85-1505 WMITE - CITV CLERK
PINK - FINANCE G I TY O F SA I NT PA U L Council �/
CANARV - pEPARTMENT Flle NO. �� /�
�LUE - MAVOR
.Co cil Resolution
. ,
Presented By c
Referred o CommiUee: -Date
Out of Committee By Date -
WHEREAS, the Council of the City of Saint Paul has previously
hereto adopted certain guidelines for intervention in public
utility rate cases ; and
WHEREAS , pursuant to said guidelines, one of the options
with respect to such intervention was to form a coalition with
other parties for the purpose of intervention; and
WHEREAS , Northern States Power Company has filed with the
Minnesota Public Utilities Commission a request for a $129 ,000,000
elec�ric rate increase for its Minnesota customers (MPUC Docket
No. E-002/GR-85-558) ; and
WHEREAS , pursuant to the aforementioned guidelines , the
City Council did on October 17 , 1985, by Resolution (Council
File No. 85-1410) , decide to support an effort to develop a con-
sortium of cities ; to be a member of such consortium when
developed; and to con�ribute up to $20, 000 toward the cost of
such intervention; and
WHEREAS , a consortium for intervention in said rate case
is in the process o� being formed; and
WHEREAS , the deadline for filing petitions to intervene
in said case is November 8 , 1985 ; and
WHEREAS, the Suburban Rate Authority has previously here�o
filed in the aforemen-tioned rate case as an Intervenor; now,
therefore, be it
COUNC[LMEN Requested by Depactment of:
Yeas p�� Nays
n�asanz [n Favor
Nicosia
Scheibel
Sonnen _ A gainst BY
Tedesco
W i Ison
Form Approved by City Attorney
Adopted by Council: Date
Certified Passed by Council Secretary BY
gy
Approved by 1Aavor: Date Approved by Mayor for Submission to Council
BY BY
WHITE - CITY CLERK
PINK - FINANCE GITY OF SAINT PALTL Council .� i
CANARY - DEPARTMENT �'/J�(�f�'
�LUE � MAVOR Flle � NO• -- � —/`� -
Council Resolution
Presented By
Referred To Committee: Date
Out of Committee By Date
RESOLVED, that the City Attorney' s Office is hereby directed
to negotiate appropriate terms with the Suburban Rate Authority
and other interested parties to support the intervention efforts
of the Suburban Rate Authority in concert with the Suburban Rate
Authority; and, be it
FURTHER RESOLVED, that the terms of any such agreement with
the Suburban Rate Ruthority and other parties include payment
by the City as and for the costs of such intervention an amount
not to exceed $20,000.
COUNCILMEN Requested by Department of:
Yeas p�� Nays �J
Masanz � In Favor
�{i�ia--
Scheibel d
sonnen _ Against BY
Tedesco
Wilson
�oV — 7 �7U5 Form Approved ity Attorn
Adopted by Council: Date
Certified P� •s d uncil S r BY
By
t#pprove a or: Date —N� - 8 1 85 Approved by Mayor for Submission to Council
By �r� BY
,>
�R.�<< "'� esr�;,.� o l� 1���,.
WMITE - CITV CLERK �
.P�� •.- FINANCE GITY OF SAINT PAUL Council
�n{-L�7
CANARV - DEPARTMENT File NO. ��/ ` /�
BLUE - MAVOR
�
� . � � . � Council Resolution
Presented � -�`^'���
Refe r To Committee: Date
e
Out f ommittee By Date
_RESOLUTION RECITING A PROPOSAL FOR A
FINANCING PROGRAM FOR A MULTI-FAMILY RENTAL
HOUSING DEVELOPMENT, GIVING PRELIMINARY
APPROVAL TO THE PROJECT AND THE PROGRAM
PURSUANT TO MINNESOTA STATUTES, CHAPTER 462C,
AUTHORIZING THE HOUSING AND REDEVELOPMENT
AUTHORITY OR MINNEAPOLIS/SAINT PAUL HOUSING
FINANCE BOARD TO ISSUE HOUSING REVENUE BONDS
AND AUTHORIZING THE SUBMISSION OF
FINANCING PROGRAM FOR APPROVAL TO THE
MINNESOTA HOUSING FINANCE AGENCY AND
AUTHORIZING THE PREPARATION OF NECESSARY
DOCUMEDTTS AND MATERIALS IN CONNECTION
WITH THE SAID PROJECT AND PROGRAM
(SHEPARD PARK DEVELOPMENT AREA PROJECT)
WHEREAS,
(a) Minnesota Statutes, Chapter 462C
(the "Act) confers upon cities, or housing
and redevelopment authorities or port
authorities authorized by ordinance to
exercise on behalf of a city the powers
conferred by the Act, the pawer to issue
revenue bonds to finance a program for the
purposes of planning, admi.nistering,. making
�or purchasing loans with respect to one or
more multi-family housing developments within
the boundaries of the city; .
