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El Centro council approves warrant register after member seeks consultant-fee and loan details

2707469 ยท March 19, 2025
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Summary

The City Council approved the warrant register and consent items after Council member Camarena pulled the item to request more detail on professional/consultant fees and loans; staff said loan to a business was part of previously approved housing or revolving loan programs and payments were current.

The El Centro City Council approved the consent agenda, including the warrant register, after Council member Camarena pulled item 1 to ask staff for a breakdown of "professional fees/other" charges and clarification on outstanding loan payments.

Camarena said she had highlighted entries she believed to be consultant or professional fees and asked for a more detailed accounting and the context for two loans on the warrants. "I'm reviewing all of our warrants," she said, asking whether the first payment for the loan referenced as beginning in November 2024 had been made and whether a second payment should proceed.

Staff responded that the payment referenced for a local business (identified in the packet as Chelsea) was funded through permanent local housing allocation funds and was not part of the general fund. They said the Chelsea loan and related documents โ€” including a loan agreement and a promissory note/deed of trust โ€” had been reviewed and signed by the city manager and city attorney. Staff also explained the city uses Amerinat, a loan-servicing provider, to manage multiple loans from a COVID Economic Development Administration revolving loan fund originally awarded at about $550,000; recipients who repay create resources for additional revolving loans. Staff said the recipient referenced had been making payments on time and that a portion of an earlier business capital loan was used for payroll and start-up working capital.

After the clarification, Council moved and seconded approval of the warrant register and the remainder of the consent agenda. The motion passed 4-0.

Council member Camarena said she will continue to request detailed backup in future packets so she can review expenditures before votes; staff indicated they would provide the requested breakdowns and additional documentation outside the meeting.