Ed. Note: Edited to reflect the fact that the folks at SWO want the job creation conditions contained in their original loan with the City of Milwaukee removed before the loan is transferred to the non-profit Sweet Water Foundation.
Sweet Water Organics fell far short of its job creation goal for 2012, triggering a requirement that it repay around $63,000 of a city loan by March 1.
Sweet Water isn’t likely to meet that deadline, and is seeking changes in the loan terms, Milwaukee aldermen were told Monday.
If the company, which raises fish and vegetables, misses the deadline, the entire $144,199 balance is due by March 11, according to a report to the Common Council’s Community and Economic Development Committee.
Sweet Water has spent around $207,000, mainly on new hoop houses and fish production equipment.
According to the terms of its loan agreement with the City of Milwaukee, Sweet Water “Organics” needed to have 21 full-time workers by the end of 2012 in order to have its loan payment for that year waived. As reported by Tom Daykin of the Milwaukee Journal Sentinel, Sweet Water had just 2.35 jobs.
Not surprisingly, the folks at Sweet Water “Organics” now want the Milwaukee Common Council to change the loan’s terms to include a provision the nonprofit Sweet Water Foundation to take over the loan
and the task of creating more jobs while the job creation requirements would be removed from the loan. Members of the Common Council’s Community and Economic Development Committee have asked Sweet Water to create a specific proposal on how the nonprofit Sweet Water Foundation would create jobs. I find it incredibly hard to believe that the nonprofit Sweet Water Foundation would be any more successful in creating jobs than the for-profit arm of Sweet Water was.
To read more on the myriad of problems that have plagued Sweet Water “Organics,” click here.