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Home My WebLink AboutOctober 04, 2016 EDA #¨³¸ ®¥ 3§ ª®¯¤¤Ǿ -¨¤²®³ %¢®®¬¨¢ $¤µ¤«®¯¬¤³ !´³§®±¨³¸ ¥®± ³§¤ #¨³¸ ®¥ 3§ ª®¯¤¤ #/--%2#)!, %84%2)/2 )-02/6%-%.4 PROGAM POLICY 1)0/,)#9 0520/3% &®± ³§¤ ¯´±¯®²¤² ®¥ ³§¨² £®¢´¬¤³, ³§¤ ³¤±¬ ȏ#¨³¸Ȑ ¨¢«´£¤² ³§¤ 3§ ª®¯¤¤ #¨³¸ #®´¢¨«Ǿ ²³ ¥¥Ǿ ³§¤ %¢®®¬¨¢ $¤µ¤«®¯¬¤³ !´³§®±¨³¸Ǿ a£µ¨²®±¸ ¡® ±£² £ ¢®¬¬¨²²¨®²Ǿ ¥¨ ¢¨ « ¢®²´«³ ³² £ «¤¦ « ¢®´²¤«ȁ 4§¤ #¨³¸ ®¥ 3§ ª®¯¤¤ ¨² ¯±®´£ ®¥ ¨³² §¨²³®±¨¢ £®¶³®¶ £ ®³§¤± ¢®¬¬¤±¢¨ « ±¤ ² £ ¶®´«£ «¨ª¤ ³® ¤¢®´± ¦¤ ¯±®¯¤±³¸ ®¶¤±² ³® ¬ ¨³ ¨ £ ¨µ¤²³ ¨ ³§¤¨± ¯±®¯¤±³¨¤² ¨ ®±£¤± ³® ¯±¤²¤±µ¤ ³§¤¬ ² ¯±®¥¨³ ¡«¤ ¡´²¨¤²²¤² £ ³³± ¢³ive £¤²³¨ ³¨®² ¥®± ¸¤ ±² ³® ¢®¬¤ȁ 4§¤ %¢®®¬¨¢ $¤µ¤«®¯¬¤³ !´³§®±¨³¸ ¥®± ³§¤ #¨³¸ ®¥ 3§ ª®¯¤¤Ǿ ´²¨¦ ¨³² §®´²¨¦ £ ±¤£¤µ¤«®¯¬¤³ ´³§®±¨³¸ ¯®¶¤±²Ǿ ¬ ¸ ¢±¤ ³¤ ¯±®¦± ¬² «¨ª¤ ³§¨² #®¬¬¤±¢¨ « %·³¤±¨®± )¬¯±®µ¤¬¤³ 0±®¦± ¬ ¨ ®±£¤± ³® ¤«¨¬¨ ³¤ ®± ¯±¤µ¤³ ¡«¨¦§³ȁ 4§¤ #®¬¬¤±¢¨ « %·³¤±¨®± )¬¯±®µ¤¬¤³ 0±®¦± ¬Ǿ ¥®±¬¤±«¸ ª®¶ ² ³§¤ & Ê £¤ )¬¯±®µ¤¬¤³ 0±®¦± ¬Ǿ ««®¶² ¡´²¨¤²²¤² ³® ¯¯«¸ ¥®± £¤¥¤±±¤£ «® ¥±®¬ ³§¤ #¨³¸ ¥®± ¤·³¤±¨®± ¨¬¯±®µ¤¬¤³²ȁ 4§¨² £®¢´¬¤³ ²¤³² ¥®±³§ ³§¤ ²¯¤¢¨¥¨¢ ¢±¨³¤±¨ ³§¤ #¨³¸ ´²¤² ³® ¤µ «´ ³¤ ±¤°´¤²³² ¥®± #®¬¬¤±¢¨ « %·³¤±¨®± )¬¯±®µ¤¬¤³ ,® ²ȁ 4§¤ City ±¤²¤±µ¤² ³§¤ ±¨¦§³ ³® ¯¯±®µ¤ ®± ±¤©¤¢³ ¯±®©¤¢³² ® ¢ ²¤-by-¢ ²¤ ¡ ²¨²Ǿ ³ ª¨¦ ¨³® ¢®²¨£¤± ³¨® ¤²³ ¡«¨²§¤£ ¯®«¨¢¨¤²Ǿ ¯±®©¤¢³ ¢±¨³¤±¨ Ǿ £ £¤¬ £ ®¥ #¨³¸ ²¤±µ¨¢¤² ¨ ±¤« ³¨® ³® ³§¤ ¯±®©¤¢³² pot¤³¨ « ¡¤¤¥¨³²ȁ -¤¤³¨¦ ¯®«¨¢¸ ¢±¨³¤±¨ £®¤² ®³ ¦´ ± ³¤¤ ³§¤ ¶ ±£ ®¥ ¡´²¨¤²² ²²¨²³ ¢¤ ³® ³§¤ ¯±®©¤¢³ȁ !¯¯±®µ « ®± £¤¨ « ®¥ ®¤ ¯±®©¤¢³ ¨² ®³ ¨³¤£¤£ ³® ²¤³ ¯±¤¢¤£¤³ ¥®± ¯¯±®µ « ®± £¤¨ « ®¥ ®³§¤± ¯±®©¤¢³ȁ 4§¤ City ¢ £¤µ¨ ³¤ ¥±®¬ ³§¨² ¯®«¨¢¸ ¥®± ¯±®©¤¢³² ³§ ³ ²´¯¤±²¤£¤ ³§¤ ®¡©¤¢³¨µ¤² ¨£¤³¨¥¨¤£ §¤±¤¨ȁ 2)02/'2!- REQUIREMENTS 4§¤ Comme±¢¨ « %·³¤±¨®± )¬¯±®µ¤¬¤³ 0±®¦± ¬ § ² ³§¤ ¥®««®¶¨¦ ±¤°´¨±¤¬¤³²: (1) %«¨¦¨¡«¤ ¤·¯¤²¤² ¨¢«´£¤ ¨¬¯±®µ¤¬¤³² ³§ ³ ±¤ µ¨²¨¡«¤ ¥±®¬ ³§¤ ¤·³¤±¨®±Ǿ ²®¬¤ ®¥ ¶§¨¢§ ¬ ¸ ¨¢«´£¤ ¡´³ ±¤ ®³ «¨¬¨³¤£ ³®Ȁ ±®®¥² Ȩ¥« ³ ®± ¯¨³¢§¤£ȩǾ ¶¨£®¶² £ £®®±²Ǿ ²¨£¨¦ £ ¡±¨¢ªǾ ±¤¬®µ « ®¥ ¡«¨¦§³ ¥±®¬ ³§¤ ¯±®¯¤±³¸Ǿ ¤·³¤±¨®± ¯ ¨³¨¦Ǿ «¨¦§³¨¦Ǿ ²¨¦ ¦¤ £ ¶¨¦²Ǿ £ ±¤²³®± ³¨® ®¥ §¨²³®±¨¢ £¤³ ¨«ȁ (2)4§¤ ¨³¤³ ®¥ ³§¤ #®¬¬¤±¢¨ « %·³¤±¨®± )¬¯±®µ¤¬¤³ 0±®¦± ¬ ¨² ³® ¬ ¨³ ¨ £ ±¤µ¨³ «¨¹¤ ®«£¤± ¢®¬¬¤±¢¨ « ¡´¨«£¨¦² ¶¨³§¨ ³§¤ #¨³¸ ³§ ³ ±¤ ¡´¨«³ ¯±¨®± ³® ΐΘΗΏȁ (3)4§¤ #¨³¸ ¶¨«« ¯ ¸ ´¯ ³® ¬ ·¨¬´¬ ¬®´³ ®¥ ΔΏ ¯¤±¢¤³ ®¥ ¯±®©¤¢³Ȍ² ¢®²³ ¥®± ¤«¨¦¨¡«¤ exterior-¡´¨«£¨¦ ¨¬¯±®µ¤¬¤³²ȁ 2014 0 ¦¤ 1 (4)4§¤ ³¤±¬ ®¥ ³§¤ «® ²§ «« ®³ ¤·¢¤¤£ ΑΏ yearsȁ 0 ¸¬¤³² ® ³§¤ «® ¶¨«« ¡¤ £¤¥¤±±¤£ £ ¶¨«« ¡¤ ¥®±¦¨µ¤ ¨¥ ³§¤ ¯¯«¨¢ ³ ² ³¨²¥¨¤² ³§¤ ³¤±¬² ®¥ ³§¤ «® ¦±¤¤¬¤³ȁ ,® ¥®±¦¨µ¤¤²² ³ ª¤² ¯« ¢¤ ®µ¤± ¥¨µ¤-¸¤ ± ¯¤±¨®£ ¶¨³§ ΑΏ ¯¤±¢¤³ ®¥ ³§¤ ¶ ±£ ¥®±¦¨µ¤ (5) annually. 4§¤ #¨³¸ ¬ ¸ ¤·³¤£ ®± ±¤£´¢¤ ³§¤ ±¤¯ ¸¬¤³ ¯¤±¨®£ ¡ ²¤£ ® ³§¤ £®«« ± ¬®´³ ®¥ ³§¤ ¶ ±£ȁ 4§¤ ³ ¡«¤ ¡¤«®¶ ²§®´«£ ¡¤ ´²¤£ ² ¦´¨£¤«¨¤Ȁ !¬®´³ ®¥ !¶ ±£2¤¯ ¸¬¤³ 0¤±¨®£ 5¯ ³® ͡ΑΔǾΏΏΏ Δ ¸¤ ±² $25,001-$35,000 Ζ ¸¤ ±² $35,001-$50,000 ΐΏ ¸¤ ±² $50,001-$75,000 ΐΔ ¸¤ ±² $75,001-$100,000 ΑΏ ¸¤ ±² (6))¥ ³§¤ ¡¤¤¥¨³¨¦ ¡´¨«£¨¦ ¨² ²®«£ ¶¨³§¨ ³§¤ ¯¤±¨®£ ®¥ ³§¤ «® Ǿ ³§¤ «® ¬´²³ ±¤¯ ¨£ȁ 4§¤ %$! "® ±£ ¬ ¸ ¢®²¨£¤± «³¤± ³¨µ¤² ³® ¨¬¬¤£¨ ³¤ ±¤¯ ¸¬¤³Ǿ ¨¢«´£¨¦ ¡´³ ®³ «¨¬¨³¤£ ³® ³± ²¥¤± ®¥ ³§¤ «® ³® ¤¶ ®¶¤± ®± ¬´³´ ««¸ ¦±¤¤ ¡«¤ «® ±¤¯ ¸¬¤³ schedule. (7)4§¤ ¯¯«¨¢ ³ § ² ®¤ ¸¤ ± ¥±®¬ ³§¤ ¶ ±£ £ ³¤ ®¥ ³§¤ «® ³® ¢®¬¯«¤³¤ ³§¤ ¯±®©¤¢³ £ ±¤°´¤²³ ¯ ¸¬¤³ ®¥ «® funds. !«« «® ¥´£² ¶¨«« ¡¤ ¯ ¨£ ³® ¯¯«¨¢ ³ ´¯® ±¤¢¤¨¯³ ®¥ ¤µ¨£¤¢¤ ®¥ ¯ ¨£ ¨µ®¨¢¤² ¥®± ³§¤ ¯±®©¤¢³. 3)!00,)#!4)/. 