HomeMy WebLinkAboutResolutions - No. 2007-215RESOLUTION NO. 2007-215
A RESOLUTION OF THE LODI CITY COUNCIL AUTHORIZING
APPLICATION TO STATE OF CALIFORNIA FOR SAN JOAQUIN
COUNTY ENTERPRISEZONE, APPROVING ENTERPRISEZONE
LETTER OF COMMITMENT; AND APPROVE MEMORANDUM OF
UNDERSTANDING FOR MULTI -AGENCY COOPERATION
WHEREAS, the City of Lodi and other public entities are submitting a joint application for a
California Enterprise Zone, to be known as the San Joaquin County Enterprise Zone, to the California
Department of Housing and Community Development (the Department) on or before November 16,2007;
and
WHEREAS, the City of Lodi finds that the application area within the City of Lodi is a depressed
area and that designation of the area as an Enterprise Zone is necessary in order to attract private sector
investment to the application area; and
WHEREAS, the City of Lodi authorizes an application for Enterprise Zone designation: and
WHEREAS, the City of Lodi authorizes and supports job development, job creation, and
economic development: and
WHEREAS, the City of Lodi authorizes that staffing shall be made available to maintain record-
keeping, monthly updates on zone activities, and to discuss these activities with program auditors: and
WHEREAS, the City of Lodi shall develop a self-evaluation process to measure its progress in
meeting its goals and objectives, and this process shall be submitted to the Department for review,
approval, and inclusion in the Memorandum of Understanding (MOU) prior to Final Designation: and
WHEREAS, the City of Lodi agrees to complete all actions stated within the application that apply
to itsjurisdiction should the proposed Enterprise Zone be awarded designation: and
WHEREAS, the Lodi City Manager is authorized to sign the application, the MOU, and other
documents necessaryfor the implementation of the Enterprise Zone.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Lodi that the City is
committed to the designation, implementation, and operation of the San Joaquin County Enterprise Zone,
and further authorizingthe City Managerto take actions required to provide for a successful application.
Dated: November 7,2007
hereby certify that Resolution 2007.215 was passed and adopted by the Lodi City Council in a
regular meeting held on November 7, 2007, by the following vote:
AYES: COUNCIL MEMBERS— Hansen, Hitchcock, Katzakian, Mounce, and
MayorJohnson
NOES: COUNCIL MEMBERS— None
ABSENT COUNCIL MEMBERS— None
ABSTAIN: COUNCIL MEMBERS—None
NNIFER I. PERRIN
putt' Git lerk
2007-215
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MEMORANDUM OF UNDERSTANDING FOR MULTIAGENCY COOPERATION IN
THE IMPLEMENTATION, MANAGEMENTAND MARKETING OF
THE SAN JOAQUIN COUNTY ENTERPRISE ZONE
This MEMORANDUM OF UNDERSTANDING (hereinafter "MOU") is made and
executed this 8th day of November, 2007 (the" Effective date") by and between the citie
)f Stockton, Lodi, Manteca, Lathrop and Tracy, municipal corporations of the State of
,alifornia (hereinafter referred to as "CITIES"), the COUNTY OF SAN JOAQUIN, a
)olitical subdivision of the State of California (hereinafter referred to as "COUNTY"), an
he San Joaquin Partnership, a non-profit economic development corporation.
WITNESSED
WHEREAS, the existingStockton/San Joaquin County Enterprise Zone has
;ontributed substantially to the economic development and social advancement of
)ortions of the City of Stockton and the COUNTY since 1993, but is expiring in 2008;
WHEREAS, the CITIES and COUNTY are applying for an Enterprise Zone
lesignation by the State of California in the 2007/2008 application round in order to
ring Enterprise Zone benefits to four more cities (Lathrop, Lodi, Manteca and Tracy)
ind a wider area of San Joaquin County (French Camp, Linden and Thornton).
WHEREAS, the implementation, management and marketing of an Enterprise
-one upon designation is a long-term (15 -year) partnership between local governments
iusiness organizations and businesses;
WHEREAS, the successful implementation of an Enterprise Zone Program
equires a strong commitment and cooperation by the all of the program participants in
upport of job development, job creation and economic development;
WHEREAS, the purpose of the California State Enterprise Zone Program is to
timulate business and industrial growth in depressed areas of the state, help attract
usiness to the state, help retain and expand business and industry, and create
icreased job opportunities for all Californians;
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WHEREAS, the parties of this MOU acknowledge they need the Enterprise Zon
Program to improve economic conditions and overall quality of life within the territory o
the five participating cities and in the unincorporated area of San Joaquin County;
NOW, THEREFORE, CITIES, COUNTY, and San Joaquin Partnership agree a:
II follows:
1 4.
