HomeMy WebLinkAboutPCDC Resolution 2002-15 12/02/2002 RESOLUTION N0.2002-15
PETALUMA COMMUNITY DEVELOPMENT COMMISSION
A RESOLUTION OF THE CITY OF PETALUMA COMMUNITY DEVELOPMENT
COMMISSION ESTABLISHING A CBD PROJECT AREA STOREFRONT
IMPROVEMENT LOAN PROGRAM
WHEREAS, property owners in the Central Business District have requested financial
assistance to make improvements to their storefronts; and,
WHEREAS, the Petaluma Community Development Commission (PCDC) approved a
"Five-Year Implementation Plan" containing funding for a Storefront Improvement Loan
Program; and,
WHEREAS, the PCDC has appropriated $300,000 for a Storefront Improvement Loan
Program in the FY 2002-03 Budget; and,
WHEREAS, the PCDC staff has discussed the feasibility of a loan program with local
banks and found them unable to participate in a Storefront Improvement Loan Program using
private financing; and
WHEREAS, several local banks have expressed interest in assisting the PCDC in the
administration of a loan program using PCDC financing; and,
WHEREAS, the basic elements of the program include the following:
• Property owners in the CBD will be eligible for storefront loans up to
$25,000.
® The term of a loan is five years. Loans are paid quarterly, in twenty equal
installments.
• Applicants must have a good credit history. Loans are unsecured.
• The interest rate of the loan is 4%.
® The loans are administered by a local bank on behalf of the PCDC.
® If a loan is needed above $25,000, the bank may negotiate it individually and
secure the loan against the property, using private financing above $25,000.
® The minimum loan is $5,000. The maximum is $25,000.
PCDC Resolution No. 2002-15 Page 1
® A $200 Loan Origination Fee is paid by applicant and is credited back to the
applicant if the loan is completed and approved.
NOW,. THEREFORE, BE IT RESOLVED that the Petaluma Community
Development Commission hereby authorizes and approves a CBD Storefront Improvement Loan
Program.
Adopted this 2nd day of December, 2002 by the following vote:
Commissioner Aye No Absent
Cader-Thompson X
Vice Chair Healy X
Maguire X
Moynihan X
O'Brien X
Chair Thompson X
Torliatt X
E. Clark T mpson, Chair
ATTEST:
1
Gayle Pet sen, Recording Secretary
PCDC Resolution No. 2002-15 Page 2