Agenda - Council - 02/26/1979 - Laserfiche WebLink

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(b) The purpose of Chapter 474, Minnesota Statutes, known as the Minnesota Municipal Industrial Development Act (hereinafter called "Act") as found and determined .by the legis- lature is to promote the welfal~e of the state by the active attraction and encouragement and development of economically sound industry and commerce to prevent so far as possible the emergency of blighted and marginal lands and areas of chronic unemployment; (c) Factors necessitating the active promotion and development of economically sound industry and commerce are the increasing concentration of population in the metropolitan areas and the rapidly rising increase in the amount and cost of goverr~T~ental services required to meet the needs of the in- creased population and the need for development of land use which w.ill provide an adequate tax base to finance these increased costs and access .to employment opportunities for such population; (d) The City has received from the Company a pro- posal, summarized in the letter attached, that the City undertake to assist in the financing of all or a portion of the cost of a Project through the issuance in one or more series of Commercial Development Revenue Bonds or Notes (hereinafter "Bonds") in the aggregate principal amount of up to approximately $8,000,000 pursuant to the Act, and, if necessary, to issue one or more notes on an interim basis ("Interim Bonds") in anticipation of payment from the proceeds of such bonds; (e) The City desires to facilitate development of_ _ areas in the City to retain and improve its tax base and to help provide the range of shelter, services and employment opportunities required by its population and said Project will assist the City in achieving that objective. The Council believes that said Project will help to increase assessed valu- ation within' the City and help maintain a positive relationship between assessed valuation and debt and enhance the image and reputation of the City; (f) The City is informed that: The Company will be engaged as a developer and financing enterprise in the building and financing of the Project consisting of residential real property for family units, and will provide continuing mortgage financing services in connection with the ultimate sale of the housing properties to individual purchasers. The Project to be financed in whole or part by the proposed Bonds will be new family units, and consists of the acquisition of land and the