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CONNECT » GUIDE » INSPIRE

MAY // JUNE 2017

BRAIN

TRUST

$4.95

Neurosurgeon Dr. Robert Spetzler celebrates a lifetime of innovation

HEALTHCARE LEADERSHIP AWARDS

36

SCOTTSDALE CURE CORRIDOR

60

ARIZONA ENERGY CONSORTIUM

64

SUMMER STAYCATIONS

86


Table of Contents 6

Trendsetters

12

CEO Series

14

Banking

18

Law

24

Minority Business

30

Marketing

32

Dining

Innovation in healthcare is changing the world

14

34  Healthcare Innovations 38  Healthcare Leadership Awards 60 Scottsdale Cure Corridor

54

65 Arizona Energy Consortium Arizona Tourism

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82 CONNECT » GUIDE » INSPIRE

MAY // JUNE 2017

BRAIN

TRUST

$4.95

Neurosurgeon Dr. Robert Spetzler celebrates a Lifetime of innovation

2

TOP 100 LAWYERS

34

EAST VALLEY UPDATE

65

VISIT GLENDALE

73

HSMAI ARIZONA CHAPTER

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AB | May - June 2017

On the cover: Neurosurgeon Dr. Robert Spetzler

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n each issue of Az Business magazine, I utilize this space to explain the significance of the content or the theme inside each particular issue. Rarely is it personal, but this issue is personal. It’s about healthcare. In particular, it’s about innovation in healthcare. What makes it personal to me is that without innovation in healthcare, my ugly mug wouldn’t be appearing with this editor’s letter. In 2000, I was given three months to live due to a genetic disorder. Although the traditional treatment worked for most people, it didn’t work for me. It actually made things worse. But innovative minds discovered a medication that had been developed to treat a different ailment could actually help me, too. And it worked. And although it worked for me, it didn’t work for everyone. That’s what makes innovation in healthcare and the dawn of personalized medicine so brilliant. Inside this issue of Az Business, you will read about Arizona’s amazing healthcare innovators who are changing the way we treat cancer, Alzheimer’s disease, heart disease, skin disorders, childhood diseases and the brilliant minds who are developing technology that is changing healthcare as we know it. You’ll also meet the winners and finalists of the 2017 Healthcare Leadership Awards, who are creating new protocols, medical devices, treatments and methods of healthcare delivery. These innovators aren’t just saving lives in Arizona, they are saving lives around the world.

Michael Gossie Editor in chief michael.gossie@azbigmedia.com


SHOUT-OUTS D-backs hit home run in philanthropy

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he Arizona Diamondbacks and their charitable arm, the Arizona Diamondbacks Foundation, surpassed $50 million in charitable giving since its inception in 1998, the team announced at its annual Evening on the Diamond at Salt River Fields at Talking Stick. Of that $50 million, 80 percent has been donated in just the last 11 years. “We have Derrick Hall long believed that the Arizona Diamondbacks are more than just a baseball team, but an asset to our community,” said D-backs president and CEO Derrick Hall.

Improving Arizona’s dental health

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elta Dental of Arizona Foundation has doled out nearly $500,000 in grants to oral health education and preventative dental care groups focused on care for children and expectant mothers. The Foundation sent out these grants in the first quarter of 2017, with the nearly $500,000 distributed to 29 Arizona community groups serving high-risk children and families, pregnant mothers, dental health awareness programs and regional oral health coalitions.

Parsons hits $20 million goal

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he Semper Fi Fund announced it has raised a total of $20 million in its annual “Double Down for Veterans” fundraising challenge. The campaign ran for two months, with The Bob & Renee Parsons Bob and Renee Foundation pledging to match all donations, Parsons dollar for dollar, up to $10 million. Fulfilling more than 20,000 immediate need requests per year, the Semper Fi Fund provides critical resources, often in 24 hours, to post-9/11 wounded, ill and injured members of all branches of the U.S. Armed Forces and their families.

Wells Fargo impacts nonprofits

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ells Fargo & Company donated $4,109,630 to support nonprofits in Arizona in 2016 – which amounts to $11,269 in daily giving to local nonprofit organizations, according to an announcement from the bank. Separately, Wells Fargo team members in Arizona spent 97,267 hours last year volunteering with nonprofits, schools and community organizations, and donating more than $3,719,261.08.

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President and CEO: Michael Atkinson Publisher: Cheryl Green Vice president of operations: Audrey Webb EDITORIAL Editor in chief: Michael Gossie Associate editors: David McGlothlin | Jesse A. Millard Interns: Madison Arnold | Bayne Froney | Kennedy Scott Contributing writers: Tony Finneman | Erin Thorburn Steven G. Zylstra ART Art director: Mike Mertes Graphic designer: Bruce Andersen MARKETING/EVENTS Marketing & events manager: Cristal Rodriguez Marketing coordinator: Kristina Venegas OFFICE Special projects manager: Sara Fregapane Executive assistant: Mayra Rivera Database solutions manager: Cindy Johnson AZ BUSINESS MAGAZINE Senior account manager: David Harken Account managers: Jennifer Heberlein | April Rice AZ BUSINESS ANGELS Director of sales: Brit Kezar AZ BUSINESS LEADERS Director of sales: Sheri Brown AZ HOME & DESIGN Director of sales: Joe Freedman AZRE | ARIZONA COMMERCIAL REAL ESTATE Director of sales: Ann McSherry EXPERIENCE ARIZONA | PLAY BALL Director of sales: Jayne Hayden RANKING ARIZONA Director of sales: Sheri King Az Business magazine is published bi-monthly by AZ BIG Media, 3101 N. Central Ave. Suite 1070, Phoenix, Arizona 85012, (602) 277-6045. The publisher accepts no responsibility for unsolicited manuscripts, photographs or artwork. Submissions will not be returned unless accompanied by a SASE. Single copy price $4.95. Bulk rates available. Copyright 2017 by AZ BIG Media. All rights reserved. No part of this publication can be reproduced or transmitted in any form or by any means, electronic or mechanical, including photocopying, recording, or by any information storage and retrieval system, without permission in writing from AZ BIG Media.


TRENDSETTERS

How does Arizona’s corporate income tax rate compare?

W

ith federal tax reform efforts seeking to lower the 35 percent tax rate on corporations, it’s worth remembering that most states also impose taxes that can push business tax marginal rates above 40 percent. At 12 percent, Iowa has the highest top marginal rate in the country. But since Arizona reduced its corporate income tax rate from 5.5 to 4.9 percent this year, it ranks among the most business-friendly states in the nation. Here is a look at the nation’s corporate tax brackets and tax rates from Tax Foundation Policy Analyst Morgan Scarboro.

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tips to avoid political backlash

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fter a hotly contested presidential race, we’ve witnessed an increase in political discussions in the workplace. Political talk can cause a Joe Clees spike in workplace issues like discrimination, harassment, and retaliation claims; unfair labor practice charges; violence in the workplace; and decreased morale and productivity. Fortunately, employers can avoid a polarized workforce by acting deliberately to minimize liability and prevent workplace disruptions. Here are five tips from Ogletree Deakins’ Joe Clees: • Determine which laws apply to your workplace and develop an action plan to ensure compliance. • Make sure relevant workplace policies are up to date. • Ensure managers and front line supervisors are adequately trained. • Consider actions to boost employee morale. • Avoid inaction. It can be very costly. 6

AB | May - June 2017

Sharing economy is sharing the wealth in Arizona

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rizonans are having more overnight guests than ever. Airbnb says hosts in Arizona that used its platform in 2016 earned a combined $50.9 million in supplemental income, while welcoming 329,000 visitors to the state. The 329,000 guests represent a 152 percent increase over the year before. This comes on the heels of Gov. Doug Ducey embracing the sharing economy and the Department of Revenue’s agreement with Airbnb, which allows the platform to collect and remit taxes on behalf of its hosts and guests in the state. The average Airbnb host in Arizona earned an extra $4,900 per year sharing his or her home for 42 nights in 2016.

What does it take to afford a home?

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espite rising housing costs, Phoenix remains among the 10 most affordable metro areas, according to data analyzed by mortgage experts at HSH.com. They calculated the average yearly salary required to afford a medianpriced home and a Phoenician would need to earn $45,913.96 to own a home. If homebuyers put 10 percent down instead of 20 percent, the required salary increased to $54,049.10. How does that compare with the rest of the country? Pittsburgh is the most affordable city with a salary of $32,373.50 needed. The most expensive is San Francisco at $160,589.84.


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TRENDSETTERS

Who are Arizona’s most creative

‘Mad Men?’ T

Print Advertising Gold Awards: HAPI, R&R Partners  

he Phoenix ADDY Awards honor the most creative minds in the Valley. Here are the major award winners and gold winners for 2017 (figure in parenthesis shows the number of awards earned in that category):   

Online/Interactive Gold Awards: OMA, R&R

Partners, LaneTerralever,    Film, Video & Sound Gold Awards: VIZTEK Studios (4), R&R Partners (4), ANDERSON Advertising, LaneTerralever, Randy Murray Productions   

Best of Show: LaneTerralever, Gore-Tex Brand, branded content campaign  

Cross Platform Gold Awards: Aidan James (3), AWE Collective, EME Design Studio, LaneTerralever  

Copywriting of the Year:

HAPI, Downtown Phoenix Inc., Urban Trail announcement campaign   

Ted Anderson

Elements of Advertising Gold Awards:

Kitchen integrated campaign – Jacob Pacheco, Boni Soto, Jaime Espinoza, Juan Arras  

OH Partners (4), Bob Case Illustration (3), VIZTEK Studios (2), Moses Inc. (2), Copper Post (2), R&R Partners, RIESTER, HAPI, LaneTerralever, Kitchen Sink Studios, OH Partners, HAPI   

Sales & Marketing Gold Awards: The James

Creative Director of the Year: Matt Sicko, vice

Out-of-Home & Ambient Media Gold Awards: HAPI (3), AWE Collective, Claire Cunningham

Ad Person of the Year: Ted Anderson, president and

Art Direction of the Year: Aidan James, Ardeo Brazes

Agency (3), EME Design Studio (2), PS:Studios (2), Moses Inc., HAPI      president and creative director, LaneTerralever  

Creative, Lavidge, Moses Inc.   

CEO of Anderson Advertising & Public relations. Anderson has worked in local advertising for 30 years.

Gaming is big business in Arizona

Isagenix leader among

‘Forces Under 40’ nnovative. Goal driven. Fun. These are all words that describe Isagenix Owner and Senior Vice President of Global Field Development Erik Coover, who was named to the Direct Selling News’ annual “Forces Under 40” list. Joining the family business in 2010, two of Coover’s biggest contributions have been leading the global START movement for Erik Coover those 18-35 years old, and implementing internal engagement initiatives that drive company values, including “What Drives Us” culture meetings. Cooper also plays an active role in the Make-A-Wish Foundation and the Unstoppable Foundation. 8

AB | May - June 2017

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n case you’re keeping score, the video game industry is big business in Arizona. According to the Entertainment Software Association:

• The video game industry generates $88 million in revenue annually in Arizona • The sector employs more than 1,180 individuals in Arizona • Employment in the video game industry in Arizona grew at an annual rate of 10.2 percent • Arizona-based employees in the industry earn an average of $97,000 per year, almost double the average U.S. household income of $54,000 per year.


TRENDSETTERS

5

common mistakes of trademark filing

Are you showing love for your co-workers?

W

hen most of us think of office relationships, we think of romance. While romantic relationships can impact a work environment, a study by leadership development and training experts Fierce, Inc. reveals that all types of office relationships play an increasingly significant role in job satisfaction. • • • • •

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rizona intellectual property attorney Jeffrey Herman lists the top five tips regarding mistakes made when self-filing for a U.S. trademark:

1

2

The trademark is too similar to other registered trademarks.

3

The application does not correctly identify the goods or services.

4

The application does not reflect proper ownership or correspondence information.

5

10

The trademark is inherently weak. “The Jeffrey Herman more random, arbitrary or unique the name as compared to what it stands for, the stronger the trademark is, like Apple for computers or Nike for apparel,” says Herman.

There is confusion regarding “in commerce.” An important factor is designating whether or not the trademark is actively used in commerce, or whether the applicant has an intent to use the trademark in commerce at a later date. “When the wrong category is selected, it can later cost the applicant unnecessary money in filing fees, or result in a complete loss of the desired goods or services,” Herman says.

AB | May - June 2017

Nearly three-quarters consider two or more coworkers friends. Fierce found the most productive employees have a best friend at work. Just 1 in 5 believe co-workers have no impact on job satisfaction. Two-thirds say their co-workers make their jobs more enjoyable. For those who are happy in their current role, only 7 percent say their co-workers make their job less enjoyable • For those who are unhappy in their role, that number increases to 30 percent.

Arizona Cannabis Bar Association lights up industry

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n an effort to educate (not advocate) the legal industry about marijuana cases, rulings and ethics opinions, a local attorney launched the Arizona Cannabis Bar Association last summer. “Cannabis law is new, growing and permeating every facet of law practice,” says Gary Smith, partner at Smith Paknejad. “The Arizona Cannabis Bar Association was created to disseminate cannabis law knowledge.”   Smith says the group has 12 members and recently partnered with a professor at ASU, who has helped form a student chapter for law students.

What are the top careers for 2017?

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areerToolkit.com just released the Top 100 careers of 2017 to help job seekers navigate the job landscape. Here are the Top 10:

1. 2. 3. 4. 5. 6. 7. 8. 9. 10.

Personal financial advisor Computer and IT manager Physician Software developer Management analyst Dentist Financial manager Computer system analyst Nurse practitioner Medical and health services manager


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CEO SERIES

Rich in spirit CEO of Blue Cross Blue Shield of Arizona has been an industry innovator for 45 years By MICHAEL GOSSIE

A

s a leader in an industry that seems to change on a daily basis, Rich Boals has clear advice to those who aspire to have a healthcare career. “Have a long term vision to guide you, realizing there will be many challenges along the way,” says the president and CEO of Blue Cross Blue Shield of Arizona. “Embrace change and use it as an opportunity to innovate.” It’s advice Boals has utilized himself in becoming a pillar in his industry. As Boals celebrates his 45th year with BCBSAZ, Az Business talks with the revered community and business leader. Az Business: How do you manage your ever-evolving industry? Rich Boals: The biggest challenge

is interpreting and explaining the implications of change. By listening to our members and business partners, we make thoughtful decisions and move quickly to implement them. We’re constantly looking for ways to improve what we do and add value to the healthcare experience. AB: How important is it to innovate in your industry? RB: Innovation is necessary no matter

RICH BOALS: “Having just celebrated my 45th year at BCBSAZ, I’m proud of the way our company has evolved through the years,” says the president and CEO of Blue Cross Blue Shield of Arizona. PHOTO BY DUANE DARLING 12

AB | May - June 2017

what industry you are in. At Blue Cross Blue Shield of Arizona, we are accelerating ideas and the development of new products by energizing our entire staff, and through our subsidiary, Trinnovate Ventures. The subsidiary’s mission is to improve how healthcare is delivered from both the individual and physician points of view. Through funding, we can help entrepreneurs test concepts and get them

out to the market faster than they could on their own. AB: Why is social responsibility so important to BCBSAZ? RB: Since 1939, BCBSAZ has been an

integral part of the community. Each year, we contribute our time and financial help to more than 250 organizations throughout the state. We give considerable thought to each program we support as there are a large number of organizations doing good work across Arizona’s communities. As we aim to improve the quality of life for Arizonans, we focus on groups dedicated to education, the arts, medical care and services for families in need. AB: What advice would you give to someone who aspires to have a career in your industry? RB: Healthcare is incredibly dynamic

and immensely rewarding. We are in a period of accelerated growth — of new ideas, products and services. All facets of the industry are changing. To succeed, you need an open mind, a willingness to constantly re-invent yourself, permission to let yourself fail and learn from experience, and above all keep the customer at the heart of everything you do. AB: What professional accomplishment gives you the most pride? RB: Without question, serving

BCBSAZ as CEO has been the highlight of my career. However, I also get great satisfaction when I have the chance to mentor young men and women. I often learn more from them than the other way around.


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IN ARIZONA SAVE THE DATE

August 23, 2017 Join us in honoring the accomplishments of the Most Influential Women in Arizona

Sponsorships Available! Call 602.277.6045 | visit azBIGmedia.com AB | May - June 2017 13


BANKING

TRUMP CARD?

