camden county green industrial park: a feasibility study

Camden County Green Industrial Park: A Feasibility Study

March 13th, 2008

Introduction

Participants understand what the study team considers the basic concepts underlying development and operation of green industrial park.

Study team understands local perspectives on what values, goals, concerns and resources would be relevant to such a park operating in Camden County.

Desired Outcomes

The University of North Carolina at Chapel Hill

9:00 Convene 9:20 Basic concepts and assumptions 10:20 Break 10:30 1st concurrent session 11:20 2nd concurrent session 12:10 Working lunch 1:15 Wrap up 1:30 Adjourn

Agenda


Begin and adjourn on time. Listen attentively. One speaker at a time. Stick to task and topic. Share the floor. It is OK to disagree …please do so respectfully. No confidentiality.

Meeting Ground Rules


Overview

“Green”


People, Planet, Prosperity

We spell “green” with three Ps.


Industrial Park


What types of businesses might thrive in an industrial park in Camden County?

What are the economic, social and environmental impacts of such businesses?

How would Camden County or participating businesses pay for such a park?

Key Components of Study


The Fourth P: Place


We will be speaking to you,

and we are also listening.

This Workshop and Beyond


Environment

Purpose• Assess likely impacts of green industrial park in

Camden County.

• Identify technologies, building designs and practices to reduce those impacts.

• Establish benchmarks to measure environmental performance, e.g., energy use per square foot of building space.

Environmental Analysis


Three main types: Traditional Green Sustainable or Eco-industrial

Industrial Parks


Assemblages of land for locating uses such as: • Office

• Manufacturing

• Warehousing

• Newer business parks consist of a mix of high tech offices, shops and services, with higher densities and walkable town centers

Traditional Industrial Parks


Similar to traditional industrial park, but include:• Green materials and design - recycled materials, avoid

sensitive areas (e.g., wetlands), small footprint, use natural light, etc.

• Green operation - reduced water and energy use, recycle wastes, reduced stormwater runoff, alternative energy

• Green firms - manufacturer of solar collector, recycled products, energy efficient lights

Green Industrial Parks


Sturtevant, WI

Nation’s largest green warehouse

• 550,000 square feet on 38 acres• Within 390-acres business park

• Owner is planning a 3.5 million square foot, green industrial park in Minooka, IL

Green Distribution Center


Networking of complimentary firms - Industries or firms interact rather than operate in isolation

Industrial symbiosis - Materials produced by one industry are consumed as inputs by another

Benefits - Reduced energy and materials use

Sustainable Industrial Parks


Over 100 sustainable industrial parks planned or built worldwide • Mostly in China, Europe, and United States

Worldwide, success as common as failure• Failure seems more common in US

Examples• Kalundborg, Denmark• Cape Charles, VA

Current Status


Network of Firms or Agencies

• Biotech• Oil refinery• Coal-fired power plant• Plasterboard manufacturing• Town of Kalundborg• Soil remediation• Fish farm

Kalundborg Eco-Industrial Park


Photo by UN Environment Program

Kalundborg, Denmark


Sustainable Technologies Park Planned from 1995, opened in 2000, closed 2005

Strength• Active participation from citizens• Cooperation between all levels of

government

Weakness • Failed to attract enough industries

Cape Charles, VA


Only building built and remaining

Principles: Building design - minimize material and

energy use Support services - water recapture and reuse,

recycling, co-location of buildings Business type – preference for firms linked to

green technologies Surrounding uses – integration of other uses,

e.g., housing and retail

A Green and Sustainable Park


Economic Development

Why Economic Development?

• Unsustainable/undesirable status quo• Higher wages for county residents• Economic diversification• Tax base expansion• Resident retention• Replacement of prospective lost tax base and jobs

from proposed landfill

Task One: Demographic and Economic Scan

Thorough description of numerous economic and demographic trends affecting Camden County

• Population• Income and Wealth• Education• Employment• Business Climate• Quality of Life

The University of North Carolina at Chapel HillThe University of North Carolina at Chapel Hill

Task Two: Targeted Industry Clusters Characterization

• Industry clusters consist of interdependent business sectors that trade among themselves.

• C3E has defined 45 national industry clusters for studying a regional economy’s strengths.

• Concentrations of employment and firms in industry clusters shows competitive advantage.

• Cluster understanding enables targeting of industry sectors, geographies and even specific companies for attraction and development.


Population Change 2000-2005

26.36%

-0.39%

16.03%

11.45%

6.84%7.86% 7.51%

23.30%

1.93%

30.84%

0.28%

-2.04%

6.12%

-5.00%

0.00%

5.00%

10.00%

15.00%

20.00%

25.00%

30.00%

35.00%

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Camden Key Findings

• Good high school graduation rate (31st) • Household income ranks 8th

• Low poverty rate • Low unemployment• Skilled workforce• Limited industrial sites


Unemployment Rate 2006 3rd Quarter

9.9%

2.2%

4.9%

2.5%

3.6%4.1% 3.9%

4.8%

3.8% 4.1%4.5%

3.3% 3.0%

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

12.0%

Camden

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Employment a mixed picture

2,146 in-county jobs

– 23% gov’t (~17% NC)

– 1,655 private jobs - retail and construction sectors dominate

– Growth in education (training) employment due to Blackwater

Wage structure

– Household income ranks 8th

– In-county jobs weekly wages rank 17th

– Jobs in county pay less than state average in most sectors

76% of residents out-commute (NC’s 25%)

