Brownsville (Texas) Economic Journal Summer 2013

EJ Vol. 2, No. 1 / Summer 2013

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Cover story:Build it, and they will come. That is what local and regional authorities are hoping a se-ries of major infrastructure projects in the Brownsville Borderplex region will help doonce they are complete: position the area for global competition. From new roads, a rail-road bridge, and industrial corridors, to utility infrastructure and human capital,Brownsville has never seen these types of endeavors being developed at the same time,all with one objective in mind: economic progress. This anniversary issue includes a se-ries of articles about these projects that are transforming Brownsville’s destiny.

13

Pages: 10-34

Three major industrialcorridors taking shape12 Airport infrastructure

aiming new heights 14 SH 550 offers directaccess to markets 19 New international railroad

bridge set to open

SpaceXProject clears major hurdle after authorities host public hearing8

Making progressMayor invites investment and touts the abilities ofBrownsville’s human capital in first ever State of the City Address

9Guest editorial:Mexico’s telecom reform, the more the merrier

6Local IndustryCorner:Human capital, avital part of a community’s infrastructure

32

35Foreign directinvestmentBrownsvillerecognized for itsmarket strategy

Cover design and illustration: Jorge I. Montero

COMMENTARYWHAT’S INSIDE

Brownsville Economic Journal Summer 2013 BEDC.com 4

27 Tenaska power plantgives a competitive edge24 Deepening of the channel

a top priority for Port 28 Brownsville, a drought-proof city 33 Initiatives improving human

capital and education

10Brownsvillewelcomes I-69 Corridor

PRESIDENT’ScORNER

Brownsville Economic JournalSummer 2013BEDC.com 5

It’s no secret what we’re trying to do– recruit Foreign Direct Investment.

And the objective is to position theBorderplex for global competition.

We’ve taken the first major step in thatdirection with the planning, coordinationand execution of the 17,000-Acre Indus-trial Plan & Corridor.

Allow me to explain. In 2012, our localmunicipally-owned utility (BrownsvillePublic Utilities Board) and the port author-ity, (Port of Brownsville), together with us(Greater Brownsville Incentives Corp. &Brownsville EDC) invested in a mixedland-use plan specifically for placementand recruitment of industry. For the firsttime ever in this region, we’re intercon-necting an array of structural projects andcapital accumulation in support of overallmission – ability to grow and trade in theglobal economy.

Investment in infrastructure is criticalfor economic development, which in turnhas a direct impact and correlation on so-cioeconomic welfare, in other words, gen-erating wealth

The deliverable is enhancing supplychain and growth for business, especiallythose in the manufacturing sector, in turngenerating primary jobs. The list of proj-ects, a combination of completed, underconstruction and in planning phase, in-clude:

Real Estate & Infrastructuren GBIC Large Industrial User Site, 350-acre development ready industrial parkn North Brownsville Industrial Park, a 75-acre certified shovel-ready industrial parkn SH 550 Corridor-Industrial Zone, proxi-mate to the Portn East Loop Corridor-Industrial Zone,proximate to the Portn Commercial Rocket Launch Site, alasCape Canaveral n Aerospace Park, proximate to the pro-posed Rocket Launch Site

Positioning ourselvesfor global competition

Jason HiltsPresident & CEO

EDITOR IN CHIEFGilberto [email protected]

DESIGN COORDINATOR &EDITORIAL CONTENTJorge I. [email protected]

COPY EDITORSylvia [email protected]

PHOTOGRAPHYBEDC Editorial TeamBrad Doherty

PUBLIC RELATIONSMichelle [email protected]

CORPORATE CONTACTLizzy [email protected]

CIRCULATION Sylvia [email protected]

EDITORIAL OFFICEBrownsville Economic Development Council301 Mexico Boulevard, Suite F1(ITEC Campus)Brownsville, Texas 78520Tel. (956) 541-1183Fax: (956) 546-3938

VISIT US ONLINEwww.BEDC.com

FROM YOUR MOBILE DEVICE

FOLLOW US

EJ

The Economic Journal of the Brownsville Borderplex is published on aquarterly basis and distributed according to the fair-use doctrine of U.S.copyright laws related to non-profit institutions, such as the BEDC, andfor educational purposes.

Turn To Page 7


For so many years important sectors of thetelecommunications industry were underthe control of the Mexican government or

in the hands of a few private investors. This practicewas systematically denounced as oligopolistic byMexican and foreign entrepreneurs who were frus-trated by the lack of opportunities within the sector.

Fortunately, this practice has come to a most an-ticipated end.

Indeed, the Mexican lawmakers recently ap-proved a bill that was thereafter approved in recordtime of two weeks by 18 of the states’ legislatures andpromulgated by Mexican President Enrique Peña-Nieto and thus published on June 11, 2013 edition ofthe Official Gazette of the Federation (effective of asJune 12, 2013), which results in an unprecedented op-portunity for Mexican and foreign investors that hadbeen waiting for this very dramatic and most wel-come breakthrough.

Foreign investors are now allowed to invest up to100% in the telecom industry, except in radio whereforeign investment may not exceed 49% of the corpo-rate capital, unless a higher percentage is available toMexican nationals in the country of origin of the in-vestor.

The telecom sector is now open to competitionand guarantees the Mexican people access to servicesthat have historically been very expensive and thusprohibitive for many. Broad-band and internet access,elevated to the range of a constitutional right, willhave to be made available to all by the federal author-ities. The “must carry and must offer” mechanism isbeing implemented and will become a legal obliga-tion for the carriers.

As a result and as evidence of the very importantand positive impact that this reform will have, thebidding process for two new private television chainswill soon commence.

In order to make the telecom industry more effec-tive and its operation less bureaucratic, the FederalInstitute of Telecommunications was created, au-tonomous and independent, and will be the agency incharge of regulating, promoting and supervising thetelecom industry.

This Constitutional Reform regarding Telecom-munications, Broadcasting and Economic Competi-tion highlights the following six main areas:

n First: Strengthening fundamental rights. Free-dom of expression and access to information are rein-forced, together with the rights oftelecommunications and broadcasting service users.

As a result of this reform, telecommunications areservices of general interest, meaning that the statewill guarantee that they are provided in conditions ofcompetitiveness, quality, diversity, universal cover-age, networking, convergence, free access and conti-nuity.

n Second: Updating the legal framework of thetelecommunications sector. To reinforce legal cer-tainty, a single order will be issued to ensure the con-vergent regulation of the spectrum, networks andservices under the single concession system. Theasymmetric regulation to which the prevailing eco-nomic agents will be subject following a declarationby the regulatory body will also be implemented.

n Third: Strengthening the institutional frame-work. The decree establishes the Federal Institute forTelecommunications and the Federal Economic Com-petition Commission as autonomous constitutionalbodies. Furthermore, to ensure the rights of economicactors, courts specializing in telecommunications,broadcasting and economic competition will also beestablished.

n Fourth: Promoting competition. Up to 100%DFI will be permitted in telecommunications andsatellite communications. A maximum of 49% DFIwill be permitted in broadcasting, subject to reciproc-ity in the country where the investor has set up busi-ness. Broadcasters will be obligated to permitnon-discriminatory access and rebroadcasting of theirsignals to pay television companies. At the same time,broadcasters have the right for their signals to be re-transmitted free of charge and in a non-discriminatoryfashion by television companies.

n Fifth: Establishing a Universal Digital Inclu-sion Policy and a National Digital Agenda. The presi-dent will be responsible for this policy, which willprovide for infrastructure, accessibility, connectivity,information technology, communication and digitalskills. The goal is for at least 70% of households and85% of micro, small and medium enterprises havesufficient speed to be able to download information,in adherence to international standards.

n Sixth: Promoting greater coverage in infra-structure. To this end, a national backbone fiber opticbroadband network will be promoted, together with awholesale wireless access shared network, based onthe radio-electric spectrum of the 700 megahertzband.

This is not a light reform. This reform will some-how change Mexico. It will also change the percep-tion that many have of this country. EJ

Mexico’s telecommunicationsreform, the more the merrier

Ernesto Velarde DanachePresident & Founder ofErnesto Velarde-Danache, Inc.Mexican & International Lawyers

GuESTEDITORIAL


EJ

Transport Infrastructuren SH 550 Corridor, also known as I-69 Con-nectorn Newly designated Interstate-69 n Newly designated Interstate-2n Capital improvements at the BrownsvilleSPI International Airportn Dredging, deepening of the BrownsvilleShip Channeln East Loop Corridor Projectn New West Rail International Bridgen Expansion of Veterans InternationalBridgen Overweight Corridor in and out of Mexicon Development of the Port of Matamoros n Mazatlan-Matamoros Interoceanic Super-via (interstate connecting the Pacific Coastwith the Gulf Coast)

Energy Infrastructuren 800 MW Power Plant, by the TenaskaGroupn 345 KV Lines into the Borderplexn High Voltage DC Ties into Mexico

n LNG Liquefaction Plant (planned)n Offshore Wind Power Project (planned) n Our proximity to:

New oil discoveries in the Gulf of Mex-ico

Natural gas fracking at Eagle Ford Share

Water Management Infrastructuren Resaca restoration project (water distribu-tion, collection)n Water abundance (desalination plant)n Wastewater expansion projectn Water reclamation project for industry

Communications Infrastructuren Project Stargate - UTB, BEDC & SpaceXn Fiber optic extension project

Human Capital n “All In” program, addressing human capi-tal needsn Texas Southmost College reinventing itsworkforce programsn New UT Medical School for regionn Merger of UT-Brownsville and UT PanAmerican, making it third largest Texas uni-

versity What does it all mean? Solid quality in-

frastructure, a region's attributes, strategicplanning and execution are the key ingredi-ents for sustainable development.

We all know that government resourcesare limited, so we’ve found a way to be cre-ative in finding solutions to our fundingneeds. Part of it is by way of public-privatepartnerships in order to get the desirableprojects and outcomes associated with it.

On the legislative front, quite a few ofthese items were addressed during the 83rdTexas Legislative Session, such as the exten-sion of the Overweight Corridor to covermore ground in North Brownsville's indus-trial sector, amending the law to allow forlaunching of rockets from Boca ChicaBeach, tweaking the law to enhance the op-erations of the soon-to-be 800 MW powerplant, and the addition of a University ofTexas Medical School to the Borderplex.

We're in the midst of the strategic game,where the payoff will be sustainable devel-opment by way of trade in the global econ-omy. EJ

Continued from Page 5

Positioning ourselves for global competition

EJAEROSPAcE INDuSTRy

The Federal Aviation Administra-tion held its second and finalPublic Hearing on the Draft En-

vironmental Statement of Space Explo-ration Technologies’ (SpaceX) proposal tolaunch rockets from the Boca Chica beacharea near Brownsville, marking an impor-tant milestone in the timeline of the project.

Federal authorities hosted the publichearing on May 7, at the ITEC Center inBrownsville to solicit feedback from thecommunity regarding the results of theDraft EIS that was made public on April15. The EIS process took a little over a yearto be completed.

The FAA’s 350-page Draft EIS foundfew environmental concerns that wouldprevent the FAA from issuing a permit toSpaceX for rocket operations at Boca Chicabeach. The study details possible ways arocket launch site there might affect the en-vironment, including threatened or endan-gered species. The document alsorecommends actions that could minimizethose impacts while still allowing SpaceXto proceed, if a permit were granted by theFAA.

The FAA is expected to finalize the re-port in the fall and after that will make adecision to either let SpaceX launch or not.The company plans to make an announce-ment in regards to a site location after theFAA’s decision.

The Boca Chica area is one of four sitesbeing considered by SpaceX for a launchsite. Sites in Florida, Georgia and PuertoRico are also being contemplated by thecommercial aerospace company, head-quar-tered in Hawthorne, California.

The proposed site near Boca Chica is aprivate tract of land, just south of Highway

4 about a quarter-of-a-mile before the Gulfof Mexico. The site is three miles north ofthe Rio Grande and five miles south ofSouth Padre Island.

A total of 539 individuals signed in atthe hearing, including Federal and Stateelected officials, the media, city govern-ment agencies, local community planninggroups and local school representatives.During the public hearing, the FAA re-ceived a total of 94 written comments, 89of which expressed support of the ProposedAction, 2 expressed opposition to the proj-ect and 3 were general. Of the 67 oral com-ments at the meeting, 61 were positive, 2were negative, and 4 were general.

Patrick Burchfield, Director of theGladys Porter Zoo in Brownsville, spoke atthe hearing and expressed his support forthe project.

He views SpaceX as “the least environ-mentally intrusive thing that can happen.”

“Take the example of Merritt Island,near Cape Canaveral, that is rich with

wildlife, rich with birds and nesting sea tur-tles. We don’t have to reinvent the wheelwith this EIS statement, just look at whatalready exists around existing launch sitesin the way of wildlife,” he said.

The scientist has spent the last 43 yearsworking specifically with the Kemp’s rid-ley sea turtle, primarily in Mexico.

The Kemp’s ridley, an endangeredspecies, nests along the Gulf coast inNorthern Mexico and South Texas.

