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HomeMy WebLinkAbout5G Direct Business Subsidies Policy Public Hearing O� P ��1P ti � v � 4646 Dakota Street SE Prior Lake, MN 55372 �INNE50`� CITY COUNCIL AGENDA REPORT MEETING DATE: JUNE 24, 2013 AGENDA #: 5G PREPARED BY: DAN ROGNESS, COMMUNITY & ECONOMIC DEVELOPMENT DIRECTOR PRESENTED BY: DAN ROGNESS AGENDA ITEM: CONSIDER APPROVAL OF A RESOLUTION DIRECTING THE ECONOMIC DE- VELOPMENT AUTHORITY (EDA) TO HOLD A PUBLIC HEARING ON AMEND- ING THE BUSINESS SUBSIDIES POLICY DISCUSSION: Introduction The purpose of this agenda item is to direct the EDA to hold a public hearing on proposed amendments to the City of Prior Lake Business Subsidies Policy, previ- ously adopted by the City Council on October 18, 2004. The EDA has completed its proposed amendments, which must now be approved by the City Council after a public hearing is held. Hi StOry The EDA directed staff to prepare draft amendments to the Business Subsidies Pol- icy for EDA review; specific direction included amendments to ensure compliance with State Statute requirements and the elimination of unnecessary reporting re- quirements. In 1999, the State Legislature adopted the "Business Subsidy Act" (Minnesota Stat- utes, Section 116J.993-995). The act authorizes any statutory or home rule charter city to offer a business subsidy to a business so long as that subsidy serves a public purpose. This public purpose may be increasing the tax base, but other public pur- poses generally related to economic development are also valid. Under the act, a business subsidy means a state or local government agency grant, contribution of personal property, real property, infrastructure, the principal amount of a loan at rates below those commercially available to the recipient, any reduction or deferral of any tax or any fee, any guarantee of any payment under any loan, lease, or other obligation, or any preferential use of government facilities given to a business. The act, as amended, provides for certain exceptions identified in the statute, most notable of which is the exemption from regulation of any subsidy of less than $150,000. The city's Business Subsidies Policy was written to facilitate city compliance with the Business Subsidies Act prior to the amended law. Current Circumstances On June 17, the EDA approved proposed amendments to the Business Subsidies Policy; a summary of major amendments include: ➢ A definition section was added for key terms used within the policy; the definition of Business Subsidy was amended to match the State Statute's definition. ➢ References to the "but for" test were removed; the "but for" term is typically used only in reference to TIF districts. ➢ An "Intent to Retain Flexibility" section was added, which clarifies that the city has the option, as allowed by State Statute, to amend or waive sections of the policy when it is determined to be necessary and/or appropriate. ➢ The policy was amended to provide that any subsidy of $150,000 or more would be considered a business subsidy. The city's Policy currently defines any finan- cial assistance of $25,000 or more as a business subsidy. This amendment is proposed to mirror the State Statute definition of a business subsidy. ➢ The policy was amended to clarify that any subsidy of $150,000 or more would require the recipient to enter into a business subsidy agreement with the city and comply with reporting requirements in accordance with State Statute. ➢ The proposed amendment does reserve the right for the city to require recipients of a subsidy of less than $150,000 to be subject to the subsidy agreement and reporting requirements. ➢ The amended policy identifies forms of financial assistance which are not con- sidered a business subsidy in State Statute, which further clarifies what the city considers and does not consider a subsidy. ➢ The minimum wage for a job to be considered a new or retained job was previ- ously set at $13.00/hour, exclusive of benefits, which will now be adjusted an- nually based on cost of living and inflation modifications. The revised minimum wage requirement for a job to be considered a new or retained job is proposed to be established at 120% of the federal poverty level for a family of four, as determined annually by the U. S. Department of Health and Human Services, exclusive of benefits. If amended, the current minimum wage requirement would be $13.59 per hour and the federal poverty level has increased by an average of 2.5% each