Regional economic development organization Team Northeast Ohio (Team NEO) released a report last week finding that during 2012, the 18-county Northeast Ohio region added 36,383 jobs, $1.7 billion in capital investment and $1.6 billion in payroll, The Vindicator reports. The report credited Ohio's shale boom with bringing more than $5 billion in pledged investments to the area and noted that the national shale boom is causing a resurgence in that region's manufacturing sector. The report also mentioned the state's healthcare/biotechnology sector as a source of “amazing” growth related to the commercialization of new products. For more, read the full article and report.

Out of the 282 entities that applied for more than $21.9 billion from the federal New Markets Tax Credits program, five Ohio groups received $145 million, The Plain Dealer and Business Courier report. The program, which "helps attract investment in underserved regions that would otherwise suffer from a lack of financing," awarded the following to Ohio organizations: the Cincinnati Development Fund received $35 million to invest in "brownfield redevelopment, nutritional access programs and educational improvement efforts"; the Kroger Community Development Entity received $20 million to help "attract investment in underserved regions"; the Cleveland Development Advisors – an arm of the Greater Cleveland Partnership – received $30 million to "shore up real estate projects in low-income pockets" of Cleveland and Cuyahoga County; the Ohio Community Development Finance Fund received $40 million to "help finance local community development projects, cultivate economic growth, and create jobs"; and the Dayton Regional New Market Fund was awarded $20 million to invest in "comprehensive neighborhood redevelopment projects." For more, read the full Plain Dealer story, the full Business Courier story, and press releases from U.S. Sen. Sherrod Brown (D-Ohio) announcing the awards for the following areas: Northeast Ohio, Dayton, Cincinnati and throughout Ohio.

The Youngstown/Warren Regional Chamber reports that an era of productivity and growth is sweeping the Mahoning Valley with the chamber working on "five projects likely to bring in $30 million in investment and jobs" since January, The Business Journal reports. $759 million worth of "projects in the pipeline" should translate into 1,200 new jobs in the 12-18 months, according to the report. Approximately half of the projects currently underway are related to the oil and gas industry, with others in food manufacturing and distribution, aluminum, and service-related industries, the article said. For more, read the full story.

Cintrifuse, a "regional effort designed to ensure startups get the early stage venture capital they need to survive," announced during a meeting with Ohio Third Frontier officials last week that it expects to close on $10 million in funding from an undisclosed source, Cincinnati Enquirer reports. The entity, which is planning to move into a "40,000-square-foot campus in Over-the-Rhine," expects to eventually raise "between $50 million and $100 million." The funds, some amount of which came from "Procter & Gamble, The University of Cincinnati, Cincinnati Children’s Hospital Medical Center, Western & Southern Financial Group and Duke Energy," will not be directly invested in regional startups – instead, Cintrifuse "will invest in roughly 10 venture capital funds around the country" with the idea being that "the quality of local startups will merit an investment," the article said. For more, read the full story.

When international shipping company DHL shuttered its Wilmington freight hub, cutting 8,000 jobs in a city of 42,000 residents, the area garnered international attention with some of the most painful economic stories of the Great Recession. After several years of hard work, the city and its remaining employers are starting to see signs of rebirth, Dayton Daily News reports. Airborne Maintenance and Engineering Services (AMES), for example, plans to hire 259 new employees and to build a $15 million repair hangar on DHL’s former site, now owned by the Clinton County Port Authority. Also, the Ohio Tax Credit Authority recently awarded tax credits to three other projects in the city. The loss of DHL in 2009 – and of the Clinton County Air Force Base in 1972 – has created a "a wider interest today in securing 'diversity'" in the employment base, the article said. For more, read the full story.

The U.S. Small Business Administration (SBA) and the American Association of Retired Persons (AARP) are teaming up to promote a new initiative directed at helping older individuals start their own businesses, The Toledo Blade reports. Free informational programs on how to secure financing, develop a business plan and make sure ideas are "viable and income-producing" are being offered this month – including one taking place from 10:30 a.m. to noon on Monday, April 29, 2013, at the Toledo Regional Chamber of Commerce. For more, including registration information, read the full story.

A company known as em3 LLC that was established in Springfield in 2006 closed up after receiving "nearly $1.1 million in publicly funded loans and incentives," Springfield News-Sun reports. Before closing in 2008 due to "multiple financial issues," the call center company received nearly $712,000 in the form of a Small Business Administration loan and $400,000 in local and state funding. For more, read the full story.

A new, in-depth Dayton Daily News investigation found that defaults on the Small Business Administration's largest federally guaranteed loan program, known as the 7(a) program, "cost taxpayers $1.3 billion since 2000." The investigation determined that years of "lax federal oversight," including the use of inflated real estate values and a failure to adhere to SBA standards, allowed lenders to make bad loans to franchises with "extensive default histories." From 1990 to February 2013, the 7(a) program – which is designed to "provide capital for small businesses, including those owned by minorities and women, that have had trouble getting conventional loans" – had a one-in-five failure rate for the nine-county Dayton region. For more, read the full story.

A "nine-quarter streak of increased sales per square footage in Kroger stores nationwide" has helped the company create 20,000 new full- and part-time jobs, including 5,000 in the Cincinnati area, WCPO9 reports. The region has benefitted from this national trend not only through increased store hiring in the area, but also in the Cincinnati headquarters, where employment has doubled since 2002.  For more, read the full story.

Also, Tennessee-based Avure Technologies – the "largest provider of ultra-high pressure systems to enhance material properties, form sheet metal, and pasteurize foods without heat or chemicals" – announced it is renovating a 50,000-square-foot facility at the Midd Cities Industrial Park in Middletown that its food division will use to produce high pressure processing (HPP) systems, Dayton Daily News reports. The facility, which is expected to be operational by the third quarter of 2013, will "house the company food division’s manufacturing, engineering, procurement and customer service operations," the article said. For more, read the full story.

Ohio State University officials were in São Paulo, Brazil, recently to sign a $1.4 million funding agreement between the school and the state of São Paulo.  Under the agreement, the school and the state will collaborate on new studies that "can help citizens in both countries and people around the world," according to the Gongwer Ohio Report. The two entities, which each contributed $700,000 to kick-start the five-year program, already collaborate in such areas as translational plant science. This new agreement will allow "researchers from any department and discipline at Ohio State and São Paulo" to apply for funds to "begin or expand joint projects," such as for short-term exchanges, conferences, and research into studies of drug discovery; energy production; advanced materials; food security; and culture and history, a press release from the university said. $20,000 awards will be offered during the first year of the program "to encourage the formation of research collaborations," the release said. For more, read the full press release.

The Columbiana Port Authority has announced a success toward its efforts at keeping "former industrial sites alive," The Herald-Star reports.  After taking ownership of the 326,000-square-foot former Eljer’s Plumbingware plant in Salem several years ago, the port authority recently transferred the property to Salem Logistics.  The port authority’s ownership of the property in the interim period ensured, among other things, that the dormant industrial site was "eligible to seek state grants to clean up the site" for any contamination that might have been found.  No contamination has been found, and Salem Logistics has made "more than $500,000 in building improvements," the article said. For more, read the full story.

The dozen or so Transportation Improvement Districts across Ohio that formerly received "$250,000 in annual funding through an Ohio Department of Development roadwork development fund" must now compete for grants from the Ohio Department of Transportation that cover "10 percent of a project's cost or a maximum of $250,000," Zanesville Times Recorder reports. The Muskingum County TID recently considered going dormant due to this reduction in guaranteed funding, but its board voted to stay active and apply for ODOT funding to replace the Grantcliff Road Bridge, the article said. For more, read the full story.

In an effort to become a "resource and facilitator for economic growth" in southern Ohio, Shawnee State University recently formed an economic development team.  The team will work to foster career and educational opportunities for students and staff "throughout the region in both the private and public sectors," Portsmouth Daily Times reports. For more, read the full story.

Following a restructuring of its economic development department, the city of Springfield recently announced that Josh Rauch will serve as the city’s deputy economic development advisor, Springfield News-Sun reports. A Dayton native who received his master's in public administration from the University of Kansas, Rauch will be responsible for "Enterprise Zone and Community Reinvestment Area applications, administering city loan/incentive programs, working on grant procurement, and marketing efforts," the article said. For more, read the full story.

The Ohio Development Services Agency is coordinating with the Appalachian Partnership for Economic Growth (APEG) of Nelsonville to offer Manufacturing Extension Partnership (MEP) services to 28 counties in southeastern Ohio, Perry County Tribune reports. The Innovation Center at Ohio University, as well the Muskingum County Business Incubator in Zanesville and the Manufacturing and Technology Small Business Development Center at The Ohio State University South Center in Piketon, will serve as satellite partners providing “products, services, and assistance vital to the health of manufacturing businesses with fewer than 50 employees” in designated counties. APEG will provide MEG services directly to “manufacturers with 50 or more employees throughout the entire 28 county region,” the article said. For more, read the full story.

Site Selection magazine recently announced that Texas eclipsed Ohio for a first-place finish in the new and expanded 2012 facilities race to claim the Governor’s Cup. Annually, Site Selection magazine compiles data to measure how states and cities rank against each other based on economic-development metrics. Ohio was ranked second in the nation in 2012 after a first-place finish in 2011. Texas posted 761 projects while Ohio came in second with 491 projects, just seven fewer projects than last year’s total of 498. Rounding out the top 5 and providing a strong Midwestern showing in job creation and retention in 2012, Pennsylvania was ranked third with 430 projects, Michigan was ranked fourth with 337 projects and Illinois was ranked fifth with 322 projects.

The Columbus Dispatch reported that Site Selection magazine also announced seven Ohio cities making it into its rankings in the following categories:

• Metropolitan areas with a population of at least 1 million: Cincinnati came in eighth and Columbus finished 10th.
• Metropolitan areas with a population of 200,000 to 1 million: Dayton came in first for the third time in the past five years; Akron finished eighth.
• Micropolitan areas (the smallest population category): Findlay, Wooster and Ashtabula all finished in the top 10.

Fourteen other Ohio cities were ranked as top micropolitan areas by number of projects, putting a total of 17 Ohio cities — more than any other state — on the magazine’s list: East Liverpool-Salem (T13), Greenville (T13), New Philadelphia-Dover (T13), Sidney (T13), Defiance (T23), Bellefontaine (T30), Tiffin-Fostoria (T30), Wapakoneta (T30), Cambridge (T45), Fremont (T45), Ashland (T86), Bucyrus (T86), Celina (T86) and Zanesville (T86).

For more, read the 2013 edition of Site Selection magazine and The Columbus Dispatch story.

During the Wayne Economic Development Council's annual meeting in Wooster last week, JobsOhio President John Minor discussed recent successes and ongoing challenges with regard to job creation in Ohio, The Daily Record reports. Echoing many of the points Gov. Kasich made in his State of the State speech last week, Minor said that Ohio was first in the Midwest and fourth in the nation for job creation, and he also shared the anecdote that CEOs were seeking out Gov. Kasich at the World Economic Forum in Switzerland recently to figure out "what Ohio was doing differently" to achieve such success. Minor then argued in favor of JobsOhio, which he said is changing how the state does business "from a transaction- and project-based mindset to one of developing relationships with businesses," the article said. For more, read the full story.

During a meeting of about 50 community advisors earlier this month, the Montgomery County Commission proposed the formation of a new legal entity called a Council of Governments (COG) that would serve as a “central place for communities to discuss ways to share services to cut costs,” Dayton Daily News reports. In addition to the county’s 28 jurisdictions, park districts, library systems and the Greater Dayton Regional Transit Authority may also be offered voluntary membership. Commissioners unveiled the plan to residents last week, and are now moving toward the selection of a steering committee that will include business and education leaders and elected officials, who will “develop a structure, charter and governing model for the council,” the article said. For more, read this February 2, 2013, story and this February 20, 2013, story.

