A. Whenever a borrower of a commercial loan is in default on a debt to a senior creditor and the repayment of the loan is in jeopardy, the City Manager is hereby authorized to take all actions necessary to protect the City’s financial interests including but not limited to making advancement to senior creditors, foreclosures, bidding for and acquiring the secured property and expending sums in excess of ten thousand dollars.

B. Whenever a borrower of a commercial loan is in default on the debt to the City, the City Manager is hereby authorized to proceed with foreclosure and/or liquidation of assets pledged. Such proceedings are to be taken only after all efforts to cure the default have failed. The City Manager is also authorized to take all other action to protect the City’s financial interests including, but not limited to acquiring secured property and/or assets and expending amounts in excess of ten thousand dollars.

C. The City Manager is authorized to rent property and/or other assets acquired pursuant to this chapter on a month-to-month basis pending its ultimate disposition by the council.

D. A report from the City Manager setting forth the basis of any actions taken pursuant to this chapter, the amounts expended, and the sources of funds used shall be transmitted to the council within ten days after taking such actions. (Ord. 5635-NS § 4, 1985)