TEDA’s Vassallo gets warm welcome from chamber

Terrebonne Economic Development Authority CEO Steve Vassallo made a memorable first impression before members of the Houma-Terrebonne Chamber of Commerce by taping seven $2 bills to a board while The Rolling Stones “Start Me Up” played over the sound system at the Courtyard by Marriott conference room.

More than the visual aid, which was used as an interactive tool to get those in attendance involved with his presentation, Vassallo revealed what he saw after 14 days on the job as being the challenges and opportunities for regional economic development.

While marking his presentation with key questions for attendees to answer in their $2 contest, Vassallo said that a wide number of resources in the region should be recognized and capitalized.

“I haven’t been to a [TEDA] board meeting yet, so everything I’m going to tell you is subject to approval,” Vassallo said in a partly joking manner as he presented his observations and priorities for the next six months. “Just don’t kill the messenger,” he requested of his audience.

Vassallo offered examples from his professional experiences to illustrate and support his presentation.

“The thing I like most about economic development is it takes you to places you’ve never been,” he said as he revealed his experience in this line of work both domestically and internationally, and stressed the importance of networking with communities and countries in the exchange of resources.

“Any economic development organization that does not have an international program is making a strong strategic mistake.”

Goals and Challenges

Understanding one’s role in economic development is the place to start, according to Vassallo.

“Economic organizations that are hitting on all cylinders have to be doing a lot of things,” he said. “We have to have interactive business retention and industry program. We are going to work very closely with [other organizations]. We have to have a business incubation program if we want to be successful.”

Business incubation, Vassallo stressed, offers the highest return on investment when talking economic development. He went on to encourage those in attendance to take advantage of this tool.

A second goal of this new economic leader is to promote downtown development and tourism. “I’m excited about seeing some things that are going on downtown,” Vassallo said. He noted the success of tourism in San Antonio and said part of that city’s success is getting the entire population talking about their town in a friendly and welcoming manner.

“I would like to see us work closely with the Chamber to make sure that everybody here, who comes in contact with visitors, we wear a pin or something that says why I live Houma,” he said.

“We are ambassadors and I can imagine how many people are coming through at a given time. Divided communities are a failure. Early indications are that is not going to be an issue.”

Workforce development, Vassallo said is a priority of his and is critical. He said that having already met with employers, he recognizes the need to coordinate economic development with educational opportunities through both Nicholls State University and Fletcher Technical Community College.

A needs assessment among major employers is on his to do list as well. “We want to find out what they need, and they can help us in finding suppliers and customers for us to recruit.”

Transparency is a priority the new CEO added to his mix to let those in attendance know that he wants the public to be aware of what TEDA is doing at all times.

Vassallo said that a strong retail and commercial recruitment program is needed in conjunction with manufacturing companies. He is also strong on supporting existing businesses and letting them know they are not forgotten.

He contends approaches to challenges and opportunities must be creative in order to secure results.

“You cannot build a reputation in economic development about what you are going to do. Talking does not get the job done. We’ve got to get results and we will,” Vassallo said.

Exposing hidden assets is another matter of consideration for the new TEDA head. He wants to see added development to the Houma Navigational Canal and enhancement of an entrepreneurial spirit that already exists in the area. Vassallo was complimentary on the presence of commercial and retail business and identified that as an area for expansion.

Combining efforts between public and private bodies to achieve the same goals is also essential. “The public and private leadership in this community jumps out at you,” he said.

“My goal is that by January 2013, we will have the No. 1 economic development program in the state of Louisiana,” Vassallo said. “Second place is not an option. We want to be perceived as the model of economic development for the state.”

Strengths and Liabilities

Regarding liabilities of the region, Vassallo said that access to the area and improved educational achievement and skills development is essential for success.

“The educational disconnect is something TEDA is going to have to get involved in and rightfully so,” he said.

Vassallo noted that proximity to the Gulf of Mexico is an asset for shipping, but also a liability when considering the risks associated with hurricanes.

The lack of having a clear target upon which to focus is one issue Vassallo said has slowed Terrebonne Parish development.

He complimented the area on having an unemployment rate of 5.9 percent, but added that for some companies wanting to add jobs, that can be seen as a challenge by having a limited workforce.

The TEDA CEO voiced concern about matching wages to cost of living and noted that the average income in Terrebonne Parish is $5,000 less than the U.S. average while the cost of housing is 30 percent higher than in Houston. “How we deal with that will be one of our objectives,” he said.

Contest Answers

Answers to questions in Vassallo’s interactive $2 contest, in which the bills were presented to those giving the closest to correct responses offered number and statistics pertaining to economic development including:

• 20 percent of global manufacturing is currently produced in the United States

• 95 percent of the world’s buying power exists outside U.S. borders

• Nevada has the highest percentage of homes with negative equity at 70 percent

• The average hourly wage in Terrebonne Parish is $21.09

• There are 1,767 motel rooms in Terrebonne Parish

• By the 8th grade, parents need to instill in their children the importance of having skills to succeed in life

• And, as Vassallo confessed to being a New York Yankees fan and throwing this question in for fun, manager Joe Girardi wears the number 28

Response and Reply

“I think he is for real,” Realtor Mona Christen said following Vassallo’s presentation. “He has gotten incredible results in other states and I think the TEDA board did an incredible job of hiring him and getting him over here. I know a lot of good things are going to happen. I love his enthusiasm and think he is going to be incredible for our little town.”

“You expect results out of TEDA,” Vassallo said. “That’s the only reason I wanted this job. I’m results-oriented and if we don’t get the results you are looking for nobody is going to be any more displeased than I am. I’m not blowing smoke. We are not going to be passive. I told my wife a long time ago that the only thing I want her to put on my tombstone is, ‘He never slowed down for yellow lights.’ We can do this.”