HomeMy WebLinkAbout01.16.18 TV Agenda Packet_
Technology Village Board of Directors
Meeting Agenda
Tuesday, January 16, 2018
7:30 a.m.
City Hall, Little Prior Conference Room
2018 Goals
Continue to implement the recommendations of the Technology Village Phase III
Program Analysis to expand the TVBA Virtual Program into other Scott County Cities
with FSS and PL TVBOD support.
Create a Business Plan which identifies the specific tasks necessary to secure funding
and/or sources of funds to support Scott County program expansion.
Participate in the second annual Scott County FAST-TRACK Business Challenge.
Identify additional program participants, both virtual and physical; to increase the
number of TVBA related employees working in Scott County.
1. Call to Order
2. Approval of Meeting Minutes
a. December 5, 2017 Board Meeting Minutes – Action Requested, pages 2-3
b. December 19, 2017 Workshop Notes –pages 4-5
3. Old Business
a. FAST-TRACK Business Challenge –page 6
b. Technology Village Business Accelerator Phase II.5 Business Plan.- Action
Requested, pages 7-31
4. New Business
a. Board Member Resignation – Lori Frank, Action Requested, page 32
b. Lease Agreement - iWMS Americas, Action Requested, page 33
5. Updates
a. Technology Village Metric Report – December, 2017, pages 34-37
b. Action Item Update. FYI, pages 38
c. Upcoming Meetings/Calendar 2018, FYI, page 39
d. Board Member Ideas / Recommendations
6. Adjourn
*Note: A Roundtable will occur following the meeting (8:15 a.m.-9 a.m.) with LocalVibe, in
Parkview Conference Room
1
CITY OF PRIOR LAKE, MINNESOTA
TECHNOLOGY VILLAGE BOARD OF DIRECTORS
MEETING MINUTES – December 5, 2017
952.496-8830 – jfoust@scottfss.org - www.technologyvillage.net
1. Call to Order
The meeting was called to order at 7:33 a.m. Present: Gerry Hughes, Dan Stratton, Patrick Stroh and Zach Braid.
Staff present: Community Development Director Casey McCabe and Jo Foust (FSS). Absent: Sarah Jones, Adam
Proehl, and Lori Frank.
2. Approval of Meeting Minutes
a. September 19, 2017
MOTION BY STROH AND SECONDED BY STRATTON to approve the September 19, 2017 meeting minutes.
The Motion was approved 4-0.
Meeting notes from the November 7, 2017 and November 21, 2017 workshops were reviewed.
3. Old Business
a. FAST-TRACK Challenge -Business Competition
An overview of the post-mortem meeting on the 2017 FAST-TRACK Challenge was provided. A summary of
responses from 10 surveys, completed by finalists, judges and sponsors/service providers was reviewed. Hughes
noted the judges appreciated the materials and meeting prior to the event. They suggested more applicants,
farther along in the process and more time for presentations. Only two service providers attended the event. Stroh
recommended adding an expo with booth opportunities for the service providers and sponsors in 2018. Braid
offered to assist in developing contact lists for possible sponsors and service providers for t he next event. The
video capturing highlights from the event is in process.
Foust noted both winners have received their cash prizes and have met with their service providers. ZIET LLC has
signed a Virtual Participant Agreement and Ion Concert Media, Inc. plans to do so within the next week.
b. 2018 Business Plan.
A revised 2018 Business Plan which includes Technology Village Goals and plans for a Scott County -Wide
Incubator/Accelerator initiative was reviewed. Comments from the Technology Village November 21, 2017
workshop were incorporated, along with input from a City Administrator, in Scott County.
The Board discussed minor changes including the goal to engage and retain current business participants in Scott
County after they graduate from the program, clarification on the CDA Board versus the County Incubator Board,
and the addition of information relating to the core value of creating high paying jobs in Scott County, as a
supplement to the Value of a Job section.
McCabe noted the Business Plan will be shared with the EDA in January with a disclosure that the FSS Board and
CDA will be reviewing the document in January, 2018.
4. New Business
2
a. Election of Officers, 2018
McCabe reported that the Technology Village Bylaws require an annual election of a Chair and Vice Chair.
McCabe serves as Secretary to the Board.
MOTION BY STRATTON AND SECOND BY STROH to nominate Gerry Hughes as Chair for the Technology
Village Board of Directors for 2018. Motion carried 4-0.
MOTION BY HUGHES AND SECOND BY STROH to nominate Dan Stratton as Vice Chair for the Technology
Village Board of Directors. Motion carried 4-0.
b. Lease Agreement Suite C102
Foust reported that the lease for Suite C102 is set to expire the end of December, 2017. LocalVibe has indicated
they do not need the third office in 2018. The office will be available in January, 2018.
c. Mentor Assignments
It was the consensus of the Board to table the assignment of Mentors to the new Virtual Participants, ZIET LLC and
Ion Concert Media, until the December 19, 2017 workshop when additional Board members are present.
d. Participant Survey.
Technology Village Participants will be asked to complete a survey to provide input on information needed for the
Metrics Report as well as programming for 2018. A draft survey was reviewed. It was suggested a question be
included relating to participant’s use of information in the Technology Village Participant Dropbox. The change will
be incorporated and survey sent out.
5. Updates
a. Technology Village Metric Report – November, 2017
Board members reviewed and discussed the November, 2017 Metric Report.
b. Action Item Update
The Action Item report was included in the packet.
c. Calendar of Events
The next workshop meeting is scheduled for Tuesday, December 19, 2017 at 7:30 a.m. There are no roundtable
requests from Participants for December 19th.
The next regular board meeting will be January 16, 2018. Wilwerks may be interested in a roundtable with the
board on January 16th. Gifthorse may be interested in a roundtable in January or February. New Virtual
Participants may also be interested in roundtables early in 2018. It was suggested design-a-tivity be invited to the
roundtable with ZIET since he is a service provider for the company.
The Board discussed the frequency of meetings, workshops, roundtables and participant breakfasts. Monthly
meetings with bi-monthly workshops and quarterly participant breakfasts were discussed. Roundtables could be
scheduled on non-workshop months, as needed. The Participant Survey will also seek input on the desired
frequency of meetings.
d. Board Member Ideas/Recommendations
None.
6. Adjourn
MOTION BY STROH and SECOND BY STRATTON to adjourn the meeting. The meeting adjourned at 8:43 a.m.
Submitted by: Jo Foust, Scott County FSS
3
CITY OF PRIOR LAKE, MINNESOTA
TECHNOLOGY VILLAGE BOARD OF DIRECTORS
WORKSHOP NOTES – December 19, 2017
952.496-8830 – jfoust@scottfss.org - www.technologyvillage.net
Call to Order
The workshop session was called to order at 7:30 a.m. Present: Board Members Gerry Hughes, Adam Proehl, Patrick Stroh,
Sarah Jones and Advisory Board Member Dave Rech. Staff present: Jo Foust (FSS). Absent: Dan Stratton, Zach Braid and
Community Development Director Casey McCabe.
FAST-TRACK Challenge Updates
The following items related to the FAST-TRACK Challenge were discussed.
Foust and Braid will meet prior to the next meeting to develop lists of potential sponsors, service providers and new
businesses to solicit for the challenge.
Five minutes of various segments of the FAST-TRACK Challenge video clips were provided to Jeff Renner, Savage
TV, for a highlights video. Renner and Foust will be meeting on January 4, 2018 to work on the video and narrow it
down to three minutes. Captions will be included.
Sponsorship levels were discussed for 2018. The consensus was to leave the sponsorship levels the same:
$10,000; $5,000, $2,500 and an open donation amount.
Foust reported she and Stacy Crakes are presenting information on FSS and its programs at various Chamber of
Commerce meetings in Scott County. Information on the FAST-TRACK and opportunities for sponsorship/service
providers is being shared with the business attendees.
It was suggested the Subcommittee for the FAST-TRACK Challenge meet in January/February to confirm the
blueprint for 2018’s event.
The FAST-TRACK Challenge has been selected for the Economic Development Association of Minnesota’s
(EDAM’s) Program of the Year. The award will be presented at a banquet on Thursday, January 18, 2018. EDAM
will provide a press release regarding the award after the event. Foust will notify the sponsors, service providers
and judges of this award. This will also be incorporated into marketing for the 2018 event.
