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Executive Summary

Major Contributors to Aerospace & Defense in Northern UtahAverage Aerospace & Defense Industry Wages

Occupational Wage ComparisonMajor Employers

Map of Northern Utah

Hill Air Force Base (HAFB) HAFB HistoryHAFB Today

Ogden-Hinckley AirportOgden-Hinkley Airport’s History

Major Employers at Ogden-Hinckley Airport Future Opportunities and Growth

Education & Training in Aerospace & Defense

Idaho National Laboratory

Future Opportunities in the Aerospace & Defense Sector Northrop Grumman to Expand in Weber County

L3 Harris to Expand in Salt Lake LocationParker Hannifin to Move Additional Repair Operations to Utah

Falcon Hill Aerospace Research Park DevelopmentExpansion at HAFB by 2025

Why Aerospace & Defense Industries Thrive in Northern Utah

Resources

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Table of Contents

NUEA commissioned LSI Solution Development to conduct the research provided in this study.

1NORTHERN UTAH’S AEROSPACE & DEFENSE INDUSTRY STUDY 2021

Executive SummaryNorthern Utah Economic Alliance (NUEA) is a joint economic development venture between Davis and Weber Counties, the two most populated and economically diverse counties north of the state capital, Salt Lake City. NUEA promotes, expands, creates job growth, and increases capital investment in northern Utah. Existing assets and distinctive resources of this region include: proximity to robust transportation systems, higher education opportunities, a well-educated workforce, and communities that provide a high quality of life.

�e Aerospace and Defense sector currently has a strong presence in northern Utah and expects continued growth and production. Hill Air Force Base (HAFB) spans across Davis and Weber Counties and is the largest military installation and single-site employer in Utah. In 2019, HAFB infused approximately $3.7 billion dollars into Utah’s economy. Anchored by HAFB, major Aerospace and Defense companies to the likes of BAE Systems, Boeing, Borsight, Lockheed Martin, Northrop Grumman, Parker Hanni�n and Williams International have found a home in northern Utah.

"Utah's Aerospace and Defense industry is one of Utah's key targeted industries and plays an important role in growing Utah's strong economy. As the hub for aerospace activities, northern Utah bene�ts from tremendous support from state and local government entities and strategic partnerships" stated Ryan Starks, Managing Director of Business Services at the Utah Governor's O�ce of Economic Development (GOED). He continued, "Northern Utah is home to world-class Aerospace and Defense companies. Our talented workforce and supply chain make Utah a premier destination where companies can thrive."

Photo Credit: Northrop Grumman

2NORTHERN UTAH’S AEROSPACE & DEFENSE INDUSTRY STUDY 2021

Major Contributors to Aerospace & Defense in Northern UtahUtah’s Aerospace and Defense industry directly and indirectly created over 58,229 jobs and $14 billion dollars in economic activity in the state during 2020. Northern Utah is the epicenter for the state’s success as a premiere destination for Aerospace and Defense businesses.1

HAFB employs a total of 27,650 personnel, including 5,705 military, 5,292 military dependents, and 16,653 civilians. In 2019 HAFB had an annual federal payroll of $1.43 billion and annual expenditures of $811 million. It’s estimated that HAFB adds $1.47 billion dollars of value towards jobs created for a total of $3.7 billion dollars in total economic impact. With the continued substantial growth in current missions, HAFB will need 3,000 new engineers and 1,800 new so�ware engineers in the near future.2

Northern Utah is making history as home to the United States Air Force’s largest acquisition program ever, the multi-billion-dollar Ground Based Strategic Deterrent

(GBSD). GBSD is a cornerstone of national security policy and fundamental to continued protection for the U.S. and its allies. �is program is estimated to take 20 years and $86 billion to replace the 400 Minuteman III Missiles (ICBM). Northrop Grumman was awarded the �rst contract, $13.3 billion for 8.5 years to modernize the system for the engineering and manufacturing development phase of the program. It includes weapon system design, quali�cation, test and evaluation, and nuclear certi�cation. �e GBSD project will generate approximately 3,000 new jobs.

HAFB’s Ogden Air Logistics Complex provides maintenance, modi�cation, and repair for the ��h-generation F-35 �ghter jet at the Air Force’s depot maintenance facility.

Utah State University’s Space Dynamics Lab (SDL), located in Logan, Utah, 59 miles north of HAFB, works with the Department of Defense and industry in defending and protecting our nation as well as supporting NASA’s vision to “reveal the unknown for the bene�t of humankind.” SDL’s solutions include improving data gathering and analysis tools for all branches of the military and powerful remote and in-situ sensing solutions, with an emphasis in electro-optical sensing in the near UV to far IR.

