Inside Tucson Business 02/15/13

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FIELD OF DREAMS Jack Donavan spent years taking Tucson to the ballpark PAGE 9

Your Weekly Business Journal for the Tucson Metro Area WWW.INSIDETUCSONBUSINESS.COM • FEBRUARY 15, 2013 • VOL. 22, NO. 38 • $1 The 14-story Level, a luxury student housing tower, will shape the future landscape of Tucson’s commercial real estate.

Rio, Tucson make amends Tasks of TCC and downtown hotel remain Page 4

STUDENT HOUSING:

Tomatoes back on the menu Anti-dumping deal ‘bittersweet’ for Nogales Page 6

RISING ABOVE ALL EXPECTATIONS Setting the table

Special Report inside: 2012 Commercial Real Estate

Otis Blank

County, city have renewed interest in economic development Page 15

Arizona DREAMers applying at less than half the rate of U.S. By Connor Radnovich Cronkite News Service Of an estimated 80,000 Arizonans eligible for deferred deportation, 14,069 — about 18 percent — applied for the federal program through its first six months from Aug. 15 to Jan. 17. That rate is much lower than the 43 percent for the nation as a whole. Advocates cite a number of reasons for Arizona’s relatively low application rate, including cost, timing, political uncertainty and Arizona Gov. Jan Brewer’s outspoken opposition to the plan. “There were a lot of things that I think just sort of slowed it down,” said Laura Lichter, president of the American Immigration Lawyers Association. “I don’t see anything sinister here.” The program, unveiled last summer by President Obama, is aimed at illegal immigrants who were brought to the U.S. as children and have stayed out of trouble since. They have to be in school or the military – or have successfully finished one of those – and pay an application fee to qualify. People approved for the program cannot be deported for two years and could apply for a renewed deferral every two years. Supporters insist it is not a path to citizenship, but Brewer immediately attacked it last summer as back-door amnesty and “an outrage.” In August, she said the state would not issue driver’s licenses to program participants. “It was really a mean-spirited attack on the program,” said Alessandra Soler, executive director of the American Civil Liberties Union of Arizona. Brewer’s office did not return requests for comment. But Soler and others said Brewer was only one of the factors that could have suppressed response in Arizona. Regina Jefferies, head of the Arizona chapter of the American Immigration Lawyers Association, said potential applicants may be waiting for comprehensive immigration reform but an even bigger issue could the $465 application fee that low-income families and student cannot afford. Cesar Vargas, executive political director of the DRM Action Coalition, agreed the fee is an issue, but said that could be changing as people donate money to help applicants pay. “The fact that there is talk about comprehensive immigration reform has generated a surge of financial support, legal support for DREAMERs,” he said of the young immigrants the program targets. The number of applicants also appears to be slowing. Of Arizona’s 14,069 applicants, only 1,175 were submitted in the most recent 30-day period from Dec. 13 to Jan. 17.


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InsideTucsonBusiness.com

FEBRUARY 15, 2013

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NEXT GENERATION

Google Business Photos takes you inside from your PC or mobile device a map point to open street views. participating, including Barrio BrewBy Patrick McNamara From there, directional arrows ing and Gentle Ben’s breweries. Inside Tucson Business point to the business where the user “People can go online and see what In the ever-expanding universe of can continue inside and explore. they’re getting,” said Dennis Arnold, owner Google, a new service the Internet comPhotos and pany recently rolled out virtual tours also could prove another useful can be found marketing tool to business. when conducting Google Business Photos a standard Google allows companies to include Web search. In the virtual tours of their facilimiddle column ties through Google Maps next to the search and other platforms. results appears a “Business owners who profile and similar participate in the program search results. benefit by gaining more If a company visibility and exposure on has Google BusiGoogle Maps,” said Kevin J. ness Photos and a Trainor, assistant professor virtual tour, users of marketing at Northern can access it there. Arizona University. “The “I like it content business owners because a lot of provide (i.e., their virtual people can get a tours) ultimatefeel for the place,” ly makes Google Arnold said. Maps more BIZ FACTS He said he valuable than thinks it’s parother mapping Gentle Ben’s Brewing Company ticularly helpful applications. 865 E. University Blvd. D David Krzyzanowski of DizzyPix is one of Google Business to businesses As evidenced P Photos’ trusted photographers for the Tucson region. www.gentlebens.com like restaurants by the recent where the aesthetics of the interior space of Barrio Brewing Co., 800 troubles facing o Barrio Brewing Co. are important to customers, whether it’s to E. 16th St., and Gentle Apple’s attempt E 800 E. 16th St. determine if the décor is to their liking or Ben’s Brewing Company, at rolling out B www.barriobrewing.com if the place is large enough to meet their a mapping 8865 E. University Blvd. needs for a private party or special event. The virtual tours give application, Lazydays Tucson Businesses have to go through a users a 360-degree view of Google Maps is u 3200 E. Irvington Road Google-certifi ed “trusted photographer.” highly regarded tthe interior of a business. www.lazydays.com In Tucson, David Krzyzanowski of Dizby users.” The tours can be found on zyPix is one of the photographers who DizzyPix About vvarious Google products, shoots photos for the virtual tours. 100,000 busissuch as street view maps. www.dizzypix.com “I would think this will become the On Google Maps, a nesses in the norm,” Krzyzanowski said as he set up his participating business U.S. have p camera at Lazydays RV, 3200 E. Irvingis signified by a yellow signed onto ton Road, where he recently took photos dot over its address that’s seen when the service, according to Google. Several Tucson companies are

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17th Street Market to close at end of March The 17th Street Market, open for more than 20 years at 840 E. 17th Street, has announced plans to close by March 31. The company made the announcement in its e-newsletter and website, seventeenthstreetmarket.com. “It has been our pleasure, and our honor, to serve our grocery customers in Tucson for the past 20 years,” Tucson Food Service President and CEO Tom Kusian wrote in the newsletter. “Our loyal customers have enjoyed our eclectic, sometimes exotic, often surprising inventory, and local music and entertainment features over the years, and we want to sincerely thank them for their patronage.” The newsletter goes on to note that the closure comes as a result of the growth of Tucson Food Service’s other divisions, including Tucson Party Rentals. The company announced a 20 percent off sale on all dry grocery goods as it prepares to close the store.

Bourque restructures after CEO’s DUI conviction Bourque Industries, Inc., a Tucson-based company in the process of commercializing its patented Kryron metal-alloying process, announced a restructuring and expansion of its board of directors and appointment of a new interim CEO. Sean Floyd was named CEO and John Bourque, the Founder of the Company and the inventor of its technology, was renamed as chief scientist. The board was expanded from three to five seats. The changes came following Bourque’s conviction on aggravated drunk-driving charges. He faces up to seven years in prison. A sentencing hearing is scheduled for March. Bourque previously spent more than three years in state prison following a 2004 aggravated DUI conviction. Floyd has served as executive vice president for Bourque Industries, Inc. since January of last year.

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PUBLISHER THOMAS P. LEE tlee@azbiz.com

STAFF WRITER PATRICK MCNAMARA pmcnamara@azbiz.com

RESEARCHER JEANNE BENNETT list@azbiz.com

INSIDE SALES MANAGER MONICA AKYOL makyol@azbiz.com

EDITORIAL DESIGNER DUANE HOLLIS dhollis@azbiz.com

EDITOR DAVID HATFIELD dhatfield@azbiz.com

LEGAL REPORTER CELINDA ARGUE cargue@azbiz.com

ART DIRECTOR ANDREW ARTHUR aarthur@azbiz.com

CARTOONIST WES HARGIS

STAFF WRITER ROGER YOHEM ryohem@azbiz.com

WEB PRODUCER DAVID MENDEZ dmendez@azbiz.com

ADVERTISING DIRECTOR JILL A’HEARN jahearn@azbiz.com

CIRCULATION MANAGER LAURA HORVATH lhorvath@azbiz.com

EDITORIAL INTERNS LAUREN SHORES ALEX WAINWRIGHT`

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Inside Tucson Business (ISSN: 1069-5184) is published weekly, 53 times a year, every Monday, for $1 per copy, $50 one year, $85 two years in Pima County; $6 per copy, $52.50 one year, $87.50 two years outside Pima County, by Territorial Newspapers, located at 3280 E. Hemisphere Loop, Suite 180, Tucson, Arizona 85706-5027. (Mailing address: P.O. Box 27087, Tucson, Arizona 85726-7087, telephone: (520) 294-1200.) ©2009 Territorial Newspapers Reproduction or use, without written permission of publisher or editor, for editorial or graphic content prohibited. POSTMASTER: Send address changes to: Inside Tucson Business, P.O. Box 27087, Tucson, AZ 85726-7087.

EDITION INDEX Public Notices Meals and Entertainment Arts and Culture Inside Media Briefs

6 8 8 10 12

Finance Real Estate & Construction Biz Buzz Editorial Classifieds

14 15 16 16 19


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NEXT GENERATION Mexican soccer team to play friendly match here FC Tucson has announced that MLS team Seattle Sounders FC will play Mexico’s Veracruz in a preseason friendly on Friday (Feb 22). The match kicks off at 7 p.m. at Kino North Field 5, at the Kino Sports Complex, 2500 E. Ajo Way. Club Deportivo Tiburones Rojos de Veracruz, also known as Tiburones Rojos de Veracruz, is a Mexican professional soccer club that currently plays in Ascenso MX, Mexico’s second division. The club has won three league titles and one Mexican Cup title. Veracruz is currently second in Ascenso MX. Tickets are on sale at www.fctucson.ticketsocket.com.

BBB warns against phony ACC mailings The Better Business Bureau of Southern Arizona warns area businesses against official looking documents that have been mailed by a company called Corporate Records Service, which has advertised a corporate document filing service for a $125 fee. The documents resemble Arizona Corporation Commission (ACC) filing documents. The ACC says the solicitation is meant to “intentionally create confusion by using language that is similar to that in Corporate Commission documents.” The mailers list a return address of 4802 E. Ray Road in Phoenix, which is the address for a UPS Store. To date neither BBB nor the ACC have been able to identify the individual, or individuals, responsible for the mailer. If your business receives the solicitation the ACC urges you to contact the Arizona Attorney General’s Office at (520) 628-6504, or by visit www.azag.gov to file a complaint.

