Title
Resolution to Amend the Fiscal Year 2010 SmartZone LDFA Budget for Increased Business Accelerator Services (8 Votes Required)
Memorandum
Attached for your review and approval, please find a resolution to amend the SmartZone LDFA budget for fiscal year 2010.
The LDFA contracts with Ann Arbor SPARK to provide business accelerator services. During the past two quarters, SPARK has experienced tremendous growth in the number of qualified businesses requesting SPARK business accelerator services. SPARK anticipates this increased demand for services to continue.
To accommodate the increased demand, SPARK has proposed a reorganization, including increases to the number of staff that provide business accelerator services. SPARK has also requested additional funding for direct staffing and business accelerator Phase III services (see attached request).
The SmartZone LDFA Board has reviewed the changes proposed by SPARK and agrees that an increase in the SmartZone LDFA budget and contract with SPARK would be appropriate. The Board proposes the increased budget would be on a contingent basis, to be used only as long as the increased demand for business accelerator continues.
The total proposed budget amendment for the SmartZone LDFA fund is $205,000, of which $50,000 is to come from the FY 2010 projected operating surplus and $155,000 from use of fund balance.
Passage of this Resolution and approval of the SmartZone LDFA budget amendment as submitted is recommended.
Staff
Prepared by: Tom Crawford, Chief Financial Officer
Sponsored by: Councilmember Rapundalo
Body
Whereas, The SmartZone LDFA Board regularly contracts with SPARK for business incubator and acceleration services;
Whereas, SPARK requested and the SmartZone LDFA Board approved the request for increased funding for business accelerator services due to increased demand for services;
Whereas, City Council has the authority to approve and amend the annual budget for the LDFA;
Whereas, Th...
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