HomeMy WebLinkAbout01/12/2019 04 Review Economic Development Plan (1):-471-1 • 1:41
BUSINESS OF THE CITY COUNCIL
YAKIMA, WASHINGTON
AGENDA STATEMENT
Item No. 4.
For Meeting of: January 12, 2019
ITEM TITLE: Review Economic Development Plan
SUBMITTED BY: Cliff Moore, City Manager
SUMMARY EXPLANATION:
Review followed by policy discussion/direction.
ITEM BUDGETED:
STRATEGIC PRIORITY:
APPROVED FOR f
SUBMITTAL: City Manager
STAFF RECOMMENDATION:
BOARD/COMMITTEE RECOMMENDATION:
ATTACHMENTS:
Description Upload Date Type
r e o D 4a cono ic lopment plan su ma
r e o D 4b cono ic lopment Ian
AN INTEGRATED BUSINESS APPROACH TO THE CITY
OFYAKIMA
DECEMBER 12, 2017
MACRO VIEW- 10,000 FEET INTHEAIR
■ CITY CREATED FOUR KEY DOCUMENTS
■ ECONOMIC DEVELOPMENT PLAN (2017-2020)
■ STRATEGIC PRIORITIES (2018)
■ BUSINESS PLAN (2015)
■ THESE DOCUMENT DESCRIBE MANY ACTIVITIES OR THE "WHAT"
STRATEGIC PRIORITIES- UMBRELLA DOCUMENT/FRAMEWORK
I . ECONOMIC DEVELOPMENT
2. PUBLIC SAFETY
3. BUILT ENVIRONMENT IMPROVEMENTS
4. ENHANCING PUBLIC TRUST AND ACCOUNTABILITY
5. DEVELOPING STRATEGIC PARTNERSHIPS
I - ECONOMIC DEVELOPMENT HAS THREE BUCKETS
■ BUCKET # 1 - INCREASING COMPETITIVENESS - HOW??
■ Expanding the Convention Center with YVVisitors and Convention Bureau— Spring 2018
■ Evaluating the creation of a Port Authority with Yakima County Development Association — Have tested/surveyed and will
watch Kittitas County
■ Facilitating educational alignment between workforce's attributes and employers' needs
■ Marketing commercial airline service/activities- Have used DOT funding + exploring partnership with CWU aviation
program + promotion of space
■ Facilitating information on Federal, State and local incentives for economic development
■ Site Facilitation: 1 . City owned properties for sale (Tiger) 2. Facilitating and promoting key sites (Mill, Speedway, others) and
3. Beautification of North 1 "
BUCKET #2- PROMOTING TRADED SECTOR ENTERPRISES (QUALITY
JOBS)
■ How?
■ Business and Kitchen Incubator currently evaluating sites to identify top candidates for incubator.
■ Airport Business Growth- 2018 will see expansion of JR Helicopter (8 acres)
■ Recruitment Cluster Industries- in 2018Yakima County Economic Development Association will reach out to Cubcrafter's
partners to determine fit in Yakima
BUCKET #3- ENHANCING PRIDE AND LIVABLEYAKIMA
■ How?
■ PromotingYakima through events — downtown, concerns, 5 de Mayo, etc.
■ EnhancingYakima's image — wine/craft/cider focus + Sundome + Convention Center + D^ A nto • n Plat + Fruit Row
Historical District
■ Promoting and creating strategic partnerships- Local (Community Integration Committee) + Regional + Statewide +
Interstate + Binational + INCREASING FEES (BUS. PLAN 5. STRATEGIC PARTNERSHIPS)
is 8 `'
Yakima Economic Development
Strategic Plan
A plan to spur and sustain the growth of Yakima's Economy over the long-term
YAKIMA,WA
2017 - 2020
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1. Plan Purpose
The purpose of the work covered in this plan is presented as a "due North"compass for success. The
plan defines priority economic development initiatives in the City of Yakima through 2020.
We aim to spur and sustain the growth of Yakima's economy over the long-term
by collectively working to grow quality jobs — those jobs that pay well, enabling
resident workers to buy homes and afford a quality lifestyle.
As a result of quality job growth and relevant training to upgrade skills — thus increasing access to
opportunities for all job seekers — unemployment will decline, contributing to decreased poverty rates,
while diversifying the local economy for stability through economic downturns and upturns. Business,
job and visitor growth all contribute to increasing the tax base. With increased tax base,Yakima will be
able to provide more services and investment in the community, thereby growing more jobs.
Starting
Increased with...
tax base Jobs &
training
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unemployment
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economy poverty
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Efforts to make Yakima's economy more robust will improve Yakima's image in the eyes of prospective
businesses and investors. Pride will increase among residents because the economy is growing and more
investment makes the community a higher quality place.
The purpose of this plan goes beyond economic outcomes. By working together on the creation of this
community-wide economic development strategy—and implementing together—we utilize limited
resources more effectively towards common purpose. We also accomplish more working side-by-side in
a coordinated effort. By working together "all boats float higher".The waterline rising is symbolic of
Yakima's economy at a higher level.