ARTICLE
DEFINITIONS
"Comprehensive Marketing Strategy" is a component of the Marketing Strategy
and Plan section of the Economic Development Plan.
1 3.
"Department" is the California Department of Housing and Community
Development.
"Economic Development Plan" is a part of the Enterprise Zone application
;onsisting of eight sections, including the "Marketing Strategy and Plan" and the "Job
Development, Vouchering Plan and Vouchering Fee Remittance Plan."
D. "Employmentand Economic Development Department"or "EEDD" is a COUNT'
Department under the jurisdiction of the San Joaquin County Board of Supervisors, anc
s the administrative entity for the Workforce Investment Board dbaWorkNet, the
conom#c DevelopmentAssociation, and Revolving Loan Fund.
_. "Enterprise Zone Advisory Committee" or "Committee" is a body comprised ofth
'one Manager, and designees from the COUNTY, the five participating CITIES, EEDD
>an Joaquin Partnership and other stakeholders as needed. The Committee reviews
ongoing Zone program activities, including regular self-evaluation, and makes policy
ecommendationsto the Zone Manager and to all Zone jurisdictions and economic
levelopment partners.
"Job Development Plan" is the component of the Economic Development Plan
iat details how the zone will target employee screening, training, and job -linkage
ervices.
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G. "Vouchering Fee Remittance Plan" is the component of the Economic
Development Plan that details how the Zone will process, manage and report voucher
application fees.
ICJ
"Vouchering Plan" is the component of the Economic Development Plan that
identifies the process for verifying and determining the validity of claims, storage of
documents and tracking of categories of eligibility for vouchers.
I. "Zone" means the San Joaquin County Enterprise Zone.
J. "Zone Manager" is an employee of the COUNTY Employmentand Economic
Development Departmentwho is the overall leader and administratorof the Zone.
ARTICLE II
ROLES OF PARTICIPATING AGENCIES
I A. COUNTY OF SAN JOAQUIN
1. The COUNTY has prepared a Letter of Commitment (Exhibit 1 to this
Memorandum) delineating the resources made available by the County of San Joaquin
for the implementation of the Zone Program.
2. The Zone Manager shall be an employee of the COUNTY Employment and
I Economic Development Department. The Zone Manager shall be in charge of the
overall coordination of all programs and activities of the Enterprise Zone. The Zone
Manager shall work with the Zone Coordinators of the COUNTY and of each
)articipating CITY, the president & chief executive of the San Joaquin Partnership, and
)then economic development partners to ensure the successful implementation of all of
he components of the Enterprise Zone Economic Development Plan, periodically
eview the achievement of the goals of the Enterprise Zone, and verify compliance with
he reporting requirements to the State and all the members of the Enterprise Zone.
#. The COUNTY Administrator shall appoint an Enterprise Zone Coordinator who
;hall be the primary local marketing agent for the Zone in the unincorporated area of
San Joaquin County, including the communities of Thornton, Linden and French Camp.
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I The COUNTY Zone Coordinator shall be the main source of all relevant information
relating to the Zone in the unincorporated area requested by the business community,
the public and residents wishing to participate in the Zone Program.
14.
The COUNTY may develop its own local marketing programs designed to
promote economic development and job creation opportunities, focusing particularlyon
the unincorporated area of the County.
5. The COUNTY and the participating CITIES agree that the lead agency for the
internal marketing programs of the Zone shall be the COUNTY Economic Developmerr
Association (hereinafter " E DA). Subject to oversight by the Enterprise Zone Advisory
Committee, the EDA shall lead implementation of the business retention and expansior
elements of the Marketing Strategy and Plan, with supporting implementation by the
COUNTY, all participating CITIES and economic development partners. To the greate!
extent practicable, the EDA shall coordinate its Zone internal marketing activities with
the San Joaquin Partnership, which shall handle the Zone's overall external marketing
activities.
6. The COUNTY and CITIES agree that EEDD shall implementthe Job
Development Plan, Vouchering Plan and the Voucher Fee Remittance Plan. The
COUNTY and CITIES agree that the EEDD shall be the Vouchering Agent in charge of
managing the issuance of vouchers to Zone program participants. EEDD shall also be
,esponsible for retention of voucher -related records for the life of the Zone plus ten
fears.