year over the past ten years. ➢ The Business Subsidy agreement and reporting language was amended to mir- ror the language in MN State Statute. ➢ References to specific fees based on the type of application received were de- leted. Instead, fees will be based on the City of Prior Lake Official Fee Schedule, which is adopted annually. Because the fees are not specified in the policy, the EDA and City Council will have the option to amend these fees annually without the need to amend the Business Subsidies Policy. Conclusion The EDA has approved the proposed amendments to the Business Subsidies Pol- icy as it deems appropriate. Amendment of the Business Subsidy Policy requires a public hearing, which can be held by the City Council or the EDA. The EDA is re- questing that the City Council direct the EDA to hold the public hearing. At the con- clusion of the public hearing (if conducted by the EDA), the EDA would consider any further amendments to the policy and then take action to recommend approval to the City Council. ISSUES: The EDA and City Council have already expended time and effort to identify ordi- nance requirements in Prior Lake which exceed the standards in other communities, and in doing so, make Prior Lake less competitive for economic development. This policy should not contain needless provisions which render Prior Lake less compet- itive than its neighbors in the area of economic development. The proposed amend- ments are intended to accomplish various objectives. Some are to assure that the Business Subsidies Policy corresponds with current statutory guidelines while oth- ers liberalize some of the city's guidelines. Given that the city is generally engaged 2 in providing smaller subsidies, the liberalized guidelines may be considered appro- priate by the City Council and EDA. The EDA also directed staff to develop a similar city policy to deal with business incentives below $150,000. The intent of this will be to periodically report on all types of business subsidies, to document benefits that result from public financing incentives, and to require written agreements that clearly identify business require- ments. FINANCIAL Unknown at this time. I M PACT: ALTERNATIVES: 1. Adopt a resolution directing the Economic Development Authority (EDA) to hold a public hearing on amending the Business Subsidies Policy. 2. Deny this resolution, or have the City Council hold the public hearing. 3. Table this item, and direct staff to return with additional information. RECOMMENDED Alternative #1 MOTION: ATTACHMENTS: Amended Business Subsidies Policy (as recommended by the EDA) 3 O� P ��+� � � �. U 4646 Dakota Street SE '�INxESO'��' Prior Lake, MN 55372 RESOLUTION 13-xxx A RESOLUTION DIRECTING THE ECONOMIC DEVELOPMENT AUTHORITY (EDA) TO HOLD A PUBLIC HEARING ON AMENDING THE BUSINESS SUBSIDIES POLICY Motion By: Second By: WHEREAS, Minnesota Statutes 116J.993-995 define and regulate local and state business subsidies; and WHEREAS, The City of Prior Lake most recently adopted its Business Subsidies Policy on October 18, 2004; and WHEREAS, The Prior Lake Economic Development Authority (EDA) has reviewed and proposed amendments to the Business Subsidies Policy to be more in compliance with Minnesota Statutes, as amended; and WHEREAS, A public hearing is required to be held prior to the City Council's final consideration of the Business Subsidies Policy amendments. NOW THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF PRIOR LAKE, MINNESOTA as follows: 1. The recitals set forth above are incorporated herein. 2. The EDA is hereby directed to hold a public hearing on proposed amendments to the Business Subsitlies Policy before the City Council takes action to amend this policy. PASSED AND ADOPTED THIS 24th DAY OF JUNE, 2013. YES NO Hedber Hedber Keene Keene McGuire McGuire Morton Morton Souku Souku Frank Boyles, City Manager City of Prior Lake, Minnesota Business Subsidies Policy Adopted: Date: Prior Lake City Council Oct. 18, 2004 I Amended: Date: Prior Lake City Council City of Prior Lake I 4646 Dakota Street SE � ��nn €�� n.. � �o c � TlTCO� �7""CPGTTCR.