GEORGIA DEPARTMENT OF ECONOMIC DEVELOPMENT BOARD OF DIRECTORS MEETING MINUTES Northwestern Technical College Floyd Campus Rome, Georgia

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1 GEORGIA DEPARTMENT OF ECONOMIC DEVELOPMENT BOARD OF DIRECTORS MEETING MINUTES Northwestern Technical College Floyd Campus Rome, Georgia August 17, 2016 Compiled by: Commissioner s Office Georgia Department of Economic Development 75 5 th Street, NW, Suite 1200, Atlanta, Georgia office fax Page 1 of 15

2 Pursuant to notice duly given, the Board of Directors of the Georgia Department of Economic Development met on August 17, 2016, 2:00 pm 5:00 pm, Northwestern Technical College Floyd Campus. Call to order Chairman Jay Neely called to order the regular meeting of the Georgia Department of Economic Development Board at 2:00 pm on August 17, 2016, Northwestern Technical College Floyd Campus. Roll Call Secretary, Monty Osteen conducted a roll call. The following members were present: 1. Dennis Chastain 2. Mark Glass 3. Marisa Simpson 4. Randy Hatcher 5. Jerome Russell 6. Pedro Cherry 7. Tom Griffith 8. Robert Kinard 9. Randall Pugh 10. Allen Gudenrath 11. Jay Neely 12. Monty Osteen 13. Wayne Christian On the phone: 14. Eric Johnson 15. Rene Diaz 16. Beth Shiroishi Approval of Previous Meeting Minutes Dennis Chastain Motion Rene Diaz 2 nd Approved Page 2 of 15

3 Approval of MLK/GDEcD Resolution & International Boulevard Resolution Jerome Russell Motion Pedro Cherry 2 nd Approved Al Hodge, President & CEO Greater Rome Chamber of Commerce Welcomed the Board to Rome. He talked about how Rome has rediscovered their river and how they have dedicated the bridge to their future to unify economic development with Cave Spring. He also spoke about their education partnerships and their interdisciplinary approach with the schools in the area. Berry College has just been named the most beautiful college in the world. The Georgia School for the Deaf opened in Rome in the 1800s. Darlington School serves students from 19 countries and 16 US States since Rome: is the home to Pirelli Tire and International Paper (expanding +$150m) 1 of 10 most charming downtowns in the US has a new Braves stadium that was paid for with SPLOST has a new tennis center had a SYKES job fair today and have hired 100 people as of the time of this meeting) a +7,000 foot runway, Richard B. Russell, and they do need aviation related projects have a closed hospital 130-acre site that they would love to have a business re-use Rogers Wade, Executive Director William Will Ball, Director Governor s Defense Initiative Spoke about the BRAC process to close/grow/realign and the skepticism of the process. Aircraft at Moody in Valdosta is being phased out. Georgia is #1 for community support for the military Veterans education training academy in Macon workforce development training for veterans Transportation, ports, highway system hubs are great assets Energy & water Productivity Page 3 of 15

4 Public/private partnerships for basic service Encroachment Being good neighbors Defense outfit management Chris Carr the Governor s Defense Initiative = strategic pro-business and pro-military emphasis on our communities. We have Rogers Wade in the state and Will Ball, former Secretary of the Navy, in Washington, DC, to work with our communities. This is something that other states do not have. Jay Neely the jobs that the defense provides and the pipeline to businesses for workforce is great. At Gulfstream, veterans make up 30% of the workforce and the GDI has been a big part of economic development. Tom Croteau, Deputy Commissioner -Global Commerce GDEcD Partnerships: our theme for the board meeting and the great partnerships that we have in Georgia. Economic development is a team sport between companies, communities, and the state. In other states, economic development is handled regionally but in Georgia, we have the great partnerships available to handle economic development as a team a win for Georgia is a win for everyone. The Georgia Department of Economic Development is the quarterback the single point of contact. However, companies do not want to be spectators: they want to be part of the process. They want to fit in, foster it, and make it better. To do that, we need partnerships. We also have great state agency partnerships: When Mercedes was relocating their workforce, the DDS in Georgia opened the doors for them on a day they were supposed to be closed. They also had a mobile unit on their site so that employees could take care of their business during their lunch hour. For the Linde + Wiemann project in Hart County, DOT worked out some infrastructure issues they were having by installing turn lanes. Utility partners: We always have a utility partner for every project that we work on. Our integrated system allows us to submit sites all over the state. Georgia business partners: When Mercedes-Benz was looking at Georgia, we had a dinner at the High Museum and invited other company owners and leadership. It was the changing Page 4 of 15

