Submitted By: Marie Mesadieu
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Presentation By: Aubrey Hale
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Department: Growth Management
STAFF RECOMMENDATION (Motion Ready):
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Approve the annual agreement for business creation, retention, and attraction services with the Ocala Metro Chamber & Economic Partnership in the amount of $190,000
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OCALA’S RELEVANT STRATEGIC GOALS:
Economic Hub
PROOF OF PUBLICATION:
N/A
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BACKGROUND: The Ocala Metro Chamber & Economic Partnership (CEP) requested $190,000 from the City's Fiscal Year 2024-25 budget to support business creation, retention, and attraction. The initial CEP request occurred in 2012 when the City agreed to a quarterly expenditure to promote and enhance its economic growth. There has been an agreement in each subsequent year. Before the creation of the CEP, agreements existed between the City and the Economic Development Council.
Starting in Fiscal Year 2019-20, the City Council recommended funding the CEP at $190,000 annually and requested that the City and CEP enter into a service agreement. Each year afterward, the City Council has included the requested $190,000 in the adopted budget. City staff and CEP representatives negotiate the requested agreement, including the following initiatives: NEXT working, which engages students with businesses in career development events, and IMPACT, which provides targeted assistance to entrepreneurs.
Staff recommends approval of the agreement to further establish Ocala as an economic hub. The proposed Fiscal Year 2024-25 Business Creation, Retention, and Attraction Services Agreement (Agreement) is attached for the Council's action.
FINDINGS AND CONCLUSIONS: The CEP is Ocala/Marion County's designated representative to Florida Commerce (formerly Enterprise Florida, Inc.), the official economic development organization for the State of Florida. The CEP also represents the community as a Florida Commerce Stakeholders’ Council member.
In Fiscal Year 2023-24, the City funded the CEP at $190,000. The agreement sets minimum requirements for the CEP to achieve and provides for termination by either party in case of default. The CEP consistently works to attract jobs and provide support to business and institutional partners locally and regionally. The CEP met the terms of the previous agreements and qualified for quarterly payments, totaling $190,000 for the term. A summary of the CEP’s performance during Fiscal Year 2023-24 is attached.
City staff and the CEP have revised the existing agreement to include minor changes to the operation of the Power Plant business incubator, emphasizing a minimum occupancy rate to be maintained throughout the year. The Agreement now captures the critical role of the CEP in convening the Financial Review Committee (FRC) and establishes a target for attracting prospective visits to the Ocala Airport Business Park. Additionally, Exhibit A is a more structured and concise reporting document that can be tracked easily by City staff.
If approved, the proposed Agreement will be effective as of October 1, 2024, and run for the duration of the agreement. Staff recommends approval of the Agreement.
FISCAL IMPACT: Funds are available in the Economic Investment Program account #674-099-999-559-81-34010.
PROCUREMENT REVIEW: This agreement will be reviewed for compliance with the City’s Procurement Policy.
LEGAL REVIEW: This agreement will be reviewed and approved for form and legality by the City Attorney, William E. Sexton.
ALTERNATIVE:
• Approve with changes.
• Instruct staff to negotiate an alternate agreement.
• Deny
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