Portland Development Corporation — Portland, ME
Date: 2025-12-18
Time: 16:00

PORTLAND DEVELOPMENT CORPORATION
 Board Meeting

 DATE: Thursday, December 18, 2025
 TIME: 4:00 PM
 LOCATION: This meeting will take place remotely via Zoom.

 Please click below to join the webinar:
 https://portlandmaine-
 gov.zoom.us/j/85229414013?pwd=N2tESU9mMmUzZ000T1F4cVErZTRnQT09

 Phone one-tap:
 +13126266799,,85229414013# US (Chicago)
 +16469313860,,85229414013# US

 Webinar ID: 852 2941 4013
 International numbers available: https://portlandmaine-gov.zoom.us/u/kiIXpoqU0

 AGENDA

1. President's comments


2. Review and accept Minutes of November 19, 2025 Meeting.


 a. See attached Meeting Minutes from November 19, 2025.
 Review and vote on Brownfields Grant Request for $285,750 for Youth and
3.
 Family Outreach, 331 Cumberland Avenue.


 a. See attached memorandum and backup materials.
4. Update from Loan Criteria Evaluation Subcommittee.


 a. See attached memorandum and backup materials.
 Review and vote on Storefront Interest-free Loan Request for $20,000 from
5.
 Bad Neighbors, 511 Congress Street.


 a. Note: Pursuant to 1 M.R.S.A. 405(6)(F) and 5 M.R.S.A. 13119—A, the Board
 may go into executive session to review proprietary confidential information
 associated with this loan application.
 Review and vote on new loan request for $35,000 from Nash & Co., 417
6.
 Congress Street.


 a. Note: Pursuant to 1 M.R.S.A. 405(6)(F) and 5 M.R.S.A. 13119—A, the Board
 may go into executive session to review proprietary confidential information
 associated with this loan application.
7. Treasurer's Report - November 2025


 a. Monthly Administrative Budget Report
 b. Cash Management Report
 c. Schedule of Loans Receivable
 d. Confidential - Loan Delinquency Report
 Note: Pursuant to 1 M.R.S.A. 405(6)(F) and 5 M.R.S.A. 13119—A, the Board
 may go into executive session to discuss/monitor any of the loans listed on the
 Report.
8. Staff verbal update


9. Other Items to be discussed/brought up by Board Directors


10. Next Regular Meeting Date: January 15, 2025




City of Portland Commissions are not required to take public comment under FOAA and our Ordinance is
 silent regarding the duties of the Commission. The Commission has the discretion to not allow or allow
public comment during its meetings, including the authority to limit the duration of comments. Since the
 Commission makes recommendations to the City Council, public comment is available at that level.

PORTLAND DEVELOPMENT CORPORATION
 Board Meeting

 DATE: Thursday, December 18, 2025
 TIME: 4:00 PM
 LOCATION: This meeting will take place remotely via Zoom.

 Please click below to join the webinar:
 https://portlandmaine-
 gov.zoom.us/j/85229414013?pwd=N2tESU9mMmUzZ000T1F4cVErZTRnQT09

 Phone one-tap:
 +13126266799,,85229414013# US (Chicago)
 +16469313860,,85229414013# US

 Webinar ID: 852 2941 4013
 International numbers available: https://portlandmaine-gov.zoom.us/u/kiIXpoqU0

 AGENDA

1. President's comments


2. Review and accept Minutes of November 19, 2025 Meeting.


 a. See attached Meeting Minutes from November 19, 2025.
 Review and vote on Brownfields Grant Request for $285,750 for Youth and
3.
 Family Outreach, 331 Cumberland Avenue.


 a. See attached memorandum and backup materials.
4. Update from Loan Criteria Evaluation Subcommittee.


 a. See attached memorandum and backup materials.




 Page 1
 Review and vote on Storefront Interest-free Loan Request for $20,000 from
5.
 Bad Neighbors, 511 Congress Street.


 a. Note: Pursuant to 1 M.R.S.A. 405(6)(F) and 5 M.R.S.A. 13119—A, the Board
 may go into executive session to review proprietary confidential information
 associated with this loan application.
 Review and vote on new loan request for $35,000 from Nash & Co., 417
6.
 Congress Street.


 a. Note: Pursuant to 1 M.R.S.A. 405(6)(F) and 5 M.R.S.A. 13119—A, the Board
 may go into executive session to review proprietary confidential information
 associated with this loan application.
7. Treasurer's Report - November 2025


 a. Monthly Administrative Budget Report
 b. Cash Management Report
 c. Schedule of Loans Receivable
 d. Confidential - Loan Delinquency Report
 Note: Pursuant to 1 M.R.S.A. 405(6)(F) and 5 M.R.S.A. 13119—A, the Board
 may go into executive session to discuss/monitor any of the loans listed on the
 Report.
8. Staff verbal update


