I.M.Pertinent on KEDCO

[keoadmin]

KEDCO has lost yet another president. Big surprise. To recap: Since
June, 2004, the economic development agency has been through three
presidents, each of whom presented a different business plan and a
new direction for the city-funded agency. Each (except Beattie, who
"resigned" yesterday before KEDCO's annual budget is approved) was
successful in getting more than $2 million in tax dollars from city
council. None of the presidents have been permitted to stick around
long enough to carry out a business plan or to demonstrate any
significant value for the tax dollars invested.

Now KEDCO has lost Beattie, who promised to turn KEDCO around and
make it perform. Beattie says in the Whig today he finished what he
came to KEDCO to achieve. Oh really? And what was that, exactly? What
precisely has KEDCO done to add value to Kingston's economy this
year? If KEDCO's objective is truly to attract business, one might
think Beattie would have refrained from firing economic development
guru Paul Blais, one of few people in the region with an actual track
record in attracting business.

The only constant in the seemingly rudderless ship that is KEDCO is
the board of directors and someone's got to state the obvious: The
current KEDCO board, chaired by businessman Bernie Robinson, simply
can't cut it. This board has spent the last two years lurching from
president to president, writing and throwing out business plans willy
nilly; hiring and firing people at random and burning through more
than $2 million tax dollars annually with no apparent plan in place
to put this drifting ship on course or to deliver value to the
community. KEDCO is not a private corporation; it is a taxpayer-
funded agency and it's way past time the KEDCO board was called to
account.

Council members on this board: Mayor Rosen, Councillors Leonore
Foster, Bittu George and George Sutherland need to take control of
this mess. Disband the board. Put KEDCO under the leadership of city
hall. Stop writing blank cheques with taxpayer money. Enough is enough.

(http://editpost.php?do=editpost&p=4196)

[Valley]

KEDCO really does seem to lurch from one idea to the next with no visible results. We would be better off by spending $2 million to help exisiting local businesses expand or diversify.

Its interesting to note that the most recent KEDCO executive change seems to have been delayed until after the city operating budget was approved by City Council last month.

[Bill(2)]

Another one driven out, or walked out?

There have been enough changes. After a while that a team just doesn't seem to work it's time to stop looking at the players and start looking at the coaches / managers. Maybe the existing board has done what they can or needed to do, but it is noiw time for them to step aside for new blood.

Then again, the other constant has been the other departments that KEDCO works with at City Hall. Can this be a factor?

[Lydia]

KEDCO is not a private corporation; it is a taxpayer-
funded agency and it's way past time the KEDCO board was called to
account.

Council members on this board: Mayor Rosen, Councillors Leonore
Foster, Bittu George

Hay I.M. Pertinent, you are starting to sound like me. Watch Out. :D :D
Very interesting but DON'T BLAME ME IM A TAXPAYER AND I DON'T LIKE KEDCO EITHER. :D :D :D

You might have put the finger on just why Kedco isn't working. Look at the second paragraph. :D :D hUmmmmm

All kidding aside. Can you tell me what happened with EI in this area??? Shouldn't EI be responsible for helping start up businesses develop and network in this city????

Where are the SELF-HELP EMPLOYMENT GROUPS and what are they doing to get businesses up and started? Or as I may suspect, there may not be any because of the way this Council has decided to FUND KEDCO only??? (I am be incorrect about council funding Kedco only-- Of course I am NEVER WRONG but i could be incorrect) :D :D :D

[I.M.Pertinent]

Lydia; Yes, council does fund KEDCO. According to the Whig, KEDCO got $2.3 million from council in both 2004 and 2005 and is expected to get the same again in 2006. I don't know about EI funding. KEDCO has never been terribly forthright in explaining where it gets money or how it spends the money it does get.

[Lydia]

I don't know if EI is funding KEDCO either, during the Mid 1990s UI did have programs that where set up to help start up businesses. You had to present a 5 FIVE Year business plan. You had to tell them exactly what and who would use your product or services. In the Brampton reason there were several businesses that were set up and UI helped establish them by making the new business owners connected to other people on the National and Interenation scene that would help the business trive.

If Kingston truly cares about developing businesses in this area. Just maybe the powers that be should contact an agency called CONNECTUS.

http://www.connectuscanada.com

If you check out this website you will see an agency that helped over 10,000 businesses make networking work. Donna Messer is Past Director of Agriculture for the State of Illinois in Canada. (Illinois is Ontario's largest trading partner!) Donna organized this group and it is still working well.

