All posts by azmanufacturerscouncil

Help for Arizona manufacturers hurt by pandemic

The Arizona Commerce Authority is putting out a call to Arizona manufacturers hurt by the pandemic. It has a program to help.

Companies hit hard by disruptions, layoffs, furloughs, loss of business and other setbacks due to Covid-19 are encouraged to apply for emergency assistance through the agency’s Manufacturing Extension Partnership (MEP).

Through the partnership, companies can receive subsidized or reduced rates for assistance in areas like rebuilding customer demand, overcoming supply chain disruptions, reassembling their workforce, and identifying new markets.

“There’s close to 5,000 manufacturers in Arizona and a lot of them need help but most of them don’t know that this kind of help is available to them so they don’t seek outside resources, especially the small companies that need it most,” said David Garafano, executive director of the program.

Many small manufacturers suffering setback 

Garafano said small manufacturers have been hardest hit. The goal is to bring them back to their pre-pandemic levels.

“In some cases we’ve seen companies that have seen their demand completely dry up. For example, when all of the airlines stopped flying, a lot of the aerospace work in the manufacturing supply chains stopped,” he said. “We saw furniture companies where 80 percent of their demand just evaporated. It was gone.”

Among the services MEP can assist companies with are:

  • Strategic planning and identification of new markets
  • Rebuilding customer demand
  • Overcoming supply chain disruptions
  • Financial and cash flow management
  • Lean manufacturing and continuous improvement
  • Staffing, training and workforce development
  • Maintaining a safe workplace in a COVID-19 world
  • Cybersecurity risk assessment and compliance planning

Bargain rates for top level expertise and analysis 

Through the MEP program, companies pay reduced rates for top level expertise to help them improve their business and operational performance. Customized solutions and hands-on assistance are provided by a network of third party service providers and the program’s team of seasoned manufacturing and professionals.

“The one thing that’s so much fun about the AZ MEP is that we’re just here to help,” said Garafano, who has more than 30 years experience in manufacturing and business in leadership positions with companies such as AT&T, Lucent Technologies, Celiant, Andrew and ON Semiconductor.

This emergency assistance is being made possible through the federal CARES Act. Arizona is receiving $730,000 to help these struggling companies get back on their feet. So far, $350,000 has been approved for 118 companies.

Why manufacturing is so important to Arizona 

Arizona has seen steady uphill growth in the sector since 2013. One of the biggest benefits of that growth has been higher paying jobs.

In 2019, there were an average 177,000 manufacturing employees with an average annual compensation of $87,387, according to the National Association of Manufacturers (NAM).

Manufacturing is also a revenue producer for the state. Manufacturers produced $20.93 billion in manufactured goods exports in 2019. Of that, $9.84 billion was from free trade agreement partners like Mexico and Canada. Small businesses comprised 88 percent of all exporters.

The bulk of manufacturing output in Arizona comes from three sectors: computer and electronics, aerospace and other transportation equipment, and fabricated metal products.

Pandemic changed landscape for manufacturing 

Many sectors have seen dramatic disruptions including Arizona’s most profitable, aerospace and defense.

So far, companies seeking assistance have needed a variety of services including rebuilding their workforces and finding new uses for their operations and equipment as demand has dried up, Garafano said.

“Probably one of biggest things we’re doing with these companies is a lot have been hurt financially by the pandemic and they don’t always have a CFO or a higher level finance person, so we’re bringing in CFO people to do analysis on the company and help them understand their cash flow,” he said. “They were healthy and the pandemic made them unhealthy, so we can help them build a plan to get healthy again.”

Relief needed to make it through the new year    

Allison Gilbreath, executive director of the Arizona Manufacturers Council, said there is a great need for aid for the industry right now. Not only are many industries flailing but other federal covid relief programs are about to dry up.

“The manufacturing industry in Arizona was hit hard by the Covid-19 pandemic,” Gilbreath said. “Our members were faced with tough choices in 2020 and most manufacturers anticipate pandemic-related challenges well into 2021.”

For more information or to apply for assistance through the MEP program, go to: Arizona MEP emergency assistance program. 

Original Chamber Business News article here.

Environmental Issues Breakfast Hour | Legislative Kick-Off with Committee Chairs

Date: January 13, 2021
Time: 7:30 AM – 8:30 AM (AZ)
Featured Guests: Sen. Kerr, Rep. Griffin, Amanda Stone (ADEQ)

Format: Zoom Video Conference

REGISTER HERE

Event Description:

One of the Arizona Manufacturers Council’s longest standing meetings, the monthly Environmental Issues Breakfasts regularly convene environmental policy experts, industry stakeholders, and state legislators around the breakfast table to discuss Arizona’s most pressing environmental issues.

Emceed by environmental and natural resource extraordinaire, Amanda Reeve, the monthly breakfast events are a warm and welcome setting for meaningful environmental presentations and discussion.

The breakfast events are held on the second Wednesday of each month from January through May, pausing in the summer and fall months to devote AMC staff time and resources to the annual, multi-day Environmental & Sustainability Summit, and the Arizona Manufacturing Summit and Manufacturer of the Year Awards events.

In an abundance of caution to prevent the spread of COVID-19, the monthly breakfasts have been converted to a virtual format for the 2021 season and will be offered free of charge. Please grab a cup of coffee and join us for the next virtual, breakfast-hour, roundtable discussion.

Featured January 13 guest speakers:

Senator Sine Kerr, LD-13, Chair, Senate Natural Resources, Energy and Water Committee

Representative Gail Griffin, LD-14, Chair, House Natural Resources, Energy & Water Committee

Amanda Stone, Intergovernmental & Community Affairs Director ADEQ

REGISTER HERE

Arizona’s standout leaders for manufacturing receive awards

Individuals and companies that stand out as shining role models in the manufacturing sector were recognized for their accomplishments at the 2020 Arizona Manufacturing Summit and awards ceremony Friday. The event was hosted by the Arizona Manufacturers Council (AMC) and the Arizona Chamber of Commerce & Industry.

Seven awards were given to manufacturing champions in innovation, excellence, sustainability, and leadership. Featured speakers also talked about the successes over the past year and challenges ahead including racial inequity from the classroom to the boardroom.

This year’s event was not only about recognizing the billions of dollars in revenues manufacturers brought to the state but their efforts during the pandemic, said Mark Gaspers, AMC chairman.

“We want to celebrate their innovation amidst our current challenges and their contributions to the state,” Gaspers said.

