7A - Business Subsidy Policy, Draft

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CITY OF PEQUOT LAKES �. BUSINESS SUBSIDY POLICY AND CRITERIA (As Modified October,2010) I. INTRODUCTION AND DEFINITIONS This Business Subsidy Policy (the "Policy") is adopted for purposes of Minnesota Statutes, Sections 116J.993 through 116J.995 and as may be amended,(the 'Business Subsidy Act"). Every potential business subsidy project within the City of Pequot Lakes (the "City") will be evaluated according to this Policy and the criteria set forth herein. Meeting all or a majority of the criteria,however, does not mean that a business subsidy will be awarded or denied by the City. The City maintains its ability to approve or reject a business subsidy at its discretion,based on the merits of the project and the overall benefit to the community,using the criteria as a means of measuring overall benefit. H.BUSINESS SUBSIDY REQUIREMENTS The requirements for a Business Subsidy herein described apply to any Business Subsidy. If the Act is amended to modify any of these requirements, then the requirement or requirements set forth in the Act shall replace the requirement or requirements set forth in this Section and are incorpirated herein without amendment to this Policy or any type of action of the City. A. Public Purpose. Every Business Subsidy must meet a public purpose as follows,which may include but must not be limited to increasing the tax base; Enhance Economic Growth 1. Increase the tax base, 2. Foster economic and commercial diversity, 3. Stabilize the community, 4. Provide basic goods and services, z� 5. Fully utilize existing or planned infrastructure improvements, -6 Assist inn the development of public improvements or facilities,and0 Create and Retain High Quality Jobs in Pequot Lakes 1. Create high quality jobs, 2.' Retain high quality jobs,' Enhance the Value of Surrounding Properties 1. Prevent or eliminate, 2. Revitalize the neighborhood and community, 3. Remedjate pollutioti, 4. Promote t$e-.retention or reuse of historically significant property B. Job and Wage Goals. Job creation is a high priority and assistance may be directly related to job creation. Except as provided in"Alternative to Job and Wage Goals"herein, every Business Subsidy Recipient must meet at least the job and wage goals described within two (2) years of the Benefit Date, unless an extension is granted pursuant to the Act or an amendment to the Acts extends this time. In cases where the public purpose of the Business Subsidy is the retention of existing jobs, the Business Subsidy Recipient must demonstrate that job loss is specific and demonstrable. 1. Job Goal. For all Business Subsidies,the Business Subsidy Recipient must create and retain at least: 1 FTE job.