87-103 - 10-06 Public Hearing Revenue Bonds for Graco, Inc.Resolution 87-103
October 6, 1987
Member Bakken introduced the following adoption and moved its adoption:
RESOLUTION CALLING FOR A PUBLIC HEARING RELATING
TO AN ISSUE OF REVENUE BONDS UNDER THE MUNICIPAL
INDUSTRIAL DEVELOPMENT ACT ON BEHALF OF GRACO INC.
BE IT RESOLVED by the City Council of the City of Golden Valley, Minnesota
(the Municipality), as follows:
SECTION 1
Recitals
1.1. The Municipality has previously issued its revenue bonds under
Minnesota Statutes, Chapter 474, as amended (now recodified at Minnesota
Statutes, Section 469.152 to 469.165, and referred to herein as the Act), in the
principal amount of $6,000,000 and designated "Industrial Development Revenue
Bonds (Graco Inc. Project), Series 1982", all of which are currently outstanding
(the Series 1982 Bonds). The proceeds of the series 1982 Bonds were lent to
Graco Inc., a Minnesota corporation (the Corporation) to finance a portion of
the cost of a project (the Project) consisting of a corporate/administrative
office facility located at 4050 Olson Memorial Highway in the Municipality.
1.2. The Municipality is authorized by the Act to issue its revenue bonds
to refund, in whole or in part, bonds previously issued by the Municipality
under the Act and interest on them. The Corporation has requested the Municipality
to issue its revenue bonds under the Act in an aggregate principal amount not to
exceed $6,000,000 (the Series 1987 Bonds) to refund all or a portion of the
Series 1982 Bonds.
SECTION 2
Public Hearing
2.1 Section 147(f) of the Internal Revenue Code of 1986, as amended,
requires that, in order for the interest to be borne by the Series 1987 Bonds to
be exempt from federal income taxation, this Council conduct a public hearing on
the proposal to issue the Series 1987 Bonds to refund the Series 1982 Bonds.
Pursuant to such section, a public hearing on the proposal to refund the Series
1982 Bonds through the issuance of the Series 1987 Bonds is hereby called and
shall be held on November 4, 1987, at 7:30 o'clock P.M., at the City Hall.
2.2. The City Clerk shall cause notice of the public hearing to be published
in the New Hope - Golden Valley Post, the official newspaper of the Municipality,
and the Star - Tribune, a newspaper of general circulation in the Municipality,
at least once not less than fourteen (14) days prior to the date fixed for the
public hearing. The notice to be published shall be in substantially the
following form:
Resolution 87-103 - Continued
October 6, 1987
NOTICE OF PUBLIC HEARING ON THE ISSUANCE OF REVENUE BONDS
UNDER THE MUNICIPAL INDUSTRIAL DEVELOPMENT ACT, MINNESOTA STATUTES,
SECTIONS 469.152 TO 469.165, AS AMENDED, ON BEHALF OF GRACO INC.
CITY OF GOLDEN VALLEY, MINNESOTA
NOTICE IS HEREBY GIVEN that the City Council of the City of Golden Valley,
Minnesota (the City), will meet on November 4, 1987, at 7:30 o'clock P.M., at the
City Hall, in Golden Valley, Minnesota, for the purpose of conducting a public
hearing on a proposal that the City issue its revenue bonds (the Bonds), in one
or more issues, under the Municipal Industrial Development Act, Minnesota Statutes,
Section 469.152 to 469.165, as amended, in order to refund, in whole or in part,
revenue bonds previously issued by the City under the Act in the aggregate
principal amount of $6,000,000, the proceeds of which were lent to Graco Inc., a
Minnesota Corporation (the Corporation), to finance the cost of the Corporation's
corporate/administrative office facilities located at 4050 Olson Memorial Highway
in the City. The aggregate principal amount of the proposed Bonds will not
exceed $6,000,000. The Bonds shall be limited obligations of the City, and the
Bonds and interest thereon shall be payable solely from the revenue pledged to
the payment thereof, except that such Bonds may be secured by a mortgage or
other encumbrance on certain property of the Corporation. No holder of any such
Bonds shall 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 except the property pledged to the payment thereof.
All persons interested may appear and be heard at the time and place set
forth above, or may file written comments with the City Clerk prior to the date
of the hearing set forth above.
BY ORDER OF THE CITY COUNCIL
By /s/Shirley Nelson, City Clerk
Resolution 87-103 - Continued
SECTION 3
Special Obligations
October 6, 1987
3.1. In all events, it is understood, however, that any Series 1987 Bonds
issued by the Municipality pursuant to the Act to refund the Series 1982 Bonds
shall not constitute a charge, lien or encumbrance, legal or equitable, upon any
property of the Municipality; each Series 1987 Bond, when, as and if issued,
shall be payable solely from revenues received from the Corporation and property
pledged to the payment thereof and shall not constitute a debt of the Municipality;
and the Corporation shall save and hold the Municipality harmless with respect
to any and all liabilities and expenses incured by the Municipality with respect
to the Series 1987 Bonds.
ary . Pderson, Mayor
ATTEST:
Shirley on, City Clerk
The motion for the adoption of the foregoing resolution was seconded by Member
Johnson and upon a vote being taken thereon, the following voted in favor
thereof: Anderson, Bakken, Johnson, Stockman and Thompson; and the following
voted against the same: none, whereupon said resolution was declared duly
passed and adopted, signed by the Mayor and her signature attested by the City
Clerk.