HomeMy WebLinkAboutHCD MOU - 2Attachment 2
California
Enterprise
Zones
MEMORANDUM OF UNDERSTANDING
BETWEEN THE
CALIFORNIA ENTERPRISE ZONE PROGRAM
AND THE
SAN DIEGO REGIONAL ENTERPRISE ZONE
An agreement establishing the San Diego Regional Enterprise Zone pursuant to the
California EnterpriseZone Program:
I. PURPOSE OF AGREEMENT
This Memorandum of Understanding (hereinafter "Agreement") constitutes
official notification of the designation of the San Diego Regional Enterprise Zone
(the "Contractor") under the California Enterprise Zone Program (the "Program")
administered byltie/8t0t,of California's Department of Housing and
Community Development/
The Program is authorized and overnedby California Government Code
Section707,Q,et seq. (the''':Prog9ram/ Statutes") and the California Code of
Regulations, Title 25, Section 8430, et seq. (the "Program Regulations") all as
amended from time to time. In accepting this designation, the Contractor
agrees to comply iivittE, (a) the Program Statutes; (b) the Program Regulations;
(c) the, representation'/Contained,in the Contractor's Application made in
response to the Request for Proposal (the "Application"), which is hereby
incorporated into this Agreement; and (d) the terms and conditions of this
Agreement and its Supplement.
2. DEFINITION OF TERMS
Capitalized terms as used in this Agreement have the following definitions:
A. "Act" means the Enterprise Zone Act, as defined in Government Code
Section 7070.
B. "Department" means the State of California's Department of Housing and
Community Development (HCD) or its successor. HCD has legislative
authority and responsibility for the Enterprise Zone Program.
C. "Agreement" means this Memorandum of Understanding.
San Diego Regional Enterprise Zone
Memorandum of Understanding
Page 2 of 9
D. "Application" means San Diego Regional Enterprise Zone's Application
submitted to the Department.
E. "Audit" means any program performance audits of the San Diego Regional
Enterprise Zone conducted by the Department, including an audit as
described in Government Code Section 7076.1.
F. "Contractor" means the San Diego Regional Enterprise Zone with The City if
San Diego Business incentives program as the lead agency only, obligated
and committed to providing goods and/or services, as referenced in the
Application.
G. "De -designation" or "De -designate," means the Department's action
terminating this agreement, and/or rescinding the Enterprise Zone
designation in the event of non-performance as described in Government
Code Sections 7076.1 and 7076.2.
H. "Enterprise Zone" means the San Diego Regional Enterprise Zone consisting
of 34,720 acres located within the Cities of San Diego, Chula Vista and
National City within the County of San Diego.
I. "Plan" means the Economic Development Plan prepared and adopted for the
San Diego Regional Enterprise Zone and the California Enterprise Zone
designation.
J. "Program" means the State of California's Enterprise Zone Program
administered by the Department of Housing and Community Development.
K. "Program Income" means income earned from the evaluation of forms and
supporting documentation submitted in application for a voucher, whether or
not such application is approved.
L. "Program Manager" means the primary contact as defined in the Application.
M. "Voucher" or "Certificate" shall mean the certification described in subdivision
(c)(1) of Revenue and Taxation Code Sections 17053.74 and 23622.7 and
which contains all the information required by Section 8450.3 in a format
provided by the Department.
N. "Work" means the Enterprise Zone's program of activities contained within the
Plan for the Marketing, Job Development, Program Management, Financing,
Planning, Local Incentives and Vouchering of the San Diego Regional
Enterprise Zone.
3. SCOPE OF WORK
San Diego Regional Enterprise Zone
Memorandum of Understanding
Page 3 of 9
A. Contractor shall perform the Work as described in the Application, which is
on file at the Department and which is incorporated herein by this reference.
All written materials or alterations submitted during the Enterprise Zone
designation period and which are approved in writing by the Program
Manager are included in the Work. In the event of a conflict between the
descriptions of the Work in the Application and as described in this
Agreement, the description in this Agreement shall prevail. The State
reserves the right to require the Contractor to modify any or all parts of this
Agreement in order to comply with the Program Statutes or Program
Regulations.
B. Contractor shall provide all necessary administrative activities in support of
the San Diego Regional Enterprise Zone.
4. AGREEMENT PERIOD
This Agreement shall be in effect from October 15, 2006 through October 14, 2021
unless otherwise amended or terminated in writing by either party. After January
30, 2012 the Department shall Audit the Contractor to assure it has made
satisfactory and reasonable progress in implementing the obligations set forth in
the Application.
5. COUNTY AND DEPARTMENT PROGRAM COMMUNICATIONS
The contact for this Agreement will be the City of San Diego Business Incentives
Program Manager. The City of San Diego Business incentives Program Manager,
the primary contact, as stated in the San Diego Regional Enterprise Zone Final
Application, is Lydia Moreno at (619) 236-6320.
A. The Department of Housing and Community Development's representative
for this Agreement is John Nunn, Jr., Enterprise Zone Program Manager. His
telephone number is (916) 322-7555.
