STRATEGIC PRIORITY: Economic and Neighborhood Vitality
AGENDA DATE: May 26, 2021
COUNCIL DISTRICT(S): All
DEPARTMENT: Office of Economic Development
EXECUTIVE: Dr. Eric A. Johnson
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SUBJECT
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Authorize (1) adoption of City of Dallas Economic Development Policy 2022-2032, attached as Exhibit A; (2) adoption of the recommendations for formation of a new economic development entity contained in Briefing Paper on Establishing a New Economic Development Entity - City of Dallas attached as Exhibit B; and (3) creation of an advisory task force to guide the implementation of items (1) and (2) above - Financing: No cost consideration to the City
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BACKGROUND
On June 13, 2018, City Council authorized a resolution to engage Angelou Economic Advisors, Inc. to develop a comprehensive Economic Development Strategic Plan by Resolution No. 18-0838. The consultant team spent months meeting with stakeholders, conducting a market assessment, analyzing target industries, and developing an action plan. The final Economic Development Strategic Plan calls for the city to focus on four overarching goals: (1) create a new economic development organization, (2) make Dallas a world-class entrepreneurial city, (3) widen the talent pipeline, and (4) focus on inclusive and equitable economic development.
TIP Strategies was engaged by the Office of Economic Development to facilitate a review of the draft plan and to work with specific stakeholder groups to identify priorities that would inform next steps for implementation. This review included gathering input on the draft plan from Dallas City councilmembers, a community review panel, and a policy advisory committee through interviews, listening sessions, and an online survey. Feedback from that review indicated high interest and support for the first goal of the Strategic Plan, creation of a new economic development organization.
The Office of Economic Development further engaged TIP Strategies to assist with the first two implementation steps of the Strategic Plan: drafting a new economic development policy focused on inclusive and equitable economic development and developing recommendations regarding the creation of a new economic development entity. Specifically, TIP Strategies was charged with benchmarking other regional, state, and national peers to identify potential models that could work in Dallas, and to focus on legal structure, governance, functions, funding, and staffing.
The first two implementation steps of the strategic plan are presented for consideration today: development of an economic development policy focused on inclusive and equitable economic development and recommendations for the creation of a new economic development entity.
The document City of Dallas Economic Development Policy 2022-22032 is presented for adoption today as the city’s economic development policy, with an effective date of May 1, 2022. The recommendations contained in the TIP Strategies document entitled Briefing Paper on Establishing a New Economic Development Entity - City of Dallas are also presented for adoption. The recommendations call for formation of a local government corporation as a nonprofit 501(c)(3). The corporation would have a twofold scope of work, focusing both on business development and targeted land development. The corporation would support but not replace the Office of Economic Development. The City Council would have control and oversight of the corporation through approval of its formation documents, approval of board member appointments, providing guidance on priorities, and authorizing any city incentives. The recommendations call for a board made up of 11 to 15 members representing diverse sectors and areas of expertise, with appointments approved by the City Council after nomination by the City Manager. If City Council endorses these recommendations staff will begin working with the City Attorney’s Office to draft formation documents and a contract between the city and this new entity. Those documents will require separate City Council approval later this year.
To guide the development of the economic development entity formation documents and the implementation of the economic development policy, staff recommends creation of an 11-member Economic Development Advisory Task Force. The members will be appointment by the City Manager, and should represent business, entrepreneurship, workforce, education, cultural arts, real estate, or other relevant stakeholder groups. To the greatest extent possible, the City Manager should ensure that the Task Force membership represents the demographic and geographic diversity of the City of Dallas. The Task Force will remain in place for 18 months from the date of this resolution.
PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS)
On June 13, 2018, City Council authorized a resolution to engage Angelou Economic Advisors, Inc. to develop a comprehensive Economic Development Strategic Plan by Resolution No. 08-0838.
The Economic Development Committee was briefed on the Economic Development Strategic Plan on December 2, 2019to the.
The Economic Development Committee was briefed on next steps related to the Economic Development Strategic Plan on January 6, 2020.
The Economic Development Committee was presented a review and next steps for the Economic Development Strategic Plan by TIP Strategies on October 5, 2020.
The Economic Development Committee was updated on the implementation of the Economic Development Strategic Plan on December 7, 2020.
The Economic Development Committee was briefed on the economic development policy and recommendations related to the creation of an economic development entity on April 5, 2021.
City Council was briefed on the economic development policy and recommendations related to the creation of an economic development entity on May 19, 2021. The briefing was followed by a public hearing.
City Council was briefed by memorandum regarding this matter on May 21, 2021. <https://dallascityhall.com/government/citymanager/Documents/FY%2020-21%20Memos/Updates-to-the-Proposed-Economic-Development-Policy_Memo_052121.pdf>
FISCAL INFORMATION
No cost consideration to the City.