FALL FALL 2012 2014 SPRING 2015
THE REGION’S BUSINESS MAGAZINE
SPECIAL REPORTS: SOUTHERN ARIZONA LEADERSHIP COUNCIL COMMUNITY FOUNDATION FOR SOUTHERN ARIZONA TUCSON JEWISH COMMUNITY CENTER
SPRING 2015 • $3.99 • DISPLAY UNTIL 06/30/15
Volume 7 No. 1
Publisher & Owner
Steven E. Rosenberg Brent G. Mathis
Creative Director Photo: Steven Meckler
Science writer Eric Swedlund said it best – “The advances in optical sciences over the last half century are staggering. Yet through all the changes, discoveries and breakthroughs, what began in 1964 as the University of Arizona’s Optical Sciences Center has stuck to its core values, even as it rose to worldwide prominence and put Tucson on the map as Optics Valley.” Optics has definitely put our city on the map. Speaking of the map, an exciting new project was recently unveiled by the UA, Southern Arizona Leadership Council and the Community Foundation for Southern Arizona. It’s called the MAP AZ Dashboard and it’s a 24/7 website tool that monitors how our region ranks among comparable western cities. Categories including population, education and healthcare are closely monitored. In some cases – notably innovation – we rank high among our peer cities. In others, we get a clear picture of where improvement is needed. With real-time hard data, MAP – Making Action Possible for Southern Arizona – has the power to transform our vision of the future. Details of the MAP project are a centerpiece of a special report on the Southern Arizona Leadership Council. SALC is a collaborative of more than 100 C-level executives that volunteer their time to drive the community forward through initiatives, collaborations and key projects. This year marks the 35th anniversary of the Community Foundation for Southern Arizona. A handful of Tucsonans, led by the late real estate legend Buddy Amos, created a community foundation that touches a multitude of organizations and causes. Rhonda Bodfield reports on the inspirational story of CFSA. Our third special report impacts the mind, body and soul. The Tucson Jewish Community Center has renovated its fitness center and the results are beautiful. However, there’s a lot more to the state-of-the-art facility than meets the architecturally savvy eye. Gabrielle Fimbres offers a compelling account of the vision for the new J. Downtown revitalization is moving along, thanks to the Tucson Modern Streetcar and nearly a billion dollars of private and public sector investment
along its four-mile route. Dan Sorenson brings us the latest news and a couple of “firsts” to happen in many decades. The sleek, contemporary AC Hotel by Marriott is about to break ground. A market is opening close by and a $13 million renovation of the Tucson Convention Center was recently completed. Sorenson provides a Construction & Development Update. At the heart of any great city is strength of culture, and journalist Mary Davis provides a glimpse into some of our dynamic performing and visual arts groups. As the Wall Street Journal has said, Tucson is a mecca for the arts. This issue has an assortment of smallbusiness success stories that you’ll find interesting – from the state’s most iconic restaurant to a really cool toy store and an eclectic sporting goods emporium. We venture south to Tubac to celebrate a most picturesque and historic resort, then on to Nogales for a special BizGREEN produce company, powered by solar. We also salute this year’s five Father of the Year honorees, as selected by the Father’s Day Council Tucson. Proceeds from the annual gala benefit the UA Steele Children’s Research Center. As BizTucson celebrates its 6th anniversary as the region’s business magazine, we thank our advertisers who invest their marketing dollars to reach the region’s top executives, and you, our readers. We also thank our stellar team for contributions of outstanding writing, editing, photography and design. Thanks to friends and colleagues and – above all – to my supportive family, especially my wife Rebecca. Steven E. Rosenberg Publisher & Owner BizTucson
Gabrielle Fimbres Donna Kreutz Diane Luber Dave Petruska Teresa Truelsen
Contributing Mike Serres Technology Director Contributing Chow Editor Edie Jarolim Contributing Writers
Rhonda Bodfield Larry Copenhaver Mary Minor Davis Gabrielle Fimbres Edie Jarolim Leigh Jensen Donna Kreutz Christy Krueger David Pittman Steve Rivera Dan Sorenson Monica Surfaro Spigelman Eric Swedlund Valerie Vinyard Romi Carrell Wittman
Carter Allen Jacob Chinn Kris Hanning Amy Haskell James Martin Brent G. Mathis Chris Mooney Tom Spitz Balfour Walker
Arizona Builders’ Alliance Greater Oro Valley Chamber of Commerce Tucson Advertising Federation Tucson Hispanic Chamber of Commerce Tucson Metro Chamber Tucson Regional Economic Opportunities (TREO) 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 © 2015 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.
Please send address changes to: BizTucson, 4729 East Sunrise Drive, #505 Tucson, AZ 85718.
SPRING 2015 VOLUME 7 NO. 1
BizMILESTONE 162 GLOBAL IMPACT OF UA OPTICS
6TH ANNIVERSARY EDITION BizBENEFIT 197 21st Annual Father of the Year Awards Gala: 198 Greg Byrne 200 Sgt. Lorenzo Livingston 202 Pat Lopez 204 Warren Rustand 206 Dr. Mark Wheeler BizHONORS 208 Good Scout Award – Honoring Bill Assenmacher Lifetime Achievement Award – Honoring Fred Pace
BizLETTER From the Publisher
32 35 36 38
BizDOWNTOWN Update – Construction & Development Building the Western Front Sleek Modern Euro Hotel
BizARTS Economic Impact $87 Million+
BizMILLENIAL Toys With ‘Play Value’
BizMILESTONE Tucson’s Community Hospital Turns 70
BizAUTO Royal Upgrade, Sparkling Renovation
BizHONORS Sam Fox Honored as UA Executive of the Year
BizECONOMICS Passion for Economics
BizGREEN Fruits of Sustainability
BizHR 210 Employment Law Conference
BizCHOW A Food & Family Force
BizBENEFIT 212 Women’s Foundation Annual Luncheon
BizEDUCATION Inspiring Young Minds
BizSPORTS Bookmans Sports Exchange A Big Hit
69 BizSPECIAL REPORT Tucson Jewish Community Center
70 74 76 82
97 BizSPECIAL REPORT Southern Arizona Leadership Council 104 Leaders for Positive Change 112 MAP Dashboard – Data-Driven Research Fuels Positive Change 118 Cultivating Young Leaders 120 Teachers Are ‘Lifeblood of Community’ 124 Powerhouse of Leaders
BizMILESTONE 156 Historic Resort Celebrates 55 Years BizAWARDS 168 First Impressions, Lasting Impact BizHONOR 176 Mark Irvin’s Passion ABOUT THE COVER GLOBAL IMPACT of OPTICS
Laser shown is used for detecting explosives Photo by Jacob Chinn, UA Alumni Association Creative direction by Brent G. Mathis 12 BizTucson
Tucson’s Heart: JCC Builds Lifetime Memories At Home at The J Health & Wellness Cornerstones Diamondbacks Donate $76,000 to JCC
BizSERVICE Volunteer Day – Builders Give Back
170 MPA Common Ground Awards
CCIM Annual Commercial Real Estate Forecast Lyons & Romo Honored With Legends Award
179 BizSPECIAL REPORT Community Foundation for Southern Arizona
182 185 187 188
Connecting People to Causes They Care About Wise Stewardship Increasing Investment Collective Impact & 35-Year Timeline www.BizTucson.com
By the Numbers “Fresh Produce and Production Sharing – Foundations and Opportunities for Nogales and Santa Cruz County” is a 2013 study conducted by the University of Arizona Eller College of Management and College of Agriculture and Life Sciences. Funded by a grant from the U.S. Economic Development Administration, the study analyzed the economic impact of the fresh produce and manufacturing industries on Nogales and Santa Cruz County. Highlights are: u The value of trade flowing through the Mariposa Port in Nogales is approximately $20 billion annually. u One third of Santa Cruz County’s economic output depends on the fresh produce industry. u Annually about 120,000 trucks cross the border bringing about $2.5 billion worth of Mexican fresh produce (a three-year average). u Primary activities generate $281.5 million, while associated activities generate additional $21.8 million in Santa Cruz County. u Combining direct and secondary impacts, the industry supports more than 4,000 jobs and generates $190.1 million in wages.
Fruits of Sustainability New Reality for Fresh Produce Industry By Monica Surfaro Spigelman Those seeking inspiration about agJungmeyer, executive director of the Fresh Produce Association of the Amerriculture’s next frontier in sustainable icas, an advocacy organization that farming should look to Wilson Produce – whose reputation as a conscientious helps improve efficiencies at the Nogales steward is revving its family farm operaborder. Approximately 70 warehouses tion into high gear while boosting innoand associated industries, including vation in the region’s farm industry. customs brokerage, are headquartered Wilson Produce, a fourth-generation in Nogales, fueling a major source of grower-distributor of fresh fruits and county income. vegetables, has two farms in Sinaloa and Baja California Sur, Mexico, and Fresh produce highway to U.S. also influences the business and agriculand Canada tural practices of the With the fall 2014 company’s more than opening of the newly 15 partner farms in reconfigured Mariposa the Northern Mexico Land Port of Entry, region. Nogales becomes the Its headquarters first port of entry on and main distribution the U.S.-Mexico borwarehouse are in Noder with fully dedicated gales, Ariz. – the gatebus lanes and inspecway to a century-old tion facilities, primed produce “highway” to boost the state’s that currently brings stature in international more than four billion trade and to set new pounds of winter-harrecords in processing vested vegetables up imports and exports at – James Martin through Santa Cruz the border. Director of Sustainability County in a cross-borWilson’s leadership Wilson Produce der industry that feeds is keenly apparent in North America. its pioneering stewardBecause of its strong roots in both ship of its employees, the soil and the Mexico and the U.S., Wilson Produce is water table, Jungmeyer said, underscorpositioned as an industry leader along ing how the Wilson’s multi-generational this fresh produce highway, said Lance legacy is a Nogales institution. continued on page 26 >>>
We’ve made a commitment to incorporate sustainable farming practices into every aspect of the business.
Wilson Produce Earns Arizona’s Greenest Workplace Award
PHOTO: CHRIS MOONEY
Presented by Mrs. Green’s World
Alicia and Chris Martin
Co-Owners, Family-Run Wilson Produce Spring 2015 > > > BizTucson 25
PHOTOS: JAMES MARTIN
continued from page 24 Founders James Childs Wilson and Esther Alcalde Wilson began farming in Sinaloa in the 1930s and their son, James K. Wilson, who constructed the distributorship in the 1960s, was one of the early leaders of the West Mexico Vegetable Distributors Association (which became the Fresh Produce Association of the Americas). Their daughter Barbara, known as Mama Bon, brought farm-to-table cuisine to life in the region via the family’s now famous La Roca Restaurant in Nogales, Mexico. Mama Bon’s daughters continue to play prominent roles in the industry – Alicia Martin was the first chairwoman of the FPAA and Barbara Ann “Bobbie” Lundstrom served on the board of the Arizona Department of Transportation. Today Wilson Produce is owned by Bobbie Lundstrom, Benjamin J. Bon and Alicia and Chris Martin. ‘Green’ warehouse expansion
“We’ve made a commitment to incorporate sustainable farming practices into every aspect of the business,” said James Martin, Alicia’s 31-year-old stepson and the step-great-grandson of farm founder James C. Wilson. As director of sustainability, Martin works with his family to set Wilson Produce apart in programs that extend far beyond the norm – and look at sustainability in economic, environmental and equitable ways. “Healthy plants grown in healthy soil by an engaged network of trained farmers with respect for the land and their communities will produce quality fruits and vegetables,” said Martin, whose enthusiasm is a snapshot of the family’s sustainability and entrepreneurial spirit. “And it’s good business.” The showcase of the company’s sustainability strategy is its Nogales complex, which recently completed a 25,000 square foot refrigerated warehouse expansion. A.G.E. Contracting’s industrial crushers broke down and repurposed concrete and wood, resulting in many grades of materials used in the construction of the cold storage expansion. In addition, Wilson partnered with Tucson-based Solar Gain and Schneider Structural Engineers to design, retrofit and install some 3,500 roof-mounted photovoltaic solar panels, the largest continued on page 29 >>>
Spring 2015 > > > BizTucson 27
continued from page 26
commercial solar array in Santa Cruz County. Energy-efficient LED lighting was added inside and out, with computer technology synchronizing refrigeration equipment to further reduce electricity use. The Martins also partnered with Solar Gain to open SolGen International SA de CV, a subsidiary solar company in Mexico offering solar solutions to Wilson Produce partner farms and other communities in Mexico. Addressing food security
Part of the farm’s vision is to be an arm of the community that tackles longterm solutions to hunger. Wilson Produce is addressing food security through the Community Food Bank of Southern Arizona and Borderlands Food Bank with donations of 57,709 packages last year. Resource recovery systems, specifically addressing organic waste, also are part of this focus. “Nogales, Arizona is a massive food corridor for the U.S. and Canada, especially during winter months – but what happens to produce that is neither sold nor donated? What else can be done beyond throwing it away?” said James Martin, who indicated Wilson is exploring options including food processing and livestock feed for local ranchers. There’s also a partnership with Patagonia’s Borderlands Restoration to research industry/community-scale composting and “anaerobic co-digestion” systems that use waste to create natural gas and/or electricity, fertilizer and animal bedding. “We’ve received tremendous support in helping achieve these solutions, and we look forward to seeing them through,” he said. Reuse innovation begins with the land and the produce, Martin said in describing origins of the company’s new label – Monster Minis Sweet Peppers. “A few years ago we realized that many mini peppers, around 4 percent of production, were being discarded at the farms – simply because they were graded as misshapen. Because clients are always looking for quality and consistency, we decided to create a label for consistently misshapen, yet good fruit. The idea is catching on.” continued on page 31 >>> www.BizTucson.com
Spring 2015 > > > BizTucson 29
continued from page 29
Next generation workforce
All this passion for the land has translated into a “comprometidos program” of profit-sharing for field laborers which, according to Jungmeyer, “deserves consideration to become an industry model.” As Martin explained, growers have a commitment to sustainable and socially responsible farming that encompasses culture and community. The roots of the comprometidos program calls for farm workers – often over multiple generations – to keep the soil healthy and raise healthy crops that reward the workers, as well as the company and the community, he said. “Comprometidos means ‘I’m committed to you and you’re committed to me,’ and we grow the business together.” Education is key. Wilson supports the K-12 Kino Heritage Fruit Tree Propagation Project and the ecology programs of Tucson’s Manzo Elementary School. “Students are our future workforce and leaders. We’re working to ensure that sustainable models of agriculture continue as the way of the future,” Martin said. Arizona’s 2014 Greenest Workplace Award from Mrs. Green’s World
Recently Wilson Produce’s all-encompassing approach to environmental stewardship won statewide recognition – becoming Arizona’s 2014 Greenest Workplace challenge honoree, the top award in a five-year-old environmental awards program spearheaded by Mrs. Green’s World. “Wilson Produce’s impressive and long-standing record of environmental stewardship extends decades on both sides of the border, representing a deeply-rooted commitment to conserving natural resources,” said Gina Murphy-Darling, the internet radio voice of Mrs. Green and founder of the national environmental network focused on enhanced stewardship. Martin said that while fresh produce is a bright star for the region’s economy, it is so much more than that, “It is a way of life for Wilson Produce and our growers, who come from generations of farmers who will continue to be a key to protecting our environment and helping us grow the productive quality of our land.” Biz www.BizTucson.com
Spring 2015 > > > BizTucson 31
COURTESY RIO NUEVO
Tucson Convention Center Arena
DOWNTOWN By Dan Sorenson
The completion of the Modern Street Car and the opening of The Cadence student housing were major landmarks in the rebirth of downtown Tucson, but they were only a beginning. Development continues – and there’s much more to come. Michael Keith, executive director of the Downtown Tucson Partnership, said the last six months saw a lot of hopeful signs including “a bunch more retail.” Rio Nuevo’s Chair of the Board Fletcher McCusker said the next six months should see the beginning of development of the west end of downtown – every bit as large and maybe even more significant than what has happened on the east end. He said the renovated Tucson Convention Center Arena, together with more exhibition space and a hotel on an adjacent parcel just purchased from Rio Nuevo by developer Allan J. Norville, could bring in new convention business and tie the east end of downtown to the Mercado San Augustín and related development on the west side of Interstate 10. Here’s a wrap-up of what’s happened over the past six months or so – and what to expect over the coming six months. 32 BizTucson
COMPLETED u The $7.8 million first stage of the Tucson Convention Center Arena remodel was completed late last year and a second phase to upgrade the TCC ballroom and related facilities is in the works, according to Rio Nuevo operations manager Michele Bettini. The TCC renovation won the 2015 Project of the Year Award for structures $5M-$25M from the Southern Arizona chapter of the American Public Works Association. It has been submitted to the Arizona APWA, which has not announced award winners. u Pizzeria Bianco, 272 E. Congress, opened last summer. u Barrio Cuisine, 188 E. Broadway. u Pueblo Vida Brewing Company, 115 E. Broadway. u Planet Smoothie, 345 E. Congress. u Fired Pie, 350 E. Congress.
u Street Taco & Beer Company, 58 W. Congress (in Enoteca’s former space on the northeast corner of Congress and Church). u Three new salons – About ME Hair Studio at 1 E. Broadway, Salon Salon at 410 N. Toole Ave. in the train station and Cut Color Polish at 345 E. Congress. u Krikawa Jewelry, 21 E. Congress. u The Dusty Monk Pub, 201 N. Court Ave. in Old Town Artisans. u Flash in the Past, 43 S. Sixth Ave., a boutique photography studio featuring pinup-style photos. Last Chance, 101 E. Pennington St., a new bar in the basement of Reilly Craft Pizza and Drink. u The Screening Room, 127 E. Congress, reopened as a first-run movie theater. u The Nook, a breakfast and lunch restaurant, opened at 9 E. Congress in the space formerly occupied by V Modern Thai.
COURTESY FORS ARCHITECTURE +INTERIORS
u The Johnny Gibson Downtown Market, 11 S. Sixth Ave., plans to open this spring. “It’s the first new grocery store to open downtown in more than 50 years” and it’s locally owned, said Michael Keith, executive director of the Downtown Tucson Partnership. Keith said 97 percent of all businesses that opened downtown in the last 60 months have been owned either by someone local or from within Arizona.
u High Wire, a “molecular mixology” cocktail lounge on Arizona Alley behind where Buffalo Exchange was, also could open by April. u A 6,500-square-foot retail courtyard and eight-story parking garage are the final phases of the new Pima County Public Service Building, a 290,000-square-foot criminal justice facility featuring 14 courtrooms, judges’ chambers and offices for other county officials. u El Rio Community Health Center is working with CDG Architects and BFL Construction Company to restore the Historic Manning House and construct a new threestory building on the property. The $9 million project site will become
It’s a huge benchmark for the ultimate success of downtown when somebody is willing to invest in purely residential property.
– Fletcher McCusker, Board Chair, Rio Nuevo
YET TO COME u Developer Allan Norville’s NorGenerations, awarded a contract to buy and develop a large Rio Nuevo parcel where the Greyhound Bus terminal is now, is expected to break ground on a portion of the proposed $10 million in new facilities it is required to build in the next three years. Nor-Generations already owns other property there and Norville has announced plans for a 100-plus-room hotel, museums and exhibition space. (See article on p. 35)
T I C U R ON
N UPDATE Johnny Gibson Downtown Market
El Rio’s new Administrative Headquarters, housing more than 200 employees. El Rio will become one of the largest non-government employers in the downtown area with 530 employees at their two sites – The Manning House and Congress Health Center site. u A partnership headed by Scott Stiteler, developer of the 200 block of East Congress, expects to break ground on the 136-room, eightstory AC Hotel by Marriott behind Hub and Playground. (See article on p. 36) u Stiteler said he also expects to keep the space formerly known as District Tavern, 260 E. Congress, as “a dive bar. District Bar will remain a dive bar. You cannot develop a dive bar. We’ll be really careful not to mess it up, not overpolish it.” u The Rio Nuevo District accepted an offer from the Rialto Foundation to purchase the Rialto Theatre for $1.3 million. The Foundation has pledged to spend another $300,000 for renovations to the theater. continued on page 34 >>> Spring 2015 > > > BizTucson 33
continued from page 33 u Expect an announcement of a new tenant for the space formerly occupied by Saint House, 256 E. Congress, Stiteler said. u The Factory, an ice cream parlor on the north side of Congress across from Hub, also is coming soon.
Rio Nuevo’s McCusker said such a project would be a significant first. “It’s a huge benchmark for downtown, for the ultimate success of downtown, when somebody like that is willing to invest in purely residential property. The focus isn’t just on the hotels, but on residential because that’s what really makes a downtown work. You get people who want to live there and buy property there and pay market rate for condos. So that’s the first time we’ve seen a major developer commit to a major downtown residential complex.”
u Independent Distillery should open soon on Arizona Avenue, the alley between Congress and Broadway east of South Sixth Avenue, DTP’s Keith said.
Hub Ice Cream Factory
Administration Headquarters at Tucson El Rio Community Health Center
u Also expect to see proposals come forth on the reworking of the Ronstadt Transit Center, Keith said. It could be moved to the end of that 4.6-acre site, nearer to the Union Pacific tracks, or not move at all depending on the plans of the developers bidding on the city deal. But Keith said the center will stay on that site. u Keith also expects groundbreaking for some townhouses on the west side of the Mercado San Augustín. u Renovations have begun to create luxury apartments in the Chase Bank Building annex, Keith said. u Local artist Jeff Ferst’s gallery – Artful Living at One East Broadway – also should be open in the next 90 days, according to Keith.
u There could be a groundbreaking on new apartments or other residential development across from Saint Augustine Cathedral. Anne Lawrence, asset manager for Tucson-based Holualoa Companies, would only confirm that the property – two parking lots totaling 55,000 square feet – is in escrow and that “we are looking at what can be done. We are planning to build market-rate housing downtown.” She said that might mean apartments and row houses, but emphasized the “might.”
Pima County Public Service Building www.BizTucson.com
Building the Western Front New Momentum Needed By Dan Sorenson There was a time, not long ago, when the announcement of a new hotel anywhere in downtown Tucson would have been considered a victory. City government officials, business leaders and Rio Nuevo officers have long cited the lack of quality hotel space as an obstacle to downtown’s viability and growth. And now the first hotel to break ground does so with hip urban style. It’s like hoping for a car, any car – and getting a Jaguar. The AC Hotel by Marriott is a great start. (See story p. 36) Yet the greater goal is getting enough hotel rooms to make the envisioned “other half ” of downtown work, said Fletcher McCusker, chair of the Rio Nuevo Board. “Our challenge is to move west because everything now kind of stops at the Fox Theatre. That’s going to be a real test.” He said the Tucson Convention Center, investor Humberto Lopez’s shuttered Hotel Arizona and the project just launched with Allan J. Norville across the street – “that area by itself is as big as the current downtown. That’s the challenge. Can we keep this momentum as we go west? “We’d like to see 1,500 to 2,000 rooms,” McCusker said. “We’re a long way from that. Of course a lot of it is designed to keep the gem show from moving around. They could probably use 2,500 to 3,000 hotel rooms. “What’s happening in the hotel market, they’re not building these 450-room www.BizTucson.com
complexes anymore, they’re just too expensive to operate. You’ve got to get there in several 200-bed properties. It’s going to take six or eight hotels to get up to the size that could accommodate a convention that might otherwise go to San Diego, Vegas or Dallas. We need to have adjacent rooms and walkable hotels in and around the convention facility.” Developer Norville recently won a bid for developing a piece of Rio Nuevo property that now holds the Greyhound Bus station and is adjacent to property he already owns. Norville’s preliminary plans call for a 140-room hotel, 96 apartments, museums, a theater and exhibition space. Under the terms of the contract he has three years to develop and invest roughly $10 million in construction on the site. There is a $2.5 million penalty to be paid to Rio Nuevo if he fails to meet those goals. With that, the AC Marriott and the possibility of reopening Lopez’s hotel, McCusker said downtown could have several hundred hotel rooms within three years – in addition to new exhibition space to complement the recently remodeled Tucson Convention Center. “Norville is going to be a player there too. He’s adding 120,000 square feet of exhibition space across from the TCC and he wants to have a hotel right on that property. So we’re going to double our convention space right on Granada based on his project. We should be able to compete.”
McCusker sounded optimistic about Lopez’s closed hotel, long seen as a white elephant on the south side of West Congress across from the Pima County administration and court towers. Lopez is trying to get a deal with the city. He believes that there should be incentives. He’s trying to convince the county, the city and Rio Nuevo that they should help him renovate that property, McCusker said. “We think people are coming around on that now,” McCusker said. “It’s adjacent to the TCC. We just invested almost 20 million bucks in the TCC and we’ve got to have some hotels that are within walking distance of the facility or we’re never going to be convention competitive. So I’m hopeful we will get that figured out. “Norville wants to put a hotel on the arena lot that he’s acquiring from Rio Nuevo. So it’s conceivable that we could see three hotels in two or three years that are within walking distance to the TCC. It wouldn’t take Bert (Lopez) a year to reopen and Norville’s got a twoto-three-year window on his property. “These guys were opportunistic to acquire property in a ghetto. There was no guarantee that they’d make money,” McCusker said. McCusker said Rio Nuevo and the local government should come to the table and try to help Lopez, the way they did the developers on the east side of Downtown.
Biz Spring 2015 > > > BizTucson 35
Sleek Modern Euro Hotel AC Marriott – First to Build Downtown By Dan Sorenson A Euro-sleek 136-room, eight-story AC Hotel by Marriott is coming to downtown Tucson. The stylish new Marriott brand is based upon a successful chain of hotels in Spain, Italy, Portugal and France founded in 1998 by Spaniard Antonio Catalán. A partnership headed by Scott Stiteler, the developer behind the 200 block of East Congress and one of the key figures behind the Rialto block, expects to break ground in June on a half square block behind Hub and Playground. The partnership already owns most of the property. Stiteler said he expects to close this spring on the remaining parcel – a freestanding law office on the southwest corner of the block. He said the project should break ground, starting with the demolition of that building, in June. The anticipated 18-month build project would put the opening in early 2017. Lloyd Construction Co. of Tucson, is the general contractor on the $30 million project. FORS Architecture & Interiors (Hub, Playground, Downtown Kitchen + Cocktails, Blanco, North) and Swaim Associates Architects (Unisource Energy Headquarters and University of Arizona Highland Commons) 36 BizTucson
are on board for the design and architectural work. Stiteler’s partners in the project are Rudy Dabdoub of Tucson and Stiteler’s father-in-law, Paul Chellgren, of Cincinnati. Catalán partnered with Marriott in 2011 and Marriott brought the U.S. version of the new brand to the states in 2013. The first U.S. AC Hotel by Marriott opened in New Orleans – the AC Hotel Bourbon – and is to be followed by others in Chicago; Kansas City, Mo.; Washington, D.C.; New York City; Seattle; and, yes, Tucson. The new hotel is bounded on the west by Arizona Avenue, by Fifth Street on the east, Broadway on the south and the Playground/Bianco/HUB building on the north – Congress – side. The 26,000-square-foot property will be eight stories high with a first floor lobby and an anticipated 5,000 square feet of commercial retail space fronting on Fifth Avenue, Stiteler said. “That will begin a retail experience north and south,” Stiteler said. He said while Congress has retail momentum that pulls visitors from one part of the street to another, there so far isn’t much to move people from Congress to Broadway. “All those connections between the
street car and Broadway and Congress – we still have some work to do.” Although the hotel will have entrances on Fifth and Broadway sides, Stiteler said an alley will provide access to the adjacent Congress-side businesses. The Marriott corporation requires daily communication on the progress of the plans for the strictly formatted AC Hotel by Marriott brand property and Stiteler said the project is right on schedule. The deal was made possible by an agreement with Rio Nuevo, which last year voted to buy the hotel’s garage, when completed, for $4.2 million and lease it back to the hotel’s operators, and the city’s support for a low-interest federal HUD loan for the project. Part of the requirements for that loan, Stiteler said, was the creation of roughly 200 jobs. Rio Nuevo Board Chair Fletcher McCusker said it was a “smart deal” with no risk exposure for the public because “we’re not putting up any money up front. No taxpayer money is at risk. We have an agreed-upon price for the lease – better than putting money in the bank.”
AC Marriott – Lounge
AC Marriott – Reception
AC Marriott – Breakfast
Spring 2015 > > > BizTucson 37
PHOTOS: BRENT G. MATHIS
Carlotta Flores Owner El Charro Café
A Food & Family Force By Edie Jarolim the El Charro restaurants, the other businesses are officially in the hands of Carlotta’s three children – Ray Flores Jr., Marcos Flores, and Candace Flores Carillo. But an interview with the Flores family matriarch at the original downtown El Charro was interrupted by information-seeking phone calls from Ray Jr. and Candace, as well as personal appearances by Marcos and by Ray Flores Sr., Carlotta’s husband and tireless business partner. Others vying for Carlotta’s attention included a young employee who was putting together gift bags for vendors at the Tucson Gem, Mineral & Fossil Showcase, and various staff members who wanted to know if Carlotta and her guest needed coffee refills or food or anything else. While apologizing for the distractions, Flores was unfailingly patient and kind to everyone. In response to the question of whether she is good at delegating, Flores said, “I’m fine at delegating if you report back to me. I just need to know if some-
thing has been done.” Women are traditionally expected to balance family and business and Flores is no exception. In her case, the balance is achieved not only by having all of her family members involved in the business, but also by regarding the business as another family member. Candace Flores Carillo, who owns the Stillwell House and Garden and who is also in charge of all the off-premise catering and in-house special events at the El Charro and Sir Veza’s restaurants, explained, “My mother has a maternal love for El Charro. It’s definitely one of her children, the way she cultivates it, molds it, disciplines it, praises it. It resonates in everything she does.” At the same time, Flores Carillo added, “We never felt like our mother wasn’t there a million percent for us kids.” Now that she has her own 2½-yearold, Alex, Flores Carillo is especially amazed at her mother’s juggling skills. “I don’t know how she got us all ready continued on page 44 >>>
PHOTOS: TIIU LOIGU
Carlotta Flores is a force of nature. At 68, an age when many people are kicking back and showing off pictures of their grandchildren, Flores not only serves as the executive chef of Tucson’s three El Charro restaurants, but also has her hand in a host of related projects. They include the muscle-car-themed Sir Veza’s restaurants, with two Tucson- and three Phoenix-area locations; Hecho en Vegas, a dining room in the MGM Grand Resort featuring dishes from El Charro and Sir Veza’s; the Stillwell House and Garden, a downtown Tucson events venue and catering company; Carlotta’s Kitchen, a Tucson commissary that turns out specialty burritos for 7-Eleven outlets across southern California; and a new Mexican food concession at Tucson’s Rillito Park Race Track. That’s not counting the numerous charitable events she participates in, or the boards she’s on. And she does show off pictures of her grandchildren. Aside from Carlotta’s Kitchen and
Spring 2015 > > > BizTucson 39
PHOTO: BRENT G. MATHIS
Thrillist, the website of all things foodie, named El Charro Café’s downtown location as the most iconic in the state.
continued from page 43 for Easter Sunday with new shoes on a limited budget and working 100-plus hours a week.” In the early days, one way that Carlotta Flores managed was by keeping family and work in a single location. The youngest of the three children, Flores Carillo literally grew up at the downtown restaurant. “Everyone tells the story that I came home from the hospital and went with my mother to El Charro in a bassinet so she could check how things were going.” Many Tucson notables helped in the girl’s upbringing. “Architect Les Wallach and his wife would eat at the restaurant all the time and I would sit at their table and do my homework and tell them about my day,” Flores Carillo recalled. Flores herself grew up in El Charro, in the late 1940s and early 1950s. At that time, the restaurant was located on the site of La Placita and run by her great aunt Monica Flin, a larger-thanlife woman who “smoked up a storm,” hunted, and drank martinis from a teapot while playing cards with her friends during Prohibition. Monica’s stonemason father, Jules Flin, was brought to Tucson from France in the early 1880s by Bishop Jean-Baptiste Salpointe to craft the stone facade for Arizona Ter40 BizTucson
ritory’s first cathedral, San Agustin. Today, the Arizona Historical Society is home to the rose window that Flin created from volcanic basalt quarried from “A” Mountain.
My mother has a maternal love for El Charro. It’s definitely one of her children, the way she cultivates it, molds it, disciplines it, praises it. It resonates in everything she does.
