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HomeMy WebLinkAbout26-001 - EDA Resolution - Providing for Issuance and Sale of Lease Rev Bonds 2026ALINO LAKES ECONOMIC DEVELOPMENT AUTHORITY RESOLUTION NO.26-1 RESOLUTION PROVIDING FOR THE ISSUANCE AND SALE OF LEASE REVENUE BONDS (CITY OF LINO LAKES, MINNESOTA PUBLIC WORKS FACILITY LEASE), SERIES 2026A, IN THE PROPOSED AGGREGATE PRINCIPAL AMOUNT OF $27,440,000 BE IT RESOLVED By the Board of Commissioners (the "Board") of the Lino Lakes Economic Development Authority (the "Authority") as follows: 1. Authorization. (a) The Authority is an economic development authority formed by resolution of the City Council of the City of Lino Lakes, Minnesota (the "City") under the provisions of Minnesota Statutes, Sections 469.090 through 469.1082, as amended (the "EDA Act"). The Authority is authorized to issue revenue bonds pursuant to Section 469.103 of the EDA Act and Minnesota Statutes, Chapter 475, as amended (collectively, the "Financing Act"). (b) The City and the Authority have determined that it is in the best interests of the City and its residents that the City undertake the acquisition, construction, and equipping of a new public works building (the "Facilities") to be located in the City (the "Project"). (c) The Authority has proposed to finance the Project through the issuance and sale by the Authority of its Lease Revenue Bonds (City of Lino Lakes, Minnesota Public Works Facility Lease), Series 2026A (the "Bonds"), in the proposed aggregate principal amount of $27,440,000, pursuant to the Financing Act and Minnesota Statutes, Section 465.71, as amended (collectively, the "Act"). (d) In connection with the issuance and sale of the Bonds, the Authority intends to enter into a ground lease between the City, as lessor, and the Authority, as lessee, regarding the real property on which the Facilities are located (the "Ground Lease"), and a Lease -purchase agreement between the Authority, as lessor, and the City, as lessee (the "Lease"), all pursuant to Section 465.71 of the Act. (e) Pursuant to the Lease, the City intends to lease the Facilities from the Authority and pay lease payments to the Authority in the amount necessary to pay debt service on the Bonds, subject to the City's right of non -appropriation in each fiscal year. (f) It is necessary and expedient to the sound financial management of the affairs of the City and the Authority that the Project be financed through the issuance and sale of the Bonds by the Authority in accordance with the Act. 4929-9302-7988.1 (9) Under Section 469.103, subdivision 3 of the Act, the Authority may sell the Bonds in the manner and for the price that the Authority determines to be in the best interests of the Authority. Section 2. Sale of Bonds. For the purposes described herein, the Authority will issue and sell the Bonds in the proposed aggregate principal amount of $27,440,000. The principal amount of the Bonds is subject to adjustment in accordance with the official Terms of Proposal to be prepared in connection with the offering and the sale of the Bonds. Section 3. Authority of Municipal Advisor. Ehlers and Associates, Inc. (the "Municipal Advisor") is authorized and directed to negotiate the sale of the Bonds. The Board will meet on Tuesday, April 27, 2026, or another date selected by Authority or City staff, to consider proposals on the Bonds and take any other appropriate action with respect to the Bonds. Section 4. Authority of Bond Counsel. The law firm of Kutak Rock LLP, Minneapolis, Minnesota, as bond counsel to the Authority and the City ("Bond Counsel"), is authorized to act as bond counsel and to assist in the preparation and review of the Ground Lease, the Lease, and other related documents (the "Lease Documents"), certificates and instruments relating to the Bonds. The officers, employees and agents of the Authority are hereby authorized to assist Bond Counsel in the preparation of such Lease Documents, certificates, and instruments. Section 5. Covenants; Documents. In the resolution awarding the sale of the Bonds, the Board will set forth the covenants and undertakings required by the Act and approve the forms of the Lease Documents and any other documents to be executed in connection with the issuance of the Bonds. Section 6. Official Statement. In connection with the sale of the Bonds, the officers or employees of the Authority are authorized and directed to cooperate with the Municipal Advisor and participate in the preparation of an official statement for the Bonds and to deliver it on behalf of the Authority upon its completion. Section 7. Reimbursement. On November 10, 2025, the City Council of the City adopted Resolution No. 25-155 (the "Reimbursement Resolution") declaring the official intent of the City to reimburse expenditures with respect to the Project from proceeds of bonds to be issued by the City or the Authority for purposes of Treas. Reg. § 1.150-2, issued by the Internal Revenue Service. The Board hereby incorporates the Reimbursement Resolution herein. Adopted by the Board of Commissioners of the Lino Lakes Economic Development Authority this 23`d day of March, 2026. ichael Ruhland, President ATTEST: Karen nderson, Executive Director 4929-9302-7988.1