HomeMy WebLinkAbout03-02-20 City Commission Packet Materials - C4. Res 5151 Supporting App to Big Sky Trust Fund for MeatEaterCommission Memorandum
REPORT TO: Honorable Mayor and City Commission
FROM: Brit Fontenot, Director of Economic Development
SUBJECT: Resolution 5151 Supporting the Application to the Big Sky Economic
Development Trust Fund Program, Administered by the Montana
Department of Commerce, on behalf of MeatEater, Inc.
MEETING DATE: March 2, 2020
AGENDA ITEM TYPE: Consent
RECOMMENDATION: Adopt Resolution 5151 authorizing the City’s application for a Big Sky Trust
Fund Category I job creation grant on behalf of MeatEater, Inc and
administered by The Prospera Business Network.
BACKGROUND: The Montana Department of Commerce administers the Big Sky Economic
Development Trust Fund Category I job creation program. This State-funded program is intended to
incentivize the creation of net new higher paying jobs; also a Bozeman City Commission priority. The
local governing body is required to apply for the grant on behalf of the business recipient as a co-
applicant with the local Certified Regional Development Corporation (CRDC). The Prospera Business
Network is local CRDC which includes Gallatin County. Should the grant be awarded, staff recommends
that the City Commission appoint The Prospera Business Network, our local CRDC, to administer all
aspects of the grant on behalf of the City of Bozeman.
MeatEater, Inc is an extremely popular media production company producing podcasts and video
entertainment content for outdoor, hunting and cooking enthusiasts.
UNRESOLVED ISSUES: None
ALTERNATIVES: As proposed by the City Commission
FISCAL EFFECTS: If the application is successful, MeatEater, Inc may be awarded up to $5,000 per
net new job with a target of thirty-five (35) net new jobs over the next twenty-four (24) months for a
total grant award, if all thirty-five (35) proposed new jobs are filled, of $175,000.
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It is important to note that the Big Sky Trust Fund support provided by the City of Bozeman, in
longstanding partnership with Prospera, is not without financial risk, although the City and Prospera
work closely together with the assisted business to minimize the risk. If the number of jobs identified in
the contract is not filled by the assisted business, but grant dollars are received by the assisted business,
the contract between the assisted business and the City of Bozeman contains the following financial
restoration sections:
Section 8 Conditions on Method of Reimbursement:
If the Assisted Business creates an eligible new job but fails to sustain that job for
the requisite duration, then the Contractor shall reimburse the Department all
funds received for that job. If the Assisted Business fails to create the required
number of jobs, then the Contractor shall reimburse the Department the
difference between the total amount advanced and the amount attributable to
actual jobs created. If the Assisted Business ceases operation at the Project Site,
then the Contractor shall reimburse the Department all funds received under this
Contract.
AND
Section 3 Compensation and Consideration:
c. The Assisted Business agrees that if the local government or tribal government
request the funds before the jobs are created, and the Department agrees to
that request, the local or tribal government and the assisted business receiving
BSTF financial assistance are liable for the full amount of the award that is
advanced by the Department, if the assisted business:
a. Fails to create or maintain the number of net new eligible jobs as
specified in the executed contract and assistance agreement, or
b. Fails to inject the required amount of match into the project as specified in the
executed contract and assistance agreement.
Additionally the Department may recapture funds if:
a. At the end of the contract period the Department has overpaid based on the
number of net new jobs at the end of the contract period.
b. The business ceases operations at the Project Site within the contract period.
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The chart below shows the details of the businesses assisted since January, 2018.
ATTACHMENTS:
1) Resolution 5151; and
2) MeatEater, Inc Signature Certification.
Report compiled on Thursday, February 20, 2020.
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RESOLUTION NO. 5151
A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF BOZEMAN,
MONTANA, RELATING TO THE APPLICATION TO BIG SKY ECONOMIC
DEVELOPMENT TRUST FUND PROGRAM ADMINISTERED BY THE STATE OF
MONTANA, DEPARTMENT OF COMMERCE, ON BEHALF OF MEATEATER INC.
WHEREAS, the Bozeman City Commission is committed to facilitating economic
diversification in the City and the region; and
WHEREAS, the Bozeman City Commission is committed to facilitating mid- and high-
wage job creation and expansion, thus positively impacting the economy of the entire region; and
WHEREAS, in September, 2019 MeatEater Inc, was awarded BSTF funds to create 20
net new eligible jobs under the Big Sky Trust Fund program and continues to fill these positions;
and
WHEREAS, MeatEater Inc, desires to, once again, expand their business and create
additional technology and media-related jobs in Bozeman; and
WHEREAS, the City Commission has determined that the technology sector has high
growth potential, supports mid to high wage jobs and supports economic diversity; and
WHEREAS, the Montana Department of Commerce administers the Big Sky Economic
Development Trust Fund Category I job creation program, a state-funded program, to create good
paying jobs for Montana residents, promote long-term, stable economic growth in Montana, create
partnerships, expand existing businesses and provide a better life for future generations through
greater economic growth and prosperity; and
WHEREAS, the City Commission hereby authorizes and appoints The Prospera Business
Network to administer, on behalf of the City of Bozeman, all aspects of the Big Sky Trust Fund
Economic Development Category I grant and provide administrative support and other
responsibility for the management and appropriate reporting to the Montana Department of
Commerce.
NOW, THEREFORE, BE IT RESOLVED by the City Commission of the City of
Bozeman, Montana, the City agrees to submit an application, through The Prospera Business
Network, to the Montana Department of Commerce, Big Sky Economic Development Trust Fund
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Program to assist MeatEater Inc in their expansion project and that The Prospera Business
Network will manage all aspects of the grant.
PASSED AND APPROVED by the City Commission of the City of Bozeman,
Montana, at a regular session thereof held on the 2nd day of March, 2020.
CHRIS MEHL
Mayor
ATTEST:
MIKE MAAS, MPA
City Clerk
APPROVED AS TO FORM:
GREG SULLIVAN
City Attorney
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