Riverbank's Local Redevelopment Authority (LRA), which is converting the former Army Ammunition Plant at Claus and Claribel roads into an industrial center, will apply for a loan of $355,000 from the Stanislaus County's Economic Development Bank.
The money will go to provide small business loans to two existing businesses at the center, fund inventory expansion for a prospective tenant and finance infrastructure improvements to some buildings for prospective economic growth, LRA Executive Director Debbie Olson told Riverbank City Council members sitting as the Authority's board on Nov. 28.
The loan, repayable in four years' time, would be used to:
Design and relocate two surplus Army holding tanks to allow business expansion by Alvarez Environmental Solutions (AES), a subsidiary of Kern Oil Filter, both of which are currently located at the plant. AES is seeking a loan of $105,000 to help build a waste oil processing and recycling facility at the center.
Loan $75,000 to Repsco Inc. to buy extra equipment to support expansion of an existing West Coast lease at the center. A Colorado-based company, Repsco provides plastic slip-sheets and pallets for shipping and storage to environmentally conscious customers as an alternative to wood and fiber.
Advance $75,000 to Intuitive Motion, a southern California manufacturer of "a personal transporter" and prospective tenant that is considering starting northern California operations in Riverbank. (See related story.)
Fund the LRA to make $100,000 worth of improvements to electrical and fire suppression systems on a currently vacant building to support prospective business needs; and fund repair of roof trusses on an existing building optioned by a prospective tenant. The LRA will match this requested loan with an additional $100,000.
Total jobs at the center anticipated with the whole loan request are estimated at 76 fulltime and 29 temporary over the next three to five years, said Olson. The loan would support both job creation at the center and area economic growth. The project also would encourage creation of additional jobs at local businesses by prequalifying local contractors and tradesmen to perform activities such as fire safety, electrical repairs and pipe fitting.
The LRA would use $100,000 from its lease revenue, operations and maintenance fees plus the sale of surplus property as a match for the infrastructure improvement loan.
The Authority, (not the City) would assume the responsibility for repayment of the loan with a lump sum reimbursement due in January of 2016. Lease revenue and loan repayments from individual businesses would be the primary source for repayment to the County. Sale of real or personal property could be used in an emergency.
The money will go to provide small business loans to two existing businesses at the center, fund inventory expansion for a prospective tenant and finance infrastructure improvements to some buildings for prospective economic growth, LRA Executive Director Debbie Olson told Riverbank City Council members sitting as the Authority's board on Nov. 28.
The loan, repayable in four years' time, would be used to:
Design and relocate two surplus Army holding tanks to allow business expansion by Alvarez Environmental Solutions (AES), a subsidiary of Kern Oil Filter, both of which are currently located at the plant. AES is seeking a loan of $105,000 to help build a waste oil processing and recycling facility at the center.
Loan $75,000 to Repsco Inc. to buy extra equipment to support expansion of an existing West Coast lease at the center. A Colorado-based company, Repsco provides plastic slip-sheets and pallets for shipping and storage to environmentally conscious customers as an alternative to wood and fiber.
Advance $75,000 to Intuitive Motion, a southern California manufacturer of "a personal transporter" and prospective tenant that is considering starting northern California operations in Riverbank. (See related story.)
Fund the LRA to make $100,000 worth of improvements to electrical and fire suppression systems on a currently vacant building to support prospective business needs; and fund repair of roof trusses on an existing building optioned by a prospective tenant. The LRA will match this requested loan with an additional $100,000.
Total jobs at the center anticipated with the whole loan request are estimated at 76 fulltime and 29 temporary over the next three to five years, said Olson. The loan would support both job creation at the center and area economic growth. The project also would encourage creation of additional jobs at local businesses by prequalifying local contractors and tradesmen to perform activities such as fire safety, electrical repairs and pipe fitting.
The LRA would use $100,000 from its lease revenue, operations and maintenance fees plus the sale of surplus property as a match for the infrastructure improvement loan.
The Authority, (not the City) would assume the responsibility for repayment of the loan with a lump sum reimbursement due in January of 2016. Lease revenue and loan repayments from individual businesses would be the primary source for repayment to the County. Sale of real or personal property could be used in an emergency.
