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HomeMy WebLinkAboutMember List and Memos 1999-2001 V/iddft �. Technology Action Team Committee Keith Rauschenberger Co-Chairman Ray Moller 912 N. Douglas Ave 150 Dexter Court Elgin, IL 60120 Elgin, IL 60120 (W) 312-201-4183 (W) 931-6749 Fax Fax 931-5610 E-mail :krausche@scotiacaptial . com E-mail : moller_r@cityofelgin.org Ruth Munson Co-Chairwoman 1020 Willoby Kevin Nelson Elgin, IL 60120 164 Division #1 (W) 468-7210 Elgin, IL 60120 Fax 695-8623 (W) 488-1456 E-mail : Fax ruthn@everyware-inc . com E-mail : Knelson@elginil .org Craig Larsen 1112 South Street Tom Nelson Elgin, IL 60123 316 River Bluff Road (W) 831-8185 Elgin, IL 60120 Fax (W) 888-1570 E-mail : larsen@mcs . com Fax E-mail : Chris Manheim Thnelson316@yahoo. cam 32 South Grove Ave Elgin, IL 60120 Joyce Parker (W) 741-5660 150 Dexter Court Fax 741-5677 Elgin, IL 60120 E-mail : (W) 931-5590 cmanheim@elginchamber. com Fax 931-5610 E-mail : Jeff Massey Jparker@cityofelgin. com 150 Dexter Court Elgin, IL 60120 Clay Pearson (W) 931-5642 150 Dexter Court Fax 931-6109 Elgin, IL 60120 E-mail : (W) 931-5593 massey_j@cityofelgin.org Fax 931-5610 E-mail : Jim Mcconoughey Pearson_c@cityofelgin.org 1700 Spartan Drive Elgin, IL 60123 Roger Smithberg (W) 608-5490/888-7488 6 Douglas Avenue Fax 622-3038 Elgin, IL 60120 E-mail : JMCCONOUGHEY@ELGIN. CC. IL.US (W) Fax E-mail : RSMITHBERG@DANOYES . COM e Rob Stackowiak Betsy O ' Connell 720 Brook Street 200 N. Grove Avenue Elgin, IL 60120 Elgin, IL 60120 (W) (W) 742-2411 Fax Fax E-mail : E-mail : Oconnell@nslsilus .org John Steffen Mick Zawislak 838 Douglas 300 Lake Street Elgin, IL 60120 Elgin, IL 60120 (W) 741-0503 (W) Fax Fax E-mail : jsteffen2@earthlink.net E-mail : Mzawislak@copleypress .com Mark Biernacki Ellie MacKinney 150 Dexter Court (W) 888-5000x5310 Elgin, IL 60120 E-mail :mackinney_e/vo@ (W) 931-5617 dns .U46 . il .us Fax 931-6790 E-mail : Biernacki_m@cityofelgin.org Jim Burns (W) 289-2761 Terry Gajewski E-mail : 32 South Grove Avenue Deburns@cityofelgin.org Elgin, IL 60120 (W) 741-5660 Robin Narum Fax 741-5677 (W) 742-0266 E-mail : Tgajewski@elginchamber. com E-mail : Robin@sunstrand. com Jim Ege (W) 888-5000x4289 Gilbert Feliciano Fax 150 Dexter Court E-mail : ege_j /cu@dns .u46 .k12 . il .us Elgin, IL 60120 (W) 931-0619 Tom Kallay E-mail :Feliciano_G@cityof (W) 630-844-2040x242 elgin.org Fax E-mail : tkallay@nicoruc . com Tom Keating (W) 695-2500x2245 Jim Estes E-mail : (W) 695-6788 Tkeating@judson-il .edu Fax E-Mail : jimbo@micrys .net Frank Averill (W) 695-2500x3700 Warren Redmond Faverill@judson-il .edu (W) 931-5326 Fax E-mail : warren@cdrt6 . com (12/99-WO RD97) <go.. Memo \sc,;(\ — - (6 " DATE: February 7, 2001 TO: Honorable Mayor Schock, Joyce Parker, City Manager and City Council Members FROM: Keith W. Rauschenberger, Co-Chair TAT RE: e-elgin —Technology Action Team Update Purpose: Provide an update on e-elgin activities. Background: In the fall of 1999, the Elgin City Council recognized the Technology Team as a citizens advisory committee with the following mission: (a) Identify, pursue and promote opportunities to further both economic growth and community development in Elgin by taking advantage of the shift in the national economy, specifically the shift toward e-commerce, the Internet and the convergence in telecommunications. (b)Advise, assist and recommend policies to the City Council on issues of technology. (c) Promote Elgin as a regional technology center. (d) Help develop a telecommunications/technology strategy for the future. General Accomplishments: Working with and through our member organizations the Technology Team has: 1. Achieved broad based community awareness and participation in its technology mission. 2. Established a network of private and public technology leaders. 3. Created regional awareness of Elgin's technology goals and competitive advantages. 4. Supported the creation of the Chamber of Commerce's Technology Council 5. Recruited and facilitated the growth of local technology companies 6. Attracted and facilitated the introduction of potential, new infrastructure investors/providers. 7. Created and promoted community-wide Technology Action Plan. A WWR_F_FI C:IN_MFMf1RANIN IM nne. Pane 1 of d (12/99-WORD97) Memo - - „\.( .4" x., • Summary of Year 2000 Events, Activities and Projects: Event/ Activity/Project Goal/Explanation Hosted Policy-makers Summit February 2000— Public forum used to introduce Technology Team and its mission. Hosted Utility Summit March 2000— Introduced existing and potentially new infrastructure providers to the Team and invited each • individual company to join Elgin in pursuing its goals. The summit was followed up with several one-on-one meetings with Corned, Ameritech, AT&T, Nicor, Qwest and Quasar. Hosted Developers Summit February 2000—Invited local developers and downtown property owners to learn how to attract high technology companies. Hosted "High Tech" Happy Hours April and September 2000- Downtown social events used to publicize Elgin and showcase attractive downtown space. Promoted Downtown Incentive Program Downtown infrastructure investment program authorized by City Council in April 2000. Organized Technology & Education Week September 2000—Organized a week of community activities focused on technology in education and highlighting School District U-46's efforts. Hosted Mayor's Roundtable September 2000— Invited regional mayor's and city officials to learn more about Elgin's activities and to encourage regional cooperation. Water Meter Internet Interference Worked with city officials to publicize an operational problem with older water meters that interfered with Internet connection. Participated in Illinois Technology Showcase October 2000- Hosted a booth at regional technology trade show. Emergency Care Streaming Video Project Worked with Sherman Hospital, Police Department and local ambulance service to introduce accident scene streaming video that facilitates patient care. Authored Technology Action Plan Coordinated the creation of a community-wide technology plan that documents existing programs and makes incremental recommendations for the future. Regional Media Coverage & Presentations Participated in various local and regional forums to discuss Elgin's efforts and to promote the City. Comprehensive Plan Participation Technology Team representative is participating on the Comprehensive Planning Team. A.1KWR_F_FI(;IN_MFMC1RANN IM IYY' Pang? 7 of 4 (12199-WORD97) Memo — - •s te.„. �flj J� Goals for 2001: 1. Encourage and facilitate Action Plan recommendations. 2. Encourage further community involvement. 3. Follow through on activities begun in 2000. Specific Activities for 2001: Event/Activity/Project Goal/Explanation Digital Divide Task Force Community-wide task force will report on existing efforts to address digital divide and make recommendations for the future Webmaster's Task Force Community-wide group will survey existing websites and make recommendations for quality standards and essential links. Introduce CNT — Electric Cooperative Facilitate the introduction of the Center for Neighborhood Technology's Electric Cooperative to Elgin (see attached description) Create and Promote Funding Alternatives Create and promote alternative economic development and funding programs that can be implemented for funding and attracting technology companies to Elgin. Participate in Chamber Marketing Committee Participate in Chamber's Marketing Committee that will create a new Elgin marketing program. Support Chamber Technology Council Support Technology Council that is initially focusing on a) infrastructure, b) education, c) e-elgin branding and d)financing. It is expected that the Council will carry on many of the Team's goals after the Team's mandate expires (18 month charter). Support Comprehensive Planning Effort Help educate the Comprehensive Planning Committee on the issues surrounding power and telecom infrastructure and make them aware of what other municipalities are doing. Host Mayor's Roundtable II Follow up on the first Roundtable and explore how we as a region can attract infrastructure investment and promote new economy companies. Participate in the Comdex Technology Show Market Elgin to the national technology community Review Action Plan Progress In twelve months, review Action Plan recommendations, report on progress, make additional recommendations and suggest a future for the Technology Team. A•\KWR-F_FI(IN_MFMnRANfI IM rnr Pana of 4 (12/99-WORD97) Memo z- - . What can the City of Elgin do? 1. Continue to support Team efforts. 2. Pursue opportunities to offer city services over the Internet. 3. Aggressively work to facilitate new infrastructure investment and to foster competition between providers. 4. Review and pursue Action Plan recommendations. 5. Include telecommunication and power infrastructure in the City's planning and management efforts. 6. Support and consider joining the CNT - Electric Cooperative. Special Thank You: The Team would like to specifically recognize and thank the following organizations for the financial support they have provided the Team to date: Ameritech NICOR The Daily Sherman City of Elgin Herald Hospital Chamber of Fox Valley Courier News Promac ECC Commerce Endodontic Specialists Lynch2 Kresmery, LLC Togaworld.com DNA Sentinel Technologies Attachments: Community Energy Cooperative Description A\I(WR_F_FI(;IN_MFM(1RANfI IM nr r Pang d of d 41,k 10•Vi1/4 II COMMUNITY ENERGY COOPERATIVE MAILING ADDRESS MAIN OFFICE PILSEN OFFICE 2125 W.North Ave. 1608 N.Milwaukee Ave. 2007 S.Blue Island Ave. Chicago,IL 60647 Suite 907 Chicago,IL 60608 Chicago,IL 60647 P:312.829.6100 P:773.486.7600 F:312.829.6125 F:773.486.7643 Community Energy Cooperative Member The Village of Niles As one of the first municipalities to join the new Community Energy Cooperative (Co-op),The Village of Niles is learning how to improve reliability and control the cost of electricity. The Village learned about the new Co-op at a meeting attended by area businesses who are fed from the same Commonwealth Edison sub-station. "When I first heard their pitch I thought they were trying to sell me the Brooklyn Bridge, but then I listened and realized that this makes a lot of sense," said Abe Selman, Niles Village Manager. "The Co-op sent engineers over to meet with our public service people to identify strategies that we could use to reduce our energy loads while maintaining our operational capacity. The plan they presented was very reasonable. We agree to 'Power Down'our energy use when ComEd's system gets stressed, • and the Co-op pays us incentives worth about$80,000.That's a pretty nice thing for our taxpayers" The Village's share of the sub-station alone, 803.9kW is enough energy to keep power on in 100 homes during a peak time. During a 'Power Down' the Village switches its biggest facilities off the CornEd grid and onto its own back-up generators. "In addition," said Selman, "the Co-op engineers gave us a detailed checklist for turning off certain lights,computers, and other machines when they are not in use" Since joining the Co-op and implementing its energy reduction suggestions on a daily basis, Niles has saved about 10% on its energy expenditures.The Co-op installed a special meter and phone line to take continuous meter readings and post results on a web site for monitoring. Now the Village can get immediate feedback on how its efforts are working. "It's a pretty important part of our learning process, says Selman, "without the feedback it would be like trying to remember to drive slower with- out having a speedometer." Summary of Electricity Saving Potential During a Power Down Event Public Works Building 1.3 kW New Public works Building 31.8 kW New Maintenance Building 48.3 kW Fire Department Station#3 10.7 kW Health and Wellness Center 31.9 kW Administration Building 5.5 kW Niles Public Services Facility 24.4 kW Pumping Stations 1 &3 400.0 kW • Ballard Reservoir&Pump Station 250.0 kW Total 803.9 kW Benefits to The Village of Niles:Summer 2000 • Capacity Incentive: For reducitlg demand by 800.kW whenrequested, at any time during the year 2000, Niles will earn an annual incentive of$100 per average kW of reduction. • Energy Incentive: During those periods when called to reduce demand, Niles will earn an addi- tional incentive of 33% of the market price of energy for all energy use avoided. • Energy Savings: Niles will also avoid the energy cost that they normally would have paid had the action plan not been in effect. The Community Energy Cooperative is a project of the Center for Neighborhood Technology www.energycooperative.net aeADP. '0 11 ,440,3, 11 1 1 i , i i a • . i . COMMUNITY ENERGY COOPERATIVE MAILING ADDRESS MAIN OFFICE • PILSEN OFFICE 2125 W.North Ave. 1608 N.Milwaukee Ave. 2007 S.Blue Island Ave. Chicago,IL 60647 Suite 907 Chicago,IL 60608 Chicago,IL 60647 P:312.829.6100 P:773.486.7600 F:312.829.6125 New Strategies for Community Power F:773.486.7643 We all want affordable, safe, and reliable power for our homes and businesses. But, increasingly, we're worried—will our power stay on during the hot summer months?Will we face shortages, or rapidly increasing prices as utilities are deregulated? At the same time, utilities face rising costs, short supplies, and stresses to the supply and distribution system based on increased demand for electricity. The Community Energy Cooperative has a strategy to address these issues—to improve the electrical system, reduce costs to consumers, and make communities active partners in shaping their energy • future. What's the Problem? Demand for electricity is increasing—in individual homes and businesses, and across the region. But for many reasons, the system that supplies us with power has not always been able to keep up. One reason is inefficiency. When we pay for the electricity we use, we also pay for wasted energy— for home appliances and business technologies that are old and inefficient, for buildings that are not well insulated.Across the entire electrical system, small inefficiencies add up to a great deal of wasted energy.Wasted energy inflates electricity bills and creates excess pollution from power generation. Wasted energy also affects the cost and reliability of our electric system.We expect our electrical sys- tem to be able to supply, at all times, the amount of energy needed when demand is highest. In the Chicago area, we reach the peak on hot summer days, when everyone is running their air conditioners. Providing this capacity, which is used only a few hours a day and a few days every year, is expensive, and getting more expensive as demand increases. If demand peaks exceed the capacity available, the system gets stressed and can jeopardize the reliability of our service. What Can We Do? One way to meet increasing demand—the conventional way—is to build a bigger system, and buy or produce more power. The other way is to make tools, appliances and buildings more energy efficient, or less wasteful of energy. If efficiency is increased system-wide—in homes, in businesses, in public . buildings—then together we use less energy and the cost and reliability of our service improves. Producing power locally also reduces the demands on the supply system.As technologies develop, opportunities for power generation in businesses and homes also increase. But for improved efficiency and local generation to significantly improve our electrical service, every- one needs to have simple and affordable ways to participate in changing the way that they use ener- gy—people with money and without, people for whom the environment is a driving concern and peo- ple for whom it is not, people in homes, offices, and factories. Scattered individual actions won't improve our overall system. Making communities more energy efficient benefits the utility as well as consumers. In the Chicago area, reducing peak demand in the summer is a valuable way for Commonwealth Edison to improve electric service reliability and control the costs of supplying energy. The Community Energy Cooperative has developed a mechanism to enable communities and consumers to benefit directly from improvements to the system and enable all consumers to benefit from energy efficiency. The Community Energy Cooperative is a project of the Center for Neighborhood Technology www.energycooperative.net om.CD. Introducing the Community Energy Cooperative Cooperative Invests The Community Energy Cooperative is a new membership organi- in Members zation that enables communities to control their energy use and •The Cooperative finances new costs and to benefit from changes in energy technology and regu- technologies that generate lotions.The Cooperative was launched in June 2000 by the Center clean energy on site for corn- for Neighborhood Technology, with support from Commonwealth mercial,industrial members and Edison for an initial three-year start up period. CNT is developing multi-family housing and incubating the Cooperative, and views this as an opportunity •The Ccperative provides to realize over 20 years of work advocating place-based approach- rebates to members who pur- es to building stronger, sustainable urban communities. chase energy efficient consumer appliances Membership in the Cooperative is open to any electricity con- .Cooperative engineers work sumer in the Cooperative's targeted service areas—residents, busi- with architects to design and nesses, and organizations. Members have access to the programs install energy efficient building and services offered by the Cooperative. systems Community Specific Strategies Yield Local Power •Feedback systems allow mem- bers to monitor and regulate The Cooperative is beginning its work in targeted communities energy use where demand for energy is growing rapidly or is projected to out- strip existing capacity.The Cooperative offers its members a variety of strategies to reduce their ener- gy demand; and an effective vehicle for Commonwealth Edison to invest in communities and new technology as an alternative to building more poles, wires, and transformers and buying more expen- sive power. By working in areas surrounding specific sub-stations, the Cooperative has a significant impact on a community's energy use patterns. Members Gain Access to New Technology through Revolving Fund Commonwealth Edison pays the Cooperative for each kilowatt reduction of summer peak electricity demand achieved by its members.Through a revolving fund, the Cooperative uses the money it earns from Commonwealth Edison help pay for new energy efficient technology and appliances for its mem- bers. Energy saved by using the new technology and appliances earns revenue for the Cooperative, paying back the original investment and making more funds available to other community members for new technology. Cooperative Generates New Revenue for Community Projects Participation in the Cooperative will benefit communities, not just individual members. For every kilo- watt of demand reduction the Cooperative's members achieve, the Cooperative will contribute to its Community Development Fund. Members will be able to vote for how those monies are spent. New school programs,parks, trees, promoting local safety: communities decide. It is anticipated that more than $1 million will be invested in communities through the fund in the next two years. Who Benefits? Working with Homes The Community Energy Cooperative works with the full range of Inefficient window-unit air condi- energyusers in its targeted communities. Homes, apartments, big tioners use a great deal of energy, industry, small businesses, and new commercial developments: the up to$25/month in the summer.The Cooperative will make new,highly Cooperative helps each find ways to use energy more efficiently efficient air conditioners available and contribute to reshaping the community's energy use. to homes by providing subsidies of Residential up to$100 per member.The Cooperative will also manage the No single home uses a lot of energy. But collectively, residences removal and recycling of old units use a high proportion of the region's energy supply.And residences and the professional installation of contribute most to the problem of peak demand—too many people new ones. wanting energy at the same time. 2 In homes, air conditioners and lighting use the most electricity and therefore represent the most effective way to reduce energy use. The Working with Commercial/ Cooperative provides easy, affordable ways for people to replace Industrial Companies older, less efficient appliances with newer, efficient ones. In targeted areas with high Commercial/Industrial stress on the electric system, The Cooperative is paying$100 Large commercial users account for about one third of energy used. per kilowatt in 2000 to its corn- The Cooperative will provide members with access to cleaner, more merciaVindustrial members for efficient technologies—from lighting to cooling to on-site genera- "powering down" at times of tion. peak demand.The Cooperative also outfits these members The Cooperative also provides ways for commercial and industrial with energy meters that read users to use less power, or"power down," when demand for energy power levels and feed live data region-wide is highest, on the hottest summer days. The to a secure Cooperative inter- Cooperative's members receive attractive payments for their agree- net site.Members can log onto ment to reduce demand at these times. Cooperative engineers work the site to track their energy with each company to determine appropriate `power down' strategies usage and view aggregate without compromising their business operations. Cooperative data. Small Business Small businesses typically use more energy than the average home because their systems—lighting, refrigerators, washing machines, etc.—must be available at all times for customers. Customer service is key. Lighting often represents the greatest portion of a small business's electric bill. The Cooperative will help small businesses find and pay for greater Working with Small efficiency—technologies that improve customer service while lower- Businesses ing energy bills. Small businesses have high Like homes and larger commercial/industrial members, a significant energy needs because they reduction in the energy used by small businesses, especially in dense need to provide high quality commercial areas, can greatly improve the energy service of the entire service to customers.When the Cooperative makes monies community. available to small businesses New Developments for high efficiency lighting,we can improve lighting output New developments—residential or commercial—represent an exciting while reducing monthly lighting opportunity to create buildings that are energy efficient from the costs up to 50%. ground up. The Cooperative helps builders design and install smart, efficient systems: thermal storage, improved lighting, cooling, micro- _ _ turbines and other clean on-site energy generators. The Cooperative's incentive payments and financ- ing mechanisms combine with energy savings to create an attractive package for developers. The Community Energy Cooperative, Deregulation and the Future In its work today, the Community Energy Cooperative has its eye on the future. The Cooperative's programs will to prepare individuals and communities to benefit from the deregulation of the electric utilities, rather than suffer from higher energy prices as has happened elsewhere. Once homes and businesses have the means to use energy more efficiently, to waste less energy by using smarter tools, and to develop efficient and clean on-site power generation, they will be in posi- tion to truly benefit from competitive electricity markets. By the time competition is in effect in Illinois, Cooperative members and their communities will have reduced their peak demand, changed their collective pattern of energy use, and become much more attractive customers to electricity suppliers. Cooperative members will gain real power in the energy market, and the Cooperative will work to ensure that its members have access to the best energy sup- ply opportunities available. 