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BayBay Area Area Houston Houston EconomicEconomic Partnership Partnership

20092009 Annual Annual Report Report BAY AREA HOUSTON ECONOMIC PARTNERSHIP Frans Gillebaard, President, Amstel Holdings, Inc. 2010 LEADERSHIP TEAM Mark Gittleman, Vice President & General Manager, Oceaneering Space Systems Fred B. Griffin, President, Griffin Partners, Inc. Gwen D. Griffin, Managing Director, Griffin Communications Group OFFICERS OF 2010 BOARD OF DIRECTORS Marc Havican, President, Space City Films, Inc. Chair: Dennis W. Petersen, President, Lockwood, Andrews & Newnam, Inc. Brenda Hellyer, Ed.D., Chancellor, San Jacinto College District Vice Chair: Robert Ellis, Group President, Wyle Integrated Science & Engineering Group Ralph Howard, COO/Executive Vice President, Dean & Draper Insurance Agency, LP Secretary: Barry Beasley, Director, External Affairs, AT&T Mike Huss, Senior Vice President-Clear Lake, Patriot Bank Treasurer: Jennifer Bowers, Partner, Bowers & Sadler, LLP Larry Jensen, Senior Vice President/Commercial Lending Manager, AmegyBank of Sandy Johnson, President, Barrios Technology 2010 EXECUTIVE COMMITTEE Robert A. Jones, Attorney-at-Law, Barlow, Jones & Brust, LLP Richard E. Allen, Jr., President/CEO, Space Center Houston Stephen K. Jones, Jr., CEO, Clear Lake Regional Medical Center Barry Beasley, Director, External Affairs, AT&T Mark Kinley, President, Digitex Corporation Richard O. Covey, President/CEO, United Space Alliance R. Bowen Loftin, Ph.D., Interim President, Texas A & M University-College Station Robert Ellis, Group President, Wyle Integrated Science & Engineering Group John Martinec, President, AeroSys, LLC Frans Gillebaard, President, Amstel Holdings, Inc. Ron W. Masters, President, MaximGroup Fred B. Griffin, President, Griffin Partners, Inc. Joan McKinney, General Manager, Norman Frede Chevrolet Brenda Hellyer, Ed.D., Chancellor, San Jacinto College District Lon F. Miller, Senior Vice President/General Manager, Jacobs Sandy Johnson, President, Barrios Technology Bernard A. Milstein, M.D., President, The Eye Clinic of Texas Bernard A. Milstein, M.D., President, The Eye Clinic of Texas Christopher (Kim) Morris, Houston Lead, Honeywell Dennis W. Petersen, President, Lockwood, Andrews & Newnam, Inc. Christopher Packard, Director of Marketing, UTMB-Galveston Brewster Shaw, Vice President/General Manager, The Boeing Company Dennis W. Petersen, President, Lockwood, Andrews & Newnam, Inc. John Wilkins, Vice President, Steve Phelps, Commissioner, Port of Houston Authority Victor Pierson, President, Moody National Bank EX OFFICIO MEMBERS OF EXECUTIVE COMMITTEE Robert Robinson, President, Gulf Coast Limestone, Inc. Jennifer Bowers, Partner, Bowers & Sadler, LLP Brewster Shaw, Vice President/General Manager, The Boeing Company Gale E. Burkett, President/CEO, GB Tech, Inc. Steven Skarke, Vice President, Kaneka Texas Corporation Ellen Engleman Conners, Director, External Relations, NASA Johnson Space Center Rob Stein, Vice President, Commercial Banking, JP Morgan Chase Bank Dick H. Gregg, Jr., Attorney-at-Law/President, Gregg & Gregg, P.C. Jim Stewart, Bay Area Market President, Icon Bank of Texas, N.A. Lon F. Miller, Senior Vice President/General Manager, Jacobs Hajime “Sam” Suzuki, Vice President, Administration, Kuraray America, Inc. William A. Staples, Ph.D., President, University of Houston-Clear Lake Jim Sweeney, Owner, Minuteman Press Gwen Wagner, CEcD, CCD, Manager, National Sales ED, CenterPoint Energy 2010 BOARD OF DIRECTORS Randolph L. Wile, President, Wile Interests Richard E. Allen, Jr., President/CEO, Space Center Houston John Wilkins, Vice President, Lockheed Martin Barry Beasley, Director, External Affairs, AT&T Mary Alys Cherry, Editor Emeritus, Bay Area Citizen EX OFFICIO MEMBERS OF BOARD OF DIRECTORS Mark Conrad, Owner, Express Employment Professionals Jennifer Bowers, Partner, Bowers & Sadler, LLP Richard O. Covey, President/CEO, United Space Alliance Gale E. Burkett, President/CEO, GB Tech, Inc. Ron Crowder, Manager, Clear Lake Office, Crowder Funeral Home Coletta Castleschouldt, President, Bay Area Houston Transportation Partnership Ruby Cubley, Individual Member Ellen Engleman Conners, Director, External Relations, NASA Johnson Space Center Wm. Theodore Cummings, Ph.D., Dean, School of Business & Public Administration, Dick H. Gregg, Jr., Attorney-at-Law/President, Gregg & Gregg, P.C. University of Houston-Clear Lake Cindy Harreld, President/CEO, Clear Lake Area Chamber of Commerce Robert Curbeam, Jr., Vice President-Houston Operations, Mike Shields, Executive Director, Baytown/West Chambers County ARES Aerospace and Technology Services Economic Development Foundation Robert Elberger, Individual Member Jeff Sjostrom, President, Galveston Economic Development Partnership Robert Ellis, Group President, Wyle Integrated Science & Engineering Group Greg Smith, Ph.D., Superintendent, Clear Creek Independent School District Marcy Fryday, Marketing Director, Lakewood Yacht Club William A. Staples, Ph.D., President, University of Houston-Clear Lake Mike Furin, Vice President, My FlooringAMERICA The Honorable Michael Sullivan, Council Member, District E, City of Houston 2009 ANNUAL REPORT Letters from our Chairmen 2 Letter from our President 3 The Year in Review 4 Working In the Media 7 together Influential Marketing 7 Aerospace Advocacy 8 for our future... Space Alliance Technology Outreach Program 9 2009 Membership Report 10 Committees: Member Opportunities for 2010 11 2009 Members 12

