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FINDING THE BEST BALANCE Harris Environmental works in middle of growth and preservation PAGE 9

Your Weekly Business Journal for the Tucson Metro Area WWW.INSIDETUCSONBUSINESS.COM • MARCH 9, 2012 • VOL. 21, NO. 41 • $1

4 orators of achievement Political strategist Dick Morris heads Chamber forum Page 6

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Mariachis on the move Conference leaves downtown after 29-year run Page 18

Fast food to pharmacy

J.D. Fitzgerald photo

Foothills to get new Walgreens Page 23

Rio Nuevo property delinquent on taxes By Patrick McNamara Inside Tucson Business Among the thousands of delinquent tax debts up for sale at the Pima County Treasurer’s annual tax lien auction this year was the balance of unpaid taxes on a property the Rio Nuevo Multipurpose Facilities District owns. “This is how we find out about this stuff,” Rio Nuevo Multipurpose Facilities District Chair Jodi Bain said in response to questions from Inside Tucson Business. Taxes have not been paid on a multi-house unit on Washington Street and Court Avenue downtown since September 2010, when the

City of Tucson wrote a check for the amount due. Rio Nuevo, while still under the auspices of the city, bought the property in 2000 for about $100,000. Its assessed value now is more than $551,000. While government-owned properties normally do not pay property taxes, the property is subject to the City of Tucson Business Improvement District tax, which was established in 1998. The taxing authority covers portions of the downtown area. Including interest, the Rio Nuevo district owes $750 in delinquent taxes for the second half of the 2010 tax year.

District taxes on the other parcels it owns were current, according to Pima County Treasurer’s office records. Records with the treasurer’s office show that tax statements and bills for the property are sent to a PO box that the City of Tucson owns. City of Tucson spokesman Michael Graham confirmed the city owns the post office box and that mail for Rio Nuevo does get delivered there. Graham was not immediately able to confirm if the city had received and forwarded Rio Nuevo tax bills and statements to the district’s office, but said in general the city does forward mail to the appropriate recipient.

A Pima County Treasurer’s official said such tax information can only be sent to a single address. If a property owner wants tax statements and bills sent to a different address, the owner would have to go through the Pima County Assessor’s office to officially change their address. Bain was unsure if the district had received tax documents the city had forwarded. The tax lien on the property was not among those purchased during the recent auction. If the debt remains unpaid, it will be available for an over-the-counter purchase at the treasurer’s office in April.


2 MARCH 9, 2012

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MARCH 9, 2012

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NEWS

Assessor valuations finally recognize drops in property values Inside Tucson Business At long last, the plummeting values of commercial real estate in the Tucson region are finally being noticed by the Pima County Assessor’s office for taxing purposes. An analysis of the 2013 Valuation Notices sent last month by the Pima County Assessor shows that after continuing to raise valuations in recent years on most types of commercial real estate, this year those increases were kept in check. “The county assessor is starting to understand that certain properties are hurting and we’re seeing some progress in lowering values,” said James Wezelman, an attorney and owner of Sage Tax Group. “Other than a few categories, things are not that much different than last year. But unlike the go-go years of 2005 to 2007 when valuations shot up like a rocket, today’s values are not coming down as fast.” The Sage Tax Group’s analysis shows that county-wide property values totaled $59.7 billion, down $3.3 billion, or 5.5 percent, from valuations issued a year ago. The valuations sent this year will apply to property tax rates that will be set by taxing entities in August 2013 and sent out in bills the following month. Of the 396,000 properties in the county, 238,000 are single-family residences where there have been about 15,000 foreclosures over the past two years. Overall, owners of about 17,000 residential and commercial properties appealed and won reduced valuations last year that were kept frozen this year, as required by law. That left about $55.9 billion worth of parcels that were due for valuations this year by the Pima County Assessor.

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As one example, Wezelman said about August by government and schools are the 500 industrial parcels won reduced valua- other major component. “The irony is, I have clients who saw retions on appeal last year for a collective reduction of about $412 million. Overall, val- duced valuations. Yet I have told them to uations on industrial properties were down fully expect an increase in their total tax bill when the tax mill rates are set later this this time by 5.6 percent to $1.15 billion. “For parcels not frozen, the assessor has year,” he said. free reign. His hands are not tied,” Wezelman noted. BY THE NUMBERS For example, despite bankruptcy and foreclosure 2013 Property Values Change issues involving the Doubletree Hotel at Reid Park, Hotels/Motels/Resorts 17.0% Westin La Paloma Resort Restaurants 13.3% and Spa and the JW Marriott Starr Pass Resort and Spa, Automotive 9.2% valuations for the category Retail 8.7% of hotels, motels and resorts as a whole are up 17 percent, Nursing Homes 6.0% the highest increase of any Agricultural land 5.0% category. “Overall, we’re seeBanks 3.4% ing more movement down than the prior year. But in Schools/Daycare 3.1% some categories like resorts Medical 2.7% and restaurants, we’re still scratching our heads over Retail Centers 1.0% the increases,” said WezelOffice - 0.8% man. Property owners who feel Apartments - 2.1% the assessor’s office has overHouse on acreage - 5.1% valued their property have until April 3 to file an appeal. Industrial - 5.2% The form can be found on the Vacant Land - 5.6% assessor’s website — www. asr.co.pima.az.us — click on Homes - 7.0% “appeals process” for more information. Mobile Homes - 8.6% Property valuations are Condos - 9.3% just one part of the formula for computing property taxSource: Sage Tax Group data es. Tax rates set annually in

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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.

Scottsdale No. 2 picked as new CEO of MTCVB The No. 2 executive at the Scottsdale Convention and Visitors Bureau has been picked to take over as the new CEO and president of the Metropolitan Tucson Convention and Visitors Bureau. According to numerous sources, Brent DeRaad, who has been executive vice president of Scottsdale’s bureau since June 2005, has been introduced to local leaders as the search committee’s selection. An announcement was pending his official acceptance of an offer. DeRaad takes over the position of Jonathan Walker, who announced in November he would retire at the end of this month. In his current position, DeRaad oversees the Scottsdale bureau’s $9 million, including contracts with the agency’s public funding partners; the City of Scottsdale, Town of Paradise Valley, Arizona state government, the Fort McDowell Yavapai Nation and the Salt River Pima-Maricopa Indian Community. He also oversees the Scottsdale agency’s convention sales department. Before he was elevated to executive vice president at the Scottsdale bureau, DeRadd spent three years as its vice president of marketing and 19 months as vice president of membership and corporate communications. He earned both his bachelors and masters degrees in mass communications from Arizona State University.

Marana Aerospace Solutions is new name for Evergreen More than 300 employees, elected officials and other dignitaries were part of an event Tuesday (March 6) in which the 460acre facility in Pinal Airpark was rechristened as Marana Aerospace Solutions. It had formerly been named Evergreen Maintenance Center. The name change was a result of the commercial aircraft maintenance, repair and overhaul facility being acquired in June 2011 by the private equity firm Relativity Capital. As part of Tuesday’s event, newly appointed CEO Hal Heule was introduced. “With the growth we have planned, along with added training, enhanced processes and updated tooling, we intend to build our extensive range of service offerings to meet the needs of our expanding global base of customers,” he said.

EDITION INDEX Public Notices Lists Inside Media Arts and Culture Meals and Entertainment Profile

6 8-10 12 13 13 15

People in Action 19 Briefs 20-21 Finance 22 Real Estate & Construction 23 Biz Buzz 24 Editorial 24


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INSIDE TUCSON BUSINESS

NEWS

Students unveil entrepreneurial creations at UA’s Innovation Day

Solon Corp., which has its U.S. headquarters in Tucson, and key assets of its now defunct German parent company Solon SE, have been acquired by Microsol, a solar cell manufacturing firm based in United Arab Emirates. Business will continue at Solon’s plant, 6950 S. Country Club Road, where it is manufacturing a new racking system in part replacing the manufacturing of solar panels which was shut down last year because it was no longer cost-effective to compete against the lower prices of foreign manufacturers. Solon has licensed a material called Fibrex from Andersen Windows to build the rack systems meant for commercial rooftop solar installations. It has just begun to put the systems out on the market, according to Dan Alcombright, president and CEO of Solon. Terms of Microsol’s acquisition were not disclosed and approval is still pending from authorities in Italy, where Solon has a major operation in Carmignano di Brenta. The acquisition covers about 600 employees worldwide, including about 60 Tucson employees. Microsol has about 325 employees. Under the new corporate name Solon Energy GmbH, the company says it plans to expand, not only in North America but into India, Asia and the Middle East. Alcombright said Microsol is supportive of Solon’s business plan that is now focusing on large-scale commercial installations. Besides its Tucson headquarters, the U.S. division has offices in Phoenix and San Francisco. Unable to renegotiate loan terms, Solon SE filed for insolvency, the European equivalent of bankruptcy, in mid-December.

J.D. Fitzgerald photos

UAE solar cell maker buys Solon, parent

Attendees and exhibitors mingle at the ninth annual UA Innovation Day event.

By Patrick McNamara Inside Tucson Business The University of Arizona’s best and brightest student entrepreneurs filled the ballroom at the Student Union Memorial Center on Tuesday (March 6). The venue was apropos for the event, Innovation Day, which had the feel of a debutante ball for students eager to give their ideas a first public showing. Student teams from the UA McGuire Entrepreneurship Program presented

U.S. Rep. Raúl M. Grijalva, D-Ariz., on Wednesday (March 7) introduced a bill that would prevent the U.S. Postal Service from closing any postal facility serving a “highgrowth” zip code. Grijalva’s bill would require postal service officials to work with the U.S. Department of Commerce so no closure would negatively impact a zip code defined by the Commerce Department as “high-growth” at the beginning of each year. “If this is about planning for the future, let’s really plan for the future instead of saving a penny today by costing ourselves a dollar tomorrow,” Grijalva said. “Cutting off economic activity in the highest-growth areas in the country is the opposite of responsible longterm budgeting. This is about saving Tucson and other rapidly growing parts of the country from getting cut off at the knees. It’s as simple as that.” Last month, postal service officials confirmed their intention to close the Tucson sorting facility at 1501 S. Cherrybell Stravenue. A date for the closure was not set and the postal service had agreed it would not close any facilities until May 15, pending action in Congress.

J.D. Fitzgerald photos

Grijalva bill seeks to halt post office closure

business concepts that they had worked on throughout the school term at the Innovation Showcase. Some students are hopeful that their concepts will get noticed, create interest and attract investors. Others have already have begun to market their creations. EquiSight, a student-led venture to sell helmet-mounted cameras to horse racing facilities, has been in talks with Santa Anita Park racetrack in the Los Angeles area and NBC. “It’s similar to what NASCAR did,” Da-

Attendee Lars Marshall watches as students with Testab describe their product.

vid Matt said, one of the EquisSight team members. Matt said the team hopes to remake the horse-racing experience for fans in a way similar to auto racing, where cameras have long been standard fixtures in racecar cockpits and on drivers’ helmets. “It will virtually place fans in the saddle,” Matt said, adding, “We’ve been stuck in the binocular era.” Other teams focused on more altruistic ventures. Students with Onward Packs plans to donate a portion of the proceeds from its backpack sales and donate them to needy schools. “We’re targeting schools with a high percentage of free and reduced lunch students,” team member Amanda Wieland said. The minds behind Testab envision a future when school will use touch-screen tablets to take standardized and other tests instead of the ubiquitous paper scantron bubble sheets. “Students now don’t get their test results back right away,” Eric Smith said. He said Testab would not only simplify test taking by allowing students to select their answers with one touch, forsaking the old No. 2 yellow pencils. Not only would the product provide an ease in test taking, but grading would be nearly instantaneous easing the burden on instructors as well, Smith said. Another innovation proposal seeks to assist preschool children in learning a second language.

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InsideTucsonBusiness.com

MARCH 9, 2012

A demonstration of Testab, one of the student-led innovations that would eliminate the need for scantron sheets in test taking.

Red Red Balloon would create and sell apps that introduce children to languages and facilitate learning though interaction. “We want to provide a meaningful introduction to language for preschoolers,” team member Lily Yu said. The computer apps are based on established teaching concepts like interaction theory, input theory and sociolinguistic theory — where culture and social values of a culture factor into the learning process. The first app will help students learn French, with English, Mandarin, Italian, Portuguese, German and Arabic language apps planned for the future. Innovation Day events also featured an award ceremony where student and faculty innovators and entrepreneurs were honored. This year’s faculty researcher honorees were: Eric A. Betterton, Ph.D., whose research in atmospheric and environmental chemistry focuses on creating an atmospheric model to forecast wind-blown dust from natural and man-made sources; Leslie Gunatilaka, Ph.D., who explores the potential medicinal compounds of exotic plants from the arid zones of Asia, South America and the Sonoran desert; Larry Head, Ph.D., whose research on priority based traffic signals is aimed at saving the lives of fire and rescue first responders; Sharon Megdal, Ph.D., who works on state and regional water resource man-

agement and planning to meet future water needs of growing, semi-arid regions; and James T. Schwiegerling, Ph.D., who is developing a design for an accom-

modating intraocular lens, which could be used as a replacement in cataract surgery. This year’s faculty Technology Innovation Award recipient was Ronald S. Weinstein, M.D. Weinstein is an acclaimed academic physician who invented “telepathology,” a healthcare delivery system that uses the power of broadband telecommunications. He also is the founding director of the Arizona Telemedicine Program (ATP). Doctoral candidate Alexandra Armstrong, who studies veterinary sciences and microbiology, received the student Technology Innovation Award. Armstrong works in preventing bacterial food borne diseases and was the driving force behind a vaccine to reduce Campylobacter jejuni, a bacteria found in animal feces that can cause food poisoning. The student team honored for their presentations at the Innovation Showcase included: Mindful Monkee, which received the People’s Choice award and a $200 cash prize; OnwardPacks, which won for booth appeal, and received $250; Advanced Armor Applications, took second honors and $150 in booth appeal; MistoBox, received $250 for communication and fluency; and Testab, won second place and $150 in the same category.

