2018 Okaloosa & Walton County Business Journal

Page 1

SPONSORED REPORT

COURTESY OF ECONOMIC DEVELOPMENT COUNCIL OF OKALOOSA COUNTY

OKALOOSA / WALTON COUNTY BUSINESS JOURNAL

Military installations play enormous roles in economies of the Emerald Coast. Here, a Bell Boeing CV-22 Osprey with the 8th Special Operations Squadron out of Hurlburt Field in Okaloosa County flies along the coast.

MANUFACTURING

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TOURISM

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TECHNOLOGY

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DEFENSE

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OKALOOSA COUNTY

AN OPTION ON THE FUTURE Okaloosa touts features of industrial megasite

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or Okaloosa County, the past year has been a stage-setting one on the economic development front. Central to that effort was a vote by county commissioners to secure a purchase option on 1,700 acres located on Interstate 10. The parcel is part of the 11,000-acre Shoal River Ranch and also offers frontage on U.S. 90 and a CSX railroad line. With site selection consultants and others, the Economic Development Council of Okaloosa County, headed by executive director Nathan Sparks, has been talking up the site for about four years. The purchase option makes things more real.

Prospective tenants are likely to be encouraged, too, by the county’s successful application for Triumph Gulf Coast dollars — money recovered by the Florida attorney general for economic damages that resulted from the Deepwater Horizon oil spill — for extending sewer and water lines along U.S. 90 to the site. The amount of the award was $1.4 million. “We have received great feedback on the site from consultants and business decision makers who are all very bullish on what it offers,” Sparks said. “They recognize that the Shoal River site is a special piece of property, and they have encouraged us to do everything we can

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to get the right sets of development eyes to look at it and to make sure the community is in a position to make things happen there.” That positive feedback led the council to strongly encourage the county to take steps to tie up the property. Too, the council has made it a point to study what went right in Alabama leading up to the decision by Toyota and Mazda to locate a plant in Huntsville. The planned $1.4 billion plant, called Project New World, will represent a joint venture between the two automakers. The plant is expected to employ 4,000 workers at an average salary of $50,000 and to produce about 300,000 vehicles

COURTESY OF VENTURE HIVE / ISTOCK / GETTYIMAGES PLUS

BY STEVE BORNHOFT


OKALOSSA COUNTY

Map illustrates the Shoal River industrial park site, with frontage on both U.S. Highway 90 and Interstate I-10 and along the CSX Railroad. The site boasts many of the same features that characterize a Huntsville, Alabama, site that attracted an auto manufacturing plant.

An American Elite Molding employee operates machinery that produces zip ties. The Crestview-based company has been recognized by the state as a Florida Manufacturer of the Year.

a year. Already, Huntsville is home to a Toyota engine plant. Toyota president Akio Toyoda cited his company’s experience with Huntsville’s highquality workforce as a key factor in the decision to build an assembly plant there. “The Huntsville site,” Sparks said, “in terms of size and scale and amenities, is similar to our Shoal River site.” Economic development officials in Alabama first started promoting the Huntsville property 10 years ago when Volkswagen was shopping sites for a plant that ultimately went to Chattanooga, Tennessee. That plant, which commenced production in April 2011, employs more than 2,000 workers and churns out about 150,000 Passats a year. “The consultants who were managing the Volkswagen site search really implored the community in Huntsville to make the property there as competitive as possible and to position it for future opportunities,” Sparks said. “They did just that and, a decade later, they are

celebrating a monumental economic development victory.” Sparks views the Alabama success as an example of what can happen when local officials heed the advice of people like site selection consultants in positions of influence who believe that a particular property can be made competitive with the right strategic approach and investment. “Because we already have been focusing on this site for three or four years, it’s not going to be a 10-year effort for us,” Sparks predicted. “We’re a good ways down the road, and certainly the option that the county has on the property and the application for Triumph funds for water and sewer improvements helps solidify the case for this property. Plus, Enterprise Florida is very much a partner in this effort. “It is going to be a true transformative site. There are not many sites like it in North Florida or throughout the whole state. There are few properties that can be classified as megasites. Anything which lands at Shoal River Ranch will be of a scale that will affect all of Northwest Florida in a favorable way.” Sparks and his team have brought the Shoal River site to the attention of heavy equipment manufacturers, in addition to automakers and to tire companies who may wish to build research and development facilities including a test track along with a manufacturing plant. In conversation, however, Sparks continued to return to auto plants. “Twenty years ago, Alabama was not a player in the auto sector,” he said. “But the

