Council vote scheduled for changes in loan fund
City officials told the Hagerstown City Council Tuesday they want to change the Hagerstown Revolving Loan Fund's focus so it can help more downtown businesses.
The council is scheduled to vote on the changes at its July 23 meeting.
The city established the fund in April 1999 with $250,000 in state funds and a $250,000 city match, according to a staff report.
The fund's purpose is to encourage the retention and expansion of existing businesses or to help recruit new businesses, a staff report said. The fund is not intended to be the primary lender to businesses.
There is $308,569 currently available through the program.
At Tuesday's meeting, the city officials suggested setting aside $100,000 of the funds to be used exclusively in the downtown area. They also recommended offering a 1 percent discount on the interest rate to borrowers in the area.