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

Lauren Wicke, right, of Park Genius, describes her groups’ concept to an attendee.

5

This Week’s

Good News Who likes soccer? By all accounts FC Tucson’s second annual Desert Diamond Cup was a success — bigger and better than the first year. And the four Major League Soccer teams that came to Tucson for their Spring Training said positive things about their visit. At the rate things are going, next year’s events could be bigger and better yet and that would get them closer to replacing the much-lamented departure of Major League Baseball Spring Training. Consider this, in the last year of baseball Spring Training in 2010, total attendance for games at what was then known as Tucson Electric Park was 99,698 and the year before it was 121,281. That made for an average attendance per game of 6,647 in 2010 and 6,738 in 2009. This year, total attendance at what is now Kino Stadium, totaled 30,445 or an average attendance of 7,611. That’s at least 13 percent more per game.

The Tucson

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

Baltimore looks good Officials at Tucson International Airport are constantly reminding us that when it comes to airline service, we either “use it or lose it.” That’s why it’s good news that passengers seem to be responding to Southwest Airlines new seasonal service to Baltimore. Bonnie Allin, president and CEO of the Tucson Airport Authority, told her board of directors this week that bookings are strong for the flight and, from personal experience last weekend, a flight she took appeared to be about 80 percent filled. That was good considering that Southwest’s Dec. 7 announcement of the new flight that started Feb. 12 didn’t allow for a lot of advance advertising and promotion. It turns out there was a reason for that short notice. Southwest lost a bidding contest in December with JetBlue Airways to get some landing “slots” at Reagan National Airport in Washington, D.C. The aircraft Southwest had been planning to use at Reagan suddenly couldn’t be used there so the airline’s schedulers started to look to Baltimore, where they have a major operation, and found the numbers indicated there could be significant demand for the flight. The seasonal flights to Baltimore are scheduled to end April 9 but, fingers crossed, Tucson airport officials are hoping they can continue to make their case for the flights to return. “The wildcard is the cost of fuel,” Allin said.


6 MARCH 9, 2012

INSIDE TUCSON BUSINESS

NEWS PUBLIC NOTICES Public notices of business bankruptcies, foreclosures and liens filed in Tucson or Pima County and selected filings in Phoenix. Addresses are Tucson unless otherwise noted.

BANKRUPTCIES Chapter 11 Business reorganization Daeros Pacific Group LLC, 40 N. Swan Road #118. Principal: James Webb, member. Assets: $18,854.38. Liabilities: $78,679.41. Largest creditor: Internal Revenue Service, $61,351.27. Case No. 12-03992 filed March 1. Law firm: C.R. Hyde Michael G. Byrne, 5084 E. Fort Lowell Road. Principal: Michael G. Byrne, debtor. Assets: $1,532,711.00. Liabilities: $1,766,399.00. Largest creditor: Chase, Columbus, Ohio, $460,617.00, and Bank of America, Simi Valley, Calif., $417,000.00. Case No. 12-04197 filed March 5. Law firm: Eric Slocum Sparks

LIENS Federal tax liens Aloha Appraisals & Real Estate LLC and Michael A. Herrington, 1145 N. Craycroft Road, Suite 101. Amount owed: $22,595.28. Meridian Design & Construction Inc., 10651 E. Calle Nopalito. Amount owed: $5,073.51. Fit Center and Specialty Fitness LLC, 5555 E. Fifth St. Amount owed: $2,943.47. Better Bodies Wellness LLC and Jeramy James Price, 7285 E. Tanque Verde Road. Amount owed: $6,416.28. Steve Reno Inc., 7956 E. Nicaragua Drive. Amount owed: $7,258.45. Reata Equine Veterinary Group LLC and Michael Conaway, 9100 E. Tanque Verde Road, Suite 100. Amount owed: $1,167.53. Perfect View Landscape LLC, 2171 W. Holladay St. Amount owed: $8,057.74. Liberty Tax Service and Willingham Accounting Services LLC, 1016 W. Prince Road. Amount owed: $2,730.00. Nelson Works Inc., 4140 W. Camino Del Yucca, Sahuarita. Amount owed: $28,744.96. Hunter’s Tile Interiors LLC and John Pesquiera, 4115 W. Ironwood Hill Drive. Amount owed: $28,656.38. Catalina Limousine & Transportation Services Inc., 3365 S. Country Club Road. Amount owed: $7,813.77. Diamond Jade Concrete Cutting LLC, 512 E. 28th St., South Tucson. Amount owed: $8,593.87. Old Pueblo Human Resources LLC and Christy Dotson, 5175 W. Ajo Highway A-15. Amount owed: $4,905.46. GFG Metalworks LLC and Marla Ruane, 3448 N. Scott Mine Lane. Amount owed: $5,983.96. Reflections at the Buttes Limited LLC, 9800 N. Oracle Road, Oro Valley. Amount owed: $4,258.32. A&L Auto Care and Arturo Estrada, 4325 S. Sixth Ave. Amount owed: $3,555.77. Settle Enterprises Inc., 5725 W. Bopp Road. Amount owed: $2,151.68. Print Room Inc., 4633 E. Broadway. Amount owed: $80,107.83 (refile) Chariot Pizza Inc., 3930 N. Flowing Wells Road. Amount owed: $30,226.39 (refile) Arizona Academy Leadeership Inc., 6262 S. Sun View Way. Amount owed: $22,306.91. All That Vending and Norris Williams, 1664 E. Calle Grandiosa. Amount owed: $6,318.23. Ram Electric Inc., 4532 E. 32nd St. Amount owed: $47,875.64. CJ’s Services LLC and Milton James, 9661 E. Moonbeam Drive. Amount owed: $1,506.43. Cowboy’s Sweetheart LLC and Ellen Stateler, 4729 E. Sunrise Drive 267. Amount owed: $2,869.72. Envision Corp., PO Box 90676, 85752. Amount owed: $4,873.21. Gateway West Realty Inc., 2151 W. Felicia Place. Amount owed: $37,296.15. Paul’s Dental Lab and Paul M. Anderson, 4463 N. Avenida De Pimeria Alta. Amount owed: $10,589.67. Carefree Landscaping Inc., 2075 E. Benson Highway. Amount owed: $9,357.57. Affordable Window Tinting, 932 W. Grant Road. Amounts owed: $36,786.19 and $137,080.58. Desert Pines Eldercare LLC and Ronald G. Cavelero, 17420 S. La Canada Drive, Sahuarita. Amount owed: $18,418.83. Kidsville and Deborah Nickell, 4055 N. First Ave. Amount owed: $7,210.10.

Dick Morris highlights Metro Chamber’s ‘Outlooks’ Thursday Inside Tucson Business Tuesday (March 13) is the final day to register to hear four widely recognized experts, highlighted by Washington insider Dick Morris, who will reveal their insights on topics crucial to the Tucson region and its future. “Outlooks, Taking Charge of Change,” being put on by the Tucson Metro Chamber, will take place from 8 a.m. to noon Thursday (March 15) at the Casino Del Sol Resort & Conference Center, 5655 W. Valencia Road. Mike Varney, president and CEO of the chamber, said the focus of the event is “business intelligence, to help the business community shape business decisions and public policy going forward.” He said he hopes to be able to make it an annual event with different nationally recognized experts addressing current event topics Tucsonans find important. This year’s speakers are: • Morris, a former Republican political strategist and consultant to among others Bill Clinton, will provide his insight on the latest happenings in the presidential election. • Ron Clark, who has gained notoriety for his success as a teacher working in poor rural schools and in Harlem in New York, will share strategies to improve American education.

• Grady Gammage Jr. is a senior research fellow with the Morrison Institute for Public Policy at Arizona State University and a practicing lawyer and author, will speak on the topic “Tucson’s Place in the Sun Corridor.” • Todd Landfried, executive director of Arizona Employers for Immigration Reform, has been a leader in immigration reform, an issue he says “has divided our state, damaged our reputation and our economy.” The cost to attend “Outlooks” is $49 for members of the Tucson Metro Chamber, or $75 for non-members. Register online at www.TucsonChamber.org or call (520) 792-2250 ext. 132. Reservations are being requested, though tickets will be available at the door. The event Wednesday starts at 7 a.m. when the venue opens with exhibits and food items

for a “walking breakfast” and networking. The exhibits and food will remain open after the speakers until 1 p.m. The program for “Outlooks” is inserted as a special section in this week’s issue of Inside Tucson Business.

Legislators to offer mid-session progress report on March 23 Inside Tucson Business At the fast-pace that proposals can make their way through the Legislature, the challenge can be keeping up and being prepared for a quick trip to Phoenix to be heard. The Arizona Small Business Administration (ASBA) is turning the tables a bit on that scenario and is bringing state lawmakers to Tucson for a special Legislative Luncheon. Senate President Steve Pierce, RPrescott, will be the keynote speaker at the luncheon, which will be from 11 a.m. to 1 p.m. March 23 at the Westin La Paloma Resort and Spa, 3800 E. Sunrise Drive. Other scheduled participants include

Rep. Steve Farley, D-Tucson, and Sen. Al Melvin, R-Tucson, who will provide the Southern Arizona perspective on the current session. “Each year the governor visits Tucson and delivers the State of the State which is always well received. However, we in Southern Arizona don’t normally have the opportunity to receive an update until after the session concludes,” said Jerry Bustamante, senior vice president for public policy of ASBA and whose responsibilities include the Southern Arizona office. “We are pleased that Senator Pierce has accepted our invitation to come to Tucson while still in session, as well as Representative Farley and Senator Melvin, to provide

Southern Arizona with a legislative update.” Bustamante said the event is intended to provide Southern Arizonans with a nonpartisan update from legislative leaders. The luncheon will address the issues that have become a priority in this session and gain insight as to what measures are likely to get passed into law. In addition to the participants, Bustamante said all lawmakers from Southern Arizona have been invited to attend the luncheon. Tickets for the luncheon are $50 each or tables of 10 for $450 with discounts for ASBA members. Register online at www. asba.com or (520) 327-0222.


InsideTucsonBusiness.com

MARCH 9, 2012

7

Snowbirds and the business — and money — they bring to Arizona By Christina Dawidowicz Arizona-Sonora News Service Nancy Bale and her husband last owned a home in Colorado before they decided to sell and travel state to state. So where do they go in the winter? Arizona, of course. Welcome to the snowbirds. Shortly after Thanksgiving, snowbirds suddenly seem to appear in large numbers and take over the road, shops and RV parks. With them comes something good for the state: money. Statistics on snowbirds cannot be easily found. Data of winter visitors in Tucson are kept but are not separated into a separate snowbird database. According to a study done by Arizona State University professors, during the 2002-2003 winter season, more than $600 million was put into the Arizona economy by snowbirds living in RV/trailer/ mobile homes. Researchers estimated 300,000 snowbirds in Arizona for that season. Elizabeth Farquhar from the School of Business at ASU, also worked on the study said they stopped collecting snowbird data due to changes in “bird behavior.” “We used to survey RV parks, since most were using mobile homes as their winter residencies. We found however, that increasing numbers had second homes, eliminating check in records, which made it difficult to know when they came and left,” said Farquhar. According to the Arizona Office of Tourism, no studies on snowbirds have been done in the past 6 years. With a research cost of over $100,000 and a lack of funding, the department had to prioritize which studies to conduct. “Our agency is currently looking into an

other winter visitation survey,” said Kiva Couchon, the Arizona Office of Tourism public information officer and communication manager. “We cant to know and understand the economic impact,” Couchon added. According to Couchon, a snowbird study takes a lot of coordination of people and they are looking into more partnerships to conduct the study. “What’s not to like?” said Carmen Geoggrion, a snowbird from New Mexico. Geoggrion comes to Tucson to visit friends and family and shop. “The traffic here is fantastic compared to Phoenix,” she said. According to Mariam Saleh, a former business owner on Tucson’s Fourth Avenue, and Rhonda Valentino, a real estate agent for Tierra Antigua Realty, snowbirds generally come from the upper-midwest states such as Michigan, Illinois, Wisconsin and other norther states including Washington and Oregon. Saleh, says that January to April is the strongest time for business from snowbirds. However, she adds that, “from time to time,

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I would see some snowbird business in November and December. “ With December being a time for students to return their families, business can be expected to be slow. With Saleh’s business, she saw the opposite for a combination of reasons. November to December sales would increase due to the holidays. “If I were to characterize winter break spending, I would roughly estimate 35 percent local shoppers, 20 percent tourists, 25 percent snowbirds and 20 percent students,” Saleh said. As for what did Saleh’s business supply to cater snowbirds? Toys. “I ordered more toys for children during snowbird season. They were much more likely to spend money on nice homemade gifts for grandkids than a parent with young children,” Saleh added. For snowbirds, it is all about the weather, restaurants and activities Tucson has to offer, such as the Tucson Gem and Mineral show and the Fourth Avenue Street Fair. “Weather is the biggest thing,” said Michael Tantillo, a snowbird from Chicago who has been coming to Tucson for 11

years. “Chicago is full of high humidity and it’s cold,” he added. Valentino believes that snowbirds bring a lot to Tucson’s economy. According to Valentino, a new change that started about a year ago is the snowbirds’ ages. You can now find snowbirds in their 50s who “make purchases now while they are still working and when prices are lower,” Valentino said. Snowbirds, who come from as Valentino puts it, “states that have a nasty winter,” are now shopping for homes in southern states as their second residence. From her experience, when a snowbird starts house hunting, especially in this buyer’s market, they rarely give up. “They usually make a purchase before they leave,” said Valentino. Snowbirds also contribute greatly to RV parks. Pericles Wyatt owner of Desert Trails RV Park located west of the Tucson Mountains near Ajo Highway and San Joaquin road, has owned the RV Park for 14 years and greatly depends on snowbirds for business. “This business wouldn’t be here without them,” Wyatt said. Wyatt sees snowbirds leaving the cold weather behind from northern states and even from some parts of Canada. His biggest state visitor is Colorado. “Without the good weather we would not attract them,” he said. Wyatt fully understands the value of the snowbird and knows that any business can and will benefit from visits of snowbirds. Wyatt said he believes that snowbirds are self-sufficient and that more RV parks are needed to boost Tucson’s economy. “The more RV parks the better for the economy,” said Wyatt.


