business attraction & retention summary of submitted 2015 ... · business attraction &...

Expense Non Tax Revenue

Net Tax Supported Expense Non Tax

RevenueNet Tax

Supported Expense Non Tax Revenue

Net Tax Supported

Tax Supported

(%)

Business Attraction & Retention 11,542,651 0 11,542,651 11,547,326 0 11,547,326 4,675 0 4,675 0.0%

Corporate Investment & Partnership 412,195 0 412,195 412,204 0 412,204 9 0 9 0.0%

Total to Maintain Existing Service Level 11,954,846 0 11,954,846 11,959,530 0 11,959,530 4,684 0 4,684 0.0%

0 0 0.0%

11,959,530 4,684 0.0%

2015 Budget Highlights: $ %Maintaining Existing Service:

4,675 0.0%

9 0.0%

Increase/ (Decrease) over prior year budget 4,684 0.0%

Corporate Investment & Partnership: Provides for inflationary increases.

Service Adjustments Submitted

2015 BUSINESS ATTRACTION & RETENTION AS SUBMITTED

Business Attraction & Retention: Increase in costs for purchase of service agreements.

Business Attraction & RetentionSummary of Submitted 2015 Budget From Rates

2014 2015Increase / (Decrease) Over Previous Year

Revised Budget Draft BudgetService

_____________________________________________________________________________________________________________________ 2015 Draft Budget for the City of London - December 8, 2014

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Business Plan: Business Attraction & Retention

How does this service contribute to the results identified in the City of London Strategic Plan?

A Strong Economy

As the lead economic development agency in the City, the London Economic Development Corporation (LEDC) works to improve the economic well-being of Londoners through the attraction of new companies, growth of existing businesses as well as entrepreneurship support activities. Our goal is to accelerate and sustain the growth of a strong and vibrant economy and foster private sector investment in the city. LEDC and its partners, TechAlliance, Small Business Centre and Stiller Centre, provide support and expertise to create economic growth, jobs and overall wealth creation in the city of London.

A Vibrant and Diverse Community

LEDC facilitates the creation of new jobs and attraction of new foreign investments in London. Our activities help create a diverse range of employment and entrepreneurial opportunities in a variety of industries including advanced manufacturing, digital creative, life sciences and more. These activities also help create significant economic spinoffs which further contribute to vibrancy in the city and attract new residents to London.

Name the main activities done to provide this service:

Name The Activities Done To Provide This Service How Much Did We Do? (optional)

Is The City Mandated To Provide This

Service?

Can The Level Of

Service Be Changed?

1. Attract foreign direct investment and support local business expansion resulting in job creation

• $110 million in new investments, resulting in the creation of 1,700 new jobs in 2013

No Yes, subject to agreement

2. Engage local companies for business retention and growth

• Worked with 500 local companies in 2013


3. Conduct marketing and promotion activities to highlight investment opportunities

• Hosted 85 attraction prospects and conducted 25 site selection tours in 2013



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What is the current state of this service? • Our goal is to promote London internationally for new foreign direct investment opportunities. LEDC markets London to

companies worldwide looking to set up operations in Canada. • Working closely with companies in the core economic sectors of London, we assist local companies with growth and retention

issues. These include helping with government grants and subsidy programs, facility expansion, workforce development, export market access and much more.

• LEDC continues to focus on diversification of London’s manufacturing sector. This strategy has resulted in significant new investments in sectors such as food processing, advanced materials, defence and aviation.

• Supporting the Industrial Land Development Strategy team at the City, we assist in the development of investment-ready industrial parks. Through LEDC support, London’s Innovation Industrial Park was named Ontario’s first provincially certified Investment Ready Site.

• London continues to market opportunities in key markets such as Germany, Korea, Japan and the U.S. • We have successfully leveraged provincial and federal funding programs for external promotion, as well as expansion and

growth of local London companies. • Competition from the U.S. and Mexico continues to be a challenge. Significant financial incentives are offered to companies

investing south of the border, which limits the market even further. Intensification of manufacturing supply chains in Mexico makes it challenging for manufacturing companies to operate in Ontario.

• LEDC continued to attract new business to London in 2013, including notable investments such as Farmboy, NATRA, Samsung and more.

What has been done to manage the budget? The service area has been actively managing its budget by implementing management lead initiatives aimed at creating efficiencies, avoiding costs and generating revenue. These include the following:

Efficiencies / Costs Avoided Previous 3 Years

• LEDC has a fixed term contract with the City.


