City of Evansville Loan Administration Board

The Loan Administration Board meets on a monthly basis to approve loans and to make any policy decisions necessary to implement the objectives of the loan programs and to effectively and efficiently administer the loan portfolio in accordance with the general and special terms and conditions set forth by the City of Evansville and the Economic Development Administration. 

The City of Evansville Loan Administration Board (LAB) consists of seven (7) members, of which

• Four (4) are appointed by the Mayor
• One (1) is appointed by the City Council
• Two (2) are appointed by the Evansville Regional Economic Partnership (E-REP)

LAB members are selected to represent areas of professional expertise in finance and commerce to include:

• Banking – two from separate financial institutions
• Legal/Accounting/Real Estate
• Business (major employer, commercial/retail)

The chairman of the Loan Administration Board will be elected on an annual basis.  Each member is appointed annually and shall serve a one-year term.  Entities appointing members to the board should provide for a diverse board with representatives from minority and/or female populations. 

A majority of LAB members in attendance at a meeting shall constitute a quorum allowing for official action.  A majority of those present may then approve or deny loan applications, determine interest rates, set terms, agree upon collateral, and authorize staff to initiate loan closing procedures.

Loan Funds

The City of Evansville provides for three separate Revolving Loan Funds (RLF). Specific objectives of these revolving loan funds are for small business development, job creation/retention, business expansion, and talent attraction.  Careful consideration should be given when preparing an application to a City of Evansville Revolving Loan Fund.  These are loans and are expected to be repaid in accordance with agreed upon terms in a timely manner.  Each of the revolving loan funds have specific criteria that must be met before the application will advance to the Loan Administration Board for review and approval.  These guidelines are outlined below. 

1. Community Revitalization Loan Fund (CRLF)

The CRLF is a locally funded program designed to provide a low-cost loan to small businesses located within or interested in locating within the focus neighborhoods of the City of Evansville.  Focus neighborhood boundaries are defined by the city of Evansville’s Department of Metropolitan Development (DMD) as those consisting of Census Tracts identified by the American Community Survey data as being of Low-to-Moderate Income and where business has declined.  These funds are meant to revitalize these commercial districts and neighborhoods.

2. Economic Development Administration Revolving Loan Fund (EDA-RLF)

Originally established in the 1980s with a grant from the U.S. Department of Commerce Economic Development Administration (EDA), the EDA-RLF provides funding to those businesses who may not otherwise be able to secure capital from the traditional financial institutions.  A turn-down letter from a financial institution is a requirement when seeking funds from the EDA-RLF.  Loans from the EDA-RLF support efforts of growing the employment base in the key industry sectors of advanced manufacturing and health sciences while also assisting businesses that add to quality of place for the attraction and retention of young talent. 

3. EDA-2022-RLF

Awarded by the Economic Development Administration in 2020, this fund initially focused on local small businesses who needed an infusion of capital to assist with the recovery from Coronavirus’ economic disruption.  On July 1, 2022, the funds entered what is known as the Revolving Phase and assumes criteria similar to that of the existing EDA-RLF requiring a turn down letter, interest rates tied to the Wall Street Journal Prime Rate and Davis Bacon and Related Acts.  Unlike the regular EDA-RLF, Federal Interest still applies and the loan is subject to an Environmental Review, which may include a Historical Section 106.  Therefore, applicants should notify DMD of the project purpose to determine to what extent it may affect Federal reviews. 

Applying for a Loan

The Applicant is responsible for the submission of a complete loan application package, which shall include the following:

• Completed and signed Loan Application;
• All supporting documents described in the Loan Application and listed within the application; and
• Any such additional documentation or information as is requested by the Indiana Small Business Development Center (ISBDC), the City of Evansville’s Department of Metropolitan Development (DMD), the Loan Administration Board (LAB) and/or its Compliance Partner, Old National Bank (ONB) to support an understanding of the project.

The complete loan application package must be submitted through the Indiana Small Business Development Center (ISBDC) located at 318 Main Street, Suite 401, Evansville, IN 47708; 812-425-7232.  Applicants are strongly encouraged to use the services of the ISBDC’s Business Advisors when creating the necessary business plan, compiling information for the loan application and for support as they continue to grow their business.  Once ISBDC determines that the loan application is complete, it will submit the application to DMD for initial review, DMD will then, if applicable, submit it to the Compliance Partner.   EDA loans are submitted to the Compliance Partner, while CRLF loans are not.  An EDA applicant must pay a processing fee of $100 to ONB when the application is submitted by DMD.

The Compliance Partner, Old National Bank (ONB), will provide a credit analysis and ensure that the application is consistent with the approved EDA-RLF or EDA-2022-RLF plans.  ONB shall make a recommendation as to its readiness for submittal to the City’s Loan Administration Board (LAB).  LAB meets on the fourth Friday of each month.  To allow for sufficient time to review by all parties, both CRLF and EDA applications must be submitted by close of business on the second Friday of the month.

LAB meetings are open to the public.  However, executive sessions often precede the public meeting to provide Board members an opportunity to discuss financial matters with the applicant in a closed meeting.  Final approval of the loan is a matter of public record and will be made in a public meeting.

Board details

Past meetings and minutes