others filed more than $1 million in false returns and collected more than $300,000 in refunds. He and his associates took several sophisticated steps to conceal their misconduct, including filing the tax returns electronically using their neighbors’ unsecured wireless networks, directing the refunds to prepaid debit card accounts they had obtained under false identities, and recruiting friends and associates to receive the prepaid debit cards by mail at various addresses. As a result of the false income reported on the fraudulent tax returns a number of the victims’ Social Security Administration (SSA) disability payments were temporarily affected.

U.S. Customs agent pleads guilty in documents case A U.S. Immigration and Customs Enforcement special agent has pleaded guilty in federal court on charges of illegally disseminating classified government documents. Jovana Deas, 33, of Rio Rico, was accused of passing information to her former brother-in-law, who federal authorities said has connections with Mexican drug trafficking organizations. Deas admitted that she illegally accessed, stole and transferred sensitive U.S. government documents to unauthorized individuals, and that she obstructed federal investigations. The guilty plea included seven felony violations, each punishable by up to five years in prison, and fourteen misdemeanors, each punishable by up to one year in prison. The indictment also charged Deas’ sister, Dana Maria Samaniego Montes, 40, of Agua Prieta, Mexico, with violations of federal law. Samaniego Montes is a fugitive believed to be residing in Mexico. She is a former Mexican law enforcement official with alleged ties to drug trafficking organizations.

NONPROFITS

ABA accepting apps from charities in need The Arizona Builders’ Alliance (ABA) has begun to accept submissions from local charities that are in need of facility renovations in 2012. The ABA selects a needy charity each year that requires facility renovation and repair to service the community. The 2012 Volunteer Day will be the event’s 18th consecutive year. The deadline for requests is Friday (Feb. 17.) House of Neighborly Service (HNS) was the recipient of last year’s donation. The renovation project included more than 200 volunteers from more than 70 ABA member companies who donated more than $125,000 in material and labor to repair and upgrade HNS facilities. Former recipients include Compass Behavioral Health, The Haven, New Beginnings for Women and Children, Las Familias, House of Neighborly Service, Tucson Center for Women, Travelers Aid, Brewster Center, Gospel Rescue Mission, Arizona Children’s Home and Marshall Home for Men. An application for assistance can be found on the ABA’s website at www.azbuilders.org. Contact Tom Dunn at (520) 881-7930 or TDunn@azbuilders.org with any questions regarding prospective projects. Eligible charities must be registered 501(c) (3) organization in the Tucson area, own their own building and preferably provide services to underprivileged children, needy families or the elderly.

'21¡7 /(7 *29(510(17 5(029( 38%/,& 127,&(6 )520 7+( '$,/< 7(55,725,$/ $1' 27+(5 $5,=21$ 1(:63$3(56 +% ZLOO EH KHDUG LQ WKH +RXVH 7HFKQRORJ\ ,QIUDVWUXFWXUH &RPPLWWHH

7KXUVGD\ )HEUXDU\ D P 3XEOLF 1RWLFHV QHHG WR EH SXEOLF &RQWDFW \RXU ODZPDNHUV WRGD\ DQG YRLFH \RXU RSLQLRQ +286( 7(&+12/2*< ,1)5$6758&785( &200,77(( 'DYLG 6WHYHQV &KP 5 'LVW GVWHYHQV#D]OHJ JRY -XVWLQ 3LHUFH 5 'LVW MSLHUFH#D]OHJ JRY -HII 'LDO 5 'LVW MGLDO#D]OHJ JRY 7HUUL 3URXG 5 'LVW WSURXG#D]OHJ JRY &DUO 6HHO 5 'LVW FVHHO#D]OHJ JRY 6DOO\ $QQ *RQ]DOHV ' 'LVW VJRQ]DOHV#D]OHJ JRY %UXFH :KHHOHU ' 'LVW EZKHHOHU#D]OHJ JRY

D VHUYLFH RI WKH $UL]RQD 1HZVSDSHUV $VVRFLDWLRQ DQG \RXU ORFDO QHZVSDSHU ZZZ DQDQHZV FRP

18 FEBRUARY 10, 2012

INSIDE TUCSON BUSINESS

FINANCE YOUR MONEY

A dynasty trust can be one way to manage estate taxes Managing estate taxes can be a significant challenge for affluent families and individuals. But careful planning can help to reduce estate taxes and maximize assets transferred to heirs. In the absence of an adequate plan, heirloom property or a family business that involved a lifetime of hard work may have to be sold to satisfy tax obligations. Fortunately, there are several unique planning mechanisms that W. DAVID FAY can help individuals maintain wealth for generations to come. One such tool is the dynasty trust.

Gaining perspective A dynasty trust, also known as a family bank or family trust, is a form of trust that can help reduce estate taxes and also provide control over how trust assets are distributed to future generations. With a dynasty trust, you control who the money goes to and in what amounts over an unlimited amount of time, without limitation by the rule against perpetuity. The rule against perpetuity dates back to English law and states that an irrevocable trust may not last longer than the life of the living beneficiaries at the time the trust is created, plus 21 years. The application of the rule against perpetuity varies from state to state, which underscores the need for qualified legal and tax professionals with expertise in estate planning when contemplating a dynasty trust. A dynasty trust may be established by combining a trust with a limited liability company (LLC) or a family limited

partnership. You and your family then transfer cash or other assets to the trust, either all at once or annually. Funding the trust may trigger gift taxes. However, gifts that are properly structured may also receive a discount for transfer tax purposes. The trust agreement will specify the trust’s beneficiaries, the conditions under which they receive income and/or principal, provisions for loan arrangements to beneficiaries, the term of the trust, and the distribution of trust assets at termination.

