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6.0. EDSR 07-08-2002
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6.0. EDSR 07-08-2002
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7/8/2002
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Tax Rebate Financing Policy—Amended <br /> July 8,2002 <br /> Page 2 of 2 <br /> • Applications shall be reviewed by the City's financial advisor for evaluation of 41, <br /> financial feasibility without TRF assistance. The cost of financial review and legal <br /> services will be deducted from the $5,000 application fee. (Section V.c. & Section <br /> VII.A.1.) <br /> • A reduction in the requirement for a minimum 20% cash equity investment in the <br /> project. A reduction to 10%would be consistent with SBA504 financing and allow <br /> businesses to utilize the benefits of SBA financing in addition to TRF. <br /> (Section IV.b.) <br /> • All developer/businesses receiving Tax Rebate Financing assistance from the City of <br /> Elk River shall be subject to the provisions and requirements set forth by the City's <br /> Business Subsidy Criteria and MN Business Subsidy Law (Section VI). <br /> MN Business Subsidy Law requires subsidy grantors to establish a"Business Subsidy <br /> Criteria" by May 2003. Staff is preparing the draft City of Elk River Business <br /> Subsidy Criteria for review by the EDA and City Council at the August 12, 2002 <br /> meeting. A public hearing of the City Council is required prior to adoption of the <br /> Business Subsidy Criteria. <br /> Recommendation <br /> Consider adoption of the amended Tax Rebate Finance Policy. • <br /> • <br /> • <br /> S:\EDA\TAXABAI'E\Elk River Policy History\02amendment.doc <br />
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