2013 Cville OED Annual Report

STAFF

2013

Chris Engel, CEcD Director

ANNUAL

Hollie Lee

REPORT

Chief of Workforce Development Strategies

Jason Ness Economic Development Specialist

Blair Morris

Administrative Assistant

610 East Market Street 2nd Floor, Room B230 Charlottesville, VA 22902 www.charlottesville.org/econdev  434.970.3110

 Photo Courtesy of the Charlottesville Albemarle Convention & Visitors Bureau

Photo Courtesy of the Charlottesville Albemarle Convention & Visitors Bureau

Dear Stakeholders, It was another active year for the Office of Economic Development (OED) as we continued our efforts to be a catalyst for businesses growth and capital investment, as well as an advocate for effective workforce development strategies. We are pleased to provide this update on our activities from 2013.

Based on several key economic indicators the City continued to impress – posting a new record for commercial investment. Unemployment and vacancy rates remained stable, while sales, meals, and lodging tax revenue were also strong.

While far from perfect, Charlottesville seems to be the “Little City that Could…” and can.

A significant achievement this year involved the completion of the Growing Opportunities report, which provided recommendations for fostering training and employment opportunities to help City residents achieve self-sufficiency. Now entering the implementation phase, the report has resulted in the formation of a Workforce Advisory Council, the first in a series of Economic Opportunity Summits, and the creation of the Chief of Workforce Development Strategies position within the OED, among other initiatives.

In an effort to spice up our menu of event offerings, we added a Catering Expo, which featured 20 local catering businesses and provided them with exposure and opportunity. Additionally, we partnered with Computers4Kids to host a Youth Entrepreneurship class, which enabled students to explore the basics of business formation. Finally, the OED launched the ACE Program for existing City-based businesses. The program is designed to assist small business owners increase revenue and business capacity through collaboration with staff and a business consultant.

I encourage you to read further to learn more about these and other efforts, and in doing so, please help us by sharing this report with your networks so that our outreach will grow. Thank you for your continued support of Charlottesville’s business community.

Sincerely,

Chris Engel

Chris Engel Director, Office of Economic Development

3 CAPITAL

W EST M AIN D EVELOPMENTS West Main Street emerged in 2013 as a focal point for new development activity with the start of construction on a 133 room Marriott Residence Inn and a 220 unit student focused apartment complex. With the completion of the UVA Children’s Hospital Battle Building and the addition of several new restaurant and retail offerings, this critical corridor is once again attracting investment.

INVESTMENT

Building partnerships with private sector groups in order to maximize capital investment in the City The Charlottesville Economic Development Authori ty (CEDA) continued to support its mission by creating two new programs in 2013 designed to help grow enterprises and to create job opportunities in the City. The Authority created a local match to complement the popular Virginia Jobs Improvement Program (VJIP), which is run by the Virginia Department of Business Assistance.

CEDA also extended funding to further support the ACE Program, allowing the OED to serve more businesses

through this unique program.

C ITY W ALK On the east side of downtown, the CityWalk project continues construction of 300 market rate apartments. In conjunction with this, the City is extending Water Street to assist with vehicular and pedestrian access to downtown.

CFA I NSTITUTE O PENS Twenty-seven months after ceasing operation as a hospital, the former Martha Jefferson facility has sprung back to life as the global operations center for CFA Institute’s 400+ employees. The extensive renovation, which officially opened in December 2013, expects to receive LEED certification in the near future.

Dear Stakeholders, It was another active year for the Office of Economic Development (OED) as we continued our efforts to be a catalyst for businesses growth and capital investment, as well as an advocate for effective workforce development strategies. We are pleased to provide this update on our activities from 2013.

Based on several key economic indicators the City continued to impress – posting a new record for commercial investment. Unemployment and vacancy rates remained stable, while sales, meals, and lodging tax revenue were also strong.

While far from perfect, Charlottesville seems to be the “Little City that Could…” and can.

