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Agenda
City Council
Economic Development Committee
Monday, October 28, 2019
4:00 pm
Emma Harvat Hall
City Hall
1. Call to Order
2. Consider approval of minutes from the August 28, 2019 Economic Development
Committee meeting
3. Update and consider request for funding for FY21 for $25,000 in assistance for Entrepreneurial Development Center, Inc. in Cedar Rapids
4. Annual report and consider request for FY21 financial assistance for Film Scene
and new Refocus Film Festival
5. Staff report
6. Committee time
7. Other business
8. Adjournment
EDC 10.28.19 packet page 1
EDC August 28, 2019 1 PRELIMINARY
MINUTES CITY COUNCIL ECONOMIC DEVELOPMENT COMMITTEE
AUGUST 28, 2019 EMMA HARVAT HALL, CITY HALL, 4:00 P.M.
Members Present: Rockne Cole, Susan Mims, Jim Throgmorton Staff Present: Simon Andrew, Eleanor Dilkes, Wendy Ford, Geoff Fruin Others Present: Andrew Ballard (Neumann Monson); Michael Sather and Kyle Smith
(Tailwinds Group), Nancy Bird (Downtown District); Zachary Smith (Press-
Citizen); Paul Brennan and Zach (last name?) (Little Village); Kim Becicka (Kirkwood)
RECOMMENDATIONS TO COUNCIL:
Cole moved to support a recommendation to support Kirkwood Community College English Language Learning program expansion with $25,000 per year for 5 years
Throgmorton seconded the motion. The motion carried 3-0.
CALL MEETING TO ORDER: The meeting was called to order at 4:04 P.M. Chairperson Mims then asked those present to
introduce themselves.
CONSIDER APPROVAL OF MINUTES FROM THE JUNE 3, 2019 ECONOMIC
DEVELOPMENT COMMITTEE MEETING:
Throgmorton moved to approve the minutes from the June 3, 2019 meeting as presented. Cole seconded the motion. The motion carried 3-0.
Consider recommendation to support Kirkwood Community College English Language Learning (ELL) program expansion with $25,000 per year for five years:
Ford began the discussion by explaining how this program benefits the residents of Iowa City. She noted that Kirkwood is trying to address two things with their ELL program. The first is to
help people become more employable and then employed; and secondly, it will help grow and
strengthen the workforce in this area. Ford noted that Kirkwood's President Sundberg has stated that she is dedicating resources for this program. Kirkwood needs $150,000 for five years to get
the program off the ground. Kirkwood has been able to secure half of this amount and they are now asking local cities to participate. Staff is recommending that the City of Iowa City contribute $25,000 per year for the five-year period to expand the ELL program. Continuing, Ford noted
that the number of children in the school system needing ELL from the schools has more than tripled in the past five years or so. This means that there are other family members also needing
the ELL program that Kirkwood offers.
Kim Becicka, with Kirkwood then spoke to the ELL expansion. She shared handouts with
Members as she spoke to the growing needs of the ELL program. The expansion would include
adding sections to decrease the waiting list. They would also like to be able to offer these sections out in the community, such as offering classes for the parents of children in the school
EDC 10.28.19 packet page 2
EDC August 28, 2019 2 PRELIMINARY
system. Becicka continued, explaining the various levels of the ELL program and how they plan to grow their offerings for the growing population of non-English speaking residents. She then
spoke to what are called 'earn and learn' programs, explaining how participants in the ELL
program advance to levels 2 and 3. This is where they are ready and able to compete for good jobs within the community. Recently touted in the news was the 'earn and learn' program that
Nordstrom has taken part in. She noted several other companies that participate in such
programs or plan to in the very near future. If the City does move forward with the requested support, she stated that they will work with the City on a memorandum of understanding. There
will be clear goals and metrics that can be reported back in whatever manner or timeframe the
City chooses. Mims spoke very positively about the proposed expansion, noting some of the interactions she had in the past with those trying to do just this. Cole stated that he is also very
supportive of this and he praised the cooperation between Kirkwood and the City. He stated that he would also like to see a reverse learning of languages, too, where those in the ELL programs could teach their language to residents. Throgmorton agreed, stating that he too looks forward to
seeing an elaboration of the proposed plan. He reiterated what he believes to be a crucial need to help adults learn to speak and understand English to be able to function well within the
community. Mims then asked if other municipalities and organizations were being approached
for supporting the ELL program expansion. Becicka stated that they are also talking to the cities of Coralville, North Liberty, Tiffin, and West Branch, as well as the Johnson County Board of
Supervisors.
Cole moved to support a recommendation to support Kirkwood Community College
English Language Learning program expansion with $25,000 per year for 5 years Throgmorton seconded the motion. The motion carried 3-0.
