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HOUSING AND REDEVELOPMENT AUTHORITY OF ST. ANTHONY RESOLUTION NO. 12-07 RESOLUTION RELATING TO AMENDMENT TAX INCREMENT NOTE FOR THE LANDINGS HOUSING PROJECT WITHIN SILVER LAKE VILLAGE WHEREAS, on September 14, 2004, the City of St. Anthony (the "City") and the St. Anthony Housing and Redevelopment Authority (the "HRA") entered into a Rental Housing Redevelopment Agreement ("Redevelopment Agreement') with St. Anthony Leased Housing Associates 1 ("Developer") regarding rental housing within the portion of the City known as Silver Lake Village; and WHEREAS, in accordance with the Redevelopment Agreement, the HRA on October 19, 2004, the HRA issued a pay-as-you-go Limited Revenue Taxable Tax Increment Note ("Note") to the Developer in the principal amount of $4,464,407; and WHEREAS, the Note provides that interest accrued from the date of issuance to the first payment date (August 1,'2006) was to be added to the principal amount of the Note, which resulted in accrued interest from October 19, 2004 until August 1, 2006 of $467,449, thus the principal amount of the Note became $4,931,856; and WHEREAS, the Note provides that if the annual tax increment generated regarding the Note is not sufficient to pay accrued interest on any given payment date, that the unpaid interest shall accrue and be added to the principal amount; and WHEREAS, due primarily to the timing of completion of construction of the related project, tax increment generated to date has not been adequate to pay accrued interest on the Note; and WHEREAS, the Developer has agreed that the intent under the Development Agreement was that accrued interest would only be added to principal on the Note up and until the first payment date of August 1, 2006, and that the Note should be amended to such effect; and WHEREAS, all other terms of the Note should remain in force and effect. NOW, THEREFORE, BE IT RESOLVED, by the housing and Redevelopment Authority of St. Anthony as follows: The amendment of the Note to provide that accrued interest shall only be added to principal of the Note up to the first payment date of August 1, 2006 is hereby approved, and the Chair and Executive Director are authorized to execute and deliver on behalf of the HRA an amended Limited Revenue Taxable Tax Increment Note to the Developer in the original principal amount of $4,464,407 providing that interest would only accrue and be added to principal up and until the first payment date of August 1, 2006, upon surrender by the Developer to the HRA of the original Limited Revenue Tax Increment Note in the principal amount of $4,464,407 issued October 19, 2004. Adopted this 26th day of June, 2012