The Bay Area Houston Economic Partnership, or BAHEP, is a mem- ber-driven organization that provides the leadership to stimulate re- gional economic development and employment. Utilizing a collabora- tive committee structure, we engage more than 250 investor compa- nies, business professionals, local governments, and educational institutions in southeast Texas to bring about prosperity and a high quality of life for the 1.5 million people who live and work in the re- gion. Our members include business partners encompassing 13 cit- ies and Galveston and Harris counties.

BAHEP’s municipal members are Galveston County, Harris County, the Port of Houston Authority, Clear Lake Shores, Dickinson, El Lago, Friendswood, Houston, Kemah, La Porte, League City, Nassau Bay, Pasadena, Seabrook, Taylor Lake Village and Webster. We initiate responsible economic development throughout the region by executing a strategic plan that optimizes the balance between business factors, quality-of-life, regional needs and sustainable growth. In this context, planning is critical, but even more important is member involvement, communication and a shared regional vision. LETTER FROM OUR LETTER FROM OUR OUTGOING CHAIRMAN INCOMING CHAIRMAN

Last year in my letter as the incoming chairman of BAHEP’s Nine years ago, in 2001, when I was previously chairman of board I stated, “I am very fortunate to chair a board of the the Bay Area Houston Economic Partnership’s board of di- best and brightest individuals from businesses and rectors, the economic landscape bore little resemblance to institutions throughout the region.” Looking back over a year that of 2010. The nation is slowly recovering from the worst that brought with it extraordinary economic hardship world- recession in three quarters of a century. Businesses both wide, I am thankful to have had the support of such a board. large and small have learned the hard way that it’s not “business as usual” and won’t be for quite some time. Economic development does not cease to exist even when economic drivers lose their way amid the uncertainty of Although Houston has certainly not been spared from the change. Preparing for a renewed economy then becomes the economic axe cutting into our familiar way of life, Houston is order of the day, and BAHEP has been doing just that. We’ve participated in strategic undoubtedly positioned to take a lead role in reviving America’s economic engine. The planning with a number of our member cities. We’ve worked with our maritime, aero- Bayou City has, in fact, been tagged as one of “five cities that will rise in the new econ- space and chemical sectors on a variety of initiatives. We’ve also worked with small omy” according to a major international newspaper. The paper noted that Houston’s businesses as they seek to expand their customer base. ties to the global marketplace set it apart. The city is home to NASA Johnson Space Center, the Texas Medical Center, the second-busiest port in the nation, and a growing For almost 34 years, this organization has used its considerable skills for the better- international business sector. ment of the region. Its successes are attributable to strong leadership as well as very active and capable members. It’s a powerful combination, and I’m proud to have played For over three decades, BAHEP has worked closely with these industry sectors to a role in just a few of BAHEP’s many achievements. stimulate regional economic growth and development. Tough economic times require seasoned economic professionals, and I believe that BAHEP is positioned to provide I want to thank Bob Mitchell who, himself, has provided exemplary leadership for the the necessary leadership. past two years as BAHEP’s president. He and his staff are always available when needed, which has been invaluable to me in light of my other responsibilities. In that regard, I want to thank Lon F. Miller for his leadership during the past year as chairman of the BAHEP board. The organization had a remarkable year, and everyone The waters of 2009’s economic flood of bad news are receding, but there is a lot of is thankful for the guidance he provided. Lon remains on the board this year, and I’m restoration to be done. I wish long-time board member Dennis Petersen much success sure that we’ll be calling on him for his wisdom and expertise. in his new position as BAHEP’s 2010 board chairman. He is a highly respected and astute business professional who is well qualified for the work ahead. I know that he will 2010 will no doubt be another challenging year. However, difficult challenges present enjoy collaborating with the “best and the brightest” as much as I have. incredible opportunities. I appreciate this to once again chair the board of such a dynamic organization. Lon F. Miller Senior Vice President / General Manager Dennis W. Petersen Jacobs President Lockwood, Andrews & Newnam, Inc.

