Governor Perdue Launches Airport Initiative in Rural Georgia

Tuesday, July 24, 2007

Contact: Office of Communications 404-651-7774

Governor Perdue Launches Airport Initiative in Rural Georgia

Recognizes OneGeorgia Award Recipients in Vidalia

VIDALIA, Ga. – Governor Sonny Perdue announced today the launch of AirGeorgia (Airport Initiative in Rural Georgia), officially integrating airport infrastructure improvements into OneGeorgia’s overall plan for rural economic development. Governor Perdue requested that the OneGeorgia Authority structure a new financing program aimed at completing critical infrastructure improvements necessary to upgrade and improve many of rural Georgia’s aviation gateways.

“Air transportation is the preferred choice for business and industry decision makers in the 21st century economy. Our economic development efforts will benefit greatly from accessible rural airports throughout Georgia,” said Governor Sonny Perdue. “Rural airports also connect Georgians to metro areas, enhance tourism opportunities, expedite access to emergency healthcare services and support the transportation needs of entrepreneurs and small business owners.”

Governor Perdue and members of the OneGeorgia Authority Board approved the regulations for AirGeorgia along with an initial $15 million budget today at a board meeting held at Southeastern Technical College in Vidalia.

“The goal of AirGeorgia is to extend rural airport runways to at least 5,000 feet, placing every Georgian within a 30-minute drive of an airport capable of serving 85 percent of the corporate aircraft flying today,” said Governor Perdue.

AirGeorgia, targeted to the 49 Level I and Level II airports in rural Georgia, will accelerate a number of projects including runway extensions, installation of navigational aids, weather reporting stations and other projects deemed necessary to increase accessibility of Georgia’s rural airports and communities.

Governor Perdue and members of the OneGeorgia Authority Board today also approved more than $2.3 million in grant and loan awards from the OneGeorgia Authority’s Equity, EDGE, BRIDGE and ESB programs to spur economic development in Georgia’s most economically distressed communities. These awards will assist with a variety of economic development projects in rural Georgia aimed at creating jobs, stimulating new private investment, supporting the retention of existing jobs and enhancing regional competitiveness through capacity building projects. These projects along with their respective local leadership representatives were recognized at the OneGeorgia board meeting.

“We are preparing rural Georgia to compete in the global 21st century economy with a comprehensive and integrated strategy and the financial resources necessary to stimulate private investment and economic growth. Our financial investments over the last six years of more than $150 million have supported both local and regional projects aimed at making rural Georgia a competitor in the global marketplace,” said Governor Perdue.

Equity awards are designed to assist communities and regions build the necessary infrastructure to support economic development. The program’s flexibility also provides financial assistance to enhance publicly-owned tourism initiatives, workforce development opportunities and downtown revitalization projects. In addition, loan funds are available through the Equity Revolving Loan Fund to assist small business owners with business growth and expansion opportunities.

Five Equity awards totaling $1,535,000 included four grants of $1,410,000 and one loan totaling $125,000 were made today. These awards include:

Tift-Turner-Worth Cook JDA – Southern Heritage Woodworks, Inc.

Loan funds will be used to assist with the acquisition of a 45,000 square foot (SF) building in Sylvester to support the expansion of Southern Heritage Woodworks, Inc., a manufacturer of hardwood flooring. The company’s management, with nine existing employees and a commitment to hire an additional ten employees, have 12 years of experience and a successful track record in antique flooring. The company constructs flooring from timbers recovered and recycled from structures built prior to 1900. Southern Heritage will rent 16,700 SF to Midwest Fastener, a maker of fasteners sold in hardware stores. Midwest Fastener is relocating from Florida and has plans to create six jobs.

• Equity Loan Award: $125,000
• Total Project Cost: $688,500
• Date of Award: 7/24/06
• 16 new jobs

Taylor County – Technology and Workforce Development Center

Grant funds will be used for assistance with the expansion of the Flint River Technology and Workforce Development Center in order to provide additional educational and training opportunities for the regional workforce. Partnering with Flint River Technical College (FRTC), this regional workforce center was established in August 2004 on the site of the Adult Education and Head Start Center in Butler to serve residents of Taylor, Talbot and Schley Counties. As a result of its success, the center has reached capacity. This expansion will create 8,350 SF and offer an expanded curriculum to include: truck driving, customer service, nursing, criminal justice, computers and entrepreneurship. FRTC expects this center to serve 400 students annually. This region is expected to grow significantly in 2008 as a result of the Ft. Benning expansion. The consolidation of military units at Ft. Benning and the satellite industries expected to locate within the region will require a skilled workforce.