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What is the future direction of this service?

What future initiatives can be contained within the maintain existing service level budget?

2015 Budget

• LEDC will build on regional economic partnerships, including the Ontario Automotive Communities Alliance, Ontario Food Corridor and the Ontario Technology Corridor. We will continue our efforts with several provincial and federal institutions to coordinate economic development programming.

• TechAlliance will deliver programs for innovative industries and coordinate business support services. Commercialization of new innovations and technologies will remain a focus for WorlDiscoveries and the Stiller Center.

• The Small Business Centre will provide support services to new start-up companies, entrepreneurs and service based ventures.

• Expanding our partnership with the London International Airport to build new business opportunities in air cargo transportation, aviation suppliers and aviation related education areas.

• Continuing significant retention activities through greater company calling program, assistance with federal and provincial programs to support expansions, export market development and help with diversification initiatives.

• Developing workforce support programs to match available talent in London to employer needs.

2016-2018 Forecast

• Following the recommendations brought forward in the KPMG review, LEDC will participate in a municipal led economic strategy for the London.

• Create a community engagement plan to enhance communications with all stakeholders re: economic activities and initiatives underway.

• Continue marketing industrial opportunities for job creation and increased industrial tax assessment for the City of London. Through the development of the industrial land strategy, we are working with partners such as Western University and Fanshawe College to further develop the Advanced Manufacturing Park. This new industrial site will be marketed to investors in clean energy, new materials, automotive and technology intensive companies.

• Local business retention and growth will become an increasing focus for LEDC. We are planning to undertake new programming to assist local companies with talent recruitment, access to government support programs, facility expansion and job creation.


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• Enhance workforce development programming and activities to assist companies to recruit and retain the talent needed to continue growing in London. Youth and student retention activities will continue to be a major focus within workforce development.

• Through LEDC’s work in the knowledge based economy and the education sector, we will continue to focus on opportunities in life sciences, medical devices, information and communication technologies as well as digital creative industries. As new companies are attracted to the city in these sectors, there will growth our downtown core as well as commercial assessment base.

• As the manufacturing sector transitions to an advanced technology driven environment, LEDC will focus on emerging areas for new investment attraction as well as newer markets to target, including R&D, automation and robotics.

• We will undertake new activities to encourage and develop more entrepreneurial activities in London. • As the 401 corridor improvements take shape, LEDC will market new industrial opportunities along the 401/402 corridor. The

city led Industrial Land Development Strategy is being designed to take advantage of such upcoming infrastructure investments.

• The Fraunhofer Project Center will be promoted to automotive suppliers to establish new production facilities for lightweight composite materials for upcoming vehicle fuel efficiency requirements.

• LEDC will be marketing the International Water Center of Excellence to companies manufacturing innovative solutions for water and waste water treatment and related technologies.

• Longer term focus for LEDC and its partners will continue the diversification of our employment base. • LEDC, TechAlliance and the Small Business Centre will continue to focus on entrepreneurship and new business

opportunities.

Key Performance Indicators

How Much?

Description of measure 2013 2014 2015 2016 2017 2018 1. Attraction of new foreign direct investment and

investment in local businesses through expansions

$110 m $120 m $120 m $120 m $120 m $120 m

2. New job creation through attraction and expansions

1,200 1,200 1,200 1,200 1,200 1,200


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How Well?

Description of measure 2013 2014 2015 2016 2017 2018 3. New industrial construction (Sq.ft.) 400,000 400,000 400,000 400,000 400,000 400,000 4. Information requests and site selection proposals

submitted 200 200 200 200 200 200

5. Investment attraction seminars and sector promotion events/conferences supported

50 50 50 50 50 50

Is Anyone Better Off?

Description of measure 2013 2014 2015 2016 2017 2018 6. New job creation through attraction and

expansions 1,200 1,200 1,200 1,200 1,200 1,200


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2013 2014 2015

ObjectActual Revised

Budget

Maintain Existing Service

Service Adjustments

Requested Budget

Expenditures $ %LEDC 2,234,651 2,234,651 0 2,234,651 0 0.0%Small Business Centre 173,953 177,000 0 177,000 0 0.0%Tech Alliance 200,000 200,000 0 200,000 0 0.0%Stiller Centre 203,817 208,000 4,675 212,675 4,675 2.2%Contribution to Economic Development Reserve Fund 3,973,099 8,723,000 0 8,723,000 0 0.0%

Total Expenditures 6,785,520 11,542,651 4,675 0 11,547,326 4,675 0.0%

Revenue

Sub-total - Non Property Tax Revenue 0 0 0 0 0 0 0.0%

Net Budget 6,785,520 11,542,651 4,675 0 11,547,326 4,675 0.0%Additional Information / Commentary With Respect To The 2015 Draft BudgetMaintaining Existing Service Levels (Flow through from prior years, inflation, contractual obligations, efficiencies) Stiller budget increases based on approved legal agreements.

