Bradenton officials want more guarantees before backing Denver-based Innovation Pavilion project

There’s support for Denver-based Innovation Pavilion to construct a $30 million business incubator in Manatee County, but officials are hesitant to invest at least $150,000 of tax dollars toward the project.

Just prior to Spark Growth’s annual leadership conference in February, in coordination with Station 2 Innovation, IP announced it was eying the Bradenton area. IP doesn’t need the money, but co-founder Vic Ahmed believes the small investment is a sign that the city is willing to be a partner.

Councilman Bemis Smith said the city has spent “sizable funds on studies on how to promote economic development and have given incentives way beyond $150,000 to a variety of entities to come into downtown.”

However, other officials and city administrator Carl Callahan raised concerns about language in a non-binding memorandum of understanding IP wants the city to sign.

“Realize there are future commitments as well,” said Callahan, who noted that IP wants the city to fund travel expenses for an unknown number of people to fly from Colorado to Bradenton for an undetermined number of trips. Councilman Harold Byrd Jr. said the city has been stung before by MOUs, referring to the failed grocery store attempt at the corner of 13th Avenue West and First Street.

“In that case, it didn’t happen because it had too many loopholes in it and the developer didn’t make the project happen,” he said. “I’d like more time to get into the details of the MOU.”

Station 2 Executive Director Sara Hand said the city is looking at not only a $30 million infusion of outside capital, but more than $100 million of long-term IP investments.

“The investment is really important because IP believes in working together,” said Hand. “We aren’t asking the city to flip the bill, rather for the city to participate as a partner.”

Hand said IP “loves Bradenton,” and believes it can be the next epicenter for business growth.

“IP would like to come here because they are sold on what a great job the city has done,” said Hand. “They see the assets here that could develop this into an incredible project. They don’t want a blind investment. This is a public-private partnership in how to make the city go forward.”

Councilman Patrick Roff said IP has a solid reputation and, “We’ve been heading down this road for some time now in doing things that make ourselves jump out of the map. This company is for real and we can’t afford not to look at this.”

Roff said he supports the funding, but also called for “an extreme amount of due diligence,” before moving forward. Mayor Wayne Poston also supports the project, noting, “This is all part of the place-making we’ve been doing for years. It fits right into the greater vision we’ve had for Bradenton.”

A vote to partner with IP is likely to come sooner than later, as officials want a better idea of the city’s investment that can be budgeted for the coming fiscal year, which begins Oct. 1.

Innovation Pavilion targets a community and spends about a year doing research on the areas of which a community is ripe for expansion, and then makes it happen. In Colorado, the state wasn’t even on the map for digital health care and in three years, IP grew the state to sixth in the nation.

This story was originally published August 5, 2016 at 11:30 AM with the headline "Bradenton officials want more guarantees before backing Denver-based Innovation Pavilion project."