7. The Zone Manager, or his/her agent within the EEDD, shall process and remit
lirectly to the Department by the 251" day on the State's Monthly Form all of the $10.00
toucher application fees collected on behalf of the Department during the preceding
nonth. The Zone Manager, or his/her agent within the EEDD, shall provide copies of
;aid completed monthly remittance forms to the Enterprise Zone Advisory Committee.
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1 8. The COUNTY Zone Coordinator and the EEDD Administrator shall each
contribute a monthly progress report of Zone -related activities to the Zone Manager for
inclusion with the required monthly reports to the Department.
9. The COUNTY Zone Coordinator and EEDD Administrator shall each submit to
the Zone Manager a self-evaluation of performance of its Zone activities at least once
per year for inclusion with the Zone annual report.
B. PARTICIPATING CITIES IN THE COUNTY OF SAN JOAQUIN
1. Each participating CITY has prepared a Letter of Commitment (Exhibits 2
through 6 to this Memorandum) delineating the resources being contributed to the
implementation of the Zone program.
2. Each participating CITY shall appoint an Enterprise Zone Coordinatorwho shall
be the primary local marketing agent for the Zone in each CITY. The City Zone
Coordinator shall be the main source of all relevant information relating to the Zone in
that CITY requested by the business community, the public and residents wishing to
participate in the Zone Program.
3. Each CITY may develop its own local marketing programs designed to promote
economic development and job creation opportunities in each CITY.
4. Each CITY Zone Coordinator shall contribute a monthly progress report of Zone
related activities to the Zone Managerfor inclusion with the required monthly reports to
the Department.
5. Each CITY Zone Coordinator shall submit to the Zone Manager a self-evaluatior
of performance of its Zone activities at least once per year for inclusion with the Zone
annual report.
SAN JOAQUIN PARTNERSHIP
1. The San Joaquin Partnership (hereinafter "PARTNERSHIP"), a non-profit
3conomic development corporation, has prepared a Letter of Commitment (Exhibit 7 to
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this Memorandum) delineating the resources being contributed to the implementationo
the Zone program, particularly the Marketing Strategy and Plan.
2. The COUNTY and the participating CITIES agree that the PARTNERSHIP shall
implement the external marketing and business attraction elements of the regional
marketing program of the Zone. Subject to oversight from the Enterprise Zone Advisor
Committee, the PARTNERSHIP shall lead implementation of the external marketing an
business attraction elements of the Marketing Strategy and Plan, with supporting
implementation by the COUNTY, all participating CITIES and other economic
development partners. To the greatest extent practicable, the PARTNERSHIP shall
coordinate its Zone external marketing activities with the EDA, which shall handle the
Zone's overall internal marketing activities.
3. The PARTNERSHIP agrees to integrate the Zone program into existing and
future programs, including its Strategic Plans.
C The PARTNERSHIP shall contribute a monthly progress report on its Zone
activities to the Zone Managerfor inclusion with the required monthly reports to the
Department.
5. The PARTNERSHIP shall submit to the Zone Manager self-evaluation of
aerformance of its Zone activities at least once per year for inclusion with the Zone
annual report. The Economic Development Plan details how the PARTNERSHIP shall
Self -evaluate its performance. Subject to oversight by the Enterprise Zone Advisory
Dommittee, the PARTNERSHIP shall revise the external marketing and business
attraction elements of the Comprehensive Marketing Strategy, Annual Marketing Plan
and other marketing components of the Economic Development Plan in accordance
vith the findings of the self-evaluation.
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A.
ARTICLE III
ENTERPRISEZONE PROGRAM FINANCING
The State of California, in granting the EnterpriseZone designation, does not
provide funding for the implementation of the Enterprise Zone program. Funding of the
Enterprise Zone program requires the commitment of all local participating jurisdictions
for the duration of the enterprise zone designation (15 years). The governing body of
each participating agency has approved a letter of commitment (Exhibits 1 through 7 to
this Memorandum) detailing the resources being committed for the marketing and
operation of the EnterpriseZone program.
