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5.3. SR 03-11-2002MEMORANDUM Item 5.3. TO: FROM: DATE: SUBJECT: Mayor and City Council Lori Johnson, Finance Director March I I, 2002 Consider Resolution Initiating Process for Consideration of Development Project (Public Safety and ERMU Buildings) Plans are proceeding for the construction of a public safety facility and the relocation of Elk River Municipal Utilities to City Hall with construction estimated to start this June. The City Council has proposed financing these buildings with lease revenue bonds issued by the Economic Development Authority. Because there are several different parties, the EDA, ERMU and City, involved in this project, and because this is a lease revenue bond, there will be numerous steps and action items that require official action in the financing process. The first step is for the EDA and City Council to call separate public hearings to discuss the proposal that the EDA establish Development Project No. 1 and adopt the development program for the development project collectively called "the Plans." The development project includes authorization for the EDA to issue bonds to finance construction of the public safety and public utility buildings. The attached resolution calls for the public hearings to be held at the April 8 EDA and City Council meetings. Public comment on the Plan must be taken at both the EDA and City Council meetings. The Planning Commission will also be reviewing the Plan on March 26 to determine the consistency of the Plan with the City's comprehensive plan. However, all comments on the financing component of the Plan will be directed to the EDA and City Council. Action Requested The City Council is asked to consider the attached resolution initiating process for consideration of development project. S:Council/Lori/ResolDevProj.doc RESOLUTION 02- A RESOLUTION OF THE CITY OF ELK RIVER A RESOLUTION INITIATING PROCESS FOR CONSIDERATION OF DEVELOPMENT PROJECT BE IT RESOLVED by the City Council (the "Council") of the City of Elk River, Minnesota (the "City"), as follows: 1. Recitals a) Pursuant to Minnesota Statutes, Sections 469.090 through 469.108, the Elk River Economic Development Authority (the "EDA') is authorized to exercise development and redevelopment powers. b) The EDA proposes to establish its Development Project No. 1 (the "Project") and adopt the Development Program for the Project (collectively, the "Plans"). c) The EDA has requested that the Council hold a public hearing on the Plans, as required by Minnesota Statutes, Section 469.028. Public Hearing The Council will hold a public hearing on the Plans at a meeting of the Council to be held at the City Hall on Monday, April 8, 2002. The staff of the City is hereby authorized and directed to cause the notice of public hearing which is attached to this Resolution to be published in the City' official newspaper not more than 30 and not less than 10 days prior to the scheduled hearing date. Passed and adopted this 11th day of March 2002. ATTEST: Stephanie Klinzing, Mayor Sandra A. Peine, City Clerk S / admin/ resolution/ resolution 02- NOTICE OF PUBLIC HEARING OF THE ELK RIVER CITY COUNCIL NOTICE IS HEREBY GWEN that the City Council of the City of Elk River, Minnesota, will hold a public hearing on Monday, April 8, 2002, at a meeting of the Council beginning at approximately 6:30 p.m., Central Time, in the Elk River City Hall, at 13065 Orono Parkway, Elk River, Minnesota, relating to the proposal that the Elk River Economic Development Authority establish its Development Project No. 1 (the "Development Project") and adopt the Development Program for the Development Project (collectively, the "Plans"); all pursuant to and in conformity with applicable law, including Minnesota Statutes, Sections 469.001 through 469.047, 469.124 through 469.134, and 469.090 through 469.1081. The Development Project would be approved as a "redevelopment project" within the meaning of Minnesota Statutes, Section 469.002, Subdivision 14. A copy of the relative documentation proposed to be considered at the hearing will be on file and available for public inspection at the office of the Elk River City Finance Director at City Hall at least 10 days prior to the public hearing. All interested persons may appear at the public hearing and present their views orally or in writing. 1382791vl