2015 ECONOMIC DEVELOPMENT ANNUAL REPORT

WHERE BIG IDEAS GROW

FREDERICK COUNTY, MARYLAND

A DRIVING FORCE ASTRAZENECA/MEDIMMUNEAstraZeneca is undergoing a 40,000 SF, $200M expansion that will add an additional 300 employees to their already 595 strong workforce. The project is expected to be completed by mid-2017.

CARROLL CREEK PARKThe $15.8M second phase of construction was underway in 2015 for Carroll Creek Park. More than $100M in new and renovated private construction is planned along the new section, which will eventually result in hundreds of new jobs and increased local and state tax revenues.

CRESTThe Frederick County Center for Research and Education in Science and Technology (CREST) was created to support Frederick’s growing STEM industries. In May 2015, Governor Hogan signed a bill codifying CREST’s governing board. CREST will serve as the County’s regional higher education center with a sole focus in advanced science, technology, engineering and mathematics.

DOWNTOWN HOTEL & CONFERENCE CENTERThe Downtown Hotel & Conference Center is a catalytic economic development project and a top economic development priority. The $64M project will feature a 207 room full-service Marriott Hotel with on-site parking and 24,000SF of meeting space, including two ballrooms.

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Frederick County is where bold, innovative companies turn big ideas into economic prosperity. The mission of the Frederick County Office of Economic Development (OED) is to increase the overall economic health of Frederick County through attracting new businesses in our targeted industries and helping existing businesses become more successful. We are the catalyst for economic growth in Frederick County.

A COMMUNITY EVOLVED * DATA REFLECTED IS THE MOST RECENT DATA AVAILABLE.

· Maryland Public Schools graduation rates hits record high of 86.4% .FCPS graduation rate was even higher at 92.6%.· Movoto Real Estate names Frederick as the # 5 Most Caring Suburb in America.A YEAR OF ECONOMIC SUCCESS

JANUARY

DOWNTOWN INNOVATION CENTERThe framework necessary to establish a Downtown IT business incubator at 118 N. Market St. began when OED moved to the building in May 2015. In partnership with the Frederick Innovative Technology Center and private industry representatives, the goal is to create an atmosphere of innovation and spur IT business growth.

FLYING DOG BREWERYAs Maryland’s largest craft brewer, and headquartered in Frederick, Flying Dog announced interest in 2015 to expand by 150,000 SF and add 250 employees.

FORT DETRICKFort Detrick, the County’s largest employer with 9,000 employees, is a critical economic engine. The 2015 Maryland Military Installation Economic Impact Study, measured the economic impact of military installations on the state’s economy. Utilizing base-specific payroll, procurement, visitor and other spending from FY 2008-FY2012, the study found that Fort Detrick contributed $7.0B or 13.5%, the 3rd highest in the state. Additionally, $63M in expansion/recapitalization projects occurred on Fort Detrick in 2015.

WESTVIEW AREA GROWTH CORRIDORThe Westview area saw the most commercial growth in 2015, with the new retail and hotel construction. Ripe with commercial opportunities, including Westview South, a 100-acre mixed use development, The Offices at Westview, 200,000 SF of prime office space and the Russell Property, 104 acres that can support more than 400,000 SF of flex and office space. Wedgewood South offers additional high-bay warehouse and flex space. In June, Governor Hogan announced funding to support the MD 85/I-270 interchange, a $110M project and the #1 transportation priority in the County.

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All roads lead to Frederick County. Within an hour from both Baltimore and Washington, D.C., 1/3 of the U.S. population is within a day’s drive. As the largest county in Maryland, it is also home to the second largest city in Maryland, the City of Frederick. Intersected by five interstates and national highways, Frederick is the Northern anchor of the I-270 Technology Corridor. Three major airports are within an hour’s drive: Baltimore-Washington Thurgood International, Ronald Reagan National, and Dulles International. Businesses soar here.

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· Maryland Public Schools graduation rates hits record high of 86.4% .FCPS graduation rate was even higher at 92.6%.· Movoto Real Estate names Frederick as the # 5 Most Caring Suburb in America.

· Exec Gardner restored the name of OED, reinstated support for agriculture and established a Business & Industry Cabinet.

· 1st Frederick County Minority Business Vision Forum held.· OED won the marketing award from the MD Economic Development Association for PRFrederick.· Canam Steel honored for contributions in MD manufacturing by RMI in front of 600 people.