The CDA budget has been set for 2018. Funds for the FAST-TRACK will be requested as a specific line item.
Both Ion Concert Media, Inc. and ZIET, LLC have executed agreements for the Virtual Program. Mentors for the
two were discussed. Hughes offered to assist ZIET, LLC. An email will be sent to Ion Concert Media, Inc. with
copies of the bios for Jones, Stroh and Proehl, asking them if they have a preference for a skill set of one of the
three.
County-wide Incubator/Accelerator
Foust noted the draft Business Plan will be shared with economic development staff from Scott County cities at a
SCALE Tech Team meeting on December 20, 2017. Stroh provided a chart to include.
Hughes referenced unused federal dollars which were awarded to cities in the past through the Minnesota
Investment Fund grants. The reuse of these funds includes numerous restrictions, resul ting in cities retaining the
dollars unused in their accounts. One eligible reuse is a business incubator. He suggested this source of funding
be explored with Scott County cities for a county-wide program.
Board of Directors Survey
The results of the Board of Directors Survey were reviewed with the following recommendations:
A summary of action items needed, with page numbers referenced, will be included with future TV packets.
The consensus of the Board was to conduct one monthly meeting, the second Tu esday of the month from 7:30
a.m. to 9 a.m. Workshops will be held as needed. Board members will be asked to work with their TV participant
to schedule roundtables as needed. Participant breakfasts and educational programs will be scheduled quarterly.
4
Foust will work with McCabe and/or Crakes to set up GoToMeeting or other conference calling options for board
members who are unable to attend workshops but would like to call in to participate. No formal action would be
taken at these sessions.
Participant Survey Results
Four participants, including three virtual participants, responded to the Participant Survey. Recommendations resulting from
the survey included:
Exploring a closed LinkedIn group to share information with participants.
Notifying participants when information is added to the DropBox
Consider the development of a one-page e-newsletter to be sent to participants on a monthly basis, as in the past.
Action Items
Action Items were reviewed. Foust participated in a webinar on funding business incubators. The PowerPoint summary will
be emailed to Board members for their information.
Calendar of Events
The next regular Board Meeting will be held on January 16, 2018, with no meeting on January 2, 2018.
Adjourn
The workshop adjourned at 8:55 a.m.
Submitted by: Jo Foust, Scott County FSS
5
Agenda item 3 a. FAST-TRACK Challenge Updates
The FAST-TRACK Challenge will be awarded the Economic Development Association’s Project of
the Year Award at their annual banquet on Thursday evening, January 18th. Patrick, Gerry, Casey
and I will attend. An email was sent to the judges, sponsors and service providers thanking
them for their contributions.
The deadline for the Scott County SCENE, February/March issue is Jan. 19th. We will submit the
Press Release on the FAST-TRACK Challenge’s Program of the Year Award, once it is provided to
us from EDAM. The press release will be sent to local papers, Chamber of Commerce and cities
as well as posted on the FAST-TRACk Web site, FSS Facebook, etc.
I met with Jeff Renner, Savage TV on January 4th and January 12th to work on the FAST-TRACK
Challenge highlights video. It was an interesting process cutting 1 hr. 43 minutes down to a few
minutes! We hope to have a draft for the board to review and comment on by the January 16,
2018 meeting.
A committee meeting will be scheduled in the next month to finalize the 2018 applications for
Sponsorship, Service Providers, applications for the program (i.e. clarify criteria, etc.) and plan
the 2018 event and marketing.
No action is required by the Board at this time.
6
Agenda item 3. b. Technology Village Business Accelerator
Phase II.5 Business Plan
At the December meeting the Board tabled action on the Phase II.5 Business Plan. The Plan has since
been circulated to each of the seven Scott County cities. Comments received are incorporated into the
attached draft. Staff from the cities of Savage, Belle Plaine and Prior Lake provided input. No comments
were received from other Scott County communities.
Changes to the plan, since the December meeting, are included in the redline version. Changes were
made to pages 6, 7, 8 (Graphic provided by Patrick), 16 and 17.
The Business Plan will be discussed with the FSS Board on January 31, 2018.
Action:
The Technology Village Board is asked to make a motion and second to recommend the Prior Lake EDA
adopt the Technology Village Business Accelerator Phase II.5 Business Plan.
7
SCOTT COUNTY
BUSINESS INCUBATOR-ACCELERATOR
PHASE II.5
BUSINESS PLAN
4646 DAKOTA STREET SE
PRIOR LAKE, MN 55372
952-496-8830
www.scottfss.org
DecemberJanuary, 20172018
8
Page 1
Table of Contents
1.0 EXECUTIVE SUMMARY .................................................................................................................. 2
2.0 HISTORY ................................................................................................................................................. 3
3.0 MISSION, ADVANTAGES & GOALS OF A COUNTY-WIDE INCUBATOR PROGRAM ....... 3
3.1 MISSION ................................................................................................................................ 4
3.2 ADVANTAGES OF A COUNTY-WIDE PROGRAM ........................................................ 4
3.3.1 SCOTT COUNTY 2018 GOALS ......................................................................................... 4
3.3.2 TVBA 2018 GOALS .............................................................................................................. 5
4.0 SITE(S) .................................................................................................................................................... 6
5.0 MANAGEMENT AND STAFFING ....................................................................................................... 7
5.1 STAFF ...................................................................................................................................... 8
5.2 BOARD OF DIRECT ORS ................................................................................................ 9
5.3 ADVISORY BOARD ....................................................................................................... 13
5.4 BYLAWS................................................................................................................................ 13
5.5 SERVICE PROVIDERS / TECHNOLOGY VILLAGE PARTNERS ....................... 14
6.0 MARKETING AND REBRANDING ...................................................................................................... 14
7.0 BUDGET AND FUNDING ....................................................................................................................... 14
7.1 2 018 TVBA OPERATING BUDGET .......................................................................... 15
7.2 2018 SCOTT COUNTY CDA INCUBATOR OPERATING BUDGET ............. 16
8.0 SCOTT COUNTY INCUBATOR METRICS .................................................................................. 16
9.0 PROGRAM PARTICIPANT FOCUS ............................................................................................... 16
9.1 PROGRAM PARTICIPANT SUCCESS RATE .......................................................... 17
9.2 SELECTION CRITERIA ................................................................................................ 17
9.3 PROJECTED TVBA PROGRAM DEMAND .............................................................. 18
9.4 TVBA PROGRAM PARTICIPANT FORECAST ....................................................... 18
10.0 SCOTT COUNTY ‘VIRTUAL’ ACCELERATOR PROGRAM .................................................... 19
11.0 VALUE OF A JOB .............................................................................................................................. 19
9
Page 2
1.0 EXECUTIVE SUMMARY
The purpose of this Business Plan is to guide the programming and direction of a Scott County-
Wide Business Incubator/Accelerator program for the benefit of all communities within the
county. This strategic plan was drafted with input from the Prior Lake Technology Village Board
and intended to provide the foundation for Scott County CDA’s First Stop Shop (FSS) and Scott
County communities, and the future Scott County Incubator/Accelerator Board of Directors for
the expansion of the accelerator program throughout the county. It is the intent that this Plan
will evolve as the program moves forward and the accelerator program at Prior Lake’s
Technology Village will be transitioned into a county-wide incubator/accelerator program
The National Business Incubation Association (NBIA) defines business incubators as a catalyst
tool for either regional or national economic development. (Please see Exhibit 1: Glossary of
Terms). Business incubators are typically funded either through private investment or
municipalities. The purpose of a Scott County Business Incubator/Accelerator program is to
foster economic development by providing entrepreneurs with technical and financial assistance
to help jump-start and accelerate their business plans, resulting in additional quality jobs in
Scott County.
The City of Prior Lake established the Technology Village Business Accelerator program in the
fall of 2012 and began operations in 2013. The accelerator program was originally established
to serve entrepreneurs in technology and professional service with a technology focus, in the
City of Prior Lake. The program expanded over the past five years to allow business
participants in all cities and townships within Scott County. The program is currently in its sixth
year of operation and has six program participants (Four non-virtual and two virtual
participants), with a total of thirty-two employees. The Technology Village office space within
city hall, as of the third quarter of 2017, is at full occupancy.
