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HomeMy WebLinkAbout96-047 d J .( . STATE OF MINNESOTA COUNTY OF RAMSEY CITY OF ARDEN HILLS RESOLUTION NO. 96 - 47 A RESOLUTION APPROVING P ARTICIP A TION IN FINANCING, CONSTRUCTION AND OPERATION OF A FOUR-SHEET ICE FACILITY WHEREAS, the City of Arden Hills ("City") has determined a need to provide its residents with access to an indoor ice arena intended to be used predominantly for youth athletic activities; and WHEREAS, the Minnesota Amateur Sports Commission ("MASC") proposes to construct and operate a facility consisting of four Olympic-size ice sheets and related facilities (the "Facility") on the property ofthe National Sports Center located in Blaine, Minnesota; and WHEREAS, the Cities of Arden Hills, Mounds View, New Brighton and Shoreview have been offered the opportunity to participate in the construction and operation of the Facility, thereby obtaining a priority right to schedule ice time with respect to the ice surfaces at the Facility; and . WHEREAS, the financing of the Facility will be undertaken by the issuance ofrevenue bonds of the Anoka County Housing and Redevelopment Authority (the "HRA"), the proceeds of which will be used to acquire a general obligation bond of Anoka County, Minnesota (the "County"); and WHEREAS, the County is required, as a condition to issuance of its general obligation bonds, to receive an analysis provided by a professional experienced in finance, supporting a finding that the Facility's revenues and other available money will be sufficient to pay debt service with respect to the bonds; and WHEREAS, the County, the HRA, and MASC will enter into an agreement pursuant to which the Facility will be financed and constructed, and MASC will pledge revenues of the Facility to the repayment of the bonds; and WHEREAS, MASC has proposed that there will be an agreement to be entered into among MASC, the City and other participating cities setting forth the respective rights and obligations of the parties with respect to the Facility; and WHEREAS, Ramsey County has included $500,000 in their 1997 tax levy to participate in the project by funding the initial capital contribution requirement; and . . f' . . . Resolution No. 96 - 47 September 30, 1996 Page Two WHEREAS, the City is authorized by Minnesota Statutes 475 to enter into an agreement with respect to financing the Facility; and is further authorized by Minnesota Statutes, Section 471.191, to secure its obligations pursuant to the agreement by a first charge on the gross revenues of the Facility and to provide for a levy of taxes for the payment of operating costs of the Facility to the extent that revenues are insufficient therefore, NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ARDEN HILLS, MINNESOTA: 1, The City hereby determines and agrees to participate in the financing, construction, operation and use of the Facility, provided that the City's participation shall be in an amount established within a supplemental agreement between the Cities of Arden Hills, Shoreview, Mounds View, and New Brighton. 2. The City agrees to secure rental income for the Facility in an amount at least equal to the agreed-upon hourly rental rates times its Percentage Share of agreed-upon prime time hours (not less than 2,080), which rental income shall be passed through for the purpose of paying debt service with respect to the bonds and paying operating costs of the Facility. 3, The agreement to participate in this project is subject to the following conditions: A. Approval of the Master Agreement between the MASC and all of the participating communities; B. Approval of a Supplemental Agreement, including a $500,000 escrow, between the Cities of Arden Hills, Mounds View, New Brighton, and Shoreview and the Mounds View and lrondale Youth Hockey Associations; C. Approval of a Supplemental Agreement between the Cities of Arden Hills, Mounds View, New Brighton, Shoreview and Ramsey County which includes the County's $500,000 capital contribution toward the project; D, Review of the final agreements by the City's Accountant and Financial Advisor to determine future impact on the City's Bond rating; E. Participation in the project by the Cities of Mounds View, New Brighton and Shoreview; and F, Financial commitment from communities for all four sheets of ice at the National Sports Center. J'" ,." , . . . Resolution No, 96 - 47 Page Three September 30, 1996 PASSED AND ADOPTED BY THE CITY COUNCIL OF HE CITY OF ARDEN HILLS THIS 30TH DAY OF SEPTEMBER, 1996. ATTEST: ~t::: --.-.- ./ .r--'~"-'- ..- -..' <,...-""; ~ . ./ ,,/~~ BRIAN FRlTSINGER, ITY ADMINISTRATOR