HomeMy WebLinkAbout2009-09-10 OPH Ltr to Todd Erickson of FFE Re LOC Reduction RequestCity of Oak Park Heights
14168 Oak Park Blvd. N 0 Box 2007 0 Oak Park Heights, MN 55082 Phone (651) 439 -4439 0 Fax (651) 439 -0574
September 10, 2009
Mr, Todd Erickson
Folz, Freeman Erickson
12445 55th Street North
Lake Elmo, MN 55042
RE: Oak Green Village LOC Reduction Request Nolde Oakgreen Village
Dear Todd
The City is receipt of your request to reduce the letter of Credit #544 from Jennings State Bank in the amount of $197,500. At this time the City
will consider a reduction in such LOC from $197,500 to $65,000, At this time, however, please submit to the City a new LOC in such amount
with ONLY THE FOLLOWING CONDITIONS stated on the document. Should there be other conditions not consistent with the following, the
City will reject same.
1. LETTER OF CREDIT shall be deemed automatically renewed without modification for one (1) additional year after expiration date
of letter of credit) or any extended expiration date unless sixty (60) days or more prior to such date the City is notified by Certified Mail that the
bank will not to extend this LETTER OF CREDIT for any such additional period.
2. Partial drawings are permitted.
3. Each draft under this Letter of Credit must:
Be signed on behalf of the City;
Bear on its face the clause "drawn under (name of the bank) Letter of Credit Number Dated
Be accomplished by a certification signed on behalf of the City of Oak Park Heights
that either 0) name of developer) has failed to comply with the terms of the Developer's Agreement or any
subsequent amendment, or (ii) (name of developer) has failed to comply with the terms of the Developer's Agreement
or any subsequent amendment, or (iii) this Letter of Credit will expire within sixty (60) days and this Letter of Credit
has not been renewed or replaces as required.
4. The original of th Letter of Credit is NOT required to be presented to draw upon this Letter of Credit.
5. The new shall be in effect through 12/31/2010, with subsequent extensions thereafter.
Upor the r: -'.t of e new LOC and should the City deem it to be satisfactory, only then will the City release current LOC as indicated.
if 4u have any questions.
Eri
strator
Cc: Judy Hoist, Finance Director
Mark Vierling, City Attorney
Planning File