Stretching out benefits Creating your own “family bank” can be a tax-cost effective way to leave a substantial legacy for many generations to come. It allows you to designate how much, when, and under what circumstances your heirs will receive income, principal, or both. It can also ease worries of a future heir squandering an inherited lump sum. You can establish specific conditions that beneficiaries must meet in order to receive funds, and you may also include incentive programs that reward the achievements of heirs. A dynasty trust can be a powerful estate planning mechanism for efficiently transferring wealth to future generations. However, keep in mind that like all estate planning matters, dynasty trusts are complex and require qualified legal and tax counsel to draft and execute. Contact W. David Fay, second vice president of wealth management and financial advisor with Morgan Stanley Smith Barney, 5255 E. Williams Circle, at David.Fay@morganstanleysmithbarney. com or (502) 745-7069. Morgan Stanley Smith Barney and its affiliates do not provide tax or legal advice.

W FOLLO ADER E L E H T

Twitter

http://twitter.com/#!/azbiz

TUCSON STOCK EXCHANGE Stock market quotations of some publicly traded companies doing business in Southern Arizona

Company Name

Symbol

Feb. 8

Feb. 2 Change

52-Week 52-Week Low High

Tucson companies Applied Energetics Inc CDEX Inc Providence Service Corp UniSource Energy Corp (Tucson Electric Power)

AERG.OB CEXI.OB PRSC UNS

0.06 0.05 15.24 38.05

0.07 0.05 15.10 37.70

-0.01 0.00 0.14 0.35

0.04 0.02 8.35 32.96

0.97 0.10 16.59 39.25

10.66 0.64 3.44 8.13 58.74 9.72 7.80 79.60 25.43 53.39 4.81 18.08 34.23 27.21 19.90 31.36 13.06 84.25 37.78 43.59 10.99 49.35 65.17 14.51 46.51 27.18 45.15 59.89 192.84 30.88 57.50 5.25 38.24 33.43 10.94 50.14 23.65 1.12 23.37 26.96 38.45 55.51 35.85 36.23 27.60 44.18 60.47 42.32 8.68 49.79 44.53 21.90 37.18 48.67 13.32 9.63 42.67 29.44 52.54 17.24 33.85 38.11 23.88 114.36 52.91 9.11 29.59 61.58 33.12 30.58 8.33 18.55

10.20 0.59 3.47 7.36 58.82 8.95 7.75 78.66 24.18 53.29 4.72 19.00 31.60 26.85 18.88 27.19 13.39 83.22 37.51 42.65 10.90 43.89 64.43 14.09 46.16 27.20 44.47 58.94 192.62 30.85 57.88 5.30 37.60 32.37 9.70 45.56 23.83 1.34 21.83 26.88 37.85 54.64 33.99 35.13 25.37 42.15 59.25 41.32 7.83 48.74 41.92 21.86 36.87 41.95 13.19 9.74 42.41 28.20 51.42 17.54 32.86 37.69 23.21 114.84 53.00 8.90 28.56 62.18 33.22 29.89 8.14 17.02

0.46 0.05 -0.03 0.77 -0.08 0.77 0.05 0.94 1.25 0.10 0.09 -0.92 2.63 0.36 1.02 4.17 -0.33 1.03 0.27 0.94 0.09 5.46 0.74 0.42 0.35 -0.02 0.68 0.95 0.22 0.03 -0.38 -0.05 0.64 1.06 1.24 4.58 -0.18 -0.22 1.54 0.08 0.60 0.87 1.86 1.10 2.23 2.03 1.22 1.00 0.85 1.05 2.61 0.04 0.31 6.72 0.13 -0.11 0.26 1.24 1.12 -0.30 0.99 0.42 0.67 -0.48 -0.09 0.21 1.03 -0.60 -0.10 0.69 0.19 1.53

8.45 0.20 2.65 4.92 51.83 7.02 4.36 65.35 21.79 43.77 3.30 12.30 21.40 19.19 14.61 22.80 8.49 69.54 31.16 31.30 6.41 37.87 43.64 8.03 28.85 16.92 28.13 41.22 151.71 24.53 39.87 2.69 27.85 25.73 5.02 42.14 21.14 0.49 12.14 18.07 32.90 38.64 22.50 25.49 13.68 33.20 49.20 23.44 3.29 38.35 34.02 15.93 30.98 51.14 10.47 7.15 32.12 20.96 45.28 14.10 24.34 27.62 15.92 77.73 37.08 4.53 20.10 48.31 30.34 22.58 4.44 13.18

18.47 7.60 6.29 14.95 66.64 13.01 9.27 87.65 34.39 59.59 7.29 29.88 49.60 27.18 42.50 53.11 15.00 88.68 45.34 43.98 12.13 61.08 70.15 14.79 58.75 29.68 45.58 62.28 194.90 35.79 58.90 6.18 48.36 38.40 15.30 57.39 25.85 3.47 23.47 27.57 44.46 56.50 36.37 42.78 28.66 54.90 72.50 42.55 8.53 53.12 45.65 25.43 40.75 94.79 17.28 12.88 43.22 31.89 56.00 23.46 36.71 38.62 27.72 117.40 58.29 10.35 29.58 62.63 47.11 34.19 8.51 25.60

