CONCORD - This year has proven to be a tough one for business in Cabarrus County.
Philip Morris USA announced it would move its manufacturing plant out of the city starting next year. CMC-NorthEast announced and completed a merger with health care giant Carolinas HealthCare System. And CT Communications was sold to Arkansas-based Windstream Communications. Now, Lowe’s Motor Speedway officials have said the track may relocate elsewhere in the Charlotte region, though efforts are being made to retain the business.
Philip Morris’ exit by the end of 2010 will leave a major economic hole for the city to fill, and it’s left Concord City Council to take the lead in ensuring the city continues to recruit new business and pursue economic development.
Councilman David Phillips, seeking re-election for Concord’s District 1 seat, said the first step is to continue to support Cabarrus Economic Development Corp. in recruiting, but also that it may be time Concord employs a stronger, “wholesale” marketing campaign for the city.
“I think Concord can be marketed beyond the EDC,” said Phillips, 57. “I think Concord has arrived where we need a full-time marketing person. I think sometimes there may be (business) opportunities close by that the EDC might not have on their radar.”
Phillips said what may come of the Philip Morris site relies heavily on business decisions to be made by Philip Morris, but that the city should be ready to help them.
“It sort of depends on what property Philip Morris decides to get rid of and when,” he said. “I know we’re ready and anxious to assist them in any way we can.”
As to whether recent drought issues in the region and controversy surrounding the city’s recent permit to draw water from the Catawba river basin would hinder new business coming to the area, Phillips said no.
He said Concord-Kannapolis is still reliant on its own water resources and hasn’t yet begun to pull the approved 10 million gallons a day from the Catawba.
Resident Alex Porter, challenging Councilman Jim Ramseur for the city’s District 2 seat, said that beyond work with the EDC, the city can do more to market the area’s other assets - such as a strong school system.
“I believe the city, the county and (the Cabarrus Regional Chamber of Commerce) should market the other assets we have to entice good business,” Porter, 58, said.
He also said recent disagreements between the city and the speedway may also need to be put to rest so that new industry is not apprehensive about coming to the Philip Morris property.
“We need to work quickly to gain a more business-friendly reputation,” said Porter, adding final decisions to how the Philip Morris site would be developed is up to the company itself.
He also said he thinks there is continued controversy surrounding the city’s permit to draw water from the Catawba river basin that could still hurt business.
Councilman Ramseur, 61, seeking re-election to Concord’s District 2 seat, said Concord’s role to bring new and expanding business to the city is through its annual contributions to the EDC and its tax-incentive grants to businesses.
“And I think we have to look at any other ways we can assists (new industry) - going to the state for help with new roads,” Ramseur said.
He hesitated to say what kind of particular businesses would work best at the 2,100-acre Philip Morris site, only that it was important that the city keep its current zoning for industrial use. He added that economic development officials have been seeking new business for the site since the announcement in June.
Ramseur said there is zoning at the edge of the properties that could be used to build mixed-use developments that would serve as a buffer for the residential areas as the edge of the property.
“People can say they want to see this or that,” said Ramseur. “I think you first put feelers out there and see what comes back.”
He also said he didn’t think Concord’s water woes would hurt economic development.
Local business-owner Tom Small, who is challenging Phillips for the District 1 seat, said the city is obligated to assist the EDC in industry recruitment and bring in a diverse set of businesses.
“I believe that City Council has an affirmative obligation to help economic development folks with any large or small site, help recruit the appropriate business,” he said.
Small, 54, has suggested that a pharmaceutical manufacturer may be a good fit for the Philip Morris site, as well as making for a good fit with Kannapolis’ North Carolina Research Campus.
He also noted that Philip Morris will have the final decision, but that City Council should work with the company as closely as possible without infringing on their rights of ownership.
In light of the city’s water issues, Small said whatever business comes to the site or the city at large, it should not be one that is taxing to water and sewer.
“I would be disappointed if they are recruiting industries that are water-intensive and sewer-intensive as we don’t have the capacity for large industrial water consumers.”
-Eric Deines
