2015 ANNUAL REPORT - Shiawassee Economic Development

2015
ANNUAL
REPORT
YOU’VE GOT TO SEE SHIAWASSEE
Welcome
Dear Investors & Partners:
On behalf of the Board of Directors and staff, I am pleased to present you with our Annual Report. 2015 was another excellent year for
Shiawassee County’s economy, which has been steadily improving over the last six years. According to the State of Michigan’s Office of
Labor Market Information, our unemployment rate currently stands at just 4.3%, with over 32,000 residents working. In January 2010,
we had 15.5% unemployment and just 29,000 residents were employed. That is an 11%+ drop in unemployment and 3,000 net new jobs!
This economic rebound can also be seen in our organization’s activity this past year, with lots of positive news to report including:
• 109 business attraction leads
• 99 projects with existing businesses
• 23 announced projects (14 expansions and nine new business starts) totaling approximately 500 new jobs and $25 million of capital investment
We were able to achieve these results by focusing our efforts on four key initiatives, which we will continue to pursue in 2016:
• Providing our local companies with valued services to help them continue to grow and prosper in the county
• Strengthening regional, state, national and international partnerships that help to position Shiawassee County as a global destination
for investment.
• Creating land & building development opportunities throughout the county to provide more site location options for current and prospective
businesses
• Building the talent pipeline that ensures that our firms have the workforce they need both now and in the future
As always, these activities would not be possible without your generous support, and we thank you. We hope you enjoy the report, and
look to forward to continued partnership in 2016!
Justin Horvath, President/CEO
2015 Board of Directors
STAFF
MEMBERS
AMY RODDY
City of Durand
Chair
JUSTIN
HORVATH
DANNY MILLER
Owosso
Charter Township
Vice Chair
BRUCE COOK
Cook Family
Foundation
Treasurer
TOM
CAMPBELL
PAUL COOK
The Argus Press
Wolverine
Sign Works
BRAD
KIRKLAND
DON LEVI
BRIAN LONG
DAVID
SCHULTE
CHRIS
THELEN
SID GRINNELL
Perry Township
Secretary
President/CEO
DON
CRAWFORD
City of Owosso
JEFF DEASON JOHN HORVATH
Shiawassee
Shiawassee County
Regional Chamber
Government
of Commerce
Fifth Third
Bank
Chemical
Bank
BRENT JONES
Vice President
For more information contact:
Shiawassee Economic
Development Partnership
215 North Water Street
Owosso, MI 48867
989.725.9241
www.sedpweb.org
AARON MAIKE
Baker College of
Owosso
JOE SAWYER
City of Corunna
Shiawassee
Regional
Education
Service District
Consumers
Energy
Memorial
Healthcare
Serving Existing Businesses
70% of all jobs created in a community come from existing companies, so it is critically important to support their growth by providing
customized services that meet their business needs. In 2015, the SEDP worked on 99 specific opportunities with the local firms listed below.