With a 2015 Economic Development Incentive (EDI) Grant from the Scott County Community
Development Agency (CDA), Prior Lake hired a consultant, Greenwood Consulting Group, Inc.,
to assess the Technology Village Business Accelerator (TVBA) and provide recommendations
for its future direction, including possible expansion or relocation. This resulted in a Phase III
Program Analysis, which is referenced throughout this document, and included as Exhibit II.
Based partly on the on findings in this Program Analysis, the Scott County FSS began to have
discussions with Prior Lake city staff to examine the opportunity to broaden the footprint of the
program on a county-wide level. In addition, several Scott County cities expressed an interest
in potentially having incubator/accelerator programs, but had been unable to do so on their
own.
This Business Plan serves as the next step in expanding the Incubator/Accelerator Program
throughout Scott County. This Plan addresses:
The history of the Prior Lake Technology Village Accelerator Program
Mission and Goals for a County-Wide Incubator/Accelerator
Physical Site(s) and Virtual Program Opportunities
Management and Staffing
10
Page 3
Marketing and Re-branding
Programming and Platforms
Metrics to Evaluate Success
Program Participation Focus
The “Virtual Participation” Program; and
The Value of a Job
2.0 HISTORY
The Prior Lake EDA approved its first Business Plan for the Technology Village Business
Accelerator on July 16, 2012. The City Council initially budgeted $50,000 to fund the first
phase of Technology Village, including the purchase of office equipment and furniture. Over
the years, the budget has been reduced. The 2018 preliminary budget is $7,820 with
participant fees covering all expenses, outside of staffing.
Technology Village contains approximately 2,000 square feet of space on the main floor of
Prior Lake City Hall; including 5 hard-walled offices and approximately 800 square feet of open
co-working/collaboration space. The offices are furnished and participants are provided
resources such as internet, phone, printer/copier, and a break room. The City of Prior Lake
provides the improved space and equipment. In 2014, the program in Prior Lake was
expanded to include some off-site office space, in private properties located within city limits.
Participants were able to negotiate their own lease arrangements for space and then would
receive some rent reimbursement from the TVBA. In 2017, the City decided to eliminate the
option for participants to receive a rent reimbursement.
In 2017, First Stop Shop relocated their offices to Technology Village, occupying one office and
one cubical within the incubator space. As of October, 2017 all leasable space in Technology
Village was 100% occupied, with six program participants (including Virtual participants).
Employment has increased as a result of Technology Village. In September, 2013 there were
two employees associated with the program. This increased to 14 in September of 2014; 28 in
September of 2015; 25 in September of 2016 and has been at 32 employees as of September,
2017.
3.0 MISSION, ADVANTAGES & GOALS OF A COUNTY-WIDE INCUBATOR
PROGRAM
The Scott County CDA supports the growth of emerging technology and professional service
businesses with a technology focus, within an entrepreneurial environment that encourages
collaboration, fosters job creation and provides connections to local & regional resources.
11
Page 4
3.1 MISSION
The Mission of the Scott County CDA Incubator/Accelerator is to provide a venue to encourage
and nurture innovation and entrepreneurship, in a collaborative environment, resulting in the
expansion of high wage, high skill jobs within Scott County.
In general, the mission of any business accelerator is to aid in the successful development of
emerging businesses. Ideally, businesses will grow and move from the Scott County CDA
Incubators/Accelerators out into the communities and contribute to the overall vitality,
diversity, and growth of the economy. Not only do participants of the Scott County CDA
Incubators/Accelerators benefit, but the program is designed so Scott County benefits through
greater economic development activity, new high wage, high skill employment opportunities,
enhanced community image, increased entrepreneurialism and additional tax revenues that
support services.
3.2 ADVANTAGES OF A COUNTY-WIDE PROGRAM
Advantages of a County-Wide Incubator, versus independent incubator programs in each
community, include:
Significantly reducing the amount of staff time each city would have to provide to make
their own programs work;
Coordinated marketing efforts on education, training, and professional development
programs;
Coordination with other targeted business growth programs in Scott County, such as
Open to Business and Economic Gardening;
Document consolidation - leases, agreements, business plans, etc. would all be
managed through one source rather than each city having to develop their own;
Recruitment of participants and marketing costs (websites, advertising, etc.) would also
benefit from economies of scale;
Shared space in the county, allowing entrepreneurs from any community access to the
dedicated space in participating cities as well as conference rooms (as available); and
Overall reduced program costs when pooling resources.
3.3.1 SCOTT COUNTY CDA PROGRAM 2018 GOALS
Goals established to move forward with the implementation of a county-wide incubator include:
Establishing a pipeline of technology and professional service businesses that will allow
the continued full use of the Scott County CDA Incubator program while continuing to
accommodating the six existing program participants during the term of their
agreements and retaining their businesses in Scott County upon graduation from the
program.
o Participate in the second annual Scott County FAST-TRACK Business Challenge.
o Present information regarding the incubator program to Scott County cities and
Chambers of Commerce, Open to Business Program and other regional and
12
Page 5
state partners (i.e. GREATER MSP, DEED) in an effort to spread awareness and
gain support for marketing the program.
o Market the county-wide incubator program through various print and social
media channels.
o Recruit mentors and board members from the participating Scott County cities.
o Build relationships with school programs within public schools, MNCAPS,
community colleges, etc. to support projects of program participants.
Obtaining funding approval necessary from interested cities to fully implement Phase
III Business Plans, or the Scott County CDA Incubator Program.
o Work in cooperation with local government units to budget for the development
of local incubator programs.
o Investigate the use of EDI grant funds to support the development of satellite
incubator programs.
o Continue to budget, through the FSS, for staffing to manage the county-wide
incubator program and part-time Executive Director/Manager, as recommended
by the Phase III Program analysis.
o Investigate grant opportunities to support the county-wide incubator effort.
o Formal Organization – Research the benefits of establishing a 501(c) 3 to allow
access to federal CDBG/SCDP.
o Continue to review lease rates and Virtual Participant rates to encourage a
program that is financially self-supporting, once initial capital expenditures are
covered.
Adding incubator sites within Scott County, as participants are identified and cities are
able to identify suitable sites and a budget to accommodate the development of the
site.
o Identify at least one community and physical site in year 1 (2018) with a
potential additional physical site for 2020.
Building synergy among program participants across Scott County, that are in like
industries, allowing collaboration and coordination in educational programming; boot
camps for participants, etc.
3.3.2 TVBA 2018 GOALS
Prior Lake Technology Village Board goals for 2018 include: Continue to implement the
recommendations of the Technology Village Phase III Program Analysis to expand the TVBA
Virtual Program into other Scott County Cities with FSS and PL TVBOD support.
Create a Business Plan which identifies the specific tasks necessary to secure funding
and/or sources of funds to support Scott County program expansion.
Participate in the second annual Scott County FAST-TRACK Business Challenge.
13
Page 6
Identify additional program participants, both virtual and physical; to increase the
number of TVBA related employees working in Scott County.
4.0 SITE(S)
The Technology Village Phase III Program Analysis completed by Greenwood Consulting Group,
Inc., recommends a single, centralized location for a county-wide incubator. At this time, the
estimated $2.5M for development of that scenario is not feasible. The Phase III Program
Analysis also recommends a county-wide expansion to reach a larger number of entrepreneurs
with a dedicated Executive Director to help the accelerator program flourish.
This plan acknowledges the efficiencies which would be realized with one incubator facility;
however, also recognizes the need to jump start a county-wide program with satellite offices in
communities with available public space, or private space dedicated for incubation/acceleration,
that are willing to participate in the program. It is proposed the existing space in Prior Lake
City Hall (Technology Village) continue house entrepreneurs in the program. The cities of
Savage and Shakopee have also identified potential public space which may serve as satellite
incubator facilities. While other cities in Scott County are interested in providing an incubator
program for their residents/businesses they currently do not have public space available to
accommodate a facility.
Requirements for any community participating in the Scott County CDA Incubator/Accelerator
program, with dedicated space, would include:
Incubator space would be required to be available to all Scott County eligible business
start-ups. The space would not be limited to businesses or residents from within any
specific city.
In order to ensure consistency, lease agreements, rental rates, and marketing would be
consistent for the various sites. This may be modified if a future site for a
manufacturing incubator is developed, with larger sizes and different amenities.
