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279703 WHITE - CITV CLERK ������ PINK - FINANCE G I TY OF SA I NT PAU L COUIICIl CANARV - DEPARTMENT BLUE - MAVOR File NO. , C ncil Resol tion Presented By �r,z� "����� Referred o Committee: Date Out of Committee By Date WHEREAS: 1. On December 21 , 1982, the Port Authority of the City of Saint Pau1 adopted Resolution No. 2085 giving preliminary approval to the issuance of approximately $8,000,000 in revenue bonds to finance the construction of waste water pretreatment facilities at the St. Paul Ford Motor plant in accordance with Environmental Protection Agency pretreatment standards. 2. Laws of Minnesota 1976, Chapter 234, provides that any issue of revenue bonds authorized by the Port Authority of the City of Saint Paul , sha11 be issued only with the �onsent of the City Council of the City of Saint Paul , by resolution adopted in accordance with law; 3. The Port Authority of the City of Saint Paul has requested that the City Council give its requisite consent pursuant to said law to facilitate the issuance of said revenue bonds by the Port Authority of the City of Saint Paul , subject to final approval of the detai1s of said issue by the Port Authority of the City of Saint Pau1. RESOLVED, by the City Counci1 of the City of Saint Pau1 , that in accordance with Laws of Minnesota 1976, Chapter 234, the City Counci1 hereby consents to the issance of the aforesaid revenue bonds for the purposes described in the aforesaid Port Authority Reso1ution No. 2085, the exact detai1s of which, inc1uding, but not 1imited to, provisions relating to maturities , interest rates , discount, redemption, and for the issuance of additional bonds are to be determined by the Port Authority, pursuant to reso1ution adopted by the Port Authority, and the City Counci1 hereby authorizes the issuance of any additional bonds (including refunding bonds) by the Port Authority, found by the Port Authority to be neces- sary for carrying out the purposes for which the aforesaid bonds are issued. COUNC[LMEN Yeas Nays Requested by Department of: FI�r^ j/ � �![es [n Favor Masanz Nicosia Scheibel _ � __ Against BY Tedesco Wilson JAN i 8 1983 Form Approved by City Attorney Adopted by Council: Date �� r"� Certified Y s•e Council cr B �` sy. �`�6— $ tap o e y :Vlavor: D e _ JNN `� n �9 Approved Ma or for Sub ' n to ouncil — By � �� PUBLISHED JAN 2 9 1983 � � J � � � . � ����o� PORT AUTHORITY OF THE CITY OF SAINT PAUL Resolution No. 2085 RESOLUTION GIVING PRELIMINARY APPROVAL TO THE FINANCING OF' POLLUTION CONTROL FACILITIES FOR FORD MOTOR COMPANY TO BE � • LOCATED AT ITS TWIN CITIES ASSEMBLY PLANT THROUGH...THE ISSUANCE OF REVENUE BONDS UNDER MINNESOTA STATUTES, CHAPTER 474; AUTHORIZING THE EXECUTION OF A PRELIMINARY AGREEMENT IN CONNECTION THERE- WITH; AND OTHER MATTERS RELATING THERETO BE IT RESOLVED by :the Port Authority of the City of Saint Paul as follows: Section 1. Recitals. 1. 01. The Legislature of the State of Minnesota in Minnesota Statutes, Chapter 474, as amended (the "Act") , has found and declared that the welfare of the State requires active promotion, attraction, encouragement and development of economicaZly sound industry and commerce through governmental acts to prevent, so far as possible, emergence of blighted lands and areas of chronic unemployment; has authorized municigalities to issue revenue bonds to finance, in whole or in part, the cost of the acquisition, construction, reconstruction, improvement and betterment of projects, including any properties, real or personal, used or useful in connection with a revenue producing enterprise engaged in any business and/or properties used or useful in the abatement of air or. water pollution; and has authorized municipal- ities to enter into "revenue agreements, " as defined in the Act, with any person, firm, or public or private corporation or fQderal or state governmental subdivision or agency (the Contracting Party) providing for the paymer�t by the Contracting Party of amounts sufficient to provide for the prompt payment o� principal and interest on the revenue bonds. 1. 