Southern Arizona presence Alcoa Inc (Huck Fasteners) AA AMR Corp (American Airlines) AMR Augusta Resource Corp (Rosemont Mine) AZC Bank Of America Corp BAC Bank of Montreal (M&I Bank) BMO BBVA Compass BBV Belo Corp (KMSB 11, KTTU 18) BLC Berkshire Hathaway (Geico, Long Cos) BRK-B* Best Buy Co Inc BBY BOK Financial Corp (Bank of Arizona) BOKF Bombardier Inc* (Bombardier Aerospace) BBDB CB Richard Ellis Group CBG Citigroup Inc C Comcast Corp CMCSA Community Health Sys (Northwest Med Cntrs) CYH Computer Sciences Corp CSC Convergys Corp CVG Costco Wholesale Corp COST CenturyLink (Qwest Communications) CTL Cvs/Caremark (CVS pharmacy) CVS Delta Air Lines DAL Dillard Department Stores DDS Dover Corp (Sargent Controls & Aerospace) DOV DR Horton Inc DHI Freeport-McMoRan (Phelps Dodge) FCX Granite Construction Inc GVA Home Depot Inc HD Honeywell Intl Inc HON IBM IBM Iron Mountain IRM Intuit Inc INTU Journal Communications (KGUN 9, KMXZ) JRN JP Morgan Chase & Co JPM Kaman Corp (Electro-Optics Develpmnt Cntr) KAMN KB Home KBH Kohls Corp KSS Kroger Co (Fry's Food Stores) KR Lee Enterprises (Arizona Daily Star) LEE Lennar Corporation LEN Lowe's Cos (Lowe's Home Improvement) LOW Loews Corp (Ventana Canyon Resort) L Macerich Co (Westcor, La Encantada) MAC Macy's Inc M Marriott Intl Inc MAR Meritage Homes Corp MTH Northern Trust Corp NTRS Northrop Grumman Corp NOC Penney, J.C. JCP Pulte Homes Inc (Pulte, Del Webb) PHM Raytheon Co (Raytheon Missile Systems) RTN Roche Holdings AG (Ventana Medical Systems) RHHBY Safeway Inc SWY Sanofi-Aventis SA SNY Sears Holdings (Sears, Kmart, Customer Care) SHLD SkyWest Inc SKYW Southwest Airlines Co LUV Southwest Gas Corp SWX Stantec Inc STN Target Corp TGT TeleTech Holdings Inc TTEC Texas Instruments Inc TXN Time Warner Inc (AOL) TWX Ual Corp (United Airlines) UAUA Union Pacific Corp UNP Apollo Group Inc (University of Phoenix) APOL US Airways Group Inc LCC US Bancorp (US Bank) USB Wal-Mart Stores Inc (Wal-Mart, Sam's Club) WMT Walgreen Co WAG Wells Fargo & Co WFC Western Alliance Bancorp (Alliance Bank) WAL Zions Bancorp (National Bank of Arizona) ZION Data Source: Dow Jones Market Watch *Quotes in U.S. dollars, except Bombardier is Canadian dollars.

InsideTucsonBusiness.com

FEBRUARY 10, 2012

19

INSIDE REAL ESTATE & CONSTRUCTION

Economist’s straight talk is sobering insight A trustees’ notice is the first step in the foreclosure process. It notifies owners that their property is in default and scheduled to be sold at public auction.

By Roger Yohem Inside Tucson Business

Sales and leases

Otis Blank photos

What started as an optimistic overview of the economy turned cloudy once the dark realities about global recessions, government debt, taxes and jobs were discussed. Yes, America’s and Tucson’s economy is slowly making progress. But two years into the recovery, “there is still a lot of uncertainty. It’s probably going to take 10 years to fully recover all the losses from the recession,” said Wells Fargo Senior Economist Mark Vitner. Vitner, a popular source for the New York Times and Wall Street Journal, shared his fiscal forecast as the keynote speaker at the Pima County Real Estate Research Council Feb. 2. Financial concerns span the globe, from Washington’s politics to the Euro-debt crisis. Although Italy may be a world away, what happens in Italy won’t stay in Italy. Economic events there will trickle down and affect Tucson’s regional economy. “It’s hard to see a solution coming out of Europe. The truth is, they are not one inch closer to solving their financial crisis today than they were in 2009, when this first came about,” said Vitner, who is based in Charlotte, N.C. Barring a total collapse of European banks, the consensus is that the crisis overseas will cut two-tenths of one percent off domestic economic growth this year. Vitner felt that estimate was a bit low, but overall, the euro crisis will not throw America back into recession. “The big risk is Italy. It is one of the largest economies in the world. They have the third-largest amount of public debt of any country,” he said. If Italy defaults, he characterized the financial damage as being “the magnitude of 1,000 Lehman Brothers.” Back in the U.S., the major concerns are government debt and taxes. Specifically, the pending expiration of various tax cuts, runaway deficit spending, and the hidden costs of health care reform. “People don’t realize how much taxes are slated to go up Jan. 1, 2013. We hear about it being the largest tax increase in

Mark Vittner, Wells Fargo’s senior economist, said Americans face “the largest tax increase in the history of the world” on Jan. 1, 2013.

