Economic Development for South Bend, Mishawaka and St. Joseph County, Indiana
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South Bend Employment Outlook Among Nation's Best :  Hiring expected to rise

By YaVonda Smalls, Tribune Staff Writer
South Bend Tribune
June 17, 2006


The South Bend employment outlook for the third quarter is the ninth best in the nation, according to the most recent Manpower Employment Outlook Survey.  "Everyone's indication they're in the strong hiring mode," said Norvis Martin, branch manager for Manpower.

During the third quarter - from July to September - 57 percent of the companies interviewed plan to hire more employees, while 7 percent expect to reduce their payrolls.  Another 36 percent expect to maintain their current staff levels.

Overall, hiring in finance, insurance and real estate is expected to remain unchanged, according to the survey.  But, job prospects appear best in construction, durable and nondurable goods manufacturing, transportation/public utilities, wholesale/retail trade, education, services and public administration.  "It's really kind of across the board," Martin said.

The RV manufacturing sector, the orthopedic instrumentation industry, information technology and health care are several areas of growth that contribute to a positive job outlook, said Juan Manigault, president and chief executive officer of the Northern Indiana Workforce Investment Board.  The upcoming school year should also open up employment opportunities.  In addition, Martin said inventory orders usually begin coming in around that time of year, which should help as well.

South Bend area employers have stronger hiring intentions than in the second quarter when 39 percent of the companies interviewed intended to add staff and 4 percent planned to reduce head count, Martin said.  She also said employers are significantly more positive about hiring than they were a year ago when 10 percent of companies surveyed thought employment increases were likely and 10 percent intended to cut back.

Overall, South Bend has good job growth across all wage levels, Manigault said.  And, he sees it continuing.  "I think, short term over the next year or two, we're going to see positive job growth," he said.

Project Future Initiative:  South Bend MetroNet Shows That Fiber is Good For You

By Stephen Luecke, Mayor of South Bend Click here to visit the Metronet Website!
Inside INDIANA Business
October 2005

Transportation systems have always been critical to South Bend's vitality. From early days when traders and settlers used the St. Joseph River to move goods, through the heyday of railroads and the interstate highway system, to our multi-modal airport with bus and South Shore connections, we rely on good transportation for commerce, jobs and private investment. 

This infrastructure is still essential for manufacturing and advanced distribution. It strengthens South Bend's position as the regional center for health care, higher education, arts, culture, and entertainment. As we look to future growth, the transportation of data and ideas will be just as critical. That is why we are actively involved in providing quality infrastructure for the information highway.

To stay on track with the rapid rise in technology, The City of South Bend is a partner in the implementation of the St. Joseph Valley MetroNet, a 40-mile loop of carrier neutral fiber optic cable which is being installed in existing city conduit. The MetroNet will allow communication companies, colleges and universities, medical facilities, private and public institutions to network with each other and provide services through the fiber. It will connect users to the vast array of transcontinental fiber that runs through South Bend along the railroad and Toll Road rights of way. Because of our location, we have access to several times the amount of long haul fiber than even much larger cities. One local entrepreneur has already created the on-ramps to this fiber with telco hotels and "meet me" rooms. Another entrepreneur has a 24/7 Network Operating Center and disaster recovery data center facilities. The MetroNet fills in the gaps of connectivity. Leveraging these assets is a key strategy to building a 21st century city.

We are creating a competitive environment that will make South Bend the most affordable and accessible location for broadband services. This will help local businesses to prosper as they take full advantage of the MetroNet, gaining significant connectivity and large bandwidth for less cost. One local institution doubled its internet capacity and quintupled its research broadband for the same price that it had paid before. The MetroNet will spur innovation and the growth of intellectual capital through the ease of transmitting large amounts of data. It will help us retain businesses and attract new investment and jobs to our city with the establishment of data centers and real-time backup of critical business data.

Seven visionary local institutions have literally bought into this initiative. They have joined with the City and Project Future to incorporate the MetroNet. They have also pledged sufficient funds to build out the MetroNet fiber loops and to provide operating support for its first three years. These institutions are eager for the connectivity and competitive voice, data, and video services environment which will benefit education, healthcare, business, government and the public. MetroNet will provide a fiber backbone for the community that will lower commodity internet service costs and increase broadband services for the greater South Bend region. It is an important part of our vision to provide the infrastructure which supports innovation and excellence. It leverages our local assets of location, a concentration of higher education, strong healthcare, banking and financial services, and advanced manufacturing and distribution. It furthers our commitment to provide the best and most affordable services to residents and businesses. And it highlights South Bend's goal of utilizing technology to compete for information age jobs and enhancing our tax base.

