FOX 5 Chooses Montgomery County for Their New Headquarters

I am pleased that WTTG Fox 5 and WDCA Fox 5 Plus will move its headquarters to Bethesda. This is great news as it will bring approximately 200 jobs to the County. You can read more about the relocation here.

Minimum Wage Impact Study

Hot off the press: here’s the Montgomery County, Maryland Minimum Wage Increase Impact Study.  The report addresses the impact on the county economy and labor market; the impact on the county government; the impact on county businesses; and the socioeconomic impacts. When the Council reconvenes in the fall we will take up Bill 28-17 that would increase the minimum wage to $15 by 2020 for many workers in Montgomery County. The current minimum wage is $11.50 per hour, and there are no requirements in law for further increases. In January the Council enacted a minimum wage bill in a vote of 5-4 that was subsequently vetoed by the County Executive. If you would like to weigh in on Bill 28-17, sign up to testify later this month at the public hearing to be held in late September; or send your written comments to county.council@montgomerycountymd.gov.

Our County at its Best

Check out this excellent marketing video from Visit Montgomery, the official tourism bureau for Montgomery County. It is a great reminder of why we love our county. 

Microloan Program for Entrepreneurs

The Council unanimously approved Bill 49-16 that will create a County microloan program that would provide loans from $500 to $15,000 for County residents needing additional help to start small businesses.

Nationally and locally, micro businesses have been found to improve the economic well-being and self-sufficiency of individuals who often find themselves in low wage jobs, but have the creativity and desire to own and operate a wide variety of businesses.

The amended legislation calls for the Montgomery County Economic Development Corporation to administer a “culturally proficient” program. Loans would be limited to no more than $15,000, with the expectation that most loans will initially be in the $500 to $5,000 range. Loans would be limited to County residents who headquarter their business in Montgomery County. Loan recipients would be required to participate in educational and technical assistance that would be part of the program.

The legislation was inspired by a meeting with the leadership of organizations that are currently working the most in this arena. During the meeting, the leaders expressed the belief that Montgomery County’s entrepreneurs would greatly benefit from the necessary technical assistance and access to microloans that can help aspiring entrepreneurs realize their dreams.

More information on the legislation is available at http://tinyurl.com/l3leg22.

Marriott Plans New Office and Hotel Complex in Montgomery County

Marriott is the gold standard for corporate excellence, and their decision to continue growing their business right here in Montgomery County is great news. Here's the full press release:

ANNAPOLIS, MD, October, 18, 2016--Marriott International, Inc., the world’s leading hotel company, announced today plans to relocate its global corporate office to a state-of-the-art, build-to-suit $600-million facility to be located in downtown Bethesda in Montgomery County. The county has been Marriott’s home for more than 60 years. The new complex will house more than 3,500 employees in approximately 700,000 square feet of leased office space. The company is continuing its consideration of several sites in downtown Bethesda, and is expected to select a final site in the first half of 2017. Marriott plans to occupy the new space before the expiration of its current lease at 10400 Fernwood Road in late 2022. Marriott also announced that a 200+ room, Marriott-branded hotel will be built on the site.

As part of the announcement, Marriott President and CEO Arne Sorenson said, “Marriott has been headquartered in Montgomery County, Maryland for more than 60 years and we intend to remain close to our roots. Our goal is to provide a cutting-edge workspace for our associates that offers state-of-the-art technology, modern amenities, and access to a range of transportation options.” Sorenson added, “We also plan to manage a new 200+ room Marriott-branded hotel to be built on the site, which will be a significant economic driver for the community. After a comprehensive review of many excellent options in Washington, D.C., as well as Arlington and Fairfax counties in Northern Virginia, and North Bethesda, we have narrowed our search to downtown Bethesda, an area which offers multiple sites that meet our priority needs.”

In addition to being home to Marriott’s corporate headquarters, Maryland also has 93 Marriott-branded hotels in the state – totaling nearly 18,000 guest rooms – following the company’s merger with Starwood Hotels and Resorts last month. In 2015 there were more than 10,400 jobs in Maryland at Marriott properties, including its corporate offices, Marriott-managed hotels and franchised properties.

