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HomeMy WebLinkAbout26-038 - Resolution - PW Facility - Auth Lease Revenue Bonds 2026A by EDACITY OF LINO LAKES, MINNESOTA RESOLUTION NO.26-38 RESOLUTION APPROVING THE ISSUANCE OF LEASE REVENUE BONDS (CITY OF LINO LAKES, MINNESOTA PUBLIC WORKS FACILITY LEASE), SERIES 2026A, BY THE LINO LAKES ECONOMIC DEVELOPMENT AUTHORITY IN THE PROPOSED AGGREGATE PRINCIPAL AMOUNT OF $27,440,000 BE IT RESOLVED By the City Council of the City of Lino Lakes, Minnesota (the "City") as follows: 1. Authorization. (a) The Lino Lakes Economic Development Authority (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 Act and Minnesota Statutes, Section 465.71, as amended (collectively, the "Act"). (d) In connection with the issuance and sale of the Bonds, the City 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. 2. Approvals. (a) The City hereby approves the issuance by the Authority of the Bonds in accordance with the terms to be approved by the Board of Commissioners of the Authority 4905-3962-9203.1 (the "Board"), in consultation with Ehlers and Associates, Inc., as municipal advisor to the City and the Authority (the "Municipal Advisor"), in the proposed aggregate principal amount of $27,440,000. The Board will meet on April 27, 2026, or another date selected by staff of the City and the Authority, to approve the issuance and sale of the Bonds to the purchaser and to approve the execution and delivery of the Ground Lease, the Lease, and other related financing documents (the "Lease Documents") to be prepared by Bond Counsel (hereinafter defined). (b) The City Council shall meet on April 27, 2026, or another date selected by staff of the City and the Authority, to approve the forms of Lease Documents and the execution and delivery thereof by the officers of the City. 3. 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 necessary Lease Documents, certificates and instruments relating to the Bonds. The officers, employees and agents of the City are hereby authorized to assist Bond Counsel in the preparation of such documents, certificates, and instruments. 4. Official Statement. In connection with the sale of the Bonds, the officers or employees of the City are authorized and directed to cooperate with Ehlers and Associates, Inc., as municipal advisor to the City and the Authority, and participate in the preparation of an official statement for the Bonds and to deliver it on behalf of the City and the Authority upon its completion. Adopted by the City Council of the City of Lino Lakes this 23rd day of March, 2026. • �w Rob R ert , Mayor ATTEST: Roberta Colotti, CIVIC, City Clerk 2 4905-3962-9203.1