EDA RES 20-05 - Laserfiche WebLink

Home Browse Search

ECONOMIC DEVELOPMENT AUTHORITY OF THE CITY OF ELK RIVER COUNTY OF SHERBURNE STATE OF MINNESOTA RESOLUTION NO. 2020- 05 RESOLUTION APPROVING LOAN AGREEMENT AND RELATED DOCUMENTS PURSUANT TO COVID-19 SMALL BUSINESS EMERGENCY MICROLOAN PROGRAM (Chow Mixed Grill and BBQ, LLC) WHEREAS, the Board of Commissioners (the `Board") of the Economic Development Authority of the City of Elk River (the "EDA") has received an application from Chow Mixed Grill and BBQ a Limited Liability Company (the "Borrower") requesting a loan from the EDA in the amount of $20,000 (the "Loan") to provide emergency financing for business expenses pursuant to the EDA's COVID-19 Small Business Emergency Microloan Program (the "Loan Program"). WHEREAS, the spread of COVID-19 in the United States and Minnesota has raised serious public health concerns; and WHEREAS, on March 13, 2020, Governor Tim Walz issued Emergency Executive Order 20-01 declaring a state of peacetime emergency to address the COVID-19 pandemic in Minnesota; and WHEREAS, the Governor subsequently issued additional Executive Orders to combat the impacts of COVID-19 within the State of Minnesota, which include closures of schools, bars, restaurants, and other places of public accommodation, and directing Minnesotans to stay at home (with exceptions for obtaining necessary supplies, healthcare and similar needs) unless they are engaged in critical sector work; and WHEREAS, on April 3, 2020, the Mayor of the City issued a proclamation declaring a local emergency, which proclamation was extended by a resolution approved by the City Council of the City on April 6, 2020; and WHEREAS, many businesses within the City have been economically impacted by the Governor's Emergency Executive Orders in response. to the COVID-19 pandemic; and WHEREAS, in order to retain small businesses in the City, the Authority created the Loan Program to assist area businesses with the expenses incurred and specifically caused by the impact of the Governor's Emergency Executive Orders by providing no -interest loans in the amount of up to $25,000 to small businesses in the City; and WHEREAS, the Borrower has applied for the Loan pursuant to the Program, and the EDA has caused to be prepared a Loan Agreement (the "Loan Agreement") with the Borrower setting forth, among other things, the terms and conditions under which the EDA will make the Loan, a copy of which is on file with the Executive Director; and WHEREAS, pursuant to the Loan Agreement, a portion of the Loan in the amount of $5,000 for property taxes will be forgiven upon the satisfaction of certain conditions; and