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Committee asks bank to work with businesses
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MONROE - The city's Revolving Loan Fund Committee decided Monday to allow Woodford State Bank to work with the owners of two businesses that owe money to the city's revolving loan fund.

The committee was given a letter from Woodford State Bank showing Barrett and Lisa Allman, owners of Barrett's Brick Cafe, are behind on three payments to the bank. As of March 22, one loan of $6,506 was 72 days past due, and two loans totaling $3,159 were 76 days past due.

The Allmans couldn't be reached for comment Monday. They didn't attend Monday's meeting.

The committee met with bank representative Tom Rowe and decided to allow the bank to continue to work with the Allmans to restructure the loan or foreclose on the business. The committee didn't give the bank any direction as to which option to pursue.

In September, the committee agreed to modify the debt the Allmans owed to the city's revolving loan fund. The agreement allowed them to pay interest only payments for an undisclosed amount of time. The changes were made because of decreased cash flow at the business.

On Sept. 2, Barrett's Brick Cafe was granted one of the city's two newly created liquor licenses. The business was granted a Class B liquor license. Fiesta Cancun Authentic Mexican Restaurant also received a liquor license last fall. Three other applicants were denied their requests for licenses.

In March 2008, the Common Council approved a $100,000 loan for the Allmans to open a new restaurant in the Monroe Professional Center.

The money was to be used to cover $40,000 in equipment, $50,000 in building improvements and $10,000 for working capital.

The committee also decided Monday to allow Woodford State Bank to work with Jenson Chiropractic, Monroe, which also is a borrower from the city's revolving loan fund. The business filed for bankruptcy March 16. The clinic has a loan of about $25,500 from the revolving loan fund.

Jenson Chiropractic took out the loan in 2005, according to city attorney Rex Ewald, Monday.

Ewald said asking the bank to work with businesses is typical in these circumstances.

The revolving loan fund was created in 1993 to help local businesses with business start-up or expansion costs. As of Sept. 29, 2009, 19 loans, worth $1.3 million have been repaid.