89-866 WNITE - C�TV CLERK COUflCll y/
PINK -�FIN4NCE /�,/�
CANARY - DEPARTMENT G I TY O A I NT PAIT L File NO.�'V r �
BLUE - MAVOR
Counc l esolution
Presented By
Referred To Committee: Date
Out of Committee By Date
RESOLVED, by the City Council of the Ci y of Saint Paul, that in accordance
with Laws of Minnesota 1976, Chapter 234, th City Council hereby consents to the
issuance of the aforesaid revenue bonds f r he purposes described in the aforesaid
Port Authority Resolwtion No. 3107 the e ac details of which, including, but not
limited to, provisions relating to maturi ie , interest rates, discount, redemption,
and for the issuance of additional bonds re to be determined by the Port Authority,
pursuan# to resolution adopted by the Por A thority, and the City Council hereby
authorizes the issuance of any additional bo ds ( including refunding bonds) by the
Port Authority, found by the Port Authori y o be necessary for carrying out the
purposes for which the aforesaid bonds ar i sued.
COUNCIL MEMBERS Requested by Department of:
Yeas Nays
Dimond
�ng [n Favo
�
Rettman �j B
Scheibel _�L___ A ga i n s t Y
Sonnen
Wilson
Adopted by Council: Date
MAY 1 8 � ' Form Approved by City Attorney
Certified Y� •sed by Council Secre ry BY
�
By
Appr e by 1�favor. Dat _ Y 2 �f �� Approved Mayo for S mis 'on to Council
g �
Pt1B!!Sl�E9 J 11 Pd 31 9
_��t. Paul Port Authorit.v DEPARTME T �� �� N� �6082
J.A. Campobasso , � CONTACT
224-5686 PHONE
�y 9� 1989 DATE e e�' . Q, �i
ASSIGN NUMBER FOR ROUTING ORDER Cli A]1 Loc i s for Si nature :
1 �partment Director � Director of Managempnt/Mayor `
Finance and Management Services Director � , 4 City Clerk
Budget Director _gE; MTCHAFI �H�TrtT�pHFRS(1N-=�l1Bl FASF TO
2 City Attorney GENERAL PUMP & NORAMCO-$67D.�00 TAX
EXEMPT & $b90,000 JAXABLE BOND ISSUES
WHAT WILL BE ACHIEV D BY TAKING ACTION ON THE TT CHED MATERIAL�? (Purpose/
Rationale) :
The purpose of the combined tax exempt and ta ab e revenue bond issues is to finance the
constructio►� of a 23,800 square foot facility co taining 5,800 square feet of office and
18,000 square feet of manufacturing and wareh us space on a 128,458 square foot- site in`-
Riverview Ind`ustrial Park. �he learse would b with Michael Christopherson with a sublease
to General Pump/U.S: Inc. and Noramco.
COST BENEFIT BUDGETARY AND PERSONNEL IMPACTS TI IPATED:
The amount of the combined revenue bond issues is $1 ,360,000 and will be for a term of 30 years.
There will be approximately 15 new jobs create a a result of this project, and the cpmpany has
entered into the City's First Source Agreement
�'he Port Authority will submit an application or an industrial revenue bond allocation from
the State of Minnesota Competitive Poo] as the pr ject is industrial . The City. of Saint P�ul 's
entitlement allocation will not be affected by th s application. .
FINANCING SOURCE AND BUDGET AC1'IVITY NUI�ER CH GE OR CREDITED: (Mayor's signa-
ture not re-
Total Amount of "Transaction: N�q quired if, under
� �10,000)
Funding Source: � � � � �
Activity Number:
ATTACHMENTS (List and Number All Attachments) :
1 . Staff Memorandum
2. Draft City Council Resolution
3. Port Authority Resolution No. 3107 -
cc. J. Shoholm
DEPARTMENT REVIEW CITY ATTORNEY REVIEW
�Yes No Council Resolution Required? ' Resolution Required? �Yes No
Yes X No Insurance Required? Insuranee Sufficient? X Yes No
Yes X No Insurance Attached: ,
, (SEE •REVERSE SIDE FOR I T UCTIONS)
Revised 12/84
; n..+.. HOW TO USE THE GREEN SHEET
The GREEN SHEET has several PURPOSES: � � � � �
1. to assist in routing documents and in securing required signatures
2. to brief the reviewers' of documents on the impacts of approval
3. to help ensure that necessary supporti.ng aaterials are prepared, and, if
� required, attached.