To minimize any potential harm to seaturtles, SpaceX will follow a series recom-mentations proposed in the Draft EIS thatinclude minimizing light emmissions andwill work closely with environmental ex-perts to identify any nests that could poten-tially be affected and relocate them at asafer location.

Having SpaceX in Boca Chica “will bea long term way that we are going to pro-tect that natural place,” Burchfield said.

A representative of the Lone Star Chap-ter of the Sierra Club also spoke in supportof SpaceX.

“We do not oppose this project, we arethankful that SpaceX has reached out to ourorganization as well as numerous othersthroughout the state and are workingclosely with the resource agencies that wealso work very closely with. We look for-ward to working with SpaceX to create avery exciting project that everybody can beproud of,” said Scheleen Walker, a repre-sentative of the Lone Star Chapter of theSierra Club.

The first public scoping meeting washeld on May 15, 2012 also at the ITECCampus. That time, more than 550 peopleshowed up at the event. About 75 signed upto speak, of which 73 spoke in favor of theproject, one was neutral and one against theproject. EJ

Environmental study

Patrick Burchfield, Director of the Gladys Porter Zoo,speaks in favor of SpaceX during the public hearing.

Staff photo

SpaceX project clears major hurdle

From Staff Reports



More than 500 peo-ple gathered atthe Brownsville

Events Center in May forBrownsville’s first ever Stateof the City address, in whichMayor Tony Martinez calledon residents to continue break-ing down barriers throughoutthe city, inviting investmentand touting the abilities ofwhat he called Brownsville’s“human capital.”

“We often sell Brownsvillefor its location,” he said, not-ing that while “On the Border,By the Sea” works well as thecity’s motto, it doesn’t capturethe spirit and work ethic of itsresidents.

He challenged all residentsto get involved playing off ofthe event’s space theme bysaying that there are no passen-gers in the city’s missions and

declaring that everyone has arole to play.

Martinez spoke during thetwo-hour event that was inter-spersed with videos and on-stage interviews of majorplayers in the city’s develop-ment, which helped to drivehome the mayor’s points on fi-nances, health and infrastruc-ture.

Martinez highlightedBrownsville’s financial reportafter fiscal year 2011-2012,which he said showed an in-crease in the city’s fund bal-ance and resulted in the threemajor credit rating agencies allupgrading its credit rating.

The mayor said that anaudit for that fiscal year foundthe city to have sufficientfunds to meet requirements forcash outlays in the next fiscalyear, as well as the financial

capacity to meet its long termobligations.

“That means we’re payingour bills and managing ourdebt, and that’s not somethingevery city can say these days,”he said. Martinez added thatMoody’s, one of the agencies,said if the city wanted to con-tinue its fiscal growth, itshould continue growing itstax base, maintain its balance

sheets and most importantlyimprove its socioeconomicprofile.

“Improve socioeconomicprofile, frankly is what break-ing barriers is all about. It’swhy economic gains means lit-tle without seeing increases ineducational achievement lev-els, or improved public healthindicators.”

EJFINANcIAL REPORTMaking progressBrownsville Mayor highlights the City’shealthy economic status

State of the city Address

Brownsville Mayor Tony Martinez delivers his speech during the State of the City Address held inMay at the Brownsville Events Center.

Photo by Jorge I. Montero

Turn To Page 42

EJSee map pages 22-23INFRASTRucTuRE


Road to Progress

Brownsvillewelcomes I-69 corridor


EJ

The Federal Highway Adminis-tration officially designated theportion of the US Highway 77

in Brownsville as part of the InterstateHighway 69 East. The designation inchesthe Borderplex area closer to being con-nected to one of the nation’s interstate cor-ridors.

The much anticipated announcementwas made in late May by Victor Mendez,administrator of the FHWA, during theribbon cutting ceremony held for the com-pletion of the second phase of the StateHighway 550 project. Once complete, SH550 will become a connector for I-69 Ewith direct access to the Port ofBrownsville.

The portion of US 77 throughCameron and Willacy Counties will besigned as Interstate 69 East. This includes53 miles of existing freeway starting inBrownsville and running north past Ray-mondville.

“That’s the full 53 miles,” Mendez toldthe Brownsville Herald. “The importanceof that from an economic developmentstandpoint is just having an interstateshield on a highway is really important,positive thing in terms of future develop-ment.”

“This is a landmark day in the 20-yeareffort to make I-69 a reality in Texas,” saidJohn Thompson, board chairman for Al-liance for I-69 Texas, a coalition made upof cities, counties, port authorities andcommunity leaders building grassrootssupport for upgrading the entire Interstate69 route in Texas.

“It is the result of a sustained local,state and federal cooperative effort. Com-munity leaders along the I-69 route haverelentlessly pursued this goal because theyknow that moving people and freight effi-ciently is vital to our economy and ourquality of life,” he said.

Positive impactZeke Silva, owner of S&M Transport,

a trucking company based in Brownsville,received the announcement with excite-

ment and said that having the I-69 corridorin Brownsville will make a tremendousimpact in the region.

“It’s positive for the economy and thetrucking business because the more youhave, the more they (companies) like. Theinfrastructure is going to determine whocomes to our area,” he said.

He foresees an increase in business be-cause in his trade, it’s all about accessibil-ity.

“The more access you have to (a) high-way and commercial land, the more thecustomers are going to want to build,” hesaid. “If you have access to highways,then you have access to big trucks, there-fore you have more access to move yourproduct from point A to point B.”

Silva said that having more access tohighways helps cut down on the routing ofthe trucks, which in turn saves time, de-creases fuel consumption, and helps thetrucker to transport the cargo quicker to itsdestination.

“The quickeryou turn aroundyour product, thequicker you canmake a profit on it,”he said.

“Corridor of the Future”

When finallycomplete, I-69,dubbed by the De-partment of Trans-portation as one ofthe “Corridors of theFuture,” will runfrom Brownsville allthe way north toPort Huron, Michi-gan, next to theCanadian border.

The I-69 is a2,680-mile interna-tional and interstatetrade corridor thatruns between theborders of Mexicoand Canada thrueight states in theU.S: Texas,

Louisiana, Arkansas, Mississippi, Ten-nessee, Kentucky, Indiana, and Michigan.

In the Rio Grande Valley, the US 77expressway is completed to interstatehighway standard for 40 miles starting inBrownsville and ending near Ray-mondville. This section was added to theInterstate System thanks to a 2012 changein federal law. I-69 signs are slated to beadded to the system in Cameron Countylater this summer.

With each overpass and every addi-tional mile of I-69 upgrades, local officialsexpect to open new doors for economicdevelopment, new jobs and more efficientfreight movements.

“The significance of I-69 is immense.We will be able to look back in 20 yearsand see the growth that occurred becauseof these interstates. It will be just like whathappened in the Dallas area,” DavidGarza, Cameron County Commissioner,told the Rio Grande Guardian. EJ

Written byJorge I. Montero

Tenaska’s Texas roots go deep – back to the company’s founding in 1987 and our very �rst power plant. Today, we’re a national energy company with a regional of�ce in Arlington and a reputation for building safe, ef�cient and reliable power plants, including two we operate in Texas.

Now, Tenaska is bringing our expertise to Brownsville. Fueled by clean-burning natural gas, the proposed Tenaska Brownsville Generating Station would bring hundreds of construction jobs, approximately 25 operations jobs and power to meet the growing demand for electricity in the region. We are excited at the opportunity to grow our business in the great state of Texas and especially to become an active member of the Brownsville community.

POWERING A BRIGHTER TOMORROW

Aiming new heightsAirport officials are working on

a series of major projects that,once completed, will elevate

the Brownsville South Padre Island Inter-national Airport’s current infrastructureto new heights.

In the works are extending the mainrunway, rehabilitating the taxiway, up-grading the passenger terminal and theconstruction of a dual customs cargo fa-cility.

Larry Brown, the airport’s director ofaviation, said the enhancements areneeded in order to maintain a competitiveposition with regard to other airportsnearby, as well as to foster economic de-velopment in the airport’s catchmentarea.

He added that establishing a dual cus-toms operation, extending the main run-way and improving the aesthetic qualityof the airport as a doorway into the cityare key in making Brownsville a morecompetitive community as the Border-plex looks to attract companies and busi-nesses to the area.

Perhaps the most important project isthe runway extension, which would ex-pand it to 12,000 feet. Its current lengthis 7,400 feet. The project iscurrently in the environ-mental review phase and airport officialsare at the moment engaged in purchasingproperty to be used for a runway exten-

sion to the south, Brown said.“The runway extension will allow for

heavier, larger air cargo movements inand out of the airport’s foreign trade zoneand allow the airport to compete with thecargo operations of bigger airports suchas Los Angeles International Airport andMiami International Airport,” Brownsaid.

Also, increased passenger and cargoactivity throughout the years has calledfor a much needed modernization of thecurrent terminal, which was built in thelate 1960s.

In an interview with the BrownsvilleHerald, Brown said that the renovation ofthe facility will allow for additional spacefor security screenings and allow formore public restrooms. He added that theterminal was not designed to have thehigh levels of security checks now re-quired for air travel and the expansionwill allow for that to be offered.

Another project is the construction ofa dual customs cargo facility.

The customs hangar will increase theairport’s capacity for larger aircraft. Thehangar will also increase the ability to at-tract international freight because it willhave space for U.S. and Mexican cus-toms officers, he told The Herald.Having customs officers fromboth nations will allow air

cargo planes attempting to enter Mexicoto have their cargoes cleared at theBrownsville airport before heading totheir Mexican destinations.

But, in order to build the hangar, air-port officials must relocate the NationalWeather Service’s radar.

The radar’s current location restrictsthe height to which hangars can be built.Moving it to another location on the air-port’s property would allow for biggerhangars, like the larger customs hangar.

All of these projects are needed inorder to continue to expand the aerospaceindustry in the Borderplex.

“We are working on providing aneconomical, cost effective airport that en-courages investment ranging from manu-facture of aircraft to transport of parts toand from distant destinations,” Brownsaid.

And if SpaceX decides to build alaunch facility in Brownsville, it willallow the region to have a bigger compet-itive advantage, making the much neededinfrastructure enhancements even morenecessary.

“The arrival of SpaceX will cause animmediate paradigm shift in the regional

economy, much as the establishmentof Pan American Airways did in

Brownsville in 1930. The posi-tive impacts will range through-out the region and will result in

new jobs that are related to awide variety of aerospace endeav-ors,” Brown said. EJ

EJSee map pages 22-23INFRASTRucTuRE

By Staff Reports

An airplane departs from Brownsville South Padre Island International Airport in this file photo. The airport isundergoing through a series of infrastructure projects that will help Brownsville’s global competitiveness.

Photo by Brad Doherty



EJ

Ten years ago, trucks haulinggoods and materials to the Portalong FM 511 would get a

glimpse of cows and horse grazing, acreafter acre as they made the 8-mile trek tothe Port of Brownsville.

Today, there’s more traffic being gen-erated from trucks hauling materials andgoods to and from the Port of Brownsville,the majority of which is for export.

Though, 10 years from now, the stripconnecting the new I-69 to the Port ofBrownsville and southward along the EastLoop highway to the Veterans Interna-tional Bridge might resemble more of anindustrial highway than that of cows graz-ing in the 1990s.

The collaboration of such entities andthe BEDC, the Port of Brownsville, theBrownsville Public Utilities Board, has re-sulted in the identification and planning ofa 17,000-acre Master Plan for IndustrialDevelopment, also known as the area de-velopment plan.

The identification and classification ofpublic and private properties is split upinto three components:n North Brownsville Industrial Corridor n Port of Brownsville Development Cor-ridorn East Loop Corridor

The North Brownsville Industrial Cor-ridor is a stretch of FM 511 from the newInterstate-69, westward and connecting tothe Port of Brownsville. The FM 511 isnow the SH 550, which is designed to taketraffic, particularly heavy trucks, nonstopwith no obstructions from I-69 to the frontdoor of the Port of Brownsville.

Along the NB Corridor is a utility

cluster, which has the Southmost RegionalWater Plant, a desalination treatmentplant, a new 800 megawatt power plant bythe Tenaska Energy Group and theBrownsville PUB, and a set of new indus-trial natural gas pipelines leading up to thefacility and the Port.

Across from such infrastructure is theLarge Industrial User Site, a 350-acre de-velopment ready park owned by theGreater Brownsville Incentives Corpora-tion, the funding board of the BEDC. Ac-cess to the Olmito Rail Switchyard isavailable through the industrial site as wellas new 345 KV lines which will be com-ing into the area for the new power plant.

Adjacent to the GBIC land is a law en-forcement cluster.

The North Brownsville Industrial Park,a 73-acre Master Plan Industrial Park islocated at Paredes Line Road, a 1/4 milesouth of SH 550.

The park is a Class ‘A’ location certi-fied by a leading site selection firm as‘Shovel Ready’ that includes many of theamenities that companies look for in orderto establish their operations.

It is zoned light and medium industrialand is suited for an array of industrial op-erations seeking a clean environment,quality labor force, proximity to interna-tional hubs, excellent transportation serv-ices, and most importantly, a city with apro-business environment.

