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3.2. CHECK REGISTER EDSR 07-13-2009City of Elk -~-_~ River REQUEST FOR ACTION To Item Number Economic Development Authority 5. Agenda Section Meeting Date Prepared by July 13, 2009 Annie Deckert, Economic Develo ment Assistant Item Description Reviewed by Consider EDA Micro Loan Applications Lori ohnson, Ci Administrator - Sweet P's Ice Cream & Candies Reviewed by Action Requested The EDA is asked to consider the EDA Finance Committee's recommendation for approval with conditions on the following Micro Loan application: • $20,000 Micro Loan to Sweet P's Ice Cream & Candies (Tim Jeanetta) Background/Discussion The attached staff reports to the EDA Finance Committee and July 8, 2009 committee meeting minutes provide background regarding the Micro Loan request. The applicant is anticipated to be at the EDA meeting to respond to any questions about the proposed project. Financial Impact The Micro Loan Fund has a current cash balance of approximately $813,378. The Finance Committee is recommending EDA approval of the following Micro Loan and term: Applicant: Sweet P's Ice Cream & Candies (Tim Jeanetta) Loan Terms: $20,000 at 2% interest, 5-year amortization Purpose: Assist in purchasing equipment and exterior revitalization necessary in starting up the business Security: Subordinate position on all business assets Attachments • EDA Finance Committee Meeting Minutes dated July 8, 2009. • EDA Micro Loan Fund Policy and Guidelines • Staff report to EDA Finance Committee re: Sweet P's Ice Cream & Candies Micro Loan Application, July 8, 2009. Action Motion by Second by Vote Follow Up S:\F.DA\Micro Loan Fund\I,OANS\Sweet P's Ice Cream & Candies, Inc\7.13.09 1;DA Action Reyuested.doc