Ncedb history and overview 4.10.13

Editor's Notes

• #2: Thank you for your time today. I really appreciate the opportunity to share more about our organization and the business climate in Nassau County. We all know that we live in a beautiful resort-area compared to the rest of the country. In fact, there is an “exodus” of sorts from the Northeastern states, such as New York and New Jersey, to come to Florida because of not only the physical climate, but the business climate as well. I know this is what your business thrives on, but are you surprised to know that it’s what the economy in Nassau County thrives on as well? Leisure and Hospitality jobs account for almost 25% of all the jobs in Nassau County! This is a huge asset for the county and we at the economic development board find this an asset to our efforts to grow the economy for everyone. Whether it be vacationers, or conference attendees, people come here to enjoy the weather, the community and the environment that is offered. What we would like you to think about is giving these guests the information about staying here year-round and, dare I say, bring their businesses with them. I am going to give you a brief overview of our organization and why we were established; then, I will share with you our five-year strategy to create 3,800 new jobs and $63 million in annual consumer spending; and finally I will delve more into how you can help these efforts in growing our economy.
• #3: The creation of NCEDB was one of several recommendations coming from a group called the “Nassau County Economic Development Forum” formed of business, civic and governmental leaders was in April 1993, after then-Commissioner John Crawford and a few others became concerned about a number of trends they saw as holding big challenges for Nassau County’s future. They had five specific concerns: First, they noted that Nassau County’s population growth rate was projected to average 2.1 per cent per year into the future-- a rate higher than both the U.S. and Duval County. That represented about 1,000 new residents a year in Nassau. Then, assuming that fifty-one percent of the county’s population is typically in the workforce, the county needed to generate roughly 510 jobs per year to accommodate its citizens—about one new RockTenn mill per year. - At the same time, the Forum was concerned about Nassau County’s high dropout rate and the percentage of adults in the county—30% at the time—who never finished high school or received a high school diploma. And in some parts of the county, 30 to 50% of adults over twenty-five fell into that category. Fourth, the Forum observed that despite relative affluence on Amelia Island, 12 percent of Nassau Countians had incomes below the poverty level. - And finally, population growth meant an increasing demand for government services and increasing pressure for higher taxes to fund those services.
• #4: - All of these concerns pointed to a common solution— accelerate economic development in Nassau County. The Forum concluded that successful economic development would provide new jobs and broaden the tax base so that current taxpayers wouldn’t have to shoulder the large, projected burden for new services and facilities. The intent was to attract new business and industry, and to provide effective assistance to existing businesses and local entrepreneurs to ease and encourage their maintenance and expansion. The forum presented their findings to the County Commission in 1994, including the creation of a new, permanent Nassau County Economic Development Board with oversight responsibilities for the county’s economic development activity.
• #5: NCEDB’s Articles of Incorporation were drawn up and filed with the Secretary of State on January 30, 1995. Our mission summarizes our activities that are rooted in the concerns of the form in 1994. We are able to accomplish this mission through five strategic areas of focus Business Recruitment and Marketing Business Expansion and Workforce Development Government Affairs Communications and Public Relations And Investor Relations
• #6: The second recommendation from the forum was to develop a funding source for the Board. Since incorporation, we have been fortunate enough to have the support of both public and private entities of our efforts. Most of you may remember our capital campaign last summer that essentially doubled our operating budget, allowing us to hire two new full time staff members. This is a list of the current investors who fund our activities. We are a public-private partnership, and while the county and local municipalities provide resources, we are not a governmental agency.
• #7: To give you a glimpse of how Nassau County has faired since the inception of NCEDB, we are pleased to report the following: Nassau County’s population grew from an estimated 50,800 people in 1995 to an estimated 74,877 in 2012—an increase of almost 25,000 new residents in a span of 16 years, or about 1,570 new residents each year… an actual compound growth rate of 2.4 percent per year… just a bit higher than the 1995 estimate.