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Project Future Initiative:  St. Joe Valley MetroNet Established

South Bend Tribune - Michiana Point of View

In 2001 Project Future and the St. Joseph County Chamber of Commerce , recognizing potential economic development opportunity in the emerging technology-driven "new economy", appointed a Technology Task Force to assess how well St. Joseph County is positioned to catch the "tech wave" and recommend strategies for assuring the area's technology competitiveness.

The Task Force conducted a survey within local organizations to evaluate their readiness to take part in the technology revolution. It also interviewed key employers to learn how they are using technology and begin a conversation about what local leaders can do to boost technology-based economic development.


Among the Task Force's findings, the following were especially important:

. Advanced information technology ("IT") is the one "new economy" technology that extends far beyond the pure technology sector. IT enables all kinds of organizations to cut costs, improve products and services, communicate with suppliers and customers, decentralize into separately located functional units, and establish relationships with other firms to perform functions formerly done in-house.

Not only "new economy" companies, but also traditional industries represented by large employers in St. Joseph County-manufacturing, distribution, financial services, education and healthcare-are integrating advanced IT into their operations.

.Decentralization and outsourcing enabled by IT present an opportunity to attract functional parts of companies-from data processing to distribution-without having to persuade the whole company to locate here. Possessing widespread telecommunications infrastructure, a skilled labor force, and a good environment in which to live and work could give St. Joseph County a competitive edge.

.Local telecommunications infrastructure is inadequate. Even though fiber optic trunk lines owned by many of the long distance carriers operating in North America run through the area, St. Joseph County lacks widespread, high-capacity links between those trunk lines and local companies. Local employers said "both cost and access to broadband are prohibitive" and "there is no single network that can provide total and ubiquitous connectivity in St. Joseph County".

Because of these findings, Project Future's Board of Trustees appointed a Telecommunications Committee to specifically address the issue of the telecommunications infrastructure. The Committee learned from key local employers that:

. Advanced IT has become an integral part of higher education and research programs, is of increasing importance to cultural programs and K-12 curricula, and is becoming a necessity for businesses, healthcare institutions and government agencies.

. An essential part of the IT local employers want to use is high-speed connectivity that enables state-of-the-art communications and access to a wide range of information, resources, and services.

. Many organizations want access to "dark fiber" telecommunications infrastructure, which is largely unavailable in area. ("Dark fiber" provides only a fiber optic path between two sites. To use that path for communications, users have their own optical equipment or employ a telecommunications service vendor who provides equipment to "light" the fiber.)

Accordingly, the Committee concluded there is a need for an entity which supplies widespread dark fiber infrastructure in the local area, and it formed a non-profit corporation, St. Joe Valley Metronet, Inc., to serve that purpose.

The mission of St. Joe Valley Metronet, Inc. ("SJVMI") is to encourage technology-based economic development by providing state-of-the-art telecommunications infrastructure at cost-effective prices. SJVMI's goal is readily available, cost-effective access to high-speed telecommunications for local businesses, education and healthcare institutions, and government agencies. As a non-profit corporation, SJVMI can pursue its mission and goal without ever having to choose between what's good for the community and what's good for a corporation's bottom line.

The infrastructure SJVMI will provide-the "Metronet"-is a dark fiber network linking local users to long-haul trunk line points-of-presence ("POPs"). The value of a dark fiber network comes from the POPs to which it connects. So, the Metronet will connect to POPs where many telecommunications vendors are accessible. Availability of more vendors gives users a greater array of service choices and better pricing.

The Metronet will be vendor neutral. That is, it will provide infrastructure only-no telecommunications services-and it will be open to all telecommunications service vendors and users who want to subscribe.

SJVMI can save costs by pulling its fiber optic cable through conduit already installed by local municipalities for governmental operations. Likewise, the municipalities can save costs by using SJVMI's fiber optic cable instead of spending taxpayers' dollars to install their own. Therefore, SJVMI will establish with each municipality an agreement under which the municipality grants to SJVMI the right to pull cable through its conduit in exchange for SJVMI granting the municipality no-charge use of SJVMI's cable.

SJVMI has the money it needs to fund construction of the Metronet. Seven of St. Joseph County's largest employers (Madison Center, Memorial Hospital, Robert Bosch Corp., Saint Joseph Regional Medical Center, South Bend Medical Foundation, Teachers Credit Union, and The University of Notre Dame) have pledged construction capital totaling $2,275,000.