• Equity Grant Award: $500,000
• Total Project Cost: $1,458,300
• Date of Award: 7/24/06

Thomaston-Upson County IDA – Ply Mart

Grant funds will be used for the construction of water, sewer and drainage improvements to assist with the location of Ply Mart, a Georgia-based lumber/building supply company, to Yamaha Parkway in the northern section of Thomaston. Ply Mart commits to construct a 100,000 SF millwork plant, a lumber yard, a distribution yard, and a 45,000 SF truss/panel plant in Thomaston. The company has committed to approximately $9.5 million in private investment in addition to the creation of 105 full-time jobs. Ply Mart was established in 1968 and ranks as one of the top 150 private businesses in Georgia. Headquartered in Norcross, the company has 30 locations in the southeast and employs approximately 1,000 individuals. This project is expected to have a regional impact as the existing manufacturing base shows that employees come from more than 20 counties for employment within Upson County.

• Equity Grant Award: $500,000
• Total Project Cost: $11,151,799
• Date of Award: 7/24/06
• Create 105 new jobs

Wilkes County – Capacity Building

Grant funds will be used to assist with the acquisition of a 123-acre site, known as the International Paper site, in Wilkes County for use as an industrial park. With only 13 acres remaining in the current industrial park, the site, enhanced with existing water, sewer and rail access, represents the redevelopment of an abandoned sawmill site and an opportunity to provide a competitive and marketable location for prospective industries. The community with regional support from Lincoln, McDuffie, Taliaferro and Warren Counties, plans to work with Georgia EMC to develop an initial site plan and also to aggressively promote the park through a comprehensive marketing program.

• Equity Grant Award: $350,000
• Total Project Cost: $580,250
• Date of Award: 7/24/06

City of Gordon – Tourism Development

Grant funds will be used for assistance with the renovation of the 1920 Farmers and Merchants Bank located in downtown Gordon to be used as a “Gordon/Wilkinson Discovery Center.” The center plans to highlight the economic impact and historical significance of the kaolin industry. Kaolin, discovered in the early 1900's, has long served as the backbone of Wilkinson County's economy. Historically, more than 70 percent of the kaolin mined in the United States came from this Middle Georgia area. In addition, the city of Gordon and Wilkinson County are partnering with Bibb and Baldwin counties to develop various tours and promote other regional tourism assets including Ball’s Ferry State Park.

• Equity Grant Award: $60,000
• Total Project Cost: $138,280
• Date of Award: 7/24/06
  

Governor Perdue and the board also recognized the most recent EDGE award recipient. The award, totaling $400,000 leveraged against the total project cost of over $103 million, is projected to create 250 new jobs. The purpose of the EDGE Fund is to provide financial assistance to eligible applicants that are being considered as a relocation or expansion site and are competing with another state for location of a project. The company and award recognized today include:

Crisp County-Cordele IDA/Owens Corning

The EDGE funds will be used to assist with the extension of the Heart of Georgia Rail line into Cedar Creek Corporate Park along with a rail spur and two side tracks in support of Owens Corning new 200,000 SF manufacturing facility. The Cordele facility, situated on 150 acres, will manufacture Flexible Duct Media (FDM) Insulation and represents the first plant constructed in the United States in 30 years. Owens Corning, an international publicly traded Fortune 500 company, was recognized by Fortune magazine in 2004 as the #1 Most Admired Company in the building materials category. The company is best known by its corporate mascot, the Pink Panther, which is used to promote its insulation products. Owens Corning was the first company to ever trademark a color – pink.

At the March 2006 OneGeorgia board meeting, Governor Sonny Perdue and members of the OneGeorgia Authority board approved regulations for a new financing program to bring high speed broadband connectivity to rural Georgia. The Broadband Rural Initiative to Develop Georgia’s Economy (BRIDGE) fund provides grants for publicly owned infrastructure based on the number of rural counties receiving new or enhanced high speed broadband services. Today Governor Perdue announced the first BRIDGE award.

DDA of Arlington/Baker, Calhoun, Early, Miller and Mitchell Counties

Grant funds are awarded to assist with a five-county regional technology assessment, TECHSMART. Georgia Tech staff will conduct a series of community-wide meetings to assist the local leadership and stakeholders in identifying the region’s technology assets/needs as well as opportunities. This technology benchmark will serve as the basis for the development of an integrated plan, the Digital Development Plan or “roadmap” for future technology development and utilization within the region. In addition, grant funds are awarded to assist with site study, engineering and preliminary system design for development of a high-speed wireless broadband access system to support a number of agricultural applications, including remote pivot irrigation, as well as to community residents and businesses located within the five counties.

• BRIDGE Award: $88,600
• Total Project Cost: $118,250
• Date of Award: 7/24/06
  

Governor Perdue also recognized the most recent ESB (Entrepreneur Small Business) Loan Guarantee Recipients. The ESB Loan Guarantee Program was the result of Governor Perdue’s 2004 Executive Order charging the OneGeorgia Authority to seek innovative ways to spur and support entrepreneurial enterprises in Georgia’s rural communities. The ESB Loan Guarantee Program is available to support small business start-ups and expansions located in any of OneGeorgia’s 112 directly eligible rural counties.

Cairo Fitness Center/Citizens Bank (Cairo)

The ESB loan guarantee will support Cairo Fitness Center located in downtown Cairo. The fitness center is being purchased and has a current membership of 170 members. The multi-stationed gym, together with an indoor heated pool and indoor track, provides one central location for its members. The company currently employs one and expects to create between one or two more jobs.

