elgin area chamber / development group

Enhancing Economic Vitality Advocating for Business Creating Opportunities for Members

Welcome

to the

Elgin Area Leadership Academy

Economic Development Session

February 5, 2011

Ingredients for Organizational Success


Mission Board

Staff X-Factor

Our Mission


ENHANCING ECONOMIC VITALITY

ADVOCATING FOR BUSINESS

CREATING OPPORTUNITIES FOR MEMBERS

Mission Board

Staff X-Factor

Chamber Board of Directors


Mission Board

Staff X-Factor

Executive CommitteeJohn Hurlbut, Hurlbut & Hurlbut P.C. Chair of the Board

Michael Shales, Shales McNutt, LLC Chair Elect of the Board Susan Angell-Case, Baird and Warner Vice Chair of Membership Mary Martini, Sherman Hospital Treasurer Michael McKay, Edward Jones Investments Immediate Past Chair of the Board Leo Nelson, Elgin Area Chamber Secretary

Board of Directors Larry Dry, Provena Saint Joseph Hospital Charles Falls, Demi & Cooper Advertising Kim Gilmore, Gilmore Marketing Concepts Inc.Patrick Hayes, Fabric Images Inc.Tonya Hudson, Downtown Neighborhood AssociationChris Huecksteadt, MetroStudy Dale Lonis, Elgin Symphony OrchestraTodd Olsen, National City Bank Dave Rock, IHC Construction Companies, LLC Dr. David Sam, Elgin Community College Eric Smith, Hoffer Plastics CorporationJack Sorenson, U.S. Shelter, LLCSean Stegall, City of ElginPat Szpekowski, PmS advertising, inc. Jim Thomason, Grand Victoria Casino Dr. Jose’ Torres, School District U-46 Mary Catherine Walsh, Cuisine America Inc. Catered Events Jennifer Whiteside, Chase Card Services

Leo Nelson, President

Michael O’KelleyVice PresidentEconomic Development

Terry Gajewski,Vice President Finance/Information Systems

Bob Malm Challenge 21Campaign Director

Pat Tindle Administrative Coordinator

Catherine SmithAdministrative Assistant

Jeanette Mihalec, Vice President Membership

Carol Gieske,Vice PresidentCommunications and Special Events

Chamber Staff

Mission Board

Staff X-Factor

mailto:[email protected]



Board of DirectorsBoard of Directors

Executive CommitteeExecutive

CommitteeGovernan

ce Committe

e

Governance

Committee

Elgin Development Group


President’s Council

Business Retention/Recruitment Committee

Workforce Development Committee

Enhancing Elgin Committee

Transportation Committee

President’s Council

Business Retention/Recruitment Committee

Workforce Development Committee

Enhancing Elgin Committee

Transportation Committee

Ambassador Club


Golf Committee

Hablamos Español Expo Committee

Retention Committee

Ambassador Club


Golf Committee

Hablamos Español Expo Committee

Retention Committee


Membership

Council

Membership

Council

X-Factor


Mission Board

Staff X-Factor


Thanks to our Volunteers!We appreciate their contribution of time and expertise to help us to serve the

business community.

Paula AmentaSusan Angell-CasePatty ArroyoDawn AshleyDavid BearMark BillingsKimberly BlessJackie BolgerLynne BosleyKelly BrownCharles CassellJohn CassidyDiane CooperFred CoppesWendy CovichScott DamischJerry DeeringNidia DelgadoCarol DePueTom DevonaLarry DryMary DulabaumJim DuranteDale DwyerNathaniel EdmondJerry EdwardsDavid EssexCharles FallsKathy FesterBrian FletcherJoe FollrathDan FoxKenneth Franzese

Michael FriscoJaime GarciaHeather GatesNancy GentileMarie GildersleeveKim GilmoreDonna GrimmettGordon GromerPeggy GundrumKarla GuzmanPat HayesSofia HedbergJames HillsRichard HitchcockWilliam HofferChristopher HuecksteadtCathy HurlbutRichard JakleRise JonesThomas KallayDavid KaptainWilliam KarstenJohn KatzenbachBarb KeselicaJay KilgoreBarbara KininmonthCarolyn Kirk-LikouGinger KnappCynthia KolichBill KowalskiRich KruthDemetrius KylesIan Lamp

Dale LonisTonya Lucchetti-HudsonRoy LukowskiMary MartiniMark MastroroccoJorge MauricioMichael McKayTina MengelDeborah MillerJavier MontoyaSusan MoylanSteve MunsonCherie MurphyMichael MurschelSimon NussbaumDiane O'ConnorSusan OlafsonTodd OlsenDavid PatzeltLee PlasmierChris PriesterJohn PriggeSharon PrizyDenise RaleighTracy Ramsay McDonnellToya RandallScott ReiningMark RichardsThomas RickertMary RobbRichard RobinsonDave RockKrisilee Rothaug