9. Other Items to be discussed/brought up by Board Directors


10. Next Regular Meeting Date: January 15, 2025




City of Portland Commissions are not required to take public comment under FOAA and our Ordinance is
 silent regarding the duties of the Commission. The Commission has the discretion to not allow or allow
public comment during its meetings, including the authority to limit the duration of comments. Since the
 Commission makes recommendations to the City Council, public comment is available at that level.
 Page 2
 DRAFT


 Minutes
 Portland Development Corporation Special Meeting
 Remote Zoom Meeting
 Held on November 19, 2025

​ A remote special meeting, via Zoom, of the Portland Development Corporation (PDC)

Board of Directors was held at 12:00 p.m. on Wednesday, November 19, 2025. Present from the

Board of Directors were Board President Kierston Van Soest and Directors Jon Berg, Eamonn

Dundon, Councilor Ben Grant, Assistant City Manager Dena Libner, Beverly Werber, and Nikki

Yanok. Board Directors Matthew Buonopane, Sam Dargan, Nathan Henry, and Scott Kleiman

could not be present. Present from City staff were Associate Corporation Counsel Avery Novak,

Program Coordinator Kaela Gonzalez, Business Programs Manager Nancy Martin, Principal

Administrative Officer Lori Paulette, and Housing and Economic Development Director Greg

Watson.

 Item #1: President’s comments.

 Ms. Werber opened the meeting at approximately 12:06 p.m. Board President Van Soest

joined shortly after.

 Item #2: Review and accept Meeting Minutes.

​ On a motion made by Mr. Dundon and seconded by Ms. Van Soest, the Board voted

4-3-0 (Ms. Werber, Mr. Berg, and Ms. Yanok abstained) to approve the meeting minutes for

September 18, 2025.

 On a motion made by Ms. Werber and seconded by Mr. Berg, the Board voted 6-1-0 (Ms.

Yanok abstained) to approve the meeting minutes of October 16, 2025.

 Item #3: Review and vote on Brownfields Subgrant Request of $400,000 from Roux

Institute, 1 Beanpot Circle.




 Page 3
 DRAFT


 Ms. Martin introduced the subgrant request for $400,000 from Northeastern University’s

Roux Institute, noting that the $400,000 is a small portion of the estimated $13 million in eligible

cleanup activities. Also emphasized was the project’s significant public benefits which include

jobs, education, childcare, and infrastructure. Maureen Hickey, from Northeastern University,

presented the project detailing the 13-acre site, the Alfond Center, the future Lunder Innovation

Lab, and the parking garage. The grant funds are needed to transport and dispose of

contaminated soil found during construction that was unanticipated. The site’s grade is being

raised over 11 feet, and the project has been designed with resilience in mind.

 On a motion made by Mr. Berg and seconded by Ms. Werber, the Board voted 7-0 to

approve the $400,000 Brownfields subgrant to Roux Institute.

 Item#4: Review and vote on loan request for $85,000 from Bachelder Holdings,

LLC, 9 Bolton Street

 Ms. Martin provided an overview of the loan request from Bachelder Holdings, LLC for

$85,000 to provide gap financing for Emily Bachelder, a long-time employee, to purchase the

business and building of Tony’s Donuts. The gap was created when the business appraisal came

in lower than the owner’s asking price. Emily Bachelder spoke about her deep personal and

family connection to the 65-year-old business, her financial investment, and growth plans. Ms.

Bachelder confirmed that the equipment is sound and will not require large near-term

investments.

 On a motion made by Mr. Berg and seconded by Ms. Werber, the Board voted 6-0 to

enter into executive session pursuant to 1 M.R.S.A. 405(6)(F) and 5 M.R.S.A. 13119-A, to

review proprietary confidential information associated with this loan application at

approximately 12:37 p.m. (Mr. Dundon left the meeting at approximately 12:30 p.m.).




 Page 4
 DRAFT


 The Board returned to public session at approximately 1:07 p.m.

 On a motion by Ms. Werber and seconded by Mr. Berg, the Board voted 6-0 to approve

the loan of $85,000 to Bachelder Holdings, LLC for a 10-year term at a 7.75% interest rate

pending receipt and review of the updated loan documentation and commitment letter from

Evergreen.

 Item #4: Treasurer’s Report- October 2025.

​ Ms. Paulette gave a brief overview of the Treasurer’s Report that was included in the

meeting materials.

 Item #6: Staff verbal update.

​ Mr. Watson provided an update on the zero-interest loan program, noting that there is

continued interest. One of those businesses did not continue pursuing the loan since it did not

own the building. Feedback has also been received, suggesting the loan program be more flexible

and allow for reimbursement of operating costs and staffing expenses instead of being limited to

infrastructure and visible street-facing improvements.

