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HomeMy WebLinkAbout2016-06-20-Resolutions 16-249_Des Moines Metro Economic Fair Play AgrTHE CITY OF WAUKEE,IOWA RESOLUTION 16-249 A RESOLUTION ADOPTING THE DES MOINES METRO ECONOMIC DEVELOPMENT FAIR PLAY AGREEMENT IN THENAMEANIJ BYTHEAUTHORITYOF THE CITYOF WAUKEE,IOV'A WHEREAS,the communities in the Des Moines metro area are facing greater competition in economic development;AND, WHEREAS,it is in the best interest of the City of Waukee to preserve taxpayers' economic development dollars by adopting a policy to prevent the private consulting community from pitting communities against one another in an attempt to inflate the incentives necessary for the attract/retention of businesses;AND, WHEREAS,the Council Roundtable has reviewed the Economic Development Fair Play Agreement and has recommended its approval;AND, WHEREAS,the Metro Mayors have reviewed the Economic Development Fair Play Agreement and have recommended its approval; NOW,THEREFORE,BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF WAUKKE,IOWA that the Economic Development Fair Play Agreement,attached hereto as Exhibit A,is hereby adopted. Passed and approved on this 20'"day of June,2016. 'lliam F.P ard,Mayor Attest: Rebecca D.Schuett,City Clerk ROLL CALL VOTE Brian Harrison Shelly Hughes Larry R.Lyon Rick Peterson VACANT SEAT AYE X X NAY ABSENT ABSTAIN X Exhibit A ECONOMIC DEVELOPMENT FAIR PLAY AGREEMENT We believe that the competition between communities is increasing.As it increases,it costs the taxpayers of the region more and more.However,there is little if any corresponding increase in the value of the projects to the collective taxpayers of the region. The principles we can begin to operationalize are: 1."Don't Steal" 2."Provide for greater equality in use of economic development tools" 3."Structure the Competition*' We agree not to offer or provide any discretionary incentives to a company located in another city until that company has provided written affirmation that they have made an irrevocable decision to relocate outside the city in which they are currently located.We agree not to solicit businesses from communities that sign this agreement until such an affirmation has been signed. We agree that,in competitive situations (companies from outside the region and companies that have given affirmative written notice of their relocation outside the city in which they are located),the tools we rely upon are: 1.Tax Abatement (as defined by State Statute) 2.Tax Increment Financing (used in a variety of ways) We agree that use of Tax Increment Financing for Infrastructure is a legitimate use of TIF. Further,we have agreed that "infrastructure"means public utilities of all sorts,including parking, as well as land acquired for a project. We agree that tax abatement,up to the limits of state statute,is an acceptable incentive.We also agree that it should be put in place prior to contemplation of an individual development project (it should not be driven by competition for a particular company). We have agreed not to limit the use of TIF dollars as incentives (additional tax abatement beyond the state statute loans or ouuight grants)in competitive situations.A competitive situation is one dealing with companies from outside the region and with companies that gave given affirmative written notice as described above.Region is defined as those communities participating in this agreement. We agree that we shall keep Choose Des Moines Communities well informed about the economic development projects,present and anticipated,in our communities.This includes all inquiries from companies or their representatives,inside the metro or outside the metro. We ask that Choose Des Moines Communities shall offer no assistance in relocation of a business outside the community in which it is located until the written affirmation described above is signed and received.