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HomeMy WebLinkAbout269-18 RESOLUTIONkAA I j rt 113 West Mountain Street Fayetteville, AR 72701 (479) 575-8323 Resolution: 269-18 File Number: 2018-0662 STARTUP JUNKIE CONSULTING, LLC: A RESOLUTION TO APPROVE THE FIRST TWO (2) YEAR RENEWAL CONTRACT WITH STARTUP JUNKIE CONSULTING, LLC TO PROVIDE ECONOMIC DEVELOPMENT CONSULTING SERVICES IN THE AREAS OF ENTREPRENEURSHIP AND INNOVATION IN THE TOTAL AMOUNT OF $300,000.00 WHEREAS, Startup Junkie Consulting, LLC was competitively selected by a City selection committee to provide economic development consulting services to the City of Fayetteville in the areas of entrepreneurship and innovation and an initial two year contract was approved by the City Council by Resolution 184-16 on October 4, 2016 in the amount of $12,500.00 per month; and WHEREAS, since becoming the City's economic development consultant, Startup Junkie has hosted 192 events, workshops and programs drawing 14,701 attendees and has held 292 sessions assisting minority entrepreneurs, 386 sessions assisting women entrepreneurs, and 163 sessions assisting veteran entrepreneurs; and WHEREAS, in the past year alone Startup Junkie has dedicated 2,873 hours to events, programming, and workshops in the City of Fayetteville including 1,695 hours of mentoring, consulting, and one-on-one session assisting over 221 unique Fayetteville ventures; and WHEREAS, Startup Junkie Consulting and the City desire to extend the contract for an additional two years with significant changes so that Startup Junkie Consulting will function more like an extension of staff for the Department of Economic Vitality including a full-time employee dedicated solely to assist the City in realizing the goals of the Fayetteville First Plan on a daily basis; and WHEREAS, the renewal contract ensures that the Startup Crawl and Center Space will remain in Fayetteville, pivots Startup Junkie's efforts toward the recruitment and attraction of expanding startups Page 1 Printed on 12119118 Resolution 269-18 File Number: 2018-0662 into Fayetteville, and adds new performance metrics. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1: That the City Council of the City of Fayetteville, Arkansas hereby authorizes Mayor Jordan to sign the attached First Renewal of Contract for Economic Development Consulting Services with Startup Junkie Consulting, LLC to provide economic development consulting services to the City of Fayetteville in the areas of entrepreneurship and innovation in the total amount of $300,000.00. PASSED and APPROVED on 12/18/2018 Attest: Sondra E. Smith, City Clerk Treasurer rRE-�►�r� Cie •Y • • . ;1sGf��• GniQF ; FAYE7TEVILLi ►� • C: Page 2 Printed on 12119118 City of Fayetteville, Arkansas 113 West Mountain Street Fayetteville, AR 72701 I — (479)575-8323 Text File File Number: 2018-0662 Agenda Date: 12/18/2018 Version: 1 Status: Passed In Control: City Council Meeting File Type: Resolution Agenda Number: A. 20 STARTUP JUNKIE CONSULTING, LLC: A RESOLUTION TO APPROVE THE FIRST TWO (2) YEAR RENEWAL CONTRACT WITH STARTUP JUNKIE CONSULTING, LLC TO PROVIDE ECONOMIC DEVELOPMENT CONSULTING SERVICES IN THE AREAS OF ENTREPRENEURSHIP AND INNOVATION IN THE TOTAL AMOUNT OF $300,000.00 WHEREAS, Startup Junkie Consulting, LLC was competitively selected by a City selection committee to provide economic development consulting services to the City of Fayetteville in the areas of entrepreneurship and innovation and an initial two year contract was approved by the City Council by Resolution 184-16 on October 4, 2016 in the amount of $12,500.00 per month; and WHEREAS, since becoming the City's economic development consultant, Startup Junkie has hosted 192 events, workshops and programs drawing 14,701 attendees and has held 292 sessions assisting minority entrepreneurs, 386 sessions assisting women entrepreneurs, and 163 sessions assisting veteran entrepreneurs; and WHEREAS, in the past year alone Startup Junkie has dedicated 2,873 hours to events, programming, and workshops in the City of Fayetteville including 1,695 hours of mentoring, consulting, and one-on-one session assisting over 221 unique Fayetteville ventures; and WHEREAS, Startup Junkie Consulting and the City desire to extend the contract for an additional two years with significant changes so that Startup Junkie Consulting will function more like an extension of staff for the Department of Economic Vitality including a full-time employee dedicated solely to assist the City in realizing the goals of the Fayetteville First Plan on a daily basis; and WHEREAS, the renewal contract ensures that the Startup Crawl and Center Space will remain in Fayetteville, pivots Startup Junkie's efforts toward the recruitment and attraction of expanding startups into Fayetteville, and adds new performance metrics. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section I : That the City Council of the City of Fayetteville, Arkansas hereby authorizes Mayor Jordan to sign the attached First Renewal of Contract for Economic Development Consulting Services with Startup Junkie Consulting, LLC to provide economic development consulting services to the City of Fayetteville in the areas of City of Fayetteville, Arkansas Page 1 Printed on 12119/2018 File Number: 2018-0662 entrepreneurship and innovation in the total amount of $300,000.00. City of Fayetteville, Arkansas Page 2 Printed on 12/19/2018 DEVIN HOWLAND Submitted By City of Fayetteville Staff Review Form 2018-0662 Legistar File ID 12/18/2018 City Council Meeting Date - Agenda Item Only N/A for Non -Agenda Item 11/20/2018 ECONOMIC DEVELOPMENT (050) Submitted Date Division / Department Action Recommendation: A RESOLUTION TO APPROVE A CONTRACT RENEWAL WITH STARTUP JUNKIE CONSULTING FOR ECONOMIC DEVELOPMENT CONSULTING SERVICES- ENTREPRENEURSHIP AND INNOVATION Budget Impact: 1010.050.0500-5315.00 Account Number N/A General Fund Fund N/A Project Number Project Title Budgeted Item? Yes Current Budget $ 256,500.00 Funds Obligated $ _ Current Balance $ 256,500.00 Does item have a cost? Yes Item Cost $ 300,000.00 Budget Adjustment Attached? No Budget Adjustment Remaining Budget $ (43,500.00) V20180321 Purchase Order Number: 2016-0561 Previous Ordinance or Resolution # 184-16 Change Order Number: 3 Approval Date: 10/4/2016 Original Contract Number: 2016-0012 Comments: CITY OF FAYETTEVI LLE ARKANSAS MEETING OF DECEMBER 18 2018 TO: Mayor and City Council THRU: Don Marr, Chief of Staff FROM: Devin Howland, Director of Economic Vitality DATE: November 20, 2018 CITY COUNCIL MEMO SUBJECT: A RESOLUTION TO APPROVE A CONTRACT RENEWAL WITH STARTUP JUNKIE CONSULTING LLC FOR ECONOMIC DEVELOPMENT CONSULTING SERVICES - ENTREPRENEURSHIP AND INNOVATION RECOMMENDATION: Staff recommends the renewal of a two-year contract renewal with Startup Junkie Consulting LLC to provide economic development consulting services related to Entrepreneurship and Innovation. BACKGROUND: The City issued RFP -16-06 on July 6, 2016 and received proposals on July 29th. The selection committee (including Council Member Adella Gray) recommended entering negotiations with Startup Junkie Consulting to provide the requested services. On October 4, 2016 Resolution 184-16 was passed, authorizing a two-year contract with Startup Junkie Consulting. Since the original contract began, two amendments have been added. The first amendment altered Exhibit A, calling for additional meetings with the Department of Economic Vitality and was signed on December 21, 2017. The second amendment extended the contract with Startup Junkie Consulting for three months, placing the new end date on December 31, 2018. The decision to extend the contracts places them on a calendar year cycle, allowing for more cohesive data collection. The original contract allows for three (3) additional two (2) year terms with approval of both parties, this is the first renewal option. DISCUSSION: The Fayetteville First Strategic Plan, passed unanimously by the Fayetteville City Council in May of 2016, identified entrepreneurship and innovation as a major component of economic potential. Startup companies are continually creating jobs we haven't even dreamt of yet and provide 85% of net new job creation according to the Kauffman Foundation's estimates. Over the past two years Startup Junkie consulting as served as the City of Fayetteville's primary contact for entrepreneurship and innovation, their work has provided free co -working space on the Fayetteville Square, generated the largest entrepreneurial event in Arkansas history, the Mailing Address: 113 W. Mountain Street www.fayetteville-ar.gov Fayetteville, AR 72701 Startup Crawl, and assisted dozens of companies' scale and launch successful ventures here in Fayetteville. Since the inception of the contract, Startup Junkie has held 192 events, workshops, and programs that have drawn 14,701 attendees. In the past twelve months alone, the group has dedicated 2,873 hours to events, programming, and workshops in the City of Fayetteville. The companies they serve range from major employers such as Our Pharma, Phigenics, Case Stack and Supply Pike- all the way to new companies such as LIVSN and MORE Technologies. Their impact and assistance can also be seen in companies such as Little Bird Systems, Con Queso's, Juice Palm, B -Unlimited, Ozark Integrated Circuits, Slim Chickens, Simpkin's Brothers Sweets, Alerity, Engine, Lofty Labs, Creative, Aurora Digital, Zenwork, and SUNDAE. Their implementation of the contract also led to the largest Startup event in Arkansas history being held in Fayetteville, the Startup Crawl. Over the past twelve months, the direct impact from their contract efforts have equated to 1,695 hours of mentoring, consulting, and one-on-one sessions assisting over 221 unique Fayetteville ventures through 434 different consulting sessions. Since the contract was incepted in October of 2016, Startup Junkie has held 292 sessions assisting minority entrepreneurs, 386 sessions assisting women entrepreneurs, and 163 sessions assisting veteran entrepreneurs. Startup Junkie Consulting has also managed and staffed the Fayetteville Innovation Council and Millennial Advisory Panel for the past two years, groups which serve as advisory panels to the City on matters related to talent retention and attraction. Lastly, the contract provides for Center Space to remain on the Fayetteville square, free and open to the public for use, a resource valued by numerous residents, entrepreneurs, and businesses. The contract has been revised significantly to function as more an extension of staff for the Department of Economic Vitality and encompasses Startup Junkie's commitment of dedicating a full-time employee to assist the City of Fayetteville realize the goals of the Fayetteville First Plan on a daily basis. The Startup Crawl is secured to remain in Fayetteville annually, and Center Space contractually remains on the Fayetteville Square. The contract also pivots Startup Junkies efforts towards the recruitment and attraction of expanding startups into Fayetteville, assisting growth of services for Fayetteville residents, helping the City further its growth