SpaceCoast BUSINESS Special Feature - One Vote Counts

One Vote

SPECIAL FEATURE

Counts

How a SINGLE VOTE Changed the Economic Future of the Space Coast

IF YOU CAN DREAM IT,

WE CAN BUILD IT

3 to 2

Hindsight is not

always 20/20

F

utures often hinge on one fateful decision. Ronald Wayne sold his 10 percent ownership share of Apple, which he founded along with Steve Wozniak and Steve Jobs, for $800. Today, his portion of the company would be worth $75.5 billion.

Another momentous decision was made by this county a few years back. Many remember the report CBS’ newsmagazine "60 Minutes" did on the Space Coast in 2012. It was a funeral dirge broadcast across the country. According to this narrative, the area that had been on the cutting edge of American space exploration was passing into the sunset, right along with retirement of the Space Shuttle.

However, instead of believing our best days were past, a group of leaders anticipated the program’s conclusion and began working to diversify the economic base of Brevard County. Their goal was to provide high-paying jobs for the incredible talent pool that was assembled in the region.

The first major company the area landed was Embraer, the Brazilian executive aircraft manufacturer that wanted to start building certain models of its hugely popular jets in the United States. The competition to land this very desirable high-tech, high-wage firm was intense.

Yet, the package that led to what became a wave of jobs passed the county commission by the narrowest of majorities.

By a three-to-two vote, it almost did not happen.

Imagine if‌ I

magine if Ferdinand and Isabella had decided against backing Columbus’ voyage? Or Congress chose not to support the transcontinental railroad, or, a century later, the interstate highway system? Imagine if our governmental leaders had said no to the vision of landing men on the moon and returning them safely?

If any of those things had not happened, the world we know would not exist.

The Space Coast has generated a momentum in the last few years that is the envy of other regions across the state and across the nation. But momentum is a perilous thing to maintain.

Ask the Atlanta Falcons, who were up by 25 points in the third quarter of this year’s Super Bowl and ended up losing in overtime to the Patriots.

It almost did not happen

Instead of doing nothing, we did something Some believe the economic phenomenon we have seen on the Space Coast as a hub of aerospace activity, much like Orlando is the theme park capitol of the world, can happen without a coordinated plan and a collaborative business and civic environment. Experience tells us that nothing could be further from the truth. Smart growth areas around the country happen where the business and civic architecture synergize their efforts to maximize the potential and the assets of a region.

For some who were not here or are not old enough to remember what happened when the Saturn/Apollo program ended in the early seventies, this might sound hyperbolic.

For those who do, the efforts of the leadership in the area when the Shuttle was decommissioned should be hailed as not only responsible, but visionary. The goal was to break the boom-and-bust cycle of being a one-industry community.

Had efforts to make Brevard County the home of America’s space program been met locally with resistance and cries of “corporate welfare,” like the reaction recently for efforts

to make us a 21st-century tech hub, today we would be another sleepy beach community. Instead of sitting back and doing nothing, however, we did something so we would not become another has-been industry graveyard.

By a 3-to-2 vote, this county signaled it was open for business to high-tech industries and set the trajectory for economic expansion. The first win in that effort was an intense national competition to be the location for Embarer’s transformational project. Not only was it a momentous gain for the area, there was an extraordinary cascading effect of other companies that came to the Space Coast, which continues to this day.

But it almost did not happen. The first domino to fall, which began to attract the interest of other national and international players to this area, came within one vote of not happening. If that vote had not passed, would Northrup Grumman have located its Design Center of Excellence here?

Would SpaceX and Blue Origin be here? Would OneWeb be designing, building and launching satellites here? It is impossible to say for sure, but it is certainly doubtful.

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S

ometimes when you are too close to something, you do not realize how remarkable it is. What has and is happening on the Space Coast is a model for economic development around the state and the country. It will be studied in classrooms, boardrooms and by civic leaders for years to come.

Currently Brevard County is #2 for Metro areas with Fastest Job Growth in the Country.

Multiplying Impact: Bring one high-paying, high-tech job to the area and it generates a domino effect of three additional jobs created. Of course, the loss of one job causes the dominoes to fall in the opposite direction.

ATTRACT. RETAIN. GROW.

Are We Too Close To See It?

AAR Airlift Group Anuva Manufacturing Services Avidyne Axyal Space Coast Barn Light Electric Company Blue Origin Ecklers Automotive Embraer Erchonia Harris Corporation I.O., Inc Intellifuel Systems, Inc International Municipal Sign Association Knight's Armament L-3 Communications Lockheed Martin MC Assembly Merritt Island Boat Works North American Surveillance Systems Northrop Grumman Corporation Nuance Communications, Inc OneWeb Satellites Paragon Plastics Professional Aircraft Accessories Project Taylor Satcom Direct Stategic Weapons System Ashore Sun Nuclear Corporation Teletech The Boeing Company The Brix Project Brewery United Service Source, Inc V&N Advanced Automation Systems Vectorworks Marine, LLC Vision Systems North America

Desirability and affordability are important criteria for a region's smart growth potential. But one of the most compelling factors for site selectors is what is the business climate both in the state and in the local community.

