Flagstaff has a remarkable number of assets that are attractive to potential employers.
What is the role of the business attraction manager?
As business attraction manager for the City of Flagstaff, it is my job to help high-quality employers choose Flagstaff as their new home when they are considering the decision to relocate or expand their business.
I am a resource for potential employers, serving as an ombudsman to connect them with resources and contacts that will make their transition to our community as easy as possible. By helping to attract these high-quality employers, they in turn provide high-quality jobs to our residents, making Flagstaff a more prosperous place to live, work and play.
What are some of the city’s key economic development priorities?
Flagstaff is largely considered a tourist destination and seven million visitors a year can attest to that. However, one of the main priorities for myself as business attraction manager and for our economic development team is to help strengthen and diversify our economic base by focusing on attracting businesses in specific targeted sectors. The biomedical field is a great example of a sector that our team has been focusing on and that has seen significant growth in the last several years. Additionally, we have also been concentrating on manufacturing, aerospace and technology-based companies that also will help provide high-quality and high-paying jobs to our community.
What tools does the city currently have to assist with business attraction?
In July 2020, the Flagstaff City Council unanimously approved several new incentives to assist with business attraction efforts. The Job Creation incentive offers eligible new businesses up to $15,000 that can be used for a variety of authorized expenses including workforce development, relocation expenses, various trainings, etc.
The Development Reinvestment Program incentivizes new businesses by making a portion of the city’s construction contracting sales tax available for reimbursement for numerous authorized expenses including various site improvements and public infrastructure.
These two incentives have expanded the city’s economic development toolkit and already have assisted in attracting several new businesses to our community.
In addition to the direct incentives, the Business Attraction Program can provide analytics for businesses to better understand the dynamics of the market and can help coordinate resources in the community related to workforce development, training and available real estate. We have software tools and great partners.
What is one of Flagstaff’s largest assets when it comes to attracting businesses?
Flagstaff has a remarkable number of assets that are attractive to potential employers. One that immediately comes to mind is the immense quality of life that our small mountain town provides, with its connection to nature. Another obvious choice would be our highly educated workforce, alongside Northern Arizona University, which propels eager recent graduates into the open arms of businesses who need additional talent. A third is the logistics benefit generated by the presence of an interstate highway, a transcontinental rail line and an expanding commercial airport. We have a lot going for us here.
Are there any new employers that have chosen Flagstaff as a result of these attraction efforts?
There have been multiple new employers that have committed to choosing Flagstaff in the last three months. Two exciting examples are Katalyst Space Technologies and UACJ Whitehall Industries.
Katalyst Space Technologies is a fledgling aerospace company that is currently in contract discussions to work with NASA and the U.S. military. The company is expected to begin operations in Flagstaff at the beginning of May and will create more than 30 new jobs in the next three years. Katalyst plans to work closely with NAU, Lowell Observatory and USGS, which is part of the reason why the company wanted to make Flagstaff its new home. We are very excited to welcome Katalyst to our community as the business shoots for the stars.
UACJ Whitehall Industries is an automotive manufacturer that fabricates various parts for electric vehicles. Whitehall recently secured space at the former Walgreens Distribution Facility and will be starting operations at the end of April. Whitehall plans to invest as much as $60 million with this expansion and is anticipated to bring 120 high-paying jobs to the region in the next year and 350 within five years. The average wage at the company will be 60% higher than Coconino County’s per capita income. We look forward to the immense positive impact Whitehall Industries will have for our community and residents.
Are there any major projects you are currently working on?
One major project that is currently progressing is the master development process on a 31.45-acre parcel adjacent to our Pulliam Airport. Genterra LLC, recently was selected to provide its services and assist the city with this process and ultimately begin the development of this parcel. This site will be developed to create space for potential manufacturing and research and development companies, as well as other businesses that will complement our growing airport.
The city and Genterra LLC hope to continue to make steady progress over the next year toward this vision. If everything goes according to plan, we could see the groundbreaking begin at this site as early as spring 2022.
If you have any questions about economic development and business attraction in the City of Flagstaff, reach out to Jack Fitchett at JFitchett@flagstaffaz.gov. ChooseFlagstaff.com. FBN
By John Saltonstall
John Saltonstall is the Business Retention and Expansion Manager in the City of Flagstaff’s Economic Vitality Division. He can be reached at jsaltonstall@flagstaffaz.gov.