history, but it’s the largest tax increase in the history of the world. This is the law of the land unless something dramatically changes in Congress,” he said. Vitner also laid out the cold reality about jobs. Since March 2010, about 77 percent of employment growth has been in four areas: retail, leisure and hospitality, temporary staffing, and home health care. “This is what you won’t hear; these are poor-quality jobs. On average, they pay about 50 cents over minimum wage. Income growth is lagging,” he said. He also cast some cloudy data over the housing industry. Although recent signs have been promising, it won’t take long for builders “to sober up. No, this is not the start of the next great housing boom.” The uptick is mostly from national home builders “who have a name to protect, a lot of assets like infrastructure, who have to stay in existence until housing turns around. They are largely building in partially completed subdivisions,” he said, “and not many.” Plus, Fannie Mae and Freddie Mac plan to dump 100,000 distressed homes from their books. The process to sell to investors started this week. In Vitner’s view, this is a positive move because it will help real estate agents and analysts see exactly what is in the shadow inventory. A “normal” housing market is

WEEKLY MORTGAGE RATES Program 30 YEAR 15 YEAR 5/1 ARM

Current

Last Week

2/7/2012

years away, which will be the time when the excesses in inventory, foreclosures and apartment vacancies are gone. Due to the uncertainty of a presidential election, history shows that economic activity will begin to slow around Labor Day. From that point forward, Vitner chided any forecaster willing to make steadfast predictions. Voters will have a clear choice between fundamentally different candidates, and the winning political party will wield its influence. “On top of this tough economic environment, we have a presidential election. That’s why 2013 is a bit of an economic mystery,” he said.

Home foreclosures In January, the number of residential foreclosure notices were both up and down. Compared with December 2011, trustee’s sales notices were 69 higher. Looking back 12 months, the positive news was that notices declined from 975 in January 2011 to 705 last month. Actual foreclosure sales, however, fell in both categories, according to the Pima County Recorder’s Office. In December, 508 homes were bought out of foreclosure. January 2011 was even higher at 599. Last month there were 468 sales.

THE PULSE:

One 12 Month 12 Month Year Ago High Low

4.00% 4.25%APR 3.88% 4.125%APR 6.18% 3.38% 3.625%APR 3.25% 3.56% APR 5.94% 2.88% 3.25%APR 2.88% 3.25% APR

6.88% 6.75%

The above rates have a 1% origination fee and 0 discount . FNMA/FHLMC maximum conforming loan amount is $417,000 Conventional Jumbo loans are loans above $417,000 Information provided by Randy Hotchkiss Peoples Mortgage Company, 3131 N. Country Club Suite-107 Tucson, AZ 85716. (520) 327-7600. MB #0115327. Rates are subject to change without notice based upon market conditions.

3.88% 3.25%

Median Price Active Listings New Listings Pending Sales Homes Closed

TUCSON REAL ESTATE

1/30/2012

1/23/2012

$130,000 5,551 421 471 233

$125,000 5,537 395 438 217

Source: Long Realty Research Center

• SBC Archway LLC purchased 2.47 acres at 4475 S. Coach Drive, Lot 12, for $660,000 from Wick Communications, represented by Russ Hall, Picor Commercial Real Estate Services. Nick Miner, Commercial Properties Inc., represented the buyer. • Wesco Distribution Inc. leased 18,424 square feet at 1150 S. Plumer Ave. from Antonio, Francisco and Josefa Gonzalez, represented by Paul Hooker, Picor Commercial Real Estate Services. Bill Honsaker, Jones Lang LaSalle, represented the tenant. • Huddleston Trucking Service leased 13,000 square feet at 2810 E. Airport Drive from Aergo-Tuc LLC, represented by Pat Welchert, Picor. Ron Zimmerman, Grubb & Ellis, represented the tenant. • Omni Workspace Company LLC leased 9,265 square feet at 4585 S. Coach Drive, Suite 105 from JVK Holdings & Borges Investment Holdings LLC. Rob Glaser, Picor, handled the transaction. • Meridian Engineering Company leased 8,471 square feet at 3845 and 3855 N. Business Center Drive from NTBC Trust Partners LLC. Rob Glaser and Paul Hooker of Picor handled the transaction. • Surety Acceptance leased 3,672 square feet at 4400 E. Broadway, Suite 114, from 4400 Tower LLC, represented by Michael Gross, Tucson Realty & Trust. • Brock Design leased 3,744 square feet at 3690 S. Park Ave. from Gateway Industrial Park LLC. Jesse Blum and Ron Zimmerman, Grubb & Ellis, handled the transaction. • Pan Pacific Petroleum leased 3,100 square feet and 1.65 acres at 4203 E. Tennessee St. from GRIT LP. Dave Gallaher, Tucson Industrial Realty, handled the transaction. • Consultants in Gastroenterology leased a 2,490-square-foot medical building at 5190 E. Farness St. from TMC Holdings, represented by Rick Kleiner and Tom Knox of Picor. Gary Andros, Andros Commercial Properties, represented the tenant. • HNM leased 1,600 square feet at 4500 E. Speedway, Suite 13 from Presson Midway LLC, represented by Rob Glaser and Paul Hooker of Picor. • Salty Jon’s LLC leased 1,100 square feet at 3959 E. Speedway from Central Point Business Plaza LP, represented by Diana Dessy of Anthem Equity Group.

Email news items for this column to ryohem@azbiz.com. Inside Real Estate & Construction appears weekly.