2 2009 Annual Report Bay Area Houston Economic Partnership LETTER FROM OUR PRESIDENT

We will all remember 2009 as a year that tested our abili- In closing, I want to thank our outgoing board chairman, ties, our endurance, and our patience to the limits. As an Lon F. Miller, for his tremendous efforts in helping to economic development organization, we were keenly guide us through a truly unique year. Due to his leader- aware of the effects of the economic firestorm on industry ship and that of our Board of Directors, along with our sectors across the board. As you will read in this annual active membership, BAHEP is well positioned to continue report, the Bay Area Houston Economic Partnership its work on behalf of the businesses and people of the worked diligently throughout the year to affect positive region. outcomes in diverse areas. I also look forward to 2010 as our incoming board chair- In 2009, BAHEP strengthened its relationships with the man, Dennis W. Petersen, leads us through an economy Texas Chemical Council, the Association of Chemical that is wobbling down the road to recovery. Den- Industry of Texas (ACIT), and the East Harris County nis’ years of experience on the board, his pro- Manufacturers Association. BAHEP continued to show fessionalism and business acumen will be in- strong support for the specialty chemical industry by par- valuable as we travel the road together with our ticipating in Texas Chemical Day in Austin, actively seek- members, our economic development allies, and ing leads at specialty chemical shows, and working with our elected officials. the ACIT on special projects. Bob Mitchell In mid-2009 the Obama Administration formed a commit- President tee to make recommendations in regard to NASA and the Bay Area Houston Economic Partnership future of human space exploration. It was informally re- ferred to as the Augustine Committee after its chairman, Norman R. Augustine, retired chairman and chief execu- tive officer of Lockheed Martin. Concurrently, BAHEP implemented 29 initiatives to advocate for the importance of maintaining NASA’s leadership position in space and to provide adequate funding to accomplish this.

Additionally, communication was a key element of our 2009 initiatives. BAHEP saw an unprecedented amount of coverage on our initiatives from newspapers, maga- zines, radio and television stations not only locally but nationally, as well.

These are just a few highlights that reflect the work we do each day to further solidify the economic base of the re- gion. They serve to exemplify that BAHEP continues to be the ‘go to’ economic development organization within

Working together for our future 2009 Annual Report 3 THETHE YEAR YEAR IN IN REVIEW REVIEW One of the five broad strategies outlined in Bay Area Houston Economic Partnership’s 2007-2011 Strategic Plan states, “BAHEP must continue to demonstrate exceptional regional leadership in economic development, regional advocacy, and innovative partnerships and collaborations.” The events of 2009 provided ample opportunities to apply this strategy across a wide range of industry sectors. BAHEP’s initiatives focused on aerospace, specialty chemical, healthcare, maritime education, Ellington Field, our municipal partners, the Houston Airport System, educational reform, and more. We built upon firmly established partnerships and made great strides in strengthening new ones. Additionally, the BAHEP staff made presentations at over 80 meetings while the organization received unprecedented coverage by local, regional and national media. During a very difficult economic year, sticking to the basics of our Strategic Plan, as we worked together with our members and elected officials, proved to be the best course of action. 2009 BAHEP Highlights ■ BAHEP, through its International Maritime Advisory Committee, led the formation of the Coastal Storm Protection Alliance, a coalition consisting of organizations, business leaders and individuals interested in evaluating storm surge protection models. The alliance is providing leadership to advance these models for further consideration and funding. One such model, termed the “Ike Dike,” has been proposed by Dr. William Merrell of Texas A&M University at Galveston. Dan Seal, BAHEP executive director, Special Projects, in an effort to inform the community, has presented the Ike Dike concept to numerous organizations and groups. ■ Through the invitation of the Houston Airport System (HAS), BAHEP traveled to Washington, D.C., to visit the headquarter offices of aviation and aerospace organizations. HAS and BAHEP met with these organizations to present the many location amenities offered by sites at Ellington Airport and to leverage up with these associations’ members by raising the awareness of the site opportunities at Ellington. Additionally, in close collaboration with HAS and CenterPoint Energy, BAHEP staffed a booth at the National Business Aviation Association Annual Convention & Trade Show in Orlando, Florida. Ellington Airport was again the focus of BAHEP’s marketing efforts. ■ The Bay Area Houston Economic Partnership, the Houston Airport System, and the economic development arm of CenterPoint Energy, along with Colliers International, are collaborating on another joint marketing effort. These organizations are also promoting Ellington Airport, which features a world-class aviation infrastructure, as one of the best mixed-use airports in the country with both active NASA and military installations as well as emerging commercial sectors. BAHEP highlighted Ellington at HELI-EXPO 2009 in Anaheim, California. This is the world’s largest trade show dedicated to the international helicopter community. ■ In order to provide a venue for his constituents to voice their ideas and concerns, Congressman Pete Olson (TX-22) requested that BAHEP organize meetings between him and leaders in the region’s energy, specialty chemical,

