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Embracing Diversity | Glades Economy | Healthcare Reform | Export Opportunities

A Quarterly Economic Development Publication

A Stellar Year for

Job Growth

Fall 2014

Embracing Diversity in Sports Organizations

Private Sector Driving Healthcare Reform, Says Florida Blue CEO Job Gains Through County Business Assistance Programs

A Stellar Year for New Job Creation and Retention

Education Lynn University Opens International Business Center BDB Partners with Lynn University Glades Training Program 12 Facts AboutPalm Beach County School District

Israel Offers Trade and Investment Opportunities



A Growing Market Opportunity

Clematis Street, West Palm Beach ©West Palm Beach DDA

News GrowFL Recognizes Four Palm Beach County Companies Forbes says West Palm Beach is #1 Relocations & Expansions

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Glades Sees Reinvestment,

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Welcome from the President TO OUR MEMBERS AND PARTNERS: This issue of Palm Beach County Business features an overview of the BDB’s record breaking 2013-2014 fiscal year and a summary of its corporate relocation and expansion projects. As you’ll see, Palm Beach County’s economic climate trended positively and is well-positioned for continued growth. Additionally, you’ll discover how the BDB proactively interacts with foreign markets – specifically Africa and Israel; learn about projects taking place in the Glades; and acquire knowledge about the future of health care from Florida Blue CEO, Pat Geraghty. I hope you enjoy reading Palm Beach County Business which is made possible with the support of the Palm Beach County Board of Commissioners, and the significant investments from our private partners notably, CareerSource, NextEra Energy, Inc. and Florida Crystals. As we proactively work to further Palm Beach County’s ever-thriving economy, please continue to follow us on Facebook and Twitter and watch four our enewsletters to stay well-informed on economic development and business news in Palm Beach County.

Kelly Smallridge President and CEO

Business Development Board of Palm Beach County, Inc. 310 Evernia Street | West Palm Beach, FL 33401 561.835.1008 | Palm Beach County’s Economic Development Resource

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Embracing Diversity in Sports Organizations

Photos Courtesy of The PGA of America

From left, William Rolack, Tom Cordova, Emily Ingram, and Hilary Shaev.

Building a diverse and inclusive organization is good for business, as well for society. That was the key message of several speakers at the third annual Sports Diversity & Inclusion Symposium held October 21-22 at PGA National Resort in Palm Beach Gardens. “The world of sports has made tremendous strides in the areas of diversity and inclusion over the years, but we all understand that more needs to be done,” said Peter P. Bevacqua CEO, The PGA of America. “We must be drivers for change, not just in sports, but society as well. Many people turn to sports as inspiration for acceptance and it is, therefore, essential that diversity and inclusion are part of our core.” Participants at the symposium included representatives of Major League Baseball, Major League Soccer, NASCAR, the National Basketball Association, National Collegiate Athletic Association, National Football League, National Hockey League and United States Sports are an important driver in the county’s economy. Last year, more than 122 sporting events supported $260 million in visitor spending and 180,000 hotel room nights, said Kayla French, director of marketing & business development, Palm Beach County Sports Commission.

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Olympic Committee. “We envision a day when every sport welcomes and celebrates people from all races, ethnicities, countries, religions, cultures, sexual orientations, and abilities, and that open participation by every single one is a given,” said Bevacqua. Panelists at a session on “Best Practices in Diversity and Inclusion” has some suggestions that could be Pete Bevacqua applied to any organization:  “You need to build a business case for these programs and look at the return on your investment,” said consultant Tom Cordova, president and chief creative officer, Cordova Marketing Group. “That means doing your research first.”  “Develop new pipelines of talent through community involvement and community partnerships,” said Emily Ingram, vice president, human resources, Golf Channel. “You have to be patient, though.”  “Be authentic and be unapologetic,” said Hilary Shaev, vice president, marketing, NBA/WNBA.  “Build a strong mentoring program,” said William Rolack, senior director of workforce Strategy, Diversity and Strategic Alliances, Major League Baseball. Summing up the views of participants, Dawn Harris, director of multicultural development, NASCAR, said, “We are all on a journey we still have much to learn.”

