HomeMy WebLinkAbout92-03THE HOUSING AND REDEVELOPMENT AUTHORITY
IN AND FOR THE CITY OF LAKEVILLE
COUNTY OF DAKOTA
STATE OF MINNESOTA
RESOLUTION NO. 92 -3
RESOLUTION REQUESTING THE CITY COUNCIL OF
THE CITY OF LAKEVILLE TO CALL FOR PUBLIC
HEARING ON THE PROPOSED MODIFICATION OF
AIRLAKE REDEVELOPMENT PROJECT NO. 1,
DESIGNATION OF TAX INCREMENT FINANCING
DISTRICT NO. 13 TO BE LOCATED WITHIN THE
REDEVELOPMENT PROJECT AND THE PROPOSED
APPROVAL AND ADOPTION OF A MODIFIED
REDEVELOPMENT PLAN AND TAX INCREMENT
FINANCING PLAN RELATING THERETO.
BE IT RESOLVED by the Board of Commissioners of The Housing and
Redevelopment Authority in and for the City of Lakeville, Minnesota (the
"Authority "), as follows:
1. The Authority proposes to modify Redevelopment Project No. 1 (the
"Project "), establish Tax Increment Financing District No. 13 (the "Tax Increment
District ") to be located within the Project and to adopt a modified Redevelopment
Plan (the "Redevelopment Plan ") and Tax Increment Financing Plan (the "Financing
Plan ") relating thereto, pursuant to and in accordance with Minnesota Statutes,
Sections 469.001 to 469.047, inclusive, and Minnesota Statutes, ete ions60
469.179, inclusive.
2. The Authority hereby requests the City Council of the City of
Lakeville, Minnesota (the "City ") to call for a public hearing to consider the
modification of the Project, establishment of the Tax Increment District within the
Project, and the proposed approval and adoption of the modified Redevelopment
Plan and Financing Plan relating thereto and to cause notice of said public hearing
to be given as required by law.
3. The Authority hereby directs the Executive Director to transmit a
copy of the modified Redevelopment Plan and Financing Plan to the Dakota County
Board of Commissioners and the school board in which the proposed Tax Increment
District is to be located, and to advise the Commissioners of the County Board and
the members of such school boards that the Authority intends to consider approval
of the modified Redevelopment Plan and Financing Plan at its public hearing.
4. The Executive Director of the Authority is hereby directed to submit
the proposed modified Redevelopment Plan and Financing Plan to the City Council.
The motion for the adoption of the foregoing resolution was duly seconded
by Boardmember Sindt , and upon vote being taken thereon,
the following voted in favor thereof:
Ruhmann, Zaun, Sindt, Mulvihill, Harvey
and the following voted against the same: None
whereupon said resolution was declared duly passed and adopted by the Board of
Commissioners of the Lakeville Housing and Redevelopment Authority of the City
of Lakeville, Minnesota on June 1 , 1992.
Dated: June 1 , 1992
Chair
A ES
Executive Director
( SEAL)
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RESOLUTION NO. 92 - 3 (a)
RESOLUTION APPROVING MEMORANDUM OF
UNDERSTANDING AND RELATED DOCUMENTS
FOR PROPOSED ICE ARENA PROJECT
WHEREAS, the City of Lakeville, Minnesota (the City), the Lakeville
Housing and Redevelopment Authority (the Authority), Independent School
District No. 194 (the District), the Lakeville Community Corporation (the
Corporation) and the Lakeville Hockey Boosters, Inc. (Boosters) propose to
undertake the development of a 40,000 square foot ice arena facility in the City of
Lakeville adjacent to the new senior high school (the Project); and
WHEREAS, the parties have had discussions relating to the scope of
the Project, the proposed financing structure, and the future roles and
responsibilities of the parties relating to the operation of the Project; and
WHEREAS, a draft Memorandum of Understanding has been prepared
and reviewed by the parties which describes the Project, the budget for the Project,
the financing requirements for the Project and the actions to be taken by the parties
to successfully complete the development of the Project, and which Memorandum
of Understanding includes, as exhibits thereto, a proposed form of (i) a Lease -
Purchase Agreement to be executed by the City and the Authority, pursuant to
which the the Authority would issue revenue bonds to construct the Project and the
City would, subject to its lease cancellation rights, lease- purchase the Project from
the Authority for rentals sufficient to retire the revenue bonds, (ii) a Sublease
Agreement between the City and the Corporation pursuant to which the
Corporation would assume the responsibility for operation of the Project, including
normal operation, maintenance, insurance and similar expenses, and will agree to
pay sublease rentals each year according to a schedule attached to the sublease which,
together with certain gaming receipts to be received pursuant to the Gaming
Revenue Agreement hereinafter referred to, will provide sufficient funds to the City
to pay the rentals required to be paid by the City under the Lease- Purchase
Agreement, and (iii) a Gaming Revenue Agreement to be entered into between the
City and Boosters whereby Boosters will agree to pay to the City profits from its pull -
tab operations (and any other future gaming operations) in an amount equal to
$70,000 per year plus 90% of the profits in excess of $70,000, which funds will be used
by the City to help pay the rental payments due under the Lease - Purchase
Agreement; and
WHEREAS, the Memorandum of Understanding also provides that (i)
to accomodate the desires of the Authority, City, Boosters and District to have a
voice in the operation of the Project, the parties will create an advisory committee
consisting of representatives of the Authority, City, Boosters, Corporation and
District to advise the Corporation on the operation and management of the Project,
(ii) the District will commit to rent, at the then current rental rates, 140 hours of ice
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time annually (July 1 through June 30) for a period of 5 years and the District shall be
permitted to use up to 50 hours of ice time rent free each year (July 1 through June
30) during non -prime time hours and (iii) the City shall be permitted to use up to 50
hours of ice and /or dry floor time each calendar year during non -prime time hours;
and
WHEREAS, the Memorandum of Understanding further provides that
the parties will in good faith endeavor to carry out their respective responsibilities
as set forth therein, but shall not incur any legal liability for damages or otherwise
because of their failure or inability to do so.
NOW, THEREFORE, BE IT RESOLVED by the Board of Commissioners
of the Housing and Redevelopment Authority of the City of Lakeville, Minnesota,
as follows:
1. The Memorandum of Understanding, together with the Lease -
Purchase Agreement, Sublease Agreement and Gaming Revenue Agreement
attached thereto, are hereby approved in the form prepared and submitted to this
Board.
2. The Chair and Secretary are hereby authorized to execute the
Memorandum of Understanding on behalf of the Authority, and, at the appropriate
time as established in accordance with the terms of the Memorandum of
Understanding, to execute the Lease - Purchase Agreement on behalf of the
Authority. The authorization to execute said documents includes the authority to
approve such changes and modifications therein as said officers deem appropriate
upon consultation with legal counsel for the Authority and which do not materially
change the substance of the transaction as set forth in the drafts heretofore
submitted to this Board.
3. The Chair and Secretary are also authorized to execute such other
documents, certificates and agreements as may be necessary or desirable to complete
the development of the Project in accordance with the Memorandum of
Understanding, provided such additional documentation has been reviewed by
legal counsel for the Authority and further provided such additional
documentation does not materially modify the substance of the transaction as
approved by the Board pursuant to this Resolution.
Adovted this 6th day of Tulv. 1992.
Attest:
rAivz 7� A f
ASI
Chair
Secretar
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