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HomeMy WebLinkAboutR-91-0010J-91-16 12/26/90 RESOLUTION N0. y 1 -'' 1_ 0 A RESOLUTION AUTHORIZING THE CITY ATTORNEY TO INITIATE APPROPRIATE LEGAL PROCEEDINGS AND CIVIL ACTION AGAINST CHARLES AND MARIA SHERRER, AND STEWART GLADSDEN D/B/A SHERRER & SHERRER ACCOUNTING SERVICE, TO RECOVER LOAN FUNDS IN THE AMOUNT OF $11,837.62 FROM SAID BUSINESS OWNERS THROUGH THE MODEL CITY SMALL BUSINESS DEVELOPMENT PILOT LOAN 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. 87-923 authorizing the establishment of the Small Business Development Pilot Program in Model City; and WHEREAS, the aforementioned business owners received a $14,500.00 loan from the City; and WHEREAS, $11,837.62 of the original loan amount is due to the City; and WHEREAS, Charles and Maria Sherrer, and Stewart Gladsden d/b/a Sherrer & Sherrer Accounting Service have defaulted on their Promissory Agreement 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: 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 Charles and Maria Sherrer, and Stewart Gladsden d/b/a Sherrer & CITY COMMISSION MEETING OF J A N 10 1991 1 R�,oN - L" Sherrer Accounting Service to recover loan funds in the amount of $11,837.62 provided to said individuals through the Model City Small Business Development Pilot Loan Program. Section 3. This Resolution shall become effective immediately upon its adoption. PASSED AND ADOPTED this loth day of Januay ,Y2 0.-x,1991. ATT MATTY HIRAI CITY CLERK COMMUNITY DEVELOPMENT REVIEW AND APPROVAL: i FRANK CAS ANED , DIRECTOR DEPARTMENT OF COMMUNITY DEVELOPMENT PREPARED AND APPROVED BY: ALB TI E B. SMITH CHIEF ASSISTANT CITY ATTORNEY APPROVED AS TO FORM AND CORRECTNESS: AQJ/gfa/gmb/M1952 XAVIER L. JUAREZ MAItO -2- 91- i0 • s CITY OF MIAMI, FLORIDA CA 13 r INTER -OFFICE MEMORANDUM ro: Honorable Mayor and Members of the City Commission FROM: Cesar H. 0 City Manag RECOMMENDATION DATE J A N - ? 1991 FILE : Authorization to Initiate SUBJECT : Default Proceedings REFERENCE!Charles & Maria Sherrer & Stewart Gladsden d/b/a Sherrer ENCLOSURES& Sherrer Accounting Service It is recommended that the City Commission authorize the City Manager to advise the City Attorney to proceed in initiating default proceedings as it relates to the Model City Small Business Development Pilot Program against loan recipients Charles and Maria Sherrer and Stewart Gladsden, owners of Sherrer and Sherrer Accounting Service, to recover the City's loan funds. BACKGROUND On June 17, 1988, Charles and Maria Sherrer and Stewart Gladsden, owners of Sherrer & Sherrer Accounting Service received a $14,500 loan via the Model City Small Business Development Pilot Program, and executed a Promissory Agreement with the City of Miami outlining the terms of said loan. As of June, 1990, the aforementioned loan recipients have defaulted on their agreement, per the following terms: ITEM NO. 1 DEFAULT PROVISION Should there be a default in the punctual and full payment of interest or an installment of principal due hereunder; or A total of $14,500 has been disbursed to the loan. -recipients. To -date, the loan recipients have made payment totalling $2,662.38, leaving an outstanding balance of $11,837.62 ($14,500- 2,662.38=$11,837.62). No further payments have been made on this loan since December, 1989. Based on the above information, the Department of Community Development is requesting that the City Commission authorize the City Manager to proceed with legal action against Charles & Maria Sherrer & Stewart Gladsden d/b/a Sherrer & Sherrer Accounting Service to recover the outstanding loan funds allocated to the above mentioned named loan recipients. /gjd 91-- 10