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Every Number Tells a Story ANNUAL REPORT Nebraska Department of ECONOMIC DEVELOPMENT EVERY NUMBER TELLS A STORY ABOUT THE Since 1967, the Nebraska Department of Economic Development (DED) has been focused on growing and NEBRASKA diversifying Nebraska’s economic base, bringing new DEPARTMENT OF investments, new businesses and new people into the state. ECONOMIC DEVELOPMENT We provide quality leadership and services to help Nebraska compete and succeed in a fast-paced global economy. OUR As the state’s lead economic development agency, our mission to grow Nebraska drives everything we do. It’s PURPOSE what inspires our team of expert staff, who work hard to create economic opportunities for our fellow residents. It’s why we’re always striving to promote the best quality of life throughout our communities. And it’s why we never sit still in our efforts to make the Good Life even better. ABOUT THIS As Nebraska’s lead economic development agency, DED is proud to administer an array of state- and federally-funded REPORT programs on behalf of individuals and families, both urban and rural. That responsibility is why we’re truly committed to providing efficient, effective and customer-focused state government in everything we do. Fulfilling our annual legislative requirement, the current report provides details on investments and impacts pertaining to some of the key legislative programs administered by DED over the previous fiscal year. For more information about DED’s mission, programs, initiatives and achievements on behalf of the people of Nebraska, visit: opportunity.nebraska.gov 2019 ANNUAL REPORT 3 MESSAGE FROM DIRECTOR ANTHONY L. GOINS Dear Governor Ricketts, Members of the State Legislature, and Fellow Nebraskans: As the new Director of the Nebraska Department of Economic Development, I am proud to present our Department’s Legislative Annual Report for the 2018-2019 fiscal year. This report chronicles our agency’s leadership and administration of some of Nebraska’s most mission-critical economic development programs and resources throughout FY 2018-2019. These programs correspond to critical growth levers that are essential to our state’s future prosperity: Entrepreneurship. A climate conducive to business and investment. Vibrant communities that can attract and accommodate families and the workforce. Quality, affordable housing. Amenities to attract and support job creators while promoting local business expansion. Abundant opportunities in high-demand career fields and the skilled trades. The qualities to become a top state for technology and to enhance our global competitiveness. These are just some of the many objectives our staff pursue each and every day as they come to work on behalf of the people of Nebraska. As the Department works diligently to support the vision of growing our state, we are mindful of our mission to create opportunities for our people by providing effective, efficient and customer-focused state government. I believe that this taxpayer focus is truly reflected in the document you see before you. That focus will continue to be the overarching goal that drives our daily operations and decision-making. Given all that has occurred in 2020, it could be easy to overlook the fact that at this time just last year, our state was in the early phases of recovering from one of the worst natural disasters in its history. It humbles me to note that this report contains information on the distribution of Disaster Housing Recovery Funds, one of the earliest sources of funding allocated by our state to support flood-impacted areas. It is our Department’s privilege to continue administering funds during the current fiscal year to assist disaster-affected individuals, families and their communities. I am honored to serve in my new tenure as Director of the state’s lead economic development agency. Whether you are a resident, a community leader, an organization or a government official, we are all — together — teammates in our overarching goal to continue making Nebraska a state where quality of life meets quality of opportunity. As I like to say, “We all wear the same jersey.” I look forward to working with you. Sincerely, Anthony L. Goins Director 2019 ANNUAL REPORT 5 CONTENTS Part 1: The Business Innovation Act ........................................................................8 Part 2: The Operational Assistance Program ................................................16 Part 3: The Civic and Community Center Financing Fund ................18 Part 4: The Nebraska Affordable Housing Trust Fund .......................... 