Feb. 4, 2009

  A Publication of the Economic Development Corporation of Utah
CEO Jeff Edwards

President's Message

Introducing Ogden City's New Community and Economic Development Director, Scott Waterfall


This week's feature story focuses on economic development in Weber County and Ogden City. EDCUtah has many investors that contribute to our organization and make working in economic development much easier. One such person is Dave Harmer, who retired from Ogden City in October '08 after having served as community and economic development director. Under Mayor Mathew Godfrey's direction, Dave accomplished many great things for Ogden, including significant work on the Amer Sports headquarters relocation project. We wish Dave all the best in his retirement.

To take the reins from Dave, Mayor Godfrey hired Scott Waterfall, an Ogden native with a passion for his community. Scott's vision for Ogden is simple, he would like to see "the continuation of attracting new business to the city."

"We have excellent demographics in the Ogden-Weber area for economic growth," he says, noting that the area offers tremendous access to recreation and adventure as well as excellent educational opportunities, such as Weber State University.

It's no wonder Scott has such strong feelings about his home town. Not only is he a native of Ogden, he has four generations of family living in the area. I have complete confidence that Scott will continue the extraordinary economic development going on in Ogden. To learn more about Ogden and Weber County economic development please read our feature story below and our Investor Spotlight in the right column.

Today's Economic Review also includes links to many of the ED-related news stories from the past week. As always, if you have comments, suggestions or topics you'd like to see in the Economic Review, please contact us by clicking the "Comments" link on the bottom of this page. Enjoy!

Jeff Edwards

Jeff Edwards
President and CEO


Feature

Aggressive Economic Development Efforts in Ogden City and Weber County Show Significant Payoff


This July 13-19, young archers from around the world will converge on Ogden, Utah for the 2009 Youth Archery World Championships, the first of four international archery competitions to be held there and the main qualifying archery event for the Youth Olympic Games to be held in 2010 in Singapore.

Like the XTERRA America Tour Championship race held in Ogden last summer and the upcoming XTERRA Winter World Championship to be held there in March, the significance of landing such outdoor events goes well beyond the sports themselves. Indeed, they are milestones in the city's renaissance from dilapidated railroad town to the premiere outdoor sports destination in the U.S. and the perfect home for outdoor sports companies like Amer Sports, which consolidated three of its winter sports companies into a single headquarters in Ogden. Amer Sports Winter and Outdoor US, a subsidiary of Helsinki, Finland-based Amer Sports Corp., is better known for its brand names: Atomic Ski, Suunto and Salomon, among others.

"We see ourselves as the world's greatest ski company. What better place to be than next to the world's greatest snow," said Mike Dowse, president and general manager of Amer's Winter & Outdoor Division of the Americas, in 2006 when Amer Sports announced the selection of Ogden for its North American headquarters.

Other outdoor products companies to locate in and around Ogden include Peregrine Outfitters, Easton, McKenzie Sports, Scott Sport, Goode Skis, PW Exhibits, Nidecker, Kahuna Creatives and Desente North America, making the Ogden home to more outdoor sports company headquarters than any other city in the U.S.

Ogden's Renaissance

Much of Ogden's renaissance can be attributed to the vision of its mayor, Matthew Godfrey, the youngest mayor elected (age 29) to serve the city. Economic development and the rejuvenation of downtown Ogden were largely the focus of his campaign, but once elected Godfrey found himself a lone voice with little support and many skeptics. Now in his third term, the mayor has silenced his detractors and gained the respect of businesses and citizens alike.

Scott Waterfall, the city's new community and economic development director, who took over for retiring Dave Harmer last November, says Mayor Godfrey is the "chief economic developer in town."

"The mayor has a vision for economic development and the city is experiencing the success of that vision," he adds. "If a community is not willing to invest in itself, how can you expect developers to come in and make investments in the city?"

Speaking of investments, the city just completed the redevelopment of 60 acres in downtown and another 150 acres (15 city blocks) are in the process of redevelopment. What's more, the city has recruited more than $1.1 billion in private investment for redevelopment and created more than 7,000 jobs in the process. Waterfall says Mayor Godfrey was willing to take the political, financial and personal risks necessary to make economic development happen and his success is apparent.

Mayor Godfrey says some cities shy away from economic development because of the long-term process involved, chasing short-term sales tax dollars from retail development instead.

"They don't think economic development puts any direct money in city coffers," he adds. "We are much the opposite. We've spent a lot of time recruiting high paying jobs to Ogden and we are very aggressive when it comes to recruiting businesses here. Our city government is very supportive and our belief is to grow the pie."

Mayor Godfrey frequently attends conventions and trade shows where he aggressively recruits businesses. In fact, he attended two different trade shows in the past two weeks. During one show he visited with an outdoor company that, he says, is 99 percent certain it will move its business to Ogden. He also received favorable interest from two other companies.

Weber County Economic Development

Like Ogden, Weber County is equally focused on economic development. While Ogden's business recruitment efforts have primarily focused on aerospace and outdoor companies, Ron Kusina, executive director of the Weber Economic Development Corporation, which provides economic development services to Weber County, says his organization heavily recruits businesses in the aircraft and aerospace parts sector, nutraceuticals, recreational products and manufacturing and distribution sectors.

Kusina says the aggressive economic development efforts put forth by Ogden City and Weber County are crucial to their success, but he adds that the area is attractive to businesses for many reasons.

"We have a highly skilled, user-friendly workforce, the third strongest manufacturing economy in the state, an excellent business climate, excellent quality of life and high growth," he says, adding that Weber County's population of 220,000 is projected to grow to 280,000 within the next 20 years.

Waterfall says the city and county are also attractive because the area is still extremely affordable and offers unparalleled access to outdoor and high adventure recreation, including a kayak park built on the Weber River near downtown, the Ogden River Parkway trail system, which links the city with a mountain trail system in the towering Wasatch Range, ample opportunities for fishing, boating, biking, paddle sports, camping, hiking, rock climbing, and other outdoor recreational opportunities. What's more, four ski resorts are nearby, including Snow Basin Resort, which was home to the 2002 Olympic Downhill, Super G and Combined races. With over 400 inches of snowfall annually, Snow Basin, Powder Mountain, and Wolf Mountain ski resorts provide world-class skiing.

Commercial/Industrial Developments

Several Weber County commercial/industrial developments are listed in EDCUtah's SURE Sites database. One of the most prominent is Business Depot Ogden (BDO), the former Defense Depot Ogden run by the U.S. Army, which is located on the north end of Ogden City. This 1,128-acre site contains five million square feet of space with 300,000 square feet currently available and several new buildings under construction. BDO is a shovel-ready development served by rail and within short proximity to Interstate 15.

In terms of economic development efforts, Todd Brightwell, vice president of business development for EDCUtah, says Ogden City and Weber County are as aggressive a municipality and county as any he has seen.

"Mayor Godfrey has been very, very proactive with economic development and has set a clear vision for the types of businesses he wants to recruit to the city. To that end he has aligned his resources extremely well, and Weber County is equally as focused."

The partnership between EDCUtah, Ogden City and Weber County has been especially fruitful. A few of the economic development "wins" that show the teamwork and strength of the relationship include the following:

  • Amer Sports headquarters relocation
  • Hershey Company's location of its distribution center at the Business Depot Ogden
  • Southern Classic Foods, located in the Business Depot Ogden
  • The Barnes Aerospace expansion
  • Heritage Bag Company
  • US Foods distribution center, which was built near the Ogden Hinckley Airport
  • Jet Aviation

CALENDAR


Feb. 12: "Less Talk More Action," a hands on exploratory experience of cutting edge telephone technology. Presented by Telesphere and Polycom. Runs from 11:30 a.m. to 2 p.m., at Corporated Alliance, 7730 S. Union Park Avenue Ste. 150, Murray. View the advertisement.

March 24-26:  JEC Composites Show (Paris, France)

March 30:  Governor's 3rd Annual Utah Economic Summit (Grand America Hotel, Salt Lake City)

April 15-17: Utah League of Cities and Towns Midyear Conference (Dixie Center, St. George)


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Investor Spotlight

Ogden City and Weber County


Ogden City and Weber County both joined EDCUtah as investors during 2008, and both are models of how to align economic development efforts in the public sector for the good of the areas served.

