8.1 SR 05-20-2024City of
Elk -
River
To
City Council
Meeting Date
May 20, 2024
Item Description
iBackCheck Lease Termination Appeal
Request for Action
Item Number
8.1
Prepared By
Joe Stremcha, Business Services Director/Assistant
City Administrator
Reviewed by:
Lori Stich
Joe Stremcha
Cal Portner
Tina Allard
Action Requested
Consider an appeal from iBackcheck, PLLC to maintain the current lease agreement.
Background/Discussion
As directed by the City Council on May 6, iBackCheck's late fee repayment schedule was called due effective
immediately due to untimely and insufficient payments (months of April and May). Further, iBackCheck was
provided notice that the lease agreement was to be terminated.
The Bank of Elk River provided a statement elaborating on their error as a contributing factor to the
insufficient May payment on behalf of iBackCheck. iBackCheck seeks further forgiveness and will be in
attendance to make an appeal to maintain the lease agreement.
Communication is included between staff and the CEO of iBackCheck Christi Jo Christian including an
apology and payment history. As of May 16, iBackCheck is current on their payments.
Financial Impact
None
Mission/Policy/Goal
Responsible for every dollar - good stewards
Attachments
1. Communication with The Bank of Elk River
2. Bank Letter-iBackCheck PLLC 5-13-24
3. ibackcheck AFT Redacted
4. Communication with iBackCheck
5. iBackCheck, PLLC Payment History
6. 8.1 Handout
The Elk River Vision
A avelcoming community zvitb revolutionary and spirited resourcefulness, exceptional service, and community p p W E H E U A Y
engagement that encourages and inspires prosperityIn
430
Joe Stremcha
From: Joe Stremcha
Sent: Monday, May 13, 2024 10:12 AM
To: Michelle Thatcher; Christi Jo Christian
Cc: Vadnais, Ryan; Cal Portnerjshepherd@ck-law.com
Subject: RE: iBackCheck PLLC
Attachments: Bank Letter-iBackCheck PLLC 5-13-24.pdf; ibackcheck AFT_Redacted.pdf
Good morning Michelle and Christi,
Thank you for sharing this information. Unfortunately, these processes cannot be overturned by staff.
You'll need to attend the next City Council meeting to appeal the lease termination. Their next regular meeting is on
Monday, May 20, 2024 at 6:00 p.m. in City Hall and I encourage you both to attend.
Copies of these attachments will be included in their packets. If you have any other information you would like to include,
such as a statement from Christi, please send it to me by end of day on Wednesday, May 15.
Sincerely,
Joe Stremcha
City of Elk River — Assistant City Administrator/Business Services Director
13065 Orono Parkway, Elk River, MN 55330
763.635.1022 ElkRiverMN.gov
From: Michelle Thatcher <mthatcher@thebankofelkriver.com>
Sent: Monday, May 13, 2024 9:09 AM
To: Joe Stremcha <JStremcha@ElkRiverMN.gov>
Cc: Vadnais, Ryan <RVadnais@ElkRiverMN.gov>; Cal Portner <CPortner@ElkRiverMN.gov>; Christi Jo Christian
<drejchristian@gmail.com>
Subject: iBackCheck PLLC
Good morning Joe,
Hope you are doing well! I left you a voicemail on Friday, May 9th but I understand you were out of the office. Please see
attached letter documenting a bank error with respect to the most recent Automatic Funds Transfer that was to occur
on May 15t, 2024 for iBackCheck PLLC's rent payment. The AFT that was authorized by Dr. Christian is also attached with
account numbers redacted. Please accept my sincerest apologies for the error and any inconveniences this may have
caused.
It is my understanding that the late charges were to be deferred subject to Dr. Christian's timely payments in the correct
amounts. Given that the May lease payment should have been transferred on time and for the correct amount, please
let me know if the City would reconsider calling the balance of the late charges due and the lease termination in light of
the bank's error.
Please let me if there is anything else I can do to help. I would like to connect with you by phone today if your schedule
allows.
