Title
RESOLUTION AGREEING TO MAKE IMPROVEMENTS TO THE DEDA PORTION OF THE SLIP 2 DOCK FACE AND TO IMPOSE DECLARATION RESTRICTIONS
Body
CITY PROPOSAL:
RESOLVED, that, pursuant to the authorization contained in Resolution No. 15D-45 of the Duluth Economic Development Authority (“DEDA”), city hereby agrees that it will cause to be made those improvements to the portion of the dock face of Slip No. 2 in BAYFRONT DIVISON on the face of DEDA-owned property, which improvements are described in the plans therefore approved pursuant to that certain development agreement between DEDA and Pier B Holding LLC for “The Silos at Pier B Project”, to be constructed by the developer on said DEDA portion of the dock face, all in accordance with the requirements of Minnesota State Department of Employment and Economic Development and the Commissioner of Minnesota Management and Budget pursuant to that certain Construction Grant for the Pier B Bayfront Development Project under Redevelopment Grant Program RDGP-12-0044-o-FY12 and to execute a Declaration in the form attached to said Grant imposing restrictions on the property upon which said construction work is performed.
Statement of Purpose
STATEMENT OF PURPOSE: The purpose of this resolution is to document for the benefit of the State of Minnesota that the City is authorized to use grant proceeds from Redevelopment Grant Program RDGP-12-0044-o-FY12 to reconstruct the DEDA-owned portion of the east dock face of Slip No. 2 along with the City-owned portion and committing the City to impose the state required restrictions on the property in the form of a Declaration as part of the Pier B Project.
As part of the financing structure of the Project, the City had secured a redevelopment grant, a portion of which was programed to use for the reconstruction of the east dock face of the slip (adjacent to Bayfront Festival Park). A portion of the property upon which the dock face exists is owned by DEDA and therefore the State is requiring that the City pass a resolution accepting authorization from DEDA to do the work and committing to put the normal, state-required restrictions on the property in the form of a Declaration. The Declaration essentially prohibits the City from selling the property without the State’s consent for the useful life of the improvements.
This resolution will allow the City to comply with the State’s requests.