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AGENDA - Economic Development Advisory Committee - 20161208Economic Development Advisory Committee Meeting Agenda Thursday, December 8, 2016 7 p.m. Leksand Room Aurora Town Hall Public Release December 1, 2016 Town of Aurora Economic Development Advisory Committee Meeting Agenda Date: Thursday, December 8, 2016 Time and Location: 7 p.m., Leksand Room, Aurora Town Hall 1.Declaration of Pecuniary Interest and General Nature Thereof 2.Approval of the Agenda Recommended: That the agenda as circulated by Legislative Services be approved. 3.Receipt of the Minutes Economic Development Advisory Committee Meeting Minutes of October 13, 2016 Recommended: That the Economic Development Advisory Committee meeting minutes of October 13, 2016, be received for information. 4.Delegations (a)Brent Kopperson, Executive Director, Windfall Ecology Centre Re: ClimateWise Business Network – Windfall Presentation Economic Development Advisory Committee Meeting Agenda Thursday, December 8, 2016 Page 2 of 2 5.Matters for Consideration 6.Informational Items 1.Memorandum from Manager of Long Range and Strategic Planning Re: Activity Report Recommended: 1.That the memorandum regarding Activity Report be received for information. 2.Extract from Council Meeting of November 22, 2016 Re: General Committee Report No. CAO16-006 – Economic Development Model Review and Comparison Recommended: 1.That the Extract from Council Meeting of November 22, 2016, regarding General Committee Report No. CAO16-006 – Economic Development Model Review and Comparison, and report be received for information. 3.Extract from Council Meeting of November 8, 2016 Re: Economic Development Advisory Committee Meeting Minutes of October 13, 2016 Recommended: 1.That the Extract from Council Meeting of November 8, 2016, regarding the Economic Development Advisory Committee meeting minutes of October 13, 2016, be received for information. 7.New Business 8.Adjournment Town of Aurora Economic Development Advisory Committee Meeting Minutes Date: Thursday, October 13, 2016 Time and Location: 7 p.m., Leksand Room, Aurora Town Hall Committee Members: Councillor Paul Pirri (Chair), Councillor John Abel (Vice Chair) (departed 7:15 p.m.), Rosalyn Gonsalves, Marilee Harris, and Javed Khan, and Bruce Walkinshaw Member(s) Absent: Don Constable Other Attendees: Councillor Tom Mrakas, Councillor Michael Thompson, Doug Nadorozny, Chief Administrative Officer, Anthony Ierullo, Manager of Long Range and Strategic Planning, and Samantha Yew, Council/Committee Secretary The Chair called the meeting to order at 7 p.m. 1. Declarations of Pecuniary Interest There were no declarations of pecuniary interest under the Municipal Conflict of Interest Act. 2. Approval of the Agenda Moved by Bruce Walkinshaw Seconded by Marilee Harris That the agenda as circulated by Legislative Services be approved. Carried Economic Development Advisory Committee Meeting Agenda Thursday, December 8, 2016 Minutes Page 1 of 4 Economic Development Advisory Committee Meeting Minutes Thursday, October 13, 2016 Page 2 of 4 3. Receipt of the Minutes Economic Development Advisory Committee Meeting Minutes of June 9, 2016 Moved by Rosalyn Gonsalves Seconded by Bruce Walkinshaw That the Economic Development Advisory Committee meeting minutes of June 9, 2016, be received for information. Carried 4. Delegations (a) Marco Ramunno, Director of Planning and Building Services Re: Library Square and Town Park Update Mr. Ramunno provided an update on Library Square and Town Park, including the conceptual plans, public survey results, and next steps. The Committee spoke in support of the conceptual plans, and inquired about the location and proposed uses for various features and buildings, survey results, timelines and budget, and the public consultation process in relation to the Aurora Chamber of Commerce. Moved by Marilee Harris Seconded by Rosalyn Gonsalves That the delegation be received for information. Carried 5. Matters for Consideration None 6. Informational Items Economic Development Advisory Committee Meeting Agenda Thursday, December 8, 2016 Minutes Page 2 of 4 Economic Development Advisory Committee Meeting Minutes Thursday, October 13, 2016 Page 3 of 4 1. Memorandum from Manager of Long Range and Strategic Planning Re: Economic Development Action Plan – Mid-Term Update Discussion Staff provided background to the memorandum, and noted the Action Plan will shape what the remainder of the term will look like in terms of strategy. The Committee expressed support for the current framework, and discussed aspects of the plan including music and culture initiatives in the Action Plan, the Business Ambassadors Program, and business retention and expansion. Moved by Marilee Harris Seconded by Bruce Walkinshaw 1. That the memorandum regarding Economic Development Action Plan – Mid-Term Update Discussion be received; and 2. That the Economic Development Advisory Committee continue to endorse the Economic Development Action Plan for the remainder of the term. Carried as amended 7. New Business Javed Khan advised that the Aurora Chamber of Commerce will be hosting the inaugural Tech Expo from 2 p.m. to 8 p.m. on Thursday, October 20, 2016, at King’s Riding Golf Club in King City. He noted that the event is for small business owners and entrepreneurs in the Town and York Region to assist with finding solutions to technological challenges. Mr. Khan mentioned that the Tech Expo will host over twenty expert exhibitors and that attendees can attend at no cost if pre- registered, or pay a $10 admission fee at the door. New Business Motion No. 1 Moved by Marilee Harris Seconded by Bruce Walkinshaw That the Economic Development Advisory Committee endorse the Library Square/Town Park Conceptual Plans, as presented. Carried Economic Development Advisory Committee Meeting Agenda Thursday, December 8, 2016 Minutes Page 3 of 4 Economic Development Advisory Committee Meeting Minutes Thursday, October 13, 2016 Page 4 of 4 It was noted that the Aurora Chamber of Commerce representative did not vote on New Business Motion No. 1, as he was not prepared as the representative to provide comment at this time. Marilee Harris inquired about what actions the Town may undertake to capitalize, from an economic development perspective, on Magna International Inc.’s decision to remain as a viable member of the business community. Staff indicated that information will be provided when available. 