Agenda 10-19-2021; 8-f - Renewal of the Expiring Three-Year Interlocal Agreement between Orange County and Chapel Hill to Continue the Joint Funding for the “LAUNCH, Inc.” Small Business Incubator

Browse Search

1 ORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: October 19, 2021 Action Agenda Item No. 8-f SUBJECT: Renewal of the Expiring Three-Year Interlocal Agreement between Orange County and the Town of Chapel Hill to Continue the Joint Funding for the "LAUNCH, Inc." Small Business Incubator DEPARTMENT: Economic Development ATTACHMENT(S): INFORMATION CONTACT: New Three-Year Interlocal Agreement Steve Brantley, Director, Orange County between Orange County and the Town Economic Development, (919) 245- of Chapel Hill 2326 PURPOSE: To renew the current three-year Interlocal Agreement between Orange County and the Town of Chapel Hill that financially supports the LAUNCH, Inc. entrepreneurial small business incubator. BACKGROUND: The award-winning LAUNCH innovation center located at 306 West Franklin Street in Chapel Hill has been promoting the growth of small businesses in Orange County since its creation in 2012. The County's cost to participate in the 50/50 co-funding Agreement with the Town of Chapel Hill is paid directly from Orange County's Article 46 funds that support core economic development initiatives. LAUNCH also receives financial and mentoring support from the University of North Carolina. The attached proposed Interlocal Agreement between the Town and County replaces the current three-year Agreement that expires on December 31, 2021, and continues the joint economic development sponsorship that has been shared equally between Orange County and the Town of Chapel Hill since 2012. Orange County's current $18,375 quarterly financial commitment (or $73,500 annually) under the expiring three-year Interlocal Agreement has been paid from the County's Article 46 economic development category specifically designated to nurture entrepreneurial development. This expenditure was included in the County Manager's FY2021- 22 budget as one of the existing economic development initiatives funded from Article 46. The County's current annual payment of$73,500 over the previous three years is proposed to remain unchanged for the new proposed three-year renewal. The Town of Chapel Hill contributes the same level of funding as the County, with UNC Chapel Hill also providing significant financial support. Early History As part of the Board of County Commissioners' strategic planning in 2011 to utilize Article 46 funding to support key economic development priorities, the importance of growing and retaining