Item Description:
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Neg Amd 1 to Agmt PR00006316 with NextStage adding the HCHRA as a party to the agmt
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Resolution:
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BE IT RESOLVED, that the County Administrator be authorized to negotiate Amendment 1 to Agreement PR00006316 between Hennepin County and NextStage, Inc., adding the Hennepin County Housing and Redevelopment Authority as a party to the Agreement and increasing the not to exceed amount by $1,000,000 to expand the availability of low-barrier small business financing; with no change to the contract period of July 1, 2024 through July 1, 2034; that following review and approval by the County Attorney’s Office, the Chair be authorized to sign the amendment on behalf of the county; and that the Controller be authorized to disburse funds as directed.
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Background:
Resolution 24-0252 authorized Agreement PR00006316 with NextStage, Inc, a non-profit community-based lender, to provide seed capital for the establishment and implementation of a small business capital fund during the period July 1, 2024, through July 1, 2034.
As a result, the Small Business Fund was launched in the first quarter of 2025. To date, the fund has been successful providing financing to businesses that may have otherwise faced barriers to obtaining traditional bank financing.
A total of 19 investments have supported small businesses in Bloomington, Eden Prairie, Edina, Hopkins, Minneapolis, Richfield, and St. Louis Park These resources have been used for a variety of business needs, including business acquisition, leasehold improvements, working capital, and inventory. This support has led to the creation or retention of at least 110 jobs and generated a financing leverage of 2:1.
Hennepin County Housing and Redevelopment Authority (HCHRA) Resolution 26-HCHRA-0027 (adopted August 13, 2026) authorized Amendment 1 to PR00006316 to add the HCHRA as a party to the agreement and increase the not to exceed amount by $1,000,000 to assist local businesses to recover ...
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