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Annual Report ANNUAL 20 REPORT 16 CREATING A CITY WHERE BUSINESSES INVEST, PEOPLE LIVE, & COMMUNITIES GROW. I MAYOR COUNCIL MEMBERS COMMUNITY & ECONOMIC John Cranley Vice Mayor David Mann DEVELOPMENT SENIOR STAFF President Pro Tem Yvette Julie Burke CITY MANAGER Simpson Philip Denning Harry Black Kevin Flynn Bill Fischer Amy Murray James Flick DIRECTOR OF Chris Seelbach Daniel Fortinberry COMMUNITY & ECONOMIC P.G. Sittenfeld Monica Hardman DEVELOPMENT Christopher Smitherman Greg Huth Oscar Bedolla Charlie Winburn Clifton Pendergrass Wendell Young Megan Ryan Bob Schroer Aisha Tzillah 2 CONTENTS MESSAGE FROM THE DIRECTOR 4 MISSION 6 ORGANIZATIONAL CHART 7 KEY STATISTICS 9 DIRECTOR’S OFFICE 10 ECONOMIC DEVELOPMENT 17 HOUSING & COMMUNITY DEVELOPMENT 23 LISNR INNOVATION SPOTLIGHT 30 BUSINESS ADMINISTRATION & FISCAL 32 MONITORING & COMPLIANCE 34 PARKING FACILITIES 36 CONTACTS 38 3 MESSAGE FROM THE DIRECTOR OSCAR BEDOLLA Thank you for the opportunity to tell you the story of the year we had in 2016 at the Department of Community and Economic Development. At the onset of the year, we looked to build on the development momentum we saw in 2015 throughout the city’s urban core and neighborhoods. Thanks to the leadership of Mayor Cranley, City Manager Harry Black, and the City Council Members, as well as the hard work from our team and many community partners, we exceeded our expectations and goals. As a department, we were busy in 2016, It was our first full year being restructured through the addition of a Major Projects Division, Policy and Communications Division, and the expanded the role of the Monitoring and Compliance Division. The layers of support we added have allowed us to make project facilitation more efficient, City investments more effective, and departmental activity more transparent to both internal and external audiences. To better showcase the expanded service delivery of the department, my team and I collaborated to rewrite our Mission: to facilitate strategic development and services within the Cincinnati community that improve the lives of residents, increase business investment, and revitalize City neighborhoods. This mission represents not only what we do, but also what we are passionate about dedicated to. It is this passion and dedication that helped drive the success of the Department over the last 12 months. The following report will discuss the many successes we had, the projects we helped facilitate, and what we hope to accomplish in 2017 when we once again look to assist local business development, grow local jobs, create quality housing opportunities and build sustainable and vibrant neighborhoods. 4 Cincinnati is a city on the rise on several fronts. Our economy is growing stronger, as evidenced through an improved bond credit rating from Standard & Poor. We are gaining the attention of outside investors, both foreign and domestic, who are investing in our real estate, our small and medium sized businesses, and our workforce. Additionally, the metro area saw the highest growth rate (74 percent) of entrepreneurs in the US, as reported in the Kauffman Index of Growth Entrepreneurship. Finally, the City continues to receive recognition and accolades across the spectrum such as KPMG LLC naming Cincinnati as the most cost-friendly business location among large U.S. cities, Christie’s International Real Estate naming the City as a Top City to Watch in 2017 and Travel + Leisure calling Cincinnati a Top Place to Visit in 2017. To continue this rise we must continue to be proactive in identifying trends, drive innovation to cater to the needs of the new economy, strategic in our development to create vibrant and sustainable neighborhoods, intelligent through expanded data collection, transparent in our process, and inclusive of minority and female owned businesses. In 2017, we intend to do just that, examples of which will be detailed in the report to follow. I look forward to the challenges and successes 2017 will bring and leading the Department of Community and Economic Development in doing our part to help Cincinnati continue its rise. Oscar Bedolla 5 MISSION Our mission is to facilitate strategic development and services within the Cincinnati community that improve the lives of residents, increase business investment, & revitalize City neighborhoods. 