Celebrating the W

BIG Life

hy is the Space Coast so attractive to both businesses and employees? There are a host of reasons, but let us begin with a few simple comparisons. Recently, Silicon Valley reached a historic benchmark — while hosting one of the largest homeless populations in the nation, they also have the highest prices for a median home in America — a whopping $1 million.

$554,600; in metro Washington it is $383,300; and in the Research Triangle it is $221,000 and rising. This may explain why this region was rated the 7th best medium-sized metro area for home ownership in the United States by NerdWallet.

These numbers represent funds that those living here can invest in life enrichment and bettering their own future.

What type of home can you buy in Brevard County for $1 million? More importantly, think about the home you can buy here for a half or a quarter of that price. In fact, the median home value here is $185,000, and that is with prices having gone up 12.3 percent in the last year. Yet, our wage scale for engineering positions is competitive with the west coast.

What is more, wherever you live on the Space Coast, you are never more than 20 minutes from the ocean, with enviable commute times. Add to that the fact that this county boasts more waterfront property than any county in the country, with no private beaches on our 72 miles of coastline.

The median price for a home in other high-tech markets is equally high. In Austin it is $409,000; in Boston it climbs to

Unlike other Florida regions, where the economy is service-based exclusively, Brevard enjoys an industry and manufacturing-based economy, which the service professions support. This results

Median Home Value

Brevard $185,000

Silicon Valley $1,000,000

in a much more diverse and robust economic base, which in turn attracts the highest caliber medical, legal, construction and service job opportunities. For the dual-income family, this diversity of career prospects creates a win/win scenario.

Desirability and affordability are important criteria for a region’s smart growth potential. But one of the most compelling factors for those who make site selection their business and who consult with major firms as they make these critical decisions is the business climate both in the state and in the local community.

In recent history, the governor’s goal of creating 1 million jobs in the state and his “Florida Is Open for Business” campaign were a clear signal that we were as welcoming to businesses as we were to tourists.

Recently, that message has been drowned out by a vocal minority who put ideology over the realities of how job creation takes place. It is time for common sense to prevail and the economic leadership in this area to be given the tools to help Brevard continue its current upward trajectory.

Austin, TX $409,000

Washington Metro $383,300

Smart

F

or the coastal communities of Florida, the question is not “Will we grow?” but “How will we grow?” Most studies indicate that Brevard will have well over 600,000 residents by the 2020 census. This presents tremendous challenges and opportunities.

Business and civic leadership have a duty to help determine how growth takes place for the maximum benefit of the maximum number of people. Common sense tells us that if growth is not planned holistically, considering the needs and aspirations of all the key constituents, along with the essential factors included in smart growth, it can take scores of years to rectify the shortsightedness.

This is the tipping point where the Space Coast now stands. In 2014, the Blue Ribbon Transportation Advisory Committee submitted its report to the Board of County Commissioners.

The executive summary is telling.

Recognizing the critical role that infrastructure plays in promoting economic development and community welfare, as well as the burgeoning mismatch between infrastructure revenues and needs, the Brevard County Board of County Commissioners established the Transportation Infrastructure Advisory Board (hereafter, Blue Ribbon Advisory Committee or BRAC) on April 2, 2013.

Growth Business and civic leadership have a duty to help determine how growth takes place for the maximum benefit of the maximum number of people.

Some, however, would defund economic development in order to put funds into infrastructure improvements, sighting the importance of infrastructure in economic growth. However, this is like someone going on unemployment benefits to spend more time with their family; it is not either/or, it is both/and.

Thoughtful and well-planned economic development causes our tax base to increase, providing a broader distribution of expenses involved in the type of infrastructure improvements and maintenance that this community needs.

Another smart growth factor is education. It not only provides a talent pipeline for a robust economy; it is also a must when attracting both businesses and families to this area. Currently, Brevard Public Schools are ranked #5 in best school districts in Florida, while Eastern Florida State College was ranked #1

by Schools.com for community colleges in Florida. Florida Institute of Technology is world-class in its reputation as a center for technical education and research.

When companies and people consider Brevard County as a place to locate their business or their family, quality of life issues like infrastructure and education are the first things to be considered.

“ “Transportation capacity investment has not kept pace with this growth, and many roads are near or at their planned capacity.”

“

The report is peppered with observations like: “Every $1 spent to keep a road in good condition avoids $6–$14 needed later to rebuild the same road once it has deteriorated significantly.”

They also noted, “Transportation capacity investment has not kept pace with this growth, and many roads are near or at their planned capacity.” Infrastructure, education/talent pipeline and quality of life are all essential elements in the economic development formula.

Voices from the Community Having worked as a general contractor in this area for a number of years, I know firsthand how important it is for the government sector and the commercial sector to be cooperating together for the growth and the betterment of our community. Failure in this area is not an option.

Mike Williams, CEO MH Williams Construction Group

Hotels love tourists, and we also love our special corporate, contractor and government segment guests that have resulted from the economic development activity at the Orlando Melbourne International Airport. It has driven demand for accommodations to all-time highs for this market area.