“Marriott is a world-class company with deep roots in our state, and their decision to continue growing their business right here in Maryland is tremendous news,” said Governor Larry Hogan. “For over 60 years they have been a vital member of our business community, employing thousands of Marylanders, and making a real and lasting positive impact on our state’s economy. Today’s announcement also reflects a great partnership with County Executive Ike Leggett and his team – a partnership that ensures our state will continue to benefit from Marriott’s presence and investment for decades to come.”

“I am pleased by Marriott’s decision to keep its headquarters operations and employees in Montgomery County,” said Montgomery County Executive Ike Leggett. “The county, working closely with Marriott’s team and with Governor Larry Hogan, has partnered on an agreement that benefits the company, the state, and Montgomery County. Marriott has long been a mainstay here and has been an excellent corporate citizen, giving back again and again to help strengthen our community. The Marriott brand, now the largest in the lodging world, will shine ever more brightly from right here in the county.”

Montgomery County Council President Nancy Floreen said: “The Montgomery County Council is very enthusiastic about the agreement reached today to relocate Marriott’s corporate headquarters in downtown Bethesda. Marriott is the gold standard for corporate excellence. We are honored they have been here for 60 years and happy they plan to stay and build. This is a good deal for the County and County taxpayers. It creates jobs, stimulates business activity, and grows the County tax base.”

“Marriott is a brand recognized and respected around the world, and the fact that they call Maryland home does a lot to advance our economic development efforts,” said Maryland Secretary of Commerce Mike Gill. “With more than 90 hotel properties across Maryland that had more than $600 million in sales last year, Marriott is also a valued part of our state’s tourism industry, which contributes some $16.4 billion in economic impact within our borders each year.”

Marriott International, Inc. is a global leading lodging company with more than 5,700 properties in more than 110 countries. Worldwide property level sales of hotels operated or franchised under the company’s 30 hotel brands totaled $62 billion in 2015. The company is ranked 195 on the most recent Fortune 500 list. The company was founded by J. Willard and Alice Marriott and continues to be guided by Marriott family leadership for nearly 90 years.

New President and CEO of Economic Development Corporation

The Board of Directors of the Montgomery County Economic Development Corporation has announced that David Petr will become the first president and Chief Executive Officer of the new public/private venture beginning September 6. Petr joins MCEDC from the Central Florida Development Council, Inc., where he was the president and CEO.

As the former president and CEO of the Central Florida Development Council, Petr successfully transitioned the organization from a public/private partnership to a private organization, while achieving record-setting job creation and capital investment results during his tenure. The MCEDC Board believes his unique talents in organizational transformation and team building, while running a high-performing economic development program, will align well to the immediate and long-term needs of MCEDC.

Petr expressed his excitement to come to Montgomery County and to be part of the bold, new public/private partnership. "There's never been a better time for Montgomery County. I am honored to fuel prosperity as one of the many leaders of the organization. Collaboration and creativity will drive us to deliver results for the residents of the County and region, and enhance our collective quality of life."

Last year the Council approved the reorganization of the County's Department of Economic Development into a new non-profit organization that would have more flexibility in many aspects--including retaining current businesses and attracting new ones to the County.

Legislator of the Year

I'm so grateful to the Chamber for this recognition. See the video or read the full press release:

Montgomery County Council President Nancy Floreen will receive the Legislator of the Year Award from the Montgomery County Chamber of Commerce at its 57th annual dinner at 7 p.m. on Thursday, June 9, at the Bethesda North Marriott Hotel and Conference Center.

Council President Floreen, who chairs the Council’s Planning, Housing and Economic Development Committee and serves on its Transportation, Infrastructure, Energy and Environment Committee, this year led the Council toward creating a Fiscal Year 2017 operating budget that emphasized “Education First, but Not Education Only.” She was the lead sponsor of a plan that will accelerate the Montgomery County Public Schools’ schedule for refurbishing existing schools and building new ones. 

