10c. Memo
Economic Development Partnership Program and 2025 2026
COMMISSION AGENDA MEMORANDUM Item No. ACTION ITEM Date of Meeting DATE: April 1, 2025 TO: Stephen P. Metruck, Executive Director FROM: A Boungjaktha, Managing Director Annie Tran, Economic Development Manager 10c April 8, 2025 SUBJECT: Economic Development Partnership Program and 2025-2026 Authorization Request Amount of this request: $1,900,000 ACTION REQUESTED Request Commission authorization for the Executive Director to execute contract agreements and implement the 2025-2026 Economic Development Partnership program with King County cities in an amount not to exceed $1,900,000. Commission also authorizes Executive Director to execute contracts using unutilized program funding to advance regional initiatives to further equitable and innovative economic development initiatives. EXECUTIVE SUMMARY The Economic Development City Partnership program builds alliances with King County cities to advance economic development broadly across the region. Currently, the program is funded by the Port property tax levy, which provides cities $10,000 - $60,000 of funding to implement economic development projects that supported economic development recovery and tied to the Port's interests. The Port requires a 50% match (up to 25% monetary match and 25% in-kind resources match) to ensure cities are also committed to project success. The Port of Seattle Commission created the program in 2016 to advance local economic development in partnership with cities in King County. Over the past eight funding cycles (2016 - 2024), city partners have implemented projects that advanced economic diversification, local business development, business attraction, planning/feasibility studies, tourism, and workforce development. For 2025-2026, staff are requesting the Commission to authorize funding not to exceed $1,900,000 to implement the program. These funds will be used to support two-year contracts with participating cities. Our municipal partners recommended we move to two-year contract to better align with their biennial budget timelines. Template revised January 10, 2019. COMMISSION AGENDA - Action Item No. 10c Meeting Date: April 8, 2025 2024 YEAR IN REVIEW: CITY PARTNERS FOCUS ON RELIEF/RECOVERY EFFORTS In 2024, 27 cities used Port funding to advance economic relief and recovery initiatives. More than 70% of investments were dedicated towards small business support, buy local/placemaking campaigns, and business attraction efforts. In 2024, we implemented standardized metrics to assess impacts to businesses and included metrics to include participation from women-and-minority-owned-businesses (WMBE). Additionally, we increased the minimum of funding to $10,000 from $5,000 for the small cities. Small cities could supplement their 50% match from in-kind resources rather than requiring city monetary funds. This reduced barriers for smaller cities with limited budgets to be able to participate and receive the funding. 2024 Economic Development Partnership Awards by Project Category Project Type Small Business Technical Assistance Buy Local/ Placemaking Business Attraction Plans/Custom Projects Tourism Workforce Development Business Retention/Expansion Total Port Funding % of Port Funding City Match Total Investment (Port Funding + Match) $282,227 36.5% $ 184,398 $466,625 $201,055 $83,237 $75,100 $ 63,263 $60,000 26% 10% 9% 8% 8% $ 169,679 $52,797 $33,670 $ 65,041 $91,000 $ 370,734 $136,034 $108,770 $ 128,305 $115,700 $ 9,169 1% $ 4,584 $ 13,754 $ 804,052 100% $637,211 $1,441,263 Participating cities contributed $637,211 in matching resources. One-third of the funds supported small business assistance programs. One-quarter of the funds supported Buy Local and placemaking programs. Altogether, $1.4 million of Port funds and city funds were invested towards economic development initiatives in our region. During 2024, the Port convened two (virtual and in-person) meetings with cities to share resources to support small businesses, best practices, and developed regional partnerships between Greater Seattle Partners, Seattle Metropolitan Chamber of Commerce, and Local Organizing Committee for FIFA. CUMULATIVE IMPACTS (Organized by % of Funding Awarded) Participating cities had the discretion to select their projects and initiatives with the advice and review from Port staff. The 27 cities implemented economic relief and recovery initiatives. COMMISSION AGENDA - Action Item No. 10c Meeting Date: April 8, 2025 Below represents the aggregated data for cumulative impacts for reach of the project