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  1. Eco-friendly food packaging company opening facility in Martinsburg

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    A new eco-friendly food packing company will open a facility in Berkeley County, bringing 600 jobs to the area.

    Gov. Jim Justice announced the new economic project Thursday during the West Virginia Chamber Annual Business Summit at his luxury resort, The Greenbrier.

    Treplar will invest $50 million into the state and is opening a facility in Martinsburg. Justice said the facility will be up in running in the next couple of months.

    “Treplar is currently testing a new generation of food packing material that is 100% home compostable,” the Republican governor said.

    The company mission is to “help food businesses seamlessly transition away from banned single-use plastic to a more sustainable product that benefits our industry — and the planet,” according to its website.

    Treplar makes food retailer trays, plates and more using a technology known as “XPET,” a sustainable solution to hard-to-recycle polystyrene trays.

    “Our new project is a catalyst for change,” said Murat Ogulcan, president of Treplar, who thanked the governor for his support. “We found a new home in West Virginia.”

    The governor’s office said the company did not receive any incentives to launch in West Virginia.

    The summit has so far been packed with economic announcements for the state, including a $800 million restart for the Pleasants Power Plant in St. Marys and a program that looks to keep Marshall and West Virginia University graduates in the state.

    The event, which has been attended by state leaders and business owners, wraps up Friday.

    Many of the announcements have centered on reversing the state’s population decline — the fastest in the country — by providing jobs and incentives to remain in state.

    “What’s going on in this state, it’s absolutely a movement toward jobs and opportunity for our kids,” said Justice, who is running for a U.S. Senate seat in the 2024 election.

    Following the announcement, Justice said he was leaving the resort to survey flood damage in the state. The governor declared a state of emergency in five West Virginia counties — Kanawha, Braxton, Calhoun, Clay and Roane counties — because of heavy rain and flooding.

    Original Article by Amelia Ferrell Knisely
    Original Article Here
  2. Mountaintop Beverage Begins Production in Morgantown Industrial Park

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    Got milk? Mountaintop Beverage does.

    Got a 330,000 square-foot state-of-the-art automated aseptic bottling facility capable of processing staggering amounts of raw dairy into an array of products with up to a one-year shelf life?

    Mountaintop has that too.

    And it’s just getting started.

    On Friday, the first trucks carrying shelf-stable milk from the Mountaintop Beverage facility rolled away from the Morgantown Industrial Park to locations across the country.

    Not bad when you consider the site where the massive factory stands was literally a mountaintop in August of 2021.

    Since then, 1.7 million cubic yards of dirt was relocated, 50,000 tons of concrete was set in place and a dizzying tangle of stainless-steel piping — eight miles worth — was pieced together to form the plant’s circulatory system.

    “This is quite a place,” Mountaintop Beverage CEO Jeffrey Sokal said.

    And it’s got quite a mission.

    “The goal we have is to help rebuild the farming infrastructure and to rebuild dairy. Dairy production in the state of West Virginia is down roughly by half over the last 10 years,” Sokal said. “The state has very strong FFA and 4-H programs. So, for folks who want to farm, this factory is going to be here for decades.”

    That’s why recruiting Sokal and his team from western New York to West Virginia became a priority for Commissioner of Agriculture Kent Leonhardt and West Virginia Dairy Association Deputy Commissioner Joe Hatton.

    Sokal credits both men primarily for bringing Mountaintop Beverage to the Mountain State and notes hundreds of individuals, from the governor’s office to the county commission, have gone the extra mile to help make it happen.

    “We’ve felt welcome right from the start and made to feel like this project is important to the state and the community. So many people have gone out of their way to push this project,” he said.

    “And we want to be here. There are industrial parks with shovel-ready sites all over Ohio, Pennsylvania and New York, but we wanted to be here because of what this facility can do for this state, the community, the ag community and the dairy industry. We went to a lot of trouble to clear this site. So, anybody who questions why we came here, we came here to make a difference.”

    Today, about one-third of the 330,000 square-foot factory built as Phase I of the overall project is in production. It currently has a workforce of 150 people. Sokal anticipates the entire facility will be operational by year’s end, with more than 200 employees producing shelf-stable milk, coffee products, protein shakes and plant-based beverages.

    A big emphasis for the company will be school milk.

    The last year saw the closure of several large production facilities, creating shortages of school milk all over the country, and particularly in the southeast.

    Sokal explained the school milk production capacity coming online at Mountaintop Beverage is the largest in the United States by a factor of three.

    And that will represent just one of the facility’s three production lines.

    Currently, the plant is receiving its milk from Somerset County, Pa.

    Even in its limited startup capacity, the plant already has a demand nearly twice what West Virginia farms can provide.

    Further, there’s already a dairy processor in the state, United Dairy.

    “If I’m taking all the milk from local farms, then I’m taking milk away from their business. If I’m bidding the schools, which are typically supplied by United, then I’m taking business and jobs away from Wheeling, Charleston and Uniontown, where they operate. That doesn’t do the area any good. We’re just shuffling deck chairs,” he said.

    “What we want to do is rebuild. Initially, we’re getting our milk from Somerset Valley and over time as we rebuild the dairy infrastructure and help build up dairy farming in and around the state, then we can do that cooperatively with them.”

    And while Sokal and his team are figuratively building the state’s dairy industry, they’ll be physically building more production capacity.

    Sokal anticipates construction on an additional 170,000 square feet of production space, or Phase II, could begin as early as this summer and come online in 2025. After that, Phase III.

    “We designed a 750,000 square-foot factory. We just haven’t built it all yet,” he said.

    Playing a critical role in those expansion plans is the question of interstate access, meaning the construction of the new Harmony Grove interchange connecting I-79 to the industrial park.

    Glenn Adrian, co-owner of the Morgantown Industrial Park as part of Enrout Properties, said he’s hopeful the new interchange will be under construction in 2024 and open in 2025.

    Sokal admitted the pace at which this process is moving has been a frustration.

    “Bottom line is we wouldn’t have come if we didn’t get that commitment from the state. We’re here. We feel like we’ve held up our end. So it’s certainly taken a little longer than we would have hoped, but I think they’re making material progress now,” he said. “For us, you can’t really overstate how important that is.”

     

    Original Article by Ben Conley on The Dominion Post.com

    Original Article Here

  3. Gov. Justice Announces UNDBIO Secures Lease in Monongalia County

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    A lower-cost insulin manufacturer has taken the next step toward establishing a location in West Virginia.

    UNDBIO, a South Korean company, has secured a lease with West Virginia University to build an insulin manufacturing facility in Morgantown.

    The company anticipates creating 200 jobs within the first three years while investing $100,000,000 in phase one of the project.

    Gov. Jim Justice celebrated the lease agreement and praised the development during a briefing at the state Capitol.

    “The Morgantown area has a strong manufacturing history and I am proud that UNDBIO will join our growing list of successful, world-leading manufacturing companies who’ve chosen the Mountain State,” Justice said.

    The company has plans to build the manufacturing facility in the West Virginia University Research Park. Company leaders have said the project is valued at about $100 million and is expected to employ as many as 1,200 when up and running.

    The company plans to partner with West Virginia University on other research projects as well.

    “It’s really a firming up of the commitment. West Virginia’s made some financial commitments, and UNDBIO has made substantial commitments to the Morgantown area,” state Development Secretary Mitch Carmichael said on MetroNews’ “Talkline.”

    He added, “It’s really a revitalization of the pharmaceutical industry in the Morgantown area, and it’s great for West Virginia — and it’s great for Morgantown in particular.”

    UNDBIO has been developing a proprietary manufacturing method aimed at lowering the cost of insulin.

    In phase one, the facility will work to secure Food and Drug Administration approval for the product. After securing FDA approval, UNDBIO plans to expand, resulting in additional jobs.

    Carmichael acknowledged the FDA approval could still take time, but he drew confidence from the insulin’s acceptance and production in other countries.

