|
Semi-Annual Report January-July 2011
Click on the story you would like to read or scroll down to read stories.
City of Gaylord Facade Improvement Project No. 3
Waste Water Treatment Plant and North Water Tower Complete
Cooper-Standard Automotive Gaylord Geo-Thermal Project
Gaylord Pavillion Upgrade Underway
Mankowski Road Extension Project
Otsego County Aerospace Diversification Study
DDA Brings Retail Marketing Seminars to Gaylord
OCEA/CCEDP Multi-County Economic Development Exploratory Committee
First Ever SBA Small Business Outreach Tour Travels to 15 Michigan Cities
MEDC Economic Gardening Initiatives
-$25 million now available to support Michigan entrepreneurs
Michigan to be Test Site for Growth Fund
News from Northern Initiatives
--Michigan Small Businesses to Have Access to $1m in Federal Financing Thanks to Levin Legislation
City of Gaylord Facade Improvement Project No. 3
$400,000 in Community Development Block Grant (CDBG) funding has been secured from the Michigan Economic Development Corporation (MEDC) for a third round of facade improvements in downtown Gaylord. Additional funds for the $597,459 project will be provided by the DDA in the amount of $41,600 and $161,859 by the eight building owners participating in the project. Work will begin in September.
Buildings participating in the facade improvement project include 130 W. Main (Seams Like New), 133 W. Main (Saturn Bookseller), 340 W. Main (Venus & Blue Jeans), 400 W. Main (Alpine Executive Center), 110 S. Otsego Avenue (Timothy's Pub), 111 Michigan Avenue (Scott Building), 208 S. Otsego (Downtown Motel), and 114 N. Court (McNamara Building).
The Alliance assisted with securing the funding and will be administering the grant project.
.JPG) 
Seams Like New Timothy's Pub
Click on pictures to see larger Images.
Waste Water Treatment Plant and North Water Tower Complete
The $990,300 improvement project to the City of Gaylord waste water treatment plant and the north water tower has been completed.
Work began last fall at the waste water treatment plant with replacement of oxidation ditch covers, construction of a dewatering structure, control system updates, HVAC equipment replacement, as well as replacement of some equipment including pumps, aerators, and laboratory equipment. The City's north elevated water storage tank has fresh paint on the interior and exterior. The project included a cathodic protection system, new expansion joints and valve replacements, as well as safety improvements including a handrail and painters ring.
OCEA assisted with securing and administering the CDBG funds in the amount of $705,800 in 2010 to assist with the improvements.
Cooper-Standard Automotive Gaylord Geo-Thermal Project
$126,800 in CDBG funding was secured from the MEDC for a a $318,000 project to convert the Cooper-Standard Automotive Gaylord manufacturing plant production line air-cooled chiller system to a Hybrid Geo-exchange system.
The project will include 600 feet of hydronic piping outside the main plant, installation and connection of a new heat exchanger to an existing remediation well water system, disconnection and removal of two old existing air-cooled inefficient chillers, connection of a new energy efficient chiller to the new GeoX Hydronic system inside the plant along with controls and testing.
The project will result in 11 new jobs. The Alliance assisted with securing the funding and will be adminstering the grant project.
Cooper Standard - Gaylord
Click on photo for larger image.
Gaylord Pavillion Upgrade Underway
Click on photo for larger image.
A contract has been awarded to Integrity Construction and work will soon start on the $201,000 upgrade to equip the Pavillion in downtown Gaylord with canvas sides and infrared heating units, extending the seasonal usage of the Pavillion. A $170,000 grant through the Michigan Economic Development Coporation (MEDC) was secured at the beginning of this year with the balance of the project funding being provided by the DDA.
The upgrade will include decorative canvas panels which can be lowered during windy, rainy or cold days. Also, natural gas infrared heating units will be mounted along the inside pavillion roof edge to direct heat downward.
The Pavillion provides a focal point for many dowtown community activities including the Farmers' Market, Antiques Market, Alpenfest, Community Concerts and other activities. With the improvements, the Farmers' Market will be able to open in April and be extended through the month of November when many local vendors still have products for sale, allowing vendors to increase their income and offer more products. Other activities will benefit by not being affected by inclement weather, encouraging and increasing participation in downtown events.
The Otsego County Economic Alliance, working with the Gaylord DDA, packaged the project for MEDC financing and is providing project management and grant administration.