In what will become the state’s first public-private partnership since the passage of H.B. 114 allowed for such arrangements, the Ohio Department of Transportation recently announced its shortlist of three firms that will compete for a $332 million bridge project in downtown Cleveland, Bond Buyer reports (see our Sep 18, 2012, blog post for more information). The final three firms are Walsh Construction, a team led by Kokosing Construction Company, and a team comprised of the Ruhlin Company, The Great Lakes Construction Company and the Trumbull Corporation, the article said. The state expects to choose a final team by the summer, with construction expected to start either late this year or early 2014, ODOT said. The project’s design-build-finance structure will have the chosen team “build and finance a portion of the estimated $330 million demolition and construction costs,” with ODOT repaying the firm beginning in 2015 through 2019, the article said. For more, read the full story (subscription required).

During the State of the Union address on Tuesday night, President Obama called Youngstown’s $70 million National Additive Manufacturing Innovation Institute the nation’s “first manufacturing innovation institute,” and said that it turned a “once-shuttered warehouse” into a “state-of-the art lab where new workers are mastering the 3D printing that has the potential to revolutionize the way we make almost everything,” according to The Vindicator and a transcript of the president’s remarks. The president announced the launch of three similar manufacturing hubs that will have the departments of Defense and Energy partner with businesses to help “turn regions left behind by globalization into global centers of high-tech jobs,” the transcript said. President Obama then called on Congress to help create a network of 15 such hubs so as to ensure “that the next revolution in manufacturing is Made in America [sic].” For more, read The Vindicator story and the transcript of the president’s remarks.

The Johnson Controls Institute for Building Efficiency, PACENow and the Urban Land Institute released a report this month on Property Assessed Clean Energy (PACE) financing, which is a “municipal approach to support energy efficiency and renewable energy upgrades in commercial buildings in the United States” that originated in 2008 in Berkeley and Palm Desert, California. The report profiles four of the 16 PACE programs that are currently accepting applications, including the Toledo-Lucas County Port Authority program based in Toledo, Ohio. 

Each program operates slightly differently due to the PACE industry being in the early stage of development. However, PACE financing structures commonly include features such as: zero up-front cash investment; low interest rates; immediate positive cash flow; long-term financing (up to 30 years in Ohio); PACE assessments can run with the land upon sale; the ability to pass payments through to tenants; higher rents and greater long-term property value because of energy efficiency; and preservation of borrowing capacity through off-balance-sheet financing.

The specifics vary from program to program, but generally, after a state passes PACE-enabling legislation, a local government then creates or joins an assessment district. Building owners evaluate projects that reduce energy costs and decide whether to move forward. The local government then provides financing by adding the assessment to the tax roll. The property owner then pays the assessment on a tax bill for a period of up to 30 years. For more information, including eligible technologies and projects, preferred initial and eligible project sizes, minimum energy savings requirements and a full list of the active PACE programs across the nation, read the full report. 

Bricker & Eckler LLP attorneys assisted in drafting Ohio’s PACE law and served as bond counsel for Ohio’s first three issues of PACE bonds.

After taking time to review Cuyahoga County Executive Ed FitzGerald’s “Business Attraction and Anti-Poaching Protocol,” Middleburg Heights has signed the agreement — the 59th and final community to do so, The Plain Dealer and a press release from the Cuyahoga County Office of the Executive report. The protocol “asks communities to step up their economic development efforts, agree not to lure companies that have not expressed a desire to move, and give notice to a home community if an intra-county move is contemplated,” the release said (see our January 14, 2013, blog post for more information). Middleburg Heights Mayor Gary Starr said that his city already had an anti-poaching policy, which was “one of several FitzGerald’s office used to draft its protocol,” the article said. For more, read the full story and press release.

January saw leadership changes in a number of Ohio’s economic development organizations. Former Columbus Development Director Boyce Safford III became the executive director of the Columbus Next Generation Development Corp. where he will focus on urban neighbors’ job creation and investment, according to Columbus Business First. Additionally, Jeff Loehrke left his position as Ottawa’s community development director to become the regional manager for District 1 and District 2 of the Ohio Department of Transportation’s Jobs and Commerce Division, according to The Lima News.

An economic development professional with experience on both the state and local levels, Jeff Sprague was a natural choice when it came time to select a new leader for the Allen Economic Development Group, reported The Lima News. Scioto County welcomed former state representative Todd Book as interim economic development director where he will be a part of meetings with the port authority and the commissioners on a part-time basis until a new director can be found, the Portsmouth Daily Times reported. Also, Bob Clark became the new economic development director for Fairfield County, according to Columbus Business First. Clark has some prior previous experience with economic development in his role as congressional staffer for former U.S. Rep. Steve Austria, R-Beavercreek, the article said.

Last week, the Transportation Review Advisory Council (TRAC) approved “32 different major new construction projects for 2014-2017, totaling more than $2 billion,” Gongwer reports. Although some progress has been made through the Department of Transportation’s move to undertake cuts, redistribute federal funding and commit to streamlining, it says that its $1.6 billion budget problem for transportation funding continues to this day and that “some of the approved projects will face serious delays due to a lack of funding,” the article said. By the end of 2013, the state could see $1 billion from Gov. Kasich’s proposed bond sales; however, money from new turnpike bonds “would not affect projects on [the] newly approved TRAC list,” the article said (see our December 20, 2012, blog post for more information).

In addition, Gongwer reports that ODOT added legislation into its budget bill that, if approved by the legislature, would:

• Strike the current “one mile” rule restricting where the turnpike can spend money on projects;
• Expand the commission from five to seven voting members and reduce the non-voting members to three;
• Add a member of the commission to serve as an ex-officio member of TRAC; and
• Allow any voting commission members to serve as the chairman.

For more, read TRAC’s Final 2014-2017 Major New Program List.

The Ohio Tax Credit Authority approved state assistance Monday for 11 projects expected to create 410 new jobs and retain 874 existing jobs in Ohio, generate $20 million in new payroll, and prompt $51 million in other investments over the next several years, according to Gongwer and The Hannah Report. For more information on the companies and an overview of their projects, see the press release from Governor Kasich’s office. 

In other development news Monday, the Ohio Controlling Board approved the Development Services Agency’s expenditure of $9.2 million in Ohio Third Frontier funding for five different organizations through JobsOhio, according to The Columbus Dispatch. The organizations approved to receive funding are the Appalachian Partnership for Economic Growth, receiving $800,000; Regional Growth Partnership Inc., of Toledo, receiving $1.1 million; Development Projects Inc., of Dayton, receiving $1.2 million;  Columbus 2020, receiving $1.8 million; and Team NEO in Cleveland, receiving $2.8 million. The money represents the second round — the first $14 million having been awarded in August 2011 — the article said.

Gongwer and The Hannah Report also reported that the Ohio Controlling Board approved several additional requests, most notably:

• Funding for multiple economic development projects in the sum of $873,000.
• A $1 million request by the Ohio Department of Transportation to assess private-public partnerships.

Tuscarawas County commissioners named Scott Reynolds the new director of the Tuscarawas County Office of Community and Economic Development (OCED), replacing former Director George Reymond following his retirement in December, according to The Times-Reporter. Reynolds has served as the office’s administrative coordinator since its inception in 1994, the article said. For more, read the full story.

After hoping that at least 40 Cuyahoga County communities would sign on to the county’s anti-poaching pledge, the Cuyahoga County Business Attraction and Anti-Poaching Protocol, Cuyahoga County Executive Ed FitzGerald said that as of two weeks ago, 58 of 59 communities had signed on to the economic cooperation agreement, Cleveland.com reports. Middleburg Heights is the only holdout on the agreement to date. The pledge is an intergovernmental agreement that the communities will not lure companies away from one another if the companies haven’t “expressed a desire to leave” already, the article said. For more, read the full story or the April 16, 2012 DevelopOhio blog post.

Sen. Sherrod Brown (D-OH) authored an amendment included in the National Defense Authorization Act, which President Obama signed into law last month, that would enable the Heath-Newark-Licking County Port Authority to regain its status as a Small Business Administration (SBA) HUBZone through 2015, according to a press release from the senator’s office. Such a designation gives “small businesses in the area — or those that employ residents of the area — preferential access to federal procurement opportunities in order to encourage economic development and job creation in the region,” the release said. The port authority was previously granted HUBZone status in 2004 in an effort to help the community adjust to the closure of the Newark Air Force Base, the release said. For more, read the full press release and this Newark Advocate story.

The Warren-based Tech Belt Energy Innovation Center (TBEIC), a federally-funded center intended to help the development and commercialization of early stage clean technologies, has officially joined the Cleveland-based JumpStart Entrepreneurial Network, a connected group of entrepreneurial support organizations, to help startups “best assess their opportunities” and to “groom them for investors,” The Business Journal reports. Under a five-year commitment that will run through 2016, TBEIC will “coach, mentor and help energy entrepreneurs in preparing investor presentations and identifying markets, connections to key partners and access to alternative sources of funding” free of charge, the article said. For more, read the full story.

Case Western Reserve University, University Hospitals and the Ohio Third Frontier program are pooling $6 million to create the Case Technology and University Hospitals Ventures Fund, which aims to launch “a dozen companies over the next three years,” Crain’s Cleveland Business reports. Case Western contributed $2 million, Third Frontier contributed $3 million and UH Case Medical Center contributed $1 million for the fund, with the goal helping “advance the rate at which discoveries are commercialized in areas such as medical technology related to imaging, surgical equipment, implant devices, regenerative medicine, health care and business software and others,” the article said. For more, read the full story.

In an effort to boost exports from Appalachian-based businesses, Appalachian Regional Commission (ARC) Federal Co-Chair Earl F. Grohl and Deputy Director General of the U.S. and Foreign Commercial Service Charles A. Ford recently signed an export promotion partnership, Portsmouth Daily Times reports. The partnership will utilize training seminars and support services to “increase awareness among small and medium-sized firms about exporting,” and will “expand global awareness of Appalachian goods and services” through promotion and market development projects, the article said. For more, read the full story and the ARC press release.

Last month, Ed Looman tendered his resignation as executive director of Progress Alliance to take a job with the Appalachian Partnership for Economic Growth (APEG) — a regional economic development organization created as part of the JobsOhio Network that serves 25 counties in southeast Ohio, The Herald-Star and WTOV9 report. At APEG, Looman is now the project manager for Jefferson and seven other counties in eastern Ohio, the articles said. For more, read The Herald-Star story and WTOV9 story.

Last month, Scioto County Community Development Director Steve Wells tendered his resignation so he could focus on spending time with his grandchildren and traveling, Portsmouth Daily Times reports. For more, read the full story.

Last week, the Ohio Development Services Agency announced the details for round nine of the Ohio Historic Preservation Tax Credit Awards: $35.9 million was awarded to 23 owners and applicants for the rehabilitation of 45 historic buildings across the state, according to a press release from the agency. The projects are located in nine communities across Ohio and are expected to "leverage more than $252 million in private investments." For more, including a list of all round nine Ohio Historic Preservation Tax Credit recipients, read the full press release.

Gov. John Kasich will not attempt to lease the Ohio Turnpike to a private entity, even though a state-commissioned study by KPMG Corporate Finance LLC determined that such an arrangement could net the state between $3.3 billion to $4.03 billion over 50 years, Columbus Business First reports. Instead, the state will issue $1.5 billion in bonds against future toll revenue to generate roughly “$3 billion in revenue for road projects and create 65,000 jobs,” according to the Dayton Business Journal. For more, read the Columbus Business First story and the Dayton Business Journal story.

