ANNUAL REPORT TO CONGMSS onthe

TRADE ADJUSTMENT ASSISTANCE FOR FIRMS

PROGRAM

Fiscal Year 2010 Annual Report

ECONOMIC DEVELOPMENT ADMINISTRATION

UoS.DEPARTMENT OF COMMERCE

December 15,2010
Executive Summary

This annual report is submitted in accordance with Section 1866 of the Trade and

Globalization Adjustment Assistance Act (TGAAA) of 2009, which was included as subtitle I

(letter "I") of title I of Division B of the American Recovery and Reinvestment Act of 2009

(Pub. L. No. 1 1 l-5,123 Stat. 1 15, at367). Section 1866 of the TGAAA directs the Secretary

of Commerce to submit to Congress an annual report on the Trade Adjustment Assistance for

Firms (TAAF) Program by the 156 of Decemberiach year. The TAAF Program is one of

four Trade Adjustment Assistance (TAA) Programs authorized by the Trade Act of 1974

(19 U.S.C. $ 2341 et seq.) (Trade Act).

Administered by the Department of Commerce's Economic Development Administration

@DA), the goal of the TAAF Program is to help economically distressed U.S. businesses

develop sfrategies to compete in the global economy. In general, the program provides costsharing technical assistance to eligible businesses to create and implement targeted business

recovery plans, called Adjustment Proposals under the program. Firms contribute a matching

share to create and implement their plan.

Technical assistance is provided through a nationwide network of eleven EDA-funded

Trade Adjustment Assistance Centers (TAACs), which are either non-profits or

university-affiliated. The TAACs provide assistance to firms petitioning EDA for

certification of eligibility under the program and in the development and implementation

of business recovery plans.

Firms that completed the TAAF Program in FY 2008 report that at completion, average

sales were $10.3 million, average employment was 73, and average productivity was

$140,977 (sales per employee). One year after completing the program (FY 2009), firms

report that average sales increased by one percent, average employment decreased by 10

percent, and average productivity increased by I I percent. The Bureau ofLabor Statistics

(BLS) reported that nationwide for the manufacturing industry in FY 2009, average

employment decreased l2 percent and average productivity increased by 4 percent. Two

years after completing the program (FY 2010), firms report that average sales decreased

by l4 percent, average employment decreased by l6 percent, and average productivity

increased by 3 percent. BLS reported that nationwide for the manufacturing industry in

FY 2010, average employment decreased l2 percent and average productivity increased

by 9 percent.

Overall, there has been an increase in the demand for the TAAF Program in FY 2010, as

demonstrated by the increase in the number of petitions for certification and Adjustment

Proposals submitted to EDA for approval. In FY 2010, EDA approved an additional l14

petitions, a 53 percent increase as compared to FY 2009; and approved an additional 93

Adjustment Proposals, a 54 percent increase as compared to FY 2009.

The addition of TAAF staff resources facilitated EDA's ability to improve processing

time for petitions and Adjustment Proposals in FY 2010. Although there was a spike in

petitions and Adjustment Proposals, EDA successfully met the 40-day processing
deadline to make a final determination for petitions accepted for filing; and the 60-day

processing deadline for approval of Adjustment Proposals as required in the TGAAA. In

fact, the average processing time for petitions has started to decline below the 40-day

requirement and the average processing time for Adjustment Proposals is below 30 days.
Table of Contents

Introduction ....................... I

Program Description ..............2

Program Initiative... ................3

Results/Findings ...................... 6

Data for This Report ...............6

(l) The number of firms that inquired about the program ...............6

(2) The number of petitions filed under section 251. ........... ..........6

(3) The number of petitions certified and denied. ........6

(4) The average time for processing petitions ..............6

(5) The number of petitions filed and firms certified for each Congressional District of

the United States. ...........10

(6) The number of firms that received assistance in preparing their petitions. ..................21

(7) The number of firms that received assistance developing business recovery plans

(Adjustment Proposals)................. .....22

(8) The number of Adjustment Proposals approved and denied by the Secretary of Commerce. .....................22

(9) Sales, employment, and productivity at each firm participating in the program at the

time of certification..... ......................24

(10) Sales, employment, and productivity at each firm upon completion of the program

and each year for the two-year period following completion. ..:...................................33

(1 1) The financial assistance received by each firm participating in the program...............36

(12) The financial contribution made by each firm participating in the program. ...............36

(13) The types of technical assistance included in the Adjustment Proposals of firms

participating in the program.... ..........36

(14) The number of firms leaving the program before completing the project or projects

in their Adjustment Proposals and the reason the project was not compIeted.............. 38

Conclusion
Introduction

his report is provided in compliance with Section 1866 of the Trade and

Globalization Adjustment Assistance Act (TGAAA) of 2009, which was included

as subtitle I (letter "l") of title I of Division B of the American Recovery and

Reinvestment Act of 2009 (Pub. L. No. I I l-5, 123 Stat. 1 15, at367). Section

I 866 of the TGAAA directs the Secretary of Commerce to provide an annual

report on the Trade Adjustment Assistance for Firms (TAAF) program by the l5th

of December each year. Section 1866 of the TGAAA states:

IN GENERAL.-Not later than December 15,2009, and each year

thereafter, the Secretary of Commerce shall prepare a report containing

data regarding the trade adjustment assistance for firms program provided

for in chapter 3 of title II of the Trade Act of 1974 (19 U.S.C. 2341 et

seq.) for the preceding fiscal year.

This report will provide findings and results to the extent that the data is

available on the following 14 measures:

1. The number of firms that inquired about the program.

2. The number of petitions filed under section 25 I .

3. The number of petitions certified and denied.

4. The average time for processing petitions.

5. The number of petitions filed and firms certified for each congressional

district of the United States.

6. The number of firms that received assistance in preparing their petitions.

7 . The number of firms that received assistance developing business recovery

plans (Adjustment Proposals).

8. The number of Adjustment Proposals approved and denied by the Secretary

of Commerce.

9. Sales, employment, and productivity at each firm participating in the

program at the time of certification.

10. Sales, employment, and productivity at each firm upon completion of the

program and each year for the two-year period following completion.

I l. The financial assistance received by each firm participating in the program.

12. The financial contribution made by each firm participating in the program.

13. The types of technical assistance included in the Adjustment Proposals of

firms participating in the program.

14. The number of firms leaving the program before completing the project or

projects in their Adjustment Proposals and the reason the project was not

completed.

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Program Description

The TAAF program is one of four Trade Adjustrnent Assistance (TAA) programs authorized

under the Trade Act of 1974 (19 U.S.C. $ 2341 et seq) (Trade Act). The responsibility for

administering the TAAF program is delegated by the Secretary of Commerce to the Economic

Development Administration (EDA). TAAF program provides technical assistance to

manufacturers and service firms affected by import competition to help the firms develop and

implement projects to regain global competitiveness.

The mission of the TAAF Program is to help U.S. firms regain competitiveness in the

global economy. Import-impacted U.S. manufacturing, production, and service firms can

receive matching funds for projects that expand markets, strengthen operations, and sharpen

competitiveness through TAAF. The program provides assistance in the development of

business recovery plans, which are known as Adjustment Proposals under Section 252 of

the Trade Act, and matching funds to implement projects outlined in the Adjustment

Proposals.