8 MARCH 9, 2012

INSIDE TUCSON BUSINESS

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9


10 MARCH 9, 2012

INSIDE TUCSON BUSINESS

GOOD BUSINESS PR CORNER

You can learn a lot about your business through associations Remember the days when there was a public relations department staff? Of course, those were the days of the three martini lunch. Not only are we all dry now â&#x20AC;&#x201D; at least at lunch â&#x20AC;&#x201D; we are often a staff of one wearing many organizational hats. With demands on our time and attention coming from so many directions, it can be difficult to be fresh or brainstorm as a lone wolf. If you donâ&#x20AC;&#x2122;t think youâ&#x20AC;&#x2122;re going to be able to grow your staff, why not reach out to fellow professionals. An excellent place to connect with professional peers is in local industry associations; use these to make connections and let the brainstorming begin. As a former membership chair of Tucsonâ&#x20AC;&#x2122;s chapter of Public Relations Society of America (PRSA), I was often asked, â&#x20AC;&#x153;Why should I become a member?â&#x20AC;?

If youâ&#x20AC;&#x2122;re going to hire a plumber you do your research, check the professional organizations, credentials and reviews, correct? The same should hold true if you are looking TERRY MARSHALL for advice, referrals, contractors or fresh ideas on a professional level. Turn to a trusted group of your peers to point you in the right direction, to exchange ideas, to just to do a sanity check. When you operate in a void, itâ&#x20AC;&#x2122;s easy to second guess your instincts and arrive at the conclusion that you are crazy. Youâ&#x20AC;&#x2122;re not. You are just lacking fresh peer perspective. My professional group is the Southern

Arizona chapter of the Public Relations Society of America. This chapter offers a rich continuum of industry and life experiences to anyone bold enough to reach out. You donâ&#x20AC;&#x2122;t need to be a social butterfly but you canâ&#x20AC;&#x2122;t be a couch potato either. Coffee or lunch with a peer can be informative and a way to jumpstart a new direction for a campaign â&#x20AC;&#x201D; or a career. When you invest in yourself as a professional do you buy an iPad? Often, association dues are half the cost. Do you register for a conference? Dues are less than half of an industry conference and you donâ&#x20AC;&#x2122;t need to leave town. So you can leverage your time and limited funds by joining your professional organization. What are you waiting for? Not sure how to start? For communications, you can contact the Southern Arizona chapter of PRSA â&#x20AC;&#x201D; prsatucson.

org â&#x20AC;&#x201D; or the International Association of Business Communicators â&#x20AC;&#x201D; iabctucson. com. For marketing check out the American Advertising Federation of Tucson â&#x20AC;&#x201D; AAFTucson.org â&#x20AC;&#x201D; or the Tucson American Marketing Association â&#x20AC;&#x201D; tucsonama.com. If you are a real estate agent, lawyer, doctor or even a chef, you can visit Inside Tucson Businessâ&#x20AC;&#x2122; annual Book of Lists and find one that should fit your area under the listing for Business and Trade Associations.

Terry Marshall is the associate director of marketing and public relations for the Tucson Symphony Orchestra and is the 2012 president of the Southern Arizona chapter of the Public Relations Society of America, whose members produce this monthly column. Marshallâ&#x20AC;&#x2122;s career includes more than two decades as a rock music journalist.

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TOURISM IN TUCSON

MARCH 9, 2012

11

TOURISM

VisitTucson website gets visitors excited about Tucson happenings Tucson is largely a leisure destination, at- did they spend while they were here? Here are the TNS findings: tracting visitors from across the globe to ex• Nearly 80 percent of all visitTucson.org perience the authenticity of Real Southwest. traffic is new visitors — an indicator that To support the Metropolitan Tucson new awareness for Tucson is being created. Convention and Visitors Bureau mission • 79 percent are extremely likely to to enhance the economic prosperity of the visit Tucson — an indicator that brand region through tourism, the MTCVB Marpositioning is having an impact. keting department oversees the develop• 73 percent actually visited Tucson. ment and execution of the • 50 percent of all visitTucbureau’s multi-media adson.org unique website visivertising campaigns that tors actually came to Tucson. are strategically designed Further, on average, visitors to increase awareness of stayed five days and spent $1,600. — and travel to — Tucson Among overnight visitors, 66 perand Southern Arizona. cent stayed in hotels and 28 percent Through researchstayed with friends and family. driven and resultsTo determine the ROI of visitoriented metrics, we utilize several distribuALLISON COOPER R tion channels to reach key audiences in domestic and international markets, driving consumers to our website — www.visitTucson. org — to connect, influence and convert travelers. This is a strategy that continues to produce an impressive return on investment. In 2011, for every $1 the MTCVB invested, an estimated $4,542 was returned in direct travel spending. Since 2008, the MTCVB has worked with TNS, the world’s largest custom market research company, to determine the economic impact and market reach of visitTucson.org. TNS, founded in the 1960s as Taylor Nelson Sofres group, the firm’s clients include several Fortune 500 companies and the U.S. Travel Association. The most recent website evaluation was conducted from January through May 2011, during which time TNS intercepted online visitors to survey and assess consumers’ website usage and determine the economic impact that visitTucson.org has on visitation. Website visitors were queried by TNS about their primary travel activities and intentions, whether the content they found on visitTucson.org was relevant to their specific trip-planning needs, and most importantly, if the website influenced their decision to choose Tucson over other competing travel destinations. According to TNS, online consumers are, on average, looking at seven different destinations when they’re deciding where to take their next vacation and utilizing 22 different websites for comparison. Tucson.org, TNS multiplied the 56,773 TNS also conducted follow-up surmonthly unique visitors by the 50 perveys from May through August last year to cent conversion rate, then multiplied the determine conversion and travel spend28,387 by the actual, on average, travel ing. That is, did respondents actually spending per party to reach a $45.4 milvisit the Tucson area? And if so, how much

lion monthly economic impact. Utilizing visitTucson.org to attract more overnight hotel visitors and generate more revenue through longer stays, increased spending and repeat visitation is a key strategic initiative. Adopting newer digital technologies has enhanced our online marketing efforts, producing measurable results across digital platforms. Taking visitTucson.org mobile and creating mobileoptimized content for a Spanish bilingual app primarily for the Mexican visitor and a Gem Show app for showcase attendees have connected travelers in real time to our partners, creating new business demand. Of visitTucson.org’s 4 million page views, nearly 700,000 were MTCVB partner listings. MTCVB’s marketing department continues to employ cutting-edge technologies that deliver engaging online experiences to increase Web activity and social sharing. We’ve initiated a new website redesign with Simpleview, a Tucson-based company that serves more than 200 destination marketing organizations across North America, as well as destinations in Australia and Malaysia. It is scheduled to be completed in September 2012, which will have advanced interactivity, seamless navigation and improved user interface. Tourism is the door to economic development. And effective tourism promotion, according to the U.S. Travel Association, is one of the best investments local governments can make as it will drive visitation, increase travel spending, produce greater tax revenues that lessen the burden on residents, and create new jobs. The association reports that for every dollar state and local entities invest, tourism can produce as much as a 31-to-1 return on investment. The recent performance audit by Pima County of the MTCVB reported that the bureau was responsible for generating $170 million in revenue in 2009, an impressive 30-to-1 return on investment.

Contact Allison CooperJane Roxbury, director of Convention Services at the Metropolitan Tucson Convention and Visitors Bureau at at jroxbury@visittucson.org . This monthly column is prepared by the MTCVB. Allison Cooper is the Director of Marketing at the MTCVB. She can be reached via email at acooper@visittucson.org.

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12 MARCH 9, 2012

INSIDE TUCSON BUSINESS

MEDIA

KVOA 4, Arizona Public Media fill high-profile vacancies By David Hatfield Inside Tucson Business To fill a couple of high-profile news anchoring vacancies, KVOA 4 is bringing back two faces Tucson viewers are likely to recognize: Allison Alexander, a former weekend anchor on KGUN 9, and Rebecca Taylor, a former morning and weekend anchor at KVOA 4. Alexander, who will anchor the noon and 4 p.m. weekday newscasts, is returning from Phoenix where she was a morning news anchor on independent station KTVK. Her career also has taken her to the ABC affiliate in Providence, R.I.; the CBS affiliate in Cleveland; and the CBS affiliate in Shreveport, La. Sheâ&#x20AC;&#x2122;s a graduate of Arizona State Universityâ&#x20AC;&#x2122;s the Walter Cronkite School of Journalism. She is in part replacing Martha Vazquez, the long-time anchor who suddenly resigned last month after being accused of shoplifting from Dillardâ&#x20AC;&#x2122;s at Tucson Mall. KVOA says Alexanderâ&#x20AC;&#x2122;s first day should be March 19. Meanwhile, Taylor is returning from

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Nashville, Tenn., where she was a business manager for Christian Dior and worked in the country music entertainment industry since she left KVOA in October 2010. Sheâ&#x20AC;&#x2122;s due back at the station March 21. She will return to co-anchoring KVOAâ&#x20AC;&#x2122;s weekend newscasts with Brandon Gunnoe and be a reporter three days during the week. Taylor grew up in Tucson and graduated of the University of Arizona, which also included a stint as an intern at the station. She was part of the launch of KMSBâ&#x20AC;&#x2122;s original local news team in

Allison Alexander

Rebecca Taylor

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2003 and moved to Phoenix where she was an anchor at KTVK before coming back to Tucson and KVOA in August 2007. Taylor replaces Emily Guggenmos, who with her husband, former KMSB 11 anchor Lou Raguse, left this month to go to work for a station in Buffalo, N.Y. KVOA News Director Cathie BatbieLoucks noted the fact that both Alexander and Taylor already know Tucson and add â&#x20AC;&#x153;tremendous depth of our on-air news talent.â&#x20AC;?

Jacqueline Kain

Public Media content officer A couple of years ago, the University of Arizonaâ&#x20AC;&#x2122;s Arizona Public Media created a position called chief content officer. It was a high-ranking position within the organization and it was made clear that it was more important to find the right person than to rush to fill it. Well, theyâ&#x20AC;&#x2122;ve finally found their

person in Jacqueline Kain, who has come from Los Angeles where she has been an independent new media consultant since July 2009 and before that spent 19 years at the PBS station there; the first 11 years as director broadcasting and program development and then as senior vice president of new media. (The station, KCET, by the way, was one of the founding stations of PBS but ended that relationship at the end of 2010.) Kainâ&#x20AC;&#x2122;s career also included being a curator in New York for Britainâ&#x20AC;&#x2122;s Channel 4, a consultant to the British Film Insistute and director of TV and video exhibition for the American Film Institute. Jack Gibson, director and general manager of Arizona Public Media, says the goal is for Kain to focus on â&#x20AC;&#x153;creating, acquiring, and distributing distinctive and relevant content about Southern Arizona, the University of Arizona, and the Southwest.â&#x20AC;? In the announcement, Kain said, â&#x20AC;&#x153;My first goal will be to review and refresh our existing productions and online resources. The next objective will be to broaden program offerings and increase audience engagement here in Southern Arizona.â&#x20AC;? Arisona Public Media outlets include KUAT-TV 6 and its digital channels PBS Kids, PBS-World, Ready TV and V-me and radio stations KUAZ 89.1-FM/1550AM and KUAT-FM 90.5-FM/89.7-FM.

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

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InsideTucsonBusiness.com

MARCH 9, 2012

13

ARTS & ENTERTAINMENT MEALS & ENTERTAINMENT

ARTS & CULTURE

Film, food, brews combine for fun fundraiser at Fox

Broadway hit ‘Rock of Ages’ comes to Tucson next week

New Belgium Brewing, brewers of Fat Tire, six local restaurants and the Fox Tucson Theatre are teaming up for a special event next Friday (March 16) as part of a “‘Clips of Faith’ Beer and Film Tour.” Here’s the deal: Tucson is one of 18 stops across the country on a tour that will include a showing of a movie titled “Clips of Faith,” a movie made for New Belgium that is supposed to be a collection of “short films about folly, fans and fun.” In addition to the film, six restaurants — The Hub, Delectables, Renee’s Organic Oven, Zona 78, Union Public House and a combined the Abbey/Jax Kitchen — will each create a menu item featuring one of New Belgium’s brews in a compeition. Next week, leading up to the event, each of the participating restaurants will offer their menu item along with a pairing of a New Belgium brew in their restaurants giving patrons a chance to sample and vote on them. The winning restaurant will be presented with a “Golden Globe” at the March 16 showing. The whole thing is a fundraiser with proceeds going to benefit Cyclovia Tucson, which will hold its third annual event from 10 a.m. to 3 p.m. March 18. Five miles of city streets in downtown Tucson and South Tucson will be made car-free and people will be invited to walk, bicycle, tricycle, roller skate, skateboard, run or use any nonmotorized transportation to explore areas around six main areas: Armory Park and the Children’s Museum, Santa Rita Park, South Tucson’s Fourth Avenue “restaurant row,” Arizona Children’s Association and Mission View Elementary School, Santa Rosa Park, and Ochoa Elementary School. There will be acitivities, food vendors and entertainment at each of the areas. Organizers say they hope to double last year’s 10,000 participants. Information about the event at the Fox is on the New Belgium Southern Arizona Facebook page at www. facebook.com/NBSouthernAZ and more about the Cyclovia event can be found at www.cycloviatucson.org.

