Agenda - Economic Development Authority - 09/08/2004

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Page 7 The applicant must show that the land that is proposed to be purchased or received meets the goals of the EDA/City. The purchase price of the property will be determined on a location/project basis. The price of Industrial Park land has been determined to be $5,000.00 per acre plus assessments. Consideration on price may be given depending on the economic impact the project would have on the City. The EDA/City does not allow speculative buying. EDA guidelines require each project be completed within eighteen (18) months of closing on the land. If no action has taken place on the project in the compliance period, the property will revert back to the City. Other Assistance. The EDA/City may from time to time establish other forms of assistance on a program or project Basis to meet the goals and needs of the EDA/City and the applicant. The Applicant should check with the EDA and staff as to any additional assistance available. TERMS OF THE ASSISTANCE Reports of the account balance and the budget will be maintained to help the EDA in its decision process. Revolving Loan Fund No loan shall be issued that exceeds sixty (60) percent of the existing EDA loan fund balance at the time of issuance. Business Incentive Program The EDA is encouraged to work within its budget when issuing incentives within the Business Incentive Program. It is understood that projects of significant impact may not fit into the guidelines as stated. The EDA is under no obligation to grant an incentive under the given guidelines or an alternate agreement. Land Acquisition Land grant or land acquisition will only be available when a demonstrated need is shown. All payments for land shall be due in full at the time of closing/possessionl Assessments and costs of public improvements may be paid pursuant to the current City's assessment policy. REPORTING OF BUSINESS SUBSIDIES Minnesota Statutes 116J.993 through 116J.995 regulate business subsidy agreements signed after August 1, 1999, and replace Minn. Statute 116J.991. The City of Becker is mandated to annually report to the Minnesota Department of Trade and Economic Development any assistance given to a business of $25,000.00 or more.