6. EDSR 03-14-2011 - Laserfiche WebLink

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Criteria: 1. Borrower must be an industrial or high technology firm and create one new full-time job for each $20,000 loaned within 2 years. Said jobs must pay a minimum wage of $10.00 per hour excluding benefits required by law. Loans in excess of $75,000 shall meet the attached City of Elk River Business Subsidy Policy for the creation of new jobs at a minimum wage of $15.00 per hour excluding benefits required by law, as well as a 5-year location requirement. In the case where the multiple sources of public financing are requested (e.g. Micro Loan and Tax Increment Financing) job creation goals shall not be double-counted. 2. Borrower must comply with the provisions of the city's Industrial and Business Park zoning ordinances as applicable. Downtown ~b+litatae~o-Etevitalization Financing Program Purpose: The Downtown i1.4'..i~-. 3 ~ ;I~.e.-it ' l~ ~,ncin Program is available to business and property owners in the Downtown District (DD) Sri,-~.~--i~=• for the rehabilitation and restoration of ~?~c~i:r Older bulldln s t: ~,~~el' ~ ~~ :: Formatted: Font: Garamond g ~-- _- _ _ Amount: Up to $75,000 of secondary financing (not to exceed 40% of the project cost. Equity: Must have private-sector commitments for 50% of the project cost. Borrower must provide 10% or more of project financing. Rate: Fixed at 2%. Term: Financing with a balloon payment in up to 5-years. Loans may be amortized up to the following limits: 20-years on real estate uses; 10-years on equipment uses. Extension: In the event that the Borrower is unable to obtain conventional financing to replace the Micro Loan at the end of five years, the loan may be extended up to two additional years at a market rate of interest. Criteria: 1. At a minimum, 20% of Micro Loan dollars must be used for the improvement of the building fac~ades._~ irz<> c<, }ht,'.d • z - iLl be ~ic' cad ar a 1' ~=1~.~ (00 rt ~ n; i_'e . t.,.~.. tiu tic:_.T__'__t l:~teru, 2. Rehabilitation loans in the Downtown District are exempt from job creation and wage goals since the loan amount does not exceed $75,000 and does not qualify as a business subsidy by state law. Micro Loan Fund Policy & Guidelines Page 3 of 15 Amended March 2011 DRAFT