HomeMy WebLinkAbout2020 10-12 EDAPE conomic Development
Authority
V I RT UA L meeting being
conducted by electronic
means in accordance with
Minnesota S tatutes, section
13D.021 P ublic portion
available for connection by
dialing 1-312-535-8110
A ccess Code: 133 791
1584
October 12, 2020
AGE NDA
1.Call to Order
The City Council requests that attendees turn off cell phones and pagers during the meeting. A
copy of the full C ity Counc il packet, including E D A (E conomic Development Authority ), is
available to the public. The packet ring binder is located at the entrance of the council
chambers.
2.Roll Call
3.Approval of Consent Agenda
The following items are considered to be routine by the Economic Development Authority (E D A)
and will been acted by one motion. There will be no separate disc ussion of these items unless a
Commissioner so requests, in whic h event the item will be removed from the c onsent agenda
and considered at the end of Commission Consideration I tems.
a.Approval of Minutes
- Approve the minutes from the Ocrtober 12, 2020 meeting
b.Resolutions A pproving Authorizing Additional Micro-Business Relief Grant
Program E xpenditures and the Transfer of C A R E S A ct Funds to the
Economic Development A uthority of Brooklyn Center to Administer Business
Relief Program
- Motion to approve a resolution authorizing additional Micro-business Relief
Grant Program expenditures
- Motion to approve a resolution authorizing the transfer of C A R E S Act F unds
to the Economic Development A uthority of Brooklyn Center to administer
program
4.Commission Consideration Items
5.Adjournment
Economic Development Authority
DAT E:10/12/2020
TO :C ity C ouncil
F R O M:C urt Boganey, City Manager
T H R O U G H :N/A
BY:Barb S uciu, C ity C lerk
S U B J E C T:A pproval of Minutes
B ackground:
I n accordance with M innesota S tate S tatute 15.17, the official records of all mee4ngs must be documented
and approved by the governing body.
B udget I ssues:
- None
S trategic Priories and Values:
O pera4onal Excellence
AT TA C H M E N TS :
D escrip4on U pload D ate Type
10/12/20 M inutes 11/3/2020 Backup M aterial
Economic Development Authority
DAT E:10/12/2020
TO :C ity C ouncil
F R O M:C urt Boganey, City Manager
T H R O U G H :N/A
BY:M eg Beekman, C ommunity D evelopment D irector
S U B J E C T:Res olu*ons A pproving A uthorizing A ddi*onal Micro-Busines s Relief G rant P rogram
Expenditures and the Transfer of C A R E S A ct F unds to the Economic D evelopment
A uthority of Brooklyn C enter to A dminis ter Busines s Relief P rogram
B ackground:
O n S eptember 24 the Economic D evelopment A uthority approved res olu*ons es tablishing a M icro-
bus iness Relief G rant P rogram and authorizing $147,600 of C A R E S A ct funding to be transferred to the
E DA to adminis ter the program.
The E DA has s ince entered into professional s ervices contracts w ith L I B A and A C E R to adminis ter the
program on the E DA 's behalf and manage the distribu*on of funds to small busines s es in the community via
micro grants.
A C E R ini*ally received $50,000 of funding for the program, w hich provides grants between $2,500 and
$7,500 to small busines s es bas ed on needs. A C E R has since received and prequalified 39 bus iness
applica*ons and conducted one-on-one interviews with 23 of them to as s ess need. The current contract
amount w ould allow 20 busines s es to receive the minimum grant amount of $2,500.
A C E R has reques ted addi*onal funds to con*nue the program by serving more bus inesses as well as
provide grants in exces s of the minimum w hen deemed necessary.
The mo*on this evening would provide an addi*onal $50,000 of C A R E S A ct funds to A C E R to con*nue the
program.
B udget I ssues:
$50,000 of C A R E S A ct funds
S trategic Priories and Values:
Resident Economic S tability
AT TA C H M E N TS :
D escrip*on U pload D ate Type
Res olu*on 10/6/2020 Resolu*on LeAer
Res olu*on 10/6/2020 Resolu*on LeAer
Member introduced the following
resolution and moved its adoption:
RESOLUTION NO. 2020-___
RESOLUTION APPROVING AUTHORIZING THE TRANSFER OF CARES ACT
FUNDS TO THE ECONOMIC DEVELOPMENT AUTHORITY OF BROOKLYN
CENTER TO ADMINISTER PROGRAM
WHEREAS, on March 27, 2020, H.R. 748 Coronavirus Aid, Relief, and Economic
Security Act (CARES Act) was introduced by the United States Congress to provide emergency
assistance and health care response for individuals, families, and businesses affected by the
COVID-19 pandemic and signed into law by President Donald Trump; and
WHEREAS, in order to assist cities, counties and townships across the state with the
unexpected budgetary and economic impacts of the COVID-19 pandemic, $841 million of the
state’s allocation of the Coronavirus Relief Fund (the “Funds”), authorized by the federal
CARES Act, have been distributed to local governments across the state; and
WHEREAS, the City of Brooklyn Center has received an allocation of $2.4 million,
which can be used to support local government services as well as grants to businesses and
individuals who have been impacted by COVID-19; and
WHEREAS, guidance issued by the federal government provides that CARES Act
funding is intended to cover a variety of costs incurred by state and local governments in
responding to and mitigating the effects of the COVID-19 public health crisis in their
communities, including economic support for small businesses through grants or forgivable
loans; and
WHEREAS, the Economic Development Authority of the City of Brooklyn Center,
Minnesota (the “Authority”) has established a Micro-business Relief Grant Program (the
“Program”) providing grants and technical assistance to small businesses for costs of business
interruptions cause by required closures, voluntary closures to adhere to public health guidance,
and decreased customer demand related to the COVID-19 public health emergency; and
WHEREAS, the expenditures described herein are necessary in connection with a public
health emergency caused by the COVID-19 pandemic, which was incurred on or after March 1,
2020, and was not accounted for in the City’s regular budget in place as of March 27, 2020, and
therefore is a permissible expenditures of Funds under the CARES Act; and
WHEREAS, the City Council has determined that transferring the administration of a
portion of the Funds to the Authority for Program purposes is in the best interests of the City and
that the Funds designated for Micro-business Relief Grant Program uses will comply with
federal and state guidelines for the use of the Funds under the CARES Act.
NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Brooklyn
Center as follows:
1. The City Manager and staff are authorized and directed to transfer the administration
of a portion of the Funds to the Brooklyn Center Economic Development Authority,
in the authorized amount of fifty thousand dollars ($50,000), for the purpose of
providing grants and technical assistance to small businesses through its Micro-
business Relief Program; in accordance with federal and state guidelines for
expending the Funds.
2. The City Manager and City staff are hereby authorized to take all other actions, and
execute such other documents, as may be needed to implement and carry out the
intent of this Resolution.
Date Mayor
ATTEST:
City Clerk
The motion for the adoption of the foregoing resolution was duly seconded by member
and upon vote being taken thereon, the following voted in favor thereof:
and the following voted against the same:
whereupon said resolution was declared duly passed and adopted.
Commissioner _______________________ introduced the following resolution
and moved its adoption:
EDA RESOLUTION NO. ______
RESOLUTION AUTHORIZING ADDITIONAL MICRO-BUSINESS RELIEF
GRANT PROGRAM EXPENDITURES
WHEREAS, the Economic Development Authority of Brooklyn Center, Minnesota (the
“EDA”) was created pursuant to Minnesota Statutes, sections 469.090 through 469.1082 to
exercise its powers to promote and protect economic development within the City of Brooklyn
Center (“City”); and
WHEREAS, beginning in March 2020, Governor Tim Walz issued a series of Emergency
Executive Orders in response to the COVID-19 pandemic which closed public and private
schools, closed bars, restaurants, and other places of accommodation and generally required
Minnesotans to stay at home; and
WHEREAS, in an effort to mitigate the economic distress caused by the COVID-19
pandemic, Congress passed the Coronavirus Aid, Relief, and Economic Security Act (CARES
Act), which included Coronavirus Relief Funds (the “Funds”) to provide funding to States and
local governments to cover costs associated with the COVID-19 pandemic; and
WHEREAS, guidance issued by the federal government provides that Funds are intended
to cover a variety of costs incurred by State and local governments in responding to and
mitigating the effects of the COVID-19 public health crisis, including related to providing
economic support including grants to small businesses for costs related to business interruptions;
and
WHEREAS, the Brooklyn Center Economic Development Authority (the “EDA”) finds
that in addition to impacting the health and safety of residents, the unprecedented economic
environment created by the COVID-19 pandemic has resulted in numerous business
interruptions and shutdowns in the City; and
WHEREAS, although the State of Minnesota is currently “dialing back” business
closures and other restrictions affecting the economy and allowing businesses to reopen under
certain limited conditions, the EDA recognizes that the costs of current and prior business
interruptions and the costs for businesses associated with reopening under public health guidance
and protocols are likely to prevent many businesses from continuing to operate; and
WHEREAS, the temporary and potential permanent closure of many of the City’s
businesses as a result of the COVID-19 public health crisis threatens to substantially impair the
City’s economy; and
WHEREAS, preservation of existing businesses with a physical location in the City is
essential to stabilizing the City’s economy and the EDA therefore established a Micro-business
Relief Grant program to provide grants and technical assistance to businesses, in accordance with
federal CARES Act regulations, providing economic assistance to businesses within the City that
have been impacted by the economic pressures caused by the COVID-19 public health crisis; and
WHEREAS, expenditures relating to the Program are necessary in connection with a
public health emergency caused by the COVID-19 pandemic, which were incurred on or after
March 1, 2020, and were not accounted for in the EDA’s regular budget in place as of March 27,
2020, and therefore are permissible expenditures of Funds under the CARES Act.
NOW, THEREFORE, BE IT RESOLVED, by the Economic Development Authority of
Brooklyn Center, Minnesota Board of Commissioners as follows:
1. The City has designated the EDA as its agent to administer an additional $50,000 of
its federal funding from the Coronavirus Relief Fund available under the CARES Act
for the Program, as provided in the City resolution adopted on October 12, 2020.
2. The Executive Director and EDA staff are hereby authorized and directed to do each
of the following regarding the Program:
a. Amend the professional services agreement with African Career, Education &
Resource (ACER) to provide an additional $50,000 for review and technical
assistance in soliciting, assisting with completion, and processing Micro-
business Relief Grant Program applications, with compensation to be based on
a percentage of the amount of total grants awarded, not to exceed 10% for total
grants awarded; and following review and approval by EDA legal counsel, the
Executive Director is authorized to sign the agreements on behalf of EDA.
b. Take all other actions, and execute such other documents, as may be needed to
implement and carry out the Program and the intent of this Resolution.
Date President
ATTEST:
Secretary
The motion for the adoption of the foregoing resolution was duly seconded by Commissioner
___________________
and upon vote being taken thereon, the following voted in favor thereof:
and the following voted against the same:
whereupon said resolution was declared duly passed and adopted.