Resolution Number 21-20
RESOLUTION NUMBER 21-20
RELATING TO THE ISSUANCE OF GENERAL OBLIGATION WATER REVENUE BONDS, SERIES 2020A; COVENANTING AND OBLIGATING THE CITY TO BE BOUND BY AND TO USE THE PROVISIONS OF MINNESOTA STATUTES, SECTION 446A.086 TO GUARANTEE THE PAYMENT OF THE PRINCIPAL AND INTEREST ON THE BONDS
BE IT RESOLVED by the City Council of the City of Mountain Iron, State of Minnesota (herein, the “City”), as follows:
- The City Council hereby finds and declares that it is necessary and expedient for the City to sell and issue its fully registered general obligation water revenue bonds in the total aggregate principal amount of approximately $1,350,000 (herein, the “Bonds”). The proceeds of the Bonds will be used, together with any additional funds of the City which might be required, to finance (i) a water treatment filter project, (ii) a water tower rehabilitation project, and (ii) to pay the costs associated with issuing the Series 2020A Bonds.
- Minnesota Public Facilities Authority Credit Enhancement Program
The following documents have been submitted to the Council and are on file in the office of the City Administrator:
- Form of Minnesota Public Facilities Authority (the “PFA”) Credit Enhancement Program Agreement (the “Agreement”); and
- Application for Participation in the PFA Credit Enhancement Program (the “Application”).
The Agreement and the Application are authorized and approved in substantially the forms presented to the Council. Submission of the Application to the PFA and payment of related fees are approved. The Agreement shall be prepared for execution in accordance with the approved forms and shall be signed by the manual signature of the Mayor and attested by the manual signature of the City Administrator.
The City hereby covenants and obligates itself to be bound by the provisions of Minnesota Statutes, Section 446A.086, as it may be amended from time to time (the “Credit Enhancement Act”). The City understands that as a result of its covenant to be bound by the provisions of the Credit Enhancement Act, the provisions of the Credit Enhancement Act shall be binding as long as any Bonds of this issue remain outstanding.
The City further covenants to comply with all procedures now or hereafter established pursuant to the Credit Enhancement Act by the PFA and otherwise to take such actions as necessary to comply with the Credit Enhancement Act. The Mayor or City Administrator is authorized to execute any applicable PFA forms and to provide for the payment of the City’s application fee of $500.00 payable to the Authority, which fee is required to be submitted with the executed forms.
DULY ADOPTED BY THE CITY COUNCIL THIS 5th DAY OF OCTOBER, 2020.
Mayor Gary Skalko