B. All official communications from the Program to the Enterprise Zone shall be
directed to the Division within which the Enterprise Zone Program operates at
the following address:
City of San Diego, Office of the Mayor, Economic Growth Services
1200 Third Avenue 14th Floor San Diego, CA 92101
Contact: Lydia Moreno
D. All official communications from the Enterprise Zone to the Program shall be
directed to:
John Nunn, Jr., Manager
San Diego Regional Enterprise Zone
Memorandum of Understanding
Page 4 of 9
Enterprise Zone Program
Department of Housing and Community Development
Post Office Box 952054
Sacramento, CA 94252-2054
(916) 322-7555
6. PROGRAM ADMINISTRATIVE BUDGET:
The San Diego Regional Enterprise Zone's Operational Budget for Year One
provided under this Application shall be $361,040.
7. DEPARTMENT PROGRAM RESPONSIBILITIES:
The Department shall have the following responsibilities:
A. Inspections of Enterprise Zone Activity: Monitor, inspect and/or audit any
San Diego Regional Enterprise Zone plans and activities performed hereunder
to ensure compliance with the Enterprise Zone's responsibilities as defined in
the Application, this Agreement and its Supplement, and applicable laws,
regulations, and guidelines, and to take corrective actions as provided by law.
B. Review and Approval of Plans, Agreements, and Products: Review and
approve Vouchering, Marketing, Incentive, Financing, Management and other
Plans, agreements, documents and products required by the Application or by
law.
C. • Assistance: Provide technical assistance, consultation, research and
analytical services to the San Diego Regional Enterprise Zone, if requested,
as permitted by Program resources.
8. ENTERPRISE ZONE RESPONSIBILITIES:
The Enterprise Zone shall have the following responsibilities:
A. Performance: Generally, to make substantial and sustained efforts to
revitalize the San Diego Regional Enterprise Zone areas through marketing,
incentives and financing programs, job development and independent
verification and issuance of vouchers. Specifically, to fulfill the terms,
conditions, and level of effort (staffing, budget, marketing, contracting) set
forth in this Agreement, including its Supplement, the Application and/or the
Plan, as may be supplemented or superseded by regulations, guidelines, and
other Program requirements during the designation period.
San Diego Regional Enterprise Zone
Memorandum of Understanding
Page 5 of 9
B. Performance Obligations - Third Party Relationships: Notwithstanding its
designation of any third party for the undertaking of all or any part of the
activities enumerated under this Agreement, the San Diego Regional
Enterprise Zone shall remain fully obligated under the provisions of this
Agreement. The San Diego Regional Enterprise Zone shall execute written
agreements with third parties identified in the Application, if any, and/or the
Plan for the performance of the San Diego Regional Enterprise Zone's related
activities to ensure that the activities being provided under this designation
are carried out in accordance with the Program requirements.
C. Enterprise Zone Manager: To hire and fund an Enterprise Zone Manager,
who shall be responsible for the San Diego Regional Enterprise Zone's
budget, Plan, vouchering, and implementation of this Agreement.
D. Enterprise Zone Budget/Maintenance of Effort: To establish, fund and
maintain the Enterprise Zone budget, under the direction of the Enterprise
Zone Manger, to implement the Economic Development Plan and Scope of
Work. Without prior Department approval, the Enterprise Zone shall not
reduce the budget, staff allocation, or modify subcontracts to agencies or
community organizations identified in the Application as providing San Diego
Regional Enterprise Zone services.
E. Vouchering:
1. Vouchering Administration - Contractor agrees to execute and maintain
the vouchering plan and vouchering procedures outlined in the Application.
The Vouchering Plan will assure that vouchers are properly issued in a timely
manner, adequately controlled and accounted for in the vouchering system.
Contractor is responsible for keeping records which fully disclose the
vouchering system. Procedures must provide for the accurate and timely
recordation of the receipt of the application fee, supporting documentation,
independent verification and approval or denial of the voucher. Adequate
documentation of each approved voucher application shall be maintained for
a minimum of five years to permit the determination, through an audit if
requested by the State, of the accuracy of the records and the eligibility of
voucher applications. If the eligibility of a voucher cannot be determined
because supporting documentation is inadequate, the voucher shall be
disallowed.
2. Enterprise Zone Voucher — As of October 15, 2006 the Contractor or their
agent shall begin accepting voucher applications and fees. The San Diego
Regional Enterprise Zone must begin using the Department of Housing and
Community Development's Enterprise Zone Voucher form to certify a
business's participation with the Program.
3. Signatory Control - Unless the Department is notified otherwise in writing
San Diego Regional Enterprise Zone
Memorandum of Understanding
Page 6 of 9
by the Contractor, the Enterprise Zone Manager, as listed in Section 5, shall
have final signatory approval or denial of all voucher applications.
F. Voucher Application Fee:
1. Contractor agrees to establish a Voucher Application Fee ("Fee") and Bill
Remittance Form ("Form") and maintain fiscal control and accounting
procedures, which assures that the Fee received for the voucher application,
is properly disbursed, adequately controlled and accounted for in a Program
account. Contractor is responsible for keeping records, which fully disclose
the amount and disposition of the proceeds of the fees. The procedure
developed by Contractor must provide for the accurate and timely recordation
of the receipt of Fees, and unexpended balances. Adequate documentation
of each transaction shall be maintained to permit the determination, through
an audit if requested by the State, of the accuracy of the records. For each
voucher application accepted for processing, the Contractor shall disburse
$15.00 to the Department in accordance with the Program Regulations.
2. Any fees remaining at the end of the designation period or de -designation
date must be forwarded to the State. Checks must be made out to the
Department of Housing and Community Development and shall be mailed
within 180 days of the end of the designation period or de -designation date.
