Big Sky Economic Development Trust Fund ... application guidelines

2007·2.3 MB·English

by  Montana. Dept. of Commerce

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2007
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STATE OF MONTANA
DEPARTMENT OF COMMERCE
BUSINESS RESOURCES
DIVISION
BIG SKY ECONOMIC DEVELOPMENT TRUST FUND
2007 APPLICATION GUIDELINES
AnthonyJ. Preite
Director
Andy Poole
Deputy Director
Gary IVIorehouse
AssistantAdministrator
Business Resources Division
301 South ParkAvenue
P.O. Box200505
Helena, MT59620-0505
Phone: [phone]
Fax:[phone]
Website: http://businessresources.mt.gov/BRD_Trustfund.asp
SMPyeiMNSCOilECIl
MAR 2 8 2007
MONTANASTATELIBRARY
1515E.6thAVE.
BigSkyEconomicDevelopmentTrustFundProgram Applicationa6^<^«y«0N™NA59620
MontanaDepartmentofCommerce 1 2007
MontanaSlateLibrary
3 0864 1003 9904
TABLE OF CONTENTS
INTRODUCTION 3
BIGSKYECONOMIC DEVELOPMENTTRUSTFUND
StatementofPurpose 5
Program Funding 5
Application Deadlines 5
CATEGORY ECONOMICDEVELOPMENTPROJECTS
I:
SectionI-Eligibility 6
A. EligibleApplicants 6
B. EligibleBusinesses 7
C. EligibleUsesofFunds 7
D. AssistanceLimitations 8
SectionII-ProgramRequirements 8
A. LocationRequirement 8
B. InvestmentRequirement 8
SectionIII-Penalties 9
SectionIV-GeneralApplication Procedures 9
A. ProjectInformation 9
B. Business Information 11
C. CertificationsforApplication 13
D. OtherInformation 14
SectionV-ReviewofApplications 14
SectionVI-GeneralProceduresforAccessing Funds 15
A. Award Letter 15
B. Agreements 15
C. DisbursementofFunds 16
CATEGORY PLANNINGGRANTS
II:
SectionI-Eligibility 17
A. EligibleApplicants 17
B. EligibleUsesofFunds 18
C. AssistanceLimitations 18
SectionII-GeneralApplication Procedures 19
Section III-ReviewofApplications 20
SectionIV-General ProceduresforAccessing Funds 20
A. Award Letter 20
B. Agreements .20
C. ProcurementofProfessionalServices 20
D. DisbursementofFunds 21
APPENDICES 23
BigSkyEconomicDevelopmentTrustFundProgram ApplicationGuidelines
MontanaDepartmentofCommerce 2 2007
INTRODUCTION
TheBigSkyEconomicDevelopmentTrustFund(BSTF)program isastate-fundedprogramcreatedby
the2005Legislature. Itisdesignedtoaid inthedevelopmentofgoodpayingjobsforMontanaresidents
andpromotelong-termstableeconomicgrov^^th in Montana.
Theseapplicationguidelinesexplainhowlocalgovernments,Certified Regional Development
Corporations(CRDCs)andothereligibleeconomicdevelopmentorganizationscanapplyforBigSky
EconomicDevelopmentTrustFundfinancialassistance. Potentialapplicantsareencouragedtoreadthe
guidelinesandthencontactBigSkyEconomicDevelopmentTrustFundstafftodiscussprogram
requirementsandprojecteligibility.
TheMontanaDepartmentofCommercedoesnotdiscriminateonthebasisofdisabilityinadmissionto,
accessto, oroperationsofitsprogram, services, oractivities. Individuals, whoneedaidsorservicesfor
effectivecommunicationsorotherdisability-relatedaccommodationsintheprogramsandservices
offered, areinvitedtomaketheirneedsandpreferencesknown. Pleaseprovideasmuchadvancenotice
aspossibleforrequests,pleasecontact:
BigSkyEconomicDevelopmentTrustFund
Montana DepartmentofCommerce
301 South ParkAvenue
PO Box200505
Helena, MT59620-0505
Telephone: [phone]
FAX: [phone]
MontanaRelay 1-800-253-4091
TTD: [phone]
E-mailaddress: [email protected]
BigSkyEconomicDevelopmentTrustFundStaff
QuinnNess
Section Manager
BigSkyEconomicDevelopmentTrustFund
Microbusiness Finance&
CertifiedRegional DevelopmentCorporations
Telephone: [phone]
FAX: [phone]
E-mailaddress:auness(a)mt.qov
AngelaNelson
ProgramManager
BigSkyEconomicDevelopmentTrustFund
Telephone: [phone]
FAX: [phone]
Email: anelson(g)mt.qov
BigSkyEconomicDevelopmentTrustFundProgram ApplicationGuidelines
MontanaDepartmentofCommerce 3 2007
Localgovernments,Certified Regional DevelopmentCorporationsandothereconomicdevelopment
organizationsareencouragedtocontacta DepartmentofCommerceRegionalDevelopmentOfficerwhen
developinganeconomicdevelopmentproject.The BigSkyEconomicDevelopmentTrustFund isavery
specializedeconomicdevelopmenttoolwith limited resourcesandthedevelopmentofmosteconomic
developmentprojectsrequireresourcesfromvariousstateandfederalprograms.TheRegional
DevelopmentOfficerservingyourareacanaideyou inidentifyingandaccessingthesevariousstateand
federalprograms.
