1. Innovation Way: A Commitment to Compete Presented to: Orange County Board of County Commissioners March 29, 2011

2. Innovation Way: A Commitment to Compete Presented by: Jim Spaeth, President of Remora Partners

3. Observations 1.Educated people generate community wealth.

4. “Smart, entrepreneurial people are the ultimate source of a city’s economic power.” - Dr. Edward Glaeser, Director of the Taubman Center for State and Local Government, Harvard University, and author of The Triumph of the City (2011) “Smart people of the highly educated sort that economists refer to as ‘human capital’ are key engines of economic growth and development.” - Dr. Richard Florida, Director of the Martin Prosperity Institute, University of Toronto, and author of The Great Reset, 12/22/10

5. - Source: American Community Survey, Census Bureau, ESRI (2010). Education levels determine any community’s wealth.

6. Orlando (70 th ) - Source: American Community Survey, Census Bureau, ESRI (2010). Education levels determine any community’s wealth.

7. Source: Bureau of Labor Statistics, May 2010 Median Annual Earnings – 2009 Educational attainment determines personal income level.

8. Source: Bureau of Labor Statistics, March 2011 Unemployment Rates – February 2011 Blended rate of 8.9% Educational attainment determines employment status.

9. Observations 1.Educated people generate community wealth. 2.Educated people are leaving Orlando.

10. Net gain of 36,411 in working age population in Orlando MSA masks loss of 11,241 workers with degrees - Source: American Community Survey, Census Bureau (2009).

11. Net gain of 100,838 in working age population in Austin MSA contains gain of 45,968 workers with degrees. - Source: American Community Survey, Census Bureau (2009). Educated people are arriving in Austin.

12. - Source: American Community Survey, Census Bureau (2009). Orlando is one of only 34 cities with over 30,000 new workers from 2007-09.

13. - Source: American Community Survey, Census Bureau (2009). Orlando is the only one of those cities that lost people with college degrees.

14. - Source: American Community Survey, Census Bureau (2009). 30 cities attracted a workforce consisting of at least 30% with college degrees.

15. - Source: American Community Survey, Census Bureau (2009). From 2000-09, Orlando ranked next to last in the % of new workforce with degrees.

16. - Source: American Community Survey, Census Bureau (2009). Subtracting 2007-09, Orlando still ranked below average.

17. Observations 1.Educated people generate community wealth. 2.Educated people are leaving Orlando. 3.Therefore, Orlando is losing community wealth.

18. - Source: American Community Survey, Census Bureau, ESRI (2010). Due to its loss of educated people, Orlando now has less community wealth.

19. - Source: American Community Survey, Census Bureau, ESRI (2010). Losing educated population means losing more community wealth.

20. - Source: American Community Survey, Census Bureau, ESRI (2010). Orlando’s competitors for life science companies are all gaining educated people.

21. The only way to compete with those cities is to attract educated people. - Source: American Community Survey, Census Bureau, ESRI (2010).

22. Attracting educated people will increase community wealth. - Source: American Community Survey, Census Bureau, ESRI (2010).

23. Attracting educated people will increase community wealth. - Source: American Community Survey, Census Bureau, ESRI (2010). Increased community wealth creates options for investment – in people and places.

24. Observations 1.Educated people generate community wealth. 2.Educated people are leaving Orlando. 3.Orlando is losing community wealth. 4.The Innovation Zone attracts educated people.

25. UCF OIA 528 408 434 RP FS VCC SSC I I I I I 417 The Innovation Zone occupies portions of eastern Orange and Seminole counties.

26. UCF OIA 528 408 434 RP FS VCC SSC I I I I I 417 The Innovation Zone contains an impressive collection of innovation economy assets.

27. Concentration of graduate degrees in central Florida Concentration of bachelors degrees in central Florida The Innovation Zone houses the most educated people in central Florida.

28. Concentration of graduate degrees in central Florida The Innovation Zone houses the most educated people in central Florida.

29. Concentration of graduate degrees in central Florida Concentration of technology workers in central Florida The Innovation Zone houses the most innovative people in central Florida.

30. Concentration of computer workers in central Florida The Innovation Zone houses the most innovative people in central Florida.

31. Concentration of life and social science workers in central Florida The Innovation Zone houses the most innovative people in central Florida.

32. Concentration of education workers in central Florida The Innovation Zone houses the most innovative people in central Florida.

