2000-79.DOCCERTIFICATE AS TO RESOLUTION AND ADOPTING VOTE
I, the undersigned, being the duly qualified and acting recording officer of the City of
Chanhassen, Minnesota (the "City"), hereby certify that the attached resolution is a true copy of
Resolution No. 2000-79, entitled: "RESOLUTION RELATING TO A MULTIFAMILY
HOUSING DEVELOPMENT AND RELATED HOUSING PROGRAM ON BEHALF OF
MOUNT OLIVET ROLLING ACRES, INC., THE ISSUANCE OF REVENUE BONDS
THEREFOR UNDER THE MUNICIPAL HOUSING PROGRAMS ACT, AND CALLING
FOR A PUBLIC HEAR1NG THEREON" (the "Resolution"), on file in the original records of the
City in my legal custody; that the Resolution was duly adopted by the City Council of the City at a
regular meeting on Monday, November 13, 2000, and that the meeting was duly held by the City
Council and was attended throughout by a quorum, pursuant to call and notice of such meeting
given as required by law; and that the Resolution has not as of the date hereof been amended or
repealed.
I further certify that upon vote being taken on the Resolution at said meeting, the
following Council Members voted in favor thereof: Mayor Mancino, Councilman Labatt,
Councilwoman Jansen, Councilman Senn
the following voted against the same:
the following abstained from voting thereon:
and the following were absent:
None
None .,
None
WITNESS my hand officially this 22nd day of November, 2000.
City Clerk
Resolution No. 2000-79
RESOLUTION RELATING TO A MULTIFAMILY HOUSING
DEVELOPMENT AND RELATED HOUSING PROGRAM ON BEHALF OF
MOUNT OLIVET ROLLING ACRES, INC., THE ISSUANCE OF REVENUE
BONDS THEREFOR UNDER THE MUNICIPAL HOUSING PROGRAMS
ACT, AND CALLING FOR A PUBLIC HEAR1NG THEREON
BE IT RESOLVED by the City Council of the City of Chanhassen, Minnesota (the
"City"), as follows:
Section 1. Recitals
1.1. The City (sometimes referred to as a "Participating Jurisdiction") is authorized by
Minnesota Statutes, Chapter 462C, as amended (the "Housing Programs Act"), to assist in the
financing of multifamily housing developments within its boundaries, and, specifically, to
authorize the issuance of revenue bonds, which revenue bonds shall be payable solely from
revenues of the development or other security pledged therefor. The City is also authorized by
the Housing Programs Act and by Minnesota Statutes, Section 471.59 (the "Joint Powers Act"),
to enter into a joint powers agreement and, pursuant thereto, to authorize another city (referred to
as the "Issuer") to issue revenue bonds of the Issuer to finance multifamily housing developments
that are located in the City, in such other city, and in other cities or political jurisdictions.
1.2. Mount Olivet Rolling Acres, Inc., a Minnesota nonprofit corporation and an
organization described in Section 501(c)(3) of the Internal Revenue Code (the "Borrower"), has
requested that the City conduct a public hearing on a proposal by the Borrower that the Issuer, or
one of the other Participating Jurisdictions to be identified in a joint powers agreement or
identified in Exhibit D hereto (all collectively referred to as the "Participating Jurisdictions"),
acting pursuant to such joint powers agreement (the "Joint Powers Agreement") between the
Issuer and such other Participating Jurisdictions (which Participating Jurisdictions shall in any
event include the City), issue revenue bonds in a principal amount of up to $2,250,000 (the
"Bonds"), pursuant to the Joint Powers Act and the Housing Programs Act (together referred to
as the "Acts").
1.3. Under the proposal by the Borrower, the Participating Jurisdictions will enter into
the Joint Powers Agreement, pursuant to which the Issuer, or one of the other Participating
Jurisdictions selected by the Participating Jurisdictions, will issue the Bonds, a portion of the
proceeds of which (the "Victoria Portion") would be applied by the Borrower to pay costs of the
Victoria Project described below. Proceeds of the Bonds not constituting a part of the Victoria
Portion would be applied to finance or refinance costs of acquiring, constructing, improving,
rehabilitating, equipping and furnishing facilities of the Borrower located in one or more of the
other Participating Jurisdictions, including a facility of the Borrower located in the City, as more
particularly described below ( all collectively referred to as the "Development").
