SITESELECTION.COM/CC/TEXAS • ECONOMIC DEVELOPMENT GUIDE • 2020-2021

Population: 195,342 Workforce: 496,793 No State Personal Income Tax

No State Corporate Population Growth Bachelor’s Degree Income Tax (99-19) 327% or Higher: 45% 5900 S Lake Forest Dr. McKinney, TX 75070 972-316-7076 CONTENTS

ECONOMICTEXAS DEVELOPMENT GUIDE 2020-21 Edition | Volume 11

BUSINESS CLIMATE 10 Cover Story: The State of the Decade No state in the nation has performed at the economic level Texas has over the last decade.

14 Economic Overview The Lone Star State is poised to weather the coronavirus pandemic with an unmatched set of strengths.

19 Profi le: Gov. Abbott Texas Gov. Greg Abbott lets nothing hold back him or his state. Not even a pandemic.

23 Interview: Adriana Cruz The Executive Director of Economic Development and Tourism shares her strategy to help Texas overcome the effects of coronavirus on the economy.

29 Interview: Aaron Demerson The Texas Workforce Commissioner explains Texas’ inherent advantages in worker training, and discusses how the state is equipped to meet all job challenges.

34 FDI & Exports Some of the most high-end products are created in the Lone Star State and shipped around the globe.

38 Entrepreneurship & Innovation Texas colleges and universities produce many of the world’s brightest minds and most impactful inventions.

40 Higher Education From community colleges to research universities, Texas boasts world-class higher education institutions and innovative researchers.

44 Statistical Profi le Texas by the numbers.

2 TEXAS ECONOMIC DEVELOPMENT GUIDE

INDUSTRY PROFILES 46 Corporate Headquarters A wave of corporate relocations in Texas is reverberating around the country.

48 Oil & Gas As the Capital of Energy Independence, Texas is propelling the national economy forward.

50 Renewable Energy & Electric Utilities Wind and solar power are increasing the state’s energy capacity while providing environmental benefits.

54 Automotive Manufacturing Texas now ranks seventh in total automotive manufacturing employment in the U.S.

56 Aerospace, Aviation & Defense As the No. 2 location in the country for aerospace manufacturing attractiveness, Texas inhabits rarified air.

58 Advanced Manufacturing The Lone Star State’s manufacturing might is reaching new heights with high-tech companies.

60 Cybersecurity A new breed of cybercrime fighters is gearing up in San Antonio’s many cybersecurity centers and ranges.

62 Biotech, Life Science & Health Care Houston’s Texas Medical Center campus is growing by leaps and bounds.

64 Data Centers, Software & IT The world’s largest bitcoin mining operation is being built in a small Texas town.

68 Agribusiness & Food Processing Texas takes the cake with several new food and beverage processing plant expansions.

4 TEXAS ECONOMIC DEVELOPMENT GUIDE

CORPORATE EXPANSIONS 70 Gulfstream Aerospace Airplane maker reaching new heights in Fort Worth.

72 Amazon Air Logistics & Supply Chain: AllianceTexas is a prime location for Amazon Air Hub, logistics centers.

76 ExxonMobil 80 INVESTMENT PROFILE: Global energy giant embarks on massive project in Corpus Christi. Terrell, Texas Students in Terrell are acquiring 78 Twin Disc skills in robotics, engineering, Why a Wisconsin-based firm chose to set up shop in Lufkin. manufacturing and more to help them build their own community. COMMUNITY PROFILES 84 Community Profiles 86 INVESTMENT PROFILE: Explore Texas metro areas with facts and figures. Allen, Texas Allen is making a play for high- paying jobs and the industries WORKFORCE that create them. 107 Foster Youth Transition Centers The Texas Workforce Commission is working to help give the state’s foster children a hand up and opportunities in the state’s workforce.

110 Texas Conference for Employers All the answers to employers’ questions can be found at Texas Conference for Employers events across the state.

113 Texas Internship Challenge A challenge is afoot to see industry and employers offer more opportunities for paid internships in the state.

114 Resources for Workforce From new students choosing a career pathway to veterans entering the civilian workforce, Texas has ample resources for workers.

LIFE IN TEXAS 116 Sports & Recreation Pro sports teams and dynamic stadiums like Globe Life Field score in the hearts of sports fans across Texas.

120 Quality of Life Ten reasons why life is bigger and better in Texas.

124 Photo Gallery Life is more colorful in Texas.

128 Index to Advertisers

6 TEXAS ECONOMIC DEVELOPMENT GUIDE

DIGITAL EDITION

TAKE THIS GUIDE WITH YOU ENJOY Read the digital edition on your tablet or phone. Click on links within articles for even more information. SHARE Share the magazine on social media with your friends and community. Cover design by Sean Scantland LINK Feature the magazine on your blog, website or newsletters with a link or one of our easy-to-use tools.

siteselection.com/cc/texas

CEO & Publisher ADAM JONES-KELLEY Executive Vice President RONALD J. STARNER VP of Publications & Editor in Chief MARK AREND Managing Editor of Custom Content SAVANNAH KING Managing Editor ADAM BRUNS Senior Editor GARY DAUGHTERS

Art Director SCOTT LARSEN Production Manager BOB GRAVLEE The publishers believe that the information contained in this publication is accurate. Lead Designers SEAN SCANTLAND However, the information is not warranted, and neither Conway, nor Texas Economic RICHARD NENOFF Development Guide, assumes any liability or responsibility for actual, consequential or NEGIN MOMTAZ incidental damages resulting from inaccurate or erroneous information. Graphic Designer WHITNEY ONI

PHONE: (770) 446-6996 • FAX: (770) 263-8825 • TOLL FREE: (800) 554-5686 Vice President of Sales CHARLES FITZGIBBON Regional Director Custom Content MARGARET ROSE email: [email protected] web: siteselection.com/cc/texas Regional Director CATHY McFARLAND Customer Support Manager BRIAN WATSON Texas Economic Development Guide is published by Conway, Circulation Manager JULIE CLARKE 6625 The Corners Parkway, Suite 200, Peachtree Corners, GA 30092 USA. Lead Photographer CARMYN SUZOR PRINTED IN USA. ©2020 Conway

DIGITAL TECHNOLOGY TEAM Webmaster BEN YAWN Director of Programming & Analytics DANIEL BOYER IT Coordinator MARK BERTRAM

8 TEXAS ECONOMIC DEVELOPMENT GUIDE

COVER STORY

State of the DE CADE

10 TEXAS ECONOMIC DEVELOPMENT GUIDE How does one state dominate for 10 years? Three key traits State of the DE CADE set the tone. by RON STARNER

hen the official it captures the biggest history of the ones too. Of the six decade of the largest capital investment 2010’s is written, projects recorded in 2019, the record will three of them landed show that no in The Lone Star State. state in the nation performed The TI semiconductor Wat an economic level plant in Richardson anywhere close to Texas. was the granddaddy of If that sounds like an them all, at a whopping overstatement, consider $3.1 billion in capital the facts: investment. ExxonMobil • From 2012 through 2019, Chemical invested $2 Texas led the nation every billion in Baytown, and single year in the number of Steel Dynamics is kicking corporate facility expansion in another $1.9 billion projects, as measured and in Sinton. reported by Site Selection Magazine. The winner of • Of the top five U.S. markets this annual tally receives for industrial space the prestigious Governor’s deliveries in 2020, two Cup. Texas claimed it eight are in Texas, with Dallas times in eight years. showing up second and Houston coming in fifth, • In 2019, Texas garnered an according to Yardi Systems. astounding 859 corporate facility expansion deals, • The fastest-growing cities surpassing all contenders in America remain in Texas. by a country mile. Ohio According to WalletHub, finished second with 448, eight of the 30 fastest- while Illinois came in growing cities in the third with 423. country are in The Lone Star State, led by Frisco • Texas does not just at No. 5 and Round Rock capture the most deals; at No. 10. Others in the

One of North Texas’ favorite outposts, Truck Yard, is soon to break ground at AllianceTexas in north Fort Worth. Photos courtesy of Cooksey Communications Inc.

TEXAS ECONOMIC DEVELOPMENT GUIDE 11 Low taxes, reasonable business regulations and a very affordable cost of living add up to an economic slam dunk for business owners and operators.

top 30 are College Station, skilled, diverse and growing. McKinney, Midland, Austin, Some 37 public universities Sugar Land and Pearland. and 50 community college districts produce a pipeline • Chief Executive Magazine of talent that is regularly has named Texas the Best rated among the best in the State for Business a record nation. Nationally recognized 15 years in a row; Forbes research faculty support has ranked Texas as the this endeavor through Gov. No. 1 Economic Climate; Greg Abbott’s Governor’s and Thumbtack says Texas University Research offers the Best Climate for Initiative, which provides Skilled Professionals. matching funds to help Texas institutions of higher • Texas also ranks as the education recruit nationally No. 1 exporting state recognized research faculty. in the nation and the Texas also delivers leader in high-tech customized workforce exports, according training. Using the Skills to the U.S. Bureau of Development Fund, Texas Economic Analysis. provides premier job-training programs on an as-needed Against this backdrop of and just-in-time basis overwhelming evidence, for expanding employers the question is why? Why statewide. does Texas consistently Secondly, infrastructure top every other state in matters. With 380 airports, business attractiveness and 10,539 miles of freight rail economic performance? The (most in the nation), 16 answer is threefold: talent, seaports, 32 foreign trade infrastructure and business zones, and over 313,000 miles environment. of public roads (also most When it comes to in the country), Texas has workforce, no state can match the transportation network what Texas offers. First and required to get any supply foremost, Texas boasts a chain moving and ship goods labor pool of more than 14 to market expeditiously. million — second largest Finally, a best-in-class in the country; and it is business climate delivers

12 TEXAS ECONOMIC DEVELOPMENT GUIDE results. Low taxes, reasonable Sysco and American Airlines, business regulations and a choose Texas as their home very affordable cost of living base. So do many foreign add up to an economic slam companies, such as Toyota, dunk for business owners and BAE Systems, Siemens and operators. Shell Oil. If Texas were a country, The business case for it would rank as the 10th operating in Texas is proven largest economy in the daily. That’s why CNBC world based on GDP, ahead named Texas the No. 1 state of Australia, Mexico, Spain, for business a record four Russia and many others. years in a row. When it comes That’s a big reason why to determining the state of 49 Fortune 500 companies, the decade, there’s really no including ExxonMobil, AT&T, debate: it’s Texas. ECONOMIC OVERVIEW TEXAS POISED TO RANK AMONG GROWTH LEADERS FOR DECADES Photo: Getty Images Photo:

ong-term economic performance is driven by fundamental factors determining competitiveness in a complex global environment. The coronavirus Lhas clouded the short-term Despite COVID-19 pandemic, the outlook for the economy, we underlying fundamentals for the are seeing major disruptions, and it is much too early to Lone Star State remain strong. know the ultimate effects of these phenomena. Even in the face of the current economic challenges, however, the Texas economy is positioned for growth in the coming by M. RAY PERRYMAN decades exceeding most parts of the United States. With a combination of resources including a young and growing workforce, favorable business environment, and a

14 2020 TEXAS ECONOMIC DEVELOPMENT GUIDE

Colorado River in Austin Photo by Carmyn Suzor diverse set of industries, the impacted early on, with state is likely to see notable effects expanding to include expansion in the future. store and restaurant closures and other disruptions across COVID-19 and the the U.S. as the virus spread. Texas Economy Simultaneously, Saudi Arabia These are extraordinary and Russia engaged in a times, and as I am writing crude oil price war, sending (mid-March), we are in prices plunging. The impact the midst of the unfolding is severe, but neither country COVID-19 pandemic and an is able to weather such prices ongoing oil price war (which for an extended period (for also materially affects the different reasons), and there fortunes of Texas). COVID-19 are signals that talks may is having notable effects on resume. As a major exporting markets and the economy, state and oil producer, Texas M. Ray Perryman, President and CEO of both nationally and in Texas. has been negatively affected The Perryman Group We initially saw supply in a substantial way. Given the chain bottlenecks, as many rate at which events are now goods manufactured in the accelerating and affecting the U.S. source components U.S. and the rest of the world, from China. Shortages of the effects will undoubtedly consumer goods produced be much more pronounced in China began to occur and over the next few months. are still occurring, including At the same time, the pharmaceutical products fundamental conditions of the at a critical time. Although national and state economies conditions are normalizing to were quite strong going into some extent in some areas, the COVID-19 outbreak, and backlogs will continue. the current slowing is more In essence, the global of a pause, albeit a painful economy is highly integrated, and potentially extended one, and something like an than a long-term derailment unknown virus can affect of progress. While it will take us from many directions. some time to work through Companies that sell the virus challenges, the extensively abroad were sharp downturn is likely to be

16 TEXAS ECONOMIC DEVELOPMENT GUIDE

performance sets the stage for future gains. While the path will be different than before, there is nothing to suggest that growth over time will not achieve prior projected levels. By 2024, over 1.3 million jobs are expected to be added in the state, with gains concentrated in food service; professional, scientific, and technical services; and health care. The Texas population is forecast to grow by more than 2 million. Real gross product in all major industry groups is projected to expand through 2024, with the services and mining (largely oil and gas in Texas) segments likely to experience the largest growth in annual real gross product. The state is expected to outpace the nationwide growth rate over the period in gross product as well as employment.

Conclusion Photo by Shay La’Vee followed by a rapid comeback The Texas economy will once conditions normalize. be dealing with the fallout Texas is well positioned to from the pandemic for a emerge from the COVID-19 while. Nevertheless, key turmoil fairly strongly. industries and patterns will Although energy remains support recovery and future a vital part of the state expansion. For example, economy, Texas is also home dramatic changes in the to a large and growing base energy sector in recent years of technology industries, have caused oil production professional and business costs to fall sharply in Texas, services, and other types of and a return to growth firms which will contribute during the forecast horizon to future prosperity. Things is expected. Fundamentals will certainly be somewhat required for economic growth different as you are reading, are in place, and the Lone but this is the view from the Star State will likely be ground today. among the growth leaders for Prior to the outbreak, the decades to come. Texas economy was adding jobs at a notable pace, with Dr. M. Ray Perryman is the unemployment rate near President and Chief Executive record lows. In addition, the Officer of The Perryman state has been attracting Group (www.perrymangroup. the most major corporate com), which has served the locations and expansions for a needs of over 2,500 clients number of years. This strong over the past four decades.

18 TEXAS ECONOMIC DEVELOPMENT GUIDE PROFILE: GOVERNOR GREG ABBOTT

In Texas, Gov. Abbott has created momentum for economic recovery and growth. An Analysis

by RON STARNER

hen the history of 2020 is written, two things will stand out: the life-taking devastation wrought on the world by COVID-19, and the incredible resiliency of mankind to survive. WOvercoming the greatest health and economic crisis of the 21st century will require a level of leadership unlike any we’ve seen in a long time, but if there’s one person capable of answering that call, it is Gov. Greg Abbott of Texas. No one embodies the comeback spirit any better. Paralyzed below the waist since age 26, when an oak tree fell on him while he was out running, he would have two steel rods implanted in his spine and undergo extensive rehabilitation at TIRR Memorial Hermann in Houston. He has had to use a wheelchair for mobility ever since. That physical setback has not slowed him down. A champion track star in high school and the student voted “Most Likely to Succeed” as a senior, he would go on to become a highly successful state Supreme Court judge and state attorney general before being elected the 48th governor of Texas in 2014. What happened next defies explanation. He took over a state that was already doing well economically and took it to another level. In March of this year, he accepted the prestigious Governor’s Cup award

TEXAS ECONOMIC DEVELOPMENT GUIDE 19 On Gov. Abbott’s watch, Texas has added 1,000 new residents a day, as people relocate from other more costly and more tax-burdened states. In many instances, they are moving to Texas because their employer chose to move there first.

from Site Selection magazine for place — in public health matters, in securing the most corporate facility serving the citizenry, and in economic expansion projects in the nation. prosperity. Even more remarkable is the fact He will certainly have his work cut that this was Texas’ eighth year out for him coming out of this crisis, in a row to claim that honor — an but if there is any doubt over whether unprecedented achievement in the he is up to that challenge, one need history of economic development in only look at his track record. From this country. overcoming a life-changing disability to leading his state to the No. 1 spot atop the Governor’s Cup rankings in Site Selection, Abbott has persevered and beaten the odds at every turn. He’s led in good times and bad. He’s cut taxes, shredded burdensome regulations, invested heavily in public education and the state university system, upped the ante on workforce development and training for all residents of his state, and done it all while leading Texas to a record 17th year in a row as the No. 1 exporting state in the nation. In a recent interview with Site Selection Editor-in-Chief Mark Arend, Abbott said this: “I won’t sign any law that adds any regulation unless it cuts two regulations. We will be focused The Quiet Fighter on regulatory reduction.” People who know Abbott well say And then he said: “In addition, we two things about him: you will never cut property taxes. And we passed a meet a nicer man in your lifetime; law that limits the ability for those and he is a tenacious fighter. While property taxes to be increased in initially those two attributes may the future, making housing more seem to be at odds with one another, affordable and making the cost of they are woven together perfectly living and taxes a little bit better.” in this governor. His gentle, calm demeanor is exactly what Texas needs Never Settling for Second during the current pandemic crisis, Under his watch, the state of Texas and his fighting mentality means has added 1,000 new residents a day, that he will never settle for second as people relocate from other more

20 TEXAS ECONOMIC DEVELOPMENT GUIDE

costly and more tax-burdened states. a vacuum, or without considerable In many instances, they are moving state and local leadership. Officials in to Texas because their employer Frisco and Greater Dallas teamed up chose to move there first. A case in with the Texas Economic Development point is the PGA of America, which Corp. and the Governor’s Office of is leaving its longtime home of Palm Economic Development to make Beach Gardens in Southeast Florida it happen. to establish a new 100-employee At the helm of that effort the headquarters in Frisco, part of entire way was Gov. Greg Abbott. a half-billion-dollar mixed-use Nice guy. Determined fighter. development that will one day bring Dealmaker in chief. a PGA Championship and Ryder Cup Whatever label you want to slap on tournament to North Texas. him, there’s one title he never wants: Deals like that don’t happen in runner-up.

