Annual report 2015 final

2015 Annual Report

BAY AREA HOUSTON ECONOMIC PARTNERSHIP 2015 ANNUAL REPORT

CONTENTS 2016 Leadership Team

2

Letter from our Outgoing Chair

4

Letter from our Incoming Chair

4

The Year in Review State Advocacy

5

Federal Advocacy

7

Storm Surge Protection

8

Regional Development

9

Member Alliances

12

Communication

13

Executive Committee

14

Ex Officio Members Of Executive Committee

16

BAHEP Committees

18

BAHEP Members

19

Fro m t h e p r e s i d e n t Advocacy. Regional development. Member alliances. Communication. These have been our areas of greatest focus during 2015. They are broad categories with many diverse subsets about which you’ll read throughout this report.

Looking back over the eight years that I have been president of BAHEP, our region has been faced with many challenges.

Hurricane Ike. Cancellation of the Constellation Program.

Retirement of the Shuttle Program. Government shutdown.

Biggert-Waters Flood Insurance Act. EPA’s overreach. All of this followed on the heels of one of the worst recessions in our nation’s history.

BAHEP’s slate has been filled over these years with recovery

initiatives as well as efforts to protect families and businesses.

This year has been a bit unusual, since it’s the first year in a long time that we haven’t had a crisis with which to contend.

We’ve been able to fully concentrate on marketing Bay Area Houston as the best place in the country to do business.

There is a building boom in the downstream oil and gas industry along the Houston Ship Channel and beyond, which is creating great jobs now and providing lucrative careers for students who want to pursue jobs in that industry.

cessful SpaceCom event which is highlighted in the following pages.

It’s a great time to live and work in Bay Area Houston, and we are excited to be able to contribute to that growth in a meaningful way.

The commercial space industry is poised to grow regionally, as well, with the new Houston Spaceport and the hugely suc-

Bob Mitchell President Bay Area Houston Economic Partnership

local governments, and educational institutions in southeast Texas to bring about prosperity and a high quality of life for the 800,000 people who live and work in the region. Our members include business partners encompassing 14 cities and Galveston and Harris counties. BAHEP’s municipal

members are Clear Lake Shores, Dickinson, El Lago, Fr iendswood, Houston, Kemah, La Porte, League City, Morgan’s Point, Nassau Bay, Pasadena, Seabrook, Taylor Lake Village, and Webster as well as the Houston Airport System and the Port of Houston Authority.

W h o we a re The Bay Area Houston Economic Partnership, BAHEP, is a member-driven organization that provides the leadership to stimulate regional economic development and employment.

Utilizing a collaborative committee structure, we engage more than 260 investor companies, business professionals,

BAY AREA HOUSTON ECONOMIC PARTNERSHIP

2 0 1 6 L e a d e r s h i p Te a m

John Elbon Chairman

“The test of leadership is not to put greatness into humanity, but to elicit it, for the greatness is already there.”

James Buchanan

BOARD OF DIRECTORS OFFICERS

Chair: John Elbon, Vice President/General Manager, Space Exploration, The Boeing Company Vice Chair: Richard (Rich) Jackson, Director, NASA Programs, Lockheed Martin IS&GS Civil Secretary: Stephen K. Jones, Jr., CEO, Clear Lake Regional Medical Center Treasurer: Jennifer Bowers, Partner, Bowers & Sadler, LLP

Gale E. Burkett, President/CEO, GB Tech, Inc. Brenda Hellyer, Ed.D., Chancellor, San Jacinto College District Lon F. Miller, Senior Vice President/General Manager, Jacobs Bernard A. Milstein, M.D., President, The Eye Clinic of Texas Ellen Ochoa, Ph.D., Director, NASA Johnson Space Center Victor Pierson, President/CEO, Moody National Bank

EXECUTIVE COMMITTEE

BOARD OF DIRECTORS

John Elbon, Vice President/General Manager, Space Exploration, The Boeing Company Dick H. Gregg, Jr., Attorney-at-Law/President, Gregg & Gregg, P.C. Fred B. Griffin, Owner & Chairman, Griffin Partners, Inc. Richard (Rich) Jackson, Director, NASA Programs, Lockheed Martin IS&GS Civil Stephen K. Jones, Jr., CEO, Clear Lake Regional Medical Center Tim Kropp, Executive Vice President, MRI Technologies Ron W. Masters, President, MaximGroup Dennis W. Petersen, President, Lockwood, Andrews, & Newnam, Inc. Jayant Ramakrishnan, Ph.D., COO, Bastion Technologies, Inc. Greg Smith, Ph.D., Superintendent, Clear Creek Independent School District William A. Staples, Ph.D., President, University of Houston-Clear Lake John Wilkins, CEO, CLC Properties

EXECUTIVE COMMITTEE HONORARY CHAIRMAN Frans Gillebaard (1939 - 2013)

Richard (Rich) Jackson Vice Chairman PAGE 2

EXECUTIVE COMMITTEE EX OFFICIO MEMBERS

Jennifer Bowers, Partner, Bowers & Sadler, LLP

Mike Bloomfield, Vice President & General Manager, Oceaneering Space Systems, Inc. Genie Bopp, Vice President, Human Performance & Engineering Division, Wyle STE Group Gale E. Burkett, President/CEO, GB Tech, Inc. Don Burrows, Jr., Senior Vice President, Burrows, Auttonberry & Agol Investment Group of Hilltop Securities Jeffrey E. Carr, Vice President, Aerospace Communications, Griffin Communications Group Brent Cockerham, Market President, Branch Banking & Trust Company (BB&T) Mark Conrad, Owner, Express Employment Professionals Michael L. Cornett, President, Texas Citizens Bank, NA Darren Crowell, President, Cimarron Brian Duffy, Orbital ATK John Elbon, Vice President/General Manager, Space Exploration, The Boeing Company Marcy Fryday, Marketing Director, Lakewood Yacht Club Mike Furin, Vice President, My FlooringAMERICA Mark Gittleman, P.E., Executive Vice President, Intuitive Machines, LLC Lloyd Graham, Superintendent of Schools, La Porte Independent School District

2015 ANNUAL REPORT

2 0 1 6 L e a d e r s h i p Te a m Dick H. Gregg, Jr., Attorney-at-Law/President, Gregg & Gregg, P.C. Fred B. Griffin, Owner & Chairman, Griffin Partners, Inc. Marc Havican, President, Space City Films, Inc. Mike Huss, Senior Vice President, Green Bank Richard (Rich) Jackson, Director, NASA Programs, Lockheed Martin IS&GS Civil Bobbie Jessie, President/CEO, JES Tech Stephen K. Jones, Jr., CEO, Clear Lake Regional Medical Center Don Kelly, Ph.D., President, Encore Business Consulting John Kennedy, Commissioner, Port of Houston Authority Tim Kropp, Executive Vice President, MRI Technologies Katrina Lambrecht, Vice President and Chief of Staff, UTMB Health Beth Lewis, Ed.D., President, College of the Mainland John Martinec, President, AeroSys, LLC Ron W. Masters, President, MaximGroup Robert McAfoos, Director/Program Manager, Barrios Technology Brenda Miller-Ferguson, Publisher, Houston Community Newspapers & Media Group Lon F. Miller, Senior Vice President/General Manager, Jacobs Sergio (Checo) Muniz, President, CYFOR Technologies, LLC Stephanie Murphy, Deputy CEO, MEI Technologies, Inc. Denise Navarro, President, Logical Innovations, Inc. Dan Newman, CEO, Houston Methodist St. John Hospital Dennis W. Petersen, President, Lockwood, Andrews, & Newnam, Inc. Jayant Ramakrishnan, Ph.D., COO, Bastion Technologies, Inc. John Russo, General Manager, Houston Site, UTC Aerospace Systems Darryl E. Smith, ERC Program Manager, ERC, Inc.