Sara SaboDavid SamPam SaylorGeorge SchoberEdward SchockAaron SellersJack ShalesDana SlatteryAJ SmithMichael SobelJerry SorensenJack SorensonJohn SteffenSean StegallMary Ann StephensDavid StrahlSteve SuperPat SzpekowskiJim ThomasonSteve ThorenJose TorresJackie TredupJacquie VinzMary Catherine Walsh

Class ExerciseChoosing a U.S. location


Partnership Goals:

•Provide a solid tax base to support quality municipal and educational goals

•Improve the quality of life and standard of living for Elgin residents

•Create a diverse and vibrant local economy

•Generate desirable employment opportunities

•Business Retention,

Recruitment & Expansion

•Enhancing Elgin

•Transportation & Development

•Workforce Development

Key Initiatives


Business Retention, Recruitment & ExpansionStaying in touch and reaching out to businesses through retention surveys

Hosting round tables with opportunities for networking and meeting with government & education officials

Encouraging exporting and trade as ways to expand business

Promoting the Elgin area as a preferred business location

Bringing in new businesses – creating jobs and investments in land, buildings and equipment

Targeting retail development for shopping convenience and to capture sales tax revenue

Proclaiming the positive aspects and quality of life in the Elgin area through an image and branding campaign.

Enhancing Elgin

Transportation & Development

TransportationFocusing on critical land use and transportation issues as the Elgin area continues to grow and prosper

Working with government officials to improve the existing roadway system

Exploring new strategic transportation corridors in the western growth area

Workforce DevelopmentFostering communication between business, government and educational entities to help build a diverse and technologically talented workforce

Enhancing workforce quality through skill building in partnership with Elgin Community College

Developing stronger school/business partnerships to improve the skill set of entry level workers

Continuing to implement WorkKeys® – a national career readiness certification program

•Business Retention, Recruitment

and Expansion

•Enhancing Elgin



Key Initiatives


The American Workforce: Our Hopes, Our Voice, Our Future

The Elgin Story

A community involved………………..

Changes in Workforce Skills Needs Across Fifty Years

1955 2005

Unskilled60%

Skilled20%

Professional20%

Skilled68%

Professional20%

Unskilled12%

Government

Business & Industry

Education

Developing Strategy

Do we have a skilled workforce to compete globally?

Elgin Community College

City of Elgin\

Chamber of

Commerce

Workforce

Illinois Dept. of

Employment Security

Kane CountyDepartment ofEmployment &

Education/WIB

U-46 Sch Dist

Career & Technical Guidance

Grand Victoria

Foundation

Pace Bus

United Way

Centro de Informacio

n

Business & Manufacturing

Community Support to Workforce Development

Creating Commonality

• Speaking the same language• Uniform Goals• Eliminate Redundancy• Understanding and Developing

Workforce Skills– Core– Soft– Job

Identifying, Measuring and Improving Workforce Skills

for the Jobs of the Future

Workkeys is a registered trademark of ACT, IncKeyTrain is a trademark of Thinking Media

WorkKeys® Skill Areas

* 85% of ALL occupations utilize there skills

• Reading for Information*• Applied Mathematics*• Locating Information*• Applied Technology• Teamwork• Observation• Listening • Writing• Business Writing

•

TM

NCRC STATE

CRC STATE ACTIVITY

REGIONAL NCRC/WORKKEYS ACTIVITY

LIMITED WORKKEYS ACTIVITY

2009

National Career Readiness Certificate Levels & Employability

Core employability skills for approximately 30% of jobs


Core employability skills for approximately 85-90% of jobs


How Does It Work?

• College Ready/Workforce Ready

• Redirecting the unemployed

• Improving the incumbents

WorkKeys Identifies Skill Gaps

• By comparing the job and individual profiles, the skills gap can be identified

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4

3

4

3

4

5 5

6

3

4

AppliedMathematics

3

4

Reading forInformation

3

4

LocatingInformation

5

Skills Gap

Skills Gap

Individual

Job Profile

KeyTrain Helps to Fill Skill Gaps

• KeyTrain provides self-paced curriculum to help individuals fill their skill gaps

3

4

3

4

3

4

5 5

6

3

4

AppliedMathematics

3

4

Reading forInformation

3

4

LocatingInformation

5

Individual

Job Profile

5

6

KeyTrain

• Many new hires have no experience

• Hundreds of hours of training required

• Investment in new hires is significant

• Succession plan of technical talent

• Quality requirements more stringent

Current Challenges

• Basic math skills (measurement, metric conversion, weights, dimensions)

