hcped 2008-09 annual report

annual report2008

-09Henderson County PartnersHiP for eConomiC develoPment, inC.

15 years of Creating and retaining Quality Jobs

Henderson County PartnersHiP for eConomiC develoPment, inC.

Board of directors20

08-09 officers

AdAm SheAly, ChairmanThe Van Winkle Law Firm

SAndy TAllAnT, Past ChairDuke Energy

mArk STone, Chair ElectFirst Citizens Bank

nAThAn kennedy, TreasurerBB&T

Chip Gould, Product Development ChairCason Companies, Inc.

kelly leonArd, Marketing ChairForest Commercial Bank

ChriS BurnS, Chamber Chair 2008Summit Marketing Group, LLC

GreG BurneTTe, Chamber Chair 2009First Citizens Bank

Andrew TATe, President & CEOHenderson County Partnership for Economic Development

directorsChairman ervin BazzleHenderson County Board of Public Education

Gus CampanoGlade Holdings, Inc.

Tom CooperCooper Construction Company

Councilman hugh ClarkTown of Fletcher

rob CranfordMorrow Insurance

Carsten erkelElkamet

Jim hallInvestors Realty Group

don hallingsePSNC Energy

lynn JohnsonDixon-Hughes, PLLC

mayor henry JohnsonTown of Laurel Park

dave modaffFriday Staffing Services

Chairman Bill moyerHenderson County Board of Commissioners

mayor Greg newmanCity of Hendersonville

dr. molly parkhillBlue Ridge Community College

mayor Bob StatonVillage of Flat Rock

mayor roger SnyderTown of Mills River

laVoy SpoonerAT&T

debbie wilkinsonWachovia

2009 marks 15 years of an organized economic development effort for henderson County, north Carolina. During those 15 years the henderson County Partnership for Economic Development has been highly adaptive in pursuit of quality jobs; streamlining our offerings, improving our assets and mitigating our perceived weak-nesses. all the while, we continue to remain focused on maintaining our foundation, and our responsibility to grow and retain quality jobs in henderson County.

The assets of our County continue to shape the sectors that we target in our marketing efforts. Whether the industry involves metals, automo-tive, aviation or plastics, henderson County offers an impressive combination of quality workforce, logistics, infrastructure and govern-ment support. Deeper into this report, we will highlight these four sectors and profi le some existing industries within those sectors.

One unwavering foundational element of our organization is our commitment to those busi-nesses that already have a presence in hen-derson County. We continue to listen closely to the needs of our existing industry and develop solutions with their direction. Our organization serves as an advocate for more than 135 manu-facturers and assemblers in henderson County; acting on their behalf so that they may focus on producing their products and running their businesses.

letter from the Chairman

adam l. shealyThe van Winkle law firm2008-09 Chairman of the Board

adam l. shealy

This past year has shown that our focus on ex-isting industry is not just the right thing to do — it is also the smart thing to do. While many new construction projects have been on hold or delayed indefi nitely, consolidation projects have made up a signifi cant portion of our project volume. Of the seven projects that resulted in job creation, retention and/or investment over the past year, all involved companies that already had a presence in henderson County. in each of these instances, our organization and partners competed against other communities across the united states and internationally to win the projects. When these businesses had to make diffi cult decisions about which facilities were vital to their operations, and which loca-tions would be included in their future plans, henderson County came out on top.

The capacity to be adaptive is afforded through public and private sector investors that recog-nize the importance of our work and continue to choose to invest in our efforts. We have been afforded the opportunity to be proactive in eco-nomic development thanks to the dedicated leadership of our Board of Directors and our Members and investors. i would like to sin-cerely thank all who have contributed time and talents to the Partnership during the past 15 years, and assure you that we remain focused on maintaining our foundation by continuing our efforts to retain and create quality jobs in henderson County.

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4 | hEnDErsOn COunTy ParTnErshiP fOr ECOnOMiC DEvElOPMEnT

existing industryThe henderson County Partnership for Economic Development

continues to operate an aggressive and proactive industrial re-tention & Expansion Program (ir&E). The ir&E Program is a

collaborative effort between hCPED, Bill Payne of the nC Department of Commerce Western Offi ce and Julie Thompson and Shanda Bedoian of Blue ridge Community College. The program is focused on:

• Helping Henderson County industry become more competitive

• Removing obstacles that prevent existing industry from remaining in operation and/or growing in henderson County

• Demonstrating that the community appreciates industrial investment in henderson County.

