By John Howell
Batesville city officials are racing — if actions of government can so be described — to complete a small business loan program that would be available city-wide for loans up to $20,000 with no interest for the first year.

The two-year loans would be open to any Batesville business and are intended to assist with preparations for the influx of visitors anticipated for the Polar Express Train Ride. Three percent annual interest would apply to the second year of the loan.

Rides are scheduled to begin November 20, prompting the sense of urgency among city officials to expedite preparations.

The mayor and aldermen met in recess Friday to hone criteria for the loan initiative that Alderman Teddy Morrow first introduced at the Sept. 15 meeting.

Under the terms expected to be finalized during another recess meeting at 10 a.m. Thursday, October 1, the total amount to be loaned would be 20 percent of the money available in the city’s revolving economic development fund at the time of application. Officials said during Thursday’s meeting that the current balance on hand is $1.2 million.

Aldermen Morrow, Eddie Nabors, Bill Dugger and Ted Stewart and Mayor Jerry Autrey were joined via phone by North Delta Planning and Development District Director James Curcio. Curcio’s agency acts as the loan screening committee for the city’s revolving economic development loan account.

During the discussion city officials and Curcio clarified criteria for the smaller loans, including relaxing collateral requirements.

Curcio told the mayor and aldermen that NDPDD could turn around applications in 24 hours if complete information is provided.

“I view the Polar Express as an economic development project that’s got the potential to repeat, year after year. I would like to incentivise these loans to achieving that goal,” Nabors said.
“Is there some type of scoring criteria that need to be used?” Morrow asked.

After further discussion, the mayor and aldermen agreed that applications would require information about how the money would be used, but that almost any use — from improving building facades to adding inventory would come under the umbrella of preparing for the influx of visitors. The final approvals for the loans will come from the board of mayor and aldermen.
The revolving economic development loan program was created in the early 1990s to help fund local economic development projects. The city has made at least 12 loans ranging in amounts from $100,000 to $500,000 to local business and industry and one loan of $700,000 to Panola County in connection with the Batesville Civic Center.