22 TEXAS ECONOMIC DEVELOPMENT GUIDE LEADERSHIP INTERVIEW: ADRIANA CRUZ Leading in a Time of Crisis

How Texas EDT mobilized to help businesses respond and recover in wake of COVID-19.

by RON STARNER

hen Gov. Greg Abbo named Adriana We’ve been home to more natural disasters than Cruz as the Executive Director of the any other state in the country. However, this Economic Development and Tourism is a completely unprecedented time. In rapidly (EDT) Division within the Offi ce of declaring a State of Disaster because of the the Governor in late 2019, he tapped imminent threat posed by COVID-19, Governor Wa leader with a record of accomplishment in Abbo ’s primary focus was on the health and economic development and business. safety of Texans. The Governor then issued Cruz had most recently served as President continual waivers to remove roadblocks and of the Greater San Marcos Partnership, and ensure that communities across the state had before that she had served in leadership at the the medical staff , capacity and supplies needed Austin Chamber of Commerce. to keep residents safe. Regulations were waived In her new role, Cruz is tasked with leading to speed the delivery of food and supplies, statewide economic development efforts, as well as to allow our local restaurants to including business promotion, attraction, maintain to-go and delivery operations while retention, expansion and assistance. She maintaining safe social distancing. State and wasn’t even on the job for three months federal resources were leveraged, and private- before Texas, like the rest of the nation and sector solutions were also solicited. the world, got hit with the COVID-19 pandemic At the same time, the Economic Development and resulting economic recession. & Tourism team mobilized immediately to In the following interview, Cruz shares respond to the needs of our Texas businesses what she and her team have been doing to and communities. Although the vast majority help businesses in Texas navigate through the of our staff were working remotely, we reached crisis and position themselves for recovery. out to our Designated Community Economic Development partners and allies to let them How did your offi ce mobilize to respond to know that the business of the State would the outbreak of COVID-19 and its resulting continue. We continued to work projects and impact on communities and businesses send out leads as we received them. We created a around Texas? cross-divisional communications team, working together across industry sectors including Film, CRUZ: Texas is no stranger to challenging times. Music, and Tourism to ensure a steady stream

TEXAS ECONOMIC DEVELOPMENT GUIDE 23 The Strike Force to Open Texas is “comprised of Texas business leaders from industry sectors across the state, including top medical professionals, to advise the Governor on the steps, processes and structures needed to lead our economic recovery.” — Adriana Cruz, Executive Director of the Economic Development and Tourism (EDT) Division within the Office of the Governor

of consistent information regarding experts and support systems. Our first available federal and state programs. Small Business Webinar, which focused Our Industry team began reaching on Central Texas businesses, had more out to our existing company contacts than 4,000 registrants and more than and industry associations to see what 3,000 small business owners joined. assistance they needed. Our Small In addition, we retooled some of our Business team received a record number state incentive programs to eliminate of calls from Texas businesses in need of processes and/or revise regulations that direct, technical assistance. We cross- just didn’t make sense in a time of social trained each division so that we could distancing. This included some of the put more staff on the phones handling rules in our Enterprise Zone Program, our calls and inquiries with the most up-to- Product Development and Small Business date information possible. At the time, Incubator Loan program, and the Events information and guidelines on programs Trust Fund. were changing rapidly. We instituted a system to keep our staff informed What were some of the biggest needs of the latest updates and pushed out of businesses during this time? the latest information via our social media channels, our website, and an CRUZ: The biggest needs varied by email subscription list that was created industry sector and by company size. specifically for COVID-19-related updates While some firms were laying off people, and gained more than 6,000 subscribers others were hiring at the same time. in a matter of days. Some businesses in the hospitality or We partnered with the Texas restaurant sectors needed to find ways Workforce Commission on a series of to keep their customers while still webinars for Texas employers, organized following local and county guidelines. by the local Workforce Development The Governor provided regulatory Boards across the state to provide guidance, which helped them to retool information and resources to as wide an their business. Many small businesses audience as possible. We also organized were in immediate need of working the Governor’s Small Business Webinar capital. Governor Abbott immediately Series with our local chambers and made a request for a Presidential Disaster community partners in partnership with Declaration so that Texas businesses the U.S. Small Business Administration could qualify for the Economic Injury (SBA) and local Small Business Disaster Recovery Loan program and Development Centers (SBDC) to provide receive necessary funds to sustain their guidance to our area small businesses business through the crisis. and assist them in connecting with local

24 TEXAS ECONOMIC DEVELOPMENT GUIDE

Essentium donated masks to the Pflugerville Police Department and Public Works Department in response to COVID-19 pandemic crisis. Photo courtesy of Pflugerville

How were you able to help them? a member of this select group of advisors to Governor Abbott as we undertake this CRUZ: Once the Coronavirus Aid, Relief, critically important task, and expect and Economic Security (CARES) Act was that the Economic Development & signed by the president and additional Tourism office will play a significant role programs were available, our team in these efforts. The work of economic worked with the SBA and local SBDCs developers is needed now, more than to provide assistance and guidance to ever before. Our office will continue to our small business community to be work with companies and consultants able to access these programs. In early as they evaluate locations, work with April, Governor Abbott announced our existing companies to ensure they a partnership between Goldman are stable, work with our small business Sachs, LiftFund and other Community community and entrepreneurs, and work Development Financial Institutions with our local community partners. (CDFIs) to provide $50 million through the Paycheck Protection Program to What is your central message to provide financial assistance to Texas businesses, both inside Texas and out, small businesses. about resiliency and recovery?

When Texas and the country enter CRUZ: As I stated at the start of the into the economic recovery phase, interview, Texans know a thing or two what will be some of the main tasks about resiliency and recovery. We’ve been of your organization? through challenging times before and come through even stronger than before. CRUZ: Once it became clear that social Whether its fire, flood or hurricane, distancing and “Stay at Home” initiatives Texans respond with calm resolve and had begun to show some progress, strength. Even after the devastation of Governor Abbott announced the Hurricane Harvey, our economy came Governor’s Strike Force to Open Texas, roaring back. In fact, Texas led the nation chaired by Texas business executive for economic growth last year. Just as James Huffines. The Strike Force to Open we overcame challenges in the past, we Texas is comprised of Texas business will overcome this one. The things that leaders from industry sectors across the make Texas a great place to live, work state, including top medical professionals, and do business have not changed. Our to advise the Governor on the steps, young, growing workforce (the second processes and structures needed to lead largest in the country) continues to be our economic recovery. I’m honored to be talented, productive and diverse. Our

26 TEXAS ECONOMIC DEVELOPMENT GUIDE

central location and strong infrastructure supplies. Businesses large and small stepped has not changed. Our reasonable regulatory up and innovated to meet community needs. climate and pro-business attitude has not One example is Sweet Shop USA in the changed. Texas is known for our “can-do” small community of Mount Pleasant, Texas. spirit. The things that made us a great place Sweet Shop, the largest handmade chocolate before, and the nation’s leader in job creation, factory in the U.S., pivoted to convert are still here and still strong — and will make the plastics typically seen over specialty us great again. cardboard boxes into personal protective equipment (PPE), creating 50 new jobs in the Texas has overcome many challenges first few weeks. Sweet Shop had orders for before. How is this one different? And are 500,000 and expected an additional order of you able to apply any lessons learned from 1 million, potentially creating 100 new jobs in previous recoveries? a matter of months. In San Antonio, Toyota- supplier Reyes Hayashi Automotive began CRUZ: This challenge is different. We’ve producing face shields. never seen anything like this before. As And in the Dallas-Fort Worth region, Texans, we’re familiar with natural disasters. Prestige Ameritech began producing 2 million But we’ve never had a global health crisis, face masks a week with 24-hour operations at least not in over a hundred years. I’ve staffed in part by Texas National Guard heard this situation described as a months- members. Other leading employers who are long economic hurricane. We’ve overcome making a difference across the state include: challenges before, and we learn from each one. Amazon, Randalls and H-E-B are hiring more What we’ve learned is that we need to work Texans and increasing hourly wages to ensure together to protect each other and keep our access to groceries and supplies. H-E-B is also frontline emergency workers safe. Once the joining Dell, ExxonMobil, Frost Bank, USAA, health threat is contained, we will unleash the Walmart and other corporate citizens in economy and again lift every Texas family, donating food and millions in funds to food business and entrepreneur. banks, nonprofits and organizations helping to meet community needs. Home Depot Can you share any examples of how the and NRG are ensuring health care workers business community came together during and first responders have the safety and the pandemic to help each other? emergency equipment needed. Boeing is providing reusable protective face CRUZ: Texans have overcome past shields for frontline health care professionals. challenges by working together — by AT&T, Comcast, Spectrum, Sprint, T-Mobile neighbors helping neighbors and Texans and Verizon are all working to keep Texans helping Texans. In the same way, the and Americans connected. American Airlines business community — from Fortune is waiving change fees for purchased 500 companies to small mom and pop travel, and Southwest Airlines is offering to businesses came together, innovating and transport medical workers to Texas. Valero serving their fellow Texans. To ensure that Energy and distilleries like Tito’s Vodka have Texas had the medical supplies necessary to retooled operations to produce hand sanitizer handle immediate needs, Governor Abbott in bulk; Apple is designing and producing face announced a Supply Chain Strike Force, masks; and Walgreens is opening their store led by a Dell global supply chain executive, lots for drive-through coronavirus testing. to source needed medical supplies and Then there are the unnamed but heroic personal protective equipment as quickly small business owners who have made hard as possible. Interested businesses and decisions to do the right thing — to alter their entrepreneurs signed up at the Supply businesses entirely to produce essential foods Chain Strike Force portal at texas.gov to and protective equipment; to modify their make supplies/services available. Our staff business practices to protect their employees also assisted in this effort, helping Texas and their customers; and to continue paying companies find suppliers so that they could employees because they cannot work for manufacture or produce critically needed reasons beyond their control.

28 TEXAS ECONOMIC DEVELOPMENT GUIDE TEXAS WORKFORCE COMMISSION INTERVIEW

It starts with solid leadership and a multi-faceted approach.

by RON STARNER ver wonder how to build appointment, Demerson served a world-class workforce? as the Director of the Office Texas has done more than of Employer Initiatives at the wonder; it’s figured it out. Texas Workforce Commission. Led by Commissioner In his current post, he provides Aaron Demerson, the leadership and direction to Texas Workforce Commission engage employers, business Eis the umbrella organization organizations and the economic that oversees all workforce development community in the development and training development of a customer- programs throughout the very focused, market-driven large state of Texas. workforce system. Demerson serves as the Prior to employment at the Commissioner Representing TWC, he served as Senior Advisor Employers for the Texas to Gov. Rick Perry and Executive Workforce Commission. Gov. Director of the Economic Greg Abbott appointed him to Development & Tourism Division the three-member Commission in the Governor’s Office, leading

Photo: Getty Images on August 20, 2019. Prior to his a team that marketed the state

TEXAS ECONOMIC DEVELOPMENT GUIDE 29 The face of the intern is “changing, and it isn’t just a high school or college student anymore. – Aaron Demerson, Commissioner, Texas Workforce Commission ”

as a premier destination for What are the top priorities business and travel. of the Texas Workforce In the following interview, Commission this year? Demerson explains Texas’ inherent advantages in DEMERSON: It starts with the worker training and discusses Texas Tri-Agency Initiative. We how the state is equipped are appointed by the Governor. to meet all job challenges The Texas Workforce moving forward. Commission, Texas Higher Education Coordinating Board and Texas Education Agency What are Texas’ major carry forward the reforms competitive advantages over adopted by our legislative other states when it comes session. House Bill 30 was to workforce development passed to develop a talent and training? pipeline. We identify long-term workforce development needs DEMERSON: Texas is home and initiatives around the to a world-class workforce state. Our full report is due in and Texas talent pipeline. September. My role is to make What sets Texas apart from sure we are paying a ention to other states are our 28 Local employers. Workforce Boards throughout Texas. Each region in Texas has specifi c needs, and these How does the Texas 28 boards are the boots on Conference for Employers the ground ensuring that help companies statewide employers have the skilled meet their various workforce they need and challenges? ensuring that Texans in need of careers are aware of all DEMERSON: The Texas of the career opportunities Conference for Employers is in their regional areas. Site a series of employment law Selection Magazine just named seminars held throughout Texas No. 1 in Workforce the state which are created Development for our region, up for small to medium-sized from No. 3 last year. employers. Employers who a end the seminars learn

30 TEXAS ECONOMIC DEVELOPMENT GUIDE

about state and federal employment What is the Texas Internship laws and the unemployment claim Challenge and how does it work? and appeal process. The conference allows four of our offices’ employment DEMERSON: The Texas Internship law attorneys to guide employers Challenge is a partnership among the through ongoing matters of concern Texas Workforce Commission (TWC), and to answer any questions you have Texas Education Agency (TEA) and The regarding your business. This isn’t your Higher Education Coordinating Board average employment law conference. (THECB), who challenge employers to The speakers make the presentations offer paid internships and make it easy very engaging and entertaining. Our for students to search and apply for first three conferences were sold out them. We also encourage students to in The Woodlands, New Braunfels apply for these internships to gain the and Mission. We hear great things marketable skills employers are looking from employers each year about our for. We encourage all employers to conference, and most employers come post their internships on this website: to one every year to ensure they are www.txinternshipchallenge.com. We up to date on all employment law also want to encourage employers to updates. We also have an employment hire interns. The face of the intern is law hotline that employers can call changing, and it isn’t just a high school Monday through Friday from 8:00 a.m. or college student anymore. to 5:00 p.m. This hotline is answered by the four attorneys that present at the conference: 1-800-832-9394.

TEXAS HAS 28 L O C A L WORKFORCE BOARDS THAT SERVE THE VARIOUS EMPLOYMENT NEEDS OF COMMUNITIES AROUND THE STATE.

32 TEXAS ECONOMIC DEVELOPMENT GUIDE Can you cite an example of a worker grant works is an employer partners training solution that enabled a with a community college to help develop specific company in Texas to grow? curriculum that will upskill their current employees and also create new jobs. We DEMERSON: The Skills Development are also thinking of our future talent Fund Program is a customized training pipeline and that is why we created Jobs program. It works with community Y’all. The Jobs Y’all career exploration colleges and employers. In one recent campaign and website launched in case, a company moved from Ohio and 2018 to raise awareness about different created 175 new jobs. They received a Texas industries, to inspire and attract $153,000 grant from the SDF. In another young Texans to explore careers, and case, Grayson College helped a company understand the education and training with a customized training program needed to best position themselves for for its workforce. They utilized the where the jobs will be when they enter local Workforce Board. In a third case, the workforce. Tarrant County College worked with a local company to help them expand and ramp up the skills of their new and As remote work becomes more existing workers. common throughout the country, how is Texas adapting to meet the needs of both employers and employees who How is your agency working with work this way? colleges and universities across Texas to ensure an adequate pipeline of DEMERSON: We have been at the talent to meet the needs of employers forefront of a lot of this. We have been in Texas now and in the future? allowing remote work for a number of years. We are getting even more ready for DEMERSON: We work with colleges and it. We have always had flexible schedules, universities in many different capacities. but that is being ramped up to another We have a number of grant programs level now with virtual meetings, etc. We through TWC that work directly with are in position to stay ready. We are on colleges to help upskill employers and the front lines here at the TWC. We are create new jobs. One program is our Skills doing whatever we can to make sure Development Fund Grant. The way this employers have answers.

TEXAS ECONOMIC DEVELOPMENT GUIDE 33

FDI & EXPORTS

The World’s High-End Products Are Made Here by MARK AREND

weden’s telecom and IT giant for increased investments in smaller, Ericsson picked Lewisville, nearshore manufacturing sites with Texas, in June 2019 as the unique mass customization capabilities location for its first smart and significant positive impact on factory in the U.S. It will be sustainability and customer experience.” one of the most advanced In November 2019, FUJIFILM manufacturing facilities in the industry Diosynth Biotechnologies (FDB), a global whenS it is fully operational later this biologics contract development and year. In March 2020, the plant produced manufacturing organization, announced its first 5G base station, the millimeter- the expansion of its gene therapy wave Street Macro solution, which is services with the addition of dedicated key to Ericsson’s 5G portfolio for its process and analytical development North American customers. laboratories. A $55 million investment Why Lewisville, Texas? Ericsson could will be made to establish a new Gene have selected any number of sites in the Therapy Innovation Center adjacent to U.S. for this 300,000-sq.-ft., state-of-the- FDB’s existing state-of-the-art cGMP art facility. gene therapy manufacturing facility Niklas Heuveldop, President and in College Station. The Gene Therapy Head of Ericsson North America, Innovation Center will be approximately explains: “Lewisville is an ideal 60,000 square feet and will house state- location for this factory of the future, of-the-art upstream, downstream and demonstrating how 5G, IoT and AI will analytical development technologies transform industries, leading the way Japan-based FUJIFILM and Ericsson

34 TEXAS ECONOMIC DEVELOPMENT GUIDE

Sunrise at the Corpus Christi marina Photo by Heather Overman Top 10 Texas Exports are just two of the Lone That $330 billion amount is he following export products Star State’s more than 1,650 one fifth, or 20.1%, of U.S. represent the highest dollar value in foreign-owned companies total exports. Texas was TTexas global shipments during 2019 that employ about 622,700 among the top five fastest- (in US$). Also shown is the percentage Texans. Twenty-eight growing export states — up share each export category represents percent, or 174,000 work in 4.6% from 2018 to 2019. in terms of overall exports from Texas. the manufacturing sector, The Texas Governor’s Office Figures are shown at the more granular according to the Washington, partners with the Texas six-digit Harmonized Tariff System D.C.-based Global Business Department of Agriculture code level, for more precise product Alliance (formerly the and the U.S. Department of identification. Organization for International Commerce to administer Investment). Companies the State Trade Expansion 1. Crude petroleum oils: $57.9 billion based in the U.K., France and Programs (STEP) grant. The (17.5% of total Texan exports) Japan support the highest Texas STEP program includes: 2. Miscellaneous petroleum oils: number of jobs. Financial Assistance for $25.4 billion (7.7%) FDI employment in Texas Eligible Export Activities: 3. Light petroleum oils: rose 27% over the past five To encourage Texas $22.7 billion (6.9%) years, more than twice the companies to enter new 4. Liquified propane: overall private-sector rate international markets and $10.5 billion (3.2%) of 13%. Moreover, foreign- provide the customized 5. Aircraft including engines, parts: owned companies employ assistance needed, the $10.2 billion (3.1%) 6% of Texas’ workers, which Program will provide post- 6. Computer parts and accessories: is significantly more that completion reimbursement $9.8 billion (3%) the rate of such workers in of up to 75% of eligible, 7. Integrated circuits (processors/ neighboring states. pre-approved, export-related controllers): $9.1 billion (2.7%) activities (up to $10,000 per 8. Modems, similar reception/ Made in Texas year), which may include, but transmission devices: Last year marked the 18th are not limited to: $4.2 billion (1.3%) consecutive year Texas was • Customized U.S. 9. Machinery for making semi- named the top state for Department of Commerce conductors: $3.8 billion (1.2%) exports; more than $330 services, include 10. Natural gas (gaseous state): billion worth of Texas-made Discover Global Markets $3.6 billion (1.1%) goods were exported — more Conferences, Initial Source: worldstopexports.com than 90% of which were Market Check/Gold produced by small businesses. Key Matching Services

36 TEXAS ECONOMIC DEVELOPMENT GUIDE and International Partner Search • Marketing materials, instructional manuals, website translation and localization services • Foreign market sales trips and trade shows participation • Sample products shipping fees • Eligibility • Texas-registered, independent, established (at least one year), for- profit company • Meet SBA “Small Business Concern” size guidelines • Have a product/service manufactured, produced, processed or value-added in U.S. (at least 51%) • Understand the costs associated with exporting • Not disbarred from receiving state or federal funding

The STEP program funds are awarded on the first come, first served basis.

To learn more, visit: gov. texas.gov/business/page/trade- and-export.

TEXAS ECONOMIC DEVELOPMENT GUIDE 37 ENTREPRENEURSHIP & INNOVATION

Texas Delivers a Master Class in Entrepreneurship

by RON STARNER

efore there was a spawned generations of Silicon Valley in entrepreneurs and business California, there was developers throughout the a Texan who made Lone Star State. all of that high-tech In many instances, these success possible. innovations began in a His name is Dr. Jack Kilby, lab on a college campus. andB in 1958 he invented the Dell Computers began semiconductor. Nine years in Austin when Michael later, his employer, Texas Dell was still a student at Instruments, introduced the the University of Texas. world to the first handheld Materials science, electronics calculator. and nanotechnology were Today, Texas Instruments forever altered when a employs thousands of high- team of professors at Rice Looking for an tech workers at one of the University in Houston world’s most advanced discovered and prepared innovative workforce? semiconductor fabrication the carbon molecules plants in Richardson on the known as “buckyballs” and The Lone Star State has northern outskirts of Dallas. “buckytubes” in 1985. Three TI is just one of hundreds of these professors claimed you covered. of Texas-based companies the 1996 Nobel Prize in that have changed the world. chemistry for their work. Their inventions, patents Over the decades, the and other innovations have pace of innovation has

38 TEXAS ECONOMIC DEVELOPMENT GUIDE only accelerated. Texas colleges and ranked the Best Entrepreneurship universities today produce many Colleges in Texas for 2020. It placed of the world’s brightest minds and Southern Methodist University in Dallas most impactful inventions. A ranking at the top of the list, followed by UT- released March 17 by U.S. News Austin, UT-Dallas and Baylor. & World Report shows that UT in Does all this innovation at the college Austin tied for third place among all level translate into business success? American public universities for the You bet it does. According to a report most graduate schools and specialties by PwC and CB Insights, just four (48) ranked in the top 10. Only the states control 80% of all venture capital University of California, Berkeley and dollars in America, and Texas is one of the University of Michigan have more. them. When GOBankingRates recently UT’s top five graduate schools for conducted a study to determine the 2021, according to U.S. News, are the Best Cities in America to Start a Small School of Information (No. 5), Jackson Business, it found that Austin ranked School of Geosciences (No. 7), LBJ No. 1, Dallas No. 4 and Houston No. 9. School of Public Affairs (No. 8), Steve Hicks School of Social Work (No. 8), A Place Where Startups Thrive and Cockrell School of Engineering A recent report by the Kauffman (No. 10). Rice University, University of Foundation validates these findings. Houston and Baylor College of Medicine According to Kauffman, Texas ranks all field high-ranking schools and No. 5 in the country in early stage programs as well. entrepreneurship. Only California,

A Patented Powerhouse Missouri, Florida and Wyoming rank This ranking is not an aberration. higher. Texas is tied for third with Last year, UT institutions earned a Florida in the percent of population top five spot in the world for patents that starts a new business (0.42%). granted. The U.S. Patent and Trademark Texas also ranks among the nation’s Office issued 187 patents to researchers best at the average number of jobs from UT’s eight academic and six health created by startups in their first year institutions, earning the UT System the of operation, at 5.69, and its startup No. 5 spot in the Top 100 Worldwide survival rate of 79.46% ranks among the Universities Granted U.S. Utility Patents top performing states as well. in 2018. Among all U.S. institutions, Given that ecosystem, it should come only the University of California, MIT as no surprise that Texas innovations and Stanford were ranked higher. can be seen virtually everywhere The accolades don’t stop there. Last around the world. Texans gave us the November, The Princeton Review Snickers bar, frozen margarita and the and Entrepreneur magazine named integrated circuit, and their fellow Lone the University of Houston the top Star State residents gave birth to such undergraduate school in the nation stalwart products as Dell Computers, for entrepreneurship studies. Baylor Mary Kay Cosmetics, Dr. Pepper, Shiner University in Waco finished fifth, Beer and TI electronics. Even the while UT-Dallas, UT-Austin and Texas hamburger and the rotisserie smoker Christian University all placed in originated in Texas. the top 15. Just imagine what the next Meanwhile, Universities.com recently generation of Texans will produce.