NEXT GENERATION CONTINUED FROM PAGE 3

for a virtual tour. Krzyzanowski said he’s required to do a series of external photos of a business that can link with the Google street view images. From there, he walks the camera into the establishment, stopping every four feet to take a series of 360-degree images. Only Google-trusted photographers can take the photos for a business because the photographer also has access to the Google site to upload the photos. Bob Grady, general manager of Lazydays, said he decided to use Google Business Photos as a way to expand the dealership’s online presence and to display what he said is the location’s unique features. “There is no other RV dealerDavid Krzyzanowski takes photos for a virtual tour of LazyDays RV. ship that is like this,” the need for professional assistance Grady said. “We’re a destination.” in marketing a company, Trainor Grady said much of the state’s RV busisaid that might not be the case. ness has shifted north, to the Mesa area, “I don’t believe that this service will particularly since Beaudry RV closed. Part diminish the role played by agencies and of what the company wants to do is bring instead it may actually increase demand that business back to Tucson. Google for some,” he said. “Google’s continual Business Photos is a part of that plan. innovations seem to create opportuniThe new Google service also ties for those who can quickly figure it could prove useful to marketall out and simplify it for their customing and advertising companies. ers. The constant change is just too much Even as products like business phofor most business owners to get their tos appear as if they could eliminate

George Comerci, pioneer in UA pediatrics, dies at 81 The University of Arizona Department of Pediatrics has announced that Dr. George Comerci has died. Comerci, 81, died of natural causes on Sunday (Feb. 10). Comerci was one of the founding members of the UA Department of Pediatrics, a past president of the American Academy of Pediatrics and a major figure in the development of adolescent medicine as a pediatric subspecialty in the United States. In 1977, Comerci established the adolescent medicine program at the UA. The UA College of Medicine “George Comerci Visiting Professorship in Adolescent Medicine” was established in 2007 to honor Comerci for these groundbreaking accomplishments. Services will take place on Saturday (Feb. 16) at 10 a.m., at Immanuel Presbyterian Church, 9252 E. 22nd St.

heads around and keep up with – after all, they have enough to worry about.”

Next Generation is a monthly feature of Inside Tucson Business profiling Southern Arizonans on the cutting edge of developing their ideas. If you’ve got an idea or someone you think should be profiled, contact reporter Patrick McNamara at pmcnamara@azbiz. com or (520) 295-4259.

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FEBRUARY 15, 2013

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NEWS

City, Rio Nuevo end dispute, now begin to talk about hotel, TCC fixes Now that an accord has been reached in the feud between the City of Tucson and the Rio Nuevo Multipurpose Facilities District, the long-delayed tasks of fixing the Tucson Convention Center and building a downtown hotel can begin. “We’re certainly encouraged by the news,” said Brent DeRaad, president and CEO of the Metropolitan Tucson Convention and Visitors Bureau. On Feb. 7, city and Rio Nuevo leaders signed an agreement that puts an end to more than two years of disputes over ownership of property and a pair of lawsuits that Rio Nuevo had filed against the city seeking millions of dollars in repayment for years of wanton spending. The agreement sets into motion efforts for Rio Nuevo to begin spending its sales tax proceeds on repairs to the aged Tucson Convention Center and pursue a public-private partnership on a downtown hotel project. Both were hallmarks of the original Rio Nuevo proposal that voters approved in 1999. “In looking at downtown, ideally we should have a true convention center hotel,” DeRaad said. That would be a facility with about 500 rooms and as much 50,000-square feet of meeting space, which could make the region more competitive with other cities in the region in competition for conventions and other events, he said. Rio Nuevo Board Chairman Fletcher McCusker said the district has already been in communication with two or three hotel developers about possible partnerships. “I think we can leverage the little money we have with private investment,” McCusker said. For example, McCusker said, the board could agree to pay the costs of utility infrastructure for a hotel project in the downtown area. The Tucson City Council has to approve any Rio Nuevo expenditure larger than $50,000. Tucson City Councilman Steve Kozachik said he was satisfied with the agreement the parties reached and the opportunity to move forward with real projects. But he cautioned against simply starting to spend money again on ill-conceived Rio Nuevo projects. “I don’t subscribe to ‘build it and they will come,’” Kozachik said. He said people should be mindful of the financial limitations and the size of the Tucson market. “Let’s build for the events that we legitimately have an expectation of hosting,” he said. “We’re not San Diego or Los Angeles.” Using the terminology of the hospitality in-

dustry, Kozachik said Tucson was a SMERF market, which is short for social, military, educational, religious and fraternal. In other words, Tucson is a smaller market and not likely to attract larger conventions common in major markets. Kozachik said a proposal to build a hotel at the Depot Plaza, at Fifth and Toole avenues downtown, could meet the requirements of the new agreement and state law. That plan, a proposal by downtown developer Scott Stiteler, was to build a 130room boutique hotel. “That’s exactly something that we could have a serious conversation about,” Kozachik said. Another possibility for the city and Rio Nuevo would be to reopen talks with HSL Properties, owner of the closed 307-room Hotel Arizona, 181 W. Broadway. Owner Humberto Lopez has tried on numerous occasions to get the city to partner with his company in refurbishing the 39 year-old hotel, which shares a property line

Biz Facts THE DEAL

What The City of Tucson and the Rio Nuevo Multipurpose Facilities District agreed to in their settlement Rio Nuevo • Invest $6 million in Tucson Convention Center upgrades • Invest $1.1 million in Mission Gardens project • Spend $750,000 on downtown streetscape improvements • Pay City of Tucson nearly $2.2 million from unspent 2008 bonds

Good News Take me out to Hi Corbett They won the NCAA College World Series last season, and in pre-season are ranked No. 10 in the USA Today coaches’ poll, No. 14 by the National Collegiate Baseball Writers Association, No. 18 by Collegiate Baseball and No. 24 by Baseball America, but through all that out tonight when the University of Arizona Wildcats take to the field for their season opener at Hi Corbett Field. The game against Coppin State starts at 6 and will include some special celebratory events. Even if you can’t make it tonight, there will be two more opportunities this weekend, at 2 p.m. Saturday and then noon Sunday. Info about the games and promotions is online at www.arizonawildcats.com.

with the TCC. “We certainly think that this opens up a door,” said Omar Mireles, vice president of HSL Properties. But given the previous thwarted attempts, Mireles said the company wasn’t holding out hope. In the meantime, Mireles said they have looked at alternative uses for the closed hotel, including student housing, senior residences or multi-family housing. Kozachik also said that whatever hotel project the city and Rio Nuevo decide to pursue it needs to be privately funded. A proposal from 2010, which the council ultimately rejected, would have had the city assume much of the financial burden to build a $190 million, 500-room hotel in a public-private partnership. “If it’s fully publicly funded,” Kozachik said, “that’s going to be a non-starter.”

The Tucson

INSIDER Insights and trends on developing and ongoing Tucson regional business news.

Contact reporter Patrick McNamara at pmcnamara@azbiz.com or (520) 295-4259.

• Dismiss lawsuits against city. City of Tucson • Pay Rio Nuevo $16 million over 37 years for the Depot Garage • Transfer ownership of Heritage Park property to Rio Nuevo • Affirm Rio Nuevo ownership of Court Avenue Duplex and Church Avenue/ Council Street parking lot. In addition to the explicit terms, the two parties agreed that Rio Nuevo could decide to take title of the so-called Arena Site, an 8.5-acre parcel at Interstate

What TUSD ruling is not Talk about knee-jerk reactions. Insider is hearing far too many jumps to conclusions over federal Judge David C. Bury’s ruling that Tucson Unified School District culturally relevant courses. People from both sides of the argument are interpreting that to mean there could be a reinstatement of the Mexican American Studies Program that previously existed. Except that Judge Bury’s ruling was made as part of the district’s 30-year-old desegregation case and the judge specifically said any courses must comply with state law. In fact, he specifically said his ruling was not about Mexican American Studies. Maybe the first thing TUSD ought to teach people is to read before they leap to conclusions.

10 and Congress Street. If it does so, Rio Nuevo would agree to drop an $894,000 claim for reimbursements related to the property. Rio Nuevo also would be required to pursue development of the site as a hotel, stadium, arena or mixed-use facility. Should Rio Nuevo decline to accept title to the property, the city would keep the parcel and agree to pay the district the $894,000 after a long-term lease for use of the site is agreed to.

Poignant Bear Down

Patrick McNamara

By Patrick McNamara Inside Tucson Business

This Week’s

As part of the agreement, Rio Nuevo would invest at least $6 million in the TCC.

If you’re not a subscriber to University of Arizona Director of Athletics Greg Byrne’s Wildcat Wednesday, you’re missing out on some infectious cheering. Last week’s contained a particularly poignant one as Byrne described going through the mail when he came across a letter and photo from U.S. Air Force Staff Sgt. Brian Williams from Sierra Vista who was desployed to Afghanistan in February 2012. “In his letter he told me that he was tasked out with an Army unit doing clearance of known Taliban points of interest when an IED detonated and he sustained life threatening injuries,” Byrne wrote and then told how Williams went on to describe how much enjoyment he has been getting watching UA athletics, from last summer’s baseball championship to football and now basketball as he recovers at Walter Reed Army Medical Center. It just goes to show how people’s lives can be touched when he might least expect it.


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INSIDE TUCSON BUSINESS

NEWS PUBLIC NOTICES Business bankruptcies, foreclosures and liens recorded in Tucson or Pima County and selected filings in Phoenix. Addresses are Tucson unless otherwise noted.

BANKRUPTCIES Chapter 11 Business reorganization Ocean Sports Inc., doing business as Desert Divers Scuba Center and Worldwide Diving Services Inc., 3110 E. Fort Lowell Road. Principal: Michael Huhn, president. Assets: $172,284.37. Liabilities: $479,250.94. Largest creditor(s): James Delay, c/o Tucson Tractor, $163,500.00. Case No. 4:13-bk01583 filed Feb. 5. Law firm: Eric Slocum Sparks Competition Tire and Service LLC., 1801 E. Fry Blvd., Sierra Vista. Principal: Leandro Guillen, president/ owner. Estimated assets: $50,000 or less. Estimated liabilities: More than $500,000 to $1 million. Largest creditor(s): Schedule not filed. Case No. 4:13-bk01586 filed Feb. 5. Law firm: Eric Slocum Sparks Community Healthcare Of Douglas Inc., doing business as Southeast Arizona Medical Center, 2174 W. Oak Ave., Douglas. Principal: Ann L. Benson, chief executive officer. Assets: $8,904,666.34. Liabilities: $3,446,632.53. Largest creditor(s): Sierra Vista Regional Health Center, Sierra Vista, $2,011,364.33; Medical Diagnostic Imaging Group Ltd., Phoenix, $175,803.32; QHR, Brentwood, Tenn., $166,185.90; Quality Services Inc., Los Angeles, $152,590.85; and Emcare Physician Services Inc., Chicago, $150,685.25. Case No. 4:13-bk01738 filed Feb. 8. Law firm: Michael W. Carmel, Phoenix Community Healthcare Of Douglas Inc., doing business as Southeast Arizona Medical Center, 2174 W. Oak Ave., Douglas. Principal: Ann L. Benson, chief executive officer. Assets: $8,904,666.34. Liabilities: $3,446,632.53. Largest creditor(s): Sierra Vista Regional Health Center, Sierra Vista, $2,011,364.33; Medical Diagnostic Imaging Group Ltd., Phoenix, $175,803.32; QHR, Brentwood, Tenn., $166,185.90; Quality Services Inc., Los Angeles, $152,590.85; and Emcare Physician Services Inc., Chicago, $150,685.25. Case No. 4:13-bk01738 filed Feb. 8. Law firm: Michael W. Carmel, Phoenix

