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HomeMy WebLinkAbout10.01.81 MINUTES OF MAPLEW00D CITY COUNCIL 7:00 P.M., Thursday, October 1, 1981 Council Chambers, Municipal Building Meeting No. 81-24 - A. CALL TO ORDER A regular meeting of the City Council of Maplewood, Minnesota was held in the Council Chambers, Municipal Building, and was calledto order at 7:00 P.M. by Mayor Greavu. B. ROLL CALL John C. Greavu, Mayor Present Norman G. Anderson, Councilman Present Gary W. Bastian, Councilman Present Frances L. Juker, Councilperson Present Earl L. Nelson, Councilman Present C. APPROVAL OF MINUTES Minutes No. 81-23 (September 17, 1951) Councilman Bastian moved to approve the Minutes of Meeting No. 81-23 (September 17, 1981) as corrected: Page l: Item B Anderson Page 1: Item D-7 Racquetball Seconded by Councilman Anderson. Ayes - a11. D. APPROVAL OF AGENDA ~ - Mayor Greavu moved to approve the Agenda as amended: 1. Resolution 2. Commercial Zone Change 3. Cable TV 4. Junction Avenue 5. Concordia Arms 6. Maplewood Plaza 7. Street Lettering 8. Comments - Highway 120 9. Police Sergeants Salaries Seconded by Councilman Bastian. Ayes - a11. E. CONSENT AGENDA Council removed Items 3 and 4 from the Consent Agenda to becomeItems H 2 and 3; Items 2 and 8 to become Items J 11 and 12. Councilman Anderson.;moved, seconded by Councilman Bastian, Ayes a11, to approve the Consent Agenda Items 1, 5, 6, 7, 9, 10, 11 and 12 as recommended. - 1 - LO/1 1. Accounts Payable Approved the accounts (Part I - Fees, Services and Expenses - Check No. 006288 through Check No. 006335 - $86,010.16; Check No. 011201 through'Check 011318.$117,097.88: Part II - Payroll Check No. 02834 through Check No. 02972 - $53,700.25). to be paid in the amount of $256,808.29. 5. Budget Transfer: Cable TV Approved a budget transfer of $1,000 from the General Fund Contingency account to the Cable-TV Commission account. 6. In House Engineering Charges: Southlawn Authorized a budget transferof $6,700 from the Special AssessmentFund to the General Fund for in house engineering and administrative charges on the Southlawn Improvement Project. 7. Contributions from Lions Club Accept the donation of $300 from the North Maplewood.Lions Club Project Fund towards the installation of protective fencing and forward a letter of appreciation. 9. Supplemental Agreement 79-4 Resolution No. 81-10-190 WHEREAS, the City Council of Maplewood, Minnesota has heretofore ordered Improve- ment Project No. 79-4 and has let a construction contract therefore pursuant to Minn- esota Statutes, Chapter 429; and WHEREAS, it is now necessary and expedient that said contract be modified and designated as Improvement Project 79-4, Contract Amendment #2. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF MAPLEWOOD, MINNESOTA, that the Mayor and City Clerk are hereby authorized and directed to modify the existing contract by executing said Contract Amendment $2. 10. Supplemental Agreement 78-9 Resolution No. 81-10-191 WHEREAS, the City Council of Maplewood, Minnesota has heretofore ordered Improve- ment Project No. 78-9 and has let a construction contract therefore pursuant to Minn- esota Statutes, Chapter 429; and WHEREAS, it is now necessary and expedient that said contract be modified and designated as Improvement Project 78-9 Supplemental Agreement No. 8; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF MAPLEWOOD, MINNESOTA, that the Mayor and City Clerk are hereby authorized and directed to modify the existing contract by executing said Supplemental Agreement No. 8. 11. Certification of Election Judges Resolution 81-10-192 - 2 - 10/1 RESOLVED, that the City Council of Maplewood, Minnesota, accepts the following list of Election Judges for the 1981 City General Election, Tuesday, November 3, 1981: Precinct No. 1 Precinct No. 7 EleanorMathews, Chairman Margaret Wolszon, Chairman _ Lorraine Schneider - Myrtle Ma1m Maryls Hartman Betty Haas Mike Wasiluk Wyman Hagemen Precinct No. 2 Precinct No. S Pat Thompson, Chairman Jean Myers, Chairman Evelyn Axdahl Lorraine Fischer - Kathleen Dittel Rita Frederickson Bea Hendricks Edith Stottlemeyer Precinct No. 3 Precinct No. 9 Jeanne Schadt, Chairman Ida Szczapanski, Chairman Barb Leiter Mary Johnson Doris Broady Bernadine Mortensen Charlotte Wasiluk Dolores Mallet Precinct No. 4 Precinct No. 10 Caroline Warner, Chairman Anne Fosburgh, Chairman Joyce Lipinski Mary Lou Lieder Marjory Tooley Dorothy Arbore Nancy Embertson Pat Werden Elsie Wiegert Precinct No. 11 Precinct No. 5 - Delores Lofgren, Chairman Jeanne Hafner, Chairman Maxine Olson Emma K1ebe Shirley Luttrell Sibbie Sandquist Phyllis Erickson Precinct No. 12 Precinct No. 6 Mary Libhardt, Chairman Audrey Duellman Kathy Supan, Chairman Deloris Fastner Linda Prigge Mildred Dehen Linda Ashfield Joanne Houghton 12. Final Approval - Revenue Note - Gervais Avenue Associates Resolution No. 81-10-193 BE IT RESOLVED by the City Council of the City of Maplewood, Minnesota, as follows: ARTICLE ONE DEFINITIONS, LEGAL AUTHORIZATION AND FINDINGS BE IT RESOLVED by the City Council of the City of Maplewood, Minnesota, as follows: - 3 - 10/1 ARTICLE ONE DEFINZNTIONS, LEGAL AUTHORIZATION AND FINDINGS 1-1. Definitions. The terms used herein, unless the context hereof shall require otherwise shall have the following meanings, and any other teens defined in the Loan Agreement shall have the same meanings when used herein as assigned to them in the Loan Agreement unless the context or use thereof indicates another or different meaning or intent. Act: the Minnesota Municipal Industrial Development Act, Minnesota Statutes, Chapter 474, as amended; Assignment of Leases and Rents: the agreement to be executed by the Borrower assigning all the rents, issues and profits derived from the Project to the Lender to secure the repayment of the Note and interest thereon; Assignment of the Loan Agreement: the agreement to be executed by the City and the Lender assigning the Loan Agreement to the Lender; Bond Counsel: the firm of Briggs and Morgan, Professional Association, of St. Paul and Minneapolis, Minnesota, and any opinion of Bond Counsel shall be a written opinion signed by such Counsel; Borrower: Gervais Associates, a Minnesota general partnership, its successors, assigns, and any surviving, resulting or transferee business entity which may assume its obligatiions under the Loan Agreement; Cpl the City of Maplewood, Minnesota, its successors and ass-1gns; Guaranty: the personal guaranty to be executed by Richard J. Schreier and Patricia A. Schreier, in favor of the Lender; Im~~rovements: the structures and other improvements, including any tangible personal property, constructed or installed by the Borrower on the Land in accordance with the Plans and Specifications; Land: the real property and any other easements and rights described in Exhibit A attached to the Loan Agreement; Leases: all leases now or hereafter affecting the Land; Lender: Northwestern National Bank Southwest, Bloomington, Minnesota, its successors and assigns; -4- 1u,'1 Loan Agreement: the agreement to be executed by the City and the Borrower, providing for the issuance of the Note and the loan of the proceeds thereof to the Borrower, including any amendments or supplements thereto made in accordance with its provisions; Mortgage: the Mortgage, Security Agreement and Fixture Financing Statement to be executed by the Borrower as mortgagor, to the Lender, as mortgagee, securing payment of the Note and interest thereon; Note: the $650,000 Commercial Development Revenue Note of 1981 (Gervais Associates, Project), to be issued by the City pursuant to this Resolution and the Loan Agreement; Note Register: the records kept by the City Clerk to provide for the registration of transfer of ownership of the Note; Plans and Specifications: the plans and specifications for the construction and. installation of the Improvements on the Land, which are approved by the L@nder; Principal Balance: so much of the principal sum on the Note as from time to.time may have been advanced to or for the benefit of the City and remains unpaid at any time; Project: the Land and Improvements as they may at any time exist; Project Costs: the total of all "Construction Costs" and "Loan and Carrying Charges," as those terms are defined in the Loan Agreement; Resolution: this Resolution of the City adopted October 1, 1981, together with any supplement or amendment thereto. All refEerences in this instrument to designated "Articles," "Sections" and other subdivisions are to the designated Articles, Sections and subdivisions of this instrument as originally executed. The words "herein," "hereof" and "hereunder" and other words of similar import refer to this Resolution as a whole not to any particular Article, Section or subdivision. 