The Five Year Plan for Job Creation for the Greater Pensacola Region

The Five Year Plan for Job Creation for the Greater Pensacola Region

The Vision 2015 Initiative is a reengineered economic development effort that will more aggressively recruit new business, help existing businesses expand, and leverage the strong partnerships with the military to stimulate economic growth. The goal? Create 3,000 new jobs. This program fundamentally changes the way the private sector is involved with economic development in the Greater Pensacola Area. While maintaining the traditionally strong relationships with the public sector, this initiative puts private business in the vanguard of job creation efforts in the area through greater engagement in the process, and a significant increase in the level of investment from companies and individuals. Every effort has been made to devise an economic development structure and strategy that will produce results. Vision 2015 is the result of many months studying best practices, weighing different operating structures, and setting priorities. With Vision 2015 leading the way, Pensacola will go on the offense with renewed energy, a fresh strategy, and with its most effective and committed community leaders pulling in the same direction. 2

New Business Attraction/Recruitment The purpose of this strategy is to attract/recruit new businesses to the Greater Pensacola Region with a special focus on the five targeted industry clusters where the Pensacola Bay Area has a competitive advantage. The industry clusters are: 1) aerospace and defense; 2) software and information technology; 3) renewable energy; 4) financial services and back office support; and 5) medical device and life sciences. The Chamber has noted this strategy as a priority and intends to strengthen its capacity and recruiting efforts. Additionally, the Chamber will focus on improving the number and quality of employment opportunitieswithin the identified depressed communities (geographic and minority) in the Pensacola Bay Area. Tactics: Using all means available, actively market the Region to prospective targeted industry cluster companies. Collaborate with regional and state economic development organizations, such as Florida s Great Northwest and Enterprise Florida. Recruit a group of volunteer cluster leaders drawn from local businesses to assist in identifying, attracting, and recruiting best-fit companies. Key Metrics: Activities & Outcomes 3,000 new direct jobs; this will be accomplished via this strategy as well as the Chamber s business expansion and entrepreneurship strategies Create 1,000 jobs in designated low-tomoderate income areas (CRA, EZ, Hub Zones, etc.) throughout the Pensacola Region 30 active prospects per month 15 new prospect leads per month 6 marketing or business development events annually Meet with 20 site selection consultants annually Economic developers and site selectors agree an organization s web site and face-toface marketing strategies are most effective. In the last decade, the length of the typical site selection process has gone from more than 6 months to 4-8 weeks. More than ever, the timeliness with which an economic development organization responds to an inquiry really matters. Continuously strengthen the Chamber s web site in order to maximize site selector and business prospect inquires. Aggressively utilize state-of-the-art e-media to target decision makers and allies to drive hits to the web site. Create fresh collateral material supported by accurate economic data with a distinctive Greater Pensacola Region style for use in responding to inquiries and distribution at target sector trade shows and events. Involve volunteer business leaders in strategy and on recruiting missions to target-rich environments. Host an annual in-bound recruitment mission for site selectors with top level investors involved in the event. Develop an international marketing and recruitment strategy designed to stimulate foreign direct investment and facilitate the exporting efforts of local businesses. Participate in regular (approximately six per year) regional and state-led prospect recruitment missions. Grow the Region s Economic Development Incentive fund to assist in business attraction, retention, and expansion efforts. 3

Existing Business Retention, Expansion and Workforce Development The purpose of this strategy is to provide superior customer service to and promote the growth of our existing businesses. We will accomplish this by serving as the single point of contact to the community of business support providers. This is a critical piece of the Chamber s economic development program, as existing businesses create 80% of new jobs nationally. The Chamber will work with all types of existing businesses including target industry clusters (see New Business Attraction/ Recruitment). Additionally, the Chamber will focus on workforce and talent development to ensure a needs/skills match between employers and employees for the jobs of the future. By listening to employers and being responsive to the educational needs of their industries, we will increase the available pool of highly skilled, adequately trained potential employees entering the workplace. Tactics: Visit at least 100 businesses per year to learn how the Chamber and the economic development community can support their business growth strategy. The Chamber will create a team of business support providers comprised of key government entities, utilities, financial institutions, education/training agencies and others. This team will assist and respond quickly to companies with problems or expansion opportunities. Brand the business retention and expansion program. Key Metrics: Activities & Outcomes 3,000 new direct jobs; this will be accomplished via this strategy as well as the Chamber s recruitment and entrepreneurship strategies 100 business visits by Chamber staff per year 4 business visits by top leaders 1 visit to out-of-town HQ Convene and support key industry sector groups identifying supplier gaps, enhancing area business to business contacts, evaluating cooperative purchasing opportunities and encouraging other collaborative efforts. Implement programs to address the opportunities identified by the group. Develop on-going mechanisms/programs to help companies identify and access new market opportunities regionally, nationally and globally. Provide similar assistance in identifying and accessing quality suppliers/ vendors and in adopting cost-effective green initiatives. Coordinate a program for top public and private leaders to visit at least four existing businesses per year to discuss challenges and opportunities. Visit at least one out-of-town regional or corporate headquarters of a local business per year and invite public/private sector leaders to attend. Conduct an existing industry event for major businesses and public/private sector investors during the Blue Angels Homecoming Air show at Naval Air Station Pensacola. Coordinate Industry Appreciation Week events to showcase and honor business excellence. Develop additional supporting materials to attract talent to the region including the relocation of professionals who have Pensacola Bay Area roots. Provide access to local, state and national assistance and incentive programs; track the businesses assisted by this program. Identify and work with partners and government agencies to resolve general local/regional issues that may be restricting existing business growth and company-specific issues as required. Convene and support key business and manufacturing sector groups to identify common obstacles and opportunities such as Create a workforce services portal to match area employers and job seekers with service providers in the Greater Pensacola Region that will be integrated into the itentalent.com portal, to provide password protected search capabilities for employers and market the program to area employers. Increase the level of business community engagement with the Greater Pensacola Region career academy programs in middle and high schools. Emphasis will be given to science, technology, engineering and math (STEM) and other economic development related targets. 4