8.Adjournment Moved by Marilee Harris Seconded by Javed Khan That the meeting be adjourned at 7:48 p.m. Carried Committee recommendations are not binding on the Town unless adopted by Council at a later meeting. Economic Development Advisory Committee Meeting Agenda Thursday, December 8, 2016 Minutes Page 4 of 4 Economic Development Advisory Committee Meeting Agenda Thursday, December 8, 2016 Delegation (a) Page 1 of 1 Memorandum Date: December 8, 2016 To: Economic Development Advisory Committee Members From: Anthony Ierullo, Manager of Long Range and Strategic Planning Re: Activity Report Recommendations 1. That the memorandum regarding Activity Report be received for information. Background Inquiries The Economic Development Office received 18 investor inquiries between September 1, 2016 and December 1, 2016. The nature of these inquiries was related to:  Commercial uses  Hotel uses  Retail uses  Office uses  Industrial uses Business Openings The Town of Aurora’s Economic Development Office was advised of 22 new business openings between September 1, 2016 and November 15, 2016. Please join me in welcoming the following businesses to Aurora: o ARTISTICA BALLROOM DANCE STUDIO 305 INDUSTRIAL PKWY S, UNIT 17 (905) 503-3309 o ANNIE NAILS SPA 28 ORCHARD HEIGHTS BLVD, UNIT 2 (905) 503-8889 100 John West Way Box 1000 Aurora, Ontario L4G 6J1 Phone: 905-727-3123 ext. 4742 Email: AIerullo@aurora.ca www.aurora.ca Town of Aurora Planning & Development Services Economic Development Advisory Committee Meeting Agenda Thursday, December 8, 2016 Item 1 Page 1 of 4 December 8, 2016 -2- Activity Report o PASTICCERIA SAN NICOLA 265 EDWARD ST, UNITS 3-4 (905) 503-5524 o PIZZA HUT CANADA 233 EARL STEWART DR, UNIT 9 (289) 466-0114 o GLOWIN' NAILS & SPA 233 EARL STEWART DR, UNIT C-7 (905) 503-8008 o SHEAR JOY SALON & SPA 15207 YONGE ST (289) 840-3100 o THE WELLNESS GROUP 15620 BAYVIEW AVE (905) 503-9191 o MR. CABINETS INC 95 COUSINS DR (905) 235-5855 o GALAXY HARBOUR FISH & CHIPS 83 FIRST COMMERCE DR, UNIT 4 (905) 503-8111 o GORDANA CAR INTERIOR DESIGN 242 EARL STEWART DR, UNIT 2 (905) 503 4642 o ENERTHERAPY PSYCHOTHERAPY & COUNSELLING 244 WELLINGTON ST E, UNIT 200 (905) 713-1209 o LA VI NAILS & SALON 302 WELLINGTON ST E, UNIT 6 (905) 503-6080 Economic Development Advisory Committee Meeting Agenda Thursday, December 8, 2016 Item 1 Page 2 of 4 December 8, 2016 -3- Activity Report o PLACIDITY WELLNESS CENTRE 38 WELLINGTON ST E, UNIT 3A (647) 352-8225 o CBT ASSOCIATES 2 ORCHARD HEIGHTS BLVD, UNIT 41 (289) 317-1769 o ACTINIUM ENGINEERING 16 INDUSTRIAL PKWY S, UNIT 401 (289) 468-1221 o XCLUSIVE FADES 15233 YONGE ST (905) 503-6200 o TLA GRAPHICS 158 DON HILLOCK DR, UNIT 11 (905) 726-2600 o SOUL IN MOTION DANCE ARTS ACADEMY INC. 125 DON HILLOCK DR, UNIT 2 (905) 503-6180 o BOLD STEPS DANCE STUDIO 255 INDUSTRIAL PKWY S, UNIT 4 (647) 822-2653 o CACHET REHABILITATION 115 FIRST COMMERCE DR, UNIT C6 (905) 503-2061 o MIDAS AURORA 14846 YONGE ST (905) 726-1441 o BISTROTEA CANADA 16 INDUSTRIAL PKWY S, UNIT 317 (905) 604-6655 Economic Development Advisory Committee Meeting Agenda Thursday, December 8, 2016 Item 1 Page 3 of 4 December 8, 2016 -4- Activity Report Upcoming Events • RNC Aurora, LinkedIn & Social Media for Beginners, December 15, 2016 • RNC Aurora, Assertive Communication Strategies, December 19, 2016 • Aurora’s Borealis begins, Aurora Town Park, December 20, 2016 • RNC Aurora, Career Exploration for Youth, December 20, 2016 • Family First Night, Aurora Family Leisure Complex, December 31, 2016 • YRSBEC – How To Start a Small Business – Newmarket, January 4, 2017 • Reminder: Aurora Town Hall closed December 24, 2016 – January 1, 2017 Attachments None Economic Development Advisory Committee Meeting Agenda Thursday, December 8, 2016 Item 1 Page 4 of 4 7.Adoption of Items Not Requiring Separate Discussion Items 1 (with the exception of sub-items 2, 4, and 5) and 2 were identified as items not requiring separate discussion. Moved by Councillor Gaertner Seconded by Councillor Mrakas That the following recommendations with respect to the matters listed as “Items Not Requiring Separate Discussion” be adopted as submitted to Council and staff be authorized to take all necessary action required to give effect to same: 1.General Committee Meeting Report of November 15, 2016 That the General Committee meeting report of November 15, 2016, be received and the following recommendations carried by the Committee be approved: (3)CAO16-006 – Economic Development Model Review and Comparison 1.That Report No. CAO16-006 be received; and 2.That the Hybrid Model for Economic Development be endorsed; and 3.That staff be directed to bring forward an implementation plan for 2017. Carried Extract from Council Meeting of Tuesday, November 22, 2016 Attachment 1: Report No. CAO16-006 - Economic Development Model Review and Comparison Town of Aurora General Committee Report No. CAO16-006 Subject: Economic Development Model Review and Comparison Prepared by: Anthony Ierullo, Manager of Long Range and Strategic Planning Department: Office of the Chief Administrative Officer Date: November 15, 2016 Recommendation 1.That Report No. CAO 16-006 be received; and, 2.That the Hybrid Model for Economic Development be endorsed; and 3.That staff be directed to bring forward an implementation plan for 2017. Executive Summary •On September 27, 2016, Council