Bill Crawford–You can’t ‘fix’ an economy

[Resent id=12652758 2011-09-16 15:04:39 from mississippipep] | Hattiesburg American | www.hattiesburgamerican.com: www.hattiesburgamerican.com/article/20110914/OPINI…20324

Kwazy wabble, fixes are for things. An economy is not a thing to be fixed like a leaky faucet or tax loophole.

For example, over the past eight years Haley Barbour, Leland Speed, Gray Swoope and other members of the state’s economic development team have not been trying to fix Mississippi’s economy. Rather, they have worked to build, grow and champion Mississippi’s economy.

They attracted advanced manufacturing, defense-related, and energy industries. They built the Mississippi Blues Trail, attracted the Grammy Museum, and expanded tourism opportunities. They helped existing business and industry expand and reach new markets. They championed Momentum Mississippi and business innovation.

Just this month, in cooperation with the Mississippi Arts Commission, they kicked off the Mississippi Creative Economy initiative to help communities and entrepreneurs start and grow businesses based on Mississippi history, art, literature, and music.

"We have an extremely viable creative economy," Barbour told kick-off attendees. "61,000 people in Mississippi work in jobs or professions that are considered part of the creative economy. We have a history that’s out of this world. Artists, musicians, civil rights. People want to come and see what happened here and while they are here, it is our opportunity to show them something, sell them something, sing them something."

#Mississippi #Haley #Barbour #Leland #Speed #Gray #Swoope #Economic #Development #Tourism #job #growth #MAC

Calisolar turned down $275 Million in federal funds to pick Mississippi over Ohio

Link leader elaborates on new solar-silicon company – The Dispatch: www.cdispatch.com/news/article.asp?aid=12880

Joe Higgins, CEO of the Columbus Lowndes Development Link, knew what Rotary Club members wanted: They wanted to know more about Calisolar. And Higgins was happy to oblige, talking at length about the new industrial-development project during the club’s monthly meeting, Tuesday afternoon at the Columbus Country Club.

When he took the helm of the Link eight years ago, Higgins came to the Rotary Club and asked members if they would leave Lowndes County if they were paid enough money to do so. He was floored by the response: Many people said yes.

At the time, he couldn’t figure it out. He wondered why this community didn’t believe in itself. He wondered why this community didn’t believe it could win.

Eight years, $5 billion in new investments and three major projects later, a triumphant Higgins had a new question for Rotarians: "Do you believe now? Because if you don’t, we’ve probably got a problem."

Higgins, along with a host of others, spent nearly a year trying to lure Calisolar, a California-based solar silicon manufacturer, to Columbus. When the company chose Mississippi over Ohio for its newest project, Higgins was elated.

Last week, Mississippi lawmakers approved a $75.25 million incentive package for the company, which promises to bring 951 high-paying jobs (starting salary before benefits will be $45,000) to the area. The incentive package includes a $59.5 million equipment and construction loan, along with $11.25 million for the necessary infrastructure and an additional $4.5 million for local workforce training. The total coast of the project is expected to be $600 million.

An additional 1,000 construction workers — making an average of $2,000 a week — are expected to be hired this fall, or more likely, at the beginning of next year, to build the 1 million-square-foot facility. It will be located east of Industrial Park Road, on 258 acres directly behind Mitchell Beer Distributing in the industrial park and will take a year-and-a-half to two years to build.

It’s a "development of regional impact," Higgins said, on par with similar projects like Severstal and Paccar. The facility will use around 170 MW of power, more electricity than the city of Columbus, and an average of 500,000 gallons of water and sewer per day.

"At the Link, we think this represents our third ‘super project’ in eight years," Higgins said. "For a town of this size … that’s pretty big stuff."

Company officials are expected to arrive in Columbus Thursday. Though they had received a $275 million conditional loan guarantee from the U.S. Energy Department in June to build in Ohio, Higgins said they followed in the footsteps of Kior and turned the money down.

