HomeMy WebLinkAboutEDCO Proposal
Deschutes County Economic Development Investment Initiative
Revised & Abridged Proposal for 2013-14 Fiscal Year
March 20, 2013
OVERVIEW
The following proposal was refined from a lengthier and more comprehensive draft proposal provided to
the Deschutes County Commission and staff in January 2013. Before outlining this proposal, EDCO would
like to acknowledge the outstanding partnership it has enjoyed with Deschutes County over the past
three decades. For the current fiscal year this includes $112,200 for the regional economic development
organization, $20,000 for the Venture Catalyst Program and the significant investment made in the
Deschutes County Forgivable Loan Fund, which has been a very important local incentive for job-creation
projects. Without this funding, EDCO’s current level of effectiveness would not be possible.
The matrix and supporting narrative below represents only a one year investment for consideration at this
time. Ideally, Deschutes County leadership is committed (as it has been to EDCO funding in the past) to a
sustained, multi-year effort for the best possible results; however, the details of such a partnership are
not outlined in this document.
EDCO’s TOP FUNDING PRIORITIES
Community or Program
Deschutes County
2013-14
Investment
Local City and/or
Private Sector
Investment
Estimated Total
FY13-14 Program
Budget
Local Economic Development Capacity
La Pine/South Deschutes County $20,000 $28,000 $48,000
Sisters Country $20,000 $40,000 $60,000
Greater Redmond $10,000 $129,000 $139,000
Greater Bend $15,000 $95,000 $110,000
Sub Totals: $65,000 $292,000 $357,000
Supporting Entrepreneurship & Early Stage Companies
Venture Catalyst Program $30,000 $45,000 $75,000
FoundersPad Accelerator* $15,000 $60,000 $75,000
Sub Totals: $45,000 $105,000 $145,000
Regional Economic Development Capacity
Administrative & manager
coaching for new local programs $5,000 $10,000 $15,000
Targeted marketing & lead
generation $10,000 $10,000 $20,000
Sub Totals: $15,000 $20,000 $35,000
TOTAL: $125,000 $417,000 $537,000
*FoundersPad is not an EDCO-managed program
Strong Local Economic Development Capacity
A strong regional organization with equally capable economic development professional capacity at the
local level is a model unique to EDCO in the Pacific Northwest. EDCO contracts to deliver comprehensive
local economic development programs that are financially underwritten by the communities. This
proposal launches a new program in La Pine with a half-time manager, takes an existing program in Sisters
to the “next level” with a three quarter-time manager. In Bend and Redmond, funding will boost ongoing
activities for established programs by supporting focused marketing and recruitment efforts outside the
region (specifically California) to generate new leads for job creation projects. Although not equal, EDCO
believes the allocations between these programs are equitable and consistent with the needs of each
community in the region.
Supporting Entrepreneurship & Early Stage Companies
Fostering entrepreneurship is an important and relatively new component to the region’s economic
development strategy. The two critical components for establishing Deschutes County as a premier place
to start and grow new companies are 1) a robust mentoring network and 2) access to equity/growth
capital. Development of these key infrastructure assets will not happen without focused and sustained
effort. EDCO’s funding priorities for the coming fiscal year include partial underwriting of the Venture
Catalyst Program (VCP) and the FoundersPad accelerator. FoundersPad is a key infrastructure asset for
mentoring concept stage companies, while the VCP is focused on both mentoring and launch of a new
year-round angel investment fund and early growth stage venture capital fund based in Deschutes
County.
Regional Economic Development Capacity
The model that EDCO has pioneered over the past decade has had the effect of reducing capital available
for the regional organization. Volunteers and local managers rely on services which include, but are not
limited to, marketing, lead generation, professional coaching, legislative, recruitment process
management, event production, media relations and critical improvements the region’s business climate
(air service, industrial land supply, transportation improvements, etc.) to effectively execute at the
community level. Adding oversight of programs in La Pine and Sisters will stretch existing regional staff
even further. This element of the Deschutes County Economic Development Investment Initiative is to
ensure that the regional organization remains financially solid and fully capable of supporting local
managers within the County’s borders.
Summary
EDCO applauds the Commission and the Deschutes County administrative management team for your
vision and foresight to seriously entertain this proposal, which is a significant step forward in changing our
economic development future, and how video poker lottery funding is invested. We believe this proposal
represents a well-planned and cost effective strategy that is broadly supported by the communities within
Deschutes County and leverages greater investment (nearly four-to-one) in economic development.
Pending the approval of the Commission, EDCO stands ready to execute on all elements of the initiative in
a timely manner.