It’s All About the BenjaminsFinancing Fairs: Access to Capital

Fall 2011 Schedulefor Funding Fairs:

Aug. 2, Sierra VistaAug. 4, NogalesAug. 9, DouglasAug. 11, PatagoniaAug. 16, BensonAug. 23, WillcoxAug. 30, Bisbee

All are at 9-noon(Nogales 2-5 p.m.)

Freeport-McMoRan Copper & Gold Inc. antici-pates deciding by year-end whether to invest $1 bil-lion to greatly boost copper production at Morenci, it said during a conference call with analysts July 21.

Richard C. Adkerson, the company’s president and CEO, also said the company was looking, on a somewhat longer term, at the possibility of further increases in capacity at Morenci and expanding its Safford operations into sulfide milling and produc-tion from the neighboring Lone Star deposit.

In addition, the company has more than doubled its exploration budget for this year, with much of that money being poured into better defining and increasing reserves at Morenci, Safford and other op-erations in Arizona.

Moving fast at Morenci, elsewhereUnlike many other metals companies, which are

acquiring other firms and properties and starting new mines, Freeport has said that its current re-sources are sufficient for it to get all the addition pro-duction it needs from “brownfield” expansions.

It currently is anticipating spending $5.3 billion to increase copper output by 975 million pounds per year by 2016. The lion’s share will go into its Cerro Verde property in Peru, where it completed a feasi-bility study in the second quarter. That facility see

Morenci MineMay Boom — Again

August 2011 Published for SEAGO Member Entities and Strategic Partners Vol. 1, No. 8

the injection of $3.5 billion by 2016 to boost copper production by 600 million pounds per year. The mill throughput will grow from the current 120,000 met-ric tons per day to 360,000, which, Adkerson said, will make it one of the largest mills in the world.

At Morenci, the investment will be $1.0 billion to increase milling capacity to 115,000 metric tonnes per day, providing an additional 225 million pounds of copper each year. Morenci is expected to reach its new, higher rate of production, in 2014.

Read the full story here.

Other projects:

Expand Cerro Verde in Peru, $3.5 billion.

Expand Tenke in the Congo, $0.8 billion.

Restart Climax moly mine in Colorado, $250 million more.

This lament is often heard throughout the SEAGO Region: lack of funding, a shortage of capital, insuffi-cient start up money. Whatever you call it, the world of lending has changed.

A recent Agurban article revealed there is increas-ing dependence on and need for community lending. Nearly 400 cities in 44 states were part of the study. Now clearly these results may not mirror your specif-ic community, but the point is: gap financing, access

to seed money and ample funds to accom-plish expansions, remodels and oth-er enhancements all rely on access to cash.

What can be done? Plenty. For one thing lenders continued on page 2

The Turning Point Monthly, August 2011, page 1

Huachuca City UpgradesIts Police Station

By Bonnie Williams, CDBG PlannerCongratulations to Huachuca City for complet-

ing their police station renovations with their FY09 CDBG funds.

They added two juvenile detention cells, one office, two storage areas, a training/break room, ADA and HVAC upgrades and bulletproof door/wall/glass for the public entrance area.

While the title implies a connection to chapter 5 of George Orwell’s “1984,” bioconversion is actually an organic process that breaks down solid waste into reusable components. With area landfills approaching capacity, bioconversion is just one of several alternatives being reviewed to ease the burden of solid waste disposal.

While solid waste management issues are hard to categorize, and even more difficult to resolve the more we understand the issues, the clearer the solutions become. A terrific web site that explains the facts about landfills, and relevant technology choices can be found at http://piersonnaturizer.com.

Perhaps it is time additional GREEN alternatives are more closely reviewed and put to use. Similarly we need to keep our collective eyes on small-unit technologies that convert solid waste into electricity. There are no simple answers, but there are several possibilities that rise to the level of mention.

Elected officials from SEAGO Region cities, towns and counties have primary responsibility and exercise initia-tive in dealing with the problems and needs within their communities. And as SEAGO is a regional organization we offer assistance in coordinating the mutual interests of our member entities.