The backbone of the NB IndustrialCorridor and the East Loop Corridor is thePort of Brownsville Development Corri-dor, the area of SH 550 leading up to thePort which is open for development. Thisparticular area also served by both, theBrownsville PUB and Magic Valley Elec-tric Coop. The site provides direct accessto Port amenities as well as rail, powerand natural gas.

The next leg is the planned East LoopCorridor, which will connect on the southside of the Brownsville Ship Channel,travel southward toward the Rio Grandeand on its way, connecting theBrownsville South Padre Island Interna-tional Airport and the Veterans Interna-tional Bridge.

The East Loop will also have access torail as well as the required utilities for in-dustrial growth. However, of utmost im-portance is how the loop will beconnecting the BRO airport, which willfacilitate the trade and commerce of goodsto the different ports of entry.

The corridor will be connecting di-rectly to the Veterans International Bridge,which in turn will be connecting to theMazatlan-Matamoros Interoceanic High-way, provide the link between the Pacificand Atlantic oceans by way of theBrownsville Ship Channel and the Gulf ofMexico.

The key for the three major corridors,is that it will be one huge strip of interstatehighway, connecting the major portals oftransportation. The entire strip also is des-ignated a Heavy Overweight Corridor,which means trucks coming from or goingto Mexico can overload the weight by 1.5times the DOT limit, hence, providing acompetitive logistics advantage for export.

And one more advantage is access tothe Foreign Trade Zone, which is at thePort of Brownsville, the BRO airport, andsoon-to-be at the GBIC and NB industrialparks.

Once complete, the corridor will be theregion’s aorta of industrial activity pump-ing at the pulse of the global trade. EJ

Three major industrialcorridors taking shape

See map pages 22-23INFRASTRucTuRE

By Staff Reports

EJ

The State Highway 550project is a direct con-nection to one of the

economic engines that fuel theeconomy of the Brownsville Bor-derplex, the Port of Brownsville.The new highway will provide anew entry point for truck traffic tothe Port of Brownsville and willbe key to the region's developmentas it grows to become a major cen-ter of international trade.

“The project is intended toprovide a safe and secure route forcommodities, imports and exports,to move with ease between our

maritime port and our interna-tional ports of entry,” said StateSenator Eddie Lucio Jr. D-Brownsville, during a ribbon cut-ting ceremony for the completionof phase two of the project held inlate May.

SH 550 will create an alternateroute between the Port ofBrownsville and US 77/83, whichwas recently designated as part ofthe Interstate Highway 69 corridorin the Rio Grande Valley. Ulti-mately, SH 550 will extend alongthe center of FM 511 from the I-69 corridor (U.S. 77/ US 83) toSH 48 for the length of 10 milesas a divided limited-access roadwith two new truck tolled lanes.

Work continues onthe feeder lanesfrom U.S. 77/83 toSH550 that leadsto the Port ofBrownsville.

Photo by Brad Doherty

Access tomarkets





EJ

“State Highway 550 will bea tremendous asset for the Portof Brownsville,” said SergioLopez, Chairman of the Port ofBrownsville, who also spoke atthe ribbon cutting ceremony. “Itwill alleviate and decongest thecity of Brownsville and try totake heavy trucks off the regularstreets,” he said.

“Being a committee mem-ber for Section 4 for I-69 thishas been one of my goals, toconnect the Port of Brownsvillethru State Highway 550 to thefuture I-69,” Lopez added.

The new corridor will be ofgreat benefit to freight transportby truck, since trucks will havea direct connection to the Portof Brownsville and would avoidcrossing through the city, sav-ing time and money.

According to Federal High-

way Administration officials,freight transport by truck repre-sented in 2010 about 80 percentof imports and exports withMexico.

The new highway will be aboon to truckers because cur-rently they have to cross townin order to reach the port, con-stantly breaking for traffic sig-nals, said Steve Muschenheim,Operations and Sales Managerat Parker and Company, a U.S.Customs Brokerage agencybased out of Brownsville.Breaking and starting up backagain these loaded truckswastes a lot of diesel, he added.

“This way they can make asmooth transition all the wayfrom (US) 77 right into theport,” he said, adding that trans-porting cargo will eventually bequicker and less expensive.

Map courtesy of Cameron County Regional Mobility Authority

PHASE 1Length: 1.9 miles long Specifics: Included theoverpass which crosses FM1847/Paredes Line Roadand the Union Pacific Rail-road. The overpass includedthe construction of fourlanes Status: Opened to traffic onMarch 10, 2011cost: Approximately $10million

PHASE 2Length: Approximately 3.01milesSpecifics: A new location ofroadway consisting of twomain lanes extending fromFM 3248 to SH 48 and willbe the future main entranceto the Port of Brownsville.

Status: Ribbon cutting cere-mony held in May; sectionexpected to open soon.cost: Approximately $34million.

PHASE 3Length: 10 miles Specifics: Four tolled gen-eral purpose main lanes,two in each direction, and di-rect connectors at U.S.77/83. In addition, two non-tolled discontinuous frontageroads with two lanes areprovided, paralleling thegeneral purpose/truck lanesin each direction of travel.Status: Under construction,expected to open in 16monthscost: Not Available

PROJEcT SH 550

35 years of planning excellenceMESA+PLANNING

Robin McCaffrey AIA, [email protected]

35 years of planning excellenceMESA+PL35 years of planning excellenceMESA+PLLANNING35 years of planning excellence

APL35 years of planning excellence

ANNINGANNING

McCafRobin frermccaff

frey AIA cCaff [email protected]

frey AIA, [email protected]

Phase 2 completeThe project is being constructed in

three phases. The first phase, com-pleted in 2011, consisted of improve-ments between US 77/83 and Old PortIsabel Road and an overpass that weredone by the Texas Department ofTransportation.

The first phase was 1.9 miles longand included the overpass whichcrosses FM 1847/Paredes Line Roadand the Union Pacific Railroad thatopened to traffic on March 10, 2011,and is the first toll road that wasopened by the Cameron County Re-gional Mobility Authority.

The overpass included the con-struction of four lanes and the totalconstruction cost was approximately$10 million.

The second phase called the Port

Spur, approximately a 3.01 mile sec-tion, is a new location of roadway con-sisting of two main lanes extendingfrom FM 3248 to SH 48 and will bethe future main entrance to the Port ofBrownsville. The total project costwas approximately $34 million.

“Together we share a common vi-sion of sustainable infrastructure net-work that will advance the economicvitality and future of our region forgenerations to come,” said DavidAllex, CCRMA Chairman, during theribbon cutting ceremony of phase two.“This industrial corridor is the catalystfor this growth for the entire RioGrande Valley Region.”

The final phase of the ultimate im-provements along SH 550 will be a 10mile stretch consisting of four tolledgeneral purpose main lanes, two in

each direction, and direct connectorsat U.S. 77/83. In addition, two non-tolled discontinuous frontage roadswith two lanes are provided, parallel-ing the general purpose/truck lanes ineach direction of travel.

“In about 16 months we are goingto be opening this section, which willgive us a nonstop (route) all the wayfrom (US) 77/83 to the Port ofBrownsville,” Allex said.

“It will probably be one of the mostimportant, if not the most important,transportation economic developmentproject anywhere in South Texas,” headded.

Funding of this project was priori-tized by the U.S. Congress through theAmerican Recovery and ReinvestmentAct of 2009. EJ

EJ




EJ

Commercial trucks crossing Vet-erans International Bridge inBrownsville now have four

lanes to travel into the United States fromMexico.

The addition of the commercial lanes,which opened in February of 2013, wouldhelp reduce the border crossing time andexpedite the shipment of cargo, said SteveMuschenheim, Operations and Sales Man-ager at Parker and Company, a U.S. Cus-toms Brokerage agency based out ofBrownsville.

“It is really important, because you cansit there for hours sometimes trying tocross,” Muschenheim said of the addedlanes.

According to the Texas Center for Bor-der Economic & Enterprise Development,the total dollar amount of U.S. exporttrade activity to Mexico through theBrownsville port of entry was$149,772,425 million in 2012, while itgenerated $228,660,415 million in importsfrom Mexico.

Mexico is the top international destina-tion for Texas exports, with more than$86.6 billion in goods shipped from Texas

to Mexico in 2011.Texas also dominates U.S.-Mexico

border crossings. In 2011, 3.3 milliontrucks crossed from Mexico into Texas,more than into all other southern borderstates combined.

At the Brownsville port of entry in2012, 190,204 trucks crossed into theU.S., while 191,526 headed south of theborder.

As of April 2013, more than 43,000trucks had entered the U.S. through Veter-ans International Bridge, while more than65,000 had traveled to Mexico.

Overweight corridorThe Port of Brownsville Overweight

Corridor allows for trucks transportinggoods to and from the Port into Mexico tocarry cargo at approximately 1.5 times theU.S. weight limit. The overweight corridorallows for companies to increase theircargo loads while reducing costs.

Oversize/overweight vehicles with per-mits can travel on US 77/83 and StateHighway 48/State Highway 4 between theVeterans International Bridge and the Portof Brownsville.

Expediting the process

Mexican trucks pass the import lot at the Veterans International Bridge at Los Tomates in Brownsville, Texas. Photo by Brad Doherty

Commercial lanes at Veterans bridge and overweight corridor, help savetime and money



EJ



Once State Highway 550 is completed,the overweight corridor will shift to thatroad, which will become a connector forInterstate Highway 69 East, allowingcommercial trucks to have direct access tothe Port of Brownsville.

The port, which plays a vital part inthe international economy of the region, isthe only one in the country on theU.S./Mexico border. Adding the over-weight corridor into the mix enhances theability of the Brownsville Borderplex toattract companies and other capital invest-ments to the area.

Link to Mexico’s “Supervia”The Veterans Bridge is also the link

between I-69E on the U.S. side and the“Interoceanic Highway” in Mexico, a roadthat stretches across five states and con-nects Mazatlan, in the state of Sinaloa,with the Brownsville-Matamoros Border-plex.

The road, also known as “Supervia”, isan east to west corridor that connectsMexico’s West Coast and the PacificOcean with the Gulf of Mexico. Althoughthis important highway has not been fin-ished completely, some parts of the roadare already opened and operable. Oncecomplete, the Supervia will reduce from20 to 12 hours the time to travel the 750miles from Mazatlan to Matamoros.

The Supervia will position the Border-Plex area as an ideal location for producedistribution, among other goods fromMexico, into the United States.

Sinaloa is a top Mexican producer oflarge volumes of food year round export-ing grains, vegetables, and fruits. Accord-ing to Sinaloa’s Department of EconomicDevelopment, the state produces 30% ofthe total food production in Mexico alone.Regional officials expect an increase inthe shipment of produce through the Vet-erans bridge.

East Loop ProjectAnother project that will help expedite

the shipment of cargo to the port is the

East Loop Project, which consists of theconstruction of a four-lane roadway fromthe Port of Brownsville to the Veterans In-ternational Bridge.

The project consists of two sections.The first section, State Highway 32 East,is approximately 7.6 miles long and in-cludes the construction of a new non-tolled four lane divided highway from FM3068 to the Port of Brownsville. The totalconstruction cost of SH 32 East is approx-imately $51 million.

The second section, SH 32 West, is ap-proximately 4.5 miles long and includesthe construction of a new non-tolled fourlane divided highway from FM 3068/FM1419 to the Veterans International Bridgeand U.S. 77/83. The total construction costof SH 32 West is approximately $25 mil-lion.

The Environmental Assessment forboth sections of the project is near com-pletion and an environmental approval is

still pending.

A competitive advantageConstruction of SH 550 and the addi-

tion of more commercial lanes at the Vet-erans International bridge as well as anoverweight corridor, all play an importantrole in helping give Brownsville an edgein competitiveness in economic develop-ment.

Brownsville has never seen these typesof endeavors being developed at the sametime, all with one objective in mind: eco-nomic progress.

Muschenheim believes these enhance-ments to the area’s transportation infra-structure will make the Borderplex morecompetitive.

“A lot of customers look at the cost offreight, the cost of logistics, and if we cando anything to improve it, it benefits ourcommunity. This gives more options toour area,” he said. EJ

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EJ

The last time the United Statesand Mexico were preparing toopen an international rail

bridge, the world had yet to see a worldwar, Teddy Roosevelt was the country’spresident, and the railroad was king in thetransportation business.

Fast-forward to more than 100 yearsand the U.S. and Mexico will once againwitness the opening of an international railbridge, one that authorities from bothcountries expect will generate greatercompetitiveness and economic develop-ment opportunities to the Brownsville-Matamoros BorderPlex area.

The West Railroad Relocation Project,soon to be completed, will alleviate con-

gestion, improve safety, and expedite therail movement of legitimate trade andcommerce coming across the border.

“This is a monumental occasion for theentire region,” stated in a press releaseCameron County Regional Mobility Au-thority Chairman David E. Allex.

“Improving multi-modal operations forthe efficient movement of goods and serv-ices is critical to the long term growth andprosperity of our region. This project willenable us to be prepared for an additional100 years and keep our county and regioncompetitive in the global marketplace,” hesaid.