G. Public -Private Participation: The Enterprise Zone shall be the institutional
venue for the regular participation of public and private stakeholders in
decisions affecting the Enterprise Zone, its Plan, work programs and the
implementation of this Agreement.
H. Network Participation: Ensure that the Enterprise Zone Manager and
appropriate staff participate at meetings required by the Department, and at
conferences of the California Association of Enterprise Zones or similar
professional development organizations.
I. Performance Reporting: Contractor agrees to establish a data collection
system and maintain data collection procedures, which assures that all data
are properly collected, adequately controlled and accounted for in the Annual
Survey as required by Government Code Section 7085(b). Contractor is
responsible for keeping records on all administrative and vouchering activities,
which fully disclose the effect of the Enterprise Zone on employment and
investment.
The Contractor is required to collect data for the Annual Survey that the
Department is required to provide annually to the Legislature. Unless.
specified otherwise in the Annual Survey, the Contractor will collect the data
and submit it to the Department at the address noted in Section 5 of this
Agreement.
San Diego Regional Enterprise Zone
Memorandum of Understanding
Page 7 of 9
If an Annual Survey is not completed to the satisfaction of the Department, it
will be returned to Contractor for revision. If the Annual Survey is not
amended within 60 days of the due date, the Contractor will receive a
negative audit finding pursuant to Government Code Section 7076.1. The
Enterprise Zone's performance under this Agreement will be based in part on
whether it has submitted complete reports on a timely basis.
The Contractor shall prepare and submit report(s) of the Enterprise Zone's
performance pursuant to a format, schedule and deadlines that the
Department requires. The Annual Survey will review Enterprise Zone activity
regarding business attraction, business retention, vouchering, and local
success stories. The survey results from the San Diego Regional Enterprise
Zone will be tabulated with all other enterprise zones to create the
comprehensive report that is submitted to the Legislature.
J. Audit: The Enterprise Zone shall maintain auditable voucher records at all
times. California Government Code Section 7076.1 requires the Department
to conduct an audit of each Enterprise Zone. The Department may schedule
annual Audits. The Enterprise Zone agrees that the Department and their
delegates have the right to receive, review, obtain, and copy all records
pertaining to the Enterprise Zone and/or its vouchering activities. The
Enterprise Zone further agrees to provide the Department or its delegates with
any relevant information requested and shall permit the Department or its
delegates access to its premises, upon reasonable notice, during normal
business hours for the purpose of interviewing employees and inspecting and
copying such books, records, accounts, and other material that may be
relevant to a matter under investigation for the purpose of determining
compliance with the designation, audit, or performance.
The Enterprise Zone agrees to maintain all Enterprise Zone records,
including voucher applications, vouchers and supporting documentation for a
minimum of five (5) years after expiration of the Enterprise Zone designation.
If so directed by the Department upon termination of this agreement, or De -
designation of the Enterprise Zone, the Enterprise Zone shall cause all
records,. accounts, documentation and other materials related to the
Enterprise Zone activity to be delivered to the Department.
K. Conflict of Interest of Employees, or other Public Officials: No employee,
member of the governing body, or public official who exercise any functions or
responsibilities with respect to the program during his/her tenure or for one (1)
year thereafter, shall have any interest, direct or indirect, in any contract,
subcontract, or voucher, or the proceeds thereof, for activities performed in
connection with the Enterprise Zone, and all such persons shall comply with
Government Code Section10410, et seq., Public Contracts Code Section
San Diego Regional Enterprise Zone
Memorandum of Understanding
Page 8 of 9
10410 et seq., and Government Code Section 81000 et seq. (Political Reform
Act of 1974), as applicable. Failure to comply with this requirement may
trigger an Audit.
9. AMENDMENT
No amendment or variation of the terms of this Agreement shall be valid unless
made in writing, and approved and signed by the parties to this Agreement. This
Agreement supersedes any oral promises, representations, or other agreements
with respect to the subject matter of this Agreement.
10. DISPUTES
The Department shall monitor the Enterprise Zone for performance and
compliance with this Agreement. Failure to meet the conditions of this Agreement
may be grounds for de -designation.
11. DEDESIGNATION OF THE ENTERPRISE ZONE
The Department may terminate this Agreement if the Enterprise Zone fails to
succeed in the Audit process as described in Government Code Sections 7076.1
and 7076.2. The Zone will have failed to demonstrate success in making
substantial and sustained efforts in meeting the goals and commitments as
presented in the Application. The effect of the notice specified in this section shall
be to terminate this Agreement and end Program designation of the Enterprise
Zone
12. APPROVAL
This Agreement, the Program's designation of the Enterprise Zone, as applicable,
is not valid until approved by the Cities of San Diego, Chula Vista, and National
City and signed by all parties.
IN WITNESS WHEREOF, the parties have read, understand and agree to the
terms and conditions as set forth in this Agreement on the day, month and year
noted.
San Diego Regional Enterprise Zone
Memorandum. of Understanding
Page 9 of 9
APPROVED by the member of the Enterprise Zone:
City of National City, a California municipal corporation
By: Date:
Name: Ron Morrison
Title: Mayor
City of Chula Vista, a California municipal corporation
By: Date:
Name: James D. Sandoval
Title: City Manager
City of San Diego, a California municipal corporation
By: Date:
Name: Jay M. Goldstone
Title: Chief Operating Officer
Department of Housing and Community Development
Enterprise Zone Program
By: Date:
John Nunn, Jr.