(Note: some firms had multiple projects)
page 3
2nd Chance Wood• Vernon Township
Midwest Bus • Owosso
Accelectronics • Owosso Charter Township/Woodhull Township
Muzzy Zombieland• Venice Township
Allied Motion, Motor Products • Owosso Charter Township
Oster Superior Threading • Owosso Charter Township
American Pellet Company • Corunna
Owosso Composite • Owosso
American Recycling Center • Owosso Charter Township
Owosso Graphic Arts • Owosso Charter Township
Applebee Oil & Propane • Owosso
Owosso Poker Room • Caledonia Charter Township
Baker College of Owosso • Owosso
Polymer Products Group • Rush Township
Bonner Trucking • Bennington Township
RadParts • Owosso Charter Township/Woodhull Township
Bourne Industries • Corunna
RF Engine • Antrim Township
Care & Assist • Corunna
Right At Home • Owosso
Chel-Mer Inspection & Freight Services • Owosso
Rugged Liner • Caledonia Charter Township/Owosso
Clark Engineering • Owosso
RWI Manufacturing • Owosso
Codejock Software • Caledonia Charter Township
S Group Automotive • Owosso Charter Township
Covenant Eyes • Owosso
Senk Tooling • New Haven Township
Crest Marine • Owosso Charter Township
Sheridan Realty & Auction • Owosso
Davis Cartage • Corunna
SLH Metals • Corunna
DayStarr Communications • Owosso
Sonoco • Owosso
Elsesser’s Auto Repair & Fabricating • Perry Township
Steiner Tractor Parts • Venice Township
Empire Machine & Conveyor • Durand
Targetline • Owosso
Fertilizer Dealer Supply • Perry Township
Terex Simplicity • Durand
Forterra Brick • Caledonia Charter Township
TiAL Products • Owosso
Great Lakes Central Railroad• Owosso
Toledo Commutator • Owosso
Great Lakes Fabrication & Machining • Vernon Township
Transfleet • Perry Township
Great Lakes Fusion • Vernon Township
Trebor Industries • Owosso
Great Lakes Ready Mix • Vernon Township
Tri-Mer Corporation • Owosso
i60media • Durand
Trust Thermal • Owosso
Impress Machine & Technologies • Owosso
United Suppliers • Perry Township
Indian Trails • Owosso
Universal Handling Equipment • Owosso
Industrial Propane Service • Byron
Viron International • Caledonia Charter Township
JBS United • Corunna
Wakeland Oil Company • Owosso
Josh’s Frogs • Owosso
Walker EDM • Owosso
L-5 Transportation •Caledonia Charter Township
Wausaukee Composites • Owosso Charter Township
Machine Tool & Gear • Corunna/Owosso
Webcor Packaging• Durand/Owosso
Meal & More • Morrice
Welcome Home Assisted Living • Caledonia Charter Township
Meyer Electric • Owosso
Wheeler Trucking • Hazelton Township
Michigan Iron & Equipment • Perry Township
Williamston Products • Owosso Charter Township
Michigan Tank & Equipment• Owosso Charter Township
Woodard • Owosso
Project of the Year
Wheeler Trucking Awarded 2015 Project of the Year
Pausing for a photo after the Project of the
Year announcement were (l. to r.) Brian
Drexler, Vice President of Operations, Doug
Kelley, Chief Financial Officer, Ben Frederick,
Owosso Mayor, John Horvath, County
Commissioner and SEDP board member, Rex
Wheeler, President & CEO, Gary Holzhausen,
County Commissioner representing Hazelton
Township, Ben Glardon, State Representative,
Margeaux Stephens, Consumers Energy
Business Account Manager, Chris Thelen,
Consumers Energy Area Manager and SEDP
board member, and Justin Horvath, SEDP
President & CEO.
Wheeler Trucking, a truck hauler located in Hazelton Township (New Lothrop) is the recipient of the 2015 Project of the
Year award, sponsored by Consumers Energy.
The company, which currently has 136 employees, has plans to grow to 350 people, and is working on building a new
30,000 square foot corporate headquarters in the township to accommodate their expansion.
“We are excited to be investing and growing quality jobs right here in Hazelton Township (New Lothrop) and Shiawassee
County, with this headquarters providing a home for our hard-working employees and it will also help keep our trucks
running in top condition,” said company owner Rex Wheeler.
The business worked closely with State Senator Rick Jones and State Representative Ben Glardon on passing key truck
length legislation which allowed the facility project to move forward.
“Wheeler Trucking is one of our fastest growing, most successful companies in Shiawassee County, and Rex and
his team are great people to work with,” said Shiawassee Economic Development Partnership President/CEO Justin
Horvath. “We are also very appreciative of Senator Jones, Representative Glardon and everyone involved in getting
statewide support for modifying a law that helps encourage the growth of not only Wheeler, but also other truck haulers
in Michigan,” Horvath added.
page 4
PROJECT HIGHLIGHTS
Covenant Eyes Makes Room
For New Employees
Work Begins at New Location and on
Company’s Main Campus
Great Lakes Ready Mix, Great
Lakes Fabrication & Machining
Start Operations in Vernon
Township
Two new businesses are underway in Vernon
Township, thanks to the efforts of a local
entrepreneur.
