The Balaton Economic Development Authority on Monday crossed all the “T”s and dotted the “I”s on a $30,000 mortgage/loan to the City of Balaton as a means to help keep the town’s struggling municipal liquor store open.
The mortgage comes with a number of conditions, including the caveat that once the business dips into the loan — if it comes to that — the City and the EDA, in an effort to be proactive, will begin a discussion about the future of the business.
“They have $29,000 in the account right now,” EDA Director Greg Erickson said, “and when all that money is gone and they need to take money from the $30,000, that triggers the council and the EDA to say, ‘Now it’s time say, ‘OK, what are we doing? Are we going to burn through the $30,000 and then do something?’ That’s the time to say, ‘We’ve got $30,000 left to make it run until we get it sold.’ Hopefully it doesn’t come to that.”
EDA member Tara Onken said the City wants to avoid closing the business and then selling it. She calls the $30,000 a cushion to keep the liquor store operational.
Erickson did note that the liquor store has been busier since the town hall hearing earlier this month.
Other conditions of the note (at 3% interest) include: the borrower can only use the funds for operational costs for the liquor store; shall provide to the EDA, monthly — and at any other time requested by the EDA — a financial statement and/ or any other information about the business and its operation during the period of the loan; the borrower shall, at the request of the EDA, provide a computation as to the number of employees working at there, and their hours worked and hourly wages at any time during the period of said loan; the borrower shall ensure that the manager and any other necessary staff or officials, as determined by the EDA, meet with the EDA on monthly basis to review operations and shall allow the EDA access to the store for purposes of inspecting and evaluating operations.
The building itself will serve as collateral for the loan. Also, EDA members Randy Miller and Mike Wall were appointed to the liquor store sub-committee, joining council members Tracy McCloud and Dylan Fricke. They will meet on a bi-weekly basis initially, Onken said.
As of Jan. 26, 2026, the liquor store’s bank account balance stood at $29,934.07, with $6,850.07 in outstanding checks and $4,090.36 in outstanding unpaid bills, for a total estimated available balance of $18,993.64.
• On Jan. 22, the Balaton City Council officially labeled a dog in Balaton “potentially dangerous,” and gave the owner 30 days to comply with the City’s ordinance. The issue about the dog arose after it attacked another dog in town in 2025.
