Laserfiche WebLink
<br />ITEM # 7. <br /> <br /> <br />MEMORANDUM <br /> <br />TO: Economic Development Authority <br /> <br />FROM: Catherine Mehelich, Director of Economic Development <br /> <br />DATE: February 13, 2006 <br /> <br />SUBJECT: Discuss Draft Amendments to Micro Loan Fund Policy <br /> <br />Attachments <br />· EDA Finance Committee Minutes, September 28, 2005 <br />. 151 Draft Revised Micro Loan Fund Policy dated February 2006 <br /> <br />Background <br />At its September 28,2005 meeting, the EDA Finance Committee discussed the level of <br />financial assistance provided to manufacturing companies entering the City of Elk River. The <br />meeting minutes are attached. <br /> <br />Issue <br /> <br />Part of the Finance Committee's discussion led to the following suggested amendments to the <br />Micro Loan Fund Policy: <br /> <br />· All public financing assistance being requested for a project must be included in the <br />project's sources and uses at the time of application. <br />· Clarified that job creation goals could not be double-counted if the project is rec:eiving <br />more than one type of public fmancing assistance. <br />· Increase the amortization for real estate uses to 20 years. <br /> <br />In addition the draft policy includes several staff suggested revisions. <br /> <br />Staff Recommendation <br />Staff recommends that the EDA review the draft revised policy and provide feedback on any <br />additional revisions. <br /> <br />Following the EDA's input staff will make the revisions and bring a final version back for <br />EDA adoption at next month's regular meeting. Staff is also reviewing the City's Business <br />Subsidy Policy, Tax Increment Financing Policy and Tax Rebate Financing Policy for <br />amendments to be presented to the EDA for consideration in the next couple months. <br />