07-15-1980 110 The Mayor stated that this was the time and place
fixed by resolution of this Council, adopted on July 15 , , 1980,
for a public hearing on the proposal that the City undertake
and finance the acquisition of certain land and the construction
and equipment thereon of two office buildings , parking and related
facilities (the Project) on behalf of Donald F. Hagen and Herbert
A. Mason pursuant to Minnesota Statutes , Chapter 474 . The City
Clerk presented affidavits showing publication of the, notice of
the public hearing at least once not less than 15 nor more than
30 days prior to the date fixed for hearing in the Hopkins Sun,
• being the official newspaper of the City and the Minneapolis
Star/Tribune, being a newspaper of general circulation in the
City. The affidavits were examined, found to be satisfactory
and ordered placed on file with the City Clerk.
The Mayor then opened the meeting for public hearing on
the proposed Project. The purpose of the hearing was explained,
the nature of the Project and of the proposed revenue bonds were
discussed, the draft copy of the application to the Commissioner
of Securities with all attachments and exhibits was available, and
all persons present who desired to do so were afforded an oppor-
tunity to express their views with respect to the proposal to
• undertake and finance the Project. The following views or opinions
on the proposal were stated:
Name of Speaker Summary of Opinion Stated
-1-
Name of Speaker Summary of Opinion Stated
•
•
After all persons who wished to do so had stated their
views on the proposal, the Mayor declared the hearing to be closed.
After some discussion, Councilman Slaton
introduced the following resolution and moved its adoption :
RESOLUTION NO. 80- 2870
RESOLUTION RELATING TO THE AUTHORIZATION AND
ISSUANCE OF REVENUE BONDS OF THE CITY UNDER
MINNESOTA STATUTES , CHAPTER 474 , FOR THE
PURPOSE OF k'INANCING A PROJECT THEREUNDER;
• AND AUTHORIZING AN APPLICATION BY THE CITY
TO THE MINNESOTA COMMISSIONER OF SECURITIES
BE IT RESOLVED by the City Council of the City of Hopkins ,
Minnesota (the City) , as follows :
Section 1. Recitals.
•
1.01. The Legislature of the State of Minnesota in Minne-
sota Statutes , Chapter 474 , as amended (the Act) , has found and
declared that the welfare of the State requires active promotion,
-2-
• attraction, encouragement and development of economically sound
industry and commerce through governmental acts to prevent, so
far as possible, emergence of blighted lands and areas of chronic
unemployment, has authorized municipalities to issue revenue bonds
to finance, in whole or in part, the cost of the acquisition, con-
struction, reconstruction, improvement and betterment of projects ,
including any properties , real or personal , used or useful in
connection with a revenue-producing enterprise engaged in any
business , and has authorized municipalities to enter into "revenue
agreements, " as defined in the Act, with any person, firm or pub-
lic or private corporation or federal or state governmental sub-
division or agency (the Contracting Party) providing for the
payment by the Contracting Party of amounts sufficient to pro-
vide for the prompt payment of principal and interest on the
revenue bonds .
1. 02 . It has been proposed that the City issue its
revenue bonds or revenue notes (whether revenue bonds or revenue
notes , herein referred to as the Bonds) , pursuant to the authority
of the Act, in an amount not exceeding in aggregate principal amount
. $2, 600, 000, or such lesser amount as may be necessary to finance
all or a portion of the costs of the acquisition of certain land
• located in the City and the construction and equipment thereon of
two office buildings containing approximately 29, 000 square feet
and 10 ,000 square feet, respectively, parking and related facili-
ties (all such properties being hereinafter referred to as the_
Project) , and to make the proceeds of the sale of the Bonds
available to Donald F. Hagen and Herbert A. Mason (the Developers) ,
who will agree to pay the City amounts sufficient to pay promptly
the principal of and interest on the Bonds , and will agree to
cause the Project to be constructed. The Project is presently
estimated to cost approximately $2, 830, 000.
1. 03. The City has been advised that conventional, com-
mercial financing to pay the capital cost of the Project is avail-
able only on a limited basis and at such high costs of borrowing
that the scope of the Project or the economic feasibility of
operating the Project would be significantly reduced, but that
with the aid of municipal financing, and its resulting low borrow-
ing costs , the Project can be constructed as designed and its
operation is economically more feasible.
11111 1. 04 . This Council has been advised by The Steinberg
Financial Corporation (the Mortgage Banker) , the proposed mortgage
bankers with respect to the Bonds described herein, that revenue
bonds of the City could be issued and sold upon favorable rates
and terms to finance the Project.