20 FEBRUARY 10, 2012

INSIDE TUCSON BUSINESS

EDITORIAL BIZ BUZZ

Happy, centennial, er, Valentine’s Day It has been 100 years in the making, so what will you be doing to celebrate Arizona’s centennial next Tuesday? Right. That’s what I thought. It’s Valentine’s Day and if you’re married or have a significant other forget that other nonsense you’re going out even if it is the tackiest night of the year at many restaurants. History is one thing. Maintaining a relationship is way more important to DAVID HATFIELD one’s own sense of being a part of any history. Then, of course, there are always some of us — guilty here — who have a nighttime meeting scheduled on the 14th. (Don’t worry, honey, I’ll get out of it.) It’s funny, considering Arizona is the baby among the 48 contiguous states, Arizona hasn’t really been big on celebrating statehood day. I remember as a kid in California, Sept. 9, Admission Day, was always a school holiday. It’s almost as if Arizona’s centennial celebration crept up on us. At one point there was talk of spending $35 million on celebrations. In the end, the Arizona Centennial Commission is spending about $5 million, no thanks to the economic recession. Most of the money will be spent on a big shindig around the state Capitol this weekend. There will also be a party in Prescott, a former state capital. Tucson is making do with a weekend celebration tied to Second Saturdays downtown as our most prominent event. Some of the best stuff has come from the build-up to the centennial. The Arizona Daily Star’s flashback reports from stories printed in 1912 have provided some fascinating glimpses back to how things were 100 years ago. And the special sections have been a treat. TV has also shown some vignettes of places an events of historic significance. I guess there’s a part of the editor in me that’s been looking for a celebration or something that would allow our readers and me to connect to the centennial. I haven’t found it. Over the past year our friends at the Phoenix Business Journal produced a series of four special sections tied to Arizona’s Centennial, with final edition focusing on how various people see the future of the state. Thanks in large part to the invention of air conditioning, Arizona has boomed, especially in the last half century. Unfortunately, that reliance on growth came crashing down in recent years and now the state is looking at how to pick up the pieces and move forward. A lot of people are pinning their plans on the Sun Corridor megalopolis that will stretch from Prescott through Phoenix and Tucson to Sierra Vista. Because Arizona was still in growth mode but hadn’t finished much in the way of infrastructure, the state stands ready to take advantage of whatever technology brings us. So, for as low-key as this year’s centennial is turning out to be, there’s enough optimism out there to think the state’s Bicentennial could be a real blow-out. Set the clock ticking on the next 100 years. As for this year, happy Valentine’s Day.

Contact David Hatfield at dhatfield@azbiz.com or (520) 295-4237.

EDITORIAL

Unincorporated residents like it that way Much is being made these days of the fact that 36 percent of us in the Tucson metropolitan area live outside of one of the incorporated jurisdictions of Tucson, Marana, Oro Valley, Sahuarita or South Tucson. We’re supposed to be concerned that the region loses out on millions of dollars — wildly estimated as high as $100 million — in annual shared state revenues because incorporated areas receive a greater percent of the cut. In sheer numbers, 353,624 of the 980,263 people living in metropolitan Tucson live in unincorporated Pima County, according to the 2010 U.S. Census. Just 6 percent — 229,027 — of metro Phoenix’s 3.8 million people live in unincorporated Maricopa County. In other words, Pima County government services the largest population living outside of cities or towns of any county in Arizona. And much of that population lives in what is a suburban environment. Yes, the Tucson region loses out on some state money, but at the same time the amount is more guesstimate than estimate. Those promoting more incorporation fail to take into account that the revenue pie would be divided up into smaller pieces. That would mean that Tucson, Marana, Oro Valley, Sahuarita and others would see their share of state revenues drop. More to the point, however, is that people who live in unincorporated areas of Pima County tend to like it that way. It eliminates one layer of government — and taxes. People living in Green Valley have steadfastly avoided incorporation. A 1997 effort to create the City of Catalina Foothills was rejected by more than 70 percent of voters in the affected area. When voters did approve of incorporation it was more likely to be a defensive move over fears of being sucked into the City of Tucson through annexation. That was a contributing factor for the creation of both Marana and Oro Valley. Similarly, voters approved

incorporation for both Casas Adobes and Tortolita, though both were thwarted through legal challenges from Tucson. The current talk of incorporation in Vail also includes a strong anti-Tucson sentiment. Proof of people’s disdain for the City of Tucson can be found in the 2010 Census estimates. While the region grew by 136,517, a growth rate of 16.2 percent, over the last decade, less than than one-fourth of that growth was inside Tucson city limits. For a variety of reasons, the Tucson region has grown differently than the Phoenix metropolitan area. As a result there is demand for urban-type services outside of incorporated areas. Some of it is provided by government, such as law enforcement by the Sheriff ’s Office. Fire protection is provided either through a taxing fire district or through annual subscriptions to the private Rural/Metro Corp. When it comes to water, Green Valley, for instance, has the nonprofit co-op Community Water Company. Some other parts of the region are served by Tucson Water, the result of decades-old agreements between developers and the city. A proliferation of private haulers provides competition so residents of unincorporated Pima County can get as good or better trash and recycling service for less in monthly fees than the typical Tucson city resident pays. If there is an issue with the disbursement of state shared revenues it’s with the funding formula that isn’t based purely on population. To suggest that we need more government to get the money makes no sense. Residents would wind up paying far more in additional taxes to support another bureaucracy.

