Agenda - Council - 01/13/2009 - Laserfiche WebLink

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Business Subsidy Policy This Policy is adopted for purposes of the business subsidies act (the "Act "), which is Minnesota Statutes, Sections 1163.993 through 1163.995. Terms used in this Policy are intended to have the same meanings as used in the Act, and this Policy shall apply only with respect to subsidies granted under the Act if and to the extent required thereby. While it is recognized that the creation of good paying jobs is .a desirable goal which benefits the community, it must also be recognized that not all projects assisted with subsidies derive their public purposes and importance solely by virtue of job creation. In, addition, the imposition of high job creation and high wage level requirements may be unrealistic and counter- productive in the face of global economic forces and the financial and competitive circumstances of an individual business. When considering requests for business subsidies, the grantor shall be guided by the following principles and criteria for establishing job creation and wage level goals:. • Each project shall be evaluated on a case by case basis,.recognizing its importance and benefit to the community from all perspectives, including created or retained employment positions and investment in the community. • If a particular project does not involve the creation of jobs in the community, but is nonetheless found to be worthy of support and subsidy, it may be approved without any specifio job or wage goals, as may be permitted by applicable law. • In cases where the objective is the retention of existing jobs, the recipient of the . subsidy shall bo required to provide reasonably demonstrable evidence that the . loss of those jobs is imminent. • The setting of wage and job goals must be sensitive to prevailing wage rates, local • economic conditions, external economic forces over which neither the grantor nor the recipient of the subsidy has control, the individual financial 'resources of the recipient and the competitive environment in which the recipient's business exists. • Because it is not possible to anticipate every type otpioject which may be desirable to the community, the governing body must retain the right in its discretion: to approve projects and subsidies which may vary from the principles and criteria outlined by this Policy. Adopted by: Rdkvr, C,-rut Ccuac., Date of adoption: '71?-4 11W/ Date of public hearing: • i i Z8' I i g `c —168—