Chapter 4.25
ECONOMIC DEVELOPMENT ASSISTANCE PROGRAM

Sections:

4.25.010    Program purpose and goals.

4.25.020    Program description.

4.25.030    Definitions.

4.25.040    Securing economic development funds.

4.25.010 Program purpose and goals.

(a)    The purpose of this program is to provide economic development assistance. It will allow the borough to receive, evaluate and award economic development assistance.

(b)    The following list represents the broad prioritized goals for this program:

(1)    Creation of new, and preservation of existing, long-term living wage jobs within the borough.

(2)    The establishment of economic development related infrastructure.

(3)    Provide a foundation for promoting private enterprise.

(4)    The diversification of the local economy.

(5)    Provide leverage to bring in other economic development funding resources.

(6)    Stimulation of the local economy through the purchase of local goods and services.

(7)    The preservation and creation of other than living wage and/or seasonal jobs within the borough. [Ord. No. 1582, §3, 1-17-11; Ord. No. 1260, §2, 5-5-03; Ord. No. 1106, § 1, 6-5-99. Code 1974 §10.30.010.]

4.25.020 Program description.

(a)    The program is designed to provide a mechanism enabling the assembly to adapt assistance awards to changing economic conditions or unique economic opportunities. Use of funds will be considered against the relative value of alternative uses those funds could provide.

(b)    The following types of economic development assistance are available under this program. This list is prioritized in order of preference to the borough under the assumptions that appropriate due diligence requirements are satisfactorily met, and other aspects of the application are considered equal:

(1)    Support and assistance in securing grants or loans of non-borough funds;

(2)    Tax relief and other incentives;

(3)    Facility development/leases;

(4)    Loan participations or guarantees;

(5)    Loans;

(6)    Grants;

(7)    Equity investments.

(c)    The total amount of borough funds available for this program in any single fiscal year will be determined during the preparation of the budget for that fiscal year or as amended by the assembly from time to time. [Ord. No. 1867, §2, 9-4-18; Ord. No. 1582, §3, 1-17-11; Ord. No. 1573, §2, 10-20-10; Ord. No. 1477, §5, 4-21-08; Ord. No. 1260, §2, 5-5-03; Ord. No. 1106, §1, 6-5-99. Code 1974 §10.30.020.]

4.25.030 Definitions.

For the purposes of this title, the following definitions apply:

“Community priorities” means those prioritized projects established by the CEDS committee or planning liaison and economic development advisory committee and adopted by assembly resolution.

“Equity investments” means purchase of capital shares of a corporation that have exclusive residual claim on the net assets and net income of that corporation after all prior claims have been paid.

“Facility development/leases” means use of borough funds and/or property to develop facilities required for a project, and/or the use of favorable leases for borough developed property/infrastructure.

“Foundation for promoting private enterprise” means such information, condition, activity, or endeavor that, if used or implemented, would enhance the potential for spontaneous development and/or growth of private enterprise.

“Grant” means monetary awards made by the borough for a specific purpose.

“Incentives” means performance-based assistance; monetary awards provided only after achieving predesignated requirements and/or milestones.

“Leverage” means the use of an amount of borough funds to acquire a greater amount of other non- borough funding.

“Living wage” means an amount equal to or greater than the average of the annual average per capita income and the annual average per capita wage for the Ketchikan Gateway Borough.

“Loan” means a sum of money lent with or without interest.

“Loan participation guaranty” means an agreement by which the borough assumes all or some responsibility of assuring payment or fulfillment of an applicant’s loan.

“Long-term” means sixty (60) months or greater.

“Marketing assistance” means the use of nonfinancial assistance by the borough’s economic development staff/agents to market a project through such means as: The borough’s participation in trade shows, the use of the borough’s website, the development of community promotional materials, and word of mouth advertising.

“Professional staff assistance” means time, effort, and/or resources devoted to an application for economic development assistance, in the form of professional advice, guidance, review, and/or networking, which is provided by the borough’s economic development staff/agents.

“Tax relief” means as provided in Chapters 4.45 through 4.55 KGBC, or as otherwise provided by law. [Ord. No. 1260, §2, 5-5-03; Ord. No. 1106, § 1, 6-5-99. Code 1974 §10.30.025.]

4.25.040 Securing economic development funds.

(a)    This program is intended to seek grants and other economic development assistance funds from such public and private sources as may be available and appropriate consistent with the borough’s economic development goals. With assembly action, municipal revenue or general obligation bonds may also be considered for the purposes of securing economic development assistance funding, pursuant to the terms and limitations of the KGB Code and as required by law.

(b)    Economic development assistance funding which is obtained by the borough, to the extent that it is unrestricted, shall be applied consistent with this chapter.

(c)    If outside economic development funding or other assistance obtained by the borough is subject to restrictions based upon the source of the funding or other assistance, provision of such assistance by the borough, including any borough generated matching funding as required, shall be conducted under this chapter to the extent that the provisions of that chapter are not inconsistent with the applicable grant conditions. [Ord. No. 1260, §2, 5-5-03; Ord. No. 1106, §1, 6-5-99. Code 1974 §10.30.070.]