RES 16-23Resolution 16-23
A Resolution of the City of Elk River Approving Loan Agreement for Die
Concepts Project
WHEREAS, the City Council (the "Council") of the City of Elk River (the "City") has
received a proposal from F & M Properties, LLC (the `Borrower") that the Economic
Development Authority of the City of Elk River (the "EDA") enter into Loan Agreement (the
"Loan Agreement") and related documents in connection with a loan to the Borrower in the
amount of $185,200 (the "Loan") pursuant to the EDA's Microloan Program (the
"Program').
WHEREAS, the EDA has approved the Loan and the Loan Agreement on this same date
and a copy of the Loan Agreement is on file with the City Clerk.
NOW THEREFORE, BE IT RESOLVED by the City Council of the City of Elk River as
follows:
Section 1. Business Subsidy.
1.01. The Loan constitutes a business subsidy within the meaning of Minnesota
Statutes, Section 116J.993 to 116J.995 (the `Business Subsidy Act'D, and the Loan Agreement
includes a "business subsidy agreement" as required under the Business Subsidy Act.
1.02. The City has adopted a Business Subsidy Policy (the "Subsidy Policy"), which
sets the general criteria for all types of subsidies granted by the EDA, all as required under the
Business Subsidy Act.
1.03. On the date hereof, the City held a public hearing on the Loan in accordance
with the Business Subsidy Act.
Section 2. Consent.
2.01 In accordance with Section 116J.994, Subd. 3(d) of the Business Subsidy Act, the
City hereby approves the Loan Agreement and consents to the EDA entering into the Loan
Agreement and related documents with the Borrower.
2.02 The City hereby approves the Loan in accordance with the Loan Agreement in
substantially the form on file with the City's Economic Development Director together such
modifications thereof, deletions therefrom and additions thereto as may be necessary and
appropriate and approved by legal counsel to the EDA and by the President and Executive
Director of the EDA prior to executing said documents and the City further; and said officers are
hereby authorized to approve said changes on behalf of the EDA. The execution of any
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instrument by the President and Executive Director shall be conclusive evidence of the approval
of such document in accordance with the terms hereof.
Passed and adopted this 18'hday of April 2016.
join J ietz, idayor
ATTEST:
Tina Allard, City Clerk
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