Candace Flores Carillo Daughter of El Charro Owner Carlotta Flores
Monica married and moved south of the border for a time but ultimately returned to Tucson and opened a restaurant that she named for Mexico’s famed horsemen, or charros. “Tia
Monica never had children but she was the oldest of eight and always acted like a mother to her brothers and sisters, including my mother, and she was like a grandmother to me,” said Flores, who spent a great deal of time in the kitchen with the family and the local women who helped create El Charro’s classic recipes. Every special occasion was marked at the restaurant. “When I married Ray, we stopped at El Charro and had a glass of champagne and cake and got Tia Monica’s blessing before going to our wedding reception,” Flores laughed. Urban renewal brought upheaval to downtown in the 1960s and Flin relocated her restaurant and her home to the Court Street residence her father had built – but she was in her 80s and slowing down. Flores, then living in California with her husband and two small children and doing catering to help make ends meet, came back to assist her mother and aunt in selling the business. But, she said, “I couldn’t do it.” Instead, she borrowed money and on Jan. 15, 1971 – “my son Marcos’s first birthday,” Flores noted – took the reins of El Charro, now the oldest Mexican restaurant in the U.S. continuously operated by the same family. It’s the rare www.BizTucson.com
Tucson native who doesn’t have nostalgic memories of meals there. But it’s not the labels and the legends that draw newcomers to El Charro and that earn the kudos from the national press. It’s the food. While staying true to such traditional dishes as the famed carne seca, dried on the roof, the menu has anticipated many culinary trends. For example, it was her father’s heart condition that inspired Flores to concoct dishes made without lard and to de-emphasize red meat, and her own health consciousness that led her to perfect many vegan recipes. And of course the corn-based diet of the indigenous Mexican people is the original glutenfree cuisine. Yes, what goes around comes around. The restaurant is again at the heart of a revitalized downtown – one that is approaching the resident-friendliness of the city center where Flores and her children grew up – though it’s not quite there yet. Flores, whose policeman father made sure she walked on the other side of the street from the bars and nightclubs when she was a young girl returning home, said, “The entertainment is there, all the restaurants and nightlife. But we still don’t have basics like a drugstore to get a Band-Aid or something for a headache.” Recalling the days when she shopped at department stores like Steinfeld’s and Jacome’s, she added, “And there’s not really any place you could run to and buy a new blouse if you ruin the one you’re wearing.” Candace Flores Carillo concurs. “I love the Tucson Children’s Museum,” she said, “and the Fox Theatre sometimes has kids’ events – but you have to drive to see the first-run popular movies.” As the owner of a wedding and events venue, she especially feels the lack of a downtown hotel besides the Hotel Congress to host older guests. But she is optimistic. “We have only one downtown, and we’ll have to get it to work.” It certainly would happen, and quickly, if everyone had the drive and initiative of one of downtown’s original entrepreneurs. Flores Carillo said, “As much as I like my business, I’d probably also like being retired on a beach or at least taking a vacation. Not my mother. She would never know what to do with herself.” Biz www.BizTucson.com
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The Questions That Matter Most in a Sales Presentation By Jeffrey Gitomer
When you’re giving your sales presentation, do you really know what the customer is thinking or what they’re asking themselves as you’re presenting? I doubt it. You’re too busy trying to sell. Shake the hand. Smile the smile. Show the slides. Talk the talk. Do the demo. Ask the superficial questions. Try the close. Try to overcome, “the price is too high.” Propose the proposal. Do the sales dance. Meanwhile the customer is thinking about the validity of your product and your offer. He or she is thinking about how your stuff might fit into their company. And while you’re talking, they may be Googling. While you are trying to prove a point, they are trying to verify your information. And in these times, they can do it in a nanosecond. And you can’t stop them. While you’re talking, they may be wondering if you have a Twitter account. So they do a quick search and find out that you do not. What’s that about? How validating is that? If they ask you about it, you’ll just brush it off. Suppose the customer is exceptionally Twitter active? How does that make you look? That’s a tip-of-the-iceberg example of the thoughts that differentiate your sales presentation from the customer’s decision to buy. But let me take it deeper. All customers, not just the decision maker, have a buying process. It’s a strategy and a process by which they make a purchase. And that purchase is based around the trust, safety and comfort your customer feels when buying something from you. To gain that trust and that feeling of safety, they asked themselves questions without ever saying a word. You answer those questions by the words you speak. Your job as a master salesperson is to answer those silent questions in a manner that drives the customer to say, “I’ll take it!” The following list of questions is exactly what goes through the mind of a prospective customer during your presentation. The list is long, and not every customer will ask every question, but since you don’t know which ones they are going to ask themselves, you’d better be prepared with answers to all of them. • What do you offer? • What do you offer that no one else has? • What do you offer of value? • How does your product compare to others I have seen? • Does it really fill my need? • Can you deliver? • Is it real-world? • Will it work? • Will it work in our environment? • How will it impact our people? 42 BizTucson
• How could it impact our success? • Will senior or executive management buy in? • Will my people use it? • How will we produce as a result of the purchase? • How will we profit as a result of the purchase? • How will it come together? • How do we buy it? • What’s the risk factor in buying? • Will you and your company keep its promises? • Do I trust you and the people I’m buying from, both as humans and their ability to deliver service after purchase? • Will you be my main contact after purchase or are you going to relegate me to the service department? • Do I believe you? • Do I have confidence in you? • Are you telling me the truth? • Do I have the trust and comfort to buy now? All that? Yes, and more. This list of questions is the most comprehensive I have put together. They address both confidence in product and confidence in the salesperson. The customer is seeking validation and wants to believe you. They need what you have and they’re going to buy what you offer. The only question is: From whom? Depending on the answers to the above questions, they may not buy from you. Here are a few more thought-provoking challenges to help you understand the buying process: 1. The first sale that’s made is the salesperson. If the prospect doesn’t buy you, he’s not going to buy your product or service. 2. How’s your online reputation? What’s your Google ranking and reputation? Not your company – you. 3. What’s your social media reputation? Not Tweeting is a choice, but a poor one. How about LinkedIn? Do you have a business Facebook page? 4. Did you offer proof ? Did you use “voice-of-customer” as testimonial proof to your claims? 5. Does the buyer have enough peace of mind to purchase? I have just given you a mind full of sales information, from the mind of the only person that matters in your sales conversations: the customer. Biz Jeffrey Gitomer is the author of 12 best-selling books including “The Sales Bible,” “The Little Red Book of Selling” and “21.5 Unbreakable Laws of Selling.” His books are available as online courses at www.GitomerVT.com. For information about training and seminars visit www.Gitomer.com or www. GitomerCertifiedAdvisors.com, or email Jeffrey personally at email@example.com. © 2014 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
Spring 2015 > > > BizTucson 43
Casino Del Sol Resort Names New Leadership Team
Kimberly Van Amburg Kimberly Van Amburg has been named CEO of Casino Del Sol Resort after serving as senior VP and general counsel for the past seven years. She recently appointed two new executive-level positions. Paul Feltman, former executive director of finance, has been named CFO, and Steve Neely has returned to serve as chief marketing officer of the casino resort, having
Paul Feltman previously held this position from 2009 to 2012. As CEO, Van Amburg oversees the strategic direction and operation of Casino Del Sol Resort and Casino of the Sun, working closely with the Pascua Yaqui Tribal Council. “For many years, Kimberly has been instrumental in the growth of our enterprises. Under her leadership, we foresee
Steve Neely continued success and increased visibility of our properties,” said Pascua Yaqui Chairman Peter Yucupicio. Van Amburg said Feltman and Neely bring more than 30 years of combined gaming and hospitality experience to their respective roles. “It is an honor to be entrusted by the Pascua Yaqui Tribe to lead this group of talented individuals,” she said.
Succession Planning Key for Family Businesses By Ronald Zack Succession planning for family businesses is a crucial but often overlooked component of owning and managing a business. Only 52 percent of owners of closely held businesses have a succession plan – and only 10 percent have a formal, written plan of how their business will transfer when they leave. Why so few? Because business owners are so busy running their businesses that they often place a low priority on succession planning. Business succession planning is a component of estate planning that allows the owners of a business to provide for the successful continuation of the business after the owner leaves – either
by death, retirement, resignation or other reason. The plan may be designed for the business to pass to the next generation or to new ownership. The goal is the continued success of the business for the benefit of the departing owner, the owner’s family and employees, and the owner’s remaining business partners. Estate planning and business attorneys can help with a variety of strategies for business succession planning. One of the most common strategies is to use a buy-sell agreement for a business with more than one owner. This agreement is between co-owners of the business and addresses a variety of factors, including who can buy the departing partner’s share of the business, what
events will trigger the sale, what price will be paid for the partner’s interest and at what terms. The agreement document usually sets out a method of valuation of the business and terms and conditions of the purchase, as well as providing a funding source such as life insurance, a loan, installment sale, sale lease-back or deferred compensation. It is wise to consult an attorney with experience in business law and business succession planning. Ronald Zack is a shareholder in the law firm DeConcini McDonald Yetwin & Lacy. His call-in show “Law Review Radio” can be heard Sundays at 2 p.m. on KVOI-AM (1030) in Tucson or streaming on the Internet at www.KVOI.com. Biz
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Update from Lewis Roca Rothgerber
The law office of Lewis Roca Rothgerber elected Jeffrey Sklar to the partnership and welcomed returning attorneys Traci Riccitello and Pilar Thomas. Sklar has a wide-ranging litigation and appellate practice, including substantial experience in bankruptcy court. He represents lenders in loan enforcement actions, businesses in commercial disputes and manufacturers in product liability cases. He serves on the board of Interfaith Community Services, a nonprofit, social services agency that provides services to Pima County residents in need. He is a graduate of the University of Southern California Gould
School of Law. Riccitello has returned to the practiceâ€™s real estate group. She focuses on commercial real estate transactions with an emphasis on retail and commercial leasing. She is a member of the Real Property Section of the State Bar of Arizona, Tucson Commercial Real Estate Women and the Pima County Bar Association. She serves as board president for Tu Nidito Children and Family Services, which provides grief support to children and families. She is a graduate of the University of Arizona James E. Rogers College of Law.
Pilar Thomas Thomas has returned to the practiceâ€™s gaming, tribal affairs and tribal lands and natural resources practice groups after serving as deputy director for the Office of Indian Energy Policy and Programs at the U.S. Department of Energy for the last four years. Her practice is focused on Indian law, tribal renewable energy project development and finance, tribal economic development and Indian gaming. Thomas is a member of the Pascua Yaqui Tribe. She earned her law degree from the University of New Mexico School of Law.
Tucson Metro Chamber’s Varney and Nagore Receive National Recognition Tucson Metro Chamber President & CEO Mike Varney was elected chairman of the board of the Western Association of Chamber Executives at its recent annual conference in Los Angeles. WACE is the premier organization for education and professional development for chamber of commerce executives and staff. WACE represents more than 800 chamber professionals in 19 western states and Canada. Varney’s term will run through February 2016.
At the same conference, Laura Nagore, Tucson Metro Chamber VP of finance and operations, was presented with the Gerald W. Hathaway Award as the outstanding chamber of commerce staff person for 2014-15. Nagore is responsible for management of the Tucson Metro Chamber’s financial, operations and HR functions. She was chosen for the Hathaway award based on her performance in the broad scope of talent, skill sets and responsibilities her position requires, according to the chamber.
Spring 2015 > > > BizTucson 47
Clockwise From Top – Arizona Opera, ‘Eugene Onegin’ Illustration; Ballet Tucson, ‘Joplin’; MOCA; Tucson Symphony Orchestra; University of Arizona Museum of Art; Broadway in Tucson, ‘Newsies’; Tucson Museum of Art; Opposite page – UApresents, Rachael McLaren, Alvin Ailey American Dance Theater 48 BizTucson
Tucson Arts Surviving & Thriving Economic Impact Exceeds $87.7 Million By Mary Minor Davis On a recent Friday night in Tucson, arts enthusiasts could choose to attend one of nearly a dozen new theater openings, a symphony performance or chamber concert – in addition to a myriad of art exhibits and dance programs. Tucson is indeed a city of the arts. In 2014, the Tucson Pima Arts Council updated its report on the local economic impact of the arts. At a minimum, this region’s nonprofit arts sector generates $87.7 million in annual revenue, which is well above the national average of $49 million. The report also shows this sector employs more than 2,600 people and provides $55 million in salaries and wages. Impressive as that sounds, it’s important to note that those statistics do not include the substantial economic impact of the University of Arizona’s College of Fine Arts programs, UApresents and the UA arts, photography and anthropology museums. Achieving stability and success in the arts or any other business does not come easy. The Great Recession resulted in cuts in funding for the arts at the national level, and local organizations faced significant challenges in securing funding, attracting audiences and energizing their product. To not only survive but thrive in today’s competitive landscape, local arts organizations are enticing audiences www.BizTucson.com
with new incentives and being more innovative, collaborative and dynamic in their approach to programming. Competition is keen
Building relationships with audiences is ever more critical to ensuring longterm sustainability. Capturing patrons’ time and dollars is key. Matt Lehrman, interim managing director at the Arizona Theatre Company and a national consultant on audience development, said that arts organizations today “must take nothing for granted – audience relationships, loyalty, longevity, satisfaction, experience – everything is up for grabs. It’s a competitive market out there and we understand there is no substitute for us being vigorous, creative and energetic.” Traditionally, audience loyalty has been cultivated through the subscription or membership model on the assumption that audiences will invest in an organization whose work they like and want to continue to enjoy. Organizations rewarded patrons who made season-long commitments with preferred seating, discounts and other benefits. When the recession hit, however, many organizations saw drops in this core revenue stream – from minimal dips to significant losses. Contributed income and sponsorships also waned. National philanthropic support still has
not rebounded to pre-recession levels. While recovery is occurring and patrons are returning to their seats, arts leaders say they are very different audiences today with entirely different expectations. Today’s arts enthusiast expects higher quality, demands more engagement and seeks a deeper connection with the experience, whether it’s the visual or performing arts. For Tucson audiences – where a large part of the population is seasonal – they also want flexibility. Flexibility, choice and convenience are key
Tucson’s arts groups have responded by offering flexible subscription packages and it seems to be working. Many organizations, including the Tucson Symphony Orchestra, Tucson Chamber Artists and Broadway in Tucson, report subscriber retention rates in the double digits over the past two seasons. “We just took the limit off of our create-your-own packages,” said Andrea Dillenburg, the TSO’s VP of external affairs. “We just said, ‘Pick as many or as few as you want.’ That’s really worked well for our patrons.” “We have found that flexibility, choice and convenience are very important to our patrons,” said Eric Holtan, music director for TCA, now in its 11th season continued on page 50 >>> Spring 2015 > > > BizTucson 49
continued from page 33
UA School of Dance
UA School of Music
UA School of Theatre, Film & Television UA School of Art
continued from page 49 with consistent audience growth each year. The Tucson Museum of Art and the Museum of Contemporary Art also made adjustments in membership packages. Attracting a diverse patron base is important to MOCA, according to AnneMarie Russell, executive director and chief curator. Low student pricing, special member benefits including private tours, and supporting the economically disadvantaged are priorities for attracting patrons. “Access and social inclusion are very important to us,” she said. “There are so many different motivating factors that go into an attendee’s decision to become a member that we are constantly examining the efficacy of how our program is run,” said Robert Knight, TMA’s CEO. “The museum derives patronage from all levels of economic strata. It is important for us to capture all of these differing levels and motivating factors to becoming a member.” Innovative programming
Community engagement is another way organizations are building both content and audiences. Marc David Pinate, producing director for Borderlands Theatre who took over after founder Barclay Smith retired late last year, said he believes that audience connection is a driving force behind why people come to theater. “People want to see themselves on stage, or if they can’t see themselves, they want to see someone like them, someone they can relate to,” he said. While Borderlands has produced plays about the border region, he said there now are plans to develop projects that are about people and events in Tucson. Borderlands has already launched a number of programs that partner with Pima Community College, Upward Bound, the UA and others. “By mining the stories in our community and involving the community in the creative process, we plan to bring more people to the theater,” he said. Some of the projects they have in the works will also take theater out into the community, “away from the proscenium, with all of its baggage of class and status.” UApresents, TSO and TCA also expanded programming into other venues. “We have started what I call the ‘em-
For every $1 invested in the arts, our community experiences $7 of value. That is a very positive return.
– Lisa Lovallo, VP for Southern Arizona Market, Cox Communications
brace your city’ campaign,” said Itzik Becher, director of programming and development for UApresents. “We are now presenting in eight venues all over town, each reaching a diverse audience. On top of the diversity of content, we also match specific performances with specific spaces.” Laura Schairer, spokesperson for Arizona Opera, said coming out of the recession has presented opportunities for arts groups to be more innovative in programming, which is at the core of any successful audience development. She’s the founder of Audience Magnets, an arts marketing firm. “Audiences, particularly younger patrons, want to see innovative productions, interesting stories and pieces they can relate to,” she said. “I’m seeing many smaller groups doing incredibly innovative things, from aerial dance performances and vampire productions to theater in unusual places like public transportation. Creativity – but without huge funding.” Creative collaborations
Many groups are collaborating with other organizations in and outside of the arts community. This offers the benefits of cross-marketing artistic presentations, thus reaching new audiences, while sharing limited resources. It also allows for organizations to work with the business community as partners, not just as a funding source. Rob Elias, VP of marketing for Pima Federal Credit Union, said the company made a commitment to get more
BizARTS involved in community giving five years ago, and it has become a part of the company’s shared values. “Whether it be dance, music, writing or theater, those who are introduced to the arts at a young age can learn to step out of their comfort zone and develop new points of view,” he said. “These behaviors are important because they can create openness to others’ perspectives, which is vital in business and in life. If our support can provide more opportunity for others to develop these types of qualities, we believe we’ve helped move Tucson forward.” Roberto Bedoya, executive director for TPAC, said the arts council is working with the private sector in several areas. “Most recently we collaborated with Tucson Metro Chamber on the First Impressions project by facilitating selection of art works for the landscaping of the medians lining the entrance to the airport. We are also partnering with the business community to develop Arts Leaders as Cultural Innovators, an 18-month program of seminars, coaching and practicums to develop adaptive leadership to business challenges in the arts.” Jed Kee, executive director for Ballet Tucson, said he sees more partnerships among arts organizations and between the arts and the private sector. “That means arts organizations will have to provide some ‘value added’ to private organizations to garner their support,” he said. “We need to find ways to begin this dialogue.” In 2014 ATC embarked upon a successful $1 million “friend-raising” campaign that was essential to “keeping ATC alive,” Lehrman said. Going forward the theater company will implement strategies designed to build a greater earned-revenue base. “There is no question that we need ticket sales to drive our future self-sufficiency. Becoming more entrepreneurial is the necessity of all arts organizations.” Arts and economic development
Most of Tucson’s arts groups enjoy some level of support from the business community. Yet many of the larger corporations in the region have “funding policies with a narrow focus that prohibit them from supporting the arts,” said Randi Dorman, past board president of MOCA. “It truly holds the community back.” continued on page 52 >>> www.BizTucson.com
Spring 2015 > > > BizTucson 51
BizARTS continued from page 51 Dorman added that there is a great amount of individual giving. However, “there is so much social need that arts’ giving is often seen as less important. Another challenge is that for many patrons, Tucson is their second home and they often support the arts where their primary residence is located.” Dillenburg agrees. “I understand our competition is not just other entertainment options in Tucson – our competition is with all of the other cities where people here are coming from. We have to look as deep and as solid and as excellent as anything they are experiencing there.” Mike Kasser, president of Holualoa Companies in Tucson, was a key driver of the ATC’s campaign and supports the arts in Tucson on several levels. He said he considers his company’s support an investment in economic development. “The less people support the arts, the greater it affects the ability for economic development to occur,” he said. Building successful arts organizations in the community gives Arizona caché and
makes the region attractive to companies considering locating here. “The arts are important to the fabric of our community.” Joe Snell, president and CEO of Tucson Regional Economic Opportunities, agrees. “Under the umbrella of our Economic Blueprint and in the spirit of building community beyond jobs, we encourage the entire region to offer excellent arts, cultural, outdoor and other amenities and experiences to support a vision that Tucson is a great place to work, live and play. “The primary goal of TREO is to facilitate job and investment growth in the region. By increasing the number of primary employers and the jobs they create, we are increasing the amount of ‘new wealth’ coming into the region, leading to a larger economic base. As a result this leads to a growing demand for many amenities – including the arts.” Economic development isn’t the only motivator for corporate giving. Jorgen Hansen, owner of Copenhagen Imports in Tucson, has supported local arts organizations over the years. “It just creates a more desirable community to live in,” he said. “Tucson is very, very lucky
to have the quality of arts groups that we do. It’s the community’s responsibility to help keep them thriving.” Lisa Lovallo, head of Cox Communications in Southern Arizona, said the company supports the arts because it is good for economic development and it helps build a stronger community. “For every $1 invested in the arts, our community experiences $7 of value. That is a very positive return,” she said. “We know that a thriving, healthy, vibrant and prosperous community must be a place where people feel connected to each other and where they have a sense of place. Museums, festivals, cultural events, performing arts, music, concerts, public art and human expression of all kinds engage our friends and neighbors and bring people together. As a business that depends on the local economy, we see the arts as a partner in making Southern Arizona successful.” Kasser added, “A successful business should give a certain amount to charitable organizations. There should always be a place in the continuum for the arts.”
Spring 2015 > > > BizTucson 53
PHOTOS COURTESY RAYTHEON MISSILE SYSTEMS
Inspiring Young Minds Raytheon Education Partnership Encourages STEM Careers By Gabrielle Fimbres High school students from throughout Tucson converged on the University of Arizona campus recently to investigate just how math and science power the building of a Galileoscope. It was all part of MathMovesU Day, hosted by Raytheon Missile Systems in February, in partnership with the UA and National Optical Astronomy Observatory. In a day filled with investigation and fun, about 175 students learned how to build a Galileoscope, which is a small refractor telescope. Raytheon’s goal for the annual MathMovesU Day is to promote science, technology, engineering and math – or STEM – education to local high school students. Taking part in the day were students from Desert View, Sunnyside, Amphitheater and Flowing Wells high schools, as well as Tucson High Magnet School and Ha:ṣan Preparatory & Leadership School. Laura McGill, deputy VP of engineering at Raytheon Missile Systems, served as keynote speaker. 54 BizTucson
“MathMovesU provides a wonderful opportunity for Raytheon to engage with students in the local community and kindle their excitement in STEM, and eventually in STEM careers,” McGill said. “The students benefit from the hands-on experience of building a scientific instrument that they can proudly take home to their friends and families, and from the direct interaction with successful engineers who convey the lifelong enjoyment of their profession,” McGill said of the event. “Coming out of those conversations is the realization by the students that they could be engineers or scientists in just a few years.” Raytheon has hosted MathMovesU Day locally for more than a decade, and volunteers have helped students build the Galileoscope for six years. More than 35 volunteers from Raytheon took part in the event, along with volunteers from National Optical Astronomy www.BizTucson.com
This event aligns with our aspirations to give students from underrepresented groups opportunities to see themselves as engineers and scientists.
– Michelle Higgins, Assistant Director of Research & Evaluation, University of Arizona STEM Learning Center
Observatory, Tucson Amateur Astronomy Association and UA Early Academic Outreach. Michelle Higgins, assistant director of research and evaluation at UA’s STEM Learning Center, attended with students from Desert View, where Higgins supports a girls’ mentoring program. “I was able to bring 20 girls and a ninth-grade science teacher from Southern Arizona Research, Science and Engineering Foundation’s Imagine Your STEM Future program at Desert View,” Higgins said. “This event aligns with our aspirations to give students from underrepresented groups opportunities to see themselves as engineers and scientists.” She said the girls “loved building the telescopes and getting to see how the lenses come together inside the telescope.” “They were absolutely shocked when they realized that they were going to take the telescopes home with them,” Higgins said. “After the event, I asked the girls what they liked the best. They talked about building the telescopes and being able to ask questions to the engineers about career paths. They were able to see that two girls from their own school were able to graduate high school and study engineering at the UA, and move on to have a successful career at Raytheon.” She said role models help students see a future for themselves in engineering. “This is the exact experience that makes a difference in girls’ lives – to see someone from their school and their neighborhood do well in college and be successful,” Higgins said. “SARSEF provides the girls a chance to do hands-on research, but sometimes it takes role models to show them that all the hard work pays off.” As the U.S. works to point more students in the direction of STEM careers to reverse a declining number of engineers, scientists and technologists, Raytheon encourages students, starting in elementary school, to excel in STEM classes. The company sponsors a variety of educational programs and partnerships with local schools. Programs include Engineering is Elementary, Youth Day, Scout Day, Arizona STEM Adventures and Math Nights at Sunnyside High, where more than 70 percent of students reported that tutoring by Raytheon employees raised their grades. Raytheon’s McGill said sparking an interest in students helps them to plan for the future. “When any of these students go on to STEM careers, it’s a win for them, for the Arizona economy and for companies like Raytheon that are dependent on hiring critical technical talent,” McGill said.
Spring 2015 > > > BizTucson 55
PHOTOS: BRENT G. MATHIS
Toys With ‘Play Value’ By Leigh A. Jensen
Owner Mildred & Dildred
On a crisp winter afternoon, a group of about 15 children, all younger than 5, is seated in the courtyard at La Encantada, perched on huge foam puzzle pieces in primary colors. They eagerly await Autumn Ruhe, owner of Mildred & Dildred toy store, to come outside and begin storytime. A leaf gently floats off a nearby Aspen tree, falling to the ground just in time for a curious chubby hand to furtively snatch it off the concrete. The leaf is quickly dropped and forgotten once “If You’re Happy and You Know It, Clap Your Hands” begins. A quick stroll around the toy store reveals it’s not like most. The bookshelf offers classics like “Jane Eyre” and “Anna Karenina” – but in a digestible form – simplified into a toddler-friendly picture book, complete with cardboard pages that can withstand the occasional bite mark. One corner of the store boasts toys and books for desert dwellers, because every young Tucson native should have a stuffed javelina or Gila monster. A turquoise chest of drawers with oversized red knobs is filled with things that only cost a dollar, categorized in ways like “things that pop” and “things that are squishy.”
“We try to look at play value when ordering toys. We want something that will last a while and hold a kid’s attention – as opposed to something that turns on and makes crazy noises and is really cool for only five minutes,” Ruhe said. Ruhe grew up in Tucson, attending a Montessori school and then St. Gregory College Preparatory School (now The Gregory School), before studying art history in college. After graduation, she worked a few odd jobs in town, but most enjoyed her time at Mrs. TiggyWinkle’s, the long-beloved toy store in Crossroads Plaza. At 25, Ruhe decided she was “just naïve enough” to strike out on her own and open Mildred & Dildred at La Encantada in 2007. She named the store as an homage to her grandfather, who would often tell Ruhe and her sister stories about a mischievous pair of sisters named Mildred and Dildred, who were always getting into trouble and having to be rescued by their loving grandfather. And it was her grandfather who loaned her the money to start the business. At storytime, it’s clear that many of the children are regulars. In between the three books she reads, Ruhe leads continued on page 58 >>> Spring 2015 > > > BizTucson 57
Now more than ever, to be a brick and mortar, you need to provide an experience. You need to be a destination. – Autumn Ruhe Owner, Mildred & Dildred
continued from page 57 the group in song. “I am a seal and I clap my hands! I am a cat and I arch my back!” Most of the kids know the prescribed motions for the song, and aren’t shy about playing along with Ruhe, whose lively animated voice makes it impossible to not have fun. After the stories and songs are done, nearly all of the kids and their parents wander back into the store, milling around and talking with each other and Ruhe. This sense of community is part of what makes Mildred & Dildred so special. “We want to be a part of people’s everyday lives and give them a reason to come back,” Ruhe said. “Now more than ever, to be a brick and mortar, you need to provide an experience. You need to be a destination.” Ruhe relishes the opportunity to make her toy store a valuable part of the community. In addition to the popular biweekly storytime, she plans special events like Easter egg hunts and trick-or-treating parties. Mildred & Dildred also hosts plays and special author events, and Ruhe often goes to nearby schools for career days and book readings. “I know there are a lot of choices when it comes to toys – not just with Target and stores like that, but online as well. So we really try to make ourselves as useful as we can … to become a part of the community and become relevant and integral, so people have a reason to come back.” When it comes to purchasing for her business, Ruhe is serious about child’s play. “Going to a Montessori school, I always had this mind-set of learning through playing. So I try to pick out toys that will help kids figure out the world and facilitate imaginative and creative thinking. It’s really amazing how kids use toys as tools.” After a quick conversation about pregnancy and the differences between raising boys and girls, Ruhe wraps up a birthday gift for a 6-year-old. She lets the partygoer choose the ribbon for her friend’s present from a collection of brightly colored spools behind the counter, and her mother promises that they’ll return the following week to pick out a gift for another birthday party. “I really do have the greatest job ever,” Ruhe said. “As for the next 10 or 15 years, I’d like to stick around as long as the community will have me.” Biz 58 BizTucson
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Peter Erickson Godfrey The first baby born at TMC Delivered Feb. 27, 1945
CEO, Tucson Medical Center
TMC Personnel 1948
Alfred W. Erickson
Co-Owner of Desert Sanitorium 60 BizTucson
Anna Erickson www.BizTucson.com
Tucson’s Community Hospital Turns 70
TMC Holds True to Original Values By Romi Carrell Wittman If you’re a lifelong Tucson resident, there’s a good chance you were born at Tucson Medical Center. Since its inception 70 years ago, more than 100,000 babies have been born at TMC. And last year, more babies were born there than at any other hospital in Southern Arizona. But TMC does a lot more than deliver babies. It’s been a groundbreaking, nonprofit community hospital for nearly three-quarters of a century. On Dec. 10, TMC held a birthday party of sorts on the patio of the hospital grounds. CEO Judy Rich addressed the group and spoke of the many remarkable events in the hospital’s history. Peter Erickson Godfrey, the first baby born at TMC, was on hand to celebrate. TMC’s foundation was laid in the 1920s at the internationally renowned Desert Sanatorium. The privately owned facility was a famous tuberculosis treatment center and health retreat, attracting patients from around the world www.BizTucson.com
with its warm and dry desert climate. Over time, ownership of the facility transferred from Desert Sanatorium’s founder, Dr. Bernard Wyatt, to Anna
It’s very sacred to be given the responsibility to care for another person and people have trusted us for many, many years.
– Judy Rich, CEO, Tucson Medical Center
and Alfred Erickson. At the December event, Judy Rich commented on the uniqueness of TMC and how it was created. She said, “Anna (would eventually) donate the facility to
the people of Tucson to create a new nonprofit community hospital. Isn’t that a great story?” Tucsonans decry closure
In 1943, Anna closed the facility for the summer. Her husband had passed away and World War II was in full swing, meaning the critical resources necessary to keep the doors open were limited. Though the closure was temporary, Anna considered closing it permanently. The public response was fast and emphatic – they wanted the facility to stay open. With St. Mary’s Hospital as the only other medical facility in town, they feared not enough medical care would be available for the growing population. Their concerns resonated with Anna and she decreed that, if key goals could be met, she would give the community the land and the facility for a hospital. Jerry Freund, who helped establish continued on page 62 >>> Spring 2015 > > > BizTucson 61
Aerial of TMC 1960
Tucson Medical Center through the Years May 15, 1943
Desert Sanatorium announces plan to close. Owner Anna Erickson offers to donate it as a community hospital if the public can raise funds to support it
Dec. 13, 1943
Community campaign, led by Roy P. Drachman, begins successful quest for $250,000 to fund TMC
Nov. 9, 1944
TMC admits its first patient, Morris Haspel, to the brand new community hospital. Semi-private rooms are $6.50 per day
Feb. 27, 1945
Peter Erickson Godfrey becomes first baby born at TMC
Dec. 12, 1946
First surgery performed in TMC’s new operating rooms
April 1, 1947
TMC opens its first pediatrics unit
Nov. 11, 1949 TMC Auxiliary is established to coordinate hospital volunteer efforts Feb. 7, 1961
Anna Erickson, TMC’s benefactor, dies at age 87
Sept. 27, 1962 First open-heart surgery performed at TMC July 1, 1966
TMC is first Tucson hospital to qualify for the new Medicare program
March 1, 1967 Donald Shropshire arrives as TMC’s administrator Nov. 10, 1967
TMC opens its Newborn ICU, one of the first in the nation
Jan. 29, 1974 Dedication of TMC’s innovative Ambulatory Surgery Center, first such freestanding center at a Southern Arizona hospital Dec. 1, 1995
TMC is first Tucson hospital named to the national ‘100 Top Hospitals’ list published in Modern Healthcare magazine
Jan. 22, 1996
Women’s Center opens
Dec. 1, 2001
TMC opens Tucson’s first pediatric emergency department
July 1, 2007
Judy Rich, former COO, returns to TMC as top executive
June 1, 2010
TMC is the region’s first hospital to go ‘paperless’ with an advanced electronic medical record system
July 26, 2011
TMC for Children completes major renovation and expansion
May 6, 2013
TMC opens Orthopaedic and Surgical Tower
Source: Tucson Medical Center 62 BizTucson
continued from page 61 TMC’s education department in 1970, became TMC’s unofficial historian, a role he has kept even after retiring in 2001. “Anna was worried that this would be a band aid and wouldn’t solve the problem, which was why she set key goals,” he said. “The community then worked to raise the funds.” Famed women’s rights advocate Margaret Sanger Slee was on the board and a major fundraiser, as was businessman and philanthropist Roy Drachman. Within two months they raised $250,000 from the business community, despite the war and stress of the times. Anna’s five-year plan
Anna wanted assurances that the hospital would be open to all residents of the community and that physicians would be certified MDs. She gave them five years to be successful and, if they weren’t, she’d take it all back. TMC admitted its first patient on Nov. 9, 1944, and the venture proved to be so successful that, at the end of five years, Anna gave them everything – the facility as well as the 160 acres on which it sat. Anna lived on the property until her death in 1961 and it was Anna’s request that the hospital build out, not up. “She asked that her view not be blocked,” Freund said. “A lot of people think that height restriction is still in effect today, but it actually went away when Anna died.” The field of medicine has changed dramatically since 1944 and TMC has played a role. While community hospitals are not typically known for research and development, TMC has been an innovator in several fields – always in response to a direct community need. One example is Val Crain, a nurse who’s worked at TMC for more than 40 years. In 1975, the Tucson community was in need of a new, easier-to-administer stroke test. With the help of the John A. Hartford Foundation grant, her team was able to develop one. It became continued on page 65 >>> www.BizTucson.com
Spring 2015 > > > BizTucson 63
continued from page 62 a nationally recognized exam for stroke prevention and remained the standard until imaging became widely available. “It was remarkable because community hospitals aren’t known for doing research,” Crain said. “But we needed to respond to a community need, so we did.” TMC flourished under the leadership of Donald Shropshire, who was CEO from 1967 until 1992. “He emphasized that we’re here to care for patients at the blessing of the community,” Freund said. Current CEO Judy Rich originally came on board as chief nursing officer in 2003 and quickly learned that TMC is a major force in the community. After a financially tumultuous period, during which the hospital was at risk of being bought out by a for-profit, out-of-state organization, Rich moved back to Tucson to take on the role of CEO. Changing, but still the same
“The leadership and board of this hospital have always been driven by our mission to improve the health and well-being of the community,” Rich said. “I’m most proud of TMC’s commitment to its patients. It’s very sacred to be given the responsibility to care for another person and people have trusted us for many, many years.” TMC continues to evolve to meet the changing needs of Southern Arizona. “We’ll always be making improvements to this campus,” Rich said. “But we have what we need in terms of size and access.” Above all, TMC has been successful because of its deep commitment to doing what’s right for the people of Tucson and Southern Arizona, she said. “It’s the reason we’re still here and still independent.” Clearly, TMC has much to be proud of, but one has to wonder what Anna Erickson might think of the hospital today. Freund thinks for a moment. “I think she’d be extremely pleased and proud of TMC, but she’d be disappointed with the parking garage in front of her beautiful view,” he said with a laugh.
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Tucson Firms Complete Sparkling Renovation By Steve Rivera How’s this for customer service? A man about 70 sauntered up to the new state-of-the-art beverage dispenser looking to get a cup of coffee and Royal Buick-GMC-Cadillac GM Craig Weitman happened to be close by. “How can I help you, sir?” Weitman asked. “I just want some coffee,” the man said. “Well, step right up,” Weitman said. The man, however, looked as though he had seen something from Star Wars – a near automatic, press-the-buttons contraption that could give him pretty much any beverage he wanted. All he wanted was coffee. So Weitman filled his cup, placed the lid on it and went on about his business. Service with a smile. At the new-and-improved, candyfor-the-eyes and not-just-the-cars Royal Buick-GMC-Cadillac at 815 W. Auto Mall Drive, it seems you can have all of it and then more. “Customer comments have been positive for the most part,” Weitman said. “They like being able to sit in our comfortable lounge chairs while waiting for service. There have been a few comments from customers who miss the feel of the old building and layout, but for the most part they are positive.” It’s not exactly the Taj Mahal – but it’s close. Royal, as part of a nationwide commitment from General Motors to revamp all its dealerships, remodeled nearly everything – including tile, light fixtures, ceiling tiles, furniture, wall coverings, the service lounge and the exte66 BizTucson
rior. The renovation comes just 10 years after former automobile dealer Don Mackey built the facility in 2004. Weitman declined to disclose how much the updating cost but said “it was a lot – a lot.” “The building has a more modern feel to it,” Weitman said. “It seems to flow better and seems larger, even in the areas where we did not add square footage.”
We fully understand that excellent customer service begins and ends with our people, but our new facility certainly rounds out the entire customer service experience.
– Craig Weitman, GM, Royal Buick-GMC-Cadillac
The feel is more open air and roomier. It’s more than 57,000 square feet of space when it comes to late-model luxuries. Crisp white walls, new tile floors that shine like glass and an extra 2,500 square feet was added on the east side of the building – which was an already impressive showroom floor. Four late-
model Cadillacs can now be placed in the showroom, whereas only two could fit before. Construction of the facility was done by local company Canyon Building & Design and the architecture was done by Tucson’s Acorn Associates. Fischer Design Studio specified the furniture which was purchased and installed by Class Commercial Furniture and Interiors. The project started in April 2014 and was complete in November 2014. “We live in the community and we try to stay (with companies) in the community,” said Paul Weitman, president of the Royal Automotive Group. “That’s important.” Craig, who is Paul’s son, added, “We see a value in staying local. You keep the dollars here. “It was a real challenge for Acorn because of the minutia that GM required. Acorn was really patient and their work was outstanding.” The dealership, which employs 115 people, sells and services Buick, GMC and Cadillac, with vehicles ranging in price from $19,000 to more than $100,000. “We are very excited to have a stateof-the-art showroom that our customers enjoy coming to,” Craig Weitman said. “We fully understand that excellent customer service begins and ends with our people, but our new facility certainly rounds out the entire customer service experience.” Whether you’re there for a cup of coffee or a new car.
PHOTO: HOWARD HU PHOTOS: BRENT G. MATHIS
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BBVA Expands Mistler’s Role
BBVA Compass has named Mark Mistler CEO of Southern Arizona, a move aimed at fostering deeper ties to clients and communities in one of the bank’s key markets. Mistler’s new role is part of the bank’s reorganization that combines lines of business – retail, wealth management and commercial – into one unit. The new Consumer and Commercial Bank is designed to provide more comprehensive customer service while increasing productivity and revenues. Mistler has more than 28 years of banking experience, mostly in Tucson. He joined a BBVA Compass legacy bank in 1999.
Proudfoot to Enhance UA’s Brand Equity
Tony Proudfoot, a veteran brand builder with two decades of experience in higher education, is the new associate VP for marketing communications and brand management at the University of Arizona’s University Relations. Proudfoot co-led brand integration at the Indiana University system and more recently executed the repositioning of Ball State University in Muncie, Ind. He will oversee all UA marketing functions, including digital and mobile, and is responsible for shaping the strategic and creative direction of the university’s branding, advertising, content development, digital marketing and social media outreach. Biz 68 BizTucson
SPECIAL REPORT 2015
THE REGION’S BUSINESS MAGAZINE
Mind, Body & Soul A Place for Everyone
Tucson Jewish Community Center www.BizTucson.com
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Tucson’s Heart JCC Builds Lifetime Memories By Gabrielle Fimbres If a building could have a heart, it would be the Tucson Jewish Community Center. With a brand-new fitness facility, expansive programming for babies, children, teens, adults and seniors, and an energized focus on wellness, The J has something for everyone. “You really can be here for a lifetime,” said Todd Rockoff, president and 70 BizTucson
CEO of the Tucson J. The J is for people of all faiths, races, backgrounds and abilities, serving as a model for what a true community center can be, Rockoff said. “We look at ourselves as a neighborhood,” Rockoff said. “In your neighborhood you can find all kinds of fun, valuable things to do.” This is one cool neighborhood.
A stroll through the two-story, 110,000-square-foot building on 50 acres at 3800 E. River Road finds Tucsonans of all ages seeking wellness in its many forms. Bodies pump to the music in spin, cardio and dance classes. Members build endurance and strength on brandnew fitness machines. The thrill of competition is found in www.BizTucson.com
History of The Tucson J 1946 – The Jewish Community Council is established. 1950 – The Tucson Jewish Community Center opens at 134 S. Tucson Blvd. 1955 - The center moves to 102 N. Plumer Ave. 1977 – Long-range planning for a new center is underway. 1979 – Administrative offices move into new headquarters at 5410 E. Pima St. Activities are conducted at a dozen locations as a part of the “Center Without Walls” concept. 1988 – Construction is underway at 3800 E. River Road. Donors raise $10 million. 2012 – Renovation and expansion plans are developed and a $4 million capital campaign is launched.
the Junior Olympic-sized pool and on the basketball, tennis, racquetball and volleyball courts. Toddlers ride tricycles through the Sculpture Garden, admiring the ever-changing works of art. Babies are rocked and read to, preschoolers explore numbers and colors and adults with disabilities learn and grow. It’s a place of camaraderie, fitness, learning, recreation, friendship and more. Following a capital campaign and an expected $4.1 million in improvements, The J is bigger and better than ever – starting with the remodeled and expanded fitness facility, with stunning views and state-of-the-art equipment and classrooms. “The JCC is not just a place to exercise,” Rockoff said. “We are a place www.BizTucson.com
where people can find wellness, and that plays out through arts and culture, sports, early childhood and adult programming, volunteerism, involvement in social action. The J brings together all of these components of wellness.” While the center is dedicated to enhancing Jewish culture, only about half of members are Jewish. “We have so much here to offer – and it’s open to everyone,” said Denise Wolf, senior VP and COO at The J. “It’s the secret gem of Tucson. People don’t know about it.” Phase 1 of The J’s renovation is complete, with newly opened 15,000-squarefoot sports and wellness facilities and the new Café at The J, at a cost of $4.1 million. Overseeing the project was W.E. O’Neil Construction. Facilities include three new exercise
studios, four renovated locker rooms and two family changing rooms. Phase 2 includes the construction of programming space to better accommodate special needs programs – including one for adults with a long waiting list – and to provide additional space for early childhood and after-school programs, including an indoor play area. The Arizona Diamondbacks in February presented its Grand Slam Award to The J, which was selected to receive $76,000 in support of a play structure for the new indoor play area. Phase 3 will include enhancements to the arts and culture program. Fundraising continues for the completion of these projects. The J operated in several locations in Tucson before opening in its current continued on page 72 >>> Spring 2015 > > > BizTucson 71
Photos courtesy of the Tucson Jewish Community Center
March 2015 – Dedication of the remodeled and expanded center.
PHOTO: TOM SPITZ
Photos courtesy of the Tucson Jewish Community Center
continued from page 71 location in 1989. The land is owned by the Jewish Federation of Southern Arizona and The J leases it for $10 a year. Under Rockoff’s leadership, The J is creating new partnerships with Tucson organizations, including Tucson Medical Center, the University of Arizona, Alliance Bank, Fox Tucson Theatre and more. “When people work together, they are stronger,” Rockoff said. “We are out in the community as a good partner, working with other institutions to make Tucson a better place to live and work.” Partnerships with TMC have included a Family Wellness Expo in November 2014 and the inaugural Tucson Family Triathlon, scheduled for April 19. “We are very happy to be partnering with another community-based organization that has such a strong commitment to wellness,” said Mary Atkinson, TMC’s director of wellness. Rockoff said, “We want to be a hub of wellness for the entire region. We want to be a thought leader and a trend 72 BizTucson
leader in wellness – and we can’t do it alone. Partnership becomes that much more valuable.” The J also serves as a wellness resource for the business community. “Research tells you that when employees feel well and are healthy they are more productive,” Rockoff said. Companies use The J as a fitness facility for employees and for ongoing training and staff retreats. The facilities also serve as a resource for the greater community. “We have a beautiful ballroom, Sculpture Garden, meeting rooms and other areas available for social and corporate events,” Rockoff said. “You almost feel like you are out of town when you come here.” Another goal is to grow membership at The J, which has about 1,700 membership units – family, individual and senior memberships. “We would like to grow that number to 2,100 within the next year,” Rockoff said. Tana Jones, director of development at The J, said the new facility supports the need to grow.
“Our donors see it as an investment in the community,” she said. “The J is a true community center that is open for all. It’s an opportunity for parents to have a holistic view of a healthy family. Families can invest in themselves here.” Susan Frank, director of health and wellness, said exercise is only the start. “You are not just walking into a fitness center, you are walking into a community. You see kids in the hallway out on walks, you see people enjoying public spaces, you see an orchestra playing. It’s a testament to our concept of wellness and caring for the whole person. That’s what sets us apart and cannot be duplicated at a fitness center. That’s the JCC experience.” Tucson developer Donald Diamond, who has supported the efforts of The J for decades, called the remodeled facility “gorgeous.” “This one has all the bells and whistles,” Diamond said. “It’s a shining light for the entire community.”
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LONGTIME JCC SUPPORTERS
This is a great community to be involved in because the depth and breadth of what we do at The J is really astounding. There is endless potential here. PHOTOS: BRENT G. MATHIS
Brenda & Bill Viner
– Todd Rockoff, President & CEO Tucson Jewish Community Center
Tom Warne Fran Katz Barney Holtzman
At Home at The J
Lifetime Love Guides JCC Leader By Gabrielle Fimbres Todd Rockoff was surely born to be at the helm of the Jewish Community Center. As a kid growing up in Rochester, N.Y., Rockoff’s second home was the JCC. “If I was not at school or playing sports, my friends and I were all at The J,” Rockoff said. “We learned to swim there, we went to camp there. We learned to play basketball. It was something we did together.” The impact of The J was not lost on Rockoff, and by high school, he knew what he wanted to do in life. “I had an eye toward the JCC field.” He majored in recreation and leisure studies and education at State University of New York of Cortland, and began his career 30 years ago at The J in Scranton, Pa. “I was drawn to the idea that people have leisure time so they can play and learn and grow, achieving balance in life,” Rockoff said. He moved on to The J in Calgary, Alberta, and most recently served as executive director of the Shaw JCC in Akron, Ohio. Rockoff is now at the helm of the Tucson JCC as president and CEO, leading this organization that is open to people of all faiths and backgrounds through an exhilarating chapter of expansion and an energized focus on wellness. www.BizTucson.com
“This is a great community to be involved in because the depth and breadth of what we do at The J is really astounding. There is endless potential here,” he said. Donald Diamond, a longtime supporter and visionary for The J and chairman of Diamond Ventures, called Rockoff “sensational.” “I am extremely pleased with Todd,” Diamond said. “Ken Light (The J’s retired president and CEO) got us where we are and Todd is taking us to a new level.” For Rockoff, it was the job that almost didn’t happen. When Light retired after leading the organization for 28 years, Rockoff was approached about applying. But the time wasn’t right for Rockoff to leave Akron. Within a few months, however, the pieces fell into place. “I was drawn to the reputation The Tucson J has, knowing Ken for the years I did, knowing what a great job he had done here,” said Rockoff, who started at the position in July 2013. He said the job “was meant to be.” “My family and I feel very much at home in Tucson. It’s a great place to live and raise a family and I have found the people to be warm and welcoming and open to new ideas.” Between them, Rockoff and his wife, Jenni, have four children. Ariella, 23,
lives in New York with her husband. Jacob, 21, attends Ohio University, Jonathan, 19, is a student at Ohio State University and Benjamin, 16, is a sophomore at Catalina Foothills High School. Rockoff came to Tucson as The J was in the middle of a capital campaign, with the ultimate goal of raising $4 million for renovation and expansion of the two-story community center that, at 25 years old, was starting to show its age. And, under the category of good problems to have, more space was needed for the breadth of activities that draw people to The J. “People have been incredibly generous,” Rockoff said of donors. “There is a shared vision of The J being part of something bigger, and part of an overall wellness piece that is important for the community.” Rockoff approaches his leadership with energy and positivity that serve him well. “I like to say we start with ‘yes,’ and we’ll figure it out from there,” he said. He is in awe of the sense of community that is created at The J. “Our hope is that when people come through those doors, there is a sense of belonging, a sense of purpose and that it’s a place where they are going to find their friends, much like the experience I had growing up.”
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Director of Health & Wellness The Tucson J
Health & Wellness Cornerstones Programs Abound for the Body, Mind, Soul By Gabrielle Fimbres
Sports & Fitness Exercise is at the heart of wellness, and there could be few more beautiful spots to get the blood pumping than the Tucson Jewish Community Center’s newly renovated fitness center. “Our new facility is attracting, exciting and inspiring a whole new group of younger people and others who are seeking fitness and wellness,” said Susan Frank, director of health and wellness. Classes in yoga, boot camp, cycling, tai chi, Zumba, Body Pump, line dance, Qigong and more are held in spacious new classrooms in shades of green, blue and turquoise. Weight and cardio rooms, with stunning mountain views, feature new equipment and floor trainers to help members maximize their workout. The fitness facility offers 11 personal trainers, 35 to 40 teachers and up to 130 classes a week.
Outdoors, there are swim classes in the Junior Olympic-size pool, U.S. Masters swim, aqua aerobics and swim team with the JCC Stingrays. Tennis features include six red sports-clay courts and a USPTA Pro 1 instructor. There are adult leagues in basketball, flag football, men’s softball, co-ed softball and co-ed volleyball, with racquetball and youth basketball in the gym.
Early Childhood Education Babies in six-seater buggies, toddlers on trikes and children singing, creating works of art and learning their ABCs – it’s all part of life at The J. About 300 children, ages 6 weeks through 5 years, are enrolled in early childhood education. For 32 years, The J has provided a safe, enriching environment for the youngest Tucsonans. “We are much more than a place
for children to learn,” said Wendy Edmonds, early childhood education codirector. “We are a community center. People become part of a larger family here. Kids talk about how their cribs were next to each other when they were babies. They meet in the infant room and they grow up to be lifelong friends.” The early childhood education center, with 19 classrooms, employs 60. “We have teachers who have been here for 25 years and teachers who are just starting their careers,” said Amy DeWitt, program co-director. “It’s a wonderful place for sharing ideas.” DeWitt and Edmonds said The J is “a great jumping-off point” for children. “We are preparing kids to be part of a classroom, kids who are ready to learn and excited to learn,” DeWitt said. “The variety of experiences children have at The J is enriching.” continued on page 78 >>>
Photos courtesy of the Tucson Jewish Community Center
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Cheers to The Tucson J “The thing I love about The J is it is multigenerational, interdenominational and multiracial. Everyone fits in at The J. There is something for everybody.” – Linda Tumarkin, Co-Chair, Tucson J Capital Campaign
“This renovation is the first real major change to the building in 25 years. It’s very exciting to see what we’re doing there. We have moved from a workout space to a wellness center. I see The J as being even more of a Tucson treasure than it already was.” – Barney Holtzman, Tucson J Board Chair & Managing Director, Fennemore Craig
“Our family supports the JCC because it gives back to the entire community the luck and good fortune we have had in Tucson. I see a big-time future for the JCC. The center is set. It’s well endowed, it has a history and the new facility is gorgeous. It’s got a life of its own now.” – Donald Diamond, Philanthropist & Chairman, Diamond Ventures
“Although the JCC has always been non-sectarian, during the ’50s, ’60s and ’70s, it was almost exclusively used by the Jewish population of Tucson. Since the building of The J at River and Dodge and with the growth of facilities, programs and services, the JCC has become a wonderful melting pot of opportunity for all races and religions and is a genuine gem in our community.” – Mel Zuckerman, Philanthropist & Canyon Ranch Co-Founder
“I credit the large number of dedicated volunteers and staff who combined forces to bring the ideas, concepts and visions to reality. This partnership and untiring effort allowed The J to achieve not only the physical facility that we enjoy today, but to foster the mission of building communal harmony and serving the entire community, while still achieving the Jewish mission of perpetuating Jewish life and identity.” – Ken Light, Retired President & CEO, Tucson J
“I served on The J board for about 20 years until Ken Light approached me and said ‘Helaine, I just looked at our by-laws and I think you were supposed to complete your term about 14 years ago.’ It didn’t seem like so much as a service to The J, but more like following my desire to support an organization with an incredible facility and breadth of programming that fit my family’s passion and is open to the whole community. Everyone I know who has been involved in leadership or as a donor for as long as I remember chooses to stay connected to The J. That says something about the facility and organization.” – Helaine Levy, Philanthropist & Executive Director, Diamond Family Philanthropies
“The JCC is a Tucson treasure holding the community’s most precious assets – the people, young and old alike. From the laughter at the heated swimming pool to the squeals of joy at the splash park, or the determined faces of those exercising in the newly constructed fitness facility, members come ready to enjoy the many facets of the freshly renovated J. The future at The J holds the promise of innovation and programs, both creative and comprehensive, and most importantly, fun for the entire community.” – Richard Belkin, Former Chair, Tucson J Board
continued from page 76 Summer Camp & After-School Programs Summertime means Camp J for many Tucson children. Swimming, cooking, dancing, more swimming, art, field trips, sports, theater, science and even more swimming are all part of camp. It’s the only American Camping Association accredited program in Tucson, following 350 standards of safety, said Scott Zorn, director of children, youth and family engagement. Also offered are winter and fall camps. “Our fantastic facility is what sets us apart,” Zorn said. Camp is inclusive, with special needs services available. “We are here to engage kids and make a difference in their lives,” Zorn said. “When you come to camp here, you leave with an experience you won’t forget.” The J also offers after-school programs. Vans pick up students at 23 different schools, providing a safe and engaging environment until parents pick them up. There is a homework program, arts and crafts, sports and enrichment classes. Older kids have the run of the place, playing basketball, billiards, computer games and pinball, with leadership opportunities. “It’s a cool hangout place,” Zorn said. Special Needs Services The J is a place for all, regardless of race, religion and ability. For years, The J has provided preschool and camp opportunities for children with special needs. “But once children aged out of school and summer programs, families had nowhere for their adult children to go,” said Kristin Taft, special needs services director. With support from interested families and a community advisory panel, The J created the Taglit Day Program in 2009. The program provides young adults with special needs an opportunity to maximize their potential. “We have a really diverse group of needs that we serve,” Taft said, includcontinued on page 80 >>>
Sports and Wellness Center
TUCSON JEWISH COMMUNITY CENTER SBBL ARCHITECTURE + PLANNING Contact Thomas Sayler-Brown at 520.620.0255 e: firstname.lastname@example.org w: www.sbbl.biz 15 E. Pennington Street Tucson, AZ 85701
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“Bill and I love The J’s place in the community. We love our diverse community and we embrace The J’s outreach to all. The new fitness facility is the finest. The views are mesmerizing, and I relax the moment I step on a machine. It is our second home. We love having The J in our lives.” – Brenda Viner, Former Chair, Tucson J Board
“Our building is often cited by visitors and guests from around the world as one of the finest JCCs anywhere. When I first became active at the JCC in my 30s I had young children. Those children grew up using the JCC and now have their own children who use the JCC. It’s very rewarding to know that all the hard work by many community members has resulted in three generations of my family being able to enjoy the wonderful programs and facilities of the Tucson JCC.” – Randy Emerson, Former Chair, Tucson J Board & Partner/Designated Broker, GRE Partners
“The JCC means a multitude of things. For some it is their entrance into the Jewish community. For others it is their entire connection to the Jewish community that helps them maintain their Jewish identity. It has been my honor to volunteer for the JCC over the last 26 years. I feel I have gained way more than I ever have given back.” – Fran Katz, Former Chair, Tucson J Board & Director of Donor Services, University of Arizona Foundation
“In every sense of the word, the JCC is a beacon of the community, a true community center. We are very proud of it.” – Gerry Tumarkin, Former Chair, Tucson J Board
“The goal of our rehabilitation and expansion is to develop state-of-the-art practices for wellness and fitness, and address the young adult special needs population. This has been made possible by volunteers and donors throughout the Tucson Jewish and general community.” – Tom Warne, Immediate Past President, Tucson J
“We are honored by our ongoing partnership with and support from the Jewish Federation of Southern Arizona and the Jewish Community Foundation.” – Todd Rockoff, President & CEO, Tucson Jewish Community Center
Tucson JCC 3800 E. River Rd., Tucson AZ 85718 (520) 299-3000 I tucsonjcc.org 80 BizTucson
continued from page 78 ing adults with Down syndrome, autism and cerebral palsy. The program serves 23 adults, with a long waiting list. With funding from the capital campaign, a new space is being built to accommodate the growing program. Participants make full use of the facilities at The J, and take part in volunteer work. “Everyone gets out in the community at least three times a week,” Taft said. “We volunteer at the library, we have a weekly karate class. We take part in wellness activities, fitness, swim and Special Olympics.” Thanks to a passionate staff and dedicated families, the program flourishes, Taft said. “We are able to look at each person and create a program just for them.” Arts & Culture A life without art and culture would be a dull one indeed. “Arts and culture provide people with a well-rounded experience,” said Lynn Davis, director of arts and culture at The J. “People think of us as a fitness and childcare center, but we make an important contribution to the arts and culture scene in Tucson.” While many of the art offerings explore the Jewish experience, all offer universal themes. “The Tucson International Jewish Film Festival is a prime example,” Davis said. “We offer films with Jewish content that provide a window into different cultures.” Art exhibits, concerts, seminars, lectures, interest groups and regular games of bridge and mah jongg are part of The J experience. The outdoor Sculpture Garden is an ideal spot to wander and relax, and serves as a unique event venue, Davis said. “It’s a lovely, tranquil spot in the middle of town with a view of the mountains, featuring sculpture from local, national and international artists.” The J also features a fine art gallery, “a wonderful, off-the-beaten-path spot on the Tucson arts scene,” Davis said.
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PHOTO: JENNIFER STEWART/ARIZONA DIAMONDBACKS
From left – Tucson J Board Chair Barney Holtzman and Tucson J President & CEO Todd Rockoff accept a gift from Arizona Diamondbacks President & CEO Derrick Hall, Shelley Duncan, manager of a Diamondbacks Single A team, and former D’Backs stars Luis Gonzalez and J.J. Putz, who are special assistants to Hall.
Diamondbacks Donate $76,000 to JCC By Steve Rivera Ken Light wasn’t much of a baseball fan, but he is one now. More specifically, he’s a BIG fan of the Arizona Diamondbacks. The Diamondbacks, who were recently named by Forbes as the best organization to work for in sports, made a donation of $76,000 to the Tucson Jewish Community Center as part of its Grand Slam Award in mid-February. It was Light and his daughter who started the ball rolling to get the pivotal donation that led to adding a new and safe indoor play area at The J. “I think it’s terrific that they see a pri82 BizTucson
ority in Southern Arizona,” said Light, retired president and CEO of The J. “I’ve always viewed them as the Arizona Diamondbacks and not the Phoenix Diamondbacks. The fact that they recognize that they are a statewide presence is reassuring. It’s nice to see them make inroads outside of the greater metro Phoenix area.” But that has always been the case. The D’Backs have contributed more than $42 million since the organization started in 1997. And the team takes pride in saying they’ve given more than all the pro teams in the state combined.
“Southern Arizona is certainly an important part of our history,” said Derrick Hall, president and CEO of the Diamondbacks. “We have a large fan base down here. And personally, it means a lot to me because my in-laws live here and my wife grew up here. The JCC has always been near and dear to our family.” Keeping the Diamondbacks’ brand in Southern Arizona and bringing it to The J is a priority, Diamondbacks officials said. More than $500,000 in school grants have been given, including a $100,000 gift to Gap Ministries. And www.BizTucson.com
in mid-February, Tucson-area Little League teams received new Diamondback jerseys worth more than $30,000. “When great organizations are looking for charitable support, we are very comprehensive at looking at the state,” said Debbie Castaldo, VP of corporate and community impact. “If the organization is good and they are making an impact, they are going to get the money.” The J was humbled by the gift. “It’s transformational for us,” said Todd Rockoff, president and CEO of the Tucson J. “It helped us get to the point where we knew we could build that indoor play space. The Diamondbacks’ organization is a strong brand. It means everything to us.” During the presentation and press conference, a number of children from The J sat listening to what was said and later were read books by Hall and J.J. Putz, the team’s all-time-saves leader. The children had studied the team in class the day before. “These guys are legends in the game and legends in our state,” Rockoff said. “And these are memorable moments.” Hall said he’d like to see more re-
quests from Southern Arizona organizations, and Castaldo said Hall’s motto of FAWTSY – find a way to say yes – comes true. “We do our best to take care of all the requests in some way,” she said. Diamondbacks officials said they have not forgotten their Southern Arizona fans – given they had their first spring
If the organization is good and they are making an impact, they are going to get the money.
– Debbie Castaldo VP of Corporate & Community Impact Arizona Diamondbacks
trainings here, starting in 1998. They already have a big Tucson connection – new manager Chip Hale is a former University of Arizona star. “The hiring of Chip Hale as manager has created a lot of pride in the UA community,” said Mike Feder, coordinator of Southern Arizona projects for the D’Backs. It just adds to the Tucson-Phoenix connection. “We have such a great history and ties here and a very strong fan base in Southern Arizona,” Hall said. “It’s important to communicate that and maintain that. Having left here is one of the toughest decisions we’ve ever had to make, but being down here just logistically wasn’t possible (with no other spring teams here). The community understands that (now). It was tough for me personally and selfish because I have my family here. I have a history here. “We do need a presence here and we have to have an impact on this community as positively as we can. We want people here to know our doors are open and our arms are open. We appreciate what they’ve done for us.”
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UNIVERSITY OF ARIZONA EXECUTIVE OF THE YEAR AWARD LUNCHEON HONORING SAM FOX, CEO & FOUNDER, FOX RESTAURANT CONCEPTS Friday, April 17 The Westin La Paloma Resort & Spa Registration 11:30 a.m. Luncheon & address noon to 1:30 p.m. $85 per person Register at eller.arizona.edu/eoy 621-0053, email@example.com
CEO & Founder Fox Restaurant Concepts
Sam Fox Honored as UA Executive of Year By Edie Jarolim Sam Fox has been keeping some pretty impressive company lately. As the 2015 recipient of the University of Arizona’s Executive of the Year Award, the Tucson-raised restaurateur joined the ranks of Larry Baer, CEO and president of the San Francisco Giants; Janet Napolitano, currently the president of the University of California; and Robert Gates, former U.S. Secretary of Defense – to cite only his three most recent predecessors. Not that Fox had a low profile before receiving this award, established in 1983 by the Eller College of Management National Board of Advisors. Since he founded Fox Restaurant Concepts in 1998 with the opening of Wildflower American Cuisine in Tucson, Fox has achieved widespread recognition in the food service industry for his ability to balance innovation with managed growth. FRC’s unique dining concepts – 15 of them, including Blanco Tacos + Tequila, North Italia and Zinburger in Tucson – are currently represented in seven states. The recent sale of the fast-casual Sauce pizza group leaves FRC with 44 restaurants employing more than 2,700. In 2015, Fox turned up on Nation’s Restaurant News’ Power List of 50 most influential people for the second year in a row. In addition, he was selected as a semifinalist in the Outstanding Restaurateur category of the James Beard Foundation, whose awards are the Oscars of the culinary world. Fox was also the 2014 recipient of the Richard Melman Innovator of the Year Award by Restaurant Hospitality magazine. But the recent recognition by the UA stands apart from the other accolades in that it places Fox’s achievements in a larger national context. Indeed, this is the first time a food-centered business www.BizTucson.com
has been represented since the award’s inception, although executives from Coca-Cola (1990), Coors Brewing (1997) and Starbucks (2011) have highlighted the beverage sector. Other award recipients have been selected from companies as far ranging as Bank One, Intel, Toyota and Time Warner. Not bad for a local boy. Fox, who moved with his family from Chicago to Tucson when he was 5, worked at his father’s restaurants – among them, The Hungry Fox – while growing up. After graduating from Sabino High School, Fox studied real estate at the UA before opening his first Tucson restaurant, Gilligan’s Bar & Grill when he was 20. Vicki Bren Fleischer, senior director of development at Eller College of Management, explained the award process. “We work with the board of directors to identify who we might want to ask to be an honoree and then talk about who on the board might have the strongest connection to that person,” she said. “These are very busy people. It helps to have someone they know approach them.” Fox’s invitation to serve as the 2015 Executive of the Year was made by Eller College namesake Karl Eller, one of the founding board members. Eller said of the honoree, “Sam Fox is ambitious, creative and entrepreneurial – qualities that make him a great leadership example for the many students who will meet him and hear about his story at this year’s University of Arizona Executive of the Year lunch.” Fox will be the featured speaker at the lunch on April 17. Popular with the public, the event is especially geared toward Eller College students. A select group will interact with Fox before his talk.
“The reason our board found him to be compelling speaks for itself, but the fact that he’s such an entrepreneur and also a local guy works for promoting our own here in Arizona,” Fleischer said. “The college has a very strong entrepreneurship program, which just celebrated its 30th anniversary last year.” Philanthropy is also a key component of the award, and Fox makes sure to give back to the communities that his restaurants serve. He has been an avid supporter of the Boys & Girls Clubs since FRC was created, and he was the honorary chair for the American Heart Association’s 2013 Heart Ball. Other nonprofits to which FRC donates include notMYkid and UMOM New Day Centers. Some awards mark lifetime achievements, but this one finds Fox – and FRC – in their prime. The largest growth is slated to be with True Food Kitchen concept. The restaurants feature a fresh, diverse menu based on the anti-inflammatory diet created by another local star, Dr. Andrew Weil, who founded the Arizona Center for Integrative Medicine at the UA College of Medicine. Scottsdale-based P.F. Chang China Bistro, a pioneer in the stylish fast-casual dining field, invested $10 million in the True Food Kitchen brand in 2009 and later acquired a 51 percent ownership stake. FRC and Fox are also located in Scottsdale, where the first True Food Kitchen opened in 2008. Four branches are slated to open on the East Coast in 2015, one in Boston in 2016, but so far there are no plans for a True Food in Tucson. We all love a good success story – but the reason Tucsonans celebrate Fox is that his food is consistently good.
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Rancho Soñado Arabians Receive National Horse of the Year Awards Nan and Dick Walden, owners of Rancho Soñado in Amado, were awarded two National Horse of the Year awards by the United States Equestrian Foundation in Kentucky, recognized as one of the highest achievements in equestrian sports. The foundation awarded its National Champion Half Arabian Working Western Horse of the Year to Stars and Stripes SF +// and Reserve National Champion Working Western Horse of the Year to Agracie Girl V +++//. “Every day, Gracie and Deuce show us how extraordinary they are, whether working cows, riding out on trails, showing in the ring or packing our grandsons around,” Nan Walden said. “To have the USEF recognize them as National Horses of the Year is such an affirmation of our training program.”
Adams Named VP at Great Western Bank Mike Adams has joined Great Western Bank’s Southern Arizona business banking team as VP. Adams has 32 years of commercial banking experience in a variety of management and business development positions. He comes to Great Western Bank from Bank of the West, where he spent the last 24 years. Most recently Adams managed small to medium commercial lending activities in Arizona, New Mexico and Oklahoma. Adams serves on the board of Boys & Girls Clubs of Tucson and is on the advisory board for Southern Arizona Special Olympics. He volunteers with AYSO Youth Soccer Region 206.
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Kim States Named to National BBB Board
Kim States, president and CEO of the Better Business Bureau serving Southern Arizona, was recently appointed to the board of directors of the Council of Better Business Bureaus for a one-year term. States, who has served as CEO of the local BBB since 2008, has been involved on a national level since 2012 when she was elected to the BBB Operating Committee, an advisory committee to the national board. She currently chairs the budget and finance subcommittee. CBBB, located in Arlington, Va., is the umbrella organization for 112 local, independent BBBs across the United States and Canada. Biz
Cole Leads Tucson Airport Authority Board
Steven R. Cole, president of Southwest Appraisal Associates, is the 2015 chairman of the Tucson Airport Authority board of directors. Cole has been a member of TAA since 2007 and joined the board in 2011. He is a certified general real estate appraiser in Arizona. A graduate of the University of California, Los Angeles, Cole holds a masterâ€™s degree in business administration with a concentration on urban land economics. He has also served as chairman for the Pima County Real Estate Council and is a licensed pilot. Biz 90 BizTucson
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Four R&A Associates Receive CPA Designation
Four associates at R&A CPAs, one of Tucson’s original accounting firms, have received CPA designations. Karly Fields received undergraduate and graduate degrees from the University of Arizona, where she graduated magna cum laude. She earned her master’s degree in accounting and received her CPA designation in December 2014. Fields was recently promoted to assurance department manager at R&A. Magda Ajao earned a master’s degree in accounting from UA in 2012. She is working as a senior audit associate for R&A, and obtained her CPA license in June 2014.
Melissa Dalton graduated with her bachelor’s and master’s degrees in accounting from UA. Dalton, who is a staff auditor in the assurance department, obtained her CPA license in December 2014. Adam Foard graduated from Northern Arizona University with a bachelor’s degree in accountancy. Foard, who is working as a senior tax associate for R&A, obtained his CPA license in December 2014. R&A CPAs is a full-service professional accounting firm established in 1942, offering tax, audit, wealth management, forensics and international tax services. Biz
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PHOTOS: BRENT G. MATHIS
Stepping Up to the Plate
Bookmans Sports Exchange a Big Hit
PHOTO OF BOB OLDFATHER COURTESY BOOKMANS SPORTS EXCHANGE
By Steve Rivera Pardon Bob Oldfather for being honest: Bookmans Sports Exchange isn’t a store for him. He wouldn’t be the greatest customer. He doesn’t fit his target market. “I like to ride bikes and play things, but I wouldn’t call myself an enthusiast,” said Oldfather, better known as Bob, the fedora-wearing owner/pitchman from Bookmans. “But I wanted it where I would be a (potential) customer.” He’s pulled it off. There are used items for sports enthusiasts, participants, collectors and, well, everything the recreational sports fan would want or need to get outdoors or to play indoors. “It’s a sporting lifestyle store,” said Oldfather, in that famous voice that permeated the airwaves in the late 1990s-2000s. Arguably, he was one of the more recognizable local figures in Tucson as he talked up Bookmans Bookstores. Let’s see – Lute Olson, Mr. An, and well, Bob. Oldfather might move up on the list as he entertains the thought of talking up his latest endeavor – Bookmans Sports Exchange, 3300 E. Speedway Blvd. And if the Oldfather name’s connection with Bookmans doesn’t ring a bell, here’s why – his last name used to be Schlesinger, but when he and Amy Oldfather got married, Bob took her last name. “It’s an adventure,” he said, of his 10,000-square-foot facility with a huge basement, where more merchandise is stored. “You never know what you are going to find.” That’s hard to argue. There’s that www.BizTucson.com
huge moose head that greets you when you go into the building (that was a major find). There’s the cycling socks, a Jennie Finch signed and framed magazine, signed professional baseball and football jerseys, antique pinball machines and knickknacks for the nutty weekend warrior
Owner, Bookmans Sports Exchange “Someone is going to want those things,” he said. From used hats to free weights to ping pong paddles to cleats to, well, you name it. It’s eclectic to be sure. “In every good sports store you can buy stuff,” he said. “But I wanted to add things for the man cave or woman cave.” This may very well be the ultimate fan cave. The store opened in 2013 in
the space where Walgreens was home for more than four decades, and it has generated more than $1.6 million in sales. It has 24 employees. The atmosphere is open and airy. Oldfather’s vision and style resembles a New York loft with an industrial look featuring wood and brick. The checkout counter is a bowling lane. “I wanted it to be funky but comfortable,” he said. “I wanted it to be strong and module. It’s all built in-house. It’s damn near how I visualized it.” Everything seems to have a purpose behind his vision even if he’s rarely around these days to man his new creation and the other seven Bookmans stores in the state. “I’m not a great manager,” he said. “But I’m more of visionary leader.” So, he created the stores, and most recently the Sports Exchange. “If I was going to work, I’d want a cool place to hang out,” he said. “I figured if we’re doing this, let’s have fun with it. Let’s find something that works for you and works for us and everybody leaves happy.” By all accounts, everyone is happy, especially Sean Feeney. He’s worked for Oldfather for 21 years. Feeney has gone from book buyer in 1993 to store manager to director of store operations. He’s now Bookmans president. “It’s been great working for Bob,” Feeney said. “Perhaps his greatest strength is understanding not just where his strengths lie, but also his weaknesses. What sets him apart is that he can assess these honestly and he strives to surcontinued on page 96 >>> Spring 2015 > > > BizTucson 95
continued from page 95 round himself with key employees that cover his weaknesses as well as complementing his strengths. Once he finds the right complementary players, he manages with a very light touch.” He’s usually available by teleconference or by phone. He’ll make the occasional trip down from his home near Portland, Ore., but “it just depends if they need me.” His used bookstores are his working business model, and they run very much the same way. Bookmans buys, sells and uses trade credit or cash for your used item. The credit can be used at any Bookmans. “All our buying counters are central and it’s about dialogue … our customer is our vendor,” he said. “It’s the core competency of our business – the buying counter. And that core is something I think we do better than anybody else. It’s that dialogue at the counter.” It’s the way it’s happened for more than 37 years when he watched his dad run his first store on Broadway and Tucson boulevards. His father sold him the store for $1 and moved to Sierra Vista. “I never really wanted to be in retail,” he said. “But then I was open to design one how I wanted to have it done rather than have it how others wanted it. So, off I went. Three stores in Tucson, two in Phoenix and one in Flagstaff later it’s all been good. “We definitely try to make a deal that’s good for you.” It’s allowed him to relax and enjoy his life more. He’s 63 and living like he had planned when he was 25, hoping to “goof off” for the final 25 years of his life. “That was my plan, and well, now I am goofing off,” he said. “These days I’m choosing my own adventure.” What he has realized is he’s quite the pitchman, and that surprised him. You might see him once again back on TV selling sports equipment. “Even if you swing a bat like Bob, we want you,” he said with a laugh. “We have the right bat for you.” He said he’s had a great time in front of the camera and with his business ventures. “I’ve had a kickass time, and it’s worked out perfectly. I’ve been able to have fun for a long time.”
