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HomeMy WebLinkAboutCAO-06-039 - Economic Development Advisory Committee Recommendation - Manufacturing Cluster Strategy1 Ki~~.R ~hiefAdministraror's Off)ce REPORT Report To: Development and Technical Services Date of Meeting: June 26, 2006 Submitted By: Economic Development Advisory Committee Prepared By: Kathy Weiss, Director Business Development Rod Regier, Executive Director, Economic Development Wards} Involved: All Wards Date of Report: June 19, 2006 Report No.: CAO 06-039 Subject: ECONOMIC DEVELOPMENT ADVISORY COMMITTEE RECOMMENDATION -MANUFACTURING CLUSTER STRATEGY RECOMMENDATION: That Kitchener City Council give direction to senior staff to meet with CTT, the Cities of Cambridge and Waterloo and other key stakeholders such as the Greater KW Chamber of Commerce to determine their interest in participating in a joint Task Force with a mandate to focus on the regional manufacturing sector; and that; The Task Force inventory existing programs and services that support manufacturers and manufacturing investment in the region and identify gaps in the array of programs and services that could support and enhance the competitiveness of the region and its manufacturing cluster, and further that; Subsequent to such consultations and a further discussion with the EDAC, specific suggestions will be brought back to Council. BACKGROUND: In late 2005, economic development staff and the Economic Development Advisory Committee felt that it was time to investigate through the Corporate Visitation Program the health of our manufacturers, particularly those both directly and indirectly involved in the automotive cluster. Several objectives were clearly identified at the outset of the program. These included: ^ To understand the competitive challenges and opportunities ^ To identify the factors affecting the location decisions and Kitchener's strength's and weaknesses ^ To understand the spatial dimensions of the cluster to inform industrial land development in the city and region, and; ^ To build on Kitchener's strategy to strengthen the competitiveness of manufacturing and support it's growth REPORT: Feedback obtained from the corporate visitation program affirms that Kitchener is still a desirable location for the manufacturing sector. While the manufacturing sector is facing challenges, local companies are adapting by diversifying and increasing their productivity. The entrepreneurial spirit, partnered with a highly skilled workforce, allows Kitchener's manufacturing sector not only the ability to survive but to thrive in these increasing challenging times. Manufacturers expressed the need for the City of Kitchener to continue to support the competitiveness of their sector by investing in employment lands while maintaining sensitivity toward the impact of municipal taxes on the city's economic base. A variety of initiatives to support the regional manufacturing industry are already in place, however there is merit in collaborating and communicating on a regular basis with the regional partners to ensure both attraction and retention efforts are utilized to their maximum potential. FINANCIAL IMPLICATIONS: N/A COMMUNICATIONS: N/A Kathy Weiss Rod Regier Director, Business Development Executive Director