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HomeMy WebLinkAbout85-16 - ADMIN Resolution - City Council - 1985/02/19RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAINT LOUIS PARK, MINNESOTA (THF. "ISSUER") CONFIRMING AND RATIFYING THE AUTHORIZATION OF THE ISSUANCE, SALE AND DELIVERY OF THE $15,000,000 VARIABLE RATE DEMAND PURCHASE HOUSING DEVELOPMENT REVENUE BONDS (EXCELSIOR PARTNERS PROJECT) (THF. "BONDS"), PURSUANT TO RESOLUTION NO. �OF THE ISSUER; APPROVING THE FORM OF AND AUTHORIZING THE EXECUTION AND DELIVERY OF A REIMBURSEMENT AGREEMENT, AND APPROVING THE FORM OF A LETTER OF CREDIT WHEREAS, the City of Saint Louis Park, Minnesota (the "Issuer") is a home - rule charter city duly organized and existing under the Constitution and law of the State of Minnesota; and WHEREAS, pursuant to the Constitution and laws of the State of Minnesota, particularly Minnesota Statutes, Chapters 462A and 462C, as amended (the "Acts"), the Issuer is authorized to carry out the public purposes described therein and contemplated thereby by issuing its revenue bonds to defray, in whole or in part, the development costs of a rental housing development, and by entering into any agreements made in connection therewith and pledging them as security for the payment of the principal of and interest on any such revenue bonds (the "Program"); and WHEREAS, to provide a means of financing the cost of a rental housing development that will provide decent, safe and sanitary housing for low and moderate income residents of the City of Saint Louis Park (the "City") at rents they can afford, and further (1) to provide for and promote the public health, safety, morals and welfare; (2) to provide for efficient and well-planned urban growth and development, including the elimination and prevention of potential urban blight, and the proper coordination of industrial facilities with the public services, mass transportation and multifamily housing developments; and (3) to assist persons of low and moderate income in obtaining safe and sanitary housing at rents which they can afford, which constitute valid public purposes for the issuance of revenue bonds under the Acts, the Issuer has developed a program with respect to (i) the issuance by the Issuer of its Floating Rate Housing Development Revenue Bonds (Excelsior Partners Project) (the "Bonds") in the aggregate principal amount not to exceed $15,000,000 and (ii) the use of the Bond proceeds by the Issuer to make a loan (the "Loan") to Excelsior Housing Partners 100 Limited Partnership, a Minnesota limited partnership (the "Developer"), pursuant to a loan agreement dated as of the date hereof between the Issuer and the Developer (the "Loan Agreement") to finance construction of a multifamily rental housing development (the "Project"); and WHEREAS, the Issuer has developed a Housing Plan by Resolution No. 6386 dated October 2, 1979, pursuant to and in conformity with the Acts (the "Housing Plan"), after public hearing thereon and after one publication of notice in a newpaper circulating generally in the City at least thirty (30) days before the date of the hearing, as required by the Acts; and WHEREAS, the Issuer by the passage of Resolution No. 7086 dated :March 15, 1982 amended its Housing Plan to include a multifamily rental housing bond program; and WHEREAS, the Housing Plan, as amended, was submitted on April 8, 1982 to the Metropolitan Council, which reviewed the Housing Plan and forwarded its comments to the Issuer on April 13, 1982, which comments were reviewed and discussed by the Issuer; and WHEREAS, the Issuer adopted a housing program (the "Program'l for the Project by Resolution No. 84-174 dated October 15, 1984, pursuant to and in conformity with the Acts after public hearing thereon and after one publication of notice in a newpaper circulating generally in the City at least fifteen (15) days before the date of the hearing, as required by the Act; and WHEREAS, the Minnesota Housing Finance Issuer reviewed and approved the Program, as required by the Acts; and WHEREAS, the Issuer proposes to finance the undertaking of said Project under the Act by the issuance of the Bonds of the Issuer under this resolution and Resolution No. of the Issuer (the "Initial Sale Resolution") as hereinafter defined; and WHEREAS, the Bonds will be issued and secured as provided in the Initial In Sale Resolution, and said Bonds and the interest on said Bonds shall be payable solely from the revenue pledged therefor and the Bonds shall not constitute a debt of the Issuer within the meaning of any constitutional or statutory limitation nor shall constitute nor give rise to a pecuniary liability of the Issuer or a charge against its general credit or taxing powers and shall not constitute a charge, lien, or encumbrance, legal or equitable, upon any property of the Issuer other than the Issuer's interest in said Project; and WHEREAS, in order to comply with the requirements of Section 103(1) of the Internal Revenue Code of 1954, as amended, the City Council has held a public hearing, after publication of notice thereof in a newspaper of general circulation in the City at least fourteen (14) days before the hearing; and WHEREAS, the Issuer provided for the issuance and sale of the Bonds pursuant to the Initial Sale Resolution, and certain documents authorized to be executed therein have been executed pursuant to such authorization; and NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SAINT LOUIS PARK, MINNESOTA, AS FOLLOWS: 1. The Issuer acknowledges, finds, determines, and declares that the preservation of the quality of life in the City is dependent upon the maintenance, provision, and preservation of an adequate housing stock which is affordable to persons and families of low or moderate income, that accomplishing this is a public purpose, and that many would-be providers of housing units in the City are either unable to afford mortgage credit at present market rates of interest or are unable to obtain mortgage credit because the mortgage credit market is severely restricted. 2. For the purpose of financing the acquisition, construction and installation of the Project, the Issuer hereby ratifies and confirms its authorization pursuant to the Initial Sale Resolution of the issuance, sale and delivery of the Bonds in a principal amount not to exceed $15,000,000. All of the terms and provisions of the Initial Sale Resolution shall be effective as of the date hereof, provided that the forms of all documents approved pursuant to such resolution shall be the forms now on file with the Issuer, with such ommissions and insertions as do not materially change the substance thereof, or as the Mayor, in his discretion, shall determine, and the execution thereof by the Mayor shall be conclusive of such determination. 3. The Mayor, Manager and Clerk are hereby further authorized and directed to execute the Reimbursement Agreement relating to the Bonds (the "Reimbursement Agreement'l. All of the provisions of the Reimbursement Agreement, when executed and delivered as authorized herein, shall be deemed to be a part of this resolution as fully and to the same extent as if incorporated verbatim herein and shall be in full force and effect from the date of execution and delivery thereof. The Reimbursement Agreement shall be substantially in form on file with the Issuer, which is hereby approved, with such necessary and appropriate variations, omissions and insertions as are not materially inconsistent with the form on file with the Issuer and as the Mayor, in his discretion, shall determine and execution thereof by the Mayor shall be conclusive evidence of such determination. The form of the Letter of Credit securing the Bonds is hereby approved in substantially the form on file with the Issuer. The provisions of the Initial Sale Resolution shall apply to such documents as if they had been included therein. 4. The officers of the Issuer, attorneys, engineers and other agents or employees of the Issuer are hereby authorized to do all acts and things required of them by or in connection with this resolution, the Initial Sale Resolution, the aforementioned documents, and the Bonds for the full, punctual and complete performance of all the terms, covenants and agreements contained in the Bonds, the aforementioned documents and this resolution. In the event that for any reason the Mayor, of the issuer is unable to carry out the execution of any of the documents provided herein, any other member of the City Council of the Issuer shall be authorized to act in his capacity and undertake such execution on behalf of the Issuer with full force and effect, which executions shall be valid and binding on the Issuer. If for any reason the Manager or Clerk of the Issuer is unable to execute and deliver the documents referred to in this Resolution, such documents may be executed by a member of the City Council or the Assistant City Clerk with the same force and effect as if such documents were executed and delivered by the Manager or Clerk of the Issuer. Any documents or certificates executed pursuant to authorization provided in the Initial Sale Resolution need not be re -executed; such documents and certificates shall be deemed to have been executed pursuant to this resolution. 3 5. Any documents or certificates executed pursuant to authorization provided in the Initial Sale Resolution need not be re -executed; and certificates shall be deemed to have been executed pursuant to this resolution. 6. This resolution shall be in full force and effect from and after its passage. Adopted by the City Council of the Issuer this 19thday of February1985. Attest: ( 1,41"ki ty Clerk Reviewed for administration: 4 I- A,' W Mayor Approved as to form and legality: ��U- -5 Aj� I — City Attorne