Posts by: Economic Development

New Missouri Bill to Help St. Louis Retain $1.6B NGA Complex With 3000 Jobs

Governor Jay Nixon signed into law a bill that is likely to help St. Louis and Missouri retain a massive government agency that is in the midst of a site selection process to relocate to a new $1.6 billion complex with 3,000 employees.


NGA (photo –

The Missouri economic development bill (HB 514), aimed at keeping the western headquarters of the National Geospatial-Intelligence Agency (NGA) in St. Louis and Missouri, provides additional capacity in the State Supplemental Tax Increment Financing program.

The enhanced performance-based redevelopment incentive program will now be able to accommodate a project of the size of the $1.6 billion NGA relocation.

The agency is moving out of the current NGA West Complex in downtown St. Louis due to the facility’s age, condition and location that is creating difficulties including high maintenance and operational costs, and security issues.

The NGA site selection process narrowed the list of potential sites to six, four in the St. Louis area, and one in Weldon Spring, MO. The sixth site shortlisted was Scott Air Force Base in Illinois. The process has now moved along to four sites, one in St. Louis, two more in the St. Louis area, and the Illinois site. Around 800 of the 3,000 employees who work at the NGA West Complex live in Illinois.

Both Illinois and Missouri lawmakers have been lobbying the NGA for the project. U.S. Senators for Missouri Claire McCaskill and Roy Blunt sent a letter to the NGA, urging the agency to keep its operations in Missouri. They say in the letter that more than half of the 3,000 NGA West employees call Missouri home, and by selecting one of the Missouri sites, NGA will be ensuring minimal disruption to the maximum number of its employees.

The average annual salary of NGA employees is $75,000. The agency’s operations generate $2.4 million in earnings tax revenue for St. Louis, and these employees also pay nearly $8 million in state withholding taxes every year. If St. Louis gets the new NGA western headquarters, it would also mean thousands of construction jobs.

Announcing the HB 514 bill signing, Gov. Nixon said in a release that this bill will put Missouri in the strongest possible position to keep these jobs in the Show-Me State, and keep the St. Louis region’s economy moving forward.

The City of St. Louis Land Clearance for Redevelopment Authority (LCRA) is putting together a package of 100 contiguous acres of land for the NGA project. The passage of HB 514 and its signing into law provides Missouri and St. Louis economic development officials an advantage in this process going forward.

The announcement of the selection of a final site for the NGA western headquarters is expected next year.

St. Louis Mayor Francis Slay said in a release that it is not only critical to retain NGA and its well-paying jobs in the City, but this project also can be the catalyst for additional development in an area that badly needs a substantial economic boost.

GM Announces $245M Michigan Investment at Orion Assembly Plant Near Detroit

General Motors announced plans for another $245 million investment in Michigan at the Orion Assembly Plant in Orion Township, MI.

GM Orion Assembly Plant, MI

GM Orion Assembly Plant, MI (press photo – © General Motors)

The investment is for an unnamed vehicle assembly program which GM only labeled as a “all-new vehicle program.”

The company said the $245 million investment and 300 new jobs that would be created under this vehicle program this would in addition to the $160 million investment announced earlier this year for production of the new Chevrolet Bolt EV (electric vehicle) at the Orion Assembly Plant.

This latest $245 million announcement is part of a $5.4 billion investment plan GM has initiated for its U.S. facilities over the next three years. They have already announced about $3.1 billion of this, and a major part of it will be flowing into GM facilities in Michigan.

GM began the spending spree with a $783.5 million investment announcement for Michigan facilities in Warren, Pontiac and Lansing. This was followed by a $1 billion investment plan announcement for the Warren Technical Center in Warren, MI, and then a $175 million investment for the new Chevrolet Camaro at the Lansing Grand River Plant.

Cathy Clegg, GM North America vice president of Manufacturing and Labor Relations, said in a release announcing the new vehicle project that Orion Assembly is a breeding ground for manufacturing innovation, and added that the plant is up to the challenge of building this brand-new product, something it’s never seen before.

