Mitch Carmichael: Nucor is the largest recycler of metal in America, and so one of the things that was critical in the siting location is to make sure they had a stream of those potentially recycled products to utilize in their production process. So we feel really good about recruiting a company that is aware of the environment and just making sure that they are aligned with all the goals and objectives of our society now.

 

Amanda Ellis: That’s the voice of Mitch Carmichael, State Secretary of Economic Development in West Virginia. He’s here to share with us about a big win in the state this year, landing the largest investment in West Virginia history when Nucor Corporation, the largest steel producer in the US, as well as one of the cleanest and most sustainable, chose West Virginia for a two and a half billion dollar project.

 

I’m Amanda Ellis, and you’re listening to Inside America’s Best Cities, a podcast for chamber, economic development and town attraction professionals on how your community can be an even better place to live. To learn more about this podcast, visit livabilitymedia.com. With that, let’s jump in.

 

Welcome, Secretary Carmichael, to inside America’s best cities. Thanks so much for hopping on today. To share a little bit about West Virginia’s success with the Nucor Project. To kick us off, can you tell us about Nucor and just give us an overview on the company, some of the details of the project, and why this is such a big deal?

 

Mitch Carmichael: Well, sure. Thank you, Amanda. As most of your listeners might be aware, Nucor is one of the world’s largest manufacturers of steel. In fact, they’re the largest re-manufacturer and recycler of steel products. So they’re a Fortune 150 company, among the largest 150 companies in the world, and they did a nationwide search. They wanted to be really in the Eastern time zone, it could have been the Central as well, when they were selecting a site for their most advanced, new, green powered steel manufacturer.

 

So they did, again, a nationwide search and conducted in-depth interviews with many states, and finally settled in on West Virginia along the Ohio River Valley in our state. It’s just an amazing transaction. We are so thrilled with the company. The company is so well represented. They have a great value system. We feel so good about working with Nucor, their leadership team. They put integrity first in their process, and so it was a very good working relationship with Nucor as we went through this process.

 

Amanda Ellis: Yeah. From the research I’ve done, it does seem to be a great fit. From what I understand, this is the largest investment in state history. Is that right?

 

Mitch Carmichael: Yes, that’s a great point, is that this investment by Nucor represents the largest private sector investment in the history of West Virginia. Frankly, it’s the largest corporate investment for Nucor in their corporate history as well. The projections will be well over $4 billion in private sector investment. It really does have a cultural fit in our state, in that area of our state in particular, with the historic steel manufacturing, aluminum manufacturing, those heavy industries, that Nucor is taking to the next level with more green orientation in terms of their power and just a de-carbonization footprint as well. So this is revitalizing an area in our state and the workforce for the next generation of heavy industry.

 

Amanda Ellis: Milestones all around for both the company and you also. That’s awesome. Did the team working to land this project do anything especially out of the ordinary that you feel like sealed the deal that you could talk about?

 

Mitch Carmichael: Well, what I will say is, and this is a comment that comes from the customer, Nucorr, is that they have encountered no state or no economic development entity that was more diligent, dedicated in terms of responsiveness, and the flat organizational structure in our state in which we could gather all of the decision makers on a very short notice. That includes our congressional delegation all the way down to local city county governments. Governor Justice in West Virginia is very adamant about making quick decisions and getting people in a room that can execute on the deliverables. That comment came back to us from the prospect, and not just, frankly, Nucor. Others have said the same thing, how impressed they are with our responsiveness, quick decision turnaround.

 

Amanda Ellis: Yeah. Those things go a long way, well, just being organized, having everything in place so that you can make it smooth. So that is great. Talk a little bit about the overall timeline. How long did all of this take to come to fruition?

 

Mitch Carmichael: It’s funny how these things germinate. The genesis of the project was actually several years ago in which a team from our development office went to Charlotte, the headquarters for Nucor, met with some of their executives, and just talked to them about the advantages, frankly, of being in West Virginia now, with the changes from a political perspective, judicial climate, tax structure, all of the great infrastructure components that we’re bringing forth in West Virginia, and just planted that seed.

