HomeMy WebLinkAboutResolutions - No. 2008-80RESOLUTION NO. 2008-80
A RESOLUTION OF THE LODI CITY COUNCIL ACCEPTING THE CITY
MANAGER'S RECOMMENDATION TO APPROVE THE LOAN REQUESTOF
WALKER-RODERICK PROPERTIES, LLC, PATRICKA. WALKER AND JACK E.
RODERICK, GUARANTORS, THROUGH THE COMMUNITY DEVELOPMENT
BLOCK GRANT FUNDED REVOLVING LOAN FUND PROGRAM
WHEREAS, the purpose of the Revolving Loan Fund Program is to provide appropriate
financial assistance to businesses located in or moving to Lodi, which in turn create full-time jobs
while increasing the overall economic base of the community.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Lodi, as follows:
The City Manager is hereby authorized and directed to execute, on behalf of the City
of Lodi, a Community Development Block Grant based loan through the Revolving
Loan Fund Program to Walker -Roderick Properties, LLC, Patrick A. Walker and Jack
E. Roderick, Guarantors, in the amount of One -Hundred and Forty Thousand Dollars
($140,000);
2. Approve this loan at 1 % above the prime rate as quoted in the Wall Street Journal,
on the day the Lodi City Council approves the loan, or the date of the note,
whichever is more. Borrower must pay a 1 % loan fee;
3. Approve repayment to begin not less than fifteen (15) or more than forty-five (45)
days from the date of the note. Repayment will initially be twenty-four (24) monthly
payments of principal only, followed by thirty-six (36) monthly payments of principal
and interest, subject to the execution of all documentation and collateralization as
determined by staff. Interest during the first twenty-four (24) months will accrue but
will be deferred and forgivable if the entire loan amount is repaid within the first
twenty-four (24) month period. If the full loan amount is not repaid within that first
twenty-four (24) month period, the deferred interest shall be paid within thirty (30)
days of the due date of the first principal and interest payment; and
4. Authorize and direct staff and designated agencies to prepare and execute the loan
documents and perform other procedures necessary to accomplish the intent of the
City Council for the completion cf this project.
Dated: May 7,2008
hereby certify that Resolution No. 2008-80 was passed and adopted by the City Council of
the City of Lodi in a regular meeting held May 7, 2008, by the following vote:
AYES: COUNCIL MEMBERS — Hansen, Johnson, Katzakian, and Mayor Mounce
NOES: COUNCIL MEMBERS — Hitchcock
ABSENT: COUNCIL MEMBERS — None
ABSTAIN: COUNCIL MEMBERS— None
&OHL
City Clerk