Great Lakes Ready Mix is a producer of ready mix
concrete, and is located at 7505 E M-71, utilizing the
batch plant space that formerly housed concrete pipe
manufacturer PreMarc Corporation.
Covenant Eyes’ leadership and community partners break
ground on the firm’s new call center facility.
After hiring 29 employees in 2015 and seeking to fill 15
new positions, Covenant Eyes Internet Accountability
and Filtering is renovating the former Owosso Schools
Administration Building and renovating space for more
offices at its headquarters on West King Street.
The Shiawassee Economic Development Partnership
hosted a ground-breaking ceremony at the newly
purchased building at 1405 W. North St. in October.
Covenant Eyes expects to spend $225,000 to renovate
the building to house a second customer service call
center. Construction is expected to be complete early in
the first quarter, and the building will provide office space
for 38 employees in 2016.
Great Lakes Fabrication & Machining has opened in
the former Co-Op Machine & Tool facility at 7665 E
M-71, and is specializing in precision machining and
fabrication of metals, plastics, and other materials for
custom pieces to large scale production.
Both firms were started by Bryan Marks, who already
operates multiple businesses in the area, including
Great Lakes Fusion (a construction company focused
on residential, commercial, industrial, landfill and
pipeline projects throughout the US and Canada)
and Exotic Concrete Creations, a decorative concrete
contractor.
Together, these new projects are generating
approximately $750,000 in capital investment and
seven new jobs.
The new purchase also frees up space at Covenant Eyes
headquarters at 1525 W. King St. to construct new offices
for recently hired employees as well as unfilled positions.
Covenant Eyes officially purchased the vacant building
from the Owosso Public Schools, after the Owosso
Planning and Zoning Commission unanimously approved
rezoning the property for office use.
Source: Covenant Eyes
Great Lakes Ready Mix is now operating in Vernon Township.
page 5
PROJECT HIGHLIGHTS
I’m All Ears Popcorn Builds New
Production Facility in Shiawassee County
Agribusiness JBS United Locates
in Corunna, Receives Certificate of
Recognition from the I-69 International
Trade Corridor
JBS United, a global leader in animal health and nutrition
providing research-based products worldwide to owners
and producers of various animal species, is growing its
Michigan distribution operations in Corunna.
I’m All Ears Popcorn representatives and project partners ceremonially
break ground on the firm’s new production facility.
An exciting new agribusiness is starting in Shiawassee
County, thanks to a unique collaboration between two
local families – one that farms and one that owns a chain of
movie theaters.
The company, which is headquartered in Sheridan,
Indiana, leased approximately 13,000 square feet of
space in the former Strawsine building, located at 503
South Shiawassee Street. The facility will be utilized
to warehouse and ship animal (predominantly cattle &
swine) feed to customers throughout the state. The deal
was brokered by Woodworth Commercial of Owosso.
The I-69 International Trade Corridor honored JBS United
with a Certificate of Recognition, which is focused on
supporting multi-modal businesses that are growing in
the region. As part of the company’s global supply chain,
they move products via truck, rail and ship.
Hinterman Farms-Mark and Shannon Hinterman of
Shiawassee Township, together with a new Owosso-based
company called Xtreme Theater Solutions-Jeff and Joe
Geiger, are beginning a new entrepreneurial venture called
I’m All Ears Popcorn, a popcorn production company.
The entire operation will be housed at the Hinterman
property on Garrison Road in Shiawassee Township, where
the popcorn seed is already growing, and will be harvested,
processed, packaged, and distributed from a newly
constructed facility.
When in operation, locally grown popcorn will be distributed
throughout the country. The initial focus will be supplying
movie theaters with premium looking and especially tasty
popcorn that will exceed expectations.