​ Ms. Martin also provided a brief overview of the loan criteria subcommittee, which will

meet in early December. The previously awarded $200,000 in CDBG funds for Job Creation

Grants is expected to be advertised early next year, following shifting federal guidance. And

lastly, early this month Ms. Martin submitted an application for additional CDBG funding for

another round of Microenterprise Grants.

 Item #7: Other Items to be discussed/brought up by Board Directors.

 No further items were discussed.

 Item #8: Next regular meeting date: December 18, 2025 (Business Award Event on

November 20, 2025).




 Page 5
 DRAFT


​ There being no further business, on a motion made by Mr. Berg and seconded by Ms.

Werber, the Board voted 6-0 to adjourn at approximately 1:17 p.m.

 Respectfully, Kaela Gonzalez




 Page 6
City of Portland | Housing and Economic Development Department
Gregory P. Watson, Director


 MEMORANDUM
TO: President Kierston Van Soest and PDC Board Members
FROM Nancy L. Martin, Business Programs Manager
CC: Greg Watson, Director, Housing and Economic Development Department
DATE: December 18, 2025
RE: Brownfields Subgrant Request of $285,750 from Youth and Family Outreach



PROJECT OVERVIEW:
The Portland Development Corporation is being presented with a $285,750 Brownfields subgrant
request from Youth and Family Outreach (YFO) to support environmental remediation as part of
the redevelopment of their property at 331-337 Cumberland Avenue. The project will demolish
the two existing structures to create one new structure that will provide affordable housing as
well as expanded childcare services.
BUDGET AND BACKGROUND:

Youth and Family Outreach is planning for new construction of sixty units of family housing in
one new construction building located on approximately 20,000 SF at 331-337 Cumberland
Avenue in Portland. At least 60% of the Low-Income Housing Tax Credit (LIHTC) Units will be
rented to households earning 50% Area Median Income (AMI) or less, and the remaining LIHTC
Units will be rented to households earning 60% AMI or less. Ten units will be pledged for use by
populations with special needs and will have project based vouchers. Thirteen units will be
handicap accessible (seven are required and YFO is pledging an additional six units).

This development will include a unique co-location of an established childcare facility with
mixed-income family housing. As an existing childcare facility, YFO currently has over 300
children on its waiting list; 95% of their families live in Portland and, at any given time, roughly
18% are unhoused. The expansion of the childcare facility would allow YFO to serve 50
additional children. The project has received all local approvals from the Portland Planning
Board.

The $285,750 in requested City subgrant funding will be allocated to a single task in the project,
specifically to fund temporary shoring and a retaining wall. EPA has confirmed eligibility for
this task. Consulting underwriter David McLaughlin assessed YFO’s financial capacity on behalf
of GPCOG for a Brownfields loan and subgrant for the same project, which was approved in
June 2025.




 389 Congress Street, Portland, ME 04101 – www.portlandmaine.gov – (207) 874-8683


 Page 7
TIMELINE:

Abatement of hazardous materials in the existing buildings will occur first, followed by
demolition of the existing buildings, and removal of contaminated soils to a licensed facility.

Estimated Schedule of Environmental Cleanup:
Beginning in December 2025: abatement of hazardous materials in existing buildings,
demolition, and removal of contaminated soils to licensed facility

Estimated Schedule of New Construction:
April/May 2026: construction start
November 2027: construction completion

RECOMMENDATION:
PDC staff (Nancy Martin) and underwriter (David McLaughlin) propose approving a
Brownfields subgrant of $285,750 to Youth and Family Outreach.


ATTACHMENTS:
 ● Underwriting assessment by David McLaughlin
 ● Budget provided by YFO




 389 Congress Street, Portland, ME 04101 – www.portlandmaine.gov – (207) 874-8683


 Page 8
 DAVID MCLAUGHLIN, UNDERWRITER

 June 19, 2025 for GPCOG, edited December 11 2025 for City of Portland

APPLICANT/BORROWER: Youth and Family Outreach

ADDRESS: 331 Cumberland Avenue, Portland, Maine

BROWNFIELDS SUBGRANT REQUEST: $285,750

PURPOSE: Funding the remediation costs of contamination at 331-337 Cumberland Avenue, Portland.
The estimated cost of cleanup is slightly over $1 million. The remaining funds will be provided by
GPCOG, DECD and YFO. This is part of a $27 million construction project to double the capacity of the
current childcare services to 110 and create 60 units of affordable housing for families. Completion of
the expansion is anticipated in November 2027. The project has received Planning Board approval.