After taking a fourth-month respite, Broadway In Tucson resumes its 20112012 season with “Rock of Ages” next week in the Music Hall at the Tucson Convention Center, 260 S. Church Ave. Nominated for five Tony Awards, this smash hit is a 1980s-themed musical that is part comedy, part love story about a small-town girl who falls in love with a big-time star at a Los Angeles rock club. This trip back in time will bring back memories of mullets and leg warmers along with music by Journey, Styx, REO Speedwagon, Pat Benatar and others. A big-screen movie version of the play is due out this summer starring Tom Cruise and Alec Baldwin. Meanwhile, the curtain goes up on performances of the Broadway In Tucson presentation at 7:30 p.m. March 13-15, at 8 p.m. March 16, at 2 and 8 p.m. March 17 and at 1 and 6:30 p.m. March 18. Buy tickets online at www.broadwayintucson.com.

El Charro, Barrio team up To help mark El Charro Cafés’ 90th anniversary, the Flores family is partnering with Barrio Brewing to create a custom am-

ber ale. The new brew, 1922 Amber Ale — named for the year El Charro opened — is now being served at all five of the restaurant’s locations. • El Charro Café — www. MICHAEL LURIA elcharrocafe. com — locations: 311 N. Court Ave. (520) 622-1922; 6310 E. Broadway in El Mercado (520) 745-1922; 7725 N. Oracle Road in Oracle Crossings, Oro Valley, (520) 229-1922; 6910 E. Sunrise Drive in Ventana Village (520) 514-1922; and 15920 S. Rancho Sahuarita, Sahuarita, (520) 325-1922

Pastiche goes Irish Pat and Julie Connors will celebrate their Irish heritage and transform their Pastiche Modern Eatery into an Irish pub for St. Patrick’s Day March 17. It will be open from 11:30 a.m. to 10 p.m. featuring special menu items. The apppetizer menu will include leek and bacon tart, Irish potato soup (with bacon and chopped chives) and soda bread. Main course choices include corned beef and cabbage; a hamburger steak topped with porter cheddar, gravy made with Guinness stout, pepper bacon and a fried egg; grilled lamp chops with Irish whiskey cream sauce and trout coated in oatmeal and cooked in brown butter. Top off the meal with a cheesecake made with Bailey’s Irish Cream, pie made with Kilbeggan Irish Whiskey or cake made with Guinness stout. • Pastiche Modern Eatery, 3025 N. Campbell Ave. in Campbell Village — http://pasticheme.com — (520) 325-3333

Contact Michael Luria at mjluria@gmail. com. Meals & Entertainment appears weekly in Inside Tucson Business.

Railroad, Irish celebrations On March 20, 1880, a monumental event occurred that forever changed Tucson’s destiny — the railroad arrived. And it arrived from California at 11 a.m. about an earlier than it was expected. Each year the Southern Arizona Transportation Museum celebrates the arrival of the raiload and this year that celebration will take place at 9 a.m. March 17 at the Historic Depot on Toole Avenue, between Fourth and Sixth avenues. This year’s events include a re-enactment of the arrival along with period music, a 1911 Stoddard-Dayton touring car and a display of the original silver spike that was used in 1881 at Deming, N.M., to connect the nation’s second transcontinental railroad. Afterward, stick around downtown for the 25th annual St. Patrick’s Day parade that begins with a festival starting at 10 a.m. in El Presidio Park Plaza, 160 W. Alameda St. The one hour parade gets underway at 11 a.m. and will follow a different route this year, starting at Stone and Pennington avenues and head north on Stone to Council Street where it

NEWS TO YOU!

will jog west one block to Church Avenue then north to Franklin Street where it will turn west to Main Avenue to Alameda turning east to end up back at El Presidio Park. HERB STRATFORD

Music The Amsterdam Baroque Orchestra and Choir will perform Johann Bach’s Mass in B Minor at 7 p.m. Sunday (March 11) in Centennial Hall, 1020 E. University Blvd. on the University of Arizona campus. The group was assembled by conductor Ton Koopman to record all of Bach’s secular and sacred cantatas and has won numerous awards for their work. A 25-member choir joins the 27-member orchestra to present the work as it has rarely been performed. Buy tickets at UApresents — www.uapresents.org. Also, the Tucson Winter Chamber Music Festival wraps up this weekend in the Leo Rich Theater in the Tucson Convention Center downtown and the dinner gala and concert takes place Saturday night at the Arizona Inn. To check tickets and availability for the concerts go to the Arizona Friends of Chamber Music’s website — http://arizonachambermusic.org.

Film A few interesting films of note are scheduled to open on Tucson screens this weekend. First up is “Friends with Kids,” starring Jon Hamm, of “Mad Men.” Also out is the comedy “Jeff Who Lives at Home,” with Jason Siegel and Ed Helms, and the horror flick “Silent House,” with Sundance starlet Elizabeth Olsen. All are competing against the mega-million Disney flick “John Carter” for audience dollars.

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

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14 MARCH 9, 2012

INSIDE TUCSON BUSINESS

PROFILE Harris Environmental Group strikes balance in environment and economy By Christy Krueger Inside Tucson Busines In a society often torn between economic growth and preservation of our natural resources, it’s comforting to know there are individuals working to w BIZ FACTS provide a p balanced b Harris Environmental Group Inc. vviewpoint and lleading the way 58 E. Fifth St. iin responsible www.heg-inc.com decision making d (520) 628-7648 cconcerning our planet and its p inhabitants. Lisa Harris moved to Tucson from Chicago in 1987 with an appreciation for the Southwest’s expansive wilderness and million-dollar scenery. After earning her doctorate in wildlife biology from the University of Arizona, she opened Harris Environmental Group, a consulting firm with offices in the San Francisco Bay Area, Seattle and Tempe, in addition to its Tucson headquarters. Supported by a staff of biologists, archaeologists and mapping specialists, Harris guides clients through policies and Lirain Urreiztieta, biologist with Harris Environmental Group, rappels into a cave west of regulations designed to protect the area’s Mission Road in search of bats before Bureau of Land Management sealed the opening. Debbie Buecher, Harris Environmental Group, photo

plants and animals, waterways and cultural artifacts. “We work with everyone from private land owners to the Department of Defense,” Harris said. She points to a Bureau of Land Management job on Tucson’s eastside as an example of government agency work she’s been hired to perform. “They were doing mesquite thinning to prevent wildfires,” Harris explained. “They needed an archaeological survey. We found artifacts and created maps of the area so they’d know to stay away from them.” One of her private sector jobs involved digging in advance of residential construction near Speedway and Euclid Avenue, once the site of a cemetery, according to Harris. “At one time people came and relocated family members, but there are still some bodies there. We dug and we didn’t find anyone.” On another occasion, she said, they did find someone. Northwest Fire District was building a new station near the Santa Cruz River, an area known for its early communities. There, Harris Environmental archaeologists uncovered the remains of a Native American burial. Records reflecting sites that were once inhabited by early populations are held by the Arizona State Museum. “There’s a database we pay to be part of. We plug in a property address and do a search for a one-mile radius. It points to what’s been discovered. They keep the access tight — it’s to safeguard artifacts or they’d be dug up and sold on eBay,” said Harris. One of her favorite types of projects is exemplified in the Starr Pass development

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Sherri Turner, Harris Environmental Group, photo

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Lisa Harris, founder and president of Harris Environmental Group.


InsideTucsonBusiness.com

MARCH 9, 2012

in the Tucson Mountains on Tucson’s westside. “I like working with developers interested in creating experiences where they integrate resources, such as trails or a golf course. We did the environmental work for Starr Pass. They were very conscious of the footprint they’re leaving.” Harris has performed work for Pima County, including surveying for cultural artifacts and tortoise burrows on the Arizona Trail and a massive riparian mapping project for all county areas, which involved a total of 2 million acres. She also works for Department of Homeland Security on border projects where she must be escorted by armed guards. The expertise Harris has developed over the years hasn’t gone unnoticed. A representative from a book publishing company was in the audience during a workshop Harris presented a few years ago in conjunction with the Wildlife Society’s annual conference in Tucson. Harris was invited to contribute to a book project for CRC Press titled “Cumulative Effects in Wildlife Management.” She is credited as co-editor and she co-authored two chapters. Intended for use by wildlife biologists and in upper level public management college courses, the book emphasizes the importance of looking at human encroachment from a “bigger picture” standpoint,

Harris stated. Personally, Harris is an avid hiker and nature lover. She serves on the Friends of Saguaro National Park board of directors, which helps raise money for research and park efforts. She and one of her daughters participated in last October’s BioBlitz, a 24-hour species inventory of Saguaro National Park that attracted over 5,000 volunteers. Harris is also a supporter of Arizona-Sonora Desert Museum and is a past member of its board of trustees. Since moving to Tucson 25 years ago, Harris has seen a change in attitudes concerning protection of our desert and its natural resources. “I think we’ve become more conscious and aware of the environment and more willing to support it. A lot of us moved here because of the mountains, blue sky, the saguaros and all things wild. To have those, you need to be supportive and have guidelines to preserve and persevere.”

Lisa Harris, Harris Environmental Group, photo

PROFILE

Safeguarding cacti on Tumamoc Hill during construction of a new gas pipeline.

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16 MARCH 9, 2012

INSIDE TUCSON BUSINESS

CALENDAR

Going Solo: Starting and Building Your Own Business Wednesday (March 7 and 21) 10 a.m. (March 7) and 11:30 a.m. (March 21) Venue: Joel D. Valdez

REGULAR MEETINGS

Varsity Clubs of America Midtown Mixer First Tuesday 5 to 7:30 p.m. 3855 E. Speedway RSVP: midtownmixer@ excite.com Information: (520) 918-3131 Cost: free, cash bar, menu available

Alliance of Construction Trades Third Wednesday 5 to 7 p.m. Hotel Tucson City Center 475 N. Granada Ave. Information: www.actaz.net RSVP: By noon on Monday prior to meeting, (520) 624-3002 Cost: $20

American Society of Training and Development Third Friday (excluding August) 7:30 to 9:30 a.m. Breakfast and professional development meeting El Parador 2744 E. Broadway Information: www. ASTD-Tucson.org

{TELL US ONLINE} Now your business can tell Inside Tucson Business about new hires, promotions and special awards online. Go to www.insidetucsonbusiness.com and click the â&#x20AC;&#x153;People in Actionâ&#x20AC;? button. From there you can submit your announcement and weâ&#x20AC;&#x2122;ll publish it online and in print.

ANNUITY INVESTMENT SEMINARS

Common mistakes of annuity owners Every Tuesday 3:30 p.m. Bookmans 6230 E. Speedway Information: (520) 990-0009 Arizona Business Leads of Tucson North Every Wednesday except the ďŹ rst Wednesday of the month 7:30 to 9:00 a.m. Mimiâ&#x20AC;&#x2122;s CafĂŠ 4420 N. Oracle Road Info and RSVP: jill@ ronstadtinsurance.com

Arizona Real Estate Investors Association Second Tuesday, 5:30 to 8:30 p.m. Windmill Suites 4250 N. Campbell Road Information: (480) 9907092 or www.azreia.org Cost: Free, members, $15 nonmembers preregistered ($20 door) Arizona Small Business Association SO/HO (Small OfďŹ ce/ Home OfďŹ ce Community) First and Third Wednesdays 8:15 to 9:30 a.m. ASBA conference center, 4811 E. Grant Road, Suite 262 Information: www.asba.com Cost: Free to ASBA members

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Register TODAY! Visit: tucson.bbb.org/torchawards $65 Single Attendee | $600 Table of 10 %%%ZLOOKRQRUWKUHHEXVLQHVVHVWKDWH[FHOLQPDUNHWSODFHH[FHOOHQFH 1$:%2ZLOODOVRSUHVHQWLWVÂľ1$:%2%XVLQHVV:RPDQRIWKH<HDU$ZDUGÂś Thursday, April 26, 2012 11:30 a.m.- 1:00 p.m. Registration/networking begins at 11:00am JW Marriot Starr Pass Resort & Spa 3800 W. Starr Pass Boulevard Tucson, AZ 85745 Reserve your seat by April 20th

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Knowledge Transfer: â&#x20AC;&#x153;The IRS & You: Five Tricky Small Business Tax Deductionsâ&#x20AC;? Tuesday (March 20) 11:30 a.m. to 1 p.m. Tucson Metro Chamber 465 W. St. Maryâ&#x20AC;&#x2122;s Road Info and RSVP:: achiovet@ tucsonchamber.org (520) 792-2250 ext. 135 $10 for members; $20 for general admission www.tucsonchamber.org

Main Library 101 N. Stone Avenue Contact: askalibrarian@pima. gov of (520) 791-4010 www.library.pima.gov Free

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InsideTucsonBusiness.com

MARCH 9, 2012

17

NEWS

Southern Arizona business leaders fight border warning bill By Hank Stephenson Inside Tucson Business PHOENIX — Saying it could be the worst thing to hit Arizona tourism since SB 1070, Southern Arizona business and government leaders are calling on lawmakers to kill a bill that would create a border-region safety warning system. The measure (HB 2586) would require the director of the Arizona Department of Homeland Security to monitor and disseminate to the public, via social media and email, information considered to be a warning about “dangerous conditions” up to 62 miles north of the border with Mexico. That would include parts of the Tucson region. The bill was passed with an initial voice vote of the House and is awaiting a full vote before it can move to the Senate for consideration. Rep. Peggy Judd, R-Willcox, said she designed the measure to keep her constituents on the border abreast about the latest safety concerns and to make sure travelers and residents have a reliable source to consult regarding inherent and specific dangers of the border area. But Southern Arizona business and government leaders called the bill “reckless” and “damaging to the businesses and economy of the region.” The Tucson Metro Chamber so far hasn’t taken an official stance on the bill, but Robert Medler, vice president of government affairs, said it is putting up red flags and the chamber will oppose it if it moves further. Medler said the idea that warnings are needed as far north 22nd Street in Tucson are baseless and send a bad message about the region and Tucson.

