HRA RES 20-05\-.
HOUSING AND REDEVELOPMENT AUTIIORITY
IN AND FOR TIIE CITY OF ELK RIVER
RESOLUTION NO.2O.O5
RESOLUTION APPROVING AMENDMENT OF LOAI\ TERMS
FOR A LOAI\ FROM TIIE ATITIIORITY TO MATTHEW AIID
CAROL ITICKS AI{D TAKING OTHER ACTIONS WTTH
RESPECT THERETO
WHEREAS, the Housing and Redevelopment Authority in and for the City of Elk River (the
"Authority'') operates and administers its Owner-Occupied Housing Rehabilitation Program (the'?rogram')
whereby the Authority makes loans to qualified property owners to assist in the rehabilitation of owner-
occupied single-family homes; and
WHEREAS, Matthew R. Hicks and Carol Marie Hicks, a married couple (together, the "Borrower"),
requested that the Authority assist in the rehabilitation of their property located at 1205 46 Street NW in the
City of Elk River, Minnesota (the "City'); and
WHEREAS, pursuant to a Mortgage and Repayment Agreement between the Authority and the
Borrower (the "Original Mortgage"), dated October 27, 2015, the Authority agreed to loan to the Borrower
the maximum principal amount of $25,000 (the "Loan") in accordance with the Program; and
WHEREAS, the Borrower has defaulted under the Original Mortgage by failing to make all required
monthly payments; and
WHEREAS, the Borrower has requested a modification to the tenns of the Loan and the
Authority has prepared an Amendment to Mortgage and Repayment Agreement (the "Amendmenf)
amending the terms of the Original Mortgage whereby the Authority agrees not to exercise its remedies
under the Original Mortgage for actions that occurred prior to the date of execution of the Amendment
and the parties agree to extend the maturity date of the Loan and to add any unpaid principal, late fees,
and accrued interest on the Loan to the total principal amount outstanding on the Loan; and
WHEREAS, in accordance with the Amendment, the principal amount of the Loan shall increase
to reflect unpaid principal, accrued interest and late fees, but the monthly payment amount and interest
rate on the Loan shall remain the same.
NOW, TIIEREFORE, BE IT RESOLVED BY the Board of Commissioners (the "Board") of the
Housing and Redevelopment Authority in and for the City of Elk River (the "Authority") as follows:
l. Authority Board Approval. The Board hereby approves the Amendment and the
extension of the maturity date of the Loan. The loan shall continue to be secured by the Original
Mortgage, as modified by the Amendment.
2. Amendment. The Chair and Executive Director of the Board are hereby authorized and
directed to execute and deliver the Amendment on behalf of the Authority and to perform the obligations
thereunder. All of the provisions of the Amendment, when executed and delivered as authorized herein, shall
be deemed to be a part of this resolution as fully and to the same extent as if incorporated verbatim herein and
shall be in full force and effect from the date of execution and delivery thereof. The Amendment shall be
substantially in the form now on file with the Authority, subject to alterations and modifications that do not
materially change the substance thereof, or as the Chair and Executive Director, in their discretion, shall
524870vt GAF PNl60-22
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determine, and the execution thereof by the Chair and Executive Director shall be conclusive evidence of
such determination. .
3. Execution of Documents. The Chair and Executive Director of the Authority are hereby
authorized to execute any documents deemed necessary to carry out the intentions of this resolution, on
behalf of the Authority and to carry out, on behalf of the Authority, the Authority's obligations
thereunder.
Approved by the Board of Commissioners of the Housing and Redevelopment Authority in and
for the City of Elk fuver this 5* day of October, 2020.
ATTEST:
ez^,Ck
Executive Director
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