7.5. SR 07-15-2013 - Laserfiche WebLink

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Developer under this Agreement is $1,153,878.00 and that this Business Subsidy is needed because the Project is not sufficiently feasible for the Developer to undertake without the Business Subsidy. The public purpose of the Business Subsidy is to create new jobs in the City and to enhance the tax base. The Developer agrees that it will meet the following goals (the "Goals"): (i) construct the Minimum Improvements in accordance with the terms of this Agreement and (ii) create a net increase of eight (8)jobs and retain its existing twenty-four (24) jobs in Minnesota within twenty four (24) months from the date of issuance of a certificate of occupancy for the Minimum Improvements at an hourly wage of at least $12.19 per hour. As of the date of this Agreement, Developer certifies that the current number of full time employees of Developer in Minnesota is twenty-four (24). Section 4.3. Default. If the Goals established in the Agreement are not met, Developer shall, upon thirty (30) days written notice, pay the City the sums required pursuant to the terms of the Promissory Note ("Financial Obligation"), accruing from and after the Benefit Date, attached hereto as Exhibit A, and secured by the mortgage attached hereto as Exhibit B ("Mortgage"). If the Goals are met in part, the Developer will repay a portion of the Business Subsidy plus interest in accordance with the terms of the Promissory Note. Section 4.4. Reports. The Developer agrees to (i) report its progress on achieving the Goals to the City until the Goals are met, or the Business Subsidy is repaid, whichever occurs earlier; (ii) include in the report the information required on forms developed by the Minnesota Department of Employment and Economic Development; and (iii) send the completed reports to the City. The Developer agrees to file these reports no later than March I of each year and within thirty days after the deadline for meeting the Goals. The City agrees that if it does not receive the reports, it will mail the Developer a warning within one week of the required filing date. If within fourteen(14) days of the post marked date of the warning letter the reports are not made, the Developer agrees to pay to the City a penalty of$100.00 for each subsequent day until the report is filed up to a maximum of$1,000. Section 4.5. Continued Operations Commitment. Developer agrees to continue the Project at the Facility for at least five (5)years after the Tax Abatement Benefit Date. Section 4.6. Term of Agreement. The term of this Agreement will commence upon the closing of the Purchase Agreement and terminate on the earlier of December 31, 2034 or full reimbursement of the Business Subsidy to the City through the Tax Abatements ("Termination Date"). ARTICLE V. Events of Default Section 5.1. Events of Default Defined. The following shall be "Events of Default" under this Agreement and the term "Event of Default" shall mean, whenever it is used in this Agreement (unless the context otherwise provides), any one or more of the following events: (a) Failure by the Developer to pay when due any payments required to be paid under this Agreement or to pay when due ad valorem taxes on the Property. 171419v1 8