2003-038
CITY OF HOPKINS
HENNEPIN COUNTY, MINNESOTA
RESOLUTION 2003-038
RESOLUTION GIVING HOST APPROVAL TO THE ISSUANCE
OF A REVENUE BOND TO FINANCE A PROJECT OWNED
BY AUGUSTANA CHAPEL VIEW HOMES, INC. AND
LOCATED IN PART IN THE CITY OF HOPKINS, UNDER
MINNESOTA STATUTES, SECTIONS 469.152 THROUGH 469.1651,
AND APPROVAL OF A JOINT POWERS AGREEMENT
BE IT RESOLVED, by the City Council (the "Council") of the City of Hopkins, Minnesota (the
"City") as follows:
1. Description of the Proiect.
a. Augustana Chapel View Homes, Inc., a Minnesota nonprofit corporation and
organization described in Section 50l(c)(3) of the Internal Revenue Code of 1986, as
amended (the "Corporation"), has proposed the issuance of a revenue bond under
Minnesota Statutes Sections 469.152 to 469.1651, as amended (the "Act"), in an amount
of approximately $1,600,000 (the "Bond"), to finance energy improvements to its facility
located at 615 Minnetonka Mills Road in the City, and to finance energy and telephone
system improvements to its facility located at 1007 East Fourteenth Street in the City of
Minneapolis (the "Project").
b. The Project is owned and operated by the Corporation.
c. The Corporation has proposed that the Minneapolis Community Development Agency
(the "Issuer") issue the Bond.
2. Recitals Relating to Joint Exercise of Powers.
a. Under the Act, the City and the Issuer are each authorized and empowered to Issue
revenue obligations to finance the Project.
b. The Corporation has requested that the City and the Issuer cooperate (as permitted by
Minnesota Statutes, Section 471.59) through a joint powers agreement in authorizing the
financing of the Project through the issuance of the Bond by the Issuer pursuant to the
Act.
c. A draft copy of the Joint Powers Agreement among the City and the Issuer (the "Joint
Powers Agreement") has been submitted to the Council and is on file with the staff of the
City.
3. Costs of the City. The Corporation has agreed to pay any and all costs incurred by the City in
connection with the issuance of the Bond, whether or not such issuance is carried to completion.
Bond counsel has sent a letter to the City to such effect.
4. Public Hearing.
a. As required by the Act and Section 147(f) of the Intemal Revenue Code of 1986, as
amended (the "Code"), a Notice of Public Hearing was published on April 17, 2003 in
the City's official newspaper, calling a public hearing on the proposed issuance of the
Bond and the proposal to finance the Project.
b. The Council has on the date hereof, held a public hearing on the issuance of the Bond and
the proposal to finance the Project, at which all those appearing who desired to speak
were heard and written comments were accepted.
5. Approval.
a. The proposal to finance the Project as described above, and the issuance of the Bond, are
hereby given approval by the City subject to the approval of the Project by the
Department of Trade and Economic Development of the State ("DTED").
b. In accordance with Subdivision 3 of Section 469.154 of the Act, the officers of the City
or their designees, are authorized and directed to cooperate with the Issuer in submitting
the proposal for the financing of the Project to DTED requesting approval, and other
officers, employees and agents of the City are hereby authorized to provide DTED with
such information as it may require.
6. Limited Obligations. The Bond, when and if issued for the Project, shall not constitute a charge,
lien or encumbrance, legal or equitable, upon any property of the City or the Issuer. The Bond,
when and if issued, shall recite in substance that the Bond and the interest thereon, are payable
solely from revenues received from the Project and property pledged for payment thereof, and
shall not constitute a debt of the Issuer, the City, the State of Minnesota or any political
subdivision thereof.
7. Approval and Execution of Joint Powers Agreement.
a. The Joint Powers Agreement is hereby made a part of this Resolution as though fully set
forth herein and is hereby approved in substantially the form presented to the Council.
The Mayor and the City Manager (collectively, the "Officials") are authorized and
directed to execute, acknowledge, and deliver the Joint Powers Agreement on behalf of
the City with such changes, insertions, and omissions therein as the City Attorney may
hereafter deem appropriate, such execution to be conclusive evidence of approval of such
document in accordance with the terms hereof.
b. The Officials are authorized and directed to execute and deliver such other documents or
certificates needed from the City for the sale of the Bond.
c. The approvals in this Section are specifically subject to approval of the Joint Powers
Agreement by the Issuer and approval of the Project by DTED.
Adopted by the City Council of the City of Hopkins, Minnesota, this 6th day of May, 2003.
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