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City Council Resolution 2024-15CITY OF MONTICELLO COUNTY OF WRIGHT STATE OF MINNESOTA RESOLUTION NO. — 2024-15 RESOLUTION APPROVING A GREATER MONTICELLO ENTERPRISE FUND LOAN BY THE CITY OF MONTICELLO ECONOMIC DEVELOPMENT AUTHORITY TO BLOCK 52 HOLDINGS LLC, BUCHHOLZ EXCHANGE LLC AND NORGREN EXCHANGE LLC, WHEREAS, the City Council (the "Council") of the City of Monticello (the "City") has received a proposal from Block 52 Holdings LLC, Buchholz Exchange LLC, and Norgren Exchange LLC, each a Minnesota limited liability company (together, the "Borrower"), that the City of Monticello Economic Development Authority (the "EDA") enter into Loan Agreement (the "Loan Agreement" and together with related documents, the "Loan Documents") in connection with a loan to the Borrower in the amount of $300,000 (the "Loan"), pursuant to the EDA's Greater Monticello Enterprise Fund (the "Program"), created to assist businesses in the City with financing certain economic development activities to meet the goals set forth in the guidelines approved by the EDA for the Program (the "Guidelines"); and WHEREAS, pursuant to the Program, the Guidelines and the Loan Documents, the Borrower intends to use the Loan to build out approximately 13,303 square feet of commercial office space for use by Simplicity Financial Marketing Holdings Inc, a Delaware corporation, at the real property owned by the Borrower located at 101 West Broadway Street in the City; and WHEREAS, after a duly noticed public hearing held on February 14, 2024, the EDA approved the Loan and the Loan Documents, copies of which are on file with the City Clerk. NOW THEREFORE, BE IT RESOLVED by the City Council of the City of Monticello as follows: Section 1. Business Subsidy. 1.01. The Loan constitutes a business subsidy within the meaning of Minnesota Statutes, Section 116J.993 to 116J.995, as amended (the "Business Subsidy Act"), and the Loan Agreement includes a "business subsidy agreement" as required under the Business Subsidy Act. 1.02. The City has adopted a Business Subsidy Policy (the "Subsidy Policy"), which sets the general criteria for all types of subsidies granted by the EDA, all as required under the Business Subsidy Act. 1.03. On February 14, 2024, the EDA held a public hearing on the Loan in accordance with the Business Subsidy Act. Section 2. Consent. 2.01 In accordance with Section 116J.994, Subd. 3(d) of the Business Subsidy Act, the City hereby approves the Loan Agreement including the business subsidy agreement provided therein and consents to the EDA entering into the Loan Documents with the Borrower. 2.02 The City hereby approves the Loan in accordance with the Loan Documents in substantially the forms on file with the City's Economic Development Director together such modifications thereof, deletions therefrom and additions thereto as may be necessary and appropriate and approved by legal counsel to the EDA and by the President and Executive Director of the EDA prior to executing said documents and the City further; and said officers are hereby authorized to approve said changes on behalf of the EDA. The execution of any instrument by the President and Executive Director shall be conclusive evidence of the approval of such document in accordance with the terms hereof. Approved by the City Council of the City of Monticello this ,tday of •, 2024. Mayor ATTEST: MN325\52\930672.v 1