2015 Challenge Finalist

Boise’s Geothermal LIV District

Problem

The City of Boise needed to redevelop part of the downtown area to spur economic growth, while also ensuring that they continue to meet their high sustainability standards.

Solution

Boise will address their redevelopment needs by expanding the nation’s largest direct-use geothermal system by “recycling the renewable” through an incentive program to reuse once-used, lower temperature water. This will result in less electricity use, a reduced carbon footprint, and economic development to benefit all Boise residents. By reusing this recyclable resource in redevelopment projects, Boise will be able to rebuild an area of downtown ripe for redevelopment, expand the capacity of our geothermal system overall, and spur investment that will provide return to its investors, taxpayers, and residents for years to come.

High-Tech Business Investor Tax Credit

Problem

Smaller cities throughout Massachusetts have experienced much slower economic recoveries from the recession, making it harder for entrepreneurs in these areas to successfully launch and grow their businesses.

Solution

Senator Eric Lesser proposed legislation this year to offer a tax credit for investors looking to fund high-tech small businesses in small and medium-sized cities across Massachusetts. The tax credit would equal 10% of an investor’s investment in a business, if the business is a small one located in a Gateway City with 75% of its employees working in Massachusetts. This will encourage venture capitalists and other investors to look outside traditional tech centers like Cambridge and help entrepreneurs in other parts of the state get the resources they need to be successful.

Colorado Crowdfunding Act

Problem

Entrepreneurs today are developing ideas at a pace and in a way that traditional funding sources can’t or don’t want to fund. Many times, these companies are simply restaurant ideas, or local food markets, or even technology companies that need less than a million dollars to make their idea commercial and successful. These new business ventures require a different form of funding.

Solution

This year, Representative Dan Pabon passed legislation, “The Colorado Crowdfunding Act,” to open up the potential pool of investors that startups can approach for funding. The bill allows any Colorado resident to invest up to $5,000 in a company without the need for accreditation. While companies must inform investors of the risk and provide quarterly reports, they can skip the audit and other expenses typically needed to attract investors. The bill will help new entrepreneurs raise the initial funding they need to launch and develop their businesses and help grow the local economy.

Skills That Matter

Problem

With rising tuition costs and high levels of unemployment amongst graduates, college is no longer a guaranteed pathway for everyone to secure a job. Technological advancements and the overwhelming number of unfilled high-skill jobs calls for a revision in how we train future employees to meet the needs of the the 21st century workforce.

Solution

County Commissioner Bridget Gainer has proposed innovative ways to encourage the development of apprenticeship programs that more accurately meet the needs of the 21st century workforce. In Cook County, she has created the first earned credit for employers who create and run a Department of Labor registered apprenticeship program. Having local government collaborate with business leaders, Commissioner Gainer also hopes to help create a pathway for employers to build apprenticeships in non-traditional areas (services and tech industries) where there is projected growth over the next 50 years.

Bridging the Digital Divide

Problem

By providing access to information, connecting people to businesses, and opening up new markets, the internet is changing the economy and supporting economic development. Yet nearly 30 percent of American households do not have Internet access, according to a recent report by the U.S. Census Bureau. Those Americans with no online connectivity are disproportionately old, black or Hispanic, poorly educated, and low income. In order for cities to remain competitive in the increasingly digital world, the internet must be accessible to all residents, not just those who live in digital gated communities.

Solution

Through a coordinated approach, Mayor Andy Berke is leading an initiative to connect more people to high speed broadband to unlock the potential of all Chattanoogans. In April 2015, Mayor Berke announced that the City’s municipally owned electric utility, EPB, would offer low-cost, ultra high speed broadband to low-income families. In addition to increasing access to the internet, the City partnered with a local nonprofit to offer classes around the community aimed at increasing online usage and digital literacy. Participants in the program receive guidance on how to submit a resume online, open an email account, and set good rules about internet usage for minors in their home. By connecting residents to the tools they need to be successful in the digital economy, Mayor Berke is helping expand opportunity throughout Chattanooga.

