HomeMy WebLinkAbout3. Reorganization of City Economic Development Functions/Economic Development Position
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CITY OF SHAKOPEE
MEMORANDUM
CASELOG NO:
TO: Honorable Mayor and City Council
FROM: Mark McNeill, City Administrator
Michael Leek, Community Development Director
SUBJECT: Reorganization of City Economic Development
Functions/Economic Development Position
MEETING DATE: July 5, 2006
COMMENT:
Introduction
On June 6, the Council approved the proposed management reorganization, especially as
it relates to administrative functions. During the consideration of that proposal, the
Council had some discussion of whether the economic development position that will be
part of the Community Development Department should be half-time or full-time.
Discussion:
As Council.is aware, Paul Snook filled the role of Economic Development Coordinator in a
full-time capacity from the time of the creation of that job in 1997, to the time of his
departure in 2004. After that time, the position was reduced to half-time, and was integrated
into the Assistant to the City Administrator position. With the restructuring of the Assistant
job to include a half-time Human Resources function, the Economic Development duties
need to be assigned elsewhere. Our recommendation to Council was that it be integrated
into the Community Development Department, owing to the siniilarity of some of the
responsibilities.
To some extent, it appears to staff that the decision whether the economic development
position should be full- or part-time depends in part on what activities the Council wants the
person who fills that position to undertake. In reviewing information from other
Metropolitan Area cities, staff has identified at least the following potential activities for, this
position;
0 Developing, updating, and maintaining informational materials (available property,
demographic information, et. al.) for use by businesses in and interested in
Shakopee;
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6 Actively marketing to and recruiting new businesses;
0 Carrying out an active business retention and expansion (BRE) program;
0 Identifying, acquiring and developing propertyfor future industriallbusiness park
purposes;
0 Providing targeted marketing assistance to downtowns;
0 Providing professional and funding assistance for economic enhancement of
downtown and related areas.
0 Providing staffing to the economic development committee and/or authority in the.
community
Before deciding the nature of the position that is necessary, staff believes it is necessary for
Councilto decide which, if any, of these activities it wishes to have carried out. To carry
out all of these activities certainly would require at least the efforts of one full-time position.
Based on stafP s own experience doing economic development work in this and other
communities, carrying out some combination of these activities would also require the
efforts of a full-time position. On the other hand, if the City's onlyemphasis is to prepare,
update~ and maintain infonnational materials, it is possible that a half-time position could
suffice, since other staffresources exist to assist in that effort (e.g. preparation of mapping
and other related infonnation).
To carry-on with current activities, staff believes a minimum of a half-time person will be
needed to receive, research and respond to inquiries from current and prospective businesses
regarding economic development assistance; complete state-required reporting related to
economic development activities; serve as a liaison to the Shakopee Downtown Partnership
and the Shakopee Chamber of Commerce and provide staff support to the Economic
Development Authority and the Economic Development Advisory Committee.
. A final factor to consideris that it maybe difficult to attract candidates with the skills we are
seeking to a half-time position with no benefits.
Budget Impact:
While any new job description will probably need to be re-evaluated by the City's pay plan
consultant, our current pay plan lists the EDA Coordinator at Grade 8, which has a salary
range of$53,538 to $66, 867 for 2006. The EDA budget supported a full-time staff person
through the 2005 budget. For 2006, the wages and benefitline in the EDA budget was
reduced from $75,710 to $41,340 in response to the move to a half-time position. The 2007
EDA budget can be structured to accommodate a full-time position, if that is the Council's
direction. Additionally, as of December 31,2005, the EDA has a fund balance of $267, 842
which could also be utilized,
Relationship to Visioning:
..
This supports Goal D "Vibrant, Resilientand Stable", and Goal E, "Financially Strong".
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ACTION REQUESTED:
Provide staff with direction as to whether the economic development position within the
Community Development department shoUld be half-time or full-time. Based on Council
direction, staff will prepare a revised job description for Council approval at a.future
meeting.
~ /
R. Michael Leek
Community Development Director
!~~
Mark McNeill
City Administrator
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