“It’s going to cut down on our tourism,” he said. “It’s just like a (U.S.) State Department warning about going into Puerto Peñasco, into Rocky Point — the way that that cuts down tourism, it’s a big concern.” Bruce Bracker, owner of Bracker’s Department Store in Nogales and president of the Nogales Downtown Merchants Association, said the bill will fan the flames of border hysteria and further the undeserved bad image border cities are fighting. His longtime family business relies on tourists from both sides of the border and tourism has slowed in recent years for numerous reasons, including unfounded fears of safety. Constant email blasts, tweets and Facebook updates about dangers in the area would unnecessarily scare travelers and hurt his bottom line, he said. “This bill has the potential to do more damage to tourism in our state than SB 1070,” he said. “Who wants to go visit a war zone?” Nogales Mayor Arturo Garino has similar concerns, and he drafted a letter to state lawmakers asking them to kill the bill. He has also been in contact with other mayors along the border including Douglas Mayor Michael Gomez, who are voicing their opposition to the bill. Garino’s has been fighting the negative image of the border, stressing the area is safe, citing FBI crime statistics showing that Nogales has a much lower crime rate than most towns of the same size. He said this new bill, like many measures out of the Legislature lately, seeks to pick on and harm the border region to score political points. Garino is used to warnings south of the border, but said to issue a steady stream of them about part of Arizona is unfair and will hurt the area’s already strained economy.

“Yes, it’s going to hurt us,” he said. “It will stop people from coming to Nogales. We’re struggling as it is, and we need American tourists.” But Judd, who sponsored the bill and represents a large swath of the region covered under it, said she doesn’t think the bill will harm businesses or towns. Last year, she got an email from the U.S. Bureau of Land Management to firefighters working along the border that had some helpful tips, and she wants to make sure someone is culling those government sources and getting that kind of useful information out to the public. Judd said the memo warned to not automatically trust official looking vehicles or people dressed like police officers in the border region; to return with caution to vehicles parked in the desert; and to assume anyone approaching you in the border region, even if they say they are sick or hurt, is armed and willing to hurt you. “When I saw that warning, I never imagined that would be a problem, yet knowing that would potentially keep me safe,” she said. She said she understands the concerns from the business community because her family owns a real estate business but she says people have a right to know the truth. Instead of stirring up fears of the border region, Judd said the bill will calm fears and dispel rumors by giving people access to accurate information in a timely manner from a trusted source. She said she trusts the director of the Arizona Department of Homeland Security to issue pertinent warnings and not needlessly stoke fears. For his part, Gilbert M. Orrantia, appointed director of the Arizona Department of Homeland Security, said the bill could

damage Southern Arizona businesses. “I think that when we make a warning it is a very careful thing that we must do,” he told a House committee hearing on the bill in February. “If we were to warn with regard to a certain area or a specific community, that can affect commerce — that can affect trade to that community.” The warnings are meant to be sent to those who need the information, Judd said, and she is considering amending the bill to exclude social media and only send the information by email to those who request it if it, or to put it up on a state website instead, if it will calm her constituents. But an amendment wouldn’t be enough to calm the concerns of Mindy Maddock, president of the Tubac Chamber of Commerce and an associate broker with Brasher Real Estate in Tubac. She sent a letter to lawmakers asking them to oppose the bill and saying the measure “will harm all of our communities including Nogales, Rio Rico, Tubac, Green Valley, Sahuarita, Bisbee and Tucson, to name only a few.” Maddock said the bill’s sponsor may have good intentions, but she doesn’t understand the reality of the situation along the border. The real problem in border communities isn’t crime, she said, it’s the heavy hit from the economic recession, due in part to the negative image propagated by lawmakers’ with bills like this. “The way we look at it, this bill, in its best light, is impractical and irresponsible and in its worst light is highly destructive,” she said. “It is harmful to our economy, it paints our area and all of the Arizona-Mexico border as dangerous and uninviting. Our communities and businesses are struggling enough as it is.”

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18 MARCH 9, 2012

INSIDE TUCSON BUSINESS

By Lee Allen Inside Tucson Business The assorted violins, trumpets, guitars, and on occasion, harps and accordions that make up Tucson’s annual International Mariachi Conference will assemble next month in a new home at the Pascua Yaqui tribe’s Casino del Sol Resort. “We had a good 29 year run downtown and it was sad to consider leaving, but we needed to make a change and now have a new opportunity to rebuild,” said confrence chairman Alfonso Dancil. The conference has signed a three-year agreement to be staged at the southwest side venue. “This will be the 30th anniversary of the largest and longest-running event of its kind in the world,” according to Daniel Ranieri, president of La Frontera Arizona, the umbrella organization that uses profits from the event to fund community services. “This partnership will help us remain the home of the nation’s premiere mariachi conference and allow us to share a common vision which is to preserve the tradition we treasure and establish this as a must attend event.” The annual mariachi conference has raised more than $3.5 million for programs support-

ed by La Frontera. With both good and bad years recorded over the history of the annual event, in some ways the conference became a victim of its own success. “We’ve seen similar events spring up throughout the country and in Mexico that were patterned after our efforts. As a result of that increase in mariachi music availability and a changing economy — coupled with an increase in expenses — BIZ FACTS it got more difficult for Tucson International us to keep Mariachi Conference up, even April 28 – 28 spawning Casino Del Sol Resort p re m a t u re 5655 W. Valencia Road rumors of our demise,” Tickets go on sale today (March 9) at tucsonmariachi.org Ranieri said. “We had to find a way to do things differently and the partnership with the Pascua Yaqui tribe and Casino del Sol Resort should work well for all parties.” Tribal Council member David Ramirez said the multi-year pact amounted to a winwin as a fundraiser and also represented a milestone for a tribe with 40,000 Yaquis born

2012 Legislative Update LUNCHEON

Fr i day, M a rc h 2 3 | 11 a m - 1 p m Westin La Paloma Resort & Spa | 3800 East Sunrise Drive, Tucson Please join us for a special, non-partisan luncheon to learn about the issues that are the top priority of this year’s Arizona Legislature and how this year’s session might conclude.

Lee Allen photo

Next month’s mariachi conference moves to Casino Del Sol

Casino del Sol CEO Wendell Long, at podium, introduces La Frontera Arizona Chairman Daniel Ranieri at a news conference announcing International Mariachi Conference’s new home at Casino Del Sol.

in Mexico that were close to the centuries-old musical style. Casino CEO Wendell Long told reporters: “The tribe decided to step up, not to just subsidize a great event, but to work to make this event even better than in years past. The mariachi conference is a shining example of large-scale events that Tucson has become known for hosting. We weren’t interested in a one-year deal because we want to work to make this another of Tucson’s major marquee presentations, ranking right up there with other spotlighted events like the All-Star football game, the golf world’s match play competition, the rodeo, and the gem and mineral show.”

Guest Speakers: Presented by:

Keynote Speaker: Arizona Senate President Steve Pierce

Rep. Steve Farley

Sen. Al Melvin

Table of ten: ASBA Members $400 | Non-members $450 Individual seats: ASBA Members $45 | Non-members $50 To register, visit asba.com or call 520.327.0222.

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Standing quietly at the back of the press conference Monday (March 5) where the partnership was announced was Steve Neely, executive director of marketing for Sol Casino, who was pondering the reality that just weeks remain to pull the event together. “This will be quite an undertaking, but we’re prepared for it and to be involved at this level shows what our new venue is capable of doing,” he said. The conference and festival will run April 25-28, culminating with a grand concert April 27 and a day-long music and dance Fiesta de Garibaldi featuring Mariachi Nuevo Tecalitlan and Femenil Nuevo Tecalitlan from Guadalajara on April 28.


InsideTucsonBusiness.com

MARCH 9, 2012

19

GOOD BUSINESS SMALL BUSINESS

Hidden roadblocks that will stop you from achieving goals You’re now two-thirds of the way into the first quarter of the business year and already, you can see you aren’t on track. If you feel you aren’t achieving what you set out to do as quickly as you wanted, it is time to step back and dig deeper and ask some hard questions about your business goals. Have you made it real? So many of us are fuzzy about what the goal really looks like. We don’t give it detail and because of this, there is lack of focus. I encourage clients to set fewer goals and be really clear about them. Set precise, positively worded goals with times, dates, amounts and action steps. Then make them visual. Your goals can be written or you can get a pictorial representation. By being creative, you can make your goals more concrete, visual and ever present by putting them where you can see them regularly. Someone once said “The confused mind never buys.” In this case, your mind won’t “buy” your goals unless you help it get clear. Put them where you can see them and enjoy the process. What are your hidden negative beliefs about this goal? Do you really believe you

can achieve this goal? Does some part of you say this is too hard? Is someone going to get hurt if you achieve this? Is it you? Many of us are raised with LOUISE ABBOTT cautions about reaching too far and getting a big head. Do you believe this goal might have repercussions you aren’t ready to handle? Sometimes on the path to achieving a goal we see that certain actions will set things in motion we weren’t prepared for. By examining the goal carefully, and looking at your reaction to taking the necessary steps required, and the actual results you will achieve, you may uncover the very thing, usually a fear of some sort that is holding you back. Is this “your” goal? Or did you set it because it seemed right because the “experts” or your superior said so. If you are your own boss, is it society’s goal, your

parent’s goal or your spouse’s goal? Goals set by others, spoken or unspoken are doomed to failure at some point because unless we are clear about why we are doing it, when problems arise, we will lose momentum. Sometimes we set a goal because we think we should be at a particular place in our life. We try to live up to a false selfimage of where we think we “ought” to be. Goals set from a place of ego enhancement or duty just don’t fly. You must own the goal and be sure it is in alignment with your overall plan for yourself and your business. Is it about give as well as take? We set goals because we want to get something more from our efforts in our business. This is good. The question then is, what are you going to give? Better service? An improved product? Improved customer relationships? Focusing only on what you can get shows in every way we relate to others. Don’t think people won’t notice. They may not tell you, but they will know if think of them as the latest kill. Always being on the hunt is exhausting. Creating give and take

business relationships is far more rewarding. If you need a bit of guidance and accountability, you may want to consider meeting with a business coach or mentor. The Arizona Small Business Association has a valuable coaching program offering members the opportunity to meet one-onone with an experienced, credentialed business coach. You can find out more about it by calling the Tucson office at (520) 327-0222. In his book on achieving success, Deepok Chopra writes, “Success in life (and we assume this means business as well) can be defined as continued expansion of happiness and the progression of worthy goals.” With this attitude, combined with a fearless look at our roadblocks and a commitment to doing our best, we are likely to not only achieve our business goals, but be a lot happier over all.

Louise Abbott works in the Southern Arizona office of the Arizona Small Business Association, 4811 E. Grant Road, Suite 262, in Crossroads Festival, phone (520) 327-0222.

PEOPLE IN ACTION APPOINTMENTS Morgan Stanley Smith Barney vice president and portfolio manager Alan F. Willenbrock, CFA, has been appointed to the firm’s Pacesetter’s Club, a global recognition program for financial advisors who demonstrate the highest professional standards and first class client service. Willenbrock has been with Morgan Stanley Smith Barney since 2007. He holds a bachelor’s degree in chemical engineering from University of Colorado, Boulder and an MBA in finance from the University of Denver. PROMOTIONS The Arizona Small Business Association has promoted Jerry Bustamante to senior vice president of public policy for Southern Arizona. The Arizona Small Business Association has also promoted Kristen

TERRY GALLIGAN

Wilson. Her new title is chief operating officer. ELECTIONS Eric D. Eberhard has been elected as the chair of the board of trustees of the Tucson-based Udall Foundation. Eberhard has been a board member since 2000. Eberhard is a Distinguished Indian Law Practitioner in Residence at the Law School at Seattle University. He received his B.A. degree from Western Reserve University in 1967, a J.D. degree from the University of Cincinnati in 1970, and an L.L.M. from George Washington University in 1972.

