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MEMORANDUM OF UNDERSTANDING CLEARWATER BUSINESS SPARKMEMORANDUM OF UNDERSTANDING Clearwater Business SPARK! THIS MEMORANDUM OF UNDERSTANDING (MOU) IS INTENDED SOLELY AS AN EXPRESSION OF THE GENERAL INTENTIONS OF THE PARTIES. THE PARTIES INTEND THAT NONE OF THE PARTIES SHALL HAVE ANY CONTRACTUAL OBLIGATIONS TO THE OTHERS WITH RESPECT TO THE MATTERS REFERRED TO HEREIN. Parties, herein referred to together as "Partners" or "Consortium ", or individually as "Partner" or "Member ": (a) City of Clearwater — Economic Development & Housing Department (b) City of Clearwater Library System (c) City of Clearwater Community Redevelopment Agency (CRA) (d) Clearwater Regional Chamber of Commerce (e) Technical Arts Facility for Innovation and Entrepreneurship (TAFFIE) (f) Florida Small Business Development Center (FSBDC) of Pinellas County Economic Development WHEREAS, Goal 4 of the City of Clearwater Economic Development Strategic Plan, adopted in November 2011, supports and encourages an entrepreneurship and innovation ecosystem and collaboration with regional partners to market Clearwater to target industries; and WHEREAS, the Urban Land Institute Advisory Services Panel Report issued in September 2014 recommended 1) more active uses of the Clearwater Main Library, and 2) support to new entrepreneurial small businesses by investing in a technology innovation center or business incubator; and WHEREAS, the Partners have joined together to provide a range of programs, services and facilities to support entrepreneurship, innovation and small business development within the City of Clearwater; and WHEREAS, "Clearwater Business SPARK!" is the name given to this consortium as a means to link together Partners for purposes of marketing and promotion of each Partner's programs, services, and facilities; and NOW THEREFORE, in consideration of the mutual covenants set forth herein, and other good and valuable consideration, the receipt of which are hereby acknowledged, the Parties agree as follows: Section 1. Spirit and Intent (a) There is strong interest in the greater Clearwater community for new, small business and entrepreneurial development programs. The Partners recognize the strength and areas of expertise each Partner provides toward achieving the shared goal of business vitality in Clearwater. (b) There is a desire to work collaboratively and continuously to provide entrepreneurs, innovators, creators and small business owners with a wide variety of programs, services, education, networking opportunities, and flexible workplaces and spaces. (by way of example, and not limitation, attached hereto and incorporated herein as EXHIBIT "A ") (c) Comprehensive, integrated, and coordinated approaches to the delivery of services to targeted clients are supported by policy, plan, and third party consultants' studies of the City of Clearwater and the mission and vision of Partner organizations. Section 2. Roles and Responsibilities (a) The Partners will work together to enhance and strengthen entrepreneurship and to support needs of small businesses in Clearwater. The Partners will collectively and individually: i. Provide networking opportunities throughout the greater Clearwater area to build a strong network of experts and mentors to engage and support business development and incubation throughout the region. ii. Host and /or participate in events and meet -ups in public spaces to encourage casual dialogue and to promote the culture of innovation and entrepreneurship. iii. Work together to develop a comprehensive mix of services and facility offerings to support a broad range of pre- venture, startup and small /medium size enterprises (SMEs) targeting technology innovation and creative enterprises. iv. Promote the availability of programs and services provided by the Partners under the single branded name of "Clearwater Business SPARK!" while retaining the individual and unique identity of each Partner's facilities, programs, and organizational identity. v. Strive to adopt and adapt programs and services to meet the changing needs of those seeking services. [GM 15- 9216D- 026/ 166157/1 ] [GM15- 9216D- 026/165446/1] Page 2 of 12 vi. Jointly establish protocols, common intake processes, performance goals and measures, and make appropriate referrals to program Partners, facilities, or services. vii. Provide appropriate training of staff who may from time to time engage individuals who seek or need services provided by one or more of the Partners. viii. Actively and continuously seek additional Partners to join Clearwater Business SPARK! as described in Section 6(c). Section 3. Coordination (a) At the onset, City of Clearwater will coordinate and facilitate committee meetings. i. Executive Committee — Comprised of (1) representative appointed by each Partner. Monthly meetings (subject to change as the system matures) to be held at a mutually convenient location to review the ecosystem's operational performance and client services performance as determined by the performance metrics established. ii. At a time when Partners deem it necessary, the Executive Committee may form a Services & Facilities Advisory Committee. Comprised of (1) representative appointed by each Partner to evaluate current and future program