COUIVCILMEN Requested epartment of:
Yeas Nays
Fletcher
Drew IIl Favor
Masanz
Nicosia
scnetbe� __ Against BY
Tedesco
Wilson
Form Ap roved by City Attor ey ,
Adopted by Council: Date
Certified Yassed by Council Secretary BY
By
Approved by ;Navor: Date Approv by Mayo o Submis 'on to Council
BY
� '_ � ' _ � � • �'i,� �� /Sa10
. . ' .
� (b) The Housing and Redevelopment
Authority of the City of Saint Paul,
Minnesota (the "HRA") has been designated, by
ordinance, to exercise, on behalf of the City
of St. Paul, Minnesota (the "City" ) the
powers conferred by Minnesota Statutes,
Section 462C.01 to 462C.08;
(c) The HRA and the Minneapolis
Community Development Agency (the "CDA" ) have -
entered into a Joint Powers Agreement dated
December 1, 1984 creating the
Minneapolis/Saint Paul Joint Housing Board
(the "Board" ) , which is authorized to
exercise on behalf of the Cities of
Minneapolis and St. Paul and the HRA and CDA
the powers conferred by the Act;
(d) The City has received from Shepard
Park Partnership (the "Developer" ) a proposal
that the City undertake a program to finance
a Project hereinafter described, through the
issuance of revenue bonds or obligations (in
one or more series) (the "Bonds" ) pursuant to
the Act;
(e) The City desires to: facilitate
the development of rental housing within the
community; encourage the development of
affordable housing opportunities for
residents of the City; encourage the
development of housing facilities designed
for occupancy by persons of low or moderate
income; and encourage the development of
blighted or underutilized land and structures
within the� boundaries of the City; and the
Project will assist the City in achieving
these objectives.
(f) The Developer is currently engaged
in the business of real estate development.
The Project to be financed by the Bonds is
the acquisition, construction and equipping
of a multi-fami.ly rental housing development
of approximately 500 rental units located at
the northeast corner of Stewart Avenue and
Madison Street, in the City of St. Paul, and
consists of the acquisition of land and the
construction of buildings thereon which will
� . . , _ . � (��'�-i..��
' result in the provision of additional rental
housing opportunities to persons within the
community;
(g) The City has been advised by
representatives of the Developer that con-
ventional, commercial financing to pay the
capital costs of the Project is available
only on a limited basis and at such high
costs of borrowing that the economic
feasibility of operating the project would be
significantly reduced, but the Developer has
also advised the City that with the aid of
municipal finaneing, and resulting low
borrowing costs, the Project is economically
more feasible;
(h) A public hearing on the Project and
the financing program therefor was held on
October 29, 1985, after notice was published,
and a copy of the program was submitted to
the Metropolitan Council on or before the
date said notice was published, all as
required by Minnesota Statutes, Chapter 462C,
at which public hearing all those appearing
at said hearing who desired to speak were
heard and written comments were accepted and
considered;
(i) No public official of the City has
either a direct or indirect financial
interest in the Project nor will any public
official either directly or indirectly
benefit financially from the Project;
(j) The Developer has submitted to the
HR.A a form of Memorandum of Understanding
executed by the Developer, expressing certain
understandings by and between the HRA and the
Developer pertaining to the Project, and the
financing therefor.
