TRUTH OR CONSEQUENCES, NM – The New Mexico Spaceport Authority (NMSA) Board of Directors reviewed plans today to design, build and program the Spaceport America Visitor Experience. The plan includes two off-site Welcome Centers located in the Village of Hatch in Doña Ana County and in Truth or Consequences in Sierra County, plus an on-site Visitors Center and specially developed behind-the-scenes tours as well as the chance to visit the Virgin Galactic Gateway to Space.

The Spaceport America Visitor Experience will be a professionally designed immersion into the excitement of the world’s first purpose-built, commercial spaceport. Guests will be invited to explore the history, adventure, potential and inspiration of both the next space-age. Officials project attendance will grow to more than 200,000 visitors annually.

“The Spaceport Experience begins on-line long before a guest arrives at a Welcome Center” explained Bob Allen, IDEAS Chief Storytelling Officer. “There will be a robust virtual environment offering games, mobile apps and content so that especially our younger guests will already feel a part of the new space age by the time they come for a visit.” Kelly Pounds, IDEAS Vice President of Learning, noted that a lot of the content will have an educational focus. “We’ll have a special section for educators incorporating lesson plans, instructionally and designed interactives as well as a way for teachers to establish a dialogue with Spaceport for long-term collaboration.

“The Welcome Centers are the “mission briefing” areas where guests become part of the spaceport crew, get updated on current activity, get their credentials and catch a shuttle,” said Allen. The shuttles, designed as traveling theaters are an integral part of the experience. Because Spaceport America is a part of a rich portfolio of regional tourism, the Welcome Centers will also feature a “regional trailhead” where guests can learn about and plan multi-day itineraries. Once guests arrive at Spaceport America, they enter the onsite Visitors Center, which will feature hands-on access to space technology and artifacts from recent launches, the opportunity to create a payload and manifest it for flight, interactive and simulation based experiences and a theater. From the Visitors Center, guests can take a guided in-depth shuttle tour of the entire spaceport finishing at the entrance to the Virgin Galactic Gateway to Space where they will get a chance to see in depth into the exciting reality of the world’s first passenger spaceship fleet. Allen noted that, “we are designing a learning-enriched, hands-on immersion into what space is going to be about for the next twenty years. We want a relationship with our guests that lasts generations.”

Comprised of nine companies with rich experience in the design, development, operation and marketing of location-based entertainment, TEAM IDEAS was hired by NMSA to create a memorable visitor experience for Spaceport America, and to create a plan that will meet the needs of visitors and enhance regional tourism. The team evaluated six potential Welcome Center sites in Hatch and eight sites in Truth or Consequences using metrics and criteria developed in the destination hospitality industry before recommending a site in each community with proximity and easy access to I-25 to enhance guest wayfinding and brand visibility.  Officials with NMSA and TEAM IDEAS emphasized a focus on the commercial success of the visitor experience as the best way to make a positive impact on local communities.

The NMSA Board of Directors indicated their support for the plan, with NMSA Chairman Rick Holdridge saying, “After reviewing the TEAM IDEAS recommendations and reconciling it with our budget and commitment to the two counties, we are confident that we have a winning solution fulfilling the promise of economic development, tourism and education.”

Next steps in the development process include the release of Requests for Proposals (RFP) targeting outside investment in Visitor Experience facilities from private developers, the development of a unified visual spaceport brand identity, and continued refinement of the plans as presented. The initial Spaceport America Visitor Experience is expected to reach operational capacity in 2013, about the time Virgin Galactic is intending to begin their commercial operations from Spaceport America. In the meantime, Spaceport America Preview Tours will provide visitors a taste of the project until the full Visitor Experience is ready.

About Spaceport America

Spaceport America has been providing commercial launch services since 2006. Phase One of the construction for the spaceport is expected to be complete in early 2012. Phase Two of the construction and pre-operations activities will follow, including the development of a world-class Visitor Experience for students, tourists and space launch customers, the vertical launch complex improvements and the paving of the southern road to the spaceport. When Phase Two construction is completed in 2013, Spaceport America will become fully operational.

