Some might be surprised to learn that the ninth-largest U.S. city doesn’t have a person solely responsible for recruiting new development. That’s about to change as the Dallas Economic Development Corporation is advertising a position for its first-ever CEO.
Dallas does have an Economic Development Department with a council-approved policy and Director Robin Bentley leading the charge to negotiate and close real estate deals, but it was just last year that the city formed an EDC, overseen by a 15-member board of directors.
EDC board president John Stephens spoke exclusively to daltxrealestate.com this week about the plan going forward.
“We can make a difference,” he said of the EDC board. “We can generate jobs. We can generate investment, particularly in underserved areas of Dallas. You’ve got to keep the core of the metropolitan area healthy. You’ve got to keep the heart of the body healthy.”
“Living wage-plus” jobs and new development in underserved areas will benefit the entire city, Stephens added.
“If I’m a Preston Hollow guy and my street has got a lot of potholes and I want to get them fixed, the best way to do that is [invest in] the whole city’s economic situation, so there’s enough money to fix my potholes,” he said. “Personally, I believe a good job is the best solution long-term for many of the social challenges we face, whether it’s food deserts, affordable housing, medical care, or crime. I believe people want to work.”
Global consulting firm Korn Ferry is handling the CEO hire and posted a lengthy job description Sept. 26.
Economic Development Corporation
When asked about economic development in Dallas, all stakeholders are quick to point out that Robin Bentley does an excellent job as the department director. In addition to being an attorney and a certified housing development finance professional, Bentley also has served as the interim CEO of the EDC.
“The city has had an interest in this,” Stephens said. “They have not had a separate vehicle that could bring, in our case, 15 independent board members to act as ambassadors for the community.”
Other cities have had EDCs for many years, funded through sales tax revenue. Dallas allocates its sales tax revenue stream to Dallas Area Rapid Transit, which may be why it’s taken so long to get an EDC in place, city officials have surmised. The Dallas EDC is currently funded by a $7 million grant and is planning to develop additional revenue streams.
The EDC does not have the authority to issue permits, grants, or tax incentives.
City Manager T.C. Broadnax serves as an ex-officio board member of the EDC and commented on the CEO search at a Downtown Dallas Inc. event last week.
“I think it’s a crucial and important step that council approved the creation of the EDC along with our equitable Economic Development Policy,” Broadnax said. “As the city of Dallas goes, the region goes. I think the EDC will and should play a pivotal role … I’m hopeful as they evolve, we can extend more authority and responsibility to them to do what normal EDCs do and focus on their long-term sustainability.”
The board members meet with the real estate community, educational institutions, nonprofits, and potential investors, while Bentley’s position requires some operational and administrative tasks that keep her in the office on a regular basis.
“They don’t have the manpower, womanpower, the staff, to support the kind of activity that the board can do,” Stephens said.
Last week, board member Gilbert Gerst met with District 8 residents alongside Mayor Pro Tem Tennell Atkins while Stephens was at the University of Texas at Dallas talking with educational leaders. Board members can, for example, get on the agenda at a Chamber of Commerce meeting or provide a presentation before the Dallas Citizens Council.
In addition to southern Dallas, the city is already looking at areas around the executive airport, Hensley Field, and the International District near the old Valley View Mall as potential sites for economic growth.
Stephens, a retired chief financial officer at AT&T, said the EDC board includes attorneys, bankers, former elected officials, and leaders in the arts community.
“We want to make sure we take advantage of every opportunity for the citizens of the city,” Stephens said. “That’s really what it’s about. It’s about opportunities — not only investments but jobs.”
Chief Executive Officer
The selection of the CEO is important because the board has a clean slate in steering “good growth,” Stephens said.
“All this setup is a lot of work and it’s time-consuming and it’s necessary, but by the same token, that’s just the first half of the job,” he said. “We’ve got to go get some wins for the people of Dallas.”
Dallas has one of the largest economies in the world, a huge talent pool, and a phenomenal educational circle within a couple hundred miles, the board president added. The city also offers the second-largest airport in the world, a strong rail system, and a great highway system, Stephens said.
“There’s a real diversity of business,” he said. “We have a really strong long-term economy.”
There has already been some interest in the CEO job posting — for which a salary is not specified — and Stephens said he anticipates a hire could be made in the first quarter of 2024.
“The better the pool is, the better your candidate is going to be,” Stephen said. “We’re trying to cast a fairly open net to get all the best candidates into the pool.”
Stephens said he’s looking for a leader who “focuses on results as opposed to discussion.”
“We’re just trying to do what’s best for the city and the people,” he said. “I say ‘the city’ because it’s easy nomenclature, but the reality is the city is its people. I really believe people want to help themselves, but we’ve got to get out of the way and give them a chance.”