Enhancing railwaysAfter more than a century, U.S. and Mexicoprepare to open an international rail bridge


The new railway is seen through a chain-link fence.The West Railroad Relocation Project, soon to be completed, will alleviate congestion, improve safety, and expedite the railmovement of legitimate trade and commerce coming across the border.

Courtesy photo

See map page 22-23INFRASTRucTuRE


EJ

The project has a price tag of approxi-mately $80 million, which includes theconstruction on the Mexican side. Authori-ties expect the bridge to commence opera-tions in the fall of 2013.

According to the CCRMA, the en-deavor calls for the relocation of theUnion Pacific Railroad that runs throughdowntown Brownsville to a less denselypopulated location to the west of the cityfrom U.S. 77/83 and the Olmito Switch-yard into Mexico.

A ground breaking for the project washeld in December of 2010 and construc-tion on the U.S side started soon there-after. In September of 2012, CameronCounty and West Rail project officialsgathered at the project location site onU.S. 281 to see the center span of the in-ternational rail bridge set in place. And inMay of this year officials held a binationalceremony to place the demarcation plaqueat the official international boundary of theproject.

The project includes multi-agency co-ordination at the federal, state and locallevel in the U.S. and in Mexico.

The rail bridge consists of an elevatedstructure of almost 3,000 feet (900 meterslong). The new rail bridge will reducetransportation times and operation costs,and companies will be able to move theirmerchandise in less time and more effi-ciently from Mexico to the U.S. and viceversa.

“This is a multifaceted project withmany moving parts, stated CameronCounty Administrator and project managerPete Sepulveda, Jr. “The governments onboth sides have not had a project of simi-lar magnitude and complexity before andthat has made the project both exciting andcomplicated.”

Texas’ railroad system is the secondlargest in the United States, with 47freight railroad operators carrying 7.7 mil-lion rail carloads, according to statisticsfrom 2010. And with more than 14,361miles of track, Texas’ railroad systemmaintains more rail miles than any otherstate.

In 2011, Texas was the entry point for

89% of all rail containers crossing into theU.S. from Mexico. Chemical products ac-counted for almost 39% of all rail freightoriginating in Texas in 2011, making it thetop commodity sector for rail transport.

“This bridge will boost progress in apowerful way, not only in Matamoros, butin Tamaulipas (state) and Mexico,” saidformer Mexican President Felipe Calderonduring a visit he made to Matamoros tooversee the work on the project. “Thisproject benefits train users in Mexico, pri-

marily for cargo, because in those trainswe transport the products that we Mexi-cans export, among others, many productsfor which we are leaders at the globalstage.”

Calderon mentioned that some of theproducts where Mexico leads in exportsworldwide include the manufacturing ofsmart phones, plasma screens, and auto-mobiles, the majority of which is hauledby train, he said. EJ

At a glance it is only arailroad bridge. Butwhat’s true is that it

is also the latest border crossingthat the United States opens withanother country in the world.

I came to tour the site locatedoff a highway outside of this city,but not alone, Brownsville’sMayor Antonio Martinez,Cameron County AdministratorPete Sepulveda and Gilberto Sali-nas, of the Brownsville EconomicDevelopment Council, accom-pany me.

“The last time that the U.S. and Mexicobuilt an international railroad bridge TeddyRoosevelt was the president. We are talkingabout something that happened more than105 years ago,” says Pete Sepulveda.

Antonio Martinez, the mayor, is proud.“Brownsville’s growth is another project toshow the world that we are progressinghere.”

I ask Pete Sepulveda why was the proj-ect delayed for more than a decade.

“Since we are saying that there had beenno other construction of a railroad bridge ina long time, we had to start from scratch.The agreements and laws that were used be-fore were obsolete. More than a century hadpassed, so we had to do everything again.”The county’s administrator tells me that theproject also faced financial hurdles.

“We operate three international bridgeswith Mexico, and the money collected fromthe tolls helps us for their maintenance andoperation. When you have a toll bridge, thatguarantees a loan from any financial institu-tion because you go to Wall Street, sell

bonds, and you get the money.The problem with this projectwas that this bridge will notcharge a toll. So funds had tocome from the city, state and fed-eral government so it took usmore time to get them.”

I ask Gilberto Salinas, fromthe Brownsville Economic De-velopment Council, if openingthe border was worth it.

“Of course! This region fromhere to Laredo is where you reg-ister the highest commercial ex-

change between both countries and therailroad will transport important steel cargothat will go directly from the Port ofBrownsville to the foundries located inMonterrey, Mexico. For the first time it willcut more than two hours of travel time.”

Now the most anticipated moment herewill be when they take an old steam poweredlocomotive out of a museum and bring ithere so that both the presidents of the U.S.and Mexico can cross to both sides inaugu-rating the rail crossing.

“In a time where the news on the borderis about violence and drug trafficking, thisshows that instead of building walls that di-vide us we are building a bridge that willunite us,” Gilberto Salinas says. EJ

Senior Correspondent for Univision,Maria Antonieta Collins reported this storyfrom Brownsville. The piece aired through-

out the United States as well as all LatinAmerica. To view the story, log onto the Uni-

vision website and punch in the followingkey words: Brownsville Antonieta.

The newest rail crossing between u.S. and Mexico

Maria Antonietacollins

See map page 22-23INFRASTRucTuRE

EJ

The Mazatlan-Matamoros super-highway is the most importantproject of the National Infra-

structure Plan implemented by formerMexican president Felipe Calderon.

It is considered the biggest and costli-est infrastructure work during Calderon’spresidency and one of the biggest in Mex-ico since the construction of the railroadnetwork at the end of the 19th century.

It will connect the Mexican Pacificcoast with the Gulf of Mexico, enhancingthe connectivity between Mexico’s com-mercial and industrial region in the northwith one of the most important Mexicanports located along the Pacific coast.

The project is being developed byMexico’s Secretary of Communicationsand Transport, which has invested about$2.2 billion in this important undertaking.

The superhighway, known as the “Inte-roceanic Highway” or “Supervia,” willconnect the Mexican states of Sinaloa, Du-rango, Chihuahua, Coahuila, Nuevo Leon,Tamaulipas, and Texas in the UnitedStates.

The 230-kilometer-long (140-mile)highway, expected to be completed in Au-gust, will link Brownsville, on the Gulf of

Mexico and other port cities on the Pa-cific, by a mere 12-hour drive. It willstretch along the cities of Mazatlan, in thestate of Sinaloa; Torreon and Saltillo, inthe state of Coahuila; Gomez Palacio andDurango, in the state of Durango; Monter-rey, in Nuevo Leon; and Matamoros, inTamaulipas.

According to The Associated Press, thehighway will eventually move 5 millionvehicles a year, more than four times thenumber on the old road.

The access to the Supervia in Texaswill be through the Veterans InternationalBridge in the Borderplex region. Thebridge offers a quick and direct connectionto the U.S. Interstate 69 corridor, whichstretches through eight states in the U.S.before reaching the Canadian border inPort Huron, Michigan.

The Supervia will eventually connect

the Borderplex with the productive pro-duce industry of the state of Sinaloa andwill also offer quick access to the Asianmarket.

The Durango Mazatlan Highway is thefinal part of the Supervia. The Monterreyto Durango section is a 4-lane dividedhighway. The rest of the road is a 2-laneundivided road.

Parallel to this highway, in some sec-tions, runs Federal Highway 40D, which isa 4-lane restricted access toll road.

The superhighway includes one of themost incredible engineering marvels: theBaluarte River Bridge in the Mountains inwestern Mexico.

With 1,321 feet high above the ravinecalled the “Devil’s backbone,” it is thehighest cable-stayed bridge in the world.

The corridor also features more than60 tunnels and 115 bridges. EJ

From Staff Reports

Courtesy photos

The Mexican ‘Supervia’The Baluarte River Bridge will be the only crossing for more than 500 miles between the pacific coast and the interior of Mexico.


The path of the “Supervia” roughly paral-lels the famous Espinazo del Diablo(Devil’s Backbone), a narrow road (high-lighted in yellow) that earned its nicknamefrom the way it follows the precarious ridgecrest of the jagged peaks of the SierraMadre Occidental mountains.


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EJ

It’s as much an advertisement asanything else, the 2013 State of thePort report, designed to show the

Port of Brownsville’s progress since thelast such report four years ago.

The 2013 version is full of positivenews — essentially a quick recap of lastyear’s study by Martin Associates of theport’s economic impact. One highlight:21,590 jobs generated by vessel and cargoactivity, 11,230 of them having direct im-

pact on the local and regional economies.The State of the Port also touts a

record amount of cargo (7.1 million metrictons) moving through the port in 2012; theport’s ranking of Number 4 among the na-tion’s top 25 Foreign Trade Zones andNumber 2 in Texas; and a boost in operat-ing revenues from $12.6 million in 2008to $15.2 million in 2012.

In port operations, 11,230 jobs directlyimpact the local and regional economy,

while business revenue related to the han-dling of marine cargo generated an esti-mated $925 million in local economicimpact in 2011, according to the report.

More details: The port’s maritime op-erations produced some $2 billion in eco-nomic activity in the state, while theamount of income and local expendituresgenerated for 2011 is estimated at $771.3million, resulting in $134 million in localand state taxes.

The report also highlights the port’sgrowing financial stability; its ability torefund a number of outstanding bonds; re-duction of the port’s ad valorem tax ratefor 18 consecutive years; and the creationof an $8.5 million fund for capital im-provements.

Game changerDeepening of ship channel vital to the port’sability to take advantage of coming economicopportunities


The Port of Brownsville has invested $24 million in capital improvements over the past five years, $5 million of them taking place in 2012.

Courtesy photo

The port has invested $24 million incapital improvements over the past fiveyears, $5 million of them taking place in2012.

New capital projects abound, including$15 million in security improvements tomonitor what goes on at the port.

A major capital project on track tobegin soon is construction of a second ma-rine cargo dock, courtesy of a $12 milliontransportation grant from the federal gov-ernment.

But the biggest project by far the portis contemplating, in association with theU.S. Army Corps of Engineers, is todeepen the 17-mile-long ship channel toan authorized draft of 52 feet from its cur-rent 39 feet.

From the port’s perspective, a deeperauthorized draft means more cargo pership, bigger ships and, ideally, more ships.It all adds up to more jobs and more rev-enue.

Draft refers to the distance between aship’s waterline and the bottom of its hull.The more cargo a vessel carries, thedeeper the draft.

“Larger vessels and more cargo is abig plus to the port, especially in bulkcommodities because that’s where the jobsare,” said Eddie Campirano, port directorand CEO.

“It means a lot of people working toload and unload that vessel and move thatcargo. It just makes it more beneficial interms of the impact on our port directlyand in our community.”

The project is vital to the port’s abilityto take advantage of coming economic op-portunities, Campirano said.

From the shipper’s perspective, morecargo per voyage equals lower costs, Cam-pirano said.

The port currently can’t handle vesselswith draft requirements of more than 39feet — enough for Panamex vessels butnot post-Panamex vessels, which require adraft of at least 45 feet. “Post-Panamex”represents the world’s supertankers andthe largest container ships, unable to fitthrough the Panama Canal.

Not being able to accommodate them

limits the port’s marketability, Campiranosaid.

Plans originally called for wideningthe channel — to 350 feet from its current250 feet — in addition to deepening it.The total cost was estimated at $293 mil-lion.

However, further study, revealed thatdepth rather than width is the most impor-tant factor when it comes to what types ofbusiness the port is likely to be in a posi-tion to attract in coming years.

Just deepening the channel wouldknock about $100 million off the esti-mated price of an upgrade. At any rate,some widening is inevitable when thechannel is deepened.

The need may be clear, but how to payfor it is not. Campirano said completingthe massive project will depend on port,local and federal support. The next step isto work out the funding details.

The federalWater ResourcesDevelopment Act,which containsmoney for ports, is apossible source offunding this year ornext, Campiranosaid. If the port getsits hoped-for lique-fied natural gas ex-port terminal, thecompany building it,Gulf Coast, mightbe persuaded tocover some of thecost as well, he said.

One thing forcertain is that nostate money existsfor such projects,Campirano said.Unlike some Gulfstates, Texas “does-n’t have any moneyfor ports,” he said.

All the same, hesaid he’s determinedto push the projectto completion,

within five years ideally.“This is going to be multiyear project,”

Campirano said. “I would tell you thatshort term is going to be in the three tofive year range.”

A lot hinges on “the economics ofwhat is happening in Texas” — includingoffshore oil activity, natural gas, the sizeof drilling rigs, etc. — that could equalgrowing commercial demand for a deepership channel at the Port of Brownsville, hesaid.

“There are a lot of ways to look atthis,” Campirano said. “I can tell youwe’re going to be looking at every con-ceivable way to get this done.” EJ

This article was written by Steve Clarkand appeared on the Tuesday June 4 issue

of The Brownsville Herald.

EJ


The Port of Matamoros has theupper hand with the recent dis-covery of new deep water oil

deposits in the Gulf of Mexico, accordingto the General Coordinator of MarinePorts from Mexico’s Office of the Secre-tary of Communications and Transport.