state and community worked diligently to become competitive and to identify the right real estate options, and they have grown a tremendous cluster of auto-sector businesses. “We believe that our proximity to a growing supply chain that continues to move south and our proximity to ports in Panama City, Pensacola and Mobile means that we can be competitive. We have a workforce component that some of our neighboring states cannot necessarily match. We have access to a U.S. highway, an interstate and rail and the topography at our site is favorable to a host of activities. This is one of those catalytic opportunities much like we have seen in other states in the Southeast.” Plus, Sparks has the advantage of selling an attractive county where people genuinely want to live. So attractive is the county and so robust is its economy that, at this writing, Oklaloosa’s unemployment rate, at just 3 percent, is the lowest in the state. That, from Sparks’ standpoint, can be problematic when courting employers looking for a readily available workforce. To combat that problem, Sparks and the EDC have embarked on “talent-recruitment strategies” that involve emphasizing Okaloosa County’s quality of life, its outstanding schools and natural features and amenities that make the area desirable. Too, the EDC is trying to capitalize on what it sees as a hidden workforce, the 1,500 or so skilled and experienced men and women who conclude their military

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OKALOOSA COUNTY

“WE ARE SERVING AS A CONNECTING POINT FOR BUSINESSES, AND TECMEN SERVES TO UNITE COMPANIES AS A TEAM CAPABLE OF MEETING ALL OF THE ASPECTS OF AN OPPORTUNITY.” NATHAN SPARKS, EXECUTIVE DIRECTOR, ECONOMIC DEVELOPMENT COUNCIL OF OKALOOSA COUNTY

The University of West Florida is seeking Triumph Gulf Coast funds with which to develop an innovation center that would include a campus in Fort Walton Beach. Here UWF personnel demonstrate a 3D printer.

committee meets monthly and brings together representatives of contractors big (Boeing and Lockheed) and not so big. “We are serving,” Sparks said, “as a connecting point for businesses with complementary abilities, and it’s been a lucrative and fruitful effort. A business may have the ability to satisfy some of the requirements of a contract, but not all of them. TeCMEN serves to unite companies as a team capable of meeting all of the aspects of an opportunity.” In the past year, the EDC conducted its first TeCMEN Industry Day, which included 45 exhibitors, some from as far away as Washington State and California and others from the northern Gulf Coast — Eastern Shipbuilding of Panama City and Airbus from Mobile, Alabama, to name a couple. “We hosted major OEMs (original equipment manufacturers), the companies that drive supplier activity in the Gulf Coast region,” Sparks said. “We are planning our second TeCMEN Industry Day for August and expect it to be even bigger and better.” Academic and workforce development partners are joining with the EDC in pursuing Triumph funds. Northwest Florida State College is

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seeking funds for aviation technology and hospitality programs and a simulated city that would be built near DeFuniak Springs. All three proposals have cleared the preapplication phase. The aviation technology program would supply airframe and power plant mechanic training. Sparks notes that some 200 aircraft mechanics separate from Hurlburt Field each year but don’t have A&P [airplane and powerplant] credentials because they are not required by the military. The new program would supply them with the certifications they need to work in commercial aviation. The simulated city would accommodate utility company employees, first responders and emergency management personnel engaged in studying disaster scenarios. The contemplated hospitality program would offer both associate’s and bachelor’s degrees. “Our one-two punch in Okaloosa County is defense and hospitality,” Sparks stressed. The University of West Florida is seeking Triumph funds for an innovation center that would include a campus in Fort Walton Beach. The proposal