William Murdock, the current chief of community services at the Ohio Development Services Agency, has been named the new executive director of the Mid-Ohio Regional Planning Commission (MORPC) following the board’s firing without cause of Chester Jourdan on March 19, 2012, The Columbus Dispatch reports. Murdock served from 2005 to 2008 as deputy director of planning and development for the city of Gahanna, and has also served as director of urban development for the Ohio Department of Development, according to a press release from the agency. For more, read The Columbus Dispatch story and the MORPC press release.

Last week, the Ohio Third Frontier recommended that the Controlling Board approve more than $9.1 million in funding for the JobsOhio Network Program, which works with six regionally-based economic development groups to aggressively pursue job and wealth creation through the “retention, expansion and recruitment of businesses”; more than $610,000 for the Technology and Validation Start-Up Fund (TVSF), which helps to “commercialize technologies developed by Ohio institutions of higher education and other Ohio not-for-profit research institutions”; and $24 million for the Pre-Seed Fund Capitalization Program (PFCP), which provides early-stage risk capital investment to promising start-up technology companies, a press release from Ohio Third Frontier announced. For more, including details about each award recipient, read the full press release.

AEP Ohio has awarded a three-year, performance-based contract to North Carolina-based Lime Energy Co. to be “the exclusive provider of energy-efficiency upgrades” for its Small Business Direct Install Program, according to Columbus Business First and a press release from Lime Energy. Through the program, AEP Ohio aims to “incentivize their small business customers to reduce wasted energy and lower their monthly electric bills” by paying up to 80 percent of the cost to complete an energy retrofit, the release said. For more, read the full story and the press release.

Gov. Kasich is expected to divulge the details of his plan for the future of the Ohio Turnpike within the next two weeks, The Columbus Dispatch reports. Discussed possibilities include moving it under control of the Ohio Department of Transportation, issuing bonds for transportation projects and leasing the 241-mile toll road to a private operator — the last of which has drawn opposition from the Ohio Farm Bureau as well as many officials and residents of northern Ohio who view the turnpike as “a well-run regional asset,” the article said. For more, read the full story.

Gov. John Kasich and Kentucky Gov. Steve Beshear will meet in Covington, Kentucky, today to sign an agreement on how the $2.5 billion will be raised to replace the Brent Spence Bridge, Cincinnati Enquirer reports. The decision will be based on a $4 million study that many expect will “conclude that tolls will need to be the centerpiece of a finance plan,” the article said. Since Kentucky owns the bridge, the final decision rests with the Kentucky Legislature; however, Northern Kentucky state lawmakers “collectively oppose tolling and any legislation that could open the door to tolls,” the article said.

U.S. Secretary of Transportation Ray LaHood will also be in attendance, along with other state and local officials, Business Courier reports. According to the Build Our New Bridge Now Coalition, a group organizing an educational campaign to accelerate the construction of a Brent Spence Bridge replacement, the “region could save $18 billion in fuel and congestion costs if the Brent Spence Bridge replacement project starts in 2014,” the article said.  

For more, read the Cincinnati Enquirer story or the Business Courier story.

The Ohio Tax Credit Authority (TCA) approved Monday state assistance for 17 projects expected to create nearly 2,000 jobs in Ohio and generate $141 million in new payroll as well as prompting $169 million in other investments during the next several years, according to Gongwer and The Hannah Report. The authority approved new incentives for VXI Global Solutions, Inc.; Avon Bearing Corporation; Kanan Enterprises, Inc.; SFS intec, Inc.; Eagle Railcar Services-Cairo, Ohio, LLC; NRI Industrial Sales LLC; Taiho Corporation of America; AcuSport Corporation; ECR Internet Services; International Business Machines (IBM) Corporation; USA Vinyl, LLC; Progressive Medical, Inc.; Minova USA, Inc.; Huhtamaki, Inc.; Polaris Sales Inc.; Rhinestahl Corporation; and Sunstar Engineering Americas Inc.

The TCA also voted to take remedial action against 16 other companies it said didn't fulfill promises made to receive credits. The actions against the companies include reductions in rate or term, adjustment of commitments or terminations without claw-backs. The companies TCA is taking remedial action against are ABC Manufacturing; Amano Cincinnati; Aptima; E Retailing; FirstGroup America; Hexion Specialty Chemicals; Hydrodec Group; Kendle International; North American Business Industries; PCC Airfoils; Restoration Hardware; SBC Advertising Ltd.; Whirlpool Corp & Kenco Logistics Services; Willard & Kelsey Solar Group, Inc.; and Zyvek Performance Materials.

Despite an 8.6 percent growth projection of 169,000 jobs in Northeast Ohio over the next eight years and the fact that there are currently “fewer than 150,000 unemployed people in the region,” economic development agency Team Northeast Ohio (Team NEO) predicts that many in the region will still struggle to find work because the growth will occur in more highly skilled vocations, The Plain Dealer reports. Industries expected to add the most jobs to the area are health care, scientific and technical fields, construction and finance, while increased production efficiency in the region’s manufacturing sector will be responsible for less job growth in that once dominant sector, the article said. For more, read the full story and the Team NEO third quarterly 2012 economic review.

After lagging for more than a decade, the Greater Cincinnati area’s economic and jobs market is now growing faster than the nation’s — thanks in part to the manufacturing industry, which the Tri-County Economic Development Corp. says has produced 12 new manufacturing companies in Northern Kentucky over the past three years, Business Courier reports. Strong growth sectors in the manufacturing industry include aerospace, automotive and natural gas drilling suppliers, the article said. For more, read the full story.

The nonprofit economic policy group Policy Matters Ohio released a report last month that found that cuts in state aid to local governments amounted to a little more than $1 billion for calendar years 2012 and 2013 — a “nearly 50 percent reduction from 2010 and 2011,” according to a press release from the group. The report provides an in-depth analysis of county-level data on cuts and descriptions of the “damage done,” including “slashed services, closed facilities and layoffs,” the release said. The report found that the biggest cuts in state funding to local governments came from the Local Government Fund (LGF), a program that provides general operating funds to communities, and “reimbursements that compensated for local property taxes eliminated during the past decade,” the release said.

The funding cuts resulted from budget decisions made in 2011 by Gov. John Kasich and the state legislature eliminating a projected $8 billion budget shortfall without raising state taxes. Columbus Business First reports that Kasich will present the next biennial budget plan by early March, and that some local government officials “fear additional funding reductions are in the works.” For more, read the Columbus Business First story or this Dayton Business Journal story.

Platform to Employment (P2E), a successful program out of Connecticut that “combines job readiness training, personal and family support services and financial counseling” to help put the long-term unemployed back to work, is expanding to Chicago, Dallas, San Diego, the Cincinnati-Hamilton County area and six other communities that have not yet been named, Business Courier reports. The program will train 24 people in the Cincinnati area initially, and will work to “address the needs of unemployed veterans and workers who are older than 50,” the article said. For more, read the full story.

Governor Kasich’s Executive Workforce Board, a 25-person board that will work with the governor’s office to “rationalize Ohio’s work-force system and recommend ways to streamline the 90 existing programs scattered across 13 state agencies,” had its first meeting in Columbus on Monday, Columbus Business First reports. The board is composed of public officials, business association leaders and company executives tasked with forecasting the work-force needs of businesses, streamlining delivery of services to them and workers, and implementing performance measurements for the system, the article said. For more, read the full story.

KPMG LLP, Ohio’s advisor, is expected to release a highly anticipated report in the coming weeks that will examine the best ways to “wring cash out of the 241-mile Ohio Turnpike,” including the possibility of a public-private partnership similar to one undertaken in Indiana in 2006, Bond Buyer reports. The director of the Indiana Department of Transportation has touted the state’s $3.8 billion lease of its toll road as a way to “finance infrastructure without raising taxes,” but Ohio Department of Transportation (ODOT) Director Jerry Wray said that financial circumstances between 2006 and now must be taken into consideration as part of the consultant’s report. Ohio officials hope to present a privatization plan, which Gov. Kasich speculates could raise $2.4 billion for the state, to the General Assembly as either a stand-alone proposal or part of the ODOT budget soon after January 1, the article said. For more, read the full story.

Bricker & Eckler served as bond counsel for the Toledo-Lucas County Port Authority as it completed Ohio’s second Property Assessed Clean Energy (PACE) bond issue. Following the success of an initial bond issue through the Northwest Ohio Bond Fund in May 2012 in the amount of $5.325 million, the second bond issue closed in October 2012 in the amount of $6.435 million. These transactions continue a cooperative effort between the port authority’s BetterBuildings Northwest Ohio (BBNWO) program and the Toledo Ohio Advanced Energy Improvement Corporation. For more, read the full story.

At its annual meeting, CincyTech reported that since 2007, the nonprofit has created 370 jobs by investing $162 million in 41 startup companies, Business Courier reports. Adding in the revenue generated by those companies, “CincyTech has had a $255 million impact,” the article said. According to Columbus Business First, CincyTech was awarded $5.5 million by the Third Frontier Commission in August 2012 through its Entrepreneurial Signature Program. For more, read the Business Courier story and the Columbus Business First story.

According to the Columbus Dispatch, Franklin County’s 14 municipalities were asked to sign an anti-poaching pact to help curb the practice of cities attempting to “lure companies in neighboring cities whose tax breaks are about to expire.” So far, only Bexley, Columbus, Gahanna, Groveport, Grandview Heights, Hilliard and Worthington have agreed, while Canal Winchester, Dublin, Westerville, Grove City, New Albany, Reynoldsburg, Upper Arlington and Whitehall have not, the article said. Upper Arlington was already concerned that such an agreement could stifle economic growth, but is now worried that vague language in the agreement could leave the city “vulnerable to lawsuits.” Columbus city officials say the agreement was “never intended to be a contract” and that while participating cities will be expected to honor the agreement, they will not be legally bound to it, the article said. For more, read the full story.

Ohio Treasurer Josh Mandel recently announced the release of an interactive map of state properties that will allow all Ohioans to view and search the estimated 36,000 state-owned buildings and properties, according to Gongwer and a press release from the treasurer. With the ability to search by county, zip code, city or address, these online mapping tools are intended to enable property owners and residents across the state to “provide feedback on any properties that may be underutilized or surplus so that the state can sell them or put them to better use,” the release said. Mandel said that these new tools could also be used to help energy companies locate oil and gas leasing sites, Gongwer reports. For more, read the press release or access the map.

A reporter for Pittsburgh’s Tribune-Review sought input from several experts regarding five of the most prevalent concerns regarding the shale gas industry, including whether the actual act of hydraulic fracturing is more dangerous than “shoddy well construction, surface spills, and shortcomings or mistakes in gas drilling”; if spills are easy to contain and clean up; if water shortages are a valid concern; if hydraulic fracturing can actually bring energy independence to the United States; and if the natural gas industry is responsible for well-water contamination and flaming water taps. For more, read the full story.

An investigation by the Dayton Daily News found that between 2010 and 2011, the amount of taxpayer-subsidized tax credits, grants and low-cost loans given to businesses in Ohio increased 44.3 percent to $487.7 million. Of that, $200 million were tax credits given to companies that “simply agreed to keep existing jobs in Ohio after threatening to leave the state,” the article said. While Governor John Kasich defended his actions by saying that each company and situation was measured individually and that incentives matter when it comes to negotiating with businesses, critics of these incentives say that because of the troubled economy, the state is being bullied into giving these companies such large incentives, the article said. For more, read the full story.