02/#%33 (1)!¯¯«¨¢ ³¨®² ¬´²³ ¡¤ ²´¡¬¨³³¤£ ¡¸ ³§¤ ¯±®¯¤±³¸ ®¶¤±Ȩ²ȩ ®± ³§¤ ¡´¨«£¨¦ ³¤ ³ ¨ ¢®©´¢³¨® ¶¨³§ ³§¤ ®¶¤±Ȩ²ȩ. The ¯¯«¨¢ ³¨® ²§ «« ¡¤¢®¬¤ ³§¤ ¯±®¯¤±³¸ ®¥ ³§¤ #¨³¸ £ȝ®± %$! £ ¨² ²´¡©¤¢³ ³® -¨¤²®³ Statutes, #§ ¯³¤± ΐΒ Ȩ³§¤ '®µ¤±¬¤³ $ ³ Practic¤² 3³ ³´³¤ȩ. (2),® ±¤¢¨¯¨¤³² ±¤ ±¤°´¨±¤£ ³® ²¤¤ª ³ «¤ ²³ ³¶® ¡¨£² ¥®± «« ¯±®©¤¢³²ȁ )³ ¨² ²²´¬¤£ ³§ ³ ³§¤ contract®± ¶§® ²´¡¬¨³² «®¶¤²³ ¡¨£ ¶¨«« ¡¤ §¨±¤£ ³® ¢®¬¯«¤³¤ ³§¤ ¨¬¯±®µ¤¬¤³² ´«¤²² ¬¨³¨¦ ³¨¦ ¢¨±¢´¬²³ ¢¤² ¤·¨²³. (3)&´£² ¥®± ³§¨² ¯±®¦± ¬ ±¤ «¨¬¨³¤£ £ ¶¨«« ¡¤ ¶ ±£¤£ ³® °´ «¨¥¸¨¦ ¯¯«¨¢ ³² ® ¥¨±²³- ¢®¬¤Ǿ ¥¨±²³-served basis. (4)#¨³¸ ²³ ¥¥ ²§ «« ±¤µ¨¤¶ ³§¤ ¯¯«¨¢ ³¨® ¬ ³¤±¨ «² £ ¬ ª¤ ¯±¤«¨¬¨ ±¸ ±¤¢®¬¬¤£ ³¨® ±¤¦ ±£¨¦ ³§¤ ¢®¬¯«¤³¤¤²² ®¥ ³§¤ ¯¯«¨¢ ³¨® £ ¶§¤³§¤± ³§¤ ¯¯«¨¢ ³¨® ¬¤¤³² ³§¤ ¢±¨³¤±¨ ®´³«¨¤£ ¨ ³§¨² policy. (5)) ³§¤ ¤µ¤³ ³§ ³ ³§¤ %$! "® ±£ concurs ¶¨³§ ³§¤ ±¤¢®¬¬¤£ ³¨® ¡®µ¤Ǿ ³§¤ %$! "® ±£ ¶¨«« ¦± ³ ¥¨ « ¯¯±®µ « ®± £¤¨ « ®¥ ³§¤ «® ȁ 2014 0 ¦¤ 2 4)2%0/24).' 2%15)2%-%.43 L® ² ³§ ³ ±¤ «¤²² ³§ ͡ΖΔǾΏΏΏ ±¤ ®³ ²´¡©¤¢³ ³® ±¤¯®±³¨¦ ´£¤± 2¤¦´« ³¨¦ ,®¢ « £ 3³ ³¤ "´²¨¤²² 3´¡²¨£¨¤²Ǿ -¨¤²®³ 3³ ³´³¤ ΐΐΕ*ȁΘΘΓȁ ,® ¬®´³² ¡®µ¤ ͡ΖΔǾΏΏΏ ±¤ ¢®²¨£¤±¤£ ¥¨ ¢¨ « ²²¨²³ ¢¤ ´£¤± 2¤¦´« ³¨¦ ,®¢ « £ 3³ ³¤ "´²¨¤²² 3´¡²¨£¨¤²Ǿ -¨¤²®³ 3³ ³´³¤ ΐΐΕ*ȁΘΘΓǾ £ ²§®´«£ ¡¤ ±¤¯®±³¤£ ® ³§¤ -¨¤²®³ &¨ ¢¨ « !²²¨²³ ¢¤ &®±¬ ¥®± .®-*/": 0±®©¤¢³²ȁ 2014 0 ¦¤ 3 City of Shakopee, Minnesota Economic Development Authority for the City of Shakopee FACADE IMPROVEMENT PROGRAM For the purposes of this document,the term “City” includes the Shakopee City Council, staff, the Economic Development Authority, advisory boards and commissions, financial consultants,andlegal counsel. PURPOSE The City of Shakopee’s Commercial Façade Improvement Program (FIP) provides financial support through a deferred loan to commercial property owners and business owners in the historic Downtown area and along Shakopee’s commercial corridors. The purposeof the FIP is to support the revitalization of historic Downtown Shakopee and the City’s commercial areas by stimulating private investment in high-quality improvements that enhance the appearance of buildings and proprieties and eliminate blight and buildings that don’t meet current design standards. The Economic Development Authority for the City of Shakopee, using its housing and redevelopment authority powers, created the Façade Improvement Program (FIP) in order to eliminate or prevent blight. The Cityreserves the right to approve or reject projects on a case-by-case basis, taking into consideration established policies,project criteria, and demand ofCity services in relation to the projects potential benefits. Meeting policy criteria does not guarantee the award of business assistance to the project. Approval or denial of one project is not intended to set precedent for approval or denial of another project. The Citycan deviate from this policy for projects that supersede the objectives identified herein. PROGRAM ELIGIBILTY The Commercial FacadeImprovement Program provides a one-time forgivableloan for eligible façade improvements. Eligible applicants are owners of commercial properties or purchasers of properties that have a contract on an eligible property that they will be renovating upon closing on the property. The intent of the FIP is torevitalize older commercial buildings within the City that arebuilt prior to 1980. Building renovationsin the Downtown should adhereto the extent practicable to the City of Shakopee Downtown Design Guidelines, 1999,to have the maximum impact. 