Warmest regards,
Michelle
Page 277 of 430
Michelle Thatcher
Commercial Lender, VP
T: 763-241-8592 Main Street Office
P: 763-441-0847 630 Main Street NW
thebankofelkriver.com Elk River, MN 55330
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Page 278 of 430
Bank
O F ELK RIVE R
May 13, 2024
The Bank of Elk River
630 Main St NW
Elk River, MN 55330
Joe Stremcha
City of Elk River
13065 Orono Parkway
Elk River, MN 55330
RE: Dr. Christian/iBackCheck
Dear Joe,
This letter is to inform you of a bank error that occurred with respect to iBackCheck PLLC's Automatic
Funds Transfer (AFT) Agreement. Dr. Christian authorized a change to her AFT on April 26, 2024 for the
amount of $4,521.15 to occur monthly on the Is'of each month beginning on May 1, 2024 (see attached
AFT agreement that was completed.) Unfortunately, the internal maintenance on this change was
completed incorrectly by the bank, which resulted in a transfer amount of $4,008.61 occurring on May
15T, 2024. The transfer amount was made incorrectly due to the bank's error rather than Dr. Christian's
and the funds were more than adequate in Dr. Christian's account to make the correct transfer amount.
The AFT has since been corrected after receipt of your email on May 81", 2024.
Please accept my apologies for the error and any inconvenience this has caused. In light of this
information, it would be greatly appreciated if you would reconsider the lease termination. Please let me
know if there is anything else I can provide to help and thank you for your consideration.
Sincerely,
Michelle Thatcher
Vice President
(763)241-8592
Page 279 of 430
Automatic Funds Transfer Agreement
Customer Name iBackCheck PLLC
Request Type Change
To Account _- The City of Type: Checking
Elk River
Amount $4,521.15
Frequency Monthly
ta.*—
%% The Bank
O F E L K R I V E R
From Account —
Details on the 1" of each month beginning May 1, 2024.
Signed Christi Jo Christian (Apr 26, 202413:51 CDT) Apr 26, 2024
Date
CSR CJC 552
630 Main St. NW, Elk River, MN 55330 1 p) 763.441.1000 1 f) 763.441.0847 1 thebankofelkriver.com I Member FDIC
Automatic Funds Transfer 1 09/2023
Page 280 of 430
Joe Stremcha
From: Joe Stremcha
Sent: Thursday, May 16, 2024 3:22 PM
To: Christi Christian; mthatcher@thebankofelkriver.com
Cc: Vadnais, Ryan; Cal Portner;jshepherd@ck-law.com
Subject: RE: Letter to the City of Elk River to be added to the agenda packet for the Monday May
20 meeting
Hi Christi,
We received a payment today in the amount of $3,815.25.
Thank you,
Joe Stremcha
City of Elk River — Assistant City Administrator/Business Services Director
13065 Orono Parkway, Elk River, MN 55330
763.635.1022 ElkRiverMN.gov
From: Joe Stremcha
Sent: Wednesday, May 15, 2024 4:14 PM
To: Christi Christian <cchristian@ibackcheck.com>; mthatcher@thebankofelkriver.com
Cc: Vadnais, Ryan <RVadnais@ElkRiverMN.gov>; Cal Portner <CPortner@ElkRiverMN.gov>; jshepherd@ck-law.com
Subject: RE: Letter to the City of Elk River to be added to the agenda packet for the Monday May 20 meeting
Importance: High
Hi Christi,
You are not paid in full to date... Your outstanding balance details are below:
April Summary
Amount
A ril 1 lease payment due
$4,008.61
Late fee repayment schedule
$371.73
To�Daent due on Aril 1
P 'I. 'tnc at received c.April I
Outstanding balance on A ri12
$4,380.34
{S4.U[18.Cti 1 j
$371.73
Late fee applied to insufficient payment on April 1
$100.00
O"TI'otal a ent due April 2
nient rec:ci►-cd on. A ril 2.5
$471.73
t`5471.73]
Outstanding balance as of April 27
$0.00
Page 281 of 430
Payment received on May 1 I (S4.008.61
Outstanding balance on May 2 $512.54
Late fee applied to insufficient paynient on May 1 $100.00
Total payment due May 2 $612.54
Pavinent rccc°it ed on i lav ltl
balance resulting from insufficient navment on Mai 1 1 $100.00
As directed by City Council on May 6, your late fee repayment schedule was called due effective immediately due to
untimely and insufficient payments (months of April and May).
