5.0 EDSR 02-12-2007 - Laserfiche WebLink

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MEETING OF THE EDA FINANCE COMMITTEE HELD AT THE ELK RIVER CITY HALL THURSDAY, JANUARY 25, 2007 Members Present: Chris Carlson, Cliff Lundberg, Paul Motin, Dave Rymanowski and Dan Tveite Members Absent: Tom McNair and Larry Toth (HRA Representative) Staff Present: Community Development Director Scott Clark, Finance Director Tim Simon and Assistant Director of Economic Development Heidi Stcisimetz 1. Accent August 17. 2006 EDA Finance Committee Minutes The August 17, 2006 EDA Finance Committee Minutes were accepted. 2. Introductions/Meeting Time The City's new Finance Director Tim Simon was in attendance in order to meet the Finance Committee members and learn more about the Micro Loan Program. Assistant Director of Economic Development Heidi Steinmetz asked the Committee whether or not the 7:OOam meeting time worked well for Committee members. The Committee indicated that they do not have a problem with the 7:00am time; however Committee member Dave Rymanowski suggested that perhaps the Committee should meet. later m the day so that it is more convenient for applicants to attend. Consider Micro Loan Application: Daddy-O's Cafe Ms. Steinmetz summarized the $25,000 EDA Micro Loan application from Jeff Krueger of Daddy- O's Cafe. Since this application was the first Downtown Business Revitalization Loan Program application, she provided an overview of how the program was developed and approved by the EDA and City Council in November of 2006. The primary purpose of the program is to offer existing downtown business owners in the Downtown District ashort-term, low interest operating loan that could be used toward working capital, cash flow, business sustainability and capital expenditiir~s. i~'fs. Steinmetz also provided die history and future plans of Daddy-O's Cafe. She also distributed an e-snail from Committee member Tom McNair stating his support of the .;application. Mr. Krueger was not in attendance. Committee member Paul Motin asked that the EDA review Daddy-O's financial statements since the statements were not <ir~~ilable at the meeting. Community Development Director Scott Clark and Ms. Steinmetz indicated that they would have to double check the MN State Statute regarding whether or not this information is public or private. If it is private, only EDA Commissioners would be allowed to review the statements. MOVED BY PAUL MOTIN AND SECONDED BY DAN TVEITE, THE FINANCE COMMITTEE RECOMMENDS THAT THE EDA CONSIDER APPROVING THE LOAN REQUEST TO DADDY-O'S CAFE WITH THE FOLLOWING TERMS: RATE 3% FIXED TERM 2 YEARS SECURITY PERSONAL GUARANTEE STRUCTURE DIRECT LOAN FROM EDA