2004-47d
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EXTRACT OF MINUTES OF A MEETING OF THE
BOARD OF COMMISSIONERS OF THE
ECONOMIC DEVELOPMENT AUTHORITY OF THE
CITY OF CHANHASSEN, MINNESOTA
HELD: JULY 12,2004
Pursuant to due call and notice thereof, a regular meeting of the Board of Commissioners
of the Economic Development Authority of the City of Chanhassen, Carver and Hennepin
Counties, Minnesota, was duly called and held at the City Hall on July 12,2004, at 7:00 P.M.
The following members were present:
Tom Furlong, Bob Ayotte, Steve Labatt, Brian Lundquist, Craig Peterson
and the following were absent:
None
Member Ayotte introduced the following resolution and moved its adoption:
Resolution 2004-410
RESOLUTION AUTHORIZING EXECUTION OF
A PLEDGE AGREEMENT
A. WHEREAS, the Economic Development Authority of the City of Chanhassen
(the "Authority") has jurisdiction over the Redevelopment Plan for the Downtown Chanhassen
Redevelopment Project Area (the "Project Area"), established by the Housing and
Redevelopment Authority in and for the City ofChanhassen, Minnesota (the "HRA"), all
pursuant to the provisions of Minnesota Statutes, Sections 469.001 through 469.047 and 469.090
through 469.1081; and
B. WHEREAS, Tax Increment District No.4 has been established by the City of
Chanhassen, Minnesota (the "City"), as a redevelopment district within the Project Area (the
"Tax Increment District") under the provisions of Minnesota Statutes, Sections 469.174 through
469.179 and the City has approved a tax increment financing plan and amendments (the "Plan")
with respect to the Tax Increment District and the Authority has accepted jurisdiction over the
Tax Increment District; and
C. WHEREAS, a Contract for Private Redevelopment by and between the HRA and
Bloomberg Companies Incorporated was entered into and a $360,000 Limited Revenue Tax
Increment Note, dated December 31, 1998, was issued by the HRA (the "Frontier Note"); and
D. WHEREAS, a Contract for Private Redevelopment by and between the HRA and
Chanhassen Properties, LLC, was entered into and a $540,000 Limited Revenue Tax Increment
Note, dated August 8, 1997, was issued by the HRA (the "Chanhassen Properties Note"); and
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E. WHEREAS, the Frontier Note and the Chanhassen Properties Note are herein
collectively referred to as the "Prior Notes"; and
F. WHEREAS, on July 12, 2004, the City Council adopted a resolution authorizing
the issuance and sale of $1,170,000 Taxable General Obligation Tax Increment Refunding
bonds, Series 2004C, dated August 10, 2004 (the "Bonds"), of the City to prepay all of the
outstanding principal and accrued and unpaid interest on the Prior Notes in order to reduce debt
service costs to the City; and
G. WHEREAS, in order to prepay the Prior Notes and provide for payment of the
Bonds, it is necessary and expedient that the Authority and the City execute the Pledge
Agreement as provided herein; and
NOW, THEREFORE, BE IT RESOLVED by the Board of Commissioners of the
Economic Development Authority of the City ofChanhassen, Minnesota, as follows:
1. Execution of Agreement. The Pledge Agreement on file in the office of the City
Manager is hereby approved in substantially the form submitted and the President and Secretary
of the Authority are authorized and directed to execute the same (and such other agreements and
documents as may be required in connection therewith) on behalf of the Authority. The approval
hereby given to the various documents referred to above includes approval of such additional
details therein as may be necessary and appropriate and such modifications thereof, deletions
therefrom and additions thereto as may be necessary and appropriate and approved by the City
Attorney and by the Authority officials authorized herein to execute or accept, as the case may
be, said documents prior to their execution; and said Authority officials are hereby authorized to
approve said changes on behalf of the Authority.
2. Filing of Pledge Agreement. The Secretary is directed to file a fully executed
copy of the Pledge Agreement with the affected County Auditor pursuant to Minnesota Statutes,
Section 469.178, subdivision 2.
3. Amendment to the Tax Increment Plan. Section S on page 5 of the Tax Increment
Plan for Tax Increment District No.4 is hereby amended to read:
"The Authority and the City intend to issue General Obligation Tax Increment Bonds in
an amount not to exceed $1,500,000 to refinance the original limited revenue notes
associated with the Entertainment Center Redevelopment and authorized by the Plan for
TIF District No.4"
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The motion for the adoption of the foregoing resolution was duly seconded by member
Lundquist and, after full discussion thereof and upon a vote being taken thereon, the following
voted in favor thereof:
Furlong, Ayotte, Labatt, Lundquist, Peterson
and the following voted against the same:
None
Whereupon said resolution was declared duly passed and adopted.
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STATE OF MINNESOTA
COUNTIES OF CARVER AND HENNEPlN
CITY OF CHANHASSEN
I, the undersigned, being the duly qualified and acting Secretary of the Economic
Development Authority of the City of Chanhassen, Minnesota, DO HEREBY CERTIFY that I
have carefully compared the attached and foregoing extract of minutes with the original minutes
ofa meeting of the Board of Commissioners held on the date therein indicated, which are on file
and of record in my office, and the same is a full, true and complete transcript therefrom insofar
as the same relates to a resolution authorizing execution of a Pledge Agreement.
WITNESS my hand as such Secretary on July J1, 2004.
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