Minnesota Administrative Code

4270.6700 [Renumbered 7855.0660] Published Electronically: May 20, 1997

4270.6800 [Renumbered 7855.0670] Published Electronically: May 20, 1997

4300.0100 DEFINITIONS. Subpart 1. Scope. As used in this chapter, the following terms have the meanings given them. Subp. 2. Application year. "Application year" means the state fiscal year beginning July 1 and ending June 30. Subp. 2a. [Renumbered subp. 3a] Subp. 2b. Business an…

4300.0200 PURPOSE. This chapter gives procedures for evaluating applications for grants and awarding them to eligible applicants by the Department of Employment and Economic Development under United States Code, title 42, sections 5301 to 5316 (1981), and regulations adopted in C…

4300.0300 OBJECTIVE OF THE COMPETITIVE PROGRAM. The primary objective of this program is to develop viable urban communities by providing decent housing and a suitable living environment and by expanding economic opportunities, principally for persons of low and moderate income. …

4300.0400 APPLICATION OF FEDERAL LAW. If it is determined that any provisions of parts 4300.0100 to 4300.3200 are inconsistent with federal law, then federal law controls to the extent necessary to eliminate the conflict. Statutory Authority: MS s 116J.401; 116J.403 History: L 19…

4300.1100 TYPES OF COMPETITIVE GRANTS AVAILABLE. Subpart 1. Single purpose grants. The division shall approve grant applications for funding for single purpose projects. The division shall place single purpose grant applications in one of the following categories for purposes of …

4300.1101 ECONOMIC DEVELOPMENT GRANTS; NONCOMPETITIVE. The division shall approve grants for economic development projects for funding throughout the application year, or until the funds reserved have been exhausted. Statutory Authority: MS s 116J.401; 116J.403; 116J.873 History:…

4300.1200 APPLICATION PROCESS AND REQUIREMENTS. Subpart 1. Business and community development application manual. The division shall make the business and community development application manual, additional instructional materials, and forms available on a year-round basis. The …

4300.1300 EVALUATION OF APPLICATIONS. All applications shall be evaluated by the division. A fixed amount of points shall be established as the maximum score attainable by any application. Points shall be made available within each class of rating criteria according to parts 4300…

4300.1400 COMPARISON OF ALL COMPETITIVE APPLICATIONS; DEMOGRAPHIC POINTS. Subpart 1. [Repealed, 14 SR 1384] Subp. 2. Evaluation of community need. Up to 30 demographic points shall be awarded based on evaluation of community need, which shall include: A. the number of poverty per…

4300.1500 COMPARISON OF COMPETITIVE APPLICATIONS WITHIN CATEGORIES. After completing the general competition described in part 4300.1400, the division shall place each application in the appropriate grant category in accordance with part 4300.1100. The categories are housing proj…

4300.1600 EVALUATION OF HOUSING PROJECTS. Subpart 1. Project need. Up to 90 of the points available in the housing category competition shall be awarded by the division based on evaluation of the need for improvements or additions to the housing stock serving low and moderate inc…

4300.1700 EVALUATION OF PUBLIC FACILITIES PROJECTS. Subpart 1. Project need. Up to 90 of the points available in the public facilities category competition shall be awarded by the division based on evaluation of the extent to which the proposed activities are necessary to improve…

4300.1900 EVALUATION OF COMPREHENSIVE PROGRAM PROJECTS. Subpart 1. Program need. Up to 90 of the points available in the comprehensive program category competition shall be awarded by the division based on evaluation of need for the proposed comprehensive program, including consi…

4300.1901 EVALUATION OF ECONOMIC DEVELOPMENT PROJECTS. Subpart 1. In general. Evaluation of economic development applications consists of eligibility threshold screening and project review. Applications must meet the eligibility thresholds in order to be referred for project revi…

4300.2000 DETERMINATION OF GRANT AWARDS. Subpart 1. Funds available for grants. The amount of funds available for grants shall be equal to the total allocation of federal funds made available to the state under United States Code, title 42, section 5306, after subtracting an amou…

4300.3100 GRANT AGREEMENTS. Subpart 1. Grant contract required. A grant contract shall be offered to each applicant whose application is approved for funding. The contract must be signed by a person authorized to commit the applicant to legally binding agreements and to execute t…

4300.3200 RECORD KEEPING AND MONITORING. Subpart 1. Financial records. Grant recipients shall maintain financial records that identify the source and application of funds for grant supported activities. These records must contain information about grant awards and authorizations,…

4301.0100 PURPOSE AND AUTHORITY. Parts 4301.0100 to 4301.0800 provide for the administration of the job creation fund under Minnesota Statutes, section 116J.8748. Statutory Authority: MS s 116J.8748 History: 38 SR 944 Published Electronically: January 3, 2014

4301.0200 DEFINITIONS. Subpart 1. Scope. For the purpose of this chapter, the terms defined in this part have the meanings given them. Subp. 2. Agreement or business subsidy agreement. "Agreement" or "business subsidy agreement" has the meaning given in Minnesota Statutes, sectio…

4301.0300 ELIGIBILITY OF BUSINESSES. Subpart 1. Designation requirements. A. To receive designation by the commissioner as a job creation fund business, a business must satisfy all of the eligibility requirements of Minnesota Statutes, section 116J.8748, subdivision 3, paragraph …

4301.0400 APPLICATION PROCEDURES. Subpart 1. Submission of application. A general purpose local government must submit application materials to the commissioner on behalf of a business applying for job creation fund designation for a project. Subp. 2. Application content. The app…

