7.2 SR 06-05-2023 - Laserfiche WebLink

Home Browse Search

FIRST AMENDMENT TO TAX INCREMENT DEVELOPMENT AGREEMENT THIS FIRST AMENDMENT TO TAX INCREMENT DEVELOPMENT AGREEMENT (the “Amendment”) is made and entered into this ____ day of June, 2023, between the CITY OF ELK RIVER, MINNESOTA, a municipal corporation organized and existing under the Constitution and laws of the State of Minnesota (the “City”), and MOYER PROPERTIES, LLC, a Minnesota limited liability company (the “Developer”), and their permitted assigns. RECITALS WHEREAS, the City and the Developer entered into that certain Tax Increment Development Agreement, dated as of October 5, 2020 (the “Original Agreement”), whereby the City provided the Developer with a taxable tax increment revenue note in the amount of $190,000 (the “Note”) to finance a portion of the land acquisition and site improvement costs related to the development of a 20,000 square foot warehouse facility in the City (the “Minimum Improvements”) to owned by the Borrower and leased to Shoot Steel, Inc., a Minnesota corporation (the “Tenant”); WHEREAS, the Original Agreement contains a Business Subsidy Agreement (the “Subsidy Agreement”) which sets forth certain job and wage goals in accordance with Minnesota Statutes, Section 116J.993 to 116J.995, as amended (the “Business Subsidy Act”). The Subsidy Agreement required the Tenant to meet certain job and wage goals within two years of the Benefit Date (the “Compliance Date”) pursuant to a certain lease between the Developer and the Tenant. The Original Agreement defined the Benefit Date as the date on which a certificate of occupancy is issued by the City for the Minimum Improvements and the City has determined the Benefit Date to be June 3, 2021; WHEREAS, in accordance with the Business Subsidy Act, the City may, after a public hearing, extend the Compliance Date by up to one year; WHEREAS, the City has determined, after a duly noticed public hearing held on June 5, 2023, to extend the Compliance Date by one year; WHEREAS, the City and the Developer desire to amend the Original Agreement to extend the Compliance Date to June 3, 2024; WHEREAS, capitalized terms used in this Amendment and not otherwise defined herein have the meanings given to them in the Original Agreement; and NOW, THEREFORE, in consideration of the premises and the mutual obligations of the parties hereto, each of them does hereby covenant and agree with the other as follows: 1. Amendment to Section 3.4(1) of the Original Agreement. Section 3.4(1) of the Original Agreement is amended to read as follows. EL185\\61\\874669.v1