Resolution 8745 - Laserfiche WebLink

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1.05. Determinations of the City in Compliance with the Act. As required by the Act, the City has determined that: (i) the expected useful life of the Improvements will be at least 5 years; and (ii) the amount of principal and interest due in any year on all outstanding bonds issued by the City under the Act, including the Bonds, will not exceed 0.16% of the taxable market value of property in the City for taxes payable in 2017. 1.06. Issuance of the Bonds. The City finds it is necessary and expedient to the sound financial management of the affairs of the City to issue its $6,000,000 General Obligation Capital Improvement Plan Bonds, Series 2017A (the "Bonds") pursuant to the Act to provide financing for the Improvements. Section 2. Sale of Bonds. 2.01. Award to the Purchaser and Interest Rates. The City is authorized by Minnesota Statutes, Section 475.60, subdivision 2(9) to negotiate the sale of the Bonds, it being determined that the City has retained an independent financial advisor in connection with such sale. The actions of the City staff and the City's financial advisor in negotiating the sale of the Bonds are ratified and confirmed in all aspects. The proposal of FTN Financial Capital Markets (the "Purchaser") to purchase the Bonds of the City described in the Terms of Proposal thereof is hereby found and determined to be a reasonable offer and is hereby accepted, the proposal being to purchase the Bonds at a price of$6,075,850.24 for Bonds bearing interest as follows: Year Interest Rate Year Interest Rate 2019 3.00% 2024 3.00% 2020 3.00 2025 3.00 2021 3.00 2037* 2.70 2022 3.00 2038 3.50 2023 3.00 *Term Bond 2.02. Purchase Contract. Any original issue premium and any rounding amount shall be credited to the Debt Service Fund hereinafter created, or deposited in the Construction Fund hereinafter created, as determined by the City Finance Director upon consultation with the City's municipal advisor. The City Finance Director is directed to retain the good faith check of the Purchaser,pending completion of the sale of the Bonds, and to return the good faith checks of the unsuccessful proposers. The Mayor and City Administrator are authorized to execute a contract with the Purchaser on behalf of the City, if requested by the Purchaser. 2.03. Terms and Principal Amounts of Bonds. The City will forthwith issue and sell the Bonds pursuant to the Act to the Purchaser in the total principal amount of$6,000,000. The Bonds will be originally dated the date of issuance in the denomination of$5,000 each or any integral multiple thereof, numbered No. R-1 upward, bearing interest as above set forth and maturing serially on February 1 in the years and amounts as follows: 496797v2 JSB MU210-244 3