COURTESY OF ECONOMIC DEVELOPMENT COUNCIL OF OKALOOSA COUNTY

careers each year at the Hurlburt and Eglin Air Force bases. (Add personnel separating from bases in Panama City and Pensacola and the number grows to 6,000.) “We’ve been digging deeper to discover how many of these people stay here after retiring or separating from the Air Force and cataloging the skill sets they possess,” Sparks explained. Via survey work, Sparks and the EDC learned that many of the people in that population perceived that there were no job opportunities for them upon separation. “But,” said Sparks, “the truth is that we have 300 military contractors in Okaloosa County. There is a natural marriage there.” Improving the retention of the “hidden workforce,” then, has been largely a matter of education. So it is that the EDC conducts an Early Bird Job Fair intended for people who will be leaving the military in a year or so. The fair enables them to position themselves for post-military career employment well before their separations occur. The effort is paying off. In three years, the percentage of new veterans in Okaloosa County sticking around has jumped 10 points to 41 percent. Even as it works to tap into the military community, the EDC is working to foster a sense of community and identity among Okaloosa County’s defense contractors. The EDC’s TeCMEN (Technology Coast Manufacturing and Engineering Network)


COURTESY OF OKALOOSA COUNTY AIRPORTS

anticipates prototyping labs and steps to increase the availability of 3D printing. In February, the hospitality industry got a boost in the form of an announcement made by Allegiant Travel Company, which is establishing a new, two-aircraft base with year-round routes at DestinFort Walton Beach Airport (VPS). The base will create 65 new jobs and bring an anticipated $418 million in tourism revenue to the area over the next five years. Allegiant is investing more than $49 million to establish the year-round base, which will house two Airbus aircraft. The new Destin base will also allow Allegiant to offer new routes to five cities. In May, Allegiant will permanently locate two Airbus A320 aircraft at VPS and hire permanent local employees. One of the unique focuses of Allegiant is to bring customers from previously underserved destinations, not to compete for existing market share. Allegiant’s service in Destin-Fort Walton Beach began with six routes in 2016 and expanded to 16 cities in 2017. The new Destin base will become the airline’s 14th year-round aircraft base. Allegiant planned to immediately begin hiring pilots, flight attendants, maintenance technicians and ground personnel to

support operations. Positions are expected to offer average salaries more than double the area’s average wage. Maurice J. Gallagher, Jr., Allegiant’s chairman and CEO, said, “We are excited to continue our growth in Florida’s Emerald Coast by establishing a full-time base at Destin-Fort Walton Beach. The base will not only afford many more options when it comes to adding routes and expanding service, but will also give us the opportunity to contribute even more to the community and the state’s economy. We have a terrific partnership across many state and local agencies, without which today would not be possible. We can’t thank them enough for their support.” Ken Lawson, CEO of Visit Florida, reacted to the announcement, saying, “Allegiant’s decision to make Destin a base of their operations and create new routes to the Emerald Coast is great news for Florida’s tourism industry. By opening new airline routes to our state, we’re able to share sunshine with more people around the world. Visit Florida was proud to play a small part in Allegiant’s decision, and we look forward to working with them to welcome more visitors and continue to set visitation records to our state.” Overall, Sparks said, the economic outlook in Okaloosa County is positive.

Allegiant Travel Company announced in February that it was establishing a new base in Destin. Allegiant planned to immediately start hiring pilots, flight attendants, maintenance technicians and ground personnel to support the operation.

“The new federal budget includes considerable additional money for defense,” Sparks pointed out. “We have been in a sequestration posture for the past few years. Defense contractors were circling the wagons and doing the best they could given difficult funding cycles. Now, the level of optimism is very high. We live in an uncertain world, and the best offense is a good defense. Lately, at TeCMEN meetings, it’s not unusual for six or eight companies to report new hiring — additions of 10 or 20 employees in high-wage jobs.” Sparks sings the praises of the county’s Tourist Development Council, citing a string of years that have seen records for visitation. And he gave a shout-out to American Elite Molding, newly recognized by the state as a Florida Manufacturer of the Year. “They could be located anywhere,” Sparks said, “but they have invested tens of millions and hired dozens of people right here in Okaloosa County. They demonstrate that we can do high-volume, low-cost production right here in the United States.”

