CONNECTICUT DEVELOPMENT AUTHORITY (CDA) BOARD
(CGS § 32-11a (c))

● An 11-member board of directors governs this quasi-public agency, which provides low-cost financing for businesses relocating or expanding in Connecticut. The governor appoints four members and the chairperson. (Legislative leaders appoint four members, and three members are state officials serving ex-officio. )

● The board: (1) adopts written procedures for operating the authority, (2) appoints CDA's executive director, (3) creates its subsidiaries, (4) acquires property and contracts for services, (5) issues and retires bonds, and (6) approves loans and requests for other types of financial assistance.

QUESTIONS

1. The governor proposes merging CDA and the state's other economic development quasi public agency, Connecticut Innovations (CI). How would this affect CDA? Do these agencies serve the same types of customers? Are their missions and culture compatible?

2. At a recent hearing, a CDA official explained how CDA makes decisions quickly, more like a business than a government agency. In what ways is CDA different than a government agency? How does operating independently of the governor and the legislature benefit CDA and its customers?

3. As a CDA board member, how did the board set CDA's goals and objectives and oversee its operations? Now that you're moving up to board chairperson, will you change the way the board performs these functions?

4. CDA's policies and programs, together with those of many other agencies, comprise the state's business model for developing the economy. A recent CBIA Business Minute warned businesses about losing touch with changes in the market.

n Have our economic development agencies lost touch with trends in the Connecticut economy?

n How would you revamp our business model?

n Do we need to change our policies and programs and the way we implement them?

n Who are CDA's customers and how are they different from a bank's?

n How does CDA stay in touch with its customers?

5. What's the state of manufacturing in Connecticut? What does the sector need to do to thrive here? How does CDA address its needs?

6. The Responsible Growth Office and the five-year State Plan of Conservation and Development require state agencies to encourage development where roads, sewers, and other supporting infrastructure already exist and away from farms and open space land in remote, undeveloped areas.

n How does CDA implement this policy?

n How many contaminated sites have been cleaned up and redeveloped with CDA dollars and what was the cost?

n How many loan applications has CDA denied because the proceeds would be used to developed unspoiled land in a rural area?

7. The law requires CDA to collect data on the number and types of jobs it customers create. Does this measure capture all the ways CDA contributes to the state's economic growth? How does CDA know if it made a difference to the economy? What would our current economic condition be like if CDA didn't exist?

8. Your resume shows that you are a member of organizations dealing with small businesses and those owned and operated by families and women. Are these types of businesses typical of CDA clients? Should they be?

9. How does CDA stimulate and support entrepreneurial activity?

10. The law requires CDA's board to give priority to high performance work organizations. How does the board determine if an applicant is a high performance work organization?

11. The governor's October 31, 2008 press release announcing the $ 100 million business loan program stated that Connecticut banks are strong because they didn't deviate “from prudent, stable lending practices. ” If our banks are strong, then why do we need this program? What need, gap, or weakness does it address? What is the demand for the program? How many businesses have applied for loans since the program began and what is the total value of the loans?

12. How many businesses have subscribed to CDA's new e-newsletter? What role is CDA playing in the governor's recent efforts to inform businesses about state and federal economic assistance?

13. CDA recently reported a net loss of $ 9. 4 million in the 2008 fiscal year, the fourth loss since 2005. What's the nature and cause of these losses? How have they affected CDA's capacity to make and guarantee loans?

JR: df/ts