32 Part 5: The Rural Workforce Housing Fund ...................................................50 Part 6: Customized Job Training ............................................................................56 Part 7: Intern Nebraska ..................................................................................................60 Part 8: The Site and Building Development Fund ..................................66 Appendix ...................................................................................................................................69 2019 CONTENTS 7 PART 1: Signed into law in 2011, the Nebraska Business Innovation Act (BIA) is all about promoting the success of highly inno- THE BUSINESS vative, high-growth, early-stage Nebraska firms across every INNOVATION ACT phase of development — from product or service inception to full-scale commercialization. DED can provide support for high-potential Nebraska firms Innovative, high-tech startups and under the following five categories of BIA assistance: successful small businesses can The Nebraska Small Business Innovation Research/Small turn into job creators that produce Business Technology Transfer (SBIR/STTR) Grant Program rewarding, high-paying career supplies matching grants to small Nebraska-based firms opportunities for the people of that are applying to or conducting research under the fed- eral SBIR/STTR programs. Phase 0 grants are available to Nebraska. But first, these firms companies applying to said federal programs. Phase 1 and need the resources and tools to get 2 matching grants can support companies that are currently off the ground. conducting research under the auspices of those programs. Funding Narrative: In Fiscal Year (FY) 2018-2019, after receiving $289,311 in requests for assistance across 16 applications, DED select- Table 1.1 SBIR/STTR Awards, FY 2018-2019 ed five SBIR/STTR recipients for award, with awards totaling SBIR Award Type Company Award Location $147,493. This included three Phase 0 awards to assist com- (Phase 0,1,11) panies applying to the federal SBIR/STTR programs, and two Phase 0 Agcredit Consulting $5,000 Chadron Phase 1 matching awards to support companies conducting research and development activities under those programs. Phase I Aviture $32,498 Omaha Phase 1 Drone Amplified $100,000 Lincoln Table 1.1 lists SBIR/STTR recipients and their corresponding Phase 0 OncoCare Therapeutics $4,995 Omaha awards for the 2018-2019 fiscal year. Phase 0 Ting Therapeutics $5,000 Omaha Total $147,493 Under the Microenterprise Assistance Program, DED can supply funding under two categories: (a) Financial Assistance for Microenterprise Technical Assistance Table 1.2 Financial Assistance for Microenterprise Technical Assistance Awards, FY 2018-2019 and (b) Financial Assistance for Microenterprise Lending Programs. In lieu of direct awards to small businesses, this Award Type Company Contract Amount Location program supports Nebraska nonprofits that work closely with startups in their service districts; these organizations Technical Assistance Center for Rural Affairs $500,000 Lyons are able to provide customized financial and technical Total $500,000 assistance — such as small business loans and business plan development support — to tech and Main Street entrepreneurs striving to succeed. Table 1.3 Financial Assistance for Microenterprise Lending Program Awards, FY 2018-2019 Funding Narrative: Award Type Company Contract Amount Location DED received requests for $1,685,000 in Microenterprise Assistance funding during FY 2018-2019 across Lending Midlands Latino Community Development Corp $100,000 Omaha four applications. DED awarded $500,000 under the Lending Nebraska Enterprise Fund $200,000 Oakland Microenterprise Technical Assistance category, with Lending Rural Investment Corporation $200,000 Lyons one applying organization receiving funds. Under the Microenterprise Lending category, DED awarded a total of Total $500,000 $500,000 to three organizations (Tables 1.2 and 1.3). 8 BUSINESS INNOVATION ACT BUSINESS INNOVATION ACT 9 The Innovation Fund Prototype Grant Program is Funding Narrative: available to help high-potential startups develop DED received 34 requests for assistance under the investor-ready prototypes of their original products or Prototype program, representing a total of $2,664,160 services. This is one of the first and most important in requested funds. DED selected 24 projects for steps toward a business’ successful attraction of award, with awards totaling $1,262,860 (Table 1.4). seed investment capital and advancement toward commercialization. Table 1.4 Innovation Fund Prototype Grant Program Awards, FY 2018-2019 Company Award Location AgCredit Consulting $43,200 Chadron BlockEra, LLC $50,000 Waverly Bolero Information Systems $62,700 Lincoln Breezmed $75,000 Omaha Canary Sound Design $50,000 Lincoln Cruze Distribution, LLC $70,000 Lincoln Design Industrial Radiators $60,000 Utica FarmMax $100,000 Auburn
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