HomeMy WebLinkAbout1979-127 CCRMember Gene Lhotka introduced the following resolution
and moved its adoption:
RESOLUTION NO. 79 -127
RESOLUTION ESTABLISHING POLICY FOR THE ISSUANCE OF
INDUSTRIAL REVENUE BONDS OR MORTGAGES
WHEREAS, for the purpose of promotion, attraction, encouragement
and development of economically sound commerce the preservation and
development of a tax base adequate to finance necessary public services,
and the encouragement of employment opportunities for the citizens of
the City, the City is authorized by the Municipal Industrial Development
Act, Minnesota Statutes, Chapter 474 to acquire and lease real and
personal property for use by a revenue producing enterprise, or to loan
funds directly to the enterprise, or to loan funds directly to the
enterprise to be used for such acquisition, said funds to be raised
through the issuance of revenue bonds of the City the interest on which
is exempt from federal and state income taxes.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City
of Brooklyn Center, Minnesota that the following shall be the policy for
the City of Brooklyn Center for issuance of industrial revenue bonds or
mortgages and shall serve as guidelines for developers seeking City
approval:
1. Neither the property owner nor the applicants shall have
any outstanding taxes or assessment delinquencies within
the City of Brooklyn Center at anytime during the previous
twelve months.
2. The applicant must demonstrate conclusively and the City
Council must concur that the proposed project is in compliance
with the City's Comprehensive Plan and all other existing codes.
3. At no time shall the amount of industrial revenue bonds out-
standing be greater than five percent of the assessed valuation
of the City of Brooklyn Center. (Note to City Council -five
percent of our current assessed valuation would be $6 million.
Currently for general full faith and credit bond limitation in
the State Statutes for the City is approximately $9 million.)
4. If authorized, industrial revenue bonds must be privately
placed and not offered for public sale. This approach is used
to insure that any buyers are fully informed and aware that
industrial revenue bonds sold are not backed by the full
faith and credit of the City of Brooklyn Center and the
authorized bonds must be placed within 12 months of City
Council approval.
5. If the applicant is a governmental or governmentally sponsored
organization, the project proposed must: (a) Be in compliance
with the City's Comprehensive Guide Plan and other existing
codes; (b) The applicant must demonstrate and the Council must
concur the project has specific benefit to the citizens of
Brooklyn Center.
RESOLUTION NO. 79 -127
6. Applicants must meet all requirements established in the
State Statutes for industrial revenue bonds. In addition,
the project must be of a nature that the City wishes to
attract or an existing business the City would desire to
expand within the City. Desirability shall be measured
in terms of: (a) Significant number of jobs for the City;
(b) The project shall not contribute, in the Council's
opinion, to increased traffic volumes detrimental to
adjacent land uses or have other detrimental side effects;
(c) Retention of employment which might otherwise leave
the community.
7. An applicant must submit his request on forms provided by
the City of Brooklyn Center and submit written documenta-
tion of his compliance with these requirements. In addition,
the applicant must agree to pay for any fiscal, legal or any
other City Council approved costs incurred in analyzing or
processing the application. The City Council, upon recom-
mendation by the City Manager, may require the deposit of
an amount estimated to cover these expenses prior to final
application approval.
1
ATTEST: t
C`Serk
June 11, 1979
Date Ma or
Lhotka, and Celia Scott;
and the following voted against the same: none,
whereupon said resolution was declared duly passed and adopted.
The motion for the adoption of the foregoing resolution was duly seconded
by member Celia Scott and upon vote being taken thereon, the following
voted in favor thereof: Dean Nyquist Tony Kuefler, Bill Fignar, Gene