MELISSA FROWNFELTER GEORGE BON

The Bank of Tucson has elected local insurance industry veteran David Lovitt Jr. to its board of directors. A native Tucsonan, Lovitt has served as principal with the D.M. Lovitt Insurance Agency since 1988 and has nearly 45 years experience in the insurance industry. Lovitt has received numerous awards throughout his career, including the 2008 Paul H. Jones Agent of the Year Award by the Independent Insurance Agents and Brokers of Arizona. NEW HIRES Tucson-based HTG Molecular has hired

ISABLE KIM

{TELL US ONLINE} Now your business can tell Inside Tucson Business about new hires, promotions and special awards online. Go to www.insidetucsonbusiness.com and click the “People in Action” button. From there you can submit your announcement and we’ll publish it online and in print. three professionals to its executive team: Shaun McMeans, vice president of finance, administration and CFO; Timothy J Holzer, Ph.D., M.A., vice president of clinical diagnostic development; and Sam Rua, vice president of regulatory affairs and quality systems.

The University of Arizona Department of Surgery has hired Tolga Turker, MD, and Jiyao Zou, MD, assistant professors in the Division of Reconstructive and Plastic Surgery. The two surgeons specialize in the transplantation and replantation of severed digits or extremities and microsurgical reconstruction of damaged areas of

DEBORAH LAHTI

BRYAN TUBAUGH

the body from injuries or cancer. In addition to transplantation, Turker and Zou treat all types of hand problems, including nerve compression and degenerative diseases, and perform upper-extremity repair and free-tissue transfer for trauma injuries and skin defects, vascularized-bone transfer for fractures and deformities and toe-to-hand transfer for thumb and finger reconstruction. Turker earned his medical degree at Istanbul University in Turkey. Zou received his medical degree from Shandong Medical University in China.

Old Pueblo Community Services Director Terry Galligan received honors in the White House as one of eleven housing counselors and HUD-approved organizations being recognized as Champions of Change. Galligan was recognized for his hard work, perseverance and dedication to the Tucson community, for outstanding commitment and achievement representative of the collective work of thousands of housing counselors across the United States. Tucson’s Westin La Paloma Resort & Spa has hired Melissa Frownfelter, George

Bon, Isabel Kim, Deborah Lahti and Bryan Tubaugh. Frownfelter is a ten-year hospitality veteran who worked in Minneapolis and Denver. She has B.A. in interior design from Kendall College of Art and Design. Bon has ten years in the hospitality industry. He has a B.S. in sociology from the University of Arizona. Kim is a ten-year Westin La Paloma veteran now serving the Arizona market. Kim earned a B.A. in fine arts from Marymount Manhattan College. Lahti serves Northeast region, Washington D.C., and Virginia-based clients. Lhati earned a B.S. in hotel, restaurant and tourism management from New Mexico State University. Tubaugh serves the Midwest market and HelmsBriscoe clients. During his tenyear hospitality career, Tubaugh has contributed to successful sales and marketing programs at Aloft in Tempe and Sheraton Four Points in Tucson.


20 MARCH 9, 2012

GET ON THE LIST Next up: Airlines service Tucson, Top airline destinations from Tucson Inside Tucson Business is in the process of getting data for the 2013 edition of the Book of Lists. Categories that will be published in upcoming weekly issues of Inside Tucson Business are: • March 16: Acute-care hospitals, Rehabilitation centers, Nursing care centers and

INSIDE TUCSON BUSINESS

Home healthcare agencies • March 23: Airlines serving Tucson, Top airline destinations from Tucson • March 30: 501(c)(3) organizations, United Way allocations, Charitable trusts • April 6: Landscape architects, Swimming pool builders • April 13: Banks, Credit unions If your business fits one of these categories, now is the time to update your profile. Go to www.InsideTucsonBusiness.com and click the Book of Lists tab at the top of the page. New and unlisted businesses can create a profile by following the directions.

Whatever you’ve told us drives our every move. Therefore, what you want is what we pursue. What you need is what we get. We never forget that we work for you. CORPORATE REAL ESTATE SERVICES 3709 N. Campbell Ave, Suite 201 | Tucson, AZ 85719 | 520.881.8180 | FAX 520.881.5844 Contact us at 1.800.831.4090 or at www.cotlow.com | Dean P. Cotlow Cotlow@cotlow.com

The Book of Lists is a year-round reference for thousands of businesses and individuals. To advertise your business, call (520) 2941200.

MANUFACTURING

TECHNOLOGY

Raytheon Missile Systems has received a $79.2 million contract to develop a system for the U.S. Army that would detect and destroy incoming rockets aimed at troops. The system, known as the Accelerated Improved Intercept Initiative, is scheduled for a demonstration in 18 months. Raytheon will develop the interceptor in Tucson and the Army will provide the launcher, fire control, and command and control systems. The goal, officials said, is to protect troops from incoming arms fire while making use of existing technology. “By making extensive use of existing technology and weapon systems, Raytheon will keep down both cost and risk,” said Rodger Elkins, director of advanced Army systems for Raytheon Missile Systems. “Our experience in developing missiles, combined with our expertise as a mission systems integrator, will help us provide the Army with an affordable, effective weapon system capability.”

Tucson firms team on IT solution for mines Modular Mining Systems Inc., which provides information management solutions for mining operations worldwide, has formed an alliance with Tucson Embedded Systems Inc. to develop the hardware of the Modular AssetAlert System, which is billed as an affordable asset tracking and management solution for surface mines. The AssetAlert system allows mines to remotely locate missing equipment, optimize equipment utilization, prevent misuse or theft and receive alerts when thresholds are exceeded. AssetAlert runs as a standalone system, with a Web-based server and viewers. Tucson Embedded Systems, headquartered at 5620 N. Kolb Road, Suite 160, developed the hardware, which consists of a small, durable device called the Asset Node. It is equipped with on-board GPS, analog input, two digital inputs and outputs, and digital accelerometer. “Traditionally, mines have struggled to effectively manage the hundreds of moving and fixed assets at their sites. AssetAlert gives mines the tools to not only track equipment, but to better allocate, control, and maintain equipment, saving considerable time and money.” said Lucas Van Latum, manager of technology and innovation at Modular, Modular Mining Systems’ corporate headquarters are at 3289 E. Hemisphere Loop.

Raytheon gets $79M contract for anti-rocket system

COMMERCIAL REAL ESTATE

Negotiations continue for Starr Pass resort

A foreclosure auction of the JW Marriott Starr Pass Resort and Spa has been postponed for a second time as negotiations continue between the lender, US Bank, and a potential buyer. According to a person familiar with the situation, it’s believed the two parties are close enough to a negotiated settlement that the foreclosure auction will not take place. Oftentimes that is what happens and in this case it was unusual that the lender appeared headed to take the foreclosure all the way to auction. The source would not identify the potential buyer. An auction of the 525-room resort in the Tucson Mountains was initially scheduled for Feb. 2 but was postponed at the lastminute to March 2. Technically, the latest postponement has an auction scheduled for Antonio Procopio, left, vice president and co-founder of Tucson EmbedApril 2. ded Systems, and Michael Lewis, vice president of sales and marketThe resort has been ing for Modular Mining Systems, announce partnership for AssetAlert in receivership since System. developer Christopher Ansley’s Starr Pass Resort Developments defaulted on a $145 million loan made in August 2006. Despite the foreclosures, the resort has continued to operate and the management relationship with Marriott remains unchanged.


InsideTucsonBusiness.com

MARCH 9, 2012

21

GOVERNMENT

Supervisors decide against appealing Rayheon valuation The Pima County Board of Supervisors on Tuesday (March 6) reversed course and voted against pursuing further legal actions to raise the property valuations for tax purposes for a portion of Raytheon Missile Systems main site south of Tucson International Airport. The dispute centered on a reduction first won in the 1950s by the late Howard Hughes. Raytheon, which acquired Hughes Aircraft in 1998, had successfully maintained the lower values through appeals. In December, the supervisors had voted to take their case to the next level but after consulting with attorneys Tuesday, they reversed that decision. For Raytheon Missile Systems, which pays about $130 million annually in state and local taxes, the reduced valuations have saved the company about $1.7 million in taxes the past three years.

EDUCATION/RESEARCH

PCC to offer behavioral health services certificate Pima Community College plans to launch a new program in behavioral health services to help meet demand for entry-level professionals in the field. Students completing the 18-credit program will receive a Basic Certificate for Direct Employment. In Pima County, the U.S. Bureau of Labor Statistics projects 16 percent growth for social- and behavioral-health technicians through 2018, and 15 percent growth in psychiatric technicians. The new program will be headquartered at Desert Vista Campus and will be offered in partnership with the Native American Pathways Out of Poverty Network.

Vantage West can help you grow your business. Whether you want to build a new office or warehouse, expand your current facilities, purchase equipment or a fleet of vehicles, we can help. We have money to lend to qualified businesses, and because all loan applications are reviewed right here in Tucson, you’ll get a decision quickly. Call us.

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22 MARCH 9, 2012

INSIDE TUCSON BUSINESS

FINANCE YOUR MONEY

Travel journal: Getting to know foreign investments Foreign investments can play an important role in helping to diversify a domestic equity portfolio. But before plunging into international waters, it’s important to understand the differences between developed and emerging markets and the risks inherent to each.

Emerging trends Once upon a time, the United States was considered an emerging market. In the late 1800s, British financiers, noting America’s growth potential, invested in the companies that were building the nation’s infrastructure, particularly the early railroad companies. In doing so, they were accepting more risk than they would have with investments in their own market. The United States, after all, was still maturing, and political and social change, as well as many other factors, could have made it a volatile investment market. The same risk/reward characteristics apply to today’s emerging markets, which are found in every corner of the globe. Because they are still maturing, they may have more room for growth than longestablished markets, such as the United States. But because the road to maturity is not always a smooth one, there may be bumps along the way. In general, emerging markets have three characteristics: • Low or moderate personal incomes. • Economies that are in the process of being industrialized. • Financial infrastructures, including stock markets that are still being developed. A developing infrastructure is what may give an emerging market its growth potential. For example, in an emerging market an industry such as banking might be just beginning to establish itself and therefore have above-average growth potential. Of course, you need to keep in mind that emerging market investments are generally appropriate for patient investors with long-term time horizons. Emerging market

W. DAVID FAY

stock prices can take dramatic swings, and it is essential that you have the time to ride them out or in a worse case scenario, the ability to lose some or all of your initial investment.

Ongoing opportunity Developed markets typically have higher average incomes than emerging markets, well-established financial institutions and markets and modern infrastructures. Of course, they may still offer investors the potential for continued growth. By the same token, like emerging markets, developed foreign markets may be subject to greater risks than domestic investments. Foreign markets may be less efficient, less liquid and more volatile than those in the United States. They are also subject to the effects of foreign currency fluctuations and differing regulations. If you decide to build an international element into your investment portfolio, mutual funds and separately managed account strategies that focus on international investing may be ideas to consider. Professional portfolio managers often have access to information that’s not widely available, not to mention the time and experience required to track events in a variety of markets. Before expanding your portfolio beyond U.S. borders, contact a qualified financial professional who can help you prepare for this investment journey. Contact W. David Fay, a second vice president in wealth management and financial advisor with Morgan Stanley Smith Barney, at http://fa.smithbarney. com/thefaymillergroup or (502) 745-7069.

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

Company Name

Symbol

Mar. 7

Feb. 29 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 CEXI.OB PRSC UNS

0.09 0.02 15.26 37.38

0.11 0.02 15.05 36.79

-0.02 0.00 0.21 0.59

0.04 0.01 8.35 32.96

0.89 0.10 16.10 39.25

9.55 0.47 2.84 8.02 57.06 8.34 78.82 24.39 53.44 4.08 17.70 33.24 29.24 23.91 30.93 12.19 87.89 38.69 44.71 9.37 62.00 61.39 13.99 38.99 27.73 47.39 57.74 197.77 28.87 57.13 5.04 39.95 32.71 11.13 48.22 24.07 1.10 23.62 28.87 38.21 55.36 38.47 35.90 25.39 43.64 59.96 38.79 8.50 50.71 43.78 21.03 37.21 73.90 11.12 8.49 42.70 29.02 56.64 15.12 32.65 36.59 19.79 107.84 42.51 6.91 28.64 59.86 32.79 30.41 8.06 18.33

10.17 0.50 2.97 7.97 58.61 8.99 78.45 24.70 53.68 4.75 18.33 33.32 29.41 25.24 31.76 12.88 86.06 40.25 45.10 9.81 61.14 64.02 14.34 42.56 28.60 47.57 59.57 196.73 31.05 57.84 4.75 39.24 34.49 11.42 49.68 23.79 1.13 23.38 28.38 39.14 53.99 37.97 35.28 25.89 44.41 59.81 39.60 8.82 50.52 43.58 21.45 37.03 69.66 11.42 8.98 42.65 29.52 56.69 15.27 33.35 37.21 20.65 110.25 42.64 7.41 29.40 59.08 33.16 31.29 8.14 19.00

-0.62 -0.03 -0.13 0.05 -1.55 -0.65 0.37 -0.31 -0.24 -0.67 -0.63 -0.08 -0.17 -1.33 -0.83 -0.69 1.83 -1.56 -0.39 -0.44 0.86 -2.63 -0.35 -3.57 -0.87 -0.18 -1.83 1.04 -2.18 -0.71 0.29 0.71 -1.78 -0.29 -1.46 0.28 -0.03 0.24 0.49 -0.93 1.37 0.50 0.62 -0.50 -0.77 0.15 -0.81 -0.32 0.19 0.20 -0.42 0.18 4.24 -0.30 -0.49 0.05 -0.50 -0.05 -0.15 -0.70 -0.62 -0.86 -2.41 -0.13 -0.50 -0.76 0.78 -0.37 -0.88 -0.08 -0.67