Greg Smith, Ph.D., Superintendent, Clear Creek Independent School District RADM Robert Smith, III, USN (Ret.), CEO, Texas A&M University at Galveston William A. Staples, Ph.D., President, University of Houston-Clear Lake Charlie Stegemoeller, Vice President, Program Management, SAIC Jim Sweeney, Owner, Minuteman Press—Bay Area Gwen Wagner, CEcD, CCD, Manager, National Sales ED, CenterPoint Energy John Wilkins, CEO, CLC Properties

Stephen K. Jones, Jr. Secretary

BOARD EX OFFICIO MEMBERS

Jennifer Bowers, Partner, Bowers & Sadler, LLP Chad Burke, President/CEO, Economic Alliance Houston Port Region Mary Alys Cherry, Editor and Publisher, Bay Area Houston Magazine Ruby Cubley, Individual Member Cindy Harreld-DeWease, President/CEO, Clear Lake Area Chamber of Commerce Brenda Hellyer, Ed.D., Chancellor, San Jacinto College District Bernard A. Milstein, M.D., President, The Eye Clinic of Texas Ellen Ochoa, Ph.D., Director, NASA Johnson Space Center Victor Pierson, President/CEO, Moody National Bank Bix Rathburn, Ph.D., Director of Economic Development, Galveston County Mike Shields, Executive Director, Baytown/ West Chambers County Economic Development Foundation Jeff Sjostrom, President, Galveston Economic Development Partnership Steven Skarke, Vice President, Kaneka North America, LLC Michael Sullivan, Harris County Tax Assessor-Collector Hajime “Sam” Suzuki, Vice President, Administration, Kuraray America, Inc.

“Leadership offers an opportunity to make a difference in someone’s life, no matter what the project.”

Bill Owens

Jennifer Bowers Treasurer

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BAY AREA HOUSTON ECONOMIC PARTNERSHIP

L e t t e r f ro m o u r O u t g o i n g C h a i r When I look over my past year as chairman, I am amazed over the breadth and depth of the work that Bay Area Houston Economic Partnership accomplishes. I find this to be true not only this year but every year that I have been associated with this outstanding organization.

In 2015 BAHEP’s initiatives touched on legislative advocacy covering education, commercial space, transportation, storm surge protection, Ellington Field, the Houston Spaceport, the NASA budget, the chemical industry, the Environmental Protection Agency’s standards for clean air, and assistance for small businesses. All of this makes for quite a juggling act, and BAHEP does it well consistently.

The Clear Lake Area Economic Development Foundation, now known as BAHEP, was founded in December 1976. Over the course of 40 years, BAHEP’s area of influence has

grown from a relatively tight knit group within Bay Area Houston to one that extends across both the Atlantic and Pacific oceans. BAHEP has facilitated meetings and tours of the region for delegations from the Netherlands, the U.K. and Germany as well as Japan and India this past year alone. When anyone anywhere needs information about business development opportunities in Bay Area Houston, BAHEP has become the place to go.

I would be remiss if I did not mention my fellow board members. They are engaged, dedicated and the best in their fields of expertise. It has been a privilege to lead such an accomplished group of men and women. I wish them and BAHEP’s incredible members a very prosperous and happy 2016.

Victor Pierson Outgoing Chairman

Victor Pierson President/CEO, Moody National Bank

Letter from our Incoming Chair

John Elbon Incoming Chairman

PAGE 4

I am excited for the Bay Area Houston Economic Partnership and am honored to serve as the chairman of the board in 2016. BAHEP has a long history of accomplishing seemingly insurmountable goals: starting with its original purpose of diversifying the region’s economic base through business recruitment, issue advocacy, and facilitation of business growth. As we embark on the organization’s 40th anniversary, BAHEP is now internationally recognized for its efforts to provide a regional strategy for economic growth.

Much like the business I lead, Boeing Space Exploration, we can’t rest on our laurels. Now is the time to look to the future: the emergence of Ellington’s Houston Spaceport, the new potential from the Panama Canal expansion, mitigating the risk and damage of another hurricane, and having a front row seat to the development of NASA’s programs that will

send humans into deep space.

I plan to keep BAHEP at the forefront of major political issues impacting our community, as well. BAHEP led the charge to support the Export-Import Bank’s reauthorization, storm surge protection, support for NASA, and flood insurance reform. Whether it is tax reform, healthcare costs, public safety, or some unknown issue - BAHEP will be prepared to lead when it comes time.

BAHEP’s greatest asset is its members and partner organizations. When we collaborate to solve issues, there is nothing we can’t achieve.

I look forward to keeping BAHEP at the leading edge of our economic prosperity.

John Elbon Vice President and General Manager Boeing Space Exploration

2015 ANNUAL REPORT

T h e Ye a r i n R ev i e w S t a t e A d vo c a c y Texas’ 84th Legislature convened in January providing the Bay Area Houston Economic Partnership the opportunity to testify before various committees on issues of importance to the region and to inform the legislators about initiatives necessary for regional development.

BAHEP’s Dan Seal testified before the Senate Natural Resources and Economic Development Committee on behalf of the Houston Airport System in favor of Senate Bill 458, in regard to legislation governing spaceports, including the Houston Spaceport. SB 458 passed, was signed by the governor on May 22 and became effective Sept. 1, 2015.

Along with Texas A&M University at Galveston and several mayors from Bay Area Houston, BAHEP testified before the Texas House Committee on Land and Resource Development in support of a coastal spine system to protect families and businesses along the upper Texas Gulf Coast from storm surge.

of important topics including education, commercial space, transportation, small business needs, storm surge protection, maritime jobs, and Ellington Field Joint Reserve Base. During the day-long trip, 18 teams held scheduled meetings with legislators and staff from more than 80 offices to discuss these important priorities.

During the session, Rep. Dennis Paul was instrumental in starting the Aerospace Legislative Caucus and is now the co-chairman of that caucus along with Sen. Eddie Lucio, Jr. The purpose of the caucus is to attract new commercial space business into Texas and help ensure adequate funds for NASA.

The Texas House Ways and Means Committee heard testimony from BAHEP in support of recreational maritime jobs protection.

BAHEP’s Citizens for Space Exploration Committee collaborated with the NASA Johnson Space Center (JSC) Legislative Affairs Office and local aerospace companies to plan Space Day Texas 2015 in Austin, which also occurred during the 84th Legislature. Fourteen teams, consisting of NASA JSC, BAHEP and BAHEP members, met with more than 150 legislators or their staff members to advocate for NASA and its programs.

Additionally, BAHEP, along with the Clear Lake Area Chamber of Commerce and other industry partners, traveled to Austin in February to advocate for economic development priorities. The priorities were contained in a legislative agenda, which BAHEP prepared over several months in advance of the 84th Legislature’s session, and covered a wide range

BAHEP’s Space Alliance Technology Outreach Program (SATOP) and the Texas Aerospace Scholars Internship (TAS) received funding from the legislature in the amount of $711,961 annually. This is great news for small businesses in need of technical expertise derived from the U.S. Space Program, as well as Texas students pursuing STEM careers.