At the dinner that is expected to have a crowd of more than 800, other honorees will be Bell Nursery USA (Visionary of the Year Award); the National Institutes of Health (Public Sector Partner of the Year Award); Lawrence Duncan, III, vice president of Federal and State Government Relations and PAC Affairs of Lockheed Martin Corporation (Business Advocate of the Year Award); and Leslie Ford Weber, director of Campus and Government and Community Affairs for the Montgomery County campus of Johns Hopkins University (Chairman’s Award).

 Now in her fourth term, Council President Floreen has been an advocate for a strong business environment in the County. She inspired creation of the Montgomery Business Development Corporation that led to a new approach to economic development in the County, spearheaded the Green Business Certification Program and championed the rewrite of the County Zoning Ordinance and modernization of the Road Code. She previously served as Council president in 2010. 
The Donohoe Companies, Inc., Federal Realty Investment Trust, Linowes and Blocher LLP and Percontee, Inc. are the sponsors of the Legislator of the Year Award.

“Linowes and Blocher, Federal Realty Investment Trust, Percontee and Donohoe are honored to sponsor Nancy Floreen as the Chamber’s Legislator of the Year,” said Barbara A. Sears of Linowes and Blocher. “Nancy has been an effective leader in Montgomery County for nearly 30 years. As an at-large member of the Montgomery County Council for the last 14 years, she has helped shape County policies and laws in numerous areas with the best interests of the business community, residents, and other stakeholders in mind.  In her role as a legislator, she has consistently demonstrated the ability to balance competing interests while skillfully advancing important legislative goals.”

Council President Floreen said she was honored to be selected to receive the prestigious award.

“I am pleased to be recognized by such a venerable organization as the Chamber of Commerce and I am also proud to be associated with our many outstanding businesses that make Montgomery County such a great place to live, work and raise a family,” said Council President Floreen. “Most of all, I am grateful for having had the opportunity to work with the Montgomery County businesses of all sizes that have taken civic engagement so seriously and have made such a tremendous impact on our community.”

For press admission or inquiries regarding the dinner, contact Michelle Guzman of the Chamber of Commerce at mguzman@mcccmd.com or 301-738-0015.

County's Unemployment Rate Drops

The Maryland Department of Labor, Licensing and Regulation reports that Montgomery County’s unemployment rate for April was 3.3%. That's  down from 3.5% in March. 

Remarks at Committee for Montgomery Breakfast

What a great turnout at the Committee for Montgomery Breakfast. In case you missed them, here are my remarks from this morning:

It’s a privilege to be here this morning with so many people who make Montgomery County the great place it is.  Thanks to Raymond Sherbill (Chair, Committee for Montgomery), Steve Simon (Breakfast Chair), and everyone who has put together this excellent program.  Thanks also to Nancy King and Shane Robinson (Chairs of our Montgomery County Senate and House Delegations) and to our entire Delegation for the partnership they have forged with all of us.

I’m especially pleased to be here with my colleagues on the County Council – Council Vice President Roger Berliner and Councilmembers Marc Elrich, Tom Hucker, Sidney Katz, George Leventhal and Craig Rice.  Will they and their staff please stand?  Know that they work countless hours on behalf of our more than one million residents.

I truly congratulate the Committee for highlighting economic development this year.  There can be no question that this needs to be the number one priority for all of us. Only by focusing on job growth and expanding our tax base are we able to preserve and enhance our great County services and -- most important --create opportunities for our residents. That’s why with every legislative choice I make, I ask myself:  How does my decision enhance job growth? How does it expand the tax base? And how am I creating opportunities for all our residents to be self-sufficient and successful?

Five years ago, in the depth of the Great Recession, we launched the Montgomery Business Development Corporation, a public-private partnership designed to fuel our economy.  This past year, we took that achievement to the next level. We have created a new Economic Development Corporation -- moving us from a government- to a business-based model for County economic success.  We are truly elevating the status of business and job growth in Montgomery County.  The State will be a vital partner in this enterprise.  So will our region.  Once again, I thank the Committee for its wisdom in selecting today’s theme.

