Message from Executive Director Bob Shriver Nevada's reputation as a state where companies can grow and prosper continues to rise. For the second consecutive year, Inc. Magazine has reported Las Vegas and Reno as two of the best small metro areas in the country to start and grow a company. Additionally, the Bureau of Labor Statistics reports Nevada maintains its ranking as third in the nation in the number of new manufacturing jobs and first in the nation for new non-farm jobs. Perhaps the best indication of Nevada's business-friendly environment is testimony from Garth Kloehn, President, Kloehn Co., a medical manufacturing company that has doubled in size since moving to Nevada, "A one year search led us to Nevada. The site was chosen due to its proximity to suppliers, inexpensive land prices, fewer governmental restraints and excellent business climate." This past biennium the Commission on Economic Development (CED) has met its goals of attracting high-wage primary jobs to Nevada through a combination of maintaining current programs and by examining the dynamics of doing business in Nevada. The results were a new strategic plan for economic diversification � Unlocking Nevada's Future � and several studies indicating our future direction. In keeping pace with the new economy, our chair, Lt. Governor Lorraine Hunt directed CED to take several steps to attract high-tech industries to Nevada. One step was to commission the Battelle Institute to study Nevada's current technology climate. The result � "A Technology Strategy for Nevada" � is a comprehensive description of Nevada's strengths and weaknesses, together with plans to build a foundation to make Nevada a desirable location for high-tech businesses. CED also joined a team of private businesspeople, government officials, educators, and entrepreneurs at the State Policy Academy on Entrepreneurship facilitated by the National Governor's Association Center for Best Practices and sponsored by the Kauffman Center for Entrepreneurial Leadership. The purpose of the State Policy Academy was to focus on strategies that would create an environment that fosters the notion of entrepreneurship from elementary school students to high-growth entrepreneurs. CED's primary concern is the impact of economic development and the attraction of high wage, high skill jobs with knowledge imbedded in the product or process. As a result, in this report you will find information regarding analytical tools used in our Research and Business Development department to compare the impacts and contributions to Nevada's economy by manufacturers and other high-tech companies who requesting incentives. Also, in this biennial report, you'll find evidence of an increase in the number of new primary jobs in Nevada, an increase in the number of clients served through our Procurement Outreach Program, and an increase in the number of dollars invested in rural Nevada. CED recognizes the specific goals and needs of its many communities in relation to economic diversification and the creation of wealth and prosperity. There has been an identification of the growing disparity between urban and rural revenues. To address this discrepancy, CED mediated a series of regional workshops which led to the development of "Building Prosperity: An Action Plan for Rural Nevada." This plan represents a strategic rural link to a growing Nevada economy. Finally, that this report has being delivered to you electronically represents this agency's, readiness to embrace the new economy. If I can answer any questions regarding this report's contents, please do not hesitate to contact me at [email protected] or 775-687-4325.