OVERVIEW: YFO, a 501 (c) (3) non-profit organization which has been in operation since 1850, is
accredited by the National Association for the Education of Young Children, a level 4 on Maine’s Quality
Rating System and state licensed whose primary mission is early child care and education. They operate
the current childcare center that is to be expanded. They have owned the real estate at 331 Cumberland
Avenue, Portland since 1850.

YFO purchased the real estate at 337 Cumberland for $896M in 2018. The current project and request is
to double the size of the current childcare facility and add 60 units of family housing. There will be four
efficiency units that are approximately 378 SF, twenty four one-bedroom units that range from 534 to
700 SF, twenty-two two-bedroom that range from 670 to 931 SF and ten three-bedroom units that
range from 893 to 980 SF. Forty eight units will be rented to households earning 60% of AMI or less and
twelve units will be rented to households earning 100% of AMI or less. At less 60% of the LIHTC will be
rented to households earning 50% AMI or less. MaineHousing will be providing ten project based
Vouchers (20% of LIHTC units) for ten units that will be pledged for use by special needs. There will be a
community room, fitness room, office, indoor bike storage, trash room, laundry room and broadband
infrastructure. The second floor will have a separate unit to expand daycare by 50 for a total of 110
children.

The preliminary project cost and source of funding is as follows for the total project:

 SOURCES USES

Maine State Housing mtg. $10,790,000 Construction $21,540,000
Portland HTF 1,080,000 Financing 1,167,000
MSHA RLP 1,000,000 Development 2,000,000
GPCOG 700,000 Reserves 855,000
Other Soft debt 291,000 Soft costs 1,726,000
Other Credit Equity 405,000
Net Syndication of tax credit 9,061,000
SLIHTC 2,713,000
Deferred Development Fee 1,250,000

TOTAL $27,290,000 $27,290,000




 Page 9
They are in the process of securing the financing. Applications are being completed for submission to
Maine State Housing for permanent financing, a grant and the Low Income Housing Tax Credit, and to
the Federal Home Loan Bank for AHP financing and a grant. MSHA has issued a Notice of Intent and has
allocated the funds. The construction cost was estimated by Penobscot General Contractors. This cost
estimate was noted is subject to change, but noted that it anticipated increased costs until the
commencement of construction.

Phase I and Phase ll environmental site assessment has been completed. However, a new Phase I and II
site assessments will be required by MSHA. The current Phase ll report found evidence of
environmental hazards to include abandoned UST, lead and arsenic in the soil, but all within acceptable
limits. The study did suggest several voluntary steps that could be taken to further reduce
environmental risk. These recommendations are incorporated into the project costs. Maine State
Housing Authority has reportedly indicated this cleanup will be a condition of approval.

The current request is only for the first phase of the environmental cleanup of $1,060k. It is expected
that a request for subordination of this $400k loan will be made and approval is expected based on
preliminary information, but will be subject to a review of the final project.

FINANCIAL OVERVIEW: CPA audited statements of Youth and Family Outreach were provided and
reviewed. The major pertinent findings are as follows:

Youth and Family Outreach (000)

 2021 2022 2023 2024

Current Ratio 7.1 14.4 7.6 6.0
Working Capital 340 432 224 428
Net Assets 2,031 2,128 2,560 2,299
Total Debt. 579 541 534 587
Debt Worth Ratio. .29 .25 .21 .26
Revenues 1,712 1,211 1,084 1,428
Net Income 626 97 (102) 273
Debt Service Coverage. 28.0 10.0 1.0. 13.0
Excess Cash Flow. 783 260 0 370

 - YFO has a good working capital position as of 9/30/24 with a 6.0 current ratio and $428k in
 working capital. Both are above industry averages. This is the highest working capital position of
 the past eight years.
 - The current leverage is low .26 debt worth ratio and $2,299 in net assets. There has been
 consistent growth in net assets.
 - Debt service coverage is strong at 13.0 with $270k in excess cash flow after debt service in 2024.
 - YFO is in a strong financial position to support this project on a contingency basis if needed.

Project Operating Budget:

The application included cash flow projections with detailed supporting assumptions assuming
completion of the daycare center and residential units. They concluded that both the cost and revenue
projections were in line with industry benchmarks. Operations are projected to stabilized in the first




 Page 10
year with $192k in cash flow to service debt. The debt servicing requirements have not been included,
but is expected to result in debt service coverage in excess of 1.0.

COLLATERAL: A second mortgage on the commercial real estate located at 337 and 331 Cumberland
Avenue, Portland subject to prior debt of $500k with The Genesis Fund.

The appraised value of the combined properties is $1,588k for a loan to value ratio of 57%. GPCOG Is
well secured during the environmental cleanup phase.