Business Attraction & Retention2015 Budget As Submitted From Rates

Explanation of AdjustmentsIncrease/ (Decrease) Over

2014


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Prior Year Budget 11,542,651 11,547,326 11,596,272 11,646,198Maintain Existing Service Levels Increase / (Decrease) 4,675 48,946 49,926 50,924Maintain Existing Service Levels Budget 11,542,651 11,547,326 11,596,272 11,646,198 11,697,122 149,796Increase / (Decrease) Over Prior Year % 0.0% 0.4% 0.4% 0.4% 1.3%

Total 2015 Service Adjustments 0 000

Budget / Forecast 11,542,651 11,547,326 11,596,272 11,646,198 11,697,122 149,796Increase / (Decrease) Over Prior Year 4,675 48,946 49,926 50,924 149,796Increase / (Decrease) Over Prior Year % 0.0% 0.4% 0.4% 0.4% 1.3%

Annual Average Increase: 0.4%

Additional Information / Commentary With Respect To The Forecast:Maintain Existing Service Levels

Net Property Tax Supported

- Forecasts include increases for service agreements which are negotiated. LEDC contract up for renewal at the end of June 2015.

Business Attraction & Retention2015 Budget and 2016 - 2018 Forecast From Rates

2014 Revised Budget

2015 Requested

Budget

2016Forecast

2017Forecast

2018Forecast

2016 to 2018 Projected Increase


3

LEDCMaintain Existing Service LevelsFull-Time Equivalents #Full-Time Employees #

Service AdjustmentsFull-Time Equivalents #Full-Time Employees #

Total StaffingFull-Time Equivalents # 12.0 12.0 12.0 12.0 12.0Increase / (Decrease) Over Previous Year 0.0 0.0 0.0 0.0Full-Time Employees # 12 12 12 12 12Increase / (Decrease) Over Previous Year 0 0 0 0

SMALL BUSINESS CENTREMaintain Existing Service LevelsFull-Time Equivalents #Full-Time Employees #


Total StaffingFull-Time Equivalents # 13.5 13.5 13.5 13.5 13.5Increase / (Decrease) Over Previous Year 0.0 0.0 0.0 0.0Full-Time Employees # 13 13 13 13 13Increase / (Decrease) Over Previous Year 0 0 0 0 0

Business Attraction & Retention2015 - 2018 Staffing

2014 Revised Budget

2015 Requested

Budget

2016Forecast

2017Forecast

2018Forecast


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TECH ALLIANCEMaintain Existing Service LevelsFull-Time Equivalents #Full-Time Employees #



STILLER CENTREMaintain Existing Service LevelsFull-Time Equivalents #Full-Time Employees #



Additional Staffing Information / Commentary:Business Attraction and Retention staff are non City of London employees.


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Business Plan: Corporate Investments & Partnerships

How does this service contribute to the results identified in the City of London Strategic Plan?

A Strong Economy

Corporate Investments and Partnerships support the Investment and Economic Prosperity Committee (IEPC) Goal of developing a 10-year plan that will move London’s Economy forward faster and ensure long term prosperity for our community. The objectives are to: create jobs; leverage investment; stimulate spin-off benefits; build beneficial partnerships; benefit key sectors; and fuel transformational change in London’s economy. The Corporate Investments and Partnerships Service Area will seek and review potential business opportunities; support business case and business plan development; manage existing projects and make recommendations from a return focused, profit maximization perspective.

Name the main activities done to provide this service:

Name The Activities Done To Provide This Service How Much Did We Do? (optional)

Is The City Mandated To Provide This

Service?

Can The Level Of

Service Be Changed?

1. Manage investment and partnership projects approved by City Council

Five major projects currently being managed.

No Yes

2. Support the London Music Industry Development Task Force

Support the creation and management of the Task Force whose role is the development of a community wide comprehensive music strategy intended to promote and support music in London.

