MISSION, RGV - The year in Mission, Texas, started with a visit by Secretary of State Nandita Berry to a massive new manufacturing plant run by Royal Technologies that specializes in developing automotive, office furniture and consumer products.
The year ended with an announcement by Southwest Steel Coil, Inc., that it is expanding its operations through the acquisition of a 7-acre site with rail access in the Mission Expressway Business Park. Between 25 and 40 jobs are being created by a company cuts to stainless steel and aluminum from master coils of 40,000 to 45,000 pounds.
Sandwiched between these two events, Mission continued to expand, being judged by WalletHub as the fastest growing small city in the United States. Its economic development corporation won a statewide award for its efforts to help start-up businesses and its EDC leadership played a key role in bringing numerous members of Congress to the Rio Grande Valley.
“2014 has been a great for Mission, Texas, and 2015 promises to be even better,” said Mission Mayor Norberto “Beto” Salinas.
The success in helping attract Royal Technologies to the Mission Expressway Business Park was considered a real coup among economic development leaders because it is one of those projects that one normally expects to see in Reynosa, Mexico. Sitting on 12 acres, the Class A, 325,000 square foot manufacturing facility will, at capacity, see the creation of at least 500 jobs. During Secretary of State Berry’s visit, Mission EDC CEO Alex Meade told the Guardian he had been working with Royal for the past two years.
Mission EDC CEO Alex Meade says 2014 was a solid year of growth for his city.“We met with Hi-Tech (Plastics of Mission) first, and at the time they told us they were forming this little gentleman’s agreement with this company out of Michigan,” Meade said. “They needed to make some room in their current high tech plastics plant for some machines. They were asking if we could help with a $50,000 investment, which we did. That $50,000 investment turned into a $20 million return on the investment because they saw the opportunity and ended up buying this property and building this.”
Royal Technologies President Jim Vander Kolk announced in April 2013 that after much consideration looking at various sites across the nation, the company chose to expand its operations in Mission. In an interview with the Guardian he praised Texas’ business-friendly climate.
“I wanted the Secretary of State to know that Texas has a message that works and this plant is a living example of that. They have a winning attitude and a formula to help us achieve success. I just want to encourage them to do more of that. In today's world there is too much noise in the system in government. This State has been able to take that noise out and move forward.”
For her part, Secretary Berry said the Royal Technologies facility was “absolutely outstanding,” calling it a true example of what makes Texas such a great state. “The facility is fabulous, but Jim’s (Vander Kolk) point is it’s the people who make the facility,” Berry said. “I think the story that we are able to tell with him about manufacturing in this region, the skilled workforce, are all highlights of Texas.”
Texas legislators who participate in the Valley Legislators Tour organized by the RGV Partnership will visit Royal Technologies’ huge plant in Mission late next month.
The process of luring Southwest Steel Coil to Mission started with a referral from McAllen Economic Development Corporation, Meade said. “This project is not only an example of two neighboring communities, like Mission and McAllen, working together to strengthen the region but an indication of the region’s business-friendly climate, commitment to customer service and it’s highly skilled workforce,” Meade said.
Ed Camden, president of Southwest Steel Coil said his company’s head office is in located in Santa Teresa, New Mexico. “We are a processor and distributor of flat-rolled steel and aluminum. The company’s growth in New Mexico has come primarily from helping to create ‘a more local supply chain’ by capturing business formerly provided to original equipment manufacturer (OEM) companies from outside the local market. We are hoping to duplicate that business model and success in Mission”, said Camden.
David Deanda, chairman of the MEDC, said all the hard work in negotiating with Southwest Steel had paid off. “The creation of up to 40 jobs is a substantial number of new jobs for a city like Mission; these are great jobs that will support families,” Deanda said. Mayor Salinas agreed. “Southwest Steel’s expansion into Mission is a testament to the prosperous business climate that this region offers,” Salinas said.
The recognition by WalletHub of Mission’s growth came in September. They identified the cities that have expanded most rapidly in socio-economic terms between 2008 and 2013 by analyzing 516 U.S. cities of varying sizes across 10 key metrics, ranging from population growth rate to unemployment rate decrease. They ranked Mission No. 1 in the small city category.
In August, MEDC CEO Meade announced that according to Census Bureau projections, Mission is now the third largest city in the Valley. He said that through the first half of 2014, unemployment was down over last year and has dropped to its lowest point on average since 2008. “Mission’s retail stores and restaurants are humming this year and the city stands to have its biggest year yet for retail. On construction, residential building is a bright spot and through the first six months, it’s the busiest in three years,” an MEDC news release stated.
Meade argued that as the economy begins to turnaround, businesses are seeking to expand in Mission.
“The City of Mission is very pro-business and pro-growth, and with the economy getting stronger, we are perfectly situated to take advantage of it. Due to the city’s quality of life and school districts, people keep choosing Mission to buy and build new homes,” he said.
“Our retail, manufacturing and government sectors remain strong and continue to add jobs. This is a testament to the strong economy in the State of Texas and the Valley as a whole.”
In June, the Texas Economic Development Council (TEDC) announced the recipients of its annual Workforce Excellence Awards for 2014. The idea is to recognize “exceptional contributions by a Texas community or region that has implemented successful workforce initiatives.” The TEDC’s Workforce Development Committee reviewed applications from 12 communities and organizations. Nominees were then judged on five criteria: innovativeness, transferability, community commitment and leverage, measured objectives, and secondary benefits.
For cities with a population of between 40,001 and 100,000, Mission EDC came first for its Ruby Red Ventures program. Ruby Red is a $100,000 small business fund that aims to nurture entrepreneurial spirit and promote the creation of innovative businesses in the city. In particular, it seeks to encourage entrepreneurially oriented Rio Grande Valley residents to expand and or launch new ventures. The goal is to allow participants to gain a better understanding of how to develop and follow a realistic business plan, as well as provide the participants with forums in which they develop skills in presenting their ventures.
Among the Texas congressman to visit the Valley in 2014 as a result of Meade’s leadership efforts were Kevin Brady of the Woodlands, Mike Conaway of Midland, Bill Flores of Waco, Roger Williams of Cleburne, and Randy Neugebauer of Lubbock.
Click here to view a previous story about Royal Technologies co-authored by Joey Gomez and Steve Taylor.
Editor's Note: This is the first in a two-part feature on economic development in Mission, Texas, in 2014. Part Two will be posted later in the week.
