Fiscal Note
The proposed resolution authorizes a loan of up to $100,000 to CEOs of Tomorrow, Inc. for the buildout of a leased commercial space at the Black Business Hub located at 2352 South Park Street. The loan is part of the Community Facilities Loan (CFL) Program (2025 project #17913, capital program #13672), administered by the Community Development Division (CDD). CFL program guidelines establish up to $100,000 as the maximum loan amount for improvements to leased properties having at least a 10-year lease commitment, said amount to be provided in the form of a 10-year zero percent forgivable loan. Funding for the project described herein is available in CDD's 2025 Adopted Capital Budget ($1.0 million in General Fund-supported GO Borrowing). No additional City appropriation is required.
Title
Approving a loan of up to $100,000 to CEOs of Tomorrow, Inc. from the Community Facilities Loan Program to help finance the buildout of its leased commercial space at the Black Business Hub located at 2352 South Park Street, Suite 324; and authorizing the Mayor and City Clerk to sign an agreement for that purpose. (District 14)
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WHEREAS, the City of Madison’s Community Facilities Loan (CFL) Program provides low-cost financing to support non-residential development projects undertaken by non-profit organizations in the City of Madison that involve the acquisition of property or substantial expansion, redevelopment, improvement or rehabilitation of property the organizations currently own or lease; and,
WHEREAS, the City’s objective through the CFL Program is to create or improve safe, accessible, energy-efficient and well-maintained community and neighborhood facilities; and,
WHEREAS, CEOs of Tomorrow, Inc. has applied to the CFL Program for assistance to help make improvements to its leased suite space at the Black Business Hub located at 2352 South Park Street, work which will support the organization’s programming by building out a youth program studio, production space, workstations, and space for hosting community events; and,
WHEREAS, per the CFL Program guidelines, CEOs of Tomorrow, Inc. intends to provide programming and other support at the community facility primarily to low-income households, and meets all other eligibility requirements of the CFL Program; and,
WHEREAS, CEOs of Tomorrow, Inc. presents a total project budget of approximately $466,119 and the CFL Program guidelines offer financial assistance for leasehold improvements in an amount of up to $100,000 for facilities committed to leasing the space for no less than 10 years; and,
WHEREAS, the Community Development Block Grant Committee approved the award of these funds to CEOs of Tomorrow at its February 2025 meeting; and,
WHEREAS, funds under the CFL Program are offered to awardees in the form of a zero percent forgivable loan, repayable upon the change of use or the termination of the lease contract prior to 10 years from the Lease Commencement Date;
NOW, THEREFORE, BE IT RESOLVED, that the Common Council approves a loan of up to $100,000 from the Community Facilities Loan Program to CEOs of Tomorrow, Inc. for leasehold improvements to commercial space at 2352 South Park Street, Madison; and,
BE IT FURTHER RESOLVED, that the Council authorizes the Mayor and City Clerk to execute, deliver, publish, file and record such other documents, instruments, notices and records, and take such other actions as shall be deemed necessary or desirable to accomplish the intent of this Resolution, and to comply with and perform the obligations of the City thereunder.