The Madison City Council held the first reading of an ordinance Tuesday that would revoke the microloan enterprise grant fund.

The microloan program is one of two programs the city currently has. The loan program the Council is looking at revoking is not the same program that came under fire in 2011 when it was discovered there was a lack of oversight in how grants were handed out.

The microloan program was established in the 1990s and only two loans were given out, both of which have since been paid back. Officials said the ordinance will have no impact on the city's current loan program.

If passed, the ordinance will revoke the previous ordinance and pull the $29,973 from the microloan account and put it into the budget's General Fund.

The Council also held a first reading of an ordinance that would update the city's rules about permits for door-to-door salesmen.

"What we've done here is essentially tried to clean up an ordinance that was not followed," said City Attorney Joe Jenner. "And frankly, the way it read, you could charge $500 per person selling, which is, frankly, unconstitutional."

The second reading of both ordinances will be at the Dec. 3 meeting.

The Council also passed an ordinance that will revoke any ordinances dealing with dormant funds. The following funds will be eliminated by the ordinance:

• The nonreverting fund for the maintenance of Michigan Road

• The nonreverting fund for the maintenance of the Madison Family Service Center

• Police dog committee fund

• Meter division fund

• Madison rental rehabilitation project fund

• Home investment fund award

• Home investment partnership project fund

• Millennium project fund

• Lincoln Presbyterian Program income grant fund

• Madison-Jefferson County transit system fund

• Arts Alive fund

• Madison State Hospital reuse study fund

• Turning Point grant fund

• Madison beautification fund

• City downtown golf course fund

• Railroad clean-up fund

The Council voted 6-0 to approve the measure. Councilman Kevin Kellems was absent.

In other business, the Council approved a resolution moving $53,360 from those dormant accounts into the General Fund.