The Ohio Department of Commerce recently announced that starting January 1, 2013, minimum wage in Ohio will increase by 15 cents to $7.85 per hour for “employees of businesses with annual gross receipts of more than $288,000 a year,” and will increase by eight cents to $3.93 per hour for employees who receive tips, the Toledo Blade reports. Voters passed an amendment to the Ohio Constitution in November 2006 that requires the minimum wage to increase by the rate of inflation at the start of each year, the article said. The minimum wage rate for employees at companies with less than $288,000 in gross receipts and for employees under the age of 16 is tied to the federal minimum wage of $7.25 per hour, the article said. For more, read the full Toledo Blade story and the press release from the Ohio Department of Commerce.

As part of the Ohio Department of Transportation’s (ODOT) Division of Innovative Delivery, which was created to help the department evaluate and execute alternative income generation strategies, ODOT has signed a contract with Massachusetts-based Travelers Marketing to sell advertising, sponsorships and naming rights for the 45 rest stops throughout Ohio, the Plain Dealer reports. It is estimated that the deal will earn the state “up to $13 million over the next eight years,” the article said. In addition, three companies are currently vying to land a contract with ODOT that would sell naming rights and sponsorship for interchanges, bridges and “unique stretches of road” — a deal ODOT estimates could earn the state up to $15 million a year, the article said. For more, read the full story.

By November, Ohio Governor John Kasich and Kentucky Governor Steve Beshear are expected to sign a memorandum of understanding that both states will jointly develop a Brent Spence bridge financing plan for the construction of a “second span to ease congestion and safety problems on Interstates 75 and 71 in Cincinnati and Covington,” Business Courier reports. A “lack of consensus” between both states on local funding options has delayed the project for years, which according to Julie Janson — founder of the Build Our New Bridge Now Coalition and president of Duke Energy’s utility operations in Ohio and Kentucky — costs state, local and federal governments $8 million for every month that the bridge project is delayed, the article said. For more, read the full story.

Recently, the Ohio Controlling Board approved a $4 million study by HNTB Ohio, Inc. to determine “the value and viability of various private-public partnerships” to fund the $2.5 billion construction of a new Brent Spence bridge between northern Kentucky and Cincinnati, Gongwer reports. The current bridge is structurally sound, but has more traffic than it was designed to handle, the article said. The study will also examine the effect that a new bridge toll would have on traffic patterns in the area, although legislators from northern Kentucky — which owns the bridge — are opposed to setting up tolls and may bail from the project completely, the article said.

Columbus City Council unanimously approved the formation of a taxpayer-funded nonprofit that will work to “redevelop some of the city’s poorest areas near Downtown,” beginning with the abandoned commercial, industrial and residential properties in Franklinton, the Columbus Dispatch reports. Expected to be fully operational by mid-2013 with an as yet undetermined stable revenue stream, the Columbus Next Generation Development Corp. continues the efforts of the nonprofit Columbus Urban Growth Corp., which Mayor Michael B. Coleman created in 1996 as a councilman and which closed in 2009 due to its $4 million debt, the article said. For more, read the full story.

A new study from KPMG International found that Cincinnati is the most tax-friendly large city for businesses in the United States and the 16th friendliest in the world among the 55 large international cities included in the study, Business Courier reports. With a U.S. baseline of 100, Cincinnati’s total tax index was 80.8. The city also ranked in the top 20 for total tax rates in the research and development, manufacturing and corporate services business sectors, the article said. For more, read the full story and the study.

The U.S. Commerce Department announced last month that exports from the Cleveland-Elyria-Mentor area grew by $1 billion from 2010 to 2011, for a total of $11.3 billion in exports, The Plain Dealer reports. This 9.9 percent increase made the Cleveland area “the 27th largest export market in the United States,” while Cincinnati came in at 16th, the article said. For more, read the full story.

A new report from BioOhio — a “nonprofit booster group” for Ohio’s bioscience industry — found that since 2000, employment in Ohio’s bioscience industry has increased by 16.5 percent (8,574 jobs), Business Courier reports. The report, titled “Ohio Bioscience Growth Report 2012,” credited “strategic state investment, favorable industry trends, and a qualified and plentiful workforce” for the growth. With at least 1,280 “bioscience-related organizations” operating 1,743 locations, the industry employs about 60,600 workers in Ohio, a press release from BioOhio said. For more, read the full story or the BioOhio press release and access the full report.

Cuyahoga County Executive Ed FitzGerald has sent a nomination to county council for Jan Roller, an attorney “specializing in medical malpractice and personal injury defense litigation with the Cleveland-based firm of Davis & Young,” to fill a vacant seat on the board of directors of the Cleveland-Cuyahoga County Port Authority, Crain’s Cleveland Business reports. For more, read the full story.

Site Selection magazine found in a recent study that Ohio ranks second to Texas as the top state for logistics-related projects, with 107 corporate facility projects that include a logistics component existing in the state from January 1, 2011, through May 31, 2012, Dayton Business Journal reports. Broken down by metropolitan areas, Columbus tied for fourth with 29 projects and the greater Cincinnati region ranked eighth with 26 projects. For more, read the full story and the study.

The Ohio Department of Development’s Small Business Development Centers and the U.S. Small Business Administration are sponsoring a “Blaze Your Own Trail” seminar that will provide information to women “who are interested in starting a business or who currently own a business,” according to a press release from the department. The event will take place on Saturday, September 29, 2012, at Columbus State Community College. Women Educating Women, Inc. is hosting the event, which will provide “step-by-step instructions for accomplishing business goals; recommendations for financial success; and information on social media and utilizing the internet as well as social media marketing strategies,” the release said. For more, read the press release.

Last week, the Ohio Third Frontier Commission recommended that $14 million from its Entrepreneurial Signature Program (ESP) be used to fund two organizations dedicated to “providing entrepreneurial support services to their regions,” according to a press release from the Ohio Department of Development. JumpStart Inc. of Cleveland was awarded $12 million for 2013 and 2014 — “an increase of 20 percent from past funding levels” — and Rocket Ventures of Toledo was awarded $2 million for the same period. During the August commission meeting, Cincytech and the Dayton region ESP were approved for funding, the press release said. TechColumbus and TechGrowth, the final two of the six ESP partners, will go before the commission in October. For more, read the press release.

Acting with authority granted through the passage of Senate Bill 232 in June 2010, the Oregon City Council established an Energy Special Improvement District (ESID) for the purpose of financing alternative energy and energy efficiency projects. The city of Oregon and its businesses will finance improvements through the Toledo-Lucas County Port Authority as part of a coordinated regional financing effort that will utilize a $15 million U.S. Department of Energy Better Building Program grant, which was awarded to the port authority in 2010. The city of Toledo established an ESID that was initially called the Toledo Ohio Advanced Energy Improvement Corporation, but will change its name to the Northwest Ohio Advanced Energy Improvement Corporation with the addition of the city of Oregon.

Unlike a regular special improvement district, an ESID does not have to be comprised of contiguous properties and can provide spot financing anywhere within a broad territory. Property owners anywhere in the district can implement energy efficiency improvements using technologies such as solar water heat, solar thermal electric, solar thermal process heat, photovoltaic, wind, biomass, geothermal heat pumps, anaerobic digestion and geothermal direct-use energy. The city of Oregon has already undertaken a pilot project at its local fire station installing a geothermal heat pump that will produce an estimated annual savings of $6,685 and will have a payback period of only 5.2 years.

Following the passage of H.B. 114, which allows the Ohio Department of Transportation (ODOT) to enter into public-private partnerships (known as P3s), the department recently announced that it will seek to complete downtown Cleveland’s second innerbelt bridge project by initiating such an arrangement, Gongwer reports. Due to a “$1.6 billion committed backlog of transportation projects,” ODOT and the Transportation Review Advisory Council had moved the start of this project back to 2023; however, they now plan to reinstate the original start date of 2014 once a P3 is established for the project.

P3s typically involve a contract between a public sector authority and a private party (contractor). The contractor provides a public service or project and assumes substantial financial, technical and operational risk in the project — up front — on the strength of a governmental contract. The cost of providing the service is borne wholly or in part by the government to the contractors.

As the first P3 project in Ohio, the state will identify contractors to fund the estimated “$317 million second phase of the work and the state would pay them back over time with money” received from the gas tax, the article said. Although the state will have to pay interest as it pays back the contractors, an ODOT spokesman said that “the state will save money by expediting the projects by reducing maintenance costs and other expenses,” the article said.

Prequin, a “leading provider of data and research on private equity, real estate, hedge and infrastructure funds, and other alternative investments,” determined that when compared to 38 other funds that were initiated in 2003, the Athens-based Athenian Venture Partners (AVP) Ohio Fund “is the most successful in the U.S. in both net return multiple (4.95x) and internal rate of return (31%),” according to a press release from the Ohio Department of Development. With a presence in California, Massachusetts and Ohio, AVP focuses on information technology and healthcare investments, and 90 percent of the AVP Ohio Fund’s capital is “invested in Ohio-based companies,” the release said. For more, read the press release.

A study conducted by Arizona State University ranks Cincinnati “seventh among the top 10 cities in the nation for job growth,” the Cincinnati Business Courier reports. Cincinnati’s non-agricultural job growth from July 2011 to July 2012 was up 2.8 percent. Also, the state of Ohio was ranked tenth in terms of non-agricultural job growth for the same time period. The report provides “rankings and analysis based on the latest figures from the U.S. Bureau of Labor Statistics,” the article said. For more, read the full story.

The U.S. Small Business Administration (SBA) announced that due to a “Presidential disaster declaration for Public Assistance” following the severe storms and winds that occurred between June 29 and July 2, 2012, certain private nonprofit organizations in Ohio that “do not provide critical services of a governmental nature may be eligible for low interest rate disaster loans,” according to a press release from the association. Interest rates are “as low as 3 percent with terms up to 30 years,” and these organizations may borrow up to $2 million to “repair or replace damaged or destroyed real estate, machinery and equipment, inventory and other business assets.” Non-critical private nonprofit organizations, such as food kitchens, homeless shelters, museums, libraries, community centers, schools and colleges, in the following counties are eligible: Adams, Allen, Athens, Auglaize, Belmont, Champaign, Clark, Coshocton, Fairfield, Franklin, Gallia, Guernsey, Hancock, Hardin, Harrison, Highland, Hocking, Jackson, Knox, Lawrence, Licking, Logan, Meigs, Miami, Monroe, Morgan, Morrow, Muskingum, Noble, Paulding, Perry, Pickaway, Pike, Putnam, Shelby, Van Wert and Washington.

The SBA also is offering Economic Injury Disaster Loans to private nonprofit organizations of all sizes for the same severe storms and winds — “regardless of whether the organization suffered any physical property damage” — to help these organizations meet working capital needs, the release said. Applications for physical property damage are due October 19, 2012, while economic injury applications are due May 20, 2013.

With regard to the drought and excessive heat that occurred from July 1 to October 18, 2011, the SBA announced that small businesses, small agricultural cooperatives, small businesses engaged in aquaculture, and most private nonprofit organizations must submit applications for economic injury disaster loans by September 27, 2012. These loans are available in the following counties: Butler, Darke, Defiance, Hamilton, Mercer, Paulding, Preble and Van Wert, Hannah reports. "These counties are eligible because they are contiguous to one or more primary counties in Indiana. The Small Business Administration recognizes that disasters do not usually stop at county or state lines. For that reason, counties adjacent to primary counties named in the declaration are included," said Frank Skaggs, director of SBA Field Operations Center East in Atlanta. The amount of these loans can be up to $2 million with “a 4 percent interest rate for eligible small businesses and 3 percent for nonprofit organizations, with terms up to 30 years,” the release said. For more, including how to apply for these loans, read the press release.

