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15 <br />Attachment 2 <br />ORANGE COUNTY SMALL BUSINESS LOAN PROGRAM <br />PURPOSE <br />The purpose of the Orange County Small Business Loan Program (Program) is to <br />stimulate the creation of good jobs for Orange County citizens as well as to <br />stimulate successful business development and expansion in Orange County <br />(County). The program will attempt to assist businesses that have limited access <br />to financing through conventional means or other government guaranteed <br />sponsored programs. Businesses receiving funding through this program are <br />strongly encouraged to be good corporate citizens as defined in Orange County's <br />Economic Development Strategic Plan. Businesses are also encouraged to <br />employ Orange County citizens. <br />LOAN PROGRAM ADMINISTRATION <br />The Orange County Small Business Loan Program Company (Company) and Orange <br />County (County) staff may be utilized to underwrite and service these loans, to include <br />billing, generating administrative reports, and collection of delinquent accounts. <br />PROPOSED STRUCTURE <br />The Company is a non - profit corporation formed to make and facilitate loans to small <br />businesses under the program described here. The Program is governed by an eight <br />member Board of Directors, acting under the Company's Bylaws. This Program is fully <br />funded by Orange County at the discretion of the Orange County Board of County <br />Commissioners. <br />This proposed structure may be modified from time to time based upon the review and <br />advice of counsel. <br />LOAN COMMITTEE <br />The Board of Directors of the Company will serve as a committee of the whole and as <br />such will serve as the Loan Committee. The Loan Committee Chair shall generally <br />monitor the duties of the Loan Program administration; make sure loan proposal <br />packages are properly prepared prior to their presentations at Loan Committee <br />meetings; and oversee the preparation of commitment letters to approved borrowers. <br />Such commitment letters will be signed by the Chair. <br />The Loan Committee will have the following responsibilities: <br />1. Find creative ways to utilize loanable funds to stimulate successful small <br />business development and job creation. <br />2. Meet monthly to review loan applications and determine which requests will be <br />approved and under what terms and conditions. <br />3. Periodically review status of existing loans and recommend appropriate <br />corrective action or special monitoring where needed. <br />4. Approve modifications to loan agreements. <br />5. Evaluate underwriting requirements and make appropriate adjustments as <br />needed to accomplish the objectives of the program. <br />