Site Certification and
Iowa’s Certified Site Program
May 1, 2014
Agenda
• Introduction to McCallum Sweeney Consulting (MSC) – Site Selection
– Economic Development • What is Site Selection? • What is Site Certification?
• Overview of Iowa’s Certified Site Program – Program Objective and Benefits
– Minimum Criteria
MSC Clients – Site Selection
Kasle Steel
Boy Scouts of America
SGL Automotive Carbon Fibers LLC joint venture
INDIANA MUNICIPAL POWER AGENCY
Site Selection Process
Planning Phase Phase 1 Phase 2 Phase 3 Phase 4
• Conception • Feasibility • Investment Decision • Alignment/ Criteria • Regional Analysis • Areas of Interest • Request for Proposal and/or Web Research • Candidate Locations • Community Visits • Location Evaluation • Comparative Analysis • Finalist Locations • Negotiations • Evaluation • Site Due Diligence • Internal Selection of Preferred Location • Prepare MOU • Real Estate Transaction • Public Announcement • Incentive Capture Support
Facility Siting Process Fundamentals
• Profit driven
– Investment for purpose of return • Deadline driven
– Both the site selection and project start-up • Competitive
– Multiple location options • Comprehensive
– Complex decision involving most functional areas • Risk averse
Define Search Region
- Center-of-Market Analysis
Negotiations / Financial Modeling Regional Screening based
on Project Criteria
Risk Analysis
Property Visits / Comparative Assessment
Location Selection
RFP & Proposal Screening
What is Site Certification?
• Site Certification is a designation that a site meets certain readiness criteria
– Criteria are based on location needs of private sector companies – There are no national standards for site certification
• Site Certification is a trend that is growing rapidly – Driven by speed-to-market pressures on companies
• Site Certification is an initiative being undertaken by various groups with a stake in economic development
– State and regional organizations – Utility providers
– Individual developers – Etc.
What is Site Certification?
• MSC believes that that there are three key attributes that are the basis of site readiness required by a site certification program:
– AVAILABLE
Site really is for sale or lease, with established terms and conditions
– FULLY-SERVABLE
If all infrastructure is not already at the site, then at least detailed plans with schedules and price tags have been developed
– DEVELOPABLE
Environmental and other related assessments (and mitigation, if necessary) are complete
What is Site Certification?
• A well-designed site certification program is:
– Realistic: Based on the due diligence necessary for projects
– Rigorous: Development projects are exhaustive, a site certification
process will be as well
– Educational: An opportunity to better understand the siting process
and to gain knowledge of a site’s strengths and weaknesses
• Site Certification provides an opportunity to be more competitive in site selection projects
– More effective marketing (pro-active and re-active) – Knowledge of site’s strengths and weaknesses – Better prepared to offer development assistance
• Attracting investment and jobs is highly competitive, and being prepared creates a competitive advantage
• Company timeframes are getting shorter – Site selection
– Start-up
• Communities need to be prepared with sites that are ready for development
– At the end of the day, companies do not build facilities in communities, they build them on sites
• Severcorr Steel Columbus, MS • Rural community
• Demanding site specs
• Community proactively prepared – Site certification
• $800 million • 450 jobs
Overview of Iowa’s Certified Site Program
• To develop a portfolio of certified sites and parks that will make Iowa more competitive in site selection projects
• Site certification provides the following benefits: – Allows for effective pro-active marketing
– Prepares you for better re-active marketing
– Educates you on the site’s strengths and weaknesses
– Prepares you to offer development assistance as may be needed – Speeds up development schedule by having due diligence completed
Overview of Iowa’s Certified Site Program
Overview of Iowa’s Certified Site Program
Overview of Iowa’s Certified Site Program
Minimum Criteria
• Iowa’s Certified Site Program is designed with six categories based on site/park size
• There are four industrial site categories – General Industrial Site: 50-249 acres – Large Site: 250-499 acres
– Super Site: 500-999 acres – Mega Site: 1,000+ acres
• There are two industrial park categories
– General Industrial Park: 100+ acres with one site at least 50 acres – Super Park: 500+ acres with one site at least 250 acres
• Availability must be documented
• Must be served by utility infrastructure or a detailed plan must be developed for providing utility infrastructure within the required timeframe for the category
Overview of Iowa’s Certified Site Program
Minimum Criteria
• Developable acreage must:
– Be outside the 100-year floodplain
– Be free of recognized environmental concerns – Be free of wetlands or have a plan for mitigation
– Be free of threatened or endangered species or have a plan for mitigation
– Be free of areas of archaeological or historical significance or have a plan for mitigation
– Have soils compatible with industrial development
• Must be zoned appropriately or be able to be rezoned for industrial use (if applicable)
• Road infrastructure appropriate for truck traffic is in place or a detailed plan will be developed for providing access
• Rail infrastructure is required for Super Sites, Super Parks, and Mega Sites
Summary of Certification Criteria – Effective Jan. 2014
Total Acreage Minimum Contiguous & Developable Acreage1 Rail Required Availability timeframe Highway Access Availability timeframe Electric Availability timeframe Nat. Gas (mcf/month) Availability timeframe Water (gpd) Availability timeframe Sewer (gpd) Availability timeframe General Industrial Site 50-249 40-199 No 12 months 15 miles2 6 months 2.5 MW 6 months 10,000 6 months 250,000 6 months 250,000 6 months Large Site 250-499 200-399 No 12 months 10 miles2 6 months 5 MW 9 months 15,000 9 months 500,000 9 months 500,000 9 monthsSuper Site 500-999 400-799 Yes
12 months 5 miles2 6 months 10 MW 9 months 25,000 9 months 750,000 9 months 750,000 9 months
Mega Site 1,000+ 800+ Yes
12 months 5 miles3 6 months 30 MW 12 months 50,000 12 months 1,500,000 12 months 1,500,000 12 months General Industrial Park 100+ with one site ≥50 80% of ≥50 site, 60% of rest of park acreage No 12 months 15 miles2 6 months 5 MW 6 months 15,000 6 months 500,000 6 months 500,000 6 months Super Park 500+ with one site ≥250 80% of ≥250 site, 60% of rest of park acreage Yes 12 months 5 miles2 6 months 15 MW 9 months 32,500 9 months 1,000,000 9 months 1,000,000 9 months Note
1. Contiguous and developable acreage must be at least 80% of total acreage. (For example, a 250-acre site must have at least 200 contiguous and developable acres).
Overview of Iowa’s Certified Site Program
1. Request the Step 1 Qualification Materials July 15
2. Complete and Submit a Step 1 Application August 13
3. Receive Notification of Selection Status September 8
4. Complete and Submit a Step 2 Application October 7
5. Receive Initial Feedback late October 6. Conduct Site Visit November 5-14 7. Receive Notification of Selection Status December 18
8. Complete and Submit a Step 3 Application December 18, 2015
9. Receive Feedback January 2015
10. Provide Follow-up Information March 2015 11. Receive Notification of Certification Decision April 2015 12. Announcement Event or Press Release TBD
Overview of Iowa’s Certified Site Program
MSC Contact Information
Kimberly Williams Cole Egan
Senior Consultant Consultant
kwilliams@mccallumsweeney.com cegan@mccallumsweeney.com
McCallum Sweeney Consulting 15 South Main Street, Suite 950
Greenville, SC 29601 864-672-1600 (main)
864-672-1610 (fax)