HomeMy WebLinkAboutExhibit 1 (05/09/13)6441.1- A
Department of
Community
& Economic
Development
MLK EMERGENCY BUSINESS ASSISTANCE PROGRAM
PROGRAM GUIDELINES
Effective April 2013
wt.
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MLK EMERGENCY BUSINESS ASSISTANCE PROGRAM
POLICIES & GUIDELINES
The MLK Emergency Business Assistance Program provides forgivable loans up to $10,000 to for -
profit businesses located on or about the 7th Avenue corridor. These businesses have been directly
affected multiple times by theft and vandalism. If it were not for this assistance, these businesses may
find themselves in difficult financial hardship which could lead to displacement of the existing
business and loss of jobs in the neighborhood.
The goal of the MLK Emergency Business Assistance Program rs to provide a benefit to low and
moderate income city residents residing in the immediate vicmrty of the affected area. These funds
are provided to maintain the economic viability by supporting the businesses in the area as catalysts
for employment and community growth. These businesses provide goods and/or services that are
necessary for these neighborhoods.
Program Description:
Under 24 CFR 570.203 Special Economic Development businesses assisted, businesses must be
financially viable and will make the most effective use of CDBG funds. A basic financial
underwriting process shall take place prior to the provision of CDBG financial` assistance to for -profit
businesses.
Public Benefit: Businesses under this -pro ammust directly provide goods or services to the residents
of the area, which fits under census tract/block group #(s):
Census Tract
1901.1
1901.2
1901.3
1901.4
1901.5
1904
1904
200
2001.4
2003.3
2003.4
Source of Funding:
Matrix Code: 18A'Ebonomic Development — Direct Financial Assistance to For Profits
National Objective: Assistance to Low/Mod, Area Benefit
Maximum Assistance: $10,000
Low Mod %
84.56%
75.59%
83.52%
63.42%
78.87%
7:,48%
56.81%>
91.80%
86.60%
89.26%
#L/M'Residents
59.7
81
319
601
1318
837
413
750
1396
1496
Eligible Businesses:
• Businesses located on NW 6th Avenue between 54th Street and 71sS Street and on 62'1
Street between Interstate 95 and NW 12th Avenue;
• Businesses must have had their air condition unit burglarized in the past 12 months;
• Businesses requiring their air conditioned unit to be made secure.
Terms: The assistance will be offered in the form of a Grant, with conditions, to eligible
businesses.
Eligible Uses of Funds & Activities: Grant funds can be utilized for:
• Purchase and Installation of machinery, equipment (AC units), fixed furniture (attached
to the property), security related equipment, and fixtures that contribute to the
improvement of the business;
■ Improve the technological infrastructure of the business;
I. Inventory.
Ineli ible Uses of Funds & Activities: Grant funds cannot be be utilized for:
• Paying off a creditor(s) of the for -profit business applicant for an outstanding debt;
• Providing funds for distribution or payment to the business owner, partners, or
shareholders;
• Paying off any tax lien or liability;,'`
• Refinance loans made by other lenders:
Security conditions: A Uniform Commercial Code-1 (UCC 1) will be filed on any equipment
purchased for a minimum of two years. Businesses will =executean agreement to remain at that
location for the next 2 years and that the funds will be retnmed if the business moves or it is sold
within the two years. Applicants must be willing to comply with^all local, state, and federal
regulations, guidelines, and policies as they relate to this program.
MLK Emergency Business Assistance Program grants will be evaluated based on:
• Financial viability of the for -profit business;
• Potential to remain atrthe current location for the next 2 years;
• Management'' xperience, :
• Goods and/or Services being prov�ided,to area neighborhood(s);
• Potential to increase=sales and retain�jobs;
• Readiness to proceed.