TEXAS ECONOMIC DEVELOPMENT GUIDE 39 HIGHER EDUCATION Higher Education in Texas

Health-Care degrees are on the rise in Texas. Getty Images ith six state the 2017-18 school year, university Texas’ community colleges systems, six state had the nation’s fourth- technical college lowest tuition and fees per systems and year ($2,209), behind only 50 community California, New Mexico and Educational college districts across the Arizona. Community colleges Wstate, a high-quality education also provide students with a is just around the corner in good return on investment. institutions are the Lone Star State. Texas workers with some Texas Community Colleges college or with associate around every corner create a pathway for students degrees who have stable jobs to enter the state’s workforce earn $8,300 more annually in the Lone Star State. and advance their careers. than high school graduates. Texas’ 50 community college Those higher wages add an districts enrolled about additional $27.2 billion in 700,000 students in 2017, direct compensation to the by SAVANNAH KING which is about 46% of all state economy each year. Texas higher education One of Texas’ largest students. The college districts community college systems contributed $9.8 billion to will soon be known by a the state’s economy and new name. As part of its all- supported 77,738 jobs. encompassing “One College” Community colleges offer plan, the Dallas County students an affordable and Community College District accessible education. During Board of Trustees approved

40 TEXAS ECONOMIC DEVELOPMENT GUIDE a resolution in March to secured to partially address University of become “Dallas College” in planning and operational Texas in Austin June. The Dallas County costs associated with the Photo: Getty Images Community College District establishment of the medical — or “D-Triple-C-D” as it has school, which UT leaders hope been known for decades — will open in the fall of 2023. will officially recede into UT institutions produce the district’s 54-year history more than 60,000 graduates with the merging of its seven annually and award more separate colleges this year. than one-third of the state’s Becoming Dallas College undergraduate degrees allows students to take and more than half of its multiple classes at more than health professional degrees. one campus. Collectively, UT-owned and affiliated hospitals and clinics Majoring in Health accounted for more than The University of Texas 8.2 million outpatient visits System (UT) is one of the and 1.6 million hospital days largest public university last year. systems in the United States Additionally, the Texas A&M with 14 institutions and an University System is investing annual enrollment of nearly in its medical education 240,000 students. programs. The system is In February, the University building a half-billion dollar of Texas System Board of complex in the Texas Medical Regents approved the creation Center area to house its of a new medical school groundbreaking Engineering at the UT Health Science Medicine (EnMed) program Center at Tyler. The medical and provide housing for school will be the first of medical and nursing students its kind in Northeast Texas in Houston. and will provide a pathway The development project for students to receive a is the largest in the Texas comprehensive medical Medical Center area and education and will extend includes three major access to care for patients projects, two of which will living in rural areas. An $80 be constructed through million gift already has been public-private partnerships,

TEXAS ECONOMIC DEVELOPMENT GUIDE 41 commonly called P3s. The said the System is expanding cost of the complex is an in Houston near the Texas estimated $546 million, Medical Center to meet the including $145 million for medical needs of Texans. He the purchase and renovation added that the expansion of an 18-story building, also provides needed space plus $401 million in private and facilities for students sector money to build two and professionals who work new towers. near one of the world’s most “The Board of Regents of important epicenters for the Texas A&M University medicine and research in System recognized an the world. opportunity in Houston to “Texas A&M’s rise in help Texans and contribute prominence — especially more to the global medical within the health-care community,” said Elaine arena — is reflected with Mendoza, Chairman of the the aggressive expansion of Board of Regents of the Texas properties near the Texas A&M University System. “We Medical Center,” Chancellor are eager and fortunate to Sharp said. “The Houston further enhance the world’s medical scene is about to greatest medical center see the benefits of Aggie through this endeavor.” ingenuity and our dedication Texas A&M University to service.” System Chancellor John Sharp With a network of 11 universities, the Texas A&M offerings even more University System is one of advanced, in 2015 Governor the largest systems of higher Greg Abbott launched education in the country. The the Governor’s University Texas A&M System educates Research Initiative. The more than 153,000 students initiative helps recruit the annually. world’s best researchers to universities in the state with Quality Counts a matching grant award. Educational institutions At the launch of the in Texas enjoy a degree of initiative, Governor Abbott excellence few other states expressed his intentions for can claim. the state. “The Initiative will Of the 37 public and 38 attract the brightest minds private four-year universities from around the globe and in the state, eight are tier one enhance our Universities’ research universities. Such capacity to conduct world- excellence extends into the class research. I am confident K-12 sector as well with the that Texas’ commitment to state of Texas having more investing in higher education Blue Ribbon public schools will pay dividends for our than any other state in economy, and current and the nation. future generations of students To make the state’s already and faculty across the Lone robust higher education Star State.” STATISTICAL PROFILE TEXAS by the Numbers Top 20 Projects of 2020

COMPANIES CITY SECTOR CATEGORY TYPES INV. (US$M) JOBS Texas Instruments Inc. Richardson Electronics New Manufacturing 3,100 488 Exxonmobil Chemical Company Baytown Energy Expansion Manufacturing 2,000 25 Steel Dynamics, Inc. Sinton Metals New Manufacturing 1,900 600 Trans-Global Solutions, Inc. Baytown Transport & Logistics New Distribution Warehouse 1,420 Perfect Game Inc. Hutto Business & Financial Services New Headquarters 800 Gulf Coast Ammonia, LLC Texas City Chemicals & Plastics Expansion Manufacturing 800 40 Celanese Corp. Houston Chemicals & Plastics Expansion Manufacturing 425 25 AW Texas / AISIN AW CO., Ltd. Cibolo Automotive New Manufacturing 400 90 Pioneer Natural Resources USA, Inc. Irving Energy Expansion Office 400 320 Ineos USA, LLC Pasadena Chemicals & Plastics Expansion Manufacturing 349 98 Ryan, LLC Plano Business & Financial Services New Headquarters 338 550 Cont’l Dairy Facilities Southwest, LLC Littlefield Food & Beverage Expansion Manufacturing 308 113 Spicy World of USA Inc. Stafford Food & Beverage New Office, Dist. Warehouse 300.4 Navistar International Corp. San Antonio Automotive New Manufacturing 250 600 Keurig Dr Pepper Inc. Frisco Food & Beverage New Headquarters 200 Occidental Petroleum Corp. Houston Energy Expansion Manufacturing 182.89 Hailiang Copper Texas Inc. Sealy Metals Expansion Manufacturing 165 250 Chime Solutions, Inc. Dallas Business & Financial Services New Office 160 500 Ross Stores, Inc. Brookshire Textiles New Distribution Warehouse 150 1,300 Texas Products, LLC Royse City Consumer Products New Office, Dist. Warehouse 150

Projects by Sector Projects by Type

Mach. 18.5% (167) Office Manf. 40.9% 19.9% (411) Bus. Fin. (199) 16.9% (153)

Energy Dist. W. 9.4% 25.8% (85) (259) TYPE PROJECTS TYPE SECTOR Office (411) 40.9% Machinery, Equip. & Construction (167) 18.5% Distribution Warehouse (259) 25.8% Business & Financial Services (153) 16.9% Manufacturing (199) 19.9% Energy (85) 9.4% Headquarters (95) 9.4% IT & Communication (75) 8.3% Research and Development (19) 1.9% Food & Beverage (74) 8.2% Call Center (12) 1.2% Transport & Logistics (72) 7.9% Data Center (9) 0.9% Chemicals & Plastics (56) 6.2% Electronics (51) 5.6% Life Sciences (34) 3.8% Metals (32) 3.5% Other (105) 11.6%

44 TEXAS ECONOMIC DEVELOPMENT GUIDE In 2019, the real GDP of Texas increased by roughly 4.7 percent compared to the previous year. That ranked Texas No. 1 in the nation.

Source: Statista Lone Star Facts

Population Governor 29 million (2019) Greg Abbott

Population Rank Total Area 2nd 269,000 Sq. Miles

Median Household Income Area Rank $59,206 2nd

Income Rank Dimensions 24th 790 x 773 miles

Capital Highest Elevation Austin 8,751 feet

Date Admitted to Union Average Elevation Dec. 29, 1845 1,700 feet

Texas is the 4th Best State to Drive In WalletHub.com

Economic Awards 8x 15x 10th Texas has won the Site Selection Texas has won Chief Executive If Texas were a country, it would Governor’s Cup a record 8 years Magazine’s Top State for Business rank as the 10th largest economy in in a row. a record 15 years in a row. the world based on GDP. Source: Texas EDC

TEXAS ECONOMIC DEVELOPMENT GUIDE 45 CORPORATE HEADQUARTERS

For Corporate HQs, The Math Adds Up in Texas From Charles Schwab to Keurig-Dr. Pepper, a relocation wave is hitting the Lone Star State.

by RON STARNER

hen Charles Schwab lower housing and energy costs than announced last year that it does the Golden State. Schwab did the would relocate its corporate math — after all, it’s a financial services headquarters from San company — and found the numbers Francisco to Westlake in added up to pack its bags and head east. the DFW Metroplex, the In an industry that is becoming news sent more than a few shockwaves increasingly more competitive and Wthrough California and the rest of where margins are being reduced the country. constantly, moves like this make sense The news was coupled with Schwab’s for a variety of reasons. The company announcement of a $26 billion merger can enjoy bigger profits, lower its prices with TD Ameritrade. The move to Texas to consumers, and let its employees is expected to save Schwab 10 to 15% in experience a higher standard of living costs per year, a savings made possible because they’ll each be pocketing more by the business climate in the Lone take-home pay. Star State. Texas imposes a small 0.75% Moreover, Schwab is far from alone franchise tax on business margins, while in seeking greener pastures in the Lone California imposes a rate of 8.84%. Star State. Spectrum Location Solutions, Toyota North America HQ On top of that, Texas imposes zero a business consulting firm, recently in Plano, Texas. Photos courtesy of Toyota individual income tax, as well as much published a report showing that 660

46 TEXAS ECONOMIC DEVELOPMENT GUIDE California firms have moved out of the Championship, a Women’s PGA Championship state since 2017. That number includes 10 and a Ryder Cup. companies that chose to leave San Francisco. Beverage giant Keurig-Dr. Pepper also Not all of these firms left for Texas, liked what it found in Frisco, announcing but many of them did. In 2014, Toyota that it too would set up shop in this North announced it was relocating its North Dallas suburb. WatchGuard, now part of American headquarters from Torrance, the Motorola empire, recently established a California, to Plano just north of Dallas. new headquarters in nearby Allen. And the Today, that campus sprawls across the North list goes on. Texas landscape like a beacon calling other From Houston to Dallas and every place in corporations to join it. between, corporate headquarters operations are rising at a breakneck pace. The question is why? The reasons boil down to a few simple things: lower costs, more reasonable Lower taxes, a more reasonable regulatory environment, government support for costs, lower expansion projects that bring good-paying jobs, excellent transportation access through taxes, fewer multiple international airports, and access to booming markets in the rest of the country regulations, and Latin America. Over the last 5 years, Texas has reaped government sizable headquarters expansions from the likes of Apple, Ryan LLC, Austin Energy support for Corp., Humanetics, American Airlines and expansion Perfect Game Inc., just to name a few. How Labor Acts Like a Magnet projects, They come because they find in Texas exactly what they’re seeking: a hardworking excellent labor force that enjoys a superior quality of life and a safe place to raise a family. That’s transportation a big reason why Dallas-Fort Worth led the nation in job creation in 2019, and why it’s led the nation 4 of the last 6 years. access, and In the Milken Institute’s ranking of the Best Performing Cities for 2020, Austin- access to Latin Round Rock ranked No. 2 and Dallas-Plano- Irving ranked No. 9. And in WalletHub’s 2020 America attract ranking of the Hardest-Working Cities in America, Irving placed No. 5, Corpus Christi HQs to Texas. ranked No. 7, Austin checked in at No. 9, and Plano came in at No. 10. Dallas, Fort Worth PGA Swings for Frisco and Houston also placed in the top 25. Many are doing just that. PGA of America These rankings are being achieved announced last year that it was leaving its because people are voting with their feet. longtime home of Palm Beach Gardens in Increasingly, Americans are choosing to Southeast Florida for a new permanent home move to where they want to live based upon in Frisco, a Dallas suburb that’s adjacent to where they think the best opportunities can Plano. The new PGA complex in Frisco will be found for themselves and their families. employ 100 workers and be part of a half- By relocating to Texas, these knowledge billion-dollar mixed-use development that workers are pulling the top-performing will include championship golf courses, companies with them. hotels, meeting space and other venues. It’s a simple math equation. Just ask Along with it will come a future PGA Charles Schwab.

TEXAS ECONOMIC DEVELOPMENT GUIDE 47 OIL & GAS

& the World Oil and gas sector in Texas propels the U.S. economy forward.

by RON STARNER

exas did not receive the title home to more than 50 energy-related of “The Capital of Energy companies on the Fortune 1000 list, Independence” by accident. The and more than 3,700 energy-related Lone Star State earned it the establishments are located within the old-fashioned way: through grit, Greater Houston metro area. determination and hard work. Just how impactful is the Texas oil Without an oil derrick named industry? As of January 2019, the 29 SpindletopT in Beaumont, Texas, where petroleum refineries in Texas had a a gusher rising into the air made combined capacity to produce more headlines worldwide in 1901, Texas than 5.7 million barrels of crude oil per would not be the oil and gas leader day. Collectively, that’s 31% of total U.S. that it is today. As of 2020, Texas leads refining capacity. Texas also accounted the nation in petroleum refining and for about 24% of U.S. marketed natural chemical products production and is gas production in 2017, making Texas a global leader in the closely allied the leading producer of natural petrochemical industry. gas among all U.S. states. In other The world’s No. 2 Fortune 500 words, shut down Texas and you shut company, ExxonMobil, is headquartered down America. in Irving near Dallas, while Houston is But it’s not just about sending crude widely regarded as the “Energy Capital to the rest of the country and abroad. of the World.” Altogether, Texas is It’s also about providing livelihoods

48 TEXAS ECONOMIC DEVELOPMENT GUIDE to families. With more than 100,000 now employs more than 1,000 workers workers employed, Texas is home to and contributes a direct economic the largest petrochemical cluster in the impact of more than $600 million in the world; and the average annual wage in community each year. the refining and chemical manufacturing industry in Texas is $95,000. From Ivory Tower to the Rig These employees work at some of the Other advantages that give Texas a largest and most expensive plants in leg up on its competition in the oil and the world. The ExxonMobil refinery in gas sector include the many colleges Baytown near Houston is the second and universities that offer specialized largest oil refinery in the country. curriculum and training programs. It has a capacity to produce 584,000 Many leaders in the petrochemical barrels per day. Other major Texas industry have been educated at the petroleum refining employers on the University of Texas at Austin, home of Fortune 500 list include Phillips66 (No. the Cockrell School of Engineering. U.S. 4), Valero Energy (No. 13), Tesoro (No. News & World Reports ranks the UT 77), HollyFrontier (No. 150) and Western Department of Petroleum Engineering Refining (No. 204). graduate program No. 1 in the nation, while the UT undergraduate program is Capital Investments Abound ranked No. 2. Not surprisingly, many of these firms All around Texas, research is taking are engaged in vast, long-term expansion place to strengthen Texas’ leadership projects. Two of the biggest projects in position. At Rice University in Houston, the nation last year were announced researchers at the school’s Department by ExxonMobil in Baytown ($2 billion) of Biochemistry and Cell Biology are and Elemental Processing in Houston leading the search for new zeolites — (4,000 jobs). microporous minerals that are used to

TEXAS IS HOME TO MORE THAN 50 ENERGY-RELATED COMPANIES IN THE FORTUNE 1000.

Other significant expansions crack petroleum into gasoline, diesel and announced in Texas last year included other products. Marathon Petroleum Company ($460 At Rice University’s George R. Brown million in Freeport), Celanese Corp. School of Energy, nanotechnology ($425 million in Houston), and the researchers aim to increase the efficiency Chemours Company ($300 million in and environmental friendliness of Corpus Christi). gasoline manufacturing, as well Without all the chemicals being as produce higher-octane fuel by produced in Texas, America would making better catalysts to use in the basically stop operating as a country. hydrocarbon refining process. Texas-based chemical manufacturers At the Mary Kay O’Connor Process produce and process more than 50% of Safety Center, part of the Chemical the total U.S. chemical production, and Engineering Department at Texas A&M about 50% of the nation’s petrochemical University, researchers are developing production. safer processes, equipment, procedures The Texas Enterprise Fund has made a and management strategies to minimize lot of these capital investments possible. losses in the processing sector. Texas awarded a $5 million TEF grant At the Center for Petroleum Security to CITGO Petroleum that enabled the Research at the University of Texas at company to relocate its corporate Tyler, work is being done to decrease the headquarters to Houston and enhance its vulnerability of the petroleum industry Corpus Christi refinery. That operation in the U.S. Midwest to cyber-attacks.