Team NEO, a JobsOhio regional network partner, recently released its second quarter jobs report, the Cleveland Plus Economic Review, Crain’s Cleveland Business reports. The report indicates continued improvement in job creation throughout the 18-county Northeast Ohio region, the article said. According to the report, “the region has seen eight consecutive quarters of year-over-year employment growth.” For more, read the full story.

On August 23, the Ohio Third Frontier Commission awarded a combined $9.5 million to two Entrepreneurial Signature Programs (ESPs) following an advisory board retreat at Deer Creek Lodge and Conference Center in Mt. Sterling, Ohio, the Cleveland Plain Dealer reports. CincyTech was awarded $5.5 million and the Dayton Development Coalition was awarded $4 million, the article said. These awards were provided after the commission ended its fiscal year “having spent only 20 percent of the $190 million it had available to invest,” $40 million of which was budgeted for its Entrepreneurial Signature Program, the article said. For more, read the full story. 

In April 2010, the Ohio General Assembly passed legislation that created county land reutilization corporations (LRCs), or land banks. The legislation empowers communities to establish land banks as nonprofit corporations. However, with the creation of these entities, communities have struggled with how to properly fund operations in a manner that allows them to be successful in executing their missions.

One example of funding can be seen in Lake County where county commissioners have recently taken steps to support their land bank by creating a dedicated funding stream for the organization through “penalty and interest collected on delinquent property taxes,” The News-Herald reports. According to the county’s website, the purpose of the land bank is, among other things, to “promote and facilitate the reclamation, rehabilitation, and reutilization of vacant, abandoned, tax-foreclosed, or other real property in the County.” With 1,596 foreclosures recorded in 2011, communities in the county have submitted a list of 51 properties to be demolished, the article said. For more, read the full story or visit the Lake County website.

In its second quarter economic development report, Columbus 2020, the Central Ohio JobsOhio network partner led by the Columbus Chamber of Commerce and the Columbus Partnership, announced that “employment in the Columbus region rose 0.8 percent,” or by 7,600 jobs, for the quarter ended June 30, 2012, Columbus Business First reports. State and national “job growth rates were 0.7 percent and 0.2 percent” respectively during the same period, the article said. For more, read the full story and Columbus 2020’s quarterly economic update.

At the first of five hearings scheduled by the Ohio House of Representatives’ 21st Century Manufacturing Task Force, business leaders said that the government can help build momentum for the state’s manufacturing industry by investing in roads and bridges, strengthening internship and apprenticeship programs, offering tax breaks to businesses that invest in factories and keeping taxes low without cutting services, The Plain Dealer reports. Once the hearings conclude, the task force will draft a report using the manufacturers’ input that will “help lawmakers craft policies that could generate economic activity and jobs,” the article said. For more, read the full story. For information on upcoming hearings, read our August 7, 2012, blog post.

On August 14, U.S. Representative Mike Turner’s office hosted local officials and representatives from the defense industry at Sinclair Community College to discuss the impact of sequestration on the Dayton region, Dayton Business Journal reports. “Turner and others argue sequestration — a set of automatic budget cuts — will devastate the defense industry and harm national security efforts,” the article said.

Defense cuts could be especially damaging to the Dayton region, which is home to Wright-Patterson Air Force Base. The base is “the largest single-site employer in Ohio with about 27,000 workers and has an estimated $4.5 billion economic impact on the regional economy,” the article said. For more, read the full story.

As the Ohio Third Frontier Commission re-evaluates the Entrepreneurial Signature Program (ESP), Mark Kvamme — president of JobsOhio and an Ohio Third Frontier Commission member — said that of the six nonprofits funded by ESP,  CincyTech has “by far the best portfolio,” Crain’s Cleveland Business reports. Although some believe Kvamme’s affinity for CincyTech will result in a push for the other five organizations — JumpStart, TechColumbus, Rocket Ventures of Toledo, the Dayton Development Coalition and TechGrowth of Athens – to adopt some of CincyTech’s traits, others are of the opinion that a “cookie cutter model” to which all six of the core ESP nonprofits would have to conform fails to consider regional market diversity, the article said. For more, read the full story (subscription required).

Thirteen Mahoning Valley economic development organizations, including the Mahoning Valley Economic Development Corp., the Youngstown Business Incubator and the Youngstown-Warren Regional Chapter, recently released an annual report stating that the agencies created or sustained 2,700 jobs in 2011, The Vindicator reports. Shale-related companies accounted for the majority of the year’s “expansion and attraction projects” at 30 percent, while 22 percent occurred within the food industry, the article said. For more statistics from the report, read the full story.

Team NEO, the nonprofit organization dedicated to advancing economic development interests in Northeast Ohio's 18-county region, announced that Paul Boulier, formerly the chief marketing officer of A. Schulman Inc., is the new vice president of business attraction, Crain's Cleveland Business reports. Also, Michael Lalich, a master's degree student in urban planning, design and development at Cleveland State University, was hired as the organization's new research associate, the article said. For more, read the full story (subscription required).

The Ohio House of Representatives’ 21st Century Manufacturing Task Force announced five forums to discuss ways to “improve Ohio’s competitiveness in manufacturing,” Gongwer reports. The task force — which was created in June and consists of five House Republicans and four House Democrats — will hear from businesses, policymakers and the public during these hearings. The hearings will take place from 1:30 to 5 p.m. following tours of five manufacturing facilities as scheduled below:

• August 9: Timken Company, Canton
• September 27: Owens Illinois, Maumee
• October 11: Pentaflex, Springfield
• October 18: DuPont, Circleville
• November 15: Worthington Industries, Columbus

In the five years since the state provided $9 million to the Dayton Development Coalition’s Entrepreneurial Signature Program, a combination of services and cash support from the coalition has helped more than 70 “portfolio companies” create more than 400 jobs, Dayton Business Journal reports. As the Ohio Third Frontier works to determine the future of the program, the coalition is hosting two funding meetings in an effort to attract investors toward promising tech startups, the article said. For more, including event information, read the full story.

The shale energy industry has created new opportunities for economic development and job growth in Ohio and across the country. However, communities are at risk of experiencing a devastating boom-bust cycle if they do not create an effective strategic plan to manage that risk. A new free eBook that describes a process for creating a community strategic plan is now available. The book discusses research findings on the challenges communities may face and offers guidance as to how those challenges can be effectively managed. The author, Ed Burghard, is a retired Procter & Gamble executive and former CEO of the Ohio Business Development Coalition. For more, download the free eBook.

The Youngstown/Warren Regional Chamber recently announced that William Cann will be the chamber’s business development manager, tasked with providing “business attraction, expansion and retention services” for Trumbull County, The Business Journal reports. Cann previously served as an ambassador and an intern for the chamber, and also worked as a regional sales coordinator for Astrum Solar of Girard and as a leasing agent for the Cafaro Co., the article said. For more, read the full story.

The Columbus-based Economic and Community Development Institute (ECDI) is opening a new branch in Cleveland, where it plans to “help small businesses obtain micro loans,” Columbus Business First reports. Operating out of its new offices at 6701 Carnegie Ave., the Cleveland ECDI branch will “work with the U.S. Small Business Administration and local banks…to make loans under the $100,000 threshold,” the article said. For more, read the full story.

Ohio Attorney General Mike DeWine recently announced that by August 1, 2012, 27 counties will have funds available to them from the Moving Ohio Forward Demolition Program, which exists to help “stabilize and improve communities by removing blighted and abandoned homes with funds from the national mortgage settlement reached earlier this year,” according to a press release from the attorney general. Funds will be available for all of Ohio’s 88 counties, with the total amount of funding available to each county based on “the percentage of foreclosure filings in each county between 2008 and 2011 (which is the time period of the settlement agreement) divided by the total amount of funding ($75 million).” For more, read the press release.

The Governor’s Office of Appalachia recently announced that three projects will receive a total of $732,400 in grants from the State Appalachian Development Program, which exist to “provide funding for projects that improve the standard of living for residents of Ohio’s 32 Appalachian counties,” according to a press release from the Ohio Department of Development. The department provided a brief description of the three projects:

• Ohio Valley Regional Development Commission (Pike County) received a $250,000 grant that will be used to secure new office space that will be constructed on 2 acres of land in Seal Township. Ohio Valley Regional Development Commission coordinates federal, state, and local resources to encourage development in Adams, Brown, Clermont, Fayette, Gallia, Highland, Jackson, Lawrence, Pike, Ross, Scioto, and Vinton counties.
• Village of McConnelsville (Morgan County) received a $240,000 grant that will be used to upgrade and improve the McConnelsville Wastewater Treatment Plant. The upgrade will benefit 1,200 households.
• Vinton County Commissioners (Vinton County) received a $242,400 grant to install 10,000 linear feet of waterline in Clinton and Elk townships. The project will provide affordable and safe drinking water for residents.

For more, read the press release.

By July 1, Columbus Mayor Michael Coleman hoped to have a regional job-poaching pact finalized in an effort to maximize the job creation and retention resources of 15 central Ohio communities. However, as previously noted in our June 11 blog post, the agreement has been losing momentum in recent months. As of July 1, only two of 15 municipalities (Gahanna and Groveport) have signed on, The Columbus Dispatch reports. While the city councils of Columbus, Bexley, Grandview Heights and Hilliard have authorized their mayors or city managers to sign the agreement, none has done so, the article said. Canal Winchester, Dublin, Westerville and Whitehall do not plan to participate in the pact. Discussions are still under way to encourage more communities to adopt the arrangement. Dan Williamson, spokesman for Mayor Coleman, said "at the end of the day, if there's just one community that agrees with us," the mayor will approve the pact, the article said. For more, read the full story.

Dissatisfied with data from the six regional organizations applying for Entrepreneurial Signature Program (ESP) funding, the Third Frontier Commission voted in its last meeting to maintain the commission’s existing funding levels through the end of the year in order to gather more data for final funding decisions, The Columbus Dispatch reports. According to Christiane Schmenk, director of the Ohio Department of Development and chairwoman of the Third Frontier Commission, the commission is aiming “to be thorough before using public funds for programs that are good, but we need to be able to show results,” the article said. Invantage Group, an analyst hired to review the ESP, concluded that four of the six regional organizations should be approved for funding. Based on a variety of concerns, requests from the Dayton and Toledo regions were not recommended for funding, the article said. For more, read the full story.

The Southwest Central Ohio Procurement Technical Assistance Center, known as PTAC, will continue to operate despite the recent closing of its host organization, the Edison Materials Technology Center (EMTC), Dayton Business Journal reports. One of seven Edison Technology Centers located around the state, EMTC provided a variety of product and process innovation and commercialization services to both established and early-stage technology-based businesses. The state of Ohio is in the process of negotiating with potential hosts in the Dayton region to find a new location for PTAC, which “provides no-cost and low-cost assistance for companies looking to sell goods and services to the government,” the article said. For more, read the full story.

The Cincinnati Economic Empowerment Center of the Greater Cincinnati Urban League and Ohio-based ConnXus, an online supplier diversity service, will host an event on July 17 in Cincinnati “to help entrepreneurs better market their businesses and develop successful supplier relationships with large corporations,” the Cincinnati Business Courier reports. Aimed at owners of small, woman- and minority-owned businesses, the event will provide attendees the opportunity to hear from corporate procurement officers, receive information about the educational programs and support available through the Cincinnati Economic Empowerment Center, and learn how to connect with suppliers on ConnXus, the article said. As part of a broader initiative launched by the National Urban League and ConnXus, similar events will be hosted at 10 entrepreneurship centers across the U.S. in the next eight months, the article said. For more information about the event, read the full story. 

