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HomeMy WebLinkAbout27. 20-489 DECEMBER 8, 2020 20-489 RESOLUTION (CARRIED 6-0 LOST LAID OVER WITHDRAWN ) PURPOSE: APPROVE AGREEMENT WITH GREATER OSHKOSH ECONOMIC DEVELOPMENT CORPORATION FOR ECONOMIC DEVELOPMENT SERVICES ($105,000.00) INITIATED BY: DEPARTMENT OF COMMUNITY DEVELOPMENT BE IT RESOLVED by the Common Council of the City of Oshkosh that the attached Agreement with Greater Oshkosh Economic Development Corporation (GO- EDC) to provide economic development technical assistance to further the overall goals of economic development in the greater Oshkosh area by facilitating job growth and investment through interagency cooperation and services is hereby approved and the proper City officials are hereby authorized to execute and deliver said Agreement in substantially the same form as attached hereto, any changes in the execution copy being deemed approved by their respective signatures, and said City officials are authorized and directed to take those steps necessary to implement the terms and conditions of the Agreement. Oshkosh TO: Honorable Mayor and Members of the Common Council FROM: Kelly Nieforth Economic Development Services Manager DATE: December 2, 2020 RE: Approve Agreement with Greater Oshkosh Economic Development Corporation for Economic Development Services ($105,000.00) BACKGROUND The City's 2012 Strategic Plan identified the Economic Development goals of determining the optimal economic development structure and centralizes economic development. In 2012, the City's consultant, Prager & Associates, recommended a public -private partnership that would serve the economic development needs for the organizational structure and create a one -stop shop for economic development. In 2013, David Ward led a planning effort that authored a basic framework for a community - wide economic development mission including goals, objectives, and performance measures. As a result of these planning efforts, a wide range of private and public organizations have developed and created the Greater Oshkosh Economic Development Corporation (Greater Oshkosh EDC), a public -private partnership, in 2014. The Greater Oshkosh EDC creation in 2014 was designed to serve as the optimal economic development structure, as a one -stop shop, and has incorporated the community -wide economic development goals and objectives into their By -Laws and Strategic Plan. ANALYSIS Greater Oshkosh EDC results speak for themselves. Successful completion of major projects like the Oshkosh Corporation Global Headquarters project, creation of alternative financing resources for businesses and entrepreneurs in Oshkosh, and many other job creating activities means that Greater Oshkosh EDC has achieved the goals for the organization originally envisioned in 2012 and 2013. Greater Oshkosh EDC has adopted By-laws, an updated Strategic Plan, and a budget. Greater Oshkosh EDC has also created multiple committees to coordinate fundraising, marketing, board development, and the Revolving Loan Fund that they administer on the City's behalf. Greater Oshkosh EDC has also received the commitment and resources from private, not -for - City Hall, 215 Church Avenue P.O. Box 1130 Oshkosh, WI 54903-1130 920.236.5000 http://w .ci.oshkosh.wi.us profit, and additional public organizations in order to accomplish the goals the City had set out for economic development. The proposed contract also incorporates activities to help achieve the Economic Development goals and objectives in the City's 2021-2022 Strategic Plan and Key Performance Indicators. FISCAL IMPACT The proposed City investment totals $179,353 and is a combination of City funds and Winnebago County Industrial Development Board (IDB) funds. The City funds budgeted in the 2021 Operations Budget for Greater Oshkosh EDC is $105,000. The proposed Greater Oshkosh EDC agreement will direct the County's $1.1165/capita funding of $74,353 to Greater Oshkosh EDC. The additional $105,000 in City funding of will come from City funds. The City's 2021 budget includes this funding. The Term for the Agreement would be for three years. The City's investment in 2022 and 2023 would be reflected in future budget years. RECOMMENDATION The City Council approves the Agreement with Greater Oshkosh Economic Development Corporation for Economic Development Services for $105,000. Submitted, Kelly Nieforth Economic Development Services Manager Approved: Mark A. Rohloff City Manager City Hall. 215 Church Avenue P.O. Box 1130 Oshkosh, WI 54903-1130 920.236.5000 http://w .ci.oshkosh.wi.us AGREEMENT This agreement is between the City of Oshkosh, hereinafter the "City" and the Greater Oshkosh Economic Development Corporation, hereinafter the "Greater Oshkosh EDC". In accordance with this agreement, Greater Oshkosh EDC agrees to provide economic development technical assistance to the City, to coordinate this assistance with designated City staff and Common Council, and to implement the activities set forth herein. 1101024140 The purpose of the agreement is to further the overall goals of economic development in the greater Oshkosh area by enhancing growth and investment through interagency cooperation and services provided by Greater Oshkosh EDC. AGREEMENT Greater Oshkosh EDC agrees to provide direct economic development technical assistance to the City in accordance with the adopted Greater Oshkosh EDC Strategic Plan and the City of Oshkosh Strategic Plan. Greater Oshkosh EDC will act as the City's economic development advocate. Greater Oshkosh EDC, along with City staff members, will make available its best efforts to promote economic development including the recruitment, retention, and expansion of business within the City and greater Oshkosh area. While the Greater Oshkosh Economic Development Corporation is not responsible for the completion and execution of the City of Oshkosh Strategic Plan, Greater Oshkosh EDC agrees to be held accountable for completion of goals and services, as agreed upon between the City and Greater Oshkosh EDC, consisting of the following initiatives, in order of priority: Existing Business Development Conduct an on -going business retention and expansion (BR&E) that will include a comprehensive interview with prominent industries within the City of Oshkosh and greater Oshkosh area. Greater Oshkosh EDC will contact the City relative to any significant concerns. The efforts will be done in coordination with the Account Management strategies in place within the City of Oshkosh. a. Greater Oshkosh EDC will perform twelve (12) comprehensive BR&E visits annually and may request the City's participation in the visits. b. Greater Oshkosh EDC and the City of Oshkosh will together contact 150 business accounts annually. The City of Oshkosh commits to reaching out to 50 business accounts: Greater Oshkosh EDC 100 business contacts. c. Greater Oshkosh EDC will, to the extent possible, annually engage current tenants in the industrial and business parks in the City of Oshkosh to help grow, expand, and retain existing businesses. This may be completed by holding an annual meeting with all the tenants, a BR&E visit, or through an Account Management contact. Assist existing businesses upon direct contact or referral from the Common Council and/or staff and report findings and resolution to the respective party. Greater Oshkosh EDC will provide information on existing local, state, and federal economic development assistance programs that provide funding to local businesses. These programs include low -interest loans, tax credit programs and workforce development assistance. Greater Oshkosh EDC staff will also provide referrals to other organizations that can meet the needs of the business. Business Finance 3 Through business retention and recruitment activities, Greater Oshkosh EDC will provide existing and potential businesses with information and assistance relative to available state, federal and local business development financing programs. This activity includes providing business loans to businesses, as appropriate, utilizing appropriate Greater Oshkosh EDC staff to develop loan applications. 4 Greater Oshkosh EDC will administer the City -funded Revolving Loan Fund (RLF) in accordance with the approved program manual. Greater Oshkosh EDC will also seek creative ways to expand financing programs for all -sized businesses, including additional RLF's and riskcapital. 5 Greater Oshkosh EDC will administer the WEDC-funded and City -funded match Capital Catalyst Fund in accordance with the approved program manual. Greater Oshkosh EDC will seek to promote the program to entrepreneurs and early stage businesses. 6 Greater Oshkosh EDC will administer any other funding programs as needed and mutually agreed upon including the COVID 19 Emergency Response Loan Fund. Workforce Development 7. Greater Oshkosh EDC will work closely with labor market analysts and other informational resources to understand the dynamics and needs of area employers as well as the required skills of the local workforce. 8. Greater Oshkosh EDC will identify barriers preventing citizens from working (including transportation issues, lack of affordable housing, and daycare options) and work with the City and local partners to identify solutions. 