The Mansfield News Journal, a newspaper in Mansfield, Ohio, reported this summer that company officials said they pulled out of the deal — which only allowed the money to be used in Ohio — because they could not meet a Sept. 30 construction deadline.

But Higgins suggested companies also might choose to decline Energy Department money for another reason — to maintain autonomy.

#Mississippi #Calisolar #Columbus #Lowndes #County #Joe #Higgins #Columbus #Lowndes #Development #Link #Economic #Development #tax #incentives #job #growth #legislature

Lamar County Democrat Supervisor wants tax breaks to draw businesses

| Hattiesburg American | www.hattiesburgamerican.com: www.hattiesburgamerican.com/article/20110908/NEWS0…80321

Lamar County District 2 Supervisor Ben Winston said he would like to see the board of supervisors consider tax breaks as a way of spurring economic development, particularly in conjunction with the South Mississippi Industrial Park near Lumberton.

"One thing that challenges us more in Lamar County than in Forrest County is that Forrest County is more (accepting) of tax exemptions," Winston said Wednesday morning during a meeting with the Hattiesburg American editorial board. "My thoughts on this, especially with the economics the way they are, is that if you fish with no bait, you’re not going to catch much, and if you do catch anything, it’s not going to have much value to it.

"Now, other people are fishing with a lot more bait, trying to catch businesses to locate in their areas."

Winston, a Democrat, is running against Republican challenger Warren Byrd in the Nov. 8 general election.

The incumbent is wrapping up his first term representing a swath of the county that swings east from central south Lamar over to a tapering strip that runs north up the eastern edge and into the Hattiesburg city limits.

#Hattiesburg #Supervisor #Ben #Winston #Lamar #County #tax #incentives #economic #development #Forrest #County #Warren #Byrd

Dearing–Session was productive one for state

| The Natchez Democrat: www.natchezdemocrat.com/2011/09/07/session-was-pro…state

During a one day special session on Friday we approved Senate Bill 2001 that provides $175 million in incentives for Calisolar and HCL Clean Tech, whose locations in Mississippi will create about 1,800 jobs.

Calisolar will open a plant in Columbus that employs 951 workers whose salaries will average $45,000 a year plus benefits. The state’s assistance is in the form of a secured $59.5 million loan for the building and equipment, along with $15.75 million in grants for infrastructure and workforce training. The company will invest $600 million and Lowndes County will assist to the tune of $14.1 million.

Calisolar, a Sunnyvale, Calif., based company, produces silicon castings for solar panels and other industrial purposes.

During the 16-month construction phase that begins in early 2012, peak hiring is expected to reach 1,000.

HCL Clean Tech has proposed investing $1 billion to create a headquarters in Olive Branch, constructing three large scale commercial plants in the Booneville, Hattiesburg and Natchez areas and building a small scale commercial and research and development center in Grenada.

The company converts biomass to sugars that can be utilized as industrial bioproducts. They use a proprietary process to transform wood chips into cellulosic sugars that can be used for animal nutrition, surfactant, lubricants, cosmetics and fuel.

HCL Clean Tech will create 800 jobs paying average salaries of $67,000. The state will assist with a $100 million incentive package, consisting of a $95 million secured loan and a $5 million grant that can be used for either equipment, infrastructure or training.

More than 200 jobs will be in the Natchez area with an average salary of $65,000 plus benefits with another 200 plus jobs needed for construction.

Local incentives for the company have yet to be determined.

Also approved was a change to the existing Mississippi Advantage Jobs Rebate Program that will allow Ingalls Shipbuilding of Pascagoula, to create 3,000 new jobs over the next four years. Those jobs will pay an average salary of $41,000 plus benefits.

If I can be of assistance, please call me at 601-359-3244 or e-mail me at bdearing@senate.ms.gov.

