COMMUNITY
DEVELOPMENT BLOCK
GRANT COMMITTEE MINUTES
Plover Municipal
Center Board Room
2400 Post Road
Plover, WI
Tuesday, June 2,
2009
5:00 p.m.
Members Present: Tom Davies,
Dan Mahoney, Richard Holden, Ron Ligman, Sherri Galle-Teske, Al
Haga, Jr.
Members Excused: Sue Doxrude
1. Mr. Davies called the meeting to
order at 5:00 p.m.
2. CLOSED SESSION
Mr. Haga moved to go into Closed Session at 5:01 p.m. under WI Statute
19.85(1)(e) for the purpose of deliberating or negotiating the purchasing
of public properties, the investing of public funds, or conducting
other specified public business, whenever competitive or bargaining
reasons require a closed session and, more specifically, to review
CDBG Loan Applications for Judge's Cleaners and Jaytina, LLC. Mr.
Ligman seconded and the motion carried unanimously by Roll Call
vote.
3. RECONVENE FOR POSSIBLE DISCUSSION
AND POSSIBLE APPROVAL OF:
a. CDBG Loan Application for Judge's Cleaners - 2150 Maple Dr.
Mr. Holden, after reviewing the application and information submitted
as "Trade Secrets", moved that the Community Development
Block Grant Committee recommend to the Village Board approval of
the Village President entering into a contract with Judge's Cleaners
for a loan up to $412,000 for purchase of equipment with the following
conditions and restrictions:
1. EQUIPMENT Loan $412,000 @ 2% interest to be repaid over seven
years with equal monthly payments and interest amortized over six
years after a year of interest-only payments;
2. Subordinate position General Business Security Agreement on production
equipment;
3. The guarantee of 52 new full time or FTE employees by December
31, 2010 and, thereafter, maintain each of these new positions until
December 31, 2012;
4. For each new full-time position not created and maintained, the
Borrower would be required to pay a penalty of $500 per full-time
position; and
5. That the Borrower will provide yearly financial statements.
Mr. Haga seconded and the motion
carried.
b. CDBG Loan Application for Jaytina,
LLC - 3975 Tall Pine Dr.
" Mr. Holden, after reviewing the application and information
submitted as "Trade Secrets", moved that the Community
Development Block Grant Committee recommend to the Village Board
approval of the Village President entering into a contract with
JAYTINA, LLC for a loan up to $400,000 for purchase of equipment
with the following conditions and restrictions:
1. EQUIPMENT Loan $400,000 @ 2% interest to be repaid over seven
years with equal monthly payments and interest amortized over six
years after a year of interest-only payments;
2. Subordinate position General Business Security Agreement on production
equipment;
3. The guarantee of 98 new full time or FTE employees by December
31, 2010 and, thereafter, maintain each of these new positions until
December 31, 2012;
4. For each new full-time position not created and maintained, the
Borrower would be required to pay a penalty of $500 per full-time
position;
5. That the Borrower will provide yearly financial statements; and
6. That the Borrower has received a firm commitment for all its
other financing needs, including working capital.
Ms. Galle-Teske seconded and the
motion carried.
Mr. Mahoney updated the committee members
on the progress of the formation of the Central Wisconsin Community
Development Block Grant Regional Loan Fund.
4. Mr. Mahoney moved to adjourn at
5:55 p.m. Mr. Holden seconded and the motion carried.
__________________________________
Karen Swanson, Village Clerk
