2011 Cornerstone Investors - San Angelo Chamber of Commerce
Transcription
2011 Cornerstone Investors - San Angelo Chamber of Commerce
Mark Thieman SWS Financial Thank you for this opportunity to demonstrate the return on investment that your Cornerstone contributions have generated. This public-private partnership continues to reap major benefits for San Angelo by providing the additional funding needed for broad-based programs targeting legislative affairs, recruitment and retention of jobs and payrolls, and major event tourism. Throughout this booklet, you will find examples of the initiatives pursued and the successes documented over the past 24 months. Major returns were realized in legislative affairs in 2011 and 2012; however, 2013 will continue to see a renewed focus in the area of economic development. Rick Mantooth Foster Communications Thank you for your past and future support. Your generous financial support is creating a major impact on San Angelo. 2013 Campaign Co-Chairs Sam Allen Jackson Walker 1 AEP Texas AB Distributing American Classifieds Angelo Glass & Mirror Angelo Transportation/Welch Transfer Angelo Water Service, Co. (Culligan) Armstrong Backus & Co., LLP Atmos Energy Automatic Fire Protection Baptist Retirement Community Bentwood Country Club Calvert Collision Center Chilton, Wilcox & Co City Lumber & Wholesale Coldwell Banker Patterson Properties Concho Valley Electric Cooperative, Inc. DeCoty Coffee Dierschke & Dierschke Eckert & Company, LLP Ethicon, Inc. Ener-Tel Services Evans, Eckert & Peterson PC First Financial Bank San Angelo Foster Communications Fuentes Café Downtown Glazer's Goodyear Proving Grounds Holiday Cleaners Hughes Company Hyde Interactive Jackson Walker L.L.P. Lee Pfluger Massey & Balentine P.C./Stroman Title Mayfield Paper Mitchell Automotive Group Moleo Gas Corporation Building a NNNN Pasiano Porter Henderson Implement Co. Randall Motors Reece Albert, Inc. Reliant Energy Republic Services Rio Concho Retirement Community San Angelo Association of REALTORS San Angelo Community Medical Center San Angelo Motor Company San Angelo Security Service San Angelo Standard-Times San Angelo Stock Show & Rodeo Association Scott Gibbs Shannon Medical Center SKG Engineering Steve & Pollyanna Stephens Steve Eustis Co. Realtors Sunset Mall Surety Title Company SWS Financial Services Texas Bank The Bank & Trust Trimble-Batjer Ins. Assoc. West Texas Medical Associates Zesch & Pickett Insurance LLP Public Partners City of San Angelo Development Corporation Tom Green County Stronger Business Environment 2 CORNERSTONE ECONOMIC IMPACT 2006-2012 PROJECT ECONOMIC IMPACT CONFERENCES Texas Downtown Association AJRA Texas High School Rodeo Finals State Gymnastics Tournament Heavy Duty Towing Texas Blue Grass Festival High School Football Tournament $ $ $ $ $ $ $ 61,560 456,000 45,600 114,000 30,780 91,200 80,000 $ $ 45,100 1,202,400 PROJECTS GAFB Chapel GAFB Aircraft Fire Trainer GAFB 400 Person Dorm GAFB 200 Person Dorm GAFB Joint Intel Tech. Training Facility GAFB Consolidated Learning Center GAFB Fitness Center GAFB Privatized Housing Goodfellow Express Trolley Center for Security Studies - ASU Railroad Crossing Improvements South Orient Rail Rehab and Ballinger Bridge Mutli-Modal Terminal Loop 306 @ FM 388 Janus Project Hirschfeld Energy Systems (formerly Martifer) Account Control Technology Expansion LCRA CREZ Transmission Lines $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ 4,300,000 2,500,000 22,900,000 13,200,000 11,600,000 11,200,000 4,400,000 7,150,000 625,000 8,400,000 1,000,000 18,209,797 5,200,000 6,000,000 600,000 30,000,000 3,120,000 1,150,000 TOTAL $ 153,681,437 EVENTS Elite Goat Breeders Celebration of Champions/World's Greatest Horseman (2012 & 2013) 3 FINANCIAL ACTIVITY FOR CORNERSTONE FOR THE MONTH ENDING DEC 2012 AND YEAR TO DATE 2012 BEGINNING CASH BALANCE – January 1, 2012 $126,727.54 BEGINNING CASH BALANCE – Dec. 1, 2012 $121,276.67 INCOME: Pledge Income Interest Income TOTAL INCOME MONTHLY 1,966.74 4.86 1,971.60 YEAR TO DATE 71,675.00 69.02 71,744.02 EXPENSES/TRANSFERS: Economic Dev. Marketing (58%) Government Affairs Community Events – Tourism (16%) Admin fee to Chamber (10%) Data Management – Signage Thank You Ad Progress Ad Lone Star Elite Sponsorship Cornerstone luncheon/LeGrand Center deposit TOTAL EXPENSES/TRANSFERS ENDING CASH BALANCE DEC 31, 2012 1,411.37 135.00 42,949.01 11,848.00 -07,405.00 10,800.00 1,364.00 401.33 2,500.00 135.00 2,179.05 77,402.34 389.34 -0- 243.34 -0-0-0- -0- $121,069.22 $121,069.22 4 5 6 SUMMARY OF LEGISLATIVE AFFAIRS ACTIVITIES IN 2012 Successful legislative activity continued to be an important component of the Chamber’s program in 2012, creating significant return on investment for its members and the community. Much of the Chamber’s work in government affairs is supported by Cornerstone investment dollars in addition to regular membership dues. Since the program’s inception in 2006, Cornerstone investors have pledged just over $597,000. Those dollars have been put to work over the past six years to generate enormous returns in the areas of economic development, government affairs and major event tourism. To date, an economic impact of over $153 million has been documented on Local, State, and Federal projects advocated by the Chamber’s legislative affairs agenda. A major factor in San Angelo’s strong economy in 2012 is the growth and strength of its Federal and State employers. Long known for the diversity of its private sector employers, San Angelo also benefits heavily from large public sector payrolls, including the largest employer in the area, Goodfellow Air Force Base. Therefore, the Chamber places a high priority on the needs of its public sector employers, investing a significant amount of staff time and financial resources into legislative affairs. FEDERAL ISSUES AND ACTIVITIES Efforts Continue at Goodfellow AFB Several construction projects were completed or neared completion at Goodfellow Air Force Base as 2012 came to a close. These projects are key initiatives of Goodfellow and the Air Education and Training Command that have been supported on the Chamber-led trips to Washington DC and San Antonio for several years. No area of the Chamber’s government affairs activity has yielded a higher return on investment than those partnering with Goodfellow to gain approval of funds for projects updating infrastructure and enlarging classroom and service space at Goodfellow. The $11.2 million Consolidated Learning Center that broke ground in mid-2011 was opened in December 2012. The 27,965 square foot structure consolidated a new base library, education