File #: 25-0328R    Name:
Type: Resolution Status: Agenda Ready
File created: 4/16/2025 In control: Planning and Economic Development
On agenda: 4/28/2025 Final action:
Title: RESOLUTION AUTHORIZING AN AGREEMENT WITH THE DULUTH 1200 FUND, INC. TO TRANSFER $1,400,000 FOR THE PURPOSE OF ADMINISTERING A HISTORIC FUND PROGRAM
Attachments: 1. 25-0328R Council Memo - Historic Fund Transfer, 2. Exhibit A, 3. Exhibit B
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Title

RESOLUTION AUTHORIZING AN AGREEMENT WITH THE DULUTH 1200 FUND, INC. TO TRANSFER $1,400,000 FOR THE PURPOSE OF ADMINISTERING A HISTORIC FUND PROGRAM

 

Body

CITY PROPOSAL:

RESOLVED, that the proper city officials are authorized to enter into an agreement, substantially in the form of attached Exhibit A, with the Duluth 1200 Fund, Inc. (“1200 Fund”), for the purpose of creating and managing a historic fund program, with the intent of supporting investment in the Duluth Commercial Historic District, transferring $1,400,000 to 1200 Fund payable from city fund no. 255 (economic development).

 

Statement of Purpose.

STATEMENT OF PURPOSE: This purpose of this resolution is to authorize the proper city officials to transfer $1.4 million to the Duluth 1200 Fund, Inc. (“1200 Fund”) for the creation and management of the Historic Fund, as indicated in the settlement agreement concerning Respect Starts Here v. Duluth Economic Development Authority and the City of Duluth- approved by City Council on January 27, 2025 (25-086R).

 

The Historic Fund will offer grants or low-interest loans to owners of buildings listed as “contributing” to the Duluth Commercial Historic District, for investments in, repairs to, or rehabilitation of contributing buildings, in accordance with the Program Guidelines, attached as Exhibit B.

 

The Historic Fund will (a) offer priority lending for investments in, repairs to, or rehabilitation of contributing buildings on East First Street; and (b) 0% interest loans and 50% loan forgiveness with matching private investment for investments in, repairs to, or rehabilitation of contributing buildings on East First Street.

 

The 1200 Fund plans to launch this program later this spring.