Each community would be required to provide the space, at no charge to the Scott
County Incubator Program. This could include the dedication of existing public space;
or municipal payment for the leasing of private space. If no public space is available,
businesses from cities may participate in the Virtual Program, or lease space in a facility
with vacancies.
Each community would be required to maintain or arrange for the maintenance of the
space including the funding of utilities, maintenance and cleaning.
Each community would invoice and collect rent and virtual participant payments to off-
set building and operational expenses incurred by the community. Or…. FSS invoices
and collects rents. On a quarterly basis, FSS will remit rent payments to the
participating community, less administrative costs.
14
Page 7
Each community would be required to build out the incubator space with needed walls,
cubicles, desks, computers, printers, telephone and internet access. Capital
improvements may vary depending on the focus area of the respective
incubator/accelerator space.
Each space would be developed to allow 24-7 access for program participants. This
could be accomplished through key fobs, issuance of keys, etc.
All spaces would be designed to serve as an incubator/accelerator facility with
participants participating in educational training and mentorship programs, and
intended “graduation” from the program and facility within three years, moving into
public private space in the county.
Each community would be required to provide a liaison to serve on the Scott County
CDA Incubator/Accelerator Board of Directors as well as a mentor with experience in
the industry of focus for the community. Each community is required to appoint an
alternate in the event the liaison is unable to attend a Board meeting or function.
In order to encourage efficiencies, ensure higher occupancy rates and manage facilities it is
recommended additional sites be phased in over time versus the development of seven
different locations/sites in each community.
5.0 MANAGEMENT AND STAFFING
Prior Lake’s Technology Village is a publicly sponsored business accelerator with its primary
funding provided by the City of Prior Lake Economic Development Authority. The
organizational structure of Technology Village has included the Prior Lake Economic
Development Authority, Technology Village Board of Directors, City of Prior Lake staff support,
and as of 2017, support from First Stop Shop staff.
The expansion of the program to a county-wide program would expand the organizational
structure. The illustration below depicts the participants anticipated to move the program
forward.
15
Page 8
5.1 STAFF
Prior Lake’s Technology Village (Phase I and Phase II) staffing has been accomplished with
existing City of Prior Lake staff. The Community Development Director for the City of Prior Lake
served as the Technology Village Executive Director. The Executive Director was assisted by
Prior Lake Community Development staff and existing City of Prior Lake support staff.
Additionally, members of the Board of Directors have had a hands-on approach to assist in the
program’s staffing needs. The Executive Director and city staff, along with members of the
board, have coordinated and provided services to program participants, cultivated resource
networks, managed facility development, and managed ongoing operations.
The Technology Village Board of Directors recommended a part-time Executive Director be
hired as a component of the Phase III plan, based on Greenwood Consulting Group’s Phase III
Analysis findings report, to manage the operations of the accelerator, provide direct business
assistance to program participants, establish a network of service providers and program
sponsors, and continue to grow and expand the reach of the program. In 2017, First Stop Shop
hired a full-time Business Development Specialist. The position was expanded to include shared
duties with the City of Prior Lake’s Community Development Director.
Executive Director.
Current staff for Technology Village includes:
16
Page 9
Casey McCabe, Community Development Director, City of Prior Lake. Casey currently oversees
the Technology Village web site, issuance of keys to Technology Village, preparation of metrics
and oversight of the budget, responding directly to the Board of Directors and Prior Lake EDA.
Jo Foust, Business Development Specialist, Scott Co. First Stop Shop. Jo has been actively
involved with Prior Lake’s Technology Village since January, 2017. She has 16 years of
experience as a small business owner of a municipal planning and economic development
consulting firm. She has been involved with the marketing of Technology Village, the
development of the FAST-TRACK Challenge and coordination of bi-monthly Board meetings and
workshops, including correspondence with program participants.
As the Phase III plan, or county-wide incubator program is developed, it is proposed cities
which propose to provide physical space for an incubator satellite office enter into an
agreement with the Scott County First Stop Shop (FSS). The agreement would outline the
roles and responsibilities of the community as well as FSS’s role in providing management and
oversight including the preparation of lease agreements, coordinating educational programs,
round-tables, meeting agenda’s preparation, etc. City staff would be responsible for the
collection of rent, coordination of utilities, cleaning, etc. of their independent spaces. A sample
Agreement is included as Exhibit III.
5 .2 BOARD OF DIRECTORS
Board of Directors. It is proposed the current Board of Directors for Prior Lake Technology
Village provide direction and oversight for the county-wide incubator. As new sites are added,
it is recommended a Scott County Incubator/Accelerator Board of Directors be appointed from
the participating communities with expertise in their respective incubator/accelerator industry
focus. If a participating city cannot find a suitable/willing representative from their
community, a representative from another community may fill the Board seat. It is
recommended new bylaws be developed with flexibility afforded to the board to adjust as the
program further develops. The organizational chart below illustrates the proposed Board
composition. In the initial year(s) it is proposed the current Technology Village Board remain
active on the Scott County CDA Incubator/Accelerator Board to provide direction, share their
experience and assist in the transition.
17
Page 10
5.2.1 ROLES AND RESPONSIBILITIES
The Scott County Community Development Agency’s (CDA) Board of Directors will provide the
oversight of the program, and possible funding, through the CDA levy. The mission of the Scott
County Community Development Agency (CDA) is to strengthen the communities of Scott
County by providing affordable housing opportunities to low and moderate income families,
promoting economic development, and fostering coordination of public and private resources.
The CDA was created by an act of the Legislature in 1974 (Chapter 473). The five member
Board includes representation from each Commissioner District. Board Commissioners serve
five-year terms, with no term limits. (This is yet to be discussed with the CDA Staff and Board!)
The Scott County CDA Incubator/Accelerator Board’s duties and responsibilities include:
Plan and formulate policy to guide the programming and direction of the county -wide
incubator program;
Develop a written document including expectations for satellite incubator/accelerator
sites.
Assist in the hiring of the Executive Director position, when required;
Assist in screening prospective incubator/accelerator clients;
Serve as mentors to program participants;
Ensure the overall financial viability of the program;
Serve as a liaison between city governments and the communities; and
In conjunction with EDA members from various communities and city staff, introduce
potential or new business representatives to others in the commercial community.
Liaisons from participating communities would be responsible for serving as a member on the
Scott County Incubator/Accelerator Board. They would also have the following responsibilities:
Serve as a liaison between the Board and the community in which they represent
CDA/FSS Board
Scott County CDA
Incubator/Accelerator Board
Members:
1. CDA/FSS Board Member
2-5. Technology Village Board Members
6. Site 2 Liaison/Mentor
7. Site 3 Liaison/Mentor
Staff: PT Manager/FSS
Site 2 – Liaison and
Mentor
Site 3 – Liaison and
Mentor
Site 1.
Prior Lake
Technology Village
Board (PLTVB)
(2018)
Site 1 –Transitions to
Liaison(s) and
Mentor(s) as other
sites, liaisons and
mentors come on
board.
18
Page 11
Provide input on the focus of a satellite incubator/accelerator and its potential
participants.
Assist in identifying mentors from the community they represent to assist program
participants from their area.
The PLTVB Board of Directors would continue to act in an advisory capacity and advise on
matters related to the county-wide incubator program. The duties and responsibilities include:
Providing support, direction and oversight to the Scott County Incubator/Accelerator
Board of Directors with membership on the Scott County Board.
Continue to serve as mentors to the Participants in Technology Village, and other sites,
as deemed mutually appropriate.
Carry out the Goals and Vision of the Technology Village Satellite Accelerator.
Oversee the metrics for Technology Village Accelerator.
The current members of the Technology Village Board of Directors serve three year terms,
which are renewable up to three consecutive terms. It is recommended the terms of service
for the county-wide incubator continue at 3-years.
The Board of Directors consists of individuals that share the vision of Technology Village and a
county-wide incubator/accelerator program as an economic development initiative, and who are
able to provide expertise that will help fulfill the program’s mission. The board has been
instrumental in promoting Technology Village generating awareness and understanding of
incubator programs as an important economic development tool for Scott County communities.
