Resolution 1493HOUSING AND REDEVELOPMENT AUTHORITY
IN AND FOR THE CITY OF RICHFIELD, MINNESOTA
RESOLUTION NO. 1493
RESOLUTION ADOPTING LOAN FORGIVENESS POLICY
WHEREAS, the Housing and Redevelopment Authority in and for the City of Richfield,
Minnesota (the "Authority") administers several housing programs for property owners and offers
deferred loans ("HRA Load') which are secured with a note and a mortgage filed against the property;
and
WHEREAS, each of the loans becomes due upon various occurrences, including the payment in
full of a first mortgage, the date the property is sold, transferred or otherwise conveyed, the property is
rented, leased, unoccupied or assigned, a default under the first mortgage, the mortgage is satisfied or
assigned, or the property owner does not occupy the home for more than one year; and
WHEREAS, property owners sometimes face financial hardships and may have insufficient
funds to repay their HRA Loan in full; and
WHEREAS, as the HRA Loans become due, several homeowners have asked for modifications
of their HRA Loan note and/or security agreement and several of those requests have been granted; and
WHEREAS, Authority staff request the flexibility to respond to property owner requests related
to their HRA Loans when each mortgage is due and financial hardship is present; and
NOW, THEREFORE, BE IT RESOLVED, by the Board of Commissioners of the Housing and
Redevelopment Authority in and for the City of Richfield, Minnesota as follows:
1. The Executive Director is hereby authorized to review and execute modifications to HRA
Loan notes and security agreements, which may include but is not limited to forgiveness, extensions of time
to pay the loan, and/or reduction in the repayment amount in cases of financial hardship.
Adopted by the Housing and Redevelopment Authority in and for the City of Richfield,
Minnesota this 18'h day of November, 2024.
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Erin Vri ze Dani s, Chair
ATTEST:
Sean Hayford Oleary, Secretary