office, shared classrooms, and professional enhancement into one center from locations in World War II-era buildings throughout the base. The second of two recent pipeline dorms will be occupied the first of 2013, welcoming its first 200 residents into the 100-room, $13.2 million project. Other projects completed that will celebrate grand opening ribbon cuttings in January of 2013 include the Marine Training Leaders building, the Crossroads ministry facility, and remodeling of the Cressman Dining Facility. Still under construction in early 2013 is the $11.6 million Joint Intelligence Technical Training Facility, 50,000 square feet of much needed SCIF space (Sensitive Compartmented Information Facility) which will consolidate classrooms for training language analysts and other intelligence training. Completion of the specialized space is expected in late spring/early summer 2013. The 1st Community Federal Credit Union opened its new 2,600 square foot facility at Goodfellow in October of 2012. 7 In addition, the Chamber worked throughout 2012 to establish public transportation for Goodfellow personnel into San Angelo on Fridays and Saturdays, now known as the “Goodfellow Express.” Through the support of the City of San Angelo, Concho Valley Transit District and the Chamber, a pilot program in the summer was followed by a permanent route that averages over 500 riders per weekend. The program was recognized by Texas Chamber of Commerce Executives as the best new program in the Government Affairs category in 2012. ASU Center for Security Studies On the Chamber-led trip to Washington DC in May, community leaders thanked legislators for the vital support to establish the Center for Security Studies at Angelo State University, a successful partnership with Goodfellow AFB producing culturally competent civilian and military students with bachelors and masters degrees that help students analyze, advise, and lead in a complex, unpredictable world. A final of $3 million was awarded to ASU. De-Listing of Dunes Sagebrush Lizard For several years, the Chamber strongly supported efforts to prevent the Dunes Sagebrush Lizard from being listed on the U.S. Fish and Wildlife’s Endangered Species List because of the potential impact of regulations from such a listing on the oil and gas industries of West Texas and Eastern New Mexico. Following years of research, the Chamber celebrated in June, 2012 with members of the West Texas Congressional Delegation the decision by U.S. Fish and Wildlife not to list the species as endangered in favor of continuing voluntary conservation measures. Federal Transportation Reauthorization The Chamber actively supported the Federal Transportation Bill in 2012, which was approved in June and signed into law in July for two and a half years. Assistance to Federal Elected Officials In February, the Chamber assisted ASU in hosting U.S. Senator Kay Bailey Hutchison’s visit to the Center for Security Studies. In July, the Chamber hosted Congressman Mike Conaway’s San Angelo Business Roundtable to discuss healthcare issues and possible impacts of the Patient Protection & Affordable Care Act on local businesses. STATE ISSUES AND ACTIVITIES West Texas Legislative Summit The ninth year of the West Texas Legislative Summit proved that the regional event has come of age, as it attracted a record number of legislators as well as the highest number of business and community representatives ever in attendance at the August event. State and national experts on water law and best practices addressed the theme “Water Resources— Now and the Future” in a full day of panels before 300 participants at the McNease Convention Center. The reception and dinner on the eve of the event at Christoval Vineyards drew high praise from participants and sponsors alike. Attendees from outside the Concho Valley came from over 40 different communities. Legislative Update At the October Membership Luncheon, the Chamber hosted State Senator Robert Duncan and State Representative Drew Darby in a membership presentation that included a frank look at issues that will 8 confront the Texas Legislature in 2013, including transportation, water, financing, and health and human services. Angelo State University The Chamber supported ASU’s request of the Texas Legislature to allocate funding for the College of Nursing and Allied Health to help meet State of Texas mandates in health care delivery, particularly in rural and under-served areas. Included in this request were both operational dollars and funds needed for a critical deficit in new classroom space, skilled laboratory space, research space and faculty office space created by growth in the departments of Nursing and Physical Therapy. The Chamber actively supports ASU’s efforts to build the new College of Nursing and Allied Health building utilizing Tuition Revenue Bonds or any other feasible combination of financing mechanisms. ASU, Howard College, SAISD Because of the difficulty in achieving the THECB’s “Closing the Gaps” goals through budget cuts while serving increasing enrollments, the Chamber reiterated its 2010 position asking the State to minimize any additional decreases in funding for Angelo State University, Howard College, and the San Angelo Independent School District. The Chamber continues its strong support of initiatives at ASU and Howard College through these institutions’ designation as HSIs (Hispanic Serving Institutions). The Chamber also applauds dialogue underway between the Commissioners of the Texas Education Agency, the Texas Higher Education Coordinating Board and the Chairman of the Texas Workforce Commission evaluating testing standards, the 4 X 4 required curriculums for high school graduation, and expanded career pathways for Career and Technical Education. San Angelo State Supported Living Center The Chamber actively supports efforts though Project Janus made possible by a grant through the Department of Aging and Disability Services to enhance the well being and care of individuals dually diagnosed with intellectual and developmental disabilities and mental illness. The San Angelo State Supported Living Center specializes in the treatment of patients with dual diagnosis disorders, and the Chamber advocates the goals of Project Janus and the leadership role of the San Angelo campus in serving clients with dual diagnosis and their families. Transportation The Chamber supported several transportation initiatives during 2012. The Chamber maintained its support for completion of the Texas Trunk System to facilitate regional connectivity, and full funding of the pavement and bridge