2006-147 Council Resolution - Laserfiche WebLink

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• (f) On September 11, 2006 the City held a public hearing regarding a five year capital improvement plan (the "Plan "), and regarding issuance of bonds in the maximum principal amount of $3,950,000 to finance the acquisition of the Facilities through prepayment of a portion of the lease payment under the Lease in an amount allocable to the Facilities, accomplished by issuance of bonds to refund an allocable portion of the Series 1998A Bonds, all in accordance with the Act. On the same date, the City Council approved the Plan providing for issuance of such refunding bonds. (g) The City is authorized by Minnesota Statutes, Chapter 475, and specifically Section 475.67, Subdivision 3 thereof, to issue and sell its general obligation bonds to refund obligations and the interest thereon before the due date of the obligations, if consistent with covenants made with the holders thereof, when determined by the City Council to be necessary or desirable for the reduction of debt service cost to the City or for the extension or adjustment of maturities in relation to the resources available for their payment; (h) Minnesota Statutes, Section 475.67, subdivision 4 permits the sale of refunding obligations during the six month period prior to the date on which the obligations to be refunded may be called for redemption; (i) It is necessary and desirable to reduce debt service costs that the City issue approximately $3,025,000 General Obligation Capital Improvement Plan Refunding Bonds, Series 2006B (the "Bonds ") to refund the 2011 through 2019 • maturities of the Authority's Series 1998A Bonds together with $55,000 of the principal amount of the 2010 maturity of the Series 1998A Bonds, which $3,345,000 in aggregate principal amount is currently outstanding and is callable on February 1, 2006 and any date thereafter. • (j) The outstanding principal amount of the Series 1998A Bonds is $4,210,000, and proceeds of the Bonds will be used to refund no more than 79.5 percent of such outstanding principal amount, which represents the portion of the Series 1998A Bonds allocable to the Facilities (compared to the Complex as a whole). (k) As required by the Act, the City has determined that: (i) the expected useful life of the Facilities will be at least five years; and (ii) the amount of principal and interest due in any year on all outstanding bonds issued by the City under the Act, including the Bonds, will not exceed .16 percent of the taxable market value of property in the City for taxes payable in 2006. (I) The City is authorized by Minnesota Statutes, section 475.60, subdivision 2(9) to negotiate the sale of the Bonds, it being determined that the City has retained an independent financial adviser in connection with such sale. 2. To provide monies to refund a portion of the Series 1998A Bonds as described in Section 1, the City will issue and sell Bonds in the amount of approximately $2,996,263. To provide in part the additional interest required to market the Bonds at