2025-09-01-R - Laserfiche WebLink

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LOAN AGREEMENT This Loan Agreement(the"Agreement")is entered into as of September 30, 2025 (the "Effective Date"), between THE WALTON FAMILY FOUNDATION, INC., a Delaware nonprofit,nonstock corporation(the"Lender")and THE CITY OF BATESVILLE,ARKANSAS, a municipal corporation organized and duly existing under the laws of the State of Arkansas(the "Borrower"). RECITALS WHEREAS,the Borrower is a municipal corporation organized and duly existing under the laws of the State of Arkansas and is authorized by Amendment No. 78 to the Arkansas Constitution("Amendment No. 78") and Title 14, Chapter 78 of the Arkansas Code of 1987 Annotated to borrow money and enter into loan agreements with private parties for the purpose of financing the acquisition, construction, installation and other costs associated with buildings, structures,equipment and improvements to be used for governmental purposes of the Borrower; WHEREAS,the Borrower desires to make improvements to city-owned property for the purpose of constructing bicycle trails to promote public recreation and tourism(the"Project"); WHEREAS,the Borrower is applying for matching funds from the State of Arkansas for the Project in an amount equal to Five-Hundred Thousand Dollars(the"Match"); WHEREAS,Lender desires to make a loan to Borrower in the amount of Five-Hundred Thousand Dollars ($500,000.00) (the "Loan") on the terms and conditions set forth in this, Agreement to facilitate the construction by Borrower of the Project and the improvement, maintenance and operation of the Project,and Borrower desires to accept the Loan; WHEREAS,the Lender and the Borrower intend that the transactions provided for in this Agreement constitute a"program related investment"of the Lender within the meaning of Section 4944(c)of the Internal Revenue Code of 1986,as amended(the"Code")and Treasury Regulations Section 53.4944-3;and WHEREAS,Lender desires to make the Loan in furtherance of its charitable mission to create positive change for people and communities in Arkansas and is willing to make such Loan to the Borrower upon the terms and subject to the conditions hereinafter set forth. NOW,THEREFORE,in consideration of the foregoing premises,and for other good and valuable consideration,the receipt and sufficiency of which are hereby acknowledged,the parties hereto agree as follows: ARTICLE I THE LOAN AND ITS PURPOSE Section 1.1 The Loan and the Closing;Loan Disbursements. (a) In accordance with the provisions of this Agreement and subject to the conditions precedent set forth in Section 3.1, 1