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07/14/92
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07/14/92
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Meetings
Meeting Document Type
Agenda
Document Title
Economic Development Commission
Document Date
07/14/1992
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11. <br /> <br />12. <br /> <br />13. <br /> <br />the av~la~a ility of EDA financing, and that a major inducement to the company to maintain <br />or exp~d~ ts facility in the City was the EDA financing. <br /> <br />LOANS IVtAY BE MADE UNDER THIS PLAN TO THE EXTENT THAT FUNDS ARE <br />AVAILABLE <br /> <br />If the RL~is terminated, the EDA will provide written notice to all participating lenders of <br />the EDA's ~intention to terminate the RLF. If the RLF is so terminated, such termination <br />shall nbt affect the rights and obligations of the participating 'lenders nor those of the EDA <br />with r~spe~t to loans outstanding on the effective date of such termination. To become a <br />parti¢ilbatin~ lender, a federally insured financial institution need only provide a letter to the <br />EDA ,cfi itSfagreement to the terms of this Plan. A participating lender may withdraw from <br />the prqgr~ at any time, with respect to future loans, by giving written notice to the EDA <br />of its: i/~tent~ to withdraw. <br />IN ORbER, TO RECEIVE CONSIDERATION FOR AN RLF LOAN, THE APPLICANT <br />MUS~;MA~KIMIZE THE USE OF PRIVATE LENDER FINANCING <br />RLF ldans must be matched on a % or more private lender to % (or less) RLF <br />loan ra!io. <br />NO RIfF LOAN MADE BY THE EDA SHALL EXCEED $ <br />A CO}41pANY SHALL NOT HAVE MORE THAN $150,000 OF RLF OR OTHER CITY <br />ECONOMIC DEVELOPMENT LOAN FUNDS OUTSTANDtNG (UNPAID) AT ANY <br /> <br />The co ~mpapy may not obtain more than one RLF loan in a calendar year. <br />THE MACHINERY, FIXTURES AND EQUIPMENT PURCHASED WITH PRIVATE <br />LEND$R RLF FUNDS MUST BE FLXED ASSETS WITH AN EXPECTED Ln:E <br />NOT:LESS iTHAN THE TERM OF THE LOAN <br /> <br />Loans ~or,{nventory will not be considered. The machinery, fixtures and equipment <br />purcha '.~aed ~ust be placed in business facilities in the City of Ramsey. <br />THE FOLLOWING COSTS ARE INELIGIBLE: <br /> Refinancing of existing debt <br /> Nofi-fix~ improvements <br /> Wo~ing capital <br /> InventOry <br /> Sweat E[:luity (payment for the applicant's own labor and performance for construction <br /> or imprdgements) <br /> <br />IMPRC VEMENTS COMPLETED PRIOR TO LOAN CLOSING ARE ELIGIBLE FOR <br />FINAN 2IN~G UNDER CERTAIN CIRCUMSTANCES <br /> App licarit must have a commitment letter from his/her lender and the EDA con£Lrming <br /> theh;fin~cing and approval of the project. <br /> <br /> Fins) bids will be required to assess the total EDA portion of the loan. Closing will not <br /> be s~t ug until final bids have been received. <br /> <br /> EDA Financing <br /> Page 5 of 7 <br /> <br />7 <br /> <br /> <br />
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