Nevada Receives Top AwardsArea Development magazine, a top publication for site selection and facility planning, recently honored the State of Nevada with its Gold Shovel award for economic development efforts in 2014, and the Tesla Gigafactory deal was identified as Nevada’s Deal of the Year.

The awards recognize projects undertaken in 2014, creating a significant number of high-value-added new jobs as well as investment. Silver Shovels are being awarded to 16 other states in five population categories, and one project in each population group is recognized as a 2014 Project of the Year.

In the competitive site selection world, Nevada’s strengthened economic development effort is changing how the state is perceived by those individuals tasked with scouting and selecting locations for industry-leading companies. Site selection has become an increasingly competitive aspect for state economic development efforts across the globe.

Nevada is one of five states being honored with the Gold Shovel award, in addition to Texas, Georgia, Tennessee and South Carolina.

In both instances, Nevada’s commitment to workforce development, available large-scale real estate, portfolio of incentives, and the cohesiveness of the State’s economic development structure were cited as the reasons for the State’s award designation.

THE ECONOMIC PULSE JULY 2015

LEARN MORE www.areadevelopment.com/Gold-Shovel-Econdev-Awards/Q2-2015/state-winners-economic-development-job-creation-4440515A.shtml

Company City Job Creation Investment Industry

Amazon.com LLC Reno MSA 600 $10 M Logistics/ Operations

Ashima Devices Reno MSA 100 $75 M UAVs (Drones)

Asurion Las Vegas MSA 800 $4.4 M Business IT

Catamaran, LLC Las Vegas MSA 353 $23.3 M Prescription Benefit Mgmt.

Cenntro Motor Corp. Reno MSA 300 $20.1 M Electric Vehicles

Ghost Systems Reno MSA 150 $222.1 M Business IT

K2 Energy Solutions Inc. Las Vegas MSA 371 $32 M Lithium Ion Batteries

Petco Animal Supply Stores, Inc. Reno MSA 150 $32.4 M Logistics/ Operations

Switch, Inc. Las Vegas MSA 440 $225 M Business IT

Tesla Motors Reno MSA 6,500 $5 B Lithium Ion Batteries

Nevada’s Gold Shovel Award Portfolio

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Fidelity National Financial Ventures Heading to Las VegasIn a move that is sure to cement Nevada’s place in the financial services industry, Fidelity National will relocate its headquarter operation from Jacksonville, Florida to Las Vegas. Fidelity National, a Fortune 500 company and the nation’s largest provider of commercial and residential mortgage and diversified services, plans to hire an initial 20 employees with an average wage of about $305 per hour, according to its incentive application, and plans to invest over $3 million in capital expenditures.

When looking at potential location sites, Nevada’s state and local tax structure, business permitting and regulatory structure, access to higher education resources, and the availability of qualified workforce were key factors in the decision.

The Company was approved by the GOED Board at the May 2015 meeting for Sales Tax, Modified Business Tax, and Personal Property Tax abatements.

Fidelity’s move to Nevada may bring a NHL team to Las Vegas as well. Bill Foley, Chairman of the Board for FNFV, launched a season ticket deposit drive for a Vegas-based NHL team and has partnered with the Maloof brothers to bring a team to play at the new MGM Resorts International - Anschutz Entertainment Group arena which is scheduled to open in April 2016. Foley would be the majority owner, and is hoping a team would be awarded to Las Vegas in time to start in the 2016-17 season.

Governor Launches Tourism Infrastructure Committee to Grow Southern Nevada’s Leading IndustryGovernor Sandoval, by Executive Order, has established a committee to identify and prioritize tourism improvement projects in southern Nevada, with GOED Director Steve Hill named as the Chairman.

The growth and success of tourism depends upon the continual investment in tourism, entertainment, convention, and transportation infrastructure, and investment in tourism infrastructure will result in increased employment and revenue for the State of Nevada.

The Committee will meet once a month until recommendations to the Governor have been compiled in a report that not only identifies and prioritizes southern Nevada tourism improvement projects, but also suggests and identifies funding for these projects.

Members of the Committee are: Mayor of City of Las Vegas; Chairman of the Clark County Commission; President and Chief Executive Officer of the Las Vegas Chamber of Commerce; President of University of Nevada, Las Vegas; and six representatives from the Nevada Resort Association.

