Title
Edmonton Global Membership
Proposed Motion
That Council continue as a shareholder of Edmonton Global.
Body
Administration Recommendation
Administration will support Council's direction.
Purpose
In November 2019, Council passed a motion (RFD 20-221) to terminate as an Edmonton Global (Edmonton Metropolitan Region Economic Development Company) shareholder in accordance with Article 42 of the Articles of Association. Termination of membership requires a notice period, at the end of which, unless Council directs otherwise, Parkland County will cease to be a shareholder of Edmonton Global. However, within the notice period Council has the opportunity to revisit the previous decision and direct the County to continue membership, should it choose to do so.
Summary
Edmonton Global was formed in 2017 and Parkland County has been a shareholder since June 2017. Since inception, the County has contributed $412,800 in membership contributions to the organization. In November of 2019, Council directed Administration to provide notice of termination as an Edmonton Global (Edmonton Metropolitan Region Economic Development Company) shareholder in accordance with Article 42 of the Articles of Association. As we draw closer to the end of our official notice period, Administration has prepared an opportunity for Council to reconsider Parkland County's membership with Edmonton Global.
In 2019, as part of the rationale for withdrawing from Edmonton Global, Parkland County Council felt Edmonton Global had increased the scope and mandate of the organization without providing corresponding value for the resulting increased shareholder contributions. There was also concern that Parkland County’s ability to execute on its own business development strategies and capitalize on its unique competitive advantages would be limited under the compact that all shareholders were required to sign. Parkland County's internal economic development work would shift to focus more on local business supports and large project and investment attraction would be passed over to Edmonton Global for consideration at the regional level.
While no project or investment lead has been secured for or in Parkland County, it is recognized that there is potential for lost opportunity if the County were to completely withdraw from Edmonton Global. Further, fully withdrawing from Edmonton Global would result in both optical and political implications.
Strategic Plan/Policy/Legal/Staff Implications:
Membership in Edmonton Global would impact the manner in which internal economic development staff approach Council's strategic goals focused on economic diversification, particularly around how the function works to explore strategies that encourage new businesses to locate in Parkland County.
Financial Impact:
Cost: $200,000 annual funding required to support membership dues ($163,000 for 2022) and other event related contributions.
Source of Funding: Taxation