02. It has been proposed that the Port Authority issue its revenue bonds, pursuant to the authority of the Act, in an amount not exceeding in aggregate principal amount $8 , 000 , 000, or such lesser amount as may be necessary to finance all or a portion of the costs of facilities consisting of the in-plant segregation of wastewater and construction of a wastewater - pretreatment facility to be located at the Ford Motor Company' s . � � 2'�9�03 Twin Cities Assembly Plant at 966 South Mississippi River Boulevard (such f�acilities being hereinaf ter referred to as the Project) , and to make the proceeds of the sale of those revenue bonds available to Ford Motor Company, a Delawar.e c�orporation (the "Company") , which will agree to pay the Piort Authority amounts sufficient to pay promptly the principal of and interest on the revenue bonds, and wil� agree to cause the Project to be constructed. 1. 03. The Port Autho.�ity has been advised that conventional, commercial financing to pay the capital cost of the Project is available only on a limited basis and at such high costs of borrowing that the scope of the Project or the economic feasibility of operating the Project would be signifi- cantly reduced, but that with the aid of public financing, and its resulting low borrowing costs, the Project can be constructed as designed and its operation is economically more feasible. 1. 04. This Commission has been advised by Goldman, Sachs & Co. � (the °Underwriter") , the proposed underwriter of the •revenue bonds described herein, that revenue bonds of the Port Authority could be issued and sold upon favorable rates and terms to finance the PFOject. 1. 05. There has been presented to this Commission a form of .Preliminary Agreement relating to the issuance of revenue bonds of the Port Authority to finance costs of the Project. Section 2. Public Hearing. 2. 01. As required by Section 474.01, Subdivision 7b of the Act, this Commission has called and held a pnblic hearing on the proposal to undertake and finance the Project. Notice of the time and place of the hearing, and stating the general nature of the Project and an estimate of the principal amount of bonds to be issued to finance the Project, was published at least once not less than fifteen days nor more than thirty days prior to the date fixe.d for the hearing, in the official newspaper of the Port Authority and a newspaper of general circulation in the City of Saint Paul. The hearing and the notice referred to above constitute a "public hearing" and "reasonable public notice, " as referred to in Section 103 (k) (2) (B) (i) of the Internal Revenue Code of 1054, as amended by the Tax Equity and Fiscal Responsibility Act of 1982. A draft copy of the proposed application to the Minnesota Commissioner of Securities, together with all attachments and exhibits thereto, was available for public inspection following the publication of such notice at the place and times set forth in the notice. -2- 2`79"�03 2. 02. All parties who appeared at the public hearing were given an opportunity to express their views with respect to the proposal to undertake and finance the Project. This Commission has heard and considered the views expressed at the public hearing and the information submitted to the Port Authority by the Company and the Underwriter. � Section 3. Approvals and Authorizations. � 3. 01. On the basis a£ information given the Port Authority to date, and the views expressed at the public hearing, it is found and determined that the Project furthers the purposes stated in Section 474. 01'•o.f the Act, and that it would be in the � best interest of the Port Authority to issue its industrial development revenue bonds under the provisions of the Act to finance costs of the Project in an amount not to exceed $8, 000,000 (the "Bonds") . 3. 02. The Project is hereby given preliminary approval by the Port Authority and the issuance of the Bonds for such •purposes approved. The Bonds shall not be issued until the Project has been approved by the Commissioner of Securities as provided by the Act; until the Port Authority, the Company and �he Underwriter have agreed upon the details of the Bonds and provisions for their payment; and until the Bonds have been approved as provided in Section 103 (k) (2) (B) (i) of the Internal Revenue Code of 1954, as amended by the Tax Equity and Fiscal Responsibility Act of 1982. , 3 . 