"We have a tremendous amount of confidence taking projects to Weber County and Ogden City," says Todd Brightwell, EDCUtah's vice president of business development. "They understand economic development very well and add a lot to the process. I see the county and the city as valuable partners and know they are competent, able and professional."

Brightwell adds that EDCUtah's relationship with Ogden City and Weber County is a great example of how well the public and private sectors can become integrated in economic development efforts.

EDCUtah has enjoyed a close association with Ron Kusina, executive director of the Weber Economic Development Corporation (WEDCORP), and Ogden's economic development team, which includes Scott Waterfall, community and economic development director, Tom Christopulos, business development manager, the recently retired Dave Harmer, who served as community and economic development director before Waterfall, and many others.

Kusina says WEDCORP became an investor in EDCUtah because of the great job EDCUtah does in disseminating information and RFPs.

"I approached our board about joining because I felt like we should support EDCUtah and help economic development in any way we can," he adds. Kusina's board of directors agreed.

Waterfall and Christopulos also recognize the value of Ogden City's relationship with EDCUtah, which is why the city became an investor.

"EDCUtah is a high-class organization and is to be commended for the great job it is doing to bring jobs to Utah," Christopulos says.

From a recruiting perspective Ogden City and Weber County can both tell compelling stories. Aggressive recruiting efforts have paid off with numerous successful relocation and expansion efforts. Moreover, Ogden's reinvestment in itself signals that the city is business-friendly and interested in helping companies reduce their risk as they contemplate relocations or expansion efforts.

"We are creating an entirely new environment," says Mayor Godfrey. "Ogden is a great place to do business."

So too, for Weber County, which has transitioned itself from an agricultural base to become the state's third strongest manufacturing county.

Brightwell says Ogden City and Weber County have very clear visions of the types of businesses they want to recruit, and both have aligned their resources well to achieve their objectives.


In The News

Economic Development Headlines from the Past Week

Economic experts optimistic

- As they strive to foster economic growth amid nationwide financial turmoil, Utah's economic development agencies remain optimistic for 2009. (Spectrum)

America's best snowy drives

- As another Arctic front settles over much of the Northeast this week, perhaps the best way to enjoy the sub-zero weather isn't by the fireplace but in your car. From Alaska's Seward Highway to the Lake George Loop in New York, there are several great places to take a drive through snow-covered landscapes. There's even a road that runs through high desert -- Utah's Scenic Byway 12 in Bryce Canyon -- that probably doesn't immediately come to mind when considering snow. (USA Today)

Two prime Utah ski spots gaining traction

- A short spin up Interstate 15 from Salt Lake City lie two of North America's best-kept ski secrets. (USA Today)

More states considering tax breaks to woo jobs

- Rising unemployment has touched off a race among state governors to woo companies with tax breaks and financial incentives, even as budget shortfalls force cuts in education, health care and other services. (Wall Street Journal)

Davis and Weber Counties work through economic struggles with a positive attitude

- Davis and Weber counties, like all areas of Utah, are feeling the pinch of the nation's economy, but with some positive energy and perseverance, this section of the state is still experiencing record growth in tourism, outdoor recreation and education. (Utah Business Magazine)

Huntsman: Utah can be renewable energy leader

- During his State of the State address, Gov. Jon Huntsman set a goal Tuesday of making Utah a national leader in developing renewable energy by 2012. "Just as Wall Street is known for finance and Silicone Valley for technology, by 2012, I believe Utah can become the premier destination in America for renewable energy," Huntsman said. (Standard-Examiner)

ATK signs $200 million contract to produce hardware for Rolls-Royce

- Alliant Techsystems announced that it has agreed to a contract valued in excess of $200 million with Rolls-Royce to produce composite aft fan cases for the new Trent XWB engine. (Utah Business Magazine)

State moves to soften the housing crunch

- The Olene Walker Housing Loan Fund Board took steps Thursday to mitigate the recession's damage to Utah's affordable housing supply. (Press release)

