Economic Development Strategic Plan Update 2013-2018 Draft August 28, 2012

Economic Profile Economic Profile Section One

CITY OF NORTH PORT ECONOMIC DEVELOPMENT STRATEGIC PLAN UPDATE 2013-2018 DRAFT AUGUST 28, 2012

City Commissioners Tom Jones, Chair, Seat #2 Michael Treubert, Vice-Chair, Seat #3 Jim Blucher, Seat #4 David J. Garofalo, Sr., Seat #1 Linda M. Yates, Seat #5

Table of Contents

Acknowledgements ...... 7 SECTION 1 ...... 9 The Process ...... 11 Study Process ...... 11 Accomplishments ...... 15 2008 ...... 15 2009 ...... 15 2010 ...... 15 2011 ...... 16

SECTION 2 ...... 17 Community Assessment ...... 19 North Port History ...... 19 Geography/Location ...... 19 Population and Housing ...... 21 Regional Economic Overview ...... 26 Location Quotient Analysis ...... 26 Employment Projections ...... 28 Major Employers ...... 29 Regional Market/Economic Summary ...... 31 Activity Centers ...... 32 Quality of Life ...... 35 Housing Market Data ...... 38 Economic Profile Summary ...... 40 Workforce Structure ...... 43 Suncoast Workforce ...... 44 Workforce Summary ...... 46

Competitive Market Analysis ...... 47 Retail ...... 47 Retail Metrics ...... 49 Retail Rents ...... 49 Office ...... 50 Industrial ...... 53 North Port Competitive Position ...... 54 Competitive Market Analysis Summary ...... 54 Benchmarks ...... 57 Deltona ...... 57 Port St. Lucie ...... 59 Cape Coral ...... 61 Benchmark Summary ...... 62

SECTION 3 ...... 63 Target Industries ...... 65 State of Florida/Enterprise Florida ...... 65 Tampa Bay Partnership ...... 65 Charlotte County Economic Development Office ...... 70 Economic Development Corporation of Sarasota County ...... 70 Initial North Port Target Industry Screening ...... 72 North Port Recommended Target Industries ...... 74 Economic Development Incentives ...... 77 Florida Economic Development Incentives Toolbox ...... 77 E-Florida Incentives ...... 77 Targeted Industry Incentives ...... 77 Workforce Training Incentives ...... 78 Infrastructure Incentives ...... 79 Special Opportunity Incentives ...... 79 Discussion of Florida Incentives ...... 80 Sarasota County ...... 80 Benchmarked City Incentives ...... 82 Other Incentives Programs Used in Florida ...... 83 Conclusion ...... 86

Best Practices in Economic Development ...... 95 Florida’s Great Northwest ...... 96 Loudoun, Virginia ...... 97 City of North Port ...... 98 Developing Your Own Data Base ...... 100

SECTION 4 ...... 103 Community Engagement ...... 105 Strengths, Weaknesses, Opportunities and Threats (SWOT Analysis) 105 Strategic Plan Framework ...... 109 Goals, Objectives and Strategies ...... 109 Organizational Responsibilities ...... 109 Implementing the Strategic Plan ...... 110 Strategic Action Plan ...... 111 The Mission Statement ...... 112 Action Plan for Change ...... 113 Overview of Goals ...... 113 EDSP Implementation Matrix ...... 115 SECTION 5 ...... 123 Appendix 1: Focus Group Meeting Attendees ...... 125 Appendix 2: Key Stakeholders Interviewed ...... 126 Appendix 3: Summary of All Focus Groups...... 127 Appendix 4: Rankings from Each Focus Group Meeting ...... 129 Appendix 5: All Stakeholder Responses ...... 131

Acknowledgements The Florida Institute of Government (FIOG) and the City of North Port’s Business and Economic Development Advisory Board extend special thanks to the City of North Port Economic Development Division for their assistance with this project and the North Port City Commission and the Sarasota County Board of Commissioners for their financial support.

Special recognition is given to the following participants for their valuable insight and the time donated to assisting in the development of this Economic Development Strategic Plan (EDSP) Update:

City Commissioners Tom Jones, Chair, Seat #2 Michael R. Treubert, Vice-Chair, Seat #3 Jim Blucher, Seat #4 David J. Garofalo, Sr., Seat #1 Linda M. Yates, Seat #5

Business and Economic Development Advisory Board Members

At-Large Members Steve Sachkar, Chair, North Port Sun Bill Diekman, Coldwell Banker Sunstar Realty Fred Tower, III, Vice-Chair, Community Resident Eric Anderson, Fourth Quarter Properties Darlene Wedler-Johnson, State College Of Florida Rae Dowling, Florida Power & Light Bill Woeltjen, Sarasota Memorial Health Care Zia Butt, North Port Pines System David Langhout, Koter Land Partners Denise Courtney, Regions Bank Kaley R. Miller, Mosaic Company

Organization Members Bill Werdell, Chamber of Commerce Anne Merrill, EDC Board Member Jill Luke, Chamber Of Commerce Teri Hansen, Gulf Coast Community Foundation

Education Members Caroline Zucker, Sarasota County School Board Lora Kosten, Ph.D., University Of South Florida - Jane Goodwin (Alternate – Caroline Zucker) Sarasota-Manatee

Designated Members Commissioner Jim Blucher, North Port Commissioner Christine Robinson, Sarasota Commission County Commissioner Tom Jones, North Port Commission Robert J. Berntsson, Berntsson, Ittersagen, Jonathan Lewis, North Port City Manager Gunderson, Waksler & Wideikis, LLP Mark Huey, President/CEO EDC Sarasota County Steve Boone, Boone, Boone, Boone, Koda & Frook, P.A.

Business & Economic Development Advisory Board –Strategic Plan Task Force: Anne Merrill, Chair, Collaborative Community Design, LLC Other noted participants included: Darlene Wedler-Johnson, State College Of Florida Ruth Buchanan, Economic Development Bill Werdell, Chamber Of Commerce Coordinator Wendy Namack, Namack Portfolio Investment Scott Williams, Neighborhood Development Professionals, LLC Services Director Allan Lane, Economic Development Manager Michele Norton, Planning Director Ted Blanchard, Davidson Insulation Cindi Mick, Utilities Director Linda L. Stone, Ph.D., Sarasota County Health Department

Section 1

Process CITY OF NORTH PORT ECONOMIC DEVELOPMENT Accomplishments STRATEGIC PLAN UPDATE 2013-2018

SECTION 1

The Process The City of North Port contracted with the John Scott Dailey Florida Institute of Government (FIOG) at the University of South Florida to develop an Economic Development Strategic Plan Update. In September 2007, the City adopted its first Economic Development Strategic Plan (EDSP). Since that time, much has changed in the local economy as well as the national and global economy. It became necessary to take a fresh look at how the City should adjust and adapt to the economic forces that impact and shape its economic development vision, mission and goals. Study Process The City of North Port contracted with the John Scott Dailey Florida Institute of Government (FIOG) at the University of South Florida to develop a future-oriented, reality-based Economic Development Strategic Plan (EDSP), supported by sound analysis of the city's assets, strengths, and opportunities and guided by the community's aspirations.

Phase 1 and 2: Community Outreach The first two phases of this project consisted of a series of initial discussions with the City staff to define expectations and mission; data collection and review of previous reports; and identification of key stakeholders and potential “partners” to be interviewed.

The FIOG team coordinated with the City’s economic development staff to develop a viral marketing approach. Traditional means of media and public relations outreach avenues were used along with social media. A web page was developed and dedicated to the economic development strategic planning process.

Phase 3: Community Assessment A comprehensive community assessment was conducted. The purpose of the assessment was to provide an agreed-upon “baseline” from which to identify the City’s future economic development opportunities. The community assessment included the following components:

Socioeconomic Analysis Using a variety of statistical, economic, and demographic sources, FIOG conducted an in-depth analysis of the local and regional economic base.

Competitive Market Analysis Because of the City’s southern location (with respect to the economic centroid of the North Port- Bradenton-Sarasota Metropolitan Statistical Area (MSA), and its linkage with the new and growing North Port/Port Charlotte sub-region), FIOG developed competitive metrics to determine what the positive and negative market characteristics are and determined specific gaps that exist between the City and its competitors. This analysis focuses on the office, retail and manufacturing sectors.

Workforce Analysis & Education FIOG provided recommendations related to supporting workforce development and education programs that will build a workforce capable of meeting future industry demands. The objective was to determine what actions the City, County, economic development agencies, educational institutions, and other stakeholders should take to ensure a high quality workforce that can support future development in the City.

Public Input The FIOG team conducted personal interviews, focus groups, and surveys with representatives from the community. This series of public input activities served several purposes. The purpose of the interviews was to gain a sense of community self-perception and marketing strengths, along with the critical community “buy-in” to the project and its resulting economic development initiatives. Second, it provided qualitative and quantitative information used to sculpt the Community Assessment, Strengths- Weaknesses-Opportunities-Threats (SWOT), and Final Action Plan.

SWOT Analysis Unlike traditional SWOT assessments that focus on issues so general they could apply to almost any community, FIOG paid special attention to those critical issues that will clearly differentiate the City from other communities. The SWOT process used is unique because it ensures that the city considers not only internal issues, but also issues that impact national and international competitiveness.

During the public input process, FIOG conducted a series of 26 stakeholder interviews and three (3) focus group meetings with a total of 71 attendees to assess the public’s perception of strengths, weaknesses, opportunities, and threats. Leaders from government, business, education, civic institutions, the media, and general public participated.

Survey The FIOG team worked with the City and the Business and Economic Development Advisory Board (BEDAB) EDSP Task Force to develop an on-line survey that was transmitted via non-traditional media through the City’s web page and through community partners social media outlets. Over 6,000 surveys were distributed in the period from April 30-May 15, 2012. A total of 920 responses were received with 400 of them providing additional input.

The information gathered during Phase Three also included a benchmark of 3 selected/similar cities or MSA’s, as selected by the City, those being Cape Coral, Deltona, and Port St. Lucie. At the conclusion of Phase Three, FIOG compiled the survey responses and provided a brief summary report of the findings to a joint meeting of the BEDAB EDSP Task Force and the BEDAB Executive Committee.

Phase 4: Draft Economic Development Action Plan Based on the preceding work efforts, FIOG, the City and its stakeholders had a good frame of reference in which to develop a successful strategic economic development program. The process included:

Target Industry Analysis FIOG gathered and synthesized a wide variety of analytical inputs for specific industry clusters. The goal was to arrive at a final list of recommended target sectors that are future-oriented (in terms of strategic opportunities and growth potential) and reality-based (in terms of being unique assets/advantages that the region already possesses or can feasibly nurture) and specifically tailored for the city, and not just based on broad, backward looking industry data.

Best Practices FIOG provided examples, from the immediate area as well as nationally, of what other similar sized communities located within larger MSA’s are doing to re-position their economic base within the context of both the current recession and what most economists believe to be a new economic paradigm based on higher transportation costs and slower growth.

Incentives FIOG provided incentives being used by the State of Florida and other economic development agencies throughout Florida for consideration by the City.

Implementation Strategies FIOG prepared a detailed listing of proposed strategies including responsibilities, metrics, and timing (short term, midterm and long term). To truly achieve the City’s goals, the City needs to achieve a “live, work, buy, and play brand” especially if transportation costs increase.

The information gathered during Phase Four includes a list of recommended target sectors, best practices for tracking available sites and buildings, examples of State and local incentives, and proposed strategies.

Phase 5: Final Economic Development Strategic Plan (EDSP) and Summit This final phase included:

Activities aimed at involving educational and workforce development providers in Economic Development FIOG provided recommendations for involving educational leaders and workforce development providers in the City’s economic development efforts. These recommendations will determine what actions should be taken to ensure a high quality workforce that can support future development in the City and how to promote educational and workforce development programs in the community and to external target audiences.

Presentation—City Commission At the conclusion of Phase Five, FIOG conducted a community planning workshop with the Economic Development Advisory Board (BEDAB) EDSP Task Force and community leaders to review the findings and to present the strategic plan which included the goals, objectives and strategies.

The Final Action Plan was then presented to the City Commission and the community at large at a City Commission meeting.

Accomplishments The City of North Port has accomplished a great deal since the release of the City’s first Economic Development Strategic Plan in 2007. The following section discusses some of the more relevant accomplishments. 2008

 City hired an Economic Development Manager and established a Business Advisory Board with an executive committee and taskforces  City identified incentives to offer business and development prospects  City developed an Entrepreneurial Academy and a Lunch and Learn Program to assist in the retention and expansion of small, local companies 2009

 City adopted five target industries as a focus for business recruitment: Education, Healthcare, Hospitality, Light Manufacturing and Retail Trade 2010  Developed a comprehensive branding and community identity campaign to define the City’s image and to shape its future development  Implemented a Small Business Assistance Program  Developed new marketing opportunities (Inside Business video; collaborated with Sarasota EDC in establishing the SW Florida Economic Development Partnership; placed ads in Florida airports and economic development trade magazines; initiated an e-newsletter to highlight businesses)  Attracted the University of South Florida to the City  Attracted health care, retail and commercial uses, creating new job opportunities for local residents  Developed incentives for local vendor preference and reduced impact fees to attract new business and development opportunities  Participated in the development of Sarasota County’s 5-year Economic Development Strategic Plan to diversify the local economy  Provided support for local events that promote existing North Port businesses  Developed projects to recognize local existing businesses  Supported Vision North Port in the development of a Citizens Master Plan  Expanded the 3-pronged marketing approach for online, print and face-to-face communications  Created the Small Business Revolving Loan Guarantee Fund to provide alternative financing to new and existing micro businesses  Supported a voter referendum establishing ad valorem property tax exemption for new and existing businesses  Completed a hotel feasibility study

2011  Completed the Strategic Marketing Plan  Launched the City Ambassador Program  Secured $30,000 from Sarasota County to fund the Economic Development Strategic Plan Update  Business and Economic Development Advisory Board (BEDAB) provided recommendations to the City Commission on the City’s sign ordinance and Unified Land Development Code (ULDC)

Back to Table of Contents

Section 2

Community Assessment:

Economic Profile CITY OF NORTH PORT Workforce ECONOMIC DEVELOPMENT Analysis

STRATEGIC PLAN UPDATE 2013-2018 Competitive Market Analysis

Benchmarks

SECTION

Community Assessment North Port History The area that is now known as the City of North Port (North Port) and Port Charlotte were originally developed by General Development Corporation (GDC), one of the largest lot sales/community developers in the United States. GDC was founded in the early 1950’s and developed several communities around Florida, the largest being the combined Port Charlotte/North Port Charlotte development. North Port was conceived as the northern part of its Port Charlotte development. North Port was incorporated in 1959 as the City of North Port Charlotte but changed its name to the City of North Port in 1974. It is reported that the change in name was made in order to establish its own identity, apart from Port Charlotte. At its incorporation, the City had roughly 140,000 acres and has since grown to become one of Florida’s top 10 largest cities in land area. Geography/Location The City of North Port lies at the southern edge of Sarasota County within the southwest part of Florida.

Figure 1: North Port Location within Florida

Source: City of North Port

The City of North Port is the largest city in the three county Combined Statistical Area (CSA) of Sarasota, Bradenton, Punta Gorda CSA; which includes two Metropolitan Statistical Areas (MSA’s): the North Port/Bradenton/Sarasota MSA1 (where it is located) and the Punta Gorda MSA which lies immediately to the south. The US Department of Commerce in defining this region as a CSA acknowledges the economic linkage between the two MSA’s. To a large degree the economic linkage of North Port and Port Charlotte is responsible for combining these two MSA’s into the new economic region designated as a Combined Statistical Area.

1 The North Port, Sarasota, Bradenton MSA represent the two counties of Sarasota and Manatee.

Figure 2: Florida’s Combined Statistical Areas

Source: POLICOM from OMB January 2011 definitions Due to its southern Sarasota County location and its proximity to the Punta Gorda MSA, the City of North Port and the urbanized areas of Murdock and Port Charlotte (neither is incorporated) form a singular urban/economic area, as shown below.

Figure 3: The North Port/Port Charlotte Urban Area

Source: City of North Port

The North Port/Port Charlotte/Murdock community lies roughly equal distant between Sarasota and Ft. Myers as shown below. Both Sarasota and Ft. Myers are within 40 miles of North Port. Venice and Punta Gorda are within a 15 mile radius of the center of North Port.

Figure 4: 40 and 15 Mile radii of North Port

Source: Claritas, Inc, 2010; FIOG 2012 Population and Housing

North Port North Port was one of the fastest growing cities in the United States during the early 2000’s. The City accounted for a majority of Sarasota County’s population growth during the 2000-2008 timeframe. It has grown from only 6,205 residents in 1980 to approximately 57,400 as of April 1, 2010. According to the United States Office of Management and Budget (OMB), the City of North Port is now the largest city in the old Bradenton/Sarasota/Venice Metropolitan Statistical Area. As a result of its growth, the Department of Commerce has just changed the MSA’s name to North Port/Bradenton/Sarasota MSA.

Table 1: North Port Historic Population Estimates Population Households Year Population Per Year Per Year 1980 6,205 1990 11,973 577 266 2000 22,797 1,082 436 2002 27,652 2,428 979 2006 50,523 5,718 2,306 2010 57,357 1,709 689 Source: US Department of Commerce; FIOG 2012

During the decade of 2000-2010 the City of North Port was the 8th fastest growing city in Florida in absolute growth. It is interesting to note that the City is only about 20-25% developed as of 2010. The City is projected to have a built-out population of approximately 268,000.

As of 2010, the United States Department of Commerce estimates that North Port residents represent approximately 26% of the entire County’s working age population (20-39) as shown below.

Table 2: North Port Work Age Population Estimates: 2010 Subject Sarasota City of North County Percent TOTAL WORKING AGE POPULATION 20-39 64,084 16,458 25.68% 40-59 99,483 15,267 15.35% Sub Total 20-59 163,567 31,725 19.40% Source: American Community Survey 3 year estimates; FIOG 2012 The City of North Port has 43,226 residents aged 16 and over of which 26,372 or 61% are in the labor force. The Department of Commerce estimated that the unemployment rate was 8.1% as of 2010, as compared to ACS estimate of 13.3%.

Table 3: North Port Employment Status: 2010 Subject City of North Port Estimate Percent EMPLOYMENT STATUS Population 16 years and over 43,226 43,226 In labor force 26,372 61.0% Civilian labor force 26,360 61.0% Employed 22,853 52.9% Unemployed 3,507 8.1% Armed Forces 12 0.0% Not in labor force 16,854 39.0% Civilian labor force 26,360 26,360 Percent Unemployed (X) 13.3% Females 16 years and over 23,137 23,137 In labor force 13,201 57.1% Civilian labor force 13,201 57.1% Employed 11,557 50.0% Own children under 6 years 3,918 3,918 All parents in family in labor force 2,663 68.0% Own children 6 to 17 years 8,907 8,907 All parents in family in labor force 6,703 75.3% Source: American Community Survey 3 year estimates; FIOG 2012

The occupation of North Port residents is fairly evenly distributed between Sales/Office, Management/Business and Services. The top five industrial sectors for which residents are employed are: Education, Retail Trade, Professional Services, Arts and Entertainment, and Construction.

Table 4: North Port Resident Employment Status: 2010 Subject City of North Port Estimate Percent OCCUPATION Civilian employed population 16 years and over 22,853 22,853 Management, business, science, and arts occupations 5,926 25.9% Service occupations 4,885 21.4% Sales and office occupations 6,955 30.4% Natural resources, construction, and maintenance occupations 2,852 12.5% Production, transportation, and material moving occupations 2,235 9.8% INDUSTRY Civilian employed population 16 years and over 22,853 22,853 Agriculture, forestry, fishing and hunting, and mining 49 0.2% Construction 2,375 10.4% Manufacturing 883 3.9% Wholesale trade 563 2.5% Retail trade 3,502 15.3% Transportation and warehousing, and utilities 627 2.7% Information 399 1.7% Finance and insurance, and real estate and rental and leasing 1,756 7.7% Professional, scientific, and management, and administrative and 2,768 12.1% waste management services Educational services, and health care and social assistance 4,884 21.4% Arts, entertainment, and recreation, and accommodation and food 2,593 11.3% Other services, except public administration 1,486 6.5% Public administration 968 4.2% CLASS OF WORKER Civilian employed population 16 years and over 22,853 22,853 Private wage and salary workers 18,832 82.4% Government workers 2,699 11.8% Self-employed in own not incorporated business workers 1,322 5.8% Unpaid family workers 0 0.0% Source: American Community Survey 3 year estimates; FIOG 2012

According to Census estimates, North Port residents had a median household income of $46,795 in 2010 and a mean household income of $55,908.

Table 5: North Port Resident Employment Status: 2010 Subject City of North Port Estimate Percent INCOME AND BENEFITS (IN 2010 Total households 20,479 20,479 Less than $10,000 761 3.7% $10,000 to $14,999 1,181 5.8% $15,000 to $24,999 2,160 10.5% $25,000 to $34,999 3,178 15.5% $35,000 to $49,999 3,816 18.6% $50,000 to $74,999 4,443 21.7% $75,000 to $99,999 2,715 13.3% $100,000 to $149,999 1,408 6.9% $150,000 to $199,999 510 2.5% $200,000 or more 307 1.5% Median household income (dollars) $46,795 (X) Mean household income (dollars) $55,908 (X) Source: American Community Survey 3 year estimates; FIOG 2012 North Port currently serves as a bedroom community of the surrounding region by providing affordable workforce housing. According to Census estimates, only 22% of North Port residents actually work within the City. Slightly over 41% work in other areas of Sarasota County and 35% work outside the County. It is assumed that Charlotte County captures the majority of the out of Sarasota County employment.

Table 6: North Port Resident Employment Commuting Patterns: 2010 Subject City of North Port Estimate Percent TOTAL WORKERS 22,375 Worked In City 4,994 22.32% Worked in County of Residence 14,254 63.71% Worked Outside County of Residence 7,864 35.15% Source: American Community Survey 3 year estimates; FIOG 2012

Sarasota County As stated earlier, North Port lies within Sarasota County. A majority of its estimated growth over the last 10 years occurred within the City of North Port which was a major source of the County’s affordable housing. The County has experienced modest growth over the last two decades (compared to the State as a whole) with the level of growth due to the County’s Growth Management Plan. As mentioned earlier, the County is part of a two County MSA (Manatee County to the north and Sarasota County). With the exception of North Port, most of the MSA’s growth has occurred in northern Sarasota County and Manatee County. Sarasota County had a population of 325,961 in 2000 and grew to 379,448 in 2010; a net gain of 53,487. North Port accounted for 65% of the County’s growth during this period.

Port Charlotte/Charlotte County Charlotte County has experienced moderate growth since 2000; with a 2010 population estimate of 159,978, a gain of 18,351 residents since 2000. Port Charlotte is not incorporated but is defined by the US Census as a Designated Census Area and had an estimated population of 54,392 as of 2010, and an increase of 7,941 residents since 2000. Port Charlotte historically has been the retail/service employment hub for the immediate sub region which includes North Port.

