620.1023. Business extension service team fund created--qualified community development projects--department's authority to contract directly, purpose--lapse into general revenue prohibited.
Business extension service team fund created--qualified communitydevelopment projects--department's authority to contract directly,purpose--lapse into general revenue prohibited.
620.1023. 1. There is hereby created in the state treasury arevolving fund to be administered by the department of economic developmentto be known as the "Business Extension Service Team Fund". The fund shallconsist of all moneys which may be appropriated to it by the generalassembly, gifts, contributions, grants or bequests received from federal,private or other sources. A percentage of the moneys in such fund shall beused by the department for grants or loans for qualified communitydevelopment projects in order to create or retain jobs in any city notwithin a county, any city with a population of three hundred fifty thousandor more inhabitants which is located in more than one county, any fourthclass city with a population of at least three thousand five hundredinhabitants but not more than five thousand five hundred inhabitants whichis located in a county of the first classification with a charter form ofgovernment with a population of at least nine hundred thousand inhabitants,and any third class city with a population of at least three thousandinhabitants but not more than five thousand five hundred inhabitants whichis located in a county of the first classification with a charter form ofgovernment with a population of at least nine hundred thousand inhabitants,and shall be targeted toward economically blighted urban districts for newbusinesses, expansion of existing businesses and for employee training andhousing. The department may require such grants or loans to be made on amatching fund basis. Any city that receives funding from the businessextension service team fund may use up to ten percent of such grant or loanfor administrative costs. As used in this subdivision, "economicallyblighted urban districts" means areas which meet all of the followingcriteria:
(1) The area is one of pervasive poverty, unemployment, and generaldistress;
(2) The area is located wholly within an area which meets therequirements for federal assistance under Section 119 of the Housing andCommunity Development Act of 1974, as amended;
(3) At least sixty-five percent of the residents living in the areahave incomes below eighty percent of the median income of all residentswithin the state of Missouri according to the last decennial census orother appropriate source as approved by the director of the department ofeconomic development;
(4) The resident population of the area is at least four thousand atthe time of designation as an economically blighted urban district. If thepopulation of the jurisdiction of the governing authority does not meet theminimum population requirements set forth in this subdivision, thepopulation of the area must be at least fifty percent of the population ofthe jurisdiction; and
(5) The level of unemployment of persons, according to the mostrecent data available from the division of employment security or from theUnited States Bureau of Census and approved by the director of thedepartment of economic development, within the area exceeds one andone-half times the average rate of unemployment for the state of Missouriover the previous twelve months, or the percentage of area residentsemployed on a full-time basis is less than fifty percent of the statewidepercentage of residents employed on a full-time basis.
2. The department of economic development may use a percentage of themoneys in the fund established in subsection 1 of this section to directlycontract with community development corporations established pursuant tosection 135.400, RSMo, for the provision of job training or for creating orretaining jobs in any area meeting the criteria outlined in subsection 1 ofthis section.
3. All moneys remaining in the business extension service team fundat the end of the fiscal year shall not lapse to the general revenue fund,as provided in section 33.080, RSMo, but shall remain in the businessextension service team fund.
(L. 1993 H.B. 566 § 2, A.L. 1994 H.B. 1248 & 1048, A.L. 1997 2d Ex. Sess. S.B. 1, A.L. 1998 S.B. 827, A.L. 1999 H.B. 701)