Fund Program Structure
Use of program funds
Allowable expenditures from the Fund include: (a) initial equity down payments and monthly financing costs, payment of legal fees, property appraisals and other related due diligence or transaction costs associated with real estate purchases or sales. The Fund is also used to pay direct or indirect costs for property stabilization, demolition, maintenance and management, operational expenses and professional services. The MRC will utilize interest and investment earnings to fund property stabilization, management and carrying cost, due diligence, additional equity reserve and administrative expenses.
The Fund is currently structured by a development and management agreement, fund annual work program, MRC policy and procedures for property purchases, loan agreements with the Bank of North Georgia and the city’s policy for real estate disclosure. The MRC entered into a development and management agreement with the City Council for the fund in 2006. The terms of the agreement govern the use of Fund assets and are fully incorporated in the annual work program.
Annual work program
The fund work program outlines the overall strategy for acquisition, management and disposition of property in the coming fiscal year. The program identifies corporate goals, focus areas and outlines, planned and anticipated activities and an annual budget. The work program is approved annually by the City Council and enables the MRC to meet the requirements of the City Council funding agreement. The MRC policy and procedures and loan agreements are incorporated into each year’s work program.
Quarterly and annual reporting
The MRC is required to report quarterly to the Marietta City Council regarding the activities of the Fund.