#Mississippi #opinion #Bob #Dearing #Natchez #Columbus #Legislature #job #growth #Economic #Development #Lowndes #County #Olive #Branch #Desoto #County #Adams #County

New plant to impact timber industry most

| The Natchez Democrat: www.natchezdemocrat.com/2011/09/04/new-plant-to-im…-most

NATCHEZ — A new plant that turns pine into sugars that can be used to make fuel and other products, should open in Natchez by 2015.

And while today might be too soon to fill out an application for more than 200 jobs up for grabs at HCL Cleantech’s Natchez Plant, state lawmakers and Natchez Inc. Executive Director Chandler Russ said the number of jobs — both directly and indirectly from the timber industry — will be very much worth the wait.

HCL CleanTech says the average salary among the five cities it plans to locate will be $67,000, plus benefits, and the company says it will invest $1 billion in the state.

The Mississippi state legislature approved a bond bill during a special session Friday that included a $100 million loan for HCL CleanTech Inc., which wants to build its headquarters and four plants to turn wood chips into cellulosic sugars that can be used in fuel, pet foods, cosmetics, lubricants and other products.

Mississippi Development Authority officials said the headquarters office in Olive Branch and a pilot processing plant in Grenada could open in 2012.

Russ said Natchez is slated to be the location for the first large-scale plant, which MDA officials said could open in 2015.
“Ours is the (site) third in line,” Russ said.

Construction of two other large plants should open in Booneville and Hattiesburg in 2017 and 2019, respectively.

Russ said it could be two or more years before skeptics get to see dirt moving on the ground, but he has no doubt landing the company for the area will greatly impact the entire Southwest Mississippi region.

Sen. Bob Dearing, D-Natchez, said more than 200 construction jobs will be required to build the plant in a couple of years.

And with an abundance of pine supply in the area coupled with the lack of a big demand within 80 miles of Natchez, the new company could beef up a locally struggling timber industry.
“The job market in southwest Mississippi is getting a great shot in the arm,” Dearing said.

#Mississippi #economic #development #Natchez #Southwest #Mississippi #Chandler #Russ #Senator #Bob #Dearing #Legislature #job #growth #Timber #Industry

Port must start from scratch on bids for major contract

- Gulfport – www.sunherald.com: www.sunherald.com/2011/09/03/3398582/port-must-sta….html

GULFPORT — W.C. Fore Trucking Inc. is protesting the state Port Commission’s decision to pass him over as the low bidder on a multimillion-dollar contract. The project is to dredge the last 24 acres the port plans to fill as part of Katrina restoration and expansion.

The port received $570 million in federal funding for the port projects. The commission approved a $6.7 million contract with Matthews Marine Inc. of Pass Christian, finding the company was the lowest and best bidder to dredge the acreage and deposit the spoils on Deer Island. Fore’s bid was $628,000 lower than the one submitted by Matthews, the second-lowest bidder.
“Just because it’s federal money, you don’t have to play fast and loose with it,” said Gulfport attorney Jim Wetzel, who represents Fore.”Whether it’s federal money or state money, it all comes out of our pocket.”

Wetzel filed a protest on Fore’s behalf with the Mississippi Department of Finance and Administration, which oversees state contracts and purchasing. DFA had planned to grant Fore a hearing, Executive Director Kevin Upchurch said Friday, but then discovered a more fundamental problem. The port failed to secure approval for the Matthews Marine contract from DFA’s procurement board — a requirement when the contract amount exceeds $5 million.

Upchurch notified the port in August the contract would have to be cancelled. The Mississippi Development Authority, which receives and distributes the federal Katrina money, also must approve the port contracts. In this case, MDA refused, saying the bids should be re-evaluated and scored based on qualification factors. The Port Commission re-evaluated the bids, once again awarding Matthews the contract Aug. 24.

Port staff members are now reviewing the evaluation process to make sure it was properly handled, the port’s executive director, Don Allee, said Friday. He said he could not discuss the bids because the contract has not been finalized.
“We think this will get resolved with all questions answered pretty shortly,” Allee said.

