Loveland's Independent News Source
Mayor Finally Runs Madwire
Out of Town
Loveland, November 6, 2015

Madwire Media Cos., was founded in Loveland in 2009 by Joe Kellog to assist
companies with creating an online presence through websites, social media
and email.  The company is not a web design shop nor full advertising firm
but instead occupies a place between these two traditional market segments
by providing start-ups and small companies a complete online presence and
digital marketing tool name "Marketing 360."

Perhaps the biggest challenge Kellog has faced is finding another location in
Loveland large enough for his fast growing company while fighting the
headwinds of an increasingly political economic development agenda in
Loveland.  Mayor Cecil Gutierrez is a regular critic of the company and tried
placing roadblocks in the way of their various expansion ideas in Loveland
back in 2012.  

The day after the election on November 4, Loveland City Manager Bill Cahill
disclosed to the entire Loveland City Council what staff already knew for
sometime.  Madwire has signed a Letter of Intent (LOI) already to move their
Loveland operation into  former HP Facility in Ft. Collins.  This despite efforts
by the city bureaucracy to force them into the former HP facility in Loveland
instead of assisting them to move where they expressed an interest originally.

Longtime Gutierrez backers Frederick J. Richart and Maryjo Faith Morgan
Fred's Used Websites, a failed Loveland competitor of Madwire, who are
reported to rely heavily on political contacts, like Gutierrez, to get city
business but have been unable to grow their company in the private sector
on a scale comparable to Madwire.  In 2012 (
read article) LovelandPolitics
detailed meddling by Gutierrez on their behalf to prevent Madwire from
receiving city subsidies like other, much less promising, high-tech companies
in Loveland.  The article also documented opposition to Madwire subsidies
by the Loveland 912 break-away group Liberty Watch.

Councilor Incensed

Councilman Troy Krenning responded to the news of Madwire's immanent  
departure by dispatching a harsh email to Loveland City Manager Bill Cahill
in which he summarized the city's business attraction programs as,

"We have spent or encumbered $6.5 million and to date have nothing but
undelivered promises and a bunch of "wait and see" responses."

Cahill's announcement along with Krenning's email response are in the
column to the right of this story.
Council and Council elect,

I do not have an email for councilor elect
Johnson, if anyone could forward I would be appreciative.

Can we schedule a meeting with Madwire ownership and the Council?  
This is a hometown company and it seems like council should meet
with the company to see if anything can be done to have MW

The timing of the announcement to council, the day after the election is
highly suspect in my opinion.  It's nothing short of suspicious that I
heard this news last week and our city manager and PIO announced it
to us the day after the election.

Council needs to take more ownership of economic development and
downtown in particular.  It is my humble opinion that staff  (City
Manager) is incapable of closing deals.

My report
card for Downtown:

Staff handling of Micheal's group.   F
Staff handling of
County Building.   F
Staff handling of property acquisition.  F
Staff handling
of DDA election.   F
Staff handling of Madwire.   F
Staff handling of Constant
Contact.   F

I'll stop there.  We have spent or encumbered $6.5 million and to date
have nothing but undelivered promises and a bunch of "wait and see"

Troy Krenning

Sent from my iPhone

On Nov 5, 2015, at 4:39
PM, Bill Cahill

Hello John,

We haven’t lost any yet; let’s see if the LOI for the Fort Collins property
gets finalized into an actual transaction.  However, if and when the
move comes, the number may be between 140 and 225 – depending
on the numbers in various company statements we’ve gotten.  See
Marcie’s detail below.  Thanks.


William D. Cahill
City Manager
City of
500 East Third Street
Loveland, CO 80537
v 970.962.2306


Marcie Erion
Sent: Wednesday, November 04, 2015 4:39 PM
To: Bill Cahill
RE: Madwire

Our latest QCEW says 140.  But when we were working on a city
package, Joe had said he was committing to moving 225 to start and
we were incenting with cash for an additional 50 employees.

From: Bill Cahill
Wednesday, November 04, 2015 4:22 PM
To: Marcie Erion
FW: Madwire

Do you have a number?


William D. Cahill
City of Loveland
500 East Third Street
Loveland, CO 80537


Ward III - John Fogle
Sent: Wednesday, November 04, 2015 3:37 PM
To: Bill
Cahill <<mailto:Bill.Cahill@cityofloveland.
City Council
Cc: Temp
CCMAIL <<mailto:>>
RE: Madwire

How many jobs are we losing?

Sent from my Android phone
using TouchDown (<>)

From: Bill Cahill
Wednesday, 04 Nov 2015, 4:25PM
To: City Council
Marcie Erion has supplied me with this update on Madwire, due to the
number of rumors about the company and its location.

The staff in the Economic Development Department has been working
with a team at Madwire since late March of this year to assist in their
expansion plans.  During this 7 month period, the Madwire team has
explored many options including expanding adjacent to their current
location, leasing space at RMCIT as well as leasing space at the HP
facility in Ft Collins.  The city team did encourage Madwire to consider
being an anchor tenant as part of the South Catalyst Project as well.  
But because of their need to be in a new space first quarter of 2016,
Madwire indicated they could not wait for the development to come

City staff participated in several Developer Review meetings and
offered assistance throughout the process in order to help Madwire
find a location in Loveland.  The expansion adjacent to their current
building was explored with several local developers, but Madwire
ultimately said that it was not a good fit with the site or the company

Cumberland and Western, along with RMCIT and city staff, worked
diligently to promote the RMCIT space.  CW offered a year of rent
abatement as well as a security deposit reduction and city staff had
worked with the City Manager on a proposed assistance package from
the city.  Between the two, if approved, this package would have been

Madwire has communicated that even with the lower lease rate at
RMCIT and the proposed incentive package that it is still more
affordable for them at the Ft. Collins HP facility.  Currently they have
an LOI with HP and are negotiating lease terms.  An official lease had
not been signed as of Tuesday morning.

Every effort has been made to keep Madwire in the Loveland
community and Ft. Collins has not pursued them nor are incenting
them in any way.  The only consolation with a move of this small
distance, is that while the jobs move, the employees living in Loveland
are most likely to stay invested in the Loveland community.

If you need additional information, please let me know for Marcie
to provide.  Thank you.


William D. Cahill
City Manager
City of
500 East Third Street
Loveland, CO 80537
v 970.962.2306
Loveland Mayor Cecil Gutierrez has been attacking
Madwire from behind the scenes since 2011