Jim Lamb from JBS United and Brent Jones of the SEDP pause
for a photo after the company received a Certificate of Recognition
from the I-69 International Trade Corridor.
page 6
PROJECT HIGHLIGHTS
Webcor Packaging Opens New
Warehousing Facility in Durand
Webcor Packaging officials and community leaders do a
ceremonial ground-breaking for the company’s new 30,000
square foot building.
Webcor Packaging, a manufacturer of corrugated
boxes, constructed a new 30,000 square foot
warehouse expansion at its production facility in
Durand.
The company invested approximately $1.2
million dollars in the building, which is needed to
accommodate significant growth across a number of
sectors and customers (they are currently one of the
largest suppliers of United States Postal Service
Priority Mail products). The business also has
additional manufacturing and warehousing facilities
in Burton, Flint and Owosso.
page 7
SAKOR Technologies Relocates to
Owosso Charter Township
SAKOR Technologies, a maker of high-performance
dynamometer systems, has moved from its previous
facility in Okemos, Michigan, to a much larger facility in
Owosso Charter Township. The company has grown
rapidly in the past several years, and the new building
better supports SAKOR’s current and future growth.
The new facility, which will house the company’s
administrative, engineering, and manufacturing
operations together, formerly housed Baker College’s
Auto/Diesel Institute of Michigan. As such, the building’s
design and facilities are ideal for SAKOR’s needs: it
currently measures 20,000 square feet, has ample
high-voltage electrical power, and is laid out in a
way that is exceptionally convenient for SAKOR’s
manufacturing needs.
The new facility’s production bays are large enough
to accommodate manufacturing more products
at one time and manufacturing much larger, more
sophisticated projects on-site than were previously
possible. These building features will play a part in
sustaining the company’s accelerating growth curve
into the future.
While SAKOR will likely undertake renovations to the
new building in the near future, the company was able
to move into the new space quickly, thereby allowing
them to keep up with a busy production schedule and
meet all promised delivery dates.
Source: SAKOR Technologies
KEY INITIATIVES
Additional highlights
include:
•
Offered a series of CEO Roundtables (presented by MMI Financial Group of Owosso) which offered networking and professional guidance on relevant business topics like leadership development
• Developed a manufacturing coalition in conjunction with I-69 Thumb Region partners, which is focused on bringing local companies together for collaboration (e.g. building supply chains, talent development)
Logistics & Supply Chain Forum - A Logistics & Supply Chain Forum was
held at the Baker College Welcome Center in Owosso, with speakers from
the Michigan Economic Development Corporation, Michigan Department
of Transportation, Michigan Department of Agriculture and Rural
Development, and the Office of the Great Lakes.
• Sponsored a number of informational seminars on key issues and opportunities, including
Michigan Personal Property Tax reform, IRS
repair regulation changes, government
contracting assistance, and crowdfunding
• Hosted a Logistics & Supply Chain Forum,
bringing a wide variety of state resources to help with companies’ logistics and supply chain management activities
Strengthening Partnerships
for Business Development
The SEDP worked hard in 2015 to further develop
relationships with various regional, state, national
and international partners that increases our
available resources and helps to put us on the map
for business opportunities.
Owosso’s Tri-Mer Corporation (an air pollution control systems
manufacturer) won the Shiawassee County Exporter of the Year award
at the I-69 Thumb Region Regional Summit in September. Company
President John Pardell paused for a photo afterward with (l. to r.)Matthew
Quigley of the US Department of Commerce, Tino Breithaupt of the
Michigan Economic Development Corporation and Justin Horvath of the
Shiawassee Economic Development Partnership.
page 8
KEY INITIATIVES
Strengthening Partnerships for Business Development (cont.)
