2005 Annual Report Executive Summary
Southernmost Illinois Delta Empowerment Zone
In 2005 the Southernmost Illinois Delta Empowerment Zone (SIDEZ) completed year seven of zone designation. Since 2000, SIDEZ has received $13,041,318 in EZ grant funds (and leveraged millions more from other funding sources). SIDEZ has obligated all EZ funds received and has spent $10,551,602 (84%) on activities benchmarked in the strategic plan. The empowerment zone has made over 500 grants to units of government and not-for-profit organizations. This record of putting money to use in support of the strategic plan has been achieved despite delays in receiving federal appropriations the past three years and during the first year of designation.
One of the major accomplishments during 2005 was the dedication of the Pulaski County Business Center, a 12,000 square foot small business incubator in Mounds. Planning for the project began in 2001. Less than six months after the June 18, 2005 ribbon cutting and dedication ceremonies, the building was fully occupied by four retail tenants and one industrial supplier. At the dedication ceremonies, US Representative Jerry Costello was honored for his role in helping secure Economic Development Administration funding for the project. Other funds came from the Delta Regional Authority, the State of Illinois, USDA Rural Development and SIDEZ. The conference room in the building was named after retired USDA area supervisor Marvin Teckenbrock. The Southernmost Illinois Delta Empowerment Zone, Inc., the lead entity for the zone, moved their corporate headquarters to the new incubator building and entered into a long-term agreement to manage the facility for Pulaski County.
Another major accomplishment during the year was the purchase of 360 acres of land for use as a regional industrial park by the Southern Illinois Stimulus Corporation, a regional not-for-profit economic development organization. Multiple funding sources were used to complete the purchase, including empowerment zone funds, a USDA Community Facility loan and Rural Business Enterprise Grant and a donation from Pulaski County. In the past, lack of a large developable parcel of land has put the area at a competitive disadvantage in competing for new businesses. Camoclad, a manufacturer of camouflage systems, began production in a new 13,000 square foot facility located at I-57, exit 8. They employ ten persons. A second manufacturing firm, RBS China, broke ground on a factory on an adjacent parcel of land. They will employ 28 persons during their first year of operation. Pulaski County Development Association purchased additional land for development at the same Interstate exchange.
Access to other industrial sites was improved. Johnson County 2000 completed construction of an asphalt road to serve five sites in the Johnson County Industrial Park and the City of Mounds extended a road that serves Oil-Dri, one of Pulaski County’s largest employers. SIDEZ continued to support local entrepreneurs with low cost financing and entrepreneurship training. Nine new business loans valued at $365,600 were made during the year. SIDEZ has made forty-two business loans since establishing loan programs in 2001. Fourteen youth and thirty adult entrepreneurs participated in SIDEZ supported entrepreneurship training programs.
A major milestone in public transportation was achieved during 2005. Shawnee Mass Transit District (SMART) was awarded $600,000 in Downstate Operating Assistance Program funds from the State of Illinois to expand and improve their service. SMART has been seeking a state appropriation since the district was formed in 2000. SIDEZ provided seed capital to the district to hire their first director in 2002.
Significant progress was made in removing blighted vacant structures. Sixty-two blighted structures were removed and the lots prepared for redevelopment. Since designation, SIDEZ has assisted eleven units of government in removing nearly 150 structures identified as a health and safety hazards.
SIDEZ and the Southernmost Illinois Tourism Bureau conducted an aggressive tourism marketing campaign matching EZ funds with a Tourism Marketing Partnership Grant from the Illinois Bureau of Tourism. Approximately 3,500 persons requested information about the area as a result of the marketing campaign.
The empowerment zone made progress in addressing all seven goals of its strategic plan (infrastructure, economic development, tourism, stronger unity/sense of community, life-long learning and education, housing and health care.) Examples of projects conducted in support of the strategic plan include: construction of boat docks, improvement of parks and other community facilities, purchase of essential public safety equipment, leadership training, rehabilitation of homes, flood mitigation, road upgrades and after school tutoring.
As SIDEZ prepares to enter the eighth year of zone designation, the SIDEZ Board of Directors decided to develop a sharper focus for the remaining years of the zone. They established a “focus committee” to make recommendations regarding activities that would have the most lasting impact on the area. Economic development and community clean-up were identified as the two areas that would provide the best opportunity for sustainable development. Starting in 2006, SIDEZ will budget substantial empowerment resources in these two areas.