Biztucsonfall2016

FALL 2016 2012

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THE REGION’S BUSINESS MAGAZINE

SPECIAL REPORTS: Sun Corridor Inc. Town of Oro Valley FALL 2016 • $3.99 • DISPLAY UNTIL 12/31/16

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BizLETTER

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Fall 2016

Volume 8 No. 3

Publisher & Owner

Steven E. Rosenberg Brent G. Mathis

Creative Director Photo: Steven Meckler

“Caterpillar is one of the world’s most valuable brands. After careful consideration and a yearlong process, this Fortune 100 company chose Tucson as the place to substantially expand its Surface Mining & Technology Division.

That’s a decision that translates into a direct infusion of $1.9 billion in economic benefits to this community and brings 600 new jobs paying an average of $90,000.That’s good for us.”

This is how journalist Rhonda Bodfield set the tone for an in-depth interview with Caterpillar VP & GM Tom Bluth, who will lead the new division.

As our cover states, this new hub is projected to have a $600 million economic impact over a five-year period, according to Gov. Doug Ducey’s office. Reading this Q&A will give you impressive insights about how our community and its leadership came together to attract this company not only with incentives but also a “soft landing” program to assist relocating employees.

Leading the economic development charge to attract Caterpillar was Joe Snell, president and CEO of Sun Corridor Inc., along with Arizona Commerce Authority, Gov. Doug Ducey, Pima County, City of Tucson and Rio Nuevo.

Snell said, “Together with all the partners, we each brought significant resources to the table to win the biggest deal Tucson has seen in 25 years. Now people are asking – ‘what’s going on in Tucson?’ ” Read our Sun Corridor Inc. special report that starts on page 65.

Caterpillar’s expanding division will be in Downtown Tucson. The Rio Nuevo board helped seal the deal. Dan Sorenson offers a compelling look at Rio Nuevo’s successful projects that have been a catalyst for the revitalization of our city center, which includes the AC Marriott Hotel, TCC upgrade, new minor league hockey team − and now Caterpillar.

Another special report focuses on the Town of Oro Valley and the vision for its future, as shared by Mayor Satish Hiremath. Our team of contributors focuses on the diverse elements that make this town a desirable place to live, work and play. Read about the town’s business growth, as well as Roche/Ventana’s expanded operations, where scientists are developing tissue-based diagnostic solutions for patients worldwide.

An exciting new development takes off Oct. 6 that will quickly energize our tourism economy. With the Tucson

Metro Chamber’s leadership, American Airlines recently announced nonstop service to New York’s John F. Kennedy International Airport. Chamber President & CEO Mike Varney is quick to praise the unwavering leadership of Bill Assenmacher, who chaired the air service task force.

This summer Visit Tucson introduced a marketing campaign to entice more New Yorkers to travel here − another component of its high-impact “Free Yourself ” branding. Learn about this forward-thinking, research-driven travel brand in our report on Visit Tucson’s annual meeting.

When companies relocate to Tucson, our small-town feel and strong sense of community are positive attributes cited.

This edition spotlights some of our city’s finest nonprofits − including the Boys & Girls Clubs of Tucson, Community Food Bank of Southern Arizona, Humane Society of Southern Arizona, Jewish Community Center, Jewish Family & Children’s Services and United Way of Tucson and Southern Arizona.

Upcoming events to support our nonprofits to include El Tour de Tucson, Nova Home Loans Arizona Bowl, Tucson Classics Car Show, Tucson Fashion Week and the new YMCA ball honoring all five branches of the military.

The support of our business community and the boundless energy of thousands of volunteers continue make this region a great place to live.

One such volunteer was Bill Holmes, who passed away suddenly on July 18th.

Mary Davis contributes a heartfelt tribute about this vibrant individual who cared so deeply about his community, his friends and most importantly, his family. He was an inspiration to many.

Steven E. Rosenberg Publisher & Owner BizTucson

Contributing Editors

Jay Gonzales Donna Kreutz Diane Luber Dave Petruska

Contributing Technology Director

Mike Serres

Contributing Project & & Event Coordinator

Maricela Robles

Contributing Writers

Rhonda Bodfield April Bourie David J. Cohen Larry Copenhaver Mary Minor Davis Anthony Gimino Jay Gonzales Chuck Graham Tara Kirkpatrick Christy Krueger David Pittman Steve Rivera Dan Sorenson Monica Surfaro Spigelman Eric Swedlund Valerie Vinyard Romi Carrell Wittman

Contributing Photographers

Ed Flores Amy Haskell Brent G. Mathis Chris Mooney Tom Spitz Ed Tunstall

Member:

Arizona Builders’ Alliance Greater Oro Valley Chamber of Commerce Sun Corridor Inc. Tucson Advertising Federation Tucson Hispanic Chamber of Commerce Tucson Metro Chamber Visit Tucson

BizTucson Phone: 520.299.1005 Subscription Information:

www.BizTucson.com subscriptions@BizTucson.com Advertising information:

Steve Rosenberg 520.299.1005 or 520.907-1012 steve@BizTucson.com BizTucson is published quarterly by Rosenberg Media, LLC. ,Tucson, AZ © 2016 All rights reserved. Reproduction in whole or in part without written permission is prohibited. Opinions expressed in columns or articles do not necessarily reflect the views of the publisher.

POSTMASTER:

Please send address changes to: BizTucson, 4729 East Sunrise Drive, #505 Tucson, AZ 85718.

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BizCONTENTS

FEATURES

FALL 2016 VOLUME 8 NO. 3

COVER STORY:

72 CATERPILLAR: $600 MILLION IMPACT

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BizLETTER From the Publisher BizFASHION Tucson Fashion Week BizLEADERSHIP Creating Ambassadors of Happiness BizARTS Film Fest Ties to Modernism, Fashion Weeks BizMILESTONE UA Theatre School: 8 Decades BizSPORTS El Tour Just Keeps Rolling On NOVA Home Loans Arizona Bowl BizMILLENNIALS TENWEST Festival BizHEALTHCARE Tucson Medical Center Expanding BizTRAVEL American Airlines Flies Nonstop to NY BizMILESTONE Disaster Recovery Experts BizTOURISM The Gold Pueblo: Visit Tucson’s ‘Free Yourself’ Branding Impact BizMILITARY 162nd Wing Trains the World YMCA Community Military Ball BizMILESTONE Jewish Family & Children’s Services at 75 BizHONORS Tucson Hispanic Chamber Business Man and Woman of the Year

SPECIAL REPORTS 65 Sun Corridor Inc. 68 Trajectory of Success 72 Caterpillar: Interview with

Tom Bluth, VP/GM 75 Mexico Strategy 76 Leadership Profiles 118 Growing Businesses 169 Town of Oro Valley 174 Vision For The Town:

Mayor Satish Hiremath 178 Museum, Music, Dining 186 El Conquistador, Pima Federal 192 Ventana Medical Systems 194 Education, Recreation,

New Homes, Public Safety

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BizDOWNTOWN Rio Nuevo: Key Player in Downtown Revitalization BizSPORTS Pro Hockey Heads Back to Tucson BizVIEWPOINT As Ramirez Sees it BizMEDICINE Banner-UMC’s $400 Million Tower BizTOOLKIT Understanding Depreciation Acquiring a Vehicle?

Is it Better to Buy or Lease?

BizMILESTONE Long Realty Closing in on Century in Business BizWOMEN Women Who Lead Cecelia Mata Carol Bell, Tamara Scott-Anderson Paula Register Debbie Wagner BizNONPROFIT Fast Pitch Competition BizNONPROFIT

Food Bank Feeds 187,000 a Year BizREALESTATE The Ritz-Carlton, Dove Mountain Sold to Local Investors BizBENEFIT Tucson Classics Car Show BizSALES Setting the Standard BizEDUCATION New UA Eller College Dean BizSPACE To The Asteroid Bennu & Beyond BizMILESTONE Flooring Tucson for 35 Years BizEDUCATION

Middle School Creates a ‘Village’ BizCOMMUNITY Uniting a Force Against Poverty BizMILESTONE Bon Voyage Travel Changes with Times BizNONPROFIT Humane Society of Southern Arizona Capital Campaign BizTRIBUTE Bill Holmes

ABOUT THE COVER – CATERPILLAR $600 Million Impact

Photo Courtesy of Caterpillar, Creative Design by Brent G. Mathis

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PHOTO:AMY HASKELL

Paula Taylor & Melanie Hebron Sutton Co-Owners Tucson Fashion Week

Photographed in front of Hotel Congress with a 2016 Softail Slim courtesy of Harley-Davidson of Tucson Both businesses are sponsors of Tucson Fashion Week 20 BizTucson

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BizFASHION

Discover Hot Designs, Cool Destinations Tucson Fashion Week

By Tara Kirkpatrick When Paula Taylor and Melanie Hebron Sutton took over Tucson Fashion Week in 2012, they knew they could create a larger spotlight for the stylish show.

The posh partners have since turned it into three nights of sold-out events for the past three years. And this year’s event, to be held Oct. 13-15, promises no less – with themed parties, exhibits and runway shows planned at some of the city’s most iconic venues.

“I think we are continuing to build the brand and the experience, which is really important to us,” said Taylor, co-owner of TFW and author of “How to Produce a Fashion Show from A to Z.” “The idea is that we bring seasoned industry leaders from across creative channels to Tucson.

You know, most have never been here before.

They get to experience our city and we get to showcase them to our community.”

Headlining Tucson Fashion Week 2016 are: • Author, musician and vintage collector Cesar Padilla, whose Cherry Boutique has supplied wardrobe pieces for “American Gangster,” “American Hustle” and HBO’s “Vinyl” • Richie Rich, ‘90s club kid and designer who who founded the fashion company Heatherette • Designer Henry Picado, CEO of ESTE & CHLO • Shahida Parides, a Tucson-based designer whose dresses are coveted by celebs such as Paris Hilton and Olivia Palermo • Chicago recording artists Jason Maek & Zaena

“Living in Tucson for such a long time, Paula and I have an opportunity to not only connect with the community but also highlight historical venues and gems that even locals probably haven’t

visited,” said co-owner Sutton, an internationally published fashion stylist and principal of MHS Styling. “It’s never in the same place each year.”

Past venues have included Scottish Rite Cathedral, Tucson Botanical Gardens and Tucson Museum of Art. This year Hotel Congress, The Rialto Theatre, Museum of Contemporary Art Tucson and Merci Gallery are among the sites chosen. “Each night is a completely different experience,” Sutton said.

“It creates again this event that is not three days of a runway show. We don’t want to be that,” said Taylor. “We are really just a creative arts event that happens to be fashion-focused, but not fashion-exclusive, that supports this community by bringing national faces.”

This event also boosts local and regional designers, giving them an arena to unveil their work.

At a preview this summer, Rich offered several local designers a chance to pitch an idea to win the opportunity to work with him on his 2017 collection, which will be presented first at TFW. This year, TFW teamed up with the Tucson Ladies Council for an exclusive night of fashion and food, featuring designs by Picado and Parides, work by regional designers and a menu by Chef Janos Wilder. “That’s the smallest event, but it’s also the most exclusive,” said Taylor. “We can only sell 180 seats, so we hope to sell that out.”

The collaboration with the Tucson Ladies Council is new this year, said Taylor, who had produced that group’s annual fashion show for seven years. “They asked, ‘How can we be a part of Tucson Fashion Week?’ This is what we created together with them.”

Also new is a TFW signature scarf, designed by Parides, that will be available for sale during the continued on page 22 >>> Fall 2016 > > > BizTucson 21

BizFASHION

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5 1. Cesar Padilla Oct. 13 Art Exhibit

6 4. Shahida Clayton Oct. 15 Maison de Mode TFW X

2. Richie Rich Oct. 14 Premiere Runway & Fashion Presentation

3. Henry Picado Oct. 15 Maison de Mode TFW X

5. Musical guests Jason Maek & Zaena Oct. 13 & 14

6. TFW Signature Scarf Designed by Parides Available for sale during the events and online at tucsonfashionweek.com (Proceeds from the scarf will benefit the Southern Arizona Children’s Advocacy Center)

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events and online at www. tucsonfashionweek.com. Proceeds from the scarf and the final TFW/Tucson Ladies Council evening will benefit the Southern Arizona Children’s Advocacy Center. “We are Tucson girls who believe in supporting our community,” said Taylor. “This year, partnering with the Tucson Ladies Council has helped us give in a bigger way.”

Taylor and Sutton are well-suited partners with prolific backgrounds in fashion.

Sutton was the buyer for Suttons boutique in Tucson Mall before becoming an awardwinning stylist with published work in People, Inc. and Men’s Journal. Taylor owned Pour Moi Boutique before becoming divisional sales manager for Bill Blass.

When Taylor returned to Tucson, she produced fashion shows and events, including some for Sutton.

“We sort of watched how each other worked and I had never seen another woman work like I worked … with such drive,” Taylor said. “We have totally different personalities, but they work well together,” said Sutton. It’s why Taylor approached Sutton to help her take over Tucson Fashion Week from original founder Elizabeth Denneau three years ago. “I knew I couldn’t do it alone, I needed someone sharp and bright like Melanie.”

Now, the pair hopes to build even more momentum behind TFW. Past designers such as Betsey Johnson and Jonathan Skow of Mr. Turk menswear have loved their visits to the desert. “I remember he came in and said, ‘Wow, this is gorgeous. This is really amazing,’” Taylor said.

“At dinner after the show, he said, ‘I had no idea it was going to be this good.’”

Biz

Events at a glance Thursday, Oct. 13 “City Chic - A Fashion Show, Art Exhibit & Party” 5:30 – 7:30 p.m.

Hotel Congress Author, musician and vintage collector/ dealer Cesar Padilla will curate a micro vintage rock ‘n’ roll T-shirt exhibit and hold a meet and greet for his book “Ripped.”

7:30 – 10:30 p.m.

The Rialto Theatre A rock-’n’-roll-themed runway fashion show will feature local, regional and national designers, as well as a special student collection with an edited “sneak peak” at Padilla’s looks on HBO’s “Vinyl”.

Friday, Oct. 14 Premiere Runway & Fashion Presentation 6:00 – 10:00 p.m.

Museum of Contemporary Art Tucson This event will feature archived designs by designer Richie Rich, founder of Heatherette, and the new collection RichENGage, a collaboration with artist Gage John Lazare. Recording artists Jason Maek & Zaena will perform. The event also will showcase four local and regional designers.

Thursday, Oct. 15 Maison de Mode TFW X Tucson Ladies Council Fashion Event 5:30 - 7:30 p.m.

Etherton Gallery Fashion presentations by local and regional designers, a meet and greet with industry leaders, and food and libations by award-winning chef Janos Wilder.

8:00 – 10:00 p.m.

The Carriage House An intimate fashion show and presentation with desserts and champagne, featuring fashion designers Shahida Parides and Henry Picado.

9:30 p.m.

Perrier Jouet Celebration at Merci Gallery The exclusive TFW after-party including 150 of the week’s most influential attendees and industry leaders. Guests will be treated to champagne, chocolate and an exclusive trunk show with Parides and Picado.

For ticket availability and prices, including the VIP “Chic Seat Package,” visit www.tucsonfashionweek.com.

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BizLEADERSHIP

Creating ‘Ambassadors of Happiness’

By Rob Elias & Steven Elias

“Help me create The Happiest Place on Earth” were the words spoken

by Walt Disney in early 1955 to Van France, professor emeritus and founder of Disney University. The grand opening of Disney’s theme park was scheduled for July 17 and Disney needed help. He needed to create – in his own words – “producers” of the “Disneyland Dream.”

Sounds simple, doesn’t it?

Doug Lipp, former head of training at Disney University and author of “Disney U – How Disney University Develops the World’s Most Engaged, Loyal and Customer-Centric Employees,” visited Tucson in May and spoke to more than 400 business professionals at the Outlooks event hosted by the Tucson Metro Chamber. His message?

“It takes a happy crew to produce a happy show.”

For more than an hour, Lipp captivated the audience with his eloquent delivery of the stories of Walt, the teachings of Van and the lessons shared from his time at Disney that helped create The Happiest Place on Earth.

As Disney said many times, “Disneyland is the star – everything else is in the supporting role.” One of Disney’s not-so-secret secrets is “hire right, train right, treat right.”

The first aspect – hire right – means hiring decisions are based on whether the potential cast member has shared values with Disney. A good example of this is the story of a gentleman who applied for a high-ranking position within the Walt Disney Company. He had an impressive resume and was more than qualified to do the job. He completed 16 interviews and passed every one with flying colors. But did he have shared values with Disney? This would be discovered in interview 17. The cast member said 26 BizTucson

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during that conversation, “I really like you. It’s going to be great to work with you in the park on Christmas.” The man replied, “What do you mean?” The cast member replied, “Christmas is our busiest day of the year and requires all cast members, at any level, to be at the park to ensure a great show for our guests.”

The man responded, “Who can I talk to about this – because I don’t work on Christmas.”

“Discovering whether a person has shared values with the company is critical because it’s the employees that preserve the culture. This is one differentiator at Disney,” Lipp said. “Their main objective is not to hire for the position, but rather to protect the Disney culture, the ‘Disney Magic.’ ” By the way…the man didn’t get the job.

Secondly, Disney trains right. This is done through storytelling. Lessons are best remembered when there is context around them. And, more important, stories reinforce desired behavior that

Doug Lipp

actively reinforces culture.

They call this “cultural immersion,” Lipp said. If you wonder why it’s important, at the end of every “Disney Traditions” (Disney-speak for new-employee orientation) this statement is made – “There are thousands of little girls and boys losing sleep tonight because tomorrow they get to come to Disneyland.

Are you ready for that responsibility?”

Lastly, Disney treats its cast members right. They are, as Lipp called them, “Ambassadors of Happiness.” Disney is one of the few companies that truly understands the impact its cast members have on guest retention and the overall success of the business. The “show” begins with the park itself and is solidified through the emotional connections the cast members have with their guests.

For this reason, Disney recognizes and celebrates cultural values and desired behaviors more than other business outcomes – because appreciating desired behaviors will reinforce the organization’s culture. No better story reflects this in action than Disney walking the park as described in Lipp’s Disney U book. If you’d like to know the story, take a look at pages 57-59.

Of course there is so much more to Disney than described in this article or in Lipp’s presentation. The more you learn about the “Disney Magic,” the more you will discover there is one commonality between Disney and your company – your company is a product of its people. So please treat them right.

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BizARTS

Director’s Cut

Film Fest Ties To Modernism, Fashion Weeks The debut of last year’s Tucson Festival of Film made headlines, providing an October weekend showcase at the downtown Temple of Music and Art for the city’s eight established film festivals.

But alas, funding from the city for this year’s festival hasn’t been forthcoming.

So last year’s Festival of Film has become this year’s independently funded Film Fest Tucson, running Oct. 20-23 at the downtown Scottish Rite Cathedral, 161 S. Scott Ave. “Three or four of the participating film fests last year didn’t like the format and said they didn’t want to continue,” said Herb Stratford, co-producer of last year’s festival and the founding director this year. “Then Visit Tucson (which had provided major marketing support last year) said they wanted to focus on other priorities this year.”

Ever the entrepreneur, Stratford is collaborating locally with people in two annual events also occurring in October – Tucson Modernism Week (Sept. 30Oct. 8) and Tucson Fashion Week (Oct. 13-15).

“Taken together with what is shown those two special weeks, I see the film festival completing an experience that gives audiences a fuller sense of Tucson today,” said Stratford. In addition, by adding a cinema perspective to the Baked Apple’s sense of fashion and design, the festival can become a destination event attractive to out-of-towners.

The idea of turning Film Fest Tucson into a broader cultural event came from Stratford’s own time spent first as a volunteer and later as a programmer for the Napa Valley Film Festival in 20122014.

Set among four towns in the heart of California wine country, the Napa festival bills itself as “The Ultimate Film, Food and Wine Experience.”

“They have 12 venues in those four towns,” said Stratford. “Their recipe is to provide a complete sense of Napa 28 BizTucson

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Valley. I want this film festival to give everyone a sense of what is Tucson.”

Toward that end Film Fest Tucson will be self-contained in the historic 100-year-old Scottish Rite Cathedral.

A trio of screening rooms, including the elegant Grand Parlour, will be filled with state-of-the-art equipment to present a varied program of some 30 films.

The temple’s upstairs Egyptian Room will become the lounge for sponsors and filmmakers.

“We are budgeting between $40,000 and $50,000 this year,” said Stratford.

“All the money will go into production costs. The staff, including myself, is all volunteers. Our goal is for the festival to break even.”

Stratford calls his startup strategy typical of all film festivals. His first sponsors are mostly downtown developers and businesses who will benefit from having more people walking around downtown.

“Hughes Federal Credit Union is back this year. They were with us last year,” Stratford said. “They are our most substantial donor.”

By the middle of summer, even though most of the programming was still to be determined, Film Fest Tucson was already more than halfway to its funding goal, Stratford said, feeling confident the ledger will look good.

Filmmaker submissions were accepted through August. The final selections were to be made after this edition of BizTucson went to press. Within the juried film program are categories for feature-length and short films, narratives and documentaries.

“We want to find strong stories – films with new voices and compelling themes.

There are just so many independent films out there that never get shown at the multiplex.”

Stratford was counting on his connections through three years working the Napa Valley festival as essential to

getting some quality submissions. A fivemember jury screened and discussed every film received.

Continuing Stratford’s interest in the Old Pueblo’s connection to Old Hollywood will be the Tucson Heritage program, an annual showcase celebrating a famous film with a strong Tucson connection.

Last year’s Heritage Hollywood showcase featured Martin Scorsese’s “Alice Doesn’t Live Here Anymore.”

This year’s Heritage film was still to be selected.

A notable face easily recognized this year is “Lalo Guerrero: the Original Chicano” (2006), with the documentary’s 10th anniversary screening to be presented by Lalo’s son, the film’s writer and producer Dan Guerrero.

Those two other October events – focused on modernism and fashion – are connected to Stratford’s festival by two special documentaries – “Gray Matters” and “Women He’s Undressed.”

The former is an appreciation of architect and designer Eileen Gray.

Praised in the 20th century’s first decade for her traditional lacquer work, Gray would go on to reinvent herself as an architect who became appreciated for her “elusive, contested and compelling” designs.

The latter doc details the stylish life of Australian-American movie fashion designer Orry-Kelly (born Orry George Kelly). Stratford calls him the predecessor of Edith Head. Orry-Kelly ran the Warner Bros. costume department from 1932 to 1944, then worked for several other major Hollywood studios. Films Orry-Kelly worked on include “Casablanca,” “An American in Paris,” “Les Girls,” “42nd Street” and “Now, Voyager.”

Tickets are $10 per screening, with various ticket pass packages available. To find the latest information for specific film titles, show times and ticket orders, visit www.filmfesttucson.com. www.BizTucson.com

P H O T O S : C O U R T E S Y T U C S O N F E S T I VA L O F F I L M S

By Chuck Graham

‘Gray Matters’ still

‘Women He’s Undressed’ still

Founding Director Film Fest Tucson Backstage at the 100-year-old Tucson Scottish Rite Cathedral’s Grand Parlor and its original stage lighting console

PHOTO: BRENT G. MATHIS

Herb Stratford

‘Lalo’ title slide

MINE WITH THE IRON DOOR (1924) A 1924 silent film, The Mine with the Iron Door was directed by Sam Wood and stars Pat O’Malley, Dorothy Mackaill and Raymond Hatton. It’s based on the book of the same name by renowned best selling early 20th century Tucson author Harold Bell Wright. The motion picture was shot entirely on location in the Tucson basin, Oracle and in the Cañada del Oro in spring of 1924 and was a milestone in the cinematic history of Arizona. The film was considered lost until two surviving prints surfaced in the Moscow Film Archives and the French Film Archives in the early 2000s.

The film originally premiered at the Historic Rialto Theater in the fall of 1924. It screened twice in the in fall of 2010 at the Rialto Theatre in conjunction with the Tucson Historic Preservation Foundation.

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BizMILESTONE

UA 8

Theater School Celebrates Decades

By Chuck Graham It’s safe to say there’s been a lot of drama around the University of Arizona campus in the last 80 years – in a good way.

It was 1936 when the UA founded a freestanding, independent drama department that has morphed over the last 80 years into what is now the university’s School of Theatre, Film and Television and one of the leading college theater schools in the country.

“This is one of the oldest freestanding drama programs in the nation,” said Brent Gibbs, associate professor and artistic director of the school’s professional training company, the Arizona Repertory Theatre. “Back in 1936 most theater schools were part of a speech department or an English department.”

Back in 1936, a big hit on Broadway was “You Can’t Take It with You” by Moss Hart and George S. Kaufman. Movies were mostly in black and white. The emerging technology was television.

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1. Paul (Aaron Arseneault) and Corie Bratter (Audrey Roberts) gaze into each others’ adoring faces in Neil Simon’s Tony Award-winning comedy, “Barefoot in the Park” (photo by Ed Flores). 2. Brent Gibbs, Associate Professor UA School of Theatre, Film and Television and Artistic Director, Arizona Repertory Theatre 3. Sally Bowles (Ali Wood Moser) and her performing cohorts of Berlin’s early 1930’s Kit Kat Klub entice you to forget your cares in “Cabaret”

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the advisory board for the National Endowment for “The biggest challenge today is keeping up with the the Arts. technology,” said Bruce Brockman, Director of the “I first knew Peter by reputation when I was a stuUA’s triple-threat media school, which was consolident at Cal Lutheran,” said Don Haskell, the UA’s Asdated to include theater, television and film in 2010 to take those drama roots in a bold new direction. sociate Dean of Fine Arts from 1983 to 1985. “I was “Cable TV has changed everything,” Brockman impressed he was on the board of directors of the said. “This is the way of the future, definitely. There Kennedy Center. So I wrote him a letter. He wrote aren’t many schools as far down the road on this as back and offered me a scholarship. we are. The training, the business practices we teach, “I transferred here in 1970, and graduated in 1972. these will be relevant for a good long time to come.”

Back then everybody knew Peter. Across Arizona he The inaugural year of classes for those budding UA was the man in the world of theater, and everybody thespians of the west in 1936 was held under Arizona knew it.

Stadium, in a space cleared out for a stage. The next “In grad school there was a class called theater dischool year classes moved into Herring Hall, which recting, but we called it ‘cocktails with Peter,’ ” Haskell had been the women’s gymnasium. That would be said. “There wasn’t any alcohol involved but we sat their home until a thorougharound just talking and lisly modern theater was built tening to Peter talk about in 1956. marketing, administration, Three years into the demanagement, business − evpartment’s existence, Peter erything necessary to put on R. Marroney was hired as a show. the drama department’s “I could never have put Art and Technical Director. on the UA’s Summer Arts It was the same year HolFestival without everything I lywood broke into color, relearned from Peter.”

– Brent Gibbs leasing “The Wizard of Oz” Through the 1970s the Associate Professor and “Gone with the Wind.” drama department continued Drama classes on campus to develop and participate UA School of Theatre, Film and Television were taken a lot more seri- and Artistic Director, Arizona Repertory Theatre in national organizations, ously after that. furthering the department’s During World War II the desire to reach for the next drama department’s activities were curtailed as Marlevel of collegiate theater training. Membership in the roney served his country in the Navy. After the war, he University/Resident Theatre Association, the United returned to the UA, was named head of the departStates Institute for Theatre Technology, the Dramatists ment and continued a 44-year career that brought naGuild and the American College Theatre Festival contional prominence to the university’s theater program. tinued this development.

“Peter Marroney is the person who put us on the In 1979, the drama classes moved toward a more map, absolutely,” Gibbs said. fully professional training standard by establishing the As an active advocate for the arts, Marroney was a University of Arizona Repertory Theatre, which bemember of the Arizona Commission on the Arts and came officially known as “the public laboratory and on the advisory board of the prominent John F. Kenshowcase” of the department’s professional training nedy Center for the Performing Arts. He also was on programs. continued on page 32 >>>

“

This is one of the oldest freestanding drama programs in the nation.

”

PHOTOS: COURTESY UA SCHOOL OF THEATRE, FILM AND TELEVISION

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4. A cat fight breaks out between Adriana (Jaclyn Stickel) and Luciana (Cera Naccarato) while Antipholus of Syracuse (Kasey Caruso) and Antipholus of Ephesus (Ethan Kirschbaum) attempt to break it up in the madcap Shakespeare play, “The Comedy of Errors,” presented by Arizona Repertory Theatre (photo by Ed Flores).

5. Chloe Loos, led the post-show discussion 6. Alum Kyle Harris famous for his role as Cameron on the ABC Family science-fiction series “Stitchers”

4

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BizMILESTONE continued from page 31 In 1989, the Department of Drama was officially renamed the Department of Theatre Arts, reflecting the belief that the stage skills of lighting, sound, costumes and set design are equally as important as acting.

The early 1990s saw completion of the new campus Fine Arts Complex, including the debut of an advanced design Laboratory Theater that doubled the student opportunities to stage major productions.

In keeping with this step forward, the drama department’s original theater received a renovation and a new name, the Peter R. Marroney Theatre.

“Adding the Lab Theater, which is now called the Tornabene Theatre, increased the level of professionalism we could provide at all levels, for both actors and tech people,” said Gibbs, who became artistic director of the Arizona Repertory Theatre in 2001.

Gibbs looks back over 15 years of development that has kept the UA ranked in the Top 20 Best Theater Schools in the country and among the Top 10 schools for Best Musical Theater.

“There’s no official ranking, but musical theater publications are always ranking us in the Top 10,” said Gibbs.

“I would say our complete program is in the nation’s top 20. Agents are telling us our students are as well-prepared as any other program anywhere.”

“What we have in common is the art of storytelling,” said Brockman, speaking of the merger he engineered to create the School of Theatre, Film and Television.

“All three fields are equally important − they have to be,” Brockman said. “Every school year we produce 90 nights of theater and sell 1,200 season tickets.

That’s as big as some small regional theaters.

“But these days, to get kids ready professionally, they also need the experience of acting for the camera. The same is true for production skills, like designing stage sets and lighting.

“We produce about 70 student films every year. So our student actors and technicians have the opportunity to work on a lot of films, getting that unique experience. It makes for a very robust school.”

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PHOTOS: ED TUNSTALL (COURTESY EL TOUR DE TUCSON)

BizSPORTS

El Tour Just Keeps Rolling On

‘1-Year’ Event Still Raising Millions

By Anthony Gimino El Tour de Tucson was originally going to be a one-and-done event.

The bicycling event now is in its 34th year − and still growing.

“El Tour has become something I never expected,” said event founder Richard J. DeBernardis, the president of the Perimeter Bicycling Association of America.

“When I did develop it back in 1983, I had a feeling that because of the nature of our community and the beauty of Tucson and the diverse route we would have, that we would have thousands of riders. But I never thought about economic impact. I never thought about the amount of money that we would raise for charity.

“It’s become more than what I ever, ever expected it to become.”

DeBernardis said he expects close to 9,000 cyclists will ride in El Tour on Saturday, Nov. 19 and − using last year as a guide − that will translate to about $16 million raised for charity and roughly $18 million of direct spending into the local economy.

Those charitable numbers have skyrocketed recently − Perimeter Bicycling reported fundraising of $1.8 million just six years ago. El Tour, with Tucson Medical Center serving as the title sponsor for a second consecutive year, raises funds for about 50 charities.

“I hope someday we have 100 charities. That’s my goal,” DeBernardis said.

As for the economic impact, the estimate is derived from a 2000 study by the University of Arizona, which projected $1.5 million to $2 million of direct spending per 1,000 cyclists.

“Even if the direct spending is closer to $12 to $15 million, it’s certainly a viawww.BizTucson.com

ble event, especially in November when we need visitors,” said Brent DeRaad, president and CEO of Visit Tucson.

“Anything we can do to bring in visitors at that time of the year is important to us. One of the things I like a whole lot is that El Tour brings in competitors from most of the 50 states and several countries. We see good value in that.”

About half of the El Tour cyclists come from out of town. Some train here for weeks before the event. Others come back to vacation at other times.

The math is a bit fuzzy, but an annual tourism impact from El Tour could be $50 million to $70 million, DeRaad said.

OK, so those are the numbers. That is the big picture for Southern Arizona.

The smaller picture is you.

Working off this year’s El Tour theme − Come Together, Ride Now! − organizers have backed up that sentiment by adding two ways for the community and cycling novices to get involved this fall.

In place of the usual running event to kick off the two-month El Tour season, there will be a new “Loop The Loop” event that takes advantage of the more than 100 miles of shared-use paths that wind through and around Tucson.

The free event along the Rillito path is Saturday, Sept. 17.

“The running event would attract anywhere from 300 to 500 runners, but it hasn’t really grown,” DeBernardis said.

“We thought Perimeter Bicycling should support running events in the community, but we should probably go to some type of bicycling event that would not compete with El Tour. The Loop is a great asset to our community,

and we feel not enough people know about it.

“We will be inviting everyone to come out and support the Loop. Get to know your Loop. Ride the Loop. Take the Loop that day to get where you want to go − shopping or just a leisurely ride with your family.”

El Tour charities will have stations along the Loop to promote themselves, and there will be a post-ride celebration from 11 a.m. to 2 p.m.

As for the actual El Tour, there will be the 104-mile ride, as well as routes covering 75, 55, 40 and 28 miles, plus Fun Rides of 11, five and a quarter mile.

What’s new is the 28-mile ride that will start in Marana and be a nice entry-level route for those just jumping on a bike. This new ride will start at 1 p.m. after most of the others cyclists are done.

“It will probably be mostly flat or downhill,” DeBernardis said. “Maybe one little bit uphill − we have to put a challenge in there − but we expect it to be a huge community ride. This should become a huge event over the next few years.”

El Tour de Tucson keeps getting bigger, and DeBernardis, 72, said he still has the energy to lead the way.

“I was only going to do El Tour one year,” he said. “My idea when I started was to create an example to nonprofit agencies on how you could put on an event and raise money and get people more healthy through bicycling. And it has happened.”

For registration and more event information, go to www.perimeterbicycling.com.

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PHOTO: BEVIN CHRISTINA

BizBRIEFS

Susann Miller

Susann Miller is the new communications manager for the Better Business Bureau serving Southern Arizona. She was director of the Women’s Business Center of Southern Arizona where she forged relationships within the community to bring in financial supporters and awareness of WBC. She created a woman’s empowerment conference, and WBC was nominated for the Small Business Administration’s Center of the Year and NAWBO’s Strategic Partner of the Year. Biz

Bob Logan

Bob Logan, assistant dean for external and corporate relations at the University of Arizona College of Science, is the new president of DM50, a nonprofit, volunteer service organization formed to advocate on behalf of Davis-Monthan Air Force Base and improve the quality of life of the airmen who serve there. Other officers of the DM50 Board of Directors are OK Rihl, VP; Carla Keegan, treasurer, and Michael Franks, secretary.

Biz

Mike Adams

Mike Adams is now VP and Regional Business Banking Manager, leading Great Western Bancorp’s business unit in Tucson, which is focused on business and individual financing needs including asset based, agricultural, SBA, USDA, as well as commercial investment and owner-occupied real estate financing. Adams has 32 years of commercial banking experience in California and Arizona. He serves on the Board of Directors of the Boys and Girls Clubs of Tucson.

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PHOTO: TOM SPITZ

BizSPORTS Members of the Executive Committee for the Nova Home Loans Arizona Bowl from left –

Ali Farhang

Executive Board Chairman

Jon Volpe

CEO, Nova Home Loans

Mike Feder

Executive Director

NOVA Home Loans Arizona Bowl Expecting A Second-Year Smash

By Steve Rivera When Ali Farhang stepped up to the microphone at a recent press conference to announce the return of the NOVA Home Loans Arizona Bowl, the founder and chair of the game waxed poetic about the success of the first year and how it’ll be bigger and better in Year Two. Then he said – perhaps more importantly – it’s a game “by us and for us.”

And voilà the unofficial slogan debuted.

This is a game generated by Tucson for locals, driven by locals and to be enjoyed by locals who love football and fun. It just happens to be for selected Mountain West and Sun Belt conference teams.

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“It is more than just a turn of a phrase,” Farhang said. “By us and for us is a genuine gesture of the love and pride we have for our community and the great people that make it positively the best place in the world to live. This is more than just a game. It’s an event to showcase the best of us.”

For Year Two, the game’s ownership has changed from the Arizona Sports & Entertainment Commission to the nonprofit TD4Tucson. Still, ASEC will continue to assist. The money made here will be spent here.

TD4Tucson plans to make it even more successful than last year when more than 20,000 fans witnessed Ne-

vada defeat Colorado State, 28-23, on what was an uncharacteristically cold night at Arizona Stadium.

The first improvement will be the game being moved to the afternoon on Dec. 30.

It will allow for Tucson to show off one of its greatest assets – its excellent winter weather. “Reliable sources have promised 68 degrees and sunny for kickoff,” Farhang joked.

What’s definite is Arizona has ramped up its forces to make Year Two a good one. Former University of Arizona Coach Dick Tomey has signed on as a consultant. There are more than 40 members on the advisory board (mainly www.BizTucson.com

Clockwise from left – Nevada quarterback Tyler Stewart makes a throw under a heavy rush from the Colorado St. defense; Nevada Wolfpack players show off their Arizona Bowl championship t-shirts after the 28-23 victory over Colorado St.; Nevada running back James Butler pulls away from the Colorado St. defense on a 77-yard touchdown run in the second quarter; Photos courtesy NOVA Home Loans Arizona Bowl

local business executives). And longtime sports consultant Mike Feder is the new executive director. Feder spent last year as a volunteer for the inaugural game and hopes the board exceeds 50 people by the time the game nears.

“It’s a really good group and that’s what makes this enjoyable,” Feder said.

“Everybody’s got the right thoughts in mind in making this something special for Tucson. We’re raising money for charity. It just feels good when you’re with the right people. Everybody has what is the best interest of the bowl.

“We have to reach out to people. We can’t simply let them come to us. We need to let them use their connections in the community.”

Last year, the Arizona Bowl raised $85,000 for charities. It gave $75,000 to the Boys & Girls Clubs of Tucson.

Now, it’s the group’s mission to go out and find more sponsors and fans to help.

Feder said. “You can’t quantify things by numbers – but you can by dollars.

“Families or businesses can go and get four tickets, it all counts. Ultimately you’re putting together this big puzzle.”

There are corporate goals, sponsorships, advertising, halftime show and a downtown party to pay for, and ticket www.BizTucson.com

sales to chase. It’s no easy task. The good thing is that the locals have had at least nine more months to get going on it. Last year, it was a tight schedule to pull off given that the bowl game was approved just three months prior to the game.

“I am frankly still not certain how we were able to pull the game off in the manner that we did in such a limited time frame last year,” Farhang said.

“But we could not have been more pleased with the overwhelming gracious and positive responses we received regarding the game and related events.

With the luxury of more time, we feel we can build on the foundation of the first year and simply continue getting better.”

Brent DeRaad, president and CEO of Visit Tucson, said. “It was incredible to see the bowl game get pulled off.”

The city benefited by seeing Tucson’s hotel revenue grow by 18 percent on the night before the game and game night, DeRaad said.

“The week between Christmas and New Year’s is typically slow from a tourism standpoint in Tucson because of the lack of business meetings during the holidays,” DeRaad said. “The NOVA

Home Loans Arizona Bowl provided a welcome lodging uptick in Year One and we believe the impact will only grow in Year Two and beyond.”

Feder said the economic impact was more than $16 million. “That’s enormous,” he said.

NOVA Home Loans chairman and CEO Jon Volpe sees the benefit. It’s one of the reasons he jumped on board for his company to be the title sponsor. Ever the businessman and die-hard community advocate, Volpe wanted to help his longtime friend Farhang and simultaneously give the game a boost.

“The opportunity to be the title sponsor made sense from a business, community and brand standpoint,” said Volpe. “First, NOVA Home Loans was founded by Ray Desmond in Tucson 35 years ago. Our corporate headquarters are here, our leadership team is here, and we’ve served thousands of families here. When we heard this game could bring so many good things to our community, we opened the door to discuss it with the bowl leadership. Tucson is one of our largest markets and having our brand associated with such a community-driven event could only increase our market share.”

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BizMILLENNIALS

Young professionals network at the 2015 ignite520 event. From left – Jeff Wood, Jason Reiman, Michaela DeYoung, Isaac Figueroa, Brooke McDonald, Cristal Tucker and Danielle Duarte

TENWEST

Festival Focuses on Technology, Entrepreneurship, Heading into its second year, TENWEST promises a dynamic convergence of technology, innovation, arts and culture right here in the Old Pueblo.

Set for Oct. 21-28 at various locations along the Sun Link Streetcar route, TENWEST’s goal is to be to the local business community what the worldfamous South by Southwest event in Austin is for the music, film and creative communities.

Spearheaded by Startup Tucson, a local business accelerator and incubator, this year’s TENWEST offers a full slate of events, opening with Film Fest Tucson from Oct. 20 to 23 before launching into three days of thematic tracks centered around the concepts of technology, entrepreneurship and economic development in the region.

One of the most eagerly anticipated events of the week is IdeaFunding on Oct. 27, which will be followed by a TEDx on Oct. 28. Each day concludes with network mixers hosted, in turn, by several chamber of commerce organizations and featuring an arts focus with live music at locations downtown and along Fourth Avenue.

The idea for TENWEST came about as a potential solution for the perennial 40 BizTucson

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Tucson problem of brain drain. Talented young people come to Tucson to attend the University of Arizona, but many leave as soon as they graduate. Conventional wisdom dictates that Tucson will never develop a truly diverse and robust economy unless it can, as a community, figure out how to keep talented people – along with their businesses, ideas and innovations – here.

‘Let’s find a way to get them to stay’

TENWEST executive director Greg Teesdale said, “We’re using the millennial ‘live, work play’ mantra. Let’s find a way to get them to stay in Tucson. It’s not just a job – it’s an opportunity to do something exciting and maintain a good work-life balance.”

Teesdale says the goal is to grow the event each year and further foster an entrepreneurial ecosystem in Southern Arizona that ultimately drives economic development. To that end, TENWEST is mainly targeted to millennials, those people roughly ages 20 to 35, a group that has been heralded as the “Entrepreneur Generation.”

