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HomeMy WebLinkAbout10/15/1984 i TENTATIVE AGENDA Housing Authority in and for the City of Shakopee, Minnesota City Hall Council Chambers i Special Session October 15, 1984 I Chairman Colligan Presiding j 1. Roll Call at 7 : 00 P.M. 1 2 . Accept Special Call I 3 . Approval of the Minutes of October 2, 1184 . } 4 . Adopt Resolution No. 84-15 , A Resolution Amending Resolution 84-14 Approving and Authorizing Execution of Tax Increment Pledge Agreement. I 5 . Adopt Resolution No. 84-16 , A Resolution Authorizing Proper HRA Officials to Execute An Agreement to Amend, Modify, and Change Previous Agreements . j 6 . National Development Council Training. 7 . Other Business 8. Adjourn Jeanne Andre Executive Director Extract of Minutes of Meeting of the City Council of the City of Shakopee, Scott County, Minnesota Pursuant to due call and notice thereof a regular or special meeting of the City Council of the City of Shakopee, Scott County, Minnesota, was held at the Shakopee City Hall on the 1:5th day of October, 1984, commencing at 7:00 o'clock P.M., C.T. The following Councilmembers were present: and the following were absent: The following resolution was presented by Councilmember Colligan, who moved its adoption: RESOLUTION NO. 2327 RESOLUTION AMENDING TAX INCREMENT PLEDGE AGREEMENT RESPECTING THE CITY'S $2,490,000 GENERAL OBLIGATION TAX INCREMENT BONDS, SERIES 1984A BE IT RESOLVED by the City Council of the City of Shakopee, Scott County, Minnesota as follows: 1. It is hereby recited: (a) On October 2, 1984, the City Council adopted Resolution No. 2317 (the "Bond Resolution") which authorized the issuance and sale of the City's $2,490,000 General Obligation Tax Increment Bonds, Series 1984A (the "Bonds"). (b) Paragraphs 7 and 14 of the Bond Resolution referred to and authorized the execution of a certain Tax Increment Pledge Agreement, dated as of October 2, 1984, which was attached to and made a part of the Bond Resolution. (c) Paragraph 14 of the Bond Resolution also re- ferred to the issuance and sale by the Housing and Redevelopment Authority in and for the City of Shakopee, Minnesota, of its $3,650,000 Tax Increment Revenue Refunding 'Bonds, Selies 1984 (the "Series 1984 Bonds"). (d) Since October 2, 1984, the aggregate principal amount of the Series 1984 Bonds has been re- duced from $3,650,000 to $3,140,000. (e) It is necessary that the City Council amend the Bond Resolution, including the above- mentioned Tax Increment Pledge Agreement, to reflect the reduced principal amount of the Series 1984 Bonds and to clarify that the pledge of tax increments made pursuant to such Agreement shall run first to the Series 1984 Bonds and then to the Bonds. 2. The City Council hereby approves and authorizes the Mayor and the City Administrator to exec,e the Tax Incre- ment Pledge Agreement, dated October L6,, 1984, which is attached to and made a part of this Lcsolution, being an amendment to the Tax Increment Pledge Agreement attached tc the Bond Resolution. 3. When fully executed, the City Clerk shall cause an original of such amended Tax Increment Pledge Agreement to be filed with the Scott County Auditor and shall obtain the County Auditor's certificate of such filing. 4. The Bond Resolution and the Tax Increment Pledge Agreement which is made a part thereof are hereby amended as provided in this resolution. - 2 - The motion for the adoption of the foregoing resolution was duly seconded by Councilmember and upon vote being taken thereon, the following voted in favor thereof: and the following voted against the same: whereupon said resolution was declared duly passed and adopted. Adopted October 1$-, 1984. Mayor of the City of Shakopee ATTEST: City Clerk Approved as to form this day of October, 1984. P. R. Krass, Asst. City Attorney - 3 - HOUSING AND REDEVELOPMENT AUTHORITY IN AND FOR THE CITY OF SHAKOPEE, MINNESOTA By Its Chairman By Its Secretary pledged to the payment of the principal of or interest on the Series 1984 Bonds; and WHEREAS, to provide funds sufficient for the timely payment of the debt service on the Bonds, it is necessary for the Authority and the City to enter into this Agreement: NOW, THEREFORE, in consideration of the covenants and agreements hereof between the City and the Authority, and pursuant to Minnesota Statutes, Section 273.77(a), the City and the Authority' nereby recite aria agree a� z�ilz�cvs: 1. The Bonds mature on February 1 in the years and amounts, and bear interest from their date, respectively, as provided in the Bond Resolution. 2. For the purpose of paying the principal of and interest on the Bonds, when due, the Authority hereby pledges to the City, for deposit in the Debt Service Account established by the Bond Resolution, and the Authority shall pay to the City, Available Tax Increments at the times and in the amounts, but not in excess of the amounts, which are sufficient to pay such principal and interest, when due. If the Tax Increments are ever insufficient for such purposes, and the City, pursuant to the Bond Resolution, advances timely payment on the Bonds from the City's funds, the Authority further agrees to reimburse the City for such advances from Available Tax Increments, when collected by the Authority. 3. An executed copy of this Agreement shall be filed with the County Auditor of Scott County, as required by Minnesota Statutes, Section 273.77(a). 4. This Agreement shall become effective upon the actual issuance and delivery of the Bonds, but the Bonds shall not be issued and delivered by the City until the Authority has issued and delivered the Series 1984 Bonds. IN WITNESS WHEREOF, the City and the Authority have caused this Agreement to be duly executed and sealed as of the day and year first above written. CITY OF SHAKOPEE, MINNESOTA By Its Mayor By Its City Administrator PROCEEDINGS OF THE HOUSING AND REDEVELOPMENT AUTHORITY REGULAR SESSION SHAKOPEE, MINNESOTA OCTOBER 2, 1984 Chrm. Colligan called the meeting to order at 7:02 p.m. with Comm. Lebens, Wampach, Vierling and Leroux present. Also present were Mayor Reinke, John K. Anderson, City Admr. and Jeanne Andre, HRA Director. Julius A. Coller, II, City Attorney, arrived later. Lebens/Wampach moved to approve the minutes of September 18, 1984 as kept. Motion carried unanimously. Leroux/Vierling offered Resolution No. 84-11, A Resolution Adopting a General Fund Budget for 1985, and moved its adoption. Roll Call: Aves; Unanimous Noes; None Motion carried. Lebens/Leroux offered Resolution No. 84-12, A Resolution Requesting the Shakopee City Council to Consent to the Levy of A Special Tax by the Housing and Redevelopment Authority in and for the City of Shakopee, and moved its adoption. Comm. Leroux questioned the amount of the levy, asking what the maximum is allowed by Statutue, and the advisability of increasing this levy to that limit. He is considering that the levy limit may be frozen at some time. He also pointed out the potential for an increased need for consul- tant services with all the development anticipated. Leroux/Vierling moved to table Resolution No. 84-12 until further informa- tion is received later this evening. Motion carried unanimously. Vierling/Wampach moved to authorize the purchase of City property in Block 29, Lots 9 and 10, by the Shakopee Housing and Redevelopment Authority at a price of $5,150., contingent upon the City's successful completion of title registration of this property. Discussion followed regarding where this purchase fits into the budget. The HRA Director explained how hard it would be to budget an amount for these purchases, which do not occur regularly. She said she would research how a line item could be set up for real estate purchases. _R6_11 Caf1: Ayes;-Unadimous -Noes;-None 'Motion carfi.eb. ­ne 'city Attorney afridea dnd Zbok ` -is sept -a2 - 7 is -p.