Over the years, the City has had numerous inquiries about participating in the Sister Cities program. In 1961, the Sunnyvale City Council established a Sister Cities Citizens Committee to explore the prospects of establishing a Sister Cities program. As a result of this committee, in 1964 Council approved the first sister city relationship with the City of Chilean, Chile. This relationship lasted eight years and resulted in a number of civic exchanges between the two cities. In 1970, based on a number of political issues with the Chilean government, the City discontinued this relationship.

For the next 30 years, Council periodically looked at re-establishing a Sister Cities Program. However, based on the potential impact the program would have on City resources and staff time, Council declined to do so. Instead of a formal program, the City Council and staff have welcomed numerous visitors from all over the world to the community to learn more about it’s Planning and Management Systems and other programs. At the same time staff from the City has been invited to visit other countries to discuss Sunnyvale’s management framework and processes.

Policy 2.3: Support an expansion of exports and international trade including increased trade agreements with other countries, which preserve regional economic interests in terms of critical economic, labor, infrastructure and environmental concerns.

The goal of this report is to provide Council with a better understanding of various tools available in sharing information with other countries, including models such as the International Exchange Program (IEP) and Sister Cities Program, and how they operate. This report also provides a review of how other cities have structured their exchange relationships and the benefits provided by their programs. The report will conclude by identifying models for developing an International Exchange Program in Sunnyvale.

An International Exchange Program (IEP) is a reciprocal relationship between entities. This relationship exists in order to share experiences between a domestic and an international organization. The relationship involves an exchange between various components of a community to include elected officials, government employees, citizens, business leaders and students. The key reasons identified for having an exchange program are to:

• Create opportunities for people to experience and explore other cultures through long-term partnerships;
• Create an atmosphere in which economic development and trade can be developed, implemented and strengthened;
• Stimulate an environment in which partners can creatively learn, work, and solve problems together; and
• Collaborate with organizations in other countries with similar goals or cultural identities.

Within cities there are numerous types of IEPs. The types of programs vary based on the goals and the purpose the city has set for the program. Cities typically set-up an IEP for either Cultural Exchange, Educational Exchange or Economic Development opportunities. Economic Development opportunities however, are the most compelling reason for cities to establish exchange programs. Through this type of program, cities could use the development of international trade and commerce to maximize the economic return on the expenditure of municipal funds and staff time.

Within the realm of exchange programs, cities have the opportunity to participate in various types of exchange programs and relationships. These programs range from formal to informal exchange opportunities. Examples of the programs are:

• Professional & Student Exchange Programs,
• U.S. Government Sponsored Programs,
• Friendship & Community Programs, and
• Sister Cities Relationship Programs.

Most International Exchange Programs operate under the auspices of Sister Cities International (SCI). SCI is an international membership association responsible for recognizing and supporting sister cities relationships between U.S. communities and their international counterparts, and is headquartered in Washington, D.C.

The U.S. sister cities movement was developed in 1956 during a White House summit on citizen diplomacy, initiated by President Dwight D. Eisenhower. The partnerships were initially seen as a means to promote world peace and diminish the tensions of World War II. Since that time, they have grown to encompass all sorts of cultural, economic, and development-oriented activities. Originally a part of the National League of Cities, SCI became a separate, non-profit corporation in 1967 due to the tremendous growth and popularity of the Sister Cities Program.

Sister cities programs are locally based and focus on international interests and values that emerge from a local government’s collaboration with citizen volunteers. This occurs through an organizational structure officially approved by the local governing body.

Each community, together with its sister city, decides on the projects and activities to be undertaken. These can range from youth exchanges to economic development, and from humanitarian assistance to municipal cooperation. The program possibilities are as extensive and diverse as the sister cities network itself.

The goals of the sister cities movement are to increase global cooperation at the community/municipal level, promote cultural and educational exchanges, and foster community and economic development. Sister cities programs are built on a partnership between local government and citizen volunteers, and are often focused on the following objectives:

• Developing municipal partnerships between U.S. communities and communities around the world;
• Providing opportunities for municipal officials and their citizens to experience and explore other cultures through long-term community partnerships;
• Creating an atmosphere in which positive economic and community development can be implemented and strengthened given the realities of the new global economy; and
• Stimulating environments through which communities creatively learn, work, and problem-solve together through reciprocal exchanges and projects involving education, arts and culture, business, and professional/technical areas, such as health, the environment and public safety.