Officials at Spaceport America have been working closely with entrepreneurial space leaders like UP Aerospace, Virgin Galactic, and Armadillo Aerospace, as well as established aerospace firms like Lockheed Martin, Boeing, and MOOG-FTS to develop commercial spaceflight at the new facility. The economic impact of launches, tourism and new construction at Spaceport America are already delivering on the promise of economic development to the people of New Mexico.

For more information, please visit: www.spaceportamerica.com
For more information on Preview Tours of the Spaceport, please visit: www.ftstours.com
Facebook: Spaceport America, or follow us on Twitter: @Spaceport_NM

About TEAM IDEAS

IDEAS is an innovation studio using the power of story to provide creative, design and production services for entertainment, marketing and learning clients. IDEAS was created in 2001 in a management buyout from The Walt Disney Company and serves clients in enterprise and government worldwide. The company operates from its studio headquarters in downtown Orlando’s Creative Village.

Other team members include: Integrated Insight, Inc.; ORCA Consulting LLC; Cordova Marketing Group; Exline Design and Architecture; MYDesign, Inc.; and Blackhorse Worldwide. Team members from New Mexico include SMPC Architects and Larry Littlebird of Albuquerque, NM. The contract called for companies to create partnerships to provide a wide range of services to develop the spaceport’s Visitor Experience.

TEAM IDEAS members have provided a broad range of services in experience development for a list of clients that includes every major Walt Disney theme park & resort around the world, major Universal Studios theme parks, NASCAR, the Smithsonian Air & Space Museum, the U.S. Capitol, the Statue of Liberty, the United States Air Force and the United States Navy. This caliber of relevant experience makes the team well-suited to develop the story, design, market analytics, operational strategy, and facilities of the Spaceport America Visitor Experience.

For more information, please visit: www.ideasorlando.com

Facebook: Ideas Orlando

Union Pacific, which recently began construction of an all-new rail facility outside Santa Teresa, announced a $100,000 donation to Doña Ana Community College as part of Las Cruces Day in Santa Fe during a press conference Monday, Jan. 30, at the Roundhouse in Santa Fe.

The donation, which Zoe Richmond, UP director of public affairs, said was given to DACC to use as the institution sees fit. However, the underlying message at the press conference was creating jobs to sustain UP’s new intermodal facility.

“Doña Ana Community College is excited to be the recipient of such generosity from Union Pacific,” said DACC President Margie Huerta. “We plan to use the funds for scholarships and workforce development to ensure our students have the knowledge needed to qualify for the jobs this new facility will bring to the region.”

There were several key players who helped make the donation a possibility, including Sens. Cynthia Nava and Mary Kay Papen, Rep. Mary Helen Garcia and New Mexico Economic Development Secretary Designate Jon Barela as well as Mesilla Valley Economic Development Alliance CEO Davin Lopez and Border Industrial Association Executive Director Jerry Pacheco and Juan Massey.

“Union Pacific and Doña Ana Community College is an example of a great private-public partnership,” Lopez said. “We are proud to be a part of this.”

“Right now, we are moving 4.1 million cubic yards of dirt,” Richmond said about developments in Santa Teresa. “We hope this donation strengthens our long-term commitment to southern New Mexico.”

As another part of Union Pacific’s commitment to grow New Mexico, Richmond said seven of the 10 subcontractors working on the project are from New Mexico, which translates to 66 percent of $40 million that has been spent in the Land of Enchantment. The intermodal facility is expected to be completed by 2015, bringing in 600 permanent high-paying jobs.

“The average employee will be making $100,000 in wages and benefits,” Richmond said. “We like to say where we have rails, we have ties.” Richmond said UP chose DACC as a recipient because “DACC is a neighbor” and she is looking forward to a good working relationship with the community college.

“Thank you for your generosity,” Huerta said during the press conference. “The Greater Las Cruces Chamber of Commerce as well as many others have given their help and been so supportive – Davin Lopez, Jerry Pacheco, Juan Massey, (Rep.) Terry McMillan.