II. Planning Process
Recognizing that many organizations pursue economic development as a core mission, a broad group of
organizations led this planning process on the Steering Committee:
• City of Yakima —Councilmembers, City Manager, Economic Development Department Staff
• Greater Yakima Chamber of Commerce
• Hispanic Chamber of Commerce of Yakima
• Rural Community Development Resources
• Yakima County Development Association
• Yakima Valley Tourism
The planning process involved three phases, as detailed in the following graphic:
Phase I Phase II Phase III
Where are you Where do you How will you get o
now? want to be? there? o
Current:Situatton Strategtc:Pncxtttes Mctton::Plan o
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In addition to an actively engaged Steering Committee, three public workshops were held to gather
input for strategic initiatives. With the Steering Committee's agreement on twelve priority strategic
initiatives, Strategic Initiative Working Groups were initiated to layout specific work for each strategic in
initiative and define roles for implementation. Over 100 people were involved in providing input and
guidance for plan development. a
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III. Strategic Initiatives to Spur & Grow Yakima's Economy
The Steering Committee prioritized twelve Strategic Initiatives that group into three main categories:
YAKIMA'S BUSINESS'w&QUALITY CONIMUNITYy
COMPETITIVENESS EMPLOYMENT RIDE
GIVINTH
A..
— Sites for Business — Incubator — Centro de la Raza
Mill Site Airport Business Image Campaign
Redevelopment Growth
Public Authority Recruit Cluster
District — Industries
— Incentives
Educational
Alignment
— Air Service
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Convention
ti Center Expansion
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A. Yakima's Competitiveness
In order to successfully grow the economy over the long-term, important factors need to be improved to
ready Yakima for business and convention opportunities. At present Yakima is falling behind competitive
communities vying for similar economic development opportunities.
The Steering Committee prioritized seven vital initiatives to improve Yakima's business case-
compelling reasons why a business or convention would select Yakima for investment.
SITES FOR BUSINESS
Goal
A diverse portfolio of sites ready for business location that provide Yakima a competitive advantage
because infrastructure is in place, any contamination is addressed and owners are willing to sell/lease.
Why important?
Businesses need a place to locate.Yakima has finite land available within city boundaries. By identifying
and readying sites for business development, we will preserve land for economic opportunities, increase
the tax base and improve our image as a vibrant place for business with desirable curb appeal.
Tactics •• Sites for Business
® Inventory and prioritize potential sites
Evaluate urban growth area for future sites (i.e.Tier II)
Prioritize redevelopment sites/corridors
® Engage landowners and understand willingness to partner
® For each site, beginning with airport sites owned by the City
Determine gaps for each site's competitive readiness
Develop site-specific plans to upgrade conditions. Depending on site, this may be master o
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plan with infrastructure planningry
Pursue funding for infrastructure and other improvements (i.e. CERB, requests to state, etc.) r-
Link to available tools o
® Inventory available sites on the market
® Document site information: zoning, infrastructure, planned and funded infrastructure, incentive a
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zones, pricing, terms, etc. a)
Conduct meetings with property owners or representatives
Utilize city mapping resources
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® Determine best-fit target businesses and run hypothetical project pro forma a
® Post complete site and building information to online real estate databases on City and YCDA
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(www.ycda.com) websites o
® Develop a system for maintaining complete information on websites; verify and update at least E-
every 90 days oc
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® Pursue certified sites designation LL'
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Coro Worl €ng Group ... Sites for Business
Lead Yakima County Development Association & City of Yakima — Economic
Development Department
Team City of Yakima— Planning Department, Engineering Department, Airport
Landowners
Real estate brokerage community
Yakima County Development Association
Resources Washington State Department of Ecology
Washington State Department of Transportation
Metrics ••• Sites for Business
Process Metrics Outcome Metrics
✓ Inventory complete ✓ % of projects qualified for with available
✓ Online databases complete sites
✓ Defined best fit business targets for sites ✓ Capital investment on targeted sites
✓ Upgrade plans complete ✓ Number of jobs and wages associated
✓ Certified sites with business establishments on targeted
sites
✓ Economic impact to document return on
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investment of public investments to
sites/infrastructure
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MILL SITE REDEVELOPMENT
Goal
Support the redevelopment of the former Cascade Lumber Company mill site to accommodate quality
jobs and increase Yakima's tax base, as well as present a quality development at Yakima's highly-visible
northern "front door."
Why important)
The location of the mill site, at Yakima's northeast boundary, has potential to significantly improve the
first impression of the community. Yakima has finite land for job creation. However, with funding
secure to improve site access, there is risk that development at the site could only move existing
businesses from other parts of the community without net economic gain. A thoughtful and strategic
development plan is essential for long-term and sustained quality economic development. As such,
quality development would increase Yakima's image and grow the tax base.