4 2009 Annual Report Bay Area Houston Economic Partnership aerospace, and maritime sectors; military representatives at Ellington Field; BAHEP’s Healthcare and Small Business committees; and Harris County Judge Ed Emmett and Harris County Precinct 2 Commissioner Sylvia R. Garcia. ■ BAHEP staff worked with 15 international site consultants along with prospects from the energy, aerospace, aviation and medical industries. ■ BAHEP met with Congressman Michael McCaul (TX-10) to discuss several topics including the funding for NASA Johnson Space Center, the proposed commuter rail expansion in the region and the BAE Systems manufacturing facility in Sealy, Texas, that produces military vehicles under contract to the U.S. Army. Bendco Inc., a Pasadena company, is a sub-contractor to BAE Systems. It specializes in the bending of steel and pipe and welding, which are key skills involved in the manufacture of the Army vehicles. ■ Sen. Joan Huffman (State District 17) and BAHEP also met to discuss regional initiatives and how the senator and BAHEP can partner on issues. Among issues identified for potential collaborations are storm surge protection for the upper Texas coast and Galveston Bay, commuter rail between Galveston and Houston and the maritime workforce shortage. Sen. Huffman’s senate district spans five southeast Texas counties including parts of Galveston and Harris counties. ■ BAHEP’s International Maritime Advisory Committee (IMAC) collaborated with the Port of Houston Authority (PHA) Maritime Academy Curriculum Committee to develop a high school maritime curriculum for the Houston Independent School District. IMAC representative Dan Seal, during several meetings with PHA, provided information to the PHA committee on the methodology used by IMAC in facilitating the development of maritime education curricula for Pasadena ISD. La Porte ISD is also involved in establishing a maritime curriculum. ■ BAHEP worked with the Harris County Transit Authority and La Porte, Pasadena, and Seabrook to bring public transportation to these member cities, as well as other areas within southeast Houston, for the first time, providing a valuable and much needed service to these communities. ■ The BAHEP Small Business Committee presented a series of small business certification workshops conducted by the City of Houston’s Affirmative Action and Contract Compliance Office. The final workshop allowed business owners to complete and submit their applications for certification in an informal setting with one-on-one assistance from city specialists. ■ BAHEP worked with its member cities and school districts in a variety of ways in 2009. BAHEP staff participated in important strategic planning initiatives by invitation of member cities and institutions throughout the region. Additionally, BAHEP assisted in developing marketing materials, prepared research reports, and visited with cities to discuss collaborations for economic development initiatives. ■ BAHEP’s Education & Workforce Development Committee and the Clear Lake Area Chamber of Commerce took the message of “education reform” with them when they visited members of the 81st Texas

Working together for our future 2009 Annual Report 5 Legislature. The group’s message focused on K-12, community colleges and universities. 2009 BAY AREA HOUSTON WINS ■ BAHEP hosted Sen. John Cornyn’s Roundtable Discussion on the Status of Human Space Exploration at Space Center Company Industry Sector Economic Impact Houston. Bob Mitchell, BAHEP president, moderated the (including salaries) panel, which included Sen. Cornyn, Congressman Pete Olson, ranking member of the House Subcommittee on Desselle-Maggard Office / Warehouse / Light Manufacturing $13 million Space & Aeronautics, and former NASA Administrator Mustang Engineering Engineering $33 million Michael Griffin. Project Saltwater Industrial $7.8 million ■ BAHEP led a team that exhibited at the Houston U.S. Coast Guard Office / Logistics $47 million Association of Realtors/Society of Industrial & Office Realtors Commercial Expo held at InterContinental Galleria. ■ The BAHEP Healthcare Committee completed its work on a map showing the The expo is a very important annual gathering of the top location of key medical and healthcare facilities in Bay Area Houston. Human real estate developers and brokers from the greater Houston area. resource managers in the region were notified that a healthcare map is available for ■ BAHEP’s Barbara Cutsinger, marketing manager, real estate and employees. The committee also hosted the Healthcare Power Breakfast Expo to facilities, and member cities participated in a regional booth at the assist BAHEP’s healthcare members educate the community about the available International Council of Shopping Centers Deal Making Show in healthcare services in our region. San Antonio in order to help BAHEP’s member cities attract ■ BAHEP worked with members of the governor’s Office of Economic Development additional retail companies. and Tourism resulting in the state taking a more active role in site selection ■ BAHEP Marketing Director Paul Chavez secured a NASA proposals, especially the State Information Section of the Request for Information Johnson Space Center keynote speaker for the Maintenance and (RFI). Reliability Symposium presented by the Association of Chemical ■ BAHEP Marketing Director Paul Chavez attended four different events sponsored by Industry of Texas, which was a first for this industry seeking The Association of Chemical Industry of Texas (ACIT) and the Texas Chemical collaborations with the space program. Council (TCC) to connect with industry representatives to follow up on current projects and seek out new projects for the region. He served as team leader on legislative office visits during February’s Texas Chemical Day in Austin, as well. ■ At the invitation of CenterPoint Energy, BAHEP’s Barbara Cutsinger, marketing manager, real estate and facilities, attended the world’s largest and leading medical trade conference in Dusseldorf, Germany. The conference attracted 4,324 exhibitors from 60 nations and had 138,000 attendees daily. Meetings were held with companies interested in the Houston region. ■ BAHEP hosted a quarterly Houston Region Economic Development Alliance (HREDA) meeting and gave presentations on the economy, NASA’s Constellation

6 2009 Annual Report Bay Area Houston Economic Partnership Program, the Ike Dike, the Citizens for Space Exploration’s 18th trip to Capitol Hill, and BAHEP’s call to action in regard to the Augustine Committee and the future of human space flight. Thirty-seven economic development professionals participated in the meeting. The quarterly meetings serve as a platform from which regional economic collaborations can be established.