concept -oriented development goals, and expanding the tax base. New performance metrics have also been added. BUDGET/STAFF IMPACT: The proposed contract is for a two-year period, with an option to renew (with City Council approval) for two additional two-year periods. The terms of the contract are included, and the amount of the contract is $150,000 per year. Attachments: Proposed Contract and Attachments Resolution 184-16 FIRST RENEWAL OF CONTRACT FOR ECONOMIC DEVELOPMENT CONSULTING SERVICES BETWEEN THE CITY OF FAYETTEVILLE, ARKANSAS AND STARTUP JUNKIE CONSULTING WHEREAS, the City of Fayetteville, Arkansas wishes to contract for Economic Development Consulting Services, and; WHEREAS, Startup Junkie Consulting wishes to provide certain Economic Development Consulting Services to the City of Fayetteville, Arkansas, and; WHEREAS, Startup Junkie Consulting has been selected to perform Economic Development Consulting Services for the City of Fayetteville utilizing the competitive Request for Proposal selection process (via RFP 16-06, Economic Development Consulting Services — Entrepreneurship and Innovation), and; WHEREAS, the City Council of Fayetteville, Arkansas and Startup Junkie Consulting wish to extend the contract for Economic Development Consulting Services an additional two years as provided in RFP 16-06 and the original contract approved by Resolution No. 184-16. NOW THEREFORE: In consideration of the mutual promises contained in this Agreement and other good and valuable consideration, 1. This Agreement is made this day of , 2018 by and between the City of Fayetteville, Arkansas located at 113 W. Mountain, Fayetteville, Arkansas 72701 and Startup Junkie Consulting located at 1 # Center Street, Suite 270, Fayetteville, Arkansas 72701. The terms and conditions set forth in this Agreement supersede and replace the terms and conditions of any prior contract or amendment for economic development consulting services between the parties. 2. Term: This Agreement, governing the first of three potential two-year extensions, shall commence on January 1, 2019, and shall end December 31, 2020. This contract may be canceled by either party with thirty days written notice. 3. Renewals: This agreement may only be renewed by approval of the City Council and with mutual agreement of Startup Junkie Consulting. The City may exercise an option to renew the contract for two (2) additional two (2) year terms with approval of both parties. 1 4. Attachments: The Contract documents, which comprise the contract between the City of Fayetteville and Startup Junkie Consulting, consist of this Contract and the following documents attached hereto, and made a part hereof: a.) Exhibit A - Revised Schedule of Deliverables and Performance Measures * The City of Fayetteville shall coordinate with Startup Junkie Consulting for modifications to this schedule. Any modifications to Exhibit A shall not reduce the quality or quantity of the services to be provided pursuant to this contract, as determined by the Mayor or his/her Chief of Staff or his/her Director of Economic Vitality. Any modifications shall be agreed upon by both the, City and Startup Junkie Consulting; however, any changes affecting price shall have prior approval by both Startup Junkie Consulting and the Fayetteville City Council. In the event Exhibit A is revised,and the price is not modified, such revised document shall be provided to the City Council at the next regularly scheduled update. 5. Services to be Provided: During the terms of this Agreement, Startup Junkie Consulting shall: Serve as the first point of contact for economic development services as the City's contractor for Entrepreneurship and Innovation services; ® Maintain clear and open communication with the City on all economic development services and activities provided under the scope of this contract; and clearly articulate when communicating on behalf of Startup Junkie Consulting versus City -contracted initiatives to create clear accountability; Provide all deliverables and performance measures outlined in the attached Exhibit A. 6. Fees and Expenses: The City of Fayetteville agrees the consulting fee shall be paid upon invoice as follows: Consultation Services shall be invoiced for each month in the amount of $12,500 per month. Total fees for consultation services shall not exceed $300,000, from the date of contract. Startup Junkie Consulting shall track, log and report hours and expenses directly related to this Agreement along with invoice for payment for each month. Invoices shall be itemized. Payment of the above-described fees shall be contingent upon annual budget approval by the Fayetteville City Council. If funds are not appropriated for any year this Agreement shall be terminated at the end of the then current term. If funds appropriated are less than the full amount contemplated by this Agreement then the parties shall agree upon an amended Revised Schedule of Deliverables and Performance Measures (Exhibit A). In the event the parties are unable to reach an agreement on an amended schedule, then the Agreement shall be terminated at the end of current month. 7. Notices: Any notice required to be given under this Agreement to either party to the other shall be sufficient if addressed and mailed, certified mail, postage paid, delivery, fax (receipt confirmed), or overnight courier. 8. Applicable Law: This Agreement shall be governed by and construed in accord with the laws of the State of Arkansas. 9. Entire Agreement: This Agreement sets forth the entire agreement and understanding between the parties on the subject matter of this Agreement. Neither party shall be bound by any conditions, definitions, representations or warranties with respect to the subject matter of this Agreement other than those as expressly provided herein. 10. Amendments and Waivers: Changes, modifications, or amendments in cost or fees to this contract shall not be allowed without a prior formal contract amendment approved by the Mayor and the City Council in advance of the change in cost or fees. No modification of this Agreement shall be binding unless made in writing and executed by both parties. No waiver by either party or any breach or obligation of the other party under this Agreement shall constitute a waiver of any other prior or subsequent breach or obligation. 11. Performance Measures: Startup Junkie Consulting shall provide the deliverables as outlined in the attached Exhibit A, which serves to implement the adopted Fayetteville First Economic Development Strategic Plan. Performance measures are included for the services and will be used to evaluate the work performed throughout the entire term of the contract. 12. Contract Administration: The Mayor or his/her Chief of Staff or his/her Director of Economic Vitality shall be the Contract Administrator for this contract. Startup Junkie Consulting Principal or his/her Designated Representative shall be the primary contact for all matters pertaining to this contract. While it is understood that many facts pertaining to projects must be held in the strictest confidence, Startup Junkie Consulting Principal will insure that the Mayor and the Director of Economic Vitality are kept abreast of details and progress made pertaining to Economic Development prospects considering development in Fayetteville to the greatest extent possible. 13. Freedom of Information Act: City contracts and documents prepared while performing work pursuant to this contract may be subject to the Arkansas Freedom of Information Act. If a Freedom of Information Act request is presented to the City of Fayetteville or to Startup Junkie Consulting the parties shall do everything possible, in a prompt and timely manner, to determine whether the requested records must be disclosed as required by the Arkansas Freedom of Information Act (A.C.A. §25-19-101 et. seq.), or whether the records are exempt pursuant to A.C.A. § 25-19-105(b), A.C.A. § 14-176-105(b)(1) or other applicable state or federal law. Records required to be disclosed shall be made available for inspection and copying. only legally authorized photocopying costs pursuant to the Freedom of Information Act may be assessed for this compliance. IN WITNESS WHEREOF, the parties have executed this Agreement. Startup Junkie Consulting r By: Date: 1 f merine, Principal Witness: G'� l The City of ryettea► ler Arkantas By; eld Jord-an. Ma br Attest: Date: A_ -a 11S Date: F �- — � s-/ 2 J �1 Date: Sondra E. Smith, City Clerk/Treasurer =�`..• GITy o' : FAYETTEVIU_F • -uy �r���• h is fil`7�'` .,�� �,. 'r!f N ►►iii 'ti tt �``• S Exhibit "A" Contract for Economic Development Services - Entrepreneurship & Innovation REVISED Schedule of Deliverables and Performance Measures As outlined herein, Startup Junkie Consulting shall provide the following services, more generally referred to as Entrepreneurship & Innovation economic development services: One. Support and develop a collaborative entrepreneurial/innovative environment Two. Increase high-tech job growth and University partnerships Three. Create innovative spaces and programs to support entrepreneurs Four. Expand and enhance Workforce Development, Attraction, and Retention through entrepreneurship education opportunities at all levels. Five. Support, Foster, and Expand entrepreneurship through retail and restaurant development Six. Collaborate with the City for communication to the public Seven. Report Outcomes One: Support and develop a collaborative entrepreneurial innovation environment 1. Serve as a direct point of contact for entrepreneurship/innovation and startup efforts. a. Coordinate with all entities involved in entrepreneurial efforts in the City of Fayetteville and serve as the point person in addressing any city -related processes that impact entrepreneurs. b. Dedicate one full-time employee to work with the Department of Economic Vitality on realizing the objectives and measures outlined in the contract. c. Maintain a bright line of communication with the City's Economic Development team to maintain accountability and address issues as they arise. d. Demonstrate efforts to acquire and track the following performance metrics: Outputs: 1. Number of Fayetteville entrepreneurs served through 1 on 1 consulting, mentoring, and assistance engagements; 2. Number of women, minority, and veterans served in Fayetteville; 3. Number of events, programs, and workshops held in Fayetteville; ii. Outcomes: 1. Net new jobs created in Fayetteville; 2. Capital raised for Fayetteville entrepreneurs; 3. Grants and State and Federal funding raised and secured by Fayetteville ventures; 4. New products, services, and solutions brought to market by Fayetteville entrepreneurs; 5. Number of patents and patent applications by Fayetteville entrepreneurs; 6. Number of SBIR, NSF and STTR applications filed for Fayetteville entrepreneurs; 7. Number of retail, restaurant, and accommodation startups assisted in Fayetteville; 8. Number of startups and investments made in Fayetteville's Opportunity Zones. 