InsideTucsonBusiness.com

FEBRUARY 10, 2012

21

OPINION WAKE UP, TUCSON

It’s an election year, so Pima County is concerned about business It looks like we voters are going to be asked to add a little more to the Pima County credit card this November. The county has floated the idea of a bond package under the auspice of building road hubs and buying space around Tucson International Airport to keep Raytheon Missile Systems here. The county has issued a lot of bonds over the years. At last reporting in 2010, Pima County had more than $1.476 billion in bonds outstanding. Added together all 14 other Arizona counties have $578 million in bond debt. The fact that Pima County has almost three times as much outstanding bond debt as the other counties combined and is asking for more should concern you because you’re paying for that debt on your property taxes. To fully understand the decision voters are being asked to make, first understand the history that has led to this bond package. For starters, this is an election year. The one year out of four when incumbent politicians say whatever they can to get re-elected. But Pima County’s politicians have been first-class propagators of the region’s stagnant economy. County Supervisors Sharon Bronson, Ramón Valadez and Richard Elías have been firmly in control of the board with

County Administrator Chuck Huckelberry as their point man. Local officials were shut out when Raytheon was looking to open a new manufacturing plant that went JOE HIGGINS to Alabama. Supervisors are continuing to rail against the Rosemont Copper mine, which would be the biggest single economic development project this region could undertake. And the county had to exact its pound CHRIS DeSIMONE of flesh from Fotowatio Renewable Ventures before allowing it to build a solar array on 305 acres in Avra Valley. This is a once-in-a-lifetime election in Pima County where voters’ top three concerns are jobs, jobs and jobs. That’s a tough sell for these incumbents.

A telling story about Raytheon Missile Systems has to do with the company’s fight to reduce its property tax burden in Pima County. A little history: Faced with the threat of being assessed a property tax in the 1950s, the late Howard Hughes asked a military general for $1, and in return Hughes told the general he was the owner of the land and buildings that comprised the original Hughes Missile plant south of the airport. In so doing, Hughes avoided the property tax that year. Now, fast-forward to today and the geniuses on the Board of Supervisors have voted to spend money to legally fight a decision that allows Raytheon, which acquired Hughes, to keep the valuation of the property for tax purposes at $22.5 million including the exempted property instead of raising it to $40 million, which is the Pima County Assessor’s valuation for the entire campus. For Raytheon, it means a difference of more than $1.7 million in taxes for this and the past two years that the company has been fighting — and winning — the case with the State Board of Equalization. Mind you, Raytheon already pays about $130 million annually in state and local taxes. The story was chronicled in the Arizona

Daily Star in December by reporter Rob O’Dell. In spite of this, the supervisors are pushing the issue. It’s strange logic that Pima County says it wants bonds to build roads and help fix the business climate while at the same time making business difficult for the region’s largest private employer. When you read or hear that Pima County wants to do a 180-degree turn and become business friendly realize it’s not what politicians say during election season but what they do between elections that matters. Ask former Tucson City Councilwoman Nina Trasoff who stood hand-in-hand downtown with restarauteur Kwang C. An, better known as Mr. An, proclaiming “small business week” just before she was defeated in 2009. Business people were wise to the idea then and we suspect they are still wise to it. To paraphrase the 1971 song by The Who, “We Won’t Get Fooled Again.”

Contact Joe Higgins and Chris DeSimone at wakeuptucson@gmail.com. They host “Wake Up Tucson,” 6-8 a.m. weekdays on The Voice KVOI 1030-AM. Their blog is at www.TucsonChoices.com.

GUEST OPINION

The truth behind my school lunch opt-out bill: SB 1061 If ever I needed to channel Paul Harvey, now is the time. Since SB 1070, I don’t think I have ever witnessed more false statements, misunderstandings and outright lies than I have with the school lunch opt-out bill. So with great respect for a radio legend; here is the rest of the story. Approximately six years ago, a large nutrition bill worked its way through the legislature. For some reason at that time, someone decided to make school lunch participation mandatory for K-8 district grades, instead of voluntary like it had been for the past 50 years. I say for some reason because all K-8 district grades over 100 kids were already participating in the program. High schools and charter schools were exempted from the new mandate. Fast forward to today. The USDA updates its school lunch rules approximately every 12 to 15 years. This year (2012) happens to be the year that the rules are undergoing a complete overhaul. The new rules cover everything from what has to be served, what portion sizes are allowed, how much schools have to charge kids, how often schools are

audited, etc. As quoted in the East Valley Tribune Jan. 19, Loretta Zullo, Mesa’s School Foodservice Director said she is anxiously awaiting the final approved changes RICH CRANDALL to the program, which would increase the required number of fruits, vegetables and whole grain products served, as well as change how districts can calculate how much they charge. Under the first proposals put out, Zullo said it could have resulted in a lot of increased cost for the district, but she anticipated Mesa could weather it. “It’s a complicated formula,” she said of the proposed way districts must charge for meals. “Districts may have to supplement (meal prices) from the general fund. Districts are not going to want to do that. They do not have the money to do that.” In anticipation of all the new rules being rolled out in 2012, I felt it would be a good idea to go back to the law Arizona districts

