15-11068r RESOLUTION NO. 11068
RESOLUTION GIVING HOST APPROVAL TO THE ISSUANCE
OF HEALTHCARE FACILITIES REVENUE NOTE
UNDER MINNESOTA STATUTES, SECTIONS 469.152 THROUGH 469.1655
(PROGRESS VALLEY, INC. PROJECT)
BE IT RESOLVED, by the City Council (the "Council") of the City of Richfield,
Minnesota (the "City") as follows:
Section 1. General Recitals. The purpose of Minnesota Statutes, Sections
469.152 through 469.1655, as amended, (the "Act"), is, among other things, to promote
the welfare of the State of Minnesota (the "State") by the active attraction and
encouragement and development of economically sound industry and commerce to
prevent so far as possible the emergence of blighted and marginal lands and areas of
chronic unemployment.
Section 2. Description of the Project.
(a) Progress Valley, Inc., a Minnesota nonprofit corporation (the "Borrower"),
has proposed the issuance of a revenue obligation, in one or more series (the "Note"),
to finance the (i) improvements and renovation of a 9,000 square foot men's chemical
treatment facility located at 308 78th Street East in the City, consisting of an
approximately 6,700 square foot expansion, thereby increasing from a 24 bed capacity
to a 28 bed capacity and renovations to include office and program space, computer
lab, family visiting area, a fitness center and a cafeteria and (ii) improvements and
renovation of an approximately 23,111 square foot one story office building located at
1100 80th Street East, Bloomington, Minnesota, into a 32 bed women's chemical
treatment facility to include office and program space, computer lab, family visiting area,
a fitness center and a cafeteria (together, the "Project"). The Project is to be owned and
operated by the Borrower.
(b) The Borrower has proposed that the City of Landfall Village, Minnesota
(the "Issuer"), issue the Note, under the Act, in order to finance the Project, in the
approximate aggregate principal amount not to exceed $3,500,000; and
(c) The City has been advised that the Note or other obligations, as and when
issued, will not constitute a charge, lien or encumbrance upon any property of the City
or the Issuer, except the Project and the revenues to be derived from the Project to be
paid by the Borrower pursuant to a revenue agreement.
Section 3. Recital of Representations Made by the Borrower.
(a) The Borrower has agreed to pay any and all costs incurred by the City in
connection with the issuance of the Note, whether or not such issuance is carried to
completion, and has agreed to pay the administrative fee imposed by the City for its
host approval.
(b) The Borrower has represented to the City that no public official of the City
has either a direct or indirect financial interest in the Project nor will any public official
either directly or indirectly benefit financially from the Project.
Section 4. Public Hearing.
(a) As required by the Act and Section 147(f) of the Code, a Notice of Public
Hearing was published in the City's official newspaper and newspaper of general
circulation, for a public hearing on the proposed issuance of the Note and the proposal
to undertake and finance the Project.
(b) As required by the Act and Section 147(f) of the Code, the City Council
has on this same date held a public hearing on the issuance of the Note and the
proposal of the Issuer to undertake and finance the portion of the Project located within
the jurisdictional limits of the City, at which all those appearing who desired to speak
were heard and written comments were accepted.
Section 5. Host Approval. The City Council hereby gives the host approval
required under Section 147(f) of the Code and, pursuant to Minnesota Statutes Sections
469.155, Subd. 12 and 471.656, Subd. 2(2), the City Council hereby consents to the
issuance of the Note.
Adopted by the City Council of the City of Richfield, Minnesota, this 14th day of April,
2015.
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Debbie Goettel, Mayor
ATTEST:
Eliza eh VanHoose, City Clerk
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