�� Prior Lake, MN 55372 � (952) 447-9813A5 � CITY OF PRIOR LAKE POLICY AND PROCEDURES RELATING TO THE USE OF BUSINESS SUBSIDIES 1. DEFINITIONS Terms used in this Policy are intended to have the same meaninq as used in the MN Business Subsidy Law and this Policy shall apply only with respect to subsidies qranted under MN Business Subsidy Law if and to the extent required therebv. For the purposes of this document, the followinq definitions applv: Benefit Date. "Benefit Date" means the date that the recipient receives the business subsidv If the business subsidy involves the purchase, lease, or donation of phvsical equipment then the benefit date beqins when the recipient puts the eauipment into service If the business subsidy is for improvements to property, then the benefit date refers to the earliest date of either: �1) When the improvements are finished for the entire proiect; or �2) When a business occupies the property. If a business occupies the propertv and the subsidv arantor expects that other businesses will also occupv the same �roperty the qrantor maYassiqn a separate benefit date for each business when it first occupies the propertv. Citv "Citv" includes the Prior Lake Citv Council and/or Prior Lake Economic Development Authoritv. Grantor "Grantor" means any state or local qovernment aqencv with the authoritv to qrant a business subsidv. Recipient "Recipient" means anv for-profit or nonprofit business entitv that receives a business subsidy Only nonprofit entities with at least 100 full-time equivalent positions and with a ratio of hiqhest to lowest paid emplovee that exceeds ten to one determined on the basis of full-time eauivalent positions, are included in this definition. State "State" means anv State of Minnesota agency that has the authoritv to award business subsidies. �II. PURPOSE This policy establishes guidelines and criteria regarding the use of business subsidies, � such as tax increment financing ("TIF"), tax abatement, loans and other business subsidies for private development projects within the City of Prior Lake. These guidelines and criteria are in addition to the requirements and limitations set forth by provisions of � Minnesota Statute 116J.993 — 116J.995 ("MN Business Subsidy Law") and policies and guidelines with respect to any particular form of subsidy. The fundamental purpose of providinq business subsidies in the City of Prior Lake is to encourage desirable development or redevelopment that ma not otherwise occuri "�:+ f��"�,r-*����^`^^^^ Q not to enhance the return on investment for individual projects_ �"^� �•�^� �'^' ^t#e^���„r °�w�s�r�a *^ f�^,�;+,+e � Anyone ^'°��°'^^°r that applies for business subsidy assistance may look to these guidelines for guidance regarding the criterion the City will use in evaluating an application. However, whether a particular project meets the criterion and serves the City's present needs shall be the City's decision. The guidelines are instructive only and do not have the force of law. If the City finds that its present needs require one project to be given priority over another, then the City's judgment will ultimately prevail. The City will provide subsidies and incentives in the most limited fashion possible to assure that the project will proceed. The City reserves the right to approve or reject projects on a case-by-case basis, taking into account established policies, specific project criteria, and demand on city services in relation to the potential benefits to be achieved from a proposed project. This process is inherently subjective, and whether a project receives a business subsidy may be as much a function of the City's budget as the merit of the project. While it is recopnized that the creation of qood pavinq jobs is a desirable qoal that benefits the citv it must also be recoqnized that not all projects assisted with business subsidies derive their public purposes solely bv virtue of job creation. The Citv believes that each economic development o�portunity offers its own unique benefit to the citv, whether it be retail commercial or industrial in nature. These benefits mav be in the form of added tax base new or retained jobs higher incomes overall investment in the area, business diversification and/or increased economic activity and vitality. It is the desire of the Citv to promote job creation redevelopment and investment in the citv as well as to expand the citv's tax base and diversifv the citv's industrial, commercial and retail base. The City will work to maximize the subsidies to those projects that, in the City's judgment, will address the most pressing public purpose. The ability to demonstrate that the project will most likely achieve its stated goals and therefore address the most pressing public purpose will be the primary factor in determining whether a project receives a business subsidy. Meeting these policy guidelines