The primary vehicle to accomplish these objectives is face-to-face visits with industrial executives in henderson County. The visits are customized and tailored to each company’s scope, size, product and facility needs. visits provide company executives with up-to-date information regarding local trends and initiatives, as well as connecting industries with local resources and business opportuni-ties. ir&E visits also provide an outlet for manufacturing executives to discuss business developments, industry trends and concerns that may be on the horizon.

Industrial Retention & Expansion Visitations 36 Contact with Industry Stakeholders 122me

trics

Company: Advanced Technical Welding

Industry: Metals + Machinery

Advanced Technical Welding represents a core cluster of metal fabrication and welding found throughout Henderson County, NC. Advanced Technical Welding specializes in repair welding of injection tooling, hardened tool steels, exotic materials, USDA, FDA, FAA and other aviation-related welding.

2008–2009 annual rEPOrT | 5

On July 1, 2008, the ir&E Program advanced to include a professional business tracking software license specifi cally de-signed for economic development needs. Executive Pulse is an inter-active, web-based tool that allows hCPED, nC Commerce and Blue ridge Community College to con-fi dentially share information and assign follow-up responsibilities on henderson County industries. The tool ensures we are responsive to issues impacting our local manu-facturers in addition to being able to report on the health of existing industry in aggregate form.

Since 1994, the Henderson County Partnership for Economic Development has assisted clients resulting in $481,200,000 of new taxable investment, helping to create and retain 3,432 jobs. Existing industries that had a presence in Henderson County account for 91% of that total investment and 85% of all new and retained jobs.

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Company: Skyline Plastic Systems

Industry: Plastics

The development and production of advanced plastic materials continues to be a primary industry cluster in Henderson County and Western North Carolina. Owners Doc and Debbie Smithson at Skyline Plastic Systems specialize in plastic injection molding.

industrial executives forumOn february 25, 2009, the Partnership held its 2nd annual indus-

trial Executives forum designed to bring together local manufac-turers, key stakeholders and elected offi cials. John Bell of Excel

Consulting Group and Dan Ostergaard of Western Carolina university’s institute for the Economy and the future delivered remarks centered on the theme of operating a business in a volatile economic climate. Presen-tations were based on case study analysis, best practices, and economic projections for Western north Carolina and henderson County.

The forum included small-group breakouts and a follow-up survey designed to collect feedback and identify opportunities for hCPED to improve the business climate of henderson County. forum partici-pants asked that hCPED assist by:

• Better leveraging the buying power of Western north Caro-lina on behalf of henderson County manufacturers

• facilitating and building plat-forms for connecting manufac-turers and improving communi-cation between them and allies

• Developing non-traditional tools to expose new business opportu-nities.

as a direct result of this feedback, hCPED developed an industrial Products & suppliers Directory, focused on connecting buyers of signifi cance in WNC with local sourcing opportunities in hender-


son County. hardcopies of the pub-lication, in addition to a web-based version, were developed with the assistance of manufacturers. The directory includes basic company information, detailed description and product photos. The directo-ries were distributed to all hen-derson County manufacturers and large procurement entities to help connect our industries with pro-spective business opportunities.

To better facilitate communica-tions and problem solving, we

established a linkedin hCPED group where members can share information, ask questions and discuss pertinent issues. hCPED also actively uses a Twitter account to share information about our ac-tivities and opportunities for hen-derson County manufacturers.

Our keynote speaker for the forum, Daniel Ostergaard, offered export plan assistance to henderson County manufacturers through his international Trade course at Western Carolina university. WCu

students held initial interviews with company offi cials, and then began researching international export opportunities that were spe-cifi c to each company and product. Manual Woodworkers & Weavers, leisure Craft and Dampp-Chaser were each presented a complete export assistance plan and de-tailed recommendations in how to move the plan forward.

John Bell, President of Excel Consulting Group, and Daniel Ostergaard, Executive Director for Western Carolina University’s Institute for the Economy and the Future addressed more than 100 participants at the Industrial Executives Forum. John highlighted a number of key components to implement when striving to navigate and thrive in a down economy. Dan presented demographic data, trends, public policy developments and pro-jections indicating a vibrant future for the manu-facturing community in Henderson County.


marketingWhile the volume of leads generated and identifi ed during the

previous year slightly outpaced the previous year, market-ing efforts were intensifi ed to reach that level. In late 2008 it

became clear that the standard holiday lead-stall around December was going to extend well into the close of the fi scal year. Closer inspection led us to learn that the bulk of our activity revolved around consolida-tion planning. Businesses were liening assets, prioritizing facilities, and shifting strategy — and our focus was to get in front of them before deci-sions were made.

Many of our recruitment-focused call missions and participation in trade shows included complementa-ry visits to out-of-town headquarters of existing industry. a late March trip to the Detroit, Mi area focused on attracting automotive compo-nent suppliers that do business with BMW and might also do business with the nearly completed vW facil-ity in Tn. This effort put us in front of several companies that have high interest in locating a southeastern us facility, in addition to allowing us the opportunity to meet with decision makers at arvinMeritor, BorgWarner and Continental Teves at their headquarters.

During a CarolinaWest call mission to the Dallas, TX area, primarily focused on site-location consultants, hCPED staff remained in the area to call on aviation and alternative energy companies. another Caro-linaWest call mission to the new Jersey and new york area led to a

During the 2008-09 year we con-tinued traditional marketing efforts with our partners like CarolinaWest, advantageWest and the nC Depart-ment of Commerce. We also initiated efforts to connect stakeholders and promote our offering through social media outlets. in addition to estab-

lishing a linkedin hCPED group for those engaged in our efforts, we also jumped head-fi rst into Twitter. While social media efforts are less tangible and diffi cult to measure, we can point to several inquiries which we received the early lead on because of our engagement.

metric

s Leads Generated/Identified that HCPED Responded To 105Participation in Targeted Call Missions or Trade Shows 16Projects: Site Visits to Henderson County by Active Clients 21Unique visitors to www.hcped.org 11,637


Skyline Plastic Systems

Final products are utilized in domestic and international markets, ranging from specialty designed horticultural products to parts utilized in the newly released 2010 Chevrolet Camaro.

visit with autronic Plastics incor-porated, parent company of aPi south in fletcher.

as in years past, hCPED worked with the north Carolina Depart-ment of Commerce on a variety of marketing efforts including the southeast us / Japan Conference in raleigh, nC, the national Busi-ness aviation association meeting in Orlando, fl, and the industri-al asset Management Council in asheville, nC. We continue to im-plement a collaborative approach in marketing, focused on strength-ening our offering while leveraging limited resources.

marketing activities, 2008-09Mission to Atlanta (NC Commerce)Presentation to NC Commerce (HCPED)Mission to Charlotte (CarolinaWest)Southern Environment & Energy Expo (HCPED)Parade of Pistons (HCPED)National Business Aviation Association (HCPED)Southeast US / Japan Conference (NC Commerce)Mission to Dallas (CarolinaWest and HCPED)Mission to Detroit (HCPED)Site Selectors Invitational (NC Commerce)Industrial Asset Management Council (NC Commerce)Le Bourget Air Show (NC Commerce)


Company: Öhlins USA

Industry: Automotive Components

Located less than 250 miles from 11 OEM automotive facilities, professional driving circuits, and industry-leading engineering and test centers, Henderson County continues to be an attractive location for manufacturing and distribution operations related to the automotive industry. Öhlins USA is the North American distributor and principal service center of the world’s leading performance suspension components for motor vehicles and motorcycles.

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a vital component of the Partnership’s economic development strategy involves the preservation and preparation of buildings and property suited for industrial development. Our engagement in product de-

velopment efforts involves private partners, and infrastructure and support allies all with a shared vision. The fletcher Business Park and ferncliff industrial Park illustrate how our public-private partnership works best.