Manager
A B
Item Application Section
MOU SUPPLEMENT
The San Diego Regional Enterprise Zone's (SDREZ) Commitments
And
Performance Measures
(October 15, 2006 to October 14, 2021)
C
Commitment
D E
Expected Outcome Performance Benchmark or Standard
GENERAL
GEN Performance
Measurement
To assess its performance, the enterprise
zone will develop a methodology that
effectively identifies the number of
businesses retained, expanded, and
attracted.
A measure of the
enterprise zone's
performance.
A methodology that accurately measures
the enterprise zone's efforts to retain,
expand, and attract businesses.
A. MARKETING STRATEGY AND PLAN
A.1 Explicit, quantifiable
five-year goals to be
accomplished in the
first five years.
8/1/2011
The enterprise zone will accomplish the
following marketing goals over the first five
years of the zone:
Market the SDREZ as "One Zone" multi -
jurisdiction program and implement "One Zone"
marketing strategies:
1) Develop "One Zone" marketing materials in
English and Spanish;
2) Issue 12,500 vouchers;
2) Assist approximately 3000 businesses;
3) Assist approximately 100 small businesses
access local revitalization programs, i.e., SIP,
etc.
4) Conduct between 10 to 15 technical
Evidence that the enterprise zone has
progressed towards the accomplishment of
its goals.
1) BE
Year
upda
conti
there
2) Fi,
2) Fi,
3) Fi,
MOU SUPPLEMENT
The San Diego Regional Enterprise Zone's (SDREZ) Commitments
And
Performance Measures
(October 15, 2006 to October 14, 2021)
workshops.
5) Conduct/participate in 3 to 10 Job Fairs and
5 Trade Shows.
6) Develop and maintain a system for reporting
annually to HCD all requested information.
7) Market the SDREZ as part of a business
attraction and retention strategy for targeted
industries, including mfg., R&D, and technology
ventures.
8) Support (50) business finance opportunities
(loans/grants/rebates) with SDREZ businesses
using local programs
A.2 Business To retain businesses in the community, the See A.3.
Retention/Activities enterprise zone will conduct the following
activities:
1) Expand existing partnerships between
public and private sectors by doing outreach
and organizing or participating in periodic EZ
informational sessions to industry groups,
Chambers of Commerce, Business
Improvement Districts (BIDs), and Community
Economic Development Organizations to keep
the SDREZ incentives in front of businesses
and educate them on EZ benefits.
A.3 Business
Retention/Expansion
Activities
8/1/2011
To expand businesses in the community, the
enterprise zone will conduct the following
activities:
Commercial and Industrial
Commercial:
Retention/Expansion
Goal - 125
commercial
2
Evidence that the enterprise zone has
conducted the activities specified for
business retention.
Evidence that the enterprise zone has
conducted the activities specified for
business expansion.
4) Fi)
5) Fi)
6) Ye
7) Ye
8) Fig
1) TI
annu
MOU SUPPLEMENT
The San Diego Regional Enterprise Zone's (SDREZ) Commitments
And
Performance Measures
(October 15, 2006 to October 14, 2021)
1) Use EDC Prosperity Committee or similar
committees as a warning network to notify
appropriate agencies serving at risk
businesses. This will provide assistance to
impacted companies and address
issues/concerns where appropriate. Effected
employees will be directed to Career Centers
and other agencies to obtain employment
services and ensure that layoff and plant
closure procedures are followed appropriately.
2) Improve existing downtown commercial mix
and attractiveness by working with
redevelopment agencies to identify prospective
development projects and new businesses
3) Focus efforts to 4 groups; a) small locally
owned "main street" businesses; b) base sector
industries, i.e. manufacturers, clean/green tech
businesses, warehouse/distribution
businesses; c) redevelopment project areas;
and 4) medical facilities.
businesses and
1,250 jobs annually
Industrial:
Retention/Expansion
Goal - 50 industrial
businesses and
3,000 jobs annually.
3
8/1/2011
A.4 Business Attraction
Activities
8/1/2011
MOU SUPPLEMENT
The San Diego Regional Enterprise Zone's (SDREZ) Commitments
And
Performance Measures
(October 15, 2006 to October 14, 2021)
To attract businesses in the community, the
San Diego Regional Enterprise Zone (SDREZ)
will conduct the following activities:
Commercial
1) Strengthen existing and develop new
regional partnerships so that limited resources
can be leveraged to support effective marketing
and businesses development programs.
2) Use advertising to raise awareness of the
entire enterprise zone region (as described in
Advertising and Promotion Strategy, Tab 19,
Pg41).
3) Promote opportunities (such as mixed use
development, facade improvement programs,
business improvement districts) to businesses
that will complement and improve the existing
SDREZ downtown and "Main Street"
commercial mix and will enhance the
attractiveness of these areas.
4) Establish sales/marketing team which
actively involves city representatives.
5) Develop fast -track building permit process
for commercial/industrial construction projects.
6) Have available CD/DVD or video to
promote regional industry attractiveness.
Commercial
Target 20
commercial
businesses and 600
jobs annually.
4
Evidence that the enterprise zone has
conducted the activities specified for
business attraction.
1)Cr
2) Ar
3) Ci
4) Yr
5) Yr
6) Yr
MOU SUPPLEMENT
The San Diego Regional Enterprise Zone's (SDREZ) Commitments
And
Performance Measures
(October 15, 2006 to October 14, 2021)
Work with EDCs, Chambers, Business
Improvement Districts, Community
Development Corporations and the World
Trade Center San Diego to distribute
videos to companies considering the San
Diego Region a place to locate new
business.