This is all the more important since, as you know, our County revenues are disappointing. Here’s our reality check. The Wynne decision alone will cost us 76 million dollars in the next fiscal year.  The shift of teacher pension costs will consume another 58 million dollars -- funds that we would much prefer to devote to the classroom. Now there’s a new threat -- the potential loss of 35 million dollars in revenue provided by our Department of Liquor Control. These pressures alone could drive tax increases, and that’s without considering any new initiatives, expanding successful programs or increasing education funding.

Everyone here knows what’s at stake.  We must meet our obligations to the community. At the same time we cannot unduly burden our residents or our businesses.  But that will require all of us to work together -- in Annapolis and here at home. And it will require us to ask over and over and over again:  How does my decision enhance job growth and expand our tax base? How am I creating opportunities for my community members?

So let us join forces now as we have in the past.  Let’s pool our energy and fortitude.  Let’s say yes to economic success in Montgomery County and claim the future that our people deserve.

Unemployment Rate Drops from Same Period Last Year

According to the Department of Labor, Montgomery County's employment rate in August was only 3.8 percent – down from 4.6 percent last August. Almost 10,000 more County residents had jobs compared to the year before.

The Power Conference: Women Doing Business

On September 3, more than 800 regional business women and men will converge at The Power Conference: Women Doing Business. You can attend any of 40 workshops and small group roundtables or visit the 70 exhibitors in the Business Marketplace and Resource Center. You can also show off your perfect pitch to a panel of business rock-star judges and compete for cash prizes and market exposure.

County Unemployment Rate Drops

Montgomery County's unemployment rate has dropped to below 4 percent for the first time since the recession. The unemployment for April (the most recent data available) is 3.7 percent. The last time we had a rate this low was November 2008.

Local Farmers' Markets Now Open

Stop by one of Montgomery County’s farmers’ markets for fresh, healthful produce and specialty products at locations across the County. The markets offer traditional items like fruits, heirloom tomatoes, cut flowers and preserves as well as many items that may be new to you. To ensure access to healthful products, many Montgomery County farmers’ market vendors accept SNAP, WIC and senior farmers market nutrition program benefits.

Council's Semi-annual Meeting with MBDC Today

Tune in at 2:15 p.m. today for the Council's semi-annual meeting with the Montgomery Business Development Corporation. The board advises the County Executive and the Council on economic development and related matters. Robert Brewer, chair of MBDC's Board of Directors, and Holly Sears Sullivan, MBDC's president, will present an update on MBDC's current efforts related to business retention; marketing and communications; data and research; and career pathways. Don't worry if you can't catch the meeting live; you'll be able to get it on demand starting 24 hours after the meeting.

MBDC Matches Large Businesses with Small

The Montgomery Business Development Corporation knows that small business is big business. That's why they help larger employers link up with small businesses for their procurement needs. To learn more, see MBDC's new public service announcement.

Appropriation to Stimulate Entrepreneurship

Last week the Council unanimously approved my proposal for a special appropriation for economic development. This additional funding will substantially increase the number of challenge grants and prizes available for entrepreneurs and innovators through the Department of Economic Development. It will also allow additional spending on marketing and business development programs generally and require the Department to submit a report in January outlining how the money will be spent.

We need this $150,000 increase because the regional economy is lagging. In fact, after years of strong performance relative to the nation, the metro area economy is lacking relative to other regions. According to the U.S. Bureau of Economic Analysis, the Washington, D.C.metropolitan area ranked 330th out of all U.S. metropolitan areas in terms of percentage change in real gross domestic product in 2013. In the second quarter of 2014, Maryland ranked 47th in terms of percentage change in personal income from the previous quarter. With this special appropriation, we are stimulating the local economy by encouraging entrepreneurship and job creation, and that's a good investment.

Apply Now for Two Task Forces on Procurement Process

Apply now for positions on two recently established task forces to study potential reforms of the County procurement system. The task forces the Council established are the Minority Owned and Local Small Business Task Force and the Procurement Policies and Regulations Task Force.

