RES 17-01 HRA City of
Elk aft*,� City of Elk River
River Housing and Redevelopment Authority
Resolution 1 7-01
A Resolution of the Housing and Redevelopment Authority of the City of Elk
River Approving Loan Agreement and Related Documents (Truck Shop, Inc.
Project
•
WHEREAS, the Board of Commissioners (the "Board") of the Housing and
Redevelopment Authority in and for the City of Elk River (the"HRA") has received a
proposal from Truck Shop,Inc.,or an affiliate thereof(the"Borrower") that the HRA assist
in financing the Borrower's acquisition of certain real property (the"Development
Property")in the City of Elk River,Minnesota(the"City"),removal of existing substandard
buildings and the construction of a new light maintenance facility with related office and
storage space to be located on the Development Property by providing a loan to the
Borrower in an amount of up to$75,000 (the"Loan") pursuant to the HRA's Blighted
Properties Forgivable Commercial/Industrial Loan Program (the"Program").
WHEREAS, the HRA has caused to be prepared a Loan Agreement (the "Loan
Agreement") with the Borrower setting forth, among other things, the terms and conditions
under which the HRA will make the loan, a copy of which is on file with the Executive
Director.
NOW, THEREFORE, BE IT RESOLVED by the Board of Commissioners of the
Housing and Redevelopment Authority in and for the City of Elk River as follows:
1. Subject to a determination by the City that the Development Property satisfies the
conditions necessary to create a redevelopment tax increment financing district in
accordance with Minnesota Statutes, Section 469.174, subdivision 10, the Loan Agreement
as presented to the HRA, together with all related documents necessary in connection
therewith, including without limitation, a Promissory Note from the Borrower evidencing
the Loan, a subordinate mortgage, an entity guaranty from Beaudry Oil and Service, Inc.,
or an affiliate thereof, and a personal guaranty from Kenneth J. Beaudry (all as defined in
and described in the Loan Agreement) (collectively, the "Loan Documents") are hereby in
all respects approved, in substantially the form on file with the City's Economic
Development Director; and the President and Executive Director are hereby authorized
and directed to execute the Loan Agreement and any Loan Documents to which the HRA
is a party on behalf of the HRA and to carry out, on behalf of the HRA, the HRA's
obligations thereunder.
2. The approval hereby given to the Loan Documents includes approval of such additional
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details therein as may be necessary and appropriate and such modifications thereof,
deletions therefrom and additions thereto as may be necessary and appropriate and
approved by legal counsel to the HRA and by the President and Executive Director prior to
executing said documents; and said officers are hereby authorized to approve said changes
on behalf of the I-IRA. The execution of any instrument by the President and Executive
Director shall be conclusive evidence of the approval of such document in accordance with
the terms hereof. In the event of absence or disability of said officers, any of the
documents authorized by this Resolution to be executed may be executed without further
act or authorization of the Board by any duly designated acting official, or by such other
officer or officers of the Board as, in the opinion of the City Attorney, may act in their
behalf.
Passed and adopted this 1st day of May, 2017.
Flrerrt4
arrY To , Chair
TTES :
I _ _ LAA
A'Tr
da 0 iTirdt, Executive l irector
B IIIE R E T