The Orion Assembly Plant, located 30 miles north of Detroit, opened in 1983 and has since become a driving force for Orion Township and Metro Detroit economic development. It now provides employment to 1,764 workers, generating $133.8 million in wages and $22.7 million in taxes.

The Orion Assembly Plant was idled by GM in 2010. Following the company’s agreement with the UAW and reopening of the plant, the investment at Orion now stands at $962 million.

This includes $12 million for a landfill gas co-generation powerhouse that annually reduces 6,300 tons of CO2 emissions. The plant also houses a 350-kilowatt solar array. Throw in production of the Bolt EV, and this makes the Orion Assembly Plant one of GM’s more environment-friendly facilities.

UAW Vice President Cindy Estrada, who leads the union’s GM Department, said in the release that “Orion is an example of what we can achieve when we work together.” Estrada added that only through innovative problem solving were they going to see this plant succeed, and this new investment is proof of that.

Sensico Regional Hub in Vermillion, SD Brings Promise of Economic Development

Healthcare technology startup Senscio Systems, Inc. is planning to create a regional hub in Vermillion, SD. While there was no announcement of an immediate investment or jobs being created, the company’s decision reflects their intent to explore the possibility of establishing manufacturing and service facilities in South Dakota.

Senscio Systems

Senscio Systems (photo –

To this end, the company’s partnership with Vermillion economic development organization VCDC begins immediately.

Boxborough, MA-based Sensico Systems was founded in 2010 by PhD physicists Dr. Piali De and Dr. Hugh Stoddart. Their idea was to make use of artificial intelligence to mimic the cognitive process that experts apply to interpret data. Their first product, IbisCare, is a healthcare technology platform that integrates this unique artificial intelligence platform with remote patient monitoring systems, to be used for managing patients with multiple chronic conditions.

Last year, the company raised $1.5 million in seed funding from investors, and received a $650,000 Emerging Technology Fund loan from Massachusetts economic development agency MassDevelopment. Sensico has been using that funding to procure hardware for facilitating early deployment of IbisCare, and for adding to its workforce with strategic new hires.

As they start shipping IbisCare and expand the reach of this innovative new data-driven healthcare technology platform, the company will soon be looking at the next stage of commercialization with a permanent manufacturing facility that makes the IbisCare hardware. They will also need back-end service facilities such as customer service centers. This is where Vermillion and the I-29 corridor in South Dakota come into the picture as a location for Sensico’s regional hub.

The company is also looking to target South Dakota’s rural communities for Ibis deployment, and to grow their sales and operations presence in the state.

In a release announcing Sensico’s partnership with the Vermillion Chamber and Development Corporation, Governor Dennis Daugaard said that he appreciates that Dr. De and her team see the value of expanding to South Dakota, and added that it’s a privilege to welcome such an innovative company to Vermillion.

VCDC Executive Director Nate Welch likewise noted that they are delighted to bring a forward-thinking technology company to Vermillion to create a strong base for operations and growth. Welch added that the University of South Dakota, its medical school and social work programs make Vermillion an ideal regional hub for Senscio Systems.

Senscio Co-founder and CEO Dr. De said in the release that they believe their regional hub in Vermillion, and some early and large-scale partnerships with providers in South Dakota, will be a springboard to building a manufacturing and customer service base in South Dakota.

New Mexico Capital Outlay Bill Provides Critical Economic Development Funding

A $293.7 million Capital Outlay Bill signed by Governor Susana Martinez includes critical funding for New Mexico economic development programs and road and highway infrastructure projects.

New Mexico

New Mexico (photo – rutlo/flickr)

The bill, passed through a special legislative session, expands New Mexico’s closing fund for economic development projects by $12.5 million, to a total of $50 million.

Local Economic Development Act (LEDA) funding is a vital tool that helps New Mexico communities attract new business and help existing ones to expand and grow. LEDA provides local communities access to funding for infrastructure upgrades or improvements required to support new and expanding businesses.