High-paying manufacturing jobs on the rise

Glenn Hamer, president and CEO of the Arizona Chamber, said the manufacturing industry has been a major contributor to Arizona’s economic success over the past year. Today, the industry employs about 177,000 workers statewide and pumps about $30 billion annually into the economy.

“We are at a point of time now, because of the good work of the Arizona Manufacturers Council, Governor Doug Ducey, and our friends at the state Legislature, where we have more manufacturing jobs in Arizona than construction jobs,” Hamer said.

2020 Award winners 

Seven companies and three individuals received awards this year:

 Large Manufacturer of the Year: Raytheon Technologies

Raytheon is Southern Arizona’s largest employer, serving customers in the commercial aerospace and defense industries. Founded in 1922, the company has become one of the largest aerospace and defense manufacturers in the world. Over the years, it has won numerous awards for its innovative technology solutions and world-class engineering teams.

• Medium Manufacturer of the Year: Mercury Systems 

Mercury Systems has earned a reputation as the leader in making trusted, secure mission-critical technologies more accessible to the aerospace and defense industries. The company’s innovative solutions power more than 300 critical aerospace and defense programs. Mercury established a $1 million relief fund for employees impacted by the pandemic.

• Small Manufacturer of the Year: Service Wire Co. 

Service Wire Co. is a second-generation, family-owned wire and cable manufacturer started in  1968. Today, its nationwide network of distributors and advanced distribution capabilities enable them to meet and exceed the often complex needs of industrial, commercial, utility, pump, irrigation, and transit customers throughout North America and the world.

• Legislator of the Year: State Representative Ben Toma

Representative Toma, chair of the House Ways and Means Committee, received the award for his “consistent and firm commitment to wise tax and regulatory policy to spur innovation and job creation.”  In 2020, Rep. Toma led passage of House Bill 2771, which revised and extended tax credits including a tax credit to incentivize businesses to relocate or expand manufacturing facilities in Arizona, including manufacturing related research and development.

• Advocates of the Year: Michael Denby and Eric Massey of Arizona Public Service

Denby, corporate environmental senior policy advisor for APS, and Massey, APS’ director for Environment and Water Resource Management, worked to advance policies in the water, energy, air quality, natural resources, and environmental spaces that encourage job growth and innovation while ensuring that the business community is part of the solution to promote wise environmental stewardship.

• Excellence in Sustainability: Swire Coca-Cola 

With revenues of $2 billion, Swire Coca-Cola produces, sells and distributes Coca-Cola and other beverages in 13 states across the American West. This year, Swire launched its Sustainable Development 2030 goals to increase recycled content in its packaging, decrease the amount of water it uses, and reduce its carbon emissions by converting to renewable energy. In response to Covid-19, Swire donated over 66,000 liters of water to the Navajo Nation.

• Excellence in Innovation: VB Cosmetics

VB Cosmetics conducts research and development, custom formulation, and private labeling and sale of cosmetics and personal care products including a transformational technology called Dazzle Dry, a quick-dry nail polish system. During COVID-19, the company has manufactured Personal Protective Equipment around the state for the Salvation Army.

• Lifetime Achievement Award: Dawn Grove

Grove was recognized for her tireless work on behalf of manufacturers, Arizona workers and the broader community. She is corporate counsel for Karsten Manufacturing Corporation, the parent company of PING. Grove is chair of the Workforce Arizona Council and serves on the boards of the Arizona Commerce Authority, National Association of Manufacturers and Karsten.

Two leading national figures spoke at the event  

Two national figures also spoke at the event.

Keynote speaker was Rick Wade, senior vice president of strategic alliances and outreach for the U.S. Chamber of Commerce. Wade discussed an intensive nationwide effort to improve racial equity in business and industry from the production floor to the board room.

Wade called on industry to continue to come together to reduce gaps in equity.

“We have made tremendous progress but we have a lot of work to do with regards to equality and opportunity,” he said.

Wade, who grew up in rural South Carolina in the 1960s when many schools were still segregated, said he was able to overcome racial barriers. But Black citizens continue to be left behind today, he said. They are more likely to be unemployed, incarcerated and poor.

Improving diversity and inclusion in business is more than a “moral imperative,” it’s also an economic one, he said. Research shows diversity increases company profits, and that if gaps in racial inequity were eliminated, the nation’s GDP would gain about $8 trillion, Wade said.

Original Chamber Business News article here.

Legislative Forecast Luncheon

Date: January 8, 2021
Time: 11:00 AM – 12:30 PM PST
Featured Guests: Gov. Ducey, Senate & House Leadership

Format: Zoom Video Conference

REGISTER HERE

Event Description:

The Legislative Forecast Luncheon convenes business leaders, members of the Arizona congressional delegation, state legislators, mayors, councilmembers, county supervisors, and government affairs representatives.  In order to ensure the safety of guests, members, staff and volunteers, we will be hosting this event virtually.

The event includes key features such as:

  • Keynote address from Arizona’s Governor
  • An open discussion among Arizona State Senate and House of Representatives majority and minority Leadership
  • Unveiling of the Chamber’s Business Agenda
  • Networking breakout sessions

REGISTER HERE

Interface Awarded Arizona Manufacturers Council 2019 Manufacturer of the Year

It is with great honor that Interface is recognized in the Outstanding Small Manufacturer category for Quality Products and Involvement in Community by the Arizona Manufacturers Council as recipients of the “2019 Manufacturer of the Year” award.

Interface received the award at a gala luncheon held at the Arizona Biltmore on October 3, 2019. The annual award program recognizes the best companies in the state that exemplify how manufacturing betters their local communities and the state of Arizona.

“Interface takes great pride in the role we play in manufacturing excellence, and our entire company is honored to have received this distinguished award,” said Joel Strom, CEO of Interface. “We are especially pleased because as the builders and makers of precision force measurement solutions, the award recognizes Interface for the three aspects of our business we pride ourselves on: quality products, continued innovation, and involvement in our community.”

The Arizona Manufacturers Council plays a vital role in the state as the voice of Arizona manufacturing. They are associated with the National Association of Manufacturers and work tirelessly to promote and enhance a positive business climate for manufacturing and related industries in Arizona.

“Interface’s depth of expertise of breadth of products serves as a shining example in the manufacturing sector,” said Alison Gilbreath, executive director, Arizona Manufacturers Council. “We’re delighted to have presented Interface with this year’s well-deserved award and are confident they will continue to be a best-in-class example of what it means to successfully compete in the global economy and create jobs in Arizona.”

