HomeMy WebLinkAbout2025-10-28 Promissory Note - 242 W 15 AveDocument Number
IPROMISSORYNOTE, COVENANT
AND MORTGAGE
Document Title
PROPERTY OWNER: DAVIS, ALEXANDER/SAMANTHA
CITY: City of Oshkosh
215 Church Avenue
PO Box 1130
Oshkosh, WI 54903-1130
PROPERTY: The real property described below with its address
Commonly known as 242 W 151h Avenue, Oshkosh, WI 54902.
DOC# 1955401
SUSAN D-
RECORDEDREGISTER OF DEEDS
WINNEBAGO COUNTY, WI
RECORDING00
PAGES: 11
ling Area
and Return Address
City Attorney's Office
PO Box 1130
Oshkosh, WI 54903-1130
Tax Parcel Number: 90901870000
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The Property subject to this agreement, which is a tract of land situated in the City of Oshkosh, Winnebago
County, Wisconsin, is more specifically described as follows: LOT 16 BLK 58 PLAT OF ORIGINAL 3RD WARD,
CITY OF OSHKOSH, WINNEBAGO COUNTY, WISCONSIN.
CONSIDERATION: To assist Properly Owner with the replacement of a lead water service line servicing
the Property described above, the City of Oshkosh (City) will provide a lump sum
loan of Two thousand, seven hundred dollars and zero cents ($2,700.00) pursuant to
the terms of this Promissory Note, Covenant, and Mortgage (hereinafter
"Agreement"). The loan proceeds shall be exclusively used for payment of up to 50%
of the cost to replace a lead service line and total loan amount shall not exceed
$2,700.00 plus Sixty Dollar ($60) fee.
PROMISE TO PAY / REPAYMENT TERMS:
Property Owner promises to pay the amount loaned as follows:
i. Property Owner shall pay the principal amount of the loan plus a fee in the
amount of $60.00 together with interest as provided in (ii) below over a term
of 10 years.
ii. Interest shall accrue at a rate of two percent (2.0%) per annum.
iii. Repayment shall be made annually through special charge on the Property tax
bill on the schedule attached hereto as Exhibit "A" and provided to the
Property Owner.
iv. Property Owner may prepay all, or a portion, of the balance of the loan
without premium or penalty.
CONSENT TO SPECIAL CHARGE:
Property Owner agrees that repayment of the loan amount shall be secured by the
City's right to special charge as provided by §66.0627 of the Wisconsin Statutes.
Each year per the schedule above, Property Owner agrees that the City may levy the
0
amount of the obligation against the Property as a special charge pursuant to Wis.
Stat. §66.0627(8)(ag). In connection therewith, Property Owner:
(i) acknowledges that the City has incurred financial obligations in
connection with loan;
(ii) agrees that the amount of the special charge, if levied consistent with this
Note, constitutes a proper exercise of the City's authority to levy special
charges in accordance with Wis. Stat. §66.0627(8)(ag)-(cm);
(iii) agrees that the allocation of the amount of the special charge to the
Property is reasonable;
(iv) consents to the imposition and levy of such special charge;
(v) agrees that the levy of special charges in accordance herewith is
authorized by signature on this Agreement, and that no further procedural
steps need be taken by the City;
(vi) waives all notices, hearings, and appeals provided by Wis. Stat. §66.0627
or any other statute; and
(vii) acknowledges that the City is relying on the terms of this Agreement, and
specifically the terms of this subsection in making the loan and that if the
provisions relating to special charges are not enforced that the City would
not have entered into this Agreement and such Agreement would be
inequitable.
(viii) Acknowledges that an installment payment that is delinquent becomes a
lien on the Property as of the date of delinquency. A lien under this
paragraph runs with the land and has the same priority as a special
assessment lien and may be enforced by foreclosure.
This promise to pay is secured with a covenant on the Property which shall run
with the land and shall bind Property Owner, their heirs, executors,
administrators, assigns, and successors in interest until payment in full is received
as provided.
The City shall follow its customary practice in collecting special charges placed on
the tax rolls, including assessing penalties and charging interest, and initiating
foreclosure proceedings where appropriate.
Special charges collected for private LSL replacement loan repayments shall be
placed in a segregated fund and disbursed in accordance with` -the requirements of
the City's funding sources.
City shall keep an accounting of private LSL replacement loans and payments
received by the City and provide Property Owner with such information upon
request.
MORTGAGE: This is not homestead property.
