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$2.00/NOVEMBER 25 - DECEMBER 1, 2013
It’s a ‘work in progress’ Levies spread
support thin Greater Cleveland Partnership wants calendar that avoids deluge of tax issues By JAY MILLER jmiller@crain.com
CONTRIBUTED PHOTO
After nine consecutive years of losing money, Corporate College was profitable in both fiscal year 2012 and 2013.
Ten years after its launch at Tri-C, Corporate College is finally generating profits; has it turned corner at last? By TIMOTHY MAGAW tmagaw@crain.com
W
hen Cuyahoga Community College announced plans about a decade ago to launch a Corporate College aimed at helping companies devise training programs for their employees, then-Gov. Bob Taft lauded the effort as “visionary” and one that would help the state attract and retain businesses. But 10 years later, Tri-C’s Corporate College, with its main outposts in Warrensville Heights and Westlake, has proven to be a drag on the community college’s coffers by operating in the red for much of its existence. Corporate College’s losses peaked at about $1.3 million in the fiscal year that ended June 30, 2009, and it wasn’t until fiscal 2012 that the endeavor turned a profit. College officials — both past and present — attribute Corporate College’s sustained losses to the costliness of launching a new venture, which then dovetailed into the economic collapse of 2008 and 2009 that forced many companies to axe their discretionary training budgets. Still, Tri-C hasn’t chalked up Corporate College as a failure; the school sees it as a venture that needs tweaking.
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See PROGRESS Page 8
TWO SCHOOLS OF THOUGHT A look at the gross profits and losses for Cuyahoga Community College’s Corporate College since fiscal year 2009, when the college’s losses peaked at almost $1.3 million:
2009 $1,298,136 loss ■ Revenue: $3,614,049; expenses: $4,912,185
2010
Joe Roman, president of the Greater Cleveland Partnership, the regional chamber of commerce that plays a key role in convincing local businesses to contribute to tax levy campaigns, is concerned about raising political money in an environment where levies compete for taxpayer dollars and few can be called a sure thing. So, with an eye on important tax issues ahead, Mr. Roman and GCP are looking for ways to avoid the type of tax issue congestion that was
■ Revenue: $3,647,554; expenses: $4,218,226
2012
By CHUCK SODER csoder@crain.com
■ Revenue: $3,599,714; expenses: $4,605,473
2011 $570,672 loss
$329,509 profit ■ Revenue: $3,420,227; expenses: $3,090,718
2013 $461,308 profit ■ Revenue: $3,391,026; expenses: $2,929,718
2014
(As of Sept. 30, 2013) $627,917 profit
■ Revenue: $1,015,142; expenses: $387,224 ■ Source: Cuyahoga Community College
See LEVIES Page 17
Three heavyweights seeking startup cash University of Akron, Clinic and UH are asking for combined $60M in state grants
$1,005,758 loss
seen during this month’s elections in Cuyahoga County. The goal is to bring order and efficiency to the fundraising and campaign Roman processes and thus improve the prospects of passing individual levies. One idea, Mr. Roman said, might be working with government officials on a master countywide campaign calendar to schedule and better space out as many tax issues as possible. The decisions to put levy issues on the ballot “at the end of the day will be made by the public officials,” Mr. Roman said. “But I do think the community would benefit from a decade-long, published schedule that would include expiration dates.
Maybe they’ll get together and invent a knee implant coated with a polymer that emits a pain killer with the $180 million they aim to raise. The Cleveland Clinic, University Hospitals and the University of Akron Research Foundation intend to apply for a combined $60 million in state grants set aside for endeavors that could have a big impact on Ohio’s ability to develop high-tech products. The Clinic wants to beef up its ability to commercialize medical implants and other orthopedic products with help from the Ohio Third Frontier economic development
program, according to a letter of intent the hospital system sent to the state. UH aims to do the same with pharmaceuticals, and the Akron foundation is going after advances in advanced materials, according to letters of intent they submitted. But to secure a grant through the Third Frontier’s Technology Commercialization Centers program, each organization would need to come up with $2 for every $1 in state money it receives. That program is designed to fund big projects that will lead to the creation of new technologies and startups. Starting new companies is the main goal of the Clinic’s proposed Ohio Orthopaedic Commercialization Center. And it certainly has the ambition Third Frontier officials want to see when awarding grants: The goal is to “establish Ohio as the new world leader in orthopaedic product commercialization,” the Clinic’s letter stated. See STARTUP Page 4
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SPECIAL SECTION
WHO TO WATCH Crain’s salutes local business leaders who are employing sustainable practices ■ Pages 13-16 PLUS: Q&A WITH EXPERTS IN THE FIELD
Entire contents © 2013 by Crain Communications Inc. Vol. 34, No. 47