Mankowski Road Extension Project
Working with the City of Gaylord, Otsego County Road Commission and MDOT, the Alliance submitted a 2013 Federal Local Safety Program application for the Mankowski Service Road extension project. This project will extend a short local road segment that runs parallel to West M-32 and adjacent to the Edelweiss Shopping Center in Gaylord from its terminus point approximately 900' west to the parking lot of Home Depot and the Pine Ridge Plaza shopping center. The project will construct a 34' wide back-to-back roadway with an 8' pathway along one side and decorative street trees.
The proposed project is the outgrowth of a multi-jurisdictional effort to improve safety by reducing congestion on an approximately one mile stretch of M-32 west of the I-75 interchange in Gaylord. The project is designed to draw traffic between the two retail centers off of M-32 onto a dedicated service road thereby reducing turning movements to and from M-32, reducing overall traffic volumes on M-32 and thereby reducing the number and severity of accidents.
The total estimated cost of the project is $255,375 with $204,300 in MDOT Safety Program funding applied for and $51,075 from the City of Gaylord.
Click on picture for larger image.
Otsego County Aerospace Diversification Study
The Otsego County Economic Alliance is working with the Gaylord Regional Airport Advisory Committee on a proposed project designed to develop a manufacturing diversification strategy focused on the aerospace sector that will build off of the community's manufacturing and location strengths. The objectives of the planning project will be to: increase manufacturing activity in a sector other than the auto industry; build on long-term investments in the airport and local/regional manufacturing base; and create a market for existing small- and medium-sized manufacturers in the area.
In following the State of Michigan's diversification model, the Alliance determined that a focus on the aerospace industry could meet those goals. The first step identified in this process is to engage a consultant and undertake a study that will investigate the feasibility of this effort. The ultimate goal is a project that will be designed to benefit the small- and medium-sized manufacturers in Otsego County and potentially the region, depending upon the nature of the identified project.
Funding for Phases I and II of a three phase project will come from a $47,000 USDA Rural Business and Enterprise Grant (approved), a $60,000 MEDC CDBG (application pending), $8,000 from Otsego County and $5,000 from the OCEA. The OCEA and Advisory Committee are in the process of working to secure the $31,000 needed to complete the implementation phase of the project.
DDA Brings Retail Marketing Seminars to Gaylord
Retail marketing seminars sponsored by the Gaylord DDA, Gaylord Area Chamber of Commerce, Michigan Small Business & Technology Development Center, and the Otsego County Ecnomic Alliance have been well received by downtown retailers.
The first seminar in May, "Destination...Store!", was presented by Denise Hansen, MI-SBTDC Business Consultant, owner of Impact Retailing LLC. In this presentation participants learned how to: Provide a rich experience for customers; Develop a holistic approach that involves both emotional and rational triggers of customers; Realize higher traffic and longer stays than typical retailers; Create an interactive experience that no one else can replicate, therefore making YOU a Destination Store!
The next seminar is scheduled for September 7, from 8 to 10 a.m., at the Gaylord City Hall Training Room (2nd floor) and is titled, "Increase Your Sales By Mastering Social Networking Basics!" This presentation will teach the basics of using Facebook and Twitter to grow a business and increase profits. Social networks are a powerful, yet nearly free marketing opportunity that build brand recognition and credibility. In less than an hour literally anyone, no matter how technologically inept, can quickly build a Facebook business fan page using point and click instructions and social network marketing tips. Presenter Meg Havenga is a MI-SBTDC Small Business Consultant and provides business counseling, entrepreneurial education, and technical assistance for established and emerging businesses in the Northwest Michigan Region.
OCEA/CCEDP Multi-County Economic Development Exploratory Committee
Beginning in December of 2010 the Otsego County Economic Alliance (OCEA) and the Crawford County Economic Development Partnership (CCEDP) boards, at the request of the CCEDP, have been engaged in discussions regarding whether it would be in the best interest of all to form a joint economic development program.
A formal Exploratory Committee, consisting of members of each entity, was established to research and discuss topics such as consolidation plan, funding, and planning. A consolidation agreement is being prepared with a decision by each board expected by the end of the year.
Potential benefits of an expanded economic development organization include increased organizational funding, a larger economic development asset base to draw from (manufacturing, military, transportation system, etc.), increased representation in Lansing, ability to build on existing business ties, increased visibility for marketing purposes and better alignment with current state focus on regional cooperation.