    “Ground will be broken on the building this fall, and FDA approval will not be forthcoming for probably a year and a half or two — and you can’t control the speed at which the FDA approves.

    But, Carmichael added, “the nice thing that gives everyone confidence about it is that it’s already being utilized and manufactured in other countries throughout the world. So the fact that it needs American FDA approval is significant and we’ll undergo that process, but the project is moving forward.”

    The Centers for Disease Control & Prevention reports more than 34 million people in the country have diabetes and one in 10 West Virginians are affected by the disease. The data also shows nearly 20-percent of people with diabetes skipped, delayed or rationed insulin due to cost.

    “The mission of UNDBIO is to develop and produce state-of-the-art insulin in West Virginia,” UNDBIO Chairman Caleb Jun said.

    “Our products will save human lives and improve the quality of life for those afflicted with diabetes. We are excited to see West Virginia become a mecca for manufacturing highly advanced insulin to treat diabetic patients around the world.”

     

    Original Article by Brad McElhinny on WVMetroNews.com Original Article Here

  4. Positive Economic Growth for the Future of the Mountain State

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    In the past 18-24 months, several positive news stories touting new and expanding business facilities and job creation have been announced within Black Diamond Realty’s West Virginia footprint.  This article recaps some of these notable announcements that will build positive economic growth for the future of the Mountain State.

    Most recently, Clorox revealed the opening of cat litter manufacturing plant in the Eastern Panhandle of WV. The 97,000 square foot plant is open in Martinsburg WV and will produce the company’s Fresh Step and Scoop Away products. This plant will begin with more than 100 workers, including over 80 from West Virginia. Clorox plans to be in full production by early 2023. The company has also built a 450,000-square-foot warehouse down the road from the plant.

    Read more here: https://www.blackdiamondrealty.net/local-news/clorox-opens-cat-litter-plant-in-martinsburg/

    In August, it was announced that the West Virginia AeroTech Park will house North Central West Virginia Airport’s new terminal building, an expanded taxiway, an enlarged parking lot and will provide ample build-ready land for the continued growth and development of the region’s aerospace industry. The total economic impact of construction expenditures for the airport’s terminal expansion project is estimated to be $88 million, of which more than $55 million will be spent directly, and another $33 will be generated in secondary industries, according to analysis from the WVU Bureau of Business and Economic Research. The terminal expansion project is estimated to employ about 356 construction workers directly, and another 199 in supplier industries, for a total employment impact of 555 jobs.

    Read more here: https://www.blackdiamondrealty.net/local-news/officials-celebrate-completion-of-site-development-for-west-virginia-aerotech-park/

    With July came the announcement that West Virginia would be launching the state’s second small satellite, the WVU Small Satellite Center, in North Central WV. The SmallSat Center will work with businesses and other organizations to develop West Virginia’s second small satellite and to help those partners offer services and products to clients who want to fly experiments out to low orbit. Candy Cordwell (assistant director) said the SmallSat Center will create 15 new jobs immediately: five at WVU and 10 through the consultant company that will initially be contracted to offer small satellite simulation, design, manufacturing, deployment and management services to the team. Within three to five years, as the center becomes financially self-sustaining, she predicted that the high-wage staff positions will increase to more than 30 jobs in administration, business development, education and advanced aerospace manufacturing. This center not only boosts the aerospace industry statewide but also provides the hope to increase students K-12 interest and education in engineering/growth within the STEM field.

    Read more here: https://www.blackdiamondrealty.net/local-news/west-virginia-aerospace-industry-set-to-take-off-with-launch-of-wvu-small-satellite-center/

    Groundbreaking occurred in June for a state-of-the-art hub for managing and coordinating complex medical supply logistics.  Owens & Minor, a Fortune 500 company that provides medical supplies, is going to expand on a deal they previously had with WVU Medicine and create over 125 jobs at a healthcare products preparedness and supply center in Morgantown.
    Read More here: https://www.businesswire.com/news/home/20220627005704/en/Owens-Minor-Breaks-Ground-on-Center-of-Excellence-for-Medical-Supply-Logistics-in-West-Virginia

    In June 2022, South Korean drug manufacturer UNDBIO signed a Memorandum of Understanding pledging to manufacture insulin in West Virginia. The letter indicates there are plans to locate the facility at the West Virginia University Research Park in Morgantown.

    The news of this agreement between UNDBIO and the State of West Virginia is a positive step forward in UNDBIO’s quest to manufacture insulin right here in West Virginia. “While there is still more work to do to finalize this new facility, I stand ready to help to make sure this becomes a reality. I congratulate UNDBIO on this advancement and look forward to supporting them in their investment that could lead to creating more than 1,000 jobs in West Virginia.” – U.S. Senators Joe Manchin

    Read more here: https://www.blackdiamondrealty.net/local-news/korean-drug-maker-pledges-to-build-plant/

    In March, American Medicines Company announced that they are going to build a pharmaceutical manufacturing facility in West Virginia. This will bring 500 to 600 high-tech jobs to West Virginia. After listening to an interview with Crystal Mersh she mentioned that they do plan for this company is to not only develop medications, but to also manufacture and distribute.

    Read more here: https://wchstv.com/news/local/company-to-bring-500-to-600-high-tech-jobs-to-wva-official-says?fbclid=IwAR3gcrafpMiiFe0B5IzAz7GTEpk4IAjBibl87A6p4NZXxc8K1CC-c9C3WB8

    Video interview with Crystal Mersh: https://twitter.com/WVMetroNews/status/1509557921050501122?ref_src=twsrc%5Etfw%7Ctwcamp%5Etweetembed%7Ctwterm%5E1509557921050501122%7Ctwgr%5E9d51eb96789f23d2ba243749c744cacb2ce5c3c1%7Ctwcon%5Es1_&ref_url=https%3A%2F%2Fwvmetronews.com%2F2022%2F03%2F31%2Fpharmaceutical-company-envisioned-to-develop-manufacture-distribute-from-west-virginia%2F

    Also in March, it was revealed that Omnis Building Technologies will build a $40 million, 150,000-square-foot facility in Bluefield to manufacture housing materials that will revolutionize the future of residential construction, creating 150-300 jobs in the process.  Additionally, PepsiCo Beverages and Frito-Lay are investing a combined $32.5 million to build a pair of new, state-of-the-art warehouse and distribution facilities in West Virginia by the end of 2022, bringing dozens of additional new jobs to the state. (Jordan Damron wrote: https://governor.wv.gov/News/press-releases/2022/Pages/Governor-Justice-West-Virginia-reaches-2nd-highest-export-growth-rate-in-nation-in-2021.aspx)

    Read more here: https://www.blackdiamondrealty.net/local-news/pepsico-opening-new-facilities-in-west-virginia/

    In January , GreenPower Motor Company announced an agreement with the state to manufacture zero-emission, all-electric school buses in South Charleston, bringing hundreds of new jobs and millions of dollars in economic impact to West Virginia. The operation is expected to bring 200 new jobs to the state within the next year and the potential to create as many as 900 jobs once full production is reached in 24 months, the news release said. https://www.blackdiamondrealty.net/local-news/automobile-manufacturing-company-to-open-facility-in-south-charleston/

    To kickoff 2022, Governor Jim Justice revealed that Nucor Corporation selected Mason County as the location for a state-of-the-art sheet steel mill. This record investment will exceed $2.7 billion, making it the largest in West Virginia history, as well as the largest single investment Nucor has ever made.

    Read more here: https://governor.wv.gov/News/press-releases/2022/Pages/Gov.-Justice-announces-Nucor-to-make-largest-investment-in-West-Virginia-history.aspx

    Toyota Motor Manufacturing West Virginia (TMMWV) will invest $210 million to upgrade existing engine production and add 100 new jobs to increase assembly capacity of its four-cylinder engine line. Once complete, TMMWV’s total investment will be more than $1.8 billion and total employment will exceed 2,000.
    “This is such exciting news for West Virginia’s business community as well as our families that businesses are choosing to grow their organizations here. Toyota is a wonderful example of how a global company can be successful right here in West Virginia.” – U.S. Sen. Joe Manchin, D-West Virginia, praised Toyota for their long-term commitment to the Mountain State.

