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"We
even had storage bins outside. We knew we just had to move, and we
wanted to stay within a 30-mile radius of our old location."
In October
1999, the computer service company moved 280 employees into a 104,000
square foot office, warehouse and technical service facility only
15 minutes away.
Jackson
said one of his biggest concerns was losing trained workers if Computer
Parts Unlimited moved too far away. As it turned out, Jackson retained
most of his employees - plus enhanced his talent pool.
"The
work force and amount of skilled labor we've seen here is good,"
said Jackson. "We moved closer to the San Fernando Valley, and
the pool of skilled employees is actually greater here than in Ventura
County where we were."
Business
parks pop up
East of Simi
Valley and Los Angeles is Rancho Cucamonga, where millions of square
feet of spec projects are ready and waiting for the right tenants.
Currently, five business parks - from a railroad-accessible industrial
site to an office community that borders a golf course - are under
construction.
The project,
which adds four buildings to two existing phases, includes three new
spec buildings and one build-to-suit. To accommodate needs specific
to warehouse operations, the buildings feature 30-foot clear heights,
advanced sprinkler systems and trucking courtyards with trailer storage
areas.
Just east
of Rancho Cucamonga, Illinois-based Sears invested $6 million to complete
a spec building in Fontana for a central repair center.
The 186,000
square foot facility opened last May and employs 300 highly skilled,
technical repair specialists. Sears' only other central repair center
is in Chattanooga, Tenn.
"Technology
has changed drastically in the past five years," said Karen Mares,
operations manager of the Fontana facility. "To do repairs on
camcorders and DVDs, for example, you need a specialized technician
and specialized equipment that may cost tens of thousands of dollars.
"To
have that kind (of training and equipment) in 450 locations wouldn't
be cost effective. Plus, we couldn't manage the quality of service
and skill set in 450 locations. This gave us more control over technology
and services we needed to grow."
To assist
with the project, Sears received a $100,000 training grant for screening
and post-hire training.
The state
administers its training and placement program through the EDD. The
EDD's Job Services division can provide current labor market information
for planning business expansion, relocations, and future hiring and
training needs.
Job Services
can also help companies focus their recruitment campaigns to garner
the largest number of specialized workers as quickly as possible.
EDD specialists can also use CalJOBS, a computer database of available
workers, to help companies conduct a statewide search to find specialized
workers.
The Employee
Training Program (ETP) is set up for existing workers who must be
retrained. The state reimburses qualifying companies for training
expenses after an employee has been on the job 90 days.
Since its
inception, the ETP has provided $550 million in funding to more than
27,000 California businesses for the training or retraining of 280,000
workers, according to state reports.
Being
a part of the team
In Southern
California, a team approach to economic development helps expanding
and relocating companies cut through the red tape.
To stay
competitive, Marko Foam Products in Corona was considering moving
south of the border to Mexicali, Mexico. But with a little help from
government officials and Southern California Edison, the foam packaging
manufacturer decided to keep 300 jobs in Southern California, according
to Ty Peterson, Marko Foam's president.
The company's
incentive package included tax credits, training funds and a Retention
Economic Development Rate from SCE. The special power rate gives the
company five years of discounted electricity in exchange for an agreement
to maintain a specific level of usage for seven years.
"The
flexible rates we received from SCE will allow us to stay in California
and do business more profitably," said Peterson. "Like any
business, we want our Corona plant to operate competitively, and SCE
is helping us do just that."
In addition
to the company's 115,000 square foot headquarters in Corona, Marko
Foam Products operates facilities in Colorado, Oregon, Utah, Mexicali
and northern California.
American
Eagle Wheel Corp. also took advantage of discounted utility rates
to stay profitable in the United States. In February of 1999, the
manufacturer of after-market auto parts announced it would keep 320
jobs in Chino and add 50 more, rather than move them to its sister
plant in Mexicali.
SCE used
flexible pricing and special economic development rates to discount
American Eagle Wheel's utilities for three years.
"These
two rates will allow American Eagle Wheel to remain competitive in
Chino while expanding our business," said Ray Elbertse, the company's
vice president. "SCE and the city of Chino helped prove to us
that California is a great place to do business."