1. Creating Local Enabling Business Environments
WELCOME
Creating Local Enabling Business Environments
19 July 2018, Perth, Western Australia

2. Economic Development Australia
EDA is a specialist, national body open to all with a professional interest or involvement in economic development. Members are practitioners employed in local government, regional development agencies, state government departments and as private sector consultants. Committed to supporting economic development practitioners to increase the social, economic and environmental prosperity of communities across Australia.

3. EDA WA State Practitioners Network
Goals for :
Become a recognised leader and advocator in economic development
Build a broad, active and learning network of economic development practitioners
Priorities for :
Build our profile and credibility
Create meaningful partnerships (e.g., WALGA)
Professional development and networking

4. EDA WA State Practitioners Network
Future WA events in 2018 (open to members and non-members):
Series of informal practitioner ‘gatherings’
Next, 9 August 2018, Jacqueline Brinkman, Executive Officer, EDA National
Seminar: Role of local government in tourism development
Seminar: Infrastructure development and freight logistics; practitioner issues and the management of lack impacts
Seminar: Supporting place-based economic development and entrepreneurship
Economic Development Awards for Excellence 2018
Nominations close tomorrow!
National Economic Development Conference
Rockhampton, October 2018: Call for papers closing 31 July 2018

5. TODAY’S SEMINAR Creating Local Enabling Business Environments
Examine the role of local government in setting the business environment for private business growth. Explore the ways economic development, planning and regulation can be better integrated to improve the conditions for local business growth.

6. 2:00PM
Welcome, introduction, purpose
2:10PM
Local business environments, private investment and the role of local government
Simon White
2:40PM
The role of local government in economic development
Dana Mason: WALGA
3:05PM
Creating small business friendly local governments
Lauren Westcott: SBDC
3:30PM
Tea and coffee break
3:50PM
Local planning reforms toward for a more enabling local business environment
Shane Greive: Curtin University
4:15PM
The trials and triumphs of local reforms: City of Vincent
Len Kosova: Vincent
4:40PM
Panel of speakers: Questions, answers and final comments
5:00PM
Close and official seminar debrief
The Aviary (drinks at own cost)

7. Simon White Publicus Pty. Ltd. 19 July 2018, Perth, Western Australia
Business Places Creating Better Local Business Environments in Western Australia
Simon White
Publicus Pty. Ltd.
19 July 2018, Perth, Western Australia

8. Economic development and local government
Schizophrenic governments?
Economic development
Governance
Opportunities for better synergy and alignment
Private investment drives growth, jobs and services
Large manufacturing businesses
Local cafés and restaurants
Micro businesses
Existing business community
Potential new businesses
ALL INVESTORS IN THE LOCAL ECONOMY

9. Local private investment drives growth, jobs and services Local business environments affect local investment decisions
Business
environment
Markets
Enterprise
dynamics

10. Local Business Environment
Policies and strategies
Statements of intent: How council will promote economic development, small business, etc.
Local planning policy
Local economic development policy/strategy
Small business policy/strategy
Home-based business policy/strategy
Laws and regulations
Governance mechanisms: How council governs the business sector
Local Planning Scheme
Structure Plan and Local Development Plan Frameworks
Development (Planning) Approval
Building codes
Health regulations
Local licenses and permits
Institutional arrangements
Engagement mechanisms: How council interacts with, and responds to local businesses and investors
Business Advisory Group
Local SME Forums

11. Why the business environment is important
Investors have a choice
High start up costs lower productivity and reduce competitiveness
Good regulation:
More effective (better coverage, better results)
More efficient (less cost, focused, responsive)
Regulatory Best Practice

12. Business environments reflect our place in the global economy
The Australian business environment has room for improvement
New Zealand!
World Bank: business environment reforms affect GDP
State and local business environments are critical
Especially in a federation

13. Better business environments
Reduce costs
Business regulation becomes more efficient (to business and government)
Reduce risks
Business regulation is transparent, rule- based and predictable
Increase competitive pressures
Open to new entrants, not protecting existing businesses against competition