    Read more here: https://www.blackdiamondrealty.net/local-news/toyota-west-virginia-announces-210-million-new-investment-and-100-new-jobs/

    Virgin Hyperloop announced Thursday, Oct. 8, 2020 that it will locate a certification facility on nearly 800 acres of land spanning Tucker and Grant counties where it will leverage intellectual capital and resources from West Virginia University, Marshall University and from across the state. Virgin Hyperloop plans to directly hire 150-200 engineers and technicians for the facility with plans to source talent locally. In addition, the construction and manufacturing of the project will create 7,300 jobs throughout the region over the next five years and the longer-term operation phase will create 6,000.

    Read more here: https://www.blackdiamondrealty.net/local-news/virgin-hyperloop-to-build-hyperloop-certification-center-in-west-virginia/

    As of November 2020, Bridgeport, WV received news that it would be the benefactor of a portion of 300 new aircraft technician jobs between MHIRJ Aviation Inc.’s (MHIRJ) West Virginia and Arizona facilities.  https://www.blackdiamondrealty.net/local-news/mhirj-aviation-inc-announces-hiring-plan-for-300-available-positions-at-bridgeport-location/

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  5. West Virginia Aerospace Industry Set to Take Off With Launch of WVU Small Satellite Center

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    West Virginia is now on its way toward launching the state’s second small satellite. A team from West Virginia University and the NASA West Virginia Space Grant Consortium is poised to turn that achievement into a massive boost for the aerospace industry statewide by taking the first steps toward opening the West Virginia Small Satellite Center of Excellence.

    The SmallSat Center will work with businesses and other organizations to develop West Virginia’s second small satellite and to help those partners offer services and products to clients who want to fly experiments out to low orbit. As Melanie Page, director of the Space Grant Consortium, put it, “It’s like a ‘Field of Dreams’ for small satellites.”

    With the announcement of $911,708 in U.S. Economic Development Administration funding, that mission is a go.

    West Virginia’s first small satellite, STF-1, launched from New Zealand in 2018 and vastly exceeded the usual three-month lifespan for a SmallSat – it’s still up there, transmitting from outer space, more than 1,300 days later. When it came time to capitalize on STF-1’s success, Candy Cordwell, assistant director of the Space Grant Consortium, and Majid Jaridi, former director, envisioned the next SmallSat kickstarting and sustaining an entire industry for aerospace research, products and services in West Virginia.

    The EDA’s Assistance to Coal Communities grant goes to projects that advance economic diversification, aerospace manufacturing and STEM training opportunities in areas severely affected by the declining use of coal. In the case of WVU’s initiative, Page said the money will not only support the Innovative Orbital Test Array mission, or IOTA, in which a second SmallSat will be produced and launched as STF-1’s proof of concept, but it will also enable the opening of the SmallSat Center of Excellence.

    The Center will be a hub for small satellite research, development, testing, production and commercialization, and “truly an innovation incubator that meets the needs of an industry that meets the needs of customers,” according to David Martinelli, professor of civil and environmental engineering at the Benjamin M. Statler College of Engineering and Mineral Resources, who has joined forces with Cordwell and Page to launch the SmallSat Center.

    “We’re going to be building satellites in West Virginia,” he said. “As soon as STF-1 was up there for 300 days, people started saying seriously that this is something we should be very proud of and try to capitalize on, and Candy Cordwell and Majid Jaridi came up with the concept of positioning space as an industry for West Virginia. STF-1 was built with West Virginia talent and West Virginia capability. I think that speaks to the likelihood of our success for step two.”

    Cordwell said she was thrilled about the project’s potential to kickstart an industry that will have Mountain State residents designing and building satellites destined for the stars.

    “This could enable West Virginia to participate in the rapidly growing commercial sector associated with the launch and operation of small satellites,” she said. “The very unique and exciting aspect of this project is that it brings academic, industrial and government partners together to initiate and foster a research center that will bring jobs and economic activities to North Central West Virginia.”

    Demand for small satellites is very much on the rise, Page added, with the global market expected to hit more than $3 billion a year and with a robust client base that include governments, companies and research institutions. The SmallSat Center will support West Virginia businesses in serving customers that could range from a telecommunications company to a national cybersecurity program or a research institute monitoring climate change. It will be those clients’ needs that help drive the design of the second-generation IOTA satellite.

    Like STF-1, the second SmallSat will be fitted with a flight computer, radio, solar panels and cells, a camera and other instruments for data detection and collection, as well as slots for the satellite’s payload — computer cards that carry the clients’ instructions to the satellite, whether they’re looking to use it to monitor space weather or enable in-car navigation systems.

    The IOTA SmallSat may be a three-unit cube satellite, like STF-1, with a form based around three 10-centimeter cubes, or it could be scaled up to a six-unit CubeSat. Or it might take a different form altogether, according to the feedback the SmallSat Center will hear from potential clients and partners.

    “Let’s say that a client came to the Center and said, ‘We’re really interested in a satellite that serves a certain need,’” Martinelli said. “What we may do first and foremost is put them in touch with one of our private partners in the state and say, ‘OK, here’s the company that’s ultimately going to build this satellite for you.’ Then we would work with that company to find out what needs to be done, to help them deliver whatever that commercial need is. Our role is to use our talents and facilities and opportunities to fill the innovation gaps to help a West Virginia company serve a client for a small satellite.”

    Martinelli relishes the fact that this project is equal parts science and industry, theory and practice.

    “What makes this special is that, although West Virginia currently has significant space-related activities, I believe this is the first one that’s truly commercial. West Virginia has research contracts with NASA and related agencies, but the idea of space commercialization and industry in West Virginia is new,” he said.

    “We’ve demonstrated we can produce space products in West Virginia. We now have to demonstrate that we can produce space products that have market value, so I want to make sure that from day one the innovation is very intentional in terms of bringing value to as many different industries as possible.”

    Cordwell said the SmallSat Center will create 15 new jobs immediately: five at WVU and 10 through the consultant company that will initially be contracted to offer small satellite simulation, design, manufacturing, deployment and management services to the team. Within three to five years, as the center becomes financially self-sustaining, she predicted that the high-wage staff positions will increase to more than 30 jobs in administration, business development, education and advanced aerospace manufacturing.

    Martinelli said he believes it won’t be long before West Virginia has a significant need for “computer scientists and engineers of all types – electrical and computer engineers, chemical and aerospace engineers, even structural engineers – as well as analysts, people who know how to work with data. That’s going to be a big part of it because ultimately the value of the satellite is usually data driven. Data is the ultimate product and many emergent companies here will need somebody who knows how to work with data, statisticians and analysts and modelers and mathematicians.”

    Page pointed out that, considering West Virginia lost 1,800 technology and science jobs between February and May 2020, making sure those aerospace positions are filled by skilled, trained West Virginians is part of the vision, too.

    “If you talk to anyone that’s in engineering or a STEM field, they say two things matter in terms of someone’s decision to follow that career path,” Martinelli said. “No. 1 is that you get to them early. No. 2 is that there’s somebody, maybe a family member or maybe someone else in their life, who works in STEM.”

    Martinelli acknowledged that too many youth in West Virginia lack one or both of those opportunities but said he’s passionate about engineering education and growth in STEM.

    “We’re going to use the SmallSat Center as an opportunity to hit that aggressively. I certainly will look at all possibilities to showcase what we’re doing to K-12 students,” he said.

    “This is the advantage of working with the University, the fact that it gives us not just our research capabilities, but the educational mission as well. We have our clean room and labs where the satellite will be assembled and components tested and so forth. I want to see a parade of students in there on elementary school field trips. I want to see young students going through the facility where they talk to engineers and foster interest in STEM careers.”