PERSONNEL SUMMARY BY %HAFB 2019

APPROPRIATED FUND MILITARY PERSONNEL LIVING ON AND OFF BASE

HAFB 2019

1. JobsEQ

2. Hill Air Force Base Economic Impact Statement 2019.

Off Base 91.6%

On Base 8.40%

APF Civilian49.6%

NAF Civilian10.6%

Dependents 19.1%

APF Military 20.6%

3NORTHERN UTAH’S AEROSPACE & DEFENSE INDUSTRY STUDY 2021

OCCUPATIONAL WAGE COMPARISON2

1, 2: Bureau of Labor Statistics

$140

,650

20

40

65

80

100

120

General and Operations Managers

MechanicalEngineers

Civil Engineers

Computer Occupations,

All Other

140

$62,

500

$92,

230

$140

,650

$108

,520

$112

,230

$81,

500

$81,

630

$118

,160

$94,

320

$79,

720

$86,

200

$77,

350 $9

3,29

0

$84,

100

$107

,100

$89,

800

$93,

850 $110

,590

$94,

230

$100

,080

$160k

�is chart shows the top �ve occupational wages in the aerospace and defense industry comparing northern Utah with other regions with signi�cant presence in the sector.

20

40

65

80

100

120

Aerospace & Defense Industry (Average Annual Wages per Worker)

$140k

$88,

803

$100

,874 $1

21,3

90

$116

,224

$114

,987

Northern Utah

Phoenix / Mesa / Chandler, AZ MSA

Los Angeles / Long Beach / Anaheim, CA MSA

Dallas / Fort Worth / Arlington, TX MSA

Washington D.C. / Arlington, VA / Alexandria, MD / WV

AVERAGE AEROSPACE & DEFENSE INDUSTRY WAGES1

4NORTHERN UTAH’S AEROSPACE & DEFENSE INDUSTRY STUDY 2021

MAJOR EMPLOYERS3

MAJOR AEROSPACE EMPLOYERS

Company Employees Description

Northrop Grumman 5000–5999 Northrop Grumman manufactures and tests navigation and situational awareness products that are used in platforms from undersea to outer space and supports ICBM and aircra� programs for the USAF. Northrop Grumman is the largest security and defense company in Utah with more than 5,100 employees across the state, Northern Utah is the headquarters for the Ground Based Strategic Deterrent (GBSD) program.

L3 Harris 3000–3999 L3 Harris is a leading provider of networked communication solutions for high-performance military intelligence collection, imagery processing, and satellite communications.

Boeing 1000–1999 Boeing in Utah fabricates large composite structures including horizontal stabilizers, vertical �ns for the 787-9 Dreamliner, and components for other commercial and military aircra� used internationally.

Hexcel 1000–1999 Hexcel Utah manufactures carbon �ber and hot melt prepregs with both woven and unidirectional reinforcements, with applications in commercial aerospace structures and military programs.

BAE Systems 500–999 BAE Systems provides system engineering and technical assistance and training for the Minuteman III Intercontinental Ballistic Missile (ICBM) weapon system at Hill Air Force Base.

Barnes Aerospace 500–999 Barnes Aerospace’s Ogden division is an industry leader in complex fabrications, specializing in concurrent engineering development and new product introductions.

Parker Hanni�n 500–999 Parker Hanni�n in Utah designs and manufactures components such as thermoplastics elastomers for dynamic applications, as well as complex �ight control components for commercial and military aircra�.

Williams International 500–999 Williams International in Ogden is the most modern and e�cient small gas turbine engine design-to-production facility in the world.

Curtiss-Wright 250–499 Curtiss-Wright specializes in rugged embedded computing and communication subsystems for size, weight, and power-cost constrained military, aerospace, and homeland defense applications.

JBT Aerotech 250–499 JBT Aerotech is a global leader in the design and manufacture of cu�ing-edge ground support equipment including loaders, deicers, and tow tractors.

Kihomac 250–499 Kihomac provides complete life cycle support for the A-10 �underbolt II through contracts with System Program O�ce (SPO) at Hill Air Force Base.

Petersen 250–499 Petersen provides design engineering, precision machining, and fabrication of tooling and components for advanced aerospace and defense systems.

�M Technologies 250–499 �M Technologies manufactures HDI Printed Circuit Boards which are characterized by high-density a�ributes including laser microvias, �ne lines, and high-performance thin materials.

ACT Aerospace 100–249 ACT Aerospace provides consultation and manufacturing for advanced materials such as autoclave cured composite structures.

Duncan Aviation 100–249 Duncan Aviation performs business aircra� airframe inspections, pre-buy evaluations, line-level engine avionics, interior support, and is equipped to provide AOG engine (RRT) services.

Janicki Industries 100–249 Janicki Industries designs and manufactures high precision parts and tooling for aerospace, marine, energy, space, military, transportation, and architecture customers.

Lockheed Martin 100–249 Lockheed Martin provides logistics, support, maintenance, and distribution for the nation’s premier �ghter aircra�, including the F-35 Lightning II, F-22 Raptor, F-16 Fighting Falcon, and A-10 �underbolt.

Borsight 50–99 Borsight is a systems engineering, integration, and manufacturing services provider. �ey have expertise in mission functionality as well as human factors analysis.

Mission Support 20–49 Mission Support is a certi�ed manufacturer and overhaul and repair facility providing depot-level overhaul services to US Air Force Material Command, Army Aviation, the FAA, and Naval Aviation.

