Piedmont Opportunity Corridor FY2019 Enhanced Capacity Building Piedmont Opportunity Corridor Community Update August 16, 2018

WHY GO VIRGINIA? U.S. GDP and Virginia GSP 2002 – 2015 FY2019 U.S. GDP and Virginia GSP 2002 – 2015 (Annual % Change) % 6 4 U.S. 2 Virginia -2 -4 WHY GO VIRGINIA? Source: Bureau of Economic Analysis, GMU Center for Regional Analysis

WHY GO VIRGINIA? Virginia and State Comparisons FY2019 Virginia and State Comparisons Percent GSP Change: Recession and Recovery (ranked by GSP in 2015) (~2007 – 2009) (2009 – 2015) -10% 9% Florida Ohio -7% 14% North Carolina -3% 8% Georgia -6% 10% Virginia 0% 6% WHY GO VIRGINIA? Maryland 0% 8% Indiana -7% 13% South Carolina -4% 10% DC -20% -10% 0% -1% 9% 10% 20% Source: Bureau of Economic Analysis, GMU Center for Regional Analysis

WHY GO VIRGINIA? Commonwealth of Virginia FY2019 Commonwealth of Virginia Average Job Contribution to Gross State Product By Private Sector in 2015 $s Sector Leisure & Hospitality Services Average Job Contribution to GSP $38,000 Retail Trade $61,637 Education & Health Services $66,868 State and Local Government $69,804 Construction $83,100 Transport/Warehousing $109,136 Military $125,215 Professional & Business Service $145,211 Wholesale Trade $158,875 Federal Government $163,125 Manufacturing $186,311 Information Services $336,162 Financial Services $491,636 All Private Sectors Average $127,630 All Government Average $117,432 WHY GO VIRGINIA? Source: IHS Economics, GMU Center for Regional Analysis

WHY GO Virginia? The GSP* Effects of Private Sector Job Change FY2019 The GSP* Effects of Private Sector Job Change in the Commonwealth of Virginia, March 2008-August 2016 (in 2015$s) Job Average Total Change GSP* Value -293,300 $152,807 - $44,818,293,100 +335,400 $114,793 38,501,572,200 + 42,100 - $6,316,720,900 WHY GO Virginia? Source: GMU Center for Regional Analysis *Gross State Product

2016 General Assembly INTRO FY2019 2016 General Assembly GROWTH AND OPPORTUNITY ACT Legislation to create the Virginia Growth and Opportunity (GO) Board and Fund. COLLABORATIVE JOBS ACT Legislation to create revenue sharing opportunities for localities when jointly pursuing economic development projects. INTRO

WhAT IS GO VIRGINIA? INTRO FY2019 WhAT IS GO VIRGINIA? An economic development initiative that provides incentives to encourage collaboration between private industry, higher education, and government to produce results that will grow and diversify the regional economies -- and ultimately the Commonwealth. INTRO

GO Virginia funding streams FY2019 GO Virginia funding streams Regional Projects (Per Capita Funds) Inter-Regional Projects (Competitive Funds) Allocated based on the regional population   Funding awarded by the Board on a competitive basis for projects engaging at least two regions intro

GO VIRGINIA structure structure FY2019 GO VIRGINIA structure Growth & Opportunity (GO) Board is responsible for awarding funds to projects recommended by Regional Councils. Regional Councils are private industry led and have representation from education, workforce, local government, economic development, etc. DHCD oversees the administrative and financial aspects of the Board Support Organizations oversees the administrative and financial aspects of the Regional Councils. structure

GO Virginia Board & DHCD FY2019 GO Virginia Board & DHCD GO Virginia Board DHCD Dubby Wynne, Chair Benjamin J. Davenport Jr, Vice Chair Erik Johnston, Director Courtney Dozier, Deputy Director Jordan Snelling, GO Virginia Administrator Billy Gammel, GO Virginia Analyst STRUCTURE

Structure-the regions FY2019 GO Virginia REGIONS Structure-the regions

Piedmont Opportunity Corridor FY2019 REGION 9 - Piedmont Opportunity Corridor 11 Localities Incorporating Planning Districts 9 and 10 Structure - Region 9

Officers & Executive Committee FY2019 Regional council 9  Officers & Executive Committee Chair: Tom Click, Patriot Industries Vice Chair: Jim Cheng, CAV Angels Treasurer: Andy Wade, Louisa County Brian Cole, Lexis Nexis Miles Friedman, Fauquier County Ed Scott, Eco-Septix Alliance David Pettit, Lenhart Pettit Piedmont Opportunity Corridor STRUCTURE - region 9

Entrepreneurship & Innovation Task FOrce Tom Click, Patriot Industries Jim Cheng, CAV Angels Leigh Middleditch, McGuireWoods Elizabeth Smith, Afton Mountain Vineyards Pace Lochte, UVA Miles Friedman, Fauquier County Structure - Region 9

Regional council 9 Support Organization FY2019 Regional council 9 Support Organization Helen Cauthen, President Shannon Holland, GO Virginia Director Uconda Dunn, Economic Development Director Stephanie Boynton, Executive Director, Piedmont Workforce Network Structure - Region 9

GO Virginia Projects MUST… FY2019 GO Virginia Projects MUST… Align with the GO Virginia Board Goals and, Align with the Growth & Diversification Plan for the Region Project requirements

To meet GO Virginia Board Goals FY2019 To meet GO Virginia Board Goals A project must: Lead to the creation of higher paying jobs Derive revenue from out-of-state sources Be sustainable after GOVA Demonstrate collaboration between higher education, business and local government Involve 2 or more local governments Project requirements