“Donations like this will have an immediate impact on southern New Mexico. Developing the workforce in southern New Mexico is critical, and this gift of $100,000 is a huge investment and will yield positive return. “In Doña Ana County, we work with a collaborative spirit to improve the community.”

Nava, former superintendent of Gadsden Independent School District, said the example set in southern New Mexico is remarkable. “The rest of the state should listen,” Nava said. “I fought to get Union Pacific here, and I will fight to hold them accountable to their promises. This check is a great start, and it is about jobs, economic development and the opportunity for students to succeed.”

To help bring UP to southern New Mexico, Gov. Susana Martinez signed into law in 2011 a bill granting Union Pacific a locomotive fuel tax deduction that allowed the company to move forward with an investment of $400 million in the construction of a 2,200-acre rail facility west of the Santa Teresa Airport, which will include fueling facilities, crew change buildings, locomotive inspection tracks, an intermodal ramp and a switching yard.

“This new facility will strengthen our long-term commitment to deliver premium service to our customers,” said Scott Moore, vice president of public affairs for Union Pacific. “Upon completion of this new infrastructure, New Mexico will take its place among the leaders in the goods movement industry.”

A key player in getting the locomotive fuel tax deduction bill passed was Barela. When the bill was passed, Barela called it “a cornerstone to creating jobs in southern New Mexico.”

“Doña Ana County has great potential and thank you to our great corporate neighbor – UP,” Barela said. “The facility is a solid anchor project on the entire Mexico border – all 2,000 miles of it.”

SANTA FE –Gov. Susana Martinez and Economic Development Secretary Jon Barela praised the formal filing of the deed with the Doña Ana County Clerk’s Office on Wednesday to create the Camino Real Regional Utility Authority (CRRUA) in Southern Dona Ana County. The utility authority will provide an independent utility for the provision of water and wastewater services along the U.S./Mexico Border in southern Doña Ana County.

“I am pleased that the final step in creating this utility authority has been taken,” Gov. Martinez said. “It is imperative that we have the Camino Real Regional Utility Authority in place to provide a predictable source of water for residents and businesses in the area. This will help to not only retain the companies we have in the region but recruit new companies to Santa Teresa and Sunland Park.”

CRRUA will oversee provisions of services and utility billing to thousands of customers within the City of Sunland Park and the Santa Teresa development, as well as to thousands more in the rapidly developing areas adjacent to the Santa Teresa Port of Entry.

“We are happy about the collaboration in the creation of CRRUA and look forward to the economic progress that will develop as a result of today’s action,” Secretary Barela added.

A view of the Union Pacific site, looking east with the Airport, Santa Teresa, El Paso and the Franklin Mountains in the background. Photo courtesy of Suzie Azar.

Release courtesy of Union Pacific Railroad.

The passage of the Locomotive Fuel Tax Deduction HB523/SB179 by the New Mexico state legislature and signing into law by Governor Martinez was the catalyst that allowed Union Pacific Railroad to break ground on a state-of-the-art rail facility in the southern part of the state. With an overall economic impact of $500 million for the New Mexico economy, Union Pacific’s investment in the project totals more than $400 million. The facility will create 3,000 jobs during the construction phase from 2011 to 2015, and will eventually be headquarters for more than 600 permanent jobs. For the first time ever, southern New Mexico will have a key inland port, positioning the Santa Teresa area as a strategic focal point for goods movement in the southwestern U.S.

Phase 1 Construction

The Phase 1 construction launch occurred on August 8, 2011. Phase 1 will continue through 2012. Rangar-Benson received the first construction contract and will complete the mass grading in which approximately 5.6 million cubic yards of dirt will be excavated and 4.1 million cubic yards of dirt will be placed. This phase will also extend approximately two miles of Dona Aña County public water and sanitary sewer lines that will serve the facility. This work is scheduled to last approximately one year.

Seven of the ten contractors on the project are New Mexico based, totaling $40 million worth of contracts, more than 66 percent of the Phase 1 contracting.