Discuss Tailwinds' proposal for historic preservation and redevelopment project on south side of 100 block of East College Street:
Ford began the discussion, stating that the City received a TIF financing request from the Tailwinds group back in July. Their proposal encompasses the historic preservation of three
19th-century buildings, and a new nine-story building behind them, in the 100 block of East College Street. Ford stated that the nine-story building being proposed behind the older buildings would have 170 apartment units, mostly studios and one-bedroom, with a handful of
two-bedroom units. The first two floors are proposed to be a parking garage that would accommodate much of the required parking for the project. She also touched on how the
remainder of the parking requirements might be handled. Speaking to the preliminary proposal,
Ford noted the following as exceptional public benefits: the older buildings would become locally designated landmarks; the older buildings would be renovated and brought back to their original
character; regarding sustainability, the nine-floor building is proposed to be built to a LEED-
platinum certified level. The third public benefit involves the developer working with a local arts group for space that would be above what is currently The Union bar. This could be a public
gathering space for the arts. Ford also spoke to how this project would reinvigorate this part of
College Street and bring new life to the area.
Andrew Ballard, an architect with Neuman Monson spoke next, introducing others from the team.
He gave a brief overview of the project, showing slides of the existing buildings and the proposed addition. He described the renovations to the existing buildings and how the new building would
be separated by a walkway between the old and the new. Mims stated that one of the things that surprised her when looking at this proposal is that you
really will not be able to see the proposed building from the ped mall, behind the historic buildings very well. She stated that she believes there will be a lot of public benefit from this
EDC 10.28.19 packet page 3
EDC August 28, 2019 3 PRELIMINARY
project. Cole asked about any examples of where this type of project has been done. The development team responded, noting that typically they see the shell of a building preserved,
with the new building inside of it, or that the existing building would be preserved and then have
an addition on one side. Throgmorton stated that he believes he has heard of this type of project in Burlington, Vermont, and he agreed that it would be good to have an example of where a
successful project like this has taken place – with the preservation of old buildings in front of a
new, taller building. The development team stated that they would try to find some examples for the Committee. Throgmorton spoke to the public claim that there are too many 'tall buildings'
being built in the downtown area. He asked the team to discuss their due diligence in making
sure there is market demand for these kinds of units and such a project. The team responded, stating that there is significant demand for smaller units, affordable units, which is how they
arrived at this proposal. It was also noted that the City staff should be commended for pointing the team in the right direction and helping them get started on this process. Throgmorton asked what the anticipated average size of the units will be. The team said from 350 to 880 square
feet. Continuing, Throgmorton spoke to the height of the building. He noted that with the parking garage being two stories, and the building being nine, this comes to 11 stories. The team stated
that part of one level of parking is underground so that gives a shorter appearance overall.
Affordable housing was also touched on, with Fruin noting the policy requiring 15% of units needing to be affordable at a 60% AMI. This would be for a minimum of 20 years. Regarding the
developer’s statement to build the new building to LEED-platinum certified, Throgmorton clarified
the basic requirement of LEED-silver certified are and that this proposal goes two steps above. There was a little more discussion about the TIF policy requirements and that any proposed
project be harmonious and in character with neighboring buildings.
Mims asked Throgmorton what other information regarding a shadow analysis he would like to
see. He further explained what he is looking for, to have a better sense of how the shadow of
this proposed new building will play out in the streetscape. The team stated that this will not be a problem for them to acquire. Cole stated that he loves this project. He spoke to the change
made in the TIF policy and how they are now seeing it play out with an excellent project like this coming to the City with a TIF request. He then touched on community benefits of this project and again gave his enthusiastic support of it. Members spoke briefly to the need for educating the
public on the use of TIF in projects such as this, with emphasis being put on the benefits to the entire community. Throgmorton spoke to the fact that this type of project is very responsive to
the Council's goals and objectives as set forth in the revised TIF policy.
Consider recommendation to City Council to proceed to establish the Highway Commercial Tax Abatement Area:
Ford stated that since last presenting this several months ago, staff has fleshed out the
boundaries of an urban revitalization tax exemption area – the Highway Commercial area – which is comprised of commercial area along the Highway 1 and 6 starting at Highway 218 and
going all the way to 1st Avenue. Ford shared some data with Members about how much of a tax
abatement an owner might receive depending on the project size, noting that for smaller buildings with smaller improvements, the total tax exemption would be under $10,000 over 5
years. She compared that with larger projects such as the Enterprise Car Rental building and
how much more tax abatement that would net for the owners. With the project scale in mind, the discussion turned to whether we could design a tiered program whereby larger projects would
have to meet greater sustainability requirements. Members asked questions of Ford to which she and Simon Andrew responded. Andrew gave
Members some history of this program and what they were trying to accomplish with it. Throgmorton asked for examples of the kinds of businesses in these designated areas and what
EDC 10.28.19 packet page 4
EDC August 28, 2019 4 PRELIMINARY
they might possibly do to merit tax exemption. He then asked how they can protect themselves from providing tax incentives for investments that would take place regardless of the tax
incentives. Andrew addressed this, stating that it would be difficult to determine this and he
further explained the goal of such incentives for these areas. Speaking to Throgmorton's first question, Andrew noted that the three projects shared with Members are actual projects.
Members continued to discuss how they would like such a program to work, stating that they
would like more time to consider the specifics of such a program before considering a recommendation.
