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Spotsy recruits with more than cash

October 5, 2009 12:36 am

BY DAN TELVOCK

Creativity helps keep Spotsylvania County competitive for business, said Economic Development Director Russell Seymour.

County officials are keeping most businesses happy, even after the Board of Supervisors raided the Economic Development Opportunities fund two budget cycles ago to provide more money to the school system and public safety.

The number of cash incentives offered to businesses has dropped from three in 2006 to one each in 2007 and 2008. Of the $1 million the Economic Development Department has offered since 2006, companies have accepted $435,000 in cash incentives.

With less cash available to entice businesses, Seymour said his department is trying to be more creative by using technology zones and offering tax rebates.

In February, the Board of Supervisors approved technology zones for the U.S. 1, State Route 3, and Routes 2 and 17 corridors. Seymour said only certain types of businesses, such as defense and biomedical companies, will qualify for tax rebates if they locate in any of the three zones.

Supervisors earlier this month offered a defense manufacturing business five years of rebates on the machinery and tools tax if it locates in a technology zone.

Supervisors have an Oct. 13 public hearing on a proposal to create tourism zones that will focus on drawing visitors to the county, which is rich in Civil War history.

The targeted-industry program allows for faster plan reviews from the Planning, Code Compliance and Zoning departments.

"That saves businesses a lot of money upfront," Seymour said. "It also saves them time. We're getting creative and we're staying competitive."

Welford Engineering received $60,000 in cash from the county in 2006, which lured the company from Fredericksburg to a development on Empire Court off Mine Road and Falcon Drive. The company employs about 20 professionals.

"We were able to use some of the county's incentive to keep our rent structure down so we could afford to move here," company president Larry Welford said.

Welford Engineering has returned the favor. This year, the company worked on the site plans for the Verizon Wireless switching station to be built in the 95 Commerce Center.

"It is a big effort by a whole lot of people that brought them here, and that is going to be a major development for the county," Welford said.

Welford said his company also helped Surgical Associates of Fredericksburg start up in Spotsylvania.

"Those are the types of [jobs] the county wants to bring in," he said.

Jennifer Mihalcoe, business development manager, helps existing businesses grow.

It's a job she said is rare in Virginia. Seymour said this program is another creative way to help businesses stay in the county.

"They didn't know there was a person out there to help them," Mihalcoe said about the business owners she has approached.

She also is the single point of contact for businesses involved in the county's development and planning process.

No longer do businesses have to speak to numerous employees to get answers on their applications.

Mihalcoe said a state program that provides employee training funds has been popular.

"With the economy the way it is, a lot of businesses are starting to gear up, so when the economy comes back, they will be stronger," she said.

Dan Telvock: 540/374-5438
Email: dtelvock@freelancestar.com