2. Assist the City in managing and staffing the Fayetteville Innovation Council. Focused on creating a collaborative environment that addresses the needs and challenges of entrepreneurs and innovators in Fayetteville, this group should be comprised of successful entrepreneurs or representatives of a broad cross-section of startups based in Fayetteville, including the University of Arkansas. 3. Online Directory. Maintain the online directory of the startup community, accessible from the City's Economic Development web site, with hotlinks to notable successes and best practices, entrepreneurial initiatives, calendar of meet -ups, events and educational and mentoring opportunities, technology support networks, etc. 4. Start-up/Entrepreneurial Business Retention and Expansion. In order to promote a welcoming and sustainable environment for entrepreneurship, implement a business retention and expansion program for startups. a. The city expects top 25 fastest growing Fayetteville startups to be visited annually. Through the use of a survey or questionnaire consistent with the Northwest Arkansas Council, to be used during interviews with existing Fayetteville businesses with results tabulated in a regularly updated and shared reporting document with the Department of Economic Vitality. b. Business needs or challenges that are identified during the visit and or survey shall be reported to the Director of Economic Vitality immediately. Two: Increase High -Tech lob Growth and University and. -beyond] Commercialization 1. Maintain a close working relationship with the Arkansas Research and Technology Park (ARTP) executive staff. The contractor's relationship with the ARTP shall be a strong working relationship, with a clear understanding of their direction, opportunities and constraints related to funding, space needs, physical infrastructure limitations, and how the City might assist. Regular meetings to discuss both formal topics for consideration and informal ideas are critical to maintaining the working relationship. 2. Partner with the University and others to further address capital needs. Working closely with the University, ARTP, City and others, Startup Junkie Consulting shall regularly inventory capital needs and map out potential resources to meet those needs, over the course of time giving specific time parameters for each action step. 3. Promote and facilitate utilization of the Small Business Innovation Research, National Science Foundation, and the Small Business Technology Transfer Programs. Work closely with the University of Arkansas and relevant small businesses to apply and obtain SBIR and STTR funding. Three: Create innovative spaces and programs to su amort entreE�rt+nc urs Create and provide collaboration space. Clustering the physical spaces in which entrepreneurs can collaborate is one way to encourage idea generation, maturation and sharing of resources. Startup Junking Consulting will provide collaboration space free to the public in the form of Centerspace, in the Fayetteville Innovation District, currently located on the 2na floor of the Pryor Center in Suite 270. a. In addition to maintaining the existing Centerspace free and open to the public, Startup Junkie Consulting will maintain an inventory of additional shared space opportunities for entrepreneurs, innovators, inventors and creatives throughout the City. 2. Entrepreneurial Programing. Continue to provide a wide range of entrepreneurial programing through a wide range of events that educate entrepreneurs and inspire residents to start their own ventures. Examples include E -Teen Ventures, Venture Mashup, Coffee+E, Idea Fame Pitch competitions, and others. a. In addition to rotating regional events, Startup Junkie shall host the Startup Crawl in Fayetteville annually, working to enhance and evolve the premier event to ensure its continued growth and participation. 3. Support maker space and robotics training center development. Support a maker space and robotics training center development already occurring in the downtown and explore other relationships to link interested users of the space and related programs to make it a successful venture. Four: Expand and enhance Workforce Develo ment Attraction and Retention througki Entrepreneurship Education Opportunities at all levels 1. Understand existing small business and targeted business sector needs. Review and participate in workforce analysis studies done for the region and locally to gain an understanding of the workforce availability related to the occupations required of the targeted business sectors, potentially partnering with the NWA Council and the Department of Economic Vitality on this initiative. Care should be taken to not duplicate efforts already underway. 2. Develop and Deploy pathways to prosperity through entrepreneurship. Work with the Department of. Economic Vitality, non -profits, and other relevant organizations to promote entrepreneurship as a pathway to prosperity for disadvantage populations and populations with barriers. Explore the creation of a program to equip disadvantaged residents with the knowledge and skills needed to achieve meaningful employment at a living wage through the creation of their own business or venture. 3. Ensure workforce and training needs can be met. Develop and lead programs that enrich talent development, starting at the youngest ages, as a key part of workforce development. Focus on diversity of population in all aspects of entrepreneurship. Continue to lead youth entrepreneurship programs such as E -Teen Ventures and AR Girls Code. Support efforts such as AR Code Festival, NWA Startup Weekend, Congressional App Challenge, Dream B.I.G. and Lemonade Day of Northwest Arkansas. 4. Millennial advisory panel. Work with the City to manage the millennial advisory panel that recommends policies, education and development practices that provide the best quality of life amenities and environment for this diverse population. Promote, foster, and seek development opportunities that help create an environment and amenities that attract the new millennial worker and/or business owners. Five: Support, Foster, and Expand Entrepreneurship through Retail and Restaurant development 1. Support and development burgeoning local craft beverage and artisan food business plans. Identify and work to expand efforts to ensure high value artisan food and craft beverage companies flourish in Fayetteville, particularly where there is growth opportunity in the market. Work with the Northwest Arkansas Council, the Fayetteville Visitors Bureau, Brightwater, and the U of A Food Innovation Center and other parties to ensure the artisan food and beverage industry is supported and that any challenges to existing companies in Northwest Arkansas are identified and addressed. 2. Support and curate small retail and restaurant -oriented businesses. Fayetteville is known for its robust collection of small businesses located throughout the City. These businesses provide unique experiential retail experiences to residents and visitors alike. Work with the Department of Economic Vitality to expand the City of Fayetteville's retail base through educational programs and targeted placement of small businesses throughout the City. a. Explore experiential small business opportunities such as trail -oriented development and other unique ventures which activate spaces throughout the City in coordination with the City's growth concept map. b. Identify unique opportunities for small businesses that are currently not active in Fayetteville, that add to the outstanding quality of life Fayetteville is known for, update the Department of Economic Vitality on those opportunities regularly and work to recruit and development them in the City of Fayetteville c. Attract and pursue existing small businesses not located in Fayetteville who may be expanding and work to place those expansions to Fayetteville. This may include small businesses currently operating in the region, or other surrounding metro -areas. Six: Collaborate with the City for Communication with the Public 1. Communications pertaining to the implementation of the Fayetteville First Plan and the implementation, outputs, or outcomes of this contract will be communicated on the City's Economic Development website using the City's branding and marketing. Communication and engagement with the business community as it relates to measures outlined in the contract will be done through the City's website, which is managed by the Department of Economic Vitality. Promotion of the measures outlined in the contract will be conducted through the City's social media channels. All performance measures and reports will be updated on a monthly basis via the City's web site by the Department of Economic Vitality. 2. Collaborate with and assist the Department of Economic Vitality on the development of a place -based marketing campaign which highlights the entrepreneurial ecosystem of Fayetteville, celebrates successful startups, and brings awareness to other assets within Fayetteville important to the startup community. 3. Communications from Startup Junking Consulting related to economic development initiatives within the scope of this contract, major decisions and/or development matters, and public -facing activities should be coordinated with the Mayor's office or his assigned staff. This includes statements at City Council meetings, Agenda Sessions, public presentations, press conferences, etc. Updates to the City Council will be given in June and December of each calendar year. Seven: Reoorts and Presentations 1. Reporting results and milestones will be done as deliverables are met in the implementation of the Fayetteville First Economic Development Strategic Plan and will be formatted to fit within the City's Economic Development branding on the city web site. The City's internal Economic Development team will meet regularly with Startup Junkie Consulting (at a minimum on a monthly basis) to discuss the status of deliverables. The Mayor and/or City Council may request periodic updates and public engagement for citizens to be kept informed of the city's economic development goals. Startup Junkie Consulting will be expected to attend quarterly "collaboration meetings" with the City of Fayetteville and the. Fayetteville Chamber of Commerce. Startup Junkie Consulting will attend weekly conference calls with the Director of Economic Vitality. 2. Startup Junking Consulting shall provide written reports and prepare a brief presentation to the Mayor and City Council on at least a bi-annual basis. Reports and presentations should outline the tasks accomplished, outcomes achieved and include statistics for each performance measure outlined herein. 3. A schedule for completion of outlined performance measures and a monthly status report shall be submitted for each month of the contract, delivered during regular monthly meetings with the City's internal team. 113 West Mountain Street Fayetteville, AR 72701 (479) 575-8323 Resolution: 184-16 File Number: 2016-0404 STARTUP JUNKIE CONSULTING, LLC: A RESOLUTION TO APPROVE A TWO (2) YEAR CONTRACT WITH STARTUP JUNKIE CONSULTING, LLC TO PROVIDE ECONOMIC DEVELOPMENT CONSULTING SERVICES IN THE AREAS OF ENTREPRENEURSHIP AND INNOVATION IN THE AMOUNT OF $300,000.00, AND TO APPROVE A BUDGET ADJUSTMENT. WHEREAS, Startup Junkie Consulting, LLC was competitively selected by a City selection committee to provide economic development consulting services to the City of Fayetteville in the areas of entrepreneurship and innovation in the amount of $12,500.00 per month. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1 : That the City Council of the City of Fayetteville, Arkansas hereby approves the attached two (2) year contract with Startup Junkie Consulting, LLC to provide economic development consulting services to the City of Fayetteville in the areas of entrepreneurship and innovation in the amount of $300,000.00. Section 2: That the City Council of the City of Fayetteville, Arkansas hereby approves a budget adjustment, a copy of which is attached to this Resolution. PASSED and APPROVED on 10/4/2016` FA VpApproved. --� Attest: :y., ,fa�r��P`-'..: t0 ` y>t. ."- Lio eld Jord n, yor Sondra E. Smith, City Clerk Treasurer Page 1 Printed on 1015116 City of Fayetteville, Arkansas loll r Text File File Number: 2016-0404 Agenda Date: 10/4/2016 Version: 1 In Control: City Council Meeting Agenda Number: C. 7 STARTUP JUNKIE CONSULTING, LLC: 113 West Mountain Street Fayetteville, AR 72701 (479) 575-8323 Status: Passed File Type: Resolution A RESOLUTION TO APPROVE A TWO (2) YEAR CONTRACT WITH STARTUP JUNKIE CONSULTING, LLC TO PROVIDE ECONOMIC DEVELOPMENT CONSULTING SERVICES IN THE AREAS OF ENTREPRENEURSHIP AND INNOVATION IN THE AMOUNT OF $300,000.00, AND TO APPROVE A BUDGET ADJUSTMENT WHEREAS, Startup Junkie Consulting, LLC was competitively selected by a City selection committee to provide economic development consulting services to the City of Fayetteville in the areas of entrepreneurship and innovation in the amount of $12,500.00 per month. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1.: That the City Council of the City of Fayetteville, Arkansas hereby approves the attached two (2) year contract with Startup Junkie Consulting, LLC to provide economic development consulting services to the City of Fayetteville in the areas of entrepreneurship and innovation in the amount of $300,000.00. Section '• That the City Council of the City of Fayetteville, Arkansas hereby approves a budget adjustment, a copy of which is attached to this Resolution. City of Fayetteville, Arkansas Page 1 Printed on 10/5/2016 Jeremy Pate Submitted By City of Fayetteville Staff Review Form 2016-0404 Legistar File, ID 10/4/2016 City Council Meeting Date - Agenda Item Only N/A for Non -Agenda Item 9/2/2016 Development Services / Development Services Department Submitted Date Division / Department Action Recommendation: A resolution to approve a contract with Startup Junkie Consulting for Economic Development Services - Entrepreneurship and Innovation, and approving a budget adjustment Budget Impact: 1010.050.0500-5315.00 General Fund Account Number Fund Contract Services Project Number Project Title Budgeted Item? No Current Budget $ Funds Obligated $ Current Balance f Does item have a cost? Yes Item Cost $ 300,000.00 Budget Adjustment Attached? Yes Budget Adjustment $ 300,000.00 Remaining Budget V20140710 Previous Ordinance or Resolution # Original Contract Number. Approval Date: Comments: CITY OF 7a y7—1 I ARKANSAS MEETING OF OCTOBER 4, 2016 TO: Mayor Lioneld Jordan Fayetteville City Council THRU: Don Marr, Chief of Staff CITY COUNCIL AGENDA MEMO FROM: Jeremy Pate, Development Services Director DATE: August 31, 2016 SUBJECT: RFP 16-06 Economic Development Contract for Services — Entrepreneurship & Innovation RECOMMENDATION: Staff recommends the selection of and a two-year contract with Startup Junkie Consulting to provide economic development consulting services related to Entrepreneurship and Innovation. BACKGROUND: In May of this year, the Council unanimously adopted Fayetteville First, the City's newly updated Economic Development Strategic Pian. This plan engaged over 1600 citizens and businesses to structure the City's economicfuture. Fayetteville First gives policy direction forthe City to achieve its stated goals, along with an implementation plan as a roadmap. The Implementation Plan is a fluid, dynamic document placing more tangible timeframes and action items to be accomplished over the next five years, Establishing the economic delivery service model was identified as one of our first steps, and staff is following the adopted strategy of a three -pronged approach: 1) Contract Business Recruitment, Retention and Expansion Services, 2) Contract Entrepreneurship and Innovation Services and 3) Create an internal Economic Development program to provide a city contact and to lead efforts in coordinating all efforts related to recruiting, retaining and supporting business, industry, and startup efforts in the City. The City issued RFP 16-06 on July 06 and received proposals on July 29. After interviewing the selected candidates, the selection committee (including Council Member Adella Gray) recommended entering into negotiations with Startup Junking Consulting to provide the requested services. DISCUSSION: A major component of Fayetteville's economic potential was identified with the Fayetteville First Strategic Plan, and it is one that has not seen a great deal of focus in the past by the City. The Kauffman Foundation estimates that at least 85% of net new job creation comes from startup companies. With the University's innovation and talent supply, a vibrant entrepreneurial culture and access to the right resources, Fayetteville's current entrepreneurial and innovation sector ecosystem has the potential to become a leading destination for world-class, scalable ventures and vibrant, sustainable small businesses. It is with this in mind that the City desires to contract Mailing Address: 113 W. Mountain Street www.fayetteville-ar.gov Fayetteville, AR 72701 with Startup Junkie to become the Startup City of the South, with outcomes to include high wage job creation, graduate retention in the region and enhanced quality of life. Startup Junkie Consulting is a leader in the development of viable, lasting and inclusive startup and venture ecosystems in emerging regions. Their work since 2008 has resulting in the creation and acceleration of hundreds of new ventures, thousands of new jobs and over $265 million in private and public investment. Support for their efforts have come through funding and partnerships with the likes of Innovate Arkansas, the US Department of Commerce, ARK Challenge startup accelerator, Ozarks Regional Innovation Cluster, ScaleUp America, AFDC, Winrock International, the Walton Family Foundation, Small Business Administration, NWA Council and so on. The selection committee found a high-energy, committed and professional local team that will lead Fayetteville First's entrepreneurial target sector. Specific tasks outlined in the contract include supporting a collaborative entrepreneurial/innovative environment; increasing high-tech job growth through university and ARTP partnerships; creating and maintaining innovative spaces and programs to support entrepreneurs; providing an online directory of the startup community to support and encourage mentoring opportunities, technology support networks, entrepreneurial initiatives and events/education; exploring affordable housing options for entrepreneurs; inventory and expand educational opportunities; support the growing artisan food and craft beverage industry; and supporting talent attraction, retention and development so support the growth of small business here in Fayetteville. BUDGET/STAFF IMPACT- The proposed contract is for a two-year period, with an option to renew (with City Council approval) for three additional two-year periods. The terms of the contract are included, and the amount of the. contract is .$150,000 per year. Staff proposes a budget adjustment to cover the contract term of two years from the use of Fund Balance. Attachments: Proposed Contract and Attachments Budget Adjustment CONTRACT FOR ECONOMIC DEVELOPMENT CONSULTING SERVICES BETWEEN THE CITY OF FAYETTEVILLE, ARKANSAS AND STARTUP JUNKIE CONSULTING WHEREAS, the City of Fayetteville, Arkansas wishes to contract for Economic Development Consulting Services, and; WHEREAS, Startup Junkie Consulting wishes to provide certain Economic Development. Consulting Services to the City of Fayetteville, Arkansas, and; WHEREAS, Startup Junkie Consulting has been selected to perform Economic Development Consulting Services for the City of Fayetteville utilizing the competitive Request for Proposal selection process (via RFP 16-06, Economic Development Consulting Services — Entrepreneurship and Innovation), and; WHEREAS, the City Council of Fayetteville, Arkansas has approved a contract for Economic Development Consulting Services with Startup Junkie Consulting, NOW THEREFORE: In consideration of the mutual promises contained in this Agreement and other good and valuable consideration, Agreement is made this AAbday of (] , 2016 by and between the City of Fayetteville, Arkansas located at 113 W. Mountain, Fayetteville, Arkansas 72701 and Startup Junkie Consulting located at 1 East Center Street, Suite 270, Fayetteville, Arkansas 72701. Term: This Agreement shall be for a two year period, for a term ending September 30, 2018. This contract may be canceled by either party with thirty days written notice. 2. Renewals. This agreement may only be renewed by approval of the City Council and with mutual agreement of Startup Junkie Consulting. The City may exercise an option to renew the contract for three (3) additional two (2) year terms with approval of both parties. Attachrnents: The Contract documents which comprise the contract between the City of Fayetteville and Startup Junkie Consulting consist of this Contract and the following documents attached hereto, and made a part hereof: Economic Development Consulting Services Contract Page] of4 a.) Exhibit A - Schedule Detail for Deliverables and Performance Measures * The City of Fayetteville shall coordinate with Startup Junkie Consulting for modifications to this schedule. Any modifications to Exhibit A shall not reduce the quality or quantity of the services to be provided pursuant to this contract, as determined by the Mayor or his/her designee. Any modifications shall be agreed upon by both the City and Startup Junkie Consulting; however, any changes affecting price shall have prior approval by the Fayetteville City Council. In the event Exhibit A is revised and price is not modified, such revised document shall be provided to the City Council at the next regularly scheduled update. 