 

Then once the project was announced that there would be a project, then the decision making process went… I don’t know, I’m going to say from maybe two months, two, three months. That involved looking at several locations in West Virginia and then putting together the incentive packages and the things that were necessary to just consummate the transaction. It happened very quickly. In fact, it was really a neat, really good moment that the state of the state address in West Virginia, the governor was able to announce that very day the signing of the Nucor memorandum of understanding. So Nucor, to their great credit, went to the town, the county in which they will be locating, and provided a million dollar check to the local school system. Again, just a great moment for our state, for that community, and I think for Nucor as well.

 

Amanda Ellis: Yeah, talk about a great introduction.

 

Mitch Carmichael: Very committed to the local education and to public education. So again, I can’t highlight enough what a great company they are to work with and just the great cultural fit for our state.

 

Amanda Ellis: Yeah, it definitely seems that way from stalking them on LinkedIn a little bit to prep for this. Yeah, it seems like they’re doing a lot of good stuff, so that’s always great to see. So thinking about some of the workforce challenges that communities are facing all across the country, and remind me, how many jobs will this project represent at full capacity?

 

Mitch Carmichael: At full capacity, roughly 900 full-time equivalents in the plant. There will be many other jobs associated with the project, but within the plant, 800 to 900 jobs.

 

Amanda Ellis: Gotcha. So I know it’s something that you and everyone in the field are thinking about, how are you making sure that you’re prepped to have all the employees that they’ll need as they ramp up to that full capacity? It sounds like they’re doing some recruiting outside and maybe bringing some people from within the company from other locations, but what can you share about that, making sure that they have that solid base of good people?

 

Mitch Carmichael: That’s a great question, and I’m so excited to answer it because this is one of the things in which West Virginia really shines as we’re recruiting these world class companies. Couple of data points I want to provide to you and to your listeners is the people of West Virginia, it’s tracked by Site Selection Magazine. When our citizens get in a job at a manufacturing plant, they retain and have a higher degree of loyalty to that plant and to that location than any other place in America. That’s a data point that’s tracked. Our people are very loyal to their jobs. So that’s point one that Nucor looked at.

 

Point two is that that labor shed reaches further in this state and in that region, which would encompass Ohio and Kentucky as well, so that people will travel further for one of those really good jobs. One of the great advantages is that a 15 or a 20 or a 30-minute drive in this area or region could be 30 or 40 miles, whereas in some of the major metropolitan areas, it can take you hours to travel just a few miles.

 

Then finally, and one of the things we’re very proud of, in West Virginia we provide free community and technical college education to every citizen that wants to earn a degree or certificate to go to work in this plant, or any plant for that matter. So we will train the workforce at no cost to the employers and provide them a drug-free certified employee. Nucor looked at that and thought, “Wow, that is a first class program,” and we’re very proud of it.

 

Amanda Ellis: Oh yeah, I bet that was a huge selling point.

 

Mitch Carmichael: It is, and it continues to be.

 

Amanda Ellis: Yeah. How many community colleges do you have in the state?

 

Mitch Carmichael: It’s probably 10 to 12, but each one of those primary institutions has satellite offices, facilities in other areas. So it is really a groundbreaking program that West Virginia is, we feel, a leader among other states.

 

Amanda Ellis: Yeah, and being able to give opportunities to people from all different backgrounds to try out a different career path.

 

Mitch Carmichael: Sure, and because we have a lot of employees that are transitioning from perhaps a coal mining industry or other heavy industries that can utilize additional training to build a skill set that becomes marketable in the new age technologies.

 

Amanda Ellis: That is great. So in my research for this, I noticed that it looks like Nucor is doing some fun recruiting events called Come See Nucor where they’re bringing some people in and doing some touring and some fun stuff. Can you share anything about that?