• #8: The county’s labor force has grown from 25,800 in January of ‘95 to 37,485 in November of 2012—an increase of more than 11,600 jobs, or about 684 new jobs per year… a growth rate about 34% higher than the projected need forecast in 1995.
• #9: In the 2011-12 school year, Nassau Schools had the highest graduation rate in Florida at 89%! Moreover, the percentage of adults over 25 years old without a high school diploma in Nassau County has fallen from 30 percent in 1995 to 13 percent in 2012, which was also the lowest in Florida.
• #10: Statistically, the county’s poverty rate has fallen slightly from 12 percent in 1995 to 11.3 percent in 2012. But that number has increased due to the economic effects of the “Great Recession”. In fact, Nassau County is now one of only four counties in Florida whose poverty level is below 12 percent. The statewide poverty rate is 16.3%.
• #11: Despite the accomplishments of the last 18 years in our county, challenges still persist that drive our work today. First, the unemployment rates over the past two years have dropped dramatically from a high of 12.2% in January 2011 to 7.3% in January 2013. But that still means that 2700 neighbors are looking for work.
• #12: We have 37,000 people in our work force but only 18,000 jobs in Nassau County… This means that nearly 20,000 residents have to leave Nassau County to go to work every day. That is literally money driving out of the county every day.
• #13: - And finally, economist Henry Fishkind has observed that 51% of Nassau County’s general fund budget comes from residential property taxes—a much higher percentage than our neighbors. -- Fishkind says that an economy that relies too heavily on residential property taxes isn’t sustainable… it eventually collapses because it costs more to provide services to residential property owners than they will pay in property taxes. But taxes generated by developments such as office, industrial and retail projects generate 3X the amount of revenue as residential.
• #14: And that is the basis for where we are today with our five-year strategy Nassau Tomorrow, to build businesses and create jobs for those 2,700 folks who are still looking for work. - Nassau Tomorrow will create 2,500 new high wages jobs and another 1,300 indirect jobs over five years. Those jobs are expected to generate nearly $114 million in annual payroll and nearly $63 million in annual consumer spending.
• #15: One major effort of Nassau Tomorrow is Business Recruitment and Marketing. This is where you can be involved with our efforts with what you are already doing in your businesses This quote was on an old sign at the train depot that said “People like to work where they love to live. There’s still such a place”. This incorporates one of the deciding factors for new and expanding businesses: quality of life. We are all aware that we live in one of the best areas in the country, which is why we have been able to become a destination resort. Being rated a Top Ten 10 island by both Conde Nast AND TripAdvisor, is not an accomplishment that goes unnoticed. Would you agree? This is what our Executive Director sells when he entertains prospective businesses and what you are already selling to your guests and conference attendees. You are able to provide such wonderful experiencing during their stay that we would like to let them know they can do it year round. Many businesses in Nassau County got their start that way, through visiting the Island and making the move to be close to that climate they loved. In fact, we will announce one such company in the coming months that just recently made that decision and is making the move from the Northeast to Nassau County. This is what the State of Florida has capitalized on with their new brand “The Perfect Climate for Business” and the NCEDB is preparing to do the same. You and your staff are the first line ambassadors in marketing the county. I wanted to share with you the business climate and our organization's mission to give you the information to share with your guests.
• #16: We have several resources you can use and provide to your guests for more information. Our website houses most of this information and is regularly updated. The next is complete and ready for distribution. I have provided a few for each of you to take a look. Please let me know if these will be helpful to your business and I would be happy to provide more. The second is a rack card. This will incorporate the state brand “Perfect Climate for Business” and highlight the assets such as locations to bring new businesses, resources to encourage company growth (like the port and rail systems), workforce quality (another hot-button decision issues) and that quality of life aspect. These should be ready by the end of summer and will be distributed to you. Please let me know if you would find those helpful to share with guests. These will also be on display at the Chamber of Commerce. We can provide similar overviews to your staff as we did today, if you would find it helpful.
• #17: Thank you for your time and attention. I do truly appreciate it and I would be happy to answer any questions you have.