1-2. Legal Authorization. The City is a political subdivision of the State of Minnesota and is authorized under the Act to initiate the revenue producing project herein referred to, and to issue and sell the Note for the purpose, in the manner and upon the terms and conditions set forth in the Act and in this Resolution. - 5 - l0/1 1-3. Findings. The City Council has heretofore determined, and does hereby dgtermine, as follows: (1) The City is authorized by the Act to enter into a Loan Agreement for the public purposes expressed in the Act; (2) The City has made the necessary arrangements with the Borrower for the establishment within the City of a Project consisting of certain property all as more fully described in the Loan Agreement and which will be of the character and accomplish the purposes provided by the Act, and the City has by this Resolution authorized the Project and execution of the Loan Agreement, the Assignment of Loan Agreement and the Note which documents specify the terms and conditions of the acquisition and financing of the Project; (3) in authorizing the Project the City's purpose is, and in its judgment the effect thereof will be, to promote the public welfare by: the attraction, encouragement and development of economically sound industry and commerce so as - to prevent, so far as possible, the emergence of blighted and marginal lands and areas of chronic unemployment; the develop- ment of revenue-producing enterprises to use the available resources of the community, in order to retain the benefit of the community's existing investment in educational and public service facilities; the halting of the movement of talented, educated personnel of all ages to other areas thus preserving the economic and human resources needed as a base for providing governmental services and facilities; the provision of acces- sible employment opportunities for residents in the area; the expansion of an adequate tax base to finance the increase in the amount and cost of governmental services, including educational services for the school district serving the community in which the Project is situated; (4) the amount estimated to be necessary to finance the Project Costs, including the costs and estimated costs permitted by Section 474.05 of the Act, will require the issuance of the Note in the principal amount of $650,000 as hereinafter provided; (5) it is desirable, feasible and consistent with the objects and purposes of the Act to issue the Note, for the purpose of financing the Project; (G) the Note and the interest accruing thereon do not constitute an indebtedness of the City within the meaning of any constitutional or statutory limitation and do not constitute or give rise to a pecuniary liability or a charge against the general credit or taxing powers of the City and neither the full faith and credit nor the taxing powers of the City is pledged for the payment of the Note or interest thereon; and - 6 - 10/1 (7) They Note is an industrial development bond within the meaning of Section 103(b) of the Internal Revenue Code and is to be issued within the exemption provided under subparagraph (D) of Section 103(b)(6) of the Code with respect to an issue of $10,000,000 or less; provided that nothing herein shall prevent the City from hereafter qualifying the Note under a different exemption if, and to the extent, such exemption is permitted by law and consistent with the objects and purposes of the Project. 1-4. Authorization and Ratification of Pro"ect. The City has heretofore and does hereby authorize the Borrower, in accordance with the provisions of Section 474.03(7) of the Act, to provide for the construction and installation of the Project pursuant to the Plans and Speci- fications by such means as shall be available to the Borrower and in the manner determined by the Borrower, and without advertisement for bids as may be required for the construction and acquisition of municipal facilities; and the City hereby ratifies, affirms, and approves all actions heretofore taken by the Borrower consistent with and in anticipation of such authority and in compliance with the Plans and Specifications. ARTICLE TWO NOTE 2-1. Authorized Amount and Form of Note. The Note issued pursuant to this Resolution shall be in substantially the form set forth herein, with such appropriate variations, omissions and insertions as are permitted or required by this Resolution, and in accordance with the further provisions hereof; and the total principal amount of the Note that may be outstanding hereunder is expressly limited to $650,000 unless a duplicate Note is issued pursuant to Section 2-7. The Note shall be in substantially the following form: UNITED STATES OF AI4ERICA STATE OF t4INNESOTA COUtdTY OF RAMSF.Y CITY OF MAPLEWOOD Commercial Development Revenue Note of 1981 (Gervais Associates Project) $650,000 - ~ - 10/1 FOR VALUE RECEIVED the CITY OF NiAPLEWOOD, Ramsey County, Minnesota, (the "City") hereby promises to pay Northwestern tational Bank Southwest, Bloomington, Minnesota (the "Lender"), its successors or registered assigns, from the - source and in the manner hereinafter provided, the principal sum of Six Hundred Fifty Thousand Dollars ($650,000), or so much thereof as may have been advanced to or for the benefit of the City and remains unpaid from time to time (the "Principal Balance"), with interest thereon at the rate of seventy-five percent (75~) of the Prime Rate (as hereinafter defined) per annum which is in effect at Northwestern National Bank Southwest, in any coin or currency which at the time or times of payment is legal tender for the payment of public or private debts in the United States of America, in accordance with the terms hereinafter set forth. As used herein "Prime Rate" refers to that interest rate publicly announced by the Lender from time to time as its interest rate basis for commercial borrowing with changes in the interest rate charged hereunder to be effective on the same day as changes in the Prime Rate. 1. (a) The Principal Balance shall be paid in consecutive equal monthly installments based on the amortization of the Principal Balance over 300 months commencing on the first day of the calendar month next succeeding October 1981, until the tenth year anniversary of the date hereof, when there shall be a final monthly install- . ment for the remaining Principal Balance plus accrued interest due (the "Final taturity Date"). payments shall be applied first to interest due on the Principal Balance and thereafter to reduction of the Principal Balance. - (b) Zf the interest on this Note should become subject to federal income taxation pursuant to a "Determination of Taxability" as that term is defined in Section 4.07 of the Loan Agreement hereinafter referred to, and the Lender delivers to the Borrower a copy of the notice of the "Determination of Taxability", the Lender shall be entitled to receive upon demand the amount of additional federal and state income taxes and penalties and interest thereon which the Lender estimates it will incur for or with respect to its current and past tax years and the tax year in which the date specified in said notice occurs, by reason of such Determination of Taxability, all as provided in Section 4.07 of the Loan Agreement. 2. In any event, the payments hereunder shall be sufficient to pay all principal and interest due, as such principal and interest becomes due, and to pay any premium or penalty, at maturity, upon redemption, or otherwise. Interest shall be computed on the basis of a 360 day year, but charged for the actual number of days principal is unpaid. - s - to/i 3. If the Lender should not receive on the first day of any month all of the principal and interest then due on the Note, and if the City should continue to be in arrears through the fifteenth day of such month, then, in addition to all other sums due hereunder, the Lender shall be entitled to receive on the sixteenth day of such month a service charge equal to four 'percent (4.00$) of the delinquent principal and interest. 4. Principal and interest and premium due hereunder shall be payable at the principal office of the Lender, or at such other place as the Lender may designate in writing. 5. This Note is issued by the City to provide funds for a Project, as defined in Section 474.02, Subdivision la, _ Minnesota Statutes, consisting of the acquisition of real estate, and the construction of a storage warehouse thereon, pursuant to a Loan .Agreement of even date herewith between the City and (the "Borrower") (the "Loan Agreement"), and this Note is further issued pursuant to and in full compliance with the Constitution and laws of the State of Minnesota, particularly Chapter 474, Minnesota Statutes, and pursuant to a resolution of the City Council duly adopted on October 1, 1981 (the "Resolution"). 6. This Note is secured by an assignment of the Loan Agreement by the City to the Lender, a Mortgage, Security Agreement and Fixture Financing Statement, of even date herewith between the Borrower, as mortgagor, and the Lender as mortgagee (the "Mortgage") and by an Assignment of Leases and Rents, of even date herewith, from the Borrower to the Lender (the "Assignment of Leases and Rents"). 7. The Lender may extend the times of payments of interest and/or principal of or any penalty or premium due on this Note, including the date of the Final Maturity Date, without notice to or consent of any party liable hereon and without releasing any such party. However, in no event may the Final Maturity Date be extended beyond thirty (30) years from the date hereof. 8. This Note may be prepaid in full at any time, without a prepayment penalty. 9. This Note is further subject to prepayment by the City, at any time, without a premium, in whole or in part, upon the occurrence of certain events of damage, destruction or condemnation of the property secured by the tortgage, as specified in Section 5.02 of the Loan Agreement and Section 3-1 of the Resolution, or, at the option of the Lender, within 120 days after the. Lender receives a notice of a "Determination of Taxability" as that term is defined in Section 4.07 of the Loan Agreement. - 9 - l0/1 10. The monthly payments due under paragraph 1 hereof, shall continue to be due and payable in full until the entire Principal Balance and accrued interest due on this Note have been paid regardless of any partial prepayment made hereunder. Y 11. As provided in the Resolution and subject to certain limitations set forth therein, this Note is transferable upon the books of the City at the office of the City Clerk, by the Lender in person or by his agent duly authorized in writing, at the Lender's expense, upon surrender hereof together with a written instrument of transfer satisfactory to the City Clerk, duly executed by the Lender or his duly authorized agent. Upon such transfer the City Clerk will note the date of registration and the name and address of the new registered Lender in the registration blank appearing below. The City may deem and treat the person in whose name the Note is last registered upon the books o£ the City with such registration noted on the Note, as the absolute owner hereof, whether or not overdue, for the purpose of receiving payment of or on the account, of the Principal Balance, redemption price or interest and for all other purposes, and all such payments so made to the Lender or upon his order shall be valid and effective to satisfy and discharge the liability upon the Note to the extent of the sum or sums so paid, and the City shall not be affected by any notice to the contrary. 