East Bay EDA testified before the California Air Resources Board (CARB) on February 28th to support efforts to secure
a 14 percent share of the $1 billion California Goods Movement Bond ($35 million) for the Bay Area Quality Management District to improve air quality from pollution in highly impacted communities. The allocation will support the Districts partnership efforts with the Port of Oakland and the goods movement industry to reduce emissions from trucks, trains and ships.
In addition East Bay EDA testified before the California Transportation Commission (CTC)
on March 12, in support of $825 million recommended for 14 projects as part of
the Metropolitan Transportation Commission (MTC) and 9 other Northern California regional transportation agencies' joint proposal. The projects will make strategic rail and highway investments in the regions I-80, I-880 and I-580 trade corridors to address California’s urgent goods movement needs. The CTC is scheduled to take final action in April.
Event to take place April 16th in Downtown Oakland
The Green Business Sector is growing, but who's doing the heavy lifting in the East Bay? The Alameda County Green Business Program, in partnership with East Bay EDA, StopWaste.Org, The Sustainable Business Alliance and The Green Chamber of Commerce, will convene a panel to wrestle with such topics as: best ways of growing and financing the green business sector, retaining the Bay Area's 'green' leadership role, developing our local workforce to enhance its value to businesses through education, training and opportunities and the growing role of 'green' media trends.
The event is set for Wednesday, April 16th, 2008 in downtown Oakland. Panelists include Gil Friend of Natural Logic Inc, Brian Back of Sustainable Industries magazine, alternative energy company presidents Patrick MacIntyre of Blue Sky Bio Fuels and Gary Gerber of SunLight & Power. Green finance guru James Nixon of Sustainable Systems will also participate.
The event also features business networking, tours of StopWaste.Org's platinum LEED certified building, and a recognition ceremony for newly certified Green Businesses in Alameda County. Venue: StopWaste.Org at 1537 Webster Street, Oakland. For event registration and information go to: http://fs12.formsite.com/u446906712SBA_forms/form052174978/index.html
Storm water permit is renewed every five years
East Bay EDA supported State Representatives, Mayors, and City Council members from the East Bay at a recent hearing by the California Regional Water Quality Control Board, Region 2 (San Francisco Bay). Numerous local and state officials and water quality professionals in attendance emphasized that the Tentative Order for the Municipal Regional Stormwater (National Pollutant Discharge Elimination System) NPDES Permit (current permit expires in late 2008 and affects Alameda, Contra Costa, Santa Clara, San Mateo and parts of Solano County), does not provide enough flexibility to local jurisdictions in how best to improve water quality and is too costly to implement.
According to a staff report released at the hearing, Board staff will continue to review the comments received and work with stakeholders to resolve issues, with an anticipated revised Tentative Order in the summer of 2008.
Industrial Development Bond Interest Rates
have hit a 15-year low
East Bay EDA is notifying Alameda County manufacturers about
the recent drop in Industrial Development Bonds (IDBs) interest rates.
In March, they dipped to a low of 1.86 percent.
Weekly variable-rate, tax-exempt IDBs have averaged 2.85
percent since 1993. With a bank Letter of Credit (LOC) guarantee annual fee that is often as low as 1.25
percent, the combined, total annual APR average cost would be
only 4.1 percent.
Fixed rate equipment IDBs ($1 million minimum) have interest rates as low as 3.8
percent for 7 to 10 years.
To show how this financing tool compares to the primary sources of financing available to small businesses, view this graph comparing the historical interest rates of these tax-exempt IDBs, taxable bonds
(structured like IDBs but with no restrictions on use), Small Business Administration 504 Loans (financing for land and buildings) and Prime (the minimum rate a commercial bank will charge for a real estate loan for businesses) was included.
IDB variable rate bonds averaged 3.69 percentage points less than the SBA 504
rate and 4.24 percentage points less than prime, from January 1993 to March 12,
2008. Since the SBA loans are usually structured using 50 percent SBA 504 and 40
percent
commercial bank (prime plus one or more points), the difference between an IDB
and a SBA 504 financing would actually be greater than 4 points. Businesses that
do not qualify for an IDB, or have project costs that do not qualify, or
are in excess of, IDB bond coverage, often use taxable bonds. Taxable bonds have
averaged 2.82 percentage points less than prime and 3.18 percentage points less
than the SBA 504 average rate. For a look at IDB and SBA 504
financing advantages and disadvantages, read more about
IDB Financing at eastbayeda.org.
Please contact Keith Sutton, East Bay EDA's Business Development Director, with
questions regarding ndustrial Development Bond financing in Alameda or Contra
Costa Counties.
Popular calendar program offers free
advertisement opportunities
If you have not already, now is a great time
to take advantage of the promotional
opportunities available to you as an East
Bay EDA member and list your organization's
events on the
Regional Events Calendar at
www.eastbayeda.org. Both member and
non-member visitors to www.eastbayeda.org
from around the region are viewing the
calendar on a daily basis. It can be
accessed through the website's
Business Resources and Incentives section,
or under "Event Information" in the
East Bay Economic Development Alliance
section .
To
utilize the posting feature, East Bay EDA members will first be required to
log-in to the
Members Only section
of the East Bay EDA website. Both members and non-members can also post to
the calendar by logging in directly to the
calendar program
and following the step-by-step instructions outlined in
this PDF.
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