Did you know that In 1979 the Arizona Department of Health Services was authorized to develop and implement a comprehensive solid waste management plan? Actually through Executive Order 70-2, SEAGO was designated by then-Gov. Bruce Babbitt as an authorized area-wide solid waste management planning district. Wow.

Think of the possibilities! It is possible for SEAGO to serve in this capacity and bring economies of scale,

savings and extra value to overburdened city and county budgets.If you would like to explore more about solid waste disposal opportunities,

please contact SEAGO Executive Director Randy Heiss.

are making loans, but they are certainly being more cautious in underwriting. The mysterious world of fi-nancing, loan approval, etc. often intimidates entrepre-neurs and businesspeople from moving forward with worthwhile plans, many of

which would mean adding new jobs and expanding sales tax revenues.

What will be done? As part of the SEAGO CEDS, and thanks to a healthy partnership with Mark Schmitt and Bob Mucci at the Small Business Devel-opment Center (SBDC) in Sierra Vista; Alex Cooper and Tom Shambo, SBDC in Tucson; and Kevin Peck with the SBDC in Thatcher, SEAGO shares a com-mon commitment to assist in job expansion, job de-velopment and business retention.

Actual lenders at each eventSEAGO is partnering with the SBDC to co-host

several Financing Fairs — or Access to Capital Events — throughout the SEAGO Region. Real lend-ers meeting interested parties. Whether you are for profit, a nonprofit, an entrepreneur, or have a small, medium or large business interest – everyone is wel-come.

The SBDC, Small Business Administration, SEA-GO and each lender will have brief presentations and after questions and Answers offer one-on-one time with prospective loan applicants.

These lenders are eager to come to the table and make loans. Each Funding Fair will showcase a com-bination of banks, credit unions, and small and mi-cro business lenders who will look at your executive summary, pro forma, your business plan, and then give you a summary of what loans, rates, and terms may be available to you.

Go here for a list of lenders at each Fair, for de-tails on each event and to download flyers.

Access to Capital . . .continued from page 1

BioconversionAn Alternative to Landfills

The Turning Point Monthly, August 2011, page 2

By Alison Van Gorp Pathways Job Developer

Through SEAGO’s Pathways Out of Poverty job training program, over 326 participants have re-ceived nationally recognized trade certifications.

It is an exciting time for Pathways as we shift gears and actively seek employers who can reap the ben-efits from hiring these trained and qualified program participants!

The Pathways Program was put into motion in January of 2010. It is a vehicle for job training de-signed to assist disadvantaged populations such as eligible veterans or dislocated and unemployed in-dividuals in becoming job-ready for employment within emerging green industries.

Pathways is funded by the Department of Labor by way of the American Recovery and Reinvestment Act (ARRA) of 2009.

The job training provided is designed to support career tracks in the construction trades, specifically Solar Energy, Weatherization, and Environmental Remediation.

The investment is significant, with the average stu-dent receiving the equivalent of approximately $3,000 in training, and in some cases in excess $5,500.

Impact has been extensiveAt this point over 35 students have completed cur-

riculum to advance in Solar Energy careers, includ-ing entry level electrical courses and the NABCEP nationally recognized certification in entry level photovoltaic.

Fifty students have completed Weatherization course work, with 10 individuals going on to attain full Building Performance (BPI) Institute certifica-tions.

Finally, over 300 people have benefited from the comprehensive Environmental Remediation pro-gram.

Read the full story here.

Export UniversityProtecting Intellectual

Property AbroadThe Arizona District Export Council and FedEx

invite you to Export University: Tucson on Sept. 13, 2011. This session will feature discussion of intellec-tual property protection in the international setting, with expert speakers and panelist from Arizona’s in-ternational business community.

Piracy, counterfeiting and the theft of intellectual property assets pose a serious threat to all Ameri-can businesses. Exporters face unfair competition abroad, non-exporters face counterfeit imports at home and all businesses face legal, health and safety risks from the threat of counterfeit goods entering their supply chains. Gain expert legal advice and have your IP protection questions answered by at-tending this course.

