Washington County Board of Realtors July 19, 2012.

Washington County Board of RealtorsJuly 19, 2012

Governor Herbert’sFour Cornerstones

“Utah's future prosperity will be built upon four cornerstones”

- Gov. Gary HerbertUtah State of the State 2011

Governor Herbert’sEconomic Development Plan

Economic growth doesn’t Economic growth doesn’t just happen . . . just happen . . .

The Development Plan

•Utah’s roadmap for success

•Provides a playbook for economic development partners

•Emphasizes collaboration with industry

Governor LeadsEconomic Development

MY VISION FOR OUR STATE:

Utah will lead the nation as the best performing economy and be recognized as a premier global business destination.

Utah Economic DevelopmentFour Core Objectives

Utah Values

• Fiscal Prudence

• Limited Government

• Self-Reliance

• Individual Liberty and Individual Responsibility

• Free Markets and Free Enterprise

• Practical and Pragmatic Problem Solving

• Low Taxes and Sensible Regulation

• Empowering the Private Sector

Our Utah Toolbox

Challenge for the Council

AccelerateAcceleratethe creation of

100,000 Jobs in 1,000 Days100,000 Jobs in 1,000 Days

Accelerate 100,000 Jobs in 1,000 Days

Governor’s Excellence in Education Commission

GOAL:

66% of all adult Utahns will have a skilled trade certificate or college degree by 2020

Governor Herbert Bloomberg TV

“Capital is a coward; it only goes where it feels welcome.”- Governor Gary R. Herbert

Utah has:

• Safe and stable business environment

• Low tax rates

• AAA bond rating

• Reviewed Business Regulations

• Maintains a Business Friendly Environment

Utah is # 1A State of Opportunity

Why Companies Move to Utah

COST OF DOING BUSINESSCOST OF DOING BUSINESS• Top 10 in the State Business Tax Climate Index• 3rd lowest cost of doing business western US• Real estate rental below other western states

WORKFORCEWORKFORCE• #2 Fastest Growing State in the US• Residents speak over 100 languages• Competitive average wage

ACCESSIBILITYACCESSIBILITY• Salt Lake International Airport hosts over 700 daily flights.• St. George Municipal Airport hosts over 170 daily flights.• One-day truck from most cities in the Western US

The Fiber Crossroadsof the West

• Strategic location for national connectivity

• Backbone to 5 major metropolitan areas

• Growing concentration of high tech companies– Adobe, Oracle, IM Flash,

Overstock, eBay, Fusion-io

Broadband Milestones

• Ranked #1 in home broadband adoption — 80% of homes subscribe to Internet

• U.S. Department of Commerce

• 4th fastest Internet speeds in the nation — leading all western states

• Akamai Technologies Report

• 99.41% of homes have basic broadband service available — 3 Mbps down/768 Kbps up

• Utah Broadband Project/AGRC

• Adobe (927 jobs)• Black Diamond Equipment (55 jobs)• ATK Aerospace Systems (802 jobs)• Litehouse (NEW, 162 rural jobs)• CSN Stores (NEW, 868 jobs)• ITT Composites (2,707 jobs)• IM Flash (200 jobs)• EMC Corporation (500 jobs)• Scheels Sports & Entertainment (450 jobs)

Recent GOED Highlights

Recent GOED Highlights

•Home Depot (691 jobs)•Lifetime Products (282 jobs)•eBay campus (1,000 new jobs in addition to 1,200 existing)•NSA is the nation’s largest construction project (1,200 Utah

construction workers on site)•Boeing (Participating in Dreamliner production)•Hexcel (adding new production lines and manufacturing facilities)•BYU (adding housing and instructional buildings)•New SLC airport expansion at $1.8 billion over the next 10 years

Corporate Recruitment Results

Why Utah?

Cost & Quality of Living

Government Incentives

Proximity to University &Resource Availability

Flight Connectivity

& Other Infrastructure

Existing Players

• Hardware: Sun / Oracle, HP, Intel / Micron / IM Flash, Fusion-io, Iomega• Software: HP, Symantec, Omniture / Adobe, Microsoft, Oracle, Mozy• Services: Accenture, GE, AMEX, Fidelity• Other: eBay, NSA

• State Corporate Tax: 5%• Combined (State & Federal): 38%• Tax Credit: up to 30% for up to 20 years• Enterprise Zone & Grants: Various

• Approximately 23% cheaper than Boston, MA • Approximately 38% cheaper than San Francisco, CA• Healthy, balanced living with many recreational & other activities year-round

• University of Utah: 7,034 graduates/year• Brigham Young University: 8,500 graduates/year• Utah Valley University: 3,750 graduates/year• Bi-lingual population

• Salt Lake City International Airport & Provo Municipal Airport• 40+ flights daily between Boston & Salt Lake City• UTOPIA fiber network, reliable & cost-effective power, etc.

Source: EMC research

Litehouse Foods, Hurricane

Litehouse Foods

Czarnowski Display Services

Czarnowski – St. George, Utah

Coming Soon

800,000 square ft. distribution facility $90,000,000 in capital investment 450 new jobs New state revenue of $15,000,000 Fast tracking the facility

What Does This Mean for Washington County?

Increased wages.

Additional growth to support the new working population.

Commercial Real Estate development.

Leads to additional opportunities.

Governor Herbert keynote at2012 Utah Economic Summit

Tourism – Life Elevated

Zion National Park

How Do We Promote Tourism?

Utah Travel and Accommodations Guide.

International Travel Planners.

Familiarization Tours.

Utah Welcome Centers.

Special Tourism Projects.

Montgomery Tunnel

AD CAMPAIGNAD CAMPAIGN

• Leverages our Best State for Business status.

• Variations specific to certain industries and people.

SIGNIFICANT MENTIONS TO SIGNIFICANT MENTIONS TO SIGNIFICANT PEOPLESIGNIFICANT PEOPLE

• Site Selector Magazine• Area Development Magazine

SIGNIFICANT MENTIONS TO SIGNIFICANT MENTIONS TO EVERYONEEVERYONE

• CNBC #2 Best State for Business 2012• Bloomberg “In The Loop”

Commercial Real Estate and Construction Highlights in Utah

City Creek Center

Commercial Real Estate and Construction Highlights in Utah

City Creek CenterAdobe Utah Campus Construction

Commercial Real Estate and Construction Highlights in Utah

EDCUtah Newsletter – Winter 2012

May 2012 Utah Residential Real Estate Statistics

Data provided by Utah Association of Realtors

CCoordination and oordination and CCollaboration ollaboration

EEfficiency and fficiency and EEffectivenessffectiveness

_____________________________Utah will Remain the Recognized Leader in

Integrated Economic Development

C2 + E2 = Formula for Success

Utah #1 “Business and Careers”- Forbes