The URL can be used to link to this page

Home My WebLink About08-11-11 Prospera Revolving Loan Fund Committee Minutes � � T4I>Specu Business Network Bozeman Revolving Loan Fund --T,oazReview Con0nittce � ��ootCS' August 2011 Meeting ' - ��— " First Interstate }\8o� 6l0nnzL0�n� ^� \~ ``^� 9:00 uUl — 10:30 an-1 Committee Members Present: |uckT6ortipvoo,lrucyD]cmurz' Brit ybo/uool, Kathleen Ton] ov1c6, Gucy Sisson and Ch6yK4c6| Committee Members Absent (excumeJ): Pcooye,a Staff Present: 8/uaz/Lcidner � Guests: 1irio GulGuAoc(.Wells l/nc8o 8anW, Aiozoc &]eue| k\ty n[Kozcuour6, and Gcc8SuDivuu (City of Doucoxu), A. Call«w Order/Iuvznduc/iuuy The n` c6u6wus coDrJ to order at 9:03oozby S»unr/l.ciJouz. Stuart note(.] that as ,his is the 6rxtpo66c inecting of the Bozeman loevolviug Loan KUnd, we would lflkc to siart willi Introductions. '[6c structure o[ (he corninittec is now to be madC Up Of 2 appoinlees frorn the Cily Of-Boxenian and 5 appointees frorn Pc'mporu8uoincxo l4cuvorL Stuart noted t6u|Prooperucvrcun/had 6`ucoppoinuumn/u which Ioc|vJca Kathleen Tonkovich who was appoinicd by the prospera board of'directors to serve and is -I Silting board o`c/nbez Of'Pronpcm. /\Oprcxco/made introductions. B. Public Comment &runrouo/wxs / cu /ouDow6.cooypvkHcconuuucoco[tkosoiuouooJonce. |]c*ouQuoor the Public conuncu/session was closed. C: Special Presentation L Discussion with City Attorney, Greg Sullivanand Deputy City Clerk,Aimee Kissel Stuart provided the contextual Overview Of IIIC CVOIL1tIO1I Oft11C loan Col-urnillee rru.,.ehngs Inovirig to an Open itiectlug format. Bu6ricUy @ocu^scJ the process uudcruken /n Jcucorinc which (]',cunnuors wcwould be using io the open rocc6u86aozcnmrk and which remained cnuGJcutiuL The ono*6u�?,,was turned Over to GccSooJ /\icoco for further discussion. GrcgopuuuJuntiuKd`aci[|6czcuccuoyquc*6uux *vur`/noo/6caitu/c 'oo/uc6oQ6imn6`c6uziGcu6000. 1|c provided the atuuutcn and oouo/uccd code,which pertain /o opmz rucetings. Greg carefully reviewed the nu.o/ critical cicrucu/o of said o/umtes und in particular /hoo* issues related to "trade occ»c,s" as it pertains x` the loan documents received 6yuo applicant. Greg provided rcconzuccndutio"o for OJ.yco`nu` tee to x/zuc/ucc t6ci,nuor6ngs 1v particular fie oo^cJ that applicants can, and perhaps p6ovlJ be given the opportunity to ,provide u presentation ^ the conn/iu*c Furtherinore, the applicant may rernain durifig the "closed"portiou Of the loan con-irnittec meeting at which time the loan coozuzueuioc6ncuooiog i6c "trade sec,^tx", firiancix|u �vit6 the exception o[cnrporx/etax documents), etc. }{on/cvcz,it was noted thntit ix not necessary for the cocmziucru` entertain any additional couzoicnto 6ouo the applicant unless d6cyno wish o/ specifically ask said upp6coo/for clarification. {)ucc the closed session is completed, the corrimlittCC MUSt rC--()PCII the IIICCI_111l, 10 C0fldLICt that actual vote on the loan request. Greg reviewed the motions necessary under the open requirements set fordi. Votes conducted in the open meeting portion, should be of "Yes"or"No" fla(M-C. only,with a dISCLISSI.011 point added if it is felt cornpletely necessary. ,\imcC presented the necessary tirriclitic for submitting an agenda to lie Posted (Minflmirn 48 hours,preferred one week in advance.) She provided the conitniucc with the City's ethic handbook. Minutes are to be two sets. One set is for the Open Meeting Comp(7IC111, the other for the I"XCCLItiVC Session or closed session where the discussion of the loan applications occur. Gary Sisson coi,nniented that the main concern is that the AppfiC21-1t can Stay (IL11-Mg IIIC Closed session. In a lending environment this JS going to Make things VCrV difficult to discuss. Jack'Fliornpson(.]L1c.ricd whether or not we can ask thorn to leave. I le seconded tho: concerns that Gary raised stating that this committee's diSCLISSioll is trying to be Ilic best stewards of the loan fUnds as possible and having the applicant present may atot be advantageous Io that 0LI(C01T)C. Grcg noted that you can ask thC111 to leave but they 1-1111y 11-Cfllaill. ThCV call stay, but(:,,in be gold that they may not Interject. While CliffiCLIII as