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OKALOOSA COUNTY

HOLDING THINGS TOGETHER

AMERICAN ELITE MOLDING IN CRESTVIEW IS A LEADING MANUFACTURER OF CABLE TIES IN THE UNITED STATES

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he manufacturing floor at American Elite Molding is one busy place. From bustling workers to the steady hum of 14 custom injection molding machines spitting out the company’s signature cable ties, the 24-hour operation is rarely quiet or still. And if CEO Bob Sires has his way, the floor will only get busier. “We currently manufacture more than 1.5 billion cable ties annually and are on track to double in size within the next five years, reaching $50 million in sales,” said Sires, who founded the company as Bay State Cable Ties in 1998 in Massachusetts and moved it to Crestview in 2004. “Right now, we sell in all of North America. Our goal is to be worldwide.” 60 / 2018 O K A L O O S A / W A LT O N C O U N T Y B U S I N E S S J O U R N A L

PHOTOS BY TODD DOUGLAS

by KARI C. BARLOW


“I THINK OTHERS GIVE UP ON IT TOO EASILY, AND I HAVE ALWAYS BEEN CONVINCED THAT WE, IN THE UNITED STATES, CAN COMPETE WITH ANYONE.” BOB SIRES, CEO OF AMERICAN ELITE MOLDING

PHOTOS BY TODD DOUGLAS

LEADING THE WAY Sires’ predictions are difficult to dispute when you consider AEM’s numbers. In a little more than a decade after relocating to Crestview, the company expanded from 4,000 to 75,000 square feet, adding critical space for production and warehousing. With current sales at $25 million, AEM — whose customers include 3M, Home Depot, Fastenal, Thomas and Betts and Grote — has enjoyed 12 consecutive years of double-digit growth and currently employs 130 people. “Hard work is what got us here,” Sires says. “Challenging ourselves every day, never being satisfied and remembering customers and employees.” Though some friends and family thought he was a little crazy for banking on cable ties all those years ago, Sires had a good feeling about the tiny strips of nylon. “I had just sold a company … and I was looking at commodity products,” he recalled.

An experienced manager, Sires had previously served as vice president of operations and finance at Leeds and Northrup, an international manufacturing enterprise, and as president of Leach Holding, overseeing operations in the United States, Europe and Mexico. When he began scrutinizing the cable ties market, Sires found a sector with the potential for major growth. “It was just an industry that was underserved,” he added. “There was no real market leader.” Today it’s a much different story, and Sires attributes AEM’s increasing command of the market to several key decisions. At the top of that list is moving his operation to Florida, particularly Crestview, which sits an hour away from AEM’s main supplier, Ascend Performance Materials. On an annual basis, AEM purchases roughly 6 million pounds of nylon from Ascend to produce its extensive line of cable ties in a variety

American Elite Molding was named 2017 Florida Manufacturer of the Year. Presenting the award to CEO Robert Sires and VP Barbara Mitchell is (at left) Amanda Bowen, executive director of the Manufacturers Association of Florida. Below, State Rep. Mel Ponder of Destin spoke at the award ceremony.

of colors, lengths and tensile strengths. Another of those decisions was remaining in Florida when he decided to expand AEM in 2015. Though courted by several states including Alabama and Georgia, Sires stayed put after Crestview city officials, the Economic Development Council of Okaloosa County, Gov. Rick Scott and Enterprise Florida worked as a team to offer up generous performance-based

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OKALOOSA COUNTY

incentives. That expansion — estimated to have a capital investment of $17 million in the local community — included 25,000 square feet of manufacturing space and a target of 40 new jobs within three years. A staunch champion of American manufacturing, Sires also was committed to keeping his operations in the United States. “I think others give up on it too easily, and I have always been convinced that we, in the United States, can compete with anyone,” he said. “It is important because it helps provide jobs, makes people feel good and shows others it can be done.” To better reflect that overall mission, a few months after the expansion, Sires officially changed the company’s original name of Bay State Cable Ties to American Elite Molding. “We are an American manufacturing success story, and we wanted our corporate name to reflect that,” he said.

