4.7. SR 12-17-2018 Eclty1� ,.,�� Request for Action
River
To Item Number
Mayor and City Council 4.7
Agenda Section Meeting Date Prepared by
Consent December 17, 2018 Cal Portner, City Administrator
Item Description Reviewed by
Resolution Boys & Girls Club of the North Star, Peter Beck, City Attorney
Elk River Refinancing Reviewed by
Action Requested
Adopt,by motion, a resolution supporting the bank refinancing for the Boys & Girls Clubs of the North
Star—Elk River Branch.
Background/Discussion
President/CEO Ricky Solomon of the Boys & Girls Club of the North Star, Elk River Branch has asked
the City of Elk River support,by resolution, the bank refinancing of their building loan.
The city has a ground lease with the club that requires the city to consent to any mortgage or other
security interest in the building. The refinancing will not result in the addition of new debt rather it will
enable to amortize their remaining debt over the next 10 years.
1VIidWestOne Bank is working the loan at a rate of 5.45% for the next five years of the loan if supported
by the City Council and their Board of Directors.
The club refinanced in May of 2014 with the support of their Board and the Council.
Financial Impact
None
Attachments
■ Resolution
The Elk River Vision
A PehoMing community 2a itb revolutionary and spirited resourcefulness, exceptional POWERED By
service, and community engagement that encourages and inspires prosperity INAWRE1
City of
Elk City of Elk River
Wver City Council
Resolution 18-
A Resolution of the City Council of the City of Elk River Supporting the Bank
Refinancing for the Boys & Girls Clubs of the North Star- Elk River Branch
WHEREAS, The City of Elk River has and continues to be a strong supporter of the Boys
& Girls Club of the North Star—Elk River Branch;and
WHEREAS, the city has a Ground Lease Agreement dated March 16, 1999,with the Elk
River Branch; and
WHEREAS, the Branch is seeking to refinance existing debt without adding new debt;
and
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Elk
River,Minnesota, as follows: the city is aware of and supports the improved financial
position which would result from said refinancing
Passed and adopted this 171h day of December 2018.
John J. Dietz,Mayor
ATTEST:
Tina Allard, City NATUREJ