• Ability to follow written instruction

• Locating Information (quality plans, prints, labels)

• Mechanical aptitude

• Soft Skills (initiative, honesty, punctuality, cooperation, desire to learn)

• English comprehension

Typical Skills Gaps

• Current internal testing consumes time, resources, and is costly to buy and administer

• The NCRC eliminates and replaces the process, streamlining selection time

• Results in a 43% reduction in selection time and eliminates testing burden on HR

Candidate Selection

Reading Shop MathAnalyzing

InfoWonderlic

NCRC

Going Forward

• Local Initiatives– EAC Workforce Development Committee– 1,000 Skilled Workers– ECC Key Train Lab– U46 Testing of Juniors and Seniors

The Future in Illinois

• Illinois NCRC Alliance– Group of Educators, Employers, Government,

and WIB representatives– Heartland Conference – March 2011

• Midwest consortium of workforce development advocates

• Elgin presentation

– Annual ACT National Conference – April 2011• Elgin presentation

How do I get involved?

• Recognizing the NCRC• Understanding your company needs• Profiling• Testing in other areas• Contact the Elgin Area Chamber

•Business Retention,

Recruitment & Expansion•Enhancing Elgin



Key Initiatives


Visit at the Siemen’s Wind Turbine Plant in Elgin, IL

http://www.youtube.com/user/ElginDevelopmentGrp

Mission: Retain, facilitate expansion and attract businesses to the Elgin Community

Business Retention & Recruitment Committee

Survey the Elgin business community to identify concerns /challenges and gauge overall sentiment

Foster relationships with brokers and site selectors in order to promote the benefits of an Elgin location

• Taxes• Labor• Real estate inventory• Access to expressways• Incentives• Proximity to residential areas

Quickly establish “hot buttons” for companies considering Elgin and address these factors in order of priority. Site selection factors:

Provide introductions to assist company and broker/site selectors with their evaluation.

State of Illinois contactsCity of Elgin contactsBanksDevelopers / LandlordsSources of laborElgin Community College (training programs)Foreign Corporate CommunitiesArchitects / Designers

Enhance communication amongst corporations of similar origins (i.e. German, Japanese, etc)

Keys to the Committee’s SuccessLow municipal and county taxesAccess to expresswaysStrong and diversified labor baseExisting, high quality, state-of-the-art real

estate inventoryProximity to O’HareStrong foreign investment (European, Asian)Incentive programsPro-business municipality (expedited

permitting)

•Business Retention, Recruitment

and Expansion

•Enhancing Elgin

•Transportation & Development•Workforce Development

Key Initiatives


4Q10 © Copyright Metrostudy 2011


National EconomyU.S. Total Employed - Total Number of Jobs

Source: Bureau of Labor Statistics


Source: U.S. Census Bureau

National EconomyNational Single-Family Permits - Annual Trend



National EconomyU.S. Housing Production - Year by Year Totals (SF & MF)



National EconomyU.S. Housing Production - Year by Year Totals (Single-Family only)


State SF Permits Annual Change Percent Change Job Growth

Texas 66,266 1,937 3.0% 194,400

Florida 31,250 4,456 16.6% 37,000

North Carolina 26,870 1,725 6.9% -5,100

California 24,639 1,186 5.1% 14,600

Virginia 16,619 549 3.4% 49,600

Pennsylvania 16,205 2,100 14.9% 57,400

Washington 14,555 2,096 16.8% 27,100

Georgia 14,049 192 1.4% -5,100

South Carolina 13,455 105 0.8% 7,300

Tennessee 11,996 451 3.9% 25,100

Source: Metrosearch USA

National EconomyHousing Market - Top Ten States Ranked by Single Family Permits

Illinois @ #19 with 8,052 SF Permits, DOWN -3.7%


Source: Illinois Department of Employment Security

Chicagoland MarketChicagoland Region - Year by Year Jobs Gained & Lost


Source: Illinois Association of Realtors

Chicagoland MarketSF Resale Housing Market - Annual Sales & Active Listings


Source: Illinois Association of Realtors

Chicagoland MarketSF Resale Housing Market - Median Price Monthly Trend

Down 6.9% from November, 2009Down 1.1% from Previous Month


Source: Woodstock Institute

Chicagoland MarketSix County Area - Properties with New Foreclosure Filings by Quarter