-m. The HRA Director explained that she is as how aggressively and in what manner in various proposals from developers. and different approaches to attracting of each. She said that Dick Krier, as recommended working exclusively with a the project develops or that developer looking for some direction'as far the City should seek or participate She went over the types of projects developers, with the pros and cons part of his consulting services, developer who is interested until is not able to complete it. Wampach/Leroux moved to request all potential developers to submit their _�z- - --- ---u ..d-� x�rrzp lc., •s� mil --- nfnrm vttnn -in_the format recommended- b�L-Dick - ----- ier. Kr Shakopee HRA October 2, 1984 Page 2 Chrm. Colligan asked for comments from the audience. Larry Smith, of Housing Alliance and Arvid Elness & Assoc., Architects, stated he has been working on the River Inn project, along with Gary Mclnerny, rather intensively for the last couple of months in order to develop this project with practical aspects for Shakopee, in an attempt to attract tourists downtown. He stated they have invested a lot of time and money in this project, and they are concerned about then having to compete with other developers for this project. He added an exclusive contract would allow a developer to put his resources into the project without feel there is such a risk. Mr. Gary McInerny added that this approach gives more control to the pro- ject, and he agrees with Mr. Smith. Crystal Ahlman said when she first started this project, no one was in- terested except Arvid Elness. She said this group has come up with a con- cept, and have changed it to reflect the changing needs. She feels it is unfair to allow others to come in now, when they had their chance earlier. She would like very much to continue to work with Arvid Elness in this development, unless they can't develop it for some reason. She thinks they are in the position to come up with a developer. Mr. Ron Maddox spoke of his conversations with Arvid Elness and staff. He sees a potential for a lot of development because of the racetrack. He suggests the City ask for a performance bond, because "Money talks and baloney walks." He would hope the City would keep the process open through the staff, so if a developer is interested, the City isn't tied to one de- veloper. However, if the City does designate exclusivity, he would advise requiring a performance bond. He thinks that any developer who comes to the Council table with a plan will have his financial ideas intact and probably have done some preliminary market studies. Discussion followed. Motion carried with Comm. Lebens opposed. Leroux/Wampach moved to direct staff in researching developers, enter into negotiations with more than one developer at a time to secure for the City the best possible development program and proposal, but not to go out for bids. Discussion followed about timing and if a limit should be set. Comm. Leroux spoke of three different kinds of projects; 1)When a developer brings a project to the City; 2) A group comes up with a concept plan which it brings to the City to seek a developer; and 3) A City -initiated project. Ms. Ahlman said she would like to see Arvid Elness be given the first chance to find a developer and develop the River Inn project, and if they can't then it could be open to others. Leroux/Wampach moved to amend the motion that the projects currently under consideration with Housing Alliance be conducted as they have been progress- ing to date, and that staff come up with some some of policy in writing for that procedure. Shakopee HRA October 2, 1984 Page 3 Comm. Lebens stated she doesn't think it is fair to be exclusive, as there have been other developers interested in other property in town. Comm. Vierling agreed because of the potential for problems in the future. Comm. Leroux asserted that Council always has the right to reject their proposal if it is not reasonable. Motion to amend carried unanimously. Main motion as amended carried with Comm. Lebens opposed. Leroux/Wampach moved that as part of the policy staff pursue the creation of an exclusive development agreement for developer selection, and that a performance bond be made part of that agreement. Motion carried with Comm. Lebens opposed. Vierling/Wampach moved to direct staff to explore potential professional services contracts to provide technical assistance in reviewing financial data provided by developers. Motion carried unanimously. Discussion followed regarding using the same procedures for land already in City possession. Leroux/Vierling moved to remove Resolution No. 84-12 from the table. Motion carried unanimously. The Finance Director stated the City is limited to one-third of a mill to levy. He said he would be comfortable with an increase up to $25,000.00 Leroux/Lebens offered Resolution special tax levy $25,000.00. Roll Call: Ayes; Unanimous No. 84-12 with an amendment making the Noes; None Motion carried. Mr. Jim Casserly, of O'Conner & Hannan, said that a re -analysis of the fund dictated a decrease in the size of the bond. This means the City has more money to work with because the reserve fund is reduced and earnings on the bond become immediately available, rather than being retained for 15 months. Vierling/Leroux offered Resolution No. 84-13, A Resolution of the Housing and Redevelopment Authority in and for the City of Shakopee, Scott County, Minnesota, Authorizing the Issuance of $3,140,000 Aggregate Principal Amount Tax Increment Revenue Refunding Bonds, Series 1984, Dated as of October 1, 1984, and Approving the Form and Authorizing the Execution of Necessary Documents, and Superceding Resolution No. 84-10, and moved its adoption. Mr. Pulscher, of Springsted, stated they are revising the trust indenture and there will be an approximately $85,000 transfer from the 1984 refunding bond fund to the HRA, which will eventually be transferred to the General Obligation bond fund for District No. I. Roll Call: Ayes; Wampach, Leroux, Colligan, Vierling Noes; Lebens Motion carried. Shakopee HRA October 2, 1984 Page 4 Leroux/Vierling moved to direct the review of the trust indenture to pro- vide for the transfer of $85,000 in surplus funds in the escrow account to HRA. Motion carried with Comm. Lebens opposed Vierling/Wampach offered Resolution No. 84-14, A Resolution Approving and .auen0I"t2IIrg "-Ex0"clt7d "'a.L -Cnd-' ,caX-iiitTieLYTei L- ,,Par)diA-r,i eeiri)6v c -­'? d -Tow -2-i tc adoption, noting a change in the amount in the fourth "WHEREAS" of the Pledge Agreement, to $3,140.00. Roll Call: Ayes; Colligan, Vierling, Leroux, Wampach Noes; Lebens Motion carried. Leroux/Wampach moved to adjourn at 8:30 p.m. Motion carried unanimously. Jeanne Andre HRA Director Diane S. Beuch Recording Secretary CITY OF SHAKOPEE INCORPORATED 1870 129 E. First Ave. - Shakopee, Minnesota 55379-1376 (612) 445-3650 y t3' October 12, 1984 Housing and Redevelopment Authority in and for the City of Shakopee Shakopee, MN 55379 Chairman Dean Colligan has notified me, Jeanne Andre, Executive Director of the Shakopee HRA, that a Special Meeting of the HRA will be held at 7:00 p.m. on Monday, October 15, 1984, in the Council Chambers of the City