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HomeMy WebLinkAboutResolution 5019 . . . Resolution 5019 CITY OF MOUNDS VIEW COUNTY OF RAMSEY STATE OF MINNESOTA RESOLUTION APPROVING PARTICIPATION IN FINANCING, CONSTRUCTION AND OPERATION OF A FOUR SHEET ICE FACILITY WHEREAS, the City of Mounds View ("City") has determined a need to provide its residents with access to an indoor ice arena intended to be used predominantly for youth athletics activities~ and WHEREAS, the Minnesota Amateur Sports Commission ("MASC") proposes to construct and operate a facility consisting of four olympic sized ice sheets and related facilities (the "Facility") on the property of the National Sports Center located in Blaine, Minnesota~ and WHEREAS, the City has been offered the opportunity to participate in the construction of and operation of the Facility, thereby obtaining a priority right to schedule ice time with respect to the ice surfaces at the Facility~ and WHEREAS, the financing of the Facility will be undertaken by the issuance of revenue bonds of the Anoka County Housing and Redevelopment Authority (the "HRA"), the proceeds of which will be used to acquire a general obligation bond of Anoka County, Minnesota (the "County")~ and WHEREAS, the County is required, as a condition to issuance of its general obligation bonds, to receive an analysis provided by a professional experienced in finance supporting a finding the Facility's revenues and other available money will be sufficient to pay debt service with respect to the bonds~ and WHEREAS, the County, the lIRA, and MASC will enter into agreement pursuant to which the Facility will be financed and constructed, and MASC will pledge revenues of the Facility to the repayment of the bonds~ and WHEREAS, MASC has proposed that there will be an agreement to be entered into among MASC, the City, and other participating cities setting forth the respective rights and obligations of the parties with respect to the Facility~ and WHEREAS, Ramsey County has included $500,000 in their 1997 tax levy to participate in the project by funding the initial capital contribution requirement; and WHEREAS, the City is authorized by Minnesota Statutes, Chapter 475 to enter into an agreement with respect to financing the Facility; and is further authorized by Minnesota Statutes, Section 471.191, to secure its obligations pursuant to the agreement by a first charge on the gross revenues of the Facility and to provide for a levy of taxes for the payment of operating costs of the Facility to the extent that revenues are insufficient therefor. . . . NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF MOUNDS VIEW: 1. The City hereby determines and agrees to participate in the financing, construction, operation and use of the facility, provided that the City's participation shall be in an amount established by a supplemental agreement between the cities of Mounds View, Arden Hills, New Brighton and Shorevie:w. 2. The City agn~es to secure rental income for the Facility in an amount at least equal to the agreed upon annual hourly rate times its Percentage Share of agreed upon prime time hours (not less than 2,080) which rental income shall be passed through for the purpose of paying debt service with respect to the bonds and paying operating costs of the Facility. 3. The agreement to participate in this project is subject to the following conditions: a. Approval of the Master Agreement between the MASC and all of the participating communities; . b. Approval of a supplemental Agreement, including a $500,000 escrow, between the cities of Mounds View, Arden Hills, New Brighton and Shoreview and the Mounds View and lrondale Youth Hockey Associations; c. Approval of a supplemental Agreement between the cities of Mounds View, Arden Hills, New Brighton and Shoreview and Ramsey County which includes the County's $500,000 capital contribution for the project; d. Review of the final agreements by the City's Finance Director and financial advisor to detemline that there will be no negative impact to the City's bond rating; e. Participation in the project by the cities of Arden Hills, New Brighton and Shoreview; and f Financial commitment from communities for all four sheets of ice at the National Sports Center. Adopted this 23rd day of September, 1996 ATTEST: Whiting (SEAL)