HomeMy WebLinkAboutResolution No. 2013-025 Approving Issuance of Obligations By Lilydale to finance Calvin Christian School of Mpls. RESOLUTION NO.2013-25
RESOLUTION APPROVING THE ISSUANCE OF OBLIGATIONS BY THE
CITY OF LILYDALE,MINNESOTA TO FINANCE A PROJECT BY CALVIN
CHRISTIAN SCHOOL OF MINNEAPOLIS
BE IT RESOLVED, by the City Council (the "City Council") of the City of Edina, Hennepin
County,Minnesota(the"City"),as follows:
Section 1. Recitals.
1.01 Calvin Christian School of Minneapolis (the "Borrower") located at 4015 Inglewood
Avenue South, Edina, Minnesota, a Minnesota nonprofit corporation and organization described in
Section 501(c)(3) of the Internal Revenue Code of 1986, as amended (the "Code") desires to refinance
taxable indebtedness incurred for the activities described below and a portion of the costs asssociated with
the refinancing:
Improvements to the kindergarten through eighth grade, 180-student, school campus
located at 4015 Inglewood Avenue South, Edina,Minnesota,which it owns and operates,
consisting of (a)constructing and equipping an 8,600 square foot addition to the existing
main school building to provide a new lobby, media center (incorporating a library,
computer lab, office and conference room), office suite (including a reception area, three
administrative offices, a nursing office, a workroom and two single-stall restrooms); (b)
constructing and equipping a 1,075 square foot addition to the west building to provide
including a new entryway, a hallway and boys' and girls' restrooms; and (c) related
renovation to existing areas to provide a staff room, a learning resource room and a
tutoring room(the"Project").
1.02 It is anticipated that the refinancing will be pursuant to an issue of tax-exempt obligations
to be purchased by a lending institution which will require that such obligations be designated by the
issuer thereof as"qualified tax exempt obligations"under Section 265(b)(3)of the Internal Revenue Code
of 1986,as amended. Each issuer of"qualified tax exempt obligations"is limited to issuance of not more
than $10,000,000 of such obligations during each calendar year,whether designated or not.
1.03 It is anticipated that the City will issue obligations in calendar year 2013 in an amount in
excess of$10,000,000 to finance its own projects.
1.04 The City of Lilydale, Minnesota (the "Issuer") has agreed to issue tax-exempt bank
qualified revenue obligations, in one or more series, in an amount not to exceed $1,500,000 (the
"Obligations") to finance the Project. The Obligations will be issued pursuant to Minnesota Statutes,
Sections 469.152 through 469.165 as amended,relating to municipal industrial development(the"Act").
1.05 Minnesota Statues, Section 471.656 provides that a municipality may not issue
obligations to finance the acquisition or improvement of real property located outside of the corporate
boundaries of the issuer unless the municipality in which the real property to be improved is located
consents to the issuance of such obligations.
1.06 The tax exempt bond provisions of the Internal Revenue Code of 1986, as amended,
require that each jurisdiction containing a project to be financed with tax exempt obligations hold a public
hearing on the issuance.
CITY OF EDINA
4801 West 50th Street•Edina,Minnesota 55424
www.EdinaMN.gov.952-927-8861 • Fax 952-826-0390
Section 2. Public Hearin;Held.
2.01 An initial resolution was adopted by the Council on February 5, 2013, scheduling a
public hearing on the issuance of the Obligations and the proposal to undertake and finance the Project.
2.02 A Notice of Public Hearing was published in the Edina Sun Current, the City's official
newspaper and a newspaper of general circulation, calling a public hearing on the proposed issuance of
the Obligations and the proposal to undertake and finance the Project.
2.03 The City Council has, on March 5, 2013, held a public hearing on the proposal to
undertake and finance, through the issuance of the Obligations by the Issuer, the portion of the Project
located within the jurisdictional limits of the City,at which all those appearing who desired to speak were
heard and written comments were accepted.
Section 3. Approvals.
3.01 The issuance by the Issuer of the Obligations to refinance the Project is approved.
3.02 The Mayor and the Clerk, or the authorized designee of any of the foregoing, are
authorized and directed to execute and deliver such other documents or certificates needed by the Issuer
from the City for the sale of the Obligations.
Section 4. Limited Obli ag tion. The Obligations, when and if issued for the Project, shall
not constitute a charge, lien or encumbrance, legal or equitable, upon y property of the Issuer or the
City. (There will,however, be a charge, lien or encumbrance on the Pr 'ect, which is not an asset of the
Issuer or the City.) The Obligations,when and if issued, shall recite ins stance that the Obligations and
the interest thereon, are payable solely from revenues received from t oject and property pledged for
payment thereof,and shall not constitute a debt of the Issuer or the C
Passed and adopted by the City ouncil on March 5,2013.
ATTEST:
Debra A.Mangen,City Clerk James B. Hovlan—d,-Mayor
STATE OF MINNESOTA )
COUNTY OF HENNEPIN )SS
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
March 5,2013,and as recorded in the Minutes of said Regular Meeting.
WITNESS my hand and seal of said City this day of ,20_
City Clerk
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