Hall for the purpose of 1) adopting a resolution authorizing proper HRA officials to execute an agreement to amend, modify and change previous agreements, 2) adopting a resolution amending the tax increment pledge agreement and the Bond Resolution regarding the City's $2,490,000 GO Tax Increment Bonds, Series 1984A, and for any other business which may come before the HRA. I you are unable to attend at this time, please let me know. Sincerely, <L4i�wc r Ci�, GL'r11 Jeanne Andre Executive Director Shakopee HRA JA:tw cc: KSMM Shakopee Valley News Z -U Cable Television T 11 C L-! t' ci Y f () I P Y, o r c C ti �� �I l l c 1/ An Equal Opportunity Employer 14�y Extract of Minutes of Meeting of the Housing and Redevelopment Authority in and for the City of Shakopee, Scott County, Minnesota Pursuant to due call and notice thereof a meeting of the Board of Commissioners of the Housing and Redevelopment Authority in and for the City of Shakopee, Scott County, Minnesota, was held on the 15th day of October, 1984, com- mencing at o'clock .M., C.T. The following Commissioners were present: and the following were absent: The following Commissioner resolution was presented by , who moved its adoption: RESOLUTION NO. 84-15 RESOLUTION AMENDING RESOLUTION NO. 84-14 AND APPROVING AND AUTHORIZING EXECUTION OF TAX INCREMENT PLEDGE AGREEMENT WHEREAS, at the request of the Housing and Redevelopment Authority in and for the City of Shakopee, Minnesota (the "Authori_tv;' 1-> , tb-p- �lt-vj of RbaknnpQ_-, MIcnesot-a_ rthe- "r_i+-v proposes to issue and sell its $2,490,000 General Obligation Tax Increment Bonds, Series 1984A (the "General Obligation Bonds"), pursuant to Minnesota Statutes, Section 273.77(a), ince certain expenditures for public improvements to fin, ken by the Authority within the Authority's Minnesota underta alley Housing and Redevelopment Project; River V REAS, the Authority has issued or intends to issue 140,000 Tax Increment Revenue Refunding Bonds, Series ated as of October 1, 1984 (the "Refunding Bonds"), ind in advance of their maturities the Authority's 000 Special Obligation Tax Increment Bonds, Series REAS, on October 2, 1984, the Board of Commissioners kuthority adopted Resolution No. 84-14 authorizing the )n of a certain Tax Increment Pledge Agreement between iority and the City, providing a pledge of tax incre- -om the Authority to the City for the purpose of paying 7cipal of and interest on Me General Obligatioo Bonds, WHEREAS, it is necessary to amend the aforesaid Tax -ement Pledge Agreement to clarify that the Tax Incre- :s (as defined in said Agreement) shall first be pledged :he payment of the principal of and interest on the Re - ling Bonds and shall then be pledged to the payment of principal of and interest on the General Obligation Is: NOW, THEREFORE, bissioners of th for the City of IT IS HEREBY RESOLVED by the Board of e Housing and Redevelopment Authority in Shakopee, Minnesota, as follows: 1. The Tax Increment Pledge Agreement, dated as of )ber 16, 1984, attached hereto and made a part hereof, ►g an amendment of the Tax Increment Pledge Agreement, !d as of October 2, 1984, and approved by resolution of Board adopted on October 2, 1984, is hereby approved, the officers of the Authority are hereby authorized and !cted to take such steps as may be necessary to execute I Agreement, in substantially the form as attached, upon -oval and execution thereof by the City, and to carry out fulfill the provisions and requirements thereof. 2. The above-mentioned October 2, 1984, resolution of Board is hereby amended by this resolution. The motion for the adoption of the foregoing resolution duly seconded by Commissioner - 2 - and upon vote being taken thereon, the following voted in favor thereof: and the following voted against the same: whereupon said resolution was declared duly passed and adopted. Adopted October 15, 1984. xecutive Director Approved as to form this day of October, 1984. ty Attorney - 3 - airman TAX INCREMENT PLEDGF. AGR T.M. N This Tax Increment. Pledge Agreement (the "Agreement") is dated as of October 1.6, 1984; is by and between the City of Shakopee, Minnesota (the "City"), and the Housing and Rede- velopment Authority in and for the City of Shakopee, Minne- sota (the "Authority"); and provides as follows: WHEREAS, at the request of the Authority, on October 2, 1984, the City Council adopted a resolution (the "Bond Reso- lution") awarding the sale of the City's $2,490,000 General Obligation Tax Increment Bonds, Series 1984A (the "Bonds") to provide financing for certain public improvements made or to be made by the Authority within its Minnesota River Valley Housing and Redevelopment Project No. 1 (the "Project Area"); WHEREAS, the Authority has duly created its Tax Incre- ment Financing District No. 1 (the "Tax Increment District") within the Project Area; WHEREAS, the tax increments derived from the Tax Incre- ment District are pledged to the payment of the Authority's $5,300,000 Special Obligation Tax Increment Bonds, Series 1979 (the "Series 1979 Bonds"); WHEREAS, the Authority has issued or intends to issue its $3,140,000 Tax Increment Revenue Refunding Bonds, Series 1984 (the "Series 1984 Bonds") to refund the Series 1979 Bonds and thereby to release from the pledge to .the Series 1979 Bonds certain of the tax increments to be derived from the Tax Increment District; WHEREAS, the property legally described as Lot 1, Block 1, Valley Park 3rd Addition, Scott County, Minnesota, con- sists of approximately 100 acres which lie entirely within the Tax Increment District, and tax increments to be derived from the aforesaid legally described property shall herein- after be referred to as the Tax Increments; WHEREAS, the Authority intends to pledge the Tax Incre- ments to the payment of the principal of and interest on the Series 1984 Bonds, in accordance with and to the extent provided in a certain Indenture of Trust, dated as of October 1, 1984, between the Authority and First Trust Com- pany of Saint Paul, and then, to the extent not so pledged to the Series 1984 Bonds, to pledge remaining Tax Increments to the payment of the Bonds, as herein provided; WHEREAS, as used in this Agreement, the term "Available Tax Increments" shall mean Tax Increments which are not pledged to the payment of the principal of or interest on the Series 1984 Bonds; and WHEREAS, to provide funds sufficient for the timely payment of the debt service on the Bonds, it is necessary for the Authority and the City to enter into this Agreement: NOW, THEREFORE, in consideration of the covenants and agreements hereof between the City and the Authority, and pursuant to Minnesota Statutes, Section 273.77(a), the City and the Authority hereby recite and agree as follows: 1. The Bonds mature on February 1 in the years and amounts, and bear interest from their date, respectively, as provided in the Bond Resolution. 2. For the purpose of paying the principal of and interest on the Bonds, when due, the Authority hereby pledges to the City, for deposit in the Debt Service Account established by the Bond Resolution, and the Authority shall pay to the City, Available Tax Increments at the times and in the amounts, but not in excess of the amounts, which are sufficient to pay such principal and interest, when due. If the Tax Increments are ever insufficient for such purposes, and the City, pursuant to the Bond Resolution, advances timely payment on the Bonds from the City's funds, the Authority further agrees to reimburse the City for such advances from Available Tax Increments, when collected by the Authority. 