Upchurch, who also chairs the procurement board, has reiterated DFA’s position to the port.”It was not handled properly,” he said.”If I tell them to cancel what they’ve done, they have no option but to rebid it.”

Upchurch also told the Sun Herald:”I have gone back on record to make our position clear. That (re-evaluation) is not acceptable. They should cease and desist. It’s over. I was told yesterday they were honoring that and were going back through the process, as they were instructed yesterday. I think they realize they have to cancel what they’ve done and start over. It will be as if nothing’s happened.”

#Mississippi #Gulf #Coast #Gulfport #MDFA #Finance #Spending #state #contracts #federal #money #government #Port #Commission #Kevin #Upchurch #MDA #Economic #Development

Tagert–Transportation drives economic development

The Webster Progress – Times – : www.websterprogresstimes.com/view/full_story/15293…llets

Transportation’s impact as an economic development tool was the focus of a talk by the Northern District transportation commission to the Eupora Rotary Club.
“Transportation really does have an impact on economic development,” Mike Tagert told Rotarians on Aug. 16.

Referring to the shift that the automotive and steel industries have made to the South, including Mississippi, Tagert said,”We built four-lane roads to attract these kinds of businesses. …”They’re here because of some good decisions made in 1987.”

The Mississippi Legislature passed a long-range highway program that year to build four-lane highways in phases, including U.S. 82 through Webster County.

Phase IV of the program is now part of Vision 21, a needs-based highway proposal to upgrade existing highways or build new ones where needed. Highways 9 and 15 are among its priorities. Tagert said the project is”quite a few years away from programming.”

The four-lane highways, he said, have brought an increase in economic activity and helped attract international corporations. Tagert also said rail systems play a vital role in economic development.

Mississippi ranks 14th in the nation as being among states recognized for having a well-maintained, comprehensive highway system, he said. The Mississippi Department of Transportation spends about $145 million a year to maintain 30,000 lane miles, according to Tagert.

Additionally, the speaker discussed bridge safety. About a third of the state’s 16,000 bridges are state-maintained, he said, of which 14 percent are in need of attention but not dangerous.

County supervisors and other local officials were among guests invited to hear Tagert, who was sworn in earlier this year. He and his wife, the former Mary Love Mortimer of Kilmichael, live in Starkville and have two children.

#Mississippi #Mike #Tagert #Transportation #Northern #District #Transportation #Commission #Legislature #Economic #Development #Webster #County #Eupora #Bridges #MDOT #infrastructure #spending #budget

Olive Branch lures headquarters

Desoto Times Tribune > News > : www.desototimes.com/articles/2011/09/01/news/doc4e…1.txt

OLIVE BRANCH – A special legislative session called for Friday by Mississippi Gov. Haley Barbour will be for the purpose of discussing a new industry that could create up to 800 new Mississippi jobs.

HCL CleanTech plans to invest $1 billion to establish the company’s headquarters in Olive Branch and eventually relocate its existing pilot facility to Mississippi, according to a statement from the governor.

"I think a corporate headquarters is an exciting opportunity for Olive Branch," said Mayor Sam Rikard. "It provides higher paying jobs than normal but what’s amazing about this series of projects, we’re not talking about a company just locating in Olive Branch, we’re talking about a legislative session that works to provide jobs in five Mississippi cities at the same time."

The company has also proposed to build a research and development center in Grenada and three large commercial plants in Booneville, Hattiesburg and Natchez.

#Mississippi #Olive #Branch #Haley #Barbour #Economic #Development #Sam #Rikard #Grenada #Hattiesburg #Natchez #Booneville #Legislature #job #growth

Senator Brown spills the beans on special session.

California www.pe.com | Southern California News | News for Inland Southern California: www.pe.com/ap_news/California/MS_Special_Session_5…shtml

A Mississippi lawmaker said Friday’s special legislative session includes incentives to bring a California-based company to Lowndes County.

Republican Sen. Terry Brown of Columbus told The Associated Press on Wednesday that he has been briefed by local development officials about plans by Calisolar to open a manufacturing plant that would create 900 jobs.

The company uses silicon to make cells that are used in energy-producing solar panels.

The Commercial Dispatch (bit.ly/qULZSp) newspaper first reported Monday that there had been local speculation about Calisolar coming to Columbus, Miss.

Officials say Ohio also was competing for the Calisolar plant.

Brown told the AP that the new jobs could pay $40,000 to $50,000 a year. He said he didn’t know what kind of incentives the state will offer.

Calisolar officials did not immediately return calls to the AP on Wednesday.

Gov. Haley Barbour on Wednesday afternoon will announce specific projects to be considered during the session, which begins at 10 a.m. Friday.

Barbour said Monday that one economic development project will be on the session’s agenda, and officials were trying to finish details of another project that could be considered.

The chairman of Calisolar’s board of directors is John D. Correnti, according to the company’s website.

"I trust him with my life," Brown said of Correnti, who was CEO of a steel mill that opened in Columbus, Miss., in 2007.

The mill originally was called SeverCorr. It was taken over by a Russian company and changed its name to Severstal. Severstal bought out the shares of SeverCorr’s senior management, including Correnti.

The state issues bonds as long-term debt to finance big projects such as construction or repair of highways or public buildings, or to provide incentives to lure companies to Mississippi.

After legislators authorize bond debt, bonds are issued by the state Bond Commission, made up of the governor, the state treasurer and the attorney general.

The commission’s next meeting is Sept. 19. Barbour said Monday that the special session is timed to come before that meeting "so that these large projects can get started this winter, if the Legislature approves them."

#Mississippi #economic #development #Haley #Barbour #Terry #Brown #legislature #job #growth #bonds #Columbus

Patience and planning are essential to state progress

- Charlie Mitchell – www.sunherald.com: www.sunherald.com/2011/08/30/3387553/patience-and-….html

Haley Barbour sees a day when expansion under way at the Panama Canal brings unprecedented prosperity to Mississippi.

Phil Bryant, the Republican nominee seeking to follow Barbour as governor, sees a day when Jackson is a center for health care with a dozen or more medical centers rivaling Houston, Texas.

Democratic nominee Johnny DuPree will likely espouse some long-range goals, too.

It’s the”vision thing” we hear about.

But Barbour, preparing to leave office after eight years, says one thing he has discovered during his two terms is that state government is poorly structured to engage in long-range planning, especially of the type needed to create lasting economic development.

At a meeting of the state’s newspaper industry in July, Barbour went so far as to say it is impossible for the legislators to think beyond their four-year terms. It was a criticism, but also a reality. There are exceptions, such as multiyear highway programs, but lawmakers are more like firefighters. Even if they had wanted to devise long-term projects, they’ve been putting out blazes, scrambling to find funds to get the state through the next 12 months. They’ve had no time (and little interest) in developmental measures.

That’s what makes organizations such as Advance Mississippi and the Mississippi Economic Council essential. They and several other groups take the state’s economic pulse constantly.

In addition to speaking to the press, Barbour was on the Gulf Coast to meet privately with stakeholders on his much-maligned notion that a serious investment in port facilities now will result in thousands of jobs during the next 10 to 15 years.

The work in Panama will double the canal’s capacity by 2014. As Barbour and many others see it, Gulfport — if prepared — would become the most affordable destination for hundreds of ships delivering goods from Asian ports.

Today, most of those ships offload on the West Coast. Containers are dispatched to their destinations via truck or train. Once the canal is expanded, the most time- and cost-efficient route to any point east of the Mississippi would be through Gulfport, but only if it has the infrastructure.

#Mississippi #Gulfport #Economic #Development #Legislature #Haley #Barbour #Phil #Bryant #Johnny #Dupree #Health #Care