The TAAF Program supports a national network of 1l non-profit or university-affiliated

Trade Adjustment Assistance Centers (TAACs) to help U.S. manufacturing, production,

and service firms in all fifty states, the District of Columbia, and the Commonwealth of

Puerto Rico. Firms work with the TAACs to apply for certification for TAAF assistance,

and prepare and implement strategies to guide their economic recovery.

The other TAA programs are TAA for Workers, Farmers, and Communities, which are

administered by the Departments of Labor, Agriculture, and Commerce through EDA,

respectively.

Exhibit l: TAA Programs

Agencies

TAA Programs

Clients

I

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Department

of

Labor
Program Initiative

As noted above, the TAAF Program provides technical assistance in the development and

implementation of Adjustment Proposals. Projects are aimed at improving a firm's

competitive position. Specifically, funds are applied toward the cost of consultants,

engineers, designers, or industry experts for improvement projects in targeted areas that

can better a firm's position, such as engineering, information technology, management,

market development, marketing, new product development, quality improvement, and

sales. Funds are not provided directly to firms; instead EDA funds TAACs and TAACs

pay a cost-shared proportion of the cost to secure specialized business consultants.

To certify a firm as eligible to apply for adjustment assistance, the Secretary must

determine that three conditions are met:

1. A significant number or proportion of the workers in the firm have been or are

threatened to be totally or partially separated;

2 Sales and/or production of the firm have decreased absolutely, or sales and/or

production ofan article or service that accounted for at least 25 percent oftotal

production or sales of the firm during the 12,24, or 36 months preceding the most

recent 12,24, or 36-month period for which data are available have decreased

absolutely; and

3. Increased imports of articles like or directly competitive with articles produced or

services provided by the firm have "contributed importantly" to both the layoffs and

the decline in sales and/or production.

Exhibit 2: TAACs and their Respective Service Areas

TAAC Service Areas

Great Lakes Indiana, Michigan, and Ohio

Mid-America Arkansas, Kansas, and Missouri

MidAtlantic

Delaware, District of Columbia, Maryland, New Jersey, Pennsylvania,

Virginia, and West Vireinia

Midwest Illinois, Iowa, Minnesota, and Wisconsin

New England

Connecticut, Maine, Massachusetts, New Hampshire, Rhode Island, and

Vermont

New York State New York

Northwest Alaska, Idaho, Montana, Oregon, and Washington

Rocky Mountain

Colorado, Nebraska, New Mexico, North Dakota, South Dakota, Utah,

and Wyoming

Southeastern

Alabama, Florida, Georgia, Kentucky, Mississippi, North Carolina,

South Carolina, Tennessee, and the Commonwealth of Puerto Rico

Southwest Louisiana, Oklahoma, and Texas

Western Arizona, Califomia, Hawaii, and Nevada

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The main responsibilities ofthe TAACS include:

o Assisting firms in preparing their petitions for TAAF. Firms are not charged for any

assistance related to preparing a petition.

o Once a petition has been approved, TAACs work closely with firm management to

identify the firm's strengths and weaknesses and develop a customized Adjustment

Proposal designed to stimulate recovery and growth. The program pays up to 75Yo of

the cost of developing an Adjustment Proposal and the firm must pay the rest. EDA

must approve all Adjustment Proposals to ensure they conform to statutory and

regulatory requirements.

. After an Adjustrnent Proposal has been approved, company management and TAAC

staffjointly identifr consultants with the specific expertise required to assist the firm.

. Under the TAAF Program, EDA shares the cost of Adjustnent Proposal task

implementation. For an Adjustment Proposal in which proposed tasks total $30,000 or

less, EDA will provide 75 percent of the cost and the firm is responsible for the

balance. For an Adjustnent Proposal in which proposed tasks total over $30,000,

EDA and the firm share the implementation costs evenly; EDA pays 50 percent of the

total cost and the firm pays 50 percent. Due to limited progftrm funding, EDA limits

is share of technical assistance to a certified firm to $75,000. After a competitive

procurement process, the TAAC and the firm generally contract with private

consultants to implement the Adjustment Proposal.

There are three main phases to receiving technical assistance under the program. The phases

are (l) petitioning for certification, (2) recovery planning, and (3) project implementation.

Exhibit 3: Program Phases

i● On

Oient Cost O°/。

Federal Cost 100°/。

Recovery Hanning

Oient(bst 25%

Federal Cost 75%

Hire“ nsultant

Cient∞ st 50%(r total costs>S30K)

25%(f total costs=S30K

Federal Cost 50%(f tOtal costs>S30K)

75%(f total cOsts=S30K

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Phase I - Petitioning for Certification

The first step to receiving assistance is the submission of a petition to EDA to be certified as a

trade impacted firm. This petition is Form ED-840P "Petition by a Firm for Certification of

Eligibility to Apply for Trade Adjustment Assistance" and any supporting documentation.

Certification specialists within the TAACs generally work with the firm at no cost to complete

and submit a petition to EDA.

Upon receipt of the petition, EDA performs a thorough analysis of the petition and supporting

documents to determine if the petition is complete and may be accepted. EDA is required to

make a final determination on the petition within 40 days of accepting a petition.l

Phase II - Recovery Planning

Certified firms then work with TAAC staff to develop a customized Adjustment Proposal and

submit to EDA for approval. Once an Adjustment Proposal has been submitted, EDA is

required to make a final determination within 60 days.

Phase III - Adjustment Proposal Implementation

The firm works with consultants to implement projects in an approved Adjustment Proposal.

As projects are implemented and if the firm is satisfied with the work, the firm will first pay

their match to the consultant, and then send a notice to the TAAC stating that they are satisfied

with the work and that they have paid their matching share. The TAAC will then pay the

Federal matching share. Firms have up to five years from the date of an Adjustment

Proposal's approval to implement it, unless they receive approval for an extension. Generally,

firms complete the implementation of their Adjustrnent Proposals over a two-year period.

I As of May 17 , 2}Og,the deadline for making a final determination is 40 days. Before May 17 ,2009, EDA

had 60 days to make a determination.

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Results/Findings

Data for This Report

The data used in this report was collected from the TAACs as part of their reporting

requirements, petitions for certification, and the Adjustment Proposals submitted by the

TAACs on behalf of firms. Data from these sources were recorded into a central

database by Eligibility Reviewers at EDA. Results for average processing times and the

number of approved and denied petitions and Adjustment Proposal were derived by

EDA.

(1) The number of firms that inquired about the program.

In FY 2010, TAACs received 3,446 inquiries about the TAAF Program.

Exhibit 4: Inquiries about the TAAF Program by TAAC

Great Lakes 106

Mid-America 137

MidAtlantic 376

Midwest

New England 163

New York State 134

Northwest 806

Rocky Mountain

Southeastern

Southwest 280

Western 969

(2) The number of petitions filed under section 251.

(3) The number of petitions certified and denied. (4) The average time for processing petitions.

In FY 2010, 305 petitions were filed under Section 251 of the Trade Act, up an additional

27 petitions, a 10 percent increase compared to the number of petitions filed in FY 2009.

