Virginia Offshore Wind Resource Guide 2
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Virginia Oshore Wind Resource Guide Table of Contents LETTER FROM THE GOVERNOR ……………….………………………………………………………………………………. 3 HAMPTON ROADS PORT MATRIX ................................................................................................... 5 VIRGINIA’S ATTRACTIVE BUSINESS CLIMATE.................................................................................. 5 PREMIER PORT FACILITIES ON THE EAST COAST ............................................................................ 8 ENGINEERING, INSTALLATION AND O&M .................................................................................... 16 TRANSPORTATION AND LOGISTICS............................................................................................... 21 MANUFACTURING......................................................................................................................... 27 VESSELS ......................................................................................................................................... 33 DEEP KNOWLEDGE BASE............................................................................................................... 35 WORKFORCE DEVELOPMENT ....................................................................................................... 39 WIND SITE DEVELOPMENT ........................................................................................................... 43 LEGAL, FINANCE & INSURANCE SERVICES .................................................................................... 44 ABREVIATIONS AND ACRONYMNS ............................................................................................... 45 THE TEAM LEADING THIS ENDEAVOR........................................................................................... 46 Virginia Offshore Wind Resource Guide 2 Commonwealth of Virginia Office of Governor Bob McDonnell May 24, 2010 As “America’s First Region”, Virginia welcomes the offshore wind supply chain industry that will generate new jobs and spur economic development opportunities in the region. Creating quality jobs and getting our economy moving again is the top priority of my Administration. I believe, and I hope you will find, Virginia is the natural choice for the offshore wind supply chain hub for the East Coast. In 2009, the Commonwealth of Virginia led the nation in Forbes’ “Best State for Business” rankings and CNBC ranked Virginia as the “Top State for Business.” Virginia's corporate income tax has not been raised in more than thirty years. At 6 percent, our rate is one of the lowest in the nation. The Port of Virginia is uniquely positioned for expansion as the 21st century progresses. No other East Coast port has the expansion and redevelopment opportunity the Port of Virginia possesses. The Port of Virginia can and is prepared to accommodate the needs of the future offshore wind industry. Located in the Mid-Atlantic region, where 70 percent of the East Coast’s offshore wind resources lie, The Port of Virginia could export large components such as foundations, towers and turbines up and down the entire East Coast. Our integrated transportation system of highways, railroads, airports and seaports ensures companies can reach every one of their markets and get shipments from suppliers more efficiently. The Commonwealth of Virginia is home to many internationally recognized research and development (R&D) facilities. Federally funded R&D facilities, coupled with the research from Virginia universities, provide Virginia businesses access to leading researchers and cutting-edge technology. With that, Virginia offers an immediate access to a strong, skilled, local labor force that offers a complete offshore wind supply chain solution. With a concentration of well-developed shipbuilding and ship repair manufacturing facilities to support the maritime industry and the largest naval base in the world, the Hampton Roads region offers a trained workforce ready to fulfill present and future offshore wind supply chain industry needs. Virginia Offshore Wind Resource Guide 3 The Commonwealth of Virginia and the Hampton Roads region have a strong skills base and competitive labor cost. Virginia’s economy is strong and diversified. Our manufacturing base continues to be strong and has all the right assets to continue our economic leadership throughout the 21st century. The Commonwealth of Virginia is the leading state to foster and stimulate commerce and become the leading center of excellence for the offshore wind supply chain. We encourage you to come and see firsthand why Virginia is the best place in America to do business. Sincerely, Robert F. McDonnell Virginia Offshore Wind Resource Guide 4 HAMPTON ROADS PORT MATRIX Attributes Hampton Roads Water depth at the quayside and the Available connection to sea 5‐10m (at low water) In case of locks, dimensions (width Available between fenders) 25–40m Available dedicated berth >300m Available Operation area at quayside available for assembling/handling of: • turbines & transformers Available • foundations >monopile Available • cables Available Own heavy lift crane and ground equipment Available Available port operator with offshore focus Available Management and staff with wind energy Available experience Unrestricted Air Draft to all major Commercial Port Available Facilities – No Bridges to pass under VIRGINIA’S ATTRACTIVE BUSINESS CLIMATE National Recognition Virginia’s streamlined business regulations, moderate corporate taxes, and tech‐savvy, productive workforce combine to create one of the most business‐friendly environments in the world. Virginia is proud to be recognized as the Best State for Business (Forbes.com 2006‐ 2009); the Top State for Business (CNBC 2007, 2009); the Top Pro‐Business State (Pollina Corporate Real Estate Inc. 2003, 2007, 2009); and in 2008, Governing Magazine picked Virginia as the top‐performing state government in America. Virginia is recognized as: • A well‐managed state—one of only a few states with a consistent AAA bond rating • Having one of the best designed and fairest corporate income taxes in the U.S. as noted by the Tax Foundation • Having efficient payroll tax programs—a worker’s compensation insurance program with the third lowest cost burden in the U.S., and a state unemployment insurance tax ranked with the 6th lowest cost in the U.S. • Judged to have one of the fairest and best litigation environments for Corporate America—The U.S. Chamber of Commerce annual study ranked Virginia 3rd best in its 2006 Study and 6th best in 2008 The Virginia Tax Advantage Nationally recognized for its conservative fiscal practices, Virginia has one of the most stable and equitable tax structures in the U.S. with domestic corporations (companies incorporated in Virginia) and foreign corporations (companies incorporated outside Virginia) paying the same taxes. In Virginia, items taxed at the state level are not taxed at the local level. Virginia also differs Virginia Offshore Wind Resource Guide 5 from most states in that its counties and cities are separate taxing entities. A company pays either county or city taxes depending upon its location. Virginia's major state taxes are the corporate income tax and the sales and use tax. The major local taxes are the real estate tax and tangible personal property tax. Corporate Income Tax Virginia’s moderate state income tax rate, combined with the lack of a franchise or net worth tax, results in a very competitive corporate tax burden. • Six percent tax rate has been stable for over thirty years • A general three‐factor apportionment formula of payroll, property and double‐ weighted sales • Manufacturers may elect to apportion their state income using a single sales factor apportionment formula • Tax credits for job creation and investment Sales and Use Tax The 7th lowest sales and use tax in the U.S., with broad exemptions for manufacturing and R&D • A combined state and local five percent tax rate • A seller is subject to a sales tax on gross receipts derived from retail sales or • Leases of taxable tangible personal property Business Incentives: Investing in Each Other Virginia works enthusiastically with new and expanding Virginia employers that are investing to create a higher standard of living for Virginians, and increase revenues to state and local governments. Incentives are Virginia's investment in the economic future and a business decision for both the Commonwealth and the company. As a result, they must make good fiscal sense for all parties. Virginia offers a variety of performance‐based incentives designed to target the needs of the company and the development plans of the state and its localities. From tax credits and exemptions to discretionary grants, Virginia continues to demonstrate its willingness to invest in companies, which invest and reinvest in the Commonwealth. Below is a selection of Virginia state‐level incentives. For a comprehensive list, please see A Virginia Guide to Business Incentives at www.yesvirginia.org. Governor's Opportunity Fund Discretionary funds available to the Governor to secure a competitive business location or expansion project for Virginia. Grants are awarded to localities on a local matching basis with the expectation that the grant will result in a favorable location decision for the Commonwealth. Workforce Training and Recruitment Services A program that offers customized recruiting and training assistance to companies that create new jobs or experience technological change. The program is designed to