TEXAS ECONOMIC DEVELOPMENT GUIDE 49 RENEWABLE ENERGY & ELECTRIC UTILITIES Harnessing the Forces of Nature by RON STARNER

he oil and gas production capital of America is also the nation’s leading producer of wind energy. According to Texas, already No. 1 the American Wind Energy Association, Texas leads all states with 28,843 in wind energy, is megawatts of installed wind capacity. That wind power in Texas comes from a ascending to No. 2 totalT of 157 installed wind projects fielding 14,874 wind turbines statewide. In addition, in solar power. another 6,211 MW of wind capacity is under construction. In 2018, the latest year for which AWEA provides data, wind generation accounted for 15.9% of in-state energy production in Texas. That is enough energy to power 7,283,900 homes. In terms of employment, the numbers are equally impressive. Direct wind industry employment in Texas in 2018 was responsible for 26,000 jobs. There are 46 wind-related manufacturing plants in Texas, and the cumulative wind project investment to date statewide is $46.5 billion. Wind projects annually pay $237 million in state and local taxes, along with $70 million in annual land lease payments. The environmental benefits are substantial too. Using wind power saves approximately 26 billion gallons of water per year that otherwise would be used to produce electricity. Annual carbon dioxide emissions avoided, meanwhile, total 54 million metric tons — the equivalent of taking 11.5 million cars off the road. Wind, however, is not the only source of renewable energy in the Lone Star State. A giant solar farm opened in the middle of Texas shale country in April. The Oberon photovoltaic project is expected to generate

Base Photo: Getty Images / Final image by Bob Gravlee

50 TEXAS ECONOMIC DEVELOPMENT GUIDE

150 MW of power when it the state in 2013. transmission lines.” connects with the grid south The Solar Energy Industries The projects keep coming of Notrees, a small town in Association published a report too. Lightsource BP recently the heart of the Permian last summer that showed secured $250 million in Basin; and this project is not Texas climbed one spot to financing for a 260 MW solar alone. Across Texas, a boom No. 6 among U.S. states in project in Lamar County. in solar array construction total solar power production. The renewable energy is underway. SEIA also projected that Texas generated by this array will would rise to No. 2, behind be traded under a long-term The Sun Shines only California, as more deal with BP. Brightly on Texas solar farms are erected in Construction at the site Due to its location and West Texas near established has already begun under climate, Texas has the wind farms. the direction of Swinerton potential to generate 22,787 “The reason for that is that Renewable Energy. The TWh/year, more than any solar’s energy production new array is projected to other state in the U.S., from and wind’s energy production come online by the end of 7.743 TW of concentrated mostly occur at different 2020. About 300 jobs are solar plants. Furthermore, times a day,” Sean Gallagher, expected to be created during Texas could generate an SEIA’s vice president of state construction and later phases. additional 131.2 TWh/year affairs, told NPR. “So, you can Upon completion, this from 97.8 GW of rooftop PV build solar and wind in close array will produce enough panels — or roughly 34.6% of proximity to one another renewable energy to power all electricity consumed by and they can share those more than 34,000 homes in

Texas Wind Power, electricity production (MWh) and new capacity additions (MW) MWh MW 80 40

70 35 Millions 60 30 Thousands 50 25

40 20

30 15

20 10

10 5

0 0 2000 2002 2004 2008 2010 2012 2014 2016 2018 2020

Generation, annual (MWh) Capacity additions, cumulative (MW)

Source: ABB Ability Velocity Suite

52 TEXAS ECONOMIC DEVELOPMENT GUIDE Texas while offsetting nearly planned projects have 2020 • Quinbrook Infrastructure 270,000 metric tons of carbon starting dates. Partner’s Ranchero Wind (300 dioxide emissions per year. ABB also reports that MW), Crockett County Texas wind farms that began Forecast: Windy Days Ahead operations in 2019 included: • Sammons Enterprise’s Cabezon Wind projects continue apace • Xcel Energy’s Hale County Wind Wind (238 MW), Starr County in Texas as well. According (478 MW), Hale County to AWEA, some 6 gigawatts • NRG Energy’s Patriot Wind of new wind energy is under • Enel SpA’s High Lonesome Farm (226 MW), Nueces County construction in the Lone Star Wind Farm (450 MW), State currently. Many of these Crockett County • ENGIE SA’s Wilson Ranch Farm projects already have contracts (201 MW), Schleicher County in place to sell their power • Innergex Renewable Energy’s to large energy users such Foard City Wind (350 MW), • Duke Energy’s Mesteño as Facebook, McDonald’s and Foard County Windpower Project (201 MW), ExxonMobil. Starr County According to ABB Velocity • Invenergy LLC’s Santa Suite, there are 2,035 MW Rita Wind East (302 MW), • The rest online in of wind projects currently Irion County 2019 (607 MW) permitted for construction in Texas, with another 8,493 MW • NextEra Energy’s Torrecillas • Total online in 2019 (3,895 MW) pending and another 1,158 Wind Farm (301 MW), MW proposed. All of these Duval County

TEXAS ECONOMIC DEVELOPMENT GUIDE 53 AUTOMOTIVE MANUFACTURING Texas Passes Other States in T he Big Auto Race

Photo: Getty Images

Led by GM and Toyota, Texas shifts into high gear in car and truck making.

by RON STARNER

54 TEXAS ECONOMIC DEVELOPMENT GUIDE Texas Passes Other States in

demand. From 2009 to 2016, at its giant truck plant in Texas automotive exports San Antonio — one of $391 T he Big Auto Racedoubled from $9.2 billion to million and a second one of $18.5 billion. $17 million. Toyota is Texas’ What’s driving this second largest automotive wave? For most firms employer, with 2,753 workers. in the auto sector, it’s General Motors tops the list the welcoming business with 4,125. Peterbilt Motors environment of Texas. is third with 2,000 workers A right-to-work state, low in Texas, while Toshiba taxes and a competitive International Corp. is fourth workforce enabled the with 1,700. Caterpillar, at surge. So did a central U.S. fifth, employs 1,100. GM location, proximity to Mexico, produces SUVs at its plant low production costs and in Arlington, while Toyota competitive incentives. produces full-sized pickups at As a result of this its plant in San Antonio. growth, Texas now ranks Sharing the longest border seventh in total automotive with Mexico of any U.S. manufacturing employment state, Texas has become a in the U.S. Texas is home critical part of the realigned to 1,752 automotive plants, North American “Auto operated by everyone from Alley” that runs north from Toyota and Caterpillar to Mexico through a number of Continental Tire and Tenneco. Southern U.S. states and on Major automotive through the Midwest. employment hubs in Texas For exporters, the state bout $1.5 billion in include Dallas-Fort Worth, excels on multiple levels. capital investment Tyler, Austin, Houston, Texas is home to 16 seaports, has poured San Antonio, El Paso and 26 commercial airports and into automotive Brownsville, but other smaller a grand total of 380 airports. manufacturing in cities also get in on the act. The Lone Star State also Texas over the last East Penn Manufacturing Co. boasts the nation’s largest three years, ranging from AW announced a $106 million network of freight rail and ATexas/Aisin AW Company’s expansion in Temple in late public roads. $400 million new plant near 2018. Cardone Industries Inc. Texas likely will be in line San Antonio to Texas Speed announced a $50 million to land future large-scale & Performance’s $11.5 million new plant in Harlingen automotive plant investments. expansion near Austin. in early 2018. Places like Reportedly, Texas is in the Since 2014, Texas has Grand Prairie, McKinney running to land Elon Musk’s experienced a 17% increase in and Garland also secured Tesla Cybertruck Gigafactory, automotive manufacturing, notable projects. although Joplin, Missouri a jump driven at least in Toyota Motor Corp. has dangled $1 billion as part by rising international announced two expansions a carrot.

TEXAS ECONOMIC DEVELOPMENT GUIDE 55 AEROSPACE, AVIATION & DEFENSE

Photo courtesy of Raytheon Technologies

ver wonder who keeps America’s airplanes in the sky while also Keeping the Friendly keeping those skies free? Increasingly, those jobs are being performed by Texans. With 130,000 aerospace Skies Safe & Secure workersE employed at some 1,300 establishments, Texas ranks In the sphere of aerospace, aviation among the national leaders in total aerospace employment. In fact, the and defense, Texas enters rarified air. Dallas-Fort Worth metroplex ranks third in the country with 76,124 jobs, while Houston ranks 10th with 26,313. A recent report by by RON STARNER PricewaterhouseCoopers named Texas the No. 2 location in the country for “aerospace

56 TEXAS ECONOMIC DEVELOPMENT GUIDE manufacturing attractiveness.” Texas A&M and Rice University Only Washington scored higher. all have departments dedicated Zippia.com recently ranked to mechanical and aerospace Texas the sixth best state for engineering. St. Philip’s College aerospace engineers. According in San Antonio is a leader in to Zippia.com, Texas has 1,365 partnering with business and aerospace engineer jobs that has developed its programs pay an average annual salary of with Lockheed Martin, Boeing, $102,099. The lowest 10% earn Chromalloy, ST Aerospace, Cessna $63,000, while the highest 10% Citation, M-7, Standard Aero, Gore earn $165,000. Design and the U.S. Air Force. Texas is also home to 15 active Among the many companies that military bases with more than operate aerospace manufacturing 170,000 military personnel. NASA’s plants in Texas are Boeing, Lyndon B. Johnson Space Center in Lockheed Martin, L-3 and Bell Houston is the hub for the world’s Helicopter. Southwest Airlines and operations in outer space. And American Airlines maintain their then there are the airports. From Dallas Fort Worth International to San Antonio International, Texas boasts six of the 50 The cities of Waco, Amarillo, busiest airports in the nation, as measured by passengers boarded. El Paso, Wichita Falls, Texas also is home to two major international industrial airports: Port San Antonio at the former McAllen and Harlingen all Kelly Air Force Base and Fort Worth Alliance Airport. Statewide, support manufacturing Texas has 26 commercial airports serving 22 cities and their plants for various Fortune surrounding regions. In addition, one of the world’s 500 aerospace companies. largest helicopter repair facilities is located in Corpus Christi, while the cities of Waco, Amarillo, corporate headquarters operations El Paso, Wichita Falls, McAllen in the DFW Metroplex, and a total and Harlingen all support of 14 aerospace firms fulfill their manufacturing plants for various defense contracts in Texas. Fortune 500 aerospace companies. In 2019, Texas landed major None of these jobs could be expansion investments in filled without a superior education aerospace from Boeing, Raytheon system. In Texas, programs at and Flightsafety International multiple levels provide that. For Inc. Boeing invested more than example, the Texas State Technical $101 million into its operations College in Waco uses its own in Irving and $24 million in San airport to teach a full range of Antonio; Raytheon announced $75 FAA-approved programs, ranging million in projects in McKinney from aviation maintenance to and Dallas; and Flightsafety pilot training. The University of International invested $16 million Texas at Austin, UT Arlington, in Houston.

TEXAS ECONOMIC DEVELOPMENT GUIDE 57 ADVANCED MANUFACTURING High-Tech Manufacturing

Reaches for the Lone Star State IMAGE: GETTY IMAGES

by SAVANNAH KING

exas has long been obtain a Space Port License and defense applications a manufacturing from the Federal Aviation not previously possible powerhouse with major Administration. with traditional satellite companies like Texas The new plant will be one manufacturing techniques.” Instruments, Samsung, of the largest “NewSpace” The new AST & Science GM, Toyota, Peterbilt, manufacturing facilities plant will design, build, Raytheon and many more in the United States and integrate, manage and Tcalling the state home. will create more than 160 launch satellite platforms From the state’s central space manufacturing jobs into low Earth orbits location, infrastructure, in Midland, according to (LEO) in a fully integrated low taxes and high-quality AST & Science chairman aeronautical and space workforce, high-tech and CEO Abel Avellan. He operation. Avellan noted that manufacturing companies said the company expects the collocation of the high- are choosing to establish to invest over $30 million volume manufacturing and operations in the Lone in the facility over the next direct airside access for the Star State. several years to achieve horizontal launch capability, That’s why after a annual production capacity using carrier aircraft at the competitive site selection of 100,000 space modules, Midland Space Port, will be process, AST & Science called Microns. an important element in the selected Midland, Texas, “Our revolutionary company’s planned rapid LEO as the location for its new technology will change satellite deployments. high-volume North American the way satellites are “We’re thrilled to announce satellite manufacturing plant manufactured, launched this partnership with AST & and corporate headquarters. and used in space and on Science,” said Brent Hilliard, The space technology Earth. From Midland, we will chairman of MDC. “Midland company’s new 85,000-sq.-ft. scale up quickly to produce gets 160 jobs in a diversified, facility is located within the high quantities of low-cost, high-tech industry and can Space Port Business Park at ultra-powerful LEO satellite offer AST & Science a location the Midland International platforms,” said Avellan. “This with access to an airport Air and Space Port, the will open up an astonishing and licensed space port. The first commercial airport to range of commercial MDC provided a scalable

58 TEXAS ECONOMIC DEVELOPMENT GUIDE manufacturing location that with zero fatalities, injuries was a key factor in bringing and crashes.” this new industry to Midland. The demand for safety It’s a symbiotic collaboration functions in vehicles has that makes perfect sense.” grown significantly in the last decade. This new facility Rolling On will allow Continental In February, technology to expand its R&D and company Continental manufacturing capabilities to announced plans to develop meet the growing demands of a new 215,000-sq.-ft. customers, while continuing manufacturing facility where to drive innovation and it will produce products for development of automotive advanced driver assistance safety technology, helping to systems (ADAS) in New support the company’s goal of Braunfels, Texas. The Vision Zero. investment totals about $110 “We are looking forward From Midland, we will scale up quickly to produce high quantities of low-cost, “ultra-powerful LEO satellite platforms. — Abel Avellan, AST & Science chairman and CEO ” million. Once completed to having a state-of-the-art and operational in 2021, facility for the production the company will retain of our high-tech products,” approximately 450 jobs in the said Amit Kapoor, head of state of Texas and add more Continental’s Advanced Driver than 130 new positions to the Assistance Systems business city. The new manufacturing unit, Continental North facility will be located at America. “We appreciate a greenfield site 15 miles the strong partnerships from Seguin, Texas, where with the city of New Continental’s Powertrain Braunfels, Comal County, Division, now operating New Braunfels Utilities under the new name and the New Braunfels Vitesco Technologies, has a Economic Development 320,000-sq.-ft. manufacturing Committee. With this new facility and employs more location we will further than 1,500 people. strengthen and advance “ADAS technologies are our leading position in the becoming more widely development of assisted and adopted and help drivers automated driving.” become more comfortable Continental has a successful and efficient behind the and longstanding history wheel,” said Samir Salman, in the state of Texas. In the CEO, Continental North city of Seguin, Continental America. “We appreciate operates a state-of-the- the strong support we have art manufacturing facility, received from the state, producing mainly Powertrain county and city of New components. Thanks to the Braunfels. Having a facility support of the community specifically dedicated to the and continued partnerships in development and production Seguin, the facility continues of these technologies is a to be one of the company’s major step in helping us larger manufacturing achieve our vision of a world locations.

TEXAS ECONOMIC DEVELOPMENT GUIDE 59 CYBERSECURITY Photo: Getty Images Photo:

hen 22 Texas education cyber programs cities were hit that produce over 1,000 with a coordinated graduates annually. ransomware The Port of San Antonio attack in August is the hub of cybersecurity W2019, the need for improved operations with more than San Antonio’s port cybersecurity measures 1,000 industry professionals became even more critical. based on the port’s is home to many Fortunately, local and state campus. Much of the port’s officials were able to turn to cybersecurity operations cybersecurity the cybersecurity experts in take place at the national their own backyard. headquarters for the Air companies Indeed, the second Forces Cyber, also know as largest concentration of the Cyber Command. and growing. cybersecurity jobs is found Several companies have in San Antonio. The city established a base of is home to more than 40 operations at the port. cybersecurity headquarters, by SAVANNAH KING National Security Agency • CACI International Texas, 6 National Security recently held a grand Agency Centers of Excellence opening ceremony at and the No. 1 cybersecurity the Port’s Project Tech higher education program. facility which opened last San Antonio is an ideal place year in order to serve to locate with 10 higher cybersecurity and IT firms.

60 TEXAS ECONOMIC DEVELOPMENT GUIDE The company acquired Project deployed cybersecurity training Tech tenant LGS Innovations and simulation platform and was earlier this year. created in partnership with Cyber Range Solutions Inc. UTSA’s fully- • IPSecure, one of the city’s pioneers customizable and automated facility in cybersecurity has expanded its can also serve as a testbed for presence at the port a third time companies to assess their current with the addition of 4,800 sq. ft. of security tools and architecture in a classroom, conference and meeting safe and controlled environment. space. The company plans to use “For businesses the UTSA Cyber the new space to provide training Range can become part of their services to private and defense- on-boarding process,” said Mallen. sector IT professionals. “We can simulate any network environment and tools. They can • CNF Technologies expanded its send employees to test their skills presence at the port for a second and to receive training in a safe time in January 2019. The company environment. Now, employees do not has been recognized as one of the need to experience their first attack city’s largest software developers scenario on the job.” and fastest cybersecurity The UTSA Cyber Range is offering providers. online training programs including ransomware attack simulation, SQL “Everybody that has a computer injection scenarios, cybersecurity on their desk has to worry about an for beginners and SCADA security adversary exploiting vulnerabilities,” training among others. explains CNF Technologies Principal In February, Texas A&M Fred Ramirez. “We have a spectrum Engineering Experiment Station was of services that we provide, such as awarded a $1 million grant from reverse engineering, certification The Texas A&M University System accreditation and penetration testing. Chancellor’s Research Initiative to And our personnel are also co-located advance cyber research through a with our clients as they monitor the newly established Cyber Engineering military’s largest networks.” Technology/cybersecurity Research Center. Experts in Cyber Some of the major research areas to The University of Texas at San be investigated at the center include Antonio’s cybersecurity programs security and privacy in the internet of have been ranked the No. 1 in the things and cloud computing, secure country and has been named a Center vehicle-to-vehicle communications of Academic Excellence in Information and cyber-physical systems. The grant Assurance/Cyber Defense Education will also be used to enhance research by the National Security Agency and collaborations with local and regional the Department of Homeland Security. research institutions. Employers like Raytheon, USAA, Ford, “This grant takes A&M-San Antonio the Air Force and many others often to the next level of research,” said Dr. recruit UTSA cybersecurity students. Cynthia Teniente-Matson, president In April, the University opened of A&M-San Antonio. “We anticipate the UTSA Cyber Range to offer the A&M University System will see businesses, government, military a great return on its investment in and individuals the opportunity cybersecurity here in San Antonio, to hone their cybersecurity skills as well as contribute to advancing in a hyper-realistic environment. research related to the advancing The UTSA Cyber Range, utilizes science of the effectiveness for the Cyberbit technology, the most widely- internet of things.”

TEXAS ECONOMIC DEVELOPMENT GUIDE 61 BIOTECH, LIFE SCIENCE & HEALTH CARE

Texas Medical Center Expands With Biomedical Research Hub

by SAVANNAH KING

he Texas Medical Center (TMC) TMC3 will be a biomedical research is the the largest medical city hub situated on a 36-acre campus. in the world and it’s growing The campus will bring some of the by leaps and bounds. Founded world’s best researchers together with in Houston more than 90 years the private sector. The TMC3 also ago, the TMC is home to the represents a significant opportunity world’s largest children’s hospital — to diversify Houston’s economy. theT Texas Children’s Hospital — and According to a 2017 economic impact the world’s largest cancer hospital — study by Silverlode Consulting, the MD Anderson Cancer Center. project will generate a $5.2 billion One of the newest developments stimulus to the state’s economy and taking place within TMC aims to create 26,000 new jobs. establish the center as the world’s Texas A&M University is building leader in human health and life a half-billion-dollar health sciences sciences. TMC3 is a collaborative complex at the Texas Medical Center. effort between The University of The university’s presence in the TMC3 Texas M.D. Anderson Cancer Center, will augment its current renovation Texas A&M University Health Science of the Texas A&M Engineering Center and The University of Texas Medicine (EnMED) building with Health Science Center at Houston two new towers that will include to develop the state-of-the-art student housing units, medical officed research campus. and retail.

62 TEXAS ECONOMIC DEVELOPMENT GUIDE “Part of everything that we do EnMed students — who are has to do with TMC3,” Texas A&M physician-engineers known as University System Chancellor “physicianeers” — earn master’s John Sharp said following a news degrees in engineering with their conference Feb. 20, 2020. “We think medical doctorates. Texas A&M TMC3 is going to be viewed in 20 brought that credential combination or 30 years as, oh my gosh — How to the TMC3 with the inaugural class smart were these people to start this of two dozen students last year. The project? — just as the founders of the EnMed building is expected to be medical center are viewed today. It is completed this year. going to be the place that innovation happens and the world changes as far It is going to be the place that as medical care. These facilities are innovation happens and the world going to be part of that.” “ TMC President and CEO Bill McKeon changes as far as medical care. These said the project is perfectly timed facilities are going to be part of that. for the needs of the medical city — John Sharp, Texas A&M University System Chancellor and for A&M’s “central role” in the ” TMC3 campus slated to break ground A new 19-story tower scheduled this year. for completion in June 2022 will “This is the most active the entire encompass 572 units of student campus has been on development ... . housing with 704 beds and a parking This is our 75th year,” he said. “What a garage with 3,444 spaces. Texas great time to serve as the cornerstone A&M College of Medicine students ... along with the TMC3 project for and Prairie View A&M University the next 75 years. Everyone keeps on College of Nursing students will thinking: Is this enough? There’s not have priority for housing, but enough. There’s not enough parking. students from other institutions can There’s not enough residential.” apply for open units. The $546 million complex includes A new 30-story integrated medical $145 million toward the purchase plaza will include a 13-story parking and renovation of the 18-story EnMed garage, 72,000 sq. ft. of retail space building as well as $401 million in and 8,700 sq. ft. of green space. The private-sector funding to build two towering medical office building new towers adjacent to the EnMed is expected to be completed in structure. June 2023.

