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HomeMy WebLinkAboutR-94-0765J-94-730 8/2S/94 RESOLUTION NO. A RESOLUTION AUTHORIZING THE CITY ATTORNEY TO INITIATE APPROPRIATE LEGAL PROCEEDINGS AND CIVIL ACTION AGAINST RALPH D. AND GAIL PACKINGHAM D/B/A HAIRSTYLES BY MR. RALPH, AS OWNERS AND INDIVIDUALLY, TO RECOVER LOAN FUNDS, IN THE AMOUNT OF $6,947.28, PLUS INTEREST, MADE TO SAID INDIVIDUALS VIA THE CITYWIDE SMALL BUSINESS DEVELOPMENT LOAN PILOT PROGRAM. WHEREAS, the Miami City Commission is committed to the economic development and the expansion of trade and commerce in the City of Miami; and WHEREAS, the City Commission adopted Resolution No. 88-743 authorizing the establishment of the Citywide Small Business Development Loan Pilot Program; and WHEREAS, the loan recipient has made payments totalling $3,052.72; and WHEREAS, Ralph D. and Gail Paokingham, as owners and individually, of Hairstyles by Mr. Ralph, have defaulted on their Promissory Note Agreement and Mortgage Note with the City of Miami and payment is more than 120 days past due; NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY OF MIAMI, FLORIDA: CITY COMMrsslow MEETING OF OCT 2 7 'q94 Resolution No. 94- 765 Section 1. The recitals and findings contained in the Preamble to this Resolution are hereby adopted by reference thereto and incorporated herein as if fully set forth in this Section. Section 2. The City Attorney is hereby authorized to initiate appropriate legal proceedings and civil action against Ralph D. and Gail Packingham, as owners and individually, of Hairstyles by Mr. Ralph, to recover loan funds, in the amount of $6,947.28, plus interest, made to said individuals via the Citywide Small Business Development Loan Pilot Program. Section 3. This Resolution shall become effective immediately upon its adoption. PASSED AND ADOPTED this 27th day of October 1994. S PHEN P. C ARK, MAYOR ATT M HIRAI CITY CLERK COMMUNITY D MEN EVIEW AND APPROVAL: FRANK ZrASTAMDA9 DIRECTOR DEPARTMENT OF COMMUNITY DEVELOPMENT APPROVED AS TO FORM AND CORRECTNESS: A. QUNTORN ITJO E v CITY Y AQJ:osk:M4 94- 765 -2- CITY OF MIAMI, FLORIDA ONT EP-OFFICE MEMORANDUM Honorable Mayor and Members of the ty Commission A40"i Cesar H. Odio City Manager RECOMMENDATION DATE : AUG 2 5 1994 FILE SUBJECT: Authorization to Initiate Default Proceedings Ralph and Gail Packingham d/b/a REFERENCES., Hairstyles by Mr. Ralph as owners and individually ENCLOSURES : See attached It is recommended that the City Commission authorize the City Manager to advise the City Attorney to proceed in initiating default proceedings as its relates to the Citywide Small Business Development Pilot Loan program against Ralph D. and Gail Packingham d/b/a Hairstyles by - Mr. Ralph as owners and Individually to recover the City's loan funds. BACKGROUND On July 24, 1989, Ralph D. and Gail Packingham owners of Hairstyles by Mr. Ralph and loan recipients of $10.000 via the Citywide Small Busin ss Development Pilot Loan Program entered into a Promissory Agreement a mortgage with the City of Miami. As of July 20, 1994 the aforementioned loan recipients had defaulted on their agreement per the following terms: ITEM NO. DEFAULT PROVISION 1 Should there be a default in the punctual and full payment of interest or an installment of principal due hereunder; or 12 Shaul d the borrower fail to accept Technical Assistance provided by the City or fail to make financial records available to City staff for review upon notification; or 15 Should the borrower fail to faithfully and fully comply with the program requirements and/or obligations of the borrower/loan recipient set forth in the Promissory Nate and Disbursement Agreement pertaining to the program, which the borrower hereby represents he has read, understood and agreed to; or 94- 765 Honorable Mayor and Members of the City Commission Page 2 A total of $10,000.00 has been disbursed to the loan recipient from an. approved amount of $10,a00. The recipient's first loan payment was due on February 1, 1990. To -date, we have received a total of $3,052.72 as payment on said loan. The loan is in default as of April 1, 1994. Based on the above information, we are therefore requesting that the City Commission authorize the City Manager to proceed with legal action against Ralph D. and Gail Aackingham, as owners and individually, of Hairstyles by Mr. Ralph, to recover via legal action, the City's/HUD's funds allocated to the aforementioned business/individuals (outstanding amount $6,947.21). CHO 94- 765