LB840 loan, street closure on council agenda
A request to amend the terms of an LB840 loan was among the items debated by the Wayne City Council during the July 3 meeting.
Wayne Area Event Center, Inc./Josie Broders asked the council to amend the terms of the $350,000 loan that the city had earlier given to the business.
The new terms will defer principal payments for three years, but require interest payment through the deferment period; change the loan repayment time line from 10 to 15 years; allow for the repayment period for principal and interest to begin on March 1, 2021 and have the final payment due March 1, 2035.
Originally, a payment, with interest, was to have been made March 1, 2018.
Corby Schweers, representing Elkhorn Valley Bank and Broders spoke to the council on the request.
Schweers said that he was not involved with the project at the beginning, and would not have requested a payment at this point in the project.
"The (financial) numbers look better than we projected, but I would suggest the business be given until November to make the interest payment," he said.
Council member Matt Eischied told Broders "we (council) want the business to be successful. The City has put forth a lot of money into it. But, there was no dialogue before the first payment was due. There needs to be an improvement in communication."
Noting that 'we want to see the business succeed so we can get our money back,' council members approved the recommendation on a 5-1 vote. Council member Jennifer Sievers voted against the request and council member Nick Muir and Terri Buck was absent from the meeting.
Council members also approved a request to close Windom Street between Third and Fourth Street in conjunction with the State Senior American Legion Baseball Tournament, July 28 - Aug. 1.
Council member Eischied brought the agenda item to the council, noting "this is a big deal for Wayne. It will bring lots of people to town. We would like to have the street closed two hours ahead of each day's games to alleviate congestion. Our main concern is for safety.
Discussion was held on who would be responsible for putting up and taking down barricades and other details in regard to parking in the area.
In other action, council members approved the appointment of Kim Endicott to the Wayne Library Board. Endicott will replace Joel Ankeny on the board and her term will expire on June 30, 2022.
A request was approved to have a fireworks display in conjunction with this year's Henoween celebration on Friday, July 13. Fireworks will be shot from the Wayne Rugby Field.
Council members approved a resolution which accepts a plan to extend city services and set a public hearing date in regard to annexation of an area next to the Southview II Addition to Wayne.
The request is in conjunction with the need to enlarge a drainage ditch along the west and south sides of the addition.
The resolution is the first step in a multi-step process for the project.
The Wayne City Council will next meet in regular session on Tuesday, July 17 at 5:30 p.m. in council chambers.