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Home My WebLink AboutExhibit AexfiAUI- `` fx,partmvnt of Community & Economic Development tvi3fnl MLK EMERGENCY BUSINESS ASSISTANCE PROGRAM PROGRAM GUIDELINES Effective April 2014 Version 1,1 - revised4/20I4 [PAGE LEFT INTENTIONALLY BLANK] Version 1.1- revised 4/2014 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 7tb 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 is to provide a benefit to low and moderate income city residents residing in the immediate vicinity 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 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 program must directly provide goods or services to the residents of the area, which fits under census tract/block group #(s): Census Tract Low Mod % #L/M Residents 1901.1 84.56% 597 1901.2 75.59% 796 1901.3 83.52% 811 1901.4 63.42% 319 1901.5 78.87% 601 1904.1 77.48% 1318 1904.2 83.37% 837 2001.3 56.81% 413 2001.4 91.80% 750 2003.3 86.60% 1396 2003.4 89.26% 1496 Source of Funding: CDBG Matrix Code: 18A Economic Development — Direct Financial Assistance to For Profits National Objective: Assistance to Low/Mod, Area Benefit Maximum Assistance: $10,000 Eligible Businesses: ■ Businesses located on NW-6h Avenue between 51t Street and 71$t Street and on 624 Street between Interstate 95 and NW 12th Avenue 54t1 Street on the South to 71st on the North between Interstate 95 and NW 17th Avenue. ■ Businesses must have had their air condition unit burglarized or are victims of vandalism and theft in the past 12 months from the date of the enactment of this resolution; ■ Businesses requiring their air conditioned unit to be made secure. Version 1.1 - revised 4/2014 Terns: 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; ■ Inventory. Ineligible Uses of Funds & Activities: Grant funds cannot 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 execute an agreement to remain at that location for the next 2 years and that the funds will be returned 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 at the current location for the next 2 years; ■ Management experience; ■ Goods and/or Services being provided 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. Version 1.1 - revised 4/2014 MLK EMERGENCY BUSINESS ASSISTANCE PROGRAM APPLICATION INFORMATION ABOUT YOU. AND YOUR BUSINESS' Business Name: Business Address: Zip Code: Business Phone: Business Tax ID #: Business Fax: Duns & Bradstreet #: Email Address: Goods/Services Offered to the Community: Year Established: How long have you owned this business? Principals/Owner owning 20% or more of the business: Name: Name: Title: Title: %Ownership: %Ownership: Should the for -profit business applicant answer YES to any of the following questions, please provide any and all details, under separate cover, and submit it with this application. The applicant must provide all pertinent information including naives, dates, times, types, dollar amounts, circumstances, status and dispositions relevant to the appropriate question(s): Does the Owner/Authorized Signer own any interest in any other business? ■ YES ❑ NO Are there any tax liabilities outstanding from previous reporting periods? ■ YES ❑ NO Does the business have any contingent liability? • YES ❑ NO Is the business/applicant presently a party to any claim or lawsuit? ❑ YES ■ NO Has the business/applicant ever declared bankruptcy? • YES ❑ NO Does the business/applicant owe monies to the City of Miami? ■ YES ■ NO ORMATION ABOUT; YOUR:J'ROP()SED:uSE:oi CDBG I (NI) Describe how the funds will be utilized: Version 1.1 - revised 4/2014 �U J] ORIZATIOi± 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 terns 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 usedfor business purposes only and not for household, personal, or consumer usage. I understand that any willful misrepresentation on this statement could result in a fine and/or imprisonment under provision of the United States Criminal Code U.S.C. Title 18, Section 1001. Applicant#1: Signature Applicant#2: Signature Print Name/Title Date Print Name/Title Date Rl' JS YOU EI} TO SUB\ZIT '. Please attach the following forms/documents in order to complete your application: 1. One of the following financial documents: a. Previous two (2) years of Historical Business Financial Statements; b. Corporate Tax Returns (Balance Sheet, Profit & Loss, Cash Flow Statements may be accepted in -lieu of Tax Returns; c. Current and Previous year comparative interim business financial statements (Balance Sheet, Profit & Loss, Cash Flow Statements current within 90 days.) 2. If applicable, a 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 of Use and Occupational License (City of Miami and Miami -Dade County); 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. Version 1.1-revised 4/2014