followed up until six years ago. Besides, 41 other states let districts choose whether or not to participate in the national school lunch program. Only nine mandate it, including Arizona. Contrary to what has been reported, I am not anti-fresh fruit, anti-nutritious meals, or anti-low income children. I simply want schools to have flexibility to tackle their challenges in the best way they see fit. This is why the Arizona School Boards Association supports the bill. I firmly believe not a single child will go hungry as a result of this bill. Why else would 41 other states not feel compelled to force their districts to participate in the federal school lunch program? And why were all schools participating before the law was changed six years ago? This mandate is unnecessary. My bill (SB 1061) is a simple one word change – “shall” to “may.” Nothing more, nothing less. Supporters of SB 1061 and opponents to the bill basically disagree on one major point – can local communities and constituents be trusted to take care of the children in their charge? I firmly fall on the side of local control, freedom, and self-

governance. The loudest opponents to SB 1061 claim that only through mandates can people be trusted to do what is in the best interest of children. I sure hope this is not the direction we are headed as a country. With regards to a conflict of interest, I do own a company that works in the school nutrition area. State governments hire my company to audit menus and conduct on-site audits. I do not do any reviews or audits in Arizona. I stand to gain absolutely nothing from this bill passing. And no, contrary to what a few blogs have reported, I do not provide food to Arizona schools. As Senate Education Chair, I am simply trying to eliminate a mandate in state statute that takes away a local community’s right to choose what is best for their children. In conclusion, nothing is worse than a slow erosion of liberty because we never see it coming. And as Paul Harvey would say, “now you know the rest of the story!”

Contact state Sen. Rich Crandall, R-Mesa, at rcrandall@azleg.gov or (602) 926-3020.

22 FEBRUARY 10, 2012

INSIDE TUCSON BUSINESS

OPINION ADVOCATING FOR BUSINESS

U.S. Chamber of Commerce survey IDs national small business attitudes The United States Chamber of Commerce has released a new survey of small businesses sentiments. The respondents represented diverse industries and a cross section of geographic locations. Here’s some of the survey’s key findings.

Uncertainty continues Uncertainty is still one of the biggest challenges for small businesses: • 85 percent of small business owners think the country is on the wrong track. • 52 percent say their top issue and biggest challenge is the “general economic climate.” Half of all small businesses surveyed said they are not sure if “America’s best days are ahead or behind us.” The threat of over-regulation looms large as a systemic concern. • 78 percent said taxation, regulation and legislation from Washington, D.C., make it harder for their business to hire more employees. • 74 percent said the same thing about the new federal health care law. • 80 percent say they would rather have Washington stay out of the way than provide a helping hand. • 86 percent say they would rather have more certainty from Washington than more assistance.

Improved outlook Overall, the small business outlook for local companies and the local economy is improving. • Only 11 MIKE VARNEY percent of the businesses surveyed expect to continue to downsize their workforce, which represents an improvement in this metric from the previous survey in October 2011. • 63 percent plan to keep the same number of employees this year, also an improvement. • 26 percent of businesses said they anticipate hiring in 2012, which leaves this metric static from the prior survey period. • 34 percent of businesses expect the local economy to improve in 2012, a number that is up from 24 percent in the previous survey period.

Economic climate Overall, survey respondents felt their local economic climate improving but national economic climate remains stagnant.

• There was no improvement in the number of businesses who said the national economy is improving since the previous survey. • The number of respondents who feel their local economy is headed in the right direction improved from 33 percent to 45 percent. • Respondents who feel the climate for small businesses like theirs will improve in the next two years jumped from 23 percent to 34 percent in the most recent survey period.

affairs and community beautification. Based on the U.S. Chamber’s survey, it seems clear that something has to change in Washington for the economy to move in a new direction. Uncertainty about federal policy is paralyzing capital deployment and hiring. The Tucson Metro Chamber might not be able to redirect federal policy, but we will certainly continue to do all we can at the local level to ensure that government works with business, not against it.

Tucson Chamber goals

Contact Mike Varney, president and CEO of the Tucson Metro Chamber, at mvarney@tucsonchamber.org or (520) 792-2250. His Advocating for Business column appears monthly in Inside Tucson Business.

The Tucson Metro Chamber continues to work tirelessly to promote a strong local economy. We are encouraged by recent Tucson City Council activity that will explore adoption of state economic development measures to help build a first-rate urban core downtown. We are encouraged by recent passage of an agreement to enact a local preference for purchasing by the city. There are many other Tucson Metro Chamber programs that are helping to grow businesses and build a better community in the areas of education, economic development, government

InsideTucsonBusiness.com

Twitter Followers: 3,775

Do you plan to buy something at one of the gem shows?

Facebook Likes: 2,352

YES

NO

15% 85% Next week’s poll: Has Tucson’s commercial real estate market hit bottom yet?

Make the news • Letters to the editor — Opinions on business-related issues or coverage of issues by Inside Tucson Business are encouraged and will be published. Submit letters to the editor via email at editor@azbiz. com. Letters also may be mailed to Letters to the editor, Inside Tucson Business, P.O. Box 27087, Tucson, AZ 85726-7087. Letters must include the writer’s name and telephone number. Inside Tucson Business reserves the right to edit and may not print all letters that are received.