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MARCH MAY

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FREDERICK HOMEGROWN Frederick County has been harvesting revenues in agriculture longer than any other industry. The future of agriculture is here and advances in technology, agritourism and the buy local movement are leading the charge. FREDERICK COUNTY IS #1 IN THE STATE OF MARYLAND FOR:

» VALUE OF SALES FROM: cattle and calves, milk from cows, other crops and hay

» NUMBER OF ACRES FOR: forage-land used for all hay and haylage, grass silage and greenchop, corn for silage

» TOP LIVESTOCK INVENTORY ITEMS: turkey, cattle and calves, hogs and pigs

» LEADING THE WAY IN WINE, HOPS AND SPIRITS: first meadery (Orchid Cellars Meadery and Winery), first cidery (Distillery Lane Ciderworks), first farm brewery (Milkhouse Brewery at Stillpoint Farm), largest winery (Linganore Winecellars/Berrywine Plantations), first federally designated grape growing area (Linganore Viticultural Area)

In 2015, OED began the work to develop HomegrownFrederick.com, a website and brand to combine resources for agricultural products and agritourism harmoniously. After the state of Maryland legalized medical cannabis in 2013, OED worked toward definitions for growing medical cannabis in ag-zoned land.

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· Frederick named a Top 10 Best Place to Live Post Military Life by The Military Times.· OED exhibited at BIO2015 to over 200,000 worldwide attendees in the life science industry.· Livability.com named Frederick a Top 10 Best Places to Live in America (#32).

ECONOMIC STRENGTH * DATA REFLECTED IS THE MOST RECENT DATA AVAILABLE.

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· OED honored the County’s Best Places to Work: Antietam Technologies, NASW

Assurance Services (ASI), Nymeo, AstraZeneca

JUNE JULY

· Money Magazine named Urbana a Best Places to Live in the U.S.· Frederick County Council passed the Commercial & Industrial Business Tax Credit for manufacturers. · 2nd edition of Homegrown Frederick was produced by OED and Frederick Magazine.

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FREDERICK ENTREPRENEURISMFrederick County is where start-ups go to maximize resources and potential. By working with our partners, we help get businesses up and running.It’s no surprise that the Frederick office of the SBA’s Small Business Development Center was the busiest small business development office in the region for 2015.

SMALL BUSINESS DEVELOPMENT FY11 FY12 FY13 FY14 FY15

Business Starts 5 7 8 12 14

Jobs Created 13 21 22 47 76

Loan Dollars $100K $428K $429K $3.9M $1.2M

The Women’s Business Center, in partnership with OED, was established in 2015 to support Frederick’s women-owned businesses. The Women’s Business Center hosted 16 events and counseled 19 women-owned businesses.

In 2015, OED established the Main Street Managers Roundtable to recognize the County’s unique position with five Maryland Main Street communities. OED led a Shop Downtown marketing campaign designed to encourage people to shop locally and shop small.

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STATISTICS GATHERED DURING 2015 BUSINESS APPRECIATION WEEK 100 Companies Participating • 3,665 Employees represented

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ROAD MAP FOR BUSINESS OED helped make navigating the business start-up process easier with a Road Map to success.

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ROAD MAP FOR BUSINESS

START-UP BUSINESS RESOURCES1. Develop a Business Plan

• Small Business Development Centerwww.discoverfrederickmd.com/sbdc | 301-600-1967

• Frederick County Public Libraries Business ResourceCenter provides market research information www.fcpl.org301-600-1630

• Women’s Business Center www.marylandwbc.org/301-315-8091

• SCORE Frederick Chapter free counselingwww.scorefrederick.org | 240-215-4757

2. Choose a Business Structure• U.S. Small Business Administration www.sba.gov• For information about registration requirements for legal entities,

contact the State Department of Assessments and Taxation(SDAT) www.dat.state.md.us | 410-767-1340

3. Consider Business Incentives and Financing• Small Business Administration (SBA) Loans

www.sba.gov/content/sba-loans• Maryland Department of Commerce

commerce.maryland.gov• Frederick County Small Business Loan Guarantee

Program www.discoverfrederickmd.com | 301-600-1058• Neighborhood Business Works Loan Program in

Sustainable Communitieswww.neighborhoodrevitalization.org/programs | 410-514-7237

• Façade Improvement Grants and local incentives - administeredby municipalities and Main Street Maryland organizations.

• OED Job Creation and Property Tax Creditswww.discoverfrederickmd.com | 301-600-1058

4. Register your Business Name, Verify the Right to Use theName and Establish Tax Accounts• State Department of Assessments and Taxation (SDAT)

and the Maryland Comptroller’s Office Central BusinessLicensing and Registration Portal egov.maryland.gov/easy

5. Get a Federal Employer Tax Identification Number (EIN)• Internal Revenue Service (IRS) www.irs.gov | 410-962-2590

6. Obtain Business Licenses by Business Type• Traders licenses are administered by the State of Maryland at

the Frederick County Courthouse Clerk of the Circuit Court301-600-1962

• Regulatory Licenses for industry specific licenses, as required – Maryland Division of Occupational and ProfessionalLicensing http://commerce.maryland.gov/start/licensing

• Frederick County Health Department oversees all food service301-600-1029

• Frederick County Liquor Board administers alcohol licenses301-600-2984

• Additionally, check your local municipality to see if a localbusiness license is required.

