TO: CRA Board of Commissioners
FROM: Alexina Jeannite, Community Engagement Director
THROUGH: Renée A. Jadusingh, Esq., Executive Director
DATE: February 28, 2023
Title
CRA FUNDING ASSISTANCE PROGRAM UPDATE
Body
Recommended Action:
Recommendation
Follow up discussion on CRA Business Funding Assistance Programs.
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Background:
At the January 24, 2023 CRA Board Workshop Meeting, Staff facilitated a discussion on proposed modifications to the Funding Assistance Programs. The discussion involved modifications to three of the program guidelines and the recommendation to close two of the programs (Rent Subsidy - permanently and Historic Façade Improvement Grant - temporarily). This item presents an update on said modifications, showing all tracked edits within the guideline documents.
Summary of major changes to the Guidelines:
• Project Consultancy & Design Services
o Accept changes and re-open
o Tracked edits in Exhibit A
• Site Development Assistance
o Accept changes and re-open
o See tracked edits in Exhibit B
• Paint-Up & Signage
o Accept changes and re-open
o See tracked edits in Exhibit C
• Rent Subsidy
o Close/terminate
• Historic Façade Improvement Grant
o Temporarily pause
Summary of major changes to the Contract:
• Grantee’s Personal Liability Clause
o Survives the Term Date of the funding agreement
o Grantee is personality liable for 10% of disbursed funding amount
o If Grantee’s business does not remain in business at the same location, then the Grantee is personally liable for 10% of the disbursed funding amount to be paid back to the CRA
o 2% of the liability is forgiven every year that the Grantee remains in business at the same location (beginning when the last funding payout is given)
o After 5 years of the Grantee being in business at the same location, (commencing on last funding payout), the Grantee’s personal liability is forgiven in full
CRA Attorney Review:
N/A
Finance Review:
N/A
Funding Source/Financial Impact:
N/A
Overall need within the Community Redevelopment Area from Delray Beach CRA Redevelopment Plan:
Removal of Slum And Blight
Land Use
Economic Development
Affordable Housing
Downtown Housing
Infrastructure
Recreation and Cultural Facilities