A significant achievement this year involved the completion of the Growing Opportunities report, which provided recommendations for fostering training and employment opportunities to help City residents achieve self-sufficiency. Now entering the implementation phase, the report has resulted in the formation of a Workforce Advisory Council, the first in a series of Economic Opportunity Summits, and the creation of the Chief of Workforce Development Strategies position within the OED, among other initiatives.

In an effort to spice up our menu of event offerings, we added a Catering Expo, which featured 20 local catering businesses and provided them with exposure and opportunity. Additionally, we partnered with Computers4Kids to host a Youth Entrepreneurship class, which enabled students to explore the basics of business formation. Finally, the OED launched the ACE Program for existing City-based businesses. The program is designed to assist small business owners increase revenue and business capacity through collaboration with staff and a business consultant.

I encourage you to read further to learn more about these and other efforts, and in doing so, please help us by sharing this report with your networks so that our outreach will grow. Thank you for your continued support of Charlottesville’s business community.

Sincerely,

Chris Engel

Chris Engel Director, Office of Economic Development

3 CAPITAL

W EST M AIN D EVELOPMENTS West Main Street emerged in 2013 as a focal point for new development activity with the start of construction on a 133 room Marriott Residence Inn and a 220 unit student focused apartment complex. With the completion of the UVA Children’s Hospital Battle Building and the addition of several new restaurant and retail offerings, this critical corridor is once again attracting investment.

INVESTMENT

Building partnerships with private sector groups in order to maximize capital investment in the City The Charlottesville Economic Development Authori ty (CEDA) continued to support its mission by creating two new programs in 2013 designed to help grow enterprises and to create job opportunities in the City. The Authority created a local match to complement the popular Virginia Jobs Improvement Program (VJIP), which is run by the Virginia Department of Business Assistance.

CEDA also extended funding to further support the ACE Program, allowing the OED to serve more businesses

through this unique program.

C ITY W ALK On the east side of downtown, the CityWalk project continues construction of 300 market rate apartments. In conjunction with this, the City is extending Water Street to assist with vehicular and pedestrian access to downtown.

CFA I NSTITUTE O PENS Twenty-seven months after ceasing operation as a hospital, the former Martha Jefferson facility has sprung back to life as the global operations center for CFA Institute’s 400+ employees. The extensive renovation, which officially opened in December 2013, expects to receive LEED certification in the near future.

4 BUSINESS

DEVELOPMENT

Creating an entrepreneurial environment where startups can thrive & existing businesses have opportunity

SELLING TO THE CITY: CATERING EXPO

B USINESS V ISTATION P ROGRAM The OED enhanced its “Business First” business visitation program in 2013 with a dedication of staff time and training. An active visitation program is critical to understanding the issues being faced by local business and to continuing to promote the City as an ideal business location.

The Business First Program model is designed to specifically interact with growth—oriented businesses that are adding value to our community.

In the spring of 2013, the OED, in partnership with the City’s Division of Procurement & Risk Management and Neighborhood Development Services, hosted its first ever Catering Expo in an effort to help local small, women-, and minority-owned businesses market their food to buyers throughout the City.

An additional benefit of the visitation program is the promotion of the Virginia Jobs Investment Program (VJIP) and the addition of a local match for qualifying businesses. The program provides funding to companies creating new jobs or experiencing technological change by reducing human resource development costs of new hires.

A DVANCING C HARLOTTESVILLE E NTREPRENEURS (ACE) P ROGRAM In 2013, the OED created a new program to assist existing City-based businesses. The ACE Program is designed to help small business owners increase revenue and business capacity through collaboration with staff and a business consultant. Following a detailed business analysis and assessment, a customized strategic plan is developed and implemented. In addition, business owners have access to specialized business services such as webpage development, branding, and accounting to help move their business forward.

Photo Courtesy of the Charlottesville Regional Chamber of Commerce

The program is completely free for qualifying City businesses. To date, the program has reached 70% of its enrollment capacity.

