Agenda - Council - 06/13/2000 - Laserfiche WebLink

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I I I I I I I I I I I I I I I I I I I 8. 9. Principal and interest payments from the loan to Mateski Properties, LLC/Systematic Refrigeration, Inc. must be used to establish and maintain a revolving loan fund. The Grantee must retain financial control and decision making authority regarding the use of the repayments from the loan. The revolving loan fund policies and procedures must be consistent with the Minnesota Investment Fund Program requirements to further economic development in the community thereby creating or retaining permanent positions. The Grantee may retain the repayment of the first $100,000 of principal plus interest. After $100,000 principal has been repaid, all subsequent payments of principal and interest received by the Grantee are to be submitted to the Grantor. The status of payments shall be reported on the progress reports. In the event the loan is not paid-in-full, the $100,000 principal and interest the Grantee retains will be reduced proportionally. The Grantee must include job creation information in each progress report. This information must include: - permanent jobs created - job title per job -hourly wage -hourly value of benefits - date employee (s) hired - benefits The Grantee must report on permanent job creation until the 50 FTE jobs are created, all paying $10.00 per hour or more in wages. If Mateski Properties, LLC/Systematic Refrigeration, Inc. fails to meet the job creation goal and wage level commitment by the end date of the grant period, May 1, 2002, the Grantee will be required to return to the Grantor all or a proportional share of the grant. Mateski Properties, LLClSystematic Refrigeration, Inc. identified a base employment of 38 FTIFTE employees in the Grant Application which must be maintained through the end date of the grant period, in addition to the 50 FT/FTE new jobs created. Minnesota Statutes 116J.993-116J.994 (Business Subsidies Law) applies to this project. In accordance with these statues, a business that fails to meet the terms of this grant agreement, may not receive financial assistance from any grantor for a period of five years from the date of failure or until the business satisfies its repayment obligation under this grant agreement. These statutes also require that a business receiving financial assistance continue operations at the site until May 1, 2005. The loan made under this grant agreement is payable in full if the business does not continue operg~tions at the site. Mateski Properties, LLC/Systematic Refrigeration, Inc. must list any vacant or new positions with the Commissioner of Economic Security or a local service unit operated by a county or counties operating under a joint powers agreement, one or more cities of the first class operating under a joint powers agreement, or a city of the first class. Mateski Properties, LLC/Systematic Refrigeration, Inc. must sign a First Source Employment Referral Agreement with Economic Security. Minnesota Statute 268.66 requires that a business receiving in excess of $200,000 from the State enter into a First Source Agreement. -277-