Tactics .. Mai Site Redevelopment
® Understand existing zoning and covenants—what's possible for development at site
• Engage landowners for
Landownership scenarios
Marketing to master developer(initiate activities for marketing)
® Document infrastructure at site—what, where, condition—and create plan for infrastructure
improvements
® Environmental clean-up plan and associated costs for: former City landfill acreage; city under
roads; industrial mill site contamination (landowner)
Investigate funding resources—public and private sector, including grants
Implement clean-up plan
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• Develop City-led communications plan to inform City Council and general public to create o
advocates for mill site redevelopment who are armed with correct information and clear up any ,;
misconceptions
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Multi-channel communication
City Council study session
® Engage brownfield redevelopment expertise for project management (invite County
Commissioners and landowners to partner)
• Transportation access improvements
® Neighborhood outreach and engagement
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® Define desired site concept °
® Marketing strategy to recruit master developer
Frame development case including situation of site,Yakima assets, etc.—why developer
would want to invest °
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Target developer for business match w
Developer meetings and marketing at RECON
• Site visits and other recruitment activities with master developer prospects >
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® Master developer conducts:
Market feasibility for desired development concept
Financial feasibility for desired concept
Determine who will manage master plan and development
Marketing/business recruitment (partner with City and YCDA)
Site and engineering analysis
Construction
Core Working Croup - it+t£ff Site Re ev opment
Lead City of Yakima —City Manager
Team Central Washington Railroad/BNSF
City of Yakima— Planning Department, Engineering Department,
Economic Development Department, City Attorney
Landowners
Neighborhood residents and landowners
Rural Community Development Resources
Yakima County Development Association
Yakima Valley Tourism
Resources Real estate brokers and developers
o Washington State Department of Ecology
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oN Washington State Department of Transportation
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Yakima Valley Council of Governments
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• Metrics - 'RS ai n tt"ep Redev&opmenY
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• Process Metrics Outcome Metrics
y ✓ Landowner partnership ✓ Number of businesses located
ai• ✓ Communications plan developed ✓ Number of jobs and corresponding
a ✓ Communications plan launched earnings
✓ Active neighborhood involvement ✓ Private-sector capital investment
✓ Value of increase in tax base
✓ Economic impact of developments at site
V Economic impact to document return on
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investment of public investments
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PUBLIC AUTHORITY DISTRICT
Goal
Explore the potential of a public authority district as a tool to support economic development and
enhance Yakima's competitiveness to attract and retain businesses.
Why iimportant?
A public authority district can be an effective resource for supporting other prioritized Strategic
Initiatives of this plan, such as operation of an incubator and/or business development at the Mill Site,
and Airport. A variety of benefits can be structured with the mechanism of a public authority district,
such as property ownership and development, incentives, investment in infrastructure and funding of
dedicated staff for specific development projects.
Some public authority districts collect tax to accomplish their mission while others do not.The most
famous example of a tax collecting public authority district is the Port of Seattle which operates the
SEATAC airport, Maritime Ports, and associated industrial parks in Seattle. The most famous non-tax
collecting public authority development is the Pike Place Market Preservation and Development
Authority which runs the world-famous Pike Place Market in Seattle.
Examples of successful Public Authority Districts around the state that relate to the goals of the City of
Yakima's plan include the Wine Incubators at the Port of Walla Walla, the Twisp and Ellensburg
Development Authorities business incubators,The Port of Grandview's Certified Shovel Ready Sites and
success in recruiting the Wal-Mart Distribution Center, and the Grays Harbor Public Development
Authority that developed the Satsop Business Park from a vacated site into a 600-acre industrial and
technology center.
Tactics- Public Authority District
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® Invite Core Working Group to kick-off meeting to review tactics and document specific resources No
of district benefits
• Research the process to establish a public authority district o
Engage Washington Public Ports Association and Public Development Authorities from
across the state for guidance
® Investigate Washington State laws as to better understand what is possible and what is not —0
allowed with such districts to determine if such a district can accomplish local goals
• With all facts, conduct evaluation of pros and cons for establishment of public authority district y
• If it is determined that a Public Authority District will enable the City to achieve economic
growth that it would not be able to achieve any other way then, 0_
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Determine the boundaries, scope and specific mission of the Public Authority District
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Organize campaign around the benefits of the Public Authority District- how that translates o
into a better community for all residents
Conduct baseline research for support
Plan for campaign
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Investigate hiring a professional firm that has successfully helped with the creation of other
Public Authority Districts in Washington State
With community approval, establish public authority district
Core Working Group ... Public Authority District
Lead Business community (represented by YCDA, GYCC, HCC of Yakima)
Team City of Yakima—City Manager, City Attorney, Economic Development
Department, Airport
Greater Yakima Chamber of Commerce
Hispanic Chamber of Commerce of Yakima
Rural Community Development Resources
Yakima County Development Association
Yakima Valley Tourism
Resources Successful public development authorities
Successful port districts in Washington State
Washington Public Ports Association
Metrics - Public Authority District
Process Metrics Outcome Metrics
o ✓ History compiled ✓ Establishment of public authority district
N ✓ Complete understanding of what's ✓ Board members sworn in for service
possible, pros and cons weighted ✓ Economic impact of public authority
✓ Decision to pursue or not district efforts and programs
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INCENTIVES
Goal
Responsibly offer and promote a diverse portfolio of competitive incentives that influence business
investment in favor of a Yakima location.
Why important?
Incentives alone do not justify a business location decision. However, communities that provide
incentives demonstrate they are business friendly, and if used wisely can be effective tools for tipping
the scales in favor of the community when all things are equal or making up the difference when a
community lags competitively. Incentives are also valuable in "showing the love" to expanding local
businesses so that they choose to expand locally instead of expanding or relocating elsewhere.
