Independent Economic Development Task

ForceMeeting #14

November 20, 2013

K. Gleasman

Agenda• Review and approve meeting notes from Mtg #13• Update Roadmap • Evaluate Jeannette Goldsmith EDO construct• Finalize prep for J. Goldsmith visit 12/4• Review conclusions from questions 1 – 22 - all• Finalize approach for full day 12/6 meeting• Other topics from task force• Public Comment –Summarized Input• Adjourn

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Review and approve meeting notes from Mtg #12

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Members Present: x Bradford x Gleasman x Harris x Higgins x Neumann x Watkins x WhitmireMembers Absent: q Bradford q Gleasman q Harris q Higgins q Neumann q Watkins q WhitmireOthers Present: One member of publicRecording Secretary:Karen GleasmanITEM DISCUSSION BEYOND SLIDE DECK ACTIONReview and approve Mtg Notes 11 ApprovedAnalyze data for questions 2 - 22 Complete Karen to summarize conclusions for discussion

11/20/2013

Other topics from task force members Discussed plan for next full day sessionsCreated list of questions for Jeanette Goldsmith Wed 12/4 Jeannette Goldsmith confirmedFuture meeting - Scott Elliott to discuss workforce readiness Fri 12/6 8AM - 5PM propose EDO's

Public comment through email No input received Email account open:TCIEDTF@gmail.com

Adjourn

Transylvania CountyIndependent Economic Development Task Force

11/13/2013 Meeting #13

Roadmap to complete 3 tasks

TASK #1 TASK #3Recommend TC EDO ID Target IndustriesOrg Structure Prelim Marketing Plan

Debate Pros/ConsAlternatives

Develop AlternativeStructures

Study J. Goldsmith Analyze Agency TASK #2EDO Construct Data Develop Mission/Vision

Brand for TC EDOModify J. Goldsmith Develop decisionEDO Approach criteria

Modify TC Assets Review AgencyChallenges Data

Review J. Goldsmith Collect Agency Prep for AgencyReport Data Data Collection

Have brainstormed list of 27 targeted industries

Reviewed and modified:TC AssetsTC ChallengesTargeted companies profileApproach to econ developmentBrandingMarketing

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9/11/2013

Evaluate J. Goldsmith EDO Construct

• Create a new public-private EDO; merging the following:1. TC Office of Planning & Economic Development2. Transylvania Partnership3. Economic Development Advisory Board4. Transylvania Chamber of Commerce5. Tourism Development Authority* * Continues as entity6. Heart of Brevard

• Rationale: leverage public sector funding with private investements and merge duplicative efforts

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Evaluate J. Goldsmith EDO Construct• Mission: attract, retain, and create quality jobs for TCDevelop needed community assets to maximize opportunities for investment and

quality job creation

• Six functions1. Lead in designing and executing marketing strategy2. Primary point of contact, create relationships, assist prospects3. Lead support network for existing employers4. Product and community development (HOB, Tourism, Business Park)5. Tourism6. Marketing and Research including web page and social media

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Evaluate J. Goldsmith EDO Construct

• Funding:• Public Sector 70% (City of Brevard, TC, and Town of Rosman)• Private Sector 30% (memberships, sponsorships)

• Governance:• Two boards comprised of same individuals comprising

• 501(c) 6 to allow for lobby and advocacy• 501 (c ) 3 to enhance fundraising

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11 Board Members

City of Brevard (2) Business (4)

Transylvania County (2) Heart of Brevard (1)

Town of Rosman (1) Tourism (1)

Evaluate J. Goldsmith EDO Construct

• Staffing:• CEO/President• VP of Economic Development• VP of Membership and Investor Relations• Project Manager – Economic Development• Project Manager – Product Development• Visitor Center/ Tourism Coordinator• Marketing Coordinator

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Evaluate J. Goldsmith EDO Construct

• Budget: $700K in Yr1 to $825K in Yr 5• Includes: Salaries, supplies, travel/membership/conferences, outside

services, events, rent/utilities

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Finalize prep for J. Goldsmith visit 12/4J. Goldsmith questions (modified 11/20):•Why no mention of land use planning in county?

•How did you conclude:• Significant economic development overlap amongst organizations• $750K was the right budget• No product available

•Why little mention of tremendous volunteerism?

•What are good measures for economic development success?

•How sensitive is Transylvania County competitiveness to tax rate?

•How do we push quality of place higher on selection criteria for incoming companies?

•What else can we do to reduce risk – i.e. keep companies in funnel longer?

•How do you connect org structure to deficits of TC Economic Development?

