HomeMy WebLinkAbout80-081
~f l..u~?
CERTrFICATION OF MINUTES RELATi~~G TO
INDUSTRIAL DEVELOPMENT REVENUE
BONDS
Issuer: City of Lakeville, Minnesota
Governing Body: City Council
Kind, date., time and place of meeting: A council
meeting, held on August 18 1980, at 7:30. o'clock
p. M. , at 7773 214th Street West
Members present:
Members absent:
Documents Attached:
Minutes of said meeting (pages):
RESOLUTION N0. SO-81 .
RESOLUTION GIVING APPROVAL TO A PROJECT AND
THE ISSUANCE OF REVENUE BONDS THEREFOR UNDER
THE MUNICIPAL INDUSTRIAL DEVELOPMENT ACT;
REFERRING THE PROPOSAL TO THE COMMISSIONER
OF SECURITIES FOR APPROVAL; AND AUTHORIZING
PREPARATION OF NECESSARY DOCUMENTS
I, the undersigned, being the duly qualified and
acting recording officer of the public corporation issuing
the obligations referred to in the title of this
certificate, certify that the documents attached hereto,
as described above, have been carefully compared with the.
original records of said corporation im my legal custody,
from which they have been transcribed; that said documents
are a correct and complete transcript of the minutes of a
meeting of .the. governing body of said corporation, and
correct and complete copies of all resolutions and other
actions taken and of all documents approved by the
governing body at said meeting, so far as they relate to
.said obligations; and that said meeting was duly held by
the governing body at the time and place and was attended
throughout by the members indicated above, pursuant to
call and notice of such meeting given as required by law.
WITNESS my hand officially as such recording
officer this is day of August , 1930.
J ~
ignature
CSEAL
Patrick McGarvey, City Clerk
Name an Tit e
!1
It was stated that this was the time and place fixed
by Resolution No. 80-74 of the City Council, adopted on July 17 r
1980, for a public hearing on the proposal that the City undertake
and finance a Project on behalf of Warehouse Realty Company, a North
Carolina general partnership (the Borrower), pursuant to Minnesota
Statutes, Chapter 474. The City Clerk presented an affidavit
showing publication of the notice of the public hearing at least
once not less than 15 nor more than 30 days prior to the date
fixed for the public hearing, in the Dakota County Tribune
being the official newspaper of the City, and in the Minneapolis star
& Tribune being a newspaper of general circulation throughout
the City. The affidavits were examined, found to be satisfactory
and ordered placed on file with the City Clerk.
The meeting was then opened for the public hearing
on the proposal to undertake and finance the project on behalf
of the Borrower. The draft copy of the Application to the Com-
sioner of Securities with all attachments and exhibits were
available, and all persons present who desired to do so were
afforded an opportunity to express their views with respect to
the proposal to undertake and finance the project, in response
to which the following persons appeared, were recognized and
made statements, summaries of which appear opposite their re-
spective names:
Name of Speaker Summary of Views
Maynard Johnson Stated that the project would
involve construction of a 10,000
square foot office°and 90,000
square foot warehouse building and
provide up to 100 new jobs.
After all persons who wished to do so had stated their
views, the public hearing was declared to be closed.
Member nelson introduced
the followincr resolution and moved its adoption:
-2-
~ f r
RESOLUTION N0. 80-81
RESOLUTION GIVING APPROVAL TO A PROJECT AND
THE ISSUANCE OF REVENUE BONDS THEREFOR UNDER
THE MUNICIPAL INDUSTRIAL DEVELOPMENT ACT;
REFERRING THE PROPOSAL TO THE COMMISSIONER
OF SECURITIES FOR APPROVAL; AND AUTHORIZING
PREPARATION OF NECESSARY DOCUMENTS
BE IT RESOLVED by the City Council of the City
of Lakeville, Minnesota (the Municipality), as follows:
SECTION 1
Recitals and Findings
1.1. This Council has received a proposal that the
Municipality finance costs of a proposed Pi'ojedt under
Minnesota Statutes, Chapter 474 (the Act), consisting
of the acquisition and improvement of land and the
construction, furnishing and equipping thereon of a
facility to be owned by Warehouse Realty Company, a
North Carolina general partnership (.the Borrower), and
to be leased by the Borrower to, and used by, G.T.C.
