Penatecheck Water Special Committee Meeting - August 31, 2026
Penatecheck Water Special Committee Meeting - August 31, 2026
The Penatecheck Water Special Committee met on August 31, 2026 at 7:00 p.m. in the Aldermanic Chamber. All five committee members were present, establishing a quorum. Representatives from Penatecheck Corporation (Pen Corp) attended. The meeting focused on a resolution to renew the corporation's working capital line of credit with TD Bank.
Communications
- Two communications were accepted and filed without objection: a quarterly shareholder report from Pen Corp CEO for the quarter ended March 31, 2026, and a communication from the Office of Corporation Counsel regarding Resolution R25054 (a prior related item).
New Business – Resolution R26054
- George Torres, representing Pen Corp, presented a term sheet from TD Bank for the renewal of Pen Corp’s existing $4 million working capital line of credit. The line has been in place since 2014 in varying amounts.
- The new agreement is a three-year renewal (September 2026 through September 2029), extended from the previous two-year terms, reducing the frequency of committee appearances.
- The line of credit has identical terms to the prior facility: a floating interest rate based on the SOFR (Secured Overnight Financing Rate) plus 1.75%. Mr. Torres estimated the current rate at approximately 5%.
- The line of credit acts as a backstop for Pen Corp's subsidiaries: Pen Waterworks, Penn Water Service, and Pencheck Waterworks. It covers operational expenses and timing gaps, automatically drawing and repaying as cash flow fluctuates. It does not require regulatory approval beyond the committee and Board of Aldermen.
Key Outcomes
- The committee voted unanimously (all ayes) to approve Resolution R26054, authorizing Pen Corp to renew and extend the line of credit with TD Bank.
- The meeting adjourned at 7:06 p.m.
Meeting Transcript
She's gonna be the wood for Alderman. Sure. I'm gonna be the Wood 4 Alderman. Well, you live in Ward 4, right? I do. Yeah. Yeah. What the heck? I'm still under a side of the. Well, I wondered why. Okay. No one was on this side of the room. I don't know. I'm going to start the meeting. A meeting of the Penatecheck Water Special Committee was held August 31, 2026 at 7 p.m. in the Aldermanic Chamber. Let's get started by taking a roll call attendance. Mr. Clerk. Alderman at large, Laurie Wilshire? Here. Alderman at large, Michael B. O'Brien Senior. Alderman Thomas Lopez is here. Alderman James Rivon. Here. And Alderman Patricia Clee. I am here. We are all in attendance. We are all in attendance and we have quorum and so on. Also in attendance is uh John Boivert and George Torres from Penacheck. Um public comment. I don't see anybody here from the public. Uh communications. Communication from John J. Boivare, uh Chief Executive Officer of Penatech Corporation regarding quarterly report of the sole shareholders for the quarter ended March 31st, 2026. And Office of Corporation Council uh regarding R25054 authorizing Penatecheck Corporation to renew and extend the line of credit with TD Bank and A. There being no object objection, I will accept the communications and place them on file. Unfinished business? There is none. New business resolutions. We have R26054 authorizing Penatecheck Corporation to renew and extend its line of credit with TD Bank. And the motion? Okay. Are there any discussions in Mr. Beauvert and Mr. Torres? Would you like to come up and kind of give us a brief? How about those red socks that you have making Mickey Gasper back? That was a great game.
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