B. Aside from the participating agencies' staff and financial resources being
-ommitted, the Zone shall generate additional revenue from a surcharge to the $10.00
`ee already required by the State for the issuance of vouchers. EEDD currently issues
vouchers for the existing zone and proposes the same initial fee of $75.00 per voucher
application. Of the $75.00 voucher application fee, $10.00 would go to the State and
665.00 EEDD will use to mitigate the costs to issue vouchers, recordkeeping, fee
•emittance, record storage and retrieval and other direct and indirect costs associated
with issuing Vouchers. With the concurrence of the Zone Advisory Committee, EEDD
;hall amend the voucher application fee as permitted by State Law and EnterpriseZone
legulations.
I k.
ARTICLE IV
CITIESAND COUNTY OVERSIGHT
An EnterpriseZone Advisory Committee comprised of the Zone Manager, and
Designees from the COUNTY, the five participating CITIES, EEDD, the San Joaquin
'artnership and other stakeholders, as needed, shall review ongoing program activities
tnd make policy recommendations. The Committee shall oversee self-evaluation of the
_one's Economic Development Plan, among other functions. The Committee shall hold
Lt least one Zone self-evaluation meeting per year in order to assess progress in
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attaining performance benchmarks and other goals and, as necessary, revise Economi
Development Plan strategies.
3. The CITIES, the PARTNERSHIP,the COUNTYZone Coordinatorand EEDD
;hall assist the Zone Manager in the preparation of monthly, annual and other reports
,equired by the State of California by providing the Zone Managerwith monthly
accountings of Zone -related activities and performance. The Zone Manager shall
submit all reports to the Department. The Zone Manager shall provide copies of all
,eports submitted to the Department to the City Zone Coordinators, the President and
CEO of the PARTNERSHIP, the COUNTY Zone Coordinator and the EEDD
4dministrator.
2. Each participating CITY has the responsibilityto ensure that all aspects of the
nterprise Zone comply with State Law for transactions occurring in the respective
ncorporatedjurisdictions of each participating CITY. The COUNTY has the
-esponsibility to ensure that all aspects of the Enterprise Zone comply with State Law
or transactions occurring in the unincorporated area of the COUNTY.
N WITNESS WHEREOF, parties hereto have executed this MOU in San Joaquin
I
ounty, State of California, on the date set forth above.
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COUNTY OF SAN JOAQUIN, a Political
Subdivision of the State of California
("COUNTY)
Chairman
Board of Supervisors
ATTEST:
Clerk to the Board of Supervisors
By:
APPROVED AS TO LEGAL FORM:
County Counsel
By:
CITY OF LODI, a Municipal
Corporation of the State of California
Bv:
Mayor
CITY OF LODI
APPROVED AS TO LEGAL FORM:
City Attorney
CITY OF LODI
By:
ATTEST:
Clerk to the City of LODI
Im
D
CITY OF LATHROP, a Municipal
Corporation of the State of California
By:
Mayor
CITY OF LATHROP
APPROVED AS TO LEGAL FORM:
City Attorney
CITY OF LATHROP
By:
ATTEST:
Clerk to the City of LATHROP
0
CITY OF MANTECA, a Municipal
Corporation of the State of California
By:
Mayor
CITY OF MANTECA
APPROVED AS TO LEGAL FORM:
City Attorney
CITY OF MANTECA
By:
ATTEST:
Clerk to the City of MANTECA
M
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CITY OF STOCKTON, a Municipal
Corporation of the State of California
By:
Mayor
CITY OF STOCKTON
APPROVED AS TO LEGAL FORM:
City Attorney
CITY OF STOCKTON
ATTEST:
Clerk to the City of STOCKTON
RM
SAN JOAQUIN PARTNERSHIP
By:
Michael E. Locke,
President & CEO,
SAN JOAQUIN PARTNERSHIP
CITY OF TRACY, a Municipal
Corvoration of the State of California
Bv:
Mayor
CITY OF TRACY
APPROVED AS TO LEGAL FORM:
City Attorney
CITY OF TRACY
0
ATTEST:
Clerk to the City of TRACY
By:
On following pages: EXHIBITS 1 — 7
Letters of Commitment
TO BE ATTACHED AFTER APPROVAL BY EACH PUBLIC ENTITY/ORGANIZATION
Exhibit 1: Letter of Commitmentfrom County
Exhibits 2-6: Letters of Commitmentfrom Cities
Exhibit 7: Letter of Commitmentfrom San Joaquin Partnership
10
CITY COUNCIL
BOB JOHNSON, Mayor CITY OF L O D I
JOANNE MOUNCE,
Mayor Pro Tempore CITY HALL, 221 WEST PINE STREET
LARRY D. HANSEN P.O. BOX 3006
SUSAN HITCHCOCK LODI. CALIFORNIA 95241-1910
PHILKATZAKIAN (209) 333-6702 / FAX (209) 333-6807
www.lodi.00v cityclerk@lodi.gov
November 8,2007
Mr. Frank Luera, Interim Manager
Enterprise Zone Program
California Departmentof Housing and Community Development
1800 Third Street, Suite 390
Sacramento, CA 95814
BLAIR KING, City Manager
RAND] JOHL, City Clerk
D. STEPHEN SCHWABAUER
City Attorney
RE: LETTER OF COMMITMENTTO SAN JOAQUIN COUNTY ENTERPRISEZONE
The City of Lodi (hereinafter "City") is a general law city incorporated under California law. The City
has jurisdiction over a portion of the proposed San Joaquin Valley Enterprise Zone (hereinafter
"Zone") and has heretofore resolved to be an applicant for the Zone. The City is separately
entering into a Memorandum of Understanding that defines the respective roles of the participating
cities, the County of San Joaquin, and other Zone program participants. This Letter of
Commitment contains specific commitments that the City will make solely to the designation,
implementation, and operation of the proposedZone.