340 people have been working on the site at any given time to date during the Phase 1 construction process with more than 50 percent of those hailing from New Mexico.

Phase 2 Construction

The second phase of construction will commence after Phase 1 and will complete the remaining portion of the yard to include all the mechanical, electrical, architectural, utilities, track and civil engineering portions of the project.

As part of the contract, there is an expectation that the general contractor will consider New Mexican subcontractors and also look for opportunities to hire qualified New Mexicans.

Global Economy Demands Efficiency

The construction of the Santa Teresa facility will permanently position Southern New Mexico as a crucial component of the historic “Sunset Route,” one of the oldest and most critical rail corridors in American history, securing New Mexico’s future as a leader in the goods movement industry. Union Pacific’s initial plans for capital spending in 2012 total $3.6 billion in support of America’s freight transportation needs. That investment will continue enhancing the safety and efficiency of Union Pacific’s 32,000-mile network. The resulting improved rail capacity benefits everyone. It allows freight rail service to grow, helping to build a cleaner environment. According to the U.S. Environmental Protection Agency, freight trains are nearly four times more fuel efficient than trucks.

About The Project
Fueling Facilities – Located along the busy “Sunset Route” between El Paso and Los Angeles, this fueling facility will enhance commerce and goods movement in the state of New Mexico.

Crew Change Buildings – This facility will eventually serve as home base for Union Pacific employees operating long-haul trains out of the area.

Intermodal Ramp – This regionally focused intermodal ramp will permit both local and regional businesses more immediate access to the efficiencies of freight trains.

With Virgin Galactic developing its spaceliner and new launch testing at Spaceport America, the first jobs created by the spaceport are coming, members of a panel said.  At the Greater Las Cruces Chamber of Commerce community update forum Tuesday, Jan. 10, at the Doña Ana County Government Center, Wayne Savage of the chamber’s spaceport committee said the forum was about making Spaceport America bring about the promise of jobs. We’re beginning to see things take place, and we’re seeing opportunities show up, and that’s what we’re here for,” Savage said.

Chad Rabon of the New Mexico Spaceport Authority (NMSA) said the first phase of construction on the $209 million spaceport between Las Cruces and Truth or Consequences is almost complete. To get Spaceport America ready for business with a runway, vertical launch area, several support facilities and the terminal hangar for its anchor tenant Virgin Galactic. NMSA is now starting the spaceport’s second construction phase, which Rabon said includes paving the southern road leading to the complex. It was recently announced that the surfacing of the already wide and well-grated county road won’t require time-consuming environmental studies.

Spaceport America operations are located the Lewis Cain Ranch and is surrounded by similar desert range ranches 45 miles north of Las Cruces.

The next construction phase includes adding more pads and support facilities to the spaceport’s vertical area, Robin said. NMSA is currently accepting bids on contracts to provide information technology and space operations support.

Already, activity at NMSU is picking up for research and development of new systems, such as reusable rocket boosters, with Lockheed Martin winning an Air Force contract to test its design for such a system at Spaceport America.

NMSA’s Aaron Prescott said Armadillo Aerospace has tested more traditional rocket prototypes with three launches since May. Also, Boeing will test a helicopter avionics system at the spaceport, he said. The new construction will provide a second pad for vertical launches and rollback shelter for these kinds of tests, Prescott said. The current Spaceport America vertical launch facility was developed for UP Aerospace that has been launching sounding rockets since 2006 to send a variety of small payloads into suborbital space.

With the State Legislature about to start its new session, Prescott mentioned spaceport supporters are pushing for refining the 2010 law that protects companies such as Virgin Galactic from lawsuits as something goes wrong with a flight carrying passengers. The informed consent legislation didn’t extend those protections to suppliers of the spaceship companies, but competing states have passed protections granting protections to support industries.  “It doesn’t help us very much to protect the operator, but not the supplier,” Prescott said. “This is key for Spaceport America to remain competitive with other states.”