approved a motion directing staff to prepare an evaluation of the prominent economic development models currently in use in Ontario. •Staff completed the analysis and identified three prominent economic development models in Ontario: the Municipal model, the Non-profit Development Corporation model and the Hybrid model. •Staff is recommending that the Town implement a Hybrid model to deliver economic development services in Aurora. The hybrid model is typically considered an extension of the municipal model with the addition of a board/committee. •If directed by Council, staff will bring forward an option for consideration as part of the 2017 Budget and prepare for implementation of the recommended model in 2017. Background On September 27, 2016, Council approved the following Motion directing staff to prepare an evaluation of the prominent economic development models currently in use in Ontario: Attachment 1 November 15, 2016 Page 2 of 7 Report No. CAO16-006 Whereas Municipal Economic Development is an activity which can be undertaken under a variety of models; and Whereas the Town of Aurora has currently adopted a Community Advisory Committee approach; and Whereas it is important that the Town of Aurora ensures adherence to best practices; Now Therefore Be It Hereby Resolved That the Chief Administrative Officer investigate and report back to Council with regard to the best model to deliver Economic Development Services for the Town of Aurora moving forward; and Be It Further Resolved That a survey be sent to Council, the Economic Development Advisory Committee, and relevant staff to gauge the effectiveness and areas of improvement for the current economic development model; and Be It Further Resolved That this report be brought back in time to be considered for the 2017 budget. The following analysis has been prepared in response to the above Council approved motion. As directed by Council, staff completed a survey of staff, Council and the Economic Development Advisory Committee. Generally, survey participants felt that the current economic development model can be improved and additional focus, accountability and resources are required in economic development. The results of the survey are attached and have been considered as part of the following analysis. Analysis Three Prominent Economic Development Models in use in Ontario Economic development services are provided through a variety of methods in Ontario. The majority of communities currently rely on staff within a municipality to deliver economic development services, while several larger municipalities have formed economic development corporations operating at arms-length with oversight from an independent board. These models are commonly referred to as the Municipal Model and Non-profit Economic Development Corporation model. A limited number of November 15, 2016 Page 3 of 7 Report No. CAO16-006 municipalities have adopted a Hybrid model that is supported by a committee or board. All models have merits for providing opportunity for successful economic development services delivery dependent on the community needs and level of cooperation with partner jurisdictions. The various models are further described below: The Municipal Model Where economic initiatives are primarily development focused, municipalities typically employ a Municipal model providing services “in house” to ensure strong connections between the associated planning, public works, engineering and other municipal departments. These services are often structurally associated to encourage cooperation and enhanced customer service for economic development clients. This model is common in municipalities with aging infrastructure and traditional industries that are looking to make the shift to a more knowledge based or diversified economy. Economic development portfolios usually include a variety of priorities including business retention & expansion, brownfield redevelopment, industrial land development and small business support. This model can also include the appointment of an advisory committee to provide advice to Council on economic development considerations. This model is most commonly used in Ontario, York Region and Aurora. In York Region, the regional municipality offers support with economic research, investment attraction and small business support. The Non-Profit Development Corporation Model The Non-profit Economic Development Corporation model can focus on a number of functions including the marketing and promotion of the municipality but the mandate can also include a wider range of economic development functions. It is often supported by various levels of government and usually works in conjunction with the municipality it serves. In Ontario, this model usually operates as a corporation without share capital. A key component is the successful engagement of the private sector (as board members and financial contributors) with a focus on investment attraction, marketing, promotion and community investment. Non-profit Economic Development Corporations operate at arms-length and are not subject to the same limitations under the Municipal Act, 2001 related to bonusing and land acquisition. Moreover, non-profit economic development corporations are often eligible for funding and partnership opportunities that are not available to municipalities. Primary funding is usually provided by the municipality with the potential for supplementary private sector investment. November 15, 2016 Page 4 of 7 Report No. CAO16-006 Recent research suggests that this model is most effective in suburban growth type municipalities and relies heavily on a dedicated municipal staff with a mandate to deal with non-residential development as a priority. The Hybrid Model The Hybrid model is typically an extension of the municipal model with the addition of a board or committee. A less common application of this model is the