274899 WH17E — C�TV CLERK COUIICII ���(l��
PINK — FINANCE GITY OF SAINT PALTL
CANARV — DEPARTMENT �� la�
BLUE — MAVOR File NO•
o�ncil Resolution
Presented By
Referred To Committee: Date
Out of Committee By Date
WHEREAS, the Saint Paul District Heating project is in need
of long-term financing; and '
WHEREAS, State bonding support for the District Heating
project will not be available in the near future; and
WHEREAS, the Saint Paul District Heating Development Company,
Inc. , has requested its management team to prepare a request
for proposal for underwriting services; and
WHEREAS, such underwriting services will be retained to
determine the feasibility of a local revenue bond issue;
and
WHEREAS, it is in the City' s interest to work joinly with
the Saint Paul District Heating Development Company, Inc. ,
in the underwriter selection process; therefore be it
RESOLVED, that the City Council directs the Mayor's Administration
to work jointly with the management team of the District
Heating Development Company, Inc. , to prepare a request for
proposal for underwriting services following the procedure
outlined in the attachment to this resolution.
COUNCILMEN
Yeas Nays Requested by Department of:
--e'ere�sr �
Hozza In Favor
Hunt
Levine � __ Against BY —
Maddox
Showalter
Te MAY g 1980 Form Approved by City Attor y
Adopt y Council Date �
rtified Y• • by ncil Seqretar BY �
Appr v y Mavor: Da e _���`,, �QSO Approve by Mayor for Submission to Council
BY — — By � �
�ctts�n ±��.4Y 1 ? �9��
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Attachment to Council Resolution
Regarding District Heating
Underwriting Services
The City of Saint Paul and the District Heating Development
Company will follow a joint process for underwriter selection.
This will be done since the underwriter selected will most likely be
structuring a bonding program based on City of Saint Paul,
gg�, or Port Authority legal authority. The underwriter
will need to give sound financial advice both to the DHDC,
so that they will be able to develop an economically
viable system, and to the City to ensure that the bond
sale represents a good investment of the City' s credit.
To these ends, the following procedure will be followed.
l. Action will be taken by the DHDC board and by the
City Council authorizing retention of underwriters
for the project.
2. The DHDC management team and City staff will jointly
prepare a request for proposal. Peter Jones and
Steve Wellington will be the primary contact people.
3. The DHDC management team and City staff will jointly
interview underwriters and recommend a single firm or
group of firms.
4. This recommendation will then be referred for action
by the DHDC and by the City Council.
5. The DHDC management team and City staff will work jointly
with the underwriter selected to develop a bonding pro-
gram capable of ineeting the objective of providing
an economically viable project.