Explanation
BACKGROUND: This legislation authorizes the Director of the Department of Development to amend the Microenterprise Revolving Loan Program contract with the Economic and Community Development Institute (ECDI) by extending the term of the contract to January 31, 2014, an additional year, and increasing the contract amount by $150,000. The contract is for the administration of the Microenterprise Revolving Loan Program. The City has contracted with ECDI since 2005 to provide Columbus residents with an avenue for training and working capital for start-up businesses. During this time ECDI has closed over 150 microenterprise loans to Columbus based businesses.
ECDI provides a network of comprehensive support to build the economic and social capacities of individuals, families, enterprises and communities. ECDI has become a leader in the field of micro lending, providing microenterprise training to an underserved population including minorities, immigrants, refugees, low-income recipients and the working poor.
Emergency action is requested to ensure the continuation of the Microenterprise Revolving Loan Program with the Economic and Community Development Institute without interruption.
FISCAL IMPACT: $150,000.00 is available within the 2012 CDBG Budget for this purpose.
Title
To authorize the Director of the Department of Development to amend the Microenterprise Revolving Loan Program contract with the Economic and Community Development Institute; to authorize the expenditure of $150,000.00 from the 2012 CDBG Fund; and to declare an emergency. ($150,000.00)
Body
WHEREAS, contract EL011376 with the Economic and Community Development Institute (ECDI) ends on January 31, 2013; and
WHEREAS, the contract needs to be extended until January 31, 2014; and
WHEREAS, $150,000 has been allocated to ECDI from the 2012 CDBG Budget; and
WHEREAS, the existing contract must be amended to include the 2012 CDBG allocation and extend the contract until January 31, 2014; and
WHEREAS, small businesses are essential to the growth of Columbus; and
WHEREAS, micro lending is an opportunity for individuals to start or expand their small businesses in the City of Columbus; and
WHEREAS, the Economic and Community Development Institute has over ten (10) years experience administering micro-loan programs in other localities; and
WHEREAS, ECDI will partner with non-profit groups to assist with the training and technical assistance portion of the Microenterprise Revolving Loan Program; and
WHEREAS, emergency action is requested to allow ECDI to continue the Microenterprise Revolving Loan Program in the City of Columbus without interruption; and
WHEREAS, an emergency exists in the usual daily operation of the Department of Development in that it is immediately necessary to amend the contract with the Economic and Community Development Institute for administration of the Microenterprise Revolving Loan Program for the preservation of the public health, peace, property, safety and welfare; NOW THEREFORE,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
Section 1. That the Director of the Department of Development is hereby authorized to amend contract EL011376 with the Economic and Community Development Institute for the continued administration of the Microenterprise Revolving Loan Program by extending the contract until January 31, 2014 and increasing the contract amount by $150,000.
Section 2. That for the purpose stated in Section 1, the expenditure of $150,000 or so much thereof as may be necessary, be and is hereby authorized to be expended from the CDGB Fund, Fund 248, Department of Development, Economic Development Division, Division 44-02, Object Level One 03, Object Level Three 3336, OCA Code 410220.
Section 3. That this contract modification is awarded in accordance with Chapter 329.16 of the Columbus City Codes, 1959.
Section 4. That for the reasons stated in the preamble hereto, which is hereby made a part hereof, this ordinance is hereby declared to be an emergency measure and shall take effect and be in force from and after passage and approval by the Mayor, or ten days after passage if the Mayor neither approves nor vetoes the same.