2005.xx.xx RESO 2005-0018 - Laserfiche WebLink

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The Council then proceeded to consider and discuss the proposals, after which member Chuck Haas introduced the following resolution and moved its adoption: RESOLUTION 2005-18 RESOLUTION ACCEPTING PROPOSAL ON THE COMPETITIVE NEGOTIATED SALE OF $7,920,000 GENERAL OBLIGATION TAX ABATEMENT BONDS, SERIES 2005A, PROVIDING FOR THEIR ISSUANCE AND PLEDGING TAX ABATEMENTS FOR THE SECURITY THEREOF A. WHEREAS, the City Council of the City of Hugo, Minnesota (the "City") has heretofore established a tax abatement program (the "Program") pursuant to the provisions of Minnesota Statutes, Sections 469.1812 through 469.1815; and B. WHEREAS, the City and Independent School District No. 624, White Bear Lake, Minnesota, (the "School District") have heretofore adopted resolutions (the "Abatement Resolutions"), providing for the abatement of property taxes for a period of fifteen years on various properties in the City, as described in the Abatement Resolutions and the property taxes to be abated are estimated to be at least equal to the principal amount of the Bonds; and C. WHEREAS, the City will issue general obligation tax abatement bonds on behalf of the City and the School District; and D. WHEREAS, the City has heretofore determined and declared that it is necessary and expedient to issue $7,920,000 aggregate principal amount of General Obligation Tax Abatement Bonds, Series 2005A (the "Bonds" or individually, a "Bond"), pursuant to Minnesota Statutes, Chapter 475, and Sections 469.1812 through 469.1815, particularly Section 469.1814, to finance the construction of certain public improvements related to CSAH 8 and Oneka Parkway within the City to be paid for with approximately $6,800,000 of the Bond proceeds, and for the City to disburse approximately $800,000 of the Bond proceeds to the School District for site improvements for the Oneka Elementary School (the "Project"); and E. WHEREAS, the City will enter into a Joint Powers Agreement (the "Agreement") with the School District prior to the settlement of the Bonds for the purpose, in part, of determining the method for the School District to transfer to the City the School District's share of the property taxes payable in the years 2005 through 2019 derived from the increased market value resulting from development on the Tax Abatement Property (as defined in Exhibit A of the Agreement and in the Abatement Resolutions) (the "School District Abatements") to be pledged to the payment of the Bonds and interest thereon together with the City's share of the property taxes payable in the years 2005 through 2019 derived from the increased market value resulting from development on the Tax Abatement Property (the "City Abatements", and together with the School District Abatements, the "Tax Abatements"); and F. WHEREAS, the amount of the property taxes abated are estimated to be at least equal to the principal amount of the Bonds and pursuant to the provisions of the Abatement Resolutions, funds are to be expended to provide money to pay for Project; and G. WHEREAS, it is in the best interests of the City that the Bonds be issued in book - entry form as hereinafter provided; and 2 17542030