Posts Tagged ‘New Mexico Economic Development Department’

It is with a great deal of excitement that I present to you MVEDA’s First Quarter results of the 2011-’12 Fiscal Year.  It seemed it would be very difficult to match the performance level and results of our last fiscal year, one of MVEDA’s best years ever.  In the last fiscal year we experienced our second best year ever in terms of job creation.  It was by far our best year ever in terms of capital investment made into the region.  Additionally, it was our best year ever in terms of average salaries created which is a direct impact on wealth creation for the region and its residents (please see attached FY 11 Annual Report).   But if this first quarter is any indication of how the rest of the year will proceed then we will have just as much success to look forward to and with great anticipation.

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

The New Mexico Finance Authority, New Mexico Economic Development Department, and Baker Tilly invite you to attend a complimentary seminar to learn how to access nearly $100 million in funding through New Markets Tax Credits and Collateral Support Participation programs for your qualified business or real estate development.

New Markets Tax Credits have helped developers and business owners gain access to a low-cost source of capital to solve a portion of their capital needs while creating significant community and economic impact in distressed areas. The Collateral Support Participation program is a new program initiated to leverage private lending to help finance small businesses which are creditworthy but unable to obtain the capital required to expand and create jobs.

These seminars are designed to inform and acquaint community officials, planners, economic development professionals, developers, and business owners. A special addendum has been added to these sessions which will focus on the unique interests of investors and lenders of New Markets Tax Credits.

Seminar schedule

Representatives will be traveling throughout New Mexico to provide information on how we can help your business realize the vision of your communities’ needs and growth potential. We look forward to seeing you at an upcoming seminar! Please RSVP at least a day prior to the event using the links below.

Monday, November 14, 2011

City Hall – Commission Chambers

1376 East Ninth Street, Alamogordo, NM  88301

9:00 a.m. – 12:00 p.m.

Yes, I plan to attend >

Tuesday, November 15, 2011

Morgan Hall

109 E Pine Street, Deming, NM  88030

9:00 a.m. – 12:00 p.m.

Yes, I plan to attend >

Wednesday, November 16, 2011

Hotel Encanto

705 South Telshor Boulevard, Las Cruces, NM  88011

9:00 a.m. – 12:00 p.m.

Yes, I plan to attend >

For questions regarding these events, please contact:

John Brooks
jbrooks@nmfa.net
505 992 9638

Celina Sandoval
csandoval@nmfa.net
505 992 9642

Release courtesy of the New Mexico Economic Development Department

SANTA FE –Governor Susana Martinez signed the Capital Outlay Bill Tuesday which includes $1.85 million in capital improvements for the Santa Teresa Water System Infrastructure Project.

“This project is an important element to infrastructure development, public safety and job creation in Santa Teresa,” said Secretary of Economic Development Jon Barela. “It will improve water service for industrial, commercial, and residential customers southern Doña Ana County and the surrounding border region.”

The funding is part of Local Economic Development Act (LEDA) that includes planning, design, permitting, and construction to the existing Doña Ana County Wastewater Treatment Plant, and building new water and wastewater treatment facilities and piping at the Santa Teresa Industrial Park.

“The Santa Teresa Water System Infrastructure Project improvements are critical for many companies located at the border to have the adequate water pressure needed to operate,” said Jerry Pacheco, vice-president of the Border Industrial Association, which represents 45 companies located near New Mexico’s southern border that employ approximately 2,000 workers. “The project will also help recruit and relocate companies from El Paso and other areas and retain the existing companies along the border.”

There are five components of the full project including new water wells, replacing water pumps, a new water storage tank, replacing the domestic booster station, and replacing the fire pump.

The Economic Development Department’s Office of Business Advocacy and the EDD Financial Development Team have spearheaded the LEDA funding efforts for the waste water system in Santa Teresa since January 4, 2011.

The $86 million Capital Outlay bill was approved by the Legislature during a special session, which ended in September.

Release courtesy of the New Mexico Economic Development Department

SANTA FE – New Mexico Economic Development Department Secretary Jon Barela announced Tuesday that New Mexico has been approved by U.S. Department of the Treasury to participate in the State Small Business Credit Initiative Program (SSCBI).

New Mexico will receive nearly $13.2 million in federal funds to put toward programs that leverage private lending to help finance small businesses and manufacturers that are creditworthy, but are not able to access the capital required to expand and create jobs. The New Mexico Economic Development Department (NMEDD) will contract with the New Mexico Finance Authority (NMFA) to operate the program.