 

Mitch Carmichael: They have put together various programs or day events, multiple day events, in which they bring potential employees or current employees from other facilities to the site of the plant and to… Marshall University hosted one of these events, City of Huntington close to where Nucor will be locating, hosted one of these events and connected them with a lot of the training components, the cultural events in the area, the real estate that is available for housing development and so forth, as well as just enjoyed some of the entertainment venues that are in the areas. So I think most people, almost to a person, would tell you that they’re coming away from these events very impressed and anxious, really, to get moved to West Virginia or to the region and begin working on this incredible project.

 

Amanda Ellis: Yeah, that’s so fun. When you’re making a move for work, you’re also moving your life, not just your work life, so that’s really great that they’re giving people a chance to see what that would be like outside of just where you would work and your company and all that.

 

Mitch Carmichael: Sure. Yes.

 

Amanda Ellis: So that’s really important for getting people oriented.

 

Mitch Carmichael: While the potential employees participating in these events, it’s also geared for the family of potential employees as well. So yeah, it showcases the many things to do in West Virginia in terms of outdoor activities and hiking, biking, whitewater rafting, camping, Hatfield-McCoy’s Trail, ATV, all the different outdoor activities and tourism events that are available to the citizens of our state.

 

Amanda Ellis: I haven’t spent a lot of time in West Virginia, only the edge on a road trip, but I’ve seen such pretty photos.

 

Mitch Carmichael: Amanda, you’ve got to get here.

 

Amanda Ellis: I know. I’m in Tennessee, so it’s not that far.

 

Mitch Carmichael: Yeah, not far. Yeah.

 

Amanda Ellis: But yeah, every photo I’ve seen has just been so pretty, especially with fall. So lately prepping for this, every picture I saw, I was like, “Wow, it’s so pretty.”

 

Mitch Carmichael: No, it’s fantastic.

 

Amanda Ellis: So you’ve talked a little bit about this, but I’d like to hear a little bit more. So it sounds like one of the really cool things about this project is that Nucor’s made a lot of strides in clean manufacturing, being really environmentally conscious and friendly. Anything else you could talk about with that?

 

Mitch Carmichael: One of the things that we were very encouraged about as we were recruiting Nucor is their emphasis on being environmentally friendly, socially an environmentally conscious company. They have a goal of complete carbon emission reductions. They’re one of the largest recyclers in the world. I think they are the largest recycler of metal products in America. Also, furthermore, they have a real goal of utilizing as much renewable energy as possible on this site, so it is a type of company that’s well-positioned for the future, and we’re looking forward to all the great projects that will spin off as a result of a world class company being in that area, so environmentally and socially conscious.

 

Amanda Ellis: Yeah. You’ve talked a bit about some of the things that you feel make your state special, like how responsive and nimble you were able to be with this project, some of the talent development efforts going on. Anything else you would add about what makes you all special and what you feel like made you stand out for this?

 

Mitch Carmichael: Yeah, I think it’s a moment in West Virginia’s history in which we are so well positioned to attract world class businesses. It’s been occurring over the last several years in our state. There’s been a move towards a very pro-business environment in which we understand the needs of companies that want to locate in our state and how many benefits that brings to our citizens. We have historically been a state that has been ranked poorly in terms of our judicial climate and the fairness towards the business community, and we’ve made so many changes in our legislative constructs and our statues and so forth that have enabled West Virginia to win an award for the most improved legal climate in America, so that companies and businesses feel great about locating here now and know that they will get a good, clean shake in our court systems if anything comes to that.

 

We have one of the lowest cost of doing business in America. Our workers’ compensation rates, and businesses look at this throughout America, are the fourth lowest in America. So there’s been incredible improvement in that area. Our financial situation is incredibly stable. Pension obligations are almost 100% funded. We’re the envy of the nation in many respects in terms of our pension obligations, so the businesses realize they’re not going to get dinged for future tax increases for the sins of the past because we’ve already taken care of all those issues. Our government is well aligned. It’s flat organization that we can get to decision makers quickly. It’s just a great time to be recruiting businesses to our state.