FORECLOSURE NOTICES Integrity Development LLC 216 E. Yavapai Road 85705 Tax parcel: 106-04-085A Original Principal: $30,000.00 Beneficiary: Neil J. Powell, trustee NJP Enterprise Inc. Auction time and date: 11:30 a.m. May 2, 2013 Trustee: Jeffrey S. Katz, 2823 E. Speedway, Suite 201 Integrity Development LLC 5207 and 5209 S. Burke Circle 85706 Tax parcel: 137-07-1160 Original Principal: $33,000.00 Beneficiary: Neil J. Powell, trustee NJP Enterprise Inc. Auction time and date: 11:30 a.m. May 2, 2013 Trustee: Jeffrey S. Katz, 2823 E. Speedway, Suite 201 Vistoso Partners LLC Approximately 48.47 acres at northeast corner of Rancho Vistoso Boulevard and Moore Road and approximately 26.46 acres east of La Canada Drive north of Desert Fairways Drive, Oro Valley 85755 Tax parcel: 219-20-9140, 219-21-627K, 219-21-627M, 219-54-006A, 223-02-010A and 223-02-010B Original Principal: $11,000,000.00 Beneficiary: VP II Loan LLC (71.221%), Trine Holdings LLC (2.894%), Bruce Dennis Buckley and Alvia Virginia Buckley (0.813%), Walter J. Clarke IRA (0.406%), David Furst and Hannah Furst (0.427%), Harvey Golden and Merylee Golden (0.184%), Queen Creek XVIII LLC (4.065%), Lonnie Joel Krueger (0.504%), Maurice J. Lazarus (0.705%) WCL858006 LLC (4.065%), Investor CLOUT (4.065%), William J. Miller and Sandra B. Miller (2.033%), Katalin A. Rader IRA (0.813%), Linda A Reeves (2.106%), Robert G. Roden (1.626%), Susan E. Shipley IRA (0.813%) David Brian Stanton (0.594%) and John C. Vinson and Taeko Vinson (2.064%) Auction time and date: 11 a.m. April 30, 2013 Trustee: Christopher M. McNichol, Gust Rosenfeld, 1 E. Washington St., Suite 1600, Phoenix Vistoso Partners LLC Approximately 988.59 acres of various parcels of vacant land east of Vistoso Boulevard and north of Tangerine Road, Oro Valley 85755 Tax parcel: 219-21-627H and 219-22-4130 Original Principal: $14,300,000.00

Beneficiary: VP 1 Loan LLC (54.011%), Daniel M. Abrams and Audrey Abrams (0.446%), June Behrendt (0.909%), SL Affiliated LLC (3.902%), Bruce Dennis Buckley and Alvia Virginia Buckley (1.355%), Harold J. Christ (2.273%), Tony Christiansen and Jonna Christensen (1.136%), Donald J. Fruchtman IRA (0.727%), DHF Corporation Retirement Trust (0.545%), Robert G. Furst & Associates Defined Benefit Pension Plan (0.909%), David Furst and Hannah Furst (0.175%), Harvey Golden and Merylee Golden (1.736%), Stephen C. Gresser (0.909%), Bear Tooth Mountain Holdings LP (4.545%), Maryanne B. Krueger (0.4555), Maurice J. Lazarus (0.593%), Maurice J. Lazarus Charitable Remainder Annuity Trust (0.903%), WCL857406 LLC (4.545%), Jeanne Lewis (0.909%), Linda Mayne and Stephen Mayne (0.227%), Investor CLOUT (2.727%), William J. Miller and Sandra B. Miller (2.273%), Katalin A. Rader IRA (0.818%), Linda A. Reeves (5.480%), Jayesh K. Shah IRA (0.909%), John K. Solheim and Brooke L. Solheim (0.204%)Jan M. Sterling (4.545%) and Jan M. Sterling IRA (0.834%) Auction time and date: 11 a.m. April 30, 2013 Trustee: Christopher M. McNichol, Gust Rosenfeld, 1 E. Washington St., Suite 1600, Phoenix Koi Enterprises Inc. 715 E. Wetmore Road and 4402, 4404 and 4406 N. First Ave. 85719 Tax parcel: 108-19-019H Original Principal: $1,200,000.00 Beneficiary: Golden Southwest Financial Group Limited Partnership, San Antonio, Texas Auction time and date: 10 a.m. May 2, 2013 Trustee: Fred A. Farsjo, Gabroy Rollman & Bossé, 3507 N. Campbell Ave., Suite 111

LIENS Federal tax liens Cappsco International Corp., 805 S. Park Ave. Amount owed: $16,767.57. AAA Security Products Inc., 4101 S. Sixth Ave. Amount owed: $11,007.61. Chinampa LLC, 718 E. 46th St. Amount owed: $15,682.08. Ground Effects Landscaping Inc., 107 W. Sahuaro St. Amount owed: $9,278.12. M&S Hospitality LLC and Marvin R. Dodd, 5991 S. Placita Picacho. Amount owed: $1,837.72. Tron Mechanical Inc., 2010 W. Cassim Lane. Amount owed: $36,116.67. Perma-Glaze Inc., 1671 S. Research Loop Road. Amount owed: $3,444.57. Kustom Korner Yard Services LLC and Christopher J. Kindler, PO Box 1250, Vail 85641. Amount owed: $15,076.15. CDK Enterprises Inc., 10645 N. Oracle Road, Suite 121319, Oro Valley. Amount owed: $20,955.00. Rebecca Nolen Real Estate PLLC and Rebecca Parinello-Nolen, 688 W. Soaring Hawk Place Oro Valley. Amount owed: $8,190.13. Lynch Automotive Inc., 6847 E. Mary Drive. Amount owed: $1.965.74.

State liens (Liens of $1,000 or more filed by the Arizona Department of Revenue or Arizona Department of Economic Security.) D.J. Williamson Enterprises Inc., 12441 Camino Del Garanon. Amount owed: $95,799.78.

Mechanics liens (Security interest liens of $1,000 or more filed by those who have supplied labor or materials for property improvements.)

Builder Services Group Inc. doing business as Gale Contractor Services Division 10067, 3875 E. Michigan St., against DND Neffson Co., c/o General Growth Properties, PO Box 617905, Chicago, Ill. 60661. Property: 4500 N. Oracle Road #370. Amount owed: $13,111.08.

Release of federal liens Carniceria La Noria and Sanav Associates LLC, 704 E. Prince Road Nelson J. Greer Painting Contractor Inc., 3945 E. Hayhurst Lane A Dream Come True Preschool and Lopez-Fierro Investments LLC, 6163 S. Midvale Park Road Formula I Ltd., 596 E. 23rd St.

Release of state liens PACE Electrical Construction Inc., PO Box 85340, 85745 Vistoso Golf Course LLC, 955 W. Vistoso Highlands Drive, Oro Valley

Tomato accord seen as ‘bittersweet’ By Curt Prendergast Nogales International Nogales produce distributors say they face an uncertain future after the U.S. government reached an agreement with growers and exporters of Mexican tomatoes this month. The U.S. tomato industry, particularly Florida growers, had pressured the U.S. Department of Commerce to reopen an antidumping investigation from 1996, alleging that Mexican growers were selling their product in the U.S. for less than it cost them to produce it. The department’s suggestions that it was sympathetic to the request had some observers raising the specter of a U.S.-Mexico trade war. The agreement that was reached averting a showdown was “bittersweet,” said Lance Jungmeyer, president of Nogalesbased Fresh Produce Association of the Americas (FPAA). “We were enthusiastic that a deal was done, but as time has allowed the details of the deal to settle in, particularly the prices, we really realized that it’s not a great deal, especially for the businesses here in Nogales,” he said. The agreement is still tentative and not scheduled to take effect until March 4. In the meantime the Commerce Department was taking public comment on the proposal up through Monday (Feb. 11). With the agreement, the Department of Commerce plans to put on ice its plans to lift the suspension of the anti-dumping investigation, but it is also raising the minimum price for Mexican tomatoes. Jungmeyer had heard for the past few months that any price increase would be modest, he said. “This is far from modest, this is obscene,” he said of the minimum, or reference prices, established by the new deal. Previous renegotiations of the suspension agreement, in 2002 and 2008, resulted in much smaller price increases, he said. “The prices have gone up a penny, or something in that neighborhood, per pound. This time it’s gone up almost 10 cents a pound” for field tomatoes, he said. During the winter months, which is the busy season for Nogales produce distributors, the $0.21 per pound reference price for tomatoes will jump to $0.31 for open field to-

matoes, $0.41 for “controlled environment” tomatoes, $0.45 for specialty, loose tomatoes, and $0.59 for packed, according to a fact sheet from the International Trade Administration of the Department of Commerce. For summer tomatoes, the reference price will increase from $0.17 per pound to $0.24 for open field, $0.32 for controlled environment, $0.35 for specialty, loose, and $0.46 for specialty, packed. An increase in the price of tomatoes will have a large impact on local distributors, Jungmeyer said, noting that tomatoes make up 32 percent of the produce imported by the more than 100 members of the FPAA. “This town was built on tomatoes. If you see the ability of this town to sell tomatoes drop by 10, 20, or 30 percent, you’ll see a corresponding drop in the ability of these companies to employ people,” he said.

The details According to the Department of Commerce, the proposed agreement: • Applies to all fresh tomatoes imported from Mexico, with the exception of tomatoes to be commercially processed before consumption. • Includes a reporting mechanism requiring quarterly statements be submitted to the Department of Commerce certifying distributors are following the rules of the agreement. • A working group of members drawn from the Mexican government and the tomato industry “will regularly monitor and reconcile Mexican import data and identify and address any inconsistencies and irregularities.” • Tomatoes imported under the agreement must be labeled: “These Tomatoes Were Grown / Exported By a Signatory of the 2013 Suspension Agreement.” Tomatoes grown in Mexico for domestic consumption will be labeled “Prohibida Su Exportacion a los EUA/Not for Export to the United States.” • Intentional violations of the agreement are to be reported to U.S. Customs and Border Protection and will incur a civil penalty of, at minimum, the value of the shipped tomatoes at the reference price. • The agreement has no scheduled termination date.


InsideTucsonBusiness.com

FEBRUARY 15, 2013

7

GOOD BUSINESS TECHNICALLY SPEAKING

What the Cloud is and why you should care You go on a working vacation, take your laptop to the beach to knock off a few projects and are surprised to discover your escape from work is so complete you have no Internet access. There’s no Wi-Fi on the beach and your smartphone connection is too weak to provide a hotspot, so you can’t receive new email or access the thousands of emails, and their attachments, you’ve carefully saved for years. As a result, you can’t get any work done. Welcome to the Cloud! Your assistant makes a disturbing confession. At your direction, she deleted your (former) communication coordinator’s WordPress account last week so he couldn’t try to access the company’s website remotely. The problem is your assistant failed to assign his pages and posts to another account, so the last nine weeks of his website edits are gone! Welcome to the Cloud! You get an emergency call from your security service telling you there’s been a break-in at your office. All vital company files would be gone forever if not for the fact that you run a second backup over the Internet to a server in another city. Welcome to the Cloud!

