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Home My WebLink AboutResolution 1238 '��F '.;;l3 ' . . � �� , � . �� . � � .. . `� ` � <� �� • i .� � . �:: c�t� �� oR,oNo i �. . � � ' Y- � `v' � RESOLUTION OF THE CITY COUNCIL � .r`�"�- NO. 1238 ,� - � e ' ..�. . . iS'.': !Y� . � RESOLUTION �GIVING.. PRELIMINARY APPROVAL�� . . � TO A PROPOSED INDUSTRIAL DEVELOPMENT�•PROJECT . � � � . � BY NELSON-CREAR� : ° ° . - UNDER THE MUNICIPAL INDU�STRIAL�•DEVELOP.I+�IENT .� . - � . ACT AND AUTHORIZING, SUBMISSION :_ . � . OF AN APPLICATION .TO ,THE, � � • • � COMMISSIONER OF SECURITIES`.FOR`APPROVAL THEREOF . � . � Be It Resolved by the City Council of the•�City of . � . Orono, Minnesota, as follows.: . � � . . �, ��SI.• . . t.... - l. There has been presented to this Council a ,p:roposal� by Nelson-Crear (the "Borrower".) that� the.. City undertake a project � � � -. pursuant to the Minnesota Municipal Industrial Development Act �: • ' (Minnesota Statutes, Chapter 474) ,for the� acquisition, com-�=� str•�tion and equipping of,, a commercial office bui'�.ding� (the � � ' ;' '� ';�ect" ) . Under the proposal; the .Project wil�l� be :owned by �the � . t , f_.�`rrower and leased to various tena�ts and .the Borrower will�- � enter into a Loan Agreement with the City upon such te'rms and . conditions as are necessary -to produce income .and ;r.evenues � sufficient to pay when due the principal of and .interest an up to � approximately $400, 000 Industrial Development Revenue Bqnd. of the � City to be issued pursuant to said Chapter 474� Minneso�ta Statutes, ; � to provide monies for the acquisition,, construct�ion�:,arirl -:eguipping ;�,;; ..� of° the Project, the City will ple�dge it� i.nterest in the Loan :'�� 1 Agreement to the bondholder, and the`. Bo.rrower will mortgage �: � . the Project to secure the bond. � � 2 . As required by said. Chapter 474, Minnesota Stat`utes, � this Council conducted a public hearing on .;�anuary_�," 1981 �'��r on the -proposal to undertake and f�inance 'the Proj.ect, .after . � . publication in the official newspaper �and. a newspaper ot general�°� .�� circulation in the City of a notice of the time and ,pl`ace of� • - hearing, stating the general nature of. the .Projeat �and . an estimate � • of the principal amount of bonds or other obli.gations;.'fto;,be � � issued to finance the Project and. stating that �a: dra:ft copy ��of�� ' the proposed Application to the Commissioner of Sec�iriti�es,-�� . together with all attachments and exhibits ther��o, shall be_`"„� '� � available for public inspection at the office.�of tYie City �Clerk.� ,� � in the City Hall, Orono, Minnesota,� at a31`-times<`b�twe�n�.,�. � , .• . ^ � ; the hours, of 8 : 0 0 a.m. and 4: 30 :p.m. each day` except� Satur•days, � � - •S°'w�a�ys and holidays to and including the �day of.,he�ring;; .and 'all � � � ' iar.��ies who appeared at the public �}�earing were giden� an�:`opportunity to express their views with respect to the, pro.posal. ' o � . Page 1 of 3 . , 1 i^.i;w ..-.."v�. `r�i k� . � 3 KZ.;:� � . . �' ^4L+"`'.y;�- � �x �- "�� Cit o� ORONO � . �� _. � . . '°'" °� � RESOLUTION OF THE CITY COUNCIL � .�x. -�. �-:��..• �•� :� NO. 12 3 8 ��. e .� .,�� •':w� _s,- 3. It is hereby found, determined and declared� that the purpose of the Project is and the effect thereof will be to promote the public welfare by the attraction, encouragement and development of economically sound industry, agriculture and commerce so as to prevent, so far as possible, the emergence of blighted and marginal lands and areas , of chronic unemployment; the retention and development of industry to use the available r`esources of the community, in order to retain �the benefit of their exi�ting investment in educational and pu,blic service . facilities, by halting the movement of talented and educated •f'.�• personnel of mature age to other areas and thus preserving �the , • economic and human resources needed as a base for providing governmental services and facilities; and the more intensive development of land available in the area to provide a more adequate tax base to finance the cost of governmental services in the City, County, and School District where the Project is located. a y� ` • � , 4 . The Borrower has entered into preliminary discussions with The Towle Company (the "Financial Advisor") � and the Financial Advisor has reported that the Project and the sale of the bond therefor are economically feasible. 5. The Project is hereby given preliminary approval by � the City subject to approval of the Project by the Commissioner � of Securities and subject to final approval by this Council and by the purchasers of any bonds to be issued and as to the ultimate � details of the Project. • � 6. In accordance with Section 474. 01, Subd. 7, Minnesota Statutes�, the Mayor, the City Clerk and such other officers and representatives of the City as may from time to time be designated � are hereby authorized and directed to� submit the proposal for the Project to the Commissioner of Securities and request her approval " thereof, and the Mayor, the City Clerk, and other officers, employees and agents of the City are hereby .authorized to provide � the Commissioner with such preliminary information as she may require. The Borrower, Messrs. Faegre & Benson as bond counsel, the Financial Advisor, the City Attorney, and, other City officials are also authorized,to initiate the preparation of a proposed loan agreement, mortgage and such other documents as may be necessar,y ' � l:"' ��v�ro�,riate to the Project so that, when and if the proposed Project is approved by the Commissioner and this Council gives its � . final approval thereto, the Project may be carried �orward expe- ditiously. � Page 2 of 3 � � , ,.:,�_� �,�� w, �� c a. � � � ��„, .. : , �'� . ;f �� -� t� � Clt� of ORONO ,< ,h � �. ! ;. . r . . . :;,. ��---- aE�: ,,,.a,� =�. � RESOLUTION OF THE CITY COUNCIL � � NO. 1238 N�� :�. ;�,:. "� o:-�: � _ :�:r::.;�;_A,,;kF,: � 7 . The Borrower has agreed to pay any and all costs incurred by the City in connection witH the Project whether or , not the Projec� is approved by the Commissioner and whether or not the Project is carried to completion. 8 . The Borrower is hereby authorized to enter into such contracts, in its own name and not as agent for the City, as may be necessary for �the construction of the Project by any means available to it and in the manner it determines without advertise- ment for bids as may be required for the acquisition or construc- tion of other municipal facilities , but the City shall not be £..: liable on any such contracts. ��: ., Adopted by the City Council of the City of Orono on the 12 day of January , 1981. . . a ,. ` � � �j William B. Van Nest, Mayor ATTEST: Walter . Benson, City Administrator , . � Page 3 of 3 _ • � . •, ., • 0 . . , ,;., Y,`�?_ C?F MINNESOTA ) � ) SS. • COUNTY OF HENNEPIN ) � � ' I , the undersigned, being the duly qualified and� acting � City Clerk of the City of Orono, Minnesota, do hereby � � certify that the attached extract of .minutes of a regular meeting of the City Council of the City held Januar.y 12 , 198I, is a full, true and correct transcript therefrom insofar as the same relates to the $400 ,000 Industrial Development Revenue Bond of `�=` the City. . WITNESS My hand officially and seal officially as said City Clerk this 12th day of January , 1981 - ,�� City Clerk (Seal) ., i -4-