maintenance programs throughout the State. Regarding the need for additional transportation funds, the Chamber sponsored a Transportation Funding Forum with the Texas Good Roads/Transportation Association in August, 2012 to hear about alternatives for additional transportation dollars from State or Federal Sources. The Chamber is on record in support of State Representative Drew Darby’s efforts to identify options for producing additional state transportation revenue in the 2013 State Legislative session. Construction will begin in early 2013 creating Super 2 highway status for U.S. Highway 277 from San Angelo to Sonora, creating mile-long passing lanes every four to five miles along the route. This Chamber-supported project is a significant step in improving the Ports-to-Plains Transportation Corridor 9 from the West Coast of Mexico through the U.S. and into Canada, and will help mitigate problems caused by increasing traffic along the route. The Chamber actively supports the funding of railroad improvements west of San Angelo through Fort Stockton to Presidio to bring the track operated by Texas Pacifico Railroad up to Class II standards. The Chamber is also solidly behind a resolution with the IBWC (International Boundary and Water Commission) to allow the U.S. and Mexico to rebuild the railroad bridge at Presidio that burned in February 2008. If discussions continue to progress, a resolution is hoped for by July, 2014. Chamber representatives were active in the previously mentioned Ports-to-Plains transportation initiatives, which included meetings of the Southern Workgroup in San Angelo and in Durango, Mexico, and the P-T-P annual conference in Medicine Hat, Alberta, Canada. Regarding local transportation projects and planning, the Chamber President has a seat on the Policy Board of the San Angelo Metropolitan Planning Organization (MPO), the transportation planning body for San Angelo whose mission includes economic vitality and safety through transportation connectivity, focusing federal, state and local tax dollars on the most beneficial projects for the area. Regional Needs The Chamber participated in an informal network on legislative concerns with West Texas Metro Chambers, as well as with the Texas Midwest Community Network in its annual legislative luncheon and annual training conference in 2012. The Chamber also participates in the Concho Valley Regional Consortium, composed of economic development and elected officials from 13 Concho Valley counties in the Workforce Board service area that addresses opportunities and economic needs in the region, from housing to transportation, medical services to employment opportunities. OTHER LOCAL ISSUES The Chamber continued to actively interface with local government, including the City of San Angelo, Tom Green County, the San Angelo ISD and many other governmental entities. Mayor Alvin New and Interim City Manager Michael Dane briefed the membership on many City issues, including the timetable for the arrival of water from the Hickory Aquifer field, at the August membership luncheon. In addition, new City Manager Daniel Valenzuela spoke to local businesses and the media at the Chamber’s monthly membership luncheon in December. Regarding the Chamber’s goal of working collaboratively to assure adequate future water supplies, the City of San Angelo is utilizing a $120 million low-interest loan from the Texas Water Development Board to finance the Hickory Aquifer water supply project. The interest rate on the loan is 1.35%, which will save the city almost $90 million over the 20 years of financing the project. In addition, the 62.5 mile transmission pipeline bid was awarded in October 2011 for $19 million less than the $58 million cost estimated for this phase, with a target completion date of July or August of 2013. A new water treatment facility will be online the following summer. Military Affairs In addition to the issues highlighted and projects funded under Goodfellow Air Force Base, nine Chamber and community representatives visited the Pentagon, the National Geospatial-Intelligence 10 Agency and federal legislative offices in May advocating for the needs of Goodfellow Air Force Base, and the offices of the U.S. Chamber of Commerce to interface on issues important to business. Through its Military Affairs Committee, the Chamber continued to host important individuals and delegations visiting Goodfellow Air Force Base and San Angelo throughout 2012. The Chamber also partnered with the San Angelo Independent School District in submitting an entry in the Altus Trophy competition, which recognizes the best training base/community relationship in the U.S. Air Force. Unfortunately, the entry finished second nationally for the second year in a row. The Chamber hosted a very successful Goodfellow Appreciation Day on Armed Forces Day in May, feeding and entertaining approximately 2,200 civilian and military students, staff and dependents in a major show of appreciation for GAFB. Throughout the year, the Chamber provided the quarterly recognition awards for outstanding Army, Navy, Air Force and Marine men and women at Goodfellow, and also selected and hosted the Special Order of Merit Award recognizing four active duty service members and one overall winner from four who were nominated by their commanders for exhibiting outstanding professional military performance and exemplary civic involvement. Also, the Chamber’s partnership with Goodfellow on the Friendship Golf Tournament raised critical funds used for Goodfellow families with special needs while their service members are deployed. In addition to efforts of the Military Affairs Committee on behalf of Goodfellow, Base Commander Col. Mark Damiano briefed Chamber members at the February membership luncheon on base activities and the training of 13,000 intelligence, special instruments and firefighting students per year; the Chamber facilitated several windshield tours of GAFB for community representatives; and the Chamber helped promote Goodfellow’s Community Appreciation Day in November. 