14. Creating better local business environments
Policies and strategies for economic and business development
Identify local challenges, problems and opportunities and help economic actors to respond
Provide a vision
Framework for council to act
A basis for working with other tiers of government, business, academia, and the local community
Local laws and regulations
Govern business activities in an efficient and effective manner: a realistic and proportionate response
NOT about de-regulation
Rather SMART regulation
Institutional arrangements
Improve dialogue between council and the local business sector
A government that listens––beyond consultation
Engage diverse business stakeholders
Facilitate links between businesses and other actors

15. Outcomes of a better local business environment
Business compliance costs reduced
Less time, fewer steps, lower direct costs
Local government costs reduced
Less time, few steps (automation)
Inspection costs reduced: away from universal (low risk) inspections
Rates of business compliance increase
More complexity leads to lower compliance
Simpler, more transparent systems improve compliance
Increased local government revenue
More compliance can lead to more local government revenue
More business investment leads to more local government revenue

16. Some elements of an enabling local business environment
DIVERSE ENVIRONMENT
Different industry sectors (diverse and specialised)
Range of business sizes (micro, small, medium, large)
Different types of owners (e.g., women and men, migrants)
Found in different locations
VIBRANT LOCAL ECONOMY
Signs of competition
Many businesses starting… and failing
Signs of business growth
INNOVATION
Business is responsive to markets
Signs of people doing new things: new products, services, business models
Governments responsive to changes
Competitiveness of local firms increases
LINKAGES
Sub-contracts between micro, small, medium and large-scale enterprises
Joint ventures
NETWORKS
Access to advice, information (business and technical), support, etc
Strong independent business organizations
Regular government engagement with the business community

17. Small Business Retail Regulation Review Victoria 2017
Uncoordinated:
Multiple licenses, permits and approvals
Cafés and restaurants can require up to 11 licences, permits, approvals from local and state governments––average additional cost per business of $16,000
Fragmented entry:
No single entry point for business owners to initiate the approvals process
Separate applications:
Often completed at different stages of the approvals process
No alignment:
Council departments and decision makers independently consider applications
Disproportionate:
Burden on businesses is disproportionate to the public risk

18. Regulatory reform cost savings to small business Victoria 2017
Assessed reforms
Estimated reform benefits to business (A$ million)
Improving access to regulatory information *
Reducing business approvals times
46-93
Development of standards for footpath trading
Development of standards for portable signage
1.2
Streamlining car parking approval requirements
Streamline fixed signage approval requirements
Online registration of fixed premises food businesses
Remove recording requirements for Class 3 food businesses 13
TOTAL BENEFIT TO BUSINESS
$ million
SOURCE: KPMG 2017

19. Source: Nous Group 2017

20. Source: Nous Group 2017

21. Options for reform Policies and strategies
Creating a competitive policy framework
Small business, home business, etc.
Public procurement
Payment terms for local suppliers
Laws and regulations
Digitisation, on-line processes, clear approval criteria
Introducing smart regulations (and reducing red tape)
Improving the planning and zoning system
Development applications
Alfresco
Signage
Parking
Institutional arrangements
Establishing platforms for regular business dialogue
One-stop-shop arrangements

22. Reform initiatives On-line business licenses, permits and approvals
SmartForms–online forms, hosting and support
Real-time tracking of progress (App tracker)
City of Brisbane (Qld.), City of Vincent (WA)
Provide business with a regulatory road map
Inter-linkages between permits (what comes first)––adjudication criteria– –fees––indicative timeframes
Council concierge
A single entry point for business owners
Helps identify required permits and provides continuous service throughout
Parks Shire (NSW)
Shift from sequential to concurrent processing
30-day (15-day) payments
Business Owners Bill of Rights
New York City
Shift from ‘consultation’ to ’dialogue’
Beyond approving drafts
Visitation programs
Online engagement
State support for local reforms:
Western Australia: SBDC Business Friendly
Service NSW: Easy to do Business Program

23. Challenges for local government
How to more effectively align economic and business development with planning and governance regimes
How to effectively engage with and respond to local investors–of all kinds!
From ‘consultation’ to ‘dialogue’
How to improve regulatory and planning regimes
Increasing transparency
Reducing costs and risks
Improving coverage and effectiveness

24. Comments, questions
THANK YOU