The banking industry looks to the new presidential administration to ease heavy regulatory burden, but will it? By MICHAEL GOSSIE

W

hile the election of Donald Trump has divided families, prompted protests and given comedians a treasure trove of material, many in the business community are rooting for changes that the billionaire businessman promises will boost their bottom line. “America’s the can-do country,” says Jamie Dimon, chairman and CEO of JPMorgan Chase. “We should get back to being able to do things faster and better. If you talk to small business people, both anecdotally and in some surveys, while they’re becoming more and more optimistic, they’ll tell you that regulation is the biggest hindrance to their business.” For a sector that has been the scapegoat for everything that has gone wrong with the economy, the banking industry hopes to see positive changes on the horizon. While the president has proven to be unpredictable, a Trump presidency means the financial sector might find a real friend in the White House as the Republicancontrolled Congress looks to roll back Dodd-Frank and offer regulatory relief for the beleaguered banking industry.

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“We are all speculating at this point, but everything we have heard is that there will be less — but more effective — regulation,” says Mike Brown, regional president of Washington Federal. “We expect the new administration to simplify regulation to make compliance easier and speed the ability of banks to meet their clients’ needs.” According to Brown, the impact of the added regulatory burden that came on the heels of the recession hit the banking industry hard: • Increased costs, which must ultimately be passed on to consumers • Made doing business with consumers much riskier and caused many banks to exit some segments of that business • Deputized bankers into law enforcement because of the BSA/AML compliance program • Pushed customers to less regulated and non-taxed sources for funding “There has been a substantial increase in the cost for compliance and testing that was implemented and required under the Dodd-Frank Wall Street Reform and Consumer Protection Act that has

impacted the banking industry,” says Jack Barry, CEO and chairman for Enterprise Bank & Trust. “Such costs include, additional personnel, additional software, additional reporting, and limits on certain types of loan products and banking services, that would otherwise foster local business growth.”

What’s coming? As a precursor to making good on his promise to do “a big number on Dodd Frank,” Trump issued an executive order in February that included a directive to “rationalize the Federal financial regulatory framework.” “It is perfectly reasonable and rational – and also normal after many years and many, many new rules and requirements to pause and step back and take at a look at the entirety of (the regulations) individually and together,” says Marianne Lake, CFO for JPMorgan Chase. “So focusing on principles, it would start with coherence and coordination across regulatory agencies, whereas today many agencies regulate the same issues either jointly or


concurrently – and in many cases with different interpretations and objectives.” Simplifying the regulatory process would be a welcomed change for Arizona bankers. “Bankers Trust exists to serve the financial needs of businesses and consumers, so any regulatory relief that makes it easier and more cost effective for us to do that is beneficial,” says Patrick Joyce, senior vice president and Arizona commercial lending manager for Bankers Trust. “Examples include regulations that allow for more flexibility when lending to businesses and that require less paperwork and documentation for homebuyers.”

Even playing field Joyce says that if the Trump administration succeeds in rolling back Dodd-Frank, it would have a tremendous impact on the banking industry. “Community banks like Bankers Trust

“Rolling back regulations would mean reduced compliance costs, which would encourage the banking industry to pursue greater capital investments, thereby creating a more fertile environment for businesses to grow and consumers to prosper,” Doss says.

Impact of relief While bankers view regulation as a good thing as long as it is effective and helps the consumer, too many of the regulations today make it harder to do business with a bank. “Take for example the disclosures associated with a mortgage loan,” Brown says. “How many borrowers actually read all of the disclosures? Not very many. The result is that borrowers may not understand the product they are getting because the disclosures are too voluminous. Regulation has made

Bankers Trust to do even more to help businesses access working capital, expand operations, hire more people and strengthen the local economy.” Because the regulatory environment impacted small businesses in a big way, regulatory relief could be the boost they need to grow and flourish. “Small business is the lifeblood of the Valley, creating a tremendous number of jobs,” Doss says. “But, they also traditionally rely more heavily on credit than larger businesses. Regulations constricted the lending industry — both in terms of access to funds and choice of lender. While OneAZ continued to support small business through the economic recovery, relief would bring incredible opportunity for their continued growth through increased choice and lending capacity.”

“Rolling back regulations would mean reduced compliance costs, which would encourage the banking industry to pursue greater capital investments.” David Doss, president and CEO of OneAZ Credit Union

are competing with large banks, credit unions and – more than ever before – FinTechs and other non-bank lenders, which are often not as closely regulated,” he says. “Dodd-Frank imposed many costly regulations that negatively impact smaller banks. Community banks often don’t have the resources to fully comply with these onerous new regulations. Rolling back some elements of Dodd-Frank will enable us to better serve our customers’ needs.” David Doss, president and CEO of OneAZ Credit Union, agrees that while the intent of Dodd-Frank was to create safety and soundness in the banking industry through stabilization, the cost of compliance has increased financial pressures, especially on smaller banking institutions and made it more difficult for businesses to obtain funding needed to grow.

it harder and harder to do business profitably with consumers, which ultimately will result in less capital available to provide credit to help grow the economy.” Brown says if the Trump administration succeeds in providing regulatory relief for the banking industry, it will do three things for the consumer: • It will make credit more readily available • It will reduce the cost of many services • It will improve the friendliness of banking. “We won’t have to ask so many questions about your business on behalf of the government,” Brown says. Businesses would also see the benefit of a reduced regulatory burden. “It really ties back to a few simple things: lower costs and the ability to be more responsive,” Joyce says. “Fewer regulatory burdens will enable

Jack Barry

Mike Brown

Jamie Dimon

David Doss

Patrick Joyce

Marianne Lake AB | May - June 2017 15


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LAW

JURY IS

As more lawsuits are settled through alternative dispute resolution and fewer cases go to court, is the experienced trial attorney an endangered species? By MICHAEL GOSSIE

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AB | May - June 2017


OUT

B

ill Drury has been traveling a lot lately. “I’ve got two cases in Hawaii, one in Salt Lake City, I did one in Atlanta and another in San Francisco,” says the shareholder from Renaud Cook Drury Mesaros. It’s not that there aren’t good attorneys in the cities to which Drury has traveled. It’s just that Drury has a certain skill set that has been increasingly more difficult to find. “There are a ton of litigators, but there aren’t that many experienced trial lawyers,” Drury says. Over the past 20 years, fewer lawsuits are going to trial because an increasing number is being settled out of court through alternative dispute resolution and mediation. “It’s not that it’s wrong to do alternative dispute resolution or arbitrations because

they are cost effective and bring litigation to a close much sooner,” Drury says. “The problem is, when cases are resolved that way, lawyers don’t have the opportunity to go to court and because cases are not getting into the courtroom, the number of experienced trial lawyers is diminishing with the passage of time.” According to Pouria Paknejad, principal at Smith-Paknejad, four issues underpin the reduction in the number of civil cases going to trial: • Increased risk aversion • Fees and costs associated with taking a case to trial • The potentially negative exposure related to putting a dispute in the public domain • Th  e ascendancy of mediation and arbitration in lieu of litigation “Companies today are very focused on cost certainty,” says Doug Northup, director at Fennemore Craig. “We are finding that many clients prefer the certitude of a negotiated settlement to be preferable to trial, even if the settlement amount is higher than what would otherwise be considered ‘a good deal.’” Two things stand out for Paul Stoller, shareholder with Gallagher & Kennedy, as reasons for the decrease in the number of cases going to trial. “First, most courts, including those in Maricopa County, require that cases go through a settlement conference or mediation before they can be set for trial, and those have been effective at settling cases,” Stoller says. “Second, business clients in particular have recognized that litigation is inefficient for them and become more sophisticated in trying to evaluate and resolve cases early to avoid the costs.”

Bill Drury

John C. Norling

Gregory W. Falls

Doug Northup

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LAW TRIALS

IMPACT OF REDUCTION The reduction in the number of cases going to trial has had some obvious and some less obvious impacts on the legal profession. “First, the number of commercial litigation cases filed is down,” says Edward F. Novak, shareholder at Polsinelli. “We still see a steady stream of personal injury matters, debt collection and miscellaneous smaller matters. The decrease in large commercial matters means that clients are open to resolving their disputes in ways that don’t require a trial.” While at times difficult from a law firm economics perspective, Novak says this has helped reduce the backlog in litigation cases and has, in many instances, resulted in a swifter resolution of complex commercial disputes. “One potential drawback to having fewer trials is that the less trial experience lawyers receive, the less experience they have if they become judges,” Novak says. And, according to John O’Neal, partner at Quarles & Brady, “It has created a number of lawyers who focus on the processing of lawsuits rather than actual adjudication and truth-finding.” While the reduction in the number of cases going to trial has impacted the legal profession, experts say the impact on the businesses facing lawsuits is minimal. “The legal system has been and will remain the system for resolving disputes, and fewer trials is not going to change this fact,” O’Neal says. With fewer experienced trial lawyers, Novak says the person looking to hire one should remember that fewer than 10 percent of cases go to trial.  “Often, the best result is the one resulting from a mediation, arbitration or simply the negotiation between lawyers,” Novak says. “Trials are expensive, anxiety 20

AB | May - June 2017

producing and time consuming. So, hire the best lawyer in the area of law applicable, make certain you can afford that lawyer and then hope you don’t have to go to trial.” LOOKING TO THE FUTURE With fewer trials, experts agree it is difficult to groom the next generation of trial lawyers as in past generations. But there are plans in motion to give younger attorneys their day in court. “There is a nascent trend among ‘BigLaw’ and ‘AmLaw’ firms that allow their fourth-, fifth- and sixth-year associates to argue briefs before the court to make those attorneys comfortable in the courtroom environment and to reward them for the hours they put into those files,” says Paknejad. “If this trend continues, then the profession can take some solace in the fact that the problem is, at minimum, recognized by our peers.” Ben Himmelstein, partner at Radix Law, says another way to get more courtroom experience is to take on smaller cases, especially where the client is more “fee-sensitive.” “Usually a younger lawyer will have more opportunity in those types of cases,” Himmelstein says.

“One potential drawback to having fewer trials is that the less trial experience lawyers receive, the less experience they have if they become judges” Edward F. Novak


AB | May - June 2017 21


LAW TRIALS What can the legal profession do to get young attorneys more courtroom experience? Robin E. Burgess, shareholder at Sanders & Parks, thinks attorneys need to be proactive in identifying opportunities for younger attorneys to gain trial and courtroom experience.

“The bottom line is that even though the number of experience trial lawyers is dwindling and there hasn’t been an effective method put into place to replace their shrinking numbers, the need for them hasn’t stopped.” “This could mean bringing associates to trial in lieu of paralegals, giving associates ‘credit’ for attending trials even if their time is not billed to the client, or finding smaller matters or pro bono matters that will allow associates the opportunity to run with the ball and gain real-world experience in a courtroom.” Burgess says. “Often, a younger attorney is invaluable for handling legal research issues during trial that would otherwise be time consuming and potentially distracting for lead counsel to address while focusing on witness and expert preparation. If this value is properly conveyed to clients, often they will see the benefit of the younger associate’s involvement.” The bottom line is that even though the number of experience trial lawyers is dwindling and there hasn’t been an effective method put into place to replace their shrinking numbers, the need for them hasn’t stopped. “You’re always going to have the need for experience trial lawyers, especially in big cases,” Drury says. “The client will always need someone who can actually try the lawsuit when needed.” 22

AB | March - April 2017

FINDING A TRIAL LAWYER What should a business owner or executive look for when seeking an attorney for a case she/he wants to take to trial? Robin E. Burgess, shareholder, Sanders & Parks: “Although an enthusiastic litigator is a must, the litigator must have the experience and ability to identify risks and address them thoroughly with the client. An attorney who asks tough or uncomfortable questions is probably going to build a better case than one who is simply aggressive.”

everything. You need someone who loves to play chess or, as I call it, ‘psychological warfare.’”

John, C. Norling, managing attorney, Jennings, Strouss & Salmon: “Obviously, trial experience is key. Knowledge of the business industry is also important. A client should not have to educate an attorney on its Gregory W. Falls, member, Sherman industry.” & Howard: “Trials are fun for lawyers, judges, and their staffs, but not for the Pouria Paknejad, principal, Smith-Paknejad: “Whether you are parties themselves. Someone who wants to go to trial from the beginning a plaintiff or a defendant, your first question in hiring a litigator should is trying only to prove a point or has unrealistic expectations. Both of those be, ‘What is your trial experience?’ are potential red flag cases.  Look for Hiring an experienced trial lawyer, as opposed to an experienced a team with broad experience. Most litigator, will pay dividends if your of the work will be done before trial.  Can they do that?  Can they mediate dispute does not settle.” successfully? And finally, if trial becomes necessary, does someone on the team have that experience?” Ben Himmelstein, partner, Radix Law: “Many people think they need a ‘bulldog.’ The phrase is interesting because bulldogs are slow and not very aggressive. The more appropriate thing to look for is somebody who is a tactician. Strategy in litigation is


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MINORITY BUSINESS LEADERS

The

MOST

IMPACTFUL

Minority Business Leaders of 2017 Meet the men and women who are changing the face of Arizona business By BAYNE FRONEY

Elizabeth Chatham

Elizabeth Chatham 24

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Elizabeth Chatham is an attorney for Osborn Maledon and is a partner in the firm’s Immigration Law Group and mother of two. Chatham was born in India and deeply understands the importance of the immigration process. With more than a decade of complex immigration experience, Chatham understands how companies operate and specializes in providing helpful legal guidance to clients. “My main goal is to help impact other people’s lives in a positive way,” Chatham says. Chatham has more than a decade’s worth of experience helping immigrants get their start in achieving the “American dream.” “I think it’s important to be in touch with what you value and what you believe in as a person,” Chatham says. “I know because of immigration and my experience how confusing it can be, so I like to work with organizations that directly help immigrants in a way that I do not in my professional life.” Chatham also donates her time to organizations such as the Arizona South Asians For Safe Families, as well as other organizations. “Just immerse and absorb yourself in learning everything you can in the field that you choose,” Chatham says. “Pick something you love and you’re interested in and you’re passionate about, and be hungry. Just learn, learn, learn.”


FRED MORGAN: Fired Pie — founded by Morgan, Doug Doyle and Rico Cuomo — allows customers to take on the role of chef by picking and choosing their own type of dough, sauce and toppings. PHOTO BY MIKE MERTES, AZ BIG MEDIA

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MINORITY BUSINESS LEADERS

WORKING TOGETHER: Timothy M. Medcoff and Ali J. Farhang are managing partners of Farhang & Medcoff. They founded the law firm on the ideal of providing exceptional legal service through the creation of a dynamic and deliberate firm culture. PROVIDED PHOTO

Sambo Dul Throughout her life, Perkins Coie’s Sambo Dul hasn’t just joined public service organizations, she has created them. While still at ASU, she founded Community Outreach & Advocacy for Refugees (COAR). Recently, she announced that the Perkins Coie Foundation has committed $150,000 in seed funding for the Phoenix Legal Action Network’s (PLAN) Immigrant Justice Project, a new initiative to increase access to justice for immigrant families 26

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in Maricopa County facing deportation. Dul has represented unaccompanied immigrant children as a volunteer attorney with FIRRP, and created the organization Youth Adelante to provide mentoring, housing support and peer networking for those youth.

Fred Morgan

Sambo Dul

Fred Morgan spent a chunk of his career in senior level positions at California Pizza Kitchen, where he gained experience about managing and marketing a restaurant. Morgan took a road trip to California and saw different concepts of pizza coming up, changing his perspective on “fast, casual pizza.”


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MINORITY BUSINESS LEADERS “For me, it is really about getting to appreciate, by starting from the ground up, the employees and understanding what they go through and how to grow a business.” Fred Morgan, Fired Pie

Akinlolu Ojo Morgan and his partners brainstormed different ideas about not only incorporating customization into fast casual. “Everyone loves pizza,” Morgan says. “I always say people from age 2 to 102 really enjoy pizza. It’s one of those categories that’s multigeneration and multicultural.” From day one, Fired Pie developed its own brand. The restaurants not only customizes pizzas, but salads too, setting them apart from other restaurants. Within the first six months, Morgan and his team had opened four restaurants. Now, less than four years after opening the first Fired Pie, there are 18 Fired Pie locations in Arizona. “For me, it is really about getting to appreciate, by starting from the ground up, the employees and understanding what they go through and how to grow a business.” Morgan says. Morgan emphasized the importance of having a good plan and good employees in order to make a business work. “Every day, I come into work it’s not really work because I have fun doing what I do,” Morgan says.