Mark Butler of Virgin Galactic, who moved from England to New Mexico, said the company is making progress on the safety and flight testing of its prototype of the kind of thrilling but- upscale suborbital flights it plans to give passengers for $200,000 a ride.  The craft that will carry the six-passenger spaceship to 50,000 feet for midair launches, the White Knight 2, has completed about 80 flights reaching important altitude and duration goals, Butler said.

Testing has begun with Spaceship 2 more than 15 “captive carry” flights and 16 release and- glide tests, Butler said. The hybrid engine – the world’s largest such engines – is being tested, he said, and the company won’t start taking passengers into space until the system performs safely, he said.  “We are now pushing the envelope on that system,” Butler said. “Yes, this is rocket science, so it takes a while. … This kind of thing does take a long time, and this is the first time this is being done so we are going to take the time to do it right.”

Butler reported that five Virgin Galactic staff members are now using office space in Las Cruces.  Once the flights begin on a regular basis, Butler said Virgin is going to need human resources and financial people, all the normal behind-the-scenes people. Also, there will be people hired to provide a variety of customer services, he said.  The space business goes beyond needing engineers and other technical staff, but also hospitality and other support staff, Butler said. Virgin does intend to buy local supplies as much as possible, he said.

“It’s important for us to get our supply chain to New Mexico,” Butler said.  With $60 million in deposits and more than 500 signed up as future astronauts, Virgin has “a hugely busy year ahead of us,” he said. To work for Virgin, Butler recommended patience and persistence.

Meanwhile, Fiore Industries won the contract for providing protective services to the spaceport, including security, EMS, fire protection and hazardous materials control. Fiore’s Tim Zagorski said the company is hiring people with local experience and subcontracted with local entities such Sierra Vista Hospital and the Las Cruces-based Zia Engineering “We strongly believe in local economic development,” he said “ We even rent power generators from a local company and buy fuel locally.”

Fiore will be looking to buy fire equipment, EMS vehicles and equipment in the near future, he said, and the company is seeking applicants for security guards, firefighters and EMTs. The company will need 15 security guards and 15 firefighters/EMTs, along with some office and compliance support, he said.

Also at the forum was Paul Schmidt of EASI, general services contractor, that will be running spaceport functions, such as water and wastewater, fuel depot operations, electrical systems, roads and grounds upkeep, runway maintenance, generator maintenance and repair, janitorial services, pest control and even HazMat clean-up and removal.

By Todd G. Dickson

State Higher Education Secretary Jose Garcia and Public Education Secretary-designate Hanna Skandera say they intend to make the public schools and higher education work together to provide a better trained work force.

Speaking before the Mesilla Valley Economic Development Alliance (MVEDA) Tuesday, Jan. 3, Garcia and Skandera said they also will make the educational system more accountable. Their appearance in Las Cruces was followed up by Gov. Susana Martinez meeting with a large group of regents, governing board members and post-secondary institution presidents in Socorro to discuss the state’s new higher education funding formula.

The new formula will reward New Mexico’s higher learning institutions based on outcome measures that reflect student achievement and preparedness for New Mexico’s work force, as opposed to basing the allocation of funding on measurements like the size (square footage) of each institution. Also, the current formula funds colleges and universities based on courses and degree programs started. The new formula would be based on courses and degree programs completed.

Garcia said this is about more than making better use of the state’s support of higher education. The idea is to put the money into where there are gaps, especially in skill sets needed in high-tech professions.

At the MVEDA luncheon, Garcia noted that Intel decided to expand its Arizona operations, but not its plant in Rio Rancho. Yet, New Mexico spends more per graduate than Arizona, he said. Garcia said he took it as signal that New Mexico is not producing the kind of work force that is needed for the United States to be competitive globally.

“The central goal of New Mexico’s higher education institutions should be to graduate the students New Mexico’s economy will depend on for decades,” Martinez said. “In an increasingly competitive global economy, this formula will help us deliver the graduates we need for the jobs of tomorrow, and it serves to intently focus our attention on the achievement of our students.”

