Inside Tucson Business 04/12/13

Real estate is on a rollHousing sector maintains its momentum

Page 23

Secureaplane takes fl ightHigh-tech business breaks ground at Innovation Park

Page 6

Gadsden's purchase City asked to amend west side development deal

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Your Weekly Business Journal for the Tucson Metro Area

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REAL MUD ON THEIR BOOTS

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Meat Sciences Lab

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Lights dimming on growth of solar in ArizonaBy Vivian PadillaCronkite News Service

After years of rapid growth, res-idential solar power installations in Arizona are likely to slow in the near future as prices tick up and utility incentives shrink.

For 2012, Arizona was the na-tion’s second-largest market for residential and commercial solar growth, adding 710 megawatts worth photovoltaic panels to rank behind only California, according

to the Solar Energy Industries As-sociation.

Consumers have benefi ted from oversupply as companies rushed into the market, but the recent collapse into bankruptcy of Suntech Power, a Chinese fi rm with a facility in Goodyear, is a symptom of the industry shaking out due to competition, said Ste-phen Goodnick, professor of elec-trical engineering at Arizona State University’s Ira A. Fulton School of Engineering.

“I wasn’t surprised in general that a number of companies were having fi nancial diffi culties be-cause of so many competitors in the same market,” Goodnick said. “Th ere are several Chinese com-panies that are in a similar situa-tion to Suntech.”

Harvey Bryan, senior sustain-ability scientist with ASU’s Global Institute of Sustainability, said deep reductions in solar rebates off ered by utilities regulated by the Arizona Corporation Commission

may make panels look less attrac-tive to some homeowners.

For Tucson Electric Power and Arizona Public Service customers, residential solar incentives went from 75 cents per watt in 2012 to 10 cents per watt today. For a typi-cal fi ve-kilowatt system costing around $27,000, that’s a drop from $3,750 to $500.

Members of the commission said they wanted the solar indus-try to sustain itself and not have to rely so much on ratepayers.

2 APRIL 12, 2013 INSIDE TUCSON BUSINESS

REAL ESTATE POWERHOUSE

Newmark Grubb Knight Frank Tucson

Hannah CarrilloAdministrative Manager

Justin LanneManaging Director

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Bob DavisManaging Director

Scott SoelterAssociate Director

Tari Auletta, CCIMDirector

William DivitoManaging Director

Suzanne StarttProperty Manager

Jesse BlumAssociate Director

Tom HuntAssociate Director

Ron ZimmermanDirector

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NEWS

Roadmap steps up UA’s game for technology transferBy Patrick McNamaraInside Tucson Business

A little more than a year after announc-ing plans to overhaul its technology com-mercialization eff orts, the University of Ari-zona has completed a document to guide the process.

“Tech Launch Arizona: Roadmap, 2013-2018,” released by the university, charts UA’s future course for capturing more revenue from in-house developed technologies and creating more collaborations with private industry.

“When we say technology transfer, we really are talking specifi cally about helping faculty to transfer their knowledge to ben-efi t the broader society,” UA President Ann Weaver Hart said in an interview.

Hart said the traditional university ap-proach to research has been more isolated, with institutions and academics conducting research for an audience of peers. But the approach and attitude toward research has begun to change, she said, and the focus on technology transfer exemplifi es that.

Th e Roadmap document identifi es four areas of improvements in technology trans-fer by 2020:

• Intellectual property income• Number of patents issued• New companies started• Number of invention disclosures. In each category, signifi cant increases

are planned. In intellectual property revenue, for in-

stance, the university wants to see annual increases to nearly $3.5 million up from slightly less than $2 million now.

Despite the planned changes, Tech Launch Arizona Executive Director David N. Allen said the core mission of faculty will not change.

“Our teams cannot commercialize any-

thing but the best research,” Allen said. Hart agreed, adding that traditional re-

search would still make up an important function at the UA.

“We’re not setting up a situation where everyone has to have a personal interest (in technology commercialization),” Hart said, adding that some faculty members don’t work in areas that lend themselves to commercialization.

Th e Roadmap report also identifi ed the need to add more staff positions to make technology transfer more feasible and provide support to faculty.

Th e report said technology licensing managers would need to be placed in var-ious university colleges and institutes to help facilitate technology transfers.

Another way the university would seek to increase technology transfers would be to create an early stage funding plan to help spinoff companies get off the ground.

Allen said a feasibility study would

need to be conducted to determine how the funding would occur.

He said the money for the fund would probably not come from the university’s budget or tuition revenue, but from private donors and other friends of the university. He speculated the fund, tentatively called CatFund, would dole out money in small increments up to about $200,000.

Th e Roadmap plan also notes that UA traditionally has not fared well in technol-ogy commercialization.

Weaknesses identifi ed in the study in-clude: “A long history of commercializa-tion under performance and a weak pipe-line of royalty producing licenses.”

Hart said that could be the result of not placing priority on technology transfers, even though the university is known as a major source of scientifi c research.

“No one has taken it on as a major area of importance for the university,” she said.

Ann Weaver HartDavid Allen

CONTINUED ON PAGE 5

Harkins to reopen Maranamovie theaters on May 2

Harkins Th eatres has announced it will reopen the former Tower Th eatres as a 12-screen multiplex named Arizona Pavil-ions 12 on May 2.

Th e timing coincides with the release of the fi lm “Iron Man 3.”

Th is will be Harkins’ second multiplex in the Tucson region. It also operates Har-kin Tucson Spectrum 18, 5455 S. Calle Santa Cruz.

Harkins, a privately-owned company headquartered in Scottsdale, says the Ari-zona Pavilions 12 facility, 5755 W. Arizona Pavilions Drive, Marana, is in the midst of extensive remodeling in preparation for the reopening.

Tower Th eatres, which was locally-owned, closed suddenly March 28 after it was unable to come to an agreement with the property’s landlord, according to man-aging partner Kent Edwards.

Larry H. Miller keepsdealers closed on Sundays

Despite some earlier concerns, the Larry H. Miller Dealerships has decided that it won’t tamper with a long-standing tradition among Tucson new car dealers to remain closed on Sundays.

Th e Salt Lake City-based dealership group has acquired four dealerships owned by the Avondale Auto Group: Tucson Dodge Ram, 4220 E. 22nd St.; Tucson Chrysler Jeep, 7800 E. 22nd St.; Tucson Volkswagen, 900 W. Auto Mall Drive; and Tucson Fiat, 1000 W. Wetmore Road, along with three dealer-ships in Avondale.

With these latest acquisitions, Larry H. Miller Dealerships will operate 13 car deal-erships in Arizona and 55 dealerships sell-ing 19 diff erent automotive brands in seven Western states. Th e company ranks No. 10 on the Automotive News list of top 125 deal-ership groups in the country and remains so with these latest acquisitions.

After word got out of the acquisitions last month, other Tucson area dealers confi ded they anticipated their large new competi-tor might change the tradition of closing on Sundays. Currently, only AutoNation’s two new car dealerships, BMW Tucson, 855 W. Wetmore Road, and Dobbs Honda, 810 W. Wetmore Road, are open for sales on Sun-days.


NEWS

City looks to change westside development deal, postpone streetcar paymentsBy Patrick McNamaraInside Tucson Business

A 2008 deal that gave a contractor exclusive rights to develop city-owned property west of downtown appears ready to be changed, allowing for slower development and to delay its share of payment for the modern streetcar devel-opment.

With opposition only from City Coun-cilman Steve Kozachik, the council told the city manager and attorney Tuesday (April 9) to write amendments to the deal that would allow Gadsden Compa-ny to alter the development schedule for the 14-acre plot on Congress Street west of Interstate 10.

“From a city management stand-point, I think it’s a bad decision,” Koza-chik said.

Th e amendments would allow the company to develop only a portion of the next phase of the property, which was divided into phased development blocks when the city and Gadsden fi nal-ized the deal in 2008.

Gadsden wants to build on only one block of the upcoming second phase of the development and have the remain-ing blocks collapsed into the fi nal two phases.

Th e proposed second phase would include building a multi-level, multi-use building that includes underground parking, ground-level retail and aff ord-able housing in upper levels.

Gadsden has been working with the U.S. Department of Housing and Urban Development to receive funding for the project.

According to the agreement, Gads-den was supposed to purchase the sec-ond phase blocks from the city two years after the closing of the fi rst phase. Th at date is May 13.

In addition, the company wants to postpone payments to the city, required under terms of the deal, to fund a por-tion of the western end of the Sun Link modern streetcar project.

Th e original deal stipulates that Gadsden would pay $3.2 million toward construction of streetcar infrastructure prior to the May 13 date. Gadsden wants the city to allow it to pay instead by April 2014.

Kozachik also questioned that change, suggesting it could create prob-lems with the federal funding that was acquired to build the streetcar. Th e Gadsden contribution was included as part of the application for the U.S. De-

partment of Transportation grant. Councilwoman Regina Romero has

been a champion of the Gadsden project and defended the changes.

“Th e city has been sitting on this land since the 80s,” Romero said. Th e 14-acre parcel was part of a 68-acre section that the city bought in the 1980s with help from a federal Community Development Block Grant.

Romero said the agreement to build on the property was important because it came at time when few developers were in-terested in west side developments.

Gadsden and its affi liates have already built housing and retail on properties adja-cent to the land subject to the development deal.

As part of the proposed amendments, Gadsden would agree to post an additional $500,000 in performance bonds, bringing the total amount to $1 million. Th e bonds would secure that Gadsden meet its obliga-tions and the city would keep the money if the obligations under the development agreement were not met.

Th e company also would agree to com-plete Linda Avenue, which runs into the property, at a cost of nearly $500,000.

Gadsden also would agree to waive the city’s obligation under the original agree-ment to make improvements to land south of the parcels where the so-called “hole-in-the-ground” property lies.

Th e city was to bring that property up to construction grade to make fi t for develop-ment after environmental remediation oc-curred.

“I hope we never negotiate another de-velopment deal like this again,” Kozachik said.

A senior housing apartment stands on completed fi rst phase of the development. When fully built, the 14-acre property is ex-pected to have a mix of residential and re-tail developments.

Th e council is expected to vote on a fi -nalized package of amendments on May 7.

Contact reporter Patrick McNamara at

[email protected] or (520) 295-4259.

Gadsden Company has asked the City of Tucson to amend a 2008 agreement that gave it preferred developer status for the city owned property at Congress Street near Interstate 10. The company is required to pay $3.2 million toward the Sun Link streetcar project, which runs next to the property.

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Green Valley hospital stilla ‘go’ despite TMC pullout

Th e chief fi nancial backer of a planned medical center for Green Valley says the proj-ect is still a go as it looks to fi nd another co-developer to replace Tucson Medical Center, which has dropped out of the project.

Jim McDowell, principal of McDowell Enterprises, Scottsdale, whose company has lined up fi nancing of about $50 million from foreign investors, said he is forging ahead with the project. It is currently going the planning process with Pima County. Th e company ini-tially said it hoped to have it open by spring 2014 but now that now has been pushed back until summer next year, according to the ar-chitect, Swaim Associates, Tucson.

McDowell, who declined to speculate on which hospital operators might be willing to partner with his company, said securing an agreement may push the project back perhaps a couple of months but said they are “100 per-cent committed” to building the hospital.

He would not name a date for ground-breaking, but development representative Frank Th omson of Fairfi eld Homes and proj-ect engineers have been talking of site work beginning this month.

Julia Strange, a vice president with Tucson Medical Center, said the hospital’s board failed to reach terms on an agreement and dropped the project. “It was a proprietary, private busi-ness negotiation,” a board decision, she said, declining to elaborate.

A source close to the deal said TMC’s due diligence came to the conlcusion the project wouldn’t be profi table.

McCusker’s Sinfonia tobuy home nursing service

Sinfonia HealthCare Corporation, the healthcare company recently formed by Fletcher McCusker, has agreed to buy 49 per-cent of Tucson-based Assurance Home Care and Assurance Caregivers.

McCusker, former CEO of Providence Ser-vice Corporation, founded Sinfonia earlier this year.

Th e agreement provides Sinfonia with skilled nursing and companion care, as part of the company’s vision of providing a complete array of home health care services. With this agreement the company expects to hire addi-tional employees.

Assurance is certifi ed by Medicare and has contracts with the Veteran’s Administration, Aetna, Blue Cross Blue Shield of Arizona, Unit-ed Health Care, Coventry, PHCN, Carecentrix and Bridgeway.

McCusker has said his new company had planned to move quickly toward acquiring small-sized healthcare providers in the Tuc-son area, suggesting that regulations of the federal Aff ordable Care Act would be diffi cult for small providers.

Assurance, formed in 2009 by Danielle Sipe, RN, BSN, as a provider of home-based, skilled nursing and other home health related services.


John Jamotta talks about the relationship between airlines and airports at the Western Airports Conference at the Westward Look Wyndham Grand Resort and Spa on Tuesday (April 10).

NEWSBetter airline service will mean hard work for Tucson By David Hatfi eldInside Tucson Business

Th e challenge of getting an airline fl ight to some destinations from Tucson may seem like trying to fl y to the moon — and that just might be the way to look at it if you want it to get better.

At least that was a take from John Jamot-ta, vice president of network planning for Southwest Airlines, who quoted President John F. Kennedy about the commitment he made in 1961 for the U.S. to land on the moon. “We choose to go to the moon in this decade and do the other things not because they are easy, but because they are hard, because that goal will serve to organize and measure the best of our energies and skills,” Kennedy explained in a speech a year later.

In a keynote speech Wednesday to at-tendees of the Western Airports Conference at the Westward Look Wyndham Grand Re-sort and Spa, Jamotta said the partnership paradigm between airlines and airports is changing and the successful ones will serve as models.

He praised Tucson International Air-port for the work that has done to make it an example of effi ciency and referenced a meeting he had Tuesday with local leaders, telling them their challenge was to “make Tucson more successful.”