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SPECIAL REPORT 2015
THE REGION’S BUSINESS MAGAZINE
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SAL Leaders for Positive Change By David Pittman
The Southern Arizona Leadership Council now has 137 members who will be seen and heard throughout this community as never before. SALC is a business leadership organization that’s adept at mounting and funding big-picture initiatives and building cohesive coalitions and alliances to support its goals. Over the past 18 years, SALC has been successful locally, statewide and nationally, working with government leaders of all political stripes and business organizations from 104 BizTucson
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every economic sector. Yet it has done so quietly, usually behind the scenes. “We never really reached out to the community like we plan to do this year,” said Ron Shoopman, SALC president and CEO for the past decade. “It’s the first time we are engaging citizens in an intentional way.” One impetus for this vigorous engagement is the launch of the MAP Dashboard – also known as Making Action Possible for Southern Arizona. This new public resource provides fact-
based insights into pivotal economic and social indicators about our community and how it measures up to similar cities in the West. SALC spearheaded the launch of this collaborative project, partnering with the University of Arizona and Community Foundation for Southern Arizona. (See article on p. 112) and www. mapazdashboard.com) Pima County Supervisors Chair Sharon Bronson was among many who praised SALC’s leadership in es-
tablishing the MAP Dashboard, which provides people access to important information “that is not politically driven, but factually driven,” she said. The MAP is now the cornerstone of SALC’s data-driven strategic leadership plan. “Today our membership recognizes that to take SALC to the next level, we must add a new dimension to what we are doing and engage the community more broadly,” said Lisa Lovallo, the newly installed chair of SALC and head www.BizTucson.com
of Cox Communications in Southern Arizona. “We must be more visible, more transparent and more assertive in our outreach efforts.” SALC members are business leaders who drive Tucson’s economy, its philanthropy and support for key community initiatives. “We are representative of our community. Our investments in people, innovation, technology, manufacturing, wealth creation and philanthropy are indisputable,” Lovallo, the first woman chair of the organization, said in her
address at SALC’s annual meeting and planning retreat in December. Going forward, SALC plans to feature some of its best-known members in “issue videos” on its website. For instance, if healthcare policy happens to be the issue on the front burner, Judy Rich, president and CEO of Tucson Medical Center, could be the face of SALC. If a spokesman on energy issues is called for, the group could have David Hutchens, president and CEO at Tuccontinued on page 106 >>> Spring 2015 > > > BizTucson 105
SALC has been a catalyst for alliances and cooperative agreements. While we compete on some things, if we all speak with one voice on issues of importance to the business community, we are far more effective.
– Ron Shoopman, President & CEO Southern Arizona Leadership Council
PHOTOS: CHRIS MOONEY
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continued from page 105 son Electric Power, take center stage. If a speaker is needed on the importance of attracting venture capital to Southern Arizona, who better to speak than Harry George, managing general partner of Solstice Capital and co-founder of Desert Angels? The list of impressive expertise at SALC goes on and on. SALC members tackle strategic initiatives with the end goal of precipitating positive change for the betterment of the community. Priorities include economic policies, education, healthcare, trade and transportation, infrastructure and governance. Lovallo said SALC represents “organizations that produce everything from electricity to vapor phase corrosion inhibitors to advanced missile systems and 110-ton carbon steel heat exchangers. Our members lead organizations that do your taxes, build and sell your home, lease commercial business space, design and engineer our roads and streets, finance business expansion, save lives, insure our assets, educate our children, design websites, advertise your products and services and, yes, sell cable TV, too.” Shoopman is a retired U.S. Air Force Brigadier General who formerly served as commander of the Air National Guard’s 162nd Fighter Wing at Tucson International Airport. “When I was hired, the SALC board indicated that they wanted results, not press clippings – and I was very comfortable with that,” he said. Business leaders who join SALC do so because of “a greatergood component” in their makeup, he said. “They’re people who will do things to make this community better – even if it doesn’t enhance their business specifically or enrich them in some way.” The roots of SALC go back to 1997, when a group of seven prominent Tucson businessmen – Hank Amos, Si Schorr, David Mehl, Larry Aldrich, David Wright, Greg Shelton and Charles Bayless – incorporated the group. In its first eight years of existence, SALC had three people serve as president and CEO. In the last decade there has been only one – Shoopman. “When I started at SALC on Jan. 1, 2005, we had 56 members, a tiny budget and a little two-room office,” he said. “We now have 137 members and more revenue and resources at our disposal than ever before.” Shoopman downplays his role in SALC’s success. He says any influence he has comes from the fact that he represents 137 of the most visionary and influential CEOs in Southern Arizona. continued on page 108 >>>
SALC can boast a long list of accomplishments throughout its 18-year history on a number of fronts. For instance during the last 10 years, SALC and its members: u Were at the forefront of efforts to create the Regional Transportation Authority, from its inception at the Arizona Legislature to its passage by Pima County voters in a landmark victory in 2006. Creation of the RTA included a half-cent sales tax to fund $2.1 billion in road improvements over 20 years. u Led the opposition against two separate anti-growth initiatives restricting water usage from the Central Arizona Project. u Organized the Tucson Regional Town Hall, which brought together 160 local leaders for 3½ days of discussion regarding critical issues facing metro Tucson. The Town Hall spawned six “community conversations” on water, literacy, land use, arts and culture, early childhood education and public education and led to the formation of the Literacy for Life Coalition and Tucson Values Teachers. u Brought together 45 scientists, land managers and government leaders to discuss threats from buffelgrass, a non-native plant proliferating in the Sonoran Desert that sucks up moisture faster than native plants and catches fire easily. This scientific forum led to the creation of the Southern Arizona Buffelgrass Coordination Center. u Joined Greater Phoenix Leadership and Flagstaff Forty in creating the nonprofit Science Foundation Arizona, which focuses on generating high-tech jobs through business startups and expansion. About $43.8 million, more than half of SFA grants, have gone to Southern Arizona.
The roots of SALC go back to 1997, when a group of seven prominent Tucson businessmen incorporated the group.
u Led efforts to create the Downtown Tucson Partnership, which focuses on revitalizing the city’s downtown.
u Raised the issue of needed reform to the Tucson City Charter. Although charter change proposals backed by SALC were defeated by Tucson voters in 2010, a city-sponsored commission that SALC has been assisting is now addressing a new charter reform plan.
u Initiated a dialogue with then Gov. Jan Brewer and the state legislature to create a strategic plan providing a context for annual financial decisions. Toward that end, SALC co-sponsored an analysis of state finances by McKinsey & Company that revealed the extent to which the deficit is structural and not cyclical.
u Supported a 1 percent temporary sales tax increase for education that was approved by statewide voters in 2010. u Strongly advised Brewer to veto SB 1062, which she did. The bill would have offered a legal defense for individuals and businesses facing discrimination lawsuits if they proved they had acted on a “sincerely held religious belief.” Opponents argued it would legalize discrimination, allowing businesses to refuse service to LGBT customers. u Successfully lobbied for a Medicaid or Arizona Health Care Cost Containment System expansion bill that was approved by the legislature and signed by Brewer. The bill, which has proved financially helpful to state hospitals, still faces legal challenges, however.
Charles Bayless Not pictured Co-Founder Greg Shelton
PHOTO: CHRIS MOONEY
David Hutchens PHOTO: WWW.BALFOURWALKER.COM
PHOTO: CHRIS MOONEY
continued from page 106 “The effectiveness of SALC is not derived from Ron Shoopman or the SALC staff. It is derived from the members. They drive the organization,” he said. “It is their reputations, influence, resources and direction that has allowed SALC to accomplish the great things that it has. I am proud of what SALC has done.” One of those accomplishments is uniting various business groups and associations – such as the Tucson Metro Chamber, Tucson Regional Economic Opportunities, Metropolitan Pima Alliance and other area chambers and trade associations – in collaborative business coalitions like the Tucson Business Alliance, Tucson Regional Water Coalition and the Southern Arizona Defense Alliance. “When I first got here, business groups didn’t talk to each other very often,” said Shoopman. “That has changed and SALC has been a catalyst for alliances, coalitions, partnerships and cooperative agreements. The point is, the various business groups in the region are working together better than ever before. While we compete on some things, if we all speak with one voice on issues of importance to the business community, we are far more effective.” Lovallo said that in the past, this CEO leadership group failed to fully engage the general population of the Tucson region. This fueled an “inaccurate perception of SALC as an elite, out-of-touch, white-guys-in-the-foothills bunch of colonial overlords.” She said that faulty viewpoint must be addressed in order for SALC to achieve greater results. “Put simply, we must do a better job as an organization and as members of telling the story of SALC. “I am often struck by the lack of community knowledge around the effort and resources SALC brings to solve big problems that impact the quality of life here. It pains me to have to defend SALC to people who have somehow gotten the wrong impression about who we are and what we care about.” This year SALC is working with Strongpoint Marketing, a public relations firm headquartered in Tucson, to implement a comprehensive communications strategy. TMC’s Rich said, “Ron (Shoopman) is articulate, thoughtful and passionate about the community. He is also very careful. He doesn’t take positions that are not well researched. He is highly respected and very effective.” “I sometimes think Ron must have eight days in his week because it is just amazing what he gets accomplished on a regular basis,” said Mike Hammond, a former SALC chair who is president and managing partner of Cushman & Wakefield IPICOR, a commercial real estate firm. “One of Ron’s top qualities is not only being able to build collaborations with business groups, but to build those alliances with non-business groups as well.” Collaboration is so engrained in SALC’s strategy that it is now participating in more than 70 partnerships, alliances and coalitions. One of the most important of those collaborative efforts is the Southern Arizona Defense Alliance, an organization that kicked off its Mission Strong campaign last year to support and protect Southern Arizona military assets, such as Davis-Monthan Air Force Base and the Air National Guard at Tucson International Airport. Its most recent collaborative effort, the MAP Dashboard, is a comprehensive and trusted source of continually updated economic and lifestyle data that is intended to be used as a tool by business leaders, government officials and the general public to make more informed policy decisions. continued on page 110 >>>
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PHOTO: BRENT G. MATHIS
Ann Weaver Hart
PHOTO: COURTESY THE UNIVERSITY OF ARIZONA
Mara Aspinall Tom McGovern
continued from page 108 The MAP was built and is operated by the the UA Eller College of Management’s Economic and Business Research Center. “We anticipate the MAP Dashboard Project will be used by community members, organizations and leaders to help identify potential areas of improvement in their community,” said Jennifer Pullen, analyst for the MAP Dashboard and research economist at Eller College. “We’d like to see the entire community use the dashboard to facilitate conversations on where we’ve been and where we should head.” Paul Bonavia, retired TEP president and chairman, passed the gavel as SALC chair to Lovallo on Dec. 5. Bonavia said SALC’s role in developing the MAP Dashboard was a major accomplishment for the organization. “We worked tirelessly to prepare the MAP Dashboard, which will give our community valuable metrics to guide its actions,” he said. In remarks marking his departure as SALC chair, Bonavia pointed to two more promising SALC collaborative efforts. “Another significant collaboration was born thanks to SALC member Mara Aspinall, who provided the leadership necessary to create the statewide Arizona Biosciences Board,” he said. “The board just launched a research project that will help guide the efforts to make more risk capital available in Arizona.” SALC members Steve Christy, a past RTA chairman and a member of the Arizona State Transportation Board, and Tom McGovern, regional manager of the Psomas civil engineering firm, were instrumental in creating Business Partners for Trade and Transportation, a coalition of more than 20 groups working together to address key regional and state infrastructure issues. Bonavia said because of the efforts of this coalition and others in Southern Arizona, the planned Interstate 11 project, which originally was to be built from Wickenburg to Las Vegas, was expanded to reach south to Tucson and the Mexican border. Business Partners for Trade and Transportation was also responsible for ensuring “that the key connecter route from the border to I-19, State Route 189, was included in the Arizona Department of Transportation’s five-year funding plan,” Bonavia said. Looking to the immediate future, Shoopman said a contingent representing SALC will make a trip to Washington, D.C., to talk with congressional and military officials on such subjects as protecting Southern Arizona military assets, transportation funding and high-tech university research. The visit, scheduled for April 20-23, will coincide with a similar trip by UA officials. Shoopman said some of the meetings will include both visiting delegations.
The mission of Southern Arizona Leadership Council is to improve greater Tucson and the State of Arizona by bringing together resources and leadership to create action that will enhance the economic climate and quality of life in our communities to attract, retain and grow high-quality, high-wage jobs.
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Dashboard By David Pittman
It’s amazing what collaboration between diverse interests can accomplish. Collaboration between the Southern Arizona Leadership Council, the Community Foundation for Southern Arizona and the University of Arizona has created a new tool that has the potential to help business leaders, government officials and the general public make better, more informed decisions regarding economic and quality of life choices in the Tucson region. The tool is called MAP Dashboard. MAP is an acronym for “Making Action Possible” for Southern Arizona. The MAP Dashboard is a new Internet site built and operated by the UA Eller Economic and Business Research Center. Unveiled in December, the Dashboard gives residents of Southern 112 BizTucson
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Arizona unprecedented access to continually updated, comprehensive economic and lifestyle data. The intent of the SALC, CFSA and UA project is for the community to become well informed and then take collective data-driven civic action to measurably improve Southern Arizona. “Until you can put a mirror up in front of the citizenry so they have an accurate picture of where we are as a community, they are not in a position to make good choices,” said SALC Chair Lisa Lovallo, the top executive for Cox Communication in Southern Arizona. “The MAP Dashboard provides that mirror and the opportunity to better align community interests to improve results and make resources go further.”
Accurate data with the click of a mouse
The MAP Dashboard website has 36 areas of measurement grouped into six categories – economy, education, health and social well-being, infrastructure, quality of place, and workforce and demographics – providing thousands of factual details gathered in a colorful graphic format that allows visitors to learn about this region and how it stacks up with other cities in the West. View the MAP Dashboard at www. mapazdashboard.arizona.edu or www. mapazdashboard.com. Jennifer Pullen, a research economist at the UA Eller College, is project manager and analyst for the MAP Dashboard Project. She expects the MAP Dashboard will be utilized by those www.BizTucson.com
Data-Driven Research to Fuel Positive Change hoping to make Tucson and Southern Arizona a better place. “We anticipate the MAP will be used by community members, organizations and leaders to help identify potential areas of improvement in their community,” said Pullen. “We’d like to see the entire community use the Dashboard to facilitate conversations on where we’ve been and where we should head.” Ron Shoopman, SALC’s president and CEO, said the MAP Dashboard belongs to everyone in Southern Arizona. “SALC worked together with the Community Foundation and the university to create something beneficial to the community – but we don’t own it and we don’t control it,” he said. “It isn’t the SALC Dashboard or the Community Foundation Dashboard. It is the Southwww.BizTucson.com
ern Arizona Making Action Possible Dashboard at UA Eller College. This is the community’s dashboard, not ours.” Fact-based planning leads to a brighter future
UA President Ann Weaver Hart called the MAP Dashboard “a gift to our community” from the university and its partners. “Having this information accessible to everyone gives us the tools to build a successful future for our region.” The MAP Dashboard mirrors more than 125 similar projects across the country. Many of those are static presentations updated annually. The Tucson site is designed to be a resource people want to visit often – it’s interactive and offers monthly updates and
real-time data. Clint Mabie, president and CEO of the Community Foundation for Southern Arizona, said the MAP Dashboard tracks a complete range of issues. “It is important to have that 360-degree view of our community so we can identify and work together to address the issues across sectors. To move the needle on each issue we must collaborate and support community-driven civic action.” The MAP Dashboard reveals both strengths and weaknesses regarding Tucson and Southern Arizona. For instance, on the good side, did you know that the average Tucson Water customer has reduced water usage by 27.3 percent over the last 17 years? Or that Tucson’s four-year college attainment continued on page 114 >>> Spring 2015 > > > BizTucson 113
– Jennifer Pullen Project Manager & Analyst MAP Dashboard Project
continued from page 113 rate of 29.8 percent is 1.2 percent higher than the national average? It’s on the MAP. However, did you know Tucson’s working age (25-54) labor force participation rate is just 79.4 percent – which is 2.4 percent less than the national average – and 11th lowest among 12 comparable Western U.S. cities? (Thank goodness for El Paso.) That, too, is on the MAP. SALC’s Lovallo said it is important that the MAP Dashboard becomes a popular website among Southern Arizonans. ‘Just map it’
“One of the things I will focus on as chair of SALC is not only making people aware that the MAP Dashboard exists, but encouraging everybody – schoolchildren, teachers, healthcare workers, academics, business people and politicians – to use it. The MAP is accurate, easy to use, interesting and fun – and the data contained in it is the lat114 BizTucson
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The Map Dashboard is accurate, easy to use, interesting and fun – and the data contained in it is the latest available from the economists at UA Eller College.
– Lisa Lovallo, Chair Southern Arizona Leadership Council
est available from the economists at UA Eller College.” The phrase “google it” is commonly used by people everywhere when it comes to looking for information online. Lovallo wants the term “MAP it” to become just as common among Tucson-
area residents when it comes to searching for information about their part of the world. She said “MAP it” needs to become “part of our nomenclature.” Shoopman also believes it will benefit the local community if the MAP site is heavily utilized. “The Community Foundation is committed to using the MAP on philanthropic issues,” Shoopman said. “We (SALC) are committed to using it on economic issues. The United Way, the Tucson Metro Chamber and TREO are going to use it. We have to keep widening the circle of organizations that are committed to utilizing the MAP.” One organization embracing this new resource is the Tucson Airport Authority, which already has used the Dashboard as a source for 12 presentations, each specifically tailored to convince a different airline to provide or expand service to Tucson International Airport. In a February presentation to an airline that provides passenger service to and from Canada and Europe, TAA www.BizTucson.com
PHOTO: BRENT G. MATHIS
We’d like to see the entire community use the Dashboard to facilitate conversations on where we’ve been – and where we should head.
Screen shots from the MAP Dashboard website: MAPazdashboard.com
officials included information gleaned from the MAP to paint a flattering picture of Tucson’s economy, its workforce, its affordability and its quality of life. Growth of Tucson startups exceeds national average
For instance, information from the MAP Dashboard places the growth rate of Tucson business startups at 4.9 percent annually – which exceeds the national average. Tucson ranks fifth best among 12 western cities – Albuquerque, Austin, Colorado Springs, Denver, El Paso, Las Vegas, Phoenix, Portland, Salt Lake City, San Antonio and San Diego. TAA also used MAP data to underscore that Tucson is fourth lowest among those same 12 cities when it comes to the cost of living, and below the national average. MAP data also showed that Tucson’s median home price is just $169,500, second lowest among the 12 cities, and well below the national average of $197,400. Airline officials also shared that Tucwww.BizTucson.com
son has a highly educated workforce focused on science, great air quality, large amounts of open space, a bicyclefriendly environment and many recreational opportunities. Bonnie Allin, TAA president and CEO, said the authority began using MAP Dashboard data just two weeks after the website was up and running. “As an SALC director who had the benefit of knowing about the thoughtful process that went into developing the MAP Dashboard, it was very clear the resulting data would be invaluable,” she said. “Once they saw the site, our team members were very excited as they could see how useful the MAP information could be for us. They wasted no time in putting the material to use. From my view, it is a valuable part of helping us try to make our case.” Measuring performance against other metro areas
George W. Hammond replaced Marshall Vest as director and research
professor of economic and business research at the UA Eller College of Management in July of 2012. Hammond said that when he arrived at UA, Vest was already involved in “serious discussions” with SALC and the Community Foundation about establishing the MAP Dashboard. “Marshall (Vest) did all the preliminary work of talking to the partners and getting them together in the same room, developing the basic ideas of what the Dashboard would be and getting the financing and all the budgets set up and ready to go,” Hammond said. “He then passed it on to me and retired.” Hammond called the resulting collaboration “a fairly unique partnership between the university and the nonprofit and business communities.” He said his biggest contribution to the Dashboard was hiring Pullen to coordinate the project. “Jennifer (Pullen) has provided a whirlwind of effort,” Hammond said. continued on page 116 >>> Spring 2015 > > > BizTucson 115
BizECONOMY continued from page 115 “My job has been to get out of the way and make sure she has what she needs.” Though modest about his role in creating the MAP Dashboard, Hammond clearly sees it is an important tool for Southern Arizonans. “It’s critical that people have a common place to find trusted information,” he said. “That is what the MAP is designed to do. It gives people information on where the Southern Arizona economy is at the moment and where it has been – so that they can benchmark our performance against other metropolitan areas in Arizona and the U.S. We are doing that in a way that is interesting and engaging, with colorful graphics and written analysis that helps people interpret what is going on.” Groundswell of funding for Dashboard launch
The MAP Dashboard was funded by an array of business, philanthropic and educational organizations. Platinum sponsors of the project were SALC, the Community Foundation, UA, Diamond Ventures, Freeport-McMoRan, Tucson Electric Power and the Thomas R. Brown Foundation. Gold sponsors were Ashland Group, Cox Communications, McMiles Family Fund, Tucson Foundations and Wells Fargo. Silver sponsors included BFL Ventures, Holualoa Companies, Jewish Community Foundation, Jewish Federation of Southern Arizona, Vante and Cushman & Wakefield IPICOR. Hammond welcomes feedback from the university’s project partners and others involved in launching the project. Yet he is very clear that Eller College economists are ultimately responsible for the MAP content. “Our partners are helping to fund the project and they are also giving advice on what is important to track, what we should be paying more attention to and what we should be paying less attention to,” Hammond said. “But we are the economists. We make the final decisions about what goes on the Dashboard and how it gets interpreted. They help us understand what their constituents are thinking.”
Finding regional common ground
Though SALC and private business interests contributed to develop and launch the MAP Dashboard, permanent funding sources will be needed in the future. “We (SALC) and others will be users and advocates for it, but we are not the owner of it,” Shoopman said. “We are funding this for a while – but we’ll need to figure out how to secure sustained funding for it the long term because it is so important.” Government, business, nonprofit and educational leaders throughout Southern Arizona are voicing optimism about what the MAP Dashboard Project can accomplish.
The Dashboard ratchets down the rhetoric and stops the ideology. It reveals facts about our community – and it’s the facts that should inform our decision making.
– Sharon Bronson, Chair Pima County Board of Supervisors
David Hutchens, president & CEO of Tucson Electric Power, said the MAP provides a common set of data to measure how we are doing as a community. “You get what you measure and having data that is trusted from a reliable source like the University of Arizona’s Eller College is very important,” he said. “It gets us all on the same page, all looking at the same information.” Sharon Bronson, chair of the Pima County Board of Supervisors said information provided on the MAP Dashboard “is from a trusted source that people can use from their living rooms or their offices to get a sense of this community’s strengths and weakness-
es.” She said the MAP “ratchets down the rhetoric and stops the ideology. It reveals facts about our community – and it’s the facts that should inform our decision making.” Tony Penn, president & CEO of the United Way of Tucson and Southern Arizona and chairman of the Tucson Metro Chamber, praised the partnership between the UA, the Community Foundation and SALC that created the MAP Dashboard. “In those three organizations we have the business, education and social service and wellness communities represented,” Penn said. “That kind of cross-section coordination is essential to create the very best environment for economic development that is needed to acquire the very best jobs and be able fill them for today and tomorrow.” Tucson Mayor Jonathon Rothschild said the MAP Dashboard “will identify our strengths and weaknesses” and we can use the MAP “to determine what areas we need to focus on as a community.” Manuel O. Valenzuela, superintendent of the Sahuarita Unified School District, said the MAP Dashboard can provide people from all walks of life and various communities information to help “find regional common ground about who we are, what we have in common and who we want to be.” Oro Valley Mayor Satish I. Hiremath said all cities and towns want trusted, reliable data that allows comparisons with other jurisdictions. Thanks to development of the MAP, Southern Arizonans “will finally have metrics available that are statistically valid so we can actually have apples-to-apples comparisons” with other communities in the Southwest and nationwide. Mike Hammond, president, founder and managing shareholder of Cushman & Wakefield IPICOR, said “people on different sides of issues tend to choose their own facts and there are many biased sources of information that distort the facts. The promise of the MAP Dashboard is that it is a reliable and trusted source of information associated with the Eller College at UA.” Biz
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SALC Cultivates Young Leaders
Partnering to Train Future Civic Visionaries By Romi Carrell Wittman year 35 people from all over Arizona are selected via a rigorous application process. The application period for the 2015 Flinn-Brown Academy ends April 13. Those admitted to the program attend a series of classes and seminars in the fall. They attend classes in Phoenix and the Flinn Foundation covers travel expenses. “We didn’t want there to be any barriers to participation,” said Nancy Welch, VP of the Arizona Center for Civic Leadership. The graduates of the program, called fellows, are expected over time to become actively involved as state-level elected officials; board, commission and advisory council members; state agency executives; and leaders in state organizations that affect public policy. Since inception, nearly 200 individuals have become fellows. Many have gone on to run for state office or take jobs in the public sector. Ron Shoopman, Southern Arizona Leadership Council president and
CEO, said the Flinn-Brown Academy is critical for training qualified, motivated civic leaders. To continue that learning process, SALC offers fellows from Southern Arizona a free one-year associate membership. “They interact with senior business leaders and come to understand the issues faced by businesses,” he said. “And they give something very valuable back to SALC in the form of a different perspective on issues – all the time sharing a passion for our community and state that is infectious. After one year, the fellows and SALC members have a very different perspective and appreciation for one another.” Jewett added, “Fellows are exposed to leaders who have made public service part of their business. The mentorship of SALC members to the fellows is sure to have lasting impact both in the Tucson community and as fellows pursue state-level positions.” Coaching is another integral component of the program. After completing
PHOTOS: TOM SPITZ
Season a statewide civic leadership training program with the knowledge and dedication of experienced Southern Arizona business executives and you get a group of people prepared to take charge and move the region and the state forward. The Arizona Center for Civic Leadership, administered by the Flinn Foundation, educates and trains individuals for state-level civic leadership through its Flinn-Brown Civic Leadership Academy. “Flinn’s research in 2010 showed that, while Arizona had many leadership development efforts, there hadn’t been one focused on state-level issues and leadership,” said Jack Jewett, president and CEO of the Flinn Foundation. “The Flinn Foundation saw this as a gap it could help to fill.” The organization reached out to the Thomas R. Brown Foundation in Tucson to partner in the creation of the program and soon the Flinn-Brown Civic Leadership Academy was born. Each
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BizLEADERSHIP classes, fellows are matched with leadership coaches to help them identify not only their goals for civic leadership, but also an action plan to make those goals a reality. “We have a cadre of eight coaches who meet with fellows several times,” Welch said. “The end goal is a narrative that maps their future pathway to state-level leadership.” Suzanne McFarlin, executive director of Greater Tucson Leadership and a leadership consultant, is one of the Flinn-Brown leadership coaches. She meets with fellows to get to know them and what motivates them. McFarlin said the coaches help people see things differently and make changes, and they also hold people accountable. “My job is to ask questions and challenge their thinking. Then we create alignment with what’s important to the client and creating impact at the statewide level,” she said. “In the end, they’re going to have a leadership plan with a timeline that describes their goals and how they’re going to achieve them.” Tucson attorney, SALC member and former Greater Tucson Leadership Woman of the Year honoree Keri Silvyn is a 2011 Flinn-Brown Fellow. She said the experience exceeded her expectations.
“I knew the program was going to have several components and put different perspectives around the issues,” she said. “What I didn’t know was the diversity of people in our cohort – people from different backgrounds, different political affiliations. It was invaluable to be able to discuss issues in a calm, safe place and to truly try to understand other people’s perspectives.” Board member and former chair of Imagine Greater Tucson, Silvyn said having the opportunity to learn to view critical issues through different lenses has made her more effective in her job and in her volunteer service on community boards. It has made her an allaround better leader, she said. “I’m a zoning and land-use attorney and locally we’re always affected by state politics,” she said. “The program ultimately helped me better understand public policymakers.” Although the program is relatively new, Jewett said it’s generating informed and motivated civic leaders. “We’re seeing fellows from all over the state collaborating in ways that make this state richer for all of us. Their contributions to Arizona will only grow with time.” For more information visit www.azcivicleadership.org.
SALC Mentors Tomorrow’s Business Leaders Tucson Young Professionals play a unique role with the Southern Arizona Leadership Council. TYP members are also associate memberships in SALC and their current board president, Jessica Galow, occupies a seat reserved for TYP on the SALC board of directors. TYP’s goal is to attract and retain young business people in Tucson and help them grow into tomorrow’s leaders, said Ron Shoopman, president and CEO of SALC. “Their voices add greatly to the conversations and action plans of SALC.” The group was started following SALC’s Tucson Regional Town Hall in 2007 when several young professionals approached SALC about membership in the organization. The SALC board suggested the younger generation establish their own organization with its help. They embraced the idea – and the rest is history. Today TYP is widely recognized as the leading organization for young leaders in Southern Arizona. TYP members range in age from 21 to 40. They attend SALC’s general membership meetings and work on its committees. TYP has played key roles in SALC initiatives over the years and led many on its own. The experience of forming and leading a nonprofit gave these young leaders a great start on learning how to effectively engage their community. TYP is a place for the next generation of leaders to share their ideas, test their insight and participate in a vibrant conversation – not only providing young professionals with a voice, but an outlet for affecting change.
Dan Coleman Randi Dorman Julie Katsel
SALC is proud of its association with TYP and the relationships that have been created with its dynamic members, Shoopman said. “TYP gives everyone hope for the future of our region.” For more information visit www.tucsonyoungprofessionals.com.
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Pictured at Tucson High Magnet School from left
Executive Chair Tucson Values Teachers
PHOTO: BRENT G. MATHIS
Director of Outreach & Marketing Tucson Values Teachers
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Teachers Are ‘Lifeblood of Community’ 3 Rs of Tucson Values Teachers – Respect, Reward, Retain By Gabrielle Fimbres Remember when metrosexual was the word of the year in 2003? Marian Salzman made that happen. Considered one of the world’s top five trend spotters, this international marketing force and queen of the pop-culture buzzword is said to have a finger firmly placed on the country’s collective pulse. She’s known for getting things done – including brokering a meeting between the father of the Sandy Hook Elementary School killer and the parents of one of 20 first-graders killed in the massacre. Now her focus is on Tucson Values Teachers. Salzman, the new executive chair of TVT, is on a mission to elevate respect and reward for members of a most noble profession – teaching. She will lead the organization with the assistance of Katie Rogerson, who successfully directed all of TVT’s high-impact programs over the past year. TVT was founded by Southern Arizona Leadership Council six years ago with the understanding that a strong economy requires a strong education system. In addition to her leadership at TVT, she will remain CEO of Havas PR North America, the earned-media and buzz agency within Havas, a top-five global advertising and communications services group. This marketing dynamo has been named PRWeek’s U.S. PR Professional of the Year and Global PR Professional of the Year. She sits on the board of the Bob Woodruff Foundation, which www.BizTucson.com
serves wounded warriors, and writes for the Huffington Post, The Guardian and
Tucson Values Teachers Programs • Teacher Discount Card, providing discounts at 80+ Southern Arizona businesses • Tucson Supplies Teachers, an annual community-wide drive that has delivered more than $660,000 in supplies to schools, helping teachers to spend less of their own money •
Teachers in Industry, a nationally recognized business-education partnership that features a UA College of Education master’s degree program for STEM teachers who earn industry wages and gain business experience in local companies during the summer.
• Teacher Appreciation Week, offering free professional development, classroom resources and special discounts • Teachers’ Voices, with television and radio spots highlighting teachers • Teacher Excellence Award, a monthly tribute spotlighting teacher excellence • Raytheon Spirit of Education Award, an annual event honoring outstanding business investment in education and benefitting TVT
Forbes.com. The teachers of Southern Arizona are now her cause. “There is something wrong with any community where I as a CEO am afforded more respect than my neighbor the teacher,” Salzman said. “Until such time as we are treated with equal respect, we all have a job to do.” Statistics regarding teacher retention and satisfaction are bleak. More than a quarter of current Tucson teachers indicate they are not likely to be teaching in Southern Arizona five years from now, and the national mean for teachers staying in the profession is one year, according to TVT. We can fix this, Salzman says. “We have four serious issues – respect from the community, pay, training and development, and leadership in schools. I argue that TVT today can impact respect and training and development.” Salzman said the current political climate won’t result in teacher pay raises anytime soon. But TVT, with its strong signature programs (see box) that can benefit from “a coat of shine” – and a major infusion of funding from local and national corporations and foundations – can make a significant impact, Salzman said. Look out, corporate America, here comes Salzman. “I am not used to hearing ‘no’ if my request is rational and fair,” she said. “I’m not prepared to lose on behalf of a cause. These teachers are the lifeblood of this community, yet they are paid so continued on page 122 >>> Spring 2015 > > > BizTucson 121
BizEDUCATION SALC Priority is Education Education is a high priority for the Southern Arizona Leadership Council. The group works to build a strong education system that promotes outstanding achievement through high standards, a rigorous curriculum, accountability and community involvement – starting with early childhood education and continuing through graduate school and beyond. SALC is committed to addressing education policy issues and it does so working with education groups statewide including the Rodel Foundation of Arizona, Helios Education Foundation, Expect More Arizona and the Arizona Business & Education Coalition. SALC’s higher education work is focused on two areas. “First is serving the people of Arizona through education that results in a high quality workforce to fill the high paying jobs we envision for Arizona,” said Ron Shoopman, SALC’s president and CEO. It also works closely with Arizona’s universities to grow our state’s economy. SALC’s commitment to higher education is reflected in its membership. All three university presidents – Ann Weaver Hart from the University of Arizona, Michael Crow from Arizona State University and Rita Cheng from Northern Arizona University – are members of SALC, as is Pima Community College Chancellor Lee Lambert. Current members of the Arizona Board of Regents include Shoopman and SALC member Rick Myers. Former regents include SALC board of directors Donald Pitt and Hank Amos.