Property Owner (Mortgager) hereby mortgages to the City of Oshkosh (Mortgagee) to
secure the payment of this Promissory Note the Property described herein, including all
fixtures and other appurtenant interests, together with any rents or profits therefrom.
Mortgager shall not transfer, sell or convey any legal or equitable interest in the Property
(by deed, land contract, option, long-term lease or in any other way) without the prior
written consent of Mortgagee, unless either the indebtedness secured by this Mortgage is
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COVENANTS:
first paid in full or the interest conveyed is a mortgage or other security interest in the
Property, subordinate to the lien of this Mortgage. The entire indebtedness under the note(s)
secured by this Mortgage shall become due and payable in full, at the option of the
Mortgagee without notice, upon any transfer, sale or conveyance made in violation of this
paragraph.
This is not a purchase money mortgage.
At all times the Property Owner:
1. Will pay all taxes, special assessments and special charges which may be
levied or assessed against Property subject to this Agreement before they
become delinquent.
2. Will retain title to the Property or upon transfer of title pay in full the
remaining amount due in full or shall notify any purchaser or other
successor in interest of this Agreement and the Covenants contained herein.
3. Will not to commit waste nor suffer waste to be committed on the Property,
and will keep the Property in good condition and repair and pay when due
all indebtedness which may be or become secured at any time by a mortgage
or other lien on the Property.
4. Will keep the Property insured for fire and other perils for at least the full
and fair market value of the Property and pay the premiums thereon when
due.
5. Agrees that, in the event that an enforcement or collections action is filed,
that all expenses, including reasonable attorney's fees, will be added to the
amount of the loan and will become immediately due.
MODIFICATIONS: Any change or modification of this agreement must be in writing and signed by all
parties signing this original Agreement.
NOTICES: All notices must be sent or copied to all parties identified above, or to their
successors in interest upon written notice.
DEFAULT: Events of Default
Property Owner agrees that time is of the essence with respect to payment of
principal and interest when 'due, and iri the performance of the terms, conditions
and covenants contained herein. The occurrence of any of the following events shall
constitute an "Event of Default" under this Promissory Note, Covenant and
Mortgage.
1. The Property Owner fails to make any loan payment when due;
2. The Property owner breaches any covenant, representation, or warranty
contained in this Agreement;
3. The Property Owner becomes insolvent, files for bankruptcy, or is the
subject to any bankruptcy or insolvency proceeding;
4. The Property Owner fails to maintain the required insurance on the
Property or lets the property taxes become delinquent;
5. Any legal suit or proceeding is initiated, including but not limited to a
notice of foreclosure or foreclosure action, that in the City's opinion,
may impair the City's interest in the Property.
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Consequences of Default
In the event of default, Property Owner agrees that the City may, at its option,
declare the whole amount of the unpaid principal, fees, and accrued interest due
and payable, and may exercise any rights and remedies available under law,
including but not limited to:
1. Foreclosure of the mortgaged property.
2. Collection of past due amounts through legal proceedings.
3. Recovery of costs and expenses incurred, including reasonable
attorney's fees.
4. Inclusion of the entire balance of the unpaid principal and interest in the
current year's special charge as provided above.
Notice of Default
Upon default of the obligations under this Note and Covenant, City shall mail notice
to Property Owner specifying: (a) the default; (b) the action required to cure the
default; (c) a date, not less than 30 days from the date the notice is mailed by which
date the default must be cured; and (d) that failure to cure the default on or before
the date specified in the notice may result in acceleration and the outstanding
balance becoming immediately due and owing.
TERM: The term of this Agreement shall begin as of the date indicated below and shall
terminate upon payment in full of the loan amount including all fees, costs and
interest that are due and owing pursuant to this Agreement.
[Signature Pages to follow]
4
Dated this 24th day of September, 2025.
PROPERTY OWNER
By:
Peter J6nge6>6A for Alexander and Samantha Davis
STATE OF WISCONSIN )
) ss.
WINNEBAGO COUNTY )
Personally, came before me this 24th day of September 2025, the above -named, Peter Jensen, to me
known to be such persons who executed the foregoing instrument and acknowledged the s,�mv;`fior,jAe
purpose herein contained. ,,��'NP M
pTAR
UlJ pUB G
Notary Public State of Wisconsin
My Commission expires: ,n(Q (p(�1o %TF OF W\SGD'`�
[signature pages continued on next page]
CITY OF OSHKOSH
By:
Rebecca N. Grill, City Manager
By:
Cheryl Pio1q, Interim City Clerk
STATE OF WISCONSIN )
) ss.