Pat Geraghty is excited by the opportunities created by national healthcare reform. “We are reinventing healthcare in our country, and the change that is in front of us will dwarf what has already happened,” said Geraghty, who is CEO of Florida Blue, at the BDB’s “CEO Spotlight” luncheon on August 21 at the Kravis Center. Noting that second enrollment period for insurance coverage under the Affordable Care Act (ACA) will begin November 15, Geraghty said it is the private sector that will be driving change in this sector. “We are open to innovation and working with the government to get things done, without being overregulated.” Geraghty, who is a member of the Florida Council of 100 and other statewide organizations, said healthcare is rapidly moving away from the traditional fee-for-service model, where the payment was based on the number of services a patient received. “We need a system built around value that rewards providers for quality outcomes and efficient delivery of care,” he said. “Incentives need to be based on keeping people well in the first place, and then being paid appropriately for delivering the right services in the right setting.” That might mean keeping a primary care clinic open in the evening so ill patients wouldn’t need to go to a hospital emergency room. Or it might be delivering telehealth services to patients at home, and monitoring their conditions remotely. As Geraghty said, the system should be built around the consumer, rather than being based on sickness. “Healthcare providers also need to talk to people more often about advance directives and end of life care,” he said. “Today, a family member doesn’t know the wishes of the patient and says do everything you can to keep them alive. However the quality of life should be a consideration as well as the quality of care.” Geraghty noted that Florida Blue has changed dramatically in recent years to remain a leader in the healthcare sector. A new subsidiary, GuideWell, now oversees GuideWell Health, which owns multispecialty physician practices and an emergency care facility, and GuideWell Connect, which operates a growing chain of retail centers across the state, including a facility in Boynton Beach. “People ask us why do we want to build new stores?” Geraghty said. “It’s because we offer a complex and very personal product. People want to connect with us face-to-face, ask questions or seek help in resolving a claim. Our members can also sit down with a nurse to create a personalized fitness assessment or provide flue shots. In fact, we are no longer just an insurer. We are a health solutions company.”

Private Sector Driving Healthcare Reform, Says Florida Blue CEO

Pat Geraghty, CEO of Florida Blue


Glades Sees Reinvestment, Job Gains Through County Business Assistance Programs

By Sherry Howard, Deputy Director Palm Beach County Department of Economic Sustainability A key focus of the County’s economic development efforts is Palm Beach County’s “other coast,” the Glades Region. More than $8.4 million has been invested in commercial expansions in the Glades through the County’s business assistance programs. These investments have leveraged total project costs in excess of $18 million, and will result in 275 new full time jobs. Working in concert with the Lake Okeechobee Regional Economic Alliance (LORE), the Board of County Commissioners carved out areas on Bacom Point Road and Main Street in Pahokee, and along Avenue A in Belle Glade as designated revitalization corridors, for a dedicated portion of the Section 108 Loan Pool to encourage business development in these economically distressed communities. The 108 program has been further leveraged by loan programs through the Department of Energy and the Department of Agriculture, making it possible for small businesses to accomplish their expansion goals and become a partner in the redevelopment of the Glades cities. The financing has helped companies with property acquisition, construction, machinery and equipment, and working capital costs. The most recent Glades projects underway include:  Renovation of the Belle Glade Old City Hall into a mixed-use development under construction by BI Development, LLC. This $2.5 Million project is transforming the long-abandoned structure, preserving its historical features, placing it back into productive use and enhancing the Avenue A streetscape.  EHR Tech LLC – this renovated office on Bacom Point Road in Pahokee houses the headquarters for a medical records software company that will install and operate integrated medical record keeping systems required by all physicians pursuant to a federal mandate. Additional projects are in the pipeline with the potential to invest more than $12 Million in capital costs and create another 200 jobs. Businesses are realizing the advantages to locating in the Glades, including the proximity to U.S. Route 27, the availability of vacant

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land, eligibility for Enterprise Zone tax credits or refunds, and access to capital. However, in order to sustain continued economic development, infrastructure improvements are needed to serve the commercial corridors and also enhance the quality of life for Glades residents. That is at the crux of the County’s most recent planning effort in the western community – the development of the Glades Region Master Plan. Infrastructure needs affecting drinking water, wastewater systems, roads, storm water drainage, and public transit in relation to employment centers have been analyzed, and priority recommendations for improvements are being formulated to create a comprehensive document that will serve as a guide in requesting implementation dollars from funding agencies. Among the recent visible improvements in the Glades has been the demolition of abandoned and unsafe structures and removal of asbestos. The County’s Glades Demolition Program in cooperation with the Glades city building departments and law enforcement has invested nearly $1.2 Million to demolish 56 buildings that have become eyesores and havens for criminal activity. This is an important step toward creating a better community and an environment that is conducive to economic development. And the work continues.