It is anticipated that a request for subordination of this GPCOG Brownfield loan will be made as part of
the financing for the construction phase. That is still in the planning phase and a review of the project
will be made at the time of that request. A requirement of the expected future subordination request
will be subject to a review of the final budget that evidences adequate debt service coverage. I have
discussed this with YFO management who understands this requirement and process.

CONDITIONS:

 - Acceptable review of final project budget to include the remediation costs prior to closing
 - If a VRAP, letter of completion of clean up
 - Acceptable review of commitment letters from all other sources of financing and reasonable
 assurances from those sources that either all major preclosing conditions have been met or are
 expected to be met prior to closing.


 STRENGTHS / WEAKNESSES:

 - Project equity of 62%
 - YFO has a strong long term history in development and management of similar projects
 - YFO is financially strong and able to support project with combined $370k in excess cash flow
 and $428k in working capital
 - Portland has a housing shortage and there is a significant waiting list for both market and
 subsidized rental units. Daycare is also short in supply relative to the current demand.
 - Collateral position is 57% of property valuation

-

 - There were no significant noted weaknesses

RECOMMENDATION: I recommend approval based on the above noted strengths subject to the above
Conditions. It should be noted that this project is still in the planning stage and could be subject to
change. Any change though is expected to be more minor and should not impact the recommendation
or the proposed conditions. I have especially focused on the adequacy of capitalization of the project,
the capability of management and assuring that our collateral position is appropriate. All are noted as
strengths.




 Page 11
 Funding Sources Youth and Family Outreach 331-337 Cumberland Avenue Portland, Maine

 Non-Brownfields
 ABCA Budget Brownfields Funding Sources Funding Sources Totals All
ABCA Alternative 3 Tasks (Alternative #3) DECD* DEP** GPCOG* City Brownfields YFO Cost Share**** Totals Brownfields CDBG***
 Grants ($  250,000) ($  50,000) ($400,000) ($ 285,750) ($ 985,750) ($ 250,000) ($ 1,235,750)
 Loans ($300,000) ($ 300,000) ($ 300,000)
 Other ($ 50,000) ($ 50,000) ($ 50,000)
Task 1 QEP PM ($ 15,000)
St.Germain Invoice 20077 May 2025 3,891.75
St.Germain Invoice 20108 June 2025 1,920.25
St.Germain Invoice 20343 July 2025 2,464.75
St.Germain Invoice 20449 August 2025 1,767.25
St.Germain Invoice 20576 September 2025 ($ 10,890) 845.75
Task 2: QEP CIP, ABCA, RAP, Costing,
SSQAPPs ($ 20,000)
St.Germain Invoice 20077 May 2025 776.25
St.Germain Invoice 20108 June 2025 8,605.00
St.Germain Invoice 20343 July 2025 3,371.88
St.Germain Invoice 20449 August 2025 2,026.26
St.Germain Invoice 20576 September 2025 ($ 17,386) 2,607.00
Task 3: QEP EMMP (Completed) ($ 4,635)
St.Germain Invoice 20077 May 2025 753.75 -- -- --
St.Germain Invoice 20108 June 2025 1,425.50 -- -- --
St.Germain Invoice 20343 July 2025 1,602.00 -- -- --
St.Germain Invoice 20449 August 2025 853.75 -- -- --
Task 4: QEP Soil Characterization
Sampling and Testing ($ 15,400)
St.Germain Invoice 20108 June 2025 12,735.14
St.Germain Invoice 20343 July 2025 897.74
St.Germain Invoice 20576 September 2025 ($ 14,002) 369.00
Task 5: QEP Cover Systems Design
Assistance ($ 2,500)
St.Germain Invoice 20576 September 2025 185.00
Task 6: QEP Env Construction
Oversight ($ 9,000)

Task 7 QEP VRAP Summary Report ($ 8,500)

Task 8**: Contractor HBM Abatement ($ 72,590)
St.Germain Invoice 20449 August 2025 -- 180.00 --
Task 9***: Contractor Demolition and
Site Enclosure ($ 250,845) -- -- -- -- --
City of Portland Invoice INV-00122567 -- -- -- -- -- 7,520
Task 10: Soil Site Work and Loading ($ 403,288)

Task 11: Contractor Soil Transport and
Disposal ($ 361,722)

Task 12: Temp Shoring and Retaining
Wall ($ 285,750)

Total ($ 1,491,508)
5% Contingency ($ 74,575)
Grand Total ($ 1,566,083) 47,098.02 180.00 0.00 0.00 1,335,750.00 7,520.00 1,585,750.00
 Remaining Funding ($ 202,901.98) ($ 49,820.00) $700,000) ($ 285,750) $50,000) 1,288,471.98 242,480 1,530,951.98
Notes:
*DECD and GPCOG funding sources targeted for Brownfields Tasks (Tasks 1 - 7 and Tasks 10 - 12).
**DEP funding source targeted for Task 8: Contractor HBM Abatement.
***Task 9 is not Brownfields eligible. Target funding source for building demolition is Community Development Block Grant (CDBG)
****YFO Cost Share funding source targeted for Brownfields Tasks (Tasks 1 - 7 and Tasks 10 - 12).




