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Twin Cities Community Capital Fund Page 2 of 4 <br />larger loans from the Fund? <br />Absolutely. TCCCF members are able to increase their participation <br />amount in the Fund at any time in order to meet their changing <br />needs and to make the most of this new financing resource. <br />If we are a member of the TCCCF and later decide to <br />terminate our membership, how and when will the funds that <br />we deposited in the Fund be returned to us? <br />Membership in the fund is subject to both a participation agreement <br />and a loan fund escrow agreement, which requires members to <br />make a minimum three -year commitment to the TCCCF. Members <br />may withdraw their money from the loan fund escrow account <br />anytime after three years from the date of their deposit. TCCCF will <br />return all member Loan Fund deposits, without interest, within 30 <br />days upon written request of the member. <br />As a member of the TCCCF, do we have the right to appoint a <br />representative to the Board of Directors? <br />No, but a representative of your organization will be eligible for <br />election to the nine - member Board that will govern the TCCCF. Six <br />of the nine board members will be elected by the membership at the <br />organization's annual meeting. Since the corporation has three <br />classes of membership (based upon the member's contribution <br />level) each class of members will elect two directors. The six elected <br />directors will be responsible for filling the three at -large director <br />seats. <br />Who will manage the Fund? <br />The Northland Institute, a Minnesota nonprofit corporation <br />established in 1996, will provide all necessary management services <br />to the TCCCF during at least the first three years of operation. After <br />this initial period, the Board of Directors may either continue to <br />contract for fund management services or hire staff to manage the <br />Fund. <br />Who will pay for the cost of fund management? <br />The primary revenue sources that will be available to pay for fund <br />management services and all operating expenses are the interest <br />earnings on the pooled funds contributed by TCCCF members and <br />loan origination fees paid by our borrowers. Members are not <br />required to pay directly for any services provided by the fund <br />manager that pertain to the structuring of TCCCF loans. <br />How will the Fund be recapitalized? <br />The TCCCF will be a self- sustaining development resource, with <br />recapitalization of the Fund through the sale of pre- approved loans <br />to a specialized secondary market for economic development loans. <br />The sale proceeds from TCCCF loans are immediately returned to <br />http: / /www.tccef.org /faq.cfm 4/22/2005 <br />