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Dade City votes 4–1 to terminate Retail Strategies contract; third-year $40,000 payment canceled
Summary
The commission voted to end the city's three‑year Retail Strategies agreement after criticism that the firm produced few measurable results; the city had paid two years (about $80,000) and declined to authorize the $40,000 third‑year payment.
The Dade City Commission voted 4–1 April 22 to terminate the three‑year economic development agreement with Retail Strategies (Agreement 2023‑05), ending the city's relationship after two full contract years and avoiding the third‑year payment of $40,000.
The termination motion, made by Commissioner Shive and seconded by Commissioner Church, passed on a roll call vote with Mayor Scott Black the lone dissent. City Attorney Brackens read the contract's termination clause (section 6(a)) to the commission: "The client may terminate this agreement at any time for any or no reason upon delivery of 30 days prior written notice to the consultant. Any portion of the consulting fee paid prior to such termination of this agreement is earned when paid and nonrefundable." Staff said the city would give 30 days' written notice as required by the contract; the city had paid the first two annual fees and staff confirmed a third annual payment had not been executed.
Commission debate centered on whether the $40,000 annual fee was justified by measurable deliverables and whether the city was seeing businesses arrive because of Retail Strategies' work or for other reasons. Commissioners supporting termination argued the city had received limited concrete deliverables for the money and cited a list of businesses that entered the market "organically," including a Chick‑fil‑A, Dairy Queen, 7‑Eleven and other retailers mentioned during the meeting. Commissioner Shive said the city should "cut our losses" and redirect efforts to internal staff and mapping/enclave work that would position parcels for development.
Opponents of termination urged completion of the three‑year plan. Mayor Black argued the contract was structured as a three‑year effort — discovery, marketing and deal‑closing — and warned that pulling out now risked wasting prior expenditures and might undercut the city's credibility with potential investors. He urged commissioners to give the contract its full term and not to "spend another night with the frogs," a metaphor he used to urge more immediate action rather than postponement.
Community and economic development staff and the newly introduced economic development director (speaker on record but not identified by name in the transcript) also addressed the commission, saying the city has limited staff capacity to perform full market outreach and that outside consultants can augment staff capacity; others said the same dollars would be better used to improve the city's own marketing materials, parcel mapping and broker relationships.
Ending
The commission voted to terminate Agreement 2023‑05; staff will deliver written 30‑day notice per section 6(a) of the contract. The termination avoids the third annual payment of $40,000; the city had already paid two annual fees (approximately $80,000). Commissioners directed staff to inventory deliverables received from Retail Strategies to date and to consider reallocating funds to internal economic development, parcel mapping, and downtown improvements.