Interface is well known for premium accuracy and reliability when it comes to force measurement solutions. In the last 12 months, Interface launched one of its most disruptive and innovative solutions to date, the AxialTQ™ Wireless Rotary Torque Transducer and expanded its Wireless Telemetry System (WTS) for use in the automotive market. In the area of community involvement, the company introduced the Interface University Program to provide discounted products, services, and educational materials to innovators and educators. Interface is also continuing its involvement in the local STEM community, the Arizona Science and Engineering Fair and local Arizona universities.

Original article here. 

Mark Gaspers, Chair

Manager, State & Local Government Operations, The Boeing Company

Mark Gaspers serves as Manager for State and Local Government Operations at The Boeing Company in the southwest. Prior to this role, Mr. Gaspers was a Trade Control Specialist in support of Boeing’s Space Exploration division.

Before joining Boeing, Mr. Gaspers was a policy analyst for defense, homeland security, veterans, and NASA issues for the Senate Republican Policy Committee (RPC) under the chairmanship of Senator Jon Kyl (R-AZ). Mr. Gaspers also served as a senior legislative assistant for Representative Lincoln Diaz-Balart and as Senator Kyl’s health care legislative correspondent. He completed the Air Command and Staff College with the Air Force Fellows section while working for Representative Diaz-Balart.

Mr. Gaspers received his master’s degree in national security studies from Georgetown University in 2001. While at Georgetown, he served as an associate editor of National Security Studies Quarterly and worked as a research assistant for the Kennedy Institute of Ethics. He holds a bachelor’s degree in political science from Loyola Marymount University in Los Angeles.

Mr. Gaspers currently serves as chair the board of directors for the Arizona Manufacturers Council. He resides in Tucson with his wife, Dr. Mary Gaspers, and their two children.

Dawn Grove, Immediate Past Chair

Corporate Counsel, Karsten Manufacturing Corporation (PING)

Dawn Grove is Corporate Counsel for Karsten Manufacturing Corporation, the parent company of PING and related subsidiaries, and has served on the board of directors of Karsten Manufacturing Corporation continuously since 1995.  KMC’s main subsidiary, PING, is one of the top golf equipment brands in the U.S. and exports about half of its products outside the U.S.  Ms. Grove chaired the Arizona Manufacturers Council, and serves on the boards of directors of the  Arizona  Commerce  Authority and the National Association of Manufacturers. In 2015, she was appointed to former President Obama’s U.S. Manufacturing Council, which advised the U.S. Secretary of Commerce on issues related to strengthening U.S. manufacturers and achieving policy solutions that allow them to remain globally competitive.  In 2016, Governor Ducey appointed her to chair the Workforce Arizona Council, the state’s workforce development board pursuant to the federal Workforce Innovation and Opportunity Act.  In 2017, she began serving on the Executive Committee of the National Association of State Workforce Board Chairs.  In 2020, she became chair of the Arizona Chamber of Commerce & Industry.

Prior to going in-house with Karsten Manufacturing Corporation, Ms. Grove practiced law in California and Arizona, primarily representing manufacturers. She received her doctor of Jurisprudence from Pepperdine University School of Law.

Ms. Grove is married to Rawleigh Grove and they have three children.  She serves in non-profit organizations that provide community service and global relief efforts, has a black belt in Taekwon-do, and mentors young adults.

NAM recognizes 115th Congress Manufacturing Legislative Excellence honorees

Each year, the National Association of Manufacturers (NAM) recognizes U.S. legislators for their commitment to the manufacturing community. The Manufacturing Legislative Excellence Award is given to those lawmakers who score above 70 percent on NAM Key Manufacturing Votes.

This year, Arizona congresswoman and current U.S. Senate candidate, Martha McSally, was recognized with the award, scoring a 96 percent.

Arizona is proud to have champions of manufacturing advocating for sound, advantageous policies at the federal level.

Other Arizona lawmakers receiving the recognition include Senator Jeff Flake and Representatives Paul Gosar, Andy Biggs and David Schweikert.

Find the full list of U.S. Senate awardees here, and the full list of U.S. House awardees here.

Arizona Manufacturer of the Year Awards: 2018 Winners

Each year, the Arizona Manufacturers Council recognizes creators and innovators of all sizes and industries. This year’s award recipients represent the very best of the Arizona manufacturing community, and exemplify how manufacturing betters its communities and betters the state.

Congratulations to the 2018 Manufacturers of the Year!

Outstanding Large Manufacturer of the Year: The Boeing Company

Outstanding Medium Manufacturer of the Year: TYR Tactical

Outstanding Small Manufacturer of the Year: Novembal

Excellence in Innovation: Moldworx

Excellence in Sustainability: Intel

Environmental & Sustainability Summit Presentations | 2019

Arizona’s premier natural resource event is annually hosted by the Arizona Manufacturers Council and presented by member Snell & Wilmer. This annual event convenes local and national leaders in industry and environmental policy for a robust multi-day conference in the cooler northern regions of Arizona.

Select presentations from the 2019 Environmental and Sustainability Summit are available here.

The Cutting Edge – April 2018

Group of young professionals visits PING, learns about manufacturing, trade and the workforce in Arizona

The Arizona Industry Fellows, a group of young professionals and future business and civic leaders, spent a day on-site at PING. The group heard from the Chair of the AMC and Workforce Arizona Council, and Corporate Counsel for Karsten Manufacturing Corp./PING, Dawn Grove about the unique environment for manufacturers in Arizona, the crucial role that the AMC plays in advocating for policies that benefit existing manufacturers and that help attract new manufacturers to the state, the challenges that exist with the workforce and ways to address those challenges.

The group took a tour behind the scenes of PING’s Phoenix operation, and was joined by special guest, Congresswoman Martha McSally. The fellows saw first-hand the amount of hand work that takes place in PING’s facility, many of them in awe of the amount of human power and attention to detail at play on the manufacturing floor. PING employees welcomed the group and Congresswoman McSally, and spoke enthusiastically of the company’s custom-engineered, custom-fit and custom-built premium golf equipment and their culture that values and treats employees like family.

The group got a look inside PING’s gold putter vault, where they store golden casts of all the tournament-winning PING putters.

