HomeMy WebLinkAboutCity Council Resolution 1996-081J
RESOLUTION NO. 96-81
RESOLUTION ESTABLISHING THE DATE FOR A PUBLIC HEARING
ON A PROPOSED PROJECT (FOX FOREST APARTMENTS PROJECT)
AND ITS FINANCING, UNDER MINNESOTA STATUTES,
CHAPTER 462C, AS AMENDED AND AUTHORIZING CERTAIN
OTHER ACTIONS IN CONNECTION THEREWITH
WHEREAS, the City of Plymouth, Minnesota (the "City) is authorized, pursuant
to Minnesota Statutes, Chapter 4620 (the "Housing Act") to develop and administer
multifamily housing programs pursuant to a housing plan, which may be financed by the
issuance of revenue bonds of the City, and which may be refinanced by the issuance of
revenue refunding bonds of the City, and
WHEREAS, the City has adopted its Comprehensive Plan, which includes a 462C
Housing Plan component, as amended (the "Housing Plan") pursuant to and in
conformance with the provisions of the dousing Act and has held a public hearing
thetean, after at least 30 days published notice thereof, and after review and comment by
the Metropolitan Council thereon; and
WHEREAS., pursuant to the Housing Act the City has previously issued its
Multifamily Housing Revenue Refunding Bonds (Fox Forest Apartments Project), Series
1989 (the "Prior Bonds") to provide financing for a 160 -unit multifamily apartment
project located at 1796 Magnolia Lane in the City (the "Project"); and
WHEREAS, the City has received a proposal from Fox Forest Limited
Partnership, a Minnesota limited partnership (the "Borrower"), that the City issue its
taxable and tax exempt revenue bonds in the amount of up to $11,500,000 (the "Bonds")
to refund the outstanding principal amount of the Prior Bonds and to finance certain
other costs of the Project; and
WHEREAS, prior to approving the financing of the refunding of the Prior Bonds
and the issuance of the City's taxable bonds, in accordance with the Housing Act, a
housing program for the financing of multifamily housing developments (the "Program")
must be considered at a public hearing after notice, published at least 15 days before the
hearing, in a newspaper circulating generally within the City; and
WHEREAS, the Borrower has represented that it will reimburse the City for any
administrative expenses Incurred by the City in connection with the issuance of the
bonds;
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of
Plymouth, Mi,inesota;
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1. That the City Council of the City will conduct a public hearing on the
Program and proposal to issue the Bonds on Fe`iruary 21, 1996, at approximately 7
o'clock P.M.
2. That the City Clerk has caused a public notice to be published once in a
newspaper circulating generally with the boundaries cf the City not less than fifteen (15)
days prior to the date established for the publichearing by the preceding paragraph of
this Resolution. The City Council hereby ratifi.2s and affirms the publication of the
public hearing notice by the City Clerk.
3. The City Manager is hereby authorized and directed to take all steps
necessary and desirable to proceed to develop the Project and the financing therefor.
4. Nctwithstanding the foregoing, �iowever, the adoption of this resolution
shall not be deemed to establish a legal obligation on the part of the City or its City
Council to issue or cause the issuance of such revenue bonds. The City retains the right
in its sole discretion to withdraw tom participation and accordingly not to issue the
Bonds, or to issue the Bonds in an amount less t;t8.n the amount referred to in this
resolution, should the City, at any time prior to issuance thereof, determine that it is in
the best interests of the City not to issue eie Bonds, or to issue the Bonds in an amount
less than the amount referred to in this resolution, or should the parties to the
transaction be unable to reach agreement as to the terms and condition8 of any of the
documents required for the transaction. The Bonds, if issued, shall not constitute a
charge, lien or encumbrance, legal or eo,,itable, upon any property of the City, except
the revenues specifically pledged to the payment thereof, and each Bond, when, as and if
issued, shall recite in substance that the Bond, including interest thereon, is payable,
solely from the revenues and property specifically pledged to the payment thereof and
shall not constitute a debt of the City within the meanip_g of any constitutional or
statutory limitations.
S. The approval of the City of the issuance of the Bonds shall be subject to
the Borrower and the City reaching an agreement on low income housing assistance to
be provided by the Borrower in the City.
6. The Borrower has agreed and it is hereby determined that any and all
direct and indirect costs incuncd by the City in connection with the Project, whether or
not the Project is carried to completion, and whether or not the City by resolution
authorizes the issuance of the Bonds, will be paid by the Borrower upon request,
ATTEST:
cK\iOGGGVMm J953.Ito
City Clerk
1)
PASSED AND ADOPTED:
Mayor
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