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<br />ORANGE COUNTY <br />BOARD OF COMMISSIONERS <br /> <br />ACTION AGENDA ITEM ABSTRACT <br /> Meeting Date: June 16, 2020 <br /> Action Agenda <br /> Item No. 6-c <br /> <br />SUBJECT: Approval of Small Business Program Modifications <br /> <br />DEPARTMENT(S): Finance and Administrative <br />Services and Economic <br />Development <br /> <br /> <br />ATTACHMENT(S): INFORMATION CONTACT: <br /> <br />1. PowerPoint Presentation <br /> Gary Donaldson, (919) 245-2453 <br />Steve Brantley, (919) 245-2326 <br />Paul Laughton, (919) 245-2152 <br />Amanda Garner (919) 245-2330 <br /> <br /> <br />PURPOSE: To: <br />1) Establish the Small Business Fund on the County’s Books and Chart of Accounts; <br />2) Approve the transfer of the remaining balance of $510,000 from the Small Business bank <br />account to the County’s bank account, of which $410,000 is to be used for Emergency <br />grants to small businesses and the remaining $100,000 and any residual balances to be <br />deposited in the County’s bank account; <br />3) Approve the Staff and Small Business Loan Board recommendation for the eventual <br />dissolution of the nonprofit entity named the Orange County Small Business Loan <br />Company Program; and <br />4) Approve the Staff and Small Business Loan Board recommendation to make all 11 <br />existing loans with an outstanding balance of $286,508.17 as zero interest and <br />subsequent Small Business Loans as zero interest. <br /> <br />BACKGROUND: In December 1997, the BOCC approved Articles of Incorporation and Bylaws <br />establishing the nonprofit Orange County Small Business Loan (SBL) Company. Staff and the <br />Small Business Loan Board are recommending the eventual dissolution of the nonprofit SBL <br />and transferring all funds and the financial administration of the program to County’s books and <br />existing policies and procedures. The rationale is that the County’s financial administration will <br />provide enhanced system controls through a better financial ledger and software infrastructure, <br />redundancy and systems support than the current SBL financial subsidiary ledger. <br /> <br />Key historical milestones for the SBL Program nonprofit are as follows: <br /> <br />October 6, 1998 BOCC Meeting <br />Operating Policies and Procedures document was approved by BOCC. <br /> <br />September 1999 - Articles of Incorporation for the Orange County Small Business Loan <br />Program Company were issued by the N.C. Secretary of State. <br /> <br />1