Check it out. This group does what it says and just maybe if she was ever given a free hotel stay and a plane ride to come to Kingston, She would come here gladly.

She is one of the easiest person on the face of the earth to contact and communicate with. Heck you might be surprised if you tell her my Name. She truly stays in touch with people she has met.


the Canadian Embassador for the Food

[btodd1]

As far as I am concerned, Beattie was let go.

To me, an organization like Kedco can't be restructured AND HAVE THAT RESTRUCTURING THOROUGHLY TESTED in 10 months. Beattie did not stay around long enough to see whether his restructuring plans actually work in the city of Kingston. Try to make me believe he voluntarily resigned!

It was interesting (to me, at least) to hear what Professor Ken Wong said on the news Thursday night - that Kingston's economic future is very dim - that Kingston has been growing economically at a pace well below the provincial average - that we have a near-stagnant population growth of about four tenths of one percent per year.

I think there is a lot more to the Beattie story than meets the eye.

And, if you examine the restructuring of City Hall, you may agree with me that Cynthia Beach's new department appears to be heading towards taking over the business of KEDCO!

[macphail]

Also interesting was Mr. Wong's endorsement of the Mayor, a person he says is able to bring about economic prosperity for Kingstonians (or some campaign plug to that extent).

Cheers, Derek

[Florence]

Does anyone know him well enough to ask him to come on the site and give us some answers.

[DickTindal]

I agree that there is something wrong with the operations of KEDCO and that the Board has to accept responsibility for the instability and the excessive staff turnover. I also wonder about the dismissal of Paul Blais, who brought an impressive track record to KEDCO, and the dismissal of several other staff as well in the recent past.

I also find it incredulous that the current Chair of KEDCO wants us to believe that the organization used to sit and wait for the phone to ring but now has a new approach in which it goes out to look for business. I can recall a number of economic development officers over the past couple of decades who were not at all this passive. Moreover, saying that we will no longer wait for the phone to ring is hardly an indication of a new comprehensive strategy. Just what is the economic development plan for the City and how does it relate to the City’s strategic plan and strategic priorities?

I’m not sure about the suggestion that council should simply take over responsibility for economic development. A number of areas in North America that have enjoyed strong economic growth have also had the benefit of some sort of joint body made up of public and private members. Perhaps the answer is for the City to take more direct responsibility for the economic development plan or strategy and for the way in which tax dollars are spent, while also working within an umbrella organization comprising public and private partners to ensure that broad collaboration takes place.

[Howard Stone]

Kingston has always been known as a Government / University City. In business terms this is a bad news / good news story. The bad part is that new businesses do not like locating where there is a strong union presence, especially government unions (benefit costs range around 26% to 30%). It does not take long before workers want to unionize and Government provides fine examples. This coupled with the perspective of huge infrastructure costs etc. ( taxes) presents a daunting scenario to new businesses. Hence Belleville and Napanee look good to them. Thats the bad news. The good news is that during recessions and down periods, those good old Government cheques keep right on flowing providing a pretty good economic base to support the local economy. If KEDCO has difficulty drumming up new business and we have elected Government officials to look after bringing new Government jobs to Kingston, How much of a role does KEDCO really have ? The role of interviewing potential new businesses should be moved back in under the CAO with a few good staff.
I suspect that William Beattie saw that short of giving away the farm in terms of subsidies to new businesses, the hand writing was on the wall and he recognized the futility of it all and moved on.
Every body understands the difficulties the City faces and we should first focus on cleaning up our visible infracture problems, stop chaseing dreams and work harder to make this a better place to live. Make businesses want to move here inspite of higher costs. Focusing on a cadillac LVEC sends the wrong message at this time, (more taxes). Maybe we will have to live with slow growth for a while until we get our act together, but at least it's better than no growth.

[Evelyn King]

Hi Folks:

Finally a topic we all agree on!

I agree with all those that think KEDCO should be a department of city hall. It would be more accountable (I hope) and certainly *****er for us poor taxpayers.

In November, 2006, the budget for KEDCO will be on the budget agenda so we can all voice our concerns then for sure.

What really blows me away is the budget for office expenditures ringing in at $485,254.00. Some non-profit agencies in this community exist on far less than this for an annual budget. Sucks big time!!!! Oh yes, and lets not forget the 7000 jobs that were promised. Am I in a time warp????

Hope everyone is well, I wish you all the happiest of holidays and may 2006 bring you much happiness and good health.