7) Conduct two marketing outreach trips to
target companies seeking relocation and/or
expansion opportunities.
Industrial
(Items 1 — 7 same as above)
8) Develop inventory of available industrial
properties
8/1/2011
Industrial
Target 50 industrial
businesses and
1,500 jobs annually.
5
A.5 Sales Plan for Site
Visits
8/1/2011
MOU SUPPLEMENT
The San Diego Regional Enterprise Zone's (SDREZ) Commitments
And
Performance Measures
(October 15, 2006 to October 14, 2021)
The enterprise zone's sales plan for on -site
visits to existing and/or new businesses will
consist of the following activities:
Each SDREZ partner city will manage the
following activities:
1) Establish a business calling program to
identify businesses for on -site visits. (The call
program will continually screen and qualify
targeted industries when companies locate
within the SDREZ.
2) Automatic generation of SDREZ benefits
packets with each business license application
and follow up call/visit.
3) The SDREZ team will participate in 245
sales calls annually for retention, expansion, or
attraction purposes. These sales calls will be
to targeted companies for this specific purpose
4) Coordinate business site visits with
economic development organizations targeting
specific EZ areas.
6
Evidence that the enterprise zone has
conducted the activities specified in its
sales plan for on -site visits.
1) Cc
2) Qt
3) Ar
4) Th
four
annu,
A.6 Advertising &
Promotional Strategy
MOU SUPPLEMENT
The San Diego Regional Enterprise Zone's (SDREZ) Commitments
And
Performance Measures
(October 15, 2006 to October 14, 2021)
The enterprise zone's advertising and
promotional strategy will consist of the
following activities:
Advertising
1)Establish a staff/partner advertising steering
committee to advise SDREZ staff on business
sector driven advertising
Promotion
2) Participate in speakers bureau & solicit
speaking engagements
3) Partner with business and community
development corporations to target outreach to
cowl -moderate income target areas, including
tax preparation services.
4) Target small business members in BIDs and
business organizations. SDREZ staff will
provide EZ articles and other advertisements to
be included in member newsletter. SDREZ will
provide flyers on upcoming workshops which
will be distributed to members. SDREZ will
partner with BIDs to sponsor workshops for
members. SDREZ will attend Small Business
Advisory Board meeting.
5) Conduct Annual SDREZ Business
recognition for EZ businesses and local
partners.
7
Evidence that the enterprise zone has
conducted the activities specified in its
advertising and promotional strategy.
Budget a minimum of $5,000 annually for
paid advertisements.
1) Yi
2) Ai
beg
3 ) T
anrn
4) Yi
5)Ar
begi
8/1/2011
MOU SUPPLEMENT
The San Diego Regional Enterprise Zone's (SDREZ) Commitments
And
Performance Measures
(October 15, 2006 to October 14, 2021)
6) Other
• Direct mail
• 5 Trade shows and trade missions (see A.1)
• Conduct or participate in EZ general
informational and technical workshops with
various stakeholders to increase awareness of
incentives and opportunities in the designated
area and to targeted audience to address more
complex elements of program. Technical
workshops will target tax practitioners to
educate them on how EZ tax incentives may
apply to tax payers doing business in the
SDREZ.
A.7 The Media Strategy The enterprise zone's media strategy will
consist of the following activities:
• Pitch local print and broadcast media on
availability of incentives and other noteworthy
activities including community newspapers and
community based organization newsletters.
• Develop a group of partners/businesses to
serve as experts for media interviews to
promote the program and speak from their
perspectives.
• Annually distribute news releases on Zone
incentive workshops, job fairs, and other EZ
newsworthy information to business
8/1/2011
8
Evidence that the enterprise zone has
conducted the activities specified in its
media analysis.
6) Ar
begii
Quaff
Yea
Twic
MOU SUPPLEMENT
The San Diego Regional Enterprise Zone's (SDREZ) Commitments
And
Performance Measures
(October 15, 2006 to October 14, 2021)
organizations and local media.
• Develop SDREZ incentive web -site with links
to partner agency web -sites to market all
related business incentive programs.
A.8 Staff Commitment The enterprise zone will commit the following Staffing of one (1) FTE for the marketing
staff to its marketing plans: program.
A.9 Budget Commitment
SDREZ Zone Manager (.50 FTE), two (2)
Business Assistance Managers (.50 FTE)
The enterprise zone will commit the following
budgets to its marketing plans:
A minimum budget of $13,000 annually for the
marketing program.
Note: Staff will evaluate budget annually
and will make adjustments to increase the
overall marketing budget when feasible.
A.10 Self -evaluation The enterprise zone will conduct regular self -
evaluations to determine the effectiveness of its
marketing program.
9
Yea!
Cont
A budget of $ 13,000 for the marketing Cont
program.
Evidence that the enterprise zone has Anne
conducted regular assessments of its
marketing program, and made the
necessary adjustments to ensure that the
program operates effectively.
8/ 1 /2011
MOU SUPPLEMENT
The San Diego Regional Enterprise Zone's (SDREZ) Commitments
And
Performance Measures
(October 15, 2006 to October 14, 2021)
B.
Self Evaluation
The enterprise zone will conduct regular self -
evaluations to determine the effectiveness of its
financing plan.