appointment of a non-profit development corporation that is supported through the municipal model. In this instance, the corporation could hold a potential funding, advisory, investment and redevelopment mandate in addition to the more typical strategy mandate associated with the standard Advisory Committee mandate. The corporation is often less autonomous and requires municipal approval to fund programs and initiatives. The hybrid model can be effective for a mid-sized municipality that would like to take advantage of the potential mandate of a Non-profit Economic Development Corporation, while maintaining the connections between associated municipal functions and avoiding the additional cost of establishing a stand-alone administration. These corporations often have no assets or funding directly from the corporation, but are supported by municipal staff. Recommended Economic Development Model There are a number of economic development models that can be employed to drive economic development priorities. Aurora is a lower tier mid-sized community that would typically employ a municipal model to deliver economic development services. This is primarily due to the cost of administering a traditional Non-profit Development Corporation (NPDC), the active role of Regional government in leading investment attraction activities in York region and the Town’s position as an established community that is approaching buildout. However, there are a number of opportunities that are unique to Non-profit Development Corporations that align with the planned economic development focus in Aurora. Non-profit development corporations have the ability to provide incentives to business to promote economic development. There are several hundred acres of privately owned employment land that are coming to market in the coming years. The Town may benefit from having the ability to offer business incentives in select instances as a potential differentiator for large scale investment Aurora. In addition, Non-Profit Development Corporations have the ability to acquire, manage, redevelop and sell real estate to advance economic development opportunities. This may be beneficial in the Town leading downtown revitalization activities and actively promoting employment November 15, 2016 Page 5 of 7 Report No. CAO16-006 development. Corporations also often have access to unique funding and public private partnership opportunities that may not always be available to a municipality due to potential Municipal Act, 2001 restrictions. Based on the above rationale, it is recommended that the Town pursue a Hybrid Model to deliver economic development services. Under this proposed model, economic development services would be delivered through an expanded Office of Economic Development within the Planning and Building Services Department with close alignment with the Office of the CAO. This expanded function would be supported by a non-profit development corporation governed by an economic development committee or board that would provide strategy and investment recommendations to Council in specific areas of the economic development mandate. The committee or board would “recommend” to Council any investments in proposed projects. Attachment 2 provides a more detailed description of the proposed economic development proposal. Economic Development Services Economic development service providers, whether internal or external corporations, provide a diverse range and numerous combinations of different functions or services that may include the following: • Site Selection • Economic Research • Information on Incentives • Small Business Support/Business Advisory Services • Property Sales & Management • Development/Redevelopment Services • Employment Land Revitalization • Downtown Revitalization • Marketing & Communications • Events and Promotional Activities • Investment Attraction • Liaison and Advocacy with various levels of Government • Information and Customer Service • Tourism Development • Strategic Planning Assistance • Physician Recruitment • Business Retention and Expansion • Cultural Event support and Promotion November 15, 2016 Page 6 of 7 Report No. CAO16-006 Next Steps If Council supports the attached economic development proposal, the next steps towards a targeted Q1 roll out would be: 1. Present Plan to Council (November 2016) 2. Establish required funding as part of the 2017 Budget 3. Provide a full Implementation Plan to Council (December 2016) 4. Begin development of Economic Development Board (January 2017) 5. Establish Economic Development Board (Q1 2017) Advisory Committee Review None Financial Implications It is proposed that the resources required to facilitate the proposed economic development model are funded through the re-alignment or reallocation of existing or planned budgets. Communications Considerations None Link to Strategic Plan The report supports the Strategic Plan goal of Enabling a Creative, Diverse and Resilient Economy through its accomplishment in satisfying requirements in the following key objective within this goal statement: Promoting economic opportunities that facilitate the growth of Aurora as a desirable place to do business. November 15, 2016 Page 7 of 7 Report No. CAO16-006 Alternative(s) to the Recommendation 1. Direct staff to pursue an alternative economic development model. Conclusions On September 27, 2016, Council approved a motion directing staff to prepare an evaluation of the prominent economic development models currently in use in Ontario. Staff completed an analysis of available models and is recommending that the Town implement a Hybrid Model to deliver economic development services. The Hybrid model is typically an extension of the Municipal model with the addition of a board or committee. If directed by Council, staff will bring forward a proposal for consideration as part of the 2017 Budget and prepare for implementation in 2017. Attachments Attachment 1 — Economic Development Model — Survey Results Attachment 2 — Economic Development Proposal Previous Reports 1►no TI F Pre -submission Review Legal Services and members of the Executive Leadership Team have reviewed. Departmental Approval/Approved for Agenda Doug Nadorozny Chief Administrative Officer Economic Development Model Survey Results – November 2016 Q1: Do you believe that the current Economic Development model in Aurora (the Municipal model) is effective at advancing economic development priorities? Q2: If yes, why do you believe that the current economic development model in Aurora (the Municipal model) is effective at advancing economic development priorities? 