Providing complete informa'tion under the listed headings enables reviewers to make
decisions on the documents and eliminates follow-up contacts that may delay execution.
The COST/BENEFIT, BUDGETARY AND PERSONNEL IMPACTS heading provides space to explain
� the- cost/benefit aspects of the decision. Costs and benefits related both to City
budget (General F`und and/or Special Funds) and to broader financial impacts (coat
to users, homeowners or other groups affected by the action) . The personnel impact
is a description of change or shift of Full-Time Equivalent (FTE) positions. �
If a CONTRACT amount is less than $10,000, the Mayor's signature is not required,
if the department director signs. A contract must always be first signed by the
outside agency before routing through City offices. �
�
Below is the preferred ROUTING for the five most frequent types of dxuments:
, CONTRACTS (assumes authorized budget exists) �
� l. Outside Agency 4. Mayor
2. Initiating Department 5. Finance Director
3. City Attorney 6. Finance Accounting
ADMINISTRATIVE ORDER (Budget Revision) ADMINISTRATIVE ORDERS (all others�
1. Activity Manaqer 1. Initiating Department
2. Department Accountant 2. City Attorney
3. Department Director 3. Director of Management/Mayor
4. Budget Director 4. City Clerk '
5. City Clerk �
6. Chief Accountant, F&MS
COUNCIL RESOT,UTION (Amend. Bdgts./Accept. Grants) COUNCIL RESOLUTION (all others)
1. Department Director 1. Initiating Department
2. Budget Director 2. City Attorney
3. City Attorney 3. Director of Manaqement/Mayor
4. Director of Management/Mayor 4. City Clerk
5. Chair, Finance, Mngmt. & Personnel Com. 5. City Council
6. City Clerk
7. City Council
8. Chief Accountant, F'&MS
SUPPORTING MATERIALS. In the ATTACHI�NTS section, identify all attachments. If the
Green Sheet is well done, no letter of transmittal need be included (unless signing
� such a letter is one of the requested actions) .
Note: If an agreement requires eviderice of insurance/co-insurance, a Certificate of
Insurance should be one of the attachments at time of routing.
Note: Actions which require City Council Resolutions include:
1. Contractual relationship with another govern�ntal unit.
2.. Collective bargaining contracts. •
3. Purchase, sale or lease of'land.
4. Issuance of bonds by City.
5. Eminent domain.
6. Assumption of liability by City, or granting by City of indemnific�tion. :
7. Agreements with State or Feder�l Goverxnnent under which they are providing
funding. •
8. Budget amendments. . .
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� FAX (612) 223-5198
PORT AUTHORIN OF THE CITY OF SAINT PAUL TOLL FREE(800) 328-8417
1900 LANDMARK TOWERS • 345 ST. PET ST EEf • ST. PAUL, MN 55102 • PHONE(612) 224-5686
May 9, 1989
Mr. Ken Johnson, Director
Planning and Economic Develop n Department
City of St. Paul
13th Floor, City Hall Annex
St. Paul , Minnesota 55102
SUBJEC�: MICHAEL CHRISTOPHER ON
SUBLEASE TO GENERAL PU P/U.S. INC. 8 NORAMCO
$670,000 TAX EXEMPTiRE ENUE BOND ISSUE
$690,000 TAXABLE RE EN BOND ISSUE
Dear Ken:
We submit herewith for your r vi and referral to the office of the
Mayor, City Council and City tt rney's office details pertaining to the
issuance of a combined tax ex mp and taxable revenue bond issue in the
amount of $1,360,000 to finan e he construction of a 23,900 square foot
facility containing 5,800 squ re feet of office and I8,000 square feet
of manufacturing and warehous s ace on a 128,458 in Riverview In-
dustrial Park. The lease wou d e with Michael Christopherson with a
sublease to General Pump/U.S. In . and Noramco.