3. Utah Department of Workforce Services

5NORTHERN UTAH’S AEROSPACE & DEFENSE INDUSTRY STUDY 2021

Map of Northern Utah

G R E ATS A LTL A K E

84DAV I S

C O U N T Y

M O R G A N

C O U N T Y

S A LT L A K E

C O U N T Y

W E B E R

C O U N T Y

11

2

342

3

4

1

2

SALT LAKE CITY

2

4

5

OGDEN

89

1

3

2

NORTHERN UTAH ASSETSINSTITUTIONS & HIGHER EDUCATION

4

4

Weber State University, Ogden

Ogden-Weber Technical College, Ogden

Davis Technical College, Kaysville

University of Utah, Salt Lake City

Union Station

Snowbasin Resort

Powder Mountain Resort

Pineview Resevior

Air

Rail

Road

Ogden-Hinckley Airport

Salt Lake City International

Interstate 15

Interstate 84

Highway 89

1

2

3

2

1

3

Kihomac

Falcon Hill Aerospace Research Park

Northrop Grumman GBSD HQ

Parker Hannifin Corporation

Hill Air Force Base

2

1

5

4

1

2

3

SALT LAKE CITY

OGDEN

FrontRunner Train long distance commuterTrax Train local/airportFreight Rail

89

84

4

80

Highway/Interstate

Interstate 80

Hill Air Force Base (HAFB)HAFB HISTORYHill Field was activated on November 7, 1940, when Lieutenant Colonel Morris Berman arrived for duty as the �rst commanding o�cer. �e base was named a�er Major Ployer P. Hill, a test pilot who was killed in a crash of the prototype of the B-17 in 1935 at Wright Field, Ohio. Strategically located close to transportation lines, the base was operated by Ogden Air Depot as a maintenance and supply depot.

Aircra� maintenance and depot supply began in mid-1941 and overhaul of B-17s in April 1942; in February 1943, a B-24 assembly line was opened. During the Korean War, Ogden overhauled B-29 and B-26 bombers. Jet �ghter maintenance began in 1953 with the F-89 and F-84; and in 1957 with the F-102 and F-101. Maintenance of the F-4 began in 1965 and the F-16 in 1979, while the C-130 and OV-10 were assigned to the base in 1988. Since 2013 �e Ogden Air Logistics Complex at HAFB has conducted maintenance on the F-35 from both the U.S. military and its allies.

�e Ogden Arsenal was transferred to HAFB on April 1, 1955, and Ogden was immediately assigned responsibility for Explosives Ordinance Disposal (EOD)

and for most Air Force air munitions. A facility to test air munitions was completed in 1964 at the HAFB Bombing and Gunnery Range in the desert west of the Great Salt Lake. �e facility was renamed the Utah Test and Training Range, and operation was transferred to the Air Force Systems Command in 1979; however, HAFB still manages range property.

Since WWII, a 13,500-foot runway was completed in 1957 and maintenance supply and administration buildings have improved base capabilities.3

HAFB TODAY Hill Air Force Base is the largest military installation in Utah and was the state's sixth largest employer over the last 5 years. �e Hill Air Force Base Economic Impact Statement for 2019 provides the following information about HAFB economic impact in the surrounding community.

HAFB Personnel StrengthMilitary + Dependents 10,997Civilians + NAF Civilian 16,653

TOTAL HAFB PERSONNEL 27,650

3. Hill Air Force Base

The F-35 Lightning II aircraft assigned to Hill Air Force Base.

7NORTHERN UTAH’S AEROSPACE & DEFENSE INDUSTRY STUDY 2021

SUMMARY OF PERSONNEL

Living on Base Living O� Base Total

Appropriated Fund & Military Active Duty/Air Force Reserve/Air National Guard (ANG) 1,426 3,142 4,568

Non-Extended Active Duty Reserve/Air National Guard (ANG) 25 1,112 1,137

Total Appropriated Fund & Military 1,451 4,254 5,705

Total Active Duty Military Dependents 1,759 3,533 5,292

Appropriated Fund Civilians General Schedule 5,354

Federal Wage Board 4,206

AcqDemo 3,100

Other 1,058

Total Appropriated Fund Civilians 13,718

Non-Appropriated Fund Contract Civilians & Private Business Civilian NAF 274

Civilian BX 174

Contract Civilians (not elsewhere included) 2,451

Private Businesses on Base 36

Total Non-Appropriated Fund Contract Civilians & Private Businesses 2,935

SUMMARY OF PAYROLL

Appropriated Fund Military

Active Duty $294,314,296

Air National Guard (ANG)/Reserve $625,485

Non-Extended Active Duty Air National Guard (ANG)/Reserve $20,049,797

Total Appropriated Fund Military $314,989,578

Appropriated Fund Civilians General Schedule $426,820,537

Federal Wage Board $335,302,050

AcqDemo $247,131,801

Other $87,228,262

Total Appropriated Fund Civilians $1,096,482,650 Non-Appropriated Fund Contract Civilians & Private Business Civilian NAF $7,923,132