1.No response 2.Because there is direct staff accountability 3.The Municipal model is appropriate for a Town the size of Aurora and is well aligned with the magnitude of growth anticipated within the current Strategic Plan. Q3: If no, why do you not believe that the current economic development model in Aurora (the Municipal model) is effective at advancing economic development priorities? 1.No response 2.Appears to be difficult to attract new business/hotels 3.Lack of focus/strategic direction 4.Personality conflicts 5.No clear mandate for current committee 6.Because there is currently very little priority on economic development – no full time economic development staff with direct report to CAO 7.I just don’t see a strong focus on how the model is attracting, nurturing and retaining business Q4: Conceptually, rank your preferred economic development model, as described above, for advancing economic development priorities in Aurora? Results inconclusive due to small sample size combined with a number of skipped responses and the number of responses that indicated no preference at this time. Q5: Are there specific considerations based on your experiences with the Economic Development Advisory Committee or otherwise that you feel the Town should consider when determining the most appropriate economic development model to deliver services in Aurora? 1.Careful (interview based) selection of committee/board members 2.Municipal model provides direct accountability. Town needs dedicated economic development staff with direct report to Council to achieve results. Other 2 models dilute accountability. 3.An individual who is solely responsible for economic development and is responsible directly to the CAO 4.If Council wishes to see more aggressive results within the economic development portfolio of the Town, they should give serious consideration to increasing the staffing hours allocated to economic development and expertise required to be successful at driving a more accelerated pace of growth. 5.Not sure – would like to be presented with the various models. 0 1 2 3 4 5 6 7 8 Yes No Number of Responses Attachment 1 Economic Development Proposal i Economic Development Proposal Attachment 2 Economic Development Proposal ii Contents 1. Introduction/Background ..................................................................................... 1 2. Strategic Role of Economic Development .......................................................... 2 3. New Economic Development Mandate .............................................................. 3 Expansion of Business Retention and Expansion Program ......................... 3 Relaunch and Expansion of Business Concierge Program .......................... 3 Responsible for Property Sales and Acquisitions ......................................... 4 Responsible for the Development of a scoped Tourism Program ................ 4 Expand Economic Development Marketing Activities .................................. 4 Develop and pursue economic development priority projects ...................... 4 4. Creation of Office of Economic Development to Support Mandate ................... 6 5. Re-launch of Economic Development Committee to Support Mandate ............. 8 6. Budget/Funding Considerations ......................................................................... 9 Capital Funding for Economic Development ................................................ 9 Operating Funds for Economic Development ............................................... 9 7. Next Steps… .................................................................................................... 10 Appendix A…. ....................................................................................................... 11 Economic Development Proposal 1 1. Introduction/Background Economic development refers to the sustained, concerted actions of policymakers and communities to improve the standard of living and economic health of an area. At the core of economic development is the creation of quality employment opportunities that enrich the lives of people. An enhanced quality of life for our residents includes opportunities for employment, recreation, retail and housing. The Town currently has a limited service economic development function that delivers core economic development services. The Town does not have any staff position dedicated to economic development, although several staff have been involved in economic development activities over the years. In total, less than one full time equivalent is currently dedicated to economic development. Based on research around economic development models, this level of investment in economic development appears to be atypical for a community the size of Aurora with significant economic development opportunities. Generally, the volume and quality of work generated by staff working on economic development projects represents good value for Council. However, there appears to be a mismatch between the perceived strategic role of economic development within the corporation and the operational focus on the function. There are also loosely defined tourism and cultural development ideas that can benefit