Pat believes that growing Saint Paul’s local economy is key to making our City work for everyone. His Access to Capital Program will inject $200 million into local lending to support local businesses and create jobs in targeted areas throughout the City. Pat used his experience in public finance to develop this program that uses an untapped resource – the City’s investment portfolio. Pat knows that Saint Paul works best when we leverage our assets to make the City work for everyone.
THE PROGRAM WILL:
- Provide Saint Paul with a locally grown source of capital to sustain local job creation in high opportunity neighborhoods where capital will make the greatest impact.
- Assist in City job creation efforts without direct taxpayer subsidies.
- Provide an “organic” boost to the City’s economy by empowering small businesses, entrepreneurs and local banks to make decisions about our economy right here in Saint Paul.
- Provide taxpayers with a safe and secure return on our investment.
HOW IT WORKS:
- Pat will work with the City’s Finance Department to deposit up to $100 million of the City’s reserves into local banks who commit to providing loans to businesses who create jobs.
- These deposits will allowable under MN Statutes for public investments (118A) and will be insured and/or collateralized to guarantee maximum security. Banks will additionally undergo credit review.
- Pat will work with local foundations and businesses to secure dollar for dollar matches to leverage the City’s commitment to a total of $200 million.
- Pat will work with local banks to ensure that the money is lent to local businesses that create jobs in qualifying areas of the City.
DIRECTING THE IMPACT:
- As Mayor, Pat will work with local businesses and the community to determine high impact areas throughout the City where the capital will be targeted.
- Banks who take the deposits will commit to making loans in targeted areas.
- Loans will be used for job creation, with a future discussion on the option for use on affordable workforce housing.
- Pat has the service and non-profit experience to allow him to engage foundations and other community partners to participate.
- Pat has the finance and budget experience to develop an efficient new program that provides sustainable capital for the City’s economic development efforts.
- Pat has the business acumen and collaboration to ensure maximum impact.