The members have provided network connections and assistance to the Executive Director in
creating networks to professional resources that support the success of Technology Village
businesses. Below is a list of the Technology Village Board of Directors who are recommended to
continue to serve as the Board for the county-wide incubator program, during the initial one to
two years of development:
Gerry Hughes, Chair
With more than 25 years of Healthcare experience, Gerry is a proven and successful professional
services leader within the business software industry with such well-known companies Lawson
Software, Oracle, and Healthland. Through direct efforts related to professional consulting service
contracts, product sales support, project implementation leadership and oversight, Gerry is known
for being a strategist and passionate leader who understands the importance of a goal driven
organization to meet operational objectives and maximize organic growth. Gerry is an innovative
thinker adept at identifying client and company business needs, making decisions, problem
solving, mentoring and initiating company culture change.
Dan Stratton, Vice-Chair (Term: 2018-2020)
Dan is the President of a private real estate investment company and serves as the Land
Manager for the Shakopee Mdewakanton Sioux Community (SMSC). Dan’s duties for the SMSC
include conducting real estate negotiations and transactions, managing commercial and
residential rental properties and other development initiatives. Dan’s experience has allowed
him to build relationships in many industries, including health care brokerages, IT
19
Page 12
development, phone and voice services, etc. Dan is very excited to be involved in the formation
and growth of new businesses in Prior Lake and watch that growth benefit the community.
Adam Proehl (Term 2018-2020)
Adam is a partner at NordicClick Interactive, a cutting-edge Twin Cities Digital Marketing
agency. Adam was instrumental in building this 18 person multi-million dollar agency from the
ground up and he understands what it takes to make a young company succeed. With a
background in marketing and an established network of industry peers, executives, service
providers and investors, Adam is an invaluable resource for the Technology Village program.
Adam loves seeing individuals who put their soul into their business dream and working with
them to grow their technology start-up companies. Adam has spoken at several industry
conferences over the last few years including SES, Pubcon, OMS, B2B, eMetrics, and DMA. He
is also an instructor at the Online Marketing Institute and the University of San Francisco.
Lori Frank
Lori currently serves as the CEO of Argos Risk, an online credit risk management business
based in Edina, Minnesota. With over 25 years of executive management experience in the
areas of technology and finance, Lori is a visionary leader who has led several start-up
companies into market dominance. She has served as CEO of both public and private
companies over her tenure and thrives in diverse and challenging enterprises that need a
focused, motivated leader.
Patrick Stroh (Term 2017-2019)
Patrick is president of Mercury Business Advisors providing management advisory services in
business strategy, innovation and risk management and is author of Business Strategy; Plan,
Execute, Win! and Advancing Innovation; Galvanizing, Enabling and Measuring for Innovation
Value! Patrick serves on three boards of directors including: global director for the Institute of
Management Accountants who serve 80,000 finance professionals worldwide; Technology
Village, a business incubator in Prior Lake, and Vail Place, a Minneapolis based agency
supporting those with mental illness. Patrick was appointed in 2014 to serve on the COSO
Advisory Board to review the update of the 2004 COSO Enterprise Risk Framework. Prior to
consulting, he most recently held positions within UnitedHealth Group, including chief strategy
& innovation officer, client experience officer, and president consumer health products. Patrick
also writes a column entitled Innovation Elixir® for the American City Business Journals
covering 43 metro markets across the U.S., is an active member of Rotary Club and is a
classically trained chef having studied at Le Cordon Bleu in Minneapolis.
Sarah Jones (Term 2017-2019)
Sarah has spent most her career in Healthcare technology, and participated in the successful
sale of a healthcare technology startup. She currently serves as the Director of Client Success
for GreatCall, the leader in connected health for active aging. Her previous experience offers an
understanding of how startups work and the challenges they face every day. Sarah is
passionate about making Prior Lake an even better place to live and brings a fresh, on-the-
ground point of view to the Technology Village Board and pragmatic, strategic guidance to
Technology Village program participants.
20
Page 13
Zach Braid (City of Prior Lake City Council Liaison)
Zach is an entrepreneur, investor, and owner of numerous businesses within Prior Lake and the
greater Twin Cities. Zach’s business interests are in a variety of industries including; fitness,
indoor air quality and environmental services, real estate investing, and franchising. Previously
he served on the sales advisory committee at AT&T which is reserved for only the top 1% of
sales representatives in the company. He has also been recognized at other Fortune 500
companies for sales achievement and contract negotiations. Zach is an advisor to businesses
and startup companies and serves as a board member for serval companies including a non-
profit. Zach was recently elected to Prior Lake’s City Council in 2017 and serves as a
commissioner on Prior Lake’s Economic Development Authority.
5 .3 ADVISORY BOARD
In 2015 the Technology Village Board of Directors established an Advisory Board, which
currently includes one member, who works with the Board of Directors to advise and mentor
program participants. As Phase III is implemented it is recommended the Board explore
opportunities to expand the Advisory Board to include representation from other Scott County
communities.
The Advisory Board will be ex-officio, non-voting members who may not meet the
requirements to be a member of the Board of Directors but whose skills would make them a
valuable asset to the Board of Directors and its program participants.
David Rech, Advisory Board Member
Dave has spent over 30 years as an executive in the technology sector focused on selling to the
masses. He presently owns his own consulting firm and is actively involved in real estate
development and sales. Previously he’s held global executive management positions with The
Walt Disney Company, Twentieth Century Fox, Digital River and Globalware Solutions as well as
multiple distribution companies. Dave was born and raised in New Prague, MN and his family
has been residents of Prior Lake for over 13 years, they also spent 10 years in California. As a
member of the board Dave brings sales, marketing, ecommerce, contract management,
coaching and SaaS experience to the mix.
It would be the intent to consolidate the Advisory Board function into the Scott County CDA
Incubator/Accelerator Board or mentors’ role as the Scott County CDA Incubator/Accelerator
develops.
5.4 BYLAWS
The current Technology Village Bylaws prohibit any official to take action or make a decision
that would substantially affect the official’s financial interests or those of an associated
business, unless the effect on the official is no greater than on other members of the official’s
business classification, profession or occupation. The Bylaws further require that all members
of the Board of Directors be either Prior Lake residents or be affiliated with a business located
21
Page 14
within the City of Prior Lake. Bylaws would need to be amended to allow members of the
Board of Directors to be residents or be affiliated with a business located in Scott County.
5.5 SERVICE PROVIDERS / TECHNOLOGY VILLAGE PARTNERS
The Technology Village Board of Directors has been successful in establishing partnerships with
Integra Telecom and the Prior Lake Area Chamber of Commerce who provide their services at a
reduced rate to Technology Village program participants. The Board would like to expand the
network of service providers to include accounting, legal, human resources, financial, and other
local professionals and institutions who will offer their services at a free or reduced rate to
program participants. The establishment of this service provider network will be a time
consuming task and would be a key initiative of the part-time Executive Director. An established
network of service providers will help create awareness of the county-wide incubator/accelerator
program and will provide the necessary services that are needed to ensure the success of our
program participants.
It is recommended the county-wide incubator continue to enhance its relationships with the
existing service providers and develop new partnerships with organizations such as Scott
County, [which includes Open to Business, First Stop Shop and Economic Gardening], SMSC,
SCORE, Chambers of Commerce in Scott County communities, MN DEED, GREATER MSP and
the various cities.
6.0 MARKETING AND REBRANDING
Marketing – Technology Village has been branded as the Business Accelerator at Prior Lake
City Hall. Rebranding the model for a Scott County-wide program is recommended. Themes
for satellite office sites versus one name with the community name should be determined by
the Board and participating communities.
Marketing of the county-wide incubator program is proposed through the Scott County cities,
Chambers of Commerce, print and social media.
Direct mailers, signage, etc. are also recommended to make residents and entrepreneurs
aware of the incubator/accelerator program and spaces available.
Continuance of the FAST-TRACK Business Challenge is recommended as a method of raising
county-wide awareness, gaining program participants (with winners receiving their first year
as a Virtual Participant for free) and developing a pipeline of future participants.
7.0 BUDGET AND FUNDING
The City of Prior Lake maintains a separate budget for the management of Technology Village.
This includes the purchase of equipment for work stations, maintenance (cleaning), utilities,
22
Page 15
marketing and promotion. The rent structure for space in Technology Village has also changed
over the past six years. The program initially started with funding for equipment and
furnishing. In 2017 Technology Village was self-supportive (exclusive of staffing expenses).
