e-NC Capturing the Promise

1. e-NCCapturing the Promise 2007 Rural TeleCon Springfield, IL October 17, 2008 Jane Smith Patterson Executive Director Joanna Wright Senior Program Director

2. e-NC Authority Established SL2003-425 NC Rural Economic Development Center NC Information Highway RIAA Established SL2000-149 Rural Prosperity Task Force 1995 2000 2003 1999 1993 Board of Science and Technology Hearings and Recommendations What Was/Is the Promise? • More educated population with higher paying jobs. • For NC, this means a focus on technology based economic development with ubiquitous fiber! • The goal: To TRANSFORM our state from a manufacturing economy to an Information economy.

3. Rural Internet Access Authority Goals January 2001 – December 2003 • Ensure local, dialup service available statewide • Complete, and keep up to date, an inventory of telecommunications infrastructure • Establish Telecenters • Identify and establish training programs • Promote increased use of computers and the Internet • Ensure that high speed Internet service is available to rural North Carolina citizens and businesses • Provide Advice and Counsel to the NC General Assembly

4. Economic Development Models Classic Model • Trained workforce • Capital • Water/sewer • Roads • Location • Natural Resources TBED Skilled Workforce Venture Capital IT/Broadband Airports, Universities Virtual/Visible Intellectual Resources

5. TBED-New Economy Tactics • Develop advanced workforce skills • Build public/private partnerships • Build advanced communications infrastructure • Reform the public’s business … E-Government • Create flexible structures

6. TBED Tactics Reflected in State Budget • Develop advanced workforce skills • $12 Million (R) School Connectivity • $3 Million (NR) School Technology Pilot – computers for all teachers and students in 8 high schools • $1 Million (R) 2+2 Joint e-Learning Initiative – UNC/NCCCS • $6.5 Million (R) Learn and Earn – Online classes • $Hundreds of Millions - New or expanded Science and Tech facilities at universities • UNC Online competitive with U Phoenix

7. TBED Tactics Reflected in State Budget • Create Public Private Partnerships • Targacept $12 Million Biotechnology Facility • NC Biotechnology Research Center (Concord) $100 Million From Private Sector And $35 Million From Public Sector • Advanced Research Center For Motor Research (NASCAR) • Connectivity Public Private Partnerships $1.2 Million To Be Matched By Private Sector

8. TBED Tactics Reflected in State Budget • Build advanced communications infrastructure • $3 Million for e-NC • $12 (R) Million for BETA • $37 Million 2nd State Data Center • $5 Million NC Community Colleges Improved connectivity

9. TBED Tactics Reflected in State Budget • Reform the public’s business … E-Government • Funded the further development of BEACON – integrated data services • $7.9 Million (R) for Judicial Technology Initiatives • $55K (R) for Web-based training for the State Board of Elections!

10. e-NC Business & Technology Telecenters Flexible Structures Telecenters are technology and entrepreneurship hubs within communities. Telecenters are catalysts – they transform an area to a 21st century community. Each telecenter has its own unique focus and partners within the project. NC Legislature provided funds again this year to continue support of the BTTs.

11. 2006 BTT Statistics • 1995 Clients served • 292,905 Contact hours for training • $580,474 Money leveraged • $472,653 Business Revenues Collected • 258 JOBS CREATED The Roanoke Center Rich Square, NC

12. Blue Ridge Business Development Center Sparta www.blueridgebdc.org Rockingham County Business & Technology Center Wentworth www.rcbtc.org The Roanoke Center Rich Square www.roanokecenter.org Foothills Connect Rutherfordton www.foothillsconnect.com Tri-County Community College Telecenter Peachtree www.tricountycc.edu/TeleCenter/ New Ventures Business Development Inc. Wadesboro & Monroe www.nvbdi.org Northeast Technology & Business Center Williamston www.nctelecenter.com April 2006 e-NC Business & Technology Telecenters

13. From mills and machine shops to high-tech centers

14. e-NC Business & Technology Telecenters Telecenters are fast becoming focal points of their communities. The following are some of the things our Telecenters are doing to help their communities prosper in today’s digital economy and society. • Transforming traditional economic development into technology-based economic development (Foothills Connect) • Demonstrating to medium and larger size companies that rural communities have the technology, technical, business, and workforce capacities to be desirable sites for headquarters, branch offices, outsourcing, and telecommuters (Quintiles, NETBC) • Creating jobs through developing new income opportunities and pursuing grow-your-own strategies (Construction, Roanoke / Farmers, Foothills) • Nurturing entrepreneurs and small businesses through the provision of technology services and resources and business incubation (NETBC, Foothills) • Providing technology and technical assistance to local governments, non-profit and community-based organizations and assisting them to bring their operations on line and serve clients more effectively and efficiently (Alleghany Co, BRBDC, Foothills) • Providing free public access to computers and the Internet for individuals and small groups • Delivering, in collaboration with local schools, colleges, and universities, a diverse range of excellent education and training programs, tailored to the client’s needs, including technology training, distance and e-learning programs (Machinists, TCCC)