In its first year, TENWEST’s biggest issue was getting its name out in the community and getting buy-in. Despite

the challenges of creating a brand new event and marketing it to the community from the ground up, it was a major success – with some 18 events, 90 sessions and more than 3,300 attendees.

Building on the momentum of last year, TENWEST made its mark in the community and enjoys ample support from local businesses and economic development organizations, including the Desert Angels, a group of local venture capitalists. The University of Arizona, the City of Tucson, the Downtown Tucson Partnership, the Tucson Museum of Art, the Mexican Consulate, among others, are supporters as well.

This year, TENWEST organizers hope to maintain the concept, but streamline the events so that they are more cohesive and collegial. “We don’t want it to be siloed,” Teesdale said. “We want to combine all the different areas – technology, entrepreneurship, the arts – and put it all together.” This not only makes for a more fluid, enjoyable event, Teesdale said, but it also provides more opportunities for networking and community.

He added that, this year events take will place in the afternoon, rather than all day. “People have a tough time giving www.BizTucson.com

Take Two a full day,” he said. “But it’s easier for people to take a half day.”

20th annual IdeaFunding event

Like last year, the IdeaFunding track promises to be the signature event of the week. While this is only the second year for TENWEST, it’s the 20th year for IdeaFunding, an educational session followed by a competition where entrepreneurs pitch their ideas. This isn’t just a fun exercise that lets the entrepreneurs practice giving a pitch – there are prizes for the winning team.

Eric Smith, commercialization network manager for the UA’s Tech Launch Arizona, is chair of the IdeaFunding event. The concept originated from a few local champions – primarily Sherry Hoskinson, who at the time was director of the McGuire Center for Entrepreneurship at the UA, and Larry Hecker, a local attorney.

“IdeaFunding is Tucson’s premier entrepreneurial event of the year,” Smith said. “It historically has been a mix of education with a pitch competition, with some awards. We bring in speakers who are immersed in funding concepts such as financing, government funding and crowd funding.”

The pitch competition is, of course, www.BizTucson.com

By Romi Carrell Wittman

the main event. The process begins early with the Bracket Challenge, with would-be entrepreneurs submitting their videotaped pitches and materials months before the October event.

The community has a chance to watch the videos and vote for the ideas they think are the most promising. Those winning teams move forward, bracketstyle, much like the UA basketball team during March Madness. Ultimately, 12 teams are chosen and move on to the IdeaFunding pitch competition during the TENWEST festival.

The 12 teams, live and in person, present their ideas to a panel of judges drawn from the angel investing community. With many cash prizes on the table, it’s a high-stakes afternoon and more than 300 people attend to watch it unfold.

Tucson among ‘Best Cities for Millennials’

Teesdale expects great things from this year’s event. “The concept hasn’t changed. Our goal is to put more people in seats. When we get done, people will say, ‘Yeah, I’m going again next year.

I’m going to tell my friends.’”

He also expects great things from Tucson. He believes that the city is

unique in that it is home to a university with a proven technology transfer agenda, a vibrant and diverse arts and culture scene, proximity to Mexico as well as access to major transportation corridors, a climate and culture that foster work-life balance and, perhaps most importantly for entrepreneurs, willing investors. It doesn’t hurt that Tucson was recently named No. 4 in the country in a Money Magazine ranking of Best Cities for Millennials, or that Moody’s projects a job growth of about 11.1 percent for Tucson over the next five years. Inc. Magazine also recently named Tucson as one of the most affordable cities in the U.S. “In the startup world, you take a 20-year view, but each day we begin a new 20 years,” Teesdale said. “It’s about small wins. Economic development is taking the long view and cooperating and participating to keep making small wins.”

For more information about the TENWEST event, go to tenwest.com.

For additional information about IdeaFunding, go to startuptucson.org.

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PHOTOS: COURTESY TENWEST

Economic Development

BizBRIEFS

Irena Milanovic Irena Milanovic is now relationship manager at Wells Fargo Middle Market Commercial Banking. An Arizona State University graduate, she has 10 years of local banking experience, most recently with JP Morgan Chase. In her new role, she manages a portfolio of local middle-market client relationships and is responsible for the retention and growth of those relationships. She also focuses on driving collaboration and promoting innovation to better serve commercial clients.

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Amy McReynolds Amy McReynolds is now president of KB Home’s Tucson division. She assumes a key role in directing the builder’s growth strategy for the greater Tucson region while continuing to oversee day-to-day operations in the market.

The Tucson native joined the company in 2013 with more than 20 years of residential construction experience. She’s a University of Arizona graduate and currently serves as chair of the Southern Arizona Home Builders Association.

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BizHEALTHCARE

TMC Expanding to Southeast Side

New Healthcare Campus to Open Later This Year

By Mary Minor Davis

PHOTOS: COURTESY TUCSON MEDICAL CENTER

Residents on the southeast side of Tucson got a healthy dose of good news when Tucson Medical Center announced the groundbreaking for a new healthcare center to open at the intersection of Houghton and Drexel roads later this year.

Known as the TMC Rincon Health Campus, the two-story, 44,000-squarefoot facility will sit on a 40-acre parcel that TMC purchased in 2005. Plans call for an array of services for a growing area of Tucson that has lacked medical care in the past. The $11.5 million campus will offer primary, family and specialty care.

Richard Prevallet, VP for facilities and construction, said the design team worked to “give the image and provide similar aesthetics and colors that people find at the main TMC campus – so that people will know it’s a TMC healthcare facility.”

Prevallet said the first floor will be fully built, offering imaging services and specialty care that includes cardiology, OB-GYN, neurology, psychiatric and behavioral care, dermatology and endovascular services. Tucson Orthopaedic Institute also will offer physical therapy and rehabilitation services at a satellite location on the campus. The second floor will be shelled out in such a way that TMC will have the ability to expand to ambulatory surgery in the future. “It really is a place where people can get a wide array of services,” he said.

Shirley Scott, Tucson City Councilmember for Ward 4 where the campus is located, said she’s “thrilled” to have TMC in the neighborhood. “We have wanted and needed this kind of facility and service for so long,” she said at the groundbreaking ceremony held in early June. “This ward represents 100 square miles and over 108,000 residents. Until now we’ve had no medical facilities. I’m

very glad this came to fruition.”

In the past, Scott said, residents had to drive 30 minutes or more to find medical services. The project will also have a positive economic impact for the area.

The Rincon Health Campus is expected to create about 100 direct and indirect jobs according to an economic impact analysis by Sun Corridor Inc. Judy Rich, president and CEO of TMC, said that the community hospital already reaches beyond the original campus on Grant Road. “Our future is tied to our legacy, and our legacy is that we serve this community.”

Last year, Rich said that TMC changed its mission from “We are Tucson” to “We are Southern Arizona.”

Building the new healthcare center on the southeast side is just one more way the hospital is expanding its presence throughout Southern Arizona. Other programs include:

Design Team The large team of contractors and subcontractors associated with the construction of the new TMC Rincon Health Campus − nearly 25 companies − includes over 80 percent of businesses in Tucson, according to Richard Prevallet, VP for facilities and construction at TMC. The primary design team includes: •

Design-Build – Haskell

•

Architect – FreemanWhite

•

Mechanical & Plumbing Design – Kelly, Wright & Associates

•

Electrical Design – Electrical Design Associates

•

Structural Design – O’Donnell & Naccarato

•

Civil Engineer – Baker & Associates

•

Landscape Design – Ensign Design

•

Construction Management – Rider Levett Bucknall

•

Equipment Planning – Pulse Design Group

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“

We have wanted and needed this kind of facility and service for so long. This ward represents 100 square miles and until now we’ve had no medical facilities. I’m very glad this came to fruition.

–

”

Shirley Scott, Tucson City Councilmember, Ward 4

•

The Southern Arizona Health Alliance, which involves collaboration with nonprofit health centers in Benson, Willcox, Bisbee and Safford

•

The Mayo Clinic Care Network partnership that helps patients access Mayo Clinic expertise, while receiving care close to home

•

A partnership with Phoenix Children’s Hospital to provide pediatric care that augments specialty services available in Tucson

Locally, TMC also offers health lectures and fitness classes for seniors at the El Dorado Health Campus, education and activity programs at The Core at La Encantada and, most recently, TMC joined with Chef Janos Wilder and the Carriage House to bring healthy eating and other wellness

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initiatives downtown.

“Our main campus on Grant Road does incredible life-saving work through specialized staff and leading-edge technology,” said Julia Strange, TMC’s VP of community benefit. “But we know that the work of building health does not happen in a single space. It begins with our community members making solid, educated choices in their homes, at work and in their recreational time.

We believe there is an important role for a community hospital to play in responding to the region’s health needs.”

Strange said that TMC distributed more than 3,200 booster seats, 1,500 car seats and 7,000 bicycle helmets at community events last year, and provided swim lessons for 500 children.

“Tucson Medical Center is a community hospital – and part of our work is to share health and wellness throughout the region,” she said.

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Judy Rich National Policy Leader Judy Rich, TMC’s president and CEO, is now a member of the board of trustees of the American Hospital Association. The board is the policymaking body of the AHA and has ultimate authority for the governance and management of its direction and finances.

“Judy brings a wealth of clinical healthcare knowledge to the AHA board of trustees,” said Jim Skogsbergh, chair of the AHA board. “As the field continues to evolve, Judy’s depth of experience will help guide the AHA and our hospital and health system members into the future.”

Rich, a nurse by training, previously served as the Arizona Hospital and Healthcare Association board chair from 2012-2015 and has been a member of that board since 2008. In addition, she has served on numerous local, state and national boards and committees.

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BizTRAVEL

Tucson Scores Nonstop Flights to JFK Airport American Airlines Service Starts Oct. 6

By David Pittman Oct. 6 is cause for celebration in Tucson. That’s when daily, nonstop commercial airline flights begin connecting Tucson International Airport and New York City’s John F. Kennedy International Airport.

The new American Airlines nonstop service allows Tucson to shed the unwanted distinction of being the largest city in the U.S. without a nonstop flight to the Big Apple.

Top local government leaders and officials from the Tucson Airport Authority, the Tucson Metro Chamber and Visit Tucson are enthusiastically spreading the news.

“It is the most exciting air service news this region has had in many years,” said Bonnie Allin, president and CEO of the Tucson Airport Authority, at a May airport news conference in which participants eschewed ribbon cutting in favor of simultaneously taking bites from multiple large, ruby red apples. “Let’s keep this momentum going and make sure the flight is a success,” she said. “Now there is nothing stopping you when you fly Tucson to New York.”

Tucson Mayor Jonathan Rothschild said this news of renewed commercial air service between Tucson and New York is just the latest in a series of phenomenal economic development stories benefiting the Old Pueblo – citing Caterpillar’s decision to locate a regional

headquarters downtown, the opening of a large call center operation by Comcast and a new West Coast distribution center by HomeGoods and the announcement that professional hockey was coming to the newly renovated Tucson Arena.

Rothschild said creation of the Tucson to New York air route “connects us to the northeastern United States and Europe” and “will increase the opportunity for people on the East Coast to get out to Tucson – whether it’s for business, conventions or tourism – and that is incredibly significant for us.” The mayor said daily flights to and from Tucson and New York were “both needed and very welcome.”

Tucson last had nonstop flights to JFK in 2008 when JetBlue shut down its late-night service in May of that year.

Tony Finley, chairman of the TAA and CFO of Long Companies, is especially pleased the new flight from Tucson to New York “is not a red-eye” but an early morning flight that will provide convenient access to European flights from JFK. Indeed, connecting destinations beyond New York served by American Airlines include Barcelona, Madrid, Paris, Zurich, Milan, Dublin, Ireland, London, even Doha, Qatar.

Flights will depart Tucson at 7:57 a.m. and arrive in New York at 4 p.m. Return flights will depart JFK at 5 p.m. and ar-

rive in Tucson at 8:12 p.m. Flights will be aboard 160-passenger Boeing 737800 aircraft featuring 16 recliner seats in first class, 30 main cabin seats with extra legroom, and 114 coach seats.

Tucson Metro Chamber President and CEO Michael Varney said the new air route will bolster both business and tourism from the Northeast to Tucson and “open doors to more commerce in our region.”

Speaker after speaker at the news conference announcing the Tucson-New York connection praised the Chamber for the key role it played in making the new air service a reality. The Chamber not only worked more than 18 months to build public support and push the new route among airlines, but it also secured financial backing from more than 46 local businesses and organizations to create a $3 million revenue guarantee package that ensures American Airlines profitability over the first two years of operation. The new route would not have happened without that guarantee.

Varney credited Bill Assenmacher, who volunteered to head the Chamber’s Air Service Task Force, for leading the successful effort.

“Bill and his team worked tirelessly on this project. He was the ‘maniac on a mission’ and he got it done,” said Varney. “The local businesses and organizacontinued on page 48 >>>

Group photo, back row from left – Bonnie Allin, President & CEO, Tucson Airport Authority; Steve Cole, Board of Directors, Tucson Airport Authority; Mike Varney, President & CEO, Tucson Metro Chamber; Joseph Hughes, Regional Director of Government Affairs, American Airlines; Jonathan Rothschild, Mayor of Tucson; Sharon Bronson, Chair, Pima County Board of Supervisors; Tony Finley, Chairman of the Board, Tucson Airport Authority. Front row from left – Michelle Henry, Former GM, American Airlines, Tucson; Bill Assenmacher, Board of Directors, Tucson Metro Chamber and Tucson Airport Authority; Ruben Reyes, Senior District Adviser for Congressman Raul Grijalva; Brent DeRaad, President, Visit Tucson.

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Visit Tucson’s Hands-On Promo Goes To New York

By April Bourie

To ensure that the American Airlines nonstop flight to New York’s JFK airport is a success, Visit Tucson has planned a “high touch/high tech” promotion to reach leisure and business travelers and bring the best of the Old Pueblo to the Big Apple.

In the weeks leading up to the inaugural flight on Oct. 6, Visit Tucson and several of its partners will occupy a space inside JFK’s American Airlines concourse. Utilizing a “health and wellness” theme, the space will include yoga and meditation instruction, Naga-Thai massage and spin cycling. Nail polish changes, food samplings, charging stations and a juice bar will also be available to travelers. Visit Tucson partners and knowledgeable brand ambassadors will staff the space, handing out collateral and giveaways.

PHOTOS: CHRIS MOONEY

“The idea behind the campaign is to make a lasting connection with travelers to promote our offbeat, off-the-beaten-path city,” said Allison Cooper, Visit Tucson VP of marketing and sales. “Having that high-touch component is vital. Personal interactions cut through all the clutter and make a lasting impression.”

The campaign also includes a more traditional campaign that feeds digital advertising about Tucson to anyone in the New York metro area searching for travel to Tucson, to Arizona or to neighboring competitive markets. Visit Tucson is also sponsoring Wi-Fi inside JFK to travelers wanting a free internet connection. Those travelers accepting the offer watch the “Top of the World in Tucson” video and are encouraged to go to the Visit Tucson website to learn more about the destination and for a chance to win a Tucson getaway.

Visit Tucson is also working with American Airlines to create a first-class experience for all travelers on select flights and to engage business and loyalty travelers inside the Admirals Club.

“This campaign has been designed to promote Tucson and to offset the negative effects of flight delays, missed connections and long layovers,” said Cooper. “We will show travelers how easy it will be for them to get away from it all – to relax, rejuvenate, reconnect, renew – and to rediscover what it means to Free Yourself in Tucson.”

Fall 2016 > > > BizTucson 47

BizTRAVEL continued from page 46 tions that stepped up to create the revenue guarantee deserve everyone’s gratitude. It’s amazing what we can do when the entire community works together.”

It was Assenmacher who announced at the news conference that Tucson was “lucky enough to get our favorite airline, American Airlines, to start new daily service from Tucson to New York City.” As he completed those words, red, white and blue balloons were raced to the front of the room as a recording of Frank Sinatra singing “New York, New York” was played.

Assenmacher said the best part about the $3 million revenue guarantee is that it serves as “a backstop” and if the route proves profitable over its first two years, which appears quite likely, American Airlines would not tap into the fund and the money would be returned to donors.

Data gathered by airline consultants working for TIA and the Chamber indicate there is sufficient market demand to make the Tucson to New York connection highly profitable.

“More than 225 people a day are currently traveling from the Tucson metro area to New York City,” Assenmacher said.

“They are either taking a connecting flight or they are driving to Phoenix and flying from Sky Harbor Airport. All the statistics point to the fact that there is demand for this flight.”

Allin said “federal regulations limit what airports are allowed to offer for incentive programs.” She said revenue guarantees, such as the one led by the Chamber’s Air Service Task Force, not only provide needed financial assurances, but also “show airlines that we have a business community that is supportive of improved air service.”

The new flight, which increases the number of nonstop destinations from TIA to 18, allows American Airlines to qualify for as much as $550,000 in additional incentives through landing-fee waivers, terminal rent reductions and money for marketing from TIA. Establishing new service each way from New York to Tucson is costly. Last year it was estimated that a single roundtrip flight would cost the airline $45,200. That places the annual cost of operating the route at about $16.3 million.

Brent DeRaad, president and CEO of Visit Tucson, called the announcement of daily commercial flights from TIA to New York City “a great day for Tucson and Southern Arizona. Based on customer spending, New York is already our top market for leisure travel. But regrettably, New York has also been our number one market for lost meetings business, due, in part, to the lack of daily nonstop, round-trip service between Tucson and New York. That’s why Tucson lost nearly $15 million over the last three years in meetings-related opportunities. We are certainly eager to begin turning that around very shortly.”

DeRaad said Visit Tucson would begin marketing the new flight route to New Yorkers this summer. “We will be doing everything in our power to try to bring in new customers, not only from New York, but European travelers as well.”

American Airlines’ history in Tucson dates back to 1927 when one of its predecessors, Standard Airways, flew the first commercial flights into Southern Arizona from Los Angeles.

Today, American accounts for more than 36 percent of passenger enplanements at TIA with an average of 21 flights a day to Chicago O’Hare, Dallas-Fort Worth, Los Angeles and Phoenix.

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PHOTOS: BRENT G. MATHIS

35

From left

Travis Christensen GM

Barbara Camacho

Business Development Manager

Breck Grumbles Founder/Owner

Abracadabra Restoration Photos taken at The Original Guadalajara Grill on Prince Rd.

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BizMILESTONE

Disaster Recovery Experts

By Christy Krueger Fire and flooding disasters in a home or business can strike suddenly and leave victims feeling overwhelmed. Most have never experienced such a devastating loss and wonder – what’s the first thing you should do? Who do you call, how much will repairs cost, how long will it take and what unseen damage is lurking within the structure?

Southern Arizona property owners have a very experienced, highly credentialed specialist for such cases – Abracadabra Restoration. Founder and owner Breck Grumbles said his company receives calls for fire and water restoration every day and he responds quickly and efficiently.

Service professionals are available 24 hours a day, so even a water leak in the middle of the night will be addressed immediately. “Our business is about seconds and inches,” he said, referring to the emergency nature of the calls Abracadabra started in 1981 as a carpet cleaning company and quickly evolved to include extracting water from flooded homes and handling drywall repair. It eventually became a full-scale residential and commercial general contractor. It is now the largest locally owned restoration company in the Tucson area.

“By nature I’m an entrepreneur and I followed opportunities,” Grumbles said.

Not only does it make sense to be able to take a project through all phases of restoration, Grumbles finds satisfaction in aiding folks who are struggling with unexpected damaged to their most important asset, their business or home.

“We’re helping people who have experienced unexpected property damage.

We restore homes, businesses and lives.”

Other services provided by Grumbles and his 32 employees include mold remediation, asbestos abatement, biohazard cleanup, even contents restoration www.BizTucson.com

and storage during building repairs.

Two of Abracadabra’s more visible jobs in recent years include the fire restoration work at Rincon Market and The Original Guadalajara Grill. The fact that the Rincon Market project involved two customers – the business owners and the landlord – and a building that was almost 100 years old made it more complex and time-consuming than most jobs. Grumbles said his crews were on the site for nine months. In total, the business was closed for a year.

Rincon Market owners Kelly and Ron Abbott remain friends with Grumbles and his employees since working with them. “Abracadabra is one of the most professional restoration companies I’ve ever had the pleasure to deal with. Their attention to detail is above all,” Kelly said. “When Rincon Market caught on fire in July of 2013, Breck himself was there the next day to help our family figure out the next steps. I highly recommend him and his company.”

Emma Vera owns The Original Guadalajara Grill on Prince Road. She said, “My restaurant suffered a devastating fire in May 2014. We chose to hire locally owned Abracadabra Restoration.

It was reassuring to hear that our insurance agent and adjuster also recommend Abracadabra Restoration. The company provided comprehensive services from the initial board up to reconstruction of the building and restoration of the contents. They were compassionate, professional and gave us peace of mind.”

In addition to holding nearly a dozen certifications in the field of restoration and running a fleet of 25 service vehicles, Grumbles likes to keep up with technology. One piece of equipment that has become very helpful is an infrared thermography camera, which

detects moisture in walls without having to tear out drywall. “Where there’s water, it’s at least half-a-degree cooler. It’s a more efficient service and minimizes risks for mold,” he said.

Home and business owners are often referred to Abracadabra by insurance companies and their third-party administrators, who pre-qualify contractors for the insurance claim work. Grumbles builds face-to-face relationships with property managers and facility managers. He’s been a Better Business Bureau Accredited Business for many years, which he says is a very important partnership. He also belongs to trade groups and supports organizations such as The Salvation Army, Youth On Their Own and animal rescue groups.

In April 2016 Abracadabra celebrated 35 years in business with an anniversary party. Employees, their families and customers who attended the catered affair enjoyed a 1980s trivia contest and a visit by the magician who starred in the company’s TV commercials back then.

Grumbles believes integrity, transparency, quality of work and fair prices have contributed to the company’s longevity. And he especially appreciates the dedication of his employees, whose work schedules are always dependent on the phone calls of the day.

The work Grumbles deals with on a daily basis requires quick decisionmaking skills and immediate action – extremely stressful situations for most people. He manages to stay positive through his life mantra: “In business you need to decide on every job – do you want to be right or happy? Happy means successful.” And that extends to his employees, he said, who receive a great sense of achievement by helping people – something they have the honor of doing every day.

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PHOTOS: CHRIS MOONEY

1 2

3

4

1. Brent DeRaad, President & CEO of Visit Tucson 2. Peter Yesawich of MMGY Global 3. Stewart Colovin of MMGY Global 4. From left – Stewart Colovin of MMGY Global, Brent DeRaad and Allison Cooper of Visit Tucson, Peter Yesawich of MMGY Global, Richard Bratt, Chair of Visit Tucson’s Board of Directors and Felipe Garcia of Visit Tucson 5. Richard Bratt, Chair of Visit Tucson’s Board of Directors

5

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BizTOURISM

The Gold Pueblo

Cashing in on Visit Tucson’s ‘Free Yourself ’ Branding

By April Bourie How would you describe Tucson to entice potential visitors?

According to Visit Tucson’s “Free Yourself ” branding, Tucson is an outdoor mecca with a cool urban vibe. It’s a destination where people are encouraged to be themselves and feel a part of the community. It’s unpretentious, refreshing and energizing – yet it’s also a place where visitors can relax and unwind. This is an offbeat and off-thebeaten path destination with a brand message whose success is off the charts.

These successes, reported at Visit Tucson’s annual meeting in June, are reflected in substantial growth in the Tucson tourism industry. Rising hotel occupancies and room rates in the city translated into a $25 million increase in room revenues in 2015. Visit Tucson’s goal is to continue to build Tucson’s brand and increase visits to the region.

To make this happen, the organization works closely with MMGY Global to understand the habits and preferences of travelers. For a brand to succeed, it needs to elicit a visceral response in potential visitors. That’s what “Free Yourself ” is designed to do.

Visit Tucson is the destination marketing organization that drives local economic development through tourism. “We connect visitors to travel experiences that exceed their expectations,” said Brent DeRaad, president and CEO of Visit Tucson. “This is the third consecutive year that Visit Tucson increased its direct economic impact on this region. In 2015, that impact was $182 million, an increase of 12 percent over the prior year. Research shows that for every dollar invested in this organization, our talented team generates $24 for the metro Tucson economy.”

For this year’s annual meeting, Visit Tucson brought back MMGY’s Peter Yesawich – one of the travel industry’s most highly respected and insightful www.BizTucson.com

minds on the behaviors and preferences of active American travelers – to address the tourism industry on the latest trends and implications for marketing Tucson as a destination.

MMGY is the agency that developed Tucson’s forward-thinking, researchdriven travel brand and continues to work with Visit Tucson on a project basis, including additional visitor research and the launch of Visit Tucson’s responsive website.

“The fact that interest in traveling to Tucson is up among millennials is very important,” he said. “This is the largest demographic market today – and they have a sense of wanderlust, which is attracted by the ‘Free Yourself ’ branding.” It also doesn’t hurt that Tucson ‘Free Yourself’ Branding Impact Research shows that the distinctive and relevant “Free Yourself” branding launched in 2013 has positively impacted visitation and intent-to-travel among both millennial and affluent travelers.

Take a look at these numbers:

• The “Top of the World” video promot-

ing Tucson has more than 224,000 online views and counting. (See article in BizTucson’s Summer 2016 issue).

• Since

the branding launch, the percentage of U.S. travelers who are interested in visiting Tucson has increased to 34 percent.

• The

number of millennial travelers interested in visiting this unique destination has doubled to 43 percent.

• Among affluent travelers, the interest

in visiting Tucson jumped to 39 percent.

• Tucson

also ranks among the top 50 places for meetings according to Cvent, a leading online convention management and booking service.

was ranked in October 2015 as the fourth-best city in the nation for millennials by Money magazine.

The latest MMGY survey showed that travelers interested in visiting Tucson had taken a last-minute trip (planned in six days or less) in the past year. They also used shared-economy accommodations like Airbnb and VRBO in addition to more traditional lodging.

Yesawich said that travelers interested in visiting Tucson want more opportunities on vacation to connect with people they already know. To do so, they traveled with more than two generations of family and/or with two or more unrelated friends in the last 12 months. They have also taken a vacation to celebrate an event like a birthday or anniversary.

Considered the “digital elite,” travelers interested in visiting Tucson like to share their experiences on social media.

Forty-three percent access the internet from at least three devices, and 77 percent access their smartphones more for apps than to make calls. They spend nearly four hours per day on the internet for personal use, almost half that time on social media. They check their devices first thing in the morning and right before going to bed.

They also find reviews on TripAdvisor to be valuable and posted and/ or commented on reviews in an online blog in the last year. These travelers also purchase their attraction tickets online.

“It is important for attractions to make this possible,” said Yesawich. “A traveler with a ticket paid for in advance is more likely to visit the attraction than one that waits until he arrives. Oftentimes the ones who wait get distracted by other options.

“The most popular form of vacation these days is a weekend trip. “Because the average length of trips is decreasing, travelers want to have a plan beforecontinued on page 54 >>> Fall 2016 > > > BizTucson 53

BizTOURISM

“

The fact that interest in traveling to Tucson is up among millennials is very important.

This is the largest demographic market today, and they have a sense of wanderlust, which is attracted to the ‘Free Yourself ’ branding.

”

– Peter Yesawich Vice Chairman Emeritus, MMGY Global

continued from page 53 hand, so they don’t miss out on any activities or attractions that interest them.” They do a lot of research on activities before the trip. The research and booking windows are directly related to the length of the vacation. If the vacation is longer, travelers book earlier.

So, what does this mean for Tucson’s tourism industry?

“Where travelers go on vacation says a lot about them,” said Stewart Colovin, MMGY’s chief creative officer. “For this reason, the ‘Free Yourself ’ message talks to the hearts and minds of potential visitors. But Visit Tucson can’t talk to the visitors by themselves. We need continued collaboration to take the brand to the next level.”

Because travelers interested in visiting Tucson are so websavvy, Colovin encouraged tourism partners to share stories online of positive visitor experiences at their venues. “We have to tell the story better than anyone else,” he said.

“Collaboration is the key,” said Allison Cooper, Visit Tucson’s VP of sales and marketing. “On our new responsive website and across many platforms, we need to share the stories of how visitors are experiencing and enjoying Tucson. To increase our share of voice, we need to tell stories that Google will rank, consumers will share and visitors will want to experience.”

The new site launched in July and will serve the millennial, Gen X and affluent travel segments. The content is optimized for any screen, and the navigation is very visual.

More video will be incorporated into the site, and partners will be able to provide more content and comments from TripAdvisor in their listings.

Visit Tucson and the Southern Arizona Attractions Alliance also promote a smartphone app that provides two-forone offers and other discounts throughout the metro area.

The Tucson Attractions Passport app promises “fun is only a few taps away.”

With new nonstop flights to New York, new options like the Tucson Roadrunners professional hockey team and world recognition like the UNESCO City of Gastronomy designation – the first in the U.S. –Tucson is poised to drive significant visitor demand,” Cooper said. “ ‘Free Yourself ’ is a proven value proposition that will serve us for years to come. The goal is to get the right message to the right person at the right moment in the right context – and we can easily do that when we collaborate.”

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PHOTO: CHRIS MOONEY

From left

Maj. Gen. Edward Maxwell

Commander, Arizona Air National Guard

Brig. Gen. Howard “Phil” Purcell Wing Commander, 162nd Wing

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BizMILITARY

Air National Guard Site Trains the World

By David Pittman When the Arizona Air National Guard began operations at the edge of Tucson International Airport in 1956, the 162nd Wing consisted only of an old adobe farmhouse and a small dirt-floor hangar with just enough space for three Korean War-era aircraft.

Now celebrating its 60th anniversary, the 162nd Wing is one of the largest Air National Guard wing in the nation with more than 1,700 people and 80 F-16 supersonic fighter aircraft.

The Air National Guard’s premier F-16 fighter pilot training unit is at the 162nd. In addition to training U.S. fighter pilots over the last 47 years, the 162nd Wing has provided F-16 training to pilots from 28 allied countries since 1989. In doing so the 162nd has graduated more than 7,000 fighter pilots and developed strong international relationships based on performance, friendship and trust.

“The 162nd is known all over the world because we engage with air forces in many countries,” said Brig. Gen. Howard “Phil” Purcell, wing commander of the 162nd. “Building partnerships with other nations is a Department of Defense strategy and the 162nd plays an integral part in that.”

Ideal flying space for training

The international fighter training provided by the 162nd is sought after because the Wing has a reputation of excellence and success in pilot training and Southern Arizona is an ideal place to fly aircraft.

“You can’t beat the flying weather or the range space we have here in Southern Arizona,” Purcell said. “We get somewhere around 345 days of sunshine a year in Tucson and the range space we sit right in the middle of is among the best anywhere.”

Pilots from the Netherlands, Poland, Singapore, Norway and Iraq are currently being trained at the 162nd Wing. In fact, fighter training is so popular among allied nations that the program frequently is fully booked and countries must be placed on a waiting list to get in.

“It is a booming business for us,” Purcell said.

The 162nd Wing is the 40th largest employer in Southern Arizona. Data from 2008 estimated an annual economic impact of $280 million.

“All the airmen of the 162nd Wing have a positive impact on Tucson and Southern Arizona. They are all part of this community. They buy houses, rent apartments, buy automobiles, gas, groceries and everything else,” said Maj. Gen. Edward Maxwell, commander of the Arizona Air National Guard.

“The training mission also has a great benefit on the local economy because it brings in international dollars to Tucson from people training here from all over the world.” www.BizTucson.com

Four missions

But training U.S. and foreign pilots is only one of four primary missions performed by the 162nd Wing. It also operates:

•

A Homeland Defense detachment at Davis-Monthan Air Force Base that includes fully loaded F-16s and the pilots to fly them who are ready to react to any threat or emergency – be it a military attack, an act of terrorism or a lost airliner – at a moment’s notice 24/7. “We are the alert force for the U.S. military for the Southwestern region,” said Purcell.

• The Total Force Training Center Tucson, another detachment operated from D-M, that provides support for visiting flying units from around the world looking to train in the optimal weather conditions and ample ranges of Southern Arizona.

• The 214th Reconnaissance Group, detachments at D-M

and the U.S. Army’s Fort Huachuca in Sierra Vista. The detachment at D-M currently flies the MQ-1 Predator unmanned aerial vehicle (or drone) in daily combat missions in the Middle East via satellite, providing troops on the ground with intelligence, surveillance and reconnaissance.

The detachment at Fort Huachuca trains launch and recovery teams that work on the ground to get drone aircraft up and down successfully.

Construction of the Aerospace Parkway by Pima County was done to replace Hughes Access Road and create a larger buffer area surrounding Raytheon Missile Systems. It also promises to make room for construction of another runway at TIA and enable needed expansion at the 162nd Wing.

Although the F-16 eventually will be replaced by the F-35, a fifth-generation stealth fighter that is the most heavily software-driven jet in history, both Maxwell and Purcell expressed confidence about the future of the 162nd Wing.

“The F-16 training mission truly has a long viability,” Maxwell said. “F-16s are still being produced, they are still being sold to our international partners, we’ve been the international hub for F-16 training since 1991 and the F-16 requirements for the Air Force are continuing to grow. The F-16 training mission is very secure for at least a decade out. And there is the potential for the 162nd Wing to move into F-35 training in the future.”

Site upgrades needed

Purcell said he sees “a time frame in the future” when both F-16s and F-35s will be flown at the 162nd. However, Maxwell and Purcell said upgrades will be required at the Air Guard’s continued on page 58 >>> Fall 2016 > > > BizTucson 57

BizMILITARY continued from page 57 facility at TIA to guarantee its longterm future.

“We love Tucson International Airport and we love being stationed here,” Purcell said. “But the facility did start here in the ’50s. In some respects it’s like having an old car. You love that old car, but keeping it in good shape requires upkeep.

“So, there are things we need, not only to continue our mission effectively but also to plan for the future because when the F-35 comes, many infrastructure changes will be necessary. The more prepared we are, the easier it will be to absorb that capability.”

Maxwell said the most pressing upgrade needed is the relocation of the facility’s main entry gate just off Valencia Road, which commanders of the 162nd have been trying to accomplish for about a decade.

“Back when that gate was designed there was little concern regarding criminal or terrorist threats,” Maxwell said.

“The gate is very small with no turnaround facility, which means anyone

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“

All the airmen of the 162nd Wing have a positive impact on Tucson and Southern Arizona.

They are all part of this community.

They buy houses, rent apartments, buy automobiles, gas, groceries and everything else.

”

Maj. Gen. Edward Maxwell Commander Arizona Air National Guard

–

who turns on the road leading to the gate, even those not permitted to enter, must be allowed on the base to turn around. Another key concern is the gate

is not compliant with numerous antiterror requirements that have been developed since 9/11 and we are currently operating on waivers.

“The ideal for us is for the entry gate to be off of Park Avenue. That would allow us to build an access road to the gate and develop an entry similar to the two primary gates into Davis-Monthan off Craycroft and Swan roads.”

Maxwell said various government entities – including the military, the airport and the FAA – have been negotiating the issue on and off for a decade, to no avail. “There were times when we believed an agreement was close, but something always happened” that one party or another couldn’t abide, he said.

“It isn’t the 162nd that must enter the agreement with the airport on this; it’s the Air Force and the National Guard.

“Replacement of the gate is not only a current need, it is a current requirement because it does not meet minimum anti-terrorism and force requirements,” Maxwell said. “We believe it (a new relocated gate) is a requirement for current missions and an absolute requirement for future missions.”

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YMCA Military Ball Helping Service Members’ Families

By Larry Copenhaver For some, a military ball is all about shined shoes, polished brass, flowing gowns and uniforms that make all who wear them stand out in a crowd. But a new event for Tucson, the YMCA of Southern Arizona Community Military Ball promises more – a chance to accomplish three objectives woven into the event scheduled for Veterans’ Day, Nov. 11:.

• Honor Army, Navy, Air Force, Marine and Coast Guard throughout Tucson and Southern Arizona, and recognize the benefits and freedoms their service and sacrifice provide.

• Share the YMCA’s legacy of caring for members of the U.S. Armed Forces which pre-dates the Civil War, and highlight current YMCA programs for military families.

• Provide additional resources for families of active, reserve, retired, veteran and fallen military so they can participate in YMCA classes, events, programs and camps.

The Ball which features a formal dinner and dance, runs from 6 p.m. to 10 p.m. at the Tucson Convention Center, said Lohse YMCA Board Member and Event Volunteer Priscilla Storm, VP at Diamond Ventures. “It will be done in the tradition of military balls, which are traditionally held on-base. This will be a community invitation to join together and honor the military contributions to our Southern Arizona community.”

Often, it’s difficult for children of military families to participate in YMCA programs. This is an opportunity for the community to come together and help, Storm said. These are the children of those who have given so much for our world, nation and community.

One example of an opportunity for the community to help military families is to increase the ability for children throughout Southern Arizona to attend camp at the YMCA’s Triangle Y Ranch Camp located near Oracle.

“It’s just not right that a child of

a serviceman or woman would want to attend camp and not be able,” said Storm, whose father served in World War II and brother served in Vietnam.

Southern Arizona’s economy is dependent on Davis-Monthan Air Force Base, the Arizona Air National Guard, Raytheon, the University of Arizona’s aerospace engineering program and related local businesses. “The YMCA and U.S. Armed Forces have worked together for more than 150 years, we want to renew and expand that tradition,” Storm said.

Before there were other organizations helping service members, the YMCA was there, Storm said.

“The historic facts and current opportunities became so overwhelming, that along with other YMCA board members like Eric Ponce and Don Jenks, we felt compelled to do something,” Storm said. “It should be a fun and special evening to celebrate all five branches of the military.

INAUGURAL YMCA COMMUNITY MILITARY BALL

Friday, Nov. 11, 6 -10 p.m.

Tucson Convention Center Tickets and sponsorship information at (520) 623-5511, ext. 254 or Xavierw@tucsonymca.org

1 1851 YMCA founded in Boston.

1861 15 northern YMCAs formed U.S. Christian Commission to assist Civil War troops, supply nurses and field hospitals.

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“Imagine the TCC, on Veteran’s Day, filled with members of the community and military personnel from all five branches of the armed forces, from World War II veterans to the University of Arizona ROTC cadets. I can already sense the feeling in the room.”

This is a collective community expression of appreciation to all those that serve − from a short time in the reserve to career military. The YMCA has selected a group of community members from Southern Arizona with diverse military service backgrounds that represent different branches of service to be named to the 2016 YMCA Council of Heroes. They are: 1. John A. Almquist Jr.

Major General, U.S. Air Force 2. Frank Michael Cadden

Lieutenant Commander, U.S. Navy 3. Jon Trachta

Captain, U.S. Marine Corps 4. Lynne Wood Dusenberry

Commander, U.S. Naval Reserve 5. Luis Fernando Parra

Specialist, U.S. Army 6. Edmund G. Marquez

Sergeant, U.S. Army Reserve 7. Max Davis

Yeoman Third Class, U.S. Coast Guard

The inaugural event will require a lot of planning and work to pull it off.

“I realize it’s hard to introduce another signature gala event into the October-December mix,” Storm said. “That space is pretty crowded already and the YMCA does not hold an annual signature event, so this is new territory. But I believe when we are honoring military service and helping military families, on Veteran’s Day, it’s hard to go wrong.

“There’s a quote from a November 1918 YMCA advertisement in Country Life magazine which I think applies. It reads, ‘These things are more than comforts, they keep their hearts strong and courage high. And by giving them these simple pleasures and lesser essentials you show your gratitude for those who are giving their lives. Open your heart and purse freely and pay, in so far as you can, your debt to them.’ ” Individual tickets are $150 and the title sponsorship at $25,000 with several levels of table and tribute book sponsorships, said Xavier Walker, YMCA of Southern Arizona financial development director. Full table purchases include 10 seats, but two of the chairs will be reserved for hosting military guests from Davis-Monthan, Silverbell Western Army National Guard Aviation Training Site (WAATS), the 162nd Wing of the Air National Guard,

Fort Huachuca and the Yuma Proving Grounds.

Diamond Ventures, a privately held company specializing in real estate and private equity investment is headed by Donald Diamond. “Like most of us in Tucson, several of us at Diamond Ventures have family members that have served,” Storm said.

“This will be a very exciting event, one that gives us an opportunity to reinforce our commitment to those who serve or served in the military,” said Amanda Thomas, director of YMCA communications and special projects.

Two years ago marked the 100th anniversary of active service in Tucson for the organization.

“We are pleased to be hosting the Community Military Ball for the community and our military. We are confident in this project.” Thomas said.

For more information, contact Xavier Walker at (520) 623-5511 ext. 254, or Xavierw@tucsonymca.org. www.tucsonymca.org

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PHOTOS: COURTESY YMCA COMMUNITY MILITARY BALL

BizMILITARY

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1902 Congress established permanent YMCA facilities on military sites.

1914 180 traveling libraries and 250,000 service members stayed in YMCA dormitories.

3 World War I YMCA raised $235 million for wartime causes and hired 25,926 workers to serve the military, including 5,145 women.

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5 World War I YMCA provided war relief for refugees and prisoners, and founded trade schools and colleges to assist soldiers.

1941 YMCA, with five other organizations, founded the United Service Organizations (USO)

6 1996 YMCA established Military Family Month.

1980 YMCA founded National Military Family Resource.

2014 YMCA marks 100 years in Tucson.

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BizMILESTONE

Taking on Trauma Jewish Nonprofit Serves Entire Community

By Monica Surfaro Spigelman

Everyone needs a way to process the difficult emotions that come with trauma – from first responder to grieving employee, from refugee to survivor of domestic abuse Where is that community safe in times of trouble?

For many that place is the Jewish Family and Children’s Services of Southern Arizona. Now in its 75th year, JFCS supports members of the community through diverse initiatives rooted in Jewish traditions – healing the world (tikkun olam) with loving kindness (chesed) through just and charitable deeds (tzedakah).

JFCS’s professional counseling approach is innovative and long term. Its wide reach helps thousands every year.

Those utilizing the JFCS social and behavioral health programs are all ages – from 2 years to 85-plus in 2016. They come from all faiths – only 37 percent are Jewish – and all corners of the community including families, employees, people with special needs, the elderly as well as Holocaust survivors.

Fundamentally at stake is a social contract that cultivates community for the common good, said JFCS board chair Fred Fruchthendler. “If you enhance the individual well-being, you enhance quality of life for everyone.”

It was his father Jacob Fruchthendler, who along with Ray Brandon and a core group of leaders in the Tucson Jewish community in the 1940s, who saw the needs and responded.

The younger Fruchthendler recalls Sunday evenings in his parlor, when the group would meet, discussing ideas and 62 BizTucson

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facilitating rapid creation of programs.

The group at the time was called the Jewish Community Council and built on the legacy of pioneering organizations in place even before Arizona statehood – including Hebrew Ladies Aid Society and Hebrew Ladies Benevolent Society.

Pioneering years

In the postwar era, Tucson was a small yet diverse town, strong in Latino and Native-American populations as well as military. It was witnessing a dramatic increase of soldiers returning to Southern Arizona to live with their families.

There was a corresponding tidal wave of social needs and community services.

Against this backdrop, the group began breaking new ground in ways that supported and educated individuals. They understood what a community needed and that it had to serve everyone.

In the 1950s the Council brought Dr. Benjamin Brook and his wife, Elizabeth “Betty” Brook, to Tucson to support community services. Betty, a social worker, was hired as the first − and longest serving − executive director of what was evolving into JFCS. She helped spearhead programs in foster care and senior services. JFCS became licensed as a child placement agency and also offered homemaker services and housing programs for the poor. JFCS became a trailblazer in resettling refugee families who survived the Holocaust, and, later, in the resettlement of Soviet Jews.

That core team believed it was the responsibility of everyone to make the world a better place, and to give every

child or adult the services they needed to achieve well-being.

“Children and seniors were always at the core of our service,” Fruchthendler said. “When city or federal programs were not available, JFCS provided food for people who needed food, counseling for people who needed hope, and other emergency assistance. If there was no structure to facilitate services, they created one. They saw everyone who needed help – even those without the ability to pay.”

The first offices at 102 N. Plumer Ave. opened in the late 1950s. In the decades that followed, there was continued outreach, with advanced programs and more professional staff to help victims of varied trauma.

There were new approaches to providing legal guardianship services for adults unable to make critical life decisions due to incapacity or disability, as well as broadened assistance for Holocaust survivors and their families.

Project Safe Place, a free grant-funded community trauma program for both children and adults, was established 14 years ago. The HoME service was established to provide new durable home medical equipment for Pima County residents with a demonstrated need for financial support.

Innovative programs like this continued to be balanced with traditional programs staffed by volunteers, including the distribution of Passover baskets to community members in need, a 40-year tradition.

At the turn of the century, the stresses of global upheaval brought new trauma www.BizTucson.com

1 1. Holocaust survivors Boris and Mariya Nayshtut with JFCS of Southern Arizona Holocaust Survivor Program volunteer Richard Fenwick. Photo credit: Tom Spitz 2. The late Irene Sarver, longtime supporter of JFCS of Southern Arizona 3. JFCS of Southern Arizona supporter Robert Sarver.

4. JFCS of Southern Arizona supporter Betty Anne Sarver. Photo credit: Chris Mooney 5. JFCS of Southern Arizona supporters Jill and Herschel Rosenzweig. Photo credit: Chris Mooney 6. JFCS of Southern Arizona supporters Enid and Mel Zuckerman 7. Fred Fruchthendler, Chair, Board of Directors, JFCS of Southern Arizona. Photo credit: Chris Mooney 8. JFCS of Southern Arizona President and CEO Carlos Hernández. Photo credit: Chris Mooney

to families and workers. Reduction of government funding called for revision of the JFCS revenue mix.

“The shifts also occurred because the community grew,” said JFCS President and CEO Carlos A. Hernández. “One powerful aspect of all the change is that when you look at Tucson’s evolution as a community, JFCS was always a part of the evolution. The organization recognized that the community still needed support in order to grow, and JFCS was always there, staying flexible to change with community needs.”

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Philanthropic Partners

An exceptional collective spirit of generosity continued to support the organization. Many families – including Jill and Herschel Rosenzweig, the Sarver family, Mel and Enid Zuckerman, Donald and Joan Diamond, Paul and Alice Baker, Michael and Beth Kasser, and Jim and Vicki Click – share passions and philanthropy that cultivate JFCS and well-being in the community.

“These families have been known to say, ‘If I don’t do it, who will?’ ” said Michael E. Blimes, JFCS VP for philanthropy, marketing and communications.

Fruits of this philanthropy are visible in new facilities and increased staffing.

In 2003, a 16,000-square-foot center at East Fifth Street and North Columbus continued on page 64 >>> www.BizTucson.com

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BizMILESTONE continued from page 63 Boulevard was dedicated. A significant capital campaign gift from Mel and Enid Zuckerman named the building.

Another name – William and Doris Rubin Services for Older and Disabled Persons – recognizes another capital campaign gift. In addition, the Jack J. and Gary I. Sarver Counseling Center was consolidated into the new facility. An outreach office opened in Oro Valley to serve the northwest community. Staffing – primarily therapists – has increased 38 percent over the past two years.

Collaborations by the Jewish Federation of Southern Arizona and the Jewish Community Foundation of Southern Arizona allow JFCS to weather cycles and invigorate a very proactive agenda. This means working with public and private organizations like commercial insurance companies that help JFCS reach a wide and diverse community, including first responders and their families, with expert counseling within 24 hours.

The JFCS’s visioning plan recently added momentum to an ongoing priority to strengthen community outreach.

As community discussion becomes more proactive about wellness, JFCS is looking to ensure that mental health is included in the conversation.

“We often can replace a heart valve or fix a physical health issue with technology,” Fruchthendler said. “But there is no quick fix when it comes to helping with school bullying or violence in the home. As we cultivate a culture of excellence, we’re also cultivating the community conversation about wellness that includes mental health.”

Hernández said, “We want people to understand there’s a specialized community mental health organization that can provide help – and that they don’t need to wait for a crisis to have the conversation.”

In the workplace

Another opportunity is the potential to partner with business, where power often is measured in its human capital. “The business community relies on having a stable workforce,” Hernández said. With people working long hours, to be effective, help could be offered in the workplace.

JFCS counselors already are embedded off-site at the Tucson Hebrew Academy, New Pueblo Medicine group practice and the Emerge! Center Against Domestic Abuse. JFCS can be the starting point for businesses that know employees’ issues are company issues. JFCS could empower businesses with tools to support employees who have experienced trauma and who can’t − and shouldn’t − tether their personal lives or emotions at work’s doorstep.

“It’s not our goal to solve all the problems – but if we create the opportunity for community to have dialog on their own terms, in their own place, then we can begin to solve all the problems,” Fruchthendler said.

As JFCS pauses to celebrate its anniversary, Hernández and Blimes discuss the importance of turning this moment of reflection into a new and dynamic chapter for the organization. They agree.

Fruchthendler added, “We’re a small but mighty organization that wants to do more. It’s about the well-being of our community. It’s important work.”

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Trajectory Sun Corridor Inc.’s Bold and Bullish Outlook

By Rhonda Bodfield

F

ive years ago, Southern Arizona could not have won the hypercompetitive race to bring Caterpillar’s Surface Mining & Technology Division central hub to downtown Tucson – bringing more than 600 new, high-skilled jobs to our region and significantly expanding Caterpillar’s presence in the state to nearly 1,000 jobs.

There was too much work yet to be done.

Partners – both in the public and private sector – needed to align their efforts to accomplish a single vision.

Regionalism had to take root so there was a clear understanding that a win in one area was a win across the map – whether a company located in Oro Valley, Tucson or Marana. The players still had to coalesce into a team. Success had to feed confidence.

Those elements had yet to gel. Tuc68 BizTucson

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son was seen as a great place to golf – not as a hub for industry.

When Joe Snell was tapped 11 years ago to lead the region’s economic development efforts, he came to a conclusion in those initial months of his tenure.

“There was no doubt in my mind that Tucson had the right ingredients to be an economic juggernaut. We are surrounded by physical beauty. We have a world-class university. Our livability is unmatched,” said Snell, president and CEO of Sun Corridor Inc. “We had it all except for one thing – we didn’t have a recipe.”

Catalyst for change

The thing about economic development is that there’s typically no magic bullet.

Sustainable growth more often than not demands a slow and steady build.

“Looking at the evolution of where we were, and where we are today, there were defining occasions – a series of ‘aha’ moments that brought us a step closer to the place we’re at now – which is a bold and bullish outlook about Tucson’s growth opportunities.”

As with most change, there was a catalyst. If you ask Snell to pinpoint the moment when things really shifted, he points to Raytheon’s decision in 2010 to build a new $75 million missile production facility in Huntsville, Alabama, instead of in Tucson.

Huntsville was really aggressive – so aggressive that they had folks on the ground knocking on doors in Tucson, trying to lure them away. It helped that they had something to sell – a massive business park that feeds innovation through shared access to talent and suppliers, and fuels collaboration among www.BizTucson.com

of

Success complementary businesses. Plus, Alabama offered tax incentives that Arizona could not offer.

But more than that, what local leaders saw on a trip to Huntsville organized by Snell was political leadership in lockstep alignment from the federal level down.

There was agreement on what the prize was and how they would get it.

That loss coincided with the fact that Tucson in the recession era had to work a little harder than Tucson in the prerecession era, which had been riding a wave of massive in-migration.

“I’m a big believer that you don’t waste a good crisis,” Snell said. “The recession brought with it an awareness we had to be more competitive. We couldn’t just wait for something to change.”

First step on the forward path

When Snell sat down to trace a trajectory of success for his board of directors, he started it with the successful recruitment of Accelerate Diagnostics in 2014.

It was a startup – but it was important for its potential. Led by a talented team with local ties, it was another step in growing a critical mass of biotech firms.

By early 2016, the company had grown its employee base from 20 staff members to more than 140 – at an average wage of more than $90,000 a year.

Accelerate Diagnostics could have chosen another communtity. The new company needed specialized lab space that didn’t exist here. Snell credits Pima County Administrator Chuck Huckelberry with coming up with a creative solution – the County built the specialized space in its Abrams Public Health

Center building, and leased it to Accelerate. When that lease period ends – ideally with Accelerate Diagnostics as a mature, growing bioscience firm – that space can be used to attract another bioscience or medical firm.

“To me, that built confidence. Instead of why we couldn’t do something, we figured out how we could,” Snell said.

Loss leads to victory

If Tesla Motors’ “gigafactory” was the one that got away, it also did more than anything else to set the stage for success, Snell said.

Government and business leaders, including TEP’s Dave Hutchens, Tucson Mayor Jonathan Rothschild, Pima County Supervisor Sharon Bronson and Huckelberry, helped craft a competitive offer. The private sector also brought incontinued on page 70 >>>

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BizECONOMY

Top Site Selectors Pick Tucson for 2017 Conference

By Rhonda Bodfield

Fewer than 400 people make 95 percent of the decisions about where companies should relocate or expand.

Companies hire these site selectors for their expertise on everything from overall business climate to tax structure, environment and livability.

Now, thanks to a statewide effort that included a joint pitch

by Sun Corridor Inc. and Visit Tucson, the world’s foremost consultants are coming here in March for the 2017 Site Selectors Guild conference – a first for Tucson and a rare opportunity for a city of this size.

“Hosting the 2017 Site Selectors Guild Conference in Tucson will provide an excellent opportunity to showcase everything Arizona has to offer in terms of both pro-business environment and unmatched quality of life,” said Sandra Watson, Arizona Commerce Authority President & CEO. “By bringing the world’s leading site selection professionals together in our state, we will be well positioned to highlight the many advantages Arizona offers to their corporate clients considering expansion or relocation.”

The guild is a prestigious, invitation-only professional organization that shapes the corporate growth strategies of the nation’s top companies. Members lead corporate location projects valued at more than $30 billion in annual capital expenditures each year.

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“The timing of the conference couldn’t be better for Tucson.

On the heels of the Caterpillar relocation, combined with Comcast and HomeGoods, Tucson is on their radar, with a lot of people scratching their heads wondering, ‘What’s up in Tucson?’ ” said Fletcher McCusker, CEO and president of Sinfonia HealthCare Corp and chairman of the Rio Nuevo board.

“In selecting locations for our annual conference, SSG seeks to partner with global leading locations that are important to site selection and economic development – and Arizona certainly falls on this list,” said William N. Hearn, chairman of the guild’s annual conference committee and senior VP for CBRE, Consulting & Economic Incentives Group in Atlanta.

In addition to showing off the allures of the region, the conference will provide an opportunity to highlight Tucson’s competitive strengths – not only in aerospace, academics, logistics and bioscience, but as a foodie destination with an accessible airport and sweeping changes taking place downtown.

McCusker said, “I believe we will surprise a lot of people and generate significant new interest in Tucson as a corporate destination.”

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continued from page 69 centives to the table.

“We knew we had a good offer. And even though we didn’t come out on top, what it did was give us the formula,” Snell said. “We now had our recipe.”

So when HomeGoods came a few months later looking for a site to build a West Coast distribution center that would employ 400 people, there already was a clear marriage of the public and private sector.

HomeGoods executives said part of what sold them was that they had rarely seen such unity from key leaders in a community.

Comcast, with its new advanced services center and 1,100 jobs, gave the community a chance to refine the formula further. Now Tucson really was on the radar. Interest was piqued from site selectors and real estate professionals – what’s going on over there?

Success begets success

Enter Caterpillar, one of the world’s most valuable brands. A Fortune 100 company, Caterpillar is bringing its new Surface Mining & Technology central hub downtown, a decision that translates into a direct infusion of $1.9 billion in economic benefits to the community in the coming years.

Snell ticks off a list of key players working together.

Governor Doug Ducey and Sandra Watson of the Arizona Commerce Authority. Bronson and Huckelberry. Rothschild. Jim Click Jr. Fletcher McCusker.

Members of the Sun Corridor Inc. Board of Directors. In some cases, polar opposites politically worked in unison. “We saw people come around the table to remove every obstacle placed in front of us. And with that alignment, there was no way we were going to lose.”

Hutchens, the vice chair of Sun Corridor Inc. and head of TEP agreed. “Collaboration has been the key to our economic development success,” he said.

Chair of the Sun Corridor Inc. Board, Dennis Minano, said there is an unsung hero in the success.

“The community really led all of this. We would not get anywhere without unifying, collaborative partnerships. We know how to leverage the successes and communicate our message – and collectively we are solving problems and meeting our client’s needs.

That’s a powerful combination.”

This is validation for Snell of the new strategies Sun Corridor Inc. implemented – a big win in a year of huge transition, following rebranding with a new name and a bigger footprint that now envelops everything south of Maricopa County and extends deep into Mexico.

Sun Corridor Inc.’s eight staff members have developed the strongest pipeline of new prospects that has existed in the organization’s history, he said.

“We’re hunting bigger fish and higher wages. Locally, we’re building assets that we can put these businesses into. We’re thinking big. We’re aggressive. And we’re going to win,” Snell said. “I couldn’t say that five years ago, but it’s just going to get bigger from here.”

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After Hard Decision, A ‘Soft Landing’

By Rhonda Bodfield There was a moment, as Caterpillar executives were meeting with local leaders, that it became obvious that Southern Arizona was not well-understood as a business location or a place to live.

Sun Corridor Inc. had long offered an informal program to help employees relocating to the area – from helping their spouses find employment opportunities to answering questions about neighborhoods and schools. But the size of the Caterpillar workforce moving here caused board leadership to step back and reevaluate.

“It became clear right away that we needed a more formal mechanism to really highlight the strong assets we have and to demonstrate what we love about Tucson,” said Joe Snell, president and CEO of Sun Corridor Inc. “It was also clear that we were dealing with a company that loves their people, so it was important to us to make sure there were no barriers for these newcomers to our community.”

Enter the Soft Landing solution.

Sun Corridor Inc. launched a series of live webinars in May and June, designed to highlight this region’s strength in key areas. Community leaders – including Mayor Jonathan Rothschild, Tucson Metro Chamber’s Mike Varney and Visit Tucson’s Brent DeRaad – answered questions about the renaissance of downtown and what makes this community special.

Education, healthcare and housing experts gathered on separate occasions at 6 a.m. to accommodate the time difference with Caterpillar’s Surface Mining & Technology employees in the Midwest, and to answer questions specifically about their areas of expertise.

Along with FAQs, videos and other resources, Sun Corridor Inc. also deployed a concierge program to help spouses/partners seek out job prospects, and linked relocating employees with a www.BizTucson.com

Tucson “buddy” who could help assist in specific areas of interest.

“Everything was designed to say welcome and to ease that transition to a new culture and a new climate,” Snell said.

Judy Rich, president and CEO of Tucson Medical Center, said she was pleased to participate in the health

“

Sun Corridor Inc.’s Soft Landing program has been a powerful and proactive way to connect our employees with key leaders of the Tucson community to help in change management.

– Benjamin

”

S. Cordani Lead HR Manager Caterpillar’s Surface Mining & Technology Division

sector webinar, which also included Banner-University Medical Center and Northwest Medical Center.

“Caterpillar’s decision to establish offices downtown is clearly one of the largest economic development projects in recent memory – and this was a great opportunity to deepen our relationship, share our strengths and welcome them

to their new home,” she said.

“It also provided a road map and a network to continue this kind of effort in the future for other companies that could benefit from this kind of support.”

More than 2,200 attendees participated across 12 sessions.

“Sun Corridor Inc.’s Soft Landing program has been a powerful and proactive way to connect our employees with key leaders of the Tucson community to help in change management,” said Benjamin S. Cordani, lead human resources manager for Caterpillar’s Surface Mining & Technology Division.

“These community leaders transparently shared their honest views and experience on a range of topics including the community, housing market, education landscape and health options.

Through that, our employees felt a very real and personal connection with Tucson and are better equipped to make a decision on relocation and quickly integrate into the community.”

Xavier Manrique, senior VP for Arizona regional commercial banking at Wells Fargo, was assigned as a buddy to a Caterpillar executive from Illinois.

They talked about everything from schools, neighborhoods and summerbreak activities to veterinarians. “I enjoyed sharing my knowledge of our community. It’s given me an opportunity to appreciate all the wonderful aspects of our region,” he said.

Manrique helped introduce the exec to the principal of her first-choice high school and was heartened to hear that the enrollment process was soon underway, helping many other important pieces fall into place.

“We can show prospective companies that kids and family come first in our community – and we have educators ready to help, putting kids’ needs first,” he said.

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BizECONOMY

Caterpillar on the Move

Selects Downtown Tucson for Growth-Focused Central Hub

By Rhonda Bodfield Caterpillar is one of the world’s most valuable brands. After careful consideration and a yearlong process, this Fortune 100 company chose Tucson as the place to substantially expand its Surface Mining & Technology Division.

That’s a decision that translates into a direct infusion of $1.9 billion in economic benefits to this community and brings 600 new jobs paying an average of $90,000.That’s good for us.

Yet to Caterpillar, this move is the foundation for the company’s long-term growth strategy. “We view this as a longterm decision,” said Tom Bluth, Caterpillar’s VP in charge of the Surface Mining & Technology Division. “We’re really planting the future of our business in Tucson.”

Bluth recently took time out of his hectic schedule to have a conversation with BizTucson and share insights about Caterpillar’s decision to expand in Tucson and its vision for the next half century and beyond.

Q. When did the process begin

in seeking a new site and what were your goals?

Let’s talk a little bit about this. The Division of Surface Mining & Technology for Caterpillar really is an end-toend business unit focusing on surface mining. It is a combination of three elements – all of our manufacturing plants across the world that support the surface mining product; a collection of different product groups, including engineers who are designing the products; and what we call our go-to-market group, which is our sales and marketing organization that supports the customers in the field.

When we looked at our business, we had big parts in North America that were splintered. We had parts of our team in Milwaukee, in Peoria, in 72 BizTucson

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Decatur, as well as key parts of the team overseas in Germany.

Step one was strategic. As we look to the future, we thought it would make sense to bring parts of this team together to get better synergy. These different product groups would be able to share resources more and be able to work as a systems team. We also wanted to get them closer to mining. They are not necessarily as close to the customers as we’d like.

Long story short, back in early 2015, we went through the process of asking ‘Should we bring this group together?’ and the answer was yes. Then it moved into the next phase, which was, ‘OK, where do we do this?’ I would say from the spring of 2015 through the fall, we had a dedicated project team working everything, and we looked at a number of sites.

Q. What did Tucson do particu-

larly well through this process?

I think the single biggest thing Tucson did was demonstrate a tremendous partnership across all levels of the different organizations involved – from the state, to the city, to the county, to Sun Corridor Inc. to the Rio Nuevo team. It was really well-handled. They were very flexible and very welcoming in terms of how they engaged.

Earlier in my career at Cat, about 1518 years ago, I was very involved in a new manufacturing site selection – so I had fair amount of experience in visiting sites when we were considering new manufacturing plants and engaging with different governmental agencies.

I’ll tell you, this group in Arizona really showed best-in-class teamwork in terms of how they cooperated at all levels of government. Sometimes you don’t see that type of coordination.

Q. What were the top three

attributes that attracted you to Tucson?

One of the strongest things Tucson had going for it was that we had a degree of presence in Tucson already.

We have our Tucson Proving Grounds, which is where we test and develop not only our equipment but our technology solutions, and a customer center.

We also wanted to be in mining country. Tucson is right in the heart of it.

The third is probably somewhat under-appreciated. When we started the process, I think folks were not sure we’d have the diversity in workforce that we would need or whether we could attract and retain the talent we need. We view this as a long-term decision. We’re really planting the future of our business there. I would say that what really started to come out, as we spent time there, was a better appreciation for the workforce capabilities.

Q. What first came to mind

when you heard Tucson as a possible future site?

For me personally, when Tucson first bubbled up and we had our initial group of three to five potential areas on the list, I liked the idea that we had a presence there.

But I have to say, one of the strongest things that helped Tucson more than anything was our employees based there. I spent a lot of time asking them about their experience in Tucson as a place to live and what they thought about the overall environment. Probably Tucson’s biggest ambassadors are some of these Caterpillar people who are working there right now. I would say to a person, they were very favorable to continued on page 74 >>> www.BizTucson.com

Meet Tom Bluth Tom Bluth, a native of Davenport, Iowa, graduated from Iowa State University with a bachelorâ&#x20AC;&#x2122;s degree in electrical engineering, Northwestern University with a law degree and the University of Chicago with an MBA. He joined Caterpillar in 1995 and has held numerous positions since, including corporate attorney in the Legal Services Division, industry manager in the Latin America Commercial Division, district manager in the North America Commercial Division, worldwide medium wheel loader product manager and president/managing director of Caterpillar France. In 2007, he was named VP of Caterpillar Inc. with responsibility for Asia Pacific Operations. Two years later he be-

PHOTOS: COURTESY CATERPILLAR

came VP of the Earthmoving Division. Since 2013 heâ&#x20AC;&#x2122;s been VP of the Mining Products Division. He now heads the Surface Mining & Technology Division that is establishing its centralized hub in downtown Tucson.

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continued from page 72 Tucson as a place to live. When I heard them say they prefer not to leave Tucson – that really helped me feel better about it.

Then there was the other equation.

The concern was as you start to bring in a broader cross-section of employees there, and a bigger piece of Caterpillar, are you doing the right thing? That means doing the right thing for the people who are working there now – in terms of the right school systems, the right type of housing options, the right type of environment – but then your future employees. Are you going to be able to compete to attract the best of the best? That was the piece as we investigated that we got more comfortable with – but I had to learn a bit more and get a little closer as part of that process.

Q. What was the biggest

surprise you experienced as this process unfolded?

The biggest surprise was how supportive the existing business community has been. Sometimes when you explore a new community, the other businesses think of you as a competitor for talent. Then you don’t necessarily see that same type of outreach. So the biggest surprise was how much in partnership the business community was with the local government – and then just to see the diversity of the businesses there and the depth of the technology businesses there.

Q. So how important was that private sector piece in driving your decision to move here?

I would say it was important. It really helped as we were in the decision-making process to hear directly from business leaders, to have them share their experiences and to be able to connect our HR managers with their counterparts at some of these other companies.

That was an important part of the formula and it also spoke well of Tucson – that you not only saw cooperation on the different government levels, but also saw private industry hand in hand. It is a conducive environment in which to work.

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Q. Why did Caterpillar choose Tucson for its next evolution?

It goes back to what I said in the beginning. It starts with our vision to bring pieces of our organization together to drive a more synergistic approach to both our product and solutions development.

Tucson’s location within mining country is important, because you have that mindset.

It was also important to have a strong linkage to educational resources such as the University of Arizona, which we’re tying into a greater degree for some of our development programs.

Then you tie in the proximity to customers in the southwest region of the United States, which will help drive a more customer-centric organization, which we’re always looking to evolve to.

And finally, the ability to take the footprint of Caterpillar that’s already there and leverage it to an even greater degree. We believe that will help create a real culture of design – with our engineering and sales staff being as comfortable behind the computer as they are walking on the mine site and operating the equipment.

Tucson becomes a very opportune place to try to pull those together.

Q. What kind of work will be done at the site?

For our surface mining group, we will have individual product teams based in Tucson, so you’ll have the engineers who are designing and developing the actual product.

We’re moving our technology-enabled-solutions team to Tucson, so they’re developing elements of our solutions via autonomy, for example. Automation is a growing trend to help miners lower their cost and improve their efficiency. That’s a worldwide team but large pieces will be based in Tucson.

In fact, we already do our initial autonomy testing at the Tucson Proving Grounds. People maybe underestimate the pieces we actually have there. We develop mine operating systems there, which are combinations of the suitemanagement systems that miners use to manage their mine site. We do the testing in Tucson and now we’ll be bringing the engineers and programmers to cre-

ate more of a mine-site focus as we do the development. We’ll also be bringing elements of our sales and support team – again the ones who are in contact with our customers.

Think of it as pieces of product development, sales and technology, then support functions for the team on everything from supply chain to purchasing, HR and business resources.

Surface mining and technology really is a worldwide business with a worldwide footprint, but we’re taking a lot of those pieces scattered throughout North America and bringing them together to be an end-to-end group closer to the mining environment.

Q. Even though you’ve just come off a strong earnings report, is this a challenging time for the industry?

We pointed out there are still challenges as we go through the second half, particularly with mining. We are very, very optimistic long term in mining. It’s a cyclical business and our customers are going through the same pain we are as we keep that balance of managing for the current cycle you’re in while making sure you are investing in the future and positioning yourself so you can continue to serve customers as you come out of this cycle. A large part of this story is thinking of the future and how we want to continue serving our customers.

That’s why we’ve been so appreciative of our partnership in Arizona. We’re in a unique time because we’re painting our view of the future. And it’s actually the right time to do this work that we’re establishing in Tucson because we’re probably at the lowest employee cycle we’ve ever been in or will be in the future. Now is actually the opportune time to plant and then regrow.

The unique partnership and approach taken by the state of Arizona, the county, the city, Rio Nuevo and Sun Corridor Inc. made it feasible in this unique timeframe. We’re very appreciative of that partnership.

As we grow significantly from our current footprint, we really want to do the right thing to be partners in the community. I can guarantee you that you’ll see us come in and be valued members of the community.

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BizECONOMY

Mexico Strategy – Build Binational Megaregion New Directions in Foreign Investment

By Rhonda Bodfield When thinking about cross-border investment, consider this – automobile components typically will cross international borders in the United States, Mexico and Canada eight times before a car leaves the assembly line.

No longer is border trade simply a question of sending products back and forth.

“If you look at the traditional way of looking at foreign investment, there was a very narrow focus,” said Lorena Montes de Oca, an international relations consultant hired to help Sun Corridor Inc. capitalize on a new direction in foreign investment. When Sun Corridor Inc. announced its expanded mission in 2015, commerce with Mexico was one of the key priorities.

“Of course, we’re trying to attract investment and jobs here. But we’re also thinking a little more broadly – looking at the supply chain to see where we might work together more closely to build relationships and potentially make things together so this region can benefit.”

David Welsh, Sun Corridor’s executive VP, said, “Our Mexico strategy is intended to move the economic needle in a tangible way, providing real economic benefit to the entire region. This can only happen by leveraging the many efforts in place with our regional and international partners.”

By virtue of proximity, Sonora still remains a natural place for relationshipbuilding.

But because Mexico is a country of advanced manufacturing and because opportunities exist all over the country, Montes de Oca, who is from Mexico City and has deep ties with many key business families in the country, led an www.BizTucson.com

exploratory trip to Mexico City with key Sun Corridor staff in April. The trip was designed to generate sales leads and develop opportunities.

“This was an opportunity to see how these strategies made sense and how to shape them,” Montes de Oca said. “It’s ultimately about investment on both sides of the border – not just this area investing in Mexico – but Mexico investing in us as well.”

The group learned, for example, that there are significant gaps in the Mexican automotive supply chain impacting profitability and capacity – from stainless steel casting to aluminum die casting and the manufacturing of molds for plastics. Opportunities are abundant.

As a Sun Corridor Inc. Mexico City Executive Mission gears up for October, four primary industries in particular have surfaced as having strong potential for Foreign Direct Investment: u

Aerospace – Mexico is the sixthlargest supplier to the American aerospace industry, with a reported growth rate of more than 17 percent annually since 2004.

u

Automotive – Not only is Mexico the leading auto parts supplier to the U.S., but 10 of every 100 light automobiles in the U.S. are manufactured in Mexico.

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Mining – Mexico is the fifth-largest destination for mining investment in the world, with a sector estimated to reach a market value of $17 billion in 2017.

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Energy – Mexico will require significant additional capacity in the coming decade and aims to transition to a larger supply of clean energy.

Duane Froeschle, president of West Alliance Bank and a member of the Arizona Mexico Commission, said he believes the area is well-positioned to capitalize on this binational megaregion.

“Today’s manufacturing supply chain is now multinational. Current trends to near-shore production, along with opportunities derived from Mexico’s recent economic reforms, provide many new opportunities for Tucson and Southern Arizona,” said Froeschle, who plans to attend the October Executive Mission to Mexico City.

He said the results are measurable.

Exports from Arizona to Mexico, totaling roughly $9.2 billion, rose 6.3 percent last year, while total U.S. exports to Mexico declined by 1.6 percent.

Sharon Bronson, chair of the Pima County Board of Supervisors, also agreed with the approach. “We live in a global economy. It’s imperative that we have global partners and take advantage of our similar and shared strengths.”

Timing is crucial. Economic development efforts in California and Texas, for example, have placed significant emphasis on border cooperation and collaboration. And it’s been paying off. Exports from California and Texas have swamped those from Arizona – although Arizona numbers continue to climb.

But, as Montes de Oca points out, those efforts are typically driven by the public sector, with the bureaucracy and regulation that can come with it.

“This is a new private sector strategy designed to build private sector relationships, and it’s more than a novelty.

It’s something that can help investment move faster.”

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SUN CORRIDOR INC. LEADERSHIP

Denny Minano Board Chair

By Rhonda Bodfield enny Minano is a retired senior auD tomotive executive who spent 32 years at General Motors in Michigan.

is built on the region’s appreciation of innovation and technology anchored by an entrepreneurial spirit and a top-20 research university.

He now serves as a consultant on binational business expansion, environmental, governance and infrastructure strategies as managing director of CMM. Minano, who holds a law degree and served as an adjunct professor of environmental law at the University of Detroit Law School, brings a varied corporate background to to his Sun Corridor Inc. chairmanship role, a critical asset in economic discussions.

We have an economic development organization that can back up the brand I spoke of. Sun Corridor Inc. has tremendous staff talent, very focused with the right expertise and dedication to make the Southern Arizona region successful for all of the community.

What is this region’s “brand”?

What’s next down the road?

This region is the location for strategic business growth. We are one of the top 10 economic megaregions in the country, recognized for long-term population growth with easy access to binational market opportunities. Our geographic location is strategically placed for east/ west and north/south transportation destinations and we have a pro-business public and private sector leadership who recognize the business value of speed and ready access to markets. All of this 76 BizTucson

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What was the single most important step in building the foundation for the success we’re seeing today?

Continuing the strong momentum built on recent successes like Caterpillar, HomeGoods and Comcast. We also need to enhance deeper and ongoing business relationships in Mexico.

Thinking about your own industry, what makes this region a draw?

The impressive growth of both the automotive and aerospace industries in Mexico provide great opportunity for Southern Arizona – so closely aligned culturally as we are with Mexico. The

two industries intersect as well. For example, innovation is occurring in the aerospace industry that can be transferred to the auto world as it moves to greater electrification of its vehicles and the emergence of accident-avoidance systems and self-driving capabilities in vehicles. Other examples include space guidance systems and safety measures in aircraft that can be leveraged in other industries like auto. It’s so exciting to see this perfect storm of connections and opportunities.

How can the business community help with recruitment/retention of business?

We need all of our Southern Arizona businesses to talk about the region’s success with their industry and other counterparts. This is a place to start, build and grow a business. When we have new opportunities and potential relocates, take the time to speak with these companies. Peer meetings with these companies are invaluable – our partners provide insights that these companies want to hear.

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SUN CORRIDOR INC. LEADERSHIP

David Hutchens Vice Chair

By Rhonda Bodfield avid Hutchens understands what D companies are looking for in a community.

A resident of Tucson for more than 20 years, Hutchens runs a business that has served the community since 1892 and boasts more than 400,000 customers. He is president and CEO of UNS Energy Corp., Tucson Electric Power and Unisource Energy Services.

Engaged in Sun Corridor Inc. for the past five years, Hutchens ticks off some of the important elements employers are looking for – including a qualified workforce and the availability of affordable, reliable and sustainable energy options.

The importance of maintaining a constructive, collaborative business environment in Southern Arizona is one of the foundations for growing business, said Hutchens, who graduated from the University of Arizona with a degree in aerospace engineering and an MBA with an emphasis in finance.

What is this region’s “brand”?

I think of Tucson as a “big small town” because we have the best of both.

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We enjoy small-town benefits of parks, open space, clean air, easy commuting, friendly people and local flair. We also boast some of the best aspects of big cities – including a top university, good jobs, cutting-edge technology companies, great restaurants and a growing, vibrant downtown.

Thinking about your own industry, what makes this region a draw?

Our region benefits from affordable, reliable power, provided by a company that’s committed to our community’s sustainability and long-term success.

Tucson Electric Power’s affordable rates help attract new employers while promoting the expansion of our existing businesses. TEP also is an industry leader in solar energy development with a growing “green” energy portfolio and an expanding array of renewable energy options.

What was the single most important step in building the foundation for the success we’re seeing today?

We know that our community depends on every sector – private, government, education, nonprofit – to be suc-

cessful. We now see leaders from all of these sectors coordinating their efforts and pulling in the same direction to improve our community through economic development, education, community service and other efforts.

What’s next down the road?

We must continue and extend our current collaborative approach. We should build on our economic development successes and apply that same approach to other challenges that face our community.

How can the business community help with recruitment/retention of business?

Sun Corridor Inc. needs continued support. We’re on the front line of these efforts, and we need the resources to get businesses to consider Tucson and Southern Arizona. Once that happens, we also need our business leaders to become committed ambassadors for our community, actively advocating for Southern Arizona as a great place to live and do business.

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SUN CORRIDOR INC. LEADERSHIP

Greg White

Secretary/Treasurer

By Rhonda Bodfield

G

reg White is responsible for the bottom line at the community’s largest private employer, directing everything from financial planning to financial systems and business planning.

He is VP of finance and CFO at Raytheon Missile Systems.

White brings expertise and experience in defense and aerospace markets, as well as executive-level financial experience. And, as someone who recently moved to Southern Arizona, he has a unique perspective about what businesses can expect in relocating to the area.

What is this region’s “brand”?

The Sun Corridor brand is a great place to live that has opportunity for real economic growth. With a number of large employers and the combination of high-tech work and a major university, the region has the necessary components to grow as a commerce center.

Thinking about your own industry, what makes this region a draw?

The region’s wide-open spaces and pleasant living conditions make Southern Arizona a great place for firms in the aerospace and defense sector. Space is often needed for the type of manufacturing done here and the proximity of testing facilities makes Southern Arizona very attractive.

What was the single most important step in building the foundation for the success we’re seeing today?

I believe that the pillars of government, private development, education and private citizens have united together to communicate the benefits of our area and answered the call when new companies expressed an interest in moving to Southern Arizona. The flexibility our economic development teams have shown in meeting the needs of companies moving to Southern Arizona

has been remarkable and has resulted in more and better jobs for our community.

What’s next down the road?

We must continue our progress to further develop our region and to put the increased tax revenue to good use for our schools, roads and quality of life.

How can the business community

help with recruitment/retention of business?

Although it may seem like businesses compete against each other, more often than not, a successful business community makes the individual businesses more successful. By growing the number of jobs in the area, business creates a more dynamic economic environment. The members of Sun Corridor Inc. help to welcome new businesses to town and ensure they meet the local business leaders who can help their time in Southern Arizona be more successful.

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SUN CORRIDOR INC. LEADERSHIP

Guy Gunther

Immediate Past Chair

s a key leader of a large organizaA tion that is investing millions of dollars in infrastructure across the region, Guy Gunther is deeply involved in delivering the components that drive growth and prosperity. He is VP of operations at CenturyLink.

With more than 20 years of senior management experience, including finance, strategy, sales and marketing roles, Gunther said the communications industry shares a key need with all other businesses – hiring skilled workers and advancing strategic capabilities.

What is this region’s “brand”?

As one of the fastest-growing megaregions in the U.S., the Sun Corridor offers unique and differentiated opportunities across healthy and active lifestyles, high-technology businesses and research institutions, as well as a strong binational position with Arizona’s largest trading partner, Mexico.

Thinking about your own industry, what makes this region a draw?

Because CenturyLink is a global communications company, providing voice,

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By Rhonda Bodfield internet, hosting, cloud and IT services, we look for growth markets where our investments will both connect our customers to the digital world and strengthen and grow companies.

What was the single most important step in building the foundation for the success we’re seeing today?

The most important step that has been taken, which came under Sun Corridor Inc. leadership, was identifying and promoting the region’s drivers of economic growth. The Economic Blueprint laid out the keys to strengthening our competitiveness. It provided insight on addressing talent, infrastructure, healthcare and collaboration that will ultimately differentiate Southern Arizona in the marketplace for highwage jobs.

What’s next down the road?

What’s next includes continuing to attract and expand high-wage jobs across key industries. Another important step will be promoting the megaregion as a gateway for near-shore products and the movement of goods. Finally, we will

continue leveraging a larger talent pool, increasing competitiveness, enhancing our influence at state and federal levels, and representing the greater geographic economic super region that is the Sun Corridor.

How can the business community help with recruitment/retention of business?

The business community can help by supporting the development of a talented, highly skilled workforce, as well as support for innovation and adequate infrastructure/road investments.

The business community can also help by supporting Sun Corridor Inc. Our focus is to facilitate higher-wage job and investment growth, to increase wealth and accelerate economic prosperity throughout Southern Arizona.

This work demands a competitive, business-friendly environment that allows primary employers to flourish and succeed. We coined a phrase last year in the midst of updating our economic blueprint – We Win As One.

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SUN CORRIDOR INC. LEADERSHIP

Joe Snell

President & CEO

By Rhonda Bodfield a young age, Joe Snell knew the Fandrom power of hard work, thinking big that education could lead to greater

Thinking about your own industry, what makes this region a draw?

economic prosperity. He was one of the first in his family to go to college, getting through on tenacity and student loans.

With 30 years in economic development, including widespread success in helping position Denver as a leading technology hub, Snell led a process here to develop an economic blueprint for the region, to help diversify the economic base. More recently, he built greater financial support for Sun Corridor Inc. with major employers across Southern Arizona – and has set an aggressive pace in building ties with Mexico.

In my view, there simply isn’t a silver bullet in this industry. A multitude of actions have led to our strong foundation of success. The first step taken some years ago was a greater engagement of the private sector in regional economic development. A more recent step, with our transformation to Sun Corridor Inc., includes coalescing all Southern Arizona assets under a unified brand.

Finally, we have learned most from our failures – losing Raytheon business to Huntsville, for example. It caused all of us to collectively and honestly ask ourselves – what can we do to improve?

What is this region’s “brand”?

What’s next down the road?

We are a region that embodies a New American economy – a region that combines a strong cowboy pioneering spirit with tools, skills and innovations necessary to compete in the 21st-century economy.

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Working feverishly to develop a true binational economy. Mexico has gained enormous economic strength, leading to increased opportunities we have not seen for a very long time. We have to leverage our collective business climate,

culture and like minds. Our goal is to be a true binational economic development organization, tying economies north and south of the border as one.

How can the business community help with recruitment/retention of business?

I am proud to say our Chairman’s Circle and Board of Directors have been actively engaged in all our recent projects – HomeGoods, Comcast and Caterpillar, to name a few. We purposely built a bigger board for that very reason – to act as our sales agents. There is just no substitute for CEOs talking to CEOs.

Biz www.BizTucson.com

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SUN CORRIDOR INC. CHAIRMAN’S CIRCLE

Sharon Bronson Chair Pima County Board of Supervisors

Pima County is the only jurisdiction in Southern Arizona with an Economic Development Plan that outlines specific action items and goals to grow our economy. The plan identifies 14 areas that the county and our regional government and private sector partners need to work on to achieve growth and prosperity for our region. Highlights are: u Promote high-wage, export-based job development u Invest in transportation and utility infrastructure u Protect our existing major employers u Develop the Sonoran Corridor logistics and manufacturing center near Tucson International Airport u Leverage higher education u Promote tourism u Increase Foreign Direct Investment u Enhance downtown u Develop workforce u End poverty Our Economic Development Office can access the skills of more than two dozen county employees to help achieve these goals. The county also works with

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other jurisdictions to provide a regionally collaborative approach to present the best options to site selectors and prospective employers.

What is your view of our economic development future?

Very bright. Four of this nation’s largest corporations – HomeGoods, Comcast, ADP and Caterpillar – recently expanded or relocated here, adding nearly 3,000 jobs, most paying medium to high wages. Tucson has kicked into gear. We’re now growing as fast or faster than the rest of the state, including Maricopa County. And there are more major announcements in the pipeline.

The county’s Sonoran Corridor initiative has its first success in World View, an innovative space technology company that located here. That’s generating interest from space tech companies, especially now that Pima County will have a spaceport. I have never been more optimistic about the prospects for our local economy and sustained, intelligent growth.