First Ever SBA Small Business Outreach Tour Travels to 15 Michigan Cities
Detroit, MI – The U.S. Small Business Administration, along with Michigan Small Business & Technology Development Center, is pleased to announce the SBA Small Business Outreach Tour will travel the state beginning August 10th in Mt. Pleasant and ending in Detroit September 30th. The tour is the first ever to be conducted by SBA and will connect small business owners to the help they need.
“The tour is a coalition of small business resources working in collaboration to provide information and assistance that directly impacts small businesses and their opportunity for business expansion,” said Gerald Moore, District Director for SBA’s Michigan Office. “Each day’s program is intended to highlight the resources available through the federal, state, and local agencies, as well as business organizations. The concept of bringing resource providers to local communities of small business owners is a dynamic way to foster economic development in Michigan.”
Experts will share their knowledge on exporting, financing, government contracting, social media, human capital, financial management, and successful small business owners will share their stories at the following locations:
Mt. Pleasant August 10
Saginaw August 11
Flint August 11
Marquette August 16
St. Ignace August 17
Gaylord August 18
Traverse City August 19
Grand Rapids August 24
Kalamazoo August 25
Benton Harbor August 25
Ann Arbor August 30
Clinton Township September 13
Waterford September 19
Lansing September 27
Detroit September 30
Networking opportunities with the speakers and other attendees will be available during each stop. There is no charge to attend, but seating is limited. For registration information please click on http://tinyurl.com/2011SBATourMI.
MEDC Economic Gardening Initiatives
$25 million now available to support Michigan entrepreneurs
(MEDC Press Release Wednesday, July 27, 2011 - Michael Shore 517-335-4590)
LANSING - The Michigan Economic Development Corporation (MEDC) today announced that the Michigan Strategic Fund (MSF) is awarding $25 million to eight organizations that will support entrepreneurs in launching and growing start-up companies throughout the state. "Early-stage companies require seed capital and access to a strong network of public and private resources," said MEDC President and CEO Michael A. Finney. "We are confident that with the funding of these organizations and the types of programs - from federal grant support to business plan completion to providing services and angel and pre-seed funding - we will continue to accelerate the growth of innovative technology start-ups in Michigan."
The funding comes from the state's 21st Century Jobs fund, which is focused on the commercialization of competitive edge technologies in areas that include alternative energy, life sciences, homeland security and defense, advanced manufacturing and materials, agricultural processing, information technology, and other innovative sectors.
Organizations that received awards from the MSF include the following (funding is for two to three years):
-Ann Arbor SPARK, $10.8 million: Michigan Pre-Seed Capital Fund, a statewide co-investment program in collaboration with all Michigan SmartZones that makes investments in pre-seed stage companies; Accelerate Michigan Innovation Competition, an annual business competition that awards $1 million in cash prizes to start-up and emerging companies; and the Michigan Angel Fund, a new fund that will invest in Michigan start-up companies.
-Bioscience Research & Commercialization Center (BRCC) of Western Michigan University, Kalamazoo, $3.8 million: Statewide pre-seed fund that will invest in life science start-ups.
-Biotechnology Business Consultants (BBC), Ann Arbor, $1.6 million: Statewide support for Michigan companies to secure funding through federal Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) programs.
-Detroit Creative Corridor Center (DC3), $400,000: Creative Producers, a program that will deliver targeted business acceleration services top early and second stage businesses in the digital and media production fields.
-Great Lakes Entrepreneurs Quest (GLEQ), Lansing, $1.1 million: Statewide annual business plan competition that provides a network of volunteer coaching, investor talent, and entrepreneurial support programs for early stage companies.
-Inforum Center for Leadership, Detroit and Grand Rapids, $700,000: Implementation of two programs focused on high-growth women entrepreneurs: ACTiVATE, a technology commercialization curriculum, and Astia, a global network of mentors and investors.
-Michigan Small Business & Technology Development Center (SBTDC), Grand Rapids, $3.5 million: Business Accelerator Fund, a fund that can be accessed by participating business accelerators statewide to provide specialized business acceleration services and resources regardless of their client's geography.
-Michigan Venture Capital Association (MVCA), Ann Arbor, $3.1 million: Entrepreneur-in-Residence and CEO placement programs, to improve talent in entrepreneurial companies; the Michigan Venture Fellows program, to develop talent for Michigan venture capital firms; and the Angel Network Growth program, to strengthen angel investment networks across the state.