Commitments of Staff Time
The City commits two staff members to the Enterprise Zone project.
Ifthe Zone's application is successful, the City will hire a new Economic Development Coordinator
and will dedicate 35% of his or her time to the project at an annual value of approximately $37,000,
including $28,000 in salary and $9,000 in benefits. He or she shall be the Zone managerfor the
City of Lodi. His or her tasks to be completed in support of the Zone will be to conduct marketing
for the Zone and to undertake business expansion, attraction, and retention activities for the Zone.
This will be a new position. The City Manager will have the discretion to designate a staff liaison to
fast-track economic development projects within the Zone.
Second, Rob Lechner, Manager of Customer Services and Programs with Lodi Electric Utility, will
dedicate 20% of his time to the project at an annual value of $26,000, including $19,000 in salary
and $7,000 in benefits. His tasks to be completed in support of the Zone will be the Lodi Electric
Utility's key account representative assigned to businesses locatedwithin the Enterprise Zone.
II. Commitments of Other Services and Suu 1g ies
The City also commits the following to the Zone program:
San Joaauin County Enterprise Zone: The City commits $23,024 peryear tr) the San Joaquin
County Enterprise Zone for zone administration, job development, and marketing.
San Joaauin Partnership Dues: The City commits $35,000 per year to the San Joaquin Partnership
for Zone marketing and business attraction.
Professional Consultant Services: The City is currently committing $250,000 for professional
consultant services toward the creation of a Redevelopment Project Area that will includethe
EnterpriseZone.
Other Advertising & Marketing: The City commits an annual value of $125,000 to fund a broad
range of business and marketing organizations including the Downtown Lodi Business Partnership,
the Lodi Conferenceand Visitors Bureau, and the Lodi Chamber of Commerce that promote the
region, including the EnterpriseZone.
Office Egu_icmeet & Maintenance: The City commits an annual value of $1,500 to office equipment
and maintenance. Such value representsthe portion of City computer systems, telephones, and
fax and copy machines devoted to Zone affairs.
O2'f z c e --The City commits an annual value of $20,000 to office supplies. Such value
represents the cost of paper, stationery, envelopes, and other supplies consumed for Zone affairs.
Telecommunications: The City commits an annual value of $1,500 to cover telephone and internet
expenses related to Zone affairs.
Eliaibilitv for Solar Rebates: The City has committed $6 million over ten years in rebates for solar
energy projects. Businesses within the EnterpriseZone will be eligible for rebates.
Reduced Electricity Rates: The Lodi Electric Utility's rates for industrial users is, on average, 30%
less than the adjacent investor-owned utility and is availableto businesses locating within the
EnterpriseZone.
III. Total Contributions
The total direct annual value of the contributions of the City of Lodi to the Zone shall be $144,024.
Additionally, the City of Lodi is currently committing $375,000 for consultant services and marketing
for regional benefitthat includes the EnterpriseZone. The City of Lodi acknowledges that its direct
commitment is an annual commitment for the life of the Zone.
The City Council of the City of Lodi has approved this Letter of Commitment as an attachment to a
Resolution. The City Manager is directed to transmit this Letter of Commitment with the
EnterpriseZone application.
Sincerely,
Bob Johnson
Mayor, City of Lodi
sJrh
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