1. GABB NOVEMBER 2015

2. GEORGIA DEPARTMENT OF ECONOMIC DEVELOPMENT: ► WHO WE ARE: marketing and sales arm of the State of Georgia ► WHAT WE DO: Strategically deliver economic development throughout the state by: ► Attracting new business investment ► Supporting the expansion of existing industry ► Promoting small businesses ► Locating new markets for Georgia products ► Attracting tourists from within and outside the state ► Promoting Georgia as a desirable location for entertainment businesses and projects

3. DEPARTMENT DIVISIONS ► International Trade ► Centers of Innovation ► Tourism ► Film ► Global Commerce ► GA Council for the Arts

4. ► We assist businesses by coordinating: ► Site Location Services ► Market Research ► Business Incentives Analysis ► Employee Training ► Innovation and R&D Services ► Export Assistance ► International Office Assistance GDECD: GLOBAL COMMERCE DIVISION

5. ► Aerospace, Defense & Advanced Manufacturing ► Logistics, Energy, Agribusiness, & Food Processing ► Life Sciences & Advanced Technologies ► Corporate Solutions ► International Investment ► Existing Industry and Regional Recruitment ► International Trade ► Centers of Innovation TEAM FOCUSED / INDUSTRY SPECIFIC

6. WHAT INDUSTRIES ARE HOT? ► Automotive ► Headquarters ► Aerospace ► Food processing ► Innovation Technology

7. SO…WHERE DO PROSPECTS COME FROM? ► Regional Project Managers W ork with Existing Industries and Communities to identify: ► Expansion Opportunities ► New Locations for Targeted Suppliers and Customers ► Project Managers attend Trade Shows throughout US developing contacts and leads ► Work multi-location projects throughout state ► 11 International Offices work with companies worldwide to encourage new locations in Georgia ► Site Selectors/Consultants/Brokers ► Walk ins or call ins

8. GLOBAL COMMERCE: STATEWIDE CONNECTIONS Regional Project Managers –Work with existing companies on expansion projects –Recruit new companies targeted for their region –Provide regional expertise and local connections – 75% of New Job Growth comes from existing industries

9. HOW HAS THE RECRUITMENT PROCESS CHANGED? 20 years ago … ► Industries: 80-90% of projects were manufacturing-based. Today 50-60% ► Location searches: companies target regions. Today, neighboring states or any country anywhere in the world ► More players (states, countries) - more aggressive ~ Increased difficulty to capture jobs ~ Increased competition forces states and communities to be more proactive and escalate marketing efforts (websites, trade shows) ► Technology: searches began with a phone call, letter or fax. Today, Internet.

10. HOW HAS THE RECRUITMENT PROCESS CHANGED? 20 years ago … ► Searchers: just a handful of site location consultants in US. Today, 5x as many projects are handled by site location consultants; we rarely work directly with company/large project ► Community Involvement: done by Chambers & privately funded. Local governments not involved in funding or structure of ED ► Publicly-financed local economic development authorities are the norm. ► Local economic development is sometimes totally funded by public dollars. ► Incentives: Giving land or tax abatements at local level was unheard of. Now they can exceed the amount of state incentives.

11. HOW HAS THE RECRUITMENT PROCESS STAYED THE SAME? ► Companies still need to make a profit and locate in or near their product market. ► Companies are risk-averse; reduce exposure to risk. ► It is important to position a Georgia site as a place that meets both these needs.

12. MOU development; Prospect locates in state! Qualified leads become project with assigned code name Prospect requests best and final offer from communities Prospect identifies possible locations for the project; additional visits may be arranged Visits arranged and conducted with prospect, PM and local ED team Prospect evaluates various state/ community submissions and disqualifies locations Initial site/ building/ community database search conducted PM determines location requirements & project drivers The Project Process Leads are developed from various sources

13. CONFIDENTIALITY ► Vitally important to the company and the community ► Code names ► Non-disclosure agreements ► Local media, politics ► Dangers of social media and networking sites

14. PARTNERSHIPS ARE KEY ► Existing industries ► Communities ► State agencies ► Utilities and railroads ► Education community ► Business community ► Federal agencies

15. STATE INCENTIVES & PARTNERS ► Training & Hiring ► Tax Credits & Exemptions ► Financing ► Infrastructure & Permitting ► Site Location and Facility Assistance ► Business Plan

16. PRO-BUSINESS ENVIRONMENT: LOW TAXES & TAX CREDITS ► Low Effective Tax Rate ► 6% Corporate Income Tax Rate ► Single Factor Apportionment ► Corporate Tax Credits ► Job Tax Credit (OZ & QTJC) ► Investment Tax Credit ► Port Tax Credit Bonus ► R&D Tax Credit ► Retraining Tax Credit ► Child Care Tax Credits

17. ► Available to a business or its headquarters engaged in: ► Manufacturing ► Warehouse / Distribution ► Research & Development ► Telecommunications ► Processing (data, information, software) ► Tourism ► Biomedical Manufacturing ► Alternative Energy Products Manufacturing ► Available to any business creating jobs in Opportunity Zones, Military Zones, as well as Georgia’s 40 least developed counties ► Job Tax Credits range from $1250 to $4000 per job, per year, for up to 5 years PRO-BUSINESS ENVIRONMENT: JOB TAX CREDITS

18. IMPROVING COMPETITIVENESS Workforce Development ► Governor's Office of Workforce Development @ GDEcD ► Governor’s High Demand Career Initiative ► WorkSmart ► Quick Start ► Computer coding vs. math ► “Go Build Georgia” ► Film Academy ► Transaction processing curriculum

19. NEW & EXPANDED INDUSTRY ANNOUNCEMENTS Fiscal Year200920102011201220132014 Announcements327335360403389374 Investment $2.55 billion $3.74 billion $4.39 billion $5.98 billion $6.07 billion $5.0 billion Jobs17,46719,46222,02228,77631,65628,404

20. SMALL BUSINESS HAPPENINGS ► Georgia Small Business Week: 3 rd week of February ► Small Business ROCK STARS: February 15 2016 ► Mentor Protégé Connection ► Micro site www.Georgia.org/smallbusiness www.Georgia.org/smallbusiness