HomeMy WebLinkAbout _ 4.2(a)--Funding Agreement-Superior California Economic Development District GI �" Y C� F
� � �- ' � ° � � i � CITY OF REDDING
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REPORT TO THE CITY COUNCIL
MEETING DATE: July 15, 2025 FROM: Steve Bade, Assistant City
ITEM NO. 4.2(a) Manager
***APPROVED BY***
sbade@cityofredding.org
t��,re a �, ss � ��r 7�'8/'�42�
btippin@cityofredding.org
SUBJECT: 4.2(a)--Funding Agreement with the Superior California Economic Development
District for Fiscal Year 2025-2026.
Recommendation
Approve the Funding Agreement with the Superior California Economic Development District
(SCEDD) for Fiscal Year (FY) 2025-2026, for economic development planning and business
development services; and authorize payment to SCEDD in the amount of$18,117 for FY 2025-
26 activities.
Fiscal Impact
Funding for the Superior California Economic Development District (SCEDD) Funding
Agreement (Agreement) is incl�uded in the City of Redding's (City) 2025-2026 Biennial Budget
within the General Fund to cover the cost of the Funding Agreement in the amount of$18,117.
AZteNnative Action
The City Council could decline to participate in SCEDD, or provide alternate direction to staff.
Background/Analysis
On March 12, 19'79, the City entered into a J�oint Powers Agreement (JPA) establishing SCEDD.
SCEDD acts as a liaison to the U.S. Economic Development Administration (EDA) for a four-
county district that includes Shasta, Siskiyou, Trinity, and Modoc Counties. In this role, SCEDD
is a facilitator for EDA grant programs and other economic development assistance.
SCEDD is primarily supported by an annual investment from the EDA with a required matching
investment from SCEDD based on the region's level of economic distress as periodically
determined by the EDA. Each member county and incorporated city (Member) assessments are
determined and invoiced annually using a formula derived through averaging the most current
population and assessed valuation figures for each respective member. Assessment funds provide
the cash match for the EDA Annual Planning Grant.
Report to Redding City Council July 8, 2025
Re: 4.2(a)--Funa'ing Agreement-Superior California Economic Development District Page 2
SCEDD's mission is to create jobs through local and regional economic planning and direct
business fmancing through the following activities:
■ Comprehensive Economic Development Strategy (CEDS) - SCEDD is responsible for
the CEDS, a locally-based, regionally-driven economic development planning process
and document. It identifies locally-based strategies that guide regional economic
development, encourages partnerships and collaboration, and improves economic
outcomes and overall quality of life. An effective CEDS enables the region to engage
with the EDA and other federal partners to receive grants;
■ Business Development Loan Program - Since 1980, SCEDD has been building up a
portfolio of revolving business development loan funds for businesses within the district.
Currently, our portfolio holds nearly $8.6 million in available funds for lending purposes;
and
■ Certified Development Company - SCEDD is certified by the U.S. Small Business
Administration to market, package, fund, and service SBA 504 loans statewide. While
this activity does contribute to the SCEDD mission within the District, the program
services are offered state-wide and generate unrestricted retained earnings for SCEDD,
which are then dedicated to the SCEDD mission within the district.
SCEDD provides valuable economic assistance to the City, leveraging its contribution for federal
grant money.
EnviNonrrcental Review
This is not a project defined under the California Environmental Quality Act and no further
action is required.
Council Priority/City Manager Goals
• Economic Development — "Facilitate and become a catalyst for economic development
in Redding to create jobs, retain current businesses and attract new ones, and encourage
investment in the community."
Attachments
SCEDD Funding Agreement 2025-2026
Previous Staff Report - June 18, 2024 - SCEDD
FUNDING AGREEMENT
THIS AGREEMENT is made and entered into by and between the �ITY OF REDDING, a
municipal corporation and general law city("City"), and the SUPERI�012 CALIFORNIA ECONOMIC
I�EVELOPMENT DI5TRICT, a joint powers agency created under California law by that Joint E�ercise of
Powers Agreement between Modac, Shasta, Siskiyou, and Trinity Counties and Participating Cities for the
Purpase of Forrning an Econornic Developrnent District dated March 12, 1979, as amended {"SCEDD"):
RECITALS
A. The City Council af the City of Redding (City) is empowered by the State of California to
appropriate and expend money fro�n City funds for the regional planning for economic and public works project
development within the City.
