25 S. Garden Street · PO Box 1289 · Marion, NC 28752
Phone [828] 652-9391 · Fax [828] 652-8775
Email: meda@mcdowell.main.nc.us










MEDA Quarterly News

APR-JUN 2001 / Vol. 3

 
McDowell Economic Development Association, Inc.
25 South Garden Street
P.O. Box 1289
Marion, NC 28752

THE VALUE OF EXISTING INDUSTRY

The purpose of the Industry Product Showcase and the Industry Visitation/Planning Initiative is based on the recognition that existing industry plays a vital role in the lives of the citizen's of this community. It can easily be argued that every facet of community life is affected by the existence, the quality and the health of our existing manufacturing base. What is the value of industry? How can it be measured? How can it be explained and understood? The questions have several obvious answers but the truth is that the full value and impact is really not understood and is more complex and difficult to determine than might be realized. The following serves to summarize a number of issues that address these questions.
 
 

Employment

The manufacturing sector is the major employer in McDowell County. McDowell County has just over 20,000 jobs in its labor market and approximately 53% of this labor force are employed in manufacturing jobs. This is actually a very high percentage with McDowell County ranking third in the State of North Carolina and among the top counties in the nation. Nine of the top twelve employers in McDowell County are existing industries with only the School System, the Prison System and the Hospital being in this ranking.

 
Wages and Salaries

Recognizing that existing industry is the primary employer in the County is only the beginning. When one looks at the composition of wages and salaries in our local economy, you find that the manufacturing sector pays 64.6% of the entire wages and salaries generated. In simple terms, this means that manufacturing pays more as a percentage of the total wages paid than other sectors in the local economy. The impact of this in terms of home sales, vehicle purchases, and purchasing other services is best understood by recognizing that one manufacturing job has an impact of $53,000 in annual retail sales on a national level.

 
Tax Base

The total tax base for the McDowell County budget generated from property taxes is $10,500,000. These taxes pay for services ranging from the School System, to the Library, the EMS and programs for Senior Citizens. Existing Industry pays approximately 30% of this tax bill. Of the ten largest taxpayers in McDowell County, seven are existing industry with only the public utilities and the railroads being included in this list. Therefore, the impact generated by our manufacturing companies in affecting the quality of the services offered is significant. Approximately 68,000 acres (28%) of the landmass is exempt from property taxation in McDowell County based on federal government ownership. This burden is basically shifted to business, industry and individual property taxpayers.

 
New Job Creation and Tax Investment

Everyone is interested in recruiting new companies to our community and it is important to continue to grow and diversify our existing economy. People do not fully realize that most growth in employment and expansion comes from existing industry not new company locations in the State. North Carolina is typically recognized as being one of the most successful States in the nation at recruiting new industry. However, it is important to realize that in a typical year more than twice as many new jobs and more than twice the investment will come from companies that are already located here as opposed to new companies deciding to locate in our State.

 
Community Benefits and Support

One of the areas that is clearly not fully measured is the impact that our existing companies have in the area of providing support to the community in a wide range of activities. This can take the form of the United Way Annual Fund Drive, the local Red Cross Blood Drives, support for the Schools, local volunteer agencies and the new YMCA. There are immeasurable contributions that are made that create benefits for our local community that is received from the support of our local manufacturing companies.
 

There are certainly other benefits and values that are received from our existing companies and developing an understanding of these benefits and properly communicating them to the public needs to continue to be done.

 


PRODUCT SHOWCASE/INDUSTRY APPRECIATION DINNER

JUNE 21, 2001



A very special event will be held on the evening of June 21, 2001 at Tom Johnson's Rally Park in Marion.

In conjunction with the National League of Cities, Small Cities Council Steering Committee Meeting, hosted by the City of Marion, McDowell County and the McDowell Economic Development Association will hold it's first Annual Industry Appreciation Dinner and Reception honoring and recognizing our existing companies.

The Baxter's BBQ cooking team has graciously agreed to provide the evening dinner.

This process has been coordinated with the Human Resource Officer Association and there are twenty-one companies participating in the Product Showcase. They are:
 

Allied Industrial Company
Avtech, Inc.
Baxter Healthcare Corporation
Coats-American
Columbia Carolina Corporation
Crane Resistoflex
Ethan Allen, Inc.
Foothills Industries
Galey & Lord, Inc.
Haldex Services Corporation
Kennedy Die-Castings, Inc.
Metal Industries
Pisgah Yarn & Dyeing Co., Inc.
Resolution Packaging Company
Rockwell Automation
Ross Skid Products, Inc.
Superior Machine Company of SC
Tarheel Independent Contractors, Inc.
Tilson Machine Works, Inc.
Toolco Industrial Corporation
Toolcraft, Inc.

 
 
Invited to the event have been a variety of elected officials including the Governor, US Senators and House Members and State Elected and Appointed Officials. It has been determined that Mr. Bill J. Stephens, Manager of Industrial Recruitment, will attend and deliver the keynote address.

The dinner will also include invitations to the entire MEDA membership and various local elected and appointed officials. Please make plans to attend this very important event. The dinner will serve the purpose of the Annual MEDA meeting and any business determined necessary will be conducted.
 


