HomeMy WebLinkAboutMemo - Mail Packet - 11/25/2025 - Memorandum from SeonAh Kendall re Update on Council Priority #3: Pursue an Intentional Approach to Economic Health
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Memorandum
Date: November 20, 2025
To: Mayor and City Councilmembers
Through: Kelly DiMartino, Cit Manager
Tyler Marr, Deputy City Manager
Jacob Castillo, Chief Sustainability Officer
From: SeonAh Kendall, CPA, Director Economic Sustainability, Economic Health Office,
skendall@fcgov.com
Subject: Update on Council Priority #3: Pursue an Integrated, Intentional Approach to
Economic Health
The purpose of this memorandum is to provide an overview of the City of Fort Collins’ Economic
Health Office (EHO) and its primary role and areas of focus. EHO supports a resilient, diverse,
and inclusive economy through partnerships, programs, and direct business assistance.
Background
Since the adoption of the Economic Health Strategic Plan (EHSP), economic conditions have
continued to change at a rapid pace. The cornerstone of EHO’s role has been to support
businesses and strengthen and stabilize the local economy. Throughout 2025, persistent
economic uncertainty has affected businesses nationwide, including those in Fort Collins. Fort
Collins businesses are experiencing high costs, tight labor markets and slimmer profit margins.
Achieving strong economic outcomes requires a coordinated, system-wide approach. EHO’s
role is to support and collaborate to ensure a customer-service-focused approach when working
with businesses.
Policy & Structural Shifts for Good Business Environment
Purpose: EHO’s work in policy and structural shifts within the City of Fort Collins is threefold: 1)
act as an internal advisor related to policy and business outreach and engagement; 2) Capital
Projects Business Liaison Program; and 3) perform economic impact analysis, as needed. Local
government policies and community infrastructure (capital investments such as roads, wet- and
dry- utilities, fiber, etc.) are essential to achieve community goals today and in the future. Yet,
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it’s equally important to evaluate policies and capital projects holistically to understand their
cumulative impact on businesses that support the local economy. Although some level of
disruption or cost increases are unavoidable, the City’s goal is to minimize these impacts
through strong partnerships and proactive coordination. EHO’s role is to support a more
business-friendly environment that promotes stronger economic outcomes across the
community. This work spans multiple departments and organizational boundaries, focusing on
creating a welcoming, solutions-oriented environment that reduces barriers to create conditions
where people and businesses can thrive, ultimately strengthening the overall economic vitality
of Fort Collins.
Primary Activities:
Capital Projects, Business Liaison Program
o In 2022, after hearing directly from businesses affected by City capital projects,
Council established this program, which funded dedicated personnel and grants.
The goal is to ensure clear communication, timely assistance, and meaningful
collaboration throughout construction. The Capital Projects Business Liaison
Program emphasizes early and frequent communication, coordinated support (to
the project team and businesses), and close working relationship with project
teams across Streets, Engineering, FC Moves, and Utilities to reduce disruptions
to the businesses whenever possible. A key measure of success has been the
collective shift among colleagues to proactively identify solutions that reduce
barriers for businesses and support smoother, collaborative project delivery. An
example of this is the 2025 Harmony Repaving Project where the project team
coordinated a temporary access re-route that allowed a retailer to remain fully
operational.
o Q1 – Q3 2025, EHO staff visited more than 465 businesses, held 35 coordination
meetings, and conducted 14 detailed one-to-one business visits in partnership
with the Capital Projects Manager. This work strengthens communication with
the business community and ensures their concerns are heard throughout project
planning and execution.
Internal Policy Advisor
o While individual policy changes may seem small, their potential combined effects
can have unintentional consequences that can weaken or hinder economic
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activity. EHO’s role is to bridge between business and policymakers by bringing
real-world insights, identify potential challenges and opportunities, and advocate
for practical solutions from the business community’s perspective to ensure that
business voices are not only heard but meaningfully reflected in policy.