No Yes

3. Support the evaluation and review of potential business ideas presented to the City of London

This is on an ongoing basis as new ideas/projects are presented by the community.

No Yes

4. Support the development of the “City’s Economic Development or Prosperity Strategy”

No Yes

5. Seek out new investments, partnerships and business opportunities for the City of London

No Yes


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What is the current state of this service? Current Objectives / Milestones

During the June 2012 IEPC meeting, a request for ideas was made to the community where 49 prosperity proposals were presented. In October of 2012, Proponents were requested to complete a due diligence checklist; 12 checklists were returned which were reviewed using a business centred approach focused on economic development. An analytical tool containing 23 criteria directly related to the stated objectives was applied. City of London financial constraints were considered.

December 18, 2012, the Corporate Investments and Partnerships staff prepared a report for IEPC that presented a shortlist for the purpose of accelerating London’s economy and fostering private sector investment in the City. The report discussed the Industrial Lands Development Strategy and analyzed 49 proposals/ideas that were brought forward to the IEPC in June of 2012, in an effort to present business ideas that would stimulate the economy and would help to grow prosperity in the City. As a result five proposals best suited to the advancement of the goal and objectives of London’s Prosperity Plan were recommended and are currently being advanced through their appropriate phases.

1) Industrial Land Strategy- in process 2) Redevelopment of 111 Horton Street East- 5 gates were identified, the proposal is moving through gate 2- in process 3) A mixed use development/investment, including a performing arts centre- proposal evaluation in process 4) London Medical Innovation and Commercialization Network (The Mission of the LMIC Network is to conduct leading edge

research and innovation activities aimed at improving the health and well-being of local, national, and international communities. Simultaneously, through commercialization efforts, economic benefit will be realized for the LMIC Network stakeholders and Southwestern Ontario.”- grant agreement in process

5) Re-evaluation for potential 2nd year of funding towards the joint proposal from 2 employment support programs- in process In addition, the CIP was tasked with the creation of the London’s Music Industry Development Task Force. As a result, the terms of reference were endorsed by Council and a Task Force was created (June 5, 2014), who is now playing a key role in the development of a community wide comprehensive music strategy intended to promote and support music in London. The objective of the group is to guide initiatives by supporting the economic and cultural development of London’s music industry; to exchange ideas; to discuss opportunities and challenges; to provide input and advice; and to collectively take advantage of the current Ontario Music Fund, in order to support growth and innovation in London’s Music Industry.


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Also, based on a recent Economic Development Review completed by KPMG, as presented to the Strategic Priorities and Planning Committee on June 23, 2014, it was determined that the Corporate Investments Unit will support the development of the “City’s Economic Development or Prosperity Strategy”. Research and investigation in this regard has been initiated. What Is Driving This Service?

On January 23, 2012, Municipal Council was presented with the “Developing a Strategic Investment and Economic Prosperity Plan” report, where a process was proposed for the purpose of developing the Strategic Investment and Prosperity Plan. Challenges and Pressure Points

In accordance with the Ontario Chamber of Commerce slow growth will continue in most Ontario economic regions (as defined by Statistics Canada) into 2014, with some improvement expected in 2015. External and domestic economic conditions will not be conducive to a significant growth upturn in the near term. For example, the employment growth rate for London for 2014-2015 will be 0.7% to 1.0%, whereas the Ontario average is projected at 1.4% and 1.6%; the unemployment rate in London is predicted to average 7.9% in 2014 and drop slightly to 7.6 in 2015, as compared to the Ontario average 7.2% and 6.8% respectively.

One of the biggest challenges and pressure points is the unemployment rate, which is slightly higher than the Ontario average, as predicted for 2014 and 2015, putting pressure on the administration to speed projects up, which could potentially impact the city’s prosperity. On a positive note, housing sales and prices, residential and non-residential private building permits are on the rise. In short, the current local economic conditions impact the challenges and pressure points faced by the Administration.

Recent Achievements

Result Aligned Strategy Achievement Music Industry Development Task Force

Aligned with the “City of London 2011-2014 Strategic Plan”, the “Mayor’s Economic Prosperity Council Report” (2011), “London’s Cultural Prosperity Plan”, and “Establishing the Economic Baseline” presentation, on January 27th, 2014 the Investment and Economic Prosperity Committee endorsed the creation of London’s Music Industry

On February 11, 2014 Municipal Council resolved that a Music Industry Development Task Force be created, to oversee a local music strategy that will support the Province of Ontario Music Fund initiative in London. Developed the terms of reference as well as application for appointment to the task force. Reviewed the application and prepared biographies for each of the 23


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Result Aligned Strategy Achievement Development Task Force. The Task Force is aligned with the City of London 2011-2014 Strategic Plan in the following manner:

A Strong Economy: Develop our skilled workforce; Establish a focused strategy for the downtown; Build partnerships with key private, institutional and community partners.

