Laserfiche WebLink
6. REGULATION FOR NEW CONSTRUCTION AND IMPROVEMENTS <br /> All buildings which public funds will be used for construction or renovation are to <br /> be brought into conformance with city ordinances and state building codes. Repairs <br /> may include the following systems and portions of real property: <br /> a. Mechanical heating, plumbing, and electrical <br /> b. Structural;including the facade of the structure and energy related <br /> improvements. <br /> c. Hook-up to city services (i.e. water, sewer) <br /> d. ADA (Americans with Disabilities Act) improvements <br /> 7. LOAN SECURITY AND GUARANTEES <br /> Applicant must be able to secure the loan by providing the EDA with a minimum of <br /> a subordinate mortgage upon the building and/or assets or other approved collateral. <br /> Applicant must demonstrate the financial means to repay the loans, as determined by <br /> the Economic Development Authority. <br /> Whenever possible,personal guarantees will be made part of any loan agreement. <br /> Key person life insurance may be required as determined by the EDA Finance <br /> Committee based on loan amount and company ownership partners. <br /> 8. TIMING OF PROJECT EXPENSES <br /> No project should commence until the Elk River Economic Development Authority <br /> has approved the loan application. Any costs incurred prior to the approval of the <br /> loan application are generally not eligible expenditures. <br /> No building construction should commence until the required city permits are <br /> secured. <br /> The applicant will be responsible for all legal, recording, and other fees required for <br /> protection of a security interest in the loan, payable by a non-refundable 1% <br /> processing fee,which is paid at the time of application. In addition to the <br /> non-refundable 1%processing fee, all legal and filing fees shall be paid by the <br /> borrower at loan closing. <br /> 9. PROCEDURAL GUIDELINES FOR APPLICATION AND APPROVAL <br /> 1. All applicants shall first contact a primary lending institution to determine if <br /> additional equity is needed, and if so, how much. <br /> 2. The applicant and the primary lender shall then meet with city staff to obtain <br /> information about the Microloan program, discuss the project, and obtain <br /> application forms. <br /> [P O W E R E D R 1 <br /> Page 8 of 18 NATURE <br />