7.2. HRSR 09-08-2020 - Laserfiche WebLink

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property;and(ii)a signed certificate from the first owner of the property certifying that the property will be owner-occupied and the property will qualify for homestead designation. In addition,the Borrower must receive a certificate of occupancy for the new building within 1 year from demolition. If the above conditions are not met,the loan will be due and payable un full. EXPECTED VALUE UPON COMPLETION: The applicant must submit evidence of the current assessed value of the property and the projected assessed value of the property upon completion as determined by the local assessor. AWARDING LOANS: The HRA will award loans to projects that provide the highest return in public benefits for the public costs incurred and meet all of the statutory requirements. In order to evaluate the applications for public benefits with respect to the costs incurred,the law specifies priorities that the HRA must consider. Awards are based on the availability of funds. SIMULTANEOUS MICROLOANS The simultaneous use of different HRA microloan programs by any one borrower or for any one project is prohibited. COST OF REVIEW The applicant will be responsible for all legal,recording,and other fees required for protection of a security interest in the loan,payable by a$500 processing fee,which is paid at the time of application,plus legal and any other out-of-pocket costs incurred by the HRA. In addition to the processing fee,all legal and filing fees shall be paid by the borrower at loan closing. PROCEDURAL GUIDELINES FOR APPLICATION AND APPROVAL 1. All applicants shall first contact a primary lending institution which will be assisting with the financing of the overall project. 2. The applicant shall then meet with city staff to obtain information about the rnicroloan program,discuss the project,and obtain application forms. 3. The applicant shall complete and submit an application form to the city,along with a $500 processing fee plus legal and any other out-of-pocket costs incurred by the HRA. The fee is used to cover processing expenses and any remaining funds will be returned to the applicant. The applicant must provide a letter of commitment for conventional financing from the primary lending institution or evidence of sufficient equity to complete the project. 4. The HRA is a governmental entity and as such must provide public access to public data it receives. Data deemed by applicant to be nonpublic data under State law should be so designated or marked by applicant. See Minnesota Statutes,Chapter 13,as amended. 5. The application will be reviewed by the city staff to determine if it conforms to all city policies and ordinances and to consider the following: a. The availability and applicability of other governmental grants and/or microloan programs. 3 498470v2 JSB EL185-13