Economic Development Plan – Recommendations 1 – 3

Ok, lets rip into this plan and figure out what its about . . .

First, here is the code to understand some of the designations of the items in the plan:

ED PLAN – A recommendation that is found within the accepted
3-5 Year Strategic Economic Development Implementation Plan
*** – A project or program already underway
ED PLAN *** – A recommendation of the 3-5 Year Strategic Economic Development Implementation Plan that is already underway
__________ – An idea for a project or program not currently underway, and not found within the 3-5 Year Strategic Economic Development Implementation Plan. It is a recommendation for a new program/project from City staff or the EDC.

Second, this isn’t a work plan, there was more detail in the 3 – 5 year Economic Development Plan.  This is a reprioritization of recommendations to work on with a new set of recommendations sprinkled throughout.  But there are no time lines, no specific work items to accomplish, no designation of which staff will be working on them and quite frankly, at that end of the year, how will you measure what was accomplished?  It’s shocking that there was more detail in the original plan than in this “workplan”.  Obviously, some of these recommendations are on-going items and I’d like to see what steps are being prioritized by staff.  

Third, where is the report on what they are accomplishing this year? It’s kind of hard to review this workplan without a status update on what has happened and is expected to happen this year.  Clearly, much has changed in the economy and I would hope staff are taking steps to address issues, but what are they and how does this work plan build on current efforts?

Now, the plan as presented . . .

RECOMMENDATION # 1 – CUSTOMER SERVICE

ED PLAN *** Zoning Code Modernization

Complete re-write of the City’s Zoning Code.

ED PLAN *** Development Services Center

Development Services Center website, implementation of ELAM permitting software, and physical space development of a center.

ED PLAN *** Dept. of Planning & Community & Economic Development website

Complete re-design of the DPCED website.

These items are all well underway and being done by people not in the Economic Development Unit, but primarily in the Planning Unit.  Therefore, when Cooley talks about staff resources, these shouldn’t have any impact in his unit.

I’m unclear about why “physical space development of a center” is on this list, as it is essentially on hold while they try to determine what is going to happen with the Marcus Hotel and the Municipal Building and the Government East parking ramp.  We objected to the $1.6M being in the budget for this a few years ago, and the money remains in the budget so people don’t think we forgot it, but its not going anywhere and it seems silly to even include it in the work plan if its not happening.  If something is happening on this item, it should be detailed.

________*** Road Construction Information/Assistance

Continued partnership between the Office of Business Resources, City Engineering, and the Chamber Small Business Advisory Council, and Central Business Improvement District to use the Road Construction Survival Guide and Road Works website developed in 2009 to outreach to and help prepare business owners who will be impacted by road construction in 2010.

This item is essentially done.  Here’s the guide and website.  I think the plan is to do outreach – I’d like to see the workplan contain specifics about that outreach. 

__________ Streamlining Process 

This effort would include a closer look at the City’s current development review process in concert with the new ELAM permitting software and proposed Development Services Center to see if further efforts can be made to streamline approval processes within the City of Madison.

How’d this creep back in here?  When the whole “Madison is unfriendly to business” campaign started (you know, backlash about local minimum wage and paid sick leave and inclusionary zoning), this was number one on the list.  Studies were done, plan commission got a presentation by UW students who studied the process and facts were gathered.  Recommendations were made and discussed.  So much so, that it didn’t really make it into the 3 – 5 year plan and instead there was the re-write of the zoning code, purchase of software to help process applications and the development services center, but now, it’s back again.  I think we need to let those items work and re-evaluate once they are in place.

ED PLAN___ Monitoring/Benchmarking Customer Service 

As outlined in the 3-5 Year Strategic Economic Development Implementation Plan, this recommendation calls for a formalized approach to gather and measure customer feedback (such as through a Baldrige or similar process).

I thought this was kind of basic and would have been one of the first things to get done, so that we could see progress.  This is now a plan for the 2nd year of the 3 – 5 year plan and frankly, it should already be in place, otherwise at the end of the plan, there will be no trend information.

ED PLAN___ Communication/Collaboration/Attitude 

Work with existing business organizations (region/City/district) to participate in implementation of the work plan objectives, develop and communicate an overall regional/city competitiveness vision, and develop/evangelize with internal/external markets the “why” and necessity of the vision, strategy, and action plans.

I’d like to see what details on this item, what does this mean?  It doesn’t really say anything, how will I know if at the end of the year we have accomplished this item? 