North Port Service/Market Area Within a 10 mile radius of the City center, the North Port Service Area is estimated to contain 169,000 full time residents and almost 73,000 households. By 2015, the Service Area is projected to contain almost 185,000 full time residents and 79,000+ households as shown in Table 7.

Table 7: North Port 10 mile radius Market Statistics 2000 2010 %Change 2015 %Change Description Census Estimate 2000-2010 Projection 2010-2015 Population 119,702 169,019 41.20% 184,791 9.33% Households 53,009 72,650 37.05% 79,325 9.19% Families 36,989 51,816 40.08% 56,813 9.64% Housing Units 62,803 88,162 40.38% 96,130 9.04% Group Quarters Population 817 877 7.34% 900 2.62%

Average Household Size 2.24 2.31 2.32

Aggregate($MM) Household Income $2,406 $4,298 78.64% $5,180 20.52% Per Capita($) $20,232 $25,531 26.19% $28,126 10.16% Source: Claritas, Inc, 2010; FIOG 2012

The City’s 15 mile radius Service Area is estimated to contain approximately 294,000 full time residents in 134,000+ households. Total housing units are estimated at 171,500 units in 2010. By 2015, the 15 mile Service Area is projected to increase to 318,500 with a household count of over 100,000 and almost 186,600 housing units.

Table 8: North Port 15 mile Radius Market Statistics 2000 2010 %Change 2015 %Change Description Census Estimate 2000-2010 Projection 2010-2015 Population 229,389 293,569 27.98% 318,556 8.51% Households 106,045 134,463 26.80% 146,469 8.93% Families 71,911 91,864 27.75% 100,371 9.26% Housing Units 130,237 171,504 31.69% 186,590 8.80% Group Quarters Population 2,788 3,014 8.11% 3,086 2.39%

Average Household Size 2.14 2.16 2.15

Aggregate($MM) Household Income $5,079 $8,238 62.20% $9,826 19.28% Per Capita($) $22,371 $28,266 26.35% $31,039 9.81% Source: Claritas, Inc, 2010; FIOG 2012

Regional Economic Overview As previously mentioned, the North Port/Port Charlotte community was originally developed by General Development Corporation as a retirement center. The area around Murdock developed into the area’s urban center containing a major mall (Town Center Mall), regional banking, and major services including hospitals, the Charlotte County Administration Center, Charlotte Sports Park, etc. and overshadowed the historic employment center of Punta Gorda. Punta Gorda and Port Charlotte have recently recovered from the impact of Hurricane Charley which hit in August 2004 inflicting major damage.

Venice, located to the northwest of North Port also serves as a secondary retail/service hub to North Port residents. As reported in the City’s Comprehensive Growth Management Plan (EAR), Sarasota County (areas other than North Port) serves as the main source of resident employment,(46%), followed by the City itself (27%) and finally Charlotte County (24%).

Table 9: Employment Sectors – Sarasota and Charlotte Counties 2010 Sarasota Charlotte Industry County County Base Industry: Total, all industries 118,390 33,706 Natural resources and mining 391 546 Construction 8,574 2,381 Manufacturing 4,959 511 Trade, transportation, and utilities 24,185 9,196 Information 2,284 440 Financial activities 8,812 1,739 Professional and business services 17,176 3,175 Education and health services 27,434 8,508 Leisure and hospitality 19,358 5,790 Other services 5,211 1,419 Unclassified 7 NC Source: Bureau of Labor Statistics, 2010 Location Quotient Analysis Location Quotients (LQ’s) are ratios that allow an area's distribution of employment by industry to be compared to a reference or base area's distribution. The reference area is usually the U.S., but it can also be a state or a metropolitan area. The reference or base industry is usually the all industry total. The discussion below assumes the defaults are used. LQ’s also allow areas to be easily compared to each other.

If a LQ is equal to 1, then the industry has the same share of its area employment as it does in the reference area. An LQ greater than 1 indicates an industry with a greater share of the local area employment than is the case in the reference area.

Sarasota and Charlotte County employment is highly concentrated in construction, leisure and hospitality, and education and health services as compared to the national economy. Charlotte’s high location quotient in arts and entertainment and retail trade suggest that the County attracts sales revenues from the North Port area and from tourism expenditures. Both areas’ large retirement sectors can be seen in the high LQ in health care and real estate

Table 10: Location Quotient (Cluster) for Sarasota and Charlotte Counties, 2010

Florida -- Sarasota Charlotte Industry Statewide County County

Base Industry: Total, all industries 1 1 1 Natural resources and mining 0.84 0.2 0.96 Construction 1.11 1.4 1.37 Manufacturing 0.47 0.39 0.14 Trade, transportation, and utilities 1.05 0.89 1.19 Information 0.88 0.76 0.51 Financial activities 1.11 1.07 0.74 Professional and business services 1.1 0.92 0.6 Education and health services 0.99 1.32 1.44 Leisure and hospitality 1.24 1.34 1.4 Other services 0.93 1.07 1.03 Unclassified 0.05 0.04 NC

Source: Bureau of Labor Statistics, 2010

Table 11: Location Quotient by Sector (Cluster) for Sarasota and Charlotte Counties, 2010 Florida -- Sarasota Charlotte Industry Statewide County County NAICS 71 Arts, entertainment, and recreation 1.69 2.21 1.9 NAICS 53 Real estate and rental and leasing 1.38 1.46 1.18 NAICS 62 Health care and social assistance 1 1.41 1.61 NAICS 23 Construction 1.11 1.4 1.37 NAICS 72 Accommodation and food services 1.17 1.19 1.32 NAICS 44-45 Retail trade 1.13 1.18 1.78 NAICS 81 Other services, except public administration 0.93 1.07 1.03 NAICS 54 Professional and technical services 1.02 1.01 0.54 NAICS 56 Administrative and waste services 1.27 0.99 0.77 NAICS 52 Finance and insurance 1.02 0.93 0.59 NAICS 51 Information 0.88 0.76 0.51 NAICS 61 Educational services 0.88 0.73 0.29 NAICS 22 Utilities 0.72 0.72 0.29 NAICS 42 Wholesale trade 0.99 0.56 0.32 NAICS 31-33 Manufacturing 0.47 0.39 0.14 NAICS 55 Management of companies and enterprises 0.74 0.29 0.12 NAICS 48-49 Transportation and warehousing 0.88 0.28 0.34 NAICS 11 Agriculture, forestry, fishing and hunting 1.26 0.27 ND NAICS 21 Mining, quarrying, and oil and gas extraction 0.1 0.06 ND NAICS 99 Unclassified 0.05 0.04 NC Source: Bureau of Labor Statistics, 2010

Employment Projections The United States Department of Labor Statistics is projecting that, between 2009 and 2017, Sarasota County will experience an annual increase of 3,600 jobs. Most of the new jobs are projected to take place in Professional and Business Services, and Accommodation and Food Services sectors to be followed by Leisure and Hospitality, and Education and Health Services sectors.

Table 12: Sarasota County Employment Projections Industry Sarasota County Employment Annual Change Code Title 2009 2017 Total Percent Total, All Industries 161,942 190,792 3,606 2.23 11 Agriculture, Forestry, Fishing and Hunting 249 241 -1 -0.40 21 Mining 55 71 2 3.64 23 Construction 10,499 12,699 275 2.62 Manufacturing 5,711 6,316 76 1.32 Durable Goods Manufacturing 4,333 4,854 65 1.50 Non-Durable Goods Manufacturing 1,378 1,462 10 0.76 Trade, Transportation, and Utilities 26,154 30,006 482 1.84 22 Utilities 399 437 5 1.19 42 Wholesale Trade 4,285 5,224 117 2.74 44 Retail Trade 20,110 22,704 324 1.61 48 Transportation and Warehousing 1,360 1,641 35 2.58 51 Information 2,374 2,224 -19 -0.79 Financial Activities 10,138 11,695 195 1.92 Professional and Business Services 20,830 25,858 628 3.02 Education and Health Services 27,785 33,939 769 2.77 Leisure and Hospitality 19,634 24,259 578 2.94 71 Arts, Entertainment, and Recreation 5,078 5,872 99 1.95 72 Accommodation and Food Services 14,556 18,387 479 3.29 721 Accommodation 2,489 3,190 88 3.52 722 Food Services and Drinking Places 12,067 15,197 391 3.24 81 Other Services (Except Government) 8,508 9,816 164 1.92 Government 15,175 16,944 221 1.46 Federal Government 987 981 -1 -0.08 State Government 2,132 2,409 35 1.62 Local Government 12,056 13,554 187 1.55

Self-Employed and Unpaid Family Workers 14,830 16,724 237 1.60 Source: US Department of Labor Statistics, 2010

Charlotte County Due to the employment size of Charlotte County, neither the State of Florida nor the US Department of Labor publishes employment projections for the County.

North Port/Venice/Port Charlotte The economic base of the Venice/North Port/Port Charlotte/Punta Gorda sub region is predominately retirement/second home oriented with North Port becoming a center for workforce housing for the Sarasota market. The local employment base is primarily non basic jobs supporting the local resident and tourism markets.

Major Employers The following is a list of the areas’ largest employers. Sarasota County includes both public and private employers while Charlotte County lists only the largest private employers. As can be seen, most of the private employment is related to medical centers and grocers. The area is highly dependent on the public sector which is representative of a retiree and tourist economy.

Table 13: Largest Employers, 2009

Sarasota # Employees Charlotte # Employees School Board of Sarasota County 5,297 Charlotte County Government 3,404

Sarasota Memorial Health Care 3,092 Wal-Mart Associates 1,500

Sarasota County Government 2,033 St. Joseph Healthcare 1,400 Publix 1,601 School Board of Charlotte County 1,028

PGT Industries 913 Publix 977

Venice Regional Medical Center 830 Fawcett Memorial Hospital 716 SunTrust Bank 819 Port Charlotte HMA 700

City of Sarasota 740 Punta Gorda HMA 680

Sun Hydraulics 640 Home Depot USA 450 Comcast Cablevision 595 Palm Chrysler Plymouth Dodge 300

City of North Port 549 Winn Dixie 267

Sunset Automotive Group 500 Palm Chevrolet-Oldsmobile 230 Ritz Carlton 473 Punta Gorda Associates 230

Goodwill Industries 473 Sam’s West 200

Longboat Key Club & Resort 417 Douglas Jacobson Veterans Hosp. 200 Doctors Hospital of Sarasota 400

Source: Sarasota County Chamber and Charlotte County Economic Development Dept. 2011/12

North Port The City of North Port has been highly dependent on the construction sector during the early to mid- 2000’s. The City experienced a housing (construction) boom from the mid 1990’s through 2007; therefore its economic base was highly oriented to the building/construction and associated trades. This led to the construction of both a Home Depot and Lowes megastores. Non-residential construction has been modest but when compared to the County as a whole is small. The City’s non-residential permits per square foot ratio compared to Sarasota County are 1:10 during the 1995-2005 time periods (or only 10% of the County)2.

2 North Port EAR Housing Element (2007)

US Economic Census 2007- North Port The US Economic Census 2007 results were partially available at the time of this report. The City contained six (6) establishments within NAICS 51 industry group (Information) with a total of 16 employees; four (4) firms within educational services (NAICS 61) employing 4, and 29 establishments within NAICS code 72 (accommodations and food) employing 524.

US Economic Census 2007 – Port Charlotte Port Charlotte is mainly a retirement center with non-basic industry support including medical, automobile dealers, furniture etc. The largest economic sector has been the building trades and related industries. Port Charlotte had 10 Information (NAICS 51) establishments employing 445, five (5) educational service establishments employing 26 and 72 accommodation and food service establishment employing 1,671+. Port Charlotte has been named one of the Best Places to Retire by Money Magazine3. It was also named one of the top three places to live & play golf by Golf Magazine and one of Sail Magazine’s top ten places to sail. It is home to Major League Baseball’s Tampa Bay Rays’ spring training center (Port Charlotte Sports Park) and the Florida State League’s Charlotte Stone Crabs. The Sports Park is located about 5 miles from the center of North Port.

Figure 5: Port Charlotte Sports Park

Source: North Port Hotel Feasibility Study, September 2010

Located just south of Port Charlotte, the City of Punta Gorda has recently opened the Charlotte Harbor Event & Conference Center. The 43,500 sq.ft. conference center offers state-of-the-art facilities consisting of professional and flexible multi-purpose spaces. The center's largest meeting space measures nearly 20,000 sq. ft., enough for 112 booths or 1,517 delegates seated theater style. It also features 8,500 sq. ft. of public concourse and meeting rooms.

Figure 6: Charlotte Harbor Event & Conference Center

Source: North Port Hotel Feasibility Study, September 2010

3 http://money.cnn.com September 24, 2009

Regional Market/Economic Summary As shown in the preceding sections, the City of North Port lies at the southern boundary of Sarasota and Manatee Counties, Metropolitan Statistical Area (MSA). It also lies immediately north of another MSA that encompasses only one County (Charlotte). MSA’s are areas that exhibit strong economic inter- relationships. Therefore, Manatee and Sarasota have inter-related economies, which does not extend to Charlotte County (as it is its own MSA). As mentioned earlier, as of December 20094, due to its population growth during the 2000-2009 time period, and as the largest city within the two county MSA, North Port qualified as a new principal city of the Bradenton-Sarasota-Venice, FL MSA. This resulted in the new MSA name, North Port-Bradenton-Sarasota, FL MSA. The US Office of Management and Budget has also recognized this overall area as a Combined Statistical Area referred to as the Sarasota, Bradenton, Punta Gorda CSA. It should be noted that designation was done prior to North Port being recognized as the largest principal city in the CSA and one would assume that its name would change to North Port, Bradenton, Punta Gorda CSA in the future. As noted, while North Port is the largest city in the MSA, it is somewhat remote from the economic and population center of the MSA which appears to be approximate to the Manatee/Sarasota County line. That said, the City is historically linked to Port Charlotte/Punta Gorda’s economy especially in retail and medical services as recognized in the region’s designation as a CSA.

Both MSA’s (and CSA’s) are projected to grow, albeit Charlotte County’s growth is projected to be significantly slower than its northern counties. The economies of the MSA’s are largely based on retirees and its large seasonal and tourism population which is drawn to its beaches, boating, climate, natural resources and cultural facilities.

The economies of both MSA’s where highly clustered into four major economic sectors:  Construction (NAICS 23)  Arts, entertainment, and recreation (NAICS 71)  Real Estate and rental and leasing (NAICS 53)  Accommodation and food services (NAICS 72)

While both Sarasota and Charlotte Counties have a large and significant retirement and seasonal population and housing segment, the City during the 2000’s captured a large percent of Sarasota’s working households as a result of the construction of affordable workforce housing. As a result, the City has a significantly younger population than Sarasota or Charlotte Counties.

The immediate North Port Service Area (10 mile radius) is currently estimated to have a permanent population of 169,000 growing to almost 185,000 by 2015. Per capita income is currently estimated at $25,500 rising to $28,126 by 2015.

4 OMB Bulletin # 10-02, December 1, 2009 and a new MSA code: 35840

Activity Centers 5 The City of North Port has significant space to grow. As previously noted only about 20-25% of the City is developed. The City is actively promoting economic growth within its boundaries. It should be noted that when first incorporated the City was almost entirely platted for residential development but since that time the city has aggregated platted lots, rezoning them for nonresidential uses as well as annexing surrounding vacant land in order to diversify its residential offerings as well as increasing nonresidential land uses.

The City has, as part of its Long Range Comprehensive Plan, created 8 major Activity Centers (containing 4,184 acres) where it hopes to direct future employment.

Figure 7: North Port Activity Centers

Source: City of North Port 2012 Activity Center #1 is the City’s oldest and most developed center of commercial activity. The Activity Center falls within the US 41 corridor and stretches for approximately three miles. It contains 716 acres; should all current development plans be completed the Activity Center would only have about 18% vacant land available. Activity Center #2 is located on all four quadrants at the intersection of Sumter Boulevard and Price Boulevard, both of which are major arterials. The Activity Center contains 556 acres of which 521 are developable. The Activity Center has been designated as the new City Center. It currently contains the new Government Center, two shopping centers and has 138 acres available. Activity Center #3 is located around all four quadrants of the I-75/Sumter Boulevard interchange and is established to provide for lower intensity highway uses such as motels, restaurants, or other uses primarily serving interstate commuters, and a 32 acre site for a future hospital. The center contains a

5 City of North Port

total of 177 acres, all of which are vacant at the present time. It should be noted that the northwest and southwest quadrants of this Activity Center abuts the Myakkahatchee Creek, a water source for the City, and future development will require assessment of impacts to the creek prior to development. This Activity Center is currently not served by municipal water or sewer service.

Activity Center #4 contains 1,558 acres of which 1,297 are developable and is located around the I-75 Toledo Blade Boulevard interchange and extends a considerable distance southward to the banks of the Snover Waterway. Portions of the Panacea Development of Regional Impact (DRI) and North Port Park of Commerce and Industrial Park are included in the area. Municipal water and sewer service is available to already existing development or is planned to be extended as development comes online.

Activity Center #5 is located on all four quadrants of the intersection of Toledo Blade Boulevard and Price Boulevard, both major arterials. The Activity Center abuts Activity Center #4 at Snover Waterway. The Activity Center contains 670 acres; with 298 net acreage remaining. The only operational business within the Activity Center is King Plastics.

Activity Center #6, while also having an I-75 location is located in the vicinity of Raintree Boulevard and Yorkshire Boulevard just off I-75. The Activity Center is an overlay district consisting of existing older platted residential lots. To develop as an Activity Center, it will require funding for an interchange with

I-75 and this is not anticipated anytime in the near nor mid-term future.

Activity Center #7 was established to provide protection for Warm Mineral Springs while at the same time allow for the development of synergistic uses supporting the Springs, which is co-owned by the City and Sarasota County. The Activity Center contains 81 acres of which 48 acres remain developable.

Activity Center #8 is located in the West Villages adjacent to US 41. It contains 81 acres, of which 33 percent is unbuildable due to environmental sensitive lands, with 48 acres of buildable land.

Figure 8: North Port Park of Commerce located in Activity Center 4

The North Port Park of Commerce is an upscale 170-acre mixed-use commercial, office, professional, and light industrial master-planned development. The park features over 4,700 linear feet of road frontage along Toledo Blade Boulevard, affording excellent exposureand visibility.

The Park offers a wide range of fully developed parcels to accommodate commercial and industrial users of all sizes. In addition to parcels for sale, there is available office-warehouse flex space, as well as professional office space.

The City designated this as an Activity Center to permit the highest allowable development intensity and density.6

The North Port Park of Commerce is currently the most viable location in the City that has office, light industrial and commercial space readily available. This park offers the only “shovel ready”7 sites for new business development prospects or for existing businesses wishing to expand and it should be promoted as the City’s premier business location.

6 ArnoldCompanies.net 7 Shovel ready is a site that is available for immediate development with proper zoning, permitting and infrastructure (roads, water, sewer, power and telecommunications) in place.

Quality of Life

Educational Attainment Secondary Education Higher Education is available at the University of South Florida Sarasota-Manatee campus, State College of Florida in North Port and the Charlotte Technical Center in Port Charlotte, as well as Florida Gulf Coast University and Edison State College in Punta Gorda.

Table 14: Higher Education

Source: SRI International “Workforce Structure and Capabilities in the Tampa Bay Region Study”, September 2010

North Port Public School Ratings The City of North Port has nine schools, seven of which had an “A” rating in 2010-11; the other two had a “B” rating. Table 15: School Ratings

Source: Florida Department of Education

Hospitals North Port is served by one ER facility (North Port ER) in the city and by four full-service medical facilities in the area, those being:

 Peace River Regional Medical Center - Port Charlotte  Fawcett Memorial Hospital - Port Charlotte  Charlotte Regional Medical Center - Punta Gorda  Venice Regional Medical Center - Venice

Ethnicity The City of North Port is predominately White at 87.6 percent, compared to the State at 75 percent. North Port has 7 percent Black, compared to the State at 16 percent and 8.7 percent Hispanic, compared to the State at 22.5 percent.

Table 16: Ethnicity Race alone or in combination with one or more other races North Port Florida Total population 57,357 18,801,310 White, percent, 2010 87.60% 75.00% Black or African American, percent, 2010 7.00% 16.00% American Indian and Alaska Native, percent, 2010 0.30% 0.40% Asian, percent, 2010 1.20% 2.40% Native Hawaiian and Other Pacific Islander, percent, 2010 0.10% 0.10% Persons reporting two or more races, percent, 2010 2.20% 2.50% Hispanic or Latino (of any race), percent, 2010 8.70% 22.5% White persons not Hispanic, percent, 2010 81.5% 57.9%

Source: U.S. Census Bureau, 2006-2010 American Community Survey

Crime Statistics North Port crime statistics report an overall upward trend in crime based on data from 10 years with violent crime increasing and property crime increasing. Based on this trend, the crime rate in North Port for 2012 is expected to be higher than in 2009.

In 2009, the city violent crime rate in North Port was lower than the violent crime rate in Florida by 49.81 percent and the city property crime rate in North Port was lower than the property crime rate in Florida by 35.72 percent.8 Table 17 & 18: Crime Indexes

Source: Cityrating.com

8 CityRating.com

Housing Market Data In the May 2012 Demand Institute study- The Shifting Nature of U.S. Housing Demand, it was stated that the U.S. housing recovery will not be uniform across the country. While prices will rise by 3 to 3.5 percent a year on average between 2015 and 2017, some regions could see rises of 5 percent or more by 2015. Elsewhere, prices could remain flat or even continue to fall over the next three years.

About 20 percent of the population lives in areas which will see the slowest rate of recovery. Price drops have been higher than the national average and there is a large proportion of foreclosure inventory. These localities also suffer from higher than average unemployment, are more sparsely populated, and have low walkability. The fact that housing is relatively cheap compared to the national average will not greatly assist recovery. Indeed, long-term prospects are most uncertain. We do not expect price rises to reach the national average even by 2017. Examples of cities in this segment include the smaller suburbs of major metropolitan areas in Florida, such as Tampa and Orlando.”9

Due to the national, state and local recession the housing market in North Port has been severely impacted. The City of North Port experienced the most active period for residential permits from 2002- 2005, with a high in 2004 of 4,114 permits issued. The most active period for commercial permits was in 2004 and 2009 with 61 permits in 2007 and 59 permits in 2004 and 2009.