B. The City has no organized means of its own for conducting the systematic expenditure af funds
fc�r regit�nal planning for economic and public works praject development wlthin the City.
C. SCEDD provides regional econamic-development plat�ning and business-development services,
and acts as the Ecanomic Developrn�nt Adininistration's liaison to both the public and private sectors.SCEL)D's
primary rnission is facilitating business and job creation in Shasta,Trinity,Nlodac,and Siskiyou counties. Shasta
County's share c�f SCEDD's aperating budget and its matching grant requirement is shared between Shasta
County and the cities af Redding, And�rson and Shasta Lake in accordance with a specified formula.
I�. SCEDD, with its c�rganizational and administrative structure is well able to provide regional
planning for ecc�nornic and publie works project devetopment within the City, through which the City and its
citizen�benefit.The City and its citizens will derive a public benefit from the services to be pravided by SCEDD.
A+IYREEMENT
1. TERM. The term of#his agreement shall be for a period of one year cominencing on July l,
20�5,and terminating on June 30, 2026.
2. SERVICES TO lBE PROVID►ED BY SCEDD. SCEDD shall pravzde the services outl°rned ir�
Attachrnent A- Scape of Work attached hereto and incorporated by reference herein and generally described as
the district econamic planning program.
3. FUNDING BY THE CITY. During the term hereaf, to partially offset SCEDD's costs in
providing the services set forth in Attachrnent A,the City shall pay SCEI7D the sum of Eighteen Thousand{)ne
Hundred and Seventeen Dollars {$18,117� which repr�sents the City's share af Shasta Caunty's share of
SCEI3D's aperating budget for 2025-202b, as shown in Attachment B,attached and �ncorporated herein. This
sum shall be paid within ninety{90) days after the submissic�n of SCEDD's invoice to the City,
4. REPCIRTS AND RECt7RD5.
A. SCEDD shall keep a full and complete account of funds received from all sources, and to make
this available to the �ity at any and all times upon request.
Funding Agreement
Superior Calrfornia Econamic Development District Page 2
5. INDEMNIFICATION. SCEDD.shall indemnify and defend the City and its elected officials,
of�cers, elnployees, agents and volunteers against and hold them har�nless from any and all clailns, losses,
damages, and liabilit� for damages, including attarney's fees and other costs of defense incurred by the City,
whether for damage to or loss of property or injury to or death of persons ar loss of services, expenses or
compensatian, incl�ding properties of the City and injury to or death of the City's elected afficials, officers,
employees, agents and volunteers arising out af, ar resulting fram, the City's expenditure of funds to SCEDD
hereunder,the services to be performed hereunder by SCEDD or from the actions af SCEDD's official�,offi�ers,
emplayees, agents, vc�lunteers and invitees, unless such damage, loss, injury or death is caused by the sole or
active negligence of the City.
6. INSURA:NCE REG►UIREMENTS: SCEL�D shall procure and maintain, for the term of this
Agreement, insurance against clairns for injuries to persons or damages to property which may arise frc�m or in
conneetion with the services ta be provided hereunder by SCEI7D and its afficials, of�cers, employees, agents,
rnembers or valunteers. The cost af such insurance shall be borne by SCEDD.
A. Coverage shall be at least as broad as, with limits no less than:
(1) Insurance Services (7ff'ice Commercial General Liability coverage (occurrence form
CG 0001};at$1,00O,OOQ per occurrence/$2,(30Q;0(l0 general aggregate for bodily injury,
personal injury and property damage. The City reserves the right to increase the limits
at a later date.
