HomeMy WebLinkAbout639-OBDATE: November 18,2002
TO: Planning Commission and City Council
FROM: Stephen C. Richardson, Planning Manager
SUBJECT: Consider a request for approval of the Economic Development Plan Element of the
Comprehensive Plan.
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The Planning Manager recommends approval of this request.
The City Charter requires that each of the four elements of the Comprehensive Plan be re-
adopted every two years. As a result, the currently adopted Economic Development Plan was
re-evaluated and minor changes made. Staff is now asking that the Planning Commission and
the City Council adopt the Economic Development Plan as submitted.
The Economic Development Plan element of the Comprehensive Plan provides general policy
guidance on addressing economic growth to the Planning Commission, City staff and City
Council.
While the City contracts with the Beaumont Chamber of Commerce for various economic
development activities, the City will continue to leverage the resources available to it to attract
private sector investments which will create or retain jobs and/or increase the tax base,
The Economic Development Plan element recognizes the need for the City to cooperate with
the Chamber of Commerce, the Partnership of Southeast Texas, the Convention and Visitors
Bureau, BUILD, Inc./Beaumont Main Street, Entergy and other groups in marketing Beaumont
as a business location and tourist destination. It also recognizes that quality of life issues are
important when encouraging a climate which facilitates business growth and sustainability.
Exhibits are attached
HUM
AN
ELEMENT OF THI
CONTENTS
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Definition QfEconomic D......................... .......................... ............... ........ ......... 3
Introduction.......................... ...... --- ....... .............. ........ _............................ ............ ........... *
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(�bi(x��es and Po�cieS..-----_-----------------~.-----------.
LongRange Strategies .............................................. .......... ........................ ................. ....... l2
DevelopmentOf8DAction Plan ..................................................... ............................. ............. I2
Expected Results, Implementation .________~.___._____,.,..______---.l2
PREFACE
On April 5, 1986, Beaumont's voters approved a major update of the City Chat -ter. Most of the
Charter revisions were intended to improve the way the City Government carries out its
responsibilities to the community.
One important change was a requirement for a new component to the City's Comprehensive Plan.
The Comprehensive Plan provides, in written and graphic form goals, objectives, policies and
proposals for Beaumont's future physical growth and development. Elements of the Plan address
land use, transportation, and parks, recreation and open space.
In the Charter election, the citizens voted to add an Economic Development element to the
Comprehensive Plan. The new element was proposed by the City staff for two major reasons. First,
most of the physical development policies and proposals contained in the Comprehensive Plan are
closely tied to the related trends of employment and population growth. The physical development
goals of the Plan cannot be achieved without expansion of Beaumont's economy, Second, the state
of the economy is the most important development issue in Beaumont in terms of its direct effects
upon the present and future quality of life of all citizens.
With its adoption, the Economic Development Policy Plan will provide general policy guidance to
the Planning Commission, City staff, and City Council.
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DEFINITION OF ECONOMIC DEVELOPMENT
Economic development is a widely discussed, but not always understood, concept. Economic
development is often seen as the attraction of new industries. While attraction of new industry is
certainly a worthwhile goal and should be an important part of any comprehensive economic
development program, there should be activities designed to retain and expand existing businesses
and industries and to create entirely new businesses. Research indicates that most industrial
relocations involve moving to a new site within the same metropolitan area and that the number of
organizations in the United States actively soliciting industrial prospects greatly exceeds the number
of new industrial plants built each year, Most economic development practitioners agree that efforts
at industrial retention/expansion and development of new small local businesses and industries often
offer the greatest potential for successful economic development. Economic development also
involves strategic planning: setting goals, determining the competitive strengths and weaknesses of
the area economy and devising a course of action to achieve the desired goals.
For the purpose if this plan, economic development is defined as follows:
ECONOMIC DEVELOPMENT IS THE PROCESS OF USING PUBLIC
AND PRIVATE RESOURCES TO CREATE NEW JOBS. THIS IS DONE
THROUGH INDUSTRIAL ATTRACTION, EXPANSION OF EXISTING
BUSINESSES AND INDUSTRY, AND CREATION OF NEW BUSINESS
ENTERPRISES.
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An Economic Development Policy Plan has been prepared to provide City Council with a policy
framework for addressing the strategic issue of economic growth, The City of Beaumont contracts
with the Beaumont Chamber of Commerce for various economic development activities such as
marketing analysis and strategies for business retention.
The Economic Development Policy Plan consists of goals, objectives, policies, and proposals for
guiding Beaumont's future economic growth and development, The strategy was developed
following an inventory and analysis of the characteristics of Beaumont's economy, obstacles to
economic growth, opportunities for new employment, and Beaumont's competitive position in terms
of locational attributes and business climate.