Table 19: Permitting Activity Year Commercial Residential Multi-Family Total 2011 18 23 0 41 2010 45 91 0 136 2009 59 64 0 123 2008 47 41 0 88 2007 61 185 0 246 2006 53 627 0 680 2005 57 2,826 91 2,974 2004 59 4,114 55 4,228 2003 17 3,088 15 3,120 2002 14 1,821 38 1,873 Source: City of North Port Building Dept. (February 2012)

The National Association of Home Builders/First American Improving Markets Index in May 2012 showed a 3.5% increase in permits for the City of North Port from 1/31/09 through 3/31/11. While Punta Gorda had an increase of only 1.1% and Tampa was 1.7%. This is a good indicator that the housing recession has turned the corner in North Port; however it is unlikely that the City of North Port will ever return to the permitting activity of the mid 2000’s.10

9 May 2012, Demand Institute 10 National Association of Home Builders (IMI), May 2012

Table 20: First American Improving Markets Index Permits Growth Prices Growth Employment Growth Trough From Trough From Trough From # MSA Date Trough Date Trough Date Trough

1 Little Rock, AR 04/30/11 1.4% 02/28/11 4.7% 02/28/10 1.0% 2 Phoenix, AZ* 03/31/09 3.8% 06/30/11 4.5% 09/30/10 4.1% 3 Boulder, CO 11/30/09 12.3% 01/31/11 0.1% 03/31/10 4.6% 4 Denver, CO 03/31/09 3.4% 02/28/11 0.5% 01/31/10 4.2% 5 Fort Collins, CO 03/31/09 7.3% 12/31/10 0.9% 09/30/09 4.3% 6 New Haven, CT 04/30/11 1.2% 02/28/11 2.0% 02/28/10 3.1% 7 Washington, DC 01/31/09 0.9% 01/31/11 1.3% 02/28/10 3.9% 8 Cape Coral, FL 03/31/09 4.0% 02/28/11 6.1% 01/31/10 3.5% 9 Crestview, FL 11/30/08 3.1% 04/30/11 6.9% 03/31/10 4.8% 10 Deltona, FL 03/31/11 3.2% 03/31/11 8.4% 12/31/10 0.1% 11 Jacksonville, FL 04/30/09 1.8% 02/28/11 3.7% 03/31/10 2.4% 12 North Port, FL 01/31/09 3.5% 03/31/11 2.9% 12/31/10 2.3% 13 Orlando, FL 05/31/09 3.3% 04/30/11 2.5% 12/31/09 2.2% 14 Panama City, FL 08/31/10 5.4% 04/30/11 2.4% 12/31/09 2.0% 15 Pensacola, FL* 05/31/09 0.3% 05/31/11 4.0% 12/31/09 1.4% 16 Punta Gorda, FL 01/31/09 1.1% 02/28/11 7.4% 06/30/09 2.5% 17 Tampa, FL 03/31/09 1.7% 03/31/11 2.3% 01/31/10 3.8% 18 Hinesville, GA* 02/28/11 11.2% 06/30/11 2.4% 12/31/07 7.7% 19 Rome, GA 05/31/11 15.1% 05/31/11 10.3% 08/31/11 1.6% 20 Warner Robins, GA* 09/30/11 3.0% 05/31/11 2.0% 12/31/07 2.9% Source: National Association of Home Builders/First American Improving Markets Index (IMI), May 7, 2012

Economic Profile Summary Location North Port is part of the Metropolitan Statistical Area (MSA) of North Port/Bradenton/Sarasota MSA and is the largest city in the three county Combined Statistical Area (CSA) of North Port/Bradenton/Sarasota/Punta Gorda CSA • Includes 2 MSA’s- • North Port/Bradenton/Sarasota MSA and the Punta Gorda MSA • Combined due to commuting patterns • NORTH PORT IS PART OF A REGIONAL ECONOMY Population and Employment • Population increase of 152% in the period 2000-2010 (Most occurring in 2002-2006), Florida was 18%. • Population is relatively young- average age is 40.9; Sarasota is 50.5; Florida is 40.7. • 8th fastest growing city in Florida from 2000-2010 • Average commute is 28.1 minutes, FL is 25.7 minutes • Only 22% of residents work within the City of North Port • Occupations in North Port are evenly distributed with largest percent of residents employed: • Sales/Office occupations • Management/Business occupations • Service occupations • Top 5 industry sectors are: Education, healthcare and social assistance. Followed by Retail Trade, Professional Services, then Arts Entertainment & food services, followed by construction. During the early to mid 2000’s North Port was highly dependent on the construction sector. Large retirement sector with high concentration of jobs in Health Services • Largest employers in Sarasota County are School Board, Government and Healthcare (Hospitals) Activity Centers

 City created 8 activity centers (Totaling 4,184 acres) as part of its Long Range Comprehensive Plan to direct future employment. Only Activity Centers 1, 4 and 6 allow for Light Industrial and AC 6 has no power or interstate access. Only 56 acres of vacant land remain within both Trott Circle and North Port Commerce Park. • Commerce Park located in Activity Center 4 has 170 acres of mixed use with commercial, office, professional, and light industrial. The ONLY true “Shovel Ready” sites in the city with easy access to I-75. Commerce Park still has limited vacant commercial and vacant industrial sites available. City needs to be careful on what is allowed to go on those parcels. Vacant commercial parcels need to be office and not strip commercial. • North Port should guard against giving up these premiere sites to just any use. Look at what Charlotte County has done around the airport which is now bringing in businesses.

Quality of Life

 City of North Port has nine schools, seven of which had a “A” rating in 2010 and the other two had a “B” rating  Higher Education available at University of South Florida, State College of Florida, Charlotte Technical Center, Florida Gulf Coast University and Edison State College  One ER facility and four full-service medical facilities  Ethnicity - North Port is predominately White at 87.6%, compared to the State at 75%  Population will continue to diversify and become more Hispanic  Crime rate is up over the past 10 years  Housing permitting - High was in 2004, with most activity during 2002-2005. Multifamily has not been built since 2005. With the younger population, multi-family housing needs to be encouraged. The fact that North Port has affordable housing will only take it so far as the price of gas continues to increase, eventually the younger population will move away since they have limited rental housing/apartment options.

Workforce Structure11 Both Sarasota and Charlotte counties services base have been highly oriented to the construction and trade sectors. Education and Health Services; and Trade, Transportation and Utilities are major employment sectors as are Leisure/Hospitality, and Professional and Business Services.

In September 2010, the Tampa Bay Partnership and the Tampa Bay Regional Planning Council contracted with SRI International to conduct a “Workforce Structure and Capabilities in the Tampa Bay Region Study.” This study was the instrument used to establish the target industries for the region. Following are key findings for Sarasota County from that study.

Sarasota County has experienced a decrease in employment from 2004 to 2009 at an annual rate of - 3.8%. While the county has undergone a decline in employment, there have been pockets of growth. The highest‐growth career pathways in Sarasota County, which include Animal Systems, Visual Arts, and Telecommunications, have grown at rates of over thirty percent annually.

The workforce of Sarasota County is primarily employed in occupations that require low levels of training, education and experience. Nonetheless, a small but growing proportion of Sarasota County occupations require extensive preparation.

The largest career pathway in the county is Restaurants & Food/Beverage Services, followed by Administrative & Information Support and Therapeutic Services. Between 2004 and 2009, Sarasota County has experienced decline or negligible growth in many of its largest career pathways, but Teaching/Training and Maintenance/Operations (Construction) are two career pathways that experienced growth, with rates of 6.8% and 12.8% respectively. Between 2004 and 2009, the career pathways adding the highest number of new jobs in Sarasota County were: Maintenance/Operations (Construction), Teaching/Training, and Insurance Services. Compared to the national average, Sarasota County’s most concentrated career pathways include Consumer Services; Telecommunications; and Maintenance/ Operations (Construction). Each of these pathways experienced employment growth between 2004 and 2009.

Cross‐functional skills related to management and human resources are concentrated in the county’s workforce, including Social Perceptiveness, Persuasion, Coordination, Management of Personnel Resources, and Negotiation. Work activities evidence a very communication‐oriented workforce.

The workforce of Sarasota County is primarily employed in occupations requiring low levels of training, education and experience.

 In 55.1% of the county’s current jobs, employees are required to have no more than low levels of job preparation. This is slightly higher than the national average of 52.5%.  While occupations requiring extensive preparation make up only 4.7% of the county workforce, the number of jobs in this category increased at a rate of 3.4% annually.

Higher education institutions headquartered in Sarasota County awarded 16,247 degrees and certificates over the past decade.

11 SRI International Workforce Structure and Capabilities in the Tampa Bay Region Study, Sept. 2010

In North Port, as in the nation, demographic trends present important opportunities and challenges for workforce development. The population in North Port is younger and less ethnically diverse than the state. The educational level is slightly better than the Florida average for those individuals with a high school diploma and lower for those with a bachelor’s degree or higher. The share of the state’s workforce employed in elite, knowledge-intensive occupations is low. Domestic in-migration will be the most important source of population and workforce growth for the City of North Port. 12

Table 1: Ten Largest Career Pathways

Source: SRI International “Workforce Structure and Capabilities in the Tampa Bay Region Study”, September 2010 It will be a challenge to improve workforce quality in order to compete successfully in the 21st century knowledge-based economy. North Port will need to guard against losing its college-age population to other places that have more diverse job offerings. Suncoast Workforce The City of North Port is served by the SUNCOAST Workforce Board which includes Manatee and Sarasota Counties. Since the official end of the recession in June 2009, online job demand in the Suncoast Workforce region has increased by 4,427 jobs. Labor demand, measured by online advertised vacancies, bottomed out in January 2009, and the Suncoast Workforce region has seen demand increase by 5,931 openings since then. Online advertised vacancies were 9,964 jobs for Suncoast Workforce in March 2012. This represented an increase of 323 jobs (+3.4 percent) from March 2011. Over the month, Suncoast Workforce experienced an increase (+5.3 percent) in job demand, from 9,458 job ads in February 2012 to 9,964 job ads in March 2012.13

The SUNCOAST Workforce Board reported 13,841 residents from North Port received career services in the past three years. The number of residents from North Port that received career services and entered employment in the past three years was 557 (this is an underreported/recorded category).

12 21st Century Workforce Study: Sarasota and Manatee Counties, 2003 13 The Conference Board, Help Wanted OnLine, prepared by the Florida Department of Economic Opportunity, Labor Market Statistics Center.

Under the Workforce Investment Act training enrollees for 2010/11 and 2011/12, were 49 trainees enrolled from North Port Area in 2010/11 and 48 enrolled in 2011/12. To put that in perspective, trainees are allotted up to $5,000 per year for training for up to two years. This means that the workforce board obligated approximately $240,000 to North Port residents for training in each of these program years. The Tampa Bay Partnership reported in the Winter 2012 Scorecard that of the 15,500 jobs reported in the Tampa Bay Region, South Tampa Bay (Manatee and Sarasota) accounted for 233, an MSA growth rate of 0.10% year-over-year (2010Q3 – 2011Q3). The most recent updated data shows 3,400 jobs gained between Jan. 2011 and Jan. 2012, for a 1.4% growth rate.14

Mobile Career Center The Suncoast Mobile Career Center is an eleven-station computer lab on wheels with state-of-the-art equipment. This Mobile Career Center has most of the resources available in the resource rooms of Suncoast Workforce, the local one-stop career centers. The Mobile Career Center is located in North Port every Monday at the library, every Wednesday and two Tuesday’s at the North Port Family Services Center in the month, for a total of 10 days during each month. Job seekers use the Mobile Career Center to conduct an online job search, receive referrals to employers with available positions, write resumes and cover letters, and evaluate their work skills, study software applications with Microsoft Tutorials, and much more. All services are available at NO COST to job seekers. Employers use the Mobile Career Centers to conduct computer training for employees, benefits workshops, or any classroom activity requiring computer and/or Internet capability. Non-profit organizations may use the Mobile Career Centers at no cost, while for-profit organizations and businesses are charged a fee.

Job Seekers Services Suncoast Workforce (SW) focuses on enhancing Manatee and Sarasota communities by assisting residents with employment that ultimately helps them gain independence, better their career, and most importantly place them in a gratifying position with an employer.

Table 2: Resources and Training from Suncoast Workforce Resources Training  Unemployment Compensation Information  Ability to complete GED in the Learning Lab  Employ Florida – Connects individuals with  Assistance available for various training programs employers and provides résumé building  Career Seeker Seminars opportunities  SW Workforce Professionals Network – a two week  Resource Room with computers, internet access, series of workshops with speakers and presentations copiers, phone and fax focused on employment  Labor market information to help determine which  SW Resume Writing Workshops industries are in, and not in, demand  Workforce Investment Act (WIA)  Skills assessments to determine abilities  Training programs available at educational institutions  Software tutorials to polish professional skills on Approved Training Vendor List  Veterans Services  Training programs are linked to high demand  Workers with Disabilities occupations on the Regional Targeted Occupation List  Youth Services for Region 18 (Manatee & Sarasota Counties) Source: Suncoast Workforce Board web site. April 2012

14 Tampa Bay Partnership Winter 2012 Scorecard

Job search assistance, training scholarships, skills development and other services for veterans, military families, laid-off workers, low-income individuals, youth, and professional adults are available through the Suncoast Workforce Career Center.

Training Services Suncoast Workforce acts as a liaison between individuals and local educational institutions to develop the training programs needed or to connect individuals with local training providers. They also help individuals find ways to finance that training by directing them to local, state or federal programs that are dedicated to workforce development. Their services include:  On-the-Job Training - This program provides an incentive for employers to hire qualified people who may not have the experience for a desired position. By hiring an employee in a training capacity, a business can be reimbursed for a portion of that employee’s salary for up to six months.  Incumbent Worker Training - All for-profit businesses that have operated in Florida for at least one year are eligible to receive Incumbent Worker grants for current employees, which cover up to 50 percent of training costs. These grants are available through Workforce Florida. Workforce Summary

 Cross- functional skills related to management and human resources are concentrated in the county’s workforce.  The workforce of Sarasota County is primarily employed in occupations requiring low levels of training, education and experience.  In 55.1% of the county’s current jobs-employees are required to have no more than low levels of job preparation. Only slightly higher that US avg. of 52.5%.  Occupations requiring extensive preparation make up only 4.7% of the county workforce. This is not just a North Port problem, it is a county problem.  Job growth rate in Tampa region is up this year at 1.4%, previous year it was 0.10%.

Ten Largest Career Pathways

 Largest concentration is in Construction Maintenance followed by Construction and then Administration and Information Support.  North Port needs to guard against losing its college age population to other places that have more diverse job offerings.

SUNCOAST Workforce Board SUNCOAST Workforce Board is active in North Port with the mobile career center being there 10 times/month. Over $240,000 a year has been spent on training in North Port during the past 2 years. The SUNCOAST Workforce Board reported 13,841 residents from North Port received career services in the past three years. The number of residents from North Port that received career services and entered employment in the past three years was 557.

Competitive Market Analysis The City of North Port lies at the southern boundary of Sarasota County adjacent to Charlotte County. As previously mentioned, Manatee, Sarasota and Charlotte counties form a Combined Statistical Area or region. The formation of this new region is largely due to North Port’s strong growth in the last decade and its linkage to Port Charlotte which had served as its major retail/office center.

The overall regional market has been depressed for five years. North Port experienced significant growth from 2000-2006 as it was positioned as the affordable/workforce housing center for the MSA, registering 65% of Sarasota County’s growth. Like most of Florida, the “Great Recession” had a significant dampening effect on the MSA’s growth since 2007. According to US Census estimates the City is still experiencing some growth, which may not reflect the large number of foreclosures within the City. There are currently (May 8, 2012) 822 homes in foreclosure15 which does not include those foreclosures for the last 3-4 year period that have been resold. Port Charlotte currently has 1,223 foreclosed homes. There seems consensus that foreclosure rates, nationally and within Florida, will increase at least for the short term as banks speed up their foreclosure backlog caused by Court delays over the past 12 months. Economic projections from leading economists including Dr. Sean Snaith16 (University of Central Florida) indicate recovery not fully taking hold until 2015 with payrolls (employment) taking to mid-2016 to recover to pre-recession levels.

The University of Florida’s Bureau of Economic and Business Research (BEBR) in its latest population projections reduced Sarasota County’s 2015 population projection to 394,800 from its 2011 estimate of 381,319 or a net gain of only 13,481 or approximately 6,300 households. The critical question is whether the City of North Port will continue to attract the bulk (65%) of the County’s growth by virtue of lower housing costs or whether changing housing demand (rental demand), and transportation costs will negatively impact the City’s growth. Retail Retail space traditionally follows residential development or “roof tops”. As North Port was experiencing its significant growth spurt, numerous retail developments were built within the City as well as in neighboring Port Charlotte. Some of the construction was premised on the continued growth pattern of the early 2000’s, the expectation of continued growth as well as cannibalization of Port Charlotte’s retail market, as shown by the completion of Cocoplum Village Shops (Phase 2). The County has approximately 10 million square feet of retail space and a vacancy of 13.7%17 or a vacancy of 1.3 million square feet. Absorption peaked in 2004 at 150,000 square feet giving the County approximately 6 years of inventory assuming a normal healthy vacancy rate of 5%.

Of the total existing shopping center space located within the North Port market area, approximately 55% of the space is situated in neighboring Charlotte County and 45% is located in Sarasota County. This space represents approximately 85% of Charlotte County’s total shopping center space and 26 of Sarasota County’s.

15 Trulia.com 16 Florida & Metro Forecast, 2012-15 17 reisreports.com/Markets/Florida/Sarasota/Retail/

Figure 1: 30 Mile Radii of North Port

Source: Claritas, Inc, 2012; FIOG 2012 Significantly, almost half (45%) of the market areas’ shopping center inventory is 20 or more years of age.18 Only 12% of the existing shopping center space was opened during the past 10 years and almost half of all the space (46%) was built during the 1980’s. Thus, the existing shopping center space supply within the market area is somewhat antiquated.

In general, residents in the southern part of Sarasota County, which includes the larger cities of both North Port and Venice, are filling a major share of their comparison shopping needs in the City of Sarasota and its suburbs to the north or at commercial facilities available to the south in Port Charlotte which is located in neighboring Charlotte County. Both of these communities are anchored with regional mall retail centers and large amounts of adjacent commercial space. That said, new developments like Cocoplum Village Shops (Phase 1 and 2) as well as Home Depot and Lowe’s home improvement warehouses are increasingly being built to satisfy North Port’s demand rather than Port Charlotte and/or regional demand.

The delineated North Port primary market area is presently underserved by both retail and other commercial services establishments and facilities. In light of increasing transportation costs, primarily fuel prices, and increasing congestion on the local/regional transportation network, commercial development opportunities to serve this market are anticipated to increase exponentially during the future should the City maintain its ability to attract working age households.

18 Age significantly impacts the marketability of shopping centers. Lease pods are wider and shorter than 10 years ago. Signage and architectural finishes are also significantly different. Centers that used to be anchored with drug stores are experiencing problems as drug stores now are located on free standing parcels usually located at major intersections or what is considered 100% corners.

Retail Metrics The overall MSA market has continued to experience a declining retail real estate market, with sales prices declining from their 2006 highs of $294 per square foot to a current asking price of $194 per square foot, as shown on following table. Sarasota County’s retail market asking price has declined from a high of $326 per square foot in 2006 to a current asking price of $245 per square foot. The City of Sarasota is the retail center for the County and MSA, and has seen asking prices decline from $358 to $269 per square foot. It should be noted that the Metro, County and City of Sarasota retail asking prices are still significantly higher than the State’s asking price of $152, reflecting the region’s higher median income. Retail Rents Retail rents have experienced significant declines over the last five years. Asking retail rents have converged for the MSA, County and City of Sarasota in the mid $14 per square foot range, down from a high of $23 per square foot in 2006 within the City of Sarasota and $21 per square foot for the County. With the exception of Cocoplum Village Shops, Phase 2, little new construction has taken place within the region since the recession, as lower rents and financing requirements are negative for new construction. Some indication that the market is bottoming-out is the recent announcement that Benderson Development and Taubman are moving ahead with the construction of The Mall at University Town Center in Sarasota at I-75. The approximately $315-million, two-level enclosed shopping center will feature an 80,000 square foot Saks Fifth Avenue, a 160,000 square foot Macy's and a 180,000 square foot Dillard's, along with approximately 115 stores – more than half expected to be new to the market. In addition, a fourth department store is planned to be added at a future date.

Overall, the North Port and vicinity market is soft with limited absorption expected in the short term, at least until the housing market shows true signs of recovery, which is not expected until late 2013 to mid- 2014, given the projected increase in foreclosure activity expected in the short term.

Graph 1: Sale Trends (Retail)

Source: LoopNet March 2012

Graph 2: Lease Trends (Retail)

Source: LoopNet March 2012 Office Office developments have no defined trade or market area.19 Location is affected by numerous factors including:  Employee access  Traffic congestion (drive time)  Parking  Image  Hotel/Restaurant amenities  Fuel/Transportation costs (employee costs)

As mentioned earlier in this report, most of the County’s larger retail and office developments (Lakewood Ranch, Palmer Ranch, etc.) cater to the historic population center of the region (northern Sarasota County and Manatee County). Similarly, planned commercial development on the University Parkway corridor in Sarasota primarily serves City of Sarasota area residents, and to a much lesser extent, Bradenton area residents.

The southern part of Sarasota County, due to its smaller population base, did not experience any major retail or office developments until recently. Its residents had to travel longer distances to purchase goods or find employment. From a technical level this southern area served as a secondary and/or tertiary market to the County’s northern retail and office developments (the exception being retail opportunities within Charlotte County).

The City of North Port and the southern sectors of Sarasota County are considered an entirely separate market, and to a great extent more closely associated with the Port Charlotte/Venice markets.

The City of North Port does not have a large office sector and no Class “A” properties. Most of its office inventory is smaller single condo office space; as can be found within the North Port Commerce Park.

19 ULI, Office Development Handbook

Based on recent data from the Sarasota Herald-Tribune, there are approximately 2.3 million square feet of vacant office space in Sarasota and Manatee counties.

Data for the Sarasota office market as of April, 201220, show an asking price of $208.88 per square foot versus actual sales price of $180.26 per square foot for Class “A” and “B” properties with 298 days on the market.

The only published data for the immediate area is Charlotte County. Asking prices for office properties (predominately Class “B” and “C” properties) in Charlotte County21 are $104 per square foot, declining from $218 per square foot, and below new construction costs.

Graph 3: Sale Trends (Office)

Source: LoopNet March 2012

20 www.anthonyhomer.com 21 primarily Port Charlotte

Office rents for Sarasota County and the region have declined from approximately $20 - $18.50 range to $14 range again below replacement cost.

Graph 4: Lease Trends (Office)

Source: LoopNet March 2012

According to Maddux Research22, Sarasota County presently has the following inventory of retail/commercial gross leasable area (GLA) or space in the following commercial categories:

-Retail Shopping Centers 10 million Square Feet GLA -Business Parks 6.5 million Square Feet GLA -Multi-Tenant Office Space 7.0 million Square Feet GLA -Total 23.5 million Square Feet GLA

On a square foot or per capita basis, this equates to approximately 61 square feet of the indicated types of commercial space overall. Retail shopping center space amounts to 24 square feet per capita, business parks 18 square feet per capita, and 19 square feet per capita for multi-tenant office space. Shopping center space per capita space statewide amounted to 28 square feet per capita and 41 square feet per capita for total retail including related business services according to data compiled by the National Research Bureau shopping center database and statistical model.

It should be noted that the indicated figures do not reflect the total amount of commercial space existing within the County, but rather, that commercial space that is located in shopping centers, business parks and multi-tenant buildings. Excluded are strip commercial as well as free standing facilities and single user facilities.