3 technology actioi to m ; °qa ••• 0 o ,? • 1.. c,R, o ts, °` ■ • asp •), . c\ ''cb Nnso (z)\° ce( • vsIIIIIIIIII G�e��: // a blue rin p Far for Nit,/7 ELGIN , ILLINOIS IN co-operative February , 2001 a ---3_ ,_n 1 Filliiiiiiiiiiiiisi , twAllirki.....wasir technology actionp lan • introduction to 4 4 roirfili r the technology ac ' on • identification of community-wide collaboratio - a�. • recommendations on °r�° ��0°� • L how to maximize our approach °�c,lft ■ FN .40 r 63%, Technology Action • , Team `�� �,� Technology Action Plan a� ELGIN, ILLNOIS t.9, ,4e February, 2001 Introduction The Technology Action Plan is a blueprint TABLE OF � : for cooperative action. -T � �� ��� � CONTENTS ` r y 4 It is based on the belief that a motivated 15 �' ttee. 74 and well-coordinated community is more �xr il:., I GOALS successful in achieving its goals. page 3 II EXECUTIVE r The Technology Action Plan will SUMMARY page 4 • INTRODUCE the Technology Action Team III THE IDENTIFY on-going, communi wide efforts TECHNOLOGY • community-wide ACTION ACTION TEAM • MEASURE our competitiveness page 6 • RECOMMEND how best to IV EXISTING coordinate and maximize our progress COMMUNITY EFFORTS • IDENTIFY missing components • PROPOSE basic metrics for measurement page 8 V COMPUTER In this document, the term community is used in its broadest SYSTEMS POLICY PROJECT sense. The Technology Action Team (TAT) was created by the Elgin City Council; however, mutual success requires the page 26 cooperation and resources of various public, private, local, VI RECOMMEND- ATIONS regional and national entities. Despite geographical limitations on member resources, the TAT seeks to be as open and page 37 inclusive as possible, and perceives no barriers to sharing VII EVALUATION information, knowledge and findings. page 42 conomists estimate as much as one-third of U. S. economic growth in recent years is attributable to the dynamism of information technology." - The Digital Network Infrastructure and Metropolitan Chicago A report for the METROPOLITAN PLANNING COUNCIL Northwestern University Technology Action Plan Page 2 4 his plan was initiated by TAT, but was prepared with the input and ":` ' cooperation of all of the TAT member organizations listed below. More importantly, it largely reflects work identified, initiated tand supported by each TAT member organization. " , o wait • TAT Member Organizations Ameritech Boys & Girls Club Citizen volunteers City of Elgin Community Crisis Center Downtown Neighborhood Association Elgin Recreation Center Elgin Area Chamber Gail Borden Library of Commerce Judson College Elgin Community College Local businesses NICOR School District U-46 A Sherman Hospital r c• �,,+.� = �~;� •,��� � State of Illinois • V 1�' ,. �:, "4 o` s•,� State Senator Rauschenberger's • :� "•, '44.* qs� Office o �,06- \b :° United Way 7• Technology Action Plan Page 3 GOALS OF THIS REPORT rte - :Vit; TO BE USED AS ATOOL : • during its drafting stage: as a communication, coordination and planning tool for Elgin-area organizations and involved participants. • when completed: as a communication and promotional tool for the broader community (local, regional and national). • to catalog existing efforts, identify areas of need, and to encourage further coordination among community groups, institutions and government entities. • for planning,to create a multi-year blueprint for action, and as a guide for the allocation of resources. • to make a commitment to review our progress in 12 months. \`''J • Sao O Joh Technology Action Plan Page 4 EXECUTIVE SUMMARY ���• . � �� here are seven core elements of an information technology o o otV . `mss. "ecosystem". 4' , • ach requires aggressive support to assure the growth of the technology-based companies. • A talented, educated workforce with continual opportunities for training and professional d,_velopment • Research universities with close ties to industry that generate new ideas and procedures for future markets • The infrastructure to facilitate a business environment, including a robust digital network, transportation, research parks, financial and legal services, and government that works as a catalyst • Clusters of information economy firms that create a synergy to grow ideas and encourage entrepreneurs • The availability of venture capital, especially for early-stage, highly innovative ventures • A conducive physical, cultural, and recreation environment that offers a high quality of life `.a - The Digital Network Infrastructure and Metropolitan Chicago A report for the METROPOLITAN PLANNING COUNCIL Technology Action Plan Page S All of the organizations and entities included in this Technology Action Plan have already, either through specific goals and objectives or in their activities, identified the role of technology in the future and the need to '= ;. prepare our community and residents. As a result of this overlap in purpose 1 11 ® j -"`' and motivation, there exist significant opportunities to maximize ,, F� ; our joint efforts through cooperation and coordination. e MATRIX OF FOCUS AREAS / MEMBER ORGANIZATIONS Jam® a City of Elgin U 46 Chamber of Gail Borden Judson It Commerce Library College Workforce De- t ' e veto menti t f e r' Education IEE I ,:: �� InfrastructureTIM +,,� 5 c• Policy "` Public Safety r Itr Marketing Resources Boys &Girls Community ERC Elgin Small Business Downtown CrisisCenter Communi Development Neighborhood ClubCenter ty Center Association Workforce De- velopment/ Education College �1•, Infrastructure •` els •4r Policy Qa• ep Public Safety Marketing Resources Technology Action Plan Page 6 TECHNOLOGY ACTION TEAM ISSION In the beginning, the Technology Action Team was an informally organized group of local citizens and community organizations that were working to understand Elgin's future in the new economy. In 1999, the Elgin City Council via Resolution officially recognized the Team as a broad commu- nity effort to: • Identify, pursue and promote opportunities to further both economic growth and community development in Elgin by taking advantage of the shift in the national economy, specifically the shift toward e-commerce, the Internet and the convergence in telecommunications. • Advise, assist and recommend policies to the City Council on issues of technology. • Promote Elgin as a regional technology center. • Help develop a telecommunications/technology strategy for the future. 11F lel- TRUCTURE To accomplish its mission, the Team identified the following areas of focus. r, `q7). 'Pi. r• JqR �c, s• � ° • dsr' t - • 0 5a a .q/ co 4• Technology Action Plan Page 7 SUBCOMMITTEES Cgj WORKFORCE DEVELOPMENT AND EDUCATION �oo��� s•dsr Mission: Evaluate, pursue and coordinate efforts to create a citizenry .� •�� foQ and workforce that will excel in the new technology- 477's 77 dominated economy. Areas of focus include Qj Qo • create opportunities for life long learning / 2 Jo• y°� • develop a "tech savvy" workforce and citizenry �• • establish training programs to educate hardware/software technicians required to maintain the new technologies. INFRASTRUCTURE Mission: Identify and pursue strategies to help the community develop a modern, state-of-the-art, and flexible energy and telecommunication infrastructure. Act as information resource for the Team and the community. POLICY Mission: Responsible for coordination and communication with policy makers at the City, County, State and National levels. Also responsible for advising Elgin City Council and City Staff on technology-related issues. PUBLIC SAFETY Mission: Use and promote technology to support the pursuit of public ' ea• safety in the City of Elgin. MARKETING • , Mission: Develop and implement the a-elgin marketing and branding • program to promote Elgin as a high-tech center. Create the e-elgin web site. RESOURCES Mission: Obtain funding for Technology Action Team initiatives q`+ (private and public funds) and establish long-term financing structures. Technology Action Plan Page 8 EXISTING COMMUNITY EFFORTS c,` �a FLiim�,4,, 'ti, CITY OF ELGIN . - - J. e 0. 02,, .;_67' ` --..±•tt The City of Elgin and the City Council, as part of its strategic planning process, te, f�h.',� ' �l,a , adopted eight long-term goals for the community. The Technology Action Plan • L.--,71.1)1: 1J ,�_: ! addresses three of these goals: , •I • Creating and maintaining economic growth and a diversified tax base #i • Promoting an "Alive Downtown", and S' • Maintaining financially stable city government: efficient services and quality. Specific ongoing efforts include: Despite all the attention that TECHNOLOGY ACTION TEAM Internet companies Promotion get these days, it's just a transitory • e-elgin logo was created and is being used to create greater awareness. phase, because in five • The e-elgin Website that is under development will detail the Team's mis- years' time there sion, the Center City incentives and provide some directed links to other won't be any "Internet companies". websites such as the Chamber of Commerce and the City of Elgin. They'll ALL be • e-elgin High Tech Happy Hours are sponsored to promote awareness, Internet companies. showcase Center City office space and provide a networking opportunity - Andy Grove for technology companies. Chairman Intel Corporation • Regional marketing is carried out. Center City Business Development • Hosted Developers Summit— Completed in March, 2000, to encourage investment in technology infrastructure. • Center City Technology Incentives adopted April 12, 2000, Resolution 00-88 Infrastructure Development ,,,-.-„1:7:-- ....-0* • Hosted a Utility Summit in March, 2000, to encourage partnerships with 00''''::-..—..:,:,',/ 1 local utilities and to encourage local investment • Approached and invited non-traditional infrastructure providers to make ' :,. , ` a investments in the Elgin community. Technology Action Plan Page 9 Public Safety • Working with local hospitals and paramedics to provide video link be- •K � tween ambulances and emergency room personnel. Technology Action Plan/Community Strategy and Plan • Coordinating community-wide efforts and making recommendations '� through the Technology Action Plan. •�, a. k. Policy • Worked with Water Department to identify and notify residents of poten- tial Internet access interference caused by dated water meters. • Hosted Mayor's Roundtable to promote better regional understanding of the issues surrounding Internet taxation, and promote a regional approach for developing power and telecom infrastructure. INFRASTRUCTURE ,qr c���. eo • Comprehensive Plan: The City of Elgin is currently embarking on a two ° ■ •�/ year comprehensive planning project to develop a long-range plan that will, •, ((� � a��� among other things, identify and plan for infrastructure and code require- "J • 44 Qa ments. i 2� ECONOMIC DEVELOPMENT • Center City Technology Incentives: Match funding available to Center City businesses and property owners to upgrade internal telecommunica- tion and power infrastructure. • GAP Financing: Gap loans of up to $150,000 available to help new or existing businesses get attractive projects underway. • Enterprise Zone Designation: To encourage development and improve . existing properties, an abatement of the City portion of property taxes is available for qualified projects in the City Center. For more information regarding City services and events, see: www.cityofelgin.org or www.e-elgin.com Technology Action Plan Page 10 r3 EXISTING COMMUNITY EFFORTS t4 ° ' , CHAMBER OF COMMERCE 4 CHALLENGE 21 In 1999, more than 70 civic and business leaders, along with government offi- cials and representatives of educational institutions, participated in focus group . e , sessions and individual discussions regarding the future economic direction of ' EI in and South Elgin. The result is Challenge 21, a new mission for expanding � —4;114.% g g g P g the Chamber's role and activity in economic development. Selected excerpts L. of its new goals include: prot ;.Workforce Development • Attract 25% more training incentive funds from state and federal tax funds • Increase participants in skilled set training by 5% per year • Increase the number of Elgin area residents who work in the area by 5% The new per year electronic interdependence • Develop an economic dev-lopment web site with links to local employers recreates the world in the image of Business Retention and Expansion a global village. • Visit 75 local industries and 8 regional corporate headquarters per year - Marshall McLuhan • Conduct an annually-updated base-line survey (including wage and salary) of existing industries • Increase services to existing business — particularly small/minority busi- ness — such as identifying tax incentives and accessing loans/investments • Conduct a Tax Increment Finance (TIF) study for the South Elgin down- town business district Image Enhancement and Awareness • Develop and implement a positive public relations program • Conduct annual media campaigns about the positive benefits of the area • Promote the area "to high tech and research and development" industries • Develop a series of programs in conjunction with South Elgin and SEED to :�� %;,• ` ,,' , �� enhance the South Elgin downtown and Route 3 I corridor Business Recruitment ``• + 'x t • Serve as a catalyst in recruiting at least two "high tech" or "research and 41 development" industries • Respond promptly to requests for information from site developers and others Technology Action Plan Page I I EXISTING CHAMBER PROGRAMS 0•;o cl • • Technology Council - Founded in 2000 to focus on the needs of Elgin ° ° 1l `v_ ■ 1s• area technology companies ,1" • Business After Hours Program - Networking •4 �` ��Q 4y �a • Elgin Area Referral Network ("EARN") - Networking and referrals -74, n\` : � • Business to Business Expo ee) `V �ooQ • Website 44,gop�°�' • Business Seminars • Professional Counseling - SCORE one-on-one business counseling • Quarterly Good morning, Elgin Breakfast • Business / School Partnerships �40•, e �fc°s °0 S See the Chamber's website at www.elginchamber.com for more details \'&.`-- °'s� or contact the Chamber at 847-741-5660 •l'�aqs `(�� ,e - 0?" definition: the new economy Here are some of the most common components... cp Technology Growth .'�`�' e„a` The New Economy includes a sense that technology is not only growing, but also accelerat- °3-� �s• ing. There seems to be a general feeling that everything is moving faster- including technol- �° • o'�s}' ogy growth... •,� �`'� 1, Globalization Specialization �p,�s `� •4221��O The world has increasingly become a global market. Expanded trade and financial integra- •, o' 2 don are more smooth processes than normally portrayed in the media, but NAFTA, the % v SN, European European monetary integration, (and) regional crises in Asia often place globalization in the SL,)���,` "New” category. Internet and other New industries The internet certainly is new - probably the newest thing on this list. Other New Economy industries often include the biotech, semiconductor, computer, software, telecommunica- ;.� don, and other related industries. What seems to define a new economy industry is its reliance on (primarily) the generation of knowledge or information - or on , the tools that aid these industries - rather than on the actual age of the industry or the / r companies within the industry. For example, IBM and AT&T are both considered new econ- I V a' omy companies despite their long histories ...What is (also) new is the relative impor- tance of the new industries in the overall economy. ' ` Excerpted from : "Is There Anything New About the New Economy?"by John S. Irons, Professor of Economics at Amherst College Technology Action Plan Page 12 EXISTING COMMUNITY EFFORTS I GAIL BORDEN LIBRARY LIBRARY WEB SITE tt ' The library provides its district residents with a variety of services through itstor website. 7Patrons can: • • Search the library catalog and reserve a book if it's checked out. :0100.. ws • Check their library card record to see what books they have checked out. ' • Search an index of articles from the Courier News and the Daily Herald. • Pull up a list of thrift shops in the Chicagoland area using Reference USA. • Find thousands of full-text articles from magazines using the library's subscription databases. NON-INTERNET DIAL-IN ACCESS Library patrons who do not have an Internet connection can still access the library using either DialPAC or Dial-in Plus. DialPAC provides access to the library catalog. Dial-in Plus provides access to the catalog and a variety of other resources. COMPUTER CENTER The computers in the Computer Center can be used free-of-charge by district residents with library cards. There are twenty IBM-compatible com- puters and one typewriter. Ten of the computers are for adults (9th grade and older) and ten are designated for youth. All of the computers are loaded with the following software: • Netscape 4.08 for access to the Internet • Microsoft Office 97 which includes Word, Excel, Access and PowerPoint • WinWay Resume '' { .',` . The computers for youth have Surfwatch and some educational games loaded in addition to the software listed above. Technology Action Plan Page 13 ELECTRONIC RESOURCES ABI Inform; American Business Directory; ArticleFirst; Biography & Genealogy Master Index; Books In Print Plus Reviews; Business & Company ASAP; Chicago Tribune; College Source; ContentsFirst; Electric Library; Electronic Collections Online; Elementary School Library Collection; Encyclopedia Americana; ERIC (Educational Resources Information Center); General Reference Center; GPO Monthly Catalog; Grolier Multimedia Encyclopedia; Health Reference Center; . a. s- `y . Health Reference Center (Academic); Illinois Administrative Code; InfoBase Telephone Directories;Junior Discovering Authors; Masterplots; MEDLINE; ,, ` New Book of Knowledge; NoveList; NSLS (North Suburban Library System); " '' PapersFirst; Periodical Abstracts; Reference USA; Standard & Poor's Stock Re- ports; Street Atlas USA 6.0; Tax Forms & Publications - Federal; Tax Forms & Publications - Illinois; Union Lists - OCLC Union Lists of Periodicals; What Do I r.Zead Next?; WilsonSelect; World Almanac; World Book; and WorldCat. rse?'ts\ COMPUTER CLASSES „gip- Ets,•a The library offers a variety of classes every year, including: "Introduction to the :Iv, � �o Internet"; "Introduction to the Internet, Part II"; "Introduction to Computers & (� 55a n\"J • Windows"; and, "Introduction to Microsoft Word 97". `i� `V Q, ELGIN AREA WEB SITE In cooperation with NorthStarNet, the library coordinates and maintains the Elgin Area Web Site, which provides links to area clubs, organizations and businesses. The library also provides free server space to groups that apply. • COMING SOON ■ ■ ■ e.13u.U." New services to be added: • Hands-on computer classes. • Internet classes in Spanish. E-mail hold and overdue notices. For more information, see: www.elgin.lib.il.us or www.elginarea.org Technology Action Plan Page 14 EXISTING COMMUNITY EFFORTS SCHOOL DISTRICT U-46 School District U-46 began addressing the challenges surrounding technology in January 1995. Armed with a $13.5 million grant, the District has made great strides in preparing for the new technology-driven economy and society. Some of the specific details of progress to date and its work plan, based on a • �` �:. �.�� new Strategic Plan, are listed below. SCHOOL DISTRICT U-46 TECHNOLOGY PLAN Selected Accomplishments to Date • All high schools, middle schools and elementary schools are connected to Elginet (fiber optic backbone) and are part of a e70• district wide WAN and LAN network. r` �o • • • More than 4,000 staff members and 37,000 students have •� ('�'� a��� access to the network and there is an Internet connection in J 3 all of the classrooms. z,jJ • Through ongoing purchases, the student/computer ratio has improved to better than 8: I (over 7,000 computers). • Consultants are being hired this year to work with staff to ;• x"* , provide training in the integration of technology into the � district curriculum and state standards. Technology classes are �� • ' being offered to staff to help in the integration of the • °� '� technology. • Information technology mentoring program established with at least one mentor per building (e.g. teachers training teachers). Technology Action Plan Page IS el • Staff development classes are available. J • Developed websites for each school/program and linked to 04 District site (U-46.com). The U-46.org site is being developed +, .44 as a support site for staff, students and parents. got • District software is being developed for teachers to build web pages with no prior html experience. • Distance education technology is being installed,the radio a�• rep 4 station is being upgraded, satellite link capabilities are being •�� Poi` established and monitors/VCR's with cable links are being • �s•ds installed in all schools. •,e, S'� ar • Purchased and installed a multi-media center for every `"ez Joy school. • • A $500 technology resource stipend was established for each building;a Technology Resource Person leads building effort and assists staff. • Computer lab installed in each high school business department. 1.14 luu. 1 T.":. .fir Technology Action Plan Page 16 EXISTING COMMUNITY EFFORTS SCHOOL DISTRICT U-46 �1 STRATEGIC PLAN - DECEMBER, 1999 Beginning in April of 1999, School District U-46 embarked on a process to 4000/# .► renew the strategic objectives developed in 1994-95. With the success of that • y original effort, the District updated its plan, which was presented and O''� approved by the Board of Education in December 1999. 4101.110411b " Excerpts from the new Strategic Plan are presented immediately below: . • (See U-46 website for complete detail: www.u46.k12.il.us) IMPROVE STUDENT LEARNING Through Application of Engaged Learning Principles and Technology Themes: •, ` %./in • Innovative Approaches to learning P`°a. Employ communication skills in all areas of curriculum, including writing,ilk . .[� ds� presenting and use of technology a"va ('�` cf Expand the idea of field trips to include multi-media and Internet sources o Qj e (virtual reality) /G``5(%)6s,.) • Community Life-long Learners Create life-long learners • Integration of Technological Advancements and Learning Strategies Immediate Goals: • Use technology to improve intra-district and out of district v communications a ' ' , • Achieve equitable access, including adequate hardware and software ® - ,. district wide F, -''' .�:-... `..,� ~ , • `, • Integrate technology into leaning concepts • Keep current with age and obsolescence plan through continued evaluation of the technology, equipment and programs Technology Action Plan Page 17 r • Provide adequate technical support staff and community access -' = 1 i' • Provide professional development to implement technology integrated with curriculum and instruction Short-term Goals: " • Provide a pool of laptops for students and staff .�_ t __ • Provide regular supervision by technologically educated staff in student • - t-^ computer labs �, �- A. w • Video conferencing for students, staff and for recruiting personnel , Long-term Goals: • Implement assessment of computer literacy ts ENHANCE REPUTATION AND COMMUNICATION P°fi. � s (01` • Communication (Internal / External) ° es Immediate Goals: ,o< ��%c • Develop, utilize and monitor effective electronic communications - •'` s°�s s websites for each school, e-mail access for students and automated �°Z ast student information via phones •'e„ �a� •A ��a°'� Short-term Goals: x.cer c, • Create district media formats and communicate with all segments of the .s �c, s population via among other formats state of the art network, dial-in and e- � ° ■ •ds� mail access. ((.'