SJVMI will fund its operating expenses with Network Access Subscription Fees paid by users of the Metronet. SJVMI expects fifty or more local organizations to subscribe. The worst case scenario would be that only the seven organizations funding construction become subscribers; and, even in that unlikely case, SJVMI would have enough revenue to be financially sustainable.

The initial Metronet installation will be operational in May 2005. It will serve South Bend's Central Business District and East Bank District, IUSB and IVTech campuses; Blackthorn Development area, Notre Dame and St. Mary's campuses, and Bosch/Honeywell area.

In summary, the Metronet will:

. encourage local economic development,

. pay its construction and operating costs with already-committed private funds,

. be open to all telecommunications service vendors and users,

. enable municipalities to save taxpayers' dollars by using its cable instead of installing their own, and

. never have to choose between what's good for the community and what's good for a corporation's bottom line.


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Press Release :   Ivy Tech Technology Division Celebrates First-Ever NAIT
                              Accreditation, Credit Transfer Agreement with Purdue

IVY TECH TECHNOLOGY DIVISION CELEBRATES FIRST-EVER  NAIT ACCREDITATION, TRANSFER OF CREDIT AGREEMENT WITH PURDUE

SOUTH BEND, IND. (Nov. 5, 2004) -- The Technology Division of Ivy Tech State College North Central recently celebrated two notable "firsts":  its first-ever accreditation through the Ivy Tech State College - South Bend, IndianaNational Association of Industrial Technology (NAIT), and its first transfer-of-credit agreement with a campus of Purdue University.

The NAIT governing board awarded four years of accreditation to all Ivy Tech North Central Technology Division programs at its Oct. 20 accreditation hearing in Louisville, Ky. The accreditation is effective through October 2008.

The Technology Division offers programs in design technology, automotive services, manufacturing and industrial technology, and electronics and computer technology.

NAIT is recognized by the Council of Higher Education Accreditation (CHEA) as the specialized accrediting agency for associate and baccalaureate degree programs in industrial technology. Approximately 70 colleges, NAIT - National Association of Industiral Technologyuniversities and technical institutes have industrial technology programs accredited by NAIT. 

Also last month, administrators signed a credit transfer agreement between Ivy Tech State College North Central and Purdue University North Central, Westville, enabling Technology Division students to transfer Ivy Tech credits to the bachelor of science in industrial technology program at Purdue North Central.

The agreement provides for the transfer of from 64 to 67 credits--approximately 22 courses, or two years of full-time study--earned in any Technology Division program to Purdue North Central.

"These two achievements attest to the quality of our faculty and program offerings," said David Brinkruff, Technology Division chair.

"They also assure employers and four-year institutions of higher education that our graduates have the training to be successful, both on the job and in bachelor's degree programs," he continued.

The achievements are the latest in a series of enhancements to Ivy Tech's technology programs. Last spring, the division held an open house at the South Bend campus to display new, state-of-the-art equipment in all program areas.

Technology Division students may earn two-year degrees, one-year technical certificates or short-term career development certificates in the various program areas. Specialties such as architecture, mechanical, CAD/CAM, computer graphics, welding, machine tool, CNC, industrial maintenance, electronics, computer systems and networking, and heating, ventilation and air conditioning provide additional options.

The Technology Division also provides contract training to business and industry through Ivy Tech's Corporate and Continuing Education Services Division.

Technology courses are offered on all three regional campuses-- South Bend, Elkhart and Warsaw. Students can earn career development certificates in automotive services, electronics, industrial maintenance, machine tool and welding on the Elkhart campus, and a career development certificate in machine tool on the Warsaw campus.

All program and degree options are available on the South Bend campus. Students may take general education and some technical courses on the Elkhart and Warsaw campuses and travel to South Bend to complete program requirements.

For more information about Ivy Tech's Technology Division, go to www.ivytech.edu/southbend and click on "Degrees and Programs" under Quick Links, or call (574) 289-7001 ext. 5380.

More information about NAIT and NAIT Accreditation can be found at its website, www.nait.org.


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Project Future Initiative:  Teamwork Brings Hummer Plant To Life

MISHAWAKA, Ind. - The unique partnership between General Motors and South Bend-based AM General not only produces successful vehicles, it also represents how swiftly a community can mobilize its economic development partners.

When General Motors purchased the Hummer concept from AM General in December 1999, the timetable to get the newly-developed H2 sport utility vehicle to market was extremely short. And before production could even begin, AM General had to purchase 35 additional acres, relocate 51 residences and build a 670,000-square-foot building.