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There is something wrong with any community where I as a CEO am afforded more respect than my neighbor the teacher. Until such time as we are treated with equal respect, we all have a job to do.
– Marian Salzman Executive Chair, Tucson Values Teachers
continued from page 121 poorly and shown so little respect.” She said partnerships are critical. “We have an extraordinary University of Arizona College of Education and we need to partner even further with Dean Ronald Marx and his colleagues. We must figure out how to best exploit the wonderful resources already available.” Salzman’s goal is to raise $250,000 more in 2015 than has been historically raised in a year. Her goal for 2016 is to make Tucson a beta site, attracting federal money to determine how to benefit teachers in a multicultural urban community. She plans to launch a micro-philanthropy campaign she is calling Lessons in Gratitude, asking community members to put up $10 to $15. She’s hoping that 2,500 households will commit, demonstrating respect for teachers. This Ivy Leaguer is fueled by the impact teachers had on her life. “If I didn’t have a great fourth-grade teacher, I never would have been a strong student going into junior high,” Salzman said. “My parents had gone to City College. What was I doing at an Ivy League school? Teachers encouraged me to try it.” So how did Salzman end up in Tucson? Her husband Jim Diamond came to Tucson to get his legal academic degree at the UA and fell in love with the university. He’s now an instructor in the new undergraduate law program. TVT’s Rogerson said the ultimate
goal is to attract and retain the best workforce in Southern Arizona by supporting teachers. The plan is to expand TVT throughout Arizona. “The No. 1 reason so many teachers leave the profession in the first five years is they don’t get the support, training and mentoring that they need.” She said TVT “makes a huge difference to teachers, knowing there is an organization that is dedicated to supporting them.” Ron Shoopman, SALC president and CEO, called Salzman “a truly remarkable and talented CEO. “Marian is the perfect executive to lead the joint SALC/TVT initiative to put a great teacher in every classroom in Southern Arizona,” he said. Colleen Niccum, VP of education policy at SALC, said Salzman “has demonstrated success in raising national attention and support for a variety of critical issues, such as wounded warriors and those suffering from traumatic brain injury. We are so fortunate that she has been inspired to apply her talents to the issue of the teacher workforce, an issue that is reaching crisis proportions in Arizona and across the nation.” Salzman said it’s a way to give thanks for all that teachers did for her. “You have to be grateful for the impact teachers have on your children, on your neighbor’s children and on the community,” Salzman said. “Imagine where we would be without them.” Learn more at: Biz www.tucsonvaluesteachers.org www.BizTucson.com
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SALC Leadership Team from left
Gregory White, Secretary Duff Hearon, Treasurer Lisa Lovallo, Chair Mark Mistler, Vice Chair
Powerhouse of Leaders PHOTO: CHRIS MOONEY
By David Pittman Talk about a brain trust. The Southern Arizona Leadership Council is 137 members strong. How do you harness the power and passion of all those business and community leaders to address SALC’s priorities? That’s the challenge for SALC Chair Lisa Lovallo and her team – to lead these leaders and tap into the expertise of the region’s top business and industry professionals.
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“Lisa is the perfect chair at the perfect time to make SALC more visible, which will enable it to make greater strides in improving the business climate and quality of life in our community,” said Ron Shoopman, SALC president and CEO. At the top of SALC’s leadership pyramid are the four officers of its board of directors, led by energetic and hardworking Lovallo, the first
woman to chair SALC. They are joined by 13 co-chairs for SALC’s six strategic focus areas. “If you look at the membership of SALC, they are all leaders. SALC is a large and committed group of business and community leaders who care about Tucson and Southern Arizona and want to make it better,” Shoopman said.
BizLEADERSHIP Meet the SALC leadership team • SALC Chair Lovallo, market VP for
Southern Arizona at Cox Communications. In addition to her responsibilities at Cox and SALC, Lovallo serves on 10 community boards including Tucson Regional Economic Opportunities, DM50, Downtown Tucson Partnership and the University of Arizona Cancer Center. Lovallo was named Woman of the Year for 2010 by the Tucson Metro Chamber, a Woman of Influence by Inside Tucson Business, a Woman on the Move by the YWCA of Tucson, and was given the Spirit of Philanthropy Award by the Southern Arizona chapter of the Association of Fundraising Professionals. She was just named this year’s “Woman of Excellence” by the American Advertising Federation Tucson.
Chair Mark Mistler, president of BBVA Compass Bank for Southern Arizona. As vice chair, Mistler oversees the SALC Membership Committee and is in line to succeed Lovallo as chair. A past board chairman of the Tucson Metro Chamber, Mistler serves on numerous nonprofit boards, including the National Board of Advisors for UA’s Eller College of Management, Tucson Regional Economic Opportunities and the Habitat for Humanity Executive Advisory Board.
Duff Hearon is the founder/CEO/owner of the Ashland Group, a diversified investment company in commercial real estate, startup companies and securities. Hearon – who earned bachelor’s degrees in finance and accounting, as well as a law degree, all from UA – serves or has served on a number of boards, including Tech Parks Arizona, Tucson Conquistadores and the United Way of Tucson and Southern Arizona.
Gregory White is VP and CFO at Raytheon Missile Systems. Before joining Raytheon, White worked as VP of finance for the electronics, information and support business at BAE Systems.
“The strength of SALC is not just in its board of directors,” Shoopman said. “All of our members – from the newest to those who founded the organization – are community leaders.” That’s how SALC can take on a number of important issues simultaneously and comprehensively – because it has a variety of focus areas so members can actively participate in their areas of expertise and interest.
SALC members drive the organization. It’s their reputations, influence, resources and direction that has allowed SALC to accomplish the great things that it has.
– Ron Shoopman President & CEO Southern Arizona Leadership Council
SALC Focus Areas and the people who lead them
Education Focus Area is led by a trio of heavy hitters – Rosey Koberlein, Steve Lynn and Donald Pitt. Koberlein is CEO of Long Realty and Long Companies. Lynn, who recently retired as VP and chief customer officer of UNS Energy and Tucson Electric Power, formerly served as SALC chair. A lawyer/businessman/real estate developer, Pitt has been among the most influential Tucsonans for five decades.
Infrastructure Focus Area
is led by Steve Christy and Tom McGovern. Christy, a former automobile dealer who is now a director of the National Bank of Arizona, is a former chairman of both the Regional Transportation Authority and the Arizona State Transportation Board. McGovern is VP and regional
manager of Psomas, a leading civil engineering firm.
• The Healthcare Focus Area is led by Joe Coyle and Judy Rich. Coyle, the managing director for Ritter International in Tucson, formerly served as a VP of human resources for Raytheon. Rich is president and CEO of Tucson Medical Center.
Science & Innovation Focus Area is led by Dr. Paul August
and Harry George. August leads the discovery biology team at the Sanofi Tucson Innovation Center. George, the managing partner of Solstice Capital, has more than 35 years of experience in founding, operating and investing in rapid-growth technology companies.
Governance Focus Area
is co-chaired by Si Schorr, Sarah Smallhouse and Lovallo. Schorr, a longtime community leader, is senior partner in the law firm of Lewis Roca Rothgerber. He formerly chaired the Arizona State Board of Transportation and was the first chairman of the Regional Transportation Authority. Smallhouse is president of Thomas R. Brown Foundations in Tucson. She also chairs the UA Foundation Board of Trustees and the Southern Arizona Buffelgrass Coordination Center Board of Directors.
• The Strategic Initiative Committee is co-chaired by Bruce Dusenberry and Warren Rustand. A former lawyer, Dusenberry is president of Horizon Moving Systems. Horizon has offices in Sierra Vista and Yuma. The other offices were recently sold to Suddath Companies. Rustand is CEO of Providence Service Corporation, a $1.2 billion social services and logistics management company. He has served as chairman/CEO of eight other companies, as a board member of more than 50 public, private and nonprofit organizations, and in high-ranking positions in President Gerald Ford’s administration.
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SALC Partners for Progress Over the past 18 years the Southern Arizona Leadership Council formed ongoing partnerships with these entities committed to make a difference in Tucson and Arizona: Biosciences Leadership Council of Southern Arizona
Southern Arizona Buffelgrass Coordination Center
Brown Family Foundations
Tucson Regional Water Coalition
Center of the Future of Arizona
– Alliance of Construction Trades
– Arizona Builders Alliance
– Arizona Multi-Housing Association
Greater Phoenix Leadership
– Arizona Small Business Association
Helios Education Foundation
– Greater Oro Valley Chamber of Commerce
Rodel Foundation of Arizona
– Marana Chamber of Commerce
Science Foundation Arizona
– Metropolitan Pima Alliance
PHOTO: AMY HASKELL
From left – John Pedicone, director; Mary Rowley, CEO of Strongpoint Marketing; Colleen M. Niccum, VP of educational policy; Ted Maxwell, VP
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Tucson Regional Water Coalition (cont.) – Safe and Sensible Water Committee – Southern Arizona Home Builders Association – Tucson Association of Realtors – Tucson Hispanic Chamber – Tucson Metro Chamber
3497 North Campbell Avenue, Suite 703 Tucson, Arizona 85719
– Tucson Regional Economic Opportunities
– Tucson Utility Contractors Association
Tucson Values Teachers From left – Ron Shoopman, president & CEO; Jim Kiser, director of governance; Pam Duncan, executive assistant; Pamela Speder, director of science and innovation
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BizLEADERSHIP SALC Collaborators for Change The Southern Arizona Leadership Council works closely with entities across the state to address issues ranging from economic policy to governance, healthcare and infrastructure. In alphabetical order they include:
Alliance of Construction Trades
Grand Canyon University
Arizona Bioscience Board
Arizona Board of Regents
Arizona Chamber of Commerce
Northern Arizona University
Arizona Commerce Authority
Arizona Department of Transportation
Pima Community College
Arizona Hospital Association
Southern Arizona Defense Alliance
Southern Arizona schools
Arizona State University
Arizona STEM Network
Tech Launch Arizona
Association of General Contractors
The Arizona We Want
Arizona Business & Education Coalition
Trade and Transportation Corridor Alliance
Business Partners for Trade and Transportation
Tucson Business Alliance
– Arizona Builders Alliance
– Southern Arizona Home Builders Association
– Green Valley Chamber
– Tucson Association of Realtors
– Imagine Greater Tucson
– Tucson Hispanic Chamber of Commerce
– Marana Chamber
– Tucson Metro Chamber
– Metropolitan Pima Alliance
– Tucson Regional Economic Opportunities
– Greater Oro Valley Chamber of Commerce
– Visit Tucson
– Tucson Business Alliance – Tucson Utility Contractor’s Association Community Foundation for Southern Arizona Desert Angels Elected and government officials Employers Health Alliance of Arizona Expect More Arizona
Tucson Charter Change Coalition (200 diverse groups and individuals) Tucson Association of Realtors Tucson Utility Contractors Association UA STEM Learning Center United Way of Tucson and Southern Arizona University of Arizona
First Things First Flinn Foundation Bioscience Steering Committee
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President & CEO The Abraham Avdee Group
General Partner Cadre Partners
President Abrams Airborne Manufacturing
President SPA 550
Managing Director, Arizona The Newport Board Group
Vice President UA Tech Launch Arizona
President & CEO Tucson Airport Authority
President & CEO Tucson Realty & Trust Co.
Co-Chair Arizona Bioscience Board
CEO CAID Industries, Inc.
US Head Early to Candidate Unit Sanofi
President & CEO Beach Fleischman
President & CEO Carondelet Health Network
Chairman & CEO Mission Management & Trust Co.
President Boice Financial Company
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(retired) Tucson Electric Power & UNS Energy Corp.
Director of Education & Outreach UA Science: Biosphere 2
President & CEO Bourn Companies
President & CEO BFL Construction Company
President Bremond Company
President & CEO Critical Path Institute
Founder & Former President Rodel Foundations
President & CEO Community Partnerships of Southern AZ
President Northern Arizona University
Director National Bank of Arizona
CEO Golden Eagle Distributors
President Jim Click Automotive
Executive Vice President Beach Fleischman
Partner Mesch, Clark & Rothschild
Owner Dan Coleman
CEO Meet Me Concepts
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Managing Director Ritter International
President & Professor Arizona State University
Chairman Diamond Ventures, Inc.
Principal R & R Development
President Oâ€™Rielly Chevrolet, Inc.
VP/Chief Development Officer TMC HealthCare/TMC Foundation
President Horizon Moving Systems
Partner / Owner Farhang & Medcoff
President, So. AZ Market, Comm. Banking Chase Commercial Bank
CEO Nuanced Media
President & CEO St. Josephâ€™s Hospital
President, Arizona Division Western Alliance Bancorporation
Director of Resource Development United Way of Tucson & Southern Arizona
Managing Partner Solstice Capital
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VP/GM - Outstate AZ Regional Markets Group CenturyLink
President & CEO Cushman & Wakefield | PICOR
President Ashland Group
President & CEO Legacy Foundation of Southeast Arizona
Partner Hinderaker, Rauh & Weisman
Managing Director Tucson Office Fennemore Craig
President & CEO Tucson Electric Power & UNS Energy Corp.
Tim (TJ) Johnson
Managing Director CBRE
Campus Director University of Phoenix
CEO HTG Molecular
Lt. General (Retired) USMC
I. Michael Kasser
Chairman Arizona Earthworks
President Holualoa Companies
Southern Arizona Director Office of Senator Flake
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Thomas W. Keating
President Trailhead Ventures
Region Manager Granite Construction
CFO Bedmart (retired)
President Arizona Board of Regents
CEO Long Companies
Executive Vice President Diamond Ventures, Inc.
Founder & Owner Staff Matters
Executive Vice President Royal Automotive Group
Chancellor Pima Community College
President Raytheon Missile Systems
Owner Port of Tucson/Century Park Research Center
Market Vice President for Southern Arizona Cox Communications
Chief Strategy Officer Strongpoint Marketing
President & CEO Community Foundation for Southern AZ
CEO Madden Media
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Vice President Business Banking Manager Wells Fargo Bank
Chairman & CEO Instant BioScan
Agency Owner The Edmund Marquez Allstate Agencies
Principal MC Companies
General Manager Loews Ventana Canyon Resort
Assistant Attorney General Arizona Attorney Generalâ€™s Office
CEO Sinfonia HealthCare Corp.
P.E., Principal Psomas
President Cottonwood Properties
President & CEO Hudbay Minerals
Senior Wealth Strategist & Vice President Northern Trust Company
Vice Chair Sonoran Institute
Executive Vice President HSL Properties
President, So. Arizona BBVA Compass Bank
Partner Rusing, Lopez & Lizardi
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President & CEO University of Arizona Foundation
President & CEO Grayline Tours / Citizen Auto Stage Co.
CEO & CFO Nord Resources Corporation
President M3 Engineering
Owner Norville Investments / Gem & Jewelry Exchange
Partner TCI Wealth Advisors
President & CEO United Way of Tucson & Southern Arizona
President & CEO TM International
Chairman of the Board Campus Research Corporation
CEO World View Experience
Chief of Staff Tucson City Council, Ward 3
President & CEO Vantage West Credit Union
President & CEO Asarco
President & Publisher Arizona Daily Star
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Partner Snell & Wilmer
President & CEO TMC HealthCare
President Crest Insurance Group
CEO Providence Service Corp.
General Manager Westin La Paloma
Partner Lewis Roca Rothgerber
Attorney Lazarus, Silvyn & Bangs
Senior Vice President Alliance Bank of Arizona
Partner Venture West
President Thomas R. Brown Foundations
Executive Vice President Empire Southwest
Nan Stockholm Walden
President & CEO Ephibian
Vice President & Legal Counsel Farmers Investment Co.
Vice President Diamond Ventures
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Teri Lucie Thompson
Principal Swaim Associates Architects
Partner Lewis Roca Rothgerber
President & CEO Pima Federal Credit Union
Senior Vice President University Relations University of Arizona
President Lovitt & Touché
President AAA Landscape
Vice President/Treasurer Estes Company
Senior Project Director Sundt Construction
Ann Weaver Hart
VP Strategy and Informatics Blue Cross Blue Shield of Arizona
President University of Arizona
CFO, Vice President Finance Raytheon Missile Systems
Chairman, President & CEO Farmers Investment Co.
Vice President, So. AZ Division Southwest Gas Corporation
Vice President, Army & Information Systems Business Unit TASC
CEO Contact One Call Cente
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< < < Spring
Fraud Can Strike Anywhere By Eric Lee
The Face of Fraud
Business owners and operators have lots of things to worry about in running their businesses, and thinking about fraud may be one of their least concerns. Many roll the dice and hope the day never comes, while others think that it could never happen to them. But if fraud comes, it can have a huge financial impact to the company and be potentially devastating. Fraud costs the typical company 5 percent of revenue a year. With recent cutbacks, layoffs and cost-cutting at businesses, the opportunity to commit fraud gets that much easier. To make matters worse, difficult economic times can create additional pressure on some employees to commit fraud.
Many believe fraud only happens to big companies. But the statistics may surprise you. According to the Association of Certified Fraud Examiners’ 2014 Report to the Nation, businesses with fewer than 100 employees and private companies have the highest percentage of fraud. The cost of fraud can be staggering. Small business fraud averages over $150,000 per incident – one of the highest of any business segment. What may also surprise you are the people who commit the fraud. Statistics show that more than 50 percent of those who commit fraud had been with their companies for at least five years and that 85 percent of all fraudsters have never been convicted of a crime. Almost 80 percent of those committing fraud were an employee or manager of the company.
Since fraud can occur everywhere and to anyone, here are some of the top fraud controls that are cost-effective to implement and can reduce your fraud exposure: • Management or supervisory review • Code of conduct/anti-fraud policy • Formal fraud risk assessment • Fraud training • Proactive data monitoring/analysis • Job rotation/mandatory vacation While you may not be able to completely eliminate fraud from happening, there are many things you can do that can greatly reduce the chances of it happening to you. By proactively taking steps to monitor fraud and reduce the risks, you can save your company a lot of time, money and heartache. Eric Lee is the Principal, Consulting Services at Keegan, Linscott & Kenon.
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PHOTO: BRENT G. MATHIS
Director, Economic and Business Research Center Eller College of Management University of Arizona
Passion for Economics By David Pittman Like many Tucsonans, George Hammond is right where he wants to be. But unlike most transplants living here, Hammond’s move to Southern Arizona had nothing to do with warm, dry weather. Hammond, who formerly headed the Bureau of Business and Economic Research at West Virginia University, took over for Marshall Vest, who retired 2½ years ago as director of the Economic and Business Research Center in the Eller College of Management at the University of Arizona. The economist said he came here because of the outstanding reputation of Eller College in academic circles around the country and for the opportunity to work with the outstanding people at the UA Economic and Business Research Center. “I had a great job at West Virginia University,” Hammond said. “The reason I left was this was such an exciting opportunity to work with the staff here at Eller College. I was overjoyed when they hired me.” When asked if Southern Arizona’s climate had anything to do with his decision to take the job, he said, “If this staff was in Alaska – I would be in Alaska.” Handpicked for the UA post by Vest, Hammond’s succeeds his predecessor as the most influential economic forecaster in Southern Arizona. At the annual Economic Outlook www.BizTucson.com
Forecast Luncheon in December at the Westin La Paloma Resort & Spa, Hammond predicted Tucson’s economy would grow, albeit slowly, both this year and next. While Tucson added about 4,200 jobs last year, an increase of 1.2 percent, Hammond said that job growth was below state and national growth rates of 2.0 percent and 1.9 percent, respectively. He said most of Tucson’s job gains were in the leisure and hospitality industry, professional and business services, and in education, healthcare and financial activities. Tucson experienced job losses in construction and manufacturing. “Construction continues to be the missing link in the recovery, with employment running at levels last seen in the mid-1990s,” he said. “Slow population and household gains dampened residential real estate activity during the past year.” Also slowing local economic growth, Hammond said, has been a significant “federal fiscal drag” in the form of declining employment and reduced federal procurement spending. He said reductions in federal spending affect Tucson more than the nation as a whole because federal activity (both civilian and military) makes up a larger share of the local economy. “According to the latest data, the fed-
eral government sector accounted for 7.7 percent of Tucson’s gross domestic product in 2012 – more than double the national share,” he said. Hammond predicted gradual job growth this year and next, which will reflect a modest increase in net migration to the area and a lessening of the federal fiscal drag. “Overall, Tucson continues to battle headwinds – but the local economy is growing and moving forward,” he said. In an interview a few days after that presentation, Hammond said he loves his job at UA, which not only involves economic forecasting, but also research, writing, teaching and managing the Economic and Business Research Center. In economic terms, we are living in difficult, yet exciting times, he said. “We’ve just lived through the worst economic shock since The Great Depression. If that doesn’t wake you up in the morning when you come to work and think about what is going on, pretty much nothing will. There is always something happening, either nationally, globally or in Arizona to think about and to consider. So I wake up every day excited to come in and find out what is going on and what the latest data shows.” Hammond’s academic research focuses on the determinants of local economic growth in the United States, the continued on page 152 >>> Spring 2015 > > > BizTucson 151
continued from page 151 impact of state and local policies on economic growth and the contribution of higher education to local workforce development. His research has appeared in the Journal of Regional Science, the American Journal of Agricultural Economics, International Regional Science Review, Annals of Regional Science and Manchester School Review, among others. Hammond holds a bachelor’s degree in economics from the University of Colorado and a doctorate in business economics from Indiana University. Before coming to UA, he was on the faculty at WVU for 17 years. Hammond decided to make economics his career while an undergraduate. “Economics was my first major,” he said. “I took an economics class and enjoyed it. I liked the structure of it. I liked the math that was involved in it. There was a lot of argumentation. You had to write clearly. You had to think clearly. You had to be able to reason and use math. At the time, computers were becoming more and more of a tool being used – and I thought that was fun too.” While at college in Boulder, Hammond landed a job as a research assistant at a small economic consulting and forecasting firm. “I was working down in the trenches with all the data, getting everything ready for the model, doing a first-cut solution of the model then handing it off to the principals of the company who would refine the forecast,” Hammond recalled. “They were paying me for 20 hours a week – but I was probably working 50 hours because I really loved it. I learned there were a lot of these economic consulting firms around and that you could do all kinds of things with a degree in economics.” Hammond’s hobbies include tennis and fly-fishing. “I play tennis now and again and I fish when I can,” he said. “There is not so much fly fishing in Southern Arizona – but I now own some land in Southern Colorado that was passed down through my family. There is a great little trout stream that runs through it and I spend some time there every summer.”
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PHOTOS: AMY HASKELL
Front row from left – Mark Riggi, Millwork by Design; Susan Mulholland, Mulholland Art & Design Commercial Interiors, Co-Chair & Project Interior Designer; Jamie Olding, Building Excellence, Co-Chair & Project General Contractor Back from left – Alan Bieberstein, Cornerstone Electrical Contractors; Rick Bright, Bright Design Associates, Project Architect; Nelson Brown, J.B. Steel; Tom Dunn, Arizona Builders Alliance
Builders Give Back Contractors’ Group School Rehab By Dan Sorenson You would think anyone working in the construction trades would get more than enough of it Monday through Friday. But roughly 200 tradesmen from scores of companies turned out cheerfully on a Saturday morning in early December to work for free. The event was the Arizona Builders Alliance’s 20th Annual Volunteer Day, this year benefiting Faith Lutheran
School, 3925 E. Fifth St. ABA is a professional organization for commercial builders, including general contractors, subcontractors and suppliers, said Tom Dunn, the ABA’s director for Southern Arizona. “We advocate on behalf of commercial builders, with about 400 members statewide,” Dunn said. The Volunteer Day is a way for some of those members to give back to
the community, Typically there are 20 to 40 nominations submitted to the ABA office each year. That list is narrowed to five, said Debbie Carlson of the ABA Tucson office. Then the Volunteer Day Committee members do site visits and vote to choose the recipient for that year. “They have to own the building and we have to be able to come in and in-
ABA Volunteer Day Participants AIS Industries Achilles Air Conditioning Systems Applied Rite Doors and Docks ARC Document Solutions Arizona State Prison Complex Arizona Restaurant Supply Atlantic Demolition Barker Morrissey Contracting Basically Blinds
BeachFleischman Bright Design Associates Building Excellence CAID Industries Chestnut Building & Design Civano Nursery Climatec Concord General Contracting CORE Construction
Cornerstone Electrical Contractors Crest Steel Corp. D Tellez Masonry Deko Ink Promotional Products DJNelson & Associates Dunn-Edwards Paints Eagle Roofing Edgebanding Services Epstein Construction
FBM FileMyPrelim.com Flooring Systems of Arizona General Air Control Greyco Electric & Solar Hiller & Sons Painting Hood Distribution McEwen Group Horizon Hudbay Minerals
vade their space,” said Susan Mulholland, co-chair of the 2014 ABA Volunteer Day. It’s difficult to put an exact price on the work done because of the amount of volunteer labor and the donated and discounted materials used in the project, said Mulholland and Jamie Olding, the other project co-chair. Olding owns Building Excellence, a Tucson-based general contractor. Mulholland is the owner of Mulholland Art & Design Commercial Interiors of Tucson. Many times, Mulholland said, the work at a chosen site involves catching up “a lot of deferred maintenance.” But Faith Lutheran School required some more substantial and expensive work. It was an exceptionally large job and fortunately also a slightly larger than normal turnout of volunteers, Dunn said. “This is going to be around, I’d guess, $200,000,” Olding said. “We got a lot of material donated. Contractors worked with suppliers to get it donated, or at least discounted. We usually raise about $10,000.” Esther Nicholas, principal of Faith Lutheran School said, “The ABA provided magnificent contributions to our school and went far beyond their original plans because of flooding that occurred at the onset of the project. Our students are safer, the classrooms are vastly improved, our kitchen is all new and the gym has been modernized and revamped. On top of these improvements, our campus is now equipped to handle downpours without flooding the classrooms. We have served students and families for 63 years and because of the ABA we have the hope of continuing to our centennial anniversary. We are so grateful.” The church and school are celebrated as an example of Tucson’s Modern Movement by architecture historians. A
Industrial Metal Supply Jannings Acoustical Design J.B. Steel Johnson Brothers Painting KC Mechanical Engineering Kalamazoo Materials Kortman Electric LaborMax Staffing Legal Shield
pair of soaring pointed walls that bookend the 1951 church earned it the common nickname of the “bunny ears” or “B-52” church. The church and school, which opened in 1952, and the architect who designed them, Arthur Brown, are mentioned prominently in “Architecture of the Modern Movement in Tucson, 1945-1975.” This study of Tucson’s mid-century architecture was written by Chris Evans and R. Jeffery and published in 2005 by the University of Arizona’s Preservation Studies Program.
The ABA provided magnificent contributions to our school and went far beyond their original plans because of flooding that occurred at the onset of the project. –
Esther Nicholas, Principal Faith Lutheran School
The school and church sit just a half block east of North Alvernon on the north side of East Fifth Street. That location presented two problems. The school was close to two major streets and an adjacent health clinic that generated a lot of pass-through foot traffic. “People were able to walk right up to a classroom door,” Olding said. “You could see the kids.” That problem was solved by J.B. Steel, a Tucson steel fabricator that donated materials and whose crews installed a metal lattice wall on the southfacing side of the classrooms. It blocks
Lloyd Construction Company Lovitt & Touché Majestic Cleaning Service McCraren Compliance Midway Commercial Millwork by Design MKB Construction Mulholland Art & Design Commercial Interiors NuPhase Painting
the view and access from the parking lot and Fifth Street; access can now be controlled through locking gates at the ends of the breezeway. The wall is separated by a walkway, which also solves another problem created by the location. The school flooded in September. “There were five-and-a-half inches of water in classrooms,” Olding said. Repairing that damage and preventing future flooding added to the project. A drainage channel was installed under the walkway that runs the length of the building, between that metal wall and the classroom doors. “We cut the corridor and put in a drainage trough below so if it was to rain like that again, it would just run off,” Olding said. Another major part of the project involved remodeling the school’s outdated kitchen – built in 1984 – which serves lunch to 50-some students every school day. New cabinets and countertops, donated and designed by Mark Riggi’s Millwork by Design, were installed. The remodel included a new refrigerator and freezer. Cracked flooring was also replaced. The kitchen had another problem, Mulholland said. “Swamp cooling. In July it was unbelievably hot.” Achilles Air Conditioning Systems came to the rescue on that problem. Other parts of the project included installation of an ADA-compliant bathroom, bringing the daycare area up to state standards with new air conditioning, flooring and a sink; building a new wall for the maintenance shop; rewiring the classrooms for up-to-date electrical service and communications; landscaping the grounds with decomposed granite and water-efficient plants – plus gallons and gallons of paint for the old building.
Oltis Software RG & Sons Plumbing Rugby IPD Corp. Schneider Structural Engineers Sergio Salazar Painting Contractor Sigler Sigma Alpha Spendiarian & Willis Acoustics & Noise Control
Sun Mechanical Contracting Sunstate Equipment Terracon Consultants The Groundskeeper Tucson Commercial Carpet Tucson Passport Center Universal Specialties W.E. O’Neil Construction Waste Management
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VP of Hotel Operations Tubac Golf Resort & Spa
PHOTOS: CARTER ALLEN
Historic Resort Celebrates 55 Years Blending Spanish Roots, Western Traditions, Modern Amenities By Mary Minor Davis
COURTESY TUBAC GOLF RESORT & SPA
COURTESY TUBAC GOLF RESORT & SPA
Tubac Golf Resort & Spa has deep, deep roots in the Santa Cruz River Valley. In 1787 the King of Spain awarded a 500-acre land grant to Don Toribio de Otero. In 1853 that land was acquired by the United States through the Gadsden Purchase. By 1959, crooner Bing Crosby had a hankering to play golf on the spectacular Otero Ranch site and helped build the country club that grew into the resort. But itâ€™s not the oldest establishment in the area. That would be nearby Tumacacori Mission, founded by Father Eusebio Francisco Kinoin 1691. During the Civil War, the Tubac area was briefly under the power of the Confederacy. continued on page 158 >>>
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BizMILESTONE PHOTOS: COURTESY TUBAC GOLF RESORT & SPA
Tubac Golf Resort Aerial View
continued from page 157
Newby Sculpture Garden
PHOTO: CARTER ALLEN
Tubac Festival of the Arts
Tubac Stables Retaurant 158 BizTucson
That’s when Sabino Otero, the 19-year-old grandson of Toribio and head of the ranch, moved the family to Buzani in Mexico, for safety. There they learned to raise cattle. After Sabino returned in 1870, the 500-acre Otero ranch flourished and became extremely profitable, the beginning of what grew into the largest cattle empire in Arizona. Sabino became known as the “Cattle King of Arizona” on both sides of the border. At the time of his death in 1914, he owned seven ranches and his cattle were said to “graze on a thousand hills.” Sabino’s brother, Teofil, inherited the estate, but did not share his family’s passion for ranching. Eventually he sold off the family’s land interests – except for one parcel he deeded to Tubac for a school house that still stands today – and the 500 acres originally granted to his grandfather, where the Tubac Golf Resort & Spa stands now. After Teofilo’s death in 1941, the ranch changed private ownership for several years, always with cattle on the property. Then, in 1959, a group of investors headed by actor and crooner Bing Crosby bought the property and opened Tubac Valley Country Club in 1960. The vision was to provide a “worldclass” experience with “high-end” facilities and amenities, according to a news release from 1959 announcing the property’s acquisition. The property would soon attract celebrities such as British actor Stewart Granger, British actress Jean Simmons, motion picture producer Arthur M. Loew Jr., and western movie star John Wayne. It was Crosby’s idea to build an 18hole golf course. The original investors wanted to build a nine-hole golf course, but Crosby insisted on 18. They renovated the original hacienda, adding a swimming pool and creating a “lavish getaway” with personal attention for guests. Those high standards that were set 55 years ago remain in place today, said Linda Cormier, VP of hotel operations. “This still remains our top priority today,” Cormier said. “The uniqueness of this property and the commitment of continued on page 160 >>> www.BizTucson.com
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By the Numbers
Total annual visitors – 45,000+ Annual return guests – 22,439 Group bookings – 65 percent
COURTESY TUBAC GOLF RESORT & SPA
BizMILESTONE John Wayne & Otho Kinsley enjoying diner at the Stables Restaurant c. 1960
Special Events in Tubac March 14-15 Spring ArtWalk April 25 -26 Bonanza Days July 4
Independence Celebration & Festival at Tubac Golf Resort & Spa
Tubac Fall Arts & Crafts Festival
Hot Air Balloon Glow & Festival
continued from page 158 our staff to make every person’s experience unforgettable is what has made us successful.” The resort is celebrating 55 years In 2002, developer Ron Allred, who is credited with building Telluride into the destination it is today, purchased the Tubac resort with a group of investors and the property saw its first major growth. With the purchase of an additional 250 acres, Allred invested $40 million over five years. This included the construction of a guest services center, 50 additional ha-
ciendas (bringing the total to 98 rooms), a 7,000-square-foot conference center, another 18-hole golf course, a full-service spa and fitness center and expanded indoor and outdoor dining and recreational facilities. They also built the 17th century mission-style chapel that has become a huge attraction for weddings, said Patti Todd, director of sales and marketing for the resort. The Tubac resort offers a unique blend of its Spanish roots, western culture and modern-day amenities and upgrades that blend to provide an intimate retreat for tourists, visitors and business groups seeking a secluded place to connect with themselves and re-energize. Todd said that of the 45,000-plus visitors who stay at the property each year, more than half are return guests. Business groups comprise 65 percent of the bookings at the boutique resort. Pat Buchanan, head of education leadership for Northern Arizona State University’s Leadership Academy, has booked the annual fall retreat at Tubac Resort since 2009. She said the resort provides an excellent location for ap-
The uniqueness of this property and the commitment of our staff to make every person’s experience unforgettable is what has made us successful.
– Linda Cormier VP of Hotel Operations Tubac Golf Resort & Spa
proximately 80 educators, using all of the resort’s amenities and facilities. “The Tubac staff is one of the easiest to work with in planning and implementing all of the details for our academy,” she said. “The feedback from our experience has always been extremely
positive. It is hard to adequately convey how I appreciate the flexibility, the attention to detail and the kindness the staff affords us. I cannot express enough gratitude for the unique combination of professionalism and friendship that has developed over the years with the staff.” In 2014 the Tubac Golf Resort & Spa was recognized by USA Today as one of the best Cold Weather Escapes and by Travel & Leisure, which listed Tubac among its “Coolest Desert Towns.” Cormier said while such recognition is very positive, it only serves to drive the staff to achieve a greater level of excellence. “Looking toward the future, we know that next generations will expect a higher level of engagement and personalization,” Cormier said. “Our goal is to engage in the best hospitality technologies, to provide our guests more choices and the ability to tailor their visit from check-in to check-out. With that said, as our society develops technologically, our personal, friendly service will always be the mainstay at Tubac Golf Resort & Spa.” Biz
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Optics Valley In 1992 a news report in Businessweek designated Tucson as “Optics Valley.”