“The Space Legislative Caucus is making an effort to tell other states and other businesses around the country that we want Texas to be the space state,” said Rep. Dennis Paul, who is an engineer by trade. “If you want to operate a space business, come here and let it grow.”

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BAY AREA HOUSTON ECONOMIC PARTNERSHIP

If Houston were a country, it would rank as the 25th largest economy in the world — exceeding Norway and Belgium’s GDP.

PAGE 6

Economic strength and diversity create a foundation for further growth and limitless possibilities. Bay Area Houston and Galveston exemplify the type of business environment that attracts companies from all over the world.

In a state that covers 268,580 square miles, it’s difficult for anyone to fully comprehend what any given region has to offer and the significance of those assets to the State of Texas.

For this reason, BAHEP, in cooperation with NASA Johnson Space Center and the area’s local state delegation, facilitated an inaugural fact-finding tour of the region for five legislators. Sens. Larry Taylor and Sylvia Garcia and Reps. Greg Bonnen, M.D., Dennis Paul, and Wayne Faircloth hosted nearly a 60-member delegation that included state senators, representatives, their chiefs of staff, legislative aides and guests.

The tour included NASA JSC, Galveston National Laboratory, Kemah Boardwalk, Ellington Airport, and a presentation by Texas A&M University at Galveston. The day concluded with the group heading to NRG Stadium for the Houston Livestock Show and Rodeo.

There they were hosted to dinner in the Director’s Club and saw a performance by Alan Jackson, wrapping up a very successful trip.

This fact-finding tour was the first biennial tour that will coincide with each Texas legislative session. The Bay Area Houston/Galveston region’s sizeable economy impacts the entire state. When bills need support to get to the floor of either chamber or when they come up for a vote, it’s crucial that legislators know the economic profile of a region well enough to make informed decisions that will affect all of Texas.

2015 ANNUAL REPORT

Fe d e r a l A d vo c a c y Chemical Industry BAHEP coordinated and attended a meeting between the American Chemistry Council, the East Harris County Manufacturers Association Board of Directors, and Congressman Brian Babin, DDS, on Feb. 17, 2015. The group briefed the congressman on the Shell work stoppage, workforce development issues, updating of the 1973 Toxic Substances Control Act, storm surge suppression efforts, transportation, infrastructure, and the Environmental Protection Agency.

The EPA recently approved / passed a National Ambient Air Quality Standard (NAAQS) for ozone from the previous level of 75 parts per billion down to 70 parts per billion. Many areas of the country have not yet reached the 70 parts per billion level.

BAHEP also met with Congressman Pete Olson to discuss concerns over the EPA’s overreach. Olson introduced the Clean Air, Strong Economies (CASE) Act, H.R. 1388, that would require EPA to protect health AND consider feasibility when issuing rules under the Clean Air Act. On March 10, 2015, Senators Tom Udall (DNM) and David Vitter (R-LA) introduced S.697, legislation to reform the Toxic Substances Control Act for which BAHEP wrote a letter of support.

Aerospace Industry Sen. John Cornyn requested that BAHEP organize a luncheon meeting with BAHEP’s aerospace executives on June 19, 2015.

Cornyn asked the executives to discuss their vision and concerns for NASA’s human space-

flight program in the future. In turn, Cornyn discussed budgetary struggles with the executives. The executives explained how policy changes affect the work process at NASA Johnson Space Center.

Similarly, Congressman Brian Babin, D.D.S. (TX-36), chairman of the House Space Subcommittee, asked BAHEP President Bob Mitchell to arrange a meeting with the organization’s aerospace executives on June, 22, 2015. Rep. Babin got a special insider’s view of how NASA and its contractors work together.

In both meetings, the elected officials and the executives gained a better understanding of obstacles and opportunities facing the space program.

The successful 2015 Citizens for Space Exploration (CSE) trip to Washington, D.C., led by BAHEP, helped to advance support for human space exploration and demonstrate a large, grassroots constituency for space exploration.

The 24th annual trip included 95 travelers, representing 23 states who conducted a record 376 congressional office meetings. The diverse group of travelers included elected officials, 32 university students majoring in engineering or related technical fields of study, industry representatives and community leaders.

At the request of Sen. John Cornyn and Rep. Brian Babin, DDS, BAHEP organized meetings with aerospace executives who explained how policy changes affect the work process at NASA JSC.

Elected officials participating in the congressional meetings were: League City Mayor Tim Paulissen, Houston City Council Member Dave Martin, Nassau Bay City Council Member Jonathan Amdur, Friendswood City Council Member Dr. Pat McGinnis and Seabrook City Council Member Robert Llorente.

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BAY AREA HOUSTON ECONOMIC PARTNERSHIP

S t o r m S u r ge P ro t e c t i o n

In regard to the Coastal Atlas, TAMUG Professor Sam Brody stated, “What I am most proud of is that we have taken just about every possible question someone might have about the Texas coast, and we have produced an answer that is easy to understand.” Brody heads the Center For Texas Beaches and Shores at TAMUG.

Dr. Sam Brody PAGE 8

On Feb. 10, 2015, BAHEP assisted the Texas Chemical Council and the East Harris County Manufacturers Association in organizing a joint meeting to discuss current Texas legislative efforts, regional economic conditions, and industry support for a coastal spine to protect against storm surge. BAHEP arranged for Col. Len Waterworth, USA (Ret.) of Texas A&M University at Galveston, to brief attendees on the Ike Dike Concept. This resulted in the East Harris County Manufacturers Association working on a resolution of industry support for the all-inclusive equitable solution to storm surge. Currently, more than 40 regional cities and organizations have authored resolutions in support of a storm surge protection system.

Dike Concept, down to single parcels of land.

This powerful tool will allow BAHEP and others to present the case for storm surge protection to different groups and legislators in a dramatic and meaningful way.

House Bill 3459, passed by the 83rd Texas Legislature during the regular session, established the Joint Interim Committee to Study a Coastal Barrier System. During Texas’ 84th Legislative Session, the committee, chaired by Sen. Larry Taylor and Rep. Joe Deshotel, was renewed. The committee has been examining the feasibility of maintaining a coastal barrier system in Texas and of authorizing coastal property owners to grant easements to build and maintain stabilized dunes.

BAHEP also participated in a reception on Sept. 13, 2015, for a delegation from the Netherlands Technical University Delft. TAMUG’s Dr. Bill Merrell hosted the reception in Galveston on the seventh anniversary of Hurricane Ike. Merrell, who developed the Ike Dike Concept for coastal storm surge protection, briefed faculty and students from the university on the issues surrounding coastal storm surge protection and his concept. Critical to the realization of a storm surge protection system is the increased cooperation demonstrated in 2015 between research partners TAMUG, Jackson State University, Rice University, the University of Houston and the Netherlands Technical University Delft.

BAHEP’s International Maritime Advisory Committee hosted Texas A&M University at Galveston (TAMUG) Professor Sam Brody, who presented a new tool developed by the Center for Texas Beaches and Shores called the Tri-County Coastal Atlas. The coastal atlas allows the user to simulate flood inundation and estimate damage from several different types of hurricanes. The user is then able to see what the damage would be like with and without a coastal protection system, like the Ike

On April 21, 2015, BAHEP continued its collaboration with the Dutch government by hosting Janneke de Vries and Jan Peelen, who work for the Ministry for Infrastructure and Environment at the Netherlands Embassy in Washington, D.C. BAHEP discussed storm surge protection technologies and programs with de Vries and Peelen and gave a presentation to them on storm surge protection initiatives, including the Ike Dike Concept.

