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<br />59. <br />Regular Meeting <br /> <br />December 9, 2002 <br /> <br />Page 4 <br /> <br />adoption of the Resolution and Ms. Tatum seconded the motion. Mr. O'Leary <br />stated the City provided loan funds to businesses for economic development <br />projects and retained the repaYment funds in a Revolving Loan Fund. He <br />stated these funds are then used to fund other eligible projects. The <br />City's Revolving Loan Fund currently has approximately $138,000, and there <br />is an additional $156,000 available to the City in the State Revolving Loan <br />Fund. He stated the City must award these funds for new economic <br />development projects prior to May 1, 2003, or the City may be required to <br />return the funds to the State. He stated the City awards loans based on <br />adopted guidelines, which are very strict. He feels the present guidelines <br />hinder the City's ability to provide loans. He also stated these proposed <br />revisions are in the areas of applicant eligibility, amortization <br />requirements, interest rate, the maximum/minimum awards, project length and <br />cost per job. Mr. Taylor inquired whether the Chamber of Commerce was <br />aware of this program and why the funds have not been used up yet. Yolanda <br />Quintanilla, Director of Hispanic Chamber of Commerce, stated she was <br />recently made aware of this program. Collette Jamison, Director of <br />Administrative Services, stated the funds have not been marketed since the <br />early 1990s. John Boswell, EDC Director for the San Marcos Greater Chamber <br />of Commerce, stated he was aware of the Revolving Loan Fund for the past <br />five years. Mr. O'Leary stated these revisions would make it more eligible <br />for people to apply for funding. Ms. Tatum stated she was concerned about <br />small businesses missing out on applying for this loan if they are not big <br />enough to qualify for the program. Mr. Taylor moved to amend the Minimum <br />Award from $50,000 to $25,000 and Ms. Tatum seconded the motion. The <br />following vote was recorded: <br /> <br />AYE: <br /> <br />Mihalkanin, Narvaiz, Habingreither, Taylor and Tatum. <br /> <br />NAY: <br /> <br />Montoya and Mayhew. <br /> <br />ABSTAIN: None. <br /> <br />The Council then voted unanimously for adoption of the Resolution. <br /> <br />Mayor Habingreither introduced for consideration removal from table and <br />adoption of an Ordinance on emergency, the caption which was read as <br />follows: <br /> <br />AN ORDINANCE REVISING THE AMOUNTS OF IMPACT FEES FOR WATER AND <br />WASTEWATER FACILITIES; SETTING AN EXPIRATION DATE FOR THE APPLICATION <br />OF PREVIOUS IMPACT FEE AMOUNTS AND SERVICE UNIT CALCULATIONS TO PENDING <br />DEVELOPMENTS; INCLUDING PROCEDURAL PROVISIONS; PROVIDING FOR PENALTIES; <br />AND DECLARING AN EMERGENCY. <br /> <br />Mr. Mihalkanin moved to remove the Ordinance from the table and Mr. Mayhew <br />seconded the motion, which was passed unanimously. Mr. Mayhew moved for <br />adoption of the Ordinance on emergency and Ms. Tatum seconded the motion. <br />Mr. O'Leary stated Staff recommends setting the new impact fee rates for <br />2003 at $3,000 and an increase in 2004 to $4,651. He stated Staff is also <br />