Civilian BX $4,299,396

Private Businesses on Base, By Type: $1,654,669

Total Non-Appropriated Fund Contract Civilians & Private Business $13,877,197

TOTAL PAYROLL: $1,425,349,425

Hill Air Force Base Economic Impact Statement 2019

8NORTHERN UTAH’S AEROSPACE & DEFENSE INDUSTRY STUDY 2021

�e following Aerospace and Defense organizations are located on the base:

75th Air Base Wing (ABW): Oversees 1,000,000 acres and more than 1,700 facilities valued at $4 billion while providing installation support for the following: Ogden Air Logistics Complex, Air Force Life Cycle Management Center, Air Force Nuclear Weapons Center, Air Force active duty 388th and Reserve 419th Fighter Wings. ABW has more than 50 mission partners employing more than 21,000 personnel.

Ogden Air Logistics Complex: Provides war-winning expeditionary capabilities to the war-�ghter through world-class logistics, support, maintenance, distribution, and engineering management for actively �ying mature and proven weapon systems. It is one of three complexes assigned to the Air Force Sustainment Center.

Air Force Life Cycle Management Center: Serves as a forward operating location for total life cycle management of multiple weapon systems and support

services. Each program provides worldwide, cradle-to-grave logistics and program management in coordination with major commands, Air Force Material Command depots, supply sources, repair centers and users to sustain mission e�ectiveness throughout the system’s life cycle.

Utah Test and Training Range (U�R): A Department of Defense (DoD) Major Range and Test Facility Base that provides an ideal location for operational test and evaluation for weapons requiring a large safety footprint. U�R is also the only location capable of supporting overland testing of cruise missiles. �e facility is used in a training capacity for air-to-air combat, air-to-air ground inert and live practice bombing and gunnery training by DoD aircrews. U�R provides a vast area of realistic terrain for world-class test and training scenarios to ensure the war �ghter is prepared to deploy at a moment’s notice to win any con�ict with decisive air and space power.

Borsight's state-of-the-art airport hangar facility at The Ogden-Hinckley Airport.

9NORTHERN UTAH’S AEROSPACE & DEFENSE INDUSTRY STUDY 2021

ESTIMATE OF NUMBER & DOLLAR VALUE OF INDIRECT JOBS CREATED�e economic impact forecast of the Aerospace and Defense industry and HAFB is signi�cant.

Type of Personnel No. Of Base Jobs Multiplier No. Of Indirect JobsActive Duty Military 4,568 .50 2,284Reserve/ANG/Trainees 1,137 .21 239APF Civilians 13,718 1.66 22,772Other Civilians 2,935 1.66 4,872TOTAL 22,358 30,167

Annual Payroll Military $314,989,578

Federal Civilian $1,096,482,650

Other Civilian $13,877,197

Total Annual Payroll $1,425,349,425 Total Annual Expenditures $811,300,308

Estimated Annual $ Value of Jobs Created

Estimated Indirect Jobs Created 30,167

Average Annual Pay $48,778

Estimated Annual $ Value of Jobs Created $1,471,485,926

TOTAL ANNUAL ECONOMIC IMPACT ESTIMATE

TOTAL ECONOMIC IMPACT: $3,708,135,659

SUMMARY OF ANNUAL EXPENDITURES

Expenditures for Construction Military Construction Program $31,268,000

Non-Appropriated Fund $1,001,677

O&M $36,970,000

Commissary $1,200,253

Base Exchange (BX) $1,434,007

Health (CHAMPUS, Government Cost Only)* *Retirees and families excluded from this year’s report

$22,098,170

Education (impact aid and tuition assistance) $3,121,289

TDY $9,780,251

Other Materials, Equipment & Supplies $988,314

Total Expenditures for Construction $107,861,961

Expenditures for Services Service Contracts $703,438,347

Total Expenditures for Services $703,438,347

TOTAL ANNUAL EXPENDITURES: $811,300,308

10NORTHERN UTAH’S AEROSPACE & DEFENSE INDUSTRY STUDY 2021

OGDENHINCKLEY AIRPORT �e Ogden-Hinckley airport serves private and business general aviation services, commercial air service, and air ambulance service. It has a strong reputation for �ight training and related general commercial aerospace businesses. It also serves as a reliever airport for the Salt Lake City International Airport and HAFB. Ogden-Hinkley Airport is a vital component of the Aerospace and Defense industry-strategy in the State of Utah.

�e Ogden-Hinckley Airport covers approximately 720 acres and has operated as a municipal airport since 1928. �e Ogden-Hinckley Airport was certi�ed as a training facility for World War II cadet’s in 1940. Today, it primarily serves as a General Aviation airport with approximately 300 General Aviation planes based in its 250 hangars.

OGDENHINKLEY AIRPORT’S HISTORYRobert H. Hinckley, its founder, and his family moved to Ogden in 1927 for a be�er economic life. Shortly a�er placing roots in North Ogden, Hinckley purchased Hinckley Dodge and co-founded Utah Paci�c Airways, which served as an airplane dealer, charter, and school. Utah Paci�c Airways became the largest �xed base operator in the western region.