Additionally, Sen. Larry Taylor and Rep. Wayne Faircloth took Texas Land Commissioner George P. Bush on a tour of Galveston Bay to highlight its vulnerability to hurricanes and storm surge. Bush has set coastal protection as one of his top priorities.

2015 ANNUAL REPORT

R e g i o n a l D eve l o p m e n t SpaceCom The inaugural Space Commerce Conference and Exposition (SpaceCom) was held Nov. 1719, 2015, in Houston at the George R. Brown Convention Center. Bay Area Houston Economic Partnership participated in the initial developmental meetings regarding SpaceCom that were held at BAHEP and continued to be engaged in the process throughout the event.

SpaceCom showcased the real, viable links between space technology and Houston’s major industries, according to organizers of the hugely successful event. The five industries targeted by the conference organizers were advanced manufacturing, communications, energy, medical and transportation. Lessons learned and technologies developed in orbit can be very useful to companies on the ground.

SpaceCom brought together experts well versed in the way that technologies developed in space can help build business on Earth.

The SpaceCom conference also featured a Spaceport Summit designed to lay the foundation for an international spaceport network.

Executives from Houston Spaceport and 14 other U.S. and international commercial spaceports met to identify common challenges and brainstorm near-term initiatives, activities and actions to lay the foundation for commerce to flourish across the international network of spaceports.

By the end of the three-day conference, more than 1,700 attendees from 23 countries and 37 states listened to nationally acclaimed speakers, attended informational sessions and walked the lengthy exhibition aisles featuring 100 exhibitors.

Houston Airport System On June 30, 2015, the Federal Aviation Administration announced its approval of the City of Houston’s application for a spaceport launch site license at Ellington Airport. The Houston spaceport license is the 10th awarded by the FAA. BAHEP has been assisting the Houston Airport System in the early planning and future implementation of its Houston Spaceport development plan. BAHEP Special Initiatives Executive Director Dan Seal joined Ellington Airport General Manager Arturo Machuca from April 13-16, 2015, at the 31st Annual Space Symposium in Colorado Springs, Colo., to meet with aerospace companies and explore opportunities surrounding the Houston Spaceport.

Dan Seal and BAHEP Marketing Manager Jimmy Spence met with HAS representatives, Ellington Field Military Operations and other stakeholders, including Rep. Dennis Paul (TX House District 129), over several weeks to develop an application for a State of Texas Defense Economic Assistance Adjustment Grant for Ellington Airport.

The Texas Military Preparedness Commission announced on Dec. 10, 2015, that the grant application was approved. The $3.1 million TMPC grant, along with additional funds from the Federal Aviation Administration and the Houston Airport System, will be used to build a $7.1 million state-of-the-art airport control tower, which is a critical component of demonstrating “local” support for Ellington Airport and the associated military operations as the Department of Defense potentially prepares for another round of base realignment and closures (BRACs).

Johnson Space Center and other NASA facilities, coupled with a large contractor community of over 80 aerospace companies, provide significant access to an existing, robust aerospace community. As part of this flourishing industry, Houston Spaceport will act as an accelerator for innovation and an incubator for growth.

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BAY AREA HOUSTON ECONOMIC PARTNERSHIP

Chef Scotty Campbell of Sweet Marie, Inc., requested assistance from the Space Alliance Technology Outreach Program (SATOP). He needed a -30 degree Celsius packaging system to maintain product integrity for at least 5 to 7 days in order to ship his frozen meal replacement product. SATOP Program Manager Bob Payne (far right) and Project Engineer Richelle Brasher referred Campbell to SATOP Alliance Partner Mike Hamm of es2 technologies (2nd from left) who made recommendations for an effective packaging system that could also be recycled.

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Houston Consular Forum BAHEP hosted the City of Houston’s Consular Forum highlighting Houston’s role in aerospace on Oct. 6, 2015. The event was emceed

by BAHEP’s Dan Seal and featured James Lewis, NASA Johnson Space Center, who spoke about NASA’s current and future missions; Mark Mulqueen from the Boeing Company, who spoke about commercial space; Linda Singleton from Lockheed Martin, who spoke about deep space exploration and the development of the Space Launch System and Orion space capsule; and Pete Fress from the Houston Airport System, who spoke about Ellington Airport, its history and the development of the Houston Spaceport. In attendance at the event were business leaders from various industries and members of the Consular Corps, which included representation from Germany, the Netherlands, Russia, Belarus, South Korea, and China. BAHEP’s Marketing Managers Barbara Cutsinger and Jimmy Spence were in attendance, as well. BAHEP also hosted the Consul General of Japan at the Mayor’s Consular Ball.

Galveston County BAHEP participated in a new economic development strategic planning process with Galveston County. President Bob Mitchell and Executive Director for Special Initiatives Dan Seal presented a county-wide, regional economic development plan to the Galveston County Commissioners Court Workshop on March 21, 2015.

The plan provides an approach to promoting business development and retention in Galveston County; assisting regional entities in developing economic development plans and tools in promoting and encouraging the formation of new business, retention and expansion of existing businesses; and the general diversification

of the economy in the county. BAHEP encouraged the formation of the new Galveston County Council of Economic Developers.

Space Alliance Technology Outreach Program BAHEP administers the Space Alliance Technology Outreach Program (SATOP) that helps entrepreneurs, startups and small manufacturers overcome technical challenges in completing the development of new products and processes by matching them with aerospace engineers who provide technical solutions at no cost. SATOP has worked with and assisted more than 800 small businesses in Texas since its inception 17 years ago thereby creating new jobs and capital investment. One of the leading reasons for startup failures is their inability to resolve technical problems during the development of a new product or processes.

SATOP has submitted a proposal to the Texas Manufacturing Assistance Center (TMAC) for a grant in the amount of $475,000 to cover a three-year program of work leveraging SATOP to support TMAC’s initiatives to significantly increase its client portfolio and increase the number of manufacturer clients in the Texas Gulf Coast Region, state-wide and in small rural areas.

The Economic Development Administration’s “i6 Challenge” funds organizations that help innovators and entrepreneurs turn innovations, ideas, intellectual property, and research into viable, sustainable companies. SATOP has also applied for the i6 Challenge grant in the amount of $500,000 During 2015, 20 small businesses received positive referrals from SATOP, and 17 small businesses received technical assistance from SATOP’s Alliance Partners.

2015 ANNUAL REPORT

BayTech The Bay Area Houston Advanced Technology Consortium (BayTech) was formed by BAHEP and has built a network of partners across multiple industries and academia, creating a resource pool which will be drawn on as collaborations are identified and research funding is pursued. BayTech’s goals are to 1) acquire public and private research and technology development funding for the Bay Area Houston region; 2) secure customers for, and provide simplified access to, NASA Johnson Space Center’s capabilities and facilities through its Space Act Agreement; and 3) pursue partnerships to support technology development.

BayTech executed agreements valued at approximately $455,000 through November of 2015, with another $37,000 pending, utilizing the NASA Johnson Space Center (JSC) Receiving, Inspection, and Test Facility (RITF), Exhibitry and other capabilities.

BayTech closed on a deal with a technology startup offering leased lab space onsite at JSC and continues in discussion with JSC Engineering and Raytheon to offer engineering services and access to the Neutral Buoyancy Lab to the University of Houston Subsea Institute and commercial customers for use in various activities including testing of deep water oil & gas components and water survival training.

BayTech continues to offer NASA JSC Workmanship Training courses to commercial customers, including international ones. BayTech teamed with JSC Engineering and Jacobs to deliver a proposal to Airbus Defense & Space (Houston office) to provide engineering services to perform integration activities for the Orion service module propulsion qualification module. The two proposals are valued at $1,466,163 and $126,432.

