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RESOLUTION NO. 2018-105 <br />A RESOLUTION AWARDING THE SALE OF A GENERAL <br />OBLIGATION EQUIPMENT CERTIFICATE OF INDEBTEDNESS, <br />SERIES 2018A, IN THE ORIGINAL AGGREGATE PRINCIPAL <br />AMOUNT OF $940,000; FIXING ITS FORM AND SPECIFICATIONS; <br />DIRECTING ITS EXECUTION AND DELIVERY; AND PROVIDING <br />FOR ITS PAYMENT <br />NOW THEREFORE BE IT RESOLVED By the City Council of the City of Lake Elmo, <br />Washington County, Minnesota (the "City") as follows: <br />Section 1. Sale of Certificate. <br />1,01. Authorization. <br />(a) The City 'is authorized by Minnesota Statutes, Minnesota Statutes, Sections <br />412,301 (the "Act") to issue its general obligation equipment certificates of <br />indebtedness on such terms and in such manner as the City determines to finance <br />the acquisition of certain items of capital equipment, which is expected to include <br />a fire engine and a dump truck (the "Equipment"), subject to certain limitations <br />contained in the Act. <br />(b) It is necessary and expedient to the sound financial management of the affairs of <br />the City to issue a $940,000 General Obligation Equipment Certificate of <br />Indebtedness, Series 2018A (the "Certificate") pursuant to the Act to provide <br />financing for the acquisition of the Equipment. <br />(c) As required by the Act, (i) the expected useful life of the Equipment is or will be <br />at least as long as the term of the Certificate; and (ii) the principal amount of the <br />Certificate will not exceed 0.25 percent of the estimated market value of taxable <br />property in the City for taxes payable in 2018, which is the market value as last <br />finally equalized. <br />(d) The City is authorized to negotiate the sale of the Certificate pursuant to an <br />exception under Minnesota Statutes, Section 475.60, subdivision 2(a) for up to <br />$1 200,000 of obligations in a 12-month period, which the City has determined it <br />will not exceed. The actions of the City staff and financial advisers in negotiating <br />the sale of the Certificate are ratified and confirmed in all aspects. <br />Section 2. Details of Certificate, <br />2.01. Purchase of Certificate. The offer of Lake Elmo Bank (the "Purchaser") to <br />purchase the Certificate is found to be a reasonable offer and is accepted, the proposal being to <br />purchase the Certificate at a price of $940,000, plus accrued interest to date of delivery, for a <br />Certificate bearing interest at the rate of 2.700% per annum. <br />536168v2 JSB LA515-53 2 <br />