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HomeMy WebLinkAbout~Master - CEBA funding agreement re: Phasient Learning Technologies RESOLUTION NO.08-005 RESOLUTION APPROVING CEBA FUNDING AGREEMENT WITH PHASIENT LEARNING TECHNOLOGIES,LLC,AND IOWA DEPARTMENT OF ECONOMIC DEVELOPMENT FOR THE CITY OF AMES,IOWA WHEREAS,Phasient Learning Technologies,LLC,is an Ames-based e-learning company engaged in web- based training solutions,and its products and services include development of courseware,learning management systems, and course development tools; and, WHEREAS, the company began operations in January 2002, and beginning in 2004 has seen steady increases in sales; and, WHEREAS, Phasient has received approval for financial assistance from the Iowa Department of Economic Development (IDED) for direct assistance in the amount of a $100,000 CEBA loan, and IDED's assistance is for a prof ect to fund the expansion of Phasient's Learning Management Systems through development and direct sales of new e-learning technologies at the Ames location; and, WHEREAS,the project involves acquisition of computer hardware/software,research and development, working capital, and job training; and, WHEREAS,this project will increase full-time employment at the site by 24 employees,and Phasient will be investing company funds totaling$4,175,000 for the project; and, WHEREAS, the local match for the project is a $20,000 no-interest Revolving Loan Fund loan to be funded by the City; and, WHEREAS,the company received assistance for a previous project,and the company repaid its loan with the City on time,however, it did not meet the employment target and owes a penalty of$12,500; and, WHEREAS,the company has asked to pay this penalty from the proceeds of the new Revolving Loan Fund loan. NOW,THEREFORE,BE IT RESOLVED by the City Council of the City of Ames,Iowa,that the CEBA funding agreement with the Iowa Department of Economic Development and Phasient Learning Technologies, LLC, is hereby approved, and the mayor is authorized to enter into a Revolving Loan Fund agreement with Phasient Learning Technologies,LLC,for a$20,000 no-interest loan with$12,500 of proceeds to be used for the employment penalty on a prior loan agreement. ADOPTED THIS 8th day of January,2008. Diane R. Voss, City Clerk Ann H. Campbell, Mayor Introduced by: Popken Seconded by: Goodman Voting aye: Doll, Goodman, Larson,Mahayni,Popken,Rice Voting nay: None Absent: None Resolution declared adopted and signed by the Mayor this 8tn day of January, 2008.