The capital outlay bill also contains $8 million for critical highway infrastructure improvements in and around the Santa Teresa borderplex where cross-border international trade has been growing at a fast clip and is driving the ‘Borderplex’ economy, a bi-national metro area of 2.5 million people spanning three states and two nations.

Santa Teresa’s recently expanded port of entry has reduced wait times and is making it the ideal place to access the ports of Houston and Long Beach or locations deep in Mexico by rail or on I-10, which connects with I-25 in Las Cruces, offering a direct route to the Canadian border.

The Borderplex is now a focal point of New Mexico’s growing leadership in international commerce and trade, and it has attracted huge economic development projects to New Mexico such as the recently completed $400 million full-service intermodal facility by Union Pacific on its El Paso-Los Angeles Sunset Route.

Funding for highway infrastructure improvements in and around this borderplex boom is essential to help the regional economy maintain its fast pace of growth.

All told, the capital outlay bill includes more than $70 million for highways and roads across the state. This includes $45 million for major and critical road and highway construction projects. This influx of state funding will allow New Mexico to partner with local and federal agencies and complete large-scale projects offering regional or statewide benefits.

A lot of this money will go toward repairing, resurfacing, and expanding New Mexico’s roads and highways, many of which are unsafe and in dire need of repair, and impeding economic growth.

Gov. Martinez said in a release announcing the bill that “When we invest in infrastructure, we create jobs – lots of them – in every corner of the state. And we achieve critical, lasting objectives. That’s exactly what this capital outlay bill aims to do.”

Baltimore Green Tracks Economic Development Initiative Gets U.S. Conference of Mayors CommunityWINS Grant

The U.S. Conference of Mayors has named the Baltimore Green Tracks program as the top pick for the Conference’s CommunityWINS grant program.

Amtrak Baltimore

Amtrak Baltimore (photo – m01229/flickr)

Baltimore Mayor Stephanie Rawlings-Blake was recognized at the U.S. Conference of Mayors 83rd annual meeting in San Francisco, and the $300,000 grant was awarded to non-profit Civic Works, Inc. for its work with the Growing Green Tracks Team.

The CommunityWINS grant program, funded by the Wells Fargo Foundation, recognizes and honors non-profits and cities for exemplary leadership in promoting neighborhood stabilization, economic development, and job creation efforts.

Green Tracks was launched as a Baltimore economic development initiative by Mayor Rawlings-Blake to eliminate blight along the East Baltimore Amtrak corridor and create new green spaces.

The program has managed to address blight and improve the city’s image as seen by millions of train passengers along the Amtrak Northeast Corridor.

The Green Tracks initiative was launched by the City in partnership with organizations including the Greater Baltimore Committee (GBC) and Ayers Saint Gross, following discussions on strategies for improving the image for riders along the one-mile length of rail track. GBC is the regional economic development organization serving Greater Baltimore.

The project makes use of existing Baltimore economic development programs such as Vacants to Value (redeveloping abandoned and vacant buildings) and Growing Green (sustainable ways to repurpose vacant land, promote locally grown food, and greening of neighborhoods)

Apart from Baltimore, other mayors recognized with top honors in the CommunityWINS grant program include Little Rock, AR Mayor Mark Stodola and West Sacramento, CA Mayor Christopher Cabaldon.

A $150,000 grant was awarded to the Arkansas Lighthouse for the Blind for the non-profit organization’s Employment for Individuals Who Are Blind project that provides employment for blind or visually impaired individuals.

Another $150,000 grant was awarded to the West Sacramento Foundation for its FutureReady program that connects science, technology and engineering students to job training and internship opportunities.

Martin Sundquist, executive director, Wells Fargo Housing Foundation, also presented the following Outstanding Achievement awards under the CommunityWINS grant program:

Newark, NJ Mayor Ras Baraka – $75,000 to Newark Community Economic Development Corporation;

Green Bay, WI Mayor Jim Schmitt – $50,000 to NeighborWorks Green Bay; and

Lima, OH Mayor David Berger – $50,000 to Lima-Allen County Neighborhoods in Partnership.