Inc., in its business of the distribution of automotive
_ and truck replacement parts and accessories. ;The proposed,
Project would include, without limitation, office, ware-
house, distribution and related facilities.
1.2. At a public hearing, duly noticed and held
on August is , 1980, in accordance with the Act,
on the proposal to undertake and finance the Project, all .
parties who appeared at the hearing were given an
opportunity to express theix views with respect to the
proposal to undertake and finance the Project. Based on
such hearing and such other facts and circumstances as
this Council deems relevant, this Council hereby finds,
determines and declares as follows:
(a) The welfare of the State of Minnesota
requires active promotion, attraction, encouragement and
development of economically sound industry .and commerce
through governmental acts to prevent, so far as possible,
emergence of blighted lands and areas of chronic
unemployment, and the State has encouraged local
government units to act to prevent such economic
deterioration.
-3-
r-w ,
•
(b) The Project would further the general
purposes contemplated and described in Section 474.01 of
the Act.
v
(c) The existence of the Project would add to
the tax base of the Municipality, the County and School
District in which the Project is located and would provide
increased opportunities far employment for residents of
the Municipality and surrounding area.
(d) This Council has been advised that con-
ventional, commercial financing to pay costs of the
Project is available only on a limited basis and at
such high costs of borrowing that the economic feas-
ibility of operating the Project would be significantly
reduced, but that with the aid of municipal borrowing,
and its resulting lower borrowing cost, the Project is
economically more feasible.
(e) This Council has also been advised by
the Borrower, that on the basis of its discussions with
potential buyers of tax-exempt bonds, revenue bonds of
the Municipality (which may be in the form of a commer-
cial development revenue note or notes) could be issued
and sold upon favorable rates and terms to finance the
Project.
• (.f) The Municipality is authorized by the Act to
issue its revenue bonds to finance capital projects
consisting of properties used and useful in connection
with a revenue producing enterprise, such as that of the
Borrower,~and the issuance of such bonds by the
Municipality would be a substantial inducement to the
Borrower to acquire, improve, construct, furnish and equip
the Project.
SECTIOI3 2
Approvals
2.1. On the basis of information given the Municipality
to date, it appears that it would be desirable for the
Municipality to issue its revenue bonds under the
provisions of the Act in an approximate principal amount
of $3,000,000 to finance casts of the Project.
2. 2. It is hereby determined to proceed with the Project
and its financing and the Project is hereby given
approval by the Municipality and the issuance
-4-
.
. `
~of revenue bonds of the Municipality in an approximate
principal amount of $3,000,000 is hereby approved, sub-
ject to the approval of the Project by the Commissioner
of Securities, and the mutual agreement of this Council
and the Borrower as to the details of the bond issue
and provisions for its payment. 4
2.3. The form of the Application to the Commissioner of
Securities, with attachments and exhibits, is hereby
approved, and the Mayor and City Clerk are authorized
to execute said Application, and any of said attachments
and exhibits to be signed by them, on behalf of the Mun-
icipality.
2.4. Zn accordance with Section 474.10, Subdivision 7a of
the Act, the Mayor and City Clerk are hereby
authorized and. directed to cause said Application to be
submitted to the Commissioner of Securities__for approval
of the Project. The Mayor, City Clerk, City
Attorney and other officers, employees and agents of the
Municipality are hereby authorized and directed to provide
the Commissioner with any preliminary information the
Commissioner may need for this purpose, and the City
Attorney is authorized to initiate and assist in the .
preparation of such documents as may be appropriate to the
Praject, if it is approved•by the Commissioner..
M yor
s
Attest:
City Clerk
The motion for the adoption of the foregoing
resolution was duly seconded by Member spande
and upon vote being taken thereon, the following voted in
favor thereof : Lekson, Zaun, Sindt, Nelson, Spande
and the following voted against the same: None
whereupon the resolution was declared duly passed and
adopted and was signed by the Mayor and
attested by the City Clerk.
-5-