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#11 - Conduit Bonding Discussion
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#11 - Conduit Bonding Discussion
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E. All of the bonds for new money projects described in this Private Activity <br />Revenue Bond Policy require a public hearing held by the City at some time after <br />the public hearing. Housing bonds under Chapter 462C require, prior to <br />publication of notice of the public hearing, submission of a Housing Program to <br />the Metropolitan Council. The Housing Program must be approved by the <br />Metropolitan Council. Following such public hearing, the City will adopt a final <br />bond resolution approving the documentation to be executed by the City and <br />authorizing the execution of said documents and the issuance of the bonds. <br />F.Prior to the issuance of bonds (other than housing bonds issued under the Housing <br />Act), and following the public hearing, the City must file an application for <br />approval of the bond issue with the Minnesota Department of Employment and <br />Economic Development ( "DEED "). The application is considered routine if the <br />proper documentation is filed including the completed application form, the City's <br />bond resolution, a preliminary bond counsel opinion, evidence of the public <br />hearing, and a letter of preliminary intent from the applicant's chosen bond <br />underwriter, placement agent or lender to underwrite the bond issue. DEED <br />approval is required before issuance of the bonds. <br />G. Until the bonds are issued, the City reserves the right to: <br />1) Reject applicant's choice of underwriter, trustee, paying agent, placement <br />agent, or legal counsel. <br />2) Require corrections or amendments to any legal document. <br />3) Reject the proposal and the issuance of the bonds if the City determines, in <br />its sole discretion, that the financing is not in furtherance of the City's <br />goals or is otherwise unacceptable, even if preliminary approval for the <br />proposal or any part of the proposal being separately considered has <br />previously been given. <br />Page 6
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