NICC cost sharing bus incubatorMEMORANDUM
April 16, 2003
TO:The Honorable Mayor and City Council Members
FROM:Michael C. Van Milligen, City Manager
SUBJECT:Request from NICC for Sharing in Costs of Feasibility Study for Business
Incubator
Northeast Iowa Community College has requested the City consider cost sharing a
feasibility study for a business incubator in Downtown Dubuque. A group of local
officials met with Mike Blouin, the Director of the Department of Economic
Development, to discuss the concept of a business incubator. Mr. Blouin indicated that
the Governor's Economic Development Initiative includes the establishment and funding
of business incubators.
In anticipation of funding to operate an incubator, NICC would like to move forward with
a feasibility study.
Economic Development Director Bill Baum recommends City Council approval to enter
into an agreement for sharing the expenses of a feasibility study for a business
incubator, with City cost not to exceed $1,000. The source of funding would be UDAG
loan repayments.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
Michael C. Van Milligen
MCVM/jh
Attachment
cc: Barry Lindahl, Corporation Counsel
Cindy Steinhauser, Assistant City Manager
William J. Baum, Economic Development Director
CITY OF DUBUQUE, IOWA
MEMORANDUM
April 16, 2003
TO:Michael Van Milligen, City Manager
FROM:William J. Baum, Economic Development Director
SUBJECT:Request from NICC for sharing in costs of feasibility study for business
incubator.
INTRODUCTION
The attached letter from Rob Denson of NICC asks for City consideration of cost
sharing of a feasibility study for a business incubator in Downtown Dubuque.
DISCUSSION
This past year the Northeast Iowa Community College purchased the former "Trilog"
building on Main Street as part of their expansion plans on Main Street. The top floor of
the building is currently for lease, and staff from the college has been discussing the
use of this floor as a business incubator. A group of local officials met with Mike Blouin,
the director of the Department of Economic Development to discuss the concept. Mr.
Blouin indicated that the Governor's economic development initiative includes the
establishment and funding of business incubators.
Therefore, in anticipation of funding to operate an incubator, NICC would like to move
forward with a feasibility study. I am confident that if an incubator is needed, Dubuque
will be identified as the location, and because NICC has the space available, the Main
Street location will be chosen as the specific location.
The SBDC is proposing to manage the feasibility study, estimated to be $8,000. Rob
Denson is requesting City consideration of $1000. The source of funding would be from
the UDAG loan repayments.
RECOMMENDATION
I recommend the City Council authorize the City to enter into an agreement for sharing
the expenses of a feasibility study for a business incubator, with City cost not to exceed
$1000.
F:\USERS\WBaum\Memos to Mike - General/Memo on shadng costs - incubator.doc
Office of the President
Northeast Iowa Communit College
District Office · P.O. Box 400 ~ Calmar. Iowa 52132-0400
563.562.3263 or 800.728.2256 · fax: 563.562.3719 · www.nice.edu
President
Robert J. Denson
Secretary to President and
Board
Janet Bullerman
Trustees
Li~us Rothmeyer
President
Calmar
Dr. Kenneth Reimer
Vice President
Elkader
Ross Edwards
Frederic]avburg
Jim Anderson
Decorah
Jean Sharff
Oelwein
Daniel Witlenbdng
Dyersviite
Daniel White
Dubuque
Larty Blatz
Dubuque.
Ronda Kirkegaard
Dubuque
April 1, 2003
Mike Van Milligan
City Manager
City Hall
Dubuque, IA 52001
Dear Mike:
A group of us have been meet'rog since the sessions with Mike Blouin on
February 25 to discuss the possibility of developing a business incubator, also
know as an "accelerator," for Dubuque and/or the nearby area. In the current
momentum of economic development in Iowa, we believe there is real potential
for an incubator and are at the point where we need to develop and conduct a
feasibility study, looking at Dubuque County and the counties touching it, to
determine the definable market opportunity.
Terry Sullivan from SBDC has been providing guidance to our effort and is
developing a draft RFP to solicit someone to conduct the study. We will be
reviewing the draft at our next committee meeting at 10 a.m. on April 17 at the
Dubuque Chamber meeting room.
Terry has made some calls, and it looks like we can do the study for under $8,000.
I am writing to see if you would be willing to share the cost of the study. With the
number of entities interested, we think the cost will come in at under $1,000 each.
The results could chart the course of a number of future efforts in this area.
You are welcome to join us on the 17th, and I hope you will consider participation
in the feasibility study. Please let me know.
Sincerely,
Robert J. Denson
President
ue Center · Oelwein Center