9. Greater Oshkosh EDC will engage local, regional, and statewide partners to ensure a technically educated, diverse and skilled workforce to support the businesses in the greater Oshkosh area. • Greater Oshkosh EDC will meet with education partners to learn about programs, service, and partnership opportunities and ensure collaboration at all levels of education within the greater Oshkosh area. • Greater Oshkosh EDC will encourage and support business/education partnerships and apprenticeships. • Greater Oshkosh EDC will identify and participate in committees and boards that strive to address area workforce development needs. • As part of discussions with area businesses, Greater Oshkosh EDC will ask for information about future skill sets and other workforce needs. • Greater Oshkosh EDC will engage local and national union leadership to understand and address workforce needs. • Greater Oshkosh EDC will collaborate with state and other organizations to track workforce trends, including diversity. • Greater Oshkosh EDC will identify opportunities to support diverse, youth, disabled, and veteran initiatives. E Business Attraction 10, Greater Oshkosh EDC will help through the development of customized proposals to businesses interested in establishing a location within the City of Oshkosh upon direct contact or referral from the Common Council or City staff, or other reliable sources. This activity will be reported upon, in aggregate, as part of this agreement's semi-annual reports. 11. Greater Oshkosh EDC will maintain and increase relationship -based outreach strategies to site location consultants and realtors. 12. Greater Oshkosh EDC will pursue a targeted industry approach to strengthen competitiveness of core industries in the greater Oshkosh area. Activities include: • Identify and evaluate market opportunities and requirements in the local and regional supply chains for identified industry clusters including aviation, information technology (IT), advanced manufacturing, and businesses that would benefit from being located near the City's transload terminal. • Collaborate with industry experts, including educational partners, to form or enhance targeted industry roundtables, councils, or other initiatives. • Identify opportunities to collaborate on targeted industry efforts with appropriate partners including, but not limited to, the Wisconsin Economic Development Corporation (WEDC), the New North, and Northeast Wisconsin Regional Economic Partnership (NDWRDP), and build upon previous targeted industry studies. Marketing Activities 13. Greater Oshkosh EDC will develop targeted communications tools to reach stakeholders to garner on going support for economic development efforts in the greater Oshkosh area. Additionally, Greater Oshkosh EDC will develop and implement a marketing plan by the end of Quarter 2 in 2021 that utilizes media and public relations relationships designed to increase the awareness of Greater Oshkosh DDC's comprehensive services and to reflect a positive image of doing business in the greater Oshkosh area. 14. Greater Oshkosh EDC will pursue opportunities to inform and educate area service providers (i.e. accountants, attorneys, lenders) about the client services provided by Greater Oshkosh EDC to encourage client referrals. 15, Greater Oshkosh EDC will work with the City in the redevelopment and distressed area revitalization efforts located in the City of Oshkosh, including but not limited to, the Sawdust District, Interstate 41 corridors into the City, and the Central City Investment Strategy (Imagine Oshkosh). Support Activities 16, Greater Oshkosh EDC will offer two (2) educational events per year for elected officials, business owners, or citizens in the greater Oshkosh area. 17. Greater Oshkosh EDC will complete a benchmark analysis of similar communities and include the findings in the annual report to the Oshkosh Common Council. 18. Greater Oshkosh EDC will establish a scorecard relevant to identified metrics. This will be focused on quantifiable and measurable outcomes as well as provide results -oriented data to investors, such as the City of Oshkosh. This information will be included in the annual report to the Oshkosh Common Council. 3 19. Greater Oshkosh EDC will implement systems and tools to conduct an economic impact analysis for all investment -related decisions. This information will be included in the annual report to the Oshkosh Common Council. 20, Greater Oshkosh EDC will maintain an inventory of available sites and buildings in the City of Oshkosh and greater Oshkosh area and make that information available via the Greater Oshkosh EDC website. Additionally, Greater Oshkosh EDC provide this information to interested parties as well as develop marketing materials for targeted sites. 21. Greater Oshkosh EDC will bring important economic development issues to the Common Council, City staff, and the Greater Oshkosh EDC Board of Directors for consideration (as warranted.) KEY PERFORMANCE INDICATORS Greater Oshkosh EDC and the City mutually agree upon the key performance indicators below. BR&E Annually, complete 12 BR&E visits to companies in the Cit of Oshkosh Account Management Annually, complete 100 Account Management contacts in greater Oshkosh, with the City committing to an additional 50 contacts 150 total Business and Industrial Park Tenants Business To the greatest extent possible, annually engage current Retention tenants in the industrial and business parks in the City of Oshkosh to help grow, expand, and retain existing businesses. A list of stakeholders and tenants will also be maintained. Workforce Program Annually, complete one task or create/maintain one program that enhances workforce