Ron-
The difference between OIF and the Maryland Venture Fund is that Oregon’s is funded with pension dollars, which by law, must be invested with the prudent investor standard or jeopardize it’s tax-exempt status and risk litigation. Maryland’s program is funded by the legislature.

Oregon has a legislatively-funded program that fills the early stage gap discussed in the article and receives lottery dollars called the Oregon Growth Account, but the legislature just cut their allocation in half for the next four years. Supporters of VC in Oregon should contact their legislators and voice support for the OGA between now and the February session to ensure it isn’t cut completely.

Harvey- we’ve been over this many time before, OIF is just one avenue Treasury pursued to implement the legislation within it’s restrictions. But if the legislature’s intent really was to put economic development first when they created OIF, then they chose the wrong pot of money to pull from. Legal and fidicuary obligations require the OIC to have returns as their first priority, pension shortfalls must be replaced by state and local government employers.

900 jobs over five years is certainly helpful, but is a far cry from what I think legislators had in mind when they authorized the original $100M.

@Ron Thanks for the pointer to the Maryland Venture Fund! I’ll definitely check it out. Hopefully, we can still find a way to woo you to the Rose City—or we’ll see some other funding options come into being that make it viable for you.

I was wondering if you were familiar with the Maryland Venture Fund as a possible model for Oregon. Their Challenge Investment Program offers $150k in matching seed funds to get a new venture off the ground (with the opportunity for larger follow-on investments thru their Enterprise Investment Fund.) http://tinyurl.com/2ga4tj

I’m on my 3rd startup and am seriously considering locating in Maryland specifically to take advantage of this program but, if Oregon had a similar program, I’d probably be moving to Portland instead of staying on the east coast.

That said, I want to cry “bullshit” – not on you, but on the Oregon Investment Fund.

Maybe Credit Suisse isn’t pure evil, but they haven’t done what they said they would do. I was in the audience when Credit Suisse pitched the Oregon Investment Council to manage the Oregon Investment Fund money back in ’03. If they would have done what they promised back then, my back-of-the coaster calculations say that we should have seen over 3,000 jobs created in Oregon by now.

When $233 million in investment capital that the legislature thought was being dedicated to Oregon entrepreneurs has only created 900 Oregon jobs in 6 years…I think someone has to call “bullshit”.

Wow – 900 jobs – that’s right up there with the economic impact of the Dutch Brothers coffee franchise.

And I have to call “bullshit” on their website’s makeover of the description of the Oregon Investment Fund in the last 3 weeks. Lame.

When we’re looking at 12% unemployment and hundreds of talented entrepreneurs unable to get any kind of funding…Credit Suisse’s argument that their role is to “encourage other funds” and the commensurate lack of results they have delivered leaves me…underwhelmed.

I hope the Big Idea Bash does deliver – thanks for cajoling us to attend!