HomeMy WebLinkAboutItem 04City of Lakeville
Community & Economic Development
Memorandum
To: Mayor and City Council
Justin Miller, City Administrator
From: David L. Olson, Community and Economic Development Director
Copy: Economic Development Commission
Rick Howden, Economic Development Specialist
Date: November 21, 2016
Subject: Draft 2017-19 Strategic Plan for Economic Development
The City’s current three year Strategic Plan for Economic Development runs through the end
of 2016. For the past three strategic plans over the last ten years, the City has brought in an
outside facilitator to assist in the process. Mr. Rapp facilitated the Envision Lakeville process
in 2013 and subsequently facilitated the process later that year for the development of the
current 2014-16 Strategic Plan for Economic Development. Staff will provide a brief
presentation of the status of the Strategic Priorities of 2014-16 Plan at the Work Session on
Monday.
Earlier this year the City retained Craig Rapp with Craig Rapp LLC to facilitate the process for
the next three year plan. The proposed project approach is similar to the last plan he assisted
the City with. The process included an analysis of Strengths- Weaknesses – Opportunities –
and Threats (SWOT), questionnaires completed by City Council Members, EDC Members and
City staff followed by two work sessions held by the EDC in September and October. Mr. Rapp
is also currently facilitating a strategic economic development planning process for the
Dakota County CDA. Tony Schertler, Executive Director of the CDA will be providing the City
Council with an update on the status of this planning effort at Monday’s meeting.
The current draft 2017-2019 Strategic Plan for Economic Development identifies the
following four Strategic Priorities:
• Business Retention and Expansion
• Maintain a Competitive Edge
• Housing to Support Economic Goals
• Workforce
For each Strategic Priority the draft plan identifies Desired Outcomes, Key Outcome
Indicators, and Targets listed on Page 3 of the proposed plan. The Strategic Initiatives to
accomplish the performance Targets included in the draft plan would be completed by City
staff after the City Council and EDC are comfortable with the other portions of the proposed
draft plan. This would hopefully be completed by the end of January 2017.
Recommended Action: Staff is requesting City Council input on the proposed Draft Strategic
Plan for Economic Development to ensure that the recommendations of the EDC included in
this draft document are consistent with the Council’s priorities.
DRAFT
2017-2020 Strategic Plan
Summary Report
November 2016
Economic Development Commission
DRAFT
November 17, 2016
RE: FY 2017-2020 Strategic Plan- Lakeville Economic Development Commission
Dear Chair Starfield,
I am pleased to present this FY 2017-2020 Strategic Plan and Summary Report to the Lakeville
Economic Development Commission. The plan reflects the Commission’s commitment to
strategic thinking, measurable results and the delivery of quality services.
Thank you for the opportunity to assist the EDC with this project. You, the Economic
Development Commission and senior staff are to be commended for your dedication and
effort.
I also want to thank Community and Economic Development Director Dave Olson, and
Economic Development Specialist Rick Howden for the help and support provided during the
process.
Yours truly,
Craig R. Rapp
President
40 East Chicago Avenue #340, Chicago, IL 60611
800-550-0692• www.craigrapp.com
DRAFT
Table of Contents
Executive Summary .............................................................................................................. 2
Strategic Plan Summary 2017-2020 ............................................................................................... 3
Lakeville EDC Strategic Planning Process .................................................................................... 4
Assessing the Environment, Setting Direction ............................................................................ 4
Defining Strategic Priorities .......................................................................................................... 7
Key Outcome Indicators By Priority ............................................................................................. 7
Implementing the Vision: Developing Strategic Initiatives and Action Plans ............................ 8
Strategic Planning Participants..................................................................................................... 10
DRAFT
Executive Summary
On Thursday, September 29, and Thursday, October 27, 2016 the Lakeville Economic
Development Commission and senior staff engaged in a strategic planning process. The
sessions yielded a draft strategic plan for the three-year period 2017-2020.
