HomeMy WebLinkAbout2006-13 amendedTOWN OF PULASHI, VIRGINIA
RESOLUTION 2006-13
AMENDED RESOLUTION AUTHORIZING A UDAG LOAN TO TIM
HOPHINS, AND MAGNOX ACQUISITION INC., AND NANOCHEMONICS
HOLDINGS, LLC
WHEREAS, the Town Council of the Town of Pulaski, Virginia has determined it
is consistent with the general health, safety and welfare to encourage the retention of
existing businesses within the Town of Pulaski; and
NOW, THEREFORE, BE IT RESOLVED by the Town Council of the Town of
Pulaski, Virginia that a UDAG loan be made to Tim Hopkins, and Magnox Acquisition
Inc., and Nanochemonics Holdings, LLC, its successors, assigns and/or subsidiaries
and/or all of which shall be deemed included where "Magnox" is hereinafter referred to,
under the following terms and conditions:
$250,000.00 in loan monies not to exceed a 5 year period for Tim
Hopkins, and Magnox Acquisition Inc., and Nanochemonics Holdings,
LLC, its successors and assigns, and/or subsidiaries, at the rate of 6%
annual interest on the unpaid balance. Principal shall be retired in thirty
five (35) equal monthly payments in years 3, 4, and 5, amortized over one
hundred twenty (120) payments, with a balloon payment of the
outstanding principal balance due at the end of year 5. In the years 1 and
2 interest only payments shall be made monthly. Release of said funds by
SunTrust now deposited with SunTrust shall be required; and
2. All superior lien holders must agree to the aforesaid items including all
periodic repayments to the Town of Pulaski by Tim Hopkins, and Magnox
Acquisition Inc., and Nanochemonics Holdings, LLC, its successors,
assigns and/or subsidiaries
3. A repayment of all current debt owed to the Town of Pulaski by Magnox
be received on or before any funds are released to Magnox and thereafter
all obligations to the Town be kept current; and
4. A Promissory Note, Deed of Trust on the Real Estate, and Security
Agreement for personal property assets giving the Town of Pulaski a 3`a
priority and/or lien status as to each form of security shall be executed by
Tim Hopkins, and Magnox Acquisition Inc., and Nanochemonics
Holdings, LLC, its successors, assigns and/or subsidiaries, in favor of the
Town of Pulaski; and
All legal fees of the Town Attorney shall be paid by Magnox before or at
the time of closing; and
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6. Magnox shall meet all environmental laws, Federal, State and or Local
and shall meet all environmental material discharge limits including those
of Peppers Ferry Waste Water Treatment Authority; and
7. Said loan shall be contingent upon the County Industrial Development
Authority making a loan under the same or similar conditions; and
8. Such other terms and conditions as maybe acceptable to the Town
Manager and Economic Development Director, including but not limited
to, the receipt of an acceptable final commitment letter from SunTrust.
This resolution is effective upon passage.
Jeffrey S. Worrell -Aye Joel B. Burchett, Jr. -Aye
Dan Talbert, Jr. -Aye David L. Clark -Aye
Lane R. Penn -Aye Larry Clevinger, II -Aye
Town of Pulaski, Virginia
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By:
Charles L. Wade, ayor
ATTESTED:
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' , Clerk of Council