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HomeMy WebLinkAbout6359 - ADMIN Resolution - City Council - 1979/09/171 1 RESOLUTION NO, 6359 SEPTEMBER 17, 1979 RESOLUTION GIVING PRELIMINARY APPROVAL TO A PROPOSED INDUSTRIAL DEVELOPMENT PROJECT BY LELAND E. GOTTSTEIN AND MARY GOTTSTEIN UNDER THE MUNICIPAL INDUSTRIAL DEVELOPMENT ACT, AUTHHORIZING THE SUBMISSION OF AN APPLICATION TO THE COMMISSIONER OF SECURITIES FOR APPROVAL THEREOF AND AUTHOF.IZING THE PREPARATION OF DOCUMENTS AND MATERIALS IN CONNECTION WITH THE PROJECT Resolved by the City Council of the City of St. Louis Park, Minnesota, as follows: 1. There has been presented to this Council a proposal by Leland E. Gottstein and Mary Gottstein, individuals residing in the City of St. Louis Park, Minnesota (the "Borrowers"), that the City undertake a project pursuant to the Minnesota Municipal Industrial Development Act (Minnesota Statutes, Chapter 474), to provide financing for the acquisition and construction in the City of a building to be used as an office and warehouse facility, and the acquisition and installation of equipment therefor, together with any site improvements required in relation thereto (hereinafter called the "Project"). Under the proposal, the Project will be owned by the Borrowers. The Borrowers will enter into a loan 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 interest on up to approximately $1,400,000 Industrial Development Revenue Bond of the City to be issued pursuant to said Chapter 474, Minnesota Statutes, to provide monies for the Project, and the City will pledge its interest in the loan agreement to secure the bonds. 2. As required by said Chapter 474, Minnesota Statutes, this Council conducted a public hearing on September; 17 , 1979, 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 of 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 and stating that a draft copy, of the proposed Application to the Commissioner of Securities, together with all attachments and exhibits thereto, shall be available for public inspection at the office of the City Clerk, Monday through Friday, from 8 a.m. to 4:30 p.m. to and including the day of hearing; and all parties who appeared at the public hearing were given an opportunity to express their views with respect to the proposal. 3. It is hereby found, determined and declared that the purpose of the Project is and the effect thereof will be to promote the public welfare by the attraction, encouragement and development of economically sound industry,, agriculture and commerce so as to prevent, so far as possible, the emergence 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 amore adequate tax base to finance the cost of governmental services in the City, County and School District where the Project is located. 4. 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 bonds and the Project. 5. In accordance with Section 474.01, Subd. 7a, Minnesota Statutes, the Mayor, the City Manager, the City Clerk, and such other officers and members of the City as may from time to time be designated are hereby authorized and directed to submit an Application for approval of the Project to the Commissioner of. Securities and request her approval thereof, and the Mayor, the City Manager, the City Clerk, and other officers, employees and agents of the City are hereby authorized to provide the Commissioner with such preliminary information as she may require. The Borrowers, Messrs. Faegre & Benson as bond counsel, the City Attorney, and other City officials are also authorized to initiate the preparation of a proposed loan agreement and such other documents as may be necessary or appropriate to the Project so that, when and if the proposed Project is approved by the Com- missioner and this Council gives its final approval thereto, the Project may be carried forward expeditiously. 6. The Borrowers have 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 and whether or not the Project is carried to completion and to indemnify the City, its officers and employees from all liability which the City and any officers and employees may incur in connection with the Project or the issuance and sale of the bonds. -2- 7. The Borrowers are hereby authorized to enter into such contracts, in their own names and not as agent's for the City, as may be necessary for the acquisition and construction of the Project by any means available to them and in the manner they determine 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. Adopted by the City Council September 17, 1979. Attest: ay -or inistration: Appryed as to form and legality: City Attorney