Product developmentOver the past year we were fortu-nate to have had the opportunity to participate in the Duke Energy site readiness Program with fern-cliff industrial Park. The program consisted of an intensive process to inventory available infrastructure, identify challenges in the property’s development and evaluate the site’s marketability as client ready. The process was directed by Duke Ener-gy’s team and Jeannette Goldsmith of McCallum sweeney Consulting. We received signifi cant support and engagement from land-use, site planning, infrastructure, environ-mental and government partners to successfully complete the program. With many of the same partners, we were able to complete a signifi -cant amount of due diligence to the property including: geotechnical soil borings, threatened and en-dangered species study and fi eld survey, archaeological and historic structures survey, water and sewer


design engineering and permit-ting, and a Phase i Environmental survey assessment.

hCPED is fortunate to work with a number of private businesses which invest their resources into existing buildings. in December 2006, a team of local business leaders purchased the former steelcase building in fletcher and started the transforma-

tion to fletcher Business Park. The team has made more than $4 million in capital improvements to the 900,000-square-foot facility focused on transitioning the building from a single-purpose furniture manu-facturer into a unique, multi-tenant industrial property. in november 2008, taking the renovation one step further, vanir Energy (formerly ap-

palachian Energy) announced that the 23-acre roof of the fletcher Busi-ness Park building would house the world’s largest solar thermal heating and cooling system. The building is now home to over a dozen businesses including Diamond Brand Manufac-turing, Earthfare and high Gear – going from empty to 86% capacity in less than two years.


Cumulative investment since 1994 BUSINESS NAME INVESTMENT ($) NEW SAVED

Prince Manufacturing (1) 6,000,000 100 Prince Manufacturing (2) 650,000 28 Aegis Holdings 1,500,000 22 ArvinMeritor (1) 21,000,000 30 ArvinMeritor (2) 32,300,000 11 700 Atlas Bolt & Screw 2,000,000 35 Borg-Warner 31,000,000 50 Borg-Warner 12,500,000 28 Continental Teves (1) 100,000,000 552 Continental Teves (2) 4,300,000 13 Continental Teves (3) 8,700,000 35 DuraLine Imaging 1,000,000 10 Elkamet 6,700,000 50 FedEx 6,000,000 70 First Citizens Bank 17 GE Lighting Systems (1) 2,000,000 70 GE Lighting Systems (2) 1,000,000 6 H. Putsch & Company 6 Henderson Produce 1,500,000 12 Kimberly-Clark 39,000,000 20

JOBS

Kyocera 200 Manual Woodworkers & Weavers 6,000,000 325 Morris Broadband 1,800,000 41 MTI (Medical Cable Specialist) 750,000 29 Olympia Moto Sports 500,000 5 Parts Unlimited (Lemans Corp.) 9,000,000 75 Pepsi-Cola 5,700,000 115 Printpack 11,000,000 200 Printpack & Kyocera 10,000,000 22 Selee 1,900,000 45 Shorewood Packaging 20,000,000 55 Spearman Foods 1,000,000 4 13 The Warm Company (1) 3,000,000 6 16 The Warm Company (2) 3,200,000 9 UPM Rafl atac (1) 62,500,000 210 UPM Rafl atac (2) 40,000,000 70 UPM Rafl atac (3) 24,000,000 110 Vanir Energy 2,400,000 WilsonArt 1,300,000 17 TOTAL 481,200,000 1,929 1,503

BUSINESS NAME INVESTMENT ($) NEW SAVED

JOBS

Investments occuring in the 2008-09 fiscal year.


Öhlins USA

Öhlins USA operates one of the nation’s leading motion simulators, which can be adapted to reproduce driving and track conditions for nearly any road course throughout the world.

Cumulative investment since 1994On Tuesday, June 23, 2009, business and government leaders gathered at the Henderson County Historic Courthouse to announce three job creation and investment expansions for BorgWarner, Warm Company and Wilsonart. Earlier in the year, the Henderson County Board of Com-missioners expressed their support of the proposed expansion projects and extended economic development as-sistance to encourage the projects to take place in Henderson County. Both the BorgWarner and Wilsonart proj-ects received similar assistance from the Fletcher Town Council. The three projects resulted in $17 million in new investment, retention of 28 jobs and the creation of at least 26 new jobs.

