Council restructures loan
By Kathy McCarty
Staff Writer
PRESQUE ISLE — City councilors approved the restructuring of a Presque Isle Development Fund loan for a local business during a 7 a.m. meeting held at City Hall on Aug. 20.
Councilors had been asked to consider modifying a loan for KBS Enterprises d/b/a the Presque Isle Inn & Convention Center.
According to records at City Hall, the original loan for KBS was for $300,000, of which $126,000 is still owed. The loan dates back to July 2005.
Councilor Peter Hallowell made the motion, with a second made by Councilor Bruce Sargent, to authorize the restructuring of the current PIDF loan to KBS Enterprises, Inc., to be amortized on a 20-year basis, with a balloon payment due in 24 months; that all other terms and security remain the same and subject to all other lenders approving a similar restructuring plan for their debt.
In addition, city staff is authorized to sign all necessary documents to execute the same after final review by City Council. Councilors voted 6-0 in favor of the request. Councilor Jessica Chase-Smith was absent from the meeting.