The fellows’ program for the rest of the day included discussions with some of the industry’s most well-known experts on topics including trade relationships and border efficiency, Arizona’s mining industry, career and technical education and workforce training at the community college level and navigating Arizona’s policy landscape as a small manufacturer and business owner.


Follow the AMC on Facebook for more exclusive content

The AMC is revamping its Facebook footprint. For updates from AMC Executive Director Allison Gilbreath, brief interviews with industry leaders and inside stories from AMC members, keep up with us on Facebook.

 

Watch ED Allison Gilbreath’s introduction video for a preview of what’s to come:

 


In the News


Around the Nation:

U.S.News: Adaptability to Volatile Industries Key to Rocky Mountain Economic Success

State and local government officials across the country were sent scrambling back in 2013 when Boeing announced plans to significantly expand operations outside of its Puget Sound birthplace in Washington – potentially opening up new communities to the promise of high-paying jobs, larger tax revenues and more substantial economic development.

So valuable was Boeing’s business to the state of Washington that a nearly $9 billion package of tax incentives was eventually passed by state lawmakers hopeful that they could convince the company to stick around and keep its business in the Evergreen State. That bid failed, however, and Boeing eventually announced plans to beef up operations in states such as California, South Carolina and, notably, Utah – a Rocky Mountain state known in part for its advanced manufacturing output in which Boeing for years had maintained a presence.

Read more

Manufacturing Global: Attracting investors: tech in the manufacturing sector

Sweeping changes in technology are disrupting nearly all sectors of the global market. In the home, the shop floor, the factory and the hospital, and even our daily commute, technology is leading to huge changes in commercial business models. Why should manufacturing be any different?

This is the new industrial revolution — Industry 4.0 — and as with any rapid change, new opportunities have arisen and new ways of thinking have emerged. However, there are also new hurdles to overcome for businesses large and small.

Read more

Bloomberg: Nafta or Not, Quebec Is Putting Millions Into Manufacturing

The future of Canada’s trade relationship with the U.S. is in limbo but that didn’t stop Robert Belanger from investing C$3.6 million ($2.8 million) to upgrade his Quebec fabrics plant.

New weaving machines and a state-of-the-art dying system are helping his company, Belt-Tech Inc., produce enough of the webbing used in seat belts and pull straps to meet a 30 percent surge in orders from the North American auto industry. Part of the financing came from Quebec’s government, which is pushing manufacturers to modernize their factories despite uncertainties surrounding renegotiation of the North American Free Trade Agreement.

Read more


Around the State:

Arizona continues to be a haven for business and manufacturing

Phoenix Business Journal: Commercial Real Estate: West Valley scoring with cheaper land, access back to California

The timing is finally right for the West Valley and economic growth — at least from California businesses’ perspective.

Patrick Feeney Jr., senior vice president with CBRE’s Phoenix office, said Southern California businesses have reached the point where gathering products in California ports, shipping them to Phoenix for warehousing and then shipping them back to California for consumers has become a more affordable option than just keeping the products in the Golden State.

Read more

Phoenix Business Journal: California manufacturer moving production, jobs to Goodyear after $4M investment

IAC Industries is moving its manufacturing operations to Goodyear from Southern California.

Brea-based IAC makes furniture, work stations and fixtures for laboratories, industrial and other workplaces.

IAC bought a 50,000-square-foot building at 3831 S. Bullard Ave. near Phoenix Goodyear Airport for $3 million from a real estate trust.

Read more

AZ Big Media: Arizona becomes additive manufacturing (3-D printing) leader

Polymer-based 3-D printing has been all the rage, well-known for faster prototyping or novelty items that can be made on the spot, but the world of 3-D printing is about to get a lot more metal.

Many Arizona-based companies, particularly firms in the aerospace and defense industry, have been working night and day to bring metal 3-D printing, or additive manufacturing, parts to market while also gearing up to create a workforce of the future.

Read more

Manufacturing Global: University of Arizona is developing holographic heads up display for vehicles

The University of Arizona has been developing heads-up display technology to be used in road vehicles and planes.

The technology allows for drivers and pilots to receive and read information, such as driving directions or flight data, whilst still looking through the transparent glass of the front window.

Researchers at the university are currently working on incorporating holographics to the technology, which will allow the user a wider view.

Read more


The Arizona Manufacturers Council is the voice of Arizona manufacturing. We are a community of makers dedicated to creating the innovations that safeguard and improve people’s lives and to providing the jobs that anchor Arizona’s economy. We are the official state affiliate of the National Association of Manufacturers and we aim to promote and enhance a positive business climate for manufacturing and related industries that operate within Arizona.

The Cutting Edge – February 2018

NAFTA

The end of January saw the sixth round of negotiations for the modernizations of NAFTA. The hope going into this round of talks, the longest yet, was that the players would finally tackle some of the more contentious issues that are far from resolved. Canada promised to enter the talks with new ideas for creative solutions while Mexico showed signs that it may be willing to compromise on some of its most important issues, such as automotive regulations within the deal.

This sixth round of negotiations still fell short of reaching any landmark decisions or compromises. U.S. Trade Representative Robert Lighthizer said to reporters in Montreal, “[W]e finally began to discuss some of the core issues. So this round was a step forward, but we are progressing very slowly.” Members of all three delegations seemed to walk away with the same cautious optimism about the trajectory of future negotiations, all recognizing that there is progress in the right direction but that some of the biggest obstacles remain.

NAFTA Roundup

U.S. Turns Up the Hear in Pivotal New Phase of Nafta Talks

Trade Experts Expect to See a ‘Zombie’ NAFTA

Business Groups in US, Canada, Mexico Fear Breakup of Manufacturing Supply Chain without NAFTA

U.S. rejects proposals to unblock NAFTA, will seek ‘breakthrough’

Listen in to hear NAM’s Linda Dempsey defend ISDS


Tax Reform

Since the Dec. 22nd signing of the Tax Cuts and Jobs Act, numerous American manufacturers have announced plans to share the benefits of tax reform with employees and reinvest additional savings into expansion and updated infrastructure. The manufacturing industry makes up a significant percentage of the myriad of companies participating in tax savings bonuses, wage increases, extended benefits, raised retirement contributions and increased capital expenditures. An estimated 3.5 million Americans will receive or have already received a tax reform bonus, primarily due to the lowered corporate rate and full expensing on short-lived capital investments introduced under the new legislation. The list of manufacturers and businesses taking advantage of this burgeoning investment opportunity is continually growing. These are just a few notable examples:

  • Pivot Manufacturing, here in Arizona is now able to purchase machines and equipment that were put off for many years.
  • Nationally, Fiat Chrysler, announced that it will in
  • vest $1 billion in the United States, adding 2,500 new jobs to produce Ram trucks in Michigan.
  • Likewise, Apple is investing $30 billion in new capital expenditures and hiring 20,000 new employees for a new support center.
  • Boeing announced that it will invest $100 million in infrastructure alone. Boeing employs over 140,000 people worldwide, of which there are over 3,700 employees in Arizona.

