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5262 <br />RESOLUTION AUTHORIZING A PROJECT UNDER <br />THE MINNESOTA MUNICIPAL INDUSTRIAL <br />DEVELOPMENT ACT AND THE ISSUANCE OF <br />COMMERCIAL DEVELOPMENT REVENUE BONDS <br />TO FINANCE THE PROJECT <br />(RLF OF MINNESOTA PROJECT) <br />BE IT RESOLVED by the Council of the City of Little <br />Canada, Minnesota, as follows: <br />1. The Council has received a proposal from RLF of <br />Minnesota, a Minnesota general partnership (the "Company ") that <br />the City undertake to partially finance a certain Project as <br />herein described, pursuant to the Minnesota Municipal <br />Industrial Development Act, Chapter 474, Minnesota Statutes <br />(the "Act "), through issuance by the City of its $2,030,000 <br />Commercial Development Revenue Bonds, Series 1985 (RLF of <br />Minnesota Project) (the "Bonds "), and in accordance with a Bond <br />Purchase Agreement (the "Purchase Agreement ") between the City, <br />the Company and Miller Securities Incorporated (the "Bond <br />Purchaser "). <br />2. The Company desires to acquire certain real <br />estate and construct thereon a building containing <br />approximately 85,000 square feet and related improvements and <br />equipment suitable for use an office /warehouse facility <br />(hereinafter collectively referred to as the "Project "). The <br />Project as described above will provide employment to <br />additional persons and will otherwise further the policies and <br />purposes of the Act. <br />3. It is proposed that, pursuant to a Loan Agreement <br />dated as of October 1, 1985 between the City, as lender, and <br />the Company, as borrower (the "Loan Agreement "), the City loan <br />the proceeds of the Bonds to the Company to partially finance <br />the cost of the Project. The basic payments to be made by the <br />Company under the Loan Agreement are fixed so as to produce <br />revenue sufficient to pay the principal of, premium, if any, <br />and interest on the Bonds when due. It is further proposed <br />that the City assign its rights to the basic payments and cer- <br />tain other rights under the Loan Agreement to Marquette Bank <br />Minneapolis, N.A., in Minneapolis, Minnesota (the "Trustee ") as <br />security for payment of the Bonds under an Indenture of Trust <br />dated as of October 1, 1985 (the "Indenture ") and that the <br />y,,. <br />8 <br />