12. All of the agreements, conditions, covenants, provisions and stipulations contained in the Resolution, the Mortgage, the Assignment of Leases and Rents and the Loan Agreement are hereby made a part of this Note to the same extent and with the same force and effect as if they were fully set forth herein. 13. This Note and interest thereon and any penalty or premium due hereunder are payable solely from the revenues and proceeds derived from the Loan Agreement, the Mortgage and the Assignment of Leases and Rents, and do not constitute a debt of the City within the meaning of any constitutional or statutory limitation, are not payable from or a charge upon any funds other than the revenues and proceeds pledged to the payment thereof, and do not give rise to a pecuniary liability of the City or, to .the extent permitted by law, of any of its officers, agents or employees, and no holder of this Note shall ever have the right to compel any exercise of the taxing power of the City to pay this Note or the interest thereon, or to enforce payment thereof against any property of tYe City, and_ this Note does not constitute a charge, lien or encumbrance, legal or equitable, upon any property of the City, and the agreement of the City to perform or cause the performance of the covenants and other provisions herein referred to shall be subject at all times to the availability of revenues or other funds furnished for such purpose in accordance with the Loan Agreement, sufficient to pay all costs of such performance or the enforcement thereof. - 10 - l0/1 14. It is agreed that time is of the essence of this Note. In the event of failure by the City to pay when due any monthly installment of principal or interest or any premium due hereunder, or if an Event of Default shall occur, as set forth in the D7ortgage, the Assignment of Leases and Rents, or the Loan Agreement, then the Lender shall have the right and option to declare the Principal Balance and accrued interest thereon, immediately due and payable, but solely from sums made available under the Loan Agreement and b7ortgage. Failure to exercise such option at any time shall not constitute a waiver of the right to exercise the same at any subsequent time. 15. The remedies of the Lender, as provided herein and in the Mortgage, the Assignment of Leases and Rents, the Loan Agreement are not exclusive and shall be cumulative and concurrent and may be pursued singly, successively or together, at the sole discretion of the Lender, and may be exercised as often as occasion therefor shall occur; and the failure to exercise any such right or remedy shall in no event be construed as a waiver or release thereof. 16. The Lender shall not be deemed, by any act of omission or commission, to have waived any of its rights or remedies hereunder unless such waiver is in writing and signed by the Lender and, then only to the extent specifically set forth in the writing. A waiver with reference to one event shall not be construed as continuing or as a bar to or waiver of any right or remedy as to a subsequent event. 17. This Note has been issued without registration under state or federal or other securities laws, pursuant to an exemption for such issuance; and accordingly the Note may not be assigned or transferred in whole or part, nor may a participation. interest in the Note he given pursuant to any participation agreement, except in accordance with an applicable exemption from such registration requirements. IT IS HEREBY CEF~'IFIED AND RECITED that all conditions, acts and things required to exist, happen and be performed precedent to or in the issuance of this Note do exist, have happened and have been performed in regular and due form as required by law. - IN WITNESS tVHEREOF, the City has caused this Note to be duly executed in its name by the manual signatures of the Mayor and City Clerk and has caused the corporate seal to be affixed hereto, and has caused this Note to be dated 1981. CITY OF MAPLEWOOD, MINNESOTA Mayor - 11 - 10/1 Attest: City Clerk (SEAL) PROVISIONS AS TO REGISTRATION The ownership of the unpaid Principal IIalance of this Note and the interest accruing thereon is registered on the books of the City of Maplewood in the name of the holder last noted below. Date of Name and address Signature of Registration Registered Owner City Clerk Northwestern National Bank Southwest - 7900 Xerxes Avenue So. October 1981 Bloomington, Mn. 55431 - 12 - 10/1 2-2. The Note. The Note shall be dated as of the date of delivery, shall be payable at the times and in the manner, shall bear interest at the rate, and shall be subject to such other terms and conditions as are set forth therein. 2-3. Execution. The Note shall be executed on behalf of the City by the signatures of its 67ayor and City Clerk and shall be sealed with the seal of the City. in case any officer whose signature shall appear on the Note shall cease to be such officer before the delivery of the Note, such signature shall nevertheless be valid and sufficient for all purposes, the same as if had remained in office until delivery. 2-4. Delivery of Note. Before delivery of the Note there shall be filed with the Lender (except to the extent waived by the Lender) the following items: (1) an executed copy of each of the following documents: (A) the Loan Agreement and Assignment of the Loan Agreement; - (B) the Mortgage; (C) the Assignment of Leases and Rents; (D) the Guaranty; (E) a Cost Certificate signed by the Borrower certifying the use of the proceeds of the Note. (2) an opinion of Counsel for the Borrower in scope and substance satisfactory to Bond Counsel as to the authority of the Borrower to enter into the transaction and other related matters; (3) the opinion of Bond Counsel as to the validity and tax exempt status of the Note; " (4) such other documents and opinions as Bond Counsel may reasonably require for purposes of rendering its opinion required in subsection (3) above or that the Lender may require for the closing. Upon delivery of the Note, the Lender shall, on behalf of the City, advance funds for payment of Project Costs. The Lender or the Borrower shall provide the City with a full accounting of all funds disbursed for Project Costs. - 13 - 10/1 2-5. Intentionally Omitted 2-6. Registration of Transfer. The City will cause to be kept at the office of the City Clerk a Note Register in which, subject to such reasonable regulations as it may prescribe, the City shall provide for the registration of transfers of ownership of the Note. The Note shall be transferable upon the Note Register by the Lender in person or by its agent duly authorized in writing, upon surrender of the Note together with a written instrument of transfer satisfactory to the City Clerk, duly executed by the Lender or its duly authorized agent. Upon such transfer the . City Clerk shall note the date of registration and the name an3 address of the new Lender in the Note Register and in the registration blank appearing on the Note. 2-7. Mutilated, Lost or Destroyed Note. In case any Note issued hereunder shall become mutilated. or be destroyed or lost, the City shall, if not then prohibited by law, cause to be executed and delivered, a new - Note of like outstanding principal amount, number and tenor in exchange and substitution for and upon cancellation of such mutilated Note, or in lieu of and in substitution for such Note destroyed or lost, upon the Lender's paying the reasonable expenses and charges of the City in connection therewith, and in the case of a Note destroyed or lost, the filing with the City of evidence satisfactory to the City that such Note was destroyed or lost, and furnishing the City with indemnity satisfactory to it. If the mutilated, destroyed or lost tdote has already matured or been called for redemption in accordance with its terms it shall not be necessary to issue a new Note prior to payment. . 2-8. Ownership of Note. The City may deem and treat the person in whose name the Note is last registered in the Note Register and by notation on the Note whether or not such Note shall be overdue, as the absolute owner of such Note for the purpose of receiving payment of or on account of the Principal Balance, redemption price or interest and for all other purposes whatsoever, and the City shall not be affected by any notice to the contrary. 