Regional group helps attract outside businesses - April 2, 2004

Mail Tribune (Medford, OR — Wayback)

2004-04-06

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50 °F Forecast | Road Cams Monday, April 5, 2004   Today's News | Classifieds | Autos | Homes | Jobs | Tempo | Health | Community | Home Delivery   SECTIONS Home Page Local News Sports Business Obituaries   Life   Opinion - Politics   AP News   Weather   Classified   Archives   Site Map   EXTRA   Newspaper in Education   Personals   Movie Times   TV Times   E The People   CLASSIFIEDS Find a Car Find a Home Find a Job Find a Rental Place an ad  eSouthernOregon Automotive Communities   Entertainment   Publications   Recreation   Calendar   CUSTOMER SERVICE Frequent Questions Advertising Information Home Delivery Employment Contact Us Media Kit   Network Affiliate Email Story to a Friend April 2, 2004 Regional group helps attract outside businesses By DAMIAN MANN Mail Tribune With code names like Project Triangle and Project Lavender, the art of luring businesses to Jackson County sometimes sounds like a top-secret mission. The code names — given by Southern Oregon Regional Economic Development Inc. to protect businesses’ confidentiality — represent a growing list of firms that might relocate to Southern Oregon, a list that could create more than 1,000 jobs. Since last fall, SOREDI has seen a dramatic jump in businesses interested in the Southern Oregon region. "In prior years, we would get maybe four to six inquiries a year," said Colleen Padilla, business development manager for SOREDI. "Now we are getting four a month." Since July 1, 2003, SOREDI and state and local economic development groups have brought in seven new companies, creating more than 200 jobs. Advertisement Another 25 firms have expressed interest in moving to Southern Oregon, including a Fortune 500 company that wants to invest $100 million in a Central Point site, creating 275 jobs initially. Average pay for the company, dubbed Project Triangle, would be $40,000 annually plus benefits. In addition, 27 companies are expanding or are looking for new locations in Southern Oregon. Padilla said the names of the companies are a closely guarded secret. "We are very strict about the confidentiality of the client," she said. With the increased demand for proposals and other information from companies, Padilla said, "We are having a hard time keeping up." SOREDI and other groups work to line up industrial sites or commercial spaces for prospective businesses as well as to provide detailed information about the area and what it costs to do business locally. For instance, if Wal-Mart moves out of its 80,000 square-foot Talent store, SOREDI would try to line up a potential buyer. "There won’t be a problem filling it," Padilla said. Gordon Safley, SOREDI’s executive director, gives three reasons why companies are showing an interest in Southern Oregon: the high cost of doing business in California, the rebounding economy and pent-up demand for manufacturing. He said that for the past three years, manufacturing in general hasn’t expanded. But, amid encouraging signs that the nation is pulling out of the recession, manufacturers are gaining the confidence to invest in their businesses, he said. Also, in California, workers’ compensation, utilities and taxes are all higher than in Oregon, he said. One Santa Rosa, Calif. business, Amy’s Kitchen, has estimated it could save $4 million annually by moving to Medford. The company, which would create several hundred jobs locally, will make a decision by November whether it will move here. Safley said businesses look to Oregon for quality of life, educational opportunities for families and a good health care industry. In both Oregon and California, the state’s governors have shown a strong inclination to get involved in attracting or retaining business, meeting with some personally, writing or calling them. Safley said the majority of businesses that want to come to Southern Oregon are relatively small, helping diversify the local economy and provide jobs for local residents. While there is a good mix of different-sized industrial spaces in both Jackson and Josephine counties, Safley said, there is a lack of buildings of 30,000 square feet or larger. "We just don’t have as many as we would like," he said. Jackson County is also faced with stringent air- quality regulations that have prevented four industries from locating here in the past two years, he said. "They just weren’t a good fit," Safley said. Medford is attractive to some businesses, he said, because of its enterprise zone, where a manufacturing company doesn’t have to pay property taxes for three years if they make a capital investment in the site. SOREDI expects Southern Oregon will remain an appealing place for businesses to relocate in the coming years, with a majority moving from neighboring states. "Most of the inquiries come out of California, but some come from Washington," said Padilla. Reach reporter Damian Mann at 776-4476, or e-mail [email protected] Mail Tribune Home Local News  | Sports  | Business  | Obituaries  | Life Opinion - Politics | AP News | Archives  |  Site Map   E Southern Oregon  | Classified   Copyright © 1997-2004 Mail Tribune. All rights reserved. Privacy Policy | Terms & Conditions Website Feedback 3 WEEKS FREE!   ADVERTISERS A D V E R T I S E R S RESOURCES Oregon Road Conditions & Cams SPECIAL SECTIONS Auto Finder Job Finder Home Finder Joy Magazine Homelife Magazine Tempo Readers' Choice Real Estate Showcase Since We Asked Food for Thought Wellness Connection Outdoor Journal Moving to Southern Oregon? Volunteer Opportunities Prime Times