EDA certified 330 petitions, up an additional 114 petitions, a 53 percent increase

compared to the number of certifications in FY 2009. Petitions are certified on a rolling

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TAAC

No.of Firms that

lnquired about

the TAAF

Program

Total 3。446
Petitions Filed by TAAC

(FY 2008-FY 2010)

basis throughout the year. Petitions cenified in FY 2010 may be the result of those filed or

accepted in FY 2009; and petitions filed or accepted in FY 2010 may not result in

certification in FY 2010.

The addition of TAAF staff resources facilitated EDA's ability to improve processing

time for petitions in FY 2010. Although there was a spike in petitions, EDA successfully

met the 40-day processing deadline to make a final determination for petitions accepted for

filing as required in the TGAAA. In fact, the average processing time for petitions has

started to decline below the 40-day requirement.

Exhibit 5: Petition Activity: FY 2008 - FY 2010

Exhibit 6:Pctitions Filed by TAAC:FY 2008-FY 2010

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FY

No.of

Petitions

Filed

No.of

Petitions

Accepted

for Filing

No.of

Petitions

Certined

No.of

Petitions

nenled

Average

Days

Between

Acceptance

and

Certification

Average

Days

Between

Filing and

Certification

2008 189 190 0 45 N/A

2009 278 244 216 1 44 89

2010 305 330 0 40 74

%Change

(20091o

2010ヽ 10% 330/0 530/。 N/A (9)0/0

`17)0/0

¬

「ヨ■■

LI石 l J

GLTAAC MATAAC TAAC NETAAC NYSTAAC WTAAC RMTAAC SETAAC SWTAAC WTAAC

FY 2008 9

FY 2009

“

FY 2010 57 8
Petitions Accepted by TAAC

(FY 2008 - FY 2010)

80

r,l I

JT I I I{T

GLTAAC MamTAAC IIATAAC IWTAAC NETAAC NYSTAAC WTAAC RMTAAC SETAAC SWTAAC WTAAC

FY 2008 tt 21 9

B FY 2009

FY 2010 59 36 55 22

Exhibit 7: Petitions Accepted by TAAC: FY 2008 - FY 2010

Exhibit 8: Petitions Certified by TAAC: FY 2008 - FY 2010

Exhibit 9: Petitions Filed, Accepted and Certified by TAAC: FY 2010

2 Petitions are certified on a rolling basis throughout the year, therefore activity in these categories may not

result in certification within the same FY. These totals represent the activity under each category within FY

2010.

Petitions Certified by TAAC

(FY 2008 - FY 2010)

80

t E日 』 □□L』 .目J百 IL」 1日1日 Lり 1日 1日 ] L」 l日 11] [f _ .

GLTAAC MATAAC MWTAAC NETAAC NYSTAAC NWTAAC RMTAAC SETAAC SWTAAC WTAAC

FY 2008 9 9 9

“

FY 2009 22

“

FY 2010 5E 56 30

8 of39

|

|

TAAC

No. of

Petitions

Filed2

No. of

Petitions

Accepted

for Filins2

No. of

Petitions

Certified

Great Lakes 14 16 19

Mid-America 26 30 28

MidAtlantic 57 59 58

Midwest 33 36 40
Exhibit 10: Petitions Filed, Accepted, and Certified by TAAC: FY 2010

Petitions Filed,Accepted and Certirled by TAAC

FY 2010

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TAAC

No.of

Petitions

Filed2

Noo of

Petitions

:12

No. of

Petitions

Certified

New Ensland 53 56 56

New York State 22 26

Northwest 19 22 21

Rocky Mountain 17 16 18

Southeastern 33 30 30

Southwest 23 25 23

Western 8

つ ́

Total 305 328 330
Exhibit I l: Firms Certified for TAAF by Industry: FY 2010

The majority of petitions certified for TAAF were submitted by firms in the

manufacturing industry. Firms in wholesale trade and technical services rounded out the

top three industries. Approximately 7 percent of firms certified in FY 2010 were service

sector firms. Demand from service firms in FY 201 I is likely to increase at the same rate

as FY 2010.

Firms Certified for TAAF by Industry

(FY 2010)

Administrative,

Support, Weste

Management,

Rcmediation Services

0.6. Agriculture, Forestry,

Fishing and Hunting

Retail Trade

0.60

Construction

0.3o/"

Information

0.30

(5) The number of petitions filed and firms certified for each Congressional

District of the United States.

Exhibit l2: Petitions Filed by Congressional District: FY 2010

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Professional,

Technical Services

1.50h

Congressional

District(s)

No. of

Petitions

Filed

AK

At Larse

AL

4

AR

1

2 4
3 2

AZ

5 1

6 l

CA

13 l

30 1

32 1

34 1

43 l

CO

2

2 2

3 3

4 1

l

CT

1 2

2

1

6 1

FL

10 1

21 1

22 1

24 1

GA

2 2

5 l

6 l

7 1

9 1

HI

l l

ID

1 3

IL

3 2

4 1

5 3

1l of39

Congressional

District(s)

No. of

Petitions

Filed
6 3

8 l

10 1

13 1

14 4

16 1

17 1

IN

2 1

7 1

8 1

13 1

KS

l 2

2 2

3 1

4 2

KY

l 1

2 2

3 1

LA

2 2

3 3

6 1

7 1

MA

1 4

3 3

4 3

5 3

6 3

7 3

9 4

10 2

ID

1

4 1

ME

1 3

12 of39

Congressional

District(s)

No. of

Petitions

Filed
3

II

1 1

7 l

9 2

3

12 l

IN

3 2

4 1

5 1

6 1

7 1

MO

1 1

2 1

4 1

5 2

6 1

7 4

8 2

IVIS

l 1

IT

At Larse 3

NC

7

8

9

10

12

ND

1 3

NH

1 4

NJ

8 1

12 1

NY

13 of39

Congressional

Districtrsヽ

No.of

Petitions

Filed

l

1

l

1
l 1

3 l

8 2

20 2

22 l

6

26 4

27 1

28 2

29 2

OH

4 1

14 l

16 l

OK

1 5

2 1

3 3

OR

3 1

4 2

PA

3 3

4 1

5 2

6 1

7 3

8 2

9 2

10 2

8

12 1

13 2

15 8

16 3

17 6

18 1

19 6

RI

1 8

14 of39

Congressional

District(s)

No. of

Petitions

Filed
3

SC

2 2

3 1

5 3

6 2

SD

At Larse 1

TN

4 1

6 1

TX

3 1

12 4

13 1

15 1

UT

1 1

1

3 1

VA

4 1

6 1

VT

1 1

WA

4 1

2

6 2

7 2

9 2

WI

l 1

4 1

5 4

6 2

7 1

15 of39

Noo of

Petitions

Filed
Exhibit 13: Petitions Certified by Congressional District: FY 2010

Certifled

AK

At Large 2

AL

4 1

AR

1 1

4

2

AZ

4 l

CA

7 1

20 1

26 1

30 1

31 1

32 l

34 1

43 1

48 1

CO

1 1

2

3 3

4 1

5 1

6 1

CT

1 2

2 2

1

6 1

FL

10 1

22 1

24 1

GA 6

2 2

16 of39

Congressional

Districtrsヽ
3 1

1

6 l

9 l

HI

l 2

IA

3 l

ID

1 3

IL

3 2

4 2

5 3

6 4

7 l

8 2

10 l

13 l

14

16 1

17 1

IN

2 l

7 l

8 l

13 1

KS

1 2

2 l

3 l

4 2

KY

l 1

3 l

LA

2 2

3 2

6 1

7 1

17 of39

Congressional

District(s)