2016 0 ¦¤ 1 ELIGIBLE EXPENSES For the purposes of this program, eligible expenditures shall include expenses related solely to those exterior improvements that are eligible for the program, as outline in the program guidelines and as determined by the City. Expendituresexcluded are thoserelated to interior improvements; ordinary repair and maintenance; improvements as a required as a result of a code violation; or other expenses deemed ineligible by the City. Eligible improvements include those items visible from the street, including: exterior building improvements (cosmetic and/or structural); signage; lighting and landscaping. Examples include, but are not limited to: exterior painting or surface treatment; decorative awnings; window and/or door replacements or entrance modifications; storefront replacements or enhancements; streetscape; outdoor patios and decks; exterior wall lighting; restoration of architectural features. Landscaping expenses, when part of a larger project, may be included in the total costs. Fees for architects, engineers or other design professionals may also be considered as part of the project costs. Improvements or repairs that are required as a result of a violation or citation are not eligible for funding through the FIP. However, improvements that are the result of voluntary compliance and the applicant’s desire to bring a property into conformance with the City’s current design standards will be considered. Improvements will be considered as part of a total project. For instance, if the applicant proposes to replace the windows, the City may recommend that sills also be repairedor replaced. Site furnishings, amenities, non-permanent structures or improvements or movable equipment are not eligible for funding through the FIP. All improvements must obtain any required approvals and/or permits. Any renovations that are solely the result of ordinary repair and maintenanceare not eligible for funding through the FIP. Ordinary repair and maintenanceis defined as “any work, the purpose and effect of which is to correct or prevent any deterioration or decay, or damage to, a structure, site or any part thereof and to restore the structure or site, as nearly practicable, to its condition prior to such deterioration, decay, or damage using materials that are of a design, color and outer appearance as close as practicable to the original.” Exclusions to this clause may be made when a new owner purchases a structure and is renovating the structure and the deterioration has not been caused bythe new owner or any affiliate or agent. 