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Apple, Switch, Tesla, Raiders and more invest billions in future of NevadaIn January, on the day Apple announced it will accelerate U.S. investment and job creation, CEO Tim Cook chose to be in downtown Reno for the groundbreaking of a new $4 million facility at Evans Avenue and Sixth Street.

“Reno plays an incredibly important role in the products and services that we provide our customers worldwide,” said Cook said. “Without the data center here, none of this would be possible… We’ve invested $1.6 billion in the region today and over the course of the next six years, we intend to invest an additional $1 billion.”

Apple and Cook recognize what many businesses and people are learning -- It is a great time to bet on Nevada. As the state continues to lead the nation in private-sector job growth, here is a quick rundown of some notable projects in Northern and Southern Nevada.

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Tesla

According to the most recent compliance audit conducted April 1 through June 30, 2017, Tesla has invested nearly $2.7 billion, of what is projected to be $5 billion, in its cutting-edge Gigafactory, also located at TRIC. The same audit confirmed 1,400 employees between Tesla and its partners Panasonic, H&T, and Valeo, as well as 11,394 construction jobs. Current levels of capital investment and employment are higher and will be confirmed by future compliance audits. The Gigafactory manufactures lithium-ion batteries for Tesla’s Powerwall home units, Powerpack commercial units, and the Model 3, which includes drivetrain assembly.

The current footprint is more than 1.9 million square feet, which houses more than 4.9 million square feet of operational space across several floors. Less than 30 percent done, once complete, Tesla expects the facility to be the biggest building in the world – and entirely powered by renewable energy sources, with the goal of achieving net zero energy.

Apple

The downtown warehouse will support the $1-billion expansion of Apple’s five-year-old, 1.1-million-square-foot data center in the Reno Technology Center along I-80. Employment at the facility is projected to reach 100 people, according to Apple, and construction from the expansion is expected to employ 300 people.

“Apple’s decision in 2012 to invest in Nevada, to locate their data center here, really marked

the turning point and was the catalyst for moving this region and, frankly, the

entire state forward,” said former GOED Director Steve Hill.

Switch Citadel Campus

Last year, with Ebay as anchor tenant, Nevada-born Switch (NYSE: SWCH) opened what will be the largest data campus in the world starting with the 1.3-million-square-foot Tahoe Reno 1 facility, which is the biggest colocation facility ever built, supported by up to 130 megawatts of renewable power.

Switch plans to build out 7.2 million square feet of IT capacity at the Tahoe Reno Industrial Center (TRIC), with up to 650 megawatts of renewable power. Headquartered in Las Vegas, Switch is reshaping America’s Internet infrastructure with energy-efficient hubs located strategically throughout the United States, including Tahoe Reno, Las Vegas, Grand Rapids, Mich. and most recently Atlanta.

$13.6 billion in new capital investment is driving growth

The Las Vegas Global Economic Alliance recently shined the spotlight on billions in capital investment underway in the Valley, from high-profile mega-resorts to infrastructure to health care. To see the top 10 projects by dollar amount:

Emblematic of the diversity of projects are two in Henderson. In addition to the $1.9 billion Las Vegas Stadium, the Raiders plan to develop their training facility and corporate headquarters in West Henderson. The City of Henderson is considering a direct sale of 55 acres to the team for this project, which is expected to bring 250 full-time, non-football player jobs and more than $75 million in investment for phase one, with the goal of opening spring 2020.

Read more: https://stateofecondev.com/wp-content/uploads/2018/01/2018-State-of-Econ-Dev-LVGEA.pdf

Turano Baking Company

The nation’s leading premium bakery is expected to begin operations this March in its new 125,000-square-foot facility in West Henderson with more than $53 million in capital investments. The company bought 32 acres from the City of Henderson two years ago and is realizing the first of multiple expansions planned for this site. Turano plans to open with 60 to 70 full-time employees. This will be the company’s western-most facility for the baking of artisan and specialty breads serving major national retail chains across the country.

Big demand for lithium equals big impact for Humboldt County and stateFor more than a year, the University of Nevada, Reno and GOED have worked together to establish new baseline metrics to more accurately determine socio-economic impact of mining for Nevada.

“The goal was to help county, state, and land agencies better understand the social, economic and fiscal contributions of mining,” said Sheldon Mudd, formerly of GOED and now executive director of the Northeastern Nevada Regional Development Authority. “The objective was to

start small – a single commodity and a single county – and then build from there.”

The result was the “Economic and Fiscal Impacts From New Lithium Mine and Lithium Processing Operations in Humboldt County, Nevada” by Buddy Borden, an area extension specialist in community and economic development, University of Nevada Cooperative Extension, and Tom Harris, professor and director, University Center for Economic Development.

Large deposits of lithium identified in the McDermitt Caldera present a unique opportunity to develop a supply to satisfy increasing market demands, which are driven by everything from batteries for mobile devices to electric cars.

Borden and Harris determined economic impacts based off of every $1,000,000 of lithium construction investment and lithium mining and processing sales originating in Humboldt County, making final estimates easy.

For example, if $200 million is invested in constructing a new lithium mine, short-term impacts lasting up to 4 years under the construction phase, this activity will generate an additional $42 million for total economic activity of over $242 million, including over $10.3 million in total personal income and supporting nearly 1,728 total jobs for Humboldt County. Under this scenario, total state and local taxes collected annually are estimated to be approximately $7.5 million.

When considering the long-term, sustainable impacts through ongoing annual operations, after the construction phase, estimated impacts are positive. Under the hypothetical scenario of $200 million of processed lithium sales in Humboldt County will generate an additional $70.3 million for total economic activity of over $270.3 million, including over $40.9 million in total personal income and supporting 148 total annual jobs. Under this scenario total state and local taxes collected annually are estimated to be approximately $8.8 million.