Jamotta didn’t expand beyond that statement but later, in response to a ques-tion, he said that coming out of the reces-sion, relationships between Southwest and airports is changing. He said it was outside his area but he named Dallas Love, Hous-ton Hobby and Los Angeles International airports. At each of those airports, South-west has forged a fi nancial agreement to pay for airport improvements in exchange for other benefi ts.

In another example, a real estate devel-opment company that donated land for a new airport near Panama City, Fla., agreed to cover potential losses for up to three years to get Southwest to launch service there in 2010.

And at two South Carolina airports, Charleston and Greenville-Spartanburg, lo-cal offi cials came up with temporary waiv-ers of landing fees, marketing money and agreeing to cover up to $150,000 of other

Th e university began to focus more heavily on technology transfer issues in the recent years.

In late 2011, then UA-interim president Eugene Sander announced plans to re-vamp the university’s technology transfer department.

Tech Launch Arizona was created as an umbrella organization to oversee the uni-versity’s technology commercialization, industry sponsored research and the tech-

nology parks. After a national search, UA hired Allen

in August 2012 to head Tech Launch Ari-zona. He had held a similar job at the Uni-versity of Colorado.

Allen oversees the affi liated Offi ce of Technology Transfer, Offi ce of Corporate and Business Relations and the University Research Parks. Allen reports directly to President Hart.

UA Faculty Senate also has implement-

ed new policies that place an emphasis on technology transfer and commercializa-tion. A new promotion and tenure criteria for faculty will take into account trans-lational research, technology commer-cialization and industry and community-based collaborations.

Contact reporter Patrick McNamara

at [email protected] or (520)

295-4259.

ROADMAP CONTINUED FROM PAGE 3

costs to persuade Southwest to start ser-vice.

Jamotta, who has been planning fl ight schedules for Southwest since 1987, said Tucson is an example of a city that was particularly hard hit by the dramatic drop in passengers using “short-haul” fl ights, generally 1½ hours or less. Th e industry lost 35 million short-haul fl ight customers between 2000 and 2011.

Much of that was a direct result of se-curity measures instituted after the 9/11 terrorist attacks in 2001 but Jamotta said there’s no real data showing what hap-pened to those passengers.

“I’m going to opine without data that many of those aren’t making the trips,” Jamotta said. “And those who must make them — business travelers — may be doing it by car.”

Th e unanswered question, he said, is whether the airline industry can get those passengers back. A large number of those lost customers were in California where the state is pursuing plans to connect its major population centers with high-speed rail.

As the air transport system evolves, “it’s not business as usual.” Jamotta harkened back to the earliest days of Southwest be-fore 1971 when co-founder Herb Kelleher came up with a business plan to “democ-ratize fl ying.” At the time, only 15 percent of the American public had ever fl own and

Kelleher fi gured that, priced right, South-west could be successful appealing to the other 85 percent.

In building the model of a low cost car-rier, Jamotta said Southwest developed its own culture. He said the airline is proud of the fact that it pays its employees well and in fact has the highest labor costs of any U.S. domestic airline. People who work at Southwest are invested in the airline and want it to be diff erent and successful, he said.

More than once, Jamotta said he didn’t want to be “provocative” about other air-lines when he was speaking of Southwest.

Th e conference, which was hosted by Sixel Consulting Group, was attended by representatives of nine other airlines — Alaska, American, Cape Air (also operates as United Express and Nantucket Airlines), Frontier, Great Lakes, Riverside Resort (which charters Sun Country fl ights to Laughlin, Nev.), SeaPort (operates in San Diego; Portland, Ore.; and Memphis), Sky-West and US Airways.

Attendees also included representatives from 38 airports and a major portion of the three-day event that ended Th ursday was devoted to 25-minute meetings between airport and airline offi cials.

Jamotta called the relationship between airports and airlines a partnership and said it is getting to be more the case.

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This Week’s Good News Tucson’s 4-star casino

Th e Pascua Yaqui Tribe’s Casino Del Sol Resort, 5655 W. Valencia Road, has been named a four-star hospitality establishment by Forbes Travel Guide, the fi rst time a Tuc-son casino has garnered the prestigious award.

Th e award comes as part of the guide’s 55th annual awards.

Th e Ritz-Carlton, Dove Mountain, 15000 N. Secret Springs Drive, Marana, was the only other hotel in the Tucson region to make the four-star list. And only fi ve resorts in the state made it.

The Tucson

INSIDERInsights and trends on developing andongoing Tucson regional business news.

All in 1 photo Imagine trying to assemble a reunion

of superintendents of the past 30 years. In Tucson Unifi ed School District that would be nine people — fi ve in just the last 10 years. In Flowing Wells Unifi ed School Dis-trict that would be four people and they did get together, just last weekend and Insider got a photo. Th e superintendents are, from left, Nic Clement, who is retiring in June after being superintendent since 2004; J. Robert Hendricks, 1983 to 1996; John Pedi-cone, 1998-2004; and Phil Corkill, 1996-1998. Th ere’s only one other school district in the Tucson region where a reunion photo might include fewer people: Vail where Cal-vin Baker hold’s region longevity record, 25 years at the helm.


NEWS

BANKRUPTCIESChapter 11 - Business reorganization Quanta Technologies LLC, 7620 N. Hartman Lane, Suite 186, Marana. Principal: James Christopher Jones, member manager. Estimated assets: $50,000 or less. Estimated liabilities: More than $500,000 to $1 million. Largest creditor(s): Schedule not fi ed. Case No. 4:13-bk-05391 fi led April 7. Law fi rm: C.R. Hyde

Jeegarkumar B. Amin and Trupti J. Amin, 3031 S. Sixth Ave. Principal: Jeegarkumar B. Amin and Trupti J. Amin, joint debtors. Estimated assets: $50,000 or less. Estimated liabilities: More than $50,000 to $100,000. Largest creditor(s): Schedule not fi ed. Case No. 4:13-bk-05472 fi led April 8. Law fi rm: Eric Slocum Sparks

FORECLOSURE NOTICES Defsco Limited LLC Vacant land, approximately 4.96 acres near 7800 E. Valencia Road 85747 Tax parcel: 141-07-0110 Original Principal: $220,000.00 Benefi ciary: Valencia Property Limited LLC Auction time and date: 11 a.m. July 10, 2013 Trustee: Ethan Steele, 145 S. Sixth Ave.

Integrity Development LLC 11278 N. Canada Creek Drive, Oro Valley 85737 Tax parcel: 224-06-4170 Original Principal: $125,000.00 Benefi ciary: Robert C. Middleton, Tucson, and Rosemary Middleton, Oro Valley Auction time and date: 11:30 a.m. July 11, 2013 Trustee: Jeffrey S. Katz, 2823 E. Speedway, Suite 201

Absolutely Waterproof LLC 3431 E. Cody St., 85716 Tax parcel: 122-17-0110 Original Principal: $200,000.00 Benefi ciary: Eber Charles Slaght, Burbank, Calif. Auction time and date: 10 a.m. July 2, 2013 Trustee: Craig Kaufman, Quarles & Brady, 1 S. Church Ave., Suite 1700

LIENSFederal tax liens Tenorio Escobar Inc., 4159 NW 90th Ave., Apt. 202, Coral Springs, Fla. Amount owed: $6,699.79. Daniel J. Rylander PC, 2701 E. Speedway. Amount owed: $4,655.84. Gateway West Realty Inc., 2151 W. Felicia Place. Amount owed: $5,458.66. Cattletown Steak House and John R. Kocis, 3141 E. Drexel Road. Amount owed: $12,650.23.Simmons Home Design Inc., 2201 N. Camino Principal, Suite 101. Amount owed: $8,605.35. W.J. Lang Construction Inc., PO Box 89459, 85752 (7641 N. Business Park Drive, Marana). Amount owed: $13,798.18. Kifi k LLC, 744 E. Broadway. Amount owed: $13,296.83. J&S Commercial Concrete Contractors Inc., 5820 S. Nogales Highway. Amount owed: $4,589.26. Effi cient Concrete Inc., 4921 W. Paseo De Las Colinas. Amount owed: $7,995.00. Saguaro Canyon Ranch Development Corp., 4422 N. Camino Ferreo. Amount owed: $3,984.56. Checkered Flag Construction LLC and Armando R. Rico, 2292 W. Ruthrauff Road, Unit 2. Amount owed: $3,015.23. Western Mapping Company, 3323 N. Campbell Ave. Amount owed: $8,059.96. Quanta Technologies and Christopher

PUBLIC NOTICESPublic notices of business bankruptcies, foreclosures and liens filed in Tucson or Pima County and selected filings in Phoenix. Addresses are Tucson unless otherwise noted.

Jones, 7620 N. Hartman Lane, Suite 118, Marana. Amount owed: $1,137.00. Dancing Bubbles and Handmade Arts Inc., 2004 E. Irvington Road 193. Amount owed: $4,295.86.

State liens (Liens of $1,000 or more fi led by the Arizona Department of Revenue or Arizona Department of Economic Security.)H&L Custom Painting LLC, PO Box 11271, 85734. Amount owed: $1,081.20. Carson Concrete Specialists Inc., PO Box 90685, 85752 (3475 N. Dodge Blvd.). Amount owed: $1,787.00. Smileworks and Vahid N. Hamidi DDS PC, 801 N. Wilmot Road #B1. Amount owed: $1,724.16. Savvy Salon Inc., 7355 S. Houghton Road, Suite 111. Amount owed: $1,527.67. Majestic Cleaning Service LLC, 2321 S. Double O Place. Amount owed: $1,094.89. Saigon Restaurant and Tatsu Sushi Co., 7332 N. Oracle Road. Amount owed: $1,554.17. Charlie’s Drive In Liquor and Bhagat LLC, 5451 E. Pima St. Amount owed: $1,154.56.

Mechanics liens (Security interest liens of $1,000 or more fi led by those who have supplied labor or materials for property improvements.)Norman S. Wright Co. Manufacturers Representatives, 2121 E. Magnolia St., Phoenix, against DND Neffson Co., c/o General Growth Properties, PO Box 6117905, Chicago 60661; CRGC Tucson Toby Keith’s I Love This Bar, 310 Johnny Bench Drive, Oklahoma City, Okla.; Hoyt’s Heating & Air Conditioning, PO Box 14435, Phoenix 85063; and DC Builders & Development LLC, 6263 N. Scottsdale Road, Suite 145, Scottsdale. Property: 4500 N. Oracle Road, Toby Keith’s I Love This Bar at Tucson Mall. Amount owed: $60,463.50.

Tucson Flooring Concepts, doing business as Aztec Flooring, 3990 S. Evans Blvd., against Woods E A Properties LLC, 2525 N. Country Club Road; Southwest University of Visual Arts, 2525 N. Country Club Road; and Epstein Construction LLC, 990 E. 17th St., Suite 106. Property: 2525 N. Country Club Road. Amount owed: $8,545.55.

Release of federal liens Tucson Rehabilitation Medicine Associates PC, 1921 W. Hospital DriveFamily Air LLC and James Beard, 2021 E. 12th St.Sierra Mining & Crushing LLC and Shane R. Madsen, PO Box 22110, 85734Middle Link Inc., and Keith Collea, 236 E. 30th St.Shute’s Remodeling LLC and Timothy Sean Shute, 2226 E. Winsett St.Cowboy’s Sweetheart LLC and Ellen Stateler, 4729 E. Sunrise Drive 267Valor Hospicecare LLC and Grant A. Rowe, 1860 E. River Road, Suite 200M&S Hospitality LLC and Marvin R. Dodd, 5991 S. Placita PicachoTaqueria Porfi s, 3553 S. 12th Ave. August Enterprises Inc., 2502 E. GranfordSafa Shell and Sajid M. Rana, 5502 E. 22nd St.Arizona Hydro-jetting & Plumbing Inc., 7351 E. Beverly DriveNordbrock Family Limited Partnership and Evelyn R. Nordbrock, 6642 E. Calle De San AlbertoStormwater Pollution Erosion & Sediment Control Consulting LLC and Howard Myers, 4420 E. Coronado Ridge Lane, CatalinaW Boutique LLC and Duncan Sydney, 4340 N. Campbell Ave., Suite 185PACE Electrical Construction Inc., 515 E. 24th St.Cappsco International Corp., 805 S. Park Ave.

Securaplane breaks ground on new Oro Valley facility

By Alan M. PetrilloInside Tucson Business

With a growing business supplying avi-onics products for business, commercial and military aircraft, Securaplane Tech-nologies Inc., has broken ground in Oro Val-ley’s Innovation Park on a 55,000-square-foot building it expects to occupy by the end of this year.

At its new location near the northeast corner of Tangerine Road and Innovation Park Drive Securaplane will be near phar-maceutical fi rms Sanofi and Roche Group’s Ventana Medical Systems, said Oro Valley Mayor Satish Hiremath.

“Securaplane is a welcome addition to Innovation Park, which is fast-becoming a hub for bioscience and hi-tech industries,” Hiremath said. “We’re also proud to an-nounce that Securaplane will be the fi rst business to benefi t from the town’s newly-established Economic Expansion Zone.”

Th e Oro Valley Town Council approved the zone last October as an overlay district that streamlines processes and reduces the time required to establish or expand a busi-ness in the area. Establishment of the zone was endorsed by the Greater Oro Valley Chamber of Commerce, Hiremath said.

“Th e Economic Expansion Zone allows a very aggressive, streamlined process to build large scale buildings of tens of thousands of square feet within a year to 18-month time frame,” Hiremath said. “In Securaplane’s case, this is a huge building and they would like to get it completed by the end of this year.”

Securaplane currently employs 160 peo-ple at its location in Foothills Business Park in Oro Valley. Th e company specializes in energy storage, power electronics, airborne cameras, cellular security and wireless con-

trol systems.Securaplane found istelf under some

extra government scrutiny this year as the maker of the charging system for lithi-um-ion batteries used aboard Boeing 787 Dreamliners. Th e Federal Aviation Admin-istration grounded the airliners after several reported instances of the batteries over-heating and two cases in which the batter-ies caught fi re. After tests, FAA investigators determined the charging system was not the issue.