Under the formula, institutions would receive funding for graduating students in “STEHM” (Science, Technology, Engineering, Health Care and Mathematics) fields. A recent study disclosed that New Mexico’s economy will require nearly 50,000 employees with STEHM degrees by 2018 and nearly 95 percent of those jobs will require post-secondary education. “For the first time in the history of New Mexico, the younger generation is less educated than the generations before,” Garcia said. “This new formula is our opportunity to make sure today’s students are tomorrow’s successful employees.”

Meanwhile, Skandera said the schools will be changing, too, with a focus on making graduates better prepared for the work force or higher education once they complete school. Skandera said the schools will be more realistically assessed than the guaranteed failure rates offered by No Child Left Behind standards, which she said has only resulted in schools putting resources into helping borderline students rather than helping struggling students.

“Education is about setting up our kids for success,” Skandera said. “Let’s honor the successes we see and work on the areas we need to.”

At the MVEDA luncheon, a local success story was also highlighted. The Arrowhead Park Early College High School (APECHS) on the New Mexico State University campus will get a boost from a $345,090 W.K. Kellogg Foundation grant for the public-private workforce development advocate. The school, created by a school-business partnership called the Bridge of Southern New Mexico gives students the chance to learn in a higher education environment and earn college credits.

APECHS can tout that none of its students have dropped out, said Tracey Bryan, president and CEO of The Bridge. She said the cooperative efforts between the public schools, higher education and the business community is what spurred Kellogg to give the significant grant.

Distribution of the grant money includes $45,000 to NMSU’s Enlace Program that helps minority students succeed in higher education, $45,000 to NMSU and the University of New Mexico education research centers, $37,090 to the Arrowhead Center where the school is housed and $10,000 to the Service Learning Program at the NMSU College of Education. But the bulk of the Kellogg grant will be used to increase the student capacity at APECHS and to begin work on setting up four more early college high schools in Doña Ana County, according to the grant announcement.

Bryan said the Kellogg grant is a significant award, but The Bridge also has been getting grants from other private foundations and local businesses to help the APECHS effort. Through APECHS and other efforts, Las Cruces Public Schools is seeing good progress on reducing its dropout rate overall, Bryan said, “and the sky’s the limit” for future progress.

Skandera touted APECHS as an example of how to improve schools. “We didn’t point fingers in Las Cruces,” she said. “We sat down and said how do we get there, and we partnered.”

Activity at Spaceport America in 2012 will be up over 2011, and new opportunities for local businesses will be available.  On Tuesday, January 10, 2012, Spaceport America, Virgin Galactic, and key site operations contractors will provide a briefing on upcoming activities as the Commercial Space Committee of the Greater Las Cruces Chamber of Commerce sponsors the first Spaceport Community Forum of the year.  The meeting will be held from 5:30 – 7:00pm at the Dona Ana County Government Center at 845 N. Motel Blvd in Las Cruces, in the main Commission Chambers.

Representatives from Fiore Industries, Enterprise Advisory Services Inc. (EASi), and Follow The Sun Tours will be on hand to share their roles at Spaceport America, talk about upcoming contract opportunities, and how to engage their procurement processes.  Program updates for 2012 will be provided by the New Mexico Spaceport Authority and Virgin Galactic representatives.  Information will also be presented on other local and statewide procurement registration databases to assist local businesses in identifying opportunities for growing in 2012.

A “business card” drawing will be held to give away four tours passes to Spaceport America with Follow The Sun Tours, operators of the “Spaceport Preview Tours”.  For more information, contact the Greater Las Cruces Chamber of Commerce at 575-524-1968.

Fred Shepherd

Article courtesy of the Las Cruces Sun-News

LAS CRUCES – After more than eight years with the Mesilla Valley Economic Development Alliance, Business Development Manager Fred Shepherd has left the organization. In an e-mail he sent out to MVEDA members, Shepherd reports that he left to perform regional marketing for H&R Block.