(2) Workers' Com�ensation insurance as required by the State of Califarnia, and
Employer's Liability insurance (for SCEDD's �mployeesj, at $1,000;000 per accident
for bodily injury or�lisease.
B. The general liability poliey is to be endc�rsed to cantain the fallowing provisions:
(1) The City, its elected officials, officers, employees, agents a11d volunteers are to be
covered as additional insureds as respects liability arising out of activities performed by
or on behalf of SCEDD�products and cornpleted aperations of SCEDD;prernises owned,
occupied or used by SCEDD;or automobiles nc�n-owned, leased, hired or borrowed by
S�EDD. The coverabe shall contain no special limitations of the sc�pe of protection
afforded to the City, its elected officials, affieers, employees,a�ents and volunteers.
(2J SCEDI3's insurance co�erage shall be primary insurance as respects the City, its elected
officials, officers, ernployees, agents and volunteers. Any insurance or self-insur�nc�
mair�tained by the City, its elected officials, officers, employees, agents and volunteers,
shall be excess of SCEDD's insurance and shall not contributie with it.
(3} SCEDD's insurance sha11 apply separately to each insured against whom claim is matle
flr suit is brought, exeept with respect to the limits of the insurer's liability.
(4) Each insurance policy covered by this Agreement shall be endorsed to state that
coverage shall not be suspended, voided; canceled by either party, or reduced in
caverage or in limits except after thii�y (�0) da�s''prior written nrstice has been given
to the City.
C. Insurance is to be placed with insurers with a current A.M, Best's rating of na less than A-;VII
and licensed to da business in the State c�f California. SCEDD shall furnish the City with
original endflrsements affecting the coverages required by this Agreement. The endorsernents
are to be signed by a person authorized by that insurer to bind coverag� on its bei�aif. All
endc�rsements are to be received and appraved by the City's Risk Manager prior to the date the
terrn cammences.
Funding Agreerraent
Superior Cczlifo�nia EconomiG Development District Page 3
'7. CQM�LIANCE W�'I"H LAW. S�EDD covenants and agrees to comply with all
statutes, �aws, ordinances, regulations, arders, judgments, decrees, directians, and requirements of the
City, and of all federal, state; county and city autharities now or hereafker in force, applicable to the
services to be provided hereunder or pertaining to a joint powers agency ci:eated under the laws of the
State of California, and shall secure at its full cost and expense any and all perrnits, applications or ather
requirements in connection therewith. The judgrnent of any court of competent jurisdiction or the
admission of SCEDD in any action or proceeding against SCEDD, whether the City be a party thereto or
not, that SCEDD has violated any such ordinance or statute shall be conelusive of the fact as between the-
City and St;Ei)D and shall subject this Agreement to immediate termination at the option c�f the City.
8: ASSTGNMENT OR SIUBCONTRACTING. �CEDD shall noti assign, subcontract or
otherwise transfer this Agreement or any interest therein without first securing th�vvritten approval of the
City.
9. FTNANCIAL INTEREST. No mernber c�f the City Council br of any City board or
commission,and no officer or emplayee ofthe �ity, shall be or becorne, directly or indirectly,financially
interested in this Agreement or the services ta be performed by SCEDD.
10. STATUS. In carrying aut the terms of this Agreement, SCEDD i� an independent
contractor, and nathing in this Agreement is intended nor shall be construed to create an employer-
employee relationship or a joint venture relationship between the City and SCEDD or any officer of
employee of SCEDD.
11, WAIVER. A waiver of any party of any provisian or a breach af this Agreement must be
provided in writing and shall not be construed as a waiver of any otherprovision or any succeeding breach
of the same or any other pravision herein.
12. DEFAULT,
A. SCEDD's failure to perfarm any prc�vision of this Agreement, if the failure to perfarm is
not cured within thirty{30) calendar days after notice has been given to SCEDD; shall
cc�nstitute a default of this�1gre�ment: If the default cannvt be reasonably cured within
thirty{3�) calendar days, SCEDD shall not be in default of this Agreement if SCEDD
comrnences to cure the default within the thirty(30) calendar day period and diligently
and in good faith continues ta cure the default,
B. Notices given under this paragraph shall specify the alleged default a�d the applicable
pro�isions of this Agreement, and shall demand that SCEDI7 perform the provisions of
this Agreement vvithin the thirty(30) day peric�d.
