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with the City, if requested, a final statement of total costs and project equity, certified to by an <br />authorized officer or partner, or the individual applicant, said statement to be filed at time of <br />requesting the Final Resolution. <br />g.The credit rating and method of offering conduit* bonds or notes of the City are important <br />considerations. The City will not entertain applications for such financings unless (i) the debt is rated <br />in the “A” category (or better) by a nationally recognized rating agency or (ii) the debt is sold in a <br />private placement. Debt will be considered sold in a private placement (i) if no advertising or <br />solicitation of the general public occurs, and (ii) if the bonds are initially sold to not more than ten <br />purchasers (not including any underwriter or placement agent as a purchaser) and (iii) the City <br />receives written certification from each initial purchaser (or each underwriter or placement agent <br />based on its reasonable belief) that: (a) such purchaser has such knowledge and experience in <br />financial and business matters that it is capable of evaluating the merits and the risks of the debt, <br />and (b) such purchaser is not purchasing for more than one account or with a view to distributing <br />the debt. <br />In addition, for a private placement either (a) all bonds or notes (except for one bond or note) must <br />always remain in minimum denominations of not less than $100,000, or (b) investment letters from <br />not only each initial purchaser, but from any subsequent purchaser must be obtained which <br />contains the above described certifications from the purchasers. Any offering material for a private <br />placement must prominently state in effect that: “THE CITY OF BLOOMINGTON HAS NOT ASSUMED <br />ANY RESPONSIBILITY TO REVIEW THIS OFFERING MATERIAL AND HAS NO RESPONSIBILITY FOR ITS <br />ACCURACY OR COMPLETENESS. THE CITY HAS NO FINANCIAL OBLIGATION OF ANY NATURE WITH <br />RESPECT TO THE OFFERED BONDS.” <br />Finally, to qualify as a private placement the financing documents must require annual financial <br />statements from the benefited private party (or the ultimate provider of credit) to be delivered to <br />each investor (or a trustee). <br />*The term “conduit” refers to any type of City revenue obligation the proceeds of which are loaned <br />to a private party and for which the City has no financial obligation. <br />h.Applications for acquisition of or replacement of machinery and equipment will be discouraged <br />unless in conjunction with a totally new business in Bloomington, a physical plant expansion of an <br />existing business, or where it is shown that the equipment acquisition is essential to the continued <br />operation of the business in Bloomington. Also, it is the City’s intent to assist where possible in the <br />acquisition of pollution control equipment for any new or existing business being required to meet <br />mandated standards. <br />i.A further permitted use under these guidelines are projects, whether profit or nonprofit, engaged in <br />providing health care services, including hospitals, nursing homes, and related medical facilities, but <br />only when the following findings can be made: <br />1)Number of new jobs and related payroll is relatively significant. <br />2)The project would provide a facility or service, or expansion thereof considered desirable or <br />necessary from a community services standpoint. <br />FINANCIAL MANAGEMENT POLICIES City of Bloomington