When was the last time you asked your utility for information on the local work force or other economic data when it was time to expand your company, and not just questions about power? Maybe it's time that you did.

"We supply facts and figures not readily available to the rank and file," said Pete Lieber, economic development coordinator for Hoosier Energy, which serves central and southern Indiana. "Such data can help narrow site selection and introduce a company to an area with great potential for its business."

Extra services make a difference

In-house economic development departments at the nation's utilities work as a team with local and state entities to help communities attract businesses, offering a variety of services - at no charge - to prospective companies.

Customized research, an inventory of available sites and properties, surveys of communities, labor statistics and profiles, introductions to key contacts, information about incentives, and hosting tours are among the usual services businesses might receive from utilities.

"Development is a partnership," said Lieber. "Hoosier Energy can supply site brochures, topographical maps, and will fund geographic, technological, and environmental studies of prospective sites for companies considering relocating to a specific area. I can call on every department in the company to help a business with its decision of where to relocate and how to assist them with their energy and power needs."

"Teamwork, especially with local agencies, is the reason we are successful in attracting businesses to Alabama," said Ted Levi, senior industrial recruiter with Alabama Power, which has been involved in economic development since 1920.

Utilities also relate to companies with a long-term view. Ameron, a decorative light pole manufacturer headquartered in Ventura, Calif., is building a $12 million manufacturing plant in Anniston, Ala., where it will employ 100 people.

Making sense of the madness

Utilities also help when a company works with the various government agencies involved in any expansion.

"We help companies access a wide range of other incentives available through federal, state, and local agencies," said Steve Warren, economic development specialist for Illinois Power, which serves central and southern Illinois. "Recently, we played a major role in attracting a large distribution facility to a rural community, creating about 300 new jobs. This company chose Illinois over three other states. We brought in the right state and local people early to address the company's specific concerns and needs.

"We are one-stop shopping, making us a great resource for smaller companies and those without a site selection professional. An internal person, such the vice president of operations, is usually charged with the task of site selection, a daunting job. We serve as a clearinghouse and assist in the screening process."

Making the trains run on time

When companies expand today, they are usually under time constraints. The facility must be up and running in a matter of days and months, not years.

"Now, from when you first hear of a project until the date to break ground there is six months. In the late '80s, it used to average 15 months," said Hoosier Energy's Lieber. "Existing space is at a premium. The oversupply of industrial real estate in the Midwest is gone. All of the services we can offer help businesses keep the project on schedule while still making the best business decisions and gaining access to a full range of incentives."

New York's Niagara Mohawk Power uses its airplane and helicopter to take prospects for site tours.

"Time frames are so compressed that air travel is necessary. Niagara Mohawk serves 2,400 square miles and over 30 counties in Upstate New York," said Joseph D. Russo, director, business expansion and attraction for Niagara Mohawk. "Our service area includes major cities, smaller urban areas, and rural areas. We have helped to attract new businesses to each of these because consistency is part of a utility's culture, and businesses understand that is part of our service."

Power incentives make a difference

Niagara Mohawk has also designed incentives to complement those offered by government entities in New York.

One example, the Empire Development Zone Rider (EDZR), is a special incentive offered to new companies coming into specific areas in the state, or to existing companies adding at least an additional 100kw or 25 percent in electrical usage. Niagara Mohawk gives deep discounts on the delivery of electricity for up to 10 years.

"We have approximately 1,200 customers currently taking advantage of this program," said Russo. "These incentives are designed to encourage production and the creation of new jobs. That is why the program rewards companies that create new, permanent electric load (kilowatts)."

Niagara Mohawk also offers discounts on gas delivery and has a productivity improvement grant program to further assist manufacturers.

Utilities address reliability issue

Another top concern of manufacturers today is power reliability. A loss of power means loss of dollars.

"Some companies, such as call centers that must operate 24/7, ask for redundant services," said Russo. "Prospects that utilize sensitive equipment want to know about the consistency of voltage and power quality."

"Businesses want a long-term assurance of long-term power," said Illinois Power's Warren. "More prospects are asking about outage histories. Reliability is a major consideration of companies using sophisticated, more advanced technologies in processes. Illinois Power works with firms to satisfy needs, whether single line, dual feed, or back-up generation."