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MINUTES <br />CITY COUNCIL <br />OCTOBER 24, 2007 <br />related to this debt. The Administrator noted that the City has an annual <br />limit of $10,000,000 in bank qualified debt. He noted that even with this <br />potential issue, the City's issued debt is well under that limit <br />The City Administrator reported that Briggs & Morgan will serve as the <br />City's bond counsel in this matter. The Administrator indicated St. John's <br />would be responsible for all costs incurred by the City due to this issuance. <br />He also noted that the City has a policy of charging 1% as an issuance fee <br />for tax-exempt debt, and a .25% fee to refinance bonds. The City <br />Administrator indicated that the Council must decide on whether or not to <br />charge the issuance fee to St. John's. <br />The Council had a lengthy discussion on the issuance fee focusing on <br />applying the City's policy in an equitable manner. The Administrator <br />indicated that there is not a lot of City staff time involved in the issuance, <br />and St. John's would be reimbursing the City for time spent by Briggs & <br />Morgan. It was pointed out that the City has enjoyed a good relationship <br />with St. John's over many years. St. John's is not afor-profit business, <br />and the suggestion was made that the policy could be adjusted relative to <br />community-based non-profit organizations. <br />Jean Messersmith, St. John's Church, thanked the Council for their <br />consideration of the conduit financing. She also noted that the 1% <br />issuance fee translated to approximately $20,000 for this financing, and <br />asked for any consideration that the City could give relative to the fee. <br />The consensus of the Council was to apply the .25% fee level that applies <br />to debt used to refinance bonds previously issued by the City. <br />The City Administrator pointed out that the conduit financing matter will <br />have to be considered at a public hearing proposed to be scheduled on <br />November 14, 2007. <br />Ms. Allan introduced the following resolution and moved its adoption: <br />RESOL UTION NO.2007-10-282 -CALLING FOR A PUBLIC <br />HEARING ON NOVEMBER 14, 2007AT 7:30 P.M. ONA PROPOSAL <br />FOR A PRIVATE SCHOOL FACILITY PROJECT PURSUANT TO <br />MINNESOTA LAW, AND AUTHORIZING THE PUBLICATION OF <br />A NOTICE OF THE HEARING, WITH THE STIPULATION THAT <br />ST. JOHN'S CHURCH REIMBURSE THE CITY FOR ALL COSTS <br />ASSOCL4TED WITH THIS FINANCING PL US AN ISSUANCE FEE <br />OF.25% <br />30 <br />