Crossfire Marketing

Project Value: $3,324,100
City Allocation: $2,100,000

Project Description:

Crossfire Marketing Group (CMG), Inc. became a newly founded entity in 2004 as an offshoot of the nation’s oldest telemarketing company. (The parent company was created back in 1946 and quickly became an industry leader in newspaper circulation customer acquisitions.) CMG is segmented into four business divisions:

• Crossfire Newspaper Group
• Crossfire Website Design (mobile search)
• Crossfire Energy Group
• Crossfire Partners (EcoWattEnergy Saving Device)

Phase One of CMG’s initial Oroville project is the establishment of a 60 person call center in support of their mobile search operations. In subsequent phases, total employment projections for the mobile search project increase to 120 employees.

Project specifics are:

• 60 (initial) call center employees with benefits growing to 120 at full build-out
• 15,000 sq. ft. with DS-3 (equivalent of 28 T-1 channels) communications capability
• Desired site location is City of Paris building at 1474 Meyers Street
• Project replaces employment in downtown due to relocation of Child Support Services

Funding Sources:

Phase One of the mobile search project includes the relocation of an existing call-center to Oroville. This relocation leverages $1,224,100 in private sector capital with $2,100,000 in City of Oroville public investments. These include: Redevelopment Agency (RDA) funds in support of site selection and facility acquisition. Location is being finalized at this time. The project will further utilize a combination of Community Development Block Grant (CDBG) Open Grant funds as well as Redevelopment Agency Revolving Loan Funds as employees are hired.

Mobile Search Phase One - $2,100,000 City Investments:

• $650,000 – City Revolving Loan Funds = $400,000 – Open CDBG Funds
• $850,000 – Redevelopment Agency Revolving Loan Funds
• $600,000 – Open Community Development Block Grant Funds

In support of this project, the Alliance for Workforce Development has engaged in the recruitment, review and hiring processes. They, along with community partners Butte Economic Development Corporation and Butte County, have committed an undetermined amount of resources to employee recruitment and future training needs. As the mobile search operation actualizes, CMG is eligible for State of California, Employment Training Panel assistance in support of maintaining and growing workforce competitiveness. Pacific Gas & Electric energy incentives as well as Enterprise Zone tax credits are being considered.

Milestones:

• Private sector requests development information and site selection assistance
• Site selection criteria established and acquisition process (terms and conditions) begins on behalf of private sector
• CMG, in cooperation with city staff and local workforce development partners, engaged for employment recruitment and hiring assistance
• Zoning review
• Site plan review
• Construction plan review
• Issue construction permits (City, utility, sewer/water)
• Inspection review
• Certificate of occupancy
• Crossfire Marketing Group begins operations

Project Manager: Sam Driggers 538-2422

Council Goal: Economic Development

Fiscal year: 2011/12 2012/13 

 Expected Completion Date:2011/12