Advisory Board Looks at Additional Safeguards for Seeking Development Funds

The Effingham County Board's Economic Development Advisory Board and the County Board's Grants Committee Tuesday discussed whether more safeguards need to be implemented when loaning funds to new or expanding businesses.

The Board received a grant several years ago and since has loaned the funds to a number of entities. Advisory Board members Heather Mumma and Norma Lansing, though, suggested a couple of options to better safeguard the funds. Mumma would like a credit report, conducted at the expense of the applicant, while Lansing suggested that the applicants have a business plan in place.

Other Advisory Board such as Larry Taylor and Ed Hoopingarner shared that the extra hoops might cause potential applicants to shy away from seeking the funds. Advisory Board Chairman Dave Campbell heard the various comments and asked for a decision. Instead, Board member Elizabeth Houston suggested that the committee check with previous applicants to see whether they think the additional steps would have kept them from applying for the funds, so that suggestion will be pursued.

Campbell reported that just more than $18,000 in funds are currently available.