HomeMy WebLinkAbout2022-103 Council Resolution CITY OF LINO LAKES
RESOLUTION NO. 22-103
APPROVAL OF INTERFUND LOAN FOR FIRE APPARATUS
WHEREAS, the City has contracted with Custom Fire to purchase two pumper tanker fire
trucks in the amount of$2,262,000.
WHEREAS, the City will finance the purchase through an interfund loan. Interfund loans
eliminate bond issuance costs, bypass continuing disclosure and post issuance compliance
requirements, and allow for better control of the interest rate on the loan.
WHEREAS, the City will loan $2,262,000 from the Sewer Fund (602)to the Capital Equipment
Replacement fund (402) for a ten-year loan term with an interest rate of 1.00%. The annual
payment will be added to the property tax levy for payable years 2024-2033. The interest rate is
based upon investment earning assumptions in the City's most recent utility rate study.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Lino Lakes
approval of the interfund loan in the amount of$2,262,000 from the Sewer Fund to the Capital
Equipment Replacement Fund:
Principal Total Pmt/
Date Issuance Due Interest Due Balance Levy
12/31/2023 $2,262,000 $ - $ - $2,262,000 $ -
12/31/2024 $ $ 226,200 $ 22,620 $2,035,800 $ 248,820
12/31/2025 $ - $ 226,200 $ 20,358 $1,809,600 $ 246,558
12/31/2026 $ $ 226,200 $ 18,096 $1,583,400 $ 244,296
12/31/2027 $ - $ 226,200 $ 15,834 $1,357,200 $ 242,034
12/31/2028 $ - $ 226,200 $ 13,572 $1,131,000 $ 239,772
12/31/2029 $ - $ 226,200 $ 11,310 $ 904,800 $ 237,510
12/31/2030 $ - $ 226,200 $ 9,048 $ 678,600 $ 235,248
12/31/2031 $ $ 226,200 $ 6,786 $ 452,400 $ 232,986
12/31/2032 $ - $ 226,200 $ 4,524 $ 226,200 $ 230,724
12/31/2033 $ - $ 226,200 ; $ 2,262 $ $ 228,462
Adopted by the Council of the City of Lino Lakes this 12th day of September, 2022.
The motion for the adoption of the foregoing resolution was introduced by Councilmember
Cavegn and was duly seconded by Councilmember Lydenand upon vote being taken thereon,
the following voted in favor thereof: Lyden, Stoesz, Cavegn, Rafferty
The following voted against same: None (Absent- Ruhland)
• kr-t
Rob afferty, Mayor
ATTEST:
-li nne Bartell, Cil� Clerk