2-9. Limitation on Note Transfers. The Note has been issued without registration under state or other securities laws, pursuant to an exemption for such issuance; and accordingly the Note may not be assigned or transferred in whole or part, nor may a participation interest in the Note be given pursuant to any participation agreement, except in accordance with an applicable exemption from such registration requirements. - 14 - l0/1 ARTICLE THREE PREPAYMENT OF NOTE BEFORE MATURITY 3-1. Prepayment. ' (1) In the event of (a) damage to or destruction of the Project or condemnation of the Project or any part thereof and (b) if Borrower does not elect to restore the Project pursuant to Section 2.04 of the Mortgage, the Note shall be subject to prepayment by the City from funds furnished by the Borrower at the time, to the extent and in the manner set forth in Section 5.02 of the Loan Agreement. (2) The Note may be otherwise prepaid in accordance with the provisions of the Note. 3-2. Termination of Interest. Upon deposit of any prepayment together with any required premium, with the Lender and the giving of any notice required, the principal amounts prepaid shall, after such date, _ cease to bear interest. ARTICLE FOUR GENERAL COVENANTS 4-1. Payment of Principal and Interest. The City covenants that it will promptly pay or cause to be paid the principal of and interest on the Note at the place, on the dates, from the source and in the manner provided herein and in the tdote. The principal and interest are payable solely from and secured by revenues and proceeds derived from- the Loan Agreement, the Mortgage and the Assignment of Leases and Rents, which revenues and proceeds a~:e hereby specifically pledged to the payment thereof in the manner and to the extent specified in the Note, the Loan Agreement, the Mortgage and the Assignment of Leases and Rents; and nothing in the Note or in this Resolution shall be considered as assigning, pledging or otherwise encumbering any other funds or assets of the City. 4-2. Performance of and Authority for Covenants. The City covenants that it will faithfully perform at all times any and all covenants, undertakings, stipulations and provisions contained in this Resolution, in the Note executed, authenticated and delivered hereunder and in all proceedings of - is - lo/ 1 the City Council pertaining thereto; that it is duly authorizeti under the Constitution and laws of the State of Minnesota including particularly and without limitation the Act, to issue the Note authorized hereby, pledge the revenues and assign the Loan Agreement in the manner and to the extent set forth in this Resolution, the Note and the Loan Agreement and Assignment of Loan Agreement; that all action on its part for the issuance of the Note and for the execution and delivery thereof has been duly and effectively taken; and that the Note in the hands of the Lender is and will be a valid and enforceable obligation of the City according to the terms thereof. 4-3. Enforcement and Performance of Covenants. The City agrees to enforce all covenants and obligations of the Borrower under the Loan Agreement and to perform all covenants and other provisions pertaining to the City contained in the Note and the Loan Agreement. 4-4. Nature of Security. Notwithstanding anything contained in the Note, the Mortgage, the Assignment of Leases and Rents, the Loan Agreement or any other document referred to in Section 2-4 to the contrary, under the provisions of the Act the Note may not be payable from or be a charge upon any funds of the City other than the revenues and proceeds pledged to the payment thereof, nor shall the City be subject to any liability thereon, nor shall the Note otherwise contribute or give rise to a pecuniary liability of the City or, to the extent permitted by law, any of the City's officers, employees and agents. No holder of the Note shall ever have the right to compel any exercise of the - taxing power of the City to pay the Note or the interest thereon, or to enforce payment thereof against any property of the City; and the Note shall not constitute a charge, lien or encumbrance, legal or equitable, upon any property of the City; and the Note shall not constitute a debt of the City within the meaning of any constitutional or statutory limitation; but nothing in the Act impairs the rights of the Lender to enforce the covenants made for the security thereof as provided in this - Resolution, the Loan Agreement, the Mortgage, the Assignment of Leases and Rents, and in the Act, and by authority of the Act the City has made the covenants and agreements herein for the benefit of the Lender; provided that in any event, the - agreement of the City to perform or enforce the covenants and other provisions contained in the Note and the Loan Agreement - shall be subject at all times to the availability of revenues under the Loan Agreement sufficient to pay all costs of such performance or the enforcement thereof, and the City shall not be subject to any personal or pecuniary liability thereon. - 16 - 10/1 ARTICLE FIVE MISCELLANEOUS 5-1. Severability. If any provision of this Resolution shall be held or deemed to be or shall, in fact, be inoperative or unenforceable as applied in any particular case in any jurisdiction or jurisdictions or in all jurisdictions or in all cases because it conflicts with any provisions of any constitution or statute or rule or public policy, or for any other reason, such circumstances shall not have the effect of rendering the _ provision in question inoperative or unenforceable in any other case or circumstance, or of rendering any other provision or provisions herein contained invalid, inoperative, or unenforceable to any extent whatever. The invalidity of any one or more phrases, sentences, clauses or paragraphs in this Resolution contained shall not affect the remaining portions of . this Resolution or any part thereof. _ 5-2. Authentication of 'Transcript. The officers of the City are directed to furnish to Bond Counsel certified copies of this Resolution and all documents referred to herein, and affidavits or certificates as to all other matters which are reasonably necessary to evidence the validity of the Note. All such certified copies, certificates and affidavits, including any heretofore furnished, shall constitute recitals of the City as to the correctness of all statements contained therein. 5-3. Registration of Resolution. The City Clerk is authorized and directed to cause a copy of this Resolution to be filed with the County Auditor of Ramsey County, and to obtain from said County Auditor a certificate that the Note as a bond of the City has been duly entered upon his bond register. 5-4. Authorization to Execute Agreements. The forms of the proposed Loan Agreement, the Assignment of Loan Agreement, the Guaranty, the Mortgage a_nd the Assignment of Leases and Rents are hereby approved in substantially the form heretofore presented to the City Council; and the Mayor and City Clerk of the City are authorized to execute the Loan Agreement and the Assignment of Loan Agreement, in the name of and on behalf of the City and - l~ - to/l such other documents as Bond Counsel consider appropriate in connection with the issuance of the Note. Zn the event of the absence or disability of the Mayor or the City Clerk such officers of the City as, in the opinion of the City Attorney, may act in their behalf, shall without further act or authorization of the City Council do all things and execute all instruments and documents required to be done or executed by such absent or disabled officers. Adopted: October 1981 /s/ John C. Greavu Mayor of the City of tdaplewood Attest: /s/ Lucille E. Aurelius - City Clerk - 18 - l0/1 H. UNFINISHED BUSINESS 1. IRB Bond Counsel -Guidelines a. Manager Evans stated the City attorney has recommended that when individuals apply for an Industrial Revenue Note they be required to retain the firm of Briggs and Morgan as Bond Counsel. b. Councilman Anderson movedthat Briggs and Morgan be designated as Bond Counsel for Industrial Revenue Notes. - Seconded by Mayor Greavu. Ayes - a11. c. Councilman Anderson moved to revise the Application Guidelines for Industrial Revenue Notes as follows: Application Processing Guidelines - 1. City financing of the project shall be limited to the issuance of a single mortgage revenuenote, to be marketed as a private placement. 2. Final approval shall not be granted by the City Council until the project has received approval with respect to zoning, site design, building design, or platting. 3. The applicant shall sign a memorandum of agreement providing that they will pay all costs involved in the legal and fiscal review of the proposed project and all costs involved in the issuance of notes to financethe project. 4. The City reserves the right to deny any application for financing at any stage of the proceedings prior to adopting the resolution authorizingissuance of the note. 5. The applicant, at the time of the public hearing, shall present schematics of theirproposal to give the City Council reasonable notice as to the nature and sign of their proposed building. 6. Briggs and Morgan are to be retained as Bond Counsel. The purpose of the above data is to evaluate your proposal under City laws and policies. You may refuse to provide this data. Refusal, however, may jeopardize approvalof your application. The above information will made public to all who request it. Seconded by Councilman Nelson. Ayes - a11. 2. Hearing Date: Revenue Note - Maple Ridge Mall a. Manager Evans stated J.S.B. Realty and Development Company has submitted an application for a 5.5 million dollars revenue note to construct the Maple Ridge Mall-at the Northwest corner of the 11th Avenue and Gervais Avenue. b. Councilman Anderson introduced the following resolution and moved its adoption: - 19 - 10/1 10/1 81 - 10 - 194 ' RESOLUTION RELATING TO A PROJECT UNDER THE MUNICIPAL INDUSTRIAL DEVELOPMENT ACT - CALLING FOR A PUBLIC HEARING THEREON BE. IT RESOLVED by the City Council of the City of Maplewood, Minnesota, as follows: SECTION 1 ' ~ RECITALS 1.1) The Gity is authorized by Minnesota Statutes, Chapter 474 (the Act) to issue its industrial development revenue bonds to finance capital projects consisting of properties used and useful in connectionwith a revenue producing enterprise. 1.2) A proposal has been presented to this Council that the City, acting pursuant to and in accordance with the Act, issue its industrial development revenue bonds in the form of a single debt instrument (the Note) in the estimated total amount of $5,500,000 to finance a project on behalf of JSB Realty & Develop- ment Company (the Applicant), consisting generally of the acquisition of land, the improvement of the land, and the construction of a shopping center facility approximately 120,000 square feet in size (herein referred to as Project). 