STAFF REPORT:
None.
COMMITTEE TIME:
Mims thanked staff and the City Manager's office for their work with the Tailwinds organization so far. Cole agreed, stating that he believes staff has done awesome work.
OTHER BUSINESS:
None. ADJOURNMENT:
Throgmorton moved to adjourn the meeting at 5:30 P.M.
Cole seconded the motion.
Motion carried 3-0.
EDC 10.28.19 packet page 5
EDC August 28, 2019 5 PRELIMINARY
Council Economic Development Committee
ATTENDANCE RECORD 2017 - 2019
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Rockne Cole 01/02/20 X X X X X X X X
Susan Mims 01/02/20 X X X X X X X X
Jim Throgmorton 01/02/20 X X X X X X X X
Key: X = Present O = Absent
O/E = Absent/Excused
EDC 10.28.19 packet page 6
To: Economic Development Committee
From: Wendy Ford, Economic Development Coordinator
Date: October 20, 2019
Re: 10/28/19 Agenda item #4: Annual report and consider request for FY21 financial
assistance for Film Scene and new Refocus Film Festival
Introduction
Film Scene, Iowa City’s own independent downtown movie theater, has submitted a request for
three years of financial assistance. They are requesting the same amount of funding as the
previous three years, $25,000 in FY21, and a request for an intent to increase the budget amount
by $5,000 in FY22 and FY23, to help with their operating budget which jumps from the current
$803,000 to $1,900,000 over the same period.
Additionally, Film Scene will be curating and hosting the first annual film festival, ReFocus, in
September of 2020. The new festival will be a high-profile event, targeting 2,000 tickets sold and
drawing visitors from around the region. Refocus will capitalize on and complement our
designation as a City of Literature. The first-year budget for the new festival is $80,000 and Film
Scene is requesting a City contribution of $7,000, with a goal of budgeting for and increasing the
amount to $9,000 and $12,000 respectively in the following two fiscal years.
History
Since opening in late 2013, Film Scene has become a pillar in the arts and culture scene in Iowa
City. When the corporate theaters closed years ago, an entertainment void remained at a time
when alcohol consumption downtown was becoming more problematic. Film Scene has filled a
part of that void and supporting it is aligned with at least three of Council’s Strategic Planning
priorities – encouraging a vibrant and walkable urban core and fostering healthy neighborhoods
throughout the City, and promoting a strong and resilient local economy.
Film Scene opened on Thanksgiving weekend in 2013 after a year-long grass roots fundraising
campaign that garnered more than $200,000 in community support. They began operations in a
building that had once been home to one of Iowa City’s largest and most ‘notable’ bars. Film
Scene has since expanded with a second small theater in the same building, garnering more
community support through memberships and individual giving each year, now totaling more than
$200,000 per year.
This September, they realized their long-term expansion goal of opening two larger theaters in
the Chauncey at the corner of Gilbert and College Streets. A nonprofit 501(c)(3), Film Scene
operates with a professional staff guided by a committed Board of Directors. To be ready for the
new theaters in Chauncey, salaried staff has doubled from 5 to 10 plus a team of around 20
additional part-timers to provide the service expected with an art house cinema.
EDC 10.28.19 packet page 7
October 25, 2019 Page 2
Going forward, Film Scene will be able to expand programming by offering adult education,
community screenings and classic film programming. They also look forward to a new partnership
with Summer of the Arts for the summer outdoor movie series. They have been active in
expanding initiatives in the community including programming in the high schools, ramping up
Women’s March month to a full year of programming spotlighting perspectives for female and
non-binary artists, connecting programming to African and African American communities, and
expanding accessibility for people with disabilities, specifically partnering with Systems Unlimited
and investing in assistive listening technologies for the hard of hearing.
Historical funding of Film Scene:
Recommendation
While staff is comfortable with the requests for FY21 for Film Scene operations and for the new
ReFocus film festival, we are not prepared to make a recommendation on future increases.
Staff recommends budgeting $25,000 for Film Scene operations and for supporting the inaugural
ReFocus Film Festival with $7,000 from the FY21 budget.
FY15 FY16 FY17 FY18 FY19 FY20 Proposed FY21-23
$35,000 $25,000 $15,000 $25,000 $25,000 $25,000 $25,000 operations +
$7,000
EDC 10.28.19 packet page 8
FilmScene
+ ReFocus Film Festival
CITY FUNDING REQUEST
October 28, 2019
EDC 10.28.19 packet page 9
October 28, 2019
City of Iowa City Economic Development Committee,
Thank you for your consistent annual support of FilmScene and our mission to build community and enrich the cultural
vitality of the Iowa City area through film that challenges, inspires, educates and entertains.
Your support has provided stability for our organization to grow on a yearly basis, with our operational budget growing
from $454k in our first full year (2014) to $802k in 2018—with a great year at the box office last year, we were able to
realize $94k in profit and establish a reserve. 2019 looks to be a moderately profitable year as well, thanks to strong
response to the opening and programming of our new venue, FilmScene at The Chauncey.