BayTech completed a Wagner-Peyser grant that was awarded from the State of Texas in 2015. This grant was a continuation of the 2014 grant and included the training of 21 participants in a cybersecurity and communications curriculum. Among the participants were unemployed military veterans, displaced aerospace workers, and other unemployed.

This training is an intense 320-hour curriculum and includes technical cybersecurity training in the areas of network management and security, IT security, Cisco routing and switching, digital forensics, enterprise computing, SCADA security, cryptography, and design and testing and is delivered by BAHEP’s academic partners – the University of Houston, University of Houston Clear Lake, and San Jacinto College District.

BayTech has been awarded a follow-on Wagner-Peyser grant for 2016 valued at $458,000 to continue its successful cybersecurity training through its academic partners and placement activities; to conduct cybersecurity awareness workshops for industries in the Bay Area Houston region; and to continue its very successful cybersecurity tabletop exercises.

BayTech worked with its partner DB Consulting to complete the refurbishment of the interior of the Space Shuttle replica Independence to meet the Jan. 23, 2016, grand opening of the Independence exhibit at Space Center Houston.

“Of growing concern is the cyber threat to critical infrastructure, which is increasingly subject to sophisticated cyber intrusions that pose new risks. As information technology becomes increasingly integrated with physical infrastructure operations, there is increased risk for wide-scale or highconsequence events that could cause harm or disrupt services upon which our economy and the daily lives of millions of Americans depend.”

Department of Homeland Security

BayTech completed work with DB Consulting in the fabrication and installation of high fidelity replicas of International Space Station (ISS) equipment and experiment racks for an ISS display at the U.S. Space and Rocket Center in Huntsville, Ala. PAGE 11

BAY AREA HOUSTON ECONOMIC PARTNERSHIP

Petrochemical The Bay Area Houston Economic Partnership has been working with the East Harris County Manufacturers Association and several other companies and organizations on a career action platform (CAP) for the petrochemical industry. The platform is a component of JPMorgan Chase’s $250 million investment to fill the gaps of a demand driven workforce that prepares youth and adults for high demand middle skills occupations. It is aligned with regional efforts such as Upskill Houston, the Community College Petrochemical Initiative, and other programs. The platform seeks to fill the skills gap in the downstream petrochemical industry, much of it centered in Bayport and

along the Houston Ship Channel, which has seen cumulative capital investment projects reach over $40 billion and the creation of thousands of new jobs. The number of new jobs, along with a large portion of industry personnel set to retire, has caused companies to rethink their efforts in recruiting and retaining employees.

The CAP is a customized, interactive solution which supports career readiness, exploration, and recruiting. It helps current and potential employees by giving them a resource to see what careers are possible and what specific education and training qualifications they need to land their desired job.

Member Alliances BAHEP continues to partner with the East Harris County Manufacturers Association – EHCMA – on a number of initiatives such as comprehensive storm surge suppression and state and federal advocacy.

BAHEP Committees Much of BAHEP’s success can be attributed to the support provided by its committees, which are outlined on page 18 of this report. Their work touches on each industry sector in the region.

BAHEP’s Small Business Committee helps the organization’s small businesses grow by creating an environment for opportunity and advancement. Some of the meeting topics this year were Marketing Options, The Value of Coming Together, Focus on Execution, Business Disaster, Strategies to make Your Business More Valuable, and Three Nightmares that Keep Business Owners Up at Night.

BAHEP’s Healthcare Committee took an unprecedented number of road trips this year, visiting many of the organization’s healthcare members to learn more about their services.

The committee visited Clear Lake Regional Medical Center, Houston Methodist Saint John

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Hospital, Bay Area Regional Medical Center, UTMB’s Specialty Care Center, Memorial Hermann Southeast Hospital, and Texas Chiropractic College.

It would require a supplemental annual report to address the initiatives of all of the organization’s committees. The Aerospace Advisory Committee, Citizens for Space ExplorationTexas, Education & Workforce Development Committee, Ellington Field Task Force, International Maritime Advisory Committee, Political Protocol Committee, Space Center Volunteers, Team NASA, Annual Quasar Award Banquet Committee and Communications Committee all work to make the Bay Area Houston region the ideal place to raise a family or build a business.

Collaborating with its valued member committees, BAHEP’s advocacy work in support of regional industry sectors at local, state and federal levels has been recognized nationally.

2015 ANNUAL REPORT

Communication “Sharing Our Message” has been an important element of BAHEP’s success for almost 40 years. Through published articles, newsletters, presentations, interviews, and lastly social media, BAHEP effectively utilizes the power of the written and spoken word to convey important information in regard to economic development not only in BAHEP’s service area but well beyond at the state and national levels.

Numerous publications, including the Houston Chronicle, Bay Area Citizen, Pasadena Citizen, Friendswood Journal, Pearland Journal and the Galveston County Daily News, publish BAHEP’s Business to Business update monthly as well as BAHEP news releases. Additionally, Guidry News Service and Bay Area Houston Magazine publish articles on BAHEP initiatives.

Articles published in 2015 included information about the Houston Spaceport, BAHEP’s legislative agenda for the 84th Texas Legislature, high-speed passenger rail between Houston and Dallas, the Port of Houston Authority, Citizens for Space Exploration, SpaceCom, the Export-Import Bank, a career action platform for the specialty chemical industry, and more.

BAHEP’s highly anticipated e-newsletter, The Business Development Update, produced by BAHEP four times a year, is available online and distributed to more than 2,500 commercial brokers, developers, and site consultants.

The Business Development Update includes information regarding commercial, office, industrial, residential, retail and infrastructure development in Bay Area Houston.

Additionally, BAHEP wrote several letters of support that covered issues regarding fair com-

petition between international airlines, funding relief for school districts and community colleges, eliminating the cash sales of regulated metals, and tax rebates on direct investments in technology and communication infrastructure to name a few.

BAHEP President Bob Mitchell often fields requests for interviews from publications across the country. In 2015, topics of discussion included the Houston Spaceport, the Houston economic outlook, the “new space race,” the economic impact of the huge Baybrook Mall expansion, and the Texas aerospace industry for Texas Space Magazine.

Presentations are a mainstay of BAHEP’s communications efforts, and the BAHEP staff gave more than 30 in 2015. BAHEP Marketing Manager Barbara Cutsinger delivered her popular and very informative Hot Projects presentation 10 times throughout the year.

President Bob Mitchell or Dan Seal, executive director for Special Initiatives, gave presentations before the International Economic Development Council, the Houston Chemical Association, the Harris County Mayors’ and Councils’ Association, the Pasadena Rotary Club, Harrisburg Rotary Club, and Seabrook Rotary Club and many others.

BAHEP’s Facebook page has become a destination for people who want to be in the know about what’s happening in Bay Area Houston.

As of mid-December 2015, page likes increased 121.5 percent over 2014 from 1,870 to 4,140. BAHEP’s top posts reached tens of thousands of people, with the #1 post reaching 296,000! BAHEP’s Twitter has also remained a useful, interactive communications tool.

BAHEP gave more than 30 presentations in 2015.

Shown top to bottom are President Bob Mitchell, Marketing Manager Barbara Cutsinger and Dan Seal, executive director for Special Initiatives, BAHEP’s presentation gurus.

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2 0 1 6 E xe c u t i ve C o m m i t t e e John Elbon is vice president and general manager, Space Exploration, a division of The Boeing Company.