-3-
•
Section 2 . Public Hearing.
2 . 01. As required by Section 474 . 01 , Subdivision 7b
111 of the Act, this Council , pursuant to a resolutionadopted on
July 15; 1980, 'called and held a public hearing on the proposal
to undertake and finance the Project. Notice of the time and
place of the hearing, and stating the general nature of the
Project and an estimate of the principal amount of revenue bonds
to be issued to finance the Project, was published at least once
not less than fifteen days nor more than thirty days prior to the
date fixed for the hearing in the official newspaper of the City
and a newspaper of general circulation of the City. A draft copy
of the proposed application to the Minnesota Commissioner of
Securities , together with all attachments and exhibits thereto,
was available for public inspection following the publication of
such notice at the place and times set forth in the notice.
2. 02 . All parties who appeared at the public hearing
were given an opportunity to express their views with respect
to the proposal to undertake and finance the Project. This
Council has heard and considered the views expressed at the
public hearing and the information submitted to the City by the
Developers and the Mortgage Banker.
41/ Section 3. Approvals and Authorization.
3. 01. On the basis of information given the City to
date, and the views expressed at the public hearing, it is found
and determined that the Project furthers the purposes stated in
Section 474. 01 of the Act, and that it would be in the best in-
terest of the City to issue the Bonds under the provisions of the
Act to finance costs of the Project in an amount not to exceed
$2, 600, 000. The City agrees that the Project may be undertaken
in two phases, that the first phase may be financed independently
of the second phase, and that the Developer may, at a subsequent
time, reasonably determine that it is not economically feasible
to undertake the second phase of the Project.
3. 02. The Project is hereby given preliminary approval
by the City and the issuance of the Bonds for such purposes
approved. The Bonds shall not be issued until the Project has
been approved by the Commissioner of Securities as provided by
the Act and until the City, the Developers and the Mortgage
Banker have agreed upon the details of the Bonds and provisions
for their payment.
• 3. 03. If the Bonds are issued and sold, the City will
enter into a lease, mortgage, direct or installment sale contract,
loan agreement, take or pay or similar agreement, secured or un-
secured, satisfying the requirements of the Act (the Revenue
Agreement) with the Developers. The amounts payable by the
Developers to the City under the Revenue Agreement will be
sufficient to pay the principal of, interest and redemption
premium, if any, on the Bonds as and when the same shall become
due and payable.
•
-4-
3. 04 . In accordance with the Act, the Mayor and City
Clerk are hereby authorized and directed to submit the proposal
for the Project to the Minnesota Commissioner of Securities for
her approval of the Project. The Mayor, City Manager, City Clerk,
City Attorney and other officers, employees and agents of the City
are hereby authorized to provide the Commissioner with any pre-
liminary information she may need for this purpose, and the City
Attorney is authorized to initiate and assist in the preparation
of such documents as may be appropriate to the Project.
3. 05 . The City will comply with all of the provisions
of the Act, including Section 474 . 01 , Subdivision 8 thereof, in
the issuance of the Bonds and the financing of the Project.
Section 4 . Special Obligations. •
4.01. In all events , it is understood, however, that
the revenue bonds of the City shall not constitute a charge,
lien or encumbrance, legal or equitable, upon any property of
the City except the Project, if it becomes the property of the
City, and each Bond, -when, as and if issued, is payable solely
from the revenues received from the Project and property pledged
• to the payment thereof, and shall not constitute a debt of the
City.
•
Section 5. General Provisions.
5. 01. All commitments of the City hereunder are
subject to the conditions that within four years from the date
hereof (or such other date as shall be mutually satisfactory
to the City and the Developers) , the Commissioner of Securities
of the State of Minnesota shall have approved the Project and
the City and the Developers shall have agreed to mutually
acceptable terms and conditions of the Revenue Agreement, the
Bonds and of the other instruments and proceedings relating
to the Bonds.
5. 02. If the events .set forth above do not take
place within the time set forth or any extension thereof and
the Bonds are not sold within such time, the Developers have
agreed that they will reimburse the City, upon request, for
all reasonable and necessary direct out-of-pocket expenses
which the City may incur.
110
5.03 The applicant has agreed to pay directly or
through the City any and all costs incurred by the City in
connection with the project whether or not the project is
approved by the Commissioner of Securities; whether or not
the project is carried to completion; and whether or not the
bonds or operative instruments are executed.
