HomeMy WebLinkAboutAgenda Report - March 16, 2005 K-01AGENDA ITEM K""
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AGENDA TITLE: Economic Development"Team Lodi" Report
MEETING DATE: March 16,2005
PREPARED BY: Deputy City Manager
RECOMMENDED ACTION: That City staff update the City Council on the Economic
Development program and the implementation of "Team Lodi."
BACKGROUND INFORMATION: The City of Lodi formally began economic development activities in
1993 upon creation of the Economic Development Coordinator
position. Since that time, the position has been responsiblefor
business attraction, retention, and expansion and downtown revitalization (Central City Revitalization).
The primary advantage of having a Coordinator on staff was to afford businesses a single point of
contact for inquiries, troubleshooting and coordinating inter -departmental efforts. Additionally, the City
was motivated to elevate economic development efforts when businesses began closing and or
relocatingfrom the Downtown core area (i.e. Woolworth's, JC Penny's, Squires).
Since the mid -90's, Economic Development efforts have resulted in the successful completion of the
Downtown Revitalization project, attraction of new businesses downtown (i.e.: Lodi Stadium 12, Lodi
Beer Company, Rosewood Restaurant, Classic Living, and scores of new and thriving small businesses),
and attraction of industrial businesses (i.e.: Scientific Specialties, RE Services, Certainteed/Apache
Plastics, Kubota Tractor Corporation, Epic Plastics, American Master Tech, All Counties Glass). In
addition, the City's Economic Development efforts have assisted, through incentives and rebates, a
number of large commercial and/or industrial customers in local plant/facility expansions (i.e.: Quashnick
Tool Corporation, Cottage Bakery, Scientific Specialties, Lustre -Cal, and others).
Despite the success of the Economic Development program, the adopted Fiscal Year 04/05 Budget
included elimination of the Economic Development Coordinator position, which had been vacant for
approximately one year. The salary savings were used to help defray in part the budget challenges,
while the workload was absorbed by the Deputy City Manager, Community Development Director and the
City Manager's Management Analyst. It is anticipated that the Economic Development Coordinator
position would be reinstituted within the next two years to ensure that the City does not lose momentum
on business attraction etc. efforts.
Subsequent to the elimination of the Economic Development Coordinator position, the concept of `Team
Lodi" was developed when it became abundantly clear that the City needed to re -market itself as being a
business -friendly community, with a desire to attract new businesses to Lodi. The 'Team" launched an
initial briefing with several local commercial/industrial brokers, and received feedback from the
participants regarding the City's concept for the renewed economic development efforts.
APPROVED:
Blair Ki g, City Manager
`Team Lodi" has evolved over the past few months and consists of the City Manager, Deputy City
Manager, City Manager's Management Analyst, Electric Utility Director, Electric Utility Customer Services
& Programs Manager, Community Development Director, Public Works Director, and the City Engineer.
The "Team" is pulled together to respond to business inquiries, to meet with business prospects and to
develop strong relations with the brokerage community. As appropriate, representatives from the City
Council and from the Chamber of Commerce are invited to attend business attraction meetings and/or
visits.
City staff members have developed a plan to refocus economic development efforts on retention,
expansion and attraction. Continued focus will remain on the Downtown core for specialty shops,
restaurants, and personal services.
A `toolbox" of incentives assembled by staff for recruitment and retention efforts recently resulted in a
new program: The Lodi PACE (Profitability and Competitiveness for Employers) Program. Staff will
unveil to Council, and to the public, the concept and implementation of this refreshed Economic
Development program.
As an aside, the City's Electric Utility Department is playing a very active role in working directly with
businesses and with City departments. Via the Department's key account outreach efforts, and its
various customer programs, Electric Utility staff has made significant inroads to the business community
(both small businesses and large retail & industrial customers). The goal of `Team Lodi" and the Lodi
P.A.C.E. Program will be to incorporate the appropriate city departments into the process to work
effectively with existing Lodi businesses and prospective businesses.
FISCAL IMPACT: The City eliminated the position of Economic Development Coordinator thereby
saving approximately $117,000 annually. The tradeoff is that economic development is now being
approached as a team concept involving members of staff from multiple departments on a need -be basis.
FUNDING AVAILABLE:
JSK/sl
Not Applicable