No. of

Petitions

Certified
MA

1 4

3 4

4 3

5 3

6 3

7 3

9 5

10 2

ID

2 1

4 l

IE

3

2 3

MI

1

7

9 2

10 1

4

12 1

IN

2 2

3 1

4 l

1

6 1

MO

l 2

2 1

3 1

4

5 2

6 1

7 5

8 1

MS

1 1

IT

18 of39

Congressional

District(s)

No. of

Petitions

Certified
At Larse 5

NC

1 1

1

7

9 l

10 2

1

1

ND

1 l

At Laree l

NH

1 5

2 1

NY

1 l

3 1

8 l

20 3

25 6

26 5

27 l

28 4

29 3

OH

1

4 1

8 1

10 l

14 l

16 1

OK

l 5

2 2

3 2

OR

3 1

4 2

PA

19 of39

Congressional

District(s)

No. of

Petitions

Certified
3 3

4 1

6 3

7 4

8 2

9 2

10 3

7

1

1

15 8

16 2

17 7

18 1

19 8

RI

1 8

3

SC

2 1

1

5 2

6 2

SD

At Larse 1

TN

4 1

6

TX

3 1

12 4

1

16

21 1

UT

1

1

3 2

28 1

VA

20 of39

Congressional

Districtrsヽ

No.of

Petitions

Certifled
(6) The number of firms that received assistance in preparing their petitions.

In FY 2010, on average, 232 firms received assistance in preparing petitions per quarter.

The total number of firms that received technical assistance varies each quarter as

assistance is provided throughout the year. A firm receiving assistance in one quarter

may continue to receive assistance in the following quarter.

Exhibit l4: Petition Assistance Activity per Quarter: FY 2010

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Congressional

Districf(s)

No. of

Petitions

Certified

4

6 2

WA

4

5 2

6

7 3

9

WI

3

4

5

6

TAAC

Average No. of Firms

Receiving Assistance with

Preparing Petitions

(oer ouarter)

Great Lakes 8

Mid-America 61

NIlidAtlantic 10

Midwest 49

New Eneland 9

New York State 15

Northwest 15

Rocky Mountain 21

Southeastern 20

Southwest 5

Western 19

Total 232
(7) The number of firms that received assistance developing business recovery

plans (Adj ustment Proposals).

In FY 2010, on average, 146 firms received assistance in developing Adjustment

Proposals; and 690 firms received assistance in the implementation of Adjustment

Proposal plans per quarter. The total number of firms that received technical assistance

varies each quarter as assistance is provided throughout the year. A firm receiving

assistance in one quarter may continue to receive assistance in the following quarter.

Exhibit l5: Adjustment Proposal Development Activity per Quarter: FY 2010

TAAC

Average No. of

Firms Receiving

Assistance with

Adjustment

Proposal

Development

(per quarter)

Average No. of

Firms Receiving

Assistance with

Adjustment

Proposal

Implementation

(per ouarter)

Great Lakes 4 58

M d-America 14

ハ )

M dAtlantic 3

M dwest 64

New Eneland 6

(υ

New York State 3 30

Northwest 5 61

Rocky Mountain 18 79

Southeastern 21 54

Southwest 16 54

Western 13 39

Total 146 690

(8) The number of Adjustment Proposals approved and denied by the Secretary

of Commerce.

In FY 2010, EDA approved all265 Adjustment Proposals that were submitted; an

additional 93 business recovery plans, a 54 percent increase as compared to FY 2009.

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Exhibit l6: Summary of Adjustment Proposals Approved: FY 2008 - FY 2010

Exhibit l7: Adjustment Proposals Approved by TAAC: FY 2008 - FY 2010

Adjustment Proposals Approved by TAAC

(FY 2008-FY 2010)

Exhibit l8: Adjustment Proposals Approved by TAAC: FY 2010

MidAtlantic

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TAAC

No. of Adjustment

Proposals

,dnnroved

Great Lakes 24

Mid-America 25

29

Midwest 40

New Ensland 48

New York State 14

Northwest 20

FY

Noo of

Adiustment

Proposals

ADDrOVed

Total

Govermment

Share

rrnill10ns、

Total Firm

Share

rmlll10ns、

Total

PrOieCted

Attustment

Proposal Costs

rmillinms、

Average

Government

Assistance

Per Firrn

2008 139 S7.9 S7.5 $15.4 $56,835

2009 172 S10.3 S9.8 S20.2 S59、 884

2010 265 S16.4 S15.6 S32.1 S61.958

%Change

r20091o2010) 54% 59% 59% 59% 30/O

F

J l

J 1 i:

i 竃 目 J I 

GLTAAC MamTAAC MATAAC 1ヽ TAAC NETAAC NYSTAAC NWTAAC RIVITAAC SETAAC SヽVTAAC “WTAAC

“

FY 2010
TAAC

No. of Adjustment

Proposals

Approved

Rocky Mountain 17

Southedstern 23

Southwest 16

Western 9

Total 265

(9) Sales, employment, and productivity at each firm participating in the

program at the time of certification.

The average sales, employment and productivity of firms certified into the program in

FY 2010 was higher than that of firms certified in FY 2009. For the purposes of this

report, productivity is defined as net sales per employee. Since the certified firms are in

various industries, which have a variety of ways to measure productivity, sales per

employee was chosen as the productivity measure. This measure is used because it can

be generally applied to all certified firms.

Exhibit 19: Comparison of Average Sales, Employment, and Productivity at Firms at

the time of Cenification: FY 2008 - FY 2010

FY Average Sales

Average

Employment

Average

Productivitv

2008 $13,081,993 82 $159.537

2009 $10,338,422 79 $130,866

2010 $19,137,139 138 $1389675

%Change

0009 tO

2010) 850/0 740/0 15°/0

Exhibit 20: Summary Comparison of Average Sales, Employment, and Productivity for