22 2010 data

Industrial Most of the MSA’s estimated 13 million square feet of industrial space is located within Manatee and northern Sarasota Counties, of which approximately 6 million square feet is located in Sarasota County. Asking prices for industrial properties have declined from a high of $150 per square foot in 2006 to the mid $67-$68 per square foot range, well below State trends.

Graph 5: Sale Trends (Industrial)

Source: LoopNet March 2012

Industrial asking rents for the Sarasota County industrial market have declined from $10 per square foot at the start of 2008 to a current asking rent in the low $6 dollar per square foot range, again below State averages.

Graph 6: Lease Trends (Industrial)

Source: LoopNet March 2012

North Port has limited industrial inventory and limited shovel ready properties, particularly in close proximity to I-75. The immediate North Port area, including northern Charlotte County is suited as a distribution center as it lies half way between the City of Sarasota and the City of Ft. Myers. This is shown by the selection of Cheney Brothers’ recent announcement to locate a distribution center at the Punta Gorda Airport. North Port Competitive Position The City of North Port grew to be the largest City within Sarasota and Manatee Counties as a result of its position as the MSA’s leading affordable/workforce housing market. Prior to 2000, most of the City’s retail, office and industrial space requirements were met by existing inventories within the greater Port Charlotte/Venice region (each independently serving as separate markets). As North Port’s growth significantly outpaced those individual markets some retail supply, cannibalized primarily from the existing Port Charlotte market, was created within the City, partly to satisfy existing North Port demand as well as projected growth. Overall regional housing price declines, rising transportation costs, changing housing demand (renter vs. ownership) and tighter financing requirements may impact the past decade’s growth pattern.

That said, its geographic location within the projected fast growing Southwest Florida growth corridor: Naples to Sarasota, should maintain its position as a growth center. Its ability to attract more jobs will be necessary if it is to counter the housing demand issues described above. To that end the City has several gaps. First, it has limited land at its I-75 interchanges that could be developed in the short term (2015). Historically, properties entitled as job creating have been developed as residential further limiting retail/office/industrial development. Today, the City’s main limited office/industrial acre/facilities are located at or adjacent to the North Port Commerce Park which is approaching build-out. Simply stated, the City has virtually no inventory to attract the workforce it desires. Furthermore, Charlotte County, particularly the industrial properties adjacent to I-75 and the airport, have become competitive as a result of the infrastructure being added to house the Cheney Brothers’ distribution facility. Long term, Murdock Village could further Port Charlotte’s commercial/retail dominance of this sub region.

The fact that North Port lies within Sarasota County is a positive branding selling point as is its school system and County services. To better position itself to the regional market, the City needs more shovel or nearly shovel ready inventory via more business parks (developer controlled), and more sites for multi- family housing to meet the changing national housing demand for rentals and mixed use developments and changing demographics (Generation Y). Competitive Market Analysis Summary

What is North Port’s Competitive Position? • Geographic location in the Naples-Sarasota corridor • North Port is part of the Sarasota County brand with good schools and county services

What are the gaps to attracting more jobs? • Limited land at I-75 that could be developed in the short term (2015) Commerce Park is approaching build-out • Charlotte County industrial properties along I-75 and the airport have become more competitive. • Basically, the City has no inventory to attract the workforce it desires • City needs to stop allowing job creating properties to be developed as residential or strip commercial • North Port needs more developer controlled business parks and more multi-family housing to meet the changing housing demands

Benchmarks The City of North Port asked the FIOG to evaluate and benchmark three other similar communities: Cape Coral, Deltona, and Port St. Lucie. All three are large platted communities with different histories and economic development outcomes. Deltona The City of Deltona is located within the western part of Volusia County across Figure 1: Deltona the St. Johns River from Seminole County, one of the largest office sectors Location within Florida within the Orlando MSA. The City lays approximately half way between the City of Orlando and Daytona Beach. The 2010 Census reports that the city had a population of 85,182. By population, it is the largest city in Volusia County, and the second–largest city in Central Florida. It is a principal city of the Deltona–Daytona Beach–Ormond Beach, Florida Metropolitan Statistical Area, which was home to 494,593 people in 2010.

Founded in 1962 as "Deltona Lakes," the City, like North Port and Port Charlotte, was a platted, master planned 41 square mile community developed by Mackle Brothers, Inc. While originally planned as a retirement community, during the 1990’s and early 2000’s it became the workforce housing center of the sub-region reaching a population of 50,828 by 1990. This rapid development of housing units since its opening in 1962 led to an almost entirely residential cityscape. The City is bounded to the north by I-4 which allows for quick access to Seminole and Orange County’s employment, shopping and entertainment.23

Because the city is close, in proximity to Orlando, it is generally considered to be an "edge city" of the Orlando metropolitan area; the City is also a part of the Orlando–Deltona–Daytona Beach, FL Combined Statistical Area, which was home to 2,818,120 people in 2010.

Figure 2: 30 Mile Radii of Deltona

Source: Claritas, Inc, 2007; FIOG 2012

23 Strategic Planning Group – Deltona Strategic Economic Development Plan 2007

The City’s major economic center is the SR 472 Activity Center. It is part of a large 1,824 acre Development of Regional Impact covering the four corners of the I-4/SR 472 intersection. Two cities (Deltona, Deland) plus an unincorporated area of the County fall within its boundaries. Deltona contains the large land holdings at approximately 900 acres.

The SR 472 Activity Center as currently planned contains:  5.7 million square feet of Warehouse/Industrial  4.4 million square feet of Office  1.8 million square feet of Retail  266 hotel rooms Figure 3: SR 472 Activity Center

Source: Strategic Planning Group – Deltona SEDP 2007 While there is some entertainment/retail development planned for the site, little of the non residential development has progressed. Part of the City’s problem in developing the site was caused by the publicly prepared area-wide DRI which failed to ensure transportation entitlements that would allow for its development. Further, because this was a publically prepared DRI, its implementation is left to the underlying land owners and the two cities (including Deltona, Deland) that have jurisdiction within this Activity Center.

While the “Great Recession” has potentially affected the development of Activity Center, much of the original delay was due to limited transportation entitlements and multiple land ownership and the constant competition to challenge the internal land use allotments. Furthermore, none of the land owners had non- residential experience.

Summary: Size: 41.1 square miles Developer: Mackle Brothers, Inc. / Deltona Corporation Start of Development: 1962, City Charter 1995 Type of Development: Platted Residential Development Problems: As originally planned, limited non residential land and no City Center. Inability to develop its Activity Center was caused by lack of underlying ownership commercial development experience, publically produced DRI with multiple land owners, and failure to secure needed transportation entitlements.

Port St. Lucie24 Incorporated in 1961 by the General Development Corporation (GDC), the City Figure 1: Port. St. Lucie was originally intended to be a bedroom and retirement Location within Florida community. Prior to going bankrupt in 1990, GDC had largely effectuated its plan, platting approximately 80,000 quarter acre single family lots served by a limited transportation network, undersized commercial areas, well water and septic tanks. In the early 1990’s, Core Communities (CC), acquired, and began planning on what would become St. Lucie West. Originally, St. Lucie West was planned to have contained about 14,000 homes over a 20-year period on 7 square miles. But after realizing the community’s strategic position, they began developing it into more than just a residential area. CC began building business sectors and places where people could have fun. That resulted in 7,000 jobs being brought to the small town, helping it into its boom during most of the early 2000’s. As configured today the City contains 76.7 square miles of land/water.

There were several disadvantages of the GDC design:  The City had no central core or traditional downtown  Most residents had to work, shop and find entertainment outside of the City  Lead to a flat tax base  Reduced levels of public services  A diminished quality of life

Not happy with the City's original design, the community embarked on a bold journey to retrofit the “original” City and enable economic development by:  Constructing a centralized water and wastewater utility system for $500 million  Comprehensive transportation improvements  Recruitment of targeted industries  Annexation of adjacent agricultural lands for the development of master planned mixed use communities  Designation of a Community Redevelopment Area  Strong political will

These initiatives and investments, especially the utility system, enabled the infill of the original City and the scores of new developments which have transformed this former bedroom and retirement community into a “City for All Ages.”

Core Communities came into the picture and had property annexed into the City to provide a physical and cost-effective location for job creation and commercial development because such a location was not readily available within the existing City as a result of GDC’s design. This new area is called “Tradition.”

24 The data for Port St. Lucie came from discussions with EDO staff and some sections taken directly from the City’s website and Wikipedia (http://en.wikipedia.org)

In 2008, Tradition and Core Communities welcomed the Florida Center of Innovation, a research laboratory and campus, which is home to the 100,000 square foot Torrey Pines Institute for Molecular Studies and the Vaccine & Gene Therapy Institute. This campus alone is projected to bring more than 30,000 jobs to the city of Port St. Lucie, alone. In 2012, Digital Domain Media Group's sister company and animation studio Tradition Studios relocated to Port St. Lucie. The City is home to New York Mets spring training, the St. Lucie Mets Florida State League team and the Mets rookie level team in the Gulf Coast League. All three play at Digital Domain Field. The Treasure Coast Galleons, a semi-pro soccer team also calls Port St. Lucie its home. Florida Atlantic University has its Treasure Coast campus in the city. There is a golf complex, the PGA Village with 54 holes of golf, a learning center and a historical center. The City also hosted the Ginn Classic at Tesoro, the City's first ever PGA Tour Event, in 2007. Port St Lucie is the home of world renowned Mixed Martial Arts School, American Top Team Port St Lucie campus. Port St. Lucie is also home to Local Skate Team. Port St. Lucie is also the home of the 2009 & 2011 National Champions in Pop Warner Football Pop Warner Little Scholars. The Daytona Beach Racers of the Stars Football League have relocated its franchise to Port St. Lucie, and will begin playing in the 2012 season. The Tradition Research Park is now home to the 100,000 square foot Torrey Pines Institute of Molecular Studies and will house many more ancillary companies who provide support service to the bio-medical industry. Incentives played a big role:  $40 million- City of Port St. Lucie  $32 million- State of Florida  $10 million- St. Lucie County  $6.5 million- in-kind from Florida Atlantic University  20 acres donated by Tradition developer Core Communities

Other components of Traditions include:  The Landing- 600,000 square foot retail center  Tradition Square- a collection of local and regional shops and restaurants  Village Pointe- 350,000 square foot of home furnishing outlets and amphitheater  Regional Mall- 1.3 million square foot regional mall is planned  Tanger Outlet Mall- 400,000 square foot has been announced

In an effort to achieve sufficient and long lasting results for the City, the City also created a 2,000 acre Community Redevelopment Agency (CRA). The CRA is envisioned as a central gathering place that creates an identity for the city as well as provides entertainment and economic opportunities. The area is planned to include a variety of development districts and connective open space to better serve Port St. Lucie’s current and future population.

Summary: Size: 76.7 square miles Developer: General Development Corporation Start of Development: 1959 Type of Development: Platted Residential Development Problems: As originally planned, limited non-residential land and no City Center. The City’s primary success was the annexation of lands west of I-95 and the creation of “Traditions.” These lands/developments were developer-driven (Core Communities) by those who understood commercial development. Once conceived, a strong private public partnership was formed to transform this workforce bedroom community for Palm Beach County into a growing economic entity.

Cape Coral25 The City of Cape Coral is located in Lee County. Founded in 1957 and developed as a master-planned, pre-platted Figure 1: Cape Coral Location within Florida community, the city grew to a population of 154,305 by the year 2010. With an area of 120 square miles, Cape Coral is reported to be the largest city between Tampa and Miami. It is a principal city in the Cape Coral – Fort Myers, Florida Metropolitan Statistical Area. The population estimate for the statistical area was 618,754 in 2010 according to Census estimates. The City is known as a 'Waterfront Wonderland", since, with over 400 miles of navigable waterways, Cape Coral is reported to have more miles of canals than any other city in the world.

Cape Coral was founded by real estate developers Leonard and Jack Rosen, Gulf American Corporation (GAC), which was response for the planning and development of this pre-platted community. The City incorporated in August 1970, and its population continued to grow rapidly. In its early years, Cape Coral was known as a community with many retired residents. This changed with a population and construction boom in the 1990’s, which brought in younger families and professionals. Twenty percent of the population is seasonal residents. Today, the City has a wide variety of businesses, retail shops and restaurants on its major arteries: Cape Coral Parkway, Del Prado Boulevard, Santa Barbara Boulevard and Pine Island Road. As of 2010, there were 78,948 households in the City, out of which 23.0% were vacant.

The economy in Cape Coral is based on local government services, health care, retail and real estate/construction. The City's Economic Development Office promotes and incentivizes business relocation to Cape Coral. The City's top five employers were the Lee County School District, Cape Coral City Hall, Publix Supermarkets, Cape Coral Hospital and Wal-Mart.

Due to its canals designed for residential orientation, non-residential development has largely been aggregated along major roads. Complicating development is direct access to Ft. Myers which is limited by two bridges. A recently (2012) build-out study suggests that the City has a potential for 200 million square feet of non-residential uses. Based on a quick review of the City’s land use and zoning, the City has few aggregated parcels of 25 plus acres suitable for business park type development. One such parcel has just been designated as the Veterans Investment Zone site for the new 220,000 square foot Veterans Hospital.

25 http://en.wikipedia.org/wiki/Cape_Coral,_Florida

Summary: Size: 120 square miles Developer: Gulf American Corporation Start of Development: 1957 Type of Development: Platted Residential Development Problems: As originally planned, it was a canal oriented retirement center with limited non-residential land and no City Center. The City grew significantly with the addition of a new bridge to provide additional access to downtown Ft. Myers and like North Port became the workforce housing center for the County. Its non-residential land has centered on its major road corridors and within its limited urban service district and land assembly issues, the City has only two limited industrial parks and the new Veterans Investment Zone as major areas for business development. As no large tracts are available and access to the larger region is limited, economic development efforts are limited. Lessons learned are to aggregate sufficient land for new business park development at locations which are market friendly and hopefully associated with experienced commercial developers. Benchmark Summary Three large platted residential communities similar to North Port;

City of Deltona • Limited non-residential land and no City Center • Inability to develop its Activity Center due to lack of commercial development experience • Publically produced DRI with multiple land owners • Failure to secure transportation entitlements

City of Port St. Lucie • Limited non-residential land and no City Center • Successful because the City annexed lands west of I-95 and the creation of “Traditions”- contains bio-medical companies, regional mall, outlet mall, misc. other retail and housing • Developer driven • Strong public-private partnership formed-over $88.5 million invested in incentives

City of Cape Coral • Canal oriented retirement community with limited non-residential uses and no City Center • Workforce housing center for Lee County • Limited industrial parks • No large land tracts available for new business park development

Back to Table of Contents

Section 3

Target Industry CITY OF NORTH PORT Analysis

ECONOMIC DEVELOPMENT Economic Development STRATEGIC PLAN UPDATE Incentives 2013-2018 Best Practices in Economic Development

Target Industries Target industry businesses bring quality job growth to a community thus making a significant economic contribution. Most communities use the State’s measurement of paying an average annual wage that is at least 115 percent of the state, metropolitan statistical area (MSA), or local average wage in order to qualify as a target industry. Communities select the types of target industries that aid in providing economic diversification; pay higher wages; retain young professionals; enhance economic growth; meet a variety of skill sets; and leverage local assets and infrastructure. Numerous economic development groups, including State, regional and county organizations within North Port’s overall market area, have prepared detailed target industry studies that can directly assist the City in its economic development efforts. Most of the industries discussed below are referred to as “Target Industries” which for this report means “value added”. A City, unlike a state, region or county, is more dependent on property taxes for revenue; therefore, a city’s target industries or businesses also include tourism, retail, as well as blue collar jobs. State of Florida/Enterprise Florida Enterprise Florida, Inc. (EFI) is a public-private partnership serving as Florida's primary organization devoted to statewide economic development. EFI's mission is to facilitate job growth for Florida's businesses and citizens leading to a vibrant statewide economy. EFI accomplishes this mission by focusing on a wide range of industry sectors, including clean energy, life sciences, information technology, aviation/aerospace, homeland security/defense, financial/professional services, manufacturing, corporate headquarters, research & development, emerging technologies and beyond. In collaboration with a statewide network of regional and local economic development organizations, EFI helps to improve Florida's business climate, ensuring the state's global competitiveness. EFI last updated the Florida Target Industry List in 2011.

Enterprise Florida’s Target (Value-Added) Industries

• Cleantech • Life Sciences • Infotech • Aviation/Aerospace • Homeland Security/Defense • Financial/Professional Services Businesses need to be able to locate in other states and serve multi-state and/or international markets. Call Centers and Shared Service Centers may qualify if certain economic criteria are met. Tampa Bay Partnership The Tampa Bay Partnership is the regional organization (representing eight counties) that works with its partners to market the region nationally and internationally, to conduct regional research and to coordinate efforts to influence business and government issues that impact economic growth and development.

Tampa Bay Partnership Target (Value-Added) Industries26  Applied Medicine & Human Performance  High Tech Electronics & Instruments  Business, Financial & Data Services  Marine & Environmental Activities The Tampa Bay Partnership is developing a Regional Business Plan and hopes to accelerate job growth in the target industry clusters by 10%; this could net an increase of approximately 12,000 jobs above and beyond forecasted growth, and a total of 22,000 direct and indirect jobs in Tampa Bay by 2020. These 22,000 jobs will, over the period they’re created, result in nearly $6.4 billion in personal income. The Tampa Bay Region will realize over $8 billion in additional gross regional product over these 9 years, and 27 generate more than $176 million in sales taxes. Overall, the net fiscal return to the state is $443 million.

Industry Cluster Analysis - Tampa Bay Region In September 2010, the Tampa Bay Partnership and the Tampa Bay Regional Planning Council contracted with SRI International to conduct an “Industry Cluster Analysis of the Tampa Bay Region” this study was the instrument used to establish the target industries for the region. Following are key findings for Sarasota County from that study.28

A. Sarasota County Overview Sarasota County’s five largest industry clusters (by employment) provide 92,738 jobs, or 71.4% of total employment in the county. The five top employment clusters include: Life Sciences & Medical Services, Tourism, Retail Trade, Construction & Real Estate, and Education & Government. The ten largest industry clusters represent 91.4% of employment in the county. Seven of Sarasota County’s ten largest industry clusters are service industries, while the other three are knowledge- & technology-based industries. Service industries comprise 67.6% of employment in Sarasota County, just above the 66.5% of employment that such industries represent in the region overall. At 29.0% of employment, knowledge- & technology-based industries in the county comprise a slightly higher percentage of employment than the eight-county average of 28.3%. Traditional & manufacturing industries are a smaller proportion of employment in Sarasota County (3.4%) than in the region overall (5.2%). Overall, Sarasota County’s economy is dominated by service industries.  Seven out of the county’s ten largest industry clusters are service industries.  About 68% of the county’s total jobs and approximately 71% of total establishments in 2009 were in services. However, employment in these sectors shrank by -3.7% between 2004 and 2009.  Several of Sarasota County’s large service clusters, such as Construction & Real Estate, General Services, Retail Trade, and Tourism, provide lower than average wages within both the county and regional contexts, as demonstrated in the bubble chart. On average, wages in Sarasota County’s service industries are 13% lower than the county average wage.

26 Tampa Bay Partnership, 2011 27 Tampa Bay Regional Planning Council 28 SRI International-“Industry Cluster Analysis of the Tampa Bay Region”, September 2010

Figure 1. Sarasota County Industry Clusters

SOURCE: SRI International “Industry Cluster Analysis of the Tampa Bay Region”, September 2010 Knowledge- & technology-based industries represent a sizeable and stable share of employment in Sarasota County.  Knowledge- & technology-based industries employ about 29.0% of the county’s total workforce and represent 25.9% of its establishments.  In the county, Life Sciences & Medical Services, Financial Services, and Research & Engineering Services are the three largest knowledge- & technology-based clusters by employment.  Given the overall economic environment, knowledge- & technology based industries have been relatively stable in Sarasota County, with an employment of -0.7% from 2004 to 2009.  All of the county’s knowledge- & technology-based industries offer average pay that exceeds the county average of $36,799, ranging from a high of $65,721 in the Financial Services cluster to a low of $38,317 in Telecommunications. Traditional & manufacturing industries represent a small and generally contracting percentage of Sarasota County’s economy.  These sectors account for only 3.4% of the county’s employment, an amount that has declined by -9.7% annually between 2004 and 2009.

 Traditional & manufacturing industries comprise 2.9% of the county’s establishments, but, in contrast to employment, the number of enterprises has grown slightly, at 0.5% annually between 2004 and 2009.  Except for Agriculture & Agribusiness and Wood & Furniture, Sarasota County’s Traditional & manufacturing industries offer pay that meets or exceeds the county average wage.

B. Industry Cluster Trends and Growth Rates The following table presents key data regarding Sarasota County’s ten largest industry clusters (by employment) in 2009. The statistics reveal that, for all but one of the ten clusters, the county’s employment moved downward in parallel with national trends, although the county experienced greater job contraction than the average for these clusters across the United States. The Business Services cluster was a particularly hard hit in Sarasota County, with an employment decline of -16.2% annually, versus a drop of -1.6% annually nationwide. Seven of the ten largest clusters have employment concentration ratios that are above the national average. With the exceptions of Tourism, Retail Trade, and General Services, all of the ten largest clusters have average annual pay that is near or above the overall 2009 average pay for Sarasota County ($36,799). Figure 2. Sarasota County’s 10 Largest Industry Cluster in Q3 2009

SOURCE: SRI International “Industry Cluster Analysis of the Tampa Bay Region”, September 2010

C. Employment by Cluster 1. EMPLOYMENT Life Sciences & Medical Services, Tourism, and Retail Trade are the county’s largest employers, followed by Construction & Real Estate and Education & Government. In 2009, the five largest clusters accounted for 71.4% of employment, with 92,738 jobs, and the ten largest represented 91.4% of employment, or 118,757 jobs.

2. EMPLOYMENT GROWTH RATES In light of the county’s overall employment contraction of -3.1% from 2004 to 2009, it is not surprising that only five clusters experienced growth during the same period. Three of the five clusters in which employment expanded – Life Sciences & Medical Services, Education & Government, and Tourism – account for large numbers of jobs in the county. The other clusters in which employment grew – namely Energy & Environment and IT Services – are very small employers, together representing less than 2% of Sarasota County’s workers.

Sarasota County’s employment contraction parallels that of the broader region but has generally been more severe. For instance, between 2004 and 2009, the county suffered deep job losses, of -16.2% annually, in Business Services, compared to an -8.7% annual drop across the eight-county region. Likewise, in Financial Services (another large employment cluster in Sarasota County) job losses reached -3.8% annually, versus -1.2% in the region. Research & Engineering Services, also one of Sarasota County’s ten largest clusters by employment, saw job reductions of -4.4% in the county, while the overall region’s employment in the cluster actually grew by 1.2%.