11 Update on Legislative Affairs and Economic Development Efforts Your cornerstone investment funds three major initiatives for our community – economic development, legislative affairs, and major event tourism. Over the past three years, we have experienced tremendous return on investment in all three areas, but most notably in the legislative affairs. Numerous trips to Austin and Washington D.C. have enabled the Chamber to keep San Angelo’s priorities in front of our elected representatives and Pentagon officials. As a result of these and other efforts, San Angelo and Goodfellow AFB have been recipients of major construction dollars from federal funding over the past several years. The San Angelo delegation had another very successful visit to Washington earlier this year. The Chamber’s position opposing Sequestration was embraced by the Congressman, as he favors strategic cuts rather than the straight lined 8% cuts that Sequestration would mandate, particularly in the area of Defense since $487 billion is already being removed from Defense over the next ten years. Congressman Conaway stated that cuts of additional billions would be “devastating” to our ability “to defend this country,” and leave the military “smaller than healthy.” Legislative Director Paul Balzano and Military Legislative Assistant Michael Thornberry attended the dinner with Conaway and his wife Suzanne. Staff members discussed future activity on the Dunes Sagebrush Lizard and many other issues with the participants. Congressman Conaway met the ten trip participants for forty minutes in his office to receive our thanks for work on our issues, and discuss current and future issues. We thanked him for his support of the Center for Security Studies at ASU. We provided the Congressman and his staff copies of the one page summary of issues, which included our thanks for the MILCON projects underway at Goodfellow AFB, and the top three unfunded MILCON requests for future years (Live Structural Burn Trainer, Consolidated Base Logistics Complex, and Phase 2 of the Joint Intelligence Technical Training Facility). The delegation heard the Congressman’s latest assessment of efforts to produce a new federal transportation bill, and noted the importance of continued funding for connectivity resulting in commerce through highway construction and maintenance, particularly along the Ports-to-Plains route. San Angelo representatives thanked him for his efforts opposing the listing of the Dunes Sagebrush Lizard on the Federal Endangered Species List. San Angelo Delegation Fredd Adams, San Angelo City Council Member Sam Allen, Chairman, Chamber Board Michael Dane, Interim City Manager, City of San Angelo Steve Floyd, Tom Green County Commissioner Johnny Griffin, Chairman, Military Affairs Committee Kendall Hirschfeld, San Angelo City Council Member Jim H. Hughes, Chairman, Government Affairs Council Dr. Brian May, Provost, Angelo State University Phil Neighbors, President, Chamber of Commerce 12 Page 2 Cornerstone Investors Report Prior to Senator Hutchison’s arrival, the delegation met with Hutchison’s Legislative Director and Counsel David Davis and Deputy Legislative Director Dana Barbieri. They distributed the summary and background to San Angelo’s issues of interest. Her staff assured the group that Senator Hutchison was working on a better rate of return for Texas in her role on the Conference Committee for the Highway Bill Reauthorization. In discussing current military cost-cutting and a possible BRAC process in 2015, Davis urged San Angelo and Goodfellow to research what could be added to the existing missions of Intel and Firefighting because training is less expensive, and because of the great support the community provides to GAFB. Davis also pointed out that the success of ASU’s Center for Security Studies makes Goodfellow more valuable and less vulnerable to closure and cuts. Senator Hutchison joined the discussions, and she was thanked for her many years of service to Texas and her valuable assistance to San Angelo in many areas. Dr. Brian May expressed appreciation for her support of the Center for Security Studies, and she said that she takes great pride in the Center’s success to date, and hopes that the final year of funding can be reinstated. Of her role on the Transportation Bill Reauthorization Committee, she said that although there were around fifty people participating with varied interests, she sensed a consensus to pass something and described a compromise between the chambers as “doable.” The critical importance of highway construction and maintenance funds was stressed by the San Angelo Delegation. Senator Hutchison also noted that Sequestration would be catastrophic for both military and many different health and social programs, and remained hopeful that other cuts could be agreed upon instead. Make plans to attend the West Texas Legislative Summit on August 28th. Register at www.sanangelo.org or call the Chamber for more information. Senator Cornyn also spent a few minutes with the delegation in his office. Also attending were Legislative Director Shay Wester, and Military Legislative Assistant Douglas Ivanac. Senator Cornyn stated that there may be widespread support for transportation reauthorization, but that the divisive issue is “how do we pay for it?” He stated that Texas is receiving approximately 92 cents on the dollar from gas funds contributed, and that the fund is shrinking about 2% per year. The delegates stressed the need for continued transportation funding in West Texas. Participants also expressed support for holding regulatory agencies accountable for their growth and the mandates imposed upon employers. Michael Dane stated that federal regulations create a need for an additional 8-10% in tax revenue for the City’s operations. Regarding Sequestration, the Senator stated that he did not see how the military could survive any more steep cuts following the half billion dollars in cuts already agreed upon. He related meeting with Goodfellow Commander Col. Mark Damiano earlier in the week, who stated that San Angelo has shown the best support for its base of any community he had ever seen, a comment Ivanac was told they never tire of hearing. Doug stated that he believed Goodfellow currently provided the Department of Defense with the lowest and best costs of ISR training. 