it may be, this is dic process the. needs (o be followed. The committee discussed other clenicnis of the loan conimillec process including conflict of interest and proceeded to the next agenda item. D. Action Items Stuart provided the loan corninitice with the loan rcqLJCSI Presentation dOCLATIC111 (AVAilIblC 10 the PLINIC) for an overview of their respective lo n -C(LICS(S. ThCI T WCrC nO �pplicants r any Pi )]I C in 2ttCI1dAt1CC that wished to comment on the loan applications at 11)(1, time. Brit Fontenot made the following motion, "I 11crCbv move that the information provided by the applicants where is contained on the REF's application documents labeled "confideniial: (i) coiisists of protected privacy information in so far as die information on the application contains Mforni'llion regarding to re(Urris, bank account statements, etc. of Individuals (Karyn Bonderud, I�,skay Bridal and ,Ml:Irk and Zcytiep Martcllo, Z's Old World hoods) applying for the funds;and (ii) contains information rcgardivi,(.,,the applicant's business operation to which the applicant has a demonstrable propc.rty right in the Information as a trade secret under the Montana Uniform Trade Secrets .\c(,Tjtic 30, Chpt. 14, Part 4, and/or as proprietary Information protected by the Montana and Federal Constitutions,", C'hris Mehl seconded the motion. No dISCLISS101). Motion P�ISSCCI LJt1alliflIOUSIV. Presiding Officer—Stuart Leidner noted, "Considering the pt-evious motion and vote, I hereby find the right of individual privacy of the applicants (Karyn BonderUd, I skay Bridal and Mark and Zeynep Martc1lo, 71's Old World Foods),exceeds the merits of[lie public disclosure and, as a deliberative discussion of these items is necessary for the Cominittec to make a reasoned decision on the application, I hereby close the meeting pursuant to Sect. 2-3-203(3), M(,,\, during the tune the Committee will discuss the privacy interest of the app6cuo| |o addition, l find n closed meeting during dncdiscussion o[d`, application materials ixo reasonable oz,uos to pro/cc|d6cproPczty rights of the applicants. The Coozoz ucc xd| open the niecting to make u Final Ju6ai0000 the application, The inecting was reopened to make final decisions regarding the loan appllcarions� AsoopulJjc was io attendance, the Chair proceeded with tile rneetingas no Public cornincill was rnadc, � 1. ]Bakuy Bridal LLC Loan Request Tracy D]onuozmade the 6oUowizgo`o600, '1 laving considered the application cnu/urin|x, | hcccbr move to � approve the application o[1,skuy1�riJal,lJ.0 for u loan i^ /6ca^z`on/"[$4O,OOOwviHz the s|*nJuzd terms of 7% for 7 y,ocx 6zoJ, and conditions, incluJiuA but not |inliucJ u. kcy life inaurxu/c, liability iusuroucc and � other documentation m requircd by Pmq`un BwlncsoNcu*,ck!' The mollioo was seconded by Chris Muhl. Gary Sisson offered u friendly amendment |hut 6c would like u` xcc the \.,ou "LIP ti) $4O,000" and encourage her to take only the ouu/oot she needs for working capital, 6xtuos and iuvcuu`cy. 1/urt6*on'.cc` to 6uvoi/at Interest only for the First year. [)ixrueioo on tcroux occurred, |kc 6iunJ|y u/orndnnoo/wa» occ,p/od by Xiu. k|,uuczuoJ b|, X|c6i Motion with friendly on000dru,u/paaxcduoauin`MIsly. 2. Z's Old World Foods Loan Request Gary Sisson made the 0006nn, ^1 laving c000iJczuJ the application ouutccin|u, [ 6cc,6y nonvc to cujcc/ the upp�icn6o^ 6y Z's Old World Foods 6`,u Loan aox`ovzo[$75,OOO.'` ]nckl'600g?a'm seconded tile motion. DiSCLISSiOn—Chris Mehl said lie would be Willing to go for 11,11 C of the WTI(otIl It. Mrfl noted that lie also felt- that itwoulJ6uo|ouou`pumue. With no auzcoJo-icots the n»600 /tuodu, the loan was on o vouc of 6`uc Al tu two (2). E. FYI/Discussion Stuart provided the loan committee with new broChUres that have bcen developed that will be distributed shortly. yuz/6conocc,wuw0l6e \ookioX6`,oJditioou| |oouu`ououiuocrocrn6cmu^i/c:ppoiotxJbycho Pznvncru board o[directors uo C,u,yootrJ howou|J bc retiring x/ the end n[/hcyear. 8/uur/noted that Kriu had ux,oJuJ earlier io the noeu6ugtu ascertain whuhcrkcwou|J be interested in rcrviogoo the committee. F. Al'noonmmcou The oec6uA was uJiouroec 0mo Minutes Approved On: FINAL