-5-
• 5. 04 The adoption of this resolution does not
constitute a guarantee or a firm commitment that the City will
issue the bond as requested by the applicant. The City retains
the right in its sole discretion to withdraw from participation
and accordingly not issue the bonds should the City at any time
prior to the issuance thereof determine that it is in the best
interest of the City not to issue the bond or should the parties
to .the transaction be unable to reach agreement as to the terms
and conditions of any of the documents required for the transaction.
/ / Donald J. Milbert
Mayor Pro Tem
Attest:/s/ Harold E. Richardson
City Clerk
• •
•
•
-6-
•
The motion for the adoption of the foregoing resolution
was seconded by Councilman Lohmann •
, and upon
vote being taken thereon, the following voted in favor thereof :
Slaton, Lohmann and Milbert
and the following voted against the same: . Councilmember Arimond
whereupon said resolution was declared duly passed and finally
adopted.
•
•
NATE OF MINNESOTA )
COUNTY OF HENNEPIN ) SS.
CITY OF HOPKINS •
CLERK OF THE
I,THE UNDERSIGNED �NNESOTA,AND CUSTODIAN
CITY OF I;O'i:INS,HENeoN IN COUNTY,M•
p;THE SEAL AN FOR o11IG SSAI TRUE AND CORE ECT TRANSCRIPT
EF.
•
,•� . �,.�?Y OF THE WI-101.2 O.;IGiNAt RECORD THEREOF PRESERVED
ANL) ON FILE IN THE OFFICE OF SAID `Y CLERK.
.S Sc�'ft •
CITY CLERK OF THE CITY OF HOPKINS
•
•
A regular meeting of the Council of the City of Hopkins , Minnesota, was held
on Tuesday, July 15, 1980 , at 7 : 30 p.m. , in the Council Chambers in the City
Hall.
Illiesent were Mayor Miller, Councilmembers Lohmann, Milbert, Slaton and Arimond,
so City Manager Craig, City Clerk Richardson, City Engineer Strojan, Asst.
Engineer Anderson, Operations Director Beecher and City Attorney Vesely.
Absent: Building Inspector Kohnen.
Reel 161 Dr. Slaton moved, and Mrs. Arimond seconded the motion, that the
Side 1 items under the CONSENT CALENDAR, be approved:
5-
1. Minutes of the July 1, 1980, Council meeting.
2. Additional 1980 misc. license applications : PEP OIL, INC. , 4
Gasoline Pumps; CEDAR VALLEY HEATING & AIR COND. , Install Gas
Burners.
A poll of the vote was as follows : Mr. Lohmann, yea; Dr. Slaton, yea;
Mrs. Arimond, yea; and Mayor Pro Tem Milbert , yea.Motion carried unani-
mously.
* * * * * * * * * *
Bills : Mrs. Arimond moved, and Mr. Lohmann seconded the motion, that the
41,39
39 expenditures dated July 15, 1980, Warrant No. 597, in the amount of
$365, 721. 23, be approved and authorized for payment. A poll of the vote
was as follows: Mrs. Arimond, yea; Dr. Slaton, yea; Mr. Lohmann, yea;
and Mayor Milbert, yea. Motion carried unanimously.
Item: 79-51.0. Dr. Slaton moved, and Mr. Lohmann seconded the motion, that
39- Ordinance No. 80-473 , "AN ORDINANCE RELATING TO BURGLARY,
ROBBERY AND FIRE ALARM SYSTEMS; REQUIRING ALARM USERS TO OBTAIN
PERMITS; PROVIDING FOR ISSUANCE OF PERMITS AND REVOCATION THERE-
OF; PROHIBITING CERTAIN INTERCONNECTIONS AND AUTOMATIC DIALING
PRACTICES AND ALLOCATING EXPENSE FOR FALSE ALARMS" , be accepted
for the second reading thereof, and according to
law same to be ordered published.
Action: Dr. Slaton moved, and Mr. Lohmann seconded the motion, to amend
Ordinance No. 80-473 , under Section 4-C, by deleting the #3 , making
#3 a title called "Exemption" and sub-titled "D" . A poll of the vote
was as follows: Mr. Lohmann, yea; Dr. Slaton, yea; Mrs. Arimond, yea;
and Mayor Milbert, yea. Motion carried unanimously.
as amended
Action: Mayor Milbert then called for a vote on the original motion, /and the
1,65 poll of the vote`,,as as follows: Mrs. Arimond, yea; Dr. Slaton, yea;
Mr. Lohmann, yea; and Mayor Milbert, yea. Motion carried unanimously.