1.4. The Victoria Project consists of the acquisition and construction of
improvements, including equipment, furnishings and site improvements, to the existing facilities of
the Borrower for the developmentally disabled located at 7200 Rolling Acres Road in the City of
Victoria. The Development consists generally of the Victoria Project, together with the
acquisition, construction, rehabilitation, improvement, equipping, furnishing and refinancing of
various existing and new facilities of the Borrower, all as further described in Exhibit B. The
portion of the Development located in the City consists of the refinancing of existing taxable
mortgage indebtedness with respect to, and the rehabilitation of, an existing facility of the
Borrower for the developmentally disabled, at the specific address set forth in the form of legal
notice attached hereto.
1.5. The Development constitutes one or more "multifamily housing developments"
eligible for financing by the Issuer under the Housing Programs Act. There is attached as Exhibit
C hereto a description of a related Housing Program therefor (the "Housing Program"),
developed pursuant to the Housing Programs Act.
1.6. The Borrower has requested the Issuer to issue the Bonds, and has requested in
connection therewith that the City approve the attached Housing Program, the execution and
delivery of the Joint Powers Agreement, and the issuance of the Bonds by the Issuer, for purposes
of Section 147(f) of the Internal Revenue Code of 1986, as amended
Section 2. Public Hearing
2.1. The Housing Programs Act requires that the City hold a public hearing on the
Housing Program and the Development following not fewer than fifteen days' published notice
thereof.
2.2. Section 147(f) of the Internal Revenue Code of 1986, as amended, and
regulations promulgated thereunder, requires that, as a condition to the exemption from federal
income taxation of interest on the Bonds, this Council conduct a public hearing on the proposal to
finance the Development through the issuance of the Bonds by the Issuer.
2.3. A public hearing on the proposal that the City adopt the Housing Program
and authorize the issuance of the Bonds by the Issuer is hereby called and shall be held on
Monday, December 11, 2000, at 6:30 o'clock P.M., at the City Hall. A legal notice of the public
hearing, substantially in the form of Exhibit A hereto, shall be published in a newspaper circulating
generally in the City, as required by law, not fewer than 15 days in advance of the hearing.
-2-
Passed this 13th day of November, 2000.
Mayor
Attest:
City Clerk
-3-
EXHIBIT A
NOTICE OF PUBLIC HEARING ON A PROPOSED HOUSING
DEVELOPMENT AND PROGRAM
AND THE ISSUANCE OF REVENUE BONDS UNDER
THE MUNICIPAL HOUSING PROGRAMS ACT,
MINNESOTA STATUTES, CHAPTER 462C, AS AMENDED
NOTICE IS HEREBY GIVEN that a public hearing shall be conducted by the City
Council of the City of Chanhassen, Minnesota (the "City") on a proposal by Mount Olivet Rolling
Acres, Inc., a Minnesota nonprofit corporation (the "Borrower") that the City of Victoria (the
"Issuer"), acting pursuant to a joint powers agreement (the "Joint Powers Agreement") issue
revenue bonds (the "Bonds") to finance and refinance the costs of acquisition, construction,
equipping, furnishing and rehabilitation of the various residential facilities for the developmentally
disabled described below (collectively referred to as the "Development"), including the Victoria
Project described below, and the Chanhassen Project described below, all pursuant to Minnesota
Statutes, Chapter 462C, as amended (the "Act"), including related administrative costs, reserves,
capitalized interest, and cost of issuance. The Bonds would be issued pursuant to a Housing
Program developed in accordance with the Act, a copy of which is on file at the City Hall. The
hearing will be held at the City Hall, located at 690 City Center Drive in the City, on Monday,
December 11, 2000, at 6:30 o'clock P.M.
