Paul D. Ralph, BES, RPP, MCIP Commissioner, Development Services

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1 Public Report To: From: Report Number: Development Services Committee Paul D. Ralph, BES, RPP, MCIP Commissioner, Development Services DS Date of Report: April 8, 2015 Date of Meeting: April 13, 2015 Subject: 2014 Economic Development Activity Report File: B Purpose The purpose of this report is to provide an overview of key economic development activities in Recommendation That the Development Services Committee recommend to City Council: That Report DS dated April 8, 2015 concerning the 2014 Economic Development Activity be received for information. 3.0 Executive Summary Advancing economic development is an important core service for the City. In 2014 the City realized significant development growth and advanced a number of economic development initiatives. Economic Development focuses on four key areas: 1. Investment Attraction 2. Business Retention and Expansion 3. Entrepreneurship 4. Marketing The above areas build upon the Sector Analysis and Cluster Strategy (Cluster Strategy) approved in 2013 by City Council. This strategy identified the following five key sectors to be pursued as part of the City s economic development program: 1. Advanced Manufacturing 2. Health and Bioscience 7

2 Meeting Date: April 13, 2015 Page 2 3. Energy Generation 4. Multi Modal Transportation and Logistics 5. Information Technology A separate report on the status of the Cluster Strategy will be provided later. Strong investment in our City is expected in 2015 and beyond. 4.0 Input From Other Sources N/A 5.0 Analysis 5.1 Investment Attraction Investment attraction activities include lead generation, responding to investment inquiries, coordinating and attending investment trade missions, engaging the site selection and corporate real estate executives, developers and hosting in-bound delegations. Economic Development undertook a number of initiatives to attract new investment to Oshawa in 2014: Responded to over 200 inquiries from various sources. Engaged a lead generation firm that connected with 218 companies in our key Cluster Strategy sectors from across the globe, resulting in 12 conference call meetings from companies in Europe, Latin America, U.S. and Canada. Liaised with the Region of Durham Economic Development and Tourism Office and the Greater Toronto Marketing Alliance to support their lead generation and foreign direct investment activities. Participated in four events with Investment Facilitators: - The Consultant Connect Forums in Dallas and Chicago; - The Ministry of Economic Development Employment and Infrastructure (MEDEI) to meet with several global in-market consultants; and - The Ministry of Tourism and leading development firms to promote tourism investment opportunities. Participated in two investment missions: Industrial and Asset Management Council Annual conference and PowerGen trade show, in partnership with the Durham Economic Development Partnership (DEDP) joint program, which resulted in 25 faceto-face meetings. 8

3 Meeting Date: April 13, 2015 Page 3 Engaged a U.S. based site selection firm to attend and promote Oshawa at six U.S. trade shows resulting in 112 companies being identified as potential targets in our key Cluster Strategy sectors: - Fabtech (Innovation and Technology Trade Show); - Institute of Food Technologists (Food Processing and Packaging); - International Manufacturing Technology Show (Manufacturing Technology); - Pack Expo (Processing and Packaging); - WindPower (Energy); - Intersection / Great American Trucking Show (Transportation / Logistics). Participated in two in-bound delegations in partnership with the DEDP: - Hosted two U.S. site selectors from Florida and Georgia for a Durham Familiarization Tour; - Hosted two site selectors from the U.S. and Germany in a two day familiarization tour of Durham. Staff continue to follow up on all leads generated through these activities in addition to identifying new leads and targets in our five key Cluster Strategy sectors. A more robust lead tracking, business start-up and reporting system has been created and implemented for Business Retention and Expansion (BR & E) BR&E activities include business visitations or corporate calls, business interactions with companies and assistance with issues and challenges affecting business. BR&E activities are enhanced by working with key partners such as the Greater Oshawa Chamber of Commerce, education institutions, employment agencies as well as hosting events and seminars to provide relevant information and networking opportunities for business. In 2014, Economic Development hosted four successful events: Funding, Tools and Exporting Support for Local Manufacturers; Annual Economic Outlook Breakfast with TD Bank Group; Annual Realtor and Developer Breakfast; and Launched Lectures20, a downtown small business lectures series for the culinary sector. Through these events, we had the opportunity to promote Oshawa to over 400 business people. Economic Development staff completed 33 formal business visitations under the Business Connections corporate calling program, in addition to having 116 business interactions with our local companies and assisted with 17 challenges facing business. 9

4 Meeting Date: April 13, 2015 Page Entrepreneurship Entrepreneurship activities focus on fostering an environment that supports entrepreneurship and relies on developing and maintaining good relationships with key stakeholders such as the Business Advisory Centre Durham (BACD), Spark Centre (Spark) and Durham Ontario Self Employment Benefit Program (OSEB) to create an environment for entrepreneurs and new business start-ups to succeed. In 2014, the City sponsored a variety of activities including: 2 Spark Centre and start up technology companies to attend Ontario Centres of Excellence Discovery Day tradeshow; Business Advisory Centre Durham Global Entrepreneurship week activities; Spark Centre s Ignite Competition; and The City also committed to provide annual funding of $30,000 for five years to the Spark Centre to create a much needed accelerator and incubator space in the Downtown. The Spark Centre is located in the Core21 building at 21 Simcoe Street South. The Loft located in the upper floor of the Core21 building will create a collaborative ecosystem for start-up companies downtown and will support the development of next generation technology and innovation. 5.4 Marketing Marketing activities focus on promoting Oshawa as a strong location for business investment. Traditional marketing channels such as publications, print ads, advertorials and written articles are complemented with electronic promotions including social media, website banner ads, commercials and videos to positively advocate and promote the city to a variety of audiences. A number of marketing initiatives were completed in 2014 to highlight the City in a positive manner and promote the advantages of doing business in Oshawa: Featured in two magazines: Canadian Business Journal and Business in Focus Magazine; Created the Oshawa Community Profile, Development Insider, Emerging Foodies Downtown Restaurant Guide and Downtown Intelligence Report, (marketing award was received for The Emerging Foodies publication by Economic Developers Council of Ontario); Banner ads were placed on the Society of Industrial and Office Realtors (SIOR), Trade and Industry Development and Automotive Parts Manufacturers Association websites; Advertisements were placed in Durham Relocation Guide, Oshawa Visitor Guide and Durham Discovery Guide; Four articles were written for the Durham Trade and Commerce magazine; 10

5 Meeting Date: April 13, 2015 Page 5 Economic Development has approximately 570 followers on the InvestOshawa twitter account; and 11 articles were written for inclusion in the Greater Oshawa Chamber of Commerce Business Matters monthly publication. 5.5 Other Initiatives Economic Development staff participate and/or lead a number of initiatives on an ongoing basis including: A new community led strategy Plan 20Twenty for Downtown Oshawa was created that identified a total of 71 action items over a five year term. In 2014, 13 action items were advanced and completed; The downtown culinary and retail gap analysis was completed; Issued eight film permits: - 6 TV series; - 1 Music Video; - 1 Short Film; - Total 19 film shoot days. Processed seven Community Improvement Plan loans in the Downtown in 2014; Participated on several working groups and committees: - Durham Economic Development Partnership; - Automotive Mayor s Caucus; - Nuclear Supply Chain Roundtable; - Career Ladders program with Durham Workforce Authority and Literacy Network of Durham Region; - Durham Immigration Portal, now called Community Partners in Diversity ; - imin ( Industrial Manufacturing Information Network); - Downtown Business Improvement Area (BIA) Marketing and Economic Development Committees; - Greater Oshawa Chamber of Commerce Committees: Government Policy, Business Excellence Awards and Events Committees; - Culture Counts; and - Pan Am Games committees. Staff also meet regularly with key business partners including post-secondary institutions, financial institutions, workforce development organizations and others necessary for the continued development of Oshawa. 6.0 Financial Implications There are no financial implications associated with the recommendation in this Report. 11

6 Meeting Date: April 13, 2015 Page Relationship to the Oshawa Strategic Plan The activities identified in this report help to advance the Economic Prosperity goal of the Oshawa Strategic Plan. Cindy L. Symons-Milroy, Ec.D., CEcD, Director, Economic Development Services Paul D. Ralph, BES, RPP, MCIP, Commissioner, Development Services 12

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