By Dennis Domrzalski, Albuquerque Business First
At least someone in New Mexico is creating jobs. The Mesilla Valley Economic Development Alliance helped create 877 new economic-base jobs in the fiscal year that ended June 30, its best year ever, said Alliance President and CEO Davin Lopez.
“These are private-sector jobs that are sorely needed, and it shows that we are doing something right in our marketing and business-attraction efforts,” Lopez said.
Economic-base jobs are those whose goods or services are exported out of state and that bring new money into an economy and grow it. Of those new jobs, 322 were in manufacturing, 125 were in logistics and distribution, 160 were in food processing and 270 were back-office positions, Lopez added. Previously, MVEDA’s best year was in 2007 when it helped create 700 jobs, Lopez said.
MVEDA is a private nonprofit much like Albuquerque Economic Development. Its $550,000 budget comes from a combination of public and private funding.
Lopez said the organization’s success is due to its targeted marketing approach to attracting new companies, as well as being close to a port of entry with Mexico, the new intermodal rail facility built by the Union Pacific Railroad and a change in a state law that allows heavier Mexican trucks to drive six miles into the state.
“We use an asset-based approach. We can’t compete with other states on incentives, and we can’t rely on them to close a deal,” Lopez explained. “So we have to highlight the unique assets we have in the area.”
One of the keys to attracting those new jobs is the six-mile overweight zone that allows heavier Mexican trucks into the state, Lopez said. Mexican trucks generally carrier heavier loads than are allowed on U.S. highways. When those trucks coming from Mexico get to the border, they have to break up the loads into two trucks. That takes time and money, Lopez said.
But in 2011, the New Mexico State Legislature created the six-mile overweight zone to allow those trucks to enter the state. That means the trucks can drive directly to the Union Pacific facility without having to break up their loads, Lopez said.
In the 12 months that ended May 31, the Las Cruces area lost 100 jobs for a 0.1 percent decline, according to the U.S. Bureau of Labor Statistics. Its manufacturing sector saw a 7.4 percent year-over-year decline in jobs. The trade, transportation and utilities had a 2.8 percent drop, and government lost 1.4 percent of its jobs.
Overall, Las Cruces has recovered from the recession. As of May it had 71,200 nonfarm jobs, up from its pre-recession peak of 70,900.
Lopez said he expects the current year to be a good one for MVEDA. “We are pretty bullish about the year coming up. We have a strong lead pipeline, and unless drastic changes take place in the economy, we expect to have another good year,” Lopez said. “So we are pretty bullish on the future.”