As for the company’s plans, which were initially announced last year, continued strong market growth made it necessary for Securaplane to increase the size of its op-erations to support production programs for business jet, air transport, rotorcraft and military customers.

“Th is is an exciting time for us. Th e avia-tion industry is witnessing a period of pro-longed, favorable growth, with Securaplane beating industry trends,” said Shubhayu Chakraborty, president of Securaplane. “Th e Town of Oro Valley has fostered a spirit of partnership with Securaplane from day one, so I am confi dent that we will be able to execute this project fl awlessly.”

Securaplane expects 40 percent of the new building space will be dedicated to operations and production, 40 percent for engineering and laboratory uses, and 20 percent to sales, fi nance and administra-tion. Over the next fi ve years the company expects to have nearly 215 employees at the Innovation Park location.

Securaplane is an operating subsid-iary of Meggitt PLC, headquartered at Bournemouth Airport, United Kingdom. Th e company is known for its specialized extreme environment engineering, and is a recognized leader in aerospace, defense and energy markets.

Secu

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Securaplane offi cials and employees at the March 29 groundbreaking for the company’s new facility in Oro Valley’s Innovation Park.


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The Expo features outside displays of Heavy Equipment, Trucks & Vans, and over a 100 inside exhibitors of Material Suppliers and Companies that market Business Services.

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Looking for More Sales?


MEDIAKVOA gets ‘channel in box’to launch 2nd digital signal By David Hatfi eldInside Tucson Business

Th ere’s no bigger event for broadcasters than the National Association of Broadcast-ers show, which drew more than 90,000 attendees to Las Vegas this week, and this year drew some attention to Tucson’s KVOA 4 with word the station is launching a secondary channel called Cozi TV by the beginning of June.

Th e fact that KVOA is launching a second channel isn’t news — other Tucson stations already have them. What caused KVOA to get the attention is that it has acquired a Versio “channel-in-a-box” system made by Harris Broadcast.

It turns out “channel-in-a-box” has been a broadcast industry goal recently and the Versio has everything a station should need to launch a new broadcast-quality channel: automated master control, digital server and graphics all combined with the software necessary to keep it running.

While the gadget may be the thing that has the broadcast geeks’ attention, Tucso-nans are probably more interested in what will be on the new channel.

Cozi TV was developed by NBC for its owned stations and has been rolled out to other affi liates over the past three months. Its programming is a mix of movies and classic TV shows such as “Th e Six Million Dollar Man,” “I Spy,” “Charlie’s Angels,” “Highway to Heaven” and others, most of which were produced through Universal Studios, now part of NBCUniversal. Additionally, the channel has some original programming produced by NBC stations.

Once it launches, Tucson viewers will see Cozi TV on KVOA’s digital channel 4.2. Cox Communications has also set aside channel 84 to carry it.

Back in broadcastingBefore he was a candidate for the state

Legislature last November and before he was a consultant to the Regional Transportation Authority, David Joseph was in media as a broadcaster and now he’s back. On April 2, the Federal Communications Commission approved his company’s acquisition of TV station WPXT, the CW and Me TV affi liates in Portland, Maine.

It’s a complicated deal — these days, what isn’t? — in which Joseph’s Ironwood Commu-nications is acquiring and then spinning off the real estate that includes the station’s studios and offi ces. Meanwhile, another station in Portland, WPME, the My Network TV affi liate, is also being sold separately. Th e two Maine stations have been operating together under a shared services agreement overseen by WPXT and that will continue.

According to FCC fi lings, Joseph’s company is buying WPXT for $1.525 million and spinning off the real estate for $1.3 million. Th e second station is being acquired for $75,000 with Joseph retaining the right to acquire it later. Th e deal is expected to close by the end of this month.

Prior to being general manager at KOLD from December 1993 to May 1995, Joseph was director of sales for KTTU 18 and a pair of stations in Little Rock, Ark., that were all owned by Clear Channel Communications. Since his KOLD days he has kept his ties to broadcasting as president and owner of the CBS TV affi liate in Yuma and CEO of a company that owned three stations, the ABC, Fox and My Network TV affi liaites serving Columbia-Jeff erson City, Mo.

Joseph says he will continue to live in Tucson, though he says he’s also learning there are no easy connecting fl ights between here and Portland, Maine.

Names in newsKen Kwilosz, director of sales for Lotus

Corp.’s four Tucson radio stations, is now also the company’s general sales manager overseeing all Arizona operations, meaning the company’s TV station operations in Phoenix are now on his plate. Prior to his arrival in Tucson in January 2011, Kwilosz had been the general manager of the Phoenix TV station KPHE, which uses its digital signal to broadcast four channels of programming, two in Spanish and two in English. Lotus’ Tucson radio stations are KLPX 96.1-FM, KFMA 92.1-FM, La Caliente KCMT 102.1-FM and ESPN Deportes KTKT 990-AM.

Tim Richards, who spent 7½ years as operations manager for Clear Channel Tucson’s radio stations before heading up to Clear Channel Phoenix two years ago, was bounced last month but didn’t stay on the beach long. He walked across the street in Phoenix and has landed a job as program director for CBS-owned country station KMLE 107.9-FM. At Clear Channel Phoenix Richards had been show director for the “Johnjay and Rich Show” and in October was made program director of top 40 station KZZP.

Spring football on TVTh e promise of the Pac 12 network when it

was launched last August was that it would give us more than we’ve ever seen before of the conference’s sports events. One example of that happens Saturday when the channel will show consecutive spring football games, all live from 9:30 a.m. to 5 p.m. Th e University of Arizona Wildcats are scheduled for 1 p.m.

Contact David Hatfi eld at

dhatfi [email protected] or (520) 295-4237.

Inside Tucson Media appears weekly.


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GOOD BUSINESSPR CORNER

Look before you leap - contextcan make or break your news

Say you’re launching a new series of ads to better describe your products and services, or you’re ready to tell the world about a new community partnership your company is undertaking. You’ve spent weeks getting the announcement just right and you’re, understandably, excited.

But the launch falls fl at. It seems nobody is listening and, if they are, it feels as though they just don’t care.

What did you do wrong?Th e short answer is nothing. Because

it’s not what you DID, but what you DIDN’T do that caused the problem.

What you didn’t do is take a good hard look at what’s happening in your industry, the community, the nation and the world at the time of your launch and ask yourself, “How are these seem-ingly unrelated events going to impact me and the program or message I’m ready to release into this environment?”

In other words, what is the context that will surround my release of informa-tion? Is this week’s media climate favor-able or not? Is what is going on around us right now suffi ciently important to most people so that they will ignore my news in favor of following a breaking story or a compelling trend report, or even the results of “America’s Got Talent”?

And something else you didn’t do is think about just how your verbal and visual messaging will be perceived in light of those events. Could there be unintended consequences as a result of a real or perceived link to the news?

How about a couple of theoreti-cal examples to illustrate my point:

A charity pins its hopes for success in an upcoming fundraising drive on the involvement of a celebrity spokesperson. Th e star’s manager paints a bright picture, so it doesn’t occur to staff members at the charity to check out the gossip sheets, where troubles in the star’s personal life are looming large. On the day after your launch, the celeb checks himself into rehab. Whap! Th e public’s interest is now focused on the guy’s “personal tragedy” and your own poignant message gets lost in the shuffl e. Th is could’ve, should’ve, would’ve been avoided if only the context and consequences had been as impor-tant as the content during the planning.

Or, a certain brand of high-end vehicles has been in the news because of recent recalls. Your company sells high qual-ity automotive aftermarket accessories and, without thinking things through, you feature those accessories in your advertis-ing as they appear when installed in or on a

very classy car. It’s looking very, very good! However, if that car and the recalled vehicles are one and the same, no matter how great your products look in the ad, no matter how beautiful the car, your target

audience — car lovers — will associ-ate the product with the defects and your eff ort is likely to fall on its face.

Th e takeaway here is that even if your message is powerful, your product is cutting edge and you really worked hard to tell your tale in a way most people can understand and relate to, the events of the day got in your way — and that didn’t have to happen.

To compound the angst, it’s unlikely you will get another shot at this because you’ve lost the power of a great fi rst impression.

Sitting comfortably at your desk reading Inside Tucson Business, you’re probably thinking these mistakes are self-evident and any reasonable person would know not to do things that way. However, I can assure you missteps in identifying context and consequences occur every day, and you will see the results around you if you start to look.

I’ll leave you with this thought: A good community relations program, or a savvy marketing move or an award-winning ad doesn’t exist in a vacuum. Th e success of these business events and, in turn, the suc-cess of your business depends in large part upon whether you work hard to maintain a 360-degree view of your and your custom-ers’ world and whether you examine the context and the consequences of your actions as carefully as you choose the look and feel of your collateral materials.

Do it — and you’ll be glad you did!

Contact Jodi Horton, founder and

president of Ideas @ Work Inc., at (520)

740-1749. Horton is accredited in public

relations (APR) and a member of the Public

Relations Society of America’s College of

Fellows. Th is monthly column is prepared by

members of the PRSA Southern Arizona

Chapter.

JODI HORTON


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Join the Tucson Metro Chamber today.Phone (520) 792-1212 or visit TucsonChamber.org.

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SMALL BUSINESSSMALL BUSINESS

Collaboration actually works and is essential for small businesses

One of the character traits of successful business professionals is that competitive nature where winning is measured by market share and outperforming the competition. We learn to be competitive at an early age by playing sports and getting good grades in school. Th at prepared us for a future in business. Perhaps we were accused of not always playing nice in the sandbox, but winning was as important then as it is in business today. Collabora-tion was something that was introduced to us later by a mentor, boss or business coach.

In the last decade it seems as if collabo-ration has become more as a buzzword than a strategy or good business practice. Previously, collaboration was an internal practice to help a team better communi-cate and perform at a higher level. Collabo-ration is now being viewed more widely and from an external perspective as well.

Collaboration has taken on a new mean-ing and is becoming essential in today’s business climate, especially for small businesses. We are seeing a shift towards businesses seeking collaborative opportu-nities to work with others, including their own competitors. More often than not, this allows small businesses to better position themselves to compete with their larger, national counterparts.

Th is is quite the change from the competitive nature we developed early on that would have discouraged collaborating with others, especially competitors.

So what would motivate competitors to come together and share resources? Let’s begin with survival. In the last decade, there has been an increase in size and clout of professional trade associations in Arizona. Th e primary motivation has been political. Many come together when they see their industry under attack by proposed increased regulation that would cut into their thin profi t margins and possibly put them out of business.

Instead of advocating individually for their businesses, leaders bring more clout by presenting a unifi ed front and advocat-ing for their industry. Th ey might share the cost of a lobbyist and new research to counter the arguments of their opponents.

Another motivation is purchasing power. And this is huge. If your profession is governed by a licensing body, continu-ous training might be necessary to main-tain a license. Instead of traveling out of

state to receive training, competi-tors are pooling their resources and bringing the training in, reducing travel costs and time away from their business.

We have all seen examples of

tenants in retail centers increase their purchasing power by combining their marketing dollars to promote their center as a destination. Th ere may even be competing businesses in the same center, but they understand the value and long-term benefi t of increased traffi c. Th is might include sharing the cost of market research to determine which advertising options help them get the most for their marketing dollars.

Finally, there is the incentive of commu-nity building, which is perhaps where we have seen the greatest benefi ts of collabo-ration.

Th ere is no better example of the power of collaboration than what is happening in downtown Tucson, despite a lack of leadership from the public sector. Down-town Tucson is once again thriving and is getting better because business owners and customers alike have taken ownership of it and committed to rebuilding it.

Individuals have stepped up to provide exceptional leadership, but no one person or group could do it alone. Th e collabora-tive eff orts of many have been the driving force.

Today’s business climate is fast-paced and perpetually changing. Collaboration is no longer a buzzword but a proven business practice that is essential to all of us and delivers results.

Jerry Bustamante is senior vice president of public policy and oversees the Southern Arizona offi ce of the Arizona Small Business Association, 4811 E. Grant Road, Suite 262, in Crossroads Festival,

(520) 327-0222.

JERRY BUSTAMANTE


To the 2013 Celebrating Innovation in the Workplace Award Winners:

I would like to add my congratulations and appreciation to each one of the winners of the Innovation Awards program for the work they do each day. Their efforts and professional accomplishments not only impact their organization and the community, but enhance the profi le of HR and profes-sional business communities in Southern Arizona. This level of professional effort and personal commitment attracts and retains both businesses and professionals to Southern Arizona.

Innovation is a word we hear a lot these days. But more than a word, it refl ects a way of thinking and addressing the daily challenges we face. Not just doing the work, or fi xing the problem, but redesigning, advancing and fi nding a new way of doing things. It’s easier to keep doing things the same way, not to take the extra effort to change a process, a program or activi-ties in your organization. But these individuals and organization did make that extra effort, that commitment to change and make an impact. The Celebrating Innovation in the Workplace program was structured to identify

and recognize these people who work towards the future and impact the community. She joined me in recognizing and thanking Jennifer DeLaix and Sandra Riggins for their work as co-chairs of the CIW committee.

As SHRM-GT President this year, I have the honor of working with a board of innovative contributors. Not satisfi ed with the same recognition program, they recognized that innovation is the key to the future and developed a program that identifi ed and recognized individuals and organization that took the leap to make a difference through innovative leadership, technol-ogy advances, diversity and inclusion programs, leadership and commu-nity impact.

To the winners, I hope the weeks since the event have been a time for you to refl ect and enjoy the recognition that you received on that day and from your colleagues. Thank you for the work you do, and the opportunity we have had to share your work with the greater Tucson community.