Timothy M. Medcoff and Ali J. Farhang Timothy Medcoff and Ali Farhang are both AV-rated attorneys for Farhang & Medcoff Attorneys. Medcoff is an 28

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Curtis Reed, Jr.

Cathleen Yu

attorney who defends clients in the areas of product liability, insurance claims, and medical, labor and employment and commercial litigation. Medcoff has also worked with numerous insurers and national rental car companies in personal injury and wrongful death litigation. Farhang practices in the areas of labor and employment, business consultation, commercial litigation and personal injury defense. Farhang also acts as de facto general counsel to a number of significant corporate clients who conduct business across multiple jurisdictions.

has been with JPMorgan Chase and predecessor organizations for 13 years. Reed has spent his entire career in commercial banking, holding a variety of different positions during that time. In 2014, he was named region manager for Chase’s middle market banking operations in Arizona. He was appointed to chair the Arizona market leadership team, representing all lines of business. Under his leadership, the firm has grown in metro Phoenix, increasing customer deposits and hiring new employees.

Akinlolu Ojo

Cathleen Yu

Akinlolu Ojo serves as the associate vice president for clinical research and global health initiatives for the University of Arizona Health Sciences. He is an internationally recognized physician scientist, with expertise in chronic kidney disease, kidney and kidneypancreas transplantation and global health research. Dr. Ojo also maintains active clinical research collaboration with investigators in Latin America, the Caribbean, West Europe and East Asia and has mentored more than 20 research scientists and physician scientists.

Curtis Reed, Jr. Curtis Reed, Jr. has had 20 years of experience in the banking industry and

Cathleen Yu is a partner at Quarles & Brady in Phoenix, co-chair of the firm’s Investor Services Team and a member of the firm’s Business Law Practice Group. She is a Phoenix native and has three sons. She represents institutional investors, including tax-exempt organizations such as foundations, universities, pension funds and hospitals in connection with their investment activities, primarily in private equity funds, hedge funds, venture capital funds, mezzanine debt and other alternative investment vehicles. She also represents clients in mergers and acquisitions, securities and other transactions in industries including healthcare, restaurant, education, manufacturing and biotechnology.


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MARKETING TRENDSETTERS

TOP 3

digital marketing strategies for nonprofits

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t’s hard to imagine a world without nonprofits. We lean on these organizations to support those who are struggling and provide assistance to segments of our population who are in need or in danger. However, many nonprofits find it difficult to stay connected to the donors and volunteers essential to their success because they are hyper-focused on those they serve and lack the resources to stay on top of the latest marketing tools in today’s digital world. The inability to broaden their reach impacts fundraising, which eventually prohibits them from continuing service. The most important step a nonprofit can take to steer their organization’s marketing program in the right direction is to make use of digital tools that can increase both efficiency and fundraising. By capitalizing on the latest website trends, building a mobile app and engaging in textbased communications, many Tony Finneman marketing functions can be Marketing automated, measured, and finetuned for success.

1. Websites Websites have been around for more than three decades, but in today’s world where everything we use has a screen and an internet connection, they have become the heart of an organization. Nonprofits relying on volunteers that aren’t always up-to-speed on initiatives, must often depend on their websites to be the main point of contact for supporters. Beyond informing the community about important information, websites can now be built to streamline marketing tasks. They can be used to help organize an event, connect others to social media channels, and most importantly, accept donations. In fact, now that Apple is allowing qualifying nonprofits to accept Apple Pay donations via websites and apps, the donation page of a nonprofit’s website has become an undeniably necessary resource, as online donations are simpler and more secure than ever before.

2. Apps According to the Pew Research Center, more than 72 percent of American Adults now own mobile phones. The need for organizations to optimize their communications for mobile 30

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devices is greater than ever. Much like websites, mobile apps can drive efficiency and increase donations. Nonprofits that invest in mobile apps will widen their networks, and have the ability to communicate with people wherever they are. Features like push notifications that can reach community members at the optimal time of day or geographical functions that make it possible to incentivize those in close proximity, can be a huge benefit to nonprofits. Rather than spending the money and assigning essential staff to deliver key messages to supporters via email, phone calls or physical mail, messages can be sent directly to a smartphone that is used constantly throughout the day by everybody. Since Apple Pay for nonprofits can also be integrated into a mobile app, messaging to supporters on-the-go has the potential to translate to an immediate donation at the click of a button. The fundraising that is so essential to a nonprofit’s survival, can now be partly automated and made convenient for all.

3. Texting services The use of text-based services is often the most overlooked digital marketing tool. Similar to a mobile app, it provides the ability to capture an audience with immediacy at the most optimal time. It also gives an organization a personal and engaging way to deliver messages to their target market. An added benefit of texting for nonprofits, especially those involved with communities or segments of the population that are in danger, is that they are less likely to need to put their staff in harm’s way in the event of a crisis. Nonprofits that offer disaster relief services, such as United Way, can use texting to warn communities of affected areas during a flood, tornado or other natural disasters. The goal of all digital marketing tools is to provide automated solutions that will increase desired outcomes and help an organization devote its staff’s time to core functions. The importance of this in the nonprofit world cannot be overstated. Every day, developers are improving or creating game-changing software that can transform a nonprofit’s outreach. The great news is that the digital tools that are necessary for a nonprofit to be successful are getting less expensive. All nonprofits can now make use of these powerful solutions so they can continue their mission of making the world a better place. Tony Finneman is the CEO and co-founder of OneEach Technologies, a digital service provider for nonprofit organizations founded in 2000.


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DINING

An Arizona classic LON’s at the Hermosa Inn defines destination dining in the Grand Canyon State By MICHAEL GOSSIE

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rizona has always been defined by its five C’s: Cattle, Cotton, Climate, Copper, Citrus. LON’s at the Hermosa Inn lets the state add another C: Classic. LON’s is an authentic Arizona hacienda tucked within the grounds of the Hermosa Inn. The historic charm of the property is traced back to Lon Megargee, Arizona’s famous first cowboy artist, who created the property to be his private retreat in the early 1930s before opening it up to guests. A trip to LON’s lets visitors feel like they have discovered their own private retreat, surrounded by spectacular scenery just minutes away from bustling Phoenix. LON’s dining room is a fusion of homemade adobe, rustic ironwork, flattering lighting, original art pieces by Megargee and carefully set tables. Consistently revered as the “best dining patio in the Valley,” LON’s spacious outdoor seating — complete with fireplaces and unrivaled views of Camelback Mountain that set the mood of tranquility and relaxation — is a perfect setting for a romantic night out with a loved one, closing your latest deal or as the ultimate gathering spot with friends or colleagues. Beyond the spectacular view and the lifetime of stories the location could tell, what really makes LON’s an Arizona institution is the food. Executive Chef Jeremy Pacheco brings his own history to the table: His family’s Arizona roots go back nine generations and he brings the tastes he developed growing up on the family farm to LON’s. Because of his roots, the farm-to-table movement

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MEAL WITH A VIEW: The patio at LON’s at the Hermosa Inn offers unrivaled views of Camelback Mountain. PHOTO PROVIDED BY THE HERMOSA INN

is more than a trend to Pacheco — it’s in his DNA and defines LON’s menu, where locally sourced items are an integral part of each dish. Pacheco and LON’s master gardener grow a wide selection of herbs, vegetables and fruit on the grounds. Harvested at the peak of their flavor and combined with other locally grown produce, the ingredients are incorporated into brilliantly creative dishes. Some of the can’t miss dishes on the menu: Start your meal with the Himalayan salt seared ahi tuna ($18) with yuzu-soy sauce, crisp rice cake, cilantro and pickled onion. The flavors are so vibrant and the dish is so creative and brilliantly presented, Instagram will never be able to do it justice. While every single beef dish at LON’s exceeds spectacular, the braised beef short ribs ($34) with green chili-goat cheese polenta, roasted cipollini onions, oyster mushrooms and natural jus will have you

planning your next visit before you take the last bite. It is impossible to find a more perfectly prepared duck than LON’s Maple Leaf duck breast ($36) with duck confit cannelloni, pea puree, baby carrot, i’itoi onion and bitter orange jus. There is none better. Simply put, Arizona doesn’t do it better than LON’s. The food is delicious, the ambience is delightful and the service is knowledgeable and attentive without being smothering. LON’s is an Arizona classic.

LON’s at the Hermosa Inn 5532 N. Palo Cristi Rd. Paradise Valley, AZ 85253 Reservations: 844-423-3981 Online: hermosainn.com/lons


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HEALTHCARE LEADERSHIP

Prescription Innovation FOR

In the country’s annual health checkup, Arizona only ranks 29th compared with other states. But Arizona is breaking ground as an innovator in medical research, treatment and diagnosis. How is the state shaking up the healthcare industry? 34

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By MICHAEL GOSSIE

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he health of Arizona remains a concern. Arizona residents’ health is below average. The state ranks as the 29th healthiest in the nation, according to United Health Foundation’s 2016 America’s Health Rankings Annual Report. The good news is that the No. 29 ranking was an improvement over the previous year, when Arizona ranked 30th. But the state remains in the bottom half. AB | May - June 2017 35


HEALTHCARE LEADERSHIP

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ealthcare remains a concern for the state’s business leaders, as well. “It makes sense that healthcare costs have moved up on the list of challenges as the country grapples with healthcare policy at the national level,” says said Don Garner, CEO of Alliance Bank of Arizona. According to Alliance Bank of Arizona’s 2017 Arizona Leaders in Business Survey, healthcare is one of the top three business challenges in Arizona for 2017. While there are concerns swirling around the healthcare sector, Arizona is also breaking ground as an innovator in medical research, treatment and diagnosis. Less than four months into 2017, a study by Phoenix-based Banner Alzheimer’s Institute was featured in a Newsweek cover story; Scottsdale-based GlobalMed signed a deal to sell its technology in China, Hong Kong, Macau and Taiwan; ASU’s Biodesign Institute is developing a test for pancreatic cancer; Tucsonbased Accelerate Diagnostics got FDA approval for its kit that tests blood for bacterial infection; TGen identified a rare genetic mutation that causes developmental delays in children; and the University of Arizona opened its $136 million Biomedical Sciences Partnership Building on the Downtown Phoenix Biomedical Campus, which will house labs for cancer, molecular medicine and other health research. And while healthcare costs remain a concern for the state’s business leaders, companies like Redirect Health and Akos MD — both in contention for 2017 Healthcare Leadership Awards — are developing innovative programs and methods for businesses and individuals to reduce their healthcare costs. But they are not the only innovators that are game-changers in the healthcare sector. From pediatrics to geriatrics, Arizona experts are reimagining and redefining healthcare as we know it. Alzheimer’s disease Can you imagine a vaccine that could prevent a person at risk for Alzheimer’s disease from ever developing symptoms? That could happen and the world would have Arizona researchers to thank. Currently, researchers working to develop an Alzheimer’s vaccine are recruiting healthy individuals who are at risk of the onset of clinical symptoms of Alzheimer’s. Participants have to Eric Reiman carry two ApoE4 genes, a genetic risk factor for Alzheimer’s. The effort is being spearheaded by the Alzheimer’s Prevention Initiative, which is led by Banner Alzheimer’s Institute. Under the leadership of Banner Alzheimer’s Institute Executive Director Eric Reiman, researchers and institutional leaders in the state have established the Arizona Alzheimer’s Consortium and generated more than $1 billion in grants, contracts and other investments, and made major contributions to the study of Alzheimer’s disease, related disorders and the aging brain.

Javier Munoz 36

Cancer research Banner MD Anderson Cancer Center is involved in multiple research studies involving immunotherapy, a cutting-edge treatment that unleashes the body’s immune system to fight tumors. “The clinical trials use different methods which aim to reprogram the patient’s own blood immune cells, essentially teaching them to

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2017 Az Business magazine honors the women, men and institutions that bring excellence and innovation to Arizona’s healthcare sector. Not only are these healthcare leaders improving lives of Arizonans, they are having a global impact on treatment and care. On the pages that follow, you will meet the winners and finalists who were honored at the 2017 Healthcare Leadership Awards on May 4.


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HEALTHCARE LEADERSHIP

...immune cells could eventually be trained to fight several types of cancers and this is a key technique to re-educate our immune system to attack cancer.

Outstanding achievement in digital health

WINNER

Arizona Telemedicine Program Founded more than two decades ago, the Arizona Telemedicine Program was developed in response to perceived disparities in healthcare services between the urban and rural populations in the state. A true pioneer, ATP has labored to bring innovative telemedicine services into the mainstream as a healthcare delivery system in Arizona and around the world.

FINALISTS

Banner Telehealth: Banner’s digital care — eICU Program, Telepharmacy, TeleBehavioral, iCare — have saved patients $68 million since they launched starting in 2006. Banner’s total cost of care has dropped 27 percent since it began using its telehealth programs.

seek and destroy cancer cells,” says Javier Munoz, MD, MS, FACP, a hematologist and director of the immunotherapy program at Banner MD Anderson Cancer Center in Gilbert. Dr. Munoz has several immunotherapy clinical trials available for patients battling lymphoma. These trials offer the potential to help patients with non-chemotherapy approaches by harnessing their own immune system. In theory, immune cells could eventually be trained to fight several types of cancers and this is a key technique to reeducate our immune system to attack cancer.

GlobalMed: GlobalMed’s success is rooted in its network of telemedicine stations equipped with video conferencing cameras and examination devices. GlobalMed facilitates about 3.5 million virtual visits annually, including in rural Africa and Asia.

Cancer treatment There are multiple approaches being evaluated to improve outcomes for treating patients with cancer, according to Glen Weiss, director of clinical research and medical oncologist for Cancer Treatment Centers of America at Western Regional Medical Center. “Immunotherapy is one of the major breakthroughs for treating advanced cancer,” Weiss says. “Currently, it is effective in shrinking tumors for a durable period of time for a select Glen Weiss percentage of patients. A major area of focus is implementing combinations of therapy to improve on those results.” Similarly, Weiss says targeted therapy works for a select percentage of patients and often for a limited duration of time. Efforts are now focusing on how to better identify those patients that may have exceptional outcomes with these treatments. “Beyond testing tumors to identify potential new ways to treat cancer, there is also an increasing research focus on using circulating DNA from the tumor collected from blood samples as a new source of monitoring response to treatment and identify new possible treatments,” Weiss said. “This is less invasive, but still a fairly early technology.”

WINNER

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Outstanding achievement in medical technology SynCardia Systems SynCardia is the manufacturer of the world’s first and only FDA, Health Canada and European CE approved total artificial heart, which is used as a bridge to transplant, helping them survive until a donor heart becomes available.

FINALISTS

Regenesis Biomedical: Regenesis created the Provant Therapy System, a non-invasive pain management therapy that creates an electromagnetic field to reduce pain, swelling, and edema after surgery by controlling inflammation and creating endogenous opioids. VisionGate: VisionGate developed LuCED, a physician-ordered, take-home sputum test that aids in the early detection of lung cancer. The test is processed on an automated 3D cell imaging platform, similar to taking a CT scan of individual cells. The test may help confirm or rule out cancer earlier in patients, transforming the way patients are treated.


Celebrating

true trailblazers. Congratulations to the recipients of the Az Business Magazine 2017 Healthcare Leadership Awards for all they’ve done to make the world a better place.

Insurance coverage provided by or through UnitedHealthcare Insurance Company or its affiliates. Administrative services provided by United HealthCare Services, Inc. or their affiliates. Health Plan coverage provided by or through UnitedHealthcare of Arizona, Inc. MT-1013504.1 4/17 Š2017 United HealthCare Services, Inc. 17-4295

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HEALTHCARE LEADERSHIP

Outstanding healthcare executive

WINNER

Stan Holm, CEO, Abrazo West Campus Under Holm’s leadership, Abrazo West completed a $26 million expansion and added five service lines and more than 50 surgeons to the medical staff. In addition, Abrazo West became a designated Level 1 and ranked first among Tenet Hospitals nationwide in patient satisfaction.