Camden Key Findings


Camden County 1970-2030

0

2,000

4,000

6,000

8,000

10,000

12,000

14,000

16,000

18,000

1960 1970 1980 1990 2000 2010 2020 2030 2040

Year

Pop

ulation



Camden Employment Type

Public, 491, 23%

Private, 1,655, 77%

Private Sector Employment 1995, 2007

19 24

216

305

65

2847

77

19

398

227

5075

107

0

50

100

150

200

250

300

350

400

450

Manufacturing Health Care Retail Construction Accom & Food Professional Other

19952007


Camden County Weekly Wage 2006 3rd Quarter

$543

$484$508

$539

$478

$546

$470

$744

$634

$775

$830

$632 $632

$0.00

$100.00

$200.00

$300.00

$400.00

$500.00

$600.00

$700.00

$800.00

$900.00

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Camden's Wage Structure:Camden/NCAnnual Wage Variance, 2007 1st quarter

-$2,860

$1,820

-$1,872

$20,904

-$4,056-$7,956-$5,668

-$20,124

-$4,576

-$17,264-$20,592

$2,964

-$17,784

-$3,796-$1,612

-$25,000.00

-$20,000.00

-$15,000.00

-$10,000.00

-$5,000.00

$0.00

$5,000.00

$10,000.00

$15,000.00

$20,000.00

$25,000.00

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Out-Commuting

67%

28%

10%

23%

62%

26%

60%

34%

55%

60%

43%

76%

65%

0

0.1

0.2

0.3

0.4

0.5

0.6

0.7

0.8

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Commute Time To Work

32.4

35

27.4

19.9

22.824

21.723.8

27.3

23.9

33.1

25.1

37.7

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5

10

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20

25

30

35

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Min

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Camden Prospective Cluster Targets

NENC and Hampton Roads share industry clusters that offer development targets

• Information services

• Financial services and insurance

• Aluminum products (ship building)

• Metal products

• Health services

• Business services


SHR/NENC Regional Clusters

The Carolina Center for Competitive Economies (C3E) Kenan Institute for Private Enterprise

-100%

-80%

-60%

-40%

-20%

0%

20%

40%

60%

80%

100%

-100% -80% -60% -40% -20% 0% 20% 40% 60% 80% 100%

U.S. Percent Change in Employment 1998-2003

Re

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-2

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Tobacco Products $16,308

Wood Processing $31,568

Feed Products $20,619

Nonresidential Building Products $51,084

Information Services $43,256 Business Services

$35,678

Basic Health Services $34,686

Financial Services & Insurance $37,604

Hotels & transportation services $28,818 Aluminum & Aluminum Products

$58,980


NENC Clusters


What’s Needed

• Good business climate with relatively low property taxes

• Skilled resident population

• Available land and sites

• Adequate wage structure

• Good air transport access (Norfolk and Currituck) and improving highway infrastructure

• Proximity to economic engine

Key Economic Development Factors


Cluster Analysis & Green Industrial Park• Characterize the population of firms in the targeted

clusters suitable for location in a rural county such as Camden.

• Determine the percentage of clean, dirty, and renewable energy oriented industry sectors within each clusters which might be suitable for a green industrial park.

• Develop a list of targeted prospects suitable for location in a green industrial park and a list of targeted prospects suitable for other Camden locations.

• Suggestions for improvements to attract these prospective targets.

Camden Next Steps


Finance and Governance

Capital Financing Options

Ownership/Governance Options

Preliminary Cash Flow Scenarios and Models

Finance and Governance


Land Building Infrastructure

• Offsite

• On-Site

Facility Components


Pay-As-You-Go Debt

• Bonds• Installment Financing

Partnerships Grants

Capital Financing


Economic Development• Economic Development Administration• NC Rural Center Infrastructure Economic Development• NC Commerce Department Programs

Rural Community Development • 21st Century Community• Tier 1 Designation under Article 3J Tax Credits• Golden Leaf – Community Assistance Initiative

Environmental • Department of Energy Block Grant Program• Clean Water Management Trust Fund• Renewable Energy Tax Credits

Diverse Public Funding


Local Government Line Department• Anson Co.• Washington Co.

Economic Development Commission• Bladen Co.• Sampson Co.

Independent Nonprofit Organization• Alamance Co.• Henderson Co.

Governance: County/Municipal


Council of Governments Regional Economic Development Partnership Interlocal Cooperation

• Kerr-Tar Regional EDC• North Mecklenburg Industrial Park

Governance: Regional


Kerr-Tar Regional Mini Hub

North Mecklenburg Industrial Park

Sample Case Studies


Four Counties (Granville, Franklin, Warren, Vance) sharing costs/revenues from regional economic development

Project includes four technology parks spread across region

Innovative interlocal agreement $5 million raised in seed funding to initiate project

Kerr-Tar Regional Mini-HUB


Three towns (Cornelius, Huntersville, Davidson) sharing costs/revenues from industrial park project

Management by the Lake Norman Regional EDC Towns shared $4 million construction cost based

on population Tax revenues shared on same basis

N. Mecklenburg Industrial Park


Break followed byConcurrent Sessions

camden county green industrial park: a feasibility study

Documents

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