04-08-2020 Council Packet - Laserfiche WebLink

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12492647v1 March 31, 2020 Page 2 The City would receive an issuer’s fee of ¼ of 1% of that portion of the 2020 Bonds that represents the construction of Phase II. Based on a $50,000,000 par amount (current expectation is that it would be between $47,000,000 and $49,000,000), that works out to approximately $38,000,000, for a total of approximately $87,500 to $95,000. The City previously received a fee for the issuance of the 2018 Bonds. The 2020 Bonds are currently anticipated to be issued in early June. The Bonds, as issued, shall not constitute a charge, lien, or encumbrance, legal or equitable, upon any property or funds of the City except the revenues and proceeds pledged to the payment thereof, nor shall the City be subject to any liability thereon. The holders of the Bonds shall never have the right to compel any exercise of the taxing power of the City to pay the outstanding principal on the Bonds or the interest thereon, or to enforce payment thereof against any property of the City. The Bonds will recite in substance that the Bonds, including interest thereon, are payable solely from the revenue and proceeds pledged to the payment thereof. The Bonds shall not constitute a debt of the City within the meaning of any constitutional or statutory limitation. Taft Stettinius & Hollister LLP (formerly known as Briggs and Morgan) will act as the City’s bond counsel and Northland Securities will act as the underwriter. I have provided to you a resolution to be considered at the City’s Council meeting on April 8th, which grants authority to the City Administrator to set the date for the necessary public hearing. We anticipate that public hearing and the final approving resolution would occur at the City’s May 13th meeting. Given the country’s current public health crisis, I have drafted the resolution to provide for flexibility is setting that public hearing date and to allow for it to be held electronically or telephonically. Following adoption of the resolution on April 8th, we will take care of submission of the public hearing notice to the St. Paul Pioneer Press and will provide you with a copy of the housing program that will be maintained on file for inspection by the public. If City Hall is closed, the housing program may need to be made available by other means, such as by mail or email upon request or posting it on the City’s website. Please feel free to contact me if you have additional questions or comments. I can be reached at 612-977-8765 or ccourtney@taftlaw.com.