does not guarantee that a business subsidy will be awarded. Furthermore, the approval or denial of one project should not be construed as setting a precedent that another similar project should be approved or denied. The City cannot possibly approve a business subsidy for every worthy project. Whenever possible, it is the City's intent to coordinate the use of business subsidies with other applicable taxing jurisdictions. �II1. INTENT TO RETAIN FLEXIBILITY Because it is not possible to anticipate everv tvpe of project that mav provide benefit to the City of Prior Lake the Citv shall retain the option to amend or waive sections of this policy when it is determined to be necessary and/or appropriate. Minnesota Statute 116J 994 Subd. 2 allows the City to deviate from its criteria by documentinq in writinq the I reason for the deviation and attachinq a copy of the document to its next annual report to the State. �F: DEFINITION OF "BUSINESS SUBSIDY" � The following types of assistance ' , . are defined as a"business subsidy" within the MN Business Subsidy Law: • A�state orafld local government agency grants; • Contributions of personal property, real property, or infrastructure; • The principal amount of a loan at rates below those commerciallv available to the recipient; � �� • An��reductions or deferral� of a�taxes or fee�; • A�6guarantee� of any payment under any loan, lease, or other obligation; or • A��preferential use of government facilitiesyiven to a business. In any case where the value of the business subsidy is indeterminate, the City will make a good faith determination of the value of the subsidy. Minnesota Statute 116J 993 Subd. 3 as amended from time to time, identifies forms of financial assistance which are not considered a business subsidv; includina: (1) A business subsidy of less than $150,000; (2) Assistance that is qenerallv available to all businesses or to a qeneral class of similar businesses such as a line of business, size, location, or similar qeneral criteria; (3) Public improvements to buildinqs or lands owned by the state or local aovernment that serve a public purpose and do not principally benefit a sinqle business or defined qroup of businesses at the time the improvements are made; I (4) Redevelopment property polluted by contaminants as defined in Minnesota Statute 116J.552, subd. 3; (5) Assistance provided for the sole purpose of renovating old or decavinq buildinq stock or brinqinq it up to code and assistance provided for desiqnated historic preservation districts provided that the assistance is equal to or less than 50 percent of the total cost: I (6) Assistance to provide iob readiness and traininq services if the sole purpose of the assistance is to provide those services; ( (7) Assistance for housinq; (8) Assistance for pollution control or abatement, includinq assistance for a tax increment financinq hazardous substance subdistrict as defined under Minnesota Statute 469.174, subd. 23; � (9) Assistance for enerqv conservation; � (10) Tax reductions resultinq from conformity with federal tax law; � (11) Workers' compensation and unemplovment insurance; � (12) Benefits derived from requlation; � (13) Indirect benefits derived from assistance to educational institutions; (14) Funds from bonds allocated under Minnesota Statute, chapter 474A, bonds issued to refund outstanding bonds and bonds issued for the benefit of an organization described in section 501 Lc)(3) of the Internal Revenue Code of 1986, as amended throuqh December 31, 1999; I (15) Assistance for a collaboration between a Minnesota hiaher education institution and a business; I (16) Assistance for a tax increment financinq soils condition district as defined under Minnesota Statute 469.174, subd. 19; (17) Redevelopment when the recipient's investment in the purchase of the site and in site preparation is 70 percent or more of the assessor's current vear's estimated market value; I (18) General chanqes in tax increment financing law and other qeneral tax law chanqes of a principallYtechnical nature; I (19) Federal assistance until the assistance has been repaid to, and reinvested bv, the state or local government aaencv; � (20) Funds from dock and wharF bonds issued bv a seawav port authoritv; � (21) Business loans and loan guarantees of $150,000 or less; I (22) Federal loan funds provided throuqh the United States Department of Commerce, Economic Development Administration; and (23) Propertv tax abatements granted under Minnesota Statute 