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EDC Minutes <br /> November 6, 2013 <br /> Page 2 of 5 <br /> Commissioner Erickson responded that attendees appreciated the MnDOT update given the <br /> many transportation projects that are currently underway in this area. <br /> Councilmember Werner added that the economic development portion of the presentation <br /> which was given by Chair von Holtum was well-received by attendees. <br /> Commissioner Erickson asked about the venue. <br /> Community Development Director Hutmacher responded that staff made notes regarding <br /> room setup, audio-visual equipment, and food so if the event is held at Flaherty's again some <br /> minor adjustments can be made. Hutmacher added that the Flaherty's staff was very friendly and <br /> helpful throughout the planning process and the event. <br /> B. Revolving Loan Fund <br /> Community Development Intern Bachler gave a presentation on the background of the City's <br /> revolving loan fund including its history and funding sources. He reviewed the existing <br /> revolving loan fund guidelines and Economic Development Authority (EDA) discussions <br /> regarding potential revisions to the fund guidelines. <br /> Commissioner Erickson noted that it was unclear whether loan funds would be targeted <br /> towards established or startup businesses, particularly since loans to startup businesses are <br /> usually high-risk and his understanding was that the EDA wanted assurance of loan repayment. <br /> Commissioners discussed the origins of the revolving loan fund and its inactivity for the past <br /> several years. <br /> Commissioner Altstatt inquired about the balance of the fund and whether it could be used to <br /> improve real estate. <br /> Community Development Intern Bachler responded that the current fund balance is $155,649 <br /> and that it must be used specifically for economic development activities; it cannot be transferred <br /> to the City's general fund. The loan funds could be used for real estate improvements provided <br /> that the project met the fund guidelines. <br /> Commissioner Heikkila asked whether loan funds could be used for appraisals or <br /> environmental assessments. <br /> Community Development Director Hutmacher responded that the EDA had indicated that <br /> they did not support using loan funds for professional fees. <br /> Commissioner Erickson stated that he felt the proposed terms of the revolving loan program <br /> were appropriate; however, he was concerned that the ideal candidate for loan funds was not <br />