A Vibrant and Diverse Community: Strengthen and embrace London’s diversity and cultural identity; Preserve and celebrate arts, culture and heritage; Build the vibrancy of the downtown including special events.

A Caring Community: Support individuals at all stages of life, from newborns to the elderly, and from newcomers to the established.

members and posted on the prosperity for London website. In addition, summarized what other municipalities are doing to improve their music scene, summarized the Ontario Music Fund and posted on the website

In accordance with the Terms of Reference, the London’s Music Industry Development Task Force was announced on June 5th, 2014, and is composed of 23 members consisting of: The Mayor as the Chair and 22 Members representing one or more of the below noted sectors of the music industry: Independent Artists; Events and Venues; Artist and Business Management, Representation and Marketing; Music Creation; Associations, Organizations and Partners; Music Awards Programs.

The Task Force is presently playing a key role in the development of a community wide comprehensive music strategy intended to promote and support music in London. Scheduled and serves as a resource at 4 meetings; where the last scheduled meeting is taking place on the 21st of July, additional meetings may be scheduled in order to complete the Music Strategy. The target date to complete the Music Strategy for London is end of August, 2014. For more details, please visit: http://prosperityforlondon.ca/musictaskforce

Reports 1. January 27, 2014, London’s Music Industry Strategy 2. March 31, 2014, London’s Music Industry Strategy- Update (Memo) 3. April 14, 2014, London’s Music Industry Strategy- Terms of Reference


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http://prosperityforlondon.ca/musictaskforce

Result Aligned Strategy Achievement Celebration Centre/Mixed Use Development

A Strong Economy; Invest strategically in public facilities

Establish a focused strategy for the downtown

Build partnerships with key private, institutional and community partners. A Vibrant and Diverse Community;

Strengthen and embrace London’s diversity and cultural identity

Preserve and celebrate arts, culture and heritage

Build the vibrancy of the downtown including special events. A Sustainable Infrastructure; Invest in community infrastructure such as housing, parks, and recreation centres.

A couple of different business plan submissions have been received from the project proponents and have been reviewed by staff. Arranged and held 2 public participation meetings late 2013. Numerous meetings with various performance venue operators took place that assisted with understanding the complex nature of building and managing a PAC. Also, extensive research was undertaken that looked at various Performing Arts Venues across Canada, with special attention to Ontario (in total summarized 18 performance venues).

Furthermore, Civic Administration received an updated business plan form the project proponents in May of 2014, and is currently in the process of analyzing the most recent submission “Celebration Centre/Mixed Used Development”.

As a result, is recommending in a July 21st, 2014 report that in order to assist with the evaluation of a Performing Arts Centre proposal, City Council approve the: Market Analysis; Facility Program and Design Criteria; and the Site Analysis and Criteria studies, which are to be completed by Novita.

The undertaking of the studies is intended to show that the City is seriously considering the development of a new music and entertainment facility, as these studies will assist not just the project proponents but also the City to properly evaluate the proposed plan. The next steps are dependent on Council direction.


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Result Aligned Strategy Achievement Reports:

1. November 4, 2013: Mixed-Use Development Including a Performing Arts Centre – Review of Proposals and Public Input.

2. December 2, 2013: Mixed-Use Development Including a Performing Arts Centre – Update.

3. February 24, 2014: Mixed-Use Development Including a Performing Arts Centre: Business Plan Proposed Conditions.

4. July 21, 2014: Mixed-Use Development Including a Performing Arts Centre: Business Plan Proposed Conditions Update.

111 Horton Street Redevelopment

A Strong Economy; Establish a focused strategy for the downtown

Build partnerships with key private, institutional and community partners. A Vibrant and Diverse Community;

Build the vibrancy of the downtown including special events

Invest in neighbourhoods. A Green and Growing City; Protect our natural heritage and environment

Promote a “green culture” and the fundamentals of sustainability

Develop walkable, connected communities with great public spaces.