�. \ °oma • Provide in-service facilities, develop and enhance parent networks, alumni '�'. > •c a networks and school/community contracts �% ��°�Q • Maintain and enhance communications with civic groups SHARING THE VISION i, e.. Utilize all media to enhance communication, including state-of-the- art electronic technology where appropriate. Technology Action Plan Page 18 EXISTING COMMUNITY EFFORTS '' ':i e- ELGIN COMMUNITY COLLEGE r • • CREDIT COURSES / DEGREE PROGRAMS (Two-year) ~"' .: The following study areas will lead to (a) Associate of Applied Science Degree �. a '''�, or (b) Vocational Specialist Certificate and/or Basic Vocational Specialist Cer- v A :1-• •-.., 41 11. ,e1,, Computer Aided Design and Drafting ' • Computerized Graphic Design • Computer Applications Software for Managers & Office Professionals • Computer and Information Sciences • Electronics • CENTER FOR PROFESSIONAL DEVELOPMENT The Center offers comprehensive non-credit computer seminars for the per- son who is working in a business or occupational environment and is seeking upgrading of computer software skills. Courses may also be offered "on- site" at a company location. Offerings include: • Windows • Microsoft Office • Quickbooks • Web Page Design & Internet 0 V. • A+ Certification '* • Microsoft Certified Systems Engineer -6>` . ;�,. ' • Linux Program -�� • N+ Certification y+ �+ tF ^._ `; o, •.t ' ` • Novell Certification " R ` f • Micro-Cad/ AutoCAD Technology Action Plan Page 19 • SMALL BUSINESS DEVELOPMENT CENTER The Small Business Development Center (SBDC) provides technical train- ing and management assistance through free and confidential counseling and {/•' small group training for owners or prospective owners of small businesses. -,f Through the Illinois Small Business Development Center Network, assis- tance is provided in such areas as: rs� • Developing business & marketing plans • Business loan applications • International trade opportunities • Government procurement • Seminars for improving business skills • Business Resource Center • Fox Valley Micro Loan Program • Loans Available: Inventory financing, working capital, marketing, equipment purchases, refinance existing debt and leasehold improvements. • Participating Banks: Amcore, BankOne, Old Kent, Harris, Home Federal Savings, Elgin Federal, and Elgin State. • s • ON-LINE LEARNING •' o 4 42a°�� On-line classes offered in the following disciplines: �e`s�� Accounting, Business, Computer and Information Sciences, English, Literature, Management, Mathematics and Office Administration & Technology vE For more information see: www.elgin.cc.il.us Technology Action Plan Page 20 EXISTING COMMUNITY EFFORTS JUDSON COLLEGE UNDERGRADUATE INFORMATION TECHNOLOGY CONCEN- 'art= F, TRATION (4 years) Students at Judson College pursuing a degree in business can choose the Infor- mation Technology Concentration, which enables students to develop busi- 7,, '�5.. • :$ ness and technical skills for a competitive marketplace that increasingly relies fa. ' �,, v on technology. Emphasis is on technical competence and the ability to apply IT troualk skills to solve business problems and create opportunities. THE JUDSON COLLEGE AIM PROGRAM The AIM program allows working adults to complete their college major by attending classes one night a week over a 16 to 18 month timeframe. MANAGEMENT AND LEADERSHIP MIS CONCENTRATION 406,�G� Five MIS specific courses are combined with the management and leadership o��� ■ 15- curriculumrinclude: f . ,(� Business Systems Analysis •�°o0' `NO 44��� • Business Data Communications and Networking Q)o����Qa • Database Management • Project Management and Ethics • Future Issues in Computing. This concentration is applicable to those outside the MIS organization who will need to provide management leadership, from a user perspective, in the appli- cation of information technology within their organizations �' THE MANAGEMENT INFORMATION SYSTEMS (MIS) MINOR. •11" This online minor offers students the opportunity to earn the remaining credit hours they need for graduation and at the same time provide them with the option of adding an extra element of diversity to their education program. Students who wish to earn a minor in MIS may do so by completing the five core classes above and two of the following courses: Programming Using C++; Visual Basic; E-Commerce. Technology Action Plan Page 2 I • ON-LINE LEARNING Over 60 online classes are available including courses in the following areas: . • Biblical Studies, Communication Arts, Humanities, Information Technology, ': k Management, Business, Human Resources, Mathematics, Science, Social Studies. THE AIM MIS SPEAKERS SERIES r Each fall and spring executives from outside companies are invited to share their "real world" experiences related to a topic currently being studied in one of the MIS classes. These sessions are open to the public. Topics covered in past session include: Doing Business on the Internet; Y2K & Enterprise Re- source Planning (ERP); Enhancing Commerce for the New Millennium; Business Ethics in the 2I st Century; The Internet and the Future of Communications; Ethical, Political & Societal Changes in the Information Age; and Developing and E-Business Strategy. For additional information contact Keith Jenkins at 847-695-2500 x3506 • V � r See Judson College Website: www.JudsonOnline.org for further information Technology Action Plan Page 22 EXISTING COMMUNITY EFFORTS . r- „. - 1 ;_, SHERMAN HEALTH SYSTEMS Sherman Health Systems is an innovative healthcare organization dedicated to meeting the customer's needs through quality personal attention combined ' with the power of new technologies. Our current and future plans will improve patient care, save time and reduce operating expenses. mss. Our infrastructure consists of a redundant fiber-optic backbone -- incorporating Asynchronous Transfer Mode switched technology. ATM � . enables us to guarantee high-speed network access to our desktop users. ”"' Multiple T-1 lines provide connectivity to Sherman's remote locations and the Internet. With this technology in place, Sherman Health Systems can move forward with its Information Systems Strategic Plan to make this system work for the Sherman physicians, staff and the patients. \\ ' '4,�� SHERMAN HEALTH SYSTEMS WEBSITE •, �` °Lci. www.shermanhealth.com �ci i, www.shermanhealth.com �o`� •• 1 Sherman Health Systems maintains presence on the Internet. The site .400, •�� ��� currently provides the following services to the healthcare consumer: o, n`_(� 55a �s•`�io `V"QJ��.Q`�• • On-line medical staff directory with biographical and practice information. Q, Jo. • Information about key service lines: cardiology emergency maternal child health oncology diabetes CONNECTING WITH THE COMMUNITY Electronic Medical Record • Allows physicians to easily access patient test results and dictated reports at ;%'a°••,�' the click of a button from the any Sherman Health Systems facility or from r.... *--. P € ,yr their offices. Both the primary care physician and the referring specialist f' " r physician can review the Patient's record without sending paper files from one < �; ti''44 office to another, decreasing the time required and improving the overall quality of care by making current and past clinical results ubiquitously available. ITechnology Action Plan Page 23 Wireless Patient Care 6 �' , In a combined effort with the Elgin Police Department, Elgin Fire Department and the Public Safety Subcommittee of the Elgin Technology Action Team, Sherman Hospital's Emergency Department will be one of the '., r first Trauma Centers in the country to receive live video from the scene of a traumatic accident. This initiative is spearheaded by State Senator Rauschenberger's and State Representative Doug Hoeft's offices, with the CP' assistance of Sherman Hospital. < 'f This cutting-edge technology will allow physicians and trauma nurses to view ieolat the accident scene from the emergency department and determine the best , +4. course of care for the injured. When seconds count, being able to assess the injured patient and their placement at the scene helps the physician direct the paramedics in on-the-scene treatment, saving both time and lives. OUR VISION FOR THE FUTURE The 2I st century is here and Sherman Health Systems' goal is to make healthcare services more accessible to the community. Over the course of „1-0• the next few years here are some of the exciting initiatives the technology ��r� �c�)G department of Sherman Health Systems will undertake: o��� °i°s. II • Internet-based patient registration will allow patients and physician •e, ,�Q offices to register and schedule tests via the Internet. This allows access �o4. n\_\ )'krya from the comfort of one's home or the convenience of the office. ` `C.) oQ • /(1, Q y o,Jo • Patients utilizing any of Sherman Health Systems facilities in Kane or McHenry County will be registered once without the need to present insurance information over and over again. With the creation of an enterprise master person identifier, once a patient registers at any facility their information will be permanently stored allowing for quicker service and the most accurate insurance information. • Computerized prescription writing, with electronic A transmission to the pharmacy of your choice is currently being t ' tested. No longer will you need to take a prescription to the pharmacy • , and wait for it to be filled. The Sherman Emergency Department, ` Pharmacy and Immediate Care Centers will soon be able to ` `''` electronically send your prescription to your pharmacy for immediate , , \ service. Additionally, the system assists physicians with dosage calculations and provides drug/drug interaction checking. Technology Action Plan Page 24 EXISTING COMMUNITY EFFORTS BOYS & GIRLS CLUBS OF ELGIN R 4 •,. �,, s- -' :: The Boys and Girls Club maintains computer labs at its Dundee Avenue and Garfield School locations that feature: • 12 networked computers • 6 laptop computers • Educational games • Basic computer classes • cry /�• In 2001, the Club plans to hire a Technology Director and expand <z) -' its Internet access. e' Aft. mi s*Cf COMMUNITY CRISIS CENTER The Community Crisis Center provides speakers and pro- grams about "safe surfing" on the Internet t Technology Action Plan Page 25 EXISTING COMMUNITY EFFORTS ELGIN RECREATION CENTER The Internet Lab at Elgin Recreation Center provides Internet access to help address the "digital divide". Resources include: ''` • 10 workstations - • 500Mhz Gateway Computers with Office 2000, Front Page, DSL Con- ► 1 • nection, and Unix Server to host their own website. " +-+ • A structured training program is offered to Grade school children dur- ing the summer and high school age students during the school year. Current funding is provided by the City of Elgin, State of Illinois, United Way and the Junior Service Board. For more information, see www.elginrec.com. � `i* svJ :24 • Ise Szo JOS' O• Technology Action Plan Page 26 THE COMPUTER SYSTEMS POLICY PROJECT ` �' � Guide to Electronic Commerce Readiness The Computer Systems Policy Project (CSPP) is an affiliation of chief executive officers of major U.S. companies that develop, build, market, service and sup- port information processing systems, software, networks and solutions. Since �- - 1989, the members of CSPP have worked together to develop and advocate ',� r. public policy positions on technology and trade issues. w r • The Guide to Global Electronic Commerce Readiness is a resource devel- opvi oped by CSPP and is being used by several cities nationwide as a resource to determine how ready a business, state, country or community is for global electronic commerce. The Guide is a matrix featuring 22 categories of readi- ness and four different sets of benchmarks that range from basic readiness to advanced readiness. Members of the Technology Action Team completed the CSPP evaluation. • os While the team has attempted to be as accurate as possible, many responses ■ s ( .43 . /.' are subjective (in the absence of a detailed study), and are subject to continual "J •�°aa? a�� change. . o <2,r Founded Founded in 1989, CSPP is comprised of Louis V.Gerstner,Jr. I 0 Chief Executive Officers: CSPP Chairman Chairman of the Board and CEO IBM Corp. Robert Bishop Carly Fiorina Scott G.McNealy • Chairman and CEO President and CEO Chairman and CEO ' �' -' SGI Hewlett-Packard Company Sun Microsystems, Inc. AOC- • • ;‘.• ' �`� • Michael D.Capellas Andrew S.Grove Lars Nyberg ePresident and CEO Chairman Chairman and CEO 4 Compaq Computer Corp. Intel Corp. NCR Corp. Michael S. Dell Richard A McGinn Lawrence A.Weinbach Chairman of the Board and CEO Chairman and CEO President and CEO Dell Computer Corp. Lucent Technologies Unisys Technology Action Plan Page 27 rill Following is an outline of the categories used in the CSPP Guide. '•'y' I BASIC TOOLS AND TECHNOLOGY Infrastructure i Description of local backbone services : 1:74 t ' Ability of data transmission services to meet demand = f '‘., Access to critical services Range of services, residential and small business , Range of services, large business Oillii. 's Affordability, residential and small business ` Affordability, large business Quality of service Competition - data source el. Competition - Internet service providers II COMMUNITY USE aO. Citizens onlineNV f 'acs Internet access at home and at work 0 •§P. Schools *° dse Libraries •'% \��549 Business online � (Z, Q Number of domains �OQ� Jo' Websites Networking Business online—Economic outreach Market Development Business-to-business transactions Government online ", Government websites Employees online v. s.III PLANS FOR COMMUNITY GROWTH For more information, see the CSPP website: www.cspp.org CSPP GUIDE I Basic Tools and Technology a) Infrastructure Rank Available Local Backbone Ability to Meet Demand Stage 1 • Infrastructure to phone, cable broadcast • Local internet access lines are limited and wireless are not yet fully deployed and frequently take multiple attempts to • Internet backbone networks serving the get a dial-up connection. community are owned primarily by • The infrastructure in some areas is not multi-national providers reliable and consistent. • Only a few users have dedicated or high-speed digital access to the Internet—mainly gov't or business related Stage 2 • Other users rely on modem assisted • Infrastructure is sufficient to support access to the Internet(at average levels of data traffic on Internet speeds<56Kbps) through dial-up modems—no more • Links to national data and Internet than 4%of dial-up attempts fail. backbone support speeds >56Kbps at • Message delivery by ISP is reliable; most locations. packet loss below 10%. • Some large users have connects> • Local Internet website and addresses 1.5Mbps can be reached at most times. • Voice grade wire ess is a vailable in at least 50%of geographic area. Stage 3 • Many large users have installed or • Infrastructure is sufficient to support have access to facilities that support above average levels of data traffic Internet/data transmission at> accessing Internet through dial-up 1.5Mbps. modems; no more than 2% of dial-up • There are one or more non-proprietary attempts fail. nodes in community. • Local Internet websites and addresses • Digital wireless access is available in can be reached consistently all day. over 50%of geographic area. Stage 4 • Infrastructure supports speeds of • Infrastructure sufficient to support 1.5Mbps in most of the area. growth of Internet data traffic through • One or more nodes in the community dial-up modems; less than 1%of supports speeds of 45Mbps or better. connection attempts fail. • Wireless access is an affordable • Message deliver by ISPs is reliable for alternative in most areas. commercial purposed,with packet loss rarely exceeding 6%. • Local websites and addresses are rarely inaccessible. H R y, a� ^T • \. \,'•4 43- CSPP GUIDE: I Basic Tools and Technology b) Access to Critical Services Rank Range of Services - Range of Services - Affordability- Affordability- Residential and Small Large Business Residential and Large Businesses Small Businesses _ Businesses Stage 1 • Transmission services and • Businesses must • Few,if any • Costs for related facilities are not install own networks to options are operating widely available from local connect to backbone available for and/or using providers. outside of the region pricing and network • Wireless and satellite or community. service plans. services are services,both fixed and • Users are higher than mobile,are not deployed choosing not to businesses' use networked costs in other tech.because communities connectivity costs are prohibited. Stage 2 • Most users can order • Most users can • Local access • Set-up/ access services at obtain leased or numbers for dial- installation speeds of 28.8-56Kbps. dedicated access at up modem charges are • Service at 64128Kbps speeds up to services are standard or (ISDN grade),allowing 1.5Mbps. available. are line sharing,is available • One or more • Service charges proportioned to some users. providers offer multi- for dial-up to dedicated • Additional access lines level business switched access bandwidth. for data service are packages,including are the same at ■ Flat and available on demand. frame relay, 28.8Kbps to usage- firewall/security 56Kbps. sensitive services,and news • Installation costs monthly and mail services. of second or data pricing ■ Additional access phone lines are options are lines for data comparable to first available. services are line costs. available on demand. Stage 3 • Most users can obtain • Many users can • Transmission and • Set-up and services at downstream obtain symmetric service charge for fixed monthly speeds comparable to bandwidth services services at better fees for one- ISDN or limited strength at speeds exceeding than voice-grade way service xDSL. 1.5Mbps. speed are up to 1.5 proportioned to Mbps are additional standard bandwidth. throughout • Monthly ISP the service includes community full Internet access and reflect and one or more little premium additional features over voice at no additional service. cost Stage 4 • Most users can obtain • Most users can • At speed about • At all speeds services at downstream configure business 1Mbps, exceeding speed about 1Mbps. service plans and transmission and 1.5Mbps, • Mobile service options options,including service charges transmission have been introduced in frame relay or reflect actual use and service some areas. fractional high of transmission charges capacity access. capacity. reflect actual • Most users can use of obtain symmetric capacity. bandwidth services at speeds>1.5Mbps. • Some can obtain 150Mbps or better. ■ 4.111 CSPP GUIDE: I Basic Tools and Technology b) Access to Critical Services continued Rank Quality of Service Competition— Competition— Data Service Internet Service Providers Stage 1 • Waiting period exceeds 1 • There is only limited access • There are few providers that week for connectivity and to alternative services or provide local access to redress of service technologies other than services. problems. those offered by the • Service disruption occurs incumbent on a common basis. telecommunications providers. Stage 2 • Basic internet access is in • Large business and • Several ISPs offer service to one week. institutional users have one residential and to business • Dedicated access or higher or more alternatives to the customers. Customers have speed access is operational incumbent telephone some flexibility on service within 8 weeks. companies for data and price packages. • Additional home or transmission services. business lines are installed • Some alternative within 2 weeks. technologies have also been • Service outages or implemented to provide slowdowns are resolved in residential users with option a commercially reasonable for Internet access. time. Stage 3 • ISPs and content providers • Many residents have an • Multiple ISPs offer service to provide needed software alternative to the incumbent residential and to business upgrades and offer online telephone companies for users. Some ISPs produce or help line problem data transmissions services. locally relevant content or solving. • Cable,satellite,or wireless offer support to local • Internet performance in the solutions have been websites. community,measured by deployed to some sectors or • Most customers can select average download speed areas,providing technology between two or more and node-to-node elapsed alternatives to wireline packages with alternative transmission time,meets access. speed and facility services. national performance averages. Stage 4 • Internet performance within • Most residents have a choice • Many ISPs offer service to the community exceeds of suppliers and residential and business average. technologies for data customers. transmission services. • Multiple ISPs offer locally relevant content,provide support to local websites or maintain a visible local presence. • Most customers can tailor services to meet different demands for speed,service security,quality and cost. ■ 0.e." CSPP GUIDE: II Community Use a) Citizens Online Rank Internet Access at Home& Schools Libraries Work Stage 1 • Fewer than 40%of citizens • Fewer than 80%of schools • No terminals with Internet have regular access to (K-12)and 30%of connections are available for computers at home,work or classrooms are connected. unassisted public use free of school. charge. ■ Fewer than 30%of adults are • Local public libraries do not online at some time each have electronic cataloguing. month. Stage 2 • At least 40%of citizens have • More than 80%of schools(k- • Local public libraries employ regular access to computers at 12)and 30%of classrooms computers to catalogue and home,work or school. are connected. perform interlibrary ■ At least 30%of adults are functions. online at some time each • Terminals for public use and month. Internet connection are available free of charge at some public libraries. • Facilities exist in some public libraries to allow users to connect and use portable computers or network devices on site. Stage 3 • A majority of citizens have • 100%of schools(k-12)and • Some public libraries offer regular access to computers at more than 50%of online services to remote home,work or school. classrooms are connected. users,including book ■ At least 30%of adults are renewal,catalog inquiries, online and log-in weekly. and some research tools. ■ At least one terminal offering public Internet access and other online research is available free of charge at all public libraries. Stage 4 • Most citizens have regular • 100%of schools(k-12)and • Local public libraries support access to modem-equipped 100%if classrooms are a community strategy for computers at some location in connected. widespread high-quality the community,including public access to online public kiosks. information and commerce. • Local government and • The public libraries use decision-makers have technology and the Internet implemented a strategy to systematically to expand expand the number of information resources locations of public access available to users and to points. operate more efficiently. • At least 30%of adults are online and engage daily in multiple online activities. ■ CSPP GUIDE II Community Use b) Business Online Rank #Domains Websites Networking Stage 1 • No local business has • No local business operates a • Networked computers are registered a domain name. website. uncommon in most businesses. Stage 2 • Some local businesses and • Some local businesses • Many large businesses and institutions have registered maintain websites giving some medium/small domain names. visitors and customers businesses are internally ■ The number of registered information about the networked and use their domains is increasing rapidly. company and its products. facilities for management • E-mail inquiries and product reporting and some internal orders are supported by communications. some local businesses. Stage 3 • The number of registered • Many local retailers and • Many large and many domains locally is at least 1.5 some local service providers medium/small businesses per 1000 population.The maintain websites giving are internally networked and annual rate of increase is at visitors information about the rely on e-mail for both least 20%. company and its products, internal and external and encouraging e-mail communication.and internal inquiries and customer communications. orders. • Many employees in large ■ Most local businesses local businesses have regularly use e-mail to access to networked communicate with suppliers computers and many and customers. employees use them in the regular performance of their jobs. Stage 4 • The number of registered local • Most local businesses use e- • Most employees performing domains is at least 3 per 1,000 mail regularly in executive,accounting, population. communication with research or sales functions • Registrations of commercial customers and suppliers. in local businesses have entities are increasing more • Many local businesses have access to networked rapidly than other categories. incorporated their websites computers and use them in into their procurement, the regular performance of inventory management and their jobs. sales processes. i • "4, \c