Tactics - incent/ves
® Gather information on current toolbox of available incentives for Yakima businesses (federal,
state, city, SIED, RCDR, utilities, WorkSource, etc.)
Develop template to gather consistent and comprehensive information on incentives
Gather information on form of incentive (cash, tax credit, services, etc.), eligibility, timing,
process to apply/how to access
Research and write case studies of Yakima companies who have utilized incentives
® Research what Yakima competitors offer for incentives
® Research what we can change internally, by public vote and what may not be allowed by law
Determine what adjustment could be made to enhance incentive for local employers. This
may require legislation for tweak.
® Review lost projects as to Yakima's weaknesses to determine if new incentive offerings might
impact positively
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® Research gaps where Yakima falls behind or has higher development and operational costs than oN
competitors r-
® Package City permitting services as incentive service offering (i.e. timing, payment deferrals,
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ombudsman)
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Investigate guarantees for turnaround with complete permit submitted
Research and write case studies for recent Yakima developments with successful permitting f
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• Package Business-to-Business (B-2-B) coupons, deals and other offerings for new business
locating in Yakima
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• Design other incentive offering(s) as allowed by law °
® Develop and adopt incentive policy to define criteria for projects that align to Yakima's goals °
0
® Monitor results of incentives to see if they make an impact toward goals; utilize economic and
fiscal impact analysis for award-worthy projects and defendable scrutiny °
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• Promote incentives to local employers to raise awareness and help businesses fully utilize w
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Develop communications and outreach plan
Implement communications and outreach plan
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Post information on City,YCDA and other Core Working Group organizations' websites
respectively
Match incentives to business needs and situation during Business Retention & Expansion
visits
Core of king Group m incentives
Lead Yakima County Development Association & City of Yakima — Economic
Development Department
Team City of Yakima—City Attorney, Planning Department
Greater Yakima Chamber of Commerce
Hispanic Chamber of Commerce of Yakima
Rural Community Development Resources
Supporting Investments in Economic Development (SIED)
Utilities
Resources Washington State Department of Commerce
Metrics - incentives
Process Metrics Outcome Metrics
✓ Toolbox of existing incentives complete ✓ Number of businesses (existing and
o ✓ Competitor research complete attracted) assisted with incentives
o ✓ Capability/law research complete ✓ Number of jobs and wages associated
N ✓ Lost project review complete with incentivized businesses
✓ City permitting services package ✓ Economic impact of incentives applied to
N ✓ Business-to-Business (B-2-B) package businesses
V Communications plan completed (update
a websites and outreach to local
Eemployers)
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EDUCATIONAL ALIGNMENT
Goal
Educational resources aligned to meet the comprehensive current and future needs of employers in
Yakima.
Why important?
Access to talent is the leading factor for business growth, productivity and ultimately viability.
Competitive communities stay on top of matching needs of local employers with skills to advance quality
business services and production. With the impending retirement of many Baby Boomers, it is important
to fill these openings. By enhancing skills, workers have access to greater opportunities to increase
earnings. Yakima also benefits from local training of residents so that youth stay in the community
because they are skilled for living-wage jobs.
Tactics — Educational Alignment
® Assemble education and training providers (possibly leverage Employer Engagement Network of
the South Central Workforce Council)
Review goal, why important and tactics
Review current initiatives in place that may be related to this effort
Define who does what by when
® Inventory all educational assets for skill enhancements: provider, programs, participants,
graduates, placements in local jobs
® Document educational institutions outreach and marketing of programs to employers and
prospective students
® Inventory occupation awareness programs/efforts that expose students to careers in Yakima
• Document current and future needs of business for specific workforce skills, due to retirement o
and job growth areas, via oN
Engagement of business organizations (YCDA, GYCC, HCC, Yakima Valley Tourism, Yakima r-
Valley Human Resources Association) oN
Employer survey
Face-to-face meetings with large employers and those with high wages
Research of key occupations and corresponding skills of target industries (i.e. what do
companies we aim to recruit need) co
• Analyze needs versus asset inventory to define gaps
® Create programs to address gaps
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® Measure results of programs °
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Coro Working Group .... Educat/anal Ali nine*nt
Lead Yakima County Development Association
Team Central Washington University
Heritage University
Opportunities Industrialization Center
Pacific Northwest University of Health Sciences
Perry Technical Institute
South Central Workforce Council
Superintendents of East Valley, West Wally and Yakima School Districts
Unions (i.e. Operating Engineers Local Union #370, United Association of
Plumbers & Steamfitters Local 598)
Yakima Valley College
Yakima Valley Human Resources Association
Yakima Valley Technical Skills Center(YV-Tech)
Resources Business/local employers
Metrics — Education& Al/ nment
Process Metrics Outcome Metrics
o ✓ Inventory of educational assets complete ✓ Comprehensive package of skill
r' ✓ Inventory of occupational awareness enhancement offerings utilized for
programs complete marketing to prospective businesses
o ✓ Business needs documented ✓ Program graduates/participants
✓ Gaps defined ✓ Job placement rates in Yakima
a ✓ New programs developed and funded ✓ Increased earnings
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AIR SERVICE
Goal
Sustain and increase commercial airline service at the Yakima Airport (YKM).
