Option: 1

14 AUGUST, 2017

WILMINGTON, Del. – Governor John Carney on Monday held a signing ceremony for House Bill 226, a major piece of legislation that restructures Delaware’s economic development efforts, with a focus on supporting Delaware small businesses, innovators and entrepreneurs.

Governor Carney also signed incorporation paperwork creating the Delaware Prosperity Partnership – a public-private partnership that will leverage private sector resources to enhance business recruitment, promote entrepreneurship and innovation, support workforce development efforts, and produce forward looking-analyses on economic trends to best position Delaware’s economy to grow.

Governor Carney holds signed incorporation documents for the Delaware Prosperity Partnership.

Legislation restructuring Delaware’s economic development efforts, and authorizing creation of the partnership, was sponsored by Representative Bryon Short, Senator Jack Walsh, Senator Brian Pettyjohn, and Representative Lyndon Yearick.

Monday’s ceremony was held at the Delaware Innovation Space at the DuPont Experimental Station research campus in Alapocas.

“By restructuring our economic development efforts, we’re positioning Delaware to create good-paying jobs, build an entrepreneurial ecosystem, and ensure that Delaware remains a leading state to do business,” said Governor Carney. “We will partner with private business to draw on new resources, and ideas, for improving our economy. And we will offer new, targeted support for small businesses and entrepreneurs who are responsible for much of our economic growth and job creation. Thank you to members of the General Assembly and members of our Economic Development Working Group for their leadership on this important issue.”

On January 18 – his first full day in office – Governor Carney signed Executive Order #1 to create the Economic Development Working Group and explore a new economic development strategy. The Governor worked closely with members of the General Assembly to approve the concept and funding for the public-private entity, as well as a new division at the Department of State to oversee responsibilities for small business development and tourism.

Governor Carney’s plan to fundamentally restructure Delaware’s economic development efforts includes two significant elements:

• Creation of the Delaware Prosperity Partnership to partner with private business to improve how Delaware attracts new business and job growth, and;
• Creation of a new Division of Small Business, Development, and Tourism within state government to offer targeted support for small business owners, entrepreneurs, and minority-owned businesses.

Governor Carney will co-chair the board of the Delaware Prosperity Partnership. The partnership – which will be run day-to-day by a chief executive officer and a full-time staff – will lead business marketing efforts for the state, with a focus on attracting early-stage and technology-focused businesses, recruitment of large employers, and expansion of international business opportunities for Delaware companies. Its leaders also will work with employers and Delaware educators to fill key talent gaps in the state, and conduct forward-looking economic analyses to inform its work. The state will jointly fund the partnership’s operations with private business.

Delaware’s new Division of Small Business, Development, and Tourism will provide guidance to small business owners on how to navigate local, state and federal laws and regulations. The division will help small businesses identify resources such as local incubator programs, financing, and networking events. It also will improve the state’s outreach to women and minority entrepreneurs, and veteran-owned businesses. And division leaders will oversee Delaware’s taxpayer-funded incentive programs for job creation.

Restructuring the state’s economic development efforts, and partnering strategically with the private sector, was a recommendation of Governor Carney’s Action Plan For Delaware, and of the Economic Development Working Group, a panel chaired by Dr. Mark Brainard, President of Delaware Technical Community College, and Rod Ward, President and CEO of CSC.

Reaction to Governor Carney’s signing on Monday:

“This legislation is forward-thinking and recognizes the changes that need to take place to foster economic development in our state,” said Representative Bryon Short, D-Brandywine Hundred. “I am encouraged by the focus on innovation and entrepreneurship with the new partnerships under this office and look forward to see new opportunities in Delaware going forward.”

“It’s more clear than ever that we need to adapt to a changing economy,” said Senator Jack Walsh, D-Stanton. “That means attracting new businesses, helping startups and small businesses flourish, and supporting the best-in-class workforce that made us the world’s leading economy in the first place. This will give Delaware a faster, more nimble and responsive means of interacting with potential clients. In each case, the public and private sectors need to collaborate to keep us ahead of the ball. The public-private partnership is a win-win that will make our economy more dynamic, lead to better public policy, and equip our workforce with the skills that the new economy demands.”

“Speaking as a former business owner, and as someone who is presently employed in the private sector, I am very enthusiastic about this initiative,” said Representative Lyndon Yearick, R-Dover South. “Bringing experienced business people directly into the process of fostering entrepreneurship is both pragmatic and promising.”

“It has been an honor to work with Rod and so many leaders throughout our state to deliver on the Governor’s first priority – creating an economic development model that will position our state to meet the challenges that lie ahead,” said Dr. Mark Brainard, President of Delaware Technical Community College. “Governor Carney’s vision, combined with his leadership in getting this legislation passed, lays the foundation for continued success in keeping, adding and creating new jobs in the future.”