3. An executed copy of this Agreement shall be filed with the County Auditor of Scott County, as required by Minnesota Statutes, Section 273.77(a). 4. This Agreement shall become effective upon the actual issuance and delivery of the Bonds, but the Bonds shall not be issued and delivered by the City until the Authority has issued and delivered the Series 1984 Bonds. IN WITNESS WHEREOF, the City and the Authority have caused this Agreement to be duly executed and sealed as of the day and year first above written. CITY OF SHAKOPEE, MINNESOTA By Its Mayor By Its City Administrator HOUSING AND REDEVELOPMENT AUTHORITY IN AND FOR THE CITY OF SHAKOPEE, MINNESOTA By Its Chairman By Its Executive Director STATE OF MINNESOTA ) COUNTY OF SCOTT ) SS SHAKOPEE HRA ) I, the undersigned, being the duly qualified and acting Executive Director of the Housing and Redevelopmciit Authority in and for the City of Shakopee, Minnesota, do hereby certify that I have carefully compared the attached and foregoing extract of minutes of a meeting of the Board of Commissioners thereof, duly called and held on October 15, 1984, with the original thereof on file in my office and I further certify the same is a full, true, and correct copy thereof, insofar as the same relates to the approval of a certain Tax Increment Pledge Agreement. WITNESS my hand as Executive Director of the Authority this day of October, 1984. Executive Director Housing and Redevelopment Authority in and for the City of Shakopee, Minnesota - 4 - STATE OF MINNESOTA ) COUNTY OF SCOTT ) SS. CITY OF SHAKOPEE ) I, the undersigned, being the duly qualified and acting City Clerk of the City of Shakopee, Minnesota, do hereby certify that I have carefully compared the attached and foregoing extract of minutes of a meeting of the Shakopee City Council held on October d 1984, with the original thereof on file in my office and I further certify the same is a full, true, and correct copy thereof, insofar as the same relates to the amendment of a certain Tax Increment Pledge Agreement respecting the City's $2,490,000 General Obligation Tax Increment Bonds, Series 1984A. WITNESS My hand as such City Clerk and the corporate seal of the City this day of , 1984. City Clerk City of Shakopee, Minnesota (SEAL) MEMO TO: Shakopee Housing and Redevelopment Authority (HRA) FROM: Jeanne Andre, Executive Director RE: National Development Council Training DATE: October 11, 1984 Introduction: I would like to attend the training offered by the National Development Council on economic development financing. Further information on the training is provided herein. Background: The National Development Council has many years of experience offering training in economic development. They have offered courses nationally, generally from their New York or St. Louis offices. Due to their excellent reputation the Minnesota Department of Energy and Economic Development has brought the training to Minnesota so that economic development personnel could be trained locally without the added expense of travel and hotel expenses. The first series was offered in the spring of 1984, and is being repeated starting this December. It is unclear whether this opportunity will be available in the future. Shakopee is just getting to the point where we seek to work extensively with developers, and this training will be very beneficial in packaging deals which are realistic for both the City and the developer. The attached memo from Harry Rosefelt, Director of the State Economic Development Division provides further information on the training. Each session is one week long and involves extensive homework and advance reading to participate effectively. I am willing to make the time commitment and would like to attend all four sessions, spread over five months. Three hundred twenty-five dollars ($325.00) would be expended from funds available in the exist- ing HRA budget for 1984, and $975.00 would be available from the 1985 budget for the sessions next year. Requested Action: Authorize Jeanne Andre to attend four sessions of the National Development Council Training starting December 3, 1984, expend- ing $325.00 from the 1984 budget and $975.00 from the 1985 budget. JA:cah Attachment i!r MINNESOTA Department of Energy and Economic Development I"(oll rmii Dc'cluhment Div 1"i('ii Name: Title: City/Firm: _. City: Phone Number: COSTS: 00o A111cl i, .in ( enter (612) 296-5022 ECONOMIC DEVELOPMENT TRAINING PROGRAM REGISTRATION SHEEP State: Minnesota Star City City, Local Development Corporation, Chamber of Connierce Private Development Organization ------- Zip: $250.00 weekly fee $325.00 weekly fee $450.00 weakly fee I will attend the corlplete four week program I am only interested in selected portions of the program at this tine. SPleasf check the sessians you desire to attend.) ( ) Economic Development Financing December 3-7, 1984 ( ) Business Credit Analysis January 21-25, 1985 ( ) Real Estate Financing Marcb 4-8, 1985 ( ) Advanced Deal Structuring April 29 - May 3, 1985 To be assured of obtaining a slot for training, please return this form by November 5, 1984, along with a check for the appropriate weekly fee. If you are unable to remit a check inmlediately, please include with the registration form a letter from, your executive director stating when the registration fee could be InTR'.NRA. T&OZZ, vomit to � 101 ut lin 2iifuicS iYv�t^i� ADVOn. Upon receipt of your registration, you will be contacted with further instructions. AN EQUAL OPPORTUNITY EMPLOYER XUC COURSE SOMkt.ART ED 101 - ECONOMIC DEVP_LOPM-ENT FINANCING (S days) Dutlines and describes Yne components o1 o'loca1y controfiei and direclec-, sell -sustaining economic development system and egw-,A a local economic development professional with the "nuts and bolts" imowledge and skills of how to establish a public/private sector partnership to initiate an a", essive marketing progTam, to screen, analyze, structure, and package investment prowl--, to enlist the commitment and support of the private sector IenCers, to utilize the Federal tax inc!ntives and ionn programs and to properly set performance goals, monitor progress and identity problems. pRERE QUIS MT- NDNE ED 201 - BUSINM C1i.EDIT ANALYSIS (5 days) An extensive bank credit coupe focusing on the analysis of the valance sheet, profit and loss, and cash flow statements. By the end of the course the participants will be able to identify financing problems, correctly interpret trends, determine cash flew available for debt service, calculate the necessary level of working capital to sustain growth, and analyze the impact of financing and growth on the company's ability to survive. The participants will analyze their own live projects and develop the skills to present a proposal to a lender or investor. FREREQUI rM- ED 101 or Basic Accounting ED 202 - REAL ESTATE, FINANCING (S days) Investigates financing from an insurance company's or savings and loan association's point of view. Each participant will learn how to determine property value based u;xn the appraisal process, and to analyze, construct, and restructure live underwriting proposals using conventional, income participation, subordinate financing, syndication, and joint venture underwriting techniques. In eddition, the students will critique and restructure developers' submissions, investment and calculations of return on investment and structure limited partnership syndications. PREREQUIS17M 101, 201 Recommended ED 301 - ADVANCED DEAL STEUC,TURING (5 da :n) Attention wM be focused on how. to utilize public and private sector financing tools and trx incentives to maximize the benefits offered to businesses creating jobs wale mmdmizing the return to the public sector. Teams of students will compete with one another to attract live prospects to their "communities" utilizing AUD CDBG and UDAG loans; SBA 503, 502 and 7(e) loans; and equity capital, quasi -equity and private sector syndication as financing tooLs. PREREQUI.SIT - 101, 201, 202 and 301 MEMORANDUM TO: THE HONORABLE MAYOR AND CITY COUNCIL MEMBERS CITY OF SHAKOPEE FROM: PHILLIP R. KRASS RE: RACETRACK INDUSTRIAL REVENUE BONDS DATE: OCTOBER 15, 1984 Dear Mayor Reinke and Council Members: I enclose the third and final draft of the Agreement I am proposing to bind MRI to the conditions the City has imposed prior to giving our final approval to the $90,000,000 in industrial revenue bonds. Several changes have occurred since my October 8 letter to you which bears explaining. In my October 8 memo I informed you that in order to have coverage of our 8.4 million dollar tax increment revenue bonds, we needed a total of $44,000,000 in valuation spread at $33,000,000 in the racetrack portion of the tax increment district, and $11,000,000 in the K -Mart portion. You will recall that the K -Mart valuation is worth a great deal more to us because we do not pay fiscal disparities out of that portion. We have now received information that the actual construction costs in the K -Mart portion of the district will probably exceed $15,000,000 and we can therefore switch a great deal of valuation into the K -Mart portion and thus reduce the overall valuation. Consequently, with the division between the two increment districts we are now proposing, we can have greater coverage with an additional $2,000,000 valuation increase than we would have under the previously proposed division of valuation with the $3,000,000 valuation increase. Consequently, we have more safety without having to increase the valuation quite as much as we had thought. MRI has not yet firmed up the "shelving" of the $44,000,000 Series B issue. It has made an agreement with Manufacturers Hanover Trust of New York to park those bonds for 30 days while final arrangements are being rade. The MRI people are becoming more confident every hour that Series b will be issued. They will then be able to reduce our loan by the net proceeds they can borrow against the arbitrage from Series B. That may reduce our loan from $3,000,000 all the way down to no loan at all, which is our hope. They have agreed, and the redrafted contract provides, that they will reduce their loan from us by any amount they can borrow elsewhere. Actually, they are going to try to borrow more than $3,000,000 on the arbitrage and that is fine as far as we are concerned. The_ Qreater the reduction in our loan. the- _b_etter_�tzr coveraee for the revenu-e_boat Anal the O Ppar-.r_ arm rnrprr_Ion_ The final structuring of this bond issue is going to be to treat it as three series, with the $46,000,000 Series A being divided into a $20,000,000 and $26,000,000 issue, and Series B remaining at $44,000,000. we are therefore charging a total one time -up front fee of $35,DDD for the crfrC�"iTf a12F vi �Lrr�oc'1I1Ji,uts3'dtfu--lZ1C -1`J10—%A"hi00L commencing January 1, 1995. The $75,000 is a general fund payment to cover City Hall admistrative costs since MRI is paying all consultant fees and attorneys fees incurred by the City as a result of the issuance of any of the bonds. The involvement of Manufacturers Hanover Trust at this late date is necessitating some significant changes in all of the documentation I have been looking at for the last month. The last negotiating session respecting documents began Saturday at 1:00. It was going strong when I left at 6:00 and apparently concluded at midnight. As I draft this memo on Sunday, I have just talked to Wood Kidner at the drafting session which started again at 9:00 this morning and probably will go until midnight. The long and the short of it is that there probably will be some technical changes in many of the documents even after our meeting Monday night and it may well be that some amended documents including possibly an Amended Indenture of Trust will come back to us for approval. THOSE CHANGES WILL NOT AFFECT OUR AGREEMENT WITH MRI. It is simply that this much paper cannot be shuffled in the time span involved. I am also enclosing a City Council and an HRA Resolution authorizing the execution of this agreement with MRI so you will have that to at least review breifly before your meeting. Our consultants will be at the meeting and I have asked Jim Lockhart to have either himself or Bruce Malkerson there as well as hopefully one of the principals from MRI just in case you have any questions. At the risk of repeating the obvious, keep in mind that we are going to finance the public contribution and any loan we make with revenue bonds. The full_ faith and credit of the City will not be pledged to pay back these bonds. However, it is certainly in our best interest that the bonds work and are repaid because we will certainly be selling revenue bonds in the future sometime and we certainly don't want the collapse of any Shakopee revenue bond issue. One last point. As part of our negotiations over the past week the racetrack people have asked the City to agree to some sort of a cap on their valuation and therefore their taxes, or some sort of a contingent write down if their increment is increased by an increased mill rate. I have rejected both of these suggestions as I think they are illadvised even if they are legal, which I doubt. I have however informed the racetrack people that in consideration of their agreement to increase the valuation of their property by $2,000,000, and to reduce our loan by the amount of any alternate financing they obtain, and in consideration of allowing us to apportion the valuation between the two tax increment districts, I would write a letter and visit the County Assessor requesting that for the period of the tax increment district, the valuation of the racetrack facility not be increased, unless they expand those facilites using Series B or some alternate method of financing. I expect to be in this entire afternoon if you wish to call or stop up and discuss any of these matters. Otherwise I will look forward to seeing you this evening. RESOLUTION NO. 2331 RESOLUTION AUTHORIZING AN AGREEMENT TO AMEND, MODIFY AND CHANGE PRIOR AGREEMENTS BE IT RESOLVED by the City Council of the City of Shakopee, Scott County, Minnesota, as follows: WHEREAS, the City Council of the City of Shakopee has entered into certain contracts and agreements including An Amended Contract for Private Development By and Among The City of Shakopee, Minnesota, The Iiousirq; and Redevelopment Authority In and For The City of Shakorce, Minnesota and Minnesota Racetrack, Inc., as well as An Assessment Agreement and Assessor',,, Certificate By and Between the Housing and Redevelopment Authority for the City of Shakopee, Minnesota and Minnesota Racetrack, Inc., and WHEREAS, the City of Shakopee has entered into various other documents, agreements and resolutions relative to the creation of a tax increment district on property upon which Minnesota Racetrack, Inc., is constructing a racetrack facility within the City of Shakopee; and WHEREAS, the parties to said agreements desire to amend, modify and change such agreements in the manner provided by an agreement to do so dated October 15, 1984, a copy of which is attached hereto and Wade a part hereof and incorporated herein by reference; NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Shakopee as follows: 1. That said Agreement as attached hereto is in all respects approved and the appropriate city officials are hereby authorized and directed to execute said Agreement. 