08/08/2005 Council Packet - Laserfiche WebLink

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PART I I I MISCELLANEOUS MATTERS 1. Ratings. The City will give its most favorable consideration to proposed tax - exempt bond issues that have the same credit rating as the City's obligations by Moody's Investment Service or Standard & Poor's Corporation. Issues carrying lower ratings or non -rated issues may be sold only to institutional or other investors on a private placement basis and must be in denominations of at least $100,000. The City Council may depart from this guideline when, in its judgment, the project is of a level of merit and public purpose to justify the departure; and in case of such a departure, the City Council must state its reasons therefore in the resolution awarding the sale of bonds. 2. Refundings. The City Council will normally approve the refunding of a tax - exempt issue but only upon a showing by the applicant of (i) substantial debt service savings, (ii) the removal of bond covenants significantly impairing the financial feasibility of the project, or (iii) both (i) and (ii). In the case of refunding of bonds for which the administrative fee listed in paragraph 6 of Part II have been paid in full, no new administrative fees are required; but the non - refundable application fee must be paid together with all City expenses in excess of that fee. If any fees related to the initial bond issue have not been paid, such fees must be paid in full prior to closing the refunding bonds. 3. Subsequent Proceedings. Where changes to the underlying documents or credit facilities of outstanding bond issues are to be made and require Council action (including changes that are a "deemed reissuance" under Internal Revenue Service regulation), no administrative fee is charged but a non - refundable fee of $2,000 must be deposited with the City to cover administrative costs. No formal application form is required 4. Issue by Another Political Subdivision. The City will consider requests for tax exempt financing of projects in the City by other political subdivisions. In these cases the non - refundable application fee must be paid and all procedures through the approval of the preliminary resolution followed. No administrative fee is charged. At the Council's discretion, all or part of the application may be waived if there are offsetting benefits resulting, from this financing. 5. City Contact. Initial contacts about tax exempt financing are made by contacting: City Finance Director City of Lino Lakes 600 Town Center Parkway Lino Lakes, MN 55014 (651) 982 -2410 6. Deadlines. The City Council conducts all tax - exempt financing matters at regularly scheduled City Council meetings held on the second and fourth Mondays of each -31-