CSPP GUIDE: II Community Use c) Business Online - Economic Outreach Rank Market Development Business-to-Business Transactions Stage 1 • The Internet is not part of most • Businesses rely exclusively on marketing plans. paper-based transactions in their dealings with other businesses. Stage 2 • There are visible efforts by • Business-to-business individuals businesses or transactions conducted industries(e.g.,banks)to electronically(e.g.,supplier advertise online capabilities to orders)are a regular part of potential customers in the certain businesses. community. ■ Some local businesses are responding to external competition with their own e- commerce strategy(e.g.,non —chain bookstores)! Stage 3 • Some local businesses use • Business-to-business online etools to expand sales transactions conducted into new communities and to electronically are economically seek new sources of supply. significant for many large ■ Some local businesses use businesses. investments in new technology ® • to attract new customers to the community(e.g.,wired hotels). Stage 4 Consumers can reach most • Business-to-business local businesses online and can transactions conducted shop local businesses for electronically are economically products and services in regular significant in most of the use. community's key sectors. • Online advertising is used by many local businesses to attract customers. CSPP GUIDE: II Community Use d) Government Online Rank Government Websites Employees Online Stage 1 • Few,if any government resources are • Employees do not have online individual e-mail accounts. Stage Most governmental agencies post key • The intemet connects most 2 information on websites, employees to each other. including directories of services, Employees use e-mail for hours of operation,and internal communications. downloadable forms. Websites • Some employees have internet are kept current and relevant. access. Stage All governmental agencies post key • Employees use e-mail to answer 3 information on websites. questions and to help solve • Some government websites are problems for the public. interactive and allow the public to • Most employees have internet conduct some transactions(e.g., access. permits,taxes etc)online. Stage Interactive government websites allow • All employees working in 4 the public to conduct almost all information-based jobs or with transactions(e.g.permits,taxes, the public directly have etc.)online. individual access to e-mail and • Governmental procurement the Internet. programs are conducted online. • Electronic communications are fully integrated into the work • process of government. • Ask CSPP GUIDE: III Plans for Community Growth Rank Planning New Communities Employment Opportunities _ Created and Skills Stage 1 • Government and industry • There are few local • Only limited training is are beginning to discuss the websites that promote local available in computer technology needs of the activities and issues and readiness and use skills community. bring together local at the K-12 level and for • Policies for promoting a communities of users with retraining workers. competitive environment for common interests/needs. communication technologies and services are under review. Stage 2 • The community has in place • Some online communities • K-12 curriculum includes an on-going technology of interest have been computer readiness and planning process and a fixed created and are in active use skills. timeline for connecting use by local residents(e.g. • Teachers get instruction schools and other facilities. parents online,local on technology and • Government is working to lawyers association,etc). Internet use and are promote a competitive • Some needs of residents provided with on-going environment for advanced with limited mobility,health training and curriculum services and high-speed restrictions or remote assistance. infrastructure. locations are met • Telecommuting is an electronically. available option in local businesses. Stage 3 ■ The community has an on- • A community website • High schools provide going cooperative exists, providing training for students in technology planning information about local computer-based research process. There is an events, business, public skills and offers endorsed strategy for transportation and information technology addressing the needs of all community services. vocational training. community sectors that • Employment searches and Local colleges offer recognizes the importance of applications can be degree or certificate private sector investment conducted online. programs in high- and role in implementation. technology fields. • Government is removing • Local career and regulatory and legal barriers education counseling to doing business online and services are available across borders. online. • Computers and online resources are used increasingly by at-home workers. Stage 4 • The community has a • Important consumer • School curriculum and technology plan with clear services,including medical information technologies goals and timetables. care,are augmented by are integrated at all • Government supports the electronic links to providers education levels. Local plan in its own procurement and facilities. employers cooperate to process and uses its ■ The Internet is used to provide IT training. regulatory power to attract new workers and • Online,at-home work is a eliminate barriers to new new business measurable addition to technology. opportunities. the employment base of • Government is promoting the community. market-led solutions to policy challenges such as privacy,security and standards. Technology Action Plan Page 36 TECHNOLOGY ACTION PLAN ...the business community, through the strong network of Chamber of Commerce and other business and trade associations, in collaboration with government and economic • officials, should expand their efforts to provide a forum for understanding and capitalizing on the opportunities made o,,, possible by the digital network infrastructure.The agenda should include: • Assisting all business to understand the potential of electronic commerce to increase competitiveness and expand market opportunities... 3 .'� 424 o � �s•dm • Working together to identify and eliminate the technical AP •�� �,��, barriers to free market access... o • • % Jo,Q°� • Designing and implementing a strategy to assume, along with all government jurisdictions, that every corner of Metropolitan Chicago—homes and businesses—has access to the digital network... - The Digital Network Infrastructure and Metropolitan Chicago A report for the METROPOLITAN PLANNING COUNCIL Northwestern University Iy c. • *te r • Technology Action Plan Page 37 RECOMMENDATIONS The recommendations are a compilation of incremental actions identified by a� ea the Technology Action Team that should be considered at this time to inn- \S 4'0 prove Elgin's long-term competitiveness in the new economy. o ■ �s•q pitf 4z, The recommendations are grouped into four areas: •I'oaa• \('� :5a�° "J� • Marketing/Economic Development • Education/Workforce Development IN • P�.d • Policy • Infrastructure eq. 40•, • \ $4, MARKETING / ECONOMIC DEVELOPMENT WHO WHAT BACKGROUND / COMMENT Chamber of Commerce Expand the role and profile Technology is at the heart of the current of its existing economic growth. Technology Committee To remain competitive, our business community must embrace technology. Chamber of Commerce Aggressively recruit technology Technology companies tend to cluster in order companies to join the Chamber, to leverage off each other. The creation of a and consider creating a Technology technology group or focus will enhance their Council or sub-group to foster ability to cluster and further attract them to membership. (A continuation of Elgin. the quarterly "High Tech Happy Hour" would be a logical part of this.) MARKETING / ECONOMIC DEVELOPMENT "�� WHO WHAT BACKGROUND / COMMENT ` �dj � . % The Chamber, ECC, The Chamber, as part of its Tech- "Life long learning" is the rule of the new econ- Judson College, and nology Committee, should create an omy. In order to be competitive, local workers School District U-46 ongoing dialogue between members need to have ready access to advanced training at and educational institutions to guar- convenient times. antee that local business training needs are being met, now and in the future. TAT Evaluate and catalog local public- sponsored websites. Make recom- mendations regarding improving ef- fectiveness and links. TAT, the Chamber Consider the creation of a Commu- Evanston, Illinois is pursuing this idea through a and the City nity Web Portal (a web destination public-private partnership. Benefits are many and or virtual community) with access to include potential to encourage investment in infra- city services, educational services structure, improve citizen education, improve and local business services. community communication and assist economic development. TAT, ECC, SBDC, Work cooperatively to use existing New companies need access to capital, affordable the City, and the resources to create a virtual "high space, and business advice, much of this is already Chamber tech" incubator. available. Existing providers need to better coor- dinate and work to expand capabilities. The City of Elgin, Aggressively use the web as a corn- The Internet is a very effective communication District U-46, The munication tool to post public tool, and institutional use will promote its use in Chamber, and all events and to distribute public docu- Elgin. community organiza- ments, such as budgets, etc. tions and institutions SBDC and the Tap into the Illinois venture capital There is a significant gap between the funding that Chamber community and develop a network can be provided through the existing micro loan of potential angel venture capital in- program and what is available from commercial vestors to provide essential funding banks. This gap is usually filled by angel investors for technology-based start-ups. and venture capital companies. To encourage the growth of technology companies, the SBDC and the Chamber need to find ways to help local enti- ties tap into this source of funds. The Chamber jointly Perform an annual survey of local To attract and retain businesses and jobs, espe- with the City of Elgin businesses and institutions to deter- cially high-paying jobs, in the future, it will be key mine the adequacy of the infrastruc- to have a competitive infrastructure backed by ture (energy and telecommunica- responsive and service-oriented providers. tion) and the level of service. EDUCATION /WORKFORCE DEVELOPMENT • ��� � •jai • 4� 9 WHO WHAT BACKGROUND / COMMENT Q'/a� TAT in conjunction Evaluate current efforts for address- The Boys & Girls Club, Gail Borden Library and with the Boys & ing the digital divide. The Elgin Recreation Center are already working Girls Club, Gail Bor- to bridge the divide. An effort should be made to den Library, and the evaluate the effectiveness and sustainability of the Recreation Center current efforts. School District U-46 Explore the creation of corporate- Motorola and 3COM, to expand their potential and ECC sponsored computer training that workforce, have established a program at Fremd reaches into the high schools. and Harper College that allows high school seniors to have access to college-level MIS courses. The Chamber with Consider the creation of a reverse ECC,Judson Col- mentoring program where tech- lege, and District U- savvy students can train and pro- 46 gram for local businesses and senior citizens. TAT Recruit a local service group to cre- A clearinghouse can prevent waste, help train fu- ate and manage a used computer ture technicians and get technology into more clearing house to refurbish used hands. computers for use by other commu- nity service and non-profit organiza- tions. District U-46 with Study the business and education Lake County has developed several businesses and the Chamber cooperation efforts being pursued in education programs, including an "Education-to- Lake County. Careers Partnership" and an Ameritech-sponsored leasing program used to get technology into the classroom. ECC Expand existing courses and semi- "Marketing Your Business or Organization on the nars that treat technology as a stra- Internet" is a good example of a current offering. tegic resource (versus and office Technology has moved from a cost to a strategic automation tool). tool. More courses should focus on strategic uses and on creating competitive advantages for busi- ness to both survive and excel. The same is true in other avenue such as education. Teachers need to learn how to integrate technology into the curricu- lum and the classroom. ECC Expand technology courses and cer- To remain competitive, the local workforce needs tified programs. access to advance training and certificate programs. EDUCATION /WORKFORCE DEVELOPMENT . P J, , • 4 WHO WHAT BACKGROUND / COMMENT ; POLICY City of Elgin Evaluate what policy and code The City of Chicago is currently re-writing its changes need to be considered to codes to accommodate the growth of technology- accommodate new technology corn- based companies. As an example, Chicago re- panies. quired that all utility digs be coordinated. Empty conduit is installed whenever a dig is performed. City of Elgin Aggressively pursue moving city ser- Potential Internet services include: all city forms vices onto the Internet to improve available for download, online registration for efficiency, cut costs and improve Parks and Recreation programs, City Code posted service. The City should consider online, and monthly e-mail to citizens detailing outsourcing many of these services community events. to technology companies, which spe- cialize in providing them on the Internet. INFRASTRUCTURE A combination of the following strategies should be explored and potentially pursued in order to encourage investment in and expansion of our telecommunication and energy infrastructure. City of Elgin, in con- Demand Aggregation Demand Aggregation is being used by several junction with other communities including the City of Chicago to gain major users of utility leverage with utilities, to encourage local infra- services, including structure investment, and to facilitate financing. District U-46, ECC, Judson College, and / or other neighboring communities City of Elgin Leverage publicly-owned easements Run cables and fiber lines along public right-of- to lower installation costs. ways. Government-traded access along highway right-of-ways with telecom companies to receive telecom capacity over an installed cable. INFRASTRUCTURE _ 1, WHO WHAT BACKGROUND / COMMENT City of Elgin Incorporate the City's telecommuni- A comprehensive evaluation of the city infrastruc- cation and power infrastructure in ture is beyond the expertise of the TAT and the the Comprehensive Plan process. If workload constraints of City staff. A well-defined necessary, a consultant should be and comprehensive study would provide the back- hired to evaluate the existing infra- ground for future policy and infrastructure invest- structure, evaluate what the corn- ment decisions. munity needs to do to remain com- petitive, and help develop a plan to achieve those goals. City of Elgin Tax incentives Tax incentives such as accelerated depreciation strategies and tax credits to companies that take on the risk of investing in infrastructure. City of Elgin Aggressively work with, accommo- date, and recruit private infrastruc- ture providers to encourage new capital investment in Elgin. City of Elgin Special Service Area ("SSA") SSA cost-sharing programs can be expanded to include telecom companies. City of Elgin Enterprise Zones for telecom can be The City of Chicago is using TIF funds to create a created and TIF funds utilized to im- technology center in the South Loop by encourag- prove the community's infrastruc- ing the conversion of Class C buildings to high- ture. tech facilities, and by encouraging the real estate community to create pre-wired buildings. Technology Action Plan Page 42 411) EVALUATION f h#r L *= The Technology Action Team, as part of its mission, will ;i• reevaluate this Action Plan in October of 2001 and provide an evaluation of our progress to date and updated recommendations. . Y ,,, s vow.. gal rc6" ,, ,.. _ ,.. ' ? { '`�' c�/ i �t i o t, ix , • 5 �ti xgr MK i •boa 's\ /..-,.4%4 è4> � -may ,.,1. .,-'-~ "The medium is the message." ' - Marshall McLuhan • e.V ♦ Technology Action Plan Page 43 ell Thank you to the following ��a�%, sponsors for their support! :1/4r '4. \ .64 '(� entech. , Q'14):e�Q Sherman Health Systems afiNtrr Shwrwn Horwtai•Shrnwn Wert Court $YArmrn Han*Cdr.Pabrr••Hoaith YuYw.Y AMCORE BANK P R o � � P��P i/611.1.11F Ai) MI s•d'Pl' M w c I 4�a `� ora 0 Da�,yHerald •`. Q� me T° COURIER-NEWS sentinel ec)elgin area chamber an*y,rs4 Barn y`� 41 L �CQ 'i ' ' City of Elgin S�p' �` y' a' Vr� mss. 1.;,. • Fox Valley Endodontic Specialists '� '� '°ao `� o5a'' o. W ELGIN COMMUNITY COLLEGE •k% S'o J q, Glossary of Terms Bandwidth: The capacity of a transmission channel to move data among locations. DEMS: Digital Electronic Messaging Services. DEMS (and similar technologies at other radio frequencies, such as LMDS and HFDS) are wireless services providing local broadband data transmission. Dial-up Internet access: Obtaining connectivity to the Internet by using a modem and standard telephone line to connect to an Internet Service Provider or other provider of Internet service. Domain names: The unique names that give each Internet site its own address or identity. For example, www.cspp.org. Fractional high-capacity access: Provides multiple users with unlimited use of a single high-bandwidth transmission channel - effectively, a dedicated channel - at prices reflecting or "burst)," nature of digital traffic. • Global Electronic Commerce: Commercial and non-commercial activities that ultimately lead to transactions facilitated through the use of networked technologies. Internet: The network of public computer networks using a common operating protocol. ISDN: Integrated Services Digital Network. A service available from the phone company in many areas that allows for higher data transmission speeds and is capable of handling at least two services over one line at the same time (i.e., voice and fax or voice and data). ISP: Internet Service Provider. A company or organization that provides a user with a connection to the Internet. Kbps: Kilo bits per second. A measurement of the rate of speed that data is being transferred. I Kbps equals 1,000 bits per second. Mbps: Mega bits per second. A measurement of the rate of speed that data is being transferred. I Mbps equals I million bits per second. Networked Technologies: Technological devices, such as computers, set-top boxes, phones, and faxes that are interconnected via networks, wired and wireless, so that the devices can communicate with one another. Non-proprietary nodes: Terminal or other Internet access point (a "network node") that is available to the public. OSP: Online Service Provider. A company or organization that provides value-added content on the Internet. Private or leased lines: A dedicated transmission channel between any two points in the network, typically charged to the user based upon bandwidth and distance. Switched or dial-up access: The transmission channel is established by "dialing up" the remote computer (Internet) and, once con- nection is established, transmitting via modem. The phrase also is used to mean that Internet access re- quires that data transit through the central switching facilities in a local telephone company's wireline network. Symmetric bandwidth: The transmission channel enables both uploading and downloading at the same speed. Telecommuting: Using networked technologies to perform work-related activities away from the office or business using information and communications technologies. Voice-b: The capacity of a regular copper telephone line. xDSL: Digital subscriber lines (including ADSL, asymmetric digital subscriber lines, and other related technolo- gies). N t 0�n(".i �00 • - Office of the Mayor 150 DEXTER COURT ELGIN, ILLINOIS 60120 Ed Schock 847/931-5595 MAYOR April 21, 2000 Fax 847/931-6023 Congressman Dennis Hastert Speaker of the House 27 North River Street Batavia, IL 60510 Dear Honorable Hastert: Last week, I read with great interest the article in the Chicago Tribune concerning your stance on the Internet Sales Tax. It is an issue of great interest to the City of Elgin and the Greater Fox Valley Area. In fact, this June we are planning to host a Mayors Roundtable to address this very issue. State Senator Steven Rauschenberger and divine interVentures will be participating as speakers, explaining their respective viewpoints. We feel having you or a representative to state your position of a five-year moratorium would bring balance to the discussion. Mayors, council members and administrators from Aurora, Geneva, Batavia, St. Charles, Bartlett, Hoffman Estates, East and West Dundee, Carpentersville and Hampshire will be invited to this roundtable discussion. Kane County Board members and State Legislators from these areas will also be invited. Our goal is to define the options and educate regional leadership on this important issue. Many of these municipalities are located within your Congressional District and would appreciate the opportunity to hear your viewpoint. We have not yet finalized the date for this event and would be flexible in accommodating your obviously hectic schedule. This is an important issue to the municipalities located within your district. We think it is imperative that we understand all sides because of the profound impact the outcome will have on every community's economy. The planned Mayors Roundtable follows on the heels of the well-attended Technology Summit held on March 21 at Elgin Community College Business Conference Center for commercial real estate brokers and developers. The summit featured a keynote address Honorable Dennis Hastert April 21, 2000 Page 2 by Stephen Auditore of divine interVentures and a panel consisting of representatives from Ameritech, Teligent, ComEd, Nicor, SunStrand and McClier. The summit was the first of several initiatives sponsored by the City-formed Technology Action Team to raise awareness about the "new economy" and take a proactive approach to molding Elgin into a regional technology center. Clay Pearson, from the City of Elgin, will be contacting your office to discuss your interest in participating, answer any questions you might have and to work out a schedule. Should you have any questions before then, please do not hesitate to contact Clay at 847-931-5593 or myself at 847-931-5595. Thank you for your interest in this program. We look forward to talking to you soon. Respectfully, Mayor Edward Schock c: Keith Rauschenberger i March 27, 2000 • • .14 ��. e-elgin Incentive Program I INTRODUCTION II TARGET AREA III TYPE OF ASSISTANCE IV OWNERSHIP V ELIGIBLE IMPROVEMENTS VI INELIGIBLE IMPROVEMENTS VII APPLICATION PROCESS AND ADMINISTRATIVE PROCEDURES VIII CORRESPONDENCE IX APPLICATION I INTRODUCTION The City of Elgin has committed to pursue and promote opportunities to further both economic growth and community development in Elgin by taking advantage of the shift in the national economy toward e-commerce, the Internet, and advancements in telecommunication areas. In 2000 the City authorized the formation of a Technology Action Team and a partnering grant program for center city commercial property owners and downtown business owners who are involved in technology-related business efforts. The e-elgin Incentive program offers assistance to property and business owners for expenses related to technology infrastructure improvements, moving expenses, and advertising costs. Under the program, property owners or business owners within the target area are eligible to apply for grants related to the above referenced expenses. II TARGET AREA A map indicating the program's target area is attached. The buildings and/or businesses for which assistance through the program is sought must be located within the target area. III TYPE OF ASSISTANCE After approval for participation in the program,property or business owners may receive the following levels of assistance: Downtown commercial property owners and downtown business owners can qualify for up to 50% of capital costs not to exceed a total expenditure of$60,000 ($30,000 maximum City contribution)in funding for technology infrastructure improvements that include installation of new Category 5 or better wiring, upgrade to Category 5 or better wiring, backup power generators for technology equipment, or high-speed Internet access capabilities, including necessary hardware or other technology infrastructure improvements approved by the Technology Action Team and City Council. Eligible expenses do not include computer equipment, but could include routers for Digital Subscriber Service (DSL) service. High-tech businesses relocating to downtown Elgin and downtown-based technology companies that are growing and planning to remain in downtown Elgin are eligible for a 100% rebate of the service and installation fees associated with relocation costs for DSL and T-1 service, with a not-to-exceed limit of$5,000. Downtown commercial property owners and downtown businesses are eligible for up to $2,500 annually in co-op advertising funds when they promote e-elgin in their ads. This grant will pay for 25% of advertising placement cost, up to $2,500 annually. To qualify, ads must bear the e-elgin logo and tag line as provided by the Technology Action Team and ads must appear in newspapers and magazines of general distribution. Participation in the advertising assistance shall be reviewed on an annual basis by the program administrator. IV OWNERSHIP To be eligible, an applicant may be the owner of a commercial building or the owner of a technology-based business in the target area. Business owners who are tenants of a building for which improvements are planned must provide written consent from the building owner of all proposed improvements. A consent form is included in the attached application. The tenant-applicant must have at least three years remaining on the lease at the location in order to apply under the program. 