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CITY OF ELK RIVER
<br />COUNTY OF SHERBURNE
<br />STATE OF MINNESOTA
<br />RESOLUTION NO. 18- 51
<br />RESOLUTION APPROVING LOAN AGREEMENT
<br />(ALAN ARNOLD CORPORATION / RALPHIE'S MINNOCO ENERGY PROJECT)
<br />WHEREAS, the Board of Commissioners (the "Board") of the Economic Development
<br />Authority of the City of Elk River (the "EDA") for a second loan to assist the Borrower with energy
<br />efficiency improvements to a building (the "Property") located at 13374 U.S. Highway 10, Elk River,
<br />Minnesota (the "City").
<br />WHEREAS, on September 10, 2013, the EDA provided a loan to the Borrower pursuant to
<br />the EDA Energy Efficiency Improvement Program (the "Program"), in the amount of $74,999 (the
<br />"Original Loan") pursuant to an Energy Efficiency Improvement Program Loan Agreement, dated
<br />September 10, 2013 (the "Original Loan Agreement"), between the Borrower and the EDA. The
<br />Original Loan was secured by (i) a Promissory Note, dated September 10, 2013, from the Borrower
<br />to the EDA; (ii) a Security Agreement, dated September 10, 2013, from Borrower to the Lender
<br />providing a security interest in certain equipment purchased with the proceeds of the Original Loan;
<br />(iii) a Personal Guaranty, dated September 10, 2013, from Brian Brehmer to the EDA; (iv) a
<br />Personal Guaranty, dated September 10, 2013, from Nancy Brehmer to the EDA; (v) a Personal
<br />Guaranty, dated September 10, 2013, from Allen Meyer; (iv) a Corporate Guaranty, dated September
<br />10, 2013, from Yankee Doodle Enterprises, LLC to the EDA; and (vii) a Mortgage and Assignment
<br />of Rents and Security Agreement and Fixture Financing Statement, dated September 10, 2013, from
<br />the Corporate Guaranty to the EDA. The current outstanding principal balance of the Original
<br />Loan is $40,482.91.
<br />WHEREAS, the Borrower has requested an additional loan in the amount of $19,175.00 (the
<br />"New Loan") pursuant to the Program. Proceeds of the New Loan will be used by the Borrower to
<br />increase the energy efficiency of the Property by purchasing new interior and exterior lights. In total,
<br />the outstanding principal of the Original Loan and New Loan (together, the "Loan") will be
<br />$59,657.91.
<br />WHEREAS, the EDA has caused to be prepared an Amended and Restated Loan
<br />Agreement (the "Loan Agreement") with the Borrower setting forth, among other things, the terms
<br />and conditions under which the EDA will make the Loan. The Loan Agreement amends and
<br />restates the Original Loan Agreement to provide for the issuance of the New Loan.
<br />WHEREAS, the EDA approved the Loan and the Loan Agreement on this same date and a
<br />copy of the Loan Agreement is on file with the City Clerk.
<br />NOW THEREFORE, BE IT RESOLVED by the City Council of the City of Elk River as
<br />follows:
<br />2.01 The City hereby approves the Loan Agreement as presented to the EDA, together with
<br />all related documents necessary in connection therewith, including without limitation, an Amended and
<br />Restated Promissory Note from the Borrower evidencing the Loan, an Amended and Restated
<br />Mortgage and Assignment of Rents and Security Agreement and Fixture Financing Statement, from
<br />534205J2 JSB ELI 85-57
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