STAFF

Phone: (520) 295-4201Fax: (520) 295-4071 3280 E. Hemisphere Loop, #180 Tucson, AZ 85706-5027 Internet: www.azbiz.com

PUBLISHER THOMAS P. LEE tlee@azbiz.com

STAFF WRITER PATRICK MCNAMARA pmcnamara@azbiz.com

LIST COORDINATOR JEANNE BENNETT list@azbiz.com

ACCOUNT EXECUTIVE LAURA BOHLING lbohling@azbiz.com

INSIDE SALES MANAGER MONICA AKYOL makyol@azbiz.com

EDITOR DAVID HATFIELD dhatfield@azbiz.com

STAFF RESEARCHER CELINDA ARGUE cargue@azbiz.com

ART DIRECTOR ANDREW ARTHUR aarthur@azbiz.com

ACCOUNT EXECUTIVE ALAN SCHULTZ aschultz@azbiz.com

CIRCULATION MANAGER LAURA HORVATH lhorvath@azbiz.com

STAFF WRITER ROGER YOHEM ryohem@azbiz.com

WEB PRODUCER DAN GIBSON dgibson@azbiz.com

ADVERTISING DIRECTOR JILL A’HEARN jahearn@azbiz.com

ACCOUNT EXECUTIVE DAVID WHITE dwhite@azbiz.com

EDITORIAL DESIGNER DUANE HOLLIS dhollis@azbiz.com

CARTOONIST WES HARGIS

InsideTucsonBusiness.com

%0 :06 #6: )&#3&8 /"5*0/"- )05 %0(4 • If you purchased Hebrew National hot dogs, the premium price you paid

for a kosher-marked product may have been the only difference between Hebrew National and other brands. • Our law firm has received credible reports that Hebrew National does not in fact ensure its beef hot dogs are made using the strict kosher standards it claims.

8F XBOU UP IFBS GSPN ZPV t XXX ;3-BX'JSN DPN Hart Robinovitch • Zimmerman Reed, PLLP 14646 North Kierland Blvd, Suite 145 • Scottsdale, AZ 85254

FEBRUARY 10, 2012

Tooh Dineh Industries, Inc. EMPLOYMENT OPPORTUNITIES Electronic Manufacturing Company located in Leupp, AZ has the following positions available:

Accounting Manager, Quality Manager, Material Manager, Production Supervisor visit www.toohdineh.com for application. Submit application/resume to: Tooh Dineh Industries, Inc. HC 61, Box E Winslow, AZ 86047 or Fax 928-686-6409 Attn: Human Resource. Email: hr@toohdineh.com. Navajo Preference/EEO.

real estate

auctions

Happy 100th birthday, Arizona! The

40+ Arizona Auctions February 15 - 24

48th state,

February 14, 1912

Nominal Opening Bids Start at $1,000

3870 W Running Martingale, Flagstaff

williamsauction.com

t 800.801.8003

FREE Bible Courses

www.hickmanseggs.com Ž Š 2012, Hickman's Family Farms

www.facebook.com/hickmanseggs

OFFICE SPACE Professional shared ofďŹ ce space at St. Joseph’s, lobby reception area, Kitchen, micro, refrigerator, maintenance utilities includes, covered parking, ofďŹ ce equipment. Call Marshall Northington, PHD, 886-6588

Bible Correspondence Courses are available free of charge from WORLD WIDE BIBLE STUDY. CERTIFICATES OF COMPLETION are issued to each student who completes a course. These studies deal solely with facts of the Bible, are non-denominational and can be completed during spare time at home. These courses will increase your knowledge of The Bible and can give your life a fuller meaning. ALL OF THE WORLD WIDE BIBLE STUDY MATERIALS ARE FREE. Your Bible is the only text needed. To enroll mail the coupon below and you will receive study materials by return mail. TO ENROLL: Mail this ad to the following address or email your name & address to hdmidd@comcast.net

Mail To:

Name:

World Wide Bible Study Address: P.O. Box 40105 Nashville, TN 37204 USA City, State, Zip: WWBS is sponsored by a group of Christians to encourage Bible Study.

Up & Comers Reachi ng new

height s in 20 12

Coming April 13, 2012

www.InsideTucsonBusiness.com P.O. Box 27087 • Tucson, Arizona 85726-7087 520.294.1200 • Fax 520.294.4040

23

24 FEBRUARY 10, 2012

INSIDE TUCSON BUSINESS

Win Rock ‘N Prizes!

View photos and purchase raffle tickets for $10 each online at www.tmcfoundation.org/rocknrodeo Four nights and five days in San Francisco or New York City with two Southwest Airlines round-trip tickets Diamond Bangle Bracelet All Leather Sofa & Ottoman Custom Golf Green or Lawn Area made from premium turf products JW Marriott Starr Pass Getaway Frigidaire® Freezer & Grocery Gift Certificates

Saturday, March 17, 2012

JW Marriott Starr Pass Resort & Spa

DINNER • DANCING • GAMING • SILENT AUCTION Get Your Tickets Now! www.tmcfoundation.org/rocknrodeo

Recognizing the

15

Heart of Hospice Honorees

Wylie Baker

Gloria Cushman-Schmidt

Donna Kelleher

Lynn Rumsey

Nicole Bernstein

Larry Lincoln, MD

Karen Simonic

Elizabeth “Betty” Cochran

Desert Toyota of Tucson – Brent Berge and Jerry Cannella

Elin Ozdemir

Mary Steele

Rhoda Cummings

Donna Fulton, MD

Nancie Roahrig

Marilyn Wolfarth

CO-SPONSORED BY

For event information, call (520) 324-3717 or visit www.tmcfoundation.org

Turn static files into dynamic content formats.

Create a flipbook
Issuu converts static files into: digital portfolios, online yearbooks, online catalogs, digital photo albums and more. Sign up and create your flipbook.