RANGELEY — A newly formed nonprofit, Saddleback Foundation Inc., is seeking a loan guarantee from the United States Department of Agriculture’s Community Facilities Program to cover a $10 million bank loan to assume a portion of Saddleback, Inc.
The USDA application will be discussed at the next public Saddleback Foundation Inc. board meeting set for 6 p.m. May 3, at the Saddleback Ski Lodge.
With the 10-year anniversary of the Berry family’s ownership of the ski resort coming this fall, it’s time to re-evaluate where we are, where we’re going and how to accomplish it better, Faith Berry said.
“The biggest goal of the Berry family is to provide affordable skiing and local jobs,” she said.
The new nonprofit needs the loan to go forward as it assumes governance of the trails, lifts, lodge, equipment garage and a 723-acre portion of the ski resort located in Sandy River Plantation. Saddleback Inc. will maintain ownership of the resort.
The $10 million loan is intended to pay off the existing bank loan, replace the Rangeley double chairlift with a quad lift and allow some funds for operation, she said.
Under the USDA program, the bank does not shoulder the risk, so they don’t need to worry about advancing the money. The program provides a 90 percent guarantee on the loan, she said.
The USDA program is intended to help provide for services and employment within rural areas.
Although the application process has been intensive and required time to complete, the USDA decision is expected soon and could start the ski lift replacement now.
“If we get USDA approval in time, we’ll replace it immediately,” she said.
Other than the chairlift update, skiers won’t see the difference under the new dual nonprofit operation.
It will be the same big mountain ski experience and the same employees. Some will work for one nonprofit and some for both, she said.
Condominiums, land and rental operations remain with Saddleback, Inc.
The change also allows the foundation to pursue grants and funds to run more summer programs, she said.
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