The Scott County CDA Incubator Program proposes a similar model with each city that wishes
to host a facility providing the building space and budgeting for the purchase of equipment,
work stations, maintenance (cleaning), and utilities. It is recognized the initial year will require
capital investments by hosting cities; with the intent to have each satellite facility self-funding
as occupancy levels increase.
Technology Village lease rates have changed over the years. Lease rates were initially
established with an escalating rate scale increasing from $5 per square foot in year one, $10
per square foot the second year and $15 per square foot. In 2016, the City of Prior Lake
amended their lease rates to a flat $10 per square foot; which was one of the
recommendations of the Greenwood Consulting Group’s Phase III Analysis for Technology
Village.
Unused Minnesota Investment Funds in various Scott County cities may be a source of revenue
for the incubator, if cities are willing to dedicate all or a portion of funds to the endeavor.
It is also recommended the establishment of a 501 (c) 3 be explored for a county-wide
incubator program.
7 .1 2018 TVBA OPERATING BUDGET
Below is the estimated operating budget for 2018 Technology Village operations. Annual rental
revenue for the current Prior Lake Technology Village program participants within Prior Lake City
Hall is estimated to be $7,820 for 2018. These anticipated revenues will be used to subsidize the
costs for Technology Village operations, which are illustrated below.
Expenses: Technology Village Accelerator, Prior Lake - 2018
Office Supplies $ 250
Small Equipment - General $ 500
Legal Fees $ 500
Software Design --
Communications $ 2,000
Dues & Subscriptions $ 1,000
Miscellaneous $ 500
Building & Structures --
Furniture & Fixtures --
General Equipment $ 1,250
Business Assistance $ 1,820
Rent Subsidies --__
TOTAL $7,820
23
Page 16
7.2 2018 SCOTT COUNTY CDA INCUBATOR OPERATING BUDGET
Office Supplies $
Equipment - General $
Legal Fees $
Software Design /Web site $
Communications $
Dues & Subscriptions $
Marketing – FAST-TRACK $
Miscellaneous $
Building & Structures $
Furniture & Fixtures $
Business Assistance $
Rent Subsidies --__
TOTAL $TBD No approved budget as of December, 2017.
8.0 SCOTT COUNTY INCUBATOR METRICS
The Technology Village Board of Directors has identified seven metrics which are currently
being tracked by the Board. The metrics are reported to the City of Prior Lake’s Economic
Development Authority on an annual basis, or as requested by the EDA. It is recommended
each satellite incubator track the same metrics for consistency.
Metrics at this time include:
Program Participant Contacts: Quarterly meetings between exis ting program
participants and Technology Village Board of Director Members.
Program Participants: number of businesses participating in the Technology Village
Program.
Employment: number of people currently employed by program participants.
Vacancy/Occupancy Rate: percentage of incubator space under lease agreement.
Total Square Feet Leased: public (city hall) and, if applicable, private office space.
Applications: number of program applications received, reviewed and accepted.
Website Activity: total website hits, website hits by unique IP address and pages visited.
Budget: Budget vs. actual expenditures.
9 .0 PROGRAM PARTICIPANT FOCUS
Incubators and business accelerator programs throughout the nation vary in the way they
deliver their services, in their organizational structure, and in the types of businesses they
serve. Due to space limitations, the skill sets of the Scott County CDA Incubator/Accelerator
Board of Directors, the desire to build synergy among the various program participants; it is
recommended the initial focus of the county-wide incubator/accelerator be on emerging
technology and professional service with a technology focus businesses.
24
Page 17
For the purposes of the county-wide incubator, emerging technology is defined as any
technology product or service that is currently developing or will be developed that may be
commercialized and has the ability to alter a business or social environment. The Board feels
emerging technology businesses provide the greatest opportunity to positively impact the
community and assist with high quality job growth. By focusing on emerging technology and
professional services with a technology focus, the board feels confident in its ability to create a
collaborative environment where complimentary businesses can work together and share
information and resources to fully capture the business accelerator concept and provide the
greatest opportunity for program success.
The Phase II.5 program focus of this Business Plan will continue to be on emerging technology
and professional service businesses with a technology focus; however, program expansion into
alternate office locations in the community will allow the board and EDA to provide Technology
Village services to non-tech companies with high growth and high employment potential. The
Prior Lake city hall office space is proposed to be reserved for tech related companies while
other businesses with a focus on other industries will be able to take advantage of this
program at an alternate office location.
Due to space restrictions, funding limitations, limited staff availability and board consulting
time, the board cannot possibly approve each and every program application. The board has
and will continue to work to maximize funding provided by each community and the FSS to
support those businesses that, in the Board’s judgment, have the greatest opportunity for
success and job creation. The ability of a potential program participant to demonstrate their
business will most likely achieve the goals of job creation and community investment and
therefore address the most pressing public purpose will be the primary factor in determining
whether a business is accepted into the county-wide incubator program.
9.1 PROGRAM PARTICIPANT SUCCESS RATE
A study done by Inc. magazine and the National Business Incubator Association (NBIA)
revealed that 80 percent of new businesses fail within the first five years. In contrast, NBIA
member incubators have reported that 87 percent of all firms that have graduated from their
incubators are still in business. So far, the Prior Lake Technology Village Business Accelerator
success rate of 85% is similar to the other NBIA member incubators. To date, Technology
Village has had thirteen program participant businesses and eleven are still in business.
9.2 SELECTION CRITERIA
Due to limited funding and limited space options, the Board of Directors cannot accept every
business into the program. To determine which business start-ups have a strong potential to
succeed and create employment opportunities in the community, the following eligibility
requirements were drafted after a review of best practices of existing incubator/accelerator
organizations.
25
Page 18
The applicant must be in the early stages of business development (first three years).
Small companies involved in a significant change in direction or launching a new
business product are also eligible to apply.
The applicant must be a for-profit business with growth potential.
The applicant must demonstrate a strong market for products and services.
The applicant must have potential for positive economic impact on the community
through:
o A technology, product, or service deemed to have a high marketplace potential.
o A potential for company growth and the associated creation of desirable jobs
within Scott County communities.
The applicant must have a product or service that may be commercialized within the
time set forth in the lease agreement.
The applicant must plan to remain headquartered within Scott County.
The applicant must have a written description of the business or a draft business plan.
The applicant must show the ability to pay rent while they develop positive cash flow.
The applicant must be willing to accept advice and guidance from the Board of
Directors.
The applicant business must be willing to take advice from the professional network
and/or the Executive Director.
The applicant must desire to take advantage of and be able to benefit from the value-
added services and guidance provided through the incubator/accelerator program.
9.3 PROJECTED TVBA PROGRAM DEMAND
It is very difficult to estimate the program’s financial needs in 2018 because it is not known
how many program participants will be accepted into the program, when they will be accepted,
their space needs or number of employees per organization. For the purpose of these budget
assumptions, the Board anticipates two new incubator/accelerator program participants will be
identified in 2018. The Board anticipated one two employee business and one three employee
business.
Assuming two new Phase III participants, one new satellite space will be required, unless all
participants chose the Virtual Program option.
9.4 TVBA PROGRAM PARTICIPANT FORECAST
The Board of Directors is working on the assumption that the two existing program
participants will continue occupying space per their lease agreements and participation
contracts. The board anticipates no additional participants will be identified to occupy space
within city hall due to the full capacity as of 9/1/2017. The board anticipates two new
Technology Village program participants, will be identified in 2018 to occupy Phase III space in
another satellite office.
26
Page 19
10.0 SCOTT COUNTY ‘VIRTUAL’ ACCELERATOR PROGRAM
The TVBA Board of Directors developed a ‘virtual’ participant program in 2015. The virtual
program is designed to provide support to emerging technology and professional service home-
based businesses, with a technology focus, located in Scott County which are not physically
located in the designated incubator space. The virtual program provides an opportunity for
businesses to participate and benefit from the Business Incubator/Accelerator program without
maintaining a commercial office location.