“The creation of the Delaware Prosperity Partnership is a landmark achievement in the future economic development efforts for the state,” said Terry Murphy, Chairman of the Delaware Business Roundtable and President of Bayhealth. “For the first time, Delaware government, employers and academia are formally cooperating to create a culture of growth and entrepreneurship as we work to expand the state’s economy by attracting jobs, talent and capital investment.”

“Catalyzing innovation and entrepreneurship is critical to our economic success as a state and as a community,” said Bill Provine, President and CEO of the Delaware Innovation Space, who hosted Monday’s ceremony. “The strength of public-private partnerships such as the Delaware Prosperity Partnership and the Delaware Innovation Space enable us to focus and channel our energy together to achieve the best results for all of Delaware.”

Stay Up To Date With Delaware

17 MAY, 2017

WILMINGTON, Del. – Governor John Carney announced a plan on Wednesday to create a public-private partnership and strategically realign Delaware’s economic development efforts, with a new focus on promoting innovation, supporting Delaware’s entrepreneurs, and leveraging private sector resources to create jobs and grow Delaware’s economy.

Governor Carney – who signed Executive Order #1 on his first full day in office to explore a new economic development strategy – will work closely with members of the General Assembly to approve the concept and funding for the public-private entity, as well as a new division at the Department of State to oversee responsibilities for small business development and tourism.

The plan will reorganize Delaware’s economic development efforts by early 2018.

“We can and should do more to promote innovation, support our entrepreneurs, build and retain a talented workforce in Delaware, and strategically partner with the private sector to grow the state’s economy,” said Governor Carney. “This plan will position Delaware to create good-paying jobs, build an entrepreneurial ecosystem, and keep our state a competitive place to do business.”

Governor Carney’s plan calls for the creation of the Delaware Prosperity Partnership – a jointly funded public-private entity that will lead statewide business marketing efforts to recruit and retain businesses, including early-stage technology-based ventures, as well as large employers. The partnership also would provide support for startup businesses, with a focus on high-growth industries, and work closely with employers and education institutions to build and retain a talented workforce in Delaware.

Governor Carney’s plan calls for $2 million in annual state funding for the partnership, and $1 million in annual funding from private business. Contributions from the state would remain contingent on an ongoing, annual financial commitment from the private sector.

The Delaware Prosperity Partnership would be led by a Chief Executive Officer and governed by a 15-member board with members from the public and private sectors.

Governor Carney’s plan also would eliminate the Delaware Economic Development Office (DEDO), and shift responsibilities for small business development and tourism to a new division at the Department of State.

“This is about positioning Delaware to be competitive for good jobs moving forward,” said Jeff Bullock, Delaware’s Secretary of State. “By strategically partnering with the private sector, we can leverage business resources to strengthen the state’s economic development efforts, while continuing to support small business owners and promote our state’s $3 billion tourism industry.”

The new division at the Department of State will maintain a strong focus on supporting small business – especially women, minority, and veteran-owned businesses. It will help business owners identify available resources and navigate local, state and federal rules and regulations.

Division leaders also will administer Delaware’s publicly-funded economic development incentive programs, such as the Strategic Fund, the Main Streets program, and the Blue Collar Workforce Training grant program.

Governor Carney’s plan builds on recommendations last month from the Economic Development Working Group, a committee created by Executive Order #1 to study a new economic development strategy. Exploring a new model for economic development that includes a public-private partnership, and an emphasis on innovation and entrepreneurship, also was a recommendation of the Action Plan for Delaware.

Reaction to Governor Carney’s Plan:

“Even with the strongest economy in this region, Delaware can do better,” said Senator Jack Walsh, D-Stanton, a member of the Economic Development Working Group. “Bringing leaders from the private sector to the table adds a valuable new perspective to our economic development strategy and will help make our economy more dynamic over time. At the same time, Delaware is maintaining its firm commitment to empowering women, minority, and veteran-owned small businesses. Not all public-private partnerships are created equal, but the balance that we’ve struck here not only protects existing businesses and jobs, but also gives us a leg up in attracting promising new industries to our state.”

“There were two specific things I was looking for in considering this public-private partnership: One was there be a high level of transparency with the intermingling of public and private funds. I was concerned that it be as transparent as possible so the public would have every confidence that things were being done above board,” said Senator Brian Pettyjohn, R-Georgetown, a member of the Economic Development Working Group. “The second was to be sure this was not a New Castle County only solution for business development and that both Kent and Sussex Counties also had opportunities to reap the benefits of this new structure, proven to work very well in other states. I am satisfied both those conditions will be met.”

“This venture will put Delaware in a position to leverage the best that the public and private sectors have to offer to continue to strengthen and improve our economic climate,” said Representative Bryon Short, D-Highland Woods, a member of the Economic Development Working Group. “I look forward to working with this new partnership going forward.”