Ann Berkman, PHR; President

Congratulations2013 Celebrating Innovation in the Workplace Award Winners

Attorneys from Lewis and Roca's Employment Law practice group will present this full-day seminar on hot topics in employment law, including:

• Update on Employment-Related Laws/Statutes• Workplace Violence Prevention Strategies (presented by Deb Carr of Jorgensen Brooks Group)• Top 10 Issues in Employee Benefi ts• Avoiding Pitfalls in the Expanding Area of Gender Norms• The ADEA, Systematic Discrimination and other EEOC-related Hot Topics

The Lunchtime Program will feature our substance-based FUN game show, and a Q&A session will conclude the seminar day.

SHRM of Greater Tucson in conjunction with Lewis and Roca, LLP Present

S P E C I A L A D V E R T I S I N G S U P P L E M E N T

Pamela Jett Ann BerkmanSandra Riggins and Jennifer DeLaix

How to Register: Online: www.shrmgt.org Phone: (520)299-6787Cost for SHRM members: $85 Cost for Non-SHRM members $160

Registration includes: Continental Breakfast, Lunch and workshop materials. Must be registered by 4/12/13

Tuesday, April 16, 20139:00 am - 4:00 pm (Registration begins at 8:15 am)Doubletree Reid Park, 445 S Alvernon, Tucson, AZ 85711

2013 Annual Employment Law Update Seminar


SANDRA ABBEY, with the Tucson Airport Author-ity, and her team created and Organizational Devel-opment Function in the Human Resources depart-ment. This new HR focus is in alignment with TAA’s guiding principles, Commitment to People. By re-evaluating workfl ows and working smarter, the TAA HR department was able to prioritize leadership and organizational development. In partnership with Pima Community College, TAA was able to create a Leadership Academy as well as initiating an airport specifi c certifi cation study group. Sandra and her team are currently completing the development of a new mentoring program. Sandra is very proud of the HR team’s accomplishments, and their contribu-tions in implementing the Tucson Airport Authority mission, vision, and guiding principles. Sandra re-ceived the Innovation Award for the innovation prac-tices she implemented with her team at TAA.

DAVID DOWLING, of IBM, is a volunteer facilitator for the SHRM-GT Study Group which assists local professionals obtain HR Certifi cation. He holds both PHR and GPHR certifi cation which lends to his credibility for the sessions that he facilitates. He gives the study group practical examples of how to study for the exam which leads to a high pass rate. He provides candid feedback to the group remind-ing them that their end goal is to pass the exam. He encourages networking amongst the group es-pecially those that are seeking employment and has connected with most people on Linked-In to help build their professional networks. Through David’s encouragement and that of the other SHRM-GT vol-unteer facilitators, the SHRM-GT Study Group has a pass rate above the national average. David re-ceived the Innovation Award for his dedication to

the HR profession and the community leadership he provides.

KATE GOLDMAN, from The Offshore Group, has a passion for improving awareness and understanding of diversity and inclusion for her company and her community. She has created and shared with her organization and other organizations in the commu-nity various training programs where participants:a. Understand more deeply the role Diversity plays in our workplace/community; b. Identify why and where their views have been shaped, simultaneous-ly increasing sensitivity to others, and c. Reinforce diversity and inclusion as a critical component of a healthy workplace/community environment. Kate has also coached various members of manage-ment and staff on how to avoid micro aggressions during interviews and when hiring. There has been a dramatic drop in complaints regarding micro ag-gressions since she delivered training. The Inno-vation Award was granted to Kate for her accom-plishments in raising awareness of diversity and inclusion topics.

DIANE-MARIE LANDSINGER of Pima Community College says “The transition from military to civilian and student to worker can be a daunting task, and the commitment of PCC to the community and vol-unteer partnerships is key to our success.” Diane-Marie, assistant program manager at the Downtown Campus, embodies the networking spirit and co-sponsors community events that connect non-profi t groups with the general community and students. For example, Diane-Marie currently partners with La Frontera Arizona and Rally Point Tucson to sponsor a volunteer program - peer-to-peer advocacy train-

ing to assist in the identifi cation of mental health and suicide prevention issues. Diane-Marie’s con-tinued commitment to developing best practices for reaching student veterans to ensure success in school and the workforce is why she was awarded the Innovation Award.

HANNAH LOZON, of the University of Arizona Residence Life, has focused her career on pushing students, colleagues and departments on thinking about privilege and oppression in their lives and their role in dismantling those systems. In her role, Han-nah has implemented a bias response protocol for the University of Arizona’s 23 residence halls; began a 16 hour training series on oppression, developed a Intergroup Dialogue program that brings students together for a credit bearing class to learn dialogue skills across difference; overhauled our staff re-sources “a video project” and created a program fa-cilitation guide database which is used at campuses across the nation. For her work on diversity and inclusion, Hannah received the Innovation Award.

KIM MURRAY & BRENDA SCHEMEL with Uni-versal Avionics Systems Corporation, provide op-portunities for their employees to have active roles in the community through participating in charitable events such as community food drives and toy drives, as well as business partnerships with local schools. Universal Avionics partnerships with lo-cal educational entities not only provide benefi ts to their existing employees, but also allow them to help equip students with knowledge about our business and industry who may become future employees to our organization. Kim and Brenda share this Innova-tion Award for creating programs that benefi t the

community while creating a recruiting pipeline.

STEPHANIE PELLA, from the Town of Oro Valley, developed an approach to provide an assessment to determine how to create an innovative and engaging organization. Stephanie implemented an employee satisfaction survey which was transparent to allevi-ate misperceptions and build trust in the organiza-tion. Since the employee satisfaction survey was completed, employees have realized a cost of living increase, additional medical benefi t options, revised grievance and discipline procedures providing con-sistency and fairness, new performance evaluation rating scale and enriched methods of communica-tion. Stephanie received this Innovation Award for understanding and utilizing feedback to implement real and meaningful programs.

HILDA SLANINA with Xeridiem made it her mission to help bridge Xeridiem’s two culture gap by promot-ing and integrating the company core values; Integ-rity, Respect, Optimize, Accountability and Fun, into all aspects of the business. She incorporating them into their interview questions, added them to the performance appraisals, and had them displayed in every conference room and break room, every em-ployee, visitor or customer knows those values are the foundation to teamwork and success. Hilda im-plemented lunch and learn programs for employees to gain training on various topics including people skills and project management. Through this pro-gram and others, Hilda was able to prove that the core values are the foundation that helped bridge the gap that was once there. Hilda received this Innovation Award for her innovative culture change initiatives.

INNOVATION – bringing something new to the table is what Human Resources is all about. Creating a culture of employee engagement and driving profi tability require us to challenge ourselves and our colleagues. Each of our Innovation Award winners do this in their organizations every day. Their stories are inspiring. SHRM-GT is excited to announce our 2013 Innovation Award winners:

Individual Innovation Award Recipients:

ARIZONA’S GENERATION & TRANSMISSION COOPERATIVES’ HR department volunteers at lo-cal high schools to provide “Launch into Life”, an active, hands-on learning activity which gives teens the opportunity to explore career opportunities and make lifestyle and budget choices similar to those adults face on a daily basis. The four highlights of the program are Money Management, Soft Skills for Employment, Skill Assessments, and Pathways to Good Jobs in the community. Arizona’s Generation & Transmission Cooperatives’ also has an “Intro to Utility” college course. They have hired student from both programs, helping their community as well as getting well qualifi ed candidates. These program foster a sense of pride for their employees and their community. Congratulations on your innovative pro-grams and your Innovation Award.

COX COMMUNICATIONS has a strong sense of Community and focuses many campaigns on giv-ing back to Tucson. Through their charitable giving campaigns, employees give money and time to lo-

cal charities. As part of supporting their community, Cox supports a variety of diversity measures. To Cox diversity means understanding the perspectives, needs and priorities of all people and working to include and represent them in our business. In Tuc-son, Cox Communications engages the community by promoting and actively recruiting talent for open positions in the Tucson area. They do this by attend-ing local job fairs and community outreach events. Their efforts are highly focused on increasing diver-sity in the workforce. Evidence of their success is apparent by their increasing attendance at diversity focused events such as Hiring Our Heroes Job Fair and Disability Rehabilitation Employment Awareness Month Job Fair. Cox Communications’ strong focus on community is the reason they received the 2012 Innovation Award.

By giving their employees opportunities to give back to their communities, LAZYDAYS is creating a cul-ture of engagement and a strong sense of affi liation. Lazydays employees have volunteered to perform

renovations, maintenance, painting, and cleaning of facilities of Open Inn and Emerge! Included were roof resealing, exterior painting, ceiling tile replace-ment, furniture reconditioning, offi ce furniture installa-tion, and outdoor canopy installation. In addition, the Foundation provided back-to-school gift certifi cates and holiday gift certifi cates to the three partner or-ganizations, has sponsored the Pima County Sheriff Department’s program offering free child car seats to those in need. These programs allow employees to contribute to their communities. Lazydays received the 2012 Innovation Award for their commitment to their employees and our community.

SYNCARDIA, the world’s only FDA approved manu-facturer of the Total Artifi cial Heart understands the importance of hiring smart – the right people with the right skills. Throughout 2012, SynCardia gave tours and presentations to local high school and college students to encourage careers in the biotech fi eld, support workforce needs and take advantage of local talent. As a result, SynCardia employed three interns

from the University of Arizona and one intern from ASU. This “grow your own” strategy is paying off for Syncardia, while encouraging local youth to consider careers in the biotech industry. Congratulations on your Innovation Award.

TUCSON AIRPORT AUTHORITY’S innovative on-boarding process includes a brand new employee orientation program with process to ensure the fol-lowing - Before the fi rst day (e.g., Department se-cures space and equipment, develop goals), First day Onboarding (e.g., required forms and docu-ments, Employee Handbook- Corporate Philosophy, Benefi ts, Schedule, Employment Practices, Conduct Standards, Safety, Department Orientation (Check-list provided to ensure key topics are addressed) and within 90 Days: Two Day Orientation – a whirlwind tour of the Tucson Airport Authority (TAA). The feed-back on this program and other new programs has been excellent and has had a unifying impact on the organization. For these efforts, TAA received the In-novation Award.

Company Innovation Award Recipients:


AZ TRANSMISSION TUCSON AIRPORTSYNCARDIACOX COMMUNICATIONS


Thank YouSHRM-GT would like to thank all of our sponsors:

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LAZYDAYS


SHRM GT OFFICERS AND DIRECTORS:

2013 CELEBRATING INNOVATION IN THE WORKPLACE COMMITTEE MEMBERS:

Jennifer de Laix, co-chairSandra Riggins, co-chairJeanie Merideth, Executive DirectorJill A’HearnAnn BerkmanKitty BogyRhonda ChaneyDanielle DuarteRebecca FuentesTrish KordasBillie MoyleJanet Rico Uhrig

LeAnne Shireman

Ann Berkman, PHR; PresidentGarrett Kowalewsk; President Elect/Membership ChairTrish Kordas; Vice President/Programs & HRCI ChairChris Dominiak, PHR; Secretary/TreasurerJennifer de Laix, SPHR; Immediate Past President/Celebrating Innovations Co-ChairSandra Riggins, PHR; Celebrating Innovations Co-ChairLisa Rains, PHR; Legislative Co-ChairBonnie Mattes, SPHR; Legislative Co-ChairJill O’Rourke, PHR; Professional Development ChairMary Keysor, PHR; Future Workforce Development ChairJanet Rico Uhrig, SPHR; Diversity & Inclusion ChairKeli Brinke; Leadership Development Chair


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TOURISM IN TUCSON

Th e secret to keeping visitors coming back: local businesses Last year, we welcomed more than 37

million travelers from all over the globe to the Grand Canyon State. It is estimated those visitors spent about $50 million every single day in Arizona. Th at is a huge boost to our economy, as tourism is the second largest industry in Arizona. If you were to ask tourists where they are spending these dollars, they would surely tell you they are patronizing local businesses, neighbor-hood restaurants and bars, independent hotels and bed-and-breakfasts, local boutiques and retailers, nearby theaters and museums, plus the other unique experiences Arizona and the Tucson region have to off er.

Th ese tourists are not traveling all the way to Arizona to experience the exact same types of stores they have access to at home. No, they are coming here to have an Arizona experience. Th e quality of any traveler’s trip depends directly on the businesses they choose to visit for dining, lodging, touring, and entertainment.

Th ese travelers want to stroll down Fourth Avenue and pop in the eclectic stores for a unique souvenir to take home. Th ey want to build memories with their families at institutions like the Children’s Museum Tucson and the Mini Time Machine Museum of Miniatures. Th ey want to spend the evening listening to live music at Club Congress or at the Tucson Sym-phony Orchestra.

Th ese are the experiences visitors will seek out, and what our local businesses gladly off er.

Local businesses off er travelers a personal experience as well as a glimpse into a new and diff erent culture. Th ere is no other place in the world like Tucson, Arizona. It is a city with a small town feel where shop owners are also baseball coaches and musicians. It has distinct neighborhoods refl ecting the city’s long history; its arts community; its Mexican-American and Native-American culture; its emerging tech community and so much more.

Local businesses such as the Mexican folk art shop, the artist-run boutique, and the urban bistro sourcing local produce bring that uniqueness to visitors helping them become familiar with how special Arizona is.

Travelers can choose to experience the college town atmosphere at the bars and restaurants surrounding the University of Arizona, or they can delve into the heritage of the region by touring the adapted historic buildings that are now home to local businesses.

Finally, local businesses keep visitors coming back for more. Whether it is the to-die-for mole from Little Cafe Poca Cosa,

or that adorable room at the Adobe Rose Inn, these exclusively Arizona experi-ences cannot be found anywhere else and will have travelers return-ing year after year.

It’s the return visitor who keeps our communities vital because of the dollars recirculating throughout the local economy creating Tucson jobs and supporting local schools.

Local businesses are thus a signifi cant part of any traveler’s excursion. So those of us who are lucky enough to live near these fantastic shops, restaurants, museums, tour providers, and others should do our part to support them while at home. By supporting local businesses at home, up to four times

DEANNA CHEVAS

TOURISM

more money stays and circulates through the local economy to further support these businesses and the community overall.

