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98-896Council File # 98 d9 Resolution # Green Sheet #E �Gs`�3 RESOLUTION NT PAUL, MINNESOTA 3�{ RESOLUTION APPROVING AND AUTHORIZING THE ISSUANCE OF A LOAN TO MILLER'S OF SHAKOPEE, INC. A.NA JOHN MILLER, THROUGH THE STAR REVOLVING LOAN PROGRAM, THOMAS-DALE DISTRICT 7, WARD 1 WHEREAS, Mi11er's of Shakopee, Inc. has requested a$50,000 loan together with a$5,000 grant through the STAR Revolving Loan Program for building improvements and renovations; and WHEREAS, the project consists of the purchase of assets of an existing grocerylconvenience store and the xehab of the building located at 516 Rice Street. The store currently operates under the name of Johnson's Super Duper. The owner, Ken Johnson, has not maintained the properiy and numerous code violations haue been cited, with the threat of closure. John Miller has purchased the business (grocery) and now wishes to also make property improvements to conect the existing code violations and improve the "looks" of the grocery store. Improvements will consist of correcting existing code violations and exterior improvements to the building.; and WI�EREAS, Mr. Miller currently owns and operates a grocery store in Chaska, MN and in Brownton, MN. Mr. Miller, is an experienced meat cutter, and has been in the grocery business for more than 18 yeazs. The grocery store currently serves the neighborhood, a mostly low-income population. The store will offer general grocery items along with a fresh meat counter. The existing stores in Chaska and Brownton are not fuil service grocery stores and should be chazacterized as convenience stores. The Chaska store is 3300 sq. ft. and the Brownton store is 6000 sq. ft. WHEREAS, the proposed terms far the loan include monthly payments over a seven year term, maturing on ll(1(2005, with loan repayment from business cash flow; loan will be evidenced by a full recoutse Promissory Note from Miller's of Shakopee, Inc. and Jolui Miller to City; collateral will consist of a subordinate security interest in all assets of the borrower; and WHEREAS, the bonower will comply with all federal, state and local laws and policies but not limited to prevailing wage standards for construction (Davis-Bacon), affirmative actionfequal opportunity and targeted business programs; and WI3EREAS, the primary public purpose of the project is the providing service to a low - to - moderate income neighborhood and also support of commercial activity, stabilize market value and business retention. NOW, THEREFORE BE IT RESOLVED, by the City Council of the City of Saint Paul, that approval is hereby granted far a loan in the amount of $50,000 and a grant in the amount of $5,000 from the STAR Revolving Loan Fund £or building improvements and renovations, under the terms described herein, and with 9 P -�9� such additional terms and conditions as the Executive Director of the Housing and Redevelopment Authority of the City of Saint Paul, Minnesota deems necessary and appropriate. BE IT FURTHER RESOLVED, the Executive Director of the Housing and Redevelopment Authority of the City of Saint Paul, Minnesota and other appropriate City officials are authorized to execute the necessary documents in connection with the loan and grant, in form acceptable to the City Attorney, on behalf of the City. Requested by Department of: Adoption Certifi d by Council Secretary BY: Approved by Mayor: e �� By: Plannin & E �mic D elo ment By: ° Form Approved by City Attorney_ By: �� Approved by Mayor for S�� sion to.COUnci1 � (1 i� By: Adopted by Council: Date O�. 'j��°�°��' !� DEPARTMENttOFFICE/COUNqL �� CONTACTPERSON&PWOWE d F QYZ� ��¢— Eo MUST BE ON COUNCIL AGENDA BY (OA'f� Ic-7-48 �(�� P � d � c� � TOTAL # OF GN� TlOfl REQUES7ED �R� �F��N_ OATE IXITIATED ET �..R,.�.��.� ��'�q�i No 65143 wsswx �•- �� 1 r XUMBER iOR I.Y..I—"' ATi016&Y �❑ CRY CLFPR � � ❑ �,��. �,�,,.�,� � �w��„�„� � ❑ PAGES (CL]P ALL LOCATIONS FOR SICaNATURE) SEP 2 8 199� i�iF�aR'S QFF1C� VUAI ION AppfoVe (A) of K¢JeCt (K) PLANNING COMMISSION CIB COMMITfEE CIVI SERVICE . � ��XT COM»�i�e i. Has this persoNfirm ever wwKeA under a contract tor this department? YES NO 2. Has thiG person/fiim ever heen a city empbyeeT � YES NO 3. Does this persoNfirm possess a sltill not normallypossessed by any curreM cily employee? YES NO 4. Is ihis pe�sonttirtn a fargetetl vendoYT YES NO �W�{Oti c..li� t n � j "�so,tYevs�' c S�:� S fJo-ut � a�- fv d� � o j�+'�3. G��- �.✓+� �L cr-3� '�+ N�+-�c Kece tS�+y iu+7ttY'aV¢ � a-� fNd 'f"' "1�L 7"c S7°'rz o�i�"' � .2k'� a+l'. � � 4NTAGESIFAPPROVED �� y °'r�- L ._.'.i �. a x Pc.�:::� ��P 2� �39� n7cre.. -- -__ _ ,,.�,Q.do� w.,;t( bt c.�x+� �- �r ✓��,+�,j, Jors �fJs�s e..�/ �ees. AOUNT OF TRANSACTION S �-�' �� '� V 4 COST/REVENUE BUDGETED (CIRCLE ON� `/ES NO SOURCE uTl/ �(/�"/� ACTIYITYNUMBE[t NFORrumoHCFxa N� �iOUti�t� �SS$8(C.�1 velitEP . � -� ,. . L+i` Council File # 98 d9 Resolution # Green Sheet #E �Gs`�3 RESOLUTION NT PAUL, MINNESOTA 3�{ RESOLUTION APPROVING AND AUTHORIZING THE ISSUANCE OF A LOAN TO MILLER'S OF SHAKOPEE, INC. A.NA JOHN MILLER, THROUGH THE STAR REVOLVING LOAN PROGRAM, THOMAS-DALE DISTRICT 7, WARD 1 WHEREAS, Mi11er's of Shakopee, Inc. has requested a$50,000 loan together with a$5,000 grant through the STAR Revolving Loan Program for building improvements and renovations; and WHEREAS, the project consists of the purchase of assets of an existing grocerylconvenience store and the xehab of the building located at 516 Rice Street. The store currently operates under the name of Johnson's Super Duper. The owner, Ken Johnson, has not maintained the properiy and numerous code violations haue been cited, with the threat of closure. John Miller has purchased the business (grocery) and now wishes to also make property improvements to conect the existing code violations and improve the "looks" of the grocery store. Improvements will consist of correcting existing code violations and exterior improvements to the building.; and WI�EREAS, Mr. Miller currently owns and operates a grocery store in Chaska, MN and in Brownton, MN. Mr. Miller, is an experienced meat cutter, and has been in the grocery business for more than 18 yeazs. The grocery store currently serves the neighborhood, a mostly low-income population. The store will offer general grocery items along with a fresh meat counter. The existing stores in Chaska and Brownton are not fuil service grocery stores and should be chazacterized as convenience stores. The Chaska store is 3300 sq. ft. and the Brownton store is 6000 sq. ft. WHEREAS, the proposed terms far the loan include monthly payments over a seven year term, maturing on ll(1(2005, with loan repayment from business cash flow; loan will be evidenced by a full recoutse Promissory Note from Miller's of Shakopee, Inc. and Jolui Miller to City; collateral will consist of a subordinate security interest in all assets of the borrower; and WHEREAS, the bonower will comply with all federal, state and local laws and policies but not limited to prevailing wage standards for construction (Davis-Bacon), affirmative actionfequal opportunity and targeted business programs; and WI3EREAS, the primary public purpose of the project is the providing service to a low - to - moderate income neighborhood and also support of commercial activity, stabilize market value and business retention. NOW, THEREFORE BE IT RESOLVED, by the City Council of the City of Saint Paul, that approval is hereby granted far a loan in the amount of $50,000 and a grant in the amount of $5,000 from the STAR Revolving Loan Fund £or building improvements and renovations, under the terms described herein, and with 9 P -�9� such additional terms and conditions as the Executive Director of the Housing and Redevelopment Authority of the City of Saint Paul, Minnesota deems necessary and appropriate. BE IT FURTHER RESOLVED, the Executive Director of the Housing and Redevelopment Authority of the City of Saint Paul, Minnesota and other appropriate City officials are authorized to execute the necessary documents in connection with the loan and grant, in form acceptable to the City Attorney, on behalf of the City. Requested by Department of: Adoption Certifi d by Council Secretary BY: Approved by Mayor: e �� By: Plannin & E �mic D elo ment By: ° Form Approved by City Attorney_ By: �� Approved by Mayor for S�� sion to.COUnci1 � (1 i� By: Adopted by Council: Date O�. 'j��°�°��' !� DEPARTMENttOFFICE/COUNqL �� CONTACTPERSON&PWOWE d F QYZ� ��¢— Eo MUST BE ON COUNCIL AGENDA BY (OA'f� Ic-7-48 �(�� P � d � c� � TOTAL # OF GN� TlOfl REQUES7ED �R� �F��N_ OATE IXITIATED ET �..R,.�.��.� ��'�q�i No 65143 wsswx �•- �� 1 r XUMBER iOR I.Y..I—"' ATi016&Y �❑ CRY CLFPR � � ❑ �,��. �,�,,.�,� � �w��„�„� � ❑ PAGES (CL]P ALL LOCATIONS FOR SICaNATURE) SEP 2 8 199� i�iF�aR'S QFF1C� VUAI ION AppfoVe (A) of K¢JeCt (K) PLANNING COMMISSION CIB COMMITfEE CIVI SERVICE . � ��XT COM»�i�e i. Has this persoNfirm ever wwKeA under a contract tor this department? YES NO 2. Has thiG person/fiim ever heen a city empbyeeT � YES NO 3. Does this persoNfirm possess a sltill not normallypossessed by any curreM cily employee? YES NO 4. Is ihis pe�sonttirtn a fargetetl vendoYT YES NO �W�{Oti c..li� t n � j "�so,tYevs�' c S�:� S fJo-ut � a�- fv d� � o j�+'�3. G��- �.✓+� �L cr-3� '�+ N�+-�c Kece tS�+y iu+7ttY'aV¢ � a-� fNd 'f"' "1�L 7"c S7°'rz o�i�"' � .2k'� a+l'. � � 4NTAGESIFAPPROVED �� y °'r�- L ._.'.i �. a x Pc.�:::� ��P 2� �39� n7cre.. -- -__ _ ,,.�,Q.do� w.,;t( bt c.�x+� �- �r ✓��,+�,j, Jors �fJs�s e..�/ �ees. AOUNT OF TRANSACTION S �-�' �� '� V 4 COST/REVENUE BUDGETED (CIRCLE ON� `/ES NO SOURCE uTl/ �(/�"/� ACTIYITYNUMBE[t NFORrumoHCFxa N� �iOUti�t� �SS$8(C.�1 velitEP . � -� ,. . L+i` Council File # 98 d9 Resolution # Green Sheet #E �Gs`�3 RESOLUTION NT PAUL, MINNESOTA 3�{ RESOLUTION APPROVING AND AUTHORIZING THE ISSUANCE OF A LOAN TO MILLER'S OF SHAKOPEE, INC. A.NA JOHN MILLER, THROUGH THE STAR REVOLVING LOAN PROGRAM, THOMAS-DALE DISTRICT 7, WARD 1 WHEREAS, Mi11er's of Shakopee, Inc. has requested a$50,000 loan together with a$5,000 grant through the STAR Revolving Loan Program for building improvements and renovations; and WHEREAS, the project consists of the purchase of assets of an existing grocerylconvenience store and the xehab of the building located at 516 Rice Street. The store currently operates under the name of Johnson's Super Duper. The owner, Ken Johnson, has not maintained the properiy and numerous code violations haue been cited, with the threat of closure. John Miller has purchased the business (grocery) and now wishes to also make property improvements to conect the existing code violations and improve the "looks" of the grocery store. Improvements will consist of correcting existing code violations and exterior improvements to the building.; and WI�EREAS, Mr. Miller currently owns and operates a grocery store in Chaska, MN and in