categories for one-year. Small Business Assistance: 900+ businesses assisted and 600 WMBE businesses assisted 413 one-on-one business consultation hours provided 75 events hosted to support small businesses 400 businesses surveyed $1.1 million of funding secured for businesses in the form of grants, loans, etc. Buy Local/Placemaking: 27,000+ attendees to local events 1,000+ businesses participated in Buy Local Campaigns 160 WMBE businesses participated in Buy Local Campaigns ~$33,000 in revenue generated from events 15 events hosted 62,000 marketing impressions from marketing campaigns Business Attraction 200,000+ impressions for Burien's Hotel Attraction Marketing Program 8 businesses recruited in Burien and Issaquah ~16,000 video views for Maple Valley's Business Attraction video Photo library of 264 photos for marketing Federal Way as a location to attract businesses Plans/Custom Projects: Des Moines - Economic Development Element of the Comprehensive Plan - Identified strengths, weaknesses, opportunities, and threats for three defined economic opportunity zones including the Marina District, North Central, and Pacific Ridge areas. Maple Valley - Summit Place Market Analysis completed to assess potential for how best to zone 122-acre property for best uses cases for attracting businesses. Woodinville - Creative District Plan - Analysis uncovered opportunity areas for rezoning and redeveloping underutilized and neglected areas to encourage a creative economy and creative district in Woodinville. Tourism: 200,000+ attendees to tourism events ~300 businesses and ~40 WMBE businesses participated in tourism events 9 million marketing impressions from tourism marketing campaigns Visitors came from 6+ countries and 36 states $3,000+ increase in admission ticket sales COMMISSION AGENDA - Action Item No. 10c Meeting Date: April 8, 2025 Workforce Development: Hosted 3-part professional development series with AJAC, including Apprenticeships in Manufacturing as a Career Pathway for high school Kent School District staff and administrators to support new student learning experiences and opportunities. Business Retention/Expansion: Normandy Park hosted two industry roundtables with 252 attendees in total. 165 WMBEs participated. BENEFITS As a result of the funding opportunities for cities, this program has furthered positive relationships with cities throughout King County over the last seven years. During COVID-19, funding provided key and critical resources to cities during the pandemic and funding often helped anchor assistance to local businesses during challenging times. Additionally, this program convenes our city partners several times a year around local and regional economic development initiatives to foster ongoing collaborative efforts. All in all, the program has led to tangible small business development, tourism, and placemaking outcomes across King County. LOOKING FORWARD For the 2025-2026 cycle, there will be a stronger emphasis and encouragement for cities to use the funds to support Port related industries. Port industries include aviation, maritime, construction trades, and green jobs that encourage utilization of the Port's infrastructure such as SEA Airport, cruise terminals, and cargo terminals. The future of the program relies on being able to tell a collective story about the regional economic development initiatives conducted in collaboration with our city partners. Port staff will encourage cities to continue using similar reporting metrics to allow for data to be easily aggregated to understand the impacts and outcomes of these initiatives. DETAILED INFORMATION ON CITY PROJECTS Projects Descriptions by City and Regional Partnership Regional Partnerships Bellevue, Issaquah, Kirkland, Redmond and Renton Startup 425 Revamped the Startup425 Program with Bellevue serving as the administrator for the program and partnership. (startup425.org) - Hosted 10 events on the Eastside with 216 cumulative attendees. Topics included: Eastside Venture Capital Panel during Seattle Tech Week, CoWorking, and a "How to Start a Business" resource specific to each participating city. - Hired 2 entrepreneurs in residence to help run the program and trainings. COMMISSION AGENDA - Action Item No. 10c Meeting Date: April 8, 2025 Individual City Projects Auburn - $60,000 Small Business Assistance - Support SBDC and APEX Accelerator (formerly Washington PTAC). Guide businesses on exporting, permitting, and assist in data-driven decisionmaking. Business Recruitment - consultant to conduct a Recruitment Marketing Strategy, placemaking content