DuPageBiz, the public-private partnership that’s designed to engender economic development in DuPage County, has had a couple false starts, admits Tom Cuculich, director of economic development and planning.

But now is a critical time to move forward with the business development organization, executives from two area companies said at a recent meeting of the Economic Development Committee of the DuPage County board.

“We are under fire,” said James Sheehan, executive vice president, general counsel and chief administrative officer for Tellabs in Naperville. He said DuPage County needs to remain economically viable when development is being enhanced in other places like Will County with the extension of I-355 from Bolingbrook to New Lenox.

“If expected budget cutbacks for the upcoming fiscal year by DuPage County delay funding for DupageBiz for a year or two, it will be a tough sell for fund-raising from area companies,” he noted.

A second executive said the business attraction and business retention plans by DuPageBiz are long overdue.

“Some of the industrial facilities in DuPage County are 20 to 30 years old and are functionally obsolete,” said Mark Moran, executive vice president of the industrial services group for NAI Hiffman commercial real estate company, which has an office in Oakbrook Terrace.

Some companies could consider moving to surrounding areas like Will County, according to Moran.

He said some of his clients look for the path of least resistance when working with a local government about where to locate a company facility.

“Today they go to individual towns which have an attractive economic development program,” Moran said. “In the future they could be looking for coordinated efforts by a county organization.”

To provide that coordinated effort in DuPage County, Moran said it is critical that there be a public-private partnership to provide the highest comfort level for people asked to invest money in DuPageBiz.

Cuculich agreed that now is an important time in DuPage County to increase plans to attract new businesses and retain existing ones.

“If it is put off for a year or so, it will be hard to go back to the well (of fund-raising),” he said. “I know the timing could not be worse since the county board is considering cutbacks and layoffs.”

(At the deadline for this article, the DuPage County Board had not made a decision about the level of funding for DuPageBiz.)

Cuculich said the county had provided $500,000 a year for the business development organization.

But this organization will add value to DuPage County through increased revenue from taxes paid by new companies, according to Cuculich. It will help the local economy grow where there are issues with sales taxes and property taxes.

There was little discussion about DuPageBiz among the six members of the Economic Development Committee of the DuPage County board. James Zay said it would be difficult to invest money in DuPageBiz when the county was laying off employees. He also said comparing DuPage County and Will County was like comparing apples and oranges since DuPage County was about 80 percent built out and Will County was about 40 percent built out.

In addition to the money from DuPage County, DupageBiz has set a goal of raising $5.5 million for a four-year program. (See related article on page XX.)

Cuculich said there was a “watershed meeting” in October where Stellar Fundraising Executives, Inc. of Jacksonville, Fla. presented a report about DuPage County business people’s thoughts about raising money and why it was needed. He said Stellar would be paid about $20,000 a month plus expenses, which is the going rate.

Another highlight of the meeting was a vote to approve the selection of a chief executive officer to lead DuPageBiz in its next phase. The name will not be released until a vote by the DuPage County Board, but Cuculich said the person has a wealth of economic development experience, is respected in state, regional and national circles, and “can walk in the door and broker deals right away.

Mike Skarr, the retiring president and CEO of the Naperville Area Chamber of Commerce, has been the interim chief executive officer and would be the vice president of marketing for DuPageBiz.

Cuculich said the planned $5.5 million for a four-year program at DuPageBiz compared to the $7.6 million being raised by Will County for a five-year program.

He said plans called for DuPage County board to make a $500,000 contribution to the overall program in the 2008 fiscal year which begins on Dec. 1, 2007. In 2009 the amount could be $400,000 or $250,000. In the coming years, Cuculich said, more private investment in DuPageBiz would be necessary.

He also said DuPageBiz needs a strategy for business development because there will be turnover and that some buildings will not be filled with the same people and companies.