Stellar Year

for New Job Creation and Retention

pipeline,” Smallridge said. ‘Today, companies of all sizes and industries are strongly considering Palm Beach County for their corporate and regional headquarters.” At the annual meeting, Smallridge thanked outgoing BDB Chairman Frank Compiani for his leadership and emphasized the importance of With the retention of Office Depot’s corporate headquarters, a major support from the public sector, including the State of Florida, Enterprise Pratt & Whitney expansion, and the arrival of nationally known Florida, Palm Beach County and the county’s municipalities. Looking ahead, Smallridge said the BDB will continue to market healthcare and financial service companies, Palm Beach County had a Palm Beach County in the most effective and efficient possible manner. stellar year in terms of economic expansions and relocations. Kelly Smallridge, president and CEO, Business Development She cited the BDB’s success in bringing together educational Board of Palm Beach County, delivered that upbeat message to institutions from throughout the county on a website ( attendees at the BDB’s annual “Economic Development Update” on as a “one-stop” informational resource for businesses considering September 18. “Our county’s unemployment rate continues to fall, relocating here. “We have great schools, but we were not effective in showcasing and our average wages are the highest in Florida,” she said. A total of 3,820 jobs were created or retained during the BDB’s and branding what they have to offer,” she said. “Now, prospective CEOs 2013-14 fiscal year ending September 30, according to Smallridge. can get a look at the schools, colleges and universities near their site, That’s a substantial increase from the 2,500 jobs in the prior fiscal year. and learn about our programs like Bright Futures and the Florida prepaid college plan.” During the fiscal year, the BDB facilitated a Smallridge cited the success of another BDB total of 9 relocations and 11 retention/ program, the “behind the gates” initiative, which expansion projects that involve a direct is designed to reach out to CEOs with second investment of more than $55 million and homes in Palm Beach County and discuss the include the occupation of 367,457 square feet in advantages or bringing their companies here. additional real estate. A third BDB program focuses on economic “Best of all, we have great momentum going development of the county’s Glades region. “We forward,” she said. In fact, another new brought in national site selection consultants in expansion project – 100 new jobs being created manufacturing and distribution, and showcased by Medytox – was announced a week after the our industrial sites,” she said. “We also partner meeting. with Lake Okeechobee Regional Economic Smallridge cited three “game changer” Alliance (LORE) on projects to reduce the high projects for the past year: unemployment rate in the region.”  Office Depot’s decision to remain in Boca Frank Compiani, 2013-2014 BDB Chairman Summing up Palm Beach County’s many Raton following its merger with Illinoisbusiness advantages, Smallridge said, “We have low taxes and a high based Office Max.  Cancer Treatment Centers of America relocating to the county quality of life. Our workforce training and education programs are first rate. We also enjoy the benefits of city, county and state governments bringing 225 new jobs.  Pratt & Whitney’s expansion into a new 100,000-square-foot that recognize the importance of economic development, helping us to provide a seamless approach. We are bullish on Palm Beach County facility built by Hedrick Brothers, a longtime BDB member. “Five years ago, we had only a few corporate headquarters in the and thank you for your support.”


Palm Beach County’s Economic Development Resource


Corporate Relocation Projects

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BDB by the Numbers Driven by Results



Lynn University Opens

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International Business Center

Lynn University opened a new International Business Center in August on its Boca Raton campus. The three-story facility includes the following features:  34,000 square feet of flexible spaces and common work areas to foster impromptu collaboration.  11 classrooms, 12 collaborative rooms, 2 conference rooms, 1 entrepreneur center, 22 staff and faculty work spaces, 2 recycling stations, a computer lab space for outside organizations (for-profit and not-forprofit) to come into the college for selected, short-term projects.  Technology systems that enhance the educational environment.  A flexible design to allow for efficient and effective styles of teaching and learning from focused study to group study as well as traditional classroom learning to promote the values of entrepreneurship of global business.  A design that is targeting the Leadership in Energy and Environmental Design (LEED) Platinum certification—the highest level of certification awarded by the United States Green Building Council (USGBC).  A design that takes advantage of natural sunlight as a lighting source, decreasing the need for artificial lighting and will include rainwater harvesting to reduce the use of ground water.