strategy, and target audience design brief to market and attract appropriate target audiences to improve how the City recruits and reaches businesses that may have an interest in opening a new business in our region. Bellevue - $60,000 StartUp425 Pre-Seed Accelerator - Pilot an accelerator program for small businesses and startups to target idea stage small businesses and pre-seed venture-scalable startups with 14 weeks of educational programming. Bothell - $29,280 Small Business Expo - Partner with Bothell Kenmore Chamber of Commerce to produce a street-fair business expo. Event will provide small businesses a venue and tools to market their goods and services. Small Business Advisors will also be on site and market their technical services to entrepreneurs. Burien - $52,560 Hotel Attraction Marketing Program - Market Burien to developers, hotel brands, brokers, and investors as a prime location for hotel development. SBDC Highline College and Soundside Alliance Support - Support Burien's membership in the Soundside Alliance to coordinate and collaborate on small business assistance and attraction. Additionally, funding the Small Business Development Center at Highline College to provide small business technical assistance. Town Square Holiday Shopping Attraction - Support small businesses, retail shops and restaurants during the shopping season in Town Square Park Plaza. Draw visitors through winter lighting, public activation installations and events. There will also be planned provisions for marketplace development for entrepreneurs through pop-up retail opportunities. Tax Increment Finance Area Feasibility Study - Evaluate opportunities and feasibility for Tax Increment Financing (TIF) to support infrastructure investment and incentivize commercial development in Burien. Carnation - $10,000 Summer Events - Promote Carnation summer events to engage local community and draw people into the downtown core. Events include community movie nights, youth concerts, and family friendly experiences. Funding will promote local events through COMMISSION AGENDA - Action Item No. 10c Meeting Date: April 8, 2025 marketing efforts including the creation of a main calendar, social media flyers, cross promotion with businesses and nonprofits. Covington - $21,600 Town Center Activation - Activate the vacant "Town Center" property to get the community to recognize it as a landmark. Promote the area for redevelopment and potentially new businesses along the way. Des Moines - $33,260 Economic Development Element/City's Comprehensive Plan - This element will provide framework for growing the Des Moines' economy. The new light rail station, fastest growing union of construction workers, Why Not You Academy, Bezos Montessori School, and Highline Public Schools all offer opportunities to grow and develop Des Moines further. Duvall - $10,000 Duvall Winter Train Depot Celebration - Sponsor event to showcase historic Duvall Train Depot with interactive activities for all ages, promote local businesses on Mainstreet, food trucks, and opportunity for community to explore Duvall's History. Movie Night at the Farm - Sponsor end of the summer movie night at historical Dougherty farmstead or partner with a local farm to promote local businesses and create a community opportunity to explore the historical farmstead. Enumclaw - $13,090 Enumclaw Expo and Event Association - Target SeaTac Airport with specific geofencing social media for tourism media campaign to market many long-standing events such as King County Fair, Scottish Highland Games, Olympic Kennel Club Dog Show and Enumclaw Pro Rodeo. Federal Way - $24,908 Outreach and Survey - Reaching out annually to businesses in order to verify and update contact data enables the City to support small businesses, provide resources and address their critical needs. City will use this feedback to create programs that directly and immediately address surveyed business needs. Business Attraction - Create a comprehensive media repository to market the City of Federal Way, focusing on capturing and documenting visual assets of the City. Updated imagery will cover tourism landmarks, commercial enterprises, and promotional materials designed to stimulate developer and investor interest in commercial tourism for the downtown core. Issaquah - $41,290 StartUp425 - Continue to help aspiring entrepreneurs learn about launching a firm on the Eastside and provide resources and information to assist startups in their entrepreneurial journeys. COMMISSION AGENDA - Action Item No. 10c Meeting Date: April 8, 2025 Industry/Small Business