20 LOCAL BUSINESSES PARTICIPATED IN THE CITY’S FIRST CATERING EXPO HELD ON MARCH 28TH

4 BUSINESS

DEVELOPMENT

Creating an entrepreneurial environment where startups can thrive & existing businesses have opportunity

SELLING TO THE CITY: CATERING EXPO

B USINESS V ISTATION P ROGRAM The OED enhanced its “Business First” business visitation program in 2013 with a dedication of staff time and training. An active visitation program is critical to understanding the issues being faced by local business and to continuing to promote the City as an ideal business location.

The Business First Program model is designed to specifically interact with growth—oriented businesses that are adding value to our community.

In the spring of 2013, the OED, in partnership with the City’s Division of Procurement & Risk Management and Neighborhood Development Services, hosted its first ever Catering Expo in an effort to help local small, women-, and minority-owned businesses market their food to buyers throughout the City.

An additional benefit of the visitation program is the promotion of the Virginia Jobs Investment Program (VJIP) and the addition of a local match for qualifying businesses. The program provides funding to companies creating new jobs or experiencing technological change by reducing human resource development costs of new hires.

A DVANCING C HARLOTTESVILLE E NTREPRENEURS (ACE) P ROGRAM In 2013, the OED created a new program to assist existing City-based businesses. The ACE Program is designed to help small business owners increase revenue and business capacity through collaboration with staff and a business consultant. Following a detailed business analysis and assessment, a customized strategic plan is developed and implemented. In addition, business owners have access to specialized business services such as webpage development, branding, and accounting to help move their business forward.

Photo Courtesy of the Charlottesville Regional Chamber of Commerce

The program is completely free for qualifying City businesses. To date, the program has reached 70% of its enrollment capacity.

20 LOCAL BUSINESSES PARTICIPATED IN THE CITY’S FIRST CATERING EXPO HELD ON MARCH 28TH

6 WORKFORCE DEVELOPMENT Fostering an environment that provides career ladder employment opportunities for Charlottesville citizens

S TRATEGIC A CTION T EAM (SAT) In July 2013, the City’s Strategic Action Team (SAT) finalized a comprehensive report on workforce development entitled Growing Opportunity: A Path to SelfSufficiency in Charlottesville. This report provides an overview of the local workforce climate and examines barriers to employment for low-income City residents such as basic literacy, workplace skills, transportation, and childcare. The report also presents numerous strategies for addressing these barriers.

75

& 1,000 JOB SEEKERS ATTENDED THE 2013 C HARLOTTESVILLE C OMMUNITY J OB F AIR HELD ON MAY 1 ST EMPLOYERS

The SAT was formed at City Council's request in 2012 to examine workforce development opportunities for Charlottesville residents. The SAT, led by the OED, continues to meet on a regular basis, with the focus being primarily on implementation of recommendations endorsed by City Council.

P LUGGED I N VA

Recommended for support by the SAT in the Growing Opportunity report to address the barrier of basic literacy and training, PluggedInVA is a new education and workforce training program for adults ready to begin a career in retail customer service. This program, which is partially funded by the City and administered by Thomas Jefferson Adult Career Education, combines workforce training, community college coursework, and industry credentialing in a six-month program for motivated adults. Numerous City residents are participating in the program, which began in January 2014.

Photo Courtesy of the Charlottesville Albemarle Convention & Visitors Bureau

E CONOMIC O PPORTUNITY S UMMIT On December 10th, the City of Charlottesville hosted a community summit on skilled trades and advanced manufacturing in the region at the Jefferson School City Center. The goal of the summit was to bring policy makers together with economic and workforce development professionals to discuss skilled trades employment and explore ways of attracting this type of industry to the area.

The impetus of this event came from former City Councilor Dave Norris and the work of the Strategic Action Team. This event was the first in a series of economic

opportunity summits the OED plans to hold annually.

