6.3.B. SR 06-16-2008 - Laserfiche WebLink

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Minnesota by negotiation and without advertisement for bids and the MPFA is, and has represented that it is, a board, department or agency of the State of Minnesota; and F. WHEREAS, a contractor contracts for the Project have been made by the City with the approval of the MPFA and all other state and federal agencies of which approval is required; and NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Elk River, Minnesota, as follows: 1. Acceptance of Offer; Payment. The offer of the MPFA to purchase the Note at the rate of interest hereinafter set forth, and to pay therefor the sum of $2,431,500 as provided below, is hereby accepted, and the sale of the Note is hereby awarded to the MPFA. Payment for the Note shall be made in installments as eligible costs of the Project are reimbursed or paid, all as provided in the Project Loan Agreement. 2. Date; Denomination; Interest Rate; Maturities. The Note shall be a fully registered negotiable obligation, shall be dated as of the date of delivery, shall be issued forthwith, shall be in the principal amount of $2,431,500, or so much thereof as shall be disbursed pursuant to the Project Loan Agreement, shall bear interest on so much of the principal amount of the Note as may be disbursed and remains unpaid until the principal amount of the Note has been paid or has been provided for, at the rate of one and three hundred eleven hundredths percent (1.311%) per annum (calculated on the basis of a 360-day year of twelve 30- day months). Interest on the Note is payable semiannually on February 20 and August 20, commencing August 20, 2008. Interest. starts accruing as of the date of the initial disbursement. Principal on the Note shall mature on August 20 in the years and installments as follows: Year Amount Year Amount 2008 $500,000 2011 $486,000 2009 474,000 2012 492,000 2010 480,000 2013 499,000 Interest shall accrue only on the aggregate principal amount of the Note which has been disbursed and is unpaid under the Project Loan Agreement. The principal installments shall be paid in the amounts scheduled above even if at the time of payment the full principal amount of the Note has not been disbursed; provided that if the full principal amount of the Note is never disbursed, the amount of the principal not disbursed shall be applied to reduce each unpaid principal installment in the proportion that such installment bears to the total of all unpaid principal installments (i.e., the remaining principal payment schedule shall be reamortized to provide similarly level annual installments of total debt service payments). Principal, interest and any premium due under the Note will be paid on each payment date by wire payment, or by check or draft mailed at least five business days prior to the payment date to the person in whose name the Note is registered, in any coin or currency of the United States which at the time of payment is legal tender for public and private debts. Interest on .the Note includes amounts treated by the MPFA as service fees. 2170696v1 2