What are we doing right?

What could we be doing better?

What we’re doing right is cooperating as a region. Of the recent major new company and new job announcements, the common theme was that the county, cities and towns, the state, Sun Corridor Inc. and the Arizona Commerce Authority all worked together.

To do better, it’s imperative that all our government jurisdictions and the private sector work together to develop our workforce. We have major employers here now who have dozens if not hundreds of jobs that they can’t fill with local employees because they don’t have the education, training or skills needed.

This inhibits our growth and affects our ability to retain and attract employers.

Pima County has workforce programs, but it’s going to take significant cooperation with public schools, colleges, universities and private job-training centers to provide people the training they need to land these existing well-paying jobs and those yet to come.

About Pima County u

Year Established – 1864 u Annual Budget – $1.2 billion u Employees – 7,200 Did you know?

There are 33 corporate headquarters in Pima County. On a per-capita basis that is greater than Maricopa County.

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PHOTOS COURTESY PIMA COUNTY

What are your thoughts on economic development in Southern Arizona?

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SUN CORRIDOR INC. CHAIRMAN’S CIRCLE

Jim Click President Jim Click Automotive Team

It’s critical for the local business community to work together with city, county and state governments – and we need to do everything we can to attract new industry here.

We need to let the world know that we’re open for business here in Southern Arizona. But “open for business” requires a spirit that supports business growth and expansion. That’s critical in staying competitive with other regions in attracting industry here.

We can do better if roadblocks to growth were removed, if the right climate for business and investment was created and sustained, and if businesses were treated more like customers.

The recent news about Caterpillar bringing one of its divisions to Tucson is an example of what can happen when we all work together on a common goal – the city, the county, the state, Sun Corridor Inc., Rio Nuevo and others.

This was true teamwork, and we’ll have hundreds of new jobs and a significant

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economic impact to our community to show for it.

We need strong economic growth that supports higher wages with clean industry, to encourage people and corporations to come here and prosper together.

About the Jim Click Automotive Team u

Founded in 1971 More than 1,000 employees today u Southern Arizona’s largest dealership u Serving Tucson and Southern Arizona for three generations u Brands include Ford, Lincoln, Mazda, Hyundai, Nissan, Chrysler, Jeep, Ram, Dodge and Kia - plus 1,000 used vehicles u Community giving is a long-held company value. The Jim Click Automotive Team, Click Family Foundation and Click Charitable Contributions Program work together to help local citizens. u

Key community investment areas include: u

Persons with Disabilities Development u Community Education & Development u Childhood Development u At-Risk Youth u The Millions for Tucson car raffle has raised nearly $3 million for local charities. u Other organizations receiving major support include the Boys & Girls Clubs of Tucson, the Beacon Group, San Miguel High School and The University of Arizona.

Did you know?

Each of the general managers of the Jim Click Automotive Team’s dealerships is a partner in the business – and started out in the business as a car salesperson.

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PHOTOS COURTESY JIM CLICK AUTOMOTIVE TEAM

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SUN CORRIDOR INC. CHAIRMAN’S CIRCLE

Michael Crow President Arizona State University

Southern Arizona is already taking the two most important steps toward economic growth.

First is a regional approach to economic development. The evolution of the Sun Corridor, an economic zone that extends from north of Phoenix to the Mexican border south of Tucson, creates a rich foundation for collaboration in order to grow the economy. City and county governments, along with ASU, recognize that the Sun Corridor represents a critical opportunity to spur economic growth and development.

Cooperation in the region will strengthen the economy by creating a broader economic base and cultivating a skilled workforce. Expanding trade and improving infrastructure will not only lead to the movement of people and goods within the Sun Corridor and Southern Arizona – it also will drive growth throughout the state and region.

Second, Southern Arizona recognizes the importance of increasing access to higher education. On the individual level, educational attainment drives social mobility, life expectancy and the success of one’s children. More broadly,

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a commitment to higher education enhances the health of our economy by expanding the pool of college graduates capable of developing cutting-edge ideas, products, processes and companies.

As one of the top public research universities in the nation, Arizona State University is committed to producing the workforce of the 21st century. We understand that the best way to positively impact the economy is by providing graduates with the skills necessary to drive innovation in technology, science, engineering, business and any fields that guide us forward. Their efforts and abilities can lead not only to personal success, but also to greater economic competitiveness.

But achieving this will depend on continuously looking for opportunities to think more regionally and build the connections that will make the Sun Corridor a more significant player in Arizona and the nation. That includes recognizing the value and purpose of higher education as a catalyst for economic growth. ASU is proud to be a part of this effort, helping to produce the workforce and ideas that will shape a more successful future for our state.

About ASU u u u u u u

u

Year established – 1885 Number of employees – 12,900 Economic impact of $4.2 billion in Arizona in 2014 66,000 jobs created by ASU spending and investment 75 startup companies launched since 2003 $16 million worth of student volunteer hours in the community in a single year More than 200,000 ASU grads work in Arizona with aggregate earnings of $11.4 billion, contributing $820 million in taxes

Did you know?

ASU is proud to partner with 35 school districts, 22 community colleges, 22 state tribes, and 20 public libraries to improve access to education.

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PHOTOS COURTESY ARIZONA STATE UNIVERSITY

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SUN CORRIDOR INC. CHAIRMAN’S CIRCLE

Ann Weaver Hart President The University of Arizona

The key business elements necessary for successful economic development are all related to talent availability and quality of life for the people who work in forward-looking and modern businesses. The UA and our partners play a crucial role in talent development, and encouraging graduates to stay in Southern Arizona is critical.

From educating students in high-demand fields to innovating technologies that help power the state’s 21st-century economy, the UA is focused on improving the prospects and enhancing the lives of all Arizonans.

What is your view of Southern Arizona’s economic development future?

The future of economic development in Southern Arizona depends on the commitment of the people who live and work here to embrace new ways of doing business and new solutions to sometimes daunting challenges.

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What are we doing right?

What could we do better?

Southern Arizona recognizes the importance of technology and innovation in the economy of the future and is emphasizing knowledge about what needs to be done. The MAP Dashboard database collaboration with the UA, the Southern Arizona Leadership Council and the Community Foundation for Southern Arizona is a great example of this. What we could do better is to make the hard choices and sacrifices required to create the reality we envision. Making it a reality requires grit, determination and continual re-evaluation of progress, plans and goals.

About the UA u u u u u

Year established – 1885 Enrollment – more than 42,000 students Number of employees – 12,479 Annual revenues – $2.1 billion Annual economic impact – $8.3 billion

u

The UA is among the nation’s top 20 public universities with annual research activity of $606 million u The first total artificial heart to win FDA approval was developed at the UA u The UA has been a part of every NASA planetary exploration mission u The UA’s Richard F. Caris Mirror Lab makes giant, lightweight mirrors for some of the largest telescopes in the world u The UA College of Education is home to the world’s largest collection of children’s literature Did you know?

The UA is leading the $805 million NASA OSIRIS-REx mission, which will launch a spacecraft to an asteroid on Sept. 8, 2016, and return to Earth with a sample.

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PHOTOS COURTESY THE UNIVERSITY OF ARIZONA

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SUN CORRIDOR INC. CHAIRMAN’S CIRCLE

Lee Lambert Chancellor & CEO

What are your thoughts on economic development in Southern Arizona?

Arizona’s economic success is dependent on making a substantial investment in our human resources, particularly through training and education. Education – and particularly higher education – not only prepares people for employment, but helps them understand the world around them. Education helps promote technological advances and entrepreneurship while increasing workers’ earnings and productivity. The rate of return on investing in community colleges is high – citizens who attend community college earn significantly higher wages than those who go no further than high school.

Employers tell us that education and training are essential to developing and maintaining a talent pipeline. When we equip our citizens with the attitudes and skills necessary for economic success in an increasingly knowledge-based economy, we ensure that our community can

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continue to be competitive in the global economy. A better educated workforce not only makes our area more attractive to businesses wanting to relocate, but it also helps our existing businesses thrive, grow and adapt to market challenges.

Increasingly, economic success in a globalized world also will depend on cross-cultural leadership skills, fluency in multiple languages, respect for other peoples’ perspectives and the ability to work collaboratively.

Last year, Pima Community College completed an economic impact study that showed that for every $1 of public money spent on PCC, Arizona taxpayers receive a cumulative return of $5.80 over the course of students’ working lives in the form of higher tax receipts and public sector savings.

About PCC u

Year established 1966 – Ballot initiative approved to form a junior college district 1969 – First classes held

u u u u u

u

Number of employees – 2,170 FTE, including faculty Enrollment – Fall 2015 semester – approximately 24,000 Annual revenues – $247.8 million Total payroll – $122.1 million PCC is one of the 25 most affordable two-year colleges in the nation, according to the U.S. Department of Education PCC is approved to offer online classes in 28 states

Did you know?

Pima Community College was the only institution in the U. S. to have two students selected for the USA Today All-American Academic team in 2016.

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PHOTOS COURTESY PIMA COMMUNITY COLLEGE

Pima Community College

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SUN CORRIDOR INC. CHAIRMAN’S CIRCLE

Lisa Lovallo Market VP, Southern Arizona Cox Communications

Southern Arizona is making substantial progress in economic development efforts. A winning attitude continues to allow for growth in many areas of the local community. There is more work that we can collectively contribute, but we are moving in a positive direction.

Forging a strong partnership between the public and private sector continues to be key in the long-term growth and sustainability of Southern Arizona’s economy. The climate for collaboration between local businesses and local government has dramatically improved in recent years. Large business leaders in the community including the University of Arizona have an influence both regionally and across the country, and must continue to bring a unique brand of economic and human development to the community as a whole. These efforts are beginning to form through strong leadership at all three of our state universities resulting in partnership opportunities.

What is your view of Southern Arizona’s economic development future?

Southern Arizona has a bright future and the area’s assets far outweigh implied deficiencies. As a community, we are strengthening our value proposition

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throughout the country. With continued focus and perseverance, we will position Southern Arizona as a global business leader.

What are we doing right?

What could we do better?

We have positioned ourselves in Southern Arizona to better align with the immediate business needs locally, which has positively affected our ability to improve global competition opportunities. We have become increasingly more efficient at completing initiatives and our focus has greatly improved.

With that said, there is still a vast opportunity to do more in our community.

This can be achieved by identifying and addressing neighborhood needs individually. For example, there is no need to wait for the city to clean up trash or pull weeds in our community. We can organize members of the community to contribute in neighborhood clean-up efforts with the goal of making Tucson one of the cleanest cities in America.

About Cox Communications u

Year established – 1962 u Year established in Arizona –1995 u Number of employees – Approximately 18,000 nationwide u According to a recent study, Cox Communications has contributed

more than $1 billion to the Arizona economy u Cox also is committed to supporting the communities in which we live and do business. Our employees performed more than 3,500 hours of hands-on volunteer service in Southern Arizona last year. Cox and its employees also support hundreds of worthy organizations each year through Cox Charities. Last year, Cox Charities awarded more than $110,000 in grants to 32 local nonprofits in Southern Arizona.

Did you know?

Cox Enterprises was founded in Dayton, Ohio, in 1898 by former schoolteacher and news reporter James M. Cox. Today Cox is still family-owned and family-run. Three generations of Cox family members are involved in the business today. Meanwhile, Lovallo spends her spare time growing her own food and flowers in a 120-foot greenhouse.

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PHOTOS COURTESY COX COMMUNICATIONS

What are your thoughts on economic development in Southern Arizona?

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BizTucson 97

SUN CORRIDOR INC. CHAIRMAN’S CIRCLE

Fletcher McCusker CEO

What are your thoughts on economic development in Southern Arizona?

Sinfonia has 1,175 employees − most of whom are downtown, making a huge impact on area restaurants and venues.

Tucson and the region are celebrating a number of new wins − HomeGoods, Comcast, Caterpillar, pro hockey. There is a buzz everywhere I go and our downtown is now identified as the next Austin − young, hip, food and entertainment.

We are following more than 20 residential projects in the urban core. That’s huge for the live-work-and-play culture that makes urban environments work.

Our connectivity to Mexico is also beginning to pay off with increased trade, tourism, medical visits and staycations.

I am very optimistic about our future.

Caterpillar did remind us, however, that incentives matter and the State of Arizona needs to resolve the gift clause issue so that Arizona can compete.

About Sinfonia and its related divisions u

Year established – 2013 u Number of employees – 1,175

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u

Annual revenues – About $70 million

u

Sinfonia provides primary medical care with behavioral health treatment

u

Assurance HealthCare provides home-based medical services

u

Assurance Health & Wellness integrates traditional medical care with behavioral health

u

Sinfonia RX medication- management company provides healthcare solutions for health plans, patients and caregivers

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Sinfonia Family Services provides evidence-informed comprehensive services to children, adults and families

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SinfoníaRx received URAC Drug Therapy Management Accreditation in 2015

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Medical Director Christian Moher for Sinfonia HealthCare and Assurance HealthCare Innovation was selected one of Tucson’s “Top Doctors for 2015 & 2016”

u

CEO McCusker currently serves as the chair of the Rio Nuevo board and is a champion of downtown development. He has served on the board of The Gregory School, the Fox Theatre Foundation, the UA Eller School and the Social and Behavioral Sciences College, the YMCA of Southern Arizona, Tucson Metro Chamber and Sun Corridor Inc. He also participates in numerous charitable causes.

u

Employees participate in and support the American Heart Association, Heart Walk, the NAMIWalks, Juvenile Diabetes Research Foundation, the Arizona Pharmacy Association and many others.

Did you know?

SinfoniaRx serves more than 45 million patients and reviews 4 million prescriptions a week, including all Walmart prescriptions.

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PHOTOS COURTESY SINFONÍA HEALTHCARE CORP

Sinfonía HealthCare Corp

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BizTucson 99

SUN CORRIDOR INC. CHAIRMAN’S CIRCLE

Judy Patrick Board Director CopperPoint Mutual Insurance Company

At any given point in time, our regional economy, like most across the country, can be on the brink – of boom, bust or that gray stretch in between. However, there is one thing that sets us apart from the rest of the nation’s business hub economies and that is cooperation.

Naturally, I believe Sun Corridor Inc. has played an important role in bringing this about – but the commitment to growth and binational commerce that exists among leaders in Pinal, Pima, Santa Cruz and Cochise Counties as well as growing relationships in Mexico, is clearly the critical ingredient. How else could we have weathered the dark years of the recession and come out on the other side building a positive foundation for a healthy economy? How else could we have successfully transitioned Sun Corridor Inc.’s strategy to advocating for issues that will improve our megaregion’s competitiveness and prosperity? Thanks to this cooperative spirit and the hard work of many we can all take pride in the job creation and business expansion that’s already occurred this year.

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Yes, there’s always room for improvement. But when our area’s economy boasts the state’s first designated launch pad for commercial space, a new 12,000-square-foot training facility, a communications center for excellence, large-scale expansion of an international manufacturer and a highly desirable direct flight from Tucson to New York, I’d say we’re on the right course.

About CopperPoint u

Founded in Phoenix in 1925

u

A. M. Best has assigned CopperPoint Mutual and its subsidiaries an A- “Excellent” with a “stable outlook” rating

u

CopperPoint is a leading provider of workers compensation insurance in Arizona, providing coverage to more than 12,500 businesses and their employees in 2015

u

CopperPoint is funded entirely by employer premiums and investment dollars

u

In 2015, CopperPoint paid out $72 million in lost wages to injured workers and their families as well as $107.4 million to medical providers

u

This mutual insurance company is governed by a board of directors who are elected annually by the mutual members (policyholders) u The company partners with industrial associations and business organizations to provide workplace safety training and support u

The board of directors has approved safety dividend payments every year since 1969, returning more than $1.5 billion to qualifying policyholders

u

CopperPoint is a supporter of the Tucson Metro Chamber, Greater Tucson Leadership, the Tucson Hispanic Chamber and Sun Corridor Inc.

Did you know?

CopperPoint supports community nonprofits throughout Southern Arizona and its employees have volunteered more than 5,500 hours with more than 100 nonprofits.

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PHOTOS COURTESY COPPERPOINT MUTUAL INSURANCE COMPANY

What are your thoughts on economic development in Southern Arizona?

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BizTucson 101

SUN CORRIDOR INC. CHAIRMAN’S CIRCLE

Robert D. Ramirez President & CEO Vantage West Credit Union

As John F. Kennedy quoted many years ago, “A rising tide lifts all boats.”

The best way to lift our economy in Tucson is to focus on creating jobs by attracting key employers to our town.

However, before we attract new employers to town, we need to focus on our educational system. We need to ensure that we promote education at all levels.

Last year, Tucson was ranked as the fifth poorest city in America, and based on those statistics, 35 percent of our residents earn less than $25,000 per year, about 25 percent hold a bachelor’s degree and just 3 percent earn an annual income greater than $150,000. We can change these statistics – and it starts by focusing on education as the key driver for this change.

What is your view of Southern Arizona’s economic development future?

Our future is on contingent on “collaboration” among key organizations

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working with our city and county government – organizations such as Sun Corridor Inc. working with Southern Arizona Leadership Council, DM50, Tucson Metro Chamber and the Hispanic Chamber. These organizations can and will provide the links to attract and retain new employers. However, our city and county government have to work in laying the foundation to improve our city and county streets, parks and recreation – and most importantly our educational systems.

What are we doing right?

What could we do better?

We need to take the time to collaborate with each other to ensure that we are doing the most important things first for our community.

About Vantage West u

In business 60+ years u Among the top 200 healthiest credit unions in the United States u Largest credit union in Southern Arizona

u

Largest indirect auto lender in Southern Arizona u Encourages employees to take up to 16 hours of paid volunteer time u Among the few local businesses that grew through the recession – continued lending, continued growth, no layoffs Did you know?

Bob Ramirez was the bronze medal winner in Judo Junior Olympics 1969.

He likes to rollerblade and fly electronic drones and helicopters. His first job at age five was assembling bicycles, tricycles and other toys at Capin Mercantile Corp.

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PHOTOS COURTESY VANTAGE WEST CREDIT UNION

What are your thoughts on economic development in Southern Arizona?

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BizTucson 103

SUN CORRIDOR INC. CHAIRMAN’S CIRCLE

Judy Rich President & CEO TMC HealthCare

It is vital that we have a shared commitment to the power of regionalism.

The old adage, a rising tide lifts all boats, is true every time an expansion or relocation happens in this region, regardless of jurisdictional boundaries.

It is clear that it takes investment to compete for expansion opportunities – whether that’s in incentives or ensuring adequate infrastructure. What’s equally imperative is that we never lose focus on those foundational building blocks that foster entrepreneurialism and support businesses, large and small, in their efforts to grow jobs from within the community. Those blocks include everything from leveraging innovation within the university system to growing talent through workforce development efforts and creating a strong business climate.

What is your view of Southern Arizona’s economic development future?

The future of economic development looks bright, as reflected in recent market predictions that show this area’s job growth now rivals the Phoenix region.

As a barometer of our local economic health, TMC HealthCare is expanding its footprint in the community – from a growing primary care practice to building a new $11.5 million multispecialty

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medical office complex to serve the southeast side. We wouldn’t make those investments if we didn’t have confidence in this region’s future.

What are we doing right?

What could we do better?

I am proud of the way this region has come together. There has been an evolution, a realization that strengthening economic development can’t solely be the responsibility of the public sector or the private sector, but that success has to come from a strong partnership and a shared voice. We are better at fostering those collaborations because we’ve seen them work.

I unwaveringly believe that we must do better for education. It’s crucial if we are going to grow the smart innovators of the future or draw the types of companies we want here. I also think we could tell our story better. We have a great community with so many things to celebrate. I hope we can communicate those victories as we gain momentum.

About TMC u

The first patient was admitted to TMC on Nov. 9, 1944

u

Licensed at 600+ beds, TMC had 3,700 employees and a payroll of nearly $220 million last year

u

TMC is Southern Arizona’s largest hospital, delivers the most babies and sees the most patients in an emergency. It is the only locally governed, nonprofit community hospital in the region.

u

In 2015 TMC invested $56 million – nearly 12 percent of net revenues – into community benefit efforts, including charity care, investment in AHCCCS services and outreach.

u

TMC spent $245 million in capital improvements over the past five years.

Did you know?

As an intensive care nurse, Judy Rich saw the challenges the staff faced in caring for their patients. That’s why she encourages the TMC staff to bring issues and concerns directly to her.

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PHOTOS COURTESY TUCSON MEDICAL CENTER

What are your thoughts on economic development in Southern Arizona?

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BizTucson 105

SUN CORRIDOR INC. CHAIRMAN’S CIRCLE

Anthony Smith Vice Chair Pinal County Board of Supervisors

I believe Arizona is poised for economic growth similar to the amazing growth we saw after WWII that moved Arizona from mainly an agricultural/ tourist economy to an aggressive aerospace/technology/manufacturing economy. The elements that supported that growth are the same we see reinventing itself today. Those elements include expanding our transportation infrastructure, providing a high-quality workforce, and the abundance of highquality sites for business expansion.

What is your view of Southern Arizona’s economic development future?

I’m very excited for our future. It is predicted that the majority of population growth in Arizona during the next few decades will be focused in the Sun Corridor. Pinal County is in the Sun Corridor’s epicenter and already is see-

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ing exciting projects moving into the area. One-of-a-kind mega-projects like the Attesa Motorsports Park and PhoenixMart bring an interesting mix of innovation along with the more traditional manufacturing/logistics projects we see moving into the region.

What are we doing right?

What could we do better?

What we are doing right is developing strong economic development alliances like Sun Corridor Inc. We are moving away from fragmented efforts and toward a unified message with results.

What we need to do better is continue working with our main trading partner – Mexico – to help goods and services move more efficiently across our borders. Border crossings are a very complex operation with many moving parts.

Sun Corridor Inc. and other Southern Arizona interests need to continue making this a high priority for increased efficiency.

About Pinal County u u u u

u u

Year established – 1875 Number of employees – 2008 Annual revenues – FY-2016-2017 budget is $409.7 million Estimated transportation infrastructure investment – More than $68 million in road improvements over the next four years.

Estimated population – 410,000 Annual growth rate – second-fastest growing county in the U.S. during the mid-to-late 2000s. Current rate is 1.5 percent.

Did you know?

Pinal County was the first in the state to recover jobs lost during the Great Recession.

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PHOTOS COURTESY PIMA COUNTY

What are your thoughts on economic development in Southern Arizona?

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BizTucson 107

SUN CORRIDOR INC. CHAIRMAN’S CIRCLE

Sandra Watson President & CEO Arizona Commerce Authority

What are your thoughts on economic development in Southern Arizona?

It is important to remain focused on diversifying the economy through the development of base industries that create high-value jobs. Under Gov. Doug Ducey’s leadership, the ACA remains steadfast in its efforts to grow and strengthen Arizona’s statewide economy by targeting these industries.

It is also key for economic development organizations to work together to identify and pursue opportunities – not just within state borders but regionally as well. For example, the governor is working to build our relationship with Mexico, thereby increasing crossborder collaboration and trade. As a result, in June of 2016, Arizona and Sonora signed an agreement focused on economic development to leverage and market the many strengths of our neighboring states. Collectively the region has advantages – particularly in the industries of mining, aerospace and automotive – and this presents significant opportunities for economic development in Southern Arizona.

What is your view of Southern Arizona’s economic development future?

Southern Arizona is currently experiencing its strongest growth since prior

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to the Great Recession and that is excellent news for our economy. Recent project wins such as Caterpillar, Comcast and HomeGoods demonstrate that global players are recognizing that Tucson and the surrounding area offer the workforce, location and quality of life they are seeking in the next location to expand their operations. When companies like these choose to locate in Tucson, it sends a signal to business leaders that Southern Arizona is a serious contender – and indicates that the economic development future is bright.

What are we doing right? What could we do better?

Arizona excels at a unique collaborative economic development approach – with state, regional and local organizations working in concert. This is designed to provide a strong foundation for companies to succeed in our state.

The strategic alliance of all economic development partners, led by the governor and including Sun Corridor Inc., Pima County and the cities is key to ensuring Southern Arizona is at the top of mind for decision-makers. The effectiveness of this strong partnership was demonstrated when Caterpillar chose Tucson, noting that they felt truly embraced by the Arizona business community during the selection process.

About ACA u

Statewide in Fiscal Year 2016 ACA results are: u Jobs – 17,629 u Average Wage – $50,803 u Capital Investment

– $920. 8 million u In Tucson from Jan. 1, 2015 through June 30, 2016, ACA results are: u Jobs – 3,399 u Average Wage – $47,998 u Capital Investment

– $191. 9 million Did you know?

With a surging innovation ecosystem and a $3 million Arizona Innovation Challenge, Arizona attracts global corporations and forward-thinking startups.

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BizTucson 109

SUN CORRIDOR INC. 2 0 1 6 – 2 0 1 7 B O A R D O F D I R E C T O R S Bonnie Allin

Bonnie Allin

Mara G. Aspinall

Duane Blumberg

President & CEO Tucson Airport Authority Established 1948 Operates Tucson International Airport (TUS) and Ryan Airfield (RYN) TUS – $3.2 billion economic impact, supporting 35,000 jobs and more than 100 tenants; all major airlines serving 18 nonstop destinations RYN – general aviation reliever airport with FAA contract control tower and base to 300 aircraft and 30 tenants

Mara G. Aspinall

President & CEO Health Catalysts Active venture capital investor in health IT and diagnostic companies Executive Chairman GenePeeks Computational genomics company identifying and eliminating inherited disease risk in future generations

Duane Blumberg Mayor Town of Sahuarita

27,777 population $69,425 median household income

Garry Brav

Population rose nearly 700 percent 2000-2010

Jacqueline Bucher

125 FTE

Garry Brav

President & CEO BFL Construction Founded 1973 Ranked among Tucson’s top 10 commercial contractors $60 million annual revenues 40 FTE

Jacqueline Bucher

VP, Head of Communications, Roche Molecular Solutions Head of Marketing and Corporate Communications, Roche Tissue Diagnostics / Ventana Medical Systems A world leader and innovator of tissue-based cancer diagnostic solutions Manufactures 220-plus cancer tests and related instruments, touching the lives of 14 million cancer patients each year in 90-plus countries

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Kevin Burnett

Joe Coyle

Tom Dickson

Kevin Burnett

Senior VP & CFO Sundt Companies Headquartered in Tucson since 1929 100 percent employee owned with revenues of about $1 billion

Won more Associated General Contractors Build America awards than any other U.S. contractor

Joe Coyle

Managing Director The Patrick Group Management consulting and executive search for the aerospace and healthcare fields Coyle previously held positions with Raytheon Missile Systems, Hughes Aircraft, Loral Aerospace and Ford Motor Companies

Tom Dickson

CEO Banner–University Medical Center Tucson and Banner–University Medical Center South Banner–UMC Tucson 4,090 employees 22,301 inpatient admissions, 2014

Jon Dudas

Banner–UMC South 992 employees 8,026 inpatient admissions, 2014

Michael Eastman

Jon Dudas

Senior VP Secretary of the University University of Arizona

Founded in 1885, this land-grant university has more than 42,000 students The UA ranks in the top 20 public universities nationally with research activities of $606 million annually An annual economic impact of $8.3 billion

Michael Eastman

Executive Director Tucson National Center of Excellence Comcast The new center houses over 1,100 employees, providing support for residential products and services At least 15 percent of these positions are being filled by reservists, veterans and their spouses or domestic partners

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BizTucson 111

SUN CORRIDOR INC. 2 0 1 6 – 2 0 1 7 B O A R D O F D I R E C T O R S Marc D. Fleischman

Marc D. Fleischman

Duane Froeschle

John C. Gluch

CEO BeachFleischman

One of the largest locally owned public accounting, business advisory and consulting firms in Arizona with offices in Tucson and Phoenix Serving more than 6,000 private enterprises, nonprofit organizations and entrepreneurs in the U.S., Mexico and Canada A “Top 200” largest public accounting firm in the U.S.

Duane Froeschle

President Alliance Bank of Arizona Founded 2003 11 offices in Greater Phoenix, Tucson, Sedona and Flagstaff Division of Western Alliance Bank, with $16 billion in assets

John C. Gluch

President Economic Development Group of Eloy (EDGE) A nonprofit created in the 1980s with a seven-member board of directors Works to improve the business climate of Pinal County by increasing its tax base, helping businesses expand and attracting new businesses

Ed Hadley

Michael Hammond

Ed Hadley

President, West USA Walton Development & Management (USA) Part of Walton Group of Companies, a multinational real estate investment and development group 97,000 acres of land under administration Assets over $4.1 billion

Michael Hammond President & CEO Cushman & Wakefield | PICOR Commercial Real Estate Services Founded 1985 Leading independently owned, full-service commercial real estate company Licensed in Southern Arizona and Sonora, Mexico

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Lawrence M. Hecker

Nancy Johnson

Bill Kelley

Lawrence M. Hecker

Managing Member Hecker PLLC Of counsel, Sun Corridor Inc. 41 years practicing law in Tucson Best Lawyers in America, Corporate Law, 1993-2015

Nancy Johnson

CEO El Rio Community Health Center Founded in 1970 as a neighborhood health center and currently provides medical, dental and healthcare for more than 93,000 individuals 11 healthcare campuses in Tucson with more than 1,100 employees

Recognized for innovative care delivery models reducing healthcare costs

Bill Kelley

CFO Diamond Ventures Founded 1988 Privately held company specializing in real estate development and private equity investments 2 million+ square feet of developed industrial, office and retail projects

Steve Lace

Robert Lamb

20,000+ acres of developed and planned residential projects

Steve Lace

Past President Tucson New Car Dealers Association VP Royal Automotive Group & Lexus of Tucson Tucson New Car Dealers Association Established 1947 Organized by dealers to offer support for economic development and transportation initiatives Collectively employed 2,700+, produced $750+ million in revenue and collected $60+ million in sales tax revenue, 2014

Robert Lamb

COO GLHN Architects & Engineers Established 1963 Employee-owned, offering services in architecture and mechanical, electrical, civil and technology engineering 65+ employees

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BizTucson 113

SUN CORRIDOR INC. 2 0 1 6 – 2 0 1 7 B O A R D O F D I R E C T O R S Marc Lebowitz

Marc Lebowitz

Clint Mabie

Xavier Manrique

CEO Tucson Association of REALTORS® Celebrating 95 years in business Represents nearly 5,000 REALTORS® in Southern Arizona and is the largest trade association in Tucson Advocates for homeownership and property rights issues Invests in the community through REALTORS® Charitable Foundation

Clint Mabie

President & CEO Community Foundation for Southern Arizona Connects individuals, families and businesses to causes they care about $150+ million granted to the community by the foundation and its family of donors since 1980

Xavier Manrique

Senior VP Arizona Regional Commercial Banking Office Wells Fargo Bank No. 1 lead bank in the U.S. for middle market and for business banking per Barlow Research Associates, fourth quarter 2015 More than $500,000 to Tucson nonprofits in 2015

Edmund Marquez

Kelle Maslyn

$4.5 million to help Tucson area families achieve homeownership in 2015

Edmund Marquez

Agency Principal Edmund Marquez Allstate Agencies Owns and operates three Allstate agencies, opened in 1996 Largest Allstate agency in Southern Arizona Actively involved in the community, serving on numerous local boards Born and raised in Tucson, graduate of University of Arizona

Kelle Maslyn

Director Community Relations – Tucson Office of University Affairs Arizona State University 83,301 enrollment 11,000 FTE $981 million total payroll $2.7 billion in labor income and nearly $4.3 billion in gross product overall economic impact to Arizona

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Frances Merryman

Omar Mireles

Mark Mistler

Frances Merryman

VP Wealth Strategies Group The Northern Trust Company Northern Trust Wealth Management ranked among top 10 U.S. wealth managers $233 billion in wealth management assets Named Best Private Bank in the U.S. by Financial Times Group six consecutive years

Omar Mireles President HSL Properties Founded 1975

Owns and operates 41 apartment communities in Arizona, with 32 in the Tucson metro area, representing 10,000+ units and 8 million square feet Owns and operates hotels and resorts, including Oro Valleyâ&#x20AC;&#x2122;s Hilton El Conquistador Resort

Mark Mistler

CEO Southern Arizona BBVA Compass Company ranks among the top 25 largest U.S. banks, with 672 branches 19 Southern Arizona branches

Farhad Moghimi

Tony Penn

Benefits Southern Arizona charitable organizations through employee volunteerism and financial contributions

Farhad Moghimi

Executive Director Pima Association of Governments/ Regional Transportation Authority Coordinates regional planning efforts to enhance mobility, sustainability, livability and economic vitality of the region Programs federal, state, regional and local funding for all regional transportation investments Manages the locally funded RTA and its 20-year, $2.1 billion regional transportation plan

Tony Penn

President & CEO United Way of Tucson and Southern Arizona Building a better community by uniting people, ideas and resources Working to bring a collective impact strategy to Southern Arizona to address poverty 80+ years in Tucson

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SUN CORRIDOR INC. 2 0 1 6 â&#x20AC;&#x201C; 2 0 1 7 B O A R D O F D I R E C T O R S Ricardo Pineda

Ricardo Pineda

Walter Richter

Consul of Mexico Consulate of Mexico in Tucson Established in 1882

Adriana Kong Romero

The official representation of the Mexican government in Pima and Pinal counties Promotes stronger ties between Mexico and the Sun Corridor region Fosters trade and investments across the border

Walter Richter

Public Affairs Administrator Southwest Gas Founded 1931 in California Investor-owned utility 1.9 million residential, commercial and industrial customers in parts of Arizona, Nevada and California

Adriana Kong Romero Senior VP Tucson Market President Bank of America

$263 million in business loans to Tucson companies in 2015 $372,363 in grants and matching gifts to local nonprofits in 2015

Jonathan Rothschild

Jonathan Rothschild

Keri Lazarus Silvyn

Mayor City of Tucson 520,116 population Incorporated 1877 236 square miles $46,706 median family income

Keri Lazarus Silvyn Partner/Owner Lazarus, Silvyn & Bangs

Land use law firm that helps communities and developers grow responsibly across Arizona Lawyers in the firm practicing zoning, planning and land use law in Arizona for 40 years

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David Smallhouse

Kevin Stockton

Robert E. Walkup

David Smallhouse Managing Director Miramar Ventures

Real estate, private equity and venture capital investments Active investor in angel and earlystage ventures, many with close ties to the University of Arizona and Desert Angels of Southern Arizona

Kevin Stockton

Market CEO Northwest Healthcare Established 1983 Includes two hospitals, one freestanding emergency department, six urgent care centers and three physician groups 21,517 inpatient admissions in 2015

Guillermo Valencia

Chairman Greater Nogales and Santa Cruz County Port Authority (Not pictured)

Robert E. Walkup

Honorary Consul South Korea in Arizona Sworn in July 2013

Matt Wandoloski

Steven G. Zylstra

Provides efforts to protect overseas Korean nationals residing in Arizona Liaison for the promotion of trade, economic, cultural, scientific and educational relations Facilitates commercial transactions and/or introduction of foreign capital

Matt Wandoloski

VP of Corporate Strategy and Analytics Blue Cross Blue Shield of Arizona Founded 1939 1.5 million customers Offices in Tucson, Phoenix, Chandler and Flagstaff 1,500 employees statewide

Steven G. Zylstra

President & CEO Arizona Technology Council Established 2002 Arizonaâ&#x20AC;&#x2122;s premier trade association for science & technology companies Events, resources & educational forums to grow Arizonaâ&#x20AC;&#x2122;s technology industry

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BizECONOMY

Business Attraction Expansion

&

FY 2015-2016 ADP ADP is a well-known Fortune 500 global provider of cloud-based human capital management systems. The company plans to hire 450 employees. Total economic impact is $485 million.

Applegate Insulation Technology Applegate Insulation is the world’s largest family-owned manufacturer of cellulose insulation products. The company is expected to hire 50 employees.

Economic impacts are estimated at $69 million.

Arizona Turbine Technology Arizona Turbine Technology is an energy-production technology created by the leaders of Tucson Embedded Systems. The company will hire 22 employees and spend $6-8 million in capital investment. Economic impacts are estimated at $48 million over five years.

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Bayview Asset Management Bayview Asset Management is a mortgage investment firm focused on investments in mortgage credit. The company is expected to hire 95 new employees. Economic impact is estimated at $139.8 million.

Caterpillar Caterpillar, the world’s leading manufacturer of construction and mining equipment, will relocate its Surface and Mining Division central hub to downtown Tucson. The company is expected to hire 635 employees. Economic impacts are estimated at $1.9 billion over 10 years.

Dignity Health Urgent Care Dignity Health Urgent Care is opening a freestanding urgent-care facility in Queen Creek, Pinal County. The company is expected to hire 35 new employees. Economic impacts are projected at $23 million.

Dream in Color Dream in Color relocated its East Coast yarn-coloring operation to Tucson. The company is expected to hire 10 employees. Economic impacts are estimated at $6.8 million.

Geoworld USA This Italian-based company is relocating their world headquarters from Italy to Southern Arizona. Geoworld now operates in four business areas – educational toys, jewels in semiprecious stones, furnishing accessories and publishing. All business sectors have developed in a consistent manner, thanks to a thorough knowledge of the characteristics of the raw materials – stones and fossils. Currently the company operates facilities in Italy, Hong Kong and China. The new world headquarters in Tucson will bring 25 jobs and estimated economic impacts of $28 million.

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A very good year for Sun Corridor Inc. • 20 successful projects

• 2,381 projected new jobs • 1,239 new jobs in targeted Industries • $159 million projected capital investment

• $2.43 billion economic and fiscal impact

Sheffield Lubricants Sheffield Lubricants’ proven technology recycles used lubricating oil into valuable products including lean-base oil, gasoline and diesel fuel. The company is expected to hire 30 new employees.

Economic impacts are estimated at $82.9 million.

GW Plastics GW Plastics is a global leader in plastic injection molding. The company plans to add 70 employees to its Tucson operations. Economic impacts are estimated at $38 million.

HTG Molecular HTG Molecular is developing proprietary gene-expression assays for a variety of tissue types and disease states.

The company is expected to hire 13 new employees. Economic impact is estimated at $66.9 million.

International Towers International Towers manufactures and erects towers and antennas worldwide for broadcasters, cellular providers and governments. The company is expected to hire 130 employees. Economic impacts are estimated at $48 million.

Mathematica Mathematica’s main focus is the innovation of programs to evaluate policy research. The company is expected to hire 75 new employees. Economic impacts are estimated at $35 million.

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Truly Nolen Truly Nolen, a Tucson- based pest control company, established a state-ofthe-art training facility in Tucson where employees can take their lessons from the classroom and apply them to reality. The company is expected to hire 70 employees. Economic impacts are estimated at $34.4 million.

New Holland Agriculture New Holland is a global brand of agricultural machinery like tractors and combine harvesters. The company is expected to hire 25 employees. Economic impact is estimated at $20 million.

Otto Environmental Systems Otto Environmental Systems, a manufacturer and service provider in the collection and container industry, is estimated to hire 32 new employees. Total economic impact is nearly $9 million.

Samsung Smart Things Samsung Smart Things allows you to control your smart devices with a simple tap and automate your home to react to your unique preferences. The company is expected to hire 80 employees. Economic impacts are estimated at $38.6 million.

TMC HealthCare TMC HealthCare is expanding its Tucson operations. The company is expected to hire 61 employees. Economic impacts are estimated at $60 million.

Urgent Care Extra Urgent Care Extra is opening a freestanding urgent care facility in San Tan Valley, Pinal County. The company is expected to hire 25 new employees.

Economic impacts are projected at $16.5 million.

World View World View is a commercial balloon spaceflight company that is establishing a new corporate headquarters in Tucson. Three to five year projections anticipate 448 new high-wage jobs and $40 million in capital expenditure.

Estimated economic impacts are $384 million.

Source: Sun Corridor Inc.

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Sun Corridor Inc. Investors Alliance Bank of Arizona

Cox Communications

Pima Community College

Arizona Commerce Authority

Cushman & Wakefield | PICOR Commercial Real Estate Services

Pima County

Arizona State University Arizona Technology Council Bank of America Banner-University Medical Center BBVA Compass

Diamond Ventures

Randstad

DPR Construction EDGE - Economic Development Group of Eloy El Rio Community Health Center

BeachFleischman

GEICO

BFL Construction

GLHN Architects & Engineers

BizTucson Blue Cross Blue Shield of Arizona Bluespan Wireless Business Development Finance Corporation CBRE

Hecker PLLC Hilton El Conquistador Resort HSL Properties The Jim Click Automotive Team Lazarus, Silvyn & Bangs

The Northern Trust Company

Comcast Community Foundation for Southern Arizona CopperPoint Mutual Insurance Company

Rider Levett Bucknall Sinfonia HealthCare Corp Southwest Gas Corporation Sundt Companies The Temp Connection Tucson Airport Authority Tucson Association of Realtors® Tucson Electric Power TMC HealthCare Vantage West Credit Union

Miramar Ventures

City of Tucson

Raytheon Missile Systems

The University of Arizona

Lloyd Construction

CenturyLink

Pinal County

Northwest Healthcare Nova Home Loans Pima Association of Governments

Ventana Medical Systems, Inc. Venture West Walton Development & Management (USA) Wells Fargo

1985 E. River Road, Suite 101 Tucson, Ariz., 85718 Office (520) 243-1900 Toll Free (866) 600-0331 www.suncorridorinc.com info@suncorridorinc.com

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SUN CORRIDOR INC. STAFF

Top to bottom from left – Row 1 – Joe Snell, President & CEO; David Welsh, Executive VP Row 2 – Laura Shaw, Senior VP, Marketing; Cathy Casper, CFO; Daniela Gallagher, VP, Economic Development; Steve Eggen, Consultant Row 3 – Michael Guymon, Director of Marketing; Courtney Pulitzer, Executive Assistant & Office Manager; Skye Mendonca, Corporate Administrative Assistant; Lorena Montes de Oca, Consultant; Not Pictured: Jerah Yassine, Consultant

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SUN CORRIDOR INC. STAFF

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BizHONORS

Tucson Hispanic Chamber Awards

By Steve Rivera It will be a night filled with honoring the accomplishments of individuals and businesses who contribute to promoting international business opportunities between Arizona and Mexico. The annual Noche de Exitos Gala and Bi-National Awards will be held Oct. 22 at Casino del Sol. The Tucson Hispanic Chamber of Commerce will present the awards at its annual banquet, an event that began in 1998 by honoring the Hispanic Business Woman and Man of the Year.