1.3) Under the Act, the Note so issued by the City shall not be payable from nor charged upon any funds of the City other than the revenue pledged to the pay- merit thereof, nor shall the City be subject to any liability thereon, and no holder or holders of the Note shall ever have the right to compel any exercise of the taxing power of the Gity to pay the Note or the interest thereon. The Note shall not constitute a charge, lien or encumbrance, legal or equitable, upon any property of the City, nor shall the same constitute a debt of the City within the meaning of any constitutional or statutory limitation. SECTION .2 - PUBLIC HEARING 2.1) Section 474.01, Subdivision 7b of the Act requires that prior to submission of any application to the Minnesota Commissioner of Securities requesting approval of the Project as required by Section 474.01, Subdivision 7a of the Act, this Council shall conduct a public hearing on the proposal to undertake and finance the Project. Pursuant to that section, a public hearing on the proposal to under- take and finance the Project is called and shall be held on November 5, 1981, at 7:15 o'clock P.M. at the City Ha11 in the City of Maplewood, Minnesota. 2.2) The City Clerk shall.cause notice of the public hearing to be published in the official newspaper of the City and a newspaper of general circulation of the City at least once not Less than fifteen (15) nor more than thirty (3) days prior to the date fixed for the hearing, such notice to be in substantially the form attached hereto. 2.3) A draft copy of the proposed application to theMinnesota Commissioner of Securities, together with all attachments and exhibits thereto, shall be placed on file with the City Clerk prior to publication of the. notice of public hearing - 20 - 10/1 and be availablefor public inspection, following the publication of the notice of public hearing, between the hours of 8:00 o'clock A.M..and 4:30 o'clock P.M., - Monday through Friday. Adopted by the City Council of the City of Maplewood, thislst day of October, 1981. Mayor Attest: City Glerk CITY OF MAPLEWOOD, MINNESOTA NOTICE OF PUBLIC HEARING ON A PROPOSAL TO UNDERTAKE AND FINANCE A PROJECT UNDER THE MUNICIPAL INDUSTRIAL DEVELOPMENT ACT, MINNESOTA STATUTES, CHAPTER 474,. AS AMENDED NOTICE IS HERESY GIVEN that the City Council of the City of Maplewood, Minnesota, - will meet on November 5, 1981, at.7:15 o'clock p.m., in the City Hall, in Maplewood, - Minnesota, for the purpose of conducting a public hearing on a proposal that the City issue industrial revenue notes in the form of a single debt instrument (the Note), under the Municipal Industrial Development Act, Minnesota Statutes Chapter 474, as amended (the Act), in order to finance a portion of the cost of a project within the meaning of the Act. The proposed project will generally consist of the acquisition and improvement of land and the construction of a 120,000 sq-~..: ft. community shopping center in the northwest quadrant of Gervais Avenue and White Bear Avenue, City of Maplewood, The facility will be owned by JSB Realty & Development Company, Oakbrook, Illinois, who has made the proposal. The estimated principal amount of the Note to be issued to finance theproject is $5,500,000. The Note shalTbe a limited obligation of the City and the principal and interest thereon shall be payable solely from the revenues of theproject pledged to the payment thereof. Thepayment of the Note may be secured by a mortgage and other _ security interests in the project properties. No holder of the Note shall have the .right to compel any exercise of the taxing power of the City to pay the Note or the interest thereon, nor to enforce payment against any property of the City. A draftcopy of the proposed application to the Minnesota Commissioner of Securities for approval of the project, together with all attachments and exhibits thereto, is available for public inspection in the Gity Clerk's office in the City Hall, in Maplewood, Minnesota, on business days between the hours of 8:00 a.m. and 5:00 p.m. A11 persons interested may appear at the public hearing and express their views with respect to the proposal to undertake and finance theproject. Dated: October 1, 1981 By Order of the City Council /s/ Lucille E. Aurelius City Clerk Seconded by CouncilmanNelson. Ayes - all. - 21 - 10/1 3. Hearing Date - Revenue Note - Maplewood Dental Specialties a. Manager Evans stated Maplewood Dental Specialties has submitted an application for a $800,000 Revenue Note to construct a Dental Office building at the Northeast Corner of 11th Avenue and White Bear Avenue. b. Councilman Anderson introduced the following resolution and moved its adoption: sl - to - 19s RESOLUTION CALLING FOR A PUBLIC HEARING ON A PROPOSAL FOR A COMMERCIAL FACILITIES DEVELOPMENT PROSECT PURSUANT TO THE MINNESOTA MUNICIPAL INDUSTRIAL DEVELOPMENT-ACT AUTHORIZING THE PUBLICATION OF A NOTICE OF SAID HEARING WHEREAS, _ (a) Chapter 474, Minnesota Statutes, known as the Minnesota MunicipalIndus- trial Development Act (the "Act") gives municipalities the power to issue revenue bonds for the purpose ofthe encouragement and development of economically sound - industry and commerce to prevent so far as possible the emergence of blighted and marginal lands and areas of chronic unemployment; (b) The City Council of the City of Maplewood (the "City") has received from Maplewood Dental Specialties, a Minnesota general partnership (the "Partnership") a proposal that the City assist in financing a project hereinafter described, through the issuance of its industrial revenue bonds (which may be in the form of a single debt instrument) (the "Bonds") pursuant to the Act; (c) Before proceeding with consideration of the request of the Partnership it is necessaryfor the City to hold a publichearing on-the proposal pursuant to Section 474.01, Subdivision 7b, Minnesota Statutes; NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Maplewood, Minnesota, as follows: 1. A Public Hearing on said proposal ofthe Partnership will be held at the time and place set forth in the Notice of Hearing hereto attached. 2. The general nature of the proposal and an estimate of the principal amount of bonds to be issued to finance the proposal are described in the form of Notice of Hearing hereto attached. 3. The Notice of said Public Hearing shall be in substantially the form con- tained in the Notice hereto attached. 4. A draft copy of the proposed application to the Commissioner of Securities and Real Estate, State of Minnesota, for approval of the project, together with proposed forms of all attachments and exhibits thereto, is on file in the office of the City Clerk. 5. TheCity Clerk is hereby authorized and directed to cause notice of said hearing to be given one publication in the official newspaper and a newspaper of general circulation available in the City, not less than is days nor more than 30 .days prior to the date fixed for said hearing, as shown in the notice of hearing hereto attached. 10/1 Adopted by the City Council of the City of Maplewood, Minnesota, this 10th day of December, 1981. /s/ John Greavu Mayor Attest: /s/Lucille Aurelius City Clerk NOTICE OF PUBLIC HEARING ON A PROPOSALFOR A COMMERCIAL FACILITIES DEVELOPMENT PROJECT To whom it may concern: Notice is hereby given that the City Council of the City of Maplewood, Minn- esota will meet at the City Ha11 in the City of Maplewood, Minnesota, at 7:30 P.M. on November 5, 1981, to consider the proposal of Maplewood Dental Specialties, that the City assist in financing a project hereinafter described by the issuance of industrial development revenue bonds. Description of Project Acquisition of land and the construction and equipping of an approximately 7,000 square foot dental clinic to be located on White Bear Avenue at the northeast corner of White Bear Avenue and 11th Avenue within the City of Map lewood,Minnesota. The estimated principal amount of bonds or other obligations to be issued to finance this project is $800,000. Said bonds or other obligations if and when issued will not constitute a charge, lien or encumbrance upon any property of the City except the project and such bonds or obligations will not be a charge against the City's general credit or taxing powers but are payable from sums to be paid pursuant to a revenue agreement. A draft copy of the proposed application to the Commissioner of Securities, State oP Minnesota, for approval of the project, together with all attachments and exhibits thereto, is available for public inspection beginning October 14, 1981, from 8:00 a.m. to 5:00 p.m., Monday through Friday, at the City Ha11. Seconded by Councilman Nelson. Ayes - a11. I. VISITOR PRESENTATION None. J. NEW BUSINESS 1. ,Highway 36 and 61 Safety Improvements - 23 - 10/1 a. Director of Public Works Ken Haider presented sections from MnDOT reports ad- dressing safety improvements on T.H. 36 at English. and Atlantic Street; and oh T.H. 61 from Kohlman Avenue to County Road D. It is suggested that each report be considered separately by the Council. The proposed improvements along Highway 36 have been the subject of a number of meetings with interested-businesses in the area. Concern over loss of access has been discussed. As a result of these meetings, staff recommends the following changes in the proposed improvements: 1. Right turns in and out of southbound Atlantic Street be allowed. 