03-14-2012 Council Agenda - Laserfiche WebLink

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5934 Alameda Shoreview 425 — 18th Ave South St. Paul 1435 Grand Ave St. Paul 1714 Nebraska St. Paul 1880 Wilson St. Paul (1) The City has been advised by representatives of the Borrower that conventional, commercial financing to pay the capital cost of the Project is available only on a limited basis and at such high costs of borrowing that the economic feasibility of operating the Project would be significantly reduced; (g) Based on representations of the Borrower, 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; and (h) A public hearing on the Project was held on this date, after notice was published and materials made available for public inspection at the City's offices, all as required by the Act and Section 147(0 of the Internal Revenue Code of 1986, as amended (the "Code "), at which public hearing all those appearing who desired to speak were heard and written comments were accepted. BE IT RESOLVED by the City Council of the City of Little Canada, as follows: SECTION 1. LEGAL AUTHORIZATION AND FINDINGS. 1.1 Findings, The City hereby finds, determines and declares as follows: (a) The City is municipal corporation of the State of Minnesota (the "State ") and is authorized under the Act to assist the revenue producing project herein referred to, and to issue and sell the Note for the purpose, in the manner and upon the terms and conditions set forth in the Act and in this Resolution. (h) The issuance and sale of the Community Services Revenue Note (South Metro Human Services Project), Series 2012 (the "Note ") by the City, pursuant to the Act, is in the best interest of the City, and the City hereby determines to issue the Note and to sell the Note to Bremer Bank, N.A., in Minneapolis, Minnesota (the "Lender "), as provided herein. The City will loan the proceeds of the Note (the "Loan ") to the Borrower in order to finance and refinance the Project. A draft of the Note has been submitted to the City. 4529743v1 (c) Pursuant to a Loan Agreement (the "Loan Agreement ") to be entered into between the City and the Borrower, the Borrower has agreed to repay the Note in specified amounts and at specified times sufficient to pay in full when due the principal of, premium, if any, and interest on the Note. In addition, the Loan Agreement contains provisions relating to the maintenance and operation of the Project, indemnification, insurance, and other agreements and covenants which are required or permitted by the Act and which the City and the Borrower deem necessary or desirable for the financing and refinancing of the Project. A draft of the Loan Agreement has been submitted to the City. 5