The Port Authority will submi a application for an industrial revenue
bond allocation from the Stat o Minnesota Competitive Pool as the
proJect is industrial . The C ty of Saint Paul 's entitlement allocation
will not be affected by this pp ication.
The Port Authority staff has on ucted a thorough evaluation of the
firms and/or individuals that ar involved in this project or in whtch
the principals have an intere t. This investigation has included
EUGENE A.KRAUT,C,I D,� PERRV K FED"eRS.C.P.A. JOHN A. AM BASSO,C.�.D.� iAMES F FAUE.C i.D.' JAMES"t T"eR2EL_.C:C�
EXECUTIVE VICE PRESIDENT,C.E.O. ASST.ExEC.VICE PRESIDENT,C.F.O. OIRECTCR NDUST IAL DEV�iOPMEM DIRECTOR REAL ESTATE OPERATIONS CIRECTOR .� ^...� _"�'.'E�-."
tAWRENCE H.LANGER,P E. RICHARD A.GiERDAL PATRICK E.DEAN,C.P. . ROBERT A MI?TE? CPA. KAMERON L CARLSON,C,PA. WIL��Afd':E "��cGIVE2N
CHIEF ENGINEER PROPERTV MANAGER FINANCE DiRECiOR ASST FINA�dCE DIRECTOR ACCOUNiING MANAGER DiREC'J��JB�iC�:.A�����^+S
COMMISSIONERS: GEORGE W.WINTER WILLIAM R PETERSON HOWA D M UTHMANN JEAN M WEST VICTOR P,REIM JAMES SCHEIBEL ROBERT C LONG
P(7ESIDEN? VICEPRESIDENi SECRE RV �SST SECRE�ARV TREASURER ASST�REASURER _�.:1':59�"dEr
• 'C.I D CERTIFIE INDU TRIAL DEVELOpER
�4 � `���
Mr. Ken Johnson
May 9, 1989
Page -2-
detailed credit analysis, Dun nd Bradstreet reports, direct communica-
tion with representatives of f na cial institutions with whom the par-
ticipants have done business a d ata base checks to determine if any
principal (s> have been in any ay involved in legal proceedings as a
result of securitles traud, ex or ton, embezzlement or financial mis-
representation.
In addition to the staff inemor nd m, we are attaching a draft copy of
the proposed City Council reso ut on and a copy of Port Authority
Resolution No. 3107 which auth ri ed the sale of the combined revenue
bond issues in the amount of $ ,3 0,000.
Your expeditious handling of t is matter will be appreciated.
You� truly, /
/ /
�'����,� ���`'��"
F'erry K. Feders
Acting Executive
Vice President
PKF:ca
cc. Mayor imer
. - •
��V���
559A
Resolution No . 3107
RES LU ION OF
THE PORT AUTHORITY F THE CITY OF SAINT PAUL
WHEREAS, one of th p rposes of Minnesota Statutes ,
Sections 469 . 152 through 469 . 16 (hereinafter called "Act" ) ,
as found and determined by t egislature is to promote the
welfare of the state by the a t ve, promotion, attraction,
encouragement and development o economically sound industry
and commerce to prevent so fa s possible the emergence of
blighted and marginal lands a d areas of chronic unemployment
and to aid in the development o existinq areas of blight,
marginal land and persistent ne ployment; and
WHEREAS, factors ne es itating the active promotion
and development of economical y ound industry and commerce
are the increasing concentrat 'on of population in the
metropolitan areas and the ra id y rising increase in the
amount and cost of governmental ervices required to meet the
needs of the increased populat ' o and the need for development
of land use which will provide a adequate tax base to finance
these increased costs and acce s to employment opportunities
for such population; and
WHEREAS, the Port Au ho ity of the City of Saint
Paul ( the "Authority" ) has rec iv d from Michael
Christopherson (hereinafter re er ed to as "Christopherson" ) a
request that the Authority iss e ts revenue bonds (which may
be in the form of a single not ) o finance the acquisition,
installation and construction f acilities for the manu-
facturing, assembly, packaging n distribution oE cleaning
and pump components (hereinafte ollectively called the
"Project" ) at Riverview Industr' a Park in the City of St .
Paul, all as is more fully desc i ed in the staff report on
file; and
WHEREAS, the Authorit d sires to facilitate the
selective development of the co u ity, to retain and improve
� . .
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its tax base and to help it r ide the range of services and
employment opportunities req i d by its population, and said
Project will assist the City i achieving that objective .
Said Project will help to in r ase the assessed valuation of
the City and help maintain a p sitive relationship between
assessed valuation and debt n enhance the image and
reputation of the City; and
WHEREAS, the Proje t to be financed by revenue bonds
will result in substantial e p oyment opportunities in the
Project;
WHEREAS, the Autho i y has been advised by repre-
sentatives of Christopherso t at conventional, commercial
financing to pay the capita c st of the Project is available
only on a limited basis and at such high costs of borrowing
that the economic feasibili y f operating the Project would
be significantly reduced;
WHEREAS, Miller & Sc roeder Financial, Inc . ( the
"Underwriter" ) has made a p op sal in an agreement ( the
"Underwriting Agreement" ) r la ing to the purchase of the
revenue bonds to be issued o inance the Project;
WHEREAS, the Auth ri y, pursuant to Minnesota
Statutes , Section 469 . 154, ub ivision 4 did publish a notice,
a copy of which with proof f ublication is on file in the
office of the Authority, of a ublic hearing on the proposal
of Christopherson that the u hority finance the Project
hereinbefore described by t e issuance of its industrial
revenue bonds; and
WHEREAS, the Auth r' ty did conduct a public hearing
pursuant to said notice, at w ich hearing the recommendations
contained in the Authority' taff inemorandum to the
Commissioners were reviewed, nd all persons who appeared at
'the hearing were given an o p rtunity to express their views
with respect to the proposal .
NOW, THEREFORE, E T RESOLVED by the Commissioners
of the Port Authority of t ity of Saint Paul, Minnesota as
Lollows :
1 . On the basi o information available to the
Authority it appears, and he Authority hereby finds, that
said Project constitutes p op rties, used or useful in
connection with one or mor r venue producing enterprises
engaged in any business wi hi the meaning of Subdivision 2 of
2
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Section 469 . 153 of the Act; h t the Project furthers the
purposes stated in Section 4 9 . 153 of the Act, aild that the
effect of the Project, if un e aken, will be to encourage the
development of economically o nd industry and commerce and
assist in the prevention of h emergence of blighted and
marginal land, and will help t prevent chronic unemployment,
and will help the City to re a ' n and improve its tax base and .
provide the range of service nd employment opportunities
requir_ed by its population, n will help to prevent the
movement of talented and edu a ed persons out of the state and
to areas within the state wh r their services may not be as
effectively used and will re u t in more intensive �'�velopment
and use of land within the C ' t and will eventually result in
an increase in the City ' s ta ase; and that it is in the best �
interests of the port distri t and the people of the City of
Saint Paul and in furtheranc f the general plan of
development to� assist Christ p erson in financing the Project .
2 . Subject to th utual agreement of the
Authority, Christopherson, a d the purchaser of the revenue
l�onds as to the details of t e lease or other revenue
agreemerit as defined in the c , and other documents necessary
to evidence and effect the f'' n ncing of the Project and the
issuance of the revenue bond , the Project is hereby approved
and authorized and the issua c of revenue bonds of the
Autliority (which may be in t e form of a single note) in an
amount not to exceed approxi a ely $1 ,360 , 000, approximately
$6i0 , 000 �of which will be ta - xempt ( the "Tax-Exempt Bonds " )
and approximately $690 , 000 of hich will be taxable ( the
"Taxable Bonds " ) ( other tha s ch additional revenue bonds as
are needed to complete the Pro ect) is authorized to finance
the costs of the Project an t e recommendations of the
Authority ' s staff , as set f rt in the staff inemorandum to the -
Commissioners which was pres n ed to the Commissioners , are
incorporated herein by refe en e and approved.
3 . In accordanc w th Subdivision 3 of Minnesota
Statutes , Section 469 . 154 , he Executive Vice-President of the
AUTHORITY is hereby authori ed and directed to submit the
proposal for the above desc ib d Project to the Commissioner
of Trade and Economic Devel pm nt, requesting his approval ,
and other officers , employe s nd agents of the AUTHORITY are
hereby authorized to provid t e Commissioner with such
preliminary information as e ay require.