The economic development policies are based on one goal: to increase the total number of permanent
jobs available to citizens of Beaumont and the southeast Texas region. Five objectives have been
identified to address this goal, and policies have been drafted to meet each objective.
One of the most effective economic development functions for a local government is to identify
barriers to economic growth and, where possible, remove or reduce these barriers. Specific
opportunities include:
continuing to simplify and streamline City regulations and permitting procedures
affecting business expansion,
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providing leadership in developing a community attitude of unity and determination
in strengthening the area economy.
There are several very significant resources Beaumont can build on in strengthening the local
economy:
0 Access to a population of 385,000 in the three county, Beaumont/Port Arthur
Metropolitan Statistical Area (MSA). Located less than 90 miles from Houston,
there are 31 million people within one day's driving time. This provides a good
market base for specialized or high -quality retailing, health and other professional
set -vices, and "day -trip" tourism, The population of the "expanded market area" is
also an asset in providing a large labor market for potential new industry and for
providing a sizable market for wholesaling and distribution activities.
0 The labor force in the Beaumont area includes a diversified mix of skilled, unskilled,
and trainable workers.
• According to local industrial real estate specialists, there is a more than adequate
supply in Beaumont of industrial and commercial development sites with adequate
utilities and good transportation access.
0 A widely diversified transportation system serves the area with freeway, rail,
international port, and aircraft transportation.
0 Unlike other regions in the southwest, the Beaumont area has a large reliable supply
of fresh surface water,
• Lamar University provides the nucleus of new research and technology oriented
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businesses.
0 Lamar Institute of Technology provides the Beaumont -Port Arthur MSA with an
exceptional Workforce Training Program, Lamar has partnered with business and
industry in Southeast Texas to build a better workforce. Customized training
programs are established to assist industry in training it's employees.
Lamar Institute of Technology is the fastest growing of the 140 established colleges
and universities in the State of Texas, Lamar Institute of Technology offers 27
degree and 22 certified programs.
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GOAL: INCREASE THE NUMBER OF PERMANENT JOBS
AVAILABLE TO CITIZENS OF BEAUMONT AND
SOUTHEAST TEXAS
Emphasis should be placed on value added jobs which are most likely to lead to further job creation.
Jobs in "export" industries bring money into the region through production of goods or services that
are exported outside of Beaumont. These jobs, which are generally relatively highly paid, create
spendable household income, generating new jobs in sales and services.
Beaumont also needs jobs which can be filled by workers who were previously employed in shipyards,
refineries, and chemical plants. These skilled workers are among Beaumont's most valuable
economic resources and will leave the area if new job opportunities are not developed.
Because of an especially high unemployment rate among Beaumont's sizable minority population,
entry-level jobs with on,the-job training are needed to bring unskilled workers from low-income
backgrounds into the work force.
WHERE WILL THESE JOBS COME FROM? New jobs come fi-om three sources;
I ) expansion of existing businesses
2) creation of new, entrepreneurial enterprises
3) attraction of plants or businesses from outside the community.
Research indicates that expansion of existing businesses and creation of new entrepreneurial
enterprises account for 80% to 90% of all new jobs.
OBJECTIVE NO. I MAINTAIN AN EFFECTIVE ROLL, FOR THE
CITY OF BEAUMONT IN THE ECONOMIC
DEVELOPMENT PROCESS.
policy 1.1 Role of the City
The City will continue to serve in a leadership role in the following areas of economic
development:
a) strategic planning — analyzing Beaumont's competitive strengths and weaknesses
in the world economy and then taking aggressive action to capitalize on the strengths
and overcome the weaknesses.
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b) legislative advocacy — working closely with Jefferson County, The Port of
Beaumont, Drainage District #6, the Jefferson County Navigation District, BISD,
other municipalities in the region, and other State and Federal elected officials to
secure major funding assistance and to enact or change laws to increase the strategic
competitiveness of the local/regional economy.
c) leveraging and public/private partnerships — using the limited resources available
to the City government, such as grants, development incentives, infrastructure, land,
and staff to attract private sector investments which will create or retain jobs and/or
increase the tax base.
d) develop and communicate a vision of the future — the City's elected officials and
staff must motivate the community to set its sights on the goal of becoming a first-
class medium-sized city with a quality of life capable of attracting new private
investment and population.
The City will serve in a leadership and cooperative role in the following areas, participating actively
and lending whatever support is needed to other members of the economic development network:
a) promotion: assisting the Chamber of Commerce, the Partnership of Southeast Texas,
the Convention and Visitors Bureau, BUILD, Inc/Beaumont Main Street, Entergy,
and other promotional groups in marketing Beaumont as a business location, tourist
destination, etc.
b) business attraction: working cooperatively with the Chamber of Commerce in
competing for new industry.
