September 13, 2012 Florida Target Industry Competitiveness Report ae S Q McCallum Sweeney Consulting cousultine 550 South Main Street, Suite 550 101 West 6" Street, Suite 612 Austin, TX 78701 Greenville, SC 29601 (512) 472-1555 (864) 672-1600 www.mecallumsweeney.com www.avalancheconsulting.comeflorida.com florida’s economy vesting! d Enterprise Florida MEMORANDUM To: EFI BOARD OF DIRECTORS & PARTNERS FROM: GRAY SWOOPE, SECRETARY OF COMMERCE, PRESIDENT & CEO OF ENTERPRISE SUBJECT: FLORIDA TARGET INDUSTRY COMPETITIVENESS STUDY DaTe: SEPTEMBER 28, 2012 ce: EFI STAFF ‘At our September Enterprise Florida Board Meeting, we heard a presentation from McCallum Sweeney on their initial findings regarding the Statewide Economic Development Competitiveness Study. This study is a critical milestone as we continue to look for ways to improve our business climate and Florida's ability to compete. Itis important to note that Enterprise Florida, through our stakeholder council, requested this study. It was a proactive step toward getting a clear and objective look at where we are in our economic development efforts compered to our competitors and where we need to focus our energy to achieve our job creation goals. ‘The study reviewed Florida's current policies, practices, and resources over several years; talked to corporate decision makers and site consultants; and conducted benchmarking analyses with regional and local economic developers. The study offers suggestions on how to better advance local, regional and statewide economic development efforts while also making recommendations to help align our Policies with our goals. Key findings include: Site selectors are noticing the impressive improvements to our incentive approval process. However, the study pointed out that the state's Closing Fund is underfunded and points out the state’s distinct disadvantage in this area. We have the opportunity to improve the flexibility and effectiveness of our existing programs. The study also underscored that Florida has a large talented workforce noting the multi lingual nature of the population. Given cur strengths in that area we need to better market our current talent assets. ‘+ The study calls for us to continue to modernize our tax structure and streamline our permitting processes. + Finally, the study also points out the need for the development and promotion of a strong Florida business brand and the need to align marketing activities to target industries. | am proud to say that we are already making great progress on these with the support of our economic development partners. Governor Rick Soot, Chairman + Howell W. Melton J, Vee Chaiman + Gray Swoope, President & CEO ‘The Atrium Bulg, Sue 201 + 325 John Knox Road + Tallahassee, Fora 92903 + T 850.208.6620 » F 850.298.6869Florida Target industry Competitiveness Study Memo Page 2 The research and findings of the study provide us great insight as to how our state compares to our competitors. A number of the recommendations confirmed what we already knew, providing validation that projects such as developing a sites and buildings database are important. The study also provides an objective perspective on issues where Florida falls behind our competitors, such as the level of funding for workforce training programs and a lack of dedicated funding for economic development at the local level. On the following pages is a breakdown of all the recommendations and the status of implementation to date. | would like to thank our utility partners for funding this important effort - Florida Power & Light Company, Progress Energy, Gulf Power, Power South, TECO, and Seminole Electric. However, Florida has made impressive strides over the last two years under the leadership of Governor Scott and the Florida Legislature. | am confident that through implementation of these recommendations as well as the proactive efforts at both the state and local levels we will make our state the best place in the naton to do business. ‘Thank you for your continued support and commitment to economic development.