Not only did all of this happen, but the H2 rolled off the assembly line to rave reviews and a waiting list.

Prior to 1999, AM General had been the sole producer of the military Humvee and its commercial look-alike, the Hummer H1. It was because of this expertise that GM selected AM General to manufacture the H2. But the H2 required a new plant and AM General was landlocked.

In an extraordinary demonstration of civic cooperation and teamwork, St. Joseph County was able to acquire the 35 acres and relocate every resident in just over six months without a single challenge going to court.

Next, the construction trades brought together more than 500 people to complete the $200 million facility within the original time line, despite one of the worst winters in Northern Indiana history. In July 2002, H2s began flowing to more than 150 dealerships nationwide.

Today, AM General's H2 plant operates three shifts and employs more than 1,200 people.

The commercial success of the H2 has paved the way for additional vehicles in the Hummer family. In fact, during 2004 GM plans to unleash the H2 sport utility truck, as well as update the interiors of both the H1and the H2.

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Project Future Initiative: National Retailer Chooses South Bend for Key
                                             Distribution Center

SOUTH BEND - After a thorough search of the Midwest, TJX Companies decided its new 800,000-square-foot distribution facility belonged in South Bend. What makes South Bend such an excellent choice for a distribution hub? Well, as they say in retail - location, location, location.

Massachusetts-based TJX is the parent company of several off-price retailers, including T. J. Maxx, Marshalls, HomeGoods and A. J. Wright. The distribution center in South Bend will supply merchandise to a projected 150 new A. J. Wright locations throughout the Midwest. Eventually, the company hopes to expand its A. J. Wright chain to 1,000 stores nationwide.

Located near the geographic center of North America, South Bend sits directly on the Indiana Toll Road (Interstate 80/90). This four-lane super highway, which runs from New York to San Francisco, is part of a broad transportation network that links South Bend to the second largest overnight ground shipping population in the United States.

This remarkable statistic means that on any given day a company can ship merchandise to major metropolitan areas like Chicago, Detroit, Indianapolis, Cleveland or Milwaukee, and have it there the very next day.

In addition to its central location, South Bend also offered TJX an available work force and the active support of city, county and state officials.

In fact, Project Future played a key role in putting together an attractive incentive package that included a 10-year tax abatement, a training grant, and several city-and-state funded infrastructure improvements.

Phase one of the $41 million distribution center is already completed. The initial 500,000-square-foot building opened in February 2004 with 150 employees. The company expects employment to grow to 300 by the end of the year.

Phase two will add 300,000 square feet, with employment eventually reaching 800. The entire project is expected to be completed by 2007.

Launched in 1998, A. J. Wright is the newest chain under the TJX umbrella. The stores sell discounted apparel, home furnishings, footwear and giftware. The South Bend distribution center is only the second one for the A. J. Wright chain. The first one is located in Fall River, Massachusetts.

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Project Future Initiative:  Local Lab Offers Cutting-Edge Analysis of Drinking Water

SOUTH BEND - The $7 million expansion of Environmental Health Laboratories in downtown South Bend demonstrates the area's ability to cultivate a small, high-tech start-up into a Environmental Health Laboratoriescompany poised for a global presence.

Founded in 1986 by Jerry Thoma, EHL specializes in compliance testing and analysis of drinking water. EHL first began by testing water for residences, businesses and unregulated entities. Today EHL is certified in 48 states and Puerto Rico, and provides water testing for regulated entities such as municipalities, government agencies, industrial clients, water and beverage bottlers, and other laboratories.

After years of steady growth, EHL caught the attention of Underwriters Laboratories Inc., a nationally recognized not-for-profit organization that has tested products for public safety for more than a century. In April 2001 UL purchased EHL, making the South Bend operation its drinking water testing division. The acquisition prompted the $7 million expansion, which nearly tripled the size of the existing facility.

The partnership is a perfect fit for both companies. It allows EHL to tap into UL's global network of customers, and gives UL the opportunity to expand its growing portfolio of environmental and public health certification programs. In fact, UL plans to expand EHL's testing capabilities to support research of contaminants that cannot readily be measured by current technology, and potentially develop a global standard for drinking water.

Currently, EHL employs 107 people, including 38 chemists, eight microbiologists and one virologist. The company expects to eventually add 150 new employees.

(March 2004)

Related Link:  UL Press Release, " UL Acquires Premier Water Testing Facility" - April 12, 2001

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        Project Future - 401 East Colfax Avenue, South Bend, Indiana 46617 . Phone: (574) 234-6590 or (800) 228-8086 . Fax: (574) 236-1060