On June 22, the Ohio Third Frontier Commission announced the renewal of the Ohio Third Frontier Internship Program as well as the 2012 fiscal year internship program awardees. The internship program was launched in 2002 to offer technology-based internship opportunities to students at Ohio colleges and technical schools. According to the Ohio Department of Development press release, "the goal of the program is to help Ohio expand its technologically proficient workforce and retain knowledgeable and talented students in the state by creating potential employment opportunities following graduation." The internship program allows companies access to a robust database of college internship candidates and will match the cost of employing these "potential employees" by providing as much as 50 percent of their internship salaries (up to $3,000) over the course of a year. For more information and a list of training grant recipients, read the press release. For information about the Ohio Third Frontier Internship Program, visit the program’s website.

The Ohio Department of Development recently announced that it has “awarded $35.8 million in Ohio Historic Preservation Tax Credits to 18 owners planning to rehabilitate 44 historic buildings in 10 communities across the state,” according to a press release from the department. The awards, “made possible through renewal of the program in the state's Fiscal Year 2012-2013 budget,” should result in projects that create both construction and permanent jobs, the release said.  
 
The Ohio Historic Preservation Tax Credit program provides a 25 percent tax credit to owners of historically significant buildings for qualified rehabilitation expenses. Funding is awarded through competitive application rounds and is based on economic benefit and regional distributive balance. For more, including a list of the awarded projects, read the press release.  

Kenny McDonald, economic chief for Columbus2020, provided a list of potential growth areas for the city during a recent speech at the Columbus Metropolitan Club, Columbus Business First reports. Although encouraged by the addition of 22,000 jobs to the area in the past 18 months, McDonald said more can be done if the region highlights its central location and transportation system and markets itself as "a place where talent abounds," the article said. For more, including a list of potential goals for economic development, read the full story.

A pilot program creating special court dockets for complex business-related cases in Ohio’s four largest counties has been extended by the Ohio Supreme Court, the Business Courier reports. As noted in our March 13 blog post, the commercial docket pilot program, originally adopted in 2008, was set to expire on July 1. The court’s recent action extends the program through June 2013.

According to the article, the “creation of commercial dockets was intended to promote the efficient resolution of business-related litigation, better utilize court resources, and improve the state’s business climate.” Recently, the court’s Task Force on Commercial Dockets recommended that the temporary program be made permanent and that other populous Ohio counties be permitted to establish commercial dockets, the article said. However, the one-year extension did not address the issue of expanding the pilot program to other counties. For more, read the full story and the task force’s report.

The Northwest Ohio Bond Fund now boasts a BBB+ credit rating with a stable outlook as a result of Standard & Poor’s (S&P) recent upgrade of the fund’s bond portfolio. The bond fund, administered by the Toledo-Lucas County Port Authority, was upgraded from BBB to BBB+ by S&P for reasons including the fund’s strong risk profile, management policies and historical performance. The credit rating upgrade from S&P — a pre-eminent provider of financial credit ratings — will help the port authority continue to attract and retain strong businesses, and will assist in job-creation activity in the northwest Ohio region.

Nationally viewed as a leader in economic development and business financing, the Toledo-Lucas County Port Authority is uniquely positioned to help improve northwest Ohio’s economy. Beyond its namesake responsibilities of overseeing maritime and airport assets, the port authority devotes much of its efforts to funding projects aimed at job growth. The Northwest Ohio Bond Fund serves as one of the authority’s primary vehicles for delivering economic development services. Private investors purchase bonds issued by the authority as a means for providing businesses with access to capital funding — all without significant reliance on taxpayer dollars. More than just investors benefit from strong bond fund performance. Businesses, manufacturers, nonprofits and governments can access long-term, fixed interest loans and, under the proper circumstances, can access the bond fund’s tax-exempt issuing authority. 

Since its inception in 1984, the Toledo-Lucas County Port Authority’s bond fund has assisted on more than 300 economic development projects, invested more than $1 billion in northwest Ohio, and helped create and retain over 15,500 jobs. For more information on the authority’s economic development efforts, visit its website.

Summit County is expanding its anti-poaching pact — which now requires communities to share tax revenue if a company relocates within the county — to include Joint Economic Development Districts (JEDDs) and Joint Economic Development Zones (JEDZs), the Akron Beacon Journal reports. The cities, villages and townships within the county have until June 30 to voluntarily sign the agreement as the new version of the plan goes into effect on July 1. 

Signing on to the pact provides communities with "bonus points on some applications for state and federal funding" as incentive for participating, the article said. Summit County’s anti-poaching pact was first approved in 2008. For more, read the full story.

A recent editorial in The Columbus Dispatch discussed how twelve communities in and around Columbus have lost the momentum gained at the end of 2011 to create an anti-poaching agreement. The agreement is designed to reign in the practice of job-poaching and prevent Columbus and surrounding cities from "using tax breaks and other incentives to lure businesses and jobs away from neighboring communities" (see our March 30, 2012, blog post for additional background information).

The pact requires the city councils of each city to agree, but the city of Dublin refused to do so. Without Dublin, officials in Westerville, Whitehall and Canal Winchester have said they won’t participate. With these unresolved dynamics, other communities such as Upper Arlington, Reynoldsburg, Bexley and Hilliard are now reconsidering. For more, read the editorial.

Bricker & Eckler served as bond counsel for the Toledo-Lucas County Port Authority as it issued the first PACE bonds in Ohio. On May 24, the port authority completed the $5.325 million bond transaction by issuing bonds through its Northwest Ohio Bond Fund. The transaction, a cooperative effort of the port authority, the port authority’s BetterBuildings Northwest Ohio program and the city of Toledo, was aimed at improving the energy efficiency and environmental performance of Toledo’s municipal buildings. The city of Toledo anticipates reducing its energy costs with the financed improvements, which include replacing windows, upgrading light fixtures and boilers, installing vacancy sensors, and replacing or insulating hot water tanks. 

Property Assessed Clean Energy (PACE) bonds are a financial tool used by property owners to fund energy efficiency improvements on their properties. Property owners who take advantage of PACE funding opportunities may use the money for a variety of projects, including updating existing office buildings or warehouses, or acquiring an alternative energy source, like solar panels or wind turbines. 

Bricker & Eckler is Ohio’s leader in PACE financing. Bricker attorneys work with private property owners and governmental entities to create the special improvement district necessary to implement PACE financing, levy assessments and structure the financing arrangements necessary to fund the improvements. For more information, read the full story. 

The Appalachian Partnership for Economic Growth (APEG) has announced the selection of John Molinaro as president and CEO of the Nelsonville-based economic development organization, according to a press release from the Foundation for Appalachian Ohio. A subsidiary of the Ohio Appalachian Business Council, APEG was created by the council to serve as the JobsOhio Network partner and works with 25 counties in southeast Ohio, including Athens, Meigs, Hocking, Vinton, Jackson, Perry, Morgan and Washington.

Molinaro, who will begin his role at APEG on July 1, currently serves as co-director of the Community Strategies Group at The Aspen Institute in Washington, D.C., helping communities across the nation with economic development efforts. Molinaro stated that his “first priority will be to build APEG’s partnerships with local economic development professionals and the region’s businesses,” the press release said.

Following the release of the JobsOhio 1Q report (see our May 23 blog post), Team NEO, the Northeast Ohio regional partner of JobsOhio, reported that it has gained commitments from 26 companies to create 2,270 new jobs throughout the region in the first quarter of 2012, Crain’s Cleveland Business reports. 

The companies will be making capital investments of $291 million, with approximately $270 million coming from 22 companies expanding in the region, the article said. The largest new investment to the region will come from Exterran Energy Solutions, which plans on building a $12.5 million facility in Youngstown that will employ 103 workers. For more, read the full story (subscription required). 

“Retain talent, connect innovators and embrace failure” were the top three pieces of advice handed down to a crowd of academics, business leaders and community development experts at CEOs for Cities’ spring national meeting in Cincinnati last week, the Business Courier reports. CEOs for Cities, led by former Ohio Lt. Governor Lee Fisher, is a Chicago-based promoter of regional economic development ideas.

Headlining the event were former CEO of AOL Steve Case, who began his career at Cincinnati-based Proctor & Gamble Co., and his wife, Jean Case, CEO of the Case Foundation. For more insightful thoughts and remarks from the meeting, read the full article.

TechColumbus’ board of directors has announced the selection of Tom Walker as the organization’s new chief executive officer, according to a press release from the organization. TechColumbus, a public-private partnership whose objective is to accelerate business growth, job creation and prosperity in central Ohio, announced the decision last week. Widely regarded as an expert in technology-based economic development, Walker formerly served as CEO and president of Oklahoma-based i2E.

The Ohio Housing Finance Agency (OHFA) recently released a report on the need for affordable housing in Ohio's 32 Appalachian counties. According to OHFA, the study was completed to "provide a comprehensive housing needs assessment (or “Affordable Housing Market Study,” per the Ohio CDC Association) that focuses on the current and anticipated affordable housing need," in Appalachia. Due to a lack of modern housing built over the last several decades, the region is in desperate need for various housing types. The study also includes a section to help community development corporations focus on those areas with the greatest need and the best demographic support for certain types of housing. For more, read the study.

Bill Webster, who for the last six years served as the administrator of the Columbus Department of Development's Economic Development Division, has replaced Michael Stevens as the deputy director of jobs and economic development within the department, Columbus Business First reports. For more, read the full story.

Site Selection magazine recently recognized three economic development organizations in Ohio as being among the nation’s best, The Western Star reports. Wayne County EDC in Wooster, Columbus 2020, and the Cincinnati USA Partnership received the honor based on several factors including new jobs and investment, innovation, leadership, and customer service, the article said. Ohio also finished third, behind Texas and Virginia, for the magazine's Competitiveness Award, which judges economic development on the state level, Columbus Business First reports.

The Ohio Department of Development announced today that seven Ohio communities are expected to receive $10 million in Job Ready Site grants pending approval by the Controlling Board, according to a press release from the department.  The grants, ranging from $500,000 to $2.8 million, are intended to fund projects to “prepare sites for future economic development opportunities,” the release said. The seven communities slated to receive the grants are the cities of Cleveland, Dayton, Trenton, and Twinsburg; the Northwestern Water and Sewer District in Henry Township; the Toledo-Lucas County Port Authority; and the Youngstown-Warren Regional Chamber. For more, read the full press release.

Cuyahoga County has expanded the reach of its anti-poaching agreement, spearheaded by County Executive Ed FitzGerald, to include 8 more municipalities within the county (see our September 16, 2011, blog post). The pact, designed to discourage neighboring communities from luring businesses from one another, now has a total of 28 jurisdictions within Cuyahoga County that have agreed to sign on and share taxes whenever companies move from one suburb to another, Columbus Business First reports. Varying anti-poaching agreements of this nature are slowly making their way across Ohio with a version in existence in the greater Dayton area and another just recently finalized and signed by 12 communities in central Ohio (see our March 30, 2012, blog post). For more, read the full story here.

Connect Ohio, a nonprofit focused on bringing universal broadband to the state of Ohio, released a study highlighting the negative impact the lack of broadband access has on existing and emerging businesses in Ohio. The study showed increased annual revenues and improved connection with current and potential customers for those businesses with broadband access in the region. Connect Ohio also outlined the barriers to using broadband in the region and the efforts underway to help connect Appalachian businesses. Read the full report here.

The Cincinnati USA Regional Partnership, a JobsOhio regional organization and the economic development arm of the Cincinnati USA Regional Chamber, reported at its annual meeting that its economic development efforts brought 1,967 new jobs and $43.7 million in business investment to the Greater Cincinnati area in 2011, The Columbus Dispatch reports. The Partnership hopes that a new marketing campaign known as "Cincinnati, the BrandHUB," which aims to "capitalize on the region's existing strengths among consumer marketing and brand-design businesses," will be a catalyst along with five other high growth industry sectors to attract more jobs and investment in 2012, the article said. For more, read the full story here.

