What is the name of your state? Michigan
I am involved with a non profit entity that is in the business of making loans to businesses on low-mod income communities or units of general local government in low-mod communities. Today, I was alerted a Village Manager that their attorney was concerned with the Promissory Note that has been drawn up for a loan to the Village by the non profit. The loan is for a portion of the total finance package of a downtown infrastructure project that the village is performing. The Village Manager did not use the term "illegal" but he did say that the Village's attorney was concerned that the term "Promissory Note" was going to be an issue as it relates to the village.
Is anyone familiar with what the attorney could be concerned with? My search of this forum and the internet has not clarified anything for me, and I would like to have some sense of what the attorney might say when he calls to discuss the matter.
It's a little perplexing given that we have made loans to LDFA's (Local Development Finance Authorities) with the full faith and credit of the municipality of the LDFA, but that could be the difference and concern right there.
Thank you in advance for any comments or insight.What is the name of your state?
I am involved with a non profit entity that is in the business of making loans to businesses on low-mod income communities or units of general local government in low-mod communities. Today, I was alerted a Village Manager that their attorney was concerned with the Promissory Note that has been drawn up for a loan to the Village by the non profit. The loan is for a portion of the total finance package of a downtown infrastructure project that the village is performing. The Village Manager did not use the term "illegal" but he did say that the Village's attorney was concerned that the term "Promissory Note" was going to be an issue as it relates to the village.
Is anyone familiar with what the attorney could be concerned with? My search of this forum and the internet has not clarified anything for me, and I would like to have some sense of what the attorney might say when he calls to discuss the matter.
It's a little perplexing given that we have made loans to LDFA's (Local Development Finance Authorities) with the full faith and credit of the municipality of the LDFA, but that could be the difference and concern right there.
Thank you in advance for any comments or insight.What is the name of your state?