Examples of Existing Work in Policy & Structural Shifts 2025
o Land Use Code: Commercial Code Update: EHO has worked with the
Commercial Code Update team to engage the business community to ensure
their diverse needs were heard throughout the decision-making process. A result
of this collaborative approach is the overhaul of the Change of Use process,
which was recently adopted by Council. The business community shared early
on in the engagement that the Change of Use process was too burdensome for
small business operators, oftentimes putting these projects at risk due to the high
financial cost. The new Change of Use allows for a quicker administrative
process, reducing site upgrade requirements for existing commercial spaces,
which saves the business time and money. This adjustment to the City's
regulatory framework eases business burdens (time, money, predictability) to
start a business in Fort Collins. The Commercial Code Update supports more
small, diverse, and locally owned businesses in commercial centers and aligns
with the City’s 15-minute community goals.
o Liquor License Proximity Changes: With the continued growth and popularity
of charter schools, more than 260 statewide, Fort Collins is seeing more charter
schools expand into commercial and industrial areas. This trend has created
unintended impacts on nearby businesses, particularly small, locally owned
restaurants, pubs, and liquor stores. Through engagement with affected
businesses, EHO identified a state and local liquor licensing distance
requirement that restricts new restaurants, pubs, and other alcohol-selling
establishments from locating within 500-foot of a school, college, or university.
The requirement can also complicate ownership changes for existing
establishments within this boundary. The City cannot regulate where public
schools choose to locate, however, it can establish exemptions from state statute
distance requirements. An example of this is the exemption to Colorado State
University’s (CSU) primary campus in 1997. EHO, in partnership with Planning
and City Clerk’s Office, are working toward an ordinance amendment that would
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remove the distance requirement for new liquor license application in commercial
and industrial zone districts. This would help restaurants, bars, liquor stores, and
similar businesses transition more easily between tenants, strengthening the
viability of small businesses in commercial spaces. This work is still ongoing and
will include additional stakeholder feedback from community partners to ensure
awareness and gather additional perspectives.
o Business Licensing and Certificate of Occupancy Verification: The City is
seeing a significant gap between businesses obtaining a Business and Sales Tax
License and businesses operating with a current Certificate of Occupancy. This
can pose a community risk, as buildings may not be verified as compliant and
safe to occupy. The processes for licensing and confirming safety of the
commercial spaces can feel disconnected, unrelated, and difficult to navigate.
Currently businesses are not required to verify their Certificate of Occupancy
when receiving a Business and Sales Tax License, and many are unaware that
the requirement exists. An internal team was created that includes Sales Tax,
EHO, Planning, Building, Liquor Licensing, and PFA to create a more
coordinated process to better inform businesses of their obligations. The internal
group worked with FC Lean to design a new process that ensures compliance
across the regulatory framework. In the interim, the City’s Sales Tax website
communicates and reinforces that applying businesses need a Certificate of
Occupancy.
Outcomes:
Reduce Barriers for Businesses to Start and Operate: The goal is to create a business-
friendly environment that enables companies of all sizes to contribute to economic and
community goals while operating in a city that supports their potential to thrive.
Supporting City’s 15-Minute Council Priority: Promoting a mix of neighborhood-serving
uses and fostering more adaptable, flexible, and resilient commercial areas.
Business Success is Fort Collins Community Success: Demonstrates that the City is
equally invested in the business success and reinforcing Fort Collins as a place where
businesses are valued and encouraged to grow.
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Strategic Business Retention, Expansion, and Attraction of Primary Employers
Purpose: Active engagement of primary employers through the Business Retention &
Expansion (BRE) program is the cornerstone to the economic stability and vitality of any
community. BRE visits provide proactive engagement with employers to address challenges,
connect resources, and identify growth opportunities. Primary employers, companies that sell
most of their products or services outside the region and bring those dollars back into the Fort
Collins economy, are essential to the community’s economic health. Primary employers bring
new dollars into the community, create high-quality jobs, strengthen local supply chains, give to
local charitable organizations, and provide economic stability.
In December 2023, Council adopted the 2023 Economic Health Strategic Plan (EHSP) to
include target recruitment of companies that support alignment with City’s economic, social, and
environmental goals, such as the attraction of regional supply chain targets that provide high-
quality employment opportunities.
Primary Activities:
Business Retention and Expansion Visits
o Q1 – Q3 2025, EHO visited over 145 employers, generating more than 1,000
referrals to City, regional, state, and federal partners.
o Insights from the BRE visits have helped strengthen the City’s relationship with
the businesses, and our partner organizations. Many of the BRE discussions are
on the higher cost of doing business, future investments in their business,
housing affordability for their workforce, workforce development opportunities,
and innovative ideas or solutions to everyday problems.