In turn, these vibrant communities and strong local businesses will keep travelers happy, ultimately turning them into return guests, bringing more money in to support Tucson and Arizona.

National Travel and Tourism Week, the annual salute to travel and tourism in America, is May 4-12. Take time to refl ect on the local businesses that are your favorites and that make Tucson such a great destination for travelers. Th en the next time you see an out-of-towner, share your “locals-only” secrets with him or her. Or check out and share a Tucson Small Wonders Map, available at the Tucson Visitors Center, across the state and online at LocalFirstAZ.com. Chances are you will help create a memorable experience for that visitor who will want to return.

National Travel and Tourism Week is

also a great time to consider exploring other parts of our home state. From the wine trails of Sonoita, Willcox, and the Verde Valley to antiquing in Globe and Bisbee, Arizona is full of charming cities and towns that have many unique experi-ences to off er.

Consider a “staycation” in Arizona for your next family vacation, anniversary celebration, or weekend getaway, as you will be pleasantly surprised by what our state has to off er.

Deanna Chevas, Tucson Manager for

Local First Arizona, a non-profi t working to

strengthen communities and local economies

through supporting, maintaining, and

celebrating locally owned businesses

throughout the state. Its website is local-

fi rstaz.com .

National Travel and Tourism Week is May 4-12.


306 N Alvernon WayLodgeOnTheDesert.com

877.498.6776

A Tucson Classic.A Tucson Classic.

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BRIEFSGET ON THE LIST

Next up: Defense contractorsResearch is underway gathering data for

Inside Tucson Business’ 2014 Book of Lists. Upcoming lists are: • April 19: Architectural fi rms, Interior

design fi rms, Engineering fi rms• April 26: Landscape architects, Swim-

ming pool builders • May 3: Defense contractors • May 10: Electrical contractors, Me-

chanical contractors, Plumbing contractors • May 17: Internet service providers,

Website designers, Computer hardware re-tailers, Software companies

If your business has been on a previous list in any of these categories, look for an email from Jeanne Bennett, List researcher for Inside Tucson Business, with details on how to update your profi le. If you would like to add your business to one of these lists, go to www.InsideTucsonBusiness.com and click the Book of Lists tab at the top of the page to create a profi le.

TRANSPORTATION

Ryan Airfield tower stays open — for now

At the last-minute the Federal Aviation Administration (FAA) decided to delay the closure of 149 airport control towers includ-ing Ryan Airfi eld, 9698 W. Ajo Way, which was due to be shut down at 8 p.m. April 7.

Th e Tucson Airport Authority (TAA), which runs Ryan Airfi eld, said the FAA de-cided to delay the closures to June 15 to give the agency additional time to respond to legal challenges and allow airports and the FAA more time time plan and execute changes to the National Airspace System.

Since the closure plans were announced March 22, TAA has been trying to persuade the FAA to reverse its decision to close Ryan’s air traffi c control tower arguing it provides signifi cant safety and economic benefi ts to Southern Arizona. Th e eff orts, however, stopped short of fi ling a legal challenge.

FINANCIAL

FDIC shuts down bankin Pinal County

First Scottsdale Bank, which is in the process of acquiring Tucson-based Com-merce Bank of Arizona, this week took over all deposits and nearly all of the assets of Gold Canyon Bank, which was shut down and taken over April 5 by the Federal De-posit Insurance Corp.

As receiver for Gold Canyon Bank, the FDIC named First Scottsdale as the winning bidder to take over the failed bank’s assets.

Th e failed bank was headquartered in Gold Canyon, near Apache Junction in Pi-nal County, and had a branch in Peoria. Th e

banks reopened Monday as First Scottsdale Bank.

When First Scottsdale Bank’s $8.6 mil-lion acquisition of Commerce Bank goes through sometime this summer, all of the banks will assume the name Commerce Bank.

“Th e acquisition of Gold Canyon Bank expands our ability to serve the banking needs of clients throughout the state, and represents another important step toward our goal of becoming the premier commu-nity banking franchise in Arizona,” said Rich Vogel, chairman and CEO of First Scottsdale.

Gold Canyon was the fi rst Arizona bank failure since December 2011 and the 14th Arizona-based bank to fail since Oct. 1, 2000, according to the FDIC.

GOVERNMENT

Not ready to file taxes?IRS has form for extension

Residents who haven’t fi nished fi lling out their 2012 income tax returns can get an auto-matic six-month extension by fi lling out Form 4868 through the Free File link on IRS.gov. In a short time anyone, regardless of income, can use the free service to electronically request an automatic tax-fi ling extension.

Filing this form gives taxpayers until Oct. 15 to fi le a return. To get the extension, tax-payers must estimate their tax liability on the form and pay any amount due. Com-plete details on all fi ling and payment op-tions are at IRS.gov.

EDUCATION/RESEARCH

UA’s Eller MBA program moves up in rankings

Th e University of Arizona’s Eller Col-lege of Management graduate program has moved up 13 notches to be ranked No. 44 this year by U.S. News & World Report.

Th is is the second consecutive year, the program has moved up in the rankins. Last year, the Eller program was named an MBA Program on the Rise by the publication.

ASSOCIATIONS

Realtors tap Yohem forcommunications director

Th e Tucson Association of Realtors has named Roger Yohem, writer and columnist for Inside Tucson Business, to fi ll its newly created position of director of communica-tions, eff ective Monday (April 15).

Yohem brings 25 years of experience in communications, public relations, mar-keting, special event, and news media background to the 4,500-member associa-tion.

Prior to joining Inside Tucson Business in 2009, Yohem had been a vice president and


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communications director for the South-ern Arizona Home Builders Association and public information director for Tucson Electric Power.

“Hiring a top-level candidate with Roger’s unique and proven skill set will be of great benefi t to our association. He has proven profi ciency in three key areas: prior experi-ence with a trade association, successful cor-porate-style communications, and knowl-edge of the news business as a reporter,” said Philip Tedesco, chief executive offi cer of the Realtors. “Th at distinctive combination of ex-perience is what drew our attention to him.”

Yohem will be responsible for develop-ing and directing a comprehensive strategy for the association’s internal and external communications.

CIVIC

Greater Tucson Leadershipseeks leadership candidates

Tuesday (April 16) is the deadline for ap-plications for Greater Tucson Leadership’s 2013-2014 civic leadership program. Each participant is committed to developing stronger leadership skills and becoming an agent of change in the workplace and larger community.

Over 10 months, class members spend one Friday per month focused on individual issues, as well as an opening retreat and call to action session. Issue days include top-ics such as government, border, environ-ment, economic development, education, healthcare, arts and culture, criminal jus-tice and media. GTL has over 900 graduates throughout the region.

Applications are online at greatertucsonleadership.org/class or through the Greater Tucson Leadership offi ce, 465 W. St. Mary’s Road. Th e deadline for submissions is 5 p.m. Tuesday. Questions about the program can be answered by email at [email protected] or (520) 792-2250, ext. 140.

IN MEMORIAM

Attorney Richard Granddies suddenly at age 83

Tucson attorney Richard D. Grand, 83, who was nationally recognized for his suc-cess as a plaintiff ’s trial lawyer, died sud-denly April 7 of natural causes.

Grand was the founder of the Inner Circle of Advocates, a group of plaintiff s’ at-torneys called by the National Law Journal, “the elite of the plaintiff s’ bar.”

Upon its founding, Grand said the Inner Circle was designed to be a think tank for “the most qualifi ed legal brain trust in the USA.” It was formed as an attempt to level the playing fi eld between the average con-sumer and the enormous resources of the insurance industry, the auto industry, the tobacco industry, and the pharmaceutical

industry, among others.Th e invitation-only group, currently lim-

ited to 100 members, has included such well known lawyers as Joe Jamail, John Edwards, the late Johnie Cochran, Moe Levine and Court of Appeals Justice, Jack Fuchsberg.

Th e initial meeting of the Inner Circle of Advocates was held in San Francisco in 1972. Grand invited only those lawyers who had obtained jury verdicts in excess of $1 million. Th ere were a total of 11 in the na-tion. Grand had received a jury verdict of

$3.5 million which was the largest in the United States at that time for a single inju-ry. On more than 100 occasions after that Grand obtained either a verdict or settle-ment in excess of $1 million.

Grand was born in what was then the independent nation of Danzig in 1930. He came to New York with his parents in 1939, just before the Nazis entered his homeland. He earned his undergraduate degree from New York University and then, in 1958, his law degree from the University of Arizona

College of Law. He began his practice as a Deputy County Attorney in 1958.

Grand is survived by his wife, Marcia and daughter, Cindy. He and Marcia were married six months after they met in 1952, a year after he moved to Tucson.

Sinai Chapel, San Francisco, is handling funeral arrangements. In lieu of fl owers, do-nations may be made to the College of Art at the University of Arizona.

BRIEFS


PROFILE

From pasture to product, UA Meat Sciences Lab off ers students — and Tucsonans — a unique opportunityBy Lee AllenInside Tucson Business

From animals grazing in the fi eld to those hanging in the meat locker, a group of University of Arizona agriculture students are getting the full livestock experience.

A cadre of graduate and independent study collegians are learning fi rst-hand about the life of a rancher by getting real mud on their boots at the UA’s Meat Sciences Lab where they get involved in management of cattle herds. And because the lab is approved by the Food and Drug Administration (FDA) as a harvester and processor of all meat animal species, the students staff what is believed to be the only weekly student-run sale of meat products in the U.S.

Th e store is open for just three hours each Friday afternoon on the UA farm on North Campbell Avenue.

“While students work alongside experienced meat cutters in preparation of product, I developed the program to allow them to gain business experience,” says Meat Scientist John Marchello.

Calling it a win-win-win — for students, consumers, and the laboratory — Marchel-lo says, “We’ve seen a tremendous growth in sales over the past three years. Th is weekly event helps us move product in volume and pretty much whatever we put in the freezer case on Friday sells out. Th ere’s usually no leftovers.”

During a recent Friday afternoon visit, ox tail was the specialty item of the day although packaged products range from both grain-fed and grass-fed beef in all cuts to deer, elk, buff alo, pork, and sometimes, emu.

“We have a large inventory of every retail cut you’d fi nd in a grocery store as

well as some you might not see as often,” says student meat sale manager Kevin Whitehurst. “Although we always sell a lot of hamburger, our biggest seller is New York strip and rib eye steaks — we generally run out of those every week.”

Whitehurst says the students like the experience, which explains why they’re almost always smiling.

“Another thing that makes us cool is we regularly carry 100 percent naturally organic free-range Arizona grass-fed beef that is not often found in grocery meat markets.”

Marchello says the 50 to 75 customers who come by the sales buy between $1,500 and $3,000 worth of product every week.

“Our sales increased 200 percent last year,” adds Whitehurst.

He explains that everything is done in-house. “When we sell grass-fed beef, we bring the animal in and own it from the start to the end. Everything is done within 24 hours prior to the sale so our steaks are fresh cut and vacuum packaged. While grocery stores use CO2 in their packaging to keep the meats natural color, ours is still fresh and will last longer in the refrigerator at home.”

Michael McKisson, who described himself as a semi-regular customer, said, “I’m not so sure I want to see an article about the meat sale because I don’t want to stand in line longer. I want this to be my little secret.”

Among fi rst-time customers were Barbara and Don Th omas, a couple visiting from Canada. “We plan to eat well tomor-row,” Barbara said.

Tucsonan Constance Singleton and her two daughters were also new. “We always see the sale sign on the way to the mall, but we haven’t stopped before. Today we’ll take home a pork roast and stick it in the oven so it’s ready to eat when we come home from church.”

Availability of all cuts is not guaranteed each week, but when the freezers are full customers can fi nd just about everything from bone-in to boneless steaks, oven-ready rib roasts, barbecue chuck ribs, whole brisket, and an olio of porterhouse, T-bone, New York Strip, sirloin tip, tri-tip and fl ank steak.

“If you want something to put in the oven or on the grill for supper, better get there early when the doors open at 3 p.m. because these animal science students are really becoming adroit at selling to the pub-lic and we tend to run out of product before we run out of public,” Marchello says.

Marchello sa s the 50 to 75 c stomers

BIZ FACTS

University of Arizona Meat Labccgameats.com/store.html(520) 318-7021Sale hours 3-6 p.m. Fridays4181 N. Campbell Ave. (enter the UA Farm off Roger Road west of Campbell Avenue, drive toward the silos, turn right at the T-intersection and follow the road as it curves to the left. A parking lot is to the right of the road.)

Lee

Alle

n

John Marchello of the UA MeatScience Lab.

PEOPLE IN ACTION

To announce a professional promotion, appointment, election, new hire or other company personnel actions, fax press releases to (520) 295-4071, Attention: People; or email submissions to [email protected]. Include an attached photo at 300 dpi.

{YOUR NAME HERE}NEW HIRES

Carondelet Foundation has hired Jessica Galow to serve as the organization’s corporate and foundation development offi cer. In her new role, Galow will

PROMOTIONS

The Tucson Airport Authority has promoted Danette Bewley, A.A.E., to senior director of operations and maintenance. Her role is to ensure compliance with federal regulations and maintain emergency preparedness at both Tucson International Airport and Ryan Airfi eld. Bewley joined TAA in June 2012 as director of operations. She has a bachelor’s degree and two master’s degrees from National University in San Diego. Bewley

previously held the director position at Jacksonville International Airport and worked at San Diego International Airport in several capacities over a 14-year period.

Lisa Lorenson, CPRW, has been promoted to director of client services/outplacement marketing at Professional Development Strategies. She has years of experience in outplacement and coaching to provide PDS clients with strong career advancement tools, increased confi dence and marketing strategies to successfully progress in their careers.

develop and strengthen relationships with the business community throughout Southern Arizona. In addition, she will assist with the Foundation’s overall development operation. Galow was

previously fund development manager at the Girl Scouts of Southern Arizona. Galow holds a bachelor of science in entrepreneurship and business management from the University of Arizona Eller College of Management.

