Title
Approving modifications to Neighborhood STAR Program funding for Mosaic on a Stick, LLC.
Body
WHEREAS, on July 10, 2013, by Resolution #13-933, the Saint Paul City Council approved a $5,886 Neighborhood STAR loan and a $5,886 Neighborhood STAR grant to Mosaic on a Stick, LLC (“Mosaic”), an art studio that provides classes, retail sales, and workspace for artists in the historic Hamline Park building, and
WHEREAS, the STAR loan and STAR grant were to be used to raise the ceiling, install studio lights, add exterior signs, and install a concrete pad for an outdoor sculpture at the historic Hamline Park Building; and
WHEREAS, the owner of Mosaic cannot make the monthly payments on the STAR loan because Mosaic’s revenues have significantly decreased within the last several years, and
WHEREAS, the owner of Mosaic actively improves the Midway neighborhood of Saint Paul. is currently working on another public piece of art with the City for Midway Peace Park and is working with Hamline Midway Coalition on the Pollinator Pathways Project, and
WHEREAS, the owner of Mosaic requested the conversion of the STAR loan to a grant and forgiveness of $561.63 in interest and late fees.
WHEREAS, on October 22, 2019, the City of Saint Paul’s Planning and Economic Department (“PED”) Credit Committee recommended a reduction to Mosaic’s scope of work to include completion only of an outside sculpture and to lower the interest rate to 0%; and
WHEREAS, PED’s Credit Committee also recommended forgiveness of Mosaic’s STAR loan, past due interest, and late fees if the sculpture is finished by July 1, 2020 and maintained until July 1, 2025 or the duration of tenancy, whichever comes first; and
WHEREAS, on November 15, 2019, the Neighborhood STAR Board reviewed Mosaic’s request and recommended the terms set forth by PED’s Credit Committee; and
WHEREAS, because Mosaic’s project is of substantial community significance, it is the intent of the Mayor and the Saint Paul City Council to amend the scope of Mosaic’s 2013 Neighborhood STAR award as proposed and to forgive the loan if Mosaic finishes the sculpture by July 1, 2020;
RESOLVED, upon the recommendation of the Mayor, the Saint Paul City Council authorizes and directs the appropriate City officials to execute the necessary grant and loan amendments to implement this Resolution, subject to approval by the City Attorney; and be it
FINALLY RESOLVED, staff of PED are further authorized and directed to proceed with all other actions necessary to implement this Resolution.