from enhanced profile. The proposed Office of Economic Development is structured to provide a right sized solution that delivers services that leverage strategic opportunities and objectives. It will provide a more proactive approach to advancing economic development priorities. Economic Development Proposal 2 2. Strategic Role of Economic Development The Town is clearly committed to advancing economic development as a key priority. This commitment is highlighted in the Town’s Strategic Plan, which dedicates one of three Pillars of the Strategic Plan to the “Economy”. This strategic policy focus highlights economic development as an integral priority for Council and in the community. The Town of Aurora’s Strategic Plan outlines a series of goals, objectives and actions that help guide municipal decisions over the next two decades. This action plan is guided by the economic goals, objectives and actions outlined in the Strategic Plan (available at www.aurorastrategicplan.com). In addition to the strategic role of economic development defined in the Strategic Plan, Council has also approved a number of related economic development strategies. This includes the Business Retention and Expansion Strategy and related Action Plan, Tourism Strategy, Cultural Master Plan and Economic Development Action Plan. The intent of the proposed Office of Economic Development is to re-align resources to better reflect the strategic role of economic development. Economic Development Proposal 3 3. New Economic Development Mandate There is an opportunity to review service levels in economic development to better align with Council’s strategic priorities. This will require an expanded mandate and scope for economic development that strategically positions the function corporately. The expanded mandate will focus on the expansion of services in strategic areas that offer the greatest return for Council. The newly proposed mandate is as follows: Expansion of Business Retention and Expansion Program In late 2012, the Town of Aurora undertook over 150 business visits as part of the Business Retention & Expansion (BR&E) program. The goal of this program was to identify opportunities and actions to assist local businesses. This program resulted in a number of successes in quickly and efficiently addressing both opportunities and challenges highlighted by local businesses. Statistically, a significant proportion of new job creation is generated through existing business growth and networks. Moreover, maintaining an active and healthy relationship with local business is at the core of economic development. Based on best practices and the recent success of Business Retention and Expansion efforts locally, it is recommend that the Town expand and formalize a business visitation program, building on the previous work done in BR&E, with the following targets: • Target 500 business visitations each year (visit every business at least once every three years). • Meet with 10 largest employers semi-annually • Identity and address red flag issues raised in a business visitation within 30 days of the visitation • Regularly update and implement an action plan that addresses longer term issues raised by local business where appropriate Relaunch and Expansion of Business Concierge Program The Business Concierge Program is a unique program that streamlines and prioritizes development applications for larger non-residential investors. The program has had success in its limited application, but is currently resourced to take a handful of applications annually. It is proposed that the program be significantly expanded and relaunched as a strategic priority that coordinates all non-residential development applications across the corporation. This will be processed through the following structural changes: Economic Development Proposal 4 1. All non- residential planning applications will be fully processed through the proposed Economic Development Office through the reassignment of internal resources within Planning and Building Services. 2. Non- residential minor variances, building permits and tree permits will be overseen by economic development as part of a scaled business concierge program that matches service levels with the complexity of the application. 3. All non-residential permits and applications will be tracked and expedited by the new Office of Economic Development. 4. Managing Cash in lieu of Parkland requirement for all non-residential applications will be transferred from Legal services to the new Office of Economic Development. Responsible for Property Sales and Acquisitions The Office of Economic Development will be responsible for managing property sales and acquisitions corporately. This includes managing all property purchases and sales, expropriations and land/building leases. This may include the (re)development of Town owned lands for economic development purposes. Responsible for Community Development to Enhance Tourism Opportunities While Aurora lacks significant tourism infrastructure (i.e. hotel, convention venue, major destination), the opportunity exists to enhance community assets and activities that could ultimately assist in a longer term tourism focus. For example, the numerous existing and planned activities around sport and culture could be supported by economic development with the goal of enhancing the attendance of visitors to the community. Expand Economic Development Marketing Activities There is an opportunity to partner with other levels of government to expand the focus on economic development marketing to support strategic programs. This includes developing economic development marketing material, managing applicable web content and promoting downtown revitalization. Specific projects include Community Improvement Plan (CIP) marketing, updating and managing BusinessAurora.ca, promoting the hotel strategy if needed, preparing and designing