Why €f u ortwt2
To competitively meet the travel needs of business and residents, Yakima needs to continue efforts to
expand air services-both frequency and additional destinations. Quality air service is critical to growing
both the economy and local tourism. An active airport generates funds for airport operations,
maintenance and capital expenditures. On top of these benefits, high quality and expanding air service
helps Yakima make its mark on the national map as a significant regional center.
Tactics .... ,Air Service
• Formalize airport sales team
® Research how competitors are organized, funding sources, and marketing strategies to
support/expand commercial air service
® Investigate new funding sources to attract and retain commercial air service
® Nurture existing partnerships (Alaska Airlines, Horizon Air, Virgin America)
® Consider incentive programs and package for targeting new destinations/carriers
® Continue FLY YKM marketing plan
Core Working Group - Air Service
Lead City of Yakima-Airport
Team Air Service Development & Consulting: AirPlanners, LLC
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City of Union Gap r-
Greater Yakima Chamber of Commerce
Hispanic Chamber of Commerce of Yakima
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Resources Federal Aviation Administration
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MelTros - Air Seneca
Process Metrics Outcome Metrics 0
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✓ Airport sales team organized ✓ Passenger growth
✓ Competitor research completed ✓ Load factors o
✓ Fund sources investigated ✓ Number of new flights w
✓ Frequency of outreach with existing ✓ Number of new destinations
partners ✓ Increase in airport funds
✓ Marketing plan implementation metrics
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CONVENTION CENTER EXPANSION
Goal
Expand the Yakima Convention Center to host targeted groups with world-class amenities.
Why Caput tan ta
Attracting conventions and related convention center users is a way to entice a high volume of visitors
to Yakima, which in turns generates new revenues and taxes for the city. By attending a convention, it
may be their first visit to Yakima, spurring subsequent visits or even a business relocation. A vibrant
convention center campus and headquarter hotel is an important cornerstone of a comprehensive
tourism strategy. Yakima's convention center currently trails competitors in the Pacific Northwest
region. Wenatchee,Tri-Cities and Spokane are making significant investment in convention and lodging
facilities. In addition to remaining competitive, a vibrant convention center facility supports tourism
growth as well as hosting local employer meetings and educational meetings and conferences.
Tactics .. Convention Caster Expansion
® Share existing information and research for convention center expansion
• Define boundaries
® Design architect for schematics, square feet and layout
• Document options for Yakima Convention Center expansion
® Evaluate pros and cons of options
® Develop communications strategy for project
® Seek buy-in from partners
® Neighborhood engagement
• Feasibility study and economic impact of expansion
o ® Investigate and pursue funding resources, including state legislative priority
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• Development plan
,- ® Recruit hotel developer
® Hire developer/construction firm
® Transition plan during construction into full expansion
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• Retail recruitment
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Corn Wort iog Group ... Convention Can tin Expansion
Lead Yakima Valley Tourism
Team Adjoining property owners
City of Yakima
Downtown Association of Yakima
Greater Yakima Chamber of Commerce
Hispanic Chamber of Commerce of Yakima
Public Facilities District
Yakima County Development Association
Yakima Downtown Association
Resources Neighborhood
State Legislators
Metrics mrr Convention Center Expansion
Process Metrics Outcome Metrics
✓ Options evaluated ✓ Expansion completed
✓ Feasibility study on options ✓ Private sector investment— hotel, retailer
✓ Expansion plan developed and approved ✓ Number of events booked
✓ Funding procured ✓ Number of hotel bookings
✓ RFP/RFQ let for developer ✓ Economic impact of events hosted No
✓ Developer hired ✓ Sales tax generated
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B. Traded-sector Business & Quality Employment Growth
To shape a sustainable economy, proactive efforts are necessary. Successful communities don't wait for
businesses to show up, they organize a strong business case to meet their needs and reach out to them
—be it an entrepreneur starting up a new business endeavor or a successful business that could grow
successfully in Yakima.
INCUBATOR
Goal
Establish a high-quality, technical assistance incubator to boost effective business start-ups in Yakima.
Why important?
An incubator is a resource for entrepreneurs that helps to lower the barrier to entry for business start-
ups. Locally "grown" businesses are more likely to stay and grow where they originate, thus providing an
avenue for job creation that compliments local business expansion and new business attraction efforts.
An incubator could also become a destination asset in Yakima, depending on the goods and services
produced by target occupants.
Metals - Incubator
® Research and tour example incubators
® Define scope of incubator/Mercado: commercial kitchen, brewery, winery, public market, tie to
targets
® Define potential locations and design
® Business plan for incubator model —including management and technical assistance
responsibilities
Target occupants
Needs of target occupants
Equipment provided (i.e. commercial kitchen)
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Technical assistance provided
Protocols for occupants—eligibility, requirements, length of stay, etc.
