Amanda Gregg and Margie Joe presented recommended cleanups to the city's Revolving Loan Fund policy (last revised 2017). Key procedural changes include clarifying ineligible costs for rental investment projects, doubling application/administrative fees (last reviewed in 2013), and changing repayment timing so payments begin either one month after project completion or six months after the loan is funded. Presenters said title companies will handle closings and escrow; any undrawn balance after six months would be placed back into principal and payments would begin unless an extension is approved by the loan-review committee.

Staff emphasized the program's intent as gap funding, not full project financing, and said the loan-review authority (committee) supports the recommended changes. Council members expressed concern about being overly aggressive on repayment timing for borrowers who cannot secure traditional institutional lending; staff said committee members (many of whom are commercial loan officers) found the six-month trigger reasonable for most commercial projects but will review extensions on a case-by-case basis.

Presenters said only six loans are currently outstanding tied to the fund and that outstanding loan balances are "a little over $700,000." Staff recommended re-advertising the program to the business community and returning to council prior to launching outreach. No vote was taken at the work session; staff will return with final policy language.