The Victoria Project consists of the acquisition and construction of improvements,
including equipment, furnishings and site improvements, to the existing facilities of the Borrower
for the developmentally disabled located at 7200 Rolling Acres Road, Victoria, Minnesota
(referred to as the "Victoria Project"). In addition to the Victoria Project, the Development
consists generally of the following: (1) the refinancing, rehabilitation, equipping and furnishing of
various existing facilities of the Borrower for the developmentally disabled located in other cities
or jurisdictions outside of the City (at specific addresses set forth below); and (2) the acquisition,
construction, rehabilitation, improvement, equipping and furnishing of new and/or existing
facilities of the Borrower for the developmentally disabled located in those cities or jurisdictions
and in Aitkin County, Minnesota (at the specific address set forth below). The Chanhassen
Project consists of the refinancing of existing taxable mortgage indebtedness with respect to, and
the rehabilitation of, an existing residential facility of the Borrower for the developmentally
disabled, at the specific address in the City described below.
The facilities included in the Development are situated at the following locations: 7200
Rolling Acres Road, Victoria, Minnesota (serving 44 persons); 129 Mackenthun Lane; Norwood-
Young America, Minnesota (serving six persons); 1757 Highwood Drive, Chaska, Minnesota
(serving four persons); 320 Fifth Street Northeast, Mayer, Minnesota (serving four persons); 241
West Third Street, Waconia, Minnesota (serving four persons); 3921 Leslie Curve, Chanhassen,
Minnesota (serving four persons); 112209 James Court, Jonathan, Minnesota (serving four
persons); 25925 Birch Bluff, Shorewood, Minnesota (serving four persons); 6843 and 6845
A-1
Lyndale Avenue South, Richfield, Minnesota (serving six persons); 7829 Tessman Drive,
Brooklyn Park, Minnesota (serving four persons); 8217 29th Avenue North, New Hope,
Minnesota (serving four persons); 2413 Plymouth Road, Minnetonka, Minnesota (serving four
persons); and Route T, Jevne Township, McGregor, Minnesota (serving a minimum of 20
persons).
Under the proposal, the City will enter into the Joint Powers Agreement, pursuant to
which the Issuer (or another of the Participating Jurisdictions identified in the Joint Powers
Agreement, as determined by the Participating Jurisdictions) will issue its revenue bonds in a
principal amount of approximately $2,250,000 (the "Bonds") to provide funds for the costs of the
Development, and for related costs, including the funding of required reserves, administrative
costs, capitalized interest and issuance costs.
The Development involves assistance for housing. Accordingly, the issuance of the Bonds
is not a business subsidy, within the meaning of Minnesota Statutes, Sections 116J.993 to
116J.995, as amended.
At said time and place the City Council shall give all parties who appear or submit written
comments an opportunity to express their views with respect to the proposal.
Dated: November 13, 2000.
CITY OF CHANHASSEN, MINNESOTA
By s/
City Clerk
A-2
EXHIBIT B
(Description of Development)
The Development consists of the acquisition and construction of improvements, including
equipment, furnishings and site improvements, to the existing facilities of the Borrower for the
developmentally disabled located at 7200 Rolling Acres Road in the City of Victoria (referred to
generally as the "Victoria Project"), together with the following: (1) the refinancing,
rehabilitation, equipping and furnishing of various existing facilities of the Borrower (sometimes
referred to as the "Refinancing and Rehabilitation Projects"), located in other cities or
jurisdictions (at specific addresses set forth below); and (2) the acquisition, construction,
improvement, rehabilitation, equipping and furnishing of new and/or existing facilities for the
developmentally disabled in such cities or jurisdictions and in Aitkin County, Minnesota (and/or in
other locations, as necessary and suitable, to the extent permitted by law).
