Rural Sourcing

[Pete]

Tech company to bring 150 jobs to Bricktown


An Atlanta-based technology service company is seeking financial incentives in aid of bringing up to 150 jobs to the city.

Rural Sourcing, Inc. currently has 420 employees and is rapidly growing. They have targeted Oklahoma City for an expansion office and plans to add 150 new jobs over the next three years.

The average first-year wage is estimated at $68,614, according to documents appearing on the agenda for next Tuesday's Econcomic Development Trust meeting.

The offices would be located in the Plow Building, a recently restored 5-story building at 29 E. Reno in Bricktown. Formerly abandonned, the Plow was thoroughly renovated by local developer Richard McKown and with this latest deal is approaching full capacity.

Rural Sourcing specializes in domemestically outsourced software development and support. In addition to their Atlanta headquarters, the have offices in Albuquerque, Mobile, Alabama and Jonesboro, Arkansas.

A memo to the Trust from City Manager Jim Couch indicates the Chamber of Commerce has been working with the company since July and that Rural reviewed fifty mid-size cities and considered factors such as access to IT talent, cost of living, quality of life, and economic incentives.

It is estimated that the financial impact would be $122.5 million over the first seven years.

The company plans to invest $500,000 in leasehold improvements and $1 million in furniture and equipment over the next three years.

The trust is being asked to approve a resolution that would be the first step in allocating $450,000 in incentives in General Obligation Limited Tx Bond proceeds. Ulimately, city council would have to provide final approval.

[gopokes88]

This is excellent news

[Ross MacLochness]

Wow! awesome

[Jake]

Fantastic news!

[Pete]

As has been discussed here many times, we have a dearth of tech jobs in the area.

Looks like we are starting to take some steps in the right direction.

[OKC Guy]

This is great news and high tech jobs. Looking at the map is there ample parking for 150 workers? Perhaps a lot will live in downtown area and lesson the car footprint by walking or using mass transit methods. That is prime RE too and close to canal. This puts more “routine” people in canal area at lunch which is good news too.

[gopokes88]

This is great news and high tech jobs. Looking at the map is there ample parking for 150 workers? Perhaps a lot will live in downtown area and lesson the car footprint by walking or using mass transit methods. That is prime RE too and close to canal. This puts more “routine” people in canal area at lunch which is good news too.

You have to think at least a chunk will be recruited from OU/OSU and then they live in Deep Deuce. Another chunk will be millennials who already live around there.

[OKC Guy]

You have to think at least a chunk will be recruited from OU/OSU and then they live in Deep Deuce. Another chunk will be millennials who already live around there.

Good points. So if parking is full whats the closest parking lot? I would guess its not that far away. And 150 good paying jobs in that locale is steady customers at local establishments. Thats $10,000,000 in salary per year.

[Pete]

^

Streetcar runs right past their front door.

[OKC Guy]

^

Streetcar runs right past their front door.

Thats great. And I assume anyone living in bricktown area will have tons of options other than car. If one lives out of Bricktown and drives in they may need to find altnernate parking - and the streetcar would be helpful if they use a lot close to it. Its also possible no alt parking is needed if enough workers live in area.

I think this is a great deal. Putting jobs in Bricktown is a huge plus. Local establishments make money off of tourists and out of area residents but the local jobs will give them regular customers regardless of season or events.

[dankrutka]

It would be great to see employers take the initiative give employees a choice -- parking spot or equivalent value (maybe including streetcar pass). Incentivize not driving and parking.

[gopokes88]

It would be great to see employers take the initiative give employees a choice -- parking spot or equivalent value (maybe including streetcar pass). Incentivize not driving and parking.

Sure it’d be great but it’s probably not going to happen. It’s even worse for a growing company like rural sourcing.

Business can be a daily bar fight for survival, incentivizing how to reduce traffic and parking just doesn’t fall very high on the priority list for guys running companies.

[dankrutka]

Huh? You’re giving your employees a choice. What’s the downside for the business or employees?

[jonny d]

Huh? You’re giving your employees a choice. What’s the downside for the business or employees?

Um, cost? Having your employees finding their own parking or means of transport costs you nothing, but incentivizing transport costs quite a bit, especially for a growing company.

[Plutonic Panda]

^^^ it’s also very common as most employers in LA will offer free transit passes. Cost is also relative. While it might cost money, it can also attract more and save time depending on the situation.

[catch22]

Um, cost? Having your employees finding their own parking or means of transport costs you nothing, but incentivizing transport costs quite a bit, especially for a growing company.