2. The City Council does hereby authorize the execution of all documents and does further authorize and ratify all actions taken by appropriate city officials to effectuate the terms of said Agreement. Adopted this 15th day of October, 1984 in special session of the Shakopee City Council. Eldon Reinke, Mayor ATTESTED TO: Judith S. Cox, City Clerk Approved as to form this day of 19 City Attorney RESOLUTION NO. 84-16 RESOLUTION AUTHORIZING AN AGREEMENT TO AMEND, MODIFY AND CHANGE PRIOR AGREEMLN1'S BE IT RESOLVED by The Housing and Redevelopment Authority in and for the City of Shakopee, Scott County, Minnesota, as follows: WHEREAS, The Housing and Redevelopment Authority in and for the City of Shakopee, Minnesota, has entered into certain contracts and agreements including An Amended Contract for Private Development By and Among the City of Shakopee, Minnesota, The Housing and Redevelopment Authority In and For The City of Shakopee, Minnesota and Minnesota Racetrack, Inc., as well as An Assessment Agreement and Assessor's Certificate By and Between the Housing and Redevelopment Authority for the City of Shakopee, Minnesota and Minnesota Racetrack, Inc., and WHEREAS, The Housing and Redevelopment Authority in and for the City of Shakopee, Minnesota has entered into various other documents, agreements and resolutions relative to the creation of a tax increment district on property upon which Minnesota Racetrack, Inc., is constructing a racetrack facility within the City of Shakopee; and WHEREAS, the parties to said agreements desire to au,end, modify and change such agreements in the manner provided by an agreer:ent to do so dated October 15, 1984, a copy of which is attached hereto and made a part Hereof and incorporated herein by reference; NOW, THEREFORE, BE IT RESOLVED by The Housing and Redevelopment Authority in and for the City of Shakopee, Minnesota as follows: 1. That said Agreement as attached hereto is in ull respects approved and the appropriate Housing and Redevelopment Authority officials are hereby authorized and directed to execute said Agreement. 2. The Housing and Redevelopment Authority in and for the City of Shakopee, Minnesota does hereby authorize the execution of all documents and does further authorize and ratify all actions taken by appropriate Mousing and Redevelopment Authority officials to effectuate the terms of said Agreement. Adopted this 15th day of October, 1984 in special session of the Shakopee City Council. HOUSING AND REDEVELOPMENT AUTHORITY IN AND FOR THE CITY OF SHAKOPEE, MINNESOTA Dean Colligan, Its Chairman ATTESTED TO: Jeanne Andre, Its Executive Director WITNESSETH: AGREEMENT TO AMEND, MODIFY AND CHANGE PRIOR AGREEMENTS I. Minnesota Racetrack, Inc., a Minnesota Corporation, (hereinafter referred to as "MRI") is the recipient of a Class A racing license issued by the Minnesota Racing Commission; II. PaU is presently constructing a racetrack facility within the City of Shakopee; In conjunction with said construction, MRI has entered into certain contracts and agreements with the City of Shakopee and the Lousing and Redevelopment Authority in and for the City of Shakopee, Ninnesota, bodies politic and corporate, (hereinafter collectively referred to as "the City") which contracts and agreements include inter alfa An Amended Contract F'or Private Development By And Among The City of Shakopee, Minnesota, The Housing and Redevelopment Authority in and for the City of Shakopee, Minnesota and Minnesota Racetrack, Inc., as well as An Assessment Agreement and Assessor's Certificate By and Between the Housing and Redevelopment Authority for the City of Shakopee, Minnesota and Minnesota Racetrack, Inc. Said contracts are intended to facilitate the creation of a tax increment district on the property upon which MRI is constructing its racetrack facility, which district is intended to provide financing for certain on-site improvements for said racetrack facility. Said financing shall be generated by the sale of tax increment bonds. IV. MRI has applied for and received preliminary approval from the City of Shakopee for the issuance of up to $90,000,000 of industrial revenue bonds, divided into a $20,000,000 sports facility revenue bond, Series 1984-A(1), a $26,000,000 sports facility revenue bond, Series 1984-A(2), and a $44,000,000 sports facility revenue bond, Series 1984-B, collectively hereinafter referred to as "B Bonds." V. In order to facilitate the issuance of the tax increment revenue bonds to be used for the on-site improvements referred to in Paragraph ill above, and to provide for the issuance of the Bonds referred to in Paragraph IV above, various contracts entered into between the parties hereto themselves, as well as various contracts between the parties hereto and others will need to be amended, modified and altered to provide for certain changes as hereinafter set forth. __ NOW, THEREFORE, in consideration of the mutual covenants and agreements contained herein, the parties hereto agree as follows: 1. MRI agrees to increase the previously agreed to assessor's market value of the racetrack facilities by an additional $2,000,000, and shall allow the City to apportion the total assessor's market value of the various facilities to be constructed in the manner the City shall direct. 2. MR1 agrees for itself and the North American Life and Casualty, Santa Anita, Inc., and Scottland, Inc., to guarantee severally a total of 26% of the principal amount of the tax increment bonds and 26% of the interest payable on said tax increment bonds to and including the stated maturity date. Said guarantees shall require that in the event there is any deficiency in the tax increment bond fund for such bonds, the guarantors shall immediately pay the trustee sufficient monies to make the tax increment debt service payments. The guarantees shall be in a form approved by the City. -2- 3. MRI will provide a letter of credit for one year's service on the bonds issued to facilitate the on-site improvements referred to in Paragraph III, said letter of credit to be in a form approved by the City. The letter of credit shall be a ten year three month irrevocable stand-by letter of credit for one year's debt service issued by a lending institution acceptable to the City. The trustee for the tax increment bonds will have the authority to call upon the letter of credit any time there is a deficiency in the tax increwent bond fund and MRI shall be required to cause the letter ol: credit to be restored to its full face amount, provided that MRI shall. never be required to provide a letter of credit in a cumulative amount in excess of Mkl's total guarantee. Any calls upon the letter of credit shall be credited to the total amount owing under this guarantee. 4. MRI will pay a one time fee to the City of. Shakopee of $75,000 for the issuance of the Bonds. MRI will also pay all consultants fees Lnd attorneys fees incurred by the City with respect to the issuance of said Bonds. MRI further agrees to pay to the City of Shakopee an annual fee of 1/8 of 1% of the principal balance of the then outstanding Series A bonds, said fee to commence January 1, 1995 and to continue until there are no Series A bonds outstanding. 