Agency overlap an 'age-old concern'
Published Saturday July 4th, 2009
Development Agencies from various levels of government all jump at opportunities to help entrepreneurs, but create headaches instead - the Enterprise Network wants to remedy this
When Gene Fowler formed the now-defunct Fatkat Animation Studios, the Miramichi entrepreneur found it tough to know which government agencies to seek out for help in growing his firm.
"Starting out, it is confusing - who do you go to?" Fowler said.
But after eventually accessing support, Fowler was brought into the fold of a group of agencies branded Team Miramichi, which work together to simplify delivery of business growth programs.
While Fatkat is no longer around, the process that helped Fowler's company worked, he said.
Economic developers from federal, provincial and regional agencies would visit his office together to talk about funding help, labour force development and the sort.
Team Miramichi currently meets once a month to go over active files handled by all organizations to make sure companies are being serviced in the best way.
"We can look to see who is there from a funding perspective - grant perspective, loan perspective," said Brian Donovan, the executive director of Enterprise Miramichi.
The approach is now being eyed by the Enterprise Network as a model to reduce duplication across the province.
After months of consultation, the Enterprise Network - which oversees 14 local agencies - has managed to bring together its federal, provincial and regional counterparts in a move to take a hard look at each agency's role and if community needs are being met.
Richard LeBlanc, the executive director of the network, plans to lead a study of the Miramichi example as well as how Moncton - a city - facilitates the agencies, before reporting to his board in September on whether to look at the rest of the province.
LeBlanc has brought on board Business New Brunswick, the Atlantic Canada Opportunities Agency, the Department of Post-Secondary Education, Training and Labour, the Community Business Development Corporations and the Regional Development Corporation for the project.
Don Desserud, a political science professor at the University of New Brunswick, said overlap among agencies is an age-old concern, but one not well comprehended.
"I'm not sure we understand what the problems are," he said.
The Canadian Federation of Independent Business says agencies from various levels of government - all jumping at opportunities to help - create headaches for an entrepreneur.
"There is a lot of confusion in the community about who does what," said Leanne Hachey, the group's vice-president for the Atlantic region, adding that the confusion often means entrepreneurs avoid seeking aid.
Hachey advises that a one-stop shop for economic development programs be formed, similar to the federal-provincial BizPaL website set up to help entrepreneurs access information about permits and licensing.
"They just go to one place and it tells them where to go. It puts the onus on government to share their information," Hachey said. "It's the same philosophy here."
But Donovan said his group's model is based on the Enterprise agency acting as the entry for a company, after which point other agencies could be tapped.
And while the Enterprise Network wants to reduce duplication, Donovan said the issue is more about an appearance of duplication.
"What you're seeing is variance in funding programs," he said, pointing out that a business owner who may not qualify for one agency's loans or grants, it could meet the requirements of another's.
But while the move to trim the fat in economic development is a good one, it's not likely to mean a massive shift in the status quo, according to Pierre-Marcel Desjardins.
The Université de Moncton economics professor - who helped train staff at several provincial Enterprise agencies upon their formation - applauded the initiative but said redundancy won't entirely be avoided.
"To me, in real politics, in the real world, it remains a question of minimizing, not eliminating," he said.
Desjardins explained that with federal and provincial governments both having the constitutional right to spend dollars on growing the economy, each has its own agenda.
"Often you've got a new government that often for very good reasons, says, 'We want to put our own stamp on initiatives so we want to try something else.' "
He also pointed out the challenge the Enterprise Network faces in creating change, since the bulk of the organization's funding comes from Business New Brunswick, the Atlantic Canada Opportunities Agency and the Regional Development Corporation.
"It's the client telling the boss how to better operate."
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