The event now honors the accomplishments of a number of members of the business community and companies in Southern Arizona and Mexico. Honorees were selected for their community leadership and support of the Hispanic community.

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This year’s honorees are:

• Agnes Ronstadt Poore, co-founder of Casa de la Luz Hospice, Hispanic Business Woman of the Year

Oscar Lizardi, partner at Rusing, • Lopez & Lizardi law firm, Hispanic Business Man of the Year

Dr. Richard Carmona, 17th U.S • Surgeon General, Legacy Award • Danny Ortega, former Douglas Mayor, Arizona Public Servant of the Year

Jaime Paz y Puente, former Mexi• can Consul General of Nogales, Mexican Public Servant of the Year

Casino del Sol Resort, Arizona • Corporation of the Year • The Offshore Group, Mexican Corporation of the Year

The Tucson Hispanic Chamber focuses on growing the region’s binational economy and promoting international business opportunities. The chamber has affiliate chambers in Sierra Vista, Douglas and Ambos Nogales and has more than 1,800 members.

Biz

NOCHE DE EXITOS

Saturday, Oct. 22 Casino Del Sol Resort 6 p.m. to midnight Tickets are $150 $1,500 per table www.Tucsonhispanicchamber.org

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Oscar Lizardi 2016 Tucson Hispanic Chamber of Commerce Business Man of the Year

PHOTO: COURTESY TUCSON HISPANIC CHAMBER OF COMMERCE

BizHONORS

By Rhonda Bodfield Oscar Lizardi’s younger years were shaped by his family’s two fundamental priorities: education and community service.

“I was raised in a family whose philosophy was to give back to the community,” said Lizardi, a corporate and commercial transactional lawyer with the law firm of Rusing, Lopez & Lizardi.

He is being honored as the 2016 Tucson Hispanic Chamber of Commerce Hispanic Business Man of the Year.

Lizardi’s mother, a longtime elementary school teacher, and his father, an associate school superintendent who was deeply involved in the community, raised Lizardi in Nogales. His youth was peppered with clothing drives, food drives, raising money for a local orphanage and so many other causes.

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privileged or in distress, including Child & Family Resources, the Children’s Action Alliance, San Miguel High School, the Tucson Conquistadores, Angel Charity for Children and Tu Nidito.

He also served on the state Board of Directors for Community Colleges, drawn by the impact education and workforce development have on economic and social issues.

“It’s important to me that we lend a hand to the less fortunate, but it’s really through education and economic development that we can address many social concerns,” Lizardi said. “Education can impact so many socio-economic issues, whether it’s families who are hungry or homeless, healthcare, joblessness or violence. If we could just focus on making children’s lives better by creating the best education system we can, the rest will follow.”

Despite loving to travel, and the fact his two adult daughters have left home

for college, Tucson remains home. “We have close to 1 million people here, yet Tucson still has that small town feel,” Lizardi said. “Our roots, longstanding relationships, and the feeling that Tucsonans have a one-for-all and all-for-one commitment to community make this city so special.”

Lea Marquez Peterson, president and CEO of the Tucson Hispanic Chamber, said she was thrilled to honor Lizardi for his contributions to the community, noting he has been engaged in the Chamber for many years and served previously on its board. “He is an active and visible community leader and provides great support to the community,” she said.

Lizardi said he remains humbled and honored to receive the award. “It means a lot to me to follow in the footsteps of other honorees, many of whom I know and work with in the community. I am very grateful for the honor.”

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PHOTO: COURTESY TUCSON HISPANIC CHAMBER OF COMMERCE

BizHONORS

Agnes Ronstadt Poore 2016 Tucson Hispanic Chamber of Commerce Business Woman of the Year

By Steve Rivera

Had it been up to Agnes Ronstadt Poore’s young children she would have never helped start one of Southern Arizona’s distinguished medical facilities, Casa de la Luz Hospice. Their young eyes and equally youthful wisdom thought mom starting the business with friend, Lynette Jaramillo, wasn’t wise.

“They said it was a bad idea,” she recalled. “I said, ‘Oh, really? You do?

Why?” “Because,” they said, “you’re going to be sad every day.”

But, in her best motherly voice – and perhaps using her best bedside manner – Ronstadt Poore explained that, “yes, it can be sad when (people) lose someone they love. But what we get to do is make it the best time possible. And that’s what we do.”

That was her big comforting hug.

“They didn’t think it was such a bad idea anymore,” she said.

Eighteen years later, Ronstadt Poore, www.BizTucson.com

the chief clinical officer, and co-founder Jaramillo are doing just fine, as are the families they help who have a loved one dealing with end of life.

In that time, they have helped more than 20,000 families when times were the toughest. This year, Ronstadt Poore said, they will assist more than 2,000 families, and more with the help of follow-through bereavement programs.

Because of her success, the Tucson Hispanic Chamber of Commerce has selected Ronstadt Poore as its 2016 Hispanic Business Woman of the Year.

“Agnes and her partner have provided a vital service to so many of our families and are an inspiration to business owners,” said Lea Marquez Peterson, president of the Tucson Hispanic Chamber.

“We are honored to be celebrating her success and community leadership as our Hispanic Business Woman of the Year. Agnes is from a pioneering family − the Ronstadts − and has been a key

healthcare leader in our state.”

If the name is recognizable, well, it’s because it is. Agnes comes from a long line of Ronstadts who are familiar to Tucsonans. Many family members have been in high-profile political and civic positions. Her first cousin is Rock & Roll Hall of Fame singer Linda Ronstadt.

“People know that I’m a Ronstadt and I’m proud to say that,” she said.

Ronstadt Poore never imagined all the success Casa de La Luz Hospice would have, now with a staff of nearly 250. The founders started the business after each mortgaged their home to secure a $150,000 loan.

The plan was to hope to make it work for seven years. Seven years came and went.

“We will continue to do this as long as we can and we enjoy our work,” she said.

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AC Hotel by Marriott

Caterpillar

Downtown link to west side of Interstate 10

Tucson Arena The west side

Greyhound terminal

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BizDOWNTOWN

In The Game

Rio Nuevo a Key Player in Downtown Revitalization

By Dan Sorenson McCusker is probably best known for Bringing the Caterpillar Surface Mining & Technology Division’s hub – and with it rolling up his sleeves and working his conseveral hundred good jobs – to downtown tacts to bring Second Saturdays to life, a monthly event that packs downtown’s Tucson is the latest success for the oncestreets with people drawn to the live music troubled Rio Nuevo Multipurpose Faciliand festival atmosphere. ties District.

Caterpillar’s move wasn’t strictly a Rio The rest of the board is made up of Nuevo deal by any means, but it was the developers, real estate and small- to melatest and flashiest of several public and dium-sized business owners and execuprivate sector collaborations involving Rio tives. But they seem to take their lead from Nuevo that have brought life to downtown McCusker, a gruff optimist who is not the Tucson in the last few years. glad-handing, big-smile guy typically asso“We each brought significant resources ciated with civic promotion. to the table to win the biggest deal Tucson He typically ends a Rio Nuevo governhas seen in 25 years,” ing board vote to apsaid Joe Snell, president prove a project by proand CEO of Sun Corclaiming, gruffly, “OK, ridor Inc., the region’s let’s build something,” economic development and then quickly moves organization that also on to the next agenda has helped lead the item. downtown resurgence.

As a result, just a few Rio Nuevo “helped years after Rio Nuevo seal the deal,” Snell was up to its neck in said, by helping devise botched deals and an attractive incentive questions about the package and a “crehundreds of millions of – Mark Irvin, Secretary ative solution” for a dollars that had been Rio Nuevo Multipurpose permanent site downspent, it now is kneeFacilities District town for the division’s deep in construction Board of Directors headquarters.

That dust. And McCusker included Rio Nuevo is hinting at more proj“donating” the approximately eight acres ects and developments on the horizon inrequired to build the new CAT headquarcluding “another headquarters relocation ters, valued at $7.2 million. and more retail partnerships.”

“There were lots of assists in this one,” “We’ve spent a little over $19 million over the last three years, which has genersaid Fletcher McCusker, the local businessman who was picked to chair the Rio ated close to $175 million in construction Nuevo District board after the state legisprojects,” said Mark Irvin, secretary of the lature took control of the organization afRio Nuevo board. “We made the decision ter its spending was called into question. long ago to put our heads down and get to “Gov. (Doug) Ducey was instrumental. work. We’re just getting started.”

The following is a rundown of key The county stepped up for a short-term lease. The Arizona Commerce Authordowntown projects underway and a sumity and Sun Corridor Inc. represented us mary of Rio Nuevo’s involvement: well.” continued on page 130 >>>

PHOTOS: COURTESY RIO NUEVO AND CATERPILLAR

“

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We made the decision long ago to put our heads down and get to work.

We’re just getting started.

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CATERPILLAR

continued from page 129

The Rio Nuevo District Board authorized paying Caterpillar $2 million, along with $4 million from the Arizona Commerce Authority, to defray the company’s cost of moving the division’s operations to Tucson. The board also approved use of the district’s financing authority to build a $50 million facility on land west of Interstate 10 near West Cushing Street. It will be occupied by Caterpillar under a 25-year lease-to-own deal. Caterpillar estimates its Tucson operation will employ roughly 600 mostly executive and management employees within five years, most of whom were to be relocated from other Caterpillar sites.

Rio Nuevo also was involved, with Pima County, in arranging for temporary offices for the company’s Tucson operation at a county-owned building on the corner of East Congress and Scott Avenue during construction of the company’s new building.

TUCSON ARENA

Irvin said that without the Tucson Convention Center arena renovation, Tucson would not have a professional hockey team. The Tucson Roadrunners, the new, minor-league affiliate of the NHL’s Arizona Coyotes, will begin play at the arena this fall.

Rio Nuevo funded $3.2 million of the work to bring the facility up to the requirements of the American Hockey League, of which the Roadrunners are the newest member.

“I think there are a lot of success stories,” Irvin said. “If I could give you one, I think the TCC renovations, when we decided to focus on the arena, really set the stage for our moving forward. It helped settle things with the city. It came in on budget. It was almost a build-it-and-they-will-come kind of deal.”

AC HOTEL BY MARRIOTT

Perhaps the most visible of Rio Nuevo’s recent assists is the eight-story AC Hotel by Marriott under construction on the northwest corner of East Broadway and South Fifth Avenue. Rio Nuevo aided that project, which is being built by Rialto Block developer Scott Stiteler, by providing $4.3 million to purchase the hotel’s parking structure. Spaces will be leased back to the hotel’s owners to repay the expenditure. The ultra-modern AC Hotel, an established European brand recently acquired by Marriott and just starting to emerge in the U.S., is the first new hotel to be built downtown in decades and is expected to open in 2017.

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BizDOWNTOWN GREYHOUND TERMINAL

Rio Nuevo’s work to relocate the Greyhound bus terminal was another example of its Rubik’s Cube style – assisting on one project to make another project possible. In this case, the Greyhound terminal had to be moved from its current temporary location off of West Congress near Interstate 10 to make way for another project. Bids to build the new terminal near the southeast corner of East Broadway and South Euclid Avenue were due in late July.

DOWNTOWN LINK TO WEST SIDE OF INTERSTATE 10

Developer Allan Norville was awarded the contract to purchase and develop a large parcel of Rio Nuevo land south of West Congress Street between the Tucson Convention Center and I-10. Filling in the space is considered key to linking the development east of the freeway to the west side.

Norville developed a proposal to build a new 140-room hotel, museums and a theater. Norvilleled corporations and trusts already owned adjacent parcels in that quadrant. But his most visible operation to date has been the giant, white plastic and metal frame exhibition space used primarily during the Tucson Gem and Mineral Show.

Moving the temporary Greyhound terminal off the former city property was a major obstacle, and Irvin is optimistic about the Norville project. “That will really anchor the east side to the west side of downtown,” Irvin said.

THE WEST SIDE

Rio Nuevo stepped in to revive the Mercado San Agustin Annex and related projects on the west side of I-10 after developer Gadsden Co. couldn’t meet the terms of its agreement with the City of Tucson for the land. Rio Nuevo bought the land and took over responsibility for overseeing the development

by Gadsden.

Rio Nuevo also has stepped in with some financing for an expansion of Gadsden’s existing Mercado San Agustin on West Congress. Along with the existing Mercado, the western terminus for the streetcar, an affordable apartment complex fronting on West Congress and the proposed Caterpillar facility would fill the gap between downtown west of I-10 and Menlo Park, the old neighborhood between Mercado San Agustin and A Mountain.

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BizSPORTS

From left – John Chayka, General Manager, Arizona Coyotes; Anthony LeBlanc, President & CEO, Arizona Coyotes; Mayor Jonathan Rothschild; Dave Tippett, Head Coach, Arizona Coyotes

Pro Hockey Heads Back to Tucson Roadrunners, Coyotes Coming To TCC

By Steve Rivera Marie Maloney and Jim Evans are two big hockey fans ready to support Tucson’s new professional team by buying season tickets.

The two have driven up the freeway to watch a few National Hockey League games with the state’s major-league franchise, the Arizona Coyotes, which plays in Glendale. With the Coyotes’ top minor-league team moving to Tucson, fans can now catch some of professional hockey’s top prospects right downtown at the newly renovated Tucson Arena.

“It’s beautiful,” Maloney said of the $12-million arena makeover with brightly colored seats and a newer, fresher look. A Chicago native, Maloney was sporting a 2015 Stanley Cup playoff T-shirt while visiting the TCC on name-the-team day. Roadrunners was the winner in the name-the-team contest. “It’s great for downtown. It’s going to attract people here.”

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see the Coyotes. “They’ve supported the Coyotes for years,” said Rich Nairn, the Coyotes VP for communications. “This was a key factor in our decision to move our American Hockey League franchise to this market.”

He said having top prospects just more than 100 miles down the road was a “game-changer” for Coyotes management, which can now monitor the play of their top prospects and have a greater impact in the team’s development.

“There are so many benefits, you can’t even list them all,” said Coyotes Head Coach Dave Tippett. “The ability of our management team to go back and forth, the ability for us to pull kids up − even on a game day which we couldn’t ever do before − is a huge benefit for the organization.”

It all came together in a three-month period where Coyotes and Tucson officials joined to make it happen. The AHL approved the sale of the Springfield (Massachusetts) Falcons in May

and the Coyotes and Tucson City Council approved a 10-year TCC lease agreement.

Tucson Mayor Jonathan Rothschild was sold on it right away, even though he wasn’t that big of a hockey fan before – save for being on the ice with Claude Lemieux and watching a number of Coyotes games. He is a big fan now.

“Hockey is live, fast and exciting,” said Rothschild. “I’ll definitely be at some of the games.”

Everyone involved is hoping more than 6,000 fans come to every game.

“We’d be thrilled,” said Fletcher McCusker, chair of the board of the Rio Nuevo Multipurpose Facilities District.

He said there were about 1,000 season tickets sold in pre-sales.

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BizSPORTS

continued from page 132 mendous support.” Nairn said the team does not discuss the number of season tickets the team has sold.

Still, the interest and the following shows Southern Arizona can sustain a much-needed professional team here.

That has not been the case in the distant past and, well, the more recent past with the departure of the Tucson Sidewinders, a Triple-A baseball affiliate, as well as a host of professional teams that couldn’t survive in Southern Arizona. No fewer than 10 professional franchises have come and gone in the last 40-plus years – including two softball teams, a couple of volleyball teams, soccer teams and five hockey teams.

McCusker said the difference in success “will be because of the level of play.”

Coyotes President Anthony LeBlanc said as many as 10 top prospects could be playing for the Roadrunners at any given time, which would make the team competitive.

Longtime hockey writer Craig Morgan said, “From a marketing standpoint, the Coyotes could not have picked a better time to bring their AHL affiliate to Tucson. The team was awful last season, staggering to a last-place finish in the Atlantic Division, posting the second-worst record in the AHL and missing the playoffs.

“Last season’s team had very few legitimate NHL prospects, but this year’s team should have some of the Coyotes’ top prospects – including centers Christian Dvorak, Ryan MacInnis, Conor Garland and wings Brendan Perlini and Christian Fischer.”

Good players and winning always helps in attendance and visibility. The team coming here, Rothschild said, “really boosts the image of Tucson.”

“The difference now is in the franchise,” Rothschild said when asked why he and many others think it’ll work this time. “And it’s closeness (to Tucson). I’m aware of all the different franchises (that didn’t make it), but I’ll tell you that when these guys came in, they did it quickly. Sitting with them day after day, I came to believe in what they are willing to give. There is no downside for our city.”

There are only positives, said Mike Feder, the GM of the Sidewinders and Tucson Toros before that.

“I’d love this hockey team to be very successful,” he said.

“I’m tired of local sportswriters and broadcasters writing about and talking about all the teams that have come in and left. It’s time we have some success stories in this community.”

All parties hope it is a success. The city is being paid $300,000 per year for rental of the arena, and in the agreement there is a split on beverages, signage, parking and ticket sales. Rothschild said he was so optimistic about the successful name-the-team event that “we will be in the black.

“This is a good day for Tucson,” Rothschild said of bringing professional hockey back. “It’s always good to get it started, but the community has got to support it. If the community supports it, I think it’s going to be really exciting.”

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BizVIEWPOINT

On the Right Path

Robert D. Ramirez always sees the big picture – and when he looks around this community he likes what he sees.

His vision for a bright future is based on a collection of assets unique to Tucson that are the foundation for solid growth.

The Southern Arizona native grew up in Nogales, graduated from the University of Arizona and for the past three decades has been the inspirational force behind the growth and success of the Vantage West Credit Union. He’s also deeply

involved in this community – ranging from the DM50, Southern Arizona Leadership Council, Sun Corridor Inc. and Tucson Metro Chamber to the El Rio Community Health Center, Ronald McDonald House, San Miguel High School and United Way of Tucson and Southern Arizona. He gets around.

Ramirez recently was asked for his thoughts on this region’s economic development future and specifically “what are we doing right?”

As I look around our community, I observe that we are doing the following things right: The University of Arizona Management Information Systems and Entrepreneurship graduate programs are consistently ranked in the top five public programs in the United States.

Eller graduates are in high demand at top companies because of the education they receive in leading-edge concepts of big-data analytics, cybersecurity and IT development.

Davis-Monthan Air Force Base leads cutting-edge technology, such as its new drone unit, which remotely flies MQ-1 Predator drones, and its two massive solar-array sites, which have 57,000 solar panels and provide 38 percent of DM’s power, saving $500,000 each year in energy costs

PHOTO:BRENT G. MATHIS

162nd Air National Guard Wing’s Aerospace Control Alert detachment was cited for maintaining “a remarkable record of outstanding performance by flawlessly executing multiple missions which significantly contributed to the safety and security of our nation.”

Raytheon Missile Systems joined the fight against buried improvised explosive devices by partnering with Estonian robotics developer Milrem to develop an integrated robotic platform for detecting IEDs and preventing the loss of innocent lives.

Southern Arizona Leadership Council partnered with Greater Phoenix Leadership and the Flagstaff Forty to create the public-private nonprofit Science Foundation Arizona to focus on generating highwww.BizTucson.com

technology jobs through business expansion and startups and retaining and attracting top talent to Arizona. To date Southern Arizona has received a total of $43.8 million in grants from the SFA. Southern Arizona Defense Alliance is a broadly based group of local and regional businesses and community leaders who came together to help support and preserve our military presence in Southern Arizona. Recent projects include efforts to save the A-10, the main aircraft stationed at Davis-Monthan Air Force Base.

DM50 has provided more than $1.5 million to support initiatives to improve the quality of life for Davis-Monthan’s airmen and airwomen. The independent nonprofit functions as an advocate for the base and attempts to bridge relationships

among Davis-Monthan and the educational, commercial, political and social leadership of greater Tucson Sun Corridor Inc. is a CEO-driven regional alliance whose members aggressively champion megaregional issues that impact economic competitiveness and quality of life. To date, the organization’s efforts have resulted in an economic impact of $7.9 billion.

Tucson Metro Chamber represents 1,500 businesses that employ more than 160,000 employees in Tucson and Pima County. The top four priorities are to lead government relations and public policy/advocacy, develop local economy, champion small business, and improve workforce readiness and education.

Tucson Hispanic Chamber of Commerce is the largest Latino business organization in the State of Arizona and one of the top 10 Hispanic chambers in the nation. Its mission is to advocate for and provide services to help grow members’ businesses, including Hispanic market research on Southern Arizona.

United Way of Tucson and Southern Arizona is devoted to disrupting the cycle of poverty throughout Tucson and Southern Arizona. It aims to help build education from cradle to career, provide financial stability for families and improve the overall health of our community.”

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BizMEDICINE

New Healthcare Tower Rises from Old Polo Field 4

Banner-University Medical Center’s $400 Million Project

By Jay Gonzales

10

Tucson’s newest hospital building – a $400 million project of Banner-University Medical Center Tucson – is sprouting from ground that was once a college polo field.

Just as the new facility itself will be “state-of-the-art” with the latest advancements in medical technology, the approach to designing the 11-story hospital is innovative in a way that is changing how buildings are built from the government permitting process all the way to the engineering, design and construction utilizing Banner Health’s “Integrative Project Delivery” process “This may sound a little strange, but we’re not done designing the building,” said Stephen Brigham, the project executive overseeing construction for Banner Health with Brian Brown, the project executive for the joint venture between the contractors DPR Construction and Sundt Construction Inc. “In the old days, the architect and engineer would essentially go away for a period of time, design and engineer the

building, and come back with a full set of drawings and bid it,” Brigham said.

“Those days are over because you have to have dialogue. You have to have collaboration and a partnership with your builder.

From an ownership standpoint, we want the architect and the engineer to be working with Brian’s team on a daily basis because the builder doesn’t know everything, the architect doesn’t know everything, and the engineer doesn’t know everything. But together they know a lot.”

Brown said the “skeleton” of the building – the steel structure – should top out in December giving Tucson a look at the height and area covered by the tower. The project is scheduled to be completed in the spring of 2019 including a new entrance on East Elm Street replacing the current one on Campbell Avenue. The first phase of the project will build the tower to nine stories. The 10th and 11th stories will be added in a later phase.

In a fortunate happenstance, the project continued on page 138 >>>

1. University of Arizona R.O.T.C. Stables 2. Kathy Bollinger, Executive VP of Academic Delivery for Banner Health, Banner University Medicine 3. Dr. Akinlolu Ojo, Associate VP for Clinical Research and Health Initiatives, University of Arizona Health Sciences 4. Dr. Charles Cairns, Dean, UA College of Medicine – Tucson and Professor, Emergency Medicine 5. Historical area map 6. The Big Room (Photo courtesy of Sundt Construction Inc. I DPR Construction, Joint Venture) 7. Illustration of the new tower 8. Mayor Jonathan Rothschild, City of Tucson 9. Ann Weaver Hart, President, University of Arizona 10.

Tom Dickson, CEO, Banner-University Medical Center www.BizTucson.com

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BizMEDICINE continued from page 137 team found space for a “nerve center” for the project on the fourth floor of the existing hospital overlooking the construction site, a luxury not generally found at other sites. They call it “The Big Room.”

“What makes this project unique is it’s not very often you get to be on an elevated level looking over a construction site,” Brown said. “Normally we’re tucked away in a trailer somewhere on a project site.”

Brigham and Brown agree that besides the obvious visual advantage, there are a number of operational advantages The Big Room provides, mainly a wide-open space with no cubicles or offices from where all aspects of design and construction emanate. The Integrated Project Delivery process allows the design team, the construction team, key “trade partners” and the owner to collaborate face-to-face during the week.

“One of the things we do every Thursday is we have a report-out session where we report on how we’re progressing on areas of design, construction and budget,” Brigham said. “At least once a week everybody has a full understanding of what we’re doing. It creates a great deal of camaraderie.

“We do a survey every month of all the individuals in The Big Room because we’re looking for clues as to where we could be improving our processes and where we’re doing really well with our processes.”

Brigham has been so taken by the opportunity that he’s been painting watercolors of various scenes from The Big Room in

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his spare time. He keeps the paintings in the room.

“We’re all used to doing projects where there’s an inherent hostility between contractors and the design team,” Brigham said. “There’s always going to be tension. But here, the tension goes away because we have to work together to solve the problems. There are no walls. There are no cubicles to hide behind.

People have to get along.”

Brigham said one of those enthusiastically lining up behind the innovative construction process is the City of Tucson Development Services Department which provides all the necessary building permits for the construction.

“They have been fabulous to work with,” Brigham said.

“We’re not giving them one big set of documents and saying, ‘Please review this and give us our permits.’ They’re getting a lot of things over a long period of time. It’s a very complex permitting process and they’re doing a great job.”

All aspects of the innovative construction process bode well for the project since there will be about 400 workers on the site at the peak of construction who will be affected by what goes on in The Big Room. The overall project consists of the new hospital tower, renovation of an existing healthcare facility, and more than $50 million in new patient-care equipment and technology. The total cost for the entire hospital project is $400 million − a vast majority of which is being spent locally. Another $100 million is committed to a major outpatient health center at Banner’s North Campus at North Campbell Avenue and Allen Road which will contain many of the clinics currently in the older portions of the existing hospital.

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By the numbers “There was a strong emphasis to hire as many local firms as possible,” Brigham said. “We’ve only gone outside of Southern Arizona when the expertise we needed wasn’t here.”

The primary architecture firm for the hospital project is Shepley Bulfinch, a national firm which has a significant background in designing healthcare facilities. The firm has offices in Boston, Houston and Phoenix. The firm partnered with a local firm − GLHN Architects & Engineers.

Tom Dickson, CEO for Banner-University Medical Center Tucson, points out that while the facility will enhance patient care and service provided by the company, it is not expanding the number of hospital beds in Tucson. However, all patient rooms in the building will be private rooms.

“The primary objective of this project is to replace some outdated facilities that were originally built in the early ’70s,” Dickson said. “Since then, regulations have changed, standards have changed, and we need to keep up with times.

“When we build this new building, we’ll just move the patients we have into this new facility. It will give us a much more modern environment in which take care of patients.

If we happen to grow in the meantime, we have capacity to grow.”

That is a literal statement.

“It’s designed for 11 stories, but we’re only building nine now,” Brigham said. “That’s one of the cost savings we had to do to afford to do the other things.”

$400 million

Cost of the new tower construction and renovation of existing facilities

$50 million

Cost of new patient-care equipment and computers

670,000

Square footage of the new hospital tower

400

Number of workers on site at peak of construction

204

New patient rooms all located on the fifth through ninth floors

$211 million

Projected construction spending in Southern Arizona

77%

Percentage of trade partners that are from Southern Arizona

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BizBRIEFS

Mary K. Davis Mary K. Davis is the new director of marketing and sales for Old Tucson Company. Davis oversees marketing, brand management, sales and communications for the organization including Old Tucson, its Nightfall brand and building and managing the Arizona Sonora Western Heritage Foundation brand. Her previous positions include director of marketing and business development at Tucson International Airport and director of communications for the Town of Oro Valley.

Biz

Kasey Hill Kasey Hill is the new executive director of Greater Tucson Leadership.

She is a public relations and marketing professional with more than 13 years of experience in journalism and communications. Hill started her career as a newspaper reporter in Danville, Kent., and moved into public relations in 2012 when she became communications director for the Danville-Boyle County Economic Development Partnership. A graduate of Eastern Kentucky University, she joined GTL in July.

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BizTOOLKIT

Understanding Depreciation

Recovering the Cost of Your Business Assets

By David J. Cohen, CPA Depreciation is an often-misunderstood concept, but it can provide valuable tax savings for businesses. Knowing the rules, limitations and key dates can significantly lower one’s tax liability.

Recognizing that the value of an asset usually declines over time, Congress enacted a series of laws that allow a business to recover the cost of an asset over a specified number of years, the length of which varies by asset. Long-lived assets, such as commercial buildings, are depreciable over 39 years. Other asset classes can be depreciated over shorter periods, ranging from three years to 15 years for tangible property and qualified improvements, to 27.5 years for residential real estate buildings.

utilize this special first-year expensing option in a year in which you have a loss or if you are involved with a passive activity such as a rental property or another business investment in which your involvement is minor. The deduction is not lost; instead, it is carried forward to

Section 179 deduction

There are special provisions that allow small businesses to deduct the cost of certain assets such as vehicles, computers, equipment, machinery and furniture in the first year. Commonly known as the Section 179 deduction, taxpayers can elect to deduct up to $500,000 in the first year of use as long as the overall asset acquisitions do not exceed $2 million in a given year. In addition, recent legislation specifies that both the maximum deduction and overall cost thresholds will be indexed for inflation.

The Section 179 deduction also is limited to the taxpayer’s aggregate taxable income derived from the active conduct of a trade or business. In layman’s terms, this means that you cannot www.BizTucson.com

David J. Cohen future years. In addition, Section 179 can be utilized for new or used property and it is not limited by the acquisition date so that a purchase on the last day of the tax year still yields a full-year deduction.

Bonus depreciation

The concept of bonus depreciation was introduced after the Sept. 11, 2001, terrorist attacks in an effort to stimulate business spending. Over the years, it has

generally remained in the law and recent tax legislation maintains the bonus depreciation provisions through 2019.

Bonus depreciation provides a 50-percent, upfront deduction for acquisition of new tangible property. In addition, it can be used without regard to the taxable income limitations applied to the Section 179 provisions so that a business that has a loss can increase the loss by utilizing bonus depreciation.

For many assets, when combined with the standard depreciation regime, bonus depreciation works out to a 60-percent deduction, illustrated as follows: A manufacturing business acquires machinery for $100,000. Bonus depreciation would yield a $60,000 deduction in Year 1, while the remaining $40,000 is depreciated over the remaining five years. The 50-percent bonus depreciation percentage is scheduled to be reduced to 40 percent in 2018 and 30 percent in 2019 before being phased out completely in 2020 unless revived by Congress again.

Under all depreciation provisions, the asset must be “placed in service” to be depreciated. In other words, it must be utilized by the business to trigger any current year deductions. Payment terms are, generally, irrelevant to the timing of depreciation deductions. More specifically, if a business acquired machinery and started using it on Dec. 29, 2016, the tax deduction is available in 2016 even if the payment for the machinery is made in 2017 or later. continued on page 144 >>> Fall 2016 > > > BizTucson 143

continued from page 143 Business vehicles

Autos and trucks used in business activities are subject to a complex but often favorable set of rules. For example, passenger vehicles and light-duty trucks are subject to lower annual depreciation limits regardless of their cost while large trucks and “heavy” SUVs have different and more generous depreciation deductions. Often, the tax deduction depends on the manufacturer’s gross vehicle weight rating with those weighing above 6,000 pounds garnering a certain amount, while other vehicles weighing over 14,000 pounds have a larger depreciation cap. Similar to the provisions noted above, even purchases late in the taxable year can generate a full-year’s deduction.

Vehicles used for business are often subject to abuse and are frequently targeted by the IRS, so businesses should be prepared to document the business versus personal use of all vehicles. In addition, if the business use of a vehicle is less than 50 percent, the depreciation deductions are less favorable.

Tangible property safe harbor election

Another recently enhanced benefit to businesses is the ability to deduct the cost of tangible property using a de minimis safe harbor election. Under this provision, amounts paid for a “unit of property” can be expensed in the year acquired. For most, making the election allows a business to deduct up to $2,500 for each purchase. For example, if a business purchases 30 laptop computers costing $1,500 each, or $45,000 total, the business can deduct the full $45,000 as supplies and still have the full $500,000 allowance under Section 179 as noted above. This expenditure is not reflected on the balance sheet as an asset. Rather, it is expensed in the current year. To take advantage of this special provision, the business not only needs to make the annual election on its tax return, but it must also have a written accounting policy in place that documents this treatment.

For companies whose financial statements are audited, the threshold for similar purchases is increased from $2,500 to $5,000 per item.

In addition, many businesses use different methodology for handling capital assets on their internal and external financial statements. For example, under generally accepted accounting principles (GAAP), depreciation is based on the useful life on the asset. The differences between “book” depreciation and “tax” depreciation are reflected on the tax return as a reconciling item.

The rules involving tax depreciation are complicated and evolving but recent legislation has provided tax-saving opportunities for savvy business owners. One such strategy for building owners is cost segregation studies that accelerate tax depreciation deductions.

Tax law contains numerous exceptions and nuances, so businesses should consult with qualified tax advisers regarding their specific situation to determine if these generally advantageous provisions apply to them.

David J. Cohen is a certified public accountant and president of BeachFleischman CPAs in Tucson and Phoenix.

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Buyor Lease?

BizTOOLKIT

Tax Options for the Company Car

By David J. Cohen, CPA

You’ve read the reviews, shopped online, walked the dealer’s lot, and have chosen the make and model of the vehicle you want. You have even picked out all the options and the color. Then, the finance person at the dealership asks whether you want to lease or buy. Here are some considerations from a tax perspective for vehicles acquired for business purposes.

Buying offers many benefits such as the ability to deduct the cost of the vehicle against your income taxes.

Buying also offers flexibility as there are no mileage limitations that come with leased vehicles. In addition, ownership always provides the ability to sell or trade-in at any time without the restrictions or penalties that often come with leasing.

One decided disadvantage to buying is the higher payments associated with ownership and, more importantly, the sales taxes when you buy − 6.1 percent in state sales tax and 2 percent city sales tax in Tucson. Using a $40,000 vehicle, for example, that’s more $3,200 in sales tax paid on the vehicle at acquisition, whether you keep it for one month, one year or three years.

One the other hand, leasing offers a distinct set of benefits and other considerations. With a lease, one is effectively renting a vehicle for a fixed period of time.

From a tax perspective, you can deduct the full cost of the monthly lease payment that is attributable to business use. With a lease, instead of paying the sales tax at acquisition, one pays sales tax with every monthly payment, thus saving an upfront cost that may never be recovered if you are the type that gets a new vehicle every few years.

With a lease, the residual value is set at the beginning of the lease and is a fixed price at which the vehicle can be acquired at the end of the lease. If you like the vehicle and it is worth more than the residual value, you can simply acquire the vehicle at the end of the lease and pay the associated sales tax on the residual value at that time. continued on page 146 >>> www.BizTucson.com

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BizTOOLKIT

Your business objective will help you determine the best course of action for your specific need. continued from page 145 Conversely, if the market value is lower than the stated residual value, or you simply do not wish to keep the vehicle, you can return the vehicle at the end of the lease and walk away without further obligation. However, there often is a disposition fee and other costs that you might have to bear at lease termination other than normal wear and tear such as dings, dents and low-tread tires.

Additionally, most leases allow for a limited amount of miles during the lease term, often 12,000 to 15,000 per year.

Mileage in excess of these amounts carries an additional fee, so leasing often is not beneficial for those who put a lot of miles on their vehicles.

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Leasing also is a little more complicated, especially for those that have never done it before. Similar to buying a vehicle, leasing terms are negotiable and vary by dealer. One needs to understand the capitalized cost reduction (the down payment), the lease factor (the interest rate), and the residual value, all of which determine the monthly lease payment. In general, the higher the residual value, the lower the lease payment.

With any vehicle acquisition, the warranty, licensing and insurance costs are comparable with a purchase versus a lease, although the lessor may require higher liability and â&#x20AC;&#x153;gapâ&#x20AC;? coverage with a lease.

From a business perspective, despite the complications and limitations of leases, vehicles generally lose value over time, so your money may be better off invested in assets that appreciate in value or those that provide a higher return.

As with all transactions, your business objective will help you determine the best course of action for your specific need, but knowing the advantages, disadvantages and pitfalls will allow you to make an informed decision.

David J. Cohen is a certified public accountant and president of BeachFleischman CPAs in Tucson and Phoenix.

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BizBRIEF

Family Wellness Festival Set for Oct. 16 at The J

The third annual Family Wellness Festival, presented by the Tucson Jewish Community Center and Tucson Medical Center is Sunday, Oct. 16, from noon to 4 p.m. at The J, 3800 E. River Road.

This free interactive event engages families of all ages and backgrounds and is open to the entire community.

The festival’s mission is to educate community members on the importance of wellness in all aspects of life and connect them with local agencies that support healthy lifestyle choices.

A host of child-friendly entertainment and interactive learning oppor-

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tunities are offered, including performances by Stories That Soar, along with appearances and book readings with PBS Kids characters. New this year, TMC’s Germ Squad, in full superhero regalia, will teach kids about becoming germ-fighting superheroes.

The morning of the festival, The J and Skyline Country Club will conduct the first “Itty Bitty Open,” a golf tournament for children ages 3 to 5. It includes a clinic with professionals from Skyline Country Club teaching basic terms and proper etiquette.

This year’s keynote speaker at the festival is Dan Johnson, executive direc-

tor of the Wellness Council of Arizona, which coordinates wellness programs for more than 250,000 Arizona employees. He is a health promotion specialist and originator of “STRIVE” motivational programs.

Additionally there will be a panel of health and wellness specialists from the community. The topic of the panel is “Wellness Through the Lens of Mindfulness, Movement, Nutrition and Pain Management.”

For information about the panel members and the festival in general, visit tucsonjcc.org.

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BizBRIEFS

David Henry David Henry, associate broker with Long Realty, represented both buyer and seller in the recent sale of a multimillion dollar foothills home located at 7300 E. Stone Canyon Drive. The sale closed at $2.8 million, making it the second-highest residential sale in the Tucson market this year. Henry has 40 years of experience as a REALTOR® in Tucson, including developing residential communities in the Catalina Foothills, Oro Valley and Dove Mountain.

Biz

Judy Huch Gov. Doug Ducey appointed audiologist Judy Huch as a commissioner on the Arizona Commission for the Deaf and the Hard of Hearing board. She will provide expertise to ensure the interests of deaf and hard of hearing individuals in Arizona are met. She’ll also advocate for them to provide access to the best services across the state. She works at her own businesses – Oro Valley Audiology and Tanque Verde Audiology.

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2017 Volvo S90 Unveils Sept. 17 at La Encantada Volvo Cars Tucson will unveil at its new flagship sedan – the S90 – on Sept.

17 at La Encantada on the valet circle on the upper level. The free open-tothe-public party features music, food, chats with experts – even test drives of the S90.

The S90 features the second- generation Pilot Assist technology. This is the only vehicle in the United States with semi-autonomous driving technology as a standard feature. The car will assist steering, acceleration and deceleration as well as braking up to 80 mph on command.

In addition to Pilot Assist, the 2017 S90 comes with adaptive cruise control, automatic emergency braking, forward collision warning, blind-spot warning, pedestrian detection, lane- keeping assist and large animal detection.

Motor Trend magazine said the 390 “Balances agility with comfort and refinement, making it a great all-around midsize luxury sedan.” The S90 offers displays premium comfort and an engaging on-road experience.

Volvo Cars Tucson is one of two auto dealerships owned by the DiChristofano family. The family has been in the automotive sales and service business in Tucson since 1972 when Rocky and Mike’s father Frank moved to Tucson to open Wigglesworth Volvo.

For more information regarding Volvo Cars Tucson’s S90 Unveiling Event at La Encantada, located at 2905 E. Skyline Drive, contact Tonya Pike at (520) 296-7678.

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PHOTO: BRENT G. MATHIS

BizMILESTONE

Clockwise from left – Megan Miller, VP & General Counsel, Long Companies; John Mijac, Designated Broker, Long Realty Company; Rosey Koberlein, CEO, Long Companies; Tony Finley, CFO, Long Companies; Debbie Goodman, Executive VP, Long Realty Company; Kevin Kaplan, VP Marketing & Technology, Long Companies; Reneé Gonzales, Executive VP, Core Services, & President, Long Title Agency 150 BizTucson

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90

‘90 Years Strong’

Long Realty Closing in on Century in Business

By David Pittman Nearly a century ago, Roy H. Long saw the potential of real estate in the dry, warm, southwestern climate of Southern Arizona and in 1926 he started a realty company from his Tucson home.

He built Long Realty Company into one of the top real estate firms in Tucson. Today it is unquestionably the No. 1 residential real estate operation in Southern Arizona as it reaches the milestone of 90 years in business in impressive fashion. According to the Tucson Association of Realtors Multiple Listing Service, 32.3 percent of all Tucson homes sold last year were credited to Long Realty. The second-rated company sold 13.8 percent.

To help celebrate the anniversary, Long Realty president and CEO Rosey Koberlein asked the professionals who make up the firm’s team of sales associates the following question: “What makes Long Realty 90 years strong?”

She received nearly 500 replies.

“There was consensus,” said Koberlein. “Our strength comes from dedication, passion and a drive for excellence by every person in the organization.

Most 90-year-olds show their age, but

Long Realty is just getting started and we’re looking ahead to another 90 years and beyond.”

Long agents and the company’s management team said the company has achieved phenomenal success because of brand recognition and reputation; its commitment to quality service; its support of the community; its strong leadership that has established a culture of partnership and camaraderie; its training and education programs; its willingness to innovate and invest in technology; and its offering of a one-stop, full-service real estate experience.

Roy Long’s original motto was “take care of your customers and the business will take care of you.” Today’s Long Realty mission is “to create an exceptional real estate experience that builds longlasting relationships.”

Ownership of Long Realty has gone through several incarnations over time.

Roy Long retired in 1952 and his son, Barry, took over the business, growing the company into eight different branches with multiple services.

In 1980, Long Realty expanded ownership. Barry Long retired and turned the company over to his sons, Roy II,

From left - Sam Woods and Barry Long in front of the office at 1826 E. 6th St.

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Russell and Steve, as well as the new president, Robert Piersol. Shortly thereafter Lex Sears also became a part-owner.

“When my grandfather started Roy H. Long Realty Company in 1926, he never would have imagined it would survive innumerable world events to become Tucson’s leading real estate company in 2016,” said Russell Long, who is still with the company as a sales associate. “I am as proud of the company today as Roy and my father Barry would be.”

In 1984, Steve Quinlan became partowner of Long Realty, a move that eventually would lead to him becoming the sole owner, president and CEO in 1998.

