Campaign Assessment Report Resource Development Group, Inc Campaign Assessment Report Resource Development Group, Inc. November 16, 2006

ASSIGNMENT Minimum of 40 interviews Depth of understanding and support for MBREDC’s economic development agenda Test funding goal of $500,000 per year x 5 Identify possible funding sources Identify potential leadership Identify possible obstacles

INTERVIEW POOL Attorneys 2 Education 2 Associations 2 Accounting 1 Restaurant 1 Agribusiness 1 Technology 1 Transportation 1 Investors 1 Advertising/Marketing 1 Distributing 1 Financial Services 9 Utilities 8 Construction 5 Manufacturing 5 Real Estate 5 Developers 4 Engineers 4 Medical 3 Government 3 Retail 3 Media 3

INTERVIEW POOL 8 of 9 Executive Committee Members 71% of current MBREDC investors 96% of current funding 36% non-investors

KEY FINDINGS AND RECOMMENDATIONS Partners’ legacy broad and deep MBREDC is unknown commodity Opinion of Hugh is high Broad support for program of work but skeptical of success Enhance measurable benchmarks Good potential to grow investor base

MBREDC Positives New Board New, Energized Staff Horry County 5-year commitment $400,000 annually for 2006 – 2008 Private sector match in 2009 60% private/40% public in 2010

CAMPAIGN CHALLENGES Partners’ History Historically Narrow and Declining Investor Base Artificially Low Investment Benchmarks Lack of Leadership Engagement

NON-FUNDING RECOMMENDATIONS Explore Expanding Program of Work 42% cited poor infrastructure as #1 business development hindrance 17% cited need for new Target Industry Study 17% cited the need for a workforce study and professional workforce recruitment 11% cited the need for a plan to bring local industry, CCU, HTC and MBREDC together to address workforce needs Expand/Enhance Measurements

NON-FUNDING RECOMMENDATIONS Adjust and Enhance Investment Levels Governance Adjustments Investor Engagement Via Committees Education, Education, Education!!!

Top 14 vs. Total Income

Top 14 Projected Top 14 Minimum Stretch Santee Cooper $40,000 Current Top 14 Santee Cooper $40,000 Coastal Carolina University $15,000 Horry Telephone $7,500 Verizon $7,500 Bank of America $5,000 BB&T $5,000 Burroughs & Chapin $5,000 Conway Medical Center $5,000 Conway National Bank $5,000 Horry Electric $5,000 Loris Community Hosptial $5,000 Metglas $5,000 Myrtle Beach Chamber $5,000 Time Warner $5,000 Total $120,000 Projected Top 14 Minimum Stretch Santee Cooper $40,000 $40,000 Burroughs & Chapin $20,000 $25,000 Horry Telephone Coop $10,000 $20,000 G. S. Water Authority $10,000 $15,000 Conway National Bank $10,000 $15,000 Horry Electric Coop $10,000 $15,000 Wachovia Bank $10,000 $15,000 Bank of America $10,000 $10,000 BB&T $10,000 $10,000 The Jackson Companies $5,000 $10,000 Conway Medical Center $10,000 $10,000 CCU $15,000 $15,000 Loris Community Hospital $10,000 $10,000 Verizon $7,500 $10,000 Total $177,500 $220,000

RECOMMENDATIONS FUNDING ALLOCATIONS

PRIVATE SECTOR REVENUE POTENTIAL Guarantee: $1.5 million $300,000 per year 5 year spread (2007 – 2011) 85% annual increase in current private sector support Recommended Public Goal: $2 million $400,000 per year

HOW DO WE DO IT? Elevate investments of current base Broaden the investor base (30% - 40%) Investor and community outreach/education

WHAT DOES THIS MEAN? Reminder Horry County 5-year commitment $400,000 annually for 2006 – 2008 Private sector match in 2009 60% private/40% public in 2010

WHAT DOES THIS MEAN? Projected Net Funding minus RDG Fee in Status Quo $300,000 $400,000 FY 07/08 $562,000 $592,000 $692,000 FY 08/09 $562,000 $664,000 $764,000 FY 09/10 $324,000 $600,000 $800,000 FY 10/11 $267,000 $500,000 $667,000 FY 11/12 $267,000 $500,000 $667,000 Total $1,982,000 $2,856,000 $3,590,000 Annual Average $396,400 $571,200 $718,000

Benchmark Communities Cities Campaign I Campaign II Wichita, KS $3.5 million $8 million Pensacola, FL $2.5 million $5 million Rocky Mount, NC $1.5 million $4 million Lexington, KY $2.5 million $5 million Shreveport, LA $1.1 million $3.5 million

CAMPAIGN LEADERSHIP Honorary Co-Chairs Campaign “working group” MBERDC Executive Committee Advice, counsel, assistance and oversight

NEXT STEPS Identify and Recruit leadership Screen Top 50 Prospects Prepare collateral materials Commence community outreach/education

Campaign Assessment Report Resource Development Group, Inc Campaign Assessment Report Resource Development Group, Inc. November 16, 2006