D. Key Clusters And Sub-Clusters  The Life Sciences & Medical Services cluster is the largest employer in Sarasota County, providing jobs for 18.2% of the county’s workers.  Tourism, which grew in employment by a modest 0.6% from 2004 to 2009, accounts for 14.8% of employment in Sarasota County. The county’s job growth has been driven by expansion in two sub-clusters – Food & Beverage and Sports & Recreation – which saw annual increases of 0.3% and 9.9%, respectively.  Though the Construction & Real Estate Services cluster experienced job losses of -4.4% annually from 2004 to 2009, surprisingly, the Real Estate & Building Services sub-cluster, which represents 41.8% of the cluster’s total employment, continued to grow at an annual rate of 3.1%. This cluster posts the county’s highest employment concentration ratio, at 1.670.  A small cluster in terms of employment size (with 1,083 jobs, or 0.8% of total county employment), IT Services in Sarasota County maintained a growth rate of 1.0% annually between 2004 and 2009.

Summary of Findings - SRI International “Industry Cluster Analysis of the Tampa Bay Region” Study There is an inherent relationship between industry employment needs and current employment skills sets. The SRI International study noted that:  The workforce of Sarasota County is primarily employed in occupations requiring low levels of training, education and experience.  In 55.1% of the county’s current jobs-employees are required to have no more than low levels of job preparation. Only slightly higher that US average of 52.5%.  Largest concentration of employment skills is in construction maintenance followed by construction and then administration and information support.  Occupations requiring extensive skill set preparation make up only 4.7% of the county workforce. This is not just a North Port problem; it is a county problem too.  According to figures obtained from the Tampa Bay Partnership-South Tampa Bay (Manatee and Sarasota Counties) grew by only 233 jobs (0.10%) in 2010. In 2011, it grew by 3,400 jobs (1.4%), an indication that the economy is getting better.

The FIOG also looked at Charlotte County’s targeted industries as it is part of North Port’s economic region. Charlotte County Economic Development Office Employment incentives are limited to Targeted Industry Businesses, to include those industries identified by Enterprise Florida, Inc., and the Governor’s Office of Tourism, Trade, Economic Development at the time of application, or identified by resolution of the Board of County Commissioners of Charlotte County.

Charlotte County Target Industries29

 Manufacturing  Communications & Production of Communications Equipment  Back Office Operations  Marine & Related Industries  Aircraft & Avionics Related Industries  Aquaculture & Related Support Industries  Green Technology Industries Economic Development Corporation of Sarasota County The EDC works to create a thriving economic environment in Sarasota County by attracting and retaining businesses that provide high-wage jobs. From October 2010 through September 2011, the EDC’s business development efforts assisted companies anticipating the creation of 1,125 jobs and more than $65 million in capital investment. The County updated its strategic plan in April 2009. Like many counties across the United States, Sarasota County experienced a sharp downturn in jobs and the tax base. Because the region was highly dependent on housing and development industries, the county took an early hit as that market declined. Other industries soon followed with job losses. To return to employment levels of 2005 and 2006 and grow at a steady rate of approximately 2–3% per year, Sarasota County will need to add approximately 15,000 jobs to its economy over the next five years. On an annual basis, that is approximately 3,000 jobs per year.30

Sarasota County Target Industries31

 Medical & Life Sciences  Applied Environment Services & Sustainable Systems  Digital Media & Web-enabled Technologies  Creative Services  Specialty Manufacturing Cluster

29 Charlotte County Economic Development Office, February 2012 30 Sarasota County Five-year Economic Development Strategic Plan, April 2009 31 Economic Development Corporation of Sarasota County, April 2012

The FIOG Team also reviewed the target industries identified in the Scruggs & Associates, Sarasota County Economic Assessment-Phase One Report, November 2008.32 Figure 3 depicts Sarasota County’s five targeted clusters.

Figure 3. Sarasota County Summary of Cluster Opportunities

SOURCE: Scruggs & Associates LLC. “Sarasota County Economic Assessment”, November 2008 Because North Port is the largest city within Sarasota County, the recommendations found within the County’s target industry study are also applicable to the City of North Port.

32 www.EDC of Sarasota County, Scruggs & Associates, Sarasota County Economic Assessment-Phase One Report, November 2008.32

Initial North Port Target Industry Screening In reviewing the Medical and Life Sciences cluster, it is recommended that the City look at this cluster for opportunites for new business growth. The demographics of the City show a need for the services provided by this cluster now and into the future. The industry that experienced the greatest percentage increase was Diagnostic Imaging Centers. As the population continues to increase in age, more medical related services will need to be located closer to the customer base. These types of businesses can be located throughout the city in a variety of zonings.

Figure 4. Medical and Life Science Employment, Sarasota County, 2002-2007

SOURCE: Scruggs & Associates LLC. “Sarasota County Economic Assessment”, November 2008 Companies in the Energy and Environment cluster are growing rapidly due to the technology changes that are occurring worldwide. Many of these smaller businesses start as a home based business until they reach the critical mass in size to move into vacant office space. This cluster is fairly easy to locate, as they require small office space and can fit into most zoning categories throughout the city. Figure 5. Energy and Environment Employment, Sarasota County, 2002-2007

SOURCE: Scruggs & Associates LLC. “Sarasota County Economic Assessment”, November 2008

The Digital and Web-enabled cluster was found to have only minimum growth during the period from 2002 to 2007. This is a sector that will continue to grow and shrink as new entrepreneurs come and go. This cluster is easy to locate, as they require small office space and can fit into most zoning categories throughout the city. Figure 6. Digital and Web-Enabled Technologies Employment, Sarasota County, 2002-2007

SOURCE: Scruggs & Associates LLC. “Sarasota County Economic Assessment”, November 2008 Creative Services shows the most promise and was the cluster with the largest growth. Sarasota County has a draw for more of these types of industries, as it is already thought of as a performing arts center; the County is home to the John and Mable Ringling Museum of Art, Sarasota Opera, Ringling College of Art and Design, Van Wezel Performing Arts Hall, Sarasota Film Festival, Sarasota Ballet Company and many more venues. This cluster already exists and the City of North Port can capitalize of this branding. Figure 7. Creative Employment, Sarasota County, 2002-2007

SOURCE: Scruggs & Associates LLC. “Sarasota County Economic Assessment”, November 2008

Specialty Manufacturing employment increased in three sectors; however, manufacturing overall is down in the State of Florida and in the United States and there are no signs that this will change in the foreseeable future. North Port should continue to have manufacturing on its target list with more of a focus toward manufacturing/ distribution given its central proximity in the SW Florida region. North Port has limited sites available to locate a manufacturing business. The City needs to designate more land for manufacturing and light industrial in key locations close to the interstate. Figure 8. Specialty Manufacturing Employment, Sarasota County, 2002-2007

SOURCE: Scruggs & Associates LLC. “Sarasota County Economic Assessment”, November 2008 North Port Recommended Target Industries After close examination, it has been determined that the City of North Port does not currently have any true target industry clusters. In order to establish industry clusters, it is recommended that the City set rationale for adopting target industries, such as the following:  Economic diversification  Higher wages  Retention of young professionals  Enhance economic growth  Meet a variety of skill sets  Leverage local assets and infrastructure

Current Target Industries The City’s current target industries are shown below:  Light manufacturing  Education (Public and Private)  Healthcare  Retail  Hospitality

Recommended Target Industries The City needs to take advantage of the branding and name recognition of Sarasota County. In its branding efforts, the City needs to emphasize that the City of North Port is the largest city in population and area in Sarasota County, the Metropolitan Statistical Area (MSA), and the Combined Statistical Area (CSA). As shown in the SRI Report it is important that the City utilize the services provided by the SUNCOAST Work force Board to increase the skills sets of its residents to match those skills most needed by businesses. Furthermore, higher education needs to be included in discussions regarding the training available to meet current business needs. Economic development strategies need to be holistic and recruit or retain companies that create jobs at all levels including high value added, mid management, and low skill-entry level. A community needs to be mindful that it cannot survive alone on recruiting high paying jobs; in order to be successful and build job opportunities it needs jobs at every skill/occupational level. This is especially true given the job losses that occurred during this current recession. The following table shows the industries that are projected to growth the fastest over the next eight years (2011-2019). This should help guide the City in analyzing its current inventory of facilities and sites as well as training needs.

Figure 9. Sarasota County Projected Fastest Growing Industries: 2011-2019 Employment Annual Change Rank Title 2011 2019 Total Percent 1 Specialty Trade Contractors 5,878 7,906 254 4.31 2 Management of Companies and Enterprises 615 826 26 4.29 3 Rental and Leasing Services 433 576 18 4.13 4 Furniture and Home Furnishings Stores 847 1,126 35 4.12 5 Miscellaneous Manufacturing 569 755 23 4.09 6 Ambulatory Health Care Services 10,628 13,861 404 3.80 7 Fabricated Metal Product Manufacturing 1,272 1,621 44 3.43 8 Construction of Buildings 1,760 2,239 60 3.40 9 Building Material and Garden Supply Stores 1,575 1,979 50 3.21 10 Waste Management and Remediation Service 336 422 11 3.20 Professional, Scientific, and Technical 11 Services 9,038 11,249 276 3.06 Wholesale Electronic Markets and Agents and 12 Brokers 513 628 14 2.80 13 Educational Services 2,616 3,198 73 2.78 Amusement, Gambling, and Recreation 14 Industries 3,407 4,145 92 2.71 15 Merchant Wholesalers, Durable Goods 1,921 2,312 49 2.54 16 Social Assistance 2,113 2,537 53 2.51 17 Real Estate 2,577 3,062 61 2.35 18 Warehousing and Storage 280 330 6 2.23 19 Merchant Wholesalers, Nondurable Goods 1,274 1,499 28 2.21 20 Health and Personal Care Stores 1,639 1,916 35 2.11 Source: Florida Department of Economic Opportunity, 2012

The City should concentrate on the five target industries that have been identified by the Economic Development Corporation of Sarasota County and three additional clusters as identified in SRI International Report, plus three others that FIOG recommends. The EDC of Sarasota County:  Medical & Life Sciences (e.g. Charlotte Heart & Vascular Institute)  Applied Environment Services & Sustainable Systems (e.g. Earth Balance)  Digital Media & Web-enabled Technologies (e.g. FLWebtech, Inc.)  Creative Services (e.g. ROI Media)  Specialty Manufacturing Cluster (e.g. King Plastic Corporation) Additional FIOG recommended clusters are:  Education  Logistics/Distribution  Retail Trade  Construction & Real Estate  Tourism  Warm Mineral Springs By-Products In reviewing the current target industries for the City and those of the neighboring counties, the City can decide to leave retail trade on the list; however, it is recommended that incentives not be awarded to retail establishments unless it has been determined that the retail is destination driven. Typically, the location of a retail business is a direct correlation to residential demand for the type of retail. When the demand is there, retail will come. Also, retail jobs pay low wages and do not bring up the area’s cost of living standards.

Economic Development Incentives The City of North of Port currently has available a large number of incentives from the State and its own specific incentive programs. Florida Economic Development Incentives Toolbox 33 The tool box of incentives for the State of Florida has been virtually unchanged for the past 20 years. There have however been updates as new technologies were added to the State’s Target Industry List. The State is committed to providing incentives that are up to date with the changing technology market; as such, in 2011 the State revised its target industry list to be more inclusive of emerging technology sectors, new types of manufacturing, corporate headquarters and research and development. E-Florida Incentives Florida offers bottom-line advantages for long term profitability for all types of businesses, from corporate headquarters to manufacturing plants to service firms. Florida offers incentives for:

 Targeted Industries  Workforce Training  Infrastructure  Special Opportunities Targeted Industry Incentives

Qualified Target Industry Tax Refund (QTI) The Qualified Target Industry Tax Refund incentive is available for companies that create high wage jobs in targeted high value-added industries. This incentive includes refunds on corporate income, sales, ad valorem, intangible personal property, insurance premium, and certain other taxes. Pre-approved applicants who create jobs in Florida receive tax refunds of $3,000 per net new Florida full-time equivalent job created; $6,000 in an Enterprise Zone or Rural Community (county). For businesses paying 150 percent of the average annual wage, add $1,000 per job; for businesses paying 200 percent of the average annual salary, add $2,000 per job; businesses falling within a designated high impact sector or increasing exports of its goods through a seaport or airport in the state by at least 10 percent in value or tonnage in each year of receiving a QTI refund, add $2,000 per job; projects locating in a designated Brownfield area (Brownfield Bonus) can add $2,500 per job. The local community where the company locates contributes 20 percent of the total tax refund. There is a cap of $5 million per single qualified applicant in all years, and no more than 25 percent of the total refund approved may be taken in any single fiscal year. New or expanding businesses in selected targeted industries or corporate headquarters are eligible.

Qualified Defense and Space Contractor Tax Refund (QDSC) Florida is committed to preserving and growing its high technology employment base by giving Florida defense, homeland security, and space business contractors a competitive edge in consolidating contracts or subcontracts, acquiring new contracts, or converting contracts to commercial production. Pre- approved applicants creating or retaining jobs in Florida may receive tax refunds of $3,000 per net new Florida full-time equivalent job created or retained; $6,000 in an Enterprise Zone or rural county. For

33 e-Florida web site, www.eflorida.com

businesses paying 150 percent of the average annual wage, add $1,000 per job; for businesses paying 200 percent of the average annual salary, add $2,000 per job.

Capital Investment Tax Credit (CITC) The Capital Investment Tax Credit is used to attract and grow capital-intensive industries in Florida. It is an annual credit, provided for up to twenty years, against the corporate income tax. Eligible projects are those in designated high-impact portions of the following sectors: clean energy, biomedical technology, financial services, information technology, silicon technology, transportation equipment manufacturing, or be a corporate headquarters facility. Projects must also create a minimum of 100 jobs and invest at least $25 million in eligible capital costs. Eligible capital costs include all expenses incurred in the acquisition, construction, installation, and equipping of a project from the beginning of construction to the commencement of operations. The level of investment and the project's Florida corporate income tax liability for the 20 years following commencement of operations determines the amount of the annual credit.

High Impact Performance Incentive Grant (HIPI) The High Impact Performance Incentive is a negotiated grant used to attract and grow major high impact facilities in Florida. Grants are provided to pre-approved applicants in certain high-impact sectors designated by the Governor's Office of Tourism, Trade and Economic Development (OTTED). In order to participate in the program, the project must: operate within designated high-impact portions of the following sectors-- clean energy, corporate headquarters, financial services, life sciences, semiconductors, and transportation equipment manufacturing; create at least 50 new full-time equivalent jobs (if a R&D facility, create at least 25 new full-time equivalent jobs) in Florida in a three-year period; and make a cumulative investment in the state of at least $50 million (if a R&D facility, make a cumulative investment of at least $25 million) in a three-year period. Once recommended by Enterprise Florida, Inc. (EFI) and approved by OTTED, the high impact business is awarded 50 percent of the eligible grant upon commencement of operations and the balance of the awarded grant once full employment and capital investment goals are met. Workforce Training Incentives

Quick Response Training Program (QRT) Quick Response Training (QRT) - an employer-driven training program designed to assist new value- added businesses and provide existing Florida businesses the necessary training for expansion. A state educational facility - community college, area technical center, school district or university - is available to assist with application and program development or delivery. The educational facility will also serve as fiscal agent for the project. The company may use in-house training, outside vendor training programs or the local educational entity to provide training. Reimbursable training expenses include: instructors'/trainers' wages, curriculum development, and textbooks/manuals. This program is customized, flexible, and responsive to individual company needs. To learn more about the QRT program, visit Workforce Florida.

Incumbent Worker Training Program (IWT) Incumbent Worker Training (IWT) - a program that provides training to currently employed workers to keep Florida's workforce competitive in a global economy and to retain existing businesses. The program is available to all Florida businesses that have been in operation for at least one year prior to application and require skills upgrade training for existing employees. Priority is given to businesses in targeted

industries, Enterprise Zones, HUB Zones, Inner City Distressed areas, Rural Counties and areas, and Brownfield areas. For additional information on the IWT program, visit Workforce Florida. Infrastructure Incentives

Economic Development Transportation Fund The Economic Development Transportation Fund, commonly referred to as the "Road Fund," is an incentive tool designed to alleviate transportation problems that adversely impact a specific company's location or expansion decision. The award amount is based on the number of new and retained jobs and the eligible transportation project costs, up to $3 million. The award is made to the local government on behalf of a specific business for public transportation improvements. Special Opportunity Incentives

Rural Incentives Florida encourages growth throughout the state by offering increased incentive awards and lower wage qualification thresholds in its rural counties. Additionally, a Rural Community Development Revolving Loan Fund and Rural Infrastructure Fund exist to meet the special needs that businesses encounter in rural counties.

Urban Incentives Florida offers increased incentive awards and lower wage qualification thresholds for businesses locating in many urban core/inner city areas that are experiencing conditions affecting the economic viability of the community and hampering the self-sufficiency of the residents.

Enterprise Zone Incentives Florida offers an assortment of tax incentives to businesses that choose to create employment within an enterprise zone, which is a specific geographic area targeted for economic revitalization. These include a sales and use tax credit, tax refund for business machinery and equipment used in an enterprise zone, sales tax refund for building materials used in an Enterprise Zone, and a sales tax exemption for electrical energy used in an enterprise zone.

Brownfield Incentives Florida offers incentives to businesses that locate in brownfield sites, which are underutilized industrial or commercial sites due to actual or perceived environmental contamination. The Brownfield Redevelopment Bonus Refund is available to encourage Brownfield redevelopment and job creation. Approved applicants receive tax refunds of up to $2,500 for each job created.

Jobs for the Unemployed Tax Credit Program (JUTC) The Jobs for the Unemployed Tax Credit Program provides incentives to businesses throughout Florida to hire qualified employees who were previously unemployed. The program is available to all businesses that are identified as a "target industry". The business may receive a tax credit of $1,000 for every employee hired as of July 1, 2010. The business may claim only new hires that were previously unemployed for a minimum of 30 days, and that remain employed after a 12-month period at an average of 36 hours per week. This program will run until June 30, 2012 with a limit of $10 million available for tax credits.

Local Government Distressed Area Matching Grant Program (LDMG) The Local Government Distressed Area Matching Grant Program stimulates investment in Florida's economy by assisting Local Governments in attracting and retaining targeted businesses. Applications are accepted from local governments/municipalities that plan on offering financial assistance to a specific business in the area. These targeted businesses are required to create at least 15 full-time jobs and the project must either be new to Florida; expanding operations in Florida; or leaving Florida unless it receives local and state government assistance. The amount awarded by the State of Florida will equal $50,000 or 50% of the local government's assistance amount, whichever is less, and be provided following the commitment and payment of that assistance. Discussion of Florida Incentives Most of the State’s programs require the company pay an average annual wage that is at least 115 percent of the state, metropolitan statistical area (MSA), or the local average wages. For a project located in a designated brownfield area, an enterprise zone or a manufacturing project paying at least 100 percent of the prevailing average wage, the wage requirement may be waived in special circumstances.

It appears that most Florida communities use the State of Florida incentives when appropriate, while not all of the State of Florida incentives can be applied in rural and urban counties equally. Many local and county governments in Florida have eliminated transportation impact fees for a two year period to allow time for the local economy to rebound. This currently appears to be the new “norm”.

The most recent Economic Development Incentives Report 2012 prepared by The Florida Legislature Office of Economic and Demographic Research reported that 72 local government entities completed the annual survey questionnaire. Of the 37 municipalities that reported, 9 municipalities did not issue economic development incentives which met the statutory reporting requirement (incentives greater than $25,000 during the previous fiscal year). Incentives in the amount of $25.8 million were reported by the municipalities that completed this survey. The largest percentage of the incentives granted was in the form of below market leases and deeds, accounting for $10.0 million of the total incentives (38.9%).34

Projects are typically evaluated based on the type of industry, wages, target industry, clean industry and whether the new project is the first project of a desired type of industry. For instance, if a community is attempting to relocate a financial services company and the community currently does not have this type of industry, then a larger incentive is usually offered to the first company to relocate. It’s the concept of a “lost leader,” which is what stores will do to get you in the door. The second company will typically receive a smaller incentive award.

Generally, a community makes the decision for awarding incentives based on not wanting to give a company more in incentives then it can reasonably except to receive back in the form of increased ad valorem taxes, business fees, franchise fees, utility payments, etc. over a reasonable period of time. Sarasota County The Economic Development Corporation of Sarasota County (Sarasota EDC) is the primary contact for all economic development interfaces with the State and Enterprise Florida, the State’s economic development organization. The County’s primary economic incentives are those offered by the State as described above. The only other incentive offered is the newly approved economic development ad

34 Economic Development Incentives Report 2012 prepared by The Florida Legislature Office of Economic and Demographic Research

valorem tax exemption which was approved on August 24, 2010 for unincorporated Sarasota County, the City of North Port, and the City of Sarasota and the City of Venice. The County has also adopted an Economic Energy Zone which includes the City of North Port.

Sarasota County Economic Development Incentive Program Sarasota County has established an Economic Development Incentive Program that is used to help retain existing businesses and assist those who want to expand and to help attract new businesses that are considering relocating to Sarasota County. Companies that are interested in requesting financial assistance from Sarasota County in order to complete their expansion or relocation plans are encouraged to contact the Sarasota EDC.

Ad Valorem Tax Exemption Available in unincorporated Sarasota County, the cities of Sarasota, Venice and North Port. The economic development ad valorem tax exemption (EDAVTE) program is designed to encourage new businesses to relocate to Sarasota County. In addition, it serves as a catalyst for existing businesses to expand, creating new job opportunities for residents within the County and the Cities of Sarasota, Venice, and North Port. This program authorizes the County, and those respective Cities' Commissions, to grant qualifying businesses a property tax exemption for up to 100 percent for up to 10 years, on both real and tangible personal property.

Rapid Permitting Program SMART A fast-track permitting system, the Sarasota Means Action Response Team (SMART) program will allow targeted industry companies wishing to expand or relocate in Sarasota County to develop a facility within a time frame that meets corporate goals and deadlines. This time frame is usually shorter than working through the system without special assistance.

The SMART program doesn’t eliminate or circumvent existing land use regulations or construction standards; it accelerates the process by making certain determinations and decisions about the development of the land and facilities in a more expeditious manner.

COSMOS The City of Sarasota has established a system for fast-tracking the development review process. Our objective is to offer a compressed timeline for targeted firms and industries that wish to expand or relocate in the City of Sarasota. Our objective is not to eliminate or circumvent existing land use regulations or construction standards, but to reduce the amount of time it would normally take to work through the system. In short, what the Sarasota EDC offers is a process for accelerating the review process by making decisions in a more expeditious manner.

Employed Worked Training (EWT) The EWT program is administered by Suncoast Workforce and provides short-term training to upgrade skills for employed workers in Manatee and Sarasota counties. The program coordinator meets with the company to assess training needs. In most cases, training can be customized, and employees can receive training on-site or at a local training institute. Examples of training include Leadership, Team Building, Customer Service, Microsoft Office Software, Work Place English or Spanish, Work Place Math

or Industrial Math, ISO, and Forklift. Please note there is a maximum hourly wage limit for employees to qualify for this training grant.

