HomeMy WebLinkAbout80-005WHEREAS, the Minnesota Industf.ia' Development Act is designed to:
- 1. Aid in the development of economically sound industy
and commerce.
2": Prevent the emergence of blighted areas and marginal
lands, and provide for the redevelopment. Thereof.
Aid in increasing
3• employment.
4. Increase the tax base of the mun i c i pa's' %typk }and of the
other taxing authorities.
5. Protect existing jobs by discouraging` migration of �-
Minnesota firms to other states.:
NOW, THEREFORE, BE IT RESOLVED by the City Council of Prior Lake, Minnesota," x ' y
that the followipg criteria are hereby °adopted as•guideliines in considering
aI ppi,ications for industrial, and commercial .,revenue ` fingncing:
l The s'uggested size of industrial or commercial
financing,shal be $500,000.
2. The total; amount of the taxi- exempt financing shall not s, '
exceed the total cost °of 'the project.
3• The term of the proposed note bond indebtedness shall; at
not exceed ,the useful life of the project. (Statutory
t,
maximum,- 40 years.)
��. 4. The preferred type of financing for commercial and industrial;
development issues shall be a mortgage revenue ' note - to-be soled
only to an institutional investor or institutional inve$:tors
as :a private p1acenient.
5. One; hundred percent financing shall be considered acceptabie = <3
to the City in case of revenue bonds sold as private placements.'
(612) 447 -4230 4629 �AKOTA STREET S.E. PRIOR LAKE, MINNESOTA 55372
CITY 01 PRIOR LAKE—. :
: f
RESOLUTION 8Q;
Resolution for Industeia and Commercial Development-"
Revenue Financing under MSA Chapter, 474
Motion by: Bissor►ett Seconded by: Busse „
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(612) 447 -4230 4629 �AKOTA STREET S.E. PRIOR LAKE, MINNESOTA 55372
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6, in`the event the proposed financing takes the form of a mort-
gage revenue note privately placed, the financing Policy'of
°
the private- placunent lender may be considered acceptable to °
the 'City.
7. In the case of a pubii`c issuance of ,a bond issue, ft�.e� financing
policy will be loft "to the.discretion of the City - Council, City
i p
bond underwriter.
S. The applicant shall demonstrate that the proposed facility
�. will not require further public expenditures for public im-
provements unless authorized by,th'e City Council,
9. The applicant shall submit all 'financial information to the
City for the last three years. In the of,a new business,
a three year pro =forma statement of earnings W ill be required.'
1 The applicant shall submit a detailed Market.Analysis demon-
strating that no adverse impact will be created upon,existing '
businesses and illustrate their anticipated percent of the .
Market for the- arj�m. Great consi "derat,ion will be given to
the market analysis and approval will be contingent 'upon a
well evidence document'. The Market Analysi's shall be con -
-
sistant . With developmental plans pf _,tlie Gity,.and wi l h
hot - - -, `
`
exert undue strain upon City services.
H. The,appl'icani shall indicate that his "proposal qpmpftes r with
�- the City's zoning -and subdivision regulations and,how the pro -r
posa l ,fit's 'into 'the'Comprehens I Plan..
12: A fee of one -tenth of'one percent, with a minimurel amount of
-$1,000 and a maximum of • $$;000 'shall L be;'- submitted ,, by the -� r
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applicant, at t`he time of application, -,to defray the costs
incur' red • by, the City. If the Clty 0ouncil, does not approve r
the `pretiminary,f ion ;; 50,p'ercent of the fe6 "'may be�re- `
v fundable. If the' preliminarYiresolution is- approved - the 'fee
us non- re t-nded and -any add i ti ona' cost's incurred by the City '
1
_ shall be bids by the �appl i'cant. .
A l
13 ,Prior to the adoption : the final resolution author`izin'g
,, of the industrial revenue bonds or revenue notes
the applicant shall del iver`a f1`rm, financing commitment
:.accep -table to the City from either the private - lender or.,the
underwriter.
'4 "The, City reserves the right to deny any application for municipal
,.. ,
} "ndustr i'a'1„ development bone or revenue nose f nancing at any stage
s` of the proceed=ings, prior to adoption,of the final resol =ution
authorizing "issuance of indmstria,l developmdnt bonds or'reVenue
notes .