For a small monthly fee of $50, virtual program participants are eligible to receive the following
benefits, where available:
Mailbox service
Professional mailing address/business identity
Access to Mentor provided Business Incubator/Accelerator services, including:
o Board advisory support/mentoring
o Business assessment
o Quarterly goal review
o Business networking
o Referrals to professional service providers
Networking and collaboration opportunities with other program participants
Inclusion in all Incubator/Accelerator programs and meetings designed to assist with
business development
Inclusion of company information on the Incubator/Accelerator website
Access to conference rooms and meeting space (16 hours/month)
Access to co-working office space (including free access to Wi-Fi and access to high
speed internet within the co-working office location, where available by geographic
area)
o Conference rooms and co-working office space are reserved on a first-come,
first-serve basis. Virtual participants are provided a monthly total of 16 hours of
conference room time and 32 hours at the co-working office space.
A simple virtual participation agreement will be entered into between the Board and the
participant business. The agreement will identify the services that will be provided to the
participant and the expectations of the Board of Directors. The term for virtual membership
will be month-to-month and there will be no “equity investment recapture” in the event the
participant business relocates to another community.
11.0 VALUE OF A JOB
The Technology Village Board of Directors has attempted to evaluate the economic impact a
new technology related job will have on the community and throughout Scott County. The
board used a paper titled, Measuring How Much Economic Change Will Mean to Your
Community by Dr. Michael L. Walden, Professor and Extension Economist, Department of
Agricultural and Resource Economics at North Carolina State University, as a reference to
estimate the economic impact of a new technology related job in Prior Lake. The table below
27
Page 20
shows an income multiplier, which is essentially the number of times money earned and spent
within a local economy circulates through the economy, to estimate of the impact of twenty-
eight new technology related jobs at an estimated $50 per hour and a conservative leakage
rate of 75%.
28
Page 21
Exhibit I
Glossary of Terms
Accelerator – According to Business News Daily, Business Accelerators are very similar to
Business Incubators but may include investments into the companies. In addition, while a
business in an incubator may spend three years in a program, a business in an accelerator
typically has a shorter time frame for participation.
Coworking Space – A “shared working environment, often an office, and independent
activity. Unlike in a typical office environment, those coworking are usually not employed by the
same organization. Typically it is attractive to work-at-home professionals, independent
contractors, or people who travel frequently who end up working in relative isolation.”
(Wikipedia.org) Educational programming is generally not provided as a part of coworking
space.
Economic Development Authority – A local government authority, established in
accordance with M.S. 469.090 to 469.108, for the purpose of facilitating economic
development and redevelopment (and possible housing redevelopment) functions.
Economic Development Commission – An advisory board, to a City Council, with the
responsibility to promote and expand economic development activities.
FAST-TRACK Challenge –A business challenge in Scott County, MN that allows entrepreneurs
to pitch their business ideas to a panel of judges, with the goal to receive financial and business
service assistance to launch or fast-track their business idea or product.
Incubator - According to the National Business Incubator Association (NBIA), an incubator is
“a business support process that accelerates the successful development of startup and
fledgling companies by providing entrepreneurs with an array of targeted resources and
services. These services are usually developed or orchestrated by incubator management and
offered both in the business incubator and through its network of contacts.
Open to Busines Program – A business consultation services provided to entrepreneurs as
well as established businesses in Scott County as a program offered by the MCCD and funded
by the Scott County Community Development Agencies’ First Stop Shop (FSS).
SBDC – The Small Business Development Center is a partnership between the U.S. Small
Business Administration (SBA) and typically a local college or university designed to help foster
small businesses by providing educational resources to business owners and those looking to
start a business. (Source: Investopedia)
29
Page 22
Exhibit II
Technology Village Phase III Program Analysis,
completed by Greenwood Consulting Group, Inc.
30
Page 23
Exhibit III
Sample Agreement between Participating Cities (with physical satellite sites) and the Scott
County CDA/FSS to be developed
31
Agenda item 4. a. Board Member Resignation
Technology Village Board Member, Lori Frank, has tendered her resignation from the Board, effective
January 1, 2018, due to work commitments.
Action:
The Board is asked to accept Lori Frank’s resignation from the Technology Village Board of Directors and
thank her for her service to the Board.
FSS staff recommends the Board continue to function with this position open at this time, as we further
develop the county-wide program.
32
Agenda item 4. b. Lease Agreement Suite C102
Suite C102 in Technology Village became available on January 1, 2018 (vacated by LocalVibe). We received
an application for the Technology Village space from Srinivasan Prasanna, Managing Director - iWMS
Americas, LLC. on January, 2, 2018.
The lease would begin February 1, 2018 and continue until January 31, 2019, renewing for a year, unless
cancelled by Sri or the Board. The lease is $150.00 per month.
iWMS Americas, LLC. has provided a copy of their business filing which was completed with the State of
MN on February, 24, 2015; application and resume. The applicant is a resident of Scott County (Prior
Lake) and is in the technology field.
Chairman Hughes has reviewed the application and is recommending approval of a lease agreement
with iWMS Americas, LLC.
Action:
The Board is asked to approve the Lease Agreement with iWMS Americas LLC. for Suite C102 for $150
per month, for the term beginning February 1, 2018 and continuing through January 31, 2019; renewing
for one year thereafter, unless cancelled by either party.
33
Technology Village Goals and Metrics
(December 1-31, 2017)
Mission Statement: Technology Village supports the growth of emerging technology-based businesses within
an entrepreneurial environment that encourages collaboration, fosters job creation and provides connections
to local and regional resources.
2018 Goals:
Continue to implement the recommendations of the Technology Village Phase III Program Analysis to expand
the TVBA Virtual Program into other Scott County Cities with FSS and PL TVBOD support.
Create a Business Plan which identifies the specific tasks necessary to secure funding and/or sources of funds
to support Scott County program expansion.
Participate in the second annual Scott County FAST-TRACK Business Challenge.
Identify additional program participants, both virtual and physical; to increase the number of TVBA related
employees working in Scott County.
Key Performance Metrics
o Program Participant Contacts: Quarterly meetings between program participants and BOD.
Assigned program participants board sponsors are as follows:
• SWot (ICP) [Virtual] – Hughes
• design a tivity [Graduate] – Stroh
• Willwerks – Jones
• Local Vibe – Proehl
• ZIET, LLC [Virtual} – Hughes
• Ion Concert Media [Virtual} – Proehl
• Gifthorse [Virtual] – Stratton
o Program Participants: number of businesses participating in the Technology Village Program.
Program Participant Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017
Swot x x x x x x x
(ICP) x x x x x x x
Local Vibe x x x x x
Willwerks x x x
design a tivity
Gifthorse x x
ZIET LLC x
Ion Concert Media
Technology Village BOD Quarterly Meetings
0
1
2
3
4
5
6
7
8
9
Ja
n
-
1
3
Ma
r
-
1
3
Ma
y
-
1
3
Ju
l
-
1
3
Se
p
-
1
3
No
v
-
1
3
Ja
n
-
1
4
Ma
r
-
1
4
Ma
y
-
1
4
Ju
l
-
1
4
Se
p
-
1
4
No
v
-
1
4
Ja
n
-
1
5
Ma
r
-
1
5
Ma
y
-
1
5
Ju
l
-
1
5
Se
p
-
1
5
No
v
-
1
5
Ja
n
-
1
6
Ma
r
-
1
6
Ma
y
-
1
6
Ju
l
-
1
6
Se
p
-
1
6
No
v
-
1
6
Ja
n
-
1
7
Ma
r
-
1
7
Ma
y
-
1
7
Ju
l
-
1
7
Se
p
-
1
7
No
v
-
1
7
Program Participant Businesses
34
o Employment: number of people currently employed by program participants.
o Vacancy/Occupancy Rate: percentage of City Hall Technology Village space under lease agreement.
*905 total leasable square feet
o Total Square Feet Leased; public (City Hall) and private office space.
35
o Applications: number of program applications received, reviewed and accepted.
o Website Activity: total website hits, website hits by unique IP address and pages visited.
o Rental/Subscription Payment Status
o Expenditure & Revenue (Quarterly – March, June, Sept. & Dec.)
City Sessions % New
Sessions New Users Bounce
Rate
Pages /
Session
Avg.
