PLACENTIA : Chamber’s Grant Request Put on Hold
The City Council has postponed action on a request for a $20,000 grant sought by the Placentia Chamber of Commerce, saying it would consider the donation during the regular budgetary process in June.
Chamber executive director Dave Musgrove told the council in a letter last week that the chamber faces a financial crisis and asked for a special onetime donation. The chamber, which is supported by dues from local businesses, has experienced a decline in paying members.
The city has also decreased its financial contribution to the chamber from $18,000 three years ago to $5,000 in the current fiscal year.
“They’re asking for a onetime grant of $20,000 to help them regroup and correct their financial position,” City Manager Robert D’Amato said.
D’Amato said that the chamber’s budget is about $73,000 a year and that the chamber anticipates a $7,800 shortfall this year.
The council voted to receive and file the chamber’s request, which essentially denies the request. However, Mayor Maria Moreno said the council will consider the request in June when it begins formal budget proceedings.
The city could consider making an interest-free loan to the organization, Moreno said.
“I would like to see several options brought to the council,” Moreno said. “If, in reality, they are in a crisis, we could possibly make a loan now.”
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