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04/08/10
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Ramsey. <br />A. Loan amount. There are maximum and minimum loan amounts for <br />eligible projects. <br />1. Maximum loan amount. The maximum loan available from the <br />revolving loan fund for each eligible project is limited to $300,000.00 <br />or 40% of total project cost, whichever is less. <br />2. Minimum loan amount. The minimum loan amount available from the <br />revolving loan fund for each eligible project is $25,000.00. <br />B. Interest rate. The interest rate shall be a fixed -rate and will be equal to the <br />10 -year Treasury bond rate at the date of funding but shall not be less than <br />3.0 %. <br />C. Term. The term of the loan will be tied to the useful life of the assets <br />being financed. The following general terms apply: <br />I. Machinery /equipment. The term of the loan for <br />machinery/equipment shall not exceed 7 years. <br />2. Land/building acquisition. The term of the loan for land/building <br />shall not exceed 15 years. <br />3. New construction/renovation. The term of the loan for new <br />construction/renovation shall not exceed 15 years. <br />4. Balance due. All balances will be due and payable if and when the <br />loan recipient sells or otherwise transfers any or part or his/her <br />interest in the property or fails to meet any of the guidelines <br />established within this document before the maturity date of the loan <br />or relocates any part or all of the business outside the City of <br />Ramsey. <br />D. Wage and job goals. <br />1. Wage and Job goals shall be established for all loans in excess of <br />$75,000. The wage and job goals will be identified in the Loan <br />Agreement between the City of Ramsey and the borrower. The loan <br />
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