As we fully transition into this new facility at The Chauncey, and revitalize our Ped Mall space, we predict 2020
operational costs will reach $1.7 million. This growth has allowed us to double our salaried staff, from 5 to 10 positions,
and increase our hourly positions to a crew of roughly 20 team members. With increased costs of two locations and an
investment in our workforce, we do not anticipate a profit in this 2020 growth year.
FilmScene has a tremendous effect on our local economy. In addition to direct spending at our theaters, we have
estimated, using data from Americans for the Arts and the Art House Convergence, that moviegoers will have an $1.3
Million economic impact on our local economy in 2019, which will grow to $2.3 Million in 2020.
Beyond opening our new space, this past year has been eventful at FilmScene. Among other initiatives we have:
●Expanded high school film programming in our cinema and at City High. In 2020, we will be expanding to West
High and Liberty High.
●Transitioned our month-long Women’s March program into Reel Representation, a year-round series
spotlighting underrepresented perspectives of female and non-binary artists.
●Assembled an African Diaspora committee of community members, with a goal of connecting films from
African, African American and Black filmmakers with the Iowa City community.
●Broadened accessibility efforts, doubling our dedicated screenings in partnership with Systems Unlimited,
launching an Open Captions program to serve the deaf and hard of hearing community, and investing in
assistive listening technology.
In 2020, we hope to continue expanding programming by partnering on outdoor movies, adult education classes,
community screenings and classic film programming. FilmScene’s largest initiative will be launching the inaugural
ReFocus Film Festival on September 18-19, 2020, with the intent of creating a film festival specifically designed for our
City of Literature. We anticipate a first-year budget of $80k and 2,000+ ticket buyers.
Consistent with the City of Iowa City’s past support, and in recognition of our growing budget and impact, FilmScene is
requesting approval of a $25,000 annual contribution for operational support in 2021, with $5,000 increases in each of
2021 and 2022 reflecting our increased economic activity. In addition, as we seek to capitalize on Iowa City’s unique
ability to host a regional film festival of import, we request an initial $7,000 contribution towards ReFocus Film Festival,
with a goal of growing that contribution to $9,000 in 2021 and $12,000 in 2022, in tandem with a growing festival. City
support for this endeavor is essential to managing the financial risk of launching a high-profile regional event.
The City of Iowa City’s financial and advisory support has been a critical contributor to our sustained growth and we are
deeply appreciative of your continued advice, support and encouragement for FilmScene and the arts in Iowa City.
With gratitude,
Andrew Sherburne,
FilmScene Cofounder and Interim Executive Director
EDC 10.28.19 packet page 10
Contents
Financial and Growth Review — FilmScene
1.Multi-Year Financial History
2.Growth and Partnership Figures
3.2019 Budget vs. 2019 YTD
4.2020 Draft Budget
ReFocus Festival Report
1.Festival Intent
2.2020 Inaugural Budget
EDC 10.28.19 packet page 11
Annual Financial History 2014-2018
EDC 10.28.19 packet page 12
2014-2018 PARTNERSHIPS
EDC 10.28.19 packet page 13
Financials To Date 2019
Sep YTD Actual Sept YTD Budget
INCOME
Contributed Income
Membership 151,725 106,961
Annual Giving 22,512 19,850
Sponsors & Events 49,611 62,420
Grants 21,000 21,000
City of Iowa City 25,000 25,000
Subtotal 269,848 235,231
Operational Income
Box Office 184,570 266,384
Concessions 109,384 149,864
Underwriting 23,000 27,500
Rentals 10,007 9,900
Other Revenue 59,840 58,104
Sales Tax (23,934) (31,173)
Subtotal 362,867 480,579
Total Income 632,715 715,810
EXPENSE
Payroll & Benefits 287,213 278,384
Rent/CAM/Property Tax 55,845 83,045
Utilities 5,400 7,800
Film Rental & Shipping 88,980 121,670
Concessions Supplies 40,660 52,453
Camp / Education 37,151 42,645
Marketing + Fundraising 47,669 48,334
Telecom, Banking, Insurance 45,253 56,295
Supplies & Maintenance 5,275 6,800
Travel & Guests 13,754 15,800
Total Expense 627,200 713,226
Profit/Loss 5,515 2,584
EDC 10.28.19 packet page 14
Financials Projections (Non-festival) 2020-22 (to be reviewed in January 2020 by board and staff)
2020 Budget 2021 Budget 2022 Budget
INCOME
Contributed Income
Membership 206,895 227,585 245,792
Annual Giving 74,012 77,972 80,939
Sponsors & Events 65,750 67,500 69,250
Grants 15,000 15,000 15,000
City of Iowa City Request 25,000 30,000 35,000
Subtotal 401,657 418,057 445,981
Operational Income
Box Office 767,225 822,622 854,133
Concessions 456,944 484,784 514,297
Underwriting 40,000 40,000 40,000
Rentals 59,500 64,250 69,415
Other Revenue 82,937 89,203 90,471
Sales Tax (84,786) (92,089) (96,609)
Subtotal 1,321,819 1,408,770 1,471,707
Total Income 1,723,476 1,826,827 1,917,688
EXPENSE
Payroll & Benefits 647,704 679,884 706,366
Rent/CAM/Property Tax 238,200 238,200 264,600
Utilities 32,200 32,950 33,723
Film Rental & Shipping 397,423 426,118 442,441
Concessions Supplies 159,930 169,674 180,004
Camp / Education 35,550 52,400 52,400
Marketing + Fundraising 70,467 77,014 84,190
Telecom, Tech, Banking, Insurance 137,313 129,535 133,716
Supplies & Maintenance 19,200 19,575 19,969
Travel & Guests 13,075 13,864 0
Total Expense 1,751,062 1,839,214 1,917,409
Profit/Loss (27,585) (12,387) 279
EDC 10.28.19 packet page 15
YEAR ONE
Anticipated dates: September 18-19, 2019
Anticipated attendance: 1,000 unique attendees / 2,000+ admissions
Description: The ReFocus Film Festival is a two-day festival that celebrates the art of adaptation. Through
thoughtfully curated short and feature film programming, multidisciplinary performances by local artists, and
opportunities to make personal and professional connections, ReFocus brings to Iowa City a vibrant, wholly
unique annual festival that spotlights source material—literature, journalism, photography, comedy and
more—and presents its evolution of voice, perspective and medium. At ReFocus, lenses shift and stories are
retold.
