Recommendations for the Transylvania County Economic Development Organization Independent Economic Development Task Force January 29, 2014.

Recommendations for the

Transylvania CountyEconomic Development Organization

Independent Economic Development Task Force

January 29, 2014

Why is this process undertaken

1. Times have changed for Transylvania, especially in the last decade.2. Current efforts, while hard-fought, have not met ever-rising expectations.3. County Commissioners hired Jeannette Goldsmith, a consultant with significant

experience with corporate relocation.4. Ms. Goldsmith’s recommendations can be found: http://

www.transylvaniacounty.org/content/independent-economic-development-task-force5. One of her recommendations was to create a new economic development

organization.6. This task force volunteered and was commissioned to analyze her approach

and develop independent recommendations for:a. Economic Development Organizationb. Mission/Vision for the new organization, andc. Targeted industries with an initial marketing plan.

Agenda

1. Introduce Team2. Purpose and Scope of tonight’s discussion3. Economic Development Organization recommendation4. Discuss anticipated questions5. Next steps

Transylvania = all of county, city, towns

Independent Economic Development Task Force Members

• David Bradford • Karen Gleasman, Chair• Ruth Harris• Billy Higgins • David Neumann• David Watkins• Jackie Whitmire

Local business owners & leaders, executives, lawyer, agribusiness, manufacturing, strategy, marketing, quality, large and small business experience, community leaders, not afraid of a little confrontation, active learners, good listeners, able to leap tall buildings….

Purpose/Scope of Tonight’s Discussion• Tonight:

Recommended Economic Development Organization structure (and how we got there) Initial mission and vision

We’ll be back in March to discuss: Targeted industries Initial marketing plan

The process we followed

Define Economic Development Interview Economic Development Partners (Goldsmith +2) Discussed target industries Review and discuss Goldsmith Report Discussed case studies comparing Henderson and Transylvania business friendlinessSought comparative examples of successful organization structures Heard from Blue Ridge Community College and Transylvania County Schools about

workforce development curriculum Brainstormed characteristics of an effective organizational structure Developed consensus of essential elements and focus. Interviewed Jeanette Goldsmith as to her reasoning and conclusions. Developed structure, staffing & roles, estimated budget needs. Wrote preliminary Vision and Mission statements

Explored outside of TC

Listened to Transylvanians

Brainstormed, iterated, and worked to consensus

The process we followed

Define Economic Development Interview Economic Development Partners (Goldsmith +2)

Discussed target industries

Reviewed and discussed Goldsmith Report Discussed case studies comparing Henderson and Transylvania business friendliness

Sought comparative examples - successful organization structures Heard from BRCC and TCS about workforce development curriculum

Brainstormed characteristics of an effective organizational structure

Developed consensus of essential elements and focus.

Interviewed Jeanette Goldsmith as to her reasoning and conclusions.

Developed structure, staffing & roles, estimated budget needs.

Wrote preliminary Vision and Mission statements

Explored outside of TC

Listened to Transylvanians

Brainstormed, iterated, and worked to consensus

The process we followed

Define Economic Development

Interview Economic Development Partners (Goldsmith +2) Discussed target industries Review and discuss Goldsmith Report

Discussed case studies comparing Henderson and Transylvania business friendliness

Sought comparative examples of successful organization structures

Heard from Blue Ridge Community College and Transylvania County Schools about workforce development curriculum

Brainstormed characteristics of an effective organizational structure

Developed consensus of essential elements and focus.

Interviewed Jeanette Goldsmith as to her reasoning and conclusions.

Developed structure, staffing & roles, estimated budget needs.

Wrote preliminary Vision and Mission statements

Explored outside of TC

Listened to Transylvanians

Brainstormed, iterated, and worked to consensus

1. Chamber of Commerce2. City of Brevard3. Economic Development Advisory Board4. Heart of Brevard5. Tourism Development Authority6. Town of Rosman7. TC Economic Development and Planning8. Transylvania Partnership

The process we followed Define Economic Development

Interview Economic Development Partners (Goldsmith +2)

Discussed target industries

Review and discuss Goldsmith Report

Discussed case studies comparing Henderson and Transylvania business friendliness

Sought comparative examples of successful organization structures

Heard from BRCC and TCS about workforce development curriculum

Brainstormed characteristics of effective organizational structureDeveloped consensus of essential elements and focus. Interviewed Jeanette Goldsmith as to her reasoning and conclusions.