Firms atthe time of Certification by TAAC: FY 2010

TAAC Average Sales

Average

Employment

Average

Productivity

Great Lakes $35,1273822 177 $198,462

Mid-America $10,265,214 88 $116,650

MidAtlandc $15,122,655 89 $169,917

24 of39
TAAC Average Sales

Average

Emolovment

Average

Productivitv

Midwest $22,062っ 757 l14 $ I 93,533

New England $7,6329080 51 s 148,649

New York State $ 14,585,421 91 $160,279

Northwest $8,720,395 72 $tzl,l17

Rocky Mountain $43,725,204 203 $21 5,395

Southeastern $l1,052,021 68 $162,530

Southwest $7,529,645 366 $20,573

Western $34,685,316 196 $176,966

Total $19,137,139 138 S138.675

Exhibit 21: Summary of Sales, Employment, and Productivity at each Firm

Participating in the Program at the time of Certification: FY 2010

Firm

Number Sales Employment Productivitv

-2118051509 $5,333,040 23 $231,871

...2111249509 $ 1,208,258 7 $172,608

...2104802926 $2,455,461 39 $62,961

...2103906847 $1,328,000 10 $ r 32,800

2083450313 $42,874,044 185 $231,752

-2073175636 $ 16,1 01,898 137 $117,532

2068287522 $1139389999 $38s, l 29

-2059136725 s60,764,7s8 181 $335,717

-2023874564 $2,s 18,000 21 $119,905

2010236141 $3,019,178 25 st20,767

2007895508 s613,906 6 $102,318

...1997824464 $4,171,401 41 $ 102,795

1990457870 $7,559,350 98 $77,136

...1973580510 $45,487,139 457 $99,534

...1958214488 s7,467,369 49 $153,429

 ̈1956376675 $1,780,606 24 s74,973

 ̈1941157067 s612.124 5 $122,425

 ̈1899532397 s2,037,2s7 4 $479,355

 ̈1898904502 $315,272 5 $63,054

1884551502 s9,040,000 58 $ 155,862

...1880843073 $5,265,708 41 $128,432

-1838877792 $3,483,609 $112,374

...1828369285 $ 17,140,309 162 $105,804

...1759758341 $6,010,971 50 $r20,219

1742177269 $9,976,653 62 $160,914

25 of39
Firm

Number Sales Employment Productivity

740960093 $13,154,390 45 $292,320

740086291 $26,940,727 147 $183,270

739842518 $2,310,068 27 $85,558

704715418 $12,875,152 171 $75,293

661485163 $3,393っ 780 31 $109,477

635069591 $7,537,000 51 $147,784

542448328 $9,922,578 120 $82,688

520701304 $4,697,310 77 $61,004

484222959 $1,444,014 $131,274

471661205 $6,322,000 40 $158,050

461073515 $92,484,000 302 $306,238

454186553 $282,778 4 $70,695

432738384 $3っ 528,890 33 $106,936

427334167 $37,484,000 359 $104,412

417226723 $983,006 $89,364

281724603 $4,028,000 38 S106,000

243439974 $22,596,956 99 $228,252

241427110 $10,487,391 104 $100,840

187326382 $707,341 4 $176,835

169045359 $5,046,000 43 $117,349

129223838 $10,578,429 104 $101,716

128703111 $1,354,620 14 $96,759

126326868 $2,212っ 064 19 Sl16,424

l16912576 $5,470,620 25 $2189825

097459358 $92,988,380 461 $201,601

086130450 $26,260,884 105 $250,509

038621441 $14,126,803 103 $ 37 153

004329971 $17,601,176 165 $ 06.674

000240433 $15,690,666 102 $ 53.830

999105849 $2.547.000 21 $ 213286

995226650 $4,930,000 24 $205,417

-947962116 $4.549.568 34 $133,811

-934975561 $4,495.541 39 $115,270

885365563 $3.121.641 34 $913813

-857031178 $11,353,000 99 $114,677

...852461053 $932,387 143 S6.520

...843055880 $1,606,394 36 $44,622

-840166025 $10,585,957 109 $97,119

...806944983 $9,609,077 $113,048

-794575305 $1,406,804 3 $468,935

 ̈788484912 S15,056,348 108 $139,411

779297214 $108,005,394 736 $146,746

26 of39
Firm

Nulnber Sales Employment Product市ity

-759779489 $43,715,000 160 $273,219

 ̈726121634 $1,660,145 14 $118.582

702330654 $12,073,751 125 $96,590

692565138 $6,173,766 23 $268,425

681139744 $13,963,911 85 $164っ 281

...674357347 $5,304,000 52 $102.000

-672809309 $10,311,629 28 $368,272

654901806 $10,811.000 53 $203,981

-622207779 $3,122,027 41 $76,147

...591889087 $2,346,285 237 $9,900

585725005 $16,463,961 $193,694

 ̈560318612 $4,131,687 22 $190,664

-554924474 $171,103 3 $57,034

-550588573 $943,348 10 $97,554

543809333 $9,295,728 25 $371,829

504989951 $25,003っ 966 78 $320.235

436909589 $11,245,912 337 $33,371

429565845 $194,828 8 $24,354

-426260672 $677,432 $569453

413262258 $16,722,097 104 $160,789

370373838 $2,195,090 14 $156,792

356857349 $8,882,300 $84.593

-347882712 $10っ 155,480 508 $19,991

...334795766 $2,737,505 31 $88,307

334691552 $2,927,563 25 $117,103

-325246775 $16,232,121 108 $150,297

322389137 $3っ 344,284 32 $1043509

311586268 $939,857 $187,971

-297716183 $34,926,049 192 $181,509

-263774128 $4,637,869 42 $110.425

...229337262 $1,529,815 18 $84,990

222714747 $10,140,682 157 $64,590

-172876934 $3.873.669 41 $94,480

...167523770 $1,377,000 15 $91,800

...138492743 $10,056,766 35 $287,336

-126595790 $59781,000 116 $49,836

11557939 $14,913,000 108 $138.083

-106605238 $94,110,272 316 $297,817

-80321537 $2,496,868 28 $88,135

75360888 $3,998,950 21 $190,426

72799676 $14,999,842 67 $223,878

52573030 $3,7319345 38 $99,503

27 of39
Firm

Number Sales Emplovment ProductiviE

-41850669 $20,268,686 98 $206,823

-2420921 $1,191っ 242 13 $91,634

-438018 $32,608,321 116 $28 1, I 06

16573262 $2,803,311 21 $ 133,491

22130970 $8,378,094 55 $152,329

48907681 $1,447 ,117 $136,779

83564872 $1,099,835 13 $84,603

85474563 $3,475,788 50 $69,516

92019186 s4,882,733 27 $180,842

98077462 $6,103,725 66 $923481

132107069 $4,875,1 50 $88,639

215326868 $8,232,877 $78,408

235292569 $201,980,000 934 $216,253

278618212 $3 1 3,1 50 $62,630

294844867 s613,236 10 $61,324

299352457 $1,090,852 14 $77,918

300171006 92,425,844 22 $112,830

370006245 $4s.317,479 260 $174,634

375977128 $3,27s,986 30 $109,200

416345364 $6,160,767 431 $t4,294

431287226 $6.578.244 344 $19,123

434352811 $853,056 19 $43,972

447765204 $4,050,320 32 $126,573

456495450 $22,274,281 77 $289,276

457871548 $ 166,600,000 660 $252,424

460220479 $5,323,864 37 $ 143,888

461983321 $9,815,491 70 $140,221

488397464 $3,814,820 2122 $1,798

507638153 $1,168,480 14 $83,463

605479507 $3,393,771 s96,965

695555564 $3,774,516 18 $209,695

709865456 $2,505,135 34 $73,680

725507790 $ 134,197,000 914 $t46,824

737303963 $7,042,585 40 $ 176,065

742517299 $3,196,691 52 $61,475

765990946 $1l,2gg,g0g 110 $102,716

769259150 97,770,655 16 $485,666

774637751 $ 14,856,71 5 62 $239,624

807998327 $ 19,01s,349 846 $22,477

816528506 $9,998,096 41 $242,085

821736854 $4,502,400 57 $78,989

831153636 $884,344 130 $6,803

28 of39
Firm

Number Sales Emplovment Productivity

870096733 $ 10,389,478 82 $126,701

916493089 $5,939,422 57 s 104,200

920775500 $ 13,044,545 691 $ 18,878

