Agenda - 05-18-2010 - 8b - Laserfiche WebLink

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Introduction It is well known that Orange County has faced increasing property taxes due to a primarily residential tax base, with 86x/0 of property taxes from residential property (Orange County, 2008). When companies seek to expand or relocate they search for the perfect site, prioritizing specific criteria to minimize costs. These costs go beyond the cost of land and development, and include the training and searching for employees, future taxes, infrastructure upgrades, and future cost of utilities. The type of company and their needs will determine which priorities they will prioritize. In this report, I will provide an overview of the site selection process and the criteria commonly used to make site decisions. I will then assess Orange County's attributes relative to nearby counties, with whom Orange County competes for growing and relocating firms and identify the county's main strengths and weaknesses. Finally, I will provide recommendations for improving the county's competitiveness within the region. Site Selection Process While the site selection process and criteria will be different for each firm, most major relocations and expansions follow a similar pattern. The U.S. General Services Administration identifies the following steps in the site selection process, from the point of view of the firm. 1. Confirm Readiness: Review feasibility prior to commencing site investigation 2. Develop the Work Plan: Create a plan to select a site (communications and research strategies), and select the criteria that will be used. 3. Conduct Search for Sites: Collecting and analyzing data, advertising for sites, and compiling offers. 4. Evaluate Long List: Analysis of the long list to identify the top three sites for the project. 5. Evaluate Short List/Recommend Site(s): Detailed evaluation, negotiations and site visits to select a final location. Source: U.S. General Services Administration. Other sources describe a similar process'. Assistance is readily available for firms looking within the state of North Carolina. The Department of Commerce provides site search assistance, analysis and guided visits to site selection teams (NC Department of Commerce, 2009b). Furthermore, their website provides county profiles, data, and a site search tool (NC Department of Commerce, 2009). At the regional level, the Research Triangle Regional Partnership provides a similar website as well as overall marketing for the region (RTRP, 2009). However, as noted in the Economic Development Handbook, most sites are not selected through these websites but through close interaction with both state and county officials. The County can begin to influence the site selection teams' decision in step three, ensuring that they have available sites and are able to respond effectively to advertisements for site i See UNC School of Government's Economic Development Handbook and NC Department Commerce's "Site Selection Process ". Details in Reference section.