The Blue Earth Economic Development Authority (EDA) made a significant change to their Utility Revolving Loan Fund terms, and then approved a loan application soon after the change was made.

The actions came at their regular monthly meeting on Thursday morning, Nov. 14.

EDA specialist Amy Schaefer proposed the change, which would drop the interest rate down to 0 percent for the first 24 months of loans up to $10,000.

“If the loan is fully repaid within this initial period, no interest would be collected,” Schaefer said. “For any balance that remains beyond 24 months, an interest rate of two percent would be applied to the remaining balance for months 25 to 60.”

Schaefer said the change is aimed at further supporting businesses within the Blue Earth community.

“This adjustment would provide businesses with a critical period of financial relief, encouraging growth and stability by reducing their financial burden,” she told the EDA board.

The EDA board members agreed with the plan and passed a motion to do just that, noting that since it is a revolving loan, the principal will be paid back and will be used to help other businesses.

The new terms for the revolving utility fund were put into place immediately and later in the meeting the EDA granted a Utility Loan application to Ryno Repair in Blue Earth, with the 0 interest for 24 months as part of the loan.

The loan request was for $9,000 and was for removing and replacing the old furnace and HVAC system at their business. The board approved the loan.

The board also approved a Commercial Improvement Forgivable Loan application for $5,000 from New Horizons Agency as part of a $13,500 construction project at their building in Blue Earth.

In other business at the meeting, the board also approved a request from two CEDA (Community and Economic Development Associates) interns who are working with the Blue Earth EDA.

Schaefer explained that the interns, Macy Becker and Katelynne Kratz, are working on a project to hold a Manufacturers Meeting to get Blue Earth manufacturing owners and managers together to discuss issues.

The EDA board approved the request for $300 to hold a first meeting in January of 2025. A representative of DEED (Department of Energy and Economic Development) will be the guest speaker.

The EDA Board also approved a new contract with CEDA to provide an EDA specialist to work in Blue Earth four days a week, or 32 hours per week. The charge is set at $88,852 for the annual contract which is a five percent increase, but city administrator Mary Athey pointed out that the city has received a $20,000 grant to REV which will go towards the contract amount.