Date: October 26, 2017
To: Members of the Economic Development Authority
From: Nate Carlson, Economic Development Coordinator
Chris Heineman, Community Development Director
Title
Micro-Grant Application (KYMN Radio)
Body
Summary and Action Requested:
Consideration of a recommendation from the EDA Loan Sub-Committee regarding a $2,000 Micro-Grant application from KYMN Radio.
Background:
KYMN Radio is requesting a $2,000 Micro-Grant from the Clement Shearer EDA Micro-Grant Program. The owners, Jeff Johnson and Teri Knight, have provided an application for the funds, which can be found attached to this report. Jeff Johnson has worked with Economic Development Coordinator, Nate Carlson, on the application for the Micro-Grant. This application was provided to staff on September 27th, Staff has reviewed the Micro-Grant application thoroughly.
KYMN Radio has been in operation since 1968 located at 200 Division St. S., Northfield, MN. New ownership purchased the Radio Station in 2008. As an AM Station, the business specializes in local news, talk, local sports and a variety of music.
In 2015, KYMN Radio began a campaign to expand the business into an FM station. This expansion project entailed upgrades to facility, remodeling office space, updating the website and purchasing the FM station. The final stage of expansion is to complete the signage on the building for the new FM station. The artist rendering is attached. The signage has been reviewed by Planning staff and is ready to move forward. KYMN Radio is requesting the EDA to cover the cost of signage. Here is the breakdown of the expansion project costs:
Equipment to house transmitter: $18,000
AM Transmitting equipment: $23,000
FM License: $72,000
FM Transmitting equipment: $17,000
Wireless equipment: $7,500
Remodel: $8,000
Logo and Website: $6,000
New Signage: $2,000
Total Project: $154,500
The EDA Loan Sub-Committee met on October 18th to review the submitted application. The minutes of the meeting are attached. Committee members have made the following recommendation to the EDA Board:
“The EDA Loan Sub-Committee recommends granting KYMN Radio $2,000 for the purpose of EDA assistance with signage to improve business presence in the community.”
Options:
The EDA Board has the following options:
1) Approve the recommendation of the EDA Loan Sub-Committee to fully fund the Micro-Grant application of $2,000.00.
2) Decline the recommendation of the EDA Loan Sub-Committee and provide an alternative amount.
3) Decline to approve the Micro-Grant application.
Recommendation:
Staff recommends approval of an EDA Micro-Grant in the Amount of $2,000 to Jeff Johnson for expansion of KYMN Radio.