An Economic Development Boom

Press Club January 6, 2014

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The Capital Region

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1 Job Creation: Retain and attract high-growth companies to positively influence quality of life

2 International Development: Bring high-wage jobs associated with international business to the area to build a global reputation

3 Entrepreneurship and Innovation: Support the development of new entrepreneurial firms and regional capacity for innovation

4 Global Branding: Increase awareness of the Baton Rouge Area as a destination location for high-growth companies and talented people

5 Talent Development: Attract, develop, and retain human capital to meet the needs of business

6 Regional Competitiveness: Target key public policy issues that impact the Baton Rouge Area's ability to remain competitive in the global marketplace

The Creative Capital Agenda 2011-2015

Core Strategies

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Low Gas Prices Are Fueling the

Regional Economy

Louisiana Natural Gas Industrial Price

(Dollars per Thousand Cubic Feet)

1905 1917 1929 1941 1953 1965 1977 1989 20010123456789

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5

A Historic Year−−2013−−

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1 Small Business: Defense of pro-business tax code; fixes to R&D and E.Z. credits

2 Entrepreneurship: Step One Ventures CEO hired

3 Regionalism: Super Region Canvas

4 Talent: Database reached 500 resumes; succeeded in 13 hires; assisted on CB&I

5 Education: EBR Strategic Plan adopted; K-12 report card completed

6 Transportation: MPO director hired; contracted management and qualified board selection process for CATS

Economic Competitiveness and Marketing

Wins

7 Crime: BRAVE program successes with murder reduction of 22%

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Establishments 2008 2012 Change

Total 67,115 79,287 12,172

Self Employed 23,217 20,505 -2,712

Stage 1 (2-9) 36,503 51,091 14,588

Stage 2 (10-99) 6,697 6,909 212

Stage 3 (100-499) 605 688 83

Stage 4 (500+) 93 94 1

SELF STAGE 1 STAGE 2 STAGE 3 STAGE 4

-2.9%

10.0%

0.8%

3.4%

0.3%

Growth within stages

SELF STAGE 1 STAGE 2 STAGE 3 STAGE 4

29.9%

59.8%

9.3%

0.9% 0.1%

Composition by stages

Source: youreconomy.org – Data from 2008-2012

Small Business GrowthThe total number of business establishments in the Capital Region has increased by 12,172, or an average annual rate of 4.5%, from 2008-2012.

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Historical

Low Forecast

High Forecast

2010 2011 2012 2013 2014 2015

363.2 368.2 375.2 379.8** 386.0-392.3 393.0-401.5

-2.0% 1.4% 1.9% 1.2%

Employment

Growth Rate 1.6-3.3% 1.8-2.3%

Nonfarm New Net Jobs and Employment*Thousands

*Not Seasonally Adjusted; **January through August average Source: BLS; Loren Scott’s Louisiana Economic Outlook; Louisiana Workforce Commission; Moody’s Analytics; Economic Modeling Systems Incorporated; BRAC analysis

2014 Jobs Forecast

-7.2

4.2 8.04.8 6.2 7.0

6.3

2.2

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Business Development

• Retention

• Lead generation

• Sites

• International

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Workforce Solutions

• K-12 STEM

• Career diploma

• LCTCS solutions

• Regional data

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TalentDevelopment

• Support BD

• Connecting

• R3

• Database

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Business Services

• PTAC

• Retention

• Education events

• Concierge

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2010 2011 2012 2013 2014 2015 2016800000

810000

820000

830000

840000

850000

860000

80

2

80

8,2

42

81

5,3

00

82

1,8

00

82

8,4

00

83

5,0

00

84

1,7

0082

02

00

82

51

00

83

01

00

83

50

00

82

51

00

83

50

00

84

50

00

85

51

00

Population Forecast• Surge of regional growth

• Grew faster than

forecasted

Historical

Historical

Low Forecast

Med. Forecast

High Forecast

Population projection for the Baton Rouge MSAThousands of people

Source: Census Bureau; Dr. Troy Blanchard, LSU Dept. of Sociology, troy@lsu.edu

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• Further this growth

• Improve the business climate

• Assist our investors to take advantage of it

BRACis working to: