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04-10-2023 EDA
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04-10-2023 EDA
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Last modified
1/29/2025 9:15:09 AM
Creation date
9/18/2023 1:02:02 PM
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MV Commission Documents
Commission Name
Economic Development Authority
Commission Doc Type
Agenda Packets
MEETINGDATE
4/10/2023
Commission Doc Number (Ord & Res)
0
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Date
4/10/2023
EDA Document Type
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<br />Exhibit A Page 2 <br />DOCSOPEN\MU205\13\867249.v2-4/5/23 <br /> <br /> <br /> <br />EDA Forgivable Loan Program <br /> <br /> <br /> <br />Interest Rate: 0% <br /> <br />Amortization Type: Deferred (no monthly payments). <br /> <br />Loan Amount: Up to $5,000 per calendar year per business, but not to exceed $15,000 total through <br />the program over any number of calendar years. <br /> <br />Loan term: One (1) year. If the business or financed improvements have not been sold within one (1) <br />year of loan closing the loan shall be 100% forgiven. If the business or improvements have been sold <br />within one (1) year of loan closing 100% of the loan is due in full. <br /> <br />Eligible Properties: Commercially zoned or legally non-conforming use properties located within the <br />geographical boundaries of the City of Mounds View. Mixed use properties are eligible. <br /> <br />Ineligible Properties: Properties used for residential purposes. <br /> <br />Eligible Borrowers: The Borrower must require at least one (1) full-time employee (40 hours per week) <br />or two (2) part-time employees (equaling 40 hours per week) to operate. All borrowers must be a <br />registered business with the MN Secretary of State. The borrower(s) may own or lease the property. <br /> <br />Ineligible Borrowers: Including but not limited to: Businesses not registered with the MN Secretary of <br />State and businesses defined as home occupations under Mounds View City Code. <br /> <br />Ownership/Occupancy: Business must occupy the property. <br /> <br />Loan - to - Value Ratio: N/A <br /> <br />Income Limit: N/A <br /> <br />Debt - to - Income Ratio: N/A <br /> <br />Credit Requirements: There must not be any delinquent property taxes, bills or charges due to the City. <br />The City will verify or provide a list of eligible businesses. <br /> <br />Multiple Loans per Property: More than one loan per business is allowed, but a maximum of $5,000 <br />per calendar year and not to exceed a combined $15,000 over the life of the program. <br /> <br />Eligible Use of Funds: To make permanent physical improvements to the business’s commercial space, <br />including, but not limited to, façade improvements, commercial signage, parking lots, sidewalks,
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