TEXAS ECONOMIC DEVELOPMENT GUIDE 63 DATA CENTERS BITCOINBITCOIN is BiggerBigger in TEXASTEXAS The world’s largest bitcoin mining facility is under construction in Rockdale, Texas.

by SAVANNAH KING

eave it to a small Texas town College Station. Earlier this year, to attract the largest bitcoin German company Northern Bitcoin AG mining facility in the world. and Whinestone merged and are now In November 2019, operating as Northern Data AG. Whinstone US, Inc. The company has leased a 100- announced its plans to build acre greenfield site located at the world’s largest bitcoin mining the former industrial complex of facilityL in Rockdale, a city of 6,000 Alcoa Corporation. Since 2014, the approximately 40 miles west of Whinstone Group has a successful

64 TEXAS ECONOMIC DEVELOPMENT GUIDE track record in the blockchain jobs, are significant for the industry, which includes building District,” said Dr. John Weed III, and running mining facilities president of the Rockdale MDD. in the Netherlands, Sweden and “Moreover, being the home of the Louisiana. world’s largest data center will “Building the world’s largest significantly increase Rockdale’s Bitcoin Mining facility in Texas exposure to the technology is a big step for our fast-growing industry. Projects such as these company and a great success typically cluster together, and for the blockchain industry in others will likely follow. The the United States,” explains Lyle geographic location of Rockdale, Theriot, COO, and Co-Founder of nearly equal distance from Whinstone US. “The conditions Dallas-Fort Worth, Houston, are excellent, and our customers’ and San Antonio is known demand is overwhelming. We as a strategic advantage for see our new facility as a game- businesses that are located and changer in the industry and are thriving here.” excited to expand on U.S. soil.” The company is expected Encore Expansion to make an initial capital Compass Datacenters has investment of $100 million chosen its second data center to construct the data center. location in the Dallas area. In Another $50 million investment January, the company announced is expected for the installation it had purchased 225 acres of computer shelving, electrical in Red Oak, Texas, just south equipment, security servers, of downtown Dallas. The Red and other equipment to Oak Campus is already under manage and maintain a data construction. The first data center in the first year. As center, a six-megawatt facility, is utility infrastructure comes scheduled to open in 2020. The online, subsequent buildings campus is supported by multiple will be added to the corporate carriers with access to diverse campus. Initial customers include fiber routes and a dedicated high- two publicly traded companies voltage power substation. using a significant share of “The Dallas area continues to the capacity to perform Bitcoin be one of the most dynamic data mining on the site. center markets in the country. The Rockdale Municipal Our Red Oak campus supports Development District (MDD), customers’ current needs while Milam County Industrial providing clear line of sight to Development Corporation, and dedicated growth in the future. Milam County Commissioners Red Oak is the latest step in our Court are currently processing an effort to expand in key markets economic development incentive across the United States and package. The incentive package Canada,” said Chris Crosby, CEO includes an Ad Valorem Tax of Compass Datacenters. “This Abatement that is anticipated to Red Oak campus will bolster our be phased in over multiple years. ability to deliver data centers to “The 200 new jobs, in addition our customers exactly where and to an estimated 51 spin-off when they need them.”

TEXAS ECONOMIC DEVELOPMENT GUIDE 65

AGRIBUSINESS & FOOD PROCESSING t’s as E I as y a

s

P

i e

Food and beverage makers continue to invest in Texas.

by SAVANNAH KING

exas has a big appetite Brands, is investing more increased production and for food and beverage than $129 million to establish warehousing at the facility producers and has its U.S. headquarters in San where it produces Lay’s potato been steadily attracting Antonio. In 2018, the company chips, Tostitos, Doritos, investments across acquired Hill Country Bakery Cheetos, Baked Cheetos, the state. (now FGF Texas) and plans Fritos and Tostitos Scoops. With its world-class to expand its manufacturing Construction will wrap up Tbusiness environment, low plant on a 100-acre site in the by the end of 2021. The taxes and a high-quality city’s West Side. The company expansion will increase the workforce, moving to or expects to add 600 jobs to its existing 470,000-sq.-ft. facility expanding in Texas is an easy workforce of 328. by 120,000 sq. ft. decision. The Lone Star State’s In early 2020, snack food Cuisine Solutions, a geographic position between maker, Frito Lay, announced specialty frozen food the East and West Coasts also plans to invest $138 million manufacturer for customers allows companies to move into its Rosenburg location. in restaurants, airlines, their goods to market faster, The company has had a hotels, retail and foodservice easier and more affordably. presence in the region for 35 business, selected Brooks in Canadian bakery and maker years and employs 575 people. San Antonio as the location

Photo: Getty Images of Stonefire Brand foods, FGF The expansion will allow for for its newest facility. The

68 TEXAS ECONOMIC DEVELOPMENT GUIDE company’s estimated $120 excited to expand our million investment will also be manufacturing operations its fourth and largest facility in in Seguin, Texas,” said the U.S. and the world’s largest Brian Hess, executive vice sous-vide plant. The new plant president of Niagara Bottling. will add more than 500 jobs to “We selected Guadalupe the south side of the city over County in 2015 because of four years, following initial an attractive combination of operations. factors including location, “The addition of Cuisine infrastructure and workforce. Solutions contributes to our These same factors, coupled strategic goal of supporting with the partnership and the employment needs of our genuine support we’ve surrounding community,” said experienced from the Leo Gomez, Brooks President community, have given us the & CEO. “Our great partners confidence to continue growing at the San Antonio Economic there. We are excited to add an Development Foundation additional 30 team members played a vital role in helping to in Seguin. We look forward to make this addition a reality for maintaining leadership in the us, and we could not be more areas of innovation, supply excited to bring these living chain efficiencies and overall wage jobs with industry-best environmental stewardship.” benefits to the south side.” Though not a production The 290,000-sq.-ft. state-of- facility, Keurig Dr Pepper the-art facility will be located announced in February on approximately 23.7 acres 2019 it will move its Texas of land on Aviation Landing headquarters from Plano to across from the currently a new, 350,0000-sq.-ft. build- under construction light to-suit, leased facility at The industrial facility. Star in Frisco, Texas. The “Brooks is the ideal location new location will be ready in for us to establish our presence 2021 and serve as one of the west of the Mississippi River,” company’s two headquarters, said Stanislas Vilgrain, with the other located in Cuisine Solutions Chairman Burlington, Massachusetts. & CEO. “San Antonio has an The Star is the 91-acre industrious and enthusiastic campus of the Dallas Cowboys workforce that we’ll tap into to World Headquarters and help support our growth and training facility. meet the increasing demand “We are excited to upgrade for our restaurant-quality our Texas co-headquarters products.” location to support the needs of our vibrant business, Bottled Up including enhanced technology Niagara Bottling also capabilities and space to recently expanded its operation increase collaboration,” said in Seguin, Texas. In the spring Bob Gamgort, Chairman and of 2016, Niagara Bottling CEO of Keurig Dr Pepper. “The began operations at their new location at The Star in 557,000-sq.-ft. facility located Frisco will provide a state-of- on approximately 30 acres of the-art work environment and land. Currently, the facility exciting amenities that will runs three production lines, energize our employees and employs over 115 workers. enable us to attract top talent “Niagara Bottling is very in the area.”

TEXAS ECONOMIC DEVELOPMENT GUIDE 69 GULFSTREAM AEROSPACE

Gulfstream Aerospace to Open Service Center at

AllianceTexasPhoto courtesy of Gulfstream

70 TEXAS ECONOMIC DEVELOPMENT GUIDE ulfstream Aerospace existing employees. The additional Corp. plans to expand its maintenance capacity we can operations in the Dallas- provide at Alliance, the state-of- Fort Worth metropolitan the-art facility and substantial job area with the creation are great news for our construction of a service customers, our employees and the center at Fort Worth Alliance community.” Airport.G The facility, which will “We warmly welcome complement Gulfstream’s presence Gulfstream to the AllianceTexas at Dallas Love Field, is expected to aviation and aerospace open by the fall of 2021 and will community,” said Mike Berry, create approximately 50 new jobs. president of Hillwood, developer To help meet the needs of of AllianceTexas. “As one of its growing customer fleet, the world’s most respected Gulfstream will invest more than aerospace companies, Gulfstream $35 million to build a nearly becomes part of Fort Worth’s 160,000-sq.-ft. maintenance, storied history of aviation and repair and overhaul facility at aerospace innovation. Their Alliance. The building will include expansion here will allow them to hangar space, back shops and leverage specialized area aviation employee and customer offices. training programs and provide Groundbreaking is scheduled for them with access to a sizable the third quarter of 2020. talented workforce in a unique Approximately 150 to 200 environment that fosters further of Gulfstream’s 230 Customer growth. We look forward to a long Support employees at Love relationship and sharing in their Field are expected to relocate continued success.” to Alliance, about 35 miles Gulfstream opened maintenance away, while about 30 to 80 facilities in 2019 in Appleton, employees will remain at Love Wisconsin; Savannah; and Van Field to continue to provide Nuys, California; and will open on-site and transient operators two more this year in Palm with maintenance and service. Beach, Florida; and Farnborough, Gulfstream’s mid-cabin aircraft England. The company’s in- completions business in Dallas, service fleet is more than 2,900 which includes about 350 aircraft worldwide. More than 50 employees and five hangars, will Gulfstream aircraft are based in remain at Love Field. the Dallas-Fort Worth area. Alliance, the site of major Aviation School Sweetens the Pot Amazon and FedEx shipping “Alliance Airport is a great operations, was considered the location,” said Derek Zimmerman, country’s first industrial airport president, Gulfstream Customer when it opened in 1989. More Support. “It is an established than 300 flights a day come in airport for business aviation and out of the airport, including operators, has an outstanding business jets, military, cargo and infrastructure and is appropriately general aviation traffic. Alliance sized for our operations. It is Airport is part of AllianceTexas, also the home of a growing a 26,000-acre development in aviation school, which will help us northeast Fort Worth and home to continue to develop both new and more than 500 companies.

TEXAS ECONOMIC DEVELOPMENT GUIDE 71 AMAZON AIR

With Amazon Air Hub, Mobility Zone by ADAM BRUNS and Urban Mixed-Use, AllianceTexas is Ready for an All-Inclusive Future

hen Amazon Mike Berry has been there for all of in December those years. The president of Hillwood, 2018 announced a Perot Company, first joined the staff in it planned to 1988, the year ground was first broken open a regional for Alliance Airport, a concept he helped air hub at Fort pioneer. Today the industrial airport Worth Alliance Airport, it marked a is the 26,000-acre master-planned Wwatershed moment for an Amazon Air community and global logistics hub operation that was only two years old known as AllianceTexas. at the time, with 40 aircraft, 20 gateway With an economic impact of airport partners and plans to open other approximately $84 billion on North hubs. Alliance was the first — and not Texas, it’s no surprise that Alliance Photo courtesy of Amazon for the first time in its 31-year history. and its assets were considered

72 TEXAS ECONOMIC DEVELOPMENT GUIDE essential businesses and critical infrastructure as the COVID-19 pandemic struck the U.S., which was why Berry could be found in his team’s triple-cleaned and mass- fumigated office in March 2020 as part of a designated “SWAT” team strategically spread across the office as 85% of their colleagues worked from home. “The Alliance platform is largely built on logistics, e-commerce and supply chain, so we have a huge responsibility to keep everything working on that front,” he said in an interview. “All of those businesses we’re in fall under the definition of critical and essential.” Indeed, one could argue such operations are worthy of that designation at any time. But never more so than during a global crisis. Asked to assess how his team and tenants were operating, Berry said customers such as Amazon, FedEx, BNSF and UPS, as well as major grocery and consumer goods distributors, were completely functional and in many cases “working overtime, humping it to keep up with inventory replenishment.” Stocking those companies’ workforces was therefore paramount too, as several quickly ramped up hiring as the health crisis spread. Hillwood already pioneered workforce certification and training programs years ago for its tenants, and recently hosted the opening of the Tarrant County College Center of Excellence in Aviation, Transportation and Logistics. Now, says Berry, “We’re building a software platform using a company called ShiftSmart, and making it available to employers” in order to shift and match available labor with hourly jobs in busy fulfillment and logistics centers all over AllianceTexas.

TEXAS ECONOMIC DEVELOPMENT GUIDE 73 One of those busy places, and academic institutions to develop a of course, is Amazon. Asked first-of-its-kind mobility innovation “do- to assess the impact of tank” for partners to develop, test, scale, attracting that air hub, and commercialize advanced mobility Berry points first to the technology and business models. several million square feet “AllianceTexas offers a unique of fulfillment centers and platform to test and scale integrated thousands of employees mobility solutions — both on the the company already had surface and in the air,” said Scott in place in and around Corwin, managing director and Global AllianceTexas. Future of Mobility Practice Leader, “They made the Deloitte Consulting LLP. “Beyond our decision to build role in developing the initiative with their first ground-up Hillwood, Deloitte professionals will hub in their system have exposure to this effort, since here,” he said, noting our national leadership center — its function as a Deloitte University, where we grow the model for other hubs world’s best leaders and incubate idea in northern Kentucky generation and breakthrough thinking and at Hillwood’s — is located at AllianceTexas.” AllianceCalifornia So is the Federal Aviation development. “It adds a huge Administration’s Southwest regional piece of infrastructure to the logistics headquarters — “if the regulators platform that already exists here. are tied in from the beginning, we For their business alone, I’m sure it’s can move faster,” Berry says. So are created huge efficiencies because they corporate anchors including Fidelity can interconnect fulfillment centers Investments and Charles Schwab, on the ground here with the air piece. and over 162 miles of major arterial, For North Texas more broadly, to have state and federal highway systems. By such a major new air freight hub in the providing the infrastructure for multi- middle of our market makes us even modal transportation, AllianceTexas more of a logistics center. With the is positioned to support the testing FedEx and UPS hubs here, you have of innovative aerial and surface clustered the three biggest air freight technologies to move both freight operators in the world in one geographic and people within a self-contained location.” environment. Among projects already underway, Hillwood is developing the Integrated Testbed north Texas infrastructure platform for The innovation at Alliance Uber Elevate’s Skyports, with the first doesn’t stop there. In keeping with Skyport at Hillwood’s Frisco Station, the increasingly mixed-use, urban a 242-acre mixed-use development in environment that has risen at Alliance, Frisco, Texas. in summer 2019 Hillwood announced Berry says the project began when it had engaged Deloitte’s Future of his team got a call from Uber in 2017 Mobility Global Practice team to asking if Hillwood would be interested develop the strategic direction, business in collaborating to help them study model and operating platform for the how North Texas could be one of their AllianceTexas Mobility Innovation launch markets for the future of urban With its boundaries only Zone. The entire area will be a “sandbox” air mobility. halfway developed, the where Hillwood can collaborate with “We weren’t sure of what all that 26,000-acre master-planned its anchor corporations (representing meant, but we said, ‘Yes, we’d like to be AllianceTexas development has some 500 brands), future customers, involved,’ ” Berry says. The more they substantial room to expand. policymakers, regulators, entrepreneurs learned, the more involved they wanted

74 TEXAS ECONOMIC DEVELOPMENT GUIDE to be, whether it was locating vertiports to freight movement of airborne and ground-based autonomous vehicles. “Once we started looking at all these siloes, we realized there is a lot of work being done,” says Berry. “Movement of people would take longer, but they were all tied together with the same sort of systems.” One pilot program is the first to have on-demand, self-driving cars on public roads, while Hillwood also is working with AT&T to replicate its 5G Evolution model being used at Frisco Station into the AllianceTexas platform, which will include adding wireless stealth micro cells, ultra- fast internet infrastructure and robust Wi-Fi throughout the development. The collaborative approach will help define smart roadway infrastructure standards, enable autonomous vehicle movements on state and local roadways, and create industry standards for drones (UAVs) and vertical takeoff and landing (VTOLs) aircraft to operate in an urban airspace environment. Among the zone’s first two use cases: A surface freight mobility program for IoT-enabled shipping containers to move within the AllianceTexas platform via autonomous trucks along a “smart road system” will allow retailers, consumer goods companies and other corporate partners to increase their supply chain efficiency. “A container could be picked up by an autonomous truck, brought through the yard, out the gate, down the public road and into the gate of another distribution center, into the dock door of that facility, where it could be processed,” Berry explains. The second use case is centered around the establishment of an aerial proving ground that will allow drone and vertical takeoff or landing use case applications to be tested and ultimately integrated into the National Airspace System (NAS). “That container is broken down inside the warehouse, repackaged for last-mile delivery, and could be flown with a drone to an air freight hub or even a neighborhood, where we could design a kiosk drop-off system where it could be picked up by a consumer,” Berry says.

TEXAS ECONOMIC DEVELOPMENT GUIDE 75 EXXONMOBIL

An army of workers is building the world’s largest ethane cracker near Corpus Christi.

he abundant flows that will utilize Permian oil as by GARY DAUGHTERS of shale oil from the the “feedstock” for producing Permian Basin West two types of ethylene, a Texas are providing valuable component of plastics, an economic windfall solvents, urethanes and some across the state. There’s pharmaceuticals. no bigger example of that Known as an ethane cracker, thanT a project underway along the plant will be the biggest Corpus Christi Bay in San such facility in the world. Patricio County. In September, Through a joint venture 2019, ExxonMobil and Saudi branded as Gulf Coast Growth Arabia’s SABIC broke ground on Ventures (GCGV), ExxonMobil a massive petrochemical plant and Sabic expect to invest

76 TEXAS ECONOMIC DEVELOPMENT GUIDE some $7 billion in the project, Ethylene from the steam which makes it one of the cracker is to feed three units, biggest single investments two of which will produce in ExxonMobil’s $20 billion and polyethylene for use in “Growing the Gulf Initiative.” film, packaging, bottles and After ExxonMobil’s containers. Monoethylene announcement of the project in glycol, used in paints and March, 2017, Gulf Coast Growth coolants and also used as a Ventures named its choice of building block for polyester, a site four months later. The will be produced by the third. 1,300-acre parcel across the The Corpus Christi bay from Corpus Christi was project represents one of 11 selected over another potential investments in ExxonMobil’s site in Texas and two in Growing the Gulf Initiative Louisiana. At an announcement that’s to continue at least ceremony, GCGV executive through 2022. Other Robert W. Tully said the San projects include: Patricio County location enjoys deep-water access and ready- • A new production unit at made pipeline and railway the Beaumont polyethylene infrastructure. plant intended to boost j “It has all the elements we capacity by 65 percent wanted to see in a location to build our project,” Tully said. • A manufacturing facility at In addition, the Corpus Baytown to produce synthetic Christi area provides a robust lubricant base stocks construction workforce of some 10,000 workers, a necessity • An aviation lubricants for a project that is in the facility at the ExxonMobil process of creating some 6,000 Baton Rouge, Louisiana, jobs for a buildout expected chemical complex to be complete in 2022. The construction phase alone is • $10 billion worth of new expected to generate more facilities for natural gas than $22 billion in economic pre-treatment, liquefaction output, with output for the and export at ExxonMobil’s facility’s first five years of existing LNG import terminal operation pegged at more in Sabine Pass, Texas than $50 billion. The plant is ExxonMobil CEO Darren expected to create more than Woods says the supply of 600 permanent jobs paying Permian crude makes these an average of $90,000 a year, massive investments possible. as well as 3,500 permanent spinoff jobs. “We are using new, abundant When up and running, the domestic energy supplies to facility will house an ethane provide products to the world “steam cracker” capable of at a competitive advantage producing 1.8 million tons of resulting from lower costs and ethylene per year. The process abundant raw materials. In this of cracking involves heating way, an upstream technology ethane until it breaks down to breakthrough has led to a form a mixture of ethylene and downstream manufacturing other gases. renaissance.”

TEXAS ECONOMIC DEVELOPMENT GUIDE 77 TWIN DISC

Labor Leads to East Texas Location

Wisconsin-based equipment manufacturer chooses East Texas for new facility.

n March 2019, Twin Disc assemble the company’s complete by SAVANNAH KING Inc. broke ground on its industrial product line and to be new operations facility a distribution center for all new in Lufkin, Texas. The products coming from European Wisconsin-based maker operations to the United States. of marine and heavy-duty, “We’ve seen tremendous off-highway power transmission growth in our business across Iequipment is set to open in all markets, and to keep up January 2020. with the increasing demand, we The new 50,000-sq.-ft. need to expand our production manufacturing facility will focus capacity,” said John Batten on producing power take-offs (pictured above), president and and clutches for heavy duty CEO of Twin Disc. “This facility Twin Disc Inc. broke ground on industrial equipment. The main will allow us to streamline its new operations facility in Lufkin, Texas, in 2019. purpose of the facility is to our supply chain with a global

78 TEXAS ECONOMIC DEVELOPMENT GUIDE distribution center.” Did city, state or other The company will look to organizations support the new hire 20 to 30 people in the facility through incentives or first year with the intention other such funding? to grow as business increases. Assembly workers, material BATTEN: No other community control employees, and Twin Disc considered was more logistics specialists are some aligned behind supporting a of the positions Twin Disc will company project than Lufkin. seek to fill. Lufkin Economic Development We spoke with Batten about Corporation was instrumental how the company’s new facility in in putting the package together Lufkin came to be. which included land, building and incentives for employment levels. Twin Disc has a lot of history How would you describe the in Wisconsin where it’s been local workforce? located since 1918. How did the new Lufkin, Texas, plant BATTEN: Simply put — highly capable. come about? Access to a growing talented North American labor force is critical BATTEN: Twin Disc’s manufacturing to our growth objective. One facilities in Racine, Wisconsin, of the reasons we chose Lufkin were bursting at the seams and we was specifically because of its needed to find an effective way to labor pool. keep up with increasing demand and expand our production How many employees will you capacity. Because the location in hire at this facility and what is Racine is nestled against Lake the average salary or wage? Michigan, the radius to find employees kept getting longer; we BATTEN: We have begun a limited knew we needed to find an outlet hiring program in Texas and have for production away from the lake. identified key personnel from Racine who will move to help get Specifically, why was this site the plant operational. We plan selected? to hire a variety of employees, including assembly workers, BATTEN: Lufkin, Texas, was material control employees, and recommended to Twin Disc. Our logistics specialists. It’s a bit early team toured the community and to say with certainty how many visited potential sites, and far and employees Twin Disc will hire at away, Lufkin rose to No. 1 on the the Lufkin facility, but the team list. The incredible employee base, is eager to add opportunities proximity to Port of Houston, and to the local job market as the support received from the production ramps up. community sealed the deal.