Developed structure, staffing & roles, estimated budget needs.Wrote preliminary Vision and Mission statements

Explored outside of TC

Listened to Transylvanians

Brainstormed, iterated, and worked to consensus

The process we followed

Define Economic Development Interview Economic Development Partners (Goldsmith +2) Discussed target industries Review and discuss Goldsmith Report Discussed case studies comparing Henderson and Transylvania business friendlinessSought comparative examples of successful organization structures Heard from BRCC and TCS about workforce development curriculum Brainstormed characteristics of an effective organizational structure Developed consensus of essential elements and focus. Interviewed Jeanette Goldsmith as to her reasoning and conclusions. Developed structure, staffing & roles, estimated budget needs. Wrote preliminary Vision and Mission statements

Explored outside of TC

Listened to Transylvanians

Brainstormed, iterated, and worked to consensus

Whew!

Things we’ve learned• Transylvania’s economic concerns are not unique.• There is no “one correct way” to structure economic development.

• We have effective, independent organizations playing different roles in economic development, yet we repeatedly heard: we need to do better and change is required.

• Volunteerism by smart and committed individuals is at the core of our success.

• All the good efforts are loosely coordinated based on interpersonal relations.• There is a perception that it is challenging to do business in Transylvania. • The negative feedback loop – negative things are amplified and retold

• Working with local governments can be frustrating on a transaction level.• Economic development is comparatively underfunded in a significant way. • There is insufficient context and consensus for economic development to occur

Compared to others

Compared to others

As viewed by us

As viewed by us

For our elected officials

For our elected officials

Specifically Transylvania

Specifically Transylvania

Principles upon which to build an effective economic development organization

Co-located in a centralized, prominent location within the City of Brevard to convey:

Transylvania welcomes you. We are a thriving community and we are open for business

Public /Private Organization with mostly public money, and privately run.Accountability for meeting measurable goals.Staffed with focused responsibility by function.Leverage/expand roles of some existing organizations: Heart of Brevard, Chamber of Commerce, Tourism Development Association Formal co-ordination by an independent, representative, and self-renewing board.

Recommend –

Visitor Center

Definition of Economic Development

“Economic development is a process by which a community creates, retains, and reinvests wealth, and improves the quality of life”

-David Dodson, MDC Inc, Chapel Hill, NC

Why this one?•Cycle of: Creates, retains, reinvests•Jobs! and•Beyond jobs to “quality of life”

From Dictionary.com: wealth = all things that have a monetary value

Economic Development Organization Structure

New Business Development

Account Executive

Asst to Account Executive

Marketing

Marketing Specialist/Community event

coordinator

Heart of BrevardTourism Development Authority

Business Retention/ExpansionWorkforce Development

BRE/WD Leader

Heart of BrevardChamber of Commerce

Economic Opportunity NetworkTransylvania Schools

Blue Ridge Community College

Executive Director

Board of Directors – 11 members

5 new (3 net) positions

highlighted in bold

Board of DirectorsTransylvania Partnership charter becomes thisUnpaid boardElected president3 year, staggered and limited termsTied to Transylvania County – residence or businessNo executive boardWill require significant time and thought investmentPast leaders of organizations to allow for sufficient timeWelcome diverse membershipNamed positions appointed by organizationsAt large positions selected by Independent Economic Develop Task Force

Membership1.At-large business owner2.At-large business owner3.At-large business leader4.At-large business leader5.Agri-business (Farm Bureau)6.Tourism Development Authority7.Chamber of Commerce8.Heart of Brevard9.Town of Rosman10.City of Brevard11.Transylvania County

Executive Director

ResponsibilitiesOperational Leader

Fund Raising

Accountability to measurable goals

Strategic leader

Advocate for sustaining/growing effort

Define/refine roles & responsibilities

Hiring/firing of direct staff

Manage/recommend budget

Incentive structure recommendation

Attributes1.Sales closer2.Fund raiser3.Optimistic4.Successful business owner or leader5.Builds sense of community6.Strategic, forward thinker7.Growth oriented8.Manages & understands risk9.4 Year degree or equivalent experience

New Business Development Office

Account Executive Assistant to Account Executive

Sales Experience Business “concierge” for Transylvania

Recruit/attract new business Maintains working knowledge of systems

Input to strategic planning Inventory of sites (product)

Trade shows Inventory of ready workforce

Ensure existing properties ready to market

Develop new propertes

Outward focused Inward focused

MarketingParticipates in developing and understanding “sense of

place”.Ensures marketing reflects the economic interests of the

participating organizations.Works to assist businesses throughout the county to

tailor/adapt a marketing campaign that is complementary to Transylvania message.

