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HomeMy WebLinkAboutCity Council Resolution 1993-406PLYMOUTH CITY COUNCIL RESOLUTION NO. 93-406 RESOLUTION AUTHORIZING THE ISSUANCE OF UP TO $6.700.000 AGGREGATE PRINCIPAL AMOUNT OF HOUSING DEVELOPMENT BONDS TO BE ISSUED BY THE PLYMOUTH HOUSING AND REDEVELOPMENT AUTHORITY AND APPROVING THE PLEDGE OF THE GENERAL OBLIGATION OF THE CITY OF PLYMOUTH TO THE PAYMENT OF PRINCIPAL OF AND INTEREST ON THE BONDS WHEREAS, pursuant to Minnesota Statutes, Section 469.017, the Housing and Redevelopment Authority in and for the City of Plymouth, Minnesota (the "Authority") is authorized to undertake housing development projects and to acquire and construct multifamily rental housing for the purpose of providing housing for low and moderate income persons and families; and WHEREAS, pursuant to Minnesota Statutes, Section 469.034, the Authority is authorized to issue bonds to finance a housing development project and upon (a) a determination by the Authority that pledged revenues will equal or exceed 110% of the principal and interest due on such bonds for each year and (b) approval by the City of Plymouth of the principal amount of the bonds to be issued by the Authority following a public hearing, the Authority may pledge the general obligation of the City of Plymouth to the Authority's bonds issued for the purpose of financing a qualified housing development project; and WHEREAS, the Authority has developed and adopted a financing program for the acquisition and construction of multifamily housing facilities (the "Program") pursuant to which it proposes to undertake a qualified housing development project in the City of Plymouth designed for occupancy by elderly persons of low and moderate income (the "Project"); and WHEREAS, the City desires to extend its support to the Project by pledging its general obligation to the Authority's bonds; and WHEREAS, on July 19. 1993, the Plymouth City Council (the "City") held a public hearing at 7:00 p.m. at the Plymouth City Hall. 3400 Plymouth Boulevard. Plymouth. Minnesota. for which notice was published in advance regarding the issuance of up to $6,700,000 aggregate principal amount of general obligation housing development bonds (the "Bonds") to be issued by the Authority to finance the Program and to which the full faith and credit of the City will be pledged. all in accordance with the requirements of Minnesota Statutes, Section 469.034; RESOLUTION NO. 93-406 NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PLYMOUTH: 1. That the City hereby approves the issuance by the Authority of up to $6,700,000 aggregate principal amount of housing development bonds to which the full faith and credit of the City will be pledged, the proceeds of which Bonds will be used by the Authority to finance the Program. 2. That such approval is conditioned upon a determination by the Authority to be made in the Authority's resolution approving the sale of the Bonds that the revenues pledged to the payment of the Bonds will equal or exceed 110% of the principal and interest due on the Bonds for each year of their term. 3. That the $6,700.000 maximum principal amount of the Bonds does not exceed one—half of one percent of the taxable market value of the City. 4. That the City hereby approves the pledge of its general obligation to the payment of principal of and interest on the Bonds. Adopted this 19th day of July. 1993. Attest: City Clerk 7060P —2— By: Mayor •