GO Virginia Does not fund…. FY2019 GO Virginia Does not fund…. Healthcare Quality of life projects Incentives to private companies Scholarships Broadband (under evaluation) Transportation projects Infrastructure - unless for site development Project requirements

$52,038 AVERAGE WAGES Project requirements Region 9 FY2019 AVERAGE WAGES $52,038 Region 9 Project requirements Source: U.S. Bureau of Economic Analysis, Per Capita Income, 2015

Region 9 Plan Region 9 plan Region 9 plan Download at FY2019 Region 9 Plan Region 9 plan Download at www.GoVirginia9.org Region 9 plan

Identified Opportunities FY2019 Identified Opportunities Proposals should be in at least one Framework targeting at least one Target Industry Frameworks Talent Development Growing Existing Businesses Startup/Innovation/ Commercialization Site Readiness Industries Financial & Business Services Food & Beverage Manufacturing Information Technology & Communications Light Manufacturing Biomedical & Biotechnology Region 9 plan TARGETING

FY2019 Required MATCH GO Virginia proposals must include a $1:1 Match from non-state sources. Matching funds may be CASH and/or IN-KIND Within the 1:1 Match, there is a minimum locality Match requirement $50,000 OR 20% of the GO Virginia request, whichever is greater match

REGION 9 how to apply How to apply FY2019 REGION 9 how to apply Discuss with GO Virginia Region 9 staff Submit Pre-Application Get approval to move forward with application Submit application by Region 9 Deadlines Details and downloads at www.GOVirginia9.org How to apply

board proposal Review PROPOSAL review Support Organization FY2019 board proposal Review Support Organization Regional Council DHCD Working Group State Board PROPOSAL review

Region 9 PROPOSAL review FY2019 Region 9 PROPOSAL review APPLICANT Submits proposal by email STAFF Provides applicant feedback Emails proposal to assigned Task Force members for scoring COUNCIL Discusses proposal at Council Meeting and votes Submits to DHCD on behalf of Council PROPOSAL review

Added from Capacity Building Funds Total Available for Projects FY2019 FY 18 Region 9 projects Per Capita Allocation Added from Capacity Building Funds Total Available for Projects YTD Total Awarded FY 2018 Funds Carry Forward $546,301 $250,000 $796,301 $735,987 $60,314 Fy 2018 highlights

Region 9 Projects Fy 2018 highlights GWC PTEC 244,300 431,625 Lead Applicant GO Virginia Funds Requested Locality Match Other Match Description GWC PTEC (Culpeper County) 244,300 431,625 1,000,000 Talent Development project targeting Light Manufacturing Crafting Higher Paying Jobs and Adult Beverage Exports (PVCC) 249,472 50,000 259,000 Talent Development project targeting Food & Beverage Manufacturing Central Virginia Cybersecurity Partnership 100,000 136,000 Talent Development project targeting IT/Communications Central Virginia Site Readiness (Partnership) 58,675 Site Development project targeting Light Manufacturing CvilleBioHub (CvilleBioHub) 83,540 84,600 Grow Existing Businesses project targeting Biotech Fy 2018 highlights

Statewide approved projects As of August 14, 2018 34 Projects Funded Talent Development – 15 Infrastructure – 6 Commercialization – 3 Enhanced Capacity Building – 10 >$10,000,000

Recently approved projects Description Amounts Southwest Virginia Technology Council Hublink 1 Online jobs platform for technology industry $27,547 Campus RVA 4 Online and offline resource for internships and job openings $100,000 CvilleBioHub 9 Create a strategic plan for driving innovation and growth for the region’s Biotech cluster $83,540 Talent Pipeline Apprenticeship Initiative 7 Develop an apprenticeship program for technology and cybersecurity jobs $1,000,000 Lighthouse U Empower recent college graduates to become entrepreneurs MAMAC Inter Regional Project to advance this mega-industrial site to Tier IV $2,217,000

Go Virginia state priorities FY2019 Go Virginia state priorities Site Development Entrepreneurial and Innovation Ecosystem fy 2019 priorities

FY 2019 Go Virginia project funding Per Capita Funds (Regional Projects) Competitive (Inter-Regional Projects) Region 9 Projects: $1,000,000* Region 9 + at least one other Region: $11,000,000 Fy 2019 funding * Includes Enhanced Capacity Building Funding

Enhanced capacity Building projects (ECB) FY2019 Enhanced capacity Building projects (ECB) ECB Proposals must: Evaluate an opportunity or develop a platform for needs or opportunities identified in regional plans (not implementation) Have a direct line of site to a larger GO Virginia grant proposal If ECB GO Virginia funding request is for < $100,000: The proposal is eligible for an accelerated approval process May request a waiver of the locality match requirement, if the proposal demonstrates that it could not be obtained Region 9 can only fund a limited number of these projects annually fy 2018 priorities

FY 2019 Go Virginia project funding Per Capita Funds (Regional Projects) Competitive (Inter-Regional Projects) Region 9 Projects: $1,000,000* Region 9 + at least one other Region: $11,000,000 Fy 2019 funding * Includes Enhanced Capacity Building Funding

FY 2019 Region 9 priorities fy 2018 priorities Regional Council to Drive the Agenda to: Generate a Robust Project Pipeline for >$1,000,000 Get Local Government More Integrated Facilitate Innovation/Entrepreneurship Ecosystem Projects Support project conversations targeting Business & Financial Services Identify Next Generation of Leaders fy 2018 priorities

Next deadline: September 25, 2018 IDEAS & QUESTIONS

GO Virginia Thank you! Shannon Holland GO Virginia Director, Region 9 434-979-5610 ext. 103 sholland@centralvirginia.org www.GOVirginia9.org