DepartmentofCommerceRegionalDevelopmentOfficers
CharlieWright AlJones
Western Montana South Central Montana
Phone: [phone] Phone: [phone]
Fax: [phone] Fax: [phone]
Email: chwriqht(a)montana.com Email:alionesrdoOjattbi.com
TerryDimock Tod Kasten
SouthwestMontana EasternMontana
Phone: [phone] Phone: [phone]
Fax: [phone] Fax: [phone]
Email:tdimock(a)mt.gov Email: kranches(a).midrivers.com
RandyHanson
NorthCentralMontana
Phone: [phone]
Fax: [phone]
Email:rahanson(a)mt.gov
BigSkyEconomicDevelopmentTrustFundProgram ApplicationGuidelines
MontanaDepartmentofCommerce 4 2007
BIG SKY ECONOMIC DEVELOPMENT TRUST FUND (BSTF)
Statement of Purpose
ThelegislativepurposeoftheBigSkyEconomicDevelopmentTnjstFundisto:
• Creategood-payingjobsforMontanaresidents,
• Promotelong-term,stableeconomicgrowthin Montana,
• Encouragelocaleconomicdevelopmentorganizations,
• Createpartnershipsbetweenthestate,local governments,andlocaleconomicdevelopment
organizationsthatareinterestedin pursuingthesesameeconomicdevelopmentgoals,
• Retainorexpandexistingbusinesses,and
• Providea betterlifeforfuturegenerationsthroughgreatereconomicgrowthandprosperityin
Montana.
Program Funding
OnJuly 1,2005,$20millionwastransferredfromthecoalseverancetaxpermanentfundtotheBigSky
EconomicDevelopmentTrustFund (BSTF). Inaddition,a portionofthetotalcoalseverancetaxes
collectedannuallyisdeposited intothe BSTF. Earnings (interestonly,notprincipal)fromtheBSTFare i
availableforfinancialassistancetolocalgovernmentsandeconomicdevelopmentorganizationsthrough j
applicationtotheDepartmentofCommerce(Department).
The BSTFprogramisdesignedtoprovidefinancialassistanceinthefollowingtwocategories:
CategoryI: 75%ofBSTFearningsshallbeawardedtolocalgovernmentsintheformofgrantsandloans m
foreconomicdevelopmentprojects.
CategoryII:25%ofBSTFearningsshall beawardedtoCRDCsand othereligibleeconomic
developmentorganizationsintheformofgrantsforeconomicdevelopmentplanning.
Pleasecontactprogramstaffconcerningfunding availability. Applicationswill bereviewedona
quarterlybasis.
Application Deadlines
TheDepartmentwillestablishandannouncefundingavailabilityforbothcategories:
Applicationswillbeacceptedthroughouttheyearonaquarterlybasiswithapplicationdeadlinesof
March 31^',June30'^, SeptemberSO''^and December31^'unlessotherwisespecifiedbytheDepartment,
untilallavailablefundsarecommittedtoapproved projects.Applicationswill be reviewed baseduponthe
criteriaprovidedintheseguidelines.
BigSkyEconomicDevelopmentTrustFundProgram ApplicationGuidelines
MontanaDepartmentofCommerce 5 2007
.
CATEGORY ECONOMIC DEVELOPMENT PROJECTS
I:
Summary
StatutoryrequirementsforCategoryIfundingincludenetnew,full-timejobcreationanda$1 for$1
matclirequirement.
Totalprogramfinancialassistancetoalocalgovernmentforaneconomicdevelopmentprojectmaynot
exceed$5,000foreach neweligiblejobtobecreated.Thisamountbreaksdowninto$4,750for
businessassistanceand upto$250forgrantadministration pernetneweligiblejobcreated. Project
fundingceilingswill bedeterminedbytheavailabilityoffundingandthequalityoftheprojectproposed.
ContacttheDepartmentformoreinformationconcerningjobeligibilityandcurrentaverageweeklywage
thresholds.
Projectsshouldbelimitedtonomorethantwo(2)yearsunlessotherwiseapproved bythe Department.
TheBSTFprogramisaveryspecializedeconomicdevelopmenttoolwithlimitedresources.TheBSTF
programshouldnotbeconsideredasa solesourceoffundingforprojectswhenotherstateorfederal
programscouldbeutilized.