NOW THEREFORE, BE IT RESOLVED by the City Council of
the City of Saint Paul, Minnesota, as follows:
1. The City hereby gives preliminary approval to the
proposal of the Developer that the City undertake the Project,
_ ' : . � . � � � �s—i�.s��
described above, and the program of financing therefor,
pursuant to Minnesota Statutes, Chapter 462C, consisting of the
acquisition, construction and equipping of multi-family rental
housing facilities within the City pursuant to the Developer' s
specifications and to a revenue agreement between the HRA or
Board and the Developer on such terms and conditions with
provisions for revision from time to time as necessary, so as
to produce income and revenues sufficient to pay, when due, the
principal and interest on the Bonds in the total principal
amount of approximately $25,000,000 to be issued pursuant to
the Act to finance the acquisition, construction and equipping
of the Project; and said agreement may also provide for the
entire interest of the Developer therein to be mortgaged to the
purchasers of the Bonds, or a trustee for the holder(s) of the
Bonds; and the City, acting by and through the HItA or Board,
hereby undertakes preliminarily to issue its bonds in
accordance with such terms and conditions;
2. At the option of the HRA or Board, the financing
may be structured so as to take advantage of whatever means are
available and are permitted by law to enhance the security for,
or marketability of, the Bonds; provided that any such
financing structure must be consented to by the Developer•
3. On the basis of information available to the City
it appears, and the City hereby finds, that the Project consti-
tutes a multi-family housing development within the meaning of
subdivision 5 of Section 462C.02 of the Act; that the Project
will be primarily occupied by persons of low or moderate
income; the availability of the financing under the Act and the
willingness of the City to furnish such financing will be a
substantial inducement to the Developer to undertake the
Project, and that the effect of the Project, if undertaken,
will be to encourage the provision of additional multi-farnily
rental housing opportunities to residents of the City, to
assist in the redevelopment of blighted and marginal land and
to promote more intensive development and use of land within
the City;
4. The Project, and the program to finance the
Project by the issuance of revenue bonds, is hereby given
preliminary approval by the City subject to the approval of the
financing program by the Minnesota Housing Finance Agency
( "MHFA" ) and subject to final approval by the HRA or Board, the
Developer and the purchasers of the Bonds as to ultimate
details of the financing of the project;
5. Pursuant to Chapter 72, Saint Paul, Minnesota,
Aministrative Code, the City hereby authorizes and directs the
' ' � � � . �',l�' �'',5'=/S�jo
. ,
HRA to issue the housing revenue bonds to finance the Project
and to take all actions necessary or desirable in connection
therewith, and no further approval or authorization of the City
shall be required; provided that the HRA may, in its
discretion, authorize the Board to issue the Bonds and to
implement the program approved hereby, and the City hereby
consents thereto;
6. In accordance with subdivision 5 of Section
462C.05, Minnesota Statutes, the Executive Director of the HRA
is hereby authorized and directed to submit the program for
financing the project to NIfiFA, requesting its approval, and
other officers, and employees and agents of the City and HRP,
are hereby authorized to provide MHFA with preliminary
information as it may require;
7. The Developer has agreed and it is hereby
determined that any and all costs incurred by the City, the HRA
or the Board in connection with the financing of the Project
whether or not the project is carried to completion and whether
or not approved by NII-iFA will be paid by the Developer;
8. Briggs and Morgan, Professional Association,
acting as bond counsel, and such investment bankers as may be
selected by the HRA or Board, are authorized to assist in the
preparation and review of necessary documents relating to the
Project and the financing program therefor, to consult with the
City Attorney, Developer and purchasers of the Bonds (or
trustee for the purchasers of the Bonds) as to the maturities,
interest rates and other terms and provisions of the Bonds and
as to the covenants and other provisions of the necessary
documents and submit such documents to the HRA or Board for
final approval;
9. Nothing in this Resolution or the documents
prepared pursuant hereto shall authorize the expenditure of any
municipal funds on the Project other than the revenues derived
from the Project or otherwise granted to the City, the HRA or
the Board for this purpose. The Bonds shall not consitute a
charge, lien or encumbrance, legal or equitable, upon any
property or funds of the City, the HRA or the Board except the
revenue and proceeds pledged to the payment thereof, nor shall
the City, the HRA or the Board be subject to any
liability thereon. The holder of the Bonds shall never have
the right to compel any exercise of the taxing power of the
City or HRA to pay the outstanding principal on the Bonds or
the interest thereon, or to enforce payment thereon against any