ITEM 2 Economic Development Strategic PlanningMEMORANDUM
TO: Mayor and City Council
FROM: Lori Johnson, City Administrator
DATE: March 4, 2014
SUBJECT: Economic Development Strategic Planning
ITEM 2
Following the Council's direction to proceed with economic development strategic planning in
2014, 1 have requested proposals for a facilitator experienced in economic development
strategic planning. I have received two proposals representing two different spectrums of
strategic planning. Before I proceed, I would like further direction from the Council on what
your expectations and goals are for the strategic planning sessions. In addition to gathering
input from you, I will present and review the two proposals I received at the meeting.
Total cost for this is coming out to be $1000.00 which includes county industry data and my time. What do you
think?
Time Frame
- Two / three 2 -hr sessions discussing the following:
Agenda:
- Education
o Cover goals of Economic Development at the local town level
o Discuss tools small cities can use to encourage Economic development
o Discuss how to measure accomplishments in economic development
-- Facilitation
o Determine what are the economic development priorities of Otsego
o Review of city & county data that will help us decide on our priorities
o Moving forward on development al priorities
Thank You
Adeel Ahmed
Associate Extension Professor / Extension Educator
University of Minnesota Extension - Center for Community Vitality
St. Cloud Regional Office
Website: bM2://www.extension.umn.edu/Communit
Phone: 320-203-6109
Economic Development Services, Inc.
February 26, 2014
Lori Johnson, City Administrator
City of Otsego
13400 - 90th Street NE
Otsego, MN 55330
RE: Economic Development Strategy
Dear Lori:
Thank you for the opportunity to submit this proposal to the City of Otsego. Economic development
strategic planning processes identify emerging development issues and opportunities, align community
resources to achieve long term goals and are important to the vitality and economic health of
communities.
Economic development strategic planning is a core component of the consulting practice I established
in 1994; I've prepared more than thirty-five economic development strategies for communities in six
states. These plans are grounded in research, reflect realistic community aspirations, and provide a
practical roadmap for communities. They reflect an understanding of all aspects of economic
development practice including infrastructure and site development, financing, strategic marketing
and business attraction, business retention and expansion, and tax base development.
It would be a pleasure to work with you and the leadership in Otsego to develop an economic
development strategy that builds on the community's many strengths.
Sincerely,
(--,-I
nna King, C , CEDFP
President
jking@econdevelop. corn 612 925.2013
3109 l?je.. .)i)th :iLCE?£?t 4120-4, MN 55,41
Project Description
Economic Development Services, Inc. will support the City in preparing an economic development strategy;
the process will include the following.
A situation analysis will serve as the foundation for the strategic plan. The analysis will include a
review of development sites and economic, demographic, business information. An on-line survey
will be provided to the City for distribution to local bankers, targeted businesses and other
stakeholders. Economic Development Services will contact external development resources such
as DEED, GREATER MSP, utilities, metro area brokers/site selectors to gather their perceptions
about Otsego's strengths, weaknesses and opportunities for development. A summary of the
situation analysis will be presented at the first facilitated session ensuring that all participants -
well -seasoned or newcomer - can participate effectively in the facilitated sessions.
Two facilitated sessions will be held, each will be approximately 2.5-3 hours in length, depending
upon the number of participants. The first will include a review of the situation analysis, facilitated
discussions and identification of priority issues. The second session will occur approximately one
month after the first session and include a presentation on how other communities have
successfully addressed 1-2 priority issues identified in the first session. Participants in the second
session will recommend Otsego's economic development goals and priorities for a 2-3 year period.
An important outcome of this process is the shared knowledge and vision that develops during the
planning process. This common understanding enables the community to work together effectively over
time to achieve short-term and long-term goals.
Project Schedule and Deliverables
The schedule to complete the project is approximately 3 - 4 months as detailed below.
■ Month 1- research and prepare presentation
■ Month 2 - first facilitated session; research and prepare presentation for second facilitated session
■ Month 3 - second facilitated session; prepare draft strategy
■ Month 4 - present strategy
Deliverables will include a PowerPoint summary of the situation analysis, and an economic development
strategy that clearly defines priorities, goals, action steps and a timeline.
Fees and Expenses
The cost for the scope of services described above is $10,200 plus expenses. Expenses (mileage, copies,
essential meals and other direct expenses) are estimated to be $600. This includes meetings as follows.
