Promissory Note & Repayment Agreement
VI ,- .--\
PROMISSORY NOTE
And
REPAYMENT AGREEMENT
This Promissory Note and Repayment Agreement is entered into this 18th day of
March, 2010 by Ravey Investments, LLC ("Ravey") and the City of Salina, Kansas
("City").
Recitals
A. Ravey owns Lot 80 on Seventh Street, Original Town of Salina, Saline
County, Kansas (the "Property") upon which is located what is commonly known as
Wood Fashion Plaza, the subunits of which are addressed 157 N. Seventh, 203 W. Ash,
205 W. Ash, 207 W. Ash, and 209 W. Ash.
B. Ravey will apply for participation in the City of Salina Neighborhood
Revitalization Program (the "Program) in anticipation of a rebate of property taxes paid
on the Property for 2011 and so long thereafter as the Program allows and Ravey remains
qualified.
C. For the public purpose of promoting public safety and Salina Building
Code compliance, the City has incurred the charges of Glass Services in the amount of
$2,425.24 for'doorway modifications to certain Wood Fashion Plaza subunit storefronts
necessary to eliminate obstruction of the City's right-of-way.
D. Ravey desires to promise to repay the City for the cost of the doorway
modifications and to secure the repayment obligation with a pledge of any rebate to
which Ravey is entitled pursuant to the Program.
THEREFORE:
1. Promise to Pay. Ravey promises to pay to the City the sum of $2,425.24
(the "Principal") in accordance with the terms outlined below.
2. Interest. The Principal shall not bear interest if timely repaid. Any past
due amounts of the ~rincipal shall bear compounding interest at the rate of 1.5% per
month until paid in full (the "Interest").
3. Pledge of Rebate and Payment of Principal. To the extent Ravey's
application for participation in the Program is approved for a partial rebate of 2011
property taxes on the Property, Ravey pledges any property tax rebate for which it may
qualify pursuant to the Program and consents to the direct payment of the Principal first
from any such rebate payment or payments as may be necessary to fully pay the Principal
prior to payment of any of the rebate to Ravey.
:./ ..
4. Disapproval of Application. To the extent Ravey's application for
participation in the Program is not approved for a partial rebate of the 2011 property
taxes, the Principal shall be due and payable in full no later than December 31,2011. To
the extent any the Principal becomes due and payable pursuant to this paragraph, but
remains unpaid as of December 31, 2011, the City may elect to either (a) pursue the
unpaid Principal and Interest as a debt of Ravey or (b) levy and certify to the Saline
County Clerk the unpaid Principal and Interest as an assessment against the Property.
5. Legal Fees Incurred in Collection. Any legal fees incurred by the City in
enforcing Ravey's obligation hereunder shall be recoverable by the City against Ravey in
the same manner as payment of the Principal under either paragraph 3 or 4 above.
6. Binding Obligation. This instrument shall be binding upon and inure to
the benefit of the parties and their successors and assigns.
EXECUTED by the duly authorized officers of the respective parties the day and
year first written above.
RA VEY INVES:E~
By: IV\.
es M. Ravenkamp, President
CITY OF SALINA, KANSAS
By:
ATTEST:
A. ALYSSA URBAN
~ Notary Public - tate of KaPJas
My Appt. Expires 0