C. Upon any default afthis Agreement,the City, at the Gity's sole discretian, may terrninate
this Agreement. Any funds pravided to SCEDD by the City pursuant to paragraph 3 of
this Agreernent which are not expended at the tirne of the default shall be imrnediately
returned to the City. In such event, SCEDD shall also imtnediately provide to the City the
records required by paragraph 4 of this Agreem�nt.
Funding Ag�eement
Szrperior Californra Economic Development District Page 4
13. N+I�TICE. All notices and other communications authorized or required under this
Agreement shall be in writing and shall be given by (a)personal delivery, (b} mailing by first ctass mail,
postage prepaid, or (c) delivery by cammercially recognized eourier service. Any such notice or other
communication shall be deemed to have been given on the dat�of delivery or refusal to accept delivery if
addressed as follows:
City af Redding Superzo�California Economic
Att�t.:Assistant City Manczger 17evelopment Dz,strict
777 Cypress Avenace Attn.: Executive Officer
P.O. Box 496071 3.50 Hartnell Avenue
Redding, CA 960�9-�071 Redding, CA 9b002.
Either party may change its address for the purpases of this paragraph by giving written notice of such
change to the other party in the manner provided in this paragraph.
14. ENTIRE AGREEMENT AND� M+D►DIFI�ATIQN OR AMENDMENT. This
Agreernent, including all attiachi�ents incorporated by reference herein, contains a11 the representations
and the entire understanding and agreement between the parties pertaining to the City's provisi�n vf funds
to SCEl�I7. All carrespondence, memoranda, or oral or written agreements pertaining to the �ity's
provision of funds to SCEDD; c�r any of the parties hereto; which originated befare the date af this
Agreement are null, void and no longer in force and with no effect, and are replaced in tatal with this
Agreement unless otherwise expressly stated in this Agreement. This Agreement shall nat b� altered,
amended or moclified except by a writing signed by the �ity and SCEDI�,
15. BINDII'�G ON SUCCESS(�RS. Subject to the provisians in this Agreement respeeting
assignment ar subcantracting, all covenants, terrns and conditions in this Agreement shall extend ta and
bind the succe�sors and assigns ofthe respective parties to this Agree�nent.
16. HEADIN�� REFERENCE A1�TD JOINT AND SEVE LIABILITY. The titles
and headings of the various paragraphs afthis Agreement ace intended solely for convenience of reference
and are not intended #o explain, madify or place any construction on any of the pravisions of this
Agreement. Masculine,feminine and the neutral gender and the singular and the plural number shall each
be considered to include the other whenever the context sa requires. If either party cansists af mc�re than
one person or entity, eacl� such person or entity shall be jc�intly and severally liable.
17. NQ PARTY DEEMED DRAFTER. In the event of a dispute between any of the parties
to this Agreement over the meaning of this Agreernent,no party shall be deemed to have been the drafter
hereof,and the principle c�f law thati contracts are to be cnnstrued against the drafter shall not apply.
18. CALIFO IA LAW. Thfs Agreement shall be construed and interpreted in accordance
with the laws of the State of Califarnia.
19. SEVE ILITY. The unenforceai�ility, invalidity or illegality of any pro�ision shall
not render the ather pravisions unenforceable, invalid or illegal.
Funding Agreement
Supe�ioN�'alifo�nia Economzc Developmenl District Page 5
20. ATTORNEYS' FEE5. In any dispute between the City and SCEDD, whether or not
resulting in litigatian, the prevailing party shall be entitled ta recover from the ather party all reasonable
costs, including, without limitation,Y•easonable attorney's fees, "Prevailing party" shail include, withotit
limitatian, a party wha disrnisses an action for specific perfartnance or for damages in exchange far sums
allegedly due, performance fQr covenants allegedly breached or consideration substantially equal to the
retief sought in the action, or which receives from the other party, in cor�nection with any dispute,
performance substantially equivalent to any of these; No sum for attarney fees shall be included `in
calculating the amount of a judgment far purposes of deciding whether a party is entitled ta its casts or
attorney fees.
