Martin said the foundation needs a loan for $475,000 to repay the city, pay startup costs, pay the balance of the rink construction costs and have two to three months of operating funds as a cushion.
He said he will recommend City Council members approve extending the credit, but wants a formal report on the status of the foundation's budget and financial plan by Dec. 31.
City Council members will discuss the extension request at next Tuesday's work session and will vote on whether to grant it during their 7 p.m. regular session on Tuesday, Nov. 25, Martin said.
Martin said it is not unexpected for a startup organization to need more time to repay funds.
He and several city staff members are helping the board reorganize. City taxpayers have invested $1.2 million in the rink, which the foundation is to repay through rent.
Keller said members of the recently revamped board of directors have been volunteering time to prepare the paperwork and restructure the organization.
In the first two months after the rink opened at the Hagerstown Fairgrounds on Aug. 15, five board members and the executive director resigned. New board members have organized committees to handle finances, programming, personnel, the building and public relations, Martin said.
"It was really overwhelming to try and get everything organized. We've come a long way," Keller said.
Keller said board members would like to hire a new executive director by Dec. 15, but it might take longer.
William M. Breichner, a City Council member and the foundation's chairman, could not be reached for comment on Monday.