What’s next for Twin Disc? What other cities or regions were considered for the BATTEN: Developing and adding new new facility? products to our portfolio is a top priority for us in fiscal 2020 and BATTEN: Twin Disc started looking beyond. Our objective is to lead the at areas around Houston, the Gulf way on new, innovative hybrid/ Coast, Florida and as far north as electric applications. Charleston, South Carolina.

TEXAS ECONOMIC DEVELOPMENT GUIDE 79 INVESTMENT PROFILE: TERRELL, TEXAS

Home-Grown

Texas Talent by SAVANNAH KING How one Texas community is building its own talent pipeline with local industry and education.

rive east of Dallas about just far enough outside Dallas’ urban half an hour along I-20 and sprawl to offer affordability and a you’ll come upon a few green quiet, peaceful way of life — yet close exit signs bearing the name enough to benefit from everything “Terrell.” the city has to offer. Nearly 60,000 This small Texas people travel through Terrell every community sprang up around a train day on their way to and from the city Ddepot in the 1870s. In WWII, the first stopping to fill up at the Texas-sized U.S.-based training school for Royal Buc-ee’s gas station or to shop the Air Force pilots was established in city’s outlet malls and retail stores.

Photos courtesy of Terrell ISD Terrell. Today, the city of 18,000 is In recent years, Terrell’s retail

80 TEXAS ECONOMIC DEVELOPMENT GUIDE industry has enjoyed a rebound, as has with direct feedback and involvement its lodging and food service sectors. from local industry partners. Manufacturing and distribution have also held a prominent role in Terrell’s Community Buy-In economy over the years, with an Support for the program is abundant increasingly promising outlook. with local industry donating materials Ray Dunlap, who recently took on and providing essential feedback, the role of President of the Terrell as well as overall community Economic Development Corporation, support from students, parents and says his No. 1 goal is to keep more stakeholders. Several six-figure grants of the city’s workforce at home. “We have been awarded to the program have three major manufacturers — to help with purchasing equipment Madix, Oldcastle and Nucor — and and materials. Last year, the Texas three distribution centers — Walmart, Workforce Commission presented AutoZone and Goodyear,” he says. “We Terrell ISD with a Jobs and Education have about 12,000 jobs and 18,000 for Texans (JET) grant in the population. So, we’re an importer amount of $287,304 to help purchase of jobs. We want to keep our talent and install equipment to provide at home.” students with training for careers in As a small-town Texas native himself, he says he understands the value and quality of life being engrained in a community has on a We want to keep our person, but he also understands the talent at home. allure city life has on young people “ just starting their careers. He says he — Ray Dunlap, President, Terrell Economic wants the young people of Terrell to Development Corporation ” grow up and build their hometown. “In Terrell, we’re growing, and we have a lot of talented, smart engineering and manufacturing. The people here,” he says. “These are Terrell ISD Excellence Foundation, in future business owners, employees, partnership with the Terrell Economic managers, city council members, Development Corporation, contributed teachers, etc. that will grow up and more than $160,000 to the CTE give back to our city. More than programs over the last two years. anything, I want to see kids grow up “Everybody started putting money with hope.” into it because they wanted to support Interestingly enough, that’s exactly the program,” explains Rhonda what a new program at the local high Knight, Terrell ISD Director of College school is giving to its students — and Career Readiness. “The reality and nearby employers. Terrell High is the baby boomers are retiring. School Career & Technical Education So, it’s become very important for (CTE) students are enrolling in everyone in the industry to start an innovative, industry-led career replacing those people who were their pathway program in several sectors workers for years. They realize that, including robotics and engineering, through education, we were forcing computer science, automotive service, everybody into college. It’s not that welding, computer aided drafting, you can’t go to college, certainly, go health care, nursing, precision to college too. But what we realized is manufacturing, computer graphics, that no one was getting the technical video technology and industrial skills to do those jobs. Even if they safety. Throughout the three-year went to college, got a degree and program, students can earn industry then came back to work in their certifications, college credits, hometown industries, they didn’t internships and hands-on experience have any skills. A lot of that drove the

TEXAS ECONOMIC DEVELOPMENT GUIDE 81 discussions to see what to learn from industry is what sets the we were going to do to program apart. provide ourselves with a “I think what’s been impressive workforce in the future.” is they’ve been interested in what we want,” Wiley explains. “They’re Manufacturing Talent not sitting there, coming up with The three biggest a curriculum and it maybe isn’t manufacturing applicable to what we’re needing companies in Terrell here. It’s only been a few years, but I are Oldcastle, Nucor think once this foundation gets firmly and Madix. Each of these established we’re going to see it grow.” companies have supported the Across the street from Madix, CTE program since its inception and Oldcastle BuildingEnvelope employs that involvement is the lynchpin in about 550 people at its facility. The the program’s success. company has been a mainstay in Nucor Building Systems has Terrell since 1962 and was an early operated its facility in Terrell for supporter of the CTE program. nearly 20 years where it employs “It’s all to encourage two things,” a little over 300 people. Several of says Carol Ohmann, group human those employees came directly to the resources manager at Oldcastle. “You company from the high school CTE can go get a college education after program. In addition to providing you finish high school. Or, if that’s materials and resources to the not in the stars for you, there are program, Nucor also offers students other opportunities right here in your its industry certifications at no backyard.” charge. If students are hired on by the company they can earn average Excitement in the Air salaries of $82,000 for welders, In the world of Vex robotics $67,000 for painters and detailers can competitions, North Texas is one make as much as $30 an hour. of the most competitive regions in “They know the basics coming out the country. Though, Terrell ISD’s is of the program,” said Brandon Eshom, only 4 years old it’s already a major Structural Supervisor at Nucor and a contender on the scene. Terrell High School grad himself. “A In February, Terrell ISD hosted lot of our processes are pretty rare in nearly 80 robotics teams and 400 our industry. The CTE and vocational robotics students from across the state centers out there are all set up with for the Vex Robotics Texas Region 2 our machines, our wires, gloves, State Championship tournament for consumables. We’ll talk about safety the first time. a lot when we go out there in the Terrell High School Robotics shop. The whole idea behind it is to teacher Marcus Edwards explained develop that pipeline and increase the that bringing the tournament to knowledge and understanding of who Terrell is a big deal for the District we are, right here in Terrell. If you get and his students. Not only is the one good person out of all that then I state tournament the competition in think it pays off immediately.” which students will advance to the Madix Inc.’s director of human World Championship, but Terrell ISD’s resources and native of Terrell, Casey robotics program is still very young in Wiley, says the program is showing comparison to other districts. tremendous promise after only a few “It’s a paradigm shift for them,” years. Madix employs approximately Edwards said. “There was nothing 900 people and is the second largest like this before and now we’re having store fixture manufacturer in the U.S. entirely different conversations with For Wiley, the educators’ willingness these kids about what they want to do

82 TEXAS ECONOMIC DEVELOPMENT GUIDE in their professional careers. Basically, that runs production seven days a our program thrives because we week, year-round. We have a lot build confidence in our students. of precision measuring and parts They’re realizing their world can look making, they’re learning quality different so they’re asking themselves control and processes involved in “What can I do? What solutions can I everything from shoes to bearings. come up with?” he says. A lot of students don’t have a Edwards gestures to a group clue, they think these things of students in the corner of his just come from China with classroom. The students are a snap of the finger. preparing for their next competition Of course, everything and working out the kinks on a is moving toward troublesome robotic arm. He notes automation so that’s how none of the students are looking where robotics comes around the room for an adult to guide in. But that’s our goal them; they’re disassembling the arm in setting up all this and designing a part to whip the arm machinery here. When into shape — together. one of our students “When I go to college, I’m confident goes on an interview and that I’ll be able to learn whatever I they take him on a tour need to learn efficiently because of of a plant, they’ll have a basic what I’ve had to do here. Last year understanding of everything he or we didn’t have a programmer, so it she is seeing there and can impress was up to me alone to figure it out. the interviewer.” As I’ve been managing this team, it’s proven to be a really great learning Health Care Academy opportunity and a challenge,” said Every afternoon, some High School Cash Muehl, a senior at Terrell High students put on their assigned School and this year’s robotics team uniform — red scrubs — and board captain. Muehl says the program has the bus across town to the Health made him interested in pursuing a Science Academy, located at the site career in computer science, crypto- of the former Renaissance Hospital. technology or artificial intelligence. Opened in 2019, the academy is a Take a look inside of the CTE partnership among Terrell Economic program’s classrooms — whether Development Corporation, the City it’s a visit to the school’s welding, of Terrell, Trinity Valley Community additive printing, automotive or College (TVCC) and Terrell computer science — the same energy Independent School District (TISD). and excitement is present in each It is used by TISD and TVCC students class. Part of the reason students are enrolled in health science programs so excited about their curriculum lies who are pursuing one of three career in the hands-on experience students pathways leading to a Bachelor’s receive and its real-world application. of Nursing, a Licensed Vocational “It’s all hands on. There aren’t a lot Nursing or an Occupational Skills of books around here. For me, this Certificate. is more of a real-world environment Students receive an added bonus versus the school environment,” as all tuition, books, fees and says Chad Nixon, manufacturing transportation are covered by the and engineering instructor at Terrell district and TVCC. High School. “What you see at this Across industries and interests, facility should match what you’d Terrell is a community focused on the see in a real manufacturing facility future and its people.

This article was prepared under the auspices of the Terrell Economic Development Corporation. For more information please contact Ray Dunlap, [email protected]; 469-534-2719.

TEXAS ECONOMIC DEVELOPMENT GUIDE 83 COMMUNITY PROFILE: DALLAS-FORT WORTH-ARLINGTON

ith 7.5 million people, Dallas- Fort Worth- Arlington stands not only as the largest MSA in Texas, but the fourth Wlargest in the U.S., behind only New York, Los Angeles and Chicago. As impressive as that ranking is, it’s what behind the number that makes all the difference in the world: a thriving economy whose output dwarfs that of the rest of the country. In 2019, Texas GDP grew at an astounding 4.4%, by far the highest in the nation. The economic performance of the DFW Metroplex is fueled by businesses in virtually every sector, but by RON STARNER notably in the following industries: defense, financial services, corporate DallasDallas headquarters, information technology, semiconductor manufacturing, telecommunications and FortFort WorthWorth transportation.

Leading Industries Top Employers Major Highways (source: realestate.usnews.com) (source: destinationdfw.com) (source: aaroads.com) Health Care & Social Assistance AMR Corporation (American Airlines) State Highways 183 & 121 Accommodation & Food Services Bank of America Corp. US Highway 175 Administrative, Support, Waste Texas Health Resources Inc. IH 30 Management & Remediation Dallas ISD State Highway 190 Services Baylor Health Care System US Highway 67 AT&T IH 820 Lockheed Martin Aeronautics Co. State Highways 114 & 183 JP Morgan Chase & Co. IH 45 UT-Southwestern Medical Center IH 635 City of Dallas US Highway 67

84 TEXAS ECONOMIC DEVELOPMENT GUIDE At a Glance

Total workforce (source: bls.gov) 3,870,400

Average annual temperature (source: US Climate Data) High 76.8°F Low 51°F

Average commute time (source: educateddriver.org | bizjournals. com) 55.8 minutes

Cost-of-living index number (source: numbeo) 65.51

Average annual wage (source: datausa.io) $52,210

Per capita income (source: deptofnumbers.com) $33,404

Median household income (source: datausa.io) $52,210

Unemployment rate (source: ycharts.com) 3.00% for Dec 2019

Contact

Dallas Regional Chamber Mike Rosa, Senior Vice President, Economic Development [email protected] | 214.746.6735

TEXAS ECONOMIC DEVELOPMENT GUIDE 85 INVESTMENT PROFILE: ALLEN, TEXAS

Allen: The New Boomtown of Texas by RON STARNER Jobs engine emerges in a North Dallas suburb known for high school football.

he city that gave us Friday rapid rise of Allen firsthand. A police Night Lights is shining brighter body camera system manufacturer, than ever, thanks to some WatchGuard was recently acquired by entrepreneurs who had the Motorola for $271 million, but not before foresight to predict where the establishing its permanent home base in next big growth wave in North a new headquarters facility in Allen. Texas would occur. “We moved into our new headquarters TWelcome to Allen, a North Dallas in May 2018,” says Vanman. “It’s a suburb of over 100,000 people in the 140,000-sq.-ft. facility designed to heart of a corporate expansion and showcase WatchGuard and serve our workforce boom like none other in employees well.” the country. Smack dab in the middle The new building in Allen has also of the hottest corporate headquarters helped Vanman recruit the best talent. WatchGuard opted to build relocation market in the U.S., Allen is “From the time we moved, applications its new HQ in Allen due to now making its own play for high-paying nearly tripled from the old building the many talent-attracting jobs and the industries that create them. to the new one for each job opening,” amenities offered by the city. Robert Vanman, founder and CEO Vanman says. “Lots of people would Photo courtesy of Allen EDC and WatchGuard/Motorola of WatchGuard, has witnessed the drive by the building and say, ‘Wow,

86 TEXAS ECONOMIC DEVELOPMENT GUIDE I want to work there. We want our next week,” he said in late March. “Our building to be a calling card for sales pitch for Allen is simple: if you’re professionals.” coming to Collin County, you’re already WatchGuard employed 300 workers landing in one of the hottest markets at the time of the move and 330 by the in the country. You’ll have an incredible time Motorola acquired the firm last labor force with a higher percentage of July. Vanman says the Allen address educated workers, and you’ll have access made a huge difference. to a mixed-use environment, incredible “Allen was by far our first choice for quality of life, and the top-rated parks where to locate the company,” he notes. department in the nation.” “The Allen Economic Development Corp. Assets like these propelled Allen to was highly competitive in their proposal land major investments from Netscout, to have us build in the city. When Credit Union of Texas, Highlands the property came up for sale, I knew Residential Mortgage and others in the immediately it was going to be our new past 18 months. home. It was right on the edge of retail shopping zone at Waters Creek. Access on and off the highway was easy. It pretty much had everything.” Allen was by far

Building Partners in Progress our first choice for Derrick Evers, CEO of Kaizen “where to locate Development Partners, says Allen lures corporate investors like Vanman the company. because it “provides the opportunity CEO, WatchGuard for employers to have a growing and — Robert Vanman, tremendous housing market. We have ” a wonderful school system in Allen. 4 New Premium Addresses The city provides an all-encompassing “Our schools continue to get the top community for real estate developers. rankings,” says Bowman. “Millennial There is a true partnership with the city families as they have kids are choosing and the Allen EDC.” to buy homes and live in Allen, and That partnership has enabled Evers’ they’re demanding homes in walkable firm to develop several significant communities like Watters Creek. We properties in Allen — from a five-story, have a number of large master-planned 125,000-sq.-ft. office building that is now projects along our Highway 121 Corridor. over 80% leased to the company’s newest Allen has the best office and industrial project: an eight-story, 200,000-sq.-ft. sites available anywhere in the North building called One Bethany West. In Dallas market. A company could come between came a build-to-suit facility for in and buy a substantial amount of Netscout out of Boston. land and still be part of a mixed-use “We did a heat map analysis of the development.” area,” says Evers. “We wanted to look No less than four new mixed-use at where folks are choosing to live and projects are sprouting up in Allen: work. We looked at the growth patterns. Monarch City, Allen Gateway at Twin We saw that this area was continuing to Creeks, The Avenue, and a former Hines grow north. A lot of the growth in North project once known as The Strand. Dallas was situated along the tollway When these developments are built corridor. Why is everyone moving north? out, notes Bowman, no North Texas Because that’s where the workforce is.” suburb will be able to compete with Dan Bowman, CEO of the Allen EDC, Allen’s overall package. In other words, says the city was still closing deals in the city of Friday Night Lights is on the the midst of the COVID-19 pandemic. verge of being known for what it offers “We’re closing some deals this week and every day of the week.

This investment profile was prepared under the auspices of the Allen EDC. For more information, go to www.AllenEDC.com or or call 972-727-0250.

TEXAS ECONOMIC DEVELOPMENT GUIDE 87 COMMUNITY PROFILE: AMARILLO

orporate executives and site selectors are quite familiar with Dallas-Fort Worth, Austin, Houston and San Antonio. Venture out a little further in Texas, Chowever, and familiarity gets tested. The leaders of Amarillo in the Texas High Ground country of the Texas Panhandle would like to change that. For starters, they’d like you to know that Amarillo, while smaller than the big four, is bursting with opportunities for business builders. In 2017, Amarillo ranked No. 9 in the country as the Best Place to Start a Business. In 2016, it was ranked the 10th best economic powerhouse in Texas. The 14th most populous city in the state, Amarillo has over 310,000 people in its metro area and is responsible for processing about one-quarter of America’s beef supply. Petroleum extraction, helium and helicopter manufacturing are other major industries in Amarillo. by RON STARNER The city’s largest employer AmarilloAmarillo is Tyson Foods, and workforce development for multiple industries is amply served by the many centers of learning affiliated with Texas Tech University in town.

Leading Industries Top Employers Major Highways (source: amarilloedc.com) (source: amarillo.com) (source: aaroads.com) Wind Energy Amarillo Independent School District Interstate 27 Aviation & Aerospace Tyson Foods, Inc. Interstate 40 Agriculture & Livestock CNS Pantex US 60/ US87 / US 287 Food Technologies Diversified Manufacturing Financing & Incentives

88 TEXAS ECONOMIC DEVELOPMENT GUIDE AMARILLO, At a Glance TEXAS Total workforce (source: bls.gov) 132,600

Average annual temperature (source: US Climate Data) High 71°F Low 44°F

Average commute time (source: datausa.io) 18.7 minutes

Cost-of-living index number (source: numbeo) 29.25

Average annual wage (source: bls.gov) $44,030

Want to see what Per capita income (source: census.gov) life really looks like $27,950 in the yellow city?

Search culture, Median household income neighborhoods, (source: census.gov) education, and career $52,543 opportunities on one site.

VISIT Unemployment rate (source: bls.gov) TAKEROOTINAMARILLO.COM 2.3%

Contact

Amarillo EDC Kevin Carter, EDFP President & CEO amarilloedc.com

TEXAS ECONOMIC DEVELOPMENT GUIDE 89 COMMUNITY PROFILE: AUSTIN

hen Michael Dell got the idea for creating the Dell laptop computer in his dorm room at the University of Texas in Austin back in Wthe 1980s, he did more than revolutionize the world of personal computing. He forever changed the future of Austin. Known primarily as the capital of Texas and the home of UT back then, Austin took a big step forward into the world of technology with Dell’s invention — and the capital region hasn’t looked back since. The fastest-growing large city in the U.S. since 2015, Austin today ranks as one of the world’s great technological powerhouses. Home to Apple, 3M, Amazon, Google, IBM, Oracle, Intel, Texas Instruments and many other high-tech firms, greater Austin has basically become the Silicon Valley of Texas. Suburbs like Pflugerville and Round Rock have themselves become familiar by RON STARNER names to corporate executives AustinAustin and site selectors, as these rim cities now compete regularly with the best destinations in North America for rapidly expanding businesses.