and facilities offerings. Meeting schedule, frequency and location to be determined. Section 4. Marketing & Client Recruitment (a) To provide multiple, yet seamless, points of entry into the system, the Partners will actively promote a single brand identity and include this brand and /or logo in collateral materials, in a prominent location on Partner website and other communications as appropriate. (b) City of Clearwater Economic Development & Housing Department will market the program and be program spokesperson. Section 5. Programmatic Flexibility (a) The Partners will provide a commitment to continual evaluation of programs and services within the system to ensure client needs are met in a changing environment. (b) Once gaps in services are identified, the Partners will seek funding which may include grants, sponsorships, or fees from appropriate sources including, but not limited to, federal, state and local agencies, community stakeholders, and attendees. Section 6. Partners & Facilities [GM 15- 9216D- 026/166157/ 1 ] [GM15- 9216D- 026/165446/1] Page 3 of 12 (a) Partners participating in Clearwater Business SPARK! include: i. Technical Arts Facility for Entrepreneurship and Innovation ii. Clearwater Main Library iii. Clearwater Regional Chamber of Commerce iv. Florida Small Business Development Center at Pinellas County at Pinellas County Economic DevelopmentCity of Clearwater Economic Development and Housing Department, and v. City of Clearwater Community Redevelopment Agency (CRA). (b) Current facilities where programs and services are provided include: i. TAFFIE ii. Clearwater Main Library iii. Clearwater Regional Chamber of Commerce iv. FSBDC at the EpiCenter (c) Additional Partners and Facilities may from time to time be added to Clearwater Business SPARK! by written, executed addendum to this MOU. Section 7. Sustainability (a) The Partners will convene annually to establish a work program, identify resources necessary to sustain Clearwater Business SPARK! and to prepare a budget including in -kind and financial resources necessary to support marketing, programs, and activities of Clearwater Business SPARK! (b) The Partners will work together to achieve sustainability within three years of the date of this MOU through fee -based and free programming supported by sponsorships, in -kind services and grants which may be pursued by a Partner, certain Partners, or jointly by all Partners in Clearwater Business SPARK! (c) During the initial three (3) year period, it is anticipated that the City of Clearwater and the CRA will be the lead agencies providing program support and management as described in Section 4(b) of this MOU. (d) The City may consider financial support for marketing, services, programs and facilities that are consistent with the Spirit and Intent (Section 1) of the MOU and the work program established pursuant to Section 7(a). (e) It is acknowledged that the City's financial participation will be considered as a part of the annual budget process and that the request will be submitted annually according to the budget schedule, and is subject to City Council approval. (f) The other Partners may consider support of Clearwater Business SPARK! with the following: i. In -kind services and support including, but not limited to, facilities, programs, services and marketing such as 1) meeting and conference space, 2) meeting and event coordination, 3) services such as coaching, mentoring, and counseling, 4) access to speakers, trainers, and subject- [GM 15-9216D-026/166157/1] [GM15- 9216D- 026/165446/1] Page 4 of 12 matter experts, 5) promotion and marketing of the consortium through presentations, press releases, newsletters, social media and other forms of communication. Section 8. The Partners recognize the following as definitions of commonly used terms: (a) Business Incubator i. An organization designed to accelerate the growth and success of entrepreneurial companies through an array of business support resources and services that could include physical space, capital, coaching, common services, and networking connections. The intent is to help small companies in the incubator have a better chance of survival throughout the start-up phase. Services may include, but are not limited to: 1) office space (usually at a reduced rate); 2) office services (e.g. receptionist, conference rooms, computers, office equipment, other); 3) entrepreneurial advice and mentoring (e.g. establishing a web presence, identifying intellectual property licensing opportunities, raising capital); 4) business planning and market adjustment consulting; and 5) contacts and networking providing access to experienced entrepreneurs, innovators and professionals who can answer questions, provide guidance and resources. (b) Business Accelerator i. Very similar to an incubator, but differs in that an accelerator usually has a greater focus on companies entering or growing in a national or global market. Business accelerators are more likely to be financed by venture capitalists looking for an opportunity to finance growth potential through defined action plans. (c) Co- Worker Space i. Co- worker space is an alternative way of working in which independent professionals, telecommuters, and others with workplace flexibility share one working environment, rather