“This is not an end, it is a beginning,” said Representative Lyndon Yearick, R-Dover South, a member of the Economic Development Working Group. “Bringing the pragmatic knowledge of entrepreneurs into the process of creating a better business environment is a major step forward. Now we need to do realize the promise this concept holds for creating new, dynamic employment in Delaware.”

“We know that bringing additional, private-sector resources to Delaware’s economic development efforts can help strengthen our state’s ability to create jobs, grow the economy, and equip our workforce with the skills necessary to succeed in our new economy,” said Mark Brainard, President of Delaware Technical Community College, and co-chair of the Economic Development Working Group. “We are excited to support Governor Carney’s plan and look forward to making Delaware even more competitive moving forward.”

“This plan offers a real chance to dramatically re-think the way Delaware does business – by leveraging additional resources, and bringing more ideas to the table as we seek to grow our economy, attract talent to our state, and create good-paying jobs for all Delawareans,” said Rod Ward, President of Corporation Service Company, and co-chair of the Economic Development Working Group. “Private businesses are ready and willing to be a full partner in this effort, and help create the kind of entrepreneurial, innovation-based economy that will lead to real growth.”

Stay Up To Date With Delaware

7 APRIL, 2017

WILMINGTON, Del. – The Delaware Economic Development Working Group submitted its report to Governor John Carney on Friday, recommending a plan to implement a public-private partnership – the Delaware Prosperity Partnership – that would restructure Delaware’s economic development efforts.

The nonprofit partnership, as recommended by the working group, would leverage private resources to enhance business recruitment, promote entrepreneurship and innovation, support workforce development and provide market analysis on Delaware’s economy.

On January 18, his first full day in office, Governor Carney signed Executive Order #1, creating the working group to recommend a plan for implementing a public-private partnership to improve Delaware’s system of economic development.

Governor Carney is reviewing the working group’s recommendations.

“Delaware’s economy continues to undergo substantial change, and we should do everything we can to ensure Delaware is competing for the good-paying jobs of the future, preparing our workforce for those jobs, supporting our entrepreneurs and promoting innovation,” said Governor Carney. “It makes sense to ask the business sector to partner in those efforts. Thank you to the members of the working group for their attention to this important issue. I am committed to working with the General Assembly as we explore a path forward.”

A new partnership, as recommended Friday by the working group, would be designed as a forward-looking entity to anticipate economic trends – with success of the initiative defined by a set of metrics to include new job creation, higher wages, expanding Delaware’s high-quality talent base, growing Delaware’s tax base, and new business formation.

The working group’s plan does not call for a full replacement of the Delaware Economic Development Office. Under the group’s recommendations, DEDO would remain responsible for administering the Delaware Strategic Fund, Delaware’s Tourism office, business development initiatives and various additional functions.

The Delaware Prosperity Partnership would be led by a Chief Executive Officer and governed by a 15-member board with members from the public and private sectors. Friday’s report anticipates a total annual budget of $2.5 million – with the private sector funding a target of 40-60 percent of the nonprofit’s operational costs.

“The members of the working group were honored to serve the Governor on this project and brought a lot of energy, commitment and great thinking to the process of developing the final report,” said Mark Brainard, President of Delaware Technical Community College, and co-chair of the Economic Development Working Group. “The literature shows that states that want to bring additional resources and talent to their economic development initiatives in the future utilize public-private partnerships as a mechanism for generating these additional resources and this proposed model is a very solid start for the Governor’s team and the General Assembly to build upon during the weeks and months ahead.”

“I want to thank all the working group members for their active and thoughtful participation,” said Rod Ward, President of Corporation Service Company, and co-chair of the Economic Development Working Group. “Our report outlines a wonderful opportunity for the business community to work more closely with the state on economic development through a public-private partnership. It can be a game changer for economic growth.”

Stay Up To Date With Delaware

9 FEBRUARY, 2017

WILMINGTON, Del. – Governor John Carney announced Wednesday the members of the Economic Development Working Group who will develop recommendations for implementing a public-private partnership at the Delaware Economic Development Office.

The working group will explore how state government can work with the private sector to improve economic development efforts in Delaware, including ways to attract new, growing companies to the state, build a stronger entrepreneurial community, and support innovation.

“Over the next several weeks, the working group will explore how we can best position Delaware to be at the top of the list for businesses looking to start-up, grow or relocate,” said Governor Carney. “We will work with private industry to help grow our economy so that Delaware can compete for good-paying jobs.”