Sundquist said in a release announcing the grant awards that Wells Fargo is delighted to collaborate with the U.S. Conference of Mayors to make these grants available for nonprofits and enable them to make vital improvements in their cities.

Tom Cochran, CEO and executive director of the U.S. Conference of Mayors, said in the release that the CommunityWINS grant program gives the Conference an opportunity to showcase positive change happening now in cities that makes a positive difference in people’s lives.

Read more about the CommunityWINS grant program and the grant application process.

Bull Moose HQ Relocation to Spur St. Louis Revitalization

Caparo Group subsidiary Bull Moose Industries is relocating its North American headquarters to the historic Missouri Theater Building redevelopment in St. Louis, MO.

Missouri Theater Building, St. Louis

Missouri Theater Building, St. Louis (photo – pasa47/flickr)

Supported by the Missouri Department of Economic Development, St. Louis Regional Chamber and the City of St. Louis, the company will take up 25,000 square feet of newly remodeled space in the historic building for its divisional headquarters.

Their headquarters is currently relocated in Chesterfield, MO, and the expansion will enable the company to create another 25 new high-paying headquarters jobs. Bull Moose Industries has been based in the St. Louis metro area since it was founded in 1962, and currently has some 80 employees in the area.

Governor Jay Nixon said in a release announcing the company’s investment in the Missouri Theater Building project that Bull Moose’s investment will provide high-paying jobs and spur additional economic activity by revitalizing the downtown area.

The Missouri Theater Building is the last of the historic structures being rehabbed in Grand Center, the arts and entertainment district in the heart of St. Louis.

The redevelopment of the historic Missouri Theater building which once housed the St. Louis Dept. of Health is being carried out by the Lawrence Group. Once complete, the rehabbed building is expected to provide employment for around 200 people.

In the first phase of the redevelopment, it will create space for the Bull Moose headquarters and a 145-room hotel. The multi-use development also includes plans for a restaurant, coffee shop, a bakery and yogurt store, banquet and meeting facilities, and a 150-vehicle parking lot.

The Lawrence Group specializes in redevelopment and restoration projects that require preservation of historic structures. Lawrence Group’s own corporate headquarters in St. Louis was the first historic building in the state to be awarded LEED Silver certification.

The developer will be getting Historic Rehabilitation Tax Credits for the Missouri Theater Building project. Caparo has likewise been offered a package of state incentives from the Missouri Department of Economic Development tied to their job creation and investment plans.

The Bull Moose relocation project also received local economic development support from the City of St. Louis and the St. Louis Regional Chamber. St. Louis Mayor Francis Slay said that this investment and relocation is a testament to the strong growth and rebirth of St. Louis.

Joe Reagan, president and CEO of the St. Louis Regional Chamber, said in the release that the Chamber worked collaboratively with their economic development partners on this project. Reagan added that this investment in this historic building is an anchor for future development and growth in Grand Center.

Louisiana Economic Development Secures Netchex HQ in Greater New Orleans

Employer services provider Netchex announced plans to locate and establish their new headquarters building in Mandeville, Louisiana.


Netchex (photo –

Supported by St. Tammany Parish, Greater New Orleans, and Louisiana economic development groups, the company is investing $5.3 million to lease office space for two years, to be followed by the completion of the new headquarters building.

The company expects to create 240 new jobs with an average salary of $43,800, plus benefits, and will retain 86 existing jobs. LED furthermore estimates that the project will result in the creation of another 120 indirect jobs, adding up to a total of 360 new jobs for St. Tammany Parish and the Greater New Orleans region.

Netchex already has about 120 employees. The company was founded in Mandeville in 2003, and has since grown into a leading provider of employer services such as payroll, HR, attendance and benefit services. Netchex currently serves more than 3,000 clients in the United States, working through its corporate headquarters in Mandeville and offices in Dallas, TX; Atlanta, GA; and Jackson, MS.

Governor Bobby Jindal said in a release announcing the project that “Netchex is truly a Louisiana success story, and the expansion of the company’s headquarters is a testament to how Netchex is able to thrive in Louisiana’s nation-leading business climate.”