During a recent visit to Matamoros,Guillermo Ruiz de Teresa said that the de-velopment of the Port of Matamoros isvery important to the development of thecountry’s port infrastructure.

“In the next three years we will seegreat advances in the development of thisport in Matamoros,” Ruiz de Teresa said,adding that the port’s purpose will be for

commercial and industrial activities.Mexico’s Petroleos Mexicanos

(PEMEX) investment in the area will bekey to detonate the development of theport, since having two oil platforms infront of Matamoros’ Gulf coast will helpattract other companies that can benefitfrom the port.

Ruiz de Teresa said that this year thefederal government will initiate phase oneof the project, which calls for the dredgingof the ship channel to a depth of 26 feet, aswell as extending the jetties. He added thatthe federal government will invest morethan $90 million for the extension of thejetties.

“We are going to extend the jetties8,000 feet on both sides to reinforce theexisting ones. The dredging of 26 feet

deep will help the port to initiate opera-tions,” he said.

The bidding process for the project isunderway. Authorities expect the work tobe finalized by 2015.

“Once PEMEX starts increasing theiractivities in the area and once the port’sprojects are underway, we will see a boostin our economy,” said Matamoros MayorAlfonso Sánchez Garza.

Sanchez Garza said that at least 10companies that work with PEMEX arecurrently looking into the possibility of es-tablishing operations in Matamoros.

“Matamoros is the closest point towhere the explorations (of oil) are beingdone, and these companies that are look-ing at Matamoros, if they come, will hirefrom our local workforce,” he said. EJ


EJ

Oil drilling expected to benefit development of Port of Matamoros

From Staff Reports

Guillermo Ruiz de Teresa, center, General Coordinator of Marine Ports from Mexico’s Office of the Secretary of Communications and Transport, talks to the media during his recentvisit to Matamoros, Mexico.

Courtesy photo


Aproposed power plant for theGreater Brownsville Border-plex will infuse more than $16

billion into the local economy during con-struction and over a 35-year operational

period as well as maintain a competitiveedge in corporate recruitment for the re-gion, according to a recent study.

The study was commissioned by theBrownsville Economic DevelopmentCouncil (BEDC) in support of theBrownsville Public Utilities Board(BPUB), which is a stakeholder in theproject. In January, Mayor Tony Martinez,the BPUB leadership and Tenaska, a Ne-braska-based independent energy com-pany, announced the development of an800-megawatt (MW) electric generatingfacility.

The plant is targeted to be fully opera-

tional in 2016. BPUB entered into a development and

purchase agreement with Tenaska for a 25percent ownership interest in the proposednatural gas-fueled electric generating sta-tion. Under the agreement, BPUB wouldbe entitled to receive 200 MW of theplant’s output, enough to serve approxi-mately 100,000 Brownsville area homes.

Once operational, the electric generat-ing station is expected to becomeCameron County’s largest taxpayer, ex-ceeding the 2012 taxable value of the topfive taxpayers combined.

EJ

Power plant gives regiona competitive edge

Written byMichelle A. Lopez

Study projects a $16 billion economic impact

In January, Mayor Tony Martinez, the BPUB leadership and Tenaska, a Nebraska-basedindependent energy company, announced the development of an 800-megawatt (MW)electric generating facility. The plant is targeted to be fully operational in 2016.

Courtesy photo


Turn To Page 31

See map pages 22-23uTILITIES

EJ


See map pages 22-23uTILITIES

Drou

ght-p

roof


EJ

While drought issues havebeen a hot topic the lastcouple of years throughout

the state of Texas, Brownsville has man-aged to maintain itself hydrated thanks tothe efforts of the city’s utilities board.

The Brownsville Public UtilitiesBoard has kept an adequate surplus of

water thanks to different measures thathave helped Brownsville increase itswater capacity and satisfy the demand ofa growing city, putting the Borderplex ina prime spot for economic development.

These measures include a series ofprojects that call for the expansion ofBPUB’s wastewater plant and desalina-tion plant, as well as the dredging of thecity’s resaca system.

“A lot of our efforts date back severalyears. BPUB has put a lot of time and ef-fort to make (Brownsville’s) infrastruc-ture better and make sure waterinfrastructure is strong,” said RyanGreenfeld, Communications and PublicRelations Coordinator for the BPUB.

Greenfeld added that these are capitalimprovements are designed to bring long-term benefits to Brownsville’s water in-frastructure.

According to BPUB, a municipally

owned utilities corporation in charge ofproviding water, wastewater and energyto Brownsville, their three treatmentplants have the capacity to provide 47million gallons of treated water per day,which is well above the city’s currentpeak demand.

BPUB’s raw water system extractswater from the Rio Grande and consistsof a river rock weir, a river pump station,two reservoirs that provide 186.6 milliongallons total capacity, and a raw watertransport system.

Around the city, two clear wells pro-vide 6.84 million gallons storage capac-ity, and four elevated storage tanksprovide 6.0 million gallons of elevatedstorage capacity. Water is pumped by fourhigh-service pumping stations into thedistribution system, which consists of624 miles of transmission and distribu-tion mains.

Long term projectswill help increaseBrownsville’s water supply

The Brackish GroundwaterTreatment Facility is astate-of-the-art facility thatuses reverse osmosis(RO) membrane technol-ogy to provide “bottledwater” quality to its cus-tomers. This lessensBrownsville’s need forwater from the Rio Grandeand the city’s reservoirs.

Courtesy photos



EJSee map pages 22-23uTILITIES

Alternative sourceAdditionally, BPUB is a major partner

in the Southmost Regional Water Author-ity (SRWA) Brackish Groundwater Treat-ment Facility, which has been fullyoperational since 2005.

The Brackish Groundwater TreatmentFacility is a state-of-the-art facility thatuses reverse osmosis (RO) membranetechnology to provide “bottled water”quality to its customers. This lessensBrownsville’s need for water from the RioGrande and the city’s reservoirs.

The plant, the largest such facility inTexas, provides treated brackish water(salty groundwater) for the SouthernCameron County region. The plant pro-vides an alternative water supply sourceaway from the Rio Grande for the majorityof the SRWA partners, ensuring them reli-able, high-quality water for municipal andindustrial use.

Twenty production wells, approxi-mately 200 to 300 feet below groundlevel, tap into the Rio Grande Alluviumwithin the Gulf Coast Aquifer. Thegroundwater is pumped 7.2 miles to theRO treatment plant.

The plant provides a daily productioncapacity of 7.5 million gallons per day(MGD) with 6.0 MGD from the reverseosmosis treatment processes and 1.5 MGDof blend water (groundwater bypassing themembrane process and blended on theback end of the treatment process).

At this capacity, SRWA saves anequivalent of approximately 8,400 acrefeet in surface water diversions per year.

Plans are currently underway to install2 additional RO trains, increasing dailyproduction up to 11.0 MGD. At this ca-pacity, SRWA will save an equivalent ofapproximately 12,320 acre feet in surfacewater diversions per year.

BPUB said that increasing water diver-sity will allow the city of Brownsville toaccommodate more business growth to theBorderplex area, especially businesses thatneed reliable water service.

The utility board is also working onexpanding its Robindale WastewaterTreatment Plant and increase the facility’scurrent capacity of 10 MGD to 14.5 MGD.

The benefits are primarily to stayahead of Brownsville’s wastewater treat-

ment requirements needed due to the city’sgrowth.

Another benefit is the possibility of re-cycling the treated water for other pur-poses, such as the Tenaska BrownsvilleGenerating Station.

Once built, the 800-megawatt naturalgas-fueled power plant will use treatedwastewater supplied by BPUB’sRobindale Wastewater Treatment Plant,which would create a recycling opportu-nity for the water and a new revenuestream for BPUB.

Restoring the resacasBrownsville’s resacas, also known as

oxbow lakes, are remnant river channelsunique to the area. Besides adding an aes-thetic character to the city, they also helpcontrol floodwaters and provide raw waterstorage to supplement water supply.

Over the years, sediment carried bystorm water runoff from adjacent urbanand rural watersheds has been deposited inthe resacas, reducing their depths, storagecapacity and natural circulation.

Trash and other debris have furtherclogged these waterways to the point thatsome resacas have many feet of sedimentand debris impeding the water flow, result-ing in the degradation of water quality.

And the only way to return these re-sacas to their original depths is dredgingthem, BPUB officials said.

“The rest of Texas is experiencingdrought issues, but this project will enableus to secure our water future and attractmore industry to our area,” says BPUBVice Chairman Oscar D. Garcia.

BPUB began the Resaca RestorationProject in March to restore the resacas,which have been an alternative watersource for utilities board.

And after the enhancements are fin-ished, these bodies of water could becomeeven more important to the city’s eco-nomic development.

“This long-term project is a big under-taking for the Brownsville Public UtilitiesBoard, but we are excited to be taking thelead on something that will bring so muchbenefit to the city of Brownsville,” saidBPUB General Manager and CEO JohnBruciak.

There will be a great increase in stormwater and raw water storage capacity be-cause even more surface water could becaught. That means that BPUB would beable to store more water in the resacas tobe used in times of need.

This in turn would produce opportuni-ties for growth, create opportunities forrecreation and eco-tourism, improve aes-thetics and park areas, and enhance habi-tats for birds and other wildlife.

The strong water infrastructure thatBPUB is helping to build will help bringadditional businesses to the area. EJ

“This power plant would create 970 di-rect, indirect and induced jobs during con-struction and another 150 during operationof the plant,” said Jason Hilts, BEDCPresident and CEO. “It would be an inte-gral piece of our corporate recruitmentstrategy and is critical for the overall eco-nomic development vitality of the region.”

“The added generating capacity wouldplace the Brownsville Borderplex in a po-sition to recruit larger companies, espe-cially those destined for heavymanufacturing which can draw up to 300MW,” Hilts said.

The Tenaska plant will be on a 270-acre site at FM 511 and Old Alice Road,which has been designated as part of theNorth Brownsville Industrial Corridorspanning from the proposed I-69 highwayto the Port of Brownsville entrance.

“Instead of buying power from a gen-erating plant somewhere else, BPUBfound an option in which our community

would receive the benefit of additionaljobs, significant local spending and an ex-panded tax base,” said John Bruciak,BPUB General Manager & CEO. “Plus,our agreement ensures adequate and af-fordable power for our current customersand helps support commercial growth inthis area.”

Benefactors of the plant’s added taxrevenue stream include the City ofBrownsville, Cameron County, Los Fres-nos Consolidated Independent School Dis-trict and the Brownsville NavigationDistrict.

“Tenaska is an experienced developerof electric generating plants, having devel-oped approximately 9,000 megawatts ofelectric generating capacity in the U.S.and internationally,” said Mike Roth,Tenaska Director of Development. “Thisplant would be a modern, efficient and re-liable source of local electric energy forBrownsville and create jobs during con-struction and operation.”

“In 2009, the Imagine BrownsvilleComprehensive Plan identified the lack of

adequate electrical capacity as one of theprincipal constraints for major economicdevelopment opportunities,” Hilts said.“The proposed Tenaska power plant sig-nals a major step in closing the infrastruc-ture gap.”

“Most importantly, it demonstrateshow Brownsville is progressively andstrategically moving forward.” EJ

The Tenaska plant will bebuilt on a 270-acre site atFM 511 and Old Alice Road.

The economic impact for the constructionphase of the project would provide an estimated:

790direct, indirect and induced jobs ($42,000 average annual salary, plus benefits)

$126 millionin economic activity, $45.6 million of which is value added

$40.8 millionin construction-related payroll, plus benefits

Post-construction, the economic impact ofthe plant would provide an estimated:

150direct, indirect and induced jobs ($51,000 average annual salary, plus benefits)

$75,000average annual salary, plus benefits for plant operations jobs

$282 millionin economic activity its first year of operation,$164 million of which is value added

$7.5 to $9.4 millionin annual payroll (over the first 10 years)

KEy NuMBERS

EJ



Power plant gives region a competitive edge


Infrastructure can be defined as the underly-ing foundation, the basic physical and orga-nizational structures that provide the

framework for a community to function and develop.Often times though, people relate infrastructure

strictly to roads, bridges, utilities, water supply,telecommunications, and things of that nature. How-ever, humans are the nucleus of a community andhuman capital a vital part of its infrastructure.

Paul Hampton, from Newmark Grubb KnightFrank – one of the world’s leading commercial realestate and site selection advisory firms, quoted,“States focused on providing customized labor train-ing to meet the needs of modern businesses can alsotout a steady supply of trained labor, an asset that isagain moving to the forefront.” According to AreaDevelopment’s 26th Annual Corporate Survey, avail-ability of skilled labor ranked second in overall im-portance among 26 site selection factors, up fromseventh in 2010. Corporate decision makers haveagain elevated human capital above many cost fac-tors. Most of today’s production operations demandskilled labor – advanced welders, CNC operators,machine tool programming, bioprocessing, just toname a few.

