09/25/2006 Meeting Minutes - Laserfiche WebLink

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Minutes of the Regular Meeting of Council September 25, 2006 Page 7 FINANCE - Philliu Brett Mr. Brett reported that he spoke with the Mayor this evening. He would like to look at setting up a Committee to review pending economic development proposals. We get deluged with people who are looking for economic development assistance. One of the state requirements for a state program is that we are required to put in economic incentives if they are applying for a particular state economic incentive. -This has changed over the last few years. We pretty much took the attitude that the amenities that we provide are sufficient economic development as it is. We want to look at some different possibilities, especially along Beta Drive. He would like to form a committee. Mr. Brett stated that he and the Mayor discussed some ideas so that we have a consensus going over various economic incentives in different companies that are looking for them. We would set up an application process where we would review it. We are looking at possibly earmarking some of the dollars that are generated on Beta. Mr. Brett looked at the hotel tax and possibly the cable franchise tax to be looked at for funding these economic development issues. You have a cap built in and a budget built in. Right now those revenue sources go to some odd places as it is. It goes to capital and SCM&R. Those are some thoughts which were discussed with the Mayor. Mr. Brett would like to flush that out a little bit more and present it to Council as a plan in the near future. Mayor Rinker added that this is something we are looking to structure. Lately the good news is that we are getting a lot of inquiries for different kinds of businesses coming in to Beta. What we have also seen is that a lot of times, and not surprisingly, they are looking for certain kinds of incentive packages, some kind of commitment, which we think is certainly appropriate, but getting a better handle on who this is and what they are about. Frankly where this may lead and then following up with it is part of what we are trying to do. We are trying to come up with a way that is going to provide incentives that we think are realistic. The example that Phil gave is using franchise tax earmarking and putting it towards something. This seems to be more of a direct relationship rather than ad hoc. Sometimes frankly we know that they are just shopping around. We have had probably two or three just in the last six months where we had some pretty serious negotiations with the landlord, letting them know that there is one space and all of a sudden they disappear. We think probably what they tried to do is go back to the other community and say, this is what they are doing in Mayfield Village, what can you do better. That is the nature of business. It is not something we are going to change, but having a better, hands-on feel for it and getting an ability to get a different set of eyes on it,. talk about it and follow through it is what Mr. Brett is talking about. This is the early stages, but it will give Council a logical mechanism. in terms of where any kind of incentive is issued. A package would be put together if we have consensus on that. Mr. Buckholtz added that we could have consistency of what we offer, but at the same time we would take each case on a one-by-one basis. Mr. Brett agreed indicating that this would allow flexibility at the same time. Mr. Buckholtz asked whether or not they have discussed what kind of mix would be on this committee, e.g., Council, administration, department heads. Mr. Brett stated that just the idea was discussed, the details have to be worked out. Mayor Rinker added that at least one person from Council, someone from Planning and Zoning and Administration, John or Phil directly, and then a couple of people from the community that we