an economic development newsletter, engaging business on social media, promoting the medical campus etc. Develop and pursue economic development priority projects Economic Development Proposal 5 There are a number of economic development priorities developed by Council through its Strategic Plan and endorsed by the Economic Development Advisory Committee through the Economic Development Action Plan. It is expected that the Office of Economic Development will continue to lead strategic economic development projects as directed by Council and the CAO. The following strategic priorities are currently ongoing: a. Post-Secondary Institution b. Business Incubator c. Entertainment District d. Medical Campus e. Hotel and Convention Centre f. Broadband g. Downtown Revitalization h. Community Improvement Plans Economic Development Proposal 6 4. Creation of Office of Economic Development to Support Mandate In order to support the expanded economic development mandate, a new Office of Economic Development is proposed. This group will represent economic development as a strategic priority for Council with authority to prioritize and advance key economic development initiatives. The Office will have prominence within the organization to reflect its strategic role. In order to facilitate this transition: • Roles and responsibilities will be redefined to create added focus on economic development. • Titles will be restructured to provide added emphasis on economic development • Economic development objectives will be highlighted at both ELT and Council • Economic Development will have a direct reporting relationship to the CAO In addition to the above, the following staffing changes will be employed to ensure that there are sufficient resources allocated to achieve the expanded mandate: • Re-evaluation and re-definition of the Manager of Long Range and Strategic Planning role to a position that includes a strategic focus on economic development in addition to other complementary functions including planning, strategic planning and property sales and acquisitions. This process began with the re-organization of the environmental initiatives portfolio into Infrastructure and Environmental Services to create additional capacity for economic development at this level. • Dedicating .5 FTE from the Senior Policy Planner role to assist with the enhanced Business Concierge Program • Dedicating .5 FTE from the Program Manager, Economic Planning to assist with the enhanced Business Concierge Program • The creation of a new economic development position to manage expanded Business Retention and Expansion program as well as other economic development functions. Economic Development Proposal 7 • Partner with Corporate Communications to lead the development of economic development marketing materials, manage web design/content and promote downtown revitalization initiatives. Examples of projects that could benefit from added marketing resources include CIP marketing, review/update of businessaurora.ca, promotion of hotel strategy (if needed), development of a regular economic development newsletter, engaging business through social media, promotion of a medical campus. Economic Development Proposal 8 5. Restructuring of Community Participation in Economic Development to Support Mandate In order to support the expanded economic development mandate, it is recommended that Council consider a restructuring of the Economic Development Advisory Committee. The Committee should have a defined structure through the creation of a Community Development Corporation. Membership should include targeted influential business leaders for specific sectors that play a significant role in the community. This new corporation would have a Council endorsed mandate to advance downtown revitalization objectives through the recommendation of funds for festivals, events and other activities that promote economic development. This supports the clear link between economic development and culture as highlighted in the Town’s Cultural Master Plan. This may also include the ability to recommend investment in strategic economic development initiatives and projects including Community Improvement Plan programs. Council may also want to eventually consider added accountability for managing potential public/private partnerships including property assets such as the former Aurora Hydro Building, Aurora Armory, potential Aurora Promenade land holdings/expropriations and Broadband/Small Cell agreements. A preliminary terms of reference (Appendix A) has been developed to articulate the potential role and function of this new board. Economic Development Proposal 9 6. Budget/Funding Considerations An expanded economic development mandate will require additional resources to implement. It is proposed that these resources be realized through the re- alignment or reallocation of existing or planned funding. These costs and the associated recommended funding approach are described below: Capital Funding for Economic Development It is recommended that Council redirect existing approved CIP funding (approx. $600,000) to a more general Economic Development Reserve Fund that could be used to fund economic development projects. Despite efforts to actively promote the program, there has been limited interest in the CIP program to date. The proposed new fund could continue to support the funding of CIP applications through the Aurora Promenade CIP, but also offer funding for other potential economic development projects as approved by Council. Council currently funds $200,000 per year through the capital budget to support the implementation of the CIP. It is recommended that Council continue to dedicate these CIP funds to economic development programs with an annual contribution of $100,000 to the Economic Development Reserve Fund. The remaining funds could be allocated to the operating budget to implement the related