WAUSAU, WI (WSAU) — Some business owners in Wausau impacted by the COVID-19 pandemic won’t have to pay interest until the spring.
Tuesday night the Wausau City Council approved a resolution to authorize City staff to defer interest and principal payments on existing City-provided loans and ground lease payments. Payments would be deferred for businesses who request the deferments during the COVID-19 pandemic emergency declaration.
City Finance Director Maryanne Groat explained to the council that the loans come from the Community Development Department and won’t impact the city’s operating budget. “They’re revolving loan funds. So they only make new loans to the extent that they have proceeds from either loan payments or a loan payoff with somebody that either pays off their loan or sells their property. It will reduce their opportunity to give new loans.”
Council members were in favor of the resolution, particularly District 11 Alder Deb Ryan who mentioned it would help businesses who won’t have additional help from the federal government in the new year. The resolution came from both the City’s Economic Development Committee and Finance Committee. District 7 Alder Lisa Rasmussen is a member of both committees and expressed her support for the resolution.
“I think we as a council have been trying to do all we can to support our businesses and help them to the extent that we’re able to help them. And given the fact that this doesn’t have a direct revenue impact on our operating budget. I think that obviously the pandemic isn’t going away anytime soon but it would be just one more small gesture that we could put out there to extend some of that help.”
The resolution was passed unanimously by the City Council. Interest and principal payments on existing City-provided loans and ground lease payments will be deferred until April 14th of 2021.