• ESB Loan Guarantee Amount: $25,000
• Total Loan Amount: $50,000
• Borrower’s Equity: $5,556
• Date of Award: 05/25/06
• Proposed new jobs to be created – 1 to 2

Katz Veterinary Services, LLC/Community National Bank (Ashburn)

The ESB loan guarantee will support Katz Veterinary Services, LLC, located in Ashburn, GA. Katz Veterinary Services, LLC, an animal clinic for sale by the current owners, is being purchased by Dr. Alexander Katz, who worked in the office for several years as a staff veterinarian. Dr. Katz and his wife Rebecca, a veterinarian practicing in Cordele, have become established in the area and would like to grow the business in Ashburn. Ashburn-Turner County does not have another veterinarian office and the closest alternative would be Sylvester, Tifton or Cordele. The company currently employs three.

• ESB Loan Guarantee Amount: $62,500
• Total Loan Amount: $125,000
• Borrower’s Equity: $15,000
• Date of Award: 06/14/06

E7 Technologies, Inc/Bank of Upson (Thomaston)

The ESB loan guarantee will support the acquisition of a building for E7 Technologies, Inc. of Thomaston. E7 Technologies, Inc., owned by Robert and Gail Eagle, began operations in March 2003 as a company refurbishing cell phones and cell phone batteries for wireless carriers and major retailers such as Verizon, Radio Shack and Sprint. The company currently employs 20 and expects to create between 35-50 more jobs.

• ESB Loan Guarantee Amount: $112,500
• Total Loan Amount: $595,000
• Borrower’s Equity: $108,500
• Date of Award: 06/20/06
• Proposed new jobs to be created – 35-50

Alliance Investment Firm, LLC/Pinnacle Bank (Elberton)

The ESB loan guarantee will be used by a start-up investment group to support a new restaurant, Wings on the Block, in Elberton. The owners of the new restaurant through market research determined that this type of restaurant was popular and the closest location selling a variety of wings was 20 to 30 minutes away. The company has a business plan which reflects four part-time jobs will be created in Elberton.

• ESB Loan Guarantee Amount: $19,500
• Total Loan Amount: $39,000
• Borrower’s Equity: $3,900
• Date of Award: 06/28/06
• Proposed new jobs to be created – 4

Pickle Patch Deli/United National Bank (Cairo)

The ESB loan guarantee will be used to acquire an existing restaurant, Pickle Patch Deli, which will be owned and operated by Eddie and Danielle Stewart. The restaurant, located in Cairo, currently employs three and expects to create one additional job.

• ESB Loan Guarantee Amount: $30,000
• Total Loan Amount: $60,000
• Borrower’s Equity: $7,990
• Date of Award: 06/26/06
• Proposed new jobs to be created – 1

Waste Away Services, LLC/Pinnacle Bank (Elberton)

The ESB loan guarantee will support the purchase of residential trash containers on behalf of Waste Away Services, LLC located in Elberton. Waste Away Services, a start-up company owned by Edgar Worley, will provide trash pick up services for city and county residents. The company currently employs two and expects to create one additional job.

• ESB Loan Guarantee Amount: $15,000
• Total Loan Amount: $31,500
• Borrower’s Equity: $5,000
• Date of Award: 06/27/06
• Proposed new jobs to be created – 1

Governor Perdue congratulated Brantley and Fannin Counties for receiving grants from the Entrepreneur Friendly Implementation Fund (EFIF). The grant program is only available to communities who have successfully earned the designation “Entrepreneur Friendly.”

Brantley County’s $2,500 grant award will be used to create “Exploring the Possibilities of Entrepreneurship,” an ongoing youth entrepreneur camp in partnership with Okefenokee Technical College for students in grades seven and eight to engage youth in entrepreneurial thinking. The participants will be tracked for a period of years to see how many business ideas come to fruition.

Fannin County’s $10,000 grant award will be used to create a youth entrepreneurship pilot program. Twenty juniors from Fannin County High School or home school students will participate in a series of hands-on education sessions geared toward entrepreneurship and opportunity in Fannin County.

Leaders from Burke, Elbert and Muscogee Counties were recognized as the most recent communities to earn the Entrepreneurial Friendly designation. To date, 21 Georgia counties have completed the rigorous process of identifying local entrepreneurs, understanding the economical and social impact of small businesses and entrepreneurs and developing a tool kit that can be used to support small business and entrepreneurial growth in their own communities.

Statistics indicate that small businesses are responsible for the creation of nearly 99 percent of new jobs.

The OneGeorgia Authority was created utilizing one-third of the state’s tobacco settlement to assist the state’s most economically challenged areas. The OneGeorgia Authority is expected to receive about $1.6 billion over the 25-year term of the settlement.

Since the authority was created in October 2000, more than $150 million has been awarded in grants and loans. These projects support the creation and/or retention of more than 31,649 jobs in 114 of Georgia’s most economically depressed counties. For additional information please refer to the authority’s website: www.onegeorgia.org.