These examples provide three ways to understand what the Cloud is and why you should care. Not everyone agrees upon the definition of “the Cloud,” but these examples give you a way to DAVE TEDLOCK understand it. First, email. Simply put, email is usually delivered to your computer and/or tablet or smartphone in one of two ways: POP (Post Office Protocol) or IMAP (Internet Message Access Protocol). If you have POP email, (usually called POP3) new incoming email waits for you on a server, but when you download it, your email lives on your computer and/or smartphone. You can file each email and access it regardless of whether you have Internet access. IMAP email works differently though the description here is simplified. IMAP gives you access to your email files from your smartphone, laptop and/or desktop, but your email is stored in the Cloud. In

short, it’s stored on a server somewhere. If you have POP3 email, you can sit on the beach with no Internet access or mobile phone service and read all the email – and all the attachments – you already have on file. The Cloud also matters if you’re involved with a website that uses a Content Management System (CMS). Most websites live in the Cloud. In other words, they are hosted on off-site servers accessed over the Internet. Compare Adobe Contribute with WordPress. Adobe Contribute typically works like this: First, the site is built using Adobe Dreamweaver. A copy of the site is saved on a onsite local computer and also shared over the Internet through Web hosting. People manage the site content using Contribute software installed on their computer. WordPress, on the other hand, is Cloud software. Unlike Dreamweaver or Contribute, WordPress software lives in the Cloud. Its powerful CMS lives on the site itself, also in the Cloud. Edit in Contribute and you (temporarily) have a copy of the website page on your machine. Edit in WordPress and the page you are editing is in the Cloud. In Contrib-

ute, if you save a draft of a page, you save it to your machine. In WordPress, you save a draft to the Cloud. Now, consider the example of the organization suffering from a stolen file server and back-up files. Many small businesses use a file server to manage computer files and back up all those files, perhaps every night, to another computer or external hard drive in the same office. Some businesses, however, run their nightly backups using a Cloud service. New files get copied (updated) over the Internet to a server in some other location. Backing up using the Cloud, assuming the process is set up properly, definitely offers greater protection. Cloud computing extends to dozens of other areas. Whether you plan to get away from it all or thieves get away with all your computers, the Cloud can make a huge difference and give you a sunny outcome.

Contact Dave Tedlock, president of the website development and marketing company NetOutcomes, at dave.tedlock@netoutcomes. com or (520) 325-6900, ext. 157. His Technically Speaking column appears regularly the third week of each month in Inside Tucson Business.


8 FEBRUARY 15, 2013

INSIDE TUCSON BUSINESS

OUT OF THE OFFICE ON THE MENU

ARTS & CULTURE

Gastronomy in a single glass — Violin ‘poet’ performs with Tucson brewers combine it all Tucson Symphony Saturday native mesquites. “There’s something Lovers of craft beer have much to about a natural smoke flavor that you just celebrate in Southern Arizona, and fellow can’t reproduce,” he says. hop-heads have many options to consider Not too far from Borderlands is Barrio when looking for a home-grown ale, lager, Brewing Company, 800 E. 16th porter or stout. But when you St., where owner Dennis Arnold get a closer look at some of the is using spirits and sweets for his beers being drawn from Tucson seasonal inspirations. taps, you might wonder if chefs Last year, Arnold procured are at work alongside the brew several whiskey barrels from the masters to produce what could Jack Daniels distillery in be called gastronomy in a glass. Tennessee, which were still Has craft beer become part of “soaking wet” when they arrived the culinary community? at Barrio. He ultimately used Absolutely, says Myles Stone, them for brewing of his house one of the co-founders of ale, and when the whiskey Borderlands Brewing Company, MATT RUSSELL flavors imparted the beer, Arnold 119 E. Toole Ave., who looks to knew he was on to something, his own back yard for epicurean inspiration. In fact, he has crafted two beers later calling it “the most significant and unique beer that I’ve ever brewed in my 22 with ingredients more common in kitchens years of brewing.” How efficient — a single than in kegs. sip vehicle for a shot and a beer. Made with the fruits from prickly pear For a dessert course, Arnold says cacti, Stone’s Prickly Pear Wheat offers up chocolate and coffee are naturals for beer, “a light wheat flavor and subtle nuances of especially in a dark and creamy brew like a citrus fruit.” Somewhat surprisingly, stout. During the holidays, Arnold’s customthough, since prickly pear is often associated with the sweetness found in its syrups ers delighted in his Mocha Java Stout, featuring high doses of espresso, fat-free and jellies, Stone reports the raw properties Dutch cocoa and lactose which are added to of the desert fruit are not sweet, which he his standard stout recipe, making this, as he says works well in beer. Once the approprisays, “the breakfast beer of champions.” ate balance has been achieved, Stone says If Stone and Arnold keep going down this prickly pear is an ideal companion for road, it’s quite possible we could get all of our soups, salads and cheese. major food groups in a single pint. Cheers! In keeping with his passion for desert vegetation, Stone has used wood from mesquite trees in much the same way a pit Contact Matt Russell, whose day job is master would use it to prepare barbeque. CEO of Russell Public Communications, at His Smoke and Irons is a Scottish ale mrussell@russellpublic.com. Russell is also brewed with mesquite-smoked barley, the host of “On the Menu Live” that airs 4-5 bringing a smoky essence and rich amber p.m. Saturdays on KNST 97.1-FM/790-AM color to the brew. Stone laughs off the and does the Weekend Watch segment of the number of “smoke-enhancing flavor “Buckmaster Show” from noon-1 p.m. products” that are available in the commerFridays on KVOI 1030-AM. cial market, choosing to use wood from

Acclaimed violinist Joshua Bell will play to 5 p.m. Tuesdays through Fridays and 11 a.m. to 4 p.m. Saturdays. in a one-night-only concert with the Tucson Symphony Orchestra at 8 p.m. Saturday (Feb. 16) in the Music Hall at the Tucson Convention Center, 260 When Ballet Tucson anS. Church Ave. Called the “poet nounced its season last year, one of the violin,” Bell, now 45 came event stood out for me above all to national attention when he others: “Passionately Piazmade his Carnegie Hall debut zolla!” It pairs the music of at age 17. Tango godfather Astor Piazzolla, The Tucson concert will with dance, spoken word and include “Overture to The other elements for a truly unique Marriage of Figaro” by Mozart event. There are four perforand “A Midsummer Night’s mances this weekend, at 7:30 Dream Wedding March” and tonight and Saturday night and at “Violin Concerto” by MenHERB STRATFORD 1 p.m. and 5 p.m. Sunday in the delssohn. Temple of Music and Art, 330 S. A few individual seat tickets Scott Ave. Tickets are priced from may still be available, priced from $44 to $35 to $41, buy them online at $69. Buy them through Tucson Symphony’s www.ballettucson.org. website, http://tucsonsymphony.org.

Dance

Art Just in time for La Fiesta de los Vaqueros, the Tucson Jewish Community Center, 3800 E. River Road, has an exhibit of photographs by Edlynne Sillman depicting cowboys and the ranch world. It will be up in the JCC Fine Art Gallery through March 13. Gallery hours are 9 a.m. to 9 p.m. Mondays through Thursdays and 9 a.m. to 6 p.m. Fridays and Sundays. Also new in galleries this week is a show at the Davis Dominguez Gallery, 154 E. Sixth St., of “magic realist” works by painter Susan Conaway and abstract sculpture by John Davis, who has done some signature public art works for the City of Tucson and Tucson International Airport as well as other cities, including Denver and Albuquerque, and commercial clients including Chase Bank. Their show will be up through March 23. The gallery is open from 11 a.m.

Film The fifth chapter of the action movie series “Die Hard” opens this weekend, once again with Bruce Willis. “A Good Day To Die Hard” this time introduces us to Willis character’s grown child for a potential series hand-off. Meanwhile at the Loft Cinema, 3233 E. Speedway, you can catch screenings of the 2013 Oscar nominated short films before the Academy Awards on Feb. 24. The animated, documentary and live action shorts packages will all be screened twice leading up to the awards. Go to www. LoftCinema.com for the details and impress your friends by seeing these excellent films.

Contact Herb Stratford at herb@ ArtsandCultureGuy.com. Stratford teaches Arts Management at the University of Arizona. His column appears weekly in Inside Tucson Business.


InsideTucsonBusiness.com

FEBRUARY 15, 2013

9

REMEMBERING TUCSON

Jack Donovan; a career taking Tucson out to the ball game Editor’s note: This is a special extra edition of Mary Peachin’s monthly feature that usually appears the first week of each month. Growing up on a 20-acre homestead on Staten Island in New York, Jack Donovan remembers, “My parents were dirt poor” but he also has fond memories of his father, John “Jack” Donovan, who loved being a cowboy and enjoyed rodeo calf roping. “My father was an incredible man. Having only a stump for one arm, he did everything one-armed, including playing baseball and roping,” his son recalls, explaining, “When he was a playful eight years old, the Army inadvertently dropped a half-pound shell along a parade route. John and a buddy thought there might be copper inside. When the boys put a hammer and chisel to the shell, it exploded.” Donovan ends the recollection with, “Dad could do anything one-armed.” John Donovan fenced his Staten Island land and repaired an old, heatless home which was shared with an extended family that included Jack’s Aunt Eileen, Uncle Steve and their children Josephine and Steven. “I was the only child,” Donovan says, remembering that his parents told him they had “hit perfection” when he was born. The reaility was that Jack’s birth was difficult for his mother, Edith, who was advised not to have any more children. As he grew up, Jack remembers the farm animals, including chickens and goats and folks driving by just to look at the animals. In the late 1930s, a friend asked John Donovan to go to go Ocala, Fla., to find and establish a ranch. The area in north central Florida was often compared to Lexington, Ky., in terms of horse breeding and cattle ranching. Donovan couldn’t find a property he would recommend there but he did hear about an available place on the eastern slopes of Arizona’s Chiricahua Mountains. Visiting the area, John described a “wonderland of rocks” in a 1938 letter to Edith. He also talked of the “zeal and tenacity” it would take to ranch the area. Fighter planes from Davis-Monthan Airport, as it was called then, would spook the animals while practicing maneuvers. Getting supplies meant trips to Lordsburg, N.M., or Douglas or to Tucson to buy western wear from Porters. John Donovan persisted, running the Z-Bar-T ranch for four years before returning to Staten Island. He would return to Arizona from time-to-time. A talented tenor, he would literally sing for his board and room at the old Santa Rita Hotel. Young Jack Donovan was drafted out of high school by the Los Angeles Dodgers but turned the offer down to accept a full scholarship to Seton Hall University playing both basketball and baseball. He was an NCAA All-American in baseball as a junior.