FINALISTS

Steve Narang, CEO, Banner University Medical Center Phoenix: In addition to managing 3,700 employees that see more than 170,000 patients annually, Narang oversees a 700,000-squarefoot Emergency Department and Patient Tower Expansion project that is set to open in July. PHOTO PROVIDED BY ST. LUKE’S MEDICAL CENTER

ALL IN THE WRIST: St. Luke’s Medical Center is the first hospital in Arizona to offer a same-day coronary angioplasty through the radial artery in the wrist, a less-invasive procedure that is attracting national attention.

Cardiology St. Luke’s Medical Center, the first hospital in Arizona to offer a same-day coronary angioplasty through the radial artery in the wrist, is reporting significantly improved outcomes and cost savings for patients and the health system using the new artery access point. As a result, the less-invasive procedure is attracting national attention. “St. Luke’s Medical Center has one of the most unique catheterization labs in the state, which has allowed us to get ahead of the curve in offering a better patient experience with better patient outcomes,” said Dr. Richard Heuser, chief of cardiology at St. Luke’s Medical Center. “As a result, both patients and the health care system are enjoying significant cost savings. Since we began offering the procedure in 2010, the hospital has seen upwards of $750,000 in annual healthcare savings.” St. Luke’s Medical Center is still one of few hospitals in the U.S. performing same-day cardiac catheterization using the radial artery as a standard practice. The endovascular procedure, which improves blood flow to the heart, is typically performed using the femoral artery in the groin as the more common point of access to diagnose and treat arterial diseases, including coronary artery disease and peripheral artery disease. The new artery access point has shown a marked difference in the recovery time, pain level, reduction in complications and overall better short- and long-term outcomes for patients. Dr. Heuser says the radial approach reduces complications by 80 percent compared with the femoral approach. 40

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Judy Rich, president and CEO, Tucson Medical Center: Under Rich’s leadership, TMC remains the last locally owned nonprofit hospital in Tucson. She spearheaded a $250 million investment strategy that included construction of a four-story orthopedic and surgical tower.

Outstanding healthcare innovator

WINNER

Kent Dicks, founder and CEO, Life365 Dicks is a serial Arizona entrepreneur with 30+ years of experience providing strategic leadership in new and emerging markets. He is considered a thought leader in the mobile and digital health space. He has founded three successful companies in Arizona and Life365 was named Startup of the Year at the 2016 Arizona Governor’s Celebration of Innovation.

FINALISTS

Heidi Jannenga, president and co-founder, WebPT: Jannenga began development of the WebPT platform in 2006, launched it in 2008, and has been instrumental in empowering rehab therapists to achieve greatness in business and clinical practice.

Russ Yelton, CEO, Pinnacle Technologies : Yelton leads the rapidly expanding tissue bank and medical device company and is dedicated to ethical participation in the donate life process. He also serves as chairman of the Arizona Bioindustry Association.


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HEALTHCARE LEADERSHIP Dermatology Platlet rich plasma — or PRP — is a new and exciting trend in dermatology and aesthetic medicine, says Dr. Lee Laris of Phoenix Skin. It is being used to help regrow hair in hereditary and other types of hair loss. “PRP delivered via injection or thru microneedling is also showing promise in skin rejuvenation, improving skin elasticity and increasing collagen,” Laris says. “Scars Lee Laris and other defects, as well as areas of volume loss have responded to PRP mixed with fat, which results overall improved results.” Topical application of PRP has been used to speed the healing of open ulcers and stretch marks have been improved with local injection of PRP or topical application after lasering. “Overall PRP is becoming a promising treatment addition in the field of dermatology,” Laris says.  Dentistry The dental industry is constantly striving to introduce new innovations to patients, experts say. “One of the leading forefronts of dental innovations is the various types of dental implants currently on the market that successfully fuse to bone,” says Dr. Whitney Wright, founding orthodontist at Risas Dental and Braces. “They are extremely stable and a highly esthetic and conservative way to replace missing teeth.” Whitney Wright Wright says there are a few groups of bioengineers who are currently developing a way to use stems cells to regrow teeth that have been lost. “This technology is cutting edge, and will take years before we will see any real application in the dental field,” Wright says. One innovation that has been developed and quickly put into use is a change in the way dental impressions are taken, according to Peggi Rohner, a registered dental hygienist with Douglas Family Dentistry. “Perhaps you have a bad gag reflex or boney projections in the floor of your mouth that make this process incredibly uncomfortable,” Rohner says. “Now we have the ability to use a very high-tech, high-resolution hand-held scanner to capture images of the teeth. The scans generate a 3D model that is electronically transferred to the lab. The results are a more comfortable visit for you and final restorations that fit better due to eliminating impression material distortion.”

Brad Clothier

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Dental insurance Although dental care costs have remained fairly stable over the years, per capita medical care costs have continued to rise. “Employers and consumers have limited dollars to spend on overall health care, so dental carriers like Delta Dental of Arizona are challenged to find innovative ways to manage costs,” says Brad Clothier, executive vice president of business development for Delta Dental of Arizona. “One of the easiest ways to do so is by introducing plan options that focus on wellness, such as third cleanings for people

Outstanding medical director

WINNER

Janice Johnston, MD, co-founder and medical director, Redirect Health: Dr. Johnston and husband, Dr. David Berg, founded Arrowhead Health Centers, which housed numerous practices under one roof, a model that created major healthcare savings. They realized the value of this care model and co-founded Redirect Health in 2013 to help employers create healthcare plans that are affordable

FINALISTS

Charlie Agee, MD, vice president and chief medical officer of academic delivery, Banner Health: Dr. Agee is a mentor to medical students and is leading the integration of academic medicine into a community delivery organization after Banner’s acquisition of the University of Arizona Health Network. Piyush Gupta, MD, regional medical officer, CareMore Health Plan of Arizona: Dr. Gupta drives CareMore’s strategy to provide better care to chronically ill or under-served patients. He led CareMore’s initiative to reduce hospital admission rates for CareMore members.

Outstanding medical philanthropy

WINNER

Nicole Cundiff, CEO and co-founder, Colleen’s Dream Cundiff co-founded Colleen’s Dream in 2012 after her mother, Colleen Drury, was diagnosed with ovarian cancer. In 2016, Colleen’s Dream gave $273,000 to ovarian cancer research, taking its total contributions since 2013 up to nearly $600,000. The foundation awarded 36 research grants to 27 institutions in three years.

FINALISTS

Leslie Propstra, chairman of the board, Ryan House: Propstra volunteers 20 hours a week as the volunteer chair and Ryan House has grown and thrived under her leadership, finishing its best fiscal year to date in 2016.

Sonora Quest Laboratories: A community partner to Mission of Mercy, Sonora Quest provides free laboratory services for thousands of Maricopa County’s most medically underserved and provides pro bono lab work at all of MOM’s six clinics.


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HEALTHCARE LEADERSHIP with certain medical conditions or by allowing members to receive preventive care without it being deducted from their annual benefit maximum. We also provide dental action reports for our mid-tolarge size clients that help employers guide their workforce toward positive oral health outcomes.” Healthcare education General healthcare innovations in healthcare education — including advancements in technology and multidisciplinary and simulation-based training — benefit healthcare education by providing applied learning, the continuing education of instructors, as well as positively affecting the quality of healthcare. “While it may seem obvious to focus on the cost-effective telemedicine or virtual cadaver innovations, effectively training the allied health Jen Spurlin care professional who is assisting the doctor or comforting a patient during a procedure requires a modern, creative and efficient approach to innovation,” says Jen Spurlin, Pima Medical Institute’s corporate director of education. Spurlin says Pima Medical Institute uses a variety of proprietary innovations in training allied healthcare students to be knowledgeable and technically proficient, while recognizing the value in developing emotionally intelligent students who can successfully communicate and connect with patients.

Outstanding medical researcher

WINNER Jeffrey M. Trent, PhD, president and research director, TGen: Trent serves as co-principal investigator of the Stand Up to Cancer Melanoma Dream Team, which focuses on using molecularly-guided therapy for patients with BRAF wild-type (BRAFwt) metastatic melanoma.

FINALISTS

Ronald J. Lukas, PhD, Barrow Neurological Institute: Lukas’ work focuses on nicotinic acetylcholine receptors, which are relevant to a number of neurological and other diseases, in addition to their roles in nicotine dependence and tobacco-related diseases.

Keith Stewart, M.B., Ch.B., dean of research, Mayo Clinic in Arizona Dr. Stewart and his colleagues are conducting research that has direct relevance to patient care, as they are discovering markers for prognosis and drug responsiveness, understanding what makes patients resistant to drugs, and applying this knowledge in the clinic with clinical trials exploring novel therapeutics in multiple myeloma, amyloidosis and other blood cancers.

Outstanding medical startup

WINNER

Akos MD: Akos uses a mobile interface to provide patients unparalleled access to qualified virtual care coordinators and board-certified physicians 24 hours a day, 365 days a year via a virtual smartphone or tablet consultation.

FINALISTS INanoBio: The Arizona State University spinout

PHOTO PROVIDED BY PIMA MEDICAL INSTITUTE

MASTERS OF EDUCATION: “The biggest hurdles students face are grasping the content and surviving clinical externships,” says Pima Medical Institute’s Mike Hawkes, who was just named Master Teacher by the Accrediting Bureau of Health Education Schools. "Our approach for helping them excel with each of these challenges it to maintain an open-door policy and practice the GRAD approach to student success: Guide, Review, Adapt, Develop.”

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is pioneering the development of advanced technologies for genome sequencing and healthcare diagnostics. INanoBio is currently developing a highly accurate portable $100 per run whole genome sequencer.

SMART Brain Aging Founded by Dr. John DenBoer, the Scottsdalebased startup is a provider of brain training therapies for the prevention and treatment of mild cognitive impairment and early-stage dementia. Smart Brain Aging was the winner in the spring round of the Arizona Commerce Authority’s Innovation Challenge in 2016.


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HEALTHCARE LEADERSHIP

Outstanding physician

WINNER

Richard Towbin, MD, division chief of radiology, Phoenix Children’s Hospital Dr. Towbin has invented and patented four medical devices and pioneered dozens of radiological procedures, driving a sea change in pediatric practice in areas as diverse as cancer, cardiology and orthopedics. His work may be based in Arizona, but it impacts children around the world.

FINALISTS

PHOTO PROVIDED BY ABRAZO, COMMUNITY HEALTH NETWORK

DREAM TEAM: Dr. Timothy Byrne, an independent interventional cardiologist who leads Abrazo Community Health Network’s cardiovascular services; Tammy Querrey, a board-certified acute nurse practitioner; and Dr. Merick Kirshner, an independent cardiovascular surgeon on staff at Abrazo Arizona Heart Hospital, are part of the team that implants the Transcatheter Aortic Valve Replacement (TAVR) on low-risk patients as part of a national trial.

Heart care In what could be a game-changer in heart care, Abrazo Arizona Heart Hospital is performing a Transcatheter Aortic Valve Replacement (TAVR) procedure on low-risk patients as part of a national clinical trial. TAVR is a minimally invasive alternative to openheart surgery that enables a surgeon to implant a replacement valve through a small incision near the femoral artery in the groin, eliminating the need to Timothy Byrne crack open a patient’s chest. Currently, the procedure is available to patients with severe aortic stenosis – a narrowing of the aortic valve that obstructs blood flow to the heart and the rest of the body. “Unlike many other areas of medicine, cardiology continues to progress at a breakneck pace,” says Dr. Timothy Byrne, physician executive director of cardiac services for Abrazo Community Health Network. “We are at the forefront of new testing, treatments and technologies that will help patients not only live longer, but also remarkably better.” Medical research The Translational Genomics Research Institute (TGen) in Phoenix is a leader in the world of medicine that innovates through the development of tools and technologies that embrace the staggering complexity in biological systems. This comprehensive, integrated approach to wellness focuses on prevention of disease, early detection 46

AB | May - June 2017

Robin Blackstone, MD, Banner Health: An expert in the medical treatment of obesity and obesityrelated diseases, Dr. Blackstone has performed approximately 5,000 bariatric surgeries. She is the first female president of the American Society for Metabolic and Bariatric Surgery. Pablo Prichard, MD, senior partner, Advanced Aesthetic Associates: Dr. Prichard looks to technology to provide the best care for his patients, becoming one of the first doctors to use 3D printed bone models in facial reconstruction.

Outstanding wellness program

WINNER

Blue Cross Blue Shield of Arizona BCBSAZ educates, engages and empowers employees to take responsibility for their own health. In addition to medical management programs, BCBSAZ promotes wellness through fun contests and challenges. Popular programs include the Healthy W8 Challenge, an eight-week nutrition and exercise tracking program. In 2016, 348 employees lost a reported 949 pounds.

FINALISTS

Discover Financial Services: Discover’s Phoenix campus features an on-site running track, on-site fitness center, on-site health clinic, employee “fun runs” and on-site personal trainers. Discover also subsidizes healthier food in its cafeteria.

USAA: Lower pricing in cafeterias encourages workers to buy healthy food; gym memberships are discounted based on use (the more employees use it, the cheaper it gets); and USAA has built running and walking trails at many of its campuses.


AB | May - June 2017 47


HEALTHCARE LEADERSHIP of disease risk and individualized treatment plans for each patient. “Without question, Arizona bioscience innovation is accelerating,” says Dr. Jeffrey Trent, president and research director of TGen. “Innovation is what TGen is all about, using the human genome to find new ways to diagnose and produce new treatments for the diseases that plague humanity.” Examples include TGen’s Center for Jeffrey Trent Noninvasive Diagnostics, which uses genetic fragments in circulating blood to provide early-warning and disease-tracking systems for cancer and neurologic disease. “Through our new alliance with California’s City of Hope, TGen is combining genomic information with research, using of the body’s own immune system to treat and defeat cancer,” Trent says. Mobile apps New mobile apps now enable people to meet with a primary care physician and specialist to obtain medical care, with the goal of providing convenience and more affordable care, according to Dave Allazetta, CEO for UnitedHealthcare of Arizona. The cost of a video-based virtual visit is usually less than $50 and may provide significant savings when compared to costs for similar

GAME CHANGER: This is the Transcatheter Aortic Valve Replacement (TAVR) that is used on low-risk patients as part of a national clinical trial at Abrazo Arizona Heart Hospital. PHOTO PROVIDED BY ABRAZO, COMMUNITY HEALTH NETWORK

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minor medical needs treated at a doctor’s office (approximately $80), urgent care facility (approximately $160) or emergency room (approximately $650), according to UnitedHealthcare claims data. Recent advances in audio and video technology are enabling people to obtain a diagnosis and necessary prescriptions for minor medical needs including allergies, sinus and bladder infections, bronchitis and other conditions. Dave Allazetta The Internet has transformed how people purchase goods and services and it is doing the same for healthcare, Allazetta says. Some new online and mobile services enable people to comparison shop for healthcare based on quality and cost. The Health4Me app, available on iPhone and Android devices, enables users to identify nearby healthcare providers and facilities, as well as compare quality and estimated cost information for more than 850 common medical services. With a growing number of Americans now enrolled in consumer-directed health plans, more people are using online and mobile healthcare transparency resources. More people (32 percent) are using websites and mobile apps to comparison shop for healthcare, up from 14 percent in 2012, according to the recent UnitedHealthcare Consumer Sentiment Survey.


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HEALTHCARE LEADERSHIP

WATCHING THE KIDS: “All our imaging equipment— fluoroscopy, regular X-ray, CT scanning, interventional radiology — are new generations of equipment with the low-dose protocols built in,” says Richard Towbin, MD, chief of radiology at Phoenix Children’s Hospital. “And then we go further on our own to reduce those baseline doses to the lowest we can do and still get diagnostic quality imaging, which we must.” PHOTO PROVIDED BY PHOENIX CHILDREN’S HOSPITAL

Pediatrics Many patients at Phoenix Children’s Hospital are being treated for serious conditions such as cancer, asthma and infections that require multiple medications. But combining multiple medications can negatively impact kidney function and even create kidney injuries. To compound the issue, Electronic Health Records (EHRs) include multiple disparate pieces of data about each patient’s condition and medications, making it nearly impossible for a physician to think through all of the possible side effects and interactions of the drugs. To address the issue, Phoenix Children’s created a big data solution that provides physicians and pharmacists with very early warnings about drug side effects and potential kidney damage. The kidney function monitoring system monitors every child in the hospital. It pulls together data from myriad data streams to analyze creatinine tests, which measure the functions of the kidney, along with information such as diagnoses and medications to gauge kidney function trends for every patient at the hospital. Now physicians and pharmacists can quickly identify any changes in kidney functions and address those changes before any damage occurs.