Non -Recommended Grants: Federal Grant funds will generally not be recommended for allocation
for one or more of the following:
• If the applicant and/or its principals are indebted to the City of Miami, in any regards;
• If the applicant and/or its principals have been debarred from doing business with federal,
state, county, or local government(s);
• If any of the gross income of the business is derived from gambling activities, except for
those small firms which obtain less than one third of their gross income from the sale of
official state lottery tickets under a state license;
• Unsatisfactory credit history during the last twelve (12) months;
• If bankruptcy was discharged during the last twenty four (24) months;
• If the applicant is a newspaper, book publishing company, magazine, or similar
enterprise;
• If the applicant is a faith -based organization planning to use CDBG funds to support
inherently religious activities such as worship, religious instruction, or proselytization.
MLK EMERGENCY BUSINESS ASSISTANCE PROGRAM
APPLICATION
FORMATIONOOUT YOU `AND YOUR $[iSINES
Business Name:
Business Address:
Zip Code:
Business -axe #:
Business Phone.
Business Fax:
Duns & Bradstreet #:
Email Address:
Goods/Services Offered to the Community:
Year Established:
How long'1ave you owned this business?
0% ,,,,- ftha ht cinacc•
J. 11111J.pa1J/
Name:
11 vvll%..., v v v liillb c.v i v.............._ _--- -
Title':;,
%Ownership:
Name:
Title:
%Ownership:
Should the for -profit business applicant answer YES to any of the fallowing questions, please provide any
and all details, under separate cover, and submit it with this application The, applicant must provide all
pertinent information including names, dates, times, types, dollar amounts, circumstances, status and
dispositions relevant to the appropriate guestion(s):
5
Does the Owner/Authonzed;Signer own,any interest in any other business?
II
YES
•
NO
Are there any tax liabilities outstanding ficAlprevious reporting periods?
■
YES
•
NO
r, ,
Does the busnness haveany contingent; liabilrty
•
YES
■
NO�st
Is the business/applicant presently a partyato any claii or lawsuit?
■
YES
II
NO
Has the business/applicant ever declared bankruptcy?
■
YES
■
NO
Does the business/applicant own ninnies to the City of Miami?
■
YES
■
NO
FORMATION ABOU YOUR PROPOSEDUSED OF C
Describe how the funds will be utilized:
HORIZATI`i
The information contained herein is true, complete and correct to the best of my knowledge. I certify that I
have authority to apply for this loan/grant on behalf of the business described herein. I understand that this
information may be made available for public review and is subject to the terms of the Florida Public
Records Act. In the event of loan/grant approval, the undersigned grants permission to the City to release
publicity articles regarding the financing of the project. The City may also check the personal credit history
of the principal owner(s) and/or key individuals. By signing below, the undersigned agrees that the
loan/grant will be used for business purposes only and not for household, personal, or consumer usage. I
understand that any willful misrepresentation on this statement could result in a -fie -and/or -imprisonment
under provision of the United States Criminal Code U.S.C. Title 18, Seion 1001.
Applicant 1:
Signature
Applicant#2:
Signature
Print Name/Title ��f ,, Date
Date
S YOU NEED TO SUBIVII
Please attach the following forms/,documents in order to complete your application:
1.One of the followmg financial documents:
2.List of any equipment, to be purchased and its purpose. You will be required to submit three (3) detailed
quotations for each item listed The. City will pay directly the lowest bidder.
3.Copy of the Business Certificate ofUse and Occupational License (City of Miami and Miami -Dade
County);
4.Commercial Insurance Policy;
The city reserves the right to request additional information about the business, business owner(s) and or
applicant that may be needed to process the loan/grant application.
EXHIBIT "B"
Transferring CDBG funds to Martin Luther King Jr. Emergency Business Assistance Program
Sources of Reallocation
Amount
Recommended Allocation
Activity NamelDescription
Amount
City of Miami Department of
Community and Economic
Development, CDBG Reserve
Account
$130,000.00
Martin Luther King Jr.
Emergency Business
Assistance Program
To provide forgivable loans up to
to for -profit businesses located on
about the 7th Avenue corridor
$10,000
or
$130,000.00
Total
$130,000.00
$130,000.00