The Refinancing and Rehabilitation Projects included in the Development will each consist
of the rehabilitation of one or more existing buildings and sites located in other cities or
jurisdictions outside of the City, and the discharge of any lien or other interest in those buildings
and sites. The cost of rehabilitation of each of these existing buildings will be equal to at least
$1,000 per dwelling unit, all as provided in and required by the Housing Programs Act. The
Development will also include the acquisition, construction, improvement, rehabilitation,
equipping and furnishing of facilities for the developmentally disabled in those same cities or
jurisdictions and in the County of Aitkin.
The facilities included in the Development are situated at the following locations: 7200
Rolling Acres Road, Victoria, Minnesota (serving 44 persons); 129 Mackenthun Lane, Norwood-
Young America, Minnesota (serving 6 persons); 1757 Highwood Drive, Chaska, Minnesota
(serving 4 persons); 320 East Fifth Street Northeast, Mayer, Minnesota (serving 4 persons); 241
West Third Street, Waconia, Minnesota (serving 4 persons); 3921 Leslie Curve, Chanhassen,
Minnesota (serving 4 persons); 112209 James Court, Jonathan, Minnesota (serving 4 persons);
25925 Birch Bluff, Shorewood, Minnesota (serving 4 persons); 6843 and 6845 Lyndale Avenue
South, Richfield, Minnesota (serving 6 persons); 7829 Tessman Drive, Brooklyn Park, Minnesota
(serving 4 persons); 8217 29th Avenue South, New Hope, Minnesota (serving 4 persons); 2413
Plymouth Road, Minnetonka, Minnesota (serving 4 persons); and Route T, Jevne Township,
McGregor, Minnesota (serving a minimum of 20 persons).
B-1
EXHIBIT C
(Form of Housing Program)
HOUSING PROGRAM FOR MULTIFAMILY HOUSING
DEVELOPMENT UNDER MINNESOTA STATUTES, CHAPTER 462C
MOUNT OLIVET ROLLING ACRES, INC.
This Housing Program describes a housing development initiative to be authorized by the
City of Chanhassen, Minnesota (the "City"), on behalf of itself and the other political jurisdictions
referred to below (and/or any county housing and redevelopment authority authorized to act on
behalf of one or more of such political jurisdictions), involving the development and financing of
multiple residential facilities for the developmentally disabled, including: (1) the acquisition and
construction of improvements, including equipment, furnishings and site improvements, to the
existing facilities for the developmentally disabled located at 7200 Rolling Acres Road in the City
of Victoria (generally referred to as the "Victoria Project"); (2) the refinancing, rehabilitation,
equipping and furnishing of various existing facilities for the developmentally disabled located in
other cities or jurisdictions (further described below), all pursuant to a Joint Powers Agreement
(the "Joint Powers Agreement") to be entered into by the City in connection therewith (generally
referred to as the "Refinancing and Rehabilitation Projects"); and (3) the acquisition, construction,
rehabilitation, improvement, equipping and furnishing of new and/or existing facilities for the
developmentally disabled in such cities or jurisdictions and in Aitkin County, Minnesota (and/or in
other locations, as necessary and suitable, to the extent permitted by law), all pursuant to the Joint
Powers Agreement (referred to, together with the Victoria Project and the Refinancing and
Rehabilitation Projects described above, collectively as the "Development"). The specific portion
of the Development located in the City consists of the refinancing of existing taxable mortgage
indebtedness with respect to, and the rehabilitation of, an existing residential facility of the
Borrower for the developmentally disabled, located at the specific address set forth below. The
Development is being undertaken pursuant to the authority of Minnesota Statutes, Chapter 462C,
as amended (the "Act").
Each of the facilities in the Development is and is to be owned and operated by Mount
Olivet Rolling Acres, Inc., a Minnesota nonprofit corporation (sometimes referred to as the
"Borrower").
