HomeMy WebLinkAbout6. Administration of Additional Small Cities Development Program Loans
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City of Shakopee
Memorandum CONSENT
TO: Economic Development Authority
FROM: Kris Wilson, Assistant to the City Administrator
SUBJECT: Administration of Additional Small Cities Development Program Grants
DATE: November 29,2005
Introduction / Background
At its November 1 meeting, the EDA authorized use of repayment funds from the now-
closed Small Cities Development Program to make additional deferred loans to
qualifying property owners under the terms and conditions applied to the original
program.
Due to the federal regulations that go along with these funds, the original program was
administered for the city by the Carver County HRA. The HRA has experience
determining creditworthiness and ensuring compliance with regulations relating to lead
paint, prevailing wages, etc. Carver County HRA is willing to administer any additional
loans made for residential properties for a fee of $1 ,500 per loan.
Recommendation:
Staff recommends that the EDA authorize staff to enter into an agreement with the Carver
County HRA for the administration of residential loan applications and awards on behalf
of the City of Shakopee, for an administrative fee of $1 ,500 per loan.
Kris Wilson
Assistant to the City Administrator