VC-backed tech alliance touts ‘network effect’ for cities

Four start-ups with backing from impact investment firm Kapor Capital have formed the Upside Tech Alliance to help cities tap the latest technology and funding to address urban challenges.

The initiative aims to “help local leaders bring the speed, agility and scale of successful technology companies to local governments,” a launch announcement said.

Aclima measures and maps air pollution at the block level, BlocPower offers solutions for building electrification, Bitwise Industries trains and places people for jobs in the tech industry, and Promise facilitates flexible payment plans for public services.

The companies are all in the Kapor Capital portfolio and the alliance is made possible in part by a commitment from the venture capital firm’s founding partners Mitch Kapor and Freada Kapor Klein. They are providing the core support for the alliance’s staff and infrastructure for two years.

“The tech and VC-backed start-up world can do so much more for underinvested communities and that’s why BlocPower has joined the Upside Tech Alliance,” a tweet from BlocPower said.

The launch comes as US cities address a wide range of challenges from ageing critical infrastructure to a digital divide and the climate crisis. They are also receiving historic levels of federal funding through the American Rescue Plan Act (ARPA), the Infrastructure Investment and Jobs Act (IIJA) and the Inflation Reduction Act (IRA).

The members of the alliance will work with local leaders to understand their challenges and opportunities and design a customised pilot. They will also help cities to identify funding sources and “navigate the procurement process,” including accessing federal funds and securing philanthropic donations.

Network effect

The Upside Tech Alliance is led by executive director Michelle DePass. a former assistant administrator at the US Environmental Protection Agency who worked most recently as the President and CEO of the Oregon-based Meyer Memorial Trust foundation.

DePass told Cities Today: “Now is a critical time for our country and the world, and while the issues we face are far-reaching, the solutions to them can and need to be found locally. Yes, we currently face daunting challenges, but with unprecedented levels of funding available from recent legislation such as the Inflation Reduction Act, we’re also presented with a renewed opportunity to shape the future of our neighbourhoods and cities and, by extension, the world at large. By partnering with local leaders, we stand to make a real and lasting impact.”

On the benefit of the companies joining forces, she said: “More companies – and successful ones like these four – have massive network effects, creating more opportunities to connect dots, unearth opportunities and help local leaders thrive.”

She cited examples such as Aclima’s state-wide air quality and greenhouse gas monitoring initiative in New York to support the state’s goal of reducing emissions by 85 percent by 2050. The effort maps air quality and pollution block-by-block using mobile technology that produces billions of measurements. Aclima is also recruiting and training local workers to operate its network and creating jobs in those areas most impacted by air pollution. BlocPower is providing workforce development support to Aclima.

Promise is working with the City of Newark on a pilot programme that offers interest-free water and sewer payment plans to residents who are behind on bills. The company said the pilot was launched within eight weeks and within the first five days, ten percent of the eligible residents had enrolled over US$600,000 of debt in payment plans.

“Our success is measured by people doing better. You get the benefit of technology, iteration, design, user experience and data. You get all the things that the private sector does well, but we are using it as a force for good,” said Phaedra Ellis-Lamkins, founder and CEO of Promise.

Other areas of focus for the Alliance will include installing broadband and community Wi-Fi to get more residents online and building modern web tools for institutions like schools, libraries, and local governments.

Climate justice

BlocPower was also a founding member of the Coalition for Urban Innovation, which was launched last year by over a dozen cross-sector organisations calling for greater federal support for the adoption of emerging and advanced technologies in cities. Other launch members included Sidewalk Labs, Smart Cities Council, Accelerator for America and Via Transportation.

Donnel Baird, founder of BlocPower told Cities Today: “The Coalition for Urban Innovation has shaping policy as a major goal, whereas the Upside Tech Alliance is hyper-focused on deploying a package of social and environmental impact-specific products and services. Upside Alliance is very much focused on climate and environmental justice sectors, as opposed to broader smart city or urban innovation goals.”

The Coalition for Urban Innovation’s website was inactive at the time of writing.