Mission: As an annual film festival, ReFocus exists to celebrate the art of adaptation, and explores the
transformation of source materials into new forms, told by new voices. ReFocus is a home for storytellers of all
kinds, an immersive experience for visiting filmmakers and local artists alike to leave their mark on the audience in
new ways.
Vision: ReFocus strives to be the only festival in the country dedicated to the art of adaptation, and one that is
uniquely Iowa City. By embracing our rich literary and artistic communities and our ever-growing cinematic scene,
ReFocus balances its programming by spotlighting local artists alongside visitors to our town, a city of literature
and the greatest small city for the arts.
EDC 10.28.19 packet page 16
This budget is in addition to FilmScene’s regular operations
ReFocus Draft Budget 2020 2021 2022
Revenue
Ticket sales $11,358 $12,494 $20,444
Pass sales $7,500 $11,250 $16,500
Concessions $8,000 $12,000 $16,000
Other revenue $1,000 $2,000 $5,000
Sponsorship $10,000 $15,000 $20,000
Additional grant funding $5,000 $7,500 $10,000
City of Iowa City request $7,000 $9,000 $12,000
SGE campaign support $25,000 $15,000 $10,000
Film entries $0 $6,000 $8,000
TOTAL REVENUE $74,858 $90,244 $117,944
Expenses
Programming & engagement $12,000 $15,000 $20,000
Festival staff $16,000 $22,000 $32,000
Marketing & outreach $5,000 $7,500 $10,000
Infrastructure (signage, tech) $10,000 $4,000 $2,000
Administrative staff $20,000 $25,000 $30,000
Artist travel & hospitality $10,000 $15,000 $20,000
Other expenses (merch, printing) $5,000 $7,000 $9,000
Documentation & photography $2,500 $3,000 $3,500
TOTAL EXPENSES $80,500 $98,500 $126,500
NET / (LOSS) ($5,642) ($8,256) ($8,556)
In-kind asks $10,000 $15,000 $20,000
NET / (LOSS) after in-kind $4,358 $6,744 $11,444
EDC 10.28.19 packet page 17
Date: October 17, 2018
To: City Council Economic Development Committee
From: Wendy Ford, Economic Development Coordinator
Re: Agenda Item #3
Request from Entrepreneurial Development Center, Inc. for annual funding
Introduction:
The Entrepreneurial Development Center, Inc., more familiarly known as EDC, Inc. was founded
16 years ago with a mission to improve the economic vitality of the region through the creation
and growth of high-impact, scalable entrepreneurial businesses. While based in Cedar Rapids,
they serve businesses on both ends of the I-380 corridor and meet clients at MERGE whenever
requested.
The City has supported EDC, Inc. for 6 years and comes to you with an update on their work
and a request to budget $25,000 for FY21.
Background:
The EDC’s function is to connect entrepreneurs with the full range of business expertise to
enable high potential businesses to grow and thrive. Curt Nelson, President and CEO, has
developed a “recipe for business success” which EDC uses in guiding business growth. In the
recipe, there are six ingredients: marketing, development, sales, operations, information
technology and finance. EDC’s approach is to ensure that clients have the right amount of each
ingredient. EDC gains an understanding of the client’s needs and provides the expertise by
building strategic networks for their clients. They are also well connected to financial resources
for their clients.
Entrepreneurship continues to grow in the U.S. and cities that welcome entrepreneurs stand to
gain new employers, new employees and the economic benefits they bring. Iowa City has spent
the last several years building a community that fosters entrepreneurs. We assisted in getting
the CoLab started, and followed that with strong support of MERGE. These operations have
proven critical to early stage support to some very successful, highly scalable companies.
