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Governor Daniels' Weekly Wrap-up: 01/07/08

Weekly Wrap-up

A look at news and events in the Daniels Administration

Volume 2, Issue 63

December 24, 2007-January 6, 2008

 

IEDC posts third consecutive record-breaking year

 

Dec. 28, 2007- More than 150 companies from across the state, the country and around the world committed to create more than 22,600 new jobs in the Hoosier state this year, breaking the state's previous job commitment record set just a year ago.

 

Since Governor Mitch Daniels established the Indiana Economic Development Corporation early in 2005, the state has set and then exceeded all previous marks for competitive job creation and average wage associated with the new jobs in each year. In all, nearly 500 companies have committed to create more than 60,000 jobs in Indiana and to invest more than $14.57 billion in their Indiana operations since January 2005.

 

Many of the 158 companies that committed in 2007 to create 22,627 new jobs in Indiana have already begun hiring in many parts of the state, and all expect to meet their commitments to hire Hoosiers by 2012.  In addition, the average hourly wages for the new job commitments increased in 2007 to $20.56, well above the state's current hourly wage of $18. Meanwhile, the average state incentive provided to companies per job decreased by more than 20 percent.

 

"In its three short years, the IEDC has proven to be a better mousetrap for capturing jobs for Indiana. Our state's emergence as an economic leader is no accident, and much of the credit goes to the team that built and now operates this job-attracting machine," said Daniels.

 

Indiana's unemployment rate is the lowest in six years and the state has had the lowest unemployment rate in the Midwest for six consecutive months.

 

Read the news release.

 

Thousands apply for Healthy Indiana Plan coverage

 

Dec. 27, 2007 - Governor Daniels announced that nearly 4,500 low-income Hoosiers submitted applications to the Family and Social Services Administration (FSSA) for coverage with the state's innovative new health care program during the program's first week. The state began to process applications for the Healthy Indiana Plan (HIP) on December 17 and has funding to cover about 130,000 Hoosiers annually who do not have health insurance.

 

"Passing landmark health care legislation was great. But seeing real people beginning to benefit from it is far better, so we are out to spread the word for all who might qualify," said Daniels.

 

The HIP plan will provide health insurance for uninsured adult Hoosiers 19 to 64 years old whose household income is 22 percent to 200 percent of the federal poverty level and who are not eligible for Medicaid.  A family of four, for example, would be eligible if income does not exceed $41,300; the maximum income level for a family of two is $27,380.

"HIP is a bold experiment that has already attracted national attention, and the early surge in applications from throughout the state is a clear sign that the need is great and that the people are ready to respond," said David Roos, state program director for Covering Kids and Families of Indiana.

 

Read the news release.            Listen to the announcement.       Learn more about HIP.

 

Employers joining INShape Indiana efforts

 

Jan. 4, 2008- Hoosier health and fitness is getting another boost to start the new year. Governor Daniels said that more than a dozen companies, led by Anthem Blue Cross and Blue Shield in Indiana, have agreed to participate in company wellness programs that incorporate INShape Indiana, his program to promote healthy lifestyles. Additionally, INShape will launch its second 10 in 10 Challenge on January 7 to encourage Hoosiers to lose 10 pounds in 10 weeks.

 

"Now, we're going wholesale, and it will really make a difference in the number of Hoosiers working on a more active and healthy lifestyle by having so many large organizations involved," said Daniels.

 

Read the news release.  Listen to the announcement. Sign up for the 10 in 10 challenge.

 

Governor attends send-off for Hoosier soldiers

 

Jan. 2, 2008- Governor Daniels joined thousands of family members and friends of Indiana National Guard soldiers for a departure ceremony for the members of the 76th Infantry Brigade Combat Team. Approximately 3,400 Indiana troops are being deployed in support of Operation Iraqi freedom.

 

"We are proud of these people," Governor Daniels said. "They make a double sacrifice. Not only do they put themselves at risk, but they leave families and jobs behind to do it."

 

Technology company to nearly triple its Indiana workforce

 

Dec. 28, 2007- Executives from software developer LHP Inc. joined Governor Mitch Daniels at the State House to announce the company's plans to grow its Columbus operations, creating more than 320 new high-tech jobs by 2011.

 

The international developer of software and hardware solutions for the military, automotive and medical industries will invest more than $1 million to expand its southeast Indiana headquarters and development center, making room for new research and development equipment and new computer hardware.

 

"LHP is increasing its commitment to Indiana by making a bigger investment in its headquarters and creating more new high-tech jobs for Hoosiers. The Columbus area continues to be a major contributor to economic development in Indiana," said Daniels.

 

Read the news release.

 

Office furniture company to expand its Southern Indiana operations

 

Dec. 27, 2007- Lt. Governor Becky Skillman joined executives from office furniture giant OFS Brands Holdings, Inc. to announce the expansion of the company's national headquarters and manufacturing operations in Huntingburg, creating more than 300 new jobs by 2012.