Both the state of Texas and the Brownsville com-munity understand the value that exists in developingand investing in our workforce. Texas has three maintraining programs/grants that are administeredthrough the Texas Workforce Commission (TWC).Brownsville companies have capitalized on theseprograms and grants, yielding a better workforceeach time.

The Skills Development Fund (SDF) is Texas’premier job training program, providing grants tocommunity and technical colleges who provide cus-tomized job training programs for businesses thatwant to train new workers or upgrade the skills oftheir existing workforce. The SDF grants can covertuition, curriculum development, instructor fees, andtraining materials. TWC provides access to a team ofhighly skilled professionals (at no charge) who helpstreamline the development of projects and propos-als. For these two fiscal years (September 1, 2011 –August 31, 2013), TWC was given $48 million inSkills Development Funds to support high quality,customized job training projects across the state.

The Self-Sufficiency Fund (SSF) is another jobtraining program specifically designed for individu-als that receive Temporary Assistance for NeedyFamilies (TANF), Supplemental Nutritional Assis-tance Program (SNAP), parents whose annual wagesare at or below $37,000, or individuals at risk of be-

coming dependent on public assistance. SSF assists businesses by designing, financing

and implementing customized job training programsin partnership with public community and technicalcolleges, a higher education extension service, &community-based organizations for the creation ofnew jobs and/or the retraining of existing workforce.

The Skills for Small Business program supportsbusinesses with fewer than 100 employees. It em-phasizes training for new workers and helps upgradethe skills of incumbent workers. Small businessescan apply to TWC for training offered by their localcommunity or technical college or the Texas Engi-neering Extension Service (TEEX). TWC processesthe applications and works with the college to fundthe specific courses selected by businesses for theiremployees.

There are a number of Brownsville companiesthat have utilized these great resources. Most re-cently, in 2012 Carling Technologies partnered upwith Texas Southmost College to provide job train-ing using a $115,203 Skills Development Fundgrant. The grant provided 79 new and incumbentworkers with 3,842 hours of technical training de-signed to improve productivity, product quality, andadvanced manufacturing skills. There were a total of15 courses that included Hydraulics, Pneumatics,Leadership Skills, Lean Enterprise, Single MinuteExchange of Dies, and OSHA General Industry. Thetraining allowed them to experience cost savings ofmore than $150,000, it helped reduce the time it tookto change tools and dies by 45 minutes, and as a re-sult of the OSHA course, Carling Technologies fellway below the national average for workplace acci-dents.

Trico Products Corporation also received a SkillsDevelopment Fund grant for $331,030 and are cur-rently undergoing the training. The grant comprises23,894 hours of training and 21 total courses that in-clude Basic Blue Print Reading, CPR/First Aid, Paul-son’s Software Training, Visual Basic Programming,Advanced Product Quality Planning, Design of Ex-periments, and Hazardous Material TransportationTraining. With both companies, the duration of train-ing is one year, employees are paid while attendingclasses, and upon completion of the training, em-ployees receive a 2% pay raise.

There are 2 other companies pursuing contracts,for $120,000 and $301,000 totaling over 20,000hours of training. Employers seeking more informa-tion on training programs and grants may visit theTexas Workforce Commission website at www.texas-workforce.org. EJ

Human capital- A vital part of a community’s infrastructure

LOcALINDuSTRycORNER

Lizzy PutegnatDir. of Business Retention & Expansion

United

and

All In


United Brownsville is a projectcreated to provide an organ-ized framework for coopera-

tion and coordination between sevenmajor public institutions in the city, allworking with the goal to identify chal-lenges and solutions to improvements inkey areas such as economic development,quality of life, human capital, education,among others, through the city’s masterplan.

The seven Brownsville public institu-tions — the City of Brownsville, theGreater Brownsville Incentives Corpora-tion (GBIC), the Brownsville IndependentSchool District, the Port of Brownsville,the Brownsville Public Utility Board, theBrownsville Community ImprovementCorp (BCIC) and the University of Texas-Brownsville/Texas Southmost College —all have come together in an effort to unitethe community around the implementationof the Imagine Brownsville Comprehen-sive Plan.

The Imagine Brownsville Comprehen-sive Plan provides the foundation for guid-ing the future growth of the BrownsvilleBorderplex that is consistent with the vi-sion and goals of the community.

The development of the plan involvedthe participation of hundreds of residentsand institutions throughout the process.The goals and objectives identified by thecommunity through this effort were thencondensed into 12 vision themes: talented,healthy, livable, sustainable (green),safe/prepared, functioning/mobile, collab-orative, engaged, vibrant, equitable, andefficient.

The plan outlines the key private andpublic sector strategies needed to create amore sustainably competitive communityin order to attract the capital and resourcesneeded to improve the economic develop-ment and quality of life of the Brownsvillearea.

The American Planning Association’sTexas chapter honored the ImagineBrownsville comprehensive plan with thechapter’s 2009 Comprehensive PlanningAward, competing with over 40 Texas

communities.In a video highlighting the initiatives

of United Brownsville, BrownsvilleMayor Tony Martinez says that“Brownsville is not only united, but weare going to be competitive for high pay-ing jobs, good paying jobs, for technology,science, engineering. We are ready forthat, our young people are ready for thatand I think the whole global economy isready for that. Brownsville is the place tobe.”

In the same video, which can beviewed at www.unitedbrownsville.com,Oscar D. Garcia, Vice Chairman of theBrownsville Public Utility Board, men-tions that the Imagine Brownsville com-prehensive plan has helped the communityidentify key challenges and solutions.

“We have been working over the lastseveral years in a collaborative effort toimplement projects to address education,workforce development, wellness andquality of life, infrastructure, economicdevelopment,” he says in the video.

By Staff Reports

United

and

All InInitiatives focus on improving human capital, education,quality of life, economic development and health

HuMAN cAPITAL EJ


HuMAN cAPITAL EJ

The United Brownsville initiatives areindustrial cluster development, binationaleconomic development, prevention andwellness, equity, civic and leadership,public safety, downtown revitalization, ed-ucation/human capital, infrastructure, en-vironment, and institutional capacitybuilding.

For more information about UnitedBrownsville, visit www.united-brownsville.com

All In for educationLocal community leaders have pledged

to be “All In” in a mission that looks todouble the number of young adults inBrownsville who earn postsecondary cre-dentials with labor market value.

United Way of Southern CameronCounty is spearheading this initiative andhas partnered with the Brownsville Eco-nomic Development Council, BrownsvilleChamber of Commerce, Brownsville Inde-pendent School District, Texas SouthmostCollege, University of Texas atBrownsville, Cardenas Development Co.,Community Development Corporation ofBrownsville, Project VIDA, UnitedBrownsville, Wells Fargo Advisers, andWorkforce Solutions Cameron, in an effortto make this endeavor succeed.

“We know that the jobs of the futurewill require education beyond high school,and we know that all degrees are not cre-ated equal when it comes to finding agreat job that will provide a good life for afamily. That's why we created All In,” ex-plains Partnership for Postsecondary Suc-cess on its websitewww.allinbrownsville.org.

PPS is an initiative that builds commu-nity partnerships with the goal of doublingthe number of young adults with postsec-ondary credentials that will lead to livingwage employment.

This initiative was created with theguidance of MDC, a non-profit organiza-tion based in North Carolina that helpscommunities across the nation close thegaps in education and guidance that sepa-rate young people from opportunity.

According to its website, All In “fol-lows a proven system that dramaticallyimproves college readiness and collegecompletion. Our framework is an adapta-tion from the Gates Foundation’s System

for Student Success Model. Its multiphaseimplementation includes the gathering ofstudent data, student engagement activi-ties, collaborative work from faculty, ad-ministration and trustees and an emphasison community partnerships and employ-ment opportunities.”

The initiative follows a curriculumalignment in which educators across alllevels (including BISD, TSC and UTB)formally evaluate a course or an educa-tional program to address the changingneeds of students and the workforce.

Teachers, educational advisers andprogram coordinators work together to de-velop the curriculum and make sure thereare no gaps that may impede academicprogress.

“Through the All In initiative we reachout to our local community college anduniversity because we depend on them asmuch as they depend on us. By under-standing what the needs are employmentwise from the private sector we know howto better prepare our students to meetthose needs,” says BISD Board PresidentDr. Enrique Escobedo, Jr. in a video high-lighting the initiatives of UnitedBrownsville.

PPS’ All In is part of theeducation/human capital initiative of theImagine Brownsville ComprehensivePlan.

For more information, visitwww.allinbrownsville.org. EJ

united Brownsville InitiativesIndustrial cluster DevelopmentThe Industrial development initiative lays out ablueprint, integrated with the other initiatives, toleverage existing regional physical, natural, andhuman resources to create sustained improve-ments in the quality of life and economic develop-ment of Brownsville.

BiNational Economic DevelopmentThis task force works to increase the binationaleconomic competitive advantage by reducingmarket barriers between Brownsville and Mata-moros, planning and implementing economic de-velopment policies as one region ad by creating aframework to attract direct federal and private in-vestment to support binational trade.

Prevention and WellnessThe Prevention and Wellness task force focusedon what is seen as one of the most prevalent dis-eases in the Lower Rio Grande Valley, obesityand its linkages to diabetes. It is believed thatmany of the strategies would also have a positiveimpact on instances of other preventable dis-eases.

EquityPromote equal access and opportunity for eco-nomic mobility through workforce development,work supports and asset attainment.

civic and LeadershipThis initiative is based on a very simple premise:and engaged and civically minded community isa prerequisite for a quality community.

Public SafetyFocus on maintaining a safe and prepared com-munity while keeping public safety expendituresaffordable by coordinating the location of newsafety facilities with land use policies and smartgrowth patterns, promoting greater communitycollaboration on emerging safety issues, upgrad-ing public safety technology, employing adequatepersonnel and investigating alternative mecha-nisms for funding public safety programs.

Downtown RevitalizationWorking to foster a “sense of place” by making iteasy to live and invest in downtown via key cata-lyst projects that attract private investment andincrease downtown residents by creating a thriv-ing, clean and safe, pedestrian friendly, cultural-driven, downtown center that leverages itshistorical character and spatially reconnects withthe UTB/TSC campus.

Education/Human capitalIncrease our “Human Knowledge Capital” by cre-ating and promoting clear educational pathwaysto quality careers through aligning education cur-riculums with market demand for talent and skills.This initiative works in conjunction with theBrownsville Partnership for Postsecondary Suc-cess lead by the United Way of SouthernCameron County and funded by a $1.5 Milliongrant from the Bill & Melinda Gates Foundation.

InfrastructureIdentify and improve key infrastructure that criti-cally supports our economic development effortsand improves the quality of life for citizens. Ele-ments included Drainage, Water/Wastewater,Electricity, Transportation.

Brownsville recognized forforeign investment strategy

EJAccOLADESMarket strategy

Brownsville has been rankedamong “Cities of the Future”for 2013-14 by fDi Intelli-

gence, a publication of the London-basedFinancial Times that focuses on globaliza-tion trends.

Brownsville made the list for its “for-eign direct investment” strategy, whichfDi ranked eighth among the best for smallcities in North America. The ranking waspublished in the online magazine fDi In-telligence.com.

FDI is foreign direct investment, directinvestment in business or production inone country by a business in another coun-try. It can mean either acquiring a com-pany or expanding operations of anexisting business in the target country. FDIis an alternative to traditional “portfolioinvestment,” which refers to the practiceof investing in stocks and bonds in anothercountry. fDi Intelligence identifies FDI asthe leading driver of globalization.

For the FDI strategy rankings — a newcategory this year — the magazine’s re-search team collected submissions from127 cities containingdetails of eachcity’s approachto generat-ing FDI.Be-

sides Brownsville, the other U.S. city onthe list was Lafayette, La., which wasranked No. 1 in FDI strategy. The othercities were in Canada and Mexico.

The “small city” category lists citieswith populations between 100,000 and350,000. Brownsville’s population isaround 200,000.

Michelle Lopez, director of public af-fairs and international development for theBrownsville Economic DevelopmentCouncil, said the ranking is based on howwell cities market themselves internation-ally to lure foreign investment.

The BEDC, which made the submis-sion to fDi Intelligence, has been pursuingan FDI strategy the past two years that en-tails traveling to different countries, pri-marily in South America, to meet withbusiness leaders face to face.

For instance, officials from BEDC, thecity and the Port of Brownsville traveledto Colombia in September to talk withcompanies that might be interested indoing business here. The BEDC also takespart in the state’s “Invest in Texas” tradeshows in various foreign countries.

In addition to Colombia, BEDC is fo-cusing mainly on Argentina, Chile,Ecuador and Peru, countries whose

economies are “starting to boom again,”Lopez said.

“We’re trying to get there

before everybody else does,” she said.“We are a little bit ahead of the pack.”

The BEDC and city officials also metlast week with officials in Kiev, Ukraine,seeking to lure business to Brownsville.

Lopez said the fDi ranking is evidencethat BEDC is “working diligently” on anew and improved FDI strategy, which in-volves taking their story to potential for-eign investors. This is in contrast to theold, less effective strategy — basicallybuying ads in trade magazines and hopingfor a response, she said.