2016 0 ¦¤ 2 FUNDING (1)The program provides a one-time forgivable loan for eligible expenses.These improvementsmust bevisible from the exteriorand meet the eligible expense requirements. (2)The City mayfund up toa maximum amount of50 %eligible project’scost.Loans typically will not exceed $30,000. Larger amounts may be considered for critical or keystone projects that have a larger impact on the community., (3)The term of the loan shall not exceed 20 years.Payments on the loan will be deferred and will be forgiven if the applicant satisfies the terms of the loan agreement. (4)Loan forgiveness takes place over a five-year period with 20 percent of the award forgiven annually.The City may extend or reduce the repayment period based on the dollar amount of the award.The table below should be used as a guideline: Amount of AwardRepayment Period Up to $30,0005 years $30,001-$47,5007 years $47,501-$65,00010 years $65,001-$85,50015 years $85,501-$100,00020 years (5)If the benefiting building is sold within the period of the loan, the loan must be repaid. The Citymay consider alternatives to immediate repayment, including but not limited to transfer of the loan to a new owner or a mutually agreeable loanrepayment schedule. (6)The applicant has one year from the award dateof the loanto complete the project and request payment of loan funds.All loan funds will be paid to an applicant uponreceipt of evidence of paid invoicesfor the projectalong with a release of any and all mechanics or contractors liens. (7)The applicant must maintain the property during the repayment period. Failure to do so may cause the loan to become payable in full. 2016 0 ¦¤ 3 APPLICATION PROCESS (1)Applications must be submitted by the property owner(s) or the building tenant in conjunction with the owner(s).Theapplicationshall become the property of the City and/or EDA and is subject to Minnesota Statutes,Chapter 13 (the Government Data Practices Statute). (2)Loan recipients are required to seek at least two bids for all projects. It is assumed that the contractor who submits lowest bidwill be hired to complete the improvementsunless mitigating circumstances exist. (3)Funds for this program are limited and will be awarded to qualifying applicants on a first- come, first-servedbasis. (4)City staff shall review the application materials and make a preliminary recommendation regarding the completeness of the application and whether the application meets the criteria outlined in thispolicy. (5)In theevent that the EDA Board concurswith the recommendation above, the EDA Board will grantfinal approval or denial of the loan. REPORTING REQUIREMENTS Loans that are less than $75,000 are not subject to reporting under Regulating Local and State Business Subsidies, Minnesota Statute 116J.994. Loan amounts above $75,000 are considered financial assistance under Regulating Local and State Business Subsidies, Minnesota Statute 116J.994, and should be reported on the Minnesota Financial Assistance Form for Non-JOBZ Projects. 2016 0 ¦¤ 4 City of Shakopee, Minnesota Formatted:Font:(Default)Arial Economic Development Authority for the City of Shakopee COMMERCIAL EXTERIOR IMPROVEMENT PROGAMPOLICYFAÇADE IMPROVEMENT PROGRAM 1) POLICY PURPOSE Formatted:Font:(Default)Arial,9pt For the purposes of this document,the term “City” includes the Shakopee City Council, staff, the Economic Development Authority, advisory boards and commissions, financial consultants andlegal counsel. PURPOSE Formatted:Font:Bold,Underline The City of Shakopee is proud of its historic downtown and other commercial areas and would Formatted:Font:(Default)Arial liketo encourage property owners to maintain andre-invest in their properties in order to preserve