Please make Payment at tour earliest convenience in the amount of $3,815.25
Thanks,
Joe Stremcha
City of Elk River — Assistant City Administrator/Business Services Director
13065 Orono Parkway, Elk River, MN 55330
763.635.1022 'FtIkRiverNfN.gov
From: Christi Christian < christian@ibackcheck.com>
Sent: Wednesday, May 15, 2024 2:12 PM
To: Joe Stremcha <JStremcha@ElkRiverMN.gov>; Cal Portner <CPortner(cpElkRiverMN.k >; Vadnais, Ryan
<RVadnais@a ElkRiverMN.gov>; mthatcher@thebankofelkriver.co-,
Subject: Letter to the City of Elk River to be added to the agenda packet for the Monday May 20 meeting
Please accept my apologies for the error in April in regards to the incorrect lease payment and for not
being present for the city council meeting on May 6th. I was not made aware of the meeting on May 6th,
or I would have been in communication with all of you prior to the meeting and would have resolved the
issues in a very timely manner.
I assure you that I am paid in full to date, and will continue to do so going forward.
I am looking forward to the resolution of the current matter, and to continue working with the City of Elk
River moving forward in a positive direction.
Thank you,
Christi Jo Christian
Christi Jo Christian, DC, ICCSP
Internationally Certified Chiropractic Sport Physician
President il3ackCheck Sport Therapy
Phone: 763-400-7438
Fax: 866-881-6769
www.ibackcheck.com
Page 282 of 430
iBackCheck, PLLC
Payment Date
Status
5/3/2022
LATE/INSUFFICIENT
6/1/2022
LATE/INSUFFICIENT
7/1/2022
LATE/INSUFFICIENT
8/1/2022
LATE/INSUFFICIENT
9/1/2022
LATE/INSUFFICIENT
10/1/2022
LATE/INSUFFICIENT
11 / 1 /2022
ON TIME
12/1/2022
LATE/INSUFFICIENT
1 / 1 /2023
LATE/INSUFFICIENT
2/1/2023
LATE/INSUFFICIENT
3/1/2023
LATE/INSUFFICIENT
4/1/2023
LATE/INSUFFICIENT
5/1/2023
LATE/INSUFFICIENT
6/1/2023
LATE/INSUFFICIENT
7/1/2023
ON TIME
8/1/2023
LATE/INSUFFICIENT
9/1/2023
LATE/INSUFFICIENT
10/1/2023
LATE/INSUFFICIENT
11 / 1 /2023
LATE/INSUFFICIENT
12/1/2023
LATE/INSUFFICIENT
1 /1 /2024
LATE/INSUFFICIENT
2/1/2024
LATE/INSUFFICIENT
3/1/2024
ON TIME
4/1/2024
LATE/INSUFFICIENT
5/1/2024
LATE/INSUFFICIENT
Page 283 of 430
I kVim. X, i
AaA,r
05.16.2024
Communication changes and requests by iBackCheck Sport Therapy to The City
of Elk River;
1. Adding iBackCheck Clinic Coordinator, Maggie Baron, to any and all
communications from the City of Elk River at mbaron@ibackcheck.corn.
2. We have fixed our technical issues with our emails to ensure we receive all
emails from the City of Elk River.
3. 1 would like to request that any urgent issues between the City of Elk River and
iBackCheck Sport Therapy be via phone call to 763.354.9974, to ensure that
there are no errors in communication, and that our relationship moves forward in
a positive direction.
Tha you
Christi Jo Christian
CEO
iBackCheck Sport Therapy
Page 284 of 430