03. If the Bonds are issued and sold, the Port Authority will enter into a lease, mortgage, direct or installment sale contract, loan agreement, take or pay or similar agreement, secured or unsecured, s�tisfying the requirements of the Act (the "Revenue Agreement") with the Company. The amounts payable by the Company to the Port Authority under the Revenue Agreement will be sufficient to pay the principal of and interest and rede�nption premium, if any, on the Bonds as and when the same shall become due and payable. 3. 04 . The form of Freliminary Agreement is approved and the President, Vice President or Secretary of the Commission is authorized to execute the Preliminary Agreement on behalf of the Port Authority. � 3. 05. In accordance with the Act, the Port Authority staff is hereby authorized and directed to submit the proposal for the Project to the Minnesota Commissioner of Securities (or, after January 1, 1983, to the Director of the Department of Energy, Planning and Development) for his or her approval of the Project, and to provide the Commissioner with any preliminary information he or she may need for this purpose, and Dorsey & Whitney, bond counsel, is authorized to initiate and assist in the preparation of such documents as may be appropriate to the Project. . �. . . � � � � 2�g�o3 3 . 06. In the issuance of the Bonds and the financing of the Project, the Port Authority will comply with all of the provisions of the Act, including Section 474.01, Subdivision 8 thereof and with the reporting requirements of Section 103 (1) (2) of the Internal Revenue Code of 1954, as amended by the Tax Equity and Fiscal Responsibility Act of 1982. Section 4. Special Obligations. 4. 01. In all events, it is understood, however, that the revenue bonds of the Port Authority shall not constitute a charge, lien or encumbrance, legal or equitable, upon any property of the Port Authority except the Project, if it becomes _ � the property of the Port A�ithority, and each bond, whez�, as and if issued, is payable solely from the revenues received from the Project and property pledged to the payment thereof, and shall not constitute a debt of the Port Authority within the meaning of any constitutional or statutory provision. Section 5. Federal Matters. 5. 01. This Resolution, together with the Preliminary Agreement, constitutes "official action toward the issuance of obligations" by the issuer within the meaning of Section 1. 103-8 (a) (5) (ii) of the Treasury Regulations under Section lE?3 (a) of the Internal Revenue Code of 1954 , as amended. This Resolution shall be submitted to the City Council of the City of Saint Paul far its approval, and such approval by the City Council shall canstitnte the required public appro.val under Section 103 (k) (2) of the Internal Revenue Code of 1954, as amended by the Tax Equity and Fiscal Responsibility Act of 1982 . Adopted by the Port Authority of . t1�ie City of Saint Paul this 21st day of December, 1982. % ' �/ ; ; i : �' � � �'-l��� � . .� . � � _ �� _ President / Attest:�'� , � Sec etary -4- � ��.��� CITY OF S.�INT P.A,�7'L � - � � - - ,t? � i , .. � OFFICE OB' Z`RI: CITY COIINCLL ������ � _ �-. ...... �_. � �....... :: t� ��"_'�_�= :� . - D O t e . January 6, 1982 � � �' - . � COMM [TTEE I� EPOP, T TO = � Su�nt Pau ! Cifiy Cou�cit . , F R 0 IY� ' C O I�C!'1 I r t�� O h FINANCE, MANAGEMENT � PERSONNEL c H a i R James Scheibel �-- 1. •Approval of minutes frnm meeting held tVednesday, Decenbsr 29, I9S2��-�0 � - 14. Resolution amending the 1982 Capital Improvement Budget to include additional funding source of UDAG fund increasing the total Capita Cost of Farmers Market. . 15. Resolution closing out the Navy Island Ac uisition project and increasing the Hayden Heights project. '� � 16. Resolution approving the bond sale to finance the construction of �� a waste water pretreatment facility at the St. Paul Ford Motor plant. iQi 17. Resolution adopting additions to the 1982 Budget. `,��f��-�,�,e .