Ultimately, the decision of whether to make a career dribbling a ball or swinging a bat was made for him when the California Angels picked him in the first round in 1971. After five years MARY L. PEACHIN pitching for the Angels and the Dodgers organizations, Donovan moved to the front office with the Angels. He started in 1976 as assistant general manager of the El Paso BIZ FACTS Diablos minor Jack Donovan holds a Diamondback World Series Ring from VP Rich Dozier, league team and a Major League Baseball left, and Jerry Colangelo, right. year later was Spring Training games. Donovan had an impact banana split that extended between bases. promoted by the Afterward they let 150 children on the field on both MLB franchises in Angels to an • March 17, 1:05 p.m. - Arizona Diamondbacks o vs. San Diego Padres (split squads) who gobbled it up in less than a minute. his five years with them. As h assistant farm For four years, the Toros held a “Jalopy eevidence, he has a 2001 director and • March 21, 1:05 p.m. - Los Angeles Dodgers Night” in which nine cars were given away World Series ring from the vs. Chicago Cubs W assistant scouting — one after each inning — thanks to Diamondbacks and a D director. At 28 Kino Stadium 2500 E. Ajo Way diamond watch he got from dealers Jim Click, R.B. “Buck’ O’Rielly, Paul d years-old he was Buy tickets through the Tucson Padres Weitman, John Matthews and others. tthe White Sox. the youngest Donovan also remembers former Tucson Donovan left Tucson in executive in Major (520) 434-1367 Mayor Jim Corbett and University of Arizona 22005 and went to Portland, League Baseball at basketball coach Fred Snowden sitting Ore., where he was part of an the time. behind home plate and their quite vocal investment group that acquired a struggling At the end of the 1977 season in advice to Toros manager Rich Donnelly. junior ice hockey team, the Winterhawks. After October, Donovan came to Tucson as That prompted Donovan to create “Manager three years rebuilding the team, often using general manager of the Pacific Coast for the Night” promotion in which fans were promotion techniques adapted from minor League Tucson Toros, which was then a invited to apply by explaining why they league baseball, the investment group sold the farm club for the Texas Rangers. hockey team and Donovan returned to Tucson. thought they were qualified. The Toros’ ownership group, which Among his latest endeavors, in 2012 The winning managers signed a included homebuilder Bill Estes, Davis Donovan joined the sports agency Bomone-game contract, were paid $100 and Burke (baseball player Ron Hassey’s father bastic Industries Group (B.I.G.), heading were required to give a pre- and post-game in law) and eight or nine others, wanted to up the baseball division. Among his news conference. do a lot of promotions during the games. Donovan remembers the first “Manager “‘We want to have fun and have this field projects is bringing teams from Asian countries to Tucson for spring training. So for the Night,” Art Lundenberg, “was so ‘rock,’ the money is secondary’,” Donovan far, most of the success has been in nervous that he tripped coming out of the recalls being told. bringing in teams from South Korea. The dugout on his way to the pitcher’s mound. The public address announcer was local Hanwha Eagles will wrap up their six-week We were playing the Albuquerque Dukes radio announcer Bob Lee, who at the time stay next week and the NC Dinos, an managed by Del Crandall, a former big worked for the company that had just expansion team that will start playing this league player. Years later Art called to tell launched top 40 station KRQ. One day me that his house burned. He risked his life Donovan heard Lee promote a new song by year in Korea, is in Tucson until March 5. Donovan also continues to work with teams to run back to rescue his scrap book.” Queen called “We Are the Champions.” from Mexico coming up to play in Tucson. Jack and his wife, Connie, whom he “I asked him if he could change a few And although Tucson no longer hosts married in 1972, have two children. words,” Donovan recalls. “That night we MLB teams for Spring Training, a couple of Daughter Erin lives in Maine with her three played the song for the first time at the exhibition games will be played at Kino children where she writes a blog and has a Toros games at Hi Corbett field. It is still Stadium next month. The Diamondbacks contract with Nickelodeon. Son Shaun is a one of the most popular sport songs. We will play the San Diego Padres at 1:05 p.m. Navy SEAL. had more than a 200,000 fan season and March 17, St. Patrick’s Day, and the Dodgers Donovan also enjoys getting out on the were one of the top teams in Pacific Coast and Chicago Cubs will play at 1:05 p.m. links. At one time he had a “plus” handicap League. We changed the culture of what March 21 in a benefit for the Christina-Taybut he stays busy enough off the course was happening at Hi Corbett field.” lor Green Memorial Foundation, which that he now plays to a 4. In 1999, Donovan took over operations honors the life and memory of the 9 year-old for the Toros’ successors, the Tucson Do you have a historical Tucson who was the youngest of six victims killed in Sidewinders. The Arizona Diamondbacks story to share? Contact Mary Levy Peachin at the Jan. 8, 2011, shooting in Tucson. and Chicago White Sox then tapped When he thinks back, foremost in Dono- mary@peachin.com. Her historical columns Donovan to manage their Spring Training usually appear the first week of each month operations at was then Tucson Electric Park van’s memories are the promotions at Hi in Inside Tucson Business. Corbett Field. They included making a and is now Kino Stadium.


10 FEBRUARY 15, 2013

INSIDE TUCSON BUSINESS

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KFMA now ‘Rock 92’ but it’s no format change By David Hatfield Inside Tucson Business Arizona Lotus Corp.’s KFMA 92.1-FM/101.3-FM has done a little sprucing up on its brand, including a new logo, now calling itself “Rock 92 KFMA.” Previously the station was calling itself “New Rock.” General Manager Steve Groesbeck isn’t making too much of the change saying it’s more a reflection of what the station already is rather than a change for the station. He says the music mix will continue to be a cross between what’s known in the industry as an active rock music, mainly current rock songs, mixed with music going back to the 1990s. That format has been successful for KFMA but Groesbeck said it made no sense when an announcer would play an older song the say the station’s old tag line, “new rock KFMA.” Meanwhile, Lotus’ other rock station, KLPX 96.1-FM remains classic rock.

Names in news The morning radio show of Alex “El Genio” Lucas wasn’t off the air in the Tucson market for long. As of this week Lotus Corp.’s ESPN Deportes KTKT 990-AM is airing Lucas’ show from 4 to 10 a.m. weekdays and 6 to 10 a.m. Saturdays. Although the show is a 50-50 mix of music and talk — focusing on thought-provoking and inspiring stories — General Sales Manager Tara Torres Hungate says it will fit nicely on the sports station with regular contributions from sports commentators David Faitelson and Antonio Rosique focusing on soccer. Lucas’ Los Angelesbased syndicated show had been the top-rated show on Clear Channel’s La Preciosa KTZR 1450-AM until it was dropped last month as part of a corporate in move in several markets.

Baseball Wildcats on TV

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The University of Arizona Wildcats baseball team — whose first home stand of the 2013 season is this weekend at Hi Corbett Field — will have at least seven games televised on the Pac-12 Networks this season. That’s more games than any other team in the conference. The schedule of Arizona games: • March 17, Sunday, noon — Oregon State at Arizona • March 22, Friday, 6 p.m. — Arizona at Oregon • April 16, Tuesday, 6 p.m. — Arizona State at Arizona • April 19, Friday, 7 p.m. — Arizona at Stanford

• May 12, Sunday, 3 p.m. — Arizona at UCLA • May 19, Sunday, Sunday, noon — Arizona at Arizona State • May 26, Sunday, noon — USC at Arizona All totaled the Pac-12 Networks are planning to televise 30 games live, starting with USC-UCLA at 3 p.m. March 10. Despite the fact the Wildcats are the defending NCAA champions, UCLA is this year’s pre-season favorite in the conference. Analysts hired for the Pac-12 Networks include former UA player and six-time Major League Gold Glove winner J.T. Snow along with Kevin Stocker, a former Washington Huskies shortstop. Play-byplay annuncers for Pac-12 Networks baseball are Ted Robinson, Roxy Bernstein and JB Long. In addition to the games that were announced, the Pac-12 Networks has set aside four other games, one on May 4 and three at the end of the season that will be determined closer to air time.

Chaparral shoot-out Old Tucson was originally built as a movie studio but the big TV series that put it on the map was “High Chapparal,” which ran on NBC from 1967 to 1971. This weekend the original Ranch House set that was used on the series will be the venue for a Shoot-Out at the Chapparal competition this weekend in which gunfighters and Western characters will compete in a performance competition in front of judges from the film and performance industries. The competition will include points for overall show content, characters, presentation, acting skills, wardrobe, showmanship and safety. In addition to the competition, Old Tucson will have its usualy stunt shows, living history presentations and a multimedia stroll down movie memory lane. Old Tucson, 201 S. Kinney Road in Tucson Mountain Park, is open from 10 a.m. to 5 p.m. Fridays, Saturdays and Sundays. Single-day admission costs $16.95 for anyone 12 and older, $10.95 for children ages 4 to 11, free for children 3 or younger. There are discounts for military, seniors and members of AAA auto club. Season passes valied through May 27 are available for $49.95 and come with some discounts that can be used inside the park.

Contact David Hatfield at dhatfield@azbiz.com or (520) 295-4237. Inside Tucson Media appears weekly.


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Next up: Environmental resources, Recyclers, Janitorial, Pest Control Research is under way gathering data for the 2014 Book of Lists. Upcoming lists are: • Feb. 22: Commercial photographers and Video production companies • March 1: Event planners, Convention and meeting facilities, Caterers • March 8: Environmental resources, Recycling firms, Janitorial services, Pest control companies • March 15: Acute-care hospitals, Rehabilitation centers, Nursing care centers, Home health care agencies • March 22: Investment capital and lending, Venture capitalists If your business has been on a previous list in one of these categories, look for an email from Jeanne Bennett, List researcher for Inside Tucson Business, with details on how to update your profile. If you would like to add your business to one of these lists, go to www.InsideTucsonBusiness.com and click the Book of Lists tab at the top of the page to create a profile. The Book of Lists is a year-round reference for thousands of businesses and individuals. The 2013 Book of Lists was published Jan. 25. A limited supply of copies is still available for purchase, either at www.InsideTucsonBusiness.com, click on “Book of Lists” on the black navigation bar, or call (520) 294-1200.

HEALTH CARE

Study says web info wrong about medication during pregnancy Using the Internet to make decisions about what medications to take during pregnancy or breastfeeding may lead to poor choices, the Arizona Pregnancy Riskline warns women. The Pregnancy Riskline is a not-for-profit, telephone-based service at the University of Arizona College of Pharmacy. Its services are free and confidential. Published in the Jan. 29 issue of the journal Pharmacoepidemiology and Drug Safety, the study evaluated 25 active Internet websites, comparing their lists of safe medications to risk assessments in TERIS (Teratogen Information System), an evidence-based system that uses the consensus of experts in the field. For almost half of the medications listed on the sites, scientific databases were unable to provide a risk assessment due to limited published scientific data. Information also was inconsistent between websites. Arizona Pregnancy Riskline urges women to ask their doctors or contact Riskline with questions about medications. The counselors at the Arizona Pregnancy


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County recognized for move to tobacco-free environment Arizonans Concerned About Smoking has awarded Pima County with a Health Leadership Award for its recent move to a tobacco-free environment. The award was presented to Pima County Human Resources Director Allyn Bulzomi at the organization’s fourth annual awards ceremony in Mesa. The Pima County Board of Supervisors in November approved a measure to make all county properties tobacco-free. As of Jan. 1, smoking and tobacco use is forbidden inside county buildings and on properties owned or operated by the county. The policy includes cigarettes, cigars, chewing tobacco, snuff, water pipes and ecigarettes.

City wins award for budgeting work The City of Tucson has received the Distinguished Budget Presentation Award for its current budget from the Government Finance Officers Association of the United States and Canada (GFOA). The award is given to cities that show a commitment to meeting the highest principles of governmental budgeting. The City of Tucson’s budget met nationally recognized guidelines which are designed to assess how well a budget serves as a policy document, financial plan, operations guide and communications device.

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Area gas prices up over last month The price of regular unleaded gas has increased in the Tucson area by 34 cents over the past month, according to AAA. The average price for a gallon of gas climbed to $3.23 as of Wednesday (Feb. 13), up from $2.89 a month earlier. Despite the increase, Tucson still has the lowest gas prices in the state. Average costs statewide were $3.41, up from $3.06 a month ago. The highest average cost for a gallon of regular unleaded gas in Arizona was in Scottsdale, where it was $3.58. The national wide average was $3.61, up from $3.51 last month.