4301.0500 APPLICATION REVIEW AND NOTIFICATION. Subpart 1. Commissioner's review and determination. The commissioner must accept applications at any time and designate businesses until all available funds are committed. Subp. 2. Criteria for designation. A business is eligible for…

4301.0600 BUSINESS SUBSIDY PROVISIONS. Subpart 1. Requirements. All projects are subject to the business subsidy requirements under Minnesota Statutes, section 116J.994. Subp. 2. Business subsidy agreement. A designated business must execute a business subsidy agreement between t…

4301.0700 CERTIFICATION AND DISBURSEMENT. Subpart 1. Certification. Except in the case of retention projects in subpart 2, a business is eligible for certification by the commissioner to receive benefits upon providing verification that the business has met the requirements of Mi…

4301.0800 REPORTS. Subpart 1. Progress report. A job creation fund business must provide a progress report within six months following designation as a job creation fund business as provided in Minnesota Statutes, section 116J.8748, subdivision 4, paragraph (g). Reasonable progre…

4305.0010 SCOPE AND PURPOSE. Parts 4305.0010 to 4305.0080 govern the implementation of the military reservist economic injury loan program. Statutory Authority: MS s 14.389; 116J.996 History: 33 SR 2052 Published Electronically: July 21, 2009

4305.0020 DEFINITIONS. Subpart 1. Scope. For purposes of parts 4305.0010 to 4305.0080, the terms defined in this part have the meanings given them. Subp. 2. Active service. "Active service" means state active service, federally funded state active service, or federal active servi…

4305.0030 APPLICATION REQUIREMENTS AND PROCESS. Subpart 1. Requirements. The applicant must submit to the agency an application in the form prescribed by the agency. At a minimum, the application must include: A. the name of each essential employee who has been called to active s…

4305.0040 SELECTION CRITERIA. The agency shall consider the following criteria when determining whether an applicant is eligible for a loan under the program: A. the likelihood of repayment of the loan funds; and B. the extent to which the loan funds will help to prevent, remedy,…

4305.0050 ELIGIBLE USES OF LOAN FUNDS. Subpart 1. In general. The agency shall make interest-free loans to eligible businesses that sustain or are likely to sustain a substantial economic injury resulting from an essential employee being called to active duty according to parts 4…

4305.0060 LOAN TERMS. The loan agreement must identify specific loan terms and include, at a minimum, the following: A. maximum loan period; B. repayment terms; and C. default terms. Statutory Authority: MS s 14.389; 116J.996 History: 33 SR 2052 Published Electronically: July 21,…

4305.0070 LOAN DEFAULT. The loan agreement must identify what constitutes default of the loan. The agency may pursue any course of action authorized by statute, rule, or loan agreement to remedy default. Statutory Authority: MS s 14.389; 116J.996 History: 33 SR 2052 Published Ele…

4305.0080 SECURITY REQUIREMENTS. The agency must require applicants to provide security for the loan equal to or in excess of the loan value. Security may be in the form of one or more of the following: A. a lien on real property owned by the applicant; or B. other security satis…

4308.0010 PURPOSE OF TOURISM LOAN PROGRAM. The purpose of the tourism loan program of the department is to provide loans or to participate in loans to tourism-related businesses in Minnesota for upgrading and improvement of facilities. The program will provide direct loans, parti…

4308.0020 DEFINITIONS. Subpart 1. Scope. The following terms used in parts 4308.0010 to 4308.0110 have the meanings given them. Subp. 2. Commissioner. "Commissioner" means the commissioner of the Department of Employment and Economic Development or persons delegated to act in the…

4308.0030 ELIGIBILITY OF PROJECT FOR LOANS. A loan must be to an eligible borrower for an eligible cost in an eligible project. The maximum state contribution for a loan may not be for more than 50 percent of the total cost of the project loan, with a maximum state loan of $65,00…

4308.0040 ELIGIBLE COSTS FOR LOANS. Subpart 1. Eligible costs. Eligible costs for the program include costs not prohibited by subpart 2 for: A. building construction and improvement; B. site preparation; C. equipment; D. other construction costs, such as construction of facilitie…

4308.0050 INTEREST RATE FOR LOANS. The interest rate on a direct loan or on the department's portion of a participation loan shall be determined at the time of closing by the department and shall be set at, or up to, three percentage points below a full faith and credit obligatio…

4308.0060 TERM OF LOANS. The maximum term of a loan must not exceed the useful life of the real property, or 80 percent of the useful life of the equipment or machinery, or the following limits, whichever is less: A. ten years for land, buildings, septic systems, or other real pr…

4308.0070 SECURITY REQUIREMENTS FOR LOANS. All loans must be secured by collateral. The financial institution or the department shall take a security interest in any collateral acceptable to the financial institution and the state. The personal guarantee of principal owners must …

4308.0080 APPLICATION PROCESS FOR LOANS. Subpart 1. General procedures. Applications for loans under the program must be made by the borrower and, if applicable, in coordination with a financial institution. Written evidence of support for the proposed project by the local unit o…

4308.0090 PROCEDURE FOR TOURISM LOAN EVALUATION AND APPROVAL. Subpart 1. Evaluation of eligibility. Upon receipt of the first part of the community development application, the Community Development Division shall make a determination whether the borrower, project, and costs are …

4308.0100 LOAN SERVICING. Subpart 1. Collection responsibilities. In cases where a participation loan is approved, the financial institution shall collect payments according to the payment schedule outlined in the promissory note. The financial institution must remit to the depar…

4308.0110 AMORTIZATION SCHEDULES. Loan payments shall be made according to an amortization schedule established by the Community Development Division for direct loans, or by the financial institution for department participation loans. In the case of participation loans, the Comm…