Agenda - Council - 12/11/2012 - Laserfiche WebLink

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on a site, those credits will be available to offset SAC charges, but only on that siteNo community - wide (net) credits would be available. Allowance for a minor SAC credit transfer (where determination is 10 SAC or less and upon request by the community) for use on a new site within a community, This would allow communities to move up to 10 credits from the former site of a business to its new site, before a new use occurs on the former site (credits generally are not available until a new use is determined on a site, and the availability of any credits is known). The new rules would go into effect January 1, 2013 (existing rules would be enforced through December 31, 2012), Additional Recommendation: MCES Services and Outreach 1. The group recommendations include a proposal that the MCES develop a SAC loan program, specifically to assist communities in helping small businesses where a SAC determination is 10 SAC or less. Such loans are authorized now under M.S. 473.517 subd. 6. After two years of availability, MCES will review the effectiveness and demand for the loan program and make the data and review findings available to Metro Cities and others upon request. Linder the recommendation, a community could make a request to MCES to participate in the SAC deferral loan program and execute an agreement with the Council. MCES would provide loans to the community on a case by case basis (community option) contingent on the community agreeing to pass through the loan terms to the property owner or responsible SAC party. Under the tentative loan agreement, 20% of SAC would be due upfront and 80% deferred. Interest for the loans would be based on the Council's average rate on its wastewater bonds and new loans would be fixed at that rate. The terms of loans would be 5-10 years (at the community's option) with payments required annually_ If there is a default on the loan, the site would not be credited for any SAC unpaid, but would be credited for the portion paid. No payments would be refunded. The community would have the option to complete the payments regardless of default by a property owner (and thus the full SAC credit would then be available for that property). 2. Community reviews are recommended to be limited to review of SAC activity no more than three years prior to the date of the review initiation. This would not relieve communities from paying SAC for demand where it becomes known to the community that SAC should have been paid but was not. 3. MCES is requested to provide regular training opportunities for community staff, and in the near term particularly around these new rules. 4. MCES is also requested to provide alternate language versions of the SAC brochure to help outreach to non-English speaking business owners and developers. 31Page