On May 20, 2014 Civic Administration was directed by Municipal Council to continue to investigate and work with identified project stakeholders in order move the proposed project forward. As a result, the City of London has entered into more formal discussions with Kilmer Brownfield and London Hydro regarding the potential sale and redevelopment of the land at 111 Horton St. East.

In order to facilitate the redevelopment of the Property, there are a series of “gates” that Kilmer and/or the City of London must undertake in order to fulfil the regulatory requirements and overcome the site constraints. As Identified in the report there are 5 gates, of which gate 2 includes the Subject Land Status Report, the Reach Study, the Ownership of Land, and the London Hydro Relocation, will move forward as concurrent gates; we are currently evaluating gate 2.


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Result Aligned Strategy Achievement

Interdisciplinary team has been created; gap analysis taking place; non-disclosure agreement endorsed on June 24, 2013; communication among Kilmer Brownfield, Labatt's, London Hydro and Upper Thames River Conservation Authority ongoing. Terms of reference for REACH study have been complete; RFP has been issued and completed; Draft Reach Study Report (Phase I) has been received, in the process of finalizing the Reach Study (Phase I).

Reports: 1. June 24, 2013, Prosperity Projects: 111 Horton St.

Redevelopment Opportunity – Non Disclosure Agreement.

2. May 14, 2014. 111 Horton Street Redevelopment – MOU (In-camera report)

3. May 14, 2014, Prosperity Projects: 111 Horton Street East: Redevelopment Opportunity.

Medical Innovation and Commercialization Network

A Strong Economy; Develop our skilled workforce

Build partnerships with key private, institutional and community partners. A Caring Community

Increase the health and well-being of all citizens

Support individuals at all stages of life, from newborns to the elderly, and from newcomers to the established.

Originating from proposals brought forth by St. Joseph’s Health Care Foundation and London Health Sciences Foundation though the IEPC prosperity process, a potential medical research fund was presented in the December 18, 2012, A Path to Prosperity: Community Business Ideas to Stimulate our Economy.

Through community engagement and consultation with experts in relevant fields, feedback was received and a unique opportunity evolved: London’s Medical Innovation and Commercialization Network. This network would build on London’s existing competitive advantages in musculoskeletal disease, biomedical devices and image based medicine.


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Result Aligned Strategy Achievement The vision for LMICN was supported in principle subject to the preparation of a governance structure. The draft London Medical Innovation and Commercialization Network Governing Council Terms of Reference, were endorsed by Municipal Council on October 23, 2013; Administration assisted with formalizing the Terms of Reference; as well as with the development of applications for additional project funding (Fed. Dev.). In March of 2014, Council was presented with the LMICN Strategic Plan, and was received by Council April1, 2014. On July 21st, 2014, Municipal Council will be presented with making a decision with respect to authorizing the “London Medical Innovation and Commercialization Network” Grant Agreement., prepared by Tom Corbett of Advocates LLP, External Legal Counsel; in order to finance the this project, in the amount of $10 million to activate the network and result in the immediate leveraging of $10 million from Western University, and an additional commitment of $10 million over ten years. Reports: 1. July 29, 2013: London’s Medical Innovation and

Commercialization Network Vision. 2. October 15, 2013: London’s Medical Innovation

and Commercialization Network – Update #1. 3. July 21, 2014: London Medical Innovation and

Commercialization Network-Grant Agreement. 4. July 21, 2014: LMICN-Grant Agreement-In-

Camera Report


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Result Aligned Strategy Achievement Employment Network Support

A Strong Economy;

Develop our skilled workforce

Build partnerships with key private, institutional and community partners. A Caring Community;

Increase the health and well-being of all citizens

Provide effective and integrated community based social and housing supports

Support individuals at all stages of life, from newborns to the elderly, and from newcomers to the established.

On June 11, 2013, Municipal Council approved the Employment Program Support, on a pilot basis for one year, with the Employment Sector Council London Middlesex and the London Middlesex Immigrant Council, with an option to extend the pilot for one (1) additional year, based on the year-end update and subject to a source of financing.

It is anticipated that an up-date report, that analyzed the pilot projects year end results, will be presented to Council at the end of August 2014, where a recommendation will be presented whether an additional year of funding is appropriate.

Report: May 21, 2013. Grant Agreement: Employment Program Support.