LEARN MORE gov.nv.gov/News-and-Media/Executive-Orders/2015/EO_-2015-09-Establishing-the-Southern-Nevada-Tourism-Infrastructure-Committee/

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Tolsa West Corporation to Call Pershing County HomeLovelock is gaining a new employer which plans to create 18 jobs and invest over $2 million in capital expenditures. Tolsa is part of Tolsa Group, a company founded in 1957 and based in Madrid, Spain. Among the company’s varied product offerings are naturally absorbent minerals used for pet litter products, as well as for gardening products, products for the construction trade, animal feed and other industrial uses. The company has office, factory, logistics, laboratory, and mine locations in Asia, Africa, America, and Europe. Tolsa has plans to expand its worldwide operations into Nevada and make large financial investments in various facilities in the state. The project in Nevada will be for packaging of clay products for the consumer and industrial absorbent markets.

After reviewing various facilities in Nevada, the incentive programs, and Nevada’s history as a rich mineral state, Tolsa decided to expand its manufacturing and distribution operations into Lovelock, Nevada. Additionally, the company is reviewing the possibility of moving its U.S. corporate offices from Georgia to Reno, Nevada. Tolsa’s first acquisition in the

state was a manufacturing and distribution site in Lovelock, Nevada in late 2014, and the company is now looking into acquiring an additional nearby distribution center. The company also considered Wyoming for this project.

At the May 2015 GOED Board meeting, Tolsa was approved for Sales Tax, Modified Business Tax, and Personal Property Tax abatements.

GOED Launches Storefront Renovation Program in Rural Nevada The Storefront Renovation Program started as a GOED rural economic vitality initiative and with the assistance of NNRDA and the City of Elko, the program is now designed to be used by any historic downtown in rural Nevada. The Community Development Block Grant program, administered by GOED, will provide grants in the Elko Redevelopment Area. The grants require a dollar-for-dollar matching investment by the property owner and renovations are required to be in line with historic design standards.

Renovating storefronts along main streets in rural towns helps to increase the tourism draw for many historic towns which lends itself to strengthening the economic prosperity of many Nevada towns that rely on tourism dollars.

Tolsa’s Board approval is celebrated following the Board Meeting. From left to right: Lovelock City Councilwoman Pat Rowe, PCEDA Exec. Director Heidi Lusby-Angvick, Steve Hill (GOED Executive Director), Governor Brian Sandoval, COO Marc Fields(TOLSA), Daniel Klaich (Chancellor of NV System of Higher Education) , Pershing County Commissioner Carol Shank, Lt. Gov Mark Hutchison and Sec. of State Barbara Cegavske

BoomChickaPop Will Make its Popular Snacks in NevadaThe deliciously satisfying, and healthy, snacks made by Angie’s BoomChickaPop will soon be manufacturing in northern Nevada. Following approval in May by the GOED Board, Angie’s Artisan Treats will move forward with establishing a western manufacturing and distribution location for its products in Washoe County. The move will create 80 jobs and invest over $1 million in capital expenditures.

Reasonable real estate costs, a location that made logistical sense, and finding suitable food-grade manufacturing space were important in the company’s decision-making process. In addition to these factors, Nevada’s tax incentives made Reno an attractive option versus other locations considered in California and Utah.

Angie’s Artisan Treats was approved for Sales Tax and Modified Business Tax abatements.

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Important GOED Legislative Initiatives Become Law to Help Create Jobs and Grow Industry While there were a number of bills in which GOED played a role in either introducing or supporting, there are two new abatement bills that not only became law this session, but also go into effect on July 1, 2015.

In fact, at the July 2105 GOED Board meeting, companies applying for the new Aviation Parts Abatement bill (SB 93/AB161) and the Data Center Abatement bill (SB 170) were on the agenda for Board approval to move forward with creating jobs and growing industry.

Qualified businesses in Nevada that own, operate, manufacture, service, maintain, test, repair, overhaul or assemble an aircraft or any component of an aircraft can apply to GOED for a partial abatement from certain property or sales and use taxes. Following approval, the company would be eligible for a Sales Tax abatement to 2% and a 50% abatement on personal property.

A new Nevada business must have five or more full-time employees on its payroll within 1 year of receiving the abatements and an existing Nevada business must increase its number of full-time employees on the payroll of the its Nevada business by 3 percent or 3 employees, whichever is greater. Additionally, the businesses will need to make a capital investment of at least $250,000 in Nevada within 1 year of receiving the abatement or maintain and possess in Nevada tangible personal property of not less than $5,000,000 during the abatement time frame, which does not extend beyond 20 years.