13 Page 3 Regarding cuts already undertaken by the Customs and Border Protection Division of Homeland Security, Doug stated that there are no more cuts currently proposed for CBP other than the possible Sequestration. He was assured that the City, COSADC, and County stand ready to participate in any facility upgrades at our local installation for Customs and Border Protection. Cornerstone Investors Report authorize a 2015 BRAC process, stating that once all of the downsizing in aircraft and personnel has taken place, there will be “25-30% in excess capacity” at military bases. Noting that he personally worked the last two BRAC processes, he stated that the Air Force has no choice but to “make ends meet” with funds available. The first appointment was with Terry A. Yonkers, Assistant Secretary of the Air Force for Installations, Environment and Logistics, and James P. Holland, Deputy Assistant Secretary of the Air Force for Installations. Mr. Yonkers also stated that “every base will be on the table” for consideration for closure, realignment or growth. Every state has at least one Guard unit that will be closed, and all states will feel some pain from BRAC. However, he added that he believes that no bases will be closed unless it makes sense to close them to realize immediate cost savings, and then added that two other factors that would likely be evaluated would be air space and/or encroachment for bases with active flying missions, and community support. The age, condition and usage of facilities should also come into play, he predicted, but the overhead to operate our base compared to similar costs at other training bases with similar missions would be important. Mr. Yonkers started the meeting with the statement, “This has been the most difficult year since I’ve been in this role” referring to the $487 billion in future defense cuts planned over the next ten years through the DOD. He and James Holland had just returned from an 8-base round of visits, and described the mood as “austere” as cuts are being felt. The process he outlined for official BRAC action was a recommendation from Congress, followed by appointment of a BRAC Commission, work by the Commission, scrutiny of findings by Secretary of Defense Panetta, acceptance or modifications from Congress, and then the order to the BRAC Commission to carry out the changes. Discussions took place regarding the Center for Security Studies, and Yonkers thanked San Angelo for the ASU & Goodfellow partnership and everything else San Angelo has done and is doing for the relationship. He noted that Intelligence, Surveillance & Reconnaissance (ISR) is still a growth industry for DOD, and said that Goodfellow should continue focusing on being a center of excellence for ISR while the Air Force asks local communities to bridge even more of the gaps as services are reduced on bases. The delegates noted that the community is in discussions with Goodfellow to augment food service on base from the private sector, and they heartily approved. Community representatives outlined other initiatives underway partnering with Goodfellow, and Yonkers and Holland thanked the delegation for their proactive support of the base, the students, and the local military leadership. On the way to the first appointment, we were fortunate to have a brief conversation in the Pentagon hallway with Goodfellow Commander Col. Mark Damiano and new Command Chief Master Sergeant Scott Lumpkin, who thanked the delgation for being there and briefed them on some recent developments at the base since the previous week. Yonkers indicated that he didn’t sense “any appetite for a 2013 BRAC,” especially with $10 billion more already scheduled to be reduced from the DOD budget next year. However, he indicated that his group would support the President’s request and ask Congress to 14 Page 4 The second appointment was with Lt. General Larry D. James, Deputy Chief of Staff for Intelligence, Surveillance & Reconnaissance, USAF; Brig. General Mark W. Westergren, Director of Strategy, Plans, Doctrine and Force Development at the Deputy Chief of Staff for Intelligence, Surveillance, and Reconnaissance; and Col. David A. Martinson, Associate Civil Engineer. A very pleasant relationship exists between San Angelo and General James, and he again thanked them for all their support of the ISR mission at Goodfellow. The presence of General Westergren in the meeting was an added bonus, as he was headed soon to Omaha to serve as the Chief of Intel at Strategic Command. Regarding a future BRAC, General James indicated that he didn’t think Congress would do anything prior to the November election, but he hoped Congress would take action to avoid Sequestration. He noted that there is a lot of value engineering (cuts) being made to achieve current budget reductions, particularly where the Guard and Reserve are concerned, for the 2013 budget. The delegation quoted comments from the earlier meeting in which they were told all bases will be on the table for closure or consolidation during the next BRAC, and General James acknowledged that, but added that the following points: 1) New ISR missions are coming along at a rapid pace; 2) ISR training currently ‘starts and continues’ at Goodfellow; 3) The remote location of Goodfellow is actually a plus considering its ISR training mission; 4) President Obama has named ISR a military priority; and 5) Goodfellow’s low cost structure and the ‘can-do’ attitude of the community will also help Goodfellow during any analysis. General Westergren added that, “Personally, I don’t know that there’s any risk to the base, but the more value added to the base, the better off it will be.” A discussion followed in which the relationship between ASU’s Center for Security Studies and Goodfellow was explored, including new degrees for analysts. The generals added that there is an effort to have captains and majors obtain advanced degrees while working their way up in ISR, to which ASU is an asset. Participants noted current efforts to continue bus transportation for students to San Angelo businesses. They were also briefed on Goodfellow students’ Cornerstone Investors Report participation in the flag roll-out at the Rodeo, and how important they are to the drag boat races and other local events. “Personally, I don’t know that there’s any risk to the base, but the more value added to the base, the better off it will be.” - Brig. General Mark W. Westergren The first meeting was with Mr. Greg Glewwe, Public Affairs Officer, NGA. A native Texan and graduate of Sul Ross State University, Greg clearly enjoyed giving the San Angelo representatives a tour and briefing of NGA. The NGA’s motto is “know the earth…show the way…understand the world,” and its mission is to support GIS intelligence for national security purposes. Much of their basic imagery and geospatial mapping is taught at Goodfellow, and he indicated that they are looking at expanding some of the training now going on at Lackland to Goodfellow. The NGA Campus East, as it is known, opened in September 2011 combining over 9,000 people from three previous East Coast locations in this headquarters in Springfield, VA. Authorized by the 2005 BRAC, the building is the largest Lead Gold Certified structure with over 2.8 million square feet. The North and South wings are color-coded into ‘neighborhoods’ for easier navigation, and the group agreed that it is an amazing building. The agency began in 