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Proposed minimum wage increase detrimental to
Portland | Letter
  pressherald.com/2025/10/11/proposed-minimum-wage-increase-detrimental-to-portland-letter




Child care workers deserve to earn a living wage. They educate our children during the most
critical years of development. However, the proposed minimum wage increase in Portland to
$19 by 2028 presents a serious challenge for child care. We cannot simply raise prices or
absorb additional costs. Every dollar we pay must come directly from tuition, and the families
we serve are already stretched.

This puts us in a difficult position. While we fully support higher pay for our staff, raising it
without additional public investment means the burden falls on working families. And when
child care becomes unaffordable, parents are forced to cut hours, leave jobs or make unsafe
care choices. That’s a loss for them, for employers, and for Portland’s economy.

I’d encourage voters to vote no on the minimum wage increase, and be vocal supporters of
public investment in child care.

Camelia Babson-Haley
Portland

© 2025 The Portland Press Herald




 1/1
 Page 30
City of Portland | Housing and Economic Development Department
Gregory P. Watson, Director


 PUBLIC MEMO
TO: President Kierston Van Soest and PDC Board Members
FROM: Nancy L. Martin, Business Programs Manager
CC: Greg Watson, Director, Housing and Economic Development Department
DATE: December 18, 2025
RE: Discussion and possible action regarding loan evaluation criteria

Introduction:
Several members of the PDC indicated interest in creating guidance in evaluating the public
benefit of loans presented to the committee. These members met on December 9th and identified
a possible means to evaluate loans based on several guidelines that focus on jobs, geographic
location, and alignment with City and State strategies. The question of pegging interest rates to
public benefit was also discussed.

Recommendation:
Staff recommend discussion and a possible vote to adopt a trial period of six months in which
the attached criteria are evaluated with every proposed loan, and after that point revisiting the
issue of interest rate setting.



Attachment:

Summary of December 9th meeting on loan evaluation criteria




 389 Congress Street, Portland, ME 04101 – www.portlandmaine.gov – (207) 874-8683


 Page 31
 Summary of December 9th meeting on loan evaluation criteria


Present: Beverly Werber, Jon Berg, David McLaughlin, Scott Kleiman, Nate Henry, Greg
Watson, and Nancy Martin
Summary: Discussion centered on how to evaluate public benefits of loans presented to the
committee, and also how to set interest rates. Decided to create a procedure in which these 3 key
focus areas are included in all loans presented to the PDC:
 1. Jobs (retained, created, wages, and benefits)
 2. Priority location (as identified in Portland’s Comprehensive Plan)
 3. Alignment with City and State strategies such as City and State Economic Development
 Strategies and the City Council's priorities of Climate Change, DEI, Affordable Housing;
 as well as Industry (ie commercial waterfront or biotechnology, versus payday lending or
 dollar store)
The subcommittee agreed it would be best to see how this approach goes for a set period, before
addressing whether to set interest rates based on these focus areas.

Proposed matrix compiled by staff after the meeting to include in every proposed loan:
Focus Area 1: Jobs
How many jobs retained? _____________
How many new jobs created? _____________
Employee benefits provided? _____________
 4= Both health and PTO
 3= Health Care
 2= Paid Time Off
 1=Self-employed
 0 = None
Employee wages (staff requests additional guidance on this) ______________
 4 = above $30 per hour
 3 = $20 to $29.99
 2 = $ above min wage and below $20
 1 = current min. wage (as of 1/1/26, $16.75)
Focus Area 2: Priority Location ______________
(ie Waterfront, Downtown, Bayside, transit nodes)
 1 - Yes
 0 = No
Focus Area 3: Strategic alignment _______________
Alignment with City/State priorities and strategies, including Council Common Goals
 1 - Yes
 0 = No

TOTAL Public Benefit Score: ________________




 Page 32
 Portland Development Corporation
 Preliminary Draft Operating
 Report FY2026
 For Month Ending
 11/30/2025


Operating transfer from EDF 42,352
 ------------
 Total Funds Available 42,352

 Current Year to Percent
 FY2026 Expenditures Budget Month Date of Budget Balance
 Administrative Services $11,505 $0 10,395 90.4% 1,110
 Postage $200 $32 132 65.8% 68
 Travel, Training, Meetings $9,000 $8,153 8,153 90.6% 847
 Contractual Services $8,000 $0 2,178 27.2% 5,822
 Operating Transfer to Fin. $9,647 $0 0 0.0% 9,647
 Advertising $2,500 $0 0 0.0% 2,500
 Auto Expense Reimb. $100 $0 0 0.0% 100
 Printing & Binding $650 $105 490 75.4% 160
 Office Supplies $750 $0 0 0.0% 750