‘BELIEVING IN PEOPLE’ Most critical to that success are AEM’s workers — a belief Sires and his team repeated with gusto when the company was named the medium-sized 2017 Florida Manufacturer of the Year by the

Manufacturers Association of Florida. “It is validation for all the hard work,” he said of the honor, which is based on several criteria including leadership and strategic goals. “We would not be where we are without our employees. It’s certainly not me alone, not us alone. It’s a group effort.” AEM officially celebrated the award in February with a luncheon and open house that drew business and community leaders as well as state dignitaries. Speaking at the event, State Rep. Mel Ponder, R-Destin, told the crowd Sires had managed to fashion far more than a company that sells cable ties. “When you step through the threshold, you quickly realize it’s not just a company, it’s a family,” Ponder said. That culture does not exist by accident. It’s a direct result of “treating people with respect and paying people a good wage with full benefits,” Sires said. At AEM, full-time workers are brought in at $10 an hour and receive benefits that include fully paid health insurance and 401k matching. “I don’t believe in minimum wage,” Sires said. “I believe in a working wage. …

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It’s about believing in people.” He also believes in training employees on the job and promoting from within. “It all comes down to positive attitude,” Sires said. “Everything else can be learned. … All of our supervisors on the floor started out at the base level and worked their way up.” The benefit of that practice is cohesion and institutional knowledge. “Once you find good people, you want to keep them, train them and help them progress,” Sires adds. “We are constantly building better and stronger assets. … We have a common goal, which is to make our company the best it can be.”

PHOTOS BY TODD DOUGLAS

The leadership team includes (from left) Expedito Serrano, chief operating officer; Barbara Mitchell, VP for corporate development; and Don Vargo, customer service manager. At right, machine operator Andre Johnson and hot stamp operator Debra Shoun help generate products worth $25 million in annual sales.


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WALTON COUNTY More than 4 million visitors annually spend time and money vacationing in South Walton. Here, sand, surf and beachfront accommodations attract a crowd at Hilton Sandestin Beach Golf Resort & Spa.

WALTON COUNTY’S TOURISM REACH EXTENDS BEYOND THE SOUTHEAST

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tlanta may be the single most important market to Walton County’s tourism industry, according to findings compiled by Downs & St. Germain Research and made part of Visit South Walton’s annual report for 2017. Throughout the year, Atlanta is seen to be a “Tier 1 Market,” meaning that the county’s tourism promotion efforts reach a high percentage of people there and that the market is relatively rich in potential visitors. In the fall and winter months, Nashville joins Atlanta in that Tier 1 category. Dallas and Houston are Tier 1 markets in the summer, along with Atlanta. Tier 2 markets — those where the promotional efforts result in a high penetration rate, but the number of potential visitors is not as great — include, at various times of the year, Cincinnati, St. Louis, Birmingham, New Orleans and Baton Rouge. The typical stay for a visitor exceeds five days throughout the year and peaks at 6.4 nights in the winter, based on 2017 data. The Walton County Tourist Develop-

ment Council and its tourism promotional arm, Visit South Walton, are funded by a 4 percent tourist occupancy tax (bed tax) and are dedicated to strengthening the position of South Walton County in the broad tourism marketplace. Each of the four cents collected on short-term accommodations rentals has a designated purpose. The first two cents are spent on expenses related to administrative, marketing and beach maintenance expenses. The third cent is used for beach maintenance projects, including restoration and erosion control. The fourth cent is dedicated to product development and shoulder funding, including amounts for lifeguard funding, community recognition programs and code enforcement. More than 4 million visitors spent time in South Walton County in 2017, resulting in an economic impact of $4.4 billion. That is, one visitor to the county had an average economic impact of $1,099. Visitation grew by 8.6 percent versus 2016. Room nights were up by 7.3 percent and, accordingly, Tourism Development Tax collections increased by 7 percent, a total of $23,754,442. Almost 22,000 people

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held tourism industry jobs in the county and made a total of $630 million in 2017. A complement of 184 visitors translates to one job in Walton County. The marketing efforts of Visit South Walton generate a nice return. That is, a dollar of marketing spending equates to $323 in visitor spending. It is no exaggeration to say that Walton County government — and there are no municipalities in Walton County, south of Choctawhatchee Bay — is highly dependent on tourist dollars. Visitors in 2017 accounted for more than $99 million in revenue to the county. Of course, there are expenses incurred by the county in connection with visitation including road maintenance, law enforcement, beach maintenance, planning and development and parks and recreation. Still, the net benefit of tourism to Walton County government in 2017 was $33.38 million, or 43.5 percent of total county government costs. Direct spending by visitors in 2017 totaled $2.978 billion. Of that total, $806 million was spent on accommodations and $603 million in restaurants. Another $411 million was spent on entertainment