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13


14 FEBRUARY 15, 2013

INSIDE TUCSON BUSINESS

FINANCE YOUR MONEY

Growth advice: Move beyond the familiar – try something new In a speech to his college’s bachelors degree candidates last year, Richard C. Levin, who for the past 19 years has led Yale University as its president — and will retire at the end of this academic year — offered valuable advice to college-bound students on how to benefit the most from the experiences lying ahead. His message was not only directly relevant to the graduating seniors, but virtually for everyone else – even those who graduated from college decades ago. His message was about lifelong learning and growth. Levin urged the graduates to stretch themselves with their subject choices and sample widely. He encouraged them to take some courses in fields that are entirely outside the range of their past experiences. One will not only emerge as a more broadly educated person, but will also stand a better chance of discovering an unsuspected passion which could help shape the future course of life and view of the world. He said by studying philosophy, for example, one learns to reason more vigorously and discern more readily what constitutes a logically consistent argument and what does not. And, you will study texts which wrestle directly with the deepest questions of how one should live. Professors of literature, music, and art history teach students how to read, listen, and see more closely. Whether the students major in these subjects or not, their appreciation of what is true and beautiful may be forever enriched. Years ago, Levin taught economics at Yale College, the university’s undergraduate program. He always began by telling students the course would change their lives. Why? Because economics opens oneself to an entirely new and different way of understanding of how the world works. Economics will not prescribe how society must organize or distribute the fruits of human labor. But, it will provide a new way to think about these perpetually important questions. Similarly, each of the other social sciences psychology, political science, anthropology, sociology, and linguistics will provide a different perspective on human experience in society. Levin’s suggestion that students stretch themselves is not limited to the classroom; it applies to extracurricular activities and even to the friends they choose. A dazzling array of extracurricular opportunities will open and

one of them may turn into an enduring passion. And, if the friends chosen in college come exclusively from the same kind of background as the students’, half the value of a college DREW BLEASE education will have been forfeited. The students were encouraged to seek out friends with different histories and interests to learn the most from the people least like themselves. Levin’s astute advice may result in a paradigm shift for both students and parents. It may cause one to look at things differently when a roommate or some courses desired do not come about. “Today, because the world is so highly interconnected and interdependent, you will have the added responsibility of acting as global citizens,” said Levin. “Your generation, more than any other that has gone before, will need deep knowledge of an intimate engagement with cultures and societies very different from your own. “You should seriously consider taking advantage of one of the many programs your college will offer to work or study abroad. Such an experience will stretch you in just the way I am recommending more generally: It will force you to see yourself from a different perspective, and to see others free from preconceptions,” he adds. True wealth is not based on the balances in our investment accounts, the size of our vacation home, or the type of car we drive. It’s based on the experiences we’ve had and the individuals who we’ve shared our experiences with. All of us are equal to the sum of the life experiences that we have had. From our interactions with our family and friends, to the books we’ve read, to the places we’ve traveled and lived down to the movies, television shows and music we’ve enjoyed, don’t just live life, experience it. It’s been said many times but oft worth repeating, yesterday is history, tomorrow is a mystery, today is a gift from God, that’s why we call it “the present”.

Contact Drew Blease, president and founder of Blease Financial Services, 7358 N. La Cholla Blvd., Suite 100, at drewblease@ bleasefinancial.com or (520) 299-7172.

TUCSON STOCK EXCHANGE Stock market quotations of some publicly traded companies doing business in Southern Arizona

Company Name

Symbol

Feb. 13

Feb. 6 Change

52-Week 52-Week Low High

Tucson companies Applied Energetics Inc CDEX Inc Providence Service Corp UniSource Energy Corp (Tucson Electric Power)

AERG.OB CEXIQ.OB PRSC UNS

0.04 0.07 18.51 46.42

0.04 0.07 18.48 45.64

0.00 0.00 0.03 0.78

0.02 0.01 9.56 35.20

0.12 0.51 19.67 46.44

9.10 1.30 2.69 12.17 62.78 10.29 97.97 15.12 57.90 4.07 24.50 44.00 40.13 41.71 46.81 16.34 101.63 41.69 51.06 14.78 87.29 71.61 23.83 35.64 36.51 67.45 70.18 200.09 34.51 61.44 5.50 48.68 36.79 19.82 46.60 28.46 1.36 40.83 39.77 44.08 61.88 39.96 41.18 42.56 53.22 65.76 19.61 20.23 53.97 55.71 20.74 49.53 47.62 13.24 11.61 45.02 39.45 62.69 18.58 33.72 52.85 26.19 135.29 19.05 14.66 33.93 71.39 41.48 35.13 13.29 24.74

8.96 1.22 2.83 11.93 63.28 9.71 97.83 15.91 57.19 4.08 21.85 43.05 38.73 39.12 45.75 16.98 101.70 40.80 51.24 14.47 87.02 71.31 23.44 36.09 35.70 66.67 69.92 201.02 34.50 62.91 5.55 48.61 36.49 18.47 46.25 27.86 1.29 40.70 38.67 43.92 61.51 39.48 40.66 42.10 52.39 65.20 19.38 19.69 53.42 55.38 19.39 47.34 47.40 12.89 11.47 44.83 39.98 62.69 18.66 33.56 52.01 25.32 133.24 20.05 14.56 33.61 71.31 41.44 34.97 12.75 24.04

0.14 0.08 -0.14 0.24 -0.50 0.58 0.14 -0.79 0.71 -0.01 2.65 0.95 1.40 2.59 1.06 -0.64 -0.07 0.89 -0.18 0.31 0.27 0.30 0.39 -0.45 0.81 0.78 0.26 -0.93 0.01 -1.47 -0.05 0.07 0.30 1.35 0.35 0.60 0.07 0.13 1.10 0.16 0.37 0.48 0.52 0.46 0.83 0.56 0.23 0.54 0.55 0.33 1.35 2.19 0.22 0.35 0.14 0.19 -0.53 0.00 -0.08 0.16 0.84 0.87 2.05 -1.00 0.10 0.32 0.08 0.04 0.16 0.54 0.70

7.97 0.36 1.48 6.72 50.95 5.30 77.89 11.20 52.23 2.97 14.97 24.61 28.09 19.50 22.19 12.13 81.98 36.52 43.08 8.42 47.92 50.27 13.45 30.54 21.38 45.65 52.21 181.85 27.10 53.38 3.94 30.83 27.96 6.46 41.35 20.98 1.06 22.01 24.76 37.58 53.18 32.31 33.93 24.07 41.11 56.59 15.69 7.63 48.41 38.63 14.73 33.03 38.40 6.25 7.76 39.01 25.77 51.51 14.04 26.06 33.62 17.45 104.08 18.36 6.78 28.26 57.18 28.53 29.80 7.80 17.45

10.75 1.66 3.32 12.42 64.79 10.57 99.00 27.95 60.00 4.93 24.85 44.68 42.00 41.79 46.99 16.55 105.97 43.43 52.73 14.90 89.98 71.38 24.66 44.74 36.90 68.15 70.79 211.79 37.70 64.47 5.85 49.45 38.62 20.04 55.25 28.80 1.81 43.22 39.98 44.13 62.83 42.17 41.84 44.85 53.50 71.25 42.85 21.97 59.34 56.16 23.16 49.56 85.90 13.93 11.76 46.08 42.55 65.80 18.95 34.29 53.65 26.64 136.19 54.38 15.64 35.46 77.60 41.95 36.60 13.33 24.92

Southern Arizona presence Alcoa Inc (Huck Fasteners) AA AMR Corp (American Airlines) AAMRQ Augusta Resource Corp (Rosemont Mine) AZC Bank Of America Corp BAC Bank of Montreal (M&I Bank) BMO BBVA Compass BBVA Berkshire Hathaway (Geico, Long Cos) BRK-B* Best Buy Co Inc BBY BOK Financial Corp (Bank of Arizona) BOKF Bombardier Inc* (Bombardier Aerospace) BBDB CB Richard Ellis Group CBG Citigroup Inc C Comcast Corp CMCSA Community Health Sys (Northwest Med Cntrs) CYH Computer Sciences Corp CSC Convergys Corp CVG Costco Wholesale Corp COST CenturyLink (Qwest Communications) CTL Cvs/Caremark (CVS pharmacy) CVS Delta Air Lines DAL Dillard Department Stores DDS Dover Corp (Sargent Controls & Aerospace) DOV DR Horton Inc DHI Freeport-McMoRan (Phelps Dodge) FCX Granite Construction Inc GVA Home Depot Inc HD Honeywell Intl Inc HON IBM IBM Iron Mountain IRM Intuit Inc INTU Journal Communications (KGUN 9, KMXZ) JRN JP Morgan Chase & Co JPM Kaman Corp (Electro-Optics Develpmnt Cntr) KAMN KB Home KBH Kohls Corp KSS Kroger Co (Fry's Food Stores) KR Lee Enterprises (Arizona Daily Star) LEE Lennar Corporation LEN Lowe's Cos (Lowe's Home Improvement) LOW Loews Corp (Ventana Canyon Resort) L Macerich Co (Westcor, La Encantada) MAC Macy's Inc M Marriott Intl Inc MAR Meritage Homes Corp MTH Northern Trust Corp NTRS Northrop Grumman Corp NOC Penney, J.C. JCP Pulte Homes Inc (Pulte, Del Webb) PHM Raytheon Co (Raytheon Missile Systems) RTN Roche Holdings AG (Ventana Medical Systems) RHHBY Safeway Inc SWY Sanofi-Aventis SA SNY Sears Holdings (Sears, Kmart, Customer Care) SHLD SkyWest Inc SKYW Southwest Airlines Co LUV Southwest Gas Corp SWX Stantec Inc STN Target Corp TGT TeleTech Holdings Inc TTEC Texas Instruments Inc TXN Time Warner Inc (AOL) TWX Ual Corp (United Airlines) UAL Union Pacific Corp UNP Apollo Group Inc (University of Phoenix) APOL US Airways Group Inc LCC US Bancorp (US Bank) USB Wal-Mart Stores Inc (Wal-Mart, Sam's Club) WMT Walgreen Co WAG Wells Fargo & Co WFC Western Alliance Bancorp (Alliance Bank) WAL Zions Bancorp (National Bank of Arizona) ZION Data Source: Dow Jones Market Watch *Quotes in U.S. dollars, except Bombardier is Canadian dollars.