Impacts are even greater when expanding the economic region to include the entire state. For the complete report and data, go to:

http://diversifynevada.com/uploads/reports/Lithium_Impacts_Final_Report_November_2017.pdf

Nevada continues to outpace nation in job growthRecording 3.3% job growth in December 2017 versus a year ago, Nevada posted the strongest gains in the nation

with 43,300 jobs added.

According to the Nevada Department of Employment, Training and Rehabilitation (DETR), labor market conditions shows that 2017 was a solid year throughout the Silver State, rounding out its seventh year of economic recovery.

For the entire year, jobs were up in each of the state’s three metro areas. In fact, job levels in both Las Vegas and Reno stood at a record-high in December.

Each of the State’s 17 counties registered declines in the unemployment rate during the year, relative to 2016. Looking forward, expectations are for continued improvement in labor market conditions through 2018.

JOB GROWTH SINCE DECEMBER 2016:

Statewide jobs are up 3.3%; up 43,800 Las Vegas jobs are up 3.1%; up 30,000

Reno jobs are up 2.6%; up 5,800 Carson City jobs are up 2.4%; up 700

UNEMPLOYMENT RATES:

Las Vegas: 4.9%; down 0.2 points from a year ago

Reno: 3.7%; down 0.5 points from a year ago

Carson City: 4.9%; down 0.4 points from a year ago

December unemployment rates ranged from 2.6% (Eureka) to 5.9% (Nye).

For all of 2017, unemployment rates were down from 2016

levels in every county

Since the recovery began, the number of business establishments in Storey County are up by one third, the strongest gain in the state. Other notable gains in Esmeralda and Clark

“More than 250,000 jobs have been

created in Nevada since the recession, with 100,000 of those coming from small businesses,” said Governor Brian Sandoval.

“Average wages are up and we have an all-time-high number of employers. I am happy to celebrate our shared achievements with the job creators in Nevada.”

Film Office equips Nevada to attract productions, including esportsThe Nevada Film Office (NFO) has launched the new Nevada Production Directory database online at www.nevadafilm.com. The new database allows for crew members and vendors to have more resources online to connect with and ultimately be hired by productions looking for their services. The new online database mirrors the printed Nevada Production Directory, which served as a resource to film productions since 1982.

The directory features:

• More than 650 listings for industry vendors and crew.

• More than 20 companies advertising.

• 165 total categories of crew members and professional services.

“We also reach out to the community offering an opportunity for everyone in Nevada with a potential film location to list in our locations database,” said Nevada Film Office Director Eric Preiss, “Sites from across the entire state are featured online, allowing

productions from around the world to see unique settings and connect with

owners for filming opportunities, generating income and exposure for local businesses.”

With the new database, the NFO is well-positioned to promote Nevada as the place for professionals creating content, from film, television, commercials, documentaries, music videos and reality programming, everything needed to complete productions is one click away.

Nevada’s Transferrable Tax Credit for Film and Other Productions has been awarded to several productions since July 1, 2017, including several independent films and the successful TV show “Who Wants to be a Millionaire” from ABC/Disney.

As a member of the Nevada Esports Alliance, NFO is also working with several companies to bring the booming industry of esports programming to Nevada. Productions are focused in areas that include live broadcasting of esports events, reality TV programs, and potential mobile game applications development featuring Nevada.

Nevada, Poland move ahead in historic collaboration on drones with NASA

Building on an agreement signed during Governor Brian Sandoval’s recent trade mission to Poland, the Nevada Institute for Autonomous Systems (NIAS) announced a deal for $108,000 in funding from the Polish Institute of Aviation (ILOT) for joint Unmanned Aerial System (UAS) operations with the National Aeronautics and Space Administration (NASA) in Reno over the coming year. A team of 12 will travel to Nevada from Poland in March to begin integration of technology and capabilities.

“This international partnership between ILOT and NIAS represents our first concrete steps to

advance technology, innovation, and air commerce between the two institutions. NIAS is excited to integrate ILOT into Nevada UAS operations beginning with the 2018 Nevada NASA Technical Capability Level (TCL 3) operation. Global collaboration will be a key advantage in the race for beyond visual line of sight operations, operations over people, and night operations,” said Chris Walach, director of the Nevada UAS test sites and senior director of NIAS.

In the longer term, NIAS will work to develop a UAS range in Poland and a joint center of excellence with ILOT. The success of this partnership could lead to greater international collaboration for NIAS.

www.diversifynevada.com | 702.486.2700

1.800.336.1600

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

News

Apple’s decision to build a data center in Reno in 2012 kickstarted a wave of big-name tech projects coming to the Reno area, as well as a new approach to economic development. Here’s an inside look at the expanding facility.

Read more: rgj.com/story/money/business/2018/01/17/sneak-peek-rare-look-inside-apple-reno-data-center/1038984001/

Upcoming Events

2018 GOED BOARD MEETINGS

March 15May 17July 17September 20November 15

TIME

1pm

SOUTHERN LOCATION

Governor’s Conference Room Grant Sawyer Building, Las Vegas

NORTHERN LOCATION

The Capitol Assembly Chambers Nevada Capitol Building, Carson City

Governor Brian Sandoval, Chairman

Lieutenant Governor Mark Hutchison

Secretary of State Barbara Cegavske

Mr. James Barrett, President, the JABarrett Company

Dr. Dana Bennett, President, Nevada Mining Association

Mr. Dan Klaich, Voting member at-large

Mr. Rob Roy, CEO/Founder, Switch

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

Dr. Thom Reilly, Chancellor, Nevada System of Higher Education

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

Board Members