1 • V ELIGIBLE IMPROVEMENTS The e-elgin Incentive Program is intended to fund improvements through capital cost assistance, reimbursing moving expenses, and advertising assistance. Eligible improvements include: • New Category 5 or better wiring. • Upgrade to Category 5 or better wiring. • Back-up generators. • Hardware for high-speed Internet access (excluding computers). • Other technology infrastructure improvements. • Service fees related to DSL and T1 relocation. • Advertising expense assistance. All work funded under the e-elgin Incentive Program is required to conform to applicable code and ordinances. VI INELIGIBLE IMPROVEMENTS It is not the purpose of the program to finance on-going improvements which could be considered part of a building's routine maintenance or redevelopment. Building additions shall not be funded. Each eligible improvement shall be funded by the program only once. Ineligible improvements are improvements to the building interior with the exception of those items identified in section V, or exterior maintenance work such as roof repairs/replacements. VII APPLICATION PROCESS AND ADMINISTRATIVE PROCEDURES 1. Applicants should receive a copy of the program guidelines and application form. The completed application must be submitted to the Director of Economic Development and Business Services. 2. Applications will be reviewed by staff for compliance with all program guidelines. A site inspection will be completed by the City of Elgin's Code Administration staff for an inventory of any violations of the property maintenance, building, or zoning codes. Applicants do not have to be in complete code compliance at the time of application for the program but must be compliant before reimbursement can be made to the business. 3. If City staff determines that an application complies with all program guidelines and determines that sufficient funding is available for the proposed project, the completed application and recommendation for a grant award will be forwarded to the City Council. The City Council in its sole discretion shall determine whether to approve and authorize execution of a grant agreement. In the event City staff determines to deny an application for this program, an applicant may appeal such denial by City staff to the City Council. To pursue such an appeal, the applicant shall notify the program coordinator in writing (by return receipt mail) with a request to appeal the City staff's denial of the application within ten(10)working days of receiving notice of the disapproved application. The City Council will hear any such appeal and may in its sole discretion decide to uphold the staff decision or may decide to proceed with the authorization and execution of a grant agreement. 4. No reimbursement shall be made for work initiated or completed prior to the execution of a grant agreement. 5. All required work shall be completed within three (3) months of execution of the grant agreement. 6. Following the approval of the application and after the applicant has received at least two bids for each of the approved work items, the applicant shall notify the Program Coordinator as to the contractor selected, the contract amount and the anticipated date of project completion. Copies of all bids and proposals shall be submitted promptly to the Program Coordinator. The program shall fund an amount equal to the low bid for each work item. The applicant may not serve as his/her own contractor. 7. When applicable, building permits shall be obtained by the applicant before the work begins. All projects must apply for a certificate of occupancy, if none exists for current uses in the building. Questions regarding permit requirements should be directed to the City's Department of Code Administration. 8. After the agreement has been executed and all necessary permits have been issued, work may proceed. All change orders must be approved by the Program Coordinator in writing. 9. After completion of the project, copies of all bids, contracts, invoices, lien waivers, and canceled checks must be submitted to the Program Coordinator. City staff will inspect the work for compliance with City codes and conformance with any plans approved for the project. Payment will be issued only upon completion of all work items as originally approved. Major changes or elimination of certain items in the approved plans must be approved in advance by City staff. Payment shall be made to the applicant within 30 days of final project closeout by the City. VIII CORRESPONDENCE All questions and comments regarding this program shall be directed to: Raymond H. Moller Director of Economic Development and Business Services 150 Dexter Court Elgin, IL 60120 IX NO VESTED RIGHTS The provisions of this program are intended to provide guidelines for considering applications from persons or organizations seeking to participate in the e-elgin Incentive Program. The City Council of the City of Elgin,in its sole and exclusive discretion,shall determine whether to provide any of the incentives contemplated in this program after duly considering the cost incurred by the City of Elgin for providing the incentives and after considering the relative gain derived by the public from those incentives. The City Council of the City of Elgin further expressly reserves the right and option to decide at any time whether or not to provide continued or additional funding for this program. The creation or existence of this program shall not be construed to create or provide any vested rights in any person or organization to obtain approval of a grant application, a grant agreement or funding thereunder. Target Area y ` MB_ 11 v • WATER ST \.) r SYMPHON I V (3, g TER AVE • '�4 c DIVISION ST 1111. z E HIGHLA m E.CHICAGO ST < E CMICAGC ST o 101 5 „s �ulk.0‘ _ w PAGE ST o11‘ • (A \\ /\ PRAIRIE ST \' )\II 06 '.c a-el in Incentive Program / Dpl of Pl.nnirp M N.9tborl�wJ S.rvio.,AM•.AW 1 590: A \-\ e-elgin Incentive Program111 • qP. Application Form 1. Applicant Information Name Home Address City State Zip Phone 2. Building or establishment for which the rebate is sought Street address Applicant is: Owner Tenant If tenant, what is term of lease? 3. Proposed use of program New Category 5 or better wiring Upgrade to Category 5 or better wiring Back-up generator High-speed Internet access hardware Moving expenses Advertising Other technology infrastructure (please specify): 4. Cost Elements Capital Costs $ Service Fees $ Advertising $ TOTAL COST $ 5. Statement of Understanding A. The applicant (undersigned) agrees to comply with the guidelines and procedures of the e-elgin Incentives Program and the conceptual design and outline specifications as agreed to by the applicant and the application review team. B. The applicant understands that the applicant must submit detailed cost documentation and copies of any permits, bids, contracts and invoices and contractor's final waivers of lien upon completion of the approved improvements. Applicant's signature: Date: NOTE: If the applicant is other than the owner, the following line must be completed: I certify that I, the owner of the property at do authorize the applicant to apply for a rebate under the e-elgin Incentive Program and to undertake the approved improvements. Owner's signature: Date: (Return completed application form to: Raymond H.Moller Director of Economic Development and Business Services 150 Dexter Court Elgin,IL 60120 FOR OFFICE USE ONLY Date application received: Application I.D. # : Application fee paid: Yes No If yes: Check Cash Rebate Approved Date: Rebate Denied Date: Total estimated project cost $ Reason: Percent applied for rebate $ Total amount of rebate $ Program Coordinator: 45 I •••-•.4 OF ElC Agenda Item No. City of Elgin A g n0RATED FE' March 22 , 2000 TO: Mayor and Members of the City Council FROM: Joyce A. Parker, City Manager SUBJECT: e-elgin Incentive Program Guidelines PURPOSE The purpose of this memorandum is to present to the Mayor and members of the City Council proposed guidelines for the e-elgin Incentive Program. BACKGROUND The Mayor and City Council members tentatively approved the development of an e-elgin Incentive Program that would include the following incentives for technology related companies locating within the downtown area: 1 . Downtown commercial property owners and downtown business owners can qualify for up to 509,T of $30, 000 in capital costs for technology infrastructure improvements that include installation of new Category 5 or better wiring, upgrade to Category 5 or better wiring, backup power generators for technology equipment, high speed Internet access capabilities including necessary hardware or other technology infrastructure improvements approved by the City Council . (Does not include computer equipment, but could include routers for DSL service) . 2 . High-tech businesses relocating to downtown Elgin and downtown-based technology companies that are growing and looking to remain in downtown Elgin, are eligible for 1000 rebate of the service and installation fees associated with relocation costs for DSL and T-1 service, with a not to exceed limit of $5 , 000 . 00 . e-elgin Incentive Program Guidelines March 22 , 2000 Page 2 3 . Downtown commercial property owners and downtown businesses are eligible for up to $2 , 500 annually in co-op advertising funds when they promote e-elgin in their ads . This grant will pay for 25% of advertising placement cost up to $2 , 500 annually. To qualify, ads must bear the e-elgin logo and tag line as provided by the Technology Action Team. Participation in the advertising assistance shall be reviewed on an annual basis by the program administrator. OWNERSHIP Eligible applicants' may be the owner of a commercial building or the owner of a technology based business in the target area. Business owners who are tenants of a building for which improvements are planned must provide written consent from the building owner of all proposed improvements . The tenant applicant must have at least three years remaining on their lease at the location in order to apply under the program. ELIGIBLE IMPROVEMENTS The e-elgin Incentive Program is intended to fund improvements ranging from capital cost assistance, reimbursing moving expenses and advertising assistance . Eligible improvements include : • New category 5 or better wiring. • Upgrade to category 5 or better wiring. • Backup generators . • Hardware for highspeed Internet access (excluding computers) . • Other Technology infrastructure improvements . • Service fees related to DSL and T-1 relocation. • Advertising expense assistance . All work funded under the e-elgin Incentive Program is required to conform to applicable code and ordinances . The guidelines and application procedures outlined in attachment A are similar to those adopted by the City Council for the Neighborhood Business Program. COMMUNITY GROUPS/INTERESTED PERSONS CONTACTED Representatives from the Chamber of Commerce, the Downtown Neighborhood Association and technical interest have been part of the review process for formulating the incentive package . e-elgin Incentive Program Guidelines March 22 , 2000 Page 3 t7tA.— . FINANCIAL IMPACT Dollars available in the Economic Development Incentive expense line item, account number 276-0000-791 . 80-26, could be used to fund any grants under the e-elgin Incentive Program. LEGAL IMPACT None . ALTERNATIVES 1 . Structure the program as outlined. 2 . Amend the proposed program. 3 . Choose not to proceed with the adoption of an e-elgin Incentive Program. RECOMMENDATION It is recommended that the proposed e-elgin Incentive Program as outlined be adopted. R- _ .ectfully submit , al ail----- J•l e d Parker City Manager SLP Attachment • C 4. a . City of Elgin Memorandum February 25, 2000 TO: City Council Members FROM: Mayor Schock SUBJECT : Technology Articles Attached are various articles regarding technology and how office markets must adjust to accommodate today' s businesses . dw Attachment OFFICE & INDUSTRIAL PROPERTIES f_S 1 II _ _.. . , ______. . .:. =::„..,s DUSTRY ^UPDATE ....,....,...... . ... ... Office Markets Must Adjust to Changing Tenant Needs . Advanced Radio Telecom, ORLANDO,Fla.—Office markets across the United States must adjust rapidly to U.S. RealTel Sign accommodate today's businesses, many of which have space and leasing requirements Access Agreement that are vastly different from companies of the past, according to industry experts speaking at the Realtors'National Convention and Trade Expo in November 1999 in BELLEVUE, Wash. — Advanced Orlando,Fla. Radio Telecom Corp. (ART) and U.S. A sizeable portion of the office market,particularly in the suburbs,is being reshaped RealTel Inc.(USRT)entered into a master by online technology firms that are either exclusively or heavily runt on the Internet sublease agreement that allows ART to i for their business operations, actor Ing to ichard C. Stanland Jr.,2000 chairman of access up to 1,000 commercial buildings i the'Society of Industrial and Office Realtors (SIOR). "Conventional space is being in USRT's network of properties nation- ripped out to satisfy the needs of the dot-corns,"he says."Their demands,their work- wide.The agreement gives ART access to force culture is very different." office and industrial buildings in 28 states These firms often seek to use their workspaces in very non-traditional ways,which under one sublease, instead of separate often include far more common space and less individual space, notes Stanland. subleases. ART will incorporate those Because these companies operate on Internet time, they seek far shorter lease terms. buildings into its broadband fixed wire- "The 10-year lease is being_cut to no more than three years," he says. Proximity to less/fiber network. , heath clubs, ood restaurants and convenience services such as concierge services also "Tenants are increasingly demanding are important,but they are not deal drivers, Stanland says. he ey amenity soug t y advanced telecommunications services �p 1r todayrciiiice tenants is smart space with high-speed access to the Internet,he says. like high-speed Internet access," says Demand for high-rise trophy buildings used solely for office space is waning, Charlie McNamee, president of USRT's Stanland notes. High-rise buildings will rely on multiple uses — office, retail and occupant services division."The simplicity residential—to succeed, he adds. of the master sublease agreement allows Although the overall vacancy rate for office space is relatively low—approximately ART to reach out to the market to provide 10 percent nationwide —rental fees have remained depressed due to a glut of space these types of services." created by the emergence of shadow space,the space left empty when companies merge or consolidate,says Stanland. . Office space now is being configured according to the sequence in which various parts are usually used, says Carmela Ma, principal broker of CJM Associates. For Hillwood to Trade Real instance, the space might be structured for a person to quickly check electronic mail, Estate for Equity Position , then voice mail, and then head to the conference room.Today's clients want touch- down q y spaces that allow employees enough room to put down their laptops, do some in E-commerce Firms work,then move to another location in or out of the building,Ma says. • Clients often seek access to emergency power sources,and they demand tight security FORT WORTH, Texas — Hillwood features, notes Gary Tharp of GT Commercial Inc. In addition, they seek 24-hour Development Corp.established a new pro access to their office space,he says. gram to target the needs of Internet com- panies and e-commerce, such as instant offices, flexible leases and instant Internet hookups. Hillwood will establish a fulfill- CoStar Group Acquires COMPS.COM for S102 Million ment company that forms strategic partner- ships with Internet companies while BETHESDA, Md. — CoStar Group Inc. and COMPS.COM entered into a delivering real estate product and expertise definitive merger agreement. At $7.50 for each COMPS.COM share, the to those firms in return for equity positions. deal is valued at approximately $102 million paid in a combination of "With this new program, e-commerce CoStar Group stock and cash. Under the terms of the merger, COMPS.COM companies will be able to move in and be will become a wholly owned subsidiary of CoStar Group. operational within days,with no lost time "COMPS.COM has a highly effective business model for the comparable or lengthy lease negotiations," says Ross sales business. We are gaining an excellent addition to our CoStar suite of Perot Jr.,chairman of Hillwood."With an products and a highly skilled research and development team," says Andrew equity or stock position in an Internet C. Florance, president and CEO of CoStar. "Our combination will dramati company, Hillwood becomes not only an cally accelerate our planned expansion into this area with lower risks. In investor,but a partner." addition, the acquisition will enable both companies to streamline opera The new venture will be led by Mike tions, avoiding expenditures of approximately $15 million on redundant Gade, who recently joined Hillwood as initiatives in the first year after closing." executive vice presidentmarketing/busi- ness development. llmrc&INDUSTRIAL PROPERTIES • FEBRUARY 2000 1' • a t • ECONOMIC DEVELOPMENT by JoAnne Donner Added Incentive Small Town Builds Its Own Broadband ne of the wonders of the reduction in mileage-sensitive charges installed without overcoming a legal wired world is that loca- for accessing long-distance service. As a certification from the GPSC.The certifi- tion is no longer a limita- full-service city, LaGrange operated its cation was awarded with two conditions: tion. Electronic access is own electricity, natural gas, sanitation, The city could not cross-subsidize helping to level the playing and water and sewer systems, but it did telecommunications services with other field between up-and-coming rural areas not provide its own telephone service. revenue streams,and it had to demonstrate and established, urban centers as attrac- financial and technical capacity tive destinations for business. Word is LAGRANGE ATTRACTS To mitigate potential financial risk, spreading that electronically sophisticated THE CARRIERS LaGrange tied construction of the fiber small towns offer the chance to Community leaders found the existing cables to customer commitments rather • be a big fish in a small pond, while local exchange carrier was hesitant to than to a speculative deployment. By avoiding the crushing traffic and soaring invest in digital switching upgrades for 1998, its fiber network configuration costs that make big cities increasingly its LaGrange operations. After the city reflected this customer-oriented approach undesirable. went before the Georgia Public Service with a 35-mile fiber network comprised A case in point is LaGrange,Ga.,a small Commission (GPSC) to air its concerns of a ring and spurs to customer sites. but wired-in-a-big-way town 60 miles and local industry voiced its needs for The POP connection by this time had southwest of Atlanta.The county seat of advanced telecommunications services, five alternative carriers operating long- rural Troup County, LaGrange is on Interstate 85,commonly called the growth corridor of the South. The city has a population of 27,000 and is considered the economic center of a 150,000-person area To ensure that the city would be ... that stretches from western Georgia to eastern Alabama. prepared for the coming e-evolution, In the early 1990s, LaGrange realized that shifts in the American economy LaGrange appointed a task force meant a slowdown in the manufacturing sector and significant growth in service to evaluate its telecommunications readiness. industries.To ensure that the city would be positioned as a player in the new economy and be prepared for the coming e-evolution, LaGrange appointed a task force to evaluate its telecommunication an upgrade of the central office switch distance services out of LaGrange's central readiness. The committee's mission was with the installation of digital services was business district. As a result of the POP to support economic development efforts completed. Half of LaGrange's industries and increased long-distance service com- by creating a state-of-the-art telecommu- elected to participate in the city-built petition, long distance phone rates nications infrastructure. telecommunication system and it's now dropped throughout the late 1990s from "Our goal was to develop a broadband marketed as part of the city's economic 25 cents per minute to 9 cents per minute infrastructure for our businesses and' development package. or less. resident ' says Joe Maltese, LaGrange's LaGrange,itself,spent$75,000 between LaGrange also received competitive director of community and economic 1993 and 1995 to install a four-mile ring local exchange carrier certification from development. The task force set out of dark-fiber cables on its existing electric the GPSC that enabled it to offer to attract new businesses by offering poles. Of that investment, $52,000 was telecommunications services such as T1, the advanced telecommunications rarely returned through a leasing arrangement virtual local area networks (VLAN), found in rural communities. involving the development of a fiber ring Ethernet,and ATM switching and frame Specifically, the city's leaders focused for a private telecommunications company. relay capabilities. In addition, the city • on the necessity for a fiber-optic infra- The company built a POP and served as wanted to offer value-added telecommu- structure,a dieital switch and a long-dis- a carrier, providing conduits for long- nications services such as remote meter tance point of presence (POP), the distance traffic along its fiber-optics reading and energy management to physical connection where a local tele- system for MCI, Sprint and other long- improve its traditional utility service-mix. phone company joins a long-distance distance providers. However, the city could To help achieve this goal, LaGrange carrier. Landing a POP would mean a not operate the dark-fiber cables they had engaged in an innovative partnership with 4R OFFICE 8c INDUSTRIAL PROPERTIES • FEBRUARY 2000 financing and risk. The city built in assurances that it would benefit from the LaGrange, Ga., in rural Troup County, project by receiving new revenue from initiated a public/private venture in interest earnings on financing,by receiving 1998 that expanded its telecommuni- • servicing fees from the cable operator, - cations infrastructure in one year by creating new enterprises to bundle with rather than upgrading in piecemeal, existing services,and by providing a bank- Which could have taken more than a ruptcy-remote entity for the project.And decade.The improved telecommunica- tions package is included in the city's network with capabilities for handling development campaign. P remote meter reading, energy manage- ment and other municipal services,the city estimated it would receive $100,000 in annual savings. 