4. Services to be Provided: During the terms of this Agreement, Startup Junkie Consulting shall: Serve as the first point of contact for economic development services as the City's contractor for Entrepreneurship and Innovation services; • Maintain clear and open communication with the City on all economic development services and activities provided under the scope of this contract; and clearly articulate when communicating on behalf of Startup Junkie Consulting versus City - contracted initiatives to create clear accountability; • Provide all deliverables and performance measures outlined in the attached Exhibit A 5. Fees and Expenses: The City of Fayetteville agrees the consulting fee shall be paid upon invoice as follows: Consultation Services shall be invoiced for each month in the amount of $12,500 per month. Total fees for consultation services shall not exceed $300,000, from the date of contract. Startup Junkie Consulting shall track, log and report hours and expenses directly related to this Agreement along with invoice for payment for each month. Invoices shall be itemized. 6. Notices: Any notice required to be given under this Agreement to either party to the other shall be sufficient if addressed and mailed, certified mail, postage paid, delivery, fax (receipt confirmed), or overnight courier. 7. A_Rplicable Law: This Agreement shall be governed by and construed in accord with the laws of the State of Arkansas. 8. Entire Agreement: This Agreement sets forth the entire agreement and understanding between the parties on the subject matter of this Agreement. Neither party shall be bound by any conditions, definitions, representations or warranties with respect to the subject matter of this Agreement other than those as expressly provided herein. Economic Development Consulting Services Contract Page 2 of 4 9. Amendments and Waivers: Changes, modifications, or amendments in cost or fees to this contract shall not be allowed without a prior formal contract amendment approved by the Mayor and the City Council in advance of the change in cost or fees. No modification of this Agreement shall be binding unless made in writing and executed by both parties. No waiver by either party or any breach or obligation of the other party under this Agreement shall constitute a waiver of any other prior or subsequent breach or obligation. 10. Performance Measures: Startup Junkie Consulting shall provide the deliverables as outlined in the attached Exhibit A, which serves to implement the adopted Fayetteville First Economic Development Strategic Plan. Performance measures are included for each: item and will be used to evaluate the work performed throughout the entire term of the contract. 11. Contract Administration: The Mayor or his/her Designated Representative shall be the Contract Administrator for this contract. Startup Junkie Consulting Principal or his/her Designated Representative shall be the primary contact for all matters pertaining to this contract. While it is understood that many facts pertaining to projects must be held in the strictest confidence, Startup Junkie Consulting Principal will insure that the Mayor is kept abreast of details and progress made pertaining to Economic Development prospects considering development in Fayetteville to the greatest extent possible. 12. Freedom of Information Act: City contracts and documents prepared while performing city contractual work are subject to the Arkansas Freedom of Information Act. If a Freedom of Information Act request Is presented to the City, of Fayetteville, the Fayetteville Startup Junkie Consulting Will do everything possible to provide the -documents in a prompt and timely manner -as, prescribed in the Arkansas Freedom of Information Act (A.C.A. §25-19-101 et. seq.), exempting those records that, "if disclosed would give advantage to competitors or bidders," as described in Section (b)(9)(A). Only legally authorized photocopying costs pursuant to the FOIA may be assessed for this compliance. Economic Development Consulting Services Contract Page 3 of 4 IN WITNESS WHEREOF, the parties have executed this Agreement. Startup Junkie Consulting f Anserine, Principal Witnes Th t ty of F etteville, kansas By: Attest: Date: 10/10/2016 Date: 10/10/2016 Rete: — t Lip ►`►ttsi r�+►►r► 11 `�� r:��r�►ri�� �iate: Sondra E. Smith, City Cie rkJ iRi s'WN* O� '•� : ;FAYFTTEViLI.i~, .r: ; -- Economic Development Consulting Services Contract Page 4 of 4 Exhibit "A" Contract for Economic Development Services - Entrepreneurship & Innovation Schedule of Deliverables and Performance Measures As outlined herein, Startup Junkie Consulting shall provide the following services, more generally referred to as Entrepreneurship & Innovation economic development services: One. Support a collaborative entrepreneurial/innovative environment Two. Increase high-tech job growth and University partnerships Three. Create innovative spaces and programs to support entrepreneurs Four. Expand entrepreneurship education programs Five. Support the growing local artisan food and craft beverage industry Six. Support Talent Attraction, Retention and Development Seven. Collaborate with the City for communication to the public Ei&ht. Report Outcomes One: Support a collaborative entrepreneurial/Innovation environment 1. Serve as a direct point of contact for entrepreneurship/innovation and startup efforts. a. Coordinate with all entities involved in entrepreneurial efforts in the City of Fayetteville, and serve as the point person in addressing any city -related processes that impact entrepreneurs. b. Maintain a bright line of communication with the City's Economic Development team to maintain accountability and address issues as they arise. c. Work with the City's internal economic development team to brand and market the Startup City of the South concept. 2. Assist the City in creating and staffing a Fayetteville Innovation Council. Focused on creating a collaborative environment that addresses the needs and challenges of entrepreneurs and innovators in Fayetteville, this group should be comprised of successful entrepreneurs or representatives of a broad cross-section of startups based in Fayetteville, including the University of Arkansas. 3. Online Directory. Develop and maintain an online directory of the startup community, accessible from the City's Economic Development web site, with hotlinks to notable successes and best practices, entrepreneurial initiatives, calendar of meet -ups, events and educational and mentoring opportunities, technology support networks, etc. 4. Start-up/Entrepreneurial Business Retention and Expansion. Coordinate with the City's contractor for Economic Development Business Retention and Expansion services to provide and share information on needs for capital, talent, data, infrastructure, skills, etc. to promote a welcoming and sustainable environment for startups. *BR&E services for this target sector will be provided by a separate contractor. Two: increase High -Tech lob Growth and University partnerships 1. Develop and maintain a close working relationships with the Arkansas Research and Technology Park (ARTP) executive staff. The contractor's relationship with the ARTP shall be a strong working relationship, with a clear understanding of their direction, opportunities and constraints related to funding, space needs, physical infrastructure limitations, and how the City might assist. Regular meetings to discuss both formal topics for consideration and informal ideas are critical to maintaining the working relationship. Z. Identify affordable housing options for entrepreneurs and startups. In order to provide affordable housing and encourage additional collaboration among U of:A entrepreneurs who are working with the University and ARTP to launch a startup business, explore relationships with private developers and other opportunities that would provide housing at reduced costs and/or within close proximity to reduce transportation costs and time so that student entrepreneurs can funnel their time, energy and funds into their business. 3, Explore the creation of a Startup Village. In the vein of projects such as Kansas City Startup Village and the Innovation District concept in Fayetteville, investigate and report on the concept of a Fayetteville Startup Village, coined around the "Startup City of the South," idea to focus efforts, energy and knowledge sharing that ideally produces an increase in the opportunity for startups to succeed and job growth to accelerate. 4. Partner with the University to further address capital needs. Working closely with the University, ARTP, City and others, the selected contractor shall regularly inventory capital needs and map out potential resources to meet those needs, over the course of time giving specific time parameters for each action step. Three: Create innovative spaces and progyams to s pport entre p reneurs 1. Develop and define an Innovation District. Innovation Districts are creative ecosystems where innovative design and development patterns can help entrepreneurs, established companies, and leaders build unexpected relationships, resulting in transformative solutions. These districts are designed to make unusual collaborations more likely to happen. There is already a burgeoning creative ecosystem in downtown Fayetteville with the presence of numerous startup companies, the proposed Innovation Hub, and the University of Arkansas Community Design Center (UACDC), which advances creative development through design, research, and education solutions from its downtown facility that houses a full-time design and planning staff who deliver professional services for communities and organizations nationwide. These businesses, all of which are located on the Fayetteville Square, are the epicenter of this creative ecosystem that is developing and should become part of the proposed Fayetteville Innovation District. Startup Junkie Consulting will lead a discussion with the appropriate parties currently involved in the development of the entrepreneurial/startup ecosystem in Fayetteville to define the geography of the proposed Innovation District. 2. Create and provide collaboration space. Clustering the physical spaces in which entrepreneurs can collaborate is one way to encourage idea generation, maturation and sharing of resources. Startup Junking Consulting will provide collaboration space free to the public in the form of Centerspace, currently located on the 2nd floor of the Pryor Center. In addition to maintaining the existing Centerspace free and open to the public, Startup Junkie Consulting will conduct an inventory of additional shared space opportunities for entrepreneurs, innovators, inventors and creatives. Supportthe development of an inventory of available spaces, facilitate a strategic plan to create them, and guide a governance structure for operational sustainability. 3. Develop incentive ideas for startup companies locating downtown. Explore a breadth of incentives and develop ideas to support startup companies locating in downtown, as well as elsewhere within the identified Innovation District. Funding, parking, transit or bicycle incentives, development of attainable housing in close proximity, etc. are some options worthy of consideration, among others. Work with the City, entrepreneurs and others to formally launch incentives that will attract and retain entrepreneurial ventures in the downtown and Innovation District. 