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Page 2 of 3 distribution, warehousing, and other eligible business activities. Business must be able to locate outside of Minnesota and be able to serve the same customers. Companies deemed eligible to participate may receive up to $1 million for creating or retaining high-paying jobs and for constructing or renovating facilities or making other property improvements. In some cases, companies may receive awards of up to $2 million. Business applicants for the Job Creation Fund must apply through the city. To be eligible for funding, DEED requires applicants obtain a resolution of support approved by the City Council. To apply for the JCF program, Project 1492 must complete the following steps: 1. The business and Local Government work together to complete the JCF Application. A Local Government resolution in support of the project must be included. The Local Government will submit the completed application to DEED. 2. DEED evaluates the application and notifies the Local Government and business of approval or denial. If approved, DEED will formally designate the business as a JCF business via an award letter and determine a job creation and/or capital investment rebate amount. Awards and/or rebates of $500,000 or more require DEED to hold a public hearing prior to formally designating the business as a JCF business. (Note: This project is estimated to be awarded $400,000 which does not require the City to hold a public hearing.) Awards and/or rebates of $200,000 or more require that construction adhere to prevailing wage rules. 3. The project may begin once an award letter has been signed, however no jobs created or capital investment expenditures will be eligible until a Business Subsidy Agreement (BSA) has been fully executed. Adoption of the resolution of support does not obligate the City to approve development plans. It also does not obligate the City to provide any financial incentives now or in the future. This is one step in assisting the applicant with obtaining funding for the project. The following is the Post-Award process: 4. DEED and the JCF business will enter into a BSA specifying the details of the award and/or rebate to be provided after job creation and capital investment goals are met. The JCF business and the DEED commissioner sign the BSA. The date of final signature is considered the project Designation Date. 5. Jobs created and/or capital investment expenditures may be counted on or after the Designation Date. 6. The Local Government will assist the JCF business as needed with submitting required annual progress reports, payment request documentation, and other information requested by DEED. Findings of Fact DEED requires the City Council make findings in four specific areas as part of the Resolution of support. The Planning Department offers the following findings of fact for consideration: 1. Finding that the project is in the public interest because it will encourage the growth of commerce and industry, prevent the movement of current or future operations to locations outside Minnesota, result in increased employment in Minnesota, and preserve or enhance the state and local tax base. a. The Project 1492 investment would be approximately $13.9M to buy the land/building, machinery and equipment, and real property improvements.