Get your letter and resume in by 5 p.m. on Wednesday, December 3 and make sure you indicate which task force you are interested in or whether you would be willing to serve on either one.

Each task force will consist of nine members (at least seven on each must be County residents) appointed by the Council. The Council will designate one member of each group as its respective chair. The task forces must solicit suggestions for potential reforms of the County procurement system from elected officials, County residents, business and community leaders, County and agency employees and other stakeholders.

The task forces must submit final reports to the County Council by September 15, 2015.

The Minority Owned and Local Small Business Task Force was established to provide options for reform of the County programs for minority owned businesses and local, small businesses to ensure that the procurement process is open to all vendors without regard to race, gender, national origin, disability or size of organization. The County’s Minority/Female/Disabled and Local Small Business Reserve programs are designed to eliminate the effects of discrimination in the marketplace on the award of County procurement contracts.

The Procurement Policies and Regulations Task Force was established to provide options for the reform of the County procurement system.  Simplifying the procurement process would increase the number of vendors who seek to do business with the County, resulting in better value and lower prices.

The task forces will be composed of members who are experienced in government, business or non-profit service delivery, or who otherwise have experience and expertise in government contracting. A person appointed to the task forces must not be employed by County government or any County-funded agency.

Letters of application expressing interest, including a resume listing professional and civic experience, should be addressed to: Council President Craig Rice, County Council Office, Stella B. Werner Council Office Building, 100 Maryland Avenue, Rockville, Maryland 20850.  Applications can also be submitted via email to county.council@montgomerycountymd.gov.

Applications must be received no later than 5 p.m. on Wednesday, December 3.  Letters of application and resumes are made public as part of the appointment process and are available for public review. After the closing date, the Council will review the applications and resumes for designation to the task forces.  The Council anticipates making the appointments by January 20.

Find Local Events with Visit Montgomery County

Visit Montgomery County just launched a local advertising campaign promoting its new county-wide calendar of events. The campaign includes Ride On bus ads, print and online advertisements in Recreation News, The Gazette, The Washington Post Express and an on-air campaign with All the Hits 107.3. Although Visit Montgomery invests more than $450,000 in advertising each year, this is the first time they are advertising in the local market.

In late August, Visit Montgomery County launched a new Web site, www.VisitMontgomery.com, with updated features like a county-wide calendar of events, interactive map and a trip builder. Visitors can subscribe to an event-specific feed, such as “family fun” or “outdoor adventures” and have the events automatically appear on their Outlook, iCal or Gmail calendar. The event calendar is always in the top five pageviews on the Visit Montgomery website, and that number continues to grow as popular events occur. During the first week of September, the pageviews for the Silver Spring Jazz Festival increased by more than 1,000 from the previous week.

I advocated for creating and funding the new Web site because I thought we needed one Web site with all events in Montgomery County. In 2013, I introduced Bill 36-12, which increased the allocation of the hotel tax to Visit Montgomery from 3.5% to 7%. The Council passed the bill and the funding increase began on July 1, 2013.

Visit Montgomery County encourages local organizations to post their events on the new online calendar of events free of charge. The guidelines are that the event occurs in Montgomery County and would be of interest to a tourist or resident. The goal is to be a one-stop shop for all events in Montgomery County.

The mission of Visit Montgomery County is to enthusiastically promote, market and sell Montgomery County as a destination for meetings, conventions and individual travelers, fostering economic development and benefiting and supporting members and the overall business community. It is Visit Montgomery County's goal to show leadership and be regarded as a quality organization of experts and advocates of its members, partnering with local, county and state organizations and government officials in an effort to further these goals.

MBDC Announces Three New Board Members

MBDC has three new members. We're extremely grateful for their willingness to serve. Here's the full press release:

The Montgomery Business Development Corporation (MBDC) has announced the election of three new members of its Board of Directors.  Joining the Board for three-year terms are Lisa Cines, CPA, Office Managing Partner Dixon Hughes Goodman, Leslie Ford Weber, Director of Campus, Government and Community Affairs for Johns Hopkins in Montgomery County, and Kelly T. Leonard, CEO of Taylor-Leonard Corporation. The Board makes policy decisions and oversees the MBDC operations.