It is clear that fostering a culture of entrepreneurship takes a lot of effort from a lot of
organizations -- ICAD, the UI Small Business Development Center, the City, the Chamber, ICR-
Iowa, the new regional economic development marketing team – and organizations such as
EDC, Inc. to provide the support necessary to a healthy and growing entrepreneurial
community.
Recommendation:
Staff recommends budgeting the requested $25,000 from the Economic Development
Assistance line for FY21.
EDC 10.28.19 packet page 18
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EDC Impact
City of Iowa City
2019 marks EDC’s 16th year working with Iowa Entrepreneurs. In that time,
EDC has served over 1,000 businesses in Iowa which, in turn, have created
over $2.8B of improved economic impact.
EDC has invested an increasing amount of its resources in Iowa City each year.
In 2018, we spent nearly 500 hours working with Iowa City businesses. Since
EDC’s inception, we have worked with 101 startup, early-stage and later-stage
Iowa City-based businesses. A sampling of these businesses is listed below.
Assisted from start-up:
• Pear Deck
• Latent Wireless
• TLA M.D. (Dr. David Krupp)
• Via-Wise
• AgilOak
• Radiology Protocols
• Atlas Ergonomics
• Breads from Anna
• Tutor Universe
Assisted from early-stage:
• Cardio Strong • Cyber Anatomy (VIVED)• Foundations in Learning
Assisted at later-stage:
• MetaCommunications
• Oasis Falafel
• Lionne Designs
• Luerkens Laboratories
• Quadro Vodka
• Optical Mechanics
“I would not have been able to achieve the advancements that
I have without the assistance of the staff from EDC and the
outside support that keeps EDC viable. I have appreciated the
network of resources and business connections EDC has to
assist with development. The numerous meetings this year
with Jane, Curt and others have refined development of my
innovative medical device that will save cost and improve
healthcare in Iowa and ultimately worldwide. Lastly, the EDC
staff have been a pleasure to work with and I look forward to
future collaboration with EDC.”
Dr. David Krupp, M.D., Founder, TLA MD
Program to date stats for EDC state-wide:
Impact Program to Date
Capital Raised/Deployed $428M
Increased Revenue $1.8B
New Jobs 2,600
Average Wage $54,149
Increased Payroll $529M
Number of Businesses Supported 1020
Total Impact $2.8B +
Oasis Falafel
A well-known Iowa City establishment,
Oasis Falafel, was founded by Naftaly
Stramer and Ofer Sivan in 2004. The
Mediterranean eatery capitalized on the
popularity of its hummus spread and
began packaging it in 2006, selling it
through HyVee stores and New Pioneer
Coop stores and in the University of
Iowa dining halls/kiosks. In 2015, when
the company was looking for help to
continue the expansion of its hummus
product, they reached out to EDC. Over
the last few years, EDC has helped work
through strategy, distribution and vetting
co-packing facilities to accommodate
growth. Most recently, EDC facilitated a
series of customer focus groups to help
with updated packaging and labeling as
the company prepares to scale beyond
Iowa’s borders. Naftaly and Ofer are also
regular participants in the Consumer
Goods Founders Group, a group of roughly
20 consumer products businesses that
meet monthly at EDC to share ideas and
experience.
“We value EDC for its perspective and for
the connections the team provides. We are
active in the Consumer Goods Founders
group and really appreciate being able
to tap into a wealth of experience on
the consumer packaged goods side. The
team at EDC has been a great resource for
business strategy, marketing research and
branding guidance. The information they
gathered for us during recent focus groups
will allow us to provide focused, on-brand
direction for our marketing agency.”
Naftaly Stramer
Co-Founder, Oasis Falafel
EDC 10.28.19 packet page 20
319-369-4955
www.edcinc.org
Collectively, the Iowa City businesses supported by EDC created the following
economic impact:
Event Type 2018 Program to Date Total Attendance
Networking 0 32 2,100
Lunch & Learns 7 66 1,988
Innovation EXPO 1 12 5,325
Consumer Goods Founders
Group Meetings
6 33 382
Inaugural Iowa Founders Group 1 1 45
Impact 2018 Program to Date
Capital raised and deployed $3,535,000 $20,962,912
Private vs. Public ratio $3,410,000 (Private) vs.
$125,000 (Public)
$17,879,000 (Private) vs.
$3,084,162 (public)
Increased business revenue $14,432,859 $92,929,174
New jobs created 28 278
Average wage $48,764 $47,452
New payroll paid $2,082,426 $51,822,560
New businesses started 1 15
Total Impact $20M $166M
Hundreds of Entrepreneurs
Connected at Innovation EXPO 2018
in Cedar Rapids
• 575 attendees (entrepreneurs, inventors,
students, business and community leaders
from across the state and beyond)
• PitchLab: Four startup-stage
entrepreneurs presented their business
ideas to a panel of business experts for
critical feedback.
• Venture Forum: Five seed-stage
entrepreneurs presented to a panel of
seed and venture capital investors for
critical feedback.