NOTE: At this time in the meeting Mayor Miller took his seat at the Council
table. (7 : 45 p.m. )
Item: 80-90-Z. Mr. Milbert moved, and Mrs. Arimond seconded the motion, that
65-1101 the application by Dominium Group, Inc. , for a Planned Unit
Development to construct a 40 unit townhouse project on Lots
10 thru 16, Block 1, Stevens Oakwood Park be denied based on
the following and that the City Attorney be instructed to pre-
pare the necessary documents and findings:
-was not recommended for approval by Zoning &
Planning;
-based on many meetings with Mr. Safar and coming
up with many suggestions - they were not demands;
-based on the application before us;
-based on the fact that 25 or 35% of these were
favorable and 65 to 75% were negative of things
that would add up to a good project;
-based on the fact that we do have some thoughts on
scattered housing, not only from the Metro Council
but in our Comprehensive Plan dating to 1990;
-based on the fact that we cannot reach an agreement
on what has gone on here.
A poll of the vote was as follows: Mr. Lohmann, abstained for personal
reasons; Mr. Milbert, yea; Dr. Slaton, yea; Mrs . Arimond, yea; and
Mayor Miller, yea. Motion carried.
Minutes of the July 15, 1980 , Council meeting, cont. Page 2.
Item: 80-92-Z. Mr. Lohmann moved, and Dr. Slaton seconded the motion, that
011-1143 the application by Super Valu, Inc. , for a change of zoning
from R-1-A Residential to 1-2 Industrial for the property
formerly known as 20 thru 142 Monroe Ave. So. , which Zoning &
Planning recommended not be approved, be continued to the
August 5, 1980 , Council meeting and also be referred back to
Zoning & Planning. A poll of the vote was as follows: Mrs.
Arimond, yea; Dr. Slaton, yea; Mr. Milbert, yea; Mr. Lohmann,
yea; and Mayor Miller, yea. Motion carried unanimously.
Item: 80-94-0. Mr. Milbert moved, and Mrs . Arimond seconded the motion, that
1143-1181 Ordinance No. 80-474, "AN ORDINANCE AMENDING SECTION 1030 OF
THE 1977 HOPKINS CODE OF ORDINANCES PERTAINING TO GARBAGE,
RUBBISH, SANITATION, LITTER AND STORAGE REGULATIONS" , be
accepted, as amended, for the second reading thereof and
according to law same to be ordered published. A poll of the
vote was as follows: Mr. Lohmann, yea; Mr. Milbert, yea; Dr.
Slaton, yea; Mrs . Arimond, yea; and Mayor Miller, yea. Motion
carried unanimously.
Item: 80-97-A. Mr. Lohmann moved, and Mr. Milbert seconded the motion, that
11181- the Mayor' s appointment of the following people to the Park
and Recreation Commission - Dick Strachota to a one year term;
Chad Tower to a two year term; and the reappointment of Carol
Roesner to a two year term; and to the Zoning & Planning
Commission, James Folk for a two year term, replacing Fred
Eaves who resigned; be approved. A poll of the vote was as
follows: Mrs. Arimond, yea; Dr. Slaton, yea; Mr. Milbert, yea;
Mr. Lohmann, yea; and Mayor Miller, yea. Motion carried un-
animously.
Item: 80-39-E. Mr. Lohmann moved, and Dr. Slaton seconded the motion, that
the Engineer' s report on traffic conditions on 11th Avenue
South and 5th Street South, be accepted and tabled. A poll
of the vote was as follows : Mr. Lohmann, yea; Mr. Milbert, yea;
Dr. Slaton, yea; Mrs. Arimond, yea; and Mayor Miller,yea.
Motion carried unanimously.
Item: 80-98-L. Mrs. Arimond moved, and Mr. Lohmann seconded the motion, that
-1255 the request for Non Intoxicating Malt Liquor, one day, July 20,
1980, members only, by Knights of Columbus, Inc. , be approved.
A poll of the vote was as follows: Mrs. Arimond, yea; Dr.
• Slaton, yea; Mr. Milbert, yea; Mr. Lohmann, yea; and Mayor
Miller, yea. Motion carried unanimously.
Item: 80-99-0. Mr. Milbert moved, and Mr. Lohmann seconded the motion, that
1255-1353 Ordinance No. 80-475, "AN ORDINANCE AMENDING SECTION 920 :70 OF
THE 1977 HOPKINS CODE OF ORDINANCES PERTAINING TO DRUG
PARAPHERNALIA" , be accepted for the first reading as amended.
A poll of the vote was as follows: Mr. Lohmann, yea; Mr.
Milbert, yea; Dr. Slaton, yea; Mrs. Arimond, abstained and
Mayor Miller, yea. Motion carried.
