Alabama's economic development success in the coming years may be largely due to the up to $40 million in SEEDS sewn this year.

The State Industrial Development Authority (SIDA) is considering 34 properties across the state under the new Site Evaluation and Economic Development Strategy (SEEDS) Act, part of the Game Plan Economic Development Act approved last year.

SIDA tapped Global base strategy (GLS) from Greenville, South Carolina to assist in the evaluation process.

Of the 34 properties, 16 properties are being considered for SEEDS site evaluation costs and 18 properties are being considered for SEEDS site development costs. He has $42 million in requests from applicants, but not all will be approved as there is $40 million in grants available.

SIDA's team selected 19 sites for initial evaluation to maximize the potential of the initial $40 million grant. These sites are being evaluated for projects that are capital intensive, labor intensive, or a mix of both.

The team conducts site visits and site selection simulations for three types of projects, comparing sites to locations in three other states that regularly compete with Alabama. The team also conducts an impact analysis of site improvements and prioritizes recommendations for improvements.

“The communities that applied for SEEDS funding provided several promising new and existing industrial sites for GLS to evaluate,” said Economic and Community Development Director Shane Carney. alabama power I am a member of the evaluation team. “The industrial products developed through the SEEDS Act will soon be available for sale to future businesses, making economic development projects in the state even more competitive.”

SEEDS was a hot topic at last month's event. Alabama Economic Development Association (EDAA) 2024 Winter Meeting.

President Greg Barker Alabama Economic Development Partnershipsaid there were 42 applications for SEEDS dollars during last year's first-ever application period. After that, the number of 42 people was reduced to 34.

“It's clear to everyone that the demand is there,” Barker said.

A panel discussion about the SEEDS program at the EDAA conference included Cedric Colbert, a GLS consultant working on site assessments in Alabama.

Colbert told the Alabama News Center that the 19 sites selected by the SIDA team for initial assessment are spread across the state.

“We visit sites in rural Alabama as well as the Birmingham, Mobile and Huntsville areas. We have a really good spread of rural and urban areas across the state,” he said. Ta.

The SEEDS project has tiered matching requirements based on location.

Colbert said Alabama, like other states, needs more places suitable for economic development because of its industrial prospects. Alabama isn't the only state pouring money into preparing more properties.

“Over the past few years, we have seen a rapid increase in states across the country passing legislation that prioritizes site development and site preparation efforts, which is why Alabama is following suit with the SEEDS program. I applaud them for doing that,” Colbert said. .

Alabama's $40 million is larger than state allocations for site evaluation and development in North Carolina ($10 million), Mississippi and Tennessee ($20 million each), but Virginia ($90 million) and Kentucky and New York State ($200 million each). or Ohio State ($750 million).

Other public and private land development grants and programs are also available in states, including Alabama. For example, the Growing Alabama Tax Credit allows private funds to be used to improve public facilities for economic development purposes.

Barker said sites currently submitted for SEEDS evaluation could later be submitted for SEEDS development funding if more funding is allocated to the program. After initial development, that same site can receive Growing His Alabama investment and be ready for marketing to potential customers.

“Think of[SEEDS]as more of a speculative real estate development that we're going to set up. Then Growing Alabama will be tapped into. It's about completing the development of the site and acquiring the project. Think about it,” he said. “That's how things evolve and work.”

Barker said SEEDS was already showing signs of success before the $40 million was allocated.

“This program worked exactly as we hoped it would,” Barker said. “He has one piece of land that has been claimed, a little over 400 acres, that no one would have noticed if it hadn't been filed with SEEDS.Ministry of Commerce The project manager has submitted the 400-acre site to an RFP (Request for Proposal), and prospective buyers are expected to consider the 400-acre site next week. ”

Colbert said this is an example of why communities need to constantly evaluate what they have when it comes to potential industrial land.

“This is an opportunity for communities to identify which land within their community is suitable for industrial use and, once they have identified parcels suitable for industrial use, what improvements need to be made to create those sites. “It gives you a competitive edge to be viewed favorably by site selection decision makers, including consultants and business users themselves,” he said.

Colbert said this is also an indication that it may be worth updating the program.

“We are hopeful that Alabama will decide to update this program for next year and perhaps allocate additional funding,” he said. “Whether or not that happens, we have other programs like Growing Alabama out there as well, so we want to educate the community about what sites are available and where maybe the deficiencies are. We encourage them to stay on top of what kind of investments they want to make strategically, to make them more attractive.”

Provided by Alabama News Center.