7. Explore Options for a Business Location• Showcase.com, powered by CoStar, allows the public to search

through some advertised properties for free or to upgrade to havecomplete access to all listings.

• Loopnet.com allows the public to conduct basic searchesfor free or upgrade as a Premium Subscriber for morecomprehensive services.

• OED provides comprehensive CoStar reports for availableproperties as well as business incubator and shared office spaceinformation www.discoverfrederickmd.com | 301-600-1058

8. Obtain Proper County and Local Permitting and Zoning Approvals• Businesses, including home-based businesses, are subject to

County or municipal zoning restrictions. Determining zoningrequirements before signing a lease or contract is imperative.www.frederickcountymd.gov/175/Zoning-Atlas

• If your business is located in the City of Frederick or the Town ofMount Airy, contact them directly for permits.

• City of Frederick Building/Permits One Stop Shop140 W. Patrick St., Frederick, MD 21701www.cityoffrederick.com/index.aspx?NID=214 | 301-600-3808

• Town of Mount Airy County Permits Department225 North Center St, Room 118, Westminster, MD 21157www.mountairymd.org/zoning-and-permits | 301-829-1424

• For all other areas, submit a Zoning Certificate/Building Permitapplication in person at the Frederick County Department ofPermits and Inspections located at 30 N. Market St. Frederick.Applications are accepted Monday-Friday from 8:00am to 3:00pm.www.frederickcountymd.gov | 301-600-2313

• Additional Plumbing, Electrical or other permits may benecessary depending on the scope of your project.

• Additional applications for Sign permits are necessarydepending on the jurisdiction.

• Once approved, the County will forward to the localmunicipality if the location is in a municipality. Municipalapproval is also needed.

9. Prepare for Employees• Maryland Insurance Administration

insurance.maryland.gov | 410-468-2000• Frederick County Workforce Services provides assistance with

hiring and training www.frederickworks.com | 301-600-2255• Information on state requirements for hiring employees –

Maryland Division of Labor and Industry www.dllr.state.md.us/labor/emplaws.shtml | 410-767-2241

• Social Security Administration provides guidance onwithholding Social Security and Medicare taxes and reportingemployees’ annual earnings www.ssa.gov

10. Next Stop: Success• There are other resources to consider as you open for business such

as banking, marketing and sales. To discuss your project further,please call OED at 301-600-1058 for assistance.

Frederick County, Maryland Office of Economic Development (OED)

118 N. Market Street, Frederick, MD 21701301-600-1058 | www.discoverfrederickmd.com

AUGUST SEPTEMBER

FREDERICK INNOVATIONGreat things happen in Frederick County with outstanding companies who rise to the top of their industries. We invest in our workforce and reward innovation.

OED ANNUAL BUSINESS RECEPTION AWARD WINNERS IN EMERGING TECHNOLOGIES» Patriot Technologies – recognized by Cybersecurity 500 as one of the World’s Hottest

Cybersecurity Companies in 2015.

» American Association for Laboratory Accreditation (A2LA) – the only independent, non-profit, internationally-recognized laboratory accreditation body in the U.S.

» Welocalize – recognized for the 11th consecutive year as an Inc 5000 Fastest Growing Company.

» RoosterBio, Inc – starting as an incubator company, their stem cell research is leading the way in stem cell manufacturing.

» GlamourView Farm – blends technology and agriculture in new ways with robotics.

POWER OF MANUFACTURERS Recognizing that innovation in energy savings in manufacturing is a national trend, OED hosted an event for manufacturers, in partnership with Potomac Edison, on energy resources and programs. Stulz Air Technology Systems, a major employer with 400 employees, added 230,000 SF of solar panels in 2015.

FREDERICK COUNTY BEST PLACES TO WORK AWARDSWinners were chosen based on employment size, median salary, turnover rate, benefits, leave options, charitable contributions, professional growth opportunities, diversity and sustainability practices.

» Small (1-10 Employees) – Antietam Technologies

» Medium (11-50 Employees) – NASW Assurance Services (ASI)

» Large (51-200 Employees) – Nymeo

» Major (200+ Employees) – AstraZeneca

FREDERICK PEOPLEFrederick County is a place with well-educated and highly-skilled people.In 2015, Frederick County Workforce Services (FCWS) joined with OED to take advantage of business partnerships and maximize resources for businesses and workers alike.

