Sandusky panel recommends $250,000 loan for Toft Dairy to support freezer replacement and job retention

At its February meeting, the Sandusky Boards & Commissions voted to recommend a $250,000 economic development assistance program loan to Sandusky Toft Dairy Inc., 3717 Venice Road, to fund an expanded cold-storage facility and preserve jobs.

The loan would carry a 0% interest rate and be payable at the end of a five-year term, secured by a subordinate mortgage on the property. The commission’s recommendation says the owner may request forgiveness of the loan if the firm meets a requirement to add seven full-time-equivalent jobs by the end of the term. Director Gilson told the commission the recommendation exceeds the program cap but said the guidelines allow an exemption for “catalytic projects” and that the city manager concurred with that approach.

The recommendation followed a presentation by the applicant and questions from commissioners. Logan Miesler, one of the owners, described damage to the facility’s aging freezer and the importance of cold storage to the company’s product line and workforce, saying, “job retention is a big part of this project as well.” He told the commission, “We expect to have it finished in January of 2026.”

Director Gilson provided financial and project details to the commission. She said the business has secured bridge financing from KeyBank, and the owner has a commitment for a $2,500,000 loan from JobsOhio that will be provided after project completion; KeyBank would act as a bridge lender. Gilson said the owner is contributing 10% equity and that the recommended $250,000 loan represents 3.5% of the total project cost. Gilson added that forgiveness of the loan is conditional on meeting the job-creation requirement.

The applicant told the commission Toft Dairy employs about 76 full-time-equivalent workers today and projects adding seven additional FTEs as part of the expansion. The applicant reported current annual payroll of about $4,650,000 and average pay per employee “just over $61,000.” The company provided current annual sales of $28,300,000 and projected sales of $31,900,000 in year three.

Commissioners discussed how the job requirement would be measured. Gilson said the staff would likely measure hires from the date the loan goes into place and perform an annual review at the end of that 12-month period "apples to apples, 7 new FTEs." The commission noted the project schedule and funding flow: the bank fronts construction costs, the owners submit receipts, and the city disburses the program loan as reimbursement.

The commission moved to recommend the loan to the city commission and then conducted a roll-call vote: Stuart Hastings — yes; Abby Bemis — abstain; Ellen Nichols — yes; Marcus Harris — yes; Paul Cook — yes. The motion passed and will be forwarded to the City Commission for final action.

The owners who attended the meeting included Chuck and Logan Miesler, who answered commissioners’ questions about timeline and business plans. The commission did not set a final disbursement date beyond saying the recommended loan would be encumbered in 2025.