5 point for the project. All of the guests knew each other and talked about their families, how each other s company was doing, etc. GE visited Georgia to move their headquarters (which announced in January 2015 that they would relocated to Boston) but we just announced on June 26, 2016, that GE will locate their digital operations center in Georgia and bring 250 jobs. Randy Cardoza Cardoza Consulting Spoke to the Board about how partnerships are essential for economic development formation of the Red Carpet Tour with the Georgia Chamber 1959 first Red Carpet Tour Georgia Allies thirteen members around at economic development roundtable with the focus on economic development issues and policy between governors. Philosophy: No individual businesses gotten until they located in Georgia Billy Payne and the Olympics allowed the formalization of the roundtable. Georgia Power operation legacy - developed relationships with people who ran companies all over the world to bring business to Georgia. When funding through the legislature was short for Tokyo the utilities all stepped in to help 1997 the state took over the operation that Georgia Power had begun and Governor Miller put $600,000 in the budget, which the private sector matched. This was possible because the relationships were already in place. We insisted that each organization would have one vote, the Department would have one vote, and there would be one vote per member CEOs serve on the board of the Georgia Allies along with the top-working partner within this public/private partnership. Company interests are put aside for a win in the state. The decision was made to market above and beyond each individual company and make decisions collectively. The criteria: each partner must have a statewide economic development focus. IAMC corporate real estate directors, the Allies have been the top sponsor for 12 years. Trade show leads are shared, leadership is rotated. Marketing trips several a year, domestic and international Daryl Ingram, Vice President Electric Cities of Georgia The Electric Cities of Georgia is the small guy of the utility partners. We service 52 municipalities and 1 county who fund us to do economic development statewide. Meake Power was created by 49 cities and partnered with Georgia Power/Oglethorpe in Dalton/Vogtle and Wansley. They created an integrated system that was jointly owned, operated, and funded. The philosophy is that we can do more together than apart. The Page 5 of 15

6 electric infrastructure is based on the rising tide floats all boats. If the state of Georgia is healthy we all grow. To grow Georgia, we must meet the needs of the client. Existing industry is the majority of our growth. Product development is simple business development. Communities are the product (RND), utilities are the sales (help communities align efforts in one direction). Pat Merritt, Vice President Community and Economic Development Georgia Electric Membership Corp. Electric Membership Corporation services 4 million + customers. Georgia Academy History Is a product of Governor Zell Miller s Governor s Development Council s work Created in 1993 to train city and county elected officials about economic development First regional program was held in 1994 Since 2000, programs have been held in each of the 12 regions annually Partnership Operations: Georgia EMC and Georgia Power co-facilitate in each region Georgia Department of Community Affairs manages the program, makes presentations in each region and coordinates logistics recruitment, enrollment, locations, materials, meals, etc. Presentations by representatives of: o Georgia Department of Economic Development o Georgia Department of Agriculture o Georgia Department of Labor o Georgia Department of Education o The Georgia Partnership for Excellence in Education (GPEE) o Georgia Institute of Technology Board of Directors Association County Commissioners of Georgia Electric Cities of Georgia Georgia Association of Chamber of Commerce Executives Georgia Chamber of Commerce Georgia Dept. of Community Affairs Georgia Dept. of Economic Development Georgia EMC Georgia Municipal Association Georgia Power Company Georgia Institute of Technology Page 6 of 15

7 Southern Company Gas Technical College System of Georgia University of Georgia The Regional Program Curriculum is based on three elements known to be vital for sustainable community economic development: o Leadership o Community Development o Economic Development o Four day-long sessions held over four consecutive months o $265 tuition covers course materials, meals and refreshments o Classes are held in Regions 1, 5, 6, 8, 9, and 11 during the spring o Classes are held in Regions 2, 3, 4, 7, 10, and 12 each fall Session 1 Regional Overview (DCA) Essentials of Economic Development (Georgia EMC & Georgia Power) MIND Design (Georgia EMC) Collaborative Leadership (Georgia EMC) Session 2 Business Development (GDEcD Existing Industry Reg. Rep. Project Manager) Tax Digest (Georgia Tech) Show Me the Money! (Georgia Power) Agriculture (GA Dept. of Agriculture) Tourism Product Development (GDEcD Tourism Product Development Team) Session 3 Tourism Case Studies (Georgia EMC) Creating Local Incentives (Georgia Power) RFI Project Assignment (Georgia Power) Regional Resources Planning for Quality Communities (Georgia EMC) Downtown Development (DCA-Office of Downtown Development) Session 4 RFI Debrief (Georgia Power) The Economics of Education (GPEE) Update by the GA Dept. of Education Workforce Development Panel Toontown Final Case Exercise (Georgia Power & Georgia EMC) Graduation Results The Georgia Academy for Economic Development A Public Private Partnership that has worked for Georgia for 23 years Page 7 of 15

