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HomeMy WebLinkAboutCity Council Resolution 1992-657RESOLUTION 92- 6s RESOLUTION AUTHORIZING PLACEMENT OF THE $3,750,000 MULTIFAMILY HOUSING REVENUE REFUNDING BONDS, SERIES 1992 (LANCASTER VILLAGE APARTMENTS PROJECT) BY FBS FINANCIAL SERVICES, INC. BE IT RESOLVED by the Council of the City of Plymouth, Minnesota, as follows: 1. Pursuant to a resolution adopted by the City Council on September 21, 1992 (the "September Resolution"), following a public hearing, the Council approved the issuance of the City's $3,750,000 Multifamily Housing Revenue Refunding Bonds, Series 1992 (Lancaster Village Apartments Project) (the 'Bonds"). At the time of the September Resolution, the Bonds were intended to be placed with accredited investors by Miller & Schroeder Financial, Inc. ("Miller & Schroeder"). Since adoption of the September Resolution, Gary S. Holmes and Harold Roitenberg, trustee of the Lanvilar Trust, created under Agreement and Declaration of the Lanvilar Property Trust, effective as of October 1, 1992 (the 'Borrower"), has made arrangements with FBS Financial Services, Inc. ("FBS") to act as Placement Agent with respect to the Bonds to replace Miller & Schroeder. The Bonds continue to be secured by a letter of credit issued by First Bank National Association in the principal amount of the Bonds plus 50 days interest thereon. The Borrower has asked that the City approve the substitution of FBS for Miller & Schroeder and also to approve the terms of the Offering Memorandum prepared by FBS and the execution of the Bond Placement Agreement among the Company, the City and FBS (the "Placement Agreement"). 2. The City agrees that the Bonds may be placed by FBS, or in the alternative, may be sold to FBS at par, plus accrued interest, if any, to the date of issuance. 3. The form of Placement Agreement in the form reviewed and approved by the City Attorney is authorized for execution by the City. The use of the Offering Memorandum prepared by FBS and its counsel is hereby approved, but the City takes no responsibility for any of the information contained therein. 4. The forms of the Loan Agreement, Indenture, Custodial Agreement and Bond Placement Agreement and exhibits thereto relating to the Bonds shall be subject to the final approval of the City Attorney. Such documen:s are directed to be executed in the name and on behalf of the City by the Mayor and the Acting City Manager and any other documents and certificates necessary to the transaction shall be executed and delivered by the appropriate City officers. The City shall proceed forthwith to issue the Bonds in the form and upon the terms set forth in the Indenture at the interest rate determined by the Placement Agent as Remarketing Agent on the date of issuance of the Bonds. The Mayor and the Acting City Manager are authorized and directed to prepare and execute the Bonds as described in the Indenture and deliver them to the trustee for authentication and delivery to the Bond purchaser(s) indicated by FBS. In the absence of the Mayor or Acting City 643754 RESOLUTION NO. 92-657 Manager, any of the documents authorized by this Resolution or the September Resolution may be executed by the Acting Mayor or the designee of the Acting City Manager respectively. 5. All other findings made and approvals given in accordance with the September Resolution are hereby ratified and approved. Adopted: October 26, 1992 Ra'y6 ATTEST: 643754