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a letter of commitment for conventional financing from the primary lending <br />institution. <br />4. The application will be reviewed by the City staff to determine if it conforms to <br />all City policies and ordinances and to consider the following: <br />a. The availability and applicability of other governmental grants and/or <br />loan programs. <br />b. Whether the proposed project will result in conformance with building <br />and zoning codes. <br />c. Whether it is desirous and in the best interests of the public to provide <br />funding for the project. <br />5. The EDA Finance Committee and EDA Commissioners will review each <br />application in terms of its consistency with the goals of the Growth <br />Management, Strategic, and Economic Development Plans and in relation to the <br />project's overall impact on the community's economy. Redevelopment Loan <br />applications will also be reviewed by an HRA member in conjunction with the <br />EDA Finance Committee. <br />They will also evaluate the project application in terms of the following: <br />a. Project Design -Evaluation of project design will include <br />review of proposed activities, time lines and a capacity to implement. <br />b. Financial Feasibility -Availability of funds, private involvement, financial <br />packaging and cost effectiveness. <br />• Appropriate ratio of private funds to Micro Loan funds. <br />• Sufficient cash flow to cover proposed debt service as <br />demonstrated by financial statements and projections. <br />• Business must show a positive net worth. <br />• Letter of Commitment from applicant pledging to complete the <br />project during proposed project duration, if the loan application <br />is approved. <br />• Letter of Commitment from other financing sources stating <br />terms and conditions of their participation in the project if <br />applicable. <br />• Sufficient collateral. <br />c. All other information as required in the application and/or additional <br />information as may be requested by the Economic Development <br />Authority. <br />Elk River Economic Development Authority <br />Micro Loan Fund Policy & Guidelines <br />Revised June 2004 Page 6 of S <br />