BDB Partners with Lynn University A dynamic partnership between Lynn University and the Business Development Board of Palm Beach County brings students and businesses together for research projects. The university’s undergraduate and MBA students gain hands-on, real world experience, while Palm Beach County businesses have additional resources for growth-enhancing projects. Currently, the BDB is working with an MBA marketing class on “Millennials,” a marketing plan to attract the Millennial generation to Palm Beach County.

Glades Training Program Helps Residents Gain Construction Jobs A new education and training program in Belle Glade is helping residents of Palm Beach County’s western communities find jobs in the construction industry. More than 20 students completed the pre-apprenticeship program – a partnership of Palm Beach County Public Schools, CareerSource Palm Beach County and Florida Training Services held at West Technical Education Center – in June, and every one of them obtained jobs in the area. “CareerSource Palm Beach County wants to do all it can to help Glades residents get the career training they need for the jobs available right now in their local communities,” said Steve Craig, president and CEO of CareerSource Palm Beach County. “That’s why we are very pleased to partner in this initiative that helped more than 20 people gain the skills needed for immediate employment and to connect employers with well-trained employees who are ready-to-work.,” Jeff McGinley, president, Florida Training Services, Inc. administers the eightmonth pre-apprenticeship program, with classes held in the evenings. “We provide education to people who have little or no experience in construction and help them develop the skills and knowledge they need to enter the trades,” he said. “That includes basic tool handling and safety practices.” The curriculum covers carpentry, plumbing, electrical, HVAC (heating, ventilation and air conditioning), and graduates receive a certificate of completion from the Florida Department of Education, according to McGinley. They also receive safety training based on the Occupational Safety and Health Administration (OSHA) standards and instruction in cardiopulmonary resuscitation (CPR). “We enjoy working with the Glades area students ,” McGinley said. “We want to continue to help them find jobs in today’s stronger construction economy.”

12 Facts About Palm Beach County School District district schools earned Newsweek’s 1 Ten Best High Schools In America 2013. High School, Boca Raton High 2 Suncoast School and Alexander W. Dreyfoos School of the Arts ranked in the Top 100 nationwide on a list released by The Washington Post showing the most challenging high schools in the nation in 2014. than 92 percent of district high 3 More school graduates pursue college or other post-secondary education. Education Week recognized the district as having the eighth-highest graduation rate in the nation. 11,500 graduates were awarded 4 In$1102013,million in scholarships. Palm Beach County School District is the 5 fifth largest school district in Florida and 11th largest in the continental U.S. It is the top-performing Urban School District in Florida. The school district is comprised of 106

6 elementary schools, 34 middle schools, 23 high schools and 13 other kinds of schools. The district has 252 award-winning

7 Choice Programs and Career Academies. Palm Beach County has more than 8 12,000 students enrolled in charter schools. It is among the nation’s 10 districts that experienced the fastest growing charter school population. Boca Raton Elementary School is the

9 oldest school in the Palm Beach County School system still in existence. The Palm Beach County School District

10 is the largest employer in Palm Beach County with approximately 22,000 employees and 37,000 volunteers.

11 The average teacher salary is $51,228. In the district, 146 languages are spoken 191 different countries and 12 from territories of birth. SOURCES: Palm Beach County School District,,,

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Offers Trade and Investment Opportunities

From left, John Deip, regional manager, Enterprise Florida; Elizabeth Arevalo, Business Development Board; Nurit Gazit and Elysa Rapoport, Enterprise Florida’s Israel Office; and Fred Glickman, vice president, international operations, Enterprise Florida.

