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HomeMy WebLinkAboutResolution #1120RESOLUTION NO . 112 0 A RESOLUTION ESTABLISHING POLICY GUIDELINES FOR THE SECURING OF IRAN FUNDS TO BE DISBURSED BY THE CITY OF CAN'T'ON FROM THE ILLINOIS DEPARTMENT OF COMMERCE AND COMMUNITY AFFAIRS (DCCA). WHEREAS, the City of Canton has been made the recipient of several Community Development Assistance Program grants from DCCA; and, WHEREAS, the City of Canton has now been directed by DCCA to establish relending policy guidelines with respect to the security interest to be pledged to the City of Canton to guarantee repayment of any such loans. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF CANTON, Fulton County, Illinois as follows: 1. That the Canton City Council hereby determines and establishes the following policy guidelines with respect to the security to be pledged to the City of Canton by its borrowers with respect to all monies to be reloaned by the City of Cainton from its recovered CDAP grant funds: a. That no loan shall be made which has pledged in its repayment a good and sufficient first security interest in real property and/or personal property (to include choses in action and any combination of the foregoing) which totals less than the aggregate principal amount due the City of Canton by its borrower. b. That if other than a good and sufficient first security interest in said aggregate principal amount is to be pledged, a combination of any number of first security interests and inferior interests acceptable to the City of Canton in an amount not less than 1338 of the aggregate principal amount due the City of Canton may be pledged if such pledge: (1) In the case of a corporate borrower, contains the pledge of a first security interest in all corporate stock outstanding at the time the loan is made and of all corporate stock which may be outstanding at all times during the term of the loan, or, until full payment is made; or, (2) In the case of a loan to an individual, a partnership, association, or other similar entity, contains the individual personal guarantee of the borrower, to include the personal guarantees, as applicable, of all partners, members of the association, and other parties in interest, in an aggregate amount not less than the total principal amount due the City of Canton. 2. That this Resolution shall be in full f orce and effect immediately upon its passage by the City Council of the City of Canton, Fulton County, Illinois and approval by the Mayor thereof. PASSID by the City Council of the City of Canton, Fulton County, Illinois at a regular meeting this ~ day of November, 1985, upon a roll call vote as follows: ~~h4ic~~:ia~ Instcucti~r~~ ~l ~o not publish C] Pub!'ssi: in pami7h9ot (orm only la Publish it a ~~;oerUi ci~c€~lation newspaper // ~ Zap,.,. ___. City Att. Date AYES: Aldermen Chapman, May, Bohler, Workman, Sarff, Falcone, Zilly, Kovachevich, NAYSc None . p,BSENT: None , APPRfJVED Donald E. Edwards, Mayor. ATTEST: Nan ite ,City Clerk ~ b7onitoring Requirements for IDLF Business Plan and Information Project Site Map (property boundaries and existing building dimensions) Evidence of Site Control (deed, sales contract, option) Public acid Private Financing Committments Cost Certification Financial Statements Income and Expense Pro Forma Proposed method of documenting compliance with the requirement that a majority of the permanent jobs created go to low-income rural residents. .~ All elements of this list. must be completed before the loan will be brought before the Loan Committee or the City Council. Canton Economic Development Loan Fund Application General Information Table I Application Status: a. Original Date b. Revised Date c. Amended Date Legal Applicant/Recipient: a. Name: b. Address: c. City/Village: d. Zip Code r e. Name and Title of Chief Executive Officer: f. Telephone: Amount of Request: S Legal Applicant/Recipient Certifies That: To the best of my knowledge and belief, data in this application are true and correct, the document has been duly authorized by the governing body of the recipient and the recipient will comply with teh attached assurances if the assistance is approved. Certifying Representative: (To be signed by Chief Executive Officer or Designee) Typed Name Typed Title Signature Date This form is required for participation in the Economic Development Loan Fund Program. ~ ~ ~ ~ ~ ~ ~ .. a~ ~ ~ b o .. ~ ~ ~ O ~ O U ~ ~ ~ ~ ~ ~ Q ~ ~ ~ o a o H rd A U rd N ~+-~ N .~ a-- ?I N ~0~.~ ~ o ~ H ~ .~ ~U N O Q ~ H ~ ~ ~ 0 ~z h o ~ A •~ h ~ a h~ ~v a3i ~ 2 U 0 H U Q~ W A ~~ t!}' O ~i ~ N ~ ~ N ~ ~ N a~~ r-i ~ :v cYi U~ Q ~ O HH ~ ~ b•rl ~ ~ `~ ~ ~ ~ ~ CA Qf N H -1~ ~-I ~ H ~ H +~ O ~ Pa `~' U Ei ~ .-1 `~ ~ ri ~" ~' {/} H N M rl H Table III 1. Uses of Funds/Project Costs: (Itemize all cost elements needed to bring this proposed project to operational status.) a. Total Cost b. IDLE Portion c. Non-IDLE a. Land acquisition $ $ $ (refer to Exhibit D) b. Building purchase (Exhibit D) $ $ $ c. New Construction (Exhibit G) $ $ $ d. Rehabilitation (Exhibit G) $ $ $ e. Site preparation (Exhibit G) $ $ $ f. Off-site improvements (r~hibit G) $ $ $ g. Leasehold improvements (Exhibit G) $ $ - $ h. Machinery and capital equipment, $ $ $ i.e., life of 5 years or more. (Exhibit G) i. Interim costs, i.e., construction $ $ $ interest, organizational costs, relo- cation of businesses or persons, moving costs, overhead, profit, etc. (Exhibit G) j. Professional fees (Exhibit G) $ $ $ k. Working Capital $ $ $ 1. Inventory $ $ $ m. Non-capital equipment, i.e., $ $ $ life of less than 5 years. n. Local administrative costs ~ $ $ $ o. Audit $ $ $ p. Total Project Costs $ $ $ 2a. Provide the total amount of non-EDLF dollars being contributed to this project (column c above): b. Provide the total amount of EDLF dollars requested for this project (column b above) c. Provide the leverage ratio by dividing the total amount of non-IDLE dollars (line 2a above) by the total amount of IDLF dollars being requested (line 2b above). Non-IDLE IDLE Dollars / one IDLE dollar c c Table III, (continued) Section D. Sources of Financing And Repayment (a) (b) (c) (d) (e) Annual Source Amount Term Interest Debt Service a. Equity Participants $ $ b. Loan $ $ name of lender under review conunitted (refer to Exhibit G) c. Loan $ $ name of lender d. IDLF Request (minus eligible administrative costs and audit) $ $ e. Other $ $ Subtotal $ $ f. Working capital $ $ source (equals line 1.1 of Sec. C) g. Inventory $ $ source (equals line 1L. of Sec. C) h. Non~apital ~ Equipment $ $ source (equals line 1 n of Sec. C) Total Project Costs $ $