On the Job Training (OJT) This program provides an incentive for employers to hire qualified individuals who may not have the experience for your position. By hiring an employee in a training capacity, businesses can be reimbursed for a portion of that employee's salary for up to six months. Interested businesses are invited to consult Suncoast Workforce for candidates. The training opportunities are endless! Employers interested in learning more about OJT may contact the EDC.

Road Impact Fee Mitigation The Road Impact Fee Mitigation allows the county to mitigate up to 100% of the road impact fees (short term cost, typically paid before a building permit or certificate of occupancy is issued), designed to assist business that will benefit the local economy. A formal application is required and final approval of the Sarasota County Commission is required.

Florida Power & Light Economic Development Rates New or expanding businesses that add a minimum of 350 kW of new electric load and create at least 10 new jobs per 350 kW of added load by June 1, 2013, can apply for the new economic development rates. After June 1, 2013, businesses wishing to take advantage of the rates will be required to add 25 new jobs per 350 kW of new electric load.

Community Redevelopment Zones

 Englewood CRZ  Newtown CRZ

North Port Incentives In addition to economic development incentives provided by the State of Florida, the City of North has developed a number of its own specific incentives.  Ad Valorem Tax Exemption  Transportation & Solid Waste Impact Fee Moratorium-2Year  The Small Business Assistance Program, including o Revolving Loan Guarantee Program o Entrepreneurial Academy o Lunch and Learn Program  Expedited Plan Review and Permitting  Economic Development Grants  Local Preference Ordinance Benchmarked City Incentives As described earlier in this plan; three cities were selected by the City as benchmarks: Cape Coral; St. Lucie and Deltona. Incentives offered by these benchmarked cities vary considerably. The City of Cape Coral and Lee County, like North Port, were heavily impacted by the recession. The Cape Coral has developed a few local incentives in addition to those provided by Lee County and those offered by the State. The City offers a Cash Incentive Program of up to $2,000 per job created above the

average wage, and up to $1,500 per job that equals the average wage. It also has an Impact Fee Deferral Program, wherein it defers payment of road and utility capital improvement impact fees for targeted industries. The Shell Building Impact Fee Deferral is also available wherein impact fees can be deferred up to 36 months. Their road impact fee incentive is set to sunset on September 1, 2012. Lee County offers Financial Incentives for Recruiting Strategic Targets with performance incentives up to $25 million in reserve. The County has a Job Opportunity Program provides is a cash incentive of up to $6,000 for each full-time job created. Details of the City/County incentive programs can be found on the Cape Coral’s webpage. The City of Deltona, according to its webpage, does not offer any unique incentives other than those provided by the State. Lastly, the City of St. Lucie offers a Job Growth Investment Grant in the range of $1,500 - $3,000 per job paying over 107% of the current hourly wage. They also provide an Ad Valorem Tax Abatement Incentive, expedited site plan review and fast track permitting. Other Incentives Programs Used in Florida

City of Sanford Subsidization of UCF Sanford Business Incubator35 The UCF Sanford Incubator was opened on September 18, 2009, in a 3,791 sq. ft. space. The facility is the sixth of the award winning UCF Incubators, designed for mentoring and start-up assistance of emerging technology companies. In the agreement negotiated with UCF, the Sanford CRA agreed to subsidize the rent and other operational costs of the Incubator in recognition of the positive benefit the facility would have to the community development of downtown Sanford. With-in three months of its opening the facility was at full capacity. In March 2010, the facility was expanded to 6,000 sq. ft. and a full time administrator was hired. After six months the facility was again near full capacity with 12 tenants, representing mainly technology firms. The Sanford Incubator is recognized as one of the fastest growing and highest quality facilities of the UCF Incubator system.

City of Gainesville Grow Gainesville Fund36 Flexible SBA 7(a) Loan; Can be used for working capital, inventory, equipment, refinancing debt and acquiring existing buildings. Program has only been in place for one year. All the underwriting for the loans is done by the National Development Council. Two projects qualified to date, both are restaurants. The loan amounts were $300,000+ for renovation and working capital and $400,000+ for renovations and expansion. Restaurants must be in existence for 3 years to qualify. Following is an overview of the Grow America Fund:

35 Sanford, Florida CRA Annual Report 2009-2010 36 Gainesville, CRA, Grow Gainesville Fund

What is Grow America Fund? • It’s a long-term, revolving loan fund designed to help businesses expand • Licensed by the SBA to provide loans to operating businesses • The goal of the program is to help businesses create and retain jobs • GAF is designed to leverage equity approximately 4 to1 • Lending since 1993 • For profit corporation, governed by Board of Directors • Loans approved by GAF Loan Committee • Oversight by the Small Business Administration • Affiliate of NDC • Average loan size - $300,000 What are the advantages of this program for the businesses? • Long term financing • Low equity requirement • Flexible underwriting criteria • Limited pre-payment penalties • Loans tailored to individual borrowers What can GAF dollars be used for? • Real estate acquisitions • Construction • Debt refinancing • Leasehold improvements • Machinery and equipment and working capital Company Relocation Incentive Program37 Gainesville also has a Company Relocation Incentive Program Policy, which was approved on March 15, 2012.The program will offer eligible companies a 50% match on eligible business relocation costs, up to a maximum award of $50,000. The program will reduce costs associated with physically relocating an eligible company into a Redevelopment Area. The objective of the Relocation Incentive is to alleviate blight and economic distress. The relocation of companies and their employees into the Redevelopment Areas will help to lower vacancy rates, increase employment levels, raise the tax base, diversify economic opportunities and promote redevelopment goals. The encouragement of private enterprise will help the Redevelopment Areas become self-sustaining in the long term and will serve to implement the Redevelopment Plan.

37 Gainesville, CRA, Company Relocation Incentive Program Policy, March 15, 2012

Pasco County Pasco County Job Creation Incentive38 Pasco County Board of County Commissioners adopted the Pasco County Job Creation Incentive Ordinance to promote the attraction and expansion of target industries or businesses within Pasco County. Following is a summary of the ordinance: Application for the Job Creation Incentive must be submitted prior to making a location decision. Companies must meet one or both of the following industry classifications and meet the job creation requirement: Primary Target Industry:  Pay an average annual wage of at least 115% of the prevailing Pasco County average wage (As of January 2012 this amount is equal to $36,319)  Must sell at least 51% of products or services outside of Pasco County Qualified Target Industry:  Businesses serving multi-state and/or international markets and that create new jobs at greater than the annual average wage of Pasco County Job Creation:  Project must result in a minimum of 10 new full-time jobs in Pasco County within one year of the project completion Qualifying companies are eligible for the following: Average Wage Incentive/New Job $36,319 $2,000 $39,478 $3,000 $47,373 $4,000 $63,164 $5,000 This incentive award can be used in addition to any qualifying State program Expedited plan amendments, zoning, plan review and permitting is available This ordinance can be used for businesses either relocating/expanding to Pasco County or for businesses already residing in Pasco County which need to expand. Completed applications along with supporting documentation must be submitted to Pasco Economic Development Council for consideration by Pasco County Board of County Commissioners. An economic/cost benefit analysis and comprehensive plan compliance review will be completed for a complete incentive package. Permitting and Regulatory Assistance Pasco Economic Development Council works with county and state regulatory representatives to expedite the review and approval process for qualified projects.

38 Pasco County Job Creation Incentive Ordinance, www.Pasco EDC.com

Conclusion Discussions were conducted with economic development professionals from around the State and with Jerry Walker at Impact DataSource. Impact DataSource is a Texas based economic consulting, research and analysis firm. The firm specializes in economic and fiscal impact analysis and other economic studies. The City is ahead of other communities in Florida by recognizing the need for an independent third party to evaluate economic development projects. The City retained the services of Impact DataSource starting in 2010 and continues to use them. FIOG staff worked with Impact DataSource to develop Guidelines for Making Good Decisions on Incentives. (Exhibit 1). FIOG recommends that the City develop formal incentive guidelines. The guidelines need to be broad rather than restrictive and projects should always be evaluated individually. There is no magic solution that will work the same for every project. Now would be the ideal time for the City to explore other options in addition to developing criteria for evaluating economic development projects. In order to stay current with new technologies being used by businesses today and to improve its competitiveness, the City should explore the broad band capacity. This is one area where the City can jump out ahead of its competition. The FIOG would be available to coordinate this research with subject experts at the University of South Florida should the City desire to do this in the future. Some rules of thumb on incentives should include the following: Rules of Thumb on Incentives39  Provide incentives to projects where the additional public revenues generated by the project exceed public costs  The larger the rate of return on investment, the better the deal is for the community  The shorter the payback period, the better the deal is for the community  A general guideline is that communities only consider investments that result in a rate of return greater than 10% and a payback period less than 10 years  Each community should establish its minimum investment objectives  If the firm is leasing a building, consider the lease term as the maximum payback period – the city should get its money back before the lease expires  Go outside the box on a community-changing deal  Incentives should be provided to projects that improve the quality of life for residents  Concentrate incentives on target industries  Give priority to incentives for basic industries – those that: o Export products (Primary Industry) and bring in new dollars o Create more spin-off economic impacts in the community  Do not offer incentives to firms that will be harmful or destroy existing businesses  Make incentives available equally to existing local businesses and to businesses recruited from outside the community  It is more efficient and less costly to retain existing local businesses and assist local businesses to expand than to recruit a business from outside the community

39 Jerry Walker, Principal, Impact DataSource

At a minimum, a community should do the following:  Conduct an economic and fiscal impact analysis of your economic development projects to: o Validate the economic value to the community o Determine appropriate incentives  Establish a Rate of return and payback period should be the primary factors in awarding incentives  Keep in mind that throwing good money at a project won’t make a bad deal good; however, it will make a good deal better.

Economic Development Incentives-Exhibit 1

Guidelines for Making Good Decisions on Incentives Goal of Economic Development . Economic development activities should: – Create revenues for businesses in the community – Create jobs and salaries – Attract investment to expand a community’s tax base . Goal of economic development is to have thriving communities with good quality of life for its residents Economic Development and Incentives . Location decisions involve many factors: – Availability of sites – Access to markets – Adequate labor force – Adequate infrastructure – Good quality of life – Reasonable cost of doing business – Incentives . Incentives for a firm reduce its cost of locating or expanding in your community and their cost of doing business . Incentives can make a firm feel wanted . Incentives are only appropriate when the firm will generate positive net benefits for a community and it’s a good deal for a community . Many incentives available for prospects are state programs . Some of the State of Florida incentives require local participation and future ones may also – Qualified Target Industry Tax Refund Program (QTI) – Economic Development Transportation Fund

General Incentive Guidelines All counties, cities and EDC’s should have written incentive guidelines . Why written incentive guidelines? – Get all local officials on the same page and keep them there – Consistency in granting incentives – To respond quickly to prospects requesting assistance

Guidelines for Revenue Reducing Incentives . Try to make city, county and other local taxing districts’ exemption and rebate guidelines consistent . The length and percent of tax exemption and rebate should be based on the level of a firm’s investment and specific industries . Greater investments by a firm justify longer periods and larger percentages of exemptions or rebates . Grant larger percentage of exemptions or rebates in first years . Don’t give the company a total free ride

Guidelines for Cash Incentives . Establish a written procedure for granting cash or like cash incentives, including who gets priority, when and how determined . Common ways the amount of cash incentives are determined: – Give the firm what they ask for or just guess at what they might want – Go with large, round numbers to impress the prospect, such as $2 million – Offer a certain amount per new job, such as, $4,000 per job . The best way to determine appropriate levels of incentives is by using an objective, consistent, analytical approach with an economic impact analysis.

Revenue Reducing Incentives Two philosophies on revenue reducing incentives, such as tax exemption: 1. Taxes exempted represent a cost to local governments. “It’s corporate welfare.” – Taxes exempted should be compared to what a local government is getting after the exemption – Taxes received should be more than those exempted 2. Taxes exempted are not a cost – The firm generates its own incentives. – Firms generate taxes for the benefit of local governments, where little or no taxes were being generated before. – Communities should be grateful for anything that they are getting.

Cash or Near-Cash Incentives . How should cash incentives be viewed? . Incentives are an investment that a city is making in a firm or project . The tax revenues, that a firm receiving incentives generates, are the city’s returns on that investment . By comparing the investment (the amount of incentives offered) and returns on investment (tax revenues that the city will give over ten years, for example) you can determine: – The rate of return on this investment – The payback period . This is how businesses, as well as most individuals, evaluate investment decisions . Use economic impact analysis to make these financial calculations and to make good decisions on incentives

What is an Economic Impact Analysis? . The analysis is a calculation of the worth of a project, firm or activity to a state or community . It should be used to determine appropriate levels of incentives . An economic impact analysis includes two major components: – Economic impact component – Fiscal impact component . Economic impacts include: – Direct Impacts and – Indirect and induced or spin-off impacts

Direct & Spin-off Economic Impacts . Direct Impacts –economic activities generated by a new firm and its workers . Indirect Impacts – economic activities that occur in other businesses in a community that supply goods and services to the direct firm . Induced Impacts – economic activities generated by direct and indirect workers spending money in the community at grocery stores, gas stations, restaurants, etc.

Determining Indirect & Induced Impacts . Indirect and induced economic impacts may be calculated using regional industry multipliers and applying these multipliers to revenues, jobs and salaries of the direct firm . Industry and region specific RIMS II multipliers from US Bureau of Economic may be used . IMPLAN multipliers may be used

Examples of Direct Economic Impacts . Revenues of the new firm . Investments by a firm . New jobs at a firm . Salaries paid to these new workers . Residential property added to local tax rolls by some new workers moving to the community . The firm’s taxable sales . Lodging sales to out-of-town visitors to the firm

Illustration of Indirect and Induced Economic Impacts . For every dollar earned by new company in a community, there may be 50¢ in revenues generated in other businesses in the community . For every 1 job created at a new business, there may be a half of a spin-off job created in other local businesses . For every dollar paid to a worker at a new business, there may be 50¢ paid to workers in other businesses in the community

Sources of Economic Impacts . From activities while a firm’s facility is being constructed . From the firm’s operations . From spending by direct and spin-off workers . From spending by out-of-town visitors to a firm

Fiscal Impacts . Economic impacts translate into fiscal impacts . Fiscal impacts are: – Additional revenues for local governments – Additional costs for local governments – Net benefits for local governments

Illustration of Public Revenues . Sales taxes are collected on the following: – Purchases of construction materials/equipment and spending by workers – Taxable sales at the firm – Taxable spending by the firm – Taxable spending by workers – Taxable spending by out-of-town visitors

Net Benefits . Net benefits for local governments from a new firm and its workers are: – Additional revenues for local governments – Less additional public costs

Conducting an Economic Impact Analysis . Collect data from a prospect firm using a data sheet . Collect community data, tax rates and multipliers . Typical economic impact analysis is a ten year study, but can be longer . Study includes calculating: – Additional revenues for each local taxing district – Additional costs for each local taxing district – Net benefits for each local taxing district – Taxes to be exempted or rebated – Rate of return on investment and payback period for cash and other incentives

Incentives That Could Be Offered . An economic impact analysis may show net benefits for a typical county over ten years to be $874,915 . Incentive objectives: – Payback period of 10 years – 10% rate of return – Therefore, maximum possible incentives would be $874,915 . What if we had used an old school approach of $4,000 per job or $1.2 million to determine incentives rather than using an objective economic impact analysis approach? – Incentives of $1.2 million would have:  7% average annual rate of return on investment over ten years  Payback period of 13.2 years

Rules of Thumb on Incentives40 . Provide incentives to projects where the additional public revenues generated by the project exceed public costs . The larger the rate of return on investment, the better the deal is for the community . The shorter the payback period, the better the deal is for the community

40 Jerry Walker, Principal, Impact DataSource

. A general guideline is that communities only consider investments that result in a rate of return greater than 10% and a payback period less than 10 years . Each community should establish its minimum investment objectives . If the firm is leasing a building, consider the lease term as the maximum payback period – the city should get its money back before the lease expires . Go outside the box on a community-changing deal . Incentives should be provided to projects that improve the quality of life for residents . Concentrate incentives on target industries . Give priority to incentives for basic industries – those that: – Export products (Primary Industry) and bring in new dollars – Create more spin-off economic impacts in the community . Do not offer incentives to firms that will be harmful or destroy existing businesses . Make incentives available equally to existing local businesses and to businesses recruited from outside the community . It is more efficient and less costly to retain existing local businesses and assist local businesses to expand than to recruit a business from outside the community

At a minimum, a community should do the following: . Conduct an economic and fiscal impact analysis of your economic development projects to: – Validate the economic value to the community – Determine appropriate incentives . Establish a Rate of return and payback period should be the primary factors in awarding incentives . Keep in mind that throwing good money at a project won’t make a bad deal good; however, it will make a good deal better.

Best Practices in Economic Development Best practices provide insights into economic development activities that have garnered attention because of their innovative approach, creative solutions or contributions to improving implementation and processes.

In analyzing best practices, the FIOG teamed concluded the two biggest deficiencies that impact the City's competitive edge for business attraction are the lack of inventory data for available sites and buildings, and the lack of shovel ready sites. Therefore, the focus of best practices is to highlight some of the tools that could address current City deficiencies of data and access to data.

In analyzing best practices, the FIOG teamed concluded the two biggest deficiencies are the lack of inventory data for available sites and buildings, and the lack of shovel ready sites. Therefore, the FIOG team narrowed its focus of best practices to address current City deficiencies of data and access to data.

Today, one of the most important functions of a high performing economic development organization is the provision and dissemination of data related to site and building inventory. The initial steps in any site selection process are to eliminate communities that do not have this data available on their web sites. If a community does not have readily accessible current web data, it isn’t even going to come up on the radar screen for consideration by a site selector.

The City and its Economic Development Division needs to have the proper tools to be more productive and to provide timely information that commercial brokers, business owners or site selectors need to make location decisions.

The City has a good general marketing presence. However, it appears that the Economic Development Division functions more as a marketing arm for the entire City when it needs to be more focused on economic development efforts. This is especially true with the limited resources and size of the current staff.

Florida’s Great Northwest A good example is Florida’s Great Northwest economic development website – www.floridasgreatnorthwest.com . As shown in the screens below, the website offers site selectors detailed inventory data. The home screen has immediate links to its data of available buildings and sites.

http://www.floridasgreatnorthwest.com/ Data is available by area/size, ceiling height (industrial buildings), acreage and rail service. The results can be produced in a report format (note report builder button at lower left side of screen).

http://www.floridasgreatnorthwest.com/

Loudoun, Virginia Another example or best practice is Loudoun, Virginia’s website www.biz.loudoun.gov . Again, their website provides direct access to its inventory of land and buildings by providing large easily directed buttons to access the data base.

http://www.biz.loudoun.gov/index.aspx?NID=141 The information is presented on maps and in tabular form, with further links to detailed site/facility data.

http://www.biz.loudoun.gov/ The example above shows land data.

For facility data, Loudoun uses a program called Showcase.com to store its land and building inventory data.

http://www.showcase.com City of North Port FIOG looked at current inventory available for the City of North Port with Showcase.com, and found that existing data is very limited, showing only 66 properties/facilities within the City and surrounding area. An example of Showcase.com information available for North Port is shown below. It should be noted that Showcase.com is now part of CoStar Realty Information, Inc.

http://www.showcase.com

Another data source is LoopNet (www.LoopNet.com). An example of LoopNet’s North Port data is shown below.

http://www.loopnet.com

Developing Your Own Data Base Generally speaking there are two types of data uses: one for providing data as shown above and one for business retention and expansion (BRE). The Greater Fort Lauderdale Alliance won a national award a few years ago for its BR & E Program. Also, Pinellas County Economic Development is regarded as having an excellent business outreach program. There are special software programs that can be used to support BRE programs. In contacting ED professionals, one program that is highly regarded is Salesforce. Florida’s Great Northwest uses this program. Many EDO’s are private versus public/government entities and they not only track BRE activity, they also track membership, events, company contact data, etc. This data is integrated into their websites and bulk e-mail distribution. At least five references have been mentioned by ED professionals including Internetoffice (http://internetoffice.biz); Atlas Marketing-Insite, Synchronist, CoStar and LoopNet for tracking existing businesses. Another good contact is Sue Noe at Lee County Economic Development, they are known for conducting a good BRE program.

City of North Miami The City of North Miami has developed a web presence and also has some unique tools that can be used by existing businesses, citizens, and businesses looking to relocate. The first screen below shows the web page for the Economic Development Department of the City with appropriate links.

http://www.northmiamifl.gov/departments/cp&d/economic_development.asp

Specific site/property information is readily available along with mapping as shown next.

http://wwww.showcase.com The City has also created a web presence especially designed for businesses, referred to as NoMi biz available at www.NOMIbiz.com.

http://www.NOMIbiz.com The site provides helpful information as well as being an excellent market analysis tool that anyone can use. The site also provides information on where existing grants are being used.

The following screen introduces the Market Analysis Tool. This tool shows demographic and household income data within the selected market area, as shown in purple.

http://www.NOMIbiz.com

http://northmiamicra.org/MarketAnalysis.html

Back to Table of Contents

Section 4

Community CITY OF NORTH PORT Engagement ECONOMIC DEVELOPMENT Strategic

STRATEGIC PLAN UPDATE Framework 2013-2018 Implementation Matrix

Community Engagement The FIOG team conducted personal interviews, focus groups, and surveys with representatives from the community. This series of public input activities served several purposes. The purpose of the interviews was to gain a sense of community self-perception and marketing strengths, along with the critical community “buy-in” to the project and its resulting economic development initiatives. Second, it provided qualitative and quantitative information used to sculpt the Community Assessment, Strengths- Weaknesses-Opportunities-Threats (SWOT), and Final Action Plan. Strengths, Weaknesses, Opportunities and Threats (SWOT Analysis ) SWOT Analysis Unlike traditional SWOT assessments that focus on issues so general they could apply to almost any community, FIOG paid special attention to those critical issues that will clearly differentiate the City from other communities. FIOG's SWOT process is unique because it ensures that the city considers not only internal issues, but also issues that impact national and international competitiveness.

Access to I-75 (18) Over regulation and misinterpretation by City Govt. (21) Warm Mineral Springs (16) No full service hospital (11) Availability of higher education (10) Lack of job opportunities and skilled workforce (10) Available and skilled workforce (7) Lack of vocational/technical school (9) Pro-Business City Government and City Commission (5) Lack of consistent vision by the City Commission (8) Small town feel, family oriented (5) Competition of other cities (6) Low Cost of Living (5) No downtown (5) Available and affordable land (5) Lack of a hotel/resort (5) Elimination of impact fees for 2 years (4) Lack of an equestrian venue (5) Affordable housing (4) Step-child to Sarasota County (4) Lack of opportunity for citizen comment and feedback (4) Low wage jobs, blue collar/semiskilled (4)

Warm Mineral Springs-develop and promote (31) Big and intrusive government (25) Reducing Govt. Regulation to assist business growth (17) Shift in City Commission away from pro-business (21) Develop eco-tourism-kayaking, camping, hunting, bird watching City lacks a long term vision (16) (10) Brain drain due to lack of job opportunities (13) Develop more retail, dining, entertainment and cultural amenities Increased taxes (9) (9) Weak national economy (8) Expand educational programs & services at USF and State Decrease in Federal, State, and Local funding (6) College of Florida (8) Inefficient use of economic resources (6) Support small business expansion through programs (7) Look at aged-based population for business growth (Young and Old) (7) Develop canals for recreational opportunities (6) Develop amenities-forest, Little Salt Springs, Myakkahatchee Greenway (6)

OPPORTUNITIES THREATS

Community Online Survey After completion of the stakeholder interviews and the focus group meetings the FIOG team compiled the results. The FIOG team then worked with the City and the Business and Economic Development Advisory Board (BEDAB) Economic Development Strategic Plan (EDSP) Task Force to develop an online survey that was transmitted via non-traditional media through the City’s web page and through community partners social media outlets.