Retention/Expansion - Funding will support the one-day Regional Business Summit, emerging creative industries, welcoming week, eastside virtual job fair, and a business survey. Business Recruitment - Subscription to Co-Star allows city to identify available properties for relocating or existing businesses. Issaquah Loyal - Buy Local campaign promoting local businesses. This year, integrated promotions with Small Business Saturday promotions, highlighting underserved businesses. Kenmore - $24,230 Marketing Photography - Great visuals of the city help to promote a stop in Kenmore to draw visitors who would otherwise pass through by car, biking or walking on the Burke Gilman Trail, or via boat on Lake Washington. Support local businesses by offering free photography and marketing assets. Tourism Website - Promote visitation to Kenmore using the FindKenmore.org website by expanding it beyond the current business directory website to a tourism website that utilizes blogs to spotlight businesses unique to Kenmore, provides a calendar of events available to visitors, and highlights reasons to visit and spend time and money in Kenmore. Oktoberfest - Event will celebrate Kenmore's unique breweries, distilleries, and historic hotel, and connect visitors to different areas and businesses around Kenmore through a fun passport activity/experience that highlights all the participating businesses. Kent - $60,000 Aerospace Machinists Joint Training Committee (AJAC) Advanced Manufacturing Apprenticeships - The City of Kent and the Kent School District will build capacity for the development of an Automation Technician Youth Apprenticeship to be based in the Kent SD. The project will begin with informing and educating school faculty about AJAC's youth apprenticeship through events, employer tours, and industry roundtables. Kirkland - $60,000 Eastside Made Market Attendance/Pop-Up Market - SPARK's Eastside Made Program is focused on building more inclusive support for makers and creative entrepreneurs across WA state. A dedicated pop-up market is targeted to occur in tandem with Kirkland's annual City Hall event for All Event, which attracts more than 3,000 attendees in the Fall. Explore Kirkland Content and Promotion - Curate informative content, which will include articles, videos that illustrate Kirkland's natural beauty and unique offerings. Targeted marketing campaigns leverage the City's lodging Tax Advisory Committee digital marketing resources to drive traffic to Explore Kirkland's website. SBDC/StartUp425 - Partner with OneEastside to offer a small business advisor program through the SBDC. Program will offer expert guidance and support through 1:1 advising sessions conducted by seasoned business professionals. COMMISSION AGENDA - Action Item No. 10c Meeting Date: April 8, 2025 Maple Valley - $28,000 Digital Cash Campaign - More than 70,000 visitors attend Maple Valley's events per year. In order to generate more revenue for local businesses, the City will work with the Maple Valley Chamber of Commerce to enlist businesses into program and creative incentives to shop at the local businesses. Marketing Consultant - In 2023, the City produced a business video that provided information on doing business in the City. This project would engage a marketing consultant to help the City market our business video to developers, businesses, and investors. Summit Place Predevelopment Market Analysis - The project would provide for a predevelopment analysis of the Summit Place site (a 122-acre property in Maple Valley currently zoned as Regional Learning and Technology Center) to address unknowns such as permitting requirements, allowed uses, traffic, critical areas, encumbrances, utilities, and frontage improvements. The analysis would include a study to evaluate the real estate market potential and timing of development. Mercer Island - $25,790 Buy Local Campaign - Encourage local businesses to participate in community events like: Summer Celebration, Mostly Music in the Park, Town Center Trick or Treating, Illuminate MI and Island Lanterns. These events serve as platforms for showcasing partnerships and encouraging our community to invest in their local economy. Activities will include running social media campaigns promoting businesses, their support of community events, and enhanced partnerships. Normandy Park - $10,000 Business Mixers - Conduct in-person and online business engagement through local business-focused mixers held at local business locations. Two mixers planned for 2024 will be preceded by a pre-mixer technical assistance workshop