Jim Ridenour, Marriott Courtyard and Residents Inn

To help the Space Coast recover from the worst recession of our time, the EDC put together a group of local professionals who coordinated with local government councils, commissions and directors to streamline the review and approval processes. This was done to attract business and to show the business-friendly attitude of the municipalities. It is a testimony of what can be accomplished when business and government work together towards a common goal.

Bruce A. Moia. P.E. President, MBV Engineering, Inc.

The Space Coast is a success story for what can happen when government leaders and the business community come together to promote the health and growth of a regional economy. Working together, we can ensure the Space Coast remains a great place to live, work and do business.

Business Voice Chairman, Larry McIntyre

Everywhere in the world, economic development stands on three legs; recruit, retain and grow. All three are essential to smart growth. In the past five years, Brevard County is the new national standard for economic development achievement. We must ensure our future with leaders who understand collaboration, not contention, and can cooperate to set a vision for continued prosperity.

CEO SCB Marketing, Jeff Piersall

As a business man who has served on the county commission, as well as numerous planning and advisory councils, I cannot say it often enough or emphatically enough that the engagement of the business community is essential in shaping policy and the future growth, both economically and culturally, of our county.

Former County Commissioner, Robin Fisher

There is no question the Space Coast has undergone a great transformation since the retirement of the Shuttle. In order to build on the momentum, set in motion by these economic dominoes, the business community and local government leaders must continue to collaborate to ensure the local and state government help, and not hinder, our regional economy.

Business Voice Executive Director, Kathryn Rudloff

We are at an interesting crossroads in Brevard. Will we build on the hard work and success that has occurred or will we take steps backward? We need to raise everyone’s standard of living. The only way we can make it happen is by being well-balanced with all interested parties and by being well-organized to address the challenges and take advantage of the opportunities in front of us.

Brent Peoples, Raymond James

Business Voice brings together business leaders from our community and region who support smart business decisions, a strong economy and promote the creation of high wage jobs. This is a crucial component in continuing the trajectory the Space Coast is currently enjoying.

Scott Sorensen, CEO Sorsensen Moving and Storage

A Time To Engage T

he Space Coast has a rich history of shaping the future, but it is a history that is still being written. Common sense demands that we carefully examine the factors that have brought us here and continue to support those efforts.

Where there are high-paying jobs, there is the opportunity for the opening of a dance studio, a specialty store, a new restaurant or a variety of professions in law or healthcare. This makes the area that much more attractive to the spouses of those who are recruited here for engineering or computer science jobs.

Successful regions who are experiencing smart growth share certain common factors. These are: 1. Collaboration: Instead of education, business and civic engagement being siloed, they embrace partnership, a “raise all the boats in the harbor” approach.

3. Life & Culture: This community supports a big life, just like it does big opportunities for professional fulfillment.

This is where people want to live and work.

4. Entrepreneurial Ecosystem: The biggest job creator in the country is the scaling business with more than 10 employees and $2 million in annual revenue. Fortunately, this area is fertile ground for these entrepreneurial endeavors.

“ “The time to repair the roof is when the sun is shining.”

John F. Kennedy

“

2. Talent Pool Development: Talent is the primary currency in the competition to create and sustain jobs.

With the caliber of schools from kindergarten through the graduate level, this area is in an ideal position.

Now is the time for the people of this community to come together and recognize the future will not happen by accident or default, but only by design and united effort. Therefore, every vote counts in driving that future and potential leaders must step from the sidelines into the positions of service and crucial decision making. Business Voice of Florida’s Space Coast is a vehicle for educating the business community about strategic policy and training potential pro-business candidates to run successful campaigns and to be effective leaders.

Here are Four Things every business leader can do to address policies and politics with employees: 1. Include a legislative or policy update in newsletters or staff briefings. Let them know issues that pose a risk and why.

2. Share policy-related news stories from Brevard, Tallahassee or Washington; look for articles that focus on policy, not political partisanship.

3. Share data that drives your policy decisions and how policies impact your company.

4. Finally, all of this should be done to empower your employees with knowledge, not to push your personal political beliefs or direct them to action.

PO Box 360822 Melbourne, FL 32936 321-549-7852 businessvoicepac.com

QUALITY

COMPANY & COMMUNITY

CAREERS

Investing in a Healthier Brevard Past 5 Years: By the Numbers

8,800+

HEALTH FIRST ASSOCIATES

25+

PERCENT

JOB GROWTH

CAPITAL INVESTMENT

$366

million INVESTED IN TECHNOLOGY AND FACILITY IMPROVEMENTS

PERCENT

AVERAGE WAGE INCREASE

CHARITABLE INVESTMENT

$637

million

HEALTH FIRST NATIONAL QUALITY OUTCOMES

IMPROVED BY:

22.7

GIVEN BACK TO BREVARD

65% IN THE PAST 5 YEARS

Health First performance includes Hospitals, Health Plans, Home Care, Hospice, Medical Group and Ambulatory Care, including registries; Utilized ALL available sources of publicly and externally reported measures.