Tax Roundup

U.S. economy to grow 2.7 percent in 2018, boosted by Trump tax overhaul

Tax reform windfall: These companies are hiking pay, delivering bonuses

Pfizer Plans $5 Billion Boost in U.S. Manufacturing From Tax Law Changes


In the News


Around the Nation:

IndustryWeek: Has US Manufacturing Been Unleashed?

“This legislation represents historic progress for manufacturers and for all Americans,” Jay Timmons, president and CEO of the National Association of Manufacturers, said in response to passage of the tax reform bill, which lowered the U.S. corporate tax rate from 35% to 21%. With the new bill, Timmons promised, manufacturers will “increase capital spending, expand their businesses and hire more workers…” — and “nearly half will increase employee wages and benefits.”

Tax reform is just one of a series of policy changes the Trump administration and the Republican-led Congress are seeking that business groups have lobbied for in recent years. The president has already started to push back against regulations.

Read more

Rutgers University: Faster, Cheaper, Nano-Based Manufacturing

Engineers at Rutgers University-New Brunswick and Oregon State University are developing a new method of processing nanomaterials that could lead to faster and cheaper manufacturing of flexible thin film devices — from touch screens to window coatings, according to a new study.

The “intense pulsed light sintering” method uses high-energy light over an area nearly 7,000 times larger than a laser to fuse nanomaterials in seconds. Nanomaterials are materials characterized by their tiny size, measured in nanometers. A nanometer is one millionth of a millimeter, or about 100,000 times smaller than the diameter of a human hair.

Read more

WATCH: Why NAM CEO Timmons is Optimistic About Manufacturing Jobs

WATCH: Fluor CEO Says ‘Regulatory Morass’ Is Impacting Infrastructure


Around the State:

AZCentral: Nikola Motor Co. to bring 2,000 jobs, $1 billion investment to Arizona

A maker of zero-emissions commercial trucks said it will establish its manufacturing operations and move its headquarters to metro Phoenix, bringing 2,000 jobs here.
Nikola Motor Co. announced it will establish operations in Buckeye, jump-starting the development of the Douglas Ranch section on the north side of the city. Gov. Doug Ducey called it a “huge announcement” that will include a $1-billion capital investment, with 4,000 construction jobs, too.

Read more

Phoenix Business Journal: New life for a shuttered Surprise manufacturing plant

A California company has bought a shuttered manufacturing building in Surprise and will expand its operations there.
The 51,000-square-foot building at Peoria Avenue and Litchfield Road in Surprise previously was home to plastics manufacturer Brentwood Industries.

The property was bought by Z&E Holdings Group LLC an arm Global Trading Marketing Inc. for $4.5 million.

Read more

AZCentral: Company wants to turn Fountain Hills into watchmaking capital of the United States

Move over, Switzerland: Fountain Hills appears ready to become a new hub for watch manufacturing.
Large-scale watchmaking has all but died out in the United States, but that could start to change with a new venture involving high-school students and adult workers in the East Valley, a small local company and one of India’s giant conglomerates.

Read more


The Arizona Manufacturers Council is the voice of Arizona manufacturing. We are a community of makers dedicated to creating the innovations that safeguard and improve people’s lives and to providing the jobs that anchor Arizona’s economy. We are the official state affiliate of the National Association of Manufacturers and we aim to promote and enhance a positive business climate for manufacturing and related industries that operate within Arizona.

The Cutting Edge – November 2017

Former speaker optimistic about getting to ‘yes’ on tax reform

During an event hosted by the Arizona Chamber of Commerce and Industry, Former Speaker John Boehner addressed tax reform and trade, two pivotal issues for Arizona manufacturers. Mr. Boehner expressed confidence in both a successful tax reform package as well as a revised NAFTA agreement.

On tax reform, Mr. Boehner said the odds of it getting through are “frankly better than 50-50,” reiterating that Republicans know this is a must-do.

As for NAFTA, Mr. Boehner admitted that the nearly 25 year old agreement needs some updating, and that the public may see what looks like a completely new document. Regardless of whether or not the document gets a new name, Mr. Boehner is sure that the trilateral agreement will endure despite any rhetoric to the contrary.

The article below offers more details on the event and words from Mr. Boehner. AZCentral:

John Boehner dishes on Trump, tax cuts and GOP ‘knuckleheads’


Manufacturers stand strong on tax reform

Federal tax reform efforts continue in Washington and U.S. manufacturers have much at stake in the final policy. Jay Timmons, President and CEO of the National Association of Manufacturers, commended the House for its passage of the “Tax Cuts and Jobs Act,” stating that the House has shown its commitment to American manufacturing workers.

NAM now looks to the Senate to move forward with the bold tax plan it has laid out. NAM summarizes their continued engagement in the article below, including the five main objectives they will continue working to realize on behalf of manufacturers:

  • A corporate rate as close to 15 percent as possible.
  • Lower rates for income from small businesses and other “pass-through” entities.
  • A “territorial” tax system that doesn’t touch U.S. companies’ foreign earnings.
  • Preservation and enhancement of the research and development tax credit.
  • Incentives for the purchase of capital equipment.

THE HILL: A running start for NAM chief


Manufacturers make clear what they need out of NAFTA

With the future of NAFTA still unclear after four rounds of negotiations, manufacturers have spoken out about the gravity of preserving the trilateral relationship and modernizing the agreement. The National Association of Manufacturers stresses the importance of enforcing certain policies identified in NAFTA in the article below.

Among the NAM’s top priorities are a functional investor-state dispute settlement system and a structure that encourages American manufacturers to invest at home and abroad.

NAM: Why America and American Manufacturers Need a Pro-Investment and Pro-ISDS Enforcement Strategy


In the News


Around the Nation:

Fox Business: Tax reform is the ‘single most important thing’ to grow economy, jobs: Boeing CEO Dennis Muilenburg

President Donald Trump’s pro-business agenda has been welcome news for U.S. manufacturing icons like Boeing. The airplane manufacturing giant inked a $13.8 billion deal with Singapore Airlines recently that would create 70,000 jobs in the United States.

