City of Newark Small Business Loan Guarantee Program Application

Transcription

1 City of Newark Small Business Loan Guarantee Program Application The application deadline is July 29 at 4:30 p.m. Applications should be submitted to: City of Newark Development Department Attn: Stuart Moynihan, Economic Development Coordinator 40 West Main Street, Suite 407 Newark, Ohio Business and Property Owner Information The following pages contain the application material necessary to qualify. Please fill out the application in its entirety. Business Name Business Address Business Phone Number Business What does the business do? Is this business new or existing? Number of years in business Number current of employees Number of employees anticipated at project completion Is the business a franchise? Is the business a for-profit? Does the business provide goods and services directly to consumers? Are these goods and services affordable to low to moderate income individuals? Business Owner Name Percentage of Ownership Business Owner Home Address Business Owner Phone Number Business Owner Property Owner Name Percentage of Ownership Property Owner Address Property Owner Phone Number Property Owner *For applications in which the business owner and property owner are not the same and a project will result in changes to the property or the building, a signed letter from the property owner granting permission for the project must be submitted with this application. Page 1 of 6

2 Site and Building Information What is the current use of the site and building? How will the use of the site and building change following the project? Are there vacant commercial units within the building? Number of units and square footage Will this project address vacant commercial space? How? Are the building and/or site improvements in a state of disrepair or deterioration? Will this project address the disrepair/deterioration? How? For projects including exterior renovations, are the renovations intended to restore the original features of the building? Please describe and attach additional descriptions or evidence as necessary. Project Information Purpose of Loan and Project Description. In an attachment to this application, prepare a detailed description of the proposed project and how loan funds will be spent. The description should include a project plan and timeline indicating project milestones and estimated dates for reaching milestones and project completion. The project must be completed by the project completion date indicated in the project timeline. If the project cannot be finished by the project completion date due to extenuating circumstances, the City shall have the discretion to grant an extension to a new project completion date. For construction projects, include a scope of work, drawings, and color photographs. The City may request modifications to the project plan and timeline prior to referring the applicant to Park National Bank. Estimated Project Cost Anticipated Loan Amount to Be Requested Page 2 of 6

3 What other funding sources will be used to finance the project? Please include whether funding sources are committed or uncommitted and the respective amounts. Federal Requirements Business Data Universal Numbering System (DUNS) number Determine which of the following National Objectives will be met by the proposed project. Prior to submitting an application, the City may assist the applicant in determining which, if any, National Objectives can be met. 1. The business has a service area, as designated by the business, which has 51% low to moderate income residents. The service area must be defined by the general contiguous location where the business s customers live not defined the business s location. This National Objective applies primarily to retail and service businesses. 2. The business is within a blighted area which is defined by city ordinance as downtown Newark. It addition, the loan must be used to address the conditions that contributed to the blighted designation: building and infrastructure deterioration, poor maintenance, inadequate lighting, overall building vacancy, vacancy of upper stories, decreased property values, and decreased business profitability. 3. The loan will be used to create full-time equivalent, permanent jobs, 51% of which will be filled by individuals of low to moderate income at the time of employment. Documentation showing family income as low to moderate at the time of employment must be provided to the City by the employer as long as jobs are being created by the funding, i.e. the length of the loan guarantee. Or, the loan will be used to retain jobs, 51% of which are held by low to moderate income individuals. The employer must provide documentation that family income of employees is low to moderate and definitive evidence that the jobs would be lost without CDBG funding. 4. Which National Objective will be met by this project? Check one: Provide a brief description of how the National Objective will be met. Determine which of the following Public Benefits Standards will be met by the proposed project. Prior to submitting an application, the City may assist the applicant in determining which, if any, Public Benefits Standard can be met. Note: Loan guarantees for exterior commercial building renovations could be considered Commercial Rehabilitation and do not require the demonstration of a Public Benefit. Page 3 of 6

4 1. The business provides goods or services to residents of a service area designated by the business such that the number of low to moderate income persons residing in the area amounts to at least one low to moderate income person per $350 of CDBG funds used. 2. The business will create or retain at least one full-time equivalent, permanent job per $35,000 or less of CDBG funds used. Which Public Benefits Standard will be met by this project? Check one: 1 2 Provide a brief description of how the Public Benefits Standard will be met. For construction projects, the loan applicant must present the City with WH-347 Certified Payroll Reports, as provided by all hired contractors, showing that the following requirements have been met: Construction work over $2,000 that is financed in whole or in part by CDBG funds will require that prevailing wages be paid for construction activities as required by the Davis-Bacon Act for the entire construction project. This does not apply to administrative and soft costs or the purchase of building materials. As required by the Copeland Anti-Kickback Act, workers must be paid weekly, deductions from worker s pay must be permissible, and contractors must maintain and submit weekly payrolls. Will the loan be used for construction activities? If yes, indicate your understanding and willingness to comply with the requirements above. Applicant Responsibility By initialing below and signing this application, the applicant accepts responsibility for each of the following requirements: The loan proposal or project will be consistent with federal, state, county, and local regulations (Initial) including zoning, building, health and safety codes. The applicant must obtain all necessary permits for the project prior to starting work. (Initial) For all construction projects costing $2,000 or more in which CDBG funds will finance construction (Initial) activities either in whole or in part, applicants must ensure that hired contractors and subcontractors pay prevailing wages as required by the Davis-Bacon Act and submit Certified Payroll Reports confirming that these requirements are met. The applicant shall notify the City when loan funds are spent, project milestones are met, and when a (Initial) project is completed. The applicant shall allow City officials to make inspections and site visits as necessary to ensure that the agreed upon plan is followed. Page 4 of 6

5 The applicant must submit in writing to the City any significant change to the project plan, timeline, (Initial) completion date or change in the use of the loan. The applicant must receive approval in writing from the Development Department prior to proceeding with the change. If the proposed change is not approved, the applicant must comply with the original project plan and timeline. The applicant must ensure that their projects are compliant with federal requirements for National (Initial) Objectives and Public Benefits Standards as detailed in this application. The applicant must perform reporting tasks at the time of application and at times requested by the (Initial) City in order to verify compliance with federal eligibility requirements. By signing this application, you certify that all information contained in this application is true and complete to the best of your knowledge. Applicant Signature: Printed Applicant Name: Date: Attachments 1. Borrowers Certification and Authorization (To be submitted with this application.) 2. Personal Financial Statement (To be submitted with this application and forwarded to Park National Bank.) 3. Information Checklist for Loan Application (To be submitted to Park National Bank at the time of loan application.) 4. WH-347 Certified Payroll Report (To be submitted during construction projects.) FOR OFFICE USE ONLY Date of Application Deadline Met: Application Complete: Application Meets Program Goals: Application Meets Program Guidelines: Page 5 of 6

6 Sufficient Project Information Provided: Business Able to Meet Federal National Objective: Project Requires Meeting of Federal Public Benefits Standard: Business Able to Meet Federal Public Benefits Standard: Project Requires Section 106 Review: Approval: Date Size of Loan Guarantee Approved Director Approval of Application: Administrator Approval of Application: Development Director Date Kimberly Burton Economic Development Coordinator Date Stuart Moynihan Additional Notes Page 6 of 6