7.2. HRSR 10-05-2020 - Laserfiche WebLink

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HOUSING AND REDEVELOPMENT AUTHORITY IN AND FOR THE CITY OF ELK RIVER RESOLUTION NO. 20-05 RESOLUTION APPROVING AMENDMENT OF LOAN TERMS FOR A LOAN FROM THE AUTHORITY TO MATTHEW AND CAROL HICKS AND TAKING OTHER ACTIONS WITH 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 "Program") 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 e 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 terms of the Loan and the Authority has prepared an Amendment to Mortgage and Repayment Agreement (the "Amendment") 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, THEREFORE, 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: I. 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 524870v1 GAF PN160-22