Saturday, April 20, 2013

Solar Power Project Funded for Chefs Center Small-Business Incubator

Using its last $170,000 in federal economic stimulus money, the city has funded a solar power project at the Chefs Center of California, a nonprofit small-business incubator that has launched dozens of entrepreneurs since its professional kitchen opened in 2009.


"We had around $600,000 left in Community Development Block Grants Recovery dollars, and the biggest chunk went over to rehab La Pintoresca Teen Center and turn it into an education center," said William Huang, Pasadena's housing director.

The remaining funds had "very specific goals" including job creation and sustainability, Huang said.

The solar power dollars were first offered to the Pasadena Enterprise Center's small-business incubator, Huang said. "But they eventually decided to decline the money because of some physical issues with the building."

Enter the Chefs Center.

"We were a perfect match," said founder Joe Colletti, CEO of the Institute for Urban Initiatives. "So we're very satisfied not only with getting the funding to do this, but equally satisfied with the solar power system."

The solar project, which is close to completion, actually cost $187,000, Colletti said; but they expect to make up the difference through a solar power rebate from Pasadena Water and Power.

PWP project manager Mauricio Mejia said there are different levels of rebates in the program. Non-profits and low-income housing projects are eligible for 30 percent, he said, since they can't claim the 30 percent tax credit commercial businesses get.

"The (Chefs Center) rebate will be close to $30,000 for the solar installation, when they package it," Mejia said.

Colletti expects a substantial drop in the center's monthly $2,600 electricity bill, which comes out of the annual $550,000 operating budget.

"We're not sure what kind of reduction we're going to see - we'll know when we get the bills," he joked. "But we're expecting at least a 25 percent reduction in monthly costs. And multiplied by 12, that's a nice saving. ... I work hard to write a grant for $10,000, and that's the equivalent of a $10,000 grant."

The funding also paid to replace the kitchen's five heating and air-conditioning units and added a sixth, Colletti said, plus insulating and repairing the "leaky roof."

The city has backed the $2.6 million small-business incubator before, including City Council approval of a $425,000 loan toward the building's $1.8 million purchase price in 2007. Private and corporate foundation funds - including $50,000 from the Pasadena Community Foundation - were used to rehab and equip the former Peruvian restaurant as a professional grade kitchen.

As of July 1, the center had 97 carry-over clients and added another 22, Colletti said.

"The program has exceeded our expectations, which were high to begin with," Colletti said. "About half the clients come to start catering businesses, the other half is a mixture of bakeries, food trucks and farmers markets, and wholesaling - selling to retailers like Trader Joe's and Whole Foods."

The center provides business advice and workshops, and Whole Foods will make a presentation Nov. 3 on "what it takes to sell food" to them, Colletti said.

Source: http://www.pasadenastarnews.com/news/ci_21768034/solar-power-project-funded-chefs-center-small-business

No comments: