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EDSR INFORMATION #1 06-14-1999
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EDSR INFORMATION #1 06-14-1999
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6/14/1999
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05/16/99 6:21 p.m. [RESDEPT ] JF KB56 <br /> 1 policy regarding the wages to be paid for the jobs created. The <br /> 2 commissioner of trade and economic development may assist local <br /> 3 government agencies in •developin criteria <br /> 4 Subd. 3. [SUBSIDY AGREEMENT.] (a) A recipient must enter <br /> 5 into a subsidy agreement with the grantor of the subsidy that <br /> 6 includes: <br /> 7 (1) a description of the subsidy, including the amount and <br /> 8 type of subsidy, and type of district if the subsidy is tax <br /> 9 increment financing; <br /> 10 (2) a statement of the public purposes for the subsidy; <br /> 11 (3) goals for the subsidy; <br /> 12 (4) a description of the financial obligation of the <br /> 13 recipient if the goals are not met; <br /> 14 (5) a statement of why the subsidy is needed; <br /> 15 (6) a commitment to continue operations at the site where <br /> 16 .the subsidy is used for at least five years after the benefit <br /> 17 date; <br /> 18 (7) the name and address of the parent corporation of the • <br /> 19 recipient, if any; and <br /> 20 (8) a list of all financial assistance by all grantors for <br /> 21 the project. <br /> 22 (b) Business subsidies in the form of <br /> grants must be <br /> 23 structured as forgivable loans. If a business subsidy is not • <br /> 24 structured as a forgivable loan, the agreement must state the <br /> 25 fair market value of the subsidy to the recipient, including the <br /> 26 value of conveying property at less than a fair market price, or <br /> 27 other in-kind benefits to the recipient. <br /> 28 (c) If a business subsidy benefits more than one recipient, <br /> 29 the grantor must assign a proportion of the business subsidy to <br /> 30 each recipient that signs a subsidy agreement. The proportion <br /> 31 assessed to each recipient must reflect a reasonable estimate of <br /> ' 32 the recipient's share of the total benefits of the project. <br /> 33 (d) The state or local government agency and the recipient <br /> 34 must both sign the subsidy agreement and, if the grantor is a S <br /> 35 local government agency, the agreement must be approved by the <br /> 36 local elected governing body, except for the St. Paul Port <br /> 4 <br />
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