Hinckley was a visionary and worked tirelessly to bring Utahns relief during the Great Depression. He worked with the President, Franklin D. Roosevelt, in the New Deal and managed work projects in the western region. Hinkley used the Works Project Administration labor to build airports.

Hinckley was passionate about encouraging young people to take an interest in aviation and training civilian pilots in partnership with colleges and universities in Utah and across the nation. Hinckley understood that aviation and education would be critical to the country’s future prosperity.

MAJOR EMPLOYERS AT OGDENHINCKLEY AIRPORT �e airport o�ers commercial �ights, general aviation service, and aerospace engineering. Ogden-Hinckley Airport hosts operations for several aerospace and defense

companies, including Borsight, Northrop Grumman, and Williams International.

Existing hangars and build-to-suit options at the Kemp Ogden Gateway Center make Ogden-Hinckley Airport an ideal location for aviation and aerospace companies. 4

Borsight, who has large long-term contracts with the United States Air Force and NATO, specializes in the modernization of avionics systems in the older, legacy aircra� of the Department of Defense. In 2018, Ogden City announced Borsight would expand its operations at the airport with new o�ce and shop space that includes a hangar sized for large aircra� like KC-135 Aerial Refueling aircra� and commercial Boeing 737s. �e $6.3 million capital investment will bring 95 new jobs to the area over the following seven years.

Williams International is a world leader in the development, manufacture, and support of small gas turbine engines. �e company also provides research and development services for the U.S. defense industry and a�ermarket services to its commercial and defense customers. In 2020, GOED announced that Williams International is expanding its operations in Ogden, which will create approximately 300 new high-paying jobs in the next seven years. �e Williams facility in Ogden is the most modern and e�cient gas turbine design-to-production facility in the world.

FUTURE OPPORTUNITIES AND GROWTH�e airport has seen a signi�cant rise in the sale of aviation fuel over the last ten years, increasing the �owage to almost 1 million gallons per year from about 400,000 gallons in 2010. FAA measured operations are up the last three years with a 17% growth last year.

�e Ogden-Hinkley Airport also receives signi�cant Federal Airport Improvement dollars for handling over 10,000 commercial passengers annually.

Projected growth:

• $4 million in runway and taxiway upgrades• 10-year master plan • Wildlife hazard management project

4. Ogden City, Utah

11NORTHERN UTAH’S AEROSPACE & DEFENSE INDUSTRY STUDY 2021

Education & Training in Aerospace & Defense“Utah’s new Aerospace States Association (ASA) chapter formalizes our continued dedication to the aerospace industry. Our state works extremely well with industry partners and establishing this platform will further the positive impact of our public-private collaboration.” - Gov. Spencer J. Cox

�e following universities are leading the nation in education and training with speci�c Aerospace and Defense degrees:

Utah understands that the workforce is only as strong as the education that supports it. Over 92% of Utahns ages 25 or older have earned a high school diploma, and over 33.3% have received a bachelor’s degree. (ACS 2018 5-Year Estimates)

Utah is home to 12 major institutions of higher education with over 250,000 students enrolled each year.

UNIQUE AEROSPACE & DEFENSE EDUCATIONAL OPPORTUNITIES

Brigham Young University (BYU): Brigham Young University is deeply involved in research in the composite industry. �e engineering materials group develops novel processing techniques to prepare advanced materials using cu�ing edge microscopy to determine material structure at the nanoscale.

University of Utah (U of U): A diverse number of options for students are available at the U of U. �ey include degrees in: Biomedical Engineering, Chemical Engineering, Civil & Environmental Engineering, Electrical & Computer Engineering, Materials Science & Engineering, Mechanical Engineering, School of Computing, Computer Engineering, and Nuclear Engineering,

Utah State University (USU): Aerospace engineers develop new technologies in the �eld of aviation, space exploration, and defense systems. �ey specialize in the design, development, testing, and maintenance of both commercial and military aircra�, spacecra�s and their components, as well as satellites and missiles. Other prominent opportunities available at USU include the College of Engineering’s Rocky Mountain NASA Space Grant Consortium and the Center for Space Engineering. In the College of Science, researchers at the Center for Atmospheric and Space Sciences are developing instruments and data analysis tools for rockets, satellites, and space shu�les.

OGDEN26,809 Enrolled Students

Public InstitutionExpertise in Business, Healthcare,

Sales & Computer Science

SALT LAKE CITY31,860 Enrolled Students

Public InstitutionExpertise in Research, Genetics,

& Medicine

LOGAN28,118 Enrolled Students

Public InstitutionExpertise in Engineering

& Agriculture

12NORTHERN UTAH’S AEROSPACE & DEFENSE INDUSTRY STUDY 2021

Utah Valley University (UVU): Multiple degrees in Aerospace and Defense are o�ered at Utah Valley University. Aviation Science prepares students for successful careers in aviation. Mechatronics Engineering Technology prepares students to work as automation technicians or designers in the manufacturing sector along the Wasatch Front.

