HF 3290

as introduced - 88th Legislature (2013 - 2014) Posted on 03/26/2014 11:48am

A bill for an act
relating to economic development; appropriating money for the Mille Lacs Lake
business loan program.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1. new text begin MILLE LACS LAKE BUSINESS LOAN PROGRAM.
new text end

new text begin The commissioner of employment and economic development shall make loans to
businesses in the Mille Lacs Lake area that have been severely affected by the decline
of the walleye fishing resource in Mille Lacs Lake. The loans may only be made to
businesses that were in operation prior to the decline in walleye fishing. A business must
submit an application to the commissioner on forms provided by the commissioner. The
application must include a business plan for continued operation, with the assistance of
the loan, until the walleye fishing resource recovers. The commissioner shall allocate
available loan funds to a business based on the commissioner's evaluation of the probable
success of the business plan. A loan shall be for a maximum amount of $75,000 and a
duration of ten years from the date of the loan and shall be interest free. Repayment of a
loan in monthly payments of 1/120 of the original principal amount must begin no later
than one year after walleye fishing on Mille Lacs Lake improves to average levels as
determined by the Department of Natural Resources. Any principal balance remaining at
the end of the ten-year period shall be forgiven if the business continues in operation for
the ten-year period. Loan repayments shall be deposited in the general fund.
new text end

Sec. 2. new text begin MILLE LACS LAKE BUSINESS LOAN PROGRAM; APPROPRIATION.
new text end

new text begin $500,000 in fiscal year 2015 is appropriated from the general fund to the
commissioner of employment and economic development for the purpose of the Mille Lacs
Lake business loan program. This appropriation is onetime and available until expended.
new text end