� ' �s��i t3iL�,�'l� A � � I � ��9• °� . . 1 � II�I^ Y ' � . . �ort Aut I ri ty EPARTI•1ENT � E. A. Kr ut I� �+/~7�� ONTACT � 224-5686 PHONE ,2_2,_$2 � reen e�e � DATE (Routing and Explanation Sh t) Assi n Nu r for Routin Order Cli All Locations for M oral Si nature : I 1 Depa tment Director j SUBJECT: FORD MOTOR COMPANY 2 CityjAttorney $8,000,000 POLLUTION CONTRO�. BOND ISSUE 3 Di.re tor of Management/Ma�yor , � Fi.na ce and Management Services Director � 5 Ci ty� C1 erk Budg' t Di rector ! , i What Will ' e Achieved b Takin Action on the Attached Materials? Pur ose Rationale : The pur se of the bond issue is to finance the construction of waste wat�er pretreatment faci'lit s at the St. Pau1 Ford Motor plant in accordance with Environmenital Protection Agency pretrea ent standards. This would include a control building, piping, p�mps , pits, sumps, batch t nks, skimmers, chemical storage tanks, chemica1 feed equipment, mlixers, parallel plate separat r, s'ludge thickening tank, sludge filter press, compressors, e1ec rical substation, e1ectri a� contro1s and re1ated equipment, The faci1ities required for segregation and col- 1ection ��wi11 include in-p1ant piping,�co11ection sumps, pumps, sewers, electrical controls , and Financial �e�ude�ar�aa c��ersonneltle c��r�c�i�n���i �t�r�Ki:ror�rnental Protectio�n Ag�nc,y re�gulations. I �' � Fundin urce and Fund Activit Number Char ed or Credited: N/A � Attachme I s List and Nw�er all Attachments : ! Staff morandum ' Draft 'ty Counci1 Resolution Port A hority Reso1ution No. 2085 � DEPARTMEIT REVIEW CITY ATTORNEY REVIEW i � Yes'�, No Council Resolution Required? Resolution Required? �! Yes No Yes' X No Insurance Required? Insurance Sufficient? � Yes _ No Yesf X No Insurance Attached? cc: RI' Th�ape Revision of October, 19�2 (See Reverse Side for �I�structions) I P !� R T . � �'`19 �� � AUTHORITY OF THE CITY OF ST. PAUL Memo�andum TO: Board of Comnissioners DATE: Dec. 17, 1982 Dec. 21 , 1982 Meeting FROM: E. . � SUBJECT: PUBLIC HEARING - PRELIMINARY AND UNDERWRITING AGREEMENT ' FORD MOTOR COMPANY - ST. PAUL PLANT - $8,000,000 POLLUTION CONTROL BOND ISSUE RESOLUTION N0. 2085 PUBLIC HEARING - CREATION OF INDUSTRIAL DEVELOPMENT DISTRICT RESOLUTION N0. 2086 � The Ford Motor Company proposes to construct waste water pretreatment facilities at the St. Paul Ford Motor plant in accordance with Environmental Protection Agency pretreatment standards. In order to comply with the new Environmental Protection Agency pretreatment standards, Ford has developed a plan which includes: (1 ) In-Plant Segregation and Collection of Wastewater Before being discharged to the municipal sanitary sewers , the processed wastewater will be segregated and collected and transferred ta a new wastewater pretreatment facility. The facilities required for segregation and collection will include in-plant piping, collection sunps, pumps , sewers , electrical controls , and related equipment. (2) Construction of a Wastewater Pretreatment Facility The new wastewater pretreatment facility will include a control building, piping, pumps, pits , sumps , batch tanks, skimmers , chemical storage tanks , chemica7 feed equipment, mixers, parallel plate separator., sludge thickening tank, sludge filter press, compressors , electrical substation, electrical controls , and related equipment. Sand filter equipment also may be included. At the request of Ford, bond counse1 for this project will be Dorsey Whitney and the underwriters with the approval of Miller & Schroeder will be Goldman Sachs New York office. It has not been determined whether or not this would be a private placement or a public sale. In any case, the bonds would be issued under Ford Motor Company credit. Staff recommends approval of Resolution No.2085 which approves the issuance of approximately $'$,000,000 worth of bonds to accomplish the above identified work. Staff also recommends approval of Resolution No. 2086 creating an ' industrial development district for the Highland Park Ford Motor Company project.