Section - Eligibility
I
A. Eligible Applicants
BigSkyEconomicDevelopmentTrustFund-CategoryIeligibleapplicantsinclude:
1 Incorporatedcitiesortowns,
2. Counties,
3. Consolidatedgovernments,
4. Tribalgovernments(includesanystateorfederallyrecognized IndiantribewithintheStateof
Montana), and
5. Publicdistrictsorlocal publicentitieswiththeauthoritytospendorreceive publicfunds.
SpecialpurposeagenciessuchasCRDCsandothereligibleeconomicdevelopmentorganizationsare
noteligibletoapplydirectlytotheDepartmentforCategoryI financialassistance; however, local
governmentsarestatutorilyrequiredtoworkwith aneconomicdevelopmentorganizationonaproposal.
Economicdevelopmentorganizations maybeinvolved inimplementing andadministering a
projectbysub-recipientagreement, iftheeligibleapplicantagreestosuchanarrangement.
As determinedbytheDepartment, localgovernments andsub-recipientsmusthavethe
managementcapacityto undertakeandsatisfactorilycompletetheproposed projectandassure
propermanagementofBSTFawards.
TheDepartmentshallnotmakealoannorawardagranttoanyindividual, organization, orgovernmental
unitthatiscurrentlyindefaultoftheconditionsofanyloanorgrantcontractpreviouslyexecutedbythe
Department.
BigSkyEconomicDevelopmentTrustFundProgram ApplicationGuidelines
MontanaDepartmentofCommerce 6 2007
..
B. Eligible Businesses
BSTFearningswillbegrantedorloanedawardedtolocalgovernmentsforuseineffortstodevelop
economicdevelopmentprojects,throughcooperativeendeavorwithabusiness,whichprovidesgood
payingjobstoMontanaresidents. Eligiblebusinessesshallmeetoneormoreofthefollowingcriteria:
1 Abasicsectorcompanydefinedasacompanythat:
a. Generatesmorethan50%oftheirtotaldollarsalesfromoutside Montana,
b. Morethan50%oftheirproductorservicesentersintotheproductionofexportedproducts
outsideofMontana,
c. Definedasa"value-addingbusiness"bytheMontanaBoard ofInvestments,
2. Otherbusinessentitiesthat:
a. Areengagedinbusinessactivitiesthatwill provideasignificantpositiveeconomicimpactto
thecommunity, regionand/orthestatebeyondthejobcreationinvolved,
b. Donotcompetelocally,regionallyand/orwithinthestatewithexistingbusinessesthatwould
resultinanegativeimpactoncompetitorsinthecommunity, regionand/orthestate,and
c. Provideaserviceorfunctionthatisessentialtothelocality, regionand/ortheStateof
Montana.
NOTE: Eligiblebusinessesmustalsomeetalloftheprogramrequirementsoutlinedintheseguidelines.
Otherbusinessentities, whichdonotmeettheabovestatedcriteria, maybeaneligiblerecipientifitis
determinedbytheDepartmentthattheactivitiesthatthebusinessisprimarilyengagedinwouldhavea
substantialimpactontheeconomyofacommunity, regionand/orthestate.
C. Eligible Uses of Funds
ABSTFgrantorloantoalocalgovernmentmaybeusedbvthelocalgovernmenttoprovideagrantor
loantoaneligiblebusinessassociatedwithaneconomicdevelopmentprojectthatincludes,butisnot
limitedto:
1 Workforcetraininggrantsforthetrainingofnewemployees;
2. Infrastructureimprovements, (sitesandbuildings), machinery,equipmentandworkingcapital;
3. Relocationcostsincurred inconnectionwithmovingabusinesstoMontana.
Otheruseswhichdonotmeettheabovestatedcriteriamaybeeligibleatthediscretionofthe
Department.
LocalgovernmentsmayutilizeaportionofaBSTFgrantorloanawardforprojectadministrationwith
Departmentapproval. TotalprojectadministrativecostsreimbursedwithBSTFdollarsshallnotexceed
five(5)percentofthetotalBSTFawardperproject. Thisamountisincludedinthe$5,000pernew
jobcreated. Thisamountbreaksdowninto$4,750forbusinessassistanceandupto$250forgrant
administrationpernetneweligibleJobcreated. (FordefinitionofeligibleJob, seepage 10A.S.b.i.)
CRDCsorothereligibleeconomicdevelopmentorganizationsassociatedwiththeprojectarealso
encouragedtomakeaseparateapplicationforBSTFCategoryIIfinancialassistanceforprojectfeasibility
studiesandothereligibleactivitiesassociatedwiththeproject.
BigSkyEconomicDevelopmentTrustFundProgram ApplicationGuidelines
MontanaDepartmentofCommerce 7 2007