The Mount Pleasant City Commission approved $300,000 of the general fund to go to low-interest loans for businesses along Mission Street for facade and site enhancement and new businesses. The proposal to approve the two reallocations was approved 4-3, with commissioners Jeff Palmer, Kathy Ling and Sharon Tilmann opposing.

The commission did, however, delay approving the reallocation of funds to the Downtown Development Authority for loans to purchase distressed property on Mission Street.

Commissioner David McGuire said he was uncomfortable with the DDA, a city-appointed board, having the final say over how taxpayer money is used.

“They could make a loan tomorrow on it,” he said. “I’d like to see some additional detail.”

The original motion to carry all three loan programs, made by Commissioner Jon Joslin, would have reallocated $400,000 to the Economic Development Fund. With the amendment, $300,000 was reallocated.

Ling said the timing of the reallocation is not appropriate with the city facing financial uncertainty.

“We are at a point of making some serious reductions,” she said. “I think taking $400,000, to transfer it before looking at other cuts … I’m just not comfortable with that.”

The purpose of the reallocation for zero-interest loans was to increase “curb appeal” of buildings that have stood vacant for a long period of time, such as the former Rooster’s, 1329 S. Mission St., according to a memo by Rich Morrison, director of community services.

Morrison said the effect in the delay of approval will be minimal, as there are no businesses interested in vacant property. He said the former laundromat at 1135 S. Mission St. was purchased between his writing of the memo and Monday’s City Commission meeting.

“I know the report to me was that it was no longer available,” he said.

Morrison said Monday he did not know who purchased the property.

Other business

The Commission also was presented with the final design for the Michigan Street redesign. The final plan will leave the driveway intact at 702 Michigan St. and the north side’s bumpout removed to increase parking spaces from five to six. The city is expected to begin construction in June.

The Commission also approved to hold a work session at 5:30 p.m. Feb. 18 to take a walking tour in regards to the campus connector with Main and Washington streets. The Commission will tour the area and discuss suggestions at a work session for the project.