     

    Original Article by WVU Today on wvutoday.wvu.edu, July 20, 2022.

    Original Article Here

  6. Inflation hits another 40-year high. What does that mean for shoppers and the next Fed rate hike?

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    Inflation jumped again in June on a persistent climb in gas, food and rent costs, notching another 40-year high and likely solidifying the Federal Reserve’s plans for another big rate hike this month.

    Prices increased 9.1% from a year earlier, up from an annual rate of 8.6% the prior month and the largest gain since November 1981, the Labor Department’s Consumer Price Index showed Wednesday. Economists surveyed by Bloomberg had estimated inflation would rise to 8.8%.

    On a monthly basis, consumer prices increased 1.3%, the largest such leap since 2005, compared with a 1% rise in May.

    “Ouch,” Ian Shepherdson, chief economist of Pantheon Macroeconomics, wrote in a research note of the latest surge in prices.

    Amid signs that inflation is poised to gradually ease, he, along with other economists, noted June likely marked its peak, though a similar pronouncement in the spring proved premature.

    Stock market reaction

    The report bolsters the Federal Reserve’s plans to raise its key interest rate by a hefty three-quarters of a percentage point for a second straight month as part of an aggressive campaign to curtail inflation.

    The development disappointed already dour investors. After the latest figures were released, the Dow Jones Industrial Average sank by more than 300 points. The S&P 500 fell by 37 points, roughly 1%.  And yields on 10-year notes popped. In midmorning trading, they hovered at 3.03%.

     

    What is causing inflation?

    June’s surge again was led by gasoline prices, which increased 11.2% from the prior month and 59.9% annually. The good news is unleaded regular averaged $4.65 Tuesday, down from $5 a month ago.

    Grocery prices rose by 1% from May and 12.2% over the past 12 months. Both gas and food costs have been elevated largely because Russia’s war in Ukraine has disrupted global supplies of oil, wheat, corn and other commodities.

    In June, cereal prices rose 2.5% from the prior month and 14.2% from a year ago. Bread was up 1.6% monthly and 10.8% annually. Chicken costs increased by 1.5% from May and 17.3% yearly.

    There were some encouraging signs. Bacon prices fell 1.9%, its second straight large monthly decline. And beef and veal prices decreased 2.3%.

     

    Will food prices go down?

    Commodity prices have tumbled recently amid recession fears and ebbing consumer demand. That already has pushed down gas prices and set the stage for more moderate food price increases within months, says Wells Fargo economist Sam Bullard.

    Barclays economist Pooja Sriram, however, believes higher fertilizer costs for farmers could keep grocery prices fairly high throughout the year. Russia is the leading exporter of fertilizer and the Ukraine war has driven up the cost of that commodity as well as its chief ingredient, natural gas.

    Core prices, which exclude volatile food and energy items, increased 0.7% in June following a 0.6% rise the prior month, That nudged down the annual rise to 5.9% from 6% in May, teh third straight monthly decline.

     

    What is rent inflation?

    Rent climbed 0.8% monthly and 5.8% over the past year as people who hunkered down with family members during the pandemic moved into their own apartments.

    There were some positive developments for summer travelers. Despite surging demand, airline fares fell 1.8% while hotel rates declined 2.8% but they’re still up 34.1% and 10% from a year earlier, respectively.

    There are hints that inflation will likely soften in the months ahead. Besides falling commodity prices, supply chain troubles are abating, wage increases may be moderating and retailers’ bloated inventories are triggering big discounts for shoppers.

    Also, consumer purchases have started shifting from goods to services, such as dining out and traveling, now that the pandemic is broadly easing.

    “This will be the last big increase,” Shepherdson of Pantheon Macroeconomics says.

     

    Does the report raise recession risks?

    Yes, at least to some extent. Higher inflation leads consumers to rein in spending, which makes up about 70% of economic activity, and could mean bigger Fed rate hikes, which would hurt borrowing. Bank of America says the report is consistent with its call for a recession in the second half of the year.

     

    Is this close to the worst inflation since World War II?

    Not really. In March 1947, inflation hit a dizzying 19.7%. The spike was rooted in effects from the end of the war — the elimination of price controls, supply shortages and pent-up demand, according to a White House blog.

     

    Original Article by Paul Davidson on usatoday.com, June 13, 2022

    Original Article Here

  7. Korean Drug Maker Pledges to Build Plant in Morgantown

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    MORGANTOWN W.V. – South Korean drug manufacturer UNDBIO has signed a Memorandum of Understanding pledging to manufacture insulin in West Virginia. The letter indicates there are plans to locate the facility at the West Virginia University Research Park in Morgantown.

    Mitch Carmichael, the Secretary of State for Economic Development of West Virginia and Yong Soo Jun, Chairman of UNDBIO, Inc. signed an MOU on May 17, 2022, with the state agreeing to provide fiscal, tax, and other incentives to promote the company’s production of insulin.

    “I am happy to establish our relationship with the State of West Virginia to manufacture affordable insulin and insulin analogues for the diabetic population around the globe,” said UNDBIO’s Chairman Jun. in a press release. “We would welcome other partners and investors into our global insulin project,” he said.

    The announcement comes with the hope that UNDBIO’s plans will come to fruition, resulting in 1,200 new manufacturing jobs in Monongalia County. UNDBIO plans to begin construction on the manufacturing plant during the second half of 2022, complete the plant in 2023 and manufacture clinical drugs for human clinical trials in 2024.

    Company officials met with U.S. Senators Joe Manchin and Shelly Moore Capito who both have expressed support for the project.

    “UNDBIO has showcased their commitment to bringing long-term, good-paying jobs to West Virginia and as UNDBIO, WVU and state officials continue discussions, my staff and I are prepared to support these efforts to bring manufacturing opportunities to the Mountain State,” said Manchin.

    “The news of this agreement between UNDBIO and the State of West Virginia is a positive step forward in UNDBIO’s quest to manufacture insulin right here in West Virginia. While there is still more work to do to finalize this new facility, I stand ready to help to make sure this becomes a reality. I congratulate UNDBIO on this advancement and look forward to supporting them in their investment that could lead to creating more than 1,000 jobs in West Virginia.”

     

    Original Article by Dave Wilson on wvmetronews.com, June 8, 2022

    Original Article Here

  8. State’s Four Legislative Leaders Join Coalition to Bring Hydrogen Hub to West Virginia

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    MORGANTOWN — West Virginia’s four legislative leaders joined the West Virginia Hydrogen Hub Coalition on Thursday, adding their voices to those working to bring a hub to West Virginia.

    The U.S. Department of Energy aims to establish four regional hydrogen hubs using Infrastructure Investment and Jobs Act money, and one of them will be in Appalachia, the nation’s largest natural gas-producing region. The West Virginia Hydrogen Hub Coalition submitted its official response to DOE’s first step in the process to select winning hydrogen hubs on March 21.

    President Craig Blair (legislator photos submitted)

    On Thursday, Sens. Joe Manchin and Shelley Moore Capito and Rep. David McKinley jointly announced that Senate President Craig Blair, Minority Leader Stephen Baldwin, House Speaker Roger Hanshaw and Minority Leader Doug Skaff joined the coalition.

    Manchin, who chairs the Senate Energy and Natural Resources Committee, said, “We are thrilled to have the West Virginia legislative leadership join us in our efforts. With our abundant energy sources and strong partnerships, our state is uniquely situated to compete to develop a hydrogen hub. Our proposal showcases how West Virginia can continue to lead the country — and the world — in advancing energy technologies and bring good-paying jobs to the state.”

    Capito said, “West Virginia’s leaders — Democrat and Republican — are united around the potential we know is ready to be unleashed right here in our state when it comes to investing in and developing a hydrogen hub.”

    She told The Dominion Post on Thursday that DOE will likely have news on the selection process this summer. A presentation from Manchin’s office says hub selection is due in May 2023.

