HomeMy WebLinkAboutResolution 5019
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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.
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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)