921991757 $23,726,780 113 s209,972

923653641 s2,722,000 18 S151,222

931084257 $ 19,809,756 57 $347,540

931353658 $13,942,054 69 s202,059

936755382 $1,990,490 24 $82,937

938704928 $9,793,612 126 $77,727

952223001 $3,371,521 31 $ 108,759

974323566 $7,510,846 78 $96,293

998418962 $4,612,000 35 $131.771

008993417 $ 1,065,256 21 $50.726

036673242 $86,665,926 458 $189,227

047544912 $12,706,348 167 $76,086

079241463 $639,588 4 593897

080100154 $13,493,317 86 $ 563899

57306813 $23,214,000 204 $ 13,794

70995123 91,954,476 $ 50,344

76704596 $1,551,985 23 $68,369

90314840 $ 16,885,829 808 $20,898

90725189 $6,360,142 68 s93,532

99996737 $12,773,634 66 $193,540

208792226 $2,043,850 $97,326

237998436 $14.291,766 134 $ 106,655

246033896 $15,392,000 58 $265,379

246285115 $l1,261,303 61 s184,612

246302114 $40,310,044 3115 st2,941

246892583 $5,306,225 43 $ 123,401

247153819 $7,454,736 63 $118,329

247167949 $57,390,191 259 $221,584

247662700 $ 105,504,196 395 $267,099

247670190 $l12,370,000 998 $112,595

247750161 $ 158,893 4 $39,723

247758341 $5,834っ 248 68 $85,798

247766035 $5,108,385 34 $150,247

249481184 $13492.256 12 $124,355

250022715 $7,189,955 76 $94,605

250 03435 $28,962,384 187 $ I 54,879

250 05714 $4,800,000 53 $90,566

250 74776 $20,457,000 124 $164,976

250 86876 $88,739,000 JJJ S266,483

29 of39
Firm

Number Sales Employment Productivitv

250192980 $433.632 4 $108,408

250257754 $3,281,352 41 $80,033

251302450 $4,019,650 40 $100,466

252079576 $110,491,969 497 $222.318

252436282 $217,035 2 $ 108,5 I 8

253720272 $ 14,816,335 77 $192,420

254322240 $100,962,620 320 $315,508

255105505 $465,216 5 $93,043

256321189 $1,731,646 20 $86.582

256768152 $2.917.626 34 $85,813

256819844 s52,569,607 195 $269.588

256829696 $5,821,437 62 $93,894

256861475 $s 1 1.901 4 $127,975

256921129 $7,230,791 24 $3013283

257376509 $1,926,715 25 $77,378

257516574 $10,874,000 99 $109,838

258743222 $8,813.262 42 $209,840

260826068 $1,978,584 22 $89,936

262959682 $ 15,899,753 86 $ 184,765

264723282 $3,640,000 20 $ 182,000

266339861 $6,975,566 45 $ 155,01 3

266353281 $11,331,686 135 $83,938

266507166 $640,737 9 $71ぅ 193

266857885 $1,625,000 19 $85,526

266942829 $7,291,000 118 $61,788

266943121 $ 16,869,347 115 st46,173

266947270 $ 1,876,145 $58,630

267027715 $ 1,656,638 29 $57,622

267462374 $663,920 10 $66,392

267470068 $10,547,269 76 $138,780

267543458 $6,961,334 90 $77,348

267648076 $3,323,141 26 $ 127,81 3

267651976 $10,210,351 71 $143,808

268086064 $10,016,000 34 $294,588

268146310 $3,392,394 45 $75,386

268157420 925,542,464 321 s79,572

268224827 $1,532,111 8 $191,514

268670167 $355,324.231 1143 $3 10,870

268744533 $2,474,000 43 $57.535

268751244 $1,688,308 16 S105,519

268925702 $1,794,208 14 $ 1 28,1 58

268951389 $22,679,000 152 $149,204

30 of39
Firm

Number Sales Employment Product市itv

269004689 $161,938 3 $52,577

269269057 $4,748,940 20 $237,447

269271489 $3,866,340 30 $128,878

269291616 $2,906,220 34 $85,477

269368306 $20,343,681 108 $188,367

269436574 $991,000 203 $4,882

269956130 $48,092,000 352 $136,625

270041484 $2,214,350 21 $105,045

270057007 $11,118ぅ 850 90 $123,543

270480498 $6,162,659 69 $899314

270494120 $7,701,343 64 $120,333

271250626 $8,126,174 98 $82,920

271253012 $3,574,300 26 $137,473

271254787 $2,428,448 17 $142,850

271444344 $3,399,635 38 $89,464

273082444 $1,757,269 19 $92,488

273151594 $2っ 636,265 18 $146,459

273511065 $3,415,979 38 $89,894

273604467 $935,330 16 $59,386

273670517 $1,588,074 9 $176,453

274280512 $185,220 l $185,220

274377941 $59,439,842 223 $266っ 546

274732253 $4.418,363 33 S133,890

274891083 $8,212,101 89 $92,271

274904043 $7,o13,000 55 $127,509

274977621 $10,041,631 107 $93,847

274982453 $24,617,949 165 $149,200

275498608 $8,194,926 82 $99,938

275501481 $8,854,439 42 $210,820

275511967 $8,679,385 47 86,333

276001619 $1,921,000 10 92.100

276010273 $837,229 8 $ 043654

276103578 $6,547,098 43 $ 52,258

276522602 $1,096,375 14 $78,313

276536764 $1,760,404 7 $251,486

276720693 $23,845,594 153 $155,854

276793499 $912.115 8 Sl140014

276868869 $90,881,308 633 $143,572

276881128 $6,249,947 65 $96,153

277148172 $4,047,406 51 $79,361

277321808 $29,153,315 202 $144,323

277389938 $1,154,435 $104,949

31 of39
Firm

Number Sales Employment Productivitv

277834733 $32,327,732 144 $225,280

279745224 $209,812,000 990 $21 1,931

280248531 $9,645,673 48 $200,952

280327279 $5,206,736 17 $306,279

280333008 $1,855,202 19 $97,642

280413966 $ 12,554,000 181 $69,359

280432405 $9,508,149 73 $130.249

280778333 $15,244,156 65 $234.525

281015259 $4,717,220 56 $84,236

281019133 $4,1 88,055 23 $182,089

281025757 $4,588,575 31 $ 148,019

281031551 $844,748 6 $151,389

281037430 $686、 821 8 $85,853

281105917 $5,609,499 23 $243,891

281107514 $2,896,917 16 $180,157

282051642 $ 10,71 9,795 $96.575

282140686 $4,415,042 35 $125,534

288447499 $9,275,776 68 $ 136,408

294227725 $ 1,1 98,400 19 s63,074

295078554 $69,520,129 245 s283,756

350478164 $7,764,988 73 $106,735

364503640 $2,604,710 13 $200,362

397900651 $20,812,200 72 $289,058

438893258 $709,112 9 $76,661

442035945 $104,000 62 $1,677

456199116 $14,937,310 71 $210,385

461210273 $688,001 5 $ 137,600

489228822 $34,534,910 222 $155,562

508209231 $58,126,775 247 $235,331

528554001 $34,240,000 191 $179,267

531789493 $6,468,1 84 656 $9,860

535674410 $83,743,273 391 s214,177

565479699 $4,024,755 $129D831

569320561 $2,785,529 32 $87,048

605100384 $1,196,061 $6,954

625376772 $5,722,000 63 $90,825

658462633 $191,092,629 608 $314,297

739021199 $7,540,427 61 $123,614

751920052 $4,841,397 70 $69, I 63

866991437 $2,250,498 36 $62,514

871304606 $ I ,807,l4l 17 S106,302

874228463 $10,409,004 76 $136,961

32 of39
Firm

Number Sales Emplovment Productivity

1919568775 $1,769,572 18 $98,310

1974568513 $430,401 16 927,769

1974830581 $1,518,225 16 $94、 889

1976603120 $4,028,269 37 s 108,872

1995751409 $ 14,549,1 04 254 $57,276

2012969340 s24,295,000 185 $131,324

2044046179 $27,293,631 110 $2489124

2050270334 $59,757,408 192 $311,237

2071124572 $30,636,210 212 s 144,510

2086748305 $37,808,432 175 $216,048

2109627131 $1 1,900,000 $158,667

(10) sales, employment, and productivity at each firm upon completion of the

program and each year for the two-year period following completion.

