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Council Member P. Johnson offered the following resolution and moved its adoption: RESOLUTION RELA TING TO A PROJECT UNDER THE MUNICIPAL INDUSTRIAL DEVELOPMENT ACT, GIVING THE PROJECT PRELIMINARY APPROVAL SUBJECT TO A PUBLIC HEARING BE IT RESOLVED by the City Council of the City of Roseville, Ramsey County, Minnesota (the "City"), as follows: Section 1. Policy and Purpose. 1.1. For the purpose of providing revenue-producing enterprises, the City is authorized by Minnesota Statutes, Sections 469.152 through 469.165, as amended (the "Act"), to enter into loan agreements with borrowers providing for the City to loan the proceeds derived ITom the issuance of revenue bonds to the borrowers to be used to pay the costs of a project as defined in the Act and providing for the repayment of the loan by the corporation. 1.2. Thomas A. Leach and Dennis M. Leach (referred to herein as the "Borrowers"), have requested that the City issue its revenue bonds (the "Bonds") in the aggregate principal amount not to exceed $3,000,000 under the provisions of the Act to pay for the costs of financing the acquisition, construction, renovation and equipping of an existing manufacturing facility (the "Project"). The facilities to be financed by the Bonds will be located at 2206-2224 Terminal Road in the City. 1.3. The Project would increase the level of economic activity in the City and to the residents of the City and surrounding area. 1.4. The City is advised by representatives of the Borrowers that with the aid of municipal financing, and the resulting lower borrowing cost, the Project would be significantly more feasible. The City is further advised by the Borrowers that approval of municipal financing would be a significant inducement to the undertaking of the Project by the Borrowers. Section 2. Findings. 2.1. Subject to the holding of a public hearing according to law, it appears the issuance of the Bonds will be in the public interest and any competitive nature and impact and effect of the issue upon existing industry and business will not result in an unfair advantage for the proposed project to the substantial detriment of existing enterprises. Section 3. Approval and Authorization. 3.1. Subject to the holding of a public hearing according to law and subject to the mutual agreement of the City, the Borrowers and the initial purchaser of the Bonds as to the details of an indenture, loan agreement and/or other documents necessary to evidence and effect the financing of the Project and the issuance of the Bonds, the issuance of revenue bonds of the City, in one or more series, in an amount not to exceed $3,000,000 is hereby preliminarily approved and authorized to finance the Project. 3.2. Neither this preliminary commitment nor any actions, agreements, or legal matters related hereto or executed in pursuant hereof, shall in any manner or form create an indebtedness of liability of the City.