Examples of Direct Business Expansion Support
o AB HQ visit to thank the company for their continued investment in Fort Collins.
At the end of 2024, AB announced a $71M investment over the next 5 years to
support the modernization and implementation of carbon-neutral efficiencies and
upgrades to reduce AB’s greenhouse gases to make the Fort Collins Brewery the
2nd macro-U.S. brewery (12 AB U.S. breweries) to be carbon neutral. EHO
supported AB throughout the entire project, connecting AB to Larimer County
and FC Utilities incentives, as well as connecting AB to the Colorado Community
College System (and Aims/Front Range Community Colleges) to develop a
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training program focused on advanced manufacturing technology and situational
simulations for workforce new skill/upskill/reskill opportunities.
o BRE project expansion – Project Buster. Supported a local company, under a
project name, with a $54.7M expansion project to expand their center of
excellence site for R&D development of a high performing computing center. Two
labs will be expanded with significant investment in infrastructure (electrical and
HVAC upgrades). EHO supported Project Buster navigate the State of
Colorado’s CHIPS Zone Refundable Tax Credits, Larimer County’s Economic
Incentives, and FC Utilities infrastructure upgrades. These economic incentives
are valued at an estimated $4M and support the retention of over 250 high
quality jobs in Fort Collins.
Business Attraction
o EHO secured a $25,000 CHIPS marketing grant from the Governor's Office of
Economic Development and International Trade (OEDIT) on targeted
semiconductor attraction efforts. This funding supports the development of
marketing materials and outreach strategies that position Fort Collins as a
compelling location for semiconductor and semiconductor-adjacent companies.
The effort focuses on aligning Fort Collins’ strengths (research capacity, talent
pipelines, and clean-tech assets) with CHIPS industry needs to highlight the
City’s competitiveness while strengthening regional visibility within the national
CHIPS ecosystem.
o EHO has supported 22 Prospect Inquiries in 2025 in various industries such as
manufacturing, bioscience, clean energy, data centers, and more. Not every
prospect is viable or fits within the community values and goals. The collective
capital expenditure is estimated at over $9.4B and the potential for over 11,500
new jobs. Currently, EHO is working on 8 active prospects that could add
significant economic opportunity to our community.
o An example of an active prospect project is Project Ignis, a clean energy tech
company, looking to site their newest facility. Fort Collins is one of 4 sites still be
considered. EHO, in collaboration with Colorado State University, OEDIT,
Larimer County, and Visit Fort Collins recently hosted company representatives
to discuss and explore partnership in research and development, workforce,
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incentives, and regional collaboration. The potential project has an estimated
$3B capex and 1,100 jobs.
Outcomes:
Business/Market Intelligence: Enables the community to make informed decision-making
by identifying and filling market gaps, improving services, and partnering for sustainable,
innovative solutions to support and grow the local economy.
Business Success is Fort Collins Community Success: Demonstrates that the City is
equally invested in the business success and reinforcing Fort Collins as a place where
businesses are valued and encouraged to grow.
Reduce Job Loss and Enhance Economic Mobility: National data shows that
communities without consistent BRE efforts can lose 5 – 10% of local jobs each year
through business closures, relocations, or consolidations. If we are not paying attention
to our businesses, other communities certainly are by working to attract them to their
communities.
Small Business Resiliency (includes Access to Tools & Resources)
Purpose: Strengthening the small business1 ecosystem by improving access to tools, resources,
and navigation of city processes so entrepreneurs and small businesses can start, grow, and
thrive. In Fort Collins, small businesses (50 employees or fewer) make up 96% of all
businesses, underscoring the critical importance of this effort. This work takes a people-
centered approach to understand business’s needs - improving internal coordination across City
departments while also proactively addressing barriers, delivering solution-oriented customer
service that is timely and responsive.
Primary Activities:
Small Business Retention and Expansion Visits
o Q1 – Q3 2025, EHO has met with 65 small businesses for in-depth BRE visits or
small business resiliency listening session (in conjunction with City Manager’s
1 For purposes of this memo, the terms “small business” and “Main Street Businesses,” commonly used to describe locally-owned, “mom-and-
pop” businesses such as restaurant, retail, and service providers will be used interchangeably.