Citizen Co-Sponsor

Problem

Too often local government lacks an easy outlet for constituents to weigh in on policies that directly affect them. Not having this resource for citizens to get engaged in current legislation hinders the public’s trust in government.

Solution

Assemblymember Troy Singleton established an online tool, called Citizen Co-Sponsor, to help gather input from constituents about what programs and policies matter most to them. Through this new tool, residents can offer immediate feedback on any proposals going through the New Jersey State Assembly. By allowing every citizen to engage in the legislative process by co-sponsoring policy initiatives, this tool is helping increase their trust in government.

PocketGov

Problem

Many local governments lack efficient ways to provide their constituents with easy access to city information and the services they need, resulting in an overwhelming number of calls to 311 systems.

Solution

Mayor Michael Hancock helped launch Pocketgov.com last year, Denver’s online service center, which provides access to city services and information from anywhere, at any time, on any device. With pocketgov.com, users can make a variety of payments, report potholes or graffiti, find property values, sign up for customized services like street sweeping reminders and waste removal notifications, and much more. With new features rolling out every month based on citizen feedback, pocketgov.com is an innovative solution for direct, easy connections to the City of Denver.

Upward Mobility Act

Problem

During the past 60 years, California has moved from an agriculture and manufacturing-based economy to a services-based economy. As a result, state tax revenues have become less reliant on revenues derived from the Sales and Use Tax on goods and more reliant on revenues derived from the Personal Income Tax. As personal incomes tumbled during the Great Recession, state revenues plummeted disproportionately, causing states to cut many essential services such as health care and child care for low-income families when they were needed most. Relying on the wealthiest taxpayers to support California’s needs is an outdated practice and dangerous during hard economic times.

Solution

Senator Bob Hertzberg proposed his “Upward Mobility Act” this year to help reform the current tax structure in order to make stronger, long-term investments in education, skills training, and infrastructure needs that will help ensure that California’s residents and businesses can thrive in the 21st century global economy. The initial goal of the upward mobility act is to explore problems with the current tax structure and discuss reform alternatives, such as expanding the application of Sales and Use Tax law by imposing a tax on specified services, incentivizing entrepreneurship and business creation by evaluating potential changes to the corporate tax law, and examining the impacts of a simpler Personal Income Tax Law. By reviewing the current tax structure and adapting it to meet the future needs of the changing economy, Senator Hertzberg’s plan will help revitalize education funding, jumpstart job creation, and foster improved state finances and business climate, helping expand opportunity for more California residents for many years to come.

Money on the Sidelines

Problem

Each year the New Mexico State Legislature appropriates hundreds of millions of dollars in funds to the Executive Branch for various projects across the state. Yet many times these projects will go years without being completed, if ever.

Solution

As State Auditor, Tim Keller implemented “Money on the Sidelines”, an analytical report that explored how much public money sits unspent in over 700 different accounts held by hundreds of state agencies. In total, the report uncovered $4.2 billion dollars in unspent funds. With this information readily accessible, policy changes are already in the works regarding ways to cut red tape, fully fund projects, and for re-appropriation or reversion of unspent and unusable funds.

Prize-Linked Savings Accounts

Problem

In Texas, more than 1 in 3 households lack a savings account. Additionally, roughly half of all Texas households do not have the savings to be able to cover their basic expenses for three months in case of an emergency.

Solution

Representative Eric Johnson has sponsored legislation to allow banks and credit unions to operate prize-linked savings account programs in which the ticket to enter is a deposit into an individual’s savings account. Prize-linked savings accounts have been proven as an effective way to reduce poverty and increase financial security, which benefits the entire community.

Boise’s Geothermal LIV District

Problem

Solution

High-Tech Business Investor Tax Credit

Problem

Solution

Colorado Crowdfunding Act

Problem

Solution

Skills That Matter

Problem

Solution

Bridging the Digital Divide

Problem

Solution

Citizen Co-Sponsor

Problem

Solution

PocketGov

Problem

Solution

Upward Mobility Act

Problem

Solution

Money on the Sidelines

Problem

Solution

Prize-Linked Savings Accounts

Problem

Solution

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