TRAINING FREDERICK’S IT AND MANUFACTURING WORKFORCEBoot Camp for Manufacturers launched in 2015 as a result of strong ties between OED, FCWS, FCC, a staffing agency and the manufacturing community. The program gives unemployed or new-to-manufacturing workers free training and employment possibilities.

Tech Frederick, an information technology group for Frederick businesses, in partnership with OED and FCWS, was awarded a State of Maryland EARN grant to train IT candidates pursuing careers in the field. The first Cross Functional Training was held in 2015 and at the end of the year-long program, graduates will be given interviews with local IT firms for employment consideration.

MINORITY BUSINESS OUTREACHThe Frederick County Minority Business Vision was established in 2015 with the assistance of an initiative advisory committee comprised of minority business owners and advocates. The initiative hosted 6 events that averaged 35 attendees at each.

· 1st Tech Frederick training was offered as a result of EARN Maryland.· Shop Downtown campaign launched, in partnership with main street communities and Tourism.

· 15th Annual Business Appreciation Week recognized 100 companies by 62 ambassadors.· OED hosted Family Festival at the Farm with 18 participating farms.

OCTOBER

· Commercial Realtor Bus Tour promoted the County as a Most Valuable Place (MVP) to 50 regional brokers.· Shop Small Business Saturday “Sing for Your Neighborhood” initiative was spearheaded by OED.

· OED honored 5 businesses for emerging technologies: Patriot Technologies, RoosterBio, Inc, Welocalize, A2LA, and GlamourView Farm.

FREDERICK OPPORTUNITYFrederick County’s commercial opportunities provide unlimited possibilities for companies to succeed. In 2015, companies said the top 3 reasons they chose Frederick County were location, quality of life and growth.

2015 SELECTED ANNOUNCED LOCATIONS AND EXPANSIONSCOMPANY SQUARE FOOTAGE ADDED NEW JOBS

Costco Distribution Center 595,480 SF 200

Victory Van Corporation 42,000 SF 75

Miscellaneous Metals 40,000 SF 120 retained

U.S. Pharmacopial Convention 25,000 SF 100

Canam Steel 20,000 SF 10

Smoketown Brewing Station 16,000 SF 10

Regent Education 15,000 SF 45

Pain and Spine Specialists of MD 10,000 SF 10

FoodPRO 7,200 SF 0

BioFactura/Poochoon Scientific 5,520 SF 11

Blue Pillar 5,000 SF 60

270net Technologies 2,900 SF 10

MAJOR DEVELOPMENT AREAS1. Downtown Frederick 2. Riverside 3. Thomas Johnson Drive 4. Golden Mile 5. Jefferson Place Town Center 6. Ballenger Center 7. Westview Corporate Campus 8. Russell Property 9. Westview South

10. Wedgewood Business Park 11. Wedgewood West 12. McKinney Business Park 13. Westview Business Park 14. Frederick Corporate Park 15. Urbana Corporate Park 16. Alcoa Property 17. Century Center 18. Stanford Industrial Park

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NOVEMBER DECEMBER

COMMERCIAL REALTOR BUS TOUR OED’s bi-annual Commercial Realtor Bus Tour showcased Frederick’s opportunities to over 40 selected regional brokers.

118 N. Market St. Frederick, MD 21701

CONNECT WITH US TO LEARN MORE. Frederick County Executive Jan H. Gardner

FREDERICK COUNTY COUNCIL

FREDERICK COUNTY OFFICE OF ECONOMIC DEVELOPMENT Helen Propheter, DIRECTOR Katie Albaugh, BUSINESS DEVELOPMENT SPECIALIST, AGRICULTURE Jodie Bollinger, BUSINESS DEVELOPMENT SPECIALIST, COMMERCIAL REAL ESTATE AND MANUFACTURING Sherman Coleman, BUSINESS DEVELOPMENT SPECIALIST, MINORITY BUSINESS OUTREACH Sharon Hipkins, ADMINISTRATIVE SPECIALIST Sandy Wagerman, RESEARCH & MARKETING SPECIALIST, MUNICIPAL RELATIONS

SMALL BUSINESS DEVELOPMENT CENTER Brandon Mason, FREDERICK COUNTY CONSULTANT AND REGIONAL TECHNOLOGY LIAISON

Bud Otis, PRESIDENT M.C. Keegan-Ayer, VICE PRESIDENT Tony Chmelik Kirby Delauter

Jerry Donald Jessica Fitzwater Billy Shreve

118 N. MARKET ST. FREDERICK, MD 21701 | 301-600-1058 | WWW.DISCOVERFREDERICKMD.COM