The strategic plan consists of a set of four strategic priorities, which are the issues of highest
priority for the next three years. Within each strategic priority is a set of desired outcomes,
key outcome indicators, and performance targets, which describe expected results and how
the results will be measured. To ensure the follow-through, the plan also includes a list of
strategic initiatives, which define the actions that will be taken to achieve the targeted
outcomes.
At the initial planning meeting on September 29, the group reviewed their operating
environment and identified a list of economic development challenges facing the community.
Based upon those challenges, on October 27, the group identified a set of strategic priorities
for the performance period. This was followed by the development of a set of key outcome
indicators (KOI’s) for each priority, which defined desired outcomes and measurable targets.
During the month of December, city staff developed the initiatives and action plans
necessary to achieve each of the targeted outcomes.
The strategic priorities, key outcome indicators, and strategic initiatives are summarized on
the following page.
2
DRAFT
Lakeville EDC- Strategic Plan Summary 2017-2020
3
Strategic
Priority
Desired
Outcome
Key Outcome
Indicator (KOI) Target
Strategic Initiatives
Business
Retention
and
Expansion
Limit loss of existing
business
-Lakeville business
inventory
-Bldg. permits
No net loss over three
years
Lakeville is the first
choice for
expansion
-Business expansion &
relocation lists
> __% current businesses
expand rather than
relocate
Have a clear
understanding of
relocation and
expansion decisions
-Interview results
-Expansion & relocation
reports
> __% of all businesses
report on relocation and
expansion decisions
-EDC and City Council
understand relocation
and expansion
requirements
Maintain a
Competitive
Edge
Be the community
of choice
Competitive data on
development decisions Increase
wins/conversion rate by
___
Be the community
of choice
-Industry evaluations
- Survey results Improve RE industry
opinion by __%
Housing to
Support
Economic
Goals
Balanced housing
options to support
market demands
Housing inventory 250 additional higher
density units that
address needs
Housing developed
in areas that
stimulate/enhance
commercial
development
Sites that leverage
commercial
development
2 sites developed
Policy guidance in
place to achieve a
variety of housing in
the city
-Policies
-Comprehensive plan
New comp plan update
w/ new provisions &
zoning ordinance
changes-by end of 2019
Workforce
More quality jobs -DEED reports
-Incentives reports
200 new jobs paying
over $60k/yr.
Improved access to
specialized training
& education
-List of available
providers
A commitment for a
higher education
campus
DRAFT
Strategic Planning Process
Strategic planning is a process that helps leaders examine the current state of the
organization, determine a desired future state, establish priorities, and define a set of actions
to achieve specific outcomes. The process followed by the Economic Development
Commission was designed to answer four key questions: (1) Where are we now? (2) Where
are we going? (3) How will we get there? (4) What will we do?
Assessing the Current Environment, Setting Direction
On Thursday, September 29, the Lakeville Economic Development Commission began the
strategic planning retreat by discussing the need for a compelling vision, or “Why?” As a
result of that discussion, the group reviewed the current community vision statement
developed for Envision Lakeville, and concluded that it fairly represented their “Why”. The
statement follows:
City of Lakeville Vision:
“We envision a thriving, multi-generational community where families, friends, and
neighbors connect, live, learn, work, and play. Great schools; a diverse local economy;
exceptional parks, trails, and recreational opportunities; vibrant social and cultural
institutions; safe neighborhoods; and responsive and cost- effective public services—
together create a place we are proud to call home.”
The group then turned to a discussion of the City’s values and mission statements, along with
the mission statement of the EDC to ensure that they were aligned. Again, upon review, they
agreed that the EDC’s mission statement aligned well with the mission and values of the City
of Lakeville. The City’s Mission and Values statements, and the EDC mission statement follow:
City of Lakeville Mission:
The City of Lakeville provides the foundation for healthy neighborhoods and successful
businesses by investing in:
• Comprehensive planning
• High quality and efficient services
• Citizen participation
• Effective partnership
City of Lakeville Values (from Envision Lakeville):
Diversified Economic Development
• We value the stability and independence provided by a strong, diversified local
economy.