Evidence that the enterprise zone has Anni
conducted regular assessments of its
financing program, and made the
necessary adjustments to ensure that the
program operates effectively.
C.1
8/1/2011
Training
To maximize the participation of agencies and
organizations that provide job development
services for the unemployed and under-
employed, the enterprise zone's jurisdiction will
perform the following:
1) Create a job development team of all the
participating entities, as indicated in the letters
of commitment in the application, who will
aggressively and cooperatively provide an
array of services to both employers and
residents of the San Diego Regional Enterprise
zone including but not limited to:
10
Evidence that the jurisdiction has
conducted the activities specified for the
maximization of the job -development
services.
1) C(
C.2
8/1/2011
Training
MOU SUPPLEMENT
The San Diego Regional Enterprise Zone's (SDREZ) Commitments
And
Performance Measures
(October 15, 2006 to October 14, 2021)
- Recruitment and Training evaluation
Screening and job linkages
Assess job seekers for EZ eligibility
Applicant pre-screening
- Facilities for job interviews
- Labor market information
- Job development technical support
2) EZ Manager call or send an email to job
development agencies of the hiring and training
needs of new/expanding businesses within
zone .Additionally, the EZ manager will discuss
business training needs and contacts made at
the SDREZ partnership meeting.
3) EZ Manager to generate a quarterly status
report on job development services rendered
under the SDREZ's job development plan, i.e.
training programs, skills and earnings
increases, at -risk youth programs.
To ensure that job development
professionals are working with existing
employers to partner with the local schools
to develop and maintain a trained
workforce that will meet labor
requirements, the jurisdiction will perform
the following:
Evidence that the jurisdiction has
performed the activities specified resulting
in a partnership with local schools, the
identity of the community's labor
requirements, including the required skill
sets for local employers, and a
corresponding curriculum to meet these
requirements.
2) MI
3) Qi
-Facilitate at least two partnerships between
business/industry and high schools to develop Ann'
11
C.3
8/1/2011
Training
MOU SUPPLEMENT
The San Diego Regional Enterprise Zone's (SDREZ) Commitments
And
Performance Measures
(October 15, 2006 to October 14, 2021)
workforce planning/training opportunities, i.e.
scholarships, apprenticeships, etc.
• To target, educate, and train the
unemployed and underemployed in the
applicant community, the jurisdiction will
perform the following activities: Work with
the San Diego Workforce Partnership (who
manages the administrative affairs of the
Workforce Investment Board) by integrating
the EZ program and services with the
SDWP/WIB Business Services model at the
appropriate Career Centers (One Stops)
by:
- Identify industry training, employment
needs and skill gaps in the local
workforces as they relate to key
industries
- Work with San Diego Workforce
Partnership and Local Career Centers
to develop outreach program integrated
with high schools to enhance early
interest in key industry occupations
12
Evidence that the enterprise zone has
conducted the activities specified to
target, educate, and train the
unemployed.
C.4 Local Services
8/1/2011
MOU SUPPLEMENT
The San Diego Regional Enterprise Zone's (SDREZ) Commitments
And
Performance Measures
(October 15, 2006 to October 14, 2021)
To integrate local services, including human
service programs, into the enterprise zone
program, the jurisdiction will perform the
following:
Maintain a minimum of one Enterprise Zone
Employer Services Coordinator (ESC) position
to be a collaborative partner of the Career
Center's Business Service mode when
targeting SDREZ companies. The ESC will
work with Job Developers/Coordinators from
13
Evidence that the jurisdiction has
conducted the activities specified for the
integration of local services.
C.5 Agency Contributions
8/1/2011
MOU SUPPLEMENT
The San Diego Regional Enterprise Zone's (SDREZ) Commitments
And
Performance Measures
(October 15, 2006 to October 14, 2021)
the Career Centers, South County, Metro and
South Metro Career Centers, which serve the
SDREZ area. The Business Services team
informs businesses of employment assistance
available to the business community. The team
will educate businesses of the employment bas
available in the SDREZ. Businesses will also
be made aware of training programs, recruiting
and other applicable services. The ESC will
provide training to the SDREZ employers
focusing on the EZ vouchering process.
To commit sufficient local resources for
coordination of the job development effort, the
specific contributions that each agency and/or
contractor will make to the implementation of
the Economic Development Plan as it relates to
job development are as follows:
The following are local resources that
contribute to implementation of the SDREZ job
development plan:
1) Metro Career Centers (Operated by
San Diego Career Opportunities
Partners)
3910 University Avenue, Ste 100
San Diego, Ca 92101
2) South Western College Small Business
Development & International Trade
Center 900 Otay Lakes Rd., Bldg
14
Evidence that the agency and/contractor Cont
provided the contributions specified.
MOU SUPPLEMENT
The San Diego Regional Enterprise Zone's (SDREZ) Commitments
And
Performance Measures
(October 15, 2006 to October 14, 2021)
#1600, Chula Vista, CA 91910
3) South County Career Center (Operated
by Arbor Education & Training 1111
Bay Blvd., Ste E, Chula Vista, CA
91911
4) South Metro Career Center/Grant Hill
Branch (Operated by Center for
Employment Training)
3295 Market St
San Diego, CA 92102
5) Comprehensive Training Systems 497
11 to Street #4
Imperial Beach, CA 91932
These agencies will provide and/or assist with
the following job development activities:
•Partner with the SDREZ to provide job
assistance to both job seekers and
employers in the SDREZ.
