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Karnes County's community newspaper
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(last updated on April 11, 2007)
Karnes City revolving loan fund is back
By Jason Clay Jansky
Karnes City’s once-depleted revolving loan fund is back in business.
Two account holders have paid off their loan from the city and one has had a judgment ruled against her in court over her delinquent loan.
The balance of the fund — which is state grant money given to the city to loan to prospective new businesses and the like — is at $9,606.
A loan previously made to the owners of the Firehouse Sandwich Shop was paid off last month. A loan made to Vivian’s Victorian Country was paid off late last year.
The $10,000 loan made to the owner of the now out-of-business 4B liquor store has, for the most part, yet to be collected on. The city took Erna Mae Pfeil to court and obtained a $9,800 judgment in January.
The liquor store was closed down a few months after thieves had broken in and stolen almost all of Pfeil’s inventory, a loss she estimated between $1,500 and $2,000.
The money currently in the city’s fund is available to be loaned out again, but City Administrator Larry Pippen said city council members will consider possible changes to the application process.
"I know we’re going to have some recommended (changes) for the future," Pippen said.
jjansky@thecountywide.com