InsideTucsonBusiness.com

FEBRUARY 15, 2013

15

INSIDE REAL ESTATE & CONSTRUCTION

Economic development re-emerges as a priority Sales and leases

Nothing like a great recession, tight municipal budgets and a little wake-up call to drive home the point that “real estate matters” in this community. Lingering economic challenges are behind a renewed emphasis on protecting local jobs and promoting economic development. Pima County Administrator Chuck Huckelberry calls it the “basic fundamentals of employment.” It is crucial to act now so that there is hope to have “a more competitive foundation” in place for the future. Specifically, that “foundation” is a corridor of opportunity south of Tucson International Airport between interstates 19 and 10. The western sector is anchored by 11,000 jobs at Raytheon Missile Systems and the eastern sector by about 8,000 jobs at the University of Arizona Science and Tech Park. “Some 40,000 jobs are tied to this corridor, some type of manufacturing, technology and research that drives basic secondary and service employment. How do we make sure this employment corridor is important now and in the future?” said Huckelberry. For starters, county officials realized they had to take care of Raytheon, the region’s largest employer. The company’s 2010 decision to set up a new line in Alabama instead of locally cost Pima County about 3,000 to 4,000 jobs, Huckelberry said. “It was a wake-up call that we were vulnerable to having that employment base shrink or go away. So we began some longrange fundamental discussions with Ray-

THE PULSE: Median Price Active Listings New Listings Pending Sales Homes Closed

TUCSON REAL ESTATE

2/4/2013

1/28/2013

$135,850 5,112 443 468 126

$150,000 5,129 393 439 250

Source: Long Realty Research Center

Roger Yohem

By Roger Yohem Inside Tucson Business

Paul Kraft, left, president of the Pima County Real Estate Council, with Pima County Administrator Huckelberry, center, and Tucson Assistant City Manager Albert Elias.

theon,” he said. Tucson was “never in the ball game” for the expansion because the site has too many constraints. Urban encroachment from the south and increased traffic on Hughes Access Road threatened Raytheon’s safety buffers and other federal mandates for space. Huckelberry said those conditions ultimately prompted county supervisors “to take some pretty bold steps, to remove the restraints that prevent Raytheon from expanding.” South of the site, the county bought $5.9 million worth of “developable” property. Also, $9 million in funding has been secured to relocate Hughes Access Road further south. When these two major projects are complete, in addition to some other countydriven improvements, “our largest employer will no longer have constraints that would restrict them from expanding their operations in Tucson,” Huckelberry said. Huckelberry and Tucson Assistant City Manager Albert Elis were keynote speakers at the Feb. 7 Pima County Real Estate Research Council’s “Real Estate Matters” forum. Elias said the city also has begun to focus

WEEKLY MORTGAGE RATES Program 30 YEAR 15 YEAR 5/1 ARM

Current

Last Week

2/12/2013

One 12 Month 12 Month Year Ago High Low

3.50% 3.625%APR 3.50% 3.625%APR 4.95% 2.88% 3.125%APR 2.88% 3.125% APR 4.22% 2.63% 2.875%APR 2.63% 2.875% APR

4.95% 4.22%

The above rates have a 1% origination fee and 0 discount . FNMA/FHLMC maximum conforming loan amount is $417,000 Conventional Jumbo loans are loans above $417,000 Information provided by Randy Hotchkiss, National Certified Mortgage Consultant (CMC) Hotchkiss Financial, Inc. P.O. Box 43712 Tucson, Arizona 85733 • 520-324-0000 MB #0905432. Rates are subject to change without notice based upon market conditions.

3.38% 2.75%

more on economic development. Specifically, he cited a series of initiatives that helped developers Rob Caylor and Art Wadlund decide to build a $16 million Class A mixed-use office tower downtown at 1 E. Broadway. In addition, the city hired Juan Francisco Padrés to serve as an economic specialist for international trade. Despite moderate revenue growth that “still challenges the city in many ways, the long-term outlook for the local economy is pretty positive,” Elias said. “Although we can’t lead on these economic issues, we certainly can be assertive, to be of assistance at the right time to the right individuals.”

Team Schwiebert In an effort to increase their market presence, Plaza Companies has made two moves that involve the father-son team of Howard and Daniel Schwiebert. Howard, who has been with the Scottsdale-based company since Feb. 2012, was promoted from senior portfolio manager to Vice President of Brokerage Services and Business Development. His son Daniel, a 2011 graduate from the University of Arizona Eller College of Management, has joined the company as an associate. “Our new focus is to expand our business in the Tucson market. We want new business across the spectrum of brokerage, management and development,” said Howard. Plaza Companies is a full-service real estate firm that specializes in medical office, senior living, and bioscience properties. Daniel holds a degree in marketing and will apply those skills in his new position. His prior career experience includes Prime Group, 350 N. Harrison Road, in the multifamily market.

• Allglass LLC leased 6,056 square feet at 3496 S. Dodge, Suite 110 from Bioptics Building LLC, represented by Ron Zimmerman with Newmark Grubb Knight Frank. The tenant was represented by Paul Hooker with Picor Commercial Real Estate Services. • Holben, Martin & White Consulting Engineers leased 4,494 square feet at 3501 E. Speedway, Suite 225, from Monte V LLC, represented by Michael Gross of Tucson Realty & Trust. The tenant was represented by Dean Cotlow of Cotlow Company. • Sterling Investment Management leased 3,489 square feet at 6262 N. Swan Road, Suite 210 from Skyline Corporate Center LLC, represented by Doug Marsh and Lori Casey with Oxford Realty Advisors. The tenant was represented by Tom Nieman with Picor Commercial Real Estate Services. • Safety Dynamics leased 2,538 square feet at 3845 N. Business Center Drive, Suite 115 from NTBC Trust Partners. Rob Glaser and Paul Hooker with Picor Commercial Real Estate Services handled the transaction. • Breen, Olson and Trenton Law Firm leased 2,456 square feet at 4720 N. Oracle Road from Oracle Office Park Associates, represented by Buzz Isaacson of CBRE. • United Gospel Fellowship leased 2,330 square-feet at 3710 S. Park Ave., Suites 701 703, from Gateway Industrial Park LLC. Paul Hooker, Pat Welchert and Jeff Zellet with Picor Commercial Real Estate Services handled the transaction. • Hyunjoo Oh and Taego Park, doing business as The Tutoring Center, leased 1,400 square feet at 12142 N. Rancho Vistoso Blvd. in Suite B-110 from SB & FB Vistoso Plaza LLC, represented by Robert Nolan of Oxford Realty. The tenant was represented by Chuck Corriere of Keller Williams Southern Arizona. • Subway leased 1,370 square feet at 3605 W. Cortaro Farms Road, Suite 157, from Cortaro Investors LLC, represented by Craig Finfrock of Commercial Retail Advisors. • Joseph Hoang Kim Pham, Maria Bong Thi Ngo Pham, and Mary Da-Thao Ngo Pham leased 1,333 square feet at 7143 E. Tanque Verde Road from Reseda Colonia LLC, represented by David Hammack of Volk Company Commercial Real Estate. • Saguaro Independent Medical Examiners leased 1,332 square feet at 2224 N. Craycroft Road from 2222 Craycroft LLC, represented by Jon O’Shea and Rob Fischrup of Vast Commercial Real Estate. The tenant was represented by David Montijo and Damian Wilkinson of CBRE. • Canyon Health LLC leased 1,300 square feet at Craycroft Plaza, 1011 N. Craycroft Road, from Larsen Baker, self-represented by Andy Seleznov.

E-mail sales and leases and other real estate news items to ryohem@azbiz.com. Inside Real Estate & Construction appears weekly.


16 FEBRUARY 15, 2013

INSIDE TUCSON BUSINESS

EDITORIAL BIZ BUZZ

We want to blab about good things In business circles the exchanging of news and ideas is called networking. When we in the media get involved, we’re blabbermouths. We want to tell everybody everything we can about things. This week, I want to tell you about two things we want to blab about at Inside Tucson Business. If you’re a regular reader, one you’ve already know about. It’s our DAVID HATFIELD annual call for nominations for Up & Comers. This is the last time you’ll see me writing about nominations this year because the deadline is almost upon us — it’s 5 p.m. Monday. (Feb. 18). For those who might have missed it, Up & Comers is Inside Tucson Business’ annual recognition of people who, while still early in the careers, already have made a significant impact within their industry or in the Tucson region. In short, we’re trying to find Tucson’s rising stars. There is no specific age requirement, although we do ask for age on the nomination form. We’ve had a few honorees in the past who are in their young 40s but most are younger than that. From your nominations, nine people will be selected by Inside Tucson Business and a group of former honorees to be profiled in a special section to be published April 12. We’ll follow that up with a special recognition reception. This is the 11th year for Up & Comers. It was something started before I got here but it has become one of my favorite things we do. Reading the special section and attending the event is inspirational. Each year I am reassured that there are people who will make the Tucson region thrive. It starts with your nomination, which we’ve tried to make as painless as possible this year. Go to our website, www. InsideTucsonBusiness.com, click on the “Submit your Up & Comers” in the right-hand column and fill out the form.

More blabbing The second thing I want to tell you is something new here at Inside Tucson Business. We all like to keep up on people and what they’re doing — promotions, new jobs, awards, etc. Now we’re going to post all People in Action notices online at our website, www.InsideTucsonBusiness.com. In fact, we’re going to let you do it. You will find the new People in Action feature in the right-hand column on our home page. It will be continuously updated as submissions are received. And how do you submit them? Right below the feature is a submission feature. Just fill out the form and, hopefully, include a photo. That’s it. We’ll do a quick verification of the announcement and once that’s done it will be posted to the website for all to see. No need for a press release or even an email. (Please note we’re Inside Tucson Business so announcements from this region are what we’re looking for.) The People in Action feature will continue to be a part of the weekly printed Inside Tucson Business but it will be condensed version of what is online. Whether it’s an Up & Comer and or a People in Action, tell us about them. We love to blab. And celebrate.

Contact David Hatfield at dhatfield@azbiz.com or (520) 295-4237.

EDITORIAL

Money needed for Common Core Standards While you’ve been busy minding your business the past three years, Arizona educators have been gearing up to implement what’s known as Common Core Standards. In a nutshell, they are a set of standards all public school students across the state — indeed, all students in 46 participating states and the District of Columbia — must meet. The new standards, which were approved by the Arizona Board of Education in June 2010, are set to go into effect in English language arts and mathematics starting with the 2014-2015 school year. For the most part there are specific standards that students must meet at each grade level. For instance, one standard in language arts a graduating 12th grader must meet is to analyze 17th, 18th and 19th century foundational U.S. documents of historical and literary significance. A math standard for sixth grade students is to solve real-world and mathematical problems by graphing points in all four quadrants of the coordinate plane. For Arizona, the core standards are critical to making more graduates of high schools ready for college or work by aligning curricula with the expectations of institutions of higher learning and industry. Right now, only about half of the state’s high school graduates qualify to enroll in a state university and a majority of students enrolling in community colleges take remedial coursework. Instead of rote learning and testing, students will be trained to be critical thinkers. The idea being that it’s impossible to precisely predict what the future holds, but students who’ve learned problem-solving skills will be able to meet whatever challenges await them. Arizona’s development of the common core standards as part of its participation in the Obama Administration’s Race to the Top initiative that provided federal grants from a $4.35 billion fund to states willing to step up innovative ideas for education reform. As a participant in the Race to the Top initiative, Arizona has been granted a waiver from complying with

the No Child Left Behind Law adopted under President George W. Bush. The state had been meeting goals for adequate yearly student progress but the No Child timetable requiring all students to meet grade-level proficiency standards by the end of the 2013-2014 would have been virtually impossible. Also, as part of the change, in 2015 the state will replace the Arizona Instrument to Measure Standards (AIMS) test with an online exam that will measure student competencies in meeting the common core standards. Clearly, educators and others have worked diligently to develop Arizona’s Common Core Standards. Now the challenge for lawmakers is to back them up with the funding that will allow them to deliver on their goals. The Arizona Department of Education had asked for $131 million over two years, including nearly $63 million next year that would fund training and materials. That didn’t include money for technology infrastructure. In her budget recommendation submitted in January, Gov. Jan. Brewer proposed spending $40 million for training and materials, $1.5 million for regional training centers and $20 million for technology to prepare for online testing. We’ve heard it from both sides in the past about funding for education. There are those who are embarrassed that the state routinely ranks near the bottom in per-pupil funding and says it’s the reason so many of our students aren’t getting an adequate education. Then there are those who say the system is broken and there’s no sense throwing good money after bad on it. Funding to implement the Common Core Standards responds to both objections. It increases the amount of money spent on education, while reforming the system and adopting rigorous standards. Nothing is more critical to Arizona’s economic future than education. Many people have been working to get the Common Core Standards to this point. Now it’s time for lawmakers to put the state’s money behind them.