Firms that completed the TAAF Program in FY 2008 report that at completion, average

sales were $10.9 million, average employment was 73, and average productivity was

$150,674 (sales per employee).

Between FY 2008 and FY 2009, one year after completing the program, firms report that

average sales increased by one percent, average employment decreased by 10 percent,

and average productivity increased by I I percent. The Bureau of Labor Statistics (BLS)

reports that nationwide for the manufacturing industry, average employment decreased

12 percent and average productivity increased by 4 percent.

Between FY 2008 and FY 2010, two years after completing the program, firms report

that average sales decreased by l4 percent, average employment decreased by 16

percent, and average productivity increased by 3 percent. BLS reports that nationwide

for the manufacturing industry, average employment decreased l2 percent and average

productivity increased by 9 percent.

For the purposes of this report, data was reported only for firms where all data was

available. Since the certified firms are in various industries, which have a variety of

ways to measure productivity, sales per employee was chosen as the productivity

measure. This measure is used because it can be generally applied to all certified firms.

However, BLS' productivity measures relate output to the labor hours used in the

production of that output.

33 of39
Exhibit 22: Summary of Average Sales, Employment, and Productivity at Firms upon

completion of the Program and the one-Year Period Following completion.

Program Completion

Average

Sales

Average

Emplovment

Average

Productivity

Completion(FY 2008) $10,999,200 73 $150,674

lst Year Following

Completion (FY 2009) $l 1,079,460 66 S167.871

oh Change l't Year

Followins Completion lo -10(, llYo

Exhibit 23: Summary of Average Sales, Employment, and Productivity at Firms upon

Completion of the Program and the Two-Year Period Following Completion.

Program Completion

Average

Sales

Average

Employment

Average

Productivity

Completion(FY 2008) $ 10,999,200 73 $150、 674

2nd Year Following

Completion GY 2010) $9,498,479 61 $155,713

7o Change 2oo Year

Following Completion -l4Yo -160h 3"h

Exhibit 24: Sales, Employment, and Productivity at Each Firm upon Completion of the

Program and two-year Period Following Completion.

Firm ID

Average

Sales at

Completion

(F Y 2008)

Averege

Sales lst Yr

Following

Complction

{FY 2009)

Average

Sales 2nd Yr

Following

Completion

(FY 20r0)

Avcrage

Employment

at

Completion

(FY 2008)

Avcrage

Employment

lst Yr

Following

Completion

(FY 2009)

Average

Employment

2nd Yr

Following

Completion

(FY 2010)

Average

Productivity

at

Completion

(FY 2008)

Average

Productivity

lst Yr

Following

Completion

IFV 200S)

Avcrage

Productivity

2nd Yr

Following

Completion

/FV 2010r

FY08-01 $39,390,60 l $37,698,350 S21,692、 925 325 S121、202 $137.085 S125、 393

FY08-05 S10.630、 000 $ l 0,800,000 S4,800,000 $ I 66,094 $196,364 Si26.316

FY08-03 S28、400.000 S31.500、 000 $2s, l 50,000 $149.4'74 $ I 75,000 S159,177

FY08‐ 04 $5,130,000 $5,800,000 $5、 325、204 S155、455 s 165.714 S171、781

FY08-02 S16,500,000 S17,800,000 S17.000、 000 $311.321 S323、636 S303.571

FY08-23 $3,000,000 $2,000,000 S2,000、 000 S120,000 S80、 000 $86、 957

FY08‐ 24 $7,500,000 $7,000.000 $7,020,687 $l l 1,940 S107.692 S108.011

FY08-20 S2000、 000 Sl.000.000 S2,400,000 $95,238 S100,000 $109,091

FY08-25 $4,200,000 S4,000,000 S4.200.000 S127、273 S129.032 $127,273

FY08-26 Sl.700.000 Sl、 100.000 $ I,200,000 9 9 9 $ l 88.889 $122222 S133.333

FY08-21 S6,056.458 S5,500、 000 S3.006.918 S224.313 $177.419 $ 1 43,1 87

34 of39
Firm ID

Average

Sales at

Completion

(f,'v 2008)

Average

Sales lst Yr

Following

Completion

(FY 2009)

Average

Seles 2nd Yr

Following

Completion

(FY 20r0\

Averagc

Employment

at

Complction

(F"Y 2008)

Average

Employment

lst Yr

Following

Completion

(f,"Y 2009'l

Average

Employment

2nd Yr

Following

Complction

(FY 2010)

Averagc

Productivity'

At

Completion

(FY 2008\

Average

Productivity

lst Yr

Following

Completion

(FY 2009)