6 WORKFORCE DEVELOPMENT Fostering an environment that provides career ladder employment opportunities for Charlottesville citizens

S TRATEGIC A CTION T EAM (SAT) In July 2013, the City’s Strategic Action Team (SAT) finalized a comprehensive report on workforce development entitled Growing Opportunity: A Path to SelfSufficiency in Charlottesville. This report provides an overview of the local workforce climate and examines barriers to employment for low-income City residents such as basic literacy, workplace skills, transportation, and childcare. The report also presents numerous strategies for addressing these barriers.

75

& 1,000 JOB SEEKERS ATTENDED THE 2013 C HARLOTTESVILLE C OMMUNITY J OB F AIR HELD ON MAY 1 ST EMPLOYERS

The SAT was formed at City Council's request in 2012 to examine workforce development opportunities for Charlottesville residents. The SAT, led by the OED, continues to meet on a regular basis, with the focus being primarily on implementation of recommendations endorsed by City Council.

P LUGGED I N VA

Recommended for support by the SAT in the Growing Opportunity report to address the barrier of basic literacy and training, PluggedInVA is a new education and workforce training program for adults ready to begin a career in retail customer service. This program, which is partially funded by the City and administered by Thomas Jefferson Adult Career Education, combines workforce training, community college coursework, and industry credentialing in a six-month program for motivated adults. Numerous City residents are participating in the program, which began in January 2014.

Photo Courtesy of the Charlottesville Albemarle Convention & Visitors Bureau

E CONOMIC O PPORTUNITY S UMMIT On December 10th, the City of Charlottesville hosted a community summit on skilled trades and advanced manufacturing in the region at the Jefferson School City Center. The goal of the summit was to bring policy makers together with economic and workforce development professionals to discuss skilled trades employment and explore ways of attracting this type of industry to the area.

The impetus of this event came from former City Councilor Dave Norris and the work of the Strategic Action Team. This event was the first in a series of economic

opportunity summits the OED plans to hold annually.

8 COMMUNITY ENGAGEMENT Collaborating with community partners in order to increase opportunities for City residents & businesses

2013 B USINESS E VENTS

E VENTS The OED collaborated with numerous partners to offer more than a dozen events in 2013. Over 500 people attended these events, which ranged from lunch and learns, to workshops, to all-day conferences.

virginia downtown development association annual workshop BETTER BUSINESS CHALLENGE: LIGHT UP THE SAVINGS

Virginia Bio 20th Anniversary Celebration Virginia Economic Development Association Spring Conference VIRGINIA DOWNTOWN DEVELOPMENT ASSOCIATION AWARDS OF EXCELLENCE

chamber minority business conference CHAMBER BUSINESS EXPO chamber takeaway tuesday: selling to the city SMALL BUSINESS FINANCING ALTERNATIVES selling to the city workshop catering expo: selling to the city

I NQUIRIES The OED continues to implement its customer service standards, focusing on professionalism, timeliness, and accessibility. In 2013, OED staff responded to over 2,000 inquiries from stakeholders.

N EWSLETTER In 2013, the OED sent 10 electronic newsletters to more than 500 subscribers. The average open rate for the newsletter was 33%, which is higher than the Constant Contact average for local government newsletters (22.6%).

Photo Courtesy of Forward/Adelante

8 COMMUNITY ENGAGEMENT Collaborating with community partners in order to increase opportunities for City residents & businesses

2013 B USINESS E VENTS

E VENTS The OED collaborated with numerous partners to offer more than a dozen events in 2013. Over 500 people attended these events, which ranged from lunch and learns, to workshops, to all-day conferences.

virginia downtown development association annual workshop BETTER BUSINESS CHALLENGE: LIGHT UP THE SAVINGS

Virginia Bio 20th Anniversary Celebration Virginia Economic Development Association Spring Conference VIRGINIA DOWNTOWN DEVELOPMENT ASSOCIATION AWARDS OF EXCELLENCE

chamber minority business conference CHAMBER BUSINESS EXPO chamber takeaway tuesday: selling to the city SMALL BUSINESS FINANCING ALTERNATIVES selling to the city workshop catering expo: selling to the city

I NQUIRIES The OED continues to implement its customer service standards, focusing on professionalism, timeliness, and accessibility. In 2013, OED staff responded to over 2,000 inquiries from stakeholders.