8 o Since 2000, more than 6,500 Georgians have participated in the Regional Program o Many repeat the class when moving to a new region o The curriculum is updated twice a year to stay current o No other state in the nation has been able to replicate the Academy Matt Sawhill, Managing Director Government Policy Southern Company Gas Southern Gas Company focuses on economic development and infrastructure development: #1 educated and skilled workforce (HDCI apprenticeships came from us listening) #2 infrastructure all energy in the 21 st century 2.5 million miles of pipeline safely transported across the country. Natural gas pipelines, which transport approximately one-fourth of the energy consumed in the U.S., are an essential part of the nation s infrastructure. Transportation by pipeline is the safest form of energy delivery in the country. Atlanta Gas Light is the largest natural gas distributor in the Southeast, serving over 1.5 million customers in 266 Georgia communities. Challenges o Third party advocacy groups o Environmental, NIABY, BANANA o Environmental challenges with underground systems o Gopher tortoise o Historic property (Indian Burial site in NW GA) o Cost and lead time o Building for population expectations and demands Anne Kaiser, Vice President, Community and Economic Development Georgia Power The Governor is Georgia s #1 salesman. GRC Georgia Resource Center o Customers: 26% prospects and 20% communities o Sophisticated technology we can virtually fly our customers all over the state. innovation ecosystem Page 8 of 15

9 o Steve Justice is working on adding the COIs Site assessment model o Market and land use o VoxPro in Athens was on the Red Carpet Tour 500 tech jobs in Athens Commissioner Chris Carr Georgia Department of Economic Development It s been a great few months for economic development since we last met in May. Today, I d like to share a few updates on current department happenings, upcoming events and news. Georgia Council for the Arts: -On July 6, Georgia Council for the Arts (GCA) announced the recipients of its Partner, Project, Arts Education and literary arts grant funding for fiscal year One hundred and one organizations throughout the state were collectively awarded more than $913 thousand in funding. Funding for operating support (Partner Grant) was awarded to 54 organizations across the state. Support for arts projects (Project Grant) was awarded to 25 organizations. 20 organizations received the Arts Education Program Grant. And, two organizations received funding for the delivery of statewide literary arts programs. Global Commerce: Since our last board meeting in May we ve announced 85 projects, helping to create nearly 5,339 jobs and approximately $678 million investment. Just to share a few recent events and announcements with you: June 9- GE Digital announced they chose Midtown for the location of their new global digital operations center. o 250 new jobs; $3 million investment June 22-Amazon announced they chose Jackson County for the location of their new fulfillment center. o 500 jobs Page 9 of 15

10 June 23-Granite Telecommunications announced they would expand their Cobb County operation. o 50 jobs June 30-Pratt & Whitney announced they would retrofit and equip their Columbus Engine Center using Georgia Quick Start to retrain employees. o $65 million investment July 1-Hubbell Incorporated announced they would open a new facility in Jackson County. o 100 jobs July 19-Top Gun Powder Coating and Architectural Coating announced they would expand in Northwest Georgia. o 70 jobs August 3-Voxpro announced they would locate their new Center of Excellence in Athens-Clarke County. o 500 jobs August 10- Adidas announced they would open their U.S. SPEEDFACTORY in Cherokee County o 160 jobs August 12t-Global Payments announced they plan to expand their presence in metro Atlanta o More than 200 jobs Page 10 of 15

11 Workforce: The Georgia Department of Economic Development s Workforce Division hosted the first Georgia WIOA Convening August 1-3 in Cobb County. This training opportunity attracted more than 400 workforce development practitioners from across the state to share best practices and collaborate on how to effectively train Georgian s for the in-demand jobs of today and the future. Partnering agencies that participated in and hosted breakout sessions during the WIOA convening included: GDOL, TCSG, GVRA, DHS During the WIOA Convening, we launched WorkSource Georgia, the first unified brand associated with Georgia s workforce system. On the last day of the convening, the Workforce division also announced the launch of the HDCI Sector Partnership Grants: * $250K may be awarded to each workforce development region * The grant supports the development of HDCI Sector Partnerships, and it is designed to increase the capacity for regional collaboration Tourism: -On June 28th, Tourism announced that we welcomed more than 100 million visitors in 2015, an increase of 3.7%. -On July 27th, Tourism announced that it awarded more than $85,275 in product development agreements to 13 new and expanding tourism projects across the state. -On July 6th, Georgia Tourism announced its new Songwriter Series, which will take place in six cities across the state from July through December. -The series celebrates the Year of Georgia Music, the 2016 marketing initiative developed by Georgia Tourism to promote the state as a premier destination for live music and music heritage. -The first event was held on July 29th in Dublin, EG Knight, Levi Lowery and Greg Hester all preformed. Page 11 of 15