An International Exchange Program (IEP) can be started for many different reasons. The city selected and the purpose behind the program can have the most profound impact on the success of the program. For example, The City of San Antonio, Texas established a Sister Cities relationship with the City of Monterrey, Mexico in 1953. San Antonio, like many other Texas cities, has a rich heritage of Mexican culture both in its people and its architecture. Based on the geographical closeness and cultural connection, this relationship offers great potential for economic development exchange. The City of San Antonio has opened up two offices in the City of Monterrey, which serves as hub for the San Antonio business community. This relationship offers many services to its business community that includes trade leads and access to export services.

Other cities for instance may have a strong Asian or German population. This could be the reason for starting a program with an Asian or German city. Another reason for seeking an exchange relationship could be to provide the community an opportunity to learn about other cultures.

Within Santa Clara County various types of IEP’s exist. Most of the cities within the County are member of Sister Cities International (SCI). There are some exceptions within the County. The City of Campbell suspended its membership with the formal organization due to a lack of activity. They are currently part of a program that was set-up by the International City/County Managers Association (ICMA). This program facilitated a relationship between the city governments of Campbell and two cities in Mexico. The Cities of Cupertino, Gilroy, Los Altos, Milpitas, Morgan Hill, Mountain View, Palo Alto, San Jose, Santa Clara, and Saratoga are members of SCI. The City of Monte Sereno, seeking an international exchange opportunity, set up a Friendship City Program. This program was unsuccessful because of the lack of partnership interest from an international city.

Exchanging information with foreign cities offers a variety of benefits to each city. These benefits are similar to the purpose for establishing the program, which include economic development, international trade opportunities, increased cultural awareness, and various perspectives on public policy development. The key advantage of having an international exchange program is the potential for expanded economic development opportunities, as well as shared cultural learning.

To achieve this purpose, the investment by the government can be extensive. The key initial investment is the amount of time spent by staff setting up the program policies and procedures, and identification of interested international cities. As the program moves forward, cities generally incur additional costs for the management of the relationship.

The key factors that have been identified for having a successful IEP are finding an appropriately matched city(ies) and the ability of the city to raise funds to support the program. Another factor to be considered is the country that is involved in the program. If the city is in a third world country or in an economically depressed area, traditionally it has not achieved the desired economic development benefits from the relationship. The people involved in the Sister Cities Program can also impact the results of the relationship. If involvement in the program were by volunteers with no experience or interest in economic development, the relationship would be less likely to result in successful economic development objectives.

City governments throughout the country have managed their IEP through three key means. The method in which the group is set up varies by the size of the government, as well as the purpose of the program. The three categories of program structure are Council Appointed Commission, Non Profit Corporations or manage by a City Division. In some cased, they also utilize a combination of approaches.

In this program type, the group that manages the IEP is appointed by the City Council. With programs like this, much of the funding comes from a myriad of sources from outside as well as city funding. The sources that are traditionally used include fundraising and special events revenues. This is the case in Milpitas where a Council appointed Commission is responsible for managing their Exchange Program and Relationship. The true resource that cities give to IEP is in the form of staff time while either serving as a liaison or coordinating the program.

To address the fund raising responsibility of an IEP, some groups have set-up non-profit organizations. The non-profit may work independently or in conjunction with local government boards or commissions. The direct funding provided by cities for this type of program can fluctuate, but in most cases are minimal.

Most IEP’s within this structure are operated and maintained by a community board or committee. The committee can be comprised of either volunteers or dues-paying members. These organizations are responsible for election of their officers, holding regular meetings, conducting fund-raisers, hosting visiting delegations, providing education programs, and maintaining communications between their corresponding city. In some areas, the committees are asked to enter into a partnership with the city to promote the IEP.

In other communities, the IEP is a function of a city division or department. This is the case in the City of Seattle, Washington, where the Sister Cities Program is a division of the Office of International Governmental Relations. This type of program traditionally occurs in larger agencies. Programs that are directly managed by a city department require a significantly higher level of city funding and staff time. In some cities, the program is funded by grants, whereas in others, city funds are allocated to fund the program activities.

The City of Sunnyvale can take several approaches in developing an International Exchange Program. The options below list four broad descriptions of possible program structures.

This report was included in the publication and posting of the Council agenda on the City’s official notice bulletin board, the City’s web page, and the San Jose Mercury News. This report is also available at the Sunnyvale Public Library and the City Clerk’s Office.

Staff recommends Alternative #1, option A, "Informal Friendship Program".