5. Any loan made to MRI by the City pursuant to previous agreements shall bear interest at the rate of 10% per annum from and after the date said loan is made, and shall be amortized equally over a period of 120 monthly payments commencing one month from the date of said loan, with the entire principal balance and all accrued interest due and payable 60 months after the date of said loan. The payment schedule hereinbefore set forth may be altered by the parties hereto. To the extent MRI earns arbitrage on the Series B bonds, MRI will use its best efforts to utilize said arbitrage earnings to finance additional construction loans. MRI agrees that it will reduce its -3- loan from the City of Shakopee previously agreed to in the amount of $3,000,000, by any amount of additional financing MRI is able to secure as a result of said arbitrage earnings. 6. MRI agrees that the "Option Property" (as defined in the amended contract for private development) shall not be included in the property subject to the Assessment Agreement. 7. The parties hereto agree to make any amendments, modifications or changes in their contracts with each other or their contracts with other parties, whenever such amendments, modifications or changes are necessary or convenient to the effectuation of the terms of this agreement. Dated this 15th day of October, 1984 at Shakopee, Minnesota. MINNESOTA RACETRACK, INC. By Its -" CITY OF SHAKOPEE By Eldon Reinke, Mayor By Judith S. Cox, City Clerk By John Anderson, City Administrator HOUSING AND REDEVELOPMENT AUTHORITY IN AND FOR THE CITY OF SHAKOPEE) MINNESOTA By Dean Co ligan, Its Chairman By Jeanne Andre, Its Executive Director -4- STATE OF MINNESOTA) 11 ) ss. COUNTY OF ) On this 15th day of October, 1984, before me personally to me known to be the person who executed the foregoing instrument, and acknowledged that executed the same on behalf of Minnesota Racetrack, Inc. as _ free act and deed. Notary Public STATE OF MINNESOTA) ss. COUNTY OF ) appeared described in and On this 15th day of October, 1984, before me personally appeared Eldon Reinke, Its Mayor, Judith S. Cox, City Clerk and John Anderson, City Administrator to me known to be the persons described in and who executed the foregoing instrument, and acknowledged that they executed the same on behalf of the City of Shakopee as their free act and deed. Notary Public STATE OF MINNESOTA) ss. COUNTY OF ) On this 15th day of October, 1984, before me personally appeared Dean Colligan, Its Chairman, and Jeanne Andre, Its Executive Director, to me known to be the persons described in and who executed the foregoing instrument, and acknowledged that they exected the same on behalf of the Housing and Redevelopment Authority in and for the City of Shakopee, Minnesota as their free act and deed. Notary Public 5192 Extract of Minutes of Meeting of the City Council of the City of Shakopee, Minnesota Pursuant to due call and notice thereof, a regular meeting of the City Council of the City of Shakopee, Minnesota was duly held at the City Hall in said City on Thursday, the 15th day of October, 1984, at 7:00 o'clock P.M. The following members were present: and the following were absent: Member introduced the following resolution and moved its do tion: RESOLUTION AU'T'HORIZING A PROJECT UNDER THE MINNESOTA MUNICIPAL INDUSTRIAL DEVELOPMENT ACT AND THE ISSUANCE OF SPORTS FACILITY REVENUE BONES TO FINANCE THE PROJECT The motion for the adoption of the foregoing resolution was duly seconded by member , and upon vote being taken thereon the following voted in favor thereof: and the following voted against the same: whereupon said resolution was declared duly passed and adopted. RESOLUr ION AUTHORIZING A PROJECT UNLER THE MINNESOTA MUNICIPAL INDUSTRIAL EEVELOPMENT ACT AND THE ISSUANCE OF SPORTS FACILITY REVENUE BONDS TO FINANCE THE PROJECT BE IT RESOLVED by the Council of the City of Shakopee, Minnesota, as follows: 1. The Council has received a proposal from Minnesota Racetrack, Inc. ( the "Company") that the City undertake to finance a certain Project as herein described, pursuant to the Minnesota Municipal Industrial Development Act, Chapter 474, Minnesota Statutes (the "Act"), through issuance by the City of its $20,000,000 Sports Facility Revenue Bonds, Series 1984-A(1) (the "Series A(l) Bonds"); its $26,000,000 Sports Facility Revenue Bonds, Series 1984-A(2) (the "Series A(2) Bonds"); and its $44,000,000 Sports Facility Revenue Bonds, Series 1984-B (the "Series B Bonds") collectively referred to herein as the "Bonds", and in accordance with a Remarketing Agreement with respect to the Series A(1) and Series A(2) Bonds and a Remarketing Agreement with respect to the Series B Bonds (collectively, the "Remarketing Agreements"), between the City, the Company and Allison -Williams Company, Dain Bosworth Incorporated and Piper, Jaffray & Hopwood Incorporated and a Bond Purchase Agreement with respect to the Series A(1), Series A(2) and Series B Bonds (the "Purchase Agreement") between the City, the Company and Manufacturers Hanover Trust Company (the "Bond Purchaser"). 2. The Company desires to acquire certain real estate and construct thereon a horse racing facility and related improvements and equipment suitable for thoroughbred and harness horseracing (hereinafter referred to as the "Project"). The Project as described above is expected to provide employment to approximately 2,000 additional persons and will otherwise further the policies and purposes of the Act and the findings made in the preliminary resolution adopted by this Council on January 17, 1984 with respect to the Project are hereby ratified, affirmed and approved. 3. It is proposed that, pursuant to two separate Loan Agreements, both dated October 15, 1984, between the City as Lender and the Company as Borrower (collectively the "Iran Agreements"), the City loan the proceeds of the Bonds'to the Company to finance the cost of the Project. Proceeds of the 2 Series A(1) Bonds and the Series A(2) Bonds are to be disbursed pursuant to the terms of the Indentures, as hereinafter described, relating to the Series -A(1) and the Series -A(2) Bonds. Proceeds of the Series B Bonds are to be disbursed as provided in the Series B Indenture. The basic payments to be made by the Company under the Loan Agreements are fixed so as to produce revenue sufficient to pay the principal of, premium, if any, and interest on the Bonds when due. It is further proposed that the City assign its rights to the basic payments and certain other rights under the Loan Agreements to First Trust Company of Saint Paul, in Saint Paul, Minnesota (the "Trustee") as security for payment of the Bonds under three Indentures of Trust all dated October 15, 1984 (collectively the "Indentures") and that the Company grant a mortgage and security interest in the Project to the Trustee, to secure the repayment of the Series A(1) and Series A(2) Bonds, pursuant to a Mortgage and Security Agreement dated October 15, 1984 (the "Mortgage") and to further secure the payment of the Series A(1) and Series A(2) Bonds and the interest thereon, enter into an Assignment of Leases and Rents dated October 15, 1984 (the "Assignment of Leases and Rents"). The principal of the Series A(1) Bonds is expected to be further secured by an irrevocable letter of credit issued by Security Pacific National Bank in the amount of $20,000,000 and the principal of the Series A(2) Bonds is to be further secured by an irrevocable letter of credit issued by Twin City Federal Savings and Loan Association in the amount of $26,000,000 and by the pledge by Twin City Federal Savings and Loan Association of certain mortgage collateral pursuant to the terms of a Collateral Agreement (the "Collateral Agreement") dated October 15, 1984 between Twin City Federal Savings and Loan Association and First Trust Company of Saint Paul prior to remarketing of the Series A(1) Bonds and Series A(2) Bonds pursuant to the Remarketing Agreement. In connection with the issuance of the Letters of Credit, Security Pacific National Bank, Twin City Federal Savings and Loan Association and the Company will also enter into "Reimbursement Agreements" and an "Intercreditor Agreement", both dated October 15, 1984. 