Evaluating Standards for Site Certification

1. Evaluating Standards for Site Certification Presented to:American Public Power Association Presented by: Robert M. Ady, President Ady International Company May 6, 2010

2. #1 Reason Why Communities Are Eliminated From Projects Simply stated “If you don’t have a site, you don’t have a product, and if you don’t have a product, you don’t need a business attraction or business retention program!”

3. Importance of Site Certification • Protection of key industrial/office sites • Risk minimization • Speed to implement prospect startup • Major marketing tool for business attraction • Indication of professionalism of economic development group • Assist in economic development team building

4. Types of Certification • Type of “certifier” --Local --Regional --State --Third party • Method of certification --Checklist --Point total --Field investigation --Detailed application

5. Key Criteria for Evaluating Existing Sites Criteria #1: Immediately Available Criteria #2: All Utilities Are in Place Criteria #3: Physically Developable Criteria #4: Technically Developable Criteria #5: Ease of Product and Employee Movement

6. Criteria #1: Immediately Available √ Site is owned or controlled and can be marketed by the economic development organization √ Terms and conditions of sale have been established and are part of contract √ Price of the property has been determined

7. Criteria #1: Immediately Available-Alternative Options • Have long term, renewable, assignable option agreement with owner or right-of-first refusal and letter authorizing the marketing of the site • Identify individual terms and conditions associated with the property • Have a firm land price from the owner

8. Criteria #2: All Utilities Are in Place √ Water line of sufficient capacity for industrial use on site or adjacent √ Sewer line of sufficient capacity for industrial use on site or adjacent √ Gas line of sufficient capacity for industrial use on site or adjacent √ Electric power line on site with sufficient capacity at nearby substation to handle industrial load √ T-1 telecommunications in place

9. Criteria #2: All Utilities Are in Place-Alternative Options • Show size and location of existing utility lines • Have plan for extending lines to property • Indicate expense to extend lines and line extension policy (who pays) • Have necessary “right-of-way” agreements for line extension • Indicate estimated time for completion of utility extensions

10. Criteria #3: Physically Developable √ No easements or “rights-of-way” encumbering property √ No flood hazards or drainage issues √ Soil bearing tests taken on site √ No structures on site √ Topography amenable to construction

11. Criteria #3: Physically Developable-Alternative Options • For on-site easements, indicate the ability and willingness or owner to relocate lines • Have maps showing extent of all past flooding • Have soil tests for surrounding properties or general soil conditions/bearing in the area • If there is a structure on site, indicate cost of removal and party responsible • If topography is irregular, have drawings showing placement and elevation of potential facility and the amount to site work that will be required to accomplish this result

12. Criteria #4: Technically Developable-Shovel Ready √ Commitment of incentives for any site infrastructure improvements necessary √ Properly zoned √ Environmental assessments completed (Phase 1, endangered species, cultural landmarks) √ Wetlands designation report completed √ Site compatible with surroundings √ Aerial photograph (hard copy and digital) available

13. Criteria #4: Technically Developable-Alternative Options • List potential incentives that may be available for site development • List steps in zoning process, estimated time for completion, and support for change • List all preliminary steps undertaken for environmental and wetlands reports and have plans in place to mitigate whatever issues are discovered during due diligence • Have available land use plans and other documents showing proposed development of the surrounding area

14. Criteria #5: Ease of Product and Employee Movement √ Site fronts on major highway with ease of ingress and egress √ No traffic funneled through residential neighborhoods √ No major traffic delays on roads leading to site √ Rail spur adjacent to site √ Direct access to interstate or limited access highway

15. Criteria #5: Ease of Product and Employee Movement-Alternative Options • If not on a major highway, have commitment for turn lanes and signalization to minimize ingress and egress issues • Identify alternative routes to avoid traffic through residential areas • Have plans for highway improvements to speed traffic • Indicate distance and travel time to interstate highway or limited access highway

16. Summary of Key Criteria for Evaluating Sites • Immediate availability • All utilities in place • Physically developable • Technically developable • Ease of product and employee movement

17. The Ady-Austin Site Designation Program for Food Processing • Step#1: Develop specification sheet for type of food processing under consideration • Step #2: Develop general site data • Step #3: Evaluation of any “fatal flaws” • Step #4: Complete detailed site application form by client organization • Step #5: Field work by Ady-Austin executives • Step #6: Evaluation of completed application • Step #7: Comprehensive summary document prepared by Ady-Austin, including award designation if determined

18. Past Ady-Austin Food Clients Anheuser-Busch Carvel-Celebration Foods Dole Fresh Vegetables Embria Company Frito-Lay Ghirardelli George Weston Bakeries Always Bagles General Mills M & M/Mars H.J. Heinz Company Bevpack Kikkoman Foods Michelina Foods Miller Brewery Company Wm. Wrigley, Company Swiss Valley Farms Sun Rich Fresh Food Swift-Eckrich Wenner Bread

19. Thank you Any Questions? Bob Ady, President Ady International Company Phone: 312.560.8355 E-Mail: rma@adyinternational.com