HomeMy WebLinkAboutResolution - 78-186 - Giving Preliminary Approval to Proposed Industrial Development Project, Authorizing Submission to Commissioner of Securities, Preparation of Documents, and Referring Amended Proposal to Commissioner of Securities - Blackbourn, Inc. - Member introduced the following resolution
and moved its adoption: 7
RESOLUTION AMENDING THE RESOLUTION ADOPTED ON
September 19 , 1978 , ENTITLED " RESOLUTION GIVING
PRELIMINARY APPROVAL TO A PROPOSED INDUSTRIAL
DEVELOPMENT PROJECT TO BE CONSTRUCTED AND
FINANCED UNDER THE MUNICIPAL INDUSTRIAL DEVELOP-
MENT ACT, AUTHORIZING THE SUBMISSION OF AN
APPLICATION TO THE COMMISSIONER OF SECURITIES
FOR APPROVAL THEREOF AND AUTHORIZING THE
PREPARATION OF DOCUMENTS AND MATERIAL IN
CONNECTION WITH THE PROJECT. " AND REFERRING
THE AMENDED PROPOSAL TO THE COWIISSIONER OF
SECURITIES FOR APPROVAL.
BE IT RESOLVED by the City Council of the City of
Eden Prairie as follows:
1. By resolution duly adopted on September 19 , 1978,
entitled "Resolution Giving Preliminary Approval To A Proposed
Industrial Development Project To Be Constructed And Financed
Under The Municipal Industrial Development Act, Authorizing The
Submission Of An Application To The Commission Of Securities For
Approval Thereof And Authorizing The Preparation Of Documents And
Material In Connection With The Project, " this Council expressed
• the intention of the City to issue, subject to the conditions set
forth in that Resolution, revenue bonds of the City, in an
aggregate principal amount not to exceed $750 ,000 for the
purpose of financing a part of the cost of a project consisting
of the acquisition of land and construction thereon of a
combination light manufacturing-office building to be used by
Blackbourn, Inc. , (the Company) , in its business operation.
2. This Council has now been advised by bond counsel,
Briggs and Morgan, that an amendment of the preliminary Resolution
is necessary in order to allow bond counsel to issue its opinion
that the bonds will be exempt from taxation under the Internal
Revenue Code.
3. Paragraph 5 of the Resolution adopted September 19,
1978 is hereby amended to read
"Mrs. David S. Nicholson, owner of the
project, has 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 of Securities;
whether or not the project is carried to
completion; and whether or not the bonds or
operative instruments are executed.
3. Paragraph 6 of the Resolution adopted September 19 ,
1978 is hereby amended to read
"The adoption of this Resolution does not
Constitute a guarantee that the City will
issue the bond as requested by the Owner
and the Company. The City retains the
right in its reasonable discretion to
withdraw from participation, and accordingly
not issue the bond, should the parties be
unable to reach agreement as to the structuring
of the financing or as to the terms and
conditions of any of the documents required
for the transaction.
4. ' In accordance with Minnesota Statutes, Section
474. 01, Subdivision 7, the City Manager is hereby authorized and
directed to submit the proposal for the project and the issuance of
$750 ,000 principal amount of revenue bonds of the City to finance
a portion of the cost thereof to the Commissioner of Securities
for his approval.
5. Except as amended hereby, the resolution described
in Section 1 is hereby in all respects approved, ratified and
affirmed.
M aVor 6 J
Attest:
CZf
y Fi nce Director-Clerk