Evelyn King

[Exhibitionist]

Yes - there is an organisation in Kingston that is supported by E.I funding (HRSDC) for the purpose of starting a small business.

It was first set up at St. Lawerence College. Then it branched out on its own. I believe KEDCO bid for opportunity to administrate the program - but was turned down.

Basically; if you are on E.I, maturity leave etc. (In the past 5 years?) And have a valid business idea, put some money upfront and are able and willing to take 1 months "business classes" and another month to put together a business plan.

You will recieve (up to) 36 weeks of E.I support up to $413.00 a week while you are starting, running your business.
(It is all taxable income)

This amount is above and beyond your 40 (+/-) week entitlement of regular E.I benefits. (in the previous year)

[Lydia]

I believe what you are talking about is a program that started with EI during the early 1990s.

The SEA program was a good start, HOWEVER, very few people actually got the opportunity to get that assistance. For those who were on the SEA program it was excellent.

Is SEA program still available? If so Kedco should team up with them. The new KEDCO is working directly with our CAO, Universities, Colleges, and Council. The good news is that businesses left Kingston due to ''''RED TAPE"" that they encountered when they came to the City.

GUESS WHAT FOLKS, AT THE Entrepreneurial Expo, this past Friday. Mayor Harvey told the sponsors, the attendents at the meeting, that from this point on things will be different.

Mayor Harvey stated that when a business wishes to come here, there will be ONE CONNECTION that they will need to make. This connection will GUIDE the business right throught any and all red tape issues and licenses that the business might need. Apparently, previously, anyone starting a business had to find out things on their own and doors were slammed instead of opened.

From listening to the panel, talking with Kedco, It looks like Jeffy Garrah and the other members of Kedco have been able to have this city adopt an Open Door policy for businesses to come.

Proof will come when it comes to businesses that will come here. IF, and I say IF, we become progressive instead of negative in our thinking, just maybe, ""They will come"". lol lol

Good companies are leaving, Can we blame them, If we as citizens in this city think negatively. Would you go where you are not wanted or cared about? I know that I will come here only when I am welcomed or if someone pushes my buttons and I get stubborn and want to get even.lol lol

[Exhibitionist]

I tend to agree with Mr. Stones observations, Kingston has always been known as a Government / University City. In business terms this is a bad news / good news story.

The bad part is that new businesses do not like locating where there is a strong union presence, especially government unions (benefit costs range around 26% to 30%). Hence Belleville and Napanee look good to them. Although I believe Mr. Stone is someone incorrect in his dated observations. Each of these Cities are lossing large employers such as Strathcona, and IMF a large food manufacture in Belleville. Frankly; whats happening is that the traditional business model of building a plant because of easier red tape and "tax advantages" has lost its elure because of -in time delivery models, competing with companies around the world and the lowest cost mentality our capitalist system has currently developed into to. Post war era (approx. 25 years) there was not a "wide acceptance" of getting something for next to nothing. Now if your are not getting a "deal" your not staying ahead of the "smiths". Walmarts to car companies its all about the best deal! This puts companies o thin margins and with more competition and just in time - (along with 19th century union demands) - its no wonder long term business are having it tough and that Bell closes "unionized" facilities. These are some of the realities of the 21st century. Open as many doors as you wish - but frankly all Cities across the worls have been doing this since the 80's and are much more capable (both capacity wise, supplier support and historically perceived) to "do business competitely" that Kingston.

I also know the E.I program here has been downsized significantly in the past few years. The types of business that also come out of most of these HRSDC programs are part time / and lparticipants ack capital to develop more than a one man band type of operation. Within 3-5 years most of the participants are bankrupt or working for someone else.

Which is not a bad thing; for most. Because most have never run their own business and lack any business background. The reality of running a "micro enterprise" for most with little or no money (thus on E.I) comes home to roost fairly soon.

What is really needed to help replace 2500 "good paying jobs" that have left Kingston - is not quick fixes like call centres. Yes, there is a "job market" in persons with little or no education for these low paying, low skilled jobs. But, Kingston I would think would want to encourage high skilled positions with longer term business operations. That can neither just pickup and leave at a flick of a switch, or leave environmental degredation thatt would cost the City in the long run such as Belle Park, or the Tanning Mills, Duponts etc.

WE need to be both environmentally responsible and fiscally, socailly responsible for the long term. To say we let any and all business into our fold now is NOT what we should be doing. Open for business yes, but not any and all businesses.

This is purdent, long term and holistic economic development for the benefit of the community. We certainly do not wish this community to turn into another Toronto.