READ MORE https://www.leg.state.nv.us/App/NELIS/REL/78th2015/Bill/1509/Text

Aviation Parts Abatement

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Data Centers that locate or expand in Nevada may apply to GOED for a partial abatement of

property taxes and local sales and use taxes for a period of either 10 or 20 years, with specific

requirements that must be met.

READ MORE https://www.leg.state.nv.us/App/NELIS/REL/78th2015/Bill/1539/Text

Data Center Abatement

10-year abatement requirements:

• A requirement of $25 million investment and 10 jobs for reduction of sales tax to 2% and 75% Persona Property Tax abatement

• Data center must, within 5 years of abatement approval, employ 10 or more full-time Nevada residents

• The data center must continue to employ 10 or more full-time Nevada resident employees for the full 10 years after abatement approval

• 50% of the construction workers for the data center must be Nevada residents

• Data Center must pay at least the state’s average wage and provide healthcare coverage.

20-year abatement requirements:

• A requirement of $100 million investment and 50 jobs for a reduction of sales tax to 2% and 75% Personal Property Tax abatement

• Data center must, within 5 years of abatement approval, employ 50 or more full-time Nevada residents

• 50 or more full-time Nevada resident employees must continue to be employed at the data center for the full 20 years after abatement approval

• 50% of the construction workers for the data center must be Nevada residents

• Data Center must pay at least the state’s average wage and provide healthcare coverage.

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Battle Born Ventures Invests in Las Vegas-Based Access Health DentalBattle Born Ventures has made an investment in Access Health Dental, a Las Vegas-based dental service organization founded in 2011 on the principles of combining good health care with good business. This is the fourth company in which Battle Born has invested.

Access Health Dental has forged relationships with large employers, medical facilities and various community and charitable organizations to build its market presence and raise awareness of oral health issues to better serve the community in which it operates. The Company has developed strategic relationships with American Casino and Entertainment Properties, Caesars Entertainment, MGM Resorts International, MusiCares, Project Smile, Turntable Health and Zappos.

The Company’s network currently includes seven dental offices in the Las Vegas area and one state-of-the-art mobile dental unit with five private treatment rooms. The mobile office serves patients at various casino properties and large employers on Las Vegas’ Strip, in downtown Las Vegas, and Laughlin.

Battle Born’s co-investors include a strategic investor in the dental industry and an institutional New Market Tax Credit investor, Enhanced Capital.

Nevada’s production of gold accounted for 74.5% of the U.S.

Mining in Nevada

Exploration companies in Nevada (approximately)

Nevada is home to the largest Diatomaceous Earth plant in the world

Nevada mining produced over $8.6 billion in gross revenue in 2013

Precious metals operations currently producing in Nevada

Nevada mines: gold, silver, copper, barite, limestone, lithium, dolomite, magnesium, gypsum, sand & gravel, silica, vanadium, molybdenum, diatomaceous earth

Over 2,000 local vendors and service providers address mining operation needs

Nevada is the sole producer of lithium in the U.S.

250 40+

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GOED Adds Three to Team

Three new staff members have joined the Governor’s Office of Economic Development to assist efforts in Natural Resource Technologies, Innovation, and Mining.

Matthew Tuma is serving the State of Nevada as GOED’s Natural Resource Technologies Industry Specialist. His work will focus on developing the industries of Agriculture, Energy, and Water which are grouped together under the Natural Resource Technologies title. Matt will leverage his past experience as a Regional Representative and Special Projects Manager to U.S. Senator Harry Reid as well as his previous position as the Nevada State Director for The Nature Conservancy to identify industry opportunities. He will travel equally between GOED’s offices in Carson City and Las Vegas.

Dan Langford comes to GOED from his most recent post as the Technology Commercialization and Industry Partnerships Manager for the University of Nevada, Reno. Dan will serve as GOED’s Industry Commercialization Manager and will assist the efforts in each of GOED’s targeted sectors to enhance opportunities in technology commercialization and innovation.

Sheldon Mudd has joined GOED as its new Mining Industry Specialist. Based in Elko, Sheldon will work with the mining industry to identify supply chain gaps and will work to attract investment to the mining industry, in addition to workforce development. Prior to joining GOED, Sheldon worked with Newmont Mining and Dyno Nobel, and served his country in the United States Air Force.

