06-04-14 EDC Minutes - Laserfiche WebLink

Home Browse Search

EDC Minutes June 4, 2014 Page 5 of 6 Chair von Holtum commented that interest in the program is likely to increase as commercial rates begin to climb. Commissioners discussed how the City's portion of the loan would be positioned in relation to the private portion of the loan. Commissioner Huninghake commented that if the City takes a subordinate position to the bank's portion of the loan, this would provide the bank with an additional incentive to participate. He stated that the proposed approval process included too many required reviews. Chair von Holtum stated that the EDC was in favor of keeping the program as simple as possible with a streamlined approval process. Community Development Director Hutmacher explained the need for additional due diligence by the City if its portion of the loan will be in a subordinate position. She added that staff did not have the necessary training to complete the type of analysis that could be done by a third party. Commissioner Erickson stated that additional information was needed on the services that would be provided by the third party advisor. He commented that the program could always be amended at a later date if the proposed approval process does not work efficiently. Commissioner Huninghake commented that the City of White Bear Lake manages a similar RLF program and also partners with local banks. He noted that over 30 loans have been issued through the RLF since the program started in 1990 and that there have been no defaults. D. 2014 State of the City Community Development Director Hutmacher provided a summary of the State of the City event held at Flaherty's Arden Bowl on September 12, 2013. She requested that the EDC discuss where the 2014 State of the City should be held and the preferred date for the event. Commissioner Huninghake commented that Flaherty's was centrally located in the community and that the space provided for the 2013 event was an appropriate size. He suggested the basement space in the Country Financial building as another option. Commissioner Erickson noted that there were audio-visual issues during the presentation last year that would need to be addressed if the State of the City were to be held at Flaherty's again. Commissioner Altstatt recommended holding the event at Flaherty's because the process of organizing the event would be streamlined. He agreed that the technological problems encountered last year would need to be fixed. Chair von Holtum stated that holding the event at a local business was very important. He recommended that the table arrangement be rethought so that the presentation is easier to view.