Application criteria and process for prospective occupants
Budget for defined scope
FeasibilityEo
studyfor defined scope
® P
® Funding
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Identify resources (i.e. Economic Development Administration, CERB, SIED)
o Pursue grants that align with business plan and incubator model
� ® Develop physical space
• ® Hire incubator manager
o • Market and solicit occupants
• ® Provide technical assistance to occupants
• • Graduate successful companies
} Measure economic impact of results
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,
rore Working Group ~ /&oubator
Lead [ityofYakinoa— EcononoicCeve|opnoentCepartnoent �
Team City of Yakima —City Manager �
� Downtown Association ofYakima �
� Greater Yakima Chamber ofCommerce �
� Hispanic Chamber of Commerce ofYakima �
� Rural Community Development Resources �
Resources Small Business Development Center �
State Legislators �
US Economic Development Administration �
kfatr/cs - /ncubator
Process Metrics Outcome Metrics
`/ Scope defined `/ Incubator built out for occupancy
`/ Location and design defined `/ Number of incubator business occupants
`/ Business plan completed and corresponding job counts
`/ Feasibility plan completed `/ Number of graduating companies
`/ Funding secured `/ Economic impact of occupants and
Incubator manager hired d
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AIRPORT BUSINESS GROWTH
Goal
Locate a comprehensive supply chain of traded-sector aviation companies and suppliers to prioritized
sites adjacent to the Yakima Airport.
Why iimportant?
Yakima has limited sites to house traded-sector businesses providing quality jobs. Sites near the Yakima
Airport—some with direct access to runways—are even more rare, yet they offer a compelling benefit
to aircraft and aerospace manufacturers seeking to test their products. Recruiting manufacturers
provide more economic benefit to Yakima than hangers and other types of warehousing at the airport.
With the expansion of Cub Crafters, there is opportunity to further enhance Yakima's retention
magnetism by locating supporting suppliers for Cub Crafters and other related businesses. Building out a
full aircraft cluster enhances their operations and is a strategic use of land, training resources and other
key components of Yakima's business case.
Tact/rzs .... Airport Business Growth
® Interview local aircraft and aerospace employers to
Document their respective supply chain
Identify target companies (suppliers)
Learn what events and where they connect to other industry-related companies
Write cases studies on local aircraft/aerospace employers to demonstrate how they are
succeeding in Yakima
® Define needs/requirements and priority location factors of target companies
® Gather corresponding data and build business case as to why Yakima is the location of choice for
aircraft manufacturers and suppliers
0
Also, includes potential customer base in region and logistics to existing customers from
Yakima location
0
N Research source locations of target companies and prepare cost comparisons to Yakima-
based operations
U ® Develop outreach plan to meet with target businesses, involving local businesses for
un
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co • Leverage Washington State Department of Commerce marketing to aircraft and aerospace
manufacturers, including relevant industry conferences and tradeshows
o • Leverage relevant Governor Missions
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Core Work€tag Group - Airport Business Growth
Lead City of Yakima— Economic Development Department, Airport
Team City of Yakima —City Manager
City of Union Gap
Cub Crafters
Marquis Development
Triumph Actuation Systems-Yakima
Yakima County Development Association
Resources Aerospace Futures Alliance
Inland Northwest Aerospace Consortium
Federal Aviation Administration
Washington State Department of Commerce
Metrics - Airport Gusuposs Growth
Process Metrics Outcome Metrics
✓ Target list ✓ Number of business locations,
✓ Business case, including case studies, corresponding jobs, wages, capital
completed investment
✓ Outreach plan completed ✓ Economic impact of recruitments
✓ Number of businesses contacted
N
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✓ Number of site visits by target companies
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RECRUIT CLUSTER INDUSTRIES
Goal
Locate traded-sector businesses that compliment yet diversify Yakima's economic base.
Why ;mawta /2
Traded-sector businesses produce and sell products and services outside of the area, thus bringing
wealth to Yakima and hiring people to living-wage, quality jobs. Plus, with a focused effort to target
industries that diversify our local economy we will achieve more stability through economic cycles.
Tactics u Recruit Cluster industries
® Determine target industries that are growing nationally, pay above Yakima's median earnings,
and fit with Yakima's capabilities to serve competitively
® Define needs/requirements and priority location factors of target industries
® Gather corresponding data and build business case as to why Yakima is the location of choice for
each target industry
• Write cases studies on local traded-sector businesses of target industries to demonstrate how
they are succeeding in Yakima
• Develop outreach plan to meet with businesses of target industries
Engage lead generation firm
• Leverage Washington State Department of Commerce's marketing efforts
Core Working Group - Recruit Cluster industries
Lead Yakima County Development Association
oN Team City of Yakima— Economic Development Department
N
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0 Resources Aerospace Futures Alliance
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City of Yakima— Planning & Public Works
o . Commercial real estate developers, brokers and landowners
En
Inland Northwest Aerospace Consortium
on
Utilities
it
Washington State Department of Commerce
31
Metrics .. Recruit Cluster Industries
Process Metrics Outcome Metrics
✓ Target industries defined ✓ Number of business locations,
✓ Business case, including case studies, corresponding jobs, wages, capital
completed investment
✓ Outreach plan ✓ Economic impact of recruitments
✓ Number of businesses contacted
✓ Number of proposals sent
✓ Number of site visits by target companies
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C. Community Pride
Community pride initiatives complement economic development marketing and talent
attraction/retention-people wanting to live and work in Yakima.
