City of Yachats increases amount of individual business loans to $10,000

The city of Yachats’ business loan program that hasn’t drawn much interest has increased the amount of money available to $10,000.

The city began a low-interest business loan in April as a way to help struggling businesses stay afloat during and after coronavirus restrictions on their shops and restaurants. It directed $100,000 to a non-profit program based in Springfield to manage, offering 2 percent interest on loans and a deferred start on payments. The loan amounts were limited to $4,000.

But only two businesses applied.

One business owner recently approached Mayor John Moore to ask if the City Council would consider raising the loan amount, saying that costs to restart were substantially more than $4,000.

Moore brought the idea up to the council last week and they agreed unanimously to raise the loan amount to $10,000.

The loan program is different that a grant program being run by Yachats Community Presbyterian Church, which has given out $68,000 to 21 Yachats businesses since it started in April. The church is using donated money and because they are grants no repayment is necessary.

In other business last week the council:

• Unanimously approved rezoning the former main station of the Yachats Rural Fire Protection District on West Second Street to commercial, which would allow a range of uses by a new owner from everything to operating a business or using it for multi-family housing.
• Asked the Planning Commission to include street lights in its development of new regulations on residential and commercial lighting. The request came after Rik Arndt, who lives on Ocean View Drive, wrote a letter to the council expressing his frustration of trying to get a response to shield or turn down an LED streetlight owned by Central Lincoln People’s Utility District but apparently controlled by the city that shines into his house.
• Heard that there were four qualified responses to the city’s request for proposals to run the Yachats Visitors Center for the next two years. The city funds the center with $65,000 from lodging taxes. The Yachats Chamber of Commerce currently holds the contract.