• 88 Iowa-based companies of all stages
exhibited in the Entrepreneur Showcase.
“The audience was the best part - so many people
approached me after the pitch to talk more about
my business and different related opportunities. The
pitch was a wonderful way to have conversations
with folks throughout the rest of the day. They
already knew who I was and what I was working on.”
Isabel Reed, Comigo (Iowa City)
EDC 10.28.19 packet page 21
Driving economic growth through the
creation and expansion of high-impact
Iowa businesses.
EDC 2018 Stakeholder Report
EDC 10.28.19 packet page 22
EDC Stakeholder Report 2018
Dear EDC Stakeholder,
The year 2018 marked EDC’s fifteenth anniversary. As you can see from the performance
statistics and testimonials provided, EDC continues to succeed in its mission to
increase economic vitality for our communities through the creation and growth of high-impact Iowa-founded
businesses. And while many think we focus on start-ups, it is important to note that over our fifteen-year history,
less than 1/3 of our client engagements fit the pre-revenue start-up definition. In 2018, roughly 80% of our
resources were focused on growing already established high-impact Iowa businesses.
In 2018, EDC engaged with 107 companies providing products and services in the following areas:
• Agriculture
• Medical devices
• Pharmaceuticals
• Educational tools
• Consumer goods
• Information technology / security
• Office management
• Transportation
• Asset management
• Energy
• Process improvement
• Food and beverage
In completing fifteen years of entrepreneurial support and engaging with more than 1,000 Iowa companies,
the growing demand for our services continues to validate the EDC model. The economic development
statistics outlined herein validate the real impact successful business growth has on our communities. And the
testimonials themselves let you, our stakeholders, know that your support is greatly appreciated.
When we started this journey, like all new businesses, it was our dream to create real and sustainable value.
Through solid execution and continual evolution, EDC has helped Iowa businesses build stronger more
sustainable communities for generations to come. We are proud of the success created, we are thankful for
the support provided, and we look
forward to the work ahead. We hope all
of our stakeholders are proud of their
engagement, and we invite you all to
continue with us into the next decade.
Sincerely,
Curtis R. Nelson
President & CEO
LEADER LEVEL
EDC thanks our stakeholders for their generous support of Iowa’s entrepreneurs.
“Effectively, I find the services and access to subject
matter expertise an invaluable service to the
community and startup companies in general for
the Corridor. The unique architecture and culture
of the EDC enables a powerful tool and advocate
for startups that has a singular objective in mind:
sustainable business success of the client.”
Tom Lutz, Founder, Repour
EDC 10.28.19 packet page 23
CHAMPION LEVEL
EDC was formed in 2003 with the mission to stimulate Iowa’s economic growth
through the creation and expansion of high-impact businesses. More than 15
years later, EDC remains focused on this mission, having now supported over
1,000 Iowa businesses and assisting in the generation of nearly $3 billion in
positive economic impact.
Why EDC Matters
EDC is unique in its ability to provide
ongoing hands-on support for Iowa-
based companies with high-growth
potential. EDC’s team of seasoned
business experts works in tandem
with business leadership to accelerate
progress and expands Iowa’s economic
footprint. At the core of a vital and
sustainable economy are high-impact
locally owned and operated businesses
because it is those businesses and
leadership that:
• Create wealth that gets re-invested
locally through:
• Philanthropy by founders and
executives who support a
community’s amenities and social
services.
• Land development as they build the
architectural skyline that will fuel a
community for decades.
• Community ownership and
the dedication to building an
environment in which others will
want to live and do business.
• Attract and retain the best and the
brightest talent creating a:
• Broader workforce with more
diverse skills.
• More educated workforce with
future leadership skills.
• Retain local services, resulting in
additional job creation at entities
such as:
• Law firms
• Accounting firms
• Banks
• Marketing firms
• Create community leaders who:
• Provide the leadership and resources
needed to make major economic
development change happen.
Mission
EDC 10.28.19 packet page 24
2018 Impact
EDC engaged with 107 area businesses this past year; helping with expansion/
creation funding, strategic direction, marketing planning and execution and
overall business growth.
Active Clients
EDC currently supports thirty-six (36) clients at the following stages:
• Seventeen (17) of the clients are early-stage
businesses seeking growth and capital
assistance.
• Twelve (12) of the clients are start-up or pre-
revenue businesses seeking assistance with
market research/validation, business planning
and capital raising.
• Seven (7) of the clients are well-established
area businesses seeking growth or
restructuring assistance.
Early-Stage Businesses
Well-Established Area Businesses
Start-ups or Pre-Revenue Businesses
PARTNER LEVEL
2018 Client Impact
The table below provides information on the economic impact of EDC’s
clients for 2018, as well as the results since the program’s launch in 2003.