12 -The next will be held on August 20th in Columbus, featuring Jake Fussell, Marshall Ruffin and Alia Torres. -Great Wolf Lodge Resorts announced a new plan for an indoor water park in LaGrange on June 23rd. This new project is expected to create approximately 600 jobs and an economic investment exceeding $150 million. -On June 7th, Tourism announced the release of the 2016 Culinary Guide, Georgia Eats. This featured the widely popular 100 Plates Locals Love. Entertainment: As you know Georgia s film and television production industry is booming right now! Gov. Deal announced on August 2nd that Georgia-lensed feature film and television productions generated an economic impact of more than $7 billion during fiscal year The 245 feature film and television productions shot in Georgia represent $2.02 billion in direct spending in the state. In addition, since the opening of the Georgia Film Academy, the program has been adopted at eight Georgia campuses. By the end of the year, 610 students are projected to have completed Course One, and 274 students will complete on-set production internships and receive certification. In addition to the increase in production expenditures, Georgia has experienced enormous infrastructure and business growth, including the opening of Atlanta Metro Studios in Union City and a significant expansion at Pinewood Atlanta Studios in Fayetteville. More than 130 new businesses have relocated or expanded in Georgia to support this burgeoning industry, creating jobs for Georgians as well as economic opportunities for communities and small businesses. Georgia-filmed movies will take over the big screen in 2016 with: 1. Solace 2. Sully 3. The Birth of a Nation 4. The Accountant Page 12 of 15

13 Upcoming Georgia-filmed television productions premiering within the next few months include: 1. Atlanta on FX 2. The Walking Dead 3. Halt and Catch Fire on AMC. Georgia-filmed Confirmation, starring Kerry Washington, was nominated for two Emmy Awards. International Relations: Our International Relations team led preparations for the Governor s mission to Germany July While in Germany, the Governor attended the Regional Leaders Summit, a biennial meeting of a seven-member alliance that was founded in 2002 to promote exchanges and to improve competitiveness within specific regions. This year s meeting was held in Bavaria, Germany. Since 2002, more than 200 projects have been implemented between partner regions, resulting in collaborative exchanges and effective results. Governor Deal also met with companies that have strong connections to Georgia as well as made prospect calls to a few companies considering expanding to the state. Overseas trips help establish and build relationships with companies by offering face-toface meetings with corporate executives. In addition, the Georgia delegation used the trip to learn about the world-class German workforce development and apprenticeship programs from companies that operate in Georgia COI: The Center of Innovation for Logistics and Hunter Maclean hosted the Savannah Logistics Lunch on July 21st at Armstrong State University and was attended by more than 300. This year s event focused on technology and transportation. Page 13 of 15

14 Along with myself and COI-Logistics Director, Jannine Miller, panelists included representatives from Averitt Express, C.H. Robinson, Descartes, Georgia Tech, and the Georgia Ports Authority. International Trade The Trade Division had a very successful FY 16, and greatly increased outreach across Georgia s business community: * Assisted hundreds of Georgia small business exporters * Supported 389 international deals across the state * Supported international sales exceeding $22 million in value Already in FY 17, the Trade Division has supported: * An incoming ag delegation from China that traveled through South Georgia * A seminar on emerging E-Commerce opportunities for Georgia businesses, featuring Paul Swenson, Georgia s Trade Rep in China Trade is looking forward to another busy and successful year, with upcoming events in: * Latin America, Japan, Mexico, Europe For more information on upcoming international events, please talk with Deputy Commissioner Mary Waters. Marketing & Communications: The Marketing and Communications team recently partnered with the Life Science and Corporate Solutions team to host 8 journalists on a media familiarization tour. The tour highlighted the vitality of the Life Science industry in Georgia and the idea that an idea can be born, researched, developed, tested, manufactured, distributed and commercialized all in Georgia. We expect to see great stories derived from this event. An innovative and newly designed Center of Innovation website has been launched that creates a streamlined user experience in place of four disparate legacy websites. Page 14 of 15

15 A fully responsive design; improved load speed; and a greater emphasis on story-telling and video are just a few of the improvements. We are continuing to effectively use video content to tell our success stories to potential clients and visitors. Currently, GDEcD s Marketing & Communications and Global Commerce Teams are in the final stages of creating a new Chinese language video aimed at prospective Chinese FDI and trade projects. A digital ad buy is planned to support the video content and ensure the video is promoted and seen in select China markets. Work is currently underway for similar video content for Korean and German prospects. I d like to thank all of our presenters who joined us today to put a spotlight on Georgia s workforce assets. All of our economic development successes are based on strong partnerships we wouldn t be as successful as we are without all of you. And, thank you to our Board Members and Advisors for all you do to support our efforts. Adjournment There being no further business, Chairman Neely adjourned the meeting at 4:48 pm. Respectfully Submitted: Page 15 of 15

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