Optical communication chip
The Arizona Optics Industry Association website defines the Optics Cluster as representing a broad range of products and services – including optical design and engineering, ﬁber-optic components for telecommunications, lasers and semiconductors, metrology instrumentation, high-precision optical fabrication, high-volume precision plastic optics, precision measuring and positioning equipment, microscopes, telescopes, opto-electronics, image processing software and optical coatings/thin ﬁlms. “Benchmark data collected in 2001 suggests that optics revenue in Tucson alone may account for over $600 million and more than 1,400 jobs,” according to the AOIA website.
The name stuck – because of the region’s concentration of highly visible optics-related companies accompanied by a large talent pool.
Nasser Peyghambarian, Professor, University of Arizona Optical Sciences Center/College of Optical Sciences
Polariaztion camera sensor with filter on top
UA Optical Sciences Center faculty and staff, 1967
James C. Wyant, Professor Emeritus, u Founding Dean of the College of Optical Sciences
Global Impact of
UA Optics Producing Talent, Patents and Products
“One of the things that was there from the start was a belief in a huge role we could play in working with industry,” Koch said. “A lot of our faculty come from industry and have a very deep understanding of what it’s like to take technology and make good value out of it in terms of products and things that people really use.” The roots of optical sciences at the UA trace to the effort to build a national observatory. In 1958, astronomer Aden B. Meinel selected a site about 55 miles southwest of Tucson and established Kitt Peak National Observatory. Meinel left Kitt Peak in 1961 and, in 1963, became director of the UA Steward Observatory. Knowing there was a shortage of trained optical scientists in the United States, Meinel drafted a proposal to start the Optical Sciences Center and, in 1964, obtained the necessary startup funding from the federal government. Meinel designed the OSC to fulfill three purposes – a state-of-the-art continued on page 164 >>> Optical Com Lab
PHOTOS: TIIU LOIGU
The advances in optical sciences over the last half-century are staggering. Yet through all the changes, discoveries and breakthroughs, what began in 1964 as the University of Arizona’s Optical Sciences Center has stuck to its core values even as it rose to worldwide prominence and put Tucson on the map as “Optics Valley.” “One of the products we’re most proud of is our students and that will always be true,” said Thomas L. Koch, dean of what in 2005 became the UA College of Optical Sciences. “When this whole thing was thought up 50 years ago, that was one of the key pieces – producing talent – and that certainly hasn’t gone away.” The leaders of the optical sciences program over the years also kept their focus on the other aspects of the UA’s land-grant mission – adapting a unique academic program to have an impact on economic development and bringing engineering solutions to problems in the community and society.
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PHOTOS: JACOB CHINN UA ALUMNI ASSOCIATION
By Eric Swedlund
continued from page 163
Astronomer Aden B. Meinel establishes Kitt Peak National Observatory.
Meinel becomes director of the University of Arizona Steward Observatory.
With federal funding, Meinel establishes the Optical Sciences Center at the UA, hiring Robert H. Noble and Roland V. Shack. The first optics shop was located at 301 E. Seventh St. Key faculty hires during Meinel’s tenure as director included Robert R. Shannon, William L. Wolfe Jr., Marlan O. Scully, Ralph M. Richard, Allan Malvick, Richard Cromwell, James A. Eyer, Rodger Thompson and Richard L. Shoemaker.
U.S. Air Force awards the Optical Sciences Center a $5.25 million contract.
The first graduate, Air Force officer James W. Mayo, earns his master’s degree in optical sciences. Twelve of the center’s first 42 graduates were U.S. Air Force officers.
The Optical Sciences Center’s first building is completed, 80,000 square feet of office and lab space on the south end of the UA Mall, east of Cherry Street.
The Optical Society of America holds its annual spring meeting in Tucson, making a great comingout party for the Optical Sciences Center.
Graduate Robert P. Breault starts OSC’s first spinoff company, Breault Research Organization.
Peter A. Franken is selected from the University of Michigan to serve as the second director of the Optical Sciences Center, as Meinel steps down. Franken’s key faculty hires included Nobel laureate Willis Lamb, Harrison H. Barrett and James C. Wyant.
research center for experimental and theoretical optical physics, a strong graduate curriculum in optical physics and technology, and the ability to translate new technology rapidly into industrial uses. That final aspect led Meinel to hire faculty members directly from industry and remains a particular strength of the college to this day. Through the industrial affiliates program, the university regularly hosts industry representatives, and not in the typical career-day mode. “Optics companies come in, both regionally and nationally, and as opposed to human resources folks, they send development and management leaders to come and listen to students and faculty giving talks,” Koch said. “It’s a very nice dynamic and sometimes it’s financially beneficial to us because we get research opportunities to work with companies. We’re expecting more of that as time goes on. “I think the universities have held private sector at arm’s length a little too much and that’s where a lot of things get turned into value for people.” Meinel’s goals have turned the College of Optical Sciences into the largest optics education and research program in the nation. The college teaches more than 100 optics courses and has awarded nearly 700 doctoral degrees, 1,200 master’s degrees and 500 bachelor’s degrees. Now retired, James C. Wyant was head of optical sciences, first as director and then as dean. He oversaw much of the expansion in terms of teaching and the 47,000-squarefoot west wing of the Meinel Building, completed in 2006. In 2014 Wyant turned his focus to the optical sciences students, giving UA $10 million for graduate student scholarships, the largest gift toward scholarships in the university’s history. “I understood very well the problems we had funding first-year Ph.D. students and that also led to problems in recruiting them. We lost some that I don’t think we would have lost if we had better funding for them,” he said. “Before, most of the students would come in and within the first few weeks, they’d have to pick the professor they wanted to work with and that professor had to agree and it was not very useful for the first year.” With Wyant’s scholarship funds, graduate students can take an extra course each semester their first year and be better equipped to select an area to specialize in, as well as which professor to work with. In terms of research, nearly half of all patents filed by the UA each year come from optics. Peyghambarian Lab (2007)
When we do joint research with some of our companies, the students really gain a deep understanding of how their stuff actually ends up influencing the marketplace. They become valuable to prospective employers afterward. – Thomas L. Koch Dean, College of Optical Sciences University of Arizona
“We invest a lot of time and energy in trying to really make things,” Koch said. “You don’t really know the problems until you actually try to do it and deploy it. We have an appreciation for that and that makes us easier to work with than a lot of universities. We not only understand it, we do it. That’s a big part of the culture here.” Working with Tech Launch Arizona, the university’s new technology transfer and commercialization arm, will do even more to boost patents and spinoff companies, Koch said. “It’s a big help. Some of it is a much smoother way to deal with intellectual property and ways to get over those bumps when we work with companies. I think it’s communicating to partners that we have a lot of flexibility,” Koch said. “We are a creative bunch and a lot of our faculty members have startup companies and some of them have done very well.” In a well-designed loop, that commercialization component carries directly over to education. “When we do joint research with some of our companies, the students really gain a deep understanding of how their stuff actually ends up influencing the marketplace,” Koch said. “It’s not just some hypothetical thing where you publish a paper and hope somebody reads it. We actually work with companies and turn it into real products and the students are involved in that. They become valuable to prospective employers afterward.” Meinel’s vision 50 years ago placed the UA at the forefront of a field that has incredible breadth in terms of continued on page 166 >>>
The 30,000-square-foot east wing of the Optical Sciences Building is dedicated.
Businessweek designates Tucson “Optics Valley” in its November issue, recognizing the importance of the industry. By that time, there were more than 80 optics companies in Arizona.
The Optical Sciences Building is renamed in honor of Meinel during a dedication ceremony on Oct. 28.
The Optical Sciences Center obtains its third Nobel laureate, when adjunct professor Roy J. Glauber is awarded the Nobel Prize in Physics.
After growing large enough in size and stature, the center is turned into the College of Optical Sciences, with Wyant as the first dean.
Robert Shannon is selected as the center’s next director. His key faculty hires included Roger Angel, Nasser Peyghambarian, Pierre Meystre and Masud Mansuripur.
Richard C. Powell, who had been running the Center for Laser Research at Oklahoma State University, is selected as the center’s new director. Powell steered the center through difficult financial times, securing a deal that was vital for the future. With no additional state funding available, Powell negotiated with the university for additional overhead return. It wasn’t guaranteed like state funding, but it rewarded the center greatly as it received additional grants and contracts.
Wyant, who had been on the faculty since 1974 and ran the spinoff company WYKO as well from 1984 to 1997, is selected as the center’s director. One key faculty hire was Nobel laureate Nicolaas Bloembergen. Wyant also expanded joint appointments, including Lars R. Furenlid and Eric W. Clarkson in radiology and Olivier Guyon in astronomy.
The award-winning west wing of the Meinel Building, which added 47,000 square feet, is completed.
PHOTOS: JACOB CHINN UA ALUMNI ASSOCIATION
Thomas L. Koch is named the second dean of the UA College of Optical Sciences.
Professor Nasser Peyghambarian, who had led a large, well-funded research program for many years, is awarded a five-year, $18.5 million grant for a National Science Foundation Engineering Research Center. The ERC was later extended to 10 years and $40 million.
I don’t think you could do much of anything related to information management without relying on optics, from the displays in your phone to the Internet, which is all optical information technology now. The rates of communication are just mind boggling. –
Thomas L. Koch, Dean, College of Optical Sciences University of Arizona
continued from page 165 information, entertainment, communication, medical sciences, defense and much more. “It’s surprising to everybody. When we think of optics, everybody mainly thinks of optical instruments, things with lenses in them,” Koch said. “Those are very important applications of optics, but it’s embedded in so many things that we do now. I don’t think you could do much of anything related to information management without relying on optics, from the displays in your phone to the Internet, which is all optical information technology now. The rates
of communication are just mind boggling.” Advances in medical optics have spurred that as its own separate subfield, which the UA has tied in with its medical school and teaching hospital. “In the biomedical world, it goes all the way from using optical techniques to identify different tissues that might be cancerous to the development of new instrumentation for non-invasive tissue exploration,” Koch said. “Hopefully the technology will get to the point of not having to do biopsies.” Yet even as the research specializes, the College of Optical Sciences remains
dedicated to the realm of basic research as well. “One third of what we do is very fundamental and we don’t even know how it’s going to be useful. We just know there are questions we don’t know the answers to. We’re just exploring what’s possible and as soon as you do that, there’s a whole other group of people who come in to make something new with that,” Koch said. “You don’t know until you’ve discovered something what it’s going to be useful for. We’re expanding on the application side and doubling down on the basic research as well.”
Sampling of Spinoffs Numerous optics companies trace their origins to the University of Arizona, home of the largest optics education and research program in the nation. The Optical Sciences Center was established in 1964 and became the Optical Sciences College in 2005. Here are just three examples of successful spinoffs: Breault Research Organization UA optics grad Bob Breault is a founding director of the Arizona Optics Industry Association and his namesake spinoff – Breault Research Organization – is among more than 30 optics companies with roots at the southeast corner of the UA Mall and North Cherry Avenue. Breault is credited with improving the optical performance of the Hubble Space Telescope by a factor of 100,000 through work he did on his doctorate in the late 1970s. He credits contacts made then with helping to launch his private-sector career. Today BRO, consid-
ered the first UA optics spinoff, is known for software used to design and predict the performance of optical devices. 4D Technology 4D Technology was co-founded in 2002 by James C. Wyant for the purpose of developing and manufacturing metrology products for applications in aerospace, astronomy and optical fabrication, as well as for semiconductors and data storage. 4D Technology counts among its customers Ball Aerospace, Boeing, ITT Industries, NASA, Raytheon, Northrop Grumman, Sandia National Laboratory, UA Mirror Lab,
Nikon, Tinsley, Lockheed Martin, Lawrence Livermore National Laboratory, Steward Observatory, Corning, Alcatel and NIST Agilent. Wyant also co-founded the optical measurement firm WYKO Corp. in 1982 and ran it until 1997. He was director of the UA Optical Sciences Center from 1999 until 2005, when it became a college. He served as its first dean until 2012. NP Photonics NP Photonics is a leading manufacturer of fiber lasers and specialty fiber for the sensing, defense, metrology and research markets. NP Photonics’ proprietary fiber
technology is used across a broad family of products, including mid-IR transport fibers and narrow-linewidth, low-phase-noise fiber lasers specifically designed for operation in an industrial environment. Founder and GM Nasser Peyghambarian is a professor at the UA College of Optical Sciences and Department of Materials Science & Engineering. He founded TIPD, a Tucson firm specializing in instruments for measuring and testing of electricity and electrical signals.
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First Impressions, Lasting Impact
Beautification Project Earns Award of Distinction By David Pittman There is only one chance to make a first impression. That’s why the Tucson Metro Chamber, in partnership with AAA Landscape and six chamber investors, successfully completed the First Impressions project, which beautified a six-tenths-of-a-mile stretch of Tucson Boulevard at the entrance and exit to Tucson International Airport.
“It is vital that the Tucson community greet visitors with a positive first impression that says ‘welcome to our city,’ ” said Mike Varney, president and CEO of the chamber. The project would not have happened without the financial assistance of six business sponsors, each of whom contributed more than $70,000 to the effort. Those sponsors were Crest Insur-
ance Group, the Jim Click Automotive Team, Casino Del Sol Resort, Desert Diamond Casinos & Entertainment, Vantage West Credit Union and Visit Tucson. Each sponsor contributed a work of art for each median that portrays a unique vision of Tucson. About 85 people attended a ribbon cutting ceremony Jan. 9 at the Four Points Sheraton, at the gateway to TIA,
It is vital that the Tucson community greet visitors with a positive first impression that says ‘welcome to our city.’
– Mike Varney, President & CEO, Tucson Metro Chamber
up with an idea to improve the first impressions visitors have of Tucson by taking “the road just outside the airport and landscaping it like a resort or master-planned community.” Underwood pitched the idea to colleagues at the chamber “and they thought it was a pretty good idea,” he said. AAA Landscape designed and provided the landscaping improvements at a significantly discounted rate. Of course, another benefit of the project is that “first impression” becomes a “last impression” when those same visitors depart Tucson. The Metropolitan Pima Alliance selected the Tucson Metro Chamber’s
First Impressions Project as its Common Ground Award of Distinction honoree. The award was presented at the MPA awards ceremony Dec. 5 at the Westin La Paloma Resort. MPA credited Underwood, Varney and Cody Ritchie, president of Crest Insurance Group, with spearheading “an all-volunteer effort to raise money and revitalize the medians near the gateway to TIA, creating a great first impression of Southern Arizona.” “We are honored to receive this award because we feel the effort symbolizes the love, pride of place and volunteer heart of the business community,” Underwood said.
PHOTOS: CHRIS MOONEY
commemorating the completion of the project, which was undertaken to improve the first impression that some 3.6 million travelers flying in and out of Tucson every year have of the Old Pueblo. Six nondescript, dusty street medians were replaced with Southwest landscaping as well as artistic and cultural treatments designed to bring memorable and lasting first impressions of the Old Pueblo. The groundbreaking for the First Impressions Project was March 31, 2014. The project was first proposed by Richard Underwood, founder and owner of AAA Landscape, who came
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MPA Common Ground Awards
Streetcar, Rancho Sahuarita Win ‘Project of Decade’ Honors By David Pittman Metropolitan Pima Alliance celebrated 10 years of community collaborations and honored the master-planned community of Rancho Sahuarita and Tucson’s modern streetcar as “projects of the decade” during its 2014 Common Ground Awards Ceremony in December. MPA also selected Terry Klipp, president and principal of Terramar Properties, to receive its first Founder’s Award at the event held at The Westin La Paloma Resort & Spa. The MPA Common Ground Award of Distinction went to First Impressions, a community beautification project undertaken near Tucson International Airport by the Tucson Metro Chamber and AAA Landscape. (See article on p. 168). In addition, annual MPA Common Ground awards were presented in six categories:
Casa Presidio – Revitalization Award
Sahuarita Road – Public Works Award
Regional Transportation Authority’s MainStreet Business Assistance Program – Program/Event Award
Tucson Unified School District’s Five-Year Strategic Plan – Planning Award
CODAC – Construction and Development Award
Global Advantage – Economic Development Award.
In all, 22 community projects, events, organizations and individuals were honored at the event presented by CenturyLink. Other event sponsors included Borderland Construction, Cadden
Community Management, Cox Cable, HSL Properties, Global Advantage, Lloyd Construction, Pima Association of Governments, Regional Transportation Authority, Ann Kathryn Schmidt Kickin’ It Clubhouse, Cushman & Wakefield|PICOR, Rancho Sahuarita, Snell & Wilmer, Southwest Gas, Tucson Electric Power, Terramar Properties, The Planning Center and AAA Landscape. MPA – an alliance of business, government and nonprofit organizations – supports the positive participation and contributions of private business working in collaboration with local governmental jurisdictions. The organization promotes responsible development in Pima County and works to further the interests of the real estate and development industry though education, public policy advocacy and networking.
Tucson Modern Streetcar
Founder’s Award – Terry Klipp
Klipp was among a small group of individuals representing various sectors of the metro Tucson business community who came together in 1997 to discuss how best to deal with local development and growth issues. One result of those discussions was the creation of MPA. Klipp has been a longtime, committed force within MPA since that time, serving as board president, committee chairman, volunteer and donor. Bill Arnold, owner of a Tucson real estate agency that bears his name, was also in that founding group. He said, “Terry exemplifies the words knowledgeable, honest and steadfast. He’s a great spokesman for our industry and a good friend. MPA is lucky to have had the benefit of Terry’s leadership and support all these many years.” Michael Guymon, a VP at Tucson Regional Economic Opportunities, was executive director of MPA when Klipp served as board president. “He was always at my side and was someone I could count on,” said Guymon. “He just had that ability to make sure everything was going in the right direction. It was important to him that people were not only happy with the organization, but also their role within the organization.” Amber Moore Smith, the current executive director of MPA, said when the Common Ground Awards Committee decided to create the Founder’s Award, it was unanimous that Klipp be the first recipient. She said Klipp’s “experience and institutional knowledge” have been
invaluable. “He’s very balanced in his approach, respectful of others’ contributions and works to consensus. He’s a real wizard. When we struggle with an issue, we turn to him.” Public Sector Project of the Decade – Tucson’s Modern Streetcar
The $197 million Sun Link Tucson Streetcar, the first fixed rail transit system in Southern Arizona, is widely considered the largest and most complex construction project in the city’s history. The system’s nearly four-mile route with 23 stops connects downtown Tucson to the University of Arizona, Arizona Health Sciences Center, University Main Gate Square Business District, Fourth Avenue Business District and the Mercado District west of Interstate 10. Even before the July launch of passenger service, the Sun Link project was credited with generating $1.5 billion in private and public investment along the streetcar line, according to a Downtown Tucson Partnership study. About 1,200 direct construction jobs were created while building the streetcar system, according to the Regional Transportation Authority, which funded the streetcar system along with federal money and other regional funds. Buzz Isaacson, who is the No. 1 commercial real estate broker in downtown Tucson, predicts the lasting legacy of the streetcar project will be UA expansion in downtown. “Five years from now the UA will have a greatly expanded presence downtown,” said Isaacson. “The streetcar is a big deal because it
connects downtown and the university.” With the coming of the streetcar, there has been an explosion of downtown development. Plaza Centro and The Cadence, among the most successful of those projects, is a 456-bed student housing complex affiliated with the UA that includes nearly 20,000 square feet of stores, restaurants and bars. The properties near the Fourth Avenue underpass have transformed a once forlorn area into a vibrant and stylish gateway to downtown. Jim Campbell, a commercial and residential developer who oversaw the Plaza Centro/Cadence project, said the development would not have occurred without the streetcar. “Plaza Centro is the first private sector, ground-up development in Tucson in 30 years and there was a reason for it – the streetcar,” Campbell said. “There is a reason that housing at The Cadence is in such demand, and retail space at Plaza Centro is 100 percent occupied – the streetcar.” Campbell is confident that economic development spurred by the streetcar will spread to other areas along the streetcar line, including areas west of I-10. He said there is still a great deal of infill that can take place in and around downtown Tucson. Private Sector Project of the Decade – Rancho Sahuarita
Rancho Sahuarita’s early advertising featured a picturesque place with a lake, clubhouse, water park, schools and the slogan, “It’s all in your backyard.” continued on page 172 >>>
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BizAWARDS continued from page 171 Today, more than 10 years later, some 5,000 families comprising more than 17,000 residents call Rancho Sahuarita home. Residents of the family-friendly, master-planned community make up about 60 percent of the town of Sahuarita’s population and are the biggest reason Sahuarita is the second-fastest growing city in Arizona. Bob Sharpe, Rancho Sahuarita’s founder, started infrastructure construction in early 2000. Since the first house closed in the community in 2002, it has been among the nation’s best-selling housing developments. Even in 2008, during the worst of the Great Recession, Rancho Sahuarita was the bestselling community in Arizona and the fifth best-selling in the nation. Rancho Sahuarita’s success was achieved by offering an unusually bountiful plate of amenities and services along with great housing value, Sharpe said.
“We envisioned Rancho Sahuarita as a place where residents could have more time to enjoy what’s really important in life – like family, friends and fun,” Sharpe said. “It’s all about offering a lifestyle that makes people’s lives easier and more enjoyable.” Rancho Sahuarita’s most popular amenity is a 30,000-square-foot recreation center that includes areas for exercising and socializing, along with a private water park. The facility hosts more than 100 special events annually and about 50 recurring activities weekly. The community also boasts 17 miles of paved paths that serve as pedestrian links to the 15-acre Sahuarita Lake Park and a series of neighborhood parks and schools. “Great schools make great communities – and we are proud to be a longtime partner and supporter of Sahuarita Unified School District,” said Sharpe, who has donated 75 acres of land for SUSD schools.
Global Advantage Tech Parks Arizona & The Offshore Group
Revitalization Award – Casa Presidio
A once affordable-housing complex that deteriorated into a blighted, boarded-up and abandoned eyesore that attracted taggers and squatters was transformed into Casa Presidio – a lovely high-end apartment complex with a waiting list of tenants. The transformation at 2002 E. Fort Lowell Road began with the Richland Heights East Neighborhood Association, which sought a solution to the negative impacts of the abandoned property. Working with residents of other neighborhoods, schools, businesses, churches and local government, the association succeeded in getting the vacant housing project released from government affordable-housing requirements. Those interested parties approached multiple local developers until Town West Design Development purchased the property and rejuvenated it from the ground up. The change has motivated continued on page 174 >>>
CODAC Cobblestone Court Casa Presidio
MainStreet Business Assistance 172 BizTucson
Spring 2015 > > > BizTucson 173
continued from page 172 building improvements at other nearby apartments and resulted in a significant reduction in graffiti and criminal activity. In addition to the Richland Heights East Neighborhood Association and Town West, collaborators included Hedrick Acres, Shaheen Estates, La Madera, Richland Heights West Neighborhood Association, Winterhaven, Salon Nouveau, Campbell Avenue Business Partnership, the law firm of Shultz & Rollins, Northminster Presbyterian Church, Tucson Councilwoman Karin Uhlich, City of Tucson staff, Pima County Supervisor Sharon Bronson, Pima County staff, State of Arizona government staff, the U.S. Department of Housing and Urban Development and Metropolitan Housing Corp. Other finalists for the MPA revitalization award were the Ann Kathryn Schmidt Kickin’ It Clubhouse and the Robles Ranch Community Center. Public Works Award – Sahuarita Road
The Town of Sahuarita is improving Sahuarita Road between Interstate 19 and the eastern town limits as part of its five-year capital improvement plan. Most of the project has been completed. The final phase of construction – the segment between the new Nogales Highway and the eastern town limits – is scheduled for completion this summer. Construction includes a four-lane divided roadway, bicycle lanes, sidewalks, drainage improvements, low-maintenance landscape, twin two-lane bridges over the Santa Cruz River and relocation and signalization of the Nogales Highway intersection.
Collaborators include PAG, RTA, Sahuarita Unified School District, Rancho Sahuarita, Farmers Investment Co., Union Pacific Railroad, RS Engineering, Southern Arizona Paving & Construction, Engineering & Environmental Consultants, Borderland Construction, Tierra Right of Way Services, Arizona Department of Transportation, Arizona Corporation Commission and Pima County. Three other public works projects – installation of a new transmission line in downtown Tucson, road projects at Ina and Oracle roads and St. Mary’s Road east of I-10 – were also finalists. Program or Event – MainStreet Business Assistance Program
The 20-year RTA Plan provided for the MainStreet Business Assistance Program, which focuses on minimizing the impacts of road construction on businesses along all RTA projects. Over the last seven years, the program has worked with and assisted about 5,000 private businesses, nonprofits and community organizations affected by more than 50 of the region’s largest transportation projects. Communities across the nation are using the MainStreet Business Assistance Program as a model in planning for their own transportation construction projects. Collaborators include Pima County DOT, Tucson DOT, Allen & Associates Creative Services, Bilingual/Bicultural Business Solutions, Up Front Business Consulting, Gordon & Associates, Curves Graphic Design, Business Scape, ST Business Consulting, Social Mobile Buzz Marketing and SkyHouse.
continued on page 175 >>>
continued from page 174 Other finalists for the Program/Event Award were Feria de la Lectura and Southern Arizona Manufacturing Partners. Planning Award – TUSD’s Five-Year Strategic Plan
In a first-of-its-kind effort by the Tucson Unified School District, this project brought members of the community together to improve the education of TUSD students. This five-month process began with 200 participants meeting every Saturday with presenters focusing on curriculum, diversity, finance, facilities and communication. By the end of the process more than 400 people were regularly attending the meetings. The strategic plan is a visionary road map for the district, rooted in 125 goals that Tucson wants for TUSD. The district governing board voted unanimously to adopt the plan. Collaborators included hundreds of community members, educators, business leaders, parents and residents who participated in creating the strategic plan. Other finalists were City of Tucson’s “Plan Tucson” and Or Valley’s “Your Voice, Our Future.” Construction/Development Award – CODAC Cobblestone Court
What started out as a straightforward development project involving rezoning an abandoned neighborhood parcel to create additional parking, turned into a statement about the perception of mental health services in the community. When the staff at CODAC Behavioral Health Services sought approval of a parking lot next to Fort Lowell Road, it became clear that adjacent neighbors believed they were being asked to accept CODAC into its community. CODAC used the situation as an opportunity to erase misconceptions about mental health programs and services and ultimately built community support that resulted in the redevelopment of two CODAC campuses. Collaborators include CODAC, BFL Construction, Community Partnership of Southern Arizona, Lazarus, Sylvan & Bangs , Wells Fargo, Cypress Civil Development, PICOR, Tucson Mayor Jonathan Rothschild, Tucson Councilwoman Karin Uhlich, former Pima County Supervisor Dan Eckstrom and neighborhood associations. Other finalists for the award were Dorado Country Club and the Salvation Army Hospitality House. Economic Development Award – Global Advantage
Global Advantage is a strategic alliance formed by Tech Parks Arizona and The Offshore Group that provides a targeted approach to attract international technology companies to Southern Arizona in association with the University of Arizona. It provides a wide range of business services to entrepreneurs, small and emerging technology companies and large multinational corporations seeking a Southern Arizona venue to develop ideas, manufacture products or distribute goods and services. Collaborators include The Offshore Group, Tech Parks Arizona and the Arizona Center for Innovation. The other finalist in this category was TREO’s Blueprint Update. Source: All finalist information and list of collaborators provided by the project. Biz www.BizTucson.com
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PHOTO: TOM SPITZ
From left - Daniel Miranda, Club House Director; Jacob; Ariana; Linda Wojtowicz, CEO, Boys and Girls Club; Goel Ellis, 2015 Mark Irvin City Youth of the Year; Mark Irvin, 2015 Jim Click for Kids Award honoree; Ale; Jordan
Mark Irvin’s Passion Boys & Girls Clubs of Tucson By Christy Krueger When Mark Irvin joined the Boys & Girls Clubs of Tucson board of directors in 1990, the group had only one clubhouse. Now there are six. He created or co-chaired The Event, The Party, Youth of the Year, numerous other programs and fundraisers – and the Click for Kids Award. After years of giving, Irvin, managing member of Mark Irvin Commercial Real Estate Services, is now getting back in the form of the award he helped create in 2009. He’s a good friend of every previous recipient, he gave the eulogy for one and he presented the award to three. His reaction to being on the receiving end: “This is the first time it’s not being given to one of my nominees.” The Click for Kids Award is presented to a person, couple, group or organization that has had a significant impact on the Boys & Girls Clubs kids for a significant period of time. “I never created it with the thought of getting it. I know all these amazing people so I thought it was great to create,” Irvin said. The first year’s award went to its namesake, Jim Click, and five other awards were presented before Irvin – Bill Dawson (2010), Rusty and Mary Garrett (2011), Jon and Heather Volpe (2012), David Lovitt (2013), and Jana Westerbeke and Pam McNairWingate (2014). Irvin moved to Tucson in 1986. He spent a significant amount of time familiarizing himself with the community and assessing what causes he’d like to support. “I interviewed about 10 nonprofit agencies, all dedicated to helping kids. I fell in love with Bill Dawson,” the Boys & Girls Clubs director at the time. Dawson retired in 2010 and passed away in 2014. In addition to his family, his business and fly-fishing in all parts of the world, Irvin’s big love is BGCT. The dozens of pictures, plaques and articles adorning
his office walls attest to this. So can fellow board member Westerbeke, co-president of Gadabout SalonSpas. “The passion Mark shares is contagious and he encourages all around him to give more, to be more and to reach deeper than you ever thought you could,” Westerbeke said. As new clubhouses were built and existing ones renovated, Irvin was in charge of site selection, contract negotiations and working with the city and school districts. But it was his fundraising and attention to the kids that get the most remarks. “I have known Mark for many years and his commitment to the children in this community has been unwavering,” said Jon Volpe, CEO of NOVA Home Loans. “The amazing thing about Mark is that he isn’t just in the boardroom. He goes to the clubs to play basketball and foosball with the kids and to mentor as many as he can.” Click added, “He took the board to an all-new level with his enthusiasm and board recruitment. He raised a million dollars at The Auction. When Mark does something, he does it 125 percent. He’s a Super Bowl champ as far as I’m concerned.” Lorraine Morgan, VP of communications and fund development for BGCT, remembered a dire situation a few years ago when Irvin came to the rescue.
BOYS AND GIRLS CLUBS OF TUCSON STEAK & BURGER DINNER CLICK FOR KIDS AWARD Sunday, June 7, 6-8:30 p.m. Casino del Sol Resort Ticket and sponsorship information at www.bgctucson.org or 520-573-3533
“In 2009 we had to eliminate the basketball league as a cost-cutting measure,” Morgan said. “It was a huge chunk of our annual budget with about 2,000 club members in basketball. Mark had a relationship with Rollin’ for Niños, which is concerned about underserved youth and supporting athletics. Mark spearheaded an effort to meet with them and they agreed to give $50,000 a year for five years, starting in 2010, so we could re-establish the basketball league.” Longtime board member and past Click for Kids recipient Lovitt, of D.M. Lovitt Insurance Agency, believes Irvin’s recognition is long overdue. “I can’t say enough about Mark as far as time and effort and money he’s given to the clubs. He has far surpassed anybody. He’s raised more money than anyone. He is Mr. Boys & Girls Clubs.” Irvin wore that title especially well when Dawson’s successor, Armando Rios, left in mid-2013. Irvin volunteered to be interim CEO until the board found a replacement in Linda Wojtowicz. “He was an unpaid CEO for seven months,” Lovitt said. “He got me to be chair of the search committee and he called me every other day to see if we’d found somebody. He’s the greatest board member and a real champion of our Boys & Girls Clubs.” What’s been most eye-opening to Irvin during his time with BGCT is seeing the degree of need in our community. “I’m always shocked that 20 percent of kids here live below the poverty level – and I’m amazed what Boys & Girls Clubs can do working with schools. It takes a lot of people who care. As a club we can’t do it all alone.” During the official presentation of the Click for Kids Award in June, the honoree will surely see a room filled with people who care – about the kids and about their friend Mark Irvin.
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Centurions Disco Ball Supports Tu Nidito The Centurions annual theme party and fundraiser will be May 9 at Rillito Race Track. “The Great Disco Ball, Boogie Down to Funky Town” is expected to attract more than 5,000 costumed partygoers. This year’s event will benefit Tu Nidito for the first time. “We are ecstatic to name Tu Nidito as this year’s beneficiary,” said Tony Poe, The Centurion’s event chairman for 2015. For 20 years, Tu Nidito Children and Family Services has provided comfort and support for seriously ill and grieving children and their families in Southern Arizona. Last year alone, Tu Nidito supported more than 800 children from over 400 families. It does so with the support of charitable donations and 200 volunteers. Long considered Tucson’s party of the year, The Centurion event has raised more than $8 million for designated local charitable projects over 47 years.