them as profitable businesses and attractivedestinations for years to come.The City of Shakopee’s Commercial Façade Improvement Program (FIP) provides financialsupport through a deferred loan to commercial property owners and business owners in the historic Downtown area and along Shakopee’s commercial corridors. Thepurposeof the FIP is to support the revitalization of historic Downtown Shakopee and the City’s commercial areas by stimulating privateinvestment in high-quality improvements that enhance the appearance of buildings and proprieties and eliminate blight and buildings that don’t meet current design standards. The Economic Development Authority for the City of Shakopee, using its housing and redevelopment authority powers, created the Façade Improvement Program (FCIP) in order to Formatted:Font:(Default)Arial eliminate or prevent blight. The Economic Development Authority for the City of Shakopee, using its housing and redevelopment authority powers, may create programs like this Commercial Exterior Improvement Program(CEIP)in order to eliminate or prevent blight. The Commercial Exterior Improvement Program, formerly known as the Façade Improvement Program, allows businesses to apply for a deferred loan from the City for exterior improvements. The purpose of CEIP is to support the revitalization with high-quality improvements that enhance the appearanceof buildings and properties and eliminate blight and non-conforming design standards. The CEIP also provide technical assistance to owners to ensure that improvements are impactful for the business and the city. The Commercial Exterior Improvement Program, formerly known as the Façade Improvement Program, allows businesses to apply for a deferred loan from the City for exterior improvements. 2014 0 ¦¤ 2016 0 ¦¤ 1 This document sets forth the specific criteria the City uses to evaluaterequests for Commercial Exterior Improvement Loans. The Cityreserves the right to approve or reject projects on a case-by-case basis, taking into consideration established policies,project criteria, and demand ofCity services in relation to the projects potential benefits. Meeting policy criteria does not guarantee the award of business assistance to the project. Approval or denial of one project is not intended to set precedent for approval or denial of another project. 2) The Citycan deviate from this policy for projects that supersede the objectives identified Formatted:Normal,Nobulletsornumbering,Tabstops: 0.19",Left herein. Formatted:Font:(Default)Arial 3) PROGRAM PROGRAM REQUIREMENTSELIGIBILTY Formatted:Font:(Default)Arial,Underline Formatted:Font:(Default)Arial,Underline The Commercial Exterior FacadeImprovement Program provides a one-time forgivableloan for Formatted:Normal,Nobulletsornumbering,Tabstops: eligible façade improvements.Eligible applicants areowners of commercial properties or 0.19",Left purchasers of properties thathave a contract on an eligible property that they will be renovating Formatted:Font:(Default)Arial upon closing on the property.has the following requirements Formatted:Font:(Default)Arial Formatted:Font:(Default)Arial :The intent of the FIP isto revitalize older commercial buildings within the City that arebuilt prior Formatted:Font:(Default)Arial