Framed Pictures

Published 12:00 am Friday, April 6, 2012

Framed Pictures owes city for loans

By Rupert Howell

City officials told their legal department to commence action to collect the debt owed by Framed Pictures, Inc. through the city’s revolving loan fund during an executive session held at the end of Tuesday afternoon’s meeting.

Attorney Colmon Mitchell estimated $457,518 owed to the city with approximately $70,000 of that amount being in arrears.

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The debt is from two economic development loans offered by the city through North Delta Planning and Development District.

The low interest loans were established to stimulate growth in local industry. The loans are also backed by personal guarantees of the company’s owners.

The debtor has the option to pay the arrears portion and continue to make the monthly installments, pay the full amount or have the court adjudicate the collateral.

Also during the executive session, Tri-Lakes Medical Center officials and city officials tentatively agreed on a price to purchase six to 8.5 acres of city-owned property adjacent to the current medical facility.

Mayor Jerry Autrey later confirmed that aldermen were ready to move forward with the sale after Tuesday’s presentation by Tri-Lakes officials noting that it would be a boost to the local economy and calling it a “no brainer.”

The presentation was held behind closed doors only because land price negotiations were involved with Autrey later stating that aldermen seemed satisfied with the price offered by Tri-Lakes.

Tri-lakes’ presentation included a “needs by specialty” chart indicating the company’s physician recruitment plans and proposed medical office buildings to house them.

Mayor Autrey said Tri-Lakes appears to have plans in place to proceed.