HRA RES 20-01HOUSINGANDREDEVELOPMENT AUTHORITY INAND FORTHE
CITY OFELKRIVER, MINNESOTA
CITY OF ELK RIVER
SHERBURNECOUNTY
STATEOFMINNESOTA
RESOLUTION NO. _____________
AUTHORIZING AN INTERFUND LOAN FOR ADVANCE OF CERTAIN COSTS
IN CONNECTION WITH A TAX INCREMENTFINANCINGDISTRICT
BE IT RESOLVED By the Board of Commissioners of the Housing and Redevelopment
Authority in and for the City of Elk River, Minnesota (the “HRA”) asfollows:
Section 1. Background.
1.01. The HRA and theCity ofElk River (the “City”) are consideringestablishing aTax
Increment Financing Districtwhichisanticipated toincludecertainblighted andunderusedreal
property located near the intersection of Main St NW and Gates Ave NW (the “TIF District”)
pursuant to Minnesota Statutes, Sections 469.174 to 469.1794, as amended (the “TIFAct”).
1.02. The HRA orthe City may incurcertain costsrelatedto the TIF District whichmay
be financed on a temporary basis from available HRA funds.
1.03. Under Section469.178, Subdivision 7 ofthe TIFAct, the HRA and the Cityare
authorized to advance or loan money from any fund from which such advances may be legally
made in order to finance expenditures that are eligible to be paid with tax increments under the
TIF Act.
1.04. On December 1, 2017, City Council of the City and the Board adopted interfund
loan resolutions (collectively, the “First Interfund LoanResolution”) authorizing the payment of
certaincosts by the HRA and the City on a temporary basis from the City' s General Fund, the
HRA' s General Fund or any otherfund from which such advances, from time to time, may be
legally made (the "Fund") in an aggregate amount not to exceedthe greater of $1,100,000 or the
adopted and, if applicable, the Tax Increment Financing Plan budget for the TIF District pursuant
to Minnesota Statutes, Section 469.178, Subd. 7. Suchcosts included without limitation (i)
administrative costs incurred prior to the establishment of the TIF District, subject to the
limitations of the TIFAct, and (ii) certaincostsincurred in connection witha study of blighting
conditions, engineering, land and building acquisition, demolition and sitepreparation costs (the
Qualified Costs”).
1.05. On October 7, 2019, the City Council ofthe City and the Board adoptedresolutions
supplementing the First Interfund Loan Resolution (the “Second Interfund Loan Resolution, and
together with theFirst Interfund Loan Resolution, the “Original Interfund Loan Resolution”).
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