Two Ohio colleges — Ohio State University and Ohio University — are contributing $20 million and $15 million respectively toward the creation of a venture capital fund for early-stage technology companies, Columbus Business First reports. This move reflects Ohio State University's recent push toward executing its technology commercialization efforts, the article said. For more, read the full story here.

From April through September, the Ohio Department of Development's Office of Business Assistance, the Small Business Development Centers of Ohio, and the U.S. Small Business Administration will offer a series of six seminars in Cincinnati, Columbus, Dayton, and Mansfield on tools and resources available to assist aspiring entrepreneurs, according to a press release from the Ohio Department of Development. In addition to providing in-depth overviews of the assistance available to business owners in the forms of programs and services, the seminars will also "provide information on establishing a business, operating a business, loan programs, marketing and procurement opportunities," the release said. For more, including the seminar schedule and a list of the various topics to be discussed at each meeting, read here. 

Earlier this month, Sarah Boyarko — former manager of business development for the Youngstown/Warren Regional Chamber — became the chamber's new vice president for economic development, business retention and expansion, Business Journal Daily reports. In addition to overseeing the economic development office, Boyarko will also discuss local expansion opportunities with businesses and "oversee the chamber's business attraction efforts," the article said. For more, read the full story here.

KPMG LLP, an audit, tax, and advisory firm, released a study that finds Cincinnati to be the "least-costly location to do business in the United States among the 27 largest metro areas," in large part due to its "low costs for facility leasing, transportation and property taxes," according to a press release from the firm. The Competitive Alternatives: KPMG's Guide to International Business Location Costs 2012 edition study found that the cost index of Cincinnati was 95.9, indicating that business costs are "4.1 percent below the U.S. national baseline of 100.0," the release said. Cleveland tied with St. Louis for seventh place due to its low office lease costs. For more, read the full press release here or view the complete 2012 global study here.

Late last week, the U.S. House and Senate passed a short-term transportation funding bill that President Obama signed into law on Friday, March 30, as the authorization to spend money on transportation programs and levy federal fuel taxes was set to expire on March 31, 2012.

The 90-day funding extension of federal highway and transit aid is the latest temporary measure in the transportation funding saga as the ninth extension of the law that expired in 2009. From an economic development perspective, the short-term funding extension comes at a very critical time as most of the country is experiencing unseasonably warm weather which has accelerated the construction season, highlighting the need for certainty in this area to support the construction industry and economies dependent on related projects.

Although various proposals have been considered for long-term funding plans, none have garnered enough support to advance. Congress has until June 30 to agree on a new bill, when the newly approved extension of federal highway authority expires. For more, read The Associated Press story here.

Twelve communities in and around Columbus announced last week an agreement designed to reign in the practice of job poaching, which involves communities incentivizing companies to move existing jobs (not newly created jobs) – and the income taxes they generate – across municipal lines, The Columbus Dispatch reports.

The clearly noticeable difference between this agreement and the tentative version released in December is that it "no longer includes a requirement that cities share half of the income-tax revenue, over five years, if that city used incentives to lure a central Ohio company with existing payroll of at least $10 million," the article said (see our December 28, 2011, blog post for more information). For more, including a list of the participating municipalities, read the full story here.

This week, The Columbus Dispatch reported that Ohio Department of Transportation (ODOT) Director Jerry Wray announced the creation of a new division within the agency to evaluate and execute alternative income generation strategies to assist in financing local transportation and major highway projects across Ohio. Currently, state and federal gas dollars finance these types of projects. The Division of Innovative Delivery, led by Jim Riley, will look for new ways the state can raise revenue to commercialize certain assets such as highway rest areas, selling naming rights for bridges and interchanges and leasing the Ohio Turnpike. For more, read the full story here.

U.S. Senators Sherrod Brown (D-OH) and Rob Portman (R-OH) announced that an amendment to the transportation bill, which "includes language to provide the Department of Energy (DOE) the authority to transfer up to $150 million in existing funds to further the development of the American Centrifuge Research Development and Demonstration program at Piketon," passed last Tuesday, the Portsmouth Daily Times reports. The Piketon site will also receive "more than $120 million in cleanup funds through the DOE Office of Environmental Management program in the president's budget request" with a time frame for cleanup to be completed 20 years earlier than originally projected, the article said. For more, read the full story here.

Yesterday, Governor Kasich revealed his "mid-biennium budget review" (MBR) that contains sweeping reform plans in the following public policy areas:  

• Management Efficiency Plan: The Kasich Income Tax Cut, Bank Tax Reform, and New Cost-Saving Tools for Local Governments and Schools
• Ohio’s 21st Century Energy Policy
• Ohio’s 21st Century Education & Workforce Plan
• The Capital Budget

The administration purports these reforms will improve the management of Ohio’s government agencies and health systems; improve Ohioan’s access to low-cost, reliable energy; reduce individual tax burdens; make responsible investments to maintain and improve Ohio's educational and public service infrastructure; and improve Ohio’s education and workforce development efforts. More details can be found on the Governor's website. Click on the appropriate policy topic headings, which lead to a fact sheet on each of the aforementioned policy areas.
 
These proposals will be introduced in multiple legislative bills this spring and will need House and Senate approval before implementation. Office of Management and Budget (OMB) Director Tim Keen will present more details on the plan today to the Ohio House Finance & Appropriations Committee. 

The Toledo-Lucas County Port Authority (TLCPA) will receive $15 million in federal funding, through the U.S. Department of Energy's BetterBuildings initiative, to begin the Advanced Energy Utility District Project (AUE). The project will deliver "energy efficiency improvements to residential, commercial, industrial, and government buildings through community involvement, public awareness, and outreach," according to a press release from the department.

Additionally, the AUE has partnered with the Northwest Ohio Bond Fund to "issue up to $50 million in loans to home and business owners for the purpose of financing their improvement projects," the release said. For more information on the program and how to qualify or get involved, read the full press release here.

It has been announced that Site Selection magazine awarded Ohio its 2011 Site Selection Governor's Cup for being the state with the most "new and expanded corporate facilities," SiteSelection.com reports. Ohio also won this prestigious economic development ranking in 2006, 2007, 2008, and 2009. During the last year, the state saw a 32.5 percent increase in projects that involved a capital investment of at least $1 million, created at least 50 jobs, or added at least 20,000 square feet of new floor area. For more, read the full story here.
 
In other 2011 Site Selection news, in the category of metro areas with a population over 1 million, the Cincinnati/Middletown MSA ranked 6th in the nation in projects secured. In the category of metro areas with a population of 200,000 to 1 million, the Dayton MSA tied for 2nd with Tulsa, while Akron ranked 6th and Toledo tied for 7th. In the category of metro areas with a population less than 200,000, Springfield ranked 2nd and the Wheeling W.V./Ohio MSA leveraged a 4-way tie for 4th place with communities in Louisiana, Pennsylvania, and Virginia.  For more information, read here.
 
Finally, Wooster, Ohio, with 21 projects, finished 2nd in the top micropolitan area in the country category to Statesville-Mooresville, N.C., with 28 projects. The U.S. Census Bureau defines a micropolitan area as a rural county whose largest city does not exceed a population of 50,000. For more information, read here.
 
Congratulations to the state of Ohio, all of the winning communities, public and private sector market participants, and most importantly, to all of the economic development officials that had valuable roles in securing these wins!

In the third major study undertaken to determine how many jobs will be created as a result of the shale boom in Ohio, the Ohio Shale Coalition estimates that 65,680 jobs will be created as well as a $4.9 billion increase in the economy in Ohio by 2014, The Columbus Dispatch reports. The job estimates differ greatly from two previous studies by other organizations, which pegged the creation total at 200,000 and 20,000 jobs, the article said. For more, read the full story here.

Officials from the University of Cincinnati recently announced the "creation of a technology commercialization accelerator to help create startup companies from faculty research," Cincinnati Business Courier reports. The university will put $250,000 toward the project with another $500,000 coming from immigrant investors as part of the Midwest EB5 program. Midwest EB5 is a federal program administered by the U.S. Citizenship and Immigration Services that is being utilized more commonly in economic development projects throughout the country as it "gives foreigners and their families a fast-track to permanent U.S. residency if they invest at least $500,000 in a venture that directly or indirectly creates 10 or more jobs," the article said. For more, read the full story here.

On February 17, fellow Bricker & Eckler blog ShaleOhio.com posted an article on the challenges local officials are facing in the state of Montana as a result of the oil and gas boom they've experienced over the past several years.  

A Billings Gazette article highlights a recent conference in Montana where local government officials met with county commissioners from across the state to discuss the downsides of the Bakken oil development boom.  Officials complained that the 18-month tax holiday granted to oil and gas operations makes it even more difficult for small communities to deal with the negative impacts caused by the industry, including "inadequate water and wastewater treatment systems, beat-up gravel roads, scarce housing and strapped services," the article said.  

Ohio and local communities should take note of realities like this and commit to perform, initially, the requisite due diligence to create a clear, cogent, and appropriately funded plan accounting for the impending physical, operating, and quality of life factors associated with the emergence of this new industry in north and southeastern Ohio. For more, read the full story here.

The Cleveland-Cuyahoga County Port Authority is turning administration of its duty-free trade operation over to Northeast Ohio Trade & Economic Consortium (NEOTEC), an "international business attraction nonprofit based in Kent," an article in Crain's Cleveland Business reports. The combined trade zones will comprise "11,000 acres at 37 sites throughout eight counties in Northeast Ohio," the article said. Read the full story here.

According to a press release from the Ohio Department of Development, the Office of Redevelopment will host six regional information sessions - with the first occurring today - from January 10-24, 2011, that address the Local Government Innovation Fund, a new program that "provides financial assistance to Ohio government subdivisions for planning and implementing projects that improve community services, as well as encourages collaboration at the local level to reduce the cost of focused community planning." For more, including details for each of the six information sessions, visit the Local Government Innovation Fund website here.

As economic development professionals, we know that financial incentives play a significant role in the site selection decision by a company and/or their consultant. The dynamics of the actual site are essential to the decision, and the regulatory climate of a state is also important.  

Therefore, when Lt. Governor Mary Taylor announced Ohio’s Common Sense Initiative (CSI) – I was intrigued about how resourceful this initiative would be to economic development professionals and would it truly provide another avenue to address and remedy regulatory issues that impede economic development recruitment and retention activities.

Signed by Ohio Governor John Kasich on January 10, 2011, Executive Order 2011-01K established “a process for independently evaluating the economic impact of agency rules and regulations on small businesses in Ohio.”  The Common Sense Initiative reviews Ohio’s regulatory system with the goal of eliminating excessive and duplicative rules that stand in the way of job creation.

Just recently, the Times Bulletin reported on an event where Mark Hamlin, Director of Regulatory Policy for Lt. Governor Taylor, made a presentation to a group on the CSI Ohio Initiative. During that discussion, Hamlin articulated the four core principals the Lt. Governor’s office tries to follow when evaluating proposed changes that do not take away protections for the public:

• Regulations should encourage economic growth, not get in the way.
• Regulations should be transparent and responsive in the agencies that create regulations.
• Regulations should be focused on compliance and compliance should be easy and inexpensive as possible.
• Regulations should be fair and consistently applied so businesses know what to expect.

Hamlin also said that CSI is working on two separate tracks:

• Formal Track: A top down review by every state agency that creates rules that affect businesses.
• Informal Track: Going out to businesses and people directly for their thoughts and concerns.