to 1980. Buildingrenovationsin the Downtown should adhereto the extent pPracticableto the City of Shakopee Downtown Design Guidelines, 1999,to have the maximum impact. ELIGIBLE EXPENSES Formatted:Font:Bold,Underline For the purposesof this program, eligible expenditures shallinclude expenses related solely to thoseexterior improvementsthat are eligiblefor the program, as outline in the program guidelines and as determined by the City. Expendituresexcluded are thoserelated to interior improvements; ordinary repair and maintenance; improvements as a required as a result of a code violation; or other expenses deemed ineligible by the City. Eligible improvements includethose items visible from the street, including: Formatted:Font:(Default)Arial exterior building improvements (cosmetic and/or structural); signage; lighting and Formatted:ListParagraph,Bulleted+Level:1+Alignedat: 0.25"+Indentat:0.5" landscaping. Examples include, but are not limited to: exterior painting or surface treatment; decorative awnings; window and/or door replacements or entrance modifications; storefront replacements or enhancements; landscaping; streetscape; outdoorpatiosand decks;exterior wall lighting; restoration of architectural features. Landscaping expenses, when part of a larger project, may be included in the total costs.Fees for architects, engineersor other design Formatted:Font:(Default)Arial professionals may also be considered aspart of the project costs. 2014 0 ¦¤ 2016 0 ¦¤ 2 Formatted:Font:(Default)Arial Improvements or repairs that are required as a result of a violationor citation are Formatted:ListParagraph Formatted:ListParagraph,Bulleted+Level:1+Alignedat: not eligiblefor funding through the FIP. However,improvementsthat are the 0.25"+Indentat:0.5" result of voluntary compliance and the applicant’s desire to bring a propertyinto conformance with the City’s current design standards will be considered. Formatted:Font:(Default)Arial Improvements will be consideredas part of a total project. For instance, if the Formatted:ListParagraph Formatted:ListParagraph,Bulleted+Level:1+Alignedat: applicant proposes to replace the windows, the City may recommend that sills 0.25"+Indentat:0.5" also be repairedor replaced. Formatted:Font:(Default)Arial Formatted:Font:(Default)Arial Site furnishings,amenities, non-permanent structures or improvements or Formatted:ListParagraph movable equipmentare not eligible for funding through the FIP. Formatted:ListParagraph,Bulleted+Level:1+Alignedat: 0.25"+Indentat:0.5" Formatted:Font:(Default)Arial All improvements must obtain any required approvals and/or permits. Formatted:Font:(Default)Arial Formatted:ListParagraph Any renovations that are solelythe result of ordinaryrepairand maintenance Formatted:ListParagraph,Bulleted+Level:1+Alignedat: Ordinaryrepairand maintenance are not eligibleforfundingthrough the FIP. is 0.25"+Indentat:0.5" “any work, the purpose and effect of which is to correct or preventany defined as Formatted:Font:(Default)Arial deteriorationor decay, or damage to, a structure, site or any part thereof and to Formatted:ListParagraph restore the structureor site, as nearly practicable, to its condition prior to such Formatted:ListParagraph,Bulleted+Level:1+Alignedat: 