Starting on April 30, an online survey was posted to the City’s web page and distributed to local civic groups for dissemination. Computers were also available at USF-North Port and at the North Port Public Library. The public was asked to review the strengths, weaknesses, opportunities, and threats and then to select their top 3 priorities. The survey remained active from April 30-May 15.

 Over 6,000 survey’s distributed  1,230 respondents started the survey  930+ completed the survey  408 provided comments Following is a summary of some of the background information on the survey respondents:

Are you employed by a business located Do you live in in North Port? North Port?

Yes No Yes No

23% 21%

77% 79%

Do you work for a business or Do you own a organization that is not located in North business in North Port? Port but does business in North Port? Yes No Yes No

14% 18%

82% 86%

FIOG compiled the survey responses and provided a summary report of the survey results along with an overview of the Community Assessment on June 8, 2012 to a joint meeting of the BEDAB Executive Committee and the EDSP Task Force. The Community Assessment included the Socio Economic Profile, Workforce Analysis, Competitive Market Analysis, and Benchmarking of selected similar cities.

Survey Results

STRENGTHS WEAKNESSES

Focus Focus Survey Survey Response Group Response Group Rank Rank Rank Rank

1 Access to I-75 1 1 Lack of job opportunities 3

2 Affordable Housing 6 2 Lack of a hotel 7

3 Small town feel, family oriented 5 3 Low wage jobs, blue collar/semi- 8 skilled

4 Available and affordable land 6 4 No downtown 7

Focus Focus Survey Survey Response Group Response Group Rank Rank Rank Rank

1 Development of more retail, dining, 4 1 Weak national economy 6 entertainment and cultural amenities

2 Support small business expansion 6 2 Brain drain due to lack of jobs 4 through programs

3 Reduce government regulation to 2 3 Increased taxes 5 assist business growth

4 Expand educational programs at USF 5 4 Inefficient use of economic resources 7 and State College of Florida

OPPORTUNITIES THREATS

Strengths Access to I-75 ranked #1 by both the survey respondents and the focus groups

Weaknesses Lack of job opportunities ranked #1 by survey respondents and #3 by the focus groups

Opportunities Development of more retail, dining, entertainment and cultural amenities ranked #1 by survey respondents and #4 by the focus groups. It is interesting to note that Develop and Promote Warm Mineral Springs ranked #6 by survey respondents and ranked #1 by the focus groups.

Threats Weak national economy ranked #1 by survey respondents and #6 by the focus groups. It is interesting to note that Big and Intrusive Government ranked #6 by survey respondents and ranked #1 by the focus groups.

Strategic Plan Framework The recommended economic development strategic plan for the City of North Port is composed of the following elements:  Goals, objectives and strategies;  Organizational responsibilities for each strategy; and  Order and magnitude of financial requirements Goals, Objectives and Strategies In the recommended strategic plan, statements are set forth to identify the desired ends of the plan (goals), provide specific and measurable milestones toward which the goals are directed (objectives), and stipulate how activities and programs shall be conducted to achieve the goals and objectives (strategies and action items). Related objectives are listed under each of the goal statements. Explicit strategies are provided for each of the objectives. Goals and objectives need to be clearly defined and based on realistic expectations in order to formulate specific programs for action and define the organizational structure necessary for implementation. The goals constitute an overall working framework for identifying and assessing alternative strategies, which are assigned priority. The economic development strategies represent action-oriented approaches to the achievement of the stated goals and objectives. A strategy or strategic action consists of a project or course of action to be undertaken to accomplish a defined objective. Generally, it is possible to express a strategic action in a single sentence or phrase reflecting an approach that could encompass any number of specific activities or tasks. For example, one strategy for attracting high technology firms could be the establishment of a direct mail program based on the purchase of address lists for firms that might be identified in a target industry study. This strategic action would involve such tasks as procuring a mailing list, formulating a series of letters, packaging and mailing the marketing materials, and conducting follow-up contacts. The strategic plan is the means by which the goals recommended herein or developed as the process continues can be accomplished, despite the likelihood of change over a period of time. The strategies should be clearly stated, but the individual tasks within each strategy need not be outlined. Some accommodation for flexibility in implementation is desirable. If goals, objectives, and strategies are structured properly, the plan will be flexible enough to respond to unexpected changes with a minimum degree of disruption or disturbance to area economic development efforts as a whole. The EDSP is a living document and as such should be reviewed at least annually in order to determine the status of the objectives and strategies and updated as appropriate. Organizational Responsibilities Once the EDSP has been approved, an implementation matrix defining organizational responsibilities for each of the strategies in the recommended strategic plan should to be specified, with the desired results and a suggested schedule for when the actions are to be undertaken and completed. An implementation matrix is provided in the recommended strategic plan indicating the proposed lead and support roles for the strategies. It will be up to the individual agencies and organizations to reach agreements on assuming the proposed responsibilities. Organizations currently assuming responsibility for economic development activities in North Port must promote a commitment to the strategic economic development process. The organizations must accept responsibility for the actions and be committed to achieving the desired results. Potential conflicts must

be resolved and a consensus among the organizations involved in economic development must be achieved for successful plan implementation. It is necessary to translate responsibilities for the strategic actions which have been accepted by participants into a work plan. While the recommended strategic plan focuses on overall goals and strategies for developing the economy of North Port, the City’s plans must focus on the specific tasks to be accomplished. An annual work program is the means by which the strategic plan implementation results are achieved and evaluated. The work programs for the participants in this process should define the actions to be taken to achieve the responsibilities agreed to, but until these specific actions are undertaken, little or nothing will be accomplished. It is therefore essential that agreements to assume responsibilities for the various strategies presented in the plan be made explicit. This helps to avoid misunderstandings and provides an incentive for performance. It is recommended that each organization with economic development responsibilities define their involvement in the form of a detailed work plan on an annual basis, and stipulate tasks to be accomplished consistent with the strategic plan. These should include the specific tasks, time frames, staff requirements, resource requirements, estimated budget, and sources of funding. Implementing the Strategic Plan While several characteristics distinguish strategic planning from other types of planning and goal-setting efforts, it is implementation that really sets it apart. The key to strategic planning is that it is action- oriented; its focus is on the allocation of scarce resources to critical issues. The implementation phase is crucial. The success of the strategic planning process comes as much from the process itself as from the strategies defined in the plan. The key to implementation is organization. The various individuals, agencies, and organizations that have helped identify concerns to be addressed for the recommended strategic plan should now continue to be involved in “getting the job done”. Responsibilities for the specific projects and actions defined in the plan must be clearly understood and accepted. Each participant should:  Commit to agreed responsibilities for action;  Understand the desired results;  Accept responsibility for the actions and their results;  Establish an acceptable time frame within which the actions are to be taken and completed; and  Be committed to achieving the desired results. The importance of creating an effective organizational structure within the community to implement the strategic plan cannot be overemphasized. Turf protection, organizational jealousies, and duplication of effort must be avoided. The process of consensus-building and negotiation which brings about agreement on the strategic plan components should resolve such problems. If not, they must be resolved as organizational responsibilities are assigned and agreed to. As discussed previously, there must be a link between strategy and budget. Although some strategies will be oriented to policy changes and removal of administrative barriers and not involve monetary resources, successful strategic planning will require allocation of scarce financial resources to implement project-oriented strategies.

One of the last activities of the BEDAB Advisory Board for this project, other than a suggested ongoing responsibility for monitoring, will be to ensure that each responsible organization prepares a work plan, with a one-year time frame recommended.

Conclusion A list of characteristics found in effective strategic plans is presented below as an appropriate summary for the strategic planning model. Ensuring that programs and projects are credible and relate to the community’s economic development goals and objectives is a basic requirement of an effective plan. A clear connection between the plan and the proposed projects or programs is essential for favorable public response and continued financial support by all stakeholders. The characteristics are: 1. The strategic plan has an analytical basis based on accurate and current information. 2. Available previous studies have been consulted and reflected in the strategic plan. 3. The strategic plan reflects a meaningful public participation process. 4. Projects and activities in the strategic plan are compatible with the findings. 5. The strategic plan specifies concrete actions that will be undertaken in a defined period of time (approximately one to five years, as warranted). 6. There is appropriate linkage between capital projects and program activities necessary to make the capital projects effective. 7. Roles and responsibilities are clearly defined and assigned within the strategic plan for each proposed action. 8. Organizations or persons assigned roles and responsibilities formally make a commitment to attempt to achieve the related proposed actions. 9. The strategic plan reflects or creates an institutional framework necessary to achieve its objectives or to complete its proposed projects and activities. 10. Proposed actions are realistically achievable within a reasonable time frame. 11. The strategic plan has a formal commitment to an ongoing evaluation and monitoring process, including a formal progress review. Strategic Action Plan Many elements of the strategic plan recommended in this chapter address issues raised in the preceding chapters. The framework is designed for actual decision making guidance by providing the recommended goals, objectives and strategies. These are the items to be acted upon which will direct the participants in the economic development process. The programs and actions proposed in this recommended strategic plan are intended to provide the foundation for maintaining a collaborative working relationship among the public and private sector entities involved in promoting economic development in the City of North Port, to set forth achievable implementation strategies to guide decision making based on the concerns expressed during the interview and charrette processes conducted for this study, and to provide a successful model for citywide application.

The Mission Statement This EDSP has been shaped and driven by the following overall Mission Statement: To facilitate the location and expansion of quality businesses by attracting and retaining value added jobs; and by working closely with key stakeholders to promote the region as a preferred business destination.

The EDSP’s central conclusions are as follows:  To effectively pursue economic growth, the community must better manage its total economic process (business development, tourist development, community development and workforce development). A new emphasis on thinking and acting as a unified city/community first, requiring better cooperation between cities, county and private sector, and as a multi- county region second.  The city’s economic development efforts must refocus attention on programs to support existing businesses and existing job skills. Further economic diversification is also needed, through continued development of the Sarasota County Target Industries: o Medical & Life Sciences o Applied Environment Services & Sustainable Systems o Digital Media & Web-enabled Technologies o Creative Services o Specialty Manufacturing

While also developing the new target industries identified for North Port that include Education, Logistics/Distribution, Retail Trade, Construction & Real Estate, Tourism, and Warm Mineral Springs By-Products; and through expanded support for entrepreneurs.  To achieve effective and consistent leadership for planning, infrastructure investment and the delivery of other public services to support economic development, cooperation among all stakeholders will be required.  Growth must accommodate the protection and enhancement of the natural and man-made resource base that defines the community’s existing quality of life. Initiatives have been identified throughout the EDSP to address most of the City’s major liabilities or its opportunities for future growth. However, funding these proposals will not be easy. Although the City has committed significant resources, other public and private resources (county, state, regional and national) will be required to fully implement the EDSP. On these key points this EDSP has achieved a resounding consensus. The time now has come to move forward with implementation. The greatest strategic challenge facing North Port is no longer a matter of establishing the correct goals and objectives. Rather, the attention of civic and private sector leaders must now focus on ensuring that the community has viable mechanisms to harness the public and private resources at hand, to develop additional resources, and to deploy them in a way that will make a tangible difference in the future performance of North Port’s economy.

Action Plan for Change Economic development is no longer seen as merely a real estate marketing effort to entice businesses (usually headquarter offices or manufacturing plants) to relocate into the area. Today, economic development is truly about enhancing quality of life. It’s about increasing per capita wages, training its workforce, enhancing infrastructure that in turn will protect and enhance the area’s natural resources. Economic development encompasses not only business expansion and retention; it also addresses community development and workforce development. As a result of significant public input, five major themes serve as the “Goals” for the EDSP. Goal 1: FOSTER ECONOMIC GROWTH AND EXPANSION OF EXISTING BUSINESSES Goal 2: DEVELOP PRODUCT - LAND AND BUILDINGS Goal 3: DEVELOP INFRASTRUCTURE Goal 4: DEVELOP TALENT AND WORKFORCE Goal 5: IMPROVE QUALITY OF LIFE - COMMUNITY DEVELOPMENT Each of the Goals listed have numerous objectives and strategies, which provide the means of attaining their individual and collective results. This EDSP is very comprehensive. The EDSP contains 5 Goals, 20 objectives and 56 strategies. It should be noted that there is considerable overlap between goals, objectives and strategies and that responsibility for the objectives/strategies involves a host of public and private stakeholders. Without cooperation among all parties, the EDSP as outlined below will fail. Overview of Goals Goal 1: FOSTER ECONOMIC GROWTH AND EXPANSION OF EXISTING BUSINESSES Promote and support positive economic change by conducting strategic activities designed to expand and diversify the existing economy to create additional employment and income opportunities. Goal 1 represents the more traditional view of economic development: the attraction of new jobs and the retention of existing jobs for the community. To achieve this goal, the EDSP identifies 5 objectives and 17 strategies. The thrust of this goal is not only to provide strategies to retain and expand the existing business base of the city but also to reposition the city to attract a higher paying and diverse employment base. This goal and its objectives/strategies address existing and proposed opportunities required to build necessary inventory to attract future businesses and investors. Goal 2: DEVELOP PRODUCT - LAND AND BUILDINGS Collaborate with public and private sectors to increase the availability of developed sites for value added businesses One of the City’s greatest weaknesses is the lack of existing/appropriate inventory to house future recruitment of specific targeted industries. This includes lack of existing facilities and lack of shovel ready sites. This goal and its 3 objectives and 8 strategies address the need for the creation of additional inventory: pre-permitted building sites, commerce parks and buildings necessary to attract major employers to the city.

Goal 3: DEVELOP INFRASTRUCTURE Build on strengths and competitive advantages and provide the necessary infrastructure and services to support and enhance quality of life and economic growth. The City needs to provide the necessary infrastructure (water/sewer, transportation, broadband, natural gas) to sites that have the greatest possibility of being developed within the next five years. To achieve this goal, the EDSP identifies 6 objectives and 14 strategies. Goal 4: DEVELOP TALENT AND WORKFORCE Ensure development of progressive workforce initiatives to meet the existing and future needs of employers. Develop local and regional partnerships to meet the training and skills development needs of target industries. Today, labor force issues rank as two of the three top factors that businesses analyze when relocating. This goal mainly addresses the existing workforce with strategies addressing enhancement of skills through training. The goal has 2 objectives and 8 strategies. Goal 5: IMPROVE QUALITY OF LIFE-COMMUNITY DEVELOPMENT Assist the City in determining its identity. Explore the concept of a City Center to give it a sense of “place” and diversify retail opportunities city-wide. Throughout the public involvement process in the development of this EDSP, the public voiced its concerns about not having an identity or a downtown or any other type of central area for activities. This EDSP acknowledges the community’s desire to examine the need for a sense of “place”, and also look at retail and cultural amenities that are lacking that weigh heavily in defining the area’s excellent quality of life. This Goal’s 4 objectives and 9 strategies define the EDSP’s commitment to utilize resources of the city in its approach to expanding and diversifying the City’s economic base.

EDSP Implementation Matrix

Timeframe Actions Responsible Parties Funding Sources Ongoing 1 to 2 years 2 to 3 years 3 to 5 years

GOAL 1: FOSTER ECONOMIC GROWTH and EXPANSION OF EXISTING BUSINESSES

OBJECTIVE 1.1: Promote available sites and buildings

Strategy 1.1.1: Identify key sites and

buildings Strategy 1.1.2: Develop plan to

market land/building assets Strategy 1.1.3: Develop a web data inventory of available land and buildings Strategy 1.1.4: Collaborate with commercial real estate brokers for data onsite and buildings Strategy 1.1.5: Collaborate with bank owned foreclosed industrial/office properties OBJECTIVE 1.2: Create innovative partnerships to support existing businesses and expansion Strategy 1.2.1: Work with businesses to create, attract and retain target industries Strategy 1.2.2: Develop a comprehensive existing industry program Strategy 1.2.3: Explore options for

collaborating with the private sector Strategy 1.2.4: Increase the awareness and use of local, State and Regional resources that assist with retention, attraction and growth of value-added businesses Strategy 1.2.5: Collaborate with

commercial real estate brokers

Timeframe Actions Responsible Parties Funding Sources Ongoing 1 to 2 years 2 to 3 years 3 to 5 years

OBJECTIVE 1.3: Create a regulatory environment that embraces collaboration and cooperation Strategy 1.3.1: Identify regulations

that inhibit business growth Strategy 1.3.2: Explore business friendly actions that encourage business attraction and retention Strategy 1.3.3: Implement ULDC Task Force recommendations related to changes to the City's

Comprehensive Plan to encourage business growth and consistency with the EDSP Strategy 1.3.4: Implement ULDC Task Force recommendations on the

City's Land Use and Zoning regulations Strategy 1.3.5: Work with other City departments to further streamline the permitting process OBJECTIVE 1.4: Encourage public/private collaborations for development of Warm Mineral Springs, as it relates to spin-off industries Strategy 1.4.1: Issue RFQ for exploring marketable uses of Warm Mineral Springs mineral water OBJECTIVE 1.5: Evaluate whether current City economic development incentives are effective

Strategy 1.5.1: Develop and adopt

guidelines for awarding incentives

Timeframe Actions Responsible Parties Funding Sources Ongoing 1 to 2 years 2 to 3 years 3 to 5 years

GOAL 2: DEVELOP PRODUCT-LAND and BUILDINGS

OBJECTIVE 2.1: Increase available Shovel-Ready sites for Manufacturing, Research & Development, Office Uses, Distribution Strategy 2.1.1: Explore the

opportunity of creating a Land Bank Strategy 2.1.2: Work with landowners to develop sites in Activity Centers 4 and 5 Strategy 2.1.3: Prioritize areas for design and funding of water and

sewer main lines to increase number of shovel and pad ready sites OBJECTIVE 2.2: Identify key parcels of 20 Acres or more within Activity Centers that can be readily converted to shovel ready sites Strategy 2.2.1: Compile inventory of land and ownership of properties with

20+ acres that are zoned and ready for detailed master site planning Strategy 2.2.2: Meet with landowners/developers of larger land

holdings to determine actions needed to develop shovel ready sites OBJECTIVE 2.3: Encourage development of office and business parks at or near key interchanges Strategy 2.3.1: Create options that will expedite infrastructure for office and business park investment Strategy 2.3.2: Lead in the creation of public/private partnerships to prepare

North Port to attract business investment Strategy 2.3.3: Develop ways North Port can partner with developers to creatively structure financing for infrastructure needs and reduce impacts of regulatory demands

Timeframe Actions Responsible Parties Funding Sources Ongoing 1 to 2 years 2 to 3 years 3 to 5 years GOAL 3: DEVELOP INFRASTRUCTURE OBJECTIVE 3.1: Develop water related infrastructure to encourage business growth and expansion in Activity Centers Strategy 3.1.1: Conduct an inventory of water needs as it relates to Activity Centers Strategy 3.1.2: Develop a plan for addressing water related deficiencies

that deter business expansion Strategy 3.1.3: Provide incentives or financing mechanisms to developers

to extend water and sewer lines in prioritized areas OBJECTIVE 3.2: Develop sanitary sewer system to encourage business growth and expansion in Activity Centers Strategy 3.2.1: Conduct an inventory of sanitary sewer deficiencies to and within Activity Centers Strategy 3.2.2: Develop a plan for addressing sanitary sewer related

deficiencies that deter business expansion OBJECTIVE 3.3: Develop roads to encourage business growth and expansion in Activity Centers Strategy 3.3.1: Conduct an inventory of roadway deficiencies to and within Activity Centers Strategy 3.3.2: Develop a plan for addressing sanitary sewer related

deficiencies that deter business expansion OBJECTIVE 3.4: Develop broadband to encourage business growth and expansion in Activity Centers Strategy 3.4.1: Inventory current

broadband capacity Strategy 3.4.2: Meet with providers to explore methods of expanding and

increasing coverage

Timeframe Actions Responsible Parties Funding Sources Ongoing 1 to 2 years 2 to 3 years 3 to 5 years OBJECTIVE 3.5: Develop natural gas related infrastructure to encourage business growth and expansion in Activity Centers Strategy 3.5.1: Conduct a natural gas needs assessments as it relates to Activity Centers Strategy 3.5.2: Develop a plan for addressing natural gas deficiencies that deter business expansion OBJECTIVE 3.6: Enhance exposure and name recognition for the City of North Port Strategy 3.6.1: Work with FDOT to

add North Port exit signs on I-75 Strategy 3.6.2: Work with FDOT to add Warm Mineral Springs exit signs

on I-75 Strategy 3.6.3: Work with US Department of Commerce to change

name designating the new Combined Statistical Area

Timeframe Actions Responsible Parties Funding Sources Ongoing 1 to 2 years 2 to 3 years 3 to 5 years

GOAL 4: DEVELOP TALENT AND WORKFORCE

OBJECTIVE 4.1: Develop local and regional partnerships to meet the training and skills development needs of target industries Strategy 4.1.1: Support STEM (Science, Technology, Engineering

and Math) careers by working with North Port High School Strategy 4.1.2: Work with Suncoast Workforce Board and School Board

to identify career academies and training needs for target industries Strategy 4.1.3: Increase awareness of training and skills improvement

funding opportunities to service the young and older populations Strategy 4.1.4: Work with value- added employers and local, regional, state partners to develop and implement strategies to reverse the "brain drain" of younger workers Strategy 4.1.5: Work with USF Sarasota-Manatee and State College

of Florida to expand programs and training for the changing workforce OBJECTIVE 4.2: Support small business expansion through partnerships with workforce providers Strategy 4.2.1: Work with the Chamber, higher education and the

high school to develop programs to assist small businesses to expand Strategy 4.2.2: Work with Suncoast Workforce Board and School Board

to identify career academies and training needs for businesses Strategy 4.2.3: Work with

entrepreneurs to grow businesses

Timeframe Actions Responsible Parties Funding Sources Ongoing 1 to 2 years 2 to 3 years 3 to 5 years

GOAL 5: IMPROVE QUALITY OF LIFE-COMMUNITY DEVELOPMENT

OBJECTIVE 5.1: Assist with determining a place identity for the City furthering the findings of the Branding Study-May 2010 Strategy 5.1.1: Explore the concept of a City Center to give residents a sense of place Strategy 5.1.2: Continue to diversify retail offerings by recruiting national

name brand stores and chain restaurants Strategy 5.1.3: Modify City's Brand to include its strategic location in