Measure results to refine marketing. Acts as coordinator of community calendar, leveraging

opportunities for many businesses to benefit from events thus increasing the dollars spent within Transylvania.

Business Retention & Expansion

Resource partner for existing businesses, co-ordinates community and technical resources to support growth and investment

Assists entrepreneurs by leading them to resources that maximize their chances for success.

Celebrates the multitude of successes achieved by local businesses.

Presents an optimistic view of Transylvania’s future.Supports workforce readiness with active engagement of Blue

Ridge Community College and Transylvania schools

Ms. Goldsmith suggests large part of

effort here until

existing companies all

have FABULOUS

stories to tell

Mission

Orchestrate through engagement of investors, elected officials, existing organizations, and businesses, an attractive climate for creation, retention, and reinvestment of wealth within Transylvania County which is complementary to the long-term vision of Transylvania County and its residents.

Orchestrate – all look to the conductor, play their position, know what to expect from their partnersEngagement – active two-way participationCreation, retention, and reinvestment – that cycle we loved from the definition of Economic DevelopmentLong-term vision – required to set context and guidelines

Vision To achieve a dynamic and robust business climate resulting in stable well-paying incomes and growing opportunities allowing residents to live fulfilling lives

in a thriving place

Transylvania Economic Development Vision: What Do We Want To Be?

Community – Transylvania County is noted for it’s vibrant, diverse community where there is something for everyone--retirees , young families, and everything in-between. Residents are attracted to our top-rated schools, low crime rate, recreational opportunities, and economic growth.

Business Climate– Transylvania County businesses, from new startups to established businesses, from retailers to manufacturers, from agribusinesses to construction , grow and thrive. There is a “positive echo chamber” in the county that describes the environment as a great place to start and grow a business. Brevard, Rosman, and TC governments collaborate to create a “business friendly” environment while preserving our “sense of place”. Our community has a ready workforce trained at all levels of the economic ladder to support this economic growth.

Investment – Our community attracts businesses that are relocating and retains local businesses that are expanding because we offer amenities achieved through creative private and public capital investments in business ready sites, telecommunications, utilities, and workforce development.

Preservation – While TC residents enjoy increased economic opportunities, conserving the county’s natural beauty and resources is a priority. To the extent possible, each decision to expand or relocate a business to TC is made while preserving and enhancing the county’s “ecology of place” and enhancing its quaint, family-oriented, small-town atmosphere.

Anticipated Questions – Next Steps

1. Cost and funding of new organization? 2. How is this different from today’s structure? From J. Goldsmith’s proposal?

Why are so many of the existing economic development organizations remaining within the structure?

3. What large businesses will be targeted so we can get healthy wages?4. Besides the new organization, what else is recommended?5. Why will this be more successful? Is there a guarantee of new jobs?6. When will we see new jobs? How will I know what’s available?7. How can I best prepare to be a good candidate for new jobs?8. What will be done to make things more friendly for current & incoming

businesses?9. Will this recommendation keep our younger family members in the area?

Recommended Budget & Funding? Increase county investment in Economic Development by approximately $300,000/year increase in

operating costs o Salaries to attract professional staffo Travel, e.g. trade showso Rent o Marketing materialso Contracts for professional services

Competitive market rent is paid to the Chamber, allowing/incenting the Chamber to provide greater service for Business Retention and Expansion effort

Leveraging Tourism Development Authority’s marketing expertise and funding to embrace the value of a community marketing position and coordinator of a community calendar.

No additional funds for workforce development – leverage excellent efforts of Transylvania County Schools & Blue Ridge Community College (more active partnership)

We recommend increasing the capital reserve of the Transylvania Partnership to $500,000 in order to enhance the ability to facilitate significant investment in our community. The money should be privately managed.

How is this different?

