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i <br /> <br /> I <br /> i <br />I <br /> <br />I <br /> <br /> I <br /> <br />Compatibility with Local and Regional Plans <br /> <br />Project funded will be compatible with the Metropolitan Development Guide and <br />with the overall development plans and objectives of t~e municipality within <br />which the project is located. <br /> <br />INDUSTRIAL REVENUE BOND PROGRAM <br /> <br />The Council seeks to expand the availability of capital in the Region for <br />industrial and commercial development through the use of a number of IRB <br />options. In addition, the Council seeks to expand the availability of capital <br />through the use of federal and state resources to the maximum extent available, <br />and through coordinated use of federal and state loan programs. <br /> <br />The Council is aware that industrial revenue bond financing for certain types <br />of industrial and commercial projects will benefit the Region and participating <br />municipalities, and accordingly, will develop a program for such financing. <br />An active Council IRB program will result in a number of benefits. These <br />include: <br /> <br />- Facilitate economic development in the Region. <br /> <br />- Create and preserve jobs and business expansion. <br /> <br />- Increase the availability of long-term financing for small- and medium- <br /> si zed fi rms. <br /> <br />-.Provide the opportunity for municipalities to improve their ability <br /> to attract commercial and industrial investment and to offer <br /> financing to existing firms for expansion. <br /> <br />- Provide an implementation tool for Council policy. <br /> <br />The program is not intended to finance development projects that represent <br />business relocation from one city to another within the Region or the state. <br /> <br />PROGRAM OPTIONS <br /> <br />Five IRB options have been developed for the use of participating <br />municipalities. These options were developed to respond to a variety of <br />business and local government needs and to provide a means of IRB financing for <br />small or newly established finns. These small but growing companies have been <br />unable to attract investors and enter the revenue bond market even though they <br />are credit-worthy. In developing the IRB options, it was important to provide <br />a bonding mechanism that could be used with state and federal grant and loan <br />programs that also are targeted to encourage economic development. <br /> <br />1. Single-issue Revenue Bonds <br /> <br />Under a single issue revenue bond, a single commercial or industrial firm <br />would finance a facility. Council action would follow review and approval <br />by the participating municipality within which the project is located. The <br />bonds' principal and interest are payable from earnings of the facility, a <br />guarantee of the firm or a financial institution, by a letter of credit, by <br />a mortgage on the property or additional security acceptable to the Council. <br /> <br />21 <br /> <br /> <br />