The Refinancing and Rehabilitation Projects included in the Development will each consist
of the rehabilitation of one or more existing buildings and sites and the discharge of any lien or
other interest in the buildings and sites. The cost of rehabilitation of each of these existing
buildings will be equal to at least $1,000 per dwelling unit, all as provided in and required by the
Act. These existing facilities are located in the following cities (and at the specific addresses set
forth below): Chaska, Mayer, Waconia, Chanhassen, Norwood-Young America, Shorewood,
Richfield, Brooklyn Park, New Hope, and Shakopee. The Development will also include the
C-1
acquisition, construction, improvement, rehabilitation, equipping and furnishing of facilities for the
developmentally disabled located in those cities and in the County of Aitkin (at the specific
address set forth below).
The facilities included in the Development are situated at the following locations: 7200
Rolling Acres Road, Victoria, Minnesota (serving 44 persons); 129 Mackenthun Lane; Norwood-
Young America, Minnesota (serving six persons); 1757 Highwood Drive, Chaska, Minnesota
(serving four persons); 320 Fifth Street Northeast, Mayer, Minnesota (serving four persons); 241
West Third Street, Waconia, Minnesota (serving four persons); 3921 Leslie Curve, Chanhassen,
Minnesota (serving four persons); 112209 James Court, Jonathan, Minnesota (serving four
persons); 25925 Birch Bluff, Shorewood, Minnesota (serving four persons); 6843 and 6845
Lyndale Avenue South, Richfield, Minnesota (serving six persons); 7829 Tessman Drive,
Brooklyn Park, Minnesota (serving four persons); 8217 29th Avenue North, New Hope,
Minnesota (serving four persons); 2413 Plymouth Road, Minnetonka, Minnesota (serving four
persons); and Route T, Jevne Township, McGregor, Minnesota (serving a minimum of 20
persons).
The Development will be operated as a multifamily housing development, within the
meaning of the Act. The use of the Development will be carried out in accordance with applicable
land use and development restrictions, and the Development will be subject to applicable state and
local building codes. The Borrower will be required to operate the Development in accordance
with state and local anti-discrimination laws and ordinances. The Development will be available
for rental primarily to handicapped persons, within the meaning of Section 462(2.05, Subd. 4, of
the Act, and, accordingly, no limitations on the gross income of occupants will be required by the
Act.
The Development is needed generally in order to better serve developmentally disabled
and handicapped persons and is needed specifically to lower the costs of operating facilities used
to house such persons, to improve existing facilities used for housing such persons, and to add to
the existing stock of such housing. Meeting these needs is consistent with and authorized by the
City's Housing Plan, Comprehensive Plan and overall program for housing, all as authorized and
contemplated thereby.
To finance the Development, the City of Victoria, or one of the other Participating
Jurisdictions, as determined by the Participating Jurisdictions (referred to in the alternative as the
"Issuer"), will issue revenue bonds in a principal amount of approximately $2,250,000. The
Borrower will be required, pursuant to a revenue agreement, such as a loan agreement, to make
payments sufficient to pay when due the principal of, premium, if any, and interest on such
revenue bonds when due. The revenue bonds may be structured so as to take advantage of
whatever means are available or necessary and are permitted by law to enhance the security for
and marketability of the revenue bonds. Such security is expected to consist primarily of
mortgage liens granted against each of the facilities included in the Development. The revenue
bonds will not constitute a general obligation or indebtedness of the Issuer, within the meaning of
any constitutional or statutory provision, nor will the full faith and credit of the Issuer, the State
C-2
of Minnesota or any other political subdivision of the State of Minnesota, including the City, be
pledged to the payment thereof.
The costs of the Development and the program of financing the Development will be paid
by the Borrower or from the proceeds of the revenue bonds to be issued, to the extent that such
proceeds are lawfully available therefor.
C-3
EXHIBIT D
(Idemification of Participating Jurisdictions)
In addition to the City of Victoria, the Participating Jurisdictions shall consist of
the following cities or other political jurisdictions:
1. City of Chaska
2. City of Mayer
3. City of Waconia
4. City of Chanhassen
5. City of Norwood-Young America
6. City of Minnetonka
7. City of Shorewood
8. City of Richfield
9. City of Brooklyn Park
10. City of New Hope
11. Housing and Redevelopment Authority of the County of Aitkin
D-1