    Capito told The Dominion Post, “The best way to handle what we see in terms of the climate and the climate changing is to innovate and research. … A hydrogen hub would be one of those innovative avenues to a cleaner, greener and more powerful future.”

    Speaker Roger Hanshaw

    McKinley said in the announcement, “The Infrastructure Bill has given us a once-in-a-lifetime opportunity to modernize infrastructure that will support a regional hydrogen hub. Which means West Virginia, one of the country’s largest coal, gas and oil producers, can lead an all-of-the-above energy strategy that leverages the state’s existing resources while developing next generation technologies that support good jobs and energy security for the U.S. into the future.”

    The other two members of West Virginia’s Congressional delegation, Republicans Alex Mooney and Carol Miller, voted against the infrastructure bill and did not participate in the announcement.

    The four legislative leaders also issued comments.

    Hanshaw said, “We are creating a new economy here in West Virginia, and we stand ready to do what we can to be sure the state is attractive to this project, as well as many others.”

    Leader Doug Skaff

    Skaff said, “West Virginia has a long history of powering this country and bringing a hydrogen hub to the Mountain State will allow our hard-working families to be a part of powering our great nation far into the future.”

    Blair commented, “As we look to expand our strategy and portfolio into the next generation, I look forward to us being leaders in energy technology.”

    And Baldwin said, “For the sake of our future, we need to be a more diverse and cleaner energy state. Expanding the hydrogen market here would allow us to create jobs, produce energy for our own citizens to use, and build a more-sustainable economy.”

    Blue hydrogen is produced by steam methane reforming, which requires burning natural gas to reform methane into hydrogen and carbon dioxide, from which they capture and sequester the CO2. A possible alternate, cleaner way to produce blue hydrogen is microwaves; it can produce hydrogen faster with less energy.

    Grey and brown hydrogen also use steam to produce the gas, but don’t sequester it. Green hydrogen produces the gas from water.

    A hub, according to the presentation by Manchin’s office, is a network of clean hydrogen producers, potential consumer and connective infrastructure. At least one hub will produce hydrogen from fossil fuels, one from renewables and one from nuclear energy (pink hydrogen).

    At least one hub will demonstrate clean hydrogen use for electric generation, one for industrial applications, one for residential and commercial heating and one for transportation.

    The infrastructure act included $9.5 billion for hydrogen, including $8 billion for Regional Clean Hydrogen Hubs that will jump-start the production, transport, and use of clean hydrogen across the U.S. economy; $1 billion for a Clean Hydrogen Electrolysis Program to reduce costs of hydrogen produced from clean electricity; and $500 million for Clean Hydrogen Manufacturing and Recycling initiatives to support equipment manufacturing and strong domestic supply chains.

    On Feb. 15, Manchin, Capito, McKinley and Gov. Jim Justice announced the launch of the West Virginia Hydrogen Hub Coalition. On Feb. 25, they convened the initial organizing meeting. GO-WV, the Gas and Oil Association of West Virginia, is also a member.

     

    Original Article by David Beard on dominionpost.com, April 28, 2022

    Original Article Here

  9. Morgantown Seen As Economic Leader In North Central West Virginia Region

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    MORGANTOWN, W.Va. (WV News) — Despite COVID-19 and other challenges both locally and statewide, the Morgantown Area Partnership has been successful in moving projects along and executing their program work.

    “We’re excited about those results and as well as what 2022 can bring,” said Russ Rogerson, president and CEO of the partnership.

    Rogerson sees the success in Morgantown as proof that the partnership works. It was set up as a multi-purpose group doing the work of a traditional Chamber organization, as well as a developmental authority, neighborhood revitalization corporation and area economic partnership.

    “We saw where if someone wanted to come to the area, and if they had questions about their business and a type of property, they wouldn’t know where to go,” Sean Sikora, county commissioner, said. “We were successful in spite of ourselves. We were losing a lot of opportunities, so we sought to consolidate those organizations.”

    Many groups had similar ideas for success, but were not working together.

    “It was all centered around how do we create a greater cooperative working relationship across all the various entities, both political and private in the area, for the betterment of our communities,” he said. “We felt that we would be able to create better cooperation across those entities and therefore set a standard to help that cooperation throughout.” Rogerson noted a unique aspect of the partnership is that they have also added governmental and educational leaders.

    “It really broadened the representation on the community board,” Rogerson said. “That was the goal, to get more people involved and participating.”

    Rogerson said there are many things being done that have helped make the last year a bright one. In addition to new businesses coming to the area, the partnership restructured their organization, adding three new vice presidents, which Rogerson believes is a positive step in the right direction.

    Eric Carlson was named VP of economic development services.

    “Eric comes from former position of the equivalent of a city manager and in the college community of an Indiana Purdue, so he brings with a great deal of, you know, college town, university town, relationships and opportunities and challenges,” Rogerson said. “We’re very excited to have Eric on board.”

    Anna Carrier is the new VP of Chamber services.

    “Anna is local to Morgantown — born and raised, and a WVU grad,” Rogerson said. “She’s also a small business owner — The Cupcakerie — and previously worked at WVU Encova Center for Innovation and Entrepreneurship, so she brings a lot to the table for us.”

    Longtime staffer Amy Loomis received a promotion.

    “I was fortunate to have her when I arrived, and Amy has been elevated to vice president of revitalization services,” Rogerson said. “She’s going to be hailing a lot of the efforts of the campus neighborhood revitalization.”

    Rogerson has seen increased attendance at Business After Hours events. Those were the first in-person events the partnership brought back, because they’re smaller and more manageable from a distancing perspective.

    “We actually had our largest Business After Hours, reaching 120 people in December, down at the Marriott Waterfront,” Rogerson said. “This year, we’re hoping they open up even more.”

    Rogerson is proud of the work from the many committees of the Morgantown Area Partnership.

    “All of our committees do a great job: government affairs, transportation, and of course WINGS — Women’s Innovative Networking Group,” Rogerson said. “They continue to meet and continue to keep track of the many areas they encompass in the transportation, government affairs, and others.”

    The new Workforce Development Committee was created to help many Morgantown residents who were put out of work in 2021.

    “We did that to address the large layoff announcements from Viatris and the Blacksburg coal mine — we thought it was important that we stepped into that arena and tried to add some value to those existing services,” Rogerson said. “We held a job fair with some 60 companies, representing over 2,000 jobs.”

    A portion of the Morgantown Area Partnership website has been turned into a networking site for recruiters, which Rogerson calls a tool that all Mon County companies can use to post their job openings for free.

    “It’s important that local people know how to access local jobs,” Rogerson said. “We’re very pleased with that, and hope people visit our website to see that.”

    “We have projects flowing through, and last year we had two new companies locate that will result in some $200 million in private investment and more than 200 jobs,” Rogerson said. “These two companies are located in the Morgantown industrial park.”

    The Morgantown Area Partnership purchased 9 1/2 acres of college housing along the Ridgewood Avenue corridor, with the express intent of starting a major redevelopment effort along the corridor to provide more connectivity to downtown Morgantown and also the university from area residents.

    The I-68 Commerce Park remains a project with positive future implications.

    “We continue to work with the city of Morgantown on the airport runway extension that’s going to result in the creation of the I-68 Commerce Park in 2023,” Rogerson said.

    The soils and rock needed for the runway extension are being taken from the nearby spot that will become the commerce park.

    “That area will be available to us in 2023, so you’re going to hear a lot more about I-68 Commerce Park then,” Rogerson said.

    The West Ridge area of Monongalia County saw two notable retail additions: Menards and Bass Pro Shop.

    “Bass Pro Shop is is one of those anchor stores that I think says quite a bit about the robustness of our community financially,” Rogerson said. “We are happy to have them and happy to have additional retailers coming in throughout the community.”

    People are getting more comfortable going out, and Rogerson knows Morgantown will be ready.