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Pediatric cardiology Phoenix Children’s Hospital is the first healthcare facility in the world to offer a non-invasive, drug-induced computed tomography (CT) stress test for young adults with heart anomalies who cannot complete traditional, exercise-based EKGs. The test sheds new light on patients’ risk of coronary artery stenosis and helps providers determine whether invasive surgery is required to correct coronary insufficiencies. This procedure offers several critical advantages over other imaging modalities, like stress echocardiography and myocardial profusion imaging (MPI). While the stress echo allows physicians to obtain images in patients with complex heart disease, there are no standards for using the data and no understanding of the impacts of testing over time. Likewise, there’s scant information about MPI. It’s such a novel procedure that only one study has been published on MPI. Just as important, the dose of ionizing radiation in Phoenix Children’s procedure is drastically lower than other modalities. The amount of radiation exposure from MPI is 20 times higher than PCH’s drug-induced CT stress test, which is of utmost concern for children with congenital heart anomalies and other complex conditions who will require imaging throughout their lives.


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HEALTHCARE LEADERSHIP Radiology Phoenix Children’s Hospital is among the first children’s hospitals to marry 3-D printing and advanced post-processing technologies. PCH’s division of pediatric radiology found a way to determine the exact size of a tumor using 3-D measurement, a drastic improvement over standard protocols. As treatment is often based on tumor size, precise measurement arms oncologists with the information they need to determine the most appropriate therapy and can mean the difference between life and death for children fighting cancer. 3-D measurement also allows doctors to identify subtle changes in tumor size or shape over time. This is critically important for determining whether chemotherapy or other treatments are shrinking the mass. Technology Medical Technology or “medtech” innovation is helping to provide people in Arizona and around the world with a better quality of life and, in some cases, saving lives. “Medtech covers a broad spectrum of technologies including diagnostic innovations from companies Joan Koerber like HTG Molecular Walker Diagnostics in Tucson and VisionGate in Phoenix, that are focused on providing healthcare providers and their patients the information they need in the fight against cancer,” says Joan Koerber-Walker, president and CEO of the Arizona BioIndustry Association. “Medical devices like those created at Medtronic in Tempe help patients with chronic diseases — including diabetes and heart disease — to better manage their diseases and live longer and more fulfilling lives. Just a few miles away, the innovators at Bard Peripheral Vascular design and deliver devices that range from devices that help clear your arteries of dangerous plaque to making life better for cancer patients with well-designed ports for the delivery of their life saving medicines.” Those are just a few examples of the more than 400 medtech companies that call Arizona home.

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HEALTHCARE LEADERSHIP

Lifesaver Acclaimed neurosurgeon Robert Spetzler earns Lifetime Achievement Award By MICHAEL GOSSIE

D

r. Robert Spetzler is a true lifesaver. The retiring president and CEO of Barrow Neurological Institute has

played a formative role in many advances in neurosurgery, including the use of the cardiac standstill procedure that stops the heart and blood flow so surgeons can safely treat blood vessel problems deep in the brain. He is particularly known for his surgical expertise in cavernous malformations (an abnormal cluster of blood vessels) and his remarkable skill in treating aneurysms. Dr. Spetzler has performed more than 6,400 aneurysm surgeries at Barrow.

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DR. ROBERT SPETZLER: “I’ve always said there are two blessings on life: one is to be happy at home and one is to be happy at work,” says the director of Barrow Neurological Institute. “Fortunately, I have had both of them in spades and I’ve been able to live my dream.”

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HEALTHCARE LEADERSHIP

PHOTOS PROVIDED BY BARROW NEUROLOGICAL INSTITUTE

CHAMPIONS OF HEALTHCARE: Dr. Robert Spetzler, right, accompanies Muhammad Ali at Barrow Neurological Institute. For those reasons and many others, Dr. Spetzler earned the Lifetime Achievement Award at Az Business magazine’s healthcare leadership awards on May 4. Az Business: What attracted you to medicine? Robert Spetzler: When I was 5 years old, I caught tetanus, which was almost universally lethal at the time. I remember going to the hospital in the middle of the night and being put in a room with iron lung machines because I wasn’t expected to survive the night. I remember my mother standing at the window, crying, saying, “If he’s going to die, let me take him home.” But I was one of the first patients to receive a drug called penicillin. I spent three or four months in the hospital and even though no one in my family had gone into medicine, that experience played a role in me becoming a doctor. AB: Why did you focus on the brain? RS: I knew I wanted to be a neurosurgeon before I entered high school. I considered it the most challenging. The mind is what makes us unique as a species. When people are confronted with illnesses that affect the brain, it does portend an incredible responsibility on the person responsible for their care. 56

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AB: What has been the biggest challenge you’ve faced? RS: It’s really challenges and opportunities. The challenges are treating diseases which have defied our collective wisdom in managing them effectively, while at the same time having opportunities to overcome previously incurable diseases, being able to traverse to any portion of the brain, and seeing personalized medicine with molecular profiling revolutionize our whole approach to the individual. AB: What has made you so innovative? RS: I come from a family of educators and engineers. Finding solutions to problems was the mantra of the family. My father always said, “There is never a problem that is too difficult for an engineer.” AB: For what do you want people to remember you? RS: The accomplishment that gives me the greatest pride is my professional offspring and being involved in the education of so many top-notch neurosurgeons. I’ve also had the opportunity to create new operations and create new instruments which are commonly used. If any of those help in the reduction of morbidity and mortality, it gives you a very good feeling.


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HEALTHCARE LEADERSHIP

Aligning

Technology and Health

Arizona’s MedTech sector impacts the state’s economy and the Bioscience Roadmap

A

rizona’s technology community has become a driving force behind the economic success of our state. The industry plays a significant role in almost every sector of the business landscape and the work of its leaders is putting our state on the map as a nationwide contender. Two industries in which technology and innovation are critical to saving lives are healthcare and bioscience. Our medical technology (MedTech) sector is rising, while the innovation we’re seeing is having a major impact on the growth of Arizona’s bioscience industry. The collaboration of health and technology is also helping our bioscience leaders reach their goal of creating a globally competitive bioscience sector and making Arizona a national authority in select areas of the biosciences by 2025. In 2002, the Flinn Foundation created the Arizona Bioscience Roadmap, which laid out the primary strategy for turning Arizona into a national powerhouse for bioscience. One of the Roadmap’s five overarching goals is to turn our state 58

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Steven G. Zylstra Technology into an area that breeds bio talent. Two of the key strategies outlined underneath this goal are to greatly improve science, technology, engineering and math (STEM) education; and to attract and retain top graduate students, doctoral and post-doctoral candidates, and physicianscientists. Carrying out these strategies has been a joint effort of the technology, bioscience and business sectors. Over the past five to 10 years, the technology and science communities have advocated a stronger focus on STEM education. Arizona’s academic institutions — especially universities — have invested significant resources into preparing a new

generation for STEM careers and that trend is expected to continue. Arizona State University and The University of Arizona have evolved into nationally recognized research institutions. According to the Flinn Foundation, Arizona’s research and development expenditures since 2002 are up 55.1 percent, with the majority of spending coming from university research programs. Through the Arizona Technology Council’s effort to spearhead or participate in STEM programs like the Arizona SciTech Festival, which is designed to motivate and prepare K-12 students, our academic institutions starting at kindergarten are increasingly addressing the need for a more highly educated workforce. The Arizona Department of Education and programs such as the Arizona STEM Collaborative and the Arizona Center for Afterschool Excellence are playing a major part in providing resources to get children interested in and on the path to STEM careers. Arizona is also home to a number of the nation’s leading MedTech organizations that play a large role in attracting and


retaining top talent, because these individuals want to work in a region with world-class innovators in their respective fields. Arizona is host to healthcare organizations like Medtronic, Mayo Clinic, Translational Genomics Research Institute and The University of Arizona. They are leading providers, users and researchers of medical technology and their work helps to grow interest in a broader market of bio talent, as well as tech talent. This is an area where collaboration breeds excitement and growth for both technology and bioscience. Another main goal laid out by the Bioscience Roadmap is the formation of an entrepreneurial hub in Arizona to ensure a successful future for the bioscience industry. To build this ecosystem and prepare startups to receive funding, the Arizona technology community has nurtured the growth and availability of incubators. One incubator in particular, BioInspire, is wholly dedicated to medical technology startups and has issued $2.4 million in seed funding for early-stage development. Incubators like the Center

for Entrepreneurial Innovation and others have also helped to produce healthfocused startups. In fact, Arizona has a strong portfolio of MedTech companies that have recently received funding, including The Core Institute, Paradigm Diagnostics, Neolight and EpiFinder. Despite our success in growing startups, there is still a proverbial hurdle we must clear before reaching our full potential. In fact, it is an issue across all technology sectors. Arizona needs to cultivate more angel investment funding for startups, as well as attract additional secondand third-level funding from venture capitalists for growing businesses. This initiative is high on the task list of the Arizona Technology Council’s Public Policy Committee and is one of the last remaining roadblocks to reaching our state’s economic development goals. In early March, the Arizona Technology Council held its MedTech Conference that brought together physicians, healthcare advocates and innovative companies to discuss the future of healthcare and

medical technologies, including the need for more funding for our startups. The speakers also addressed the use of emerging technologies in doctors’ offices, such as virtual reality, apps and software solutions, and 3D printing. The gathering of these individuals reiterated the importance of the collaboration of healthcare and tech in building a great place to work, learn and receive the top medical care with the help of innovative technologies. The final goal of the Bioscience Roadmap is collaboration, and MedTech has played a big role in marrying our industries. When we align goals of technology and bioscience such as building an entrepreneurial ecosystem, recruiting and retaining talent, and collaborating with established companies and leaders, we realize we are both striving for the same thing: a better future for Arizona economically, socially and culturally. Steven G. Zylstra is president and CEO of the Arizona Technology Council. AB | May - June 2017 59


SCOTTSDALE CURE CORRIDOR

The road to

innovation City of Scottsdale Cure Corridor uses branding and clustering to create healthcare hub By MICHAEL GOSSIE 60

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By branding the sector as the Cure Corridor, Scottsdale has become a major player in the healthcare sector, attracting and growing some of the most innovative healthcare companies in the nation.

J

im Lane has always been an innovator. “The last thing I did before I got involved in this office was developing technology companies,” says Scottsdale’s mayor. Now, the mayor has been the driving force in the development of one of the most innovative and life-changing business clusters in the nation: The City of Scottsdale Cure Corridor. “We had a good base of bioscience, biotechnology and life science companies in our community,” Lane says. “Building a critical mass was an important component. The clustering of industries can be an attraction to the industry itself, but it was in need of enhancement. What we didn’t have was an identification of who was in that sector in what is now defined as the Cure Corridor.” The Cure Corridor is a geographic area and a concept designed to promote the

innovative activities occurring around the concentration of the bioscience and life sciences sector along Scottsdale’s Shea Boulevard and Scottsdale Road from the Scottsdale Airpark to SkySong, the Scottsdale ASU Innovation Center. The bio-life sciences sector is a major driver of the innovation economy in Arizona and in the City of Scottsdale. According to the Flinn Foundation, the biosciences in Arizona “develop treatments for health afflictions, design diagnostics to gauge and prevent illness, strengthen our food supply, develop alternative fuel sources, and much more.” Today, companies in Scottsdale’s Cure Corridor employ more than 20,000, with a direct economic output of $2.5 billion and indirect output of $3.5 billion annually. Anchored by companies such as TD2, HonorHealth Research Institute and Mayo Clinic, this medical corridor is one of the strongest employment centers in the state. A brand is born The key to Scottsdale’s rapid ascension as a hub for healthcare innovation may trace back to Lane originally coming up with the name “Cure Corridor.” The name arose because it goes to the idea of curing illnesses, rather than just sustaining life with drug therapy, Lane recalls. “At the time we were looking at the healthcare sector in Scottsdale and thinking of ways to brand what we had here, Obamacare was coming through and we were facing some really big challenges,” Lane says. “There was uncertainty over accessibility of care, cost of care and how Obamacare would enhance or damage innovation in healthcare.” Looking for a way to enhance Scottsdale’s healthcare sector and make it a more collaborative group that

could work together and effect a better environment for healthcare, Lane met with representatives from the Translational Genomics Research Institute (TGen), Mayo Clinic and Scottsdale Healthcare (now HonorHealth). “We had healthcare and bioscience companies that are invested here in Scottsdale that work on the genomics side of things,” Lane says. “They are doing research and developing treatments that can reverse genetically induced illnesses and actually effect a cure.” Thus, the Scottsdale Cure Corridor was born. “The work we are doing in the HonorHealth Research Institute is a perfect example of how work in the corridor is finding a cure for disease,” says Jeff Holeman, network director for HonorHealth. “Our research institute is making tremendous progress in clinical trials and drug development aimed at pancreatic cancer, in particular. In fact, the institute is rapidly bringing drugs to market with FDA approval, some in as few as two years when the national average is 15, because of our ability to connect science and care.” Building the brand By branding the cluster as the Cure Corridor, Scottsdale has become a major player in the healthcare sector, attracting and growing some of the most innovative healthcare companies in the nation. “We selected Scottsdale as the location for the hub of our solution development efforts in North America due to both the city’s renewed healthcare and bioscience focus,” according to Wayne Oxenham, president of North American operations for Orion Health, “and the highly-skilled talent pool from nearby Arizona universities which will be essential as we look to expand AB | May - June 2017 61


SCOTTSDALE CURE CORRIDOR

operations over the coming years.” Orion Health recently announced the expansion of its operations and facilities in Scottsdale, creating 800 new jobs that have an average salary of $88,000 per year. “Having so many healthcare companies clustered in one geographic area fosters a spirit of collaboration with each other and between industry and our community,” Oxenham says, “and attracts top healthcare talent from other regions as a hotbed of opportunity.” Healthcare giant McKesson Corp. is another member of the Cure Corridor that is growing its business in Scottsdale. The company is moving into a new regional headquarters this year that could house almost 60 percent more employees than it currently has in Scottsdale. “McKesson has had a strong presence in the Scottsdale area for many years and as we outgrew our current space, it was important to us that we remain in Scottsdale area because of the highcaliber talent, accessible cost of living and business-friendly environment,” says McKesson spokesperson Kristin Hunter. “Our new location will offer our Scottsdalebased employees a new, state-of-the-art facility with enhanced amenities, as well as room to grow in the future.” Growth and innovation seem to be the words that define the Cure Corridor. Recently, Mayo Medical School, in partnership with ASU, received state licensure for an Arizona branch campus inside the Cure Corridor and Gobiquity, a groundbreaking healthcare technology company that introduced the first pediatric mobile vision screening app, relocated and expanded inside the Cure Corridor. “What we a have done is create a brand that has become recognized because of the connection of the folks within the Cure Corridor,” Lane says. “It’s not a real estate deal. People want to be in the Cure Corridor because we have created a probusiness environment that we’ve coupled with a live-work-thrive environment that appeals to the new workforce. The Cure Corridor has become and influential and positive thing that not only benefits residents of Scottsdale, but is impacting the world.” 62

AB | May - June 2017

Jeff Holeman

Kristin Hunter

Jim Lane

Wayne Oxenham

CURE CORRIDOR The City of Scottsdale is home to a vast array of companies and institutions that contribute to the success of healthcare and bioscience activities in the state. From education and research, to medical devices, clinical trials and patient care delivery, the City of Scottsdale Cure Corridor is making a global impact. Here are some of the Cure Corridor’s major players: EDUCATION

Arizona State University (ASU) Department of Biomedical Informatics (BMI) at Mayo Clinic

bmi.asu.edu Arizona Technology Enterprises (AzTE) at SkySong

azte.com Mayo Medical School – Arizona Campus

mayo.edu/education Scottsdale Community College

scottsdalecc.edu SkySong

skysong.asu.edu

GlobalMed

Imaging Endpoints

globalmed.com

imagingendpoints.com

Lattice Biologics

Provista Diagnostics

latticebiologics.com

provistadx.com

Neuromuscular Research Center

Translational Drug Development (TD2)