training. Business Workshops - The first workshop will be on Minority and Women Owned business certification opportunities (featuring Walter Acuna With Chase Bank). The second workshop will feature Highline Small Business Development Center (SBDC) staff teaching the how-to of home occupation business startups, focusing on operational and marketing tools. Both workshops will require registration. North Bend - $10,000 Recreational and Responsible Tourism - Contract with a writer/content developer to develop written and visual content for a cycling story map to be used by both residents and visitors to North Bend. Story maps combine maps, 3D scenes, embedded content, multimedia, and more into an interactive map that can be used by cyclists to access COMMISSION AGENDA - Action Item No. 10c Meeting Date: April 8, 2025 cycling trails safely and responsibly and then find restaurants, stores, and amenities after their ride to support local businesses. Pacific - $1,000 Business Directory on Website - Develop business directory feature on the City's website to promote local businesses and increase web presence. Redmond - $60,000 StartUp425 - Startup425 is collaborative of five Eastside cities to support entrepreneurship. The program will pilot an accelerator of Founder Institute Curriculum. While the standard track is designed to accelerate venture scale companies, the City would like to invest in the creation of tailored curriculum for small businesses and nonventure scale start-ups. Overlake Intercultural District Marketing Campaign - Highlight the Overlake Intercultural District through a passport challenge. This marketing campaign will help to brand and encourage visitations to the neighborhood to discover a world of restaurants, spas, shopping and experiences at the epicenter of the Eastside. Additionally, the City will work with OneEastside SPARK to host Redmond's first Eastside Made Pop-up Market in Overlake. Innovation Triangle - Support of the Innovation Triangle Website upgrades and promotion and the Greater Seattle Partners hosted SelectUSA spin off event programing on the Eastside. Renton - $60,000 World Cup Legacy Square Initiative - Leveraging the momentum of the world's largest sporting event, the project aims to establish the World Cup Legacy Square as a focal point in downtown Renton. Alongside a soccer pitch committed by the Seattle Sounders' RAVE Foundation, key components include a jumbo screen for year-round public viewing of events, a stage for live entertainment, and a business incubator to support local entrepreneurs and enhance economic activity. StartUp425 - Increase event attendance and scale outreach efforts by implementing targeted strategies to engage entrepreneurs and small business owners in Renton. Specifically, achieve a 30% increase in event attendance by the end of 2024 compared to the previous year, with a focus on diversity in business leadership and industry representation. SeaTac - $31,740 Pop-Up Events - Host four engaging and diverse pop-up events at SeaTac's Sound Transit Kiss and Ride Site and Angle Lake Station (potential TIB station area) to increase community involvement, promote the use of public transit facilities, and support small businesses. COMMISSION AGENDA - Action Item No. 10c Meeting Date: April 8, 2025 Shoreline - $60,000 Music Industry & Tourism - The Sixth Annual Shoreline Music Summit will be paired with a same-day music showcase that will once again be a companion to the Summit event with the additional goal of serving as an after-hours social outlet for music professionals and community leaders in addition to the economic recovery and tourism function that the second-year of the event will be designed to provide. Cultivating Creatives - The project's key components include the Glass & Glaze program, professional development summits, and strategic partnerships with local businesses and events. The initiative aims to generate income for artists, equip them with practical skills, and foster collaboration within the artistic community. Juneteenth Black-owned Business Marketplace - Project involves the development and operation of a dedicated marketplace that exclusively features small and micro blackowned businesses. Shoreline Pride Festival Marketplace - The City of Shoreline will partner with the Shoreline Farmers Market and host the second annual Shoreline PRIDE Festival Marketplace. This celebration is organized with a focus on inclusivity, advocacy, and education for the LGBTQIA+ communities. Skykomish - $10,000 Tourism Promotion and Website - Partner with Skykomish Chamber