469.1813 to propertv that is subject to valuation under Minnesota Rules, chapter 8100. , • , , . , , , � 4ho An4 �n ho olinihl� I� PUBLIC PURPOSE OBJECTIVES OF BUSINESS SUBSIDIES In accordance with the MN Business Subsidy Law, the City will consider using business subsidies to assist private development projects in an attempt to achieve one or more of the following public purpose objectives: • To retain local jobs and/or increase the number and diversity of jobs that offer stable employment and/or attractive wages and benefits. If the stated public purpose is to retain jobs, Q°^^� �°° �+ ;� ro,., iiroiJ h�i the MN Business Subsidy Law requires ,�-t�,���,�� �h';^ �� ;° +^ r°+'°" ;�"�, there must be a showing that job loss in the affected area is specific and demonstrable. • To enhance and diversify the City of Prior Lake's tax base. • To encourage additional unsubsidized private development in the area, either directly or indirectly, through "spin off' development. In this case, a business subsidy may be given to an "anchor" property in the hopes that one business � locating in the area will create a domino a##es�effect and other unsubsidized businesses will locate to the area. � • To achieve development on sites that mava�e�4� not be developed without business subsidies assistance. • To remove blight and/or encourage development of commercial and industrial areas in the city that result in higher quality development or redevelopment and private investment. • To offset increased costs of development of specific properties when the unique � physical characteristics of the site may otherwise preclude private investment. � VI. GENERAL POLICIES FOR THE USE OF BUSINESS SUBSIDIES A. Business subsidy assistance will be provided from the City, by a"pay-as-you-go" � note method, to the recipient�e�elepe� if the business subsidy is tax increment financing or tax abatement. Requests for up front financing will be considered on a case-by-case basis. However, the MN Business Subsidies Law requires that any up front grant financing be given in the form of forgivable loans. This means that any grants will be documented as loans that will be forgiven if the specific goals of the subsidy are met. � B. Anvone-de�e4spe� requesting business subsidy assistance must demonstrate, to the satisfaction of the City, sufficient cash equity investment in the project as required within the City's policy for the particular form of subsidy. The City will assure that the business will be adequately capitalized to guarantee it will continue as a going concern for many years. C. Business subsidies will not be provided in circumstances where land and/or property price is demonstrated by the County Assessor to be in excess of fair market value. This would normally be where the acquisition price is more than 10% in excess of market value as determined by an independent appraiser. � D. An applicant-�eve4e�e� must be able to demonstrate to the City, or,- if applicable to the underwriting authority, market demand for a proposed project. E. Business subsidies will not be given if the subsidy would create an unfair and significant competitive financial advantage over other similar projects in the area. F. Business subsidies will not be given to projects that would place extraordinary demands on city infrastructure and services. I G. If requested bv the City, or its consultants, +��;�� e��es�s-+�the applicant�ef will provide adequate financial guarantees to ensure completion of the project, including, but not limited to: assessment agreements, letters of credit, cash escrows, personal guaranties, mortgages, and other securities. � H. Each applicant�e4e�e� must be able to demonstrate to the City's satisfaction an ability to construct, operate, and maintain the proposed project based on past experience, general reputation, and credit history. � I. If requested by the City, or its consultants, the applicant�e� shall provide sufficient market, financial, environmental, or other data relative to the successful operation of the project. J. Projects receiving business subsidy approval from other affected taxing jurisdictions will be more favorably received by the City. � VII. GUIDELINES FOR COMMERCIAL/INDUSTRIAL BUSINESS SUBSIDIES A. Business subsidies will not be used for on-site retail or service business unless it is a redevelopment project that demonstrates that it will result in a substantial � increase in tax base and/or a significant improvement in quality employment. B. The project must be consistent with the City's Comprehensive Plan, Land Use Plan, and Zoning Ordinances. G' Tho �r,,,e„+ .