Supported by dozens of generous event sponsors every year, Centurion events have been famously or infamously held at bowling alleys, train stations, airport hangars, movie theaters, downtown streets, parking garages, baseball stadiums, fair grounds and rodeo grounds. Past years’ themes have brought revelers dressed in Roman togas, pajamas, safari outfits, flapper dresses, pirate costumes, cowboy chaps and Woodstock wigs. All of the planning, preparations,
THE CENTURIONS PRESENT “THE GREAT DISCO BALL, BOOGIE DOWN TO FUNKY TOWN” Saturday, May 9, 6 p.m. Rillito Race Track $85 per person www.thecenturions.com
fundraising, set up and tear down is provided by Centurion volunteers. Formerly a fundraising arm of the Carondelet Foundation, The Centurions raised funds for St. Mary’s Burn Center, hospice program and a new Emergency Department. This year The Centurions formed their own 501c3 organization to continue their legacy of charitable work into 2015 and beyond. “The healthcare environment has changed since the Sisters of St. Joseph of Carondelet founded St. Mary’s Hospital in 1880 and even since The Centurions stepped up to help,” said Ron Teaney, president of The Centurions. “We decided as a group to recommit to our primary mission of helping families in need in Southern Arizona,” Teaney said. “Tu Nidito was an obvious choice because we share similarities in both our local mission and humble beginnings.” Under the new bylaws, The Centurions will select a beneficiary annually. Biz
THE REGION’S BUSINESS MAGAZINE
PHOTO: CHRIS MOONEY
SPECIAL REPORT 2015
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Spring 2015 > > > BizTucson 181
1. Board of Trustees in 1994-1996 when Bettina O’Neil Lyons was chair 2. 2001 capital campaign built the CFSA offices 3. Ajo Regional Food Partnership (Photo: Jeff Smith) 4. Philanthropist Melody Robidoux 5. Unidas Girls Philanthropy Program of the Women’s Foundation of Southern Arizona 6. Adult Learner (Photo: Literacy Connects) 7. Senator Douglas & Alice Holsclaw 8. Steve Alley (left) & Phil Amos 9. Joseph Blair, African American Initiative (All other photos: Community Foundation for Southern Arizona) 182 BizTucson
Connecting People to Causes They Care About Community Foundation Funding Tops $145 Million
There just had to be a better way. Buddy Amos was a big believer in giving back to the community that he loved so dearly. Over and over at the dinner table, he would impress upon his sons, Hank and Phil, that it was their duty to give back. A spark-plug of a fundraiser, it was hard for him to turn down requests to spearhead donation drives. He could often be found with other community leaders, calling for dollars in a phone bank at Jim Click’s Automotive Group. It was a time when most businesses were owned and operated locally. Relationships helped drive business and there was a strong sense of community. But even so, Phil remembered, his father grew increasingly concerned about sustaining the good work they were doing. “He was afraid it was getting tedious and that people were getting tired of the calls,” recalled Phil, who was in college at the time. The answer to the merry-go-round of raising-and-spending-and-raising-andspending came when Buddy learned of the community foundation model, which pools charitable contributions within one entity to address local needs over time. In 1980, Buddy Amos joined James Burns, Edward Moore, Granger Weil and Jim Click Jr. to establish what was then The Greater Tucson Area Foundation. Since its inception, grants and scholarships worth more than $145 million have been distributed through what is now called the Community Foundation for Southern Arizona to local causes – from education to children’s issues, animal welfare, the arts, health, economic development and the environment. In 2014 there were 571 active funds at the Foundation. The need to connect donors with causes they care about remains strong, said Phil, who eventually chaired the board of the Foundation his father helped found. “With dollars being cut everywhere, it will be increasingly important to have a www.BizTucson.com
place where there is real money available to help fill gaps. This is the place,” said Phil, a real estate investor. “And it is also important that it is a Tucson-based organization that puts this region first – since we’re too often at the caboose end of the funding stream.” Tucson is a generous place with a diversity of needs, but what donors universally want is a place where their contributions are treasured, used effectively and invested wisely. And that’s where the Foundation comes in, lending its expertise in the complex world of charitable giving. “You have an investment advisor for your money,” said Clint Mabie, president and CEO of the Foundation. “We are an investment advisor for philanthropy. When you invest in business and markets, there are clear and established metrics. When you invest in people and causes, it is difficult to do that on an individual basis. We are here to serve as a resource to make sure it is done effectively and appropriately and fulfills the donor’s intent forever.” The Foundation also provides flexibility as needs change. In 1990, Melody Robidoux was interested in creating a charitable foundation after selling her interest in a Tucson company. She explored a variety of options, then opted to incorporate as a support organization of the Community Foundation, which is akin to serving as a subsidiary corporation in the private sector. For 24 years, the Melody S. Robidoux Foundation had its own staff, offices, board of trustees, managed its portfolio, and did all of its own grantmaking, largely in the areas of women’s economic well-being and children’s welfare, under the umbrella of the Community Foundation. “It was a great alternative to a private foundation because there were no requirements to distribute a certain percentage of assets each year, and there were no yearly taxes,” Robidoux said. “Plus, the donor gets a more generous charitable deduction continued on page 184 >>>
Edward Moore Buddy Amos Granger Weil
Photos courtesy of the Tucson Jewish Community Center
By Rhonda Bodfield
James Burns Jim Click
At the Helm James Burns, 1980-1983 George H. Amos Jr., 1983-1986 Sidney B. Brinckerhoff, 1986-1989 Gordon W. Waterfall, 1990-1994 Bettina O’Neil Lyons, 1994-1996 Anna Jolivet, 1996-1998 Michael Hard, 1998-2000 Mary Ann Dobras, 2000-2002 Phil Amos, 2002-2004 Robert Friesen, 2004-2007 Carmen Marriott, 2007-2009 Paul Lindsey, 2009-2011 Nancy Davis, 2011-2013 Michael Sullivan, 2013-present Spring 2015 > > > BizTucson 183
continued from page 183 when giving to a community foundation.” In 2013, the Robidoux Foundation began the conversion process to what’s known as a donor-advised fund, in which Community Foundation staff assumes responsibility for the administrative tasks and overhead costs of managing the fund. The fund also contains a succession plan, allowing her son to someday make grant recommendations, even as grants continue to be distributed to organizations that his mother historically funded. “Being part of a community foundation provides you access to experts who know the nonprofit community,” she said, and it helps connect donors with other like-minded philanthropists. Co-founder Click said, “It seems like it was yesterday when Bill Moore’s dad contacted me regarding a foundation they had created in Michigan. He went on to explain how much it benefited their community, and he wanted to know if I would be interested in starting one in Tucson. Buddy Amos, I and others helped start it. Over the years this foundation made a tremendous difference in our community. It’s amazing to see how much it has grown.” The late state senator Douglas S. Holsclaw and his wife, Alice Young Holsclaw, spent their lifetimes enriching the fabric of Tucson – from helping establish the College of Medicine at the University of Arizona to
supporting institutions that provided for children in need and educated future leaders. The Holsclaw name is closely associated with the Temple of Music and Art, the UA School of Music, Tucson Children’s Museum and the YMCA. Hardworking and humble, the couple’s Depression-era values were reflected in their decades-old vehicles in the garage. “They always considered that anything they had went back into the community,” recalled their son, Douglas Holsclaw Jr. The family not only provided one of the initial Legacy Gifts received early in the Foundation’s history that continues to provide support to community causes, but Dr. Holsclaw Jr. also has multiple funds with the Foundation that support local organizations such as the YMCA of Southern Arizona, UA Foundation, UA School of Music, Children’s Museum Tucson and the Tucson Botanical Gardens. A physician in Pennsylvania and a UA graduate, the younger Holsclaw noted his parents favored targeted giving with clear objectives. Over his mother’s desk was a sign quoting Albert Einstein, “It is every man’s obligation to put back into the world at least the equivalent of what he takes out of it.” Since then, the Community Foundation has steadily added to its funding of bricks-and-mortar improvements to take a more active role in outreach and civic
leadership. It has convened community efforts that bring disparate parties together to work collaboratively on solutions to sticky problems – from poverty to educational outcomes to animal welfare. “It’s been interesting for me to see the evolution over time in its growth and outreach,” the younger Holsclaw said. “It has become a facilitator, a moderator and really an accelerator in making things happen throughout the region.” As a neutral convener, the Foundation in 2012, for example, set the table to bring factions of the animal welfare community together. For the first time, rescue groups, veterinarians, advocates and the two large shelters in town came together to leverage resources, passion and expertise. The resulting effort – the Pima Alliance for Animal Welfare – has helped build a framework to lift all boats, said Pima County Deputy Administrator Jan Lesher, who oversees the county-run Pima Animal Care Center. “This community has demonstrated time and again that when asked to come together in a strategic manner, we are willing to do the work and establish those relationships,” Lesher said. “But someone has to ask. And the Foundation is serving in that leadership capacity of shaping dialogue, bridging differences and helping to foster new solutions.”
By the Numbers $45,000 assets in 1981 after one year of operation $115 million assets by yearend, 2014 184 BizTucson
8 total number of funds in 1981 571 total number of active funds in 2014 Spring 2015
$145 million direct financial support to the community since 1980 $9.2 million gifts received in 2014
$11.9 million grants distributed in 2014 117 scholarships granted in 2014
The Community Foundation for Southern Arizona is known for bringing individuals and organizations together to envision, then implement, communitywide solutions to pressing issues. That’s one reason the Foundation collaborated with the University of Arizona and the Southern Arizona Leadership Council to bring the MAP Dashboard project to Tucson. This new online public resource provides fact-based insights into pivotal economic and social indicators about our community and how it measures up to similar cities in the West. This foundational project provides real-time data that business leaders, government officials and the general public can use to make informed decisions when planning for the future. Key indicators are the economy, education, health and social well-being, infrastructure, quality of place and workforce and demographics. Read the full report about this game-changing project on page 112.
Wise Stewardship By Rhonda Bodfield
PHOTO: CHRIS MOONEY
Board of Trustees Chair Community Foundation for Southern Arizona
Managing people’s wealth is already imbued with a vast responsibility. That sense of obligation is exponentially magnified when you’re managing people’s legacy wishes. “We’re in the safeguarding assets business,” said Michael Sullivan, an investment manager himself and the chair of the board of trustees for the Community Foundation for Southern Arizona “People are leaving their life legacies and assets with us, so we have a moral obligation to make sure we invest that money prudently and well.” Good governance is at the root of wise stewardship and is a major focus of the board’s energy, which is why there are 35 different policies that are overseen and reviewed on an annual basis. “It’s a very complex financial mechanism we’re dealing with,” Sullivan said. There are policies that dictate what gifts to accept, how to manage charitable gift annuities, how to safeguard against conflict of interest and how to enhance transparency. “The job of the trustees is not to run the Community Foundation. That’s what our CEO does. Our job is to provide a governance structure to make sure it’s being run well and is financially sound and meets its community responsibilities.” Sullivan was drawn to the Foundation in 2008, intrigued by the opportunity to work with an organization that had a broader
focus than a single charity with a more narrow scope. “I had done a lot of work with very worthwhile nonprofits, but it is really impactful to work with an organization where the focus is on strengthening the overall community in its truest sense.” He also was drawn to the idea of being able to focus on helping donors identify key issues that are important to them. “The Community Foundation is the one place we can approach those questions on a neutral basis. Whether it’s education, poverty or a litany of other causes, there is no shortage of need out there.” Sullivan shared two important takeaways so far from his tenure on the board. “First, I have learned that there are a lot of good, well-intentioned people out there trying to make a difference. “Second, I’ve been proud of our ability to bring organizations together in a collaborative way. Everyone in business knows we can accomplish more together than we can independently. And what I’ve found is that as long as people trust that you have a common goal, people are willing to step back from worrying about who takes the lead and who takes the credit. This is truly the community’s foundation – where our whole focus is leveraging assets to have the highest impact in benefiting the community over the long term.”
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Increasing Investment & Impact By Rhonda Bodfield
strategic priority lies in also positioning itself to become a greater change agent, by building and supporting ever-more demanding efforts to measurably improve quality of life in the region for everyone “We’re being asked to lead a lot more – so we’re being very cognizant of where we should lead and in which areas and which issues,” Mabie said. “How can we play a leading role in diversity and inclusion? How can we measure impact in a way that improves performance? How do we lead in collaborating and bringing people together to leverage influence and resources? These are the questions we are asking ourselves as we plan.” Driven by the need to lead the community in finding solutions, Mabie said the third strategic priority is enhancing internal capacity. “We have to invest smartly in people and systems to leverage our dollars to serve the community – and our primary business of connecting donors to causes they care about.” Mabie, who formerly served as director of program development at the Chicago Community Trust, said although community foundations are facing change, the one thing that will remain a core value is collaboration. “Nobody can do it alone. The issues we are facing, especially in Southern Arizona where resources are scarce, require us all to work together. To move forward we need to continue to come together to leverage our impact.”
President & CEO Community Foundation for Southern Arizona
PHOTO: CHRIS MOONEY
Increasingly, communities are seeking ways to deploy more capital into the market with the goal of increasing economic development. Community foundations are perfectly positioned to make these “impact investments,” which demand a return, even as they attempt to make measurable gains in areas of social economic development, said Clint Mabie, who became president and CEO of the Community Foundation for Southern Arizona in 2010. After all, foundations already have a focus on improving quality of life. They typically have rigorous evaluation policies that demand accountability. The Community Foundation for Southern Arizona can leverage its deep connections to donors and investors to build a community investment fund that will generate millions annually into our community. In the midst of its five-year strategic plan, cultivating additional community investment tops a list of three strategic priorities that have bubbled up from outreach to donors, the nonprofit community and the board. “Foundations around the country are saying, ‘How can we deploy more of our assets into the community?’ We’re looking at national models to see how we can bring this practice here so we can achieve a return on investment, but leverage those dollars to get additional impact in areas such as job growth or education,” Mabie explained. Thirty-five years after its inception, the Foundation’s second
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Nonprofit Loan Fund
LGBT&S Alliance Fund
Collective Impact By Rhonda Bodfield
From community gardens to opera scholarships, AIDS to literacy, animal welfare to rural healthcare, the impact of the Community Foundation for Southern Arizona is felt throughout the region. These projects highlight the spectrum of issues addressed by collaborations and programs through the Foundation established in 1980.
Pima Alliance for Animal Welfare
Did you know that about 35,000 abandoned and unwanted pets end up at local animal shelters and rescue organizations year in and year out? Rec-
ognizing that the community must be galvanized to stop the daily flood of cats and dogs into these animal care facilities, the Pima Alliance for Animal Welfare was formed to work toward ensuring that all Pima County companion animals have a loving home and humane care. This unprecedented effort relies on a broad alliance that includes more than 50 representatives of animalwelfare agencies, among them the Tucson area’s two main shelters – the Pima Animal Care Center and the Humane Society of Southern Arizona. As a result, more animals are adopted and finding a permanent home.
Articles of incorporation filed in May to establish The Greater Tucson Area Foundation
Edna Amos establishes one of the first endowed funds in memory of her late husband, George H. Amos Sr., father of Buddy Amos
Renamed the Tucson Community Foundation
Ajo Regional Food Partnership
The town of Ajo transformed from a food desert to a food oasis. The U.S. Department of Agriculture gave the “food desert” label to the former copper mining town 130 miles west of Tucson. With fewer than 4,000 people and only one grocery store, Ajo had limited options for fresh and healthy fruits and vegetables. That was six years ago. Today Ajo has 40 gardens, abundant fruit trees, a farmer’s market and frequent culinary events. Last spring it introduced the Authentically Ajo Regional Food Festival. 1987
Arizona Arts Award program established
The Ford Foundation and the John D. and Catherine T. MacArthur Foundation challenge the Community Foundation to to raise $1 million in endowed funds to be matched with $500,000 in programmatic funding
Milestones 188 BizTucson
African American Initiative
Southern Arizona’s Women’s Fund (Now Women’s Foundation of Southern Arizona)
Established by Harriet Silverman and Melody Robidoux, this fund would evolve into the Women’s Foundation of Southern Arizona in 1999. The foundation empowers women and girls to improve their lives and communities through five primary forces for change – leadership development, charitable giving, community building, research and grant-making. The Women’s Foundation is the only organization in Southern Arizona whose philanthropic activities are dedicated exclusively to programs that serve women and girls. Foundationfunded research recently demonstrated the impact of substantial cuts to programs that support low-income families on the road to financial self-sufficiency – and the long-term positive return on
Pima Alliance for Animal Welfare
investment that results when there is support for child care and education to help women improve the lives of their families.
Nonprofit Loan Fund With shrink-
ing government support for nonprofits, it is increasingly important that these organizations retain a healthy cash flow while awaiting donations, grants and other reimbursements that can help address critical needs. The Nonprofit Loan Fund of Tucson and Southern Arizona is designed to strengthen organizational financial capacity by providing affordable loan financing and financial education for nonprofits operating throughout Southern Arizona.
Igor Gorin Memorial Scholarship
Austrian-born Igor Gorin was a world-renowned opera star who spoke eight languages fluently. His career spanned four decades before he joined the faculty at the University of Arizona, mentoring the next generation of singers. His wife Mary established The Igor Gorin Memorial Award, given once a year to help an aspiring opera singer with expenses associated with hiring accompanists and coaches, and auditioning as they transition from school into professional careers. Since 1993, $266,300 has been awarded to 41 young artists. This is one of the most prestigious and generous awards of its kind in the nation. continued on page 190 >>>
PRO Neighborhoods founded with government and community partners
Renamed the Community Foundation for Southern Arizona
Conducted the largest capital campaign in its history to build a new building on land donated by the John & Helen Murphey Foundation
Launched $1 million Literacy for Life Coalition to promote a culture of literacy in Pima County, resulting in the creation of Literacy Connects in 2011
The Economic Relief and Stability Fund established and donated $442,000 to help local nonprofits through the economic crisis
Spring 2015 > > > BizTucson 189
continued from page 189
African American Initiative
By Whatever Means Julian Babad was born to Jewish parents in Poland in 1934. They moved to America for a better life – but his mom died when he was just 8 and his father went off to war. Orphaned, this studious lad ultimately got a scholarship to college and became an engineer. Ever grateful, in 1997 he established a scholarship fund at the Community
Foundation for Jews of European descent. He gives every penny he can to grow his fund. Recently he drove his mobile home to the foundation and gave them the keys. He decided he was too old to drive and figured the nonprofit could sell it and add the money to his fund, ultimately benefiting more students.
Donors Tell Us “Giving to or doing things for those around us is one of the best expressions of our human character. We try to help others, not out of pity, but with respect for their needs and goals. Our Community Foundation here in Tucson helps us identify both community and universal needs and how to most effectively convey the help to meet those needs.” – Bill Kinney, Retired Business Owner & Community Volunteer
“We like to contribute to a variety of important causes. Unlike single-issue foundations, the Community Foundation provides us the flexibility to place our giving throughout the spectrum of community needs – from education to animal welfare to reproductive rights. They are a reliable source of current information on regional issues and a secure custodian of our funds.” – Paul Lindsey, Business Owner & President of the Board, The Loft Cinema
Did You Know?
The Community Foundation can save your business time and money. No matter the size of the business, the Foundation can: • Distribute grants on behalf of the business, reducing internal processes • Ensure that grants are sent to legitimate, well-run nonprofits • Recommend specific community needs that match your company’s mission • Provide status reports on the utilization of the grant
In 2013, a group of African American community leaders, led by Anna Jolivet, took its first step toward developing more current and future charitable resources specifically for the African American community. The African American Initiative has a simple goal – direct dollars and foster collaboration among organizations and individuals serving the most pressing needs in the African American and greater Tucson community. On Jan. 20 the initiative announced it plans to award $50,000 in grants to local nonprofit organizations providing service in the area of education. Recognizing the importance of collaboration in addressing complex needs, the initiative requires grant applicants to partner with at least one other organization.
The Community Interactive is a series of engaging and informative live events addressing issues Southern Arizonans face – such as poverty, the border, education and the arts. Produced in partnership with Arizona Public Media, each event features an accomplished moderator and a panel of experts, offering community members an opportunity to participate in a solution-driven conversation about these pressing issues. The most recent 90-minute interactive event was Feb. 12 and focused on education.
LGBT&S Alliance Fund
The Lesbian, Gay, Bisexual, Transgender & Straight Alliance Fund conducts annual competitive grant rounds to support projects that benefit the LGBT community in Southern Arizona. Created in partnership with the National Lesbian and Gay Community Funding Partnership, the Alliance Fund addresses a chronic pattern of underfunding of much-needed programs and supports efforts to address these issues through philanthropy and endowment building. Since its inception, the fund has awarded more than 100 grants to more than 40 different organizations totaling more than $550,000. continued on page 192 >>>
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BizCOMMUNITY Community Foundation Connections
continued from page 190
u Thomas R. Brown Family Founda-
Affiliates u Santa Cruz Community Foundation
promotes philanthropy and assists with the creation of a healthier, more productive community for the residents of Santa Cruz County.
u Oro Valley Community Foundation
tions issues grants to qualified religious, charitable, scientific and educational organizations.
u William Edwin Hall Foundation is-
sues grants supporting programs for children.
seeks to provide resources that contribute to quality of life throughout the Oro Valley region, including San Manuel, Oracle, Catalina, Marana and northwest Tucson.
u Worth & Dot Howard Foundation of-
u Stone Canyon Community Founda-
vides grants that support education, health and opportunity.
tion assists local charitable organizations that help young people in Oro Valley and Tucson get on track and stay there – through early childhood education, high school graduation and the development of life skills.
Programs u Social Venture Partners Tucson in-
spires philanthropy using a venture capital approach to affect social change.
u Center for Planned Giving serves as
an impartial philanthropic resource for nonprofit organizations, professional advisors and donors.
Supporting Organizations u CFSA Properties owns and operates
real properties to benefit the Foundation’s mission.
fers educational scholarships to meritorious individuals from designated Arizona educational institutions.
u Howard V. Moore Foundation pro-
u Nonprofit Loan Fund of Tucson and
Southern Arizona provides loan financing and financial education for Southern Arizona nonprofits.
Canyon Conservation Foundation monitors and maintains certain environmentally-sensitive areas in Sycamore Canyon Preserve.
u Women’s Foundation of Southern
Arizona empowers women and girls to improve their lives and communities through five forces of change – leadership development, charitable giving, community building, research and grantmaking.
Community Outreach Foundation issues grants for the promotion of health and wellness education and the arts on a local and national level.
Donors Tell Us “Over the decades, the Community Foundation for Southern Arizona has made it possible to help many people stay well – most recently by helping the University of Arizona Mobile Health Program provide for those most in need of healthcare and wellness education.” – Martha Ortiz, Advisor, Stay Well Fund Martha and Dr. Augosto Ortiz 192 BizTucson
One-Eight Memorial Foundation Fund
Thousands of lives changed in a span of a few seconds on Jan. 8, 2011 when six people were killed and 13 others wounded at a Congress on Your Corner event. The Community Foundation responded to the tragedy by establishing five funds that received more than $1.1 million from 5,000 individuals from 48 states and 10 countries. Current active funds include The Fund for Civility, Respect and Understanding, and the Christina-Taylor Green & Daniel Hernandez, Jr. Scholarship Fund, which supports students in the School of Government & Public Policy at the UA and honors the joint interests of Green and Hernandez. The first scholarships were awarded in spring 2012.
Stay Well Fund
Dr. Augosto Ortiz believed that access to healthcare services by many Arizonans was not only limited by their financial ability to pay for their services but also by their geographic and psyco-social status. The doctor and his wife Martha established the fund at the Community Foundation in 1987 to provide services in rural communities. They established the fund “with the faith that mankind will benefit,” Augusto said at the time. Recently the fund has supported the Mobile Health Program of the UA College of Medicine.
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Father’s Day Council Raises $3.3 Million
21st Annual Tribute to Dads
Father’s Day Council Tucson has been a mighty warrior in the fight against type 1 diabetes for the past 20 years, raising nearly $3.3 million for research and improved treatments at the University of Arizona Steele Children’s Research Center. The council additionally expects to reach a separate fundraising goal this year of $1.5 million that will allow for the completion of the Father’s Day Council Tucson Endowed Chair for Type 1 Diabetes Research, which will annually fund a new researcher or physician at the UA Steele Center. “We simply could not continue our important work without the support of Father’s Day Council Tucson,” said Dr. Fayez K. Ghishan, director of the UA Steele Center. “We are eternally grateful.” The funding helps ease the discomfort and fear that can be associated with the disease, and brings hope for an eventual cure. Father’s Day Council Tucson annually honors dads who have mastered the balancing act of fatherhood, career and community service. This year’s Father of the Year Awards fundraising gala is scheduled for May 28 at Loews Ventana Canyon. Honorees at this year’s event, chaired by Maricela Robles, are:
• Greg Byrne, University of VP for athletics
• Master Sgt. Lorenzo A. Livingston,
Steve Rosenberg and his father, the late Howard Rosenberg. It is affiliated with The Father’s Day/Mother’s Day Council in New York, but is unique in that all proceeds stay in Tucson to benefit type 1 diabetes research. As the incidence of both type 1 and type 2 diabetes rises, research and improved treatments are critically important, said Wheeler, who in addition to being a Father of the Year honoree treats about 700 pediatric type 1 diabetes patients at the UA. While the rise in cases of type 2 diabetes appears to be related to an increase in obesity, it’s harder to explain the increase in type 1 diabetes, Wheeler said. “There most likely is an environmental factor because it is increasing faster than genetic changes can account for,” he said, adding that the rate of increase in very young children could be even greater. Funds from Father’s Day Council Tucson have been used for research projects at UA, including:
• Examining which relatives of people with type 1 diabetes are more likely to get the disease and methods of prevention
• Investigating methods of
extending the “honeymoon’’ period in recently diagnosed patients by extending pancreatic function
Airman Leadership School instructor, Davis-Monthan Air Force Base
• Pat Lopez, founding partner, Rusing Lopez & Lizardi
• Warren Rustand, CEO, Providence Service Corporation
Mark Wheeler, division chief, UA pediatric endocrinology
Father’s Day Council was brought to Tucson in 1994 by BizTucson publisher www.BizTucson.com
21ST ANNUAL FATHER OF THE YEAR AWARDS GALA
PRESENTED BY FATHER’S DAY COUNCIL TUCSON Benefiting UA Steele Children’s Research Center
• Investigating the link between poor
sleep patterns in children and poor glucose control
Funding also provides access to better technology for children, including improved insulin pumps and glucose meters, making the disease easier to manage. Researchers are investigating ways to modulate the immune system, which might stop diabetes before it occurs, or preserve remaining cells. “The immune system attacks and destroys insulin-making cells in the pancreas,” Wheeler said. “You might destroy 80 or 90 percent of the cells before you come down with diabetes. Researchers are looking at whether there is a way to stop that destruction.” The UA Steele Center is part of a multi-center study investigating a medication with immune modulating properties. “The hope is they can change the immune response,” Wheeler said. He said there is new evidence that people with type 1 diabetes might have cells or remnants of cells that can regenerate, if researchers can determine how to stop cell destruction. Funding additionally provides a “diabetes fun room” at the center where kids can play games and hang out with friends. Wheeler and staff provide patients and families with education and strategies that make the disease manageable. “It’s great when you see kids take more responsibility and have more control over the disease than it has over them.” Support from Father’s Day Council Tucson is making a difference. “There are fewer resources available for research and education, and working with Father’s Day Council Tucson has been invaluable,” Wheeler said.
By Gabrielle Fimbres
Thursday, May 28, 6 to 10 p.m. $175 per person Loews Ventana Canyon FdcTucson.org
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Greg Byrne with wife Regina and sons Nick (top) and Davis 198 BizTucson
PHOTO: TOM SPITZ
2015 FATHER OF THE YEAR HONOREE
VP for Athletics University of Arizona
A Shared Passion By Gabrielle Fimbres Connecting with children over a shared passion is at the heart of fatherhood. For Greg Byrne and his boys, that’s been easy. “I was fortunate that both of my kids loved athletics,” said Byrne, VP for athletics at the University of Arizona. “Our boys have been to more track meets, swim meets, baseball games, softball games and tennis matches than most kids have, and they are always part of football and basketball game days.” Byrne and his wife of 20 years, Regina, spent this past winter cheering for son Davis in his senior year of basketball at The Gregory School. They rooted for son Nick, now a UA freshman, when he played hoops at Pusch Ridge Christian Academy. “I think it’s important that whatever we do as fathers, we make sure we find things that can engage us with our kids,” said Byrne, a 2015 Father’s Day Council Tucson Father of the Year. While Byrne works extraordinarily long days 11 months out of the year, he and Regina make family the priority. “We all love to eat, so nights around the dinner table are really special,” Byrne said. “We love to travel. We have gone on cruises as a family. Part of the reason we choose cruises is our phones don’t work. You can literally check out and you are engaged. “You have to make sure you find that time. As driven as you are, it’s important to find that right balance, knowing you won’t be perfect.” Byrne was born in Pocatello, Idaho, to Bill and Marilyn Byrne. The family followed the career path of revered athletic director Bill Byrne, from the www.BizTucson.com
University of New Mexico to San Diego State University and the University of Oregon. Byrne spent his middle and high school years in Oregon, where he met Regina. “We met during a summer cashier job. We fell in love stocking the shelves.” Early in life, Byrne dreamed of following in his dad’s footsteps. On the wall of his office is a framed report in his fourth-grade handwriting titled, “Athletic Directors and Assistant Athletic Directors.” From the beginning, Byrne was a natural. This is a guy who clearly loves his job. “I had a gift for dealing with a wide variety of people and got into development and really enjoyed the fundraising,” Byrne said. “I believe thoroughly in college athletics and the impact it has on the student-athletes, the impact it makes on the university and the impact it can make in the community and state.” Tucson has been a wonderful place to raise a family and lead athletics, he said. “Tucson is a great college town. When we play a ball game, you have people coming together from south Tucson, north Tucson, east and west Tucson, with one common goal – to cheer for the University of Arizona Wildcats. It knocks down a lot of walls. Isn’t that something we can all get behind as a community?” Under his direction, the program has flourished. “We have been fortunate. We have great people internally, our coaches and staff. We have increased support from our donors. Four years ago, we had 6,000 members of the Wildcat Club,
and we wanted to get that number to 12,000. We have surpassed that number, with people doing what they can – whether it’s giving $100 a year or a quarter million a year.” Through major donors that include Jeff and Sharon Stevens, David and Edith Lowell, and Cole and Jeannie Davis, significant improvements have been made to Arizona Stadium and McKale Center. “But we aren’t at a point where we can take our foot off the gas pedal,” Byrne said of other needed improvements throughout the program. UA athletics show off Tucson to a national and international audience, he said. “Athletics is just a piece of the university, but if we are doing well with our sports program, nothing has a bigger stage.” Byrne gives of his time to the community. Last fall, he and Regina chaired the Festival of Trees, benefiting MakeA-Wish Arizona and Ronald McDonald House Charities of Southern Arizona. He’s been involved with the Community Food Bank and Boys & Girls Clubs of Tucson. He is the spokesman for the Tucson Police Foundation and honorary commander for the 305th Rescue Squadron at Davis-Monthan Air Force Base. Byrne is pleased to raise money for type 1 diabetes research through Father’s Day Council Tucson. “Diabetes causes so many issues, not only for the people who have it but for the families. Anything we can do to raise awareness and help with this is great.”
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PHOTO: CHRIS MOONEY
2015 FATHER OF THE YEAR HONOREE
Master Sgt. Lorenzo A. Livingston with wife Chanelle and son Roman. Livingstonâ€™s son Syncere pictured separately. 200 BizTucson
Master Sgt. Lorenzo A. Livingston Airman Leadership School Instructor Davis-Monthan Air Force Base
Model of Excellence By Gabrielle Fimbres Master Sgt. Lorenzo A. Livingston held on tightly to his wife and son as he received what could be the most meaningful honor of his life. “Out of all of the things I could be honored for, being a husband and a dad is most important to me,” said Livingston, upon hearing the news that he was selected as the 2015 Father’s Day Council Tucson Military Father of the Year. BizTucson publisher Steve Rosenberg, who brought the Father’s Day Council to Tucson in 1994 with his father, the late Howard Rosenberg, made the surprise announcement to Livingston at what the airman thought was a training session at Davis-Monthan Air Force Base. At his side were his wife of three years, Chanelle Livingston, and their 2½-year-old son, Roman. Livingston, an Airman Leadership School instructor at D-M, serves as a model of excellence in fatherhood, work ethic and volunteerism, said his wife, who nominated him for the award. “Lorenzo’s calm, patient and persistent spirit sets the superb example for our children and others of how to lead a family and community through servant leadership,” she wrote in her nomination. Livingston, whose firstborn son, Syncere, 8, spends part of the year in Chicago, is dedicated to tucking his kids in bed at night whenever possible. “I didn’t always put family first, especially when it came to my career,” Livingston said. “In recent years, I realized the proper order – God, family, career. Family is the backbone.” Originally from North Myrtle Beach, S.C., Livingston was raised by his www.BizTucson.com
grandparents. He enlisted in the Air Force in 2002, three months after high school graduation. Livingston has completed deployments in Iraq, Qatar and Afghanistan. He earned the Joint Commendation Medal, three Air Force Commendation Medals, two Air Force Achievement Medals, an Army Achievement Medal and the Military Outstanding Volunteer Medal, to name a few. While balancing family, work and volunteerism, Livingston, a civil engineer electrician, has completed two associate’s degrees, a bachelor’s in sociology and he is working toward a master’s degree in leadership. In his seven years in Tucson, Livingston has served as a devoted volunteer. He volunteers with Arizona Adopt-AHighway, organizing monthly cleanups of the stretch of Golf Links Road between Swan and Craycroft roads, earning a visit and recognition from Tucson Mayor Jonathan Rothschild. He has been instrumental in the leadership of D-M’s Airmen Against Drunk Driving, helping to organize 496 volunteer drivers who provided 557 safe rides home for Tucson drivers. Livingston has served as a volunteer mentor with Big Brothers Big Sisters of Tucson and Pima County Juvenile Court Center. His passion for reading led him to create Leaders are Readers, a leadership book club for service members and their spouses. On the job, he has served as a mentor to 1,500 as an instructor. “I want to leave a footprint on the installation and the community,” Livingston said. “I found my niche in life. I want to empower young people to give
them a good start in life.” Balancing family, work, school and volunteerism requires time management. “Being a military father is tough, especially when it comes to preparing for promotional exams,” Chanelle said in her nomination. “When our youngest was only a newborn, it was testing season for Lorenzo. Lorenzo read his study materials to him in an effort to study while still spending quality time with him. I never can forget the way that reading military history lulled Roman right to sleep.” The Livingstons were childhood friends, and reconnected when Chanelle moved to Tucson. The two make home the priority. “Even with our strenuous full-time work schedules, Lorenzo emphasizes that family time must be our top priority,” she wrote. “He instituted family dinners each night, where we could converse with the kids and discuss the day’s events. Next, we have playtime on the floor, which is their favorite location to wrestle and bond. Lorenzo always take the lead when it comes to bath time, pajamas and a bedtime story.” Livingston said those are his favorite times of the day. He looks forward to the family’s upcoming move with the Air Force to Japan, where they will be joined by Syncere for two years. Livingston keeps in touch with his older son daily through phone calls, FaceTime and social media. “It feels awesome to be recognized as a top father in the city and on base because that is my priority,” Livingston said. “There is nothing more important.”