11 WIRED FOR TOMORROW fi ' It took three years to put the Charter a ! � project together due to the complexities ` f 1 : of structuring the transaction and potential r-• € i financial risks. Once initiated in August 1998, however, the joint venture allowed ...1 LaGrange to expand its telecommunica- ' ,� tions infrastructure quickly over a one- 1 . t'4 •t year period rather than employing a llttttt piecemeal approach that would have t ;tp i taken 10 or more years.It also allowed the `. acity to avoid the cable industry opposition �„-„ that plagued other municipal telecommu- + sr: - " t ; . --` nications initiatives within Georgia. x + �? z 7"r—� *? "In addition to the economic develop _ '�.Ye F., •r-"4 `_: �` ` \ .�` _'''..7'.4"...-:' ' ment opportunities created by such an .'y - - - infrastructure, it allowed us to become ' J �, -" �` _ closer to our customers by offering z I i ;•^ } ,yr digital TV, high-speed cable modems Il t 3 „ *I v , I r '.32:A: and Internet television,"says Maltese."By .,:ff.....,:, t • + ,Z eiI 1j-sk 1 ' - bundling these new, value-added services r •L. ;.:' >� st'' 1 • with existing municipal services,we could 4 9 . + r!, . � , C .� • z r c •�sr . , L '4• s 41 r, f,' enhance our relationships with traditional T _' 1 I-7---::-.7... -_-..-. „ a, ,.»a .:•�--+, a ___,':%'_;,..:,;.' < `4. utility customers. It also meant we could _..� , --:-.:::,;.,17--.,-ra4 i .� ;� s� �:¢?' ti="��(� , continue to offer government services 0` `• s, •.• • 2-i,=-� '"'''�`t. '` }` without taxes by protecting these service- r , $ ., fa j '. \ 1 0• . based revenue sources in the marketplace." • 1' ' ' I : I • :[. •i.- � _-,;, ,',"p' ^;:! �'' : , j' Today, with an expanding roster of r- ••5 ......_:-.41,6•••.•k=.-2,-4"a`s'�_ _ .. s wireless services connected to the city's fiber loop and two rapidly growing digital networks including a 57-mile city fiber the local private-sector cable company, cable company.The deployment of a hybrid plant and a 150-mile broadband HFC Charter Communications. fiber-coax (HFC) 750 MHz network plant, the city's vision of becoming a enabled the city and Charter to offer telecommunications leader is being real- FIND THE FUNDING LaGrange residents 500 kilobits per second ized. One of its civic slogans — "From Based in St. Louis, Charter served (Kbps) Internet download access via two- broadband to wireless ... it all clicks in approximately 17,500 LaGrange area way cable modem,free e-mail,5 megabytes LaGrange."—aptly reflects its new status residents. The Charter joint venture, of space for a web site, and customer sup- as an electronic hub. approved for funding through a $9.2 port at$39.95 per month. Connections of "We're proud of the telecom investment million bond issue by the city in August up to 2,000 Kbps are now also available for we've made in our future,"says Tom Hall, 1998, called for LaGrange to acquire the both commercial and residential use. LaGrange city manager."We're wired for cable company's transmission lines and Developing the joint venture between success into the 21st century.":- equipment in its jurisdiction, upgrade LaGrange and the private cable company JoAnne Donner is a freelane writer based the system,and lease capacity back to the involved complexities relating to ownership, in Atlanta. 49 OFFICE ik.INDUSTRIAL PROPERTIES • FEBRUARY 2000 .4F�, 1•+`�1)IlSi S.; v�� i,,.t'`` wit ry,i .•W:.%41 4 .tom u•, ,Z �.., s .,-..y. . ' .. �{1, v ,;_.,q',:,♦ - .t♦� r � c .^♦s• moi'-" .y � d. it � 't� Y ck" ; F. `.1� '' !{' :',::1;•Y ' LY"!, ',L 3 _ t��,{y t .�_..W-44V R .,Ts ••.,4)‘,14...,I% `� t41r ,t{,X�!`a \,Y^ .. .ki ti Y����i tw tty 1 .;1.` l`; '^ i�' l • {♦i.,.,. 0,� .. +n,17:41�;t �A�'►.':'Raf, • 'al:.,......,,:... AI,. ... isiga....,a }.c4�,c,. ..„... < yvtr, , .,,` i+. ltad tai.• �`kL.� 1 i# 140414 +- q l;k%,1 1 1'1. ,_ +j} n: .V31153'tt! :�,a ,.t .{� :, Guide To D(4.••�*_ i... *1T'"" ll__.4 ti DEVELOPMENT Build-to-Suit Resurgence . Economy and Technology Drive Trend • by Miriam Lupkin, Contributing Editor In the'80s,a building was a sign of "It's not that build-to-suit was out," of Murphy Warehouse Co. There are a company's position in the busi- explains Rick Page, senior vice president hidden costs in spec buildings that a ness world. Major corporations of national marketing at Opus National company needs to consider.For instance, were spending millions of dollars Corp."It was just that spec development "companies have to build in vacancy con- on build-to suit projects that repre- had a boom under way in the last couple tingency[cost] in spec development,and sented their corporate image. of years,which created enough inventory I don't want to pay for it,"says Murphy. After the crash of the real estate market, to meet the needs of many clients." "It's an inherent cost that they pass on." spec buildings seemed like the way of the "I definitely agree that build-to-suit By going with a build-to-suit project, future. But now,with the economy thriv- slacked off a little bit,"says Richard Gatto, Murphy wouldn't have to pay an up charge ing and the unemployment rate at a low, executive vice president at The Alter for the design, construction and project there seems to be a rise in build-to-suit Group. He adds that one of the reasons management, he explains. In addition, buildings. However, developers who specialize in build-to-suit argue that it was never really « out, companies are just wiser with their Its conventional wisdom that build-to-suit money and less extravagant. costs more than a traditional spec lease, but that is not necessarily true." 12 Questions to Qualify a Build-to-Suit Developer -Richard Murphy Jr.,Murphy Warehouse Co. 1. Do they have a proven track record? build-to-suit is seeing a resurgence is there are no "hidden price mark-ups for 2. Can they deliver on schedule? because the needs of companies are others'profits [in build-to-suit projects]." 3. Can they deliver on or changing. One of the biggest forces dri- "The financial pro forma for spec build- below budget? ving build-to-suit is the changing demand ing needs to underwrite risk," confirins 4. What is their reputation in of technology. Gatto.Companies are starting the endeavor the community? AirTouch Cellular Inc. decided to go without a tenant.That financial risk, and 5. Are they big enough to handle with a build-to-suit building vs. leasing expense, can be reduced with a tenant up the size of your project? space in a spec building because the front." 6. Do they have expertise in the company needed a data center, explains Build-to-suit developers have to stay type of building you want? George Vergits,director of real estate and competitive with price, says Jeanne A. 7. What is their customer facilities. "A building that would have Leonard, director of investor relations at been in place wouldn't have the infra- Liberty Property Trust."If we priced out relations program? structure and special requirements to run of the general mix of what's in the market, 8. What are their relationships that portion of our business,"he says. we would alienate our customer." with major suppliers? Not to mention that it was cheaper to While companies like Opus have been 9. Do they have financial do a build-to-suit vs. a retrofit; plus the able to meet the needs of clients with spec wherewithal? company wasn't sure the retrofit was development, often a company's require- 10. Do they have the resources technically possible,he says. ments are too large or more specialized in-house (i.e., design/ than what spec can offer, and the most build team)? CHEAPER IN THE LONG RUN cost-effective building becomes build-to- 11. Do they have integrity? It's conventional wisdom that build-to- suit, says Page. "Build-to-suit really is suit costs more than a traditional spec usually the lower cost alternative,"he says. 12. Do they have referrals? lease, but that's not necessarily true, says A corporation can get what it wants for Richard Murphy Jr.,president and owner the lowest cost with build-to-suit, he — OFFICE&INDUSTRIAL PROPERTIES•FEBRUARY 2000 I TECHNOLOGY 4' ' World Wide Wait \Av' Why Companies Can't Get Broadband 44 Vkc by Juliann Walsh,Managing Editor When David Druker decided basis.' I'm not satisfied with that," says and caught amid a four-year battle started his Manhattan-based print- Carol Wyllie, executive vice president at by the Telecommunications Act of 1996. ing company, highresolu- The Graham Cos.,a mixed-use developer It's the World Wide Wait, according to tion, would operate more with office buildings in the Dade County The Other Digital Divide, a report by the efficiently once employees accessed the suburbs."Part of it is how far you are from Center for the New West,a Denver-based Internet,he thought his problems would be the [central office] and how many other think tank. While America has nearly solved in two weeks. Four months later, users are nearby." 22 million business enterprises, only Druker still can't log on. "We can't deploy it everywhere,instantly. 15,000 are large businesses (with more He's not alone. Other tenants in his We're in the process of rolling it out. than 500 employees);the other 21 million Hudson Square building can't get service. It takes money to deploy the service, so are small-and mid-sized enterprises.Less And the one tenant who inked an installa- you're going to go where you can get a than one-third of those companies are - tion deal has been waiting since July to return on your investment,"explains John linked to the Internet, according to the be hooked up. In the roll-out of Digital Goldman, communication manager at report. And fewer still have high-speed Subscriber Lines (DSL), it seems 137 BellSouth,which started offering DSL 18 access. Varick St.isn't at the top of Internet service months ago. "It's not anything sinister. providers'(ISP)lists. It's pure economics." HOW TO GET WIRED If it's frustrating to be located in what Industry experts fear those economics Any property with a phone can get the ,providers consider a second-rate neigh- are the beginnings of a much greater.prob- Internet. But the right speed, and the borhood in a first-tier city, imagine what lem: that the nation, in its frenzy to have ability to upload and download data for small- and medium-sized businesses in more bandwidth, is building a digital the right price,is a little more complicated. • Miami Lakes,Fla.,must endure. divide with technology haves and have For the unlucky in an underserved region, "BellSouth will do it on an 'as needed nots, segregated by money and location it's impossible. The time required to download a 3.5-minute training video ISDN: In the fist-paced Internet world, the slow speed of depends on bandwidth.More bandwidth=less download time.New Integrated Services Digital Network can seem outdated and fres- • technologies are increasing bandwidth availability.Here's a rundown trate users.Like DSI.,ISDN service is limited by distance,and it of what's available: also requires a separate phone line. • Cable Modem:Currently the fastest form of data transmission,it Phone Line Modem:This is Americas most common,cheapest operates off the cable TV wire,rather than a copper telephone line. and slowest way onto the Internet today. Uploading and down- Although cable modems are normally less expensive,only recently loading information can be done working off a phone line, a have cable conduits been included in the construction of offices modem and the user's patience.But,it may not give businesses that buildings.Retrofitting is intrusive and expensive.Customers share competitive edge the line,and data transmission speed can be delayed by heavy traffic. t '8 seconds—Cable Modem(10 Mbps) DSL: Digital Subscriber Lines run off existing copper tele- phone wire and a modem. While not the fastest option, it is 10 seconds— DSL or Cable Modem(S Mbps) • affordable and easy to install,making this the small-to mid-sized companies most viable way onto the Internet. However, DSL requires proximity and upgrades to the wiring's central office 20 seconds—DSL or Cable Modem(4 Mbps) 1. equipment.Without either,no service. F 53 seconds—DSL or T1(1.5 Mbps) I a Ti Line:With monthly service fees running as high as S900 and ` lower bandwidth than DSL,T1 phone lines arc quickly losing favor 10 minutes—ISDN(128 Kbps) I- . with companies.But this well-established,easy access service brings ' , f big cash flow to the Baby Bells,a benefit they won't easily surrender t 46 minutes—28.8 Kbps modem y to L ternet service provider dominated DSL service. f t ; • "" OFFICE&INDUSTRIAL.PROPERTIES ' FEBRUARY 2000 TECHNOLOGY Here's why: DSL, one of the more How BROAD IS YOUR OFFICE ? 4 affordable options at about $S0 per month, runs off existing copper phone Some real estate investment trusts (REIT) are finding a way to reel in lines.(By comparison,aT1 line is slower and can cost up to $900 per month.) additional income while helping tenants avoid the Digital Divide. Eight The DSL equipment must be installed of the countries largest REITs teamed up last fall to form Broadband where the phone line originates — at a - Office Inc., a telecommunications company that offers a suite of services, Central Office (CO) usually operated by from long distance to high-speed Internet access. While some small- to a regional Bell operating company mid-sized businesses grapple with new technology decisions and work (RBOC). An urban CO might service five square blocks, while a CO in the toward obtaining higher bandwidth in their building, Broadband Office suburbs might cover miles. But DSL is tenants will have a menu of options normally available only to larger- limited bydistance, and the further the sized companies: Good news for them and the property owners who take user is from the CO,the slower the con- a slice of the profits. ' nection.If your office building is located This pairing puts Broadband Office in 300 million square feet of office • too far from the CO, or if the DSL space; that's 40 percent of all REIT-owned properties in the United equipment hasn't been installed at the CO,you can't get DSL. States and approximately 10 percent of the nation's commercial office This system also requires some partner- space market. "The intention was to build it out on a national scale so ship between an ISP and the CO owner. homogenous services could be delivered nationwide," says Velu Sinha, ISPs,usually a competitive local exchange director of marketing at Broadband Office. carrier (CLEC), have been at odds with the RBOCs since the Telecommunications The original eight companies are: CarrAmerica Realty Corp., Crescent Act of 1996 determined that the Baby Real Estate Equities Co., Duke-Weeks Realty Corp., Equity Office Bells must allow CLECs access to their Properties Trust, Highwoods Properties Inc., Hines, Mack-Cali Realty customers. Corp. and Spieker Properties Inc. Venture capital firm Kleiner Perkins "We've been contacted by series of DSL Caufield and Byers also helped form the consortium. But that list is not companies that say [our RBOC] is not issuing the wiring to our building,"vents yet complete, and the search continues for a management team that Druker. includes a CEO. "There will be several announcements made about DSL technology requires line sharing additional partners," hints Sinha. between the CLEC and Bell operator.As The Broadband Office buildings will have a SD-3 circuit into the building a result,"there are a lot of administrative and the ability to deliver greater bandwidth in the future. The goal is to and technical problems that have to be have buildings pre-wired to avoid tenants waiting 90 days for connections. worked out," says BellSouth's Goldman. "We're literally putting a company on our The first seven Broadband Office buildings are in Washington, D.C., and wire without limiting them. Who do tenants could plug-and-play as of Thanksgiving. customers call when something doesn't The company plans to appeal to the small-,to mid-sized tenant occu- work?We have the potential for problems pying a 5,000- to 15,000-square-foot space. "This is the tenant that and no control over it." really needs the most support from landlords," says Mitchell Hersh, BIG BUSINESS BRINGS BROADBAND CEO at Mack-Cali Realty, and key founder of Broadband Office. Another hindrance is just plain logistics. "Tenants are too busy growing their business and don't have the physical Most ISPs are not intentionally selective, or financial resources to devote to all of the technological changes they're just working off the best business occurring today." opportunities."DSL technology is only at The REITs identified the trouble smaller tenants had with obtaining the beginning of the growth and expansion curve,"says Caroline Howell,spokesperson new, affordable technology,and also saw an opportunity for "creating an for NorthPoint Communications, a com- income stream, and potentially, equity value," says Hersh. "It became pany that installs DSL equipment in clear that by getting involved with some of our brethren and aggregating, central offices."Basically,it's neighborhood and using some of the best technology available, that we could create by neighborhood. But it's not ubiquitous something very formidable." —and it's never going to be." "We will follow the people," confirms For a flat fee, tenants select from Broadband Office's menu of local and Michael Sloan, president and COO of long-distance calling, voicemail, e-mail, local area networks and private eLink Communications Inc., an ISP networks. "I believe it will continue to grow in size," says Hersh. "We've company in the Washington, D.C. area. seen interest from private landlords that want to participate on fee basis, ELink targets downtown buildings with not in equity participation. It seems to be very attractive." JAW at least seven tenants."If there's a building • that meets our profile,we'll wire it.If the • 21 0FFICE&INDUSTRIAL PROPERTIES • FEBRUARY 2000 oh. __ I TECHNOLOGY office is not in a downtown area,we will that some of the other areas seem to and CFO at Winstar Communications find a way to get them access. It's the indicate,"he adds. Inc.,which provides companies with fixed demand for bandwidth that brings out the Another option more prevalent in urban wireless bandwidth connections. "It's not fiber,"he says. areas is fixed wireless."In Manhattan,we expensive to do that with fixed wireless." Providers concentrate where they think have fiber optic loop running all over the Like its DSL cousin, fixed wireless has they can create the biggest return on city but don't have too many buildings distance restrictions up to a mile and a revenue, adds Tim Snow, president of hooked [directly to the loop], because it's half, and requires that the transmitting Thomas&Mack Development Co.in Las still pretty expensive to connect that`last building have a line of sight to its hub."Its Vegas. "We have not had the problems mile,"explains Rick Uhl,group executive advantage is you can deploy it faster than fiber optic, and it's less costly to deploy," say Uhl. Winstar targets the nation's central busi- ness districts and then the surrounding areas.That parallels most ISPs'roll-out,so H II I the waiting game begins for tenants located outside the radar screen. Negotiating building access rights with the property owners is another cause of H I ''1 I' service delays for tenants. It can average LEXINGTOA six months,says Uhl. CORPORATE PROPERTIES TRUST FIBER IS THE FUTURE REAL ESTATE INVESTMENT TRUST Building owners also have concerns that today's solution may become tomorrow's headache."What should I be doing today so that the buildings I'm building are not Corporate America9Soutdated?" asks Wyllie. "And,what do I need to do to my older buildings to bring Real Estate Partner them up to date." Snow considers copper-based DSL out-ll/ dated and is betting on fiber optics. Investors in Single Tenant Net Leased Property "Fiber is the future,"distance ees Goldman. gP Y "You avoid the distance limitation. It's Throughout North America almost limitless bandwidth. There has always been a price associated with that." Which is why fiber is 'not prevalent Industrial, Distribution, R&D & Office today: Most buildings weren't wired for cable and retrofitting is expensive and installation intrusive. In Thomas &Mack buildings, Snow includes a communications room and tenants bring in their own vendors to do the broadband wiring. "But, we work closely with the local providers of fiber • optics in the early planning stages," he says. For information about our acquisition strategies,call or e-mail: The best way for owners to secure the best service, advises Winstar's Uhl, is to Richard J.Rouse Natasha Roberts Brendan P.Mullinix Sam Salant have competing ISPs in one area. "Don't 212-692-7220 212-692-7233 212-692-7227 212-692-7225 p g rrouse@lxp.com nroberts@lxp.com bmullinix@Ixp.com ssalant@lxp.com sign an exclusive agreement with anyone," recommends Uhl."Each one of your ten- ants should have a choice.That way,you Lexington Corporate Properties Trust stay ahead, and it keeps the telecoms in 355 Lexington Avenue, 14th Floor competition with each other." New York,New York 10017-6603 "As the demand increases and the tech- Tel:(212)692-7260 Fax:(212)986-6972 nology matures,you'll see the more remote http://www.lxp.com areas getting service,"forecasts BellSouth's NYSE:LXP Goldman."Perhaps a lot faster than every- one thinks."