Armed Services / Military Innovation The Department of Defense (DoD) is the largest economic engine in the Greater Pensacola Region. More than $5.1 billion in salary and wages are produced annually by more than 22,000 active duty and military/federal employees. In addition to protecting this vital economic asset, the Armed Services Department develops strategic economic growth opportunities that promote and enhance DoD investments in our area. The Armed Services Department develops initiatives that: 1) enhance existing missions; 2) increase area DoD investments in infrastructure and assets and 3) improve and promote the quality of life for area military members. Key Metrics: Activities & Outcomes Tactics: Continue to develop and expand the Strategic Health Intelligence Initiative. Become the nation s leader in developing a health information exchange utility, promote healthcare innovations and lead cyber security initiatives. Additionally, expand the annual summit, facilitating high-level discussions and continuing to position the Pensacola Bay Area as the location for healthcare information technology innovations and collaboration. Support, coordinate and assist the Navy in marketing the Saufley Field Enhanced Use Lease project. This will provide suitable locations for defense contractors and related businesses needing existing infrastructure and assets (600,000 sq. ft. of office space, three hangars, and two 4,500 foot runways). Expand the focus of the information assurance (IA) initiative to fully leverage the assets of the Navy s Center Expand Military Innovation project to create new high-tech initiatives involving agriculture and energy industries Expand Saufley Field EUL visioning group to include all stakeholders to ensure development is a community success Promote Pensacola Innovation Network to attract two new R&D partnerships, complete phase 1 and 2 dark fiber optic ring points of presence and add two new DoD mission applications for Information Dominance (CID) and grow a cluster to compliment their mission. This will include creation of a data fusion and network synthesis collaborative group to develop IA laboratory concepts and products. Expand the Community Military Innovation Project for capturing military innovations, technology and talent through symposiums/forums and other venues. To promote private sector economic growth in high-tech industries, this initiative focuses on the development of strategic innovative partnerships between industry, research and defense agencies. Expand the Defense, Aerospace and Technology Committee membership. Create new initiatives to promote partnering, collaboration and contract teaming for local, regional and DoD contracts. Develop the International Relations program by working with foreign military commands and liaison offices for the purpose of expanding economic opportunity, investment and strategic mission enhancement in the Pensacola Bay Area. Continue to develop the Pensacola Innovation Network, including the expansion of new R&D partnerships, business rules and policy development, points of presence, and new DoD mission applications. The national global high-speed network infrastructure will allow for the advancement and promotion of the Pensacola Bay Area as an innovation location for testing and evaluating of emerging technologies, health care innovations and cyber security initiatives. 5

Entrepreneurship The purpose of this strategy is to foster the success of the Pensacola Bay Area entrepreneurs. The Chamber and its institutional partners will continue to link entrepreneurs with critical assets in order to remove impediments to growth, drive revenues and employment opportunities for all citizens. Critical tactics will also be added to improve the environment for minority business formation. Tactics: Aggressively market and increase the number of tenants utilizing the Center for Innovation and Entrepreneurship, a technology focused incubator managed by the Chamber. Implement a business coaching and support program geared to help start-up/early stage entrepreneurs develop business plans, secure startup funding, etc. Key Metrics: Activities & Outcomes Develop and implement a program for stage 2 entrepreneurs (companies with revenue of $1-25 million) 3,000 new direct jobs; this will be accomplished via this strategy as well as the Chamber s recruitment and expansion strategies Achieve 80% occupancy rate at the C.I.E. Host 4 regional entrepreneurial events annually Provide technical assistance to 4 Stage 2 companies annually Create a database of MBEs in Escambia County Assist or create 25 MBEs through business formation and training with significant growth potential ( gazelles ). This program will provide the information, resources, and formal connections needed to optimize their growth potential. Expand regional marketing and networking through the itenwired initiative beyond the initial five-county region. Expand capital funding opportunities for entrepreneurs to include a public and/or private sector revolving loan fund and angel networks. Identify and create database of existing minority owned companies (or Minority Business Enterprises or MBEs). Partner with the Department of Commerce s Minority Business Development Agency to work with MBEs to grow their businesses in size, scale and capacity. Create scholarship pilot program for entrepreneurial training program associated with the Center for Innovation and Entrepreneurship. 6