Pinnacle Oncology

azpoh.com

HEALTH SERVICES Accolade

nrcaz.com

td2inc.com

accolade.com

Radiant Research

Virginia G. Piper Cancer Center at HonorHealth

Centauri Health Solutions

radiantresearch.com HonorHealth Research Institute

honorHhealth.org

MEDICAL DEVICES

Airware Labs

airwarelabs.com NeoLight

theneolight.com GoXtudio

honorhealth.com/medicalcentaurihs.com services/cancer-care

PATIENT CARE DELIVERY Brain State Technologies

brainstatetech.com CVS Health

Gobiquity

gobiquity.com Matrix Medical Network

matrixforme.com

carehealth.com

Magellan Health

HealthSouth Scottsdale Rehabilitation Hospital

magellanhealth.com

goxtudio.com

healthsouthscottsdale.com Orion

speareducation.com

Regenesis Biomedical

HonorHealth

RESEARCH

regenesisbio.com

Healthcare

Spear Education

Array Therapeutic

honorhealth.com Mayo Clinic

mayoclinic.org/Arizona arraytherapeutic.com Wearable Robotics Association (WearRA) wearablerobotics.com Plaza Health Care Blood Systems, Inc. bloodsystems.org Fry Laboratories LLC

frylabs.com

CLINICAL TRIALS

plazahealthcare.com

orionhealth.com RevMD

revmd.com Systems Imagination

systemsimagination.com

Arizona Breastnet LLC Primus Pharmaceuticals ZocDoc

breastnet.com

primusrx.com

zocdoc.com


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ARIZONA ENERGY CONSORTIUM

POW

POSIT 64

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POWER DUO: Chris Davey, president of EnviroMission and principal at Desert Sky Ventures, and Michelle De Blasi, a director at Fennemore Craig, are co-executive directors of the Arizona Energy Consortium PHOTO BY MIKE MERTES, AZ BIG MEDIA

By AZ BUSINESS

T

he last time Az Business magazine sat down to talk with the leaders of the Arizona Energy Consortium (AEC), the organization was still operating under the umbrella of the Arizona Technology Council. A lot has changed since that time. Coexecutive directors Michelle De Blasi — a director at Fennemore Craig — and Chris Davey — president of EnviroMission and principal at Desert Sky Ventures — talk about the changes the AEC has made, its impact on the industry and the state of the energy sector in Arizona.

Az Business: How has the AEC formulated its approach to influencing Arizona’s energy industry? De Blasi and Davey: Established in 2011

as a business consortium to support Arizona’s energy industry, the AEC’s core goals remain to promote policies to strengthen the energy industry, reduce barriers to development and provide a forum for like-minded individuals and companies to network. The AEC was formed to be an active industry participant, as opposed to an academic exercise. One of the most important positive impacts to Arizona’s energy industry is certainty and consistency of policy. The AEC has taken a proactive approach toward this goal. At the AEC’s inception in 2011, Arizona’s solar energy industry was growing quickly. We formulated a Strategic Solar Plan highlight the opportunities and challenges facing the industry. We then worked in collaboration with key stakeholders to develop the Arizona Energy Roadmap, a policylevel business plan for Arizona’s energy industry. The AEC continues to utilize that plan to shape our initiatives and is working on an update to the Roadmap to be released later this year. Over the past six years, the AEC has been established as its own nonprofit entity, and has grown a strong diverse base of members. We continue to influence the growth of the industry by being a voice of reason in an industry that has unfortunately experienced discord among its various factions. Being the most effective advocate does not always mean being the loudest voice in the room or making front page headlines. The AEC is effective because we work with industry leaders and decision makers in an effective way given

WER

TION The Arizona Energy Consortium has a strong outlook after 6 years

AB | May - June 2017 65


ARIZONA ENERGY CONSORTIUM Arizona’s conservative political climate. We have published a Project Development Pathway to help affected stakeholders and decision makers understand the impacts of their decisions on the ability of projects to be realized. Since energy development is economic development, this understanding is critical to ensuring the policies put in place help support continued industry retention and growth. The AEC is proud to continue working with others to build on the foundations of long-term, statewide policies for the energy industry to ensure it is a key economic driver for the state and the region. AB: What impacts has the AEC had on Arizona’s energy industry? DAD: At its core, the AEC is a business consortium. This is

meaningful on several fronts. The AEC provides a collective voice for industry stakeholders, and the ability to share ideas to move the industry forward. Since our members include a broad range of industry experts – from developers to technical consultants, mining companies, financial institutions, manufacturers and service providers – there are many opportunities to collaborate. With the fast-changing landscape of the energy industry, we continuously monitor changing policy and provide our members the opportunity to gain this knowledge and interact with influential speakers and thought leaders within the industry. The AEC is also a robust place for energy industry members to network and grow their businesses. We hold Energy Drinks networking events bimonthly, providing an opportunity for a member company to host the event and speak about its company. Many business deals and relationships are forged at these events. We also invite member companies to speak periodically at our monthly general meetings about their projects, services or technology and lessons learned, giving our members the ability to showcase their companies to an audience of potential customers. This year we will publish our Member Resource Guide, with detailed company-specific information to better enable our members to do more business together. The AEC also serves an important role as a place for new businesses to integrate into the community. This is critical to retention of the businesses we attract to this state. Time and again we hear from companies that they appreciate the ability to network with others in the industry, and offer a feeling of

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community which in the past has been lacking in Arizona. We work with other trade groups to support their initiatives and events, since we feel we all win with a strengthened energy industry. AB: What is the state of Arizona’s energy industry? DAD: Arizona currently has a stable energy industry,

with many opportunities for growth. To the credit of our utilities, we have a strong diverse portfolio that provides reliable, inexpensive power, especially compared to some of our neighboring states. There is tremendous opportunity for Arizona to take advantage of its vast lands, lower electricity rates and less expensive permitting processes to further develop Arizona as a regional hub. These regional opportunities include our neighboring states, as well as Mexico. As energy storage technologies improve, there will be greater opportunities to export power. The energy sector touches many industries and countless aspects of our daily lives. If the sector is considered as an economic driver, this sector more than any other could be used to attract and retain other major industry sectors. To do so successfully requires strong supportive policies as well as a diverse mix of resources desired by industry and consumers. We look forward to exploring the many innovative technologies that will likely change the power industry as we know it. We will continue working to move these conversations forward. A truly sustainable energy industry will need to be diverse, efficient, adaptable and affordable. It must also be realized that the energy industry includes much more than just generation of power – the broader industries that Arizona lobbies to attract are dependent on a strong energy industry that supports the types of generation desired by business and consumers, including renewable energy. The AEC will continue to promote certainty of policies which avoid considering the energy industry in a vacuum and promote the strength of our industry, which ultimately impacts the ability to attract and retain other industries.


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HEALTHCARE ARIZONA ENERGY LEADERSHIP CONSORTIUM

POWER SHOT What are the opportunities for Arizona to service other markets and become a regional hub for energy production and export? By JESSE A. MILLARD

I

f you talk with energy experts in Arizona and across the world, they’ll tell you it’s an exciting time to be in energy. Advancements in solar, storage, smart grid technologies and beyond are making renewable energy cheaper and more innovative. And then there are the increasing renewable energy standards set in California, which is creating huge opportunities for Arizona. In 2015, California’s governor signed a bill which will require energy sellers and publicly owned utilities to get 50 percent of their electricity from renewable energy sources by 2030. According to a progress report by the California Energy Commission, California draws 27 percent of its energy from renewables, with plans to reach 50 percent by 2030. That 27 percent translates to 26,300 Megawatts of renewable energy as of Halloween 2016, according to the report by the California Energy Commission. California’s legislature has even talked about increasing its renewable energy standard to 100 percent. This leaves Arizona in an interesting position. With Arizona’s ample supply of sun, favorable business climate and close proximity to the Golden State, there’s an opportunity for Arizona

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to become an exporter of energy, helping California reach its lofty renewable energy goals. Why stop with California? With Arizona’s large amount of available land, there’s opportunity for the state to export beyond California. As a result, Arizona could become an energy hub, referenced in the same breath as Texas. And that means high-paying jobs, a wider tax base from which the state can draw funds (can you say hello property tax income?) and a more attractive environment to attract new businesses. LOOK BACK TO MOVE FORWARD Arizona has already dabbled in the energy export business. Several out-of-state utilities (from both California and Nevada) have a stake in the Palo Verde Nuclear Generating Station, which has been the largest energy producer in the nation since 1992. And in the early 2000s, investors built large natural gas plants across Arizona, which can export electrons to California when needed, says Brad Albert, general manager of resource management at Arizona Public Service.


Brad Albert

Chris Davey

Michelle De Blasi

More recently, there has been an influx of photovoltaic solar developments popping up in Western Arizona, Albert says. Some of the developments were undertaken by APS to serve its own customers, but there are facilities built here that are currently serving California’s needs, he says. Tom Maples, advanced tech project executive at DPR Construction, says Arizona is well positioned to export energy with current utility lines running between Arizona and California. The land around these transmission lines is valuable too, Maples adds, which has developers looking to position renewable energy facilities near these areas to more easily export energy to California. One challenge, Albert says, lies with the amount of available transmission lines to transport this power from Arizona to customers across state lines, because we will eventually run out of capacity. Transmission lines — or power lines — are what guide the electrons from the generation source to its end user. Maples and Chris Davey, one of the executive directors at the Arizona Energy Consortium, see the current talk in Washington D.C. about infrastructure translating into more transmission lines in Arizona leading out of the state. “(New transmission lines) would support a tremendous opportunity to be able to export and be a regional hub for not only nuclear power, but renewables that could come online and solar projects that could be delivered,” Davey says. “Depending on where we position the assets, there’s definitely an opportunity,” he predicts of Arizona’s chances of becoming a regional energy hub. TALKING ABOUT INFRASTRUCTURE California-based utility California Independent System Operator is already footing the bill for the Ten West Link, a 114-mile transmission line stretching between Arizona and California from the Delaney and Colorado River substations. The 500-kilovolt transmission line will move electrons from Arizona and California, and is expected to be complete and online by 2020. “California saw the advantage of tapping into Arizona’s power supply,” Albert says about the construction of the line. More transmission lines seem to be in high demand. Blair Loftis, vice president and national director of the power generation and transmission sector at Terracon, a siting and design consultancy firm for renewable energy installations, says

Blair Loftis

Tom Maples

states like California and Texas that have over-built renewables are experiencing negative pricing. Negative pricing is when renewable plants such as PV solar generating stations and wind farms are generating enough energy to meet demand, but coal plants are still online, which creates an oversupply. It’s much cheaper for utilities to pay customers to get energy they don’t need than to shut down an entire coal plant, which takes lots of time and money to ramp down and ramp back up once the energy is needed again. Loftis says more transmission lines will help move this excess power to other markets and avoid negative pricing. “If you have a broader market, then you don’t have these isolated markets that are sensitive to these interactions like an influx of renewable energy,” Loftis says. Arizona could be an energy generation hub, Loftis explains, if the market is expanded to California and to other neighboring states. There needs to be more infrastructure investment in transmission lines in Arizona, Loftis says, to make Arizona more capable of moving electrons to its neighbors. The solution to this is the Energy Imbalance Market. Shady day? No wind moving the turbines? That could cause some reliability issues when you rely on solar and wind generation, hence the need for other energy resources in your portfolio. REMOVING THE OBSTACLES An Energy Imbalance Market (EIM) would open up access to many different service territories and regions, Loftis says. An EIM pools electricity generation within a region and dispatches resources. An EIM could moderate the variability of renewable generation resources and electricity demand on a least-cost basis. This could make dependability a non-issue, as well as reducing the possibility of negative pricing. Michelle De Blasi, co-executive director of the Arizona Energy Consortium, says there are already states in the Pacific Northwest talking about joining the EIM, and that’s a big deal. “I think if (Arizona) can get on the same page and open up the markets, we can generate electricity a lot cheaper here,” De Blasi says. And in turn, this would further drive Arizona’s capability of becoming an energy hub. The hope lies with more infrastructure. Otherwise Arizona will be missing out on further energy exporting opportunities. AB | May - June 2017 69


HEALTHCARE ARIZONA ENERGY LEADERSHIP CONSORTIUM

CURRENT EVENTS Innovations in the energy sector are opening up opportunities in Arizona By JESSE A. MILLARD

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any of the innovations happening in the energy sector involve solving intermittency issues brought to the table by renewable energy darlings like photovoltaic solar and wind generation. With photovoltaic solar providing the bulk of its energy during off peak hours and wind turbines unable to generate anything on a windless day, the energy sector has its work cut out for it to improve the reliability of a new generation of energy producers. Energy storage — which has been called the secret sauce to solar — could be the answer to those problems. But energy storage needs to be coupled with smart and micro-grid implementations and, of course, a diverse energy portfolio. “I think now is the time to be investing in alternative technologies that have the ability to deliver what is actually required, as opposed to just deliver based on a mandate or a feel-good exercise,” says Chris Davey, president at EnviroMission, a solar tower developer, and co-executive director of the Arizona Energy Consortium. UNIQUE PLACES, UNIQUE DEALS It’s not as sexy as new ways to power your home, but new types of deal structures and ways of financing projects make energy projects unique and challenging prospects. Not only that, but these new ways to generate power can tie in with the idea of a smart city, where energy

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generation is implemented into various parts of the community. Lynne L’Esperance, associate vice president of power and utilities at Arcadis North America, works with clients on how to convert a distressed or underutilized property into an income (energy) producing asset. Recently, Arcadis worked with a town, developers and a utility to turn a 15-acre landfill into a 2.36-megawatt solar plant, L’Esperance says. The strategic alliance turned the closed landfill into something from which everyone could benefit, as the city leased the land to the solar developers while the utility purchased the power to serve the town. These types of partnerships can turn sites of blight into community assets. At the same time, developers can create assets with dual uses. A simple parking lot can be turned into a solar generator with the implementation of solar shade sites (look no further than ASU’s Tempe campus to see these in action). “Arcadis has been working with clients across the world in this smart city phase where we look at how you can make the most out of assets or potential liabilities that you have,” L’Esperance says. WHAT’S IN THIS SECRET SAUCE? Arizona’s two largest utilities — Arizona Public Service and Salt River Project — are

both very much aware of energy storage innovations and grid improvements. Some of the biggest innovations involve improvement in solar panel efficiency and cost, says Jim Pratt, SRP’s senior director of grid modernization services. The same goes for battery technology, Pratt says. Investments in energy storage, namely battery storage, has been a fastmoving area, as many firms push towards further improvements with storage. A lot of research and development into energy storage has been going on nationally and globally, says Scott Bordenkircher, director of technology innovation and integration at APS. APS is looking into a mix of storage uses both in the home and on a utility scale, Bordenkircher says. The utility has a couple energy storage developments in the works, coming in the form of a four-megawatt battery-based energy storage agreement with AES Energy Storage. Two facilities will be built through the agreement — one in Surprise and another in Buckeye. The battery facilities will deliver solargenerated energy when it’s needed most by customers, which happens to be the time when solar facilities aren’t producing power to meet demand. As a result, reliability issues stemming from solar could be solved by battery, or storage facilities like this.