    “I think when we can get this calmed down long enough, I think the stores will see people coming through here,” Rogerson said. “We’ve got a number of stores opening up in the West Ridge area, and I do think people will get out.”

    Shopping online experienced a dramatic surge as the COVID-19 pandemic kept people home. Rogerson is curious to see the new future for retail, as the pandemic wanes.

    “I think some of those conveniences, just like having meetings on Zoom, or other ways, I think they’re here to stay,” Rogerson said. “It will be very interesting to see how long-term, we adjust and adapt to that.”

    Rogerson knows that some elements of shopping online cannot be beat, but hopes that a happy middle ground can be found.

    “The good news is people were forced into adding it, and it’s there in place, and they can only get better with it,” Rogerson said. “But I’m also hoping that we still have a healthy number of storefronts opening back up and and that we can provide both options.”

     

    Shopping, Morgantown (2021)

     

    Original Article by Chris Slater, March 26, 2022 on wvnews.com

    Original Article Here

  10. Fairmont City Council Hears Plan to Develop Autonomous Vehicle Testing Facility

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    FAIRMONT− Fairmont City Council got a look Tuesday night at a plan to develop the old Fairmont Coke Works site at Sharon Steel Corporation property in East Side.

    West Virginia University’s BrickStreet Development Center for Innovation and Entrepreneurship and the Marion Regional Development Corporation have developed the Fairmont Transportation Research Campus. The cite would consist of an academic research center, automobile testing, performance and training facilities, the construction of an almost two mile long road course, acceleration and deceleration course and a skid pad. The FTRC would have a focus on autonomous vehicle research, as well.

    The goal would be to boost the local economy, create jobs and attract motorsports enthusiasts, MRDC President Nick Fantasia said.

    From the start, 100 full-time jobs will be created, not including construction jobs. At project completion, an estimated 750 full-time permanent jobs will be created. The jobs would work with the Marion County Technical Center, West Virginia University, Fairmont State University and Pierpont Community and Technical College and include varying education and income levels.

    “This project is a way for North Central West Virginia to begin to be a leader in a new technology,” Fantasia said.

    After given the title “Master Contractors,” the MDRC will be able to begin construction. The initial phase of construction will include “dirt and infrastructure work” and should take approximately 18 months to complete. The total construction cost is an estimated $32.7 million. As of right now, funding for the project has not been established.

    The FTRC is backed by Marion County Commissioners Linda Longstreth and Randy Elliott.

    “I think this is the best step we’ve ever taken. In the 30 or 40 years I’ve lived in Fairmont, we’ve done nothing. Really, we’ve done nothing. We’ve let Morgantown and Clarksburg move in on us… We’re more than that,” Linda Longstreth said.

    After hearing the presentation, Council member David Kennedy said he was ready to vote on the project Tuesday night.

    “In the words of past councilman Phil Mason, ‘The stars are aligned,’ and I see that there isn’t any reason to delay this. I’m making a motion tonight that council grant the authority for this resolution that you’re asking for − that this project of economic development might go forward and I hope that there’s a second to that motion,” Kennedy said.

    As Council member Josh Rice seconded the motion, however, Mayor Tom Maniella, said the motion could not move forward until every council member is in agreement. To ensure that  the project is approved legally and fairly, Manilla told council members to email City Manager Valerie Means with their opinions on the decision.

    Fairmont City Attorney Kevin Sansalone agreed with Maniella’s decision and asked for a contract to be established between city officials and the MRDC before moving forward.

    Sansalone said the written agreement should be established stating something along the lines of: after two years of starting the project, if the checkpoints have not been met and not enough progress has not been made, the city will be able to dissolve the agreement and endorsement.

    The next city council meeting is scheduled for April 12 at the Public Safety Building on Quincy Street.

     

    Original article by Savanna Shriver, March 24 2022, on Times West Virginia.com 

    Original Article Here

  11. Natural Gas Is the Future of Energy

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    Without stepping foot in the Mountain State, getting to know our people or way of life, politicians in Washington, D.C., and from other states are advancing energy and environmental policies that would be punishing to West Virginia’s businesses, communities, way of life and citizens. 

    While we’ve long been a leading producer of the world’s energy, West Virginia’s natural gas and oil sector of today is modern and efficient, with digital innovation and technological breakthroughs transforming a sector vital to our state’s livelihood.

    The energy we produce here powers lives across the world — and, with natural gas demand set to rise globally almost 25% by 2050, we’re doing it more cleanly, efficiently and responsibly than anywhere else on the planet.

    From Williamson to Charleston, Parkersburg and Weirton, natural gas and oil are the life blood of West Virginia’s economy, contributing $11.2 billion to our state’s annual economic output, according to a recent report.

    The 82,000 union and nonunion jobs we support across our economy means diners filled inWest Union, new development in Bridgeport and opportunities for high school, technical school and college graduates to find a good-paying career here at home.

    Today’s natural gas and oil sector is ahead of the curve, advancing technologies that move the entire industry forward. From pad drilling and underground horizontal laterals, which greatly reduce the amount of surface development, to recycling and water-reuse practices that limit fresh-water withdraws, and recognizing value in older wells through care and attention and responsible plugging, we’re seeing the future of natural gas and oil development right here inWest Virginia.

    Sens. Joe Manchin, D-W.Va., and Shelley Moore Capito, R-W.Va., and our entire congressional delegation understand the critical importance of natural gas to meeting the dual challenge of a cleaner and economically prosperous world. Yet, far too many in Washington don’t realize the devastating consequences of unrealistic energy and environmental policies.

    In Pleasants County, thanks to readily available natural gas, we are seeing manufacturing on the rise, as the $350 million West Virginia Methanol facility will take natural gas and convert it into a critical input for all sorts of everyday goods, such as carpeting, clothing, and medical masks and gloves, to name a few.

    And the proposed Longview Power natural gas plant in Monongalia County is a great example of using the natural gas right beneath our feet to power nearby homes and businesses. In addition to contributing reliable energy to the electrical grid, the construction of the plant will create 5,000 jobs during construction, generating more than $360 million in total compensation.

    We are proud to produce energy that powers our state, nation and the world. Rather than talking past each other on cable news, politicians might consider spending more time in thec ommunities affected by their decisions.

    Come to West Virginia and see the future of American energy at work.

     

    Original Article by Charlie Burd Executive Director, GO-WV, March 7th 2022, on wvnews.com

    Original Article Here

  12. West Virginia Is Blessed With Abundant Energy

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    As 2021 finishes out, West Virginians have experienced many blessings — from a rebounding economy with more job opportunities to a stronger, more fiscally sound state.We’re moving forward, together. 

    We’ve even seen the benefits — and drawbacks — of being in the national political spotlight thanks to the steadfast leadership from Sens. Manchin and Capito, and our congressional delegation. Amid the hustle and bustle of Washington, D.C., our leaders haven’t forgotten their roots, the people who helped get them into office, and the energy sector that’s bedrock to our state and nation’s well-being. 

    Whether it’s heating homes, schools, and small businesses, spurring manufacturing growth, advancing environmental goals, or creating opportunities for local high school, trade, and college grads, our world is brighter because of West Virginia natural gas. 

    Make no mistake, the fundamentals of our industry remain strong. We’ve seen year-over-year increases in natural gas production that have made West Virginia the country’s fifth largest energy producer. And additional pipeline expansion in 2022 will open new markets for our resource. 

    The highest paying sector in West Virginia, natural gas development, supports the careers of more than 82,000 West Virginians, from Weirton to Bluefield and everywhere in between. 

    The natural gas we produce in the Mountain State is our economic engine and climate plan — and expanding domestic and international natural gas use will further drive production growth, investment, job creation across West Virginia, and reduce our overall global carbon footprint. It’s not rocket science — it’s Economics 101. 