1996 and was re-named NGA by Congress in 2003. They advise with data and maps; but they do not make the final decisions on “where to deploy resources.” The agency maintains 8 of the 12 tracking systems in the world that help facilitate GPS. There are a couple hundred UAVs collecting up to 17 hours of imagery all the time, which is then stored. NGA has to prioritize what it watches and stores. One example they showed with a photo was how the NGA brought imaging assets to bear when Ben Laden was captured & killed at Abbottabad. They also use NGA data for humanitarian purposes as well as Homeland 15 Security. Page 5 The delegation then met with Mr. Ben Cumbo, National Geospatial-Intelligence Agency College Outreach Director, who emphasized that important events now happen in real time without any warning. He stated that NGA College’s mission is to train ISR professionals for the new environment and culture that is GEOINT, and that he is working to create four new certification levels in Intel training by the end of September. Dr. Brian May and he visited about the role that ASU’s Center for Security Studies already plays and how that role can be increased in the future. The USGIF certifies educational programs in GEOINT. Cornerstone Investors Report As a result of last year’s trip to Washington, the Chamber, City, and Concho Valley Transit District worked diligently to establish, and temporarily fund, the Goodfellow Express, a trolley route from Goodfellow to the downtown area and to businesses along the Loop and Sherwood Way. The pilot program launched June 1st, and continues to have success with an average of almost 500 trips per weekend. The committee is currently looking for permanent funding so that the trolley service can continue. Mr. Cumbo said that the phrase “need to know” is now “need to share,” and that in his opinion, too much information is still classified, but it is moving in the right direction. An interesting observation about those currently in Intel: 40% of their workforce is now within five years of retirement (as he is), and 40% of it has been in the field less than five years. Following their presentation on monitoring capabilities throughout the world, County and City officials visited with Mr. Dane Wilson, NGA Disaster Response Support, about how NGA resources could be utilized in the future with such emergencies as the 2011 fires in West Texas. Dr. Eileen Preisser, Senior Air Force Intelligence Representative to NGA, serves as Director of the Air Force GEOINT Office, advising the Air Force and NGA on GEOINT technical issues. She and Lt. Col. Monica Patridge had lunch with the participants in the cafeteria, along with Chris Phillips and Maj. Pina, and follow up was scheduled between Dr. Preisser and Dr. Brian May to facilitate future growth and interaction with ASU’s Center for Security Studies. 2012 had been a year of building these new initiatives and programs, providing us with an opportunity to position the community for the future. The acceptance of the Strategic Plan for Economic Development in San Angelo has diversified the scope of work of the Chamber’s Marketing and Recruitment division by adding the additional responsibilities of creating a formalized Business Retention and Expansion Program (BREP). Staff, working with the oversight of the Chamber’s Economic Development Committee, is organizing and developing the BREP to support local business in the community. The BREP will support the local business community with information, direct or indirect assistance through our economic development partners, and financial services. The Cornerstone Program supports the efforts of the Chamber in multiple areas and is the backbone of the Chamber’s Economic Development initiative. COSADC funding has a limited scope of uses dictated by state mandate. Cornerstone dollars allow for the flexibility in the program that the other funding sources do not. Staff continues to work as an ally to all businesses regardless of NAICS code designation or type of business through the support of the Cornerstone 16 investors. Cornerstone Investors Report Page 6 Thank you to our 2012 Cornerstone Investors! Pledge Total - $76,600 DIAMOND Ethicon, Inc. First Financial Bank San Angelo Reece Albert, Inc. SILVER AEP Texas Atmos Energy Automatic Fire Protection Dierschke & Dierschke Foster Communications Mitchell Automotive Group Rio Concho Retirement Community San Angelo Association of REALTORS San Angelo Stock Show & Rodeo Association Sunset Mall Texas Bank BRONZE AB Distributing American State Bank Angelo Water Service, Co. (Culligan) Armstrong Backus & Co. LLP City Lumber & Wholesale Eckert & Company, LLP Glazer’s Goodyear Proving Grounds Holiday Cleaners Jackson Walker L.L.P. NNNN Pasiano Porter Henderson Implement Co. Randall Motors Reliant Energy Republic Services (formerly Trashaway) San Angelo Community Medical Center San Angelo Security Service San Angelo Standard-Times Shannon Medical Center Steve & Pollyanna Stephens The Bank & Trust Trimble-Batjer Ins. Assoc. CONCHO PEARL American Classifieds Angelo Glass & Mirror Angelo Transportation/Welch Transfer Baptist Retirement Community Bentwood Country Club Calvert Collision Center Chilton, Wilcox & Co. Coldwell Banker Patterson Properties Concho Valley Electric Cooperative, Inc. DeCoty Coffee Ener-Tel Services Evans, Eckert & Peterson PC Fuentes Café Downtown Hughes Company Hyde Interactive Lee Pfluger Massey Balentine P.C./Stroman Title Mayfield Paper Moleo Gas Corporation San Angelo Motor Company Scott Gibbs SKG Engineering Steve Eustis Co. Realtors Surety Title Company SWS Financial Services West Texas Medical Associates Zesch & Pickett Insurance LLP Please keep Cornerstone in your budget for 2013! Building a Stronger Business Environment 17 18 19 20 21 22 23 24 GOODFELLOW RIBBON CUTTING DAY PHOTOS Mark Thieman, Phil Neighbors, and Johnny Griffin stand in the lobby of new 198-bed, $13.2 million Pipeline Student Dorm to house female Air Force students. Goodfellow students using the new library located in the new Consolidated Learning Center. “Before” photos of the floor and wall deterioration that required the $5.2 million in remodeling of the Cressman Dining facility servicing 900 customers daily. 