Lisa Cines is the Office Managing Partner, Dixon Hughes Goodman LLP with over 30 years of public accounting experience.  She is well versed in accounting firm management with an emphasis on strategic and financial management, marketing and business development.  The Washington Business Journal named Ms. Cines as one of the “25 Women Who Mean Business.”  She currently serves as the Chair of the Montgomery County Chamber of Commerce, serves on the board of Rockville Economic Development Inc., chairs the Advisory Board of the Maryland Women’s Business Center and is a member of the University of Maryland Smith Business School Advisory Board.

Leslie Ford Weber is the Director of Campus, Government and Community Affairs for Johns Hopkins in Montgomery County.  Ms. Weber coordinates the regional legislative agenda at the state and federal level and manages multiple relationships with the local executive and legislative branches and community organizations for both the University and Johns Hopkins Medicine.  Ms. Weber joined Hopkins-affiliate Suburban Hospital as Executive Vice President of the Suburban Hospital Foundation in 2004 and was also named Senior Vice President of Government and Community Relations in 2008. Ms. Weber is a graduate of the Leadership Montgomery program, a past chair of the Greater Bethesda-Chevy Chase Chamber of Commerce, and currently serves as the Treasurer of Montgomery Women and a board member and Vice-chair of the Economic Development of the Montgomery County Chamber of Commerce.   

Kelly T Leonard is the CEO of Taylor-Leonard Corporation, with expertise in business development specifically for entrepreneurs and small business.  Ms. Leonard is a speaker, trainer, business leader, and 2014 Minerva Entrepreneur Women-Owned Business of the Year Award recipient. A certified public accountant, seasoned financial services professional, and corporate trainer with over twenty-five years of experience in federal government, private and public accounting environments, including Fortune 100, Kelly has an innate ability to connect with diverse audiences across disciplines.  Prior to becoming CEO of Taylor-Leonard Corporation (T-LC), Kelly held leadership positions with GE Capital, Kaiser Permanente, and PriceWaterhouseCoopers.  

Montgomery Business Development Corporation is a non-partisan business development organization created by the Montgomery County Council in 2010 to expand the County’s economic development capabilities, including strategic planning, marketing, business retention and attraction, and data analysis.  For more information about Montgomery Business Development Corporation, please visit www.montgomerybusiness.org.

OLO Report on Procurement Process for Local, Small or Minority Business

The Office of Legislative Oversight recently released two reports that looked at issues affecting economic development.

One looks at the County’s procurement process for local, small or minority businesses. The report, titled “Procurement and Small, Minority, Female, Disabled and Locally-Owned Businesses,” summarizes survey data collected from approximately 1,200 businesses about the County’s procurement process and the Local Small Business Reserve and the Minority, Female and Disabled-Owned Business programs. Here's the full press release:

ROCKVILLE, Md., July 29, 2014—The Montgomery County Council released a report today from the Office of Legislative Oversight (OLO) regarding the County’s procurement process for local, small or minority businesses. The report, titled “Procurement and Small, Minority, Female, Disabled and Locally-Owned Businesses,” summarizes survey data collected from approximately 1,200 businesses about the County’s procurement process and the Local Small Business Reserve (LSBRP) and the Minority, Female and Disabled-Owned Business (MFD) programs.

The report summarizes the experiences of local small businesses with the County procurement process, including a look at the steps involved in the application process and the County’s interaction with businesses. 

While survey respondents reported mixed experiences with County procurement, OLO found a strong interest among the business community to provide goods and services to County Government. 

Based on the survey results, OLO recommended in its report that the County Government strengthen current procurement outreach efforts and develop consistent follow-up for bid submissions.   

The report is available at the OLO web site at:  
http://www.montgomerycountymd.gov/olo/reports.