21. TIME OF ESSENCE. Time is of the essence of this Agreement and of each and every
provision in this Agreement,
22. DATE (?F AGREEMENT. The date of this Agreement shall be that date that it shall
have been signed by the City.
Farr�clzrag Agreerlaetat
Sraperio�'C��lifornica Eco�7omic Developt�zent District Pcage 6
IN WITNESS WFIEREOF, the pariies llerelo 1-►ave executed tllis Funding Agreement in the
prescnce of their respective officers duly autlrori�ed in that be]Iaif on t11e days and year set forth below. "
CITY OF REDDING
Dated: � ,ZQ25 By:
Jack Munns, Mayor
Attest: APPROVED AS TQ FORM:
By:
Sharlene Tipton, City Clerk Christian Cartis,City Attornei�
SUPERIOR CALIFORNIA ECONONIIC
DEVELOPMENT DISTRICT
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Dated• � � 2025 �y:� ��{� "� „ ���� �° �,�...
� IZyyan ichardso�t, Exee�rtive Directar
SUPERiOR CALIFORNIA ECONOMIC
DEVELQPMENT DISTRICT
Dated:� " � � � ,2025 By:�...-- , _
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Sh,�e�' �rr,Presid�fl�
ATTAC H M E NT A
Super�c�r Cal�farnia Econorni�c aevelopment
District Prc�posed Scope of Wc�rk 2025-2Q26
Gomprehensive Econamgc Develo�ament Strate�y
• On�aing monitoring and annual review, update/revisian of the CEDS.
• Mailztain a CEDS Committee of SGEDD board members AND other elected officials,
• appointed gc�vernment officials, and private businesses.
• Maintain a CEDS stakeholder r�vorkgroup(s) including SCED staff and board,elected and
appointed officials, workforce development, other econamic development arganizatir�ns,
education, and representatiVes of prirnary industry clusters.
• Finalize GEI7S review and docurnent changes, updates, and additians in a document
published for public access.
Economic Developrnent Plannin�& and Coordinatian
• The district's economic-development planning activity will continue to address c€�mmon issues on a
regi�nal basis and identify and suppc�rt local eeonomic develapnient prablems, initiatives, and specific
projects relevant to the CEDS,The continuing transition frorn a resource-based economy to expanded
retail and services requires ongoing monitoring and adaptation to and developrnent of new ect�namic
base opportunities as tl�ey arise. Ecanomic Planning Activities will include;
o Continuation nf ongoing district-wide and lacal economic assessment, planning, �nd coardination
assistance, particulariy with Shasta EDC, Siskiyou EDC, Trinrty stakeholders, and Modoc
stakeholders.
o Continue to assist eligible jurisdictions and entities with EDA planning, adjustment, and public works
grant apportunities as the� arise, particularly previously identified EDA Public Works opportunities
in Yreka, Mount Shasta, and Andei•son,
o Plan and coordinate ather District ecanomic development projects/programs, including Microenterprise
I�evelo�ment; SCED business development financing,and ongoing activities with the ac�ditional special
projects listed.
o Continue collaborative relatio�lships with the(northern}California Finance Consortium.
Staff Capacity
• Staff suppart, ediicatian;and professional developrnent aim�d toward building on skills that will expand
the entity's ability to engage and successfully implement economic oppartunities throu;hout the district.
Technical Ass►stance
• Provide TA to member agencies regarding topics,such as industrial parks, land use regula#ions; grant
traininD workshops,disteict comrnittees,economic development pragrams,business development,and
the tt•ibal entit� or�ocal government.
