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HomeMy WebLinkAboutCity Council Resolution 1981-133,i CITY OF PLYMOUTH Pursuant to due call and notice thereof, a special meeting of the City Council of the City of Plymouth, Minnesota was held on the 26th day of February, 1981. The following members were present: Acting Mayor Hoyt, Councilmembers Schneider and Threinen. The following members were absent: Mayor Davenport ar:: ".'t, -;-:member Neils. Councilmember Schneider introduced the following Resolution and moved its adoption: RESOLUTION NO. 81-133 RESOLUTION GIVING PREL"MINARY APPROVAL TO A PROPOSED INDUSTRIAL DEVELOPMENT PROJECT BY BANNER ENGINEERT.NG CORPORATION UNDER THE MUNICIPAL INDUSTRIAL DEVELOPMENT ACT AND AUTHORIZING SUBMISSION OF AN APPLICATION TO THE COMMISSIONER OF SECURITIES FOR APPROVAL THEREOF BE IT RESOLVED by the City Council of the City of Plymouth, Minnesota, as follows: 1. There has been presented to this Council a proposal by Banner Engineering Corporation, a Minnesota corporation (the "Company") that the City undertake and finance a project pursuant to the Minnesota Municipal Industrial Development Act, Minnesota Statutes, Chapter 474 (the "Act") generally consisting of the acquisition, renovation, and equipping of a manufacturing and warehouse facility in the City for use in the sales, engineering, assembly, and storage of electronic equipment (the "Project"). Under the proposal, the Project facilities will be owned by the Company, and the Company will enter into a revenue agreement with the City upon such terms and conditions as are necessary to produce income and revenues sufficient to pay when due the principal of and the interest on up to approximately $1,000,000 Industrial Development Revenue Bonds of the City to be issued pursuant to the Act, to provide monies for the acquisition, construction and installation of the Project; exclusive of the acquisition and installation of equipment in the building; and the City will pledge its interest in the revenue agreement to secure the bonds. 2. As required by the Act, this Council conducted a public hearing on February 23rd and February 26, 1981 on the proposal to undertake and finance the Project after publication in the official newspaper and a newspaper of general circulation in the City of a notice setting forth the time and place of hearing; stating the general nature of the Project and an estimate of the principal amount of bonds or other obligations to be issued to finance the Project; stating that a draft copy of the proposed Application to the Commissioner of Securities, together with all attachments and exhibits thereto, is available for public inspection at the office of the City Clerk, in the City Hall, at all times between the hours of 8:30 A.M. and 4:30 P.M. each day except Saturdays, Sundays and holidays to and including the day of hearing; and stating that all parties who appear at the public hearing shall have an opportunity to express their views with respect to the proposal. The draft application to the Commissioner of Securities, together with all attach- ments and exhibits thereto, was on file and available for public inspection at the place and times set forth in the notice. 3. It is hereby found, determined and declared that the Project furthers the purposes stated in Section 474.01 of the Act in that the purpose of the Project is and the effect thereof will be to promote the public welfare by the attraction, Resolution No. 81-133 Page 2 encouragement and development of economically sound industry and commerce so as to prevent, so far as possible, the emergency of blighted and marginal lands and areas of chronic unemployment; the retention and development of industry to use the available resources of the community, in order to retain the benefit of its existing investment in educational and public service facilities; by halting the movement of talented, educated personnel of mature age to other areas and thus preserving the economic and human resources needed as a base for providing governmental services and facilities; and the more intensive development of land avail- able in the area to provide a more adequate tax base to finance the cost of governmental services in the Municipality, county and school district where the Project is located. 4. The Company has entered into preliminary discussions with Daugherty, Dawkins, Strand & Ekstrom, Incorporated, as Underwriter, and the Underwriter has reported that the Project and the sale of bonds therefor are feasible. 5. The Company has agreed to pay any and all costs incurred by the City in connection with the Project whether or not the Project is approved by the Commissioner of Securities and whether or not the Project is carried to completion. 6. The Project is hereby given preliminary approval by the City subject to approval of the Project by the Commissioner of Securities and subject to final approval by this Council and by the purchasers of any bonds to be issued as to the ultimate details of the Project and as to the terms of the bonds. 7. In accordance with Section 474.01, Subd. 7 of the Act, the Mayor, the City Clerk and such other officers and repre- sentatives of the City as may from time to time be designated are hereby authorized and directed to submit the proposal for the Project to the Commiissioner of Securities and request her approval thereof, and the Mayor, the City ^lerk and other officers, employees and agents of the City are hereby a,:tnorized to provide the Commissioner with such preliminary ii -:formation as she may require. The Company, Messrs. Faegre & Benson a.:, bond counsel, the City Clerk, the City Attorney, and other Cit} offici:.ls are also authorized to initiate the preparation of a pro,osed loan agreement and such other documents as may be necessai: r_ appropriate to the Project so that, when and if the proposeu Project is approved by the Commissioner and this Council gives its final approval thereto, the Project may be carried forward expeditiously. 8. The Company is hereby authorized to enter into such contracts, in its own name and not as agent for the City, as may be necessary for the construction of the Project by any means available to it and in the manner it determines without advertisement for bids as may be required for the acquisition or construction of other municipal facilities, but the City shall not be liable on any such contracts. Resolution No. 81-133 Page 3 9. All Commitments of the City expressed herein are subject to the condition that within twelve months from the date of adoption of this resolution the City and the Company shall have agreed to mutually acceptable terms and con- ditions of the revenue agreement, the revenue bonds and of the other instruments and proceedings relating to the revenue bonds, and their issuance and sale. If the events set forth herein do not take place within the time set forth above or any extension thereof and the revenue bonds are not sold within such time, this resolution shall expire and be of no further force or effect. 10. The City shall have the right, in its sole discretion, to withdraw from participation, and accordingly, not issue its revenue bonds for the Project, should the City at any time prior to the issuance thereof determine that it is in the best interest of the City not to issue its revenue bonds or should the parties to the transaction be unable to reach agreement as to the terms and con- ditions of any of the documents required for the transaction. The decision of the City Council with respect to any of the aforementioned matters shall be incontestable. 11. The actions of the City Clerk in m;difying the notice of public hearing as published in the Minneapolis Star and Minneapolis Tribune to provide for a public hearing on this date are hereby ratified and confirmed in all respects. The motion for the adoption of the foregoing Resolution was duly seconded by CoupcilmamhAr ThrPinAn , and upon vote being taken thereon, the following voted in favor thereof: Acting Mayor Hoyt, Councilmembers, Shnidr jnd Threinen The following voted against or abstained:__ one Whereupon the Resolution was declared duly passed and adopted.