  Total FY2026 Expenditures $42,352 $8,290 21,348 50.4% 21,004




 Page 33
 FY2026 PDC CASH MANAGEMENT REPORT/Non-Brownfield Program

(Preliminary and Subject to Change)

 UDAG CIP CIP FAME FAME SSBCI TOTAL

 Period Ending: 11/30/2025 271 272 274 277 279

 Unrestricted Loans/Grants Restricted Unrestricted REDLP


Beginning Balance 313,854 378,861 186,269 741,056 2,998 1,623,038


Additions th Date No Updated MTD YTD MTD YTD MTD YTD MTD YTD MTD YTD


 Principal payments received 4,479 74,838 3,336 50,930 0 41,731 8,433 170,490 - 48,924

 Interest payments received from loans 3,087 55,898 67 1,409 1,000 7,001 8,528 97,239 338 56,266



 Interest Income 1,035 10,577 1,414 14,897 699 7,861 2,708 24,864 2 18,826



 Other Income/Adjustments - - - - -

 Pass Through From FAME/SSCBI - - - - -

Deductions


  FAME Annual Admin. Fee; Invoices


  Disbursements - Expenses (122,762) (2,507)


  Disbursements - Loans/Grants


Ending Cash Balance (Munis) 199,692 383,679 187,969 758,217 3,337 1,532,894


Less Reserves for: Loans


  Beautification Program (EC0301)


 Transfers not yet recorded (UDAG Int) (55,898)




Adjusted Ending Cash Balance 143,794 383,679 187,969 758,217 3,337 1,476,996




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 FY2025 PDC CASH MANAGEMENT REPORT - BROWNFIELD PROGRAM

(Preliminary and Subject to Change)

 Brownfield 1 Brownfield 2 (2016) Brownfield 3 Brownfield 10/1/2022 TOTAL

 278 280 281 280 RLF
 Period Ending: 11/30/2025
 Unrestricted Loans/Grants Restricted/Cleanup Restricted/Assessments Restricted/Cleanup



Beginning Balance 593,314 11,096 18,140 4,391,597 5,014,147


Additions MTD YTD MTD YTD MTD YTD MTD YTD


 Principal payments received 1,818 23,996 0 24,954 - -

 Interest payments received from loans 1,272 7,266 0 15,307 - -


 Interest Income 2,224 18,956 43 5,057 - -


 Other Income/Adjustments - 11,332 -

 Pass Through From FAME/SSCBI/EPA - - - -

Deductions

  FAME Annual Admin. Fee; Invoices


  Disbursements -Other (18,156)


Ending Cash Balance (Munis) 580,472 11,139 18,140 4,391,597 5,001,347

Less Reserves for:

Reserve For Commitments (55,396) 0 (3,736,424)

  Fund 280 Reserve for Administration

Adjusted Ending Cash Balance 525,076 11,139 18,140 655,173 1,209,528




 Page 35
 Portland Development Corporation
 Schedule of Loans Receivable
 For Month Ending November 30, 2025

 ----Committed/Disbursed Funds-----
 Date Maturity Original Not Yet Total Outstanding
Case ID Account No. & Name of Loan Date Loan Disb. Disb . Princ. Bal.
 --------------------------- ---------- ---------- -----------  ------- -------- ------------
 Portland Business Fund 271 (UDAG/Unrestricted):
 30124 Rosemont Market, Inc. 8/8/2019 9/1/2029 $150,000 0 $150,000 $52,345
 30179 Forefront Brick South, LLC 11/18/2016 12/1/2026 $100,000 $0 $100,000 $19,158
 30400 Friends and Family 3/10/2023 4/1/2027 $50,000 $0 $50,000 $20,880
 30423 Longfellow Property, LLC 6/26/2023 7/1/2030 $200,000 $0 $200,000 $192,424
 30514 Longfellow Property, LLC 5/6/2024 7/1/2031 $182,688 $0 $182,688 $175,682
 30681 Health Resonates 11/13/2025 11/1/2030 $125,000 $0 $125,000 $122,480
 Sub-Total PBF (UDAG) $582,968

 Portland Business Fund 272 (Restricted - CIP):
 30568 Cultivating Community 10/17/2024 11/1/2026 $80,000 $0 $80,000 $33,722
 Sub-Total PBF (Bonds/CIP Restricted)
 Portland Micro Capital Fund 271 (UDAG/Unrestricted):
 30250 Portland Trading Co. LLC 4/26/2013 8/1/2018 $15,000 $0 $15,000 $2,734
 $2,734
 Sub-Total Micro Capital Fund