�,, ,�+ re�„�+ ;., +k� projects that result in the retention of existing jobs that mav ��be lost without ""� �-�f,� the proposed development, or result in an increase and diversification in local jobs that ma _not otherwise occur without, ""� �—���_the proposed development will be stronglv considered. D. The City will determine the specific wage and job goals giving consideration to the particular form of the subsidy, nature of the development, the purpose of the subsidy, local economic conditions and similar factors. The recipient will have up to finro years after the Benefit Date to meet the job and wage goals established by the City. The City's qoal in this area is to assist in the creation of jobs at waqe and benefit levels that will support families. The minimum wage for a job to be considered a new or retained job shall be established at 120% of the federal poverty level for a family of four, as determined annually by the U. S. Department of Health and Human Services$�3-8a�eN�e�f, exclusive of benefits. Deviations less than the wage floor will be considered on a case-by-case basis and in accordance with the requirements of the MN Business Subsidy Law. In proiects where a business subsidv provided bv the Citv is secondary to a business subsidv provided by another qrantinq aqencv, such as the State or federal qovernment, the waqe quidelines set by that agency shall be used. E. Business subsidies will not be given to commercial/industrial projects or � a�plicants�e�er-s that have a history of inconsistent compliance with applicable environmental rules and regulations, or failure to comply with State and Federal Regulations regarding Equal Opportunity and Occupational Safety Standards. �VIII. BUSINESS SUBSIDY AGREEMENT Anyone �^^" �'°.,°'^^°� receiving a business subsidy of $150,000 or more —�e��a�ess ��,�< <,f��h� shall be subject to the subsidy agreement set forth by the MN Business Subsidy Law_ ^^�' c� �mm!.ri�e� ho�...., The City reserves the riqht to require anyone receiving a business subsidv of less than $150,000 to be subiect to the subsidv aqreement set forth by the MN Business Subsidy Law and summarized below: �1) A description of the subsidv, includinq the amount and tvpe of subsidv, and tvpe of district if the subsidv is tax increment financinq; (2) A statement of the public purposes for the subsidy1 �3) Measurable, specific, and tanqible goals for the subsidy. At a minimum, the aareement will outline the number of jobs created or retained and the waqe qoals for each of those jobs. �4) A description of the financial obligation of the recipient if the qoals are not met; (5) A statement of why the subsidv is needed; (6) A commitment to continue operations in the jurisdiction where the subsidy is used for at least five xears after the Benefit Date; (7) The name and address of the parent corporation of the recipient, if anv: and (8) A list of all financial assistance bv all Grantors for the project. Business subsidies in the form of grants will be structured as forqivable loans. For other tvpes of business subsidies, the agreement will state the fair market value of the subsidy to the recipient, including the value of conveying qroperty at less than a fair market price, or other in-kind benefits to the recipient. If a business subsidv benefits more than one recipient, the Citv will assiqn a proportion of the business subsidy to each recipient that signs a subsidy agreement. The proportion assessed to each recipient will reflect a reasonable estimate of the recipient's share of the total benefits of the project. The subsidv aqreement will specifv the recipient's obliqation if the recipient does not fulfill the aqreement. At a minimum the agreement will require a recipient failinq to meet subsidy aqreement aoals to pay back the assistance plus interest to the Citv, provided that repayment may be prorated to reflect partial fulfillment of qoals. The interest rate must be set at no less than the implicit price deflator for qovernment consumption expenditures and ciross investment for state and local qovernments prepared bv the Bureau of Economic Analvsis of the United States Department of Commerce for the 12- month period endinq March 31 of the previous vear. The City, after a public hearinq, mav extend for up to one year the period for meetinq the waae and job aoals provided in the subsidy agreement The City may extend the period for meetinq other qoals bv documentinq in writinq the reason for the extension and attachinq a copv of the document to its next annual report to the State. A recipient that fails to meet the terms of a subsidy agreement mav not receive a business subsidy from any Grantor for a period of five years from the date of failure or until a recipient satisfies its repayment obliqation under this subdivision, whichever occurs first. I • , #��'-�5+� ��ihere �ho c�� ih�irlv ��ca fnr ncrinr! .,f f7�.c v ,,µ ,.,.. y +^ + c vmG7T+ cri a�AVJrq�.