Approving Revolving Loan Agreement, Mortgage and Promissory Note with Tom and Teri Keleher, Re: Improvements to property located at 109-111 East 1st Street, Monticello, Iowa.

WHEREAS, The City of Monticello has maintained a revolving loan fund for purposes of assisting downtown area businesses in renovating/improving their building/businesses as set out and approved by Resolution 04-160, the “Downtown Rehabilitation Loan Program”, and

WHEREAS, Tom and Teri Keleher own property located at 109-111 East First Street, Monticello, Iowa and has/will incur expense related to roof repairs at said property, and

WHEREAS, The expenditures related to the improvements to said building qualify for the City’s Revolving Loan program, and

WHEREAS, The City has the necessary funds in the Downtown Rehabilitation Fund to award a loan to the Applicant in the amount of $4,245.17, the amount related to the current project plus 1,335.65 to pay the balance of the existing revolving loan previously taken out by the Kelehers, resulting in one loan in the amount of $5,580.82, and

WHEREAS, One other business expressed interest in a Revolving Loan, however, has decided to hold off on taking action until the spring of 2010 at which time they may apply.

NOW, THEREFORE, BE IT RESOLVED that the City Council of Monticello, Iowa does hereby endorse and approve of the entry into a Revolving Loan Agreement between the City of Monticello and Tom and Teri Keleher in the amount of $5,580.82 at 0% interest over five (5) years, same being wholly consistent with the past practices of the City, with $1,335.65 of said loan being used to pay the balance owing on the existing revolving loan between the City and the Kelehers, the new loan to be memorialized within a promissory note, mortgage, and individual guaranty of the owners, and the earlier revolving loan to be released.