Weber State University (WSU): Weber State University o�ers multiple degree options for students interested in Aerospace and Defense. Degrees options are: Computer Engineering, Electrical Engineering, Electronics Engineering Technology, Manufacturing Systems Engineering, Mechanical Engineering, Mechanical Engineering Technology, Plastics & Composites, Production Operation & Controls, Welding, Product Design & Development.

Utah is also home to multiple Technical Colleges where students receive certi�cations in a wide range of Aerospace and Defense subjects many of the credits articulate into higher education degrees. �e mission for the Utah System of Higher Education is “To meet business and industry needs for technically-skilled workers and promote economic development by providing market-driven technical education to secondary and adult students.” 5

Davis Technical College: O�ers certi�cation programs in Automation and Robotics, CNC Machining, Composite Materials Technology, Injection Molding, Manufacturing Technology, and Welding Technology. Each certi�cation can be completed in approximately 10 months.

Davis Technical College partners with school districts, colleges, and universities throughout the State of Utah to create career pathways and eliminate dead ends. Some of those partners include Berkeley College, Dixie State University, Ensign College, Salt Lake Community College, Utah State University, Utah Valley University, Weber State University, and Western Governors University.

Ogden-Weber Technical College: Provides students, in as li�le as six months, training for a career in aerospace,

recreation, and advanced composites. Some highlights of the institution include:

• 2,615 enrolled students (21% of students are full-time)

• Teacher to student ratio of 30:1• Minority enrollment of 26% of the student body,

which is more than the state average of 21%

Utah Aerospace Pathways: �is program was created and established where high school students can graduate high school with a certi�cate in aerospace manufacturing and begin an aerospace manufacturing career. High school students complete the �rst semester of the program at their local high school, while the second semester takes place at a local technical college. Students also participate in a paid internship during their senior year of high school.

�e Utah Aerospace Education Foundation (UAEF): Operates with a mission of educating the public on national defense, aerospace and Air Force issues while advocating for aerospace and STEM education. UAEF awards grants to industry-related education programs, community STEM events, STEM programs in schools, and funds ROTC scholarships.

“Improving our education system is the most important

thing we can do to build a strong economy for the future.

�e Utah Aerospace Education program provides stu-

dents who have a passion for technology and innovation

the opportunity to become familiar with aerospace manu-

facturing and get hands-on experiential learning.”

- Larry Coughlin, General Manager of Boeing Salt Lake

5. Utah System of Higher Education

13NORTHERN UTAH’S AEROSPACE & DEFENSE INDUSTRY STUDY 2021

Idaho National Laboratory Just beyond the northern Utah border into eastern Idaho is 890 square miles of area where, in 1951, the world’s �rst electricity was produced from nuclear energy. �e Idaho National Laboratory (INL) is the nation’s top nuclear research facility for the U.S. Department of Energy, employing thousands of people immersed in research that touches all corners of our lives. Employing thousands of people immersed in research that touches all corners of our lives, including aerospace engineering.

�e Idaho National Laboratory is intertwined with multiple Utah projects, from helping keep cellphones functional for �rst responders in a catastrophic emergency to testing the functionality of ba�eries in electric vehicles.

�e Idaho National Laboratory is a partner in Rocky Mountain Power’s WestSmart Electric Vehicle corridor project, which aims to make available charging stations on major transportation corridors in the West.

Rocky Mountain Power received a $4 million grant from the U.S. Department of Energy. �e Idaho Laboratory is an energy department facility that includes a sophisticated electric vehicle ba�ery laboratory, where employees carry out research. Researchers bake EV ba�eries, freeze them or subject them to other elements to determine how varying conditions a�ect the length of a charge. �e laboratory is analyzing data gathered from Utah charging stations, some of which are along the I-15 electric vehicle corridor.

FORGE, or the Frontier Observatory for Research in Geothermal Engineering, is another U.S. Department of Energy project that may someday mean Utah residents – indeed all Americans – have easier, cheaper access to the earth’s renewable thermal energy. Researchers from around the world, including the Idaho National Laboratory, join the University of Utah in the $130 million project to test new technology in Utah’s high plains desert. �e Idaho National Laboratory assisted the university in a preliminary site analysis in the project that is now in its second phase of development. Utah already has 73 megawa�s of installed geothermal capacity with a trio of producing plants, with the capability of generating 1,300 megawa�s of energy.

Future Opportunities in the Aerospace & Defense SectorEconomic Development Corporation of Utah (EDCUtah) recently announced the following plans for future Aerospace and Defense growth and expansion:

Northrop Grumman to Expand in Weber CountyIn 2020, Northrop Grumman expanded its operations in northern Utah, with the GBSD program and other projects - creating up to 3,000 jobs in the next 20 years. Northrop Grumman is currently the largest security and defense company in Utah with more than 5,100 employees across the state, primarily located in Bacchus, Clear�eld, Ogden, Promontory and Salt Lake City. Northrop Grumman is a leading global security company providing innovative systems, products and solutions in autonomous systems, cyber, C4ISF, space, strike, and logistics and modernization to customers worldwide.