“Although I was not looking, it was an offer that I felt I could not pass up, however, it was a very difficult decision as it meant leaving MVEDA,” Shepherd writes. “Although I am leaving MVEDA, I will still be based in Las Cruces and I plan to be involved in the community.”

MVEDA is a public/private organization that works to bring companies to Doña Ana County and to help those already here expand. Davin Lopez is the president and CEO, Les Baldock is the operations manager, Jaclyn AaronsCooke is the research analyst and Sandi Metz is the organization’s executive assistant.

Shepherd is a native of Utah who moved to Las Cruces in 2003 and started with MVEDA as a research analyst.

“I have truly enjoyed my eight-and-a-half years at MVEDA and was able to experience a lot of personal growth … as we labored to improve the local economy and create thousands of job opportunities,” Shepherd said.

More information about MVEDA can be found online at mveda.com and at nmborderplex.com.

By Brook Stockberger/Sun-News Business Editor

LAS CRUCES – “Las Cruces, manufacturing hub!”

Well, southern New Mexico’s largest city might not gain that moniker anytime soon, but the reality of an operating Spaceport America north of town and the start of construction on a $400 million Union Pacific Railroad facility south of town, has spurred increased interest in Las Cruces among manufacturing and logistics companies.

According to a recent quarterly report, the Mesilla Valley Economic Development Alliance says that 65 percent of all new leads are in the manufacturing sector.

“This is a great area to be growing in because manufacturing/logistics generally involves paying local people and local suppliers to make things that people outside the region pay for,” said Christine Logan, economic development administrator for the city of Las Cruces.

L&M Radiator and Alaska Structures both moved into town and created manufacturing jobs. That was welcome news that came on the heels of a stretch last decade in which Las Cruces lost Parkview Metals, Rea Wire Magnet Wire and manufacturing jobs with Taylor Precision Products. “Both of these companies moved from El Paso to Las Cruces,” Logan said. “A big factor was that we had facilities here that they could move into and expand their operations. A recurring theme in the city’s economic development efforts has been the need for existing industrial space.”

Minnesota-based L&M had a facility in El Paso, but outgrew that location and turned its eyes north across the state border. “Our business has seen a tremendous amount of growth over the last year,” L&M Radiator President Dan Chisholm said when the company decided to move. L&M, which makes cooling systems for heavy machinery, is leasing about 52,000 square feet of manufacturing and warehouse space on South Valley Drive.

In addition, TE Connectivity, an electronics component manufacturer, will relocate 100 jobs to its Santa Teresa plant from El Paso. “In the next three years, we’re hoping those 100 jobs grow to 250,” said Jerry Pacheco, vice president of the Border Industrial Association.

According to the city’s most recent economic development report, the manufacturing business category makes up just 1 percent of the businesses and 4 percent of the jobs.

Still, Davin Lopez, president and CEO with MVEDA, said that the area is increasingly showing up on companies’ radar. MVEDA works to bring companies to Doña Ana County and to help those already here expand. “We continue to see manufacturing leads increase as a percentage of total leads developed,” Lopez said. “This category also includes logistics companies. Whereas this category accounted for approximately 39 percent of all leads in the last fiscal year, we have seen it grow to 65 percent of in the first quarter of this year.”

Both Logan and Lopez said that the Union Pacific facility in Santa Teresa plays a major role. “Over the past 12 to 18 months, we have received greater interest from manufacturing and logistics firms due to the Union Pacific announcement,” Lopez said. “A $400-million-plus investment catches attention both regionally and nationally.

“It has enabled us to not only showcase opportunities in and around the Santa Teresa region but also to bring greater attention to the Las Cruces region where we happened to have existing facility space that fits the needs of some of these companies,” he said.

“We are getting more attention lately because, No. 1, we had vacant facilities to accommodate companies,” Logan said. “No. 2, there is pent-up demand for manufacturing space since no one wanted to expand or relocate in the worst of the economy and, No. 3, the proximity to the Union Pacific intermodal facility makes this a great place to locate a manufacturing facility.”