2. Signs be erected at locations and with language satisfactory to the business community and theCity Engineer to inform drivers that English Street is the access to the Frontage Road businesses. The second project to consider is located along Highway 61. Staff has reviewed theproposed improvements and recommends the City Council approve the project as proposed by MnDOT. b. Representative of the Highway Department explained their proposals. _ c. Commissioner Duane Whitcomb presented the following Planning Commission recom- mendation: "Commissioner Kishel moved the PlanningCommission recommend to the City Council that the proposed Mn/DOT improvements, Highway 36 Project SP 6211-64 and Highway 61 Project SP 6222-93 do not conflict with the Maplewood Land Use Plan. Commissioner Barrett seconded. Ayes all." d. Highway 36 Project SP 6211-64 Councilman Anderson introduced the following resolution and moved its adoption: 81 - l0 - 196 WHEREAS, this Council deems it necessary, expedient, and proper that citizen access to and safety on the streets, roads, and highways within the boundaries of the City are of prime concern to it; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF MAPLEWOOD, MINNESOTA AS FOLLOWS: 1. That the MnDOT report on S.P 6211-64, Minn. Proj HES 064-1 (58) T.H. 36 at Atlantic and English Streets Safety Improvement Project, be approved with the following alterations: A. Right turns in and out of southbound Atlantic Street be allowed. B. Signs be erected at locations and with language satisfactory to the business community and the City Engineer to inform drivers that English Street is the access to the Frontage Road businesses. Seconded by Councilman Nelson. Ayes - a11. e. Highway 61 Project SP 6222-93 - 24 - 10/1 Councilman Anderson introduced-the following resolution and moved its adoption: 81 - 10 - 197 WHEREAS, this Council deemsit necessary, expedient, and proper that citizens' access to and safety on the streets, roads and highway within the boundaries of the City are ofprime concern to it; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF MAPLEWOOD, MINNESOTA, AS FOLLOWS: 1. The MnDOT report on S.P. 6222-93 Minn. Proj. HES 001-2 (57), SP. 6222- - 94 Minn. Proj. F.. 001-2 (56), T.H. 61 from Kohlman Avenue to County Road D, Safety ImprovementProject br approved. Seconded by Mayor Greavu. Ayes - all. K. COUNCIL PRESENTATIONS 8. Comments - Highway 120 - a. Mayor Greavu questionedthe Representative of the Minnesota Department of Transportation what was planned for Highway 12n. b. Mr. Mark Wickelius, representing Mn. DOT stated thereis nothing planned for Highway120 in the near future or before 1987. - Mayor Greavu recessed the meeting at 8:00 P.M. to convene as the Maplewood Board of Appeals and Adjustments. Mayor Greavu reconvenedthe meeting at 8:27 P.M. F. PUBLIC HEARINGS _ 2. Revenue Note: White Bear Avenue Associates 7:45 P.M. a. Mayor Greavu convened the meeting for a public hearing regarding the request of White Bear Avenue Associates for a $2,000,000 Industrial Revenue Note to construct a 32,000 square foot building at 2950 White Bear Avenue to be used as retail sales outlets and business offices. The Clerk-stated the hearing notice was in order and noted the dates of publication. b. Manager Evans presentedthe staff report. c. Mayor Greavu called for proponents. None were heard. d. Mayor Greavu called for opponents. None were heard. e. Mayor Greavu closed the public hearing. f. Mayor Greavu introduced the following resolution and moved its adoption: 81 - 10 - 198 RESOLUTION RECITING A PROPOSAL FOR A COMMERCIAL FACILITIES DEVELOPMENT PROJECT GIVING PRELIMINARY APPROVAL TO THE PROJECT PURSUANT TO THE MINNESOTAMUNICIPAL INDUSTRIAL DEVELOPMENT ACT - 25 - 10/1 AUTHORIZING THE SUBMISSION-OF AN APPLICATION FOR APPROVAL OF SAID PROJECT TO THE COMMISSIONER OF SECURITIES OF THE STATE OF MINNESOTA AND AUTHORIZING THE PREPARATION OF NECESSARY DOCUMENTS AND MATERIALS IN CONNECTION WITH SAID PROJECT WHEREAS, (a) The purpose of Chapter 474, Minnesota Statutes, known as the Minnesota Municipal Industrial Development Act (the "Act") as found and determined by the legislature is to promote the welfare of the state by the active attraction and encouragement and development of economi- cally sound industry and commerce to prevent so far as possible the emergence of blighted and marginal lands and areas of chronic unemployment; (b) Factors necessitating the active promotion and development of economically sound industry and commerce are the increasing concentration of population in the metropolitan areas and the rapidly rising increase in the amount and cost of _ governmental services required to meet the needs of the increased population and the need for development of land use which will provide an adequate tax base to finance these increased costs and access to employment opportunities for such population; (c) The City Council of the City of Maplewood ("the City") has received from White Bear Avenue Associates, a general partnership organized under the laws of the State of Minnesota (the "Company") a proposal that the City undertake to finance a Project hereinafter described, through the issuance of revenue bonds in the form of a single debt instrument ("the Note") pursuant to the Act; (d) The City desires to facilitate the selec- - tive development of the community, retain and improve the tax base and help to provide the range of services and employment opportunities required by the population; and the Project will assist the City in achieving those objectives. The Yro7ect will help to increase assessed valuation of the City and surrounding areas and help maintain a positive relationship between assessed valuation and debt and enhance the image and reputation of the community; (e) Company is currently engaged in the business of real estate development. The Project to be financed by the Note is an office/retail building facility to be located in the City and leased to various tenants and consists of the acquisition of land and the construction of buildings and improvements thereon and will result in the em- ployment of additional persons to work within the new facilities; - 26 - 10/1 (f) The City has been advised by representa- tives of Company that conventional, commercial financing to pay the capital cost of the Project is available only on a limited basis and at such high costs of borrowing that the economic feasibility of operating the Project would be significantly reduced, but Company has also advised this Council that with the aid of municipal financing, and its resulting low bor- rowing cost, the Project is economically more feasible; (g) Pursuant to a resolution of the City Council adopted on August 20, 1981, a public hearing on the Project was held on September 17, 1981, after notice was published, and materials made available for public inspection at the office of the Maplewood City Clerk, all as required by Minnesota Statutes, Section 474.01, Subdivision 7b at which public hearing all those appearing who so desired to speak were heard; (h) No public official of the City has either a direct or indirect financial interest in the Project nor will any public official either directly or indirectly benefit financially from the Project. NOY7, THEREFORE, BE IT RESOLVED by the City Council of the City of Maplewood, Minnesota, as follows: 1. The Council hereby gives preliminary approval to the proposal of Company that the City undertake the Project pursuant to the Minnesota Municipal Industrial Development Act (Chapter 474, Minnesota Statutes), consisting of the acqui- sition, construction and equipping of facilities within the City pursuant to Company's specifications suitable for the operations described above and to a revenue agreement between the City and Company upon such terms and conditions with provisions for revision from time to time as necessary, so as to produce income and revenues sufficient to pay, when due, the principal of and interest on the Note in the total principal amount of approximately $2,000,000-to be issued pursuant to the Act to finance the acquisition, construction and equipping of the Project; and said agreement may also provide for the entire interest of Company therein to be mortgaged to the purchaser of the Revenue Bonds; and the City hereby undertakes preliminarily to issue its Note in accordance with such terms .and conditions; 2. On the basis of information available to this Council it appears, and the Council hereby finds, that the Project constitutes properties, real and personal, used or useful in connection with one or more revenue producing enterprises engaged in any business within the meaning of Subdivision la of Section 474.02 of the Act; that the Project furthers the purposes stated in Section 474.01, Minnesota Statutes; that the availability of the financing under the Act and willingness of the City to furnish such financing will be a substantial - inducement to Company to undertake the Project, and that the effect of the Project, if undertaken, will be to encourage the development of economically sound industry and commerce, to - 27 - l0/1 assist in the prevention of the emergence of blighted and marginal land, to help prevent chronic unemployment, to help the City retain and improve the tax base and to provide the range of service and employment opportunities required by the _ population, to help prevent the movement of talented and educated persons out of the state and to areas within the State where their services may not be as effectively used, to promote more intensive development and use of land within and adjacent to the City and eventually to increase the tax base of the community; 3. The Project is hereby given preliminary approval by the City subject to the approval of the Project by the Com- missioner of Securities, and subject to final approval by this Council, Company, and the purchaser of the Note as to the ulti- mate details of the financing of the Project; 4. In accordance with Subdivision 7a of Section 474.01 Minnesota Statutes, the Mayor of the City is hereby authorized and directed to submit the proposal for the Project to the Commissioner of Securities and Real Estate, requesting her approval, and other officers, employees and agents of the City are hereby authorized to provide the Commissioner with such preliminary information as she may require; 5. Company has agreed and it is hereby determined that any and all costs incurred by the City in connection with the financing of the