Industrial Developrnent
• The district warks cooperatively with local jurisdictions and local economic develapment agencies in
their efforts to expand industrial businesses in t�ze district and to assist existin; local industrial
businesses with growth/expansion,The district will assist lacal jurisdictions with long-range planning
and direct assistance in funding for industrial site developmenY. However, the I7istrict ne�er has ai�d
will not conduct any business recruitment marketing or placement negatiation.
• �ollaborate and caaperate with local agencies conducting industrial recruitment.
GI �" Y C� F
� � �- ' � ° � � i � CITY OF REDDING
��
REPORT TO THE CITY COUNCIL
MEETING DATE: June 18,2024 FROM: Steve Bade, Assistant City
ITEM NO. 4.2(a) Manager
***APPROVED BY***
t�ere a �; s � �i- t;'7l'�424 t�s�a a �, ss � eF Gill(2024
sbade@cityofredding.org btippin@cityofredding.org
SUBJECT: 4.2(a)--Funding Agreement with the Superior California Economic Development
District for Fiscal Year 2024-2025.
Recommendation
Approve the Funding Agreement between the Superior California Economic Development
District (SCEDD) and the City of Redding for Fiscal Year (FY) 2024-2025, for economic
development planning and business development services; and authorize payment to SCEDD in
the amount of$26,894 for FY 2024-2025 activities.
Fiscal Impact
Sufficient funds have been included in the City of Redding's (City) 2024-2025 Biennial Budget
(General Fund) to cover the cost of the Funding Agreement ($26,894).
Alterna�ive Action
The City Council could decline to participate in SCEDD, or direct staff to renegotiate the FY
2024-2025 Funding Agreement to provide for some other funding mix and/ar work program
associated with the Funding Agreement.
Background/Analysis
On March 12, 1979, the City entered into a Joint Powers Agreement (JPA) establishing SCEDD.
SCEDD acts as a liaison to the U.S. Economic Development Administration (EDA) for a four-
county district that includes Shasta, Siskiyou, Trinity, and Modoc Counties. In this role, SCEDD
is a facilitator for EDA grant programs and other economic development assistance.
SCEDD is primarily supported by an annual investment from the EDA with a required matching
investment from SCEDD based on the region's level of economic distress as periodically
determined by the EDA. Eaeh member county and incorporated city (Member) assessments are
determined and invoiced annually using a formula derived through averaging the most current
population and assessed valuation figures for each respeetive member. Assessment funds provide
the cash match for the EDA Annual Planning Grant.
Report to Redding City Council June 11,2024
Re: 4.2(a)--Funa'ing Agreement-Superior California Economic Development District Page 2
SCEDD mission is to create jobs through local and regional economic planning and direct
business financing through the following activities:
■ Comprehensive Economic Development Strategy (CEDS) - SCEDD is responsible for
the CEDS, a locally-based, regionally-driven economic development planning process
and document. It identifies locally-based strategies that guide regional economic
development, encourages partnerships and collaboration, and iinproves econoinic
outcomes and overall quality of life. An effective CEDS enables the region to engage
with the EDA and other federal partners to receive grants;
■ Business Development Loan Program - Since 1980, SCEDD has been building up a
port�olio o�revolving business development loan funds for businesses within the district.
Currently, our portfolio holds nearly $8 million in available funds for lending purposes;
and
■ Certified Development Company - SCEDD is certified by the U.S. Small Business
Administration to market, package, fund, and service SBA 504 loans statewide. While
this activity does contribute to the SCEDD mission within the District, the program
services are offered state-wide and generate unrestricted retained earnings for SCEDD,
which are then dedicated to the SCEDD mission within the district.
SCEDD provides valuable economic assistance to the City, leveraging its contribution for federal
grant money.
EnviNonmental Review
This is not a project defined under the California Environmental Quality Act and no further
action is required.
Council Priority/City Manager Goals
• Economic Development — "Facilitate and become a catalyst for economic development
in Redding to create jobs, retain current businesses and attract new ones, and encourage
investment in the community."
Attachments
Funding Agreement