The Economic Development Working Group members include:

• Mark Brainard – President, Delaware Technical Community College (Co-Chair)
• Doneene Damon – Executive Vice President, Richards, Layton & Finger, P.A.
• Mark Kleinschmidt – President, New Castle County Chamber of Commerce
• Nick Lambrow – President, M&T Bank, Delaware Region
• Jim Maravelias – President, Delaware AFL-CIO
• Terry Murphy – President, Bayhealth Medical Center & Chairman of the Delaware Business Roundtable
• Mona Parikh – Community Engagement Liaison, UD Horn Program in Entrepreneurship
• Sen. Brian Pettyjohn – Senate Republican Caucus
• Albert Shields – Policy Director, Office of Governor Carney
• Rep. Bryon Short – House Democratic Caucus
• Richelle Vible – Executive Director, Catholic Charities
• Sen. Jack Walsh – Senate Democratic Caucus
• Rod Ward – President, Corporation Service Company (Co-Chair)
• Bernice Whaley – Director, Delaware Economic Development Office
• Rep. Lyndon Yearick – House Republican Caucus

The working group will begin its work in February and report back to Governor Carney by April 7, 2017. The group includes a member from each of the General Assembly’s four caucuses; four representatives from the business community; the Director of the Delaware Economic Development Office; the Governor’s Policy Director; and representatives from the nonprofit sector, higher education, labor and the public.

The Economic Development Working Group was established by Executive Order Number One, which Governor Carney issued on his first day in office.

Text of Executive Order

EXECUTIVE ORDER NUMBER ONE

TO: HEADS OF ALL STATE DEPARTMENTS AND AGENCIES

RE: CREATING A WORKING GROUP TO CONSIDER A PUBLIC-PRIVATE PARTNERSHIP BETWEEN THE DELAWARE ECONOMIC DEVELOPMENT OFFICE AND DELAWARE’S BUSINESS COMMUNITY

WHEREAS, Delaware’s economy is undergoing a fundamental shift toward industries and employment that require innovation and higher levels of skill.

WHEREAS, Delaware must embrace this change and focus its economic development efforts on making investments that result in jobs for Delaware workers, maintaining a business climate and infrastructure that supports economic growth, and developing a culture of entrepreneurship to grow the industries and jobs of the future.

WHEREAS, Delaware’s business community has valuable information about emerging markets, the skills needed in a modern workforce, and resources to invest in new opportunities.

WHEREAS, the strength of Delaware’s economy will increasingly rely on identifying opportunities for growth and developing a well-trained workforce to meet the needs of existing and potential Delaware companies.

WHEREAS, allowing the Delaware Economic Development Office to work in partnership with Delaware’s business community will enhance the resources available for job creation and economic growth.

NOW, THEREFORE, I JOHN C. CARNEY, by virtue of the authority vested in me as Governor of the State of Delaware, do hereby declare and order the following:

1. A working group is hereby established to study how Delaware’s public and private sectors can work together to improve the process of economic development in Delaware, including, in particular, to attract more growing and fledgling companies to the state and to build a stronger entrepreneurial community (the “Working Group”).

2. The Working Group shall consist of no fewer than 14 members to include:

a. Four members of the General Assembly, to include one member from each of the House Majority and Minority caucuses, who shall be appointed by the Speaker of the House, and one member from each of the Senate Majority and Minority caucuses, who shall be appointed by the President Pro Tempore of the Senate;

b. The Director of the Delaware Economic Development Office (DEDO);

c. Four members of Delaware’s business community, to be recommended by the Delaware State d. Chamber of Commerce;

e. The Governor’s Policy Director; and

f. Representatives from the higher education, non-profit and labor union communities, and one member of the public, to be appointed by the Governor.

3. The Governor may appoint a chair and vice-chair, or two co-chairs, one each from the public and private sectors.

4. The Governor may increase the size of the Working Group and appoint additional members at his pleasure.

5. The Working Group shall convene in February and shall consider at least the following matters:

a. All duties and responsibilities of DEDO mandated by the Delaware Code and other applicable Delaware law;

b. All additional duties and responsibilities currently being undertaken by DEDO;

c. Current DEDO staffing and funding levels;

d. The extent to which other states in the United States have used public-private partnerships (PPPs) as a tool to promote innovation and build an entrepreneurial community, the significant features of those partnerships and the degree to which they have achieved measurable results; and

e. The conditions necessary to making effective use of a PPP to foster economic development in Delaware.

6. No later than April 7, 2017, the Working Group shall produce a report to the Governor that includes at least the following:

a. Policy recommendations regarding the use of a PPP to foster economic development in Delaware, particularly in the area of strengthening the environment for entrepreneurs;

b. The features essential to the success of any recommended PPP, including but not limited to a proposed governance structure and an estimate of necessary appropriations from the General Assembly;

c. A proposed process and timeline for implementing any policy recommendation; and

d. A draft of any necessary implementing legislation.

7. The Working Group shall dissolve on April 7, 2017 unless reconstituted by further executive order.

APPROVED this 18th date of January 2017.

Stay Up To Date With Delaware