4.9. SR 02-18-2020
Request for Action
To Item Number
Mayor and City Council 4.9
Agenda Section Meeting Date Prepared by
Consent February 18, 2020 Cal Portner, City Administrator
Item Description Reviewed by
Support of Boys and Girls Club of the North Star – Peter Beck, City Attorney
ER Capital Improvement Financing
Reviewed by
Action Requested
Approve, by motion, a resolution of support for Elk River Boys & Girls Club to secure capital
improvement financing.
Background/Discussion
The Elk River Boys & Girls Club Branch CEO Ricky Solomon has contacted the city seeking support for
a building loan to replace their roof, install new carpeting, add a USDA kitchen and energy efficient
lighting.
The city has a ground lease with the club that requires city approval the addition of debt. The
organization, under the leadership of their Board of Directors, has been financially very stable over the
past decade.
MidWestOne is financing the improvements. They would like a resolution of support from the city
indicating we are aware of the loan.
Financial Impact
N/A
Attachments
Resolution
Boys and Girls Club Board Resolution
City of Elk River
City Council
Resolution 20-____
A Resolution of the City Council of the City of Elk River Consenting to the
Bank Financing for the Elk River Branch of the Boys & Girls Clubs of 10,000
Lakes
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 of the Boys & Girls Club which requires the city to consent to any mortgage or
other security interest in the Boys & Girls Club building; and
WHEREAS, the Elk River Branch of the Boys & Girls Club is seeking a note from
MidWestOne Bank to be used for capital improvement projects; 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 Boys & Girls Club board-
approved capital plan and consents to this financing which complies with the terms of the
Ground Lease dated March 16, 1999.
th
Passed and adopted this 18 day of February 2020.
John J. Dietz, Mayor
ATTEST:
Tina Allard, City Clerk
Board Resolution
of the
Boys & Girls Clubs of the North Star
(Organization Name)
At the meeting of the Board of Directors of the above --named organization (hereinafter "our
organization") held on 02-13-20, the following resolution was proposed and approved by the
Board:
Resolved:
WHEREAS, The Boys & Girls Clubs of the North Star Board of Directors has continue to be a
strong supporter Elk River Branch; and
WHEREAS, The Boys & Girls of the North Star is seeking a note from MidWestOne Bank.
Financing will be used for capital improvement project as outlined in the campaign plan on the
building located in Lion's Park and overall strength of the organization; and;
WHEREAS, The Boys & Girls of the North Star note matures in 2029 on the building located in
Lion's Park; and;
WHEREAS, The Boys & Girls of the North Star note will have a five year term and amortized
over 110 months on the building located in Lion's Park; and;
THEREFORE, BE IT RESOLVED, DETERMINED AND ORDERED AS FOLLOWS:
That the above -referenced is hereby accepted by the Boys & Girls Clubs of the North Star full
Board of Directors: the Board of Director's is aware of and supports refinancing and any
mortgage or other security interest in the Elk River Branch building located in Lion's Park, which
may be signed by the President/CEO and/or Chief Volunteer Officer
hereby certify that the foregoing is a full, true and correct copy of a resolution duly passed and
adopted by the Board of Directors of our organization at a meeting thereof duly held on the 13th
day of February, 2020.
Signature �'}
Name
Mike Paulsrud, Board President
Title/position relative to the Club (e.g., Board Secretay, Chief Volunteer Officer or Board
President