WINNEBAGO COUNTY )
Personally, came before me this 24th day of September, 2025, the above -named Rebecca N. Grill and.
Cheryl Pionke of the City of Oshkosh, to me known to be such persons who executed the foregoing
instrument and acknowledged the same, for the purpose herein contained. 1 �4%a11a a Q; FBA+ f
N/
Notary Oublic, State of Wisconsi a
My Commission expires: O
APPROVED AS TO FORM: APPROVED AS TO FUNDING AVAILABILITY:
U✓
Lynn A,orenson, ty Attorney Jul' Calmes, Finance Director
DRAFTED BY: Lynn A. Lorenson
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DURABLE POWER OF ATTORNEY
I, Samantha and Alexander Davis, residing at 110 Sterling Ave, Oshkosh, Wisconsin 54901,
hereby appoint Peter Jensen of 2020 Pike Drive #8, Fitchburg, Wisconsin 53713, m my attorney -
in -fact ("Agent") to exercise the powers and discretions described below.
This Power of Attorney shall not be affected by my subsequent incapacity.
However, the preceding sentence shall not have the effect,of revoking any powers of attorney that
are directly related to my health care that previously have been signed by me:
My Agent shall have full power and authority to act on my behalf. This power and authority shall
authorize my Agent to manage and conduct all of my affairs and to exercise all of my legal rights
and powers, including all rights and powers that I may acquire in the future. My Agent's powers
shall include, but not be limited to, the power -to:
1.Open, maintain or close bank accounts (including, but not limited to, checking accounts,
savings accounts, and certificates of deposit), brokerage accounts, retirement plan accounts,
and other similar accounts with financial institutions.
a. Conduct any business with any banking or financial institution with 'respect to any of
MY accounts, including, but not limited to, making deposits and withdrawals, negotiating
or endorsing any checks or other instruments with respect to any such accounts,
obtaining bank statements, passbooks, drafts, money orders, warrants, and certificates
or vouchers payable to me by any person, firm, corporation or political entity.
b. Perform any act necessary to deposit, negotiate, sell or transfer any note, security, or
draft of the United States of America, including U.S. Treasury Securities.
c. Have access to any safe deposit box that I might own, including its contents.
2. Sell, exchange, buy, invest, or reinvest any assets or property owned by me. Such assets
or property may include income producing or non -income producing assets and property.
3. Purchase and/or maintain insurance and annuity contracts, including life insurance upon my
life or the life of any other appropriate person.
4. Take any and all legal steps necessary to collect any amount or debt owed to me, or to
settle any claim, whether made against me or asserted on my behalf against any other person
or entity.
5. Enter into binding contracts on my behalf.
Page 1 of 7
6. Exercise all stock rights on my behalf as my proxy, including all rights with respect to
stocks, bonds, debentures, commodities, options or other investments.
7. Employ professional and business assislance as may be appropriate, including attorneys,
accountants, and real estate agents.
8. Sell, convey, lease, mortgage, manage, insure, improve, repair, or perform any other act
with respect to any of my property (now owned or later acquired) including, but not limited
to, real estate and real estate rights (including the right to remove tenants and to recover
possession). This includes the right to sell or encumber any homestead that I now own or may
own in the future.
9. Prepare, sign, and file documents with any governmental body, or agency, including, but not
limited to, authorization to:
a. Prepare, sign and file income and other tax returns with federal, state, local, and other
governmental bodies.
b. Obtain information or documents from any government or its agencies, and represent
me in all tax matters, including the authority to negotiate, compromise, or settle any
matter with such government or agency.
c. Prepare applications, provide information, and perform any other act reasonably
requested by any government or its agencies in connection with governmental benefits
(including medical, military and social security benefits), and to appoint anyone, including
my Agent, to act as my 'Representative Payee" for the purpose of receiving Social
Security benefits.
10. To create, sign, modify or revoke any trust agreements or other trust documents in an
attempt to manage or create a trust that was created for my benefit or the benefit of my
dependents, heirs or devisees. This shall include the creation, modification or revocation of
any inter vivos, family living, irrevocable or revocable trusts.
11. Subject to other provisions of this document, my Agent may disclaim any interest, which
might otherwise be transferred or distributed to me from any other person, estate, trust, or
other entity, as may be appropriate. However, my Agent may not disclaim assets to which 1
would be entitled, if the result is that the disclaimed assets pass directly or indirectly to my
Agent or my Agent's estate.
