Resolution - #83-051 - 04/07/1983

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Page 2 of 3 Resolution #83-51 WHEREAS, this Council has been advised by a representative of the Developer that on the basis of information submitted to them and their discussions with representatives of area financial institutions and potential buyers of tax-exempt bonds, industrial development revenut bonds of the City could be issued and sold upon favorable rates and terms to finance the Project; and WHEREAS, the City is authorized by Minnesota Statutes, Chapter 474, to issue its revenue bonds to finance the cost, in whole or in part, of the acquisition~ construction~ reconstruction~ improvement or extension of capital projects consisting of properties used and useful in connection with a revenue producing enterprise, such as that of the Developer, and the issuance of such bonds by the City would be a substantial inducement to the Developer to construct its facility in the City; and WHEREAS, on the basis of information given the City to date, it appears that it would be in the best interest of the City to issue its in- dustrial development revenue bonds under the provisions of Chapter 474 to finance the Project of the Developer in an amount presently estimated not to exceed $1,O00,O00. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL, CITY OF RAMSEY, ANOKA COUNTY, STATE OF MINNESOTA, as follows: 1) The Project is hereby given preliminary approval by the City and the issuance of the revenue bonds for such purpose and in such amount approved, subject to approval of the Project by the Commissioner of Energy, Planning and Development and to the mutual agreement of this body, the Developer and the initial purchaser of the bonds as to the details of the bonds and provisions for their payment. In all events, it is understood, however, that the bonds of the City shall not constitute a charge, lien or encumbrance legal or equitable upon any property of the City except the Project, and the bonds, when, as, and if issued, shall recite in substance that the bonds, including interest thereon, is paying solely from the reve- nues received from the Project and property pledged to the payment thereof, and shall not constitute a debt of the City. 2) In accordance with Minnesota Statutes, Section 474.01, Sub- division 7a, the Mayor of the City is hereby authorized and directed to sub- mit the proposal for the Project to the Commissioner of Energy, Planning and Development for approval of the Project. The Mayor and other officers, em- ployees and agents of the City are hereby authorized to provide the Commis- sioner with any preliminary information needed for this purpose, and the City Attorney is authorized to initiate and assist in the preparation of sucb documents as may be appropriate to the Project, if it is approved by the Commissioner. 3) The law firm of Holmes & Grave, Chartered, is authorized to act as Bond Counsel and to assist in the preparation and review of necessary documetns relating to the Project and bonds issued in connection therewith. The Mayor, City Attorney, and other officers, employees and agents of the City are hereby authorized to assist Bond Counsel in the preparation of such documents.