RECOMMENDATION # 2 – QUALITY JOB CREATION/RETENTION/EXPANSION

ED PLAN__ Proactive retention/expansion 

As outlined in the 3-5 Year Strategic Economic Development Implementation Plan, this project would include the purchase of retention/expansion software to manage a proactive effort on the part of City staff and other economic development partners to reach-out to businesses in a proactive manner to determine their future retention/expansion needs.

Hmmmm . . . I thought it was pretty clear that this software would require us to keep track of confidential information, which would be an open record and therefore would make it difficult to have businesses talk to them.  So, what is the purpose of the software.  I guess I want to see the “why” at this point and what purpose it will serve.

__________ Proactive retention/expansion (revised)
The approach above requires allocation of financial resources to purchase software, additional staff capacity (as outlined in the 3-5 Strategic Economic Development Implementation Plan), and availability of volunteers in the private sector to assist with the effort. The current economic recession puts the likelihood of all three of these components in jeopardy. 

One of the goals of this effort is to determine what business needs are at the moment, and where there may be opportunities for expansion. Given that all businesses have unique needs at the moment, an alternative approach in lieu of purchasing software and starting a new effort at this time, is to do more to promote the resources that are already available to businesses within the community, while working with those businesses that contact us.

Larry Palm did his best to try to get them to tell him what this means?  How much staff do they need?  Cooley just turned it around on them, and said it was up to them.  What kind of a game is that?  Isn’t it staff’s job to make a proposal and then have the council determine what they support?  This sounds like it is just here to say “see, we told you it wouldn’t happen”.  Promoting resources already available to people who contact them isn’t anything new is it?  Isn’t it what they do now?  This item is mildly disturbing, as the whole point of the 3 -5 year plan was to make the city more pro-active, not reactive.

________*** Small Business Conference
If the City wishes to host a fourth bi-annual small business conference in 2011, planning will need to being during the second half of 2010.

????  Why wouldn’t they?  Does the staff have other suggestions about what should be done to support small businesses in lieu of not doing the conference?  Why is this a question?

__________ Workforce Summit 

The 2009 Economic Development Work Plan called for a Workforce Summit in 2009. Given staffing demands, we will not be able to host this event in 2009.

__________ Workforce Development 

In lieu of, or in addition to, a Workforce Summit continue the work of the Workforce Development Sub-Committee of the EDC to further explore the role the City should play relative to workforce development throughout the community.

If I understood Cooley right, this simply isn’t a priority for them as they feel that others are already doing it.  The committee has been meeting for some time, or at least appointed and supposed to be working, their work should be done by the end of 2009 I would thin, this item should probably say that they would act on recommendations and implement them.  I suspect, however, that this item will just drop off the radar screen.

ED PLAN*** Business Requests/Prospects 

City staff receives numerous unsolicited requests on a weekly basis from businesses, site selectors, developers, the Department of Commerce, etc. with ideas for businesses interested in expanding within Madison or re-locating to Madison. Economic Development Division staff serves as a lead on these prospects by providing information about available space, demographic information, and financial assistance.

Ok, but what are the goals here?  How many people do they plan to assist with what type of activities and what do they expect their success rate to be?  How do they prioritize these requests? 

__________ Business Creation/Talent Portal 

Major economic recessions, such as the one we are currently facing, result in a significant number of highly skilled unemployed/underemployed individuals along with opportunities for new business development. The City could foster the connection of individuals with opportunities through the development of an online business creation/talent portal.

Huh?  The Job Center for the middle and upper class?  What is this? Is it for entrepreneurs who want to create businesses?  What would be the outcomes?  How does this benefit the City?  Will it create a certain number of jobs?  So, its sounds like a fine idea, but when they are saying they don’t have the resources, is this where we get the biggest bang for our buck?

__________ Product Beta-testing in Appropriate Clusters (such as “Green Industries”) 

Businesses often require beta-testing of new products with potential customers. Madison is already recognized as a “green community,” taking a lead in new efforts for sustainability. There may be opportunities to reach-out to companies in the growing “green” business cluster to complete their beta-testing here. Especially in cases where are firms are not already familiar with Madison, this could be an effective way to introduce them to Madison, with the goal of accommodating their future expansions here.

Again, this sounds like an idea just thrown out there.  At least it has some goals to attract businesses and introduce them to Madison, but is this the best use of resources?  Shouldn’t we be focusing on the low hanging fruit?  Do they  have the staff and time to do this?  If they do, how will we know success when it happens?  Is it one product tested or 100?

__________ Common Council – Business Relations
Arrange additional opportunities for Alders to tour and meet with employers within their Districts.