He is responsible for the strategic direction of Boeing’s civil space programs and support of NASA programs such as the Space Launch System, International Space Station, and Commercial Crew Development Program. He assumed his current position in 2011. Previously, Elbon served as vice president and program manager for Boeing’s Commercial Programs and as vice president of Systems Integration for the Army’s Future Combat Systems. He holds a bachelor’s degree in Aerospace Engineering from Georgia Institute of Technology.

Dick Gregg, Jr., is president of Gregg & Gregg, P.C., a law firm which represents and advises clients in the areas of municipal, governmental, corporate, employment, real estate, family law and business litigation law. The firm acts as legal advisor or city attorney for multiple local governments. The firm’s attorneys also represent numerous homeowner associations, condominium associations, and town home associations.

Gregg received a bachelor’s degree in government from the University of Texas at Austin where he also earned his law degree. Gregg’s areas of practice include public law, contracts, real estate law, business organizations, condominiums and cooperatives.

Fred B. Griffin is chairman of Griffin Partners. After receiving an MBA degree from the University of Texas, Griffin joined Exxon Company USA. It was there that he began his real estate career with Friendswood Development Company, a subsidiary of Exxon Corporation, one of Houston’s largest real estate developers. Griffin played a key role in the purchase, planning and development of substantial projects throughout the greater Houston area. In 1980, he formed Griffin/Juban Companies, the predecessor to Griffin Partners. The Griffin/Juban Companies, and subsequently Griffin Partners, have built or acquired projects encompassing approximately 10 million square feet with an aggregate value of $1.1 billion.

Richard D. (Rich) Jackson is director of NASA Programs for Lockheed Martin - Information Systems & Global Solutions – Civil. In this capacity, his responsibilities include the integration of 10 programs across four NASA centers and working with a team of approximately 2,000 employees to define growth opportunities in the NASA and adjacent markets. Jackson began his career at NASA where he supported the Space Shuttle Program as a flight director for 15 space shuttle flights. Jackson graduated from Texas A&M University earning a Bachelor of Science in mechanical engineering and is also a member of the Manned Space Flight Education Foundation, Inc. Board of Directors. He has attained certifications as a private pilot, Advanced SCUBA diver, D licensed skydiver, and jumpmaster.

Stephen K. Jones, Jr., is chief executive officer of Clear Lake Regional Medical Center. In that capacity, he works with just under 2,000 employees and 1,200 medical staff members. In the last six years, the hospital has invested over $250 million to enhance the healthcare provided in the Bay Area Houston region. Jones received the University of Houston Clear Lake Distinguished Alumni Award in 2011 and was BAHEP’s chairman in 2013. He and his wife, Yvette, have three boys.

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Timothy C. Kropp is the executive vice president of MRI Technologies. He guides MRI in strategic development and implementation. Kropp came to Houston in 1984 to support the Space Shuttle program and held program responsibilities in the energy industry during his early career. He has served on the Clear Creek Education Foundation, League City Parks board, and undertaken special assignments for Galveston County. He is currently on the Tax Reinvestment 3 board, RNASA Foundation board, and serves on the boards of privately held HP Life Sciences and TNGI. He has been involved with BAHEP since 1996. Community involvement includes several local charities and schools. Kropp graduated from Florida State University earning a Bachelor of Science in Mathematics.

2015 ANNUAL REPORT

2 0 1 6 E xe c u t i ve C o m m i t t e e Ron W. Masters, CIC, is president/CEO, MaximGroup, an insurance and financial services company based in Houston, Texas. As president, Masters oversees all of the company’s operations, including providing commercial insurance, risk management, employee benefits, and other financial services to more than 5,000 clients. A licensed risk manager and Certified Insurance Counselor, Masters serves on the boards of the Bay Area Houston Economic Partnership, the Myron F. Steves Advisory Council and the Bay Area Houston Transportation Partnership. He has previously served as president of the Galveston County Independent Agents Association, chairman of Clear Lake Regional Hospital and board member of Devereux Texas Treatment Network.

Dennis W. Petersen, P.E., is president of Lockwood, Andrews & Newnam, Inc., a full service engineering and architectural firm headquartered in Houston with offices across Texas, the south and west.

Petersen joined LAN in 1980 as a project engineer, where he began to accrue extensive experience in program management, specialized engineering, and strategic planning. In 1997, he was named president and chief executive officer of the firm whose clients represent local, state, and federal government interests and private sector industries. Services include planning, program and construction management, water/wastewater, transit, transportation, energy, and environmental. In 2014, he was also named president of the holding company, Leo A Daly.

Jayant Ramakrishnan, Ph.D., is the chief operating officer (COO) of Bastion Technologies, Inc., a premier engineering company headquartered in Houston, Texas. He serves on the national board of American Institute of Aeronautics and Astronautics (AIAA) and the Executive Committee to the AIAA president. In addition, he serves on three other boards and is a distinguished alumni of the Missouri University of Science and Technology (MST). He has over 25 papers in conferences, journals, and refereed publications and has served as a reviewer for technical journals and international conferences. Dr. Ramakrishnan earned his doctorate in mechanical engineering from the University of Missouri at Rolla (now MST). Locally, he is active with the Texas Multiple Sclerosis (MS) Society (Bike Ride Marshal on MS 150 rides) and several charitable organizations.

Greg Smith, Ph.D., is superintendent of Clear Creek Independent School District. Since 2008, Dr. Smith has led CCISD and its more than 41,000 students and 5,000 staff members. Under his guidance, student performance has increased in all state indicators as well as college entrance exams. Today, CCISD is considered one of the largest high performing school districts in Texas. Dr. Smith was named the Superintendent of the Year in 2012 by the Texas Association of School Boards, the Top Administrator by the Texas Classroom Teachers Association and the Superintendent of the Year by the Texas PTA, both in 2013. Dr. Smith earned his bachelor’s degree in Elementary Education from Oakland University, master’s degree in Education Administration from University of Houston Clear Lake, and his doctorate in Education Administration from Texas A&M University.

William A. Staples, Ph.D., is president of the University of Houston—Clear Lake where he has served since 1995 as its fourth president. Staples was honored in 2003 with the NASA Public Service Medal, in 2008 with BAHEP’s Quasar Award for Economic Development Excellence, and in 2010 with Clear Creek Education Foundation’s George B. Carlisle Award. He served as chairman of BAHEP in 2003 and 2004 when the organization transitioned from CLAEDF to BAHEP. He earned a bachelor’s degree in business administration from Drake University, an MBA from the University of Iowa, and a doctorate in business administration from the University of Houston.

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2 0 1 6 E xe c u t i ve C o m m i t t e e S. John Wilkins, III, has been a member of the BAHEP / CLAEDF team since 1991, representing Loral and Lockheed Martin. He is a former vice president of both companies. Wilkins retired from Lockheed Martin in 2010 and is presently the CEO of CLC Properties. He is a cum laude graduate of Ohio University, with a BS in math-computer science and an MBA. John’s wife, Shari, is an attorney and a graduate of the University of Houston Law Center. Their daughter, Nicole Rose, attends Baylor University, and their son, S.J. Wilkins, IV, attends Texas A&M University's College of Engineering. Wilkins has served on numerous boards in the community and attends Clear Creek Community Church.

Ex Officio Members o f 2 0 1 6 E xe c u t i ve Jennifer Bowers is a partner with the law firm of Bowers & Sadler, LLP. The firm specializes in a variety of legal services aimed at assisting closely-held businesses and their owners with their tax planning, business organization matters, estate planning, and probate matters. Bowers is board certified in tax law by the Texas Board of Legal Specialization.

