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227151Olu GINAL TO CITY CLERK • .i PRESENTED COMMISSIi CITY OF ST. PAUL OFFICE OF THE CITY CLERK CIL RESOL'WRON,46ENERAL FORM COUNCIL NO FILE 22'1,51 7q��J &-Uj ta-vtf-� / F - - -- WHEREAS, a group of Twin Cities residents (hereinafter described.as "Franchise Seekers ") are negotiating for a grant to them of a National Hockey League franchise to be located in the Twin Cities, State of Minnesota; and WHEREAS, the citizens of the Twin Cities are renowned for their interest in sports and have long been ardent supporters of professional hockey; and I WHEREAS it is the consensus of the City Council of the City of Saint Paul that the best interests of the citizens of the Twin City area and 'Saint Paul specifically would be served if a National Hockey League franchise for the Twin -City area were to be located in:Saint Paul with facilities .at the Saint Paul Auditorium; and WHEREAS, said Franchise Seekers have offered to enter into a long -term lease with the City of Saint Paul on terms requiring in part the enlargement of the arena of the Saint Paul Auditorium to 14,000 seats at an estimated cost of $3, 500,000.00, , all as more fully, set forth in the proposed letter. of intent attached hereto as Exhibit "All, Now, Therefore, be it RESOLVED, That this City Council hereby expresses its abiding interest in extending every reasonable assistance to the Franchise Seekers in their efforts to bring a National Hockey..1eague franchise to the Twin Cities and pledges its cooperation in providing an expanded arena in its existing Municipal Auditorium adequate for National Hockey League play; and be it RESOLVED FURTHER, that in pursuance of this resolution and subject only to the requirements of pertinent statutes, ordinances, and the City Charter, that the Mayor and other officials of the City of Saint Paul be and they are hereby COUNCILMEN Yeas Nays Dalglish Holland Loss Meredith Peterson Rosen Mr. President, Vavoulis ions aas Tn Favor Against Adopted by the Council 19— Approved 19_ Mayor "INAL TO CITY CLERK 227151 151 ' CITY OF ST. PAUL COENCIL NO OFFICE OF THE CITY CLERK COUNCIL RESOLUTION — GENERAL FORM PRESENTED BY COMMISSIONER DATE _ Yeas Page 2. authorized and directed to execute on behalf of the City of ,Saint Paul the attached letter of intent and, upon granting to the Franchise Seekers of a National Hockey League franchise, to enter into more specific contractual terms and conditions between t,he- City of Saint Paul and said Franchise Seekers; and be it RESOLVED FURTHER, that the proper City officers of !.the City of Saint Paul are hereby authorized and directed to commit such acts and to execute such instruments as may be required by law to accomplish the purposes of this resolution. Wr"* q �"Rrqw � COUNCILMEN "' D-alglish �-lolland FLOSS Meredith N�Npeterson Nays \ ._RD&m-- Ivlr. President, Vavoulis 10M 6-62 FE9 4 1966 Adopted by the Council 19— FEB A ved 19— Tn Favor 0 Mayor Against PUBLISHER FEB 111966 •,OUrL1CATS TO MINTSI!` CITY OF ST. PAUL COUNCIL NO OFFICE OF THE CITY CLERK COUNCIL RESOLUTION — GENERAL FORM ►UESENTED tr COMMISSIONER DAB WHEREAS, a group of Twin Cities residents (hereinafter described as "Franchise Seekers ") are negotiating for a grant to them of a National Hockey League franchise to be located in the Twin Cities, State of Minnesota; and WHEREAS, the citizens of the Twin Cities are renowned for their interest in sports and have long been ardent supporters of professional hockey; and WHEREAS, it is the consensus of the City Council of the City of Saint Paul that the best interests of the citizens of the Twin City area and Saint Paul specifically would be served if a National Hockey League franchise for the Twin City area were to be located in Saint Paul with facilities at the Saint Paul Auditorium; and WHEREAS, said Franchise Seekers have offered to enter into a long -term lease with the City of Saint Paul on terms requiring in part the enlargement of the arena of the Saint Paul Auditorium to 11+1000 seats at an estimated cost of $3,500,000.00, all as more fully set forth in the proposed letter of intent attached hereto as Exhibit "All, Now, Therefore, be it RESOLVED, That this City Council hereby expresses its abiding interest in extending every reasonable assistance to the Franchise Seekers in their efforts to bring a National Hockey,League franchise to the Twin Cities and pledges its cooperation in providing an expanded arena in its existing Municipal Auditorium adequate for National Hockey League play; and be it RESOLVED FURTHER, that in pursuance of this resolution and subject only to the requirements of pertinent statutes, ordinances, and the City Charter, that the Mayor and other officials of the City of Saint Paul be and they are hereby COUNCILMEN Yeas Nays Dalglish Holland Loss Meredith Peterson Rosen Mr. President, Vavoulis IOU $-a In Favor Against Adopted by the Council 19_ Approved 19.