■ Project start-up with city leadership and tour of the city and key development areas
A
■ Two facilitated sessions with approximately 15 - 20 participants each
■ Final presentation
If Economic Development Services is selected, we will refine the scope of work and price to best meet the
city's needs prior to entering into a contract. The City of Otsego will be responsible for providing existing
plans, reports, information on available property and existing infrastructure, providing a tour of key
development sites, distribution an electronic survey, and providing meeting facilities and hospitality -related
expenses.
Related Project Experience - Economic Development Strategic Planning Projects
■ City of Becker
■ City of Belle Plaine
■ City of Cottage Grove
■ City of Jordan
■ City of Monticello
■ City of Red Wing
■ City of Sartell
■ City of West Saint Paul
■ Alexandria Area Economic Development Commission
■ APEX (Duluth and Northeastern MN)
■ Brainerd Lakes Area Development Corporation, Brainerd
■ Owatonna Partners for Progress
■ Carver County and Carver County Community Development Agency
■ Dakota County Community Development Agency
■ Harrison County, Indiana
■ Sherburne County (SCEDA)
■ Cambridge Development Alliance (1999 and 2003)
■ Green Bay Area Chamber of Commerce, Minnesota
■ Monett Missouri Chamber of Commerce
■ St. Cloud Area Economic Development Partnership (2004, 2005)
■ Arizona Strategic Partnership for Economic Development
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Personnel Assigned to Otsego Economic Development Strategy
Janna King — CEcD, EDFP
The strategic planning process will be led by Janna King, CEcD, EDFP who has been active in economic
development in Minnesota and Texas since 1979. She is recognized
nationally for her economic development strategic planning expertise and is
recognized regionally for establishing successful economic development
programs in St. Cloud and Little Falls, Minnesota, and Midland, Texas. Janna
founded a consulting practice, Economic Development Services, Inc. in 1994
and has worked with clients in ten states, with a concentration in Minnesota
and Wisconsin. Clients include cities, counties, non-profit economic
development organizations, chambers of commerce, utilities, regions and
state-wide organizations.
Janna brings the insights gained through front-line leadership of successful economic development
organizations to her consulting assignments. In the early 1980s Janna established and led a county -wide
non-profit economic development effort in Morrison County, Minnesota. Faced with the loss of over 30%
of the manufacturing base and interest rates hovering between 15-20%, Janna established an enterprise
zone and built a revolving loan fund with over $1 million in assets. Results included two management
buyouts retaining 300 + jobs; two industry attractions creating 400+ jobs; assistance to seven smaller
operations, creating in excess of 150 jobs. One project resulted in a 14% decline in welfare participation.
Janna served as the first president of the St. Cloud Area Economic Development Partnership, implementing
an extensive business retention/expansion visitation program that resulted in expansion support for
numerous manufacturers. She led an initiative that created a workforce training program for an industry
cluster in the community; and crafted another workforce initiative involving the technical college and
university that attracted a major employer to a long vacant 262,000 square foot facility. Janna also served
as president of the St. Cloud Downtown Development Corporation during a period of significant growth and
change in the downtown area.
In 1990, Janna was recruited to lead the 1,600 -member Midland Texas Chamber of Commerce and the
Forward Midland economic development initiative. Engaging volunteers and a 22 -member staff in the
development of a strategic plan was key to focusing the efforts of the Chamber and enabling the
organization to implement a number of initiatives. These included an award-winning economic
development marketing program that attracted three companies from California; award-winning
tourism/convention marketing strategies; a transportation corridor partnership resulting in the
construction of a new highway and border crossing; a school -to -work partnership; a "buy local" campaign,
and several initiatives in response to changes affecting the petroleum industry.
Janna served as the founding president of a statewide SBA 504 company in Austin, TX and on the board of
directors of the Economic Development Association of Minnesota. She currently serves as treasurer of the
MN Economic Development Foundation and on the Partner Advisory Council for GREATER MSP.
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Janna has earned both the Certified Economic Development Financing Professional credential (EDFP,
National Development Council) and the rigorous Certified Economic Developer designation (CEcD,
International Economic Development Council), which reflects mastery of all critical aspects of economic
development practice. She has served as an instructor for the International Economic Development
Council Economic Development Strategic Planning Course since 2007.
References
Alexandria Area Economic Development Commission Strategic Plan 2013-2015
Jason Murray, Executive Director
Alexandria Area Economic Development Commission
610 Fillmore St, Suite 1
Alexandria, MN 56308
(320) 763-4545
imurrav@rea-alp.com
Economic Development Strategy and Action Plan
John Sullivan, Economic Development Director
Carver County Community Development Agency
705 Walnut Street
Chaska, MN 55318
952 448-7715
iohns@carvercda.org
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