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Home My WebLink AboutRES 85-049 RESOLUTION AUTHORIZING THE SALE AND ISSUANCE OF MULTIFAMILY HOUSING REVENUE BONDS (ST. ANTHONY NURSING HOME PROJECT), SERIES 1985, OF THE CITY, FOR THE PURPOSE OF FINANCING A MULTIFAMILY RENTAL HOUSING PROJECT, AND AUTHORIZING THE EXECUTION OF Meeting Sheet IIIIII VIII VIII VIII VIII VIII IIII IIII � iozaos , Box: 23 Folder: RES 1985 Document: RES 85-049 RESOLUTION AUTHORIZING THE SALE AND ISSUANCE OF MULTIFAMILY HOUSING REVENUE BONDS (5T. ANTHONY NURSING HOME PROJECT), SERIES 1985, OF THE CIN, FOR THE PURPOSE OF FINANCING A MULTIFAMILY RENTAL HOUSING PROJECT,, AND AUTHORIZING THE EXECUTION OF • CERTIFICA'T'ION OF MINUTES RELATING TO MULTIFAMILY HOUSING REVENUE BONDS (ST. ANTHONY NURSING HOME PROJECT) Issuer: City of St. Anthony, Minnesota Governing Body: City Council Kind, date, time and place of meeting: A Council meeting, held on November 26 , 1985, at 7 : 30 o 'clock p.m. at the City Hall. Members present: Sun 1kav1A)tC_111v 10) I Nwksj M;�S Members absent: W)V _ Documents Attached: RESOLUTION NO. 85- 049 RESOLUTION AUTHORIZING THE SALE AND ISSUANCE OF MULTIFAMILY HOUSING REVENUE BONDS (ST. ANTHONY NURSING -HOME PROJECT) , SERIES 1985, OF THE CITY, FOR THE PURPOSE OF FINANCING A • MULTIFAMILY RENTAL HOUSING PROJECT, AND AUTHORIZING THE EXECUTION OF NECESSARY DOCULHEN`1'S I, the undersigned, being duly qualified and acting recording officer of the public corporation issuing the obligations referred to in the title of this certificate, certify that the documents attached hereto, as described above, have been carefully compared with the original records of said corporation in my legal custody, from which they have been transcribed; that said documents are a correct and complete transcript of the minutes of a meeting of the governing body or said corporation, and correct and complete copies of all resolutions and other actions taken and of all documents approved by the governing body at said meeting, so far as they relate to said obligations; and that said meeting was auly Heid by the governing body at the time and place and was attended throughout by the members indicated above, pursuant to call and notice of such meeting given as required by law. WITNESS my hand officially as sucn recording officer this 2� - day of November , 1985 . Carol Lou Joh on =� City Clerk (SEAL,) �- S t Councilmember Ivl�`(LCS introduced the following resolution and moved its adoption: RESOLUTION NO. 85- 049 RESOLUTION AUTHORIZING THE SALE AND ISSUANCE OF MULTIFAMILY HOUSING REVENUE BONDS (ST. ANTHONY NURSING HOME PROJECT) , SERIES 1985, OF THE CITY, FOR THE PURPOSE OF FINANCING A MULTIFAMILY RENTAL HOUSING PROJECT, AND AUTHORIZING THE EXECUTION OF NECESSARY DOCUMENTS BE IT RESOLVED by the City Council of the City of St. Anthony, Minnesota (the City) , as follows: Section 1. Authorization and Recitals. 1 .01 . General Authority; Ratification. By the provisions of Minnesota Statutes, Chapter 4620, as amended (the "Act" ) , the City is authorized to plan, administer, issue and sell revenue bonds or obligations and to make or purchase loans to finance one or more multifamily housing developments within its corporate limits, which revenue bonds- or obligations shall be payable solely from the revenues of the development. This Council has previously approved a Housing Plan for the City (the "Housing Plan" ) , by a resolution adopted after a public hearing was held thereon. This Council has also approved a multifamily housing program under the Housing Plan ( the "Program" ) , by a resolution adopted on July 9, 1985 . The program provides for the financing. of a project under the Act consisting of the construction by St. Anthony Nursing Home, a Minnesota general partnership, of an approximately 119 unit residential multifamily housing project located in the City at the intersection at Chandler Drive and 37th Avenue Northeast (the "Project" ) . The Program has been reviewed and not rejected by the Minnesota Housing Finance Agency, . as required by Minnesota Statutes, Section 462C.04, Subdivision 2. 