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<br />Economic Development Consultant Mulrooney stated that Mr. Cardinal is the new owner to the <br />business and conducting financial analysis on the company would be the first step in determining <br />its viability and eligibility for utilization of the Revolving Loan Fund. <br /> <br />Member Elvig stated that there are some significant costs associated with moving a business to a <br />new location. After the Financial analysis is complete we will then know how viable the <br />business is. Arrow Signs is proposing to bring 25 employees and to add an additional 15 over <br />the next few years. These are potential jobs for Ramsey residents and the workforce will mean <br />more dollars to be spent in Ramsey. If they meet the standards we should move forward with an <br />assistance package. <br /> <br />Member Steffen suggested that a down payment not be considered for financial assistance. <br /> <br />Economic Development Coordinator Sullivan stated that the cost breakdown that included the <br />down payment was an eligible expanse for the revolving loan fund. <br /> <br />Chairperson Riley affirmed that removing the Down payment from the assistance package would <br />be a good idea. He suggested that the assistance should be used to get over the hurdle to the <br />move to the new facility, not fully fund it. <br /> <br />Economic Development Consultant Mulrooney stated that the biggest hurdle for this business <br />could be the up front cash needed to make this deal work. Equity appears to be an issue for this <br />company but only a detailed financial analysis will ultimately be able to determine that. <br /> <br />Member Steffen was uncomfortable committing to a specific amount without due diligence and a <br />completed Revolving Loan Fund application. <br /> <br />EDA consensus is to have staff communicate to Arrow Signs that an assistance package in an <br />amount not to exceed $110,000 would be considered. The assistance package needs to have a <br />complete RLF application and financial approvals and receive EDA approval at the June <br />meeting before it will be recommended and awarded. <br /> <br />Case #3: <br /> <br />Cost of Doing Business Analysis Update <br /> <br />Economic Development Coordinator Sullivan reviewed that the EDA directed Staff to research <br />the cost associated with development and operation of business within thy City of Ramsey. <br />Preliminary results show that Ramsey is located near the middle in some categories and toward <br />the top in others. The operating costs associated with the businesses should be complete by the <br />June meeting. The operating costs will be represented in a monthly format due to the fluctuation <br />costs of utilities and energy that are seasonal. <br /> <br />Member Elvig commented that being at the higher end of the middle wasn't a bad thing. It <br />shows that Ramsey has placed some higher value in items such as park dedication and storm <br />water control. <br /> <br />Economic Development AuthoritylMay 15, 2008 <br />Page 5 of7 <br />