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HomeMy WebLinkAboutR-91-0194..WIN 91-210 3/4/91 RESOLUTION NO. H _ 194 - A RESOLUTION AUTHORIZING THE CITY ATTORNEY TO INITIATE APPROPRIATE LEGAL PROCEEDINGS AND CIVIL ACTION AGAINST JASPER & MARY SWEET, D/B/A JASPER PAINTING SERVICE, INC., TO RECOVER LOAN FUNDS FROM THE MODEL CITY SMALL BUSINESS DEVELOPMENT PILOT LOAN PROGRAM IN THE AMOUNT OF $39,793.21 PROVIDED TO SAID INDIVIDUALS. 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 t, authorizing the establishment of the Small Business Development Pilot Program in the Model City; and WHEREAS, the aforementioned business owners, Jasper and Mary _ Sweet, received a $75,000.00 loan from the City of Miami; and WHEREAS, $39,793.21 of the original loan amount is due to the City of Miami; and WHEREAS, Jasper and Mary Sweet, owners of Jasper Painting Service, Inc., 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 l initiate appropriate legal proceedings and civil action against,_ section 3. Thig Reablution immediately upon its adoption. PASSED AND ADOPTED this 14th day ATTES011 I MA AYHIRASIIOAO CITY CLERK COMMUNITY shall become REVIEW AND APPROVAL: effective 0 5K,, DIAE CTOR FRANK CAST DEPARTMEN T7 COMMUNITY DEVELOPMENT PREPARED AND APPROVED BY: SMITH ALBkR--TIME B. CHIEF ASSISTANT CITY ATTORNEY APPROVED AS 0 -qGE L. FE CITY ATTORN TO FORM AND CORRECTNESS: ANDEZ r. /gjd M2074 -b-o? 0, CITY OF MIAMI, PLORIbA s INTEA-OF ICE MEMORANDUM CA=161 to Honorable Mayor and Members ontE : MAR 4 191 FILE of the City Commission susJEct Authorization to Initiate Default Proceedings FROM: Cesar H. Odio REFERENCES J a a p e r Mary Sweet d/b/a c City Manager Jasper Painting'Service, �t : P Inc,. ENCLOSURES - RECOMMENDATION It is recommended that the City Commission authorize the City Attorney to proceed in initiating default proceedings as it relates to the Model City Small Business Development Pilot Program against Jasper & Mary Sweet owners of Jasper Painting Service, Inc. to recover the City's loan funds. BACKGROUND On March 11, 1988, Jasper & Mary Sweet, owners of Jasper Painting Service, Inc., and loan recipient of $50,000 via the Model City Small Business Development Pilot Program entered into a Promissory Agreement with the City of Miami. As of September 1, 1990 the aforementioned loan recipients has defaulted on their agreement per the following terms: ITEM NO. 1 ;1 [� 12 ;I ii I 13 0 l DEFAULT PROVISION Should there be a default in the punctual and ut full payment of interest or an installment of principal due hereunder; or Should the borrower fail to accept Technical Assistance provided b the City or fail to P Y Y ��- make financial records available to City `f staff for review upon notification; or Should a �k other lien and/or the Y� mortgage, mechanics, laborers or x be foreclosed against the borrower business premises; �. k� , 2 r y= L' SF' lr t a 2- J � 2--��ii �. •7L � e� ' Honorable Mayor and Members .r of the City Commission Page 2 A total of $50,000.00`has been disbursed to the loan recipients. To -date, the loan recipients have , made payments totalling k_ leaving an outstanding balance of $10,206.79, g $59,793.21 ($50,000-10,206.79-$39,793.21). No further payments have been made on this loan since December, 1989. Based on the above information, the Department of Community is requesting that the City Commission authorize the City Manager to proceed with legal action against Jasper & Mary Sweet d/b/a Jasper Painting Service to recover the City's funds allocated to the aforementioned business. /gjd