Loading...
89-89 .' r I) :'!t~.'.' .. " e CERTIFICATION OF MINUTES RELATING TO INDUSTRIAL DEVELOPMENT REVENUE BONDS Issuer: City of Chanhassen, Minnesota Governing Body: City Council ~. Kind, date, time and place of meeting: A regular meeting, held on August 14, 1989, at 7:30 o'clock P.M., at the City Hall. Members present: Members absent: Documents Attached: Minutes of said meeting (pages): RESOLUTION NO. 89-89 RESOLUTION GIVING PRELIMINARY APPROVAL TO A PROJECT ON BEHALF OF ROBERTS AUTOMATIC PRODUCTS, INC. AND ITS FINANCING UNDER THE MUNICIPAL INDUSTRIAL DEVELOPMENT ACT 4It I, the undersigned, being the duly qualified and acting recording officer of the public corporation issuing the Obligations referred to in the title of this certificate, certify that the documents attached hereto, as described above, have been carefully compared with the original records of the corporation in my legal custody, from which they have been transcribed; that the documents are a correct and complete transcript of the minutes of a meeting of the governing body of the corporation, and correct and complete copies of all resolutions and other actions taken and of all documents approved by the governing body at the meeting, insofar as they relate to the Obligations; and that the meeting was duly held by the governing body at the time and place and was attended throughout by the members indicated above, pursuant to call and notice of such meeting given as required by law. WITNESS my hand and the seal of the City Offic\~tJy as such recording officer this ____ day of August, 1989. 41~ ignature Don Ashworth, City Manaqer Name and Title e e e . '''''.i1 Councilmember Dimler moved for adoption of the following resolution: RESOLUTION NO. 89-89 RESOLUTION GIVING PRELIMINARY APPROVAL TO A PROJECT ON BEHALF OF ROBERTS AUTOMATIC PRODUCTS, INC. AND ITS FINANCING UNDER THE MUNICIPAL INDUSTRIAL DEVELOPMENT ACT BE IT RESOLVED by the City Council of the City of Chanhassen, Minnesota (the City), as follows: SECTION 1 Recitals and Findings 1.1. This Council has received a proposal from Roberts Automatic Products, Inc., a Minnesota corporation (the "Company") that the City finance a portion or all of the cost of a proposed project under Minnesota Statutes, Sections 469.152 through 469.165 (the Act), consisting of the acquisition by the Company of land located in the City and the construction and equipping thereon by the Company of an approximately 40,000 square foot office and manufacturing facility (the Project). The legal description of the land on which the Project is proposed to be located is Lot 3, Block 2, Chanhassen Lakes Business Park 2nd Addition. Representatives of the Company have proposed that the City issue revenue Bonds under the Act in the principal amount of approximately $2,100,000 to finance the Project. 1.2. Based on representations by representatives of the Company and such other facts and circumstances as this Council deems relevant, this Council hereby finds, determines and declares as follows: (a) The welfare of the State of Minnesota requires active promotion, attraction, encouragement and development of economically sound industry and commerce through governmental acts to prevent, so far as possible, emergence of blighted lands and areas of chronic unemployment, and the State of Minnesota has encouraged local government units to act to prevent such economic deterioration. (b) The Project would further the general purposes contemplated and described in Section 469.152 of the Act. ..oJ, . e e . . .r (c) The existence of the Project would add to the tax base of the City, the County and the School District in which the Project will be located and would provide increased opportunities for employment for residents of the City and surrounding area. (d) This Council has been advised by representatives of the Company, that conventional, commercial financing to pay the cost of the Project is available only on a limited basis and at such high costs of borrowing that the economic feasibility of constructing and operating the Project would be significantly reduced, but that with the aid of municipal borrowing, and its resulting lower borrowing cost, the Project is economically more feasible. (e) The City is authorized by the Act to issue its revenue bonds to finance capital projects consisting of properties used and useful in connection with a revenue producing enterprise, such as that of the Company, and the issuance of the bonds by the City would be a substantial inducement to the Company to acquire, construct and equip the Project. SECTION 2 Determination To Proceed with the Project and its Financing 2.1. On the basis of the information given the City to date, it appears that it would be desirable for the City to issue its revenue bonds under the provisions of the Act to finance the Project in the maximum aggregate face amount of $2,100,000. 2.2. It is hereby determined to proceed with the Project and its financing and this Council hereby declares its present intent to have the City issue its revenue bonds under the Act to finance the Project. Notwithstanding the foregoing, however, the adoption of this resolution shall not be deemed to establish a legal Obligation on the part of the City or this Council to issue or to cause the issuance of such revenue bonds. All details of such revenue bond issue and the provisions for payment thereof shall be subject to final approval of the Project by the Minnesota Department of Trade and Economic Development and may be subject to such further conditions as the City may specify. The revenue bonds, if issued, shall not constitute a charge, lien or encumbrance, legal or equitable, upon any property of the City, except the revenues specifically pledged to the payment thereof, and each bond, when, as and if issued, shall recite in substance that the bond, including interest thereon, is payable solely from -2- --., '_ '"I" e e e the revenues and property specifically pledged to the payment thereof, and shall not constitute a debt of the City within the meaning of any constitutional statutory limitation. SECTION 3 APplication for Allocation of Bonding Authority and Ratification of Prior Resolution 3.1 At the request of the Company, the Mayor is hereby authorized to submit to the Minnesota Department of Trade and Economic Development an Application for Allocation of Bonding Authority in the amount of up to $2,100,000 for the Project, upon deposit by the Company with the City of an amount equal to the application deposit in connection with such Application. Any amount of such deposit returned to the City shall be paid to the Company. Adopted this 14th day of August, 1989. Attest: iO-- ~ City Manager ~~~~~~ a or The motion for the adoption of the foregoing resolution was duly seconded by Councilmember Johnson and, upon vote being taken thereon, the following voted in favor thereof: Mayor Chmiel, councilmanbers Workman, Johnson, Boyt and Dimler . and the following voted against the same: None whereupon the resolution was declared duly passed and adopted and was signed by the Mayor, which signature was attested by the City Manager. -3-