Multiple activities with the I-69 International Trade Corridor & I-69 Thumb Region, including:
• Development of the Accelerate plan (opening doors to state and federal funding programs)
• Sponsoring a regional collaboration summit (including moderating a real estate development panel)
• Hosting a delegation from Kentucky working on connecting I-69 from Michigan to Texas
• Hosting another delegation from the Chicago International Trade Commissioners Association
• Attending the Mid-American Economic Development Council winter conference in Chicago and meeting with a
number of site selectors
• Hosting an agribusiness forum
• Sponsoring an exhibit at the Supply Chain Innovation Summit in Dearborn
• Hosting a regional financing forum
Participated in multiple activities with the Detroit Regional Chamber and Michigan Economic Development
Corporation business attraction teams
Attended Pure Michigan market blitz events in Chicago & New York; Consultant Connect events in Chicago & Greenville,
South Carolina, IEDC Economic Future Forum in Madison, Wisconsin, and Next conference in Dallas
SEDP President & CEO Justin Horvath participated in a Pure Michigan market
blitz trip to New York City (led by Governor Rick Snyder), promoting Michigan
as a business destination to site selectors.
page 9
A delegation from the Chicago International Trade Commissioners Association (CITCA)
visited the I-69 Thumb Region in January to learn more about the region and identify
opportunities for collaboration.
KEY INITIATIVES
Creating Real Estate Development Opportunities
With many vacant buildings filled over the past few years, there is little inventory available to locate new companies in the
county, or help existing ones add additional capacity. The SEDP worked on a variety of initiatives in 2015 to tackle this
challenge:
•
Completed work on an industrial site preparedness strategy with Olsson Associates out of Omaha, Nebraska, focused on identifying the top land sites (and associated strengths and weaknesses) for development in the county, and started more in-depth activity on locations in Corunna and Owosso, including master planning, cost estimating, and target industry identification
• Working with Indiana-based High Road Consulting on a regional assessment of the potential of developing multimodal (e.g. rail & truck) facilities, with the first report expected in 1st quarter 2016
• Established Owosso Charter Township Industrial Park West, a collaboration with the Owosso Charter Township board
to develop approximately 80 acres on Delaney Rd into a new park
• Provided information on available local, state and federal resources to support development in our smaller communities, including informational sessions in Byron, Morrice and Lennon, development of a Commercial Rehabilitation District in Laingsburg, and hosting a Redevelopment Ready Communities seminar
• Promoted available sites for development through a variety of means, including a newly redesigned SEDP website, the Michigan Economic Development Corporation real estate prospectus, and exhibiting at the University of Michigan/Urban Land Institute Real Estate Forum in Detroit
• Facilitated progress on multiple downtown redevelopment projects, including the Owosso Armory, Lincoln House in Owosso, and Cavalier Greene in Corunna (all expected to start construction in 2016)
• Worked collaboratively with City of Perry, Perry Township & I-69 International Trade Corridor officials on developing a water infrastructure solution to support the Transfleet & Elsesser Auto Repair & Fabricating building projects in Perry Township
Kent Waide & Lee Lingo (representing an I-69 collaboration group in Kentucky),
Jann Knapp of Transfleet, and Justin Horvath of the SEDP pause for a photo after
touring Transfleet’s new logistics facility under construction in Perry Township.
The I-69 International Trade Corridor is utilizing a Local Development Finance
Authority program to support getting a new water line to the site.
Industrial Park West – A billboard promoting the
availability of land for development at this Delaney Road
site.
page 10
KEY INITIATIVES
Building the Talent Pipeline
As the economy continues to rebound, it is critical to ensure that we
can offer a skilled workforce that meets companies’ hiring needs.
The SEDP spent extensive time in 2015 working with educational
and training partners to address this issue, with our primary role
serving as a connection point between business and academia.
Below is a list of the various activities:
• Developed stronger relationships with the county’s eight school districts and the Shiawassee Regional Education Service District
• Organized a series of talent tours for local high school students to visit companies and learn about their operations and potential career opportunities
• Creating a series of videos of these visits to help with promotion to kids that were not able to attend
Chris Bagwell of Great Lakes Central Railroad provides
an informational tour of the company’s operations for a
large group of local high school students.
