TO: Mayor and Members of City Council
THRU: Kristoff Bauer, Deputy City Manager
FROM: Robert Van Geons, President & CEO, FCEDC
Andrew Pennick, Chairman of the FCEDC Board
DATE: November 13, 2018
RE:
Title
Fayetteville - Cumberland Economic Development Corporation Board Annual Report and Amendments to By-Laws
end
COUNCIL DISTRICT(S):
Council District(s)
All
b
Relationship To Strategic Plan:
FCEDC’s work and mission directly support “GOAL II: Diverse and Viable Economy”, of the City’s FY 2019 Strategic Plan, specifically “Objective B: To implement strategies that diversify the city’s tax base and increase the industrial and commercial tax bases” and “Objective C: To leverage partnerships for job creation and retention, with focus on local and regional workforce and increasing per capita income”
Executive Summary:
In the fall of 2015, the City of Fayetteville and Cumberland County entered into an interlocal agreement, creating the Fayetteville Cumberland Economic Development Corporation (FCEDC). In the last 18 months, FCEDC has worked with new and existing industries to announce over 1,100 new jobs and $56 million of new investment.
In addition to providing an update on the activities of the FCEDC, the FCEDC Board of Directors are requesting amendments to the By-Laws that would increase the size of the Board, change the timing for the election of Officers for the Board, and amend the address for the FCEDC’s offices.
Background:
The City Manager instituted that each Board/Commission will make an annual report to the City Council regarding the activities of their Board/Commission. The City appoints three voting members to FCEDC’s Board (Currently, Mayor Colvin, FCEDC Chairman Andrew Pennink, and Bobby Suggs), and one ex-officio member (City Manager Hewett).
Whereas the City Manager has instituted that each Board/Commission will make an annual report to the City Council regarding the activities of their Board/Commission, FCEDC appreciates this opportunity to update the City Council regarding our current efforts and the results generated over the past year.
Additionally, over the past year, the size of our Board, the ratio of appointments-to-funding and our operational calendar, have been topics of pragmatic discussion.
After considerable conversation and review, the FCEDC Board of Directors has adopted the attached amendments to our By-Laws, which require your approval to become effective. The unanimously passed amendments can be summarized as follows:
1. The number of City of Fayetteville and Cumberland County appointments shall increase from 3 (each) to 4 (each). Effective December of 2018, the County will appoint 4 members (with the Chairman or his designee being one), the City will appoint 4 members (with the Mayor or his designee being one), and 2 members will continue to be appointed by the private sector. Our Ex officio officers would remain the County Manager, City Manager, and Community College President.
2. Election of Officers will now occur at the July meeting: This is a change from our current practice of electing officers at the December meeting.
3. Amendment to FCEDC Address. The FCEDC By-Laws will now reflect our new office address of 201 Hay Street, Suite 401A, Fayetteville, NC 28301.
The Board of Directors believe this expansion will provide multiple operational benefits. Primarily, the appointment-to-funding ratio for our Board will more closely align with our operational resources. Currently, our funding is approximately 40% from Cumberland County, 40% from the City of Fayetteville, and 20% from other sources (private sector funding / grants / contracted services). With this update, each appointed member will represent approximately 10% of our funding. Subsequently, it will also help us ensure quorum for our meetings.
These amendments will allow us to tap a greater range of expertise, while also diversifying the industry sectors and perspectives represented by Board. Most importantly, it ensures additional opportunities for the City and County to appoint members from the broader business community and expand our engagement with local business leaders and stakeholders.
While Board Member terms will remain as they currently are (December - November), we believe that moving the election of officers to July will provide newly appointed members time to acclimate themselves, prior to being asked to serve as an officer (or support other Board Members for an Officers position). Additionally, officer terms will now coincide with our fiscal year. .
Issues/Analysis:
N/A
Budget Impact:
N/A
Options:
Receive the annual report and approve the changes to the FCEDC’s By-Laws as requested, or
Take no action and provide direction to staff.
Recommended Action:
Receive the annual report and approve the changes to the FCEDC’s By-Laws as requested
Attachments:
FCEDC Board Report to City Councill