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<br />. <br /> <br />. <br /> <br />. <br /> <br />SPECIAL MEETING OF THE ECONOMIC DEVELOPMENT AUTHORITY <br />HELD AT THE ELK RIVER PUBLIC LIBRARY <br />MONDAY, MARCH 2, 1992 <br /> <br />MEMBERS PRESENT: <br /> <br />President Gongoll, Commissioners Dwyer, Kropuenske, <br />Dietz, Holmgren, Schuldt, and Tralle <br /> <br />MEMBERS ABSENT: <br /> <br />None <br /> <br />STAFF PRESENT: <br /> <br />Patrick Klaers, City Administrator; William Rubin, <br />Economic Development Coordinator; and Sandy Thackeray, <br />City Clerk <br /> <br />1. Call Meeting to Order <br /> <br />Pursuant to due call and notice thereof, the meeting of the Economic <br />Development Authority was called to order at 6:45 p.m. by President <br />Gongoll. <br /> <br />2. Consider 3/2/92 EDA Agenda <br /> <br />It was the consensus of the Commissioners to approve the agenda. <br /> <br />3. <br /> <br />Consider a Loan Request from Pure Steam Humidifier Company <br /> <br />William Rubin, Economic Development Coordinator, explained that the EDA <br />Finance Committee had previously met to review a request from Pure <br />Steam Humidifier Company for a $25,000 loan from the EDA's Revolving <br />Loan Fund. After the Finance Committee heard a presentation by the <br />President of the Company, the Committee voted to recommend approval of <br />this loan. Bill Rubin indicated that the loan repayment will occur <br />over a four year period at an interest rate of 3.5%. Bill Rubin stated <br />that the loan requested by the Company will be used to supplement <br />private financing in order to accomplish the following: <br /> <br />- Purchase tooling for two new products <br />- Institute advertising for two new products <br />- Institute advertising program for national trade publications <br />- Expand inventory <br />- Finance increasing accounts receivable <br /> <br />Commissioner Tralle informed the EDA that he and President Gongoll had <br />met with the President of Pure Steam Humidifier Company, Mr. Willard <br />Morton, and were very impressed with the Company. He stated that he <br />would recommend approval of the request. <br /> <br />COMMISSIONER TRALLE MOVED TO RECOMMEND APPROVAL OF A $25,000 LOAN FROM <br />THE REVOLVING LOAN FUND TO PURE STEAM HUMIDIFIER COMPANY. PRESIDENT <br />GONGOLL SECONDED THE MOTION. THE MOTION CARRIED 6-0-1. commissioner <br />Kropuenske abstained as his employer is the primary lender for the <br />Company's other source of financing. <br />