L3 Harris to Expand in Salt Lake LocationL3 Harris will expand its operations in Utah, adding up to 250 jobs in 2019 to compliment its existing 3,000+ employees in Utah. As a Top 10-defense contractor, L3 Harris plays a critical role in designing and manufacturing products for the protection and defense of freedoms worldwide. �e company began operating in Utah in the 1950s, and since then has grown to become a world-leader in connecting space, airborne, ground, and sea-based platforms with secure, real-time data.

Parker Hannifin to Move Additional Repair Operations to UtahParker Hanni�n will relocate more operations to Utah, adding up to 77 jobs in 2018, to its existing 500+ employees in Utah. Parker Hanni�n currently has an engineered polymer systems facility in Utah, as well as an engineering and manufacturing operation supporting its Control Systems Division in Ogden, Utah. �e division is the world leader in the design and manufacture of �ight control actuation equipment.

14NORTHERN UTAH’S AEROSPACE & DEFENSE INDUSTRY STUDY 2021

Falcon Hill Aerospace Research Park Development�e Falcon Hill Aerospace Research Park is the largest Enhanced Use Lease (EUL) in the Air Force and one of the largest commercial EULs in the Department of Defense. It comprises 550 acres, almost 5 miles of I-15 freeway frontage at Hill AFB. Currently Falcon Hill has over 1 million square feet of commercial space completed and under development.

Expansion at HAFB by 2025Hill Air Force Base projects future growth over the next 4 years. Ogden Air Logistics Complex performs programmed depot maintenance on a number of US Air Force weapon systems. 309th So�ware Engineering Group (309 SMXG) focuses on cradle-to-grave system support, so�ware and hardware engineering, program management and data management. �e Defense Infor-mation Systems Agency (DISA) expanded into HAFB in 2018. �e organization o�ers IT services, capabilities, and acquisition expertise that enable our nation's mili-tary to accomplish their missions. �ese organizations, collectively, are projected to grow over 1,200 positions in the next four years.

Why Aerospace & Defense Industries Thrive in Northern Utah

Utah has consistently won “Best State for Business” ranking from Forbes, CNBC, 24/7 Wall Street and other organizations. Why is northern Utah leading the way as the place for Aerospace and Defense private sectors and government organizations? Consider these reasons to relocate or expand Aerospace and Defense or composites business:

Tax ClimateUtah ranks #8 from the Tax Foundation, which is designed to show how well states structure their tax systems. �e state’s income tax rate of 4.95% puts it at #8 nationally.

2021 State Business Tax Climate Index

WA

MT

ID

ND

MN

ME

MIWI

OR

SD NY

WY

IANE

IL

PA

CAUT

NV OHIN

CO WVMOKS VA

KY

AZ OKNM

TN NC

TX

AR SC

AL GAMS

LA

FL

AK

HI

#16

#15

#49

#7

#20

#5

#1

#8

#3

#38

#24 #23

#21

#17

#2

#28

#35

#30

#11

#46

#40

#12

#45

#42

#25

#36

#32 #41 #31

#18

#4

#33

#10

#19

#9

#14

#39

#27

#22 #26

#48

#29#43

10 Best Business Tax Climates

10 Worst Business Tax Climates

Note: A rank of 1 is best, 50 is worst. D.C.’s score and rank do not affect other states. The report shows tax systems as of July 1, 2020 (the beginning of the Fiscal Year 2021).Source: Tax Foundation

MA#34

RI#37

CT#47

NJ #50

DE #13

MD #44

DC #46

NH #6

VT

15NORTHERN UTAH’S AEROSPACE & DEFENSE INDUSTRY STUDY 2021

2018 Hachman Index

Hachman Index�e Hachman Index quanti�es the economic diversity of a state. In 2018, Utah scored 97.1 of 100 or #1 in the nation. Weber and Davis Counties averaged 88 of 100. 5

WV64.1

IN76.5

VA89.1KY

89.6

OH93.6

MI91.2

FL92.0

DE 56.0

DC 48.9

VT 89.4

RI 89.1

MD 88.3

MA 89.4

NJ 93.8

NH 94.5

CT 91.0

GA95.9

PA95.7

AL90.6

ME91.0

NC 93.5

SC 91.0

NY79.1

SD60.7

OK47.7

NV67.5

NE73.0

ND49.0

MT83.2

LA83.9

ID82.3

WA85.1

MS86.3

AR88.1

WI91.5

OR93.4

KS92.4

MO96.8

IL95.5

AZ96.0

UT97.1CA

92.8

CO93.2

MN94.0

IA75.8

NM60.1

TX

WY32.0

Hachman Index Score

95.0 + (Most Diverse)

90.0 - 94.9

85.0 - 89.9

75.0 - 84.9

< 75.0 (Least Diverse)

HI72.2

AK33.8

73.6

TN 92.1

Median Age of Utah’s Workforce Utah’s median age is 30.7 years which makes it the youngest state in the country. Training programs in Utah, such as the Utah Aerospace Pathways program, graduate high school students with a certi�cate in aerospace manufacturing ready for a career in northern Utah’s Aerospace and Defense industry.