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Company: Higher Source Aviation

Industry: Aviation + Aerospace

Aerospace and aviation-related companies continue to play a significant role in Henderson County’s long-term economic development strategy. Higher Source Aviation is an international leader in the production of refurbished components used in commercial and military grade aircraft.

advocacyThe Partnership was actively engaged in a number of core advocacy

issues and activities over the past year. Our focus was to partici-pate in the public process, speaking on behalf of business and in-

dustry in henderson County. Our actions have helped to solidify positive outcomes that ensure continued economic health and opportunity for the industries that we defend and encourage.

Job development investment Grant (JdiG) and article 3J Credits

portant machinery and equipment and job creation tool often used for existing industry expansions, and the only statutory program that nC offers. Partnership staff par-ticipated in a focus group with the unC Center, in addition to serving on the nC Economic Developers association legislative Commit-tee to successfully retain article 3J Credits, again with the support of our local legislative delegates.

senator apodaca, representative Justus and representative Guice all helped to retain and continue the tools that allow north Caro-lina to compete to create quality jobs. They each voted to extend the sunset of the JDiG program from 2010 to 2016. The unC Center for Competitive Economies presented a fl awed study to the General As-sembly recommending elimination of the article 3J Credits – an im-


Henderson County Water supply and distribution task forcein response to the onset of re-gional drought conditions and growing demands for a stable supply of public water, hender-son County along with each mu-nicipality formed this task force. hCPED staff was appointed to the task force to represent the business community. The group was designed to identify areas in which water resources could be improved or secured for long-term access. The Partnership continues to advocate for access to water resources to support the expan-sion of existing industry and to improve accessibility and service to industrial property.


City of Hendersonville Comprehensive Planning ProcesshCPED staff were asked to present to the steering Committee as they gathered input to create a newly revised comprehensive plan. The Partnership’s presentation included tax and employment data, mapping of property suitable for industrial development and a request that the committee continue to incorporate healthy economic development into City plans. in addition to making a formal presentation, hCPED staff attended public workshops and sessions to advocate for economic development.

enhanced access to Western Carolina university Programmingin late 2008, the Partnership dis-tributed an electronic survey to the industrial executives in hender-son County focused on assessing program needs that could be met by WCu. an overwhelming 72% of respondents indicated that a Bs in Engineering Technology degree program would be the most benefi -cial offering to their workforce. The

second highest response was 25% for a Masters in Business adminis-tration. The data indicating a strong need for enhanced access to engi-neering and engineering technology programs was further underlined by visits to six henderson County manufacturers with hCPED staff and Dean of WCu’s Kimmel school, Dr. robert McMahan.

Higher Source Aviation

The company is a FAA-licensed service center for overhaul and repairable assemblies for parts ranging from engines, propellers, expendables, ground support equipment, landing gear, avionics, and rotables.


federal Card Check legislationThe hCPED Board of Directors voted unanimously to adopt a res-olution in opposition to then house Bill 800, the Employee free Choice act. north Carolina has long been recognized as the least unionized state in the nation, and henderson County has no unionized manu-facturing labor, a characteristic which is vital to the success our local businesses and a direct link to our region’s ability to compete in the global marketplace. Card Check legislative compromises continue to threaten the secret ballot process currently in place.

nC department of Commerce raleigh Presentationin July 2008, eight members of the hCPED Board of Directors and staff traveled to raleigh to meet with nC Department of Com-merce staff in an effort to raise awareness of our offering. hCPED presented to nCDOC’s Business & industry Developers team of staff covering current demograph-ics, local assistance programs,

sites and buildings and product development efforts. following the presentation, we hosted a lunch, sponsored by PsnC Energy, which offered a more casual opportunity for hCPED to network with Com-merce staff and discuss economic development opportunities in hen-derson County.