FAA Streamlines Authority For UAS Test SitesIn an announcement that is great news for Nevada’s FAA UAS Test Site effort, the Federal Aviation Administration has made it simpler for the six unmanned aircraft systems (UAS) test sites to conduct research by giving “blanket” authorizations to fly public aircraft operations throughout the National Airspace System at or below 200 feet.

Nevada has been working diligently to get companies up and flying UAVs on our test sites, and the ability to implement public aircraft operations that fly under 200 feet and within safety rules mandated by the FAA will significantly speed up the ability to test at Nevada sites, and move this emerging industry into commercial flights.

The FAA expects this improved access for the test sites will provide more opportunities for research that may help the agency integrate UAS into the nation’s airspace more quickly and easily.

The new Certificates of Waiver or Authorization (COAs) allow small UAS (under 55 lbs.) operated by the test sites to fly up to 200 feet above ground level anywhere in the country except restricted airspace and areas close to airports and heliports. Operators must fly during daytime Visual Flight Rules conditions and within visual line of sight of the pilot. The new authorizations also let the test sites fly various types of UAS under a single COA, making it easier for them to conduct research missions. Previously, the FAA required authorization for each type of UAS the operators wanted to fly.

The FAA now permits people who hold a recreational or sport pilot certificate to conduct test site operations under the blanket COA. Previously, the agency required operators to hold at least a private pilot certificate. A third class medical certificate also is no longer required. Now an operator only needs a valid driver’s license to satisfy the medical requirement.

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www.diversifynevada.com | 702.486.2700

1.800.336.1600success@diversifynevada.com

808 West Nye Lane, Carson City, NV 89703 555 E. Washington Avenue, Suite 5400, Las Vegas, NV 89101

Governor Brian Sandoval, Chairman

Lieutenant Governor Mark Hutchison

Secretary of State Barbara Cegavske

Mr. Benjamin Yerushalmi, Owner, The Jewelers of Nevada

Mr. Daniel Klaich, Chancellor, Nevada System of Higher Education

Mr. Don Soderberg, Director, Department of Employment, Training & Rehabilitation

Ms. Kathleen Drakulich, Attorney at Law, McDonald Carano Wilson

Mr. James Barrett, President, The JABarrett Company

Mr. Rob Roy, CEO/Founder, Switch Communication

Mr. Sam Routson, Chief Administrative Officer, Winnemucca Farms

Mr. Weldon (Don) Havins, MD, JD, Professor and Director of Medical Jurisprudence and Ophthalmology, Touro University Nevada

Board Members

Upcoming events

GOED BOARD MEETINGS

September 17, 1 p.m.November 19, 1 p.m.

MAIN LOCATION:

Nevada State CapitolThe Guinn Room101 S. Carson StreetCarson City, NV 89701

PUBLIC LOCATION FOR VIDEO CONFERENCE:

Grant Sawyer BuildingGovernor’s Conference Room555 E. Washington Avenue, Suite 5100Las Vegas, NV 89101

News

SANDOVAL SIGNS BILL SENDING $27 MILLION TO UNLV MEDICAL SCHOOL

Following approval of the Governor’s Budget from the Nevada Legislature, Governor Sandoval officially signed the legislation that will provide $27 million to UNLV to kick-start a medical school at the university. The medical school will not only address physician shortages, but also will have a significant economic development effect.

READ MORE http://lasvegassun.com/news/2015/jun/11/sandoval-signs-bill-sending-27-million-unlv-medica/

LEARN MORE www.nbcnews.com/business/economy/workers-are-new-weapon-battle-business-n365391

CNBC RECOGNIZES NEVADA’S WORKFORCE AS ECONOMIC DRAW

Nevada’s economic recovery has been highlighted in an article published by CNBC. The article, which heralds the Tesla move to Nevada as telltale sign of future business predictors, emphasizes the State’s dedicated, educated and skilled workforce as an indicator of future economic successes.

“When electric-car maker Tesla touched off a multistate bidding war for its Gigafactory battery plant last year, most of the attention focused on the tax breaks and other incentives states were offering. Nevada won the competition, but it turns out it wasn’t the state’s $1.25 billion in subsidies that sealed the deal. It was the state’s workforce,” the article reads.

Nevada is unique in its partnership with education and workforce development agencies, and GOED works hand in hand with these agencies to customize workforce training programs to further bolster the State’s already strong skill base.