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Economic Development Authority (EDA) <br />Meeting Date: 06/14/2018 <br />By: Katie Schmidt, Administrative Services <br />Title: <br />Restaurant Subsidy Program <br />4. 4. <br />Purpose/Background: <br />PURPOSE/ BACKGROUND <br />The city has received feedback from residents, businesses, visitors, and elected/ appointed officials that attracting <br />more restaurants is a priority for Ramsey. The purpose of this case is to review the proposed restaurant subsidy <br />program documents that be the basis of this economic development program. This case was reviewed at the May <br />EDA Meeting. Final policies are now offered for adoption. <br />Notification: <br />Observations/Alternatives: <br />STRATEGIES <br />(1) Full Service Restaurant Subsidy: Water Availability Charge Program <br />See attached draft policy. This policy is focused on forgiving 70% of the city's water access charges. The <br />City has used this subsidy two times in the past (Acapulco and Falls Cafe). The Falls Cafe ended up not <br />using the subsidy. WAC fees on a single new restaurant can run 10's of thousands of dollars. This program <br />requires the city to fund the subsidy from designated EDA funds, and in turn, the restaurant user would <br />receive a reduction in the fee that they pay. <br />(2) Establish a Sign & Awning GrantProQram <br />Please see attached draft Sign and Awning Program policy and application. The program provides a one-time <br />grant to help users with the cost to upgrade/ replace/ construct new signs and awnings. The City would use the <br />EDA Fund as the funding source. many City's use this type of program as a relatively low cost way to <br />enhance commercial exteriors for new businesses. <br />(3) Expand City's Business Welcome Services <br />Today, when a new business comes to the City of Ramsey, staff offers "business welcome" opportunities. <br />This includes a free facebook post, twitter post, city newsletter article, website article, grand opening <br />ceremony services from the chamber, and a newspaper article lead. For new restaurants, staff believes the city <br />could expand these services to include free admission to various city events*. Please see attached draft <br />Marketing Opportunites. <br />*EDA Business Expo, EDA Golf Tournament hole sponsor, Happy Days Business Expo, Happy Days <br />parade, Draw Event Series signage, etc. <br />Funding Source: <br />Funding for financial assistance would come from the City's EDA Account. <br />Recommendation: <br />Staff recommends approving the three draft documents as part of the Restaurant Subsidy Program. <br />Action: <br />