Project whether or not the Project is carried to completion and whether or not approved by the Commissioner will be paid by Company; 6. Briggs and Diorgan, Professional Association, acting as bond counsel, and Juran and Moody, Inc., investment bankers, are authorized to assist in the preparation and review of necessary documents relating to the Project, to consult with the City Attorney, Company and the purchaser of the Plote as to the maturities, interest rates and other terms and provisions of the Note and as to the covenants .and other provisions of the necessary documents and to submit such documents to the Council for final approval; 7. Nothing in this resolution or in the documents pre- pared pursuant hereto shall authorize the expenditure of any municipal funds on the Project other than the revenues derived from the Project or otherwise granted to the City for this purpose. The Note shall not constitute a charge, lien or encumbrance, legal or equitable, upon any property or funds of the City except the revenue and proceeds pledged to the payment thereof, nor shall the City be subject to any liability thereon. The holder of the Note shall never have the right to compel any exercise of the taxing power of the City to pay the outstanding principal on the Note or the interest thereon, or to enforce payment thereof against any property of the City. - 28 - 10/1 The Note shall recite in substance that the Note including interest thereon, is payable solely from the revenue and proceeds pledged to the payment .thereof. The Note shall not constitute a debt of the City within the meaning of any constitutional or statutory limitation; 8. In anticipation of the approval by the Commissioner of Securities and Real Estate and the issuance of the Note to finance all or a portion of the Project, and in order that completion of the Project will not be unduly delayed when approved, Company is hereby authorized to make such expenditures and advances toward payment of that portion of the costs of the Project to be financed from the proceeds of the Note as Company considers necessary, including the use of interim, short-term financing, subject to reimbursement from the proceeds of the be financed from the proceeds of the Note as Company considers necessary, including the use of interim, short-term financing, subject to reimbursement from the proceeds of the Note if and when delivered but otherwise - without liability on the part of the City; 9. The actions of the City Clerk in causing public notice of the public hearing and in describing the general nature of the Project and estimating the principal amount of: the Note to ' be issued to finance the Project and in preparing a draft of the proposed application to the Commissioner oL- Securities, State of Minnesota, for approval of the Project, which has been available for inspection by the public at the City Hall from and after the publication of notioe of the hearing, are in all respects ratified and confirmed. 10. If construction of the Project is not started within one year from the date hereof, from and after 1981 this resolution shall have no force and effect and the preliminary approval herein granted is withdrawn. Adopted by the City Council of the City of Idaplewood, Minnesota, this day of 1981. /s/ John Greavu Mayor Attest: /s/ Lucille Aurelius City C er Seconded by Councilman Nelson. Ayes - a11. - 29 - 10/1 J. NEW BUSINESS (continued) - 2. Parking Restrictions: Brookview Drive a. ManagerEvans presented the staff report with the recommendation that the City Council prohibit on street parking on the north side of Brookview Drive from the Merit Chevrolet access to the east a distance of 150 feet. b. Mayor Greavu introduced the following resolution and moved its adoption: 81 - 10 - 199 WHEREAS, after study-and due consideration of the staff report; and WHEREAS, said City Council finds it to be reasonable and advisable; and WHEREAS, the subject street is owned and maintained by the City of Maplewood; and WHEREAS, the imposing of said parking restrictions is in the best interest of the health, welfare and safety of the citizens of Maplewood; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF MAPLEWOOD, MINNESOTA, as follows: That the City shall restrict the parking of motor vehicles at all times on the north side of Brookview Drive, from the easterly edge ofthe Merit Chevrolet driveway access to the east of said access, a. distance of 150 feet. Seconded by Councilman Anderson. Ayes - a11. 3. Parking Restrictions: Larpenteur Avenue a. Manager Evans presented the staff report. b. Councilman Anderson introduced the following resolution and moved its adoption: 81 - 10 - 200 WHEREAS, the imposition of parking restrictions on Larpenteur Avenue from White Bear Avenue to Kennard Street, is in the best interest of the health, welfare, and safety of the citizens of Maplewood; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF MAPLEWOOD, MINNESOTA, AS FOLLOWS: - That this Council request that Remsey County designate Larpenteur Avenue from White Bear Avenue to Kennard Street a "No Parking" zone. Seconded by Councilman Anderson. Ayes - a11. 4. Ordinance on State Aid for Streets (First Reading) a. Manager Evans presented the staff report. b. Mayor Greavu moved first reading. of an ordinancewhich will allow the use of state street construction aid for the asphalt overlay program. - 30 - 10/1 Seconded by Councilman Anderson. Ayes - all. 5. Council Communication System a. Manager Evans presented a proposal form Hi-Fi Sound toimprove thesound system in the Council Chambers. You havebeen using a portion of the system at Councilmen - Anderson and Nelson's seats along with an equalizer which was also on loan. We have found during the test that there has been an improvment in what we have been able to record on the tapes. Prices were also received from ElectronicDesign Co. Their prices ranged from $4,368 to $6,214 and include items which appear to be unnecessary. I would recommend that weaccept the proposal of Hi-Fi Soundand that you authorize the transfer of $1,344 from the contingency fund. b. Councilman Anderson moved to accept the proposal from Hi Fi Sound for the improvement of the Council Chambers Sound System in the amount of $1,344 and that this amount_be transferred from the Contingency Fund. Seconded by Mayor Greavu. Ayes - a11. 6. Maplewood Human Relations Commission a. Manager Evans presented the following recommendation from the Human Relations Commission: - "Motion was moved by Commissioner Haynes, seconded by Commissioner Lynch, that City Ordinance No. 405 governing composition of the Human Relations Commission be changed to read: The Commission shall consist of nine (9) members to be appointed by the Mayor byand with the advice and consent of the Council. Motion carried unanimously." b. No action taken. 7. Special Exception - Pizza Time Theatre a. Manager Evans presented the staff report with the following recommendation: Approval of the special exception for the Pizza Time Theatre for one year, since the use is a family oriented facility and should not be objectionable in the area. Approval is subject to the following conditions: 1. A11 required licenses for operation shall be obtained from the City. 2. This permit may be renewed by the City Council after one year of operation, provided there have been no problems caused by the facility. b. Commissioner Dave Whitcomb presented the following Planning Commission recom- mendation: "Commissioner Kishel moved the Planning Commission recommend to the City Council approval of the special exception for the Pizza Time Theatre for one year, since - 31 - 10/1 the use is a family oriented facility and should not be objectionable in the area. Approval is subject to the following conditions: 1. All required licenses for operation shall be obtained from the City. 2. This permit may be renewedby the City Council after oneyear of operation, provided there have been no problems caused by the facility. Commissioner Pellish seconded. Ayes a11." c. Mr. Mark Segal, representing Pizza Time Theatre, spoke onbehalf of the proposal. d. Councilman Nelson moved to approve the special exception for Pizza Time Theatre, 2950 White Bear Avenue,to have coin operated games andamusements subject to the following conditions: 1. All required licenses for operation shall be obtained from the Gity. 2. This permit may be renewed by the City Council after one year of operation, provided there have been no problems caused by the facility. Seconded by Councilman Anderson. Ayes - all. 8. Plan Amendment: Lydia Avenue, Arie1 Street and County Road D a. Manager Evans presented the staff reportwith the following recommendation: L. Approval of an amendment to the southerly site changing the Rh designation to Rm on the basis that: 1. Rh is not consistent with the character of the area. 2. The elderly housing for which this designation was attached is no longer - planned for this site. II. Retain the Rm designation on the southerly site, on the basis that: 1. There have been no changed conditions from the original Plan. 2. The Rm designation would maintain the optionfor a wider variety of housing in that area. III. Amend the westerly portion of the southerly site from SC, Service Commercial to Rm, Residential Medium-Density on the basis that: 1. Rm is more consistent with the character of the area. 2. The previous Rh is no longer there requiring the SC buffer. b. Commissioner Dave Whitcomb presented the following Planning Commission recom- mendation: "l. Rh is not consistent with the character of the area. 2. The elderly housing for whick this designation was attached is no longer planned for this site. - 32 - 10/1 Commissioner Fischer seconded. Ayes a11. Commissioner. Whitcomb moved the Planning Commission recommend the Rm designations be retained on the southerly site, on the basis that: 1. There have been no changed conditions from the original Plan. 