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HomeMy WebLinkAboutDSD-19-098 - Kitchener Economic Development Strategy - Public ConsultationREPORT TO:Finance and Corporate Services Committee DATE OF MEETING:June 10, 2019 SUBMITTED BY:Cory Bluhm, Executive Director, Economic Development, 519-741-2200 ext. 7065 PREPARED BY:Lauren Chlumsky,Economic Development Analyst, 519-741-2200 ext. 7072 Leah Connor, Economic Researcher, 519-741-2200 ext. 7048 WARD (S) INVOLVED:ALL DATE OF REPORT:May 22, 2019 REPORT NO.:DSD-19-098 SUBJECT:Kitchener Economic Development Strategy Public Consultation ___________________________________________________________________________ RECOMMENDATION: That staff be directed to undertake a comprehensive community and stakeholder EXECUTIVE SUMMARY: The Make it Kitchener, is a forward- and provides direction on key initiatives the City intends to carry out, often in partnership with stakeholders. Make it Kitcheneracts as a platform for our business community, development community, community leaders and community stakeholders to rally around a shared purpose. With the current strategy expiring at the end of 2019, i Make it Kitchener2.0. In order for Make it Kitchener2.0to truly become a platform for partnerships and a rallying point ring consultation process which invites feedback and ideas from a wide cross-section of interests. The following report provides the overall structure of this proposed public consultation. BACKGROUND: In the early 2000s, Kitchener was faced with majoreconomic shifts including a decline in the manufacturing sector resulting from a rising Canadian dollar, and a downtown core lacking vibrancy, investmentand development activity. Our community needed a bold, ambitious and inspirationalplan to kick-startthe revitalization of downtown Kitchener, while stimulating employment growth in emerging sectors such asthe knowledge economy, health, technology, etc. twoconcurrent and overlapping goals. The approach developed in 2003/2004, known as ***This information is available in accessible formats upon request. *** Please call 519-741-2345 or TTY 1-866-969-9994for assistance. 8 - 1 the Economic Development Investment Fund (EDIF), was to invest tax-generated revenue into catalytic investments over ten years that would: Result in new capital construction; Leverage partnerships (e.g. private sector, universities, other levels of government, etc); and, Demonstrate through detailed business cases that projects had the ability to be catalytic and lead to spin-off growthbeyond the project itself. Following key investments, such asthe University of Waterloo School of Pharmacy, Wilfred Laurier Faculty of Social Work, King Street Master Planand the Communitech Hub, Downtown Kitchener is now home to 200+ technology companies,and has seen$1.6 billion in cumulative construction since 2004. Including planned construction, 2019 values areexpected to reach $1.1 billion city wide. - commitment to these two key goals, the following aspects were key in creating what has been one of the most profound movements in ou Identifying clear areas of focus (downtown revitalization and knowledge creation); Developing a strategy that could become a platform and invitation for others to be active participants in change; Taking a partnership-based approach; and, Focusing on catalytic investments that would stimulate further momentum. Reflecting on the success of EDIF, it is not one single business or organization that reshaped downtown, but an entire community that cametogether (residents, businesses, developers, educational institutions, community organizations, festival organizers, etc.) under a unified, focused vision to createreal, buildable opportunities. In 2012, Council approved the 2012-2015 Economic Development Strategywhich expanded the focus to 5 key areas: Start-Up City, Leading-Edge Cluster Building, Talent Magnet, Dynamic Downtown and Innovation District. In 2016, Council approved the award-winningMake it Kitchener 2015-2019 strategy.This strategy identified abroadnetworkof initiatives, including City-led, City-supported and partnerships initiatives with numerous stakeholders. To date, all 54 actions established through the strategy have resulted in 102different outcomes all of which have been either completed, are in progress, or are ongoing.Key initiatives includedsupportforthe expansion of the Velocity Garage, the creation of the Creative Hub, and redevelopment of key downtown properties. Reflecting on the first Make it Kitchenerstrategy, its greatest success was that it created astrong sense of intangible qualities that make Kitchener an inspiring place to be.Ultimately, itevoked aspirit of empowerment: 8 - 2 Reflecting on the entire journey since 2003, this is clearly a community success story. What started as a focused City-lead strategy, became a platform for our community to rally around. That platform grew intoa broader network of residents, businesses, community leaders and partners engaged in building a great city. REPORT: Today our community is faced with change and the need to adapt to changing local and global forces and new technology like never before. This change is leading to major shifts in industry, our labour force, talent attraction,affordability, mobility, consumer trends, etc. Industries, like retail, are experiencing complete transformation, while new industries, like artificial intelligence, smart cities/IOT and cannabis production are rapidly emerging. Traditional industries, like automotive, are beginning to adapt to a future that will be centred oninternet-connected vehicles and autonomous navigation. With 3,000 new residential