Brownton, MN. Mr. Miller, is an experienced meat cutter, and has been in the grocery business for more than 18 yeazs. The grocery store currently serves the neighborhood, a mostly low-income population. The store will offer general grocery items along with a fresh meat counter. The existing stores in Chaska and Brownton are not fuil service grocery stores and should be chazacterized as convenience stores. The Chaska store is 3300 sq. ft. and the Brownton store is 6000 sq. ft. WHEREAS, the proposed terms far the loan include monthly payments over a seven year term, maturing on ll(1(2005, with loan repayment from business cash flow; loan will be evidenced by a full recoutse Promissory Note from Miller's of Shakopee, Inc. and Jolui Miller to City; collateral will consist of a subordinate security interest in all assets of the borrower; and WHEREAS, the bonower will comply with all federal, state and local laws and policies but not limited to prevailing wage standards for construction (Davis-Bacon), affirmative actionfequal opportunity and targeted business programs; and WI3EREAS, the primary public purpose of the project is the providing service to a low - to - moderate income neighborhood and also support of commercial activity, stabilize market value and business retention. NOW, THEREFORE BE IT RESOLVED, by the City Council of the City of Saint Paul, that approval is hereby granted far a loan in the amount of $50,000 and a grant in the amount of $5,000 from the STAR Revolving Loan Fund £or building improvements and renovations, under the terms described herein, and with 9 P -�9� such additional terms and conditions as the Executive Director of the Housing and Redevelopment Authority of the City of Saint Paul, Minnesota deems necessary and appropriate. BE IT FURTHER RESOLVED, the Executive Director of the Housing and Redevelopment Authority of the City of Saint Paul, Minnesota and other appropriate City officials are authorized to execute the necessary documents in connection with the loan and grant, in form acceptable to the City Attorney, on behalf of the City. Requested by Department of: Adoption Certifi d by Council Secretary BY: Approved by Mayor: e �� By: Plannin & E �mic D elo ment By: ° Form Approved by City Attorney_ By: �� Approved by Mayor for S�� sion to.COUnci1 � (1 i� By: Adopted by Council: Date O�. 'j��°�°��' !� DEPARTMENttOFFICE/COUNqL �� CONTACTPERSON&PWOWE d F QYZ� ��¢— Eo MUST BE ON COUNCIL AGENDA BY (OA'f� Ic-7-48 �(�� P � d � c� � TOTAL # OF GN� TlOfl REQUES7ED �R� �F��N_ OATE IXITIATED ET �..R,.�.��.� ��'�q�i No 65143 wsswx �•- �� 1 r XUMBER iOR I.Y..I—"' ATi016&Y �❑ CRY CLFPR � � ❑ �,��. �,�,,.�,� � �w��„�„� � ❑ PAGES (CL]P ALL LOCATIONS FOR SICaNATURE) SEP 2 8 199� i�iF�aR'S QFF1C� VUAI ION AppfoVe (A) of K¢JeCt (K) PLANNING COMMISSION CIB COMMITfEE CIVI SERVICE . � ��XT COM»�i�e i. Has this persoNfirm ever wwKeA under a contract tor this department? YES NO 2. Has thiG person/fiim ever heen a city empbyeeT � YES NO 3. Does this persoNfirm possess a sltill not normallypossessed by any curreM cily employee? YES NO 4. Is ihis pe�sonttirtn a fargetetl vendoYT YES NO �W�{Oti c..li� t n � j "�so,tYevs�' c S�:� S fJo-ut � a�- fv d� � o j�+'�3. G��- �.✓+� �L cr-3� '�+ N�+-�c Kece tS�+y iu+7ttY'aV¢ � a-� fNd 'f"' "1�L 7"c S7°'rz o�i�"' � .2k'� a+l'. � � 4NTAGESIFAPPROVED �� y °'r�- L ._.'.i �. a x Pc.�:::� ��P 2� �39� n7cre.. -- -__ _ ,,.�,Q.do� w.,;t( bt c.�x+� �- �r ✓��,+�,j, Jors �fJs�s e..�/ �ees. AOUNT OF TRANSACTION S �-�' �� '� V 4 COST/REVENUE BUDGETED (CIRCLE ON� `/ES NO SOURCE uTl/ �(/�"/� ACTIYITYNUMBE[t NFORrumoHCFxa N� �iOUti�t� �SS$8(C.�1 velitEP . � -� ,. . L+i`