Long Realty extended services into Green Valley and Sierra Vista in 1995, and in 1997 it launched a new website, which has grown to become one of the leading real estate company websites in Arizona. LongRealty.com received more than 3.8 million visits last year.

Quinlan promoted Koberlein, a former agent and branch manager of the firm, to GM in 1998, a year before the continued on page 152 >>>

Original office from 1926 to 1940 on 1817 E. 5th St. Photos courtesy of Long Realty

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BizMILESTONE continued from page 151 company was purchased by HomeServices of America, the second largest residential real estate brokerage in the nation. HomeServices is an affiliate of Berkshire Hathaway, a multinational holding company headquartered in Omaha, whose chairman, president and CEO is Warren Buffett, widely considered the most successful investor in history.

Koberlein said the alignment with HomeServices has provided Long Realty “with the best of both worlds.” She said Long Realty has continued to run its own affairs from Tucson, while gaining extraordinary resources and a national and global presence.

HomeServices of America has a network of more than 70,000 agents nationwide. Long Realty also is a member of Leading Real Estate Companies of the World, an invitation-only network of more than 500 independent brokerages in more than 50 countries representing more than 120,000 sales associates.

Long Realty expanded its core services in 2000 by developing Long Mortgage Co., Long Title Insurance and the Long Insurance Group, to give home-

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buyers and sellers a sought-after, onestop shop for real estate transactions.

“No other brokerage in Southern Arizona comes close to offering the quality full-service experience that Long Realty does,” Koberlein said.

Continuing with its evolution, in 2001, Long Realty purchased the residential division of Tucson Realty & Trust, which had been the company’s biggest competitor.

Three years later, Koberlein was promoted to president and CEO as Quinlan became chairman of the board, a position he still holds.

In Koberlein’s first two years at the helm of Long Realty she could do no wrong as a decade-long real estate boom continued on an unprecedented record-breaking run. In 2005, Long Realty surpassed $5 billion in annual sales volume, still an all-time market high in Southern Arizona.

But in 2006, the real estate bubble burst, setting off a prolonged market downturn that didn’t begin recovering until September 2011. Through it all, Koberlein and Long Realty accomplished something remarkable: turning profits, albeit small ones, every year of

the Great Recession.

Koberlein said Long Realty has remained independent, autonomous and in control of its “day-to day destiny” because it has always achieved its financial goals and delivered “what we say we’re going to deliver.”

In 2009, Long Realty expanded its footprint into Phoenix and Mexico by adding multiple franchised locations.

Today, Long Realty has more than 1,200 licensed real estate sales associates in more than 38 offices, including 23 affiliate and property management companies.

In the 90 years Long Realty has been in business, the real estate industry has undergone constant change. During that time Long Realty has been growing, expanding and embracing new technology.

“We are always evolving and changing by trying to identify what consumers need and how we can provide them with a more positive experience,” said Kevin Kaplan, Long’s VP of marketing and technology. “If you are content with the status quo you may be moving backward because everything is changing around you.”

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BizBRIEF

CliftonLarsonAllen Moves to Williams Centre CliftonLarsonAllen recently relocated its offices to the Williams Centre at 5255 E. Williams Circle, Suite 5000.

With more than 15,000 square feet, the new space will allow for CLA’s continued growth in Tucson. CLA now has more than 70 professionals in Tucson to serve its clients throughout Southern Arizona.

“This new space is focused on collaboration and innovation for our people and for our clients,” said Jay Buck,

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CLA’s managing principal of the Tucson office. “We want to build value and create success for our clients and will be better able to do this in our new space.”

CLA is a professional services firm delivering integrated wealth advisory, outsourcing and public accounting capabilities. “Clients want to be confident that when they need help – personally or professionally, today or in the future – CLA will bring relevant experience,” Buck said, serving them from startup to

succession and beyond.

CLA’s professionals are immersed in the industries they serve and have specialized knowledge of their operating and regulatory environments. With more than 4,500 people, nearly 100 U.S. locations and a global affiliation, CLA brings a wide array of solutions to help clients in all markets, foreign and domestic.

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BizENTREPRENEUR

Passionate Visionary Entrepreneur

By Jay Gonzales

As a newcomer in a foreign land, Cecilia Mata didn’t have much to work with other than the support of her family, her desire to succeed, and her belief that she could become a successful businesswoman.

The native of Panama moved to Sierra Vista as a military spouse whose husband was stationed at Fort Huachuca.

She found herself in unfamiliar territory both geographically and culturally.

She had left behind a corporate career in Panama and now was a foreigner in the United States without a job.

What to do?

“I came with the vision to start a business − but I didn’t know what it would be,” Mata said of her relocation to the U.S. in 2000. “I had to learn the culture, practice humility, listen wisely, and learn and absorb everything I could from American business practices to human behavior.”

If that’s the formula for business success, Mata would do well to bottle it and sell it as she has founded two companies and purchased another. The two she started are in the highly competitive, male-dominated defense industry and security services sector, and she purchased an engineering and manufacturing design company specializing in unmanned aerial systems. Now, rather than market her expertise, she has chosen to share it by mentoring aspiring businesses in Tucson and Southern Arizona.

“She is a symbol of hard work and motivation,” said Lea Marquez Peter154 BizTucson

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son, president and CEO of the Tucson Hispanic Chamber of Commerce where Mata currently serves as board chair. “She is constantly striving to help fellow business owners while expanding her own business. She’s is remarkable.”

The road was difficult but amazingly short for someone with little to no background in the businesses she started and purchased and no contacts in this country other than her family. Born and educated in Panama – she holds bachelor’s and master’s degrees in business administration − her first job in the U.S. was as a program coordinator at UA South, the University of Arizona’s branch campus in Sierra Vista. From there she took a job at Cochise County Workforce Development.

“Those experiences prepared the path that I followed to open my first business in the United States,” Mata said. “When I looked around, I thought, ‘Who is the major employer here?’ Of course, it was Fort Huachuca and the large, established defense corporations Raytheon, Northrop Grumman, General Dynamics, Lockheed Martin and others.

“I did my homework and I found my niche as a small, minority and womanowned business. It was not long after that I resigned from my job and started my own business from scratch.”

It was in 2005 that Mata formed her first company − AllSource Global Management − entering the realm of government contracts in the emerging industry to fight the global war

on terrorism.

“I knew I had to have a business plan and I had to know where the money was going to come from,” Mata said.

“I opened my doors without having any contracts and with no income stream.

I implemented a 401(k) plan, a healthcare plan, set up payroll, and developed an employee handbook. When the first employee came through the door, I wanted him or her to feel he or she was joining a company that had all the benefits.”

AGM started with two employees and has averaged about 300 employees over the last five years, with past and current operations in Arizona, Alabama, Florida, Georgia, Kentucky, Nebraska and Texas.

Mata went on to establish a joint venture in 2010 − Global Eagle Security − which provides security personnel and systems for government and private industry. This year, Mata purchased BrockTek, which designs and manufactures aerial and ground vehicles for military and defense applications.

When she formed AGM, Mata said she was well aware that she was entering a male-dominated industry with little background, and that getting government contracts was highly competitive and full of nooks and crannies in the rules and regulations that can make it tough to land contracts. Yet she said the environment in Sierra Vista was conducive to small business at the time − which gave her confidence she was continued on page 156 >>> www.BizTucson.com

WOMEN WHO LEAD

Cecilia Mata

PHOTO: CHRIS MOONEY

Founder & Owner AllSource Global Management

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BizENTREPRENEUR continued from page 154 headed in the right direction with her business plan.

“I believed in what I was doing,” she said. “I wanted to be successful and was willing to work hard to make it happen.

In the beginning, I was unknown and lacked credibility within the defense industry. Over time, I established myself within the community, built up my professional credibility by providing excellent services, and began to grow my business in line with my vision.”

In addition to being the visionary and overseer of three companies, Mata also takes the time to pass on her experience, wisdom and vision to up-andcoming businesses through the Tucson Hispanic Chamber of Commerce by developing and managing a series of seminars for small businesses and individuals on how to procure government contracts.

She was named the 2013 Hispanic Chamber Business Woman of the Year, the 2016 Minority-Owned Small Business Champion of the Year by the Arizona Small Business Association, and this summer, an outstanding Latina entrepreneur by Cox Communications.

“Our board identified Cecilia as someone with great leadership skills that we wanted to engage within our chamber,” Peterson said. “She relayed to our staff her passion around procurement and helping other women-owned and minority-owned businesses tackle the complex process of government contracts. We designed a series of procurement workshops for our members facilitated by Cecilia right away.”

With all of that going on, Mata, now a single mom, also managed to raise a daughter who may well be following in her footsteps. Her daughter will graduate from the University of Arizona Eller College of Management as an accounting major with a minor in global entrepreneurship.

“I told my daughter to do what she’s inspired to do. Follow your intuition,” Mata said. “She said to me, ‘I want to see the world and gain experience in international business.’ My daughter is bright, articulate and knows what she wants to do. I have taught her a great deal about business and provided her with the tools she needs to develop and fulfill her dreams. She now knows how to fish. I can’t wait to see what she catches.”

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BizFURNISHINGS

Eclectic Mix of Interiors

By Valerie Vinyard Even after 37 years in business, Contents Interiors looks like a brand new 10,000-square-foot dream home.

Located in the Fort Lowell Furniture District, Contents Interiors’ expansive showroom beckons shoppers interested in remodeling or furnishing their home.

Whether someone is looking for that perfect sofa or hoping to find a painting from a local artist, Contents can deliver.

“We consider ourselves one of the last fine furniture stores in Tucson,” said co-owner Carol Bell, who describes Contents’ furniture as an “eclectic mix of contemporary Southwest and Tucson traditional.”

“We’re not Queen Anne traditional – we’re more cowboy traditional,” agreed co-owner Tamara Scott-Anderson.

The owners’ latest endeavor – supplementing their collection with furniture and other products from Italy – will further set their store apart from competitors and add to Contents’ elegance.

Bell and Scott-Anderson, along with their husbands, traveled in April to Italy for the weeklong Salone Internazionale del Mobile or Milan Furniture Fair.

There the women met with manufacturers and ordered a variety of pieces for Contents – including furniture, lighting, wall treatments and flooring.

Bell, who serves as the store’s official buyer, said the purpose of attending the Milan fair was to “step it up” and bring in Italian products that fit the store.

Scott-Anderson’s role is Contents’ lead designer and sales manager. Ten other employees fill out the Contents team.

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scour antique markets for a one-of-akind piece.

In October, to show off their new wares, the owners plan to unveil a fully decorated mini Milanese “apartment” furnished with Italian pieces.

This new display will only add to Contents’ flair, since the store already sells pieces that impress. One example – Contents works with second-generation mesquite furniture makers who use the hard wood to create spectacular, unique pieces with lots of character.

Both Contents owners are University of Arizona graduates – Bell in fashion merchandising and Scott-Anderson in art education. They laughingly call themselves late bloomers because of their later start as entrepreneurs. The two bought Contents at the end of 2001 after working there eight and 10 years, respectively. Scott-Anderson first worked for the company nearly 30 years ago.

Contents’ original owners, who started the business in 1979, took Bell to lunch in 2001 to tell her they were retiring and to gauge her interest in the business.

“It was shocking, but it came together really fast,” said Bell, adding that she and Scott-Anderson were very naïve at first.

The two added the word “Interiors” to the store’s name, because they wanted to expand beyond furniture.

“We decide to take Contents to the next step,” Scott-Anderson said. “We wanted to become a full-service design firm. With furniture, you’re pretty much just doing the decorating. Now, we can work new construction and remodels. We can do contracting work.”

One of the six designers that Contents employs will work with customers to design a room or entire home. The designer will visit the site and ask questions about their budget, style, goals and what they want the space to “do.”

For about eight years, Deborah Ayres has been shopping at Contents and using its designers. Over the years, the store has helped Ayres furnish two homes.

“We really connected with the furniture they have here,” said Ayres, who works from her Northeast side home for Pima Medical Institute. “Our tastes lean toward contemporary.”

When Contents designer Sara Smith visited the Ayres’ home, she offered valuable suggestions. “Sara helped pull it together,” Ayres said. “It wasn’t something I could pull together by myself.

She makes good decision sense – and she keeps us from running off the rails.”

Both Ayres and her husband, Doug, work from home, so “it was important that my husband and I each had our own work space.”

Ayres said that Smith also envisioned a small conversation space in their home. Among other details, Smith placed a comfortable chair in the spot where Ayres could sit and look at their outdoor fountain and observe the many birds that visit.

That’s the value in hiring a designer, Scott-Anderson said. “Their knowledge in space planning and creative problem solving for lifestyle issues makes a big difference compared to somebody who’s selling a sofa,” she said. “We help people put plans together.”

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WOMEN WHO LEAD

PHOTO: AMY HASKELL

From left

Tamara Scott-Anderson Carol Bell

Co-Owners Contents Interiors

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BizFURNISHINGS continued from page 158 sign seminar, once or twice yearly local art shows and parties, and is dog friendly. In fact, Freeway, an 8-pound white ball of fluff owned by Scott-Anderson, sometimes can be found lounging on various pieces of furniture.

Contents is one of the few furniture stores in Tucson that is female-owned and not affiliated with a franchise or chain.

Since the Great Recession, the two dozen furniture and interior-design outlets along the Fort Lowell Furniture District – the stretch of East Fort Lowell Road from about North Tucson Boulevard to a little past North Dodge Boulevard – have been whittled down to a handful.

The owners of Contents attribute two main reasons for surviving the recession: They had paid off debt and their landlords worked with them.

“Furniture is tied to the real estate market,” Bell said. “(The recession) had a huge impact on the furniture business.”

Bell believes another thing saved them – their membership in the nationwide Contemporary Design Group.

“The group helped us with tips on how to hunker down,” she said. “There were 25 really brilliant people in the room helping each other with ideas.”

Contents also is a member of the national furniture organization, Sustainable Furniture Council, and works to provide home furnishings from suppliers that use sustainable business practices and materials in the manufacture of their products.

Another plus of brick-and-mortar stores – beyond the vast eclectic mix of offerings on display and the designers on staff – lies in the higher-quality experience for customers. At a furniture store, people don’t have to wonder if the website shows the true color of something, or if the piece is going to fit correctly. In addition, Scott-Anderson noted, the customer service and followup of the Contents’ staff are unparalleled.

Bell said the benefits of visiting a showroom far outweigh the convenience of finding a piece online. She said when buying furniture, it’s important to fully experience it. Sit on it, feel it and examine it.

“How could you possibly buy it online?” Bell said.

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BizHEALTHCARE

Focus on Continuous Improvement

By Mary Minor Davis After three years of living on the road as a national healthcare consultant, Paula Register is ready to plant her roots on firmer ground in Tucson. The new CEO at Tucson Orthopaedic Institute recently got a dog. She’s planted flowers. She cooks at home more.

The North Carolina native first came to Tucson in 2010, working two years at Carondelet Health Network before her consulting job took her back on the road. Now engaged to local cardiac anesthesiologist Michael Hecht, she said she’s ready to settle down.

“Settle” isn’t a word that would normally describe Register. Look at her resume and it is easy to see why she was included in Becker’s 2011 list of Most Influential Women to Know in Healthcare. She’s held senior leadership and executive positions for most of her career. A licensed CPA, she has worked as a senior accountant and CFO for two North Carolina school districts and participated in several mergers throughout her career. In healthcare her roles include CFO and CEO for multi-specialty physician groups and CEO for a Management Services Organization, doubling its size during her tenure. She came to TOI in April of 2015.

“The opportunity at Tucson Orthopaedic came at a perfect time,” Register said. “For most of my career in healthcare I worked with supervising multi-specialty areas. This was an opportunity to focus my time and talent on one area.”

For the previous three years, Register’s consulting career took her to Oahu frequently. “I had the greatest experience working in Hawaii,” she said.

“The spirit of the people, the kindness they demonstrate – it’s a good lesson for those of us who work in healthcare.

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‘Aloha.’ ” She’s incorporated her experience in Hawaii into the TOI philosophy – adopting “kina’ole” – the Hawaiian word for flawlessness.

“It means doing the right thing, in the right way, at the right time, in the right place, to the right person, for the right reason, with the right feeling the first time,” she said. “It embodies the whole patient experience – making them feel welcome, making them feel comfortable, being respectful of their time and hearing everything they have to say. It’s all important.”

This philosophy is what drives Register, who takes her responsibility to run a $50 million business very seriously.

“My job is to provide a good, strong business structure and clinical infrastructure to support the clinical practices, which allow (the physicians) to do what they do best. I call it the triple lane – we’re here to provide better patient experience, better patient outcomes, at a more efficient cost. It’s what we all want.”

To achieve this, Register established a culture focused on continuous improvement. “We want to make sure we get better every day.”

To this end, Register said she asks a lot of questions – especially “why?” – with respect to processes, procedures and programs that serve as patient touch points. “Why do we do it this way?” And the next questions are “How should we be doing it? Can we do it differently and achieve a better outcome?”

“We’re always going to make mistakes – it’s human nature,” she said.

“But it’s how we react to that mistake that I think is important. Patients need to know that when things go wrong, we analyze what happened and what we are going to do differently so that it

doesn’t happen again.”

Register said she doesn’t look to adopt change for the mere sake of change, but recognizes that there are some things that don’t need to be handled the way they were in the past because of changes in technology, information systems and other patient interactions.

One of the most noticeable examples of this is the renovated lobby space at the Grant Road location, shared in the central tower with Tucson Medical Center. Previously, check-in for TOI was behind the TMC reception area in a small office. “There were lines out the door,” she said. “When you’re in pain, the last thing you want to see is a waiting line.”

TOI re-engineered the waiting area, moving from the TMC reception area to a more open area at the west end of the tower. In addition, multiple checkin stations were added. “It opened up our availability to patients,” she said.

“It’s a much better environment for our staff and our patients.”

Locating services nearer to patients is also part of Register’s strategy. There are currently four TOI clinics in greater Tucson. In the next 18 months, the TOI located on the Oro Valley Hospital campus will complete an expansion, and TOI’s newest satellite office will open next year as part of the new TMC Rincon Health Campus on the southside.

“I have this philosophy that I heard early in my career – people don’t care how much you know, until they know how much you care,” she said. “I think if people know we care, that’s what’s important. I try to show people how much I care – the team, our culture, our patients – and I hope our business owners know how much I care about how I run their business.”

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WOMEN WHO LEAD

Paula Register

CEO Tucson Orthopaedic Institute

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BizCOMMUNITY

Tailor-Made CEO

By Valerie Vinyard As an 18-year board member for the Boys and Girls Clubs of Tucson, Debbie Wagner seemed tailor-made to be the organization’s newest CEO. Yet surprisingly, Wagner said that her appointment actually wasn’t a given.

“I put my hat in,” she said. “It was really competitive. There was a twomonth interview process.”

When she found out in December that she earned the position, she was ecstatic.

“The Clubs are very fortunate to have Debbie Wagner leading the charge,” said Mark Irvin of Mark Irvin Commercial Real Estate Services and fellow board member. “So, too, is our board.

Debbie understands the board, and more importantly, she knows the kids.

Her business background and marketing prowess are already paying dividends for us. She was a great choice.”

Wagner started in January, supervising 53 employees who collectively serve more than 5,000 kids every month at the six clubs throughout Tucson.

“We’re located in Tucson’s most at-risk neighborhoods,” she said. “We have programs that teach them how to be good citizens. We give them structure.”

Some of those “top-notch” programs include Smart Moves, which offers homework help, and arts and crafts classes taught by the Drawing Studio.

Wagner said that each clubhouse features a computer lab and a gymnasium. The organization partners with the Community Food Bank to provide lunches in the summer and dinners during the school year.

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All of those services cost a mere $10 per child for the entire school year and $20 for the summer session. The clubs rely mainly on donors, partnerships and grants for funding.

“We don’t turn anyone away,” said Wagner, noting that sometimes even $10 is too much for some families. “We help not only the kids, but we help the families and the communities. We’re a safe place for kids to go.”

Laurie Wetterschneider, owner of Laurie and Lisa Designs, has known Wagner for close to three decades. She also has been a fellow board member of the Boys and Girls Clubs of Tucson for 25 years.

When Wetterschneider heard that the organization was looking for a new CEO, she immediately thought of Wagner. “Debbie is an amazing person who has been an integral part of the Tucson community for many years,” Wetterschneider said. “She is a leader and an amazingly smart, creative, outof-the-box thinker. Our Boys and Girls Clubs are so fortunate that she is now our CEO.” Wagner is proud that the clubs continue to grow. This year they expanded the summer programs, increasing the duration of the programs from four weeks to six weeks and remaining open an additional four hours – from 9 a.m. to 5 p.m. weekdays.

“We have a really great strategy this year,” Wagner said. “We’re more organized. We’ve reorganized how we do our events.”

One of the reorganizations involved

eliminating an event called The Party, which had been held in November at Kino Sports Park. “It was a great event, but there were a lot of costs involved,” Wagner said. “We wanted to put those resources toward developing new partnerships, new donors and more grants.”

The Boys and Girls Club still hosts two big fundraisers – The Event at La Encantada in April and the upcoming Steak and Burger Dinner at 5 p.m. Oct. 2 at Casino del Sol. This signature event will be celebrating its 25th year and will honor 12 Youth of the Year – two from each Tucson club.

Serving as CEO of Boys and Girls Clubs of Tucson is far removed from Wagner’s initial career path. Born in Long Island, New York, Wagner lived in Cleveland until she enrolled at the University of Arizona. She earned a degree in radio and television, which resulted in a 33-year career in the broadcast business, including stints with Clear Channel and iHeartRadio as market president.

Her desire to be on a community board led her to the Boys and Girls Club of Tucson, when board member and advertising exec Georgia Lacy nominated Wagner to serve on the board in 1991. She served until 2008 when she moved to San Diego for a few years, where she remained active with youth organizations before returning to Tucson.

“It’s beautiful,” Wagner said. “I have deep roots here. It’s an easy place to live – and it’s a great place to come back to.”

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Debbie Wagner

PHOTO: AMY HASKELL

CEO Boys and Girls Clubs of Tucson

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BizNONPROFIT

Dynamic Enterprises

SVP Tucson Transforms Nonprofits Since its founding, SVP Tucson has supported 24 organizations with a financial investment of more than $600,000 – funds amplified by more than $1 million in donated time by its partners.

“What makes SVP Tucson so successful is the combination of financial and human capital that brings a broad variety of high-level skills to local nonprofits,” said SVP Tucson Executive Director Ciara Garcia.

This SVP incubator model is part of a 40-city international network that builds capacity, broadens networking and educates selected local nonprofits, while tapping into community leadership talent for mentoring and partnerships. SVP Tucson was founded in 2006 by Helaine Levy, director of Diamond Family Philanthropies, and Steve Alley, who was CEO of the Community Foundation for Southern Arizona at the time.

There are now 80 SVP Tucson partners who are using a thoughtfully designed, collaborative approach to help transform nonprofits into dynamic enterprises.

SVP Tucson works through two fully integrated signature programs. The first is an investee grants strategy that provides multiple years of operating capital combined with leadership support. Nine Tucson nonprofits have been funded since 2006.

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and passion. Last year the program exceeded all goals set by its SVP Tucson partners, attracting applications from 57 nonprofits, with 15 accepted into the Fast Pitch training program and seven advancing as finalist-presenters at a sold-out event that attracted 500 local leaders and raised more than $108,000 for the nonprofits.

“

What makes SVP Tucson so successful is the combination of financial and human capital that brings a broad variety of high-level skills to local nonprofits.

– Ciara Garcia Executive Director SVP Tucson

”

The 2016 Fast Pitch experience at the Leo Rich Theater on Nov. 10 aims to harness the enthusiasm of impact investors. “Our partners want to share their entrepreneurial roots and invest in what they’re passionate about as well as in what makes a difference. Fast Pitch helps them make that connection,” Garcia said.

The nonprofit finalists who take the stage will be fresh from an invigorating summer training process. Aimed at

boosting the nonprofit’s strategic messaging skills, the summer pitch-building and practice sessions were led by Tucson creative director and storyteller-consultant Ashley Bright. Key in the process was pairing the nonprofits with mentors – philanthropic leaders and business entrepreneurs who make a direct personal investment and stay engaged with their partner nonprofit throughout the training and beyond.

More than 30 mentors were recruited for this year’s Fast Pitch cycle. Garcia said, “The one-to-one mentoring benefits both the business professional and the nonprofit. This was so successful last year that the relationships have continued.”

In addition to entertaining storytelling, the November Fast Pitch event is an important business and community call to action. Ron Garan will be this year’s Fast Pitch keynote speaker. The former astronaut and social entrepreneur will share stories and imagery from his six months in space and discuss how to incorporate an orbital perspective in business and personal life, Garcia said.

For the nonprofits involved in Fast Pitch, the experience leads to deeper dialogue about mission as well as brandbuilding, enhanced networking and increased funding.

Liz Baker presented the winning pitch last year. She is director of the Southern Arizona Research, Science, Engineering Foundation, known as SARSEF. The organization fosters K-12 inquiry-based learning and research and was a 2015 continued on page 168 >>> www.BizTucson.com

PHOTOS: COURTESY SOCIAL VENTURE PARTNERS TUCSON

By Monica Surfaro Spigelman

10 Ways To Improve Your Pitch

By Monica Surfaro Spigelman

A brief, smart, memorable and persuasive message. That’s what it takes to close a deal or sell a product. Pitching is a fact of business life. And businesses – including nonprofits – need to know how to make the messages count.

Ten rock-star presenters for SVP Tucson culled their Fast Pitch metrics to create a Top 10 list of effective pitching techniques. Use these tips to model well-expressed and powerful business pitches: 1. Persuade To captivate your audience with your message you need to tell your story swiftly…adding energy ….ending strong. Practice, practice, practice to articulate your message with strength and irresistible persuasion. – Ciara Garcia, Executive Director, SVP Tucson 2. Be Authentic Passion and vision will set you apart from the competition. What’s your magic? Be genuine, vulnerable and find a story that touches the heart.

– Liz Baker, SARSEF Director of Research and 2015 Fast Pitch Finalist 3. Know Why An organization needs clarity, yes, but more importantly it needs to let people know “why” they should care. Getting to the core of this is key. People need the “why should I care story” so they can understand the needs a business or nonprofit fulfills. – Leslie Perls, Partner/Creative Director at LP&G Marketing, SVP Partner and Fast Pitch Marketing Chair 4. Drive Home Data Being able to effectively communicate your organization’s story is a requisite capacity for any business.

Given the emergence of impactfocused investing, it’s increasingly important to be able to weave supporting data into your story to make the connection between your mission and the benefit to the community. – Chris Elsner, SVP Associate Partner and Fast Pitch Mentor 5. Connect What people connect to and remember is your story. They may want to know the facts and figures, but what moves them to action is the emotional appeal of a personal story about how someone’s life was changed. – Cindy Godwin, Fast Pitch Mentor 6. Be Mindful of Mentoring Having a mentor is like putting up

the bumpers in the bowling lane.

You still must develop the skills, but your path is a lot more direct. – Christina Rossetti, SVP Partner 7. Tell the Story Telling an organization’s story in a relevant, targeted and compelling manner takes practice and focus.

The expanded value is that storytelling could and should be used to inspire and engage employees as much as external audiences. – Janet Mordecai, Senior Manager, Marketing Communications at Ventana Medical Systems and Fast Pitch Mentor 8. Make the Case The ability to make a powerful, compelling case (that includes competitive advantage, strong financials and selling your team) is the starting point for almost every successful venture. Acknowledge your market and differentiate why you are unique. – Tim Schottman, CEO, Social Venture Partners Network Office 9. Don’t Lecture To create interest, you must engage and listen. Ask the right questions and be prepared to answer more.

Make people care. In today’s climate, businesses need to be able to clearly and succinctly state their value proposition through facts and stories. In a short amount of time you need to communicate your core purpose or reason for being, why it is important and will drive me to action. – Hank Walker, Business Consultant and SVP Partner 10. Take Risks Businesses sometimes run away from risk and when in doubt, play it safe. Standing in a spotlight, willing an audience to connect to your story is the ultimate in vulnerability and forces an organization to run toward risk. Succeed or fail, there is growth and opportunity in the process! – Cristie Street, CEO of Nextrio and Fast Pitch Sponsor Fall 2016 > > > BizTucson 167

BizNONPROFIT continued from page 166 Fast Pitch’s Judges Award. Baker said the Fast Pitch training helps a nonprofit rethink its core message and establish a common language with its stakeholders and the general community.

“The Fast Pitch process forces you to start with a blank slate,” Baker said. She was surprised by one mentor’s feedback regarding a statistic her organization had used for years and was inspired to change SARSEF messaging. “You realize just how much nonprofits talk ‘at’ their stakeholders, rather than creating a dialogue,” said Baker, who indicates Fast Pitch still influences SARSEF’s evolving message.

Fast Pitch helps nonprofits dream big and feel less marginalized. That was the case for Teen Outreach Pregnancy Services and its Development Director Debbie Allen, a 2015 Fast Pitch Audience Choice winner: “My nonprofit works to empower and educate pregnant and parenting teens, and I thought that telling the story would be met with more of a ‘so they made their bed’ type of attitude,” Allen said. “I found out through the process, that by sharing a story that brings the audience in, you can connect and move attitudes.”

One inspiring outgrowth of Fast Pitch is more community support for nonprofit causes. Increased volunteerism was the result for Amistad y Salud, which runs no-cost community health services for low-income, underserved people. It won several Fast Pitch awards last year. “Clínica Amistad just moved into a new building prior to the Fast Pitch event,” said Patricia Ferrer, a board-certified physician assistant and Amistad volunteer who presented at Fast Pitch. “Our exposure gained our clinic recognition and inquiries from other local medical providers and support staff who desired to volunteer.”

Collaborations with other nonprofits also emerged. Since last year’s event, “we are more aware of other charities working equally as hard for the betterment of the citizens of our community and how it all ties us together,” Ferrer said, adding that Amistad has directly collaborated with local literacy and scholar financial assistance organizations since last year’s event.

Fast Pitch also led to for-profit success for Ferrer. In 2015, she opened a company that designed and developed a ‘palmless’ sun protective glove to protect the back of the hands from chronic sun damage. She used her Fast Pitch skills to pitch her product. “One year out from starting PalmFree SunWear, we are now profitable and all profits are directed to the Mexican charity I volunteer for in Chiapas.”

Good ideas will succeed with the right knowledge, expertise and opportunity, said Garcia. SVP Tucson uses its activist philanthropy strategy to build its own innovative capacity, and is in a constant state of inquiry. “We’re already looking for what’s next for our partners, for what business can offer, and what the nonprofit community needs,” she said.

The SVP architecture gives nonprofits access to financial capital, business tools and visionary branding, Garcia said.

And more partners looking to be part of a positive community mechanism are joining in the process. “This is bringing resources together. This is what drives success. This is how the future of philanthropy will have an impact.”

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“

I want the people of Oro Valley, regardless of age, to feel like Oro Valley was specifically designed for them.

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Dr. Satish Hiremath Mayor, Oro Valley

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BizCOMMUNITY

A Vibrant, Total Community

Oro Valley Sheds Retirement Image with Something for Everyone

PHOTO: BRENT G. MATHIS

By David Pittman

www.BizTucson.com

Oro Valley rightfully boasts of its beautiful desert and mountain views, excellent public and private schools, pothole-free roads, well-landscaped subdivisions filled with high-end residential properties − and a reputation as one of the safest communities in America.

Yet the town’s mayor, Dr. Satish Hiremath, believes the town can do better – much better. He envisions an idyllic community where people can reach their potential, fulfill dreams and develop fond, lifelong memories.

“Most municipalities want to provide services to everyone. That’s our baseline. We try to exceed that,” Hiremath said. “It’s not just about service. It’s also about how does our town affect residents positively? I want the people of Oro Valley, regardless of age, to feel a sense of involvement. I want them to feel like Oro Valley was specifically designed for them.”

Hiremath, 53, acknowledges his vision, which he plans to speak about in depth during his upcoming State of the Town Address – his seventh − is more philosophical than his past State of the Town topics. He said the subject is reflective of his own childhood memories of growing up in Kalamazoo, Mich., as one of four children of immigrant parents from South India.

“When I was a kid, we never locked our doors at night,” Hiremath said. “If neighbors got sick, other parents would cook meals for them and kids would mow grass, rake leaves and shovel snow

for them because we knew if the situation were reversed they’d do the same for our families.

“We knew all our neighbors down both sides of our street,” he continued.

“Nowadays people are hard pressed to know even their immediate neighbors.”

A dentist trained at the University of Michigan and Howard University in Washington, D.C., Hiremath’s vision of exemplary service is also derived from his private-sector business experience.

“When people visit my dental practice, they expect to receive dentistry. But what are you going to do beyond that to change their attitude about coming into your office?” he said. “My mandate is to make people leave a better person after having met us. You do that by treating them exceptionally well, by being sickeningly polite, by smiling, by treating them with respect and by providing exceptional services.”

‘The demographic has completely changed’

At the time Oro Valley was incorporated in 1974, community leaders were content being a suburb of Tucson and dreamed of becoming the largest retirement municipality in the nation.

When Hiremath arrived in Oro Valley in 1990, there were about 5,000 residents. Today, the population exceeds 43,000. He said residents want to live where they can work, educate their children, shop, dine, receive healthcare and, yes, retire, without leaving the town limcontinued on page 176 >>> Fall 2016

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BizCOMMUNITY continued from page 175 its. Where the population of Oro Valley was once 85 percent retired, now only 25 percent are retired.

“The demographic has completely changed,” he said. “It’s been a huge shift.”

Hiremath was narrowly elected to his first term in 2010 and won re-election in 2014 by about a 20-percent margin.

Throughout his tenure, he’s led efforts to provide needed infrastructure and amenities. He also significantly changed the town’s bureaucracy and regulatory structure from one that was considered obstructive, to one that welcomes business and development, while maintaining high construction standards.

‘Business-friendly mentality’

Amber Smith, executive director of Metropolitan Pima Alliance, praised Hiremath for guiding Oro Valley toward more cooperative attitudes and policies concerning business and development.

“Under Mayor Hiremath’s leadership, there’s been an evolution toward a more inclusive, business-friendly mentality − balancing the needs of both new and future residents, as well as businesses,” she said. “Today, Oro Valley is a more diverse and vibrant community as a result of increasing development flexibility that also maintains the town’s sense of community.

This change in attitude is attributable to Mayor Hiremath.”

During Hiremath’s tenure Oro Valley has added to its arts and cultural offerings – by annexing Tohono Chul Park, developing a partnership with the Children’s Museum Tucson to open a satellite museum in Oro Valley and establishing a continuing relationship with the Southern Arizona Arts & Cultural Alliance.

Oro Valley’s economic development strategies have landed

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and kept world-class companies like Ventana Medical Systems, a member of the Roche Group, Securaplane and pharmaceutical company Sanofi, which was recently acquired by Icagen.

The town is strongly committed to the increased development of Innovation Park as a hub for bioscience and high-tech employers.

To improve sports tourism, parks and recreation, the town has: • Invested $5 million in upgrading the Oro Valley Aquatic Center.

• Made many improvements to Naranja Park, such as adding a six-target archery range, two walking courses, and multipurpose fields, with two additional fields planned for 2017 to support youth programs, such as football, baseball, soccer and lacrosse • And in 2015, Oro Valley purchased the former El Conquistador Country Club for $1 million, interest free, over three years to convert it into a community center.

Hiremath said acquisition of the country club facilities was a great bargain and has been his single greatest accomplishment as mayor.

“Oro Valley received 31 tennis courts, 45 holes of golf, a 50,000-square-foot building for a community center, a restaurant, a garden café, two pools and all that acreage for $1 million,” he said. “Just to give you a frame of reference on the cost, a single tennis court on average costs $250,000 to build.”

With all he’s achieved and experienced as mayor, Hiremath firmly believes the Town of Oro Valley is a vibrant and diverse community, with services and amenities to meet the needs of all residents in any stage of life.

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PHOTOS: COURTESY CHILDREN’S MUSEUM

BizMUSEUMS

Kids’ Play

Children’s Museum Gives Parents Oro Valley Alternative

By Romi Carrell Wittman At first glance, opening a children’s museum in Oro Valley might seem out of place in a community that began as a retirement haven.

But the changing demographics of the town led the Children’s Museum Tucson to open its first satellite branch in Oro Valley last year, and it has left no doubt that it belongs.

“The reception we’ve received is great,” said Michael Luria, executive director of the Children’s Museum Tucson. “We had over 33,000 visitors our first year, which exceeded expectations.”

The Children’s Museum opened its branch in May 2015 in a shopping center in the heart of Oro Valley. The 3,200-square-foot location is geared toward children ages 5 and under, and offers a variety of hands-on exhibits and activities focused on early learning and school readiness.

The idea for establishing the satellite location came from the Town of Oro Valley itself. Mayor Satish Hiremath, along with council members, approached the Children’s Museum with the idea of adding a branch in Oro Valley.

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Luria and his team did research to find out what other children’s museums were doing. They found that while other museums had satellite locations, none were located close – usually no less than 50 miles – to the main museum. They also asked members about the frequency of their visits and found that residents of Vail, Sahuarita and Oro Valley uniformly said they’d visit more often if the museum were closer.

“Although we had our concerns about losing visitors,” Luria said, “the results of the survey and knowing Tucsonans’ aversion to crossing town, we were confident and excited about moving forward with the Town of Oro Valley.”

With a one-time financial commitment of $200,000 for exhibit costs plus an annual contribution of $75,000 from the Town of Oro Valley, and a one-time contribution of $11,510 from Pima County, Children’s Museum Tucson set to work on the Oro Valley location.

With the exception of one exhibit, the exhibits in Oro Valley are unique from the downtown site. What the Children’s Museum Oro Valley does share with downtown is the early childhood education programming. In keeping with its toddler target market, everything is small with an area for crawlers and

a “Lullaby Lounge.” There’s a reading tree, the “Peek-a-Boo Palace” and, at the center, is “Toddler Town,” a hill covered with artificial grass bisected by a roadway. Toddler-sized buildings and other tactile experiences make it a haven for little ones.

Hiremath said the addition of the museum provides a much-needed family activity to the area. “As Oro Valley’s demographic has become more balanced, we’ve sought opportunities to provide more services and programs for children and families,” he said. “The successful Children’s Museum Oro Valley represents the diligence of Town Council and community partners who are working to bring not only arts and culture opportunities for all ages to Oro Valley, but early childhood education as well.”

Luria said the satellite location simply would not have been possible without the vision and commitment of the town.

“The Town of Oro Valley is aligned in its goal of making Oro Valley familycentric,” he said. “They’ve been strategically and methodically working on improving and increasing resources that add value for residents. This exemplifies their commitment to the residents of their town.”

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BizMUSIC

Double the Music

Oro Valley Music Festival Expands to Two Days, Two Sounds Coachella. Glastonbury. Bumbershoot. Oro Valley?

While Oro Valley doesn’t top the list of established national and international music festivals, that doesn’t mean that can’t change.

In its second year, the Oro Valley Music Festival, to be held Oct. 1-2 at The Golf Club at Vistoso, already has grown to two days with two different musical formats. An estimated 15,000 people are expected to attend.

“The first day will be country,” said Rich Elias, GM at The Golf Club at Vistoso. “The second day is adult contemporary with Daughtry headlining.

Two different genres – that’s not something festivals usually do.”

The concept of hosting a music festival in Oro Valley was born out of a desire to better connect the community. In 2014, The Golf Club at Vistoso was in trouble financially and OB Sports Golf Management was brought in to revitalize and rebuild the club. That’s when Elias came on as general manager.

“Originally I was thinking of having a barbeque with local bands playing music,” he said. “I wanted to do something for the community, and something that would also benefit local charities.”

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Elias wanted to raise funds for Shine On Tucson, a local nonprofit that provides comfort to families of children in treatment at Diamond Children’s Medical Center. “Shine On has a music therapy program where musicians come in and play for the kids. But the instruments have to be kept at the hospital so they can be sanitized,” Elias said. His hope was to raise funds to purchase musical instruments that could stay at the hospital.

Elias took his idea to the local radio group formerly known as Clear Channel, now a part of iHeartMedia. That’s when the barbeque concept morphed into a full-fledged music festival with nationally recognized artists Matt Nathanson, the American Authors and Rachel Platten, among others. This year’s lineup starts with country artists Billy Currington, David Nail, Chris Janson, Dan + Shay, Cassadee Pope and Brett Young. Day two is headlined by Daughtry, Colbie Caillat, Simple Plan and Ben Rector.

About 5,500 people attended last year’s event and it was considered a huge success despite a few concessions snags that are being addressed this year. Elias decided on-the-spot to make

the event an annual one that remains family-friendly. “We’re telling people to bring their blankets and lawn chairs and to arrive early to stake out their spot,” he said.

To address last year’s long lines and wait times for food and concessions, this year’s event will feature a dedicated concessions area along with double the number of bars for beverages. In addition, the VIP area has been expanded with more seats and a more upscale vibe.

The festival will benefit local charities again, including Shine On Tucson, the Boys and Girls Clubs of Tucson, and The First Tee of Tucson, a youth development program that teaches leadership and life skills through the game of golf.

For those planning to attend, parking will be available at the Oro Valley Marketplace, located at Tangerine and Oracle roads. Guests will be shuttled from the shopping center to the festival in coach buses. Tickets start at $49 and can be purchased at all Bookmans locations or online at orovalleymusicfestival. com.

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PHOTOS: BRENT G. MATHIS

By Romi Carrell Wittman

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BizDINING

Harvest

Saffron Indian Bistro

The Overlook

Home-Grown Dining

Oro Valley Restaurants Making Their Own Mark

By Mary Minor Davis When it comes to dining opportunities, Oro Valley has several specialty restaurants that originated in the community.

While there’s no shortage of traditional fare and national chain favorites, several restaurants unique to the community have built up a fan following, even creating demand for regional expansion.

Harvest Restaurant

Reza Shapouri, co-owner with his spouse, Lisa Shapouri, of Harvest Restaurant, said he took over the restaurant in 2011 because of the “tremendous growth potential” he saw in the community. With a small menu that focuses on farm-to-table food, he said they emphasize “quality over quantity.”