Sarasota County and SW Florida OBJECTIVE 5.2: Develop a list of unmet cultural and retail amenities for the City to pursue Strategy 5.2.1: Examine gaps in services such as theatres, bowling

alleys, skating rinks, and other activity generating uses Strategy 5.2.2: Prepare a feasibility study for development of a 5,000 seat amphitheater OBJECTIVE 5.3: Explore City assets to determine tourism opportunities Strategy 5.3.1: Determine the types of entertainment or meeting space needs Strategy 5.3.2: Promote Warm Mineral Springs as a tourism attraction Strategy 5.3.3: Promote use of City's

natural resources for tourism OBJECTIVE 5.4: Increase the amount of new multi-family housing Strategy 5.4.1: The City needs to work with developers to construct new multi-family housing

Back to Table of Contents

Section 5

CITY OF NORTH PORT Appendix

ECONOMIC DEVELOPMENT STRATEGIC PLAN UPDATE 2013-2018

Appendix 1: Focus Group Meeting Attendees April 5, 2012 Elaine Allen-Emrich, North Port Sun Morgan Family Community Center Pete Pederson, Citizen Chris Lisiecki Kelley Eggleston, Resident & Estates Trail Cheryl Cook Blazers Gene Vaccaro, Warm Mineral Springs Linda Yates, Commissioner Sam Jones, Candidate April 14, 2012 Tom Jones, City Commission Warm Mineral Springs (WMS) Steve Boone, BEDAB Board Margaret Wuerstle, SWFRPC Sherry Smart Jim Fleming, McGyver Antique Bicycle Maria Grubbs Robert Rosenberg, North Port EDC Joseph Tu, Starwood Capital Ed Davis, North Port Chamber Amanda Pasik, Carlson Studio Marketing Mimi Steger, North Port EDC/North Port Jill Luke, Patriot Storage Taekwondo Linda Yates, Commissioner Sam Jones, Candidate William Murray, Banks Engineering Cheryl Cook, Resident Darlene Wedler-Johnson, SCF David Flagel, Flagel Pediatric and Family Carol Sakowitz, North Port Sun Medicine Joan Sanlwin, Self James Miller April 12, 2012 Ken Maturo, North Port EDC Toledo Blade Elementary School Anne Merrill, EDC Sarasota County Bob Johnson Norma Norris, Resident Carl Motteler, Carl’s Land Clearing Carly Heininger, Resident Julie Reece Dave Runfeldt, Resident Matt Reece Delores Tricarico, Potential Business Owner Wendy Namack, ED Taskforce Ray Stoner James Miller Brayan Felipe, USF Lorraine Epton Mary E Williams, WMS/ Little Salt Springs Marc Epton Archeology Mark Huey, Sarasota County EDC George Hangle, WMS/ Little Salt Springs Mark Klingel, Mark J Klingel, CPA, LLC Archeology Kathy Brown, TBES Booster Peter Bartolotta , North Port EDC Jennifer Pellechio, SWFRPC Wanda Gower Cheryl Cook, Resident Wendy Namack Steve Barnhardt, Citizen David Auxier, SCF Ken Maturo, Resident, Vision North Port Susan Flagel, Flagel Pediatric and Family Beth Mayberry, Fire Bait / Resident / Teacher Medicine Valdy Olenster, Domociled Lawry Reid, Friends of Little Salt Springs Maria Grubbs, Citizen Sam George, CHAT Fred Tower, BEDAB Board Lyn Runfeldt, Friends of Little Salt Springs Jane Seolt Cindy Sprik, North Port EDC Sam Jones, Candidate Ken Brand Sherry Smart

Appendix 2: Key Stakeholders Interviewed

Elected Officials

North Port City Commissioners (5) Sarasota County Commission (1) Tom Jones, Chair Christine Robinson Michael Treubert, Vice Chair Jim Blucher David Garofalo Linda Yates

Target Industry Sectors (5) Jonathan Adams – Adams Group William Woeltjen – Sarasota Memorial Health Dr. Lora Kosten – University Of South Florida Gene Vaccaro – Warm Mineral Springs Amy Schult – Kyle Kurtis Salon & Spa

Civic & Community Organizations (3) Bill Gunnin – North Port Area Chamber of Daisy Vulovich – State College of Florida Commerce Ken Maturo – Vision North Port

Economic Development Resources (6) John Holic, Mayor, City of Venice Bill Murray (BEDAB Chair) – Banks Engineering Mark Huey – Sarasota EDC Tom Patton – Charlotte County EDO Jeff Maultsby – Sarasota County ED Mimi Steger – North Port EDC

Development Community (4) Patrick Neal – Neal Communities Ron York and Jim Bevallard – Heron Creek Don Arnold – Arnold Development Companies Development Lee Pallardy – North Port Gardens

City Staff (6) Jonathan Lewis, City Manager Cindi Mick, Utilities Director Scott Williams, Neighborhood Development Services Director Michele Norton, Planning Director

Appendix 3: Summary of All Focus Groups

Strengths Access to I-75 (18) Small town feel, family oriented (5) Warm Mineral Springs (16) Low Cost of Living (5) Availability of higher education (10) Available and affordable land (5) Available and skilled workforce (7) Elimination of impact fees for 2 years (4) Pro-Business City Government and City Affordable housing (4) Commission (5) Weaknesses Over regulation and misinterpretation by City Competition of other cities (6) Govt. (21) No downtown (5) No full service hospital (11) Lack of a hotel/resort (5) Lack of job opportunities and skilled workforce Lack of an equestrian venue (5) (10) Step-child to Sarasota County (4) Lack of vocational/technical school (9) Lack of opportunity for citizen comment and Lack of consistent vision by the City feedback (4) Commission (8) Low wage jobs, blue collar/semi-skilled (4) Opportunities Develop and promote Warm Mineral Springs Expand educational programs and services at (31) USF and State College of Florida (8) Reducing Govt. Regulation to assist business Support small business expansion through growth (17) programs (7) Develop eco-tourism-kayaking, camping, Look at aged-based population for business hunting, bird watching (10) growth (Young and Old) (7) Develop more retail, dining, entertainment and Develop canals for recreational opportunities (6) cultural amenities (9) Develop amenities-forest, Little Salt Springs, Myakkhatchee Greenway (6) Threats Big and intrusive government (25) Increased taxes (9) Shift in City Commission away from pro- Weak national economy (8) business (21) Decrease in Federal, State, and Local funding City lacks a long term vision (16) (6) Brain drain due to lack of job opportunities (13) Inefficient use of economic resources (6)

Focus Group 1-April 5 Additional Comments How do we pay for economic development without raising taxes?

Focus Group 2-April 12 Additional Comments This process is not going to help, it will increase property taxes Pro-business, less taxes and govt. regulation, spending issues Does the City have an economist on staff?

Focus Group 3-April 14 Additional Comments Need for an animal shelter, roller skating rink Need to philanthropy and training opportunities Lack of Mass Transit Need to promote existing businesses and amenities Need an opportunity for city vision to promote vision once created Need to focus on vision, not just developing the vision Lack of respect for citizens expressing opinions at City Commission Meetings

Appendix 4: Rankings from Each Focus Group Meeting

Focus Group 1-April 5 Strengths Opportunities Access to I-75 (7) Expansion of USF and State College of Florida into Pro-Business City Government and City full service universities (8) Commission (5) Warm Mineral Springs (8) Small town fell, family oriented (5) Ease of Doing business and cultural productivity Low Cost of Living (5) (7) Weaknesses Threats Competition of other cities (6) Big and Intrusive government (9) No full service hospital (5) Shift in City Commission away from pro-business Step-child to Sarasota County (4) (8) Lack of a technical school (4) Weak national economy (8) Lack of opportunity for citizen comment and Decrease in Federal, State, and Local funding (6) feedback (4) Additional Comments How do we pay for economic development without raising taxes?

Focus Group 2-April 12 Strengths Opportunities Warm Mineral Springs (9) Warm Mineral Springs-develop and promote (11) Access to I-75 (7) Develop eco-tourism-kayaking, camping, hunting, Available and affordable land (5) bird watching (10) Elimination of impact fees for 2 years (4) Develop canals for recreational opportunities (6) Availability of higher education (4) Develop amenities-forest, Little Salt Springs, Weaknesses Myakkhatchee Greenway (6) Over regulation and misinterpretation by City Govt. Threats (21) Big and intrusive government (16) Lack of vocational/technical school (5) Increased taxes (9) No downtown (5) Shift in City Commission away from being pro- Low wage jobs, blue collar/semi-skilled (4) business (7) Additional Comments This process is not going to help, it will increase property taxes Pro-business, less taxes and govt. regulation, spending issues Does the City have an economist on staff? Competition from Charlotte County and region

Focus Group 3-April 14 Strengths Opportunities Available and skilled workforce (7) Warm Mineral Springs (12) Warm Mineral Springs (7) Reducing Govt. Regulation to assist business Availability of higher education (6) growth (10) Access to I-75 (4) Develop more retail, dining, entertainment and Affordable housing (4) cultural amenities (9) Weaknesses Support small business expansion through Lack of job opportunities and skilled workforce (10) programs (7) Lack of consistent vision of City Commission (8) Look at aged-based population for business No full service hospital (6) growth (Young and Old) (7) Lack of a hotel/resort (5) Threats Lack of an equestrian venue (5) City needs a long term vision (16) Brain drain due to lack of job opportunities (13) Inefficient use of economic resources (6) Shift in City Commission away from being pro- business (6) Additional Comments Need for an animal shelter, roller skating rink Need to philanthropy and training opportunities Lack of mass transit Need to promote existing businesses and amenities Need an opportunity for city vision to promote vision once created Need to focus on vision, not just developing the vision Lack of respect for citizens expressing opinions at City Commission Meetings

Appendix 5: All Stakeholder Responses

1a) What are the city’s greatest strengths or assets for increased job growth? Please list the five (5) most important city strengths for economic development:  Nice people  Opportunity for several downtown  Receptive city government destinations  Low priced housing  NP Commerce Park  Affordable housing  Affordable land on interchanges  Great access from I-75  Pro-business community  Pro-business – city employees and elected  Architectural design standards officials  Unified effort to become pro-business  Quality of life  Strong chamber  Warm Mineral Springs  I-75 access, central location  Affordable housing  Access to international airports  Strong recreation assets  Business leaders want to live here – quality  Develop Cocoplum for recreational events of life (rowing events)  Cost of living is low  City works with developers  Family oriented community  Pro-business, pro-developer  City manager – Jonathan Lewis  Good location for distribution between  Affordable housing Naples and Tampa  Access to I-75  Attractive entry at #182 and #179 exits –  Proximity between Tampa and Ft. Myers beautiful entryways  Access to international airports  Stable elected bodies  Potential to help shape the City  Development review process is very  Transparency (welcoming) of ideas from the reasonable business community  I-75 Location – Easy access to major west  Available land FL cities  Young population  Small town feel – friendly, sense of  Affordable population belonging  Affordable housing – great schools  Good amenities- golf, Morgan Center, Mullen  Proximity to Ft. Myers and Sarasota Center  No impact fees for two years  Excellent schools  I-75 access for businesses  “You can be the future – you can help to  Newness – clean, crisp mold this city.”  Family friendly  Warm Mineral Springs  No bad neighborhoods – new, pristine  Younger population  Affordable land and available land  Pro-business City administration and City  Pro-business government officials  Available workforce with the right age  Low cost of housing  USF and State College to train the workforce  Low crime  I-75 Access  High quality of life  Positive outlook, sensible community  Young population accommodating  Spirit cannot be bought – sense of pride  Political will-can do  Pro-business City Government – they want  Young population you to be successful  Skilled workforce  Efficiency and attitude toward new  Access to I-75 development  Proximity to Ft. Myers and Tampa – central  Affordable housing with variety housing location types and prices  Plotted community for 250,000 people  Environmentally friendly, green city  Available workforce  Positive attitude and willingness to partner  Cooperative utility providers  Available capacity with Water and Sewer  Openness of membership on the BEDAB  Available and skilled workforce Board – don’t have to be a resident to be on  Education – Higher Education available the board.  Warm Mineral Springs has an identity o Came out of the last plan

 USF campus and State College of Florida  Median age of 39  Warm Mineral Springs  Proximity between Ft. Myers and Tampa  Diamond in the rough – the Cheeseburger in  Access to three international airports Paradise  Shovel-ready land at AC 4  Only 20% built out  NP is designated as “Playful City USA” via  Streamlined permitting – business friendly National League of Cities and Kaboom (less than 30 days)  Not built up – 80% not developed  Shovel ready land available at key  Less competition – room for your company interchange AC 4 to grow  Affordable housing  Proximity to Ft. Myers and Tampa metro  Affordable land areas  Warm Mineral Springs – “The Fountain of  Market access – three airports Youth”  Affordability – low cost of living  Good intergovernmental relations with  Best residential community on W. coast of County government Florida  Largest city in 4-county area  Natural assets: Warm Mineral Springs, Little  12,000 school aged children – diverse Salt Springs (University of Miami), community Myakkahatchee Environmental Park, State  Available workforce – one of the largest Forest

1b) What are Sarasota/Charlotte County greatest strengths?  Cultural and natural amenities of Sarasota  Natural resources – beaches, port  Natural amenities of Charlotte County  Historical resources – Edison-Ford Estates  Low priced place to live in Ft. Myers  Higher education in the area is a plus  Education – Higher education available  Florida weather  Hotels  Tourism – good fishing / quality of life  Beaches  Beaches  Charlotte Harbor  Cultural assets  International Airport in Fort Myers  Restaurants  Quality of Life – climate  Good transportation network  Florida business tax structure is good  Located between 3 international airports and  Airport – Punta Gorda 1 local airport 2a) What are the major liabilities (weaknesses) within the city that limit economic growth? Please list the five (5) most significant city liabilities for economic development:  There is no educational infrastructure  National economy slow down  There is no industrial infrastructure (skilled  Not being in close proximity to major metro workers, educational facilities) area  There are no major plants or industrial  Lack of diversity of industry activities  No defined city center – focal point  Nothing to attract jobs but low wages  Housing foreclosures  Step-child to Sarasota County  Lack of physical connectivity  NP has not promoted itself in the past  Infrastructure piecemealed for housing – no  Lack of anchor company, hospital 500+ comprehensive planning employees  Need more targeting marketing  Too many septic tanks  Lack of a consolidated plan for incentives  Infrastructure – lack of water and sewer, (cash, water and sewer, roads) canal structures, roads are old – need  No downtown repairs  Areas are not being marketing for education  No water frontage – limits tourism  How do AC centers tie into ED plan?  Need more light industrial and office suites  “What’s so special about North Port besides  Need to identify one dominate reason for having a lot of land and it’s cheap?” companies to be here.  No real events  Limited shovel ready Light Industry  Need more information to give to developers  No beaches – no water access is a  Water and local roads challenge for hospitality industry

 Development Code along with code of  Lack of adequate infrastructure (roads, water ordinances and sewer)  Funding – local, state, federal  Government overreaching  Getting a vision and staying on course  Identity crisis  Lack of large tracts of land with infrastructure  All government spending has to go out for and properly zoned referendum  Competition from more established cities  Lack of a consistent vision of the leadership  City and county impact fees – City Commission  Lack of large # of businesses  No hotel  People outside of NP are not aware of us  No hospital  Lack of government property to offer for  Lack of shovel ready land for light industrial industry – hotel, office and light industrial and office  Lack of a downtown core area  Lack of available buildings  Lack of identity  No downtown – no real identity/gathering  No hotel or conference room place  Potential of not being competitive with other  Lack infrastructure – roads, water, city and cities sewer (especially at AC 3, 4, 6)  Lack of identity – not known for anything  No hospital  City does not own land for business  Requirements put in place in 2006 requiring development – office, light industrial, a referendum for all bonding – this should be commercial addressed  Could be more business friendly  Lack power brokers  Lack of skilled workforce  Perception of being a bedroom community  Reputation as a bedroom community  Workforce that is too blue collar/semi-skilled  City should not have purchased Warm  Lack of strong intergovernmental relation Mineral Springs between NP and Charlotte County.  Lack of infrastructure – roads – especially  Competition to the south is too close arterial and secondary roads  Perception of being the redheaded stepchild  Lack of job opportunities for young by neighboring cities professional  Lower income and too much lower end  Location is remote from cultural Sarasota housing stock  Identity crisis – people outside of NP don’t  Lack of infrastructure – older, damaged know who they are roads  No real water access  Majority of city is on septic  Lack of social infrastructure- college, hospital  Lack of a full service hospital  Need a central hub to be “their-there”  No full campus for USF

2b) What are Sarasota/Charlotte County greatest liabilities?  There is no educational infrastructure  Region doesn’t tie to east coast of Florida  There is no industrial infrastructure (skilled well workers, educational facilities)  Distance to large metro area is too great  There are no major plants or industrial  No deep water access activities  Nothing to attract jobs but low wages  “We don’t think regionally in South Sarasota  Isolated from a metropolitan region County”  Limited by being a peninsula

3a) What are the major opportunities facing North Port that can have a major impact on economic development within the city? Please list five (5) city opportunities (10 years out) for economic development:  North Port has been this way since 1959  University presence  It was low Pine Flatwoods subdivided into 80  Manufacturing needed by 250 ft. lots (57,000 lots)  Need an international airport  Never has had any economic development  Aging infrastructure – water, sewer, roads  Sarasota County actively resists economic  Development & marketing of Warm Mineral development Springs  Aging population – hospital needed  Veteran’s hospital

 A teaching hospital  Identify economic engines that are catalysts  Price Blvd. needs to be widened and for sustained economic development residential changed to commercial  Higher education – USF campus  Another arterial road is needed  Arts, culture, and education center needs to  Spend funds on Warm Mineral Springs to be developed advertise  Development of Warm Mineral Springs and  Offer incentives for a hotel at Warm Mineral the surrounding area (Ortiz to 41) Springs  Little Salt Spring – examine opportunities for  Expand the USF campus in North Port preservation and eco-tourism and school  Hotel in North Port outings  Increasing Gas prices – more people will  USF campus – four years want to commute closer to home  Hospital and related medical services  USF – Sarasota Manatee will admit  City owned business park freshman in Fall 2013  Marketing to let surrounding areas know  USF – North Port expanded facilities in all of about North Port the past 4 years  Convert Warm Mineral Springs into a  Warm Mineral Springs needs to be updated weeklong destination – private dollars and promoted globally  Develop AC 3 and AC 4  Hotel for Warm Mineral Springs  Warm Mineral Springs underdeveloped – set  Increasing gas prices could cause sights to make this a destination driver companies to open satellite location in North  Hospital is needed with related services Port  Assisted living facilities  Starbucks is needed to show diverse  Myakkahatchee Greenway economics – discretionary income  Warm Mineral Springs  A unified plan that is easily understood  Need to market NP as South Sarasota  Communication –need community buy-in County  Incentives are needed for Target Industries  Warm Mineral Springs is one of a kind  USF Campus in 20 years - Funding for  Healthcare and related clinic services and construction resort complex (eco-tourism)  Widening of Price Blvd.  Two additional interchanges off I-75  Constructing the Green Way Plan  Strengthen the intergovernmental relations  Warm Mineral Spring Overlay w/ Arts – between NP, Charlotte County and Sarasota needs private dollars County  Warm Mineral Springs  Hospital –“ we have trained medical  Downtown destination workforce that now commutes”  Connect Toledo Blade N to 72  14 miles of undeveloped interstate property  Streamline LDC within 2-3 years and a code  Available, affordable land of ordinance  Develop Warm Mineral Springs as a medical  Turn Town Trop into equestrian community tourism destination  Use the forest as an Eco Park  Bring in “Big League Dreams” at AC 4/I-75  Sports tourism  Outlet Mall at AC4  Promote Warm Mineral Springs as a tourist  Toledo/Price – Dining/night life district destination  Development of State Forest for eco-tourism  More diverse (and a variety of) shopping and  Development of the Greenway and Trail Plan restaurants  Expansion of River Road  Water, sewer, and roads need to be  Building “Big League Dreams” developed more  Developing Warm Mineral Springs as a  Overgrowth of business in Port Charlotte & resort eco-tourism destination Sarasota  Widening and improvements to Price Blvd.  Need a reason for people to get off I-75  Full service hospital at AC 3  Development of Murdoch village in Charlotte  Full service USF campus County

3b) What are the major opportunities facing Sarasota/Charlotte County?  For the most part, Sarasota County does not  Expansion of Port Manatee favor economic development  Expansion of rail for industry from Port  Popular focus is on maintenance and quality Manatee to other points north of life  Port in area for commerce  No major opportunities for economic  Need more collaboration with Charlotte development except “business owners will County to capitalize on shared assets retire here and bring their companies’” included social services like hospitals  Medical complex  Joint marketing for the region  Expanding USF campus  Always opportunity for retirement,  Need to capitalize on the airport at Punta healthcare, residential development and Gorda services  More resorts at the beaches  Casinos in Florida – brings tourism

4a) Do you believe that 10 years into the future that there could be any major threats that could prevent or slow economic development within the city? If so please list five (5) citywide threats (10 years out) for economic development?  Very low priced lots  Slow recovery of national economy  Water supply (Myakkahatchee Creek)  Long term vision needs to be maintained and becomes unavailable stay on course  Higher impact fees  Old time thinkers – people that just don’t  Gas prices want change  No International airport  Going back to high impact fees  National threat – no leadership from  Lack of adequate infrastructure Congress & the President  Available shovel ready development sites for  As the economy picks up, the City businesses Government needs to stay pro-business in  Opinions of its residents – many people how they charge impact fees oppose change of any kind  Impact fees need to stay reasonable  Lack of funding – city, county, state, and  Decrease in federal funding (ex. federal Transportation)  Losing economic development as a top  Sarasota & Venice are closing Section 8 priority for the City Commission at every housing developments level  Lack of jobs will cause younger population to  City Pride – city values need to stay high as move away a priority  Elected officials who are not pro-business or  What are the values and then promote them pro-development  Hurricane destruction  Weak national economy  If schools deteriorate  General lack of state funding  Infrastructure  Water supply is limited  Availability to meet water capacity  Activists could disrupt the status quo in the  Continued weak economy – state and future federal  Weak national economy  A non-business-friendly City Commission  Decreased Federal and State grants and  Lack of funding for infrastructure funding  County Commission could stop  Increasing gas prices development by purchasing more  Fire district taxes collected are getting out of conservation land in the NE quadrant control  Big shift in City Commission with a return to  New elected officials could not be less pro- a non-business friendly atmosphere business  Not being able to keep up infrastructure with  Borrowing ability for new businesses – pace of growth banking is difficult  Need an identity – who and what are we?  Banks need to loosen up money

4b) What are the major threats to slow economic growth for Sarasota/Charlotte County?  Regional Planning Council  Sarasota & Venice are closing Section 8 housing developments  Water supply is limited  Elected officials who are not pro-business or pro-development  Weak national economy  General lack of state funding  Lack of adequate commercial air access at Punta Gorda Airport  Decrease Federal and State grants and funding

Prepared on behalf of: Angela Crist, Director University of South Florida Florida Institute of Government

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