15. Northeast Technology & Business Center • Social Economic Development Entrepreneurial Model (funded 2001) Martin County Per Capita Income: $ 23,528 Population 24,580

16. Northeast Technology & Business Center • Renovated Shopping Center Strip Mall to a BTT • More than 1200 jobs created since 2003 • Consultation services provided to more than 93 entrepreneurs

17. NETBC - Successes • 80000 Sq Ft Building bought for $1.1 million. Syfan Manufacturing-Israeli $8 million and 73 employees • 2005 Leveraged to build equine barn. 40000 sq ft. Horse Show $800,000 • Textile mill donated—no funds to renovate so leveraged again BTT • Textile building now leased to a biofuels company • Carastar closed-textile company- leveraged BTT to buy- Now Microcell hydrogen fuel cell company • Quintiles Largest Drug Data Management Company: In-Farming 60 Jobs Data Center

18. Phase 2 BTTs - Differences • It doesn’t cost as much as we originally thought • It can be started on a much smaller scale • BTT must have a ‘free’ building • Counties need to have some skin in the game in the form of hard cash

19. Foothills Connect (funded 2005) Rutherford Co – Tier 1 – Former Textile Area 2003 - 2006 Pop. steady: 63,300 Employment still sliding SAT rank improving MHI rank improving Poverty rank improving % of workforce in prof & techincreased from 1.7 to 3.1%

20. Foothills Connect: Seizing Opportunities • Charlotte chef knows FC director, Tim Will • Tim knows Rutherford farmers • Brokerage: farmersfreshmarket.org

21. Foothills Connect: Transforming Communities Hands-on ‘low tech’ and ‘high tech’

22. Seizing Opportunities - Transforming Communities • Collaborating and building off of other projects • Pangaea fiber network to connect schools • Strategic Technology Plan for the county • Foothills proposes that the county seek funds to add another 70 miles of fiber to the Pangaea network to connect all the EMS sites and provide wireless access sites to extend broadband access to the un-served areas of the county. • $1.45 million from GoldenLeaf awarded Oct. 2007! • Pangaea (e-Polk) and Clemson: Cross Borders • E2 collaboration with surrounding counties and fiber extensions.

23. Seizing Opportunities - Transforming Communities Using GIS to inform decisions

24. Common Attributes of BTTs • Clear vision and specifically articulated goals • Dedicated, passionate leadership • Focus on technology-based economic development • Authentic collaboration and teamwork with diverse community partners • Realistic, strategic business plan, including specific action steps and benchmarks • Continuous self-appraisal and willingness to make mid-course corrections • Unflagging perseverance

25. e-NC Business & Technology Telecenters In 2005, the e-NC Authority contracted with RTI International to perform an independent evaluation of the four original telecenters. The objective of the project was to evaluate the initial four e-NC Business and Technology Telecenters™ that were established in 2002. The intent was to answer three questions: • What have been the outcomes of the investment in the telecenters? • What has been the state’s return on investment? • How have the telecenters changed their communities? Download the report at: http://www.e-nc.org/rti_eval.asp

26. Blue Ridge Business Development Center Sparta www.blueridgebdc.org Rockingham County Business & Technology Center Wentworth www.rcbtc.org The Roanoke Center Rich Square www.roanokecenter.org Foothills Connect Rutherfordton www.foothillsconnect.com Tri-County Community College Telecenter Peachtree www.tricountycc.edu/TeleCenter/ New Ventures Business Development Inc. Wadesboro & Monroe www.nvbdi.org Northeast Technology & Business Center Williamston www.nctelecenter.com Failures April 2006 Failures & Lessons Learned

27. e-NC Business & Technology Telecenters • Why BTTs fail • Lack of broad-based support • Politics & Territorialism The third lesson is that nothing can be accomplished without broad and continual collaboration among all the leaders in the community. So, while it is fine to come together to write a grant to win funding for a project, the full benefits will only be achieved if all the collaborators indeed continue to collaborate throughout the life of the project and if all are able to contribute to the best of their ability. A corollary to this is the importance of strong leadership throughout the process. (RTI Evaluation Report)

28. 83.54% Connected 2006 DSL and Cable Modem Composite

29. 80 mbps Functional Adults 45 mbps Adolescents 1.5 mbps Toddler Speeds 384 kps – Baby broadband Broadband Evolution: An Anthropomorphic View

30. North Carolina is capturing the promise for our rural citizens! More educated, better jobs!

31. To Reach Us …. e-NC Authority 4021 Carya Drive, Raleigh 1-866-NCRURAL www.e-nc.org