“Our dinner menu has only 10 items on it, mainly because we want to do everything we do well. Everything is made inhouse and we give ourselves a pretty good chance of executing our menu, starting with very high-quality raw items.”

In the early days, Shapouri said, they marketed primarily to Oro Valley residents based on the rule of thumb that 90 percent of restaurant business comes from within three to four miles. “We have a very strong base of customers from Oro Valley with amazing frequency,” he said. “After years in this business, I have never seen a place with so many regulars that visit so frequently.”

Last August, Harvest opened a second location at River Road and Craycroft, and Shapouri said they are seeing a similar response from customers there. “The 182 BizTucson

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clientele for both locations is very similar.

We are approachable to everyone who just comes in for a meal and nice enough for special occasions.”

Saffron Indian Bistro

Saurabh “Mintu” Sareen said he did research for three years before deciding that “Oro Valley was the next hot spot for an ethnic restaurant. It truly felt like the Scottsdale” of the region.

That was eight years ago and Sareen said the market is still growing.

Sareen owns Saffron with business partner Sara Shicoff. The restaurant offers a contemporary look with a modern design, but at the same time offers a comfortable dining experience that Sareen said appeals to a diverse clientele.

“We serve traditional Indian food with spice levels that cater to individual palates,” he said. They have a wide variety of gluten-free, vegan and vegetarian menu items, but the chicken tikka masala is “the best-selling entrée on our menu,” he said.

Generally relying on word of mouth from their loyal customer base, Sareen said the restaurant’s “commitment to great food and customer service” has helped them to make a name for themselves in the market. “We are constantly striving for perfection in our food and service, and providing the experience of authentic food in a modern and contemporary setting.”

The Overlook Restaurant

In April 2015, the Town of Oro Valley got into the restaurant business when it continued on page 184 >>>

Tohono Chul Garden Bistro

CONTACT INFORMATION Harvest 10355 N. La Cañada Drive (520) 731-1100 www.harvestov.com Open daily 11 a.m. to 9 p.m., Friday & Saturday til 10 p.m.

Saffron Indian Bistro 7607 N. Oracle Road, #101 (520) 742-9100 www.tucsonindianrestaurant.com Open Monday – Saturday 11 a.m. to 10 p.m.

Sunday 11 a.m. to 9 p.m.

The Overlook at the Oro Valley Community Center 10555 N. La Cañada Drive (520) 229-5355 www.elconquistadorcc.com Open Tuesday through Sunday 10 a.m. to 4 p.m.

Happy Hour Tuesday – Friday 3 to 6 p.m., Saturday and Sunday 3 – 5 p.m.

Dinner Thursday & Friday 5 – 8 p.m.

Tohono Chul Garden Bistro 7366 N. Paseo del Norte Tucson, AZ 85704 (520) 742-6455 www.tohonochulpark.org/dining Open daily 8 a.m. – 5 p.m.

For a complete list of Oro Valley restaurants, visit www.orovalleyaz.gov/business

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BizDINING continued from page 182 purchased the El Conquistador Country Club from HSL Properties for $1 million, and converted it into the Oro Valley Community Center. After extensive renovations to the restaurant, including replacing old carpeting with hardwood floors and updating to better serve people with disabilities, The Overlook − formerly known as La Vista − opened to the public in October 2015.

GM Tom Meade said the restaurant offers a unique dining experience for several reasons.

“We have the best views in town,” he said proudly. “Our night views of the lights to the west are unsurpassed, and during the day we have spectacular mountain views.”

With Chef Tory Fitch in place − recently brought on from the Gallery Golf Club − Meade said diners can anticipate some exciting new menu changes in the coming months.

The Oro Valley Community Center’s total membership represents about 1,000 households. Through social media, local advertising and members themselves, Meade said they advertise annual events such as the July 4th cele-

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bration, special dining events and happy hour specials that attract people from throughout the community. This fall, the restaurant will host its first major festival, the Southwest Craft Beer & Sports Festival, a kind of Oktoberfest.

“We’re a great choice for guests of all ages, with a unique and affordable menu that appeals to any taste.”

Tohono Chul Garden Bistro

Rose and Patrick Fahey − along with Jason and Kendell Hartenbach − operate the Tohono Chul Garden Bistro, as well as Flight Grill at the Pima Air and Space Museum, the Mobile Bistro Gourmet Food Truck and Edge Catering. Rose Fahey said that while they have the opportunity to provide dining at two of the region’s most iconic and unique destinations, Tohono Chul allows them to build a clientele in the community.

“The Garden Bistro can be enjoyed whether you have time to tour the Tohono Chul Park or as a stand-alone destination, so the customer base is much different. We have the opportunity to build relationships with our guests and they can come back often.”

Fahey said guests have responded well to their menu, which features breakfast

and lunch that changes seasonally, although she said guest favorites don’t go away.

“Sometimes there is an item on the features menu that we simply can’t take off because our guests love it so much,” she said. “We collect over 400 comments cards monthly and take our visitors’ feedback very seriously.”

One of the features of the location is that guests enjoy ingredients from the ethnobotanical garden on the park grounds. Fruits, vegetables and beans are brought in to the kitchen to prepare many of the dishes. The garden that surrounds the patio and the historic home also provide a nice ambience for guests.

Fahey and her management team have operated the Tohono Chul Garden Bistro since 2012. “It’s an honor that Tohono Chul entrusted us to run such a special restaurant. It was a little daunting at first to come into a location that was so beloved to locals and visitors alike. We take the responsibility of running this gem of a restaurant very seriously. We love being a part of the restaurant and catering community in Oro Valley and Tucson.”

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BizTOURISM

The New El Conquistador

Multimillion-Dollar Remodel Adds Southwest Accents

By Mary Minor Davis For the first time in its 34-year history, the Hilton Tucson El Conquistador Golf & Tennis Resort is getting more than an update. Indeed, the iconic resort, located at the base of the majestic Santa Catalina Mountains, is revealing new and exciting changes in nearly every corner − from guest accommodations to the total guest experience.

When HSL Properties, a Tucsonbased apartment and hotel developer, purchased the resort in 2014, Omar Mireles, then-executive VP, announced the company would embark on a $16 million renovation over the next 12 to 18 months. Much of that work is starting to show, and the first newly remodeled rooms recently “went live” to the public.

Combined with increased marketing efforts by Visit Tucson and the new nonstop air service to New York’s JFK airport, there is a sense of optimism for the recovery to pre-recession revenue per room, said GM Ghee Alexander.

“We are already seeing the impact of this in our future booking pace which is up 28 percent to last year,” he said.

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The renovations have been meticulously overseen by Alexander, who took over the property nearly two years ago.

One of the first things he said he noticed when he arrived was that the major guest areas seemed to “operate independently of one another. It was really difficult to get a sense of continuity or theme throughout the property.”

Originally built as a Sheraton resort in 1982, the property was Tucson’s first major resort with more than 250 rooms on the original 121-acre site. It became a Hilton property in 2004.

The overall goal for the remodel, Alexander said, is to create a greater sense of elegance and to make the property stand out from its competition in Southern Arizona.

“We wanted to bring more of the Southwest experience into the property,” he said.

Gone are the darker red, blue and gold that made up much of the property’s color scheme, replaced by an attractive blue and tan palette that offers a noticeably brighter guest experience.

The first 135 remodeled guest rooms

were opened late this summer. The rooms are completely remodeled “from top to bottom,” Alexander said. There are new furnishings, light fixtures, plumbing and air conditioning. All 428 rooms will be completed by the end of the year, including the 139 casitas.

Alexander said they are not only remodeling the casitas, but creating an entirely new guest experience by offering butler services to casita guests.

“The casitas call for something special,” he said. “We want this to be unlike anything else in the market.”

In addition to the butler service, preshopping in advance of guest arrival to stock up the casita will create an exclusive VIP experience.

“Experience” is the key for Alexander at every touch point on the property. New outdoor seating areas invite guests to take in the magnificent sunsets against the Pusch Ridge backdrop, while they enjoy Native American flute music performed by Larry Redhouse Tuesdays through Saturdays The pool and poolside areas were continued on page 188 >>> www.BizTucson.com

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BizTOURISM

continued from page 186 resurfaced and furnishings were updated. The pool bar/café had a complete makeover. The grassy areas around the pool area were leveled for outdoor catering and events. A new patio area extension offers space for additional seating and dining options, outdoor functions and entertainment opportunities.

Two new gardens offer guests a truly unique Southwest experience, Alexander said. The Epazote salsa and herb garden, which provides freshly grown native vegetables for the kitchen, will educate guests on the key ingredients of salsa. The hotel also will host salsa-making classes and competitions. Experts from Tohono Chul Park were called in to help with the new Hummingbird Garden. Guests will have an opportu-

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nity to learn about the different varieties of hummingbirds and will be able to take home information on how to plant their own hummingbird garden.

“I come from a family of educators, so I’m really committed to providing an educational experience for our guests,” Alexander said. “When our guests stay with us, we know they want to experience the Southwest, and we want them to have that memorable experience that will have them recommending us to others, and returning on their own.”

Inside, new and expanded guest services throughout the lobby are everywhere. The menu in the Epazote Kitchen and Cocktails has been completely redone with an emphasis on the ingredients found in the salsa garden. The lobby lounge has been renovated and

renamed Colibri, which is Spanish for hummingbird. “The logo was designed

by Mark Griebel, a team member and local Tucson artist,” Alexander said with pride.

“Our team members have gotten involved with our changes as well.”

Other changes that will be completed by year’s end include a new tech lounge, a “Grab-n-Go” light meals concession and the lobby remodeling. Horseback riding also will return to the resort by the end of the year.

With “the best layout meeting space of all of the resorts in the market, our repositioning now gives meeting planners a compelling reason to book with us,” he said. “We are looking at increasing revenues by as much as 15 to 20 percent over the next year or two.” Biz

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BizMONEY

Pima Federal Moves In

First Oro Valley Financial Center Opens

By David Pittman said Eric H. Renaud, president and CEO of Pima Federal. “However, one constant remains − our commitment to helping our members and their families.

It’s our vision to be the credit union committed to helping others, one that inspires and enriches the lives of our members, our neighbors and the communities we serve.”

The Pima Federal board of directors and executive team are certain the move into Oro Valley will bring expanded membership to the credit union, as well as be a popular location for many current members. In researching a possible move into the town two years ago, they discovered more than 6,000 Oro Val-

ley residents already were Pima Federal Credit Union members.

The Steam Pump Village Financial Center is being designed and built by DBSI Architects and Builders, a Phoenix firm that is well-known for working with credit unions. Many of the subcontractors involved in the construction of the 4,000-square-foot center are Tucson-area companies.

The new “financial center” – which is what Pima Federal calls its branches – will introduce new, high-tech banking services, innovative customer-service systems and a modern, open interior design where offices have glass doors and walls and the entire interior of the

PHOTO: BRENT G. MATHIS

Pima Federal Credit Union’s roots date back to 1951, when 16 Tucson school teachers pooled together $84 to found a credit union.

Sixty-five years later, Pima Federal has assets of $477 million and serves nearly 55,000 members, and will chart new territory with the grand opening of its Steam Pump Village Financial Center at 11025 N. Oracle Road. The financial center, scheduled to open Sept.

21, will be Pima Federal’s first in Oro Valley, and its sixth in the Tucson metro area.

“Through the years we have grown and become more sophisticated in the way we deliver service to our members,”

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building is, quite literally, transparent.

Bruce Baca, senior VP and chief retail officer at Pima Federal, said customers of the new facility will have interactive digital technology to work with, while at the same time continue to receive the “personal Wow service” that is a trademark of the financial institution.

“We are calling it a high-tech, hightouch environment,” he said.

The new facility will allow credit union members to drive their own experience. Traditional bank tellers will not be utilized at the Steam Pump Village location. Instead, employees at the financial center will be called “retail experience specialists.” Conventional teller lines won’t exist in the financial center.

Instead, when members walk into the center, they will begin their banking experience at an interactive digital board where they can choose from about 20 applications to identify what products and services they need.

More than a bank teller, the retail experience specialist is a universally trained employee who can assist customers with all of their banking needs.

“A retail experience specialist will be assigned to assist a member from start to finish,” Baca said. “So consumers will not be handed off from employee to employee. If someone comes in inquiring about opening a new account, they will continue talking to the same individual throughout the entire experience, rather than being told to take a seat and wait for a specialist to work with them.

“The consumer understands more than ever that technology is here to stay, and Pima Federal Credit Union will continue to be just as progressive and innovative in rolling out new technologies as the big national banking institutions.

But when we roll out technology, we always want to have a liaison − a human − providing personal service and acting as an intermediary to teach our members how to use the technology.”

Pima Federal’s other financial centers are scattered throughout the Tucson area, there’s one location in Springerville, and its Home Loans office is located at 6840 N. Oracle Road in the Pima Federal Financial Plaza.

As the credit union establishes itself

in Oro Valley, it also is providing technological improvements to its mobile banking app.

“The new app will provide enhanced viewing allowing members to access their credit card information,” Renaud said. “The goal is to offer members one place to collect all of their financial account information and, at the same time, increase the security of supported devices. This will be accomplished by the use of biometrics (physical human characteristics).”

Pima Federal Credit Union also offers free consumer checking and access to 55,000 surcharge-free ATMs nationwide and in Mexico, Canada, Puerto Rico, Australia and the United Kingdom through its partnership with the Allpoint ATM network.

“It is our mission to, first, help our members achieve their financial hopes and dreams; second, improve the economic condition of our communities; and third, ensure the safety and soundness of member-owned assets,” Renaud said.

Biz

Pictured on the left from left – Cindy Campano, Senior VP/Chief Lending Officer; Danny Smith, VP of Consumer Lending; Bruce Baca, Senior VP/Chief Retail Officer; Eric Renaud, President/CEO; Georgina Beatte, Executive Assistant; Robert Dutcher, VP of Information Technology; Angi Griffin, VP of Human Resources; Tricia Norman, VP of Retail Support and Development. Not pictured is VP of Risk Management Laura Ward Pictured above – Illustration of the new Pima Federal Credit Union.

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BizSCIENCE

Roche Changing Cancer Diagnostics Oro Valley’s Top Employer, A Worldwide Leader

By Romi Carrell Wittman When the diagnosis is cancer, treatment options typically involve a combination of radiation and chemotherapy.

However, a dedicated team of scientists, researchers, physicians, engineers and manufacturing associates located in Oro Valley is blazing new trails toward a future where each patient’s treatment can be personalized to tackle their specific cancer.

Roche Tissue Diagnostics (RTD), known locally as Ventana Medical Systems, Inc., manufactures more than 250 cancer tests with related instruments used around the world in the detection of cancer and other diseases.

Ventana Medical Systems was acquired in 2008 by Roche, a global diagnostics and pharmaceutical company based in Switzerland with more than 91,000 employees worldwide.

The company has called Oro Valley home since 2001, when what was then a privately owned company consolidated its three facilities into a single operation containing research and development labs, a manufacturing facility and marketing and administrative office space.

Today, the RTD campus covers 70 acres in Oro Valley’s Innovation Park.

With more than 1,400 employees, RTD is the largest employer in Oro Valley and one of the top 50 employers in Southern Arizona. AZ Business Magazine and BestCompaniesAZ have recognized the company as one of the state’s Most Admired Companies three times, most recently in June 2016.

With Roche, RTD’s drive to further innovation and advance the company’s mission of improving the lives of all patients afflicted with cancer has been accelerated. RTD is regarded as a diagnostics pioneer, evidenced by the 736 patents issued worldwide, and another 562 pending.

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Ventana Medical Systems was founded in 1987 by Dr. Thomas Grogan, a pathologist at the University of Arizona, with a mission to improve cancer diagnostics through automation and treatment options for individual patients. In a few short years, the company became a global leader and innovator in tissue diagnostics, capturing the attention of Roche.

The move to Roche has enabled the company to leverage Roche’s deep clinical knowledge and expand its footprint.

RTD President Ann Costello said that being a part of the Roche family has led to greater technology and clinical advances. “We have been able to draw on the Roche network to better support our diagnostic product development and global reach to support the more than 14 million people afflicted with cancer yearly,” she said.

In 2015, Roche invested 9.3 billion Swiss francs – about $9.5 billion – in research and development, more than any other company in the healthcare sector.

The company recently combined its tissue, sequencing and molecular diagnostics organizations to create integrated molecular solutions to advance the standard of care.

“Our immune systems can kill cancer cells. So why does cancer exist?” asked Dr. Eric Walk, chief medical officer and senior VP of medical and scientific affairs at RTD. “Because cancer hijacks pre-existing regulatory mechanisms preventing immune cells from recognizing cancer cells as foreign. Cancer turns off the immune system.”

Advances in immunotherapy

Together with Roche Pharma, RTD is working to find ways to get the body to turn its immune system back on

through cancer immunotherapy, an approach that harnesses the body’s immune system to fight cancer.

The company has a recently approved therapy in this area that has shown excellent patient response rates.

The rates, however, are higher in patients with a certain form of bladder cancer who are positive for an immune biomarker called PD-L1. The RTD team of scientists, doctors and researchers continues to search for additional immune “switches” in cancer.

These pathology innovations extend into the digital realm. As tests become more complex, Walk said he believes there will be a time when digital pathology will be needed to interpret them.

This will involve not only slide scanners, but also highly sophisticated software to assist pathologists in the scoring of assays, or tests.

“It’s similar to what happened in the field of radiology,” Walk said. “There used to be films, which the radiologist would analyze. But now everything is digital. We see pathology moving the same way − away from the microscope to the computer monitor.”

RTD has digital tools on the market, including slide scanners and diagnostic software algorithms that aid pathologists in the detection of specific cancerrelated biomarkers in patient tissue specimens.

“No matter how advanced the digital tools become, however, the pathologist will always make the final diagnosis,” Walk said. “This isn’t diagnosis by robot.”

He sees the move to digital diagnostics as not only improving accuracy, but also helping underserved communities globally. “It makes hub-and-spoke telepathology possible,” Walk said. “A central pathologist could serve a large rewww.BizTucson.com

gion of smaller communities that send their information to the hub for expert analysis.”

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Ann Costello

President Roche Tissue Diagnostics

Dr. Eric Walk

Chief Medical Officer & Senior VP of Medical & Scientific Affairs Roche Tissue Diagnostics Fall 2016 >>>>>> BizTucson BizTucson 193 193

PHOTO: CHRIS MOONEY

While RTD is globally recognized as a cancer diagnostics innovator and leader, it remains a committed local partner, actively involved in a wide range of community programs designed to enhance science, technology, engineering and mathematics education.

“Some of the most inspirational days on our campus are the ones spent sharing our story and our technology with bright young students and college interns who are the scientists of the future,” Costello said. “Initiatives like these, along with our many philanthropic efforts, underscore our commitment to inspiring the next generation of young minds to embrace the promise of cancer diagnostics discovery and innovation.”

The company additionally supports local nonprofits working to fight cancer and those that assist people affected by cancer. The University of Arizona Cancer Center, American Cancer Society, Susan G. Komen, BAG IT, Candlelighters Childhood Cancer Foundation of Southern Arizona and Tu Nidito are just a few of the organizations supported.

RTD is also “green.” In keeping with Roche’s long-standing belief that only environmentally and socially responsible companies can achieve sustainable financial success, the company aggressively looks for ways to reduce waste as well as lower energy and water consumption.

There’s a robust recycling program and donations of old computers and equipment to World Care, a humanitarian relief organization that uses donated items to create usable resources for health, education and sustainable communities worldwide.

Costello is excited about the future, both in terms of the company’s extraordinary work in immuno-oncology and cancer diagnostics, and its role as an integral part of the town of Oro Valley.

“As we move forward, our focus is to shape healthcare through innovative and comprehensive solutions for our customers and patients,” she said. “Our goal is to make a difference both in the field of cancer diagnostics and in the community where we work and live.”

PHOTO: BRENT G. MATHIS

Committed to the community

BizEDUCATION

Officials from the Town of Oro Valley and the Amphitheater Unified School District break ground on the new STEM school in a ceremony in June.

Rendering of the new STEM school. Images Courtesy Town of Oro Valley

First Elementary STEM School in Region Campus to Feature Weather Station, Water Harvesting

By Renée Schafer Horton Back in the 1990s, a third-grade boy did his first engineering project − repairing a broken toaster. It took him most of four hours, and although the toaster was a little worse for wear from being disassembled and re-assembled by elementary-school hands, in the end, it worked.

At that time there was no elementary school curriculum that would nurture his obvious leaning toward STEM skills − science, technology, engineering and mathematics. That would have to wait until high school.

Fast forward to June 2016 − the Amphitheater Unified School District broke ground on the first STEM elementary school in the region, scheduled to open in August 2017 in Oro Valley.

“This new school will focus completely on an inquiry-based and engineeringdesign learning model,” said Monica Nelson, Amphitheater’s associate superintendent for school operations. “We’re also working to improve STEM instruction throughout our district.”

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ployers cannot find enough well-qualified employees to take those jobs. The STEM elementary school is now the first step in preparing students for those jobs.

The new school will be located on a 10-acre parcel on Desert Fairways, north of Moore Road and east of La Cañada Drive. It’s being constructed with 2007 voter-approved bonds on land the district already owned in the Rancho Vistoso subdivision. It will serve 500 students.

The Amphitheater Unified School District is working on a transportation plan so that elementary students throughout the district’s boundaries will be able to get to the school. Students outside the district also will be able to enroll, although they will need to provide their own transportation.

The campus also will have a waterharvesting system, a student-monitored weather station, a garden, outside learning areas for the students to study the natural habitat and some see-through walls for students to observe how plumbing and electricity works.

Much of what makes this school STEM-focused involves how the campus is utilized and constructed. Students

will be divided into learning groups composed of kindergarten and first graders, second and third-graders, and fourth and fifth-graders. Each group will be in its own building with learning lab spaces as well as traditional classrooms.

While the school is STEM-focused, Nelson emphasized that it will provide a full curriculum − also offering the necessary comprehensive foundation in reading, writing, art, music and physical education.

Veteran Amphitheater educator Michael McConnell has been named principal of the STEM school. Most recently he was principal at LuLu Walker Elementary School, which was recognized by the Southern Arizona Research, Science and Engineering Foundation as the “Top Science Elementary School” in both 2015 and 2016. McConnell used a project-based, thematic instructional approach when he was teaching.

“The STEM school will be using many of these same teaching techniques,” McConnell said. “I am excited to see all the creative ways that teachers will engage students and make learning relevant using science, technology, engineering and math.”

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BizOUTDOORS

Tohono Chul Park

Oro Valley Aquatic Center

4th of July Celebration

Move Across 2 Ranges Annual Hiking Challenge

Something for Everyone

Recreation Facilities Target Locals and Visitors

By Renée Schafer Horton It’s a hot July evening at Naranja Park, but the dog park is bustling with canines and their humans. Lewis Foster, 72, chats with Brittany Miller, 25, as their dogs compete in an intense game of “roll-in-the-grass.” Across the parking lot a gaggle of teenagers enjoys a pickup soccer game, and southeast from all this activity near the entrance to the park, 47-year-old Greg Wahlmeier concentrates on honing his bowhunting skills at the archery range.

The evening is a snapshot of today’s Oro Valley − the latest demographics show there are nearly as many residents under the age of 18 as there are over 65 in the town of more than 43,000. What was originally envisioned as the largest retirement municipality in the country has evolved into a far more diverse community. To meet the needs of its sundry residents, Oro Valley has gone all-out expanding its recreational offerings and amenities, a commitment that has 196 BizTucson

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earned the town a Playful City Community USA designation six times.

“Parks and recreation is the single most important thing for the health of a community,” said Interim Town Manager Daniel G. Sharp. “It can also have an economic development impact as it relates to sports tourism. But the key driver is to provide for the health of the community, because that speaks to a community’s vitality.”

Miller agrees.

“This park gives us a great excuse to get out of the house and get some exercise,” she said. “We come here because it is always clean, the people are always friendly, and the dogs love the grass. It’s the best around.”

Oro Valley Parks and Recreation Director Kristy Diaz-Trahan said the town has especially focused on expanding “family-friendly” offerings the past two years. It has been a wise choice for residents and to help Oro Valley get a

slice of the sports-tourism economic pie.

A recent example was the addition of the multipurpose sports fields at Naranja Park. The town had too few soccer fields for the burgeoning youth sports population, and it affected quality of life − no parent wants to spend 90 minutes getting to and from their kid’s soccer practice. But building the fields to a professional standard not only made young players and their parents happy, it also allowed the town to rent the fields to professional soccer teams who needed competition-quality turf on which to play.

Oro Valley has seen an economic benefit in the recent $5-million upgrade to its Aquatic Center. Adding a splash pad, slide and upgrading the 50-meter competition pool has resulted in happier residents and also attracted the USA National Synchronized Swimming Championship in 2014. The competition will be at the Oro Valley Aquatic continued on page 198 >>> www.BizTucson.com

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BizOUTDOORS continued from page 196 Center again in 2017, along with three triathlons and state swimming competitions. The town will also host the 2016 U.S. Masters Synchronized Swimming Championships this October.

Next year, tennis and golf competitions will be hosted at the Oro Valley Community Center, the facility formerly known as the El Conquistador Country Club that was purchased by the Town of Oro Valley last year. The center features 45 holes of golf, 31 lighted tennis courts, two swimming pools, a fitness center and weight room, a restaurant, meeting facilities, and classes from boxing to Tai Chi. The American Junior Golf Association will rent the golf course in January, bringing elite junior golfers to town. A U.S. Tennis Association competition will be held in March.

“We’re getting more well-known as a place to host your sporting event,” said Diaz-Trahan. “We’ve been known for years as the place to be with cycling and running because of our great roads, our spectacular pub-

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lic safety, and our outstanding views.

Now we’re trying to let other sports know we’re here and welcome their events, all while we provide excellent options for Oro Valley residents.”

One new addition the town is especially excited about is the “I Can Too!” program for elementary school children who have special needs. It was launched this summer with specially trained recreation staff and a 4-to-1 student-staff ratio. It features both individual and inclusion offerings. Sharp said the program is an excellent example of how Oro Valley tries to address the concerns of its residents.

“A community member came to us and said the Community Center was great, but asked if there were plans for activities for children with special needs,” Sharp said. “That brought something to our attention that we hadn’t thought of, so we got right on it to develop programming.

People often forget, but government is a community service. We are here to serve our community, and parks and recreation is a big piece of that.”

2016 – 2017 events Oro Valley will hold or participate in: • Oro Valley Sprint Triathlon: Oct. 1, 2016 • Oro Valley Music Festival: Oct. 1-2, 2016 • U.S. Masters Synchronized Swimming Championship: Oct. 19-23, 2016

• Southwest Craft Beer and Sports Festival: Oct. 22, 2016

• Doggie Dash ‘n Dawdle: Oct. 29, 2016 • Harvest Heritage Festival: Nov. 12, 2016 • El Tour de Tucson: Nov. 29, 2016 • Festival of the Arts and Tree Lighting:

Dec. 3-4, 2016

• New Year’s Hot Cocoa 5K: Jan. 1, 2017 For a full list of events in Oro Valley and details, visit www.orovalleyaz.gov/town/calendar/list

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BizREALESTATE

Mattamy Homes

Maracay Homes

Meritage Homes

Sombra Homes

Hot Spots

New Home Sales Increase in Oro Valley

By Jay Gonzales Homebuilders in Oro Valley have been seeing a steady increase in sales now that they’ve been able to catch up with the demand for new homes, town officials said.

By mid-year in 2016, there had been more newly constructed homes sold than in all of 2015, said David Laws, manager of the Permitting Division for the Town of Oro Valley.

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a little lower, he said. It was just that homebuilders were playing catch-up to meet the demand for sales as the real estate market recovered. The town had seen a small drop in new home sales in 2014 compared to 2013, Laws said.

“The reason for that is we ran out of available lots,” he said. “Developers had to bring new product online. They had to develop undeveloped property.”

By 2015, there were more new homes available for sale and there was a no-

ticeable increase with 155 homes sold, compared to 133 in 2014. By the end of July 2016, the total for the year was 171.

“Now that product is available and we have a few subdivisions around town with some models open, we are seeing growth because we’re hearing from builders that buyers are looking,” Laws said. “I think everyone is optimistic that sales will continue. They’re not super strong, but definitely steady.” www.BizTucson.com

New Home Developments in Oro Valley

Subdivision: Eagles Summit at Vistoso Location: Moore Road and Rancho

Insight Homes

Vistoso Boulevard Opening September 2016

Location: La Cañada Drive south of Moore Road

Maracay Homes

Prices: Three floor plans with starting prices of $598,000, $604,000 and $649,000

Location: La Cholla Boulevard between Tangerine Road and Glover Road

Lots range in size from a half acre to one acre with “stunning mountain views while maintaining the surrounding native desert.” All floor plans are at least three bedrooms with a den or optional fourth bedroom and a three-car garage.

Gated neighborhood limited to only 68 homesites featuring all one-story home plan designs. Features stunning views of the surrounding Catalina and Tortolita mountains. Homes ranging from 2,723 to 3,845 square feet.

Subdivision: La Cañada Ridge

Lennar

Subdivision: Discovery at Vistoso Reserve Location: Rancho Vistoso Boulevard and Vistoso Highlands Drive Prices: $259,990 to $305,990 Homes with four and five bedrooms and two to 3½ baths, ranging from 1,800 to 2,903 square feet. Within the 7,600acre Master Planned Rancho Vistoso community that offers an array of outdoor amenities for all ages.

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Subdivision: Rancho del Cobre

Prices: Starting at $410,000

Subdivision: Center Pointe Vistoso Location: North end of La Cañada Drive, north of Moore Road Prices: Mid $200,000s to low $400,000s Four separate developments: Desert Crest from the mid $200,000s; The Cove in the low $300s; Summit starting in the mid $300,000s; The Pinnacle starting in the low $400,000s.

Mattamy Homes

Subdivision: The Enclave at Stone Canyon Location: 405 W. Tortolita Mountain Circle Prices: $549,000 to $624,000 Located within the exclusive, privately gated Stone Canyon community. Homes with two to four bedrooms ranging from 2,320 to 2,758 square feet.

Subdivision: Vistoso Trails Location: Rancho Vistoso Boulevard and Moore Road Opening early 2017

Meritage Homes

Subdivision: Estates at Capella Location: La Cholla Boulevard and Naranja Drive Prices: $308,990 to $404,990 Two developments: The Canyons, from $308,990 to $364,490, three- and four-bedroom homes; The Vistas, from $350,990 to $404,990, four- and fivebedroom homes.

Subdivision: Boulder Vista at Stone Canyon Opening in 2017

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BizCOMMUNITY

Ironwood Ridge High School students Sam Sepulveda, left, and Michael Tinghitella share a laugh with Oro Valley School Resource Officer Matt Roth in front of the school.

Undivided Attention

Spotlight on a Model SRO Program

By Renée Schafer Horton When people new to Oro Valley wonder why there are police cars outside all the public schools at all times, the quick answer is that Oro Valley places a high premium on public safety. But that is an incomplete response. The real reason is found in the worn-out knees of an officer’s pants.

“We had this big, burly former motorcycle cop who became the School Resource Officer (SRO) at Copper Creek Elementary, and he had to switch to wearing BDU (battle dress uniform) pants after a few weeks on the job because he kept wearing out the knees of his dress uniform,” said Oro Valley Police Chief and Interim Town Manager Daniel G. Sharp. “He was constantly on his knees talking to the little kids at the school. That’s what our SRO program is about.”

Oro Valley’s SRO program, initiated in 1977, is community policing at its best, creating bonds with youth from kindergarten through high school while also making certain that schools and the neighborhoods around them are safe.

The program has twice received the Arizona School Resource Officers Association Model Agency of the Year award.

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School, and two officers each at Canyon del Oro and Ironwood Ridge high schools. This fall, the program will do something unique by partnering with Pusch Ridge Christian Academy, a private school, to post an SRO on its North Oracle Road campus, about a half-mile from CDO. Deputy Police Chief Larry Stevens said Pusch Ridge officials asked about getting an SRO to serve their sixththrough 12th-grade campus a while ago, but because the school is private, town funds can’t be spent providing an SRO. The school committed funding in its budget and a contract was signed between Pusch Ridge and Oro Valley for an SRO on-site beginning this school year.

The Pusch Ridge SRO’s first focus will be assessing the school’s disaster plans and threat assessment, then moving on to presentations in classes on contemporary law enforcement topics.

Like all of Oro Valley’s SROs, the Pusch Ridge SRO will be active in the school community, attending sports competitions and other school events.

“One of the reasons we’ve won the model agency award is because we have dedicated officers at each school,” said Lt. John Teachout, SRO program manager. “There are SRO programs out

there that have one officer that services multiple schools, but we have dedicated assets and resources in these schools.

Our officers have specific training and supervision. We aren’t visitors that come every now and again – we are part of the community.”

Another change in the SRO program this year is a partnership with mental health professionals to provide training for officers about adolescent mental health issues.

“Oro Valley is never satisfied with the status quo,” Sharp said. “We are always re-evaluating so we stay relevant. Young people have a lot to deal with in today’s world and this training will help our officers help them.”

That help is not always formal, Teachout said, which is the reason having dedicated officers at each school is so important.

“Yes, we provide whatever formal presentations teachers or administrators need to bolster the educational curriculum,” he said. “But in terms of conversations about destructive decisionmaking or life choices or goal-planning, most of that work is in the hallways of the school or the doorways of the SRO office. And I’d argue those conversations often have more power than anything formal we do.”

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BizBRIEFS

Sandra Nathan Sandra Nathan joins the Community Foundation for Southern Arizona as VP of Community Investment. She’s responsible for developing CFSA’s community investment strategy by working to connect people, ideas and capital together to leverage measurable impact in our community. Nathan will manage CFSA’s partnerships with funders and organizations to improve collaboration and connect donors to investment opportunities. She has two decades of philanthropic, nonprofit and government experience, most recently in San Francisco.

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Vijay Patel Vijay Patel, dental director at MHC Healthcare in Marana, was featured on the cover of the July issue of the Arizona Dental Association’s magazine “Inscriptions.” Patel talked about the joy of working for a federally qualified health center. “Public health offers a unique challenge in both dentistry and perceptions. As one of the excellent FQHCs in Arizona, we pride ourselves on producing high-end, affordable care without ever sizing up the patient’s wallet.” Biz 206 BizTucson

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Katie Maxwell

Volunteer Board President

Michael McDonald CEO

PHOTO: BRENT G. MATHIS

Community Food Bank of Southern Arizona

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BizNONPROFIT

Food Bank Feeds 187,000 Annually

By Larry Copenhaver Hunger hurts. And in Southern Arizona there is plenty of hunger to go around.

But there are many people working through the Community Food Bank of Southern Arizona, doing all they can to shorten the lines at food distribution points and teach strategies that help families put food on the table.

Some 187,000 individuals are served each year through the food bank’s hunger relief – direct food handouts – and another 17,000 are being served through hunger prevention and education services, said food bank CEO Michael McDonald.

The effort, implemented in concert with 250 corporate and agency partners such as Tucson Unified School District, the Salvation Army and Tucson Medical Center, is threefold – feed the hungry, attack hunger by changing attitudes regarding nutrition, and work to lesson poverty, McDonald said. The food bank, located at 3003 S. Country Club Road, is a big operation. It serves people in Pima, Cochise, Graham, Greenlee and Santa Cruz counties.

“While we do see our work as a charity, we also see our work as part of economic development – and that’s why we are increasingly focusing on our clients growing food or making a living through food-related jobs such as in the hospitality industry,” he said.

The latter focuses on learning a trade to grow, prepare and/or serve food.

“Many people grow food at our farm or at one of our 200 community gardens where they can produce food in excess of their family’s needs, then sell it at one of our farmers markets and make some money,” McDonald said. “Once they get a following of customers, they can put a brand name to their food.” www.BizTucson.com

For example, “A lady is making tortillas for one of the local grocery chains,” McDonald said “She started out coming to one of the food banks for some hunger relief, and she learned about gardening and food preparation, so the trajectory of her life has changed because of some of our educational work.

We’d like to see that get big.

“We would like to see that 17,000 figure in the hunger prevention programs grow and see fewer people depending on the free food.”

Extensive gardening programs are supported by the food bank in schools, home gardening programs, community gardens and a kitchen that provides prepared meals.

“We also sponsor 10-week culinary arts training for high school students, much like they might get at Pima Community College. Students are not paid for their participation, but they don’t have to pay for it either,” said Katie Maxwell, who serves as volunteer board president of the food bank. The goal for the students is to learn life skills and kitchen skills.

They are taught how to construct a resume, do a job interview, budgeting skills – all the things they need to be successful in the workplace. “And we help place people with employers. I think we have a placement rate in the 80 percentile range,” Maxwell said. “We help them find a job so they are not dependent upon food handouts.”

Another focus is the recognition that what you eat affects your health, McDonald said. “For that, the food bank provides information on diet and nutrition choices. We promote informed choices and with that more produce.

“Another significant area of focus is food coming out of Mexico that does

not have a buyer. There is a lot – and we try to get it. In May, the food bank acquired about 5 million pounds of produce that came out of Northern Mexican but did not have a buyer.

“Without a buyer, that produce ends up in the landfill. All that produce is inspected and gone over by food safety teams. Of the 5 million pounds, about 90,000 pounds of the food ended up in the landfill because it did not meet standards, but had we not intervened, all 5 million pounds would have ended up in the dump.

“We have a refrigeration facility in Nogales. We have refrigerated trucks.

And we have staff on the border talking to produce broker houses every day. Broker houses are under pressure to move produce off their docks, so we have to be there to get it out or it will be thrown out.”

The food bank has a great responsibility to ensure every dime that comes in for hunger relief is used efficiently, Maxwell said. Last year, 97 cents of every dollar went to support the goals of the bank. The nonprofit has an annual cash flow of $60 million.

“The real work is helping people in the line get assistance – but all the time we are working to shorten that line by lessening the need for assistance,” she said. “Our clients want self-sufficiency.

They don’t want handouts.

“In Southern Arizona, the food insecurity rate is higher than both the state and the national averages,” Maxwell said. In some areas of Tucson, 97 percent of students come from homes that fall into that category and qualify for government supported free meal programs at schools. That does not count food needs on the weekends or during the summer.

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Photos: Courtesy Ritz-Carlton, Dove Mountain Resort

BizREALESTATE

Putting on the Ritz HSL Properties, Cottonwood Properties Buy Dove Mountain Resort

By Jay Gonzales Two longtime local real estate developers have teamed to purchase the centerpiece of the Dove Mountain development, the Ritz-Carlton, Dove Mountain resort.

HSL Properties and Cottonwood Properties formed a partnership, HSL Cottonwood RC Hotel, to purchase the hotel and its related assets for $45.5 million. The purchase does not include the golf course or the residential development around the hotel. The purchase closed on June 28 with financing provided by National Bank of Arizona.

“The Ritz-Carlton, Dove Mountain is a special place. I am very proud of what we created and excited to continue ownership of the hotel together with our new partners HSL,” David Mehl, president and owner of Cottonwood Properties, said at the time of the closing. Cottonwood Properties developed www.BizTucson.com

the hotel in a partnership with Marriott International, as well as the surrounding residential development.

HSL and Cottonwood Properties each have their own long history with real estate development in Tucson. Cottonwood was the developer of the Westin La Paloma Resort & Spa and the surrounding properties. HSL is the current owner of the Hilton El Conquistador Golf & Tennis Resort and a number of other hotel properties and residential developments.

“In the last few years, we have focused on and found relative value in the Tucson hospitality sector,” said Omar Mireles, president of HSL Properties.

“We have had the opportunity to acquire five hotel properties well below replacement value in a recovering market.

Both the Hilton El Conquistador Golf & Tennis resort and The Ritz-Carlton,

Dove Mountain resort hotel are beautiful, irreplaceable properties, and we are proud to keep these signature assets under local ownership.”

The hotel will continue to be managed by the Ritz-Carlton Hotel Company under a long-term contract, Mireles said. The hotel is one of only two 2016 Forbes 5-star hotels in Arizona, and is rated among the top 10 hotels in the state by U.S. News and World Report.

“We are delighted to have a long-term relationship with Cottonwood and HSL for the spectacular Dove Mountain property,” said Herve Humler, president and COO of The Ritz-Carlton Hotel Company. “We look forward to continuing to serve our guests with the excellence and attention to detail with which they are accustomed and deserve.”

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2016 Tucson Classics Car Show from left – Ellie Patterson, President; Steve Pickering, Chair; Phil Gutt, Past President with this year’s raffle car.

Literacy Driver

Tucson Classics Car Show Benefits Make Way for Books

By Jay Gonzales The Tucson Classics Car Show is aiming its 2016 effort at giving kids a jump start on reading and literacy with its choice of Make Way for Books as the event’s primary beneficiary.

The Rotary Club of Tucson, the event organizer, expects to hand over approximately $50,000 in proceeds to Make Way for Books, a local nonprofit whose mission is to get young children ready for school by providing them and their families with books and reading programs. This is the first year of a five-year commitment to Make Way for Books from the car show.

The car show is in its 10th year and will be held Oct. 15 at The Gregory School, 3231 N. Craycroft Road. The event, from 10 a.m. to 4 p.m., will feature more than 400 classic cars, and is expected to draw approximately 20,000 visitors. The show is run entirely by volunteers.

Make Way for Books said it plans to use the proceeds it receives for its “Cover to Cover” program that serves 1,100 children and their families annually, giving preschool-age children reading opportunities as their families go about their daily business. Make Way for Books “meets families where they already go each day, such as social services offices, community food banks, grocery 212 BizTucson

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stores, parks and laundromats.”

“Cover to Cover transforms highneed locations into early literacy schools without walls where preschool-age children can develop literacy, language and writing skills that ensure they enter kindergarten ready to read and on track for future academic success,” the organization said.

10TH ANNUAL TUCSON CLASSICS CAR SHOW Sponsored by WeBuyHouses.com Saturday, Oct. 15, 10 a.m. to 4 p.m.

The Gregory School, 3231 N. Craycroft Rd. Tickets – $5 includes an entry into the raffle for a 2005 Corvette C-6 Convertible or $15,000 in cash. Secondary raffle prizes – $2,500 shopping spree at Sam Levitz Furniture, $2,000 in airline tickets from Wellspring Financial Partners, $1,500 in kitchen appliances and furniture from Tucson Appliance and Furniture Company, $500 worth of Cooper tires from Jack Furrier Tire and Auto Care.

