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HomeMy WebLinkAboutResolution - 80-84 - Giving Preliminary Approval to Industrial Development Project by Vikings II, Inc. And Authorizing Submission of an Application to the Commissioner of Securities - 05/06/1980 i d r t RESOLUTION GIVING PRELIMINARY APPROVAL TO A PROPOSED INDUSTRIAL DEVELOPMENT PROJECT BY VIKINGS II, INC. UNDER THE MUNICIPAL INDUSTRIAL DEVELOPMENT ACT AND AUTHORIZING SUBMISSION OF AN APPLICATION TO THE COMMISSIONER OF SECURITIES FOR APPROVAL THEREOF Be it Resolved by the City Council of the City of Eden Prairie, Minnesota, as follows: 1. There has been presented to this Council a pro- posal by Vikings II, Inc. , a Minnesota corporation (the "Company" ) that the City undertake a project pursuant to the Minnesota Municipal Industrial Development Act, Minnesota Statutes, Chapter 474 (the "Act" ) for the acquisition of land and construction thereon of an office building and training and practice facility, together with equipment and site improvements therefor, to be leased to the Minnesota Vikings Football Club, Inc. (the "Project" ) . Under the proposal, the Project will be owned by the Company, and the Company 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 $6,000,000 Industrial Development Revenue Bonds of the City to be issued pursuant to the Act, to provide monies for the acquisition, construction and installation of the Project; and the City will pledge its interest in the Loan Agreement to secure the bonds. The Company proposes that the City initially issue a temporary note under the Act to provide temporary financing for the Project, which note will mature within two years of the date thereof and be payable from the proceeds of permanent revenue bondsl- to be issued by the City pursuant to the Act to provide permanent financing for the Project. 2. As required by the Act, this Council conducted a public hearing on May 6, 1980, on the proposal to undertake and finance the Project after publicaton in the official newspaper and a newspaper of general circulation in the City of a notice setting forth 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; 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, in the City Hall, Eden Prairie, Minnesota, at all times between the hours of 8:00 A.M. and 4:30 P.M. each day except Saturdays, Sundays and legal holidays to and including the day of hearing; and stating that all parties who appear at the public hearing shall have an opportunity to express their views with respect to the proposal. -2- 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; the more intensive development of land available in the area; and the more intensive development of land available in the area to provide a more adequate tax base to finance the cost of governmental services in the City, County and School District where the Project is located. 4. The Company has entered into preliminary discussions with Piper, Jaffray & Hopwood, Minneapolis, Minnesota as fiscal agent, and the fiscal agent has reported that the Project and the sale of bonds therefor are feasible. 5. 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 and as to the ultimate details of the Project. 6. In accordance with Section 474.01, Subd. 7 of the Act, the Mayor, the City Clerk, and such other officers and representatives of the City as may from time to time be designated are hereby authorized and directed to submit the proposal for the Project to the Commissioner of Securities and request her approval thereof, and the Mayor, 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 Company, Messrs. Faegre & Benson as bond counsel, the fisacl agent, 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 appro- priate to the Project so that, when and if the proposed Project is approved by the Commissioner and this Council gives its final approval thereto, the Project may be carried forward expeditiously_ 7. The Company has agreed to pay directly or through the City any and all costs incurred by the City in connection with the Project whether or not the Project is approved by the Commissioner, whether or not the Project is carried to completion, and whether or not the bonds or operative instruments are executed. 8. The Company is hereby authorized to enter into such contracts, in its own name and not as agent for the City, as may be necessary for the construction of the Project by any means available to it and in the manner it determines without advertisement -3- h 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. 9. The adoption of this resolution does not constitute a guarantee of firm commitment that the City will issue the temporary note or permanent revenue bonds as requested by the Company. The City retains the right in its sole direction to withdraw from participation and accordingly not issue the tempo- rary note should the City at any time prior to the issuance thereof determine that it is in the best interest of the City not to issue the temporary note or should the parties to the transac- tion be unable to reach agreement as to the terms and conditions of any of the documents required for the- transaction. STATE OF MINNESOTA) ) SS. COUNTY OF HENNEPIN) • I, the undersigned, being the duly qualified and acting C ity Clerk of the City of Eden Prairie, Minnesota do hereby certify that the attached extract of minutes of a regular meeting of the Ctiy Council of the City held May 6, 1980, is a full , true and correct transcript therefrom insofar as the same relates to an industrial development project to be undertaken pursuant to Chapter 474, Minnesota Statutes, by the City and Vikings II, Inc. WITNESS My hand officially and seal officially as said City Clerk this L day of A /�' 1980. t ,Y.elfga H. enzel , Mayor ATTEST: SEAL 6 D: Frane, City Clerk