8.45 0.20 2.65 4.92 51.83 7.02 65.35 21.79 43.77 3.30 12.30 21.40 19.19 14.61 22.80 8.49 69.54 31.16 31.30 6.41 37.87 43.64 8.03 28.85 16.92 28.13 41.22 151.71 25.91 39.87 2.69 27.85 25.73 5.02 42.14 21.14 0.49 12.14 18.07 32.90 38.64 22.50 25.49 13.68 33.20 49.20 23.44 3.29 38.35 34.02 15.93 30.98 28.89 10.47 7.15 32.12 20.96 45.28 14.10 24.34 27.62 15.51 77.73 37.08 3.96 20.10 48.31 30.34 22.58 4.44 13.18

18.47 6.96 5.66 14.69 66.64 13.01 86.91 32.98 59.59 7.29 29.88 46.90 29.92 42.50 51.43 14.66 88.68 43.49 45.39 11.64 62.29 70.15 14.79 58.75 30.49 48.07 62.28 201.19 35.79 62.33 6.07 47.80 38.40 13.67 57.39 25.85 3.47 24.35 29.00 44.46 56.51 38.22 39.29 28.66 52.57 70.61 43.18 9.31 53.12 45.65 25.43 40.75 87.66 17.28 12.88 43.22 31.89 56.92 22.39 35.98 39.24 26.84 117.40 58.29 10.35 29.79 62.63 47.11 32.97 8.51 24.92

Southern Arizona presence Alcoa Inc (Huck Fasteners) AA AMR Corp (American Airlines) AMR Augusta Resource Corp (Rosemont Mine) AZC Bank Of America Corp BAC Bank of Montreal (M&I Bank) BMO BBVA Compass BBV 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) UAUA 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

MARCH 9, 2012

23

INSIDE REAL ESTATE & CONSTRUCTION

Despite spike, foreclosures projected to decline By Roger Yohem Inside Tucson Business During February, more distressed homes entered the foreclosure pipeline than were sold at the other end. New trustee sales notices spiked 30 percent, jumping to 918, from 705 in January. Notices for the month were up 20 percent from February 2011 (see chart). A trustee’s notice is the first legal action in the foreclosure process. It notifies owners their property is in default and scheduled to be sold at public auction. Actual sales of foreclosed homes totaled 437 in February, a 6.6 percent drop from 468 in January. In February 2011, there were 662 foreclosures sold. The data comes from the Pima County Recorder’s Office. Despite the erratic numbers, notices and foreclosures are both expected to decline this year. The last wave of five-year adjustable rate mortgages are due to reset in the third quarter. These adjustable loans caused many of the problems in the housing market. After that time, the resets are almost zero. “As we come to the end of the resets for toxic mortgages, we will see the volume of foreclosure activity begin to lessen,” said housing analyst John Strobeck, owner of Bright Future Business Consultants. “Some who were going to be affected took action on their mortgage before the reset date. Many of these were situations where people left their homes to be repossessed by the financial institution.” Since the housing market crash began in 2006, there have been 48,700 trustee’s notices issued in Pima County. Of those, about 26,300 have gone through the entire foreclosure process and been sold. The remaining 22,400 homes represent a combination of multiple notices and bankowned properties being held as “shadow” inventory.

Foothills Walgreens The northwest corner of Swan and Sunrise roads will be transformed from fastfood to a Walgreens. The drug store-pharmacy chain has acquired the vacant Burger King, 5601 N. Swan Road, and is close to finalizing a deal to acquire the neighboring Pizza Hut, 4655 E. Sunrise Drive. The Burger King property sold for $2.47 million, the site’s land value, according to CoStar. The restaurant closed at the end of January and the 3,134-square-foot building will be demolished. The property was sold by the Steven A. Harting Revocable Trust, represented by Robert Nolan, Oxford Realty Advisors. Walgreens was represented by Rob Tomlinson, Picor Commercial Real Estate Services.

Picor top achievers

to Sargent Aerospace’s newly expanded facility, Marana Regional Airport, and the Marana Municipal Complex. Tickets are on sale through March 23. Register online at www.mpaaz.org and click on “events.”

Sales and leases

Rob Glaser

Tom Nieman

Picor Commercial Real Estate Services has honored several executives for their achievements in 2011, with two of the highest honors going to principals Tom Nieman and Rob Glaser. Nieman, a commercial broker since 1977, received the President’s Award for excellence. The honor from President Michael Hammond recognizes an employee who best represents the Picor brand and reputation in the community. Nieman has been with Picor since 1995. His prior career experience includes working at Del E. Webb Corporation, Grubb & Ellis and Foothills Mall. Glaser was named Top Producer. He has been with Picor since 1985 and specializes in industrial properties. He is one of only three Tucson professionals to hold both CCIM (Certified Commercial Investment Member) and SIOR (Society of Industrial and Office Realtors) designations. “Like Tom, Rob’s award is very significant. For seven of the last 10 years, he has been our top dog, our top producer,” said chief operating officer Barbi Reuter. Joining Glaser as overall top producers were Peter Douglas and Greg Furrier. By division, the leaders were Glaser in industrial, Furrier in retail, Rick Kleiner in office, and Bob Kaplan in multifamily. Picor awarded its Property Management awards to: Bob Baker as MVP; Dana Elcess as Manager of the Year; and Linda MontesCota for tenant relations. Receptionist Estella Armstrong was Administrative Employee of the Year; bookkeeper Maria Cota won the Cost Savings award; and Fast Start honorees were Brandon Rodgers and Liz Parker.

Wild Ride tickets Ticket prices to Wild Ride 2012, presented by the Metropolitan Pima Alliance, are going up to $100 from $85 on March 14. This year’s development and land use road show goes northward for “Marana March Madness: Navigating Toward Opportunity.” The event is March 28. It begins at noon at the Ritz-Carlton Dove Mountain, 15000 N. Secret Springs Drive, Marana, and includes a hosted bus tour that will take riders

• Walter Hoge purchased the 17,331 square foot Giaconda Office Building, 205215 W. Giaconda Way, for just over $1 million from Giaconda Tucson LLC, represented by Mark Biery, Prudential Foothills Real Estate. The buyer was represented by Tom Nieman and Bob Kaplan, Picor Com-

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

TUCSON REAL ESTATE

2/27/2012

2/20/2012

$127,000 6,017 389 475 350

$137,815 6,634 351 86 224

Source: Long Realty Research Center

mercial Real Estate Services. • 20th Street 691 LLC purchased a 31,962 square-foot building at 1440 S. Euclid Ave. for $450,000 from Champion Shuffle Board Ltd. Patrick Welchert, Russ Hall and Rob Glaser, Picor Commercial Real Estate, handled the transaction. • Elizabeth and James Allen purchased a 2,953 square foot building at 2447 N. Stone Ave. for $125,000 from Tessman LLC, represented by Gordon Wagner, Coldwell Banker Commercial Group. The buyers were represented by Mark Hays, Tierra Antigua Commercial. • Bookmans Exchange leased 13,548 square feet at 3330 E. Speedway from Rancho Center LLC, represented by Debbie Heslop, Volk Company. Brian Harpel, the Harpel Company, represented the tenant. • Doug Zanes & Associates leased 7,922 square feet at 3501 E. Speedway, Suite 100, from Monte V LLC, represented by Michael Gross, Tucson Realty & Trust.

Email news items for this column to ryohem@azbiz.com. Inside Real Estate & Construction appears weekly.

Notices of Trustees Sales Pima County Recorder Foreclosures January February March April May June July August September October November

2007 346 276 305 300 396 377 419 503 394 483 540

December Total Monthly avg.

475 4,814 401

2008 699 598 661 700 720 742 721 814 782 921 675

2009 882 1,016 1,154 1,093 991 1,002 1,063 1,130 1,008 948 859

2010 863 982 1,089 985 890 862 1,111 1,067 1,090 1,019 829

923 1,038 876 8,956 12,148 11,663 746 1,015 973

2011 975 762 948 721 748 693 666 917 797 816 754

636 9,433 786

WEEKLY MORTGAGE RATES Program 30 YEAR 15 YEAR 3/1 ARM

Current

Last Week

2012 705 918

1,623 812

3/6/2012

One 12 Month 12 Month Year Ago High Low

4.00% 4.25%APR 4.00% 4.25%APR 6.18% 3.50% 3.75%APR 3.50% 3.75% APR 5.94% 3.00% 3.375%APR 3.13% 3.375% APR

6.88% 6.75%

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 Peoples Mortgage Company, 3131 N. Country Club Suite-107 Tucson, AZ 85716. (520) 327-7600. MB #0115327. Rates are subject to change without notice based upon market conditions.

3.88% 3.25%


24 MARCH 9, 2012

INSIDE TUCSON BUSINESS

EDITORIAL BIZ BUZZ

Opening a business? Let’s hear about it In looking over our editorial this week about some of the positive things beginning to take shape in the region, it hit me that it’s probably a good — if not overdue — time to mention a long-standing offer we make in the news pages of Inside Tucson Business. Traditional journalists might cringe at it, but shortly after I got here in 2004 we decided we would offer to run a brief story on the opening of any new DAVID HATFIELD business. The reasoning is that considering all the work and effort it takes to launch a new business, we could at least acknowledge the new ventures. Besides, we figured people are always interested hearing about new things. That’s how we came to start the “New in town” heading in our briefs section. I was warned that by routinely publishing these announcements we would not only be abdicating some “journalistic” responsibility, we would be opening a can of worms. If there is a “journalistic” argument, I would suggest that’s a problem with some unyielding standard. But yes, it does amount to “free” publicity. As for the can of worms, that hasn’t been much of an issue. We didn’t publish something from a car wash operator who had installed some new equipment because it wasn’t really a new business. There have probably been some others that we didn’t use for similar reasons. Sometimes information was missing that we couldn’t track down. We even had one company send us an announcement about a person being brought in to run their new business in Tucson but when we called to get some more information about the business, the person who sent us the announcement said the business wasn’t interested in getting that kind of publicity. They just wanted us to use the personnel announcement. Oh well, to each his own. If you’re involved in a business in the region that’s made it through the hoops, trials and tribulations to get to opening day, please drop us an email and tell us about it. That’s assuming you can squeeze out the time. We know we’re probably not on the list of things to do to get opened. We’ll include the basic information, including when the business anticipates opening, an address, phone number, website, and hours along with a description of just what it is the business does. You’re also welcome to include the names and a biographical line or two about the principals in the business. These announcements don’t have to be formal. And don’t worry about leaving out a detail. Just be sure you include info on how we can contact you to ask questions if we have them. We can’t guarantee when these items will run, especially in the print edition of Inside Tucson Business because that can get tangled up in space limitations. But the offer stands. As we point out in the editorial, things are starting to happen in the region that will help propel us into the economic recovery. If you’re part of that good news, we’d like to share it with readers of Inside Tucson Business. Please send emails to editor@azbiz.com.

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

EDITORIAL

Time for an attitude adjustment? Maybe it’s a case of early Spring Fever but there’s something in the air and it isn’t just the pollen. It’s an air of excitement. Take a look around, the signs are there. Positive things are happening. We don’t want to oversell this, but workers are moving dirt. That’s a sign that at least some construction is once again happening. Work is underway on a 10,000 square-foot Shoe Carnival retail store in El Con Mall. Work also has begun at River and Craycroft roads for a multi-use project that will include a Basis Charter School, QuikTrip and a potential office complex. QuikTrip also has acquired property on Alvernon Way south of 22nd Street for its newest concept while competitor Circle K is combining multiple parcels into one at Speedway and Craycroft for its new larger format store. Work is about to get underway for a second phase at The Corner, a retail complex on the southeast corner of Oracle and Wetmore roads between Nordstrom Rack and Paradise Bakery. It’s not just retail that’s showing signs of life. As reported on the front page of Inside Tucson Business two weeks ago, development is underway near 22nd Street and Park Avenue on a 183-unit luxury cottage-style student housing complex to be called The Retreat. Meanwhile, a smaller student housing project by Town West Design and Development on the northeast corner of Campbell and Fifth Street is nearing completion. And the District on 5th, 248 E. Fifth St., isn’t even finished and its 126 condominium units are reportedly all sold. Demolition work also is about to get underway on the old Vista Sierra apartment complex, 2002 E. Fort Lowell Road. The plan is to build a new kind of residential complex. It could be perfect housing for the kind of high-tech complex that’s supposed to appeal to the hip,

young professional who has money but doesn’t want to spend it on buying a house. Commercial real estate brokers also are telling anecdotal stories about how their business is picking up. (All except brokers who specialize in office and industrial space.) As we said, these are just signs. We’re not ready to say the boom times are back for the Tucson region. Many of these deals came about due to unique circumstances directly attributable to the economic recession. None of them are risky speculative deals. When you combine these signs with the success of the region’s big February events this year, the outlook for the future gets even more exciting. Who didn’t get a call from some relative in a colder clime watching the Accenture Match Play Championship drooling for an invitation to come out here? We heard about an email making the rounds of the championship’s organizers from someone watching from Europe. The emailer was asking if the cactus, those magnificent saguaros unique to the Sonora Desert, were staged for the event. Yes, it looked that stunning on high-definition TV. And then there was the success of Major League Soccer Spring Training and the FC Tucson Desert Diamond Cup event, the Tucson Rodeo and the annual gem and mineral shows. Some economists have been telling us the recession technically ended in June 2009 and that since then, we’ve been in a painfully slow recovery mode. Economists also say the recovery will pick up momentum once consumers regain their confidence. Tucsonans can’t be blamed for thinking the recovery was passing us by but now there are real, tangible signs it is reaching us. We may need to make an attitude adjustment.