4 . There has he et fore been filed with the
Authority a form of Prelimi ar Agreement between the
Authority and Christopherso , elating to the pro�osed
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construction and financing f he Project and a form of the
Underwriting Agreement . Th f rms of the agreements have been
examined by the Commissione s . It is the purpose of the
agreements to evidence the o itment of the parties and their
intentions with respect to he proposed Project in order that
Christopherson may proceed it out delay with the commencement
of the acquisition, install ti n and construction of the
Project with the assurance ha there has been sufficient
"official action" within th m aning of the Internal Revenue
Code of 1986 , as amended, t a low for the issuance of
industrial revenue bonds ( i cl ding, if deemed appropriate,
any interim note or notes t p ovide temporary financing
thereof) to finance the ent ' re cost of the Project upon
agreement being reached as o he ultimate details of the
Project and its financing. Sa d Agreements are hereby
approved, and the President an Secretary of the Authority are
hereby authorized and direc ed to execute said Agreements .
5 . Upon executi n f the Preliminary Agreement by
Christopherson, the staff o t e Authority is authorized and
directed to continue negoti ti ns with Christopherson so as to
resolve the remaining issue n cessary to the preparation of
the lease and other documen s ecessary to the adoption by the
Authority of its final bond re olution and the issuance and
delivery of the revenue bon s ; provided that the President (or
Vice-President if the Presi en is absent) and the Secretary
(or Assistant Secretary if 'he Secretary is absent) of the
Authority, or if either of uc officers (and his alternative)
are absent, the Treasurer o t e Authority in lieu of such
absent officers, are hereby au horized in accordance with the
. provisions of Minnesota Sta ut s , Section 475 . 06 , Subdivision
1, to accept a final offer f he Underwriter made by the
Underwriter to purchase sai b nds and to execute an .
Underwriting Agreement sett 'ng forth such offer on behalf of
the Authority. Such accept c shall bind the Underwriter to
said offer but shall be subj c to approval and ratification
by the Authority in a formal s pplemental bond resolution to
be adopted prior to the del ' e y of said revenue bonds .
6 . The Tax-Exem onds ( including any interim
note or notes ) and interest th reon shall not constitute an
indebtedness of the Authori r the City of Saint Paul within
the meaning of any constitutio al or statutory limitation and
shall not constitute or giv r se to a pecuniary liability of
the Authority or the City o a charge against their general
credit or taxing powers and e ther the full faith and credit
nor the taxing powers of th A thority or the City is pledged
for the payment of the Tax-E e pt Bonds (and interim note or
, • �O 7 ��1�
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notes ) or interest thereon. T e Taxable Bonds ( including any
interim note or notes ) and i t rest thereon shall not
constitute an indebtedness o he City of Saint Paul within
the meaning of any constitut o al or statutory limitation and
shall not constitute or give r ' se to a pecuniary liability of
the City or a charge against ' i s general credit or taxing
� powers and the full faith an redit and the taxing power of
the City is not pledged for h payment of the Taxable Bonds
(and interim note or notes ) r ' nterest thereon.
7 . In order to f ci itate completion of the
revenue bond f.inancing herei c ntemplated, the City Council
is hereby requested to conse t, pursuant to Laws of Minnesota,
1976 , Ctiapter 234 , to the is ua ce of the revenue bonds
( including any interim note r otes ) herein contemplated and
any additional bonds which t e uthority may prior to issuance
or from time to time thereaf er deem necessary to complete the
Project or to refund such re en e bonds; and for such purpose
the Executive Vice President of the Authority is hereby
authorized and directed to f rw rd to the City Council copies
of this resolution and said re iminary Agreement and any
additional available informa io the City Council may request .
8 . The actions o t e Executive Vice-President of
the Authority in causing public notice of the public hearing
and in describing the general n ture of the Project and
estimati�ig the principal amou t of bonds to be issued to
finance the Project and in pr p ring a draft of the proposed
application to the Commission r of Trade and Economic
Development, State of Minneso a for approval of the Project,
which has been available for ' n pection by the public at the
office of the Authority from n after the publication of
notice of the hearing, are in a 1 res ects ratified and
confirmed.
