HomeMy WebLinkAboutAGENDA REPORT 2000 0607 CC REG ITEM 11KMOORPARK CITY COUNCIL
AGENDA REPORT
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ITEM A
TO: Honorable City Council
FROM: Dana Shigley, Administrative Services Directk"��
DATE: May 30, 2000 (Meeting of June 7, 2000)
SUBJECT: CONSIDER RESTRUCTURING OF THE CITY OF MOORPARK LOAN TO
THE BOYS AND GIRLS CLUB OF MOORPARK
BACKGROUND
In 1994, the City of Moorpark provided an $82,000 loan to the
Moorpark Boys and Girls Club at 5% simple interest. No payments
had been made on the loan when, in 1997, the Council approved a
restructuring of the loan. Under the new plan, all accrued
interest would be paid, as well as principal, and the first
installment was due September 30, 1998. The Boys and Girls Club
did not make the scheduled payment on September 30, 1998 and
since that time has paid only part of the accrued interest; no
principal payments have been made on this loan. Through June,
2000, the amounts still owed are:
Principal: $82,000
Accrued Interest: $5,522
Total: $87,522
In September 1999, the City Council considered this situation
and directed staff to meet with the Budget and Finance Committee
for further direction.
DISCUSSION
The Budget and Finance Committee met with Scott Mosher,
Executive Director of the Boys and Girls Club, to discuss loan
repayment terms. The Budget and Finance Committee recommends
that all interest on this loan be waived in lieu of the services
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Honorable City Council
May 30, 2000
Page 2
provided by the Club to the youth and families of Moorpark.
Effective July 2000, the Club will make monthly payments of
$1,000 until the debt is paid in full (May, 2006). The Board of
Directors of the Boys and Girls Club supports this
recommendation, as noted in the attached letter to the City
Manager dated May 5, 2000.
RECOMIMENDATION
Authorize 1) repayment of the principal amount of the Boys and
Girls Club loan in the amount of $82,000 over 82 months with
monthly installments of $1,000 beginning July 1, 2000; 2) that
all unpaid accrued interest will be waived; and 3) the City
Manager to execute a new promissory note.
Attachment: Letter from Boys and Girls Club dated May 5, 2000
0 0 () -2
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OYS & GILLS CLUB
OF MOORPARK
P.O. Box 514
Moorpark, CA 93020
Tel 805- 529 -1140
Fax 805- 529 -2820
Officers
Michael H. Wesner
President
Tina Hare
Vice President of
Administration
Patty Waters
Vice President of
Board Development
Donald 1. Moore
Vice President of
Resource Development
Dave Chaney
Secretary
Board of Directors
Mike Berger
Gary Cabriales
Robert E. Coughlon, Esq.
Ron LaGuardia
Lori Motush
Toni Pugh
Carla A. Robertson
James D. Stueck
Bruce Thomas
James Walker, Ed.D
Teresa A. Williams
Advisory Council
Sheriff Bob Brooks
Bill Cantwell
Terry Kirsh
Tony Linton
Bill McMahon
Supervisor Judy Mikels
John W. Newton
A.J. Patterson
Debi Ryono
James P. Sandoval
Doug Shoop
Bruce Tackman
John Wood OD
Executive Director
W. Scott Mosher
May 5, 2000
Mr. Steve Kueny, City Manager
City of Moorpark
799 Moorpark Avenue
Moorpark, CA 93021
Dear Steve:
...
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In regards to the loan from the City of Moorpark to the Boys & Girls Club,
per your request, our Board of Directors has discussed the proposal from
the City's Finance Committee.
The proposal was to have the Boys & Girls Club make monthly principal
payments of $1,000 to the City starting upon the approval of the City
Council over the next 6 years and 10 months for a total of $82,000. The
interest on the loan would be waived; as well as any prior interest pending,
in lieu of the services rendered by the Boys & Girls Club to the youth and
families of Moorpark.
Our Board of Directors is supportive of this proposal.
Please let me know if you have any questions or need any further
information. I very much appreciate the City's continued support!
Sincerely,
W. Scott Mosher
Executive Director
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