+ ""-',- A,TNIIIl$TRIAI.PROPERTIES • FEBRUARY 2000 t EXECUTIVE COMMENTARY 16 by R. Scott Ziegler,AIA v . From the CBD to the Suburbs s , s: Corporations Find Opportunity in Retail Reuse re escalating occupancyA offices in attractive neighborhoods makes with two, high-speed fiber-optic net costs in commercial real employee recruitment and retention much works to ensure continuity of service.Two estate forcing U.S.corpora easier. Chase Bank, for example, recently power grids, backup generators and an tions in central business announced that more than 3,500 customer uninterrupted power supply also are fea- district (CBD) locations to service employees would be relocated tures critical to intensive customer service re-evaluate their real estate strategies? outside New York City. Houston and operations.Power failures and data inter- Absolutely. Arlington, Texas are the beneficiaries of ruptions will result in extreme customer After many years of unprecedented this relocation, each receiving more than dissatisfaction. growth and productivity gains, Fortune 1,000 new jobs. In Arlington, its office In today's offices, it is common practice 500 companies are now looking at low- will be located in a 85,000-square-foot to provide indirect lighting to minimize cost real estate alternatives. The most floorplate structure in a two-story,tilt-wall the glare associated with computer obvious is to migrate office workers from facility.The 175,000-square-foot call center monitors. Lower lighting levels of 30- CBD locations to satellite offices in the is a new prototype for Chase. to 35-foot candles reduce the eye strain suburbs. Typically, corporate real estate that often accompanies computer use. groups will target support operations,such MALL-TO-OFFICE Enlightenemanagement views workplace as accounting, call centers and customer A suburban retail mall may seem an design as an opportunity to enhance worker service. Architecturally speaking, office unlikely place to relocate office workers, productivity and retain valued employees. trends fall into three primary categories: yet the hidden value in such a venue is Careful thought goes into evaluating the new, large-footprint workhorse buildings two-fold.First,competitive pressures have appropriate amenities for the work envi- with floorplates of 50,000 square feet or discounted the sales price of malls,and in ronment—amenities that will allow people more;redevelopment of troubled suburban some cases, forced foreclosures. And sec- to feel good about the place in which they malls; and recycling of stand-alone, big ond,malls have parking ratios in excess of work.Management is investing heavily in box discount stores. five spaces per 1,000 square feet, making the design of on-site food service and day them extremely attractive to high-density care, highly desirable perks that earn BIG FOOTPRINT office users. These two hidden-value employee loyalty. To accommodate the desire of corporate characteristics have stimulated interest in Employee comfort is enhanced greatly firms to migrate customer-support opera- developing suburban malls into technology by specifying ergonomically designed tions to satellite offices, developers chal- centers. furniture such as articulated keyboards lenge architects to come up with office Dallas-based Provident Realty Advisors to prevent carpal tunnel syndrome, design solutions that are more efficient recently purchased Westwood Mall in adjustable chair and desk heights to and less costly.Large-footprint workhorse Houston to attract high-density office reduce neck and back strain and supple- buildings are a natural response to the users.The 600,000-square-foot mall will mental task lighting, all of which con- challenge. target call center, customer service and tribute to a much more productive and In one instance, Houston-based Ziegler trading operations. At 25 to 30 percent attractive work environment. . Cooper Architects responded to Trammell discounts to CBD office rents, the tech- As we look into the future of officing, it Crow Co.'s request for a new 250,000- nology center will be an attractive real will be incumbent upon management to square-foot building by combining two estate alternative. provide effective and attractive office envi- 25,000-square-foot floorplates, designing ronments to help recruit and retain valued them to share an elevator lobby and stairs. BIG BREAK ON BIG BOXES employees.The most successful companies The end users of the five-story building Recycled big-box discount stores offer a will be those that balance quality-of-life find the enlarged floorplate design both third alternative to expensive CBD rents. issues with cost-effective workplace design. flexible and efficient. By keeping the From a design standpoint,large-box foot- There is no question that this trend will structure under six floors,and eliminating prints of 150,000 square feet or more continue the migration of customer-service a second elevator core and a second set of uniquely satisfy the user requirements for operations to specially designed work envi- stairs, the construction cost realizes a 15 call centers. Abundant parking, expansive ronments in satellite locations.•:. percent savings. On the interior design of floorplates and 24-foot-high ceilings this type of office building,it is not unusual make for very flexible interior planning. R. Scott Ziegler,AIA is founding principal to achieve an additional 15 percent cost To attract high-tech users, developers of Ziegler Cooper Architects,a Houston-based savings by reducing space requirements must be prepared to incorporate raised firm involved in the design of high-and low- through more efficient open office design. flooring to easily accommodate the instal- rise office buildings,high-rise condominiums, For most corporations, cost savings are lation of voice and data lines. It also is retail facilities, educational institutions and not the only driving force.Locating satellite common practice to provide each call center corporate interiors. nc•pirr&INDUSTRIAL PROPERTIES • FEBRUARY 2000 __ • • 6 . . ) - r AD INDEX • BRANDYWINE REALTY TRUST MORGAN STANLEY&CO. ' PAGE 9 PAGE 37 Call 610-325-5600Call 212-761-7298 CATELLUS DEVELOPMENT CORP. OPUS NATIONAL LLC. . 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PAGE 53 WebSite:httpi/www.handi-hut.com CALL 800-321-8770 ext.6547 3 Grunwald Slr«t,Clifton,N.J.07013 Fax:973-614-8011 63 OFFICE Sc INDUSTRIAL PROPERTIES • FEBRUARY 2000 4 • . - Fact Sheet on Elgin Technology Action Team March 8, 2000 0. • The Technology Action Team in Elgin is a broad-based community , �rt ��, effort to provide access, training, and investment for the Elgin area to ;� 6)/)1;G capitalize upon its role in the new economy(the transition from our �Ge� s• o � traditional "watchworks" to"networks"). *Q' • ds� • Background 0 ` 5��, ✓ TAT formed by Elgin CityCouncil in November, 1999; s• \.() • g o. a recognizing the need to coordinate the transformation of Elgin v into a vibrant regional technology center populated with a cb9i \p• ��' number of small internet, software and consulting companies and • simultaneously create a fully wired community with first-class technology infrastructure,educational system,and business community. ✓ TAT focused on business development; work force development and education; infrastructure development;coordinated government policy. ✓ Recognize an urgency to establish the area onto the leading edge of technology and e-commerce. Timing is perfect to fit the effort with conditions now to invest in Elgin's urban core riverfront and downtown, a traditional role as a population center with transportation, support services, architecture and space. Commitment from the City with money,ready to match strategic investments with resources available from successful Grand Victoria Riverboat and other sources. ACTIONS AND PLANS ✓ Hosted February Policy Makers Summit, inviting elected officials and administrators from all surrounding jurisdictions providing update on the TAT and inviting participation to provide value for citizens served by all our government bodies. ✓ Met Ameritech officials and toured facility in downtown Elgin offering high-speed DSL service now. Emphasized need to market availability for businesses and residents in the core as competitive advantage and assurance of new technologies being introduced here because of demand. ✓ Met with utilities to gather information on current infrastructure and plans for future upgrades. ✓ Developer Summit at Elgin Business Conference Center for real estate brokers,developers,and business owners. Venture capitalists from divine interVentures(already raised$250 million for investment in the"Silicon Prairie")to provide keynote address. ✓ Branding and marketing campaign featuring the e-elgin logo;developing standards for businesses,buildings,and residential neighborhoods to earn a unique designation of e-elgin certified. The program, similar to historic buildings earning designation on the National Trust Register of Historic Places, would set an identifiable standard for recognizing a property as having high-speed, reliable technology and Internet access with trained and proficient users. ✓ Incentive matching program to be adopted by the City Council for business owners to provide reliable,high-speed electronic wiring and power. ✓ Develop a Community Technology Center to provide Internet access and training to all Elgin area residents. • ;•. 1:1 FIf 1 — Aft i February 14 , 2000 r. I.1711kt .� fi f: it i ' —. 1a' • TO: Mayor and members of the City Council sr s FROM: Keith Rauschenberger and f Ruth Munson, co-chairs, Technology Action Team SUBJECT: Technology Action Team Presentation Growth of the new technology-driven economy presents a unique opportunity for Elgin to become a leading regional technology center. As a technology center, the entire Elgin area will benefit from higher economic growth, better paying jobs, more private investment capital and better educational opportunities for all our residents . The Elgin City Council should be applauded for recognizing and acting to capitalize upon the impact the new economy will have on our future . In November, the City Council formed the Technology Action Team to review Elgin' s current position and make suggestion to move us toward the goal of becoming a connected community. The Technology Action Team includes citizen volunteers from throughout the community and is charged with making policy and investment recommendations for the City of Elgin. Many cities are recognizing and acting upon the changing dynamics of the electronic global marketplace . Elgin has many assets and a competitive advantage at this time but all government and civic agencies must act quickly to capitalize on this opportunity. At the City Council Committee of the Whole meeting on February 23rd, the Technology Action Team will brief the City Council on its goals and activities including our plans for a developers summit, technology incentive recommendations and e-elgin, our marketing/branding program. It is important that we develop an ongoing dialogue with the 4:7 Elgin City Council and other elected and appointed leaders . Board members and executive directors from governmental agencies and educational institutions are being invited to attend. • . 0 0 For Discussion e-elgin Incentive Program TECHNOLOGY GRANT Use funds from the City's already established incentive program. Downtown commercial property owners and downtown business owners can qualify for up to 50% of capital costs not to exceed a total expenditure of$30,000 in funding for technology infrastructure improvements that include installation of new Category 5 or better wiring, upgrade to Category 5 or better wiring, backup power generators for technology equipment, high speed internet access capabilities including necessary hardware or other technology infrastructure improvements approved by the Technology Action Team and City Council. (Does not include computer equipment, but could include routers for DLS service.) High-tech businesses relocatingto downtown Elgin and downtown-based technology companies that are growing and looking to remain in downtown Elgin, are eligible for 100% rebate of the costs associated with moving interaaLinternet access infrastructure and installation fees associated with moving DSL and T-1 service. Downtown commercial property owners and downtown businesses are eligible for up to $2,500 annually in co-op advertising funds when they promote e-elgin in their ads. This grant will pay for 25% of advertising placement cost up to $2,500 annually. To qualify, ads must bear the e-elgin logo and tag line as provided by the Technology Action Team. 21142.000 441 IL / 61P, ��� .09 Technology Action Team Committees ,p db EducationlWorkforce Responsible for the creation and implementation of the Community Technology Center, Seminars &Roundtables, and technology-related workforce development initiatives. Projects to date: Developers Summit, March 21. Policy Responsible for coordination and communication with policy makers at City, County, State and National levels.Also responsible for advising Elgin City Council and City Staff on technology- related issues. Projects to date include:working with State Legislators concerning Sales Tax and the Internet. Resources Responsible for obtaining funding for Technology Action Team initiatives (private and public funds) and establishing long-term financing structures. Also responsible for the creation of the Technology Incentive Programs and the Business Incubator. Projects to date:development of Technology Incentive Program for downtown businesses and identification of Private Venture Capital Funds. Marketing Responsible for developing and implementing the e-elgin marketing and branding program to promote Elgin as a high tech center. Also responsible for public relations and maintaining the e- elgin web site. Projects to date:logo design and marketing of Developers Summit. Infrastructure Responsible for identifying technology infrastructure we have in place now and what we will need in the future.Also responsible for assisting commercial building owners and developers ev- with technology planning. Projects to date:development of needs assessment tool. Date: December 10, 1999 To: Mayor Schock City Council Members City Manager, Joyce Parker From: Keith Rauschenberger, Co-Chair, Technology Action Team RE: Technology Action Team ("TAT") Purpose: Provide an update upon the goals, organizational structure and activities of TAT. Background: Since its original organizational meeting in November, TAT has evolved into a diverse, enthusiastic, and representative group of committed participants. Team members believe that Elgin is uniquely position to benefit from the ongoing technology revolution taking place in the U.S. economy. Furthermore, based upon its activities to date, the Team believes it is essential to move forward in an expeditious manner in order take advantage of these opportunities and to guarantee that the City of Elgin remains competitive with other regional cities, such as Peoria, Chicago, and Evanston that have already organized-similar efforts. The Team has identified the following goals and objectives: 1. Identify, pursue and promote opportunities to further both economic growth and community development in Elgin by taking advantage of the shift in the national economy, specifically the shift toward e-commerce, the Internet and the convergence in telecommunications. 2. Advise, assist and recommend policies to the City Council on issues of technology. 3. Promote Elgin as a regional technology center. 4. Help develop a Telecommunications/Technology Strategy for the future. TAT will have an 18-month term. After which, the Team will make recommendations to the City Council on how to proceed on a more permanent basis. The following working groups have been formed: 1. Education/ Work Force Development 2. Infrastructure 3. Policy 4. Resources 5. Public Relations Page - 1 of 2 - Founding Team members are: • Keith Rauschenberger, TAT Co-Chair DNA Member, Local Business Owner • Ruth Munson, TAT Co-Chair City Council Member, Downtown Business Owner • Ray Moller, Director of Economic Development, City of Elgin • Jeff Massey, MIS Director, City of Elgin • Chris Manheim, VP of Economic Development, Elgin Area Chamber of Commerce • Jim McConoughey, Managing Director of Corporate and Community Relations, ECC • Craig Larsen, Senator Rauschenberger's Office and Local Consultant • Rob Stackowiack, Oracle Additional participants will be invited to become involved when necessary to meet objectives. Participants are expected to include individuals from U-46, Gail Borden Library, Judson College, Kane County, State of Illinois, business interests, residents at large and others. Initial efforts include: • Organize several focused educational seminars, meetings and panel discussions to publicize Elgin as a high technology center and to educate the business community, policy makers, and residents as to the opportunity. • Develop a multi-media City of Elgin website ("e-Elgin"), to help market the City and to provide citizens with more functionality. • Evaluate existing and potential infrastructure to remain competitive. • Create a marketing pitch for Elgin as a high tech center. • Coordinate supportive educational efforts through ECC, U-46 and Judson. • Make long term policy recommendations to the City Council. Recommendation: To proceed, we respectfully request the City Council's ongoing support of TAT as a flexible working group (as currently organized) that will pursue its detailed goals over the next eighteen months. TAT will actively recruit additional participants and resources as appropriate, it will regularly report back to the City Council on its efforts and upon the completion of its term make specific recommendations as to how the City of Elgin should proceed on a more permanent basis. Page -2of2 - 60. Technology Action Team Policy Maker's Briefing February 23,2000 The Vision • we can transform Elgin into a vibrant regional, technology center....populated with a number of small internet,software and consulting companies,and.. • ...simultaneously create a fully"wired"community... with a first class technology driven infrastructure, educational system,workforce and business community... e-elgin...watchworks to networks • Economic&Community Development • Created by the'New Economy' • Economic Benefit-New jobs,better pay,growth.. • Risks—Not acting or not acting immediately • Technology Team focus • Business Development • Work Force Development/Education • Infrastructure Development • Government Policy 1 Agenda • Tech Team Focus • Economic Opportunity-New Economy • Workforce Development • Infrastructure • Government Policy • Urgency • Specific Strategies&Activities • Unique Center City Opportunity • What Specifically is the Tech Team Doing? • Summary • Close Focus - Economic Development • An industrial revolufion..based upon THENEW growth of intemet and convergence of ECONOMY'' PC,Telephone and TV... • Evidence-Its all around-dotcoms,e- r^.•°'Abib 1n mail,e-tailers,palm pilots and e- ,,n �' a"76.-1 u us., commerce 5 The New Economy..by the numbers `•' _ y y�4 n.e. • B-to-B sales will grow from 5131 Billion „ ... ,..w in 1998 to over 51.5 Trillion by 2003 • 56 percent of all businesses sell "• products on intemet,today! — • Technology sectors are growing at twice the rate of the overall economy • 45%of investment is in technology .411111111111 .mil'' I • TAT is working to attract high tech companies 2 Focus -Workforce Development • Ford Motor Co.--gives$350mm in PC's to workers • Benefits? Risks? • Three Aspects • Tech Savvy workforce/Universal Access • Access to life long training • Trained Technicians • Community initiatives started • Tech Team-coordinate,support&maximize Focus - Infrastructure • Internet backbone-broadband and reliable energy • Fiber Optics,DSL,cable modern&wireless • Advantages • Essential as access to Route 90 • Competitive,but? • Wred-Business,Schools,Residents&City • Affordable and state-of-the-art • Tech Team • Dialogue with utilities—our share of technology • Maintain flexibility,but maximize e-elgin leverage ------- --------• Future recommendations to City Council&other policymakers Focus- Government Policy —Laws&Codes to encourage high tech growth —Planning-consider technology from both an economic and investment perspective —Issues-equal access,public safety&tax —Potential for more efficient and cost effective public services —Tech Team-study and make recommendations 9 1 3 Why Now? • Economy • Internet Speed • Competition • State • National • State efforts • Downtown Elgin is unique in its potential! is Now lets get specific • Unique opportunity S�����" Center City ••" " • Our current activities WNTQWNNElGHBORHOQt) A Historic Convergence New Economy _Resources E1gm Past Will&Ene a A Elgin Present) 12 4 New Business Model • New Model • Different Needs — Small — Affordable broadband — Flexible — Affordable/Flexible office — Creative space — Entrepreneurial — Unique settings-lofts& — Competitive historic space — Work hard/play hard — Quality of life U A Historic Convergence INew Economy 1 II Resources> Eipin `\ Past-Location I Wilt&EnergY ~ _ , 1-- 1 Present Future .Cade,Wim. -Pirellern nt I r N Att .eationCenter ChAP.ee t__ Good for Elgin • Different Needs=e-elgin —Affordable broadband . DSL,Cable Modems,Wireless —Affordable/Flexible office space . Flexible,available space at various price points — Unique settings-lofts&historic space . Unique buildings,lofts,offices and neighborhoods — Quality of life . Recreation Center,Redeveloped Center Cdy,Bike Paths,Riverboat, River Front Activities,Planned Restaurants Convenient lowtlon to Chicago and Airport,No Commutes 15 5 A Historic Convergence New Economy Resourcesisubin I ,Ueaea; ,l•in �Ein Past 9 r �tA r ,:,. l Elgin Present e-elgin! %, Regional a High Technology 111101111141147,4.04P7Milt +MI"°` OBk x.,ip..a Center °at- .�a. Mt-NIQ1111 inalk� uaoius' m♦Snit Why Downtown? • Unique opportunity • Convergence • Broadband access • Catalyst&focal point for all our efforts • Create economic critical mass • Lessons taken to greater community IH 6 What are we doing ? • SHORT TERM — Policy Maker's Summit — Technology Summit-March 21/00 — Incentives — Utility Summit — Website,Marketing Campaign&Networking — Branding&Logo 19 What are we doing ? • Branding&Logo �4 s� • m What are we doing? • LONG TERM — Assessment-Infrastructure/Education/Business etc. — Create a Community Technology Action Plan • Community wide economic development • Infrastructure • Workforce development/Education • Government policy • Funding/Business Services — Recommend Standing Committee or Director 21 7 Summary-Why e-Elgin? • What--Regional Tech Center—"Wired Community' -Economic Development-attracting high tech co. -Workforce Development -Infrastructure -Govemment Policy Recommendations -Community Wide Acbon Plan • Why- "Watchworks to Networks" -Generate growth-new jobs and higher paying obs -Remain cornpeshve-new high tech,global economy -Attract resources and new investment capital -Better prepared community-Schools,Business 8 Residents -Infrastructure efforts will lead to lower cost more efficient-government, businesses and education 22 Call To Action • Think technology in all planning efforts • Economic • Investment • Join TAT Committees-Coordinated effort • Develop Shared Technology Action Plan The Opportunity is now! GAIL BORDEN CD '• PUBLIC LIBRARY DISTRICT yyth .45• EIt7,61 4614 E L,.G 24 8 11 1 • C7 Ir - „y , ,..,...,;,, Eb L ,, :,:-.77:- -,,,-....,gc---,. -v-,,.,.', : ,.i.,,444 t 4,„,e,-.:r - -...:4,- ' -Iti e TIDO rO �� e" .1 f•+ ,.!7f4 "' v....,,,____. p..ay _-t c.da •' I•.. / FOR CThCAGOtSTOHDRIZO r .4+ s`}r...." ,I'�•: :",. � `4� 't t� �j�i� t, 1�€�.may,• `".. Richard M. adieu. Marlon .-i 'Ai / +;, �w'' `` ;g 'tr4 .- 1, 1 t � ite f. '..-3. _w ii— -,'• rtai 4� �:,,` .F'' 1 • -. _ 11 s V rs ~ 1 ►ii f`t- ik•�1�'�'�- i. -. , .,, . il-:-,, , i;:::-_.. 2 - _..... . it.44,. ,,,,tl ,' 1 - �s _ r.l''` "i.� _^ if if...., r' at.,, 1: t -t.. 1111. un I 1111.7 1 '1 ur ' ar' 111. , * '� .�� / a 111 !111''1.�1 - r k� . 14 — '1 ..:.1 f1I�CoaI\ , Ft ` ��i^� �, Cr _ p0 II jjj...___ ; td In 1 � i {IN ., tY' C: nus - _d gnu i ,.,, "G • Technolo Action Plan: Chicago g r F E o Leade s i •n the Digita Econom os�tcon�ng tie Ct t i 3.' at_ Al Ye y • :.;_. 6 fTW b .. d" i.l flj.,. te t w,. 4. - y s.•.4, No17 .•S Mr �I � '4111r , .rM.{,_tea-..-. „. ;. 