Title
RESOLUTION AUTHORIZING THE EXECUTION AND RECORDATION OF A DECLARATION
AFFECTING THE MEDICAL ENTITY WEST (ESSENTIA) PARKING RAMP BEING CONSTRUCTED AS PART OF THE REGIONAL EXCHANGE DISTRICT.
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CITY PROPOSAL:
WHEREAS, Resolution No. 20-0288 authorized a Development Agreement with St. Mary’s Duluth Clinic Health System, d/b/a Essentia Health East, a Minnesota nonprofit corporation, for site acquisition, design and construction of a new parking ramp (the “Development Agreement”), located on the real property legally described on Exhibit A to the attached Exhibit 1, (the “Parking Ramp”);
WHEREAS, Resolution No. 22-0407 authorized a first amendment to the Development Agreement, which was executed on December 8, 2023 (the “First Amendment”);
WHEREAS, the City acquired fee simple title to the Parking Ramp on May 31, 2024;
WHEREAS, the acquisition and construction of the Parking Ramp was funded with State of Minnesota appropriation bond proceeds authorized under the Regional Exchange District legislation, Minnesota Laws 2019, 1st Special Session Chapter 6, Article 10, as amended by Section 1 of Laws of Minnesota 2021, 1st Special Session Chapter 9 (the “Legislation”);
WHEREAS, the City entered into a General Fund Appropriation Bond Proceeds Master Grant Agreement Construction Grant, as amended, for the Duluth Regional Exchange District Project on June 24, 2019, with the Minnesota Department of Employment and Economic Development in order to receive funds authorized under the Legislation (the “Grant”);
WHEREAS, a condition of the Grant requires the execution and recordation of a Declaration against the real property improved with the Grant so that it is permanently managed and maintained consistent with the terms of the Grant;
NOW THEREFORE, BE IT RESOLVED, that the proper city officials are hereby authorized to execute a Declaration, substantially in the form attached as Exhibit 1 (the “Declaration”), affecting the real property located in St. Louis County, Minnesota legally described on Exhibit A attached to Exhibit 1.
FURTHER RESOLVED, that the proper city officials are hereby directed to record the Declaration with the St. Louis County Recorder and/or Registrar of Titles.
Statement of Purpose
STATEMENT OF PURPOSE: The purpose of this resolution is to authorize the execution and recordation of a declaration against the City’s ownership of the new Medical Entity West (Essentia) parking ramp being constructed with state grant funds as part of the Regional Exchange District. The declaration requires the City to use and maintain the property in accordance with the provisions, requirements, restrictions and encumbrances of a grant agreement with the Minnesota Department of Employment and Economic Development. A map depicting the site of the parking ramp is attached as Exhibit 2.