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Mr. Kurt Ulrich May 19, 2004 Page 2 • prescribed by law. Except in the case of obligations for which an election is not required by this Chapter or by state law, no such obligations shall be issued and sold without the approval of the majority of the voters voting on the question at a general or special election. Subdivision 2. A description of each such proposed issue shall be published in the City Newsletter,but failure to give such description, or any defect in the description, shall not invalidate the issue. A plain reading of the second sentence of subdivision 1 of Section 7.10 of the Charter provides that in situations where debt obligations may be issued by the City without an election pursuant to state law, an election is not required to be conducted by the City pursuant to the Charter. In the specific case of a public improvement project, including street improvements, Minn. Stat. § 475.58, subd. 1(3) specifically provides that no election is required by a city for the issuance of debt obligations to finance the improvement project if the requirements of Minn. Stat. § 475.58, subd. 1(3) are satisfied. The statute specifically provides as follows: 475.58 Obligations; elections to determine issue. Subdivision 1. Approval by electors; exceptions. Obligations • authorized by law or charter may be issued by any municipality upon obtaining the approval of a majority of the electors voting on the question of issuing the obligations, but an election shall not be required to authorize obligations issued: * * * * (3) for an improvement or improvement program, which obligation is payable wholly or partly from the proceeds of special assessments levied upon property specially benefited by the improvement or by an improvement within the improvement program, or of taxes levied upon the increased value of property within a disrict for the development of which the improvement is undertaken, Ji , including obligations which are the general obligations of the municipality, if the municipality is entitled to reimbursement in whole or in part from the proceeds of such special assessments or taxes and not less than 20 percent of the cost of the improvement or the improvement program is to be assessed against benefited property or is to be paid from the proceeds of federal grant funds or a combination thereof, or is estimated to be received from such taxes within the district; Thus, if the City intends to finance the 2004 street improvement project consistent with the authority provided by Minn. Stat. § 475.58, subd. 1(3)with an amount equal to or exceeding at least 20% of the improvement project being specially assessed to the benefitted properties,no election is required pursuant to state law, nor is any election required pursuant to City Charter Section 7.10. • Such interpretation is consistent with the plain reading of City Charter Section 7.10. SJR-248008v1 MU210-4