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Front row from left – daughter Elise, Pat Lopez and his wife Marilou. Back row from left – son-in-law Danny Marwitz, daughter Katie, son-in-law Steve Gruenhagen and daughter Melissa
PHOTO: TOM SPITZ
2015 FATHER OF THE YEAR HONOREE
Founding Partner Rusing Lopez & Lizardi
Adviser, Mentor and Dad By Gabrielle Fimbres When his three girls were little, Pat Lopez made sure he carved out oneon-one time with each – as their soccer coach, in game debriefings on the car ride home and later on travels around the globe. The girls are all grown up, but Lopez stays close, serving as adviser, mentor and dad. He spent a recent morning talking about overcoming adversity to students at San Miguel High School, where his daughter, Melissa Gruenhagen, is dean of academics. For his commitment to fatherhood and the community, Lopez, a founding partner in the Tucson law firm Rusing Lopez & Lizardi, is a 2015 Father’s Day Council Tucson Father of the Year. “Blessed is what we are,” Gruenhagen said. Lopez and his wife of 35 years, Marilou, are also parents to therapist Katie Marwitz, who lives in Phoenix with her husband, and Elise Lopez, who works in commercial property management in Tucson. The Lopez family legacy started simply enough – at a junior high school track meet that Marilou doesn’t exactly remember. Lopez, whose family dates back in Tucson to the early to mid-1800s, first laid eyes on Marilou at a track meet. He was from St. Joseph Catholic School, she was from St. Cyril of Alexandria School. “She doesn’t remember,” Lopez said with a grin. They started dating as students at Salpointe Catholic High School in 1973, and both attended the University of Arizona. www.BizTucson.com
It wasn’t easy, as Lopez put himself through school. “My worst semester I had 19 units and three jobs, working 35 to 40 hours a week. I sold ads for the Arizona Daily Wildcat, I sold silkscreened T-shirts and at night I was a waiter at a restaurant.” He played rugby in his spare time. “Every time pot pies went on sale for five for a dollar I would fill up my freezer,” Lopez said of those lean years. “Sometimes at the end of the month I ate pot pies for breakfast, lunch and dinner. I will never eat another pot pie.” He persevered and achieved his dream of attending Stanford Law School. “Since I was in grade school I wanted to go to law school. I didn’t know how I was going to get there, but I understood I had to have good grades to get in.” In his second year, the couple married. They moved to Phoenix after graduation, where Lopez worked as a lawyer. They started their family in Phoenix. In 1988, they returned to Tucson and Lopez taught at what is now the James E. Rogers College of Law. In 1992, when Lopez decided to go back into private practice, Tucson attorney and Stanford Law classmate Mick Rusing was the first person he called. Lopez had a broad business transaction background and Rusing had a broad litigation background. They made a good match. They started downtown, just the two attorneys, a secretary and Marilou as office manager. Today the firm has grown to 17 attorneys, and Lopez is consistently lauded as one of the best
real estate attorneys in the nation. Lopez, who relied on scholarships to make it through school, is dedicated to helping others. A former Tucson Hispanic Chamber of Commerce Business Man of the Year, Lopez is a longtime board member of Chicanos Por La Causa. He was president of the Diocese of Tucson School Board and is president of the Catholic Tuition Support Organization. He is vice chair of the Salpointe school board and is a member of the Arizona Land and Water Trust Board. Lopez, who is an avid photographer and cyclist, credits a book his mom gave him when he was in college with helping him succeed. He still keeps “How to Get Control of Your Time and Your Life” on the nightstand. He said having “an amazing wife” has allowed him to reach his goals and juggle his responsibilities. Today they live with their dogs and cats in a lovely foothills home, and relish time spent together as a family. Lopez is excited to raise money for type 1 diabetes through Father’s Day Council Tucson, and is impressed by the work of Dr. Fayez K. Ghishan, director of the UA Steele Children’s Research Center, which is the recipient of funds raised. “I am amazed at Dr. Ghishan’s energy, enthusiasm and vision for how to attack type 1 diabetes,” Lopez said. “We can all do something to help that mission. When you know you are helping people who are making a difference like Dr. Ghishan, it’s easy to be enthusiastic.”
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Warren and Carson Rustand, standing at right, with their family
PHOTO: TOM SPITZ
2015 FATHER OF THE YEAR HONOREE
CEO, Providence Service Corporation
Close-Knit Clan of 32 By Gabrielle Fimbres Food, family and loads of laughter are the centerpiece of Sunday dinners at Warren and Carson Rustand’s home. This is no small affair, with the Rustands numbering 32. “We eat for about 10 minutes and then we run off to dive in the pool, or we go on a scavenger hunt or play soccer,” said Rustand, CEO of Providence Service Corporation. Family is the overriding priority for this dad and granddad, who is a 2015 Father’s Day Council Tucson Father of the Year. At the start of each year, Rustand blocks out family vacations, anniversaries and birthdays on his work calendar, so he does not miss a thing. “I build my work commitments around my family commitments,” Rustand said. “With 32 of us, that is a lot of celebration. Those are the big things in life.” Rustand has run companies large and small, sat on more than 50 boards, served as a White House fellow and worked as a local television sports reporter. He grew up as a Minnesota farm kid before moving to Southern California with his parents and three sisters. Lanky and lean, Rustand was recruited by the University of Arizona to play basketball. This Academic All-American guard played for beloved coach Bruce Larson. It was there that he met the love of his life, Phoenix girl Carson Boice. “I met my wife the first week there,” he said. “I played basketball and she was a pom pom girl. I couldn’t get a date for a year, but I was persistent.” The two married after their junior year, and had big family plans. www.BizTucson.com
“We wanted 15 kids,” Rustand recalled. “But after four years of marriage, we were told we would never have our own kids.” The couple started the adoption process, but met a physician at a party. Following surgery, they were soon able to start their family. “We had six of our own and one who came to live with us at the age of 12,” Rustand said. “We were blessed.” Married more than 50 years, the Rustands are parents to Eric, William, Scott, Kenady, Brett, Garrett and Clark – six boys and one girl. They have 18 grandkids. Two of the kids have built homes – and one is in the planning stages – on the same property as the Rustand place, on 58 acres with horses, goats, chickens and pigs on the northeast side of Tucson, where Warren and Carson have lived for 38 years. “All of the children have been given the opportunity to build here one day,” Rustand said. “It’s been a fabulous place to raise a family.” He credits his success as a father and businessman in large part to Carson. “My wife should be the one honored. She is an extraordinary woman and an extraordinary leader for our family and the community. She wakes up smiling every morning and goes to bed smiling every night.” He has been blessed in his career as well, including a prestigious appointment as a White House fellow during the Richard M. Nixon/Gerald R. Ford presidencies. “It was really an interesting time. I got to see the president in very private moments,” he said of Ford.
Rustand has led numerous businesses. He was managing director of SC Capital Partners and was chairman and CEO of Rural Metro Corporation. He served as chairman and CEO of TLC Vision, the world’s largest Lasik eye surgery company. Rustand served as director of Providence starting in 2005, and was appointed interim CEO in 2012. The position became permanent in May 2013. Based in Tucson, Providence provides social services, collaborative care services and transportation to children and adults through government-sponsored social and healthcare services programs throughout the country and world. “Providence is built on the premise that you can treat people in their homes and community and have a better outcome,” Rustand said. Among the challenges faced by clients are mental illness, addiction, poverty and chronic unemployment. “We have a chance to alter people’s lives in a significant way,” Rustand said. “When I come home every night I know we did some good in the world today.” He has also given of his time to boards and nonprofits, including La Frontera, TMC Foundation, UA Foundation and Southern Arizona Leadership Council. Rustand’s favorite moments, however, are at home, playing with the grandkids. Having experienced family difficulty in his own childhood, creating a happy family has been his top job. “I never dreamed I could have such a happy family,” he said. “All of us want love and tenderness, and we can create that. It just takes work.”
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Front row from left – son Ben, Dr. Mark Wheeler and wife Ginny Back row from left – daughter Paige and husband Ryan Riffle, daughter-in-law Alex, son Charley and son Greg
PHOTO: TOM SPITZ
2015 FATHER OF THE YEAR HONOREE
Dr. Mark Wheeler
Pediatric Endocrinologist University of Arizona
Doctor Dad By Gabrielle Fimbres When Mark and Ginny Wheeler opened a pediatric endocrinology practice in Tucson 21 years ago, an infant swing for their baby, Ben, was among the most crucial pieces of office furniture. Ginny, a pediatric nurse, and Mark were able to care for children with diabetes and other endocrine disorders while raising their own four children. “I was in practice by myself so I was on call all the time,” said this M.D. who has been voted in “Best Doctors in America” for the past seven years. “At that time, when we sent newly diagnosed diabetes patients home from the hospital, they would call me every time they ate and they would give me their glucose numbers and I would tell them how much insulin to take until their dose was stabilized. Our four kids grew up in the practice. They learned mama, daddy and insulin as their first words.” Wheeler, now division chief of pediatric endocrinology and associate professor of pediatrics at the University of Arizona, is a 2015 Father’s Day Council Tucson Father of the Year. Seeing the daily struggles that parents of children with type 1 diabetes endure, he said it is an honor to accept the award on their behalf. “Over the years I have gotten to know the mothers and fathers and I have learned a lot from them,” Wheeler said. “That is truly a deserving group. I hope I can be a representative of some of the challenges they go through.” Wheeler was born in Fresno, Calif., and grew up in Yuma, where his mother and stepdad worked for a seed www.BizTucson.com
company. “When I was a kid I always wanted to be a doctor,” said Wheeler, whose father was a general practitioner in Fresno. He attended the UA, where he studied microbiology, and went on to medical school at the University of California, Los Angeles. “I wanted to go into pediatrics,” Wheeler said. “You develop relationships with patients and families and you get to watch your patients grow and develop. I thought I would be a general pediatrician in a small town, but one of the things that interested me was endocrinology. You are still able to maintain those relationships with families and the pathology is very interesting.” During residency at the UA College of Medicine, Wheeler met Ginny, who was a pediatric nurse in the intensive care unit. The two married and Wheeler completed a fellowship in pediatric endocrinology at the University of California, Davis. After having three children, they decided to return to Tucson. So when the children were 4, 2 and 10 days old, Tucson became their home once again, and a fourth child was born two years later. “There were no jobs at the UA, so we set up a private practice,” Wheeler said. Ginny would check in patients, do diabetes education and hormone testing and translate for Spanish-speaking families. After five years, the growth of the practice led Wheeler to move it to the Children’s Clinics for Rehabilitative Services, which allowed Ginny to spend more time with their family. A decade ago, he joined the UA.
The Wheelers, now married 28 years, are parents to Paige, who lives in Salem, Ore., with her husband, Ryan; Charley, who lives in Tucson with his wife, Alex; Ben, who is a senior at the UA and Greg, a UA freshman. This Wildcat couple is proud of their four, who all have attended UA. Wheeler and the UA pediatric endocrinology team treat a variety of disorders, including thyroid disorders, growth problems, adrenal disorders and issues in puberty. About 40 percent of patients have type 1 diabetes. “In endocrinology, usually when you find a problem there is a solution or a treatment. It’s nice in that respect, that we can help children,” he said. When his children were younger, Wheeler worked his schedule around theirs as much as he could. “I would go to the kids’ events and go on rounds after,” he said. “We all wish we had more time with our kids. You have to make a commitment to be there when you can.” He is also involved in his community. He served on the board of JDRF and has taken part in events that raise money for research for type 1 diabetes. He has also traveled with his church group to Agua Prieta, Sonora, to help build shelters. After years as a nurse, Ginny fulfilled her dream of becoming a school teacher, and teaches first grade. Wheeler credits his wife with making the family a happy one. “She does it all,” he said.
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BizHONORS To meet the standards of the Boy Scout Law is challenging for Scouts, yet there are folks in the community who make a lifetime effort to be trustworthy, loyal, helpful, friendly, courteous, kind, obedient, cheerful, thrifty, brave, clean and reverent.
2015 Good Scout Award
The Boy Scouts of America will honor two such leaders from this region’s construction industry because they have “demonstrated pillarship in the community and exemplified Scout tradition and values,” said Christie Lee, chair of the Good Scout Award Luncheon Committee. William “Bill” Assenmacher of CAID Industries was elected to receive the 2015 Good Scout Award by the committee composed of members of the Arizona Builders Alliance and affiliates. Fred Pace of Pace Construction was chosen to receive the 2015 Lifetime Achievement Award. Both will be honored at the 2015 Good Scout Award Luncheon on May 1. Proceeds support activities organized for the 7,000 Boy Scouts in the region.
Honoring Bill Assenmacher By Larry Copenhaver
William “Bill” Assenmacher is the CEO of CAID Industries. He came from a family that was caring, tightknit and hardworking, but without the financial resources that allowed him to have the free time to be a Boy Scout. “I was born and raised in Michigan. When I was young, my mother wanted to be a Cub Scout leader,” he said. She started a Cub Scout den, but then had to get a job and went to work for the chamber of commerce. “It was too difficult for me to stay in Scouting,” Assenmacher said. “Luckily, I was involved in lots of other activities through the family, the church and school. I had a lot of mentoring in the kind of things kids get out of Scouting. I was very active in the small town’s Catholic parish church, and I was fortunate that my family and relatives were involved in farming.” His parents moved to Lake Havasu when he was just getting out of high school, so he decided to attend the Uni208 BizTucson
versity of Arizona. He landed a job at CAID as a student engineer in a workstudy program and graduated in 1974 with a bachelor’s degree in mechanical engineering. Just before he graduated came the opportunity of a lifetime, he said. Two months before receiving his diploma, he made a deal to buy CAID over a 10-year window. He has been the principal owner ever since. The diversified manufacturing company has built an international clientele and works with materials ranging from stainless steel, titanium and duplex steels, to structural fiberglass, copper, plastics and mesh. CAID now employs 250 full-time workers. He pins much of that success on his upbringing and lessons learned as a youth. And he wonders if today’s youth are getting the experiences they need to grow and prosper. He thinks Scouting helps fill that void. He said he believes in the ben-
efits of Scouting, like learning leadership skills while earning merit badges. Scouting offers experience in the attributes needed in the construction field. He’s concerned that today’s youth spend too much time playing on the computer. “What is needed to make the American industry strong, whether it’s the industrial economy or construction, are kids who develop some of the basic confidences that they get in Scouting,” he said “I like what I see in Scouting, and even though I didn’t get a chance to stay in Scouts for a long time, I admire the vision and the mission of Scouting. I think it is wonderful that our construction industry is doing so much to promote all those great and wonderful things kids learn in Scouting so the lessons are passed on from generation to generation.”
2015 Lifetime Achievement Award THE CONSTRUCTION INDUSTRY’S GOOD SCOUT AWARD LUNCHEON Friday, May 1 DoubleTree by Hilton Hotel Tucson – Reid Park Registration – 11:30 a.m.
PHOTOS: BRENT G. MATHIS
Luncheon – Noon to 1:30 p.m. $95 per person $900 for table of 10 Other sponsor levels available www.constructionluncheon.com or mail check to:
Honoring Fred Pace
BSA, 5049 E. Broadway, 85711
By Larry Copenhaver Though Fred Pace is an architect by training and registration, the construction company bearing his name completed 2,960 projects in Tucson before he retired in 1995. He bought his company, formerly Lynch Engineering and Construction, in 1970. He fondly recalls his days completing one project a week, and he’s honored to be picked by the industry for his achievements. “I was kind of blown away by the idea,” he said after learning he was selected for the Good Scout Lifetime Achievement Award. “I was a Scout when I was a kid, but I never got beyond being a second-class Scout because I was never able to learn to swim.” Yet he recalls Scouting, especially his days as a Sea Scout, as something wonderful. Those days came after his family moved, when he was 11, from Kansas City, Mo., to Carlsbad, Calif., north of San Diego. www.BizTucson.com
“One of our Sea Scout leaders was the commander of Camp Del Mar,” Pace said. “The troop had lots of equipment, even its own pier and two boats to test the boys’ skills. He taught us to sail. He was a wonderful guy. He really knew his business. “I spent a lot of time in the Boy Scouts and the Sea Scouts, but I came from a family where work was very important. During the war, I helped my mother run 64 apartments when I was only 12 years old. I did most of the plumbing repair, cleaning of incinerators and yard work. It all had to be done, so we were busy working trying just to survive. World War II was pretty tough on everyone. When we moved to Carlsbad, we enjoyed it. Dad and about 15 others worked to get Carlsbad incorporated.” But Carlsbad was not home for long. He moved to the Safford, Ariz. area and attended classes at Eastern Ari-
zona College. Then he enrolled at the UA College of Architecture and was a member of the first class of graduates in 1962. “Between the Scouts, church activities and family, it all melds together,” he said. “They worked very well for me and that shows because I have a very good reputation. We paid our bills. We didn’t expect things to be done that we didn’t pay for and our subcontractors knew they would get paid. But we were selective about who we hired, what subcontractors we would use, and frankly, we were selective about the owners we would work for. The construction business can be a little rough and tumble.” But the business was a labor of love. “It really turns me on to see a contractor take a pile of materials and turn it into something. I’ve always been fascinated by the building part of the business.”
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Focus on Employment Law SHRM-GT Conference Draws Hundreds By Christy Krueger Human resource professionals, small business owners and anyone who oversees employees can benefit from the upcoming 2015 Employment Law Update on April 8. The annual conference, presented by Society for Human Resource Management of Greater Tucson, offers legal advice during a full day of presentations. This year’s Employment Law Update will include 10 attorneys from four local law firms speaking on topics relevant to Tucson employers. “It is one of our signature events applicable to all businesses in the area,” said Ann Berkman, SHRM-GT program chair. “They discuss critical issues, and the legal advice is amazing for its cost.” She expects more than 200 attendees for this year’s
event. Typically 25 percent are from the general public. SHRM-GT is a trade association providing educational and networking events for those in human resources, an industry that has grown tremendously over the years. That growth brings greater responsibilities for staff members who once primarily handled hiring, payroll and benefits. HR professionals today often play a role in leadership training, diversity, employee accommodations and legal compliance. That’s one reason this conference is so well-attended. Berkman’s responsibilities include setting up workshops, finding speakers and providing events that help SHRMGT members receive recertification
credit. “The annual law update does that. With seven hours of learning content, it provides members with a lot of certification,” she said. HRTV is the 2015 Employment Law Update’s theme and will include these presentations: • Myth Busters – Myths on fair-labor acts, including employee classifications. • The Real World – How changes in social media impact those in HR and what responsibilities employees now have. • Law and Order – Americans with Disabilities Act and accommodations.
• Auditioning for the Big Show – What to do before the Department of Labor audits your workplace. • Top 10 (David Letterman style) – Things HR professionals should not be doing. The day includes a continental breakfast, a lunch panel discussion and commercial breaks – “what-to-do” scenarios. Speakers will allow time for questions and most will provide copies of their presentation to attendees. The speakers are: Sherry Downer, Erwin Kratz and Ronald Stolkin of Fennemore Craig; Melanie Pate and Aaron Arnson of Lewis Roca Rothgerber; Gary Cohen, Thom Cope and Sara Derrick of Mesch, Clark & Rothschild and Matt Milner and Joe Kroeger of Snell & Wilmer Berkman, who is the assistant human resources director for the Town of Marana, joined SHRM-GT 15 years ago and has been an active member, working on almost every committee and chairing the diversity, chapter engagement and membership committees. She served as president in 2013.
Greater Tucson has one of the strongest SHRM chapters in the nation, with 420 members, nearly a dozen active committees, monthly workshops that generally attract at least 100 people and two trade shows a year. It regularly receives Superior Merit awards from SHRM national. Past topics of the Employment Law Update have included medical marijuana, drug screening, preventing discrimi-
SHRM-GT’S 2015 EMPLOYMENT LAW UPDATE Westward Look Wyndham Resort & Spa, 245 E. Ina Road Wednesday, April 8 7:45 a.m. Registration & continental breakfast 8:30 a.m. to 5 p.m. $115 for SHRM-GT members, $145 after April 3 $200 for non-members Register: www.shrmgt.org or 520-299-6787 firstname.lastname@example.org
nation and executive compensation. An emphasis is placed on new laws and hot topics that affect HR departments in Tucson. “The overall purpose is to reach out to members and small businesses or anyone in the business community to give updates, things to look for and prepare for and how to operate their business in a legal way,” Berkman said. “We market this conference to a lot of businesses to learn about HR law.” SHRM-GT’s next large event – the annual National Speaker Presentation – is also open to the public. Motivational speaker “Antarctic” Mike Pierce will present “Leading at 90 Below Zero” on Sept. 8 at the Westward Look Wyndham Resort & Spa. Pierce uses stories from Antarctic history to illustrate takeaways that the audience can apply immediately. Pierce offers tools on how to attract and retain the best-performing people. “His program is highly engaging, energetic and practical,” said Trish Kordes, SHRM-GT president. More information will be available at shrmgt.org. Biz
PHOTO: KRIS HANNING
Women’s Rites Former Women’s Foundation Leader Honored By Valerie Vinyard It would be more appropriate for Laura Penny’s last name to be “Million.” Millions, after all, are what the 57-year-old helped raise during her 10year tenure as executive director of the Women’s Foundation of Southern Arizona, a supporting organization of the Community Foundation for Southern Arizona. As this year’s honoree for WFSA’s 22nd Annual Luncheon on April 22, Penny’s work has improved the organization in many ways since she started in July 2004. When she began, Penny had an endowment fund of about $250,000, a board of only nine, disaffected donors and a flagging number of volunteers. During her tenure, Penny increased WFSA’s assets tenfold, which has enabled strategic grantmaking to triple. Last year, $265,000 in grants were awarded to 17 organizations covering a wide range of needs such as job training, refugee resettlement, housing, financial education, reproductive healthcare, citizenship and student engagement in school. How did she do it? “You do it the old-fashioned way – you ask,” Penny said, laughing. “At the end of the day, though, that’s just money.” WFSA empowers women and girls 212 BizTucson
to improve their lives and their communities through five forces for change – leaders, donors, community, research As executive director, Laura Penny helped two important programs thrive at the Women’s Foundation of Southern Arizona. First, she helped relaunch the Unidas Girls’ Philanthropy Program. Each semester, Unidas brings together a diverse group of 15 to 20 high school girls from all walks of life and trains them in leadership, philanthropy, grantmaking and social justice issues. Unidas meets weekly through the semester, and the participants learn about strategic grantmaking. During those two-plus-hour meetings, the committee decides what organization or organizations should receive up to $10,000 in grant money. Prior recipients of grants have been the Esperanza Dance Project and a girls’ poetry slam group. In 2013, Penny also helped collaborate with the University of Arizona College of Social and Behavioral Sciences and the Valley Fund for the Advancement of Women and Girls to bring The OpEd Project to Tucson. The acclaimed national project aims to get women’s voices out in the public realm by teaching them how to write oped pieces or letters to the editor. In its first year, 18 women had more than 50 articles appear worldwide in such publications as the Los Angeles Times, The New York Times and Huffington Post.
and grants. Since its inception in 1991, the foundation has provided more than $2 million to 170 programs that serve women and girls in Southern Arizona. Now WFSA is headed by Dawne Bell, who returned to the Southwest after a stint in New York City as the director of development for Care for the Homeless. She has an additional 11 years of experience working as the executive director of a statewide nonprofit hospital foundation in New Mexico. Bell said with this year’s luncheon theme being leadership, Penny was a fitting choice as the honoree. “Honoring Laura Penny at our 22nd Annual Luncheon is the perfect tribute to her decade of service and advocacy for this community,” Bell said. “I join our dedicated donors, board of trustees, grantee partners, Unidas and Public Voices (OpEd) fellows, and volunteers in applauding the legacy Laura has left at the Women’s Foundation of Southern Arizona.” Penny feels overwhelmed to have her work recognized so publicly. “It is an honor to be in the company of previous Women’s Federation of Southern Arizona honorees who have worked so hard to improve the lives of women and girls in Southern Arizona,” she said. One of the foundation’s founders, Harriet Silverman, first met Penny www.BizTucson.com
about seven years ago. “By then I knew the Women’s Foundation was doing extraordinary things, and I was very proud as any mother would be of any of her children,” said Silverman, who remains a member of WFSA’s advisory council. “I always marveled at Laura’s ability to go through that field of various talents and know how to use them. She was just really an amazing executive, and she took the foundation to another level.” Silverman and WFSA co-founder Melody Robidoux first met through the Community Foundation for Southern Arizona in 1991. They were frustrated by the absence of equal rights and opportunities for women in Arizona. Consequently, the two pooled their resources and started what became WFSA. “Along the way, it had its growing pains,” Silverman recalled, “and Laura just shepherded these very talented women into a force to be reckoned with. She always did it in a gentle, positive way.” Cande Grogan was president of the foundation’s board and part of the committee that hired Penny in 2004. She has been involved with WFSA for about 15 years and remains a strong supporter. “Laura is inspirational,” said Grogan, a former restaurateur who used to own the popular Ovens in St. Philip’s Plaza. “She’s always struck me from the very beginning as straightforward, honest, interested and responsive. It was really gratifying to have her in that position and to get to know her better and better over the years.” Mel Dulaney-Moule is the communications and events coordinator for the foundation. She said because of the increasing support over the years, WFSA is able to distribute money to 15 to 22 organizations a year. “Penny calls herself an accidental fundraiser – which is actually quite amazing,” Dulaney-Moule said. “Grant making has become more strategic under her leadership. She has helped triple the monies we are able to give out in the community that directly impact woman and girls.” What’s next for Penny? For now, the avid hiker and backpacker is taking a break and sifting through opportunities that already are coming her way. The 36-year Tucson resident wants to pick her next move wisely. “This community has been very good to me, and I feel a commitment to give back,” said Penny, who celebrated her 30-year wedding anniversary with husband Steve Gottlieb last year. “I’m proud of building a community of men and women who care about equity and opportunities for women and girls,” she said. “As Bill Gates said, ‘If you’re only using 50 percent of the talent in the room, you’ll never get to the top.’ ”
22ND ANNUAL WOMEN’S FOUNDATION OF SOUTHERN ARIZONA LUNCHEON Tucson Convention Center 260 S. Church Ave. 11 a.m., Wednesday, April 22 Tickets are $75 each and $700 for a table of 10 until April 1. After that, tickets cost $85 each and $800 for a table of 10. Tickets are available at www.womengiving.org.
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BizCOMMERCIAL 2014 CCIM Forecast Winners Office Use Richard M. Kleiner Cushman & Wakefield/PICOR Vacancy rate: 2014 Forecast – 12.60 percent 2014 Actual – 12.60 percent 2015 Forecast – 12.45 percent Multi Family Arthur R. Wadlund Berkadia Vacancy rate: 2014 Forecast – 9.50 percent 2014 Actual – 8.87 percent 2015 Forecast – 8.35 percent Industrial Use Bob Davis Rein & Grossoehme Vacancy rate: 2014 Forecast – 10.50 percent 2014 Actual – 10.60 percent 2015 Forecast – 10.50 percent Residential Land Use Permits John Carroll Land Advisors Building permits: 2014 Forecast – 3,245 2014 Actual – 2,898 2015 Forecast – 3,131 Finance Sandra Barton Alliance Bank of Arizona 10-Year Treasury constant maturity rate 2014 Forecast – 3.10 percent 2014 Actual – 2.17 percent 2015 Forecast – 2.55 percent Retail Use Nancy McClure CBRE Vacancy rate: 2014 Forecast – 6.80 percent 2014 Actual – 6.70 percent 2015 Forecast – 6.57 percent Tucson Legends Dan Lyons and Andy Romo Photos Courtesy CCIM
Modest Growth Ahead Real Estate Pros Expect Uptick in 2015 By David Pittman If slow and steady growth actually does win races, the Tucson-area commercial real estate market is on the right track. The consensus of opinion from top prognosticators in virtually every real estate sector at the 24th annual CCIM Forecast is that Southern Arizona commercial markets will grow in 2015, but that growth will likely be modest at best. “There was consensus that there will be an uptick in just about every real estate category,” said Greg Boccardo, VP Southern Arizona chapter of CCIM and the moderator of the February forecast event. CCIM stands for certified commercial investment member, a designation received after completing a rigorous national CCIM curriculum. At the forecast event, those who made the most accurate predictions from a year ago in each commercial real estate sector – industrial, land, multifamily, office, retail and finance – make year-in-review presentations regarding their area of expertise and lead panel discussions among those making forecasts for 2015.
Richard Kleiner is a shareholder of Cushman & Wakefield/PICOR, where he specializes in the sale, leasing and investment of office and medical properties. Kleiner did something no one else was able to accomplish in the 2014 CCIM forecast competition – make a perfect prediction. Kleiner predicted the vacancy rate of metro Tucson office property would be 12.60 percent at the close of 2014 – which was exactly on target. In terms of leasing activity, Kleiner described the office sector as a “tenant’s market” with landlord’s funding incentives, such as tenant improvements and rent abatement. He said he is “bullish” on the Tucson commercial real estate market, particularly regarding medical office properties, which have seen more activity and higher occupancy than other office properties. “Tucson’s evolving healthcare landscape will be a significant change agent. With five of the community’s eight hospitals undergoing ownership transition, the magnitude of impact likely cannot be overstated.” www.BizTucson.com
However, Kleiner predicts the local office vacancy rate as a whole will drop slightly, to 12.45 percent, by year’s end. Multi-family
Art Wadlund, a Tucson real estate broker for 35 years, is now a senior partner at Berkadia. Wadlund is the 2014 winner of the CCIM forecasting award in the multifamily category, predicting the vacancy rate of the Tucson apartment market at the close of last year would be 9.50 percent. The actual vacancy rate was 8.87 percent. Wadlund said that as jobs go, so goes the apartment market. In 2014, metro Tucson added 8,300 new jobs, an increase of 2.3 percent – the best since 2006. There was a positive net absorption of 1,340 apartment units in 2014, significant when considering there were just 1,200 newly occupied units in the preceding two years combined. Wadlund predicted the apartment vacancy rate at year-end 2015 to be 8.35 percent. Industrial
Bob Davis, a commercial real estate broker for Rein & Grossoehme Commercial Real Estate, won the industrial award by forecasting the vacancy rate of leasable industrial space in metro Tucson at the close of 2014 would be 10.5 percent. The actual rate was 10.6 percent. Davis spoke of “the good, the bad and the ugly” of the Tucson industrial real estate market. On “the good” side, he spoke glowingly of the University of Arizona, great opportunities in logistics and trade, Ventana Medical Systems, tourism, Banner Health, Tech Launch Arizona and Startup Tucson. On “the bad” side, he discussed a WalletHub analysis that indicated Tucson was ranked the 143rd best place in the nation to find a job. Gilbert was the third best place to find a job; Chandler, sixth; Scottsdale, ninth; Peoria 14th; Tempe, 35th and Phoenix 71st. As for “the ugly,” Davis pointed to Tucson’s torpid absorption time continued on page 216 >>>
Lyons & Romo Honored as Tucson Real Estate Legends By David Pittman
Longtime business partners Dan Lyons and Andy Romo have joined a hall-offame list of real estate legends who were instrumental in building and shaping Tucson’s modern growth. The Lyons Romo Company, which was formed on a handshake by the two men in 1977, grew to become one of the largest real estate brokerages in Tucson with more than 60 agents. Both Lyons and Romo were on hand to accept the Tucson Commercial Real Estate Legends Awards, presented as part of the Southern Arizona CCIM Chapter’s annual market forecast program Feb. 10 at Tucson Marriott University Park. In 1959, Lyons graduated from the University of Arizona with a civil engineering degree. Early in his career Lyons worked for Hughes Aircraft, where he met a national legend – the eccentric aviator, movie maker, playboy, airline owner, defense manufacturer, land investor and recluse Howard Hughes, whom Lyons recalled, kept in contact with workers he knew in order to determine if his facility was being properly managed. Lyons was named a director at Union Bank and started a construction materials enterprise while still in his early 30s. After being hired as a civil engineer at the Pioneer Hotel, Lyons recognized opportunity. He was aware Union Bank wanted to build offices next to the Pioneer, which also was looking to expand. That led Lyons to form an investment group to purchase the hotel. On Jan. 26, 1963, a front-page headline in the Arizona Daily Star announced “4 Tucsonans Buy Pioneer Hotel.” The seller was Harold Steinfeld. The buy-
ers were Lyons, D.M. Lovitt, Maxfield Lininger and Jack Winn. It was Lyons’ first real estate deal. Lyons discovered, however, that the real estate agent brokering the Pioneer sale cleared more cash than he did. So he obtained a real estate license and joined Tucson Realty & Trust. His work now included banking, managing a hotel, operating a building materials business and transacting real estate deals. At TRT, Lyons met Romo, who was hired by the firm directly out of college. When Lyons and Romo teamed up to form their own agency, they figured their 14-year age difference was an advantage because between the two of them they knew about everybody in Tucson. Romo said they were fortunate to work in the golden age of Tucson when its economy flourished. Today he manages a personal and family portfolio of commercial real estate holdings under the names Romo Enterprises and Romo Investments. His parents were both successful in real estate. Together they built, bought and sold numerous Tucson homes in the 1930s and 1940s. In 1937, the family bought 2.5 acres at the southeast corner of First Avenue and River Road for $500 and years later sold to the City of Tucson for nearly 2,000 times the original investment. Romo’s roots trace back to the beginning of the Old Pueblo and the original Tucson Presidio, founded in 1775 by Spanish soldiers. One of Romo’s forefathers was the first U.S. Justice of the Peace in Arizona. His great-great grandfather was a member of the first Arizona Territorial Legislature and his father was Arizona’s first Hispanic dentist.
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continued from page 215 within the industrial sector, where it takes an average of 22.5 years for a vacant industrial property to be absorbed – compared to 4.7 years in Phoenix and 5.7 percent nationwide. As for his industrial vacancy rate prediction for 2015, Davis set it at 10.5 percent, a 0.1 percent drop. Land
John Carroll, who joined the Tucson office of Land Advisors Organization in 2012, focuses on the marketing of residential land and investment properties within Pima County. Carroll won the 2014 land category award by forecasting the total number of building permits issued last year for single-family and multifamily residential housing units at 3,245. The actual number was 2,898. Carroll said 55 percent of the 63 active local residential subdivisions have less than a year of needed land inventory. He said slower home sales in recent years have curtailed the securing of future lot inventories by homebuilders. “This land supply shortage will continue,” he said. “Homebuilders must be proactive in 2015 to add lot supply to the market.” Carroll said the homebuilding industry in Pima County has undergone a significant change, with the majority of large residential projects now owned by outside stakeholders. His projection for 2015 is 3,131. Finance
Sandra Barton, a Tucson native who in 2009 became the VP and senior commercial real estate officer of Alliance Bank of Arizona, won the 2014 finance category by forecasting the 10-year Treasury bill maturity rate would be 3.10 percent. The actual rate was 2.17 percent. Barton predicts that in 2015 GDP is likely to grow at a modest 2.5 to 3.0 percent, unemployment rates will drop to 5.4 percent, short-term interest rates will rise, and the 10-year Treasury rate will close the year at 2.55 percent. What’s the greatest challenge for Tucson’s economic recovery? “Jobs, jobs, jobs,” she said. “We need to figure out a way to attract new employers and keep the ones we have.” Retail
Nancy McClure has been in the commercial real estate field, specializing in retail properties, for more than 28 years. She is first VP at CBRE. She won the retail forecasting award by predicting the vacancy rate for Tucson commercial retail space at the close of 2014 would be 6.80 percent. The actual rate was 6.70 percent. She predicted the rate would be 6.57 at the end of this year. McClure said the retail vacancy rate in metro Tucson is exacerbated by eight vacant big box stores of plus-30,000 square feet. She said there is about 406,000 total square feet of absorbed big box space. McClure, who described herself as an eternal optimist, is bullish regarding Tucson’s commercial real estate market. “There’s a renewed spirit out there and Tucson has all the growth indicators to soar,” she said. Biz 216 BizTucson
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Carla Keegan Given 2015 Athena Award for Outstanding Community Service Carla Keegan, president and director of taxation services for Keegan, Linscott & Kenon, is the 2015 Athena Award winner for her outstanding dedication to Tucson community efforts. First awarded in 1975, the Athena Award is an annual award given by the Tucson Alumnae Panhellenic Association to recognize outstanding Tucson sorority or fraternity alumni in the areas of professional, Panhellenic and philanthropic achievement. “What an honor to win such a prestigious award, especially in the year the University of Arizona is celebrating 100 years of Greek life on campus,” Keegan said. She was given the award at the association’s annual luncheon on Feb. 21, which raises money for scholarships. Keegan was presented the award by past Alpha Omicron Pi Athena award winners Betsy Bolding (1986), Lynne Wood Dusenberry (2003) and Sharon Campbell (2007). Keegan was selected for her continued commitment to the community, playing a major role in helping more than 11 nonprofit organizations all while working as a director of a 48-person accounting firm. Over the years Keegan has had a substantial impact on the community through her ongoing service and compassion for the less fortunate, and she has shown dedication to helping charitable organizations develop solid fiscal plans, making them better stewards of their donor’s contributions.
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