of Commerce, develop a visually appealing and informative website hosted by the Chamber that highlights Skykomish's attractions, activities, and amenities. Include high-quality photos, engaging content, and user-friendly navigation. Optimize the website for search engines to improve its visibility online. Small Business Assistance - Digital Literacy Workshops - Provide Internet and technology classes tailored for both small businesses including artisans and community organizers in Skykomish fostering digital literacy, enhancing their online presence, and driving economic growth. Snoqualmie - $9,000 Tourism Website Update - Enhance the tourism webpage and experience for users/visitors. This website will support all businesses, events, and experiences, in Snoqualmie. The main website was enhanced (overhauled) in 2023 and the homepage branding and graphics will be used to create con nuity to the tourism page, and "call out" the opportuni es for visitors. Hello Summer Campaign - Create a marketing campaign, specifically designed to promote summer events coordinated by the City of Snoqualmie, Arts Commission, and community event partners. The campaign will provide multiple collateral pieces (social media, posters, postcards, and 425 social media ads). COMMISSION AGENDA - Action Item No. 10c Meeting Date: April 8, 2025 Tukwila - $22,780 Kent Valley Wa Business Recruitment - Promote Tukwila and other cities in Kent Valley as a place to attract aerospace and advanced manufacturing businesses by updating the Kent Valley Washington website and promoting new content on social media and LinkedIn. Funding will support GIS Planning and Business Directory Intelligence and a Property Viewer on the website for potential investors in our region to map businesses by industry sector. Small Business Pop-up Events - Host two "pop-up" events to promote small businesses in Tukwila. Support more than a dozen small businesses plus food and entertainment. Focus will be on supporting African and Latinx businesses. Woodinville - $13,830 Creative Economy Development Initiative - The City of Woodinville is currently in the development stage of becoming a Washington State Creative District designee through ArtsWA. The City has identified the former rail corridor (and future home to the Eastrail Regional Trail) and surrounding area, as the tentative future home for a creative economic catalyst. The City of Woodinville will be rezoning and redeveloping this underutilized and neglected area and is seeking to embed a creative economy into the built environment of this specific plan. FINANCIAL IMPLICATIONS Annual Budget Status and Source of Funds The Port of Seattle Economic Development Partnership program is an initiative that will cost approximately $1,900,000 to implement in 2025-2026. The Port property tax levy will be used to support this program. ATTACHMENTS TO THIS REQUEST (1) Presentation PREVIOUS COMMISSION ACTIONS OR BRIEFINGS February 13, 2024 - The Commission authorized the Executive Director to execute contracts supporting the 2024 Port of Seattle Economic Development Partnership Program in an amount not to exceed $900,000. February 8, 2022 - The Commission authorized the Executive Director to execute contracts supporting the 2022-23 Port of Seattle Economic Development Partnership Program in an amount not to exceed $1,860,000. February 9, 2021 - The Commission authorized the Executive Director to execute contract agreements and implement the 2021 Economic Development Partnership program with King County cities in an amount not to exceed $930,000. July 10, 2020 - The Commission heard a briefing on how the 2020 Economic Development Partnership Program funding was being used to respond to COVID-19. COMMISSION AGENDA - Action Item No. 10c Meeting Date: April 8, 2025 December 10, 2019 - The Commission authorized the Executive Director to execute contract agreements and implement the 2020 Economic Development Partnership program with King County cities in an amount not to exceed $965,000. July 23, 2019 - The Commission heard a briefing on the 2019 Economic Development Partnership program. January 8, 2019 - The Commission authorized the Executive Director to execute contracts supporting the 2019 Port of Seattle Economic Development Partnership Program in an amount not to exceed $960,000. December 11, 2018 - Presentation to the Commission on the results of the 2017-2018 Economic Development Partnership Program and the findings of a draft program evaluation report completed by Community Attributes Inc.
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