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Office) and completed mini blitzes where the team stops by every business within
a business district to discuss projects such as façade improvement opportunities.
o These proactive visits build positive relationships between small businesses and
the City, while understanding emerging needs, opportunities for growth, and
connection to resources. The insights help track issues before they become a
crisis.
Multicultural Business & Entrepreneur Center (MBEC)
o Q1 – Q3 2025, MBEC had 212 total appointments with 127 entrepreneurs.
Average staff time dedicated per client is 5 hours per entrepreneur.
o MBEC provides free one-on-one assistance for small businesses and specializes
in building relationships and trust with entrepreneurs and business-curious
community members facing language, cultural, or regulatory barriers.
Additionally, MBEC is a resource referral partner and supports the client connect
with other business support organizations. Thirty percent of MBEC appointments
were dedicated to licensing and permitting processes.
o An insight from these high-touch connections is the challenges of food-based
entrepreneurs and the lack or perceived lack of available commercial space.
EHO is working with partners on a Shared-Use Commercial Kitchen Feasibility
Study to explore and identify infrastructure opportunities to support food-based
entrepreneurs and address space, licensing, and affordability gaps. Results
expected in Q1 2026.
Internal Coordination of Business Services
o In 2018, the City established the Business Engagement Executive Team (BEET)
to strengthen the overall environment of doing business in Fort Collins. Managed
by EHO, with executive sponsorship from City Manager DiMartino, BEET works
to improve coordination across departments, align priorities, and resolve
systematic challenges, all with the goal of supporting businesses’ ability to
successfully launch and expand sustainability to ensure economic stability and
resiliency.
Additional Examples of Primary Activities the Small Business Team Activates:
o EHO has launched a Shop Fort Collins Campaign Program, in partnership
with community partners such as the Downtown Development Authority, Fort
Collins Area Chamber of Commerce, and Visit Fort Collins. This citywide
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awareness initiative is designed to encourage the community and visitors to
choose local businesses, helping to sustain and strengthen a diverse economy
and retail environment. By promoting local purchasing (and or delivery to a Fort
Collins address), the campaign not only supports local businesses but supports
vital sales tax revenues that fund essential services and the economic case for
local spending.
o In 2025, the City created a cross-department Rapid Response Team, bringing
together the City Manager’s Office, EHO, Planning and Zoning, Liquor Licensing,
Building, Poudre Fire Authority, and Sales Tax to address urgent business
issues, including situations with potential for business shutdown. The team
provides fast, coordinated support during crisis’s, violations, or potentially large
disruptions to help business navigate time-sensitive challenges.
Outcomes:
Improved Customer Service: A shared solutions-oriented approach through strong
cross-collaboration with internal and external partners to improve the business customer
experience.
Business/Market Intelligence: Informed process improvements based on business
experience to become more efficient and effective.
A “No Wrong Door” Approach: regardless of where a business enters the
system/process, they are connected to the right resource/support and receive correct
and consistent information.
Increase City Tax Base: Local businesses make Fort Collins, Fort Collins and are
oftentimes the front door to our community. Up to $0.79 of every dollar spent at a local
business stays in the community, reinforcing a stable and growing tax base. Strong
small business revenues benefit the entire community. Strong, reliable small business
revenues support the city’s ability to provide essential services and enables the
businesses to reinvest through job creations, enhanced infrastructure and services, and
continued circulation of dollars into the local economy. When small businesses thrive,
the entire community benefits.
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Workforce and Sector Partnerships for Economic Mobility
Purpose: While the City is not a direct workforce development service provider, it plays a vital
strategic role in shaping the conditions that enable the community and businesses to thrive.
EHO’s workforce efforts extend beyond supporting job creation; they address the systemic
factors that impact economic mobility and competitiveness. This work ensures that the talent
employers need is accessible, the local workforce is well-prepared, and the education/workforce
providers are aligned with industry demands. Access to quality talent/workforce is one of the top
concerns voiced by businesses (Primary and small businesses) during BRE visits.
Primary Activities:
Funding Partner and Collaborator of NoCo Works and Sector Partnerships
o A cross-county partnership with Larimer and Weld counties and regional sector
partnerships focus on building a connected regional talent ecosystem to improve
employer and employee access to workforce programs and resources.