Educated Workforce Utah ranks #14 nationally for people living here who are 25 years or older and have a bachelor’s degree or graduate degree, Utah ranks #12 nationally in high school graduate rates. Utah has 12 higher education and technical institutions o�ering specialized programs in Aerospace and Composites. Utah State University has put more experiments into �ight on shu�le and satellite missions than any other institution in the country.

Labor Costs Utah’ s a�ordable labor costs and highly educated and talented workforce puts Utah as one of the best places to �nd quali�ed workers in the western region.

Source: Kem C. Gardner Policy Institute, April 2020

5. Bureau of Labor Statistics and Utah Department of Workforce Services employment data.

16NORTHERN UTAH’S AEROSPACE & DEFENSE INDUSTRY STUDY 2021

Operating Costs Utah ranks #2 among western states for overall operating costs. �is ranking includes real estate costs, electricity, natural gas, construction, and other costs.

Abundant WorkforceMore than 40,000 employees work in Aerospace and Defense and Composites related �elds making Utah one of the strongest states in employee concentrations of aero-space engineers, materials scientists, machine operators and other aerospace related occupations.

Worker’s Compensation Utah’s average worker’s compensation premium ($1.31 per $100.00 of wages) is among the nation’s lowest, rank-ing at #7 nationally.

Transportation Infrastructure Utah, o�en called “�e Crossroads of the West” has a considerable and convenient rail, highway, and air infrastructure. �e Salt Lake City Airport (SLC) located approximately 30 minutes south of Ogden, Utah, o�ered 370 daily departures to 99 nonstop destinations and �nished ��h among mid-sized airports globally in on-time performance. SLC completed a major $4

billion redevelopment program, the �rst phase opened in September 2020. Furthermore, the Utah Inland Port, under development, will be a dry port in the northwest quadrant of Salt Lake City. When completed it will cover over 16,000 acres.

Broadband Infrastructure Utah’s average connection speed is 83.7 mbps. 6

Testing and Training Resources Utah is home to Utah Testing & Training Range (U�R), Utah Unmanned Aerial Systems Training Center (UASUtah) and Rapid Integration and Testing Center. �e U�R is the largest overland contiguous block of supersonic authorized restricted airspace in the lower 48 states. UASUtah provides a testing and training ground for both public and private UAS operations. �e Unmanned Aircra� Systems Project o�ce operates its Rapid Integration and Acceptance Center (RIAC) at the U.S. Army’s Dugway Proving Ground. �e center is open to military agencies in need of testing UAS technologies. 7

6. BroadbandNow: Average download speeds are based on 2.5 million subscriber’s user tests in the past 12 months, Dec. 2020.7. Business Facilities Magazine, “12 Reasons to Bring Your Company to Utah”, July 2017

TCB Composite, a KIHOMAC Company, custom designed spinner and bulkhead on the Spirit of St. Louis 2.

17NORTHERN UTAH’S AEROSPACE & DEFENSE INDUSTRY STUDY 2021

ResourcesNorthern Utah Economic Alliance Chris Roybal, PresidentP: 801-455-5690E: [email protected]

Utah Governor’s Office of Economic Development (GOED)Ryan Starks, Managing DirectorP: 801-538-8794E: [email protected]

Davis County, UtahRob Sant, Economic Development DirectorP: 801-451-3216E: [email protected]

Weber County, UtahHolin Wilbanks, Economic Development Director P: 801-513-4203E: [email protected]

Economic Development Corporation of Utah (EDCUtah)Ma� Hilburn, VP of Research & Marketing P: 801-971-3657E: [email protected]

Utah Defense AllianceP: 801-593-2113Web: utahdefensealliance.com

Utah Advanced Material and Manufacturing Initiative (UAMMI)P: 801-593-2236E: [email protected] Web: uammi.org

Hill Air Force BaseBeth Topa, Public RelationsP: 801-777-7400Web: hill.af.mil

Northern Utah Economic Alliance262 N. University Avenue, Farmington, Utah 84025

p: 801-455-5690 | NUEA.org

ADVISORY BOARD

Northern Utah Economic Alliance (NUEA) is a joint venture of Davis and Weber Counties, the two-most populated counties in northern Utah. NUEA is dedicated to quality job growth and increased captial investment in northern Utah.

Commissioner Bob Stevenson, Co‐ChairCommissioner Gage Froerer, Co‐Chair�eresa FoxleyMayor Mike CaldwellCameron CookCari FullertonKi Ho KangRhe� LongSlade OpheikensMayor Joy PetroTaylor WoodburyKerry WahlenSenate President, Stuart AdamsSpeaker of the House, Representative Brad WilsonSenator David BuxtonRepresentative Steve HandyPresident Brad Mortensen President Darin BrushPresident Jim TaggartRyan Starks