Good Value for Public Services
• We value high-quality public services delivered cost effectively.
Safety Throughout the Community
• We value living in a community where people feel safe everywhere they go.
4
DRAFT
Design That Connects the Community
• We value a well-designed community and we place a priority on development that
enhances connectivity and accommodates our changing needs.
High Quality Education
• We value and are committed to high quality education that sets us apart.
A Home for All Ages and Stages of Life
• We value living options for people of all ages and stages of life.
A Sense of Community and Belonging
• We value the sense of belonging that comes from our traditions and institutions, and
we strive to support and preserve them.
Lakeville Economic Development Commission Mission:
“The EDC develops strategies and communicates benefits that will make Lakeville the best
choice for decision-makers considering business location and expansion.”
Reviewing the Environment, Setting Strategic Priorities
Following the review of the vision, mission and values, the Commission began the process of
developing the strategic plan. The first step taken in the process was an assessment of the
environment within which the City operates. This was done via a SWOT (Strengths,
Weaknesses, Opportunities, and Threats) analysis: a process that examines the
organization’s internal strengths and weaknesses, as well as the opportunities and threats in
the external environment. To facilitate this, a SWOT questionnaire was distributed to the
Commission and senior staff in advance of the planning session. The SWOT process revealed
the most frequently mentioned characteristics in each area:
STRENGTHS
• Affluent community
• Great infrastructure, including:
o Location
o Rail, airport, highways
o Governance
o Public safety
o Education-highly educated/skilled workforce
• Potential availability for residential and commercial development
WEAKNESSES
• Housing
o Affordability
o Variety/Diversity
• Labor
o Workforce training
o High skill/high wage jobs
o Overall labor availability
OPPORTUNITIES
• Available land
• Incentive packages 5
DRAFT
• Population growth supporting retail
• Housing growth/types and options
THREATS
• Compete (ability to)
o Infrastructure—roads, County/State, technology access, high tax state,
County culture, finance
o Incentives
o Regulations
o Increasing cost of land
o Real estate market
o Development costs
• Workforce
o Housing available products
o Current unemployment rate(s)
o Skill gap
o Aging populace
o Public transportation
• Outside Influences
o Economic setbacks-national/political-recession
o State available assistance/impacts—tools, etc.
o Met Council policy
The group then engaged in an exercise using the summarized SWOT data. They compared
strengths with opportunities and weaknesses with threats, to determine which opportunities
would maximize strengths, and which weaknesses would be exacerbated by the threats. This
effort helped to crystalize the current challenges and opportunities facing the community.
The results of this analysis are listed below:
STRENGTHS-OPPORTUNITIES
(Make good things happen)
• Pursue commercial/retail development
• Develop a variety of housing options
• Provide strategic incentives to facilitate residential, commercial and industrial
development
WEAKNESSES-THREATS
(Keep bad things from happening)
• No workforce “match”
o Existing residents – skillset
o Existing business’ needs
• Transportation to jobs
• Housing to meet needs
• Need to maintain competitive “edge”
6
DRAFT
Following this exercise, the group examined the results, and then engaged in additional
brainstorming to identify a broad set of economic development issues and challenges facing
the community:
ISSUES/CHALLENGES
• Housing
• Transportation
• Commercial/retail development
• Workforce matching needs
• Competitive edge/position
• Jobs to match existing/growing population
• High land costs
• High development costs
• Met Council/outside mandates
Once the current challenges were identified, the group discussed the issues that were most
important to the community over the next three years to meet those challenges. From that
discussion, a set of four Strategic Priorities emerged. They are:
STRATEGIC PRIORITIES
1. Business retention and expansion
2. Maintain a competitive edge
3. Housing to support economic goals
4. Workforce
Determining Success: Defining the Desired Outcomes, Key Indicators, and Targets
After identifying strategic priorities, the group developed a set of desired outcomes for each.