Community / Product Development The purpose of this strategy is to make community improvements that impact job creation in the Greater Pensacola Region. In addition to its direct economic development activities, the Chamber appropriately plays the role of the voice of business as advocate, convener, and facilitator of important community improvements. Tactics: Advocate master planning/development of Mid Town Commerce Park (Escambia Treating Superfund Site), a rail-served light industrial and distribution park. Facilitate effort to master plan a site for a suburbanoriented commerce park for office, technology, and light manufacturing/assembly uses. Establish a blue ribbon task force to identify and pursue the development of one or more new high-value community assets through a high level of involvement of senior private and public sector leadership. Identify and refer commercial opportunities to the City of Pensacola to assist in implementing the new Community Redevelopment Authority plan. Facilitate development of the downtown technology campus, an urban business park owned/managed by the Pensacola-Escambia Promotion and Development Commission (PEDC). Enhance Special Projects Fund to provide for timely implementation of new strategic opportunities as they are presented. Investor Relations / Communications The Chamber believes that it must improve the effectiveness of its communications with not only investors, but all members and the community at large. Investor Communications Investor confidence in the Plan will only be maintained through the highest level of transparency, communications and accountability. It will also require that Pensacola s first team of business and elected leaders take an active role in keeping the Plan on task, on time, and on budget. Accordingly, specific oversight of the Plan will be vested in a steering committee whose membership will evolve more fully after funds have been committed. The steering committee will be comprised of individuals whose financial investment clearly identifies their commitment to the program s success and representatives of the Greater Pensacola Chamber Board charged with implementation. 7

Impact of New Jobs Job creation activities have an effect in two key aspects of the local economy; earnings and consumer spending. Overall, the program will generate: 5,476 TOTAL NEW JOBS $217 million in TOTAL PAYROLL $156.7 million in CONSUMER EXPENDITURES $81 million in BANK DEPOSITS Table 1. Economic Impact of Jobs METRICS DIRECT IMPACT INDIRECT AND INDUCED IMPACT TOTAL IMPACT JOBS (DIRECT & INDIRECT) 3,000 2,476 5,476 EARNINGS (PAYROLL) $114,000,000 $92,340,000 $206,340,000 OUTPUT $542,343,168 $280,726,272 $823,070,720 New payroll is projected to generate: DISPOSABLE PERSONAL INCOME $171,262,200 NET PERSONAL CONSUMPTION EXPENDITURES $148,998,114 Source: Economic Strategy Center, Atlanta, GA Governance and Accountability A cross section of community leaders and investors will comprise the Campaign Development Council and govern the campaign for the Vision 2015 initiative. The development council will keep investors informed of the progress of the campaign until its conclusion. Those with a significant financial stake in Vision 2015 will be asked to serve as a Vision Cabinet with a five-year term. Their roles will be: Overseeing of funding Holding implementing entities accountable for performance Fine tuning the program as needed Reporting to their fellow investors 8

Earnings/Expenditure Impact A portion of total earnings is used for personal consumption expenditures. Table 2 shows how the money will be spent following a consumption pattern consistent with the South region. The expenditure detail determines the estimated annual impact to regional companies - with knowledge of their regional market share as result of job creation activities of Vision 2015 initiative. Table 2. Distribution of Total Consumer Expenditures Housing $48.57 Transportation $26.97 Food Personal Insurance and Pensions $16.39 $19.37 Health Care Entertainment Cash Contributions Appareal Education Miscellaneous Personal Care Alcoholic Beverages Tobacco Products $9.56 $9.09 $8.05 $5.51 $5.66 $2.53 $2.53 $1.79 $1.19 $1.04 Reading $0.30 Millions $0.00 $10.00 $20.00 $30.00 $40.00 $50.00 9

Conclusion By investing in the Vision 2015 Initiative, businesses and local governments will see a measureable return on their invested dollars, while helping to improve the economic outlook and quality of life for everyone in the Greater Pensacola Region. Job creation is at the heart of any successful economic development effort, and Vision 2015 is no different. By creating 3,000 new primary jobs in Escambia and Santa Rosa Counties, this initiative will serve as the catalyst that stimulates existing businesses growth, improves the available workforce and spearheads community improvements, all while strengthening the message of the Chamber and building on the strong relationships that exist within the business community. 10