2. The Rm designation would maintain the option for a wider variety of housing in that area. CommissionerFischer seconded. Ayes a11. Commissioner Whitcomb moved the Planning Commission recommend to amendthe westerly portion of thesoutherly site from SC, Service Commercial to Rm, Residential Medium Density on the basis that: 1. Rm is more consistent with the character of the area 2. The previous Rh is no longer there requiring the SC buffer. Commissioner Fischer seconded. Ayes a11." - c. Mr. John Schor, Planning Consultant, Dahlgren and Associates, spoke regarding the proposal. d. Mr. Robert Hajicek, 1700 E. County Road D, presented his opinions. e. Councilman Anderson moved to approve the plan amendmentas recommended by staff and Planning Commission and introduced the following resolution and moved its adoption: 81 - 10 - 201 WHEREAS, the Maplewood City Council and the Maplewood Planning Commission have prepared and adopted a Comprehensive Community Plan in compliance with the requirements of Section 462.355 of the State Planning Enabling Legislation; and WHEREAS, said Section 462.355 provides for subsequent amendment of saidCom- prehensive Plan which reflect changed conditions; and WHEREAS, the Maplewood PlanningCommission has conducted the required public hearing and has given consideration to all evidenceand testimony submitted at such hearing held on September 21, 1981 and has adopted said amendment and forwarded said amendment to the City Council for certification; and WHEREAS, the Maplewood City Council has reviewed said amendment; NOW, THEREFORE, BE IT RESOLVED that the Maplewood City Council hereby adopts and amends the Comprehensive Plan for Maplewood. Seconded by Counclperson Juker. Ayes - Mayor Greavu, Councilperson Juker, Councilmen Anderson and Nelson. Councilman Bastian abstained. 9. Plan Amendment: I-494 and Century Avenue - 33 - 10/1 a. Manager EVans presented. the staff-report with the-following recommendation: I. Approval of the Plan amendment on the basis that:. 1. The August 26 report by the MetropolitanCouncil staff concludes that: "Construction of an interchange between Valley Creek Road and Highway 61 would be premature any time before 20000" 2. Federal funds are not available for an interchange. Financing would have to come from State, County, or local sources. - 3. Neither Ramsey County or the State Department of Transportation show an interchange in this area on their transportation plans. 4. The Lakeridge development in Woodbury would make the Century Avenue location unfeasible. II. Amend the Plan to change the SC designation northwest of the interchange to RL, except for the property currently zoned BC at the southwest corner of Highwood and Century Avenues, on the basis that: 1. Omitting the interchange makes it more probable that this land will develop residentially, rather than commercially. 2. The commercial exception recognizes the existing business at Highwood and Century Avenues. Commissioner Dave Whitcomb presented the following PlanningCommission recommendation: "Commissioner Pellish moved the Planning Commission recommend the current Plan and Plan Update omit the interchangeproposal at I-494 and Century Avenue on the basis that: 1. The-August 26 report by the Metropolitan Council staff concludes that: "Construction of an interchange between Valley Creek Road and Highway 61 would be prematureany time before 2000." 2. Federal funds are not available for an interchange. Financing wouldhave to come from State, County, or local sources. 3.. Neither Ramsey County or the State Department of Transportation show an inter- change in this area on their transportation plans. 4. The Lakeridge development in Woodbury would make the Century Avenue location unfeasible. Commissioner Whitcomb seconded. Ayes a11. Commissioner Pellish moved the Planning Commission recommend the current Plan and Plan Update be amended to change the SC designation at the northwest corner of the interchange to Century and Highwood to RL, Residential Lower Density, except for the property currently zoned BC at the southwest corner of Highwood and Century Avenues, on the basis that: 1. Omitting the interchange makes it more probable that this -land will develop residentially, rather than commercially. - 34 - to/1 Z. 'The commercial exception recognizes the existing busihessat Highwood and Century Avenues. Commissioner Whitcomb seconded. Ayes all:" c. Councilman Anderson moved to aprpove the plan amendment as recommended by the Staff and Planning Commission and introduced the following resolution and moved its adoption: 81-10-202 WHEREAS, the Maplewood City Council andthe Maplewood Planning Commission have prepared and adopted a Comprehensive Community Plan in compliance with the requirements of Section-462.355 of the State Planning Enabling Legislation; and WHEREAS, said Section 462.355 provides for subsequent amendment of said Com- prehensive Plan which reflect changed conditions; and WHEREAS, the Maplewood Planning Commission has conducted the required public hearing and has given consideration to all evidence and testimony submitted at such hearing held on September 21, 1981 and has adopted said amendment and forwarded said amendment to the CityCouncil for certification; and WHEREAS, the Maplewood City Council has reviewed said amendment; NOW, THEREFORE, BE IT RESOLVED that theMaplewood City Council hereby adopts - and amends the Comprehensive Plan for Maplewood. Seconded by Councilman Nelson. Ayes - a11. 10. Joint Meeting - - a. Manager Evans stated the City Council, at their September 17 meeting, asked for a j-oint meeting with t he Planning Commission and Community Design Review Board. The Commission and. Board have recommended that the meeting be held on October - 28 at 7:30 P.M. in the Council Chambers. b. Councilman Anderson moved to establish October 28, 1981 at 7:30 P.M. as a joint meeting with the Planning Commission. Seconded by Mayor Greavu: Ayes - a11. - 11. North Hazelwood Park: Contract Amendment a. Councilperson Juker introduced the following resolution and moved its adoption: 81 - 10 - 203 WHEREAS, the City Council of Maplewood, Minnesota has heretofore ordered Im- provement Project no. 80-2 and has let a construction contract therefore; and WHEREAS, it is now necessary and expedient that siad contract be modified and designated as Improvement Project No. SO-2, Contract Amendment #1; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF MAPLEWOOD,MINNESOTA, that the Mayor and City Clerk are hereby authorized and directed to modify the existing contract by executing said Contract Amendment #1. - 35 - 10/1 Seconded by Mayor Greavu. Ayes - Mayor Greavu, Councilperson Jukes, Councilmen Anderson and Nelson. Nays -Councilman Bastian. 12. Easement Payments 75-I6 a. Manager Evans presented a letter from the City Attorney's office recommending payment for acquisition of an easement for a completed construction project. Due to an oversight the easement was not acquired during construction of Project 75-16. It is recommended the City Council authorize payment of $1,100.00 for the subject easement. b. Councilperson Jukes moved authorization of thepayment of $1,100.00 to Alice Sether for acquisition of an easement for Project 75-16. Seconded by Councilman Anderson. Ayes - a11. K. COUNCIL PRESENTATIONS 1. Letters a. Councilman Anderson moved letters of apprecatiom. be forwarded to the persons who participated in the Air Disaster Drive put on by the Department of Emergency Preparedness. Seconded by Councilman Nelson. Ayes - all. 2. Commercial Areas - Zoning a. Councilman Anderson commented on the Commercial Areas in the Land Use Plan. He questioned if hewill have an opportunity to review the Plan before or after it goes,to the Metro Council. b. The Council will review the Plan before it is finalized. 3. Cable TV a. Councilman Anderson commented on a proposal that he would like to bring before the Cab 1e TV Commissionregardingthe voting procedure. He feels Maplewood should have more votes. Would the Council support him? b. Council indicated they would support him. 4. Junction - Water Problem a. Councilman Anderson commented ona problem with drainage that Mr. Otto on Junc- tion Avenue is experiencing. b. No action taken. 5. Concordia Arms a. Councilman Bastian questioned ifConcordia Armswas going to take care of the fencing and drainage before the occupancy permit is issued. b. Staff will investigate. These problems have-been directed to the Building Inspection Department. - 36 - 10/1 6. Maplewood Plaza a. Councilman Bastian stated he had received calls from his neighbors regarding the trash pickup for the Maplewood Plaza. The papers are blowing around. The dumpsters have fluid draining from them. Trash is picked up as late as 11:00 P.M. on a Sunday evening. He also mentioned that the sidewalks run along Ariel and stop about ten feet before the curb. This will become a problem for the senior citizens when Concordia Arms is occupied. b. Staff will investigate: 7. Street Lettering a. Councilman Bastianquestioned what is the proceudre once a stop sign is in- stalled but is not obeyed: Would a warning before the stop sign help or "STOP" painted on the roadway. b. Staff stated they could not recommend any of the things mentioned because that is not an appropriate place for that type of sign. c. No action taken. 8. Comments - Highway 120 Discussed after Item J-1. L. ADMINISTRATIVE PRESENTATIONS 1. Police Sergeants Salaries a. Manager Evans presented the staff report. b. Councilman Bastian moved that the following be approved for the Police Sergeants salaries: Percentage Increase for 1981 be same as patrolman (increase sergeants wages for 1981 by .one-half percent). Percentage Increase for 1982 be same as patrolman $25.00 per month beginning January 1, 1981 and additional $25.00 per month begin- ing July 1, 1982. Seconded by Councilman Anderson. Ayes - all. M. ADJOURNMENT 10:43 P.M. City Clerk - 37 - 10/1