PEDA Matches Pittsfield's $250K For Innovation Center Startup Costs
 PEDA's board of directors voted to give the BIC $250,000, matching the city, for start-up costs. |
PEDA's board of directors approved the match Wednesday morning, which creates a total of $500,000 for startup costs.
According to Rod Jane, the current BIC director, the funds will help bridge an estimated $800,000 gap expected to be required in startup costs for the first two years. The remaining difference is expected to be made up in grants.
PEDA and the city have already secured $9.7 million in state funds for construction. But that only puts up a building.
Over the next 24 months, the BIC board will to turn some 20 letters of intent from companies and institutions into contracts, reel in sponsorship, develop training programs, design the building, identify equipment needs and eventually hire staff among the remaining steps, Jane said.
"The startup operating cost is truly critical to this venture," said Douglas Clark, the city's director of community development.
Clark said the city, which will own the building, is "truly off and running" with the construction The city has received proposals from firms interested in designing the building, the BIC has filed as a nonprofit company and a bank account has been opened to accept funds.
The City Council approved last week of allocating $250,000 from their General Electric Economic Development Funds to help offset those startup costs.
Jane added some major businesses and educational organizations have already agreed to be on the BIC's board of directors including SABIC, General Dynamics, Renssaeler (N.Y.) Polytechnic Institute, the University of Massachusetts at Lowell, Cavellero Plastics and Apex Technologies.
"These are high level people willing to serve on the board," Jane said.
Clark emphasized that "it is a private sector project" in the formation of the board. However, startup costs are still needed.
 Rod Jane outlined a series of tasks that needs to be completed concurrent with the construction. |
Matthews said while the request is just short of a full operating year for PEDA, he believes ultimately the allocation will help finances by creating a revenue stream for the organization.
Also on Wednesday, the board accepted a $236,000 state grant to help with any potential environmental issues found on the proposed BIC parcel.
Mostly, the grant is eyed for any off-site disposal of hazardous material — if that is needed. The grant works as a reimbursement to funds the organizations expends on certain environmental work.
"It is certainly a good backup for any environmental issues we discover," PEDA Executive Director Corydon Thurston said.
Thurston said PEDA doesn't anticipate any off-site disposal will be needed but it was good to know that it will be paid for by the state.
"This is good news. It is going to be supportive of the BIC," he said.
Thurston also reported that Nuclea Technologies is interested in renewing its sublease on half of the Kellogg Street headquarters. The company has been renting space for the last two years in the building it shares with the PEDA offices.
And, Thurston reported that the Woodlawn Avenue Bridge project is expected to begin in October.
| The History | ||||||||||||||||||||||
|
Tags: innovation center, life sciences, PEDA, state grant,