Session
Duration
36 63.89%23 58.33%2.72 0:04:27
Prior Lake 16(44.44%)43.75%7(30.43%)43.75%3.38 0:07:16
Savage 6(16.67%)50.00%3(13.04%)50.00%2.67 0:01:16
Lakeville 3(8.33%)66.67%2(8.70%)100.00%1 0:00:00
Saint Paul 3(8.33%)100.00%3(13.04%)100.00%1 0:00:00
Minneapolis 2(5.56%)100.00%2(8.70%)50.00%6.5 0:17:45
Eden Prairie 1(2.78%)100.00%1(4.35%)0.00%2 0:00:17
Mankato 1(2.78%)100.00%1(4.35%)0.00%3 0:00:35
Wayzata 1(2.78%)100.00%1(4.35%)100.00%1 0:00:00
Elko New Market 1(2.78%)100.00%1(4.35%)100.00%1 0:00:00
Plymouth 1(2.78%)100.00%1(4.35%)100.00%1 0:00:00
Program Participant Jan. Feb. Mar. Apr. May June July Aug. Sept. Oct. Nov. Dec.
Local Vibe X X X X X X X X X X X X
Willwerks X X X X X X X X X X X X
SWot X X X X X X X X X X X X
Gifthorse X X X X X X X
ZIET, LLC*X
Ion Concert Media*X
*Membership dues sponsored via FastTrack Business Challenge
2017
36
REVENUE AND EXPENDITURE REPORT FOR CITY OF PRIOR LAKE 1/1Page
:
01/09/2018 08:34 AM
User: cmccabe
DB: Prior Lake PERIOD ENDING 12/31/2017
% BDGT
USED
AVAILABLE
BALANCE
ACTIVITY FOR
MONTH
12/31/2017
YTD BALANCE
12/31/2017
2017
AMENDED BUDGETDESCRIPTIONGL NUMBER
Fund 240 - EDA SPECIAL REVENUE FUND
Revenues
Dept 46503.00 - TECH VILLAGE INCUBATOR
97.56 207.47 766.67 8,292.53 8,500.00 Facility Rental - EDA240-46503.00-34760.02
97.56 207.47 766.67 8,292.53 8,500.00 Total Dept 46503.00 - TECH VILLAGE INCUBATOR
97.56 207.47 766.67 8,292.53 8,500.00 TOTAL REVENUES
Expenditures
Dept 46503.00 - TECH VILLAGE INCUBATOR
4.12 239.71 0.00 10.29 250.00 Office Supplies240-46503.00-52010.00
0.00 500.00 0.00 0.00 500.00 Small Equipment - General240-46503.00-52400.10
8.00 460.00 0.00 40.00 500.00 Legal Services240-46503.00-53020.00
0.00 0.00 0.00 0.00 0.00 Professional Services - Software Design240-46503.00-53100.60
23.90 1,521.96 0.00 478.04 2,000.00 Telecommunications240-46503.00-53210.00
0.00 2,250.00 0.00 0.00 2,250.00 Rent Subsidies240-46503.00-54095.00
0.00 2,500.00 0.00 0.00 2,500.00 Business Assistance240-46503.00-54100.00
67.50 325.00 0.00 675.00 1,000.00 Memberships and Subscriptions240-46503.00-54310.00
26.46 367.72 0.00 132.28 500.00 Miscellaneous Expense240-46503.00-54320.00
0.00 0.00 0.00 0.00 0.00 Building & Building Improvements240-46503.00-55520.00
0.00 0.00 0.00 0.00 0.00 Furniture and Office Equipment240-46503.00-55560.00
0.00 0.00 0.00 0.00 0.00 Machinery and Equipment240-46503.00-55570.00
14.06 8,164.39 0.00 1,335.61 9,500.00 Total Dept 46503.00 - TECH VILLAGE INCUBATOR
14.06 8,164.39 0.00 1,335.61 9,500.00 TOTAL EXPENDITURES
695.69 (7,956.92)766.67 6,956.92 (1,000.00)NET OF REVENUES & EXPENDITURES
14.06 8,164.39 0.00 1,335.61 9,500.00 TOTAL EXPENDITURES
97.56 207.47 766.67 8,292.53 8,500.00 TOTAL REVENUES
Fund 240 - EDA SPECIAL REVENUE FUND:
37
Agenda Item: 5. b. Technology Village Action Items (As of 01.11.18)
Pending Action Items
Present the Scott County -Wide Incubator Business Plan to the FSS Board. (On the agenda for Jan. 31,
2018)
Present information on the FAST -TRACK Challenge, Technology Village and County -wide incubator to the
New Prague Chamber of Commerce (Jan. 16 th), Savage Chamber of Commerce (Feb. 13th), and Shakopee
Chamber of Commerce (Feb. 15 th)
Attend the EDAM conference and sessions on Incubators, Project of the Year Award (Jan. 18-19, 2018) and
submit press release to the Scott County SCENE by Jan. 19 th, as well as area newspapers, Facebook,
LinkedIn, web sites, etc.
Create a FAST-TRACK highlights video - Preliminary video is planned for the Board meeting on Jan. 16 th.
Update and post new Sponsorship, Service Provider and FAST -TRACK applications on the web site.
Market the February 20 th Educational program to area Chambers, cities, businesses.
Attend the Belle Plaine EDA meeting to discuss the County Wide incubator and FAST-TRACK 2018 (March
12th, 5 p.m.)
Continuous Action Items
Market/promote Technology Village including Scott County newsletter and placing the Technology Village ad
on Prior Lake public access TV.
Consider writing a blog or utilizing another social communication platform to promote business opportunities in
Prior Lake.
Display Technology Village collateral material within Scott County libraries.
Verify participant employment information. (survey sent 12/6/17 and 12/14/17 )
Post video clips of Business Breakfast speakers, etc. on Facebook and Linked In, Board members to share
(PL staff has been asked to video tape the 2/20/18 event. The speaker has provided permission to do so).
Completed Action Items (since 12-19-17)
Obtain input from Scott County cities on the County -Wide Incubator Plan. (Distributed the Plan at the Tech
Team meeting Dec. 20, 2017 )
Developed a list of Technology related businesses in Scott County and other metro areas in MN, with Sales
Genie (Braid an d Foust on Dec. 27, 2017).
Finalized a list of the 832 new business filings with addresses (LLC’s and Incorporations) for Scott County in 2017.
(Belle Plaine -23, Elko New Market -32, Jordan -47, Prior Lake -240, Savage-191, Shakopee -299, New Prague –
not listed), to be used to solicit FAST -TRACK applications and county -wide incubator enrollment. (Jan. 4, 2018)
Updated the Dropbox contact list and 2018 Calendar.
Met with Jeff Renner, Savage TV to work on a FAST -TRACK Challenge highlights video, on Jan . 4, 2018
and Jan. 12, 2018.
Prepared lease agreement for Srinivasan Prasanna, Managing Director - iWMS Americas (Emailed Sri on Jan. 3,
2018; on Board agenda for Jan. 16, 2018)
Emailed Judges, Sponsors and Service Providers about the EDAM Program of the Year Award for the
FAST-TRACK Challenge. (Jan. 9, 2018)
Provide information for the Jan. 17th Savage EDC meeting, regarding the County -Wide Incubator Business
Plan (emailed Jan. 9, 2018).
38
Technology Village 2018- 1st Quarter Calendar
Date Time Meeting Location Event Details
January
Tuesday, January 16,
2018 7:30 AM - 8:15 AM Board Meeting City Hall-Little
Prior
8:15 AM - 9:15 AM Roundtable LocalVibe Pitch
TBA TBA Roundtable ZIET, LLC
February
Tuesday, February
13, 2018 7:30 AM - 8:00 AM Board Meeting ? City Hall-Little
Prior
Tuesday, February
20, 2018 8:00 AM - 8:30 AM Participants Breakfast Meeting
Tuesday, February
20, 2018 8:30 AM - 9:30 AM
Participant Educational
Program - Open to Scott Co.
businesses City Hall Council
Chambers
Creating a Corporate Culture - John McHugh,
Kwik Trip; any Scott County Business can attend
VIA RSVP at
https://www.surveymonkey.com/r/Feb20Event
March
Tuesday, March
13, 2018 7:30 AM Board Meeting City Hall-Little
Prior
Tuesday, March
20, 2018 7:30 AM 1st Quarter Work Session TBD City Hall
8:15 AM HOLD Roundtable TBD City Hall-Little
Prior
39