N EWSLETTER In 2013, the OED sent 10 electronic newsletters to more than 500 subscribers. The average open rate for the newsletter was 33%, which is higher than the Constant Contact average for local government newsletters (22.6%).

Photo Courtesy of Forward/Adelante

10 SPECIAL

C OMPUTERS 4K IDS

Commercial Retail Vacancy Rate in Charlottesville— 2009-2013

The OED partnered with Computers4Kids to host a youth entrepreneurship class this past summer. This class served as a platform for students to understand the basics of entrepreneurship. At the end of the class, students pitched their ideas to a panel of community judges, and many students were awarded start-up funding to launch their business.

5 8 1 commercial construction permits issued in 2013 with an investment value of

$66,656,477

51%

decrease in the commercial retail vacancy rate over the last 5 years

C-ville MSA ranked

#5 STRONGEST E C O N O M Y with

PROJECTS

2009-2013 Average Weekly Wage — 1st & 2nd Quarter Average

Working with internal and external partners on special projects that further the City’s economic goals

a population under 250,000 people

M ARKET D ISTRICT OED staff guided this consultant engagement to a close with a presentation to Council on the feasibility of a market district in July. Solutions continue to be explored that allow the market to thrive and grow, while also embracing the opportunity for high density mixed—use development at a key downtown location.

Unemployment Rate— 2009-2013

S TRATEGIC I NVESTMENT A REA U PDATE

The OED provided representation on the steering committee and spent significant time and energy interacting with the consultant to bring this important City initiative to completion.

United States Virginia

the Charlottesville unemployment rate is

City of Charlottesville

24% LOWER than the national average Photo Courtesy of the Charlottesville Albemarle Convention & Visitors Bureau

10 SPECIAL

C OMPUTERS 4K IDS

Commercial Retail Vacancy Rate in Charlottesville— 2009-2013

The OED partnered with Computers4Kids to host a youth entrepreneurship class this past summer. This class served as a platform for students to understand the basics of entrepreneurship. At the end of the class, students pitched their ideas to a panel of community judges, and many students were awarded start-up funding to launch their business.

5 8 1 commercial construction permits issued in 2013 with an investment value of

$66,656,477

51%

decrease in the commercial retail vacancy rate over the last 5 years

C-ville MSA ranked

#5 STRONGEST E C O N O M Y with

PROJECTS

2009-2013 Average Weekly Wage — 1st & 2nd Quarter Average

Working with internal and external partners on special projects that further the City’s economic goals

a population under 250,000 people

M ARKET D ISTRICT OED staff guided this consultant engagement to a close with a presentation to Council on the feasibility of a market district in July. Solutions continue to be explored that allow the market to thrive and grow, while also embracing the opportunity for high density mixed—use development at a key downtown location.

Unemployment Rate— 2009-2013

S TRATEGIC I NVESTMENT A REA U PDATE

The OED provided representation on the steering committee and spent significant time and energy interacting with the consultant to bring this important City initiative to completion.

United States Virginia

the Charlottesville unemployment rate is

City of Charlottesville

24% LOWER than the national average Photo Courtesy of the Charlottesville Albemarle Convention & Visitors Bureau

STAFF

2013

Chris Engel, CEcD Director

ANNUAL

Hollie Lee

REPORT

Chief of Workforce Development Strategies

Jason Ness Economic Development Specialist

Blair Morris

Administrative Assistant

610 East Market Street 2nd Floor, Room B230 Charlottesville, VA 22902 www.charlottesville.org/econdev  434.970.3110

 Photo Courtesy of the Charlottesville Albemarle Convention & Visitors Bureau

Photo Courtesy of the Charlottesville Albemarle Convention & Visitors Bureau