HomeMy WebLinkAboutResolution 98-31RESOLUTION NO. 98-31
RESOLUTION ELATING TO THE FEES AND EXPENSES TO BE IMPOSED UPON
BOItROWERS IN CONJUNCTION WITH BONDS ISSUED BY THE CITY UNDER
MtNNE~1'A STATUTES, CHAPTER 469, AS AMENDED, AND UNDER
MINNESOTA STATUTES, CHAPTER 462C, AS AMENDED
BE IT RESOLVED by the City Couacil of the Cir~ of Columbl Hgigbu, Mmesola (the
follows:
Seedoa 1. The City of Columbia }leigbts, Minneso~, (tile "Ci~"), is a borne rule city duly
organized and existing under the Conststution and laws of the State of Minnesota and dw Charter of the
City and as authorized to issue teven~ bonds as follows: (i) under Minnesota Statutes, Section 469.152-
469.1651, as mended (the "indusmal Oewdopment Act"), to finance industrial, commercial, and health
care facilities; and (ii) under Minnesota StaxutK Chapter 462C, as amended (the "Housing Act"), to
tinmace muhifamily housing developments for persons and families of low and moderd~ income and for
elderly penons.
Section 2. Upon re~ipt of a request to issue revenue bonds under either the Industrial
DcvHopment Act or the Housing Act. the City will evaluate th~ benefits m the City and make a
determination as to whether it is in the best roterests of the City to issue the proposed series of revenue
bonds (the "Bonds").
.S~c~ion 3. Unless eN3~ssly waived by realmion of the Ci~ Council, the parry or parties
receiving the bendits of the Bonds proposed to be issued under the Industrial Development ACT o/' the
Housing Act (the "Borrower") shall pay on the date of issuance of the Bonds or ~ in the bond
documentation to pay on specified future dates the fees and expenses referenced in this Sectio, 3.
3.01. Fili-a Fee. The Borrower shall pay m the City a nonrefundable filing fee m an mount
determined by the City Manager (but not w exceed $3,000). This filing fee shall be paid prior to thg
consideration of any preliminary resolmion calling a public hearing or prelaminarily appmving the issuance
of the Bonds.
3.02. F~nses. The Borrower shall pay w the Cit~ on the date of issuance of th~ Bonds, or
within five days from the date Of receipt of an invoice ttom the City, the mount ofthe expenses paid or
recurred by The City with respect to the i~suance of the Bonds. Such eapenses include, but mv not limited
to, charges for the laablication of pbnblic hearing notices, legal fees, financial analys~ fen, bond counsel
fee.~, and out-of-pockct expenses paid or incurred by City staR'
3 03. Date d Issuance Fly. On me date of issuance of the Bonds, the Borrower shall pay to the
City a fee equal to one-half percent (1/2 %) of the principal amount of the Bonds issued on such date.
3.04, A0nual Administrl~jve Fee. On the first anniversary of the date of issuance of the Bonds
(or, if more convenient for the Bonower, on the first day of the month in which the anniversary of the
date of issuance of the Bonds occurs), an adminimative fec equal to one-half percent tl~ %) of me
principal amount of the Bonds outstas~ing on such anniversm3~. On the sgcoud anniversary of the date
of issum,ce of the Bonds and on ach subsequent enniversacy of the date of issmmce of the Bonds as long
as any Bonds remain orestanding (or, if more convenient for the Borrower, on the f~rst day of the month
in ,,vhich each anmversary of the daze of issuance of the Bonds occurs), an edm inistl~tjvg t~g equ~ tO otlg-
tenth ix-went (l/l O %) of the principal amount of the Bonds outstanding on each such annivenary.
Section 4. if Bonds are issued by t~ City o~ obligations xt~ intmst on ~h~h is not inciudable
in ~ross income for purpa~ of f~lerai income tanation, the administmi~e fets imposed by this resolution
wil| be aqjustett, ifnewssary, to ensure compliance ~i-.h any arbiirl~ limi_m_.Lnns imposed by Secl~n 148
of the Internal [t;~:nue Code of 1916, as mnmsKled (or any sm;cessor statue}. The Cit7 Manag~ will
d~mrmin=, in the sole disc.-rEtion Df I~ Ci~j, Marialet {based upon d~ advice of counsel to d~e {Dit> or
bond courtseli, lh~ n=cessi~ of adj.sting the administrative fns and the mmsre and mount of such
adjttstr~nt(s). At t~ VP''!t q~f 0 B°r~,~,~zz C.~ ~d=~ ~ ~d$~ ,~~.~, ~ malt~ ii~s~q~o
das~ " f do
Sinion 5. Ftfm~vc Dfie. This Resol.tion shall be in fuJI force and ~ from and slier its
passage.
Adopted b.v the Cit~ Council of ~he Cit~ of Columbia Heights, Mimesota, on this twenty-third day of
Febrmur~, 199~.
Offered by: Ruettimann
Roll call: AT] ayes
O n
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