IN THE MEDIA Working together for our future was the focus of BAHEP’s 2009 initiatives. These important initiatives caught media attention across the nation. The Wall Street Journal ran an article on the Ike Dike, a proposed regional storm surge protection model. Expansion Solutions Magazine published an article by BAHEP President Bob Mitchell, NASA advances frontiers of space exploration. The Houston Business Journal featured in its Letters to the Editor section a BAHEP letter titled A call to action announcing a national letter writing campaign in support of NASA and its Human Space Exploration Program. The Houston Chronicle published the article, Ripple effect makes funding for NASA a wise decision, which was later published in the Congressional Record. All major television stations in Houston, along with several radio stations, joined the print media in getting the word out about BAHEP’s work on behalf of the industries and citizens of the region. When the media wanted to know what was happening in Bay Area Houston, they called on the economic development professionals at the Bay Area Houston Economic Partnership.

INFLUENTIAL MARKETING Our marketing materials and dynamic messaging are a critical part of keeping the Bay Area Houston Economic Partnership at the forefront of our community. Pub- lished online five times each year, the Business Development Update features the latest in commercial, industrial, office, retail, hospitality, residential and infrastruc- ture news. Over 4,000 people view and share each edition. BAHEP’s Business to Business page, featured monthly in the Houston Chronicle, the Bay Area Citizen, the Pasadena Citizen and the Friendswood Journal, contains news pertaining to the organization’s initiatives as well as those of our members. Additionally, online news publications Guidry News Service and Wiredin feature BAHEP news releases on events in Bay Area Houston. BAHEP’s Business Briefs online newsletter is in its second year of publication. Published in the spring, summer, fall and winter, the newsletter provides our mem- bership and other interested parties a snapshot of many of the organization’s ac- tivities as reported to our municipalities. It serves to keep our members better in- formed and involved as we work together on a shared regional vision.

Working together for our future 2009 Annual Report 7 AEROSPACE ADVOCACY

BAHEP’s 2009 aerospace initiatives exemplified our focus on working together for our future. Whether on Capitol Hill in Washington, D.C., in the offices of our Texas state legislators, in regional meetings with our senators and congressional repre- sentatives, through thousands of letters or in locally and nationally published arti- cles, BAHEP’s support of NASA was clearly evident. Significantly, Texas Gov. Rick Perry appointed BAHEP President Bob Mitchell to serve on his Aerospace and Aviation Advisory Committee. 2009 Highlights ■ State advocacy efforts saw 78 travelers taking the message “Space Matters to Texas” to legislative offices during Space Week Austin. With the support of Sen. Mike Jackson and Rep. John Davis, the Texas Aerospace Scholars and Technology Outreach Program are now fully funded for the next two fiscal years. ■ BAHEP’s Citizens for Space Exploration group made its 18th annual trip to Washington, D.C.; 115 travelers, including 26 college students, made a record 341 congressional office visits stressing that “congressional support for NASA is vital to our economy’s success.” ■ Beginning in June, BAHEP led 29 initiatives related to the Augustine Committee that was commissioned by President Obama to make recommendations on the future of human space flight. This included a national letter writing campaign in support of NASA and the nation’s Human Space Exploration Program. BAHEP requested not only its 250 members to write letters but asked all of the economic development organizations and chambers of commerce in the region to request letters from their members. The effort crossed state lines when BAHEP invited its partners that work with NASA centers in Alabama, Florida, Louisiana, Mississippi and Ohio to join the letter writing campaign as well. Additionally, Bob Mitchell, BAHEP president, spoke to the Augustine Committee during a public hearing in League City. Joe Mayer, chair of BAHEP’s Citizens for Space Exploration, and David Braun, BAHEP’s marketing manager for aerospace and Nassau Bay city councilman, also