Gilberto Salinas, BEDC’s executivevice president, said the more aggressivestrategy has resulted in three foreign com-panies “in the pipeline.” He declined tooffer specifics because negotiations con-tinue, noting that cultivating businessacross borders is a long-term process.

“When it comes to marketing tactics, itpays off dividends in the long run. It’s nota quick (return on investment),” Salinassaid. “It takes a while to develop thatpipeline.”

FDI is a great way to build the region’seconomic base — something cities likeHouston and Miami have known fordecades, he said.

“We finally figured out that we are aninternational city, so let’s start acting likeone,” Salinas said. EJ

This article was written by SteveClark and appeared on theThursday April 18 issue of

The Brownsville Herald.



Satelites Mexicanos (Satmex) an-nounces that it has entered into aSatellite Procurement Agreement

with Boeing Satellite Systems Interna-tional (Boeing) and a Launch ServicesAgreement with Space Exploration Tech-nologies (SpaceX) for the manufactureand the launch, respectively, of the latestcommunications satellite in its fleet, Sat-mex 7.

The procurement of Satmex 7 is partof a global agreement in cooperation withAsia Broadcast Satellite (ABS) involvingthe manufacture and delivery of four firmand four optional satellites all at firm fixedprices.

The purchase and delivery of thesesatellites will be governed by a MasterProcurement Agreement entered intoamong Boeing, ABS and Satmex and willbe subject to separate satellite procure-ment agreements between Boeing andeach of Satmex and ABS.

Both Satmex and ABS shall have the

ability to convert the optional satellites tofirm orders as they may determine in thefuture.

Satmex 7 is a hybrid satellite with bothC- and Ku-band capacity, serving all ofSatmex’s Latin America customers. Thesatellite will provide new expansion ca-pacity that will be a catalyst for Satmex'sgrowth plans over the next decade.

The Boeing 702SP product line is agreat fit for Satmex's expansion strategy,offering an innovative design with capa-bilities that provide flexible service offer-ings to meet the growing demands ofSatmex's prestigious customer portfolio.

“We are very pleased to partner withboth, Boeing and SpaceX, on these agree-ments, which provides Satmex with theflexibility to grow our satellite fleet,” saidPatricio Northland, Chief Executive Offi-cer of Satmex.

“Satmex is positioned for a new era ofgrowth with the anticipated launches of

Satmex 8 in 2012, and with Satmex 7, ourfirst satellite in the Boeing 702SP pro-gram, in late 2014 or early 2015. Satmex 7will be a cornerstone of the Satmex fleetdesigned to provideDTH and data serviceswith increased power levels and good ele-vation angles from any location within itscoverage. These benefits will provide bet-ter performance to deliver media contentdirectly to homes as well as broadbandand other data services.”

Concurrently with the satellite pro-curement agreements, ABS and Satmexhave entered into a Bilateral Agreementwhich establishes rights and obligationsbetween the parties with regard to themanufacture and launch of Satmex 7 andthe other satellites in this global procure-ment.

The launch is scheduled for late 2014or early 2015 from Cape Canaveral,Florida and will use SpaceX’s Falcon 9rocket. EJ

EJINTERNATIONAL NEWSAerospace Industry

Satmex signs agreement to work with SpaceX

In the messy sphere of politics, rareare the moments of near universalsatisfaction with policy outcomes.

Yet such is the case in the Rio GrandeValley this year, where no shortage of su-perlatives has been used to describe the83rd Texas legislative session, includingextraordinary, fortuitous and by God’shand.

“My sense, it was all of the above,”said Juliet Garcia, president of the Univer-sity of Texas at Brownsville.

From the designation of a corridor toallow overweight trucks, thereby alleviat-ing one of the bottlenecks at ports of entry,to incentives meant to lure the SpaceXlaunch site, the session is being calledtransformative by leaders here.

And no legislation has received morepraise than Senate Bill 24, which mergesUT-Pan Am and UT-Brownsville into aValley-wide institution and adds a medicalschool.

The bill received unanimous approvalin the House and Senate, and a standingovation.

Gov. Rick Perry signed the bill thatcreates the new UT System university thatwill serve about 30,000 students andstretch from Edinburg to Brownsville.More importantly, the realignment willgive the combined university access to thePermanent University Fund, a key sourceof revenue that UT-Brownsville and UT-Pan AM had been precluded from using togrow their institutions.

“All of these years that I’ve been in theLegislature, 26 now, I’ve been looking foran issue that would really unite the Valleyand fuse us together as one family, and Ithink the university issue will do that,”said state Sen. Eddie Lucio Jr., D-Brownsville.

It was a fortunate turn of events sev-eral years ago when UT System Chancel-lor Francisco Cigarroa pitched the idea tothe university presidents and Valley leg-islative delegations of joining the universi-ties and adding the medical school.

“It was a very, very successful birth toa baby,” said Robert Nelsen, president ofUT-Pan Am, which is in Edinburg, about

the merger and the medical school.Lobbying for a Valley medical school

can be traced back decades, according toRandy Wittington, a Harlingen attorneyand president of the South Texas MedicalFoundation.

“The best I can determine from the re-search I’ve done, the first bill ever intro-duced to create a medical school in theRio Grande Valley was in 1947, whichhappens to be the year I was born, and I’mon Medicare and Social Security,” he said.

A self-described squeaky-wheel advo-cate for the medical school, Wittingtonwas involved since 1998, first with the es-tablishment of the Regional AcademicHealth Center in Edinburg as a branch ofthe UT Health Science Center at San An-tonio. Since then, UT has invested about$200 million there, he said.

The bill lays out the specifics of themedical school. Students will begin theirmedical training on campuses in HidalgoCounty and complete their second twoyears in Cameron County.

But first, a search is underway for thefirst dean to shape the medical school.

“It’s an entirely different demographicdown here from an ethnic standpoint, froma cultural standpoint, from a socioeco-nomic standpoint and more importantlyfrom a pathological standpoint,” Witting-ton said. “We have diseases down hereboth the incidence at which they occur andin some cases the diseases themselves youdon’t see in other parts of the country, andsome you don’t see in other parts of theworld.”

Trade and spaceWhile SB 24 was arguably the most

significant, it was by no means the onlylegislation to receive applause.

With three-quarters of all fruits andvegetables entering Texas imported fromMexico through Valley ports and signifi-cant increases on the horizon when Mex-ico completes infrastructure connectingPacific Coast markets to the border region,an overweight truck corridor concept inthe Upper Rio Grande Valley was a mustto remain competitive, according to the

Texas International Produce Association.On the corridor, heavier trucks from

Mexico can enter the country withoutdivvying their haul onto two trucks, whichis costlier and clogs the ports of entry. Fornow, it benefits the international bridgenear Pharr, but later it will also serve thebridge near Mission.

Nogales, Ariz., which competes forimport business with Texas, has success-fully operated an overweight corridor foryears.

“The corridor sends a strong messageto our trading partners to the south that wewant to continue to attract their business toour region and we’re taking the necessarysteps to stay competitive,” said Bret Erick-son, president and CEO of the Texas Inter-national Produce Association.

Other legislation that stirred regionalexcitement this session was aimed at lur-ing Space Exploration Technologies Corp.,or SpaceX, to build a spaceship launch siteat Boca Chica Beach near Brownsville.

“This allows us to dream big,” saidGilbert Salinas, vice president of theBrownsville Economic DevelopmentCouncil. “Ten years down the road, wemight look back and say legislatively,2013 was the year everything fell intoplace.”

Budding physicists at UT-Brownsvillesay the company has already expressed aninterest in their talents.

Many are calling this year historical,but Garcia, the UT-Brownsville president,prefers to call it pivotal because it changesthe Valley history rather than documentsanother event in time.

“When I was a kid, the way we went togo see my grandmother in Camargo (Mex-ico) … was on a big raft, pulled by amule,” Garcia said.

“It’s lovely for me to imagine nowSpaceX,” she added. EJ

This article was written byAaron Nelsen and appeared

in the San Antonio Express-News

Rio Grande Valley fared well in LegislatureEJTEXAS NEWSState Legislature



Real gross domestic product (GDP) in-creased 2.5 percent at an annual rate in thefirst quarter of 2013, according to the ad-vance estimates of the national income andproduct accounts (NIPAs) In the fourthquarter of 2012, real GDP increased 0.4 per-cent.

The acceleration in real GDP in the firstquarter primarily reflected an upturn in pri-vate inventory investment, an accelerationin consumer spending, an upturn in exports,and a smaller decrease in federal govern-ment spending that were partly offset by anupturn in imports and a deceleration in non-residential fixed investment.

Prices of goods and services purchasedby U.S. residents increased 1.1 percent inthe first quarter after increasing 1.6 percentin the fourth quarter. Energy prices turneddown, and food prices decelerated. Exclud-ing food and energy, gross domestic pur-chases prices increased 1.3 percent afterincreasing 1.2 percent.

Real disposable personal income (DPI)decreased 5.3 percent in the first quarterafter increasing 6.2 percent in the fourthquarter. Current-dollar DPI decreased 4.4percent in the first quarter after increasing7.9 percent in the fourth quarter. The sharp

downturn in DPI reflected a sharp downturnin personal income that was partly offset bya deceleration in personal current taxes.

The personal saving rate, personal sav-ing as a percentage of current-dollar DPI,was 2.6 percent in the first quarter; in thefourth quarter, the rate was 4.7 percent.

Consumer spending accelerated in thefirst quarter, reflecting a pickup in spendingfor services that was partly offset by a slow-down in spending for goods.

The slowdown in spending for goods re-flected widespread slowdowns in thedurable-goods categories, but especiallymotor vehicles (new and used), that werepartly offset by a pickup in nondurablegoods, primarily food and nonalcoholicbeverages for off-premises consumption,clothing and footwear, and fuel oil andother fuels.

The pickup in spending for services re-flected an upturn in electricity and gas and apickup in financial services and insurancethat was partly offset by a slowdown infood services and accommodations, mainlyin food services. EJ

SOURCE: U.S. Department of Commerce Bureau of Economic Analysis

uNITED STATES

Gross domestic product continues to grow

Gross Domestic Product

2.5%

Real gross domestic product --the output of goods and serv-ices produced by labor andproperty located in the UnitedStates -- increased at an annualrate of 2.5 percent in the firstquarter of 2013 (that is, fromthe fourth quarter to the firstquarter), according to the “ad-vance” estimate released by theBureau of Economic Analysis.

Trade in Goods and Services

-$38.8billion

Total March exports of $184.3billion and imports of $223.1billion resulted in a goods andservices deficit of $38.8 billion,down from $43.6 billion inFebruary, revised. March ex-ports were $1.7 billion less thanFebruary exports of $186.0billion. March imports were$6.5 billion less than Februaryimports of $229.6 billion.

construction Spending

-1.7%

Construction spending dur-ing March 2013 was esti-mated at a seasonallyadjusted annual rate of$856.7 billion, 1.7 percent(±1.5%) below the revisedFebruary estimate of $871.2billion. The March figure is4.8 percent (±1.6%) abovethe March 2012 estimate of$817.8 billion.

Employment

7.5%

Total nonfarm payroll em-ployment rose by 165,000in April, and the unemploy-ment rate was littlechanged at 7.5 percent. Em-ployment increased in pro-fessional and businessservices, food services anddrinking places, retail trade,and health care.

Import and Export Price Indexes

0.5%

U.S. import prices fell 0.5 per-cent in April, following a 0.2percent decrease in March.Lower prices for both fuel andnonfuel imports contributed tothe declines in each month.Prices for U.S. exports de-creased 0.7 percent in Aprilafter a 0.5 percent decline inMarch.

Private constructionSpending on private construction dur-ing March was at a seasonally adjustedannual rate of $598.4 billion, 0.6 per-cent (±1.2%) below the revised Febru-ary estimate of $602.0 billion.

Public constructionIn March, the estimated seasonally ad-justed annual rate of public construc-tion spending was $258.3 billion, 4.1percent (±2.5%) below the revised Feb-ruary estimate of $269.2 billion.

SOURCES: U.S. CensusBureau;U.S. Bureauof EconomicAnalysis; U.S. Bureauof Labor Statistics

Global Economic Activity

0.2%

The Global Economic Activ-ity Index (IGAE), a monthlyproxy for Mexico gross do-mestic product, slowed from0.3 percent growth in Januaryto 0.2 percent in February.While this is a slight im-provement since December,IGAE’s three-month movingaverage shows signs of slow-ing.

Exports

1.8%

Exports grew 1.8 percent inMarch; however, exportsare down 1 percent in firstquarter 2013 comparedwith fourth quarter of lastyear. Three-month movingaverages show that total ex-ports have been flat sincemid-2012, while manufactur-ing exports have beenfalling.

Industrial Production

0.5%

Industrial Production (IP) in-creased 0.5 percent monthover month in February aftergrowing 1.3 percent inJanuary. Nevertheless, year-to-date growth has simplymade up for year-end de-clines. Three-month averagesshow slowing as Mexico IPremains below the levelsreached in mid-2012.

consumer Price Index

Inflation increased in Marchfor the second consecutivemonth as prices rose 4.2 per-cent year over year. Pricesexcluding food and energyincreased 3 percent, a ratethat coincides with the cen-tral bank’s long-term infla-tion target.

