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AGENDA DISCUSSION ITEMS <br />MOTION: Sarmiento <br />SECOND: Martinez <br />VOTE: AYES: <br />Martinez, Sarmiento (2) <br />NOES: <br />None (0) <br />ABSENT: <br />Benavides(1) <br />1. Approval of Minutes from Regular Economic Development, Infrastructure, <br />Budget and Technology Committee Meeting of May 14, 2018. <br />2. Approval of Minutes from Special Economic Development, Infrastructure, Budget <br />and Technology Committee Meeting of June 14, 2018. <br />(Item 5 taken out of order) <br />5. Santa Ana Resident Vehicle Incentive Program — Staff Recommendations <br />(Strategic Plan No. 3, 1f) - (CDA) <br />Steven A. Mendoza, Community Development Executive Director, provided <br />presentation on the Santa Ana Resident Vehicle Incentive Program — The Orange <br />County Auto Dealers Association requested from the City to develop a Resident <br />Vehicle Incentive Program where Council Members directed staff to expand the "Shop <br />Local Program". The VIP Program is to offer a $500 rebate to Santa Ana residents who <br />purchases a new or pre -owned automobile from a franchise Santa Ana Auto <br />Dealership. The VIP Program becomes a new component of the "Shop Santa Ana" <br />encouraging residents to spend the $500 in our local shops and restaurants. It will help <br />boost our local economy. It will also provide an opportunity for the local auto <br />dealerships to expand increasing the number of jobs for our residents. Details of how <br />the money will be reimburse to the dealerships still in progress. It will be effective upon <br />Voter approval of Measure X. The VIP Program will exclude leases. Franchised <br />dealerships only within the City boundaries. They will exclude dealers with city <br />agreements. Looking at budgeting $100,000 annually for the rebate and $25,000 for <br />marketing. After feedback tonight, we will come with a final draft at City Council <br />Meeting on September 18th for consideration. And start on April 15i, 2019 with a 5 -year <br />extension. <br />Peter Whittingham, Founder and CEO of Whittingham Public Affairs Advisors spoke in <br />support of the Vehicle Incentive Program. Suggested the program run the length of the <br />sales tax. Mr. Whittingham stated that the rebate will go to the residents not the <br />dealers. Suggested that those dealers that have incentives directly with the City be <br />excluded. The city will still receive the share of the existing sales tax from the proceeds <br />of sales to the Santa Ana residents. Mr. Whittingham encourages to include Leases to <br />the program as these vehicles are higher priced, more money spent, more revenue to <br />the city. <br />Question and answer period ensued. <br />August 20, 2018 1 Economic Development, Infrastructure, Budget & Technology Minutes <br />13A-4 <br />