LIGHTR (Local Industry Grant – Hire, Train, Retrain) Pilot Program
o The pilot program was developed in partnership with Larimer County Economic
and Workforce Development (LCEWD) Department to provide training access for
Main Street small businesses, and ultimately their workforce, that are often
ineligible for state-funded workforce grants. LIGHTR provides up to $3,000 for
employee upskilling and certifications in industries such as healthcare,
professional and technical services, construction, and food services.
o 17 Fort Collins small businesses were funded in the first round of LIGHTR grants,
which supported employee certifications, skill development and talent retention.
The remaining funds were deployed through CSU Extensions’ ServSafe Manager
Training to support food-based businesses meet industry standard requirements,
while also reducing access barriers. Results of the training will be reported on in
2026.
Examples of Activities:
EHO, in partnership with the Fort Collins Area Chamber of Commerce and LCEWD,
commissioned a two-county workforce data analysis to synthesize quantitative
findings to support and identify workforce development opportunities and challenges.
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This baseline information had not been formally updated since 2017, and the labor
market has changed significantly since COVID. In addition, the workforce data supported
the development of the Northern Colorado Job Quality and Access (JQA) tool, which
focuses on occupational data to provide insights on job quality (earnings, career
opportunity, and job stability) and job accessibility (barriers to entry, demographic
composition of occupations) over more than 700 local occupations to support better-
informed decision-making.
Outcomes:
Reduce Unemployment and Inequalities: These initiatives take a people-centered
approach to provide individuals with pathways for career and economic advancement,
which will lead to access to high quality jobs (define)
Increase Economic Growth and Competitiveness: A skilled local workforce attracts
businesses to start, relocate, or expand their investment to a local community. This
strengthens local industries and drives innovation, making the region more competitive
in the broader economy.
Access to High Quality Jobs and Labor Market: The Community Survey reinforces that
residents value a healthy economy and point to access to high quality jobs as a top
priority.
Innovation that Meets Community Goals (Clean- and Climate-Tech, Bio- and Life-Science)
Purpose: Fort Collins’ identity has long been rooted in innovation thanks to CSU, a premier R1
land-grant institution located in the heart of the city. CSU’s robust university-industry
partnerships, highly skilled talent pipeline and leadership in research and development,
specifically in clean tech and bio-life sciences, significantly strengthen the local economy. By
collaborating strategically with CSU and Innosphere Ventures, Fort Collins is well positioned to
leverage world-class researchers and emerging startups to drive the regionals innovation
ecosystem.
Primary Activities:
NoCo BioComm: In late 2023, a local entrepreneur approached EHO with the idea of
establishing NoCo BioComm to advance bioscience commercialization, strengthen the
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region’s growing bioscience economy, and foster shared growth and success across the
community. Since then, EHO has sponsored four events per year, which has had 315
attendees that representing over 35 companies and 20 partner organizations. The
network continues to draw a younger, more diverse, and highly collaborative audience.
Business Development and Commercialization: The City supports Innosphere Ventures
and Colorado State University to drive business development, innovation, and industry
attraction. Both organizations play a pivotal role in cultivating high-growth startups,
advancing applied research and strengthening the ecosystem. Their partnership, further
elevated by the NSF Engines CO-WY award, brings substantial federal funding to
accelerate breakthrough technologies and economic competitiveness. Fort Collins is
positioned to be the hub for cutting edge in climate tech and biosciences.
Outcomes:
Intentional, Integrated Collaboration between CSU and City: Alignment of goals to
leverage the research and development being developed within university walls to
support community goals in climate, clean tech, and bio/life sciences.
Workforce Development Draws Business Attraction: Supports knowledge transfer from
academic research to real-world application
Increase Economic Growth and Competitiveness: A skilled local workforce attracts
businesses to start, relocate, or expand their investment to a local community. This
strengthens local industries and drives innovation, making the region more competitive
in the broader economy.
Next Steps
Updating the City’s Business Assistance Package Guidance:
While City efforts have successfully retained companies using Larimer County and State
of Colorado tools, the City’s current Business Assistance Package has not been utilized
since 2017. Revisiting this guidance will allow Council to define the conditions for
incentivizing business investment in a way that reflects community values and priorities
that allows a clear, modernized policy that provides transparency and predictability to the
businesses when evaluating future investment and expansion decisions.
Updating EHSP SMART Goals:
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At the May Council Work Session, Council asked EHO to provide an update to the
EHSP 5-Year SMART goals. As this information is done on an annual basis, this
information will be available in Q1 2026.
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