| Trade name | SAFE-BIDCO |
|---|---|
| Company type | Non-depository lender |
| Industry | Financial services |
| Founded | 1981; 43 years ago (1981) |
| Founder | California State Legislature |
| Defunct | September 18, 2017 (2017-09-18) |
| Fate | Seized and liquidated |
| Headquarters | Santa Rosa, United States |
| Area served | California |
| Key people | Mary Jo Dutra (CEO, noted in reports) |
| Products | Small business loans, state loan guarantees |
| Services | Financing for alternative energy equipment, farm loans |
| Owner | State of California |
State Assistance for Enterprise, Business and Industrial Development Corp, better known as SAFE-BIDCO, was a United States non-depository lender set up by the California State Legislature for financing of small business loans in California. SAFE-BIDCO was based in Santa Rosa, California until its closure in September, 2017.
History
SAFE-BIDCO was established in 1981 to provide loans to small businesses for the purpose of manufacturing or purchasing alternative energy equipment.
In 1986 its mandate was expanded to include non-energy-related loans to minority owned small businesses or exporting companies.
In 1997, the organization expanded its mandate to serve State Loan Guarantees to Northern California. In 2011, SAFE-BIDCO was authorized to use state loan guarantee trust fund capital to help secure farm loans, guaranteed by the USDA.
In April, 2017, the State Auditor released a report warning SAFE-BIDCO was at high risk of insolvency. The report also noted, "Despite its declining financial position, SAFE-BIDCO has imprudently spent its limited funds on questionable items such as continuing with a business development contractor that did not meet his performance milestones for several years. Additionally, during fiscal years 2011–12 through 2015–16, SAFE-BIDCO's chief executive officer Mary Jo Dutra made 16 out-of-state trips and one international trip to Ireland."
On September 15, 2017, the state Department of Business Oversight ordered the seizure of SAFE-BIDCO, announced plans to liquidate the state-chartered nonprofit, and appointed Robb Evans as Special Commissioner.
On September 18, 2017, the state Department of Business Oversight seized SAFE-BIDCO.
References
- "CAL. FIN. CODE § 32301 : California Code - Section 32301". findlaw.com. Retrieved 8 August 2014.
- "Banking: SAFE-BIDCO expands ag lending – North Bay Business Journal - North San Francisco Bay Area, Sonoma, Marin, Napa counties - Archive". northbaybusinessjournal.com. Retrieved 2014-04-29.
- "City of Anaheim - Low-Interest Energy Efficiency Loan Program". anaheim.net. Retrieved 2014-04-29.
- ^ "Order Taking Possession of Property and Business" (PDF).
- ^ "State seizes SAFE-BIDCO, will liquidate Santa Rosa lender". Santa Rosa Press Democrat. 2017-09-18. Retrieved 2017-10-20.
- Kolanowski, Bernard (2011). Small-scale Cogeneration handbook. Fairmont Press. p. 75. ISBN 9780881736632.
- "An Evaluation of the State's Alternative Energy Finance Progralll (SAFE-BIDeD)" (PDF). California Legislative Analyst's Office. January 1989. Retrieved 8 August 2014.
- "Small business lending: local forum on Thursday". napavalleyregister.com. Retrieved 2014-04-29.
- "At Risk of Insolvency, It Needs Increased Oversight if It Is to Receive State Funding and Continue to Help Small Businesses in California Gain Financing" (PDF).
- "Certificate of Appointment" (PDF).