1 .02 . Proposed Bonds. Representatives of St. Anthony Nursing Home, (the "Borrower" ) , have proposed that the City, acting under and pursuant to the Act, issue and sell its Multifamily Housing Revenue Bonds (St. Anthony Nursing Home Project) , Series 1985 , in the aggregate principal amount of $6 ,350 ,000 (the "Bonds" ) , for the purpose of financing the Project and paying costs incurred by the Borrower in connection with the issuance of the Bonds. Pursuant to the proposal, the proceeds of the Bonds will be loaned by the City to the • -2- • Borrower , and the Borrower will agree to make payments sufficient to pay the principal of, premium, if any, and interest on the Bonds when due. The City will grant a security interest in certain revenues and payments to be received by the City under the Loan Agreement (as hereinafter defined) to a Trustee (as hereinafter defined) . 1 .03. Documentation. Forms of the following documents relating to the Project and the Bonds have peen prepared and submitted to- this Council and are hereby directed to be filed in the office of the City Clerk: (a) a Loan Agreement (the "Loan Agreement" ) , to be dated as of December 1 , 1985, proposed to be made and entered into between the City and the Borrower; (b) an Indenture of Trust ( the "Indenture" ) , to oe dated as of December 1, 1985, proposed to be made and entered into between the City and First Trust Company, Inc. , St. Paul, Minnesota, as trustee (the "Trustee" ) ; (c ) a Combination Mortgage, Security Agreement and Fixture Financing Statement (the "mortgage" ) , to be dated as of December 1 , 1985 , proposed to be given by the Borrower in favor the Trustee; • ( d) an Assignment of Rents and Leases (the "Assignment of Rents" ) , to be dated as of December 1, 1985, proposed to be given by ,the Borrower in favor of the Trustee; (e ) a Deed and Covenants Running with the Land (the "Deed" ) to be dated as of December 1, 1985, proposed to be given by the City, as grantor, to the Borrower, as grantee; (f) a Bond Purchase Agreement (the "Bond Purchase Agreement" ) , proposed to be made and entered into among Juran & Moody, Inc. (the "Purchaser" ) , the City and the Borrower; ( g) a Disbursing Agreement (the "Disbursing Agreement" ) , to be dated as of December 1, 1985, by and among the Borrower, the Trustee and Title Services , Inc. ; and (h) an -Operating Deficit Guaranty Agreement, dated as' of December 1 , 1985, from various partners of the Borrower to the Trustee. • -3- • 2 . Approval of Documents. It is hereby found and determined that the financing of the Project by the issuance of the Bonds would be in the best interests of the City and its inhabitants, and would further the housing policies and goals set forth in the Pian and Program. The forms of the Loan Agreement, the Indenture , the Deed and the Bond Purchase Agreement referred to in Section 1 .03 are approved subject to such modifications as are deemed appropriate and approved by the Mayor and City Attorney, which approval shall be conclusively evidenced by execution of the Loan Agreement, the Indenture, the Bond Purchase Agreement, and the Deed by the Mayor and the City Manager. The Mayor and City Manager are directed to execute said documents on behalf of the City. Copies of all of the documents shall be delivered, filed and recorded as provided therein. The Mayor and City Manager are also authorized and directed to execute such other instruments and certificates as may be required to give effect to the transactions herein contemplated. 3 . Official Statement. The Bonds will be offered for sale by the Purchaser to the public by means of a Preliminary Official Statement, dated on or about November 20 , 1985 , and an Official Statement to oe substantially in the form of the Preliminary Official • Statement. The City hereby consents to the distribution of the Preliminary Official Statement and Official Statement to pro- spective purchasers of the Bonds, and the Mayor is authorized to execute copies thereof on behalf of the City. The City has not participated in the preparation of the Preliminary Official Statement and Official Statement, has made no independent investigation with respect to the information contained therein- and assumes no responsibility for the accuracy or completeness of such information, except such information as specifically relates to the City. 4 . The Bonds; Terms, Sale and Execution. 