 

The manufacturer, marketer and distributor of office furniture will invest more than $81 million to add new production facilities, veneer operations, UV coating systems and additional office space to its southwest Indiana headquarters and manufacturing center.

 

"OFS Brands joins a growing list of companies like Berry Plastics, Arcadia Healthcare, Really Cool Foods and SMC Corporation that have decided to grow their global headquarters in Indiana. Headquarters locations, with the high-paying jobs and community commitment they bring, are the best news an economy can get," Skillman said.

 

Read the news release.

 

Special Election update: 7th Congressional District

 

Jan. 7, 2007- Governor Daniels has issued Executive Order 08-01, which establishes the date of a special election for the Seventh Congressional District of Indiana as March 11, 2008. The election will be conducted to replace the late U.S. Representative Julia Carson.

 

Read the executive order.

 

IN THE NEWS

 

State's economy draws jobs, investment

Evansville Courier and Press

December 29, 2007

 

INDIANAPOLIS - The Indiana Economic Development Corp. had a record year in 2007, attracting 22,627 new job commitments to Indiana and more than $3 billion in pledged capital investments, Gov. Mitch Daniels said Friday.

 

The IEDC offered companies about $196 million in tax breaks and other state incentives to locate or expand operations in Indiana, said Nate Feltman, the corporation's director.

 

The state has had to offer fewer incentives as Indiana becomes more attractive to employers because of its low cost of doing business, good business tax climate and other factors, he said.

 

"We have a lot of strengths in our favor," Feltman said Friday.

 

Daniels' totals represent the jobs the agency was involved in recruiting to the state, not total job growth or loss in the state.

 

Daniels said Indiana gained more jobs in 2007 than it lost, but he did not have exact numbers. He said it may take some time to get end-of-year figures.

 

"In any dynamic economy, some companies will lose ground to other companies, and others will gain," the governor said. "The key always is, are you adding more positions, are you adding more than are going away? And the answer is yes, Indiana is."

 

The Indiana Department of Workforce Development released seasonally adjusted numbers earlier this month that show employment was up by 8,400 workers in November from a year earlier. Information from the U.S. Bureau of Labor Statistics shows that Indiana had about 18,900 more employees in November than it did at the beginning of the year.

 

Daniels, a Republican, noted that the IEDC's performance this year, 22,627 job commitments, was 632 jobs above its tally in 2006, when companies committed to create 21,995 jobs. "I honestly didn't think the '06 record could be broken," Daniels said.

 

Many of the 158 companies that committed in 2007 to create the new jobs have already begun hiring, and all plan meet their commitments to hire by 2012, the IEDC said.

 

The latest to join that list was unveiled Friday.

 

Software developer LHP Inc. announced it will add 320 jobs to its Columbus, Ind., operations by 2011. LHP, which develops software and hardware for the military and the automotive and medical industries, is investing $1 million to expand its facility that currently employs 130.

 

That follows on the heels of Thursday's announcement that OFS Brands in Huntingburg, Ind., plans to expand its furniture-manufacturing operation by 300 positions by 2012, an investment of $81 million.

 

As incentives, the state offered OFS Brands Holdings Inc. up to $1.9 million in tax credits and up to $300,000 in training grants based on the company's expansion plans, and will provide Huntingburg with a $500,000 grant to defray infrastructure costs.

 

Similar state incentives were extended to LHP Inc.: up to $2.1 million in performance-based tax credits and up to $50,000 in training grants. Columbus city officials offered property-tax abatement, officials said.

 

Feltman said the agency offered companies about $196 million in tax breaks and other incentives to locate or expand operations in Indiana.

 

According to the agency, the breakdown of the promised new jobs announced in 2007 is as follows:

 

- Information technology or IT: 7,682

- Automotive manufacturing: 3,402

- Other manufacturing: 3,191

- Life sciences: 2,990

- Transportation and logistics: 2,008

- Food and agriculture: 1,823

- Steel manufacturing: 580

- Insurance, finance and other services: 472

- Biofuels and energy: 283

- Motorsports: 196

 

Daniels noted that state-brokered job growth in information technology, including telecom and customer-service call centers, was ahead of the growth in manufacturing, traditionally a mainstay of Indiana's economy.

 

The biggest jobs announcement that the state helped broker in 2007 was the new Medco pharmaceutical facility in Whitestown, Ind., which will bring 1,306 jobs to that Central Indiana community.

 

Locally, the new Toyota Boshoku America Inc. auto-components plant should bring 230 jobs to Princeton, Ind.

 

Meanwhile, the new AT&T call center on Vogel Road in Evansville opened in April with 570 expected jobs. Since then, however, AT&T has said the center now employs at least 600 and it's possible that more positions would be added.