PHOTO COURTESY OF VISIT SOUTH WALTON

by STEVE BORNHOFT


WALTON COUNTY TOURISM BY THE NUMBERS

$4,408,598,800

Total Economic Impact Annually of Tourism to Walton County

$889

4,010,500 +

VISITORS

came to South Walton in 2017 (Includes day trippers and people who stayed with relatives or friends)

AVERAGE AMOUNT SPENT BY VISITOR IN A DAY

21,900

TOURISM INDUSTRY JOBS

$2,978,783,000 DIRECT EXPENDITURES BY VISITORS

(Accounted for $630,579,000 in wages)

$23,754,442 TOURISM DEVELOPMENT TAXES COLLECTED

184

VISITORS TO WALTON COUNTY

1

WALTON COUNTY JOB

Sources: VisitSouthWalton.com, Walton County Tourist Development Council

and some $194 million went to purchase groceries. Travel parties visiting Walton County spent an average of $5,122 on their trips. Visitors account for nearly three quarters of retail spending in the county. In 2017, visitors spent $2.98 billion at retail businesses versus the $1.08 billion spent by county residents. Visitors were asked about attributes of importance to them when choosing a vacation destination. On a scale of 1 to 10, visitors combined to rate the importance of five factors at 9.0 or higher. They were: » Sugary white sand and turquoise blue waters. » Place where you feel comfortable. » Pleasant place to unwind. » Scenic beauty. » Good place for a family vacation. With regard to each of those attributes, visitors rated South Walton County 9 or higher. Further polling yielded a profile of South Walton County visitors …

» 5.3 persons: average travel party

size. » 60: percentage of parties that included people less than 20 years old. » 53 years: median age of a visitor. » $148,200: median household income. » $217,900: average household income. » 76: percentage of visitors who stayed in a condo or rental house. » 86: percentage of visitors who drove to South Walton. » 20: percentage of visitors who stayed in South Walton for the first time. » 33: percentage of visitors who have made 10 or more visits to the county. » 19: percentage of visitors who use the term, “South Walton.” Among visitors, 95 percent said they planned to return to South Walton. On average, visitors planned their trips to the county more than six months in advance. Some 97 percent have smartphones.

Fully 10 percent of visitors to South Walton County are from the Atlanta market. Georgians account for 13 percent of the county’s visitors. Other states of importance:

Alabama

11%

Texas

11%

Tennessee

11%

Florida

7%

Louisiana

7%

Kentucky

5%

Mississippi

4%

Ohio

4%

Missouri

4%

Indiana

3%

Illinois

3%

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WALTON COUNTY

MOVING FORWARD IN MOSSY HEAD INDUSTRIAL PARK SPARKS GROWTH ‘ABOVE THE BAY’ by KARI C. BARLOW

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ess than 10 years ago, it was fairly easy to drive by Mossy Head Industrial Park without even knowing it was there. Though open for years, the roughly 315-acre property located between U.S. 90 and Interstate 10 was vacant and still awaiting its first tenant. Today, the park is a bustling transportation and distribution hub in northwest Walton County. It’s about 75 percent developed, with seven established tenants and at least one more — a new Waffle House — on the way. “It’s been very successful,” says Bill Imfeld, executive director of the Walton County Economic Development

Alliance. “We never expected it to develop this much this fast.” The industrial park claimed its first tenant when Love’s Travel Stops & Country Stores — along with a Subway and a McDonald’s inside — located there in 2014. In its first year, the truck stop was ranked the 18th most productive location among the company’s 300-plus stores. “In just taxes paid to the government, in the form of gasoline taxes and sales taxes, more than a million dollars in new revenue came into Walton County from that one facility alone,” says Imfeld, a former Walton County commissioner who took over at the EDA in November 2016. Not only was Love’s a success, its presence seemed to spur the region to sit

