(The details given regarding this bill are by no means the complete bill. I recommend you read the full 27 page document, linked above, for a complete understanding. The following facts are summarized in some cases, quoted in others and are only excerpts. The emphasis added is mine)
"(Carlson)A special ordinance amending the rules and regulations of the Small Business Development Loan Program and the Comprehensive Housing Assistance Program to provide for a Pilot Business Incentive Program and to make minor updates to the overall regulation. (Staff recommends approval.)"
Uh huh. Minor updates.
The Urban District Alliance is sponsoring the "Microenterprise Loan Pilot Program." This bill is a first reading consent agenda bill. As one of the minor updates, the bill strikes these ineligible activities, which are currently ineligible as uses of Small Business Loans:
1. Working Capital
3. Training of Employees
4. Other costs determined ineligible by the Loan Committee
Added eligible activities, under the "Microenterprise Loan Pilot Program," will be:
1. Working Capital;
2. Merchandise inventory;
4. Furninture and fixtures;
5. Infill improvements;
6. Other start-up costs
Microenterprise, according to the bill, "means a business having five or fewer employees, one or more of whom owns the business. Microenterprises are for-profit businesses."
"Due to the early stages of Commercial Street's redevelopment, eligible applicants will not only include retail businesses but any other new and expanding type of business outlined in the Commercial Street "Strategy for Success" accepted by City Council in August of 2005."
Eligible Project Areas:
"Eligible target areas for the Microenterprise program are (1) Boonville Avenue Corridor; (2) Center City; (3) Commercial Street Historic District; and (4) Walnut Street Conservation District; all shown on Exhibit A."
Interest rate for the loans is 5 percent per annum.
Oh, get this:
Maximum Loan Amount:
"shall be $25,000 to eligible businesses. Maximum loan amount may be reviewed, changed or increased in future years."
Personally, I'm wondering if there will be enough Council members to pass this with a majority, considering how many of them may need to abstain?
Update: I should have noted that bill 2008-212 is a first reading consent agenda bill. Usually, Mayor Carlson will ask if anyone on the Council wants anything removed from the consent agenda. Sometimes they do, sometimes they don't. After he asks the Council, he will ask if anyone in the public would like to have something removed from the consent agenda, if he gets no response, he will ask the City Clerk if she has had any requests that something be removed from the consent agenda. I've never seen anyone from the public ask to have something removed from the consent agenda, but if you would like to address this first reading bill, you could probably let Ms. Cirtin know before the meeting, and perhaps turn in a card that you'd like to speak to it at the same time. Then, that should give you an opening to address the Council....IF you want to. :) -- Jackie