    More U.S. natural gas production is an all-around win-win. As we headed into the winter season, Americans cranked up the heat, and it’s natural gas that kept us warm. Approximately 40% of West Virginia’s homes rely on natural gas for heating, as do about half of all American households. 

    While energy prices have risen lately due to numerous factors, including poor political and regulatory decisions, thanks to greater U.S. production, Americans continue to enjoy significant energy savings at home and at the gas pump. Since 2008, households, businesses and manufacturers have saved $1.1 trillion due to increased production across the country, including in Appalachia. 

    All West Virginians enjoy the energy savings this industry creates — and when our industry does better, so does our state’s overall fiscal health. 

    Revenues generated by taxes on natural gas and oil have contributed more than $3 billion to the state budget since 2008 — including hundreds of millions of dollars annually in severance and local property tax revenues, both of which directly support individual counties. 

    Municipalities rely on this vital revenue stream to carry out the basic functions of local government — like maintaining roads, improving bridges and parks. 

    These blessings are just a few of the positive impacts the oil and natural gas industry have had on our state, much of which we have a duty to share with our nation and allies across the globe. 

    As the world’s largest producer of oil and natural gas, our supply far outpaces domestic demand, giving us the opportunity to share these clean energy resources with the rest of the world. In 2022, the U.S. is projected to be the world’s largest liquefied natural gas exporter — snagging the top spot from Russia and the Middle East. Our position as the world’s trusted, reliable energy supplier enhances our national security, and is good for our climate and our economy here at home. 

    While many obstacles remain heading into the new year, the past two years have forced our industry to adapt and be resilient, priming us for immense growth as we continue to expand and deliver more for American and global consumers. 

    We have much to be excited about as 2022 approaches and we’re grateful each and every day for the talent, grit and determination of our industry in delivering the energy that’s fueling our future. 

     

    Original Article by Charlie Burd, March 7, 2022 on wvnews.com

    Original Article Here

  13. The Power of Basic Job Announcements

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    Location remains the golden rule when making real estate investment and development decisions. Buying and developing in a growing, diversified market heightens the likelihood an investor/developer will make a profitable decision that meets discount rate thresholds. Your 401K and SEP IRA advisors have drilled diversification into your brain. While location, including the importance of a diversified market, is a critical driver of real estate success, there is more to making a profitable real estate investment. Determining whether an investment decision will meet an investor’s discount rate (preferred rate of return) can be a tedious, dynamic, and complicated process. Understanding market dynamics is critical to any successful real estate investment or development. This article will provide a crystal ball on how to decipher market stability while having a tool to help project market growth.

    What is the single biggest impact on a local economic area? Jobs. But – and that is a big BUT – not all jobs are created equal. “Basic employment” is the queen to driving an economy. Basic employment is made up of industries that rely on external factors (beyond the local economic area) to fuel demand. Basic employment produces and/or supplies more goods and services than can be consumed by the local economic area (Ex:  Morgantown MSA) which results in consumption outside of the local community. Examples of basic employers close to BDR’s home base include NIOSH, WVU Medicine and Mitsbuishi. On the other hand, non-basic employment depends almost entirely on local demand. Non-basic employment is defined as goods and services that are solely (or almost solely) consumed by the local economic area. Examples of non-basic employers include dental practices, pediatricians, hair stylists, and restaurants.

    The two types work together. Non-basic employment supports the demand created by basic employment. This inflow of dollar (increased purchasing power) comes from outside the local economic area. The Economic Base Multiplier (EBM) is a measure that provides an estimate of how changes in basic employment will affect total employment, number of households and purchasing power within a local economic area.

    Site To Do Business is an excellent tool for this type of analysis. The bullet points below provide Economic Base Multiplier data for several Multiple Statistical Areas (MSA) within three hours of Morgantown, WV.

    • Morgantown MSA:  4.06
    • Martinsburg, WV/Hagerstown, MD MSA:  6.56
    • Wheeling, WV MSA 3.26
    • Pittsburgh, PA MSA 9.69
    • Parkersburg/Vienna, WV MSA:  2.65
    • Charleston, WV MSA 1.73
    • Huntington, WV/Ashland, KY MSA:  1.80

    Over the past 12 months, West Virginia has enjoyed significant economic momentum. 

    Mitsibishi is in the process of bringing an additional 240 jobs to Harrison County. Another deal is in the works for Morgantown Industrial Park which could bring ~150 jobs with scalability for much greater employment.  Beyond north central WV, Green Energy recently announced their intent to build electric buses in a new South Charleston manufacturing facility. Green Energy plans to hire 200 jobs initially with potential to scale to 900 WV workers within 24 months. Nucor is constructing a $2.7B, state-of-the-art steel making mill in Mason County, WV. Once fully operational, anticipated employment is 800.

    Economic base multiplier theory tells us total job creation is well beyond the job announcements highlighted above. Utilizing the closest MSA’s EBM results in the following jobs created:

    • Mitsubishi:  Utilizing Morgantown MSA’s EBM, 240 basic jobs results in 974 total new employees.
    • Confidential User Utilizing Morgantown MSA’s EMB, 150 basic jobs results in 609 total new employees.
    • Green Energy Utilizing Charleston MSA’s EBM, 200 initial basic jobs results in 346 total new employees.  Assuming the operation scales to projected capacity, 900 basic jobs results in 1,557 total new employees.
    • Nucor Utilizing Parkersburg MSA’s EBM, 800 basic jobs results in 2,120 total new employees.

    Jobs drive an economy. Basic jobs lead to other support jobs, called non-basic, which is calculated via the economic base multiplier.

    There are two final steps to fully understand the total impact of these announcements. Our goal is to understand the total dollars flowing into a community as a result of new basic jobs. The next step in the calculation process is to multiply the total jobs by the average household size to get an estimate on total population. The final step is to multiply total households by the average median household income. West Virginia’s state average household contains 2.4 individuals. As of 2019, West Virginia has the following statistics: Average household income is $63,680. Median household income is $46,711. Per capita income is $26,480.

    The four announcements highlighted in this article result in guaranteed basic employment (could be more as the business scales) of 1,290. The economic base multiplier calculation provided a total new employment calculation of 4,049 new basic and non-basic jobs. The average household size is 2.4 individuals resulting in 9,718 individuals moving to and or being retained in West Virginia. The purchasing power of these individuals is determined by multiplying per capita income by the number of individuals. These four announcements result in a total increase in purchasing power of $257,332,640. For perspective, West Virginia’s 2020 annual budget was $4.495 billion. The four announcements represent purchasing power equal to 5.7% of West Virginia’s annual budget. These are big announcements for Almost Heaven!

    Black Diamond Realty is hopeful this information provides a greater understanding of the dynamic analysis and projections that should be considered when making real estate investment decisions. Economists use many tools, including economic base multiplier, to determine the overall effect on a local economic area. Our team of experts looks forward to working with you on your next project.

     

     

    Article By: David Lorenze, Principal
    Co-Writer: Kim Licciardi, Senior Associate 

  14. COMMENTARY: Fewer people left WV because there were few opportunities

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    COMMENTARY – Figures from the U.S. Census Bureau indicating that more people actually moved into West Virginia than moved out of the state were somewhat surprising, given the state’s years long overall population decline. 

    Between July 1, 2020 and July 1, 2021 West Virginia had a net migration of 2,343. More people moved into the state that out of it. The positive numbers may indicate that efforts by state officials to attract people to West Virginia are starting to pay off. However, it may more likely be an unanticipated result of the pandemic. 

    “We just see the end result, which is a net gain in in-migration. I believe this is more a result of a decline of out-migration rather than an increase of people moving in,” stated Dr. Christiadi, a Research Associate with West Virginia University’s Bureau of Business and Economic Research.

    Dr. Christiadi has extensively studied the state’s population and demographics and believes more people chose to remain in West Virginia simply because the opportunties to leave the state were limited by the economic shutdown resulting from COVID pandemic. 

    “Interstate migration is typically driven by job opportunities,” Dr. Christiadi explained during a recent appearance on Talk of the Town. 