25 San Angelo group gets face time with D.C. contacts Leaders discuss local matters at nation's capitol By Bill Straub Scripps Howard News Service Originally published 10:30 p.m., May 9, 2012 Updated 10:30 p.m., May 9, 2012 WASHINGTON — A delegation of business leaders and government officials from San Angelo descended on the nation's capital this week to promote regional initiatives — including continued support for the mission of Goodfellow Air Force Base. The nine-member team, which arrived in Washington late Sunday, visited with Texas lawmakers as part of an annual tour intended to make contact with federal decisionmakers and keep abreast of issues pertinent to the San Angelo area. The representatives, consisting of members of the Tom Green County Commissioners Court, the city of San Angelo and the San Angelo Chamber of Commerce, the Concho Valley Workforce Development Board and Angelo State University, are slated to return today. "Face-to-face time provides an opportunity to see how we can be of assistance to military and legislative bodies," said Phil Neighbors, president of the San Angelo Chamber of Commerce, one of the delegation's leaders. "It's impossible to accomplish as much by phone and email as you can by really hearing from the leaders of the Pentagon who work with our programs and talk to the legislators and their staff members." A focus of the trip was a side venture to the National Geospatial-Intelligence Agency in nearby Springfield, Va., the federal group that deals substantially with the intelligence training that occurs at Goodfellow. "It's an extremely fast growing and changing field," Neighbors said. "We met with Pentagon officials as well as representatives of Air Force bases just keep in touch with them and more or less talk about Goodfellow and show support of the base and what they see in way of future changes." Neighbors said the delegation left with the impression that the San Angelo area is fortunate to have a military base where the two primary missions are intelligence and firefighting. "They continue to be growing missions in the Department of Defense," he said. "Goodfellow serves all of the branches of the military — intelligence and firefighting in all the branches as well as some foreign military representatives. It's fortunate we have a lot of diversity in training base in missions that are critical right now to the 26 military's missions." The group spent substantial time visiting with congressional offices, including a meeting with Rep. Mike Conaway. The representatives discussed topics ranging from the surface transportation bill currently being batted around Congress, the potential placement of the dunes sagebrush lizard on the endangered species list, and the process of across-the-board budget cuts known as sequestration. Sam Ray, Conaway's press secretary, said the lawmaker "always enjoys and finds it fruitful to visit other local leaders. The city fathers of San Angelo shared their concerns and views for the future. They had much common ground on the long term challenges facing San Angelo, and he looks forward to continuing to help the community in any way he can." Conaway believes the sagebrush lizard's potential designation "will cause needless interruption and costly mandates for the economic engines of the Permian Basin, the oil and gas industry, and agriculture and ranching." And while he remains hopeful, he is less than confidant that a transportation bill will get done. Neighbors said the group "really couldn't have gotten a better reception on most of the issues we have discussed." © 2013 Scripps Newspaper Group — Online 27 28 29 30 31 32 ECONOMIC DEVELOPMENT Marketing The economic development program in the City of San Angelo continued to build in 2012. The San Angelo Chamber and the City of San Angelo Development Corporation forged closer partnerships through strategic planning and collaboration throughout the year. Updated marketing materials were created, new trade shows were worked, and new programs were introduced in 2012. The Chamber vigorously developed relationships and represented San Angelo in the pursuit of the agreed upon targeted industries for the community. The Economic Development Division has been in the process of enhancing programs, strengthening local partnerships, and actively participating in state and regional economic development marketing organizations. Recognizing the cost effectiveness of regional economic development marketing and recruitment efforts, staff participated in the Texas Midwest Community Network Alliance, Office of the Governor’s TexasOne Program, West Texas Wind Energy Consortium, and High Ground of Texas. Staff has continued advertising efforts in 2012 with targeted placements in such magazines as Energy Magazine, Trade & Industry Development, North American Wind Power, and Area Development. Ads were also placed in publications associated with trade shows and conferences. We have also continued to build relationships with organizations and site selection representatives that will benefit the community for the future. ONGOING INITIATIVES 2012 Staff has taken leadership roles in several new initiatives to assist in the promotion of business, job creation, and the increase in the tax base. Several of the plans have been implemented, but are still in the process of being completed. Strategic Plan Economic development partners began a strategic planning process in 2011. AngelouEconomics, an Austin-based economic development and site selection consulting firm, was hired to develop a strategic plan that will guide San Angelo’s economic development over the next five years. Those efforts continued in 2012 with the Chamber supporting the resulting plan which was approved and adopted by the Chamber Board, City of San Angelo Development Corporation Board and the San Angelo City Council. Partners participated in priority planning for the implementation of the adopted plan with some focus changes including the priority of the Business Retention and Expansion Program (BREP). All Economic Development partners have been working on the assigned tasks to implement the plan in San Angelo. The Chamber staff has concentrated on priority tasks including Government Affairs, Tourism, Marketing (to target industries), and Business Retention and Expansion. Business Resource Center A partnership with the City of San Angelo, Small Business Development Center, San Angelo Chamber, Downtown San Angelo, Business Factory (formerly the Business Incubator), Howard College and the Concho Valley Workforce Board has been formed to create a “one stop shop” for economic development in the community. The facility is located at 69 N. Chadbourne in the former Coca-Cola warehouse/ office building. Construction continued through 2012, and the building began to host the first new tenants in November, with City Staff moving in first followed by the Small Business 33 Development Center and the Concho Valley Center for Entrepreneurial Development. Offices for each of the