33. UCF OIA 528 408 434 RP FS VCC SSC I I I I I Modeling & Simulation: 16,000 jobs Digital Media: 30,000 jobs Life Sciences: 16,200 jobs Optics & Photonics: 15,000 jobs Space? Cleantech? 417 The Innovation Zone links assets, people and jobs together in innovative industries.

34. Location TTM Patents as of 11/16/10 TTM Patents as % of All Siemens EnergyInnovation Zone7313.3% University of Central FloridaInnovation Zone6311.5% HarrisMelbourne5510.0% Lockheed MartinInnovation Zone234.2% MeshNetworksMaitland183.3% ParkerVisionLake Mary152.7% IntersilPalm Bay142.6% General ElectricMelbourne132.4% ALL549100.0% Source: Orlando Sentinel / Remora Partners Those innovative industries create innovative ideas.

35. Innovation Zone Balance of Orlando MSA Total Orlando MSA Population451,8141,679,0122,130,826 Median Age33.837.837.1 Diversity Index68.767.968.1 White Collar Jobs65.7%60.9%61.7% Median Household Income$61,111$51,803$54,034 Associate Degree or Higher44.8%36.2%37.8% Bachelor Degree or Higher33.7%26.6%27.8% Graduate Degree or Higher10.6%8.5%8.9% Source: ESRI (2010). The Innovation Zone contains more than 450,000 educated, young, innovative people.

36. Innovation ZoneAustin TX Population451,8141,908,617 Median Age33.833.2 Diversity Index68.771.4 White Collar Jobs65.7%66.3% Median Household Income$61,111$62,732 Associate Degree or Higher44.8%43.9% Bachelor Degree or Higher33.7%37.3% Graduate Degree or Higher10.6%12.9% Source: ESRI (2010). The Innovation Zone competes with Austin - not with the rest of Orlando.

37. Source: ESRI (2010). The Innovation Zone competes with Austin - not with the rest of Orlando. Innovation ZoneAustin TX Population451,8141,908,617 Median Age33.833.2 Diversity Index68.771.4 White Collar Jobs65.7%66.3% Median Household Income$61,111$62,732 Associate Degree or Higher44.8%43.9% Bachelor Degree or Higher33.7%37.3% Graduate Degree or Higher10.6%12.9%

38. Source: ESRI (2010). The Innovation Zone competes with Austin - not with the rest of Orlando. Innovation ZoneAustin TX Population451,8141,908,617 Median Age33.833.2 Diversity Index68.771.4 White Collar Jobs65.7%66.3% Median Household Income$61,111$62,732 Associate Degree or Higher44.8%43.9% Bachelor Degree or Higher33.7%37.3% Graduate Degree or Higher10.6%12.9% Competing with Austin means increasing the population in the Innovation Zone.

39. Observations 1.Educated people generate community wealth. 2.Educated people are leaving Orlando. 3.Orlando is losing community wealth. 4.The Innovation Zone attracts educated people. 5.Innovation Way sits in the middle of the Innovation Zone.

40. UCF OIA 528 408 434 RP FS VCC SSC I I I I I 417 Innovation Way sits in the middle of the Innovation Zone.

41. UCF OIA 528 408 434 RP FS VCC SSC I I I I I 417 INNOVATION WAY Innovation Way sits in the middle of the Innovation Zone.

42. UCF OIA 528 408 434 RP FS VCC SSC I I I I I 417 INNOVATION WAY Innovation Way sits in the middle of the Innovation Zone.

43. Concentration of graduate degrees in central Florida Concentration of bachelors degrees in central Florida Innovation Way is the most logical place to house educated people.

44. Concentration of graduate degrees in central Florida Innovation Way is the most logical place to house educated people.

45. Concentration of life and social science workers in central Florida Innovation Way is the most logical place to house educated people.

46. Concentration of education workers in central Florida Innovation Way is the most logical place to house educated people.

47. Closing Thoughts Educated people are critical to economic success – and Orange County is losing the competition for them.

48. Closing Thoughts Educated people are critical to economic success – and Orange County is losing the competition for them. The Innovation Zone must play a leading role in a strategy to attract educated people.

49. Closing Thoughts Educated people are critical to economic success – and Orange County is losing the competition for them. The Innovation Zone must play a leading role in a strategy to attract educated people. Innovation Way is the centerpiece of a commitment to compete in the innovation economy.

50. For more information: www.remorapartners.com Innovation Way: A Commitment to Compete