,�" z:-
Adopted �-'�,� 1989
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Attest '�----- -
�Pres d t
The o Authority of the City
of S in Paul
Se tary
5
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PORT ���G�
AUTHORITY
OF THE CITY OF ST. PAUL
M m rondum
TO: BOARD OF COMMISSIONERS DATE: Mdy 5, 1989
( May 9, �989 Special Meetin )
FROM: J.A. Campobasso
�;
SUBJECT: MICHAEL CHRISTOPHERSON WITH A UB EASE TO GENERAL PUMP/U.S. INC. & NORAMCO
PUBLIC HEARING - PRELIMINARY A D NDERWRITING AGREEMENTS
$670,000 TAX EXEMPT REVENUE BO D SSUE
$690,000 TAXABLE REVENUE BOND SS E
RIVERVIEW INDUSTRIAL PARK
RESOLUTION N0. 3107
PUBLIC HEARING - SALE OF LAND
RESOLUTION N0. 3108
I . _THE COMPANY
General Pump/U.S. Inc. was fo nded in 1982 by Michael Christopherson, the
owner and President, of the' co pany. The company is the exclusive United
States agent and distributo o Interpump P.A. of italy. The high pres-
sure pumps are used primarily y the cleaning industry. The company also
distributes a variety of ac es ories for the pumps.
Since its inception, Genera P mp has worked toward adding additional
value to its product line. Th y presently assemble and package a combina-
tion of components to accom an the pumps.
In December of 1988, Michae C ristopherson acquired B & K Automatics and
formed a new corporation ca le Noramco (North American Components).
Noramco is a machine shop t at manufactures various components related to
the cleaning industry.
General Pump is located in 1, 00 square feet of space in Eagan, and
Noramco is in 3,000 square ee of space in Blaine. The companies propose
to relocate in order to exp nd and consolidate their operations. They
presently have 25 employees an anticipate creating 15 new jobs within the
next three years. General um has signed a First Source Agreement and is
interested in working with he City's Job Creation and Training Office.
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BOARD OF COMMISSIONERS
May 5, 1989
Page -2-
2. IHE PROJECT
General Pump and Noramco pr po e to consolidate their operations into a
new 23,800 square foot taci it in Rlverview Industrial Park. The build-
ing will contain approximat ly 5,800 square feet of office and 18,000
square feet of manufacturin a d warehouse space. The plans allow for an
addition of up to 10,000 sq ar feet to be constructed to the south as the
company continues to grow.
Total construction cost for th new facility is $1, 166,000 or ap-
proximately $49 per square oo including over $7.00 per square foot for
soil correction. Based on he significant cost of the soil correction, it
is recommended that the 128 45 square foot site be leased to the company
for one dollar annually.
General Pump is extremely i te ested in taking advantage of the benefits
of the Foreign Trade Zone a d s such has requested that the Zone be relo-
cated to include their prop se new site. The Greater Metropolitan For-
eign Trade Zone Commission as approved the concept of the move and upon
approval of the project will r uest realignment of the Zone at the
federal levei .
3, f INANCING
The proposed financing woul b done as a 876 industrial development
revenue bond issue with a 3 y r term. A $670,000 tax exempt bond wiil
be issued to fund the porti the facility that is related to manufac-
turing. In addition, a $69 ' 00 taxable bond will cover construction
costs not eligible for tax e em t financing. Proceeds from the combined
bond issues would be as foll ws:
Construction $1, 181,844.00
Construction Period Intere 't 5 Months 54,656.00
Debt Service Reserve 64,500.00
Issuance Expense 31,800.00
Bond Discount 27,200.00
TOTAL $1,360,000.00
The company will submit a c h eposit of $80,000 to fund a portion of the
debt service reserve.
Total project costs are $1 ,4 0, 00.00 of which the company is contributing
equity of 5.6�. The Port Au ho ity will receive sinking fund earnings as
well as its customary fiscal an administrative fees based on a formula of
.42� per million per year fo t e first ten years, .54$ per million per
year for the second ten year a d .66� per million per year for the final
ten years. The company will re eive the earnings on that portion of the
debt service reserve they fu de annually.
