Laserfiche WebLink
Elk River Economic Development <br />Energy Incentive Program <br />Guidelines, Policy & Application <br /> <br />1. Policy Purpose <br /> The City of Elk River Economic Development Authority (EDA) and the City of Elk <br />River (City) maintain a goal to stimulate private sector investment for new job <br />creation and tax base growth. The Energy Incentive Program offers a savings to <br />qualified applicants on their Elk River Municipal Utilities (ERMU) electric bills for <br />up to two years. <br /> <br />2. Compliance with the ERMU Payment in Lieu of Taxes (PILOT) and <br />Other Donations to the City of Elk River Policy <br />Elk River Municipal Utilities was purchased by the City in 1945 and separate <br />governance was created in 1947. It is typical for a municipal utility to provide a <br />PILOT regardless of the separation of governance. The PILOT is calculated based <br />on eligible electric sales within the City. <br /> <br />As an economic development incentive option, the City agrees to waive the <br />applicable PILOT for an approved applicant and redirect that amount as a credit <br />distributed through the applicant’s monthly ERMU electric service bill for up to two <br />years. The amount of the incentive shall be determined by ERMU in its sole <br />discretion in consultation with the City. <br /> <br />For the applicant to be eligible for this incentive, the business must be located within <br />an area of the ERMU electric service territory in which the electric sales are included <br />in the calculation for the PILOT to the City. And for the applicant to be eligible, the <br />project must meet all other applicable prevision of the ERMU PILOT policy; the <br />City must be eligible to receive PILOT for the location to be able to waive PILOT <br />for the project. <br /> <br />Eligible Businesses <br />Comment \[OA1\]: Criteria Established for <br />Eligible Business within the application will simplify <br />the process and eliminate the need for review by the <br />Projects located or proposed to be located within the city limits of the City may be <br />Joint Finance Committee and a scoring criteria at the <br />eligible for the program as further defined herein: <br />end. EDA to discuss and establish criteria. <br /> Data Centers and Manufacturing Facilities are only eligible to apply. <br />Comment \[OA2\]: EDA to discuss <br /> Unless otherwise stated, business must be a for-profit corporation, <br />partnership, limited liability company, or sole proprietorship. <br /> Business mMust be a small business as defined by the Small Business <br />Administration. <br /> Must be Only nnew construction, expansion or addition projects only <br />projects qualify. <br /> Located within eligible ERMU area within the City of Elk River. Religious, <br />political, and pornographic enterprises are not eligible. <br /> Data Center Projects must meet the following requirements: <br /> <br /> <br /> <br />2 <br />Formatted: Indent: Left: 0.5", No bullets or <br />numbering <br />