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AG 2011 12 19
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AG 2011 12 19
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Last modified
1/9/2012 2:43:55 PM
Creation date
11/27/2017 11:20:47 AM
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Meeting Minutes
Doc Type
Agenda
Meeting Minutes - Date
12/19/2011
Board
Board of Commissioners
Meeting Type
Regular
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Draft 1.1 -- Not for Distribution or Circulation <br />Oregon —same cost and same quality. Would you make the substitution ?" If the <br />deal were done, the Marketplace got a finder's fee from the Oregon cloth <br />manufacturer. The Oregon Marketplace came close to covering its administrative <br />costs but never quite got there – but this occurred in a largely pre - internet era. <br />With a well designed software package, this concept could become a viable <br />means of promoting regional purchasing. <br />B2G Midwife – About one of every four dollars in the United States is spent by a <br />procurement agent (federal, state, county, or local). Because these purchasing <br />agents favor bulk purchasing, they tend favor bigger corporate suppliers. Why <br />mess around with hundreds of local farmers to provide foodstuffs for a school <br />lunch program when you can enter a single contract with Sysco? But there's no <br />reason why a community could not create a "middle person" who would <br />consolidate local businesses into a collective bid, facilitate aggregation of <br />delivery, and take responsibility for all the paperwork—in exchange for a finder's <br />fee. Farm -to- school programs show the viability of these programs, though few <br />have run professionally or profitably yet. <br />A second category in which meta - businesses are promising is in local business <br />partnerships, where collective action can improve the cash flow for a group of <br />participating businesses. In each of the following examples, the valuable business service <br />provided by the meta - business could be covered by participating businesses through an <br />annual fee or per -use charge: <br />Procurement Cooperative Because bulk purchasing brings down costs, a local <br />business network engaged in collective purchasing could improve the <br />competitiveness of its members. Tucson Originals, for example, services its <br />member food businesses by purchasing in bulk foodstuffs, kitchen equipment, and <br />dishes. The DC -based BALLE network, run by the Latino Economic <br />Development Corporation, collective buys cheap "green power" for its members. <br />Collective purchase of health insurance on the emerging national exchanges is <br />another possibility. <br />• Local Business Mall A local business network could take the lead in creating a <br />small- business mall like Pike's Place in Seattle which has served as a tremendous <br />anchor for tourists and regional consumers. The network would essentially <br />become a commercial developer. Alternatively, it could hire a commercial <br />developer with expertise in local- business malls. For small towns, this could also <br />translate into a targeted effort by a group of businesses to reclaim, revitalize, and <br />even repurchase the downtown area. <br />Direct Delivery – To compete with the convenience of shopping malls or mail - <br />order services, a local business alliance could set up a direct delivery service, as is <br />being done right now in Edmonton, Canada. Amazon says they can get <br />consumers a book in 24 hoursa local delivery service should be able to do so in <br />24 minutes. This would be especially welcome by consumers who are single <br />37 <br />Attachment number 1 <br />1 -4 Page 339 <br />
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