05-12-2012 EDC Meeting - Laserfiche WebLink

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Small Business Incentive May 15, 2012 Page 3 • When asked how BLADC decides where to route business contacts, Sheila Haverkamp stated that with most companies the sites and locations are parts of the component to make a decision; most already know where they want to be located and what the amenities are. • There are resources and if there are people out there looking,they will find BLADC. • No other communities are doing the type of subsidy we are talking about. We will need to market it, such as in newspaper articles in Pequot Lakes,Brainerd and the Twin Cities. • Rather than tying tools to a business we would like to see in town, let the private market decide. If a potential business is not on our list,they are going to ask for the subsidy any way. Also, do not tie to job creation. Tie it to making the downtown walkable and livable; apartments above businesses help the businesses do better if people live in that area. • We need to list which tools are possible, such as WAC/SAC fees,permit fees, water fees, etc. Some fees could be financed or be tied to the duration the business stays in town. Some fees could be financed and forgiven. • Fees could be escrowed and a portion returned annually. • How do we establish a Revolving Loan Fund? Part of the annual budget could be set aside each year, an Economic Development Authority could be established or private sector people could make donations. It was the consensus of the EDC as follows: • Forgive or finance fees and return. Fee structure can be worked with,tied to length of time they stay in business,not necessarily with jobs tied to it, and return a portion. • If a variance or hearing is required,no fee reduction. Over the counter permits can have fees reduced. If a business can avoid the hearing process, fees can be forgiven. • Continue discussion developing Revolving Loan Fund.