The company’s fast and steady growth led them to initiate the site selection process to look for an expanded headquarters location. Mandeville and Louisiana managed to secure the Netchex expansion and headquarters despite competition for the project from other states including Florida and Texas.

Netchex founder and CEO Will Boudreaux said in a release that they turned to LED for guidance and support upon recognizing that rapid expansion was needed. Boudreaux added that LED was tremendous in fully understanding their priorities and creating a custom package that met all of the company’s needs.

Netchex will be able to participate in Louisiana’s Digital Interactive Media and Software Development Incentive program, and will also be eligible for additional incentives through the state’s Quality Jobs Program. LED has also offered the company access to LED FastStart workforce development services.

St. Tammany Economic Development Foundation CEO Brenda Bertus said in the release that Netchex’s expansion in St. Tammany Parish illustrates the ideal business retention success story, growing local human capital and further developing the workforce.

Michael Hecht, president and CEO of Greater New Orleans economic development organization GNO, Inc., noted that the unbeatable combination of low business costs and a skilled workforce found in the region has helped Netchex become the fastest growing company of its kind in the United States.

Iowa Considers Economic Development Incentives for Historic Cedar Rapids Projects

The agenda for the next meeting of the Board of the Iowa Economic Development Authority includes applications for state assistance for projects in Iowa communities including Cedar Rapids, Urbandale, Spencer, Pella and Le Mars.

IEDA agenda

IEDA agenda (photo –

The two Cedar Rapids economic development projects on the agenda both involve historic structures that are over a century old.

One is a $10 million investment project by Ralcorp Holdings, a subsidiary of ConAgra Foods, to upgrade and modernize its cereal manufacturing plant in Cedar Rapids.

The historic plant dates back to 1904, and the company is seeking more than $500,000 in state incentives for this project. They expect to be able to retain 130 jobs at the facility as a result of the upgrade and modernization.

The other Cedar Rapids project is a proposed redevelopment plan by the United Fire Group to build a new 10-story office tower adjacent to the historic American Building, also owned by UFG.

The American Building dates back to 1914, and UFG’s redevelopment plans include a renovation of the historic building’s interior. The design for the new adjacent office tower will also ensure that it blends in well with the historic structure of the American Building.

UFG will create 50 new jobs in Cedar Rapids as a result of this project, adding to the 625 employees they already have in the area. The company is seeking $2 million in state assistance, and is also getting Cedar Rapids economic development incentives in the form of a 10-year property tax abatement for the project.

The IEDA will also consider an application for $500,000 in tax incentives through the High Quality Jobs Program (HQJP) for a facility by Ventech Solutions, Inc. in Urbandale, IA. The company recently won a $410 million federal contract from the Centers for Medicare and Medicaid Services for health care data management.

Ventech is leasing space in Urbandale, where it plans to make an investment of nearly $3 million and create hundreds of jobs. The company is seeking $500,000 in HQJP tax credits for the project, along with $100,000 in Urbandale economic development incentives.

Other projects seeking state assistance that are on the IEDA meeting agenda include:

Quality Refrigerated Services – QRS is considering investing more than $4.43 million for an expansion of its operations in Spencer, IA.

Pella Corporation – The company is investing $8.6 million to expand its operations in Pella, IA. The IEDA will consider approving tax incentives and a forgivable loan for this project.

BoDeans Cone Company, LLC – BoDeans is investing $4 million to add a new building to its operations in Le Mars, IA. In addition to the state HQJP tax incentives, the project will also receive a five-year tax abatement from Le Mars.

Cary Economic Development Brings Proto Labs 3D Printing Facility to Wake County, NC

Proto Labs, Inc. (NYSE:PRLB) is expanding its operations in Wake County, NC with a $25 million investment in the Town of Cary to house a 3D printing (additive manufacturing) facility.

Proto Labs

Proto Labs (photo –

The 3D printing facility project, which is expected to create 170 new jobs, is supported by the Town of Cary, Cary Economic Development, the Cary Chamber of Commerce, the NC Dept. of Commerce, Economic Development Partnership of North Carolina, and other state and regional entities.