La Paloma Country Club has hired Mark Polich as director of instruction. Polich will oversee all instruction programs at La Paloma, individual and group lessons for members, private instruction and corporate clinics for resort guests. He will also develop the skills of the club’s

current staff of instructors.The Westin La Paloma

Resort and Spa has hired Ty Crandall as business travel and leisure sales manager. Crandall will promote the resort and Tucson to a network of contacts in the leisure travel corporate, wholesale and agency communities. Before joining Westin La Paloma, Crandall worked as leisure sales manager and a variety of managerial roles at the Sanctuary Camelback Mountain resort in Paradise Valley. Crandall earned a BS in communication from Arizona State University.

DANETTE BEWLEY JESSICA GALOW LISA LORENSON MARK POLICH TY CRANDALL


Th e John Jorgenson Quintet, led by its namesake gypsy jazz musician and former member of the Desert Rose Band, will perform in an inaugural concert event tonight and Saturday in the intimate 300-seat Warden Oasis Th eater at the Arizona-Sonora Desert Museum, 2021 N. Kinney Road. A highlight of the performances will be a new song Jorgenson created celebrating the museum’s Oasis Project, a program designed to develop sustaining relation-ships between the Desert Museum and artists connecting new audiences to the conserva-tion mission.

Th e quintet’s concerts begin at 6 p.m. tonight and Saturday and will be recorded for a DVD project with proceeds going in part to the Desert Museum. Regular tickets for the concerts are priced at $65 each, with discounts for Desert Museum members and packages priced up to $200 each that include extras such as a post-concert party and a year’s membership in the museum.

Buy tickets online at oasisproject.desertmuseum.org.

‘Local Geniuses’Th e Museum of Contemporary Art

(MOCA), 265 S. Church Ave., recognizes its newest class of “Local Geniuses” with a gala event at 6 tonight that starts at the Leo Rich Th eater in the Tucson Convention Center complex, 260 S. Church Ave., then moves across the street to the museum.

Being honored tonight are evolutionary biologist Anna Dornhaus, architect Rick Joy, ecologist Gary Nabhan, bioanthro-

pologist Peter Warshall and legal scholar Robert A. Williams Jr.

MOCA says the awards are inspired by the ancient Roman concept of genius loci,

or “spirit of place,” honoring visionary and innovative Tucsonans whose activities have a global impact, and whose talents have been internationally recognized.

Tickets are $200 each, or $250 for premium seating if they’re still available. Buy them online at www.moca-tucson.org.

FilmFilms of note coming out this

weekend at multiplexes include the latest from “127 Hours” and “Slumdog Millionaire” director Danny Boyle called “Trance,” which traces an art heist gone wrong due to a head injury. Other features include Hollywood’s latest version of baseball groundbreaker Jackie Robinson’s story, “42,” the drama “Th e Place Beyond the Pines” with Ryan Gosling and Bradley Cooper, and the latest “Scary Movie” horror-comedy mashup “Scary Movie 5” with cameos from a crowd including Lindsay Lohan and Charlie Sheen.

At the Loft Cinema, 3233 E. Speedway, the critically acclaimed fi lm “No,” about political unrest in Chile, also opens this weekend.

Contact Herb Stratford at [email protected]. Stratford teaches Arts Management at the University of Arizona. His column appears weekly in Inside Tucson

Business.

ARTS & CULTURE

Desert Museum inaugural concertfeatures John Jorgenson Quintet

OUT OF THE OFFICEON THE MENU

Th e Louisville Cardinals are celebrating their fi rst NCAA basketball championship in nearly 30 years and that brings us to the culmination of a month of talk about seeds and brackets. Among Tucson foodies, another kind of madness ensues in the spring, and it’s all about the mystique and majesty of macaroni.

Shall we say Mac Madness?As this year’s NCAA basketball

tournament was getting under-way, restaurateur Mike Lanz began to leverage the energy around March Madness to generate some new ideas for his menu at the Fix, 943 E. University Blvd., Suite 115, in Main Gate Square. Specializing in macaroni and cheese, the Fix already boasted 15 diff erent varieties of mac on its menu, but Lanz was out to show how versatile the classic comfort food is. So he issued a call to elicit ideas for creative mac and cheese recipes.

After receiving many unique creations from fans, Lanz committed to prepare and serve 16 of them, and let his guests decide which was the best — and he did it all in a single-elimination bracket system similar to the NCAA tournament.

“We were all encouraged by the thought that was put into each recipe,” said Lanz, noting some of them had to be eliminated from the start due to the complexity of the recipes. “While a Poutine mac and cheese made with beef gravy, potato and cheese curds might have sounded like a winner to the person who submitted it, cheese curd management isn’t something we know a whole lot about,” he admitted.

Among the Sweet 16 fi nalists were a lobster Alfredo mac, bacon-jalapeno-green chili mac and a mushroom-broccoli-Srira-

cha mac. Product sales dictated the winner in each round, with the winners advancing to an Elite Eight and Final Four.

Going into the fi nals was the caprese mac, made with tomato, cream cheese, basil and mozzarella. Its opponent was the hangover mac, made with chorizo, onions and hash browns, topped with a fried egg. Th e two were virtually tied during the course of the champi-onship, but in the end, the hangover was declared the winner. Th e guest who devel-oped the winning recipe will now see his own hangover on the Fix’s menu every weekend.

What did Lanz fi nd most surprising about the competition? “Many of the recipes we thought would do well really didn’t, and others that we thought would drop out after the fi rst round ended up advancing,” he said. “Th is just goes to show you how unique a mac and cheese experience can be.”

Lore credits Th omas Jeff erson with inventing mac and cheese, and I can only imagine his amazement in seeing how far his creation has come since he adorned his pasta with York cheddar for a White House dinner in 1802. Ironically, this could be the fi rst time in history when the hangover preceded the celebration.

Contact Matt Russell, whose day job is

CEO of Russell Public Communications, at

[email protected]. Russell is also the

host of “On the Menu Live” that airs 4-5 p.m.

Saturdays on KNST 790-AM and he does the

Weekend Watch segment of the “Buckmaster

Show” from noon-1 p.m. Fridays on KVOI

1030-AM.

Brackets done, the winneris chorizo ‘Hangover mac’

MATT RUSSELL HERB STRATFORD

DAILY NEWS — DELIVERED TO YOU!EVERY MORNINGDAILY NEWS — DELIVERED TO YOOUU!U





FINANCEYOUR MONEY

Is a cash balance planright for your business?

A cash balance plan is a type of tax-qualifi ed defi ned benefi t pension plan. If you and other highly-compensated employees are currently maximizing contributions to your company’s 401(k) and profi t-sharing plans, it can be a valuable plan addition to your retirement program.

As with traditional defi ned benefi t pension plans, cash balance plans are subject to minimum funding standards, and must provide a specifi ed accrued benefi t at retirement. However, unlike traditional defi ned benefi t pension plans, hypothetical “individual accounts” are used to communicate the current value of each participant’s accrued benefi t.

Participants receive periodic statements showing the accumulation of “contribution credits” based on compensation, age and service, and “interest credits” based upon a market rate of return.

Employer contributions are based upon actuarial projections, and earnings are credited to the plan’s trust based upon actual investment performance. Distribu-tions from cash balance plans are normally paid as an annuity, but lump sum benefi ts may also be available (with spousal consent) upon termination of employment.

A cash balance plan allows the plan sponsor to make tax-deductible contribu-tions for eligible employees determined under a nondiscriminatory formula, which may exceed the dollar limits for defi ned contribution plans. Cash balance plan contributions are in addition to amounts contributed for an employee to a defi ned

contribution plan. Potential

candidates for cash balance plans are companies with owners, partners or other highly compensated employees who may have neglect-ed retirement savings to grow

their business, or otherwise desire to catch up on retirement savings.

Businesses should have consistent cash fl ows and profi ts since contributions are required on an ongoing basis to meet the minimum funding standards of the Internal Revenue Code. Cash balance plans require the services of an actuary to determine appropriate funding levels.

Your current retirement program may not be taking advantage of the additional benefi ts which can be provided through a cash balance plan. Now may be the time to review your current retirement program design to make sure you are fully maximiz-ing your tax savings and retirement contributions.

If you would like to explore whether a cash balance plan could be suitable for your business, consult your fi nancial advisor.

Contact W. David Fay, a second vice president in wealth management and fi nancial advisor with Morgan Stanley Smith Barney, at http://fa.smithbarney.com/thefaymillergroup or (502) 745-7069.

W. DAVID FAY

TUCSON STOCK EXCHANGEStock market quotations of some publicly traded companies doing business in Southern Arizona

Company Name Symbol Apr. 10 Apr. 3 Change52-Week

Low52-Week

HighTucson companiesApplied Energetics Inc AERG.OB 0.03 0.02 0.01 0.02 0.07CDEX Inc CEXIQ.OB 0.07 0.10 -0.03 0.01 0.51Providence Service Corp PRSC 18.61 18.20 0.41 9.56 20.09UniSource Energy Corp (Tucson Electric Power) UNS 48.98 48.69 0.29 35.38 49.37UniSource Energy Corp (Tucson Electric Power) UNS 31.50 31.64 -0.14 22.76 33.55

Southern Arizona presenceAlcoa Inc (Huck Fasteners) AA 8.31 8.27 0.04 7.97 10.24AMR Corp (American Airlines) AAMRQ 3.67 3.51 0.16 0.36 4.52Augusta Resource Corp (Rosemont Mine) AZC 2.61 2.66 -0.05 1.48 3.13Bank Of America Corp BAC 12.32 11.81 0.51 6.72 12.94Bank of Montreal (M&I Bank) BMO 62.51 62.58 -0.07 50.95 64.79BBVA Compass BBVA 9.12 8.53 0.59 5.30 10.57Berkshire Hathaway (Geico, Long Cos) BRK-B* 106.33 104.24 2.09 78.21 106.37Best Buy Co Inc BBY 24.82 21.65 3.17 11.20 26.29BOK Financial Corp (Bank of Arizona) BOKF 62.08 61.70 0.38 50.89 63.07Bombardier Inc* (Bombardier Aerospace) BBDB 4.09 3.94 0.15 2.97 4.93CB Richard Ellis Group CBG 25.51 23.93 1.58 14.97 25.51Citigroup Inc C 45.06 42.50 2.56 24.61 47.92Comcast Corp CMCSA 41.62 41.82 -0.20 28.09 42.61Community Health Sys (Northwest Med Cntrs) CYH 42.26 45.26 -3.00 20.71 48.59Computer Sciences Corp CSC 48.61 47.82 0.79 22.19 50.59Convergys Corp CVG 16.85 16.46 0.39 12.40 17.50Costco Wholesale Corp COST 105.75 106.36 -0.61 81.98 107.75CenturyLink (Qwest Communications) CTL 36.95 35.06 1.89 32.05 43.43Cvs/Caremark (CVS pharmacy) CVS 56.96 54.13 2.83 43.08 57.09Delta Air Lines DAL 15.25 14.56 0.69 8.42 17.25Dillard Department Stores DDS 81.30 78.85 2.45 60.76 89.98Dover Corp (Sargent Controls & Aerospace) DOV 74.41 70.92 3.49 50.27 74.62DR Horton Inc DHI 23.15 22.84 0.31 14.23 25.56Freeport-McMoRan (Phelps Dodge) FCX 33.69 31.55 2.14 30.54 43.65Granite Construction Inc GVA 29.80 29.09 0.71 21.38 30.88Home Depot Inc HD 71.69 70.36 1.33 46.37 71.79Honeywell Intl Inc HON 74.41 73.33 1.08 52.21 75.75IBM IBM 212.00 212.66 -0.66 181.85 215.90Iron Mountain IRM 37.16 36.10 1.06 27.10 37.70Intuit Inc INTU 64.82 64.59 0.23 53.38 68.41Journal Communications (KGUN 9, KMXZ) JRN 6.79 6.65 0.14 3.94 6.89JP Morgan Chase & Co JPM 49.25 46.85 2.40 30.83 51.00Kaman Corp (Electro-Optics Develpmnt Cntr) KAMN 35.54 34.75 0.79 27.96 38.62KB Home KBH 21.66 20.02 1.64 6.46 22.43Kohls Corp KSS 47.86 47.05 0.81 41.35 55.25Kroger Co (Fry's Food Stores) KR 32.65 32.04 0.61 20.98 33.28Lee Enterprises (Arizona Daily Star) LEE 1.25 1.25 0.00 1.10 1.81Lennar Corporation LEN 39.51 38.93 0.58 23.48 43.90Lowe's Cos (Lowe's Home Improvement) LOW 39.01 37.87 1.14 24.76 39.98Loews Corp (Ventana Canyon Resort) L 44.01 43.93 0.08 38.14 44.78Macerich Co (Westcor, La Encantada) MAC 66.64 64.23 2.41 54.32 66.65Macy's Inc M 44.36 42.39 1.97 32.31 44.95Marriott Intl Inc MAR 41.99 41.00 0.99 33.93 42.27Meritage Homes Corp MTH 43.11 43.43 -0.32 24.73 48.62Northern Trust Corp NTRS 55.63 54.24 1.39 41.11 55.94Northrop Grumman Corp NOC 71.77 70.18 1.59 56.59 72.27Penney, J.C. JCP 14.09 14.43 -0.34 13.55 36.89Pulte Homes Inc (Pulte, Del Webb) PHM 19.25 19.01 0.24 7.63 21.97Raytheon Co (Raytheon Missile Systems) RTN 58.22 58.02 0.20 49.03 59.34Roche Holdings AG (Ventana Medical Systems) RHHBY 60.84 59.51 1.33 38.63 60.99Safeway Inc SWY 25.92 25.20 0.72 14.73 26.00Sanofi -Aventis SA SNY 52.24 51.65 0.59 33.03 52.26Sears Holdings (Sears, Kmart, Customer Care) SHLD 52.79 49.53 3.26 38.40 68.77SkyWest Inc SKYW 15.30 13.96 1.34 6.25 16.32Southwest Airlines Co LUV 13.04 12.54 0.50 7.76 13.58Southwest Gas Corp SWX 49.14 47.41 1.73 39.01 49.24Stantec Inc STN 43.11 43.34 -0.23 25.77 44.34Target Corp TGT 68.86 67.98 0.88 54.68 69.84TeleTech Holdings Inc TTEC 21.62 21.23 0.39 14.04 21.68Texas Instruments Inc TXN 35.76 34.15 1.61 26.06 35.77Time Warner Inc (AOL) TWX 59.56 58.10 1.46 33.62 59.74Ual Corp (United Airlines) UAL 29.83 28.66 1.17 17.45 32.95Union Pacifi c Corp UNP 141.30 138.84 2.46 104.08 143.00Apollo Group Inc (University of Phoenix) APOL 17.60 17.12 0.48 15.98 38.34US Airways Group Inc LCC 15.78 15.53 0.25 7.54 17.43US Bancorp (US Bank) USB 34.19 33.67 0.52 28.58 35.46Wal-Mart Stores Inc (Wal-Mart, Sam's Club) WMT 77.37 76.00 1.37 57.18 78.38Walgreen Co WAG 48.11 46.30 1.81 28.53 48.50Wells Fargo & Co WFC 37.57 36.67 0.90 29.80 38.20Western Alliance Bancorp (Alliance Bank) WAL 14.09 13.46 0.63 8.00 14.51Zions Bancorp (National Bank of Arizona) ZION 24.61 23.88 0.73 17.45 25.86Wal-Mart Stores Inc (Wal-Mart, Sam's Club) WMT 53.92 54.06 -0.14 47.00 55.20Walgreen Co WAG 35.50 34.19 1.31 21.39 40.69Wells Fargo & Co WFC 27.66 27.33 0.33 7.80 31.53Western Alliance Bancorp (Alliance Bank) WAL 5.65 4.82 0.83 2.99 9.22Zions Bancorp (National Bank of Arizona) ZION 18.67 18.05 0.62 5.90 20.97Data Source: Dow Jones Market Watch