Leading Industries Top Employers Major Highways (source: austinchamber.com) (source: aaroads.com) Advanced Manufacturing Apple Interstate 35 Life Sciences Ascension Setion US 183 Creative & Digital Media Technology Austin independence US 290 Data Management school District SH 71 Clean Technology City of Austin Loop 1 Space Technology Dell

90 TEXAS ECONOMIC DEVELOPMENT GUIDE At a Glance

Total workforce (source: bls.gov) 1,235,900

Average annual temperature (source: US Climate Data) High 84.7°F Low 49.6°F

Average commute time (source: indexmundi.com) 24.3 minutes

Cost-of-living index number (source: numbeo) 66.81

Average hourly wage (source: bls.gov) $25.87/hr

Per capita income (source: census.gov) $40,391

Median household income (source: census.gov) $67,462

Unemployment rate (source: bls.gov) 2.4%

Contact

Austin Chamber Charisse Bodisch, Senior Vice President, Economic Development [email protected] | 512.322.5608

TEXAS ECONOMIC DEVELOPMENT GUIDE 91 COMMUNITY PROFILE: HOUSTON

hat do people in a metropolitan area of 6.5 million residents do for fun? If you’re living in Houston, it’s only natural that you eat. WThe three biggest industries in greater Houston are oil and other petrochemical operations, the medical sector, and a restaurant and brewery industry that rivals that of any in the country. Case in point is the Karbach Brewing Co., a microbrewery based in Houston and owned by Anheuser Busch- InBev since 2016. Founded in 2011 by Chuck Robertson and Ken Goodman, the company quickly grew to become the second fastest-growing craft brewery in the nation. In 2015, the brewery invested $15 million to expand its Houston operation. Chris Shepherd’s Texas- style gastro pub the Hay Merchant is another example of Houston’s prowess in the foodie scene. He won the James Beard Foundation Award for Best Chef Southwest in 2014, becoming the first chef from Houston to claim the honor in two decades. Houston When folks aren’t Houston hobnobbing at Karbach or the by RON STARNER Hay Merchant, they can be found enjoying the splendor of Houston’s outstanding year- round weather, vacationing at nearby beaches of the Texas Gulf Coast or taking in one of the many sporting pleasures

PHOTO BY HEATHER OVERMAN offered around Houston.

92 TEXAS ECONOMIC DEVELOPMENT GUIDE Leading Industries Top Employers Major Highways (source: houstontx.gov) (source: houston.org) (source: houstonnewcomerguides.com) Oil & Gas Exploration USAA I-10 East: Baytown-East Basic Petroleum Refining Walmart Freeway Petrochemical Production H-E-B 1-10 West: Katy Freeway Medical Research & Health Care Delivery Houston Methodist I-45 South: Gulf Freeway High-technology (Computer, Aerospace, Memorial Hermann Health System I-45 North: North Freeway Environmental, etc.) UT MD Anderson Cancer center 1-69/US 59 Northeast: Government (City, State & Federal) Eastex Freeway International Import & Export 1-69/US 59 Southwest: Commercial Fishing Southwest Freeway Agriculture Education Film & Media Banking & Finance Manufacturing & Distribution Related Service Industries At a Glance

Total workforce Average hourly wage (source: bls.gov) (source: bls.gov) 3,487,842 $26.10/hr

Average annual temperature (source: US Climate Data) Per capita income High 78°F (source: deptofnumbers.com) Low 60°F $32,441

Average commute time Median household income (source: autoaccessoriesgarage.com) (source: datausa.io) 26.2 minutes $51,203

Cost-of-living index number Unemployment rate (source: numbeo) (source: bls.gov) 65.79 3.6%

Contact

Greater Houston Partnership Susan Davenport, Senior Vice President & Chief Economic Development Officer [email protected] | 713.844.3612

TEXAS ECONOMIC DEVELOPMENT GUIDE 93 COMMUNITY PROFILE: SAN ANTONIO

olks who haven’t visited San Antonio in a long time can be forgiven if their perception of Texas’ second largest city is that it’s basically the home of theF Alamo. As important as the Alamo is to the history and independence of Texas, it’s far from the only reason to visit this city of over 1.5 million people. From the River Walk to Missions National Historical Park and Six Flags Fiesta Texas, San Antonio offers something for everyone. The seventh most-populous city in the U.S., San Antonio is the state’s oldest municipality, celebrating its 300th anniversary in 2018. In recent years, the city and surrounding region have become an economic juggernaut. From automotive manufacturing to cybersecurity, San Antonio is not just a preferred business destination in the Lone Star State now; it’s a global hub of commerce. SanSan Over the last 20 years, San Antonio has been one of the 10 fastest-growing cities in America. Today, it’s a legitimate economic powerhouse. It’s a U.S. Armed Forces bastion, energy hub, AntonioAntonioby RON STARNER medical technology and health care leader, financial services giant and tourism mecca. Since 2000, San Antonio has become a major manufacturing center and back-office and call center

PHOTO BY CARMYN SUZOR hub as well.

94 TEXAS ECONOMIC DEVELOPMENT GUIDE Leading Industries Top Employers Major Highways (source: sanantonio.gov) (source: mysanantonio.com) (source: aaroads.com) Health Care & Bioscience USAA Robert McDermott Aerospace H-E-B Freeway / Jose Lopez Information Technology & Northside Independent School District Freeway — Interstate 10 Cybersecurity North East Independent School District Pan Am Freeway — New Energy Economy City of San Antonio Interstate 35 Methodist Healthcare System Health Lucian Adams Freeway — Care Services Interstate 37 San Antonio Independent School John Connally Loop — District School District Interstate 410

At a Glance

Total workforce Average annual wage (source: bls.gov) (source: payscale.com) 1,225,800 $61,000

Average annual temperature (source: US Climate Data) Per capita income High 80°F (source: deptofnumbers.com) Low 57°F $27,280

Average commute time Median household income (source: texasmonthly.com) (source: datausa.io) 24.7 minutes $49,024

Cost-of-living index number Unemployment rate (source: Numbeo) (source: areavibes.com) 64.79 5%

Contact

San Antonio Economic Development Foundation Jenna Saucedo-Herrera, President & CEO sanantonioedf.com | 210.226.1394

TEXAS ECONOMIC DEVELOPMENT GUIDE 95 COMMUNITY PROFILE: EL PASO

he largest metro area along the Texas- Mexico border, El Paso is a unique community offering a high quality of life and thriving business Tenvironment. Across the border from Ciudad Juarez, Mexico, El Paso is home to the largest bilingual and bi- cultural workforce in the Western Hemisphere and is the sixth-largest city in Texas. El Paso is home to the Medical Center of the Americas, the only medical research and health-care provider complex in West Texas and Southern New Mexico. El Paso is also home to the University of Texas at El Paso — often called UTEP — the city’s primary university. Once a year, the city is showcased on national television as it hosts the annual Sun Bowl college football post-season game — the second-oldest college bowl game in America. El Paso also boasts an extremely strong military presence. William Beaumont Army Medical Center, Biggs Army Airfield and Fort Bliss El Paso are all stationed in the Elby Paso SAVANNAH KING region. Fort Bliss ranks as one of the largest military complexes in the U.S. Army, and it is the largest training facility in the country.

96 TEXAS ECONOMIC DEVELOPMENT GUIDE Leading Industries Top Employers Major Highways (source: US Census Bureau) (source: zippia.com) Interstate 10 Health Care Western Refining, Inc Interstate 110 Education Fred Loya Insurance US 54- Patriot Freeway Retail The University of Texas at El Paso US 62 Hospitality Las Palmas Medical Center US 80 Government The El Paso Independent School District

At a Glance

Total workforce Average annual wage (source: Bureau of Labor Statistics) (source: zip recruiter) 366,900 $55,123

Average annual temperature (source: US Climate Data) Per capita income High 77°F $21,198 Low 52°F

Average commute time Median household income 22.7 minutes $44,416

Cost-of-living index number Unemployment rate (Source: Numbeo) (Source: City of El Paso) 52.82 4.3%

Contact

El Paso Economic Development Jessica Herrera, EDO Director of Regional Partnership [email protected] | 915-212-1624

TEXAS ECONOMIC DEVELOPMENT GUIDE 97 COMMUNITY PROFILE: LUBBOCK

he “Hub City” of Lubbock is located in the South Plains of West Texas at the crossroads of four major highways and Interstate 27. In addition Tto its affordability and high-quality workforce, Lubbock has earned several accolades and high rankings, including: WalletHub 2020 Best Cities for Jobs; SmartAsset Top 25 cities with the best work-life balance; and USA Today Best Cities for Jobs, Social Life and Affordable Living After College Graduation 2019. This northwestern Texas city is also known as the birthplace of rock ‘n’ roll legend Buddy Holly. The Buddy Holly Center celebrates his life and music with artifacts and mementos. Also located in Lubbock is the West Texas Walk of Fame. It features a statue of Holly, as well as many plaques honoring musicians who originated in the region. The Museum of Texas Tech University in Lubbock houses millions of objects of art, history and paleontology, Lubbock as well as the Moody Lubbockby SAVANNAH KING Planetarium. Texas Tech itself is well known for producing many esteemed alumni, not the least of which is the current reigning Super Bowl MVP Patrick Mahomes, quarterback of the Kansas City Chiefs.

98 TEXAS ECONOMIC DEVELOPMENT GUIDE Leading Industries Top Employers Major Highways (source: Lubbock Economic Development Alliance) (Source: Zippia.com) Interstate 27 Agriculture United Supermarkets, LLC US 62 Education Texas Tech University US 82 Health Care Texas Tech University US 84 Retail Health Sciences Center UMC Health System Imperium Risk

At a Glance

Total workforce Average annual wage (source: Bureau of Labor Statistics) 164,600 $24,168

Average annual temperature High 74°F Per capita income Low 47°F $25,977

Average commute time Median household income 16 minutes $47,326

Cost-of-living index number Unemployment rate 79.9 4%

Contact

Lubbock Economic Development Alliance John Osborne, President and CEO https://lubbockeda.org | [email protected] | 800-687-5330 | 806-749-4500

TEXAS ECONOMIC DEVELOPMENT GUIDE 99 COMMUNITY PROFILE: MIDLAND-ODESSA

ocated in West Texas, the Midland- Odessa MSA is a crucial mid-point between El Paso and Dallas-Fort Worth. This region offers Ladvantages including an ideal infrastructure, pro-business environment and world-class companies from around the world. Midland and Odessa were originally founded as railroad towns before they later developed into cattle shipping centers and regional financial centers. All that began to change with the advent of the Permian Basin oil boom of the 1920s. Since then, energy has been the dominant employer in this region. The shale boom of the past decade resulted in unprecedented increases to personal wealth, household income and overall economic growth in the Midland area. Manufacturing and Midland transportation sectors grew as well to support the energy boom, raising per capita personal income in Midland to the highest in Texas. OdessaOdessaby SAVANNAH KING

100 TEXAS ECONOMIC DEVELOPMENT GUIDE Leading Industries Top Employers Major Highways (source: Odessa Development Corporation, (source: aaroads.com) Texas Economic Development Corporation) Odessa Midland I20 Distribution Energy Odessa Midland Loop 338 Energy Manufacturing SH 191 Medical Transportation Halliburton Anthem Oil & Gas Technology Distribution Saulsbury Apache Corp. Manufacturing Corporation Baker Hughes Keane Group Companies Walmart Chevron Odessa Regional Concho Resources Medical Center Diamondback Energy Hilliard Halliburton Energy Services Leo Labs At a Glance

Total workforce Average hourly wage (source: Bureau of Labor Statistics) 87,400 Odessa $22.53 Odessa 107,700 Midland $26.84 Midland

Average annual temperature Per capita income High 78°F $30,606 Odessa Low 52°F Odessa $39,179 Midland High 80°F Midland Low 51°F

Average commute time Median household income 21.5 minutes Odessa $61,541 Odessa 18.4 minutes Midland $75,646 Midland

Cost-of-living index number Unemployment rate 32.37 Odessa 2.9% Odessa 97.7 Midland 2.1% Midland

Contact

Midland Development Corporation Odessa Development Corporation John Trischitti, Executive Director Wesley Burnett, Director of Economic Development 432-558-9024 | midlandtxedc.com 432-333-7880 | [email protected]

TEXAS ECONOMIC DEVELOPMENT GUIDE 101 COMMUNITY PROFILE: MCALLEN

ocated in the Rio Grande Valley on the border of Texas and Reynosa, Mexico, this bilingual, international metro is an economic Lpowerhouse. The “Third Coast” city offers easy access to North American markets and the world at large. Part of McAllen’s growth has been the explosive growth of Reynosa. The two communities have collaborated to create one of the most recognized industrial sectors in North America — one that is home to several Fortune 500 companies. The value proposition of this region is bolstered by multiple assets. These include its strategic location at the crossroads of South Texas and Mexico — an important point given the recent passage of USMCA; competitive infrastructure; well-trained workforce; low cost of doing business; competitive incentive programs; high quality of life; abundance of available sites McAllenMcAllen and buildings; and a very business-friendly government. by SAVANNAH KING

102 TEXAS ECONOMIC DEVELOPMENT GUIDE Leading Industries Top Employers Major Highways (source: McAllen EDC) (source: mcallenedc.org) Edinburg Consolidated I S D Automotive manufacturing Interstate 2 / U.S. Highway 83 McAllen Independent School District Aero Space Interstate 69C / U.S. 281 Edinburg Regional Medical Center Advanced Manufacturing Interstate 69E / U.S. 77 Medical Research University of Texas Pan American Data Centers McAllen Medical Center

At a Glance

Total workforce Average hourly wage (source: Bureau of Labor Statistics) 362,500 $17.65

Average annual temperature High 85°F Per capita income Low 65°F $22,444

Average commute time Median household income 19.1 minutes $47,279

Cost-of-living index number Unemployment rate 79 7%

Contact

McAllen Economic Development Corporation Keith Patridge, President and CEO 956-682-2875 | [email protected] | McAllenedc.org

TEXAS ECONOMIC DEVELOPMENT GUIDE 103 COMMUNITY PROFILE: CORPUS CHRISTI

his Gulf Coast community is known for its beautiful sandy beaches and bright business environment. A center for petrochemical Tmanufacturing, large- scale fabrication, marine research, maritime shipping and tourism, this region is attracting business from around the globe. A notable case in point is the $10 billion ExxonMobil-SABIC ethane cracker and plastics plant in Gregory near Corpus Christi. The official groundbreaking on one of the largest industrial construction projects in U.S. history took place last September 12. Construction on what will become the world’s largest steam cracker plant began immediately after the Texas Commission on Environmental Quality granted permits. Building CorpusCorpus the plant will require the employment of roughly 6,000 construction workers. Upon completion of the plant in 2022, about 600 permanent full-time workers will be employed on site at ChristiChristiby SAVANNAH KING the project known as Gulf Coast Growth Ventures.

PHOTO BY HEATHER OVERMAN

104 TEXAS ECONOMIC DEVELOPMENT GUIDE

Leading Industries Top Employers Major Highways (source: Corpus Christi Regional Economic Source: Zippia.com Corporation) Hwy 358 Unique HR Specialty Steel Production Hwy 286 Bay Ltd./ Berry Contracting, L.P. Shale Oil/ Natural Gas/ Hwy 286 Pipeline Industry Del Mar College Aerospace Stripes Convenience Stores Corpus Christi Medical Center

At a Glance

Total workforce Average annual wage (source: Bureau of Labor Statistics) 209,800 $31,791

Average annual temperature High 82°F Per capita income Low 63°F $27,128

Average commute time Median household income 18.7 minutes $52,193

Cost-of-living index number Unemployment rate 91 4%

Contact

Corpus Christi Regional Economic Development Corporation Iain Vasey, President and CEO 361-882-7448 | [email protected] | ccredc.com

106 TEXAS ECONOMIC DEVELOPMENT GUIDE FOSTER YOUTH TRANSITION CENTERS A Chance to Succeed

by ADAM BRUNS

he Texas Workforce Texas First Lady Cecilia Abbott met Commission, like every other with employers, community advocates state’s workforce and labor and the Texas Workforce Commission divisions, got a lot put on at a foster youth transition center its plate when the COVID-19 in Austin in early March. TWC pandemic struck in the spring. Commissioner Representing Looking beyond the crisis, the Employers Aaron Demerson is touring Commission’sT range of programs each facility and has invited major continues to foster talent in numerous employers to assist foster youth that ways, including foster youth. are aging out of the system with A network of 18 Foster Youth employment career opportunities. Transition Centers is designed to “For every child in our foster care serve the diverse needs of older system to live a life worthy of their foster youth, youth experiencing promise, they need what I call a homelessness or other at-risk youth Network of Nurture — a community from age 15-and-a-half to age 25 — of families and friends, churches and prime early workforce years. congregations, business leaders and Among the centers’ services: nonprofit organizations, and anyone Preparing for Adult Living (PAL) willing to share of themselves,” program, job readiness and job search said Mrs. Abbott. “For our youth in assistance, career exploration, higher foster care nearing adulthood, they education enrollment assistance, especially need our help in finding food and housing assistance, and the right path to self-sufficiency and mentoring. Transition centers also career success.” provide colocation opportunities for Texanthropy, Mrs. Abbott’s local partners such as local Workforce signature initiative, promotes Solutions staff, TWC-funded volunteerism and service to others workforce advocates, and colleges across Texas. She has also partnered and universities to help jointly serve with the DFPS on a similar initiative the diverse needs of the youth in — Network of Nurture — to raise Photos courtesy of LIfeWorks one location. awareness about the ways Texans can

TEXAS ECONOMIC DEVELOPMENT GUIDE 107 For our youth in foster care nearing “adulthood, they especially need our help in finding the right path to self- sufficiency and career success. Texas First Lady Cecilia Abbott (center) at an event held at the LifeWorks foster” youth transition center in Austin in March 2020.

support the children and families in foster youth], to hang out, eat, and get the state’s child welfare system. a chance to succeed,” he says. While According to Texas Department at the HAY Center, Xavier participated of Family and Protective Services, in the AIM Group (Alumni Impacting in Fiscal Year 2018, 17,500 youths Many), a youth/alumni advocacy resided in foster care in Texas. Of that group, cooking classes, various events number, on average 900 children in and workshops. He even enrolled in Texas age out of the system each year. college through one of the Center’s The Texas Workforce Commission has college days. Now age 22, he has IN FY 2018, funded multiple transition centers earned his associate degree in applied 17,500 since 2008 in an effort to provide sciences, and is planning to transfer YOUTHS RESIDED a central clearinghouse of one-stop to either Texas State University or the IN FOSTER CARE services to serve the diverse needs University of Houston. of older foster youth aging out of “The HAY Center was and is a I N T E X A S . the system, youth experiencing big part of my life,” he said. “I don’t O N A V E R A G E , homelessness or other at-risk youth. know what I would have done if they 900 CHILDREN The 18 transition centers— located weren’t there. It’s kinda like a home AGE OUT OF THE in cities as small as Harlingen and away from home.” TEXAS SYSTEM as big as Dallas — are independently Meanwhile, the goal of all foster EACH YEAR. funded, operated and supported programs is apparently being met. by partnerships among the Texas In December 2019, for the first time Department of Family and Protective ever, DFPS reported more children Services (DFPS), the department’s are leaving foster care for safe, providers, community partners permanent homes than are entering and the Commission. Ten of the 18 the child welfare system. The number centers are operated by Buckner of children leaving foster care Children and Family Services, part of outnumbered the number entering Buckner International, a Dallas-based care by more than 1,700 children, a Christian ministry that serves the trend the state hopes will continue. needs of vulnerable children, seniors “Additional resources combined and families. with a tenacious work ethic have led The Houston Alumni and Youth to unprecedented success for the DFPS (HAY) Center is one of the 18 centers. this year,” said Governor Greg Abbott. A testimonial from Xavier, one of the “Texas is better because a record center’s clients, says it all: “My PAL number of children have been adopted worker told me about a new place, in 2019 and are experiencing the the HAY Center. It was going to be a joy of a loving home this Christmas place for youth and alumni [former season.”

108 TEXAS ECONOMIC DEVELOPMENT GUIDE

TEXAS CONFERENCE FOR EMPLOYERS Help When You Need it Most

f you thought it was hard enough Texas answers navigating the ins and outs of labor law during normal times, imagine how tough employers’ most it was for most employers to negotiate the travails of employment rules and critical questions regulations during the COVID-19 crisis. That’s where the Texas Workforce Comes about labor law. Iin. The TWC annually puts on a series of employer seminars around the state. The by RON STARNER purpose of these gatherings is to inform employers about state and federal employment legislation and the unemployment claim A complete rundown of the program is available at: and appeal crisis. During the peak of the https://twc.texas.gov/texas-conference-employers coronavirus outbreak, millions of Americans were joining the ranks of the unemployed on a weekly basis — and Texas was not immune.

