Loading...
HomeMy WebLinkAboutResolution No. 2018-098 PH Revenue Bonds City of Bthel Walker Senior Housing RESOLUTION NO. 2018-98 RESOLUTION CALLING A PUBLIC HEARING FOR THE PURPOSE OF PROVIDING HOST APPROVAL FOR THE ISSUANCE OF REVENUE OBLIGATIONS BY THE CITY OF BETHEL BE IT RESOLVED by the City Council of the City of Edina, Minnesota (the "City") as follows: Section I. Recitals. 1.01. Pursuant to Minnesota Statutes, Chapter 462C, as amended (the "Act"), the City is authorized to carry out the public purposes described in the Act by providing for the issuance of revenue bonds to provide funds to finance or refinance multifamily housing developments (including independent living and assisted living facilities). 1.02. Minnesota Statutes, Section 471.656, as amended, authorizes a municipality to issue obligations to finance the acquisition or improvement of property located outside of the corporate boundaries of such municipality if the obligations are issued under a joint powers agreement between the municipality issuing the obligations and the municipality in which the property to be acquired or improved is located. Pursuant to Minnesota Statutes, Section 471.59, as amended, by the terms of a joint powers agreement entered into through action of their governing bodies, two municipalities may jointly or cooperatively exercise any power common to the contracting parties or any similar powers, including those which are the same except for the territorial limits within which they may be exercised and the joint powers agreement may provide for the exercise of such powers by one or more of the participating governmental units on behalf of the other participating units. 1.03. Walker Assisted Living Corporation I, a Minnesota nonprofit corporation ("Walker Assisted Living"), and Walker Senior Housing Corporation III, a Minnesota nonprofit corporation ("Walker Senior Housing," and together with the Walker Assisted Living, the "Borrower"), have proposed that the City approve the issuance by the City of Bethel, Minnesota (the "Issuer") of one or more series of revenue obligations (the "Bonds") in the approximate aggregate principal amount of $19,500,000, pursuant to Act, and Minnesota Statutes, Sections 471.59 and 471.656, as amended. The Borrower intends to apply a portion of the proceeds of the Bonds to (i) refinance a Fannie Mae loan provided to Walker Assisted Living and the associated prepayment premium for Walker Assisted Living's 72-unit senior assisted living facility located at 7400 York Avenue South in the City (the "Edina Project"); and (ii) finance capital improvements to the Edina Project. 1.04. Prior to the issuance of the Bonds by the Issuer, the City Council of the City is required to (i) conduct at public hearing in accordance with the requirements of the Act, and Section 147(f) of the Internal Revenue Code of 1986, as amended (the "Code") with respect to the proposed issuance of the Bonds; and (ii) approve the issuance of the Bonds by the Issuer to refinance, among other things, the Edina Project and finance capital improvements thereto. Section 2. Required Actions. 2.01. The City Council will meet at 7:00 p.m. on Wednesday, November 7, 2018, to conduct a public hearing and consider the proposed issuance of the Bonds by the Issuer in accordance with the CITY OF EDINA 4801 West 50th Street•Edina,Minnesota 55424 www.EdinaMN.gov•952-927-8861 • Fax 952-826-0390 Act and Minnesota Statutes, Sections 471.59 and 471.656, as amended, to refinance, among other things, the Edina Project and finance capital improvements thereto. 2.02. Kennedy & Graven, Chartered, as bond counsel to the Issuer, is hereby authorized and directed to publish on behalf of the City a notice of the public hearing, in substantially the form attached hereto as EXHIBIT A, in the Sun Current, the official newspaper of the City, and in the Star Tribune, a newspaper of general circulation in the City. The notice shall be published at least fourteen (14) days prior to the date of the public hearing. 2.03. The Borrower shall pay to the City any and all costs paid or incurred by the City in connection with the Bonds or the financing contemplated herein, heth,er or not the financing is carried to completion, and whether or not the Bonds or operative instru nts are executed and delivered. Approved by the City Council of the City of Edina, Minne a'th' 16th day of October, 2018. ATTEST: City Clerk Mayor STATE OF MINNESOTA ) COUNTY OF HENNEPIN ) CITY OF EDINA ) CERTIFICATE OF CITY CLERK I, the undersigned duly appointed and acting City Clerk for the City of Edina do hereby certify that the attached and foregoing Resolution was duly adopted by the Edina City Council at its Regular Meeting of October 16, 2018, and as recorded in the Minutes of said Regular Meeting. WITNESS my hand and seal of said City this day of , 20_ City Clerk 2 �49422v4 JAI131:2x0-19 EXHIBIT A NOTICE OF PUBLIC HEARING CITY OF EDINA,MINNESOTA NOTICE OF A PUBLIC HEARING TO BE CONDUCTED BY THE CITY OF EDINA WITH RESPECT TO THE ISSUANCE OF REVENUE OBLIGATIONS BY THE CITY OF BETHEL NOTICE IS HEREBY GIVEN that the City Council of the City of Edina, Minnesota (the "City"), will hold a public hearing on Wednesday, November 7, 2018, at or after 7:00 p.m. in the City Council Chambers at City Hall, located at 4801 West 50'h Street in the City, to consider a proposal that the City grant host city approval to the issuance of one or more series of revenue obligations (the "Bonds"), in the approximate aggregate principal amount of $19,500,000, by the City of Bethel, Minnesota (the "Issuer) under Minnesota Statutes, Chapter 462C, as amended, and Minnesota Statutes, Sections 471.59 and 471.656, as amended, for the benefit of Walker Assisted Living Corporation I, a Minnesota nonprofit corporation ("Walker Assisted Living"), and Walker Senior Housing Corporation III, a Minnesota nonprofit corporation ("Walker Senior Housing," and together with Walker Assisted Living, the "Borrower"). The Borrower intends to apply a portion of the proceeds of the Bonds to (i) refinance a Fannie Mae loan provided to Walker Assisted Living and the associated prepayment premium for Walker Assisted Living's 72-unit senior assisted living facility located at 7400 York Avenue South in the City (the "Edina Project"); and (ii) finance capital improvements to the Edina Project. The Bonds will be special, limited obligations of the Issuer, and the Bonds and interest thereon will be payable solely from the revenues and assets pledged to the payment thereof. No holder of any Bonds will ever have the right to compel any exercise of the taxing power of the City to pay the Bonds or the interest thereon, nor to enforce payment against any property of the City. The Bonds are to be payable solely from revenues and security provided by the Borrower and pledged to the payment of the Bonds. At the time and place fixed for the public hearing, the City Council will give persons who appear at the hearing an opportunity to express their views with respect to the proposal. In addition, interested persons may direct any questions or file written comments respecting the proposal with the City Clerk, at or prior to said public hearing. Dated: [Date of Publication] BY ORDER OF THE CITY COUNCIL OF THE CITY OF EDINA, MINNESOTA /s/ Debra Mangen City Clerk City of Edina, Minnesota 538422v4.1AE BE250-19 A-1