Policy 1.2 The City's Commitment
The City will commit the assets it has available — staff, incentives, land, taxing authority,
infrastructure, tax-exempt bonding authority, and access to State and Federal grants —to the
local and regional economic development efforts.
The City will also strive for excellence in conducting its basic responsibilities of providing
public services and infrastructure, recognizing that an efficient, competent and responsive City
government is one of the prerequisites for economic growth of a community.
Allocation of resources for construction of new or the repair or extension of existing city
infrastructure and new or revised city services will be implemented on the basis of need;
however, the impact of such actions on the economic development of the city as a whole will
be considered of overriding importance when deciding where to allocate the city's resources
among areas which are of equal need.
H1.
Policy 13 Public Return on Investment
The City will examine the potential return on the public's investment when determining where and
how its limited resources will be committed. Return on public investment will be measured in terms
of jobs created, jobs retained, and broadening of the tax base.
OBJECTIVE NO. 2 ENCOURAGE A CLIMATE WHICH
FACILITATES BUSINESS GROWTH AND
SUSTAINABILLITY
Policy 2.1 The City of Beaumont recognizes that the degree of cooperation and support of local
government plays a major role in business location and expansion decisions. The City
resolves to improve both its efficiency and effectiveness in providing assistance and
services to business.
Policy 2.2 The City of Beaumont will be committed to improving the quality of life for current
and future residents.
In recognition of the connection between economic development, the quality of life
or livability of a city, and the development of a favorable sense of place among
residents and non-residents alike, the City supports the inclusion of "quality of life"
and "environmental quality" considerations in making planning and development
decisions,
Visual community appearance considerations in the City's planning and development
efforts are to be considered important economic development actions which will
improve Beaumont's ability to attract new businesses and employment opportunities.
In realization of the fact that investing in the overall improvement in the quality of life
or livability of the city is not a goal which can be achieved overnight, the city will
concentrate its resources on the cleanup and rehabilitation of selected neighborhoods
and on the development and implementation of urban design plans for selected open
space, street corridor, and city entrance or gateway areas.
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OBJE CTIVE NO. 3 ATTRACT NEW BUSINESSES AND
INDUSTRIES TO THE BEAUMONT AREA
Policy 3,1 The City will work with the Chamber of Commerce, the Partnership of Southeast
Texas and other economic development groups in a team effort to bring new
businesses and industries to the Beaumont area.
Policy 3.2 Efforts to attract new business and industry will be targeted on industries whose
locational needs are consistent with the Beaumont area's locational attributes.
Policy 3.3 Continue to promote the Beaumont area's resources and quality of life factors
through the efforts of the Beaumont Convention & Visitors Bureau.
OBJECTIVE NO. 4 RETAIN AND EXPAND EXISTING
BUSINESSES AND INDUSTRIES
Policy 4.1 The City of Beaumont recognizes that existing businesses and industries are the
community's most important economic resources and will support the efforts of
existing businesses to expand and improve operations,
Policy 4,2 An "outreach" program to foster continuing open lines of communication between the
city government and existing businesses and industries will continue.
OBJECTIVE, NO. 5 STIMULATE THE CREATION OF NEW
BUSINESS
Policy 5.1 Continue the City's Small Business Revolving Loan Fund which provides financing
assistance for new businesses having difficulty in obtaining conventional financing.
Policy 5,2 Continue work with the Small Business Center at Lamar University, which assists
start up businesses and processes applications for the City's Small Business Revolving
Loan Fund.
[IN
OBJE, CTIVE NO. 6 IMPROVE THE COMPETITIVE
ADVANTAGES OF THE BEAUMONT AREA
ECONOMY
Policy 6.1 The City of Beaumont will assume a role of partnership with local business and
industry in competing with producers in other regions, states and countries. This
means City actions involving taxes, infrastructure, regulations and development
incentives will focus on making it easier, more efficient and more advantageous for
doing business in Beaumont.
Policy 62 Expand the scope of Beaumont's market area by capitalizing on the city's role as a
regional center oftrade, professional services, entertainment, distribution, and medical
services,
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LONG RANGE STRATEGIES
Maintain an equitable and moderate tax rate. This can be achieved by
broadening and diversifying the tax base.
Improve Beaumont's quality of life by developing and improving
recreation, health, education, and employment opportunities.
Improving the quality of life will also require improvements in the
environment and the physical appearance of the city.
Successfully pursuing these long-range strategies will make Beaumont more attractive as a place
to relocate, expand, or start a business venture.
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