Resolution - #85-227 - 12/17/1985

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The City is a political subdivision of the State of Minnesota and is authorized under the Act to initiate the revenue producing project herein referred to, and to issue and sell the Note for the purpose, in the manner and upon the terms and eonditions set forth in the Act and in this Resolution. ~he City Council has heretofore determined, and does hereby determine, as follows: (1) the City is authorized by the Act to enter into a Loan Agreement for the public purposes expressed in the Act; (2) the City gave preliminary approval to the Project on March 26, 1985, after a public hearing duly called and held on the same date and authorized the issuance of a note or bonds in an amount of $300,000 to finance Project Costs; and on December 17, 1985, a new public hearing was duly held to authorize the issuance of a note or bonds in an amount of $350,000, which increase was requested by the Borrower to cover additional costs of the Project; (3) the City has made the necessary arrangements with the Borrower for the establishment within the City of a Project consisting of certain property all as more fully described in the Loan Agreement and which will be of the character and accomplish the purposes provided by the Act, and the City has by this Resolution authorized the Project and execution of the Loan Agreement, the Pledge Agreement, the Note and the Construction Loan Agreement, which doc~ents specify the terms and conditions of the acquisition and financing of the Project; (4) in authorizing the Project the City's purpose is, and in its judgment the effect thereof will be, to promote the public welfare by: the attraction, encourgement and development of economically sound industry and commerce so as to prevent, so far as possible, the emergence of blighted and marginal lands and areas of chronic unemployment; the development of revenue- producing enterprises to use the available resources of the community, in order to retain the benefit of the community's existing inveshment in educational and public service facilities; the halting of the movement of talented, educated personnel of all ages to other areas thus preserving the economic and human resources needed as a base for providing governmental services and facilities; the provision of accessible employment opportunities for residents in the area; the expansion of an adequate tax base to finance the cost of governmental services, incluing educational services for the school district serving the community in which the Project is situated; (5) the amount estimated to be necessary to partially finance the Project Costs, including the costs and estimated costs permitted by Section 474.05 of the Act, will require the issuance of the Note in the principal amount of $350,000 as hereinafter provided; (6) it is desirable, feasible and consistent with the objects and purposes of the Act to issue the Note, for the purpose of partially funding the Porject; (7) the Note and the interest accruing thereon do not constitute an