•Prioritize site selection criteria for us.

•How does 70% econ growth coming existing business jive with recommended org structure?

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Review conclusions from questions 1 – 22 - all

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Perceptions of Current Effort – Reasons for Success

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TCPED Staffed

Working with individual businesses

Strategic plan

Well connected beyond and within TC

Clear role as entry point of new businesses

Focus - investment and business growth

TDA Funding

Measurable results

Marketing

Professional support

Legally prescribed, clear purpose

Grants to promote tourism

TP Non-gov't (can buy drinks)

Sole purpose

Quick response

Does not have to be public

Funded - not publicly funded

Conduit role

HOB Leverages sense of place

Collaborates with city & COC

Funded by 16 block tax

Clear purpose - 16 block main St program

Vested interest in success

Perceptions of Current Effort – Reasons for Lack of Success

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(General not associated with any organization)Not coordinatedConfusedLack of focusToo much attn as to who gets credit

Perceptions of Current EffortOff the mark because: Lack of unity

Fractured

Nobody says TC is doing well

Results are poor or average at best

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Overlaps Several organizations leverage positive tone of sense of placeStrategic planSeveral organizations take on referral role for new businessesNetworking support of existing businesses

Gaps No one great at economic developmentWorkforce development absentNot obvious who new businesses should approachNo widespread engagement of communityMissing creation of funding of start-upsLacking a start-up community

Perceptions of Current Effort

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TC is competitive with Beautiful place

Quality of placeSchool quality

Not competive due to Attitude of facilitationHigh cost of housingHigh cost of land

Water & sewer outside of cityPerception of no available productPerception that UDO is burdensome

WorkforceLack of land use policy/zoning

Speed of responseTotal of what you should expect relative to ED

Most appeal messages Quality of placeSmall town charm with big city amenitiesArts, culture, recreation

SafetyFamily friendly

TC Advantages Place - nature, culture, family friendly

relative to WNC Low taxes

Airport and highways

Proximity to other cities

Low energy cost

Regional hospital

Schools

You can be a big fish in a small pond

HOW ECONOMIC DEVELOPMENT WORKS TODAY

Is ED role valued ED is high priority for all organizations surveyed

Collaboration Contractual

City w/ COC, HOB,TCARTS,

TDA w/ COC

Formal

County w/ EDAB

EDAB/COC/HOB ex officio relationships

with all groups

Gaps

No common calendar

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TDPED TDA TP EDAB HOB Brev

Recruitment x x x x (x)

Existing business supp x x x x x x

SMB x x x x x x

Entrepreneurial x x x x x (x)

Culture x x x x x

Workforce* x x

* Inadvertently not included on survey

HOW ECONOMIC DEVELOPMENT WORKS TODAY

Success measures Statistics Building permits

Tax revenue

Membership

Non statistical

accomplishment of strategic gpals

BIG opportunity to get ED measures more effective

Inquiries Mostly directed to Mark Burrows

HOB works within 16 block purview

Mark Burrows responds promptly then refers

generally felt to be under funded and

less than fully effective

Should we develop "realtor" qualification type process

to determine initial response

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HOW ECONOMIC DEVELOPMENT WORKS TODAY

From outside TC State and Nat'l Main St programs leveragedNetworking with state and Advantage West

Could/should be leveraged more requiringstrategic specificity and advocacy

Funding Collaboration would improve outcomesMost of funding from tax dollarsPrivate $ small

HOB $115K$30K

TCPED Salaries$10K

TDA $400K

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Helpful local resources EONTCPED Brochure & GuideSCOREMtn Biz WorksPartnershipHOBPrivate investorsBR Entre CouncilBR Angel Investment Network (BRAIN)BRCCLocal banks, realtorsCOCTCPEDMtn workforce advisory boardCity of BrevardLots others

HOW TO IMPROVE

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Barriers to success Leadership

Trust/ "followership"

Obvious "product"

Clear definition of where we are going

To improve: Collaboration

Increase funding

Consistent/focused message

Improved processes

New structure? Clear definition of roles

Structure follows intent

Greater tax dollars & supplemental revenue

Alignment of purpose

New org with increased energy could help

Environmental changes? Land use planning

Infrastructure expansion

Common mission, vision, brand

Shovel ready product

Share financials? Yes; requires trust

Public/Private/both Collaborative

Non-partisan

Public funded - joint responsibility

Publicly recognize/value all successes, large and small

HOW TO IMPROVE

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How big of a budget? Intent before funding

