Discussion:
On February 21, 2017, Council authorized the execution of a Grant Agreement with the Minnesota Department of Employment and Economic Development (DEED). The original language read as follows:
4.3 Documentation. The following information must be submitted and approved by the State before funds will be released:
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Loan Documents. Minnesota Investment Fund Loan Agreement, promissory note, amortization schedule, corporate guaranty of parent company, security agreement, and evidence of security UCC filings.
Anchor Glass is using the MIF funds to re-brick their built in oven. This oven can not be removed from the property and it does not contain a serial number, therefore a UCC is not applicable. Staff is now asking Council to approve the following modification to this agreement removing the requirement of the UCC and security agreement. Below is a marked-up version of how the language will read:
4.3 Documentation. The following information must be submitted and approved by the State before funds will be released:
-
Loan Documents. Minnesota Investment Fund Loan Agreement, promissory note, amortization schedule, and corporate guaranty of parent company., security agreement, and evidence of security UCC filings
DEED is in the process of amending this document and will send over the appropriate documentation for signature.
Council is also being asked to authorized the execution of the Loan Agreement, Promissory Note and Loan Guaranty for Anchor Glass as modified.