HomeMy WebLinkAboutC2021-102 - 4/12/2021 - NA AMENDMENT NO. 1 TO THE CHAPTER 380 ECONOMIC DEVELOPMENT INCENTIVE
AGREEMENT BETWEEN THE CITY OF CORPUS CHRISTI, TEXAS AND
LIFTFUND INC.
(Fourth 380 Agreement)
The CITY OF CORPUS CHRISTI, hereinafter referred to as the City, and LiftFund, Inc. ("Nonprofit"),
do hereby make and enter into this amendment (the "Amendment") which, together with the Chapter
380 Economic Development Incentive Agreement (Fourth 380 Agreement) entered into as of
December 15, 2020 (the "Agreement") and all other duly executed amendments, constitutes the entire
agreement between the City and the Nonprofit.
I.
Section 4. a. of the Agreement is hereby deleted in its entirety and replaced with the following
language:
"a. Nonprofit agrees to use the $570,000 described below as a grant fund to provide
grants to small businesses in Corpus Christi, in accordance with the Nonprofit's
proposal, which is attached hereto as Exhibit A and incorporated by reference as if
laid out herein in its entirety."
II.
Section 5 of the Agreement is hereby deleted in its entirety and replaced with the following
language:
"5. City's Responsibility. The City will grant Nonprofit a one-time payment in the amount
of $570,000, to be paid to Nonprofit as soon as possible following receipt of a correct
invoice from Nonprofit requesting the funds."
The City and Nonprofit. agree to and shall abide by all terms and conditions of the original Agreement
and any amendments to that Agreement, to the extent they are not in conflict with the terms of this
Amendment.
P
`7- /z - °� i APPROVED AS TO LEGAL FORM:
Constance Sanchez Date
Chief Financial Officer cam/
City of Corpus Christi l/i ioz
Assistant City Attorney Date
/ April 9, 2021
Janie Barrera Date
President and Chief Executive Officer
LiftFund, Inc.
SCANNED
Exhibit A
City of Corpus Christi Loan Payment Relief
Deployment Plan
Loans must meet the following requirements to qualify for loan payment relief:
• Active COVID-19 Disaster Relief loan (regardless of loan status)
• Business not permanently closed and without plans to close within the next 60 days
• Business located within city limits
• Business negatively impacted by COVID-19 crisis (verified during loan origination)
• Not scheduled to receive loan forgiveness
Payment Assistance:
• Customers would qualify to have six payments made on their behalf, plus a $200 payment
toward principal balance of the loan.
• The payments covered under this payment relief plan will start with next payment due
starting seven days from the agreement.
• The payments will be scheduled and applied prior to December 31, 2020.
• Customer will resume payments as scheduled after the last payment covered under this
relief plan.
Workflow:
• LiftFund will stop all scheduled payments for qualified borrowers.
• Qualified customers will receive an email notification about the opportunity to automatically
qualify and benefit from this payment relief program if they meet the conditions (listed
above).
• Customer will have 10 days to decline this assistance if they do not meet the conditions or
do not wish to accept it.
• LiftFund will monitor the email campaign to make sure that businesses are opening and
reviewing the offer. LiftFund will reach out to customers that do not open the email within
the first five days to make them aware of the offer presented by email.
• LiftFund will process and apply the payments for all loans that accepted the payment
assistance and will resume payments for customers that declined the offer.
Program Impact
• 148 active loans
• 1-month for 148 active loans total:$90,148.31
• Funding will be applied for 6 months of loan payments to the 148 loans totaling$540,889.86
• LiftFund's administrative fee will be 5%:$29,110.14
• Total Project:$570,000
Page 2 of 2