81-2532A - Laserfiche WebLink

Home Browse Search

.' ' '. ~ 1.3. The increase in the amount and men tal serv ices requ i res the need for deve lopmen t and use of land to prov ide base to finance these costs. cost of govern- mar e in tens i ve an adequate tax 1.4. Cimarron Partnership, a Minnesota limited partnership (the "Company"), has advised this Council that it desires to acquire land, acquire and construct a building thereon and acquire and install equipment therefor (the "Project") as a commerc ial off ice bui ld- ing. 1.5. The existence of the Project in the City will contribute to more intensive development and use of land to increase the tax base of the City and overlapping taxing authorities and maintain and provide for an in- crease in opportunities for employment for residents of the City. 1.6. The City has been advised that conventional, commercial financing to pay the capi tal cost of the Project is available at such costs of borrowing that the economic feasibility of operating the Project would be significantly reduced, but that with the aid of munici- pal financing and its resulting low borrowing cost the project is economically more feasible. 1.7. This Council has been advised by a represena- tive of Miller & Schroeder Municipals, Inc., of Minnea- pOlis, Minnesota, investment bankers and dealers in municipal bonds, that on the basis of information sub- mitted to them and their discussions with representa- tives of the Company and potential buyers of tax-exempt bonds, industrial development revenue bonds, notes or other Obligations of the City could be issued and sold upon favorable rates and terms to finance the Project. 1.8. The City is authorized by Minnesota Statutes, Chapter 414, to issue its revenue bonds, notes or other obligations to finance the cost, in whole or in part, of the acquisition, construction, reconstruction, improve- ment or extension of capital projects consisting of properties used and useful in connection with a revenue- produc lng en terpr ise, such as that of the Company i the issuance of such bonds, notes or other obligat ions by the City would be a substantial inducemen t to the Com- pany to construct its facility in the City. 2. On the basis of information given the City to date, it appears that it would be in the best interest of the City to issue its industrial development revenue bonds, notes or other obligat ions under the prov is ions of Chapter 474 to - 4 -