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Home My WebLink About08- Community Development Commission D E V E L 0 P ME NT D E P A R T M E NT OF THE CITY OF SAN BERNARDINO REQUEST FOR COMMISSION/COUNCIL ACTION From: KENNETH J. HENDERSON Subject: SMALL BUSINESS LOAN PROGRAM Executive Director Date: September 15, 1993 --------------------------------------------------------------------- Synopsis of Previous Commission/Council/Committee Action(s) On June 21, 1993, the Community Development Commission approved the Small Business Loan Program in the amount of $500,000 and directed staff to develop and submit a list of candidates for the Small Business Loan Committee. { -------------------------------------------------------------- Recommended Motion(s): (Community Development Commission) Chairman Minor's Recommendation MOTION: That the Community Development Commission approve the attached five (5) candidates as members of the Small Business Loan Committee as recommended by Chairman Minor for appointment by the Chairman and confirmation by the Commission. ,17 /U' G Admi rator KENNETH J. REND SON Executive Direc or Contact Person(s): Ken Henderson/Emily Wong Phone: 5081 Project Area(s): All Ward(s): All Supporting Data Attached: Staff Report FUNDING REQUIREMENTS: Amount: N/A Source: N/A Budget Authority: N/A ------------------------------------------------------- Commission/Council Notes: KJH:EMW:nm1:3356J COMMISSION MEETING AGENDA Meeting Date: 10/04/1993 Agenda Item Number: D E V E L O P M E N T D E P A R T M E N T OF THE CITY OF SAN BERNARDINO STAFF REPORT SMALL BUSINESS LOAN PROGRAM List of Candidates On August 21, 1993, the Community Development Commission approved a new Small Business Loan Program in order to provide financial assistance to meet the needs of small businesses in our community. Staff was directed to develop and submit a list of candidates for review and appointment to the Small Business Loan Committee. Considerable thought was given to developing a balanced list of candidates which staff feels would be knowledgeable and sensitive to the small business needs of the community, while possessing relevant expertise in the field of business and/or financial management. The following list of recommended candidates are provided below: 1. Donald Burkett Vice President & Manager, Eldorado Bank Mr. Burkett is the Regional Vice President and Branch Manager of the San Bernardino office of Eldorado Bank. He has over thirteen (13) years experience in the banking industry with such noteworthy institutions as Eldorado Bank, Bank of Hemet, Security Pacific National Bank and Bank of Redlands. 2. Jack Hill Retired Civil Service Employee Mr. Hill has been an active community resident of San Bernardino for over sixty four (64) years. He is currently the Board President of San Bernardino Neighborhood Housing services, and has served on its loan committee for eight (8) years. Mr. Hill recently completed a two year term as President of the Western Regional Advisory Council of Neighborhood Works Network. In addition, he is a member of the Casa Ramona Senior Citizens Committee the San Bernardino Community Hospital Foundation Board and the Library Board. 3. Gil Koda Director, National Economic Development Association (VEDA) Minority Business Development Center (MBDC) KJH:EN1W:nn►1:335 6J COMMISSION MEETING AGENDA Meeting Date: 10/04/1993 Agenda Item Number: �_ DEVELOPMENT DEPARTMENT STAFF REPORT SMALL BUSINESS LOAN PROGRAM October 4, 1993 Page Number -2- Mr. Koda is responsible for the coordination of the local MBDC funded by the U.S. Department of Commerce. The MBDC provides business management and technical assistance services such as preparation of business loan and bonding proposals. As the past Senior Financial Analyst for MBDC (Fresno Office), he supervised the processing of over twenty (20) million dollars in small business loan approvals. As Western Regional Manager of RVI/City Venture Corporation, he has been responsible for the management of economic development projects throughout the U.S. including business incubators. He has also served as a credit committee member of the U.S. Farmers Home Administration in Fresno. 4. Patrick W. Norvall President/Chief Executive Officer, Bank of San Bernardino Mr. Norvall has resided in this community for over twenty (20) years. He has been President of the Bank of San Bernardino since 1984 and was previously affiliated with Bank of Redlands as Vice President between 1975 and 1984. 5. Cynthia Siddons Branch Manager and Vice President, First Interstate Bank. Ms. Siddons has been employed with First Interstate Bank for over sixteen (16) years. She is currently the branch manager at the San Bernardino Main office and was the District Sales and Service Manager for 20 branches in the Inland/Desert area. Her background includes consumer and commercial loans, dealer financing and flooring, professional loan portfolios and community block grant program(s) for various cities. Ms. Siddons is currently on the board for the Arrowhead United Way Agency, Rotary downtown San Bernardino and the board of counsellors for California State University San Bernardino. For your information, a brief summary of the previously approved loan review process for the Small Business Loan Program is provided below: 1. Review of Application to Determine Eligibility and Financial Strength --------------------------------- -- - ------------- KJH:EMW:nml:3356J COMMISSION MEETING AGENDA Meeting Date: 10/04/1993 Agenda Item Number: —.44RIMPEMW Vow DEVELOPMENT DEPARTMENT STAFF REPORT SMALL BUSINESS LOAN PROGRAM October 4, 1993 Page Number -3- Staff will review the application for project and business eligibility and conduct a financial analysis to include review of income tax returns, balance sheets and income statements, pro-formas indicating projected income, expenditures and cash flows, applicable licenses, personal background and references, payment history, and overall business plans. If appropriate, the applicant may be referred to another entity for technical assistance in order to strengthen the applicant's business portfolio. If the business is determined to be unable to support a loan application for which the applicant has provided all requested evaluation material, the Development Department will issue a letter of denial outlining the reasons for its determination. 2. Site Visitation If the applicant appears to be a good loan prospect, staff will proceed to conduct an on-site visit to assess the facility, the overall business operation and the appropriateness of the site. 3. Terms of the Loan The structure and terms of the loan are discussed and loan documents are finalized, reviewed and signed by the borrower. 4. Loan Committee Review The Development Department will prepare a recommendation for review by the Loan Committee. The Loan Committee will render final approval/disapproval on all loan applications. Barring any unusual circumstances, loans generally require four (4) to six (6) weeks to process from the time staff receives complete financial documentation and the loan application is deemed complete. Failure to provide timely or complete material will delay processing accordingly. Based upon the foregoing, Chairman Minor has requested staff to recommend adoption of the adoption of the form motion appointing the five (5) candidates listed above to the Small Business Loan Committee. KENNETH J. HE ERSON, �Execuitive Development De artmen ------------------- ------------------------------------------------------------ KJH:EMW:nml:3356J COMMISSION MEETING AGENDA Meeting Date: 10/04/1993 Agenda Item Number: