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1 CITY OF ARDEN HILLS COUNTY OF RAMSEY STATE OF MINNESOTA RESOLUTION NO. 2015-032 RESOLUTION CALLING FOR A PUBLIC HEARING AND AUTHORIZING PUBLICATION OF A NOTICE OF PUBLIC HEARING WITH RESPECT TO THE PROPOSED ISSUANCE OF REVENUE BONDS UNDER MINNESOTA STATUTES, CHAPTER 462C, AS AMENDED, FOR THE BENEFIT OF PRESBYTERIAN HOMES OF ARDEN HILLS, INC. WHEREAS, the City of Arden Hills, Minnesota (the “City”) is a statutory city duly organized and existing under the Constitution and laws of the State of Minnesota; and WHEREAS, under the Minnesota Housing Act, Minnesota Statutes, Chapter 462C, as amended (the “Housing Act”), any statutory or home rule charter city may issue revenue bonds or obligations to make a loan to finance a multifamily housing development, including the preparation and construction of a new development and the improvement of an existing building and site by a nonprofit corporation which will operate the building as a multifamily housing development for rental primarily to elderly or disabled persons; and WHEREAS, in the making of a multifamily housing development loan and the issuance of revenue bonds or other obligations under the Housing Act, a city may exercise within its corporate limits any of the powers the Minnesota Housing Finance Agency may exercise under the terms of the Housing Finance Agency Act, Minnesota Statutes, Chapter 462A, as amended; and WHEREAS, Presbyterian Homes of Arden Hills, Inc., a Minnesota nonprofit corporation (the “Company”), and the City entered into a Contract for Private Development, dated December 20, 2010 (the “Development Contract”), pursuant to which the City agreed to issue revenue bonds to finance senior housing facilities (the “Minimum Improvements”) the first phase of which was comprised of independent living units, assisted living units, and memory-care units (a combined total of approximately 200 dwelling units) located at 3120 and 3220 Lake Johanna Boulevard in the City (“Phase I”); and WHEREAS, the Company is prepared to commence the construction of the second phase of the Project (“Phase II”) to be comprised of forty (40) independent-living, rental apartments to be located in two buildings (twenty (20) apartments per building), together with necessary common areas and community space, to be located as 3200 Lake Johanna Boulevard in the City; and WHEREAS, the Company has requested that the City authorize the issuance of revenue bonds or other revenue obligations (the “Bonds”), in a principal amount of approximately $12,000,000, under the terms of the Housing Act to finance a portion of the following: (i) the construction and the equipping of Phase II of the Minimum Improvements; (ii) the payment of a portion of the interest on the Bonds; and (iii) the payment of a portion of the costs of issuing the Bonds; and WHEREAS, Section 147(f) of the Internal Revenue Code of 1986, as amended, and regulations promulgated thereunder, require that prior to the issuance of the Bonds, the City Council (the “Council”)