 

Amanda Ellis: Yes. Lots of good selling points there. As we head toward wrapping up here, what advice would you have, Mitch, for our listeners working in the field who also want to land projects of this caliber and size?

 

Mitch Carmichael: Yeah. Well, we want to see everyone succeed, right? A rising tide lifts all the ships, and I’m sure others could provide us with… We’re not the gurus in terms of the know all and be all, but what I would say-

 

Amanda Ellis: Today, you are though.

 

Mitch Carmichael: All right. We are the winners today, and there are others that are doing great work as well, and so we can all learn from each other. But I would say one of the things that has helped us the most is this responsive… We want to convey that things that we are doing are making a difference in the lives of our citizens. So many of the companies that really want to… Yes, everyone’s concerned with their balance sheet and income statements and profitability, but also if you can do good as a result of the things that… the investments that you can make and have an impact on people’s lives…

 

So we approach it from the perspective of saying, “This is important work because this is what we’re paid to do, yes, but it also makes a difference in the lives of the people that will be working in these plants, raising children, the next generation of Americans.” So it is with a special passion that we approach these tasks. That would be my message to everyone, is that the jobs that we’re doing are bigger than the immediate win of a transaction. We need to focus a little bit outside of ourselves and what it’s going to do for our people and the societies in which we live.

 

Amanda Ellis: Yeah, that’s so true in a place where the field really plays a unique role of being able to get some of these big wins, like the one we’re talking about today, but also things that make a big difference for people in their lives and communities.

 

Mitch Carmichael: Yes.

 

Amanda Ellis: So I always wrap up with a fun question. So what city do you live in, Mitch?

 

Mitch Carmichael: It’s a city, Ripley, believe it or not.

 

Amanda Ellis: Okay. Tell me more about where that is exactly.

 

Mitch Carmichael: Ripley is roughly on the Ohio River, a little bit back from the Ohio River, and it’s 30 miles outside of Charleston. North of Charleston. Yeah.

 

Amanda Ellis: Gotcha. So bucket list items there. If someone were to visit, what would you say they have to do?

 

Mitch Carmichael: It’s a very small town, but you have to go to Ripley’s 4th of July celebration. It is the largest small town celebration of Independence Day in America.

 

Amanda Ellis: That sounds so fun.

 

Mitch Carmichael: It is. Yeah. It’s great.

 

Amanda Ellis: So what do they do?

 

Mitch Carmichael: Oh, it’s a massive parade, almost an entire week of events, and it’s been going on for years and years and years. As I say, it’s billed as the largest small town celebration in America. Bands-

 

Amanda Ellis: That’s so fun.

 

Mitch Carmichael: Yeah, it is well known. If you look up Ripley’s 4th… If you do anything about Ripley, West Virginia, it will highlight the 4th of July celebration. It’s a very patriotic town.

 

Amanda Ellis: Okay. I got to look that up. That’s so fun. That’s awesome.

 

Mitch Carmichael: Yeah.

 

Amanda Ellis: All right. Well, thank you so much, Mitch, for joining us today on Inside America’s Best Cities and sharing some of your expertise and insight, and congrats on the project.

 

Mitch Carmichael: My pleasure. Thank you so much. It’s been a pleasure.

Amanda Ellis: Thanks for listening to the Livability podcast, where we take you Inside America’s Best Cities. At Livability, we highlight the unsung awesomeness of small and midsize cities across the country. We also partner with communities to reach their target companies and potential residents through digital content and print magazine programs. If you enjoyed this episode, please follow, rate, and review this show wherever you listen to podcasts. You can learn more about us at livabilitymedia.com. Have an idea for an upcoming episode? Email me at [email protected]. Until next time from Livability, I’m Amanda Ellis, sharing the stories of America’s most promising places.