 

Editorial: Program's healthy start

Elkhart Truth

January 2, 2008

 

A piece of good news to start 2008 -- the state's new Healthy Indiana Plan is catching on with low-income Hoosiers.

 

Just because you work doesn't automatically mean you qualify for health insurance. Especially in Indiana.

 

In a desperate attempt to cut costs, many Hoosier business owners no longer offer health insurance to their employees. Indiana reported the second-biggest percentage drop of workers receiving employer-provided health insurance in the nation between 1999 and 2004.

 

The upshot: State officials estimate that more than 560,000 Hoosiers find themselves without health insurance, and that costs all of us -- it shifts health care costs to the insured, leads to higher costs and places Indiana at a disadvantage as it tries to retain businesses and recruit new employers.

 

Gov. Mitch Daniels and the General Assembly agreed in 2007 on a way to address at least part of the problem. The Healthy Indiana Plan helps uninsured adults 19 to 64 in households that earn up to twice the federal poverty level, from $20,420 for an individual to $41,300 for a family of four.

 

Anyone whose employer offers health insurance does not qualify for the state program, open only to Hoosiers uninsured for at least six months. Qualified applicants can choose between two insurers, MDwise and Anthem Blue Cross & Blue Shield, whose plans both offer up to $500 in free preventive health care, a $1,100 health savings account and up to $300,000 in coverage for medical costs exceeding $1,100. Participants pay between 2 percent and 5 percent of their gross household income to the health savings account, depending on how much they earn. Employers can provide up to half the contribution.

 

Officials expect the program to cost about $190 million a year. To pay for it, the state raised cigarette taxes by 44 cents a pack and intends to leverage about $1.1 billion in federal Medicare money during the next five years.

 

That's enough to enroll about 130,000 uninsured Hoosiers. By late last week, nearly 4,500 had applied.

 

Now we just need to reach the additional 125,500 that the state can fund.

 

The Healthy Indiana Plan cannot ensure that every Hoosier receives health insurance coverage, but it does make Indiana a healthier place to live and work. If you qualify for the program, sign up now.

 

You can find out more about the Healthy Indiana Plan at www.in.gov/fssa/hip.

 

10 in 10 Challenge could help you reach your goal

Muncie Star Press

January 7, 2008

 

It's been a week since many people made yet another New Year's resolution to lose weight and get fit, and many may be flagging already in their resolve to eat right and hit the gym.

 

Just in time to bolster Hoosiers' commitment is the second and improved version of Gov. Mitch Daniels' INShape Indiana 10 in 10 Challenge, which begins today. The statewide health initiative encourages participants to lose 10 pounds in 10 weeks and comes complete with online support, newsletters and a weekly e-mail report form. An added bonus, for some, are the television ads featuring the governor as cheerleader.

 

In case you are wondering why the governor is sticking his nose in your refrigerator, you should know that this is actually serious business for the state of Indiana. A solid majority of Hoosiers are fat, and many of us are more than fat; we are obese. In 2005, 35.1 percent of Indiana residents tipped the scales in the fat category. Another 27.2 percent were obese. That means 62.3 percent of us are overweight. That's a lot of excess poundage to be carrying around and a cause for concern.

 

In addition, our children are becoming more overweight as well. Between 2003 and 2005, the percentage of overweight students jumped by 3 1/2 percentage points from 11.5 percent to 15 percent.

 

Obesity is the second leading cause of preventable death in the United States and comes with a host of problems like diabetes, high blood pressure, heart disease and osteoarthritis. It's in the state's best interests to encourage its residents to become healthy to reduce the extra costs to society. These include reduced productivity and higher health-care costs.

 

The improved part of this year's INShape Indiana wellness effort involves the participation of more than a dozen companies, led by Anthem Blue Cross and Blue Shield and including East Central Indiana employers like Ball State University, Marsh, Kroger and Red Gold. The companies represent more than 120,000 employees statewide.

 

"Now, we're going wholesale, and it will really make a difference in the number of Hoosiers working on a more active and healthy lifestyle by having so many large organizations involved," Daniels said in a news release.

 

As an added incentive for small companies, the Healthy Indiana Plan, which provides health coverage for uninsured low-income Hoosiers includes an wellness tax credit for employers who offer a qualified wellness program to employees. The tax credit, which is retroactive to Jan. 1, 2007, is available to employers with two to 100 employees that have received certification from the Indiana State Department of Health. So far, 51 small employers with 2,500 have been certified.

 

About 57,000 people have signed up to participate in INShape during its first two years, and 40,000 joined last year's 10 in 10. The average weight loss was slightly more than seven pounds, with 32 percent reporting losing 10 pounds or more.

 

We can all use a little help with our goals for the new year, and the 10 in 10 Challenge is a free and easy way to get friendly weekly nudge on the way to developing healthy habits.

 

To sign up for the 10 in 10 Challenge, go to www.in.gov/inshape.


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