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BOARD OF COMMISSIONERS
May 5, 1989
Page -3-
The Port Authority will subm t his project to the State of Minnesota's
revenue bond competitive pool f r allocation as an industrial project.
The company will submit a I� de osit to secure this allocation which will
be refunded at the time of c osing of the project.
The proposed financing would be structured as a lease to Michael Chris-
topherson with subleases to en ral Pump/U.S., Inc. and Noramco. The bond
issue would be guaranteed by Mr Christopherson individually as well as
corporate guarantees from Ge er I Pump and Noramco. In addition, the
lease will include a prohibi iv covenant requiring General Pump to main-
tain a net worth of $I ,000,0 0.
5. UNDERWRITING
Miller 8 Schroeder Financial ha agreed to underwrite the 30-year bond
issue at a rate to be set at th time the bonds are sold. We anticipate
that the bonds will be sold t ur regular May Board meeting.
6. OPTIONS TO PURCHASE
The term of the lease would e or 30 years with options at 10, 20 and 30
years based on 10� of the or gi al bond issue plus the outstanding prin-
cipal balance.
7. RECOMMENDATIONS
Staff has interviewed office s f the company and reviewed the company's
financial statements. We ha e Iso discussed the project with District 3,
and they were supportive. S af recommends approval of Resolution Nos. 3107
and 3108 .
JAC:ca
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COMMITTEE REPORT - Housing and Econom'c evelopment Committee
May 10, 1989
Page T�ao
6. Resolution supporting the locatio o future state office expansion to be
in and near the Capitol area and en ral core, requesting City
administration work with state of ic als to foster said expansion into the
targeted area and requesting the ta e to formally establish policy giving
priority consideration to locatin s ate offices in the target area
(C.F. 89-572)
COMMITTEE RECOMMENDED LAYOVER
7. Resolution amending the CDBG Year X and XII programs by transferring
$288,000 from Year XII Rental Reh bi itation to Year XI Housing
Development Opportunity for the a qu sition of property for low income
rental housing (C.F. 89-664)
COMMITTEE RECOMMENDED APPROVAL
8. �,p..�of Revenue Bond Issue fo 6 neral Pump/U.6. Inc.
Referred by Port Authority 4/26/8
COMMITTEE �RECOMMENDED APPROVAL
(original resolution attached)
. . G�0 % ���1�
Members:
�` Biil Wilson, chair
� � GITY OF S INT PAUL Tom Dimond
�A,'��'ti{ � Kiki Sonnen
OFFICE OF FI CITY COIINCIL
F �
Date: May 10, 198
WILLIAM L. WILSON COm it ee Report MARK VOERDING
Councilman Leaislacive Aide •
To: aint Paul City Counci
From : Housing and Econ mic Development Committee
Bill Wilson, Chair
1. Approval of Minutes
Minutes of APRIL 12, 1989, meeti g ere APPROVED.
2. Ordinance amending the Legislati e ode by adding a new chapter pertaining
to replacement housing (C.F. 89 54 )
COMMITTEE RECOMMENDED WITHDRAWAL OF HE ORDINANCE
3. Resolution establishing policy s at ent pertaining to replacement housing
(C.F. 89-662)
CO�IITTEE RECOMMENDED WITHDRAWAL F HE RESOLUTION
4. Administrative Ordinance enactin a eplacement housing policy and
providing procedures for its imp me tation (C.F. 89-760)
COMMITTEE RECOMMENDED APPROVAL, TH AMENDMENTS
(amended ordinance attached)
SUSPENSION ITEM:
Resolution asking the HRA and Por A thority to consider adopting
replacement housing policies and ro edures
COMMITTEE RECOMMENDED APPROVAL
(original resolution and green sh et attached)
S. Resolution amending the 1989 budg t y adding $9,000 to the Financing &
Spending Plans for PED to hire co su tant to conduct intensive survey of
the Lower Bluff and Swede Hollow re s to determine eligibility for
possible national register and/.or lo al heritage preservation district '
designation. (C.F. 89-498)
COMMITTEE RECOMMENDED APPROVAL
- COTIUED -
CITY HALL SEVENTH FLOOR S INT PAUL, MINNESOTA 55102 612/298-4646
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