Other Reports/Initiatives 1. January 28, 2013. Investment and Economic Prosperity Committee Proposal Assessment Process Update. 2. January 28, 2013. D.A.P.S. TROPHY, IBM-Western University Industry Problem Solving Workshop. 3. February 19, 2013. Investment and Economic Prosperity Proposal Assessment Process Update #2. 4. April 29, 2013. Investment and Economic Prosperity Project Updates. 5. May 21, 2013. Investment and Prosperity Projects-Public Input. 6. June 24, 2013. Job Creation and Wealth Generation Project Listing. 7. December 2, 2013. Western University _IBM Industry Problem Solving Workshop. 8. Assisted with and became part of the judging panel for the Western University Industry Problem Solving Week (February 2014);

IBM and Western University Industry Problem Workshop with a data analytics focus.


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What has been done to manage the budget? The service area has been actively managing its budget by implementing management lead initiatives aimed at creating efficiencies and avoiding costs.

What is the future direction of this service?

Given that the Investments and Partnerships service area is only in the 2nd year of operation, current objectives and milestones are the primary focus. As this area matures, future objectives and milestones will be added. For the foreseeable future, the service drivers identified in the current state section will continue to impact the delivery of this service in the future.

With many companies building their businesses around partnerships, looking forward, the Corporate Investments Team will focus on initiating and managing strategic relationships. Looking forward the Corporate Investments team will:

• Identify new business opportunities (new strategic partnerships, not limited to businesses)

• Prioritize new business opportunities (compare the potential returns of each new opportunity to the costs the City would incur to exploit it)

• Bring select new opportunities that have been identified and prioritized to Council for consideration (by working in collaboration with various internal/external partners)

The Corporate Investments Team receives new ideas and proposals which are to be analysed on an ongoing basis. The process that is undertaken has to be independently created by the team and involves the following steps:

• Proponents are requested to complete a due diligence checklist.

• Proposals and checklists are reviewed using a business centred approach focused on economic development.

• An analytical tool containing 23 criteria directly related to the stated objectives is applied.

• City of London financial constraints are considered.

• A recommendation is presented to Council.


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What future initiatives can be contained within the maintain existing service level budget? 2015 Budget

Goal: Support the Development of “the City’s Economic Development or Prosperity Strategy”

Action Steps: Serve as a resource and identify appropriate stakeholders, who will be engaged in order to contribute to the development of the “Community Economic Strategy”.

Goal: Support the evaluation and review of potential business ideas presented to the City of London in an objective, fair and efficient manner.

Action Steps: Evaluate all Investment and Economic Prosperity ideas/proposals through the use of the developed evaluation process and appropriate evaluation tools, as approved by Council. Developed a transparent, fair and efficient investment proposal evaluation process intended to serve as a guide for project/idea evaluation that will aid in the analysis of new proposed investment ideas, which includes:

• Primary Analysis Tool: Due Diligence Checklist • Secondary Analysis Tool: Prospect Ranking Tool – Score Card • Secondary Proposal Project Evaluation Timeline

Goal: Support internal business plan and business case development by working with appropriate project proponents and/or stakeholders in order to develop and/or aid with the development of project business plans; related to Investment and Prosperity ideas/proposals.

Action Steps: • Perform thorough research, and prepare a comprehensive business plan where appropriate, and/or as quested

by Council.

• Work closely with project proponents and/or stakeholders and provide any assistance that may help with the development a formal business plan/case. The assistance may be given through telephone conversations, email and/or face-to-face meetings.


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Goal: Seek out new investments, partnerships and business opportunities for the City of London by actively pursuing and following up on potential Capital Investment leads.

Action Steps: • Actively engage in community events, conferences, and business meetings.

• Seek out and pursue new investment opportunities through newly developed relationships.

Goal: Continue to provide economic development information on the Prosperity for London website in order to

ensure that the Prosperity for London website is updated on a regular basis with up to date/accurate information as it relates to select economic development projects/ideas.

Action Steps:

• Prepare updated and accurate project information summaries.

• Work collaboratively with the “ROMD ǀ Marketing and Design” team to ensure that the content posted on the Prosperity for London website is updated promptly.

• Encourage and solicit public feedback through the prosperity website and [email protected] email address.

Goal: Undertake information gathering through local economic development partners and other stakeholders to

provide updates on major city funded projects to ensure that Council, Civic Administration and all members of the local community are updated on a quarterly basis, as it relates to select Capital Investment Projects.

Action Steps:

• Gather project related information through: telephone conversations, email, in-person meetings, published articles, social media, and any other means that will provide the information that is being sought after.

• Develop a project summary timeline that will outline the various project phases; from concept to closing. • Develop a high level summary overview page that will include the project description, status update, next

steps, the associated costs, and the return.