Palm Beach County and Israel share strong clusters in life sciences, Florida market,” he said. “We also assist many small to mid-size healthcare and aerospace/aviation, making them natural partners for Florida companies seeking an export niche in Israel or other markets trade and investment. To take just one example, Israeli distributors in the region.” Nurit Gazit, director, and Elysa Rapoport, imported $2 billion in medical and business manager of Enterprise Florida‘s Israel pharmaceutical products in 2013. Office, said Palm Beach County’s world-class On September 4, representatives of research institutions and life science Enterprise Florida discussed those “Trade infrastructure were of particular interest to and Investment Opportunities in Israel” at a Israeli companies. “We also want to support special Business Development Board session. the two-way flow of R&D investment,” added “Our job is to help you export more Rapoport. “That will help Florida build a products and services,” said John Deip, culture of entrepreneurship and innovation.” regional manager, Enterprise Florida. “We  Life sciences Gazit noted that Israel has one of the can help with free export assistance,  Healthcare most stable economies in the world with trade mission, and grants for qualified more companies traded on the NASDAQ Florida companies.”  Information technology than any other foreign country except China. Last year, Enterprise Florida established “Israel also has the highest concentration of an office in Tel Aviv to help foster those  Aviation/aerospace startups in the world,” she added. “When connections through networking events, Israeli companies come to the U.S., they trade shows and other promotional  Renewable energy usually bring in one or two people and hire opportunities, said Fred Glickman, vice  Security and defense more locally as they grow. We think there are president, international operations. “There excellent opportunities for Palm Beach are many Israel start-up and technologies  Telecommunications County companies.” companies that want to penetrate the

Key Trade and Investment


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A Growing Market Opportunity Neville Matjie, trade and investment director for the South African When Palm Beach County companies think of exporting their products and services, Africa is usually not high on the list of target markets. But province of KwaZulu -Natal, noted that medical equipment, heavy there are rapidly emerging trade opportunities in fields as diverse as equipment and infrastructure are three areas where Florida companies electronics, healthcare and construction-related products and services. can be competitive in the South African market. “Many South African Already more than 400 U.S. companies have established operations companies are interested in building partnerships with Florida in South Africa, which provides a readily accessible platform for trade and investment, according to Enterprise Florida representatives at an August 19 event sponsored by the Business Development Board. “If you have a product or professional service, there is probably a need for it in Africa,” said Brian Salter, Director for Enterprise Florida, International TradeAfrica. “Our team is cultivating the partnerships that can help your business to grow.” From a continental perspective, there are 54 countries in the African Union, which has a population of 1.3 billion and the largest-growing middle class in the world. There are also a number of regional trade pacts, creating opportunities for Florida companies to roll out long-term export programs. The food-processing sector is one example. “Right now, Ghana is a major producer of tomatoes, but they are shipped to Europe for processing,” Salter said. Solar energy and healthcare are two other growing sectors throughout Africa. Salter noted that passage of the African Growth and Opportunity Act (AGOA) in 2000 opened the door for African products to come into the U.S. duty free. “We From left, Brian Salter, Abigail Ellary, Thembelihle Ndlovu and Neville Matjie have not seen a lot of imports under that program, and now we are focusing on helping our Florida companies with exports,” businesses,” he said, noting that a strategic infrastructure program is a he said. “Our number one market is South Africa, and we want to help high priority with the regional government. Salter added that Kenya also is also investing in a major businesses put deals together.” Abigail Ellary, director at Enterprise Florida’s office in Durban, infrastructure program to help modernize the country and create local added, ‘We are your boots on the ground - not just for South Africa, but jobs. “If you partner with a homegrown company that can get a project contract, you can increase your exports sales and profitability.” for Africa as a whole.”

South Africa’s Top Export Opportunities


Aviation Automotive parts and line technology Agricultural equipment and processing machinery Business processing outsourcing and electro technical Clean Technologies Chemicals and plastics fabrication Construction equipment Consumer/household/sporting goods


Engineering and consultancy services in construction, waste management, industrial and processing equipment machinery Medical equipment Mining equipment Power generation and supply Renewable energy Transport infrastructure

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News Events GrowFL Recognizes Four Palm Beach County Companies

