7. EDSR 07-10-2006 - Laserfiche WebLink

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EDA Finance Committee Minutes June 14, 2006 Page 2 their 50% down payment requirement fox each boat, so down payments arc counted as assets rather than liabilities. Chris Carlson asked if the company will be profitable this year. Mx. Atherton stated .`yes". At this time, Mr. Atherton was excused from the meeting. The Committee discussed that the company's interest rate will increase from 3.25% to 8% and how that would affect the company's monthly loan repayment amount. The Committee's consensus was that the repayment amount difference is reasonable because it will only increase from $488.60 to approximately $585 per month. There was additional discussion regarding changing the loan's amortization schedule but the Committee's consensus was not to do so because it would set precedence for future loan requests. MOVED BY DAN TVEITE AND SECONDED BY CLIFF LUNDBERG, THE FINANCE COMMITTEE RECOMMENDS THAT THE EDA CONSIDER APPROVING THE TWO-YEAR LOAN EXTENSION REQUEST TO LAKE ASSAULT CUSTOM BOATS, LLC WITH THE FOLLOWING TERMS: • PRIME RATE OF INTEREST AT 8% LOAN REPAYMENT SCHEDULE TO BE ADJUSTED RETROACTIVE AS OF THE COMPANY'S JUNE 5, 2006 BALLOON PAYMENT DUE DATE THE MOTION CARRIED 5-0. Summary of Information Memorandums: Staff summarized the Information Memos attached to the Committee's meeting packet, which included the Micro Loan portfolio report and an update on recent amendments to Micro Loan, Tax Increment Financing, Tax Abatement and Business Subsidy Policies. Tom McNair suggested that there are inconsistencies between the following sections of the Micro Loan Policy regarding the Downtown Rehabilitation Financing Program: Rehabilitation Financing Programs purpose statement "Downtown Rehabilitation Financing Pxogxam is available to business and property owners in the Downtown District (DD) fox the rehabilitation and restoration of their buildings."