Agenda - Council - 01/23/2007 - Laserfiche WebLink

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a business with a subsidy worth $25,000 to complete a subsidy approval process as described below. Housing projects and many redevelopment projects are exempt from the requirements. Before granting a business subsidy, the City must complete the following: (1) Adopt criteria for awarding business subsidies following a public hearing. (2) Enter into a subsidy agreement which must include the following information and requirements: (a) A description of the subsidy; (b) A statement of the public purpose and goals of the subsidy; (c) Measurable, specific, and tangible wage and job creation goals (or job retention goals, if job loss is specific and demonstrable) to be achieved within two (2) years of receiving the subsidy; (d) A description of the recipient's frnancial obligation if the goals are not met. The recipient must pay back the assistance with interest if goals are not met, although pro-ration to reflect partial fulfillment of goals is permitted. (e) A statement of why the subsidy is needed. (f) A commitment from the recipient to continue operations in the jurisdiction for at least five (5) years; (g) The name and address of the parent company of the recipient; (h) A list of all other frnancial assistance to the project; and (i) A requirement for the recipient to provide the Authority and the Department of Employment and Economic Development with annual information regarding goals for two years after receiving the subsidy or until the goals are achieved. The reports must be filed by March 1 for the prior year. (3) If the business subsidy exceeds $100,000, the City must conduct a public hearing on the subsidy, after providing at least ten (10) days published notice in the local newspaper. Section 3.27 Requirements for Agreements with Developers. Pursuant to Minnesota Statutes, Section 469.176 Subd. 5, if more than 10% of the acreage ofa project (which contains a housing district) is to be acquired by the City with proceeds from tax increment bonds then, prior to such acquisition, the City must enter into an agreement for the development of the property. Such agreement must provide recourse for the City should the development not be completed. Section 3.28 Green Acres. Tax Increment Financing District No. 11 contains a parcel or part of a parcel that qualified under the provisions of Section 273.111 or 273.112 and Chapter 1954494v3 -176- 15