Economic Development Commission

ECONOMIC DEVELOPMENT COMMITTEE CITY OF DEKALB March 17, 2015 The Economic Development Committee of DeKalb, Illinois, held a regular meeting on Tuesday, March 17, 2015, in the Haisch conference room of the DeKalb Municipal Building, 200 South Fourth Street, DeKalb, Illinois. Ata Shakir, Chair, called the meeting to order at 3:35 p.m. ROLL CALL: Economic Development Director Ellen Divita recorded the roll and the following members of Economic Development Committee were present: Ata Shakir, Chair, Sheela Prahlad, and Tom Teresinski. Also present were; Matt Duffy, DeKalb Chamber of Commerce and Paul Borek, DCEDC. APPROVAL OF AGENDA: MOTION Mr. Teresinski moved to approve the agenda; seconded by Ms. Prahlad. Motion carried 3-0 by voice vote (Aye: Prahlad, Shakir, and Teresinski). Chair Shakir declared the motion passed. APPROVAL OF MINUTES: MOTION Mr. Teresinski advised he would be abstaining, not having been at the meeting. Ms. Prahlad moved to approve the minutes of April 30, 2013; seconded by Chair Shakir. Motion carried 2-0- 1 by voice vote. Chair Shakir declared the motion passed. OLD BUSINESS: None NEW BUSINESS 1. INTRODUCTION OF COMMUNITY DEVELOPMENT DIRECTOR ELLEN DIVITA AND COMMISIONERS. Chair Shakir welcomed City Community Development Director Ellen Divita. Introductions were made by all present. Ms. Divita was previously with the City of Geneva, serving for 7 years as the Director of Economic Development. The DeKalb Community Development Department will be comprised of Building, Code Maintenance, CDBG, Long Range Planning, Zoning review and Economic Development work. Ms. Divita identified some of the opportunities and challenges she has observed in her situational analysis: the City lacks small space rental space for business start-up, there is little office space, and conversion of rooming houses to single family housing could be a positive, though economics may preclude. Mr. Borek echoed the increase demand for small space flex space with little available inventory; he also noted there is only one 30,000 s.f. industrial building but it is land locked and subsequently has been passed over in favor of others  Economic Development Committee Meeting Minutes March 17, 2015 Page 2 of 4 with room to grow. Discussion ensued on available space. Ms. Divita noted that one restaurateur had indicated the loss of the downtown clinic had significant impact on restaurant business as it was a loss of 200 jobs and those there for appointments. 2. DISCUSSION ITEM: DESCRIBE THE FIVE MOST PRESSING CHALLENGES OR KEY BARRIERS TO OUR COMMUNITY’S REVITALIZATION AND ECONOMIC GROWTH. Ms. Divita explained the Frontier Communications grant program and explained the City is submitting a grant application. The grant will be scored in four areas including context and commitment, economic development work, vision, and community identity. She has been talking with community members regarding the questions. She asked the group if they would discuss their thoughts on the five most pressing challenges or key barriers to the City’s revitalization and economic growth. Discussion and brainstorming ensued on the question at hand –barriers. Topics covered included:  Lack of Housing Starts. Why aren’t they happening? Ms. Divita, Mr. Duffy, and Mr. Borek shared with the group recent conversations they have had regarding the need to promote the positives of the community. They had met with taxing body reps to discuss community marketing and collaborative opportunities. NIU has compiled a page called “Rankings and Recognitions” and they hope to compile similar items and success stories as they would relate to all taxing bodies and areas across the community. At this meeting discussion turned to the concept of “Place making.” So much happens in DeKalb including music and art programs; science programming, seminars, and competitions; cultural events; and sporting activities and competitions.  Changing socioeconomics and increased poverty in the community.  Housing prices and inability to sell because an owner is “under water,” and then possibly renting the home. The City is in need of a “Housing Strategy.”  The potential for direct train access to the Chicago market and whether this is a positive or negative. There is fear of connection. Mr. Borek noted the City had been dropped from consideration for several recruitment projects because companies weren’t certain they could attract top talent though some perceive DeKalb to already be connected to the Chicago metro and the drive to not be significant. He said many of our larger employers have employees who remain living to the east as they felt their families were “already rooted there.” The group noted the increasing “criss-cross” and leakage of dollars, jobs, and residents “both ways.”  Perception of the schools, accurate or not, needs to be addressed. With all the positives such as music and art programs and Advanced Placement classes, class sizes are rising.  The trickle-down effect from a decreased enrollment and that impact on our largest employer, NIU, was noted. Student preferences has led to decreased demand for four bedroom apartments, though anecdotally, demand is stronger for one and two bedroom units.  Economic Development Committee Meeting Minutes March 17, 2015 Page 3 of 4  Out of the City’s control is the fiscal health of the State. This has been a barrier for the City to compete with other states for business location. It is hoped the Enterprise Zone will level that field and help competitiveness for the city against other towns, and against other towns to the east.  The group identified positives in the City: rankings and recognitions of NIU, 44 parks, and 16 AP class offerings, the NIU Business School, a new High School, Cancer Center, Hospital, $12 million invested downtown, and new Police Station. There is a belief that if asked if folks wanted to learn more about a town with those qualities, the respondent may be surprised to hear the town is DeKalb. We need to define ourselves and define our assets and attributes.  Effects of the recession on staffing at all taxing bodies and the newspaper was discussed. A need to start and stop meetings (including Council meetings) with a positive story was suggested as a way to begin a positive conversation in the community. When businesses consider relocation they will come to a community anonymously and ask questions – they will visit coffee shops and talk to random folks. This lead to discussion of negative rants on social media. The discussion turned to the next question on the grant application: “what has the City done in the past five years to address these barriers?”  Improved relations with the City and NIU has led to an atmosphere of collaboration “We’re in this together” is an attitude for the benefit of the community. A strong inter City-NIU liaison is viewed as a necessity.  The restructuring of the Police Department is a positive. Crime Free Housing is also a positive, as a tool for landlords to learn of illegal activity by tenants, and as a means to evict tenants that are not law abiding.  The Enterprise Zone application process was a positive process and achieving EZ status is seen as a means to combat State non-competitiveness and to help the City compete with towns to the east.  There are many success stories of business expansions: o DeKalb Forge has one of the top engineering divisions o 3M o Right Point has built their 3rd building o Nehring and Conex Cable o HA Phillips built and expanded immediately o SK Express o The Hospital o Library expansion o Downtown investment CONSIDERATIONS: None.  Economic Development Committee Meeting Minutes March 17, 2015 Page 4 of 4 REPORTS: None. ADJOURNMENT: MOTION Mr. Shakir moved to adjourn the meeting at 4:53 p.m.; seconded by Ms. Prahlad. Motion carried 3-1-0 by voice vote. Chair Shakir declared the motion passed. Respectfully Submitted, Ellen Divita, Director of Community Development