EDA Meeting Date: February 24, 2024
To: Members of the Economic Development Authority
From: Nate Carlson, Economic Development Coordinator
Title
Metropolitan Consortium of Community Developers (MCCD) Presentation
Body
Action Requested:
The Board shall hear a presentation from staff and MCCD representatives.
Summary Report:
The Northfield Economic Development Authority (EDA) Board has contracted with MCCD for business development services since 2022. The contract outlines the relationship between the EDA and MCCD to provide the “Open to Business” service in Northfield.
Open to Business is a free, confidential service for aspiring and existing entrepreneurs. The program offers technical assistance, referrals, and options for financial assistance and can do so in English, Spanish, Somali, and Hmong. MCCD is also a Community Development Financial Institution (CDFI) and as such can provide capital to entrepreneurs, with a focus on those who have historically faced challenges accessing the commercial banking system.
Over the course of the last three years, consistency in representation has been a challenge. MCCD has assigned four representatives to serve Northfield, many of whom have been Spanish speakers. The Northfield EDA has expressed disappointment over the lack of consistency in business development representation. Nevertheless, EDA staff find that the services provided by MCCD and the Open to Business program have been successful, despite those challenges.
The EDA and MCCD leadership have agreed to a 1-year contract extension to offer the EDA flexibility in future business development programming. The budget remains the same from 2024 at $20,000. MCCD leadership and staff understand that this extension does not guarantee any future agreements.
Alternative Options:
Not applicable.
Financial Impacts:
$20,000 is budgeted in 2025.
Tentative Timelines:
The contract extension begins January 1, 2025 and terminates on December 31, 2025.