7.1. SR 01-19-2016 - Laserfiche WebLink

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Request for Action To Item Number Mayor and City Council 7.1 Agenda Section Meeting Date Prepared by Public HearingJanuary 19, 2016Amanda Othoudt, EDD Item Description Reviewed by Patriot Converting Jobs Incentive Microloan Program Cal Portner, City Administrator Reviewed by Action Requested 1.Open public hearing to consider coments on the proposed microloan application for Patriot Converting in the amount of $200,000. 2.Following the public hearing, the Council is asked to consider adoption of the attached resolution approving the Jobs Incentive Microloan and authorizing execution of the microloan documents for Patriot Converting, Inc. Background/Discussion The City Council must hold a public hearing and invite comments for any business subsidy in an amount greater than $150,000. The EDA Finance Committee reviewed and recommended the EDA approve Patriot Converting, Inc. application for a Jobs Incentive Microloan. The attached staff report provides background on the project as considered earlier by the EDA for financial assistance in the purchase of equipment for manufacturing operations at Patriot Converting, Inc. Financial Impact The Economic Development Authority of the City of Elk River will provide a $200,000 microloan to Patriot Converting, Inc. for the purchase of necessary equipment for manufacturing operations. Attachments  EDA Staff Report (December 19, 2015)  Springsted Analysis (December 22, 2015)  Resolution  Letter of denial from Riverland Bank (December, 2015)  Microloan Application (December 4, 2015)  Revised Sources and Uses (December 22, 2015)  Contractor Bids  Microloan Agreement  Entity Guarantee  Personal Guarantee  Security Agreement  Promissory Note