Agenda Item Wording:
title
Membership Agreement - Receive update report from the Tulare County Economic Development Corporation and authorize continued membership for Fiscal Year (FY) 24/25 in the amount of $60,000.
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Deadline for Action: 6/17/2024
Submitting Department: Community Development
Contact Name and Phone Number:
Devon Jones, Economic Development Manager, devon.jones@visalia.city <mailto:devon.jones@visalia.city>, (559) 713-4190
Department Recommendation:
Receive update report from the Tulare County Economic Development Corporation (TCEDC) and continue membership for FY 24/25 in the amount of $60,000.
Background Discussion:
The Tulare County Economic Development Corporation (TCEDC) is providing the attached report and presentation for FY 2023/24. TCEDC will review specific activity highlights from the current FY but, generally speaking, staff continues to see value in the TCEDC’s efforts in generating and responding to site location prospect inquiries. Prospect inquiries are mostly industrial in nature, though TCEDC’s real estate database (<https://tularecountyedc.giswebtechguru.com/>) markets commercial properties of various types and their broker and site selector network may also represent other types of projects such as retail.
Staff works closely with TCEDC staff on prospect activity and ongoing marketing of the city. Both Airica de Oliveira and Shawna Bryant are readily available to city staff for any applicable needs and have proven to be very responsive and hard working on the city’s behalf in generating and responding to site location prospects. The attached preliminary workplan is the interim workplan until the TCEDC Board can formally adopt the plan after the new Board Chair and officer slate take over. Mayor Poochigian is transitioning out this year as the chairperson of the TCEDC Board, with Tulare County Supervisor Amy Shuklian taking over the role next fiscal year. Staff has no reason to expect any major changes in the workplan for the coming fiscal year.
In terms of the budget deficit, TCEDC is demonstrating success in closing the gap towards a sustainable balanced budget. While they are still operating in a deficit, through budget cuts and increased membership revenue they are making progress. Staff recommends that they pursue more mission supporting grant opportunities similar to what they received from the Bank of the Sierra. Such grants provide potential banking partners the opportunity to support economic development in Tulare County without adding new service demands of TCEDC staff. Additionally, staff recommends that they pursue more private sector membership support from the real estate industry given the organization’s role in marketing real estate site opportunities to various industries and for various uses, particularly given the new real estate database format and functionality.
Currently, all Tulare County jurisdictions are members of the TCEDC. TCEDC membership for FY 24/25 would be the same amount as this year, $60,000. The amount had been $50,000 for several years, but in August last year, the City Council approved increasing membership to $60,000 for various reasons including the TCEDC’s transition to GIS Webtech as their vendor for their enhanced real estate database and a CPI increase/inflationary adjustment. This amount is currently budgeted in the Economic Development division budget.
Fiscal Impact:
$60,000 from Economic Development budget, which has been budgeted.
Prior Council Action:
• April 17, 2023 - The City Council approved FY 23/24 membership
• August 7, 2023 - The City Council approved increasing FY 23/24 membership amount to $60,000
Other: N/A
Alternatives: Per Council direction
Recommended Motion (and Alternative Motions if expected):
recommendation
I move to receive update report from the TCEDC and authorize staff to continue membership for FY 24/25 in the amount of $60,000.
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Environmental Assessment Status: N/A
CEQA Review: N/A
Attachments: TCEDC presentation