R357-19. Business Resource Centers, R357. Governor, Economic Development, Utah Administrative Code

Utah Administrative Code (Current through November 1, 2019)

R357-19-1. Authority

Latest version.

(1) Subsection 63N-3-307(3) requires the Office to make rules establishing matching fund exceptions; criteria for the approval, creation, and oversight of each business resource center and its staff, including a non-state funded satellite business resource center; metrics to report the performance of economic development output in each region serviced by a business resource center; and criteria for approving and overseeing business plans.

R357-19-2. Definitions

Latest version.

(1) This rule adopts the definitions found in Utah Code Section 63N-3-303.

R357-19-3. Matching Funds Exceptions

Latest version.

(1) A Business Resource Center (BRC) must with its annual state funding proposal provide documentation detailing matching funds used to cover the center's operating expenses. This documentation should be in the form of a spreadsheet that details matching funds and lists funding sources and other relative financial information and should include the following:

(a) Past use of funds awarded from the State of Utah.

(b) Budget -- Expected use of funds.

(c) Expenses -- Include sources of matching funds. At a minimum, matching funds should be designated as (1) host institution funding, (2) other State funding, (3) all other funding.

(d) An explanation of whether matching funds will be cash or in-kind. In-kind contributions should listed by type.

(2) Exceptions to the requirement that a host institution contribute 50% of a business resource center's operating costs may be granted in the following circumstances:

(a) The host institution may provide more than 50% of the BRC's operating costs through cash or in-kind contributions.

(b) A host institution may enter into a partnership or agreement with another local entity to contribute cash, employee's services, or facilities for the operation of the BRC where the purposes and goals of the third party are consistent with those of the host institution and the host institution retains control and oversight over the BRC. In this circumstance the contributions of the third party may be considered toward meeting the 50% matching funds requirement.

R357-19-4. Criteria for the Approval, Creation, and Oversight of Business Resource Centers

Latest version.

(1) An existing Business Resource Center shall:

(a) Be the access point to coordinated business assistance through partnerships with governmental entities, academia and other business resources in a local area;

(b) In rural counties, utilize the connection between the Business Expansion and Retention Initiative (BEAR) and the services of the BRC to initiate, facilitate, and document more referrals to the BRC's associated service providers;

(c) Initiate business education programs, including programs in coordination and collaboration with public, private, and governmental institutions;

(d) Provide research, development, or training programs for new businesses;

(e) Develop programs to aid business clients in finding the resource they need;

(f) Work with the host institution in providing academic resources, including faculty and student participation and support for the programs, events, and daily operations of the BRC, as appropriate;

(g) Develop programs for outreach to entrepreneurs in rural areas of the state as appropriate;

(h) Develop, maintain, and report metrics to determine effectiveness of efforts;

(i) Partner with and house the federal, state, and local business service providers;

i. Potential business service providers are further defined in the BRC's agreement with the Office.

(2) An entity establishing a new Business Resource Center shall:

(a) Provide a physical office space in a regional area or county where no BRC currently exists to serve as an access point to coordinated business assistance through partnerships with governmental entities, academia and other business resources in a local area;

i. Money awarded by the Office cannot be used to lease office space;

(b) In rural counties, utilize the connection between BEAR and the services of the BRC to facilitate, initiate, and document referrals to the BRC's associated service providers;

(c) Initiate and encourage business education programs, including programs in coordination and collaboration with public, private, and governmental institutions;

(d) Provide research, development, or training programs for new businesses;

(e) Develop programs to aid business clients in finding the resource they need;

(f) Work with the host institution in providing academic resources, including faculty and student assistance, as appropriate;

(g) Develop programs for outreach to entrepreneurs in rural areas of the state as appropriate;

(h) Develop, maintain, and report metrics to determine effectiveness of efforts;

(i) Partner with and house on an as-needed or regularly scheduled basis federal, state, and local business service providers, as listed below;

(j) Enter into agreements and provide letters of commitment from service providers that their services will be available at the newly established BRC according to a regular schedule and/or on an as-needed basis. These service providers should include

(3) An existing or new Business Resource Center may:

(a) Provide a needs assessment relating to new or existing businesses in conjunction with other public or private economic development programs or initiatives;

(b) Provide business incubator space or services, or both, to businesses based on criteria established by the Office in consultation with the board;

(c) Participate with local business leaders and government officials to assist in formulating economic development direction or strategy for their communities;

(d) Develop and establish web-based access to virtual business resource center services over the Internet to assist in establishing and growing businesses in the state, and particularly in those situations where traveling to the Business Resource Center site is not possible or practical.

(4) The Office will facilitate a quarterly meeting with all BRC directors to discuss overall goals and progress.

R357-19-5. Metrics

Latest version.

(1) Each Business Resource Center must report the metrics listed below on a quarterly basis:

(a) Number of businesses/people served. (This will be the primary metric to measure BRC activity. This is the number of unique individuals who were served through the BRC and its partner agencies.)

(b) Total attendance at outreach/networking/training/other events.

(d) Number of incubator clients

(2) The metrics reports must be received by the Governor's Office of Economic Development on or before the second Friday of each financial quarter at 5pm.

(3) The Office may withhold payment of a BRC's invoiced expenses until required metrics are reported.

(4) The Office will monitor the progress towards all metrics and goals detailed in the annual proposal and established in the contract.

R357-19-6. Criteria for Approving Business Plans and Awarding Funding

Latest version.

(1) A BRC seeking state funding shall provide an annual proposal with a business plan detailing how that funding will be used during the fiscal year.

(2) BRC funds provided by the Office shall only be used for approved activities and expenses.

(3) The Office shall determine the amount granted to each BRC in the following manner:

(a) larger amounts may be granted to BRCs that serve a larger geographic area.

(b) BRCs that serve a larger population size may receive larger amounts

(c) Award amounts may be determined and influenced by types of services and the overall service packages offered by the BRC. A more comprehensive service model may receive larger award amounts.

i. Examples of a more comprehensive service models would be those that include the following:

A. Diverse programs to help businesses with varying needs;

B. Business education programs, including programs in collaboration with public, private, governmental and educational institutions;

C. Academic resources, including faculty and student assistance

(d) Award amounts may be determined and influenced by the amount the BRC has been utilized when considering overall geographic and population size that the BRC potentially services. BRCs that demonstrate a higher amount of overall use in relation to the service area size and population size may receive larger award amounts.

i. Demonstration of past use can be shown through:

A. Reports highlighting overall economic output for the area serviced;

B. The number of business serviced on a year over year basis;

C. Measured output of businesses serviced;

D. The existence of research, development, or training programs for new or existing businesses, industries, or high technology business located in its region;

E. Needs assessments relating to new or existing businesses, industries, or high technology business in conjunction with other public or private economic development programs or initiatives;

F. Develop and implement with local business leaders sound, coordinated, and measurable economic development programs for their communities;

G. Developing and certifying non-state funded satellite BRCs.

(e) Award amounts may be determined and influenced by how past awards have been used and if past award amounts have not been fully expended.

(f) Award amounts may be influenced by the amount of additional funds from other sources the BRC will receive in the same fiscal year that the award will be used.

(g) Award amounts can be increased for BRCs that demonstrate an expansion of current services into areas not currently served by another BRC.

(h) Consider other criteria in determining the appropriate award amount including the recommendations of an advisory group as established in 63N-3-306.

(4) The Office will establish an agreement via contract with BRCs who are awarded funding during each fiscal year.

(5) The Office will disburse all funds on a post-performance or reimbursement basis only.

(6) Invoice documentation will be reviewed by the Office to verify fidelity to the BRC's business plan.