Explanation
BACKGROUND: This legislation authorizes the Director of the Department of Development to enter into a not-for-profit service contract with the Community Capital Development Corporation (CCDC) for loan servicing in an amount up to $20,000.00 and to authorize payments for services starting January 1, 2025 through December 31, 2025.
CCDC has been a long time partner with the Department of Development in administering the city’s Revolving Loan Fund program. The Revolving Loan Fund program provided micro and small businesses startup capital and other assistance to begin a new business or grow an existing business.
This contract will allow CCDC to continue servicing the loans they originated for another year.
Emergency designation is requested as CCDC has continued to service the loans after the previous contract expired on December 31, 2024 and to maintain uninterrupted services.
FISCAL IMPACT: Funding is available in the Division of Economic Development’s 2025 general fund budget.
CONTRACT COMPLIANCE: CCDC’s vendor number is 004605 and expires on 10/30/26.
Title
To authorize the Director of Development to enter into a not-for-profit service contract with the Community Capital Development Corporation for loan servicing, to authorize payments for services starting January 1, 2025 through December 31, 2025; to authorize the expenditure of up to $20,000.00 from the 2025 General Fund Budget; and to declare an emergency. ($20,000.00)
Body
WHEREAS, Community Capital Development Corporation (CCDC) has been a long time partner with the Department of Development in administering the city’s Revolving Loan Fund program; and
WHEREAS the department desires that CCDC continue servicing the loans they initiated because of the complexity of changing loan servicers; and
WHEREAS, to authorize an expenditure in an amount up to $20,000.00 from the Department of Development 2025 General Fund budget; and
WHEREAS, to authorize payments for services starting January 1, 2025 through December 31, 2025; and
WHEREAS, an emergency exists in the usual daily operation of the Department of Development, in that it is immediately necessary to authorize the Director of the Department of Development to enter into a not-for-profit service contract with Community Capital Development Corporation in order to maintain uninterrupted services and reimburse the organization for services performed after the previous contract expired, in order to preserve the public peace, health, safety, and welfare; and NOW, THEREFORE,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That the Director of the Department of Development is authorized to enter into a not-for-profit service contract with the Community Capital Development Corporation (CCDC) for loan servicing in an amount up to $20,000.00, and to authorize payments for services starting January 1, 2025 through December 31, 2025.
SECTION 2. That for the purposes stated in Section 1, the expenditure of $20,000.00 or so much thereof as may be needed is hereby authorized in Fund 1000 (General Fund), Dept-Division 44-02 (Economic Development), in Object Class 03 (Contractual Services) per the accounting codes in the attachment to this ordinance.
SECTION 3. Funds are hereby deemed appropriated and expenditures and transfers authorized to carry out the purposes of this ordinance and the City Auditor shall establish such accounting codes as necessary.
SECTION 4. That the City Auditor is authorized to make any accounting changes to revise the funding source for all contracts or contract modifications associated with this ordinance.
SECTION 5. That in the reasons stated in the preamble hereto, which is hereby made a part hereof, this Ordinance is declared to be an emergency measure and shall take effect and be in force from and after its passage and approval by the Mayor, or ten days after passage if the Mayor neither approves nor vetoes the same.