Here’s an idea, how about just including alders when the staff are having discussions with businesses in their districts?  This also says “employers” not businesses.  Is there a focus on employment and jobs?  Are they focusing on major employers?  Or small businesses?  Shouldn’t alders already be doing this on their own and does staff really need to spend time working on this?  Again, I think they could just be included when discussions are happening in the district.

__________ Economic Development Impacts of Projects/Policies 

Greater utilization of the EDC for review/input of projects and policies from an economic development standpoint.

BAH HA HA HA HA HA HA!!!!!  Too funny.  This is the same EDC that is the only committee I remember in 8 years that REJECTED referrals we tried to make.  Now, they want referrals.  Toooooooooo funny!!!!  I wholeheartedly agree with this recommendation.  But the committee members have to be on board and they have to not ask “why is this here” and “why are we wasting our time with this” and then they actually have to give meaningful feedback.  Complete with recommendations on how to change proposals if they think the proposals merit it. 

__________ Demographic Shift 

Further explore the impact that shifting demographics will have on the Madison economy.

Wow.  Just wow.  To me, it was pretty clear what this meant.  But I’d like to hear this justified.  I’d like to hear what they will be looking at.  Are they concerned we have too many poor people here – and yet don’t want to work on workforce development?  What other demographics are they worried about changing?  Explain yourself please.  Just say it, in plain English.  What are you worried about?

ED PLAN *** Small Business Assistance 

As outlined in the 3-5 Year Strategic Economic Development Implementation Plan, continue/strengthen outreach/cooperation with organizations that provide small business planning assistance.

Ok, again, more specifics please.

RECOMMENDATION # 3 – PHYSICAL DEVELOPMENT

________*** Community Infrastructure (roads, facilities, etc.), including related real estate transactions 

Continued investment in City infrastructure (roads, facilities, etc.), including the necessary real estate transactions for said projects.

I’d really like to hear more details about how the staff work on this, how they prioritize these projects and what they measure about the projects when making them a priority.  How do staff intervene on behalf of businesses?  And what did they mean “including the necessary real estate transactions for said projects”?  Did they mean TIF dollars?

ED PLAN *** Physical Development Projects 

Implementation of physical development projects, including but not limited to: UW Research Park II, Capitol Gateway, BioAg Gateway (including BioLink), Truman Olson, Royster Clark, Garver, Union Corners, Edgewater Hotel, Public Market, Marcus Hotel (and related private development), and the Downtown Library (and related private development), the Villager, Allied Drive, Badger/Ann/Park projects, Truax, and the Lake Point redevelopment.

Again, what are the staff doing?  Why this list of projects?  Are these projects prioritized?  What is needed on these projects?  Is this just things that the Planning Department is already doing, or is futher intervention or work needed? 

__________ “Green” Workforce and Business “Homesteading” 

Given its central location, available transit, mixed-use neighborhoods, etc. living or locating a business within the City of Madison provides individuals with a greater opportunity to live or run their businesses in a more sustainable manner than most other locations within the region. As a way to retain/attract a quality workforce within the community and employers who consciously wish to be more “green,” promoting the concept of “green” workforce and business “homesteading” could be further explored.

Interesting, again, more details, please.  What activities would staff do to make this happen?

ED PLAN__ Business Incubator Study 

As outlined in the 3-5 Year Strategic Economic Development Implementation Plan, study the demand/appropriateness of additional business incubators within the City of Madison. The concept of a “green business” incubator and free incubator space could be included.

Are we hiring someone to do a study?  Is the staff doing an informal study?  How will this be determined?  How would free space be maintained?  Again, what is the work plan in this item?

__________ Job Creation – Physical Development Connection 

On a more formalized level, consider the strategic connection between physical development projects within the City of Madison and their ability to provide space for quality job creation.

 ??  What does that mean?  What action items? How would it be formalized?

__________ Neighborhood (including downtown) reinvestment 

Continued investment in older housing stock and older neighborhood commercial areas (including downtown).

Again, what does this mean?  More TIF dollars?  Does this mean tear downs or fix ups?  Does this mean new housing programs to entice middle class home owners to fix up housing downtown?  How is this an economic development item?  (Note:  I think it could be, I’d just like to hear it explained.  I mean, housing as economic development is not really something we have been talking about.)

I appreciate the questions the alders tried to ask at the meeting.  With Cooley answering the questions, however, there wasn’t much hope of getting a straight answer that wasn’t thrown back on their laps. 

Recommendations 4 – 6 tomorrow . . . plus what’s missing and some comments about the introductory remarks from the presentations.

For information about the presentation by staff and questions the council asked, see here.
For recommendations 4 – 6, see here.

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