110 TEXAS ECONOMIC DEVELOPMENT GUIDE

Seminar Topics Include:

• Texas Employment Law and Hiring Legally • Federal and Texas Wage and Hour Law • Unemployment Claims and Appeals • Independent Contractors • Employee Policy Handbooks • Drug Testing • Workplace Privacy Issues • Background Checks and Social Media

But thanks to the TWC, employers basic legal issues regarding hiring, across the Lone Star State got much- post-employment and work-separation needed help. The TWC encourages policies. Most of the written materials every employer to attend at least in the conference notebook are one of these meetings per year. designed by the speakers to be Topics covered range from new laws used in conjunction with their oral and regulations to recent court presentations. cases. Every conference is geared Professional Development Credits toward meeting the needs of small are available to attendees. Certified business owners, human resource public accountants who attend can managers, payroll managers, and earn continuing education credit, and anyone responsible for hiring and other conference participants may managing workers. qualify for general professional credit. The website includes sample The TWC’s Commissioner agendas and other helpful resources. Representing Employers and the Each conference typically includes Society for Human Resource a welcome and opening session; a Management Texas State Council session on how to deal with injured (Texas SHRM) also announced the employees and recent issues under the formation of a partnership to co- NLRA; a discussion of wage and hour sponsor the Texas Conference for law and other payroll issues; workers’ Employers. As a co-sponsor with compensation information; a session TWC’s Commissioner Representing on independent contractors; an Employers, Texas SHRM will begin introduction to creating an effective offering SHRM and Human Resources policy handbook; and skills training Certification Institute (HRCI) opportunities for business video and recertification credits, targeting workforce series. human resource professionals At the two-day conferences, sessions attending the conferences. also cover drug testing; workplace Attorneys may receive up to 5.5 privacy issues; ADA, FMLA and hours of Mandatory Continuing Legal other leave-related laws; background Education (MCLE) credit if they attend checks; social media and other the entire conference. Information timely developments. There’s also needed for the credit hours is made time allotted at each conference for available to attorneys who sign questions and answers. an MCLE attendance roster at the registration table. Benefits of Attendance For more information on how Participants receive informative to apply for these professional handouts and the latest edition of development credits upon attending a the popular publication Especially Texas Conference for Employers, visit for Texas Employers, which address the Texas SHRM website.

112 TEXAS ECONOMIC DEVELOPMENT GUIDE TEXAS INTERNSHIP CHALLENGE

Photo courtesy of the Texas Workforce Commission Putting Students On the Path to

emember the old adage about every employer wanting to hire someone with experience? Well, until you get a job, you can’t acquire any experience. That’s where the Texas ProsperityWorkforce Commission is ready Employers band together to help. The Texas Internship Challenge is aR recommendation from the TWC, Texas to make paid internships a Education Agency and Texas Higher Education Coordinating Board to the Governor’s Office, reality across Texas. as part of the Tri-Agency Initiative, to challenge industry and employer partners to offer more paid internships for Texas students. by RON STARNER Response to the program has been robust. Among the many employers participating in the Texas Internship Challenge are the For more information on the Texas Internship Challenge, go to: following firms and organizations: Accenture, Lockheed Martin, Toyota, Austin Chamber, https://twc.texas.gov/news/ Texas Association of Manufacturers, Texas employers-meeting-texas-internship-challenge Education Agency, Austin Business Journal, Workforce Solutions, and the Texas Higher Education Coordinating Board.

TEXAS ECONOMIC DEVELOPMENT GUIDE 113 WORKFORCE RESOURCES

SKILLS TO

SALARY

by SAVANNAH KING

he Texas Workforce Commission Military Family Support programs were (TWC) is the state agency overseeing developed to assist recently separated and providing various workforce service members and their spouses who development services. The workforce are experiencing challenges in finding commission is part of Texas employment, completing 2- to 4-year college Workforce Solutions, a statewide programs or obtaining an appropriate network consisting of the commission, 28 certification to compete in the Texas workforceT development boards and various job market. service providers and community partners. These programs were enacted in 2016 The Lone Star State boasts a highly skilled and are intended to enhance education and workforce of over 14 million and the second employment opportunities for veterans. largest civilian workforce in the country. “Our veterans are highly-trained and have The TWC has created several platforms sacrificed much for our country, which to assist workforce development across is why I have asked our state agencies to the state. identify ways to enhance education and employment opportunities for veterans, in Operation Welcome Home addition to accelerating the transition of our The transition from military to civilian military heroes into the Texas workforce,” life isn’t always an easy one. Returning or said Governor Greg Abbott. “Operation entering the civilian workforce can often be Welcome Home and the Military Family a challenging hill to climb. Support programs help meet the needs of The Operation Welcome Home and the our transitioning military members in Texas

114 TEXAS ECONOMIC DEVELOPMENT GUIDE by providing improved employment services to ensure that veterans may prosper in the next chapter of their lives.” Operation Welcome Home provides $4 million in grant funding to be used to train approximately 2,000 transitioning service members over the next two years. Skills to Transition training funding will complement the efforts of the other transition programs and provide training opportunities to service members preparing for employment in high- growth, high-demand occupations. The Military Family Support program provides $1 million in grants to fund employment assistance for military spouses including enhanced job search assistance, assessment of skills, labor market information, and résumé writing and interview skills assistance.

Jobs Y’All In 2018, the TWC developed The Jobs Y’all career exploration campaign to raise awareness about the opportunities available for workers in Texas’ most promising industries. Jobs Ya’ll was developed in response to employer and industry feedback indicating young Texans were unaware of career and job opportunities in their home state. The website allows students, parents, and teachers to explore different industries and positions as well as develop career goals and identify pathways. The website introduces eight top Texas industries, a career explorer app, and online resources. The industries featured are aerospace and defense; advanced technology and manufacturing; biotechnology, life sciences and health care; construction; energy; information and computer technology; petroleum refining and chemical products; and transportation & logistics. “We listened to employers who requested support in reaching our future workforce with an inspirational campaign to inform and inspire them about in-demand occupations and how to prepare for these exciting careers,” said TWC Chair Ruth R. Hughs when the campaign was announced. “The goal of the Jobs Y’all career exploration campaign is to raise awareness about the strength of Texas industries and inspire and attract students in order to bolster future job creation and remain economically competitive in the 21st century.”

TEXAS ECONOMIC DEVELOPMENT GUIDE 115 SPORTS & RECREATION Bigger IS Better in

TEXASPro sports teams don’t do anything small in the Lone Star State.

hoever said that Arlington metroplex. The first Major everything’s bigger in League Baseball game was set to be Texas must have been played in the gleaming new arena on a sports fan, because March 23, when the Rangers were everywhere you turn slated to host the St. Louis Cardinals, in Texas, the sporting but the entire MLB season got by RON STARNER venues just keep getting bigger postponed when COVID-19 struck. Wand better. Had the games gone on as Consider the latest iconic structure scheduled, here’s what early visitors to be built: Globe Life Field in to the majestic Globe Life Field would Arlington. The future home of the have seen: an HKS design that is Texas Rangers, this $1.2 billion massive in size and scope, covering behemoth will seat 40,000 baseball 13 acres; a high-tech retractable roof fans and measure 1.8 million sq. ft., that’s 278 feet tall and 240,000 sq. ft. or about 400,000 sq. ft. more than its wide — the largest operable single- Toyota Center is the home of the predecessor, Globe Life Park. panel roof on the planet; and a mind- Houston Rockets of the NBA. Though it’s not open yet, the new boggling 18,350 sq. ft. of digital space Courtesy of the Houston Rockets ballpark is taking shape rapidly in throughout the ballpark, including the heart of the Dallas-Fort Worth- 1,450 television screens, 2,000

116 TEXAS ECONOMIC DEVELOPMENT GUIDE Globe Life Field at a Glance

Tenant: Texas Rangers of MLB

Cost to Build: $1.2 billion

Seating: 40,000

Total Size: 1.8 million sq. ft.

Projected Opening: Summer of 2020

speakers, 10 miles of audio cable, 200 February 14, 2010. amplifiers and 8.8 million LED lights. Many other spectacular venues can TEXAS Baseball fans will be treated to be found throughout the Lone Star unprecedented amenities as well, State, but one thing they all have from 19-inch-wide seats to club spaces in common is winning teams. From that offer nearly 2,100 premium the five-time Super Bowl Champion seats. Other attractions include 47 Dallas Cowboys to the five-team concession kiosks, 11 full kitchens, NBA Champion San Antonio Spurs, two vegan stands, 128 dispensers of professional sports franchises in Texas soda, and 37 nightly suites. love to do nothing more than beat And that’s not even the biggest their opponents, and they collectively sporting venue in Arlington. That title do that a lot. belongs to AT&T Stadium, the home The Houston Astros claimed the of the Dallas Cowboys of the National World Series crown in 2017. The Spurs Football League. In 2009, the building claimed their most recent NBA trophy affectionately dubbed “Jerry World,” in 2014; and the Houston Rockets are named after Cowboys owner Jerry perennial contenders for the Western Jones, hosted an all-time NFL record Conference title in the NBA. crowd of 105,121. In baseball, Texas fields the Rangers It was built at a cost of $1.3 and the Astros. In basketball, the billion, and it took four years from Dallas Mavericks, Houston Rockets groundbreaking to opening day of and San Antonio Spurs all field football. For basketball, it can seat competitive teams with massive, even more fans. A record 108,713 international fan followings. The spectators walked through its doors Dallas Stars skate for victories on the to watch the NBA All-Star Game on ice in the National Hockey League;

TEXAS ECONOMIC DEVELOPMENT GUIDE 117 Corpus Christi Football Club playing at Texas A&M University Courtesy Corpus Christi FC

The Star opening event in Frisco, Texas Courtesy of Blue Star Frisco

and the Houston Texans and Dallas is complete without mentioning Cowboys annually compete for playoff the legendary sports heroes of the berths in the NFL. Lone Star State. Troy Aikman, Roger America’s fastest-growing sport, Staubach, Tony Dorsett and Emmitt soccer, also is emerging in the Lone Smith arguably make up the Mount Star State as a force to be reckoned Rushmore of NFL stars from Texas, with. FC Dallas in Frisco contends while James Hardin, David Robinson, annually for a spot atop the table Tim Duncan and Dirk Nowitzki form of the Western Conference in Major the Mount Rushmore of the NBA for League Soccer, while the Houston the state. Dynamo remain one of the more The golf world too will soon be competitive teams in the West. centered in Texas, as the PGA of The Dallas Wings compete in the America relocates its corporate WNBA women’s pro basketball league, headquarters from Palm Beach while the Houston Dash vie for Gardens, Florida, to Frisco, Texas. championships in the NWSL women’s The half-billion-dollar, mixed-use pro soccer league. Minor league teams development will employ thousands also draw plenty of fans around the of workers upon its completion in state, from the Sugar Land Skeeters 2022 and will one day host the PGA at Constellation Field to the Corpus Championship and potentially a Christi Hooks at Whataburger Field Ryder Cup. and a host of others. By any measure, that’s pretty big — Finally, no look at sports in Texas even for Texas.

118 TEXAS ECONOMIC DEVELOPMENT GUIDE

QUALITY OF LIFE

by SAVANNAH KING

Austin,TX Photo: Getty Images Ten reasons Texans live better.

hey say everything is released by the U.S. Census around the world,” said Gabe bigger in Texas, and Bureau. According to a study Mendieta, U-Haul Company of that’s certainly true for by U-haul Trucks measuring Northwest Houston president. the Lone Star State’s the net gain of one-way “People are moving to the incredibly high quality rental trucks entering a state in flocks because the of life. As the second state versus leaving that cost of living is low and your most populous state in the state, Texas is consistently paycheck goes further. The U.S.,T Texans seem to know a one of the top states people housing market is thriving, good thing when they find it. move to. From 2016 to 2018, and many small businesses From mid-2018 to mid- Texas ranked No. 1, in 2019 can take advantage of the 2019, Texas grew by 367,000 Texas was ranked the No. 2 tax breaks.” people, and had the largest Growth State. With so many reasons to population growth in the “Texas has beautiful state move to the Lone Star State, nation in the last year, parks, beaches and some of we’ve narrowed it down to a according to estimates the best culinary scenes from list of 10.

120 TEXAS ECONOMIC DEVELOPMENT GUIDE 1. Affordability: Not only do businesses and residents enjoy lower taxes, but a lower overall cost of living than other states. Sperling’s Best Places notes Texas’ cost of living index is 93.9 versus the U.S. at 100. From housing to groceries, paychecks just go further in Texas.

2. Amenities and Attractions: Whether it’s a stroll along San Antonio’s River Walk or a visit to the historical Alamo, Texas is full of unique amenities and attractions. Other top attractions include the Space Center Houston, The The Alamo, San Antonio, TX Photo: Getty Images Sixth Floor Museum in Dallas, and the Stockyards National Historic District in Fort Worth. Texas welcomed 72.5 million out-of-state visitors in 2019.

3. Culture and Diversity: According to a study from WalletHub, Texas is the No. 2 Most Diverse State in the country. Texas also ranked No. 3 in linguistic diversity and No. 4 in overall ethnic and racial diversity. This diversity translates into ample cultural activities and festivals.

4. Economic Powerhouse: If Texas were a country, its economy would be the 10th largest in the world. To put that in perspective, Texas’ $1.6 trillion economy is approximately the same size as Russia’s $1.7 trillion economy. Stateside, Texas is a world-class business location. For the eighth year in a decade, Texas has won Site Selection’s Activities along the river, Austin, TX Photo by Heather Overman coveted Governor’s Cup award. The award highlights top-performing states for job creation and capital investment. It’s accolades like this that highlight the state’s profound and unrelenting economic growth.

5. Education: From nationally recognized researchers at top-ranked universities, to Blue Ribbon K-12 systems, the Lone Star State has educational resources known around the world. A new study from e-commerce platform Volusion ranked the University of Texas at Austin No. 8 and Texas A&M - College Station No. 4 on its list of large public schools of graduates with the highest median earnings.

San Antonio, TX Photo by Carmyn Suzor 6. Food: Whether you’re hankering for some authentic Tex-Mex, barbecue, Gulf-caught seafood or something a little more upscale, the Lone Star State has a world of flavor to explore. Cities like Austin, Dallas, Houston and more are well-known, and well-loved by foodies.

7. History: Few U.S. states have a history as rich and storied as the Lone Star State. You can walk in the footsteps of Texas sharpshooters or visit the Alamo where famous Texans like Davy Crockett and James Bowie fought for freedom from Mexico versus General Santa Ana. University of Texas Football Stadium Photo: Getty Images Visit the San Antonio Missions National Park, which has preserved four historic missions where missionaries once made their home. The Sixth Floor Museum at Dealey Plaza in Dallas houses exhibits that preserve the events surrounding President JFK’s assassination in November 1963.

8. National Parks: Texas boasts two stunning National Parks: Guadalupe Mountains — the world’s most extensive Permian fossil reef — and Big Bend in West Texas. The state is also home to several National Recreation Areas, monuments and historical parks. Padre Island National Seashore protects 70 miles of coastland in Corpus Christi.

9. Outdoor Recreation: With more than 90 state parks, 191,000 miles of rivers and streams, 624 miles of coastline and more than 70 working ranches, there National Soccer Hall of Fame Photo courtesy of Frisco EDC are plenty of wild and scenic vistas to explore in the Lone Star State. Along the Gulf Coast, warm sandy beaches offer a tranquil place to rest and frolic. The state’s picturesque hillsides and sprawling deserts also provide a variety of outdoor recreational opportunities.

10. Sports: The state is renowned for its sporting events, with top college and professional teams. Pro sports teams based in Texas include the Dallas Cowboys (NFL), Texas Rangers, (MLB), Dallas Mavericks (NBA), Dallas Stars (NHL), FC Dallas (MLS), Houston Astros (MLB), Houston Dynamo (MLS), Houston Rockets (NBA), Houston Texans (NFL) and the San Antonio Spurs (NBA).

Toyota Stadium concert Photo courtesy of Frisco EDC

PHOTO GALLERY

Downtown Houston Photo: Getty Images

124 TEXAS ECONOMIC DEVELOPMENT GUIDE Corpus Christi skyline Photo: Getty Images

The Harbor Lighthouse in Rockwell Photo by Heather Overman

Photo by Carmyn Suzor

San Antonio River Walk Photo by Carmyn Suzor

TEXAS ECONOMIC DEVELOPMENT GUIDE 125 Texas Capitol in Austin Photo: Getty Images

Alamo Beer Photo by Carmyn Suzor

Longhorns at Twin Creek Ranch in Willis Dolphin Show at Texas State Aquarium Photo by Heather Overman Photo by Heather Overman 126 TEXAS ECONOMIC DEVELOPMENT GUIDE Lady Bird Lake in Austin Photo by Heather Overman

Indian Paintbrush fl owers in fi eld Photo by Heather Overman

Baylor University in Waco Photo by Heather Overman TEXAS ECONOMIC DEVELOPMENT GUIDE 127 INDEX TO ADVERTISERS

Advertiser Page Advertiser Page Allen Economic Development Corporation ...... 86-87 Georgetown Economic Development Corporation ...... 17 www.AllenEDC.com www.invest.georgetown.org Amarillo Economic Development Corporation ...... 25, 89 Greater Brownsville Incentives Corporation ...... 111 www.allbusinessnobull.com www.greaterbrownsville.com Austin Chamber of Commerce ...... 91 Greater San Marcos Partnership ...... postcard (32-33) www.OpportunityAustin.com www.TexasInnovationCorridor.com Cedar Hill Economic Development Corporation...... 5 Greenville Economic Development Corporation ...... 13 www.cedarhilledc.com www.GreenvilleTXedc.com City of Balch Springs...... 85 Ingleside Chamber of Commerce ...... IBC www.CityofBalchSprings.com www.inglesidetxchamber.com www.BalchSpringsEDC.com Irving Chamber of Commerce ...... insert (64-65) City of Converse ...... 22 www.IrvingChamber.com/Welcome-Home www.ChooseConverse.com Mansfi eld Economic Development Corporation ...... 59 City of Dallas ...... 9 www.mansfi eld-texas.com www.dallasecodev.org McAllen Economic Development ...... 66-67 City of Magnolia ...... 63 www.McAllenEDC.org www.cityofmagnolia.com McAllen International Airport ...... 66-67 City of McAllen ...... 66-67 www.McAllenAirport.com www.mcallenmeansbusiness.com McKinney Economic Development Corporation ...... IFC-1 City of Mesquite ...... 109 www.mckinneytexas.org www.mesquiteecodev.com Offi ce of Governor Greg Abbott ...... BC City of San Benito ...... 42-43 www.gov.texas.gov/business www.cityofsanbenito.com ONCOR...... 51 City of Sugar Land Economic Development ...... 119 www.thinkbigthinktexas.com www.SugarLandEcoDev.com Orange County Economic Development Corporation ...... 69 Conroe Economic Development Council...... 27, 65 www.orangecountyedc.com www.ConroeEDC.org Pearland Economic Development Corporation...... 123 Coppell Economic Development Corporation...... 35 www.pearlandedc.com www.coppelltx.gov Pfl ugerville Community Development Corporation ...... 21 Denton Economic Development Partnership ...... 32 www.pfdevelopment.com www.dentonedp.com Port Freeport ...... 105 DeSoto Economic Development Corporation ...... 15 www.PortFreeport.com www.DEDC.org Rio Grande City Economic Development Corporation ...... 37 Entergy Texas, Inc...... 53 www.rgcedc.com www.entergytexas.com/brightfuture San Antonio Economic Development Foundation ...... 3 Fairview Economic Development Corporation ...... 75 www.sanantonioedf.com/contact FairviewTexasEDC.com Terrell Economic Development Corporation...... 80-83 Forney Economic Development Corporation ...... 73 www.TerrellTexasEDC.com www.ForneyTexasEDC.org The Colony Economic Development Corporation...... 31 Gainesville Economic Development Corporation...... 115 www.TheColonyEDC.org www.GainesvilleEDC.com Tomball Economic Development Corporation ...... 7 www.tomballtxedc.org

128 TEXAS ECONOMIC DEVELOPMENT GUIDE