Once the outcomes were established, Key Outcome Indicators (KOI’s) were defined and
Performance Targets were developed. KOI’s are things that are measured or tracked to
monitor progress toward desired outcomes. Performance Targets define successful
outcomes, expressed in measureable terms.
The alignment created between priorities, outcomes and targets is important, not only for
clarity, but also for maintaining a disciplined focus on the desired results.
Key Outcomes, Indicators, and Targets, by priority are:
1. Business retention and expansion
a. Outcome: Limit loss of existing business; KOI: Lakeville business inventory, building
permits; Target: No net loss over three years
b. Outcome: Lakeville is the first choice for expansion; KOI: Business expansion &
relocation lists; Target: > __% current businesses expand rather than relocate
7
DRAFT
c. Outcome: Have a clear understanding of relocation and expansion decisions; KOI:
Interview results, expansion & relocation reports; Target: > __% of all businesses
report on relocation and expansion decisions, EDC and City Council understand
relocation and expansion requirements
2. Maintain a competitive edge
a. Outcome: Be the community of choice; KOI: Competitive data on development
decisions; Target: Increase wins/conversion rate by ___%
b. Outcome: Be the community of choice; KOI: Industry evaluations, Survey results;
Target: Improve RE industry opinion by __%
3. Housing to support economic goals
a. Outcome: Balanced housing options to meet market demands; KOI: housing
inventory; Target: 250 additional higher density housing units that address needs
b. Outcome: Housing in areas that stimulate/enhance commercial development; KOI:
sites that leverage commercial development; Target: 2 sites developed
c. Outcome: Policy guidance in place to achieve a variety of housing in the city; KOI:
policies, comprehensive plan; Target: New comp plan update w/ new provisions &
zoning ordinance changes-by end of 2019
4. Workforce
a. Outcome: More quality jobs; KOI: DEED reports, incentive reports; Target: 200 new
jobs paying over $60k/year
b. Outcome: Improved access to specialized training & education; KOI: List of available
providers; Target: A commitment for a higher education campus
Implementing the Vision: Developing Strategic Initiatives and Action Plans
To successfully address the strategic priorities and achieve the intended outcomes expressed
in the performance targets, it is necessary to have a focused set of actions, including detailed
implementation steps to guide organizational effort. The Economic Development
Commission will accomplish this through strategic initiatives for each priority. Strategic
initiatives are broadly described, but narrowly focused activities that are aligned with the
priorities, and targeted to the achievement of outcomes expressed in the KOI’s.
In December, senior staff developed a set of strategic initiatives, and detailed action steps,
summarized below:
1. Business retention and expansion
a.
b.
c.
8
DRAFT
2. Maintain a competitive edge
a.
b.
c.
3. Housing to support economic goals
a.
b.
c.
4. Workforce
a.
b.
c.
9
DRAFT
Strategic Planning Participants
The strategic plan was developed with the hard work and dedication of many individuals. The
Commission, with its foresight and dedication led the way, taking time out their schedules to
commit to long-term thinking. They defined a direction and a set of outcomes that are
important to the community. The senior staff supported the Commission and offered
challenges to conventional thinking.
Economic Development Commission
Glen Starfield, Chair
Lowell Collman, Commissioner
Jim Emond, Commissioner
Bob Gillen, Commissioner
Sheila Longie, Commissioner
Jack Matasosky, Commissioner
Steve Rajavouri, Commissioner
Quenton Scherer, Commissioner
Tom Smith, Commissioner
Daniel Vlasak, Commissioner
City Administration-Department Staff
Justin Miller, City Administrator
David Olson, Community and Economic Development Director
Rick Howden, Economic Development Specialist
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