House Bill 1205

AN ACT TO CREATE THE MISSISSIPPI MAIN STREET REVITALIZATION GRANT ACT; TO PROVIDE THAT THE MISSISSIPPI MAIN STREET ASSOCIATION SHALL ACCEPT APPLICATIONS FROM MAIN STREET PROGRAMS IN THIS STATE FOR DOWNTOWN REVITALIZATION PROJECTS; TO PROVIDE THAT THE MISSISSIPPI MAIN STREET ASSOCIATION SHALL PRIORITIZE SUCH APPLICATIONS AND SUBMIT A LIST OF SUGGESTED RECIPIENTS TO THE LEGISLATURE NO LATER THAN DECEMBER 1 OF EACH YEAR AND THAT THE LEGISLATURE SHALL REVIEW THE SUBMITTED LIST AND DETERMINE THE PROJECTS FOR WHICH TO AWARD GRANTS THROUGH THE DEPARTMENT OF FINANCE AND ADMINISTRATION IN AN APPROPRIATION BILL; TO CREATE THE "MISSISSIPPI MAIN STREET REVITALIZATION GRANT FUND" AS A SPECIAL FUND IN THE STATE TREASURY FOR THE PURPOSE OF PROVIDING FUNDS FOR GRANTS UNDER THIS ACT; AND FOR RELATED PURPOSES.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:

SECTION 1. This act shall be known and may be cited as the "Mississippi Main Street Revitalization Grant Act." The Mississippi Main Street Revitalization Grant Act will authorize the Department of Finance and Administration through appropriations by the Legislature to make grants available to designated Main Street programs for projects leading to the revitalization of Mississippi's downtowns.

SECTION 2. (1) For the purposes of this section:

(a) "Eligible recipient" means a Main Street designated program that is a good-standing member of the MMSA, has obtained Section 501(c)(3) tax-exempt status from the Internal Revenue Service and possesses match funds to match twenty percent (20%) of the total project cost. A Main Street program will be ineligible for a grant under this section, if their community was a recipient of a grant under this section in previous years.

(b) "Main Street designated program" means a local Main Street program that has achieved and maintained Designated Community status by the MMSA.

(c) "Matching funds" means and includes both cash and the value of any contribution made towards the proposed revitalization project. No state funds may be included in determining the amount of the match.

(d) "MMSA" means the Mississippi Main Street Association.

(2) The MMSA shall accept applications from eligible recipients, prioritize their applications and submit a list of suggested recipients to the Legislature no later than December 1 of each year. The Legislature shall review the submitted list and determine the projects for which to award grants to eligible recipients through the Department of Finance and Administration in an appropriation bill. The MMSA will consider projects in relation to the following criteria:

(a) Demonstration of local financial need;

(b) Projects that demonstrate high local impact;

(d) Projects that demonstrate best practices in preservation;

(e) Projects that will possess local administration and implementation capacity;

(f) The distribution of geographic size and location of the project;

(g) Projects that will be completed on time; and

(h) Whether the community for which the project is located has not received funding under this section for the previous year.

(3) The Department of Finance and Administration shall provide grant funds to the Main Street programs under this section on a reimbursement basis, not to exceed the Five Hundred Thousand Dollars ($500,000.00) per program each year, and grantees shall not receive compensation for their required twenty percent (20%) local match.

(4) Eligible costs for the expenditure of grant funds include the acquisition of land and any improvements thereon, preservation of historic downtown structures and sites, and initiatives that will produce a revitalization to the economy of the historic downtown areas.

(5) Grants may be awarded for prospective purchases or for acquisitions of which the applicant has closed. In the latter case, the applicant shall demonstrate:

(a) The closing occurred no more than twelve (12) months prior to the date of application for the grant; and

(b) The subject purchase was made to help preserve and revitalize the location and economy of a historic downtown community.

(6) Any eligible organization making an acquisition of downtown property or interest therein pursuant to this section shall grant to the Department of Finance and Administration or other holder a perpetual easement placing reasonable restrictions on the use or development of the land. In cases where the easement is granted to a holder other than the Department of Finance and Administration, all terms and conditions of the easement shall be reviewed by and found by the Department of Finance and Administration to accomplish the perpetual preservation of the historic downtown property. Such other holder shall demonstrate to the department that it has the capacity and expertise to manage and enforce the terms of the easement.

(7) Grantees must adhere to Mississippi state procedures and guidelines relating to the implementation and financing of the approved project. Grantees must also submit any and all audit and financial statements as required by the State of Mississippi.

(8) Nothing in this section shall preclude the subsequent transfer or assignment by a state agency or other owner or holder of any property interest acquired pursuant to this section to the State of Mississippi, the county, city, town or municipality in which the land is located, for the purpose of further preserving, improving, or maintaining the downtown property. The Department of Finance and Administration shall facilitate transfers and assignments of any such interests held by the department.

(9) There is created in the State Treasury a special fund to be known as the "Mississippi Main Street Revitalization Grant Fund," which shall consist of funds made available by the Legislature in any manner and funds from any other source designated for deposit into such fund. The fund shall be maintained by the State Treasurer as a separate and special fund, separate and apart from the General Fund of the state. Unexpended amounts remaining in the fund at the end of a fiscal year shall not lapse into the State General Fund, and any investment earnings or interest earned on amounts in the fund shall be deposited to the credit of the fund. Monies in the fund shall be used by the Department of Finance and Administration, upon appropriation by the Legislature, for the purposes provided in this section.

(10) The Director of the Department of Finance and Administration shall establish guidelines for the expenditure of grant funds and reports relating to the expenditure of grant funds. The department may utilize no more than two percent (2%) of the amount of funds deposited into the Mississippi Main Street Revitalization Grant Fund for administrative expenses in carrying out its duties under this section.

(11) To carry out this act, the Department of Finance and Administration may enter into cooperative agreements with entities in the public and private sectors, including:

(a) Colleges and universities;

(b) Historical societies;

(d) Nonprofit organizations.

(12) To develop cooperative land-use strategies and conduct activities that facilitate the conservation of the historic, cultural, natural and scenic resources, the Department of Finance and Administration may require that recipients seek and secure technical assistance from the MMSA, to the extent that a recipient of technical assistance is engaged in the protection, interpretation or commemoration of historically significant property in the area in and around the historic downtown site. The MMSA will provide administrative support to local Main Street grantees to ensure proper grant administration and project implementation.

SECTION 3. This act shall take effect and be in force from and after July 1, 2023.