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Council extends Praxis loan amid constituent concerns over delay and principal
Summary
Butte Local Development Corporation asked the council to extend a Praxis Center loan and permit interest-only payments through July 1, 2027; BLDC and the borrower said payments have not been missed, but commissioners voiced constituent unease about repeated extensions.
Butte-Silver Bow ' The Butte Local Development Corporation asked the Council of Commissioners on July 1 to concur with a decision to extend the Praxis Center loan and permit interest-only payments through July 1, 2027.
Kelly Sullivan, BLDC executive director, described the extension as tied to an Anaconda ARCO loan structure and said the borrower had been current on payments. Ray Rogers, founder of Praxis, told the council the borrower "has never missed a payment," noting the annual interest return is about $11,097 to the ARCO fund. Sullivan said the request is for additional time to complete financing.
Several commissioners voiced concern about how long the project has taken and asked whether more of the loan should be applied to principal. Commissioner Jim Fisher said his constituents were "very leery of this whole project." Commissioner Josh O'Neill said he had some hesitations but noted that the loan has continued to generate interest income.
The council voted to concur and place the BLDC loan-extension request on file; the record shows the motion passed 9-0 with three members not recorded in the yea vote. The motion was seconded and placed into the committee record for ongoing oversight; no new money was committed by the council at the July 1 meeting.