4. Support maker space and robotics training center development. Support a maker space and robotics training center development already occurring in the downtown, and explore other relationships to link interested users of the space and related programs to make it a successful venture. Four: Expand Entrepreneurship Education Opportunities at all levels 1. Understand existing industry and targeted business sector needs. Review and participate in workforce analysis studies done for the region to gain an understanding of the workforce availability related to the occupations required of the targeted business sectors, potentially partnering with the NWA Council on this initiative. Care should be taken to not duplicate efforts already underway. 2. Research and conduct a survey of regional higher educational institutions. Develop an understanding of enrollment, degrees offered and graduates of regional institutions of higher education that may serve Fayetteville, meeting as appropriate with leaders of the various educational institutions independently and reporting back to the City the results of these conversations. 3. Convene regional educational leadership. Coordinate with the Northwest Arkansas Council to participate in discussions with local institutions of higher education, public school career and technical education program leaders, as well as local industry and targeted sectors, and determine whether the workforce and training needs of the identified target markets can be met. Work with these institutions to determine possible new program development in the future to meet the needs of the targeted business sectors and existing business and industry. Once established, create and measure performance standards to fill gaps in the workforce and training needed. Five: Support the growing local artisan food and craft -beverage industry 1. Partner to support burgeoning local craft beverage and artisan food business plans. Identify and work to expand efforts to ensure high value artisan food and craft beverage companies flourish in Fayetteville, particularly where there is growth opportunity in the market. Work with the Northwest Arkansas Council, the Fayetteville Visitors Bureau, the U of A Food Innovation Center and other parties to ensure the artisan food and beverage industry is supported and that any challenges to existing companies in Northwest Arkansas are identified and addressed. Conduct a targeted online survey focused on understanding how the city and region can support the future growth of the craft beverage and artisan food industry and potentially attract larger operations in the future. Develop a base of knowledge through research of benchmark cities with similar craft/artisan industry clusters, such as Asheville, NC and report these results. 2. Assess need for educational programs. Assess the need for additional educational programs in the region to support the craft beverage and artisan food industry as part of the online survey. Six: Support Talent Attraction Retention and Development Being able to attract, develop and maintain talent is critical for sustaining the startup business ecosystem. With the presence of the U of A and Northwest campus of the University of Arkansas for Medical Science (UAMS) in the city, and NWACC and Northwest Technical Institute in the region, Fayetteville is positioned to provide young and educated talent, as well as research and development, to support existing and new business/industry. The contractor must provide expertise and resources to gain a comprehensive understanding of the workforce and training needs of the entrepreneurial target sector. 1. Attract and retain the workforce of today and tomorrow. Work with the city to identify and support quality of life initiatives that attract the appropriate workforce and skillsets needed in the target sector of entrepreneurship and innovation. Enable discussions to maintain and enrich an authentic Fayetteville culture for residents, coordinating the various focus areas of Fayetteville First and the City's adopted policies, including a focus on walkable neighborhoods, high quality school choices, mixed-use and urban amenities, diversity, transportation alternatives and amenities such as arts, culture and entertainment/dining options. Care for the environment and a desire to live in communities that practice sustainable development are hallmarks of tomorrow's workforce, and should be part of the foundation to make Fayetteville the Startup City of The South. 2. Ensure workforce and training needs can be met. Develop and lead programs that enrich talent development, starting at the youngest ages, as a key part of workforce development. Focus on diversity of population in all aspects of entrepreneurship. Continue to lead youth entrepreneurship programs such as E -Teen Ventures and AR Girls Code. Support efforts such as AR Code Festival, Congressional App Challenge, Dream B.I.G. and Lemonade Day of Northwest Arkansas. 3. Millennial advisory panel. Work with the City to create a millennial advisory panel that can recommend policies, education and development practices that provide the best quality of life amenities and environment for this diverse population. Promote, foster, and seek development opportunities that help create an environment and amenities that attract the new millennial worker and/or business owners. Seven: Collaborate with the City for Communication with the Public 1. The City's Economic Development web site will be used to communicate the implementation of the Fayetteville First plan, using the City's branding and marketing. All communication and engagement with the business community via surveys and questionnaires will be done from a link within the City's Economic Development web site pages and will be promoted on the City's social media channels via coordination with the City's Communications and Marketing Team.. All performance measures and reports will be updated on a regular basis via the City's web site. Startup Junkie Consulting will work with the City's Communications and Marketing Team to ensure that the deliverables from this contract remain up to date on the City's Economic Development web site. 2. Communications from Startup Junking Consulting related to economic development initiatives within the scope of this contract, major decisions and/or development matters, and public -facing activities should be coordinated with the Mayor's office or his assigned staff. This includes statements at City Council meetings, Agenda Sessions, public presentations, press conferences, etc. Eight: Reports and Presentations 1. Reporting results and milestones will be done as deliverables are met in the implementation of the Fayetteville First Economic Development Strategic Plan and will. be formatted to fit within the City's Economic Development branding on the city web site. The City's internal Economic Development team will meet regularly with Startup Junkie Consulting (at a minimum on a monthly basis) to discuss the status of deliverables. The Mayor and/or City Council may request periodic updates and public engagement for citizens to be kept informed of the city's economic development goals. 2. Startup Junking Consulting shall provide written reports and prepare a brief presentation to the Mayor and City Council on at least a bl-annual basis. Reports and presentations should outline the tasks accomplished, outcomes achieved and include statistics for each performance measure outlined herein. 3. A schedule for completion of outlined performance measures and a monthly status report shall be submitted for each month of the contract, delivered during regular monthly meetings with the City's internal team. Startup unide Consulting Startup Junkie Consulting is a globally proven social venture, headquartered in Fayetteville. www. S tartilplun kieCon su l ting. co m. Our Purpose: Improve lives through entrepreneurship and innovation. Our Mission: Inspire, educate, and support entrepreneurs and innovators through no -cost consulting, programs, events, and access to capital and talent. Our Mantra: We help ventures win and communities thrive. What do we do day in and day out? Free 1:1 consulting, mentoring, counseling, training, support, and assistance to entrepreneurs and innovators. We work with the earliest idea stage entrepreneurs up to ventures with significant revenue. We work with entrepreneurs from all industries, ranging from aerospace, digital, and biotech, to food, apparel, retail, and ecommerce. We work with innovators and inventors at no cost to them, within university systems and outside of, who are working on commercializing their research. We are the Ellis Island for entrepreneurs and innovators in need of assistance. Free events, workshops, programs, and placemaking aimed at uplifting the entrepreneurial and innovation community. Education of community stakeholders on the value and importance of entrepreneurship and innovation, in addition to helping show them how engagement and adoption of entrepreneurship and innovation can help them thrive. o Community building initiatives focused on entrepreneurship and innovation Jeff Anierine Principal, Startup Junkie Consulting Jeff is one of the ke}, leaden, in the stave of ;Arkansas and Northwest :Arkansas region involved with the creation of a lasting tech.•focuscd ventilre/stimip e:cosy tem. Jeff Nvas prei•icnislt associate Vice Provost, Research and Economic Development and Directo.t of the University of .Arkansas Technology Ventures team, leading the conimicrcialization of world-class research, IIe has held senior leadership positions in eight startup ventures and three Fcntune 500 companies, In addition. Jaff tciches entrepreneurship at the Sant N-1. A4'alton Colletm of Business. Jeff is an advisor for Innovate: ,Arkanwas, whicll is chartered with the. creation and support of a knowledge- based economy in Arkansas that: has accowited for $208 million in public and primate financing; for ,Arkansas -based startups. Jeff graduated from L'S Naval Academy in lill4 and holds a N -1 -aster of Science ill Operaticros Nranayeament frutn rhe Univer..sin° of;Arkansas. Brett i, rhe (thief Operamig Officer at Srrrnrp Junkie Consulting. Iii rlli; role, he hats batornc ,t Ic,ider in developing and depJoyitig l entrepreneurial Prognums and initiatives, throughout the county:-. I Ie 1 rte: hrlpS aChllilliSLer the Grat•itr \%c:ntures Arkansas I`ttnds 1 & 2., And lie is a ri aging alembe.r of the'].'ortic I'urtd. Prior to this, Byeil: -, . neafly 5 }cars in 1•forlolulu, Hawaii, and -Lo, :\ngOC.', Cslliforoisl, as a ` L:nited Stares ;lir Folxc Officer: specializingiu prvjcc.f.nianafctnenl. Brc•It led project amid contr'at.l tc,ims that managed rnultirnillion- and billion-doll:ur >ervice, construction. and acros pacr Dred Brett Arnerine beg; in his career as a financial r\nalyst ar Wallliari'% f leadcuarters in rhe Optical Departtnenr. He holds a mactet's degree in Operations Chief OPCfAtiTkg Officer, ikfanagcount li:nrn Elie University of :\rkansas's Collage of Startup Junkie Consulting F.ngincerinj;, and a bachelor's degree in Business Admutistration front the.. l: nivcrsity of:\rkatlsas Sain \I. Walton College. ofBusill"s. Nortliwest Arksltls:ls earned fired as one of die rrt. ion's "I a;t 15" Iii 3014. Brett is a ccrlitled llrojcct. k[anagenient lnstimte I)toject Umit e.menr. Professional (1)NII)) Communitv'Venture Founsiation Co.mmuiuty Venture Foundation is a nationally known IRS approved 5016,1ieadduartcrcd in Fayetteville. C i •V n t„ t 'onors; Our Mission: To build the entrepreneurial community in the regions in which we operate. Our primary goal is to use entrepreneurship as a too] for social and economic empowerment, Our Aim, We arc commit led to builduig the entrepreneurial community in Fayetteville, Northwest Arkansas and our surrounding regions. We provide a wide range of programs and services including youth entrepreneurship education and conirnututy entrepreneurship education, capacity building and support for nonprofits and social ventures, and micro lending opportunities through Kiva. All of our programs are project based and led and supported by our community. Jessica i3o� ci Executive Direclur, Conrtnuuity Ventura Foundation Jessica is an experienced leader in non-profit industry specializing in sttatcgic planning, program and organizational development, and program evaluation. She is focused on empowering individuals, particularly those in underserved communities, to achieve their full potential and fulftll their dreams. At. the Community Venture Foundation (CVl), she has singlehandedly built the non-profit: into a recognized organization, and has developed youth entrepreneurship ,slid social venture support programs. Prior to working at CVF, Jessica was an inaugural American Bream fellow for the Cisneros Center for New Americans, working on irrrmigrant integration strategies for Northwest Arkansas. At the Cisneros Center, she was the small business and entreprerreursliip lead, engaging hundreds of immigrants in Financial literacy and small busiricss education programs. Jessica has also worked with The Sustainability• Consortium as the social sustainability research lead; Habitat for Humanity Colombia as the funding diversity expert, and Nisolo as the student engagement lead. She is actively involved in her commimity, and is currently serving her third year as the Volunteer Chair for the Susan G. Komen Ozark Race for the Cure, and is working with Magdalene Serenity House to build the non-profit and develop its long -tern strategy. Jessica received her Bachelors of Arts (BA) in Anthropology, Spanish, and Latin American Studies from the University of Arkansas, her Masters of Public Service (MPS) from The Clinton School of Public Service, and her MBA from the University of Arkansas Sam M. Walton College of Business. T' nt F dem inity Venture Faun t:r inn art i t nkie C.nn ►rItin vi contract and subcontract. ■ "U.S. Small Business Administration • U.S. Fconomic Development Administration • Delta Regional Authority ■ State of Arkansas via AFDC and Innovate Arkansas • Winrock International ■ AT&T • Walton Family Foundation • University of Centrad Arkansas • Innovate Matritoba • Navigate Startup e And many more! City of Fayetteville, Arkansas - Budget Adjustment Form (Legistar) Budget Year Division Adjustment Number DEVELOPMENT SERVICES (620) /O rg2 2016 Requestor: Jeremy Pate BUDGET ADJUSTMENT DESCRIPTION / JUSTIFICATION: $300,000 is requested in the Economic Development Services account. These funds will be useq for a 2 -year contract, billed monthly at a rate of $12,500, with Startup Junkie Consulting. The funds are being requested from the Use of Fund Balance. RESOLUTION/ORDI NANCE COUNCIL DATE: LEGISTAR FILE ID#k: 10/4/2016 2016-0404 B a rb-cwa, Fa& 9/7/2016 8:28 AM Budget Director TYPE: DESCRIPTION: GLDATE: POSTED: Date TOTAL 300,000 300,000 v,20160722 Increase/ (Decrease) Pro eeC1 5ubit Account Number Expense Revenue Project Sub AT Account Name 1010.050.0500-5315.00 300,000 - EX Contract Services - 1010.001.0001-4999.99 300,000 RE Use Fund Balance - Current C:\Users\lsmith\AppDota\Rooming\L5\Temp\009f6458-4t2f-4901.88eO-667cdcd9f93d ' of) ,6 STARTUP JUNKIE CONSULTING LLC I M 4 City of Fayetteville Staff Review Form 2017-0763 Legistar File ID N/A City Council Meeting Date - Agenda Item Only N/A for Non -Agenda Item Devin Howland 12/15/2017 Submitted By Submitted Date Action Recommendation: ECONOMIC DEVELOPMENT (050) Division / Department MAYOR JORDANS SIGNATURE IS NEEDED ON THE UPDATED CONTRACT FOR STARTUP JUNKIE CONSULTING LLC Budget Impact: Account Number Fund Project Number Project Title Budgeted Item? No Current Budget $ Funds Obligated $ Current Balance $ - Does item have a cost? No Item Cost Budget Adjustment Attached? NA Budget Adjustment Remaining Budget $ _ Previous Ordinance or Resolution #f 184-16 V20140710 Original Contract Number: Approval Date:. . Comments: CITY OF FAYETTEVILLE ARKANSAS 1W . TO: Lioneld Jordan, Mayor THRU: Don Marr, Chief of Staff FROM: Devin Howland, Director of Economic Vitality DATE: December 15, 2017 SUBJECT: Startup Junkie Consulting Contract Updates STAFF MEMO RECOMMENDATION: Mayor Jordan's signature is needed on the amendment to the contract for economic development consulting services between the City of Fayetteville and Startup Junkie Consulting LLC. DISCUSSION: The Department of Economic Vitality met with Startup Junkie Consulting to discuss several revisions to the contract which would assist in fostering increased collaboration between the City and Startup Junkie Consulting. The amendment adds weekly conference calls between the City and Startup Junkie Consulting, as well as an additional quarterly collaboration meeting between the City and all other economic development consulting partners. Attachments: Amendment No. 1 TO THE CONTRACT FOR ECONOMIC DEVELOPMENT CONSULTING SERVICES BETWEEN THE CITY OF FAYETTEVILLE, ARKANSAS AND STARTUP JUNKIE CONSULTING, LLC Exhibit A: Revised Schedule of Deliverables and Performance Measures Mailing Address: 113 W. Mountain Street www.fayetteville-ar.gov Fayetteville, AR 72701 AMENDMENT NO. 1 TO THE CONTRACT FOR ECONOMIC DEVELOPMENT CONSULTING SERVICES BETWEEN THE CITY OF FAYETTEVILLE, ARKANSAS AND STARTUP JUNKIE CONSULTING, LLC WHEREAS, on October 4, 2016, the City of Fayetteville, Arkansas ("City") and Startup Junkie Consulting, LLC ("Startup Junkie") entered into a contract for Economic Development Consulting Services (the "Contract") to be provided through, September 30, 2018, and; WHEREAS, the parties desire to amend this agreement as set forth below. NOW, THEREFORE, BE IT KNOWN TO ALL: That the City and Startup Junkie, on this �j day of , 2017, hereby agree: A. That the Schedule of Deliverables and Performance Measures referenced in Section 3(a) and the third bulleted paragraph of Section 4 of the original Contract shall be replaced by the Revised Schedule of Deliverables and Performance Measures attached to this Amendment as "Exhibit A" and incorporated herein. B. The parties agree and understand that this Amendment is supplemental to their Contract for Economic Development Consulting Services dated October 4, 2016, and that it does not alter, amend or abridge any of the rights, obligations, or duties of the parties not expressly addressed. herein. IN WITNESS WHEREOF, the parties hereto have caused their .signatures to be set by their authorized representative effective the date set forth herein above. STARTUP JUNKIE CONSULTING, LLC By: _ jX CL -1 J merine, Principal Witness: Date: 1,2 Date: Z q I 1 1 ATTEST: Date: %Z -.21-2017 L44 -V 4&� Z�t4& Date: /'Z -..71-.207 Sondra E. Smith, City Clerk -Treasurer Exhibit "A" Contract for Economic Development Services - Entrepreneurship & Innovation REVISED Schedule of Deliverables and Performance Measures As outlined herein, Startup Junkie Consulting shall provide the following services, more generally referred to as Entrepreneurship & Innovation economic development'services. One. Support a collaborative entrepreneurial/innovative environment Two. Increase high-tech job growth and University partnerships Three. Create innovative spaces and programs to support entrepreneurs Four. Expand entrepreneurship education programs ' Five. Support the growing local artisan food and craft beverage industry Six. Support Talent Attraction, Retention and Development Seven. Collaborate with the City for communication to the public fight. Report Outcomes One. Support a collaborative entrepreneurial/innovation environment 1. Serve as a direct point of contact for entrepreneurship/innovation and startup efforts. a. Coordinate with all entities involved in entrepreneurial efforts in the City of Fayetteville, and serve as the point person in addressing any city -related processes that impact entrepreneurs. b. Maintain a bright line of communication with the City's Economic Development team to maintain accountability and address issues as they arise. c. Work with the City's internal economic development team to brand and market the Startup City of the South concept. 2. Assist the City in creating and staffing a Fayetteville Innovation Council. Focused on creating a collaborative environment that addresses the needs and challenges of entrepreneurs and innovators in Fayetteville, this group should be comprised of successful entrepreneurs or representatives of a broad cross-section of startups based in Fayetteville, including the University of Arkansas. 3. Online Directory. Develop and maintain an online directory of the startup community, accessible from the City's Economic Development web site, with hotlinks to notable successes and best practices, entrepreneurial initiatives, calendar of meet -ups, events and educational and mentoring opportunities, technology support networks, etc. 4. Start-up/Entrepreneurial Business Retention and Expansion. Coordinate with the City's contractor for Economic Development Business Retention and Expansion services to provide and share information on needs for capital, talent, data, infrastructure, skills, etc. to promote a welcoming and sustainable environment for startups. "BR&E services for this target sector will be provided by a separate contractor. Two: Increase High tech Job Growth and University partnerships 1. Develop and maintain a close working relationships with the Arkansas Research and Technology Park (ARTP) executive staff. The contractor's relationship with the ARTP shall be a strong working relationship, with a clear understanding of their direction, opportunities and constraints related to funding, space needs, physical infrastructure limitations, and how the City might assist. Regular meetings to discuss both formal topics for consideration and informal ideas are critical to maintaining the working relationship. 2. • Identify affordable housing options for entrepreneurs and startups. In order to provide affordable housing and encourage additional collaboration among U of A entrepreneurs who are working with the University and ARTP to launch a startup business, explore relationships with private developers and other opportunities that would provide housing at reduced costs and/or within close proximity to reduce transportation costs and time so that student entrepreneurs can funnel their time, energy and funds into their business. 