than work remotely in separate offices or places. Co- workers typically do not need to work for the same employer or even know each other to work together in a co- working environment. A co- worker space is often a cafe -like collaboration space, gallery, or productivity- enhancing multi - functional space, with the idea that individual workers come together in a shared place to enjoy greater productivity and a sense of community. (d) Makerspace i. Makerspaces, also referred to as hackerspaces, hackspaces, and fablabs, are creative, community- operated DIY spaces where people can gather to create, invent, and learn often in the areas of computers, machining, [GM 15- 9216D- 026/1 66 1 57/ 1 ] [GM15- 9216D- 026/165446/1] Page 5 of 12 technology, science, digital or electronic art. Commonly used equipment includes 3D printers, software, electronics, craft and hardware supplies /tools. (e) Pre - Venture Individuals i. Pre - venture individuals, as defined by FSBDC, are those individuals exploring business feasibility and seeking assistance with the establishment of a new business. These individuals have no employees, no sales and have not secured financing for their new venture. (f) Start-up Businesses i. Start-up businesses, as defined by FSBDC, are new businesses, but not necessarily a new type of business, in business for less than three years. Start-up businesses are defined by the length of time they have been in business (established) and not by the size of their employment or revenues. Start-up businesses are generally in the phase of development with prospect for growth. (g) Small and Medium Sized Enterprises (SMEs), as defined by FSBDC i. Stage 1- emerging businesses in business for three of more years with fewer than five FTE (Full Time Employees) or less than $1 M in annual sales revenue. Stage I SMEs are emerging businesses beyond the phase of development with promise for growth in both employment and revenues. ii. Stage 11- established businesses that have been in- business for three or more years and have five or more FTE employees and /or more than $1 M in annual sales revenue. Stage II SMEs have demonstrated an ability to generate significant revenue in their respective industry or market over an extended period of time with the ability and capacity for continuous growth. Section 9. Acceptance (a) The Partners agree to the spirit and intent of this memorandum of understanding and believe it offers the Clearwater area with a new environment for entrepreneurial and small business development and support. (b) The Partners agree to strive to work together as described in Sections 1 through 7. (The rest of this page intentionally left blank.] [GM 15 -9216D -026/ 166157/1 ] [GM15- 9216D- 026/165446/1] Page 6 of 12 MEMORANDUM OF UNDERSTANDING CLEARWATER BUSINESS SPARK! AGREED AND ACCEPTED this /`t day ofAa , 2015. Countersigned: CITY OF CLEARWATER, FLORIDA c QOr 1,tACrt\E �$ George N. Cretekos Mayor Approved as to form: Laura Lipowski Mahony Assistant City Attorney By: ;11. 44 & William B. Horne II City Manager Attest: Rosemarie Call City Clerk (The rest of this page intentionally left blank.] [GM 15- 9216D- 026/ 166157/ 1 ] [GM15- 9216D- 026/165446/1] Page 7 of 12 MEMORANDUM OF UNDERSTANDING CLEARWATER BUSINESS SPARK! Countersigned: Rod Irwin Executive Director Approved as to form: [101 Pamela K. Akin CITY ATTORNEY Attest: AGREED AND ACCEPTED: COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF CLEARWATER, FLORIDA By: teof1t'1 Cr() Pos George N. Cretekos Chairperson .,' tth C' Rosemarie CaII CITY CLERK [The rest of this page intentionally left blank.] [GM 15- 9216D- 026/165446/1 ] s° 4x [GM 15- 9216D- 026/166157/1] Page 8 of 12 AGREED AND ACCEPTED: By: Approved as to form: Office of the County Attorney: By: ► (.:9 Mike Meidel, Director, Pinellas County Economic Development [The rest of this page intentionally left blank.] [GM 15- 9216D- 026/166157/1 ] [GM15- 9216D- 026/165446/1] Page 9 of 12 AGREE By: AC EP ED: .rol Hague, 'r -si;,�, Clearwater Re 'ion. ' Commerce [The rest of this page intentionally left blank.] & CEO, amber of [GM 15- 9216D- 026/166157/ 1 ] [GM15- 9216D- 026/165446/1] Page 10 of 12 AGREED AND ACCEPTED: By: Steve Allen, Founder, Technical Arts Facility for Innovation and Entrepreneurship [The rest of this page intentionally left blank.] [GM15- 9216D- 026/166157/1] [GM15- 9216D- 026/165446/1] Page 11 of 12 EXHIBIT A TAFFIE •Roundtables, Networking •Product Design & Development •Shark Tank /Investor Pitch Opportunities •Co- Worker & Executive Office Space •Office Amenities & 24 -hr Access Chamber of Commerce •Business Technology Training •Business Management Training • Networking /Meetups •Conference Room [GM 15 -9216D -026/ 165446/ 1 ] City ED &H 'Coordination • Marketing • Incentives •Permitting & Site Location Assistance Clearwater Business SPARK! SBDC of Pinellas •Intake & Vettting of Clients •Business & Financial Planning Assistance •One -on -One Coaching Programs, Services & Facilities identified are examples only and not intended to represent all that is to be provided by each Partner. City Main Library •Database /Research 'Studio & Production Services 'Computers, Printers 'Training Facilities CRA 'Tech District Incentives & Programs 'Other CRA Incentives [GM15- 9216D- 026/166157/1 ] Page 12 of 12