ADMINISTRATIVE REPORT

Date: April 28, 1998

Author/Local: S. Kuzmick/7220

CC File No. 3143

TO:Standing Committee on City Services and Budgets

FROM:City Manager

SUBJECT:Vancouver Economic Development Commission

RECOMMENDATION

THAT Council approve payment of $15,000 to the Vancouver Economic Development Commission for services rendered for the first quarter of 1998.

COUNCIL POLICY

On September 14, 1995, City Council approved a number of recommendations concerning the future direction of the City's economic development activities, as follows:

·approval in principle of the formation of a permanent Economic Development Commission;

·the closure of the City's Economic Development Office; and,

·the formation of an Interim Economic Development Commission with instructions to develop the terms of reference and organization model for the permanent Economic Development Commission for report back to Council in the early new year.

In March 1996, Council approved the final form and structure of the Vancouver Evonomic Development Commission, and the work plan for the first year of operation. Further, Council authorized the Director of Legal Services to enter into a fee for services agreement with the Commission to provide certain services as outlined in their business plan.

The City entered into the first contract for services with the Vancouver Economic Development Commission December 1, 1996 for the 1997 calendar year.

PURPOSE

This report is to provide payment to the Vancouver Economic Development Commission for information services provided to the public for the first quarter of 1998. The Commission has been providing these services without a contract for 1998, and cannot continue these services without a source of bridge funding.

DISCUSSION

The Commission completed its first year of operation and the Contract for services with the City has expired as of December 31, 1997. The following areas of service were provided to the City through a the fee for service contract:

·dealing with information requests and referrals on economic development matters;

·coordinating the visits of incoming business delegations;

·coordinating the City's participation in outgoing trade missions; and,

·provision of policy advice and commentary on major economic development issues.

Council and staff have been evaluating the first year’s experience with the Economic Development Commission and its efforts, and have been meeting with the Commission to determine the future of the City’s role and involvement in the Commission, as well as to refine organizational processes and structures.

The review work has taken some time, and as a result, the Commission has been providing services to the public without a contract with the City. The Commission has been funding these services from reserves, and is not able to continue providing them without additional funding.

In order to recognize the work already provided in 1998, and to provide bridge funding until Council can make a final decision on the Commission’s proposed work plan and contract, staff recommend that a payment of $15,000 for services provided in the first quarter of 1998 be made to the Commission. This will ensure that on-going programs and services can be maintained. This payment would reduce the amount payable under any contract for services with the Commission.

CONCLUSION

Because of delays caused by the City’s review of the Commission, the Commission has had to keep operations and services to the public open without a contract or source of funding. If the Commission does not get some form of interim funding prior to Council considering their work plan and contract proposal, these services to the public and ongoing programs will be put in jeopardy. Therefore, the City Manager recommends that the Council be paid $15,000 for services already delivered in the first quarter of 1998, with this amount offset against any amount agreed to under a contract for services with the Commission.

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(c) 1998 City of Vancouver