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U.S. News: Trump Announces Semiconductor Company’s Return to US

WASHINGTON — A $100 billion semiconductor company based in Singapore will legally relocate its home address to the United States, President Donald Trump announced Thursday. Broadcom Limited, which manufactures communications chips around the world, said it would relocate its legal address to Delaware once shareholders approve the move, bringing $20 billion in annual revenue back to the U.S. The move will allow Broadcom to avoid a cumbersome federal review process.

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The Arizona Manufacturers Council is the voice of Arizona manufacturing. We are a community of makers dedicated to creating the innovations that safeguard and improve people’s lives and to providing the jobs that anchor Arizona’s economy. We are the official state affiliate of the National Association of Manufacturers and we aim to promote and enhance a positive business climate for manufacturing and related industries that operate within Arizona.

Why manufacturers are optimistic

Glenn Hamer

June 23, 2017

Energy and confidence defined the latest National Association of Manufacturers annual summit held earlier this week in Washington, D.C.

The right mix of policy reforms and executive and legislative branch leadership has put optimism among manufacturers at a 20-year high.

The Arizona Manufacturers Council, an entity of the Arizona Chamber of Commerce & Industry, serves as NAM’s state affiliate for Arizona. I attended the summit on the AMC’s behalf and came away more excited than ever about what’s in store for this sector.

Manufacturing produces over $2 trillion in economic output and over 13 million jobs. In Arizona, we’re leaders in aerospace, defense and semiconductors. We also manufacture items ranging from golf clubs – PGA-tour-event-winning equipment by Karsten Manufacturing’s PING, for example – to the world’s best refrigerators from Sub-Zero and Wolf.

The sector is defined by cutting-edge technology and innovation, and it’s growing in jobs and output.

Summit speakers included Vice President Mike Pence and Speaker of the House Paul Ryan. Leadership at the highest levels is behind manufacturing now more than ever, a vital sector for economic growth.

We need to convert this attention and energy into the passage of NAM’s legislative agenda. The four top legislative priorities highlighted at the summit:

Tax reform. Speaker Ryan called this a once-in-a-generation opportunity. The vice president also stressed the importance of tax reform. The keys to this effort are to reduce the U.S. corporate tax rate – the world’s highest rack rate – to 15 percent, and to reduce the personal income tax rate, which applies to two-thirds of manufacturers as well.

We need to move to a territorial tax system and eliminate the death tax that harms capital intensive family businesses. Maintaining and even enhancing the permanent research and development tax credit and reducing taxation on capital expenditures are also important for our efforts to accelerate innovation.

Infrastructure investment. Manufacturers need a modern infrastructure to move goods efficiently from shop floor to market. Complex supply chains and just-in-time inventory management require no less. For Arizona, a key here is to build out Interstate 11, which would connect Las Vegas and Phoenix, the nation’s largest cities not currently connected by an interstate.

Regulatory reform. This is an area where much progress is being made, and necessarily so. A 2014 NAM study pegged the cost of regulations for manufacturers at a whopping $19,564 per employee.

Speaker Ryan spoke of implementing reforms in waves.

The first wave was to use the Congressional Review Act to reverse regulations enacted at the end of the previous administration. This mechanism has been used now a record 14 times. Executive orders and other administration activity is also moving at a feverish pace to undo some of the overregulation of the past eight years. The reversal of the punitive gainful employment regulations for higher education is one example.

The next wave is a two-out, one-in approach to any new regulations. It’s not a gimmick. NAM found in a 2016 study that manufacturers face 297,696 restrictions on their operations from federal regulations. If any sector could stand some regulatory relief, it’s manufacturing.

More difficult, but also important, is to pass into law regulatory reform bills that require more robust cost-benefit analyses to justify their necessity.

Workforce development. Skills, skills and skills. Both the vice president and speaker stressed this area. NAM is putting muscle behind legislation that would reauthorize and improve the Perkins Act, which covers career and technical education and vocational programs.

There was also excitement at the summit about the president’s apprenticeship announcement, intended to create a new workforce development program that other countries have used successfully to prepare willing workers for available jobs. As we enter what some are calling the fourth industrial revolution, workforce readiness is critical.

NAM’s work on international trade is also important. It has been a privilege to serve on NAM’s NAFTA Task Force led by Linda Dempsey, NAM’s vice president for international economic affairs. Linda is one of Washington’s most important players when it comes to the NAFTA modernization effort. NAM understands that a new and improved NAFTA is critical to our continent’s highly integrated manufacturing supply chains and our ability to sell products marked Made in the USA to the 95 percent of consumers who live beyond our borders. Let’s modernize and improve NAFTA and hold it up as a model for future trade agreements.

The energetic NAM president and CEO, Jay Timmons, cheerfully told the summit crowd, “This is our time.”

He’s right. Manufacturers have every reason to be excited.

Glenn Hamer, Ex-Officio

President & CEO, Arizona Chamber of Commerce and Industry

Glenn Hamer is President and Chief Executive Officer of the Arizona Chamber of Commerce and Industry, an organization that over his decade-plus of leadership has become the state’s most powerful advocate for job creators. The Chamber has played a leading role on behalf of the business community on a host of policy issues that have enhanced the state’s competitive standing, ranging from taxation, to education, to health care, civil justice reform, business regulation, and much more.

In 2018, Mr. Hamer led the founding of Chamber Business News, a news-gathering outlet that provides original reporting on business and political news, insights and analysis throughout the state.

Mr. Hamer represents Arizona’s business community on the national stage, where he serves as the chair of the U.S. Chamber of Commerce’s Committee of 100, sits on its Public Affairs Committee, and serves on the U.S. Chamber’s Board of Directors. In these positions Mr. Hamer elevates the Arizona business community’s voice on key national issues.

He also serves on the board of directors of the Arizona Mexico Commission, serves as the Chair of the Arizona Charter Schools Association, and is on the board of the Arizona Council of Economic Education. As a member of the National Association of Manufacturers’ advisory committee on the modernization of NAFTA, Mr. Hamer has established himself as one of Arizona and the nation’s most vocal advocates for international trade and for policies that strengthen Arizona’s standing globally.