0.25"+Indentat:0.5" deterioration, decay, or damageusing materials that are of a design, color and Formatted:Font:(Default)Arial,Bold,Italic,Underline outer appearance as close as practicable to the original.” Formatted:Font:(Default)Arial Formatted:Font:(Default)Arial,Italic Formatted:Font:(Default)Arial Exclusions to this clause may be made when a new owner purchases a structure Formatted:Font:(Default)Arial,Italic and is renovating the structure and the deteriorationhas not been caused by the Formatted:Font:NotItalic new owner or any affiliate or agent. Formatted:Font:(Default)Arial Formatted:Indent:Left:0.5",Nobulletsornumbering FUNDING Formatted:Font:NotItalic The program provides a one-time forgivable loan for Eeligible expenses. These (1) Formatted:ListParagraph includeimprovements that aremust bevisible from the exterior,Formatted:Font:(Default)Arial and meet the Formatted:Font:Bold .Ssome of the eligible improvementswhich may eligible expense requirements. Formatted:Font:(Default)Arial,Bold include but are not limited to: roofs (flat or pitched), windows and doors, siding Formatted:Font:(Default)Arial and brick, removal of blight from the property, exterior painting, lighting, signage Formatted:Font:(Default)Arial and awnings, and restoration of historic detail. (1) Formatted:Numbered+Level:1+NumberingStyle:1,2, 3,…+Startat:1+Alignment:Left+Alignedat:0.25"+ Indentat:0.5" The intent of the Commercial Exterior Improvement Programis to maintain and (2) Formatted:Indent:Left:0.5",Nobulletsornumbering revitalize older commercial buildings within the City that are built prior to 1980. Formatted:Font:(Default)Arial 2014 0 ¦¤ 2016 0 ¦¤ 3 Buildings in the Downtown should try to adhere to the City of Shakopee Downtown Design Guidelines, 1999 to have the maximum impact. (2)The City will maypay fund up toa maximum amount of50 percent of an50 %percent Formatted:Font:(Default)Arial eligible project’s’scost.Loans typically will not exceed $30,000. Larger amounts may Formatted:Numbered+Level:1+NumberingStyle:1,2, 3,…+Startat:1+Alignment:Left+Alignedat:0.25"+ be considered for critical or keystone projects that have a larger impact on the Indentat:0.5" community. Formatted:Font:(Default)Arial Formatted:Font:(Default)Arial Formatted:Font:(Default)Arial (3) for eligible exterior-building improvements. Formatted:Font:(Default)Arial,11pt Formatted:Indent:Left:0.5",Nobulletsornumbering Formatted:Font:(Default)Arial (4) (3)The term of the loan shall not exceed 20 years.Payments on the loan will be Formatted:Normal,Nobulletsornumbering deferred and will be forgiven if the applicant satisfies the terms of the loan agreement. Formatted:Normal (5)(4)Loan forgiveness takes place over a five-yearperiod with 20 percent of the award forgiven annually.The City may extend or reduce the repayment period based on the dollar amount of the award.The table below should be used as a guideline: Amount of AwardRepayment Period Up to $2530,0005 years Formatted:Font:(Default)Arial $2530,001-$35,00047,5007 years Formatted:Font:(Default)Arial $35,00147,501-10 years Formatted:Font:(Default)Arial $50,00065,000 Formatted:Font:(Default)Arial $5065,001-$7585,500015 years Formatted:Font:(Default)Arial $75,00182,501-$100,00020 years Formatted:Font:(Default)Arial Formatted:Font:(Default)Arial (6) (5)If the benefiting building is sold within the period of the loan, the loan must Formatted:Font:(Default)Arial repaidbe repaid. TheEDA BoardCitymay consider alternatives to immediate Formatted:Font:(Default)Arial repayment, including but not limited to transfer of the loan to a new owner or a mutually Formatted:Font:(Default)Arial agreeable loan repayment schedule. Formatted:Font:(Default)Arial (6)The applicant has one year from the award dateof the loanto complete the project and Formatted:Font:(Default)Arial request payment of loan funds.Allloan funds will be paid to an applicant uponreceipt of Formatted:Font:(Default)Arial evidence of paid invoicesfor the projectalong with a release of any and all mechanics or Formatted:Font:(Default)Arial contractors liens. Formatted:Font:(Default)Arial Formatted:Font:(Default)Arial (7)The applicant must maintain the property during the repayment period. Failure to do so Formatted:Font:(Default)Arial may cause the loan to become payable in full. Formatted:Font:(Default)Arial,11pt (7) . Formatted:Indent:Left:0.5",Nobulletsornumbering Formatted:Font:(Default)Arial 4) APPLICATION PROCESS Formatted:Indent:Left:0.5",Nobulletsornumbering Formatted:Indent:Left:0" Formatted:Nobulletsornumbering 2014 0 ¦¤ 2016 0 ¦¤ 4 (1)Applications must be submitted by the property owner(s) or the building tenant in conjunction with the owner(s).Theapplication shall become the property of the City and/or EDA and is subject to Minnesota Statutes,Chapter 13 (the Government Data Practices Statute). Formatted:Font:Fontcolor:DarkGray, (1) Formatted:Font:(Default)Arial (2)Loan recipients are required to seek at least two bids for all projects. It is assumed that Formatted:Indent:Left:0.5",Nobulletsornumbering the contractor who submits lowest bidwill be hired to complete the improvementsunless mitigating circumstances exist. (3)Funds for this program are limited and will be awarded to qualifying applicants on a first- come, first-servedbasis. (3) Formatted:Font:(Default)Arial (4)City staff shall review the application materials and make a preliminary recommendation Formatted:Indent:Left:0.5",Nobulletsornumbering regarding the completeness of the application and whether the application meets the criteria outlined in thispolicy. Formatted:Font:Fontcolor:DarkGray, (4) Formatted:Font:(Default)Arial (5)In theevent that the EDA Board concurswith the recommendation above, the EDA Formatted:Indent:Left:0.5",Nobulletsornumbering BBoard will grantfinal approval or denial of the loan. Formatted:Font:(Default)Arial (5) Formatted:Font:Fontcolor:DarkGray, Formatted:Font:(Default)Arial Formatted:Indent:Left:0.5",Nobulletsornumbering Formatted:Indent:Left:0" REPORTING REQUIREMENTS Formatted:Nobulletsornumbering 5) Formatted:Font:(Default)Arial Loans that are less than $75,000 are not subject to reporting under Regulating Local and State Business Subsidies, Minnesota Statute 116J.994. Formatted:Font:(Default)Arial Loanamounts above $75,000 are considered financial assistance under Regulating Formatted:Indent:Left:0.5",Nobulletsornumbering Local and State Business Subsidies, Minnesota Statute 116J.994, and should be reported on the Minnesota Financial Assistance Form for Non-JOBZ Projects. 2014 0 ¦¤ 2016 0 ¦¤ 5