TITLE
The Mayor and City Council shall discuss and possibly take action to approve an updated agreement between the Greater Phoenix Economic Council and the City of Maricopa, in an amount not to exceed $26,540.00, and will be funded from General Fund, Economic Development, Membership and Dues (10011616-55510). Discussion and Action.
AGENDA ITEM DESCRIPTION
This contract represents an ongoing relationship with as well as service delivery from the Greater Phoenix Economic Council (GPEC).
GPEC works in partnership with 22 member communities and over 170 private-sector investors to attract quality businesses to the Greater Phoenix Region from around the world, and advocate and champion foundational effects to improve the region's competitiveness. As an independent 501(c)(3) non-profit corporation, GPEC receives approximately 40 percent of funding from the public sector and 60 percent from the private sector; public sector funding is based on population. The City of Maricopa (City) contract amount of $26,540.00 is calculated by utilizing a per capita rate of $.5752, based upon the 2013 Office of Employment and Population Statistics, Arizona Department of Administration population estimate, which listed the City as having a population of 46,140.
Between July 1, 2013 and June 3, 2014, GPEC has assisted 26 locates, creating 3,325 jobs, $147.9M in new payroll, $1,758.5M of capital investment while absorbing over 2.8M square feet of commercial space in its service area.
In addition to satisfying the Scope of Services in the Fiscal Year (FY) 2013-14 agreement, the City's work with GPEC and benefit from partnership in the past year has been significant:
1. The City had the opportunity to respond, along with all other member communities, to all GPEC prospect inquiries generated that we could satisfy minimum site requirements for; one submittal in 2014 resulted in a company site visit courtesy of GPEC
2. Staff participated on a monthly basis in the GPEC Economic Development Directors Team meetings; these meetings are designed to provide educational opportunities, discussion forums for timely topics, and debriefs of prospect activities and GPEC initiatives
3. Staff was able to participate in numerous beneficial events facilitated by GPEC allowing for exposure to key corporate leaders in the Valley and greater information and understanding of influential projects
4. Staff was able to participate in GPEC Sales Mission to the Silicon Valley, meeting with decisions makers and site selectors who represent a portfolio of clients to share information on Maricopa
5. GPEC staff has supported the City's economic development efforts by offering technical assistance, time and expertise throughout the year on internally generated business attraction projects and through participation at the 2014 Economic Summit
6. GPEC launched the Community Partnership Program (CPP) to further enhance support for communities, which provides open dialogue between leadership from municipalities and GPEC to align current strategies in creating a more competitive region.
7. As a benefit of our partnership with GPEC, the City also receives a user license with CoStar, a national real estate listings and analytics database which is a critical data tool for the City's economic development efforts and would cost the City over $5,000 to purchase independently
FY15 Action Items
1. GPEC will actively promote unique industrial, office and healthcare development opportunities to local and national developers, real estate investment trusts (REITs) and institutional capital sources.
2. GPEC will host national and international road shows in target markets. GPEC will convene key executives and multipliers (i.e. law firms, financial institutions) and demonstrate the investment and supply chain opportunities available in Arizona.
3. GPEC will place a razor sharp focus on California, targeting multiplier networks in Silicon Valley and LA to bolster direct lead-generation efforts, as well as engage California-based corporate headquarters in a site-optimization planning dialogue.
4. GPEC will help drive the efforts to launch Velocity, the Metropolitan Business Plan. Velocity represents an effort to move Greater Phoenix onto new economic footing, transforming Greater Phoenix's economy to be a global force for innovation and technology by 2025.
5. GPEC will assess the depth of electronics companies in the region, broadening our market intelligence program to its third industry focus.
6. GPEC will work with the region, Brookings Institute and JP Morgan Chase to establish and execute the Global Cities Initiative to increase export and trade activity.
STAFF RECOMMENDATION
Staff recommends the Mayor and City Council approve an updated agreement between the Greater Phoenix Economic Council and the City of Maricopa, in an amount not to exceed $26,540.00, and will be funded from General Fund, Economic Development, Membership and Dues (10011616-55510).