1ltd' "` Ma'or`s Councii of TecIinotog ltdwtso� i arc 1 . a epr porf f�gin the Y Mayor ,.. ;'fitlict • � $• 9q arta p r f r air, s�' „, # tear. Th? laijor's Council of T?chnology Advisors TECHNOLOGY TODAY FOR CHICAGO'S TOMORROW Richard M. Baled. Mayor Chicago has unmatched potential to become a technology economy powerhouse in the next cen- tury. To realize this potential, in 1999 Mayor Richard M. Daley formed a unique task force. He called on people with diverse backgrounds: technology industry leaders, university professors, leaders in education, members of world-class science institutions, financiers,entrepreneurs, and job creators.He asked them to volunteer to help him develop initiatives to support high econom- ic growth rates in the City and the region. Specifically,the Council's objectives are: 1 To position Chicagoland as one of the world's recognized leaders in high technology growth among large metropolitan areas. This would be measured by the growth rate of technology jobs,firms and investments in related enterprises. To improve the perception of Chicago as a vital and important technology center, and its commitment to policies and programs that promote sustainable technology-based economic growth. A To use the Council's subcommittees to monitor the progress and maintain the momentum of these initiatives. a To prepare the City's diverse constituencies for the changing requirements of the new digital economy. The Council, under the guidance of its co-chairs, has met weekly since April 1999.This technol- ogy action plan outlining how Chicago can capture and then maintain its technology leadership grew from thousands of hours of volunteers' time. Inside This Report Leveraging Assets and Funding their Development 2 Showcasing the City's Technology Strengths 4 Civic Net:Creating Tomorrow's Internet Today 6 Increasing Our Technologically Literate Workforce 8 Bringing Technology to All Chicago Neighborhoods 10 Members of the Mayor's Council of Technology Advisors 12 More Information Inside Back Cover • r6: .,,,Torhnnlnnv Artinn Plnn• 1. iterfrom Richard H, HT/. Be a Part of Chicago's Technology Future t0 44,• • pF CH/C J :' f `a- J :- OFFICE OF THE MANOR CITY OF CHICAGO RICHARD M. DALEY November, 1999 MAYOR Dear Technology Community: Chicago has the fourth largest regional technology economy and second-fastest information technology (IT) employment growth in the nation. While this is a great starting point, it is an advantage we'll lose if we don't build on it now. Recognizing this, the City of Chicago introduced several programs in 1999 to promote growth in our technology sectors. Working with the real estate industry, we launched a major initiative to create affordable, technology-friendly space for high-tech companies. This resulted in three major accomplishments to date: • Developing the Chicago Information Technology exchange(CITe)-a building that will house developing companies involved in the fast-paced software and Internet markets. • Redeveloping the R.R. Donnelley building into the Lakeside Technology Center- one of the largest Internet and telecommunications facilities in the nation. • Continuing the'development of the former Whittman Hart headquarters into a North • American technology training center. For real change to occur, everyone with a stake in our high technology economic future - educators, Realtors, politicians, financiers, businesspeople and entrepreneurs - must join forces. Our goal is to create a digital economy for the 21"Century that engages all Chicagoans. The Chicago Technology Action Plan builds on work done by the Mayor's Council of Technology Advisors and offers real initiatives on these key areas: • Stimulating the growth of technology startup firms by developing the tools and business climate necessary for them to be engines of new economic growth. • Developing a digital infrastructure that stimulates growth in the technology industry. • • Educating a highly skilled workforce,which is vital to supporting our fast-growing technology job sector and enhancing opportunities for all in the digital economy. • Increasing awareness of, and exposure and access to, technology for all Chicagoans. I am committed to working with the governor, state legislature and our congressional delegation to make these initiatives a reality. I encourage you to join us as we work to enhance Chicago's position in the new digital economy. Sincerely, ti PP • Ma or 1 ^ .L. -°-_.L_r....L__I- J _-u _ • Subcomrni:12? ?porI on7?chnolog'I lndvstri : 1 D I' Io mint K - ,and Accessto Cap] Ial 1IP t6y TO D. Y Leveraging Technology Assets and Funding their , TOR CHICAGO'S TOMORROW Richard M. Daley. Mayor Development • Chicago is internationally known as a birthplace of innovative ideas.This starts with one of the nation's finest Top Five States systems of higher education, world-class public and private universities, and corporate and federal research in Number of Gazelles centers. The technological advances that spring from these sources often are commercialized and used by Chicago's diverse business economy. We need to better understand and leverage our technology assets.This can be accomplished by creating a coin- • munity of interest and support among: 1) Chicago technology entrepreneurs,seeking to form and grow their e :\ businesses;2)investment and professional services industries,which offer critical help to our growing high-tech ' .;•° community;3)venture capitalists,who provide access to early-stage seed capital for promising companies;and 4)real estate developers and brokers,who are sensitive to the needs of technology companies.We also must cre- Gazelles are publicly • • ate strong economic appeals,beginning with examining tax strategies that support technology businesses. held companies with, least$1 million in salE that have an annual compound growth rat Short-Term Initiatives of 20%over the last four years. • •Build on the success of the Chicago Technology Growth Fund:to attract more capital into the market by creating more venture capital funds,and ensure deserving technology entrepreneurs have access to seed Top Five Cities and early-stage capital. by Number of Fortune 500 • Provide a support system for startup companies through the Illinois Technology Enterprise Corporation, Firms - to make certain they have access to the resources needed to grow and create jobs. • Create a technology development focus within Chicago,based on a public and private partnership, to • provide additional resources to attract and retain technology companies. • Sponsor forums between real estate developers and entrepreneurs to ensure technology firms have access to adequate space on terms that allow them to form,expand and attract a talented technology workforce. • Develop innovative policies and programs that encourage companies to cluster in "technology neighborhoods" throughout the City, creating communities that network and share knowledge to mutual advantage. 2 nr..... fi,,. f,. , Fr--; .r: ,1-'II k, • 4 . ,,I ,.- ' •t R i L� ;_ � T. ,1 ll)' li j f IJ 1 ,111' /�t s,,', '` 7 )1111, 11411i1)-1)211.01:n 1 , Wlien •renovations are completed the Lakeside Technology Center • TI st 1-1111,t 3� (jar left,formally R.R. Donnelley)will be the largest planned — -1-1-,_.%: into-net/telecommunications"carrier hotel in North America. ,. �.0 l I - AIII: =11111111%iC%1e—77�e Chicago h for nation Techrtologry Fa change(left)will 1 ti r�' ` l�l 4R . : i _ Ili 1 offer lou=cost,pre-wired space with support services to foster tech- INF' f.' , V :. : r 111 . 111111;" --ii-----.1 •y'_�:!- nology ventures—called"technology incubators". And The li `-j _ 11 = Whithnan Hm t Corporate Headquarters s and International 'till.'"c-`.` • .r f f i : i y I 11:11111ll Training Facilit},(below)will house over 2,000 high-tech workers d j11``�' r 1 in one of the nations fastest growing e-business and technology ,-o.�. I ° • 00; ,li W.,...1,-,..2.1.-......... consulting firms. 2-1-- Y 1 ' ? • Leverage Chicago's world-class transporta- tion and digital infrastructure to create "e-commerce distribution hubs" that t , will serve as a symbol of Chicago's high - technology community and a vision for - -•- - future development. °- r • Review the current tax structure and look =. - ..t ;; 3 i F. for ways it can be used to encourage tech nology companies to form and expand with- in the City. Long-Term Initiatives • • Create innovative technology transfer policies and programs within our region's research universities,to ensure the products of their efforts are licensed and commercialized to drive economic growth. • Study the potential of tax-free technology districts, and tax credits for technology R&D and train- ing expenditures. • Encourage the development of more physical assets in Chicago to house and nurture emerging tech- nology companies such as Habitat 1.0 on Goose Island. ' t - , 6111. -,. %.r i si F 4;-:,..?,,..,, - Is Habitat 1.0, on the drawing board i� ,_ ' y_ for development at Goose Island, is - an example of how the private sector ,t is nurturing high-tech companies. 3 Positioning the City for Leadership in the Digital Economy • Subcommittee Report on ilarliteting Chicago as a Digital City; TECIINOLOSI Showcasing the City's Technology Strengths r0I)AY FOR CHICAGO'S TOMORROW Richard M. Galey. Mayor • Chicago's digital economy has the seeds for outstanding technology leadership: innovative ideas, investments Top Five Regions in technology infrastructure,and a skilled workforce. by Technology Job Growth We need to market this message to the rest of the nation by"branding"Chicago's technology assets and qual- - - ity of life advantages.Other regions with fewer resources have done this with great success.We will take a pro- cfr�`°� fessional approach to this process by hiring high-tech marketing communications firms and supporting a Jo�oS CJS multi-year program. �a 1J,o Short-Term Initiatives • Co-invest with the private sector on marketing,advertising and public relations activities that highlight Chicago's technology advantages and target the national high-technology community. • Recruit and retain paid public relations and advertising agencies that will bring special expertise to the City's marketing program. • Pursue an active media relations program,presenting Chicago's technology leadership story at national events in and out of the City,and in the general news,business,and technology trade press. • The Mayor will drive a technology leadership-networking program by holding fact-finding and intro- Top Five States by Number of ductory meetings with leaders of the national and'global technology community. Technology Companies Cab `Soy Long-Term Initiatives Lb • Continue the local communications campaign to mobilize Chicagoans'support to make the City a high- y� o� z� technology hub. � o� r�5 - '''cry,'' ■ Retain an independent auditor to monitor the effectiveness of the marketing program. 4 `�� High-techjob help 1.,,`a` RwYv ,s '''',: a...� . f 9):•�. _,�... _~ ..Y.. Y 1'`' ....cr...._ ! A 0 } Loo 3t formation center South 1.13,0P ------=______________--*--...-..,--..,,... �- '• ` •er ., - Daley unveils P _ .`:= / - "~ :would boost fir - �- .� _ Tech cent " .M, �e -- 1 �` tnettin =aam , .. _ t � g Calif - . -- t.�.�: __1 CO p eco r, network firm .._ - " ���, ✓/�CQI-w., ,,A� F.' n:u a on. 2,.. +�..i4 , Ast�,k*'- --�iy-�-i'.. ':-- !y+� ®.e:-Vis^ -: sem./\\"L ,r.` ` "ti I c.,0„,, f..t' -,^._",�„.�,ri .✓ ..w^.`- o'er^”" ... Chugs is ,..•, ^;,,• ... •✓ Or 0, � smonq the Ilral M0..........0.;:. / Oar •Y ...."� ,� o o... O ! sl IS US.cities \� . 's+--i�.• ,.: •. in EquiniC :..', \\V\ - - - 6 .,/ punned nelwark""����\\\ \. mlo tr•' a S S. lit:......: •� "....;,.'r ",. ul Wnternet �>``\V -. S,N S• �, .....r•, business u�d \. , -- In Y----------" ®........... .•*`(+{'�� Historic r^.: exch+nqu"� \ \a, jl /.1:'' $tlICU(1 ls�-7•' illiltoll�.' W \ ,,,:40..,_. ‘,..--9.;,. e debuts ,.,i . Daley high-tech: ,:-� : ,i. - `,��- ; i'h�9 tech Old plant �) 1 i -- �, { 'tee � `xq to blossom , (E a Imo'`.: °, �' •� �. , ° ,•••A,•.--‘*".._!.!—`? e�.ue yl i a4,,,mLnkad Press site` -:�tt:leeEEe �t�.,:. r�'„c4. 4 e'7 "t off° 00°" ° \. 'Vie= - ,sem 10' y,.� ,'r s✓.,-. F*044'.6 rt 7-1 0Pain going, . ., ,: 't • Donnelley buil 9 ::•`:- p�11. f1i.'Im !1111111 1111ui �y !Ili ,li �'_ — t11.4 ma- II I s•� 5t- i ... Cs _ _ .,s 11-41„. BgF::�+a;c {S i PIr { �'• I ir,i . .,-1; -:-...".• 3 �ni i {ti' ; :E l • ' .0 .,at. ;L - `� ,� I {-f .r: [ci r : Tilulji I, "`- -i•Rin�' i--:r * L i0llittt t-ems - . ,-:.s ....:2_..:..:-- --0,71 _ i. ' •. . T '" • • i':- , _ .. [�+�U(.( -.7---11.5"...-•- � sf--�_ ., s Ill tc, ..� __ , ,Y Once known as a manufacturing and financial cen- ter, Chicago's economy is now being defined by - <• ;. technology jobs and companies. Today, according. . €` to the American Electronics Association, the State of -' s Illinois is the second fastest growing technology 7. R"J-<. `�-'�' .,. =economy in the nation. J6. - Positioning the City for Leadership in the Digital Economy i Subcommittee Report on City Infrastructure: TECHNOLOGli Civic Net: Creating Tomorrow's Internet Today "rco nAY FOR CHICAGO'S TOMORROW Richard M. Paled. Mauer Chicago has one of the best information technology infrastructures in the U.S. It has the world's highest vol- ume Internet traffic exchange,the world's only interconnection point for international advanced networks,and is a world leader in deploying next-generation Internet capabilities. Chicago traditionally has been a major transportation hub. It is now a world leader for digital information exchange—a foundation for the 21st Century economy.Through its Civic Net,Chicago will continue,to use advanced information technology infrastructure to stimulate business growth and provide greater opportunity for all of its citizens. Chicago will lead the metropolitan community in designing and deploying the infra- structure required for leadership in the digital economy.This goal is key to our efforts to attract and retain top business and talent. • Short-Term Initiatives 1 • Establish "Chicago Civic Network"—a public/private network— an initiative that will design, develop and implement a high- .,•,1__._5%-t, 1••+ • Thnobe 9uline". m. •• t ,n Chicago performance infrastructure throughout the City. Civic Net will be a7 ~rs.._•• • N s • %. • -�•t next-generation Internet with advanced capabilities for voice,video, `r •• •; • .•i;,••. o • •.• .:••„:!.. .t • and data.It also will be a model for the greater metropolitan region. • s ••••8t.• • •�• ■ Use Civic Net to provide additional government services through the • . IP. , •. • •1i Internet to meet the needs of citizens and businesses— including . •:• r •• • • • • new innovative services. • .s••• • •. # .i • •• Use Civic Net to provide enhanced communications to all Chicago •r _ , •. • communities and neighborhoods and easy access to public and pri- }_ • r •• •vate resources.Three showcase sites will be established to demonstrate • ' • ;�: • •advanced capabilities and services. -u• • The number of technology firms in Chicago increased 41%in the past jive years to about 8.000. ----- ----- 6 . • h :' . — • • .,'�o1 ,b ; • • W •,. , , . 4. f , • ' ' • a i .� . •0 le , , • • • • •' t • • - • • 1 l 0 ' • : f • `a • .. •"1 ' ,• •, � • ••Q• • • . r , . • • 4 ••• • ••t. • •, A , . : • • • • • /• •'" ,,j%zt • • 10 • a. ' • :: •i• f , w. •,'! / % -•', 40, se • ..",:1-17tNr / l • y s� 4,. 1/ /' •'' % • '.-/-. v ;F.:14''''y,g'. t - / / ' / ' ' 1644..• f t 9' �� il r i fes'�+, - .-;S i' y. Chicago recently ranked 11th of 313 metro statistical areas measured by economic vitality and productivity.Ensuring it has a sound technology infrastructure•astructure will help the region improve this standing. • Establish"Digital Business Express"as a one-stop service for all information technology needs. • Create a freight and distribution communication hub to eliminate congestion and significantly improve efficiencies,especially in exchanging information among air,rail,truck traffic,and container operators. This goal will support the growth of e-commerce and position Chicago as an major e-distribution hub. Long-Term Initiatives • The City of Chicago will develop policies and procedures for coordinating all technology capital infra- structure activities. • Extend Civic Net to every resident and business in Chicago through a common high-performance infrastructure. • Expand Civic Net to include additional government services, from payment management to resi- dential permits. • Link the City of Chicago to Illinois Century Network and other metropolitan, state, national and global networks. 7 Positioning the City for Leadership in the Digital Economy r d rt Subtornmitt?' , ?port on Nutation and W orliforc2 a Drnioprnnt; ",1 TOD,AV Increasing Our Technologically Literate Workforce FOR CHICAGO'S TOMORROW Richard M. paled. Magor Chicago ranks high not only in the quality of its colleges and universities,but also in the percentage of students Top Five Cities Top Five States by by Number of who graduate from high school.Combined with its"The City that Works"ethic,this provides Chicago with an Number of Science Major Universities and Engineering excellent pool of employees. Doctorates Awarded • Our most critical challenge is to educate a large, technologically literate workforce to meet the demand for `O'° ,z employees in the 21st Century digital economy.We want to capitalize on technology's potential to improve the 0 0 °c lives of all Chicagoans by making new approaches to education possible. This will allow us to support allo�5 technology industries—particularly information technology fines,which are leading company formation s • and job creation in Chicago and throughout the six-county metropolitan region. Short-Term Initiatives • • Work closely with the Chicago Public Schools and other public and private sector participants to create a five-year plan that integrates technology in the service of education. • Since initiatives are hollow without funding,develop private and public funding to provide significant financial support for improving technology in the service of education. • Establish a"technology cluster"in the Chicago Public Schools'Education to Careers Office,to improve its focus on technolory-based skills and to increase the number of programs available to its clients. • Develop a pilot after school program called"Careers in Technology" for the Chicago Public Schools, exposing students to innovations and opportunities in the technology industry. This program will be operated by heads of private sector technology companies in the Chicagoland area. • 8 • 4 t'ilj 13 1OM 11 -- - ---- r .z..1, .. Fir ,... ,.. .... ..,. , V - v .�``rI 11itifit`iF i r�J. /� s �, 1 t.' . . ,.: (/ Y/NY - ,_ , ,/ M . 1 W ac A. • . / , / 4., . .."-'.- l'' •••' .A- ./ • ------------ ------- -.-"'-7" Illinois'workforce boasts the sixth largest population of doctoral scientists and engi- neers. This is one reason why Illinois ranks fourth in the number of patents award- ed by state. Long-Term Initiatives • Establish neighborhood technology partnerships — among schools, local museums (such as the Museum of Science and Industry),community organizations and institutions—to develop goals and support for technology programs at the Chicago Public Schools and City Colleges of Chicago. • Create"Silicon Seed",an innovative approach to workforce development for the City Colleges of Chicago. Through Silicon Seed, local technology companies will recruit, train, and mentor qualified student interns in a real-world environment. • Work with the Mayor's Office of Workforce Development to initiate a program that matches dislocated/ displaced workers with technology job opportunities,and develops the corporate-subsidized training they need to make the transition. • Explore opportunities to create initiatives at Chicago universities that strengthen the connection between technology students and local job opportunities,finding ways to keep promising talent in the City. 9 Positioning the City for Leadership in the Digital Economy Subcommittee Report on Bridging the Digital Divide: TECHNOLOGY Bringing Technology to All Chicago Neighborhoods -,-0 MinkIfr FOR CHICAGO'S TOMORROW Richard M. Galea. Magor Chicago is notable for its many efforts to provide opportunities for all of its citizens.The City's goal is to engage everyone at every level in the digital economy,providing equal and fair access to new technology and the infor- mation superhighway—and the opportunities they offer. We need to bridge the gap between the"technology haves" and"technology have-nots".This can be done by increasing education,access,and the opportunity to benefit from technology throughout the City.Our challenge is to overcome these barriers—language,location and income—to leverage exposure to technology educa- tion and access in all Chicago neighborhoods. • Short-Term Initiatives ■ Establish a coordinated,City-wide program to actively recruit corporate donations of complete packages of technology equipment and services that meet the needs of community-based organizations.We also must be accountable for their deployment throughout the system. • Partner with existing resources in the libraries, police stations,park districts, museums, community- based providers, and City College laboratories to create community technology and web centers.These will have broadband Internet access and the links that enable the centers to expand and leverage their programs to fill the"digital divide". • Implement innovative technology programs at the neighborhood level to recruit,train,hire and mentor young people,ages 15-21—similar to the internationally acclaimed Gallery 37 program for the arts. 10 • i ,((tea ~1 4,--1; ': ._ _ . 'I ----..4,z.,••• -•....,� No 1 E 1. I >: ( .' : . ...'N‘.,i \t4.,..., Ar.-1`!.. ' , --40,211 .,. • By 2020, Chicago's population will be 33% White/Asian,33%Black and 33% Latino. This plan will help ensure all are exposed to technology so they can build a better future for themselves—and Chicagoland. Long-Term Initiatives ■ Create community-based,easy access,very low cost training programs that are competency-based and end in"Certificates of Achievement",whose value is recognized by business. • Explore innovative policies—at the local,state and federal level—such as tax credits that provide incentives to people and companies to train technology workers,donate equipment,or provide services. *' -'ki" - l\ ' - :; _ _ tT !.i _�_li c� —.+y }-:_+-moi- i = Lwow 11 Positioning the City for Leadership in the Digital Economy l2mb2rs of'th? 'layor's Council of Technology Advisors ....y- FOR CHICAGO'S TOMORROW Richard M. Baled. Manor Chairman, Richard M. Daley, Mayor, City of Chicago Co-Chairmen: Stephen C.Mitchell Elizabeth A.Boatman President and Chief Operating Officer Chief Information Officer Lester B.Knight&Associates,Inc. City of Chicago Robert F. Bernard* Chris Hill Caroline Sanchez-Crozier Chairman and CEO Commissioner Chief Executive and Founder Whittman-Hart,Inc. City of Chicago Computer Services&Consulting Inc. Michael D.Blair Dennis Keller Michael J.Silverman Chief Executive Officer Chairman and CEO Partner Cyborg Systems,Inc. DeVry,Inc. Duane,Morris&Hecksher LLP Matthew S.Brown** Walter K.Knorr Deborah Strauss* Capital Partner Chief Financial Officer Executive Director Katten Muchin&Zavis City of Chicago Information Technology Resource Center Lewis Collens** Richard D.Koeller Thomas V.Thornton • President Chief Information Officer Past President , Illinois Institute of Technology Chicago Public Schools The Illinois Coalition Casey G.Cowell Tim Krauskopf James C.Tyree Chairman and President President and COO Chairman and Chief Executive Officer Durandal,Inc. PC Quote.com Mesirow Financial Robert J.Currey Michael C.Krauss** Enrique R.Venta,Ph.D. President and Chief Executive Officer Principal Dean 21st Century Telecom Inc. Diamond Technology Partners Loyola University Thomas A.DeFanti R.Sean Lapp** Thomas Walker Director of EVL Chief Executive Officer Commissioner University of Illinois at Chicago I-Works,Inc. City of Chicago Andrew"Flip"Filipowski • Joel J.Mambretti,Ph.D.* Donald G.York Chairman and CEO Director Professor Divine InterVentures Northwestern University University of Chicago RickMaria Martinez Partner Vice Vice President *Chairperson of MCTA Subcommittee Co Chairperson of bICTA Subcommittee Arthur Anderson Motorola,Inc. William D.Gainer Cordelia Meyer • Director of Government Relations Vice President,Civic Committee . Ameritech Corporation Commercial Club of Chicago Staff to Council: Jose Garcia Thomas J.Muscarello,Ph.D. David M.Weinstein,Staff Director to Council . Area Vice President-Govemment/Education Assistant Professor Assistant to the Mayor Oracle Corporation DePaul University City of Chicago Jeffery Gathe Paul O'Connor Michael Jasso Principal Executive Director Director of Technology Catalyst Consulting Group Chicago Partnership for Economic Development Chicago Partnership for Economic Development ' Scott L.Goldstein** Anthony J.Paoni Meredith O'Connor Vice President of Policy and Planning Clinical Professor of E-Commerce Director of Business Express Metropolitan Planning Council Kellogg Graduate School of Management City of Chicago David A.Gupta Moreza A.Rahimi Katherine Gehl President Vice President for Information Technology Director of Programs and Policies.ITS System Development/Integration Inc. Northwestern University Chicago Public Schools Louis A.Herman Gerald J.Roper* Steve Philbrick Vice Chancellor of Technology/CIO President and CEO Deputy Chief Information Officer City Colleges of Chicago Chicagoland Chamber of Commerce City of Chicago 12 .. . — - TECH N OLOGIr TODAY FOR CHICAGO'S TOMORROW Richard M. Dalai'. Magor For More Information on The Mayor's Council of Technology Advisors, or how you can help by donating equipment, time, expertise or ser- vices, contact: Office of The Mayor Chicago Partnership for Department of Planning & Development City of Chicago Economic Development City of Chicago 121 N.LaSalle Room 406 203 N.LaSalle2 121 N. LaSalle Room 1003 Chicago,Illinois 60602 Chicago, Illinois 6060 Chicago, Illinois 60602 David Weinstein Michael Jasso Meredith O'Connor (312) 744-9500 (312) 553-0500 (312) 744-0109 Special Supporters We wish to thank the following for their support: The Illinois Coalition Lester B. Knight &Associates, Inc. The Chicago Software Associates The Association of Internet Professionals The Financial Relations Board/BSMG _ The Civic Committee of the Commercial Club of Chicago The Chicagoland Chamber of Commerce - , ,� ,•, • • • t`. , Positioning the City for Leadership in the Digital Economy • r, TEEHNotoG 1:: —rpm VOR CHICAGO'S TOMORROW Richard M. Baled. Magor y OF.CH/Cq� ;JAN o [RI '747ED 4th X228