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mailto:[email protected]

2016-2018 Forecast

• Continue with all the items identified above, where appropriate.

Key Performance Indicators

How Much?

Description of measure 2013 2014 2015 2016 2017 2018 1. Number of proposals managed 71 4 2. New Initiative (London Music Industry

Development Strategy) 1

How Well?

Description of measure 2013 2014 2015 2016 2017 2018 3. Managing the projects through the process to

accomplish their identified goals. Not applicable

Not applicable

4. Creation of a Music Strategy Not applicable

Not applicable

Is Anyone Better Off?

Description of measure 2013 2014 2015 2016 2017 2018 5. The projects have a potential to Create Jobs;

Leverage Investment; Stimulate spin-off benefits; Build beneficial partnerships; Benefit key sectors; Fuel transformational change in London’s economy.

Not applicable

Not applicable

6. A community wide comprehensive music strategy intended to promote and support music in London.

Not applicable

Not applicable

1 *Please note that the 7 proposals represent 4 recommendations (Medical Innovation and Commercialization Network, 111 Horton Street East Redevelopment, Performing Arts Centre and Employment Support Network). The Industrial Land Strategy was not part of the 49 ideas that came from the community; however, it was the 5th recommendation.


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2013 2014 2015

ObjectActual Revised

Budget

Maintain Existing Service

Service Adjustments

Requested Budget

Expenditures $ %Personnel Costs 404,210 337,263 5,841 343,104 5,841 1.7%Administrative Expenses 10,608 17,000 100 17,100 100 0.6%Purchased Services 19,131 39,200 1,800 41,000 1,800 4.6%Materials & Supplies 547 8,000 (4,000) 4,000 (4,000) (50.0%)Furniture & Equipment 5,048 10,732 (3,732) 7,000 (3,732) (34.8%)

Total Expenditures 439,544 412,195 9 0 412,204 9 0.0%

Revenue

Sub-total - Non Property Tax Revenue 0 0 0 0 0 0 0.0%

Net Budget 439,544 412,195 9 0 412,204 9 0.0%Additional Information / Commentary With Respect To The 2015 Draft Budget

Corporate Investment & Partnership2015 Budget As Submitted From Rates

Explanation of AdjustmentsIncrease/ (Decrease) Over

2014

Maintaining Existing Service Levels (Flow through from prior years, inflation, contractual obligations, efficiencies) Increase in salary, wage and fringe benefits due to existing employment agreements.Increase in Purchased Services due to an increase in professional communication fees and facility rental costs.Decrease in Materials and supplies due to a reduction in office and stationary supplies based on actual requirements.Decrease in Furniture and Equipment based on actual requirements.


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Prior Year Budget 412,195 412,204 414,209 416,273Maintain Existing Service Levels Increase / (Decrease) 9 2,005 2,064 2,126Maintain Existing Service Levels Budget 412,195 412,204 414,209 416,273 418,399 6,195Increase / (Decrease) Over Prior Year % 0.0% 0.5% 0.5% 0.5% 1.5%

Total 2015 Service Adjustments 0 000

Budget / Forecast 412,195 412,204 414,209 416,273 418,399 6,195Increase / (Decrease) Over Prior Year 9 2,005 2,064 2,126 6,195Increase / (Decrease) Over Prior Year % 0.0% 0.5% 0.5% 0.5% 1.5%

Annual Average Increase: 0.5%

Additional Information / Commentary With Respect To The Forecast:Maintain Existing Service LevelsMinor inflationary increases are being projected.

Corporate Investment & Partnership2015 Budget and 2016 - 2018 Forecast From Rates

Net Property Tax Supported2014

Revised Budget

2015 Requested

Budget

2016Forecast

2017Forecast

2018Forecast

2016 to 2018 Projected Increase


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Maintain Existing Service LevelsFull-Time Equivalents # 0.0 0.0 0.0 0.0 0.0Full-Time Employees # 0 0 0 0 0

Service AdjustmentsFull-Time Equivalents # 0.0 0.0 0.0 0.0 0.0Full-Time Employees # 0 0 0 0 0


Additional Staffing Information / Commentary:

Corporate Investment & Partnership2015 - 2018 Staffing

2014 Revised Budget

2015 Requested

Budget

2016Forecast

2017Forecast

2018Forecast


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business attraction & retention summary of submitted 2015 ... · business attraction &...

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