3. Explore the creation of a Startup Village. In the vein of projects such as Kansas City Startup Village and the Innovation District concept in Fayetteville, investigate and report on the concept of a Fayetteville Startup Village, coined around the "Startup City of the South," idea to focus efforts, energy and knowledge sharing that ideally produces an increase in the opportunity for startups to succeed and job growth to accelerate. 4. Partner with the University to further address capital needs. Working closely with the University, ARTP, City and others, the selected contractor shall regularly inventory capital needs and map out potential resources to meet those needs, over the course of time giving specific time parameters for each action step. Three: Create innovative spaces and programs to support entrepreneurs 1. Develop and define an Innovation District. Innovation Districts are creative ecosystems where innovative design and development patterns can help entrepreneurs, established companies, and leaders build unexpected relationships, resulting in transformative solutions. These districts are designed to make unusual collaborations more likely to happen. There is already a burgeoning creative ecosystem in downtown Fayetteville with the presence of numerous startup companies, the proposed Innovation Hub, and the University of Arkansas Community Design Center (UACDC), which advances creative development through design, research, and education solutions from its downtown facility that houses a full-time design and planning staff who deliver professional services for communities and organizations nationwide. These businesses, all of which are located on the Fayetteville Square, are the epicenter of this creative ecosystem that is developing and should become part of the proposed Fayetteville Innovation District. Startup Junkie Consulting will lead a discussion with the appropriate parties currently involved in the development of the entrepreneurial/startup ecosystem in Fayetteville to define the geography of the proposed Innovation District. 2. Create and provide collaboration space. Clustering the physical spaces in which entrepreneurs can collaborate is one way to encourage idea generation, maturation and sharing of resources. Startup Junking Consulting will provide collaboration space free to the public in the form of Centerspace, currently located on the 2nd floor of the Pryor Center. In addition to maintaining the existing Centerspace free and open to the public, Startup Junkie Consulting will conduct an inventory of additional shared space opportunities for entrepreneurs, innovators, inventors and creatives. Support the development of an inventory of available spaces, facilitate a strategic plan to create them, and guide a governance structure for operational sustainability. 3. Develop incentive ideas for startup companies locating downtown. Explore a breadth of incentives and develop ideas to support startup companies locating in downtown, as well as elsewhere within the identified Innovation District. Funding, parking, transit or bicycle incentives, development of attainable housing in close proximity, etc. are some options worthy of consideration, among others. Work with the City, entrepreneurs and others to formally launch incentives that will attract and retain entrepreneurial ventures in the downtown and Innovation District. 4. Support maker space and robotics training center development. Support a maker space and robotics training center development already occurring in the downtown, and explore other relationships to link interested users of the space and related programs to make it a successful venture. 3 Four: Expand Entrepreneurship Education Opportunities at all levels 1. Understand existing industry and targeted business sector needs. Review and participate in workforce analysis studies done for the region to gain an understanding of the workforce availability related to the occupations required of the targeted business sectors, potentially partnering with the NWA Council on this initiative. Care should be taken to not duplicate efforts already underway. 2.. Research and conduct a survey of regional higher educational institutions. Develop an understanding of enrollment, degrees offered and graduates of regional institutions of higher education that may serve Fayetteville, meeting as appropriate with leaders of the various educational institutions independently and reporting back to the City the results of these conversations. 3. Convene regional educational leadership. Coordinate with the Northwest Arkansas Council to participate in discussions with local institutions of higher education, public school career and technical education program leaders, as well as local industry and targeted sectors, and determine whether the workforce and training needs of the identified target markets can be met. Work with these institutions to determine possible new program development in the future to meet the needs of the targeted business sectors and existing business and industry. Once established, create and measure performance standards to fill gaps in the workforce and training needed. I`iye. Support the growing local artisan food -and craft beverage industry 1. Partner to support burgeoning local craft beverage and artisan food business plans. Identify and work to expand efforts to ensure high value artisan food and craft beverage companies flourish in Fayetteville, particularly where there is growth opportunity in the market. Work with the Northwest Arkansas Council, the Fayetteville Visitors Bureau, the U of A Food Innovation Center and other parties to ensure the artisan food and beverage industry is supported and that any challenges to existing companies in Northwest Arkansas are identified and addressed. Conduct a targeted online survey focused on understanding how the city and region can support the future growth of the craft beverage and artisan food industry and potentially attract larger operations in the future. Develop a base of knowledge through research of benchmark cities with similar craft/artisan industry clusters, such as Asheville, NC and report these results. 2. Assess need for educational programs. Assess the need for additional educational programs in the region to support the craft beverage and artisan food industry as part of the online survey. 4 Six: Support Talent Attraction. Retention and Development Being able to attract, develop and maintain talent is critical for sustaining the startup business ecosystem. With the presence of the U of A and Northwest campus of the University of Arkansas for Medical Science (UAMS) in the city, and NWACC and Northwest Technical Institute in the region, Fayetteville is positioned to provide young and educated talent, as well as research and development, to support existing and new business/industry. The contractor must provide expertise and resources to gain a comprehensive understanding of the workforce and training needs of the entrepreneurial target sector. 1. Attract and retain the workforce of today and tomorrow. Work with the city to identify and support quality of life initiatives that attract the appropriate workforce and skillsets needed in the target sector of entrepreneurship and innovation. Enable discussions to maintain and enrich an authentic Fayetteville culture for residents, coordinating the various focus areas of Fayetteville First and the City's adopted policies, including a focus on walkable neighborhoods, high quality school choices, mixed-use and urban amenities, diversity, transportation alternatives and amenities such as arts, culture and entertainment/dining options. Care for the environment and a desire to live in communities that practice sustainable development are hallmarks of tomorrow's workforce, and should be part of the foundation to make Fayetteville the Startup City of The South. 2. Ensure workforce and training needs can be met. Develop and lead programs that enrich talent development, starting at the youngest ages, as a key part of workforce development. Focus on diversity of population in all aspects of entrepreneurship. Continue to lead youth entrepreneurship programs such as E -Teen Ventures and AR Girls Code. Support efforts such as AR Code Festival, Congressional App Challenge, Dream B.I.G. and Lemonade Day of Northwest Arkansas. 3. Millennial advisory panel. Work with the City to create a millennial advisory panel that can recommend policies, education and development practices that provide the best quality of life amenities and environment for this diverse population. Promote, foster, and seek development opportunities that help create an environment and amenities that attract the new millennial worker and/or business owners. Seven: - Colla borate. With the-Cft for Communication with the Public 1. The City's Economic Development web site will be used to communicate the implementation of the Fayetteville First plan, using the City's branding and marketing. All communication and engagement with the business community via surveys and questionnaires will be done from a link within the City's Economic Development web site pages and will be promoted on the City's social media channels via coordination with the City's Communications and Marketing Team. All performance measures and reports will be updated on a regular basis via the City's web site. Startup Junkie Consulting will work with the City's Communications and Marketing Team to ensure that the deliverables from this contract remain up to date on the City's Economic Development web site. 2. Communications from Startup Junking Consulting related to economic development initiatives within the scope of this contract, major decisions and/or development matters, and public -facing activities should be coordinated with the Mayor's office or his assigned staff. This includes statements at City Council meetings, Agenda Sessions, public presentations, press conferences, etc. Eight: Reports and Presentations 1. Reporting results and milestones will be done as deliverablesare met in the implementation of the Fayetteville First Economic Development Strategic Plan and will be formatted to fit within the City's Economic Development branding on the city web site. The City's internal Economic Development team will meet regularly with Startup Junkie Consulting (at a minimum on a monthly basis) to discuss the status of deliverables. The Mayor and/or City Council may request periodic updates and public engagement for citizens to be'kept informed of the city's economic development goals. Startup Junkie Consulting will be expected to attend quarterly "collaboration meetings" with the City of Fayetteville and the Fayetteville Chamber of Commerce. Startup Junkie Consulting will attend weekly conference calls with the Director of Economic Vitality. 2. Startup Junking Consulting shall provide written reports and prepare a brief presentation to the Mayor and City Council on at least a bi-annual basis. Reports and presentations should outline the tasks accomplished, outcomes achieved and include statistics for each performance measure outlined herein. 3. A schedule for completion of outlined performance measures and a monthly status report shall be submitted for each month of the contract, delivered during regular monthly meetings with the City's internal team.