$750,000 of small business loans OK’d
City Council approved a revolving loan program led by the city Community and Economic Development department Thursday night that makes $750,000 available to help city business and industry to recover from losses related to COVID-19.
These loans will not be able to be directly given by the city but must be distributed through the Redevelopment Authority.
The loans are a maximum of $50,000 and a minimum of $5,000, said Stephanie Young, department director.
Mayor Derek Slaughter said the intent was to use the loans for impact from the virus on business and industry in the city. The loan applicants will be reviewed starting Aug. 7, Young said.
The administration and council are anticipating reviewing the program in 18 months.
Council President Randall J. Allison said it can be anticipated that there will be reviews and potential revisions.
Councilwoman Liz Miele said the loans are intended for businesses that are “scrambling.”
The loans are expected to assist the businesses to create jobs, retain existing workforces, and cover payroll losses and other impacts from the virus pandemic.
Councilman Adam Yoder said, once the program begins, he would hope it could be revisited for use of funding for educational and training purposes.
The hope is for companies that are 100 employees or under to retain and create jobs to be in the city for up to two years.