4. This Council by action taken on January 17, 1984 gave preliminary approval to the proposal on or about February 15, 1984 the Energy and Economic Development Authority of the State of Minnesota gave approval to the Project as tending to further the purposes and policies of the Act. 5. Pursuant to the preliminary approval of the Council, forms of the following documents have been submitted to the Council for approval: K (a) The Loan Agreements. (b) The Indentures. ( c) The Mortgage. (d) The Assignment of Leases and Rents. (e) The Purchase Agreement. (f) The Remarketing Agreements. (g) The Collateral Agreement. (h) Drafts of the preliminary Official Statement to be used in marketing the Series A(1) and Series A(2) Bonds (the "Official Statement"). 6. It is hereby found, determined and declared that: (a) the Project described in the Loan Agreements and Indentures referred to above constitutes a Project authorized by the Act; (b) the purpose of the Project is and the effect thereof will be to promote the public welfare by the acquisition, construction and equipping of a facility for thoroughbred and harness horseracing; (c) -the Project is to be located within the City limits, at a site which is easily accessible to persons residing within the City and the surrounding communities; (d) the acquisition, construction and installation of the Project, the issuance and sale of the Bonds, the execution and delivery by the City of the Loan Agreements, and the Indentures, and the performance of all covenants and agreements of the City contained in the Loan Agreements and Indentures and of all other acts and things required under the constitution and laws of the State of Minnesota to make the Loan Agreements, Indentures and Bonds valid and binding obligations of the City in accordance with their terms, are authorized by the Act; ii (e) it is desirable that the Company be authorized, in accordance with the provisions of Section 474.03 of the Act and subject to the terms and conditions set forth in the Loan Agreements, which terms and conditions the City determines to be necessary, desirable and proper, to complete the acquisition and installation of the Project by such means as shall be available to the Ccmpany and in the manner determined by the Company, and with or without advertisement for bids as required for the acquisition and installation of municipal facilities; (f) it is desirable that the Bonds be issued by the City upon the terms set forth in the Indentures; (g) the basic payments under the Loan Agreements are fixed to produce revenue sufficient to provide for the prompt payment of principal of, premium, if any, and interest on the Bonds issued under the Indentures when due, and the Loan Agreements, Mortgage and Indentures also provide that the Company is required to pay all expenses of the operation and maintenance of the Project, including, but without limitation, adequate insurance thereon and insurance against all liability for injury to persons or property arising from the operation thereof, and all taxes and special assessments levied upon or with respect to the Project Premises and payable during the term of the Mortgage, Loan Agreements and Indentures; (h) under the provisions of Minnesota Statutes, Section 474.10, and as provided in the Loan Agreements and Indentures, the Bonds are not to be payable from or charged upon any funds other than the revenue pledged to the payment thereof; the City is not subject to any liability thereon; no holder of any Bonds shall ever have the right to compel any exercise by the City of its taxing powers to pay any of the Bonds or the interest or premium thereon, or to enforce payment thereof against any property of the City except the interests of the City in the Loan Agreements which have been assigned to the Trustee under the 5 Indentures; the Bonds shall not constitute a charge, lien or encumbrance, legal or equitable upon any property of the City except the interests of the City in the Loan Agreements which have been assigned to the Trustee under the Indentures; the Bonds shall recite that the Bonds are issued without moral obligation on the part of the state or its political subdivisions, and that the Bonds, including interest thereon, are payable solely from the revenues pledged to the payment thereof; and, the Bonds shall not constitute a debt of the City within the meaning of any constitutional or statutory limitation. 7. Subject to the approval of the City Attorney or Assistant City Attorney, and the provisions of paragraph 11, the forms of the Loan Agreements, the Purchase Agreements and Indentures and exhibits thereto and all other documents described in paragraph 4 hereof are approved substantially in the form submitted except as otherwise provided in paragraph 9 - nerebt . The Lban-agreemen-cs-aria-irideflT-dre�u� -.cii-zui✓M-La Ctar±Y -' the forms submitted, are directed to be executed in the name and on behalf of the City by the Mayor, City Administrator and Clerk. The Purcnase Agreements'-anu -arry cs�n�t --- _�L _ the City :s and certificates necessary to the transaction aocument ted by the appropriate City - described above shall be execu .e documents necessary to the officers. Copies of all of th hall be delivered, filed and transaction herein described s ci_ ; n__ said_ Loan -Act_Veements and T r�li a�..7L}i 1 LY•i3.4..:. . )y finds that the info <«ation in the ti z;Mz it "Tb -P. clap -a ement of a material fact or omit to essary to make the statements made hereby approves in substantially the Council at this meeting such .n the Official Statement; and the .rms and consents to the use of said n r` r r� nP C 1S2L1 w3- to t ne- �(2) Bonds. The City has it investigation of the 31 Statements other than the and the City takes no S. Tne City here section of the Sta' not contain any untrue stat state any fact which is nee therein not misleading and form submitte8 to the City information for inclusion C.it,� hereby ratifies, confi i n�ini�il C�atcr�gn1' -,- .�j'Cl..l.1ViL 11f C.1i Clt 1. tc.i vcc.. sale of the Series A(1) and Series I not prepared nor made any independer information contained in the Officiz section therein captioned "Issuer," responsibility for such information, 9 OCTOBER 15, 1985 I Jean M. Seckin�er,_ respectively submit my resignation as Accounting Clerk, effective -October- b,-1984. Jean M. Seckinger ACCOUNTING CLERK Part-time The City of Shakopee has an immediate opening for a permanent part-time Accounting Clerk. Duties include A/R, A/P, record maintenance, monthly reconciliation and data processing operations. Qualifications: 10 key, 45 wpm, bookkeeping, further training/experience desirable, accuracy essential. Beginning salary will be $5.38-5.73, depending upon experience. Applications are available at Shakopee City Hall, 129 E. First Ave., 445-3650 through IJt:Gotet`sl '� � '1 !1 ? l i F CLC � �yv�+avr..