Agenda - Council - 07/28/2020 - Laserfiche WebLink

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Below are some criteria/processes recommended by the EDA: Business size: 30 FTE (Full Time Equivelent) Employees or less Business type: Any Ramsey Business that can show impacts from COVID-19 (subject to eligibility criteria under CARES Act) Time business has been in operation: Business must have been in operation from January 1, 2019 to application submittal Businesses must be in compliance with City Ordinances, City utilities, 2019 property taxes or other city charges Business Entity Type: For -Profit businesses. Must be registered with Minnesota Secretary of State and in good standing. • Note: Anoka County is proposing to roll out a separate program for non-profit businesses but it has not been developed yet. Staff recommends referring non -profits to the Anoka county to serve their needs. Grant/Loan Amount: $10,000 Grant Business Location: Ramsey businesses located in Ramsey only Application Period: 14 days How grants awards are determined: Random selection from all eligible applications Duration of time to expend funds: Funds to be expended by October 31, 2020 and expenses documented to City by November 15, 2020 Proof of need: Comparisons from last year to this year showing reduction in revenue, increased expenses, explanation of need for expenses. Uses of funds: Current payroll obligations (i.e. may not include employees who have been laid off), lease or mortgage payments, utilities, accounts payable, property taxes and other critical business expenses that can't be paid as a direct result of the current health emergency. Awarded funds may not be used for business owner's/manager's personal uses or expenses. Expenses must be directly associated with Ramsey Business location. Grant application and administration: Staff is recommending that the City will screen applications for preliminary eligibility and give a short list to a outside vendor to underwrite need, hardship caused by Covid-19, eligible expenses and business entity and applicant verification. Staff will work with outside vendor to develop a uniform grant agreement. The cost for administration to not exceed 7.5% of the grant program amount. This expense will also be reimbursable under the CARES Act. Businesses not eligible: • Do not have a physical address within the City of Ramsey • Applicants who have previously received federal, state or local grants for the same expenses • Multi -state chains are generally ineligible except for locally owned franchisees. • Businesses that primarily derive income from gambling or adult/use entertainment. • Home -based businesses are generally ineligible except for in -home licensed childcare providers. • Businesses that derive income from passive investments; property rentals or property management; billboards; or lobbying. • Have no current or historical financial statements. • Non-profit organizations If a small business grant policy program is approved, staff will work to create a simple application, process and work with a Third Party vendor to implement this program based on the criteria that is adopted.