Mr. Hamer’s leadership on international issues makes him a sought-after participant in international trade missions. He participated in Governor Ducey’s first international trip in his tenure as governor to Mexico City to reinforce the importance of the Arizona-Mexico trade alliance. Other international delegation destinations with governors, mayors, and the U.S. Chamber include Canada, China, Israel, and the United Kingdom.

Mr. Hamer has been selected to serve as a business community representative to a number of public policy commissions, including Governor Doug Ducey’s Water Augmentation, Innovation, and Conservation Council, the Western Governors Association’s 30 GW Clean and Diversified Energy Advisory Committee, and Governor Janet Napolitano’s Solar Energy Task Force.

Glenn’s previous career stops include serving as chief of staff to Arizona Congressman Matt Salmon; executive director of the Arizona Republican Party during a winning U.S. Senate race; and as a legislative assistant to Arizona Sen. Jon Kyl, where he worked on a range of issues, including the Jerusalem Embassy Act of 1995. Glenn also served as the executive director of the Solar Energy Industries Association, and as director of business development and government relations for First Solar.

Mr. Hamer is a graduate of Cornell University’s school of Industrial and Labor Relations and Arizona State University’s College of Law. He lives in Scottsdale with his wife and three daughters.

Glenn can be reached at ghamer@azchamber.com.

Dan Marotz, Chair of Membership

Dan Marotz

Manufacturing Manager, Sub-Zero Group, Inc.

Dan Marotz is the Manufacturing Manager at the Sub-Zero Goodyear facility. He oversees the production operations where over 450 hourly employees produce high-end residential refrigeration appliances. Dan has been with Subzero almost 14 years and has been in his current role for one year. Prior to that, he held various assignments in Manufacturing Engineering, Maintenance Management, and Engineering Management.
Dan started his career at John Deere and worked in various roles in Manufacturing, Test, and Facilities Engineering for five years before coming to Sub-Zero.

He has a BS in Industrial Engineering and an MS in Manufacturing Systems Engineering from the University of Wisconsin. He is a member of the Association for Manufacturing Excellence, Society of Manufacturing Engineers, and a board member on the Arizona Manufacturers Council.

Lucas Narducci, Secretary

Partner, Snell & Wilmer

Lucas Narducci has more than 27 years of experience in environmental and natural resources law. Luke regularly guides clients through administrative hearings, litigation and other forms of dispute resolution, striving to protect their assets and keep their business goals in mind. He has extensive experience in acquisitions, divestments, expansions, mergers, ventures, operational compliance, employee work space safety, work place and third-party toxic exposures, audits, risk reductions and control methods. He also advises on policy and legislative developments that affect or could impact his clients and their businesses. He has been a lead counsel in the divestment, acquisition, operation, curtailment, reclamation and closure of several copper, gold, coal and uranium mines.

Luke’s practice has taken him across the United States, as well as to Canada, Mexico and several countries in South America. He participates in many significant business, industry and manufacturing associations in order to advance the interests of those associations and his clients, and to influence rule-making, regulatory, policy and legislative processes.

Luke has extensive experience under all significant and some less recognized federal and state permitting and environmental assessment processes working with the government agencies and regulators to achieve client goals.

Daniel Barajas

Daniel Barajas

Associate Vice Chancellor, Maricopa County Community Colleges District

Daniel Barajas serves as the Associate Vice Chancellor for Workforce Development for the Maricopa County Community Colleges District, Phoenix, Arizona.

Daniel has over twenty-three years of experience working in post-secondary education. He has held many positions within both the academic and student affairs areas, with years of service as Dean of Academics and Career and Technical Education, currently serving as Associate Vice Chancellor.

With a Master’s Degree in Educational Leadership from Northern Arizona University, Daniel has a passion for marrying educational opportunity and solutions to industry and community need. Daniel has served on many councils and boards during his career. This is exemplified in his past role as the President for the Arizona Occupational Administrators Council, and current role as Board member for the City of Phoenix Business & Workforce Board.

Mike Buseman

Mike Buseman

Executive VP, Global Operations, Benchmark Electronics

Mike Buseman serves as Benchmark’s Executive Vice President of Global Operations with responsibility for all worldwide manufacturing operations. Mike is an accomplished executive with broad experience in operations, quality and customer relationship management. He has an extensive background in EMS and related industries.

Mike served as Chief Global Logistics and Operations Officer of Avnet, Inc., a global electronics components company,
and was Executive Vice President of Global Manufacturing Operations at Plexus Corp., having served as their Vice President of Global Technology, Quality and Facilities previously. Additionally, Mike served as Vice President and General Manager of Operations of Celestica, Inc., as well as their Director of Operations, Engineering, and Technology. Mike began his career in 1983 with Unisys, Inc., holding positions of increasing responsibility, including Principal Process Engineer and Director of Advanced Design Manufacturing Services.

Mike holds a BS in Mechanical Engineering from South Dakota State University and an MBA from the University of St. Thomas, Minnesota.

Bernie Deutsch, AIA, NCARB

Founder and President, Deutsch Architecture Group

Bernie Deutsch has been a key player in the architectural/engineering industry in Phoenix for 40 years. Bernie’s experience in providing superior service to a varied clientele in the Corporate sectors has been proven through his successful management of four architectural firms, each of which experienced significant growth under his leadership. Starting his own business in 1981, Bernie has based his organization on the premise that service to the client is paramount. Servicing both public and private clients and working with agencies such as the Arizona Department of Transportation, National Guard and the Economic Development Departments in the Valley’s multiple municipalities bringing retail, commercial, industrial, and high tech jobs to these areas. Bernie has an uncanny knack of working with, and for the public agencies to get projects successfully zoned, permitted, designed and built – bringing the full circle of opportunity to fruition in the Valley. He as been able to deliver projects successfully for over 27 years in a variety of delivery methods including Design-Bid-Build; Design-Build and CMAR in both the public and private sectors.

John Alan Doran

Attorney, Sherman & Howard Labor and Employment Department

John Alan Doran is an attorney for Sherman & Howard’s Labor and Employment Department and has over 25 years of experience counseling and successfully representing employers in all facets of employment law matters. He regularly represents employers in mass employment, wage/hour class and collective action litigation, as well as employment discrimination, public accommodations discrimination, and wrongful termination litigation. In addition, John represents employers in restrictive covenant and trade secret matters in state and federal courts. He also regularly counsels clients on prevention strategies, executive employment contracts, downsizing and personnel policies.