CENTRO DE LA RADA
Goal
Establish a Latino cultural center (Centro de la Raza) to honor the diverse cultural assets of the Yakima
community.
Why either tenth
This inclusive venue could serve as a destination draw for visitors and symbol of pride for residents. Not
only would this facility enhance quality of life, it provides an opportunity to educate youth on Yakima's
diverse cultural history.
harems .... Centro de la Raze
• Invite participation and launch Working Group
• Research and tour example centers
® Define scope of project (events, showcase, etc.)
® Conduct feasibility study based on defined scope of project
Determine location options
Investigate funding resources
• Develop business plan
Diverse board
Determine management and partners
Operations
0
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® Engage contractors
m ® Construction
Eo • Marketing
a)
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Coro Working Group •••• Contra do fe Rota
Lead Hispanic Chamber of Commerce of Yakima
Team City of Yakima
Movimiento Estudiantil Chicano de Aztlan (MEChA)
Rural Community Development Resources
Sally Tonkins
Resources Philippine community representatives
Yakima Community Foundation
Yakima Nation
Yakima Valley Museum
Metrics mm Centro de la Raze
Process Metrics Outcome Metrics
✓ Research completed ✓ Centro de la Raza built
✓ Project scope defined ✓ Number of visitors
✓ Feasibility study completed
✓ Business plan completed
✓ Funding procured
✓ Contractor hired
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IMAGE CAMPAIGN
Goal
Enhance local pride in community and foster positive "buzz" about Yakima.
Why ;m ortwt?
With a positive perception and experience in Yakima, people will come to visit or live in Yakima and
choose to stay. If residents are vested they will promote and invest in the community. Yakima Valley
Tourism,Yakima County Development Association and both Chambers of Commerce do an
extraordinary job of marketing Yakima externally. There is an opportunity to leverage the vibrant and
positive external marketing to residents and local businesses so that they play an important role in
speaking positively about the community.
rzir., — image Campaign
® Invite participation and launch Working Group—engage local media to partner
® Research to understand current Yakima brand and marketing programs
® Research what other communities are doing/have done to increase pride locally
® Conduct local perception survey/research to document baseline of perceptions
• Develop internal image/pride campaign focused on positive stories and progress being made
Potential mediums/approaches: authored news column, television interviews, editorial
board meetings, speaker's bureau, social media, student video contests, picture contests
Possibly phase campaign in order to get into action sooner
Investigate and procure funding for implementation (as needed)
• Engage wide range of partners to carry out campaign
• Monitor results via subsequent surveys to measure change in perceptions
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Coro Working Group .... imago Campaign
Lead Greater Yakima Chamber of Commerce & Hispanic Chamber of
Commerce of Yakima
Team City of Yakima—Communications Department
I IP Yakima
Local television stations: KAPP, KNDO/KNDU, KIMA, FOX 41, KCYU, Grupo
Hispanavision, Univision
Yakima Advertising Federation
Yakima Herald
Yakima Valley Business Times
Yakima Valley Tourism
Young Leaders of Yakima/United Way
Resources Breweries/craft beverage businesses
Yakima Arts Commission
Yakima area service groups
Metrics .... imago Campaign
Process Metrics Outcome Metrics
✓ Research of current brand/marketing ✓ Social media analytics
✓ Perception survey completed ✓ Change in resident perception of Yakima
✓ Campaign developed image r-
✓ Funding procured ✓ Change in external perception of Yakima
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iV. Staying on Track for Results
With a clear purpose and work laid out in Strategic Initiatives, success will only come from diligent
commit to implementation.This plan is a community-wide, coordinated economic development effort
and requires thoughtful approach and commitment from diverse stakeholders and partners to sustain
implementation. Many of the initiatives are multi-year efforts before major outcomes are evident.
The Steering Committee delineated principles, structure and communications for accountable
implementation that extends beyond City Council terms for continuity across the 2017—2020 plan
timeframe.
A. Principles to Follow in Pursuit of Purpose
The following principles defined by the Steering Committee must absolutely be respected to unleash
successful implementation of this Economic Development Strategic Plan for Yakima:
• Establish and define clear communication model for desired outcomes (see below)
• Educate stakeholders involved for buy-in, shared vision and leadership
• Be inclusive and engage broader community by communicating why we are doing what we are
doing
• Carry out consistent and positive messaging
• Follow a timeline with benchmarks
• Identify research sources to accomplish goals
• Do our homework
• Listen and learn from doubters
B. Accountable Implementation
The design for accountable implementation of this plan is organized for an enduring effort to achieve
No our purpose. Our results, along the way as well as outcomes, will be consistently communicated in line
r
with principles for successful implementation.
0
o STRUCTURE
m The Lead for each Strategic Initiative Working Group will participate on the Yakima Economic Growth
a Team, coordinated and led by the City Economic Development Manager.
un
0
m Each Lead wall
® Develop implementation timelines with benchmarks
® Report progress of Strategic Initiatives to Yakima Economic Growth Team
a
° ® Ask for assistance/feedback from the Yakima Economic Growth Team
o ® Track metrics for Strategic Initiative
E- • Suggest adjustments to plan as necessary based on findings, results, etc.