InsideTucsonBusiness.com

MARCH 9, 2012

25

OPINION WAKE UP, TUCSON

Pima County, business friendly or not? You decide In the Feb. 10 issue of Inside Tucson Business we had a column titled, “It’s an election year, so Pima County is concerned about business.” It has caused quite a stir. On one hand, we have been overwhelmed by calls, text messages and emails from business owners lauding the column. On the other hand, we inspired Pima County Board Chair Ramón Valadez — a man we like and respect — to write a defense in the March 2 issue titled “Facts trump rhetoric, Pima County is business-friendly.” It’s interesting, there are plenty of items we didn’t include in that original column: • Like the Dallas Firefighter Fund’s ongoing battle to get water rights on a piece of party it spent $24 million to buy as a long-term investment. The supervisors have done all they could to stop it and the City of Tucson wouldn’t annex thereby denying access to water. Now they’re running up a bill at the state Capitol. • Like the effort by owners of property at the southeast corner of River and Craycroft roads who are seeking to be annexed into the city of Tucson and comments by County Administrator Chuck Huckelberry that nearby residents might be surprised by the effort because it could allow construction of a building taller than three stories, which are not allowed in unincorporated Pima County.

• Like the county’s plan to pursue a legal challenge over valuations for tax purposes on part of Raytheon Missile Systems main property south of Tucson International Airport. OK, we did JOE HIGGINS include this in that first column, but on Tuesday the supervisors suddenly had a change of heart and decided against pursuing the fight against the region’s largest private employer. Despite words from county officials about how they wanted to keep CHRIS DeSIMONE and encourage Raytheon in Tucson, their deeds were doing just the opposite. It may seem lazy, but we would like to finish with a comment left on the InsideTucsonBusiness.com website to Supervisor Valadez’s column by Brad Richards, owner of Mr. Electric and active in the Tucson Metro

Chamber’s government affairs committee: “Unopposed political officials too often find themselves with similar perception difficulties. Supervisor Valadez appears to be oblivious to the problem. Perhaps too long in the bubble of staff and too far removed from the fact that 10s of thousands of Pima County residents are unemployed, have faced bankruptcy, foreclosure, and their lack of ability to find a job have cost them broken families and increased alcohol and drug abuse along with the strain on social services. People need to get back to work and businesses are who hires. “It takes a special kind of audacity to claim Pima County is pro-business. Thank you for not fighting Target. Thank you for not fighting Caterpillar. But taking credit for Davis-Monthan and spinning a debt load of $800 million as pro-business is sophistry at best. It is a strain to call lack of action pro-business and dishonest to call a mountain of debt positive. “Pima County has the reputation for being anti-business because of it’s hostility to business. When others watch from the outside and see the County not just uphold regulations, but intentionally create obstacles for businesses they determine they just don’t want or feel they can get a pound of flesh out of in order to get approval for it earns it’s anti-business badge each time. “NOT getting in the way is what you’re

SUPPOSED to do. Actively fighting a source of long term jobs ala Rosemont Mine, SUING Raytheon while you bless a developer with a sweetheart deal for land ‘for Raytheon’ (wink wink), fighting Solar, fighting your very own municipality, this is the most recent examples of what people on the outside of your bubble see and what businesses looking to locate to Pima County see. And when site locators see anti-business government they pass us up without ever making the first contact. Judging from your misperception of Pima County’s reputation it would appear you are not going to be working to fix the problem. You don’t see the problem, how could you fix it. You need to get a better perspective Supervisor Valadez. It’s not rhetoric, it’s a genuine problem. Perhaps a strong political opponent is what you need. Maybe that will get you out of your bubble and into your District where you can hear from your constituency about if THEY feel like these are good job opportunities. Unopposed political officials too often find themselves with similar perception difficulties.” Amen, Brother Brad. Contact Joe Higgins and Chris DeSimone at wakeuptucson@gmail.com. They host “Wake Up Tucson,” 6-8 a.m. weekdays on The Voice KVOI 1030-AM. Their blog is at www.TucsonChoices.com.

SPEAKING OUT

Saying farewell to Connie and Shaba is the right thing to do Tucsonans have said “good-bye” to two good friends, Connie and Shaba, our aging elephants at the Reid Park Zoo. They moved to the San Diego Zoo. In exchange, a male and a female elephant have come from San Diego to Tucson’s zoo. During the past five years, Tucson’s zoo has established a relationship with the San Diego Zoo, which has had success in breeding elephants. They will send our zoo a breeding herd that includes another adult female and two male youngsters. Our zoo’s new Expedition Tanzania can easily accommodate its new “residents.” Tucson has had elephants at the zoo since 1966. At that time, the only elephant was Sabu, a cranky male elephant who became difficult for keepers to manage. The City Council wanted him euthanized, but the public went to bat for Sabu, and he continued to live at the zoo until his death in 1981. Connie, an Asian elephant, was rescued from a petting zoo temporarily located in the parking lot of a Montgomery Ward store and she had been at the zoo since she was two years old. Eventually Shaba, an African elephant, joined Connie, and the two have co-existed ever since. What do we know about the zoo’s

Expedition Tanzania? The Zoo Master Plan was developed in 2001, and it included an expansion of the zoo by seven acres. This would become the Africa Zone. A new exhibit that CAROL WEST would accommodate an elephant herd was one of the Africa Zone features. Today that Zone is known as Expedition Tanzania, and construction is complete. The new elephant exhibit area features a large barn with extensive outdoor space and a pool for the elephant herd coming from the San Diego Zoo. In 2005 and again in 2006 the Tucson City Council affirmed its support for the Africa Zone expansion. It also determined how the project would be funded. Certificates of Participation (COP) and general obligation bonds acquired through a future bond issue would be included. Fortunately back in 2006, the private Reid Park Zoological Society was supportive of the Africa Zone expansion and

helped to raise money for the project. The COP pay back supporting the project comes from revenues recovered from zoo users, Reid Park Zoological Society funds, and other zoo-related sources for 10 years. Critics of plans to move the two aging elephants have said that money is needed instead to open the swimming pools and to maintain recreational facilities. However, the money used for the pools and other parks programs is a separate pot of money from the zoo. In fact, in 2006 the Mayor and Council specifically stipulated that the zoo financing plan could not use funds from the city’s general funds. Both the Tucson and San Diego zoos have committed to the American Zoo and Aquarium Association’s new standards for housing elephants. The purpose is to “provide a healthy, long-term elephant population and to require excellent facilities for animal well-being.” The Reid Park Zoo is small, and visitors tend to connect with the animals. Tucsonans love the elephants, and people were quite vocal in their disapproval of the plans for Connie and Shaba’s move to San Diego. The two elephants are moving into a new San Diego Zoo facility designed for older

elephants. Some Tucsonans wanted Connie and Shaba to remain together in San Diego. Local zoo officials believe that may occur, but they cannot guarantee it. Standards require Asian and African elephants to be separated because of differing behavioral and social needs. The herd into which they will be integrated is made up of older Asian elephants and one African elephant. This provides a unique opportunity for Connie and Shaba to enjoy the company of additional elephants in an enhanced exhibit. Animal welfare is a wide-ranging concern. Elephants are still slaughtered for their tusks. Wildlife experts say that “large seizures of elephant tusks made 2011 the worst on record for elephants since ivory sales were banned in 1989,” according to an Associated Press report. This is occurring in both Asia and Africa. Zoos may well be a safe harbor for elephants who are becoming endangered.

Contact Carol West at cwwfoster@aol. com. West served on the Tucson City Council from 1999-2007 and was a council aide from 1987-1995.


26 MARCH 9, 2012

INSIDE TUCSON BUSINESS

OPINION

EDITORIAL The Storm Lake Times

LETTERS

A burden on business

us with a poor version of driver’s license and forged birth certificate, and we check the halfright E-Verify system, and we hire the guy and he turns out to be illegal even though his English is perfect and he says he went to Harvard, WE got the hoosegow and not the illegal immigrant. They get deported and are allowed to return as soon as the Rio Grande is low enough. The bill also would require the Iowa Attorney General and county attorney to investigate “complaints” of illegal immigrants. This sets up a state mandate to take on a federal chore: enforcing the federal government’s immigration laws without the resources. Sure, the Buena Vista County Attorney’s Office will do a bang-up job where the entire U.S. Department of Homeland Security apparatus apparently cannot find José at the packinghouse. The bill is burdensome and unnecessary. Small businesses have enough problems and state red tape without adding some more. We thought the Republican Party was supposed to be all for small business and getting government off our backs. This bill puts more weight on us than Obamacare ever did. Second, it could put local police in the unwanted role of chasing down illegal Guatamalan mothers when the crack dealer born and raised in the USA goes unheeded. The bill is unncesessary since illegal immigration is not even that big a problem in Storm Lake. The cops have a bigger problem with the immigrants from Chicago and LA thanthey

Editor’s note: Brent Davis, a public policy consultant and former Tucson City Councilman, brought this editorial from the Storm Lake Times to our attention. It’s in response to a local state representative’s introduction of a bill in the Iowa Legislature modeled after Arizona’s employer-sanctions law that was passed in 2007. It offers a perspective, including a final paragraph that is a look from the outside in to how Arizona is viewed. We criticized Democrats for it a couple years ago, and now it’s the Republicans’ turn: Quit putting your political chores on the backs of small businesses. We did not start this newspaper to be health insurance plan administrators, child support garnishers or income and sales tax collectors. And we surely do not want to end up in jail for “knowingly” hiring an illegal immigrant who could sure fool us. It’s silly enough that the publisher of this newspaper had to demand from his own brother a driver’s license and birth certificate before said brother could edit this newspaper. Now state Rep. Gary Worthan, R-Storm Lake, wants to add to the burden by forcing us into the cumbersome E-Verify program, a federal database that is supposed to identify illegal aliens. It works about half the time. This is called House File 2156. If we hire someone “knowingly” — and that’s always where the rub lies — then we are criminally liable. So if someone provides

Who’re you gonna call? do the ones from rural Mexico. Remember the guys who tore up Malarky’s recently? A few of them were football players from Iowa Central Community College, born and reared in The Tall Corn State. Immigration has gone down steadily over the past five years. One reason is that Mexico is winning back much of the manufacturing it lost to China, which purred huge immigration numbers to the U.S. So knock it off. This bill is an insult to Storm Lake. It’s hypocrcisy to small business from the Republican Party. It is not worthy of Gary Worthan. This is not Arizona full of nutty people. This is Iowa, where we figure out how to make things work in a practical way. Leave your tired ideology at the door leave alone businesses strangled in government red tape. Status update: The bill is awaiting a vote by the full Iowa House of Representatives after being approved Feb. 21 by the House Judiciary Committee, which changed some key provisions of the original measure. Among the changes, complaints would be investigated by law enforcement agencies and not the Iowa Attorney General or county attorneys and the Secretary of State’s office and not the state Attorney General would be responsible for posting a list of businesses using the E-Verify system. There also is growing sentiment among the state’s lawmakers to remove a provision allowing for anonymous complaints to be filed against businesses.

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Do you think local leaders will be able to stop the proposed closure of the postal processing center in Tucson?

Yes 66% No 34% Next wee week’s poll: Do you think city and county government should par partner with private business to fix roads and medians?

Make the news • Letters to the editor — Opinions on business-related issues or coverage of issues by Inside Tucson Business are encouraged and will be published. Submit letters to the editor via email at editor@azbiz. com. Letters also may be mailed to Letters to the editor, Inside Tucson Business, P.O. Box 27087, Tucson, AZ 85726-7087. Letters must include the writer’s name and telephone number. Inside Tucson Business reserves the right to edit and may not print all letters that are received.

TO: The Editor FROM: Keith McLeod, business broker RE: The vacuum of Tucson and Arizona leadership When Congressman Jim Kolbe learned of the pending closing of Davis-Monthan Air Force Base, he called Dorothy Finley. She marshaled Tucson and Arizona forces and kept D-M here. Congressman Kolbe and Congresswoman Gabrielle Giffords have stepped down. Dorothy Finley has retired. With the pending closing of the Tucson Post Service distribution center, whom do we call? 1. The Business Community: Virtually non-existent are Tucson Regional Economic Opportunities, the Tucson Metro Chamber, and The Tucson 50. How many businesses are going to bypass Tucson because of the mail delay? 2. The Political Community: The governor, U.S. Sens. John McCain and Jon Kyl have been non-existent. Wouldn’t it be a wonderful cap to Senator Kyl’s career to prevent the distribution center closing for Tucson? 3. The University of Arizona is in transition with a new president. The Arizona Daily Star has written few news stories about the closure. These two institutions joined together for the Tucson Festival of Books that is leading the nation for Southern Arizona. What leadership are they providing to prevent the distribution center closing? Ultimately, the decision is a political matter. While there may have been individual comments and statements made, consider the impact if the community institutions listed above were woven together and joined forces to keep the distribution center open. With apologies to Frank Sinatra’s “There Used to Be a Ballpark Right Here” lyrics: Very shortly we’ll say “there used to be a Post Office distribution center, right here. The community will try and find it and they can believe their eyes because the old community leaders are gone and the new leaders hardly try. It used to be so clear and yet this opportunity went so quickly this year.” Yes, there used to be a season when a timely letter still mattered.

STAFF

Phone: (520) 295-4201Fax: (520) 295-4071 3280 E. Hemisphere Loop, #180 Tucson, AZ 85706-5027 Internet: www.azbiz.com

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CARTOONIST WES HARGIS


InsideTucsonBusiness.com

MARCH 9, 2012

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Inside Tucson Business 03/16/12