    A report by the Congressional Research Service found that nonfarm payrolls shed 22.1 million jobs between January 2020 and April 2020. Job numbers declined to 86 percent of their pre-recession levels in February 2020. Even by July 2021, aggregate employment remained 5.4 million jobs short of the prepandemic level. 

    More West Virginians stayed put because the jobs they would have left for didn’t exist. 

    West Virginia saw a similar net gain in in-migration during the “Great Recession” from 2007 to 2009, according to Dr. Christadi. During that period of economic decline, both the number of people moving in and out of West Virginia declined but the number of people leaving the state fell much sharper than the number of people moving in, resulting in a net gain in migration. 

    Dr. Christiadi believes as the world continues to return to normal in the coming months and years, West Virginia is likely to again see net losses in its migration numbers, just as did when the economy started to rebound in the 2010s. 

    However, Christiadi was quick to point out a major variable that could have an impact on the flow of people out of West Virginia that did not exist in 2009 – remote working. 

    Many employees and employers have learned through the pandemic that it is not necessary to be at an office in the heart of a major city. Employees can just as easily and sometimes even more efficiently work from a home office, eliminating the need to move out of West Virginia to chase career opportunties. 

    State officials are promoting that very idea, and even offering financial incentives through the Ascend WV program, aimed at drawing in remote workers disenfranchised with the idea of living in major metro areas. 

    Yes, it is possible that the exodus of some of West Virginia’s best and brightest has slowed due to some of the factors that make West Virginia special, including a lower cost of living, slower pace and extensive recreational offerings. 

    However, history shows that once economy bounces back and new opportunties present themselves beyond the state’s borders, the exit will resume. 

    Original Article Published by Dave Wilson with The Voice of Morgantown – WAJR.com 

     

  15. MIP ‘strategically located’ to Attract businesses

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    The Morgantown Industrial Park (MIP) is preparing for expansion, and with expansion, owners hope to bring jobs into the area.

    “We think we’re strategically located and will be an attractive place for someone looking to build and to come into north-central West Virginia,” said Glenn Adrian co-owner of Enrout Properties, which owns MIP.

    MIP is more than 500 acres in total. Currently, most of the development is concentrated on the east-ern part of the park. During the past year, MIP has worked with the Monongalia County Commission, Morgantown Area Partnership and the City of Westover in hopes of expanding the western side of the park.

    “The proposed development at the industrial park will have a positive impact on not only Westover, it will impact our entire county,” said Dave Johnson, mayor of Westover.

    To fuel this expansion, the park has been working to establish an interchange in what is now known as the Harmony Grove TIF District. The goal of the interchange is to spur additional development within the park by giving better access to the interstate.

    Adrian said the recent approval of the establishment of a new TIF district, or tax increment financing district, by the Monongalia County Commission has been a big step for MIP. He said this will allow MIP to move forward with West Virginia development offices in terms of getting approval for expansion of infrastructure and roads.

    As MIP looks to create direct access to the inter-state, it also continues to bring new business to the area. Adrian said MIP will announce plans to add a manufacturing facility to the area within the next 30 days in conjunction with local and state officials.

    He said because of COVID-19 as well as job loss following the announcement to close down Mylan Pharmaceuticals, bringing jobs to the area is vital.

    “I think this is some-thing that has been a wake-up call for not only Mon County, but north-central West Virginia,” he said. “Jobs are important and these are blue-collar type manufacturing jobs —well paying jobs — with benefits and things of that nature.”

    Currently, businesses located in MIP are mainly located along the Monongahela River. This includes the SI group, WVU commercial laundry facility, Central Supply Co. and a Republic Services transfer station. Garrick Electric Co., Black Diamond Equipment Rental and others also have locations on site.

    Part of what draws businesses to MIP is that it is equipped to barge products in and out, as well as rail products in and out. These two abilities, along with looking toward access to the interstate, will make MIP a desirable location for manufacturing and distribution companies.

    Adrian said significant studies are required before establishing an inter-change becomes possible. These include looking at the interchange’s geometric design, studying traffic in the area and looking at environmental impact, including anything from noise pollution to impact on waterways.

    MIP is in the midst of conducting these studies with Thrasher Engineer-ing. Once complete, the studies will help determine the feasibility of an inter-change with the West Vir-ginia Department of High-ways and the Federal High-way Administration.

    “Really what we’re hop-ing to generate is the avail-ability of industrial sites that, with the new inter-change, would attract other types of manufactur-ing, distribution centers, things of that nature,” Adrian said.

     

    WRITTEN BY GABRIELLA BROWN

    GBrown@DominionPost.com

     

     

  16. 8,000 Jobs Added Within Past Decade in North Central WV

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    North Central West Virginia continues to lead the state in economic progress, according to local experts.

    Although many other areas of the Mountain State lag behind national averages in most major economic indicators, the North Central region has continued to thrive and grow, according to John Deskins, director of the West Virginia University Bureau of Business and Economic Research.

    “North Central West Virginia is more stable than the nation, it seems. Or, at least, the patterns of the last couple of decades have indicated we have greater stability,” Deskins said. “The region’s economy is very resilient. Part of that depends on the fact that we have some really important federal employment in the region; we have the university in the region; and we have a lot of health care in the region. Those sectors of the economy tend to be really stable,” he said.

    The Bureau of Business and Economic Research recently released a study analyzing the NCWV region’s economy over the past few years and looking ahead to expected economic performance through 2023, Deskins said. Businesses in Monongalia, Marion, Harrison and Preston counties added more than 8,000 jobs between early-2010 and mid-2018, resulting in cumulative growth of more than 7 percent, according to the study.

    In Harrison County, many of the new jobs can be attributed to rebounding natural gas production and natural gas pipeline infrastructure under construction, Deskins said. “That’s actually something that’s creating benefits in other counties in the state as well, not just the North Central region,” he said. “But definitely the construction projects that have been going on have definitely helped employment and a whole host of economic measures here in North Central.,” he said. “There is lots of stuff going on with the pipeline construction. That’s in Harrison County, and it’s affecting other parts of our region, as well.”

    Sherry Rogers, executive director of the Lewis County Chamber of Commerce, said Lewis County has also experienced positive economic gains over the last year, mainly due to increased natural gas pipeline construction in the area. “There are some businesses that have seen an increase in their revenues due to the pipeline and the influx of pipeliners coming to the area and staying in the area,” she said. “Our retail and our restaurants have seen an increase due to that.” Several new businesses have recently opened their doors in and around Weston, Rogers said. “Here in Lewis County we have thriving entrepreneurship,” she said. “We’re comprised mostly of small businesses and we have some exciting new businesses that have opened that have opened this year or are opening.”

    These include a retail shop in downtown Weston, a newly opened restaurant and a distillery, MannCave Distillery, Rodgers said. Patricia Henderson, director of the Taylor County Development Authority, said her county’s economy remains stable, partially do to continued coal mining activity. “Right now we are similar with the other areas in the state,” she said. “We do have a coal mine here, and that’s certainly helping us. Leer Mine still producing and moving a lot of coal through the railroad.” The county hopes to attract more oil and gas related companies to settle in the Taylor County area, Henderson said.

    “We are trying to attract new businesses, and like all the other counties throughout the state, we are trying to recruit some of the oil and gas into our county,” she said. “In 2018, we had some property that the development authority marketed, and we did have an oil and gas company purchase that property to build some of their field offices. So we’re excited about that. That is a three-year plan.”

    Taylor County recently became the recipient of a grant that will be used to perform a broadband internet study, Henderson said. “One of the problems that we hear a lot is the fact that we don’t have high speed internet in a lot of the areas of our county,” she said. “So we’ve got a grant to do a study that will help us to asses our needs and see where our underserved and unserved areas are so we can identify them. Then we can potentially go after some federal funds to help with that.”

     

    Article By: Charles Young, WV News