Kalamazoo, Regional and National Highlights
A Community Benefits Agreement is a legally enforceable contract signed by community groups and by a developer. It sets forth certain community benefits that ensure the public subsidy best contributes to public needs. The CBA acts as a negotiation process between the developer and organized representatives of affected communities. After discussion with the community alliance, the developer agrees to operate in a certain way or to provide specific community benefits.
With every major development in a region, local government provides certain subsidies, or financial support, to attract new businesses. These subsidies are supported with taxpayers money to provide economic growth for the area. Developments that are applicable for a CBA are very large-scale projects that take on millions of dollars in subsidies; they would not include local small business or small-scale chain-store developments.
For example, a new Walmart would likely be applicable for a CBA. A new Friday's, on the other hand, would not be a reasonable target.
Not every development is beneficial for the community. Ways in a which a developer could fail to meet a communities needs:
Whatever the reason, a community benefits alliance seeks to allieviate the concerns posed by a developer and build a relationship between the developer and the community that benefits both parties. The business gets the support of the community and the revenue that comes with the praise of a loyal consumer base. The community gets a higher standard of living and economic flexibility.
