Lake County Indiana Economic Development Commission Meeting - August 24, 2026

The EDC met to consider two loan matters: a proposed modification for Standard Industrial Supply's equipment loan and a default notice for DM Sullivan LLC's property loan. Both borrowers were present. Commissioners Mike Repay and Dan Spitali were present; Nick Triana was absent. Attorney Alex Kutinovsky participated by phone.

Consent Calendar

• Approval of minutes from August 13, 2026 meeting. Motion carried 2-0-1.

Discussion Items

Standard Industrial Supply Loan Modification

• Director Tim Brown presented an asset purchase agreement whereby Ron Sardo would acquire Standard Industrial Supply's assets for $1.2 million. From that, $160,000 would be used to pay down the EDC loan, originally with an outstanding balance of $317,612.20. The borrower (Mike, owner of Standard Industrial Supply) argued that the equipment would fetch far less at auction and that the new owner intends to keep employees employed and maintain operations. Commissioners questioned the valuation of the specialized equipment. Attorney Kutinovsky recommended that if $160,000 is in line with or exceeds the equipment's value, the commission should proceed; otherwise, seek a valuation. He noted the costs of seizing, storing, and selling the equipment. Commissioner Spitali made a motion to accept the loan modification subject to Kutinovsky's final review and confirmation that job obligations (low/moderate income) were met. Motion seconded by Repay and carried 2-0-1. The borrower urged a quick timeline as the buyer is anxious.

DM Sullivan LLC Default Notice

• Director Brown presented a letter declaring DM Sullivan LLC in default on its real property loan, giving 90 days (until November 25, 2026) to resolve the obligation. The borrower, Mr. Sullivan, noted his father's death led to the LLC's dissolution by the state. Commissioner Spitali expressed strong opposition to any additional funding or forgiveness, noting that real property is easier to liquidate than equipment. He stressed that the commission is not in the business of forgiving loans and that Mr. Sullivan should seek a mortgage or payment plan elsewhere. Commissioner Repay agreed, emphasizing that time is of the essence. Attorney Kutinovsky cautioned against transferring the property to a new LLC, as it would complicate matters and could constitute a default. No action was taken beyond the already-sent default letter. Mr. Sullivan was advised to obtain legal counsel.

Key Outcomes

• Approved modification of Standard Industrial Supply's loan (accept $160,000 in full satisfaction of the equipment loan) subject to attorney review and job obligation verification. (2-0-1)
• Default letter for DM Sullivan LLC sent, giving until November 25, 2026, to cure. No additional funding or forgiveness offered. No vote taken on this item.
• Meeting adjourned at 10:33 AM Central.