4 .01. Authorization. The City hereby authorizes the issuance of the Bonds in the aggregate principal amount of $6 ,350 ,000, in the form and upon the terms set forth in the Indenture and this resolution. The Bonds are hereby sold to the Purchaser at the price and upon the terms contained in the Bond Purchase Agreement. The Mayor and City Manager are authorized to approve the final maturity schedule and interest rates for the Bonds, provided the net effective interest rate for the issue shall not exceed 11 .50% per annum. -4- t 4 .02. Execution. The Mayor and the City Manager are hereby authorized and directed to execute the Bonds as prescribed herein and in the Indenture and to deliver them to the Trustee, together with a certified copy of this resolution, the other documents required in the Indenture, and such other certificates, documents and instruments as may be appropriate to effect the transactions herein contemplated. The Trustee is hereby appointed authenticating agent for the Bonds pursuant to Minnesota Statutes, Section 475.55, Subdivision 1. 4 .03 . Modifications, Absence of Officers. The approval hereby given to the various documents referred to above includes an approval of such modifications thereto, deletions therefrom and additions thereto as may be necessary and appropriate and approved by the City Attorney and the Mayor prior to the execution of the documents. The execution of any instrument by the appropriate officer or officers of the City herein authorized shall be conclusive evidence of the approval of such documents in accordance with the terms hereof. In the absence or disability of the Mayor, any of the documents authorized by this resolution to be executed may be executes by the acting Mayor , and in the absence or disability of the Manager by such officer of the City who, in the opinion of the City Attorney, may execute such documents . • Section 5 . Authentication of Proceedings. The Mayor , City Manager and other officers of the City are authorized and directed - to furnish to the Purchaser and bond counsel certified copies of all proceedings and records of the City relating to the Bonds, and such other affidavits and certificates as may be required to show the facts relating to the legality and marketability of the Bonds as such facts appear from the books and records in the officer ' s custody and control or as otherwise known to them; and all such certified copies, certificates and affidavits, including any heretofore furnished, shall constitute representations of the City as to the truth of all statements contained therein. Section 6 . Limitations of the City' s Obligations. Notwithstanding anything contained in the Bonds, the Loan Agreement, the Indenture, the Deed or the Bond Purchase Agreement or any other documents referred to in Section 1 .03 , the Bonds shall not constitute a debt of the City within the meaning of any constitutional or statutory limitation, and shall not be payable from nor charged upon any funds other than the revenues pledged to the payment thereof, and no Holder of the Bonds shall ever have the right to coimpel any exercise of the taxing power of the City to pay the Bonds or the premium, • -5- , • i • if any, or interest thereon, or to enforce payment thereof against any property of the City other than those rights and interests of the City under the Loan Agreement which have been pledged to the payment thereof, and the Bonds shall not constitute a charge, lienor encumbrance , legal or equitable, upon any property of the City other than those rights and interests of the City under the Loan Agreement which have been pledged to the payment thereof . The agreement of the City to perform the covenants and other provisions contained in this resolution or the Bonds , the Loan Agreement, the Indenture, the Deed or the Bond Purchase Agreement and the other documents listed in Section 1.03 shall be subject at all times to the availability of the revenues furnished by the Borrower sufficient to pay all costs of such performance or the enforcement thereof, and the City shall not be subject to any personal or pecuniary liability thereon. Adopted: November 26, 1985 . Mayor Attest: Clerk • -6- The motion for the adoption of the foregoing resolution was duly seconded by Councilmemberr(�p}� , and, upon vote being taken thereon, the following voted in favor thereof: SuY-�.I�na ;�a�,1,� � ,�►rkS� ��oo� , I��ske., and the following voted against or abstained: Y)&)e, whereupon said resolution was declared duly passed and adopted. • • -7-