CITY COUNCIL STAFF REPORT
Meeting: July 07, 2022
Subject
Consideration of Municipal Code amendments to the Cupertino Municipal Code, Title 2 to add Chapter 2.96 and codify the Economic Development Committee.
Recommended Action
Conduct the first reading of Ordinance No. ____ “An Ordinance of the City Council of the City of Cupertino Adding Chapter 2.96 of Title 2 (Administration and Personnel) to Codify the Economic Development Committee." Find that the proposed action is exempt from CEQA.
Discussion
The Economic Development Committee (EDC) has met informally for well over two decades to discuss items of importance pertinent to local businesses and to provide feedback to staff on business‐related City initiatives or projects.
As part of the FY 2021‐2022 City Work Program discussion, the City Council requested that the EDC be codified in the Municipal Code through an ordinance.
The proposed ordinance for the EDC has been drafted based on input from Council and staff research on economic development committees in other local cities.
Powers and Functions:
The powers and functions of the Committee shall be to serve in an advisory capacity to the City Council and to provide expertise and guidance on policy related to economic development. The Committee shall also actively promote Cupertino as a location of choice for current and prospective businesses.
To fulfill their mission, the Committee may involve itself in the following activities:
Make recommendations to City Council on a broad range of strategic matters broadly applicable to the City’s economic development goals; Serve as an ambassador to shed a positive light on the City by sharing economic development resources and information to prospective businesses and stakeholders, thus positioning the City as a location of choice; and Encourage public/private partnerships to further the City’s economic development goals by identifying potential resources.
Membership:
As proposed, the membership of this new Committee would consist of nine members, including elected officials, industry sector representatives, and key partners:
City Councilmember
City Councilmember
Technology Sector Representative
Retail/Small Business Representative
Hospitality/Tourism Sector Representative
Education Sector Representative
Commercial Real Estate Representative
Sustainability Commissioner
Technology, Information, and Communications Commissioner Term:
Committee members would serve staggered terms with appointment of five members to two-year terms and four members to four-year terms for the first cycle, and then five members to four-year terms and four members to two-year terms unless appointed by the City Council for a shorter term. Committee members would not serve for more than two consecutive terms.
Optional Residency Requirement:
Excluding the two council members serving on the Committee, at least three additional members must be residents of Cupertino.
Economic Development Committees/Commissions in Other Cities Staff conducted research on economic development committees in other cities in Santa Clara County and the local area. Out of the 18 other cities surveyed, five have active economic development commissions or committees that are subcommittees of Council. Palo Alto is currently in the process of forming one. Details on the composition and purpose of the commissions or committees in these cities are below:
City
Committee
Composition
Purpose
Mountain View
Downtown Committee
11 members
Four (4) property owners or downtown business representatives Two (2) community-at-large members who are residents of Mountain View Four (4) business-at-large members with representatives from:
One (1) Downtown Business Association
One (1) Chamber of Commerce
Two (2) businesses not in the Downtown.
Encourage economic development specific to the downtown area.
San Jose
Community and Economic Development Committee
Five (5) Councilmembers
Manage the growth and change of the City of San José in order to encourage a strong economy; ensure a diverse range of arts, cultural, and entertainment offerings; and create and preserve housing and healthy neighborhoods. This committee was previously named the Driving a Strong Economy Committee.
Santa Clara
Economic Development, Communication, and Marketing Committee Four (4) Councilmembers
The Economic Development Committee and the Marketing Committee were consolidated in 2019. This Committee focuses proactive economic development and effective communication, as well as reviews the City’s marketing and branding strategies.
Fremont
Economic Development Advisory Commission
Nine (9) commissioners
Five (5) representatives from: Business, Resident; Real Estate; Ohlone Community College.
Three (3) representatives from Commercial / Industrial sector.
One (1) representative from the Chamber of Commerce.
Promotes and facilitates economic development in the City of Fremont and enhances and supports current businesses in the City.
Milpitas
Economic Development and Trade Commission
Seven (7) commissioners
One (1) Councilmember
Six (6) representatives from:
Chamber of Commerce
Real Estate
Resident
Milpitas Unified School District/Education
Business
Technology and Trade
Advise the City Council on business issues, cultivate international trade relationships, and make recommendations on the design, development, and implementation of economic development in the City of Milpitas.
Palo Alto
In the process of hiring an ED Manager and in the planning stages to begin economic development meetings that are cohosted with the chamber, business owners, building owners, and the community.
Next Steps
City Council to review the proposed ordinance, provide feedback to staff, and conduct the first and second readings when appropriate. If approved, the Committee will convene once the members are appointed.
Sustainability Impact
No sustainability impact.
Fiscal Impact
While the EDC has not always met consistently in the past, this Ordinance will set a regular quarterly meeting schedule. With more consistency and structured functions, the EDC may require more staff time than in past years. However, this consistency and structure will be beneficial and worth the additional staff time costs. _____________________________________
Prepared by: Tina Kapoor, Economic Development Manager Reviewed by: Chris Jensen, City Attorney
Approved for Submission by: Dianne Thompson, Acting City Manager Attachments:
A – Draft Ordinance Adding Chapter 2.96 Economic Development Committee