InsideTucsonBusiness.com

FEBRUARY 15, 2013

17

OPINION ADVOCATING FOR BUSINESS

Classroom notes I’ve taken about local education I do a lot of listening in my role as president of the Tucson Metro Chamber. I consider the opinions of business owners and executives to be my “classroom.” Second only to the angst business owners have expressed about the business-friendliness of local government is their concern about education and the resulting quality of our local workforce. We are working on and making a difference in both areas and have found those who drive both areas to be responsive. I’d like to share what I think are some important observations and opinions about the very complicated subject of improving education (especially K-12) in our community. As a component of this essay, I have embedded a link that explains the national Common Core Standards recently adopted by the State of Arizona. While there is no simple answer or “silver bullet” to the issue of education reform, it is painfully obvious that something has to change. Here are some opinions about the pieces of the puzzle:

Money matters, but it’s not all that matters When dedicated teachers are not paid a fair wage and have to reach into their pockets to purchase classroom supplies, something is wrong. When school buildings need serious repair and are not furnished with amenities that promote learning, it is difficult to expect excellence. At the same time, the taxpayer is entitled to a return on the investment in education in the form of improved outcomes. Therefore, it seem obvious that future requests for increased funding must be tied to increased classroom performance. The defeated Proposition 204 on the November ballot to make permanent the state’s one-cent sales tax addressed the “pay for performance” issue, but the language did not put the extra tax money directly in the classroom. Voters are also hesitant to give themselves a permanent new tax when other taxing mechanisms were available. Proposition 204 failed, but that must not be the end of discussion about more money for improved education expectations.

Solutions are out there Faced with similar challenges, other states have already begun the process of trying new approaches to increasing academic performance. Some states have increased the number of school days in the year. Others are experimenting with merit pay for their best teachers. Others are taking aggressive steps to reduce or eliminate teacher tenure and to be sure that under-performing instructors find another line of work. Teachers unions are part of the solution in some locales and part of the problem in others.

MIKE VARNEY

Two things seem to be true: 1. What got us to this point won’t get us to where we want to go. 2. Cooperation and a focus on the teacher-student relationship must trump everything else.

Families and society have roles How can a middle-schooler do well in the classroom when she arrives at school high on mom or dad’s prescription drugs? How can an elementary school kid be expected to concentrate and learn when there was no food on the table for dinner last night? How can the child whose parents never read stories to him be expected to perform on par with the child who had a bedtime story every night and who himself began reading books to his parents? And how can a teacher be an effective instructor when so many social and media messages promote disrespect for authority and glamorize life on the street in place of a life of learning? Until Mom and Dad step up, until more of our citizens have decent household incomes and until we return accountability and respect to the classroom, it will be hard to put the entire burden of improving education on teachers and administrators.

There is a ‘poverty correlation’ The relationship between poverty and achievement seems very real. Students living in poverty simply need more support to get to the level playing field. The reasons are plentiful: substandard facilities, a culture that does not seem to place a premium on learning, lack of resources in the classroom and at home. Kids that come to school unprepared and unsupported are simply working at a disadvantage.

The Finnish connection Those who know about these things say that Finland has the best school system in the world. I had the pleasure of a conversation with Perttu Pesä, director of International Relations for the City of Tampere, Finland, and a board member on the Tampere Chamber of Commerce, during his recent visit to Tucson as part of a Finnish trade delegation. I asked about Finnish schools. Here is what he told me: • The goal of the Finnish education system is to “create educational equality for everyone.” • All schools are equally equipped.

• Local school boards supervise all primary schools. • There are few private schools. • Schools are highly structured and are viewed as places of learning. • The national government supports and operates all universities. • Students are given scholastic and career guidance early. • Teachers come from the top 20 percent of their graduating classes and are held in very high esteem . • There is a high level of cooperation between business and education • Teachers unions exist, but principally to be supportive, cooperative and to help explore new ideas for better education. What Mr. Pesä did not say is that Finland is a heavily-taxed and rather homogenous society fairly devoid of the social issues so prevalent in U.S. culture.

Choice is good If a restaurant serves you a bowl of cold soup, you’re likely to go to a different restaurant. If your mechanic can’t seem to fix your car right the first time, you are probably going to shop for a new mechanic. Our economy thrives on choice and competition. The same should be true for schools. Open enrollment, charter schools and private schools all must be part of the mosaic of learning opportunities. If, as a consumer, you can choose a better restaurant or a better mechanic, you certainly should be able to choose a better school for your children. If a school or a school district majors in something other than getting students ready for the real world, parents should be able to vote with their feet and go to a school that is getting the job done.

Common Core Standards Common Core Standards are here and you need to know how they change the game. The Common Core Standards metric is a national effort to raise classroom expectations and improve outcomes to enable American students to acquire the knowledge base and critical thinking they will need to compete in a world economy. Common Core Standards are a seismic shift in what is taught, when it is taught, why it is taught and what school districts must do to assimilate these new practices. Implementing standards will require money (estimated to be $100 million) for teacher training, to set up data tracking systems and use the data to drive classroom materials and actions to get students the help they need. Several other states have managed to get this done and Arizona must do it, too. Tougher achievement exams related to the Common Core Standards begin in 2015. These new achievement exams will

measure the performance of students, teachers and schools. Sure, the Common Core Standards approach has its critics, but adoption of them seems to be a good step in the right direction of expecting more, increasing availability to data and improving accountability. For a short, easy-to-understand introduction video explaining Common Core Standards, click here: vimeo.com/51933492 The Washington Post has a coupleof point/counterpoint articles on the importance of Common Core Standards. You can find them here: www.washingtonpost. com/blogs/answer-sheet/wp/2013/01/08/ five-key-questions-about-the-commoncore-standards/ and here: http://www. washingtonpost.com/blogs/answer-sheet/ wp/2013/01/15/common-core-standardsarguments-against-and-for Reforming education and improving the quality of our workforce is a high priority for the Tucson Metro Chamber. You may want to consider helping the cause as a volunteer on the Tucson Metro Chamber’s Education Committee. Their activities include: • Improving third grade reading scores through volunteer tutoring efforts through partnerships with Literacy Connects and the United Way of Southern Arizona • Promoting increased interest in science, technology, engineering and math (STEM) subjects through the chamber’s partnership with the Blue Marble Foundation • Increasing financial literacy and awareness of free enterprise through the Chamber’s partnership with Junior Achievement • Researching and distributing current and accurate information about education statistics • Providing scholarships to local high school graduates as part of the Chamber’s State of Education event and the Chamber’s 501-c-3 foundation, the Center for Cultural Enrichment • Promotion of more funding and operational latitudes for the state’s Joint Technical Education District (JTED) program. Reforming our education system and producing a better workforce are vital to our future as a community and as a country. At a minimum, I encourage you to become conversant in this important topic. Better yet, get involved and help the Tucson Metro Chamber make a difference!

Contact Mike Varney, president and CEO of the Tucson Metro Chamber, at mvarney@tucsonchamber.org or (520) 792-2250. This is special editionof his Advocating for Business column that normally appears the second week of each month in Inside Tucson Business.


18 FEBRUARY 15, 2013

INSIDE TUCSON BUSINESS

OPINION COLLABORATION CORNER

Getting something done is possible, with collaboration Why can’t we all just get along? As a 15-year resident of Pima County, a University of Arizona graduate (twice) and with a major investment in this region, I believe there is willingness in Tucson to find common ground by many, but impediments to do so by a few. I am a strong believer in collaboration, and tend to live my life comfortably in the middle, looking at issues from all sides. Independent, I have blended my rural ambitions with the need for services, evidenced by my 4-acre ranch home, skirting the limits of town, where the country mouse and city mouse mingle. While many of my college friends departed, I identified with the community and chose to stay and settle down. We have some of the most beautiful and unique scenery in the world, and I intend to keep it that way for generations to come. Being a glass half full kind of gal, I tend to look at things positively. So it shouldn’t come as a surprise that I am the executive director of the Metropolitan Pima Alliance (MPA), a non-profit organization that encourages collaboration between the public and private sector. I was invited to write this column and share in our collaborative success, while hopefully inspiring this behavior countywide. MPA is a membership-based organization, founded in 1997 with a

current membership of 120 like-minded companies and individuals that support collaboration as a means of problem solving. MPA is dedicated to advocating AMBER SMITH responsible development in Pima County and furthering the interests of the real estate and development industry through education, public policy advocacy and networking. While our mission seems broad, our strength is bringing people to the table to collaborate on issues related to land use and development. We recognize land use as a foundation of economic development and work to balance development with the natural environment, neighborhoods and the community at large. After all, economic development contributes to things we value as a community schools, public safety, open space and pothole free roads, just to name a few. While we admittedly favor the side of growth and development, it is extremely important for us to recognize that we cannot be 100 percent in one direction. Developers cannot always get what they

want, just as neighbors and the environmental community cannot either. But — and this is important — if we all reasonably and respectfully work together, why can’t we create a safe, beautiful community, where our residents value their quality of life? I inserted the word “reasonably” with purpose. For me, unreasonable people are those who are unwilling to bend in any direction and I have unfortunately worked with several who are exactly like that. While I know that people’s definition of “quality of life” is open for discussion, speculation and negotiation, ultimately our goal as a community should be to push us to be the best that we can be, and offer those same opportunities for future generations. I am striving not to be cliché, but as President John F. Kennedy put it, “a rising tide lifts all boats.” In an effort to prove that I do not see the world through rose-colored glasses (uh-oh, another cliché), let me provide you with some MPA success stories that continue to encourage me to do my job effectively. • City of Tucson Certificate of Occupancy permit: The city had a Certificate of Occupancy process and policy that made it challenging for a new business to occupy an existing business’ space. There were individual efforts made to change the policy but for various reasons these efforts

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were unsuccessful. Ultimately, after collaboration between the public and private sector, sprinkled with efforts from neighborhood representatives, a new ordinance was approved, no longer hindering our economic growth. Unfortunately, the collaboration between a developer and a neighborhood occurs less often than I would like, but the C of O process proves it can happen. • Copper and metal theft. I’ll expand on this issue in a future column, but in summary, a casual conversation between two business people evolved over six months into a coalition of 15 organizations, six government entities spanning three levels of government, multiple law enforcement agencies, more than 100 businesses and hundreds of residents. MPA effectively orchestrated the collaboration of these groups due to the willingness of others to participate in a constructive fashion. In six months we have gone from a conversation to drafted state legislation, thousands of dollars raised and a conduit created for law enforcement to share their information with the public. Success comes from collaboration. Join MPA in finding common ground.

Contact Amber Smith, executive director of the Metropolitan Pima Alliance, at Amber@mpaaz.org or (520) 878-8811.

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