operational changes in economic development including the additional staff position. Operating Funds for Economic Development The proposal calls for the realignment of existing staff to support the expanded mandate. However, additional operating resources will be required to implement the program. These costs are primarily related to required additional staff resources and are estimated at $100,000. As mentioned above, it is proposed that $100,000 from previously committed capital funding be transferred to the operating budget to offset these costs. The proposed funding model realigns and redirects existing Council approved funding to implement the proposed Office of Economic Development at no additional cost to the community. Economic Development Proposal 10 7. Next Steps 1. Present Plan to Council (November 2016) 2. Establish required funding as part of the 2017 Budget 3. Provide a full Implementation Plan to Council (December 2016) 4. Begin development of Economic Development Board (January 2017) 5. Establish Economic Development Board (Q1 2017) Economic Development Proposal 11 Appendix A Aurora Community Development Corporation Draft Preliminary Terms of Reference The Aurora Community Development Corporation (ACDC) is a non-share, not-for-profit, corporation, incorporated under the Business Corporations Act and Municipal Act, 2001 and is the economic development arm of the Town of Aurora. On behalf of the Council of the Town of Aurora, the Aurora Community Development Corporation provides strategic leadership and coordination of community economic development. The ACDC works with partners (provincial and federal governments, community agencies, educational institutions and local businesses) to strengthen and diversify existing business, attract new business and investment, and coordinate strategic economic development initiatives within the community. The goal of the Board of Directors is to strengthen economic development and quality of life within Aurora by: • supporting the expansion of current businesses; • advising on Downtown Revitalization Activities; • attracting, brokering and facilitating new business development; and, • encouraging continued economic diversification. This is accomplished by the Board: • assisting in the expansion of current businesses and the development of new businesses; • making recommendations to Council on funding and grants to advance downtown revitalization objectives and strategic economic development initiatives and projects; • promoting public/private partnerships opportunities that advance economic development interests; • recommending programs to Council that actively promote Aurora as a centre for advanced manufacturing, information technology and telecommunications, environmental technology, medical and related technologies, finance, insurance, real estate and leasing; and, Economic Development Proposal 12 • recommending programs that actively promoting Aurora as York Region’s centre for education and training, business services, health services and government services. The Economic Development staff at the Town of Aurora serve as support to the Board of Directors at the Aurora Community Development Corporation. Board Composition The Board of Directors is composed of up to 8 private citizens that serve three-year terms and represent the various economic and geographic sectors of our community. Private members should be primarily influential business leaders that play a significant role in the community. Membership should include representation from large and small businesses, public and private sectors, private/public education, non-profit and accommodation/tourism providers. Previous membership on a governance board is an asset. In addition to the private members, the Board will include two Town Councillors and the Mayor of the Town of Aurora. A more detailed skills matrix will be developed and approved by Council prior to the establishment of the Board. Economic Development Strategy The ACDC provides a critical advisory role in promoting economic growth and diversification in the Town of Aurora. Economic development goals should seek to build on local strengths, mitigate inherent weaknesses, convey the desired outcomes of the strategic planning process and speak directly to the aspirations of the community. The ACDC is responsible for working with community stakeholders to develop and maintain an Economic Development Strategy to guide economic development activities and investment over the short, medium and long term. This Strategy will be updated and approved by Council every 5 years. Operational Activities In addition to the preparation of an Economic Development Strategy, the ACDC Board of Directors will also be responsible for reviewing the Economic Development Operational Plan that will be presented to the Board and approved by Council on an annual basis. Page 1 of 1 7. Adoption of Items Not Requiring Separate Discussion Items 1 (with the exception of sub-items 2, 3, and 8), 2, 3, and 5 were identified as items not requiring separate discussion. Moved by Councillor Pirri Seconded by Councillor Kim That the following recommendations with respect to the matters listed as “Items Not Requiring Separate Discussion” be adopted as submitted to Council and staff be authorized to take all necessary action required to give effect to same: 1. General Committee Meeting Report of November 1, 2016 That the General Committee meeting report of November 1, 2016, be received and the following recommendations carried by the Committee be approved: (11) Economic Development Advisory Committee Meeting Minutes of October 13, 2016 1. That the Economic Development Advisory Committee meeting minutes of October 13, 2016, be received for information. Carried Extract from Council Meeting of Tuesday, November 8, 2016 Economic Development Advisory Committee Meeting Agenda Thursday, December 8, 2016 Item 3 Page 1 of 1