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HomeMy WebLinkAbout06.04.2007COUNCIL WORK SESSION June 4, 2007 3:50 p.m. UNI Regional Business Center 212 East 4th Street Members present: Mayor Hurley, Kincaid, Welper, Gunderson, Greenwood, Getty, Schmitt. Members absent: Cole. Maureen Collins -Williams, Director of UNI Small Business Development Center, proposed a collaboration with the City of Waterloo, the City of Cedar Falls and the Greater Cedar Valley Alliance to launch a region -wide entrepreneurship development system, called MyEntreNet. MyEntreNet provides community capacity building, customized technical assistance, training and market research to entrepreneurs, improves business access to capital, and networks urban entrepreneurs with their peers, industry and the global economy through advanced technologies. Over a two-year start up period, the proposed Cedar Valley MyEntreNet initiative will serve 250-300 regional entrepreneurs and 50 community leaders with an array of services, resulting in 50-60 new or expanded businesses, 150-200 new full time urban jobs and over $6 million in new commercial/equity investment. Ms. Collins -Williams explained that they are seeking $35,000.00 annually from each collaborative partner to launch, implement and move toward a Greater Cedar Valley Entrepreneurship Development System. The $105,000.00 will be matched with $105,000.00 from the UNI Regional Business Center, funding new infrastructure and operations. A new micro -seed capital fund of $60,000.00 has been pledged by the Northwest Area Foundation. The funds would be spent as follows:: 1. To bring the regional providers of entrepreneurship services together to work as an Entrepreneurship Team. 2. Create, market and sustain an individually customized web -portal for Cedar Valley entrepreneurs, an online entrepreneurial community featuring E-learning, chats, an entrepreneurship library, Webinar, online consulting, regional Navigators and access to the global economy. 3. Improve the availability of capital in the region for entrepreneurial development, insuring that businesses at every state of business growth have access to the appropriate kind of business capita. The Northwest Area Foundation seed capital fund has been pledged to support this initiative. 4. Develop and widely market an annual calendar of entrepreneurial trainings, workshops, technical assistance services and networking opportunities in the Cedar Valley. Develop an unified marketing plan to promote TechWorks, the RBC Incubator, the Campus Innovation Incubator, UNI Student incubator and the new Technology Transfer partnership program. Ms. Collins -Williams reported that MyEntreNet system has had a highly successful track in fostering entrepreneurial growth outside of the Cedar Valley. MyEntreNet was launched in 12 rural Iowa counties through a staggered state-wide rollout starting in 2003. To date, over 20 percent of the entrepreneurs who received baseline services in rural regions have started or expanded a locally owned business, creating an average of 3.5 new full time jobs apiece. In a typical MyEntreNet region where 100 entrepreneurs receive services, that translates to 20 new or expanded businesses, 75 new full time rural jobs and over $3,500,000.00 in new commercial/equity investment. Ms. Collins -Williams explained that last spring, a beta of an urban MyEntreNet system engaged 65 entrepreneurs from the distressed CURA district of Waterloo. In the first six months, entrepreneurs there started 12 new companies, created 23 new full time jobs and leveraged $435,000.00 in new commercial/equity investment in the district. Ms. Collins -Williams commented that the City of Cedar Falls is excited about this approach, and she will meet with them next week. Council Work Session June 4, 2007 Page 2 Mayor Hurley commented that the City of Waterloo is being asked for an investment, which he feels is a good one, and one which can't wait. Mayor Hurley asked council members if they are interested in the project, and if we agree to our share of the funding, where would the city find the $35,000.00 investment. Councilperson Getty commented that the Building Department has talked about a surplus revenue, and asked if we could use those revenues for the $35,000.00. Councilperson Getty stated that the program sounds great and we should find a way to do this. Councilperson Getty noted he supports this program. Councilperson Schmitt commented that we need to balance the accounts at the end of the year before making a decision where we will find the funding. Councilperson Greenwood commented that he feels this is an opportunity to give an entrepreneur an opportunity to see what they can do. Ms. Collins -Williams reported she needs a commitment from the City of Waterloo as soon as possible, and that she has enough funds to go to November. Councilperson Gunderson stated he is in favor of this program, but we need to see the end -of -the year budget. He hopes the city can come up with the money by November. Councilperson Schmitt stated he supports this program, and that financially the city should be able to make a commitment with funds by August 31 or September 1. Councilperson Kincaid stated he supports committing the funds as long as MyEntreNet stays in Waterloo and makes it more accessible for minorities. Mayor Hurley stated this is not going to be impossible, but there will be some trade off to find $35,000.00 as he has some other budget pressures. Mayor Hurley noted that economic development is number one on the city's list of goals. The meeting adjourned at 4:30 p.m. Nancy Eckert City Clerk • •