Avcrage

Productivity

2nd Yr

Following

Completion

(r"v 20r0\

FY08-28 S3,070,000 S2,300.000 S161,579 $l7l,l I I S153,333

FY08-22 $ l 0,200,000 S9.000.000 $ l 0,000,000 $ r 75,862 S163.636 $ r 7s.439

FY08-27 $ l 8,7s0.000 S17,000,000 $ r 8,500,000 S218、023 S212,500 S217.647

FY08-30 $27s.000 S248,000 $229.000 6 8 7 S45、 833 $3 1.000 S32,714

FY08-29 $3 l 3,000 S416,000 S533、000 S14,227 S34.667 $44,4t7

FY08‐ 34 $3,081,000 $2,220,000 Sl.597.000 $79,000 S88,800 S72.591

FY08-31 $17、 500.000 S14.200.000 S10,900,000 S89、 744 $88,750 S90.833

FY08-32 S3.210,000 S4、273.000 $4,637,000 S89.167 $ l 04.220 S132,486

FY08-36 S18,592,000 S18,227、 000 $ 16,852.000 S143.015 S173.590 $134.816

FY08-37 S354,000 S859,000 $l,l 17,000 5 7 S70,800 S122.714 $ 1 86,1 67

FY08-33 $30,000,000 S40,000,000 S40.000.000 $ I s0,000 $333.333

FY08-35 $14.300.000 $ l 4,200,000 $13.000.000 $376.3 l6 S405,714 S351.351

FY08-38 S6.500、000 $7, l 00,000 S130.000 $ l 04.412 $105、000

FY08-39 S37.000.000 S40、 000.000 $43,000,000 440 429 $84.091 $93,240 S97,950

FY08-41 $7,500,000 S8、 900、000 $9,400,000 S300、000 S306.897 $303,226

FY08-40 S10.500.000 $ l 0,750,000 $566、667 S420.000 $383,929

FY08-44 $91 1,948 S881,669 $430,401 $4s.s97 S55、 104 S39、 127

FY08-42 Sl、 972、425 $ 1.629,36 r S945、420 $ l 09.s79 Sl16,383 S67.530

FY08-43 S19.493.382 $ r s,767,000 S19,000.000 S221、516 $ l 83.337 S220,930

FY08-47 $520,610 $452.662 S301,635 8 6 5 S65、 076 $7s.444 $60.327

FY08-49 $4,2s0,000 S3,386、 346 $ I,81 8,408 $193,182 $178.229 $121.227

FY08-57 $769. l 84 S816,322 S674、255 969.926 S74.211 S67.426

FY08‐ 56 S2、 960、 719 $3,027,576 S2,292、 154 $80.01 9 S81,826 $69.459

FY08-53 $7.278.583 $6,535,827 S4,675,983 S169、269 $l8l.ssr $129,888

FY08-52 S6,160,677 S6.101.363 $4,593, l 96 S181、 196 $234,668 $170.1 l8

FY08-54 $4 1.000,000 $40.000、 000 $22,500,000 S546.667 S571、429 $300.000

FY08‐ 55 $29,000,000 S28,000,000 S18、 700.000 S145,000 S137.255 $t2721

Total S10.299.200 Sll,079,460 S9.498.479 S150,674 S167.871 S155,713

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(11) The financial assistance received by each firm participating in the program.

(12) The financial contribution made by each firm participating in the program.

In FY 2010, firms received $8.7 million in technical assistance provided by the TAACs

to prepare petitions; and in the development and implementation of Adjustment

Proposals (often through business consultants and other experts). Firms participating in

the program contributed $6.1 million towards the development and implementation of

Adjustment Proposals. Funds are not provided directly to firms; instead EDA funds

TAACs and TAACs pay a cost-shared proportion of the cost to secure specialized

business consultants.

Exhibit 25: Summary of TAAF Program Financial Assistance by TAAC: FY 2010

(13) The types of technical assistance included in the Adjustment Proposals of

firms participating in the program.

Firms proposed various types of projects in Adjustment Proposals. Marketing/sales

projects are geared toward increasing revenue, whereas production/manufacturing

projects tend to be geared toward cutting costs. Support system projects can provide a

competitive advantage by either cutting costs or creating new sales channels.

Management and financial projects are designed to improve management's decision

making ability and business control. More than half of all firms proposed to implement

TAAC

TAAC

Assistance to

Firms

Amount Paid

to Consultants

by the TAACs

Total TAAC

Assistance to

Firms (TAACs

* Consultants)

Financial

Contribution

bv the Firms

Great Lakes $ 196,060 $677,560 $873,620 $646ぅ 809

Mid-America $93,836 $466,399 $560,235 $466,399

MidAtlantic s309,65 5 $910,562 $1,220,217 $910,562

Midwest $178,428 s705,954 $884,382 $631,906

New England $229,249 $ 1,283,189 $1,512,438 $1,256,739

New York State $t52,425 $366,230 $518,655 $2719104

Northwest $53,257 $499,053 $552,310 $443,905

Rocky Mountain $493J22 s433,261 $926,383 $433.261

Southeastern $243.177 $514,935 $758,112 $4953659

Southwest $128.997 $453,751 $s82,748 $373,376

Western $98,004 $ I 83,943 s281,947 $170.524

Total $2,176,210 $6,4949837 $8,671,047 $6.100.244

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marketing/sales or production/manufacturing projects. Sample projects are listed below

in Exhibit 26.

Exhibit 26: Characteristics of TechnicalAssistance in Adjustment Proposals: FY 2010

Financial

Accounting systems upgrade

Cost control tracking system

Automatic Data Processing

development

0

30 $s r 7,000

Management

Strategic business planning

Succession management

Manasement develooment 0 79 $ 1,987,100

Marketins/Sales

. Sales process training

o Market expansion and feasibility

analysis

. Web site design and upgrade 228 $1 1,416,092

Production

o Lean manufacturing and certification

o New product development

o Production and warehouse automation 215 $11,918,300

Support

Systems

o Enterprise Resource Planning

o Management Information Systems

upgrades

. Computer Aided Design software

. Supply chain management software 162 s6,984,400

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Project

Classification Sample Types of Proiects

Number of

Adjustment

Proposal

Proiects

Adjustment

Proposal

Project

Costs
Exhibit 27: Adjustment Proposals by Project Classification: Fy 2010

Adjustment Proposals by Project Classification Cost

(FY 2010)

Management

6"h

Financial

2o/"

r Production (Manufacturing)

3 Marketing/Sales

t t Support Systems

r Management

r Financial

(14) The number of firms leaving the program before completing the project or

projects in their Adjustment Proposals and the reason the project was not

completed.

In FY 2010, of the 102 firms that left the TAAF program, 57 completed the program and

the remaining 45 firms left for the reasons listed below in Exhibit 28.

Exhibit 28: Summary of Firms Leaving the TAAF Program: FY 2010

)gram

Completed Assistance 57

Firm Filed Chapter l1 I

FirFn SOld 2

Inadequate Funds for Proiect Implementation 4

Lost Interest in Program 4

Out of Business

Past 5-year Threshold 23

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Production

(Manufacturing)

320h

‐

Total 102
Conclusion

TAAF effectively targeted small and medium sized firms FY 2010. The average sales,

employment and productivity of firms certified into the program in FY 2010 was higher

than that of firms certified in FY 2009. More than half of all firms proposed to

implement a marketing/sales project or production/engineering project in their

Adjustment Proposals.

Firms that completed the TAAF Program in FY 2008 report that at completion, average

sales were $10.3 million, average employment was 73, and average productivity was

$140,977 (sales per employee). One year after completing the program (FY 2009),

firms report that average sales increased by one percent, average employment decreased

by 10 percent, and average productivity increased by I I percent. BLS reported that

nationwide for the manufacturing industry in FY 2009, average employment decreased

12 percent and average productivity increased by 4 percent. Two years after completing

the program (FY 2010), firms report that average sales decreased by 14 percent, average

employment decreased by l6 percent, and average productivity increased by 3 percent.

BLS reported that nationwide for the manufacturing industry in FY 2010, average

employment decreased l2 percent and average productivity increased by 9 percent.

Overall, there has been an increase in the demand for the TAAF Program in FY 2010, as

demonstrated by the increase in the number of petitions for certification and Adjustment

Proposals submitted to EDA for approval. In FY 2010, EDA approved an additional

1 l4 petitions, a 53 percent increase as compared to FY 2009; and approved an additional

93 Adjustment Proposals, a 54 percent increase as compared to FY 2009.

The addition of TAAF staff resources facilitated EDA's ability to improve processing

time for petitions and Adjustment Proposals in FY 2010. Although there was a spike in

petitions and Adjustment Proposals, EDA successfully met the 40-day processing

deadline to make a final determination for petitions accepted for filing; and the 60-day

processing deadline for approval of Adjustment Proposals as required in the TGAAA.

In fact, the average processing time for petitions has started to decline below the 40-day

requirement and the average processing time for Adjustment Proposals is below 30 days.

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