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up and take notice of the property and what it had to offer. By September 2016, the park had welcomed big-rig dealer Empire Truck Sales, Southern Tire Mart, I-10 Truck Center, a Sleep Inn motel, a Frito-Lay distributor, a large FedEx Ground distribution center with almost 300 employees and a Walton County Sheriff’s substation. “Once it became shovel ready, it was a domino effect,” Imfeld says. “Love’s came in, then Empire Trucking, then Southern Tire and just one after the other saying, ‘Yeah, this is a great place to be!’” For Imfeld, whose commission district included Mossy Head, watching the park grow has been exciting and satisfying. As a commissioner, he pushed the county to complete the park’s infrastructure and get utilities up and running because he saw great potential in its location. “There’s a common thread of transportation and distribution out there, and there’s still some 80-plus acres to be sold and developed,” he adds. “We constantly still get people looking at it.” For Empire Truck Sales, the second company to move into the industrial park, Walton County’s workforce has been responsive and dependable. “Our workforce there … has probably been the most stable of any store,” says Bill Wells, vice president of customer

PHOTOS COURTESY WALTON COUNTY ECONOMIC DEVELOPMENT ALLIANCE

Proximity to CSX rail service and to major highways — I-10 on the south boundary and U.S. 90 on the north — is a prime amenity at the 315-acre industrial park. One of its largest tenants is a Fed Ex Ground distribution center employing nearly 300 people.


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The western end of the industrial park hosts large operations including (from bottom to top) Empire Truck Sales and Southern Tire Mart.

“ONCE IT BECAME SHOVEL READY, IT WAS A DOMINO EFFECT.” BILL IMFELD, WALTON COUNTY ECONOMIC DEVELOPMENT ALLIANCE

te R Hino oad

MOSSY HEAD INDUSTRIAL PARK 90

CSX

CSX

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support at Empire. “We have very little turnover.” The park, with its proximity to I-10 and U.S. 90 and a dedicated spur track for direct CSX rail service, is a valuable asset in the ongoing effort to diversify commerce in a county where the strongest economic engine is tourism. “Month after month, the TDC reports record bed-tax collections over the previous year,” Imfeld says. “It’s just a continuous string of increases, and that’s good for those providing lodging, those providing food and those providing entertainment. But most of that is below (Choctawhatchee Bay). Above the bay, it’s still very rural.” Above the bay, he adds, the key is attracting businesses compatible with those already in place as well as the workforce available in that area of Walton County. “You do not want to kill the goose that lays the golden egg,” Imfeld says. “As we start to diversify, we want to live in harmony with a good tourism industry.”

Walton County is not in the market for smokestack industries or something like a sprawling automotive assembly plant. “We don’t have the workforce to support something of that size,” Imfeld says. “But in the meantime, we do have the workforce to support smaller yet significant industries that … keep us from being totally reliant upon tourism.” To make that happen, the EDA works closely with officials in Okaloosa and Santa Rosa counties along with Enterprise Florida, Florida’s Great Northwest and Opportunity Florida to promote the region as a whole. The county is hoping to secure $31 million from Triumph Gulf Coast oil-spill mitigation funds to finance a major water and sewer expansion along the U.S. 90 corridor to accommodate builders. Another necessity for Walton County in the next few years is workforce housing. Many, if not the majority, of workers currently at the Mossy Head Industrial Park drive from the Crestview and Niceville areas and from Alabama.

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“We’re looking for ways to get workforce housing built — not subsidized housing but workforce housing — so that many of the people who work in Mossy Head could live there and not have to come over from adjacent areas,” he says. “We talk with local builders. We also look at what kind of economic stimulus we can give them.” Imfeld landed Waffle House by sending out fliers to a variety of national chain restaurants with information about traffic flow around the park and the number of truckers that drive on and off I-10 and U.S. 90. “Waffle House came in and made us a great offer,” he says, adding that he was surprised to hear that Eglin Air Force Base officials are especially excited about the new restaurant. “They conduct a lot of night military exercises on State Road 285 just a couple of miles south of that location, and they are ecstatic. … I expect when they get their doors open, they are going to have a good, round-the-clock business coming into Waffle House.” Imfeld is optimistic that above-thebay growth will continue with increased residential building, more mom-and-pop businesses and more box stores. “And it’s not just Mossy Head,” he says. “All of Walton County is open for business. We want to use the successes we’ve had in Mossy Head as a spring board for successes elsewhere.”


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