•Make information on the SDREZ benefits
available at agencies and disseminate
•Provide company referrals that can benefit from
EZ benefits
• Co-sponsor workshops and seminars provide
technical assistance to small businesses in
the SDREZ including:
• Job postings
8/1/2011
15
C.6 CaIWORKS & WIB
C.7
MOU SUPPLEMENT
The San Diego Regional Enterprise Zone's (SDREZ) Commitments
And
Performance Measures
(October 15, 2006 to October 14, 2021)
• Employment referrals
• Employer assistance
• Rapid Response support
• Job Fairs
•Job referrals and Training opportunities to job
seekers and employers in the SDREZ
•Attend EZ meetings and workshops
• Host information meetings for employers
To place recipients of the Workforce
Placements Investment Act and CaIWORKS services into
jobs, the jurisdiction will perform the following:
Vouchering
• The Employee Services Coordinator will
work with case managers from WIA and
partnering agencies to help identify
potential employees of targeted groups
which face barriers to employment.
• Issue voucher eligibility letter to qualified
individuals
To ensure compliance with all applicable laws
and regulations, the enterprise zone will
implement systems for monitoring, reporting,
and safeguarding the vouchering process, and
monthly reporting to the Department of Housing
& Community Development.
Evidence that the jurisdiction performed Cont
the activities specified to place recipients
of the Workforce Investment Act and
CalWORKS.
Evidence that the enterprise zone has Mont
systems in place that permit the
monitoring, reporting, and safeguarding of
the vouchering process.
C.8 Vouchering Fees To ensure that the enterprise zones complies The timely remittance of application fees Mani
16
8/1/2011
MOU SUPPLEMENT
The San Diego Regional Enterprise Zone's (SDREZ) Commitments
And
Performance Measures
(October 15, 2006 to October 14, 2021)
with all voucher fee regulations, the jurisdiction
will implement a process that accounts for all
applications received and all fees owed to the
State.
C.9 Budget & Staffing The budget and staffing for vouchering
activities will consist of the following
The Employee Services Coordinator will do the
following:
• Serve as the SDREZ Vouchering Agent
for the Partnership.
• Review applications submitted for
hiring tax credit vouchers in compliance
with the HCD Vouchering Regulations.
• Issue voucher certificates and maintain
required data.
• Conduct hiring credit eligibility
screening for EZ companies
• Assist job developers with job
placement as needed
The original budget allocation was for one
vouchering agent at a cost of $94,000.
Note: A second Employee Services
Coordinator Nouchering Agent position
was added for a total cost of $190,000 in FY
08.
owed.
A budget of $94,000 and minimum
staffing of 1 for the enterprise zone's
vouchering activities.
Note: A second EZ Vouchering
AgentlEmployee Services Coordinator
was added in 2008 to help meet the
goals and increase in workload for the
SDREZ Program.
Annt
C.10 Self Evaluation The enterprise zone will conduct regular self- Evidence that the enterprise zone has Anni
17
8/1/2011
MOU SUPPLEMENT
The San Diego Regional Enterprise Zone's (SDREZ) Commitments
And
Performance Measures
(October 15, 2006 to October 14, 2021)
evaluations to determine the effectiveness of
the job development plan.
conducted regular assessments of its job -
development program, and made the
necessary adjustments to ensure that
program operates effectively.
D.1
8/1/2011
Fee Reduction
To offer local incentives to the enterprise zone
businesses, the jurisdiction will reduce the
following fees:
Exempt the Housing Impact Fee (HIF) as
applicable. Business & Industry Incentive
Program to proactively attract, retain and
expand businesses within the region.
Assistance includes: Development Project
Advocacy and Permit Expediting Assistance;
Business Response Team
18
Evidence of fee reduction utilization for Annt
the following number of firms:
EZ companies in the SDREZ involved in
heavy/light industrial manufacturing,
research & development, wholesale
distribution and medical facilities
(hospitals/urgent care) may be eligible for
exemption of the HIF fee. Commercial
business will not be eligible for
exemption.
It is difficult to predict how many
companies/projects may receive this
benefit because the fee is tied to new
development or change in use of an
existing facility; however, data is collected
and maintained for each EZ project
granted the fee exemption. Additionally
most if not all companies assisted with
MOU SUPPLEMENT
The San Diego Regional Enterprise Zone's (SDREZ) Commitments
And
Performance Measures
(October 15, 2006 to October 14, 2021)
D.2 Processing Time The jurisdiction will reduce the administrative
Reduction processing time for the following items
Provide a variety of programs to directly assist
small businesses, ranging from providing
detailed information on City and regional
services, Project Advocacy, Permit Expediting
Assistance, Business Response Team; help
with business start-up questions and provide
assistance with permitting issues; advocate for
small business concerns and coordinate
programs to ensure that small businesses have
a voice in many issues that affect their ability to
succeed. Permit processing time will be
reduced 25%.
8/1/2011
19
attraction and expansion opportunities
may be eligible for the fee exemption.
(Sections A3 & A4)
Evidence of reductions in administrative Annt
processing time for the following number
of firms:
Work with 50 businesses per year.
Provide monthly log, and evidence of
follow-up activity
MOU SUPPLEMENT
The San Diego Regional Enterprise Zone's (SDREZ) Commitments
And
Performance Measures
(October 15, 2006 to October 14, 2021)
D.3 Self -evaluation The enterprise zone will conduct regular self- Evidence that the enterprise zone has Anni
evaluations to determine the effectiveness of its conducted regular assessments of its
local incentives. incentives program, and made the
necessary adjustments to ensure that
program operates effectively.
