File #: 17-0048    Version: 1 Name: Resolution Appropriating $27,500.00 From the Economic Development Fund to the EDA
Type: Resolution-Budget Status: Passed
File created: 2/9/2017 In control: City Council Legislative Session
On agenda: 3/8/2017 Final action: 3/8/2017
Title: Resolution Appropriating $27,500.00 from the Fund Balance of the Economic Development Fund to the Economic Development Authority of the City of Hampton, Virginia for the Manufacturing and Innovation Grant Program
Indexes: Economic Development Authority
Title

Resolution Appropriating $27,500.00 from the Fund Balance of the Economic Development Fund to the Economic Development Authority of the City of Hampton, Virginia for the Manufacturing and Innovation Grant Program

Purpose

Purpose/Background:

On November 7, 2007, the Hampton City Council appropriated $100,000 from the General Fund to the Economic Development Authority of the City of Hampton, Virginia (the “Authority”) for the express purpose of creating a Manufacturing Assistance Program in the City of Hampton in conjunction with the Virginia Philpott Manufacturing Extension Partnership (the “VPMEP”).  The Authority accepted the funds on November 20, 2007, and approved a grant agreement with VPMEP on March 3, 2008, to provide discounted services to eligible Hampton manufacturers.  The contract with VPMEP expired and the organization has changed its name to the GenEdge Alliance.

At the request of the Authority, staff examined the program and submitted modifications for its consideration at its May 15, 2012 regular meeting.  The Authority requested staff examine the guidelines for further revisions and to consider the potential demand for the grant.  Staff modified the guidelines to further simplify the process, as follows:

1)                     Allowing manufacturers to engage the services of any legitimate provider to perform services.

2)                     Increase the maximum employment threshold from 49 employees to 90.

3)                     Provide a maximum grant amount of up to $7,000 per company.   

These modified guidelines were approved by the Authority on June 19, 2012.

The Authority would like to have funds readily available to continue to assist manufacturers.  The Authority is working with only one company right now (who is interested in the program but has not applied).  Further potential demand is not readily determinable.

Discussion:

This program is targeted to small manufacturers to assist them with advanced i...

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