Hill proposes $21.4 million green cleanup

- It's no secret that environmental cleanups cost money. Hill Air Force Base officials expect to spend $21.4 million on Hill's environmental restoration project for fiscal 2010. (Deseret News)

New hospitals opening doors along Wasatch Front

- Wasatch Front residents have expanded hospital services available to them as of this weekend with the opening of two multimillion-dollar expansion projects at hospitals in West Jordan and Orem. (Deseret News)

Utah and Hanson Pipe & Precast plan to add two light rail systems

- Hanson Pipe & Precast, a leader in the concrete products industry, is providing railroad grade crossings to two projects initiated by the Utah Transit Authority (UTA) in cooperation with the Federal Transit Authority. The Mid-Jordan TRAX line, a 10.6-mile light rail system and the 5. (Utah Business)

Utah County legislators say I-15 project is moving forward

- A planned rebuilding of I-15 in Utah County is moving forward despite reports that its funding had been pulled, Utah County legislators and city leaders said Saturday. (Deseret News)

Road projects will create 15,000 jobs, Salt Lake Chamber says

- The governor's calls to reinstate road projects put on hold because of budget shortfalls will help create an estimated 15,000 jobs, according to the Salt Lake Chamber. (Deseret News)

Passage of act could bring $40M to UTA

- The U.S. House of Representatives' passage of HR1, American Recovery and Reinvestment, could bring $40 million to the Utah Transit Authority, money that would be used to finish light and commuter rail lines currently under construction or to begin construction of intermodal hubs in Provo or Orem. (Deseret News)

Sustaining higher Ed investments to close the "tax gap"

- Closing the "Tax Gap" through the creation of high-paying jobs will allow Utah to sustain and grow all state services, legislators at the Higher Education Caucus heard Wednesday morning. (Utah Pulse)

Chamber holds 106th annual meeting today

- Long considered one of the best states for business-the longevity of the Salt Lake Chamber is testament to what can be accomplished when business leaders and elected officials work together to benefit our community. (Utah Pulse)

S. Davis County Chevron refinery upgrades should boost the local economy

- Millions of dollars worth of safety and technology upgrades to the Chevron refinery in south Davis County isn't expected to generate the same heat from residents as the proposed construction of a cogeneration plant in West Bountiful. But the Chevron upgrades should generate a needed boost to the local economy.
(Standard-Examiner)

Upland Square agreement ok'd

- The city council agreed to sign the Upland Square development agreement for mixed-use commercial and residential development, a large-scale development west of Wal-Mart straddling the border of Brigham City and Perry. (Standard-Examiner)

New Sugar House plan: Hel-condo-retail project wins approval

- Judi Short, who lives in a 110-year-old Sugar House bungalow, is old school. She likes the neighborhood's small scale and eclectic charm. So when she saw a California builder's blueprint to cram the Granite Block with a six-story hotel and a health club, along with 320 condominiums above national chain stores, restaurants and boutiques, it was "kind of a shock." (Salt Lake Tribune)

Restaurants to focus on energy efficiency

- The Salt Lake Valley Health Department has launched a new program to help businesses with water conservation, waste management and energy efficiency. (Salt Lake Tribune and here)

Big payoff from tiny Great Salt Lake shrimp eggs

- Turns out magical "sea monkeys" in the Great Salt Lake are pretty valuable as shrimp food, too. This year, the state of Utah stands to make one of its biggest windfalls ever from the pursuit of tiny brine shrimp eggs at the lake. (Salt Lake Tribune)

Utah could collect millions to upgrade its energy efficiency

- Utah is in line to snag millions for energy-efficiency upgrades under the House-passed stimulus bill. (Salt Lake Tribune)

Bennett to co-host Rural Business Conference

- U.S. Sen. Bob Bennett, R-Utah, is scheduled to co-host the eighth annual Rural Business Conference in conjunction with the Utah Rural Development Council. The free event will be staged in eight rural communities on different dates, beginning Feb. 18 and running through August. (Salt Lake Tribune)

Provo plans $150K of work on Duncan Aviation site despite delay

- Provo City plans to spend $150,000 on work at the future site of Duncan Aviation's airport facility, despite the company's announcement last week that the project will be delayed until further notice. (Daily Herald)