E.1
E.2
8/1/2011
Self Evaluation The enterprise zone will conduct regular self- Evidence that the enterprise zone has Anni
evaluations to determine the effectiveness of its conducted regular assessments of its
program. overall program, and made the necessary
adjustments to ensure that the program
operates effectively.
Budget The jurisdiction will implement the following A budget of $361,040 for the first year. One
budget for the administration of the enterprise
zone in its first year:
Revenue:
• Application Fee Revenue: $125,000
• Jurisdictional Support: $194,000
(Operating MOU)
• Jurisdictional Marketing: $ 13,000
• San Diego Support: $ 29,040
TOTAL $361,040
Expenditures:
• EZ Personnel: $340,040
20
E.3 Staff Responsibilities
8/1/2011
• NPE:
• Travel/Training
• Marketing:
MOU SUPPLEMENT
The San Diego Regional Enterprise Zone's (SDREZ) Commitments
And
Performance Measures
(October 15, 2006 to October 14, 2021)
$ 5,000
$ 3,000
$ 13,000
TOTAL $361,040
Additional In Kind Commitments: $134,500
Note:
Beginning in FY 08 increases to staffing and
the budget were made to meet the
significant increase in EZ workload.
Increases included adding a second
Employee Services Coordinator
Nouchering Agent position, increasing
Business Development Coordinator from
part time to full time, and adding interns.
The following staff will perform the
responsibilities noted:
The City of San Diego will serve as the
administrative agency for the SDREZ.
Lydia Moreno, Business Incentives Program
Manager Development Coordinator:
• Provides oversight coordination for the SDREZ
Program
•Coordinates business expansion, retention and
attraction efforts
•Assist existing EZ businesses with funding and
resource development, expansions, site
assistance, and regulatory issues
21
1) Commit a full-time position to serve as Cont
the Enterprise Zone Manager, and
2) Provide evidence of the staff and their
corresponding responsibilities.
MOU SUPPLEMENT
The San Diego Regional Enterprise Zone's (SDREZ) Commitments
And
Performance Measures
(October 15, 2006 to October 14, 2021)
•Works directly with EZ businesses in the
assessment, coordination, and assistance
of key issues for retention, expansion, and
attraction opportunities with the EZ
•Assists with SDREZ Partnership overall
marketing strategy
•Serves as immediate back-up to EZ Manager
Cord Bailey, Full-time Enterprise Zone
Manager:
•Coordinates and provides current reports
relative to progress of the EZ and monitors
benefits generated by businesses located in
the EZ
*Manages databases, documentation, and
general overall administration of the SDREZ
program
*Conducts in depth marketing efforts focused on
Zone businesses
• Manages execution of Economic Development
Incentive Agreements for all SDREZ related
development projects eligible for expedited
permit plan check
• Manages the EZ's State Grant "Preference
Point Certification" programs
• Coordinates workshops on EZ tax credits for
job developers, employers, businesses, and
related parties
*Manage collaborative efforts with non-profit and
for profit employment organizations
8/1/2011
22
MOU SUPPLEMENT
The San Diego Regional Enterprise Zone's (SDREZ) Commitments
And
Performance Measures
(October 15, 2006 to October 14, 2021)
Tere Avina and Tina Hines, EZ Vouchering
Agent/Employee Service Coordinator:
•Review applications submitted for hiring tax
credit vouchers in compliance with HCD
Vouchering regulations
•Approve and issue vouchers
•Assist EZ businesses with screening, job
placement, hiring credit eligibility
•Coordinate with job developers with process
EZ employer job orders
•Participate and assists with job fairs and
employer recruitment events
Craig Ruiz (Chula Vista) and Alfredo Ybarra
(National City), SDREZ Partnership Business
Manager:
•Perform marketing, outreach, and EZ
consultation, as well as business assistance
and attraction, workforce development,
support resources, and project assistance
to existing and new businesses locating in
the EZ
•Work directly with EZ businesses in their
jurisdiction in the assessment, coordination,
and assistance of key issues for retention,
expansion, and attraction opportunities with
the EZ
•Coordinates with Vouchering Agent/Employee
Services Coordinator to assist existing EZ
businesses and potential companies on
8/1/2011
23
MOU SUPPLEMENT
The San Diego Regional Enterprise Zone's (SDREZ) Commitments
And
Performance Measures
(October 15, 2006 to October 14, 2021)
workforce development
+Assist existing EZ businesses with funding and
resource development, expansions, site
assistance, and regulatory issues
•Manage execution of Economic Development
Incentive Agreements for all SDREZ related
development projects that are eligible
+Conduct workshops on EZ tax credits for job
developers, employers in collaboration with
the Lead Agency, businesses and related
parties
•Manage collaborative efforts with non-profit and
for profit employment organizations
•Serve as back-up Managers to the Lead
Agency Zone Manager as needed.
8/1/2011
24
Note:
Personnel changes have been made
due to retirement and turnover. A
second EZ Vouchering
Agent/Employee Services Coordinator
was added in 2008 to help meet the
goals of the SDREZ Program.
MOU SUPPLEMENT
The San Diego Regional Enterprise Zone's (SDREZ) Commitments
And
Performance Measures
(October 15, 2006 to October 14, 2021)
25
8/1/2011