85-072 RES - Laserfiche WebLink

Home Browse Search

RESOLUTION 85-72 . RESOLUTION STATING PRELIMINARY INTENT TO APPROVE A PROPOSED INDUSTRIAL DEVELOPMENT PROJECT JAY MORRELL & JAY PLAISTAD PARTNERSHIP UNDER THE MUNICIPAL INDUSTRIAL DEVELOPMENT ACT AND AUTHORIZING APPLICATION FOR BOND ISSUANCE AUTHORITY THEREFOR BE IT RESOLVED, by the City Council of the City of Elk River. Minnesota, as follows: . 1. There has been presented to this Council a proposal by Jay Morrell & John Plaistad Partnership. a Minnesota General Partnership (the "Company") that the City undertake and finance a project pursuant to the Minnesota Municipal Industrial Development Act. Minnesota Statutes. Chapter 474 (the "Act"). generally consisting of the acquisition. construction and equipping of an approximate 10.000 square foot building for a hardware store at part of Lot 7. Block 2. Elk River Plaza. to be owned and operated by the Company (the "Project"). Under the proposal. the Company would enter into a revenue agreement with the City upon such terms and conditions as are necessary to produce income and revenue sufficient to pay when due the principal of the interest on up to approximately $400.000 Industrial Development Revenue Bonds of the City to be issued pursuant to the Act. to provide monies for the acquisition. construction and installation of the Project; and the City would pledge its interest in the revenue agreement to secure the Bonds. 2. The City hereby expresses its peliminary intention to issue bonds in the maximum aggregate principal amount of up to approximately $400.000 to finance the Project. The City's preliminary intention does not constitute "preliminary approval" that the City will undertake the Project pursuant to the Act; it acts solely to authorize submission of an application to the Minnesota Department of Energy and Economic Development as set forth in paragraph 3 hereof. Neither preliminary nor final approval pursuant to the Act is hereby granted. The preliminary intention herein stated is subject to compliance by the Company and the Project with the City's "Resolution Setting Forth Criteria and Procedures for the Issuance of Industrial Revenue Bonds. "Resolution 79-5. dated April 16. 1979. and compliance by the Company and the Project with the City's ordinances including wihout limitation approvals required pursuant to its Zoning Ordinance and Subdivision Ordinances. 3. The City Clerk-Administrator and other officials and the Company are authorized and directed to prepare and submit an application to the Minnesota Department of Energy and Economic Development for an allocation of $400.000 of bond issuance authority for the Project pursuant to the Act. The Company shall pay to the City the required application deposit of $4.000. representing one percent of the requested allocation. and the City shall submit such $4.000 deposit with the application to the Department. At such time as the deposit. or any part thereof. is refunded to the City by the Department. the City shall .