In 2018, EDC worked with
companies in these cities:
• Ames
• Anamosa
• Ankeny
• Baxter
• Cedar Falls
• Cedar Rapids
• Charles City
• Clive
• Columbus Junction
• Coralville
• Davenport
• Des Moines
• Glenwood
• Hiawatha
• Iowa City
• Johnston
• LaPorte City
• Marion
• Muscatine
• New Hampton
• North Liberty
• Riverside
• Solon
• Vinton
• Washington
Impact
Annual
(2018)
Program to Date
(2003-2018)
Number of businesses supported 107 1,020
New revenue generated $245M $1.8B
Capital raised $36M $428M
Net direct jobs added 178 Approx 2,600
Average wage $58,895 $54,149
New payroll created $55M $529M
Total impact $336M $2.8B
EDC 10.28.19 packet page 25
“I would not have been able to achieve the advancements that I have
without the assistance of the staff from EDC and the outside support
that keeps EDC viable. I have appreciated the network of resources
and business connections EDC has to assist development. The
numerous meetings this year with Jane, Curt, and others have refined
development of my innovative medical device that will save cost and
improve healthcare in Iowa and ultimately worldwide. Lastly, the EDC
staff have been a pleasure to work with and I look forward to future
collaboration with EDC.”
Dr. David C. Krupp, M.D., Founder, TLA MD
________________________________________________________________
“I value EDC on many levels. From experienced business guidance
and hands-on engagement to more tactical connections with other
like-minded entrepreneurs and vendors. This past year, Curt has been
working with our sales team and me in a very engaged way. Working
weekly with our sales team, both revenue and overall selling price
improved significantly over the year to the point where we ended 2018
at roughly 130% of the original sales plan.
Without EDC’s engagement in 2018 alone, there would be many, many
dollars of revenue and margin that we would not have. It is really clear
to me that our organization would not be as smoothly functioning and
highly performing as we are without EDC’s help.”
Riley Eynon-Lynch, Co-Founder, Pear Deck
________________________________________________________________
“The EDC staff – all of them – have spent time with Uriel and I helping
us build a sound business plan and secure initial capitalization. Their
suggestions have dramatically improved our presentations and
made us more confident when presenting. We appreciate the great
programming with the Advance in 60 plus the monthly meetings. The
EDC team is always willing to listen to us and help us work through
complex strategy conversation. We are pleased to have such a willing,
helpful resource available to us.”
Jeri Frank, Co-Founder, STRATAFOLIO
COLLABORATOR LEVEL
Jeri Frank
Riley Eynon-Lynch
Dr. David C. Krupp
EDC 10.28.19 packet page 26
230 2nd St. SE, Suite 212 • Cedar Rapids, IA 52401
319-369-4955 • www.edcinc.org
MEMBER LEVEL
Mary Quass
Bob Hackney
Doug LairdIowa City
Feiereisen, Inc.5203 16th Avenue S.W. • Cedar Rapids, IA 52404Phone: (319) 396-1987 • (800) 753-1719 • Fax: (319) 396-2628www.feiereisen.comThree Locations:Cedar Rapids • Des Moines • Kansas CitySM
2018 EDC BOARD
William McCartan,
Bradley & Riley PC (Chair)
Kathleen Kleiman,
Simmons Perrine Moyer Bergman
PLC (Past Chair)
Travis Fell, RSM US LLP (Secretary)
Charles Rohde, King’s Material
Jon Dusek,
Armstrong Development
Doug Kopp, Alliant Energy
Larry Helling,
Cedar Rapids Bank & Trust
Bruce Lehrman, Involta
Brian Bergstrom,
Shuttleworth & Ingersoll
Terry Sullivan, Linn County REC
Patrick Deignan
Kris Gulick, CPA PLC
David Hensley, John Pappajohn
Entrepreneurial Center
Jasmine Almoayyed,
City of Cedar Rapids
Scott Wilson, University of Iowa
Community Credit Union
Jim Haddad,
Haddad Consulting Services
Cindy Dietz, Collins Aerospace
Mary Meisterling, Alliant Energy
Hunter Skogman, Skogman Realty
“When we were getting our bearings with HLT, the
EDC gave us reliable, grounded advice from people
who have been there/done that and seen businesses
through multiple stages. Young entrepreneurs need that
perspective—we need that seasoned help to understand
the common pitfalls of starting and building a business.
It is extraordinarily valuable. The first time I sat down
with Curt, I could tell that he had a unique perspective
on our situation. There are not that many people in this
area who have been through the battlefield of building
a business. We feel fortunate to have someone like this
who we can use as a resource to help us make smarter
decisions as we grow.”
Alec Whitters, Co-Founder/CEO,
Higher Learning Technologies
____________________________________________________
“Working with EDC means that we always have someone
we can bounce things off of—a sounding board of
business professionals to round out our team of scientists.
The EDC is great about providing templates and processes
that we can use to polish the business and wouldn’t
otherwise have access to. I view EDC as a helping hand
versus an educational program. It feels like EDC is a
partner with us to help grow our business. EDC has been
instrumental in helping us evaluate opportunities and
develop the plan to execute on our potential as an actual
business, not just research in a lab.”
Dr. Frances Johnson, M.D., Co-Founder,
Viewpoint Molecular Targeting Dr. Frances Johnson
Alec Whitters
EDC 10.28.19 packet page 27