RES 1981-126 - 00006367R84IA17ON NO. 126 - 1981
RBSCL,M70K GIVING PREW31I 4118 APPROVAL TO A PROPOSED
INDUSTRIAL DEVELLNIGM PRp7SR BY LA MAUR INC. UNDER
THE MUNICIPAL INDUSTRIAL DEVELOPMENT ACT AND
AUTHORIZING SUBMISSION OF AN APPLICATION TO THE
COMMISSIONER OF SECURITIES FOR APPROVAL THEREOF
BE IT RESOLVED by the City Council of the City of Fridley, Minnesota, as
follows:
1. There has been presented to this Council a proposal be LaMaur Inc., a
Minnesota corporation (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
acquiring, constructing, equipping and expanding of the Company's existing
manufacturing building (the "Project ") . Under the proposal, the Project
facilities will be owned by the Company, and the Company will enter into a
revenue agreement with the City upon such terms and conditions as are
necessary to produce income and revenues sufficient to pay when due the
principal of and the interest on up to approximately $1,000,000 Industrial
Development Revenue Bonds of the City to be issued pursuant to the Act, to
provide monies for the acquisition, construction, expansion and
installation of the Project; and the City will pledge its interest in the
revenue agreement to secure the bonds.
2. As required by the Act, this Council conducted a public hearing on
November 91 1981, on the proposal to undertake and finance the Project
after publication in the official newspaper and a newspaper of general
circulation in the City of a notice setting forth the time amd place of
hearing; stating the general nature of the Project and an estimate of the
principal amount of bonds or other obligations to be issued to finance the
Project; stating that a draft copy of the proposed Application to the
Commissioner of Securities, together will all attachments and exhibits
thereto, is available for public inspection at the office of the City
Clerk, in the City Hall, at all times between the hours of 8:00 A.M. and
5:00 P.M. each day except Saturdays, Sundays and holidays to and including
the day of hearing and stating that all parties who appear at the public
hearing shall have an opportunity to express their views with respect to
the proposal. The draft application to the Commissioner of Securities,
together with all attachments and exhibits thereto, was on file and
available for public inspection at the place and times set forth in the
notice.
3. It is hereby found, determined and declared that the Project furthers
the purposes stated in Section 474.01 of the Act in that the purpose of
the Project is and the effect thereof will be to promote the public
welfare by the attraction, encouragement and development of economically
sound industry and commerce so as to prevent, so far as possible, the
emergence of blighted and marginal lands and areas of chronic
unemployment; the retention and development of industry to use the
available resources of the community, in order to retain the benefit of
its existing investment in education and public service facilities; by
halting the movement of talented, educational personnel of mature age to
other areas and thus preserving the economic and human resources needed as
a base for providing governmental services and facilities; and the more
intensive development of land available in the area to provide a more
adequate tax base to finance the cost of governmental services in the
Municipality, county and school district where the Project is located.
4. The Company has entered into preliminary discussions with Midland
National Bank, as Underwriter, and the Underwriter has reported that the
Project and the sale of bonds therfor are feasible.
Page 2 - Resolution No. 126 - 1981
5. The Company has agreed to pay 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 and whether or not the Project is carried
to completion.
6. The Project is hereby given preliminary approval by the City subject
to approval of the Project by the Commissioner of Securities and subject
to final approval by this Council and by the purchasers of any bonds to be
issued as to the ultimate details of the Project and as to the terms of
the bonds
7. In accordance with Section 474.01, Subd. 7 of the Act, the Mayor, the
City Clerk, and such other officers and representatives of the City as may
from time to time be designated are hereby authorized and directed to
submit the proposal for the Project to the Commissioner of Securities and
request her approval thereof, and the Mayor, the City Manager, the City
Clerk, and other officers, Employees and agents of the City are hereby
authorized to provide the Commissioner with such preliminary .information
as she may require. The Company, Messrs. Faegre & Benson as bond counsel,
the City Manager, the City Clerk, the City Attorney, and other City
officials are also authorized to initiate the preparation of a proposed
loan agreenent and such other documents as may be necessary or appropriate
to the Project so that, when and if the proposed Project is approved by
the Commissioner and this Council gives its final approval thereto, the
Project may be carried forward expeditiously.
6. The Company is hereby authorized to enter into such contracts, in its
own name and not as agent for the City, as may be necessary for the
construction of the Project by any means available to it and in the manner
it determines without advertisement for bids as may be required for the
acquisition or construction of other municipal facilities, but the City
shall not be liable on any such contracts.
PASSED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF FRIDLEY THIS 9TH DAY
OF NOVEMBER, 1981.
WILLIAM J. E - MAYOR
SIDNEY C: INMAN - CITY CLERK
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