Robert Stevens

GrowFl has recognized four Palm Beach County companies as winners of this year’s Florida Companies to WatchSM program: Akron Biotech which provides raw materials and biotools to the stem cell industry; Blinc International, a cosmetic company; MobileHelp, the developer of a mobile personal emergency device; and Distinctive Kitchen and Baths a manufacturer and distributer of kitchen and bath products. “The BDB is proud that four Palm Beach County companies have been selected as winners of this year’s Florida Companies to Watch program,” said Kelly Smallridge, BDB President and CEO. These companies are part of Palm Beach County’s thriving entrepreneurial ecosystem and they contribute significantly to the area’s job growth.” The BDB is the recognized local partner for the GrowFL Economic Gardening program. Florida Companies to Watch is an awards program that celebrates privately held, second-stage companies headquartered in the state. To be eligible, applicants must employ between 6 and 99 full-time equivalent employees and have between $750,000 and $50 million in annual revenue or working capital in place. Awardees are selected for demonstrating the intent and capacity to grow based on employee or sales growth, exceptional entrepreneurial leadership, sustainable competitive advantage, outstanding corporate culture, inspired community giving and other notable strengths.

Forbes says West Palm Beach is #1 Forbes magazine has named West Palm Beach as the top city in Florida for business and careers. From a national perspective, West Palm Beach was ranked No. 54. The top three cities were Raleigh, N.C., Des Moines, Iowa, and Provo, Utah. West Palm Beach also made the Forbes lists for one of the best places for education (No. 55), job growth (No. 105) and the cost of doing business (No. 142).

Relocations & Expansions With support from Palm Beach County, Enterprise Florida and local municipalities, the BDB recently facilitated these corporate expansion and relocation projects: DRB Capital, LLC’s expansion at its Palm Beach County operations. DRB Capital provides liquidity solutions to individuals and small/medium size businesses. DRB’s core businesses include structured settlement and annuity monetization and litigation funding, via its US Claims brand. DRB Capital leases 19,223 square feet located at 1625 S. Congress Avenue in Delray Beach and will add 75 new positions with an average annual salary of $70,629. DRB Capital had 76 employees at the time the application was submitted. The Business Development Board assisted DRB Capital through the incentive process with the State of Florida and City of Delray Beach. Glenn E. Gromann, Esq. introduced DRB Capital to the BDB and coordinated the incentives applications for the company through the BDB. DRB Capital received a Qualified Target Industry Tax Refund of

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$450,000 with $360,000 from the State of Florida and $90,000 from the City of Delray Beach. Vicinitas Cancer Care, Cancer Treatment Centers of America® Preferred Provider Alliance, offers patients hope in a setting close to home by coordinating care within a partnership of physicians and integrative medical professionals. Located in Boca Raton, the company will occupy 45,000 square feet of office space and will have 200 full-time employees over the next five years. Vicinitas projects a capital investment of approximately $4 million to renovate and equip their space. The BDB assisted Vicintas with site selection, incentive package coordination, and workforce and training needs. The company received a $360,000 training grant from the State of Florida, as well as Qualified Target Industry Tax Refund (QTI) and Quick Action Closing Fund incentives totaling $1.45 million with $1.1 million from the State of Florida and a $350,000 contribution from the City of Boca Raton.

Palm Beach State College breaks ground for west central campus More than 100 business leaders, community residents and elected officials joined with Palm Beach State College Nov. 7 to officially break ground for the College’s new campus in Loxahatchee Groves. The 75-acre site is on Southern Boulevard west of B Road. Construction will begin soon on the first building of Phase I, and the campus is slated to open in 2016. Hoisting the shovels at the groundbreaking ceremony were, from left:

DIGGING IN Shreya Kuntawala, legislative assistant to State Sen. Joseph Abruzzo Rachael Ondrus, executive director, Palm Beach County Legislative Delegation Mark Pafford, state representative William Underwood, Loxahatchee Groves town manager Lori Berman, state representative Ryan Liang, Loxahatchee Groves councilman Noel Guillama, PBSC Foundation board chair Ron Jarriel, Loxahatchee Groves vice mayor and Dave Browning, Loxahatchee Groves mayor Dr. Dennis P. Gallon, PBSC president Carolyn Williams, Charles Cross, Wendy Link, William Berger, PBSC trustees and Patricia Medina, student trustee Kent Long, senior vice president, Balfour Beatty Construction Jim Rockett, Loxahatchee Groves councilman Todd Bonlarron, legislative affairs director, Palm Beach County Legislative Delegation Melissa McKinlay, newly elected Palm Beach County Commissioner Kelly Smallridge, president and CEO, Business Development Board of Palm Beach County

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