86-036 RES
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CERTIFICATION OF MINUTES RELATING TO
S 1,750,000 LAW ENFORCEMENT FINANCING
Issuer: City of Elk River, Minnesota
Governing Body: City Council
Kind, date, time and place of meeting: A regular/special
meeting held on Monday , June 23 1986 at 7:30 o'clock
~.m. at Elk River, Minnesota
Members present: Mayor Hinkle, Councilmembers Gunkel, Schuldt
and Engstrom
Membe~s absent: Councilmember Williams
Documents Attached:
Minutes of said meeting (pages): Two
RESOLUTION NO. 86-36
RESOLUTION RELATING TO S 1,750,000 LAW ENFORCEMENT
CENTER FINANCING, DETERMINING THE NECESSITY THEREFOR
AND AUTHORIZING CERTAIN PROCEEDINGS THEREFOR
I, the undersigned, being the duly qualified and acting
recording officer of the public corporation issuing the bonds
referred to in the title of this certificate, certify that the
documents attached hereto, as described above, have been
carefully compared with the original records of said
corporation in my legal custody, from which they have been
transcribed; that said documents are a correct and complete
transcript of the minutes of a meeting of the governing body of
said corporation, and correct and complete copies of all
resolutions and other actions taken and of all documents
approved by the governing ~ody at said meeting, so far as they
relate to said bonds; and that said meeting was duly held by
the governing body at the time and place and was attended
throughout by the members indicated above, pursuant to call and
notice of such meeting given as required by law.
WITNESS my hand officially as such recording officer this
23rd day of June, 1986.
. A?I~ P J2!/A1Y
S~gnature
(SEAL)
Patrick D. Klaers, City Administrator
Name and Title
City Council Minutes
June 23, 1986
Page Two
!,. 5.
County Proposal for City Participation in Financing County Law Enforcement/
Jail Facility
Carolyn Drude of Ehlers and Associates indicated that she had met with Sherrill
Kure1ich of Larkin, Hoffman Friday morning. Ms. Drude further indicated that an
adjustment had been made in the size of the bond issue from $1,690,000 to $1,750,000.
Patrick K1aers, City Administrator, noted that the County Board has accepted the
City of Elk River attorney's 1awfirm of Larkin Hoffman as bond consultant. He
further noted that the City Attorney has been in contact with County Attorney
regarding the fairgrounds property and that the process is moving along to trans-
fer the deed and payment of funds owed to the City by the County.
Mayor Hinkle reviewed the history of the problem with the fairgrounds property.
Dale Palmer indicated that he had spoke with the County Attorney, John MacGibbon,
today and Mr. MacGibbon has sent the necessary paperwork to the City's Attorney
and has not yet had a response. Mayor Hinkle indicated that it was his under-
standing that the City's Attorney has already sent the necessary documents to
Mr. MacGibbon to draw up the deed. It was the consensus that City Staff would
follow up to insure that the process was moving along in a timely manner.
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Counci1member Gunkel commented that she felt it was appropriate to make the
fairgrounds property payment a stipulation of the approval of the bond issue,
inasmuch as the the bond issue is to finance additional space for the County.
Councilmember Gunkel explained that the City too has an urgent need for additional
space, but is unable to help themselves.
COUNCILMEMBER ENGSTROM MOVED TO APPROVE RESOLUTION 86-36, A RESOLUTION RELATING TO
$1,750,000 LAW ENFORCEMENT CENTER FINANCING, DETERMINING THE NECESSITY THEREFOR
AND AUTHORIZING CERTAIN PROCEEDINGS THEREFOR. COUNCILMEMBER SCHULDT SECONDED THE
MOTION. THE MOTION PASSED 4-0.
Discussion was carried on regarding the review of the maturity schedule. It was
the consensus of the City Council that they personally would not need to review
the maturity schedule, and that the City's 1awfirm, as bond consultant, would
review it and advise the City Council.
Further discussion was carried on regarding the sale of bonds by the City on
July 21st in relation to the County bond issue sale. It was the consensus of
those present that the County bond issue be set for July 29th, 1986 at the County
Administration offices at 7:30 p.m.
6.
Liquor Licenses for 1986/87
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The City Council reviewed the status of liquor license applications as shown on
the list attached to the memo to the Mayor and City Council from Sandy Thackeray,
Administrative Secretary, dated June 19, 1986. City Administrator Patrick K1aers
noted that since the memo was written, the application and certificate of Insurance
for the Sherburne County Lions club had been received. He also noted that the
operator of the. Empress Gardens Restaurant has stated he is not interested in
renewing his liquor license.
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Councilmember Engstrom , offered the following
resolution and moved its adoption:
RESOLUTION NO. 86-36
RESOLUTION RELATING TO Sl,750,000 LAW ENFORCEMENT
CENTER FINANCING, DETERMINING THE NECESSITY THEREFOR
AND AUiHORIZING CERTAIN PROCEEDINGS THEREFOR
BE IT RESOLVED by the City Council (the Council) of the
City of Elk River, (the City) as follows:
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Section 1. Recitals. It is hereby found, determined and
declared that the present jail/law enforcement center owned and
operated by Sherburne County, Minnesota (the County) is
inadequate and that certain repairs, expansion and related
construction are necessary to meet the governmental purposes of
the City and County. This Council has received a proposal from
Ehlers and Associates, Inc., financial consultants to the
County, whereby the County will lease or sell the existing
facility to the City, the City will issue obligations the
proceeds of which will be used to upgrade the facility, the
City will lease the upgraded facility to the County which will
pledge its full faith and credit and taxing powers to the lease
payments payable to the City under the lease, the City will
pledge such lease payments to the payment of the principal of
and interest on the obligations issued to upgrade the facility,
and the City will convey legal title to the upgraded facility
to the County at the end of the lease term. On the basis of
the information provided to the County, such proposal from
Ehlers and Associates is acceptable, and it is hereby
determined to proceed with such financing.
Section 2.
to such further
Board, the cost
follows:
Project Costs; Additional Proceedinqs. Subject
changes as may be deemed necessary by this
of such project is presently estimated as
Constnlction costs
Contingency
Design and inspection
Legal, fiscal, administrative
Less investment earnings
Subtotal
Plus discount allowance
$1,531,865
75,000
110,000
40,000
(40,000)
$1,716,865
33,135
$1,750,000
Total
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All.det~ils ~f such.financing and provisions for payment of any
obllgatlons lssued In furtherance therefor shall be negotiated
by re?resentatives of the City, the County, Ehlers and
Assoclates, Inc. and Larkin, Hoffman, Daly & Lindgren, Ltd.,
bond counsel, and shall be subject to the further approval of
the Attorney for the City and this Council. All officers
employees and agents for the City are hereby authorized a~d
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directed to provide any preliminary information prudent for
these purposes. The Attorney for the City is authorized to
assist in the preparation of such additional resolutions and
other documents as may be appropriate and necessary to the
financing.
Adopted this
23rd day
of Juneh 1ge6. "
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The motion for the adoption of the foregoing resolution was
duly seconded by councilmember Schuldt
, and upon vote being
taken thereon, the following voted in favor thereof:
Mayor Hinkle, Councilmembers Gunkel, Schuldt, and Engstrom
and the following voted against the same:
None
whereupon the resolution was declared duly passed and adopted.
SOK:CFl