Brook Stockberger can be reached at (575) 541-5457

Let me first start off by saying that the “job” of job creation in economic development takes an organized and consolidated approach and it requires the efforts of many groups working together.  In this respect I want to recognize all the team players that make this possible here in Doña Ana County.  They include the New Mexico Economic Development Department, the New Mexico Partnership, the Border Industrial Association and of course our partners at both the City of Las Cruces and Doña Ana County.  They also include our educational and training partners at NMSU and DACC.  And of course it takes the support of all of MVEDA’s private sector partners.

COMPLETED PROJECTS AND SUMMARY OF ACTIVITY

As of September 30, 2011, MVEDA has assisted in the creation of two new locates representing 279 new jobs to Las Cruces.  They include:

• Vangent, a back office support center based in Arlington, VA.  The company announced the decision in early July of this year and have currently hired over 90 employees to date.
• L&M Radiator, a manufacturer of industrial radiators that recently relocated out of El Paso to Las Cruces.

With these two locates, we are far ahead of production levels compared to this same time last fiscal year in terms of project completion, square footage absorption, employment numbers and capital investment.

MARKETING & BUSINESS DEVELOPMENT

As a result of the several locates that have taken place over the last nine months, the MVEDA staff had spent considerable time and energy in project management functions.   Entering the new fiscal year, we have now returned our focus to the marketing efforts of the organization and the re-building of our project pipeline.  Although lead and prospect generation is slower year-to-date compared to this same time last fiscal year, we are once again beginning to see new opportunities.

We have been quite aggressive in our marketing efforts and reaching out to target markets where we believe there is potential for near term growth opportunities.  At MVEDA’s Board Strategic Planning Retreat in June, the staff outlined the following primary targets:

• Unmanned Aerial Vehicles/Systems (UAV/UAS):  The Las Cruces International Airport is the only municipal airport in the US where UAV’s can be tested in the public airspace.  Along with the expertise in systems operations provided by the Physical Science Laboratory, the Las Cruces region becomes a unique opportunity for UAV companies seeking to not only test but to conduct R&D and assembly operations.

• Logistics & Warehousing:  The announcement of Union Pacific this past fiscal year affords us incredible future growth opportunities and we are taking steps to position ourselves for success in this area.

• Renewable Energy:  Over the past 12 months, MVEDA and the region have experienced tremendous success in the development of solar projects.  We continue to aggressively seek out opportunities in this area.  However, we are seeing a shift in new interest from bio-mass companies exhibited by the growth in research in new fuel related agricultural crops.

• El Paso Market:  Over the last 18 months, Las Cruces and Doña Ana County have benefited greatly from growth pressures in El Paso that are squeezing the industrial base.  Early results have included Alaska Structures and L&M Radiator expanding into Las Cruces as well the recent announcement of TE Connectivity’s consolidation into Santa Teresa.

This quarter, we have also participated in prospect trips to Chicago, Boston, Washington DC and San Francisco.   More recently MVEDA also participated in Virgin Galactic’s Industry Day at Spaceport America and the ISPCS conference.

As evident from the above, we are experiencing renewed growth and interest in the region, primarily in the manufacturing sector.  Eighteen months ago, the City of Las Cruces had over 360,000sf of industrial space sitting idle.   Of that space, 300,000sf is now occupied by Alaska Structures in our West Mesa Industrial Park.  Vangent has taken over the former Frontier Airlines reservations center and L&M now occupies the former Multi-Plastics facility.

The Union Pacific project at Santa Teresa further positions Doña Ana County to be a major hub for future distribution and logistics companies.   More recently, but falling within our 2^nd Quarter activity, TE Connectivity officials along with Governor Susana Martinez announced their plans to consolidate their operations in Santa Teresa thereby making their Doña Ana County facility their largest North American distribution center.  We also expect one to two more announcements before the end of the calendar year.

Again, we cannot accomplish our goals without the support of our partners and stakeholders.  We thank each of you for your continued support and we look forward to continuing the mission of job creation for Doña Ana County and New Mexico.

Davin Lopez

President and CEO

Mesilla Valley Economic Development Alliance