Efficient use of existing funding

Trends Don't expect large industry - why? Need to answer

Individual affinity to "place" - act on it

Green industry

Improved connectivity to the world

Preserve opportunity for children who grow up here to work here

NIMBY

Lots of willing participants

Finalize approach for full day 12/6 meeting1. Each task force member presents top 1 – 5 organization construct options2. We will combine like options and give each a name3. Form 2 groups, one with 4 members the other with 3 members4. Round 1: Each group will evaluate 1/2 of the options

a. What’s “good” about this optionb. What’s “bad” about this optionc. Suggest tweak to improve option

5. As a full team we will look for themes in the feedback and establish common principles for the organization structure

6. Start at Step 2 and repeat if it makes sense, with the tweaked structures

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Other topics from task force members

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Public Comment – summarized input

• Please send public comment to:o email address: TCIEDTF@gmail.com or

• Or provide in writing prior to or after each meeting.• New email will be accessible to all task force members• Karen Gleasman will ensure written comments are passed on to all

task force members

No input received last week

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Adjourn

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Mission statements

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MissionCOC The Brevard/Transylvania Chamber of Commerce shall promote the economic well

being of the local business community and be a catalyst for the collaboration of businesses, local government, civic and community organizations in order to enhance the quality of life for its residents.

TP To promote diversified industries and mfg establishments within Transylvania County, rendering financial and/or other assistance, acquiring real or personal property as needed, to make contracts, serve as Certified Development Company under SBA, and to act in conjuction with TCED Commission for betterment of trade area of TC

EDAB Advisory board to county commissioners in developing and carrying out effective Economic Development Program

HOB Non-profit organization whose purpose is to maintain a vital downtown. Revitalization is done through design, economic restructuring, promotion, and organization

TDA commissioned by the Legislature and our Commissioners in 1986, to work on travel and tourism in our county

TCOPED Actively support a diverse mixture of existing and new businesses in order to retain and create new jobs, increase the tax base, and promote as

Brevard The mission of the City of Brevard is to promote a high quality of life, support economic prosperity, and cultivate community while honoring its heritage and culture.

Targeted completion date – after upgrade• Oct 23, 2013: propose process to analyze agency data• Oct 30, 2013: finalize process to analyze agency data (retreats?)• October 31, 2013: most all agency input received• November (with holidays): analyze data• December: propose/evaluate organization construct alternatives• End of January: Interim report to community – Brand, mission, vision,

brainstormed list of targeted businesses, and EDO construct(s) • Feb 12 – finalize org construct, brand, mission, vision • March – Select targeted businesses, develop initial marketing plan• March – Final report prepared/presented to community and commissioners

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Definition of Economic Development

“Economic development is a process by which a community creates, retains, and reinvests wealth, and improves the quality of life.”

David Dodson, MDC Inc, Chapel Hill, NC

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Decision criteria for EDO decision1. Economic development is a process by which a community creates, retains, and reinvests wealth, and

improves the quality of life

2. Covers all seven elements of solid approach to economic developmenta. Recruitment – soliciting companies to come or start here, includes marketingb. Existing Industry Effortc. Small Business Developmentd. Entrepreneurial Developmente. Workforce Development – EDO consolidates needs and facilitates solutionsf. Economic Culture Creationg. New business “ambassador” to smooth way with permitting, regulationsh. Vision/Leadership/Accountability – includes metrics related to mission and funding

3. Anticipated good return on financial investment

4. Great utilization of human capital including terrific volunteer base

5. User friendly – east to access, explain, and understand

6. Active engagement of the whole of the county

7. Clear communication and cooperation amongst parts

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Targeted industry brainstormed list 10/9/2013

Goldsmith Industries

Industries Industries Industries Target Company Profile

Nutraceuticals Aerospace industry parts Cut & Sew Medical care recoveryRev range: $50K - $50M

Outdoor Recreation Equipment Composites 3D Printing

Number of employees: 1-150

Food and Beverage

Consider methods of mfg: e.g. precision maching, web based

Environmental industries, e.g. recycled matls -> t-shirts

Retention/expansion of current businesses

Automotive Parts Brevard College BRCCQuality of place is big draw

Sports, Health, and Wellness Bamboo CampsPotential for above average pay

Solo Worker Destination spa Medical equipment

Tourism Destination health club Labs e.g. biomedical

Research lab: e.g. farm/agri Build musical instruments

Food processing, e.g. apples More movies hereArtisanal agriculture, e.g. mustards, Do More bars Music recording studios

Expansion of TVS EventsParts/supplies for existing comp., e.g. cans for OSKAR BLUES Continuing careMore like Everett Farms, Busy Bee

NOT in conflict with quality of place

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