Item: 80-100-R. Dr. Slaton moved, and Mr. Lohmann seconded the motion, that
1353 to end Resolution No. 80-2868, "RESOLUTION ORDERING ENGINEER' S REPORT
of tape ON PARKING ALTERNATIVES TO REPLACE PARKING ON DEVELOPMENT
Side 2 - PARCEL" , be adopted. A poll of the vote was as follows : Mrs.
1- Arimond, yea; Dr. Slaton, yea; Mr. Milbert, yea; Mr. Lohmann,
yea; and Mayor Miller, yea. Motion carried unanimously.
Item: 80-101-R. Mr. Milbert moved, and Mr. Lohmann seconded the motion, that
-10 Council accept the easement re McDonald land. (see attached)
A poll of the vote was as follows: Mr. Lohmann, yea; Mr.
. Milbert, yea; Dr. Slaton, yea; Mrs. Arimond, yea; and Mayor
Miller, yea. Motion carried unanimously.
Minutes of the July 15, 1980, Council meeting, cont. Page 3.
Discussion re public sale of lands -
1111 ction: Mr. Lohmann moved, and Mr. Milbert seconded the motion, that the
0- City Manager write a letter to the Hennepin County Board of Commis-
sioners supporting the suggestion of Commissioner Bud Robb that the
City be given the right to take over land for public purposes and
that the City Manager submit a list of the present parcels and the
expected use when they were exempted, at the next Council meeting on
August 5, 1980. A poll of the vote was as follows : Mrs. Arimond, yea;
Dr. Slaton, yea; Mr. Milbert, yea; Mr. Lohmann, yea; and Mayor Miller,
yea. Motion carried unanimously.
Item: 80-102-A. Mr. Lohmann moved, and Mrs. Arimond seconded the motion that
-75 Council approve the public sale of lands as shown on Classi-
fication 658-NC. (Feltl property) A poll of the vote was as
follows: Mr. Lohmann, yea; Mr. Milbert, yea; Dr. Slaton, yea;
Mrs. Arimond, yea; and Mayor Miller, yea. Motion carried un-
animously.
Item: 80-103-A. Mr. Milbert moved, and Mr. Lohmann seconded the motion, that
75-108 Council approve the Fire Department By-laws and Pension
system as submitted. (see attached) A poll of the vote was
as follows: Mrs. Arimond, yea; Dr. Slaton, yea; Mr. Milbert,
III yea; Mr. Lohmann, yea; and Mayor Miller, yea. Motion carried
unanimously.
Item: 80-104-L. Dr. Slaton moved, and Mr. Lohmann seconded the motion, that
108-155 the request for Non Intoxicating Malt Liquor License, 1 day
only, July 20 , 1980, outside, by Blockhouse Bar, be approved.
A poll of the vote was as follows : Mr. Lohmann, yea; Mr.
Milbert, nay; Dr. Slaton, yea; Mrs. Arimond, yea; and Mayor
Miller, yea. Motion carried.
Item: 80-105-R. Mr. Lohmann moved, and Mrs . Arimond seconded the motion, that
155-170 Resolution No. 80-2866 , "A RESOLUTION REQUESTING EXTENSION
OF TIME TO FULFILL CHAPTER 127 , SECTIONS 1-23 , LAWS OF 1976" ,
re City' s Comprehensive Plan, be adopted. A poll of the vote
was as follows: Mrs. Arimond, yea; Dr. Slaton, yea; Mr.
Milbert, yea; Mr. Lohmann, yea; and Mayor Miller, yea. Motion
carried unanimously.
Item: 80-106-R. Mr. Lohmann moved, and Dr. Slaton seconded the motion, that
170-179 Resolution No. 80-2867, "RESOLUTION RELATING TO A PROJECT
110 UNDER THE MUNICIPAL INDUSTRIAL DEVELOPMENT ACT; AND CALLING
FOR A PUBLIC HEARING" , be adopted. A poll of the vote was
as follows: Mr. Lohmann, yea; Mr. Milbert, yea; Dr. Slaton,
yea; Mrs. Arimond, nay; and Mayor Miller, yea. Motion carried.
Action: Mr. Milbert moved, and Mr. Lohmann seconded the motion, that the
196 meeting be adjourned. Motion carried.
,
Pa.X.4q1 ���i// fes'trothy M. Johnso , 'ecretary to Council
COUNC d MBERS: C
K—elji-- —Le:-'474,,,t1,t...._–_---
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1
Ailit o
-erre A. Miller, Mayor