A lot of companies pay for, or subsidize parking. United offers me two choices in Denver. Airport parking pass ($80 value) or an $80 discount on a month pass from RTD Denver. It costs the company the same and allows people to take transit if that is their preference.

[jonny d]

A lot of companies pay for, or subsidize parking. United offers me two choices in Denver. Airport parking pass ($80 value) or an $80 discount on a month pass from RTD Denver. It costs the company the same and allows people to take transit if that is their preference.

But not many new or recently new companies. United is massive; Rural Sourcing is not. It's relative.

[dankrutka]

Um, cost? Having your employees finding their own parking or means of transport costs you nothing, but incentivizing transport costs quite a bit, especially for a growing company.

Maybe I’m mistaken, but you’re saying that Rural Sourcing will provide no parking for its employees. If that’s correct then it would cost and that’s not what I am proposing. I’m only suggesting companies transfer current parking costs to provide employees an option, which should not add any costs.

[gopokes88]

What I’m saying is it’s much easier, less time consuming, and probably cheaper for them to just find some parking for the employees. Implementing a walk to work don’t park or whatever program is an undertaking, they’re busy fighting just to survive at this point. I highly doubt it’s high priority list.

[Teo9969]

The bigger problem for a company like Rural is probably less that they don't have time and more that there is no infrastructure for such a thing in Oklahoma City. Is there a single company in the city that has an incentive not to park? With our biggest players downtown being energy companies and Banks that roll in oil money, nobody is incentivizing public transit. Additionally, since Public Transit in OKC functions at such a low level, not even OKC/Embark are working toward creating incentive programs.

Somebody is going to have to create the model and that certainly is not going to happen before the Streetcar finishes. That by the way will also be an argument for the Streetcar's viability/necessity in the long-run: A parking incentive to increase the quality of transit demands that the center of the city have a quality circulator.

[catch22]

I don’t think there will need to be any policy or forced way into this. Once the streetcar is rolling, and more people realize they can live and work on the line you’ll see employers look into it. Once one company does it the rest will follow suit. And honestly, this will all be started by one person walking into HR and saying “I don’t own a car, is there anyway to use that parking money on a rail pass?”

[dankrutka]

What I’m saying is it’s much easier, less time consuming, and probably cheaper for them to just find some parking for the employees.

Why do you think this would be so time-consuming? Here's the full plan for employees
- Option A: Use a company parking spot
- Option B: Don't use a company parking spot and take this money

I'm surprised how opposed everyone is to giving people a choice. We're so used to car-centric lifestyles being subsidized and forced on us that even providing an option to employees is seen as some huge hassle. It doesn't have to be. Some employees already pot out of parking spots, and others might consider it given the option. Besides the fact that there are actual time and health benefits for employees who choose to walk/bike/use public transit, it actually could also save companies money. Some people drive only because it's made so easy and once presented with an actual economic choice will ride with a spouse, carpool, or even choose housing closer to their employment. Of course, it requires planning ahead by companies, but planning is part of calculations for growing businesses anyway. For a company locating in Bricktown, it actually would be really easy to do without a parking spot anywhere along the streetcar line now, which covers a lot of housing, and even beyond for the immediate for those willing to seek solutions.

[dankrutka]

The bigger problem for a company like Rural is probably less that they don't have time and more that there is no infrastructure for such a thing in Oklahoma City... Somebody is going to have to create the model and that certainly is not going to happen before the Streetcar finishes.

I'm honestly asking, what infrastructure do you think needs to be created to give people the option to use or not use a parking spot? Aside from that, the streetcar will open in just a few months so, in this case, the streetcar would be finished long before the company moves in.

[Johnb911]

I don’t think there will need to be any policy or forced way into this. Once the streetcar is rolling, and more people realize they can live and work on the line you’ll see employers look into it. Once one company does it the rest will follow suit. And honestly, this will all be started by one person walking into HR and saying “I don’t own a car, is there anyway to use that parking money on a rail pass?”

I have a buddy here at CLR that lives close to one of the streetcar stops. He is already considering having that conversation. It just makes too much sense. Lots of companies in downtown Houston do the same thing with the train. When I worked for a company hq'd there, most of my coworkers took that option, as it was more convenient to spend an hour on the train reading/working then spend the same amount of time commuting in from wherever and having to actively drive. I think you guys are right though, it will take the streetcar being in operation and some companies seeing the benefit in giving their employees an option

[Ross MacLochness]

My company offered me a spokies or transit pass in lieu of paying for part of parking FWIW.