units to be constructed downtown over the next few years and the opening of ION, our urban landscape is transforming. But rather than simply respondingor reactingto change, Make it Kitchener 2.0will provide our community with an opportunity to determine the change it wants to shape and lead. The Opportunity Throughout 2019, the Economic Development team will leadCouncil, stakeholders,business leaders and the community through extensive consultation to identify the change our community wants to focus on. This will ultimately inform Make itKitchener 2.0that will be presented to Council for approval in late 2019.Like 2003, staff intend tochallengethecommunity and stakeholders to identify opportunities for our community to collectively lead transformational change that results inmulti-generational positive impacts. Community ConsultationProcess In anystrategic planning process, community engagement is important not just to support idea generation, but as a community building toolthat invites and mobilizes stakeholders. Our mandate is to inspire, challenge,enableand supportour community tohelp grow our workforce, bring our cityto life, and help make Kitchener a city for everyone. Thus,the strategy and the process leading to the strategy are key vehicles for inspiringour stakeholders to action. In developing Make it Kitchener 2.0, staff are planning the following threekeycomponents: 1.Stakeholder Engagement (July September) undertaken through an extensive series of round table discussions and 1-on-1 meetings including, butnot limited to, the following: Community partners; Business leaders; City advisory committees; Economic development partners such as Waterloo EDC, Waterloo Region Tourism and Marketing Corporation, Business Improvement Associations, etc. 8 - 3 Service based agencies such as Working Centre, Lutherwood, House of Friendship, andKW Multicultural Centre; Academic and institutional partners; Cultural associations; Tourism partners and festival/event organizers; Art and creative industry leaders and organizations; Innovation leaders like Communitech, Velocity and the Accelerator Centre;and, The development community(urban, suburban, and industrial). 2.Community Engagement (July September) using a variety of public engagement approaches, staff will ensure all community members have an opportunity to participate and provide ideas. Over the summer months, community consultation will be conducted through methods such as: Digital surveys using Engage Kitchener; Social media engagement; Workshops/focus group discussions; and, Pop-up engagement booths at festivals and key community facilities. 3.Community & Stakeholder Symposium: Ideas of the Brave (September) as has become staff are planning a large community forum which will act as the culmination of the initial phases of consultation. At this symposium, staff will share the key challenges, opportunities and ideas generated through business and community engagement. The forum provides an opportunity for our community, stakeholders and leaders to weigh in on where the City(in partnership with our many stakeholders)should focus its attention in Make it Kitchener 2.0. Ultimately, the goal of the community consultationis tounderstand a diversity of perspectives and generate diverse ideas. Ensuring the inclusion of stakeholders that reflect the vibrancy of our community will strengthen this strategy.Staff are developing a community engagement plan to address potential barriers to participation.Consideration will be given tophysical and social accessibility, timing,and atmosphere of engagement activitiesto ensure inclusive participationfrom across the city. Post-Engagement Steps Following the community consultation, staff will develop a draft strategy that establishesclear and transformative areas offocus with marquee initiatives that the City would either lead or work with community stakeholders and partners to implement.This would include establishinga clear, long-term investment and implementation strategy.Where significant opportunities or challenges are identified, staff will undertake and provide extensive research to understand best- practices in ensuring informed decision making. 8 - 4 The draft strategy would betabled in October with an opportunity for additional community feedback in October-November, with a final strategy presented to Council in December. While historically the economic development strategy has been developed on four year intervals, it is clear that for Make it Kitchener 2.0to stimulate and support long-term, multi-generational change, the proposed strategy may involve a longer-term outlook. ALIGNMENT WITH CITY OF KITCHENER STRATEGIC PLAN: The development of the Make it Kitchener 2.0strategy is a key action to implement the Vibrant Economy goal of the recommended 2019 -2022 Strategic Plan. FINANCIAL IMPLICATIONS: Costs associated with the consultation process and strategy development have been allocated and approved within the Economic Development Reserve. COMMUNITY ENGAGEMENT: INFORM council / committee meeting. This project will use the consult, collaborate and entrustmethodsthroughout the many stakeholder engagement opportunities identified in the community consultation section of the report.Community members will have opportunities to provide feedback, identify preferences and community values, connect with other citizens to understand issuesfrom different perspectives,anddevelop creative solutions. Ultimately, the strategy is a vehicle to empower the local community to lead change andinnovation within their own community. ACKNOWLEDGED BY: Justin Readman, General Manager, Development Services 8 - 5