City 2009 3q09 YTD 3q10 YTD #Chg from ’09 %Chg from ’09

Aurora 1,960 1,399 1,754 355 25.4%

Joliet 1,285 879 1,204 325 37.0%

Elgin 1,146 789 1,021 232 29.4%

Cicero 982 643 780 137 21.3%

Waukegan 887 618 742 124 20.1%

Bolingbrook 857 592 773 181 30.6%

Berwyn 659 408 577 169 41.4%

Carpentersville 562 400 559 159 39.8%

Palatine 540 352 600 248 70.5%

Schaumburg 532 340 488 148 43.5%

Calumet City 528 327 454 127 38.8%

Romeoville 523 363 439 76 20.9%

Hanover Park 511 341 443 102 29.9%

Source: Woodstock Institute

Chicagoland MarketForeclosure Filings - Submarkets with 500+ Foreclosures in 2009


Source: Metrostudy

Chicagoland MarketAnnual New Homes Started - Year by Year


-2% -14% -10% 18% -53% -44%

Source: Metrostudy

Chicagoland MarketYear to Date Housing Starts - 2009 & 2010 Comparison by County

-31% -20%-8%


Source: Metrostudy

Chicagoland MarketFinished Vacant New Home Inventory - Quarterly Trend


Source: Metrostudy

Chicagoland MarketAnnual New Home Starts & Lot Inventory - Annual Trend


-3% -5%-6% -7% 2% -12%

Source: Metrostudy

Chicagoland MarketVacant Develop Lot Inventory - 2009 & 2010 Comparison by County

-6%-4% 1%


Source: Metrostudy

Chicagoland MarketVacant Develop Lot Inventory - Months of Supply by County


City/Village County2006 Starts

2010 Starts VDL Mo. Supply

Future Lots

Elgin Kane/Cook 1,184 179 1,847 123.8 12,776

Oswego Kendall 692 123 1,842 179.7 6,350

Chicago Cook 1,123 99 1,161 140.7 4,128

Huntley Kane/McHenry 412 99 985 119.4 6,564

Winfield DuPage 190 93 51 6.6 42

Aurora Various 1,288 80 773 116.0 1,543

Volo Lake 0 76 466 73.6 879

Shorewood Will 629 75 1,103 176.5 2,744

Plainfield Will/Kendall 690 74 1,835 297.6 8,790

Naperville DuPage/Will 981 63 855 162.9 1,021

Yorkville Kendall 911 59 1,949 396.4 18,053

Mundelein Lake 568 54 194 43.1 576

Gilberts Kane 316 53 284 64.3 1,669

Montgomery Kane 181 53 518 117.3 752

Pingree Grove Kane 37 52 863 199.2 5,598

Source: Metrostudy

Chicagoland MarketMunicipality Ranking - Ranked by Annual New Home Starts


Builder Name 1q10 2q10 3q10 4q10 Total Closings

Pulte/Del Webb 80 68 147 79 374

D.R. Horton 67 84 87 90 328

Ryland Homes 47 57 67 60 231

Town & Country Homes 32 51 43 42 168

Toll Brothers 37 35 21 19 112

Centex Homes 14 34 36 24 108

M/I Homes 15 9 36 33 93

Olthof Homes 45 16 10 16 87

Lexington Homes 1 47 25 12 85

Contry Homes 13 22 31 15 81

Lennar Homes 19 11 16 32 78

William Ryan Homes 15 13 13 22 63

Red Seal Development 5 16 14 8 43

Sho-Deen Homes 15 8 7 11 41

Hartz Construction 9 11 10 0 30

Source: Metrostudy

Chicagoland MarketBuilder Ranking - Top 15 Home Builders by 2010 Annual Closings


Source: Metrostudy

Elgin MarketAnnual New Homes Started - Year by Year


Source: Metrostudy

Elgin MarketAnnual New Home Starts & Closings - Historical Trend


Source: Metrostudy

Elgin MarketStanding New Home Inventory - Historical Trend


Source: Metrostudy

Elgin MarketAnnual New Home Starts & Lot Inventory - Annual Trend


Elgin MarketAnnual New Home Starts & Lot Inventory - By Price Range

Source: Metrostudy


Extended Period of Unemployment Likely

Job Creation will Lag in the Midwest

Prices Reaching Bottom/Still Little Demand

New & Resale Home Inventory Low

Lot Inventory - Fewer Quality Lots Remain

2,500 Starts in 2010, 2011, Look to 2012

Summary


Our Websiteelginchamber.com

Facebook Pageelginareachamber

EDG Blogelgindevelopmentgroup.blogspot.com

Chamber Blogelginareachamber.blogspot.com

Thank you Don, Dan, and Class Participants

To learn more about the Chamber visit us on line

elgin area chamber / development group

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business community

elgin residents

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board leo nelson

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