03-1019Page 1 of 2
Council File #
Green Sheet #
RESOLUTION
OF SAINT PAUL, MINNESOTA
Presented By
Q.Lw� �
300�5�-
:
Referred To Committee: Date:
Port Authority of the City of Saint Paul, Minnesota
Business Development Bonds and Program
�
WIIEREAS, pursuant to C.F. No. 90-2278 adopted by the City Council of the City of Saint Paul (the "City
Council") on January 3,1991 and Resolurion No. 3291 adopted by the Port Authority ofthe City of Saint Paul (the "Port
Authorit}�') on January 17,1991, the Port Authorityhas previously issued its $8,500,000 Tasable L'united Tas Supported
Business Development Progun Reserve Bonds, Series 1991 (the "1991 Bonds") to provide funds which were used to
capitalize a business development bond progrun (the "BDF Program"); and
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WHEREAS, the 1991 Bonds were secured and paid from theproceeds ofamandatoryt� levyunderMimi. Stat.
§469.053, Subd. 4(the "Mandatory Lev}�') that the Port Authority is enrifled to request, and that the City is required (upon
such request) to levy for the benefit of the Port Authority; and
WHEREAS, the City's Finance Department has requested that, pursuant to the authority graxited by Minnesota
Statutes, Section 469.048 to 469.165, as amended (the "AcY'), the Port Authority issue taacable refunding revenue bonds
in the approximate principal amount of $5,175,000 (the "Refunding Bonds") in order to refund the 1991 Bonds; and
19 WHEREAS, after issuance ofthe Refunding Bonds, the Mandatory Levy will be reduced annually, by the annual
20 debt service sa�ings resulting from the issuance of the Refunding Bonds; and
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WHEREAS, the City Council of the City and the Port Authority have agreed that the best interests of the
City, aud its taYpayers, would be served by encouraging the Port Authority to continue to provide for new economic
development opporhuiities through the continued operation of the BDF Program, and to reduce the debt service for
the BDF Program to the benefit of the City, through the issuance of the Refunding Bonds; and
WHEREAS, the City Council agrees that the nnplementation of the revised BDF Program, and the
continuation of the reduced Mandatory Levy to support the Refunding Bonds, should be pursued for the benefit of the
City and its ta�cpayers; and
31 WHEREAS, it is proposed that the operation of the BDF Program, as described in the Indenture of Trust to
32 be dated as of December 1, 2003, supercede and replace, in all respects, the 1991 Indenture, the Port Authority's
33 Business Development Resolution No. 3350, and the operation of the BDF Program as described therein.
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35 NOW TT-�REFORE, in consideration of the foregoing, it is hereby resolved by the City Council of the City
36 of Saint Paul, as follows:
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����tHa�g�1Z Of 2
1 1. The issuance of the Refunding Bonds and the continuation of the BDF Program, as described above
2 and in the materials presentetl to the City Council in connection with this action, aze hereby approved, subj ect to the
3 establishment by the Port Authority of the exact detaii, including principal amount, maturities, interest rates, discount,
4 and redemption features.
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2. In accordance with L,aws of Mnuiesota 1976, Chapter 234, the City Council hereby consents to the
issuance of the Refunding Bonds, the exact details of wkuch, including but not limited to, provisions relating to the
principal amount, maturities, interest rates, discount, redemption, and for the issuance of addirional bonds aze to be
deterxniued by the Port Authority, pursuant to a resolurion adopted by the Port Authority, and the City Council hereby
authorizes the issuance of any further refunding bonds which are found by the Port Authority to be necessary for
cauyuig out the purposes for which the Refunding Bonds aze to be issued.
3. The Port Authority is hereby authorized and directed to request a Mandatory Levy in each of the years
beginning 2004 and ending 2011 in the approximate annual amount of $1,250,000, and to apply the proceeds of the
ta�c levy to the payment of the Refunding Bonds and the BDF Program.
Yeas Nays
Benanav �/
Blakey �
Bostrom ✓
Coleman ,,
Hazris
Lanhy `/
�/�£e/ ✓
Adopted hv Counci l:
Adop
By:
Apprc
By:
,�, Requested by Office of Financial Services
By: �� � ���
✓
Date ��/ s�i. �?di/a
Approved by Financial Services
//
By: Y �
�
Form Approved by City Attorney
B}': �/SG� - ' � � .P 1
� Green, Sheet Green Sheet Green Sheet Green Sheet Green Sheet Green Sh�� �
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oer,arm,eorrornce�cw,nctc �am mwama: �
Fs ���� 06-NOV-03 Green Sheet NO: 3007534
conaa Parso� a Pnone: � neo��,c SeM To Person iowaw�
Todd Hurley p
2 �� Assign 1 De i r
Must Be on Council Agenda by (Date)_ Numbaz � 2
Neve�neea. !q Zoo3 FO � ; r tt ly, mi t
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Order <
5 k Qer
Tofal # of SignaWre Pages _(Clip All Locations for SignaWre)
Aetlon Requested:
Signatures on attached resolution authorizing the Port Authority's issuance of Business Development Program bonds.
Recommendations: Approve (A) or Reject (R): Personal Service CoMracts Must Answer the Following Questions:
Planning Commission
1. Has this persoNfirm ever worked under a contrad for this departmeM?
CIB Committee Yes Na
Civil Service Commission 2. Has this persoNfirm ever been a city employce?
Yes No
3. Does this persan/firtn possess a skill nM nortnally possessed by any
current city employee? .
Yes No
E�cplain all yes answers on separate sheet and aHaeh to green sheet
Initiating Problem, Issues, Opportunity (Who, What, When, Where, Why)•
Tl�e Port Authority has the opportunity to realize annual savings by refunding these bonds at a lower interest rate.
AdvanWpes If Approved:
Port Authority can issue the refunding bonds, reducing its mandatory levy to the City.
DisadvantaStes If Approved: '
None.
Disadvanqges If Not Approved:
Port Authority cannot issue refunding bonds.
Total Amount of
Transactiom CosHRevenue8udgeted: ���� � ��
Funding Source: Activity Number:
Pinancial Information: ��°� '� � �,��r��
(Explain)