RD110 - Virginia Coalfield Economic Development Authority 2015 Annual Report


Executive Summary:
In 2015, the region saw one of the highest numbers of projects and jobs announced in a decade, and the Virginia Coalfield Economic Development Authority (VCEDA) reported one of the highest levels of loans and grants approved in many years. There were five new projects and five existing business expansions in the seven-county, one-city area served by VCEDA, for a total of more than 600 projected new jobs and more than $93 million in projected investment. It was another active year for VCEDA despite a now long-term decline in VCEDA’s primary funding source of coal and natural gas severance taxes.

New project announcements included TeleTech, which is locating a new customer experience center in Scott County that is projected to create 300 new information technology jobs, and DP Facilities Inc., which is constructing a new Tier III co-location data center at the Lonesome Pine Regional Business and Technology Park in Wise County. Sunset Digital Communications, Inc. announced it is expanding its broadband infrastructure within the region with assistance from VCEDA, and AT&T Wireless also added jobs in Russell County. Such projects reinforce the e-Region’s appeal as a great location for technology jobs and businesses.

The region is focused on becoming a new East Coast center for advanced manufacturing as well. In 2015, VCEDA approved funding to assist with an advanced manufacturing center of excellence satellite facility at Duffield. Several manufacturers made announcements during the year, including expansion announcements by Tadano Mantis Corporation, Simmons Equipment Company, and Blue Wolf Sales and Service in Tazewell County, and NorrisBuilt Fabrication in the City of Norton.

The region has worked together for many years to help develop the tourism industry, and several advancements were made in this field during the year. VCEDA approved funding to assist the Southwest Regional Recreation Authority with two new major OHV trail systems – the “Coal Canyon” trail in Buchanan County and the “Original Pocahontas” trail in Tazewell County. A new Holiday Inn Express & Suites hotel opened in Lebanon, made possible by funding from VCEDA. VCEDA also approved a grant to the Breaks Interstate Park to help with improvements at this important tourism destination.

In summary, statistics for 2015 were strong. During the year, VCEDA reported 41 prospect visits, 27 outreach business development events, 10 new projects and expansions, 649 projected jobs, over $93 million in projected investment, and nearly $14 million in VCEDA loans and grants approved. These measures were some of the highest in years, despite the fact that VCEDA’s revenues from coal and natural gas severance taxes continue to decline.