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HEALTHCARE ARIZONA ENERGY LEADERSHIP CONSORTIUM Although the economics for energy storage are starting to make sense, it’s still expensive to deploy, Bordenkircher says. The technology hasn’t been fully proven yet, either. There are still many different types of energy storage — something Davey says could be good. “It’s never a bad idea to have diversity,” he says. There are also other variables to prove — like best time of use and best dispatch practices for the stored energy, Bordenkircher says. He believes that once we do get to that happy spot with solar storage, it will have a huge impact. “(Energy storage) offers both customers and utilities a variety of different value stacks, in terms of not just meeting energy needs, but also that quality aspect of being able to smooth some of the intermittency being caused by renewables,” Bordenkircher says. MAKE IT SMART, SMALLER AND BETTER Advancements in energy infrastructure have already made considerable gains. The idea of a smart grid is simple automation to the current system. In basic terms, this means instead of having someone flip a switch at a remote location, the switch is now on a control panel. SRP has been testing and reviewing advanced inverters to improve the management of power quality issues, such as voltage that is caused by solar energy, according to Pratt. He says industry results have been positive for this type of technology. Then there’s the micro-grid, which folks

tend to use interchangeably with the idea of a smart grid, says Craig Edgar, head of global renewable energy business at Atkins Global. The micro-grid is a smaller grid that works autonomously from the main grid and is something that some in the industry are deploying right now. One of the more interesting uses of it, Edgar points to, is the aftermath of Hurricane Sandy. After the hurricane hit New York in late 2012, areas of New York that utilized a micro-grid were able to get online much quicker than the rest of the city, which relied on the backbone of the grid to get energy. Edgar says deploying micro-grids has been a real trend when it comes to the security of energy supply. And ultimately a micro-grid can help balance the grid, and be used as a form of energy storage, he adds. APS currently has two micro-grids. One is at the Marine Corps Air Station in Yuma and another is part of a data center in North Phoenix. Albert says when those micro-grids aren’t needed as backup power, the generators that power those pint-sized grids can be used for the benefit of all customers in the area when it comes to energy power and quality. Innovations like these unique solutions make the fights of yesteryear on whether or not to deploy renewable energy seem trivial. It’s a given that all energy forms must be reliable and ready to meet demand. Researchers both at utilities and private companies have been developing innovations to fix issues of unreliability that can be found in popular renewable energy forms.

New energy coming soon to a county near you Atkins Global is currently working with EnviroMission to bring EnviroMission’s solar tower at a commercial level in La Paz County. The solar tower provides solar energy reliably 24 hours a day without the use of water, says Chris Davey, EnviroMission’s president. There have been prototypes of the solar tower completed around the world, but the planned La Paz solar tower will be a first in Arizona, says Craig Edgar, head of the global renewable energy business at Atkins Global.

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Bordenkircher says utilities are pursuing innovation to allow customers to choose which innovations they want to participate in, such as solar rooftop panels and other renewables. “The rooftop panel came before the other side of it, so lots of utilities are jumping in to now try and catch up and make sure they still have the same levels of reliability their systems are known for and need to have, while still enabling customer choice,” he says.

Scott Bordenkircher

Craig Edgar

Lynne L’Esperance

Jim Pratt

The EnviroMission solar tower utilizes thermal energy with the tower designed to provide a constant updraft effect that will draw heated air through turbines at the base of the tower. A large canopy is deployed around the tower, which when heated from solar heat will create hot air that will rise through the solar tower and its surrounding turbines. The taller the tower, the more energy that could be generated from the turbines. The planned implementation of the tower in La Paz would generate 200 megawatts of power, enough to power 150,000 households, making for quite a tall tower to be needed. Edgar says this project has some engineering challenges, but he is very excited about the solar tower.


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ARIZONA TOURISM

Destination for

DOLLARS Smart marketing helps attract more visitors to Valley, while making money materialize By ERIN THORBURN

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he numbers are staggering: $167.8 million, $273.6 million – cha-ching! These numbers do not reflect the accumulation of pennies thrown into a “fun jar.” The first amount is the total economic impact of the 2016 BarrettJackson collector car auction in the Valley. The second number is the economic impact that resulted from hosting the 2016 College Football Playoff National Championship Game at the University of Phoenix Stadium. There isn’t a jar large enough to hold the fruits of labor produced by Visit Phoenix, fellow tourism associations

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and organizations, as well as the innumerable hospitality businesses big and small that continue to help the tourism sector drive Arizona’s economy. There’s a reason why Arizona tourism continues as one of the state’s biggest economic drivers. People love to visit Phoenix because Visit Phoenix loves to entice people to visit. With the help of passionate corporate companies and small-business owners, a wealth of local attractions and entertainment and avid tourism industry promoters, ours is a tourism industry to be reckoned with.


Melissa Gogel

Debbie Johnson

Palo Verde tree, make room for the money tree “In 2015, the most recent year in which we have full data,” explains Debbie Johnson, executive director of the Arizona Office of Tourism, “visitors spent $21 billion in the state. That’s $58 million per day.” As the Barrett-Jackson and college football championship numbers reflect, the numbers for 2016 looks to be similar, or even better in terms of total tourism revenue. And 2017 got off to a fast start with record attendance at the Waste Management Phoenix Open and the Final Four landing in Arizona. “Year over year, Arizona outperformed the national average in every major performance indicator,” Johnson says. Simply looking at Phoenix’s tourism resume from 2015 through our current 2017 makes the billions in revenue more palatable. Together, Phoenix and sister cities have hosted the 2015 Super Bowl, 2016 College Football Playoff National Championship Game, 2017 Final Four, Cactus League baseball, the Fiesta Bowl, Cactus Bowl, numerous big-attendance music festivals and much more. How do you like them marketing apples? What is it exactly, that’s fueling the fire in Phoenix tourism, particularly within the last half decade? One answer: Powerful, strategic marketing. “Visit Phoenix works to ensure that both leisure and business travelers are putting our destination at the top of their travel consideration list,” says Melissa Gogel, vice president of marketing, tourism and communications for Visit Phoenix. “Without these marketing efforts, other ‘sunshine states’ would get our piece of the visitor industry pie.” Visit Phoenix directly contributes to the Phoenix economy, as well as to the overall Arizona economy through its continued

dedication to targeting out-of-state visitors and venues to spend their time and money in the Greater Phoenix area. Gogel further explains that as a result of the ardent marketing and footwork contributed by Visit Phoenix and other tourism entities, Phoenix residents benefit in return. “Not only do tax dollars generated from the tourism industry flow back into city improvement projects and lower taxes, the industry itself is a top job producer in the Valley,” Gogel says. According to Johnson, the travel industry directly accounts for 183,000 jobs in Arizona. This equates to one out of every 20 jobs in Arizona being supported by visitor spending. Moving forward, the continuation of aggressive marketing and remaining competitive is a necessity to ensuring the vitality of the Phoenix economy – a small contention for Visit Phoenix and other tourism-industry leaders in light of the payoff of due diligence. “To fill hotel rooms and keep tax dollars flowing into the state, we have to compete for every vacation decision, every international tour group and every meeting and convention,” Johnson says. Echoing Gogel’s earlier sentiments of competing markets, Johnson adds this cautionary note: “Arizona is an amazing destination, but like every destination, it doesn’t sell itself.” Business booms, but can more be done? There are other means of improving tourism in Phoenix and outlying regions above and beyond marketing, experts say. “The state can help by investing in transportation infrastructure and finding ways to bring new flights to Sky Harbor and neighboring airports, especially international routes,” Johnson says. Reinvestment currently occurring within Phoenix through new hotels, renovations and the establishment of small businesses is something Gogel hopes will continue a spirit of revival and momentum in Phoenix tourism. “With new restaurants, hotels, events and attractions, it’s hard not to be excited when you’re a part of the visitor industry in Phoenix,” Gogel says. “I think that’s what’s most compelling, in addition to Phoenix being such a young, everchanging city. You can see it first-hand with Downtown Phoenix.” AB | May - June 2017 75


ARIZONA TOURISM

Ending on one of the highest notes But it’s not just Phoenix that benefits from the hospitality boom. “Tourism is the only industry in Arizona that positively impacts all 15 counties in the state,” Johnson says. Not a surprise, that exceeding the grandeur and excitement found in downtown dining, cultural and performance offerings of Phoenix, Arizona tourism has tributaries traipsing in and around Monument Valley, the Grand Canyon, resorts, tribal lands, Old West attractions, spring training baseball, Route 66, Arizona lakes, sporting events, golf courses and winter recreation. “How many other states can say they have all that?” Johnson asks. It’s all that and more, for which Johnson, Gogel and other experts in local tourism, feel will continue to make Phoenix — and Arizona as a whole — stand as a contender to reel in more economic prosperity and attract even more tourism dollars, not only from big national markets, but also in top international markets. “We see opportunities in international feeder markets like the U.K., Germany and China,” Johnson says. “Our research shows that travelers view Arizona favorability as a winter and spring destination, and for good reason.” But because of the state’s diverse geography and weather, the tourism season never really ends. That’s a message that Johnson says will become more prominent in 2018, particularly when targeting international visitors, who historically stay longer, venture farther and spend more. And what can we expect to see in the next three to five years? “One thing is certain,” Johnson says, “the way we market Arizona five years from now will be different than how we market it today. As technology continues to change how consumers make travel decisions, we have to be nimble. Consumers decide which new digital platforms are important. Our job is to pay attention, go where the people are, and inspire them.” For now, Gogel and Johnson feel that Phoenix tourism is on solid ground. The only wish Gogel has if she were to have access to a magic Arizona wand: “Have perfect peaktime weather all season round.” Here’s to wishing. 76

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John Alvarado

HOT ATTRACTION:

Arizona Brewery Tours It all started with an amazing beer tour and a background in supporting small businesses. He may have grown up in the big city of San Francisco, but at heart, it was familial advocacy of small businesses that Arizona Brewery Tours Chief Flight Officer John Alvarado remembers fondly from his upbringing. “As an adult, I support local 1,000 percent,” Alvarado says. The proof is in the relationships Alvarado has built with the local breweries and vendors that make Arizona Brewery Tours the success it has become since its conception in 2012. “When we created this business, we thought we were just doing beer tours,” Alvarado says. “We’ve become Arizona ambassadors in tourism.” During an Arizona Brewery experience, visitors will enjoy more than simply a beer tasting and brewery tour. Alvarado and his team offer insight into local restaurants and recreation, too. Best of all, each tour is exclusive and all-encompassing, taking care of essentials, such as safe transportation before and after tours, as well as every other detail to ensure a pleasurable, worry-free experience. Try it out: The “Hop on Tour,” Arizona Brewery Tours’ original and most popular tour, escorting guests to three unique, local breweries of different sizes and tastes, including a full meal along the way. For more information visit AZBrew.com.


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TOURISM TOURISM ARIZONA ECONOMY HOT ATTRACTION:

Arizona Outback Adventures Whether visiting top Arizona destinations for the day, night or during an extended stay, there is a tourism outlet to accommodate all options. Natives and out-of-state travelers can experience anything from a guided rafting tour on the Salt River to road cycling in the Valley of the Sun, to hiking Phantom Ranch in the bottom of the Grand Canyon, among many other outdoor adventure possibilities. “We love enhancing vacation experiences in the Phoenix area,” says Arizona Outback Adventures President and CEO Seth Heald. “We also have a division of our company that focuses on the unique needs of large corporate, incentive and association groups.” Nearly all of AOA’s adventures can be made private and are customizable. There are also outdoor tours for those who brave Arizona’s summer months, like rafting and kayaking tours on the Salt and Verde rivers and stand-up paddleboard tours on Saguaro Lake. Try it out: AOA’s four-day “Guided Escape to Havasupai” allows visitors to enjoy a respite from hiking by taking a plunge into a cobalt pool at the foot of a red sandstone cliff, before settling into a night’s rest at a horse-supported base camp. For more information visit aoa-adventures.com.

BY THE NUMBERS $12.8 billion: Amount Arizona’s tourism industry contributed to the state’s Gross Domestic Product in 2015 $11.8 billion: Dollars spent by visitors at Arizona hotels, local businesses and on transportation $7.8 billion: Amount Arizona’s hotel industry supports in labor income $2.99 billion: Tax revenue generated from Arizona hotels and resorts in 2015 42.1 million: Number of people who visited Arizona in 2015 28 million: Number of guest nights in Arizona in 2015 183,000: Number of jobs supported by Arizona’s tourism industry 95,000: Number of guest rooms in Arizona $1,180: Tax savings for every Arizona household in 2015 thanks to the tourism industry 78

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TOURISM TOURISM ARIZONA ECONOMY

HOT ATTRACTION:

The Duce “Where pretty meets gritty and produce meets prohibition.” I dare you to find a better tagline, especially befitting of a warehouse turned top source of entertainment. True to its roots, The Duce, a Chicago-jazz-club-inspired throwback, is a phantasm of entertainment housed in the original 1928 building that once served as purveyor of produce by day and a speakeasy by night. Former Chicagoans and Duce owners, Andi and Steve Rosenstein, were immediately drawn to this downtown warehouse on the corner of Lincoln Street and Central Avenue. “We purchased the building in 2007, and it took us a few years to figure out what we were going to do,” says Steve Rosenstein. The enchanting echoes of prohibition and popular nightlife’s past, it appears, helped the husband/wife founders develop The Duce into the success it has become. Today, The Duce draws visitors from near and far. Both novices and frequenters of The Duce enjoy the nostalgia of soda fountains, swing dancing lessons, a bonafide boxing ring (available for sparring) and “Duchess” – the 1968 streamline trailer that serves as a kitchen. “We do weddings, bar mitzvahs, parties and host large companies,” Rosenstein says. “The Duce is one of the only places in Downtown Phoenix that can do a convention for four people or 500.” In April, The Duce utilized its 7,000-square-foot parking lot to hold one of the largest Phoenix-style tailgate event for Cubs fans that the city has ever hosted. Try it out: Try the Brisket Sliders and catch an episode of “Diners, Drive-Ins & Dives,” for a glimpse of The Duce, featured regularly as a Triple D all-star guest. For more information visit theducephx.com. 80

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CHATEAU LUX

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TOURISM COMICON ECONOMY

By ERIN THORBURN

I

t took George Lucas years and four drafts before he had a finalized script for “Star Wars: A New Hope.” Writer Jerry Siegel’s early comic submissions of Superman resulted in rejections before eventually being accepted by DC Comics. Producers and audiences initially met iconic sci-fi greats like “Star Trek” and “Dr. Who” with skepticism. What does this have to do with the economic impact of Phoenix Comicon? Hold on to your lightsabers and photon torpedoes, you’re about to find out. The birth of Phoenix Comicon was in a Best Western in Ahwatukee, 2002. Like Lucas, Siegel and many other pioneers of science fiction and fantasty, Phoenix Comicon Creator

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Don’t be too quick to scream out “nerd alert.” Nerds, cosplayers, geeks and gamers pack the restaurants, hotels and local businesses of Phoenix with their lively spirits, costuming and deep pockets. Matt Solberg, founder and CEO of Square Egg Entertainment, began his journey toward success with an idea – or, more specifically, a memory. “He was inspired by the comics he read in his childhood and from the memory of being a comic vendor in his teenage years,” says Phoenix Comicon Marketing Manger Kristin Rowan of Solberg’s inspiration for creating Phoenix Comicon. Could Solberg, like so many other creatives and dreamers, envision the magnitude of economic impact Comicon would have in Phoenix? Unless he had “The Force,” perhaps not. It’s been five years since Comicon’s move from its humble beginnings in the suburbs to Phoenix. Comicon moved to the Glendale Civic Center (2003-2005) to accommodate upwards of 700 attendees. In 2006, the event found a new home at the Mesa Convention Center and hosted 2,600 guests. “By 2010 Phoenix Comicon attendance doubled to more than 14,000,” Rowan says, “and had expanded to a three-day show with a Thursday preview night. Fast forward to 2016 and Phoenix Comicon boasted a record total attendance of 216,219 — 106,096 went to Comicon all four days — with an event consisting of more than 1,000 hours of programming, activities and events. Cosplayers from more than 10 different groups roamed the exhibit hall, which expanded to more than 600 exhibitors. So significant is the local financial revenue of Phoenix Comicon that an economic impact study is currently underway. Although concrete numbers for 2016 are in progress, a previous study reflected that in 2014-2015, Phoenix Comicon produced an economic impact of $10 million a year, which will spike significantly after the dramatic rise in attendance for 2016. “The more popular the event becomes, the more high-profile visitors and influencers are interested in attending,” Rowan says. “The economic impact for

Arizona, Phoenix and specifically the small businesses in the downtown area is considerable, and continues to grow every year.” Previous celebrity guests have included Alex Kingston, Gates McFadden, Christopher Lloyd, Adam West, Stan Lee and a number of high-profile authors, illustrators and comic book creators. This year, visitors can catch a glimpse of Anthony Michael Hall, Joan

Cusack, Curtis Armstrong (“Booger” from “Revenge of the Nerds”), Alan Tudyk, Bonnie Wright and more. The star power, however, is only one component of what attracts attendees to Phoenix Comicon. “Zombie meet-ups,” “Using Cartoons to Teach Relationship Skills,” “Knit and Crochet for Cosplay” and “Table Top World Building” are like a miniscule solar system of events compared with the near infinite universe of sessions AB | May - June 2017 83


TOURISM COMICON

The birth of Phoenix Comicon was in a Best Western in Ahwatukee, 2002.

and panels available to attendees. Don’t be too quick to scream out “nerd alert.” Nerds, cosplayers, geeks and gamers pack the restaurants, hotels and local businesses of Phoenix with their lively spirits, costuming and deep pockets. “Phoenix Comicon reserves room blocks in seven area hotels and many attendees stay in additional locations in the area,” Rowan says. “With 10 to 12 mealtimes during Phoenix Comicon, many attendees venture outside the convention center.” Rowan also explains that many downtown businesses partner with Phoenix Comicon to promote exclusive special rates for Comicon attendees, encouraging residents to explore the dining and recreation options in the vicinity. As for the future of Phoenix Comicon? It might not be on par with Sheldon’s (“Big Bang Theory”) hypothesis of a futuristic “think-a-torium with telepathically controlled flying dolphins,” but as far as economic influence is concerned, it’s safe to say that Phoenix Comicon will “Live long and (the downtown economy will) prosper.” DRESSING UP: While Deadpool costumes were in abundance during Phoenix Comicon 2016, there were many other ultra-popular characters from geekdom in attendance.

