HomeMy WebLinkAbout1980/12/30 - ADMIN - Minutes - City Council - Regular MINUTES
CONTINUED SPECIAL CITY COUNCIL MEETING
ST. LOUIS PARK, MINNESOTA
December 30, 1980
(Continued from December 29, 1980)
1. Call to Order The continued special Council meeting of
December 29, 1980, of the City of St. Louis
Park, was called to order by
Mayor Phyllis McQuaid at 12:10 p.m.
2. Roll Call The following Councilmen were present at
roll call:
Ronald Backes John Relies
Martha Elstrom Jerrold Martin
Phyllis McQuaid
Also present were the City Development Director and the Director of
Finance/City Clerk. •
3. Mortgage Revenue Bonds; Resolution related to sale of single- and
Resolution No. 6744 multi-family mortgageerevenue bonds.
Richard Lincoln, Miller & Schroeder, Inc. ,
stated that Miller & Schroeder was prepared to purchase the City's
$20,200,000 residential mortgage revenue bonds, provided that the
credit rating of A- previously assigned to this bond issue be sus-
tained. He further stated that one developer, Remmen (Oak Park
Village development) , had elected not to participate in the program
thus reducing the mortgage pool by $2.5 million. He also stated that
this should not affect the A- rating assigned the bond issue by
Standard & Poors, Inc. , bond rating agency.
Stan Kehl, approving opinion attorney, explained the relevant pro-
visions of the resolution authorizing the issuance of the residential
mortgage revenue bonds.
William Thibault, the City Development Director, indicated that the
City Attorney had requested that the City Council be informed about
certain provisions of the bond documents. He also concurred with the
representations made therein, and that the City Attorney had agreed
to the provisions thereof.
7.466--
City Council minutes, December 30, 1980
Mayor McQuaid asked if the City retained the right to approve all
buildings which might be constructed under the program. Mr. Thibault
responded that the City's rights in this matter would remain in full
force and effect.
Mr. Lincoln said that all housing units under the program must be in
conformance with City rules and regulations.
Councilman Backes asked if there would be any conflict of interest by
virtue of his employer being the Chairman of the Board of Shelard Nat-
ional Bank in that Shelard National Bank is one of the bond originators.
Mr. Kehl responded that Councilman Backes' association was indirect and
would not cause any conflict.
Mayor McQuaid said that she had spoken to the City's Director of Finance,
and he stated the City's undertaking in the mortgage revenue bond
program io uld not be a financial risk to the City inasmuch as the bonds
authorized for sale under the Council action did not constitute an
obligation of the full faith and credit of the City.
It was moved by Councilman Martin, seconded by Councilman Backes, to
waive reading and adopt Resolution No. 6744 entitled, "A resolution of
the City Council of the City of St. Louis Park, Minnesota, authorizing
the issuance of its residential mortgage revenue bonds, in aggregate
principal amount of $20,200,000, which bonds and the interest and
premium, if any, thereon shall be payable solely from the revenues of
the program; prescribing the form of and authorizing the execution of an
indenture of trust; authorizing the execution and sale of the bonds
and directing delivery thereof; authorizing acceptance of the contract
of purchase in connection with the bonds; authorizing the purchase of
mortgage loans and the contracting for the origination thereof;
authorizing the contracting for services of a program administrator;
prescribing the form of and authorizing the execution of an origination
and sale agreement and program administration agreement; and providing
for the securities, rights and remedies of the holders of said revenue
bonds."
The motion passed 5-0.
4. Verified Claims It was moved by Councilman Martin, seconded
by Councilman Elstrom, that the list of
verified claims prepared by the Director of
Finance and directed to the City Council dated December 30, 1980, in
the total amount of $19,764.28 for vendors be approved and the City
Manager and City Treasurer be authorized to issue checks in the same
amount by a vote of 5-0.
5, Adjournment On motion of Councilman Martin, seconded by
Councilman Ralles, the meeting was adjourned
(mat 12:12:35 p.m. by a vote
� of 5-0.
jaee--5
.44,
Phyl s McQua d, Mayor
Attest:
P. Y 5m7 Y}1, P'
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