HomeMy WebLinkAboutMinutes - 5/20/1998 - Revolving Loan Fund Committee `'" REVOLVING LOAN COMMITTEE
MINUTES
May 20, 1998
Members F�resent : Mayor Steven Cuda, Alderman Steven Murgatroyd,
Alderman Frank McClatchey. Alderman William Baird
arrived at 7 :22 p.m.
Others PY•esent : City Clerk Althoff, Alderman William Bolger,
Alderman Andy Glab, City Administrator Lobaito,
City Attorney McArdle, Petitioner Joseph Rubino.
Revolving Loan Committee Chairman Mayor Cuda opened the meeting at
7 : 10 p.m. He introduced and offered apologies to Mr. Rubino for the
tardy consideration of his application. He explained, however, these
funds were being held in reserve for a previous applicant, Fabrik
Industries .
City Administrator Lobaito provided the committee with a brief
procedural outline and explained the revolving loan consideration
criteria. In response to the committee request, Mr. Rubino made a
verbal presentation of his business plans and loan request .
�, Mr. Rubino noted the imminent opening of auto parts competition, Auto
Trak. He stated in order to remain competitive he needed to expand
his inventory requiring the purchase of additional fixtures . IN
addition, building repairs need to be addressed, including roof
repairs, and parking lot improvements .
In response to Alderman Murgatroyd' s inquiry, Mr. Rubino stated the
increase in inventory will, in all likelihood, require the hiring of
two additional employees . In addition, the improvements would allow
him to retain all eleven current employees . In response to Attorney
McArdle' s inquiry, Mr. Rubino stated the building could be used as
collateral .
City Administrator Lobaito informed Mr. Rubino the revolving loan
program was a 50o matching loan up to $50, 000 . If Mr. Rubino' s total
project cost was $50, 000, the Committee would consider a loan up to
$25, 000 . Loan terms and interest rates are at the Council' s
discretion.
Some discussion followed. Alderman Murgatroyd noted Mr. Rubino had
been a City of McHenry businessman for seventeen years . He stated his
support of the project subject to additional information. Aldermen
Bolger and McClatchey stated their support for the project also.
Alderman Baird arrived at 7 :22 p.m.
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� Revolving Loan Committee Meeting
May 20, 1998
Page Two
The Committee directed Mr. Rubino to provide specific cost analysis
for committee review. City Administrator Lobaito would be available
for assistance .
Motion by Baird, seconded by Murgatroyd, to adjourn at 7 :26 p.m.
Voting Aye : Cuda, Baird, McClatchey, Murgatroyd.
Voting Nay: None.
Absent : None .
Motion carried.
The meeting was adjourned at 7 :26 p.m.
Submitted,
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