(A) Applications shall be submitted to a designated committee comprised of the City Manager and City Attorney of the City of Kewanee and the Revolving Loan Fund Committee of KCDC. This committee shall be responsible for the administration of the loans and shall perform all functions and make all determinations specified in this document except where the same shall be specifically reserved to the city and the KCDC in total rather than the committee herein established. The applicants shall include all information required and may be requested to provide a cashier's check or bank money order for $50 to cover processing expenses. Upon receipt of an application, the committee shall review the submittal and confirm that all information is in order and is adequate to complete its review. Applicants will be advised if any necessary material is inadequate and will be given a deadline for submitting additional information.
(B) The committee shall make a recommendation as to the disposition of the application to the city and KCDC. Said recommendation shall be based on the extent to which the proposal meets the stated purposes of the RLF program and upon credit analysis, collateral analysis, cash flow analysis, and a review of any and all other information available. The recommendation shall include proposed terms and conditions for the advance of funds from the RLF.
(C) The city and KCDC shall determine which, if any, of such applications reviewed by the committee shall be funded.
(D) Information supplied by the applicant to the committee or the city and KCDC shall be kept strictly confidential, and shall not be disseminated without the proper written approval of the applicant. However, a summary of the proposed project including the loan amounts, the nature of the business, the jobs to be created and other benefits will be requested on a form which will be available for public dissemination.
(E) The committee shall notify each applicant in writing if such application will be funded, has been rejected, or is still under consideration. Said notification shall be mailed within a timely manner after the established deadline for application submittal.
(F) The city and KCDC shall take all reasonable steps to ensure that the RLF is properly serviced by the committee, and that the terms and conditions of the RLF are properly enforced, including legal action to collect debts owed, foreclose mortgages, and otherwise compel performances by the RLF recipient .
(G) The applicant of the RLF shall bear all expenses of the application submitted and review requirements and processes. The said cashier's check or bank money order for $50 processing fee will be used for any expenses incurred by the staff in application review including, but not limited to, credit reports, recordings, appraisals, photocopying, etc. Review or processing expenses incurred over this specified processing fee are payable by the applicant at the time of their occurrence.
(H) Notwithstanding anything herein to the contrary, the recommendation of the committee to fund a project shall be subject to the final approval of the KCDC and the city and no funds shall be dispersed until both of said organizations shall have approved the same on terms that are mutually agreeable. The city shall act by majority vote of the Kewanee City Council and the KCDC by majority vote of its Board of Directors.
(I) This RLF program shall be modified, changed or amended only upon the agreement of the city and the KCDC in writing and only after the approval of the Department of Commerce and Community Affairs of the State of Illinois to the extent such approval is required.
(J) KCDC and the city shall make no charge for the processing of loan payments and other ordinary administrative expenses incurred subsequent to the approval of the loan application and closing of the loan. In the event the KCDC and the city decide at a later date to charge for the processing of loan payments and other ordinary administrative expenses, the KCDC and the city agree that those charges will not exceed 10% of the total loan proceeds.
(Ord. 2986, passed 7-24-95)