partners will allow a more cohesive approach to Economic Development for the community. Business Retention and Expansion Program The Chamber has worked through the year to develop a marketing plan for BREP, meeting with committee members and partners to concentrate efforts on local businesses. Staff has gone to BREP training through the International Economic Development Council to bring new ideas to the process. The program will be the responsibility of the Chamber as part of the tasks assigned in the San Angelo Strategic Plan for Economic Development, and will include all economic development partners in the community. Trade Show Participation/ Recruitment Trips Economic Development remains a priority for the State of Texas. In February, the VP of Marketing & Recruitment traveled to California to spend a week at the 2012 World Ag Expo in Tulare. In April, staff represented the community and hosted the second annual Lone Star Solar Summit. In June, San Angelo was represented at WindPower 2012 in Atlanta, GA. November brought both the Specialty Equipment Market Association trade show in Las Vegas and a new membership with the International Council of Shopping Centers in Dallas. Staff continues to evaluate the attendance of all trade shows and look for new opportunities within the target industries identified in the Strategic Plan. Oil/Gas Industry Economic development efforts during the latter part of 2012 have been focused on the opportunities within the Oil and Gas industry. With new technology and discovery of reserves in West Texas, San Angelo is uniquely situated geographically between the Eagle Ford Shale and the Cline Shale. If predictions of the capacity for oil and gas reserves are correct, West Texas is once again positioned to become one of the largest energy producers in the world, with exciting possibilities for our area. 34 35 36 BUSINESS BULLETIN: TimeClock moves, Walgreens expands Peggy Arnold Originally published 10:08 p.m., October 14, 2012 Updated 10:08 p.m., October 14, 2012 SAN ANGELO, Texas — The name "TimeClock Plus" is familiar to many San Angelo businesses who utilize the time and attendance software created and marketed by local software development firm Data Management, Inc. And now their new location at their newly approved address will create even more awareness of the company than ever before. TimeClock Plus has just concluded a move to their new location at 3522 West Loop 306 and just received approval to change their building address to 1 TimeClock Drive. Their attractive new sign is very visible to traffic on Loop 306. "We've moved our entire team to the new location which is much larger than our former site and offers a much more functional design," said Scott Turner, Vice President of Marketing. TimeClock Plus is truly a home grown success story. Established by President Jorge Ellis in 1988, TimeClock Plus began the development of time and attendance solutions and marketed it primarily to small businesses. Today, the company boasts over 50,000 customers of all sizes worldwide and 100 employees. "We are constantly in growth mode," said Turner. "We're training new employees now and have another training class scheduled following this one. Our new location will give us the room to grow right here in San Angelo." When I asked what the future holds for TimeClock Plus beyond the new larger location, Scott Turner told me that the company has "big plans" in both the short and long term, although he is not at liberty to divulge those plans at this time. "Going on my 18th year with the company, I can unequivocally say that our company's future has never looked brighter!" Congratulations to TimeClock Plus on your success and your new location. A 3rd Walgreens Location If you have driven by the intersection of 29th Street and North Bryant Blvd, you will have noticed a very large building under construction, soon to be a third Walgreens location. Native San Angeloan Amelia Zamora will return home from her current Walgreens post in San Antonio to manage the new store. Walgreens plans to hire 2530 new employees to staff the 14,550 square foot retail store and pharmacy, and interested applicants are invited to apply online at walgreens.jobs. "We anticipate that the store will open in late October or early November, and we are soliciting applicants now," said Zamora. 37 The Chamber assisted TimeClock Plus in their expansion project and provided funding through Cornerstone Funds. 38 39 40 41 Smith Travel Research Report (STR) December, 2012 Occ % 2012 San Angelo+ Abilene+ Midland+ Odessa+ Lubbock+ Kerrville+ Amarillo+ Wichita Falls+ Killeen+ Longview+ 2011 64.4 43.6 54.4 67.9 52.5 37.5 49.6 41.1 45.7 44.7 2012 50.1 44.7 70.2 77.9 50.3 33.5 53.6 39.7 52.3 48.2 San Angelo+ Abilene+ Midland+ Odessa+ Lubbock+ Kerrville+ Amarillo+ Wichita Falls+ Killeen+ Longview+ 71.04 70.75 93.02 92.39 74.14 66.38 66.77 62.13 65.14 60.36 2012 62.4 56.5 74.1 80.7 61.1 44.0 61.3 48.3 58.1 55.5 2012 51.15 30.39 74.55 86.82 40.18 25.22 32.91 25.48 29.58 27.91 2011 35.58 31.65 65.29 71.95 37.29 22.21 35.79 24.64 34.07 29.11 Occ 28.5 -2.5 -22.5 -12.8 4.3 12.0 -7.5 3.7 -12.6 -7.4 ADR 11.9 -1.5 47.3 38.3 3.3 1.4 -0.6 -0.3 -0.6 3.5 RevPAR 43.7 -4.0 14.2 20.7 7.7 13.6 -8.1 3.4 -13.2 -4.1 Room Rev 43.7 -1.2 23.6 20.7 5.9 13.6 -3.9 3.4 -7.6 -4.1 Room Avail 0.0 2.9 8.3 0.0 -1.7 0.0 4.6 0.0 6.5 0.0 2011 78.60 73.56 130.68 125.27 78.44 74.92 69.33 65.10 68.66 64.90 71.51 72.90 87.03 82.93 76.25 74.72 68.16 64.89 69.10 62.40 2012 58.74 38.72 97.53 103.67 48.73 35.14 40.95 31.48 41.46 35.32 2011 44.63 41.22 64.53 66.92 46.56 32.88 41.77 31.34 40.16 34.64 Occ 19.7 -6.9 0.7 2.6 1.7 6.6 -3.6 0.1 3.9 -2.0 ADR 9.9 0.9 50.1 51.1 2.9 0.3 1.7 0.3 -0.6 4.0 RevPAR 31.6 -6.1 51.1 54.9 4.7 6.9 -2.0 0.4 3.3 1.9 Room Rev 31.6 -3.9 57.2 55.9 6.2 7.1 3.7 -0.6 2.4 2.5 Room Avail -0.0 2.3 4.0 0.6 1.5 0.2 5.8 -1.1 -0.8 0.5 Participation Properties Rooms Census San Angelo+ Abilene+ Midland+ Odessa+ Lubbock+ Kerrville+ Amarillo+ Wichita Falls+ Killeen+ Longview+ 24 43 36 33 56 14 68 27 35 36 Sample 18 27 19 18 38 10 44 20 20 20 Census 1956 3361 3015 2652 4930 1092 5922 2330 2427 2484 Room Sold 28.5 0.3 -16.0 -12.7 2.5 12.0 -3.3 3.7 -7.0 -7.4 Year to Date - December 2012 vs December 2011 Percent Change from YTD 2011 RevPAR ADR 2011 74.7 52.6 74.6 82.8 62.1 46.9 59.1 48.4 60.4 54.4 2011 79.46 69.68 136.98 127.79 76.56 67.33 66.38 61.94 64.71 62.51 Occ % 2012 Current Month - December 2012 vs December 2011 Percent change from December 2011 RevPAR ADR Sample 1533 2185 1941 1932 3783 864 4373 1732 1649 1412 42 Room Sold 19.7 -4.8 4.7 3.2 3.3 6.8 2.0 -1.0 3.1 -1.4 43 44 45 46 47 48 49 50