2002.02.19 RESO 2002-0003 - Laserfiche WebLink

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CITY OF HUGO, MINNESOTA RESOLUTION NO. 2002 - 3 RESOLUTION AWARDING THE SALE OF, AND PROVIDING THE FORM, TERMS, COVENANTS AND DIRECTIONS FOR THE ISSUANCE OF ITS TAXABLE TAX, INCREMENT REVENUE NOTE (HUGO LAND DEVELOPMENT, LLC PROJECT), SERIES 2002, IN THE ORIGINAL AGGREGATE PRINCIPAL AMOUNT OF $610,535 BE IT RESOLVED BY the City Council ("Council") of the City of Hugo, Minnesota (the "City") as follows: Section 1. Authorization: Award of Sale. 1.01. Authorization. The City has heretofore authorized the establishment of a municipal development district- designated as Development District No. 1 (the "Development District") pursuant to Minnesota Statutes, Sections 469.124-469.134, as amended. The City has heretofore approved the establishment of Tax Increment Financing District No. I 1 (the "TIF District"), pursuant to Minnesota Statutes, Sections 469.174-469.179, as amended (the "Tax Increment Act"), within the Development District, and has adopted a tax increment financing plan for the purpose of financing certain improvements within the Development District. Pursuant to Minnesota- Statutes, Section 469.176, the City is authorized to issue and sell its bonds for the purpose of financing a portion of the capital and administration costs of the Development District. Such bonds are payable from all or any portion of revenues derived from the TIF District and pledged to the payment of the bonds. The City hereby finds and determines that it is in the best interests of the City that it issue and sell its Taxable Tax Increment Revenue Note (Hugo Land Development, LLC Project), Series 2002 (the "Note"), in the original aggregate principal amount of $610,535, for the purpose of financing certain capital and administration costs of the Development District. 1.02. Issuance, Sale, and Terms of the Note. The Note is issued in accordance with that certain Amended and Restated Development Agreement between the City and Hugo Land Development, LLC, a Minnesota limited liability company (the "Developer') dated February , 2002 (the "Agreement"). The Developer has retained Miller Johnson Steichen Kinnard, Inc. (the "Placement Agent') to arrange the sale of the Note. The City hereby authorizes issuance of the Note in accordance with terms set forth in this Resolution to the purchaser designated by Placement Agent, at a price of par. The Note shall be dated as of the date of delivery thereof and shall bear interest at the rate of 7.25% per annum to maturity. The Note shall be payable in