�ZrG7c� rvT a�� .� r ' � "'�CF� t � frr�m r�� �hlin on�itioc fnr � r�orinrJ nf fi�io �ic�r�. �IX. REPORTING REQUIREMENTS Anyone �°^" ^'°. receiving a business subsidy of $150.000 or more , �f+he �,�e nf +h.�+ �, ,h�„�., shall be subject to the subsidy reporting requirements set forth by the MN Business Subsidy Law. The CitYreserves the right to require anyone receiving a business subsidy of less than $150,000 to be subject to the subsidy reporting requirements set forth by the MN Business Subsidy Law and summarized below: A recipient must provide information regarding goals and results for two years after the Benefit Date or until the aoals are met, whichever is later. If the qoals are not met, the recipient must continue to provide information on the subsidy until the subsidy is repaid. The information must be filed on forms approved by the City. The report must include: (1) The type, public purpose, and amount of subsidies and type of district, if the subsidv is tax increment financinq: �2) The hourly wage of each iob created with separate bands of waqes; (3) The sum of the hourly wages and cost of health insurance provided by the employer with separate bands of waaes: f4) The date the iob and waae aoals will be reached; (5) A statement of qoals identified in the subsidy agreement and an update on achievement of those qoals; �61 The location of the recipient prior to receivina the business subsidy: (7) The number of emplovees who ceased to be emploved bv the recipient if the recipient relocated to become eligible for the business subsidv; �8) Wh�the recipient did not complete the project outlined in the subsidy aqreement at their previous location, if the recipient was previously located at another site in Minnesota: (9) The name and address of the parent corporation of the recipient, if any; (10) A list of all financial assistance bv all Grantors for the proiect; and (11) Other information the City or State may request. A report must be filed no later than March 1 of each year for the previous vear. The Citv must forward copies of the reports received by recipients to the State by April 1, or as may otherwise be required by the State. If the recipient does not submit its report, the City must mail the recipient a warning within one week of the reauired filinq date. If, after 14 daxs of the postmarked date of the warninq, the recipient fails to provide a report, the recipient must pay to the City a penaltv I of $100 for each subseauent dav until the report is filed. The maximum penalty shall not exceed $1.000. , , � , � �� �� fl Q �� Tho r! ,,,. , •' , II ,.����}_�� }�hv e�� �rv+ nf hn� irl�i ��i�no� �niJ �nv ho�� cr �-°' � rra in�i ir�rino nrn�iirlorJ hv 4ho iJovolnnor ��'` �1 f1.�+e C�nh �ic�r +he rlo�iolnnor ��iill ro���o�c �ho �7�4o i� ovncnfc Fn moo� iF� •i�rr! �nhip�iintt_}hc �4�4vi-! nn�l� a. ri - r9 -� . . � . � �X. SUBSIDY APPLICATION PROCESS AND PROCEDURE A. Application for business subsidies shall be made on forms for the particular form of assistance provided by the City of Prior Lake Community & Economic Development Director, or designee. A fee, based on the City of Prior Lake Official Fee Schedule, which is adopted annually, , . shall accompany any Tax Increment Finance, Tax Abatement, loan or grant request application to cover the City's initial legal, administrative, and planning costs. � B. Following a review by appropriate City Staff the application shall be referred to either the Economic Development Authority or City Council for further action. C. The application for business subsidies shall request information required within the City's policies on the particular form of subsidy, including, but not limited to: a detailed description of the project; a preliminary site plan; the amount of business subsidy requested; the public purpose of the project; the number and types of jobs to be created; the wages and benefits to be paid new employees; and verifiable funding sources and uses.