Contracts & Agreements_193-2013 - Laserfiche WebLink

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CORRECTED PROMISSORY NOTE $28,922.75 September 17, 2013 Redlands, California For value received, the Successor Agency to the former Redevelopment Agency of the City of Redlands (the "Borrower") promises to pay to the CITY OF REDLANDS, a public body, corporate and politic (the "City"), at the City's office at 35 Cajon Street, Redlands, California 92373, or such other place as the City may designate in writing, the principal sum of Twenty Eight Thousand Nine Hundred Twenty -Two and Seventy -Five One Hundredths Dollars ($28,922.75) (the "Corrected Principal Amount"), in currency of the United States of America, which at the time of payment is lawful for the payment of public and private debts. On or about July 11, 2012, the Borrower executed that certain Promissory Note (the "Original Promissory Note") to repay the City the principal sum of Sixty Five Thousand Six Hundred Seven and Thirty Seven One Hundredths Dollars ($65,607.37) (the "Original Principal Amount") which the City lent to the Borrower for the sole purpose of satisfying in part a demand for payment in the amount of $2,601,269.00 from the County of San Bernardino Auditor -Controller (the "True Up Payrnent" ). After reconciling the accounts of the Borrower, the Borrower and City confirmed that the Borrower only used $28,922.75 of the funds lent by the City to make the True Up Payment. The remaining amount of the Original Principal Amount was not used by the Borrower for any purpose and has been returned to the City. The Corrected Promissory Notice is executed solely for the purpose of correcting the principal amount owed by the Borrower to the City, and in all other respects restates and reaffirms the terms and provisions of the Original Note. Upon execution of this Corrected Note, the Original Note shall be returned to the Borrower and shall be of no further force or effect. 1. Interest. Simple interest shall accrue upon the Note Amount at the rate of thirty-eight one hundredths of one percent (0.38%) per annum upon such obligation, fully amortized over the term (the "Term") ending as of June 30, 2017 (the "Maturity Date"); excepting that in the event of the occurrence of any Event of Default, interest shall thereupon accrue at the rate of ten percent (10%) per annum (provided that in the event such interest rate exceeds the maximum interest which may be lawfully charged, then this Note shall be deemed to instead provide for interest to be charged at the highest interest rate that may be charged pursuant to applicable Iaws). 2. Repayment of Note Amount. Payment shall be due in full; including accrued interest, on the Maturity Date. if the Note is not paid upon the Maturity Date, the failure to make the payment shall be an event of default by the Borrower. There shall not be a penalty if the Note is paid in full prior to the Maturity Date. 3. Waivers. (a) The Borrower expressly agrees that this Note, or any payment hereunder, may be extended from time to time at the sole discretion of the City Manager and that the City may accept security in consideration for any such extension or release any security for this Note at its sole discretion, all without in any way affecting the liability of the Borrower. (b) No extension of time for payment of this Note made by agreement by the City with any