“Small businesses are the backbone of New Mexico’s economy and the engines of economic recovery,” said Governor Martinez. “It is a priority for this administration to create a more business-friendly environment that encourages growth, investment, and job creation right here in New Mexico. This program is an important step toward accomplishing that goal and putting New Mexicans back to work.”

“These funds will help creditworthy small businesses access the lending they need to invest and hire, providing a powerful boost for economic growth and job creation,” said Deputy Secretary of the Treasury Neal S. Wolin. “Expanding access to credit will help ensure that more entrepreneurs and small businesses can invest in their local communities to put more Americans back to work.”

NMEDD and NMFA have agreed to initially focus the State Small Business Credit Initiative Program funding to a bank loan participation program, branded the Collateral Support Program (CSP), focusing on shorter term working capital loans, particularly for projects located in rural and underserved areas of New Mexico. NMFA will base CSP on its existing loan participation program Smart Money which allows NMFA to purchase from a regulated bank or credit union up to 49 percent of a loan it makes to a New Mexico business or non-profit. The rules limit the amount of NMFA participation to $5 million and that no more than $2 million be directed to any project unless significant economic development will occur as a result. More specifically, the business must create at least one full-time job for each $50,000 invested by the NMFA.  These same guidelines will be used in implementing the CSP.  Additional federal requirements are:

1) the funds are directed to small businesses that do not employ more than 500, and that credit support will not be extended to borrowers that have more than 750 employees, and

2) for every $1 in CSP utilized, it must be leveraged with a minimum of $10 in new private lending.

 “The Economic Development Department worked hard to make this funding available to small businesses in our state,” Barela said.  “The SSCBI funds will go a long way in our efforts to expand economic development throughout the state.”

Under SSBCI, all states were offered the opportunity to apply for federal funds for state-run programs that partner with private lenders and investors to increase the amount of credit available to small businesses. States must demonstrate that every $1 in federal funding will generate a minimum of $10 in new private lending.  Accordingly, the overall $1.5 billion federal funding commitment for this program is expected to result in at least $15 billion in additional private lending nationwide.

“We are in a unique position to help the state develop public-private partnerships for business growth and job creation,” said Denise Baker, chair of the New Mexico Finance Authority. “These new funds will increase our ability to partner with local banks and strengthen communities.”

The NMEDD and NMFA will be hosting outreach sessions for the CSP on the following dates and locations:

Monday, November 14, 2011 in Alamogordo site to be determined at 9 a.m.

Tuesday, November 15, 2011 at Morgan Hall in Deming, NM at 9 a.m.

Wednesday, November 16, 2011 in at the Hotel Encanto in Las Cruces, NM at 9 a.m.

NRG Photo

Release courtesy of the New Mexico Economic Development Department

SANTA TERESA, NM — A construction project that created 240 jobs in Santa Teresa culminated with an inauguration ceremony to mark the start of energy production from the state’s second-largest photovoltaic operation on Friday.

“The completion of the Roadrunner solar facility is a major milestone for the New Mexico border region,” said Secretary of Economic Development Jon Barela. “This builds on all the momentum taking place in the region due to the coming together of many entities, including the Border Industrial Association, Mesilla Valley Economic Development Alliance, NRG Energy, El Paso Electric and First Solar, for the economic development success of Santa Teresa and we are thrilled to have the Roadrunner solar project and this partnership here as a part of the community.”

NRG Energy, through its wholly owned subsidiary NRG Solar, completed construction recently on the Roadrunner Solar Generating Facility, which is one of the first large-scale solar projects built in New Mexico. Cost-competitive, renewable power generated by the facility will be sold to El Paso Electric under a 20-year power purchase agreement.

“This new project is a good example of an economic development opportunity that is characterized by high-technology and a renewable resource that is plentiful in southern New Mexico – sun,” said Jerry Pacheco, Vice-President, Border Industrial Association. “We congratulate NRG Energy, El Paso Electric and First Solar on this milestone and the door it opens to new possibilities for our region.”

The Roadrunner Solar Generating Facility is located on 210 acres near the Santa Teresa Port of Entry. Its 340,000 photovoltaic solar panels can produce up to 20 megawatts of electricity, which is enough power to supply 6,600 homes in El Paso Electric’s system.

By generating clean, renewable energy, the Roadrunner Solar Generating Facility will contribute to cleaner air and result in a smaller carbon footprint for the state.

The Roadrunner facility will use a single-axis tracking system, which pivots PV solar panels to follow the sun throughout the day, increasing electricity production compared with a fixed tilt installation. The panels were made by First Solar Inc., which built the Santa Teresa plant for NRG, and also has a contract to operate and maintain the facility.

NRG Solar started construction in December 2010.