Res 1979 - 13 Extract of Minutes of Meeting of the City Council of MH (2/6/1979)I �
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Extract of Minutes,of Meeting of the
City Council of the City of Mendota Heights, Minnesota
Pursuant to due call and notice thereof, a regular
meeting of the City Council of the City of Mendota Heights,
Minnesota was duly held at City Hall in said City on Tuesday, the
6th day of February,,1979, at 7:30 o'clock P.M.
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The following Councilmen were present:
and the following were absent:
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Councilman
* * *
introduced and read
the following written resolution and moved its adoption:
RESOLUTION GIVING PRELIMINARY APPROVAL TO A
PROPOSED INDUSTRIAL DEVELOPMENT PROJECT TO BE
CONSTRUCTED AND FINANCED UNDER THE MUNICIPAL
INDUSTRIAL DEVELOPMENT ACT, AUTHORIZING
THE SUBMISSION OF AN APPLICATION TO THE
COMMISSIONER OF SECURITIES FOR
APPROVAL THEREOF P,ND AUTHORIZING THE
PREPAR.ATION OF DOCUMENTS AND MATERIALS
IN CONNECTION WITH THE PROJECT
The motion for the adoption of the foregoing resolution
was duly seconded by Councilman
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, and upon
vote being taken thereon the following voted in favor thereof:
and the following voted against the same:
whereupon said resolution was declared duly passed and adopted.
RESOLUTIQN GIVING PRELIMINARY APPROVAL T� A
PROPOSED INDUSTRIAL DEVELOPMENT FROJECT TO BE
CONSTRUCTED AND FTNANCED UNDER THE MUNICIPAL
INDUSTRIAL DEVELOPMENT ACT, AUTHORIZING
THE SUBMIS�IQN �F AN APPLICATIdN Tfl THE
COMMIS�IONER OF. SECURITIES FOR
APPRQVAL THEREOF AND AUTHQRiZING THE
PREPARA.TION OF DOCUMENTS AND MATERIALS
IN CONNECTTON WZTH THE PR�JECT
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BE IT RESOLVED by the;City Council of the City of
Mendata Heights, Minnesata, as follows:
l. There has been presented to this Council a proposal
�.hat the City undertake a praject pursuant to the Minnesota Mu-
nicipal Industrial De�relopment Act, Chapter 474, Minnesota Stat-
utes, consisting of the acquisi�.ion and construction af a ware-
house building (the "Project") in the City to be owned by
R. L. Johnson Tnvestment Connpany, Inc., a Minnesota corporation.
Under the proposai, R. L. Johnson Investme�t Company, Znc. {the
"Developer") will enter into a loan agreement whereby �.he Devel.oper
�.grees to construct the Pro3ect�and the City agrees to issue up
�o appraximately $5,000,000 Industrial Deve�.opment Revenue Bonds
of the City pursuant to the Act�to finance the Project. The
Bonds wauld be issued to institutional investors in a�o-cailed
�.ax exempt mortgage private placement transaction whereby �he
Bonds would be secured by a mortgage of the Projec�. The Develaper
will retain title ta the Praject and the site �.hereof and the
Ioan agreement will reguir� the Developer to pay amounts sufficient
�o pay �.he prin�ipal of and interest on any Bonds issued. The
Deve�.oper wi,11 1.ease the Prc,ject to selected tenan�s. The Devel-
oper's a.nterest in'�he leases will be assigned to the bondholders
as security for the Bands. The'City will also assign its interes�.
in the laan agreement to the bondhol.ders to secure the Bonds.
The Bonds shall be issued in accordance with �he Act, and shall
provide that the Bonds are payable solely from amounts received
by the Ga.ty pursuan�. to the loan agreement and other property
pledged to their paymen�. The Bonds shall not be a general
obligata.on af the Ca,ty or be payable from any other property ar
funds of the City. .
2. There has been presented to this mee�.ing a form of
Appl.icatian to eommissioner af Securities �ar approval af the
Project setting forth the e�timated costs af the Project and �Ghe
increased employment and payroll.s to result therefrom, together
with a letter o� in�.ent of Midwest Federal Savings and Loan
Associa�ian to purchase the Bands. It is hereby found, determined
and declared that the purpase o�f the Project is and the e£fec�
thereaf wi11 be ta pramate the public welfare by the attraction,
encouragement and development a�f economically sound industry and
commerce so as to prevent, So far as passible, the emergence of'
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blighted and marginal lands and�areas of chronic unemployment;
�he develapment of indu�try to use the available resources of the
community, in order to retain the bene�it of i�s existing invest-
ment in educatianal and public service facilities, by halting the
movemen� of talented, educated persannel o� mature age to other
area� and thus preserying the econamic and human resources needed
as a base for providing governmental services and �acilities; and
the more intensive development of land availabZe in the area ta
� provide an adequate tax base to finance the increase in the
amount and cost of governmental services provided by the City,
�he Caunty and �he �chool District in which the Ci�y is located.
• 3. The Project i� hereby given preliminary approval
by the City, subject to (i} approval o� the Project by the
Minneso�a Cammissioner of Securities and (ii) approval of this
Cauncil, the Develaper and an institutional investor or investors
af the ultimate details of the Project and the terms of the
Bonds.
4. The Mayar and City Clerk are hereby authorized and
directed to submit to the Commissioner of Securities an Applica-
tion.for Approval of the Project, substantially in the form
presented ta this meeting, together with the letter of intent, a
stat�ment o� public purpose and a preliminary opinion of bond
counsel necessary to camplete such App2ication. The Mayor and City
Clerk and other officer�, employees and agents of the City are
hereby autharized ta pravide the Commissioner with such additional
preliminary information as he may request.
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5. The Developer has agreed ta pay any and al1 costs
incurred by the City in connect:ion with the Prajec�. whether or
not the Project is approved by the Commissioner and whether or
not the Project is carried to compl.etian.
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6. The Developer is hereby autharized ta enter into
such contracts as may be necessary far the construction of the
Project by any means available to him and in the manner he
determines without advertisement for bids as may be required �or
the constructian or acquisitian of ather municipal fac�.lities.
Attest:
Ci.iy' C7.erk
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Mayor
STATE OF MINNESOTA )
) SS.
COUNTY OF DAKOTA ) �
I, the undersigned, being the duly qualified and acting
Clerk of the City of Mendota Heights, Minnesota, do hereby certify
that I have carefully compared the attached and foregoing extract
of minutes of a regular meeting of the City Council of said city
held February 6, 1979, with tr�e original thereof on file in my
office and the same is a full, true and correct transcript there-
from insofar as the same relates to preliminary approval of an
Tndustrial Development Project of the City.
WITNESS My hand officially and the seal of the city
this �� day of February, 1979.
(Seal)
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' y Clerk