development in the Cit of Oshkosh Marketing Plan I Complete marketing plan by the end of Q2 2021 Education Annually, coordinate two educational events for elected officials, citizens, or businesses in greater Oshkosh TERM This Agreement shall commence on January 1, 2021 and shall terminate on December 31, 2023. The Agreement shall then automatically renew for two additional one-year periods unless terminated by one of the parties by giving written notice to the other party no later than June 30th of the preceding year for the following one-year extension. COMPENSATION For this agreement, the City will contribute $105,000.00 to Greater Oshkosh in 2021. Additionally, the City will also contribute the Per Capita Economic Development Allocation from Winnebago County to Greater Oshkosh EDC for each year that this Agreement is in effect to support economic development and projects as outlined in this Agreement. The City shall, subject to Common Council appropriation, consider budget enhancements to Greater Oshkosh EDC in 2022 and 2023 for support of its programs. All additional requests for funding need to be submitted in writing by July 1st of the preceding year. 4 FUTURE ASSIGNMENT OF RESPONSIBILITY FOR MANAGEMENT AND ADMINISTRATION OF INDUSTRIAL BUSINESS PARK AND REDEVELOPMENT SITES At the City's discretion the City may assign marketing, sales, restrictive covenant enforcement, site plan review for restrictive covenant compliance and other management and administrative tasks related to the City's industrial parks, business parks and redevelopment sites to Greater Oshkosh EDC. If an assignment is made, the City and Greater Oshkosh EDC shall mutually determine a starting date for such assignment, goals, and expectations, as well as additional compensation for such functions, if necessary. INDEPENDENT CONTRACTOR Greater Oshkosh EDC shall be an independent contractor of the City. Neither Greater Oshkosh EDC nor any of its officers, employees, or agents shall be an employee of the City because of the obligations undertaken pursuant to this agreement. Greater Oshkosh EDC's officers, employees and agents shall make no commitments or representation on behalf of the City to third parties without prior approval of the City. Additionally, Greater Oshkosh EDC hereby holds harmless the City and its departments, officers, employees and agents from and against all claims, demands and liability for damages to third persons of any type whatever arising out of the actions of Greater Oshkosh EDC under this agreement. CONFIDENTIALITY Greater Oshkosh EDC Board members and staff will receive information on a regular basis which has been designated by Greater Oshkosh EDC or a third party as confidential. Greater Oshkosh EDC has determined it is vitally important to maintain confidentiality of information. Greater Oshkosh EDC requires all Board members and staff to agree to protect the confidential information that they have access to during their time with Greater Oshkosh EDC. Greater Oshkosh EDC is committed to open dialogue with City staff and Common Council. However, there may be those occasions where confidentiality requirements restrict the sharing of such confidential information. LIABILITY INSURANCE Greater Oshkosh EDC agrees to abide by the attached City of Oshkosh Insurance Requirements for Professional Services. NOTICES All communications or notices required or permitted by this Agreement shall be in writing and shall be deemed to have been given: (i) upon delivery to an officer or the person entitled to such notice, if hand delivered, or (ii) two business days following deposit in the United States Mail, postage prepaid, or with a nationally recognized overnight commercial carrier that will certify as to the date and time of delivery, air bill prepaid, or (iii) upon transmission if by facsimile, any such communication or notice shall be addressed as follows, unless and until any such party notifies the other in accordance with this section of any change of address: If to the City: City of Oshkosh City Attorneys Office 215 Church Avenue Post Office Box 1130 Oshkosh, WI, 54903-1130 Attn: City Attorney With a copy to: City of Oshkosh Community Development Director 215 Church Avenue Post Office Box 1130 Oshkosh, Wi, 54903-1130 If to Greater Oshkosh EDC: Greater Oshkosh Economic Development Corporation 100 N. Main, Suite 104 Oshkosh, WI 54901 Attn: Chairman of the Board C.1 ASSIGNMENT Greater Oshkosh EDC agrees that it will not assign this agreement or any portion thereof, or any of its responsibilities hereunder, to any other party without first obtaining the written permission of the City. IN WITNESS WHEREOF, the parties hereto have executed this agreement on the 8th day of December 2020 GREATER OSHKOSH ECONOMIC DEVELOPMENT CORPORATION Brad Baumann Chairman of the Board CITY OF OSHKOSH: an C Mark A. Kohloff CITY MANAGER Pamela R. Ubrig CITY CLERK FUNDING APPROPRIATION: 0 Russ VanGompel FINANCE DIRECTOR APPROVED AS TO FORM: Lynn Lorenson, CITY ATTORNEY 7