°
The purpose of the Yakima Economic Growth Team is to hold each other accountable and lend support
and cross-over, where appropriate, on related initiatives.
27
37
The Yakima Economic Growth Team will report to the City of Yakima Economic Development Committee
who ultimately reports to Yakima's City Council.
COMMUNICATIONS
To enhance support for strategic initiatives and community pride generated from accomplishments, it is
important to communicate progress as well as results or outcomes of plan implementation.
Tactics m Communmations
® Create webpage on City website dedicated to the Yakima Economic Development Strategic Plan
(link partner websites).
Present case studies on Yakima businesses, City services, business resources.
Publish updates on implementation progress of Yakima Economic Development Strategic
Plan.
® Publish Yakima Economic Indicators Dashboard on City website (link to partner websites)
documenting economic indicators such as job growth, per capita income, unemployment levels,
poverty rates, property values, property and sales taxes collected, etc.To set context, trend data
over time and present in comparison to competitors or aspirational communities.
® Provide updates in City newsletter and coordinate to provide content with partner
organizations' newsletters to their membership.
® Ongoing, prepare news releases and conduct interviews with media as benchmarks achieved
(i.e. process metrics) that articulate what and why the benchmark leads to success.
® Offer to author Economic Development column for Yakima Herald.
Present case studies on Yakima businesses, City services, business resources.
Publish updates on implementation progress of the Yakima Economic Development
Strategic Plan.
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Acknowledgements
A wide array of committed and enthusiastic community leaders provided input and worked
collaboratively to develop this Economic Development Strategic Plan for Yakima.
YAKIMA CITY COUNCIL
Dulce Gutierrez Avina Gutierrez Carmen Mendez
District 1 District 2 District 3—Assistant Mayor
Bill Lover Kathy Coffey Maureen Adkison
District 4 District 5—Mayor District 6
Holly Cousens
District 7
YAKIMA ECONOMIC DEVELOPMENT STRATEGIC PLAN STEERING COMMITTEE
Kathy Coffey,District 5—Mayor Avina Gutierrez,District 2 Maureen Adkison,District 6
City of Yakima City of Yakima City of Yakima
Holly Cousens,District 7 Cliff Moore,City Manager Sean Hawkins,Economic Dev.Manager
City of Yakima City of Yakima City of Yakima
Colleda Monick,Economic Dev.Assistant Cally Price,Assistant to City Manager Verlynn Best,CEO/President
City of Yakima City of Yakima Greater Yakima Chamber of Commerce
Luz Bazan Gutierrez,Secretary Maria Rodriguez,Executive Director Jonathan Smith,President/CEO
Hispanic Chamber of Commerce of Yakima Rural Community Development Resources Yakima County Development Association
John Cooper,President&CEO
Yakima Valley Tourism
PARTICIPANTS IN COMMUNITY ASSET SITE VISIT
Jeff Gaskell,Operations Manager Meghann Quinn,President Carolyn Belles,Permit Project Coordinator
Adventurer LP Bale Breaker Brewing Company City of Yakima
O Dave Brown,Water/Irrigation Division Mgr. Joseph Calhoun,Senior Planner Joan Davenport,AICP,Planning Manager
O City of Yakima City of Yakima City of Yakima
r— Glenn Denman,Building Official Supervising Jeff Peters,Supervising Planner Mike Price,Wastewater Manager
Code Inspector City of Yakima City of Yakima
O
N City of Yakima
Charlie Robin,CEO Thane Phelan,Vice President& Russ Roberts,CCIM
d The Capitol Theater Yakima Communications/Marketing Heritage Moultray
Greater Yakima Chamber
`aq
Joseph Monier,President&CEO Bob Gerst,Vice President Human Resources Christina Cote,President
JEM Development Real Estate Inc. John L.Haas,Inc. Perry Technical Institute
Erin Fishburn,Director of Institutional Mike Wright,Plant Manager Linda Johnson,Certified Business Advisor
Effectiveness&Advancement Quanex Building Products Small Business Development Center
pPerry Technical Institute
a)
N Patrick Baldoz,Director Tommy Hanses,Operations Manager Jean Brown,Business Development Director
0 South Central Workforce Council Washington Fruit&Produce Company Yakima County Development Association
0 Joe Schmitt,Marketing&Dev.Director Duncan MacLeod,Executive Director Paulette Lopez,Dean of Workforce
0 Yakima County Development Association Yakima Makers Space Education Division
Yakima Valley Community College
w
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Craig Dwight,Director
co
Valley Technical Skills Center
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-he Intersection of Site Se ection & Economic Development
The Yakima Economic Development Strategic Plan was developed with the assistance and facilitation of TadZo.
TadZo is an economic development and site selection consulting firm led by Allison Larsen. Businesses and
communities want essentially the same things: economic vitality, wealth creation, quality place and
environment.TadZo works with communities to achieve these outcomes.TadZo also assist companies to
identify communities with these attributes that support business strategy and competitive advantage.
Allison Larsen, CEcD
Principal
TadZo
www.TadZoConsulting.com
509.972.0833
allison@TadzoConsulting.com
K J