Gale E. Burkett is the founder and CEO of GB Tech, Inc., which provides science and engineering professionals to government and industry. GB Tech serves clients in the aerospace, energy, homeland security, healthcare, and education sectors. In his role as chief executive officer, Burkett oversees new market development, acquisitions, long-term strategic direction, and the overall vision of the company. Under his leadership, GB Tech has earned numerous awards and recognition. Burkett devotes a large portion of his time and energy to civic and community affairs. He currently serves on the board of directors of several organizations including privately held and non-profit organizations.

Brenda Hellyer, Ed.D., is the fifth chancellor of San Jacinto College (SJC), the eighth largest community college in the state of Texas, and the first woman to hold that office. She began her career at SJC as an inaugural director of the SJC Foundation. In 2000, she was appointed executive vice president for Resource Development and in 2003 vice chancellor for Fiscal Affairs. She served as chief financial officer for five years before serving as executive vice chancellor. Prior to joining SJC, Hellyer worked in the corporate world in accounting. She holds a bachelor’s degree in accounting from Fort Hays State University, an MBA and an Ed.D. in Community College Leadership from the University of Texas at Austin.

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2015 ANNUAL REPORT

Ex Officio Members o f 2 0 1 6 E xe c u t i ve Lon F. Miller is the Jacobs senior vice president and general manager for the Jacobs Clear Lake Group.

He is also the Jacobs NASA business sponsor. He is responsible for all aspects of technical and business leadership of the local Houston workforce numbering more than 1,000 employees involved in almost all aspects of America’s human spaceflight program. Miller is responsible, as well, for overseeing all of Jacobs’ NASA business numbering over 6,000 employees. Over the span of his 35-year career with NASA or as a NASA contractor, he has been involved in nearly every major NASA program and has led activities for Jacobs in Huntsville and Houston that resulted in winning the NASA George M. Low Award two times.

Bernard A. Milstein, M.D., is a nationally recognized ophthalmologist, specializing in laser vision correction, cataract surgery and diseases of the eye. Milstein has performed approximately 15,000 LASIK procedures and has been included yearly in “Best Doctors in America” since 1996. He is a fellow of the American Academy of Ophthalmology and a past president of the Texas Ophthalmological Association.

Milstein is also a community leader and has served as chairman of the BAHEP board, chairman of the Galveston Wharves board, chairman of the board of the Galveston County Health District, as well as on many other boards, committees and associations.

Ellen Ochoa, Ph.D., is a veteran astronaut and the 11th director of NASA Johnson Space Center. She became the first Hispanic woman to go to space when she served on a nine-day mission aboard the space shuttle Discovery in 1993. She has flown in space four times, logging nearly 1,000 hours in orbit. Prior to her astronaut career, she was a research engineer and inventor, with three patents for optical systems.

Ochoa has been recognized with NASA’s Distinguished Service Medal, Exceptional Service Medal, Outstanding Leadership Medal, and four Space Flight Medals. Dr. Ochoa earned a bachelor’s degree in physics from San Diego State University and a master’s degree and doctorate in electrical engineering from Stanford University.

Victor Pierson is president and CEO of Moody National Bank, a former mayor of Jamaica Beach, Texas, a past chairman of the Texas Bankers Association, and a director of the Independent Bankers Association of Texas. He serves on the board of directors of Moody National Bank, Moody Bank Holding Company, Moody Bancshares, Inc., Texas Independent Bancshares-Dallas, Grand Parkway Association, and Gal-Tex Hotel Corporation. Pierson is a past chairman of the United Way of Galveston, a past chairman of the Galveston Chamber of Commerce, and vice chairman of the Galveston Central Appraisal District. He is also a member of the Texas A&M University at Galveston Board of Visitors and previously taught accounting at Galveston College for over 16 years.

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Committees: 2016 Member Opportunities AEROSPACE ADVISORY COMMITTEE — Chair, Bob Mitchell, president, Bay Area Houston Economic Partnership: The AAC’s mission is to promote continuing support and commitment to the space programs and space operations functions being implemented by NASA Johnson Space Center. The AAC recommends and implements initiatives to support the interests of NASA JSC and the local aerospace community.

CITIZENS FOR SPACE EXPLORATION / TEXAS — Chair, Kelly Page, manager, ISS Program Services, Mission and Program Integration Contract, Barrios Technology LTD: The mission of CSE is to promote awareness and advocate support for NASA and America’s Space Exploration Program.

INTERNATIONAL MARITIME ADVISORY COMMITTEE — Chair, Col. Len Waterworth (USA Ret.), executive professor in the Department of Maritime Administration, Texas A&M University at Galveston: The mission of IMAC is to support, advise, and advocate on matters relating to the region’s maritime industry, ports, and supporting intermodal transportation infrastructure and to review and make recommendations on strategic and policy level decisions to improve the overall operating environment.

EDUCATION AND WORKFORCE DEVELOPMENT COMMITTEE — Chair, Harv Hartman, managing partner, Summit Management Group: The EWDC’s mission is to enhance Bay Area Houston’s overall economic development and quality of life by collaborating to create a world-class community offering the best in education and training; advocating for education; sharing best-practices; assisting member organizations to achieve their respective goals; and establishing innovative and effective partnerships.

POLITICAL PROTOCOL COMMITTEE — Chair, Marcy Fryday, marketing director, Lakewood Yacht Club: The PPC’s mission is to provide a forum for discussion, communication and outreach on issues affecting businesses in Bay Area Houston to elected officials, candidates and other key individuals.

SMALL BUSINESS COMMITTEE — Chair, Mark Conrad, owner, Express Employment Professionals: The purpose of the SBC is to help the organization’s small businesses grow by creating an environment for opportunity and advancement.

ELLINGTON FIELD TASK FORCE — Chair, John Martinec, president, AeroSys LLC: The EFTF focuses on retention and expansion of the joint reserve base military presence at Ellington Field.

HEALTH CARE COMMITTEE — Chair, Monica Millican, branch manager, PrimeLending: The HCC’s mission is to encourage collaboration between Bay Area Houston Economic Partnership’s "health care provider" members to improve the health status of our community and to demonstrate the community and economic benefits and quality of the health care industry in our region. The HCC’s specific objective is to maximize the availability of our local health care services, as possible, through partnering and community awareness.

SPACE CENTER VOLUNTEERS — Chair, Joyce Abbey, Employee Communications & External Relations director, SAIC: SCV consists of contract and civil space industry employees working together in the community to improve life on Earth.

TEAM NASA — Chair, Joyce Abbey, Employee Communications & External Relations director, SAIC: As a team comprised of NASA, contractor and community representatives, Team NASA builds a seamless partnership with JSC to enhance employee, contractor and community activities.

ANNUAL QUASAR AWARD BANQUET COMMITTEE — Chair, Marc Havican, president, Space City Films Inc.: The committee plans and prepares for the Annual Quasar Award Banquet held in January. Attended by approximately 650 prominent business leaders and elected officials at the local, state and national levels, this elaborate banquet is a highlight of the year.

COMMUNICATIONS COMMITTEE — Chair, Pat Patton, owner, Born Wild — Innovative Promotions: Engages business leaders in the communications, marketing, journalism, public relations, graphic design and advertising industries to collaborate on public relations projects and events.