MAJOR DRAW: Phoenix Comicon director Matt Solberg wrote in a Facebook post that unique attendance — people who attended all four days — soared to 106,096 in 2016.

PHOTOS COURTESY OF PHOENIX COMICON

Comiconversations Here are five terms to know before going to Phoenix Comicon, which takes place May 25-28 at Phoenix Convention Center. Learn more at phoenixcomicon.com:

Con: (Short for convention) used to reference events like Phoenix Comicon and other SciFi/Fantasy inspired venues.

PCD (Post-Con Depression): A condition in which the return to “normal” life following a Comicon event may cause feelings of sadness and depression. Cosplayers are particularly susceptible.

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Cosplayer (Costume player): refers to an individual, who participates in performance art by wearing costumes and accessories to represent a specific character.

Glomping: The act of expressively charging an individual with a hug. This action is strictly prohibited at Phoenix Comicon (unless both parties consent).

Furry: Describes individuals who favor animal characters that inhibit human characteristics (ex: Zig Zag, an anthropomorphic skunk-tiger).


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ARIZONA STAYCATIONS

Home-grown

getaways Amazing summer staycation deals let residents experience Arizona’s greatest hotels and resorts By ERIN THORBURN

A

rizona is hot in the summer. Very hot. But the staycation deals and packages offered by some of our most beautiful, beloved, picturesque and luxurious resorts and hotels are even hotter. While some scrunch in the car to seek cooler temps and others pay far too much for a flight, you can take advantage of some of Arizona’s finest accommodations. Dip in a pool, float on a lazy river, order some of the best room service this side of the Grand Canyon, swing a golf club and kick back in a cabana. Welcome to staycation summer like you’ve never experienced — right in your own backyard. Here are some of the best staycation deals for 2017, in alphabetical order: 86

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Andaz Scottsdale Resort & Spa The deal: This summer, take the opportunity to visit the Andaz Scottsdale Resort & Spa, Scottsdale’s first new resort in six years. Find more time this summer for endless discovery and limitless adventure with Andaz Scottsdale’s “Stay More, Save More” package. The staycation deal provides greater value with every extra night you stay to allow the time you need to truly get away. Save up to 30 percent and enjoy a discounted resort fee (includes parking) on reservations for two nights or more. How to book: 480-368-1234 or andazscottsdale.com and request offer code AZMORE Arizona Grand Resort & Spa The deal: The Arizona Grand Resort & Spa offers everything locals are looking for in a staycation — suites, seven-acre water park, golf course, spa, on-site dining and more. Staycation deal includes the resort suite king for $119 weekdays/$139 weekends from May 1-June 30. The golf package includes unlimited golf for two players per day and $25 food and beverage credit. How to book: arizonagrandresort.com Boulders Resort & Spa The deal: Rediscover a truly peaceful vacation getaway at the newly-renovated Boulders Resort at low summer rates. From luxurious casita accommodations, a legendary spa, four swimming pools, world-class golf and culinary adventures at the newly designed restaurants, this peaceful paradise offers summer amenities and programs designed for a blissful adult getaway. How to book: 480-488-9009 or theboulders.com

Hermosa Inn

Embassy Suites by Hilton Scottsdale Resort The deal: The hotel features two resortstyle pools, live music poolside on Friday nights, dive-in movies on Saturdays, and a complimentary breakfast and evening reception. Rates start at $99 per night and kids eat free with the purchase of an adult entrée. How to book: scottsdale. embassysuites.com and enter “TBD” in the rate code box or call 480-949-1414 and request the “Suite Retreat” package AB | May - June 2017 87


TOURISM ECONOMY

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A MILLION GALLONS OF WATER YET YOU’LL FLOAT ON AIR.

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Reserve your dolphin experience now: DolphinarisAZ.com | 1-800-92-DOLPHIN

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A UNIQUE PLACE FOR MEETINGS & GROUP OUTINGS

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ARIZONA STAYCATIONS

FOUND:RE Phoenix

Fairmont Scottsdale Princess The deal: From Memorial Day to Labor Day, the Fairmont Scottsdale Princess is celebrating the past 30 years and the next with its Summer Splash Birthday Bash, a cool mix of throw-back, decade-themed pool parties, combined with all-new experiences, making this the playcation destination for families. The Summer Splash Birthday Bash package starts from $169 per night with a $50 daily credit, May 25-Sept. 4. How to book: 480-585-4848 or scottsdaleprincess.com. FOUND:RE Phoenix The deal: The Downtown Staycation Package lets people book a room with late check-out, complimentary valet parking, a $25 food and beverage credit, a healthy welcome cocktail, revitalizing B-complex shots for two and two bottles of FOUND:RE’s “Just Water.” Valid Memorial Day weekend through Labor Day weekend with standard rooms from $159. How to book: 602-875-8000 or foundrehotels.com Four Seasons Resort Scottsdale at Troon North The deal: Make this a summer to remember with a getaway to Four Seasons Resort Scottsdale at Troon North, with weekday rates beginning at $189 per night from June 1-Aug. 31. How to book: fourseasons.com/scottsdale Hermosa Inn The deal: Escape to the Hermosa Inn, a secluded Paradise Valley retreat with enchanting new deluxe casitas and newly-renovated guest casitas. The Summer in Paradise package starts at $139 per night and includes a $25 daily food and beverage credit, two welcome cocktails, daily poolside treats and early check-in/late check-out, based on availability. Offer code is SUMMER. How to book: 602-955-8614 or hermosainn.com 90

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Hilton Sedona Resort at Bell Rock The deal: The Another Day In Paradise package invites Phoenicians to spend a little more time relaxing, exploring and enjoying the myriad of adventures found just outside the resort’s doorstep. Escape the rising Phoenix temperatures and book three nights or more and receive the fourth night free. Summer rates start at $259 per night. How to book: hiltonsedonaresort.com/save/ Hotel Valley Ho The deal: Book the 60th Anniversary Special and enjoy 10 percent off your room, two welcome drinks, $10 in hotel bucks nightly, an evening arrival amenity, and a $10 room upgrade upon arrival (based on availability). Requires prepayment of first night’s room and tax. Reservations cannot be changed or canceled. How to book: hotelvalleyho.com or 480-376-2600 Hyatt Regency Scottsdale Resort & Spa The deal: The property features a 2.5-acre water playground with a sand beach, three-story waterslide, adult pool, Grotto Bar, gondola boat rides, golf, tennis and Spa Avania’s “Salt & Sea” treatment offerings with its special Himalayan Salt Room. From $139-$229 per night, not including tax or resort fee. Ask about the Summer Splash package to receive a $50 resort credit and complimentary self-parking. How to book: 800-55-HYATT, 480-444-1234 or scottsdale. regency.hyatt.com JW Marriott Desert Ridge Resort The deal: The Come to Life Golf Package offers rates from $179 and includes guest room accommodations, unlimited golf for up to four golfers staying in the same room, free kids


E R O M O T

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15 Minutes East of Flagstaff

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ARIZONA STAYCATIONS meals for children 12 and under and 20 percent discount off spa treatments at Revive Spa. The Come to Life Spa Package offers rates from $199 and includes guest room accommodations, one 50-minute Revive massage, free kids meals for children 12 and under, 25 percent discount off additional spa treatments. A $50 resort credit and the resort fee is included with both deals. How to book: jwdesertridge.com

Mountain Shadows The deal: The Stay & Experience Package at the brand new Mountain Shadows in Paradise Valley includes a guest room, a $50 resort credit and two rounds of 18-hole, par-3 golf. Rates start at $199 nightly, plus resort fee. Stay between May 1 and Sept. 30. How to book: mountainshadows.com or 480-624-5400

JW Marriott Starr Pass Resort & Spa The deal: The Margarita Package at JW Marriott Starr Pass Resort and Spa offers rates from $159 and includes guest room accommodations and two specialty, hand-crafted margaritas per night from Signature Grill, Primo or Catalina Barbeque Company. How to book: jwstarrpassresort.com

Omni Scottsdale Resort & Spa at Montelucia The deal: Slumber and Save at Omni Scottsdale Resort & Spa at Montelucia with rates starting from $129. Available for stay dates June 1-Sept. 30. Minimum two-night stay required. Package includes twonight luxury accommodations, 4 p.m. late check-out, $50 poolside credit, complimentary daily and overnight covered parking (savings of $22 per day) and $15 reduced nightly resort charge (savings of $14 per day). How to book: omnihotels.com/hotels/scottsdale-montelucia/ specials/slumber-and-save

Kimpton Hotel Palomar Phoenix The deal: There are a variety of staycation options at Kimpton Hotel Palomar Phoenix this summer, including the Fast Forward to Summer package, which is valid for stays April 4-Sept. 3. The package includes room rates starting from $136 per night, 20 percent off premium rooms and suites and 20 percent off at Blue Hound Kitchen and Cocktails and LUSTRE Rooftop Bar. Use the rate code FFSUM. To book: 602-253-6633 or hotelpalomar-phoenix.com

Pointe Hilton Squaw Peak Resort The deal: Splash into summer at the resort’s four-acre water park featuring a lazy river for tubing, a 130-foot waterslide, three swimming pools, an 18-hole putting course, tennis courts, basketball courts and more. Family-friendly activities include hourly poolside games, dive-in movies, cooking classes, western hoedowns, breakfast with Yote and much more. Rates starting at $119. How to book: squawpeakhilton.com or 800-947-9784

Loews Ventana Canyon Resort The deal: The longer you stay with Loews Ventana Canyon Resort, the more credit you’ll get to spend on meals, snacks or beverages. This deal includes your room accommodations plus a $25 food and beverage credit per night of your stay. So go on, treat yourself. It’s on Loews Ventana Canyon Resort. To book: loewshotels.com/ventana-canyon

Ritz Carlton, Dove Mountain The deal: Stay at Southern Arizona’s only five star/five diamond resort this summer, starting at $159 per night weekdays, $239 weekends. On the menu: three pools, cabanas, a 235-foot water slide and splash pad, golf, spa, food and wine and acclaimed outdoor adventures. How to book: ritzcarlton.com/dovemountain or 800-241-3333 Loews Ventana Canyon Resort

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TOURISM STAYCATIONS ARIZONA ECONOMY Royal Palms Resort and Spa The deal: Luxe Lounging — also listed as Spa and Dine online — offers rates from $189 per night and includes $50 credit to Alvadora Spa and $25 food and beverage credit to T. Cook’s. Booking dates are May 23-Aug. 24, with stay dates from May 23Aug. 31. Use code LLXE. How to book: royalpalmshotel.com Saguaro Scottsdale The deal: The Saguaro Scottsdale is a desert oasis in the heart of Old Town Scottsdale, just steps away from Scottsdale’s best shopping, art and dining. The Locals Staycation Package offers $40 off nightly room rate, $40 food and beverage credit, plus 2 p.m. late check-out, Sunday through Thursday. Offer code is AZLOCALS and Arizona ID required at check-in. How to book: 480-970-4444 or thesaguaro.com/scottsdale Scottsdale Resort at McCormick Ranch The deal: Rock and roll is here to stay and so are Arizona residents looking for a hot summer deal. The Scottsdale Resort at McCormick Ranch, A Destination Hotel, is rockin’ all summer long for locals looking to get away close to home with “Rockin’ Staycations” every weekend May 26 through Labor Day. Book the summer special room rate starting at $99 plus tax and daily $29 resort fee using promo code DDFLT7. How to book: thescottsdaleresort.com

Talking Stick Resort The deal: Talking Stick Resort’s Staycation Package includes rates from $129 and a daily $25 food and beverage credit. While there, guests can partake in an array of exciting amenities, including three pools, a rejuvenating spa, 240,000 square-foot casino and numerous celebrated restaurants and lounges. How to book: talkingstickresort.com or 866-877-9897 The Camby The deal: This summer, The Camby is offering a Dine & Elevate package that is perfect for locals looking to spend the weekend exploring Phoenix or simply enjoy some down time. The package includes accommodation upgrade to a mountain view room based upon availability, $50 food and beverage credit for dinner at Artizen per night and a 50 percent valet parking discount. Rates start at $219 per night and the promo code is D18. How to book: thecamby.com/offers/dine-and-elevate The McCormick Scottsdale The deal: This summer, Buck the Heat at The McCormick Scottsdale with its staycation that includes menu items from $1. Or stay and play with unlimited golf at McCormick Ranch Golf Club. Join The McCormick Scottsdale lakeside and do as much or as little as you desire. How to book: millenniumhotels.com

Andaz Scottsdale Resort & Spa

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TOURISM STAYCATIONS ARIZONA ECONOMY The Phoenician

The Phoenician The deal: Enjoy the celebrated legacy of The Phoenician one last time as public area refurbishments begin, and get a sneak peek at the new, iconic luxury to come this fall. Relax in recently redesigned AAA Five Diamond accommodations at “under renovation” rates starting at a historic $119 per night. How to book: 480-941-8200 and ask for rate plan “Renovate,” or visit thephoenician.com/offers Wild Horse Pass Hotel & Casino The deal: Hotel summer rates at Wild Horse Pass include free poolside entertainment Saturdays and Sundays (steel drums, reggae, etc.), poolside grill, ping pong and giant chess, plus the usual amenities like gaming, restaurants, lounges, fitness room and more. Target audience is 40-something adults looking for a getaway. Rates starting at $69 plus tax and no resort fee. Offer good on stays May 15-Sept. 4. How to book: wingilariver.com/index.php/wild-horse-passhotel-casino/whp-summer-rate

INSPIRING MOMENTS U NSC RI PTED EXPERIENCES Find more time this summer for endless discovery and limitless adventure. Indulge in poolside relaxation with creative cocktails and fun vibes. Uncover a world-class spa that takes your senses on a vacation of their own. With Old Town Scottsdale right in your backyard, you can be away from it all, yet at the center of everything. Enjoy our Stay More, Save More package, which provides greater value with every extra night you stay to allow the time you need to truly get away. Save up to 30% and enjoy a discounted resort fee that includes parking on reservations for two nights or more. FOR RESERVATIONS, CALL +1 480 368 1234 OR VISIT ANDAZSCOTTSDALE.COM AND REQUEST OFFER CODE AZMORE.

Offer valid for reservations made at least three days in advance for stays between 05/12/2017 and 09/09/2017 at Andaz Scottsdale Resort & Spa. Guest must request offer code AZMORE at time of booking. Minimum two night length of stay. The package includes a discounted resort fee of $29, inclusive of parking and other amenities. A limited number of rooms are allocated to this offer; reservations subject to availability. Offer not valid with groups, conventions, other promotional offers, tour packages or special rate programs. Rate is per room, per night, based on double occupancy and excludes service charges, mandatory resort fees, applicable taxes and other incidental expenses. Additional charges may apply for additional guests or room type upgrades. Promotional blackout dates may apply. Hyatt reserves the right to alter or withdraw this offer at any time without notice. The trademarks Hyatt®, Andaz®, and related marks are trademarks of Hyatt Corporation or its affi liates ©2017 Hyatt Corporation. All rights reserved.

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