• Organized and promoted Career & Technical Education informational events with Corunna and Owosso High Schools
• Worked closely with the Corunna High School metal shop instructor on development of a mechatronics program
• Collaborated with local First Robotics teams, including a customized talent tour, requesting for donations from local
manufacturers, and hosting a promotional event at Corunna High School
• Authored a letter to the editor regarding the importance of schools’ in developing talent
• Worked with several manufacturers in developing an Employee Resource Network to help with workers’ social service needs
• Offered an informational session on the Michigan Skilled Trades Training Fund and promoted various other training programs to companies
• Co-sponsored a countywide job fair (with over 50 employers
and over 300 job seekers in attendance) and an
informational exhibit at the Home, Garden & Business Expo,
and marketed available job opportunities through a variety of other methods, including social media
page 11
A Corunna First Robotics team member demonstrates
their robot during a Manufacturers Mixer at the high
school.
INVESTORS
The Shiawassee Economic Development Partnership would like to thank the following investors for their financial support of the organization in 2015.
Ace Hardware
Advanced Drainage Systems
AKT Peerless Environmental Services
Alliance HNI
Allied Motion, Motor Products
American Recycling Center
Andrews Hooper Pavlik
Antrim Township
Baker College of Owosso
Bank of America
Bennington Township
Bourne Industries
Brown & Associates
Byron Area Schools
C2AE
Caledonia Charter Township
CECO Environmental
Chel-Mer Inspection & Freight Services
Chemical Bank
City of Corunna
City of Durand
City of Laingsburg
City of Owosso
City of Perry
Clark Engineering
CLH Insurance
Consumers Energy
Cook Family Foundation
Cooper Commercial
Covenant Eyes
Creekwood Architecture
Crest Marine
DayStarr Communications
Durand Area Chamber of Commerce
Durand Area Schools
Edward Jones - Dave Minarik
Edward Jones - Peter Keay
Edwards Sign & Screen Printing
Fairfield Township
Fertilizer Dealer Supply
Fifth Third Bank
Frontier Communications
Gilbert’s Hardware & Appliance
Graff Chevrolet Durand
Great Lakes Central Railroad
Great Lakes Fusion
Greenstone Farm Credit Services
Hankerd Sportswear
Healthfirst Pharmacy
Hemenway Business Service
Hi-Temp Heating & Cooling
i60media
Independent Newspaper Group
Indian Trails
ITC
J.E. Shireling
Jacobs Insurance Agency
Laingsburg Business &
Community Association
Lennon Telephone Company
Lyman & Sheets Insurance Agency
Lynnman Construction
Main Beverage
Maurer Heating & Cooling
Memorial Healthcare
Metro Mortgage of Owosso
Michigan Laborers Training Institute
Michigan Manufacturing Technology Center
Middlebury Township
Midwest Bus Corporation
MMI Financial Group
Morgan Construction Company
MRM Industries
Nelson House Funeral Home
New Lothrop Area Public Schools
Oakes-Fisher-Civille Insurance
Olive Branch Assisted Living
Oster Superior Threading
Owosso Charter Township
Owosso Graphic Arts
Owosso Public Schools
Perry Township
Perry Township DDA
Plante Moran
Precision Electric Motor Sales
Rathbun Public Relations
RF Engine
Richard Selleck & Sons
Rowe
Rugged Liner
Rush Township
RWI Manufacturing
S Group Automotive
SageLink Credit Union
Shaw’s Pharmacy
Shiawassee Association of Realtors
Shiawassee County Government
Shiawassee Home Builders Association
Shiawassee Regional Education
Service District
Shiawassee Regional Chamber
of Commerce
Shiawassee Township
Signature Ford
Sobak’s Home Medical Equipment
Spicer Group
Stechschulte Gas & Oil
Stevens Worldwide Van Lines
Terex Simplicity
The Argus Press
Thomas S. Bridges, Attorney
TiAL Products
Tri-Mer Corporation
Triterra
Trust Thermal
Universal Handling Equipment
Vernon Township
Village of Lennon
Village of Morrice
Viron International
VMD & Associates
Wade Trim
Wakeland Oil Company
Warner, Norcross & Judd
Wells Fargo Advisors
Williamston Products
Wirt-Rivette Group
Wolverine Sign Works
Woodard
Woodworth Commercial
Young Chevrolet Cadillac
page 12