 Portland Business Fund Fund 274 (CIP/Unrestricted):
 30062 On Time Transportation 3/26/2018 4/1/2023 $10,000 $0 $10,000 $762
 30070 Emerson, James (C19RR[Brick Trust]) 5/21/2021 6/1/2023 $10,000 $0 $10,000 $10,000
 30075 Dos Naciones LLC 3/3/2021 3/1/2023 $5,000 $0 $5,000 $5,000
 30316 Rankin WA, LLC 2/28/2022 2/1/2024 $5,000 $0 $5,000 $1,607
 30400 AAA Rue Marchie, d/b/a Timber 3/28/2023 4/1/2028 $40,000 $0 $40,000 $33,085
 30606 Luna, LLC 3/19/2025 11/1/2032 $69,000 $0 $69,000 $69,000
 Sub-Total PBF (Bonds/CIP Unrestricted) $119,454

 FAME Fund 277:
 30198 Auto-Care, LLC 2/5/2016 3/1/2021 $32,500 $0 $32,500 $18,567
 30061 Forefront Brick South, LLC 11/18/2016 12/1/2026 $250,000 $0 $250,000 $46,657
 30127 Gallery Acquisition Co. Inc. 5/16/2019 6/1/2026 $75,000 $0 $75,000 $10,640
 30125 Zootility Co. 8/7/2019 9/1/2024 $150,000 $0 $150,000 $122,197
 30416 Forefront Partners I, LP 5/31/2023 5/31/2033 $200,000 $0 $200,000 $164,584
 30530 Biodiversity Research Institute 8/22/2024 10/1/3031 $250,000 $0 $250,000 $244,710
 30536 Blackbird Baking, d/b/a Two Fat Cats 10/1/2024 11/1/2031 $40,000 $0 $40,000 $36,364
 30591 Salud Studios 11/19/2024 12/1/2030 $137,500 $0 $137,500 $121,904
 30605 Lebel Holdings, LLC 3/20/2025 5/1/2035 $200,000 $0 $200,000 $197,384
 30107 Biodiversity Research Institute 3/26/2021 4/1/2026 $200,000 $0 $200,000 $167,033
 30086 Driscoll Child Dev. Center 5/5/2021 6/1/2026 $60,000 $0 $60,000 $27,499
 30085 Flores Restaurant LLC 6/9/2021 7/1/2026 $38,000 $0 $38,000 $9,369
 30071 Wynsum, LLC 11/5/2021 12/1/2026 $131,250 $0 $131,250 $118,845
 30068 688 Forest Ave., LLC 12/21/2021 1/1/2027 $168,000 $0 $168,000 $150,028
 30527 Another Round 6/5/2024 8/1/2029 $225,000 $0 $225,000 $221,567
 30592 Yardie Ting 11/14/2024 12/1/2029 $45,000 $0 $45,000 $38,122
 30624 Kehben Grier 5/1/2025 1/1/2033 $80,000 $0 $80,000 $76,762
 30655 Reo Miyake LLC 9/18/2025 11/1/2030 $100,000 $0 $100,000 $99,355
 30654 Coco Miyake LLC 9/18/2025 11/1/2030 $100,000 $0 $100,000 $99,355
 30658 Eduardos Brazillian Grill One 9/25/2025 11/1/2030 $22,500 $0 $22,500 $22,500
 30656 Maine Foot and Ankle 9/25/2025 11/1/2035 $49,999 $0 $49,999 $49,999
 Sub-Total FAME $0 $2,043,440

 FAME GROW ME SSBCI 279
 30647 Eduardos Brazilian Grill One 9/25/2025 11/1/2030 $22,500 $0 $22,500 $22,500
 30649 Maine Foot and Ankle 9/25/2025 11/1/2035 $50,000 $0 $50,000 $50,000
 $72,500

 DOWNTOWN FUND 263:
 30636 Another Round 8/22/2025 10/1/3030 $8,000 $0 $8,000 $8,000
 Brownfields Loan Fund 278 and 280
 30515 Forefront Partners I, LP/Fund 280 5/31/2023 4/30/2033 $200,000 $0 $200,000 $188,725
 30072 Forefront Partners I, LP/Fund 280 4/12/2018 1/1/2032 $350,000 $0 $350,000 $298,059
 Sub-Total Brownfields $486,784


 Grand Total Loans $4,226,937 $0 $4,226,937 $3,349,601
 Allowance for uncollectable loans at 15% $502,440
 Total with Allowance for uncollectable loans: $2,847,161




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