2.4. ERMUSR 10-11-2016 - Laserfiche WebLink

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of the Series 2016A Bonds, adjusted for such Fiscal Year as permitted by the Prior Resolution are as follows: Audited Fiscal Year Ended 2014 OPERATING REVENUES $32,551,722 OPERATING EXPENSES (27,973,795) OPERATING PROFIT $4,577,927 (Exclusive of Depreciation) ADD:Non-Operating Revenue 375,020 NET REVENUES $4,952,947 The Net Revenues of the Electric System for the Audited Fiscal Year immediately preceding the issuance of the Series 2016A Bonds, adjusted as set forth above, were at least 125% of the average annual principal and interest coming due during the remaining term of the Prior Bonds plus the Series 2016A Bonds computed to February 1, 2036 (the final maturity date of the Prior Bonds). The combined average annual principal and interest requirement for the Series 2016A Bonds and the Prior Bonds and the Series 2016B Bonds, is$780,676.62. Other than the Prior Bonds, the Series 2016A Bonds and the Series 2016B Bonds, the Commission has no other bonds, warrants, certificates or other obligations or evidences of indebtedness of money borrowed for or on account of the Electric System or indebtedness for which the Net Revenues of the Electric System have been appropriated or pledged. 2.04. Sufficiency of Gross Revenues and Net Revenues. The Commission reasonably anticipates that the Gross Revenues to be received during the period for which the Series 2016A Bonds will be outstanding will be more than sufficient to pay all costs of the operation and maintenance of the Electric System and to provide Net Revenues adequate to pay the principal of and interest on the Series 2016A Bonds,the Series 2016B Bonds and the Prior Bonds when due. 2.05. Authorization of Series 2016A Bonds. The Commission is authorized by law to borrow money necessary to finance the Project and to pay the related financing costs and fund the Reserve Account. It is necessary and expedient for the City forthwith to issue its Electric Revenue Bonds, Series 2016A, in the principal amount of$10,000,000. All costs of the Project in excess of the proceeds of the Series 2016A Bonds available for payment of such costs shall be paid from any other funds legally available to the Commission for such purpose. 2.06. Sale of Series 2016A Bonds. The Commission has retained Springsted Incorporated ("Springsted"), as its independent financial advisor for the sale of the Bonds and was therefore authorized to sell the Bonds by private negotiation in accordance with Minnesota Statutes, Section 475.60, Subdivision 2(9) and proposals to purchase the Bonds have been solicited by Springsted. 2.07. Receipt and Acceptance of Proposals. Proposals have been received by the Commission Finance and Office Manager, or designee, at the offices of Springsted on the date hereof pursuant to the Terms of Proposal established for the Bonds and are set forth in Exhibit A. 59