Washington County Board of Realtors
July 19, 2012
Governor Herbert’s
Four Cornerstones
“Utah's future prosperity will be built upon four
cornerstones”
- Gov. Gary Herbert
Utah State of the State 2011
JOB CREATION
EDUCATION
ENERGY
DEVELOPMENT
SPIRIT OF SELF
DETERMINATION
Governor Herbert’s
Economic Development Plan
Economic growth doesn’t
just happen . . .
The Development Plan
•Utah’s roadmap for success
•Provides a playbook for economic
development partners
•Emphasizes collaboration with
industry
Governor Leads
Economic 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 Development
Four 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
Accelerate
the creation of
100,000 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 # 1
A State of Opportunity
Utah #1 “Best State for Business & Careers” — 2010, 2011
• Forbes Magazine
Utah #1 “Best States to Live”
• Gallup Healthways
Utah #1 “Most Fiscally Fit State”
• Forbes Magazine
Utah #1 “Economic Dynamism”
• Kauffman Foundation
Utah #1 “Volunteerism in America”
• Corporation for National and Community Service
Utah #1 “Best Business Climate”
• Business Facilities Magazine
Business Outreach and
Recruitment
Tourism
Marketing
Business Outreach
and Recruitment
Why Companies
Move to Utah
COST 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
WORKFORCE
• #2 Fastest Growing State in the US
• Residents speak over 100 languages
• Competitive average wage
ACCESSIBILITY
• 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 Crossroads
of 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
Recent GOED Highlights
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•
•
•
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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
•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
Proximity to
University &
Resource
Availability
Flight Connectivity
& Other
Infrastructure
• Approximately 23% cheaper than Boston, MA
• Approximately 38% cheaper than San Francisco, CA
• Healthy, balanced living with many recreational & other activities year-round
•
•
•
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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.
Existing Players
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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
Government
Incentives
•
•
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State Corporate Tax: 5%
Combined (State & Federal): 38%
Tax Credit: up to 30% for up to 20 years
Enterprise Zone & Grants: Various
Source: EMC research
Litehouse Foods
Litehouse Foods, Hurricane
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 at
2012 Utah Economic Summit
Tourism
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
Marketing
AD CAMPAIGN
• Leverages our Best State for Business
status.
• Variations specific to certain industries and
people.
SIGNIFICANT MENTIONS TO
SIGNIFICANT PEOPLE
• Site Selector Magazine
• Area Development Magazine
SIGNIFICANT MENTIONS TO
EVERYONE
• CNBC #2 Best State for Business 2012
• Bloomberg “In The Loop”
Real Estate in
Utah
Commercial Real Estate and
Construction Highlights in Utah
City Creek Center
Commercial Real Estate and
Construction Highlights in Utah
Adobe Utah Campus Construction
City Creek Center
Commercial Real Estate and
Construction Highlights in Utah
EDCUtah Newsletter – Winter 2012
May 2012 Utah Residential Real
Estate Statistics
Median Sales Price — $180,500
Homes Sold – 3,385
Homes Sold Year To Date – 13,929
Inventory – 20,472 units
Data provided by Utah Association of Realtors
C2 + E2 = Formula for Success
Coordination and Collaboration
Efficiency and Effectiveness
_____________________________
Utah will Remain the Recognized Leader in
Integrated Economic Development
Utah #1 “Business and Careers”
- Forbes