7.2. SR 04-21-2014 - Laserfiche WebLink

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Resolution Giving Host Approval to the Issuance of Charter School Lease Revenue Bonds Under Minnesota Statutes, Sections 469.152 Through 469.1655 (Spectrum High School Project) BE IT RESOLVED, by the City Council (the "Council") of the City of Elk River, Minnesota (the "City") as follows: Section 1. General Recitals. The purpose of Minnesota Statutes, Sections 469.152 through 469.1655 as amended, (the "Act"), is, among other things, to promote the welfare of the State of Minnesota (the "State") by the active attraction and encouragement and development of economically sound industry and commerce to prevent so far as possible the emergence of blighted and marginal lands and areas of chronic unemployment. Section 2. Description of the Project. (a) Spectrum Building Company (the `Borrower"), a Minnesota nonprofit corporation and organization described in Section 501(c)(3) of the Internal Revenue Code of 1986, as amended (the "Code") has proposed that the County of Anoka,Minnesota (the "Issuer") issue revenue bonds under the Act, in one or more series, in an aggregate amount not to exceed $4,250,000 (the "Bonds") to finance (i) the acquisition, construction, and improvements of the Borrower's charter school facilities located at 11044 Industrial Circle NE in the City consisting of approximately 23,740 square feet of improvements, including gymnasium and classroom facilities and associated infrastructure improvements (the "Facility"); (ii) the funding of a debt service reserve fund; (iii) payment of a portion of the interest on the Bonds; and (iv) payment of the costs of issuing the Bonds (collectively, the "Project"). The Facility will be owned by the Borrower and leased to and operated by the Spectrum High School, a Minnesota nonprofit corporation (the "School"). (b) The City has been advised that the Bonds or other obligations, as and when issued, will not constitute a charge,lien or encumbrance upon any property of the City or the Issuer, except the Project and the revenues to be derived from the Project. Such Bonds or obligations will not be a charge against the general credit or taxing powers of the City or the Issuer, but is payable from sums to be paid by the Borrower pursuant to a revenue agreement. Section 3. Recital of Representations Made by the Borrower. (a) The Borrower has agreed to pay any and all costs incurred by the City in connection with the issuance of the Bonds,whether or not such issuance is carried to completion. (b) The Borrower has represented to the City that no public official of the City has either a direct or indirect financial interest in the Project nor will any public official either directly or indirectly benefit financially from the Project. Section 4. Public Hearing. (a) As required by the Act and Section 147(f of the Code a Notice of Public Hearing was published in the City's official newspaper and newspaper of general circulation, for a public hearing on the proposed issuance of the Bonds and the proposal to undertake and finance the Project. 2 440886v1 JSB EL185-19