*Quotes in U.S. dollars, except Bombardier is Canadian dollars.


INSIDE REAL ESTATE & CONSTRUCTIONMomentum picking up as foreclosures see large quarterly declineBy Roger YohemInside Tucson Business

Th e residential real estate market contin-ued to gain momentum during March as the number of foreclosure notices hit a fi ve-year low. Last month, 512 trustee’s notices were issued, the smallest monthly total since 475 notices were served in December 2007.

Year-to-date, 1,677 notices have been is-sued, down from 2,527 statements during the fi rst three months of 2012 (see chart). Th at represents a 34 percent decrease year-over-year for the quarter, according to new data from the Pima County Recorder’s Of-fi ce.

With fewer distressed homes coming onto the market, sales of foreclosed homes also have slowed. Foreclosure sales have dropped from 1,342 units in the 2012 fi rst quarter to 1,017 units this year. Th at is a decline of 325 homes, or 24 percent fewer sales.

For 2012, an average of 485 distressed homes were sold monthly. Year-to-date in 2013, the rate is now 339 sales per month.

Since May 2012, foreclosure notices have been trending downward. During 2012, an average 774 notices per month were issued. So far, the 2013 monthly pace is averaging 559 notices per month.

A notice of trustee’s sale is the fi rst step in the foreclosure process. Since 2010, about 65 percent of households served with no-tices have been unable to work out a mort-gage modifi cation and ended up losing their homes.

THE PULSE: TUCSON REAL ESTATE

4/1/2013 3/25/2013

Median Price $155,750 $146,750Active Listings 4,894 5,013New Listings 451 411Pending Sales 453 429Homes Closed 186 458Source: Long Realty Research Center

WEEKLY MORTGAGE RATES

Program Current Last WeekOne

Year Ago12 Month

High12 Month

Low

30 YEAR 3.50% 3.625%APR 3.50% 3.625%APR 4.95% 4.95% 3.38%

15 YEAR 3.00% 3.25%APR 3.00% 3.25% APR 4.22% 4.22% 2.75%

5/1 ARM 2.63% 2.875%APR 2.63% 2.875% APR 2.87% 2.87% 2.63%The above rates have a 1% origination fee and 0 discount . FNMA/FHLMC maximum conforming loan amount is $417,000 Conventional Jumbo loans are loans above $417,000Information provided by Randy Hotchkiss, National Certifi ed Mortgage Consultant (CMC) Hotchkiss Financial, Inc. P.O. Box 43712 Tucson, Arizona 85733 • 520-324-0000MB #0905432. Rates are subject to change without notice based upon market conditions.

4/9/2013

Northwest boomAs the new housing numbers roll in, they

sure make the prognosticators look good. For months, real estate, construction and land experts have been predicting strong construction activity in early 2013 for the Marana and northwest markets. So far, their forecasts have come to fruition.

For the 2013 fi rst quarter, construction permits for new single family homes have spiked 48.5 percent higher than a year ago. Since January, 649 permits have been is-sued compared to 437 for the 2012 fi rst quarter, according to Ginger Kneup, owner of Bright Future Real Estate Research.

Th e largest increase was in Marana with 235 fi rst-quarter permits compared to just 97 for the same year-ago period. Kneup noted that the 138-permit increase is a 142 percent jump in activity.

Oro Valley is 51 permits ahead of last year’s quarterly pace of 20 permits. For the same period, Pima County increased from 146 to 183 permits. Th e only notable de-crease was in the City of Tucson where per-mits declined 26 percent, dropping from 74 to 55 permits.

Too many too fast?Is Tucson’s dynamic student housing mar-

ket already over-built before every planned project has been completed? Th e Metropoli-tan Pima Alliance (MPA) will address the is-sue at a forum next Friday (April 19).

Melissa Vito, vice president of student aff airs at the University of Arizona, will moderate “What is the market of student housing?” Confi rmed speakers include Steve Bus, vice president of Campus Acqui-sitions; and Bob Kaplan, principal of Picor Commercial Real Estate Services. Execu-tives from student housing developers Core Campus and Capstone have been invited but not yet confi rmed.

Th e event is from 7:15-9 a.m., April 19 in the Community Room of the Tucson As-sociation of Realtors, 2445 N. Tucson Blvd. Th e cost is $25 for MPA members; $45 for non-members and walk-ins. Registration and details are at http://mpaaz.org.

Contractors’ showTh e Alliance of Construction Trades

(ACT) will hold its annual Construction In-dustry Trade Show May 15 at the Hotel Tuc-son City Center, 475 N. Granada Ave. More than 100 exhibitors are expected, said ACT executive director Jim Kuliesh.

Th e event is open to anyone working in or affi liated with the construction industry. Business owners and the general public looking for construction services are also welcome. Details are online at www.actaz.net or call (520) 624-3002.

Dealing in MexicoTh e Tucson CREW (Commercial Real Estate

Women) will present “Doing a Deal in Mexico” Th ursday (April 18). It’s a forum focusing on

real estate, legal and tax considerations when doing business across the border.

Th e event will feature panelists Miguel Tapia, senior counsel with Salazar Interna-tional Advisors; Denisse Angulo, bilingual real estate advisor in regional marketing with Picor Commercial Real Estate Servic-es; and David Lopez-Monroy, shareholder with Beach Fleischman PC.

Th e forum will be held in the Safari Room at the Arizona Inn, 2200 E. Elm St. Registration is at 11:30 a.m. with luncheon program scheduled for noon-1 p.m. Cost is $25 for CREW members; $40 for non-mem-bers and walk-ins. Registration and details are at www.tucsoncrew.org.

Sales and leases • Lennar Homes Tucson purchased 45

fi nished lots for $2.25 million in the Eagle Crest Ranch Phase V development at the northeast corner of Oracle Road and Eagle Crest Ranch Boulevard across the Pima County line in Pinal County. Th e seller was CRVI H-AZCO LLC, Austin, Texas. Th e transaction was handled by Will White, Land Advisors Organization.

• Legacy Property Management LLC purchased a 45,675 square-foot industrial building at 4700 S. Overland Drive for $4.625 million from Brian Realty Group LLC, rep-resented by Rob Glaser, Picor Commercial Real Estate Services. Th e buyer was repre-sented by Jon Garvey and Henry Wilder-muth, Available Properties.

• Wholesalers Property Co. purchased a 25,412 square-foot industrial building at 2565 N. Huachuca for $1.17 million from Tucson Bradley Group LLC, represented by Rob Gla-ser and Paul Hooker, Picor Commercial Real Estate Services. Th e buyer was represented by Tim Healy and Bob DeLaney, CBRE.

• Jon and Stephen Off erman purchased the 35-unit Annandale Apartments, 5601 E. Fifth St., for $902,424 from Mahalo Commer-cial Properties 10 LLC. Th e transaction was handled by Bob Kaplan and Allan Mendels-berg, Picor Commercial Real Estate Services.

• Modern Court Properties purchased a 6,400 square-foot offi ce/warehouse at 1621 W. Modern Court for $485,000 from Tess-man LLC, represented by Ron Zimmer-man, Newmark Grubb Knight Frank. Th e buyer was represented by Paul Hooker, Pi-cor Commercial Real Estate Services.

• DT and KP Investments LLC purchased 1934 E. 18th St. for $120,000 from Tierra Na-tal Revocable Living Trust, represented by Allan Moore, Chapman Lindsey Commer-cial Real Estate. Th e buyer was represented by Dave Gallaher, Tucson Industrial Realty.

Email sales and leases and other real

estate news items to [email protected]. Th is is

the fi nal Real Estate & Construction column

written by Roger Yohem, who is leaving Inside

Tucson Business. But the column will continue.

Pima County Recorder’s Offi ce data

Notices of Trustees Sales Pima County Recorder Foreclosure

2008 2009 2010 2011 2012 2013January 699 882 863 975 705 631February 598 1,016 982 762 918 534March 661 1,154 1,089 948 904 512April 700 1,093 985 721 910May 720 991 890 748 984June 742 1,002 862 693 946July 721 1,063 1,111 666 797 August 814 1,130 1,067 917 794September 782 1,008 1,090 797 625October 921 948 1,019 816 638November 675 859 829 754 534December 923 1,038 876 636 532 Total 8,956 12,184 11,663 9,433 9,287 1,677 Monthly avg. 746 1,015 972 786 774 559


Th is is a special week. If you’re holding the print version of Inside Tucson Business, you’ve probably already noticed the section featuring the 2013 class of Up & Comers. If you put aside the regular publication to glance through it fi rst, it had to put you in a positive frame of mind.

Tucson’s future is in a positive light with people of this caliber here trying to make it better. And what never ceases to amaze me are the variety of challenges people are achieving.

Th is year’s honorees — all selected from nominations submit-ted by readers of Inside Tucson Business — are:

• Natalie S. Brown, executive director of Iskatashitaa Refugee Network, which empowers refugees coming to this region from Africa, Asia and the Middle East.

• Ryan Flannagan, CEO of Nuanced Media, who used a business failure as a learning experience and is already taking an active role in developing future leaders.

• Wendy Gauthier, who quit her job to pursue an idea she saw to be a personal chef, establishing Chef Chic. As it continues to evolve I was jealous to learn that one of her latest ventures was to open a cafe inside the Arizona Daily Star building.

• Heather Hiscox, who has really bitten off a challenge in these recessionary times as founder and owner of Seven Degrees Consulting, which specializes in helping non-profi ts.

• Caitlin Jensen, marketing coordinator for the Downtown Tucson Partnership and someone who rightfully should take credit for helping to spread the word about the great things going on downtown these days.

• Jennifer Johnson, supply manager for Raytheon Missile Systems, who grabs opportunities and runs with them whether its networking within Raytheon or working on projects with Junior League of Tucson.

• Patrick Marcus, president of Marcus Engineering, a biomedi-cal engineering fi rm, who is doing his part to make the Tucson region a biotech center.

• Isaac Rothschild, an associate with the law fi rm of Mesch Clark & Rothschild and the mayor’s son but it’s his busy work schedule and volunteer work that people are noticing.

• Nathan Saxton, owner of Borealis Arts, who is fi nding new venues to show off works by Tucson artists.

Th ere are plenty of reasons to be thinking positively of Tucson’s future. Nine of them are right there. And, as if those aren’t enough, be sure to check out what’s happened to previous honorees.

Th anks, too, to our sponsor this year, Wells Fargo. It’s going to be great fun celebrating with our newest Up & Comers at a reception from 5:30 to 7:30 p.m. April 30 at Playground, 278 E. Congress St. Admission is $25. Make resevations online at www.InsideTucson-Business.com, click on the Up & Comers icon on the right side of the home page.

I hear you Th anks to those of you who’ve already responded to last

week’s request to tell me about the news and features you like and don’t like in Inside Tucson Business. Readers certainly are passionate about certain things and I won’t take anything for gratned. If you’ve got something to say, please send an email my way. We’ve got some changes coming and what you tell me will help us steer them.

Contact David Hatfield at [email protected] or (520) 295-4237.

EDITORIAL

DAVID HATFIELD

BIZ BUZZ

Up & Comers and allis right for Tucson

EDITORIAL

What makes airlines not fl y to Tucson Want to know the fastest way to become a million-

aire? Start as a billionaire and invest in an airline. Th at’s the answer famously given once by Sir Richard Branson, owner of Virgin Atlantic Airways.

After Warren Buff ett invested $358 million into shares of what was USAir Group in 1989 and saw it lose 75 percent of its value in fi ve years, he was quoted say-ing, “If a capitalist had been present at Kitty Hawk back in the early 1900s, he should have shot Orville Wright. He would have saved his progeny money. But seriously, the airline business has been extraordinary. It has eaten up capital over the past century like almost no other business because people seem to keep coming back to it and putting fresh money in.