Once again, the goal of the CSI is to perform a comprehensive regulatory review that leads to a number of reforms, revives Ohio’s economy, and creates jobs by generating a more jobs-friendly environment. From Hamlin's statements, CSI has gained momentum and is proving effective. As economic development professionals, this initiative allows you to provide direct feedback to the Lt. Governor’s office about regulatory constraints that are hindering economic development in your community and preventing job creation.  

Visit this website  http://www.governor.ohio.gov/PrioritiesandInitiatives/CommonSenseInitiative/CSISolutions.aspx%20parent_blank. and click on “Share Your Solutions” to provide your thoughts on reforming onerous and burdensome red tape, rules, and regulations. 

Columbus Business First reports that of the $511 million Federal Transportation Investment Generation Economic Recovery (TIGER) grants awarded this month, two of the 46 projects are Ohio-based.

The City of Cincinnati will receive $10,920,000 in grant funding to design and construct an extension of their streetcar system – a project with a total cost of $156,290,000.  

The Greater Cleveland Regional Transit Authority will receive a $12,503,200 grant toward a $15,206,014 project that will relocate rail tracks, reconstruct a dilapidated train station, and rehabilitate two transit bridges.

For a complete list of the grant awards, visit the U.S. Department of Transportation's TIGER Grants website here. The Business First blog can be found here.

The Cincinnati Business Courier (subscription required) reports that the board of directors of the Port of Greater Cincinnati Development Authority has appointed Laura Brunner as its new president. Brunner has held management roles at several private sector entities, outside and in Ohio, including Cassidy Turley and most recently Al Neyer Inc. in Cincinnati. 

Although the Port Authority was originally formed in 2000 to "stimulate growth in the regional economy" and "enter into public-private partnerships to provide infrastructure financing for development projects and redevelop Brownfields," a restructuring of the Port Authority in 2008 paved the way for the Port Authority to assume an even greater role in promoting economic development in the region.  Brunner will take the reigns and lead the agency as it "expands beyond its traditional role in public finance and Brownfield redevelopment," the article said. Some of the expanded duties that the Port of Greater Cincinnati Development Authority will embark upon includes the establishment of a land bank, assembling land in urban areas for future development opportunities and carrying out a number of mandates identified in the City of Cincinnati’s Go Cincinnati Plan, just to name a few.

For more, read the full story here.

According to a recent article in The Columbus Dispatch, the City of Columbus and at least nine of its suburbs (Dublin, Gahanna, Grandview Heights, Grove City, Hillard, New Albany, Upper Arlington, Westerville, and Worthington) have "reached an agreement to curtail job poaching, the practice of enticing companies to move jobs – and the income taxes they generate – across municipal lines." This agreement is similar to an anti-poaching agreement approved in Cuyahoga County by County Executive Ed FitzGerald.  Click here to view our September 16 blog post for more background.  

Under the new agreement, if any of the cities to the agreement use tax incentives to lure a central Ohio company with payroll of at least $10 million, then it would "have to share half of the income tax revenue gained with the city that lost it," the article said.

For more, read the full story here.

A recent article in the The Dayton Daily News  reported on a Georgetown University study that predicts there will be more job openings in blue-collar fields than "food and personal services, managerial and professional office work, education, health care and STEM (science, technology, engineering and math) fields." Although students and parents alike are hesitant to move away from an academics-based college education, 6.7 million openings in blue collar occupations will exist by 2018 due to "the retirement of older workers," the article said.

Bill Lukens, chairman of Stillwater Technologies, a machine shop in Troy, has agreed to lead a Dayton Region Manufacturing Association committee and explore possible solutions. The committee may have its first meeting in December, said Angelia Erbaugh, executive director of the organization that recently was known as the Dayton Tooling and Manufacturing Association.

Even now, manufacturing employers are requesting the aid of state and federal government officials in launching a national marketing campaign to fill existing positions. Read the full story here.

Today, the Duke Energy Foundation will announce how it will award $287,710 worth of economic development grants in its Greater Cincinnati service area. The Business Courier reported that the funds will be divided into six grants intended to "act as a catalyst to spur job growth and retention through additional commercial redevelopment."

The Urban Revitalization Pilot Program was created to support revitalization of urban areas to help deter the decline of core cities and neighborhoods.  For information on the grant program and impending announcement, read here.

In an effort to meet the needs of its business customers, Delta Air Lines announced that it will add flights and air service out of the Cincinnati/Northern Kentucky International Airport (CVG) starting early March 2012, Cincinnati.com reports. This move is in response to demands from a working group, comprised largely of members of the Greater Cincinnati/Northern Kentucky Business community, focused on identifying ways to increase access to domestic and international markets for businesses and residents throughout the region. 

Although Delta has decreased the overall number of flights from the airport during the last few years due to a merger with Northwest and high jet fuel prices, it still accounts for the vast majority of flights at CVG.

For more read the full story here.

The New York Times opinion section recently featured an impassioned, first-person account of a Pennsylvania landowner's decision to lease his property for natural gas drilling. Author Seamus McGraw explains how he and his neighbors did not make the decision to lease lightly and that many viewed it as either a way to salvage their way of life as farmers or as an opportunity to create a new one.

While some landowners were offered hundreds of thousands of dollars for their mineral rights, others barely made enough to pay their property taxes because they signed deals "before the full potential of the Marcellus was understood." McGraw also writes that environmental risks such as surface spills and groundwater contamination are constant concerns of the fracking process, but that without the influx of financial opportunities, many landowners would have been unable to keep their farms at all.

The valuable takeaway from this piece is that landowners and citizens need to be informed about the fracking process and associated environmental implications, the residents' ability (duty) to influence the development of the industry in their areas, and the value of the natural gas the oil companies are seeking.

Read McGraw's full story here.

Ohio State University (OSU) is preparing to open its second overseas office in the spring of 2012 in Mumbai, India according to Business First. OSU started last year, expanding internationally, with an office in Shanghai, China. Ohio State has been creating offices that are more embassy than campus, with wide-ranging missions, including alumni engagement and training for international businesses. But the offices – dubbed gateways – also are there to help Ohio companies do business in those countries and attract foreign investment to Ohio, said William Brustein, vice provost for global strategies and international affairs.

With the State eliminating their international office network over the next six to nine months, utilizing the OSU "gateways" can be a valuable short or long term option for companies exploring business development or market intelligence opportunities in the aforementioned foreign markets.  A planned office for Brazil could open in 2014, with future possibilities to include Africa, Turkey and Europe. 

Business and community leaders in the greater Cincinnati area have formed a working group to examine the future impact of the Ohio River as a freight corridor, and its potential economic impact to the area, according to an article in Cincinnati.com.  The working group sees the Ohio River as a key driver in the movement of freight in the Cincinnati area and another catalyst for job creation throughout the region.  Their goal is to determine how best to develop and utilize this enormous asset. 

The group includes representatives from The Port of Greater Cincinnati Development Authority, Cincinnati USA Regional Chamber, the Hamilton County Commission, and representatives from the area’s river businesses.  One of the drivers prompting the group’s work is the current expansion of the Panama Canal to accommodate the passage of larger cargo ships, which will enable freight to reach East and Gulf coast ports in the U.S.

Greater freight volume at these ports will, in turn, generate larger volumes of freight reaching Cincinnati, according to a study by the Ohio Kentucky Indiana Regional Council of Governments (OKI).  Ultimately, the potential increase in freight traffic will bring greater business opportunities along the Ohio River, and may result in significant job creation throughout the S.W. Ohio region and the State of Ohio.

LSI Business Development of Ohio, Inc. is moving forward with plans to establish a Government Procurement Economic Development Program in the Dayton region.  LSI recently was endorsed by the Dayton Region Blue Ribbon Task Force (the “BRTF”) to administer a government procurement assistance program for small and medium sized Ohio businesses seeking Federal government contracts, including in particular, contracts with Wright Patterson Air Force Base (WPAFB) located in the Dayton region.  In this capacity, LSI will collaborate with local economic development agencies to assist small businesses with procurement opportunities with WPAFB and other federal agencies.    The BRTF selected LSI for its endorsement based in large part on the success of LSI with similar programs in Utah and Oklahoma.

The endorsement of LSI by the BRTF is in response to a report issued on July 12, 2010 by the Regional Blue Ribbon Commission (“Commission”), a commission organized by U.S. Congressman Steve Austria (OH-7), which made 16 recommendations designed to improve how businesses in the Dayton-WPAFB region could do more business with and better support WPAFB.  One of these recommendations was to encourage the State of Ohio and local governments to fund a program to assist the state’s small and medium sized businesses in opportunity assessment, strategy, proposal development, contract negotiations, capture and program support.  The endorsement of LSI by the BRTF seeks to advance that recommendation.

The BRTF is comprised of a number of leaders from local business, academia and trade associations, has been active in evaluating and pursuing implementation of the Commission’s recommendations.  Demonstrating the region’s strength in advancing collaborative efforts, the BRTF delivered findings to the community in March, 2011 that included a number of organizations agreeing to take a leadership role for implementing 14 of the Commission’s 16 recommendations.  The BRTF chose to not assign a lead for the recommendation on creating a procurement support program due to the broad strategic impact associated with the initiative.  Instead, they took an additional six months to assess options and subsequently decided to work with LSI to advance the initiative.  The program initially will be funded with local support. 

In an effort to increase entrepreneurial activity and thought sharing in Central Ohio, Ohio State University is teaming up with investors and tech companies throughout the region to establish WakeUpStartUp.

In an effort to establish a platform for fledgling entrepreneurs to connect with potential investors and mentors, Ohio State University has teamed up with tech companies in Columbus to establish WakeUpStartUp.  Following a screening process, three entrepreneurs will be selected to give a short presentation on their start-up company or idea to an audience of industry experts, faculty and investors at each meeting.

The WakeUpStartUp website describes the meetings as an opportunity for entrepreneurs to "expand your network...[and] connect with some of Central Ohio’s finest in getting ideas made, netting quality advice, helping products really grow and landing serious investment." The first meeting will start at 7:30 a.m. on October 28th in the OSU Student Services Building. The meetings will likely become a regular monthly occurrence beginning in 2012.

Read the article featured in Columbus Business First here.

An increase in job prospects related to the growing natural gas industry has led many community colleges and universities to expand their course offerings, according to the Associated Press.  Certification and training programs in fields related to natural gas are being created or expanded across the Northeast and out West. U.S. Department of Labor grants are helping to fund such programs.

The programs are designed to help workers in economically depressed areas take advantage of jobs with median earnings anywhere from $60,000 to $106,000.  The article noted that workers may have to migrate over time, "following the drilling rigs as they move from place to place."

Next Wednesday, October 26, the Ohio Economic Development Association is holding its three-day Annual Summit at the Hilton Columbus/Polaris.  The theme of the conference is appropriately titled “Ohio in Change” and will feature breakout sessions from a variety of professionals in the economic development industry.  

A JobsOhio update will be presented by Mark Kvamme and several JobsOhio and ODOD representatives including Kristi Tanner, Nathan Green, Kristi Clouse, and Chris Schmenk.  Their updates will be timely as the development community has been closely following the changing model for delivery of job creation and economic development services in Ohio.     

Separately, Bricker & Eckler LLP will host a panel called “Real-Time Discussion of Real-World Economic Development Projects” featuring industry professionals in an exchange of economic development case studies, challenges, and solutions. 

Click here for more information about the OEDA Annual Summit.

Consultants from Maryland-based Charles Lesser & Co. discussed their redevelopment strategy for the area surrounding the future site of Hollywood Casino yesterday at a West Side community meeting, the Columbus Dispatch reports. The presentation featured a study intended to assuage growing sentiments that the area "isn't a jobs hub anymore and...doesn't have a strong housing market," the article said.