Peso/Dollar Exchange Rate

12.2pesosper dollar

The exchange rate av-eraged 12.2 pesos perdollar in April. Thepeso has appreciated5.2 percent since De-cember 2012, whenthe peso/dollar ex-change rate averaged12.9 pesos per dollar

Employment

2.8%

Formal-sector employ-ment—jobs with govern-ment benefits andpensions—fell at an annual-ized rate of 0.1 percentin March, declining for thefirst time since mid-2009.Through March, employ-ment grew 2.8 percentannualized, significantlybelow the 4.6 percent pacerealized in 2012.

MEXIcO

The International Institute for Manage-ment Development (IMD), a top-rankedglobal business school based in Switzerland,placed Mexico in the 32nd spot of its 25thanniversary world competitiveness rankings.

According to IMD, Mexico has seen asmall revival in its competitiveness that nowneeds to be confirmed over time and by thecontinuous implementation of structural re-forms.

The country climbed five spots since2012 (from 37 to 32), and eight spots since1997 (from 40 to 32).

Mexico is ranked second best amongLatin American countries, second only toChile (30).

The US has regained the No. 1 spot in2013, thanks to a rebounding financial sec-tor, an abundance of technological innova-tion and successful companies.

In Europe, the most competitive nationsinclude Switzerland (2), Sweden (4) andGermany (9), whose success relies upon ex-port-oriented manufacturing, diversifiedeconomies, strong small and medium enter-prises (SMEs) and fiscal discipline. Like lastyear, the rest of Europe is heavily con-

strained by austerity programs that are de-laying recovery and calling into question thetimeliness of the measures proposed.

Professor Stéphane Garelli, director ofthe IMD World Competitiveness Center,said: “While the euro zone remains stalled,the robust comeback of the US to the top ofthe competitiveness rankings, and betternews from Japan, have revived the austeritydebate. Structural reforms are unavoidable,but growth remains a prerequisite for com-petitiveness. In addition, the harshness ofausterity measures too often antagonizes thepopulation. In the end, countries need topreserve social cohesion to deliver prosper-ity.”

The BRICS economies have enjoyedmixed fortunes. China (21) and Russia (42)rose in the rankings, while India (40), Brazil(51) and South Africa (53) all fell. Emergingeconomies in general remain highly depend-ent on the global economic recovery, whichseems to be delayed. EJ

The complete report is available at www.imd.org

Mexico improves rankingin global competitiveness

SOURCE: Federal ReserveBank of Dallas



Area Development, the leading publica-tion covering site selection and facilityplanning, awarded Texas a 2013 GoldenShovel in the 10+ million population cate-gory.

Annual Shovel Awards recognize stateeconomic development agencies that drivesignificant job creation through innovativepolicies and infrastructure improvements, aswell as processes and promotions that at-tract new employers. Investments in ex-panded facilities are also recognized. GoldShovels are presented to states that haveachieved the most success in terms of newjob creation and economic impact.

Texas is far ahead of the game when itcomes to economic recovery, according tothe latest statistics from the office of theComptroller of Public Accounts.

“Employers are looking at the recent re-cession through a rear-view mirror,” accord-ing to the office’s “Economic Outlook.”

The report continues, “Texas replacedall of its recession-hit jobs by December2011.” By March 2013, the state’s unem-ployment rate had dropped to 6.4 percent,more than a percentage point below the na-tional average - it’s been below the nationalaverage for more than 75 consecutive

months now. The state’s gross domesticproduct was up by 3.2 percent last year,well ahead of the national growth rate.

Fueling the way toward the Lone StarState’s Gold Shovel award has been the en-ergy sector, along with chemicals, IT, andother varied sectors. Austin is the home ofone of the latest Projects of the Year -Apple’s new IT operations center and its3,600-plus jobs - as well as an 800-job VisaIT center. Another 2,600 jobs come by wayof headquarters expansions at Ericsson inPlano and Southwest Airlines in Dallas.When it comes to oil and chemicals, that'swhere the really big-dollar investmentscome into play - they’re all in the billions ofdollars.

Texas has quite a top-10 list - with in-vestments worth more than $11 billion andsome 8,000 new jobs. And there’s a lotmore where that came from. As Gov. RickPerry proclaimed at a recent business event,“Texas’ economy has become the envy ofthe nation.”

A report on the 2013 Shovel Award win-ners will be published in the Q2/Spring2013 issue of Area Development and postedonline atwww.areadevelopment.com/awards. EJ

TEXAS

State wins 2013 Gold Shovel AwardEmployment

6.4%

Texas lost 7,900 jobs in Marchafter adding 61,000 jobs in Febru-ary. In the first quarter of 2013,Texas employment grew at a 2.1percent annualized rate, raisingthe number of jobs to 11.08 mil-lion. The Texas unemploymentrate held steady at 6.4 percent inMarch. The Texas rate remainslower than the U.S. rate, whichwas 7.6 percent in March.

Quarterly Exports

1.7%

Monthly Texas exports rose1.7 percent from January toFebruary, marking a secondconsecutive month of in-crease. February exportswere 3.3 percent higher thanat the same time last year.

Production Index- Texas Manufacturing

-0.5

Texas factory activity was flatin April, according to theTexas Manufacturing OutlookSurvey. The production index,a key measure of state manu-facturing conditions, fell from9.9 to –0.5. The near-zeroreading indicates output waslittle changed from Marchlevels.

Natural Gas Prices

9.2%

Natural gas prices rose to$4.17 per million Btu inApril, a 9.2 percent increasefrom the March level. Theprice was 113.9 percenthigher than in April 2012.

crude Oil Prices

1.1%

The West Texas Inter-mediate crude oil pricefell 1.1 percent to$92.07 per barrel inApril and was down10.9 percent year overyear.

Texas Rig count

836

The Texas rig count in-creased to 836 in Apriland was down 9.4 percentyear over year.

SOURCE: Federal ReserveBank of Dallas

Employment

9.9%

Civilian Labor Force:163.6

Employed: 147.3

Unemployed: 16.3

Job growth rate: 1.4

Unemployment rate: 9.9%

Data is from April 2013. All estimates in thousands

BROWNSVILLE BORDERPLEX

A year ago the phones went quiet atBrownsville’s T-Mobile call center, as some475 employees lost their jobs.

The wireless giant shuttered the facilityit had occupied since 2007 as part of a con-solidation of T-Mobile call centers, from 24to 17 nationwide.

However, as Mayor Tony Martinez re-vealed during May’s “State of the City” ad-dress, the call center’s phone lines are set tocrackle back to life soon under new manage-ment: Maximus, a Reston, Va.-based com-pany with “contact centers” around thenation to help clients of government healthand human services programs, will bring ap-proximately 600 jobs to the city, Martinezsaid.

“It’s not officially up and running untilAugust,” said a Maximus spokeswoman.“It’s a brand new startup project. We’re justtaking care of hiring at this time.”

On the Maximus website theBrownsville call center is advertising fornine positions, including call center man-ager, director of finance and accounting,human resources recruiter, and finance andaccounting analyst.

Anyone interested in applying for theseand other positions should visit and click on“current opportunities.”

The spokeswoman said the Brownsville

call center will support federal governmentservices. Maximus has 7,000 employees in220 offices worldwide. The Brownsville lo-cation will become the company’s 16thTexas call center, according to the Maximuswebsite.

T-Mobile built the Brownsville call cen-ter, located near the Brownsville EventsCenter, and launched operations there in2007 before pulling the plug in June 2012.

Gilberto Salinas, executive vice presi-dent of the Brownsville Economic Develop-ment Council, said T-Mobile at its height inBrownsville employed around 600 people.

T-Mobile invested $18 million buildingthe call center and put nearly $100 millioninto the local economy in the form of pay-roll during four and a half years, Salinasnoted.

Plus, Brownsville ended up with anempty call center — still the responsibilityof T-Mobile — that it nevertheless couldshop around to other companies, he said.

“What happened in the end we had anasset which was a plug-and-play back officeoperation,” Salinas said. “Quite a few com-panies were looking at it.” EJ

A complete version of this article, written by Steve Clark, can be found at

www.brownsvilleherald.com

Empty call center attracts nationwide company

Source:Texas Workforce Commission

The Rio Grande Valley’s powersupply will be less vulnerable tocoastal storms once an additionaltransmission line from the Laredoarea to the Valley is complete.

In May the Public Utilities Com-mission of Texas approved an appli-cation by Electrical TransmissionTexas LLC for a “Certificate ofConvenience and Necessity” tobuild the proposed 345-kilovolt(kV) transmission line. One kVequals 1,000 volts.

The project will include roughly156 miles of transmission line con-necting ETT’s Lobo Substation nearLaredo with substations north ofEdinburg, plus construction of twonew substations along the line route.

ETT is a joint venture betweensubsidiaries of Columbus, Ohio-based American Electric Power andMidAmerican Energy Holdings Co.,headquartered in Des Moines, Iowa.The cost of the project is estimatedat $397 million — $318 million forthe line alone.

In 2011 the board of ElectricalReliability Council of Texas deemedthe project as critical to the reliabil-ity of the ERCOT system grid in theLower Valley based on the recom-mendation of its engineering com-mittee. ERCOT manages theelectric grid and the deregulatedelectricity market that coversroughly three-quarters of the state.

The new transmission lines andupgrades are all part of what’s beendubbed the “Cross Valley Project,”aimed at ensuring dependable elec-tric service for the Lower Valley andaddressing growing demand forelectricity in the Brownsville area,according to AEP. EJ

A complete version of this article, written

by Steve Clark, can be found at www.brownsvilleherald.com

(Jan-Mar 2013)Border crossings

EcO

NO

MIc

Pu

LSE

RailNorthbound: 10,066 Southbound: 9,895

TruckNorthbound: 43,609 Southbound: 65,601

VehicleNorthbound: 949,228 Southbound: 831,158

PedestrianNorthbound: 511,216 Southbound: 582,175

Source:Texas Center for Border Economic and Enterprise Development

New transmissionline approved


The Mayor touted the All In campaign,as one of the key elements to increasethose educational levels.

“All In Brownsville is about increasingthe number of young adults with post-sec-ondary credentials with labor marketvalue. It’s no longer just to get a degree ora technical degree. It’s about advancingeducation, creating careers, and transform-ing Brownsville,” said Mariana Tumlin-son, coordinator for the campaign.

Martinez later pivoted to discussingjobs and infrastructure while announcingthe opening of a new call center at the for-mer T-Mobile facility on Paredes LineRoad.

He said a Maximus call center willbring 600 jobs to the area and that thosejobs will pay better than the T-Mobile jobsthey’ll replace. The T-Mobile call centerclosed in June 2012, costing nearly 500

people their jobs. The new call center isexpected to begin taking calls in August.

“Maximus understands the value ofBrownsville’s human capital. Our metroarea is the second most bilingual commu-nity in the nation. What they see inBrownsville is simple: the future face ofthe nation,” Martinez said.

Martinez noted improvements by theBrownsville Public Utilities Board con-cerning resacas and the emerging partner-ship with Tenaska Power, which willgreatly multiply the city’s power capacityand open the door for new, larger busi-nesses to relocate to the city.

The mayor went as far as to say thatBrownsville’s access and abilities withwater, thanks to the resacas, and expansionof power capabilities puts the city in thebest position possible in comparison toother cities across the state and nation.

Tying the event’s themes together,

Martinez last turned to the SpaceX project,which aims to bring the world’s first com-mercial rocket launch site to Boca ChicaBeach along with about 1,000 related jobs.

He stressed that the SpaceX projectwas not a done deal, but said bills inAustin appear destined to remove the finalbarriers to the project’s progress.

Officials have said the Federal Avia-tion Administration could make its finalruling this fall on whether it will allow alaunch site in Brownsville.

Locations in Georgia, Florida andPuerto Rico are also being considered, butare not as far along in the FAA process, of-ficials have said. EJ

This article was written by Ty Johnsonand appeared on the Wednesday, May 15

issue of The Brownsville Herald


EJ


State of the city Address

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Note: Lot dimensions are not scale

A development of the Greater Brownsville Incentives Corporation

Contact:Sylvia Rodriguez

[email protected]

North Brownsville Industrial Park

Brownsville Economic Development Council301 Mexico Blvd. Suite F-1 Brownsville, Texas 78520

p.956.541.1183 / 800.552.5352 f.956.546.3938www.BEDC.com

Follow us:

73-acre MasterPlan Industrial Park

Minutes from Port of Brownsville,Brownsville International Airport, I69, and Mexico

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“Texas is a state where a dream can be put to work.”- Texas Governor Rick Perry

It’s a commitment to create and sustain an environment that fosters business and entrepreneurship, trains the workforce of the future, and helps

to your growth and success Come to Texas, we’re

Wide Open for Business

Brownsville (Texas) Economic Journal Summer 2013

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Transcript of Brownsville (Texas) Economic Journal Summer 2013