The 170 new jobs will be created over the next five years, and will generate new annual payroll exceeding $7.5 million. The company already has 106 employees in Wake County located at a manufacturing facility in Raleigh.

Governor Pat McCrory said in a release announcing the Proto Labs expansion project that by more than doubling its workforce, the company is demonstrating that nothing compares to North Carolina when it comes to being a great place for innovative ideas.

Maple Plain, MN-based Proto Labs claims to be the world’s fastest digital manufacturing source for custom prototypes and low-volume production parts. The company makes use of advanced 3D printing, CNC machining and injection molding technologies to produce parts within days.

Rob Connelly, Proto Labs VP, Additive Manufacturing, said in the release that the state-of-the-art facility in North Carolina will be a critical driver in advancing 3D printing in the U.S. and globally for many years to come.

N.C. Commerce Secretary John E. Skvarla III added that North Carolina and the Research Triangle region continue to be leaders in attracting top-notch technology companies either for relocation or expansion. Sec. Skvarla added that this expansion by Proto Labs helps in solidifying that reputation.

In addition to their existing Raleigh facility in Wake County, NC and their headquarters in Maple Plain, MN, the company also has two other manufacturing facilities in Minnesota, located in Plymouth and Rosemount.

Cary Economic Development and the North Carolina Dept. of Commerce secured this new manufacturing expansion project by offering the company a package of incentives that includes a $150,000 performance-based grant through the One North Carolina Fund.

One NC Fund grants are provided by the state through local governments, and are contingent upon approval of a local match. The company in question receives no money upfront, and is required to meet job creation and investment commitments before it actually receives grant funding.

The project is also being supported by the NC Department of Transportation, and is receiving assistance from NCWorks, the North Carolina Community College System, and the Capital Area Workforce Board.

Georgia Economic Development Trip to Brazil Yields Stefanini Atlanta Expansion

Global IT service provider Stefanini is planning an expansion with 400 new jobs at its Atlantic Station office location in Midtown Atlanta.


Stefanini (photo –

The announcement was made by Governor Nathan Deal, who is leading a Georgia economic development delegation on a five-day trip to Brazil.

Stefanini President and CEO Marco Stefanini said in a release announcing the project that it was a pleasure to meet with Governor Deal in Sao Paulo, and added that they are thrilled to expand operations in Georgia.

Sao Paulo, Brazil-based Stefanini’s North American headquarters is in Southfield, MI, but the company has maintained a presence in Georgia for 10 years. It is now one of the largest IT services employers in the region, including the 800 employees the company already has at its Atlantic Station Office. Globally, the company has locations in 34 countries serving more than 600 active clients, including over 300 multinationals.

Their latest expansion in Atlanta is supported by the Georgia Department of Economic Development and the Metro Atlanta Chamber, including assistance for talent recruitment to fill the new jobs being created.

GDEcD Commissioner Chris Carr said in the release that the skilled talent and vast network of companies and R&D resources found in Georgia are what keeps the state on the radar for global technology companies who are looking to relocate or expand.

Commissioner Carr added that these same resources are what have helped grow Stefanini over the last decade, and expressed confidence that this innovative company will be successful in the future.

Metro Atlanta Chamber Executive Vice President and COO Brian P. McGowan added that Brazil has always been an important market with a growing presence in Atlanta, and Stefanini’s investment in the region adds strength to Atlanta’s international technology ecosystem.

More than 40 Brazilian-owned businesses in Georgia employ thousands of Georgians, and Georgia has had representation in Brazil for more than two decades, including a trade office in Sao Paulo. The Georgia economic development delegation led by Gov. Deal is seeking to establish new business relationships and strengthen existing ties. The mission aims to promote Georgia as a tourist destination and quality source for products and services.

Gov. Deal said in the release that “For more than two decades, Georgia has sustained a partnership with Brazil that is vital to our economic development efforts.” The Governor added that he is confident that Georgia’s highly skilled workforce and thriving technology cluster will create the ideal environment for Stefanini’s future growth in Atlanta.

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