The 21st Century Jobs Fund, a 10-year iniative begun in 2005, is a Michigan Strategic Fund program that is administered by the Michigan Economic Development Corporation to accelerate the growth and diversification of Michigan's economy. The MEDC, a public-private partnership between the state and local communities, promotes smart economic growth by developing strategies and providing services to create and retain good jobs and a high quality of life. For more information on the MEDC's initiatives and programs, visit the website at www.michiganadvantage.org.
Michigan to be Test Site for Growth Fund
Tom Walsh, Detroit Free Press
Sparked by an idea and a $15-million check from Dow Chemical, the U.S. Small Business Administration has announced that Michigan is the first test bed for a new $1-billion national Impact Investment Fund to help finance growing companies in high unemployment areas.
In Michigan, $130 million will be made available to second-stage growth companies through a partnership of Midland-based Dow, the SBA and state investment funds. The new InvestMichigan! Mezzanine Fund will be co-managed by Credit Suisse and Beringea, a Farmington Hills investment firm.
Liveris, who was tapped last month by President Barack Obama to co-chair a national Advanced Manufacturing Partnership, began pushing in 2009 - as U.S. job creation struggled to gain momentum amid a severe credit crunch - to get federal support for funneling more capital to struggling small and medium-sized businesses.
He found a willing ear in SBA administrator Mills, who, in turn, linked up with Kelly Williams of Credit Suisse, who had already helped launch regional private equity funds in Michigan, Oregon and other states.
To assemble the $130-million pot of mezzanine money, Dow has pledged $15 million while the state will invest $20 million of employee retirement funds and nearly $15 million more from Department of Natural Resources trust funds. The SBA offers a 2-1 match for contributions up to a cap of $80 million.
The mezzanine fund will look to make investments of $5 million to $15 million in cash-flow-positive companies with $20 million or more in annual revenue. Interested Michigan companies can call fund co-managers Credit Suisse at 248-619-1868 or Beringea at 248-489-9000.
 News From Northern Initiatives
-Michigan Small Businesses to Have Access to $1m in Federal Financing
Thanks to Levin Legislation
WASHINGTON - U.S. Sen. Carl Levin, D-Mich., announced on August 4 that an Upper Peninsula nonprofit community development lender has been authorized to loan $1 million in federal funds as one of the first organizations to receive financing under a federal program created by legislation Levin authored in 2010. Marquette-based UP Business Capital, an affiliate of Northern Initiatives, will use the funding to provide loans to small businesses that are not otherwise able to secure bank financing, boosting the capital available for small businesses to expand and create jobs.
Northern Initiatives, a nonprofit community development organization, was one of the inspirations for the legislation. The organization expects that the funding will create or retain more than 160 jobs and support businesses in 46 rural counties in the Upper Peninsula and Northern Michigan.
The Intermediary Lending Pilot program funding from the Small Business Administration was made possible by Levin's legislation which was enacted as part of the Small Business Jobs Act in October 2010. Levin is a member of the Senate Committee on Small Business and Entrepreneurship, which approved the legislation on three separate occasions before being enacted.
"These federal dollars are going to get small businesses in the UP and Northern Michigan the capital they need to grow and hire more folks," Levin said. "The type of work that Northern Initiatives does is precisely why I worked so hard to pass this legislation. It is a perfect example of how nonprofit community lenders can make big impacts in their communities, and I'm confident it will provide strong evidence as to why we should expand this program in future years to help small businesses across the nation. This program is a real win-win-win: business will benefit from access to capital at affordable rates, individuals and communities will gain more jobs, and the federal government will earn its investment back."
"The Intermediary Lending Pilot program was made possible because Sen. Levin worked with us to fill a market gap," said Dennis West, president of Northern Initiatives. "Many first time business owners and startup companies need more money than the SBA Microloan Program will allow and yet are not ready to graduate to a community bank. The program was intended to fill such gaps, and thanks to the persistence of Sen. Levin it has come into being. We are very excited to be a recipient."
The Intermediary Lending Pilot program authorizes the Small Business Administration to make loans of $1 million to 20 non-profit community leaders annually, which in turn can make loans between $50,000 and $200,000 to small businesses. Community lenders pay a 1 percent interest rate on the loans and are granted a two-year grace period on principal and interest repayments to the federal government.
For more information on the Intermediary Lending Pilot program, visit http://www.sba.gov/content/intermediary-lending-pilot.
For more Northern Initiatives news, visit http://www.facebook.com/NorthernInitiatives.
|
