HomeMy WebLinkAbout20070116 - VI-16
January 11, 2007 V-16
TO: The Honorable Mayor and Council
FROM: John Grossman. HRA Director
RE: Resolution - Augustana Revenue Bond Refmancing
The HRA has been asked to issue refunding housing bonds for Augustana Apartments at
901 E 16th Street in Hastings. The HRA issued the original bonds in 2001. The amount
of the new bonds will be $8.3 million. They will not count against the City's 2007 limit
for tax exempt fmancing.
The Internal Revenue Code requires that a government unit of elected representatives
approve the issuance ofthe bonds after a public hearing. The public hearing has been
held at 7 p.rn. at the HRA meeting of January II. The HRA then gave preliminary
approval to the issuance of the bonds. Final approval will be considered at the time of
sale.
ACTION: Approve enclosed resolution authorizing the issue of Housing Revenue
Refunding bonds by the HRA for Augustana Apartments.
CITY OF HASTINGS
RESOLUTION NO. 01-_-07
RESOLUTION OF THE CITY OF HASTINGS
APPROVING THE ISSUANCE OF
MULTIFAMILY SENIOR RENTAL HOUSING REVENUE BONDS
(AUGUST ANA APARTMENTS PROJECT)
-
WHEREAS,
I. On January 11,2007, the Housing and Redevelopment Authority in and for the City of
Hastings (the "HRA") adopted a Resolution giving preliminary approval to the issuance of revenue bonds
in the maximum aggregate principal amount of $8,300,000 (the "Bonds") refunding of the HRA's
Housing Revenue Bonds, Series 2001 (Augustan a Apartments Project), the proceeds of which were used
to finance the acquisition, construction and equipping of a rental housing development consisting of
approximately 80 independent senior housing living units. The facility is located at 90 I 16th Street in the
City of Hastings (the "Project"). The Project is owned and operated by Augustana Apartments of
Hastings, Inc., a Minnesota nonprofit corporation d/b/a Park Ridge Apartments (the "Company").
2. Section I 47(f) of the Internal Revenue Code of 1986, as amended (the "Code") and the
Treasury Regulations promulgated thereunder require that prior to the issuance of the Bonds, the
"applicable elected representative" ofthe governmental unit issuing the Bonds approve the issuance ofthe
Bonds subsequent to a public hearing.
3. The City Council is the "applicable elected representative" for purposes ofthe Code.
4. The HRA held a public hearing on the issuance of the Bonds on January 11,2007, and
following the public hearing gave preliminary approval to the issuance of the Bonds.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Hastings
that, in accordance with the requirements of the Code, the City Council hereby approves the issuance of
the Bonds by the HRA for the purposes described above, subject only to the final approval of the issuance
of the Bonds by the Board of Commissioners of the HRA.
Ayes:
Nays:
Absent:
Adopted this 16th day of January, 2007
Paul J. Hicks, Mayor
Attest:
Melanie Mesko Lee, City Clerk
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STATE OF MINNESOTA
COUNTIES OF nAKOTA ANn WASHINGTON
CITY OF HASTINGS
I, the undersigned, being the duly qualified and acting City Clerk of the City of Hastings,
Minnesota, DO HEREBY CERTIFY that I have compared the attached and foregoing extract of minutes
with the original thereof on file in my office, and that the same is a full, true and complete transcript of
the minutes of a meeting of the City Council of said City, duly called and held on the date therein
indicated, insofar as such minutes relate to the resolution approving the issuance of revenue bonds for the
Augustana Apartments Project.
WITNESS my hand this _ day of ,2007.
City Clerk
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