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2015 ANNUAL REPORT

BAHEP Members *New Members in 2015 Acadian Ambulance Service Advantage BMW Mini of Clear Lake *The Aerospace Corporation AeroSys, LLC AEXA Aerospace, LLC Airbus DS Space Systems, Inc. Al-Razaq Computing Services All Points Logistics, LLC Allegiance Bank Texas *The AM Agency Amegy Bank of Texas American Acryl AMOCO Federal Credit Union Anadarko Industries, LLC *Aquifer Group, LLC Archer Group with Remax ARES Aerospace and Technology Services Armand Bayou Nature Center *Art of the Meal AT&T *Ayrshire Corporation Barlow Jones, L.L.P. Barrios Technology Bastion Technologies, Inc. Bay Area Houston Magazine Bay Area Houston Transportation Partnership (BAYTRAN) Bay Area Regional Medical Center *Bay Area Surgicare Center Bay Area Turning Point, Inc. Bay Oaks Country Club Baybrook Mall/General Growth Properties, Inc. Bayshore Medical Center Branch Banking & Trust Company (BB&T) Big League Dreams The Boeing Company

Booz Allen Hamilton Born Wild - Innovative Promotions Bowers and Sadler, LLP Burrows, Auttonberry & Agol Investment Group of Hilltop Securities Capital Bank - Pasadena Clear Creek Independent School District CDS Market Research CenterPoint Energy Chemical Process and Production, Inc. Cimarron City of Clear Lake Shores City of Dickinson City of El Lago City of Friendswood City of Houston City of Houston, Houston Airport System City of Kemah City of Kemah/KCDC City of La Porte City of League City *City of Morgan’s Point City of Nassau Bay City of Pasadena City of Seabrook City of Taylor Lake Village City of Webster CLC Properties Clear Lake Area Chamber of Commerce Clear Lake Flowers & Gifts Clear Lake Regional Medical Center Coastal Solutions Coldwell Banker United Realtors College of the Mainland Colliers International Communities In Schools - Bay Area, Inc. *Contract Resource Group

Courtyard By Marriot Houston NASA/Nassau Bay Coventry Development Corporation - Houston Crowder Funeral Homes Ruby Cubley Curran Investment Group of Wells Fargo Advisors CYFOR Technologies, LLC Cypress Bay Subdivision/ Marina Bay Village Shopping Center DB Consulting Group Dean & Draper Insurance Agency, LP Del Papa Distributing Company Devereux Texas Treatment Network Dickinson Independent School District Digitex Corporation DRDA, PLLC Economic Alliance Houston Port Region EduSafe Systems, Inc. Encore Business Consulting ERC, Inc. Express Employment Professionals The Eye Clinic of Texas Falcon Group Fast Signs - Clear Lake Faust Distributing Company, Inc. Friendswood Chamber of Commerce Friendswood Independent School District Frost Bank Galveston County Galveston County Daily News Galveston County Economic Alliance Galveston Economic Development Partnership GB Tech, Inc.

GeoControl Systems, Inc. Global ICS Greater Houston Convention & Visitors Bureau Greater Houston Partnership Green Bank Greer, Herz & Adams, LLP Gregg & Gregg, P.C. Griffin Communications Group Griffin Partners, Inc. GSL Welcome Group, LLC Guardian Anesthesia Services, PLLC Guidry News Service Gulf Coast Educators Federal Credit Union Gulf Coast Limestone, Inc. Gulf Coast Waste Disposal Authority Gulf Coast Yacht Brokers Association Ham, Langston & Brezina, LLP Harris County Hilton Houston NASA Clear Lake Holiday Inn Express Hotel & Suites Houston Space Center HomeTown Bank, N. A. Honeywell Houston Area Safety Council Houston Association of Realtors The Houston Chronicle / Hearst Media Services Houston Community Newspapers & Media Group Houston Methodist St. John Hospital Houston Pediatric Specialty Group, LLC HPP Corp Icon Bank of Texas, N. A. *Intuitive Machines, LLC ITT Technical Institute J&P Technologies J. A. Billipp Company Jacobs PAGE 19

BAY AREA HOUSTON ECONOMIC PARTNERSHIP

BAHEP Members Japan Aerospace Exploration Agency (JAXA) JES Tech John Manlove Marketing & Communications Johnson Traffic Design Joiner Partnership, Inc. JSC Federal Credit Union Kaneka North America LLC Keller Williams Realty Clear Lake Kemah Boardwalk Kuraray America, Inc. Lakewood Yacht Club Landmark Aviation La Porte Independent School District The Law Office of Phil Griffis League City Regional Chamber of Commerce Legacy Port Partners, LLC Lexus of Clear Lake Lockheed Martin Lockwood, Andrews & Newnam, Inc. Logical Innovations, Inc. *Lone Star Flight Museum Lubrizol LYC Concours Corporation Marsh Darcy Partners, Inc. *Marsh & McLennan Agency, LLC MaximGroup McCormick Stevenson Corporation MD Anderson Regional Care in the Bay Area *MDA US Systems, LLC *MDT Financial Advisors, LLC Meador Staffing Services, Inc. *Medistar Corporation MEI Technologies, Inc. Memorial Hermann Southeast Hospital

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Merrill Lynch Mills Shirley L.L.P. Minuteman Press - Bay Area Mobile Studio Technologies, LLC Moody National Bank Mori Associates MRI Technologies *Mutual of Omaha Bank My FlooringAMERICA *NASA Alumni League — JCS Chapter NASA Johnson Space Center National Space Biomedical Research Institute Nestle Waters N.A. Norman Frede Chevrolet Oceaneering Space Systems, Inc. One Stop Tents & Events Orbital ATK PAE Paragon Space Development Corporation Pasadena Independent School District *Pathfinder Development Paul Engineering, Inc. Payne’s Plants Pearland Economic Development Corporation *Pennington Chen Interests, LLC Perry’s Restaurant Group PM Realty Group Port of Houston Authority PrimeLending — A PlainsCapital Company Randall-Porterfield Architects Inc. Raytheon Intelligence, Information and Services Regions Bank *REMAX Space Center Residence Inn by Marriott

The Rothe Companies: Houston Operations *S&K Global Solutions Sage Commercial Group, LLC SAIC San Jacinto College District Savills Studly, Inc. Stinger Ghaffarian Technologies Sierra Nevada Corporation South Shore Harbour Resort & Conference Center Southwest Airlines Company Space Center Houston Space City Films, Inc. SSCI Environmental & Consulting Services Steele Media Services Summit Management Group Teledyne Brown Engineering Terracon Consultants, Inc. Texan Bank Texas A&M University at Galveston Texas Chiropractic College Texas Citizens Bank Thrivent Financial Tommy’s Restaurant Oyster Bar Trustmark National Bank, Texas Twenty Twenty Properties, Inc. TXU Energy UHCL Center - Economic Development & Research United Airlines United Equities, Inc. United Space Alliance Universities Space Research Association - USRA University of Houston University of Houston Clear Lake UTC Aerospace Systems UTMB Health

Vesco Business Products *VMD Systems Integrators, Inc. Voyager at Space Center Water & Power Technologies West Oak Development, Ltd. Whitley Penn Wendell Wilson & Dr. Pat Wilson Wings Over Houston Air Show *Workforce Solutions Wyle STE Group YMCA of Greater Houston Your Printing Now 3coast

Bay Area Houston Economic Partnership 18045 Saturn Lane, Houston, Texas 77058 P.O. Box 58724, Houston, Texas 77258-8724 832.536.3255 www.bayareahouston.com Twitter: @BAHEP Facebook: BayAreaHoustonEcon