03-9328r
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RESOLUTION NO. 9328
RESOLUTION PROVIDING FOR THE ISSUANCE AND SALE OF
$6,000,000 TAXABLE GENERAL OBLIGATION TAX INCREMENT BONDS AND
AUTHORIZING EXECUTION OF
TAX INCREMENT PLEDGE AGREEMENT WITH THE
HOUSING AND REDEVELOPMENT AUTHORITY IN AND
FOR THE CITY OF RICHFIELD
WHEREAS, the Housing and Redevelopment Authority in and for the City of
Richfield, Minnesota (the "HRA") has established the Richfield Redevelopment Project
Area (the "Project Area"), and approved a Redevelopment Plan (the "Project Plan") for the
Project Area; and
WHEREAS, within the Project Area, the HRA and City have established the Lyndale
Gateway West Tax Increment Financing District (the "TIF District"); and
WHEREAS, the HRA and Lyndale Gateway, LLC have entered into a Contract for
Private Redevelopment dated as of August 5,2002, as amended (the "Contract"); and
WHEREAS, pursuant to the Contract the HRA agrees to provide various forms of
financial assistance in connection with redevelopment of certain property in the TIF
District, including proceeds of certain tax increment bonds; and
WHEREAS, as contemplated in the Contract, the City and HRA have proposed that
the City issue General Obligation Taxable Tax Increment Bonds in an aggregate principal
amount not to exceed $6,000,000; and
WHEREAS, the City and HRA currently contemplate that the TIF Bonds will be
issued in two series: one in a principal amount of $3,000,000 having a three-year maturity
designated as Series 2003A (the "Short Terms Bonds"), and one in a principal amount of
$3,000,000 having a twenty year maturity designated as Series 2003B (the "Long Term
Bonds") (the Short Term Bonds and Long Term Bonds are referred to together as the
"Bonds"); and
WHEREAS, the City has retained Ehlers & Associates, Inc., Roseville, Minnesota
("Ehlers") as its independent financial advisor for the Bonds; and
WHEREAS, the HRA has agreed to pledge certain tax increment revenues to the
City for the principal and interest on the Bonds; and
WHEREAS, there has been presented to the City a form of Tax Increment Pledge
Agreement Series 2003 between the HRA and the City (the "Pledge Agreement"),
providing for issuance of the Bonds, the use of proceeds, and the pledge of tax increments
from the TIF District tax increment districts to payment of principal and interest on the
Bonds.
NOW, THEREFORE, BE IT RESOLVED by the City Council (the "Council") of the
City of Richfield, Minnesota, as follows:
1. The City Council authorizes Ehlers to solicit proposals for the Bonds, which
may be issued together or on different dates.
2. The City Council will meet for the purpose of considering sealed proposals I
for awarding sale of the Short Terms Bonds, the Long Term Bonds, or both, at a meeting
date or dates to be determined by the City Manager upon the recommendation of Ehlers.
3. In connection with sale of the Bonds, the officers and employees of the City
are authorized to cooperate with Ehlers and participate in the preparation of an official
statement for the Bonds (or separate official statements for each series) and to execute
and deliver it on behalf of the City upon its completion.
4. Upon awarding of the sale of the Bonds (or the Short Term Bonds or Long
Term Bonds, if not sold at the same time) the Mayor and City Manager of the City are
hereby authorized to execute and deliver the Pledge Agreement substantially in the form
on file with the City, subject to modifications that do not alter the substance of the
transaction that are approved by the Mayor and City Manager, whose execution will be
conclusive evidence of their approval.
5. This resolution shall be effective as of the date hereof.
Adopted by the City Council of the City of Richfield, Minnesota this 22nd day of
April, 2003.
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$;;t.."u". J
Martin J. Kir h ayor
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Attest:
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