— Mayor DUkICATt TO MINMR CITY OF ST. PAUL COUNCIL NO_427151 OFFICE OF THE CITY CLERK FILE COUNCIL RESOLUTION — GENERAL FORM PRESENTED BY COMMISSIONER DATE Yeas Page 2. authorized and directed to execute on behalf of the City of Saint Paul the attached letter of intent and, upon granting to the Franchise Seekers of a National Hockey League franchise, to enter into more specific contractual terms and conditions between the City of Saint Paul and said Franchise Seekers; and be it RESOLVED FURTHER, that the proper City officers of the City of Saint Paul are hereby authorized and directed to commit such acts and to execute such instruments as may be required by law to accomplish the purposes of this resolution. COUNCILMEN Dalglish Holland Loss Meredith Peterson —Roaea- Nays Mr. President, Vavoulis toM a0 FEB 1966. Adopted by the Council 19- r,�EEJ 4 1966 Approved 19— In Favor Mayor Against February 4, 1966 The Honorable Mayor and Members of the Council of the City of Saint Paul The undersigned corporation is in the process of applying for a National Hockey League Franchise for the Twin Cities to be played in the Arena of the Municipal Auditorium of the City of Saint Paul. Consequently, and as an inducement to the City of Saint Paul, the under- signed proposes that upon receipt by the undersigned of a Twin Cities franchise from the National Hockey League, that our corporation (which will have assets in excess of $2 000, 000. 00 and which said corporation is hereinafter described as the "club") successors or assigns, will contract with the City of Saint Paul on these terms and conditions: 1. The City of Saint Paul will agree to enlarge the existing Arena within the Municipal Auditorium to a seating capacity of at least 14, 000, per plans to be furnished by Convention Center Architects and Engineers, at a cost estimated at $3, 500, 000. 00, the City's obligation hereunder to be subject to the requirements of law. 2. The Club will rent the Arena, as revamped, from the City of Saint Paul for all of its home hockey games for a term of 15 years, commenc- ing on completion of the improvement, or such earlier date as to the parties may be agreeable; provided, however, that if hockey is played prior to completion of the improvement, rentals should be pro rated on a basis consistent with capacity. Said rental shall be at a minimum annual rate of $88, 000. 00 for the first $1, 100, 000. 00 of gross gate receipts exclusive of any excise taxes, said amount to be payable promptly and said amount to be supplemented by the Club's further agreement to pay an additional rental of 1076 of all Club's gate receipts in excess of $1, 100, 000. 00 ex- clusive of any excise taxes charged thereon. The Club will be entitled to three successive five -year options to renew said lease on identical terms. 3. The Club will staff the Arena on its professional hockey nights with all necessary attendants, including doormen, ushers, head usher, and matron. The Club will also handle all box office costs. 4. The City will undertake clean -up after games, and bill the Club there- for at 5010 of its actual cost. To the Council 2 February 4, 1966 5. The Club will be entitled to operate concessions throughout the entire Auditorium and not merely the Arena. The Club will pay the City currently 2010 of its gross receipts from said concessions for all events occurring anywhere in the Auditorium. 6. The City will retain the coat - checking concessions throughout the Auditorium and the concession as to catered banquets. 7. In the event of termination of the lease during the first ten years of the term, the Club will pay the City minimum damages at the rate of $75, 000. 00 per annum for the remaining term of the lease. If termination occurs after the tenth year of the term, minimum damages shall be computed at the rate of $50, 000. 00 per annum for the remaining term of the lease. Whenever termination occurs, said minimum damages shall apply against additional damages at an annual rate equal to the Club's average rental income for the three full fiscal years of the Club immediately preceding termination. 8. The Club will notify the City of Saint Paul in writing as soon as a fran- chise or a conditional franchise has been obtained. The City will then have ninety days within which to proceed with a more definitive agreement and to meet the requirements of law. 9. Notwithstanding any other provisions of this agreement, in the event of national emergency, act of God or act of Congress requiring or caus- ing suspension or disbanding of the National Hockey League, any such happening shall relieve the Club from performance under its lease during such period. 10. If the Club is successful in obtaining a National Hockey League Franchise for the Twin Cities area, the parties will be required to enter into a more detailed contract, at which time it is contemplated that such additional terms as may be usual and customary in such agreements shall be added as a part of such definitive undertaking. TWIN CITE KE C B, INC. B G. ssard, resident A tte st)obseelpA. Maun, Secretary To the Council 3 February 4, 1966 On behalf of the City of Saint Paul and pursuant to authority granted by Resolution of the Council, Council File No. 227151 ' ) approved February 4, 1966 , the undersigned hereby execute and approve this proposal on behalf of the City of Saint Paul. Mayor Commissioner of Libraries, Auditorium and Civic B ildings 42 4 City Cle Josepn J. Mitchell ity Comptroller City Comptroller D tnty Comptroller February 4, 1966 To the Honorable George J. Vavoulis and Members of the Council of the City of Saint Paul The firm of Maun, Hazel, Green, Hayes, Simon & Aretz represents Twin City Hockey Club,-Inc. In connection with a letter of intent tendered to you today by Twin City Hockey Club, Inc., you are advised that we construe certain portions of said letter of intent as follows: 1. In paragraph numbered 5 it is the intent of the Club that in the event a termination occurs under the basic hockey lease, all rights to concessions shall revert to the City of Saint Paul. 2. In paragraph numbered 9 it is the intent of the Club that the provisions therein contained would not apply if any suspension or disbanding should occur by reason of any act of the Club. p Ver truly yours, *-a,— Lawrence J. Hayes 0