This Power of Attorney shall be construed broadly as a General Power of Attorney. The listing of
specific powers is not intended to limit or restrict the general powers granted in this Power of
Attorney in any manner.
Any power or authority granted to my Agent under this document shall be limited to the extent
necessary to prevent this Power of Attorney from causing, (1) my income to be taxable to my
Pave 2 of 7
Agent, (ii) my assets to be subject to a general power of appointment by my Agent, or (iii) my
Agent to have any incidents of ownership with respect to any life insurance policies that 1 may own
on the life of my Agent.
My Agent shall not be liable for any loss that results from a judgment error that was made in good
faith. However, my Agent shall be liable for willful misconduct or the failure to act in good faith
while acting under the authority of this Power of Attorney. A Successor Agent shall not be liable
for acts of a prior Agent.
No person who relies in good faith on the authority of my Agent under this instrument shall incur
any liability to me, my estate or my personal representative. I authorise my Agent to indemnify and
hold harmless any third party who accepts and acts under this document.
If any part of any provision of this instrument shall be invalid or unenforceable under applicable
law, such part shall be ineffective to the extent of such invalidity only, without in any way affecting
the remaining parts of such provision or the remaining provisions of this instrument.
My Agent shall be entitled to reasonable compensation for any services provided as my Agent.
My Agent shall be entitled to reimbursement of all reasonable expenses incurred as a result of
carrying out any provision of this Power of Attorney.
My Agent shall provide an accounting for all funds handled and all acts performed as my Agent as
required under state law or upon my request or the request of any authorized personal
representative, fiduciary or court of record acting on'my behalf.
This Power of Attorney shall become effective immediately, and shall not be affected by my
disability or lack of mental competence, except as may be provided otherwise by an applicable
state statute. This is a Durable Power of Attorney. This Power of Attorney shall continue effective
until my, death. This Power of Attorney may be revoked by me at any time by providing written
notice to my Agent.
[SIGNATURE PAGE FOLLOWS]
Page 3 of 7
Dated G1.tiA h a g , a P at Oshkosh, Wisconsin.
Samantha and Alexander Davis
STATE OF WISCONSIN,
COUNTY OF WINNEBAGO, ss:
This instrument was acknowledged before me on this day of�
by Samantha and Alexander Davis. ,
/' ��• NOTARY
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My commis n expires ' a
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Peter
page 4 of 7
� x
City EXHIBIT A
cf
Oshkosh
September 24, 2025
Owner: Alexander & Samantha Davis
Parcel ID: 09-0187-0000
Parcel Address: 242 W 15f Ave
Total Loan Amount: $2,760.00
Interest Rate: 2% per year
Please find enclosed the amortization schedule for the above referenced property's lead
pipe replacement loan. Your yearly installment plus 2% interest will automatically roll
onto the current year's tax bill and every consecutive year thereafter until paid in full.
The loan will be due in full plus accrued interest upon sale or transfer of title of
property. Please request a payoff statement from the City of Oshkosh at
CitvLetter@oshkoshwi. zov.
10 Year Loan Amortization for Lead Pipe Replacement:
LOAN'AM�UNT $2,760.00 WA 10
(N YEARS 10
ANNUAL INTEREST RATE 2.00 % START. DA € .v ` . 9/24/2025
2025
$2,760.00
$276.00
$14.97
$290.97
$2,484.00
$276 QQ
, `. " .".
$49 68,
" ..
:-: $32S 68:....
$2 208:Q0°'
2027
$2,208.00
$276.00
$44.16
$320.16
$1,932.00
2Q28 . ,
,
$1932=00
$276 Q0
=°'
$38 6 `
" ."
$314 64"
;
$1656.00,
2029
$1,656.00
$276.00
$33.12
$309.12
$1,380.00
2030;.
$i 380 Oq
$276 OQ
== ,.
$27.6Q
.
$303, 60`
2031
$1,104.00
$276.00
$22.08
$298.08
$828.00
2032_
$828:OQ
$276 00
.:;'
$16 5:6;
$292.56 .
' :'
$552'.QO. !,
2033
$552.00
$276.00
$11.04
$287.04
$276.00
2034 ."::
= "
$276;:00
$276 OQ
. ;.
-: $5 52
f ..
$28152
:.
, . .. , " . $O.00
City Hall, 215 Church Avenue P.O. Box 1130 Oshkosh, WI 54903-1130 http://www.oshkoshwi.gov