6 ORGANIZATIONAL CHART Director’s Office Parking Facilities Major Projects Business Monitoring & Administration Compliance & Fiscal Economic Housing & Policy & Development Community Communications Development 7 52 NEIGHBORHOODS Hartwell College Carthage Kennedy Hill Winton Heights Roselawn Hills Mt Bond Pleasant Airy Winton Hill Ridge Place Northside Paddock Fay Hills Westwood E Apts S N Madisonville Cumminsville Avondale Oakley MillvaleWashington Clifton FairmountEng Avondale Westwood N Woods Camp Evanston Hyde Heights Sayler Park S Park Mt Fairmount Corryville CUF Lookout Mt Walnut EHills Walnut Columbia Hills Tusculum W Price Auburn West Over Linwood Hill E Price QueensgateEnd The Pendelton Rhine Hill Mt Adams Lower CBD Price Hill Riverfront East End Mt Sedamsville Washington Riverside California REVITALIZING COMMUNITIES 8 KEY STATISTICS* *All key statistics are measured for calendar year 2016 unless noted otherwise. 9 DIRECTOR’S OFFICE The role of the Director’s office is to Incentive Review support the overarching Department In June, HR&A Advisors, an urban mission: To facilitate strategic development consulting firm, assisted development and services, within the us with completing a year long, Cincinnati Community, that improve comprehensive, review of the City’s the lives of residents, increase business incentive policies. The key goals of this investment, and revitalize neighborhoods. review were to evaluate the effectiveness of the City’s incentive offerings, assess The department is made up of the processes by which recipients seven divisions including Economic were evaluated, and identify how the Development, Major Projects, Community Department’s toolkit can be enhanced Development, Fiscal and Operations, to help maximize the City’s return on Monitoring and Compliance, Policy and investment. Communications, and Parking. Each of these divisions will be discussed The final report measured the City’s throughout the report and together competitiveness in both the region and create a team that is highly focused and the nation by profiling our major incentive responsive to the needs of constituents programs against a cohort of peer cities. and implementing policies that are It also made specific recommendations on innovative, transparent and maximize how the City can improve development efficiency. efforts. These included: 1. Deploy a more streamlined and MAJOR ACCOMPLISHMENTS strategic deal evaluation process. Looking back on 2016, our department 2. Leverage Commercial Community had several major accomplishments. Reinvestment Area (CRA) Tax Abatements more effectively for place-based investment and job growth. 10 3. Refine the use of Job Creation Tax The event was designed to build Credits (JCTC) to maximize return momentum around the release of on investment for the City. community development opportunities in 4. Continue to innovate new the City of Cincinnati. Coupled with social mechanisms to reinvest property tax media marketing and press releases, we revenue in Cincinnati. could gain additional visibility for our 5. Tailor use of programs generally to opportunities to attract a greater amount meet specific economic objectives. of developer responses and garner additional community support. Our department immediately began implementing these recommendations by The early success of the RFP release, lengthening the retention periods on Job as seen by nearly 80 people attending Creation Tax Credits and expanding the the first informational session, showed role of our Monitoring and Compliance the appetite for continued development Division to develop the framework for throughout the City. a more rigorous due diligence process that will include surveillance reviews This coordinated release of opportunities in addition to tracking progress of is a tactic the department will employ commitments made by incentivized moving forward twice a year, with the businesses. We also formed a Data first 2017 release to be scheduled for Integrity Team (DAT), inclusive of early April. members of each Division and led by a Data Manager. The DAT is tasked with ONGOING DEPARTMENTAL streamlining data collection and ensuring INITIATIVES accuracy. All of this was done to minimize 2016 also found our department pursue risk, maximize return on city investment several ongoing initiatives that will have a and make more informed decisions about lasting effect on the community. development. Creating a Collaborative Environment to Cyber Monday RFP Release Capitalize on Momentum Capitalizing on development momentum The City is currently seeing a great deal is a key goal of our department. To do of momentum in the business community that, our Policy and Communication that is resulting in continued job creation team partnered with our Economic and development activity. To capitalize Development, Housing and Community on that momentum and influence Development, and Major Projects additional investment, we regularly divisions to create the “Cyber Monday collaborate with partners to promote Request for Proposals Release.” economic development and inclusion, The release event occurred on the as well as sustainability and job growth. Monday after Thanksgiving (November We especially applaud the efforts
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