Laserfiche WebLink
<br />Consider Tax Rebate Financing Assistance for Classic Acrylics, Inc. <br />July 11, 2005 EDA Meeting <br />Page 2 of 2 <br /> <br />$30,000 per new job created at a minimum hourly wage of $15.00 exclusive of benefits <br />required by law. Staff negotiated the financing assistance for this project based on assistance <br />provided to Gradient Technology and Orluck Industries and prior to opening Northstar <br />Business Park. <br /> <br />Using the following formula the project is eligible to receive 77% write down on the land <br />cost through a pay-as-you-go TRF note. <br /> <br />Land Cost: <br />Eligible Assistance: <br /> <br />2.48 acres @ 1.80/ sf <br />$30,000 per 5 new jobs at $15/hr <br /> <br />$194,452 <br />$150,000 <br /> <br />Staff recommends that the TRF assistance be provided 50/50 by the City and Sherburne <br />County with the company receiving 100% of the annual TRF for a maximum period of up <br />to 10 years. <br /> <br />Classic Acrylics has submitted the City's TRF application and fee. Per the City's TRF policy, <br />any requests over the amount of $25,000 requires financial review and but-for analysis by the <br />City's financial advisor, Ehlers & Associates. The review and recommendation will be <br />completed prior to the Council calling a public hearing on the TRF request. <br /> <br />Actions Requested <br />Staff recommends the EDA consider the following actions for the Classic Acrylics project: <br />. Direct staff to complete the due diligence for the TRF process <br />. Recommend that the City Council call a public hearing on the TRF assistance <br />request and business subsidy <br />