ESC Report

Patin Howard
Employment Security Commission


McDowell's estimated Unemployment Rates from the beginning of 1998 through 2000 reflects a stable job and labor market with annual estimated rates between 3.9% and 4.6%. Rates for January through April 2001 reflect an increase as a whole and in comparison to the same months for 1998 through 2000. Unemployment rates are usually highest in January and February; however, in 2001 the rates for March and April are highest. Most of the 2001 increase has been experiences from the manufacturing sector.
 


 
 

MEDA GOALS/OBJECTIVES

The McDowell Economic Development Association, Inc. Board of Directors held a series of three planning sessions designed to establish a set of goals and objectives for the organization. A fourth meeting was held with the McDowell County Board of Commissioners for their input into the goal that had been drafted.

The goals and objectives were divided into three categories. These categories include 1) Recruiting New Industry, 2) Working with Existing Industry and 3) Issues Addressing Board and Staff Relationships.

An overview of these three categories includes the following items:
 

I. RECRUITING NEW INDUSTRY

A.) LOCATION:

1.) Locate available property for a new industrial park:

a.) Prepare technical information for site (soil samples, environmental assessment, development costs, etc.)
b.) Infrastructure considerations (rail, water, sewer, natural gas, highway access, etc.)
c.) Graded site-assess immediately after the KDC site is finalized.
d.) Spec building ‹ assess as a future goal.

B.) ADVERTISING AND MARKETING:

1.) MEDA will need to maintain a good working relationship with the North Carolina Department of Commerce, Advantage West, Industrial Realtors, Utility companies, etc.

2.) Update the web page with appropriate links within six months.

3.) Review and update Industry Recruitment packet that goes out to prospective clients to include the use of a video to promote the county. Assess the use of a CD of the county.

4.) The Executive Director will participate in at least one trade show annually.
 

II. WORKING WITH EXISTING INDUSTRY

A.) The group agreed to support the efforts of the Industry Visitation team.

B.) In addition, the group agreed to support the development of a Resource Directory for local industries. An effort to coordinate this with the State would take place.

C.) The group agreed to have an Industry Appreciation Week in June. This would include the following:

1.) A product showcase for existing companies.
2.) Media coverage including newspaper supplements and possibly a video.
3.) This could be coordinated with a Job Fair.
4.) Meet with representatives from existing companies in February to gauge support.
5.) Support sufficient resources for McDowell Technical Community College. Emphasize value of education including public school system.
6.) Develop a process of measuring expansions of existing companies in relationship to taxable investment and employees. This process will be limited initially with further expansion later. The first assessment to be completed in time for Industry Appreciation Week.
7.) Investigate feasibility of effort to recruit commercial and retail investment through the Chamber of Commerce. This could include local government financial support.
8.) The entire planning process needs to remain systematic and on going (annual reviews, monthly updates, newsletter updates, etc.).
 

III. BOARD AND STAFF RELATIONSHIPS

A.) BOARD

1.) In January 2001, then in July of each year establish the following sub-committees, with members appointed by the President:

2.) Membership/Finance Committee

a.) Develop a plan for growth and retention of members and present to the full Board at the September retreat.
b.) Develop a proposal for different classes of dues and present to the full Board at the September retreat.

3.) President and Executive Director conduct orientation session for new Board Members in July of each year. Said orientation to include the following:

a.) Category of Memberships
b.) Role of the MEDA Board
c.) Emphasize attendance by setting a goal of no more that three - (3) meetings missed per year.

4.) Conduct Annual Retreat in September of each year for the purpose of reviewing, revising as necessary, and prioritizing Goals.

5.) In June of each year, provide feedback to staff through performance appraisals by the Executive Committee.

B.) STAFF

1.) Provide opportunity for professional development for staff members.
2.) Staff provides a Quarterly Newsletter to all members.
3.) Executive Director makes recommendations at Annual Retreat on needs for staff, equipment and spaces.
 

The MEDA Board of Directors unanimously adopted these goals. Let us know if you have any questions or suggestions regarding these issues.
 


News from the JobLink
 

What is a JobLink Career Center?

The McDowell County JobLink is a user-friendly facility, which provides job seekers, and employers access to a variety of employment and training services ‹ all under one roof. North Carolina has developed a system of JobLink Career Centers so that employers can make informed choices about their workforce needs.

What's new about how the JobLink does business?

The staff at the JobLink work together as a team to provide the most comprehensive and efficient workforce development system possible. The JobLink is organized using a business model with the focus on customer satisfaction, continuous improvement and business results.

What can the JobLink do for my business?

We are most proud of our flexibility. The JobLink can tailor services to meet your hiring and training requirements, including Workplace Computer Literacy, Adult Basic Skills and English as a Second Language. We can administer assessments to measure employability, aptitudes, interests, and reliability. These are just a few of the services we offer our business customer. What can we do to help your business? That's pretty much up to you. Please call Jerry, Mary Beth or Jeannie at 659-6001 to schedule a time to see how the JobLink can help your business.
 
 

WE NEED YOUR MEMBERSHIP!

The McDowell Economic Development Association has set a goal of increasing its membership from the current 86 members to 125 members. There are three levels of membership ranging from an individual Affiliate membership of $10.00 to a Group membership of $150.00. The typical level of membership is an Associate member at a cost of $100.00 annually. These funds and the MEDA function is to better the community by supporting our existing industry and recruiting new companies that diversify and improve the local economy. If you would like to become a member of the MEDA organization, please contact the MEDA office either by telephone, mail or email.