Admission for children under 18 is free with a paid adult.

Tickets can be purchased from a Rotary Club member or online at www.rotarytccs.com.

The nonprofit points out that less than half the children from low-income homes start kindergarten with the skills they need to be successful, and the gap widens as they progress through school.

It said children who are reading below grade level at the end of third grade are four times as likely to drop out of high school.

The Rotary Club of Tucson has given more than $876,000 to Tucson charities from the nine previous car shows. Four other charities also will benefit from this year’s show: • Pima County Joint Technical Education District (known as JTED) – Provides tuition-free career and technical education programs to help high school students move to careers and college.

• Youth On Their Own – Supports homeless teens while they continue their high school education.

• GAP Ministries – Trains chefs through the social service agency’s culinary program.

• The Haven – Provides outpatient and residential alcohol and drug treatment programs for women.

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BizSALES

It’s Not Being Best, It’s Setting the Standard

By Jeffrey Gitomer

When I say the words, “set the standard,” what comes to your mind?

Is it personal standards of yours?

Is it standards that your business sets?

Is it standards you have in your mind about other people?

Is it standards you have in your mind about other products?

When you go to a restaurant and order your favorite steak, you’ll always recall the one restaurant (especially if it’s the one you’re in) that had the best steak. That restaurant set the standard. All other steaks you will ever eat will be compared with the standard bearer − until one day you may get a better steak, and then that restaurant will become the new standard bearer.

You know and recognize dozens of standard setters in your life – especially if these products or people are amazing and have your undying loyalty and especially if you proactively refer them. This could be as simple as the best ice cream or the best apple pie. It could be the best dentist or the best chiropractor. It could be the best financial planner.

And it could also be your personal brand loyalty. The best car. The best clothing. The best computer. The best phone.

Things that you would never consider doing without.

Whatever those products are, whoever those people are, they set the standard. Your standard.

There are third-party standards:

•

Wilt Chamberlain scored 100 points in a single basketball game. He didn’t just set a record. He set the standard.

•

Abe Lincoln delivered the Gettysburg Address. It wasn’t just a speech. He set the standard.

•

At the steps of the Lincoln Memorial, Martin Luther King Jr., gave a speech to 500,000 people. It wasn’t just a speech. He set the standard.

Elvis Presley. The Beatles. They set the standard and paved the way for others.

When Chamberlain set the standard for scoring, it was on March 2, 1962. That standard has endured more than 50 years. Kobe Bryant’s 81 points were good, but not as good as Wilt’s 100 points – the standard.

Accomplishments are always compared with the standard.

Quality is compared with the standard. Products are compared with the standard. You know what the best products in your industry are. If you work for that company, you love it and vice versa.

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Major clue: Now that you get the idea of what I’m talking about, let’s talk about your business and your career.

What standards are you setting and who are the people involved in setting those standards – not just in your company, but also in the mind of your customer and in the reputation of your business in your community and in your industry?

If you’re not setting the standard, you’re fighting price.

Reputation trumps price.

Your reputation stems from what others think about you and say about you. In today’s world, it’s what others post online about you. Reputation comes from setting standards in service, quality of product, consistency and availability.

You may think of it as “best.” But there’s a big difference between bragging about the fact you are the “best” and “we set the standard.”

There are many products in which you can argue “who is best.” There’s often an obvious winner. German automobile engineering has set the standard. Microsoft set the standard.

Apple set the standard. There are many social media sites that are arguably better than others, yet Facebook set the standard.

As a salesperson, I’d like you to take a moment and evaluate − or should I say self-evaluate − where you are on the standard-setting scale. Are you just a rep? Are you one of the top 25 percent of reps? Or have you achieved the status of trusted adviser, who is setting standards not just in sales numbers, but also in customer loyalty, profitability and relationships.

What about your company? What standards is it setting?

What high-ethical ground has it achieved?

If you look at the example of Bank of America, you see a century-old company that had set many standards and achieved global greatness. All that was destroyed by indiscriminate greed and a total lack of understanding of social media. Today surveys show Bank of America ranks at the bottom of bank reputations. Standard bearers can fall quickly. Just ask Tiger Woods.

I’ll admit this is pretty high-level thinking, and for many of you reading this, you may believe that setting the standard is out of your personal control – especially standards that your company sets. But in the new world of transparency, thanks to the internet, mothered by Google and social media, you now have the opportunity to build your personal brand, create your personal reputation and set your own personal standards – standards that will remain yours even if you change companies or careers.

I challenge you that the key word in standard setting is endure. Set standards that will last. Many have come and gone quickly. Don’t be one of them.

Biz

Jeffrey Gitomer is the author of 12 best-selling books including “The Sales Bible,” “The Little Red Book of Selling” and “The Little Gold Book of Yes! Attitude.”

His real-world ideas and content are also available as online courses at www.GitomerLearningAcademy.com.

For information about training and seminars, visit www.Gitomer.com or www.GitomerCertifiedAdvisors.com or email Jeffrey personally at salesman@gitomer.com. © 2016 All Rights Reserved. Don’t even think about reproducing this document without written permission from Jeffrey H. Gitomer and Buy Gitomer. 704.333-1112

www.BizTucson.com

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>>>

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BizEDUCATION

New Eller Dean on the Go 21st-Century Vision for School

By Romi Carrell Wittman

Paulo Goes has 21st-century plans for the University of Arizona’s Eller College of Management.

“We have all the ingredients in place to be elevated to a top-level business school that makes sense for today’s business world,” said Goes, who was named dean of the college earlier this year.

“The overarching theme is to position the college to be a 21st- century business school and move away from the siloed 1950s model still in place at many business schools.”

Goes replaced Jeff Schatzberg, who served as interim dean after Len Jessup left in January 2015 to serve as the president of the University of Nevada, Las Vegas.

Goes is a natural fit for the role, having already led the UA Management Information Systems program to great heights. During his eight-year tenure as MIS department head, the program saw huge increases in enrollment, tapping into increased global demand for degrees focused on technical computing and information systems skills.

Goes also oversaw the launch of a highly successful online MIS master’s degree and created a donor-funded program aimed at attracting and retaining undergraduate MIS students.

He co-founded INSITE: Center for 216 BizTucson

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Business Intelligence and Analytics, and is the co-principal investigator of the multimillion-dollar grant from the National Science Foundation intended to educate the next generation of cybersecurity specialists. He also successfully raised the funds needed for a major technology upgrade for lab and teaching space for graduate students in the Eller College.

Goes’ efforts have played a huge role in making the UA’s MIS program

“

There are lots of possibilities and a lot of excitement.

This is a great college, with the intellectual capacity, the faculty and the innovation we are famous for.

”

Paolo Goes Dean UA Eller College of Management –

one of the top-ranked MIS programs in the nation. According to U.S. News & World Report, the MIS department is the No. 2 public undergraduate and No. 3 public graduate program in the country. Overall, the graduate program ranks No. 5, just behind MIT and Carnegie Mellon. In recognition of his many achievements, Goes was named the Salter Distinguished Professor in Management and Technology.

Since being named dean, Goes has spent a lot of time talking and, more importantly, listening to his colleagues and gaining insight about new ideas and strategies.

“I’ve had the opportunity to discuss my strategic vision with lots of constituents, internal and external,” Goes said.

“I’m more convinced than ever that our priorities are to a) embrace the themes of entrepreneurship, innovation and digital transformation; b) provide academic programs that will prepare our students to think creatively and equip them for the 21st century economy along these themes; and c) grow our programs including in markets such as Phoenix and online.”

The digital frontier is where Goes sees the most opportunity. “We’re already playing in the online space, and our continued on page 218 >>> www.BizTucson.com

PHOTO: BRENT G. MATHIS

Paulo Goes

Dean UA Eller College of Management

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Fall 2016 > > > BizTucson 217

BizEDUCATION Space for Career Coaching, Development

By Romi Carrell Wittman

The new Karl and Stevie Eller Professional Development Center, a 13,000-square-foot addition to the Eller College of Management’s McClelland Hall on the campus of the University of Arizona, debuted in August amid much anticipation. The facility provides a much-needed, dedicated space for Eller’s team of career coaches and professional development staff.

The concept of providing career coaches and a highly personalized professional development path for Eller’s 5,500 students was born three years ago. Pam Perry, associate dean of the Eller undergraduate program, said that incoming students, realizing the need to position themselves as early as possible for their careers, expressed a desire for internships and other career experiences.

“The Eller College attracts over half of its students from out of state. As a result, they have distinct placement ideas,” Perry said. “This is a heavily coached generation so we needed to make more time to talk to the students about their future and prepare them.”

At that time, Eller students approved a fee that enabled the college to expand its professional development services department to include six on-staff career coaches with specific industry expertise tied to Eller undergraduate majors. In addition, the funding enabled the addition of courses in career exploration and career plan mapping.

The program, with its one-on-one coaching, mentoring, internship and externship opportunities, has been enormously successful in preparing students for post-grad life. A majority of seniors have secured a job by graduation and, in the case of the recent finance graduates, there was a phenomenal 99 percent placement rate.

However, until the building expansion, space for the program was extremely limited and many students complained about the lack of a collaborative workspace at McClelland Hall. These two challenges were the driving forces behind the new PDC space.

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Perry spearheaded the expansion project, which includes offices for career coaches to comfortably meet with students as well as dedicated areas for visiting recruiters so that the visits can now take place in-house at Eller, rather than across campus. The expansion also gives students much-needed 24/7 work space and places to prep for group projects, interviews and presentations. In short, the new PDC is a hub for undergraduate career development and student collaboration at Eller.

“Students need different things at different times,” Perry said. “We try to help students find their potential and get their dream job and this dedicated space allows us to better do that.”

The new two-story PDC encloses McClelland Hall on the south side and includes:

• A

50-person state-of-the-art classroom for career training and courses and recruiter presentations

• A 20-person conference room for career presentations by alumni, mentors and employers

• Interview

rooms, which also can be scheduled by students for study when interviews are not in session

• Offices for the Undergraduate Program’s Professional Development Team, including career coaches

• Team rooms, which can be scheduled by students for mock presentations

•

A large, open concept, flexible student collaboration hub, to be used for study, team projects, interview practice and recruitment events

• Basic

kitchen space to allow for

catering to host receptions

• A separate entrance to the outside to allow student access to the PDC in the evenings, when the rest of McClelland Hall is closed

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continued from page 216 online MBA program is growing as is our MIS with specializations in big data and cyber security,” he said. “I want to take advantage of where we are.”

He also sees a lot of possibilities in the Phoenix market and in hybrid online/ traditional classes. “I want to develop programs that make sense,” he said.

“There are lots of possibilities and a lot of excitement. This is a great college, with the intellectual capacity, the faculty and the innovation we are famous for.”

Goes said retention of top faculty is a major priority, as is maintaining Eller’s world-ranked programs. But he also wants to tell Eller’s story to the world.

“We have great strengths and create wonderful opportunities of success for our students.”

Goes was selected as dean in December after an exhaustive yearlong search. In a statement on his appointment, UA President Ann Weaver Hart said, “Dr. Goes is a wonderful scholar and his leadership of the Department of Management Information Systems has helped build it into an international powerhouse. As a leader and as a faculty member, he is deeply attuned to the needs of business, and his unique perspective will see the Eller College achieve new heights of excellence and impact.”

Originally from Brazil, Goes received his Ph.D. from the University of Rochester, and he later worked at the University of Connecticut, where he cofounded a unique university-corporate partnership with General Electric and headed the Center for Internet Data Research and Intelligence Services.

In 2007, he received a phone call about a department head position at the UA and was immediately interested.

“There was top-level research going on,” he said. “I was really attracted to that.”

Goes, his wife and two children made the move to Tucson and fell in love not only with the university, but the community. He said the climate and Latininfused culture made him and his wife, who is also from Brazil, feel comfortable almost immediately. “I think all the ingredients for a great life are here,” he said.

Biz www.BizTucson.com

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BizSPACE

Dante Lauretta, a UA professor of planetary science and the principal investigator for the entire OSIRIS-REx mission.

To The Asteroid

By Eric Swedlund

OSIRIS-REx − a complex and ambitious space mission designed to return sample material from an asteroid − is also a tremendous boost to Tucson’s economy and the University of Arizona’s already world-class reputation in space exploration.

The September launch of the OSIRIS-REx mission marks the second time the UA was chosen to lead a NASA mission. And while the first − the successful Phoenix Mars Lander mission launched in 2007 − carried a $386 million price tag, the OSIRIS-REx grant more than doubled that with an $800 million mission cost. A full 25 percent of the funding was directly awarded to the UA to fund mission preparations, operations and science in Tucson.

The mission builds on more than 50 years of history for the UA as a leading NASA partner, beginning with the founding of the Lunar and Planetary Laboratory in 1960. The OSIRIS-REx mission has a staff of about 60 full-time, high-tech positions.

The full title of the mission – Origins, Spectral Interpretation, Resource Identification, Security, Regolith Explorer – outlines its goals to travel to an aster220 BizTucson

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oid and collect a sample to bring back to Earth for analysis of its resources, in particular the sort of molecules that could provide insight into the formation of the solar system 4.5 billion years ago.

“We want to understand the processes early in our solar system’s history that may have led to key molecules for the origin of life,” said Dante Lauretta, a UA professor of planetary science and the principal investigator for the entire OSIRIS-REx mission.

The spacecraft will travel to Bennu, an asteroid rich in carbon, selected because it may contain molecules important for the development of life. Bennu also is one of the most potentially hazardous asteroids, with a relatively high probability of impacting the Earth late in the 22nd century.

The spacecraft is scheduled to launch from Cape Canaveral sometime during a 34-day window starting Sept. 8. It will begin its approach to Bennu in August 2018, then map and survey the asteroid for a year as it selects a landing site. The spacecraft will briefly touch down on the surface of the asteroid to retrieve a sample. Lauretta knows the challenges involved in making the whole sequence

execute according to plan.

“We have to launch and rendezvous with the target, but the asteroid is not like a planet. Getting into orbit is a challenge,” he said. “We’ll be doing a lot of formation flying with the asteroid, a lot of proximity operations. The challenge ultimately is to fly the spacecraft right into the asteroid, grab that sample in a five second touch-and-go maneuver and then get out of there.”

A successful mission will return the asteroid sample to Earth in September 2023, and over the next two years, the science team will analyze the sample.

The scale and complexity of the mission, starting from its early proposals, means Lauretta will spend more than half his career − 21 years − working on OSIRIS-REx. Lauretta, a Tucson native, first joined the program in 2004, when Michael Drake, then head of the Lunar and Planetary Laboratory, asked him to join as deputy principal investigator.

Lauretta’s expertise in early solar system processes, particularly origin of life and origin of water and other volatile components, complemented Drake, an expert in extraterrestrial geology. www.BizTucson.com

An early stage of spacecraft assembly before many of the instruments were installed. – Lockheed Martin Corporation

The high gain antenna and solar arrays were installed on the OSIRIS-REx spacecraft prior to it moving to environmental testing. – Lockheed Martin Corporation

Bennu & Beyond UA Leads Second NASA Mission

Drake passed away in 2011, just four months after NASA awarded the mission. Today the OSIRIS-REx mission is headquartered in the Michael J. Drake Building northwest of the UA campus.

The project’s long duration ensures it will draw the attention of the scientific community at several points, from the launch, to the sample collection, to the return and beyond, as UA researchers conduct their analyses.

“When we get to the asteroid, there will be people all around the world watching what we’re up to,” Lauretta said. “This really fosters the whole notion of Tucson as a science city and a hub of innovation and space exploration. We hope to catalyze more interest and investment in our city and rally all the industry and academics based here in Tucson.”

The UA’s dedication to involving even undergraduate students in the day-today work on missions like OSIRIS-REx provides a crucial boost for the career prospects of those students involved.

Bradley Williams, now a systems engineer on the OSIRIS-REx camera suite, was one such student. The Californian became entranced by space science www.BizTucson.com

while in elementary school and chose to attend the UA specifically because of its long involvement with NASA missions.

“That was the selling point. I knew no matter what I went into, if I was doing astronomy or optical science or engineering, I would have a path to get to the space sector,” Williams said. “What I’ve learned since is the UA embraces an atmosphere and culture that allows you to make the connections you need to make the steps to the next level after graduation.”

When the OSIRIS-REx project was awarded in 2011, Williams was already working in the Lunar and Planetary Laboratory as an undergraduate engineering student. He began working on the imaging portion of the project, and once he graduated in 2013, was hired as a full-time professional staff member.

As a young engineer Williams already has a resumé that sets him apart, and his position as a university employee also allows him to pursue his master’s degree.

Being able to work closely with Lauretta has additional benefits.

“Having the PI co-located with the operations and instrument teams provides more than just keeping morale

up among the engineers and scientists,” Williams said. “Dante provides useful insight into the key decisions being made at the project level along with providing a culture within the university that recognizes individual achievements and hard work towards mission success.

This is unique because it spawns career growth, which is not always evident in private industry. It is really hard for a young engineer like myself to get lost in the crowd on this mission but rather it is easy to stand out.”

With the Phoenix Mars Lander and now OSIRIS-REx, the UA is the only university to lead two NASA missions, which Lauretta said is not only a tremendous credit to the exceptional history of space and planetary science, but a cornerstone to the next generation of advanced research.

“Having a university lead a program like this is something NASA should continue to do into the future,” he said.

“We’re training the next generation workforce and it’s a phenomenal opportunity for our students.”

Biz Fall 2016 > > > BizTucson 221

BizMILESTONE

Rogo Rodriguez

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PHOTO: BRENT G. MATHIS

Owner Rogoâ&#x20AC;&#x2122;s Finishing Touch

www.BizTucson.com

Flooring Tucson for 35 Years A Locally Grown Success Story

By Christy Krueger A popular trend in recent years is the use of colored concrete in the home, a resurgence from decades ago that can be seen in many homes around University of Arizona dating to the 1920s.

As new styles came along, colored concrete became a lost craft, according to Rogo Rodriguez – until he revived it when he founded Rogo’s Finishing Touch in Tucson in 1981.

Fresh out of the military and 21 years old, Rodriguez found a job here as a tile setter. He quickly noticed his employer’s lack of attention to good customer service, and when his attempts to change the company’s attitudes didn’t work, Rodriguez ventured out on his own.

One week later his former employer began subbing him for work, essentially launching him into a long-lasting, successful business.

It evolved into what Rodriguez describes as a service company that collaborates with customers to create indoor floors, outdoor patios, pool decks, showers and countertops. While he installs original floors and other surfaces for new-home builders, the vast majority of his work is remodeling existing homes and businesses, with 80 percent of those residential jobs. He says that’s by choice because he enjoys working with homeowners. In addition, some of his favorite commercial clients are churches and the DeGrazia Gallery in the Sun. Rogo’s Finishing Touch has a large showroom, offering customers an unwww.BizTucson.com

limited range of ideas. “Modify, beautify and simplify” are mottos he uses to describe the infinite number of options that can be created. “The showroom is important so people can get ideas,” said Rodriguez. “Our only limit is your imagination.”

Techcote is the company’s term for its textured concrete coating. Over the years Rodriguez developed a process for creating and applying the coating that is quicker and easier than what had been used in the past.

He recalled a photographer he met during his first year in business who led him to one of the processes he uses today. Rodriguez applied a concrete finish to the man’s floor, which he knew would take several days to dry. The customer preferred not to wait that long and suggested a product used in photography for quick drying – linseed oil. Rodriguez sealed the floor with linseed oil and it amazingly dried overnight. It was an “aha” moment and one he remembered from that day on.

Techcote overlay can be used to resurface floors into a scored or nonscored look. It can be made to look like wood, ceramic or Saltillo tile or even go on the walls for an Old World washed effect. The concrete coating is easily applied directly over an existing floor, countertop or shower tiles, and epoxy can be added for a shiny look if desired.

Customers may opt for either a smooth or textured finish.

Rodriguez learned through survey cards that most of his customers heard about the company through word of mouth. He believes there aren’t many other businesses in Tucson doing what he does, so he’s frequently the recommended choice when homeowners ask around. “There are new companies that see our success and think it’s easy.

Nobody has a showroom like ours or a process like ours. It takes time and years to develop,” he said.

One aspect Rodriguez said homeowners like is that concrete is a natural product. “Everything is water based, so there are no fumes.” In addition, concrete surfaces are durable and low maintenance.

All colors are custom mixed, and the formulas used to establish those colors are retained so if customers come back and want another room’s floor to be the same or need a crack in their stained floor filled, it will match exactly. Rodriguez says he can match anything.

In July he celebrated the 35th anniversary of his business with what he called a “Tucson appreciation event.”

He recognized employees, gave a party for vendors and contractors, and ran sales for the public. His primary purpose was to offer a shout-out to all those folks responsible for him being here today: “I want to thank the Tucson community for giving us trust in their homes. I take that seriously.”

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PHOTO: AMY HASKELL

PHOTO: AMY HASKELL

Rev. Anne Sawyer Co-founder & Head of School Imago Dei Middle School

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BizEDUCATION

Middle School Creates a ‘Village’ for Young Students

PHOTOS: COURTESY IMAGO DEI MIDDLE SCHOOL

By April Bourie “It takes a village” is a phrase that many of today’s parents know all too well.

This “village” often consists of an intricate network of grandparents, babysitters, friends, teachers and after-school programs. The wider “village” for Imago Dei Middle School − an independent, tuition-free middle school for children from low-income families − extends to a collaboration of individuals, companies and nonprofits in Tucson.

The strong support of these entities is helping the school to achieve its vision of breaking the cycle of poverty through quality education. The school recently celebrated its 10th anniversary.

Ninety percent of its graduates have gone on or are on track to receive their high school diplomas. The school recently was named the beneficiary of a $600,000 grant from Angel Charity for Children.

Imago Dei – translated it means “Image of God” − is an Episcopal school that welcomes children of all or no faiths. It serves children in grades five through eight who qualify for the national free or reduced lunch program.

Rev. Anne Sawyer, co-founder and head of school, said the experience is an “education of the family.” A requirement for “scholars,” the term the school uses for its students, is to have a parent or guardian at home that will support the child through his or her tenure at the school. Many of the parents value education but may not have the resources to provide the support the children need to succeed.

“Many of our families are dealing with economic, housing and unemployment problems, which force them to focus on priorities other than their children’s education,” Sawyer said. “We even see a few cases of addiction and abuse.”

To overcome those obstacles, the www.BizTucson.com

school operates differently than other schools, Sawyer said. Students attend classes 10 hours a day, six days a week, and 11 months of the year.

“Many students who come to us in fifth grade are actually learning at a second- or third-grade level,” Sawyer said.

“Because of the extended schedule, our teachers are able to teach and build relationships with the children, discovering their specific needs (both at home and at school), and close those educational gaps.”

When scholars are getting close to graduation, the staff assists in choosing the best high school that will continue to motivate them to learn. In addition, college selection and scholarship application assistance is provided to any scholars requesting it.

THE 2016 ANGEL BALL Saturday December 10, 2016 Westin La Paloma Resort & Spa 3800 E. Sunrise Drive

5:30pm Cocktails & Casino Games 8:30pm Dinner & Dancing Black or White Tie $375 per person $750 per couple (520) 326-3686 www.angelcharity.org

“It’s a terrific journey,” said Alba Nichols, whose four children have attended the school, three of whom have graduated. “The teachers are able to help with any issues, and my kids have become so much more independent and responsible because of their time there.”

Downtown Tucson, where Imago Dei is located, has become an extended campus for the young scholars. The school collaborates with the Sonoran Glass

School, Playformance, Arizona Theatre Company, UCA Tucson Capoeira and the Tucson Museum of Art to provide enrichment classes.

“Given the close proximity to TMA, our collaboration is an ideal relationship where students are able to walk to the museum to learn about various artistic practices and diverse exhibitions on view,” said Marianna Pegno, associate curator of education at the museum.

“Working with these students over several years has built trust, comfort, creativity and critical thinking for them, and sets the stage for TMA to engage with local schools.”

Imago Dei also partners with the Tucson Girls Chorus, Intuit and several colleges at the University of Arizona.

Sawyer said the school’s success “is a result of the love and support of the entire Tucson community and its support of education.”

Operating costs at the school amount to approximately $15,000 per student.

Many of the enrichment collaborations are covered by grants, which the local arts organizations have applied for on their own. Salaries and other operating costs are covered completely by donations and grants, making the $600,000 Angel Charity award extremely valuable. Imago Dei will purchase its building with the award.

“We were renting our space, but now we have the confidence of owning the building and even receiving rent payments from other tenants,” Sawyer said. “It is truly an honor to receive this award from an organization with such leadership, knowledge and expertise.”

Adding Angel Charity into Imago Dei’s “village” of support will position the school for success in the next 10 years and beyond, Sawyer said, allowing it to make a positive difference in the lives of its scholars and their families.

Biz Fall 2016 > > > BizTucson 225

PHOTO: GROUNDWORKS PROMOTIONS

BizCOMMUNITY

Back row from left – Obed Rodriguez, Tony Penn, Saul Perez, Zachary Brown, Edmund Marquez and Jorge Hernandez. Front row from left – Delisa Patricio, Inez Torres and Janai Molina. All seven youth are members of the United Youth Leadership Council.

Uniting A Force Against Poverty

Marquez To Lead United Way Campaign

By Steve Rivera When Edmund Marquez got the call from United Way of Tucson and Southern Arizona inviting him to serve as the 2016–2017 campaign chair, he felt overwhelmingly honored.

And that’s from a man who already volunteers at more than his share of events and organizations.

“I intend to wear United Way on my sleeve during this campaign, talking to as many people as I can about the great work the United Way does for Southern Arizona,” he said, “and how we can all get involved to make Tucson the best place to live in the world.”

The annual campaign is a long-standing success, where more than 100 local businesses and thousands of employees 226 BizTucson

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participate to raise millions of dollars for locals in need.

“In our annual campaign, United Way will continue uniting a force against poverty through collective impact and its work with more than 80 partner agencies,” said Tony Penn, president and CEO of the United Way of Tucson and Southern Arizona. “Our community depends on the active engagement of our business partners and community leaders to support programs and initiatives that eliminate poverty in our region.

We look forward to Edmund’s continued leadership, dedication and community service as we enter our 2016-17 campaign year.”

For the United Way, Marquez’s appointment was a nowww.BizTucson.com

brainer given his connections and love for the city.

“The United Way does so much good in our community, that it was right in my sweet spot,” said Marquez, a local businessman. “This is my first time being involved directly with the United Way, and what a great way to get started.”

Marquez grew up in Tucson and is aware that Tucson is a generous place.

“Tucson gets it,” Marquez said. “From serving on all of the boards I have been on, I have met some of the most loving and giving people here in Tucson. They not only give of their time and monies, but they give their passion and energy to the causes in our community. Like most communities, we also have the big givers, like Jim Click, Don Diamond, Michael Kasser, Humberto Lopez and others, who give time and time again. We are so lucky to have them and their resources here in Tucson.”

Marquez, who owns three Allstate Insurance agencies in Tucson, has the second-largest Hispanic-owned Allstate agency in the nation. He’s on a number of boards and does his share of playing host or being an emcee for even more events. He currently serves on the boards of the Rio Nuevo Multipurpose Facilities District, Sun Corridor Inc. and Southern Arizona YMCA. He vows to lead the campaign by having fun – something he always does – and with the aggressiveness that has made him a successful businessman.

“I hope to bring a lot of positive energy and a fun vibe to the campaign,” he said. “The United Way has an amazing staff. I’m looking forward to having a blast with them.”

Marquez has been connected– on various levels – to the United Way in past years, given his long history of community involvement.

“I’ve always appreciated the overall encompassing community effort of the United Way here in Southern Arizona,” he said. “From Days of Caring, where I witnessed volunteers come paint a YMCA branch when I was the chair, to the financial support I have seen them give the other nonprofit boards I’ve served on, the United Way is simply awesome. I am honored to now lead the charge on the new campaign. It’s like it has all come full circle.”

Marquez already has a lot on his plate, but he expects this campaign to be a great success and will remind the people he meets with daily of the importance of the United Way. “I simply love our community,” he said. “I am a firm believer that no one is going to come to Tucson to do this for us, and that we Tucsonans need to roll up our sleeves and get involved.”

Biz

DAYS OF CARING

Southern Arizona’s single largest volunteer event Wednesday Oct. 19 & Saturday Oct. 22 United Way of Tucson and Southern Arizona invites volunteers to register through Oct. 12. www.unitedwaytucson.org/volunteer www.BizTucson.com

Fall 2016 > > > BizTucson 227

40 From left

Ryan Hansen

President, Bon Voyage Travel

Peter Evans

CEO, Bon Voyage Travel

Business of Travel Changing with the Times PHOTO: BRENT G. MATHIS

By Christy Krueger

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www.BizTucson.com

BizMILESTONE It was 40 years ago that then-college student Peter Evans and a friend mulled ideas to make money.

“We narrowed it down to travel, and we looked into the possibility of starting our own agency,” Evans said. They did, and they named it Bon Voyage Travel, an operation expected to gross $150 million this year while the owner and staff celebrate four decades of success.

Booking travel in the 1970s and 1980s was hard, said Evans, who has reinvented his business several times. The agency opened on North First Avenue, across from Rillito Park Race Track. At first, his youth and lack of business experience were a bit of an anchor, Evans said. But hard work and a flexible business sense paid off.

“We soon moved to a brand new shopping center at Orange Grove and Oracle roads,” he said. “A year into it, my partner lost interest. I bought him out for $1,000.”

Gerald Ford was president then. Most of the business was penning airline tickets since air carriers paid commission, and computers had not become integral to the travel industry.

“I had two to three employees the first year. We just muddled along for a while, having some success,” Evans said.

“Then I decided to focus on business and corporate travel, and I landed two major accounts, one with the University of Arizona Athletic Department, the other with ADP Architecture,” he said.

UA required travel for teams, recruiters and administration. ADP was a large operation also requiring a slew of travel.

“After that, we had credibility and we had revenue, and we were up and running,” Evans said. By about 2000, Bon Voyage was the largest travel agency in Tucson and the largest private agency in Arizona.

“Then 9/11 occurred, and everything stopped,” Evans said. “We had no business because no one was going anywhere. That lasted two or three weeks.

It was scary. I didn’t know if we were going to have to fold our tent because we didn’t know when things were going to get back to normal. Fortunately, we weathered the change.

“I’m proudest of the fact we have been able to adjust and adapt to all the changes. That is one of our strengths. www.BizTucson.com

We have been nimble,” Evans said. The agency also grew through acquisitions from consolidations.

“Had we not created a good work environment, we would not have been as successful as we were in making these additions,” Evans said. Bon Voyage at one time operated 16 travel offices, located in neighborhoods for client convenience. Today, fewer than a half dozen travel agencies, including two Bon Voyage offices, serve greater Tucson. A third Bon Voyage is located in Green Valley and a fourth is in northwest Phoenix.

“

I’m proudest of the fact we have been able to adjust and adapt to all the changes.

That is one of our strengths. We have been nimble.

”

Peter Evans Owner Bon Voyage Travel –

Bon Voyage is a smooth-running machine, Evans said. He credits his employees for taking the grind out of the work. Many of the 100 travel advisors have been with him for years, one for 33 years, he said. Added up, the advisors have logged more than 1,756 years at the agency. They have booked more than 100,000 around-the-world trips.

As part of the 40th anniversary celebration, Bon Voyage reorganized its senior leadership team composed of executives who together represent more than 70 years of service to the company.

Evans is now CEO and Ryan Hansen is president, after serving as VP and COO. Wendy Hathorn is VP of sales and marketing, after four years as director of marketing and more than 20 in other positions with the company.

Adam Lazarus is the new VP of digital strategy, after two years director of digital strategy. Evans said, “I am confident that we’ll be equipped for decades of success to come with this new leader-

ship team.”

Many failed travel companies blamed computers, which enabled travelers to make their own travel plans, but it was the computer that led to the continued success of Bon Voyage. Evans waded into the premium and luxury segment of cruise and tour travel for which the computer is essential.

“We have become deeply engaged in the online business of selling travel. We have an online division with a variety of websites, including bvtravel.com, where we market throughout North America,” said Hansen. “We are selling cruises throughout North America, and we are a much bigger deal with the cruise lines and tour companies than anyone locally realizes. We are in the top 10 in sales with some of the cruise lines.”

“The cruise industry is growing tremendously,” Evans said. “How can you not like to cruise? You get food, entertainment and accommodations. You can see the world without packing up and driving.

“Some cruises have themes such as wine tasting, cooking or music. We have sold around-the-world cruises for as much as $350,000 per couple. We typically sell five to eight world cruises each year at an average cost of $120,000.

“Most of those travelers don’t live in Tucson or around Tucson. That’s an example of how the internet has broadened our footprint,” Hansen said. “We are growing and we are getting better.”

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PHOTO: TOM SPITZ Humane Society of Southern Arizona leadership team from left – Diana Cannon, CDO; Chris Slaney, HSSA Board Chair; Clay Bacon, CFO; and (seated) Brandy Burke, COO/Acting CEO. Also pictured – Aiden, tan dog; and Evan, black dog. Below – illustration of new campus courtesy of Humane Society of Southern Arizona.

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$10 Million Animal Care Campus Humane Society of Southern Arizona Campaign Underway

By April Bourie About 72 years ago, the Humane Society of Southern Arizona was founded by a group of women who requested a donation from a local rancher who raced horses. “If my horse comes in first place in the next race, I will donate this property to you,” he told them. His horse won.

That location, 3450 N. Kelvin Blvd., south of the Rillito River and east of Country Club Road, has served as the Humane Society campus ever since, but the organization is quickly outgrowing it.

“Animal welfare has changed quite a bit in the last 72 years,” said Diana Cannon, HSSA chief development officer.

“We have morphed into an inefficient campus at our current location. We’ve put new services in temporary buildings where they fit on our property, rather than in a location that makes sense. It really is a patchwork.”

The need for services has also grown.

Cannon explained that in addition to animal admissions from individuals in Tucson, the nonprofit takes in 1,700 animals each year from other animal organizations in Tucson, and even as far away as New Mexico.

To resolve these issues, HSSA is building a new campus at 635 W. Roger Road, less than one block west of Oracle Road, that will be more efficient and better serve the animal welfare needs of Tucson and Southern Arizona.

The Architecture Company was chosen in an extensive RFP process to design the new campus, which includes three main and distinct entrances: www.BizTucson.com

• The Welcome Center, where people wanting to adopt animals enter

• The

Admissions area, where the public can bring or search for lost pets

• The Clinic, which also has separate entrances for dogs and cats.

These distinct entrances reduce crosscontamination between all of the animals coming for various services, and they reduce wait times for Humane Society customers. Educational programs and special events will also be held at the new campus, something the current facility cannot easily accommodate.

“We are honored and proud to be able to serve our community, and this new facility is going to allow us to better meet the needs of our pet population,” Cannon said. “We can’t wait to begin this new chapter.”

“We are very fortunate to have Shelter Planners of America partnering with The Architecture Company on the design of our new campus,” said Brandy Burke, COO and acting CEO. “The new campus design incorporates the latest and best in animal sheltering and is going to significantly reduce the time it takes for a pet to find its forever home.

The quicker we can help a pet get adopted, the more animals we can help.

It’s a win-win for everyone.”

The campus will also include more natural space with many mesquite trees for shade. Richard Fe Tom, owner of The Architecture Company, said that they took cues from the land in the design.

“The mesquites that were already located on the property provide shelter and food for the wild animals living in them,” Tom said. “HSSA also does this for the animals it takes in and cares for.

We wanted to utilize these trees and expand on the natural aspects of the lot to allow the site to tell the story of the importance of the Humane Society of Southern Arizona’s mission and vision.”

A capital campaign has raised more than 60 percent of its $10 million goal.

“Once we give a tour of our current campus to potential donors, it is easy for them to understand how great our need is,” Cannon said. The public phase of the capital campaign is scheduled to launch in January and will include billboards, television and radio, social media, digital advertising and email campaigns, according to Vanessa Ford, HSSA director of marketing and communications.

The $10 million will cover the entire cost of planning, design and construction, which is slated to begin in December and should be completed by late 2017. The capital campaign is necessary because HSSA doesn’t receive any government funding. “The Humane Society of Southern Arizona is a private 501(c)(3) organization that depends solely on the generosity of donors and foundations to operate and to build new facilities,” Burke said.

Anyone interested in learning more about the capital campaign should contact Diana Cannon at (520) 321-3704, ext. 117 or dcannon@hssaz.org. or donate online at hssaz.org/building Biz Fall 2016 > > > BizTucson 231

BizBRIEFS Kristian Kluge

Tucson Appliance Company named Kristian Kluge retail sales manager for the company. He has been with Tucson Appliance for four years. Previously, he was in food service, including a management position at the El Dorado Hotel and Casino in Reno, Nevada. Kluge is an experienced customer service specialist and is a integral part of the company.

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Don Rabe

Don Rabe was recently promoted to assistant sales manager at Tucson Appliance Company where he has worked for more than three years. He is a University of Arizona graduate with a bachelorâ&#x20AC;&#x2122;s degree in retail and consumer industry.

Rabe has more than 13 years of experience as a manager in the food and hospitality industry. Prior to Tucson Appliance, he worked in retail at Dillardâ&#x20AC;&#x2122;s for four years.

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Deanna Spears

Deanna Spears was promoted service manager at Priority Appliance, Tucson Appliance Companyâ&#x20AC;&#x2122;s repair and service department. She manages technician schedules and appointments and purchasing. She is in communication with various appliance manufacturers, reviewing warranty eligibility. She serves as the direct contact for customers and acts as their liaison when dealing with warranty and repair issues. She has been with the Tucson Appliance for 12 years in various administrative positions.

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Bill Holmes

‘Passionate’ Community Leader When Bill Holmes passed away suddenly in July, many in the community wondered how one so full of life could suddenly be gone, just when he reached the pinnacle of his life. As news spread throughout the community, shock and disbelief were shared by all who knew this vibrant, passionate community leader.

Holmes, 58, had recently married Shelley Pozez, his soulmate for more than seven years. The marriage blended their families: his three daughters, Laurie Orozco, Christina Cruz and Becky Cruz, and Shelly’s children, Lindsey and Josh Baker.

As the managing partner and CEO of Agape Hospice & Palliative Care, Holmes had found a place where he could work to bring compassionate care to those facing loss.

“As a business partner, Bill was the best there could be,” said Tammy Burns, one of his partners at Agape. “Not a day went by that I did not feel gratitude for the amazing team we have at Agape. He was always a bright light in the office, lifting the mood and bringing that little bit of comedy relief that kept our spirits up in trying times.

“Bill was like a member of the family.

If there is one thing he did in Agape, it was model Agape love − and help others find that thing inside that you constantly have to find in order to keep on going, especially in the provision of hospice care.”

Holmes lived and worked in this community for nearly 40 years. He was known for his selfless contributions through his endless volunteering, his service on various boards and his individual giving to others in need. He truly was dedicated to making the world a better place.

Some of the many boards he served on − Tucson Metro Chamber, American Heart Association, Tucson Medical Center Foundation, Tucson Hispanic Chamber of Commerce, Fox Theatre Foundation, Saguaro Girl Scout Council, Chicanos Por La Causa, El Rio Foundation, Catholic Community Services, Angel Charities, Juvenile Diabetes Research Foundation, Up With People, 234 BizTucson

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Downtown Tucson Partnership, Pima Youth Partnership, La Frontera and the Jewish Federation of Southern Arizona.

What is notable about his service was he didn’t just give in one area − he believed in helping his community as a whole.

While it is always hard to find words to describe the loss of loved ones, in Holmes’ case, words seem even harder to find that capture the essence of one so full of life, compassion and energy for all that surrounded him.

“Bill could light up a room before he even entered it,” wrote Michael Varney, president and CEO of the Tucson Metro Chamber, and a close friend. “His gentle, courteous mannerisms were his trademark.”

Bill & Shelley

Those sentiments were echoed by many. More than 1,000 people gathered, with standing room only, at the celebration of his life, held at the Jewish Community Center. “Selfless giving” and “sense of humor” were the characteristics most often shared by those mourning his passing. Those who spoke challenged all who knew him to honor his memory by making a commitment to “living more like Bill.”

“Bill Holmes was a good friend and a business partner in that order, and that friendship always encouraged me to be the best version of myself,” said Russell Burns, Holmes’ other Agape business partner. “I look forward to being that kind of friend to others myself.”

“Bill was passionate about the health and wellness of his community,” said Brenda Goldsmith, executive director of the El Rio Foundation. “He felt strongly that every child should have access to quality healthcare and education. Bill was a dear friend and mentor.

His love of life and worldwide impact will live on in the lives of those he inspired.”

Sam Burns, COO at Agape, worked closely with Holmes. “Bill was the exact same person behind the scenes in the office as he was out on the stage of life in the community. He was 100 percent authentic.”

Michael Luria, executive director for the Children’s Museum Tucson where Holmes and Pozez were married this spring, has known Holmes for many years and developed a deep friendship in recent years.

“When you think of Bill you think of his smile, his laughter,” Luria said.

“What people don’t often realize was how smart he was and how perceptive he was. He was a great listener and would help put things in perspective, offering wise and sage advice. That’s why he was so successful in business.

“Bill always saw the brighter side of things. That’s why I think people − even those who didn’t know him well − were so shocked. I don’t know that I will have the good fortune to meet another Bill Holmes in my life.”

Debbie Rich, CEO of Girls Scouts for Southern Arizona, recalled Holmes’ mentorship. “He was my first boss when I became a CEO,” she said. “He was just man enough to be a Girl Scout. By that, I mean he recognized the power that girls have and how they could be successful with the right resources. He’s always here. He’s ever present.”

“There will never be another Bill Holmes,” said Shelley, his widow.

“That’s what his girls say, and not just because he was their father. It’s because of his integrity, his character, the way he made people feel when they were around him and his respect for others.

There will never be another Bill − I truly believe that.”

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PHOTO: BRITTA VAN VRANKEN COURTESY SHELLEY JO POZEZ

By Mary Minor Davis

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