PresidentialCason Companies, inc.City of hendersonvilleCooper Construction Co., inc.Dixon hughes, PllCDuke Energyfirst Citizens Bank henderson County

homeTrust BankKimberly-Clark, Berkeley MillsMoore & son site ContractorsMorrow insurance agency, inc.Mountain 1st Bank & TrustPsnC EnergysElEE Corporation

sunTrustThe Times-newsTown of fletcherTown of Mills riverUPM Raflatac, Inc.Wal-Mart stores, inc. #1242Western Carolina university

executiveaT&TBB&TCarolina specialties Construction,

inc.Egolf MotorsElkametflavor 1st Growers & Packersfletcher Business Park

friday services inc.Glade holdings, inc.henderson Oil Companyhunter automotive GroupiMOCO, inc.investors realty GroupMcCarroll ConstructionProgress Energy

rBC Bankreaben Oil Companysouthern alarm & securityThe van Winkle law firmThe Waverly innThos. shepherd & son inc.Town of laurel ParkWilliam G. lapsley & assoc.

General aPaC Carolina, inc. – asheville

Divisionadvanced Business Equipmentadvanced Technical Welding, inc.alljuice food & Beverage, llCameriprise financial services,

inc.arvinMeritor automotive, inc.atlas Bolt & screw, inc.Bazzle & Carr, PaBeverly-hanks & associatesBlue ridge Community CollegeBlue ridge Metals CorporationBlue star Camps, inc.Brown & BigelowCarl E. shaw, CPa, PllCCarolina firstCovestar investment realty

advisorsEarle insuranceExcel Consulting Group, llCflat rock Playhouseforest Commercial Bankhenderson County Chamber

of Commercehenderson County Public schools

henderson County Travel & Tourism

hendersonville Board of realtors, inc.

hendersonville Country Club, inc.hendersonville home Builders

associationhendersonville Printing Companyhighland lake innholiday inn ExpressiPM CorporationKanuga Conferences, inc.Keen impressions, inc.Kelso advertisingKenmure Properties, ltd.Kenneth r. youngbloodKing street Professional Centerlewis real EstateMacon BankMargaret r. Pardee Memorial

hospitalMcDonald’s — Edwards GroupMcnutt service Group, inc.Miller BrothersMiller’s laundry & Cleaners, inc.Monarch Property Group

Morosani & associatesnappier & Turner Construction

Co., inc.national Technical honor societynorm’s Minit MartsOates realty EraPark ridge hospitalPepsi-Cola Bottling Co.

of ashevilles&MEsoutheastern sureties Group, inc.southern Concrete Materialsstandard Tytape Companysuccessful financial strategiessummit Marketing GroupThe Manual Woodworkers

& Weavers, inc.Turf Mountain sodunited Community Bankunited Way of henderson Countyvillage of flat rockvocational solutions of

henderson CountyWachovia BankWachovia securities

members & investors


focused on Quality Job Creation & retention for 15 years2009 marks 15 years of an organized eco-nomic development effort for henderson County, north Carolina. We continue to benefi t from the support of our Members and investors, and want to say “Thank you” to all who have contributed time, talents and resources to the Partnership during the past 15 years!

1994 The Committee of 100 of the Greater hendersonville Chamber of Commerce was formed.

1998 Private funds were fi rst incorpo-rated into revenue sources, re-sulting in a budget that refl ected equitable participation through public and private sources.

2002 The lockwood Greene Economic Development Master Plan was released. The plan included an extensive labor study, a target industry analysis, and a market-ing plan.

2003 The transition from the Com-mittee of 100 to the henderson County Partnership for Eco-nomic Development took place, giving the organization a name that more clearly identifi ed its scope and mission.

2006 The Partnership for Economic Development adopted articles of incorporation and By laws, and was approved for tax-exempt status as an independent entity.

2008-09 Chair of the Board, Adam L. Shealy, thanks 2007-08 Chair Sandy Tallant for out-standing service, guiding the Partnership with steady and strategic leadership.

828-692-6373 ■ www.strategiclocation.com

mission statementThe Henderson County Partnership for Economic Development, Inc. is the professional economic development entity for Henderson County. It works to: attract and retain quality jobs; solicit new business compatible with the assets and values of Henderson County; promote Henderson County’s business image; assist expansion of existing companies; and enhance Henderson County’s overall quality of life.

hcped 2008-09 annual report

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