John is a noted speaker and author addressing labor and employment issues and presents regularly at conferences and trade association events throughout the country. In addition, he is regularly acknowledged as a leading lawyer in his field and has been recognized for his work in labor law by Best Lawyers in America every year since 2007. He was recognized by Best Lawyers in America as “Lawyer of the Year” for 2012 in Phoenix in the area of Labor Law – Management. He has been ranked in Chambers USA in the area of Labor & Employment Law every year since 2005 and has been recognized by Southwest Super Lawyers every year since 2007.

John was recognized as one of the “Top 100 Lawyers in Arizona” by the AzBusiness magazine and ranked Band 1 – Labor & Employment by Chambers USA in 2020.

Aimee Gilroy

Senior Manager, State Government Relations, Raytheon Company

Aimee Gilroy is an accomplished executive with 25 years of experience establishing a diverse background based on government affairs, political campaigns and private industry. During that time, she has developed and executed legislative and branding strategies to eliminate barriers on cost competitiveness, and to increase bottom line growth for corporations through local, state, federal and international government relations.

Over the past eight years, Gilroy has negotiated more than $250 million of economic development incentives and facilitated passage or defeat on numerous pieces of significant legislation. Her national portfolio requires an ability to strategize, organize, collaborate, communicate and manage multiple high-paced projects simultaneously.

David Green

David Green

President & CEO, Vitalant

David Green currently serves as President & CEO for Vitalant, headquartered in Scottsdale. Formerly known as Blood Systems and founded in 1943, Vitalant is one of the nation’s oldest and largest nonprofit transfusion medicine organizations employing over 5500 employees. As a licensed manufacturer of biologics, Vitalant provides approximately two million finished blood products annually to over 1,000 hospital customers in forty states nationwide.

Vitalant’s BioCare for-profit subsidiary has wide-reaching distribution capabilities to quickly and efficiently deliver therapeutic biologicals such as albumin, coagulation factors and Rh immune globulin to hospitals, clinics and physician offices. CanyonCARE Rx, part of BioCare, is a full service pharmacy specializing in medications for hemophilia, von Willebrand disease and other bleeding disorders. Vitalant is also a partner in the operation of Creative Testing Solutions, the largest independent blood donor testing organization in the U.S. with six high volume laboratories testing 75 percent of the nation’s blood supply. Additionally Vitalant operates a Research Institute, which is engaged in scientific studies ranging from blood donor epidemiology to cellular therapy to virus discovery with locations in San Francisco, Denver and Pittsburgh. Finally, Vitalant is self- insured with our wholly-owned subsidiary Canyon State Insurance.

Dave is active in industry leadership roles and is past chair for Blood Centers of America (national Co-Op), past President for America’s Blood Centers (industry trade association) is a board director for the American Association of Blood Banks (national accrediting and standards organization), and current board chair for the Alliance of Blood Operators, an international alliance.
Prior to moving to Arizona, Dave was the President and CEO for Mississippi Valley Regional Blood Center (MVRBC) where he served in that capacity for nearly 15 years. While in the Midwest he was active in volunteer work serving as Board Chair for United Way, Friendly House, Quad Cities First (economic development company) and the Quad Cities Chamber. He also served as an active duty Army officer in a variety of command and staff assignments.

John Hetrick

John Hetrick

Manager of Strategic Engagement, Salt River Project (SRP)

John Hetrick is currently the Manager of Strategic Engagement with the Salt River Project (SRP). The group is responsible for managing SRP’s Political Action Committee and Chamber/Business Relationships. John has worked for SRP for over 21 years in numerous roles including leading the Sustainability Group, developing renewable energy projects, and in water strategy. John currently sits on the Board of the East Valley Chamber of Commerce Alliance and the Phoenix Parks Foundation. Hehas a M.A. in Geography from Arizona State University and a B.A. from the University of Maryland Baltimore County. Heis a graduateof Project CENTRL, and the Western Energy Institutes’ Business Acumen for Emerging Leaders program. In his free time he enjoys running, mountain biking, traveling, and hiking in South Mountain Park with his partner Trish Murphy and their two vizslas.

Larry Holly

Supervisor & Key Account Management, Southwest Gas Corporation

Larry Holly has worked with Southwest Gas for nearly thirty years providing Southwest’s highest profile large commercial and industrial customers with a single point of contact for all interface with the company. In addition to managing his assigned accounts, he supervises a group of engineers who administer to the remaining large users. Larry’s group is responsible for customer interface between Southwest Gas from initial service request through long term technical/contractual support.

Larry has a Bachelor of Science Degree in Mechanical Engineering from the University of Nebraska – Lincoln and a Master of Science Degree in Engineering Management from San Jose State University. In addition, he serves on the Economic Development Directors Team at the Greater Phoenix Economic Council (GPEC) and on the Board of Directors for the Arizona Manufacturers Council. Larry is also affiliated with the Association of Energy Managers (AEE).

Jeff Homer

Corporate Director for Environmental, Health and Safety, SUMCO Phoenix

Jeff Homer is Corporate Director for Environmental, Health and Safety for SUMCO Phoenix.  He has worked for more than 30 years in various aspects of industrial environmental and safety compliance and in hazardous materials management. He is the immediate past chairman of the Arizona Chamber of Commerce and Industry’s Environment Committee.  Jeff also serves on the TRUWEST Credit Union Board of Directors.

Philip Lagas, R.G.

Chief Client Officer/Principal Consultant, Haley & Aldrich

Phil Lagas earned his reputation for delivering what clients value by adhering to a simple tenet: “When we listen, we understand. When we understand, we find the best path to solve our clients’ needs. And only then can we deliver the value our clients seek.” Phil is expanding that philosophy to Haley & Aldrich, ensuring staff use active listening and creative thinking to develop and deliver approaches that address clients’ unique needs.

Phil leads Haley & Aldrich’s consulting and construction operations with that client focus. He is responsible for meeting strategic and business objectives and works with client and technical leaders to develop and implement market and project delivery strategies.

He has nearly 40 years of experience working with private and government clients. He also works with industry associations and regulatory agencies to develop and improve environmental laws and regulations. He is a registered professional geologist in Arizona.

“I can truly say I love what I do. I have a career that combines my deep appreciation for the outdoors with my desire to connect with others. I like to promote a team environment internally and with our clients where we have fun while working hard to solve environmental challenges to preserve our world for future generations.”