Explanation
BACKGROUND: Rev 1 Ventures (Rev 1), formerly known as TechColumbus, is a seed stage venture development organization that combines investment capital and strategic services to help entrepreneurs build products that people want and companies that succeed. In 2016, Rev 1 Ventures accomplished the following:
• Columbus Companies served in 2016: 115
• Total Investment in City of Columbus companies: $405,028,947
• Revenue generated from City of Columbus companies: $324,824,471
• Jobs created by City of Columbus companies: 1,016
Rev 1 Ventures, formerly known as TechColumbus, led a successful regional proposal to the State of Ohio to secure $18.7 million for the Entrepreneurial Signature Program (ESP) which accelerates the creation and growth of new technology companies in Central Ohio. The ESP includes early stage capital to meet the needs for pre-seed capital for Ohio start-up technologies companies. A 1-to-2 funding match was required as a condition of the ESP. The City of Columbus provided $188,000 in 2007, 2008, 2009 and 2010 as their portion of the match. In 2011, 2012, 2013 and 2014, the City of Columbus provided $500,000, respectively, towards this initiative in the form of administrative costs associated with the program. In 2015 and 2016, the City of Columbus contributed $450,000 to the program. The City wishes to contribute $450,000 in 2017.
This legislation authorizes the Director of Development to enter into contract with Rev 1 Ventures for the purpose of supporting efforts to attract and grow technology businesses through the Entrepreneurial Signature Program.
Emergency action is requested to continue the administration of the above activities without interruption.
FISCAL IMPACT: This legislation authorizes the expenditure of $450,000 from the 2017 General Fund Operating Budget.
Title
To authorize the Director of the Department of Development to enter into a contract with Rev 1 Ventures for the purpose of administering the Entrepreneurial Signature Program; to authorize the expenditure of $450,000.00 from the 2017 General Fund Operating Budget; and to declare an emergency. ($450,000.00)
Body
WHEREAS, Rev 1 Ventures, formerly known as TechColumbus, is a seed stage venture development organization that combines investment capital and strategic services to help entrepreneurs build products that people want and companies that succeed; and
WHEREAS, TechColumbus, led a successful regional proposal to the State of Ohio to secure $18.7 million to accelerate the creation and growth of new technology companies in Central Ohio; and
WHEREAS, the Entrepreneurial Signature Program (ESP) required a 1-to-2 funding match from regional partners; and
WHEREAS, the City of Columbus provided $188,000 in 2007, 2008, 2009 and 2010 for the program; and
WHEREAS, the City of Columbus provided $500,000 in 2011, 2012, 2013 and 2014 respectively for the program; and
WHEREAS, the City of Columbus provided $450,000 in 2015 and 2016 for the program; and
WHEREAS, the City of Columbus desires to continue support of the program by allocating $450,000 in 2017 for administrative costs associated with the program; and
WHEREAS, an emergency exists in the usual daily operation of the City of Columbus in that it is immediately necessary to enter into contract with Rev 1 Ventures to continue the administration of the above activities without interruption, all for the preservation of the public health, peace, property, safety and welfare; NOW, THEREFORE,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That the Director of the Department of Development is hereby authorized to enter contract with Rev 1 Ventures for the purpose of supporting its role as the region's Lead Applicant Agency, responsible for administering the Entrepreneurial Signature Program grant funding.
SECTION 2. That for the purpose stated in Section 1, the expenditure of $450,000, or so much thereof as may be needed, is hereby authorized in Fund 1000 General Fund in Object Class 03 Contractual Services per the accounting codes in the attachment to this ordinance.
SECTION 3. That this contract is awarded in accordance with the relevant provisions of City Code Chapter 329 relating to not-for-profit service contracts.
SECTION 4. That the funds necessary to carry out the purpose of this ordinance are hereby deemed appropriated, and the City Auditor shall establish such accounting codes as necessary.
SECTION 5. For the reasons stated in the Preamble hereto, which is hereby made a part hereof, this Ordinance is hereby declared to be an emergency measure and shall take effect and be in force from and after passage and approval by the Mayor or ten days after passage if the Mayor neither approves nor vetoes the same.