8 2009 Annual Report Bay Area Houston Economic Partnership spoke before the committee stressing how important NASA’s mission is to Space Alliance American competitiveness, jobs, and way of life. ■ BAHEP and Space Center Houston responded to NASA’s Request for Technology Information (RFI) on the use of retired orbiters by submitting Outreach Program a proposal to locate one of NASA’s vehicles at The Space Alliance Technology Outreach Program is administered by the Bay Space Center Houston. Acquisition of an orbiter will boost tourism Area Houston Economic Partnership. It is a State of Texas funded initiative significantly for Bay Area Houston and the surrounding region. designed to transfer the knowledge and technology of the U.S. Space Program ■ BAHEP recognizes that young aerospace professionals are the future of to small businesses. Small business owners faced with a technical challenge the aerospace industry. Nick Gardner, program manager, Space Alliance can receive up to 40 hours of FREE assistance from a scientist or engineer. Technology Outreach Program, facilitated the organization of a group SATOP is made possible through a consortium of Space Alliance Partners, called Young Professionals for Space Exploration (YPSE). The group’s which include NASA Johnson Space Center, aerospace companies, and Web site, www.GoBoldlyNASA.org, has allowed users to send over 2,800 colleges. letters of support for human space exploration directly to the president and their senators and congressional representatives. YPSE plans to continue ■ SATOP celebrated its 10th Anniversary in 2009. Since 1999, SATOP has its advocacy work by educating the public on the importance of the nation’s helped over 600 small businesses across the state. More than 500 jobs space program. have been created or retained, and $125 million has been infused into the ■ BAHEP held meetings with Lt. Gov. David Dewhurst, Sen. Mike Jackson Texas economy. and Reps. John Davis, Ken Legler and Wayne Smith in Austin to discuss ■ In early 2009, BAHEP President Bob Mitchell traveled to Washington, D.C., the organization’s economic development initiatives and the importance of to meet with the chiefs of staff for Sens. Kay Bailey Hutchison and John NASA Johnson Space Center to the economy of the state. Cornyn and Congressmen Pete Olson and Ron Paul to discuss support for ■ BAHEP coordinated several meetings with Sen. John Cornyn and FY2010 federal funding for SATOP resulting in congressional legislation to Congressman Pete Olson and Bay Area Houston aerospace executives in fund the program. SATOP Texas will join a four-state consortium that will order for them to express their concerns about the future of the nation’s offer the program nationwide. human space flight program. ■ SATOP received wide exposure in 2009 when Nick Gardner, SATOP’s ■ BAHEP continued to work with Johnson Space Center management and program manager, was interviewed on Channel 11’s Great Day Houston others to preserve Bay Area Houston’s aerospace talent. A resumé with Deborah Duncan who was featuring a segment on Houston inventors. sharing program, Don’t Get Lost in Space, provides a venue where affected ■ Throughout 2009, SATOP staff manned exhibit booths at local events and employees with a proven track record in the aerospace industry can post made numerous presentations to organizations and businesses in Bay Area their resumé for access by local companies that are hiring. Houston to inform them of SATOP’s free technical assistance. ■ BAHEP partnered with Johnson Space Center, Space Center Houston and ■ More information on the Space Alliance Technology Outreach Program the Clear Lake Area Chamber of Commerce to host a Splashdown Party in can be found at www.spacetechsolutions.com. honor of the 40th Anniversary of the moon landing; 3,000 people attended this highly successful event featuring Apollo Program “alumni.”

Working together for our future 2009 Annual Report 9 2009 Percentage of Members by Business Segment MEMBERSHIP REPORT

IN 2009, the organization’s membership remained steady with 256 diverse members. Three municipalities and the Port of Houston Authority increased their investment, and 19 members joined BAHEP across the following categories:

» 7 — Aerospace » 3 — Hospitality & Tourism » 1 — Construction » 1 — Petrochemical » 1 — Education » 3 — Professional » 1 — Financial » 1 — Real Estate » 1 — Healthcare

Percentage of Revenue by Business Segment

The members of the Bay Area Houston Economic Partnership are the heart and soul of the organization. It is only through the investment of our members that the organization is able to accom- plish its economic development initiatives on behalf of the region.

10 2009 Annual Report Bay Area Houston Economic Partnership COMMITTEES: MEMBER OPPORTUNITIES FOR 2010

AEROSPACE ADVISORY COMMITTEE — Chair, Bob Mitchell, president, Bay Area HEALTH CARE COMMITTEE — Chair, Monica Millican, Branch Manager, PrimeLend- Houston Economic Partnership: The AAC’s mission is to promote continuing support and ing: The HCC’s mission is to encourage collaboration between the Bay Area Houston Eco- commitment to the space programs and space operations functions being implemented by nomic Partnership’s "health care provider" members to improve the heath status of our com- NASA Johnson Space Center. The AAC recommends and implements initiatives to support munity and to demonstrate the community and economic benefits and quality of the health the interests of NASA JSC and the local aerospace community. care industry in our region, with a specific objective of maximizing availability of our local health care services, as possible, through partnering, and community awareness. CITIZENS FOR SPACE EXPLORATION / TEXAS — Chair, Joe Mayer, senior manager of business development, Lockheed Martin: The mission of CSE is to promote aware- INTERNATIONAL BUSINESS DEVELOPMENT COMMITTEE — Chair, Richard Sanger, ness and advocate support for NASA and America’s Space Exploration Program. director of development, Space Center Houston: The mission of the IBDC is to support the regional opportunities to recruit, retain, expand and create international business. INTERNATIONAL MARITIME ADVISORY COMMITTEE — Chair, Dr. William T. McMullen, head, Department of Maritime Administration, Texas A & M University at SPACE CENTER VOLUNTEERS — Chair, Eva deCardenas, coordinator of External Galveston: The mission of IMAC is to support, advise, and advocate on matters relating to Affairs, Clear Creek Independent School District: SCV is an organization consisting of the region’s maritime industry, ports, and supporting intermodal transportation infrastructure contract and civil space industry employees working together in the community to improve and to review and make recommendations on strategic and policy level decisions to improve life on Earth. the overall operating environment. TEAM NASA — Chair, Eva deCardenas, coordinator of External Affairs, Clear Creek EDUCATION AND WORKFORCE DEVELOPMENT COMMITTEE — Chair, Harv Independent School District: As a team comprised of NASA, contractor and community Hartman, managing partner, Summit Management Group: The EWDC’s mission is to representatives, Team NASA builds a seamless partnership with JSC to enhance employee, enhance Bay Area Houston’s overall economic development and quality of life by collaborat- contractor and community activities. ing to create a world-class community offering the best in education and training; advocating for education; sharing best-practices; assisting member organizations to achieve their re- YOUNG PROFESSIONALS FOR SPACE EXPLORATION — Chair, Nick Gardner, spective goals; and establishing innovative and effective partnerships. SATOP program manager, Bay Area Houston Economic Partnership: Newly formed in 2009, Young Professionals for Space Exploration (www.goboldlyNASA.org) is a group of POLITICAL PROTOCOL COMMITTEE — Chair, Barry Beasley, director, External young aerospace professionals who have a passion for space exploration. These men and Affairs, AT&T: The PPC’s mission is to provide a forum for discussion, communication and women represent the future of the aerospace industry. They share their enthusiasm through outreach on issues affecting businesses in Bay Area Houston to elected officials, candidates public outreach initiatives and education. and other key individuals. ANNUAL QUASAR AWARD BANQUET COMMITTEE — Chair, Marc Havican, SMALL BUSINESS COMMITTEE — Chair, Mark Conrad, owner, Express Employment president, Space City Films Inc.: The committee plans and prepares for the Annual Professionals: The purpose of the SBC is to help the organization’s small businesses Quasar Awards Banquet held in January. Attended by approximately 650 prominent grow by creating an environment for opportunity and advancement. business leaders and elected officials at the local, state and national levels, this elaborate banquet is a highlight of the year. CHEMICAL INDUSTRY ADVISORY PANEL — Chair, Alvin Garza, manager, Human Resources, Environmental Health & Safety, Intergulf Corporation: The CIAP’s mission COMMUNICATIONS COMMITTEE — Chair, Pat Patton, owner, Born Wild — Innovative is to connect the chemical industry’s needs and challenges with resources and expertise to Promotions: Engages business leaders in the communications, marketing, journalism, foster the growth of this important pillar of the region’s economy. public relations, graphic design and advertising industries to collaborate on public relations projects and events. ELLINGTON FIELD TASK FORCE — Chair, John Martinec, president, AeroSys LLC: The EFTF focuses on retention and expansion of the joint reserve base military presence at Ellington Field.

Working together for our future 2009 Annual Report 11 2009 MEMBERS

*New Members in 2009 CenterPoint Energy EduSafe Systems Chemical Market Resources Inc. Robert Elberger 5 to 50 Networks Cherokee Webster Development LP Encore Business Consulting Inc. Advantage BMW Clear Lake CHRISTUS St. John Hospital Enterprise Advisory Services Inc. AeroSys LLC Cimarron ERC Inc. Alliance Commercial Investments Inc. City of Clear Lake Shores Express Employment Professionals Alliant Technologies Inc. (ATK) City of Dickinson The Eye Clinic of Texas Al-Razaq Computing Services City of El Lago Falcon Group AmegyBank of Texas City of Friendswood Fast Signs - Clear Lake American Acryl City of Houston Friendswood Chamber of Commerce *AMOCO Federal Credit Union City of Kemah Friendswood Independent School District Amstel Holdings City of La Porte Frost Bank Anadarko Industries City of League City Futron Corporation Archer Group with Remax City of Nassau Bay Galveston County ARES Aerospace and Technology Services City of Pasadena Galveston County Economic Alliance The Arts Alliance Center at Clear Lake City of Seabrook Galveston Economic Development Partnership Astrium North America Inc. City of Taylor Lake Village GB Tech Inc. Astrotech Corporation City of Webster GeoControl Systems AT&T Clay Development & Construction Inc. GeoLogics Consulting Bailey’s Family Restaurants Inc. *C4 Clear Creek Community Charities Inc. Greater Houston Convention & Visitors Bureau Barlow, Jones & Brust LLP Clear Creek Independent School District Greater Houston Partnership Barrios Technology Clear Lake Area Chamber of Commerce Greer, Herz, & Adams LLP Bastion Technologies Clear Lake Flowers & Gifts Gregg & Gregg PC Bay Area Citizen Clear Lake Regional Medical Center Griffin Communications Group Bay Area Houston Ballet & Theatre Coldwell Banker United Realtors Griffin Partners Inc. Bay Area Houston Transportation Partnership (BAYTRAN) College of the Mainland GSL Industrial *Bay Area Turning Point Inc. Colliers International Guidry News Service Bay Oaks Country Club Commercial Resource Capital Gulf Coast Limestone Inc. Baybrook Mall / General Growth Properties Inc. Communities In Schools Bay Area Gulf Coast Waste Disposal Authority Bayshore Medical Center Computer Sciences Corporation (CSC) Gurry Mechanical BaySouth Maintenance Services Inc. Continental Airlines Ham, Langston & Brezina LLP Big League Dreams Coventry Development Corporation - Houston Hamilton Sundstrand BLACKHAWK Management Corporation Crowder Funeral Homes Harborwalk Yacht Club & Marina The Boeing Company Ruby Cubley Harris County Booz Allen Hamilton Cullen’s Upscale American Grille Hilton Houston NASA Clear Lake Born Wild - Innovative Promotions Dean & Draper Insurance Agency LP Hodges Family Holdings Bowers & Sadler Deke Slayton Cancer Center Honda of Clear Lake Burrows & Curran Investment Group of Wells Fargo Advisors Devereux Texas Treatment Network Honeywell Capital Bank - Pasadena Dickinson Independent School District Houston Area Safety Council *Capital One Bank Digitex Corporation Houston Association of Realtors Capital Commercial Investments Inc. Dittmar Associates The Houston Chronicle *Career Uniforms DRDA PC Icon Bank of Texas, N.A. CDS Market Research Inc. Economic Alliance Houston Port Region INEOS NOVA