This session will include the following topics:• Some of the key international markets that you

wouldn’t expect to have IPR issues;• Strategies to protect your company in China and

India;• Resources available to assist with IPR protection

and implementation;• The limitations of IPR protection – weighing

your options before you go; and• Advice and counsel from IPR experts.The session, which will be held in the Amethyst

Room at Pima Community College, 1255 N. Stone Ave. in Tucson, starts at 8:30 a.m. and runs through noon, with breakfast and lunch provided. Cost is $49. For information, call (520) 206-5000. To register, go to http://www.regonline.com/exportutuc203.

Is issued at the beginning of each month by the SouthEastern Arizona Governments Organiza-tion Economic Development District.

118 Arizona Street, Bisbee, AZ 85603(520) 432-5301,

economicdevelopment@seago.orgTo subscribe, visit www.seagoedd.org

A’kos Kovach, publisher and editorGary Dillard, copy and graphics editor

Items for publication are welcomed fromSEAGO member entities and strategic partners. Copy must be submitted at

least 7 business days prior tothe end of each month.

ExportUniversityTucson

Sept. 13, 20118:30 a.m. to noonPima College1255 N. Stone Ave.Tucson(520) 206-5000Cost: $49

Brandon Ott at OSHA training for Pathways stu-dents at Cochise College on July 16.

Pathways Seeking GreenEmployers for Trainees

The folks at J-6 Ranch/Mescal used resources at hand to guide visitors to various aspects of their community celebration on July 30. As the signs might

indicate, it was an event for locals and visitors alike.See more photos

on page 4.

The Turning Point Monthly, August 2011, page 3

Bisbee’s Got TalentThe Bisbee Homeless Coalition is holding the 3rd

Annual fundraising show — “Bisbee’s Got Talent” — on Aug. 20, 2011, at the Bisbee High School Au-ditorium.

The organizers are looking for talented people or groups to participate. This show will feature men, women, youth and children with a variety of talents.

Do you sing, dance, juggle or are you the funni-est stand-up comic? We know you are out there just waiting to showcase your talent.

Applications are available at the Bisbee Visi-tors Center in the Convention Center or by calling Cheyenne at 432-7839 or emailing her at bhshelter@questoffice.net.

Judges for the acts will be Larry Borger, Janet La-Valley and Dana Dorner.

For more information call 432-2844 and ask for Jane.

The show will be from 6 to 10 p.m. on Aug. 20. The entry fee for performers is $20.

Admission for the show will be $7 for adults 18 and over, $5 for students 7 to 17, with children 6 and under getting in free.

There will be a silent auction and a 50/50 raffle. Advance tickets will be sold at Atalanta’s Music

and Books (432-9976), the Bisbee Chamber of Com-merce (432-5421) and the Farmers Market on Satur-day mornings. Advance ticket prices there will be a discount: $6 for adults and $4 for students.

Tickets for the 50/50 raffle also will be sold at the Farmers Market.

Bisbee’s Got Talent:

Aug. 20, 2011, 6 p.m., Bisbee High School. Fundraiser for Bisbee Homeless Shelter.

SEAGO EDD Helps with J-6 EventWhen a community has an economic crisis, as was

the case now as bridge work on Interstate 10 is virtu-ally isolating the small business community at J-6/Mescal, it’s always nice to have a friend to help out.

That exactly what the SEAGO EDD did when at the end of July, the rural northern Cochise County community put together a Saturday “event” aimed at bringing in some of the business it’s been missing out on.

SEAGO was able to get out the publicity to such community-oriented media as Tucson’s Channel 4, the NBC affiliate, which gave the event a plug on three news shows the day before (the 10 p.m. news is shown at right) and put information on its website as well.

Nowhere Man and a Whiskey Girl (left) pro-vides some of the en-tertainment. The area’s business district turned into a community fair on July 30.

The Turning Point Monthly, August 2011, page 4