Laserfiche WebLink
<br />countertop and cabinet making industry since 1998 and started Clear Choice Countertops in mid <br />2006. Initially Clear choice concentrated on custom cut laminate countertops and fixtures. The <br />company handles aU phases of the project, from measuring and design, to cutting, and to <br />installation of the finished product in the customer's home or business. Economic Development <br />Consultant Mulrooney stated due to the real estate slowdown Mr. Semler is looking into ways of <br />diversifying the business. He sees an opportunity to get into more of the higher end product. The <br />cutting equipment that Clear Choice now has does not allow for efficient cutting and finishing <br />for the high end materials. The purchase of a bridge saw will allow Mr. Semler to continue to <br />grow and expand his business and employment. The company currently employs three people. <br />Mr. Semler is looking at adding two additional employees if he is able to pull together the <br />financing for the needed equipment. Economic Development Consultant Mulrooney provided an <br />overview of the loan request for Clear Choice Countertops, as well as the financial summary of <br />the company's operation and a summary of the debt service coverage. He advised staff is <br />recommending approval of the loan request as presented subject to the execution of a loan <br />agreement between the City of Ramsey and Clear Choice Countertops and the personal <br />guarantee of Matt Semler. <br /> <br />Member Skaff verified with Economic Development Consultant Mulrooney that the rate would <br />be fixed and a personal guarantee would be required. <br /> <br />The Board discussed the loan request for Clear Choice Countertops, the financial summary of the <br />company's operation, the debt service coverage, and future business plans for Clear Choice <br />Countertops. <br /> <br />Member Steffen verified with Economic Development Coordinator Sullivan that there is nothing <br />in the requirements of the Revolving Loan Fund that would restrict granting this loan. Economic <br />Development Coordinator Sullivan noted if the loan is approved the EDA will own the bridge <br />saw if it were to be defaulted on. . <br /> <br />Motion by Member LeTourneau, seconded by Member Skaff, to approve the loan request as <br />presented subject to the execution of a loan agreement between the City of Ramsey and Clear <br />Choice Countertops and the personal guarantee of Matt Semler. <br /> <br />Motion carried. V oting Yes: Chairperson Riley, Members Letourneau, Skaff, Kiefer, and <br />Steffen. Voting No: None. Absent: Members Elvig and Strommen. <br /> <br />Case #3: <br /> <br />Cost of Doing Business Analysis Findings <br /> <br />Economic Development Coordinator Sullivan reviewed with the EDA that staff was directed to <br />research the cost associated with development and operation of businesses within the City of <br />Ramsey to answer questions raised by a private developer. Economic Development Coordinator <br />Sullivan provided an overview of the methodology used to complete the analysis. <br /> <br />Economic Development Coordinator Sullivan reported that the conclusion of the analysis was <br />that Ramsey is the second most expensive of the 11 cities that were compared for development <br />fees, but this does not take into consideration any Tax Increment Financing (TIF). The majority <br /> <br />Economic Development Authority/June 12, 2008 <br />Page 4 of6 <br />