12 2009 Annual Report Bay Area Houston Economic Partnership Moody National Bank TEI Staffing 2009 MEMBERS MRI Technologies Teledyne Brown Engineering My FlooringAMERICA Tessada & Associates *Innovative Technologies Inc. NAI Houston Texas A&M University at Galveston Interactive Medical Connections Inc. NASA Johnson Space Center Texas Chiropractic College *Intergulf Corporation National Space Biomedical Research Institute (NSBRI) Texas Citizens Bank ITT Technical Institute Neptec USA Thrivent Financial for Lutherans Bay Area Group J. A. Billipp Company *New Dimensions Home Healthcare Plus Tietronix Software Jacobs Norman Frede Chevrolet Titan Testing & Engineering Services Inc. Jamail and Smith Construction *Northrop Grumman Integrated Systems tommy’s Seafood Steakhouse JES Tech Null-Lairson PC Robert L. Trask *J Holt Properties LLC Oceaneering Space Systems Inc. Trustmark National Bank, Texas John Manlove Marketing & Communications Odfjell USA Inc. Twenty Twenty Properties Inc. JPMorgan Chase Bank One Stop Party Shop UHCL Center - Economic Development & Research JSC Federal Credit Union Orbital Sciences Corporation United Equities Inc. Juist, Fabio & Ward *Paragon Space Development Corporation United Space Alliance (USA) *K-Mar Joint Venture The Pasadena Citizen Universities Space Research Association - USRA K Realty Pasadena Independent School District University of Houston Kaneka Texas Corporation Patriot Bank University of Houston - Clear Lake Kelsey-Seybold Clinic Pennington Chen Interests *University of Phoenix Kemah Boardwalk Perry’s Restaurant Group University of Texas M. D. Anderson Key Broadcasting Company PM Realty Group Cancer Center - Bay Area Kuraray America Inc. Port of Houston Authority U.S. Development Group L-3 Enterprise IT Solutions PrimeLending UTMB - Galveston Lakewood Yacht Club Prosperity Bank Vesco Business Products La Porte Independent School District Quanah Technical Services / Quahada Corp. Waldron & Schneider LLP LCS Constructors Raytheon Technical Services Company *Walker Parking Consultants Inc. League City Chamber of Commerce & Business Association Rhapsody Solutions Warwick Construction Inc. Lexus of Clear Lake RSA Corporation Waste Management of Texas Inc. Lockheed Martin S&K Aerospace Inc. Wells Fargo Bank Lockwood, Andrews & Newnam Inc. SAIC *Wings Over Houston Airshow Madison Benefits Group Inc. San Jacinto College District Wile Interests *ManTech International Corporation San Jacinto Museum of History Wendell M. Wilson & Dr. Pat Potter Marriott South Shore Grille Wyle Integrated Science and Engineering Group Marsh Darcy Partners Inc. *South Shore Harbour Country Club Martin Fein Interests South Shore Harbour Resort & Conference Center MaximGroup Southwest Airlines Company MaxxStar / Newton Graphic and Promotional Southwest Airport Services *McCormick Stevenson Space Center Automotive MDA Federal Inc. Space Center Houston Meador Staffing Services Space City Films Inc. MEI Technologies SSCI Environmental & Consulting Services Melange Catering & Fine Cuisine Star Toyota Memorial Hermann Southeast Hospital *Staybridge Suites Houston - NASA / Clear Lake Merrill Lynch Sterling Bank - Clear Lake Metrica Inc. Stinger Ghaffarian Technologies Mills Shirley LLP Stream Realty Partners LP Minuteman Press Studley Inc. Moody Gardens Inc. Moody National Bank Summit Management Group Bay Area Houston Economic Partnership P.O. Box 58724 Bay Area Houston, Texas 77258-8724

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