Small business and disadvantaged business enterprises (DBE) in receiving nonfederal highway funding

Pursuant to H.F. 2460, passed during the 2010 session of the 83rd Iowa General Assembly, please find attached the recommendations regarding methods to track and assess the participation of small businesses and disadvantaged business enterprises (DBE) in receiving nonfederal highway funding.

Iowa Department of Transportation Office of Contracts Letting Summary July 1, 2010 through June 30, 2011

Twelve regularly scheduled lettings and three emergency/special lettings were held by the Iowa Department of Transportation for construction and maintenance work during the period covered by this report. At these lettings, projects totally $741,289,234 were approved.

Targeted Small Business Link, Winter 2011

Targeted small business news from the Iowa Economic Development Authority's Targeted Small Business Program

Contracts, Reference Points, and Competition - Behavioral Effects of the Fundamental Transformation

In this paper we study the role of incomplete ex ante contracts for ex post trade. Previous experimental evidence indicates that a contract provides a reference point for entitlements when the terms are negotiated in a competitive market. We show that this finding no longer holds when the terms are determined in a non-competitive way. Our results imply that the presence of a "fundamental transformation" (i.e., the transition from a competitive market to a bilateral relationship) is important for a contract to become a reference point. To the best of our knowledge this behavioral aspect of the fundamental transformation has not been shown before.

Business Disaster Case Management Task Force, November 2010

During the 2010 session, the Iowa Legislature created per House File 2422 a Business Disaster Case Management Task Force. The purpose of the Task Force is to research disaster recovery case management assistance needed for businesses following a major disaster and to recommend steps for providing such assistance following disasters. The Task Force was duly constituted. Its recommendations are contained in this report. The Task Force focused on what the State of Iowa could do for itself without reliance on federal agencies or programs. It concluded that the hallmarks of any business disaster assistance must be speed of delivery and simplicity in execution. In addition, monies used to assist business recovery should be free of as many restraints on use as possible, relying on the affected businesses to judge for themselves how best to deploy capital resources.

Targeted Small Business Link, May 1,2012

Targeted Small Business information from the Iowa Economic Development Authority

Business Plan Chicago to Iowa City Intercity Passenger Rail Route, March 21, 2012

Overview of the Passenger Service Connects Iowa City, Quad Cities and Chicago, 219.5 miles Twice‐daily service each way, 4 hours and 15 minutes travel time 246,800 passengers first year (676 per day) Project construction cost $310 million (80% federal, 14.5% Illinois, 5.4% Iowa) On‐time performance 90% or better (trains arrive within 10 minutes of schedule) Competitive passenger rail service operator selection Iowa’s annual share of operating cost support averages $3 million

Business Plan Chicago to Iowa City Intercity Passenger Rail Route, March 21, 2011

This business plan describes the methods by which the Iowa Department of Transportation (DOT) will partner with Iowa counties and cities to fund Iowa’s share of the operating and maintenance cost for the Chicago- Iowa City passenger-rail service, an average of $3 million per year.

Less Risk, More Effort : Demand Risk Allocation in Incomplete Contracts

This article investigates the allocation of demand risk within an incomplete contract framework. We consider an incomplete contractual relationship between a public authority and a private provider (i.e. a public-private partnership), in which the latter invests in non-verifiable cost-reducing efforts and the former invests in non-verifiable adaptation efforts to respond to changing consumer demand over time. We show that the party that bears the demand risk has fewer hold-up opportunities and that this leads the other contracting party to make more effort. Thus, in our model, bearing less risk can lead to more effort, which we describe as a new example of âeuro~counter-incentivesâeuro?. We further show that when the benefits of adaptation are important, it is socially preferable to design a contract in which the demand risk remains with the private provider, whereas when the benefits of cost-reducing efforts are important, it is socially preferable to place the demand risk on the public authority. We then apply these results to explain two well-known case studies.

Targeted Small Business Link, Fall 2012

Targeted Small Business News from the Iowa Economic Development Authority

Review of targeted small business procurement activities for the year ended June 30, 2012

Review of targeted small business procurement activities for the year ended June 30, 2012

Small Businesses and Disadvantaged Business Enterprises report

Pursuant to H.F. 2460, passed during the 2010 session of the 83rd Iowa General Assembly, attached are recommendations regarding methods to track and assess the participation of small businesses and disadvantaged business enterprises (DBE) in receiving nonfederal highway funding.