“I have an 800 number now that I call if I get the urge to buy an airline stock. I call at 2 in the morning and I say: ‘My name is Warren, and I’m an aeroholic.’ And then they talk me down.”

Since the federal government stopped regulating airlines in 1978 giving them the freedom to fi nd their own ways to profi tability, the industry has collectively lost $60 billion. Th rough 2011, the U.S. domestic airline industry has reported negative net income in 23 of the 32 years since deregulation.

Th e airline industry is unique. It has high capital costs — airliners don’t come cheap — yet it is basically a service industry subject to the whims of a marketplace that changes as fast as the weather, literally. And once the doors to an airliner close, every empty seat is an op-portunity lost.

Business decisions that might be logical in any other industry don’t play out for airlines. Demand and supply don’t necessarily match up.

Flights that are packed full may earn little in profi ts for an airline. Yield is an airline’s ability to charge a high enough fare to make money but price it low enough to entice passengers to buy. Obviously airlines don’t like routes with low yields, which is one of the reasons Delta Air Lines plans to suspend Tucson-to-Minneapolis non-

stop fl ights this summer. Southwest said there was little demand, much less yield, on its Tucson-to-Albuquer-que, which is why those are permanently going away in June.

Th ere are other issues. Th e taxes and fees that are levied now make up more than 20 percent of the cost of a ticket. Th en there is the price of fuel, though surpris-ingly, one economist says that’s not as big a deal as some would have us believe — since deregulation, oil costs were highest in the fi rst seven years and the last six years (based on 2009 dollars) and yet the industry lost money in 13 of the remaining 19 years.

Severin Borenstein, an economist at the Haas School of Business at the University of California Berkeley, examined the industry for a 2011 report and concluded the real problem has been the industry’s inability to raise fares.

Th at is changing thanks to consolidation — four mergers in just the past fi ve years. Delta and Northwest in 2008, United and Continental in 2010, Southwest and AirTran in 2012 and now American and US Airways want to combine operations.

Which brings us to the situation we’re facing in Tuc-son. Passenger traffi c so far this year is down nearly 10 percent at Tucson International Airport on seat capac-ity the airlines already have reduced by more than 6.5 percent. With a dwindling number of airlines, how does Tucson make itself more attractive?

It’s a question we hope some infl uential Tucson business leaders got an answer to this week when John Jamotta, vice president for network planning at South-west Airlines, met with them. It was an invitation-only meeting and we didn’t get our invite so we don’t know what the message was.

We do know, however, a message was supposed to be delivered. We eagerly await to see what Tucson business leaders will do with that message. Th e ball is in your court, ladies and gentleman. Do tell us when you get some more airline service into the market.


OPINIONBIZ INK

After 3½ years, Biz Ink bids adieu After 3½ years behind a news desk at

Inside Tucson Business, next week I’ll be back on the other side. Opportunity came calling from the Tucson Association of Realtors where I will become the organization’s new communications director.

Inside Tucson Business has been a great career experience, working with terrifi c people who deserve thanks. For me, I’m packing up some treasured memories.

First off , kudos to editor David “Th e Golden Pen” Hatfi eld. His work ethic, institutional knowledge of the news media and Tucson community, and wry humor is unsurpassed. Th ank you for letting me run with this column and my news beat.

Likewise, I hope our friendship will run long into the future. Th e Tucson Advertising Federation nailed it when it gave you the Golden Pen: you are a media legend.

Looking back, the parody of Occupy Tucson was a highlight here. Over lunch, friend Dan Cavanagh from Freeport McMoRan Copper & Gold inspired me to do satire. Th e column’s snarkiness won a state-wide press award and was picked up by the Wall Street Journal.

Celebrity-wise, I met several retail “brand names” including OmniMedia’s Martha Stewart; fashion designer Tommy Hilfi ger; Sandeep Mathrani, CEO of General Growth

Properties owner of Tucson Mall and Park Place; and Terry Lundgren, CEO of Macy’s.

Th e Journal Broadcast Group studios also were special. At 5 a.m. one day, I shad-owed media personality Allen

Kath. “Big Al” ran a show of controlled chaos, juggling dozens of traffi c updates for KGUN 9 and four radio stations.

AK, you’re a man of great character. Just “imagine,” it’s my turn to buy $5 burgers on Mondays at McMahon’s.

One of Kath’s Journal sidekicks is 104.1 FM Th e Truth talk show host Jon Justice, who frequently uses Inside Tucson Business stories. Luckily, I was on his show a few times and enjoyed every moment. “JJ” is the only person to tell me I should write comedy for a living.

Also on the radio dial, there are Chris DeSimone and Joe Higgins, hosts of “Wake-Up, Tucson,” on KVOI 1030-AM. For almost a year, I did their show. About 6:20 a.m., I’d call Ed Alexander, their producer. Ed and I would pick three hot issues to discuss and he fed the

topics to Chris and Joe.But once we went live, we fed off of each

other’s rambling comments and fell off script. By “quippin’ and rippin’” we never once got to all three issues. Th anks guys, let’s hook up again this fall to watch Notre Dame football.

Journalism still has ethics and as a reporter, it can be tough to separate business from friendship. Th at was the situation with former Tucson Metropolitan Chamber of Commerce CEO Jack Camper. We met occasionally for coff ee after his morning workout and he always prodded: Are we talking as friends or for news?

Th ere were times he shared things that could have been on the front page.

Th ree others who deserve recognition and thanks are my advertising/marketing peers Mike Bolchalk, Dave Tedlock and Marv Kirchler. Th ey have kept me grounded with their wise career advice, schooling me in the value of creative thinking, patience, high standards and professionalism.

And for more than 20 years, builder/developer Pete Herder was always there professionally and personally.

Since 2009, I’ve met a lot of new real estate people who somehow evolved from news sources into friends. It wasn’t planned that way, it just happened. For example, it has

been a joy getting to know commercial mortgage banker Jim Sellers and taking our wives to Fini’s Landing for fi sh tacos.

Th ere’s also Barbi Reuter, a principal at Picor Commercial Real Estate Services, also known as Barbi Flapjack. Her dedication to family, career, marathons and community service is impressive. Likewise, Jim Marian at Chapman Lindsey is now a pal. I hope to have time to volley with him and George Larsen on the tennis courts.

And who doesn’t know George Amos III of Tucson Realty & Trust, aka Hank? Well, here’s a little secret from a mutual friend; she tells me his real nickname is Spanky.

George Howard, a talented photographer and musician, also has become a friend. For years, he has been on a mission to establish the Tucson Musicians Museum. Mayor Jonathan Rothschild, can you please help George fi nd a permanent home for this project? Th e museum already has more than 120 inductees.

And most importantly as I bid adieu, thank you for reading Biz Ink.

As of Monday (April 15), Roger Yohem will be director of communications for the Tucson Association of Realtors. Contact him at [email protected] or (520) 382-8796.

ROGER YOHEM

SPEAKING OUT

Aff ordable housing is linked to transportation options Corky Poster, former director of the

University of Arizona’s Drachman Institute, says “Housing is only aff ordable if housing and transportation work together.” Taken from a broader perspective, we have to look at jobs, services, shopping, and transporta-tion options in close proximity to housing if we want housing to be aff ordable.

Th e farther out in the region that homebuy-ers move for housing they can aff ord to buy, the higher their transportation costs. When housing and transportation are considered together, the aff ordable mortgage isn’t a savings because car costs go up. Th e total amount spent is more than the mortgage alone. Some homebuyers may be spending more on transportation than they can aff ord.

Th e Drachman Institute and the Chicago-based Center for Neighborhood Technology presented this concept of housing aff ordabil-ity and its connectivity to transportation choices at an Arizona Town Hall in Novem-ber 2008.

Poster said there’s no real defi nition of “aff ordable housing.” Many factors including location play a part. Th e federal government considers housing as aff ordable if a family spends no more than 30 percent of its income on housing and utilities.

Th e formula for looking at housing

aff ordability has mostly focused on the price of construction along with land and infrastructure costs. Some may add a reduction in square footage, quality, location, and production systems to this criteria.

However, Poster says the actual costs of housing are far more complex. Other factors must be considered because housing cost elements must be looked at from their true measure of the monthly fi nancial outlay for all costs related to housing, including transportation.

Transportation costs are rarely consid-ered in a household budget, but housing offi cials believe they should be added because this really helps determine whether or not housing-wherever it is located-is truly aff ordable.

Poster believes we need “location effi cient mortgages” so transportation costs are transferable to mortgage ability costs. “Smart Commute Mortgages” reward people buying homes in communities with good transit

options. Th ese are fl exible, low down payment mortgages awarded to qualifi ed buyers who realize cost savings with the ability to use transit instead of a car for daily needs.

Poster noted the planned urban develop-ment with greater density being planned along the route of Sun Link, the modern street car in Tucson’s core. Gridlock will occur if everyone living in that area continues to drive a car, he says. Alternative transporta-tion options like the streetcar or other public transit must become a part of the city lifestyle.

Pima County and incorporated areas in the region are currently updating their area plans. Th is is the time to consider what public policies can be added to link housing with transportation.

Ideally policy makers should encourage more mixed use developments so residents can work and shop in the same areas where they live. Th ere is also a need for recreation sites in close proximity. Zoning and parking requirements must be revised to refl ect this.

Transportation choices are increasing. In 2006 Pima County voters approved the Regional Transportation Authority (RTA) and the half-cent sales tax to support the plan elements. It’s estimated that over 20 years the revenue generated will be about $2.1 billion.

About half of the funds will be used for

roads. Th e plan allocates $534 million for transit, and funding is also earmarked for 250 miles of sidewalks and 550 miles of bike paths. Residents across the region will have more transportation options.

Some Sun Tran bus service has already been extended throughout the Tucson region. Sun Shuttle, a neighborhood transit service, gives users the ability to ride to school, doctor’s appointments, retail stores, and to take other types of trips.

Smaller buses, called neighborhood circulators, have replaced 40-foot buses in some outlying neighborhoods connecting riders to major bus routes.

It wasn’t anticipated that the RTA would enhance aff ordable housing, but there are now less costly mobility choices than the automobile. Residents throughout the region can choose where they want to live and keep their housing costs aff ordable with alternate transportation modes.

Planners and policy makers must consider the increased options for transpor-tation as the area plans are updated. Th e community will benefi t if this is done.

Contact Carol West at [email protected]. West served on the Tucson City Council from 1999-2007 and was a council aide from 1987-1995.

CAROL WEST


Phone: (520) 295-4201Fax: (520) 295-40713280 E. Hemisphere Loop, #180Tucson, AZ 85706-5027 Internet: www.azbiz.com

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EDITORIAL INTERNSLAUREN SHORESALEX WAINWRIGHT

OPINIONADVOCATING FOR BUSINESS

Pregnant teen, homeless man and abused child all want the economy to improveI’m told there are more than 3,000

non-profi t organizations in Pima County. Many of them are charitable in nature. I’ve come to know some of the executives at these non-profi ts over the past two years because of the outreach and special considerations the Tucson Metro Chamber provides to non-profi t members of our organization.

One of the benefi ts the Tucson Metro Chamber provides for local non-profi ts is to help them tell their story to the public on the chamber’s weekly radio program, “Profi les in Business,” which airs at 6 a.m. Saturdays on KVOI 1030-AM.

When I interview a non-profi t executive for the show, one of the issues that always surfaces is funding. With state and federal funding of many of these non-profi ts being cut, they have become more dependent on private contribu-tions. Th e problem is, the economy is struggling to recover. When the economy struggles, so do the non-profi ts that depend on the generosity of Southern Arizonans.

Unfortunately for the pregnant teen, the homeless man, the abused child and countless others of our neighbors in need,

when the economy suff ers, they do, too.

With Washing-ton politicians stuck on the blame game, no real blueprint for economic recovery to be found and elected leaders already looking at the tea leaves to

see what they’ll need to do to get re-elect-ed, the economy is bound to continue to sputter.

Consumers drive our economy and they are not confi dent about its future. Compa-nies continue to retrench. Th ey are cutting back on the number of organizations they can support. As they do, times get tougher for local charities and those they serve.

Employees are still hunkered down, too. For the most part, they don’t see the recovery and don’t feel the recovery. Th ey know the economy hasn’t recovered because most of them are doing their own jobs and someone

else’s so their employer can make it to the end of the recession. Discretionary money is being saved for rainy days instead of being contributed to local charities.

So with all of this gloom and doom, what can you and I do about it? For one, do all you can to help our local economy expand. Call out our elected leaders when they waste your tax dollars. Demand they put economic recovery ahead of everything else. Now is not the time for petty politics and special interest payoff s. Now is the time to grow and expand. It is time to feed the job-creating Golden Goose of free enterprise. It is time to welcome private sector risk takers, remove the hurdles to their being able to invest in our community and get people back to work.

In a stunning, data-driven book titled “Th e Coming Jobs War,” Gallup Research Chairman Jim Clifton writes: “It amazes me how few of my smart colleagues and friends don’t realize that when businesses fail, a country fails. When businesses fail, jobs fail. When jobs fail, GDP fails. When GDP fails, institutions, infrastructure and governments

fail. GDP and job growth are the chicken and the egg. Th e jobs war is what should get city leaders up in the morning, what they should work on all day and what should keep them from getting to sleep at night.”

Growing the Tucson region’s local economy will have a positive “two-fer” eff ect on local non-profi ts. When the economy gets going the way it should, charitable contributions will increase. As the economy recovers, more people will be employed, lessening the demand for the services our charities provide.

Every silly roadblock to business growth and economic vitality has a price. Often, it is those who are most in need who pay the biggest price — the pregnant teen, the homeless man and the abused child.

Contact Mike Varney, president and CEO of the Tucson Metro Chamber, at [email protected] or (520) 792-2250. His Advocating for Business column

appears monthly in Inside Tucson Business.

MIKE VARNEY

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Inside Tucson Business 04/12/13

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