• From today’s effort• More investment• New focused, functional responsibility – sales, marketing, and business retention &

expansion• Co-Location in central, optimistic looking site• Better, more efficient coordination, & shared resources• Accountability to new measurable goals – e.g. $ invested/net job, increase per capita income• Formal orchestration of all economic development efforts by recognized economic

development leader• Private employees accountable to agreed upon metrics

• From J. Goldsmith recommendation• Lower cost through preservation of subset of existing organizations• More directly leveraging our valuable, effective volunteer base• More focus on business retention & expansion

why we’re keeping existing organizations

Large businesses with healthy wages?Public money should be spent on recruiting successful, compatible businesses.• Smaller businesses are more likely to come here (Jeanette Goldsmith says

<50 most likely)• We recommend welcoming larger businesses which are compatible with the

county’s vision • Target companies with wages comparable to Buncombe and Henderson

counties

What else is recommended?Convert Transylvania Partnership Corporation into this new entity.

Significant investment in comprehensive Transylvania strategic plan:

Transylvania embark on a robust planning effort to better comprehend and anticipate change, while preserving the community character and values. This provides a contextual framework for the Economic Development Organization to operate, strategize, and ensures that future investment is compatible with the values of our community.

Formal collaboration across contributors

Unified marketing look & feel, extending work of Tourism Development Authority

Why more successful? Job guarantee?Increased collaboration with everyone pulling in same direction will

be a major factor for success.More investment in resources focused on specific measurable goals:

e.g. $ invested/net job, increase per capita incomeIncreased focus on business retention and expansion more likely to

yield jobs soonerTime (2 – 5 years) and concerted effort (forever) required to gain

momentum of new business developmentNo guarantee of jobs, but we believe jobs are more likely with this

approach.

New jobs, when? How will we know?

We are not starting from scratch – and will build on current successesIncreased focus on business retention and expansion more likely to

yield jobs soonerTime (2 – 5 years) and concerted effort (forever) to gain momentum

of new business developmentTo keep informed:

oPeriodic formal review of progress to measures – net job increase, new investments, per capita wage

o Establish relationship with supporting organizations: BRCC/JobLinko Expect organization to announce successesoMarketing team focuses externally and internally

How can I best prepare?

Believe in yourself, do not underestimate your capabilitiesBe ever-ready mentally and physically to take on new jobGrow by investing in yourselfSeize opportunitiesConnect to JobLink, Blue Ridge Community College, Transylvania

County Schools – job ready programDemonstrate ability to work hard with good work practices every

chance you get

Making Transylvania more business friendly?“Concierge” position will guide new investors through our processes.Create attitude of facilitation: “how we can rather than why we can’t” New organization is expected to identify and help eliminate barriers to

incoming investment All of us need to eliminate the negative feedback loop by working together

to resolve issues.All of us need to create the positive feedback loop. Find reasons to share

the good news.Increase credibility of Transylvania through effective local and regional

partnerships – business retention and expansionKeep our county worthy of investment – ready workforce, clean,

charming, inventory of buildings, land, and/or infrastructure

Keeping younger family members here?Jobs keep and attract people who share our valuesWith success, additional jobs in this area lessen the need to commute

to Buncombe, Henderson or beyondA diverse, healthy mix of small businesses leads to a more

predictable future which is less sensitive the success of any one company

Maintaining our wonderful quality of place is an important factor

Next StepsIndividually reflect on this proposal and provide constructive feedback

to the Task Force.First 30 minutes of upcoming 4 meetings devoted to listening to feedback (5

min/speaker)Talk to any one of the task force members individuallyEmail input to: [email protected]

Organizations independently consider this proposal. Task Force will assist as needed.

Voluntary commitment to the proposed structure from each organization – new leadership needs engaged followers.

Create oversight Board of Directors (Task Force work is done).Write contractual agreements.County budget appropriation for fiscal year 2014-2015.Convert Transylvania Partnership Corporation into new entity.

Successful Economic Development

Requires something from everyone!•What you can expect from this organization –

• Formal, optimistic orchestration of Transylvania Economic Development• Helping to grow existing business and attract new ones

•What should you expect from your elected officials – • Increased investment in economic development• Transylvania-wide longer term vision to provide context and guidelines

•What we need from you –• Constructive participation• Ever-ready workforce