2014.04.08 EDA Agenda Packet - Laserfiche WebLink

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b) Attaches SAC -E form that details the information for this individual deferral: i. Property Address =123 45th Street, City of XYZ ii. Business Name = Acme Genetics, Ltd. iii. Permit Issued Date = 2/15/14 iv. Start of Loan Date = 4/1/14 (1St day of month after SAC report is due) v. Deferred amount= 8 SAC units X 80% = 6.40 X $2485/unit = $15,904 3. MCES sends an invoice detailing the amount due on the SAC deferral(s) in October 2014. In this single deferral example: a) $15,904 was spread over 5 years with monthly amortization at 2.26% interest (the 2014 interest rate) = $280.57/month. b) Payment on this loan in year 1= $280.57 X 7 months [April through October) = $1,963.99 c) Invoice is sent out annually (aggregating all community deferrals). d) Payment is due in 30 days. In this example, unless the deferral is prepaid, the community will pay for 12 months in 2015, 2016, 2017 and 2018, and only 5 months on the last year's invoice (2019). At that point the full 8 SAC is paid and creditable to future use. SAC Deferral Example #2: Same circumstances as above but the business closes in 2016 after community made 2 payments (for 7 months in 2014 and 12 months in 2015). In June 2016, community notifies MCES that the business closed. Community has an option: 1. Continue remitting the remainder of the SAC deferral payments as scheduled. The full 8 SAC units will be credited to future use on the site as all units are paid for. Of course, if the new use is different, a new SAC determination must be made, and the community will owe SAC for any incremental capacity demand. —OR - 2. Discontinue accruing liability. The community still needs to pay for the 5 months that wastewater demand was needed in 2016, but has no obligation for the rest of the scheduled payments. Only what was paid is creditable for future use (24 months of 60 is paid = 40% X 6.4 SAC units = 2.56 credits available for the site, in addition to 1.60 units from the original down payment). If you wish to participate in the deferral program and are ready for the master SAC Deferral Agreement, fill out the boxes at the top of this application and return it to Dan Schueller, MCES, 390 North Robert Street, St. Paul, MN 55101 or dan.schueller@metc.state.mn.us. If you have additional question you can call him at 651.602.1624. For questions about the SAC program in general, please call Jessica Nye at 651.602.1378. For SAC determinations, please call Karon Cappaert at 651.602.1118. Last Updated: 1/23/14 3